Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2021 | Oct. 29, 2021 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Entity Registrant Name | MetLife, Inc. | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-15787 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 13-4075851 | |
Entity Address, Address Line One | 200 Park Avenue, | |
Entity Address, City or Town | New York, | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10166-0188 | |
City Area Code | 212 | |
Local Phone Number | 578-9500 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Central Index Key | 0001099219 | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 841,160,193 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 | |
Common Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Common Stock, par value $0.01 | |
Trading Symbol | MET | |
Security Exchange Name | NYSE | |
Floating Rate Non-Cumulative Preferred Stock, Series A, par value $0.01 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Floating Rate Non-Cumulative Preferred Stock, Series A, par value $0.01 | |
Trading Symbol | MET PRA | |
Security Exchange Name | NYSE | |
Depositary Shares, each representing a 1/1,000th interest in a share of 5.625% Non-Cumulative Preferred Stock, Series E | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares, each representing a 1/1,000th interest in a share of 5.625% Non-Cumulative Preferred Stock, Series E | |
Trading Symbol | MET PRE | |
Security Exchange Name | NYSE | |
Depositary Shares, each representing a 1/1,000th interest in a share of 4.75% Non-Cumulative Preferred Stock, Series F | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares, each representing a 1/1,000th interest ina share of 4.75% Non-Cumulative Preferred Stock, Series F | |
Trading Symbol | MET PRF | |
Security Exchange Name | NYSE |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Investments: | ||
Fixed maturity securities available-for-sale, at estimated fair value (amortized cost: $310,004 and $310,811, respectively; allowance for credit loss of $68 and $81, respectively) | $ 341,038 | $ 354,809 |
Equity securities, at estimated fair value | 941 | 1,079 |
Contractholder-directed equity securities and fair value option securities, at estimated fair value | 12,055 | 13,319 |
Mortgage loans (net of allowance for credit loss of $563 and $590, respectively; includes $134 and $165, respectively, under the fair value option) | 80,964 | 83,919 |
Policy loans | 9,186 | 9,493 |
Real estate and real estate joint ventures (includes $225 and $169, respectively, under the fair value option and $0 and $128, respectively, of real estate held-for-sale) | 12,182 | 11,933 |
Other limited partnership interests | 13,480 | 9,470 |
Short-term investments, principally at estimated fair value | 7,150 | 3,904 |
Other invested assets (includes $2,019 and $2,156, respectively, of leveraged and direct financing leases and $356 and $332, respectively, relating to variable interest entities) | 18,683 | 20,593 |
Total investments | 495,679 | 508,519 |
Cash and cash equivalents, principally at estimated fair value (includes $13 and $12, respectively, relating to variable interest entities) | 18,956 | 19,795 |
Accrued investment income | 3,354 | 3,388 |
Premiums, reinsurance and other receivables (includes $5 and $4, respectively, relating to variable interest entities) | 17,816 | 17,870 |
Deferred policy acquisition costs and value of business acquired | 16,191 | 16,389 |
Goodwill | 9,638 | 10,112 |
Assets held-for-sale | 7,462 | 7,418 |
Other assets (includes $1 and $1, respectively, relating to variable interest entities) | 11,614 | 11,685 |
Separate account assets | 180,954 | 199,970 |
Total assets | 761,664 | 795,146 |
Liabilities | ||
Future policy benefits | 197,086 | 206,656 |
Policyholder account balances | 203,973 | 205,176 |
Other policy-related balances | 17,735 | 17,101 |
Policyholder dividends payable | 525 | 587 |
Policyholder dividend obligation | 1,952 | 2,969 |
Payables for collateral under securities loaned and other transactions | 31,382 | 29,475 |
Short-term debt | 346 | 393 |
Long-term debt (includes $0 and $5, respectively, relating to variable interest entities) | 14,010 | 14,603 |
Collateral financing arrangement | 806 | 845 |
Junior subordinated debt securities | 3,155 | 3,153 |
Current income tax payable | 103 | 129 |
Deferred income tax liability | 9,850 | 11,008 |
Liabilities held-for-sale | 6,757 | 4,650 |
Other liabilities (includes $1 and $1, respectively, relating to variable interest entities) | 23,697 | 23,614 |
Separate account liabilities | 180,954 | 199,970 |
Total liabilities | 692,331 | 720,329 |
Contingencies, Commitments and Guarantees (Note 15) | ||
MetLife, Inc.’s stockholders’ equity: | ||
Preferred stock, par value $0.01 per share; $3,905 and $4,405 aggregate liquidation preference | 0 | 0 |
Common stock, par value $0.01 per share; 3,000,000,000 shares authorized; 1,186,092,767 and 1,181,614,288 shares issued, respectively; 844,531,818 and 892,910,600 shares outstanding, respectively | 12 | 12 |
Additional paid-in capital | 33,457 | 33,812 |
Retained earnings | 40,426 | 36,491 |
Treasury stock, at cost; 341,560,949 and 288,703,688 shares, respectively | (16,956) | (13,829) |
Accumulated other comprehensive income (loss) ("AOCI") | 12,111 | 18,072 |
Total MetLife, Inc.’s stockholders’ equity | 69,050 | 74,558 |
Noncontrolling interests | 283 | 259 |
Total equity | 69,333 | 74,817 |
Total liabilities and equity | $ 761,664 | $ 795,146 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Assets | ||
Amortized cost of fixed maturity securities available-for-sale | $ 310,004 | $ 310,811 |
Debt Securities, Available-for-sale, Allowance for Credit Loss | 68 | 81 |
Mortgage Loans, Allowance for Credit Loss | 563 | 590 |
Residential mortgage loans — FVO | 80,964 | 83,919 |
Real estate and real estate joint ventures (includes $225 and $169, respectively, under the fair value option and $0 and $128, respectively, of real estate held-for-sale) | 12,182 | 11,933 |
Real Estate Held-for-sale | 0 | 128 |
Other Invested Assets - Leveraged and Direct Financing Leases | 2,019 | 2,156 |
Other invested assets relating to variable interest entities | 18,683 | 20,593 |
Cash and cash equivalents relating to variable interest entities | 18,956 | 19,795 |
Premiums, reinsurance and other receivables relating to variable interest entities | 17,816 | 17,870 |
Other assets relating to variable interest entities | 11,614 | 11,685 |
Liabilities | ||
Long-term debt, at estimated fair value, relating to variable interest entities | 14,010 | 14,603 |
Other liabilities relating to variable interest entities | $ 23,697 | $ 23,614 |
MetLife, Inc.’s stockholders’ equity: | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, aggregate liquidation preference | $ 3,905 | $ 4,405 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 3,000,000,000 | 3,000,000,000 |
Common stock, shares issued | 1,186,092,767 | 1,181,614,288 |
Common stock, shares outstanding | 844,531,818 | 892,910,600 |
Treasury stock, shares | 341,560,949 | 288,703,688 |
Residential mortgage loans - FVO | ||
Assets | ||
Residential mortgage loans — FVO | $ 134 | $ 165 |
Real estate and real estate joint venture [Member] | ||
Assets | ||
Real estate and real estate joint ventures (includes $225 and $169, respectively, under the fair value option and $0 and $128, respectively, of real estate held-for-sale) | 225 | 169 |
Variable interest entities | ||
Assets | ||
Other invested assets relating to variable interest entities | 356 | 332 |
Cash and cash equivalents relating to variable interest entities | 13 | 12 |
Premiums, reinsurance and other receivables relating to variable interest entities | 5 | 4 |
Other assets relating to variable interest entities | 1 | 1 |
Liabilities | ||
Long-term debt, at estimated fair value, relating to variable interest entities | 0 | 5 |
Other liabilities relating to variable interest entities | $ 1 | $ 1 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Revenues | ||||
Premiums | $ 9,455 | $ 9,935 | $ 28,914 | $ 28,137 |
Universal life and investment-type product policy fees | 1,521 | 1,497 | 4,334 | 4,227 |
Net investment income | 5,568 | 4,729 | 16,162 | 11,877 |
Other revenues | 663 | 455 | 1,958 | 1,350 |
Net investment gains (losses) | (84) | (20) | 1,655 | (77) |
Net derivative gains (losses) | (218) | (581) | (2,032) | 2,910 |
Total revenues | 16,905 | 16,015 | 50,991 | 48,424 |
Expenses | ||||
Policyholder benefits and claims | 10,103 | 10,000 | 30,031 | 27,689 |
Interest credited to policyholder account balances | 1,287 | 1,416 | 4,153 | 3,458 |
Policyholder dividends | 189 | 206 | 672 | 788 |
Other expenses | 3,284 | 3,470 | 9,315 | 9,726 |
Total expenses | 14,863 | 15,092 | 44,171 | 41,661 |
Income (loss) before provision for income tax | 2,042 | 923 | 6,820 | 6,763 |
Provision for income tax expense (benefit) | 453 | 214 | 1,456 | 1,503 |
Net income (loss) | 1,589 | 709 | 5,364 | 5,260 |
Less: Net income (loss) attributable to noncontrolling interests | 5 | 3 | 15 | 11 |
Net income (loss) attributable to MetLife, Inc. | 1,584 | 706 | 5,349 | 5,249 |
Less: Preferred stock dividends | 63 | 59 | 166 | 168 |
Preferred stock redemption premium | 0 | 14 | 6 | 14 |
Net income (loss) available to MetLife, Inc.’s common shareholders | 1,521 | 633 | 5,177 | 5,067 |
Comprehensive income (loss) | 1,392 | (1,818) | (595) | 8,246 |
Less: Comprehensive income (loss) attributable to noncontrolling interests, net of income tax | 6 | 3 | 17 | 13 |
Comprehensive income (loss) attributable to MetLife, Inc. | $ 1,386 | $ (1,821) | $ (612) | $ 8,233 |
Net income (loss) available to MetLife, Inc.’s common shareholders per common share: | ||||
Basic | $ 1.78 | $ 0.70 | $ 5.94 | $ 5.57 |
Diluted | $ 1.77 | $ 0.69 | $ 5.90 | $ 5.53 |
Consolidated Statements of Equi
Consolidated Statements of Equity (Unaudited) - USD ($) $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment | Preferred Stock | Common Stock | Additional Paid-in Capital | Retained Earnings | Retained EarningsCumulative Effect, Period of Adoption, Adjustment | Treasury Stock at Cost | Accumulated Other Comprehensive Income (Loss) | Total MetLife, Inc.'s Stockholders' Equity | Total MetLife, Inc.'s Stockholders' EquityCumulative Effect, Period of Adoption, Adjustment | Noncontrolling Interests |
Beginning Balance at Dec. 31, 2019 | $ 66,382 | $ (121) | $ 0 | $ 12 | $ 32,680 | $ 33,078 | $ (121) | $ (12,678) | $ 13,052 | $ 66,144 | $ (121) | $ 238 |
Treasury stock acquired in connection with share repurchases | (500) | (500) | (500) | |||||||||
Stock-based compensation | 76 | 76 | 76 | |||||||||
Dividends on preferred stock | (109) | (109) | (109) | |||||||||
Dividends on common stock | (823) | (823) | (823) | |||||||||
Change in equity of noncontrolling interests | (1) | 0 | (1) | |||||||||
Net income (loss) | 4,551 | 4,543 | 4,543 | 8 | ||||||||
Other comprehensive income (loss), net of income tax | 5,513 | 5,511 | 5,511 | 2 | ||||||||
Preferred stock issuance | $ 972 | 972 | 972 | |||||||||
Dividend Per Share | $ 0.900 | |||||||||||
Ending Balance at Jun. 30, 2020 | $ 75,940 | 0 | 12 | 33,728 | 36,568 | (13,178) | 18,563 | 75,693 | 247 | |||
Beginning Balance at Dec. 31, 2019 | 66,382 | $ (121) | 0 | 12 | 32,680 | 33,078 | $ (121) | (12,678) | 13,052 | 66,144 | $ (121) | 238 |
Preferred stock redemption premium | (14) | |||||||||||
Treasury stock acquired in connection with share repurchases | (580) | |||||||||||
Dividends on preferred stock | (168) | |||||||||||
Net income (loss) | 5,260 | |||||||||||
Preferred stock issuance | 1,961 | |||||||||||
Ending Balance at Sep. 30, 2020 | 73,569 | 0 | 12 | 33,744 | 36,782 | (13,258) | 16,036 | 73,316 | 253 | |||
Beginning Balance at Jun. 30, 2020 | 75,940 | 0 | 12 | 33,728 | 36,568 | (13,178) | 18,563 | 75,693 | 247 | |||
Redemption of preferred stock | (989) | (989) | (989) | |||||||||
Preferred stock redemption premium | (14) | (14) | (14) | |||||||||
Treasury stock acquired in connection with share repurchases | (80) | (80) | (80) | |||||||||
Stock-based compensation | 16 | 16 | 16 | |||||||||
Dividends on preferred stock | (59) | (59) | (59) | |||||||||
Dividends on common stock | (419) | (419) | (419) | |||||||||
Change in equity of noncontrolling interests | 3 | 0 | 3 | |||||||||
Net income (loss) | 709 | 706 | 706 | 3 | ||||||||
Other comprehensive income (loss), net of income tax | (2,527) | (2,527) | (2,527) | 0 | ||||||||
Preferred stock issuance | $ 989 | 989 | 989 | |||||||||
Dividend Per Share | $ 0.460 | |||||||||||
Ending Balance at Sep. 30, 2020 | $ 73,569 | 0 | 12 | 33,744 | 36,782 | (13,258) | 16,036 | 73,316 | 253 | |||
Beginning Balance at Dec. 31, 2020 | 74,817 | 0 | 12 | 33,812 | 36,491 | (13,829) | 18,072 | 74,558 | 259 | |||
Redemption of preferred stock | (494) | (494) | (494) | |||||||||
Preferred stock redemption premium | (6) | (6) | (6) | |||||||||
Treasury stock acquired in connection with share repurchases | (2,112) | (2,112) | (2,112) | |||||||||
Stock-based compensation | 122 | 122 | 122 | |||||||||
Dividends on preferred stock | (103) | (103) | (103) | |||||||||
Dividends on common stock | (829) | (829) | (829) | |||||||||
Change in equity of noncontrolling interests | 15 | 0 | 15 | |||||||||
Net income (loss) | 3,775 | 3,765 | 3,765 | 10 | ||||||||
Other comprehensive income (loss), net of income tax | $ (5,762) | (5,763) | (5,763) | 1 | ||||||||
Dividend Per Share | $ 0.940 | |||||||||||
Ending Balance at Jun. 30, 2021 | $ 69,423 | 0 | 12 | 33,440 | 39,318 | (15,941) | 12,309 | 69,138 | 285 | |||
Beginning Balance at Dec. 31, 2020 | 74,817 | 0 | 12 | 33,812 | 36,491 | (13,829) | 18,072 | 74,558 | 259 | |||
Preferred stock redemption premium | (6) | |||||||||||
Treasury stock acquired in connection with share repurchases | (3,100) | |||||||||||
Dividends on preferred stock | (166) | |||||||||||
Net income (loss) | 5,364 | |||||||||||
Preferred stock issuance | 0 | |||||||||||
Ending Balance at Sep. 30, 2021 | 69,333 | 0 | 12 | 33,457 | 40,426 | (16,956) | 12,111 | 69,050 | 283 | |||
Beginning Balance at Jun. 30, 2021 | 69,423 | 0 | 12 | 33,440 | 39,318 | (15,941) | 12,309 | 69,138 | 285 | |||
Preferred stock redemption premium | 0 | |||||||||||
Treasury stock acquired in connection with share repurchases | (1,015) | (1,015) | (1,015) | |||||||||
Stock-based compensation | 17 | 17 | 17 | |||||||||
Dividends on preferred stock | (63) | (63) | (63) | |||||||||
Dividends on common stock | (413) | (413) | (413) | |||||||||
Change in equity of noncontrolling interests | (8) | 0 | (8) | |||||||||
Net income (loss) | 1,589 | 1,584 | 1,584 | 5 | ||||||||
Other comprehensive income (loss), net of income tax | $ (197) | (198) | (198) | 1 | ||||||||
Dividend Per Share | $ 0.480 | |||||||||||
Ending Balance at Sep. 30, 2021 | $ 69,333 | $ 0 | $ 12 | $ 33,457 | $ 40,426 | $ (16,956) | $ 12,111 | $ 69,050 | $ 283 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) $ in Millions | 9 Months Ended | |
Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | |
Statement of Cash Flows [Abstract] | ||
Net cash provided by (used in) operating activities | $ 7,256 | $ 6,486 |
Cash flows from investing activities | ||
Sales, maturities and repayments of fixed maturity securities available-for-sale | 63,778 | 56,872 |
Sales, maturities and repayments of equity securities | 476 | 262 |
Sales, maturities and repayments of mortgage loans | 12,692 | 7,848 |
Sales, maturities and repayments of real estate and real estate joint ventures | 1,160 | 110 |
Sales, maturities and repayments of other limited partnership interests | 512 | 305 |
Purchases of fixed maturity securities available-for-sale | (69,525) | (71,503) |
Purchases of equity securities | (57) | (154) |
Purchases of mortgage loans | (9,909) | (10,137) |
Purchases of real estate and real estate joint ventures | (1,174) | (1,106) |
Purchases of other limited partnership interests | (2,092) | (1,279) |
Cash received in connection with freestanding derivatives | 2,574 | 5,123 |
Cash paid in connection with freestanding derivatives | (6,794) | (2,900) |
Sales of businesses | 3,329 | 0 |
Net change in policy loans | 179 | 106 |
Net change in short-term investments | (3,165) | (35) |
Net change in other invested assets | (267) | (55) |
Other, net | (42) | 136 |
Net cash provided by (used in) investing activities | (8,325) | (16,407) |
Cash flows from financing activities | ||
Policyholder account balances: Deposits | 75,536 | 73,626 |
Policyholder account balances: Withdrawals | (71,495) | (64,856) |
Net change in payables for collateral under securities loaned and other transactions | 1,279 | 8,025 |
Cash received for other transactions with tenors greater than three months | 0 | 150 |
Cash paid for other transactions with tenors greater than three months | (100) | (175) |
Long-term debt issued | 29 | 1,124 |
Long-term debt repaid | (540) | (95) |
Collateral financing arrangement repaid | (39) | (69) |
Financing element on certain derivative instruments and other derivative related transactions, net | 305 | (108) |
Treasury stock acquired in connection with share repurchases | (3,127) | (580) |
Preferred stock issued, net of issuance costs | 0 | 1,961 |
Redemption of preferred stock | (494) | 0 |
Preferred stock redemption premium | (6) | 0 |
Dividends on preferred stock | (166) | (168) |
Dividends on common stock | (1,242) | (1,242) |
Other, net | 20 | 129 |
Net cash provided by (used in) financing activities | (40) | 17,722 |
Effect of change in foreign currency exchange rates on cash and cash equivalents balances | (392) | 6 |
Change in cash and cash equivalents | (1,501) | 7,807 |
Cash and cash equivalents, including subsidiary held-for-sale, beginning of period | 20,560 | 16,598 |
Cash and cash equivalents, including subsidiary held-for-sale, end of period | 19,059 | 24,405 |
Cash and cash equivalents, subsidiary held-for-sale, beginning of period | 765 | 0 |
Cash and cash equivalents, subsidiary held-for-sale, end of period | 103 | 0 |
Cash and cash equivalents, beginning of period | 19,795 | 16,598 |
Cash and cash equivalents, end of period | 18,956 | 24,405 |
Supplemental disclosures of cash flow information | ||
Net cash paid for Interest | 606 | 579 |
Net cash paid (received) for Income tax | 861 | 339 |
Assets held-for-sale | 7,462 | 0 |
Liabilities held-for-sale | 6,757 | 0 |
Net assets held-for-sale | 705 | 0 |
Non-cash transactions: | ||
Real estate and real estate joint ventures acquired in satisfaction of debt | 172 | 9 |
Increase in equity securities due to in-kind distributions received from other limited partnership interests | 273 | 66 |
Reclassification of certain other invested assets to contractholder-directed equity securities and fair value option securities | 309 | 0 |
Increase in other liabilities associated with the notice of redemption of preferred stock | $ 0 | $ 1,003 |
Statement of Cash Flows (Statem
Statement of Cash Flows (Statement) (Parenthetical) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Cash Flows [Abstract] | ||
Cash Divested from Deconsolidation | $ 611 | $ 0 |
Business, Basis of Presentation
Business, Basis of Presentation and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business, Basis of Presentation and Summary of Significant Accounting Policies | 1. Business, Basis of Presentation and Summary of Significant Accounting Policies Business “MetLife” and the “Company” refer to MetLife, Inc., a Delaware corporation incorporated in 1999, its subsidiaries and affiliates. MetLife is one of the world’s leading financial services companies, providing insurance, annuities, employee benefits and asset management. MetLife is organized into five segments: U.S.; Asia; Latin America; Europe, the Middle East and Africa (“EMEA”); and MetLife Holdings. Basis of Presentation The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to adopt accounting policies and make estimates and assumptions that affect amounts reported on the interim condensed consolidated financial statements. In applying these policies and estimates, management makes subjective and complex judgments that frequently require assumptions about matters that are inherently uncertain, including uncertainties associated with the novel coronavirus COVID-19 pandemic (the “COVID-19 Pandemic”). Many of these policies, estimates and related judgments are common in the insurance and financial services industries; others are specific to the Company’s business and operations. Actual results could differ from these estimates. The accompanying interim condensed consolidated financial statements are unaudited and reflect all adjustments (including normal recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented in conformity with GAAP. Interim results are not necessarily indicative of full year performance. The December 31, 2020 consolidated balance sheet data was derived from audited consolidated financial statements included in MetLife, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Annual Report”), which include all disclosures required by GAAP. Therefore, these interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements of the Company included in the 2020 Annual Report. Consolidation The accompanying interim condensed consolidated financial statements include the accounts of MetLife, Inc. and its subsidiaries, as well as partnerships and joint ventures in which the Company has control, and variable interest entities (“VIEs”) for which the Company is the primary beneficiary. Intercompany accounts and transactions have been eliminated. The Company uses the equity method of accounting or the fair value option (“FVO”) for real estate joint ventures and other limited partnership interests (“investee”) when it has more than a minor ownership interest or more than a minor influence over the investee’s operations. The Company generally recognizes its share of the investee’s earnings in net investment income on a three-month lag in instances where the investee’s financial information is not sufficiently timely or when the investee’s reporting period differs from the Company’s reporting period. Held-for-Sale The Company classifies a business as held-for-sale when management has approved or received approval to sell the business, the sale is probable to occur during the next 12 months at a price that is reasonable in relation to its current estimated fair value and certain other specified criteria are met. The business classified as held-for-sale is recorded at the lower of the carrying value and estimated fair value, less cost to sell. If the carrying value of the business exceeds its estimated fair value, less cost to sell, a loss is recognized and reported in net investment gains (losses). Assets and liabilities related to the business classified as held-for-sale are separately reported in the Company's consolidated balance sheets in the period in which the business is classified as held-for-sale. See Note 3. If a component of the Company has either been disposed of or is classified as held-for-sale and represents a strategic shift that has or will have a major effect on the Company’s operations and financial results, the results of the component are reported in discontinued operations. Reclassifications Certain amounts in the prior year periods’ interim condensed consolidated financial statements and related footnotes thereto have been reclassified to conform to the 2021 presentation as discussed throughout the Notes to the Interim Condensed Consolidated Financial Statements. Recent Accounting Pronouncements Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates (“ASUs”) to the FASB Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. The following tables provide a description of new ASUs issued by the FASB and the impact of the adoption on the Company’s interim condensed consolidated financial statements. Adoption of New Accounting Pronouncements The table below describes the impacts of the ASUs recently adopted by the Company. Standard Description Effective Date and Impact on Financial Statements ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting ; as clarified and amended by ASU 2021-01, Reference Rate Reform (Topic 848): Scope The new guidance provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The expedients and exceptions provided by the amendments do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, with certain exceptions. ASU 2021-01 amends the scope of the recent reference rate reform guidance. New optional expedients allow derivative instruments impacted by changes in the interest rate used for margining, discounting, or contract price alignment to qualify for certain optional relief. Effective for contract modifications made between March 12, 2020 and December 31, 2022. The new guidance reduces the operational and financial impacts of contract modifications that replace a reference rate, such as London Interbank Offered Rate (“LIBOR”), affected by reference rate reform. The adoption of the new guidance provides relief from current GAAP and is not expected to have a material impact on the Company’s interim condensed consolidated financial statements. The Company will continue to evaluate the impacts of reference rate reform on contract modifications and hedging relationships through December 31, 2022. ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The new guidance simplifies the accounting for income taxes by removing certain exceptions to the tax accounting guidance and providing clarification to other specific tax accounting guidance to eliminate variations in practice. Specifically, it removes the exceptions related to the a) incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, b) recognition of a deferred tax liability when foreign investment ownership changes from equity method investment to consolidated subsidiary and vice versa and c) use of interim period tax accounting for year-to-date losses that exceed anticipated losses. The guidance also simplifies the application of the income tax guidance for franchise taxes that are partially based on income and the accounting for tax law changes during interim periods, clarifies the accounting for transactions that result in a step-up in tax basis of goodwill, provides for the option to elect allocation of consolidated income taxes to entities disregarded by taxing authorities for their stand-alone reporting, and requires that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date. January 1, 2021. The Company adopted, using a prospective approach. The adoption of the new guidance did not have a material impact on the Company’s interim condensed consolidated financial statements. Future Adoption of New Accounting Pronouncements ASUs not listed below were assessed and either determined to be not applicable or are not expected to have a material impact on the Company’s interim condensed consolidated financial statements or disclosures. ASUs issued but not yet adopted as of September 30, 2021 that are currently being assessed and may or may not have a material impact on the Company’s interim condensed consolidated financial statements or disclosures are summarized in the table below. Standard Description Effective Date and Impact on Financial Statements ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers The new guidance indicates how to determine whether a contract liability is recognized by the acquirer in a business combination and provides specific guidance on how to recognize and measure acquired contract assets and contract liabilities from revenue contracts in a business combination. January 1, 2023, to be applied prospectively (with early adoption permitted). The Company is currently evaluating the impact of the new guidance on its interim condensed consolidated financial statements. ASU 2018-12, Financial Services—Insurance (Topic 944): Targeted Improvements to the Accounting for Long-Duration Contracts, as amended by ASU 2019-09, Financial Services—Insurance (Topic 944): Effective Date, as amended by ASU 2020-11 , Financial Services—Insurance (Topic 944): Effective Date and Early Application The new guidance (i) prescribes the discount rate to be used in measuring the liability for future policy benefits for traditional and limited payment long-duration contracts, and requires assumptions for those liability valuations to be updated after contract inception, (ii) requires more market-based product guarantees on certain separate account and other account balance long-duration contracts to be accounted for at fair value, (iii) simplifies the amortization of deferred policy acquisition costs (“DAC”) for virtually all long-duration contracts, and (iv) introduces certain financial statement presentation requirements, as well as significant additional quantitative and qualitative disclosures. The amendments in ASU 2019-09 defer the effective date of ASU 2018-12 to January 1, 2022 for all entities, and the amendments in ASU 2020-11 further defer the effective date of ASU 2018-12 for an additional year to January 1, 2023 for all entities. January 1, 2023, to be applied retrospectively to January 1, 2021 (with early adoption permitted). The Company’s implementation efforts and the evaluation of the impacts of the new guidance continue to progress. Given the nature and extent of the required changes to a significant portion of the Company’s operations, the adoption of this guidance is expected to have a material impact on its financial position, results of operations, and disclosures, as well as systems, processes, and controls. The Company expects to adopt the new guidance effective January 1, 2023 using the modified retrospective approach, except for market risk benefits where the Company will use the full retrospective approach. The Company continues to evaluate the impact of the new guidance on its interim condensed consolidated financial statements. The Company has created a governance framework and is managing a detailed implementation plan to support timely application of the new guidance. The Company has made progress and continues to refine key accounting policy decisions, technology solutions and updates to internal controls. These activities include, but are not limited to, modifications of actuarial valuation systems, data sourcing, analytical procedures and reporting processes. The most significant transition impacts are expected to be from: (i) the requirement to account for variable annuity guarantees as market risk benefits measured at fair value, (except for the changes in fair value already recognized under an existing accounting model) and (ii) adjustments to AOCI for the change in the current discount rate to be used in measuring the liability for future policy benefits for traditional and limited payment contracts and the removal of shadow account balances. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Segment Information | 2. Segment Information MetLife is organized into five segments: U.S.; Asia; Latin America; EMEA; and MetLife Holdings. In addition, the Company reports certain of its results of operations in Corporate & Other. U.S. The U.S. segment offers a broad range of protection products and services aimed at serving the financial needs of customers throughout their lives. These products are sold to corporations and their respective employees, other institutions and their respective members, as well as individuals. The U.S. segment is organized into two businesses: Group Benefits and Retirement and Income Solutions (“RIS”). Prior to its disposition, the Property & Casualty business was included in the U.S. segment. See Note 3. • The Group Benefits business offers products such as term, variable and universal life insurance, dental, group and individual disability, vision and accident & health insurance. • The RIS business offers a broad range of life and annuity-based insurance and investment products, including stable value and pension risk transfer products, institutional income annuities, structured settlements, and capital markets investment products, as well as solutions for funding postretirement benefits and company-, bank- and trust-owned life insurance. • The Property & Casualty business offered personal lines of property and casualty insurance, including private passenger automobile and homeowners’ insurance. Asia The Asia segment offers a broad range of products to both individuals and corporations, as well as to other institutions, and their respective employees, which include life insurance, accident & health insurance and retirement and savings. Latin America The Latin America segment offers a broad range of products to both individuals and corporations, as well as to other institutions, and their respective employees, which include life insurance, retirement and savings, accident & health insurance and credit insurance. EMEA The EMEA segment offers products to individuals, corporations, other institutions, and their respective employees, which include life insurance, accident & health insurance, retirement and savings and credit insurance. MetLife Holdings The MetLife Holdings segment consists of operations relating to products and businesses that the Company no longer actively markets in the United States. These include variable, universal, term and whole life insurance, variable, fixed and index-linked annuities and long-term care insurance. Corporate & Other Corporate & Other contains various start-up, developing and run-off businesses. Also included in Corporate & Other are: the excess capital, as well as certain charges and activities, not allocated to the segments (including external integration and disposition costs, internal resource costs for associates committed to acquisitions and dispositions and enterprise-wide strategic initiative restructuring charges), interest expense related to the majority of the Company’s outstanding debt, expenses associated with certain legal proceedings and income tax audit issues, the elimination of intersegment amounts (which generally relate to affiliated reinsurance, investment expenses and intersegment loans, bearing interest rates commensurate with related borrowings), and the Company’s investment management business (through which the Company provides public fixed income, private capital and real estate investment solutions to institutional investors worldwide). Financial Measures and Segment Accounting Policies Adjusted earnings is used by management to evaluate performance and allocate resources. Consistent with GAAP guidance for segment reporting, adjusted earnings is also the Company’s GAAP measure of segment performance and is reported below. Adjusted earnings should not be viewed as a substitute for net income (loss). The Company believes the presentation of adjusted earnings, as the Company measures it for management purposes, enhances the understanding of its performance by highlighting the results of operations and the underlying profitability drivers of the business. Adjusted earnings is defined as adjusted revenues less adjusted expenses, net of income tax. The financial measures of adjusted revenues and adjusted expenses focus on the Company’s primary businesses principally by excluding the impact of market volatility, which could distort trends, and revenues and costs related to non-core products and certain entities required to be consolidated under GAAP. Also, these measures exclude results of discontinued operations under GAAP and other businesses that have been or will be sold or exited by MetLife but do not meet the discontinued operations criteria under GAAP and are referred to as divested businesses. Divested businesses also include the net impact of transactions with exited businesses that have been eliminated in consolidation under GAAP and costs relating to businesses that have been or will be sold or exited by MetLife that do not meet the criteria to be included in results of discontinued operations under GAAP. Adjusted revenues also excludes net investment gains (losses) and net derivative gains (losses). Adjusted expenses also excludes goodwill impairments. The following additional adjustments are made to revenues, in the line items indicated, in calculating adjusted revenues: • Universal life and investment-type product policy fees excludes the amortization of unearned revenue related to net investment gains (losses) and net derivative gains (losses) and certain variable annuity guaranteed minimum income benefits (“GMIBs”) fees (“GMIB fees”); • Net investment income: (i) includes adjustments for earned income on derivatives and amortization of premium on derivatives that are hedges of investments or that are used to replicate certain investments, but do not qualify for hedge accounting treatment, (ii) excludes post-tax adjusted earnings adjustments relating to insurance joint ventures accounted for under the equity method, (iii) excludes certain amounts related to contractholder-directed equity securities, (iv) excludes certain amounts related to securitization entities that are VIEs consolidated under GAAP and (v) includes distributions of profits from certain other limited partnership interests that were previously accounted for under the cost method, but are now accounted for at estimated fair value, where the change in estimated fair value is recognized in net investment gains (losses) under GAAP; and • Other revenues is adjusted for settlements of foreign currency earnings hedges and excludes fees received in association with services provided under transition service agreements (“TSA fees”). The following additional adjustments are made to expenses, in the line items indicated, in calculating adjusted expenses: • Policyholder benefits and claims and policyholder dividends excludes: (i) amortization of basis adjustments associated with de-designated fair value hedges of future policy benefits, (ii) changes in the policyholder dividend obligation related to net investment gains (losses) and net derivative gains (losses), (iii) inflation-indexed benefit adjustments associated with contracts backed by inflation-indexed investments and amounts associated with periodic crediting rate adjustments based on the total return of a contractually referenced pool of assets and other pass through adjustments, (iv) benefits and hedging costs related to GMIBs (“GMIB costs”) and (v) market value adjustments associated with surrenders or terminations of contracts (“Market value adjustments”); • Interest credited to policyholder account balances includes adjustments for earned income on derivatives and amortization of premium on derivatives that are hedges of policyholder account balances but do not qualify for hedge accounting treatment and excludes certain amounts related to net investment income earned on contractholder-directed equity securities; • Amortization of DAC and value of business acquired (“VOBA”) excludes amounts related to: (i) net investment gains (losses) and net derivative gains (losses), (ii) GMIB fees and GMIB costs and (iii) Market value adjustments; • Amortization of negative VOBA excludes amounts related to Market value adjustments; • Interest expense on debt excludes certain amounts related to securitization entities that are VIEs consolidated under GAAP; and • Other expenses excludes: (i) noncontrolling interests, (ii) implementation of new insurance regulatory requirements costs, and (iii) acquisition, integration and other costs. Other expenses includes TSA fees. Adjusted earnings also excludes the recognition of certain contingent assets and liabilities that could not be recognized at acquisition or adjusted for during the measurement period under GAAP business combination accounting guidance. The tax impact of the adjustments mentioned above are calculated net of the U.S. or foreign statutory tax rate, which could differ from the Company’s effective tax rate. Additionally, the provision for income tax (expense) benefit also includes the impact related to the timing of certain tax credits, as well as certain tax reforms. Set forth in the tables below is certain financial information with respect to the Company’s segments, as well as Corporate & Other, for the three months and nine months ended September 30, 2021 and 2020. The segment accounting policies are the same as those used to prepare the Company’s interim condensed consolidated financial statements, except for adjusted earnings adjustments as defined above. In addition, segment accounting policies include the method of capital allocation described below. Economic capital is an internally developed risk capital model, the purpose of which is to measure the risk in the business and to provide a basis upon which capital is deployed. The economic capital model accounts for the unique and specific nature of the risks inherent in the Company’s business. The Company’s economic capital model, coupled with considerations of local capital requirements, aligns segment allocated equity with emerging standards and consistent risk principles. The model applies statistics-based risk evaluation principles to the material risks to which the Company is exposed. These consistent risk principles include calibrating required economic capital shock factors to a specific confidence level and time horizon while applying an industry standard method for the inclusion of diversification benefits among risk types. The Company’s management is responsible for the ongoing production and enhancement of the economic capital model and reviews its approach periodically to ensure that it remains consistent with emerging industry practice standards. Segment net investment income is credited or charged based on the level of allocated equity; however, changes in allocated equity do not impact the Company’s consolidated net investment income, net income (loss) or adjusted earnings. Net investment income is based upon the actual results of each segment’s specifically identifiable investment portfolios adjusted for allocated equity. Other costs are allocated to each of the segments based upon: (i) a review of the nature of such costs; (ii) time studies analyzing the amount of employee compensation costs incurred by each segment; and (iii) cost estimates included in the Company’s product pricing. Three Months Ended September 30, 2021 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total (In millions) Revenues Premiums $ 5,746 $ 1,594 $ 705 $ 532 $ 805 $ 16 $ 9,398 $ 57 $ 9,455 Universal life and investment-type product policy fees 279 477 274 128 279 — 1,437 84 1,521 Net investment income 2,098 1,354 306 46 1,771 93 5,668 (100) 5,568 Other revenues 383 17 9 10 57 108 584 79 663 Net investment gains (losses) — — — — — — — (84) (84) Net derivative gains (losses) — — — — — — — (218) (218) Total revenues 8,506 3,442 1,294 716 2,912 217 17,087 (182) 16,905 Expenses Policyholder benefits and claims and policyholder dividends 6,118 1,220 885 268 1,611 9 10,111 181 10,292 Interest credited to policyholder account balances 362 513 63 17 212 — 1,167 120 1,287 Capitalization of DAC (17) (373) (109) (110) (8) (3) (620) (15) (635) Amortization of DAC and VOBA 26 470 62 118 80 2 758 58 816 Amortization of negative VOBA — (5) — (1) — — (6) — (6) Interest expense on debt 1 — 2 — 1 236 240 — 240 Other expenses 886 811 363 308 255 137 2,760 109 2,869 Total expenses 7,376 2,636 1,266 600 2,151 381 14,410 453 14,863 Provision for income tax expense (benefit) 235 237 (1) 22 155 (96) 552 (99) 453 Adjusted earnings $ 895 $ 569 $ 29 $ 94 $ 606 $ (68) 2,125 Adjustments to: Total revenues (182) Total expenses (453) Provision for income tax (expense) benefit 99 Net income (loss) $ 1,589 $ 1,589 Three Months Ended September 30, 2020 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total (In millions) Revenues Premiums $ 6,333 $ 1,654 $ 529 $ 551 $ 876 $ (8) $ 9,935 $ — $ 9,935 Universal life and investment-type product policy fees 263 595 225 116 269 1 1,469 28 1,497 Net investment income 1,827 1,088 221 67 1,427 58 4,688 41 4,729 Other revenues 237 16 7 13 61 82 416 39 455 Net investment gains (losses) — — — — — — — (20) (20) Net derivative gains (losses) — — — — — — — (581) (581) Total revenues 8,660 3,353 982 747 2,633 133 16,508 (493) 16,015 Expenses Policyholder benefits and claims and policyholder dividends 6,108 1,291 575 304 1,697 (6) 9,969 237 10,206 Interest credited to policyholder account balances 381 470 52 29 217 — 1,149 267 1,416 Capitalization of DAC (119) (431) (84) (122) (5) (3) (764) — (764) Amortization of DAC and VOBA 123 506 62 125 177 2 995 71 1,066 Amortization of negative VOBA — (14) — (1) — — (15) — (15) Interest expense on debt 2 — 1 — 2 224 229 — 229 Other expenses 1,026 869 313 340 231 120 2,899 55 2,954 Total expenses 7,521 2,691 919 675 2,319 337 14,462 630 15,092 Provision for income tax expense (benefit) 239 197 24 20 61 (132) 409 (195) 214 Adjusted earnings $ 900 $ 465 $ 39 $ 52 $ 253 $ (72) 1,637 Adjustments to: Total revenues (493) Total expenses (630) Provision for income tax (expense) benefit 195 Net income (loss) $ 709 $ 709 Nine Months Ended September 30, 2021 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total (In millions) Revenues Premiums $ 16,919 $ 4,861 $ 1,936 $ 1,751 $ 2,471 $ 54 $ 27,992 $ 922 $ 28,914 Universal life and investment-type product policy fees 858 1,371 831 302 826 1 4,189 145 4,334 Net investment income 6,106 3,776 913 171 4,960 153 16,079 83 16,162 Other revenues 1,159 54 30 39 188 303 1,773 185 1,958 Net investment gains (losses) — — — — — — — 1,655 1,655 Net derivative gains (losses) — — — — — — — (2,032) (2,032) Total revenues 25,042 10,062 3,710 2,263 8,445 511 50,033 958 50,991 Expenses Policyholder benefits and claims and policyholder dividends 17,999 3,750 2,370 944 4,683 36 29,782 921 30,703 Interest credited to policyholder account balances 1,080 1,498 182 66 632 — 3,458 695 4,153 Capitalization of DAC (48) (1,203) (304) (359) (25) (9) (1,948) (104) (2,052) Amortization of DAC and VOBA 50 1,080 205 274 190 7 1,806 137 1,943 Amortization of negative VOBA — (20) — (5) — — (25) — (25) Interest expense on debt 4 — 4 — 4 683 695 1 696 Other expenses 2,695 2,542 1,041 1,006 752 278 8,314 439 8,753 Total expenses 21,780 7,647 3,498 1,926 6,236 995 42,082 2,089 44,171 Provision for income tax expense (benefit) 681 703 46 78 449 (288) 1,669 (213) 1,456 Adjusted earnings $ 2,581 $ 1,712 $ 166 $ 259 $ 1,760 $ (196) 6,282 Adjustments to: Total revenues 958 Total expenses (2,089) Provision for income tax (expense) benefit 213 Net income (loss) $ 5,364 $ 5,364 Nine Months Ended September 30, 2020 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total Consolidated (In millions) Revenues Premiums $ 17,191 $ 4,874 $ 1,658 $ 1,676 $ 2,669 $ 17 $ 28,085 $ 52 $ 28,137 Universal life and investment-type product policy fees 806 1,445 733 324 812 2 4,122 105 4,227 Net investment income 5,018 2,792 699 199 3,723 22 12,453 (576) 11,877 Other revenues 717 44 28 37 166 238 1,230 120 1,350 Net investment gains (losses) — — — — — — — (77) (77) Net derivative gains (losses) — — — — — — — 2,910 2,910 Total revenues 23,732 9,155 3,118 2,236 7,370 279 45,890 2,534 48,424 Expenses Policyholder benefits and claims and policyholder dividends 16,581 3,867 1,634 877 5,063 23 28,045 432 28,477 Interest credited to policyholder account balances 1,251 1,362 178 83 654 — 3,528 (70) 3,458 Capitalization of DAC (353) (1,203) (258) (367) (15) (8) (2,204) (5) (2,209) Amortization of DAC and VOBA 357 1,105 206 340 288 6 2,302 112 2,414 Amortization of negative VOBA — (30) — (5) — — (35) — (35) Interest expense on debt 6 — 3 — 5 669 683 — 683 Other expenses 3,104 2,540 965 1,000 698 390 8,697 176 8,873 Total expenses 20,946 7,641 2,728 1,928 6,693 1,080 41,016 645 41,661 Provision for income tax expense (benefit) 583 443 124 62 127 (418) 921 582 1,503 Adjusted earnings $ 2,203 $ 1,071 $ 266 $ 246 $ 550 $ (383) 3,953 Adjustments to: Total revenues 2,534 Total expenses (645) Provision for income tax (expense) benefit (582) Net income (loss) $ 5,260 $ 5,260 The following table presents total assets with respect to the Company’s segments, as well as Corporate & Other, at: September 30, 2021 December 31, 2020 (In millions) U.S. $ 282,606 $ 291,483 Asia 169,699 173,884 Latin America 60,592 75,047 EMEA 27,523 28,372 MetLife Holdings 180,239 184,566 Corporate & Other 41,005 41,794 Total $ 761,664 $ 795,146 |
Disposition
Disposition | 9 Months Ended |
Sep. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Acquisitions and Dispositions | 3. Dispositions Disposition of MetLife Seguros S.A. In September 2021, the Company sold its wholly-owned Argentinian subsidiary, MetLife Seguros S.A. (“MetLife Seguros”). In connection with the sale, a loss of $205 million, net of income tax, was recorded for the three months and nine months ended September 30, 2021, which is reflected in net investment gains (losses). See Note 10 for the changes in AOCI related to the sale. At December 31, 2020, MetLife Seguros represented $201 million of total assets in the Latin America segment. MetLife Seguros results of operations are reported in the Latin America segment adjusted earnings through the date of sale. Pending Disposition of MetLife Poland and Greece In July 2021, the Company entered into definitive agreements to sell its wholly-owned subsidiaries in Poland and Greece (collectively, “MetLife Poland and Greece”) to NN Group N.V. for $738 million in total consideration, including a pre-closing dividend of $43 million. In connection with the pending sale, an expected loss of $202 million, net of income tax, was recorded for the nine months ended September 30, 2021, which is reflected in net investment gains (losses). MetLife Poland and Greece results of operations are reported in the EMEA segment adjusted earnings through June 30, 2021. See Note 2 for information on accounting for divested business. The transaction is expected to close in the first half of 2022 and is subject to regulatory approvals and satisfaction of other customary closing conditions. The pending disposition meets the criteria for held-for-sale accounting but does not meet the criteria to be classified as discontinued operations. As a result, the related assets and liabilities are included in the separate held-for-sale line items of the asset and liability sections of the interim condensed consolidated balance sheet. The following table summarizes the assets and liabilities held-for-sale: September 30, 2021 (In millions) Assets: Fixed maturity securities available-for-sale $ 2,143 Contractholder-directed equity securities 1,098 Other investments 136 Total investments 3,377 Cash and cash equivalents 103 Deferred policy acquisition costs and value of business acquired 139 Other 275 Separate accounts assets 3,568 Total assets held-for-sale $ 7,462 Liabilities: Future policy benefits $ 940 Policyholder account balances 2,013 Other policy-related balances 103 Other 133 Separate account liabilities 3,568 Total liabilities held-for-sale $ 6,757 MetLife Poland and Greece income (loss) before provision for income tax as reflected in the interim condensed consolidated statements of operations was $12 million and $40 million for the three months and nine months ended September 30, 2021, respectively, and ($5) million and $29 million for the three months and nine months ended September 30, 2020, respectively. Disposition of Metropolitan Property and Casualty Insurance Company In December 2020, the Company entered into a definitive agreement to sell its wholly-owned subsidiary, Metropolitan Property and Casualty Insurance Company and certain of its wholly-owned subsidiaries (collectively, “MetLife P&C”) to Farmers Group, Inc. for $3.9 billion in cash. In addition, the Company and the Farmers Exchanges agreed to establish a 10-year strategic partnership through which the Farmers Insurance Group will offer its personal line products on MetLife’s U.S. Group Benefits platform which commenced when the transaction closed. MetLife P&C results of operations are reported in the U.S. segment adjusted earnings through December 31, 2020. See Note 2 for more information on divested businesses. In April 2021, the Company completed the sale of MetLife P&C. As a result of the sale, the Company recognized a gain of $1.4 billion ($1.1 billion, net of income tax) in net investment gains (losses) for the nine months ended September 30, 2021. The disposition met the criteria for held-for-sale accounting but did not meet the criteria to be classified as discontinued operations. As a result, the related assets and liabilities were included in the separate held-for-sale line items of the asset and liability sections of the interim condensed consolidated balance sheets at December 31, 2020. The following table summarizes the assets and liabilities held-for-sale: December 31, 2020 (In millions) Assets: Fixed maturity securities available-for-sale $ 4,096 Equity securities 57 Mortgage loans 355 Other invested assets 29 Total investments 4,537 Cash and cash equivalents 765 Accrued investment income 38 Premiums, reinsurance and other receivables 1,411 Deferred policy acquisition costs 196 Goodwill 328 Other assets 143 Total assets held-for-sale $ 7,418 Liabilities: Future policy benefits $ 3,506 Other policy-related balances 33 Payables for collateral under securities loaned and other transactions 862 Other liabilities 249 Total liabilities held-for-sale $ 4,650 MetLife P&C income (loss) before provision for income tax as reflected in the interim condensed consolidated statements of operations was $121 million for the nine months ended September 30, 2021, and $20 million and $254 million for the three months and nine months ended September 30, 2020, respectively. Disposition of Joint-stock Company MetLife Insurance Company In January 2021, the Company completed the sale of its wholly-owned Russian subsidiary, the Joint-stock Company MetLife Insurance Company. See Note 3 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report for further information. |
Insurance
Insurance | 9 Months Ended |
Sep. 30, 2021 | |
Insurance [Abstract] | |
Insurance | 4. Insurance Guarantees As discussed in Notes 1 and 4 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report, the Company issues directly and assumes through reinsurance variable annuity products with guaranteed minimum benefits. Guaranteed minimum accumulation benefits (“GMABs”), the non-life contingent portion of guaranteed minimum withdrawal benefits (“GMWBs”) and certain non-life contingent portions of GMIBs are accounted for as embedded derivatives in policyholder account balances and are further discussed in Note 7. The Company also issues other annuity contracts that apply a lower rate on funds deposited if the contractholder elects to surrender the contract for cash and a higher rate if the contractholder elects to annuitize. These guarantees include benefits that are payable in the event of death, maturity or at annuitization. Certain other annuity contracts contain guaranteed annuitization benefits that may be above what would be provided by the current account value of the contract. Additionally, the Company issues universal and variable life contracts where the Company contractually guarantees to the contractholder a secondary guarantee or a guaranteed paid-up benefit. Information regarding the Company’s guarantee exposure, which includes direct and assumed business, but excludes offsets from hedging or ceded reinsurance, if any, was as follows at: September 30, 2021 December 31, 2020 In the At In the Event of Death At Annuitization (Dollars in millions) Annuity Contracts: Variable Annuity Guarantees: Total account value (1), (2), (3) $ 62,462 $ 23,049 $ 65,044 $ 24,170 Separate account value (1) $ 41,617 $ 21,380 $ 42,585 $ 22,370 Net amount at risk (2) $ 1,631 (4) $ 519 (5) $ 1,579 (4) $ 614 (5) Average attained age of contractholders 69 years 67 years 68 years 66 years Other Annuity Guarantees: Total account value (1), (3) N/A $ 5,009 N/A $ 6,030 Net amount at risk N/A $ 193 (6) N/A $ 459 (6) Average attained age of contractholders N/A 56 years N/A 50 years September 30, 2021 December 31, 2020 Secondary Paid-Up Secondary Guarantees Paid-Up (Dollars in millions) Universal and Variable Life Contracts: Total account value (1), (3) $ 13,532 $ 2,718 $ 13,426 $ 2,808 Net amount at risk (7) $ 78,416 $ 12,878 $ 82,940 $ 13,557 Average attained age of policyholders 55 years 66 years 54 years 65 years __________________ (1) The Company’s annuity and life contracts with guarantees may offer more than one type of guarantee in each contract. Therefore, the amounts listed above may not be mutually exclusive. (2) Includes amounts, which are not reported on the interim condensed consolidated balance sheets, from assumed variable annuity guarantees from the Company’s former operating joint venture in Japan. (3) Includes the contractholder’s investments in the general account and separate account, if applicable. (4) Defined as the death benefit less the total account value, as of the balance sheet date. It represents the amount of the claim that the Company would incur if death claims were filed on all contracts on the balance sheet date and includes any additional contractual claims associated with riders purchased to assist with covering income taxes payable upon death. (5) Defined as the amount (if any) that would be required to be added to the total account value to purchase a lifetime income stream, based on current annuity rates, equal to the minimum amount provided under the guaranteed benefit. This amount represents the Company’s potential economic exposure to such guarantees in the event all contractholders were to annuitize on the balance sheet date, even though the contracts contain terms that allow annuitization of the guaranteed amount only after the 10th anniversary of the contract, which not all contractholders have achieved. (6) Defined as either the excess of the upper tier, adjusted for a profit margin, less the lower tier, as of the balance sheet date or the amount (if any) that would be required to be added to the total account value to purchase a lifetime income stream, based on current annuity rates, equal to the minimum amount provided under the guaranteed benefit. These amounts represent the Company’s potential economic exposure to such guarantees in the event all contractholders were to annuitize on the balance sheet date. (7) Defined as the guarantee amount less the account value, as of the balance sheet date. It represents the amount of the claim that the Company would incur if death claims were filed on all contracts on the balance sheet date. Liabilities for Unpaid Claims and Claim Expenses Rollforward of Claims and Claim Adjustment Expenses Information regarding the liabilities for unpaid claims and claim adjustment expenses was as follows: Nine Months 2021 2020 (In millions) Balance, beginning of period $ 18,591 $ 19,216 Less: Reinsurance recoverables 2,417 2,377 Net balance, beginning of period 16,174 16,839 Incurred related to: Current period 20,667 19,664 Prior periods (1) 960 234 Total incurred 21,627 19,898 Paid related to: Current period (14,426) (13,803) Prior periods (6,416) (5,378) Total paid (20,842) (19,181) Reclassified to liabilities held-for-sale (2) (55) — Dispositions (3) (64) — Net balance, end of period 16,840 17,556 Add: Reinsurance recoverables 2,910 2,521 Balance, end of period (included in future policy benefits and other policy-related balances) $ 19,750 $ 20,077 __________________ (1) For both the nine months ended September 30, 2021 and 2020, incurred claim activity and claim adjustment expenses associated with prior periods increased due to events incurred in prior periods but reported in the current period. (2) See Note 3 for information on the pending disposition of MetLife Poland and Greece. (3) See Note 3 for information on the Company’s business dispositions. |
