The Company holds various types of fixed maturity securities available-for-sale and classifies them as corporate securities (“Corporate”), Canadian and Canadian provincial government securities (“Canadian government”), residential mortgage-backed securities (“RMBS”), asset-backed securities (“ABS”), commercial mortgage-backed securities (“CMBS”), U.S. government and agencies (“U.S. government”), state and political subdivisions, and other foreign government, supranational and foreign government-sponsored enterprises (“Other foreign government”). RMBS, ABS and CMBS are collectively “structured securities.”


June 30, 2022:	Amortized Cost		Allowance for Credit Losses		Unrealized Gains		Unrealized Losses		Estimated Fair Value		% of Total
Available-for-sale:
Corporate	$	37,819	$	43	$	257	$	3,659	$	34,374	64.5	%
Canadian government	3,308		—		536		35		3,809		7.1
RMBS	1,004		—		8		62		950		1.8
ABS	4,091		5		3		307		3,782		7.1
CMBS	1,856		1		2		122		1,735		3.3
U.S. government	1,101		—		7		146		962		1.8
State and political subdivisions	1,202		—		21		107		1,116		2.1
Other foreign government	7,227		6		36		691		6,566		12.3
Total fixed maturity securities	$	57,608	$	55	$	870	$	5,129	$	53,294	100.0	%


December 31, 2021:	Amortized Cost		Allowance for Credit Losses		Unrealized Gains		Unrealized Losses		Estimated Fair Value		% of Total
Available-for-sale:
Corporate	$	35,239	$	26	$	3,084	$	194	$	38,103	62.8	%
Canadian government	3,339		—		1,606		1		4,944		8.1
RMBS	1,020		—		37		7		1,050		1.7
ABS	4,024		—		22		41		4,005		6.6
CMBS	1,790		1		66		6		1,849		3.0
U.S. government	2,082		—		31		8		2,105		3.5
State and political subdivisions	1,191		—		137		5		1,323		2.2
Other foreign government	7,188		4		273		87		7,370		12.1
Total fixed maturity securities	$	55,873	$	31	$	5,256	$	349	$	60,749	100.0	%

The Company enters into various collateral arrangements with counterparties that require both the pledging and acceptance of fixed maturity securities as collateral. Pledged fixed maturity securities are included in fixed maturity securities available-for-sale in the condensed consolidated balance sheets. Fixed maturity securities received as collateral are held in separate custodial accounts and are not recorded on the Company’s condensed consolidated balance sheets. Subject to certain constraints, the Company is permitted by contract to sell or repledge collateral it receives; however, as of June 30, 2022 and December 31, 2021, none of the collateral received had been sold or repledged. The Company also holds assets in trust to satisfy collateral requirements under derivative transactions and certain third-party reinsurance treaties. The following table includes fixed maturity securities pledged and received as collateral and assets in trust held to satisfy collateral requirements under derivative transactions and certain third-party reinsurance treaties as of June 30, 2022 and December 31, 2021 (dollars in millions):


	June 30, 2022				December 31, 2021
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Fixed maturity securities pledged as collateral	$	373	$	335	$	100	$	103
Fixed maturity securities received as collateral	n/a		1,591		n/a		1,922
Assets in trust held to satisfy collateral requirements	30,476		28,080		28,671		31,173

The Company monitors its concentrations of financial instruments on an ongoing basis and mitigates credit risk by maintaining a diversified investment portfolio that limits exposure to any one issuer. The Company’s exposure to concentrations of credit risk from single issuers greater than 10% of the Company’s equity included securities of the U.S. government and its agencies as well as the securities disclosed below, as of June 30, 2022 and December 31, 2021 (dollars in millions).


	June 30, 2022				December 31, 2021
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Fixed maturity securities guaranteed or issued by:
Government of Japan	$	3,031	$	2,755	$	3,080	$	3,063
Canadian province of Quebec	1,390		1,747		1,377		2,347
Canadian province of Ontario	1,047		1,155		1,092		1,451

The amortized cost and estimated fair value of fixed maturity securities classified as available-for-sale as of June 30, 2022, are shown by contractual maturity in the table below (dollars in millions). Actual maturities can differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Structured securities are shown separately in the table below, as they are not due at a single maturity date.


