Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 15, 2017 | Jun. 30, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | GNW | ||
Entity Registrant Name | GENWORTH FINANCIAL INC | ||
Entity Central Index Key | 1,276,520 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 498,424,216 | ||
Entity Public Float | $ 1.3 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Assets | |||
Fixed maturity securities available-for-sale, at fair value | $ 60,572 | $ 58,197 | |
Equity securities available-for-sale, at fair value | 632 | 310 | |
Commercial mortgage loans | 6,111 | 6,170 | |
Restricted commercial mortgage loans related to securitization entities | 129 | 161 | |
Policy loans | 1,742 | 1,568 | |
Other invested assets | 2,071 | 2,309 | |
Restricted other invested assets related to securitization entities, at fair value | 312 | 413 | |
Total investments | 71,569 | 69,128 | |
Cash and cash equivalents | 2,784 | 5,965 | |
Accrued investment income | 659 | 653 | |
Deferred acquisition costs | 3,571 | 4,398 | |
Intangible assets and goodwill | 348 | 357 | |
Reinsurance recoverable | 17,755 | 17,245 | |
Other assets | 673 | 520 | |
Deferred tax asset | 0 | 155 | |
Separate account assets | 7,299 | 7,883 | |
Assets held for sale | 0 | 127 | |
Total assets | 104,658 | 106,431 | |
Liabilities and equity | |||
Future policy benefits | 37,063 | 36,475 | |
Policyholder account balances | 25,662 | 26,209 | |
Liability for policy and contract claims | 9,256 | 8,095 | |
Unearned premiums | 3,378 | 3,308 | |
Other liabilities ($1 and $46 of other liabilities are related to securitization entities) | 2,916 | 3,004 | |
Borrowings related to securitization entities ($12 and $81 are carried at fair value) | 74 | 179 | |
Non-recourse funding obligations | 310 | 1,920 | |
Long-term borrowings | 4,180 | 4,570 | |
Deferred tax liability | 53 | 24 | |
Separate account liabilities | 7,299 | 7,883 | |
Liabilities held for sale | 0 | 127 | |
Total liabilities | 90,191 | 91,794 | |
Commitments and contingencies | |||
Equity: | |||
Class A common stock, $0.001 par value; 1.5 billion shares authorized; 587 million and 586 million shares issued as of December 31, 2016 and 2015, respectively; 498 million shares outstanding as of December 31, 2016 and 2015 | 1 | 1 | |
Additional paid-in capital | 11,962 | 11,949 | |
Net unrealized investment gains (losses): | |||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 1,253 | 1,236 | |
Net unrealized gains (losses) on other-than-temporarily impaired securities | 9 | 18 | |
Net unrealized investment gains (losses) | [1] | 1,262 | 1,254 |
Derivatives qualifying as hedges | [2] | 2,085 | 2,045 |
Foreign currency translation and other adjustments | (253) | (289) | |
Total accumulated other comprehensive income (loss) | 3,094 | 3,010 | |
Retained earnings | 287 | 564 | |
Treasury stock, at cost (88 million shares as of December 31, 2016 and 2015) | (2,700) | (2,700) | |
Total Genworth Financial, Inc.'s stockholders' equity | 12,644 | 12,824 | |
Noncontrolling interests | 1,823 | 1,813 | |
Total equity | 14,467 | 14,637 | |
Total liabilities and equity | $ 104,658 | $ 106,431 | |
[1] | Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. | ||
[2] | See note 5 for additional information. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Other liabilities, securitization entities | $ 1 | $ 46 | |
Borrowings related to securitization entities, fair value | [1] | $ 12 | $ 81 |
Class A common stock, par value | $ 0.001 | $ 0.001 | |
Class A common stock, shares authorized | 1,500,000,000 | 1,500,000,000 | |
Class A common stock, shares issued | 587,000,000 | 586,000,000 | |
Class A common stock, shares outstanding | 498,000,000 | 498,000,000 | |
Treasury stock, shares | 88,000,000 | 88,000,000 | |
[1] | See note 17 for additional information related to consolidated securitization entities. |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Revenues: | ||||
Premiums | $ 4,160 | $ 4,579 | $ 4,700 | |
Net investment income | 3,159 | 3,138 | 3,142 | |
Net investment gains (losses) | 72 | (75) | (22) | |
Policy fees and other income | 978 | 906 | 909 | |
Total revenues | 8,369 | 8,548 | 8,729 | |
Benefits and expenses: | ||||