Closed Block
Closed Block | 9 Months Ended |
Sep. 30, 2021 | |
Closed Block Disclosure [Abstract] | |
Closed Block | 5. Closed Block On April 7, 2000 (the “Demutualization Date”), Metropolitan Life Insurance Company (“MLIC”) converted from a mutual life insurance company to a stock life insurance company and became a wholly-owned subsidiary of MetLife, Inc. The conversion was pursuant to an order by the New York Superintendent of Insurance approving MLIC’s plan of reorganization, as amended (the “Plan of Reorganization”). On the Demutualization Date, MLIC established a closed block for the benefit of holders of certain individual life insurance policies of MLIC. Experience within the closed block, in particular mortality and investment yields, as well as realized and unrealized gains and losses, directly impact the policyholder dividend obligation. Amortization of the closed block DAC, which resides outside of the closed block, is based upon cumulative actual and expected earnings within the closed block. Accordingly, the Company’s net income continues to be sensitive to the actual performance of the closed block. Closed block assets, liabilities, revenues and expenses are combined on a line-by-line basis with the assets, liabilities, revenues and expenses outside the closed block based on the nature of the particular item. Information regarding the closed block liabilities and assets designated to the closed block was as follows at: September 30, 2021 December 31, 2020 (In millions) Closed Block Liabilities Future policy benefits $ 38,191 $ 38,758 Other policy-related balances 289 321 Policyholder dividends payable 299 337 Policyholder dividend obligation 1,952 2,969 Deferred income tax liability 175 130 Other liabilities 269 172 Total closed block liabilities 41,175 42,687 Assets Designated to the Closed Block Investments: Fixed maturity securities available-for-sale, at estimated fair value 25,977 27,186 Equity securities, at estimated fair value 21 24 Mortgage loans 6,441 6,807 Policy loans 4,235 4,355 Real estate and real estate joint ventures 575 559 Other invested assets 540 468 Total investments 37,789 39,399 Cash and cash equivalents 173 — Accrued investment income 391 402 Premiums, reinsurance and other receivables 40 50 Current income tax recoverable 52 28 Total assets designated to the closed block 38,445 39,879 Excess of closed block liabilities over assets designated to the closed block 2,730 2,808 AOCI: Unrealized investment gains (losses), net of income tax 2,730 3,524 Unrealized gains (losses) on derivatives, net of income tax 100 23 Allocated to policyholder dividend obligation, net of income tax (1,542) (2,346) Total amounts included in AOCI 1,288 1,201 Maximum future earnings to be recognized from closed block assets and liabilities $ 4,018 $ 4,009 Information regarding the closed block policyholder dividend obligation was as follows: Nine Months Year (In millions) Balance, beginning of period $ 2,969 $ 2,020 Change in unrealized investment and derivative gains (losses) (1,017) 949 Balance, end of period $ 1,952 $ 2,969 Information regarding the closed block revenues and expenses was as follows: Three Months Nine Months 2021 2020 2021 2020 (In millions) Revenues Premiums $ 310 $ 359 $ 955 $ 1,097 Net investment income 390 420 1,165 1,198 Net investment gains (losses) (7) 1 (12) (8) Net derivative gains (losses) 12 (16) 19 7 Total revenues 705 764 2,127 2,294 Expenses Policyholder benefits and claims 522 575 1,588 1,714 Policyholder dividends 127 136 478 572 Other expenses 24 27 73 79 Total expenses 673 738 2,139 2,365 Revenues, net of expenses before provision for income tax expense (benefit) 32 26 (12) (71) Provision for income tax expense (benefit) 6 5 (3) (15) Revenues, net of expenses and provision for income tax expense (benefit) $ 26 $ 21 $ (9) $ (56) MLIC charges the closed block with federal income taxes, state and local premium taxes and other state or local taxes, as well as investment management expenses relating to the closed block as provided in the Plan of Reorganization. MLIC also charges the closed block for expenses of maintaining the policies included in the closed block. |
Investments
Investments | 9 Months Ended |
Sep. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | 6. Investments Fixed Maturity Securities Available-for-Sale Fixed Maturity Securities Available-for-Sale by Sector The following table presents the fixed maturity securities available-for-sale (“AFS”) by sector. U.S. corporate and foreign corporate sectors include redeemable preferred stock. Residential mortgage-backed securities (“RMBS”) includes agency, prime, alternative and sub-prime mortgage-backed securities. Asset-backed securities (“ABS”) includes securities collateralized by corporate loans and consumer loans. Municipals includes taxable and tax-exempt revenue bonds and, to a much lesser extent, general obligations of states, municipalities and political subdivisions. Commercial mortgage-backed securities (“CMBS”) primarily includes securities collateralized by multiple commercial mortgage loans. RMBS, ABS and CMBS are, collectively, “Structured Products.” September 30, 2021 December 31, 2020 Amortized Gross Unrealized (1) Estimated Amortized Gross Unrealized (1) Estimated Sector Allowance for Gains Losses Allowance for Gains Losses (In millions) U.S. corporate $ 81,187 $ (18) $ 11,110 $ 267 $ 92,012 $ 79,788 $ (44) $ 13,924 $ 252 $ 93,416 Foreign government 57,889 (19) 6,273 763 63,380 63,243 (21) 8,883 406 71,699 Foreign corporate 58,918 (24) 5,674 646 63,922 60,995 (16) 8,897 468 69,408 U.S. government and agency 43,072 — 5,396 368 48,100 39,094 — 8,095 89 47,100 RMBS 28,716 — 1,669 118 30,267 28,415 — 2,062 42 30,435 ABS 17,203 — 227 27 17,403 16,963 — 231 75 17,119 Municipals 11,636 — 2,419 15 14,040 10,982 — 2,746 6 13,722 CMBS 11,383 (7) 581 43 11,914 11,331 — 681 102 11,910 Total fixed maturity securities AFS $ 310,004 $ (68) $ 33,349 $ 2,247 $ 341,038 $ 310,811 $ (81) $ 45,519 $ 1,440 $ 354,809 _________________ (1) Excludes gross unrealized gains (losses) related to assets held-for-sale; these unrealized gains (losses) are included in AOCI as no component of equity is held-for-sale. See Note 3 for information on the Company’s business dispositions. Maturities of Fixed Maturity Securities AFS The amortized cost, net of allowance for credit loss (“ACL”), and estimated fair value of fixed maturity securities AFS, by contractual maturity date, were as follows at September 30, 2021: Due in One Due After Due After Due After Structured Total Fixed (In millions) Amortized cost, net of ACL $ 8,543 $ 56,031 $ 57,297 $ 130,770 $ 57,295 $ 309,936 Estimated fair value $ 8,702 $ 58,669 $ 63,388 $ 150,695 $ 59,584 $ 341,038 Actual maturities may differ from contractual maturities due to the exercise of call or prepayment options. Fixed maturity securities AFS not due at a single maturity date have been presented in the year of final contractual maturity. Structured Products are shown separately, as they are not due at a single maturity. Continuous Gross Unrealized Losses for Fixed Maturity Securities AFS by Sector The following table presents the estimated fair value and gross unrealized losses of fixed maturity securities AFS in an unrealized loss position without an ACL by sector and aggregated by length of time that the securities have been in a continuous unrealized loss position. September 30, 2021 December 31, 2020 Less than 12 Months Equal to or Greater Less than 12 Months Equal to or Greater Sector & Credit Quality Estimated Gross Estimated Gross Estimated Gross Estimated Gross (Dollars in millions) U.S. corporate $ 6,055 $ 167 $ 1,390 $ 99 $ 4,338 $ 196 $ 506 $ 50 Foreign government 8,654 399 3,501 364 6,795 305 836 100 Foreign corporate 9,318 448 1,885 198 4,856 321 1,255 147 U.S. government and agency 15,354 297 504 71 4,619 87 33 2 RMBS 6,466 99 521 19 1,531 27 152 14 ABS 2,897 13 840 14 3,428 26 2,842 49 Municipals 667 12 49 3 273 6 — — CMBS 1,300 14 659 21 1,887 63 612 39 Total fixed maturity securities AFS $ 50,711 $ 1,449 $ 9,349 $ 789 $ 27,727 $ 1,031 $ 6,236 $ 401 Investment grade $ 47,639 $ 1,329 $ 8,046 $ 665 $ 24,572 $ 829 $ 5,841 $ 350 Below investment grade 3,072 120 1,303 124 3,155 202 395 51 Total fixed maturity securities AFS $ 50,711 $ 1,449 $ 9,349 $ 789 $ 27,727 $ 1,031 $ 6,236 $ 401 Total number of securities in an unrealized loss position 3,545 793 2,177 690 ________________ (1) Excludes gross unrealized losses related to assets held-for-sale; these unrealized losses are included in AOCI as no component of equity is held-for-sale. See Note 3 for information on the Company’s business dispositions. Evaluation of Fixed Maturity Securities AFS for Credit Loss Evaluation and Measurement Methodologies Management considers a wide range of factors about the security issuer and uses its best judgment in evaluating the cause of the decline in the estimated fair value of the security and in assessing the prospects for near-term recovery. Inherent in management’s evaluation of the security are assumptions and estimates about the operations of the issuer and its future earnings potential. Considerations used in the credit loss evaluation process include, but are not limited to: (i) the extent to which the estimated fair value has been below amortized cost, (ii) adverse conditions specifically related to a security, an industry sector or sub-sector, or an economically depressed geographic area, adverse change in the financial condition of the issuer of the security, changes in technology, discontinuance of a segment of the business that may affect future earnings, and changes in the quality of credit enhancement, (iii) payment structure of the security and likelihood of the issuer being able to make payments, (iv) failure of the issuer to make scheduled interest and principal payments, (v) whether the issuer, or series of issuers or an industry has suffered a catastrophic loss or has exhausted natural resources, (vi) whether the Company has the intent to sell or will more likely than not be required to sell a particular security before the decline in estimated fair value below amortized cost recovers, (vii) with respect to Structured Products, changes in forecasted cash flows after considering the changes in the financial condition of the underlying loan obligors and quality of underlying collateral, expected prepayment speeds, current and forecasted loss severity, consideration of the payment terms of the underlying assets backing a particular security, and the payment priority within the tranche structure of the security, (viii) changes in the rating of the security by a rating agency, and (ix) other subjective factors, including concentrations and information obtained from regulators. The methodology and significant inputs used to determine the amount of credit loss are as follows: • The Company calculates the recovery value by performing a discounted cash flow analysis based on the present value of future cash flows. The discount rate is generally the effective interest rate of the security at the time of purchase for fixed-rate securities and the spot rate at the date of evaluation of credit loss for floating-rate securities. • When determining collectability and the period over which value is expected to recover, the Company applies considerations utilized in its overall credit loss evaluation process which incorporates information regarding the specific security, fundamentals of the industry and geographic area in which the security issuer operates, and overall macroeconomic conditions. Projected future cash flows are estimated using assumptions derived from management’s single best estimate, the most likely outcome in a range of possible outcomes, after giving consideration to a variety of variables that include, but are not limited to: payment terms of the security; the likelihood that the issuer can service the interest and principal payments; the quality and amount of any credit enhancements; the security’s position within the capital structure of the issuer; possible corporate restructurings or asset sales by the issuer; any private and public sector programs to restructure foreign government securities and municipals; and changes to the rating of the security or the issuer by rating agencies. • Additional considerations are made when assessing the unique features that apply to certain Structured Products including, but not limited to: the quality of underlying collateral, historical performance of the underlying loan obligors, historical rent and vacancy levels, changes in the financial condition of the underlying loan obligors, expected prepayment speeds, current and forecasted loss severity, consideration of the payment terms of the underlying loans or assets backing a particular security, changes in the quality of credit enhancement and the payment priority within the tranche structure of the security. With respect to securities that have attributes of debt and equity (“perpetual hybrid securities”), consideration is given in the credit loss analysis as to whether there has been any deterioration in the credit of the issuer and the likelihood of recovery in value of the securities that are in a severe unrealized loss position. Consideration is also given as to whether any perpetual hybrid securities with an unrealized loss, regardless of credit rating, have deferred any dividend payments. In periods subsequent to the recognition of an initial ACL on a security, the Company reassesses credit loss quarterly. Subsequent increases or decreases in the expected cash flow from the security result in corresponding decreases or increases in the ACL which are recorded within net investment gains (losses); however, the previously recorded ACL is not reduced to an amount below zero. Full or partial write-offs are deducted from the ACL in the period the security, or a portion thereof, is considered uncollectible. Recoveries of amounts previously written off are recorded to the ACL in the period received. When the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost, any ACL is written off and the amortized cost is written down to estimated fair value through a charge within net investment gains (losses), which becomes the new amortized cost of the security. Evaluation of Fixed Maturity Securities AFS in an Unrealized Loss Position Gross unrealized losses on securities without an ACL increased $806 million for the nine months ended September 30, 2021 to $2.2 billion primarily due to increases in interest rates, partially offset by narrowing credit spreads. Gross unrealized losses on securities without an ACL that have been in a continuous gross unrealized loss position for 12 months or greater were $789 million at September 30, 2021, or 35% of the total gross unrealized losses on securities without an ACL. Investment Grade Fixed Maturity Securities AFS Of the $789 million of gross unrealized losses on securities without an ACL that have been in a continuous gross unrealized loss position for 12 months or greater, $665 million, or 84%, were related to 628 investment grade securities. Unrealized losses on investment grade securities are principally related to widening credit spreads since purchase and, with respect to fixed-rate securities, rising interest rates since purchase. Below Investment Grade Fixed Maturity Securities AFS Of the $789 million of gross unrealized losses on securities without an ACL that have been in a continuous gross unrealized loss position for 12 months or greater, $124 million, or 16%, were related to 165 below investment grade securities. Unrealized losses on below investment grade securities are principally related to U.S. and foreign corporate securities (primarily industrial and consumer), foreign government securities and CMBS and are the result of significantly wider credit spreads resulting from higher risk premiums since purchase, largely due to economic and market uncertainty, as well as, with respect to fixed-rate securities, rising interest rates since purchase. Management evaluates U.S. corporate and foreign corporate securities based on factors such as expected cash flows, financial condition and near-term and long-term prospects of the issuers. Management evaluates CMBS based on actual and projected cash flows after considering the quality of underlying collateral, credit enhancements, expected prepayment speeds, current and forecasted loss severity, the payment terms of the underlying assets backing a particular security and the payment priority within the tranche structure of the security. Management evaluates foreign government securities based on factors impacting the issuers such as expected cash flows, financial condition of the issuers and any country specific economic conditions or public sector programs to restructure foreign government securities. Current Period Evaluation At September 30, 2021, with respect to securities in an unrealized loss position without an ACL, the Company did not intend to sell these securities, and it was not more likely than not that the Company would be required to sell these securities before the anticipated recovery of the remaining amortized cost. Based on the Company’s current evaluation of its securities in an unrealized loss position without an ACL, the Company concluded that these securities had not incurred a credit loss and should not have an ACL at September 30, 2021. Future provisions for credit loss will depend primarily on economic fundamentals, issuer performance (including changes in the present value of future cash flows expected to be collected), changes in credit ratings and collateral valuation. Rollforward of Allowance for Credit Loss for Fixed Maturity Securities AFS By Sector The rollforward of ACL for fixed maturity securities AFS by sector is as follows: U.S. Foreign Foreign RMBS CMBS Total Three Months Ended September 30, 2021 (In millions) Balance, at beginning of period $ 39 $ 21 $ 32 $ — $ 7 $ 99 Additions: ACL not previously recorded 18 — — — — 18 Reductions: Changes for securities with previously recorded ACL — — (2) — — (2) Securities sold or exchanged (26) — (6) — — (32) Securities intended/required to be sold prior to recovery of amortized cost basis — — — — — — Disposition (1) — (2) — — — (2) Write-offs (13) — — — — (13) Balance, at end of period $ 18 $ 19 $ 24 $ — $ 7 $ 68 Three Months Ended September 30, 2020 Balance, at beginning of period $ 30 $ 129 $ 16 $ 2 $ — $ 177 Additions: ACL not previously recorded — — — — — — Reductions: Changes for securities with previously recorded ACL 4 (4) — (2) — (2) Securities sold or exchanged (4) (96) — — — (100) Securities intended/required to be sold prior to recovery of amortized cost basis — — — — — — Disposition — — — — — — Write-offs — — — — — — Balance, at end of period $ 30 $ 29 $ 16 $ — $ — $ 75 _________________ (1) In connection with the disposition of MetLife Seguros, ACL was reduced by $2 million. See Note 3 for additional information on the Company’s business dispositions. U.S. Foreign Foreign RMBS CMBS Total Nine Months Ended September 30, 2021 (In millions) Balance, at beginning of period $ 44 $ 21 $ 16 $ — $ — $ 81 Additions: ACL not previously recorded 18 — 25 — 11 54 Reductions: Changes for securities with previously recorded ACL 3 — (7) — (4) (8) Securities sold or exchanged (34) — (10) — — (44) Securities intended/required to be sold prior to recovery of amortized cost basis — — — — — — Disposition (1) — (2) — — — (2) Write-offs (13) — — — — (13) Balance, at end of period $ 18 $ 19 $ 24 $ — $ 7 $ 68 Nine Months Ended September 30, 2020 Balance, at beginning of period $ — $ — $ — $ — $ — $ — Additions: ACL not previously recorded 58 139 16 2 — 215 Reductions: Changes for securities with previously recorded ACL (3) (8) — (2) — (13) Securities sold or exchanged (24) (102) — — — (126) Securities intended/required to be sold prior to recovery of amortized cost basis (1) — — — — (1) Disposition — — — — — — Write-offs — — — — — — Balance, at end of period $ 30 $ 29 $ 16 $ — $ — $ 75 _________________ (1) In connection with the disposition of MetLife Seguros, ACL was reduced by $2 million. See Note 3 for additional information on the Company’s business dispositions. Equity Securities Equity securities include common and preferred stock which are reported at estimated fair value, with changes in estimated fair value included in net investment gains (losses). See Note 8 for further information. Contractholder-Directed Equity Securities and Fair Value Option Securities Contractholder-directed equity securities and FVO securities (“FVO Securities”) (collectively, “Unit-linked and FVO Securities”) include three categories of investments for which the FVO has been elected, or are otherwise required to be carried at estimated fair value, with changes in estimated fair value included in net income. See Note 8 for further information. Mortgage Loans by Portfolio Segment Mortgage loans are summarized as follows at: September 30, 2021 December 31, 2020 Portfolio Segment Carrying % of Carrying % of (Dollars in millions) Commercial $ 51,336 63.4 % $ 52,434 62.5 % Agricultural 18,353 22.7 18,128 21.6 Residential 11,704 14.4 13,782 16.4 Total amortized cost 81,393 100.5 84,344 100.5 Allowance for credit loss (563) (0.7) (590) (0.7) Subtotal mortgage loans, net 80,830 99.8 83,754 99.8 Residential — FVO 134 0.2 165 0.2 Total mortgage loans, net $ 80,964 100.0 % $ 83,919 100.0 % The Company elects the FVO for certain residential mortgage loans that are managed on a total return basis. See Note 8 for further information. The amount of net discounts, included within total amortized cost, primarily attributable to residential mortgage loans was $792 million and $944 million at September 30, 2021 and December 31, 2020, respectively. The accrued interest income excluded from total amortized cost for commercial, agricultural and residential mortgage loans at September 30, 2021 and December 31, 2020 was $191 million and $209 million; $146 million and $174 million; and $93 million and $108 million, respectively. Purchases of mortgage loans, consisting primarily of residential mortgage loans, were $499 million and $1.5 billion for the three months and nine months ended September 30, 2021, respectively, and $204 million and $1.9 billion for the three months and nine months ended September 30, 2020, respectively. Allowance for Credit Loss Rollforward by Portfolio Segment The changes in the ACL, by portfolio segment, were as follows: Nine Months 2021 2020 Commercial Agricultural Residential Total Commercial Agricultural Residential Total (In millions) Balance, beginning of period $ 252 $ 106 $ 232 $ 590 $ 246 $ 52 $ 55 $ 353 Provision (release) 22 — (37) (15) 83 6 13 102 Adoption of credit loss guidance — — — — (118) 35 161 78 Initial credit losses on PCD loans (1) — — 3 3 — — 16 16 Charge-offs, net of recoveries — (13) (2) (15) — (2) (27) (29) Balance, end of period $ 274 $ 93 $ 196 $ 563 $ 211 $ 91 $ 218 $ 520 _________________ (1) Represents the initial credit losses on purchased mortgage loans accounted for as purchased financial assets with credit deterioration (“PCD”). Allowance for Credit Loss Methodology The Company records an allowance for expected lifetime credit loss in an amount that represents the portion of the amortized cost basis of mortgage loans that the Company does not expect to collect, resulting in mortgage loans being presented at the net amount expected to be collected. In determining the Company’s ACL, management: (i) pools mortgage loans that share similar risk characteristics, (ii) considers expected lifetime credit loss over the contractual term of its mortgage loans adjusted for expected prepayments and any extensions, and (iii) considers past events and current and forecasted economic conditions. Each of the Company’s commercial, agricultural and residential mortgage loan portfolio segments are evaluated separately. The ACL is calculated for each mortgage loan portfolio segment based on inputs unique to each loan portfolio segment. On a quarterly basis, mortgage loans within a portfolio segment that share similar risk characteristics, such as internal risk ratings or consumer credit scores, are pooled for calculation of ACL. On an ongoing basis, mortgage loans with dissimilar risk characteristics (i.e., loans with significant declines in credit quality), collateral dependent mortgage loans (i.e., when the borrower is experiencing financial difficulty, including when foreclosure is reasonably possible or probable) and reasonably expected troubled debt restructurings (“TDRs”) (i.e., the Company grants concessions to borrower that is experiencing financial difficulties) are evaluated individually for credit loss. The ACL for loans evaluated individually are established using the same methodologies for all three portfolio segments. For example, the ACL for a collateral dependent loan is established as the excess of amortized cost over the estimated fair value of the loan’s underlying collateral, less selling cost when foreclosure is probable. Accordingly, the change in the estimated fair value of collateral dependent loans, which are evaluated individually for credit loss, is recorded as a change in the ACL which is recorded on a quarterly basis as a charge or credit to earnings in net investment gains (losses). Commercial and Agricultural Mortgage Loan Portfolio Segments Commercial and agricultural mortgage loan ACL are calculated in a similar manner. Within each loan portfolio segment, commercial and agricultural, loans are pooled by internal risk rating. Estimated lifetime loss rates, which vary by internal risk rating, are applied to the amortized cost of each loan, excluding accrued investment income, on a quarterly basis to develop the ACL. Internal risk ratings are based on an assessment of the loan’s credit quality, which can change over time. The estimated lifetime loss rates are based on several loan portfolio segment-specific factors, including (i) the Company’s experience with defaults and loss severity, (ii) expected default and loss severity over the forecast period, (iii) current and forecasted economic conditions including growth, inflation, interest rates and unemployment levels, (iv) loan specific characteristics including loan-to-value (“LTV”) ratios, and (v) internal risk ratings. These evaluations are revised as conditions change and new information becomes available. The Company uses its several decades of historical default and loss severity experience which capture multiple economic cycles. The Company uses a forecast of economic assumptions for a two-year period for most of its commercial and agricultural mortgage loans, while a one-year period is used for loans originated in certain markets. After the applicable forecast period, the Company reverts to its historical loss experience using a straight-line basis over two years. For evaluations of commercial mortgage loans, in addition to historical experience, management considers factors that include the impact of a rapid change to the economy, which may not be reflected in the loan portfolio, recent loss and recovery trend experience as compared to historical loss and recovery experience, and loan specific characteristics including debt service coverage ratios (“DSCR”). In estimating expected lifetime credit loss over the term of its commercial mortgage loans, the Company adjusts for expected prepayment and extension experience during the forecast period using historical prepayment and extension experience considering the expected position in the economic cycle and the loan profile (i.e., floating rate, shorter-term fixed rate and longer-term fixed rate) and after the forecast period using long-term historical prepayment experience. For evaluations of agricultural mortgage loans, in addition to historical experience, management considers factors that include increased stress in certain sectors, which may be evidenced by higher delinquency rates, or a change in the number of higher risk loans. In estimating expected lifetime credit loss over the term of its agricultural mortgage loans, the Company’s experience is much less sensitive to the position in the economic cycle and by loan profile; accordingly, historical prepayment experience is used, while extension terms are not prevalent with the Company’s agricultural mortgage loans. Commercial mortgage loans are reviewed on an ongoing basis, which review includes, but is not limited to, an analysis of the property financial statements and rent roll, lease rollover analysis, property inspections, market analysis, estimated valuations of the underlying collateral, LTV ratios, DSCR and tenant creditworthiness. The monitoring process focuses on higher risk loans, which include those that are classified as restructured, delinquent or in foreclosure, as well as loans with higher LTV ratios and lower DSCR. Agricultural mortgage loans are reviewed on an ongoing basis, which review includes, but is not limited to, property inspections, market analysis, estimated valuations of the underlying collateral, LTV ratios and borrower creditworthiness, as well as reviews on a geographic and property-type basis. The monitoring process for agricultural mortgage loans also focuses on higher risk loans. For commercial mortgage loans, the primary credit quality indicator is the DSCR, which compares a property’s net operating income to amounts needed to service the principal and interest due under the loan. Generally, the lower the DSCR, the higher the risk of experiencing a credit loss. The Company also reviews the LTV ratio of its commercial mortgage loan portfolio. LTV ratios compare the unpaid principal balance of the loan to the estimated fair value of the underlying collateral. Generally, the higher the LTV ratio, the higher the risk of experiencing a credit loss. The DSCR and the values utilized in calculating the ratio are updated routinely. In addition, the LTV ratio is routinely updated for all but the lowest risk loans as part of the Company’s ongoing review of its commercial mortgage loan portfolio. For agricultural mortgage loans, the Company’s primary credit quality indicator is the LTV ratio. The values utilized in calculating this ratio are developed in connection with the ongoing review of the agricultural mortgage loan portfolio and are routinely updated. Commitments to lend: After loans are approved, the Company makes commitments to lend and, typically, borrowers draw down on some or all of the commitments. The timing of mortgage loan funding is based on the commitment expiration dates. A liability for credit loss for unfunded commercial and agricultural mortgage loan commitments is recorded within net investment gains (losses). The liability is based on estimated lifetime loss rates as described above and the amount of the outstanding commitments, which for lines of credit, considers estimated utilization rates. When the commitment is funded or expires, the liability is adjusted accordingly. Residential Mortgage Loan Portfolio Segment The Company’s residential mortgage loan portfolio is comprised primarily of purchased closed end, amortizing residential mortgage loans, including both performing loans purchased within 12 months of origination and reperforming loans purchased after they have been performing for at least 12 months post-modification. Residential mortgage loans are pooled by loan type (i.e., new origination and reperforming) and pooled by similar risk profiles (including consumer credit score and LTV ratios). Estimated lifetime loss rates, which vary by loan type and risk profile, are applied to the amortized cost of each loan excluding accrued investment income on a quarterly basis to develop the ACL. The estimated lifetime loss rates are based on several factors, including (i) industry historical experience and expected results over the forecast period for defaults, (ii) loss severity, (iii) prepayment rates, (iv) current and forecasted economic conditions including growth, inflation, interest rates and unemployment levels, and (v) loan pool specific characteristics including consumer credit scores, LTV ratios, payment history and home prices. These evaluations are revised as conditions change and new information becomes available. The Company uses industry historical experience which captures multiple economic cycles as the Company has purchased most of its residential mortgage loans in the last five years. The Company uses a forecast of economic assumptions for a two-year period for most of its residential mortgage loans. After the applicable forecast period, the Company immediately reverts to industry historical loss experience. For residential mortgage loans, the Company’s primary credit quality indicator is whether the loan is performing or nonperforming. The Company generally defines nonperforming residential mortgage loans as those that are 60 or more days past due and/or in nonaccrual status which is assessed monthly. Generally, nonperforming residential mortgage loans have a higher risk of experiencing a credit loss. Mortgage Loan Concessions In response to the adverse economic impact of the COVID-19 Pandemic, in 2021 and 2020, the Company granted concessions to certain of its commercial, agricultural and residential mortgage loan borrowers, including payment deferrals and other loan modifications. The Company has elected the option under the Coronavirus Aid, Relief, and Economic Security Act, the Consolidated Appropriations Act, 2021 and the Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus (Revised) issued by bank regulatory agencies, not to account for or report qualifying concessions as TDRs and not to classify such loans as either past due or nonaccrual during the payment deferral period. Additionally, in accordance with the FASB’s published response to a COVID-19 Pandemic technical inquiry, the Company continues to accrue interest income on such loans that have deferred payment. The Company records an ACL on this accrued interest income. Commercial For some commercial mortgage loan borrowers (principally in the retail and hotel sectors), the Company granted concessions which were primarily interest and principal payment deferrals generally ranging from three to four months and, to a much lesser extent, maturity date extensions. Deferred commercial mortgage loan interest and principal payments were $42 million at September 30, 2021. Agricultural For some agricultural mortgage loan borrowers (principally in the annual crops and agribusiness sectors), the Company granted concessions which were primarily principal payment deferrals generally ranging from three to 12 months, and covenant changes and, to a much lesser extent, maturity date extensions. Deferred agricultural mortgage loan interest and principal payments were $4 million at September 30, 2021. Residential For some residential mortgage loan borrowers, the Company granted concessions which were primarily three-month interest and principal payment deferrals. Deferred residential mortgage loan interest and principal payments were $26 million at September 30, 2021. Credit Quality of Mortgage Loans by Portfolio Segment The amortized cost of commercial mortgage loans by credit quality indicator and vintage year was as follows at September 30, 2021: Credit Quality Indicator 2021 2020 2019 2018 2017 Prior Revolving Total % of (Dollars in millions) LTV ratios: Less than 65% $ 3,682 $ 4,536 $ 4,828 $ 5,511 $ 4,303 $ 11,927 $ 2,332 $ 37,119 72.3 % 65% to 75% 1,086 1,507 3,375 2,065 1,108 2,220 — 11,361 22.1 76% to 80% 66 36 335 — 180 454 — 1,071 2.1 Greater than 80% 7 — 4 79 460 1,235 — 1,785 3.5 Total $ 4,841 $ 6,079 $ 8,542 $ 7,655 $ 6,051 $ 15,836 $ 2,332 $ 51,336 100.0 % DSCR: > 1.20x $ 4,308 $ 5,540 $ 8,034 $ 7,492 $ 5,578 $ 13,817 $ 2,064 $ 46,833 91.2 % 1.00x - 1.20x 87 144 76 83 152 926 — 1,468 2.9 <1.00x 446 395 432 80 321 1,093 268 3,035 5.9 Total $ 4,841 $ 6,079 $ 8,542 $ 7,655 $ 6,051 $ 15,836 $ 2,332 $ 51,336 100.0 % The amortized cost of agricultural mortgage loans by credit quality indicator and vintage year was as follows at September 30, 2021: Credit Quality Indicator 2021 2020 2019 2018 2017 Prior Revolving Total % of (Dollars in millions) LTV ratios: Less than 65% $ 1,460 $ 3,092 $ 1,972 $ 2,749 $ 967 $ 5,345 $ 890 $ 16,475 89.8 % 65% to 75% 335 393 172 117 40 580 108 1,745 9.5 76% to 80% — — — — — 11 — 11 — Greater than 80% — — 76 — — 46 — 122 0.7 Total $ 1,795 $ 3,485 $ 2,220 $ 2,866 $ 1,007 $ 5,982 $ 998 $ 18,353 100.0 % The amortized cost of residential mortgage loans by credit quality indicator and vintage year was as follows at September 3 |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | 7. Derivatives Accounting for Derivatives See Note 1 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report for a description of the Company’s accounting policies for derivatives and Note 8 for information about the fair value hierarchy for derivatives. Derivative Strategies Types of Derivative Instruments and Derivative Strategies The Company is exposed to various risks relating to its ongoing business operations, including interest rate, foreign currency exchange rate, credit and equity market. The Company uses a variety of strategies to manage these risks, including the use of derivatives. Commonly used derivative instruments include, but are not limited to: • Interest rate derivatives: swaps, total return swaps, caps, floors, futures, swaptions, forwards and synthetic guaranteed interest contracts (“GICs”); • Foreign currency exchange rate derivatives: swaps, forwards, options and exchange-traded futures; • Credit derivatives: purchased or written single name or index credit default swaps, and forwards; and • Equity derivatives: index options, variance swaps, exchange-traded futures and total return swaps. For detailed information on these contracts and the related strategies, see Note 9 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report. Primary Risks Managed by Derivatives The following table presents the primary underlying risk exposure, gross notional amount and estimated fair value of the Company’s derivatives, excluding embedded derivatives, held at: September 30, 2021 December 31, 2020 Primary Underlying Risk Exposure Gross Estimated Fair Value Gross Estimated Fair Value Assets Liabilities Assets Liabilities (In millions) Derivatives Designated as Hedging Instruments: Fair value hedges: Interest rate swaps Interest rate $ 3,549 $ 2,154 $ 2 $ 3,186 $ 3,224 $ 4 Foreign currency swaps Foreign currency exchange rate 908 8 32 1,106 8 78 Foreign currency forwards Foreign currency exchange rate 1,545 — 52 1,936 24 — Subtotal 6,002 2,162 86 6,228 3,256 82 Cash flow hedges: Interest rate swaps Interest rate 4,429 35 1 4,750 44 — Interest rate forwards Interest rate 6,874 60 155 7,377 513 120 Foreign currency swaps Foreign currency exchange rate 41,201 1,602 1,456 38,604 1,549 2,017 Subtotal 52,504 1,697 1,612 50,731 2,106 2,137 Net investment in a foreign operation (“NIFO”) hedges: Foreign currency forwards Foreign currency exchange rate 341 18 — 164 — 3 Currency options Foreign currency exchange rate 3,000 114 — 3,600 70 — Subtotal 3,341 132 — 3,764 70 3 Total qualifying hedges 61,847 3,991 1,698 60,723 5,432 2,222 Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate swaps Interest rate 41,430 3,793 144 49,561 3,683 38 Interest rate floors Interest rate 8,201 202 — 12,701 350 — Interest rate caps Interest rate 77,814 69 — 40,730 13 — Interest rate futures Interest rate 2,239 3 1 1,498 — 2 Interest rate options Interest rate 12,508 485 17 17,746 502 5 Interest rate forwards Interest rate 367 — 37 351 — 10 Interest rate total return swaps Interest rate 1,048 6 31 1,048 — 59 Synthetic GICs Interest rate 39,365 — — 38,646 — — Foreign currency swaps Foreign currency exchange rate 12,635 690 664 13,265 603 693 Foreign currency forwards Foreign currency exchange rate 15,911 99 563 15,643 209 310 Currency futures Foreign currency exchange rate 867 1 — 914 3 — Currency options Foreign currency exchange rate 900 — — 1,350 — — Credit default swaps — purchased Credit 3,042 14 110 2,978 9 121 Credit default swaps — written Credit 8,739 180 5 9,609 196 — Equity futures Equity market 4,417 48 14 5,427 14 38 Equity index options Equity market 31,016 898 441 22,954 834 437 Equity variance swaps Equity market 733 17 15 716 15 12 Equity total return swaps Equity market 3,482 23 11 3,294 3 282 Total non-designated or nonqualifying derivatives 264,714 6,528 2,053 238,431 6,434 2,007 Total $ 326,561 $ 10,519 $ 3,751 $ 299,154 $ 11,866 $ 4,229 Based on gross notional amounts, a substantial portion of the Company’s derivatives was not designated or did not qualify as part of a hedging relationship a t both September 30, 2021 and December 31, 2020. The Company’s use of derivatives includes (i) derivatives that serve as macro hedges of the Company’s exposure to various risks and that generally do not qualify for hedge accounting due to the criteria required under the portfolio hedging rules, (ii) derivatives that economically hedge insurance liabilities that contain mortality or morbidity risk and that generally do not qualify for hedge accounting because the lack of these risks in the derivatives cannot support an expectation of a highly effective hedging relationship, (iii) derivatives that economically hedge embedded derivatives that do not qualify for hedge accounting because the changes in estimated fair value of the embedded derivatives are already recorded in net income, and (iv) written credit default swaps and interest rate swaps that are used to synthetically create investments and that do not qualify for hedge accounting because they do not involve a hedging relationship. For these nonqualified derivatives, changes in market factors can lead to the recognition of fair value changes on the statement of operations without an offsetting gain or loss recognized in earnings for the item being hedged. The Effects of Derivatives on the Interim Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) The following table presents the interim condensed consolidated financial statement location and amount of gain (loss) recognized on fair value, cash flow, NIFO, nonqualifying hedging relationships and embedded derivatives: Three Months Ended September 30, 2021 Net Investment Income Net Investment Gains (Losses) Net Derivative Gains (Losses) Policyholder Benefits and Claims Interest Credited to Policyholder Account Balances Other Expenses Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ 1 $ — $ — $ (53) $ — $ — N/A Hedged items (2) — — 48 — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) 28 (9) — — — — N/A Hedged items (22) 9 — — — — N/A Amount excluded from the assessment of hedge effectiveness — (2) — — — — N/A Subtotal 5 (2) — (5) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ 24 Amount of gains (losses) reclassified from AOCI into income 14 6 — — — 1 (21) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 398 Amount of gains (losses) reclassified from AOCI into income 2 (259) — — — — 257 Foreign currency transaction gains (losses) on hedged items — 256 — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 20 Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 16 3 — — — 1 678 Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A 12 Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A 2 Subtotal N/A N/A N/A N/A N/A N/A 14 Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) (1) — (379) (12) — — N/A Foreign currency exchange rate derivatives (1) — — (128) (2) — — N/A Credit derivatives — purchased (1) — — 4 — — — N/A Credit derivatives — written (1) — — (2) — — — N/A Equity derivatives (1) (1) — 47 5 — — N/A Foreign currency transaction gains (losses) on hedged items — — (65) — — — N/A Subtotal (2) — (523) (9) — — N/A Earned income on derivatives 62 — 258 55 (43) — — Embedded derivatives (2) N/A N/A 47 — N/A N/A N/A Total $ 81 $ 1 $ (218) $ 41 $ (43) $ 1 $ 692 Three Months Ended September 30, 2020 Net Investment Income Net Investment Gains (Losses) Net Derivative Gains (Losses) Policyholder Benefits and Claims Interest Credited to Policyholder Account Balances Other Expenses Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ 1 $ — $ — $ (154) $ — $ — N/A Hedged items — — — 139 — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) (50) 44 — — — — N/A Hedged items 46 (41) — — — — N/A Amount excluded from the assessment of hedge effectiveness — (4) — — — — N/A Subtotal (3) (1) — (15) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ (203) Amount of gains (losses) reclassified from AOCI into income 9 10 — — — 1 (20) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (615) Amount of gains (losses) reclassified from AOCI into income 2 435 — — — — (437) Foreign currency transaction gains (losses) on hedged items — (393) — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (28) Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 11 52 — — — 1 (1,303) Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A (29) Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A (8) Subtotal N/A N/A N/A N/A N/A N/A (37) Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) — — (601) (9) — — N/A Foreign currency exchange rate derivatives (1) — — (190) 2 — — N/A Credit derivatives — purchased (1) — — (8) — — — N/A Credit derivatives — written (1) — — (9) — — — N/A Equity derivatives (1) (6) — (499) (90) — — N/A Foreign currency transaction gains (losses) on hedged items — — 56 — — — N/A Subtotal (6) — (1,251) (97) — — N/A Earned income on derivatives 50 — 262 52 (36) — — Embedded derivatives (2) N/A N/A 408 — N/A N/A N/A Total $ 52 $ 51 $ (581) $ (60) $ (36) $ 1 $ (1,340) Nine Months Ended September 30, 2021 Net Net Net Policyholder Interest Other Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ 4 $ — $ — $ (418) $ — $ — N/A Hedged items (4) — — 379 — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) 40 (144) — — — — N/A Hedged items (33) 139 — — — — N/A Amount excluded from the assessment of hedge effectiveness — (6) — — — — N/A Subtotal 7 (11) — (39) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ (687) Amount of gains (losses) reclassified from AOCI into income 41 54 — — — 2 (97) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 567 Amount of gains (losses) reclassified from AOCI into income 6 (383) — — — 1 376 Foreign currency transaction gains (losses) on hedged items — 372 — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (52) Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 47 43 — — — 3 107 Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A 58 Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A 31 Subtotal N/A N/A N/A N/A N/A N/A 89 Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) 1 — (1,993) (51) — — N/A Foreign currency exchange rate derivatives (1) — — (734) 1 — — N/A Credit derivatives — purchased (1) — — 16 — — — N/A Credit derivatives — written (1) — — 33 — — — N/A Equity derivatives (1) (33) — (992) (202) — — N/A Foreign currency transaction gains (losses) on hedged items — — 167 — — — N/A Subtotal (32) — (3,503) (252) — — N/A Earned income on derivatives 128 — 755 160 (120) — — Embedded derivatives (2) N/A N/A 716 — N/A N/A N/A Total $ 150 $ 32 $ (2,032) $ (131) $ (120) $ 3 $ 196 Nine Months Ended September 30, 2020 Net Investment Income Net Investment Gains (Losses) Net Derivative Gains (Losses) Policyholder Benefits and Claims Interest Credited to Policyholder Account Balances Other Expenses Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ (11) $ — $ — $ 589 $ — $ — N/A Hedged items 9 — — (613) — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) 17 58 — — — — N/A Hedged items (14) (54) — — — — N/A Amount excluded from the assessment of hedge effectiveness — (38) — — — — N/A Subtotal 1 (34) — (24) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ 1,700 Amount of gains (losses) reclassified from AOCI into income 24 58 — — — 2 (84) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 554 Amount of gains (losses) reclassified from AOCI into income 3 271 — — — 1 (275) Foreign currency transaction gains (losses) on hedged items — (190) — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (52) Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 27 139 — — — 3 1,843 Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A 70 Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A (11) Subtotal N/A N/A N/A N/A N/A N/A 59 Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) (6) — 3,364 58 — — N/A Foreign currency exchange rate derivatives (1) — — (187) (7) — — N/A Credit derivatives — purchased (1) — — 4 — — — N/A Credit derivatives — written (1) — — (158) — — — N/A Equity derivatives (1) (6) — 17 19 — — N/A Foreign currency transaction gains (losses) on hedged items — — (104) — — — N/A Subtotal (12) — 2,936 70 — — N/A Earned income on derivatives 196 — 617 135 (118) — — Embedded derivatives (2) N/A N/A (643) — N/A N/A N/A Total $ 212 $ 105 $ 2,910 $ 181 $ (118) $ 3 $ 1,902 __________________ (1) Excludes earned income on derivatives. (2) The valuation of guaranteed minimum benefits includes a nonperformanc e risk adjustment. The amounts included in net derivative gains (losses) in connection with this adjustment were $3 million and ($48) million for the three months and nine months ended September 30, 2021, respectively, and ($12) million and $63 million for the three months and nine months ended September 30, 2020, respectively. The Company designates and accounts for the following as fair value hedges when they have met the requirements of fair value hedging: (i) interest rate swaps to convert fixed rate assets and liabilities to floating rate assets and liabilities, (ii) foreign currency swaps to hedge the foreign currency fair value exposure of foreign currency denominated assets and liabilities, and (iii) foreign currency forwards to hedge the foreign currency fair value exposure of foreign currency denominated investments. The following table presents the balance sheet classification, carrying amount and cumulative fair value hedging adjustments for items designated and qualifying as hedged items in fair value hedges: Balance Sheet Line Item Carrying Amount Cumulative Amount September 30, 2021 December 31, 2020 September 30, 2021 December 31, 2020 (In millions) Fixed maturity securities AFS $ 2,117 $ 2,699 $ (1) $ (1) Mortgage loans $ 749 $ 952 $ (3) $ 20 Future policy benefits $ (4,713) $ (5,512) $ (911) $ (1,307) __________________ (1) Includes ($169) million and ($1) million of hedging adjustments on discontinued hedging relationships at September 30, 2021 and December 31, 2020, respectively. For the Company’s foreign currency forwards, the change in the estimated fair value of the derivative related to the changes in the difference between the spot price and the forward price is excluded from the assessment of hedge effectiveness. The Company has elected to record changes in estimated fair value of excluded components in earnings. For all other derivatives, all components of each derivative’s gain or loss were included in the assessment of hedge effectiveness. Cash Flow Hedges The Company designates and accounts for the following as cash flow hedges when they have met the requirements of cash flow hedging: (i) interest rate swaps to convert floating rate assets and liabilities to fixed rate assets and liabilities, (ii) foreign currency swaps to hedge the foreign currency cash flow exposure of foreign currency denominated assets and liabilities, (iii) interest rate forwards and credit forwards to lock in the price to be paid for forward purchases of investments, (iv) interest rate swaps and interest rate forwards to hedge the forecasted purchases of fixed-rate investments, and (v) interest rate swaps and interest rate forwards to hedge forecasted fixed-rate borrowings. In certain instances, the Company discontinued cash flow hedge accounting because the forecasted transactions were no longer probable of occurring. Because certain of the forecasted transactions also were not probable of occurring within two months of the anticipated date, the Company reclassified amounts from AOCI into income. These amounts were $6 million and $5 million for the three months and nine months ended September 30, 2021, respectively, and ($8) million and $19 million for the three months and nine months ended September 30, 2020, respectively. At both September 30, 2021 and December 31, 2020, the maximum length of time over which the Company was hedging its exposure to variability in future cash flows for forecasted transactions did not exceed eight years. At September 30, 2021 and December 31, 2020, the balance in AOCI associated with cash flow hedges was $2.0 billion and $1.9 billion, respectively. All components of each derivative’s gain or loss were included in the assessment of hedge effectiveness. At September 30, 2021, the Company expected to reclassify ($137) million of deferred net gains (losses) on derivatives in AOCI to earnings within the next 12 months. NIFO Hedges The Company uses foreign currency exchange rate derivatives, which may include foreign currency forwards and currency options, to hedge portions of its net investments in foreign operations against adverse movements in exchange rates. The Company also designates a portion of its foreign-denominated debt as a non-derivative hedging instrument of its net investments in foreign operations. The Company assesses hedge effectiveness of its derivatives based upon the change in forward rates and assesses its non-derivative hedging instruments based upon the change in spot rates. All components of ea ch derivative’s gain or loss were included in the assessment of hedge effectiveness. When net investments in foreign operations are sold or substantially liquidated, the amounts in AOCI are reclassified to the statement of operations. At September 30, 2021 and December 31, 2020, the cumulative foreign currency translation gain (loss) recorded in AOCI related to NIFO hedges was $253 million and $164 million, respectively. At September 30, 2021 and December 31, 2020, the carrying amount of debt designated as a non-deriva tive hedging instrument was $376 million a Credit Derivatives In connection with synthetically created credit investment transactions, the Company writes credit default swaps for which it receives a premium to insure credit risk. Such credit derivatives are included within the effects of derivatives on the interim condensed consolidated statements of operations and comprehensive income (loss) table. If a credit event occurs, as defined by the contract, the contract may be cash settled or it may be settled gross by the Company paying the counterparty the specified swap notional amount in exchange for the delivery of par quantities of the referenced credit obligation. The Company’s maximum amount at risk, assuming the value of all referenced credit obligations is zero, was $8.7 billion and $9.6 billion at September 30, 2021 and December 31, 2020, respectively. The Company can terminate these contracts at any time through cash settlement with the counterparty at an amount equal to the then current estimated fair value of the credit default swaps. At September 30, 2021 and December 31, 2020, the Company would have received $175 million and $196 million, respectively, to terminate all of these contracts. The following table presents the estimated fair value, maximum amount of future payments and weighted average years to maturity of written credit default swaps at: September 30, 2021 December 31, 2020 Rating Agency Designation of Referenced Estimated Maximum Weighted Estimated Maximum Weighted (Dollars in millions) Aaa/Aa/A Single name credit default swaps (3) $ 5 $ 169 3.2 $ 5 $ 208 2.7 Credit default swaps referencing indices 21 1,778 1.7 27 1,779 2.5 Subtotal 26 1,947 1.9 32 1,987 2.5 Baa Single name credit default swaps (3) 2 152 2.5 3 249 2.5 Credit default swaps referencing indices 145 6,468 5.7 156 7,318 5.5 Subtotal 147 6,620 5.6 159 7,567 5.4 Ba Single name credit default swaps (3) 2 82 1.5 — — — Credit default swaps referencing indices (1) 20 4.2 — — — Subtotal 1 102 2.0 — — — B Credit default swaps referencing indices 5 55 4.2 5 55 5.0 Subtotal 5 55 4.2 5 55 5.0 Caa3 Credit default swaps referencing indices (4) 15 4.2 — — — Subtotal (4) 15 4.2 — — — Total $ 175 $ 8,739 4.7 $ 196 $ 9,609 4.8 _________________ (1) The rating agency designations are based on availability and the midpoint of the applicable ratings among Moody’s Investors Service (“Moody’s”), S&P Global Ratings (“S&P”) and Fitch Ratings. If no rating is available from a rating agency, then an internally developed rating is used. (2) The weighted average years to maturity of the credit default swaps is calculated based on weighted average gross notional amounts. (3) Single name credit default swaps may be referenced to the credit of corporations, foreign governments, or municipals. Credit Risk on Freestanding Derivatives The Company may be exposed to credit-related losses in the event of nonperformance by its counterparties to derivatives. Generally, the current credit exposure of the Company’s derivatives is limited to the net positive estimated fair value of derivatives at the reporting date after taking into consideration the existence of master netting or similar agreements and any collateral received pursuant to such agreements. Derivatives may be exchange-traded or contracted in the over-the-counter (“OTC”) market. Certain of the Company’s OTC derivatives are cleared and settled through central clearinghouses (“OTC-cleared”), while others are bilateral contracts between two counterparties (“OTC-bilateral”). The Company manages its credit risk related to derivatives by entering into transactions with creditworthy counterparties and establishing and monitoring exposure limits. The Company enters into contracts with counterparties in jurisdictions in which it understands that close-out netting should be enforceable. The Company’s OTC-bilateral derivative transactions are governed by the International Swaps and Derivatives Association, Inc. (“ISDA”) Master Agreements which provide for legally enforceable set-off and close-out netting of exposures to specific counterparties in the event of early termination of a transaction, which includes, but is not limited to, events of default and bankruptcy. In the event of an early termination, close-out netting permits the Company (subject to financial regulations such as the Orderly Liquidation Authority under Title II of Dodd-Frank) to set off receivables from the counterparty against payables to the same counterparty arising out of all included transactions and to apply collateral to the obligations, without application of the automatic stay, upon the counterparty’s bankruptcy. All of the Company’s ISDA Master Agreements also include Credit Support Annex provisions which require both the pledging and accepting of collateral in connection with its OTC-bilateral derivatives as required by applicable law. Additionally, effective September 1, 2021, the Company is required to pledge initial margin for certain new OTC-bilateral derivative transactions to third party custodians. The Company’s