Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2020

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of June 30, 2020:


	Level 1			Level 2			Level 3			Total
Assets:
Fixed maturities, including securities pledged:
U.S. Treasuries	$	571		$	179		$	—		$	750
U.S. Government agencies and authorities	—			19			—			19
State, municipalities and political subdivisions	—			840			—			840
U.S. corporate public securities	—			8,069			61			8,130
U.S. corporate private securities	—			3,236			965			4,201
Foreign corporate public securities and foreign governments⁽¹⁾	—			2,712			—			2,712
Foreign corporate private securities ⁽¹⁾	—			3,093			179			3,272
Residential mortgage-backed securities	—			4,456			30			4,486
Commercial mortgage-backed securities	—			2,712			—			2,712
Other asset-backed securities	—			1,419			51			1,470
Total fixed maturities, including securities pledged	571			26,735			1,286			28,592
Equity securities	16			—			94			110
Derivatives:
Interest rate contracts	7			613			—			620
Foreign exchange contracts	—			55			—			55
Equity contracts	—			2			—			2


Cash and cash equivalents, short-term investments and short-term investments under securities loan agreements	1,589			—			—			1,589
Assets held in separate accounts	68,780			6,786			174			75,740
Total assets	$	70,963		$	34,191		$	1,554		$	106,708
Percentage of Level to Total	67		%	32		%	1		%	100		%
Liabilities:
Derivatives:
Guaranteed benefit derivatives:
FIA	$	—		$	—		$	10		$	10
Stabilizer and MCGs	—			—			154			154
Other derivatives:
Interest rate contracts	—			731			—			731
Foreign exchange contracts	—			1			—			1
Equity contracts	—			2			—			2
Credit contracts	—			2			—			2
Embedded derivative on reinsurance	—			—			—			—
Total liabilities	$	—		$	736		$	164		$	900

⁽¹⁾Primarily U.S. dollar denominated.

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of December 31, 2019:


	Level 1			Level 2			Level 3			Total
Assets:
Fixed maturities, including securities pledged:
U.S. Treasuries	$	536		$	155		$	—		$	691
U.S. Government agencies and authorities	—			19			—			19
State, municipalities and political subdivisions	—			815			—			815
U.S. corporate public securities	—			7,984			47			8,031
U.S. corporate private securities	—			3,064			1,002			4,066
Foreign corporate public securities and foreign governments⁽¹⁾	—			2,679			—			2,679
Foreign corporate private securities ⁽¹⁾	—			3,185			190			3,375
Residential mortgage-backed securities	—			3,794			16			3,810
Commercial mortgage-backed securities	—			2,500			—			2,500
Other asset-backed securities	—			1,426			48			1,474
Total fixed maturities, including securities pledged	536			25,621			1,303			27,460
Equity securities, available-for-sale	17			—			63			80
Derivatives:
Interest rate contracts	1			209			—			210
Foreign exchange contracts	—			10			—			10
Equity contracts	—			4			—			4


Cash and cash equivalents, short-term investments and short-term investments under securities loan agreements	1,429			—			—			1,429
Assets held in separate accounts	72,448			6,150			115			78,713
Total assets	$	74,431		$	31,994		$	1,481		$	107,906
Percentage of Level to total	69		%	30		%	1		%	100		%
Liabilities:
Derivatives:
Guaranteed benefit derivatives:
FIA	$	—		$	—		$	11		$	11
Stabilizer and MCGs	—			—			22			22
Other derivatives:
Interest rate contracts	—			261			—			261
Foreign exchange contracts	—			19			—			19
Equity contracts	—			3			—			3
Credit contracts	—			2			—			2
Embedded derivative on reinsurance	—			23			—			23
Total liabilities	$	—		$	308		$	33		$	341

⁽¹⁾Primarily U.S. dollar denominated.