	Amortized Cost		Estimated Fair Value
Available-for-sale:
Due in one year or less	$	1,408	$	1,407
Due after one year through five years	9,847		9,730
Due after five years through ten years	11,466		10,701
Due after ten years	27,936		24,989
Structured securities	6,951		6,467
Total	$	57,608	$	53,294


June 30, 2022:			Estimated
	Amortized Cost		Fair Value		% of Total
Finance	$	14,008	$	12,703	37.0	%
Industrial	19,152		17,526		51.0
Utility	4,659		4,145		12.0

Total	$	37,819	$	34,374	100.0	%

December 31, 2021:			Estimated
	Amortized Cost		Fair Value		% of Total
Finance	$	13,101	$	14,045	36.9	%
Industrial	17,857		19,375		50.8
Utility	4,281		4,683		12.3
Total	$	35,239	$	38,103	100.0	%

As discussed in Note 2 – “Significant Accounting Policies and Pronouncements” of the Company’s 2021 Annual Report, allowances for credit losses on fixed maturity securities are recognized in investment related gains (losses), net. The amount recognized represents the difference between the amortized cost of the security and the net present value of its projected future cash flows discounted at the effective interest rate implicit in the fixed maturity security prior to the allowance for credit losses. Any remaining difference between the fair value and amortized cost is recognized in OCI.


	Six months ended June 30, 2022
	Corporate		ABS		CMBS		Other Foreign Government		Total
Balance, beginning of period	$	26	$	—	$	1	$	4	$	31
Credit losses recognized on securities for which credit losses were not previously recorded	18		5		—		1		24

Reductions for securities sold during the period	(6)		—		—		(1)		(7)
Additional increases or decreases for credit losses on securities that had an allowance recorded in a previous period	5		—		—		2		7

Balance, end of period	$	43	$	5	$	1	$	6	$	55


	Six months ended June 30, 2021
	Corporate		ABS		CMBS		Other Foreign Government		Total
Balance, beginning of period	$	17	$	—	$	3	$	—	$	20
Credit losses recognized on securities for which credit losses were not previously recorded	2		—		1		4		7
Reductions for securities sold during the period	(8)		—		(2)		—		(10)
Additional increases or decreases for credit losses on securities that had an allowance recorded in a previous period	—		—		(1)		—		(1)
Balance, end of period	$	11	$	—	$	1	$	4	$	16

The Company’s determination of whether a decline in value necessitates the recording of an allowance for credit losses includes an analysis of whether the issuer is current on its contractual payments, evaluating whether it is probable that the Company will be able to collect all amounts due according to the contractual terms of the security and analyzing the overall ability of the Company to recover the amortized cost of the investment.

The following tables present the estimated fair value and gross unrealized losses for the 6,103 and 1,862 fixed maturity securities for which an allowance for credit loss has not been recorded as of June 30, 2022 and December 31, 2021, and the estimated fair value had declined and remained below amortized cost (dollars in millions). These investments are presented by class and grade of security, as well as the length of time the related fair value has continuously remained below amortized cost.


	Less than 12 months				12 months or greater				Total
			Gross				Gross				Gross
June 30, 2022:	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Investment grade securities:
Corporate	$	25,035	$	3,170	$	1,124	$	327	$	26,159	$	3,497
Canadian government	359		29		13		6		372		35
RMBS	631		39		122		23		753		62
ABS	2,850		244		640		45		3,490		289
CMBS	1,523		111		39		4		1,562		115
U.S. government	839		137		24		9		863		146
State and political subdivisions	789		100		27		7		816		107
Other foreign government	4,348		469		795		145		5,143		614
Total investment grade securities	36,374		4,299		2,784		566		39,158		4,865
Below investment grade securities:
Corporate	1,234		137		103		25		1,337		162


ABS	61		9		8		2		69		11
CMBS	29		3		11		1		40		4

Other foreign government	170		28		115		49		285		77
Total below investment grade securities	1,494		177		237		77		1,731		254
Total fixed maturity securities	$	37,868	$	4,476	$	3,021	$	643	$	40,889	$	5,119


	Less than 12 months				12 months or greater				Total
			Gross				Gross				Gross
December 31, 2021:	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Investment grade securities:
Corporate	$	4,135	$	86	$	946	$	51	$	5,081	$	137
Canadian government	20		1		—		—		20		1
RMBS	132		3		102		4		234		7
ABS	1,747		22		589		6		2,336		28
CMBS	152		2		35		2		187		4
U.S. government	1,513		6		31		2		1,544		8
State and political subdivisions	109		3		28		2		137		5
Other foreign government	2,237		33		724		37		2,961		70
Total investment grade securities	10,045		156		2,455		104		12,500		260
Below investment grade securities:
Corporate	463		13		97		44		560		57


ABS	—		—		13		13		13		13
CMBS	—		—		—		—		—		—

Other foreign government	136		7		75		10		211		17
Total below investment grade securities	599		20		185		67		784		87
Total fixed maturity securities	$	10,644	$	176	$	2,640	$	171	$	13,284	$	347

The Company has no intention to sell, nor does it expect to be required to sell, the securities outlined in the tables above, as of the dates indicated. However, unforeseen facts and circumstances may cause the Company to sell fixed maturity securities in the ordinary course of managing its portfolio to meet certain diversification, credit quality and liquidity guidelines. Changes in unrealized losses are primarily driven by changes in interest rates.