OTC-cleared derivatives are effected through central clearing counterparties and its exchange-traded derivatives are effected through regulated exchanges. Such positions are marked to market and margined on a daily basis (both initial margin and variation margin), and the Company has minimal exposure to credit-related losses in the event of nonperformance by brokers and central clearinghouses to such derivatives. Se e Note 8 for a description of the impact of credit risk on the valuation of derivatives. The estimated fair values of the Company’s net derivative assets and net derivative liabilities after the application of master netting agreements and collateral were as follows at: September 30, 2021 December 31, 2020 Derivatives Subject to a Master Netting Arrangement or a Similar Arrangement Assets Liabilities Assets Liabilities (In millions) Gross estimated fair value of derivatives: OTC-bilateral (1) $ 10,034 $ 3,675 $ 11,348 $ 4,111 OTC-cleared (1) 516 39 593 20 Exchange-traded 52 15 17 40 Total gross estimated fair value of derivatives presented on the interim condensed consolidated balance sheets (1) 10,602 3,729 11,958 4,171 Gross amounts not offset on the interim condensed consolidated balance sheets: Gross estimated fair value of derivatives: (2) OTC-bilateral (2,206) (2,206) (2,926) (2,926) OTC-cleared (13) (13) (7) (7) Exchange-traded (2) (2) — — Cash collateral: (3), (4) OTC-bilateral (6,396) — (6,842) — OTC-cleared (434) (16) (530) (5) Exchange-traded — (9) — (23) Securities collateral: (5) OTC-bilateral (1,249) (1,367) (1,453) (1,100) OTC-cleared — (9) — (1) Exchange-traded — (3) — (1) Net amount after application of master netting agreements and collateral $ 302 $ 104 $ 200 $ 108 __________________ (1) At September 30, 2021 and December 31, 2020, derivative assets included income (expense) accruals reported in accrued investment income or in other liabilities of $83 million an d $92 million, respectively, and derivative liabilities included (income) expense accruals reported in accrued investment income or in other liabilities of ($22) million and ($58) million, respectively. (2) Estimated fair value of derivatives is limited to the amount that is subject to set-off and includes income or expense accruals. (3) Cash collateral received by the Company for OTC-bilateral and OTC-cleared derivatives, where the centralized clearinghouse treats variation margin as collateral, is included in cash and cash equivalents, short-term investments or in fixed maturity securities AFS, and the obligation to return it is included in payables for collateral under securities loaned and other transactions on the balance sheet. For certain collateral agreements, cash collateral is pledged to the Company as initial margin on its OTC-bilateral derivatives. (4) The receivable for the return of cash collateral provided by the Company is inclusive of initial margin on exchange-traded and OTC-cleared derivatives and is included in premiums, reinsurance and other receivables on the balance sheet. The amount of cash collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreements. At September 30, 2021 and December 31, 2020, the Company received excess cash collateral of $103 million and $265 million, respectively, and provided excess cash collateral of $158 million and $238 million, respectively, which is not included in the table above due to the foregoing limitation. (5) Securities collateral received by the Company is held in separate custodial accounts and is not recorded on the balance sheet. Subject to certain constraints, the Company is permitted by contract to sell or re-pledge this collateral, but at September 30, 2021, none of the collateral had been sold or re-pledged. Securities collateral pledged by the Company is reported in fixed maturity securities AFS on the balance sheet. Subject to certain constraints, the counterparties are permitted by contract to sell or re-pledge this collateral. The amount of securities collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreements and cash collateral. At September 30, 2021 and December 31, 2020, the Company received excess securities collateral with an estimated fair value of $98 million and $231 million, respectively, for its OTC-bilateral derivatives, which are not included in the table above due to the foregoing limitation. At September 30, 2021 and December 31, 2020, the Company provided excess securities collateral with an estimated fair value of $194 million and $269 million, respectively, for its OTC-bilateral derivatives, $1.2 billion and $2.1 billion, respectively, for its OTC-cleared derivatives, and $214 million and $318 million, respectively, for its exchange-traded derivatives, which are not included in the table above due to the foregoing limitation. The Company’s collateral arrangements for its OTC-bilateral derivatives generally require the counterparty in a net liability position, after considering the effect of netting agreements, to pledge collateral when the collateral amount owed by that counterparty reaches a minimum transfer amount. Substantially all of the Company’s netting agreements for derivatives contain provisions that require both the Company and the counterparty to maintain a specific investment grade credit rating from each of Moody’s and S&P. If a party’s credit or financial strength rating, as applicable, were to fall below that specific investment grade credit rating, that party would be in violation of these provisions, and the other party to the derivatives could terminate the transactions and demand immediate settlement and payment based on such party’s reasonable valuation of the derivatives. A small number of these arrangements also include credit-contingent provisions that include a threshold above which collateral must be posted. Such agreements provide for a reduction of these thresholds (on a sliding scale that converges toward zero) in the event of downgrades in the credit ratings of MetLife, Inc. and/or the counterparty. At September 30, 2021, the amount of collateral not provided by the Company due to the existence of these thresholds was $15 million. The following table presents the estimated fair value of the Company’s OTC-bilateral derivatives that were in a net liability position after considering the effect of netting agreements, together with the estimated fair value and balance sheet location of the collateral pledged. September 30, 2021 December 31, 2020 Derivatives Derivatives Total Derivatives Derivatives Total (In millions) Estimated fair value of derivatives in a net liability position (1) $ 1,242 $ 227 $ 1,469 $ 1,182 $ 3 $ 1,185 Estimated fair value of collateral provided: Fixed maturity securities AFS $ 1,300 $ 188 $ 1,488 $ 1,222 $ 2 $ 1,224 __________________ (1) After taking into consideration the existence of netting agreements. Embedded Derivatives The Company issues certain products or purchases certain investments that contain embedded derivatives that are required to be separated from their host contracts and accounted for as freestanding derivatives. The following table presents the estimated fair value and balance sheet location of the Company’s embedded derivatives that have been separated from their host contracts at: Balance Sheet Location September 30, 2021 December 31, 2020 (In millions) Embedded derivatives within asset host contracts: Ceded guaranteed minimum benefits Premiums, reinsurance and other receivables $ 39 $ 55 Embedded derivatives within liability host contracts: Direct guaranteed minimum benefits Policyholder account balances $ 296 $ 651 Assumed guaranteed minimum benefits Policyholder account balances 131 283 Funds withheld on ceded reinsurance Other liabilities 41 100 Fixed annuities with equity indexed returns Policyholder account balances 157 138 Other guarantees Policyholder account balances 1 24 Embedded derivatives within liability host contracts $ 626 $ 1,196 |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value | 8. Fair ValueConsiderable judgment is often required in interpreting the market data used to develop estimates of fair value, and the use of different assumptions or valuation methodologies may have a material effect on the estimated fair value amounts. Recurring Fair Value Measurements The assets and liabilities measured at estimated fair value on a recurring basis and their corresponding placement in the fair value hierarchy, including those items for which the Company has elected the FVO, are presented below at: September 30, 2021 (1) Fair Value Hierarchy Level 1 Level 2 Level 3 Total Estimated Fair Value (In millions) Assets Fixed maturity securities AFS: U.S. corporate $ — $ 80,783 $ 11,229 $ 92,012 Foreign government — 63,274 106 63,380 Foreign corporate — 50,415 13,507 63,922 U.S. government and agency 27,492 20,608 — 48,100 RMBS 8 27,023 3,236 30,267 ABS — 15,878 1,525 17,403 Municipals — 14,006 34 14,040 CMBS — 11,095 819 11,914 Total fixed maturity securities AFS 27,500 283,082 30,456 341,038 Equity securities 594 196 151 941 Unit-linked and FVO Securities (2) 9,171 2,051 833 12,055 Short-term investments (3) 5,287 1,201 57 6,545 Residential mortgage loans — FVO — — 134 134 Other investments — 49 845 894 Derivative assets: (4) Interest rate 3 6,744 60 6,807 Foreign currency exchange rate 1 2,527 4 2,532 Credit — 174 20 194 Equity market 48 931 7 986 Total derivative assets 52 10,376 91 10,519 Embedded derivatives within asset host contracts (5) — — 39 39 Separate account assets (6) 78,361 101,190 1,403 180,954 Total assets (7) $ 120,965 $ 398,145 $ 34,009 $ 553,119 Liabilities Derivative liabilities: (4) Interest rate $ 1 $ 349 $ 38 $ 388 Foreign currency exchange rate — 2,509 258 2,767 Credit — 110 5 115 Equity market 14 467 — 481 Total derivative liabilities 15 3,435 301 3,751 Embedded derivatives within liability host contracts (5) — — 626 626 Separate account liabilities (6) 4 13 4 21 Total liabilities $ 19 $ 3,448 $ 931 $ 4,398 December 31, 2020 (1) Fair Value Hierarchy Level 1 Level 2 Level 3 Total Estimated Fair Value (In millions) Assets Fixed maturity securities AFS: U.S. corporate $ — $ 83,214 $ 10,202 $ 93,416 Foreign government — 71,582 117 71,699 Foreign corporate — 55,509 13,899 69,408 U.S. government and agency 23,180 23,920 — 47,100 RMBS — 27,133 3,302 30,435 ABS — 15,734 1,385 17,119 Municipals — 13,722 — 13,722 CMBS — 11,308 602 11,910 Total fixed maturity securities AFS 23,180 302,122 29,507 354,809 Equity securities 636 293 150 1,079 Unit-linked and FVO Securities (2) 10,559 2,059 701 13,319 Short-term investments (3) 2,762 568 43 3,373 Residential mortgage loans — FVO — — 165 165 Other investments 83 229 573 885 Derivative assets: (4) Interest rate — 7,840 489 8,329 Foreign currency exchange rate 3 2,287 176 2,466 Credit — 180 25 205 Equity market 14 830 22 866 Total derivative assets 17 11,137 712 11,866 Embedded derivatives within asset host contracts (5) — — 55 55 Separate account assets (6) 91,850 107,035 1,085 199,970 Total assets (7) $ 129,087 $ 423,443 $ 32,991 $ 585,521 Liabilities Derivative liabilities: (4) Interest rate $ 2 $ 168 $ 68 $ 238 Foreign currency exchange rate — 3,063 38 3,101 Credit — 121 — 121 Equity market 38 719 12 769 Total derivative liabilities 40 4,071 118 4,229 Embedded derivatives within liability host contracts (5) — — 1,196 1,196 Separate account liabilities (6) 12 8 6 26 Total liabilities $ 52 $ 4,079 $ 1,320 $ 5,451 __________________ (1) Excludes amounts for financial instruments reclassified to assets held-for-sale or liabilities held-for-sale. Assets held-for-sale and liabilities held-for-sale are valued on a basis consistent with similar instruments described herein. See Note 3 for information on the Company’s business dispositions. (2) Unit-linked and FVO Securities were primarily comprised of Unit-linked investments at both September 30, 2021 and December 31, 2020. (3) Short-term investments as presented in the tables above differ from the amounts presented on the interim condensed consolidated balance sheets because certain short-term investments are not measured at estimated fair value on a recurring basis. (4) Derivative assets are presented within other invested assets on the interim condensed consolidated balance sheets and derivative liabilities are presented within other liabilities on the interim condensed consolidated balance sheets. The amounts are presented gross in the tables above to reflect the presentation on the interim condensed consolidated balance sheets, but are presented net for purposes of the rollforward in the Fair Value Measurements Using Significant Unobservable Inputs (Level 3) tables. (5) Embedded derivatives within asset host contracts are presented within premiums, reinsurance and other receivables and other invested assets on the interim condensed consolidated balance sheets. Embedded derivatives within liability host contracts are presented within policyholder account balances and other liabilities on the interim condensed consolidated balance sheets. (6) Investment performance related to separate account assets is fully offset by corresponding amounts credited to contractholders whose liability is reflected within separate account liabilities. Separate account liabilities are set equal to the estimated fair value of separate account assets. Separate account liabilities presented in the tables above represent derivative liabilities. (7) Total assets included in the fair value hierarchy exclude other limited partnership interests that are measured at estimated fair value using the net asset value (“NAV”) per share (or its equivalent) practical expedient. At September 30, 2021 and December 31, 2020, the estimated fair value of such investments was $82 million and $75 million, respectively. The following describes the valuation methodologies used to measure assets and liabilities at fair value. Investments Securities, Short-term Investments and Other Investments When available, the estimated fair value of these financial instruments is based on quoted prices in active markets that are readily and regularly obtainable. Generally, these are the most liquid of the Company’s securities holdings and valuation of these securities does not involve management’s judgment. When quoted prices in active markets are not available, the determination of estimated fair value of securities is based on market standard valuation methodologies, giving priority to observable inputs. The significant inputs to the market standard valuation methodologies for certain types of securities with reasonable levels of price transparency are inputs that are observable in the market or can be derived principally from, or corroborated by, observable market data. When observable inputs are not available, the market standard valuation methodologies rely on inputs that are significant to the estimated fair value that are not observable in the market or cannot be derived principally from, or corroborated by, observable market data. These unobservable inputs can be based in large part on management’s judgment or estimation and cannot be supported by reference to market activity. Even though these inputs are unobservable, management believes they are consistent with what other market participants would use when pricing such securities and are considered appropriate given the circumstances. The estimated fair value of short-term investments and other investments is determined on a basis consistent with the methodologies described herein. The valuation approaches and key inputs for each category of assets or liabilities that are classified within Level 2 and Level 3 of the fair value hierarchy are presented below. The primary valuation approaches are the market approach, which considers recent prices from market transactions involving identical or similar assets or liabilities, and the income approach, which converts expected future amounts (e.g. cash flows) to a single current, discounted amount. The valuation of most instruments listed below is determined using independent pricing sources, matrix pricing, discounted cash flow methodologies or other similar techniques that use either observable market inputs or unobservable inputs. Instrument Level 2 Observable Inputs Level 3 Unobservable Inputs Fixed maturity securities AFS U.S. corporate and Foreign corporate securities Valuation Approaches: Principally the market and income approaches. Valuation Approaches: Principally the market approach. Key Inputs: Key Inputs: • quoted prices in markets that are not active • illiquidity premium • benchmark yields; spreads off benchmark yields; new issuances; issuer ratings • delta spread adjustments to reflect specific credit-related issues • trades of identical or comparable securities; duration • credit spreads • privately-placed securities are valued using the additional key inputs: • quoted prices in markets that are not active for identical or similar securities that are less liquid and based on lower levels of trading activity than securities classified in Level 2 • market yield curve; call provisions • observable prices and spreads for similar public or private securities that incorporate the credit quality and industry sector of the issuer • independent non-binding broker quotations • delta spread adjustments to reflect specific credit-related issues Foreign government securities, U.S. government and agency securities and Municipals Valuation Approaches: Principally the market approach. Valuation Approaches: Principally the market approach. Key Inputs: Key Inputs: • quoted prices in markets that are not active • independent non-binding broker quotations • benchmark U.S. Treasury yield or other yields • quoted prices in markets that are not active for identical or similar securities that are less liquid and based on lower levels of trading activity than securities classified in Level 2 • the spread off the U.S. Treasury yield curve for the identical security • issuer ratings and issuer spreads; broker-dealer quotations • credit spreads • comparable securities that are actively traded Structured Products Valuation Approaches: Principally the market and income approaches. Valuation Approaches: Principally the market and income approaches. Key Inputs: Key Inputs: • quoted prices in markets that are not active • credit spreads • spreads for actively traded securities; spreads off benchmark yields • quoted prices in markets that are not active for identical or similar securities that are less liquid and based on lower levels of trading activity than securities classified in Level 2 • expected prepayment speeds and volumes • current and forecasted loss severity; ratings; geographic region • independent non-binding broker quotations • weighted average coupon and weighted average maturity • credit ratings • average delinquency rates; DSCR • credit ratings • issuance-specific information, including, but not limited to: • collateral type; structure of the security; vintage of the loans • payment terms of the underlying assets • payment priority within the tranche; deal performance Instrument Level 2 Observable Inputs Level 3 Unobservable Inputs Equity securities Valuation Approaches: Principally the market approach. Valuation Approaches: Principally the market and income approaches. Key Input: Key Inputs: • quoted prices in markets that are not considered active • credit ratings; issuance structures • quoted prices in markets that are not active for identical or similar securities that are less liquid and based on lower levels of trading activity than securities classified in Level 2 • independent non-binding broker quotations Unit-linked and FVO Securities, Short-term investments and Other investments • Unit-linked and FVO Securities include mutual fund interests without readily determinable fair values given prices are not published publicly. Valuation of these mutual funds is based upon quoted prices or reported NAV provided by the fund managers, which were based on observable inputs. • Unit-linked and FVO Securities, short-term investments and other investments are of a similar nature and class to the fixed maturity securities AFS and equity securities described above; accordingly, the valuation approaches and unobservable inputs used in their valuation are also similar to those described above. Other investments include certain real estate joint ventures and use the valuation approach and key inputs as described for other limited partnership interests below. • Short-term investments and other investments are of a similar nature and class to the fixed maturity securities AFS and equity securities described above; accordingly, the valuation approaches and observable inputs used in their valuation are also similar to those described above. Residential mortgage loans — FVO • N/A Valuation Approaches: Principally the market approach. Valuation Techniques and Key Inputs: These investments are based primarily on matrix pricing or other similar techniques that utilize inputs from mortgage servicers that are unobservable or cannot be derived principally from, or corroborated by, observable market data. Separate account assets and Separate account liabilities (1) Mutual funds and hedge funds without readily determinable fair values as prices are not published publicly Key Input: • N/A • quoted prices or reported NAV provided by the fund managers Other limited partnership interests • N/A Valued giving consideration to the underlying holdings of the partnerships and adjusting, if appropriate. Key Inputs: • liquidity; bid/ask spreads; performance record of the fund manager • other relevant variables that may impact the exit value of the particular partnership interest __________________ (1) Estimated fair value equals carrying value, based on the value of the underlying assets, including: mutual fund interests, fixed maturity securities, equity securities, derivatives, hedge funds, other limited partnership interests, short-term investments and cash and cash equivalents. Fixed maturity securities, equity securities, derivatives, short-term investments and cash and cash equivalents are similar in nature to the instruments described under “— Securities, Short-term Investments and Other Investments” and “— Derivatives — Freestanding Derivatives.” Derivatives The estimated fair value of derivatives is determined through the use of quoted market prices for exchange-traded derivatives, or through the use of pricing models for OTC-bilateral and OTC-cleared derivatives. The determination of estimated fair value, when quoted market values are not available, is based on market standard valuation methodologies and inputs that management believes are consistent with what other market participants would use when pricing such instruments. Derivative valuations can be affected by changes in interest rates, foreign currency exchange rates, financial indices, credit spreads, default risk, nonperformance risk, volatility, liquidity and changes in estimates and assumptions used in the pricing models. The significant inputs to the pricing models for most OTC-bilateral and OTC-cleared derivatives are inputs that are observable in the market or can be derived principally from, or corroborated by, observable market data. Certain OTC-bilateral and OTC-cleared derivatives may rely on inputs that are significant to the estimated fair value that are not observable in the market or cannot be derived principally from, or corroborated by, observable market data. These unobservable inputs may involve significant management judgment or estimation. Even though unobservable, these inputs are based on assumptions deemed appropriate given the circumstances and management believes they are consistent with what other market participants would use when pricing such instruments. Most inputs for OTC-bilateral and OTC-cleared derivatives are mid-market inputs but, in certain cases, liquidity adjustments are made when they are deemed more representative of exit value. Market liquidity, as well as the use of different methodologies, assumptions and inputs, may have a material effect on the estimated fair values of the Company’s derivatives and could materially affect net income. The credit risk of both the counterparty and the Company are considered in determining the estimated fair value for all OTC-bilateral and OTC-cleared derivatives, and any potential credit adjustment is based on the net exposure by counterparty after taking into account the effects of netting agreements and collateral arrangements. The Company values its OTC-bilateral and OTC-cleared derivatives using standard swap curves which may include a spread to the risk-free rate, depending upon specific collateral arrangements. This credit spread is appropriate for those parties that execute trades at pricing levels consistent with similar collateral arrangements. As the Company and its significant derivative counterparties generally execute trades at such pricing levels and hold sufficient collateral, additional credit risk adjustments are not currently required in the valuation process. The Company’s ability to consistently execute at such pricing levels is, in part, due to the netting agreements and collateral arrangements that are in place with all of its significant derivative counterparties. An evaluation of the requirement to make additional credit risk adjustments is performed by the Company each reporting period. Freestanding Derivatives Level 2 Valuation Approaches and Key Inputs: This level includes all types of derivatives utilized by the Company with the exception of exchange-traded derivatives included within Level 1 and those derivatives with unobservable inputs as described in Level 3. Level 3 Valuation Approaches and Key Inputs: These valuation methodologies generally use the same inputs as described in the corresponding sections for Level 2 measurements of derivatives. However, these derivatives result in Level 3 classification because one or more of the significant inputs are not observable in the market or cannot be derived principally from, or corroborated by, observable market data. Freestanding derivatives are principally valued using the income approach. Valuations of non-option-based derivatives utilize present value techniques, whereas valuations of option-based derivatives utilize option pricing models. Key inputs are as follows: Instrument Interest Rate Foreign Currency Credit Equity Market Inputs common to Level 2 and Level 3 by instrument type • swap yield curves • swap yield curves • swap yield curves • swap yield curves • basis curves • basis curves • credit curves • spot equity index levels • interest rate volatility (1) • currency spot rates • recovery rates • dividend yield curves • cross currency basis curves • equity volatility (1) • currency volatility (1) Level 3 • swap yield curves (2) • swap yield curves (2) • swap yield curves (2) • dividend yield curves (2) • basis curves (2) • basis curves (2) • credit curves (2) • equity volatility (1), (2) • repurchase rates • cross currency basis curves (2) • credit spreads • correlation between model inputs (1) • interest rate volatility (1), (2) • currency correlation • repurchase rates • currency volatility (1) • independent non-binding broker quotations __________________ (1) Option-based only. (2) Extrapolation beyond the observable limits of the curve(s). Embedded Derivatives Embedded derivatives principally include certain direct, assumed and ceded variable annuity guarantees, annuity contracts, and investment risk within funds withheld related to certain reinsurance agreements. Embedded derivatives are recorded at estimated fair value with changes in estimated fair value reported in net income. The Company issues certain variable annuity products with guaranteed minimum benefits. GMWBs, GMABs and certain GMIBs contain embedded derivatives, which are measured at estimated fair value separately from the host variable annuity contract, with changes in estimated fair value reported in net derivative gains (losses). These embedded derivatives are classified within policyholder account balances on the interim condensed consolidated balance sheets. The Company calculates the fair value of these embedded derivatives, which is estimated as the present value of projected future benefits minus the present value of projected future fees using actuarial and capital market assumptions including expectations concerning policyholder behavior. The calculation is based on in-force business, projecting future cash flows from the embedded derivative over multiple risk neutral stochastic scenarios using observable risk-free rates. Capital market assumptions, such as risk-free rates and implied volatilities, are based on market prices for publicly traded instruments to the extent that prices for such instruments are observable. Implied volatilities beyond the observable period are extrapolated based on observable implied volatilities and historical volatilities. Actuarial assumptions, including mortality, lapse, withdrawal and utilization, are unobservable and are reviewed at least annually based on actuarial studies of historical experience. The valuation of these guarantee liabilities includes nonperformance risk adjustments and adjustments for a risk margin related to non-capital market inputs. The nonperformance adjustment is determined by taking into consideration publicly available information relating to spreads in the secondary market for MetLife, Inc.’s debt, including related credit default swaps. These observable spreads are then adjusted, as necessary, to reflect the priority of these liabilities and the claims paying ability of the issuing insurance subsidiaries as compared to MetLife, Inc. Risk margins are established to capture the non-capital market risks of the instrument which represent the additional compensation a market participant would require to assume the risks related to the uncertainties of such actuarial assumptions as annuitization, premium persistency, partial withdrawal and surrenders. The establishment of risk margins requires the use of significant management judgment, including assumptions of the amount and cost of capital needed to cover the guarantees. These guarantees may be more costly than expected in volatile or declining equity markets. Market conditions including, but not limited to, changes in interest rates, equity indices, market volatility and foreign currency exchange rates; changes in nonperformance risk; and variations in actuarial assumptions regarding policyholder behavior, mortality and risk margins related to non-capital market inputs, may result in significant fluctuations in the estimated fair value of the guarantees that could materially affect net income. The Company ceded the risk associated with certain of the GMIBs previously described. These reinsurance agreements contain embedded derivatives which are included within premiums, reinsurance and other receivables on the consolidated balance sheets with changes in estimated fair value reported in net derivative gains (losses) or policyholder benefits and claims depending on the statement of operations classification of the direct risk. The value of the embedded derivatives on the ceded risk is determined using a methodology consistent with that described previously for the guarantees directly written by the Company with the exception of the input for nonperformance risk that reflects the credit of the reinsurer. The estimated fair value of the embedded derivatives within funds withheld related to certain ceded reinsurance is determined based on the change in estimated fair value of the underlying assets held by the Company in a reference portfolio backing the funds withheld liability. The estimated fair value of the underlying assets is determined as described in “— Investments — Securities, Short-term Investments and Other Investments.” The estimated fair value of these embedded derivatives is included, along with their funds withheld hosts, in other liabilities on the interim condensed consolidated balance sheets with changes in estimated fair value recorded in net derivative gains (losses). Changes in the credit spreads on the underlying assets, interest rates and market volatility may result in significant fluctuations in the estimated fair value of these embedded derivatives that could materially affect net income. The Company issues certain annuity contracts which allow the policyholder to participate in returns from equity indices. These equity indexed features are embedded derivatives which are measured at estimated fair value separately from the host fixed annuity contract, with changes in estimated fair value reported in net derivative gains (losses). These embedded derivatives are classified within policyholder account balances on the interim condensed consolidated balance sheets. The estimated fair value of the embedded equity indexed derivatives, based on the present value of future equity returns to the policyholder using actuarial and present value assumptions including expectations concerning policyholder behavior, is calculated by the Company’s actuarial department. The calculation is based on in-force business and uses standard capital market techniques, such as Black-Scholes, to calculate the value of the portion of the embedded derivative for which the terms are set. The portion of the embedded derivative covering the period beyond where terms are set is calculated as the present value of amounts expected to be spent to provide equity indexed returns in those periods. The valuation of these embedded derivatives also includes the establishment of a risk margin, as well as changes in nonperformance risk. Embedded Derivatives Within Asset and Liability Host Contracts Level 3 Valuation Approaches and Key Inputs: Direct and assumed guaranteed minimum benefits These embedded derivatives are principally valued using the income approach. Valuations are based on option pricing techniques, which utilize significant inputs that may include swap yield curves, currency exchange rates and implied volatilities. These embedded derivatives result in Level 3 classification because one or more of the significant inputs are not observable in the market or cannot be derived principally from, or corroborated by, observable market data. Significant unobservable inputs generally include: the extrapolation beyond observable limits of the swap yield curves and implied volatilities, actuarial assumptions for policyholder behavior and mortality and the potential variability in policyholder behavior and mortality, nonperformance risk and cost of capital for purposes of calculating the risk margin. Reinsurance ceded on certain guaranteed minimum benefits These embedded derivatives are principally valued using the income approach. The valuation techniques and significant market standard unobservable inputs used in their valuation are similar to those described above in “— Direct and assumed guaranteed minimum benefits” and also include counterparty credit spreads. Transfers between Levels Overall, transfers between levels occur when there are changes in the observability of inputs and market activity. Transfers into or out of Level 3: Assets and liabilities are transferred into Level 3 when a significant input cannot be corroborated with market observable data. This occurs when market activity decreases significantly and underlying inputs cannot be observed, current prices are not available, and/or when there are significant variances in quoted prices, thereby affecting transparency. Assets and liabilities are transferred out of Level 3 when circumstances change such that a significant input can be corroborated with market observable data. This may be due to a significant increase in market activity, a specific event, or one or more significant input(s) becoming observable. Assets and Liabilities Measured at Fair Value Using Significant Unobservable Inputs (Level 3) The following table presents certain quantitative information about the significant unobservable inputs used in the fair value measurement, and the sensitivity of the estimated fair value to changes in those inputs, for the more significant asset and liability classes measured at fair value on a recurring basis using significant unobservable inputs (Level 3) at: September 30, 2021 December 31, 2020 Impact of Valuation Significant Range Weighted Range Weighted Fixed maturity securities AFS (3) U.S. corporate and foreign corporate • Matrix pricing • Offered quotes (4) 1 - 170 111 — - 186 117 Increase • Market pricing • Quoted prices (4) — - 113 99 — - 116 98 Increase • Consensus pricing • Offered quotes (4) 99 - 107 100 54 - 104 101 Increase RMBS • Market pricing • Quoted prices (4) — - 180 99 — - 159 98 Increase (5) ABS • Market pricing • Quoted prices (4) 3 - 109 102 1 - 112 100 Increase (5) • Consensus pricing • Offered quotes (4) 102 - 102 102 100 - 100 100 Increase (5) Derivatives Interest rate • Present value techniques • Swap yield (6) 149 - 221 199 92 - 184 149 Increase (7) • Repurchase rates (8) — - — — (12) - 1 (6) Decrease (7) • Volatility (9) 0% - 1% 1% — - — — Increase (7) Foreign currency exchange rate • Present value techniques • Swap yield (6) (129) - 1,873 117 (309) - 248 (144) Increase (7) Credit • Present value techniques • Credit spreads (10) 96 - 128 104 96 - 99 98 Decrease (7) • Consensus pricing • Offered quotes (11) Equity market • Present value techniques or option pricing models • Volatility (12) — - — — 21% - 29% 28% Increase (7) • Correlation (13) — - — — 10% - 30% 10% Embedded derivatives Direct, assumed and ceded guaranteed minimum benefits • Option pricing techniques • Mortality rates: Ages 0 - 40 0% - 0.17% 0.08% 0% - 0.17% 0.06% Decrease (14) Ages 41 - 60 0.03% - 0.75% 0.27% 0.03% - 0.75% 0.30% Decrease (14) Ages 61 - 115 0.12% - 100% 2.08% 0.12% - 100% 1.90% Decrease (14) • Lapse rates: Durations 1 - 10 0.25% - 100% 6.30% 0.25% - 100% 6.86% Decrease (15) Durations 11 - 20 0.50% - 100% 5.22% 0.50% - 100% 5.18% Decrease (15) Durations 21 - 116 0.50% - 100% 5.22% 0.50% - 100% 5.18% Decrease (15) • Utilization rates 0% - 22% 0.22% 0% - 22% 0.17% Increase (16) • Withdrawal rates 0% - 20% 3.72% 0% - 20% 3.98% (17) • Long-term equity volatilities 7.71% - 25% 18.60% 8.33% - 27% 18.70% Increase (18) • Nonperformance risk spread 0.05% - 1.17% 0.35% 0.04% - 1.18% 0.40% Decrease (19) __________________ (1) The weighted average for fixed maturity securities AFS and derivatives is determined based on the estimated fair value of the securities and derivatives. The weighted average for embedded derivatives is determined based on a combination of account values and experience data. (2) The impact of a decrease in input would have resulted in the opposite impact on estimated fair value. For embedded derivatives, changes to direct and assumed guaranteed minimum benefits are based on liability positions; changes to ceded guaranteed minimum benefits are based on asset positions. (3) Significant increases (decreases) in expected default rates in isolation would have resulted in substantially lower (higher) valuations. (4) Range and weighted average are presented in accordance with the market convention for fixed maturity securities AFS of dollars per hundred dollars of par. (5) Changes in the assumptions used for the probability of default would have been accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumptions used for prepayment rates. (6) Ranges represent the rates across different yield curves and are presented in basis points. The swap yield curves are utilized among different types of derivatives to project cash flows, as well as to discount future cash flows to present value. Since this valuation methodology uses a range of inputs across a yield curve to value the derivative, presenting a range is more representative of the unobservable input used in the valuation. (7) Changes in estimated fair value are based on long U.S. dollar net asset positions and will be inversely impacted for short U.S. dollar net asset positions. (8) Ranges represent different repurchase rates utilized as components within the valuation methodology and are presented in basis points. (9) Ranges represent the underlying interest rate volatility quoted in percentage points. Since this valuation methodology uses an equivalent of LIBOR for secured overnight financing rate volatility, presenting a range is more representative of the unobservable input used in the valuation |
Long Term Debt
Long Term Debt | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | 9. Long Term Debt Senior Notes In July 2021, MetLife, Inc. redeemed for cash and canceled $500 million aggregate principal amount of its outstanding 3.048% senior notes due December 2022. The Company recorded a premium of $17 million paid in excess of the debt principal and accrued and unpaid interest to other expenses. Credit Facility In February 2021, MetLife, Inc. and MetLife Funding, Inc. amended and restated their five-year $3.0 billion unsecured credit agreement (as amended and restated, the “2021 Five-Year Credit Agreement”). The facility may be used for general corporate purposes (including in the case of loans, to back up commercial paper and, in the case of letters of credit, to support variable annuity policy and reinsurance reserve requirements). All borrowings under the 2021 Five-Year Credit Agreement must be repaid by February 26, 2026, except that letters of credit outstanding on that date may remain outstanding until no later than February 26, 2027. MetLife, Inc. incurred costs of $6 million related to the 2021 Five-Year Credit Agreement, which were capitalized and included in other assets. These costs are being amortized over the remaining term of the 2021 Five-Year Credit Agreement. |
Equity
Equity | 9 Months Ended |
Sep. 30, 2021 | |
Equity [Abstract] | |
Equity | 10. Equity Preferred Stock Preferred stock authorized, issued and outstanding was as follows: September 30, 2021 December 31, 2020 Series Shares Shares Issued and Outstanding Shares Shares Issued and Outstanding Floating Rate Non-Cumulative Preferred Stock, Series A 27,600,000 24,000,000 27,600,000 24,000,000 5.25% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C (1) — — 1,500,000 500,000 5.875% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series D 500,000 500,000 500,000 500,000 5.625% Non-Cumulative Preferred Stock, Series E 32,200 32,200 32,200 32,200 4.75% Non-Cumulative Preferred Stock, Series F 40,000 40,000 40,000 40,000 3.85% Fixed Rate Reset Non-Cumulative Preferred Stock, Series G 1,000,000 1,000,000 1,000,000 1,000,000 Series A Junior Participating Preferred Stock 10,000,000 — 10,000,000 — Not designated 160,827,800 — 159,327,800 — Total 200,000,000 25,572,200 200,000,000 26,072,200 __________________ (1) On May 17, 2021, the outstanding 500,000 shares of MetLife, Inc.’s 5.25% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C (the “Series C preferred stock”) were irrevocably called for redemption, and on June 15, 2021, MetLife, Inc. redeemed and canceled the shares. In May 2021, MetLife, Inc. delivered a notice of redemption to the holders of the Series C preferred stock pursuant to which it would redeem the remaining 500,000 shares of Series C preferred stock at a redemption price of $1,000 per share. In connection with the redemption, MetLife, Inc. recognized a preferred stock redemption premium of $6 million (calculated as the difference between the carrying value of the Series C preferred stock and the total amount paid by MetLife, Inc. to the holders of the Series C preferred stock in connection with the redemption), which was recorded as a reduction of retained earnings at June 30,2021. All outstanding shares of Series C preferred stock were redeemed on the dividend payment date of June 15, 2021 for an aggregate redemption price of $500 million in cash. In June 2021, MetLife, Inc. filed a Certificate of Elimination (the “Certificate of Elimination”) of Series C preferred stock with the Secretary of State of the State of Delaware to eliminate all references to the Series C preferred stock in MetLife, Inc.’s Amended and Restated Certificate of Incorporation (the “Certificate of Incorporation”), including the related Certificate of Designations. As a result of the filing of the Certificate of Elimination, MetLife, Inc.’s Certificate of Incorporation was amended to eliminate all references therein to the Series C preferred stock, and the shares that were designated to such series were returned to the status of authorized but unissued shares of preferred stock, par value $0.01 per share, of MetLife, Inc., without designation as to series. The Certificate of Elimination does not affect the total number of authorized shares of capital stock of MetLife, Inc. or the total number of authorized shares of preferred stock. The per share and aggregate dividends declared for MetLife, Inc.’s preferred stock were as follows: Three Month Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Series Per Share Aggregate Per Share Aggregate Per Share Aggregate Per Share Aggregate (In million, except per share data) A $ 0.256 $ 6 $ 0.256 $ 6 $ 0.762 $ 18 $ 0.762 $ 18 C $ — — $ 9.940 15 $ 19.085 10 $ 36.190 54 D $ 29.375 14 $ 29.375 15 $ 58.750 29 $ 58.750 30 E $ 351.563 11 $ 351.563 11 $ 1,054.689 34 $ 1,054.689 34 F $ 296.875 12 $ 296.875 12 $ 890.625 36 $ 791.667 32 G $ 19.250 20 $ — — $ 39.035 39 $ — — Total $ 63 $ 59 $ 166 $ 168 Common Stock MetLife, Inc. announced that its Board of Directors authorized common stock repurchases as follows: Authorization Remaining at Announcement Date Authorization Amount September 30, 2021 (In millions) August 4, 2021 $ 3,000 $ 2,708 December 11, 2020 $ 3,000 $ — July 31, 2019 $ 2,000 $ — Under these authorizations, MetLife, Inc. may purchase its common stock from the MetLife Policyholder Trust, in the open market (including pursuant to the terms of a pre-set trading plan meeting the requirements of Rule 10b5-1 under the Securities Exchange Act of 1934 (“Exchange Act”)), and in privately negotiated transactions. Common stock repurchases are subject to the discretion of MetLife, Inc.’s Board of Directors and will depend upon the Company’s capital position, liquidity, financial strength and credit ratings, general market conditions, the market price of MetLife, Inc.’s common stock compared to management’s assessment of the stock’s underlying value, applicable regulatory approvals, and other legal and accounting factors. For the nine months ended September 30, 2021 and 2020, MetLife, Inc. repurchased 52,857,261 shares and 12,806,464 shares of its common stock, respectively, through open market purchases for $3.1 billion and $580 million, respectively. Stock-Based Compensation Plans Performance Shares and Performance Units Final Performance Shares are paid in shares of MetLife, Inc. common stock. Final Performance Units are payable in cash equal to the closing price of MetLife, Inc. common stock on a date following the last day of the three-year performance period. The performance factor for the January 1, 2018 – December 31, 2020 performance period was 110.8%, which was determined within a possible range from 0% to 175%. This factor has been applied to the 1,266,651 Performance Shares and 170,214 Performance Units associated with that performance period that vested on December 31, 2020. As a result, in the first quarter of 2021, MetLife, Inc. issued 1,403,449 shares of its common stock (less withholding for taxes and other items, as applicable), excluding shares that payees choose to defer, and MetLife, Inc. or its affiliates paid the cash value of 188,597 Performance Units (less withholding for taxes and other items, as applicable). Dividend Restrictions Insurance Operations For the nine months ended September 30, 2021, American Life Insurance Company paid a dividend of $600 million to MetLife, Inc., for which regulatory approval was obtained as required. Additionally, for the nine months ended September 30, 2021, Metropolitan Property and Casualty Insurance Company paid a non-cash dividend of $35 million consisting of the stock of a subsidiary to MetLife, Inc., for which regulatory approval was obtained as required. See Note 3 on the disposition of MetLife P&C. See Note 16 of the Notes to Consolidated Financial Statements included in the 2020 Annual Report for additional information on dividend restrictions. Accumulated Other Comprehensive Income (Loss) Information regarding changes in the balances of each component of AOCI attributable to MetLife, Inc. was as follows: Three Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 17,535 $ 1,073 $ (4,463) $ (1,836) $ 12,309 Other comprehensive income (loss) before reclassifications (633) 442 (421) 5 (607) Deferred income tax benefit (expense) 208 (102) (4) (1) 101 AOCI before reclassifications, net of income tax 17,110 1,413 (4,888) (1,832) 11,803 Amounts reclassified from AOCI (91) 236 — 30 175 Deferred income tax benefit (expense) 22 (54) — (3) (35) Amounts reclassified from AOCI, net of income tax (69) 182 — 27 140 Sale of subsidiary, net of income tax (2) 22 — 146 — 168 Balance, end of period $ 17,063 $ 1,595 $ (4,742) $ (1,805) $ 12,111 Three Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 21,759 $ 4,154 $ (5,382) $ (1,968) $ 18,563 Other comprehensive income (loss) before reclassifications (2,212) (846) 507 (3) (2,554) Deferred income tax benefit (expense) 190 207 (4) 1 394 AOCI before reclassifications, net of income tax 19,737 3,515 (4,879) (1,970) 16,403 Amounts reclassified from AOCI (64) (457) — 21 (500) Deferred income tax benefit (expense) 41 97 — (5) 133 Amounts reclassified from AOCI, net of income tax (23) (360) — 16 (367) Balance, end of period $ 19,714 $ 3,155 $ (4,879) $ (1,954) $ 16,036 Nine Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 22,217 $ 1,513 $ (3,795) $ (1,863) $ 18,072 Other comprehensive income (loss) before reclassifications (6,512) (172) (1,168) 9 (7,843) Deferred income tax benefit (expense) 1,584 39 (40) (2) 1,581 AOCI before reclassifications, net of income tax 17,289 1,380 (5,003) (1,856) 11,810 Amounts reclassified from AOCI (76) 279 — 61 264 Deferred income tax benefit (expense) 18 (64) — (10) (56) Amounts reclassified from AOCI, net of income tax (58) 215 — 51 208 Sale of subsidiaries, net of income tax (3) (168) — 261 — 93 Balance, end of period $ 17,063 $ 1,595 $ (4,742) $ (1,805) $ 12,111 Nine Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 18,283 $ 1,698 $ (4,927) $ (2,002) $ 13,052 Other comprehensive income (loss) before reclassifications 2,674 2,202 76 (3) 4,949 Deferred income tax benefit (expense) (785) (461) (28) 1 (1,273) AOCI before reclassifications, net of income tax 20,172 3,439 (4,879) (2,004) 16,728 Amounts reclassified from AOCI (297) (359) — 64 (592) Deferred income tax benefit (expense) 87 75 — (14) 148 Amounts reclassified from AOCI, net of income tax (210) (284) — 50 (444) Sale of subsidiary, net of income tax (248) — — — (248) Balance, end of period $ 19,714 $ 3,155 $ (4,879) $ (1,954) $ 16,036 __________________ (1) See Note 6 for information on offsets to investments related to policyholder liabilities, DAC, VOBA and DSI. (2) See Note 3 for information on the sale of MetLife Seguros. (3) See Note 3 for information on the Company’s business dispositions . Information regarding amounts reclassified out of each component of AOCI was as follows: Three Months Nine Months 2021 2020 2021 2020 AOCI Components Amounts Reclassified from AOCI Consolidated Statements of (In millions) Net unrealized investment gains (losses): Net unrealized investment gains (losses) $ 97 $ 65 $ 42 $ 320 Net investment gains (losses) Net unrealized investment gains (losses) (4) (8) (13) (18) Net investment income Net unrealized investment gains (losses) (2) 7 47 (5) Net derivative gains (losses) Net unrealized investment gains (losses), before income tax 91 64 76 297 Income tax (expense) benefit (22) (41) (18) (87) Net unrealized investment gains (losses), net of income tax 69 23 58 210 Unrealized gains (losses) on derivatives - cash flow hedges: Interest rate derivatives 14 9 41 24 Net investment income Interest rate derivatives 6 10 54 58 Net investment gains (losses) Interest rate derivatives 1 1 2 2 Other expenses Foreign currency exchange rate derivatives 2 2 6 3 Net investment income Foreign currency exchange rate derivatives (259) 435 (383) 271 Net investment gains (losses) Foreign currency exchange rate derivatives — — 1 1 Other expenses Gains (losses) on cash flow hedges, before income tax (236) 457 (279) 359 Income tax (expense) benefit 54 (97) 64 (75) Gains (losses) on cash flow hedges, net of income tax (182) 360 (215) 284 Defined benefit plans adjustment: (1) Amortization of net actuarial gains (losses) (34) (26) (87) (78) Amortization of prior service (costs) credit 4 5 26 14 Amortization of defined benefit plan items, before income tax (30) (21) (61) (64) Income tax (expense) benefit 3 5 10 14 Amortization of defined benefit plan items, net of income tax (27) (16) (51) (50) Total reclassifications, net of income tax $ (140) $ 367 $ (208) $ 444 __________________ (1) These AOCI components are included in the computation of net periodic benefit costs. See Note 12. |
Other Revenues and Other Expens
Other Revenues and Other Expenses | 9 Months Ended |
Sep. 30, 2021 | |
Other Income and Expenses [Abstract] | |
Other Revenues and Other Expenses Disclosure | 11. Other Revenues and Other Expenses Other Revenues Information on other revenues, which primarily includes fees related to service contracts from customers, was as follows: Three Months Nine Months 2021 2020 2021 2020 (In millions) Vision fee for service arrangements (1) $ 135 $ — $ 410 $ — Prepaid legal plans 107 100 324 300 Fee-based investment management 95 82 266 232 Recordkeeping and administrative services (2) 54 50 160 145 Administrative services-only contracts 56 54 175 164 Other revenue from service contracts from customers 69 45 210 159 Total revenues from service contracts from customers 516 331 1,545 1,000 Other 147 124 413 350 Total other revenues $ 663 $ 455 $ 1,958 $ 1,350 __________________ (1) For information regarding the Company’s acquisition of Versant Health, Inc., see Note 3 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report. (2) Related to products and businesses no longer actively marketed by the Company. Other Expenses Information on other expenses was as follows: Three Months Nine Months 2021 2020 2021 2020 (In millions) Employee-related costs (1) $ 794 $ 866 $ 2,576 $ 2,577 Third party staffing costs 353 309 1,001 968 General and administrative expenses 212 172 455 553 Pension, postretirement and postemployment benefit costs 43 37 94 113 Premium taxes, other taxes, and licenses & fees 144 194 480 563 Commissions and other variable expenses 1,323 1,376 4,147 4,099 Capitalization of DAC (635) (764) (2,052) (2,209) Amortization of DAC and VOBA 816 1,066 1,943 2,414 Amortization of negative VOBA (6) (15) (25) (35) Interest expense on debt 240 229 696 683 Total other expenses $ 3,284 $ 3,470 $ 9,315 $ 9,726 __________________ (1) Includes ($15) million and ($89) million for the three months and nine months ended September 30, 2021, respectively, and ($44) million and ($84) million for the three months and nine months ended September 30, 2020, respectively, for the net change in cash surrender value of investments in certain life insurance policies, net of premiums paid. |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Sep. 30, 2021 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | 12. Employee Benefit Plans Pension and Other Postretirement Benefit Plans Certain subsidiaries of MetLife, Inc. sponsor a U.S. qualified and various U.S. and non-U.S. nonqualified defined benefit pension plans covering employees who meet specified eligibility requirements. These subsidiaries also provide certain postemployment benefits and certain postretirement medical and life insurance benefits for U.S. and non-U.S. retired employees. The components of net periodic benefit costs, reported in other expenses, were as follows: Three Months 2021 2020 Pension Other Pension Other (In millions) Service costs $ 58 $ 2 $ 62 $ 2 Interest costs 89 9 89 10 Expected return on plan assets (124) (14) (132) (15) Amortization of net actuarial (gains) losses 38 (6) 45 (19) Amortization of prior service costs (credit) (6) — (4) (1) Net periodic benefit costs (credit) $ 55 $ (9) $ 60 $ (23) Nine Months 2021 2020 Pension Other Pension Other (In millions) Service costs $ 177 $ 4 $ 185 $ 4 Interest costs 250 27 267 31 Curtailment (gains) losses (1) (17) — — — Expected return on plan assets (381) (42) (396) (46) Amortization of net actuarial (gains) losses 115 (33) 134 (56) Amortization of prior service costs (credit) (11) — (12) (2) Net periodic benefit costs (credit) $ 133 $ (44) $ 178 $ (69) __________________ (1) See Note 3 for information on the Company’s business dispositions. |
Income Tax
Income Tax | 9 Months Ended |
Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax | 13. Income TaxFor the three months and nine months ended September 30, 2021, the effective tax rate on income (loss) before provision for income tax was 22% and 21%, respectively. The Company’s effective tax rate for the three months ended September 30, 2021 differed from the U.S. statutory rate primarily due to tax charges from foreign earnings taxed at different rates than the U.S. statutory rate and the completed sale of MetLife Seguros, partially offset by tax benefits related to tax credits and non-taxable investment income. The Company’s effective tax rate for the nine months ended September 30, 2021 was equal to the statutory rate of 21%, primarily due to tax charges from foreign earnings taxed at different rates than the U.S. statutory rate, the completed sales of MetLife P&C and MetLife Seguros and the pending disposition of MetLife Poland and Greece, offset by tax benefits related to tax credits, non-taxable investment income and the corporate tax deduction for stock compensation. For the three months and nine months ended September 30, 2020, the effective tax rate on income (loss) before provision for income tax was 23% and 22%, respectively. The Company’s effective tax rate for the three months ended September 30, 2020 differed from the U.S. statutory rate primarily due to tax charges from the sale of MetLife Seguros de Retiro S.A. (“MetLife Seguros de Retiro”) and foreign earnings taxed at different rates than the U.S. statutory rate, partially offset by tax benefits related to non-taxable investment income and tax credits. The Company’s effective tax rate for the nine months ended September 30, 2020 differed from the U.S. statutory rate primarily due to tax charges from foreign earnings taxed at different rates than the U.S. statutory rate and the sale of MetLife Seguros de Retiro, partially offset by tax benefits related to non-taxable investment income, tax credits and the finalization of bankruptcy proceedings for a leveraged lease investment. |
Earnings Per Common Share