Benefits and other changes in policy reserves | 5,245 | 5,149 | 6,418 | |
Interest credited | 696 | 720 | 737 | |
Acquisition and operating expenses, net of deferrals | 1,273 | 1,309 | 1,138 | |
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 | |
Goodwill impairment | 0 | 0 | 849 | |
Interest expense | 337 | 419 | 433 | |
Total benefits and expenses | 8,049 | 8,563 | 10,028 | |
Income (loss) from continuing operations before income taxes | 320 | (15) | (1,299) | |
Provision (benefit) for income taxes | 358 | (9) | (94) | |
Income (loss) from continuing operations | (38) | (6) | (1,205) | |
Income (loss) from discontinued operations, net of taxes | (29) | (407) | 157 | |
Net loss | (67) | (413) | (1,048) | |
Less: net income attributable to noncontrolling interests | 210 | 202 | 196 | |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (277) | $ (615) | $ (1,244) | |
Loss from continuing operations available to Genworth Financial, Inc.'s common stockholders per common share: | ||||
Basic | $ (0.50) | $ (0.42) | $ (2.82) | |
Diluted | (0.50) | (0.42) | (2.82) | |
Net loss available to Genworth Financial, Inc.'s common stockholders per common share: | ||||
Basic | (0.56) | (1.24) | (2.51) | |
Diluted | $ (0.56) | $ (1.24) | $ (2.51) | |
Weighted-average common shares outstanding: | ||||
Basic | 498.3 | 497.4 | 496.4 | |
Diluted | [1] | 498.3 | 497.4 | 496.4 |
Supplemental disclosures: | ||||
Total other-than-temporary impairments | $ (40) | $ (28) | $ (9) | |
Portion of other-than-temporary impairments included in other comprehensive income (loss) | 0 | 1 | 0 | |
Net other-than-temporary impairments | (40) | (27) | (9) | |
Other investment gains (losses) | 112 | (48) | (13) | |
Net investment gains (losses) | $ 72 | $ (75) | $ (22) | |
[1] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the years ended December 31, 2016, 2015 and 2014, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the years ended December 31, 2016, 2015 and 2014, as the inclusion of shares for stock options, restricted stock units ("RSUs") and stock appreciation rights ("SARs") of 2.0 million, 1.6 million and 5.6 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the years ended December 31, 2016, 2015 and 2014, dilutive potential weighted-average common shares outstanding would have been 500.3 million, 499.0 million and 502.0 million, respectively. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | [2],[3] | Sep. 30, 2015 | [2],[3] | Jun. 30, 2015 | [2],[3] | Mar. 31, 2015 | [2],[3] | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Net income (loss) | $ (63) | $ (332) | $ 220 | $ 108 | $ (240) | $ (238) | $ (139) | $ 204 | $ (67) | $ (413) | $ (1,048) | |||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 6 | (1,209) | 1,573 | |||||||||||||||||
Net unrealized gains (losses) on other-than-temporarily impaired securities | (9) | (4) | 10 | |||||||||||||||||
Derivatives qualifying as hedges | [4] | 40 | (25) | 751 | ||||||||||||||||
Foreign currency translation and other adjustments | 54 | (530) | (537) | |||||||||||||||||
Total other comprehensive income (loss) | 91 | (1,768) | 1,797 | |||||||||||||||||
Total comprehensive income (loss) | 24 | (2,181) | 749 | |||||||||||||||||
Less: comprehensive income attributable to noncontrolling interests | 217 | (106) | 32 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (193) | $ (2,075) | $ 717 | |||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. | |||||||||||||||||||
[4] | See note 5 for additional information. |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Millions | Total | Common stock | Additional paid-in capital | Accumulated other comprehensive income (loss) | Retained earnings | Treasury stock, at cost | Total Genworth Financial, Inc.'s stockholders' equity | Noncontrolling interests |
Balances at Dec. 31, 2013 | $ 15,620 | $ 1 | $ 12,127 | $ 2,542 | $ 2,423 | $ (2,700) | $ 14,393 | $ 1,227 |
Sale of subsidiary shares to noncontrolling interests | 511 | 0 | (145) | (57) | 0 | 0 | (202) | 713 |
Repurchase of subsidiary shares | (28) | 0 | 0 | 0 | 0 | 0 | 0 | (28) |
Comprehensive income (loss): | ||||||||
Net income (loss) | (1,048) | 0 | 0 | 0 | (1,244) | 0 | (1,244) | 196 |
Other comprehensive income (loss), net of taxes | 1,797 | 0 | 0 | 1,961 | 0 | 0 | 1,961 | (164) |
