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Significant accounting policies (Tables)
 12 Months Ended
Dec. 31, 2019
Text block [abstract]  
Summary of Reconciliation Between IFRS and IFRS-EU
 
                   Shareholders’ equity            Net income                        
 
  
 
    2019   
 
           2018                 2017      
 
        2019   
 
           2018               2017    
In accordance with IFRS
  
 
21,850   
 
  
 
19,200     
 
  
 
20,266   
 
  
 
1,239   
 
  
 
711   
 
  
 
2,469   
 
Adjustment of EU ‘IAS 39’
carve-out
   774       399         368       375       31       (142)   
Tax effect of the adjustment
   (167)      (81)        (83)      (86)      3       34    
Effect of the adjustment after tax
  
 
607   
 
  
 
318     
 
  
 
285   
 
  
 
289   
 
  
 
34   
 
  
 
(108)  
 
In accordance with
IFRS-EU
  
 
22,457   
 
  
 
19,518     
 
  
 
20,550   
 
  
 
1,528   
 
  
 
744   
 
  
 
2,361   
 
Disclosure Detail Of Lease Commitments Reconciliation With Lease Liabilities
The reconciliation between operating lease commitments at December 31, 2018 and lease liabilities at January 1, 2019 is as follows:
 
 
  
 
January 1, 2019   
 
Operating lease commitments at December 31, 2018 as per the consolidated annual financial statements
  
 
386   
 
Discounted using the incremental borrowing rate at January 1, 2019
  
 
302   
 
Recognition exemption for:
  
   
Short term leases
  
 
(7)  
 
Extenstion and termination options reasonably certain to be exercised
  
 
(4)  
 
Exclusion of 
non-lease
 components
  
 
(6)  
 
Lease liabilities recognized at January 1, 2019
  
 
285   
 
Impact On Changes In Accounting Policy Due To Changes In Liability Adequacy Testing Consolidated Income Statement
Impact of the adjustment on previous periods is provided in the following tables, including references to the notes that are impacted by the change in accounting policy.
 
Impact of voluntary changes in
accounting policies on the consolidated
statement of comprehensive income
  
Note
   December
31, 2018
(as previously
reported)
 1)
  Change in
accounting
policy related
to liability
adequacy
testing		  December
31, 2018
(restated)		  December
31, 2017
(as previously
reported) 
1)
  Change in
accounting
policy related
to liability
adequacy
testing		  December
31, 2017
(restated)		 
Net income / (loss)
    
 
711
 
 
 
-
 
 
 
711
 
 
 
2,469
 
 
 
-
 
 
 
2,469   
 
Items that may be reclassified to profit or loss:
         
Gains / (losses) on revaluation of
available-for-sale
investments
     (2,138)   (4)   (2,142)   1,283   93   1,376    
Income tax relating to items that may be reclassified
  
 
 
 
   493   1   494   951   (23)   927    
Net effect comprehensive income
    
 
(393
) 
 
 
(3
) 
 
 
(396
) 
 
 
431
 
 
 
70
 
 
 
501   
 
Total comprehensive income / (loss) attributable to:
         
Owners of Aegon N.V.
     (395)   (3)   (398)   435   70   505    
Non-controlling
interests
  
 
 
 
   2   -   2   (3)   -   (3)   
 
1
 
As reported in Aegon’s Annual Report on Form
20-F
dated March 21, 2019.
 
 
Impact of voluntary changes in
accounting policies on the consolidated
statement of financial position
  
Note
   
December
31, 2018
(as previously
    reported) 
1)
   Change in
accounting
policy
related to
liability
adequacy
testing		  December
31, 2018
(restated)		   
December
31, 2017
(as previously
    reported) 
1)
   Change in
accounting
policy
related to
liability
adequacy
testing		  December  
31, 2017  
(restated)  		 
Equity and liabilities
            
Shareholders’ equity
  
 
30
 
   19,225    (26)   19,200    20,288    (23)   20,266   
Insurance contracts
  
 
34
 
   115,294    34   115,328    110,818    30   110,848   
Deferred tax liabilities
  
 
40
 
   538    (9)   529    1,029    (8)   1,021   
 
1
 
As reported in Aegon’s Annual Report on Form
20-F
dated March 21, 2019.
 
Impact of voluntary changes in
accounting policies on the statement
of changes in equity
  
Note
   
December
31, 2018
(as previously
    reported) 
1)
  Change in
accounting
policy
related to
liability
adequacy
testing		  December
31, 2018
(restated)		  
December
31, 2017
(as previously
    reported) 
1)
  Change in
accounting
policy
related to
liability
adequacy
testing		  December
31, 2017
(restated)		 
Share capital
  
 
30.1
 
   7,808   -   7,808   8,053   -   8,053 
Retained earnings
  
 
30
 
   9,657   -   9,657   9,374   -   9,374 
Revaluation reserves
  
 
30.4
 
   3,461   (26)   3,436   4,920   (23)   4,898 
Remeasurement of defined benefit plans
  
 
30.5
 
   (1,850)   -   (1,850)   (1,669)   -   (1,669) 
Other reserves
  
 
30.6
 
   149   -   149   (390)   -   (390) 
Shareholders’ equity
  
 
 
 
  
 
19,225
 
 
 
(26
) 
 
 
19,200
 
 
 
20,288
 
 
 
(23
) 
 
 
20,266
 
 
1
 
As reported in Aegon’s Annual Report on Form
20-F
dated March 21, 2019.
Summary of Change in Fair Value
The table below presents an overview of the fair value of the classes of financial assets as of December 31, 2019, as well as the change in fair value during the reporting period. The asset classes are divided into two categories:
◆
 SPPI: assets of which cash flows represent solely payments of principal and interest (SPPI) on an outstanding principal amount, excluding any financial assets that meet the definition of held for trading in IFRS 9, or that are managed and whose performance is evaluated on a fair value basis; and
◆
 Other: all financial assets other than those specified in SPPI:
 
◆
 with contractual terms that do not give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding;
 
◆
 that meet the definition of held for trading in IFRS 9; or
 
◆
 that are managed and whose performance are evaluated on a fair value basis.
 