Earnings Per Common Share | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | 14. Earnings Per Common Share The following table presents the weighted average shares, basic earnings per common share and diluted earnings per common share: Three Months Nine Months 2021 2020 2021 2020 (In millions, except per share data) Weighted Average Shares: Weighted average common stock outstanding - basic 854.9 908.7 871.1 910.5 Incremental common shares from assumed exercise or issuance of stock-based awards 6.3 5.0 6.4 5.1 Weighted average common stock outstanding - diluted 861.2 913.7 877.5 915.6 Net Income (Loss): Net income (loss) $ 1,589 $ 709 $ 5,364 $ 5,260 Less: Net income (loss) attributable to noncontrolling interests 5 3 15 11 Less: Preferred stock dividends 63 59 166 168 Preferred stock redemption premium — 14 6 14 Net income (loss) available to MetLife, Inc.’s common shareholders $ 1,521 $ 633 $ 5,177 $ 5,067 Basic $ 1.78 $ 0.70 $ 5.94 $ 5.57 Diluted $ 1.77 $ 0.69 $ 5.90 $ 5.53 |
Contingencies, Commitments and
Contingencies, Commitments and Guarantees | 9 Months Ended |
Sep. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies, Commitments and Guarantees | 15. Contingencies, Commitments and Guarantees Contingencies Litigation The Company is a defendant in a large number of litigation matters. Putative or certified class action litigation and other litigation and claims and assessments against the Company, in addition to those discussed below and those otherwise provided for in the Company’s interim condensed consolidated financial statements, have arisen in the course of the Company’s business, including, but not limited to, in connection with its activities as an insurer, mortgage lending bank, employer, investor, investment advisor, broker-dealer, and taxpayer. The Company also receives and responds to subpoenas or other inquiries seeking a broad range of information from state regulators, including state insurance commissioners; state attorneys general or other state governmental authorities; federal regulators, including the U.S. Securities and Exchange Commission; federal governmental authorities, including congressional committees; and the Financial Industry Regulatory Authority, as well as from local and national regulators and government authorities in jurisdictions outside the United States where the Company conducts business. The issues involved in information requests and regulatory matters vary widely, but can include inquiries or investigations concerning the Company’s compliance with applicable insurance and other laws and regulations. The Company cooperates in these inquiries. In some of the matters, very large and/or indeterminate amounts, including punitive and treble damages, are sought. Modern pleading practice in the United States permits considerable variation in the assertion of monetary damages or other relief. Jurisdictions may permit claimants not to specify the monetary damages sought or may permit claimants to state only that the amount sought is sufficient to invoke the jurisdiction of the trial court. In addition, jurisdictions may permit plaintiffs to allege monetary damages in amounts well exceeding reasonably possible verdicts in the jurisdiction for similar matters. This variability in pleadings, together with the Company’s actual experience in litigating or resolving through settlement numerous claims over an extended period of time, demonstrates to management that the monetary relief which may be specified in a lawsuit or claim bears little relevance to its merits or disposition value. It is not possible to predict the ultimate outcome of all pending investigations and legal proceedings. The Company establishes liabilities for litigation and regulatory loss contingencies when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. Liabilities have been established for a number of the matters noted below. In certain circumstances where liabilities have been established there may be coverage under one or more corporate insurance policies, pursuant to which there may be an insurance recovery. Insurance recoveries are recognized as gains when any contingencies relating to the insurance claim have been resolved, which is the earlier of when the gains are realized or realizable. It is possible that some of the matters could require the Company to pay damages or make other expenditures or establish accruals in amounts that could not be reasonably estimated at September 30, 2021. While the potential future charges could be material in the particular quarterly or annual periods in which they are recorded, based on information currently known to management, management does not believe any such charges are likely to have a material effect on the Company’s financial position. Given the large and/or indeterminate amounts sought in certain of these matters and the inherent unpredictability of litigation, it is possible that an adverse outcome in certain matters could, from time to time, have a material effect on the Company’s consolidated net income or cash flows in particular quarterly or annual periods. Matters as to Which an Estimate Can Be Made For some of the matters disclosed below, the Company is able to estimate a reasonably possible range of loss. For matters where a loss is believed to be reasonably possible, but not probable, the Company has not made an accrual. As of September 30, 2021, the Company estimates the aggregate range of reasonably possible losses in excess of amounts accrued for these matters to be $0 to $150 million. Matters as to Which an Estimate Cannot Be Made For other matters disclosed below, the Company is not currently able to estimate the reasonably possible loss or range of loss. The Company is often unable to estimate the possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of the range of possible loss, such as quantification of a damage demand from plaintiffs, discovery from other parties and investigation of factual allegations, rulings by the court on motions or appeals, analysis by experts, and the progress of settlement negotiations. On a quarterly and annual basis, the Company reviews relevant information with respect to litigation contingencies and updates its accruals, disclosures and estimates of reasonably possible losses or ranges of loss based on such reviews. Asbestos-Related Claims MLIC is and has been a defendant in a large number of asbestos-related suits filed primarily in state courts. These suits principally allege that the plaintiff or plaintiffs suffered personal injury resulting from exposure to asbestos and seek both actual and punitive damages. MLIC has never engaged in the business of manufacturing, producing, distributing or selling asbestos or asbestos-containing products nor has MLIC issued liability or workers’ compensation insurance to companies in the business of manufacturing, producing, distributing or selling asbestos or asbestos-containing products. The lawsuits principally have focused on allegations with respect to certain research, publication and other activities of one or more of MLIC’s employees during the period from the 1920s through approximately the 1950s and allege that MLIC learned or should have learned of certain health risks posed by asbestos and, among other things, improperly publicized or failed to disclose those health risks. MLIC believes that it should not have legal liability in these cases. The outcome of most asbestos litigation matters, however, is uncertain and can be impacted by numerous variables, including differences in legal rulings in various jurisdictions, the nature of the alleged injury and factors unrelated to the ultimate legal merit of the claims asserted against MLIC. MLIC employs a number of resolution strategies to manage its asbestos loss exposure, including seeking resolution of pending litigation by judicial rulings and settling individual or groups of claims or lawsuits under appropriate circumstances. Claims asserted against MLIC have included negligence, intentional tort and conspiracy concerning the health risks associated with asbestos. MLIC’s defenses (beyond denial of certain factual allegations) include that: (i) MLIC owed no duty to the plaintiffs— it had no special relationship with the plaintiffs and did not manufacture, produce, distribute or sell the asbestos products that allegedly injured plaintiffs, (ii) plaintiffs did not rely on any actions of MLIC, (iii) MLIC’s conduct was not the cause of the plaintiffs’ injuries, (iv) plaintiffs’ exposure occurred after the dangers of asbestos were known, and (v) the applicable time with respect to filing suit has expired. During the course of the litigation, certain trial courts have granted motions dismissing claims against MLIC, while other trial courts have denied MLIC’s motions. There can be no assurance that MLIC will receive favorable decisions on motions in the future. While most cases brought to date have settled, MLIC intends to continue to defend aggressively against claims based on asbestos exposure, including defending claims at trials. As reported in the 2020 Annual Report, MLIC received approximately 2,496 asbestos-related claims in 2020. For the nine months ended September 30, 2021 and 2020, MLIC received approximately 2,156 and 1,768 new asbestos-related claims, respectively. See Note 21 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report for historical information concerning asbestos claims and MLIC’s update in its recorded liability at December 31, 2020. The number of asbestos cases that may be brought, the aggregate amount of any liability that MLIC may incur, and the total amount paid in settlements in any given year are uncertain and may vary significantly from year to year. The ability of MLIC to estimate its ultimate asbestos exposure is subject to considerable uncertainty, and the conditions impacting its liability can be dynamic and subject to change. The availability of reliable data is limited and it is difficult to predict the numerous variables that can affect liability estimates, including the number of future claims, the cost to resolve claims, the disease mix and severity of disease in pending and future claims, the impact of the number of new claims filed in a particular jurisdiction and variations in the law in the jurisdictions in which claims are filed, the possible impact of tort reform efforts, the willingness of courts to allow plaintiffs to pursue claims against MLIC when exposure to asbestos took place after the dangers of asbestos exposure were well known, and the impact of any possible future adverse verdicts and their amounts. The ability to make estimates regarding ultimate asbestos exposure declines significantly as the estimates relate to years further in the future. In the Company’s judgment, there is a future point after which losses cease to be probable and reasonably estimable. It is reasonably possible that the Company’s total exposure to asbestos claims may be materially greater than the asbestos liability currently accrued and that future charges to income may be necessary. While the potential future charges could be material in the particular quarterly or annual periods in which they are recorded, based on information currently known by management, management does not believe any such charges are likely to have a material effect on the Company’s financial position. The Company believes adequate provision has been made in its interim condensed consolidated financial statements for all probable and reasonably estimable losses for asbestos-related claims. MLIC’s recorded asbestos liability is based on its estimation of the following elements, as informed by the facts presently known to it, its understanding of current law and its past experiences: (i) the probable and reasonably estimable liability for asbestos claims already asserted against MLIC, including claims settled but not yet paid, (ii) the probable and reasonably estimable liability for asbestos claims not yet asserted against MLIC, but which MLIC believes are reasonably probable of assertion, and (iii) the legal defense costs associated with the foregoing claims. Significant assumptions underlying MLIC’s analysis of the adequacy of its recorded liability with respect to asbestos litigation include: (i) the number of future claims, (ii) the cost to resolve claims, and (iii) the cost to defend claims. MLIC reevaluates on a quarterly and annual basis its exposure from asbestos litigation, including studying its claims experience, reviewing external literature regarding asbestos claims experience in the United States, assessing relevant trends impacting asbestos liability and considering numerous variables that can affect its asbestos liability exposure on an overall or per claim basis. These variables include bankruptcies of other companies involved in asbestos litigation, legislative and judicial developments, the number of pending claims involving serious disease, the number of new claims filed against it and other defendants and the jurisdictions in which claims are pending. Based upon its regular reevaluation of its exposure from asbestos litigation, MLIC has updated its liability analysis for asbestos-related claims through September 30, 2021. Julian & McKinney v. Metropolitan Life Insurance Company (S.D.N.Y., filed February 9, 2017) Plaintiffs filed this putative class and collective action on behalf of themselves and all current and former long-term disability (“LTD”) claims specialists between February 2011 and the present for alleged wage and hour violations under the Fair Labor Standards Act (“FLSA”), the New York Labor Law, and the Connecticut Minimum Wage Act. The suit alleges that MLIC improperly reclassified the plaintiffs and similarly situated LTD claims specialists from non-exempt to exempt from overtime pay in November 2013. As a result, they and members of the putative class were no longer eligible for overtime pay even though they allege they continued to work more than 40 hours per week. Plaintiffs seek unspecified compensatory and punitive damages, as well as other relief. On March 22, 2018, the court conditionally certified the case as a collective action, requiring that notice be mailed to LTD claims specialists who worked for MLIC from February 8, 2014 to the present. On August 31, 2021, the court granted MLIC’s motion to de-certify the case as a collective action, denied the plaintiffs’ motion to certify classes of LTD claims specialists under New York, Illinois, and Connecticut law, and granted MLIC’s motion for summary judgment as to the lead plaintiff’s FLSA claims. On September 14, 2021, the plaintiffs petitioned the appellate court for permission to appeal the denial of their motion to certify the classes, and on October 1, 2021, the plaintiffs filed a motion seeking interlocutory review of the decertification ruling. MLIC intends to defend this action vigorously. Total Asset Recovery Services, LLC. v. MetLife, Inc., et al. (Supreme Court of the State of New York, County of New York, filed December 27, 2017) Total Asset Recovery Services (the “Relator”) brought an action under the qui tam provision of the New York False Claims Act (the “Act”) on behalf of itself and the Sta te of New York. The Relator originally filed this action under seal in 2010, and the complaint was unsealed on December 19, 2017. The Relator alleges that MetLife, Inc., MLIC, and several other insurance companies violated the Act by filing false unclaimed property reports with the State of New York from 1986 to 2017, to avoid having to escheat the proceeds of more than 25,000 life insurance policies, including policies for which the defendants escheated funds as part of their demutualizations in the late 1990s. The Relator seeks treble damages and other relief. On April 3, 2019, the court granted MetLife, Inc.’s and MLIC’s motion to dismiss and dismissed the complaint in its entirety. The Relator filed an appeal with the Appellate Division of the New York State Supreme Court, First Department. On December 10, 2020, the Appellate Division reversed the court’s order granting MetLife, Inc. and MLIC’s motion to dismiss, remanded the case to the trial court, and permitted the Relator’s counsel to file an amended complaint. On March 5, 2021, the Relator filed an amended complaint. The Company intends to defend the action vigorously. Matters Related to Group Annuity Benefits and Assumed Variable Annuity Guarantee Reserves In 2018, the Company announced that it identified two material weaknesses in its internal control over financial reporting related to the practices and procedures for estimating reserves for certain group annuity benefits and the calculation of reserves associated with certain variable annuity guarantees assumed from the former operating joint venture in Japan. Several regulators have made inquiries into these issues and it is possible that other jurisdictions may pursue similar investigations or inquiries. The Company is exposed to lawsuits, and could be exposed to additional legal actions relating to these issues. These may result in payments, including damages, fines, penalties, interest and other amounts assessed or awarded by courts or regulatory authorities under applicable escheat, tax, securities, Employee Retirement Income Security Act of 1974, or other laws or regulations. The Company could incur significant costs in connection with these actions. Parchmann v. MetLife, Inc., et. al. (E.D.N.Y., filed February 5, 2018) Plaintiff filed this putative class action seeking to represent a class of persons who purchased MetLife, Inc. common stock from February 27, 2013 through January 29, 2018. Plaintiff alleges that MetLife, Inc., its former Chief Executive Officer and Chairman of the Board, and its former Chief Financial Officer violated Section 10(b) of the Exchange Act and Rule 10b-5 promulgated thereunder by issuing materially false and/or misleading financial statements. Plaintiff alleges that MetLife’s practices and procedures for estimating reserves for certain group annuity benefits were inadequate, and that MetLife had inadequate internal control over financial reporting. Plaintiff seeks unspecified compensatory damages and other relief. On January 11, 2021, the court granted MetLife’s motion to dismiss and dismissed the complaint in its entirety. Plaintiff filed an appeal with the United States Court of Appeals for the Second Circuit. Defendants intend to defend this action vigorously. Derivative Demands The MetLife, Inc. Board of Directors received six letters, dated March 28, 2018, May 11, 2018, July 16, 2018, December 20, 2018, February 5, 2019, and April 7, 2020, written on behalf of individual stockholders, demanding that MetLife, Inc. take action against current and former directors and officers for alleged breaches of fiduciary duty and/or investigate, remediate, and recover damages allegedly suffered by the Company as a result of (i) the Company’s allegedly inadequate practices and procedures for estimating reserves for certain group annuity benefits, (ii) the Company’s allegedly inadequate internal controls over financial reporting and corporate governance practices and procedures, and (iii) the alleged dissemination of false or misleading information related to these issues. The MetLife, Inc. Board of Directors appointed a special committee to investigate the allegations set forth in these six letters. Commitments Mortgage Loan Commitments The Company commits to lend funds under mortgage loan commitments. The amounts of these mortgage loan commitments were $4.3 billion and $3.3 billion at September 30, 2021 and December 31, 2020, respectively. Commitments to Fund Partnership Investments, Bank Credit Facilities, Bridge Loans and Private Corporate Bond Investments The Company commits to fund partnership investments and to lend funds under bank credit facilities, bridge loans and private corporate bond investments. The amounts of these unfunded commitments were $9.1 billion and $8.5 billion at September 30, 2021 and December 31, 2020, respectively. Guarantees In the normal course of its business, the Company has provided certain indemnities, guarantees and commitments to third parties such that it may be required to make payments now or in the future. In the context of acquisition, disposition, investment and other transactions, the Company has provided indemnities and guarantees, including those related to tax, environmental and other specific liabilities and other indemnities and guarantees that are triggered by, among other things, breaches of representations, warranties or covenants provided by the Company. In addition, in the normal course of business, the Company provides indemnifications to counterparties in contracts with triggers similar to the foregoing, as well as for certain other liabilities, such as third-party lawsuits. These obligations are often subject to time limitations that vary in duration, including contractual limitations and those that arise by operation of law, such as applicable statutes of limitation. In some cases, the maximum potential obligation under the indemnities and guarantees is subject to a contractual limitation ranging from less than $1 million to $329 million, with a cumulative maximum of $634 million, while in other cases such limitations are not specified or applicable. Since certain of these obligations are not subject to limitations, the Company does not believe that it is possible to determine the maximum potential amount that could become due under these guarantees in the future. Management believes that it is unlikely the Company will have to make any material payments under these indemnities, guarantees, or commitments. In addition, the Company indemnifies its directors and officers as provided in its charters and by-laws. Also, the Company indemnifies its agents for liabilities incurred as a result of their representation of the Company’s interests. Since these indemnities are generally not subject to limitation with respect to duration or amount, the Company does not believe that it is possible to determine the maximum potential amount that could become due under these indemnities in the future. The Company also has minimum fund yield requirements on certain pension funds. Since these guarantees are not subject to limitation with respect to duration or amount, the Company does not believe that it is possible to determine the maximum potential amount that could become due under these guarantees in the future. The Company’s recorded liabilities were $20 million at both September 30, 2021 and December 31, 2020 for indemnities, guarantees and commitments. |
Business, Basis of Presentati_2
Business, Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Use of Estimates | The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to adopt accounting policies and make estimates and assumptions that affect amounts reported on the interim condensed consolidated financial statements. In applying these policies and estimates, management makes subjective and complex judgments that frequently require assumptions about matters that are inherently uncertain, including uncertainties associated with the novel coronavirus COVID-19 pandemic (the “COVID-19 Pandemic”). Many of these policies, estimates and related judgments are common in the insurance and financial services industries; others are specific to the Company’s business and operations. Actual results could differ from these estimates. |
Consolidation of Subsidiaries | The accompanying interim condensed consolidated financial statements are unaudited and reflect all adjustments (including normal recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented in conformity with GAAP. Interim results are not necessarily indicative of full year performance. The December 31, 2020 consolidated balance sheet data was derived from audited consolidated financial statements included in MetLife, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Annual Report”), which include all disclosures required by GAAP. Therefore, these interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements of the Company included in the 2020 Annual Report. Consolidation The accompanying interim condensed consolidated financial statements include the accounts of MetLife, Inc. and its subsidiaries, as well as partnerships and joint ventures in which the Company has control, and variable interest entities (“VIEs”) for which the Company is the primary beneficiary. Intercompany accounts and transactions have been eliminated. The Company uses the equity method of accounting or the fair value option (“FVO”) for real estate joint ventures and other limited partnership interests (“investee”) when it has more than a minor ownership interest or more than a minor influence over the investee’s operations. The Company generally recognizes its share of the investee’s earnings in net investment income on a three-month lag in instances where the investee’s financial information is not sufficiently timely or when the investee’s reporting period differs from the Company’s reporting period. |
Held-for-Sale | Held-for-Sale The Company classifies a business as held-for-sale when management has approved or received approval to sell the business, the sale is probable to occur during the next 12 months at a price that is reasonable in relation to its current estimated fair value and certain other specified criteria are met. The business classified as held-for-sale is recorded at the lower of the carrying value and estimated fair value, less cost to sell. If the carrying value of the business exceeds its estimated fair value, less cost to sell, a loss is recognized and reported in net investment gains (losses). Assets and liabilities related to the business classified as held-for-sale are separately reported in the Company's consolidated balance sheets in the period in which the business is classified as held-for-sale. See Note 3. If a component of the Company has either been disposed of or is classified as held-for-sale and represents a strategic shift that has or will have a major effect on the Company’s operations and financial results, the results of the component are reported in discontinued operations. |
Reclassifications | Reclassifications Certain amounts in the prior year periods’ interim condensed consolidated financial statements and related footnotes thereto have been reclassified to conform to the 2021 presentation as discussed throughout the Notes to the Interim Condensed Consolidated Financial Statements. |
New Accounting Pronouncements | Recent Accounting Pronouncements Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates (“ASUs”) to the FASB Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. The following tables provide a description of new ASUs issued by the FASB and the impact of the adoption on the Company’s interim condensed consolidated financial statements. Adoption of New Accounting Pronouncements The table below describes the impacts of the ASUs recently adopted by the Company. Standard Description Effective Date and Impact on Financial Statements ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting ; as clarified and amended by ASU 2021-01, Reference Rate Reform (Topic 848): Scope The new guidance provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The expedients and exceptions provided by the amendments do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, with certain exceptions. ASU 2021-01 amends the scope of the recent reference rate reform guidance. New optional expedients allow derivative instruments impacted by changes in the interest rate used for margining, discounting, or contract price alignment to qualify for certain optional relief. Effective for contract modifications made between March 12, 2020 and December 31, 2022. The new guidance reduces the operational and financial impacts of contract modifications that replace a reference rate, such as London Interbank Offered Rate (“LIBOR”), affected by reference rate reform. The adoption of the new guidance provides relief from current GAAP and is not expected to have a material impact on the Company’s interim condensed consolidated financial statements. The Company will continue to evaluate the impacts of reference rate reform on contract modifications and hedging relationships through December 31, 2022. ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes The new guidance simplifies the accounting for income taxes by removing certain exceptions to the tax accounting guidance and providing clarification to other specific tax accounting guidance to eliminate variations in practice. Specifically, it removes the exceptions related to the a) incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, b) recognition of a deferred tax liability when foreign investment ownership changes from equity method investment to consolidated subsidiary and vice versa and c) use of interim period tax accounting for year-to-date losses that exceed anticipated losses. The guidance also simplifies the application of the income tax guidance for franchise taxes that are partially based on income and the accounting for tax law changes during interim periods, clarifies the accounting for transactions that result in a step-up in tax basis of goodwill, provides for the option to elect allocation of consolidated income taxes to entities disregarded by taxing authorities for their stand-alone reporting, and requires that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date. January 1, 2021. The Company adopted, using a prospective approach. The adoption of the new guidance did not have a material impact on the Company’s interim condensed consolidated financial statements. |
Investments | Maturities of Fixed Maturity Securities AFSActual maturities may differ from contractual maturities due to the exercise of call or prepayment options. Fixed maturity securities AFS not due at a single maturity date have been presented in the year of final contractual maturity. Structured Products are shown separately, as they are not due at a single maturity. Evaluation of Fixed Maturity Securities AFS for Credit Loss Evaluation and Measurement Methodologies Management considers a wide range of factors about the security issuer and uses its best judgment in evaluating the cause of the decline in the estimated fair value of the security and in assessing the prospects for near-term recovery. Inherent in management’s evaluation of the security are assumptions and estimates about the operations of the issuer and its future earnings potential. Considerations used in the credit loss evaluation process include, but are not limited to: (i) the extent to which the estimated fair value has been below amortized cost, (ii) adverse conditions specifically related to a security, an industry sector or sub-sector, or an economically depressed geographic area, adverse change in the financial condition of the issuer of the security, changes in technology, discontinuance of a segment of the business that may affect future earnings, and changes in the quality of credit enhancement, (iii) payment structure of the security and likelihood of the issuer being able to make payments, (iv) failure of the issuer to make scheduled interest and principal payments, (v) whether the issuer, or series of issuers or an industry has suffered a catastrophic loss or has exhausted natural resources, (vi) whether the Company has the intent to sell or will more likely than not be required to sell a particular security before the decline in estimated fair value below amortized cost recovers, (vii) with respect to Structured Products, changes in forecasted cash flows after considering the changes in the financial condition of the underlying loan obligors and quality of underlying collateral, expected prepayment speeds, current and forecasted loss severity, consideration of the payment terms of the underlying assets backing a particular security, and the payment priority within the tranche structure of the security, (viii) changes in the rating of the security by a rating agency, and (ix) other subjective factors, including concentrations and information obtained from regulators. The methodology and significant inputs used to determine the amount of credit loss are as follows: • The Company calculates the recovery value by performing a discounted cash flow analysis based on the present value of future cash flows. The discount rate is generally the effective interest rate of the security at the time of purchase for fixed-rate securities and the spot rate at the date of evaluation of credit loss for floating-rate securities. • When determining collectability and the period over which value is expected to recover, the Company applies considerations utilized in its overall credit loss evaluation process which incorporates information regarding the specific security, fundamentals of the industry and geographic area in which the security issuer operates, and overall macroeconomic conditions. Projected future cash flows are estimated using assumptions derived from management’s single best estimate, the most likely outcome in a range of possible outcomes, after giving consideration to a variety of variables that include, but are not limited to: payment terms of the security; the likelihood that the issuer can service the interest and principal payments; the quality and amount of any credit enhancements; the security’s position within the capital structure of the issuer; possible corporate restructurings or asset sales by the issuer; any private and public sector programs to restructure foreign government securities and municipals; and changes to the rating of the security or the issuer by rating agencies. • Additional considerations are made when assessing the unique features that apply to certain Structured Products including, but not limited to: the quality of underlying collateral, historical performance of the underlying loan obligors, historical rent and vacancy levels, changes in the financial condition of the underlying loan obligors, expected prepayment speeds, current and forecasted loss severity, consideration of the payment terms of the underlying loans or assets backing a particular security, changes in the quality of credit enhancement and the payment priority within the tranche structure of the security. With respect to securities that have attributes of debt and equity (“perpetual hybrid securities”), consideration is given in the credit loss analysis as to whether there has been any deterioration in the credit of the issuer and the likelihood of recovery in value of the securities that are in a severe unrealized loss position. Consideration is also given as to whether any perpetual hybrid securities with an unrealized loss, regardless of credit rating, have deferred any dividend payments. In periods subsequent to the recognition of an initial ACL on a security, the Company reassesses credit loss quarterly. Subsequent increases or decreases in the expected cash flow from the security result in corresponding decreases or increases in the ACL which are recorded within net investment gains (losses); however, the previously recorded ACL is not reduced to an amount below zero. Full or partial write-offs are deducted from the ACL in the period the security, or a portion thereof, is considered uncollectible. Recoveries of amounts previously written off are recorded to the ACL in the period received. When the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost, any ACL is written off and the amortized cost is written down to estimated fair value through a charge within net investment gains (losses), which becomes the new amortized cost of the security. Allowance for Credit Loss Methodology The Company records an allowance for expected lifetime credit loss in an amount that represents the portion of the amortized cost basis of mortgage loans that the Company does not expect to collect, resulting in mortgage loans being presented at the net amount expected to be collected. In determining the Company’s ACL, management: (i) pools mortgage loans that share similar risk characteristics, (ii) considers expected lifetime credit loss over the contractual term of its mortgage loans adjusted for expected prepayments and any extensions, and (iii) considers past events and current and forecasted economic conditions. Each of the Company’s commercial, agricultural and residential mortgage loan portfolio segments are evaluated separately. The ACL is calculated for each mortgage loan portfolio segment based on inputs unique to each loan portfolio segment. On a quarterly basis, mortgage loans within a portfolio segment that share similar risk characteristics, such as internal risk ratings or consumer credit scores, are pooled for calculation of ACL. On an ongoing basis, mortgage loans with dissimilar risk characteristics (i.e., loans with significant declines in credit quality), collateral dependent mortgage loans (i.e., when the borrower is experiencing financial difficulty, including when foreclosure is reasonably possible or probable) and reasonably expected troubled debt restructurings (“TDRs”) (i.e., the Company grants concessions to borrower that is experiencing financial difficulties) are evaluated individually for credit loss. The ACL for loans evaluated individually are established using the same methodologies for all three portfolio segments. For example, the ACL for a collateral dependent loan is established as the excess of amortized cost over the estimated fair value of the loan’s underlying collateral, less selling cost when foreclosure is probable. Accordingly, the change in the estimated fair value of collateral dependent loans, which are evaluated individually for credit loss, is recorded as a change in the ACL which is recorded on a quarterly basis as a charge or credit to earnings in net investment gains (losses). Commercial and Agricultural Mortgage Loan Portfolio Segments Commercial and agricultural mortgage loan ACL are calculated in a similar manner. Within each loan portfolio segment, commercial and agricultural, loans are pooled by internal risk rating. Estimated lifetime loss rates, which vary by internal risk rating, are applied to the amortized cost of each loan, excluding accrued investment income, on a quarterly basis to develop the ACL. Internal risk ratings are based on an assessment of the loan’s credit quality, which can change over time. The estimated lifetime loss rates are based on several loan portfolio segment-specific factors, including (i) the Company’s experience with defaults and loss severity, (ii) expected default and loss severity over the forecast period, (iii) current and forecasted economic conditions including growth, inflation, interest rates and unemployment levels, (iv) loan specific characteristics including loan-to-value (“LTV”) ratios, and (v) internal risk ratings. These evaluations are revised as conditions change and new information becomes available. The Company uses its several decades of historical default and loss severity experience which capture multiple economic cycles. The Company uses a forecast of economic assumptions for a two-year period for most of its commercial and agricultural mortgage loans, while a one-year period is used for loans originated in certain markets. After the applicable forecast period, the Company reverts to its historical loss experience using a straight-line basis over two years. For evaluations of commercial mortgage loans, in addition to historical experience, management considers factors that include the impact of a rapid change to the economy, which may not be reflected in the loan portfolio, recent loss and recovery trend experience as compared to historical loss and recovery experience, and loan specific characteristics including debt service coverage ratios (“DSCR”). In estimating expected lifetime credit loss over the term of its commercial mortgage loans, the Company adjusts for expected prepayment and extension experience during the forecast period using historical prepayment and extension experience considering the expected position in the economic cycle and the loan profile (i.e., floating rate, shorter-term fixed rate and longer-term fixed rate) and after the forecast period using long-term historical prepayment experience. For evaluations of agricultural mortgage loans, in addition to historical experience, management considers factors that include increased stress in certain sectors, which may be evidenced by higher delinquency rates, or a change in the number of higher risk loans. In estimating expected lifetime credit loss over the term of its agricultural mortgage loans, the Company’s experience is much less sensitive to the position in the economic cycle and by loan profile; accordingly, historical prepayment experience is used, while extension terms are not prevalent with the Company’s agricultural mortgage loans. Commercial mortgage loans are reviewed on an ongoing basis, which review includes, but is not limited to, an analysis of the property financial statements and rent roll, lease rollover analysis, property inspections, market analysis, estimated valuations of the underlying collateral, LTV ratios, DSCR and tenant creditworthiness. The monitoring process focuses on higher risk loans, which include those that are classified as restructured, delinquent or in foreclosure, as well as loans with higher LTV ratios and lower DSCR. Agricultural mortgage loans are reviewed on an ongoing basis, which review includes, but is not limited to, property inspections, market analysis, estimated valuations of the underlying collateral, LTV ratios and borrower creditworthiness, as well as reviews on a geographic and property-type basis. The monitoring process for agricultural mortgage loans also focuses on higher risk loans. For commercial mortgage loans, the primary credit quality indicator is the DSCR, which compares a property’s net operating income to amounts needed to service the principal and interest due under the loan. Generally, the lower the DSCR, the higher the risk of experiencing a credit loss. The Company also reviews the LTV ratio of its commercial mortgage loan portfolio. LTV ratios compare the unpaid principal balance of the loan to the estimated fair value of the underlying collateral. Generally, the higher the LTV ratio, the higher the risk of experiencing a credit loss. The DSCR and the values utilized in calculating the ratio are updated routinely. In addition, the LTV ratio is routinely updated for all but the lowest risk loans as part of the Company’s ongoing review of its commercial mortgage loan portfolio. For agricultural mortgage loans, the Company’s primary credit quality indicator is the LTV ratio. The values utilized in calculating this ratio are developed in connection with the ongoing review of the agricultural mortgage loan portfolio and are routinely updated. Commitments to lend: After loans are approved, the Company makes commitments to lend and, typically, borrowers draw down on some or all of the commitments. The timing of mortgage loan funding is based on the commitment expiration dates. A liability for credit loss for unfunded commercial and agricultural mortgage loan commitments is recorded within net investment gains (losses). The liability is based on estimated lifetime loss rates as described above and the amount of the outstanding commitments, which for lines of credit, considers estimated utilization rates. When the commitment is funded or expires, the liability is adjusted accordingly. Residential Mortgage Loan Portfolio Segment The Company’s residential mortgage loan portfolio is comprised primarily of purchased closed end, amortizing residential mortgage loans, including both performing loans purchased within 12 months of origination and reperforming loans purchased after they have been performing for at least 12 months post-modification. Residential mortgage loans are pooled by loan type (i.e., new origination and reperforming) and pooled by similar risk profiles (including consumer credit score and LTV ratios). Estimated lifetime loss rates, which vary by loan type and risk profile, are applied to the amortized cost of each loan excluding accrued investment income on a quarterly basis to develop the ACL. The estimated lifetime loss rates are based on several factors, including (i) industry historical experience and expected results over the forecast period for defaults, (ii) loss severity, (iii) prepayment rates, (iv) current and forecasted economic conditions including growth, inflation, interest rates and unemployment levels, and (v) loan pool specific characteristics including consumer credit scores, LTV ratios, payment history and home prices. These evaluations are revised as conditions change and new information becomes available. The Company uses industry historical experience which captures multiple economic cycles as the Company has purchased most of its residential mortgage loans in the last five years. The Company uses a forecast of economic assumptions for a two-year period for most of its residential mortgage loans. After the applicable forecast period, the Company immediately reverts to industry historical loss experience. For residential mortgage loans, the Company’s primary credit quality indicator is whether the loan is performing or nonperforming. The Company generally defines nonperforming residential mortgage loans as those that are 60 or more days past due and/or in nonaccrual status which is assessed monthly. Generally, nonperforming residential mortgage loans have a higher risk of experiencing a credit loss. Mortgage Loan Concessions In response to the adverse economic impact of the COVID-19 Pandemic, in 2021 and 2020, the Company granted concessions to certain of its commercial, agricultural and residential mortgage loan borrowers, including payment deferrals and other loan modifications. The Company has elected the option under the Coronavirus Aid, Relief, and Economic Security Act, the Consolidated Appropriations Act, 2021 and the Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus (Revised) issued by bank regulatory agencies, not to account for or report qualifying concessions as TDRs and not to classify such loans as either past due or nonaccrual during the payment deferral period. Additionally, in accordance with the FASB’s published response to a COVID-19 Pandemic technical inquiry, the Company continues to accrue interest income on such loans that have deferred payment. The Company records an ACL on this accrued interest income. Commercial Variable Interest Entities The Company has invested in legal entities that are VIEs. In certain instances, the Company holds both the power to direct the most significant activities of the entity, as well as an economic interest in the entity and, as such, is deemed to be the primary beneficiary or consolidator of the entity. The determination of the VIE’s primary beneficiary requires an evaluation of the contractual and implied rights and obligations associated with each party’s relationship with or involvement in the entity, an estimate of the entity’s expected losses and expected residual returns and the allocation of such estimates to each party involved in the entity. |
Derivatives | The Company is exposed to various risks relating to its ongoing business operations, including interest rate, foreign currency exchange rate, credit and equity market. The Company uses a variety of strategies to manage these risks, including the use of derivatives.The Company designates and accounts for the following as fair value hedges when they have met the requirements of fair value hedging: (i) interest rate swaps to convert fixed rate assets and liabilities to floating rate assets and liabilities, (ii) foreign currency swaps to hedge the foreign currency fair value exposure of foreign currency denominated assets and liabilities, and (iii) foreign currency forwards to hedge the foreign currency fair value exposure of foreign currency denominated investments.The Company designates and accounts for the following as cash flow hedges when they have met the requirements of cash flow hedging: (i) interest rate swaps to convert floating rate assets and liabilities to fixed rate assets and liabilities, (ii) foreign currency swaps to hedge the foreign currency cash flow exposure of foreign currency denominated assets and liabilities, (iii) interest rate forwards and credit forwards to lock in the price to be paid for forward purchases of investments, (iv) interest rate swaps and interest rate forwards to hedge the forecasted purchases of fixed-rate investments, and (v) interest rate swaps and interest rate forwards to hedge forecasted fixed-rate borrowings. The Company may be exposed to credit-related losses in the event of nonperformance by its counterparties to derivatives. Generally, the current credit exposure of the Company’s derivatives is limited to the net positive estimated fair value of derivatives at the reporting date after taking into consideration the existence of master netting or similar agreements and any collateral received pursuant to such agreements. Derivatives may be exchange-traded or contracted in the over-the-counter (“OTC”) market. Certain of the Company’s OTC derivatives are cleared and settled through central clearinghouses (“OTC-cleared”), while others are bilateral contracts between two counterparties (“OTC-bilateral”). The Company manages its credit risk related to derivatives by entering into transactions with creditworthy counterparties and establishing and monitoring exposure limits. The Company enters into contracts with counterparties in jurisdictions in which it understands that close-out netting should be enforceable. The Company’s OTC-bilateral derivative transactions are governed by the International Swaps and Derivatives Association, Inc. (“ISDA”) Master Agreements which provide for legally enforceable set-off and close-out netting of exposures to specific counterparties in the event of early termination of a transaction, which includes, but is not limited to, events of default and bankruptcy. In the event of an early termination, close-out netting permits the Company (subject to financial regulations such as the Orderly Liquidation Authority under Title II of Dodd-Frank) to set off receivables from the counterparty against payables to the same counterparty arising out of all included transactions and to apply collateral to the obligations, without application of the automatic stay, upon the counterparty’s bankruptcy. All of the Company’s ISDA Master Agreements also include Credit Support Annex provisions which require both the pledging and accepting of collateral in connection with its OTC-bilateral derivatives as required by applicable law. Additionally, effective September 1, 2021, the Company is required to pledge initial margin for certain new OTC-bilateral derivative transactions to third party custodians. The Company’s OTC-cleared derivatives are effected through central clearing counterparties and its exchange-traded derivatives are effected through regulated exchanges. Such positions are marked to market and margined on a daily basis (both initial margin and variation margin), and the Company has minimal exposure to credit-related losses in the event of nonperformance by brokers and central clearinghouses to such derivatives. Se e Note 8 for a description of the impact of credit risk on the valuation of derivatives. |
Employee Benefit Plans | Certain subsidiaries of MetLife, Inc. sponsor a U.S. qualified and various U.S. and non-U.S. nonqualified defined benefit pension plans covering employees who meet specified eligibility requirements. These subsidiaries also provide certain postemployment benefits and certain postretirement medical and life insurance benefits for U.S. and non-U.S. retired employees. |
Closed Block | On April 7, 2000 (the “Demutualization Date”), Metropolitan Life Insurance Company (“MLIC”) converted from a mutual life insurance company to a stock life insurance company and became a wholly-owned subsidiary of MetLife, Inc. The conversion was pursuant to an order by the New York Superintendent of Insurance approving MLIC’s plan of reorganization, as amended (the “Plan of Reorganization”). On the Demutualization Date, MLIC established a closed block for the benefit of holders of certain individual life insurance policies of MLIC. Experience within the closed block, in particular mortality and investment yields, as well as realized and unrealized gains and losses, directly impact the policyholder dividend obligation. Amortization of the closed block DAC, which resides outside of the closed block, is based upon cumulative actual and expected earnings within the closed block. Accordingly, the Company’s net income continues to be sensitive to the actual performance of the closed block. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Segment Reporting Information, by Segment | Three Months Ended September 30, 2021 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total (In millions) Revenues Premiums $ 5,746 $ 1,594 $ 705 $ 532 $ 805 $ 16 $ 9,398 $ 57 $ 9,455 Universal life and investment-type product policy fees 279 477 274 128 279 — 1,437 84 1,521 Net investment income 2,098 1,354 306 46 1,771 93 5,668 (100) 5,568 Other revenues 383 17 9 10 57 108 584 79 663 Net investment gains (losses) — — — — — — — (84) (84) Net derivative gains (losses) — — — — — — — (218) (218) Total revenues 8,506 3,442 1,294 716 2,912 217 17,087 (182) 16,905 Expenses Policyholder benefits and claims and policyholder dividends 6,118 1,220 885 268 1,611 9 10,111 181 10,292 Interest credited to policyholder account balances 362 513 63 17 212 — 1,167 120 1,287 Capitalization of DAC (17) (373) (109) (110) (8) (3) (620) (15) (635) Amortization of DAC and VOBA 26 470 62 118 80 2 758 58 816 Amortization of negative VOBA — (5) — (1) — — (6) — (6) Interest expense on debt 1 — 2 — 1 236 240 — 240 Other expenses 886 811 363 308 255 137 2,760 109 2,869 Total expenses 7,376 2,636 1,266 600 2,151 381 14,410 453 14,863 Provision for income tax expense (benefit) 235 237 (1) 22 155 (96) 552 (99) 453 Adjusted earnings $ 895 $ 569 $ 29 $ 94 $ 606 $ (68) 2,125 Adjustments to: Total revenues (182) Total expenses (453) Provision for income tax (expense) benefit 99 Net income (loss) $ 1,589 $ 1,589 Three Months Ended September 30, 2020 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total (In millions) Revenues Premiums $ 6,333 $ 1,654 $ 529 $ 551 $ 876 $ (8) $ 9,935 $ — $ 9,935 Universal life and investment-type product policy fees 263 595 225 116 269 1 1,469 28 1,497 Net investment income 1,827 1,088 221 67 1,427 58 4,688 41 4,729 Other revenues 237 16 7 13 61 82 416 39 455 Net investment gains (losses) — — — — — — — (20) (20) Net derivative gains (losses) — — — — — — — (581) (581) Total revenues 8,660 3,353 982 747 2,633 133 16,508 (493) 16,015 Expenses Policyholder benefits and claims and policyholder dividends 6,108 1,291 575 304 1,697 (6) 9,969 237 10,206 Interest credited to policyholder account balances 381 470 52 29 217 — 1,149 267 1,416 Capitalization of DAC (119) (431) (84) (122) (5) (3) (764) — (764) Amortization of DAC and VOBA 123 506 62 125 177 2 995 71 1,066 Amortization of negative VOBA — (14) — (1) — — (15) — (15) Interest expense on debt 2 — 1 — 2 224 229 — 229 Other expenses 1,026 869 313 340 231 120 2,899 55 2,954 Total expenses 7,521 2,691 919 675 2,319 337 14,462 630 15,092 Provision for income tax expense (benefit) 239 197 24 20 61 (132) 409 (195) 214 Adjusted earnings $ 900 $ 465 $ 39 $ 52 $ 253 $ (72) 1,637 Adjustments to: Total revenues (493) Total expenses (630) Provision for income tax (expense) benefit 195 Net income (loss) $ 709 $ 709 Nine Months Ended September 30, 2021 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total (In millions) Revenues Premiums $ 16,919 $ 4,861 $ 1,936 $ 1,751 $ 2,471 $ 54 $ 27,992 $ 922 $ 28,914 Universal life and investment-type product policy fees 858 1,371 831 302 826 1 4,189 145 4,334 Net investment income 6,106 3,776 913 171 4,960 153 16,079 83 16,162 Other revenues 1,159 54 30 39 188 303 1,773 185 1,958 Net investment gains (losses) — — — — — — — 1,655 1,655 Net derivative gains (losses) — — — — — — — (2,032) (2,032) Total revenues 25,042 10,062 3,710 2,263 8,445 511 50,033 958 50,991 Expenses Policyholder benefits and claims and policyholder dividends 17,999 3,750 2,370 944 4,683 36 29,782 921 30,703 Interest credited to policyholder account balances 1,080 1,498 182 66 632 — 3,458 695 4,153 Capitalization of DAC (48) (1,203) (304) (359) (25) (9) (1,948) (104) (2,052) Amortization of DAC and VOBA 50 1,080 205 274 190 7 1,806 137 1,943 Amortization of negative VOBA — (20) — (5) — — (25) — (25) Interest expense on debt 4 — 4 — 4 683 695 1 696 Other expenses 2,695 2,542 1,041 1,006 752 278 8,314 439 8,753 Total expenses 21,780 7,647 3,498 1,926 6,236 995 42,082 2,089 44,171 Provision for income tax expense (benefit) 681 703 46 78 449 (288) 1,669 (213) 1,456 Adjusted earnings $ 2,581 $ 1,712 $ 166 $ 259 $ 1,760 $ (196) 6,282 Adjustments to: Total revenues 958 Total expenses (2,089) Provision for income tax (expense) benefit 213 Net income (loss) $ 5,364 $ 5,364 Nine Months Ended September 30, 2020 U.S. Asia Latin EMEA MetLife Corporate Total Adjustments Total Consolidated (In millions) Revenues Premiums $ 17,191 $ 4,874 $ 1,658 $ 1,676 $ 2,669 $ 17 $ 28,085 $ 52 $ 28,137 Universal life and investment-type product policy fees 806 1,445 733 324 812 2 4,122 105 4,227 Net investment income 5,018 2,792 699 199 3,723 22 12,453 (576) 11,877 Other revenues 717 44 28 37 166 238 1,230 120 1,350 Net investment gains (losses) — — — — — — — (77) (77) Net derivative gains (losses) — — — — — — — 2,910 2,910 Total revenues 23,732 9,155 3,118 2,236 7,370 279 45,890 2,534 48,424 Expenses Policyholder benefits and claims and policyholder dividends 16,581 3,867 1,634 877 5,063 23 28,045 432 28,477 Interest credited to policyholder account balances 1,251 1,362 178 83 654 — 3,528 (70) 3,458 Capitalization of DAC (353) (1,203) (258) (367) (15) (8) (2,204) (5) (2,209) Amortization of DAC and VOBA 357 1,105 206 340 288 6 2,302 112 2,414 Amortization of negative VOBA — (30) — (5) — — (35) — (35) Interest expense on debt 6 — 3 — 5 669 683 — 683 Other expenses 3,104 2,540 965 1,000 698 390 8,697 176 8,873 Total expenses 20,946 7,641 2,728 1,928 6,693 1,080 41,016 645 41,661 Provision for income tax expense (benefit) 583 443 124 62 127 (418) 921 582 1,503 Adjusted earnings $ 2,203 $ 1,071 $ 266 $ 246 $ 550 $ (383) 3,953 Adjustments to: Total revenues 2,534 Total expenses (645) Provision for income tax (expense) benefit (582) Net income (loss) $ 5,260 $ 5,260 The following table presents total assets with respect to the Company’s segments, as well as Corporate & Other, at: September 30, 2021 December 31, 2020 (In millions) U.S. $ 282,606 $ 291,483 Asia 169,699 173,884 Latin America 60,592 75,047 EMEA 27,523 28,372 MetLife Holdings 180,239 184,566 Corporate & Other 41,005 41,794 Total $ 761,664 $ 795,146 |
Discontinued Operations and Dis
Discontinued Operations and Disposal Groups (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | The following table summarizes the assets and liabilities held-for-sale: September 30, 2021 (In millions) Assets: Fixed maturity securities available-for-sale $ 2,143 Contractholder-directed equity securities 1,098 Other investments 136 Total investments 3,377 Cash and cash equivalents 103 Deferred policy acquisition costs and value of business acquired 139 Other 275 Separate accounts assets 3,568 Total assets held-for-sale $ 7,462 Liabilities: Future policy benefits $ 940 Policyholder account balances 2,013 Other policy-related balances 103 Other 133 Separate account liabilities 3,568 Total liabilities held-for-sale $ 6,757 The following table summarizes the assets and liabilities held-for-sale: December 31, 2020 (In millions) Assets: Fixed maturity securities available-for-sale $ 4,096 Equity securities 57 Mortgage loans 355 Other invested assets 29 Total investments 4,537 Cash and cash equivalents 765 Accrued investment income 38 Premiums, reinsurance and other receivables 1,411 Deferred policy acquisition costs 196 Goodwill 328 Other assets 143 Total assets held-for-sale $ 7,418 Liabilities: Future policy benefits $ 3,506 Other policy-related balances 33 Payables for collateral under securities loaned and other transactions 862 Other liabilities 249 Total liabilities held-for-sale $ 4,650 |
