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Financing Agreements
3 Months Ended
Mar. 31, 2012
Debt Disclosure [Abstract]  
Financing Agreements
Financing Agreements
 
Reciprocal Loan Agreement
 
The Company maintains a reciprocal loan agreement with ING America Insurance Holdings, Inc. (“ING AIH”), an affiliate, to facilitate the handling of unanticipated short-term cash requirements that arise in the ordinary course of business.  Under this agreement, which became effective in June 2001 and based upon its renewal on April 1, 2011 expires on April 1, 2016, either party can borrow from the other up to 3% of the Company’s statutory admitted assets as of the preceding December 31.  Interest on any Company borrowing is charged at the rate of ING AIH’s cost of funds for the interest period, plus 0.15%.  Interest on any ING AIH borrowing is charged at a rate based on the prevailing interest rate of U.S. commercial paper available for purchase with a similar duration.
 
Under this agreement, the Company did not incur any interest expense for the three months ended March 31, 2012 and 2011.  The Company earned interest income of $0.4 and $0.2 for the three months ended March 31, 2012 and 2011, respectively.  Interest expense and income are included in Interest expense and Net investment income, respectively, on the Condensed Consolidated Statements of Operations.  As of March 31, 2012 and December 31, 2011, the Company had an outstanding receivable of $696.4 and $648.0, respectively, from ING AIH under the reciprocal loan agreement.

As of April 20, 2012, the Company had an outstanding receivable of $629.0 under the reciprocal loan agreement, and ING AIH repaid $600.7 of the outstanding receivable on that date. Such repayment was made from the proceeds of ING AIH's $5.0 billion Senior Unsecured Credit Facilities which were entered into as of that same date. The Company and ING AIH continue to maintain the reciprocal loan agreement and future borrowings by either party will be subject to the reciprocal loan terms summarized above.

For information on the Company’s additional financing agreements, see the Financing Agreements note to the Consolidated Financial Statements included in the Company’s 2011 Annual Report on Form 10-K.