	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Fixed maturity securities available-for-sale	$	559	$	516	$	1,092	$	1,011
Equity securities	1		1		3		3
Mortgage loans	76		73		149		139
Policy loans	14		13		27		27
Funds withheld at interest	57		95		108		179
Short-term investments and cash and cash equivalents	2		—		4		1
Other invested assets – limited partnerships and real estate joint ventures	77		70		238		231
Other invested assets – all other	—		17		2		30
Investment income	786		785		1,623		1,621
Investment expense	(32)		(26)		(59)		(50)
Net investment income	$	754	$	759	$	1,564	$	1,571


	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Fixed maturity securities available-for-sale:
Change in allowance for credit losses and impairments	$	(15)	$	5	$	(27)	$	3
Realized gains on investment activity	34		53		45		220
Realized losses on investment activity	(94)		(30)		(130)		(43)
Net gains (losses) on equity securities	(15)		20		(23)		23
Other impairment losses and change in mortgage loan allowance for credit losses	(1)		3		(3)		21
Change in fair value of certain limited partnership investments and other, net	19		32		45		143
Net gains (losses) on derivatives	(182)		29		(287)		47
Total investment related gains (losses), net	$	(254)	$	112	$	(380)	$	414


	June 30, 2022			December 31, 2021
	Amortized Cost	Estimated Fair Value		Amortized Cost	Estimated Fair Value
Securities borrowing agreements:
Securities borrowed (1)	n/a	$	676	n/a	$	420
Securities pledged as collateral (2)	529	466		279	290
Securities lending agreements:
Securities loaned (2)	82	81		94	102
Securities received as collateral (3)	n/a	92		n/a	102
Repurchase/reverse repurchase agreements:
Securities pledged (2)	643	593		704	736
Cash (4)	—	—		10	10
Securities received (3)	n/a	565		n/a	728
Cash received (5)	162	162		—	—

(1)Securities borrowed are not reflected on the condensed consolidated balance sheets. Collateral associated with certain borrowed securities is not included within this table as the collateral pledged to the counterparty is the right to reinsurance treaty cash flows.


	June 30, 2022
	Remaining Contractual Maturity of the Agreements
	Overnight and Continuous		Up to 30 Days		30 – 90 Days		Greater than 90 Days		Total
Securities lending agreements:
Corporate	$	—	$	—	$	—	$	68	$	68
State and political subdivisions	—		—		—		3		3
Other foreign government	—		—		—		10		10
Total	—		—		—		81		81
Repurchase agreements:
Corporate	—		—		51		289		340
Other foreign government	—		—		7		246		253
Total	—		—		58		535		593
Total agreements	$	—	$	—	$	58	$	616	$	674


	December 31, 2021
	Remaining Contractual Maturity of the Agreements
	Overnight and Continuous		Up to 30 Days		30 – 90 Days		Greater than 90 Days		Total
Securities lending agreements:
Corporate	$	—	$	—	$	—	$	94	$	94
State and political subdivisions	—		—		—		3		3
Other foreign government	—		—		—		5		5
Total	—		—		—		102		102
Repurchase agreements:
Corporate	—		—		—		366		366
Other foreign government	—		—		—		370		370
Total	—		—		—		736		736
Total agreements	$	—	$	—	$	—	$	838	$	838

As of June 30, 2022, mortgage loans were geographically dispersed throughout the U.S. with the largest concentrations in California (12.9%), Texas (11.4%) and Washington (8.2%), in addition to loans secured by properties in Canada (3.3%) and United Kingdom (2.4%). The recorded investment in mortgage loans presented below is gross of unamortized deferred loan origination fees and expenses and allowance for credit losses.