Insurance (Tables)
Insurance (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Insurance [Abstract] | |
Guarantees related to Annuity, Universal and Variable Life Contracts | Information regarding the Company’s guarantee exposure, which includes direct and assumed business, but excludes offsets from hedging or ceded reinsurance, if any, was as follows at: September 30, 2021 December 31, 2020 In the At In the Event of Death At Annuitization (Dollars in millions) Annuity Contracts: Variable Annuity Guarantees: Total account value (1), (2), (3) $ 62,462 $ 23,049 $ 65,044 $ 24,170 Separate account value (1) $ 41,617 $ 21,380 $ 42,585 $ 22,370 Net amount at risk (2) $ 1,631 (4) $ 519 (5) $ 1,579 (4) $ 614 (5) Average attained age of contractholders 69 years 67 years 68 years 66 years Other Annuity Guarantees: Total account value (1), (3) N/A $ 5,009 N/A $ 6,030 Net amount at risk N/A $ 193 (6) N/A $ 459 (6) Average attained age of contractholders N/A 56 years N/A 50 years September 30, 2021 December 31, 2020 Secondary Paid-Up Secondary Guarantees Paid-Up (Dollars in millions) Universal and Variable Life Contracts: Total account value (1), (3) $ 13,532 $ 2,718 $ 13,426 $ 2,808 Net amount at risk (7) $ 78,416 $ 12,878 $ 82,940 $ 13,557 Average attained age of policyholders 55 years 66 years 54 years 65 years __________________ (1) The Company’s annuity and life contracts with guarantees may offer more than one type of guarantee in each contract. Therefore, the amounts listed above may not be mutually exclusive. (2) Includes amounts, which are not reported on the interim condensed consolidated balance sheets, from assumed variable annuity guarantees from the Company’s former operating joint venture in Japan. (3) Includes the contractholder’s investments in the general account and separate account, if applicable. (4) Defined as the death benefit less the total account value, as of the balance sheet date. It represents the amount of the claim that the Company would incur if death claims were filed on all contracts on the balance sheet date and includes any additional contractual claims associated with riders purchased to assist with covering income taxes payable upon death. (5) Defined as the amount (if any) that would be required to be added to the total account value to purchase a lifetime income stream, based on current annuity rates, equal to the minimum amount provided under the guaranteed benefit. This amount represents the Company’s potential economic exposure to such guarantees in the event all contractholders were to annuitize on the balance sheet date, even though the contracts contain terms that allow annuitization of the guaranteed amount only after the 10th anniversary of the contract, which not all contractholders have achieved. (6) Defined as either the excess of the upper tier, adjusted for a profit margin, less the lower tier, as of the balance sheet date or the amount (if any) that would be required to be added to the total account value to purchase a lifetime income stream, based on current annuity rates, equal to the minimum amount provided under the guaranteed benefit. These amounts represent the Company’s potential economic exposure to such guarantees in the event all contractholders were to annuitize on the balance sheet date. (7) Defined as the guarantee amount less the account value, as of the balance sheet date. It represents the amount of the claim that the Company would incur if death claims were filed on all contracts on the balance sheet date. |
Liabilities for Unpaid Claims and Claim Expenses | Information regarding the liabilities for unpaid claims and claim adjustment expenses was as follows: Nine Months 2021 2020 (In millions) Balance, beginning of period $ 18,591 $ 19,216 Less: Reinsurance recoverables 2,417 2,377 Net balance, beginning of period 16,174 16,839 Incurred related to: Current period 20,667 19,664 Prior periods (1) 960 234 Total incurred 21,627 19,898 Paid related to: Current period (14,426) (13,803) Prior periods (6,416) (5,378) Total paid (20,842) (19,181) Reclassified to liabilities held-for-sale (2) (55) — Dispositions (3) (64) — Net balance, end of period 16,840 17,556 Add: Reinsurance recoverables 2,910 2,521 Balance, end of period (included in future policy benefits and other policy-related balances) $ 19,750 $ 20,077 __________________ (1) For both the nine months ended September 30, 2021 and 2020, incurred claim activity and claim adjustment expenses associated with prior periods increased due to events incurred in prior periods but reported in the current period. (2) See Note 3 for information on the pending disposition of MetLife Poland and Greece. (3) See Note 3 for information on the Company’s business dispositions. |
Closed Block (Tables)
Closed Block (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Closed Block Disclosure [Abstract] | |
Closed block liabilities and assets | Information regarding the closed block liabilities and assets designated to the closed block was as follows at: September 30, 2021 December 31, 2020 (In millions) Closed Block Liabilities Future policy benefits $ 38,191 $ 38,758 Other policy-related balances 289 321 Policyholder dividends payable 299 337 Policyholder dividend obligation 1,952 2,969 Deferred income tax liability 175 130 Other liabilities 269 172 Total closed block liabilities 41,175 42,687 Assets Designated to the Closed Block Investments: Fixed maturity securities available-for-sale, at estimated fair value 25,977 27,186 Equity securities, at estimated fair value 21 24 Mortgage loans 6,441 6,807 Policy loans 4,235 4,355 Real estate and real estate joint ventures 575 559 Other invested assets 540 468 Total investments 37,789 39,399 Cash and cash equivalents 173 — Accrued investment income 391 402 Premiums, reinsurance and other receivables 40 50 Current income tax recoverable 52 28 Total assets designated to the closed block 38,445 39,879 Excess of closed block liabilities over assets designated to the closed block 2,730 2,808 AOCI: Unrealized investment gains (losses), net of income tax 2,730 3,524 Unrealized gains (losses) on derivatives, net of income tax 100 23 Allocated to policyholder dividend obligation, net of income tax (1,542) (2,346) Total amounts included in AOCI 1,288 1,201 Maximum future earnings to be recognized from closed block assets and liabilities $ 4,018 $ 4,009 |
Closed block policyholder dividend obligation | Information regarding the closed block policyholder dividend obligation was as follows: Nine Months Year (In millions) Balance, beginning of period $ 2,969 $ 2,020 Change in unrealized investment and derivative gains (losses) (1,017) 949 Balance, end of period $ 1,952 $ 2,969 |
Closed block revenues and expenses | Information regarding the closed block revenues and expenses was as follows: Three Months Nine Months 2021 2020 2021 2020 (In millions) Revenues Premiums $ 310 $ 359 $ 955 $ 1,097 Net investment income 390 420 1,165 1,198 Net investment gains (losses) (7) 1 (12) (8) Net derivative gains (losses) 12 (16) 19 7 Total revenues 705 764 2,127 2,294 Expenses Policyholder benefits and claims 522 575 1,588 1,714 Policyholder dividends 127 136 478 572 Other expenses 24 27 73 79 Total expenses 673 738 2,139 2,365 Revenues, net of expenses before provision for income tax expense (benefit) 32 26 (12) (71) Provision for income tax expense (benefit) 6 5 (3) (15) Revenues, net of expenses and provision for income tax expense (benefit) $ 26 $ 21 $ (9) $ (56) |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Fixed Maturity Securities Available-for-Sale by Sector | The following table presents the fixed maturity securities available-for-sale (“AFS”) by sector. U.S. corporate and foreign corporate sectors include redeemable preferred stock. Residential mortgage-backed securities (“RMBS”) includes agency, prime, alternative and sub-prime mortgage-backed securities. Asset-backed securities (“ABS”) includes securities collateralized by corporate loans and consumer loans. Municipals includes taxable and tax-exempt revenue bonds and, to a much lesser extent, general obligations of states, municipalities and political subdivisions. Commercial mortgage-backed securities (“CMBS”) primarily includes securities collateralized by multiple commercial mortgage loans. RMBS, ABS and CMBS are, collectively, “Structured Products.” September 30, 2021 December 31, 2020 Amortized Gross Unrealized (1) Estimated Amortized Gross Unrealized (1) Estimated Sector Allowance for Gains Losses Allowance for Gains Losses (In millions) U.S. corporate $ 81,187 $ (18) $ 11,110 $ 267 $ 92,012 $ 79,788 $ (44) $ 13,924 $ 252 $ 93,416 Foreign government 57,889 (19) 6,273 763 63,380 63,243 (21) 8,883 406 71,699 Foreign corporate 58,918 (24) 5,674 646 63,922 60,995 (16) 8,897 468 69,408 U.S. government and agency 43,072 — 5,396 368 48,100 39,094 — 8,095 89 47,100 RMBS 28,716 — 1,669 118 30,267 28,415 — 2,062 42 30,435 ABS 17,203 — 227 27 17,403 16,963 — 231 75 17,119 Municipals 11,636 — 2,419 15 14,040 10,982 — 2,746 6 13,722 CMBS 11,383 (7) 581 43 11,914 11,331 — 681 102 11,910 Total fixed maturity securities AFS $ 310,004 $ (68) $ 33,349 $ 2,247 $ 341,038 $ 310,811 $ (81) $ 45,519 $ 1,440 $ 354,809 _________________ (1) Excludes gross unrealized gains (losses) related to assets held-for-sale; these unrealized gains (losses) are included in AOCI as no component of equity is held-for-sale. See Note 3 for information on the Company’s business dispositions. |
Available-for-sale fixed maturity securities by contractual maturity date | The amortized cost, net of allowance for credit loss (“ACL”), and estimated fair value of fixed maturity securities AFS, by contractual maturity date, were as follows at September 30, 2021: Due in One Due After Due After Due After Structured Total Fixed (In millions) Amortized cost, net of ACL $ 8,543 $ 56,031 $ 57,297 $ 130,770 $ 57,295 $ 309,936 Estimated fair value $ 8,702 $ 58,669 $ 63,388 $ 150,695 $ 59,584 $ 341,038 |
Continuous Gross Unrealized Losses for Fixed Maturity Securities Available-for-Sale | The following table presents the estimated fair value and gross unrealized losses of fixed maturity securities AFS in an unrealized loss position without an ACL by sector and aggregated by length of time that the securities have been in a continuous unrealized loss position. September 30, 2021 December 31, 2020 Less than 12 Months Equal to or Greater Less than 12 Months Equal to or Greater Sector & Credit Quality Estimated Gross Estimated Gross Estimated Gross Estimated Gross (Dollars in millions) U.S. corporate $ 6,055 $ 167 $ 1,390 $ 99 $ 4,338 $ 196 $ 506 $ 50 Foreign government 8,654 399 3,501 364 6,795 305 836 100 Foreign corporate 9,318 448 1,885 198 4,856 321 1,255 147 U.S. government and agency 15,354 297 504 71 4,619 87 33 2 RMBS 6,466 99 521 19 1,531 27 152 14 ABS 2,897 13 840 14 3,428 26 2,842 49 Municipals 667 12 49 3 273 6 — — CMBS 1,300 14 659 21 1,887 63 612 39 Total fixed maturity securities AFS $ 50,711 $ 1,449 $ 9,349 $ 789 $ 27,727 $ 1,031 $ 6,236 $ 401 Investment grade $ 47,639 $ 1,329 $ 8,046 $ 665 $ 24,572 $ 829 $ 5,841 $ 350 Below investment grade 3,072 120 1,303 124 3,155 202 395 51 Total fixed maturity securities AFS $ 50,711 $ 1,449 $ 9,349 $ 789 $ 27,727 $ 1,031 $ 6,236 $ 401 Total number of securities in an unrealized loss position 3,545 793 2,177 690 ________________ (1) Excludes gross unrealized losses related to assets held-for-sale; these unrealized losses are included in AOCI as no component of equity is held-for-sale. See Note 3 for information on the Company’s business dispositions. |
Debt Securities, Available-for-sale, Allowance for Credit Loss | The rollforward of ACL for fixed maturity securities AFS by sector is as follows: U.S. Foreign Foreign RMBS CMBS Total Three Months Ended September 30, 2021 (In millions) Balance, at beginning of period $ 39 $ 21 $ 32 $ — $ 7 $ 99 Additions: ACL not previously recorded 18 — — — — 18 Reductions: Changes for securities with previously recorded ACL — — (2) — — (2) Securities sold or exchanged (26) — (6) — — (32) Securities intended/required to be sold prior to recovery of amortized cost basis — — — — — — Disposition (1) — (2) — — — (2) Write-offs (13) — — — — (13) Balance, at end of period $ 18 $ 19 $ 24 $ — $ 7 $ 68 Three Months Ended September 30, 2020 Balance, at beginning of period $ 30 $ 129 $ 16 $ 2 $ — $ 177 Additions: ACL not previously recorded — — — — — — Reductions: Changes for securities with previously recorded ACL 4 (4) — (2) — (2) Securities sold or exchanged (4) (96) — — — (100) Securities intended/required to be sold prior to recovery of amortized cost basis — — — — — — Disposition — — — — — — Write-offs — — — — — — Balance, at end of period $ 30 $ 29 $ 16 $ — $ — $ 75 _________________ (1) In connection with the disposition of MetLife Seguros, ACL was reduced by $2 million. See Note 3 for additional information on the Company’s business dispositions. U.S. Foreign Foreign RMBS CMBS Total Nine Months Ended September 30, 2021 (In millions) Balance, at beginning of period $ 44 $ 21 $ 16 $ — $ — $ 81 Additions: ACL not previously recorded 18 — 25 — 11 54 Reductions: Changes for securities with previously recorded ACL 3 — (7) — (4) (8) Securities sold or exchanged (34) — (10) — — (44) Securities intended/required to be sold prior to recovery of amortized cost basis — — — — — — Disposition (1) — (2) — — — (2) Write-offs (13) — — — — (13) Balance, at end of period $ 18 $ 19 $ 24 $ — $ 7 $ 68 Nine Months Ended September 30, 2020 Balance, at beginning of period $ — $ — $ — $ — $ — $ — Additions: ACL not previously recorded 58 139 16 2 — 215 Reductions: Changes for securities with previously recorded ACL (3) (8) — (2) — (13) Securities sold or exchanged (24) (102) — — — (126) Securities intended/required to be sold prior to recovery of amortized cost basis (1) — — — — (1) Disposition — — — — — — Write-offs — — — — — — Balance, at end of period $ 30 $ 29 $ 16 $ — $ — $ 75 _________________ (1) In connection with the disposition of MetLife Seguros, ACL was reduced by $2 million. See Note 3 for additional information on the Company’s business dispositions. |
Disclosure of Mortgage Loans Net of Valuation Allowance | Mortgage loans are summarized as follows at: September 30, 2021 December 31, 2020 Portfolio Segment Carrying % of Carrying % of (Dollars in millions) Commercial $ 51,336 63.4 % $ 52,434 62.5 % Agricultural 18,353 22.7 18,128 21.6 Residential 11,704 14.4 13,782 16.4 Total amortized cost 81,393 100.5 84,344 100.5 Allowance for credit loss (563) (0.7) (590) (0.7) Subtotal mortgage loans, net 80,830 99.8 83,754 99.8 Residential — FVO 134 0.2 165 0.2 Total mortgage loans, net $ 80,964 100.0 % $ 83,919 100.0 % |
Allowance for Loan and Lease Losses, Provision for Loss, Net | The changes in the ACL, by portfolio segment, were as follows: Nine Months 2021 2020 Commercial Agricultural Residential Total Commercial Agricultural Residential Total (In millions) Balance, beginning of period $ 252 $ 106 $ 232 $ 590 $ 246 $ 52 $ 55 $ 353 Provision (release) 22 — (37) (15) 83 6 13 102 Adoption of credit loss guidance — — — — (118) 35 161 78 Initial credit losses on PCD loans (1) — — 3 3 — — 16 16 Charge-offs, net of recoveries — (13) (2) (15) — (2) (27) (29) Balance, end of period $ 274 $ 93 $ 196 $ 563 $ 211 $ 91 $ 218 $ 520 _________________ (1) Represents the initial credit losses on purchased mortgage loans accounted for as purchased financial assets with credit deterioration (“PCD”). |
Disclosure of the mortgage loans portfolio segment by the recorded investment, prior to valuation allowances, by credit quality indicator categories | The amortized cost of commercial mortgage loans by credit quality indicator and vintage year was as follows at September 30, 2021: Credit Quality Indicator 2021 2020 2019 2018 2017 Prior Revolving Total % of (Dollars in millions) LTV ratios: Less than 65% $ 3,682 $ 4,536 $ 4,828 $ 5,511 $ 4,303 $ 11,927 $ 2,332 $ 37,119 72.3 % 65% to 75% 1,086 1,507 3,375 2,065 1,108 2,220 — 11,361 22.1 76% to 80% 66 36 335 — 180 454 — 1,071 2.1 Greater than 80% 7 — 4 79 460 1,235 — 1,785 3.5 Total $ 4,841 $ 6,079 $ 8,542 $ 7,655 $ 6,051 $ 15,836 $ 2,332 $ 51,336 100.0 % DSCR: > 1.20x $ 4,308 $ 5,540 $ 8,034 $ 7,492 $ 5,578 $ 13,817 $ 2,064 $ 46,833 91.2 % 1.00x - 1.20x 87 144 76 83 152 926 — 1,468 2.9 <1.00x 446 395 432 80 321 1,093 268 3,035 5.9 Total $ 4,841 $ 6,079 $ 8,542 $ 7,655 $ 6,051 $ 15,836 $ 2,332 $ 51,336 100.0 % The amortized cost of agricultural mortgage loans by credit quality indicator and vintage year was as follows at September 30, 2021: Credit Quality Indicator 2021 2020 2019 2018 2017 Prior Revolving Total % of (Dollars in millions) LTV ratios: Less than 65% $ 1,460 $ 3,092 $ 1,972 $ 2,749 $ 967 $ 5,345 $ 890 $ 16,475 89.8 % 65% to 75% 335 393 172 117 40 580 108 1,745 9.5 76% to 80% — — — — — 11 — 11 — Greater than 80% — — 76 — — 46 — 122 0.7 Total $ 1,795 $ 3,485 $ 2,220 $ 2,866 $ 1,007 $ 5,982 $ 998 $ 18,353 100.0 % The amortized cost of residential mortgage loans by credit quality indicator and vintage year was as follows at September 30, 2021: Credit Quality Indicator 2021 2020 2019 2018 2017 Prior Revolving Total % of (Dollars in millions) Performance indicators: Performing $ 344 $ 512 $ 1,501 $ 689 $ 319 $ 7,898 $ — $ 11,263 96.2 % Nonperforming (1) 2 2 55 15 4 363 — 441 3.8 Total $ 346 $ 514 $ 1,556 $ 704 $ 323 $ 8,261 $ — $ 11,704 100.0 % __________________ (1) Includes residential mortgage loans in process of foreclosure of $74 million and $103 million at September 30, 2021 and December 31, 2020, respectively. |
Schedule of Past Due and Non Accrual Mortgage Loans | The past due and nonaccrual mortgage loans at amortized cost, prior to ACL, by portfolio segment, were as follows: Past Due Greater than 90 Days Past Due Nonaccrual Portfolio Segment September 30, 2021 December 31, 2020 September 30, 2021 December 31, 2020 September 30, 2021 December 31, 2020 (In millions) Commercial $ 15 $ 10 $ 15 $ 7 $ 159 $ 317 Agricultural 156 252 3 20 251 266 Residential 441 556 8 64 438 534 Total $ 612 $ 818 $ 26 $ 91 $ 848 $ 1,117 |
Disclosure Real Estate and Real Estate Joint Ventures | Real estate investments, by income type, as well as income earned, were as follows at and for the periods indicated: September 30, 2021 December 31, 2020 Three Months Nine Months 2021 2020 2021 2020 Income Type Carrying Value Income (In millions) Leased real estate investments $ 5,216 $ 5,450 $ 108 $ 115 $ 327 $ 322 Other real estate investments 455 419 58 34 144 93 Real estate joint ventures 6,511 6,064 113 (45) 189 (44) Total real estate and real estate joint ventures $ 12,182 $ 11,933 $ 279 $ 104 $ 660 $ 371 |
Components of net unrealized investment gains (losses) included in accumulated other comprehensive income (loss) | The components of net unrealized investment gains (losses), included in AOCI, were as follows: September 30, 2021 December 31, 2020 (In millions) Fixed maturity securities AFS $ 31,195 $ 44,415 Derivatives 2,031 1,924 Other 354 267 Subtotal 33,580 46,606 Amounts allocated from: Policyholder liabilities (5,245) (10,797) DAC, VOBA and DSI (3,274) (4,050) Subtotal (8,519) (14,847) Deferred income tax benefit (expense) (6,380) (8,009) Net unrealized investment gains (losses) 18,681 23,750 Net unrealized investment gains (losses) attributable to noncontrolling interests (23) (20) Net unrealized investment gains (losses) attributable to MetLife, Inc. $ 18,658 $ 23,730 The changes in net unrealized investment gains (losses) were as follows: Nine Months (In millions) Balance, beginning of period $ 23,730 Unrealized investment gains (losses) during the period (13,026) Unrealized investment gains (losses) relating to: Policyholder liabilities 5,552 DAC, VOBA and DSI 776 Deferred income tax benefit (expense) 1,629 Net unrealized investment gains (losses) 18,661 Net unrealized investment gains (losses) attributable to noncontrolling interests (3) Balance, end of period $ 18,658 Change in net unrealized investment gains (losses) $ (5,069) Change in net unrealized investment gains (losses) attributable to noncontrolling interests (3) Change in net unrealized investment gains (losses) attributable to MetLife, Inc. $ (5,072) |
Securities Lending and Repurchase Agreements | A summary of the outstanding securities lending and repurchase agreements is as follows: September 30, 2021 December 31, 2020 Securities (1) Securities (1) Agreement Type Estimated Cash Collateral Reinvestment Estimated Cash Collateral Reinvestment (In millions) Securities lending $ 20,557 $ 20,989 $ 21,110 $ 18,262 $ 18,628 $ 18,884 Repurchase agreements $ 3,518 $ 3,460 $ 3,470 $ 3,276 $ 3,210 $ 3,251 __________________ (1) Securities on loan in connection with these programs are included within fixed maturity securities AFS and short-term investments. (2) The liability for cash collateral for these programs is included within payables for collateral under securities loaned and other transactions and other liabilities. A summary of the remaining contractual maturities of securities lending and repurchase agreements is as follows: September 30, 2021 December 31, 2020 Remaining Maturities Remaining Maturities Security Type Open (1) 1 Month Over 1 Month Over 6 Total Open (1) 1 Month Over 1 Month Over 6 Total (In millions) Cash collateral liability by loaned security type: Securities lending: U.S. government and agency $ 6,195 $ 7,955 $ 5,695 $ — $ 19,845 $ 2,946 $ 10,553 $ 4,009 $ — $ 17,508 Foreign government — 322 702 — 1,024 — 291 826 — 1,117 Agency RMBS — — 119 — 119 — — — — — U.S. corporate 1 — — — 1 3 — — — 3 Total $ 6,196 $ 8,277 $ 6,516 $ — $ 20,989 $ 2,949 $ 10,844 $ 4,835 $ — $ 18,628 Repurchase agreements: U.S. government and agency $ — $ 3,460 $ — $ — $ 3,460 $ — $ 3,210 $ — $ — $ 3,210 __________________ (1) The related loaned security could be returned to the Company on the next business day, which would require the Company to immediately return the cash collateral. |
Invested Assets on Deposit, Held in Trust and Pledged as Collateral | Invested assets on deposit, held in trust and pledged as collateral are presented below at estimated fair value for all asset classes, except mortgage loans, which are presented at carrying value at: September 30, 2021 December 31, 2020 (In millions) Invested assets on deposit (regulatory deposits) $ 1,827 $ 1,933 Invested assets held in trust (external reinsurance agreements) (1) 1,100 1,124 Invested assets pledged as collateral (2) 24,829 25,884 Total invested assets on deposit, held in trust and pledged as collateral $ 27,756 $ 28,941 __________________ (1) Represents assets held in trust related to third-party reinsurance agreements. Excludes assets held in trust of $2.1 billion and $2.4 billion related to reinsurance agreements between wholly-owned subsidiaries as of September 30, 2021 and December 31, 2020, respectively. (2) The Company has pledged invested assets in connection with various agreements and transactions, including funding agreements, secured debt, a collateral financing arrangement (see Notes 4, 13 and 14 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report) and derivative transactions (see Note 7). |
Schedule of Variable Interest Entities | The following table presents the total assets and total liabilities relating to investment-related VIEs for which the Company has concluded that it is the primary beneficiary and which are consolidated at: September 30, 2021 December 31, 2020 Asset Type Total Total Total Total (In millions) Investment funds (1) $ 288 $ 1 $ 258 $ 1 Renewable energy partnership (1) 85 — 87 — Other investments (2) 2 — 4 5 Total $ 375 $ 1 $ 349 $ 6 __________________ (1) Assets of the investment funds and renewable energy partnership primarily consisted of other invested assets. (2) Assets of other investments primarily consisted of other assets at September 30, 2021, and cash and cash equivalents at December 31, 2020. Unconsolidated VIEs The carrying amount and maximum exposure to loss relating to VIEs in which the Company holds a significant variable interest but is not the primary beneficiary and which have not been consolidated were as follows at: September 30, 2021 December 31, 2020 Asset Type Carrying Maximum Carrying Maximum (In millions) Fixed maturity securities AFS (2) $ 61,304 $ 61,304 $ 60,115 $ 60,115 Other limited partnership interests 12,218 18,507 8,355 14,911 Other invested assets 1,181 1,254 1,320 1,404 Other investments 671 673 619 639 Total $ 75,374 $ 81,738 $ 70,409 $ 77,069 __________________ (1) The maximum exposure to loss relating to fixed maturity securities AFS is equal to their carrying amounts or the carrying amounts of retained interests. The maximum exposure to loss relating to other limited partnership interests is equal to the carrying amounts plus any unfunded commitments. For certain of its investments in other invested assets, the Company’s return is in the form of income tax credits which are guaranteed by creditworthy third-parties. For such investments, the maximum exposure to loss is equal to the carrying amounts plus any unfunded commitments, reduced by income tax credits guaranteed by third parties of $3 million at both September 30, 2021 and December 31, 2020. Such a maximum loss would be expected to occur only upon bankruptcy of the issuer or investee. (2) For variable interests in Structured Products included within fixed maturity securities AFS, the Company’s involvement is limited to that of a passive investor in mortgage-backed or asset-backed securities issued by trusts that do not have substantial equity. |
Components of Net Investment Income | The components of net investment income were as follows: Three Months Nine Months Asset Type 2021 2020 2021 2020 (In millions) Fixed maturity securities AFS $ 2,759 $ 2,820 $ 8,251 $ 8,482 Equity securities 8 15 28 40 FVO Securities (1) 6 36 92 72 Mortgage loans 838 885 2,586 2,631 Policy loans 118 124 359 374 Real estate and real estate joint ventures 279 104 660 371 Other limited partnership interests 1,541 578 3,870 291 Cash, cash equivalents and short-term investments 25 40 74 184 Operating joint ventures 17 25 55 81 Other 95 78 189 209 Subtotal investment income 5,686 4,705 16,164 12,735 Less: Investment expenses 232 238 701 798 Subtotal, net 5,454 4,467 15,463 11,937 Unit-linked investments (1) 114 262 699 (60) Net investment income $ 5,568 $ 4,729 $ 16,162 $ 11,877 __________________ (1) Changes in estimated fair value subsequent to purchase of FVO Securities and contractholder-directed equity securities supporting unit-linked variable annuity type liabilities (“Unit-linked investments”) still held as of the end of the respective periods and included in net investment income were $55 million and $577 million for the three months and nine months ended September 30, 2021, respectively, and $240 million and ($83) million for the three months and nine months ended September 30, 2020, respectively. |
Components of Net Investment Gains (Losses) | Components of Net Investment Gains (Losses) The components of net investment gains (losses) were as follows: Three Months Nine Months Asset Type 2021 2020 2021 2020 (In millions) Fixed maturity securities AFS $ 129 $ 113 $ 67 $ 267 Equity securities (1) (33) 2 97 (210) FVO Securities 1 1 5 (2) Mortgage loans 43 (5) 101 (148) Real estate and real estate joint ventures 66 1 482 4 Other limited partnership interests (4) (4) (17) 1 Other (2), (3) 19 34 61 159 Subtotal 221 142 796 71 Change in estimated fair value of other limited partnership interests and real estate joint ventures 9 3 23 (9) Non-investment portfolio gains (losses) (4) (314) (165) 836 (139) Subtotal (305) (162) 859 (148) Total net investment gains (losses) $ (84) $ (20) $ 1,655 $ (77) __________________ (1) Changes in estimated fair value subsequent to purchase for equity securities still held as of the end of the periods included in net investment gains (losses) were ($16) million and $86 million for the three months and nine months ended September 30, 2021, respectively, and ($2) million and ($198) million for the three months and nine months ended September 30, 2020, respectively. (2) Other gains (losses) included de-designated cash flow hedge gains of $6 million and $54 million for the three months and nine months ended September 30, 2021, respectively, and $10 million and $65 million for the three months and nine months ended September 30, 2020, respectively. (3) Other gains (losses) included leveraged lease gains of $81 million for the nine months ended September 30, 2020. (4) See Note 3 for information on the Company’s business dispositions. |
Schedule of Realized Gain (Loss) | Sales of securities are determined on a specific identification basis. Proceeds from sales or disposals and the components of net investment gains (losses) were as shown in the table below: Three Months Nine Months 2021 2020 2021 2020 (In millions) Proceeds $ 10,743 $ 5,934 $ 37,306 $ 28,004 Gross investment gains $ 217 $ 196 $ 580 $ 957 Gross investment (losses) (106) (170) (497) (554) Net credit loss (provision) release 18 87 (16) (136) Net investment gains (losses) $ 129 $ 113 $ 67 $ 267 |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Primary Risks Managed by Derivatives | The following table presents the primary underlying risk exposure, gross notional amount and estimated fair value of the Company’s derivatives, excluding embedded derivatives, held at: September 30, 2021 December 31, 2020 Primary Underlying Risk Exposure Gross Estimated Fair Value Gross Estimated Fair Value Assets Liabilities Assets Liabilities (In millions) Derivatives Designated as Hedging Instruments: Fair value hedges: Interest rate swaps Interest rate $ 3,549 $ 2,154 $ 2 $ 3,186 $ 3,224 $ 4 Foreign currency swaps Foreign currency exchange rate 908 8 32 1,106 8 78 Foreign currency forwards Foreign currency exchange rate 1,545 — 52 1,936 24 — Subtotal 6,002 2,162 86 6,228 3,256 82 Cash flow hedges: Interest rate swaps Interest rate 4,429 35 1 4,750 44 — Interest rate forwards Interest rate 6,874 60 155 7,377 513 120 Foreign currency swaps Foreign currency exchange rate 41,201 1,602 1,456 38,604 1,549 2,017 Subtotal 52,504 1,697 1,612 50,731 2,106 2,137 Net investment in a foreign operation (“NIFO”) hedges: Foreign currency forwards Foreign currency exchange rate 341 18 — 164 — 3 Currency options Foreign currency exchange rate 3,000 114 — 3,600 70 — Subtotal 3,341 132 — 3,764 70 3 Total qualifying hedges 61,847 3,991 1,698 60,723 5,432 2,222 Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate swaps Interest rate 41,430 3,793 144 49,561 3,683 38 Interest rate floors Interest rate 8,201 202 — 12,701 350 — Interest rate caps Interest rate 77,814 69 — 40,730 13 — Interest rate futures Interest rate 2,239 3 1 1,498 — 2 Interest rate options Interest rate 12,508 485 17 17,746 502 5 Interest rate forwards Interest rate 367 — 37 351 — 10 Interest rate total return swaps Interest rate 1,048 6 31 1,048 — 59 Synthetic GICs Interest rate 39,365 — — 38,646 — — Foreign currency swaps Foreign currency exchange rate 12,635 690 664 13,265 603 693 Foreign currency forwards Foreign currency exchange rate 15,911 99 563 15,643 209 310 Currency futures Foreign currency exchange rate 867 1 — 914 3 — Currency options Foreign currency exchange rate 900 — — 1,350 — — Credit default swaps — purchased Credit 3,042 14 110 2,978 9 121 Credit default swaps — written Credit 8,739 180 5 9,609 196 — Equity futures Equity market 4,417 48 14 5,427 14 38 Equity index options Equity market 31,016 898 441 22,954 834 437 Equity variance swaps Equity market 733 17 15 716 15 12 Equity total return swaps Equity market 3,482 23 11 3,294 3 282 Total non-designated or nonqualifying derivatives 264,714 6,528 2,053 238,431 6,434 2,007 Total $ 326,561 $ 10,519 $ 3,751 $ 299,154 $ 11,866 $ 4,229 |
The Effects of Derivatives on the Interim Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) | The following table presents the interim condensed consolidated financial statement location and amount of gain (loss) recognized on fair value, cash flow, NIFO, nonqualifying hedging relationships and embedded derivatives: Three Months Ended September 30, 2021 Net Investment Income Net Investment Gains (Losses) Net Derivative Gains (Losses) Policyholder Benefits and Claims Interest Credited to Policyholder Account Balances Other Expenses Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ 1 $ — $ — $ (53) $ — $ — N/A Hedged items (2) — — 48 — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) 28 (9) — — — — N/A Hedged items (22) 9 — — — — N/A Amount excluded from the assessment of hedge effectiveness — (2) — — — — N/A Subtotal 5 (2) — (5) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ 24 Amount of gains (losses) reclassified from AOCI into income 14 6 — — — 1 (21) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 398 Amount of gains (losses) reclassified from AOCI into income 2 (259) — — — — 257 Foreign currency transaction gains (losses) on hedged items — 256 — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 20 Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 16 3 — — — 1 678 Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A 12 Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A 2 Subtotal N/A N/A N/A N/A N/A N/A 14 Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) (1) — (379) (12) — — N/A Foreign currency exchange rate derivatives (1) — — (128) (2) — — N/A Credit derivatives — purchased (1) — — 4 — — — N/A Credit derivatives — written (1) — — (2) — — — N/A Equity derivatives (1) (1) — 47 5 — — N/A Foreign currency transaction gains (losses) on hedged items — — (65) — — — N/A Subtotal (2) — (523) (9) — — N/A Earned income on derivatives 62 — 258 55 (43) — — Embedded derivatives (2) N/A N/A 47 — N/A N/A N/A Total $ 81 $ 1 $ (218) $ 41 $ (43) $ 1 $ 692 Three Months Ended September 30, 2020 Net Investment Income Net Investment Gains (Losses) Net Derivative Gains (Losses) Policyholder Benefits and Claims Interest Credited to Policyholder Account Balances Other Expenses Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ 1 $ — $ — $ (154) $ — $ — N/A Hedged items — — — 139 — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) (50) 44 — — — — N/A Hedged items 46 (41) — — — — N/A Amount excluded from the assessment of hedge effectiveness — (4) — — — — N/A Subtotal (3) (1) — (15) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ (203) Amount of gains (losses) reclassified from AOCI into income 9 10 — — — 1 (20) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (615) Amount of gains (losses) reclassified from AOCI into income 2 435 — — — — (437) Foreign currency transaction gains (losses) on hedged items — (393) — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (28) Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 11 52 — — — 1 (1,303) Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A (29) Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A (8) Subtotal N/A N/A N/A N/A N/A N/A (37) Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) — — (601) (9) — — N/A Foreign currency exchange rate derivatives (1) — — (190) 2 — — N/A Credit derivatives — purchased (1) — — (8) — — — N/A Credit derivatives — written (1) — — (9) — — — N/A Equity derivatives (1) (6) — (499) (90) — — N/A Foreign currency transaction gains (losses) on hedged items — — 56 — — — N/A Subtotal (6) — (1,251) (97) — — N/A Earned income on derivatives 50 — 262 52 (36) — — Embedded derivatives (2) N/A N/A 408 — N/A N/A N/A Total $ 52 $ 51 $ (581) $ (60) $ (36) $ 1 $ (1,340) Nine Months Ended September 30, 2021 Net Net Net Policyholder Interest Other Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ 4 $ — $ — $ (418) $ — $ — N/A Hedged items (4) — — 379 — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) 40 (144) — — — — N/A Hedged items (33) 139 — — — — N/A Amount excluded from the assessment of hedge effectiveness — (6) — — — — N/A Subtotal 7 (11) — (39) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ (687) Amount of gains (losses) reclassified from AOCI into income 41 54 — — — 2 (97) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 567 Amount of gains (losses) reclassified from AOCI into income 6 (383) — — — 1 376 Foreign currency transaction gains (losses) on hedged items — 372 — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (52) Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 47 43 — — — 3 107 Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A 58 Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A 31 Subtotal N/A N/A N/A N/A N/A N/A 89 Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) 1 — (1,993) (51) — — N/A Foreign currency exchange rate derivatives (1) — — (734) 1 — — N/A Credit derivatives — purchased (1) — — 16 — — — N/A Credit derivatives — written (1) — — 33 — — — N/A Equity derivatives (1) (33) — (992) (202) — — N/A Foreign currency transaction gains (losses) on hedged items — — 167 — — — N/A Subtotal (32) — (3,503) (252) — — N/A Earned income on derivatives 128 — 755 160 (120) — — Embedded derivatives (2) N/A N/A 716 — N/A N/A N/A Total $ 150 $ 32 $ (2,032) $ (131) $ (120) $ 3 $ 196 Nine Months Ended September 30, 2020 Net Investment Income Net Investment Gains (Losses) Net Derivative Gains (Losses) Policyholder Benefits and Claims Interest Credited to Policyholder Account Balances Other Expenses Other (In millions) Gain (Loss) on Fair Value Hedges: Interest rate derivatives: Derivatives designated as hedging instruments (1) $ (11) $ — $ — $ 589 $ — $ — N/A Hedged items 9 — — (613) — — N/A Foreign currency exchange rate derivatives: Derivatives designated as hedging instruments (1) 17 58 — — — — N/A Hedged items (14) (54) — — — — N/A Amount excluded from the assessment of hedge effectiveness — (38) — — — — N/A Subtotal 1 (34) — (24) — — N/A Gain (Loss) on Cash Flow Hedges: Interest rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A $ 1,700 Amount of gains (losses) reclassified from AOCI into income 24 58 — — — 2 (84) Foreign currency exchange rate derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A 554 Amount of gains (losses) reclassified from AOCI into income 3 271 — — — 1 (275) Foreign currency transaction gains (losses) on hedged items — (190) — — — — — Credit derivatives: (1) Amount of gains (losses) deferred in AOCI N/A N/A N/A N/A N/A N/A (52) Amount of gains (losses) reclassified from AOCI into income — — — — — — — Subtotal 27 139 — — — 3 1,843 Gain (Loss) on NIFO Hedges: Foreign currency exchange rate derivatives (1) N/A N/A N/A N/A N/A N/A 70 Non-derivative hedging instruments N/A N/A N/A N/A N/A N/A (11) Subtotal N/A N/A N/A N/A N/A N/A 59 Gain (Loss) on Derivatives Not Designated or Not Qualifying as Hedging Instruments: Interest rate derivatives (1) (6) — 3,364 58 — — N/A Foreign currency exchange rate derivatives (1) — — (187) (7) — — N/A Credit derivatives — purchased (1) — — 4 — — — N/A Credit derivatives — written (1) — — (158) — — — N/A Equity derivatives (1) (6) — 17 19 — — N/A Foreign currency transaction gains (losses) on hedged items — — (104) — — — N/A Subtotal (12) — 2,936 70 — — N/A Earned income on derivatives 196 — 617 135 (118) — — Embedded derivatives (2) N/A N/A (643) — N/A N/A N/A Total $ 212 $ 105 $ 2,910 $ 181 $ (118) $ 3 $ 1,902 __________________ (1) Excludes earned income on derivatives. (2) The valuation of guaranteed minimum benefits includes a nonperformanc e risk adjustment. The amounts included in net derivative gains (losses) in connection with this adjustment were $3 million and ($48) million for the three months and nine months ended September 30, 2021, respectively, and ($12) million and $63 million for the three months and nine months ended September 30, 2020, respectively. |
Fair Value Hedges | The following table presents the balance sheet classification, carrying amount and cumulative fair value hedging adjustments for items designated and qualifying as hedged items in fair value hedges: Balance Sheet Line Item Carrying Amount Cumulative Amount September 30, 2021 December 31, 2020 September 30, 2021 December 31, 2020 (In millions) Fixed maturity securities AFS $ 2,117 $ 2,699 $ (1) $ (1) Mortgage loans $ 749 $ 952 $ (3) $ 20 Future policy benefits $ (4,713) $ (5,512) $ (911) $ (1,307) __________________ (1) Includes ($169) million and ($1) million of hedging adjustments on discontinued hedging relationships at September 30, 2021 and December 31, 2020, respectively. For the Company’s foreign currency forwards, the change in the estimated fair value of the derivative related to the changes in the difference between the spot price and the forward price is excluded from the assessment of hedge effectiveness. The Company has elected to record changes in estimated fair value of excluded components in earnings. For all other derivatives, all components of each derivative’s gain or loss were included in the assessment of hedge effectiveness. |
Schedule of estimated fair value, maximum amount of future payments and weighted average years to maturity of written credit default swaps | The following table presents the estimated fair value, maximum amount of future payments and weighted average years to maturity of written credit default swaps at: September 30, 2021 December 31, 2020 Rating Agency Designation of Referenced Estimated Maximum Weighted Estimated Maximum Weighted (Dollars in millions) Aaa/Aa/A Single name credit default swaps (3) $ 5 $ 169 3.2 $ 5 $ 208 2.7 Credit default swaps referencing indices 21 1,778 1.7 27 1,779 2.5 Subtotal 26 1,947 1.9 32 1,987 2.5 Baa Single name credit default swaps (3) 2 152 2.5 3 249 2.5 Credit default swaps referencing indices 145 6,468 5.7 156 7,318 5.5 Subtotal 147 6,620 5.6 159 7,567 5.4 Ba Single name credit default swaps (3) 2 82 1.5 — — — Credit default swaps referencing indices (1) 20 4.2 — — — Subtotal 1 102 2.0 — — — B Credit default swaps referencing indices 5 55 4.2 5 55 5.0 Subtotal 5 55 4.2 5 55 5.0 Caa3 Credit default swaps referencing indices (4) 15 4.2 — — — Subtotal (4) 15 4.2 — — — Total $ 175 $ 8,739 4.7 $ 196 $ 9,609 4.8 _________________ (1) The rating agency designations are based on availability and the midpoint of the applicable ratings among Moody’s Investors Service (“Moody’s”), S&P Global Ratings (“S&P”) and Fitch Ratings. If no rating is available from a rating agency, then an internally developed rating is used. (2) The weighted average years to maturity of the credit default swaps is calculated based on weighted average gross notional amounts. (3) Single name credit default swaps may be referenced to the credit of corporations, foreign governments, or municipals. |
Estimated Fair Value of Derivative Assets and Liabilities after Master Netting Agreements and Cash Collateral | The estimated fair values of the Company’s net derivative assets and net derivative liabilities after the application of master netting agreements and collateral were as follows at: September 30, 2021 December 31, 2020 Derivatives Subject to a Master Netting Arrangement or a Similar Arrangement Assets Liabilities Assets Liabilities (In millions) Gross estimated fair value of derivatives: OTC-bilateral (1) $ 10,034 $ 3,675 $ 11,348 $ 4,111 OTC-cleared (1) 516 39 593 20 Exchange-traded 52 15 17 40 Total gross estimated fair value of derivatives presented on the interim condensed consolidated balance sheets (1) 10,602 3,729 11,958 4,171 Gross amounts not offset on the interim condensed consolidated balance sheets: Gross estimated fair value of derivatives: (2) OTC-bilateral (2,206) (2,206) (2,926) (2,926) OTC-cleared (13) (13) (7) (7) Exchange-traded (2) (2) — — Cash collateral: (3), (4) OTC-bilateral (6,396) — (6,842) — OTC-cleared (434) (16) (530) (5) Exchange-traded — (9) — (23) Securities collateral: (5) OTC-bilateral (1,249) (1,367) (1,453) (1,100) OTC-cleared — (9) — (1) Exchange-traded — (3) — (1) Net amount after application of master netting agreements and collateral $ 302 $ 104 $ 200 $ 108 __________________ (1) At September 30, 2021 and December 31, 2020, derivative assets included income (expense) accruals reported in accrued investment income or in other liabilities of $83 million an d $92 million, respectively, and derivative liabilities included (income) expense accruals reported in accrued investment income or in other liabilities of ($22) million and ($58) million, respectively. (2) Estimated fair value of derivatives is limited to the amount that is subject to set-off and includes income or expense accruals. (3) Cash collateral received by the Company for OTC-bilateral and OTC-cleared derivatives, where the centralized clearinghouse treats variation margin as collateral, is included in cash and cash equivalents, short-term investments or in fixed maturity securities AFS, and the obligation to return it is included in payables for collateral under securities loaned and other transactions on the balance sheet. For certain collateral agreements, cash collateral is pledged to the Company as initial margin on its OTC-bilateral derivatives. (4) The receivable for the return of cash collateral provided by the Company is inclusive of initial margin on exchange-traded and OTC-cleared derivatives and is included in premiums, reinsurance and other receivables on the balance sheet. The amount of cash collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreements. At September 30, 2021 and December 31, 2020, the Company received excess cash collateral of $103 million and $265 million, respectively, and provided excess cash collateral of $158 million and $238 million, respectively, which is not included in the table above due to the foregoing limitation. (5) Securities collateral received by the Company is held in separate custodial accounts and is not recorded on the balance sheet. Subject to certain constraints, the Company is permitted by contract to sell or re-pledge this collateral, but at September 30, 2021, none of the collateral had been sold or re-pledged. Securities collateral pledged by the Company is reported in fixed maturity securities AFS on the balance sheet. Subject to certain constraints, the counterparties are permitted by contract to sell or re-pledge this collateral. The amount of securities collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreements and cash collateral. At September 30, 2021 and December 31, 2020, the Company received excess securities collateral with an estimated fair value of $98 million and $231 million, respectively, for its OTC-bilateral derivatives, which are not included in the table above due to the foregoing limitation. At September 30, 2021 and December 31, 2020, the Company provided excess securities collateral with an estimated fair value of $194 million and $269 million, respectively, for its OTC-bilateral derivatives, $1.2 billion and $2.1 billion, respectively, for its OTC-cleared derivatives, and $214 million and $318 million, respectively, for its exchange-traded derivatives, which are not included in the table above due to the foregoing limitation. |
Estimated Fair Value of Derivative Assets and Liabilities after Master Netting Agreements and Cash Collateral | The estimated fair values of the Company’s net derivative assets and net derivative liabilities after the application of master netting agreements and collateral were as follows at: September 30, 2021 December 31, 2020 Derivatives Subject to a Master Netting Arrangement or a Similar Arrangement Assets Liabilities Assets Liabilities (In millions) Gross estimated fair value of derivatives: OTC-bilateral (1) $ 10,034 $ 3,675 $ 11,348 $ 4,111 OTC-cleared (1) 516 39 593 20 Exchange-traded 52 15 17 40 Total gross estimated fair value of derivatives presented on the interim condensed consolidated balance sheets (1) 10,602 3,729 11,958 4,171 Gross amounts not offset on the interim condensed consolidated balance sheets: Gross estimated fair value of derivatives: (2) OTC-bilateral (2,206) (2,206) (2,926) (2,926) OTC-cleared (13) (13) (7) (7) Exchange-traded (2) (2) — — Cash collateral: (3), (4) OTC-bilateral (6,396) — (6,842) — OTC-cleared (434) (16) (530) (5) Exchange-traded — (9) — (23) Securities collateral: (5) OTC-bilateral (1,249) (1,367) (1,453) (1,100) OTC-cleared — (9) — (1) Exchange-traded — (3) — (1) Net amount after application of master netting agreements and collateral $ 302 $ 104 $ 200 $ 108 __________________ (1) At September 30, 2021 and December 31, 2020, derivative assets included income (expense) accruals reported in accrued investment income or in other liabilities of $83 million an d $92 million, respectively, and derivative liabilities included (income) expense accruals reported in accrued investment income or in other liabilities of ($22) million and ($58) million, respectively. (2) Estimated fair value of derivatives is limited to the amount that is subject to set-off and includes income or expense accruals. (3) Cash collateral received by the Company for OTC-bilateral and OTC-cleared derivatives, where the centralized clearinghouse treats variation margin as collateral, is included in cash and cash equivalents, short-term investments or in fixed maturity securities AFS, and the obligation to return it is included in payables for collateral under securities loaned and other transactions on the balance sheet. For certain collateral agreements, cash collateral is pledged to the Company as initial margin on its OTC-bilateral derivatives. (4) The receivable for the return of cash collateral provided by the Company is inclusive of initial margin on exchange-traded and OTC-cleared derivatives and is included in premiums, reinsurance and other receivables on the balance sheet. The amount of cash collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreements. At September 30, 2021 and December 31, 2020, the Company received excess cash collateral of $103 million and $265 million, respectively, and provided excess cash collateral of $158 million and $238 million, respectively, which is not included in the table above due to the foregoing limitation. (5) Securities collateral received by the Company is held in separate custodial accounts and is not recorded on the balance sheet. Subject to certain constraints, the Company is permitted by contract to sell or re-pledge this collateral, but at September 30, 2021, none of the collateral had been sold or re-pledged. Securities collateral pledged by the Company is reported in fixed maturity securities AFS on the balance sheet. Subject to certain constraints, the counterparties are permitted by contract to sell or re-pledge this collateral. The amount of securities collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreements and cash collateral. At September 30, 2021 and December 31, 2020, the Company received excess securities collateral with an estimated fair value of $98 million and $231 million, respectively, for its OTC-bilateral derivatives, which are not included in the table above due to the foregoing limitation. At September 30, 2021 and December 31, 2020, the Company provided excess securities collateral with an estimated fair value of $194 million and $269 million, respectively, for its OTC-bilateral derivatives, $1.2 billion and $2.1 billion, respectively, for its OTC-cleared derivatives, and $214 million and $318 million, respectively, for its exchange-traded derivatives, which are not included in the table above due to the foregoing limitation. |
Estimated Fair Value of OTC-bilateral derivatives after considering effect of netting agreements | The following table presents the estimated fair value of the Company’s OTC-bilateral derivatives that were in a net liability position after considering the effect of netting agreements, together with the estimated fair value and balance sheet location of the collateral pledged. September 30, 2021 December 31, 2020 Derivatives Derivatives Total Derivatives Derivatives Total (In millions) Estimated fair value of derivatives in a net liability position (1) $ 1,242 $ 227 $ 1,469 $ 1,182 $ 3 $ 1,185 Estimated fair value of collateral provided: Fixed maturity securities AFS $ 1,300 $ 188 $ 1,488 $ 1,222 $ 2 $ 1,224 __________________ (1) After taking into consideration the existence of netting agreements. The following table presents the estimated fair value and balance sheet location of the Company’s embedded derivatives that have been separated from their host contracts at: Balance Sheet Location September 30, 2021 December 31, 2020 (In millions) Embedded derivatives within asset host contracts: Ceded guaranteed minimum benefits Premiums, reinsurance and other receivables $ 39 $ 55 Embedded derivatives within liability host contracts: Direct guaranteed minimum benefits Policyholder account balances $ 296 $ 651 Assumed guaranteed minimum benefits Policyholder account balances 131 283 Funds withheld on ceded reinsurance Other liabilities 41 100 Fixed annuities with equity indexed returns Policyholder account balances 157 138 Other guarantees Policyholder account balances 1 24 Embedded derivatives within liability host contracts $ 626 $ 1,196 |
Embedded Derivatives [Table Text Block] | The following table presents the estimated fair value of the Company’s OTC-bilateral derivatives that were in a net liability position after considering the effect of netting agreements, together with the estimated fair value and balance sheet location of the collateral pledged. September 30, 2021 December 31, 2020 Derivatives Derivatives Total Derivatives Derivatives Total (In millions) Estimated fair value of derivatives in a net liability position (1) $ 1,242 $ 227 $ 1,469 $ 1,182 $ 3 $ 1,185 Estimated fair value of collateral provided: Fixed maturity securities AFS $ 1,300 $ 188 $ 1,488 $ 1,222 $ 2 $ 1,224 __________________ (1) After taking into consideration the existence of netting agreements. The following table presents the estimated fair value and balance sheet location of the Company’s embedded derivatives that have been separated from their host contracts at: Balance Sheet Location September 30, 2021 December 31, 2020 (In millions) Embedded derivatives within asset host contracts: Ceded guaranteed minimum benefits Premiums, reinsurance and other receivables $ 39 $ 55 Embedded derivatives within liability host contracts: Direct guaranteed minimum benefits Policyholder account balances $ 296 $ 651 Assumed guaranteed minimum benefits Policyholder account balances 131 283 Funds withheld on ceded reinsurance Other liabilities 41 100 Fixed annuities with equity indexed returns Policyholder account balances 157 138 Other guarantees Policyholder account balances 1 24 Embedded derivatives within liability host contracts $ 626 $ 1,196 |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Recurring Fair Value Measurements | The assets and liabilities measured at estimated fair value on a recurring basis and their corresponding placement in the fair value hierarchy, including those items for which the Company has elected the FVO, are presented below at: September 30, 2021 (1) Fair Value Hierarchy Level 1 Level 2 Level 3 Total Estimated Fair Value (In millions) Assets Fixed maturity securities AFS: U.S. corporate $ — $ 80,783 $ 11,229 $ 92,012 Foreign government — 63,274 106 63,380 Foreign corporate — 50,415 13,507 63,922 U.S. government and agency 27,492 20,608 — 48,100 RMBS 8 27,023 3,236 30,267 ABS — 15,878 1,525 17,403 Municipals — 14,006 34 14,040 CMBS — 11,095 819 11,914 Total fixed maturity securities AFS 27,500 283,082 30,456 341,038 Equity securities 594 196 151 941 Unit-linked and FVO Securities (2) 9,171 2,051 833 12,055 Short-term investments (3) 5,287 1,201 57 6,545 Residential mortgage loans — FVO — — 134 134 Other investments — 49 845 894 Derivative assets: (4) Interest rate 3 6,744 60 6,807 Foreign currency exchange rate 1 2,527 4 2,532 Credit — 174 20 194 Equity market 48 931 7 986 Total derivative assets 52 10,376 91 10,519 Embedded derivatives within asset host contracts (5) — — 39 39 Separate account assets (6) 78,361 101,190 1,403 180,954 Total assets (7) $ 120,965 $ 398,145 $ 34,009 $ 553,119 Liabilities Derivative liabilities: (4) Interest rate $ 1 $ 349 $ 38 $ 388 Foreign currency exchange rate — 2,509 258 2,767 Credit — 110 5 115 Equity market 14 467 — 481 Total derivative liabilities 15 3,435 301 3,751 Embedded derivatives within liability host contracts (5) — — 626 626 Separate account liabilities (6) 4 13 4 21 Total liabilities $ 19 $ 3,448 $ 931 $ 4,398 December 31, 2020 (1) Fair Value Hierarchy Level 1 Level 2 Level 3 Total Estimated Fair Value (In millions) Assets Fixed maturity securities AFS: U.S. corporate $ — $ 83,214 $ 10,202 $ 93,416 Foreign government — 71,582 117 71,699 Foreign corporate — 55,509 13,899 69,408 U.S. government and agency 23,180 23,920 — 47,100 RMBS — 27,133 3,302 30,435 ABS — 15,734 1,385 17,119 Municipals — 13,722 — 13,722 CMBS — 11,308 602 11,910 Total fixed maturity securities AFS 23,180 302,122 29,507 354,809 Equity securities 636 293 150 1,079 Unit-linked and FVO Securities (2) 10,559 2,059 701 13,319 Short-term investments (3) 2,762 568 43 3,373 Residential mortgage loans — FVO — — 165 165 Other investments 83 229 573 885 Derivative assets: (4) Interest rate — 7,840 489 8,329 Foreign currency exchange rate 3 2,287 176 2,466 Credit — 180 25 205 Equity market 14 830 22 866 Total derivative assets 17 11,137 712 11,866 Embedded derivatives within asset host contracts (5) — — 55 55 Separate account assets (6) 91,850 107,035 1,085 199,970 Total assets (7) $ 129,087 $ 423,443 $ 32,991 $ 585,521 Liabilities Derivative liabilities: (4) Interest rate $ 2 $ 168 $ 68 $ 238 Foreign currency exchange rate — 3,063 38 3,101 Credit — 121 — 121 Equity market 38 719 12 769 Total derivative liabilities 40 4,071 118 4,229 Embedded derivatives within liability host contracts (5) — — 1,196 1,196 Separate account liabilities (6) 12 8 6 26 Total liabilities $ 52 $ 4,079 $ 1,320 $ 5,451 __________________ (1) Excludes amounts for financial instruments reclassified to assets held-for-sale or liabilities held-for-sale. Assets held-for-sale and liabilities held-for-sale are valued on a basis consistent with similar instruments described herein. See Note 3 for information on the Company’s business dispositions. (2) Unit-linked and FVO Securities were primarily comprised of Unit-linked investments at both September 30, 2021 and December 31, 2020. (3) Short-term investments as presented in the tables above differ from the amounts presented on the interim condensed consolidated balance sheets because certain short-term investments are not measured at estimated fair value on a recurring basis. (4) Derivative assets are presented within other invested assets on the interim condensed consolidated balance sheets and derivative liabilities are presented within other liabilities on the interim condensed consolidated balance sheets. The amounts are presented gross in the tables above to reflect the presentation on the interim condensed consolidated balance sheets, but are presented net for purposes of the rollforward in the Fair Value Measurements Using Significant Unobservable Inputs (Level 3) tables. (5) Embedded derivatives within asset host contracts are presented within premiums, reinsurance and other receivables and other invested assets on the interim condensed consolidated balance sheets. Embedded derivatives within liability host contracts are presented within policyholder account balances and other liabilities on the interim condensed consolidated balance sheets. (6) Investment performance related to separate account assets is fully offset by corresponding amounts credited to contractholders whose liability is reflected within separate account liabilities. Separate account liabilities are set equal to the estimated fair value of separate account assets. Separate account liabilities presented in the tables above represent derivative liabilities. (7) Total assets included in the fair value hierarchy exclude other limited partnership interests that are measured at estimated fair value using the net asset value (“NAV”) per share (or its equivalent) practical expedient. At September 30, 2021 and December 31, 2020, the estimated fair value of such investments was $82 million and $75 million, respectively. |