 
       
2019
  2018 
Financial assets at fair value
       
Fair value at
the end of the
reporting
period
   
Change in fair
value during
the reporting
period
  Fair value at
the end of the
reporting
period		   
Change in fair
value during
the reporting
period
 
Shares
1)
  
 
SPPI        
 
   70    1   68    (2) 
  
 
Other        
 
   810    54   2,092    87 
Debt securities
  
 
SPPI        
 
   82,014    6,218   76,283    (2,997) 
  
 
Other        
 
   4,839    (770)   4,970    (123) 
Money Markets and other short-term investments
  
 
SPPI        
 
   2,724    -   3,126    - 
  
 
Other        
 
   2,603    -   3,181    - 
Mortgage loans
  
 
SPPI        
 
   42,567    930   39,758    (1,213) 
  
 
Other        
 
   -    -   -    - 
Private loans
  
 
SPPI        
 
   5,152    284   4,452    (63) 
  
 
Other        
 
   200    (18)   42    (5) 
Deposits with financial institutions
  
 
SPPI        
 
   142    -   141    - 
  
 
Other        
 
   -    -   -    - 
Policy loans
  
 
SPPI        
 
   -    -   -    - 
  
 
Other        
 
   2,024    -   1,973    - 
Other financial assets
  
 
SPPI        
 
   36    -   111    - 
 
  
 
Other        
 
   5,388    (100)   3,637    (210) 
At December 31
  
 
 
 
  
 
148,570
 
  
 
6,598
 
 
 
139,834
 
  
 
(4,525
) 
 
1
 
The SPPI-compliant shares include preferred equity instruments.
Summary of Credit Risk Rating Grades
Credit Risk
The table below details the credit risk rating grades, as of December 31, 2019, for financial assets with cash flows that are SPPI, excluding any financial assets that meet the definition of held for trading in IFRS 9, or that are managed and whose performance is evaluated on a fair value basis. The tables show the carrying value of those financial assets applying IAS 39 (in the case of financial assets measured at amortized cost, before adjusting for any impairment allowances).
 
 
SPPI compliant financial assets at
carrying value
  AAA   AA   A   BBB   BB   B   CCC or
lower		   Not
Rated		   Total   
2019
                  
Shares – Carried at fair value
   -    -    -    43    27    -    -    -    70   
Debt securities – Carried at fair value
   26,723    8,989    20,112    22,296    1,364    1,244    1,283    3    82,014   
Money market and other short-term investments – carried at fair value
   255    193    2,164    112    -    -    -    -    2,724   
Mortgage loans – Carried at amortized cost
   1,311    3,671    3,580    369    15    4    -    29,574    38,524   
Private loans – Carried at amortized cost
   1,799    82    198    970    49    -    -    1,383    4,479   
Other financial assets – Carried at fair value
   -    -    57    10    33    38    -    40    177   
          
At December 31
  
 
30,088
 
  
 
12,933
 
  
 
26,111
 
  
 
23,800
 
  
 
1,487
 
  
 
1,285
 
  
 
1,283
 
  
 
31,000
 
  
 
127,988  
 
2018
                  
Shares – Carried at fair value
   -    -    -    42    9    17    -    -    68   
Debt securities – Carried at fair value
   25,637    9,224    17,057    20,330    1,480    1,159    1,395    -    76,283   
Money market and other short-term investments – carried at fair value
   55    158    2,561    351    -    -    -    -    3,126   
Mortgage loans – Carried at amortized cost
   941    3,204    3,567    266    15    -    -    28,647    36,639   
Private loans – Carried at amortized cost
   1,611    83    261    924    52    -    -    1,136    4,068   
Other financial assets – Carried at fair value
   -    -    64    12    44    61    1    70    252   
          
At December 31
  
 
28,244
 
  
 
12,670
 
  
 
23,510
 
  
 
21,925
 
  
 
1,601
 
  
 
1,237
 
  
 
1,396
 
  
 
29,853
 
  
 
120,436  
 
Summary of Credit Risk Exposure
   
2019
     2018 
SPPI compliant financial assets with no low credit risk
  
Carrying amount  
     
Fair value  
     Carrying amount       Fair value   
Shares – Carried at fair value
   27        27        26        26   
Debt securities – Carried at fair value
   3,894        3,894        4,035        4,035   
Mortgage loans – Carried at amortized cost
   29,593        33,132        28,661        31,711   
Private loans – Carried at amortized cost
   1,431        1,488        1,189        1,225   
Deposits with financial institutions – Carried at amortized cost
   76        76        70        70   
Other financial assets – Carried at fair value
   35        35        106        106   
     
At December 31
  
 
35,056  
 
    
 
38,652  
 
    
 
34,087  
 
    
 
37,173