	June 30, 2022				December 31, 2021
Property type:	Carrying Value		% of Total		Carrying Value		% of Total
Office	$	1,729	26.2	%	$	1,683	26.6	%
Retail	2,319		35.1		2,090		33.0
Industrial	1,415		21.5		1,249		19.7
Apartment	776		11.8		801		12.7
Other commercial	355		5.4		506		8.0
Recorded investment	6,594		100.0	%	6,329		100.0	%
Unamortized balance of loan origination fees and expenses	(12)				(11)
Allowance for credit losses	(38)				(35)
Total mortgage loans	$	6,544			$	6,283


	June 30, 2022				December 31, 2021
	Recorded Investment		% of Total		Recorded Investment		% of Total
Due within five years	$	2,578	39.1	%	$	2,660	42.0	%
Due after five years through ten years	2,759		41.8		2,593		41.0
Due after ten years	1,257		19.1		1,076		17.0
Total	$	6,594	100.0	%	$	6,329	100.0	%


	Recorded Investment
	Debt Service Ratios						Construction Loans
	>1.20x		1.00x – 1.20x		<1.00x				Total		% of Total
June 30, 2022:
Loan-to-Value Ratio
0% – 59.99%	$	3,350	$	222	$	67	$	10	$	3,649	55.3	%
60% – 69.99%	1,909		196		96		—		2,201		33.4
70% – 79.99%	455		34		40		—		529		8.0
80% or greater	89		—		126		—		215		3.3
Total	$	5,803	$	452	$	329	$	10	$	6,594	100.0	%


	Recorded Investment
	Debt Service Ratios						Construction Loans
	>1.20x		1.00x – 1.20x		<1.00x				Total		% of Total
December 31, 2021:
Loan-to-Value Ratio
0% – 59.99%	$	3,111	$	238	$	51	$	6	$	3,406	53.8	%
60% – 69.99%	1,906		190		46		—		2,142		33.8
70% – 79.99%	520		41		12		—		573		9.1
80% or greater	148		—		60		—		208		3.3
Total	$	5,685	$	469	$	169	$	6	$	6,329	100.0	%


	Recorded Investment
	Year of Origination
	2022		2021		2020		2019		2018		Prior		Total
June 30, 2022:
Internal credit quality grade:
High investment grade	$	451	$	705	$	373	$	586	$	431	$	1,651	$	4,197
Investment grade	368		313		246		312		271		645		2,155
Average	—		6		—		26		76		98		206
Watch list	—		—		—		—		—		—		—
In or near default	—		—		—		—		—		36		36
Total	$	819	$	1,024	$	619	$	924	$	778	$	2,430	$	6,594


	Recorded Investment
	Year of Origination
	2021		2020		2019		2018		2017		Prior		Total
December 31, 2021:
Internal credit quality grade:
High investment grade	$	725	$	402	$	645	$	461	$	344	$	1,534	$	4,111
Investment grade	367		272		331		301		296		502		2,069
Average	6		—		27		39		5		32		109
Watch list	—		—		—		—		—		4		4
In or near default	—		—		—		—		—		36		36
Total	$	1,098	$	674	$	1,003	$	801	$	645	$	2,108	$	6,329

For the six months ended June 30, 2022, the Company restructured three mortgage loans to interest only payments as a result of lower occupancy levels. The total recorded investment before allowance for credit losses for mortgage loans, which were modified and met the criteria of Troubled Debt Restructuring (“TDR”), is $77 million as of June 30, 2022. For the six months ended June 30, 2021, the Company did not have any significant loans that were modified and met the criteria of a TDR. The Company had no mortgage loans that were on a nonaccrual status as of June 30, 2022 and 2021. The Company did not acquire any impaired mortgage loans during six months ended June 30, 2022 and 2021.

The majority of policy loans are associated with one client. These policy loans present no credit risk as the amount of the loan cannot exceed the obligation due to the ceding company upon the death of the insured or surrender of the underlying policy. The provisions of the treaties in force and the underlying policies determine the policy loan interest rates. The Company earns a spread between the interest rate earned on policy loans and the interest rate credited to corresponding liabilities.

As of June 30, 2022, $4.1 billion of the funds withheld at interest balance is primarily associated with two clients. For reinsurance agreements written on a modco basis and certain agreements written on a coinsurance funds withheld basis, assets equal to the net statutory reserves are withheld and legally owned and managed by the ceding company and are reflected as funds withheld at interest. In the event of a ceding company’s insolvency, the Company would need to assert a claim on the assets supporting its reserve liabilities. However, the risk of loss to the Company is mitigated by its ability to offset amounts it owes the ceding company for claims or allowances against amounts owed to the Company from the ceding company.

Other invested assets include limited partnership interests, joint ventures (other than operating joint ventures), lifetime mortgages, and derivative contracts. Other invested assets also includes FHLB common stock and unit-linked investments, which are included in Other in the table below. As of June 30, 2022 and December 31, 2021, the allowance for credit losses for lifetime mortgages was not material. The carrying values of other invested assets as of June 30, 2022 and December 31, 2021 are as follows (dollars in millions):