Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2022

Equity [Abstract]

Other Comprehensive Income (Loss)

Other Comprehensive Income (Loss) — The components of other comprehensive income (loss), including reclassification adjustments by income statement line item, were as follows: 

							Components of Changes in Accumulated Other Comprehensive Income (after tax)
(millions)	Pretax total accumulated other comprehensive income (loss)		Total tax (provision) benefit		After tax total accumulated other comprehensive income (loss)		Total net unrealized gains  (losses) on securities		Net unrealized gains (losses) on forecasted transactions		Foreign currency translation adjustment
Balance at March 31, 2022	$	(1,753.4)	$	367.6	$	(1,385.8)	$	(1,370.7)	$	(14.7)	$	(0.4)
Other comprehensive income (loss) before reclassifications:
Investment securities	(1,246.7)		261.8		(984.9)		(984.9)		0		0
Foreign currency translation adjustment	(0.5)		0.1		(0.4)		0		0		(0.4)
Total other comprehensive income (loss) before reclassifications	(1,247.2)		261.9		(985.3)		(984.9)		0		(0.4)
Less: Reclassification adjustment for amounts realized in net income by income statement line item:
Net realized gains (losses) on securities	(205.1)		43.0		(162.1)		(162.1)		0		0
Interest expense	0		0		0		0		0		0
Total reclassification adjustment for amounts realized in net income	(205.1)		43.0		(162.1)		(162.1)		0		0
Total other comprehensive income (loss)	(1,042.1)		218.9		(823.2)		(822.8)		0		(0.4)
Balance at June 30, 2022	$	(2,795.5)	$	586.5	$	(2,209.0)	$	(2,193.5)	$	(14.7)	$	(0.8)

							Components of Changes in Accumulated Other Comprehensive Income (after tax)
(millions)	Pretax total accumulated other comprehensive income (loss)		Total tax (provision) benefit		After tax total accumulated other comprehensive income (loss)		Total net unrealized gains  (losses) on securities		Net unrealized gains (losses) on forecasted transactions		Foreign currency translation adjustment
Balance at March 31, 2021	$	504.6	$	(112.3)	$	392.3	$	407.7	$	(15.4)	$	0
Other comprehensive income (loss) before reclassifications:
Investment securities	174.7		(36.7)		138.0		138.0		0		0
Foreign currency translation adjustment	(0.6)		0.1		(0.5)		0		0		(0.5)
Total other comprehensive income (loss) before reclassifications	174.1		(36.6)		137.5		138.0		0		(0.5)
Less: Reclassification adjustment for amounts realized in net income by income statement line item:
Net realized gains (losses) on securities	59.4		(12.5)		46.9		46.9		0		0
Interest expense	(0.3)		0		(0.3)		0		(0.3)		0
Total reclassification adjustment for amounts realized in net income	59.1		(12.5)		46.6		46.9		(0.3)		0
Total other comprehensive income (loss)	115.0		(24.1)		90.9		91.1		0.3		(0.5)
Balance at June 30, 2021	$	619.6	$	(136.4)	$	483.2	$	498.8	$	(15.1)	$	(0.5)
							Components of Changes in Accumulated Other Comprehensive Income (after tax)
(millions)	Pretax total accumulated other comprehensive income (loss)		Total tax (provision) benefit		After tax total accumulated other comprehensive income (loss)		Total net unrealized gains  (losses) on securities		Net unrealized gains (losses) on forecasted transactions		Foreign currency translation adjustment
Balance at December 31, 2021	$	52.3	$	(11.6)	$	40.7	$	56.2	$	(14.9)	$	(0.6)
Other comprehensive income (loss) before reclassifications:
Investment securities	(3,098.4)		650.7		(2,447.7)		(2,447.7)		0		0
Foreign currency translation adjustment	(0.2)		0		(0.2)		0		0		(0.2)
Total other comprehensive income (loss) before reclassifications	(3,098.6)		650.7		(2,447.9)		(2,447.7)		0		(0.2)
Less: Reclassification adjustment for amounts realized in net income by income statement line item:
Net realized gains (losses) on securities	(250.6)		52.6		(198.0)		(198.0)		0		0
Interest expense	(0.2)		0		(0.2)		0		(0.2)		0
Total reclassification adjustment for amounts realized in net income	(250.8)		52.6		(198.2)		(198.0)		(0.2)		0
Total other comprehensive income (loss)	(2,847.8)		598.1		(2,249.7)		(2,249.7)		0.2		(0.2)
Balance at June 30, 2022	$	(2,795.5)	$	586.5	$	(2,209.0)	$	(2,193.5)	$	(14.7)	$	(0.8)

							Components of Changes in Accumulated Other Comprehensive Income (after tax)
(millions)	Pretax total accumulated other comprehensive income (loss)		Total tax (provision) benefit		After tax total accumulated other comprehensive income (loss)		Total net unrealized gains  (losses) on securities		Net unrealized gains (losses) on forecasted transactions		Foreign currency translation adjustment
Balance at December 31, 2020	$	1,187.4	$	(255.7)	$	931.7	$	947.3	$	(15.6)	$	0
Other comprehensive income (loss) before reclassifications:
Investment securities	(376.7)		79.1		(297.6)		(297.6)		0		0
Foreign currency translation adjustment	(0.6)		0.1		(0.5)		0		0		(0.5)
Total other comprehensive income (loss) before reclassifications	(377.3)		79.2		(298.1)		(297.6)		0		(0.5)
Less: Reclassification adjustment for amounts realized in net income by income statement line item:
Net realized gains (losses) on securities	191.1		(40.2)		150.9		150.9		0		0
Interest expense	(0.6)		0.1		(0.5)		0		(0.5)		0
Total reclassification adjustment for amounts realized in net income	190.5		(40.1)		150.4		150.9		(0.5)		0
Total other comprehensive income (loss)	(567.8)		119.3		(448.5)		(448.5)		0.5		(0.5)
Balance at June 30, 2021	$	619.6	$	(136.4)	$	483.2	$	498.8	$	(15.1)	$	(0.5)

In an effort to manage interest rate risk, we entered into forecasted transactions on certain of Progressive’s debt issuances. We expect to reclassify $0.5 million (pretax) into interest expense during the next 12 months, related to net unrealized losses on these forecasted transactions (see Note 4 – Debt in our 2021 Annual Report to Shareholders for further discussion).