Total comprehensive income (loss) | 749 | 717 | 32 | |||||
Dividends to noncontrolling interests | (75) | 0 | 0 | 0 | 0 | 0 | 0 | (75) |
Stock-based compensation expense and exercises and other | 20 | 0 | 15 | 0 | 0 | 0 | 15 | 5 |
Balances at Dec. 31, 2014 | 16,797 | 1 | 11,997 | 4,446 | 1,179 | (2,700) | 14,923 | 1,874 |
Sale of subsidiary shares to noncontrolling interests | 226 | 0 | (65) | 24 | 0 | 0 | (41) | 267 |
Repurchase of subsidiary shares | (68) | 0 | 0 | 0 | 0 | 0 | 0 | (68) |
Comprehensive income (loss): | ||||||||
Net income (loss) | (413) | 0 | 0 | 0 | (615) | 0 | (615) | 202 |
Other comprehensive income (loss), net of taxes | (1,768) | 0 | 0 | (1,460) | 0 | 0 | (1,460) | (308) |
Total comprehensive income (loss) | (2,181) | (2,075) | (106) | |||||
Dividends to noncontrolling interests | (157) | 0 | 0 | 0 | 0 | 0 | 0 | (157) |
Stock-based compensation expense and exercises and other | 20 | 0 | 17 | 0 | 0 | 0 | 17 | 3 |
Balances at Dec. 31, 2015 | 14,637 | 1 | 11,949 | 3,010 | 564 | (2,700) | 12,824 | 1,813 |
Return of capital to noncontrolling interests | (70) | 0 | 0 | 0 | 0 | 0 | 0 | (70) |
Comprehensive income (loss): | ||||||||
Net income (loss) | (67) | 0 | 0 | 0 | (277) | 0 | (277) | 210 |
Other comprehensive income (loss), net of taxes | 91 | 0 | 0 | 84 | 0 | 0 | 84 | 7 |
Total comprehensive income (loss) | 24 | (193) | 217 | |||||
Dividends to noncontrolling interests | (138) | 0 | 0 | 0 | 0 | 0 | 0 | (138) |
Stock-based compensation expense and exercises and other | 14 | 0 | 13 | 0 | 0 | 0 | 13 | 1 |
Balances at Dec. 31, 2016 | $ 14,467 | $ 1 | $ 11,962 | $ 3,094 | $ 287 | $ (2,700) | $ 12,644 | $ 1,823 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Cash flows from operating activities: | |||
Net loss | $ (67) | $ (413) | $ (1,048) |
Less (income) loss from discontinued operations, net of taxes | 29 | 407 | (157) |
Adjustments to reconcile net loss to net cash from operating activities: | |||
(Gain) loss on sale of businesses | (26) | 141 | 0 |
Amortization of fixed maturity securities discounts and premiums and limited partnerships | (138) | (106) | (111) |
Net investment (gains) losses | (72) | 75 | 22 |
Charges assessed to policyholders | (782) | (788) | (777) |
Acquisition costs deferred | (150) | (293) | (383) |
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 |
Goodwill impairment | 0 | 0 | 849 |
Deferred income taxes | 145 | (196) | (341) |
Net increase (decrease) in trading securities, held-for-sale investments and derivative instruments | 709 | (239) | 206 |
Stock-based compensation expense | 32 | 16 | 28 |
Change in certain assets and liabilities: | |||
Accrued investment income and other assets | (358) | (106) | (163) |
Insurance reserves | 1,315 | 1,847 | 2,497 |
Current tax liabilities | 32 | (15) | (196) |
Other liabilities, policy and contract claims and other policy-related balances | 685 | 293 | 1,517 |
Cash from operating activities-held for sale | 0 | 2 | 42 |
Net cash from operating activities | 1,852 | 1,591 | 2,438 |
Cash flows from investing activities: | |||
Fixed maturity securities | 3,889 | 4,541 | 5,198 |
Commercial mortgage loans | 700 | 882 | 765 |
Restricted commercial mortgage loans related to securitization entities | 32 | 41 | 32 |
Proceeds from sales of investments: | |||
Fixed maturity and equity securities | 5,629 | 4,391 | 2,386 |
Purchases and originations of investments: | |||
Fixed maturity and equity securities | (11,529) | (9,750) | (9,188) |
Commercial mortgage loans | (649) | (956) | (967) |
Other invested assets, net | (154) | 175 | (35) |
Policy loans, net | (77) | 25 | 12 |
Proceeds from sale of businesses, net of cash transferred | 39 | 273 | 0 |
Cash from investing activities-held for sale | 0 | (26) | (39) |
Net cash from investing activities | (2,120) | (404) | (1,836) |
Cash flows from financing activities: | |||
Deposits to universal life and investment contracts | 1,349 | 2,257 | 2,993 |
Withdrawals from universal life and investment contracts | (2,004) | (2,144) | (2,588) |
Redemption and repurchase of non-recourse funding obligations | (1,620) | (61) | (42) |
Proceeds from issuance of long-term debt | 0 | 150 | 144 |