Fair Value Inputs, Quantitative Information | The following table presents certain quantitative information about the significant unobservable inputs used in the fair value measurement, and the sensitivity of the estimated fair value to changes in those inputs, for the more significant asset and liability classes measured at fair value on a recurring basis using significant unobservable inputs (Level 3) at: September 30, 2021 December 31, 2020 Impact of Valuation Significant Range Weighted Range Weighted Fixed maturity securities AFS (3) U.S. corporate and foreign corporate • Matrix pricing • Offered quotes (4) 1 - 170 111 — - 186 117 Increase • Market pricing • Quoted prices (4) — - 113 99 — - 116 98 Increase • Consensus pricing • Offered quotes (4) 99 - 107 100 54 - 104 101 Increase RMBS • Market pricing • Quoted prices (4) — - 180 99 — - 159 98 Increase (5) ABS • Market pricing • Quoted prices (4) 3 - 109 102 1 - 112 100 Increase (5) • Consensus pricing • Offered quotes (4) 102 - 102 102 100 - 100 100 Increase (5) Derivatives Interest rate • Present value techniques • Swap yield (6) 149 - 221 199 92 - 184 149 Increase (7) • Repurchase rates (8) — - — — (12) - 1 (6) Decrease (7) • Volatility (9) 0% - 1% 1% — - — — Increase (7) Foreign currency exchange rate • Present value techniques • Swap yield (6) (129) - 1,873 117 (309) - 248 (144) Increase (7) Credit • Present value techniques • Credit spreads (10) 96 - 128 104 96 - 99 98 Decrease (7) • Consensus pricing • Offered quotes (11) Equity market • Present value techniques or option pricing models • Volatility (12) — - — — 21% - 29% 28% Increase (7) • Correlation (13) — - — — 10% - 30% 10% Embedded derivatives Direct, assumed and ceded guaranteed minimum benefits • Option pricing techniques • Mortality rates: Ages 0 - 40 0% - 0.17% 0.08% 0% - 0.17% 0.06% Decrease (14) Ages 41 - 60 0.03% - 0.75% 0.27% 0.03% - 0.75% 0.30% Decrease (14) Ages 61 - 115 0.12% - 100% 2.08% 0.12% - 100% 1.90% Decrease (14) • Lapse rates: Durations 1 - 10 0.25% - 100% 6.30% 0.25% - 100% 6.86% Decrease (15) Durations 11 - 20 0.50% - 100% 5.22% 0.50% - 100% 5.18% Decrease (15) Durations 21 - 116 0.50% - 100% 5.22% 0.50% - 100% 5.18% Decrease (15) • Utilization rates 0% - 22% 0.22% 0% - 22% 0.17% Increase (16) • Withdrawal rates 0% - 20% 3.72% 0% - 20% 3.98% (17) • Long-term equity volatilities 7.71% - 25% 18.60% 8.33% - 27% 18.70% Increase (18) • Nonperformance risk spread 0.05% - 1.17% 0.35% 0.04% - 1.18% 0.40% Decrease (19) __________________ (1) The weighted average for fixed maturity securities AFS and derivatives is determined based on the estimated fair value of the securities and derivatives. The weighted average for embedded derivatives is determined based on a combination of account values and experience data. (2) The impact of a decrease in input would have resulted in the opposite impact on estimated fair value. For embedded derivatives, changes to direct and assumed guaranteed minimum benefits are based on liability positions; changes to ceded guaranteed minimum benefits are based on asset positions. (3) Significant increases (decreases) in expected default rates in isolation would have resulted in substantially lower (higher) valuations. (4) Range and weighted average are presented in accordance with the market convention for fixed maturity securities AFS of dollars per hundred dollars of par. (5) Changes in the assumptions used for the probability of default would have been accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumptions used for prepayment rates. (6) Ranges represent the rates across different yield curves and are presented in basis points. The swap yield curves are utilized among different types of derivatives to project cash flows, as well as to discount future cash flows to present value. Since this valuation methodology uses a range of inputs across a yield curve to value the derivative, presenting a range is more representative of the unobservable input used in the valuation. (7) Changes in estimated fair value are based on long U.S. dollar net asset positions and will be inversely impacted for short U.S. dollar net asset positions. (8) Ranges represent different repurchase rates utilized as components within the valuation methodology and are presented in basis points. (9) Ranges represent the underlying interest rate volatility quoted in percentage points. Since this valuation methodology uses an equivalent of LIBOR for secured overnight financing rate volatility, presenting a range is more representative of the unobservable input used in the valuation. (10) Represents the risk quoted in basis points of a credit default event on the underlying instrument. Credit derivatives with significant unobservable inputs are primarily comprised of written credit default swaps. (11) At both September 30, 2021 and December 31, 2020, independent non-binding broker quotations were used in the determination of less tha n 1% of the total net derivative estimated fair value. (12) Ranges represent the underlying equity volatility quoted in percentage points. Since this valuation methodology uses a range of inputs across multiple volatility surfaces to value the derivative, presenting a range is more representative of the unobservable input used in the valuation. (13) Ranges represent the different correlation factors utilized as components within the valuation methodology. Presenting a range of correlation factors is more representative of the unobservable input used in the valuation. Increases (decreases) in correlation in isolation will increase (decrease) the significance of the change in valuations. (14) Mortality rates vary by age and by demographic characteristics such as gender. Mortality rate assumptions are based on company experience. A mortality improvement assumption is also applied. For any given contract, mortality rates vary throughout the period over which cash flows are projected for purposes of valuing the embedded derivative. (15) Base lapse rates are adjusted at the contract level based on a comparison of the actuarially calculated guaranteed values and the current policyholder account value, as well as other factors, such as the applicability of any surrender charges. A dynamic lapse function reduces the base lapse rate when the guaranteed amount is greater than the account value as in the money contracts are less likely to lapse. Lapse rates are also generally assumed to be lower in periods when a surrender charge applies. For any given contract, lapse rates vary throughout the period over which cash flows are projected for purposes of valuing the embedded derivative. (16) The utilization rate assumption estimates the percentage of contractholders with GMIBs or a lifetime withdrawal benefit who will elect to utilize the benefit upon becoming eligible. The rates may vary by the type of guarantee, the amount by which the guaranteed amount is greater than the account value, the contract’s withdrawal history and by the age of the policyholder. For any given contract, utilization rates vary throughout the period over which cash flows are projected for purposes of valuing the embedded derivative. (17) The withdrawal rate represents the percentage of account balance that any given policyholder will elect to withdraw from the contract each year. The withdrawal rate assumption varies by age and duration of the contract, and also by other factors such as benefit type. For any given contract, withdrawal rates vary throughout the period over which cash flows are projected for purposes of valuing the embedded derivative. For GMWBs, any increase (decrease) in withdrawal rates results in an increase (decrease) in the estimated fair value of the guarantees. For GMABs and GMIBs, any increase (decrease) in withdrawal rates results in a decrease (increase) in the estimated fair value. (18) Long-term equity volatilities represent equity volatility beyond the period for which observable equity volatilities are available. For any given contract, long-term equity volatility rates vary throughout the period over which cash flows are projected for purposes of valuing the embedded derivative. (19) Nonperformance risk spread varies by duration and by currency. For any given contract, multiple nonperformance risk spreads will apply, depending on the duration of the cash flow being discounted for purposes of valuing the embedded derivative. |
Fair Value, Measured on Recurring Basis, Unobservable Input Reconciliation | The following tables summarize the change of all assets (liabilities) measured at estimated fair value on a recurring basis using significant unobservable inputs (Level 3): Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Fixed Maturity Securities AFS Corporate (6) Foreign Structured Products Municipals Equity Securities Unit-linked (In millions) Three Months Ended September 30, 2021 Balance, beginning of period $ 23,773 $ 145 $ 6,003 $ — $ 143 $ 849 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) (22) — 9 — 6 (9) Total realized/unrealized gains (losses) included in AOCI (402) — 36 — — — Purchases (3) 1,853 12 334 34 8 9 Sales (3) (475) (10) (401) — (5) (8) Issuances (3) — — — — — — Settlements (3) — — — — — — Transfers into Level 3 (4) 242 10 6 — — — Transfers out of Level 3 (4) (233) (51) (407) — (1) (8) Balance, end of period $ 24,736 $ 106 $ 5,580 $ 34 $ 151 $ 833 Three Months Ended September 30, 2020 Balance, beginning of period $ 20,732 $ 57 $ 5,377 $ — $ 373 $ 589 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) (1) (1) 23 — 6 35 Total realized/unrealized gains (losses) included in AOCI 673 6 96 1 — — Purchases (3) 1,023 12 550 10 — 7 Sales (3) (529) — (305) — (69) (13) Issuances (3) — — — — — — Settlements (3) — — — — — — Transfers into Level 3 (4) 622 44 39 — — — Transfers out of Level 3 (4) (377) (9) (368) — (158) (2) Balance, end of period $ 22,143 $ 109 $ 5,412 $ 11 $ 152 $ 616 Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2021 (5) $ (18) $ — $ 9 $ — $ 6 $ (9) Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2020 (5) $ (3) $ (3) $ 13 $ — $ 3 $ 35 Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2021 (5) $ (387) $ — $ 36 $ — $ — $ — Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2020 (5) $ 665 $ 3 $ 95 $ 1 $ — $ — Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Short-term Residential Mortgage Other Net Net Embedded Separate (In millions) Three Months Ended September 30, 2021 Balance, beginning of period $ 113 $ 140 $ 781 $ 57 $ (574) $ 1,249 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) 1 — 45 (279) 47 12 Total realized/unrealized gains (losses) included in AOCI (2) — — 55 — — Purchases (3) 2 — 116 7 — 161 Sales (3) (28) — (72) — — (18) Issuances (3) — — — (1) — — Settlements (3) — (6) — (49) (60) — Transfers into Level 3 (4) 1 — — — — — Transfers out of Level 3 (4) (30) — (25) — — (5) Balance, end of period $ 57 $ 134 $ 845 $ (210) $ (587) $ 1,399 Three Months Ended September 30, 2020 Balance, beginning of period $ 7 $ 175 $ 491 $ 798 $ (1,925) $ 1,056 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) (2) 6 (8) 61 408 (3) Total realized/unrealized gains (losses) included in AOCI (2) — — (24) (15) — Purchases (3) 1 — 3 — — 72 Sales (3) (1) — — — — (25) Issuances (3) — — — — — (2) Settlements (3) — (5) — (111) (66) — Transfers into Level 3 (4) — — — — — — Transfers out of Level 3 (4) — — — 13 — (9) Balance, end of period $ 3 $ 176 $ 486 $ 737 $ (1,598) $ 1,089 Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2021 (5) $ — $ (1) $ 40 $ (273) $ 44 $ — Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2020 (5) $ (2) $ 6 $ (7) $ 47 $ 403 $ — Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2021 (5) $ — $ — $ — $ 25 $ 1 $ — Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2020 (5) $ (1) $ — $ — $ (28) $ (14) $ — Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Fixed Maturity Securities AFS Corporate (6) Foreign Structured Municipals Equity Unit-linked (In millions) Nine Months Ended September 30, 2021 Balance, beginning of period $ 24,101 $ 117 $ 5,289 $ — $ 150 $ 701 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) (28) — 36 — 16 53 Total realized/unrealized gains (losses) included in AOCI (1,171) (1) 9 — — — Purchases (3) 3,395 13 1,333 34 10 20 Sales (3) (951) (7) (1,049) — (21) (16) Issuances (3) — — — — — — Settlements (3) — — — — — — Transfers into Level 3 (4) 139 13 256 — — 86 Transfers out of Level 3 (4) (749) (29) (294) — (4) (11) Balance, end of period $ 24,736 $ 106 $ 5,580 $ 34 $ 151 $ 833 Nine Months Ended September 30, 2020 Balance, beginning of period $ 14,229 $ 117 $ 4,458 $ 7 $ 430 $ 625 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) (80) (1) 30 — 2 8 Total realized/unrealized gains (losses) included in AOCI 371 (1) (18) 1 — — Purchases (3) 3,653 12 2,067 10 9 20 Sales (3) (911) (7) (704) — (105) (99) Issuances (3) — — — — — — Settlements (3) — — — — — — Transfers into Level 3 (4) 5,416 3 73 — — 153 Transfers out of Level 3 (4) (535) (14) (494) (7) (184) (91) Balance, end of period $ 22,143 $ 109 $ 5,412 $ 11 $ 152 $ 616 Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2021 (5) $ (21) $ — $ 33 $ — $ 11 $ 53 Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2020 (5) $ (42) $ (2) $ 36 $ — $ 1 $ 10 Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2021 (5) $ (1,141) $ (1) $ 11 $ — $ — $ — Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2020 (5) $ 350 $ 2 $ (12) $ 1 $ — $ — Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Short-term Residential Other Net Net Embedded Separate (In millions) Nine Months Ended September 30, 2021 Balance, beginning of period $ 43 $ 165 $ 573 $ 594 $ (1,141) $ 1,079 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) 1 (3) 70 (490) 716 14 Total realized/unrealized gains (losses) included in AOCI (2) — — (365) 22 — Purchases (3) 55 — 299 14 — 336 Sales (3) (37) (11) (72) — — (43) Issuances (3) — — — (6) — (1) Settlements (3) — (17) — 43 (184) 6 Transfers into Level 3 (4) — — — 1 — 10 Transfers out of Level 3 (4) (3) — (25) (1) — (2) Balance, end of period $ 57 $ 134 $ 845 $ (210) $ (587) $ 1,399 Nine Months Ended September 30, 2020 Balance, beginning of period $ 32 $ 188 $ 455 $ (146) $ (742) $ 980 Total realized/unrealized gains (losses) included in net income (loss) (1), (2) (6) 10 (11) 163 (643) (2) Total realized/unrealized gains (losses) included in AOCI (1) — — 980 (21) — Purchases (3) 2 — 42 — — 204 Sales (3) (17) (7) — — — (95) Issuances (3) — — — — — (4) Settlements (3) — (15) — (253) (192) 1 Transfers into Level 3 (4) 9 — — — — 10 Transfers out of Level 3 (4) (16) — — (7) — (5) Balance, end of period $ 3 $ 176 $ 486 $ 737 $ (1,598) $ 1,089 Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2021 (5) $ — $ (7) $ 66 $ (392) $ 715 $ — Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at September 30, 2020 (5) $ (6) $ 6 $ (7) $ 3 $ (653) $ — Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2021 (5) $ — $ — $ — $ (206) $ 22 $ — Changes in unrealized gains (losses) included in AOCI for the instruments still held at September 30, 2020 (5) $ (1) $ — $ — $ 801 $ (20) $ — __________________ (1) Amortization of premium/accretion of discount is included within net investment income. Impairments charged to net income (loss) on securities are included in net investment gains (losses), while changes in estimated fair value of residential mortgage loans — FVO are included in net investment income. Lapses associated with net embedded derivatives are included in net derivative gains (losses). Substantially all realized/unrealized gains (losses) included in net income (loss) for net derivatives and net embedded derivatives are reported in net derivative gains (losses). (2) Interest and dividend accruals, as well as cash interest coupons and dividends received, are excluded from the rollforward. (3) Items purchased/issued and then sold/settled in the same period are excluded from the rollforward. Fees attributed to embedded derivatives are included in settlements. (4) Items transferred into and then out of Level 3 in the same period are excluded from the rollforward. (5) Changes in unrealized gains (losses) included in net income (loss) and included in AOCI relate to assets and liabilities still held at the end of the respective periods. Substantially all changes in unrealized gains (losses) included in net income (loss) for net derivatives and net embedded derivatives are reported in net derivative gains (losses). (6) Comprised of U.S. and foreign corporate securities. (7) Freestanding derivative assets and liabilities are presented net for purposes of the rollforward. (8) Embedded derivative assets and liabilities are presented net for purposes of the rollforward. (9) Investment performance related to separate account assets is fully offset by corresponding amounts credited to contractholders within separate account liabilities. Therefore, such changes in estimated fair value are not recorded in net income (loss). For the purpose of this disclosure, these changes are presented within net investment gains (losses). Separate account assets and liabilities are presented net for the purposes of the rollforward. |
Fair Value Option | The following table presents information for residential mortgage loans which are accounted for under the FVO and were initially measured at fair value. September 30, 2021 December 31, 2020 (In millions) Unpaid principal balance $ 135 $ 172 Difference between estimated fair value and unpaid principal balance (1) (7) Carrying value at estimated fair value $ 134 $ 165 Loans in nonaccrual status $ 32 $ 45 Loans more than 90 days past due $ 16 $ 27 Loans in nonaccrual status or more than 90 days past due, or both — difference between aggregate estimated fair value and unpaid principal balance $ (6) $ (13) |
Nonrecurring Fair Value Measurements | The following table presents information for assets measured at estimated fair value on a nonrecurring basis during the periods and still held at the reporting dates (for example, when there is evidence of impairment), using significant unobservable inputs (Level 3). September 30, December 31, Three Months Nine Months 2021 2020 2021 2020 2021 2020 Carrying Value After Measurement Gains (Losses) (In millions) Mortgage loans, net (1) $ 389 $ 408 $ (16) $ (43) $ (41) $ (52) __________________ (1) Estimated fair values for impaired mortgage loans are based on estimated fair value of the underlying collateral. |
Fair Value of Financial Instruments Carried at Other Than Fair Value | The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows at: September 30, 2021 (1) Fair Value Hierarchy Carrying Value Level 1 Level 2 Level 3 Total Estimated Fair Value (In millions) Assets Mortgage loans (2) $ 80,830 $ — $ — $ 84,846 $ 84,846 Policy loans $ 9,186 $ — $ — $ 10,968 $ 10,968 Other invested assets $ 1,053 $ — $ 791 $ 262 $ 1,053 Premiums, reinsurance and other receivables $ 2,582 $ — $ 755 $ 2,015 $ 2,770 Other assets $ 296 $ — $ 101 $ 192 $ 293 Liabilities Policyholder account balances $ 125,437 $ — $ — $ 130,454 $ 130,454 Long-term debt $ 13,923 $ — $ 16,825 $ — $ 16,825 Collateral financing arrangement $ 806 $ — $ — $ 669 $ 669 Junior subordinated debt securities $ 3,155 $ — $ 4,589 $ — $ 4,589 Other liabilities $ 3,328 $ — $ 1,737 $ 2,261 $ 3,998 Separate account liabilities $ 97,752 $ — $ 97,752 $ — $ 97,752 December 31, 2020 (1) Fair Value Hierarchy Carrying Level 1 Level 2 Level 3 Total (In millions) Assets Mortgage loans (2) $ 83,754 $ — $ — $ 88,675 $ 88,675 Policy loans $ 9,493 $ — $ — $ 11,598 $ 11,598 Other invested assets $ 1,188 $ — $ 814 $ 374 $ 1,188 Premiums, reinsurance and other receivables $ 2,729 $ — $ 908 $ 2,070 $ 2,978 Other assets $ 300 $ — $ 111 $ 190 $ 301 Liabilities Policyholder account balances $ 126,458 $ — $ — $ 134,569 $ 134,569 Long-term debt $ 14,492 $ — $ 18,332 $ — $ 18,332 Collateral financing arrangement $ 845 $ — $ — $ 710 $ 710 Junior subordinated debt securities $ 3,153 $ — $ 4,604 $ — $ 4,604 Other liabilities $ 2,113 $ — $ 527 $ 2,606 $ 3,133 Separate account liabilities $ 115,682 $ — $ 115,682 $ — $ 115,682 _________________ (1) Excludes amounts for financial instruments reclassified to assets held-for-sale or liabilities held-for-sale. See Note 3 for information on the Company’s business dispositions. (2) Includes mortgage loans measured at estimated fair value on a nonrecurring basis and excludes mortgage loans measured at estimated fair value on a recurring basis. |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Equity [Abstract] | |
Schedule of Stock by Class | Preferred stock authorized, issued and outstanding was as follows: September 30, 2021 December 31, 2020 Series Shares Shares Issued and Outstanding Shares Shares Issued and Outstanding Floating Rate Non-Cumulative Preferred Stock, Series A 27,600,000 24,000,000 27,600,000 24,000,000 5.25% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C (1) — — 1,500,000 500,000 5.875% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series D 500,000 500,000 500,000 500,000 5.625% Non-Cumulative Preferred Stock, Series E 32,200 32,200 32,200 32,200 4.75% Non-Cumulative Preferred Stock, Series F 40,000 40,000 40,000 40,000 3.85% Fixed Rate Reset Non-Cumulative Preferred Stock, Series G 1,000,000 1,000,000 1,000,000 1,000,000 Series A Junior Participating Preferred Stock 10,000,000 — 10,000,000 — Not designated 160,827,800 — 159,327,800 — Total 200,000,000 25,572,200 200,000,000 26,072,200 __________________ (1) On May 17, 2021, the outstanding 500,000 shares of MetLife, Inc.’s 5.25% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C (the “Series C preferred stock”) were irrevocably called for redemption, and on June 15, 2021, MetLife, Inc. redeemed and canceled the shares. |
Class of Stock [Line Items] | |
Class of Treasury Stock [Table Text Block] | MetLife, Inc. announced that its Board of Directors authorized common stock repurchases as follows: Authorization Remaining at Announcement Date Authorization Amount September 30, 2021 (In millions) August 4, 2021 $ 3,000 $ 2,708 December 11, 2020 $ 3,000 $ — July 31, 2019 $ 2,000 $ — |
Components of Accumulated Other Comprehensive Income (Loss) | Information regarding changes in the balances of each component of AOCI attributable to MetLife, Inc. was as follows: Three Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 17,535 $ 1,073 $ (4,463) $ (1,836) $ 12,309 Other comprehensive income (loss) before reclassifications (633) 442 (421) 5 (607) Deferred income tax benefit (expense) 208 (102) (4) (1) 101 AOCI before reclassifications, net of income tax 17,110 1,413 (4,888) (1,832) 11,803 Amounts reclassified from AOCI (91) 236 — 30 175 Deferred income tax benefit (expense) 22 (54) — (3) (35) Amounts reclassified from AOCI, net of income tax (69) 182 — 27 140 Sale of subsidiary, net of income tax (2) 22 — 146 — 168 Balance, end of period $ 17,063 $ 1,595 $ (4,742) $ (1,805) $ 12,111 Three Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 21,759 $ 4,154 $ (5,382) $ (1,968) $ 18,563 Other comprehensive income (loss) before reclassifications (2,212) (846) 507 (3) (2,554) Deferred income tax benefit (expense) 190 207 (4) 1 394 AOCI before reclassifications, net of income tax 19,737 3,515 (4,879) (1,970) 16,403 Amounts reclassified from AOCI (64) (457) — 21 (500) Deferred income tax benefit (expense) 41 97 — (5) 133 Amounts reclassified from AOCI, net of income tax (23) (360) — 16 (367) Balance, end of period $ 19,714 $ 3,155 $ (4,879) $ (1,954) $ 16,036 Nine Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 22,217 $ 1,513 $ (3,795) $ (1,863) $ 18,072 Other comprehensive income (loss) before reclassifications (6,512) (172) (1,168) 9 (7,843) Deferred income tax benefit (expense) 1,584 39 (40) (2) 1,581 AOCI before reclassifications, net of income tax 17,289 1,380 (5,003) (1,856) 11,810 Amounts reclassified from AOCI (76) 279 — 61 264 Deferred income tax benefit (expense) 18 (64) — (10) (56) Amounts reclassified from AOCI, net of income tax (58) 215 — 51 208 Sale of subsidiaries, net of income tax (3) (168) — 261 — 93 Balance, end of period $ 17,063 $ 1,595 $ (4,742) $ (1,805) $ 12,111 Nine Months Unrealized Unrealized Foreign Defined Total (In millions) Balance, beginning of period $ 18,283 $ 1,698 $ (4,927) $ (2,002) $ 13,052 Other comprehensive income (loss) before reclassifications 2,674 2,202 76 (3) 4,949 Deferred income tax benefit (expense) (785) (461) (28) 1 (1,273) AOCI before reclassifications, net of income tax 20,172 3,439 (4,879) (2,004) 16,728 Amounts reclassified from AOCI (297) (359) — 64 (592) Deferred income tax benefit (expense) 87 75 — (14) 148 Amounts reclassified from AOCI, net of income tax (210) (284) — 50 (444) Sale of subsidiary, net of income tax (248) — — — (248) Balance, end of period $ 19,714 $ 3,155 $ (4,879) $ (1,954) $ 16,036 __________________ (1) See Note 6 for information on offsets to investments related to policyholder liabilities, DAC, VOBA and DSI. (2) See Note 3 for information on the sale of MetLife Seguros. (3) See Note 3 for information on the Company’s business dispositions . |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | Information regarding amounts reclassified out of each component of AOCI was as follows: Three Months Nine Months 2021 2020 2021 2020 AOCI Components Amounts Reclassified from AOCI Consolidated Statements of (In millions) Net unrealized investment gains (losses): Net unrealized investment gains (losses) $ 97 $ 65 $ 42 $ 320 Net investment gains (losses) Net unrealized investment gains (losses) (4) (8) (13) (18) Net investment income Net unrealized investment gains (losses) (2) 7 47 (5) Net derivative gains (losses) Net unrealized investment gains (losses), before income tax 91 64 76 297 Income tax (expense) benefit (22) (41) (18) (87) Net unrealized investment gains (losses), net of income tax 69 23 58 210 Unrealized gains (losses) on derivatives - cash flow hedges: Interest rate derivatives 14 9 41 24 Net investment income Interest rate derivatives 6 10 54 58 Net investment gains (losses) Interest rate derivatives 1 1 2 2 Other expenses Foreign currency exchange rate derivatives 2 2 6 3 Net investment income Foreign currency exchange rate derivatives (259) 435 (383) 271 Net investment gains (losses) Foreign currency exchange rate derivatives — — 1 1 Other expenses Gains (losses) on cash flow hedges, before income tax (236) 457 (279) 359 Income tax (expense) benefit 54 (97) 64 (75) Gains (losses) on cash flow hedges, net of income tax (182) 360 (215) 284 Defined benefit plans adjustment: (1) Amortization of net actuarial gains (losses) (34) (26) (87) (78) Amortization of prior service (costs) credit 4 5 26 14 Amortization of defined benefit plan items, before income tax (30) (21) (61) (64) Income tax (expense) benefit 3 5 10 14 Amortization of defined benefit plan items, net of income tax (27) (16) (51) (50) Total reclassifications, net of income tax $ (140) $ 367 $ (208) $ 444 __________________ (1) These AOCI components are included in the computation of net periodic benefit costs. See Note 12. |
Preferred Stock | |
Class of Stock [Line Items] | |
Dividends Declared [Table Text Block] | The per share and aggregate dividends declared for MetLife, Inc.’s preferred stock were as follows: Three Month Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Series Per Share Aggregate Per Share Aggregate Per Share Aggregate Per Share Aggregate (In million, except per share data) A $ 0.256 $ 6 $ 0.256 $ 6 $ 0.762 $ 18 $ 0.762 $ 18 C $ — — $ 9.940 15 $ 19.085 10 $ 36.190 54 D $ 29.375 14 $ 29.375 15 $ 58.750 29 $ 58.750 30 E $ 351.563 11 $ 351.563 11 $ 1,054.689 34 $ 1,054.689 34 F $ 296.875 12 $ 296.875 12 $ 890.625 36 $ 791.667 32 G $ 19.250 20 $ — — $ 39.035 39 $ — — Total $ 63 $ 59 $ 166 $ 168 |
Other Revenues and Other Expe_2
Other Revenues and Other Expenses (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Other Income and Expenses [Abstract] | |
Disaggregation of Revenue | Information on other revenues, which primarily includes fees related to service contracts from customers, was as follows: Three Months Nine Months 2021 2020 2021 2020 (In millions) Vision fee for service arrangements (1) $ 135 $ — $ 410 $ — Prepaid legal plans 107 100 324 300 Fee-based investment management 95 82 266 232 Recordkeeping and administrative services (2) 54 50 160 145 Administrative services-only contracts 56 54 175 164 Other revenue from service contracts from customers 69 45 210 159 Total revenues from service contracts from customers 516 331 1,545 1,000 Other 147 124 413 350 Total other revenues $ 663 $ 455 $ 1,958 $ 1,350 __________________ (1) For information regarding the Company’s acquisition of Versant Health, Inc., see Note 3 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report. (2) Related to products and businesses no longer actively marketed by the Company. |
Other Expenses | Information on other expenses was as follows: Three Months Nine Months 2021 2020 2021 2020 (In millions) Employee-related costs (1) $ 794 $ 866 $ 2,576 $ 2,577 Third party staffing costs 353 309 1,001 968 General and administrative expenses 212 172 455 553 Pension, postretirement and postemployment benefit costs 43 37 94 113 Premium taxes, other taxes, and licenses & fees 144 194 480 563 Commissions and other variable expenses 1,323 1,376 4,147 4,099 Capitalization of DAC (635) (764) (2,052) (2,209) Amortization of DAC and VOBA 816 1,066 1,943 2,414 Amortization of negative VOBA (6) (15) (25) (35) Interest expense on debt 240 229 696 683 Total other expenses $ 3,284 $ 3,470 $ 9,315 $ 9,726 __________________ (1) Includes ($15) million and ($89) million for the three months and nine months ended September 30, 2021, respectively, and ($44) million and ($84) million for the three months and nine months ended September 30, 2020, respectively, for the net change in cash surrender value of investments in certain life insurance policies, net of premiums paid. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Retirement Benefits [Abstract] | |
Net periodic benefit costs | The components of net periodic benefit costs, reported in other expenses, were as follows: Three Months 2021 2020 Pension Other Pension Other (In millions) Service costs $ 58 $ 2 $ 62 $ 2 Interest costs 89 9 89 10 Expected return on plan assets (124) (14) (132) (15) Amortization of net actuarial (gains) losses 38 (6) 45 (19) Amortization of prior service costs (credit) (6) — (4) (1) Net periodic benefit costs (credit) $ 55 $ (9) $ 60 $ (23) Nine Months 2021 2020 Pension Other Pension Other (In millions) Service costs $ 177 $ 4 $ 185 $ 4 Interest costs 250 27 267 31 Curtailment (gains) losses (1) (17) — — — Expected return on plan assets (381) (42) (396) (46) Amortization of net actuarial (gains) losses 115 (33) 134 (56) Amortization of prior service costs (credit) (11) — (12) (2) Net periodic benefit costs (credit) $ 133 $ (44) $ 178 $ (69) __________________ (1) See Note 3 for information on the Company’s business dispositions. |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | The following table presents the weighted average shares, basic earnings per common share and diluted earnings per common share: Three Months Nine Months 2021 2020 2021 2020 (In millions, except per share data) Weighted Average Shares: Weighted average common stock outstanding - basic 854.9 908.7 871.1 910.5 Incremental common shares from assumed exercise or issuance of stock-based awards 6.3 5.0 6.4 5.1 Weighted average common stock outstanding - diluted 861.2 913.7 877.5 915.6 Net Income (Loss): Net income (loss) $ 1,589 $ 709 $ 5,364 $ 5,260 Less: Net income (loss) attributable to noncontrolling interests 5 3 15 11 Less: Preferred stock dividends 63 59 166 168 Preferred stock redemption premium — 14 6 14 Net income (loss) available to MetLife, Inc.’s common shareholders $ 1,521 $ 633 $ 5,177 $ 5,067 Basic $ 1.78 $ 0.70 $ 5.94 $ 5.57 Diluted $ 1.77 $ 0.69 $ 5.90 $ 5.53 |
Business, Basis of Presentati_3
Business, Basis of Presentation and Summary of Significant Accounting Policies (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2021Segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of segments | 5 |
Segment Information (Earnings)
Segment Information (Earnings) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Revenues | ||||
Premiums | $ 9,455 | $ 9,935 | $ 28,914 | $ 28,137 |
Universal life and investment-type product policy fees | 1,521 | 1,497 | 4,334 | 4,227 |
Net investment income | 5,568 | 4,729 | 16,162 | 11,877 |
Other revenues | 663 | 455 | 1,958 | 1,350 |
Net investment gains (losses) | (84) | (20) | 1,655 | (77) |
Net derivative gains (losses) | (218) | (581) | (2,032) | 2,910 |
Total revenues | 16,905 | 16,015 | 50,991 | 48,424 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 10,292 | 10,206 | 30,703 | 28,477 |
Interest credited to policyholder account balances | 1,287 | 1,416 | 4,153 | 3,458 |
Capitalization of DAC | (635) | (764) | (2,052) | (2,209) |
Amortization of DAC and VOBA | 816 | 1,066 | 1,943 | 2,414 |
Amortization of negative VOBA | (6) | (15) | (25) | (35) |
Interest expense on debt | 240 | 229 | 696 | 683 |
Other expenses | 2,869 | 2,954 | 8,753 | 8,873 |
Total expenses | 14,863 | 15,092 | 44,171 | 41,661 |
Provision for income tax expense (benefit) | 453 | 214 | 1,456 | 1,503 |
Net income (loss) | 1,589 | 709 | 5,364 | 5,260 |
Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 9,398 | 9,935 | 27,992 | 28,085 |
Universal life and investment-type product policy fees | 1,437 | 1,469 | 4,189 | 4,122 |
Net investment income | 5,668 | 4,688 | 16,079 | 12,453 |
Other revenues | 584 | 416 | 1,773 | 1,230 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 17,087 | 16,508 | 50,033 | 45,890 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 10,111 | 9,969 | 29,782 | 28,045 |
Interest credited to policyholder account balances | 1,167 | 1,149 | 3,458 | 3,528 |
Capitalization of DAC | (620) | (764) | (1,948) | (2,204) |
Amortization of DAC and VOBA | 758 | 995 | 1,806 | 2,302 |
Amortization of negative VOBA | (6) | (15) | (25) | (35) |
Interest expense on debt | 240 | 229 | 695 | 683 |
Other expenses | 2,760 | 2,899 | 8,314 | 8,697 |
Total expenses | 14,410 | 14,462 | 42,082 | 41,016 |
Provision for income tax expense (benefit) | 552 | 409 | 1,669 | 921 |
Adjusted earnings | 2,125 | 1,637 | 6,282 | 3,953 |
Segment Reconciling Items [Member] | ||||
Revenues | ||||
Premiums | 57 | 0 | 922 | 52 |
Universal life and investment-type product policy fees | 84 | 28 | 145 | 105 |
Net investment income | (100) | 41 | 83 | (576) |
Other revenues | 79 | 39 | 185 | 120 |
Net investment gains (losses) | (84) | (20) | 1,655 | (77) |
Net derivative gains (losses) | (218) | (581) | (2,032) | 2,910 |
Total revenues | (182) | (493) | 958 | 2,534 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 181 | 237 | 921 | 432 |
Interest credited to policyholder account balances | 120 | 267 | 695 | (70) |
Capitalization of DAC | (15) | 0 | (104) | (5) |
Amortization of DAC and VOBA | 58 | 71 | 137 | 112 |
Amortization of negative VOBA | 0 | 0 | 0 | 0 |
Interest expense on debt | 0 | 0 | 1 | 0 |
Other expenses | 109 | 55 | 439 | 176 |
Total expenses | 453 | 630 | 2,089 | 645 |
Provision for income tax expense (benefit) | (99) | (195) | (213) | 582 |
U.S. | Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 5,746 | 6,333 | 16,919 | 17,191 |
Universal life and investment-type product policy fees | 279 | 263 | 858 | 806 |
Net investment income | 2,098 | 1,827 | 6,106 | 5,018 |
Other revenues | 383 | 237 | 1,159 | 717 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 8,506 | 8,660 | 25,042 | 23,732 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 6,118 | 6,108 | 17,999 | 16,581 |
Interest credited to policyholder account balances | 362 | 381 | 1,080 | 1,251 |
Capitalization of DAC | (17) | (119) | (48) | (353) |
Amortization of DAC and VOBA | 26 | 123 | 50 | 357 |
Amortization of negative VOBA | 0 | 0 | 0 | 0 |
Interest expense on debt | 1 | 2 | 4 | 6 |
Other expenses | 886 | 1,026 | 2,695 | 3,104 |
Total expenses | 7,376 | 7,521 | 21,780 | 20,946 |
Provision for income tax expense (benefit) | 235 | 239 | 681 | 583 |
Adjusted earnings | 895 | 900 | 2,581 | 2,203 |
Asia | Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 1,594 | 1,654 | 4,861 | 4,874 |
Universal life and investment-type product policy fees | 477 | 595 | 1,371 | 1,445 |
Net investment income | 1,354 | 1,088 | 3,776 | 2,792 |
Other revenues | 17 | 16 | 54 | 44 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 3,442 | 3,353 | 10,062 | 9,155 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 1,220 | 1,291 | 3,750 | 3,867 |
Interest credited to policyholder account balances | 513 | 470 | 1,498 | 1,362 |
Capitalization of DAC | (373) | (431) | (1,203) | (1,203) |
Amortization of DAC and VOBA | 470 | 506 | 1,080 | 1,105 |
Amortization of negative VOBA | (5) | (14) | (20) | (30) |
Interest expense on debt | 0 | 0 | 0 | 0 |
Other expenses | 811 | 869 | 2,542 | 2,540 |
Total expenses | 2,636 | 2,691 | 7,647 | 7,641 |
Provision for income tax expense (benefit) | 237 | 197 | 703 | 443 |
Adjusted earnings | 569 | 465 | 1,712 | 1,071 |
Latin America | Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 705 | 529 | 1,936 | 1,658 |
Universal life and investment-type product policy fees | 274 | 225 | 831 | 733 |
Net investment income | 306 | 221 | 913 | 699 |
Other revenues | 9 | 7 | 30 | 28 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 1,294 | 982 | 3,710 | 3,118 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 885 | 575 | 2,370 | 1,634 |
Interest credited to policyholder account balances | 63 | 52 | 182 | 178 |
Capitalization of DAC | (109) | (84) | (304) | (258) |
Amortization of DAC and VOBA | 62 | 62 | 205 | 206 |
Amortization of negative VOBA | 0 | 0 | 0 | 0 |
Interest expense on debt | 2 | 1 | 4 | 3 |
Other expenses | 363 | 313 | 1,041 | 965 |
Total expenses | 1,266 | 919 | 3,498 | 2,728 |
Provision for income tax expense (benefit) | (1) | 24 | 46 | 124 |
Adjusted earnings | 29 | 39 | 166 | 266 |
EMEA | Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 532 | 551 | 1,751 | 1,676 |
Universal life and investment-type product policy fees | 128 | 116 | 302 | 324 |
Net investment income | 46 | 67 | 171 | 199 |
Other revenues | 10 | 13 | 39 | 37 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 716 | 747 | 2,263 | 2,236 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 268 | 304 | 944 | 877 |
Interest credited to policyholder account balances | 17 | 29 | 66 | 83 |
Capitalization of DAC | (110) | (122) | (359) | (367) |
Amortization of DAC and VOBA | 118 | 125 | 274 | 340 |
Amortization of negative VOBA | (1) | (1) | (5) | (5) |
Interest expense on debt | 0 | 0 | 0 | 0 |
Other expenses | 308 | 340 | 1,006 | 1,000 |
Total expenses | 600 | 675 | 1,926 | 1,928 |
Provision for income tax expense (benefit) | 22 | 20 | 78 | 62 |
Adjusted earnings | 94 | 52 | 259 | 246 |
MetLife Holdings | Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 805 | 876 | 2,471 | 2,669 |
Universal life and investment-type product policy fees | 279 | 269 | 826 | 812 |
Net investment income | 1,771 | 1,427 | 4,960 | 3,723 |
Other revenues | 57 | 61 | 188 | 166 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 2,912 | 2,633 | 8,445 | 7,370 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 1,611 | 1,697 | 4,683 | 5,063 |
Interest credited to policyholder account balances | 212 | 217 | 632 | 654 |
Capitalization of DAC | (8) | (5) | (25) | (15) |
Amortization of DAC and VOBA | 80 | 177 | 190 | 288 |
Amortization of negative VOBA | 0 | 0 | 0 | 0 |
Interest expense on debt | 1 | 2 | 4 | 5 |
Other expenses | 255 | 231 | 752 | 698 |
Total expenses | 2,151 | 2,319 | 6,236 | 6,693 |
Provision for income tax expense (benefit) | 155 | 61 | 449 | 127 |
Adjusted earnings | 606 | 253 | 1,760 | 550 |
Corporate & Other | Operating Segments [Member] | ||||
Revenues | ||||
Premiums | 16 | (8) | 54 | 17 |
Universal life and investment-type product policy fees | 0 | 1 | 1 | 2 |
Net investment income | 93 | 58 | 153 | 22 |
Other revenues | 108 | 82 | 303 | 238 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Net derivative gains (losses) | 0 | 0 | 0 | 0 |
Total revenues | 217 | 133 | 511 | 279 |
Expenses | ||||
Policyholder benefits and claims and policyholder dividends | 9 | (6) | 36 | 23 |
Interest credited to policyholder account balances | 0 | 0 | 0 | 0 |
Capitalization of DAC | (3) | (3) | (9) | (8) |
Amortization of DAC and VOBA | 2 | 2 | 7 | 6 |
Amortization of negative VOBA | 0 | 0 | 0 | 0 |
Interest expense on debt | 236 | 224 | 683 | 669 |
Other expenses | 137 | 120 | 278 | 390 |
Total expenses | 381 | 337 | 995 | 1,080 |
Provision for income tax expense (benefit) | (96) | (132) | (288) | (418) |
Adjusted earnings | $ (68) | $ (72) | $ (196) | $ (383) |
Segment Information (Total Asse
Segment Information (Total Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 761,664 | $ 795,146 |
U.S. | ||
Segment Reporting Information [Line Items] | ||
Total assets | 282,606 | 291,483 |
Asia | ||
Segment Reporting Information [Line Items] | ||
Total assets | 169,699 | 173,884 |
Latin America | ||
Segment Reporting Information [Line Items] | ||
Total assets | 60,592 | 75,047 |
EMEA | ||
Segment Reporting Information [Line Items] | ||
Total assets | 27,523 | 28,372 |
MetLife Holdings | ||
Segment Reporting Information [Line Items] | ||
Total assets | 180,239 | 184,566 |
Corporate & Other | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 41,005 | $ 41,794 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2021Segment | |
Segment Reporting [Abstract] | |
Number of segments | 5 |
Disposition of MetLife Seguros
Disposition of MetLife Seguros S.A. (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||
Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Net income (loss) | $ 1,589 | $ 709 | $ 3,775 | $ 4,551 | $ 5,364 | $ 5,260 | |
Disposal Group, Including Discontinued Operation, Assets | 7,462 | $ 0 | 7,462 | $ 0 | |||
MetLife Seguros S.A [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Net income (loss) | $ (205) | $ (205) | |||||
Disposal Group, Including Discontinued Operation, Assets | $ 201 |
Pending Disposition of MetLife
Pending Disposition of MetLife Poland and Greece - Narrative (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Jul. 31, 2021 | Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Net income (loss) | $ 1,589 | $ 709 | $ 3,775 | $ 4,551 | $ 5,364 | $ 5,260 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 2,042 | 923 | 6,820 | 6,763 | |||
MetLife Poland and Greece | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Agreed upon proceeds from divestiture of business. | $ 738 | ||||||
Dividends Receivable | $ 43 | ||||||
Net income (loss) | (202) | ||||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ 12 | $ (5) | $ 40 | $ 29 |
Pending Disposition of MetLif_2
Pending Disposition of MetLife Poland and Greece (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | $ 7,462 | $ 0 | ||
Cash and cash equivalents | 103 | $ 765 | 0 | $ 0 |
Liabilities held-for-sale | 6,757 | $ 4,650 | $ 0 | |
MetLife Poland and Greece | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 7,462 | |||
Cash and cash equivalents | 103 | |||
Other | 275 | |||
Liabilities held-for-sale | 6,757 | |||
Other | 133 | |||
MetLife Poland and Greece | Fixed Maturities [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 2,143 | |||
MetLife Poland and Greece | Contractholder-directed equity securities | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 1,098 | |||
MetLife Poland and Greece | Other Investments | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 136 | |||
MetLife Poland and Greece | Investments | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 3,377 | |||
MetLife Poland and Greece | Deferred policy acquisition costs | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 139 | |||
MetLife Poland and Greece | Separate Accounts | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 3,568 | |||
MetLife Poland and Greece | Future policy benefits [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | 940 | |||
MetLife Poland and Greece | Policyholder Account Balances [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | 2,013 | |||
MetLife Poland and Greece | Other Policy-Related Balances | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | 103 | |||
MetLife Poland and Greece | Separate account liabilities | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | $ 3,568 |
Disposition of Metropolitan Pro
Disposition of Metropolitan Property and Casualty Insurance Company (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | $ 7,462 | $ 0 | ||
Cash and cash equivalents | 103 | $ 765 | 0 | $ 0 |
Liabilities held-for-sale | $ 6,757 | 4,650 | $ 0 | |
Metropolitan Property And Casualty Insurance Company | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 7,418 | |||
Cash and cash equivalents | 765 | |||
Goodwill | 328 | |||
Other assets | 143 | |||
Liabilities held-for-sale | 4,650 | |||
Other liabilities | 249 | |||
Metropolitan Property And Casualty Insurance Company | Fixed maturity securities AFS | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 4,096 | |||
Metropolitan Property And Casualty Insurance Company | Equity Securities | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 57 | |||
Metropolitan Property And Casualty Insurance Company | Mortgages [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 355 | |||
Metropolitan Property And Casualty Insurance Company | Other invested assets | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 29 | |||
Metropolitan Property And Casualty Insurance Company | Investments | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 4,537 | |||
Metropolitan Property And Casualty Insurance Company | Accrued investment income | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 38 | |||
Metropolitan Property And Casualty Insurance Company | Receivables [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 1,411 | |||
Metropolitan Property And Casualty Insurance Company | Deferred policy acquisition costs | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal Group, Including Discontinued Operation, Assets | 196 | |||
Metropolitan Property And Casualty Insurance Company | Future policy benefits | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | 3,506 | |||
Metropolitan Property And Casualty Insurance Company | Other Policy-Related Balances | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | 33 | |||
Metropolitan Property And Casualty Insurance Company | Payables for collateral under securities loaned and other transactions | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liabilities held-for-sale | $ 862 |
Disposition of Metropolitan P_2
Disposition of Metropolitan Property and Casualty Insurance Company - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Net investment gains (losses) | $ (84) | $ (20) | $ 1,655 | $ (77) | ||
Gain (Loss) on Sale of Business | 1,589 | 709 | $ 3,775 | $ 4,551 | 5,364 | 5,260 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ 2,042 | 923 | 6,820 | 6,763 | ||
Metropolitan Property And Casualty Insurance Company | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Proceeds from divestiture of business. | 3,900 | |||||
Net investment gains (losses) | 1,400 | |||||
Gain (Loss) on Sale of Business | 1,100 | |||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ 20 | $ 121 | $ 254 |
Insurance (Guarantees Related t
Insurance (Guarantees Related to Annuity Contracts) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Variable Annuity Guarantees: | Guaranteed Death Benefits | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Total account value | $ 62,462 | $ 65,044 |
Separate account value (1) | 41,617 | 42,585 |
Net amount at risk | $ 1,631 | $ 1,579 |
Average attained age of contractholders | 69 years | 68 years |
Variable Annuity Guarantees: | Guaranteed Annuitization Benefits | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Total account value | $ 23,049 | $ 24,170 |
Separate account value (1) | 21,380 | 22,370 |
Net amount at risk | $ 519 | $ 614 |
Average attained age of contractholders | 67 years | 66 years |
Other Annuity Guarantees: | Guaranteed Annuitization Benefits | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Total account value | $ 5,009 | $ 6,030 |
Net amount at risk | $ 193 | $ 459 |
Average attained age of contractholders | 56 years | 50 years |
Insurance (Guarantees Related_2
Insurance (Guarantees Related to Universal and Variable Life Contracts) (Details) - Universal and Variable Life Contracts - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Secondary Guarantees | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Total account value (1), (3) | $ 13,532 | $ 13,426 |
Net amount at risk (7) | $ 78,416 | $ 82,940 |
Average attained age of policyholders | 55 years | 54 years |
Paid-Up Guarantees | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Total account value (1), (3) | $ 2,718 | $ 2,808 |
Net amount at risk (7) | $ 12,878 | $ 13,557 |
Average attained age of policyholders | 66 years | 65 years |
Insurance (Rollforward of Unpai
Insurance (Rollforward of Unpaid Claims) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Balance, beginning of period | $ 18,591 | $ 19,216 |
Less: Reinsurance recoverables | 2,417 | 2,377 |
Net balance, beginning of period | 16,174 | 16,839 |
Incurred related to: | ||
Current period | 20,667 | 19,664 |
Prior periods (1) | 960 | 234 |
Total incurred | 21,627 | 19,898 |
Paid related to: | ||
Current period | (14,426) | (13,803) |
Prior periods | (6,416) | (5,378) |
Total paid | (20,842) | (19,181) |
Net balance, end of period | 16,840 | 17,556 |
Add: Reinsurance recoverables | 2,910 | 2,521 |
Balance, end of period (included in future policy benefits and other policy-related balances) | 19,750 | 20,077 |
MetLife Poland and Greece | ||
Paid related to: | ||
Liability for Unpaid Claims and Claims Adjustment Expense, Adjustments | (55) | 0 |
Disposal Group, Held-for-Sale or Disposed of by Sale | ||
Paid related to: | ||
Liability for Unpaid Claims and Claims Adjustment Expense, Adjustments | $ (64) | $ 0 |
Closed Block (Liabilities and A
Closed Block (Liabilities and Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Closed Block Liabilities | |||
Future policy benefits | $ 38,191 | $ 38,758 | |
Other policy-related balances | 289 | 321 | |
Policyholder dividends payable | 299 | 337 | |
Policyholder dividend obligation | 1,952 | 2,969 | $ 2,020 |
Deferred income tax liability | 175 | 130 | |
Other liabilities | 269 | 172 | |
Total closed block liabilities | 41,175 | 42,687 | |
Assets Designated to the Closed Block | |||
Fixed maturity securities available-for-sale, at estimated fair value | 25,977 | 27,186 | |
Equity securities, at estimated fair value | 21 | 24 | |
Mortgage loans | 6,441 | 6,807 | |
Policy loans | 4,235 | 4,355 | |
Real estate and real estate joint ventures | 575 | 559 | |
Other invested assets | 540 | 468 | |
Total investments | 37,789 | 39,399 | |
Cash and cash equivalents | 173 | 0 | |
Accrued investment income | 391 | 402 | |
Premiums, reinsurance and other receivables | 40 | 50 | |
Current income tax recoverable | 52 | 28 | |
Total assets designated to the closed block | 38,445 | 39,879 | |
Excess of closed block liabilities over assets designated to the closed block | 2,730 | 2,808 | |
AOCI: | |||
Unrealized investment gains (losses), net of income tax | 2,730 | 3,524 | |
Unrealized gains (losses) on derivatives, net of income tax | 100 | 23 | |
Allocated to policyholder dividend obligation, net of income tax | (1,542) | (2,346) | |
Total amounts included in AOCI | 1,288 | 1,201 | |
Maximum future earnings to be recognized from closed block assets and liabilities | $ 4,018 | $ 4,009 |
Closed Block (Policyholder Divi
Closed Block (Policyholder Dividend Obligation) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Closed block policyholder dividend obligation | ||
Balance, beginning of period | $ 2,969 | $ 2,020 |
Change in unrealized investment and derivative gains (losses) | (1,017) | 949 |
Balance, end of period | $ 1,952 | $ 2,969 |
Closed Block (Revenues and Expe
Closed Block (Revenues and Expenses) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Revenues | ||||
Premiums | $ 310 | $ 359 | $ 955 | $ 1,097 |
Net investment income | 390 | 420 | 1,165 | 1,198 |
Net investment gains (losses) | (7) | 1 | (12) | (8) |
Net derivative gains (losses) | 12 | (16) | 19 | 7 |
Total revenues | 705 | 764 | 2,127 | 2,294 |
Expenses | ||||
Policyholder benefits and claims | 522 | 575 | 1,588 | 1,714 |
Policyholder dividends | 127 | 136 | 478 | 572 |
Other expenses | 24 | 27 | 73 | 79 |
Total expenses | 673 | 738 | 2,139 | 2,365 |
Revenues, net of expenses before provision for income tax expense (benefit) | 32 | 26 | (12) | (71) |
Provision for income tax expense (benefit) | 6 | 5 | (3) | (15) |
Revenues, net of expenses and provision for income tax expense (benefit) | $ 26 | $ 21 | $ (9) | $ (56) |
Investments (Fixed Maturity Sec
Investments (Fixed Maturity Securities Available-For-Sale by Sector) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | $ 310,004 | $ 310,811 | ||||
Allowance for Credit Loss for Debt Securities | (68) | $ (99) | (81) | $ (75) | $ (177) | $ 0 |
Gross Unrealized Gains | 33,349 | 45,519 | ||||
Gross Unrealized Losses | 2,247 | 1,440 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 341,038 | 354,809 | ||||
U.S. corporate | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 81,187 | 79,788 | ||||
Allowance for Credit Loss for Debt Securities | (18) | (39) | (44) | (30) | (30) | 0 |
Gross Unrealized Gains | 11,110 | 13,924 | ||||
Gross Unrealized Losses | 267 | 252 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 92,012 | 93,416 | ||||
Foreign government | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 57,889 | 63,243 | ||||
Allowance for Credit Loss for Debt Securities | (19) | (21) | (21) | (29) | (129) | 0 |
Gross Unrealized Gains | 6,273 | 8,883 | ||||
Gross Unrealized Losses | 763 | 406 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 63,380 | 71,699 | ||||
Foreign corporate | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 58,918 | 60,995 | ||||
Allowance for Credit Loss for Debt Securities | (24) | (32) | (16) | (16) | (16) | 0 |
Gross Unrealized Gains | 5,674 | 8,897 | ||||
Gross Unrealized Losses | 646 | 468 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 63,922 | 69,408 | ||||
U.S. government and agency | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 43,072 | 39,094 | ||||
Allowance for Credit Loss for Debt Securities | 0 | 0 | ||||
Gross Unrealized Gains | 5,396 | 8,095 | ||||
Gross Unrealized Losses | 368 | 89 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 48,100 | 47,100 | ||||
RMBS | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 28,716 | 28,415 | ||||
Allowance for Credit Loss for Debt Securities | 0 | 0 | 0 | 0 | (2) | 0 |
Gross Unrealized Gains | 1,669 | 2,062 | ||||
Gross Unrealized Losses | 118 | 42 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 30,267 | 30,435 | ||||
ABS | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 17,203 | 16,963 | ||||
Allowance for Credit Loss for Debt Securities | 0 | 0 | ||||
Gross Unrealized Gains | 227 | 231 | ||||
Gross Unrealized Losses | 27 | 75 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 17,403 | 17,119 | ||||
Municipals | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 11,636 | 10,982 | ||||
Allowance for Credit Loss for Debt Securities | 0 | 0 | ||||
Gross Unrealized Gains | 2,419 | 2,746 | ||||
Gross Unrealized Losses | 15 | 6 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | 14,040 | 13,722 | ||||
CMBS | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 11,383 | 11,331 | ||||
Allowance for Credit Loss for Debt Securities | (7) | $ (7) | 0 | $ 0 | $ 0 | $ 0 |
Gross Unrealized Gains | 581 | 681 | ||||
Gross Unrealized Losses | 43 | 102 | ||||
Estimated Fair Value of Fixed Maturity Securities AFS | $ 11,914 | $ 11,910 |
Investments (Maturities of Fixe
Investments (Maturities of Fixed Maturity Securities) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Available-for-sale Securities, Debt Maturities [Abstract] | ||
Amortized Cost, Due in one year or less | $ 8,543 | |
Amortized Cost, Due after one year through five years | 56,031 | |
Amortized Cost, Due after five years through ten years | 57,297 | |
Amortized Cost, Due after ten years | 130,770 | |
Amortized Cost, Structured Securities | 57,295 | |
Amortized Cost, net of ACL | 309,936 | |
Estimated Fair Value, Due in one year or less | 8,702 | |
Estimated Fair Value, Due after one year through five years | 58,669 | |
Estimated Fair Value, Due after five years through ten years | 63,388 | |
Estimated Fair Value, Due after ten years | 150,695 | |
Estimated Fair Value, Structured Securities | 59,584 | |
Estimated Fair Value of Fixed Maturity Securities AFS | $ 341,038 | $ 354,809 |
Investments (Continuous Gross U
Investments (Continuous Gross Unrealized Losses for Fixed Maturity Securities Available-For-Sale) (Details) $ in Millions | Sep. 30, 2021USD ($) | Dec. 31, 2020USD ($) |
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | $ 50,711 | $ 27,727 |
Less than 12 months Gross Unrealized Loss | $ 1,449 | $ 1,031 |
Total number of securities in an unrealized loss position less than 12 months | 3,545 | 2,177 |
Equal to or Greater than 12 Months Estimated Fair Value | $ 9,349 | $ 6,236 |
Equal to or Greater than 12 Months Gross Unrealized Loss | $ 789 | $ 401 |
Total number of securities in an unrealized loss position equal or greater than 12 months | 793 | 690 |
U.S. corporate | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | $ 6,055 | $ 4,338 |
Less than 12 months Gross Unrealized Loss | 167 | 196 |
Equal to or Greater than 12 Months Estimated Fair Value | 1,390 | 506 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 99 | 50 |
Foreign government | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 8,654 | 6,795 |
Less than 12 months Gross Unrealized Loss | 399 | 305 |
Equal to or Greater than 12 Months Estimated Fair Value | 3,501 | 836 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 364 | 100 |
Foreign corporate | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 9,318 | 4,856 |
Less than 12 months Gross Unrealized Loss | 448 | 321 |