Repayment and repurchase of long-term debt | (362) | (120) | (621) |
Repayment of borrowings related to securitization entities | (42) | (36) | (32) |
Repurchase of subsidiary shares | 0 | (68) | (28) |
Return of capital to noncontrolling interests | (70) | 0 | 0 |
Dividends paid to noncontrolling interests | (138) | (157) | (75) |
Proceeds from sale of subsidiary shares to noncontrolling interests | 0 | 226 | 517 |
Other, net | (44) | (98) | (30) |
Cash from financing activities-held for sale | 0 | 9 | (33) |
Net cash from financing activities | (2,931) | (42) | 205 |
Effect of exchange rate changes on cash and cash equivalents (includes $-, $(35) and $(39) related to businesses held for sale | (10) | (70) | (103) |
Net change in cash and cash equivalents | (3,209) | 1,075 | 704 |
Cash and cash equivalents at beginning of period | 5,993 | 4,918 | 4,214 |
Cash and cash equivalents at end of period | 2,784 | 5,993 | 4,918 |
Less cash and cash equivalents held for sale at end of period | 0 | 28 | 273 |
Cash and cash equivalents of continuing operations at end of period | $ 2,784 | $ 5,965 | $ 4,645 |
Consolidated Statements of Cas8
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Effect of exchange rate changes on cash and cash equivalents related to businesses held for sale | $ 0 | $ (35) | $ (39) |
Nature of Business and Formatio
Nature of Business and Formation of Genworth | 12 Months Ended |
Dec. 31, 2016 | |
Nature of Business and Formation of Genworth | (1) Nature of Business and Formation of Genworth Genworth Holdings, Inc. (“Genworth Holdings”) (formerly known as Genworth Financial, Inc.) was incorporated in Delaware in 2003 in preparation for an initial public offering (“IPO”) of Genworth’s common stock, which was completed on May 28, 2004. On April 1, 2013, Genworth Holdings completed a holding company reorganization pursuant to which Genworth Holdings became a direct, 100% owned subsidiary of a new public holding company that it had formed. The new public holding company was incorporated in Delaware on December 5, 2012, in connection with the reorganization, and was renamed Genworth Financial, Inc. (“Genworth Financial”) upon the completion of the reorganization. On October 21, 2016, Genworth Financial entered into an agreement and plan of merger (the “Merger Agreement”) with Asia Pacific Global Capital Co., Ltd. (“the Parent”), a limited liability company incorporated in the People’s Republic of China, and Asia Pacific Global Capital USA Corporation (“Merger Sub”), a Delaware corporation and an indirect, wholly-owned subsidiary of the Parent. Subject to the terms and conditions of the Merger Agreement, including the satisfaction or waiver of certain conditions, Merger Sub would merge with and into Genworth Financial with Genworth Financial surviving the merger as an indirect, wholly-owned subsidiary of the Parent. The Parent is a newly formed subsidiary of China Oceanwide Holdings Group Co., Ltd. (together with its affiliates, “China Oceanwide”). China Oceanwide has agreed to acquire all of our outstanding common stock for a total transaction value of approximately $2.7 billion, or $5.43 per share in cash. The transaction is subject to approval by our stockholders as well as other closing conditions, including the receipt of required regulatory approvals in the U.S., China, and other international markets. Both parties are engaging with regulators regarding the applications and the pending transaction. Genworth and China Oceanwide continue to expect the transaction to close by mid-2017. The accompanying financial statements include on a consolidated basis the accounts of Genworth and our affiliate companies in which we hold a majority voting interest or power to direct activities of certain variable interest entities (“VIEs”), which we refer to as “Genworth,” the “Company,” “we,” “us” or “our” unless the context otherwise requires. All intercompany accounts and transactions have been eliminated in consolidation. We operate our business through the following five operating segments: • U.S. Mortgage Insurance. • Canada Mortgage Insurance. • Australia Mortgage Insurance. • U.S. Life Insurance. • Runoff. non-strategic non-strategic In addition to our five operating business segments, we also have Corporate and Other activities which include debt financing expenses that are incurred at the Genworth Holdings level, unallocated corporate income and expenses, eliminations of inter-segment transactions and the results of other businesses that are managed outside of our operating segments, including certain smaller international mortgage insurance businesses and discontinued operations. See note 24 for additional information related to discontinued operations. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies | Our consolidated financial statements have been prepared on the basis of U.S. generally accepted accounting principles (“U.S. GAAP”). Preparing financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect reported amounts and related disclosures. Actual results could differ from those estimates. Certain prior year amounts have been reclassified to conform to the current year presentation. a) Premiums For traditional long-duration insurance contracts, we report premiums as earned when due. For short-duration insurance contracts, we report premiums as revenue over the terms of the related insurance policies on a pro-rata For single premium mortgage insurance contracts, we report premiums over the estimated policy life in accordance with the expected pattern of risk emergence as further described in our accounting policy for unearned premiums. In addition, we have a practice of refunding the post-delinquent premiums in our U.S. mortgage insurance business to the insured party if the delinquent loan goes to claim. We record a liability for premiums received on the delinquent loans where our practice is to refund post-delinquent premiums. Premiums received under annuity contracts without significant mortality risk and premiums received on investment and universal life insurance products are not reported as revenues but rather as deposits and are included in liabilities for policyholder account balances. b) Net Investment Income and Net Investment Gains and Losses Investment income is recognized when earned. Income or losses upon call or prepayment of available-for-sale Investment income on mortgage-backed and asset-backed securities is initially based upon yield, cash flow and prepayment assumptions at the date of purchase. Subsequent revisions in those assumptions are recorded using the retrospective or prospective method. Under the retrospective method used for mortgage-backed and asset-backed securities of high credit quality (ratings equal to or greater than “AA” or that are backed by a U.S. agency) which cannot be contractually prepaid in such a manner that we would not recover a substantial portion of the initial investment, amortized cost of the security is adjusted to the amount that would have existed had the revised assumptions been in place at the date of purchase. The adjustments to amortized cost are recorded as a charge or credit to net investment income. Under the prospective method, which is used for all other mortgage-backed and asset-backed securities, future cash flows are estimated and interest income is recognized going forward using the new internal rate of return. c) Policy Fees and Other Income Policy fees and other income consists primarily of insurance charges assessed on universal and term universal life insurance contracts and fees assessed against customer account values. For universal and term universal life insurance contracts, charges to policyholder accounts for cost of insurance are recognized as revenue when due. Variable product fees are charged to variable annuity contractholders and variable life insurance policyholders based upon the daily net assets of the contractholder’s and policyholder’s account values and are recognized as revenue when charged. Policy surrender fees are recognized as income when the policy is surrendered. d) Investment Securities At the time of purchase, we designate our investment securities as either available-for-sale available-for-sale Other-Than-Temporary Impairments On Available-For-Sale As of each balance sheet date, we evaluate securities in an unrealized loss position for other-than-temporary impairments. For debt securities, we consider all available information relevant to