Equal to or Greater than 12 Months Estimated Fair Value | 1,885 | 1,255 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 198 | 147 |
U.S. government and agency | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 15,354 | 4,619 |
Less than 12 months Gross Unrealized Loss | 297 | 87 |
Equal to or Greater than 12 Months Estimated Fair Value | 504 | 33 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 71 | 2 |
RMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 6,466 | 1,531 |
Less than 12 months Gross Unrealized Loss | 99 | 27 |
Equal to or Greater than 12 Months Estimated Fair Value | 521 | 152 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 19 | 14 |
ABS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 2,897 | 3,428 |
Less than 12 months Gross Unrealized Loss | 13 | 26 |
Equal to or Greater than 12 Months Estimated Fair Value | 840 | 2,842 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 14 | 49 |
Municipals | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 667 | 273 |
Less than 12 months Gross Unrealized Loss | 12 | 6 |
Equal to or Greater than 12 Months Estimated Fair Value | 49 | 0 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 3 | 0 |
CMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 1,300 | 1,887 |
Less than 12 months Gross Unrealized Loss | 14 | 63 |
Equal to or Greater than 12 Months Estimated Fair Value | 659 | 612 |
Equal to or Greater than 12 Months Gross Unrealized Loss | 21 | 39 |
Investment Grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | 47,639 | 24,572 |
Less than 12 months Gross Unrealized Loss | 1,329 | 829 |
Equal to or Greater than 12 Months Estimated Fair Value | 8,046 | 5,841 |
Equal to or Greater than 12 Months Gross Unrealized Loss | $ 665 | 350 |
Total number of securities in an unrealized loss position equal or greater than 12 months | 628 | |
Below Investment Grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months Estimated Fair Value | $ 3,072 | 3,155 |
Less than 12 months Gross Unrealized Loss | 120 | 202 |
Equal to or Greater than 12 Months Estimated Fair Value | 1,303 | 395 |
Equal to or Greater than 12 Months Gross Unrealized Loss | $ 124 | $ 51 |
Total number of securities in an unrealized loss position equal or greater than 12 months | 165 |
Investments (ACL for Fixed Matu
Investments (ACL for Fixed Maturity Securities AFS By Sector) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance, beginning of period | $ 99 | $ 177 | $ 81 | $ 0 |
ACL not previously recorded | 18 | 0 | 54 | 215 |
Changes for securities with previously recorded ACL | (2) | (2) | (8) | (13) |
Securities sold or exchanged | (32) | (100) | (44) | (126) |
Securities intended/required to be sold prior to recovery of amortized cost basis | 0 | 0 | 0 | (1) |
Disposition | (2) | 0 | (2) | 0 |
Write-offs | (13) | 0 | (13) | 0 |
Allowance, end of period | 68 | 75 | 68 | 75 |
U.S. corporate | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance, beginning of period | 39 | 30 | 44 | 0 |
ACL not previously recorded | 18 | 0 | 18 | 58 |
Changes for securities with previously recorded ACL | 0 | 4 | 3 | (3) |
Securities sold or exchanged | (26) | (4) | (34) | (24) |
Securities intended/required to be sold prior to recovery of amortized cost basis | 0 | 0 | 0 | (1) |
Disposition | 0 | 0 | 0 | 0 |
Write-offs | (13) | 0 | (13) | 0 |
Allowance, end of period | 18 | 30 | 18 | 30 |
Foreign government | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance, beginning of period | 21 | 129 | 21 | 0 |
ACL not previously recorded | 0 | 0 | 0 | 139 |
Changes for securities with previously recorded ACL | 0 | (4) | 0 | (8) |
Securities sold or exchanged | 0 | (96) | 0 | (102) |
Securities intended/required to be sold prior to recovery of amortized cost basis | 0 | 0 | 0 | 0 |
Disposition | (2) | 0 | (2) | 0 |
Write-offs | 0 | 0 | 0 | 0 |
Allowance, end of period | 19 | 29 | 19 | 29 |
Foreign corporate | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance, beginning of period | 32 | 16 | 16 | 0 |
ACL not previously recorded | 0 | 0 | 25 | 16 |
Changes for securities with previously recorded ACL | (2) | 0 | (7) | 0 |
Securities sold or exchanged | (6) | 0 | (10) | 0 |
Securities intended/required to be sold prior to recovery of amortized cost basis | 0 | 0 | 0 | 0 |
Disposition | 0 | 0 | 0 | 0 |
Write-offs | 0 | 0 | 0 | 0 |
Allowance, end of period | 24 | 16 | 24 | 16 |
RMBS | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance, beginning of period | 0 | 2 | 0 | 0 |
ACL not previously recorded | 0 | 0 | 0 | 2 |
Changes for securities with previously recorded ACL | 0 | (2) | 0 | (2) |
Securities sold or exchanged | 0 | 0 | 0 | 0 |
Securities intended/required to be sold prior to recovery of amortized cost basis | 0 | 0 | 0 | 0 |
Disposition | 0 | 0 | 0 | 0 |
Write-offs | 0 | 0 | 0 | 0 |
Allowance, end of period | 0 | 0 | 0 | 0 |
CMBS | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Allowance, beginning of period | 7 | 0 | 0 | 0 |
ACL not previously recorded | 0 | 0 | 11 | 0 |
Changes for securities with previously recorded ACL | 0 | 0 | (4) | 0 |
Securities sold or exchanged | 0 | 0 | 0 | 0 |
Securities intended/required to be sold prior to recovery of amortized cost basis | 0 | 0 | 0 | 0 |
Disposition | 0 | 0 | 0 | 0 |
Write-offs | 0 | 0 | 0 | 0 |
Allowance, end of period | $ 7 | $ 0 | $ 7 | $ 0 |
Investments (Mortgage Loans by
Investments (Mortgage Loans by Portfolio Segment) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Mortgage Loans, Gross | $ 81,393 | $ 84,344 | ||
Allowance for Credit Loss | (563) | (590) | $ (520) | $ (353) |
Subtotal mortgage loans, net | $ 80,830 | $ 83,754 | ||
Percentage Of mortgage total recorded investment To Mortgage Loans On Real Estate Commercial And Consumer Net | 100.50% | 100.50% | ||
Percentage of Allowance for Credit Losses for Financing Receivables | (0.70%) | (0.70%) | ||
Percentage Of Mortgage Loans Held For Investment Net To Mortgage Loans On Real Estate Commercial And Consumer Net | 99.80% | 99.80% | ||
Total mortgage loans held-for-investment, net | $ 80,964 | $ 83,919 | ||
Percentage Of Loans And Leases Receivable Consumer Other To Mortgage Loans On Real Estate Commercial And Consumer Net | 0.20% | 0.20% | ||
Percentage Of Mortgage Loans On Real Estate To Mortgage Loans On Real Estate Commercial And Consumer Net | 100.00% | 100.00% | ||
Residential mortgage loans - FVO | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage loans held-for-investment, net | $ 134 | $ 165 | ||
Commercial Mortgage Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Mortgage Loans, Gross | 51,336 | 52,434 | ||
Allowance for Credit Loss | $ (274) | $ (252) | (211) | (246) |
Percentage Of Mortgage Loans, Gross | 63.40% | 62.50% | ||
Residential Mortgage Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Mortgage Loans, Gross | $ 11,704 | $ 13,782 | ||
Allowance for Credit Loss | $ (196) | $ (232) | (218) | (55) |
Percentage Of Mortgage Loans, Gross | 14.40% | 16.40% | ||
Agricultural Mortgage Loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Mortgage Loans, Gross | $ 18,353 | $ 18,128 | ||
Allowance for Credit Loss | $ (93) | $ (106) | $ (91) | $ (52) |
Percentage Of Mortgage Loans, Gross | 22.70% | 21.60% |
Investments (Mortgage Loans All
Investments (Mortgage Loans Allowance for Credit Loss Rollforward by Portfolio Segment) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance, beginning of period | $ 590 | $ 353 |
Provision (release) | (15) | 102 |
Adoption of credit loss guidance | 0 | 78 |
Initial credit losses on PCD loans (1) | 3 | 16 |
Charge-offs, net of recoveries | 15 | 29 |
Balance, end of period | 563 | 520 |
Commercial Mortgage Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance, beginning of period | 252 | 246 |
Provision (release) | 22 | 83 |
Adoption of credit loss guidance | 0 | (118) |
Initial credit losses on PCD loans (1) | 0 | 0 |
Charge-offs, net of recoveries | 0 | 0 |
Balance, end of period | 274 | 211 |
Residential Mortgage Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance, beginning of period | 232 | 55 |
Provision (release) | (37) | 13 |
Adoption of credit loss guidance | 0 | 161 |
Initial credit losses on PCD loans (1) | 3 | 16 |
Charge-offs, net of recoveries | 2 | 27 |
Balance, end of period | 196 | 218 |
Agricultural Mortgage Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance, beginning of period | 106 | 52 |
Provision (release) | 0 | 6 |
Adoption of credit loss guidance | 0 | 35 |
Initial credit losses on PCD loans (1) | 0 | 0 |
Charge-offs, net of recoveries | 13 | 2 |
Balance, end of period | $ 93 | $ 91 |
Investments (Credit Quality of
Investments (Credit Quality of Commercial Mortgage Loans) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Mortgage Loans, Gross | $ 81,393 | $ 84,344 |
Commercial Mortgage Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | 4,841 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 6,079 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 8,542 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 7,655 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 6,051 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 15,836 | |
Financing Receivable, Revolving | 2,332 | |
Mortgage Loans, Gross | $ 51,336 | $ 52,434 |
Loans Receivable Commercial Mortgage Percentage | 100.00% | |
Commercial Mortgage Loans | Greater than 1.20x | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 4,308 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 5,540 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 8,034 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 7,492 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 5,578 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 13,817 | |
Financing Receivable, Revolving | 2,064 | |
Mortgage Loans, Gross | $ 46,833 | |
Loans Receivable Commercial Mortgage Percentage | 91.20% | |
Commercial Mortgage Loans | 1.00x - 1.20x | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 87 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 144 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 76 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 83 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 152 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 926 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 1,468 | |
Loans Receivable Commercial Mortgage Percentage | 2.90% | |
Commercial Mortgage Loans | Less than 1.00x | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 446 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 395 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 432 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 80 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 321 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 1,093 | |
Financing Receivable, Revolving | 268 | |
Mortgage Loans, Gross | $ 3,035 | |
Loans Receivable Commercial Mortgage Percentage | 5.90% | |
Commercial Mortgage Loans | Less than 65% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 3,682 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 4,536 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 4,828 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 5,511 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 4,303 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 11,927 | |
Financing Receivable, Revolving | 2,332 | |
Mortgage Loans, Gross | $ 37,119 | |
Loans Receivable Commercial Mortgage Percentage | 72.30% | |
Commercial Mortgage Loans | 65% to 75% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 1,086 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 1,507 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 3,375 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 2,065 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 1,108 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 2,220 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 11,361 | |
Loans Receivable Commercial Mortgage Percentage | 22.10% | |
Commercial Mortgage Loans | 76% to 80% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 66 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 36 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 335 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 180 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 454 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 1,071 | |
Loans Receivable Commercial Mortgage Percentage | 2.10% | |
Commercial Mortgage Loans | Greater than 80% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 7 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 4 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 79 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 460 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 1,235 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 1,785 | |
Loans Receivable Commercial Mortgage Percentage | 3.50% |
Investments (Credit Quality o_2
Investments (Credit Quality of Agricultural and Residential Mortgage Loans) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Mortgage Loans, Gross | $ 81,393 | $ 84,344 |
Mortgage Loans in Process of Foreclosure, Amount | 74 | 103 |
Residential Mortgage Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | 346 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 514 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 1,556 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 704 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 323 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 8,261 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 11,704 | 13,782 |
Loans Receivable Residential Mortgage Percentage | 100.00% | |
Residential Mortgage Loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 344 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 512 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 1,501 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 689 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 319 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 7,898 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 11,263 | |
Loans Receivable Residential Mortgage Percentage | 96.20% | |
Residential Mortgage Loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 2 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 2 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 55 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 15 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 4 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 363 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 441 | |
Loans Receivable Residential Mortgage Percentage | 3.80% | |
Agricultural Mortgage Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 1,795 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 3,485 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 2,220 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 2,866 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 1,007 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 5,982 | |
Financing Receivable, Revolving | 998 | |
Mortgage Loans, Gross | $ 18,353 | $ 18,128 |
Loans Receivable Agricultural Mortgage Percentage | 100.00% | |
Agricultural Mortgage Loans | Less than 65% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 1,460 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 3,092 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 1,972 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 2,749 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 967 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 5,345 | |
Financing Receivable, Revolving | 890 | |
Mortgage Loans, Gross | $ 16,475 | |
Loans Receivable Agricultural Mortgage Percentage | 89.80% | |
Agricultural Mortgage Loans | 65% to 75% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 335 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 393 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 172 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 117 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 40 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 580 | |
Financing Receivable, Revolving | 108 | |
Mortgage Loans, Gross | $ 1,745 | |
Loans Receivable Agricultural Mortgage Percentage | 9.50% | |
Agricultural Mortgage Loans | 76% to 80% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 0 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 11 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 11 | |
Loans Receivable Agricultural Mortgage Percentage | 0.00% | |
Agricultural Mortgage Loans | Greater than 80% | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Financing Receivable, Year One, Originated, Current Fiscal Year | $ 0 | |
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | |
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year | 76 | |
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year | 0 | |
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year | 0 | |
Financing Receivable, Originated, More than Five Years before Current Fiscal Year | 46 | |
Financing Receivable, Revolving | 0 | |
Mortgage Loans, Gross | $ 122 | |
Loans Receivable Agricultural Mortgage Percentage | 0.70% |
Investments (Past Due and Inter
Investments (Past Due and Interest Accrual Status of Mortgage Loans) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | $ 81,393 | $ 84,344 | |
Greater than 90 Days Past Due and Still Accruing Interest | 26 | 91 | |
Financing Receivable, Nonaccrual | 848 | 1,117 | |
Financial Asset, Past Due | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | 612 | 818 | |
Commercial Mortgage Loans | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | 51,336 | 52,434 | |
Greater than 90 Days Past Due and Still Accruing Interest | 15 | 7 | |
Financing Receivable, Nonaccrual | 159 | 317 | $ 176 |
Commercial Mortgage Loans | Financial Asset, Past Due | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | 15 | 10 | |
Residential Mortgage Loans | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | 11,704 | 13,782 | |
Greater than 90 Days Past Due and Still Accruing Interest | 8 | 64 | |
Financing Receivable, Nonaccrual | 438 | 534 | 418 |
Residential Mortgage Loans | Financial Asset, Past Due | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | 441 | 556 | |
Agricultural Mortgage Loans | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | 18,353 | 18,128 | |
Greater than 90 Days Past Due and Still Accruing Interest | 3 | 20 | |
Financing Receivable, Nonaccrual | 251 | 266 | $ 137 |
Agricultural Mortgage Loans | Financial Asset, Past Due | |||
Financing Receivable, Nonaccrual [Line Items] | |||
Mortgage Loans, Gross | $ 156 | $ 252 |
Investments (Real Estate and Re
Investments (Real Estate and Real Estate Joint Ventures) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Real Estate [Line Items] | |||||
Leased real estate investments, Carrying Value | $ 5,216 | $ 5,216 | $ 5,450 | ||
Other real estate investments, Carrying Value | 455 | 455 | 419 | ||
Real estate joint ventures, Carrying Value | 6,511 | 6,511 | 6,064 | ||
Real Estate Investments, Net | 12,182 | 12,182 | $ 11,933 | ||
Income (Loss) from Equity Method Investments | 1,700 | $ 510 | 4,000 | $ 145 | |
Real Estate and Real Estate Joint Ventures | |||||
Real Estate [Line Items] | |||||
Gross Investment Income, Operating | 279 | 104 | 660 | 371 | |
Leased real estate investments | |||||
Real Estate [Line Items] | |||||
Operating Lease, Lease Income | 108 | 115 | 327 | 322 | |
Other real estate investments | |||||
Real Estate [Line Items] | |||||
Operating Lease, Lease Income | 58 | 34 | 144 | 93 | |
Real estate joint ventures | |||||
Real Estate [Line Items] | |||||
Income (Loss) from Equity Method Investments | $ 113 | $ (45) | $ 189 | $ (44) |
Investments (Net Unrealized Inv
Investments (Net Unrealized Investment Gains Losses) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Components of net unrealized investment gains (losses) included in accumulated other comprehensive income | ||
Fixed maturity securities AFS | $ 31,195 | $ 44,415 |
Derivatives | 2,031 | 1,924 |
Other | 354 | 267 |
Subtotal | 33,580 | 46,606 |
Policyholder liabilities | (5,245) | (10,797) |
DAC, VOBA and DSI | (3,274) | (4,050) |
Subtotal | (8,519) | (14,847) |
Deferred income tax benefit (expense) | (6,380) | (8,009) |
Net unrealized investment gains (losses) | 18,681 | 23,750 |
Net unrealized investment gains (losses) attributable to noncontrolling interests | (23) | (20) |
Net unrealized investment gains (losses) attributable to MetLife, Inc. | $ 18,658 | $ 23,730 |
Investments (Changes in Net Unr
Investments (Changes in Net Unrealized Investment Gains Losses) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2021USD ($) | |
Changes In Net Unrealized Investment Gains Losses Included In Accumulated Other Comprehensive Loss [Abstract] | |
Balance, beginning of period | $ 23,730 |
Unrealized investment gains (losses) during the period | (13,026) |
Unrealized investment gains (losses) relating to: | |
Policyholder liabilities | 5,552 |
DAC, VOBA and DSI | 776 |
Deferred income tax benefit (expense) | 1,629 |
Net unrealized investment gains (losses) | 18,661 |
Net unrealized investment gains (losses) attributable to noncontrolling interests | (3) |
Balance, end of period | 18,658 |
Change in net unrealized investment gains (losses) | (5,069) |
Change in net unrealized investment gains (losses) attributable to noncontrolling interests | (3) |
Change in net unrealized investment gains (losses) attributable to MetLife, Inc. | $ (5,072) |
Investments (Securities Lending
Investments (Securities Lending and Repurchase Agreements) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | $ 20,989 | $ 18,628 |
Reinvestment portfolio - estimated fair value | 21,110 | 18,884 |
Estimated fair value | ||
Securities Financing Transaction [Line Items] | ||
Securities loaned | 20,557 | 18,262 |
Repurchase Agreements | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 3,460 | 3,210 |
Reinvestment portfolio - estimated fair value | 3,470 | 3,251 |
Repurchase Agreements | Estimated fair value | ||
Securities Financing Transaction [Line Items] | ||
Securities Sold under Agreements to Repurchase | $ 3,518 | $ 3,276 |
Investments (Securities Lendi_2
Investments (Securities Lending and Repurchase Agreements Remaining Tenor) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | $ 20,989 | $ 18,628 |
Open (1) | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 6,196 | 2,949 |
1 Month or Less | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 8,277 | 10,844 |
Over 1 Month to 6 Months | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 6,516 | 4,835 |
Maturity 180 to 360 Days [Member] | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
Repurchase Agreements | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 3,460 | 3,210 |
U.S. government and agency | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 19,845 | 17,508 |
U.S. government and agency | Open (1) | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 6,195 | 2,946 |
U.S. government and agency | 1 Month or Less | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 7,955 | 10,553 |
U.S. government and agency | Over 1 Month to 6 Months | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 5,695 | 4,009 |
U.S. government and agency | Maturity 180 to 360 Days [Member] | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
U.S. government and agency | Repurchase Agreements | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 3,460 | 3,210 |
U.S. government and agency | Repurchase Agreements | Open (1) | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
U.S. government and agency | Repurchase Agreements | 1 Month or Less | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 3,460 | 3,210 |
U.S. government and agency | Repurchase Agreements | Over 1 Month to 6 Months | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
U.S. government and agency | Repurchase Agreements | Maturity 180 to 360 Days [Member] | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
Foreign government | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 1,024 | 1,117 |
Foreign government | Open (1) | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
Foreign government | 1 Month or Less | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 322 | 291 |
Foreign government | Over 1 Month to 6 Months | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 702 | 826 |
Foreign government | Maturity 180 to 360 Days [Member] | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
RMBS | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 119 | 0 |
RMBS | Open (1) | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
RMBS | 1 Month or Less | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
RMBS | Over 1 Month to 6 Months | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 119 | 0 |
RMBS | Maturity 180 to 360 Days [Member] | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
U.S. corporate | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 1 | 3 |
U.S. corporate | Open (1) | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 1 | 3 |
U.S. corporate | 1 Month or Less | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
U.S. corporate | Over 1 Month to 6 Months | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | 0 | 0 |
U.S. corporate | Maturity 180 to 360 Days [Member] | ||
Securities Financing Transaction [Line Items] | ||
Cash collateral on deposit from counterparties | $ 0 | $ 0 |
Investments (Invested Assets on
Investments (Invested Assets on Deposit, Held In Trust and Pledged as Collateral) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Investment Holdings, Other than Securities [Line Items] | ||
Invested assets on deposit (regulatory deposits) | $ 1,827 | $ 1,933 |
Invested assets held in trust (external reinsurance agreements) (1) | 1,100 | 1,124 |
Invested assets pledged as collateral | 24,829 | 25,884 |
Total invested assets on deposit, held in trust and pledged as collateral | 27,756 | 28,941 |
Affiliated Entity | ||
Investment Holdings, Other than Securities [Line Items] | ||
Invested assets held in trust (external reinsurance agreements) (1) | $ 2,100 | $ 2,400 |
Investments (Consolidated Varia
Investments (Consolidated Variable Interest Entities) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Variable Interest Entity [Line Items] | ||
Total Assets | $ 761,664 | $ 795,146 |
Total Liabilities | 692,331 | 720,329 |
Consolidated Entities [Member] | Variable Interest Entity, Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 375 | 349 |
Total Liabilities | 1 | 6 |
Investment funds (1) | Consolidated Entities [Member] | Variable Interest Entity, Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 288 | 258 |
Total Liabilities | 1 | 1 |
Renewable energy partnership (1) | Consolidated Entities [Member] | Variable Interest Entity, Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 85 | 87 |
Total Liabilities | 0 | 0 |
Other Investments | Consolidated Entities [Member] | Variable Interest Entity, Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 2 | 4 |
Total Liabilities | $ 0 | $ 5 |
Investments (Unconsolidated Var
Investments (Unconsolidated Variable Interest Entities) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Variable Interest Entity [Line Items] | ||
Total Assets | $ 761,664 | $ 795,146 |
Tax Credits Guaranteed By Third Parties Amount That Reduces Maximum Exposure To Loss Related To Other Invested Assets | 3 | 3 |
Variable Interest Entity, Not Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 75,374 | 70,409 |
Maximum Exposure to Loss | 81,738 | 77,069 |
Variable Interest Entity, Not Primary Beneficiary | Fixed Maturity Securities | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 61,304 | 60,115 |
Maximum Exposure to Loss | 61,304 | 60,115 |
Variable Interest Entity, Not Primary Beneficiary | Other limited partnership interests | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 12,218 | 8,355 |
Maximum Exposure to Loss | 18,507 | 14,911 |
Variable Interest Entity, Not Primary Beneficiary | Other invested assets | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 1,181 | 1,320 |
Maximum Exposure to Loss | 1,254 | 1,404 |
Variable Interest Entity, Not Primary Beneficiary | Other Investments | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 671 | 619 |
Maximum Exposure to Loss | $ 673 | $ 639 |
Investments (Net Investment Inc
Investments (Net Investment Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Net Investment Income [Line Items] | ||||
Less: Investment expenses | $ 232 | $ 238 | $ 701 | $ 798 |
Net investment income | 5,568 | 4,729 | 16,162 | 11,877 |
Securities Investment | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 5,686 | 4,705 | 16,164 | 12,735 |
Net investment income | 5,454 | 4,467 | 15,463 | 11,937 |
Fixed Maturity Securities | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 2,759 | 2,820 | 8,251 | 8,482 |
Equity Securities | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 8 | 15 | 28 | 40 |
Equity Securities, FV-NI, Unrealized Gain (Loss) | (16) | (2) | 86 | (198) |
FVO Securities (1) | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 6 | 36 | 92 | 72 |
Mortgage loans | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 838 | 885 | 2,586 | 2,631 |
Policy loans | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 118 | 124 | 359 | 374 |
Real Estate and Real Estate Joint Ventures | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 279 | 104 | 660 | 371 |
Other limited partnership interests | ||||
Net Investment Income [Line Items] | ||||
Net investment income | 1,541 | 578 | 3,870 | 291 |
Cash, cash equivalents and short-term investments | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 25 | 40 | 74 | 184 |
Operating joint ventures | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 17 | 25 | 55 | 81 |
Other Investments | ||||
Net Investment Income [Line Items] | ||||
Gross Investment Income, Operating | 95 | 78 | 189 | 209 |
Unit-linked investments | ||||
Net Investment Income [Line Items] | ||||
Net investment income | 114 | 262 | 699 | (60) |
Equity Securities, FV-NI, Unrealized Gain (Loss) | $ 55 | $ 240 | $ 577 | $ (83) |
Investments (Components of Net
Investments (Components of Net Investment Gains Losses) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Marketable Securities, Gain (Loss) [Abstract] | ||||
Fixed maturity securities AFS | $ 129 | $ 113 | $ 67 | $ 267 |
Equity securities (1) | (33) | 2 | 97 | (210) |
Other net investment gains (losses): | ||||
Mortgage loans | 43 | (5) | 101 | (148) |
Real estate and real estate joint ventures | 66 | 1 | 482 | 4 |
Other limited partnership interests | (4) | (4) | (17) | 1 |
Other (2), (3) | 19 | 34 | 61 | 159 |
Subtotal - investment portfolio gains (losses) | 221 | 142 | 796 | 71 |
Change In Estimated Fair Value Of Other Limited Partnership Interests And Real Estate Joint Ventures | 9 | 3 | 23 | (9) |
Non-investment portfolio gains (losses) (4) | (314) | (165) | 836 | (139) |
Subtotal | (305) | (162) | 859 | (148) |
Total net investment gains (losses) | (84) | (20) | 1,655 | (77) |
Gain (Loss) on Termination of Lease | 81 | |||
Cash Flow Hedging [Member] | ||||
Other net investment gains (losses): | ||||
Total net investment gains (losses) | 3 | 52 | 43 | 139 |
FVO Securities (1) | ||||
Marketable Securities, Gain (Loss) [Abstract] | ||||
Net investment gains (losses) | 1 | 1 | 5 | (2) |
Equity Securities | ||||
Other net investment gains (losses): | ||||
Equity Securities, FV-NI, Unrealized Gain (Loss) | (16) | (2) | 86 | (198) |
Foreign Currency Gain (Loss) [Member] | Reclassification out of Accumulated Other Comprehensive Income | Cash Flow Hedging [Member] | ||||
Other net investment gains (losses): | ||||
Total net investment gains (losses) | $ 6 | $ 10 | $ 54 | $ 65 |
Investments (Sales or Disposals
Investments (Sales or Disposals and Impairments of Fixed Maturity AFS Securities) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Proceeds | $ 10,743 | $ 5,934 | $ 37,306 | $ 28,004 |
Gross investment gains | 217 | 196 | 580 | 957 |
Gross investment (losses) | 106 | 170 | 497 | 554 |
Net credit loss (provision) release | 18 | 87 | (16) | (136) |
Net investment gains (losses) | $ 129 | $ 113 | $ 67 | $ 267 |
Investments (Evaluation of Fixe
Investments (Evaluation of Fixed Maturity Securities AFS in an Unrealized Loss Position- Narrative) (Details) $ in Millions | 9 Months Ended | |
Sep. 30, 2021USD ($) | Dec. 31, 2020USD ($) | |
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | $ 2,200 | |
Equal to or Greater than 12 Months Gross Unrealized Loss | $ 789 | $ 401 |
Percentage of gross unrealized loss | 35.00% | |
Total number of securities in an unrealized loss position equal or greater than 12 months | 793 | 690 |
Investment Grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Equal to or Greater than 12 Months Gross Unrealized Loss | $ 665 | $ 350 |
Percentage of gross unrealized loss | 84.00% | |
Total number of securities in an unrealized loss position equal or greater than 12 months | 628 | |
Below Investment Grade | ||
Debt Securities, Available-for-sale [Line Items] | ||
Equal to or Greater than 12 Months Gross Unrealized Loss | $ 124 | $ 51 |
Percentage of gross unrealized loss | 16.00% | |
Total number of securities in an unrealized loss position equal or greater than 12 months | 165 | |
Fixed maturity securities without an allowance for credit loss | ||
Debt Securities, Available-for-sale [Line Items] | ||
Change in Gross Unrealized Temporary Loss | $ 806 |
Investments (Mortgage Loans - N
Investments (Mortgage Loans - Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums | $ 792 | $ 792 | $ 944 | |||
Financing Receivable, Purchase | 499 | $ 204 | 1,500 | $ 1,900 | ||
Mortgage Loans, Gross | $ 81,393 | $ 81,393 | $ 84,344 | |||
Percentage of mortgage loans with LTV ratio in excess of 100% | 1.00% | 1.00% | ||||
Percentage of Mortgage Loans Classified as Performing | 99.00% | 99.00% | 99.00% | |||
Financing Receivable, Nonaccrual | $ 848 | $ 848 | $ 1,117 | |||
Mortgage Loans with LTV ratio in excess of 100% [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Mortgage Loans, Gross | 814 | 814 | ||||
Commercial Mortgage Loans | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Interest Receivable | 191 | 191 | 209 | |||
Deferred mortgage loan interest and principal payments due to COVID-19 | 42 | 42 | ||||
Mortgage Loans, Gross | 51,336 | 51,336 | 52,434 | |||
Financing Receivable, Nonaccrual | 159 | 159 | 317 | $ 176 | ||
Financing Receivable, Nonaccrual, No Allowance | 0 | 0 | 168 | |||
Residential Mortgage Loans | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Interest Receivable | 93 | 93 | 108 | |||
Deferred mortgage loan interest and principal payments due to COVID-19 | 26 | 26 | ||||
Mortgage Loans, Gross | 11,704 | 11,704 | 13,782 | |||
Financing Receivable, Nonaccrual | 438 | 438 | 534 | 418 | ||
Financing Receivable, Nonaccrual, No Allowance | 0 | 0 | 0 | |||
Agricultural Mortgage Loans | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Interest Receivable | 146 | 146 | 174 | |||
Deferred mortgage loan interest and principal payments due to COVID-19 | 4 | 4 | ||||
Mortgage Loans, Gross | 18,353 | 18,353 | 18,128 | |||
Financing Receivable, Nonaccrual | 251 | 251 | 266 | $ 137 | ||
Financing Receivable, Nonaccrual, No Allowance | $ 168 | $ 168 | $ 178 |
Investments (Real Estate and _2
Investments (Real Estate and Real Estate Joint ventures - Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Real Estate [Line Items] | |||||
Real Estate Acquired Through Foreclosure | $ 182 | $ 182 | $ 20 | ||
Real Estate Investment Property, Net | 861 | 861 | $ 1,100 | ||
Real Estate and Real Estate Joint Ventures | |||||
Real Estate [Line Items] | |||||
Depreciation | $ 31 | $ 33 | $ 92 | $ 92 |
Investments (Leveraged and Dire
Investments (Leveraged and Direct Financing Leases - Narrative) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Investments, All Other Investments [Abstract] | ||
Leveraged Leases, Net Investment in Leveraged Leases Disclosure, Investment in Leveraged Leases, Net | $ 803 | $ 816 |
Direct Financing Lease, Net Investment in Lease, after Allowance for Credit Loss | 1,200 | 1,300 |
Leveraged and Direct Financing Leases, Allowance for credit loss | $ 43 | $ 44 |
Investments (Cash Equivalents -
Investments (Cash Equivalents - Narrative) (Details) - USD ($) $ in Billions | Sep. 30, 2021 | Dec. 31, 2020 |
Investments, Debt and Equity Securities [Abstract] | ||
Cash equivalents | $ 8.4 | $ 9.7 |
Investments (Concentrations of
Investments (Concentrations of Credit Risk - Narrative) (Details) - Foreign government - USD ($) $ in Billions | Sep. 30, 2021 | Dec. 31, 2020 |
Japan | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Government and agency fixed maturity securities | $ 33.8 | $ 35.8 |
Republic of Korea | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Government and agency fixed maturity securities | $ 7.1 | $ 8 |
Investments (Invested Assets _2
Investments (Invested Assets on Deposit, Held in Trust and Pledged as Collateral - Narrative) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Investments, Debt and Equity Securities [Abstract] | ||
Federal Home Loan Bank Stock | $ 791 | $ 814 |
Investments (Net Investment I_2
Investments (Net Investment Income - Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Income (Loss) from Equity Method Investments | $ 1,700 | $ 510 | $ 4,000 | $ 145 |
Investments (Net Investment Gai
Investments (Net Investment Gains Losses - Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Foreign Currency Transaction Gain (Loss), Realized | $ (23) | $ (17) | $ (4) | $ 53 |
Derivatives (Primary Risks) (De
Derivatives (Primary Risks) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | $ 326,561 | $ 326,561 | $ 299,154 | ||
Estimated Fair Value Assets | 10,519 | 10,519 | 11,866 | ||
Estimated Fair Value Liabilities | 3,751 | 3,751 | $ 4,229 | ||
Gain (Loss) on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring, Net | 6 | $ (8) | $ 5 | $ 19 | |
Maximum Length of Time Hedged in Cash Flow Hedge | 8 years | 8 years | |||
Accumulated Other Comprehensive Income Loss | 2,000 | $ 2,000 | $ 1,900 | ||
Derivatives Designated as Hedging Instruments: | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 61,847 | 61,847 | 60,723 | ||
Estimated Fair Value Assets | 3,991 | 3,991 | 5,432 | ||
Estimated Fair Value Liabilities | 1,698 | 1,698 | 2,222 | ||
Derivatives Designated as Hedging Instruments: | Fair Value Hedges [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 6,002 | 6,002 | 6,228 | ||
Estimated Fair Value Assets | 2,162 | 2,162 | 3,256 | ||
Estimated Fair Value Liabilities | 86 | 86 | 82 | ||
Derivatives Designated as Hedging Instruments: | Fair Value Hedges [Member] | Interest rate swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 3,549 | 3,549 | 3,186 | ||
Estimated Fair Value Assets | 2,154 | 2,154 | 3,224 | ||
Estimated Fair Value Liabilities | 2 | 2 | 4 | ||
Derivatives Designated as Hedging Instruments: | Fair Value Hedges [Member] | Foreign currency swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 908 | 908 | 1,106 | ||
Estimated Fair Value Assets | 8 | 8 | 8 | ||
Estimated Fair Value Liabilities | 32 | 32 | 78 | ||
Derivatives Designated as Hedging Instruments: | Fair Value Hedges [Member] | Foreign currency forwards | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 1,545 | 1,545 | 1,936 | ||
Estimated Fair Value Assets | 0 | 0 | 24 | ||
Estimated Fair Value Liabilities | 52 | 52 | 0 | ||
Derivatives Designated as Hedging Instruments: | Cash Flow Hedges [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 52,504 | 52,504 | 50,731 | ||
Estimated Fair Value Assets | 1,697 | 1,697 | 2,106 | ||
Estimated Fair Value Liabilities | 1,612 | 1,612 | 2,137 | ||
Derivatives Designated as Hedging Instruments: | Cash Flow Hedges [Member] | Interest rate swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 4,429 | 4,429 | 4,750 | ||
Estimated Fair Value Assets | 35 | 35 | 44 | ||
Estimated Fair Value Liabilities | 1 | 1 | 0 | ||
Derivatives Designated as Hedging Instruments: | Cash Flow Hedges [Member] | Interest rate forwards | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 6,874 | 6,874 | 7,377 | ||
Estimated Fair Value Assets | 60 | 60 | 513 | ||
Estimated Fair Value Liabilities | 155 | 155 | 120 | ||
Derivatives Designated as Hedging Instruments: | Cash Flow Hedges [Member] | Foreign currency swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 41,201 | 41,201 | 38,604 | ||
Estimated Fair Value Assets | 1,602 | 1,602 | 1,549 | ||
Estimated Fair Value Liabilities | 1,456 | 1,456 | 2,017 | ||
Derivatives Designated as Hedging Instruments: | Foreign Operations Hedges [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 3,341 | 3,341 | 3,764 | ||
Estimated Fair Value Assets | 132 | 132 | 70 | ||
Estimated Fair Value Liabilities | 0 | 0 | 3 | ||
Derivatives Designated as Hedging Instruments: | Foreign Operations Hedges [Member] | Foreign currency forwards | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 341 | 341 | 164 | ||
Estimated Fair Value Assets | 18 | 18 | 0 | ||
Estimated Fair Value Liabilities | 0 | 0 | 3 | ||
Derivatives Designated as Hedging Instruments: | Foreign Operations Hedges [Member] | Currency options | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 3,000 | 3,000 | 3,600 | ||
Estimated Fair Value Assets | 114 | 114 | 70 | ||
Estimated Fair Value Liabilities | 0 | 0 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 264,714 | 264,714 | 238,431 | ||
Estimated Fair Value Assets | 6,528 | 6,528 | 6,434 | ||
Estimated Fair Value Liabilities | 2,053 | 2,053 | 2,007 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Interest rate swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 41,430 | 41,430 | 49,561 | ||
Estimated Fair Value Assets | 3,793 | 3,793 | 3,683 | ||
Estimated Fair Value Liabilities | 144 | 144 | 38 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Interest rate forwards | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 367 | 367 | 351 | ||
Estimated Fair Value Assets | 0 | 0 | 0 | ||
Estimated Fair Value Liabilities | 37 | 37 | 10 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Interest rate floors | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 8,201 | 8,201 | 12,701 | ||
Estimated Fair Value Assets | 202 | 202 | 350 | ||
Estimated Fair Value Liabilities | 0 | 0 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Interest rate caps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 77,814 | 77,814 | 40,730 | ||
Estimated Fair Value Assets | 69 | 69 | 13 | ||
Estimated Fair Value Liabilities | 0 | 0 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Interest rate futures | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 2,239 | 2,239 | 1,498 | ||
Estimated Fair Value Assets | 3 | 3 | 0 | ||
Estimated Fair Value Liabilities | 1 | 1 | 2 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Interest rate options | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 12,508 | 12,508 | 17,746 | ||
Estimated Fair Value Assets | 485 | 485 | 502 | ||
Estimated Fair Value Liabilities | 17 | 17 | 5 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Equity total return swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 1,048 | 1,048 | 1,048 | ||
Estimated Fair Value Assets | 6 | 6 | 0 | ||
Estimated Fair Value Liabilities | 31 | 31 | 59 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Synthetic GICs | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 39,365 | 39,365 | 38,646 | ||
Estimated Fair Value Assets | 0 | 0 | 0 | ||
Estimated Fair Value Liabilities | 0 | 0 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Foreign currency swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 12,635 | 12,635 | 13,265 | ||
Estimated Fair Value Assets | 690 | 690 | 603 | ||
Estimated Fair Value Liabilities | 664 | 664 | 693 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Foreign currency forwards | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 15,911 | 15,911 | 15,643 | ||
Estimated Fair Value Assets | 99 | 99 | 209 | ||
Estimated Fair Value Liabilities | 563 | 563 | 310 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Currency futures | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 867 | 867 | 914 | ||
Estimated Fair Value Assets | 1 | 1 | 3 | ||
Estimated Fair Value Liabilities | 0 | 0 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Currency options | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 900 | 900 | 1,350 | ||
Estimated Fair Value Assets | 0 | 0 | 0 | ||
Estimated Fair Value Liabilities | 0 | 0 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Credit default swaps — purchased | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 3,042 | 3,042 | 2,978 | ||
Estimated Fair Value Assets | 14 | 14 | 9 | ||
Estimated Fair Value Liabilities | 110 | 110 | 121 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Credit default swaps — written | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 8,739 | 8,739 | 9,609 | ||
Estimated Fair Value Assets | 180 | 180 | 196 | ||
Estimated Fair Value Liabilities | 5 | 5 | 0 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Equity futures | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 4,417 | 4,417 | 5,427 | ||
Estimated Fair Value Assets | 48 | 48 | 14 | ||
Estimated Fair Value Liabilities | 14 | 14 | 38 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Equity index options | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 31,016 | 31,016 | 22,954 | ||
Estimated Fair Value Assets | 898 | 898 | 834 | ||
Estimated Fair Value Liabilities | 441 | 441 | 437 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Equity variance swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 733 | 733 | 716 | ||
Estimated Fair Value Assets | 17 | 17 | 15 | ||
Estimated Fair Value Liabilities | 15 | 15 | 12 | ||
Derivatives Not Designated or Not Qualifying as Hedging Instruments: | Equity total return swaps | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative, Notional Amount | 3,482 | 3,482 | 3,294 | ||
Estimated Fair Value Assets | 23 | 23 | 3 | ||
Estimated Fair Value Liabilities | $ 11 | $ 11 | $ 282 |
Derivatives (Effects on the Con
Derivatives (Effects on the Consolidated Statement of Operations and Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | $ 5,568 | $ 4,729 | $ 16,162 | $ 11,877 |
Net investment gains (losses) | (84) | (20) | 1,655 | (77) |
Derivative, Gain (Loss) on Derivative, Net | (218) | (581) | (2,032) | 2,910 |
Policyholder Benefits and Claims Incurred, Net | (10,103) | (10,000) | (30,031) | (27,689) |
Policyholder Account Balance, Interest Expense | (1,287) | (1,416) | (4,153) | (3,458) |
Operating Expenses | 3,284 | 3,470 | 9,315 | 9,726 |
Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | (2) | (6) | (32) | (12) |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | (523) | (1,251) | (3,503) | 2,936 |
Policyholder Benefits and Claims Incurred, Net | 9 | 97 | 252 | 70 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 5 | (3) | 7 | 1 |
Net investment gains (losses) | (2) | (1) | (11) | (34) |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | (5) | (15) | (39) | (24) |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 16 | 11 | 47 | 27 |
Net investment gains (losses) | 3 | 52 | 43 | 139 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 1 | 1 | 3 | 3 |
Other Comprehensive Income (Loss), before Tax | 678 | (1,303) | 107 | 1,843 |
Net Investment Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 14 | (37) | 89 | 59 |
Nonperformance Risk [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net | 3 | (12) | (48) | 63 |
Foreign Exchange Forward [Member] | Net Investment Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 70 | |||
Designated as Hedging Instrument [Member] | Net Investment Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 12 | (29) | 58 | |
Interest Rate Contract | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 14 | 9 | 41 | 24 |
Net investment gains (losses) | 6 | 10 | 54 | 58 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 1 | 1 | 2 | 2 |
Other Comprehensive Income (Loss), before Tax | (21) | (20) | (97) | (84) |
Credit forwards [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Other Comprehensive Income (Loss), before Tax | 0 | 0 | 0 | 0 |
Currency Swap [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 2 | 2 | 6 | 3 |
Net investment gains (losses) | (259) | 435 | (383) | 271 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 1 | 1 |
Other Comprehensive Income (Loss), before Tax | 257 | (437) | 376 | (275) |
Derivative [Member] | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | (2) | (4) | (6) | (38) |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Derivative [Member] | Interest rate swaps | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 1 | 1 | 4 | (11) |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 53 | 154 | 418 | (589) |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Derivative [Member] | Currency Swap [Member] | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 28 | (50) | 40 | 17 |
Net investment gains (losses) | (9) | 44 | (144) | 58 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Debt Securities [Member] | Interest rate swaps | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | (2) | 0 | (4) | 9 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 48 | 139 | 379 | (613) |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Debt Securities [Member] | Currency Swap [Member] | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | (22) | 46 | (33) | (14) |
Net investment gains (losses) | 9 | (41) | 139 | (54) |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Non-derivative [Domain] [Member] | Net Investment Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 2 | (8) | 31 | (11) |
Foreign Currency Gain (Loss) [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | 256 | (393) | 372 | (190) |
Derivative, Gain (Loss) on Derivative, Net | 0 | 0 | 0 | 0 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Other Comprehensive Income (Loss), before Tax | 0 | 0 | 0 | 0 |
Accumulated Other Comprehensive Income (Loss) | Credit forwards [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 20 | (28) | (52) | (52) |
Accumulated Other Comprehensive Income (Loss) | Currency Swap [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 398 | (615) | 567 | 554 |
Accumulated Other Comprehensive Income (Loss) | Interest rate swaps | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), before Tax | 24 | (203) | (687) | 1,700 |
Foreign Exchange [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | (128) | (190) | (734) | (187) |
Policyholder Benefits and Claims Incurred, Net | (2) | 2 | 1 | (7) |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Credit derivatives — purchased | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | 4 | (8) | 16 | 4 |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Credit derivatives — written | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | (2) | (9) | 33 | (158) |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Equity Market Risk [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | (1) | (6) | (33) | (6) |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | 47 | (499) | (992) | 17 |
Policyholder Benefits and Claims Incurred, Net | (5) | 90 | 202 | 19 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Interest Rate Risk [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | (1) | 0 | 1 | (6) |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | (379) | (601) | (1,993) | 3,364 |
Policyholder Benefits and Claims Incurred, Net | 12 | 9 | 51 | (58) |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Foreign Currency Gain (Loss) [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 0 | 0 | 0 | 0 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | (65) | 56 | 167 | (104) |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Policyholder Account Balance, Interest Expense | 0 | 0 | 0 | 0 |
Operating Expenses | 0 | 0 | 0 | 0 |
Net Derivative Gain (Loss) [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 62 | 50 | 128 | 196 |
Net investment gains (losses) | 0 | 0 | 0 | 0 |
Derivative, Gain (Loss) on Derivative, Net | 258 | 262 | 755 | 617 |
Policyholder Benefits and Claims Incurred, Net | (55) | (52) | (160) | (135) |
Policyholder Account Balance, Interest Expense | (43) | (36) | (120) | (118) |
Operating Expenses | 0 | 0 | 0 | 0 |
Other Comprehensive Income (Loss), before Tax | 0 | 0 | 0 | 0 |
Net Embedded Derivatives | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Gain (Loss) on Derivative, Net | 47 | 408 | 716 | (643) |
Policyholder Benefits and Claims Incurred, Net | 0 | 0 | 0 | 0 |
Effects of Derivatives on Consolidated Statements of Operations and Comprehensive Income (Loss) [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net investment income | 81 | 52 | 150 | 212 |
Net investment gains (losses) | 1 | 51 | 32 | 105 |
Policyholder Benefits and Claims Incurred, Net | (41) | 60 | 131 | (181) |
Policyholder Account Balance, Interest Expense | 43 | 36 | 120 | 118 |
Operating Expenses | 1 | 1 | 3 | 3 |
Other Comprehensive Income (Loss), before Tax | $ 692 | $ (1,340) | $ 196 | $ 1,902 |
Derivatives (Fair Value Hedges)
Derivatives (Fair Value Hedges) (Details) - Designated as Hedging Instrument [Member] - USD ($) | Sep. 30, 2021 | Dec. 31, 2020 |
Fixed maturity securities AFS | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Hedged Asset, Discontinued Fair Value Hedge, Cumulative Increase (Decrease) | $ 169 | $ (1,000,000) |
Debt Instruments, Carrying Amount | 2,117,000,000 | 2,699,000,000 |
Hedged Asset, Fair Value Hedge, Cumulative Increase (Decrease) | (1,000,000) | (1,000,000) |
Mortgages [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Debt Instruments, Carrying Amount | 749,000,000 | 952,000,000 |
Hedged Asset, Fair Value Hedge, Cumulative Increase (Decrease) | (3,000,000) | 20,000,000 |
Future policy benefits [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Debt Instruments, Carrying Amount | (4,713,000,000) | (5,512,000,000) |
Hedged Asset, Fair Value Hedge, Cumulative Increase (Decrease) | $ (911,000,000) | $ (1,307,000,000) |
Derivatives (Cash Flow Hedges)
Derivatives (Cash Flow Hedges) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Gain (Loss) on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring, Net | $ 6 | $ (8) | $ 5 | $ 19 | |
Maximum Length of Time Hedged in Cash Flow Hedge | 8 years | 8 years | |||
Accumulated Other Comprehensive Income Loss | $ 2,000 | $ 2,000 | $ 1,900 |
Derivatives (Hedges of Net Inve
Derivatives (Hedges of Net Investments in Foreign Operations) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Debt Designated as Non-derivative Hedging Instrument | $ 376 | $ 407 |
Derivatives used in Net Investment Hedge, Net of Tax | $ 253 | $ 164 |
Derivatives (Credit Derivatives
Derivatives (Credit Derivatives) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 175 | $ 196 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 8,739 | $ 9,609 |
Weighted Average Years to Maturity | 4 years 8 months 12 days | 4 years 9 months 18 days |
Credit Risk Derivative Assets, at Fair Value | $ 175 | $ 196 |
Aaa/Aa/A | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | 26 | 32 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 1,947 | $ 1,987 |
Weighted Average Years to Maturity | 1 year 10 months 24 days | 2 years 6 months |
Aaa/Aa/A | Single name credit default swaps (3) | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 5 | $ 5 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 169 | $ 208 |
Weighted Average Years to Maturity | 3 years 2 months 12 days | 2 years 8 months 12 days |
Aaa/Aa/A | Credit default swaps referencing indices | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 21 | $ 27 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 1,778 | $ 1,779 |
Weighted Average Years to Maturity | 1 year 8 months 12 days | 2 years 6 months |
Baa [Member] | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 147 | $ 159 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 6,620 | $ 7,567 |
Weighted Average Years to Maturity | 5 years 7 months 6 days | 5 years 4 months 24 days |
Baa [Member] | Single name credit default swaps (3) | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 2 | $ 3 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 152 | $ 249 |
Weighted Average Years to Maturity | 2 years 6 months | 2 years 6 months |
Baa [Member] | Credit default swaps referencing indices | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 145 | $ 156 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 6,468 | $ 7,318 |
Weighted Average Years to Maturity | 5 years 8 months 12 days | 5 years 6 months |
B | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 5 | $ 5 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 55 | $ 55 |
Weighted Average Years to Maturity | 4 years 2 months 12 days | 5 years |
B | Credit default swaps referencing indices | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 5 | $ 5 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 55 | $ 55 |
Weighted Average Years to Maturity | 4 years 2 months 12 days | 5 years |
Ba | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 1 | $ 0 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 102 | $ 0 |
Weighted Average Years to Maturity | 2 years | 0 years |
Ba | Single name credit default swaps (3) | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ 2 | $ 0 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 82 | $ 0 |
Weighted Average Years to Maturity | 1 year 6 months | 0 years |
Ba | Credit default swaps referencing indices | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ (1) | $ 0 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 20 | $ 0 |
Weighted Average Years to Maturity | 4 years 2 months 12 days | 0 years |
Caa3 | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ (4) | $ 0 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 15 | $ 0 |
Weighted Average Years to Maturity | 4 years 2 months 12 days | 0 years |
Caa3 | Credit default swaps referencing indices | ||
Credit Derivatives [Line Items] | ||
Estimated Fair Value of Credit Default Swaps | $ (4) | $ 0 |
Maximum Amount of Future Payments under Credit Default Swaps | $ 15 | $ 0 |
Weighted Average Years to Maturity | 4 years 2 months 12 days | 0 years |
Derivatives (Estimated Fair Val
Derivatives (Estimated Fair Value of Derivative Assets and Liabilities after Master Netting Agreements and Cash Collateral) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Offsetting Assets [Line Items] | ||
Estimated fair value of derivative assets presented in the consolidated balance sheets | $ 10,602 | $ 11,958 |
Estimated fair value of derivative liabilities presented in the consolidated balance sheets | 3,729 | 4,171 |
Net amount of derivative assets after application of master netting agreements and cash collateral | 302 | 200 |
Net amount of derivative liabilities after application of master netting agreements and cash collateral | 104 | 108 |
Over the Counter [Member] | ||
Offsetting Assets [Line Items] | ||
Gross estimated fair value of derivative assets | 10,034 | 11,348 |
Gross estimated fair value of derivative liabilities | 3,675 | 4,111 |
Gross estimated fair value of derivative assets | (2,206) | (2,926) |
Gross estimated fair value of derivative liabilities | (2,206) | (2,926) |
Cash collateral on derivative assets | (6,396) | (6,842) |
Cash collateral on derivative liabilities | 0 | 0 |
Securities collateral on derivative assets | (1,249) | (1,453) |
Securities collateral on derivative liabilities | (1,367) | (1,100) |
Cleared [Member] | ||
Offsetting Assets [Line Items] | ||
Gross estimated fair value of derivative assets | 516 | 593 |
Gross estimated fair value of derivative liabilities | 39 | 20 |
Gross estimated fair value of derivative assets | (13) | (7) |
Gross estimated fair value of derivative liabilities | (13) | (7) |
Cash collateral on derivative assets | (434) | (530) |
Cash collateral on derivative liabilities | (16) | (5) |
Securities collateral on derivative assets | 0 | 0 |
Securities collateral on derivative liabilities | (9) | (1) |
Exchange-traded | ||
Offsetting Assets [Line Items] | ||
Gross estimated fair value of derivative assets | 52 | 17 |
Gross estimated fair value of derivative liabilities | 15 | 40 |
Gross estimated fair value of derivative assets | (2) | 0 |
Gross estimated fair value of derivative liabilities | (2) | 0 |
Cash collateral on derivative assets | 0 | 0 |
Cash collateral on derivative liabilities | (9) | (23) |
Securities collateral on derivative assets | 0 | 0 |
Securities collateral on derivative liabilities | $ (3) | $ (1) |
Derivatives (Credit Risk on Fre
Derivatives (Credit Risk on Freestanding Derivatives) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Credit Derivatives [Line Items] | ||
Estimated fair value of derivatives in a net liability position (1) | $ 1,469 | $ 1,185 |
Derivative, Collateral, Right to Reclaim Cash | 158 | 238 |
Fixed maturity securities AFS | ||
Credit Derivatives [Line Items] | ||
Estimated fair value of collateral provided: | 1,488 | 1,224 |
Derivatives Subject to Credit- Contingent Provisions | ||
Credit Derivatives [Line Items] | ||
Estimated fair value of derivatives in a net liability position (1) | 1,242 | 1,182 |
Derivatives Subject to Credit- Contingent Provisions | Fixed maturity securities AFS | ||
Credit Derivatives [Line Items] | ||
Estimated fair value of collateral provided: | 1,300 | 1,222 |
Derivatives Not Subject to Credit- Contingent Provisions | ||
Credit Derivatives [Line Items] | ||
Estimated fair value of derivatives in a net liability position (1) | 227 | 3 |
Derivatives Not Subject to Credit- Contingent Provisions | Fixed maturity securities AFS | ||
Credit Derivatives [Line Items] | ||
Estimated fair value of collateral provided: | $ 188 | $ 2 |
Derivatives (Embedded Derivativ
Derivatives (Embedded Derivatives) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within liability host contracts | $ 626 | $ 1,196 |
Ceded guaranteed minimum benefits | Premiums, reinsurance and other receivables | ||
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within asset host contracts | 39 | 55 |
Direct guaranteed minimum benefits | Policyholder account balances | ||
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within liability host contracts | 296 | 651 |
Assumed guaranteed minimum benefits | Policyholder account balances | ||
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within liability host contracts | 131 | 283 |
Funds withheld on ceded reinsurance | Other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within liability host contracts | 41 | 100 |
Fixed annuities with equity indexed returns [Member] | Policyholder account balances | ||
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within liability host contracts | 157 | 138 |
Fixed annuities with equity indexed returns | Policyholder account balances | ||
Derivatives, Fair Value [Line Items] | ||
Embedded derivatives within liability host contracts | $ 1 | $ 24 |
Derivatives (Narrative) (Detail
Derivatives (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Derivatives, Fair Value [Line Items] | |||||
Maximum Amount of Future Payments under Credit Default Swaps | $ 8,739 | $ 8,739 | $ 9,609 | ||
Credit Risk Derivative Assets, at Fair Value | 175 | 175 | 196 | ||
Estimated Fair Value Assets | 10,519 | 10,519 | 11,866 | ||
Estimated Fair Value Liabilities | 3,751 | 3,751 | 4,229 | ||
Excess securities collateral received on derivatives | 103 | 103 | $ 265 | ||
Collateral Amount Not Provided Due to Downgrade Threshold | 15 | 15 | |||
Derivative Instrument Detail [Abstract] | |||||
Net amounts reclassified into net derivatives gains (losses) on discontinued cash flow hedges | 6 | $ (8) | $ 5 | $ 19 | |
Hedging exposure to variability in future cash flows for specific length of time | 8 years | 8 years | |||
Accumulated Other Comprehensive Income Loss | 2,000 | $ 2,000 | $ 1,900 | ||
Cumulative foreign currency translation gain (loss) recorded in accumulated other comprehensive income (loss) for net investment in foreign operations hedges | 253 | 253 | 164 | ||
Excess securities collateral provided on derivatives | 158 | 158 | 238 | ||
Securities collateral received which the company is permitted to sell or repledge, amount that has been sold or repledged | 0 | 0 | |||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | (137) | ||||
Nonperformance Risk [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Net derivatives gains (losses) | 3 | $ (12) | (48) | $ 63 | |
Over the Counter [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Excess securities collateral received on derivatives | (98) | (98) | (231) | ||
Excess securities collateral provided on derivatives | (194) | (194) | (269) | ||
Cash collateral on derivative assets | (6,396) | (6,396) | (6,842) | ||
Exchange-traded | |||||
Derivatives, Fair Value [Line Items] | |||||
Excess securities collateral received on derivatives | (1,200) | (1,200) | (2,100) | ||
Excess securities collateral provided on derivatives | (214) | (214) | (318) | ||
Cash collateral on derivative assets | 0 | 0 | 0 | ||
Accrued Liabilities [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Estimated Fair Value Assets | 83 | 83 | 92 | ||
Estimated Fair Value Liabilities | $ (22) | $ (22) | $ (58) |
Fair Value (Recurring Fair Valu
Fair Value (Recurring Fair Value Measurements) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | $ 341,038 | $ 354,809 |
Equity securities | 12,055 | 13,319 |
Short-term investments (3) | 7,150 | 3,904 |
Residential mortgage loans — FVO | 80,964 | 83,919 |
Derivative assets | 10,519 | 11,866 |
Separate account assets | 180,954 | 199,970 |
Liabilities [Abstract] | ||
Derivative liabilities | 3,751 | 4,229 |
Embedded derivatives within liability host contracts | 626 | 1,196 |
Separate account liabilities | 180,954 | 199,970 |
Residential mortgage loans - FVO | ||
Assets [Abstract] | ||
Residential mortgage loans — FVO | 134 | 165 |
Recurring | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 341,038 | 354,809 |
Equity securities | 941 | 1,079 |
Unit-linked and FVO Securities (2) | 12,055 | 13,319 |
Short-term investments (3) | 6,545 | 3,373 |
Other investments | 894 | 885 |
Derivative assets | 10,519 | 11,866 |
Embedded derivatives within asset host contracts | 39 | 55 |
Separate account assets | 180,954 | 199,970 |
Total assets (7) | 553,119 | 585,521 |
Liabilities [Abstract] | ||
Derivative liabilities | 3,751 | 4,229 |
Embedded derivatives within liability host contracts | 626 | 1,196 |
Total liabilities | 4,398 | 5,451 |
Recurring | Interest rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 6,807 | 8,329 |
Liabilities [Abstract] | ||
Derivative liabilities | 388 | 238 |
Recurring | Foreign currency exchange rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 2,532 | 2,466 |
Liabilities [Abstract] | ||
Derivative liabilities | 2,767 | 3,101 |
Recurring | Credit contracts | ||
Assets [Abstract] | ||
Derivative assets | 194 | 205 |
Liabilities [Abstract] | ||
Derivative liabilities | 115 | 121 |
Recurring | Equity market contracts | ||
Assets [Abstract] | ||
Derivative assets | 986 | 866 |
Liabilities [Abstract] | ||
Derivative liabilities | 481 | 769 |
Recurring | Derivative Liabilities Within Separate Accounts | ||
Liabilities [Abstract] | ||
Separate account liabilities | 21 | 26 |
Recurring | Residential mortgage loans - FVO | ||
Assets [Abstract] | ||
Residential mortgage loans — FVO | 134 | 165 |
Recurring | U.S. corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 92,012 | 93,416 |
Recurring | Foreign government | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 63,380 | 71,699 |
Recurring | Foreign corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 63,922 | 69,408 |
Recurring | U.S. government and agency | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 48,100 | 47,100 |
Recurring | RMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 30,267 | 30,435 |
Recurring | ABS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 17,403 | 17,119 |
Recurring | Municipals | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 14,040 | 13,722 |
Recurring | CMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 11,914 | 11,910 |
Recurring | Level 1 | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 27,500 | 23,180 |
Equity securities | 594 | 636 |
Unit-linked and FVO Securities (2) | 9,171 | 10,559 |
Short-term investments (3) | 5,287 | 2,762 |
Other investments | 0 | 83 |
Derivative assets | 52 | 17 |
Embedded derivatives within asset host contracts | 0 | 0 |
Separate account assets | 78,361 | 91,850 |
Total assets (7) | 120,965 | 129,087 |
Liabilities [Abstract] | ||
Derivative liabilities | 15 | 40 |
Embedded derivatives within liability host contracts | 0 | 0 |
Total liabilities | 19 | 52 |
Recurring | Level 1 | Interest rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 3 | 0 |
Liabilities [Abstract] | ||
Derivative liabilities | 1 | 2 |
Recurring | Level 1 | Foreign currency exchange rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 1 | 3 |
Liabilities [Abstract] | ||
Derivative liabilities | 0 | 0 |
Recurring | Level 1 | Credit contracts | ||
Assets [Abstract] | ||
Derivative assets | 0 | 0 |
Liabilities [Abstract] | ||
Derivative liabilities | 0 | 0 |
Recurring | Level 1 | Equity market contracts | ||
Assets [Abstract] | ||
Derivative assets | 48 | 14 |
Liabilities [Abstract] | ||
Derivative liabilities | 14 | 38 |
Recurring | Level 1 | Derivative Liabilities Within Separate Accounts | ||
Liabilities [Abstract] | ||
Separate account liabilities | 4 | 12 |
Recurring | Level 1 | Residential mortgage loans - FVO | ||
Assets [Abstract] | ||
Residential mortgage loans — FVO | 0 | 0 |
Recurring | Level 1 | U.S. corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 1 | Foreign government | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 1 | Foreign corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 1 | U.S. government and agency | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 27,492 | 23,180 |
Recurring | Level 1 | RMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 8 | 0 |
Recurring | Level 1 | ABS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 1 | Municipals | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 1 | CMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 2 | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 283,082 | 302,122 |
Equity securities | 196 | 293 |
Unit-linked and FVO Securities (2) | 2,051 | 2,059 |
Short-term investments (3) | 1,201 | 568 |
Other investments | 49 | 229 |
Derivative assets | 10,376 | 11,137 |
Embedded derivatives within asset host contracts | 0 | 0 |
Separate account assets | 101,190 | 107,035 |
Total assets (7) | 398,145 | 423,443 |
Liabilities [Abstract] | ||
Derivative liabilities | 3,435 | 4,071 |
Embedded derivatives within liability host contracts | 0 | 0 |
Total liabilities | 3,448 | 4,079 |
Recurring | Level 2 | Interest rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 6,744 | 7,840 |
Liabilities [Abstract] | ||
Derivative liabilities | 349 | 168 |
Recurring | Level 2 | Foreign currency exchange rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 2,527 | 2,287 |
Liabilities [Abstract] | ||
Derivative liabilities | 2,509 | 3,063 |
Recurring | Level 2 | Credit contracts | ||
Assets [Abstract] | ||
Derivative assets | 174 | 180 |
Liabilities [Abstract] | ||
Derivative liabilities | 110 | 121 |
Recurring | Level 2 | Equity market contracts | ||
Assets [Abstract] | ||
Derivative assets | 931 | 830 |
Liabilities [Abstract] | ||
Derivative liabilities | 467 | 719 |
Recurring | Level 2 | Derivative Liabilities Within Separate Accounts | ||
Liabilities [Abstract] | ||
Separate account liabilities | 13 | 8 |
Recurring | Level 2 | Residential mortgage loans - FVO | ||
Assets [Abstract] | ||
Residential mortgage loans — FVO | 0 | 0 |
Recurring | Level 2 | U.S. corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 80,783 | 83,214 |
Recurring | Level 2 | Foreign government | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 63,274 | 71,582 |
Recurring | Level 2 | Foreign corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 50,415 | 55,509 |
Recurring | Level 2 | U.S. government and agency | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 20,608 | 23,920 |
Recurring | Level 2 | RMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 27,023 | 27,133 |
Recurring | Level 2 | ABS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 15,878 | 15,734 |
Recurring | Level 2 | Municipals | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 14,006 | 13,722 |
Recurring | Level 2 | CMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 11,095 | 11,308 |
Recurring | Level 3 | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 30,456 | 29,507 |
Equity securities | 151 | 150 |
Unit-linked and FVO Securities (2) | 833 | 701 |
Short-term investments (3) | 57 | 43 |
Other investments | 845 | 573 |
Derivative assets | 91 | 712 |
Embedded derivatives within asset host contracts | 39 | 55 |
Separate account assets | 1,403 | 1,085 |
Total assets (7) | 34,009 | 32,991 |
Liabilities [Abstract] | ||
Derivative liabilities | 301 | 118 |
Embedded derivatives within liability host contracts | 626 | 1,196 |
Total liabilities | 931 | 1,320 |
Recurring | Level 3 | Interest rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 60 | 489 |
Liabilities [Abstract] | ||
Derivative liabilities | 38 | 68 |
Recurring | Level 3 | Foreign currency exchange rate contracts | ||
Assets [Abstract] | ||
Derivative assets | 4 | 176 |
Liabilities [Abstract] | ||
Derivative liabilities | 258 | 38 |
Recurring | Level 3 | Credit contracts | ||
Assets [Abstract] | ||
Derivative assets | 20 | 25 |
Liabilities [Abstract] | ||
Derivative liabilities | 5 | 0 |
Recurring | Level 3 | Equity market contracts | ||
Assets [Abstract] | ||
Derivative assets | 7 | 22 |
Liabilities [Abstract] | ||
Derivative liabilities | 0 | 12 |
Recurring | Level 3 | Derivative Liabilities Within Separate Accounts | ||
Liabilities [Abstract] | ||
Separate account liabilities | 4 | 6 |
Recurring | Level 3 | Residential mortgage loans - FVO | ||
Assets [Abstract] | ||
Residential mortgage loans — FVO | 134 | 165 |
Recurring | Level 3 | U.S. corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 11,229 | 10,202 |
Recurring | Level 3 | Foreign government | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 106 | 117 |
Recurring | Level 3 | Foreign corporate | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 13,507 | 13,899 |
Recurring | Level 3 | U.S. government and agency | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 0 | 0 |
Recurring | Level 3 | RMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 3,236 | 3,302 |
Recurring | Level 3 | ABS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 1,525 | 1,385 |
Recurring | Level 3 | Municipals | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 34 | 0 |
Recurring | Level 3 | CMBS | ||
Assets [Abstract] | ||
Estimated Fair Value of Fixed Maturity Securities AFS | 819 | 602 |
Other limited partnership interests | Recurring | ||
Assets [Abstract] | ||
Investments, Fair Value Disclosure | $ 82 | $ 75 |
Fair Value (Quantitative Inform
Fair Value (Quantitative Information) (Details) | Sep. 30, 2021 | Dec. 31, 2020 |
Minimum | Interest rate contracts | Measurement Input, Swap Yield | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 149 | 92 |
Minimum | Interest rate contracts | Measurement Input, Repurchase Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | (12) |
Minimum | Interest rate contracts | Measurement Input, Price Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0 |
Minimum | Foreign currency exchange rate contracts | Measurement Input, Swap Yield | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | (129) | (309) |
Minimum | Credit contracts | Measurement Input, Credit Spread | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 96 | 96 |
Minimum | Equity market contracts | Measurement Input, Price Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0.21 |
Minimum | Equity market contracts | Measurement Input, Correlation | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0.10 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 0 - 40 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0 | 0 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 41 - 60 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0003 | 0.0003 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 61 - 115 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0012 | 0.0012 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 1 - 10 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0025 | 0.0025 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 11 - 20 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0050 | 0.0050 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 21 - 116 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0050 | 0.0050 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Utilization Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0 | 0 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Withdrawal Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0 | 0 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Long-Term Equity Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0771 | 0.0833 |
Minimum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Counterparty Credit Risk | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0005 | 0.0004 |
Minimum | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Matrix Pricing | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 1 | 0 |
Minimum | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0 | 0 |
Minimum | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Consensus Pricing Model | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 99 | 54 |
Minimum | RMBS | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0 | 0 |
Minimum | ABS | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 3 | 1 |
Minimum | ABS | Valuation Technique, Consensus Pricing Model | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 102 | 100 |
Maximum | Interest rate contracts | Measurement Input, Swap Yield | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 221 | 184 |
Maximum | Interest rate contracts | Measurement Input, Repurchase Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 1 |
Maximum | Interest rate contracts | Measurement Input, Price Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0.01 | 0 |
Maximum | Foreign currency exchange rate contracts | Measurement Input, Swap Yield | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 1,873 | 248 |
Maximum | Credit contracts | Measurement Input, Credit Spread | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 128 | 99 |
Maximum | Equity market contracts | Measurement Input, Price Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0.29 |
Maximum | Equity market contracts | Measurement Input, Correlation | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0.30 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 0 - 40 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0017 | 0.0017 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 41 - 60 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0075 | 0.0075 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 61 - 115 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 1 | 1 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 1 - 10 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 1 | 1 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 11 - 20 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 1 | 1 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 21 - 116 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 1 | 1 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Utilization Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.22 | 0.22 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Withdrawal Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.20 | 0.20 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Long-Term Equity Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.25 | 0.27 |
Maximum | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Counterparty Credit Risk | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0117 | 0.0118 |
Maximum | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Matrix Pricing | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 170 | 186 |
Maximum | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 113 | 116 |
Maximum | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Consensus Pricing Model | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 107 | 104 |
Maximum | RMBS | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 180 | 159 |
Maximum | ABS | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 109 | 112 |
Maximum | ABS | Valuation Technique, Consensus Pricing Model | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 102 | 100 |
Weighted Average | Interest rate contracts | Measurement Input, Swap Yield | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 199 | 149 |
Weighted Average | Interest rate contracts | Measurement Input, Repurchase Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | (6) |
Weighted Average | Interest rate contracts | Measurement Input, Price Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0.01 | 0 |
Weighted Average | Foreign currency exchange rate contracts | Measurement Input, Swap Yield | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 117 | (144) |
Weighted Average | Credit contracts | Measurement Input, Credit Spread | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 104 | 98 |
Weighted Average | Equity market contracts | Measurement Input, Price Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0.28 |
Weighted Average | Equity market contracts | Measurement Input, Correlation | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative Asset (Liability) Net, Measurement Input | 0 | 0.10 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 0 - 40 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0008 | 0.0006 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 41 - 60 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0027 | 0.0030 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Mortality rates: Ages 61 - 115 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0208 | 0.0190 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 1 - 10 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0630 | 0.0686 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 11 - 20 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0522 | 0.0518 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Lapse rates: Durations 21 - 116 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0522 | 0.0518 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Utilization Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0022 | 0.0017 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Withdrawal Rate | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0372 | 0.0398 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Long-Term Equity Volatility | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.1860 | 0.1870 |
Weighted Average | Embedded derivatives direct, assumed and ceded guaranteed minimum benefits | Measurement Input, Counterparty Credit Risk | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Embedded Derivative Asset (Liability) Net, Measurement Input | 0.0035 | 0.0040 |
Weighted Average | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Matrix Pricing | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 111 | 117 |
Weighted Average | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 99 | 98 |
Weighted Average | U.S. corporate and foreign corporate securities [Member] | Valuation Technique, Consensus Pricing Model | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 100 | 101 |
Weighted Average | RMBS | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 99 | 98 |
Weighted Average | ABS | Valuation Technique, Market Approach | Measurement Input, Quoted Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 102 | 100 |
Weighted Average | ABS | Valuation Technique, Consensus Pricing Model | Measurement Input, Offered Price | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 102 | 100 |
Fair Value (Unobservable Input
Fair Value (Unobservable Input Reconciliation) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Residential mortgage loans - FVO | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | $ 140 | $ 175 | $ 165 | $ 188 |
Total realized/unrealized gains (losses) included in net income (loss) | 0 | 6 | (3) | 10 |
Total realized/unrealized gains (losses) included in AOCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | (11) | (7) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | (6) | (5) | (17) | (15) |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Balance, end of period | 134 | 176 | 134 | 176 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (1) | 6 | (7) | 6 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (1) | 6 | (7) | 6 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Net Derivatives | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (273) | 47 | (392) | 3 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 25 | (28) | (206) | 801 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Balance, beginning of period | 57 | 798 | 594 | (146) |
Total realized/unrealized gains (losses) included in net income (loss) | (279) | 61 | (490) | 163 |
Total realized/unrealized gains (losses) included in AOCI | 55 | (24) | (365) | 980 |
Purchases | 7 | 0 | 14 | 0 |
Sales | 0 | 0 | 0 | 0 |
Issuances | (1) | 0 | (6) | 0 |
Settlements | (49) | (111) | 43 | (253) |
Transfers into Level 3 | 0 | 0 | 1 | 0 |
Transfers out of Level 3 | 0 | 13 | (1) | (7) |
Balance, end of period | (210) | 737 | (210) | 737 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (273) | 47 | (392) | 3 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 25 | (28) | (206) | 801 |
Net Embedded Derivatives | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 44 | 403 | 715 | (653) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 1 | (14) | 22 | (20) |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Balance, beginning of period | (574) | (1,925) | (1,141) | (742) |
Total realized/unrealized gains (losses) included in net income (loss) | 47 | 408 | 716 | (643) |
Total realized/unrealized gains (losses) included in AOCI | 0 | (15) | 22 | (21) |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | (60) | (66) | (184) | (192) |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Balance, end of period | (587) | (1,598) | (587) | (1,598) |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 44 | 403 | 715 | (653) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 1 | (14) | 22 | (20) |
Corporate fixed maturity securities | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 23,773 | 20,732 | 24,101 | 14,229 |
Total realized/unrealized gains (losses) included in net income (loss) | (22) | (1) | (28) | (80) |
Total realized/unrealized gains (losses) included in AOCI | (402) | 673 | (1,171) | 371 |
Purchases | 1,853 | 1,023 | 3,395 | 3,653 |
Sales | (475) | (529) | (951) | (911) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 242 | 622 | 139 | 5,416 |
Transfers out of Level 3 | (233) | (377) | (749) | (535) |
Balance, end of period | 24,736 | 22,143 | 24,736 | 22,143 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (18) | (3) | (21) | (42) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | (387) | 665 | (1,141) | 350 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (18) | (3) | (21) | (42) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | (387) | 665 | (1,141) | 350 |
Foreign government | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 145 | 57 | 117 | 117 |
Total realized/unrealized gains (losses) included in net income (loss) | 0 | (1) | 0 | (1) |
Total realized/unrealized gains (losses) included in AOCI | 0 | 6 | (1) | (1) |
Purchases | 12 | 12 | 13 | 12 |
Sales | (10) | 0 | (7) | (7) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 10 | 44 | 13 | 3 |
Transfers out of Level 3 | (51) | (9) | (29) | (14) |
Balance, end of period | 106 | 109 | 106 | 109 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | (3) | 0 | (2) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 3 | (1) | 2 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | (3) | 0 | (2) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 3 | (1) | 2 |
Structured Securities | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 6,003 | 5,377 | 5,289 | 4,458 |
Total realized/unrealized gains (losses) included in net income (loss) | 9 | 23 | 36 | 30 |
Total realized/unrealized gains (losses) included in AOCI | 36 | 96 | 9 | (18) |
Purchases | 334 | 550 | 1,333 | 2,067 |
Sales | (401) | (305) | (1,049) | (704) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 6 | 39 | 256 | 73 |
Transfers out of Level 3 | (407) | (368) | (294) | (494) |
Balance, end of period | 5,580 | 5,412 | 5,580 | 5,412 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 9 | 13 | 33 | 36 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 36 | 95 | 11 | (12) |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 9 | 13 | 33 | 36 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 36 | 95 | 11 | (12) |
Municipals | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 0 | 0 | 0 | 7 |
Total realized/unrealized gains (losses) included in net income (loss) | 0 | 0 | 0 | 0 |
Total realized/unrealized gains (losses) included in AOCI | 0 | 1 | 0 | 1 |
Purchases | 34 | 10 | 34 | 10 |
Sales | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | (7) |
Balance, end of period | 34 | 11 | 34 | 11 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 1 | 0 | 1 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 1 | 0 | 1 |
Equity Securities | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 143 | 373 | 150 | 430 |
Total realized/unrealized gains (losses) included in net income (loss) | 6 | 6 | 16 | 2 |
Total realized/unrealized gains (losses) included in AOCI | 0 | 0 | 0 | 0 |
Purchases | 8 | 0 | 10 | 9 |
Sales | (5) | (69) | (21) | (105) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | (1) | (158) | (4) | (184) |
Balance, end of period | 151 | 152 | 151 | 152 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 6 | 3 | 11 | 1 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 6 | 3 | 11 | 1 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Unit-linked and FVO Securities | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 849 | 589 | 701 | 625 |
Total realized/unrealized gains (losses) included in net income (loss) | (9) | 35 | 53 | 8 |
Total realized/unrealized gains (losses) included in AOCI | 0 | 0 | 0 | 0 |
Purchases | 9 | 7 | 20 | 20 |
Sales | (8) | (13) | (16) | (99) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 86 | 153 |
Transfers out of Level 3 | (8) | (2) | (11) | (91) |
Balance, end of period | 833 | 616 | 833 | 616 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (9) | 35 | 53 | 10 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | (9) | 35 | 53 | 10 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Short-term Investments | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 113 | 7 | 43 | 32 |
Total realized/unrealized gains (losses) included in net income (loss) | 1 | (2) | 1 | (6) |
Total realized/unrealized gains (losses) included in AOCI | (2) | (2) | (2) | (1) |
Purchases | 2 | 1 | 55 | 2 |
Sales | (28) | (1) | (37) | (17) |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 1 | 0 | 0 | 9 |
Transfers out of Level 3 | (30) | 0 | (3) | (16) |
Balance, end of period | 57 | 3 | 57 | 3 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | (2) | 0 | (6) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | (1) | 0 | (1) |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | (2) | 0 | (6) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | (1) | 0 | (1) |
Other Investments | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 781 | 491 | 573 | 455 |
Total realized/unrealized gains (losses) included in net income (loss) | 45 | (8) | 70 | (11) |
Total realized/unrealized gains (losses) included in AOCI | 0 | 0 | 0 | 0 |
Purchases | 116 | 3 | 299 | 42 |
Sales | (72) | 0 | (72) | 0 |
Issuances | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | (25) | 0 | (25) | 0 |
Balance, end of period | 845 | 486 | 845 | 486 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 40 | (7) | 66 | (7) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 40 | (7) | 66 | (7) |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Separate Accounts | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance, beginning of period | 1,249 | 1,056 | 1,079 | 980 |
Total realized/unrealized gains (losses) included in net income (loss) | 12 | (3) | 14 | (2) |
Total realized/unrealized gains (losses) included in AOCI | 0 | 0 | 0 | 0 |
Purchases | 161 | 72 | 336 | 204 |
Sales | (18) | (25) | (43) | (95) |
Issuances | 0 | (2) | (1) | (4) |
Settlements | 0 | 0 | 6 | 1 |
Transfers into Level 3 | 0 | 0 | 10 | 10 |
Transfers out of Level 3 | (5) | (9) | (2) | (5) |
Balance, end of period | 1,399 | 1,089 | 1,399 | 1,089 |
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at end of period | 0 | 0 | 0 | 0 |
Changes in unrealized gains (losses) included in AOCI for the instruments still held at end of period | $ 0 | $ 0 | $ 0 | $ 0 |
Fair Value (Fair Value Option f
Fair Value (Fair Value Option for Residential Mortgage Loans) (Details) - Residential mortgage loans - FVO - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Unpaid principal balance | $ 135 | $ 172 |
Difference between estimated fair value and unpaid principal balance | (1) | (7) |
Carrying value at estimated fair value | 134 | 165 |
Loans in nonaccrual status | 32 | 45 |
Loans more than 90 days past due | 16 | 27 |
Loans in nonaccrual status or more than 90 days past due, or both — difference between aggregate estimated fair value and unpaid principal balance | $ (6) | $ (13) |
Fair Value (Nonrecurring Fair V
Fair Value (Nonrecurring Fair Value Measurements) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Mortgage loans, net (1) | $ 80,964 | $ 80,964 | $ 83,919 | ||
Nonrecurring | Mortgages [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Assets, Fair Value Adjustment | (16) | $ (43) | (41) | $ (52) | |
Nonrecurring | Fair Value, Inputs, Level 3 [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Mortgage loans, net (1) | $ 389 | $ 389 | $ 408 |
Fair Value (Financial Instrumen
Fair Value (Financial Instruments Carried at Other Than Fair Value) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Assets | ||
Policy loans | $ 9,186 | $ 9,493 |
Liabilities | ||
Collateral financing arrangement | 806 | 845 |
Junior subordinated debt securities | 3,155 | 3,153 |
Separate account liabilities | 180,954 | 199,970 |
Carrying Value | ||
Assets | ||
Mortgage loans (2) | 80,830 | 83,754 |
Policy loans | 9,186 | 9,493 |
Other invested assets | 1,053 | 1,188 |
Premiums, reinsurance and other receivables | 2,582 | 2,729 |
Other assets | 296 | 300 |
Liabilities | ||
Policyholder account balances | 125,437 | 126,458 |
Long-term debt | 13,923 | 14,492 |
Collateral financing arrangement | 806 | 845 |
Junior subordinated debt securities | 3,155 | 3,153 |
Other liabilities | 3,328 | 2,113 |
Separate account liabilities | 97,752 | 115,682 |
Estimated Fair Value | ||
Assets | ||
Mortgage loans (2) | 84,846 | 88,675 |
Policy loans | 10,968 | 11,598 |
Other invested assets | 1,053 | 1,188 |
Premiums, reinsurance and other receivables | 2,770 | 2,978 |
Other assets | 293 | 301 |
Liabilities | ||
Policyholder account balances | 130,454 | 134,569 |
Long-term debt | 16,825 | 18,332 |
Collateral financing arrangement | 669 | 710 |
Junior subordinated debt securities | 4,589 | 4,604 |
Other liabilities | 3,998 | 3,133 |
Separate account liabilities | 97,752 | 115,682 |
Estimated Fair Value | Level 1 | ||
Assets | ||
Mortgage loans (2) | 0 | 0 |
Policy loans | 0 | 0 |
Other invested assets | 0 | 0 |
Premiums, reinsurance and other receivables | 0 | 0 |
Other assets | 0 | 0 |
Liabilities | ||
Policyholder account balances | 0 | 0 |
Long-term debt | 0 | 0 |
Collateral financing arrangement | 0 | 0 |
Junior subordinated debt securities | 0 | 0 |
Other liabilities | 0 | 0 |
Separate account liabilities | 0 | 0 |
Estimated Fair Value | Level 2 | ||
Assets | ||
Mortgage loans (2) | 0 | 0 |
Policy loans | 0 | 0 |
Other invested assets | 791 | 814 |
Premiums, reinsurance and other receivables | 755 | 908 |
Other assets | 101 | 111 |
Liabilities | ||
Policyholder account balances | 0 | 0 |
Long-term debt | 16,825 | 18,332 |
Collateral financing arrangement | 0 | 0 |
Junior subordinated debt securities | 4,589 | 4,604 |
Other liabilities | 1,737 | 527 |
Separate account liabilities | 97,752 | 115,682 |
Estimated Fair Value | Level 3 | ||
Assets | ||
Mortgage loans (2) | 84,846 | 88,675 |
Policy loans | 10,968 | 11,598 |
Other invested assets | 262 | 374 |
Premiums, reinsurance and other receivables | 2,015 | 2,070 |
Other assets | 192 | 190 |
Liabilities | ||
Policyholder account balances | 130,454 | 134,569 |
Long-term debt | 0 | 0 |
Collateral financing arrangement | 669 | 710 |
Junior subordinated debt securities | 0 | 0 |
Other liabilities | 2,261 | 2,606 |
Separate account liabilities | $ 0 | $ 0 |
Long-term Debt (Details)
Long-term Debt (Details) - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended | |
Jul. 31, 2021 | Sep. 30, 2021 | Jul. 15, 2021 | |
Debt Instrument [Line Items] | |||
Debt Disclosure [Text Block] | 9. Long Term Debt Senior Notes In July 2021, MetLife, Inc. redeemed for cash and canceled $500 million aggregate principal amount of its outstanding 3.048% senior notes due December 2022. The Company recorded a premium of $17 million paid in excess of the debt principal and accrued and unpaid interest to other expenses. Credit Facility In February 2021, MetLife, Inc. and MetLife Funding, Inc. amended and restated their five-year $3.0 billion unsecured credit agreement (as amended and restated, the “2021 Five-Year Credit Agreement”). The facility may be used for general corporate purposes (including in the case of loans, to back up commercial paper and, in the case of letters of credit, to support variable annuity policy and reinsurance reserve requirements). All borrowings under the 2021 Five-Year Credit Agreement must be repaid by February 26, 2026, except that letters of credit outstanding on that date may remain outstanding until no later than February 26, 2027. MetLife, Inc. incurred costs of $6 million related to the 2021 Five-Year Credit Agreement, which were capitalized and included in other assets. These costs are being amortized over the remaining term of the 2021 Five-Year Credit Agreement. | ||
Senior Debt $500 Million 3.048% which matures in December 2022 | |||
Debt Instrument [Line Items] | |||
Early Repayment of Senior Debt | $ 500 | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.048% | ||
Redemption Premium | $ 17 | ||
General Credit Facility Three | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 3,000 | ||
General Credit Facility | |||
Debt Instrument [Line Items] | |||
Debt Issuance Costs, Gross | $ 6 |
Equity Equity (Preferred Stock
Equity Equity (Preferred Stock Classification) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||||
Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | May 17, 2021 | Dec. 31, 2020 | |
Class of Stock [Line Items] | ||||||||
Treasury Stock, Value, Acquired, Cost Method | $ 1,015 | $ 80 | $ 2,112 | $ 500 | $ 3,100 | $ 580 | ||
Preferred Stock, Shares Authorized | 200,000,000 | 200,000,000 | 200,000,000 | |||||
Preferred Stock, Shares Issued | 25,572,200 | 25,572,200 | 26,072,200 | |||||
Preferred Stock, Shares Outstanding | 25,572,200 | 25,572,200 | 26,072,200 | |||||
Preferred stock redemption premium | $ 0 | $ 14 | $ 6 | $ 6 | $ 14 | |||
Preferred Stock, Redemption Amount | $ 500 | |||||||
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 | |||||
Series A Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 27,600,000 | 27,600,000 | 27,600,000 | |||||
Preferred Stock, Shares Issued | 24,000,000 | 24,000,000 | 24,000,000 | |||||
Preferred Stock, Shares Outstanding | 24,000,000 | 24,000,000 | 24,000,000 | |||||
Series C Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 0 | 0 | 500,000 | 1,500,000 | ||||
Preferred Stock, Shares Issued | 0 | 0 | 500,000 | |||||
Preferred Stock, Shares Outstanding | 0 | 0 | 500,000 | |||||
Preferred Stock, Redemption Price Per Share | $ 1,000 | |||||||
Preferred Stock, Dividend Payment Rate, Variable | 5.25% Fixed-to-Floating Rate | |||||||
Preferred stock redemption premium | $ 6 | |||||||
Series D Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 500,000 | 500,000 | 500,000 | |||||
Preferred Stock, Shares Issued | 500,000 | 500,000 | 500,000 | |||||
Preferred Stock, Shares Outstanding | 500,000 | 500,000 | 500,000 | |||||
Series E Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 32,200 | 32,200 | 32,200 | |||||
Preferred Stock, Shares Issued | 32,200 | 32,200 | 32,200 | |||||
Preferred Stock, Shares Outstanding | 32,200 | 32,200 | 32,200 | |||||
Series F Preferred Stock [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 40,000 | 40,000 | 40,000 | |||||
Preferred Stock, Shares Issued | 40,000 | 40,000 | 40,000 | |||||
Preferred Stock, Shares Outstanding | 40,000 | 40,000 | 40,000 | |||||
Series A Junior Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 | 10,000,000 | |||||
Preferred Stock, Shares Issued | 0 | 0 | 0 | |||||
Preferred Stock, Shares Outstanding | 0 | 0 | 0 | |||||
Not Designated Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 160,827,800 | 160,827,800 | 159,327,800 | |||||
Preferred Stock, Shares Issued | 0 | 0 | 0 | |||||
Preferred Stock, Shares Outstanding | 0 | 0 | 0 | |||||
Series G Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 | 1,000,000 | |||||
Preferred Stock, Shares Issued | 1,000,000 | 1,000,000 | 1,000,000 | |||||
Preferred Stock, Shares Outstanding | 1,000,000 | 1,000,000 | 1,000,000 |
Equity Equity (Preferred Stoc_2
Equity Equity (Preferred Stock Dividends) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Dividends Payable [Line Items] | ||||
Dividends, Preferred Stock, Cash | $ 63 | $ 59 | $ 166 | $ 168 |
Series A Preferred Stock | ||||
Dividends Payable [Line Items] | ||||
Preferred Stock, Dividends Per Share, Declared | $ 0.256 | $ 0.256 | $ 0.762 | $ 0.762 |
Dividends, Preferred Stock, Cash | $ 6 | $ 6 | $ 18 | $ 18 |
Series C Preferred Stock | ||||
Dividends Payable [Line Items] | ||||
Preferred Stock, Dividends Per Share, Declared | $ 0 | $ 9.940 | $ 19.085 | $ 36.190 |
Dividends, Preferred Stock, Cash | $ 0 | $ 15 | $ 10 | $ 54 |
Series D Preferred Stock | ||||
Dividends Payable [Line Items] | ||||
Preferred Stock, Dividends Per Share, Declared | $ 29.375 | $ 29.375 | $ 58.750 | $ 58.750 |
Dividends, Preferred Stock, Cash | $ 14 | $ 15 | $ 29 | $ 30 |
Series E Preferred Stock | ||||
Dividends Payable [Line Items] | ||||
Preferred Stock, Dividends Per Share, Declared | $ 351.563 | $ 351.563 | $ 1,054.689 | $ 1,054.689 |
Dividends, Preferred Stock, Cash | $ 11 | $ 11 | $ 34 | $ 34 |
Series G Preferred Stock | ||||
Dividends Payable [Line Items] | ||||
Preferred Stock, Dividends Per Share, Declared | $ 19.250 | $ 0 | $ 39.035 | $ 0 |
Dividends, Preferred Stock, Cash | $ 20 | $ 0 | $ 39 | $ 0 |
Series F Preferred Stock [Member] | ||||
Dividends Payable [Line Items] | ||||
Preferred Stock, Dividends Per Share, Declared | $ 296.875 | $ 296.875 | $ 890.625 | $ 791.667 |
Dividends, Preferred Stock, Cash | $ 12 | $ 12 | $ 36 | $ 32 |
Equity (Common Stock Repurchase
Equity (Common Stock Repurchase Authorization) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Aug. 04, 2021 | Dec. 11, 2020 | Jul. 31, 2019 |
Equity, Class of Treasury Stock [Line Items] | ||||
Stock Repurchase Program, Authorized Amount | $ 3,000 | $ 3,000 | $ 2,000 | |
July2019Authorization [Member] | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 0 | |||
December2020Authorization | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | 0 | |||
August2021Authorization | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 2,708 |
Equity (Common Stock - Narrativ
Equity (Common Stock - Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Equity [Abstract] | ||||||
Treasury Stock, Shares, Acquired | 52,857,261 | 12,806,464 | ||||
Treasury Stock, Value, Acquired, Cost Method | $ 1,015 | $ 80 | $ 2,112 | $ 500 | $ 3,100 | $ 580 |
Equity (Stock-Based Compensatio
Equity (Stock-Based Compensation Plans - Narrative) (Details) - shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Dec. 31, 2020 | |
Minimum | ||
Equity - Stock-based Compensation Plans [Line Items] | ||
Future Performance Factor | 0.00% | |
Maximum | ||
Equity - Stock-based Compensation Plans [Line Items] | ||
Future Performance Factor | 175.00% | |
Performance Shares | ||
Equity - Stock-based Compensation Plans [Line Items] | ||
Performance Factor | 110.80% | |
Vested in period | 1,266,651 | |
Issued in period | 1,403,449 | |
Performance Units | ||
Equity - Stock-based Compensation Plans [Line Items] | ||
Vested in period | 170,214 | |
Paid in period | 188,597 |
Equity (Components of Accumulat
Equity (Components of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance, beginning of period | $ 12,309 | $ 18,563 | $ 18,072 | $ 13,052 |
OCI before reclassifications | (607) | (2,554) | (7,843) | 4,949 |
Deferred income tax benefit (expense) | 101 | 394 | 1,581 | (1,273) |
AOCI before reclassifications, net of income tax | 11,803 | 16,403 | 11,810 | 16,728 |
Amounts reclassified from AOCI | 175 | (500) | 264 | (592) |
Deferred income tax benefit (expense) | (35) | 133 | (56) | 148 |
Amounts reclassified from AOCI, net of income tax | 140 | (367) | 208 | (444) |
Balance, end of period | 12,111 | 16,036 | 12,111 | 16,036 |
Unrealized Investment Gains (Losses), Net of Related Offsets | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance, beginning of period | 17,535 | 21,759 | 22,217 | 18,283 |
OCI before reclassifications | (633) | (2,212) | (6,512) | 2,674 |
Deferred income tax benefit (expense) | 208 | 190 | 1,584 | (785) |
AOCI before reclassifications, net of income tax | 17,110 | 19,737 | 17,289 | 20,172 |
Amounts reclassified from AOCI | (91) | (64) | (76) | (297) |
Deferred income tax benefit (expense) | 22 | 41 | 18 | 87 |
Amounts reclassified from AOCI, net of income tax | (69) | (23) | (58) | (210) |
Balance, end of period | 17,063 | 19,714 | 17,063 | 19,714 |
Unrealized Gains (Losses) on Derivatives | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance, beginning of period | 1,073 | 4,154 | 1,513 | 1,698 |
OCI before reclassifications | 442 | (846) | (172) | 2,202 |
Deferred income tax benefit (expense) | (102) | 207 | 39 | (461) |
AOCI before reclassifications, net of income tax | 1,413 | 3,515 | 1,380 | 3,439 |
Amounts reclassified from AOCI | 236 | (457) | 279 | (359) |
Deferred income tax benefit (expense) | (54) | 97 | (64) | 75 |
Amounts reclassified from AOCI, net of income tax | 182 | (360) | 215 | (284) |
Balance, end of period | 1,595 | 3,155 | 1,595 | 3,155 |
Foreign Currency Translation Adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance, beginning of period | (4,463) | (5,382) | (3,795) | (4,927) |
OCI before reclassifications | (421) | 507 | (1,168) | 76 |
Deferred income tax benefit (expense) | (4) | (4) | (40) | (28) |
AOCI before reclassifications, net of income tax | (4,888) | (4,879) | (5,003) | (4,879) |
Amounts reclassified from AOCI | 0 | 0 | 0 | 0 |
Deferred income tax benefit (expense) | 0 | 0 | 0 | 0 |
Amounts reclassified from AOCI, net of income tax | 0 | 0 | 0 | 0 |
Balance, end of period | (4,742) | (4,879) | (4,742) | (4,879) |
Defined Benefit Plans Adjustment | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance, beginning of period | (1,836) | (1,968) | (1,863) | (2,002) |
OCI before reclassifications | 5 | (3) | 9 | (3) |
Deferred income tax benefit (expense) | (1) | 1 | (2) | 1 |
AOCI before reclassifications, net of income tax | (1,832) | (1,970) | (1,856) | (2,004) |
Amounts reclassified from AOCI | 30 | 21 | 61 | 64 |
Deferred income tax benefit (expense) | (3) | (5) | (10) | (14) |
Amounts reclassified from AOCI, net of income tax | 27 | 16 | 51 | 50 |
Balance, end of period | (1,805) | $ (1,954) | (1,805) | (1,954) |
MetLife Hong Kong | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | (248) | |||
MetLife Hong Kong | Unrealized Investment Gains (Losses), Net of Related Offsets | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | (248) | |||
MetLife Hong Kong | Unrealized Gains (Losses) on Derivatives | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | 0 | |||
MetLife Hong Kong | Foreign Currency Translation Adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | 0 | |||
MetLife Hong Kong | Defined Benefit Plans Adjustment | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | $ 0 | |||
Disposal Group, Held-for-Sale or Disposed of by Sale | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | 168 | 93 | ||
Disposal Group, Held-for-Sale or Disposed of by Sale | Unrealized Investment Gains (Losses), Net of Related Offsets | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | 22 | (168) | ||
Disposal Group, Held-for-Sale or Disposed of by Sale | Unrealized Gains (Losses) on Derivatives | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | 0 | 0 | ||
Disposal Group, Held-for-Sale or Disposed of by Sale | Foreign Currency Translation Adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | 146 | 261 | ||
Disposal Group, Held-for-Sale or Disposed of by Sale | Defined Benefit Plans Adjustment | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Amounts reclassified from AOCI, net of income tax | $ 0 | $ 0 |
Equity (Reclassifications Out o
Equity (Reclassifications Out of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net investment gains (losses) | $ (84) | $ (20) | $ 1,655 | $ (77) | ||
Net investment income | 5,568 | 4,729 | 16,162 | 11,877 | ||
Net derivative gains (losses) | (218) | (581) | (2,032) | 2,910 | ||
Other expenses | 3,284 | 3,470 | 9,315 | 9,726 | ||
Income (loss) from continuing operations before provision for income tax | 2,042 | 923 | 6,820 | 6,763 | ||
Income tax (expense) benefit | (453) | (214) | (1,456) | (1,503) | ||
Net income (loss) | 1,589 | 709 | $ 3,775 | $ 4,551 | 5,364 | 5,260 |
Reclassification out of Accumulated Other Comprehensive Income | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net income (loss) | (140) | 367 | (208) | 444 | ||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized Investment Gains (Losses), Net of Related Offsets | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net investment gains (losses) | 97 | 65 | 42 | 320 | ||
Net investment income | (4) | (8) | (13) | (18) | ||
Net derivative gains (losses) | (2) | 7 | 47 | (5) | ||
Income (loss) from continuing operations before provision for income tax | 91 | 64 | 76 | 297 | ||
Income tax (expense) benefit | (22) | (41) | (18) | (87) | ||
Net income (loss) | 69 | 23 | 58 | 210 | ||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized Gains (Losses) on Derivatives | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Income (loss) from continuing operations before provision for income tax | (236) | 457 | (279) | 359 | ||
Income tax (expense) benefit | 54 | (97) | 64 | (75) | ||
Net income (loss) | (182) | 360 | (215) | 284 | ||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized Gains (Losses) on Derivatives | Interest Rate Contract | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net investment gains (losses) | 6 | 10 | 54 | 58 | ||
Net investment income | 14 | 9 | 41 | 24 | ||
Other expenses | 1 | 1 | 2 | 2 | ||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized Gains (Losses) on Derivatives | Foreign currency swaps | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net investment gains (losses) | (259) | 435 | (383) | 271 | ||
Net investment income | 2 | 2 | 6 | 3 | ||
Other expenses | 0 | 0 | 1 | 1 | ||
Reclassification out of Accumulated Other Comprehensive Income | Defined Benefit Plans Adjustment | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Amortization of net actuarial gains (losses) | (34) | (26) | (87) | (78) | ||
Amortization of prior service (costs) credit | 4 | 5 | 26 | 14 | ||
Income (loss) from continuing operations before provision for income tax | (30) | (21) | (61) | (64) | ||
Income tax (expense) benefit | 3 | 5 | 10 | 14 | ||
Net income (loss) | $ (27) | $ (16) | $ (51) | $ (50) |
Equity (Dividend Restriction -
Equity (Dividend Restriction - Narrative) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2021USD ($) | |
Statutory Accounting Practices [Line Items] | |
Non Cash Dividend Consisting Of Stock | $ 35 |
American Life Insurance Company | |
Statutory Accounting Practices [Line Items] | |
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries | $ 600 |
Other Revenues and Other Expe_3
Other Revenues and Other Expenses Other Revenues (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 516 | $ 331 | $ 1,545 | $ 1,000 |
Other revenues | 663 | 455 | 1,958 | 1,350 |
Vision fee for service arrangements (1) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 135 | 0 | 410 | 0 |
Prepaid legal plans | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 107 | 100 | 324 | 300 |
Fee-based investment management | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 95 | 82 | 266 | 232 |
Recordkeeping and administrative services (2) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 54 | 50 | 160 | 145 |
Administrative services-only contracts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 56 | 54 | 175 | 164 |
Other revenue from service contracts from customers | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 69 | 45 | 210 | 159 |
Other Income | ||||
Disaggregation of Revenue [Line Items] | ||||
Other revenues | $ 147 | $ 124 | $ 413 | $ 350 |
Other Expenses (Other Expenses)
Other Expenses (Other Expenses) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Other Income and Expenses [Abstract] | ||||
Employee-related costs (1) | $ 794 | $ 866 | $ 2,576 | $ 2,577 |
Third party staffing costs | 353 | 309 | 1,001 | 968 |
General and administrative expenses | 212 | 172 | 455 | 553 |
Pension, postretirement and postemployment benefit costs | 43 | 37 | 94 | 113 |
Premium taxes, other taxes, and licenses & fees | 144 | 194 | 480 | 563 |
Commissions and other variable expenses | 1,323 | 1,376 | 4,147 | 4,099 |
Capitalization of DAC | (635) | (764) | (2,052) | (2,209) |
Amortization of DAC and VOBA | 816 | 1,066 | 1,943 | 2,414 |
Amortization of negative VOBA | (6) | (15) | (25) | (35) |
Interest expense on debt | 240 | 229 | 696 | 683 |
Total other expenses | 3,284 | 3,470 | 9,315 | 9,726 |
Net change in cash surrender value of investments, net of premiums paid | $ (15) | $ (44) | $ (89) | $ (84) |
Employee Benefit Plans (Net Per
Employee Benefit Plans (Net Periodic Benefit Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Pension Benefits | ||||
Net periodic benefit costs [Abstract] | ||||
Service costs | $ 58 | $ 62 | $ 177 | $ 185 |
Interest costs | 89 | 89 | 250 | 267 |
Curtailment (gains) losses | (17) | 0 | ||
Expected return on plan assets | (124) | (132) | (381) | (396) |
Amortization of net actuarial (gains) losses | 38 | 45 | 115 | 134 |
Amortization of prior service costs (credit) | (6) | (4) | (11) | (12) |
Net periodic benefit costs (credit) | 55 | 60 | 133 | 178 |
Other Postretirement Benefits | ||||
Net periodic benefit costs [Abstract] | ||||
Service costs | 2 | 2 | 4 | 4 |
Interest costs | 9 | 10 | 27 | 31 |
Curtailment (gains) losses | 0 | 0 | ||
Expected return on plan assets | (14) | (15) | (42) | (46) |
Amortization of net actuarial (gains) losses | (6) | (19) | (33) | (56) |
Amortization of prior service costs (credit) | 0 | (1) | 0 | (2) |
Net periodic benefit costs (credit) | $ (9) | $ (23) | $ (44) | $ (69) |
Income Tax (Narrative) (Details
Income Tax (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Effective Income Tax Rate Reconciliation, Percent | 22.00% | 23.00% | 21.00% | 22.00% |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% |
Earnings Per Common Share (Earn
Earnings Per Common Share (Earnings Per Common Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Weighted Average Shares: | ||||||
Weighted average common stock outstanding - basic | 854.9 | 908.7 | 871.1 | 910.5 | ||
Incremental common shares from assumed exercise or issuance of stock-based awards | 6.3 | 5 | 6.4 | 5.1 | ||
Weighted average common stock outstanding - diluted | 861.2 | 913.7 | 877.5 | 915.6 | ||
Net Income (Loss): | ||||||
Net income (loss) | $ 1,589 | $ 709 | $ 3,775 | $ 4,551 | $ 5,364 | $ 5,260 |
Less: Net income (loss) attributable to noncontrolling interests | 5 | 3 | 15 | 11 | ||
Less: Preferred stock dividends | 63 | 59 | 103 | $ 109 | 166 | 168 |
Preferred stock redemption premium | 0 | 14 | $ 6 | 6 | 14 | |
Net income (loss) available to MetLife, Inc.’s common shareholders | $ 1,521 | $ 633 | $ 5,177 | $ 5,067 | ||
Basic | $ 1.78 | $ 0.70 | $ 5.94 | $ 5.57 | ||
Diluted | $ 1.77 | $ 0.69 | $ 5.90 | $ 5.53 |
Contingencies, Commitments an_2
Contingencies, Commitments and Guarantees (Contingencies - Narrative) (Details) $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2021USD ($)Claims | Sep. 30, 2020Claims | Dec. 31, 2020Claims | |
Minimum | |||
Loss Contingencies | |||
Loss Contingency, Range of Possible Loss, Portion Not Accrued | $ 0 | ||
Maximum | |||
Loss Contingencies | |||
Loss Contingency, Range of Possible Loss, Portion Not Accrued | $ 150 | ||
Asbestos Related Claims | |||
Loss Contingencies | |||
Asbestos-Related Claims | Claims | 2,156 | 1,768 | 2,496 |
Contingencies, Commitments an_3
Contingencies, Commitments and Guarantees (Commitments and Guarantees - Narrative) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Contingencies, Commitments and Guarantees [Abstract] | ||
Liabilities for indemnities, guarantees and commitments | $ 20 | $ 20 |
Cumulative maximum indemnities and guarantees contractual limitation | 634 | |
Minimum | ||
Contingencies, Commitments and Guarantees [Abstract] | ||
Indemnities and guarantees contractual limitation range | 1 | |
Maximum | ||
Contingencies, Commitments and Guarantees [Abstract] | ||
Indemnities and guarantees contractual limitation range | 329 | |
Mortgage Loan Commitments | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fair Value Disclosure, Off-balance Sheet Risks, Face Amount, Liability | 4,300 | 3,300 |
Commitments to Fund Partnership Investments, Bank Credit Facilities, Bridge Loans and Private Corporate Bond Investments | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Fair Value Disclosure, Off-balance Sheet Risks, Face Amount, Liability | $ 9,100 | $ 8,500 |