the collectability of the security, including information about past events, current conditions, and reasonable and supportable forecasts, when developing the estimate of cash flows expected to be collected. More specifically for mortgage-backed and asset-backed securities, we also utilize performance indicators of the underlying assets including default or delinquency rates, loan to collateral value ratios, third-party credit enhancements, current levels of subordination, vintage and other relevant characteristics of the security or underlying assets to develop our estimate of cash flows. Estimating the cash flows expected to be collected is a quantitative and qualitative process that incorporates information received from third-party sources along with certain internal assumptions and judgments regarding the future performance of the underlying collateral. Where possible, this data is benchmarked against third-party sources. We recognize other-than-temporary impairments on debt securities in an unrealized loss position when one of the following circumstances exists: • we do not expect full recovery of our amortized cost basis when due, • the present value of cash flows expected to be collected is less than our amortized cost basis, • we intend to sell a security or • it is more likely than not that we will be required to sell a security prior to recovery. For other-than-temporary impairments recognized during the period, we present the total other-than-temporary impairments, the portion of other-than-temporary impairments included in other comprehensive income (loss) (“OCI”) and the net other-than-temporary impairments as supplemental disclosure presented on the face of our consolidated statements of income. Total other-than-temporary impairments that emerged in the current period are calculated as the difference between the amortized cost and fair value. For other-than-temporarily impaired securities where we do not intend to sell the security and it is not more likely than not that we will be required to sell the security prior to recovery, total other-than-temporary impairments are adjusted by the portion of other-than-temporary impairments recognized in OCI (“non-credit”). For securities that were deemed to be other-than-temporarily impaired and a non-credit To estimate the amount of other-than-temporary impairment attributed to credit losses on debt securities where we do not intend to sell the security and it is not more likely than not that we will be required to sell the security prior to recovery, we determine our best estimate of the present value of the cash flows expected to be collected from a security using the effective yield on the security prior to recording any other-than-temporary impairment. If the present value of the discounted cash flows is lower than the amortized cost of the security, the difference between the present value and amortized cost represents the credit loss associated with the security with the remaining difference between fair value and amortized cost recorded as a non-credit The evaluation of other-than-temporary impairments is subject to risks and uncertainties and is intended to determine the appropriate amount and timing for recognizing an impairment charge. The assessment of whether such impairment has occurred is based on management’s best estimate of the cash flows expected to be collected at the individual security level. We regularly monitor our investment portfolio to ensure that securities that may be other-than-temporarily impaired are identified in a timely manner and that any impairment charge is recognized in the proper period. While the other-than-temporary impairment model for debt securities generally includes fixed maturity securities, there are certain hybrid securities that are classified as fixed maturity securities where the application of a debt impairment model depends on whether there has been any evidence of deterioration in credit of the issuer, such as a downgrade to below investment grade. Under certain circumstances, evidence of deterioration in credit of the issuer may result in the application of the equity securities impairment model. For equity securities, we recognize an impairment charge in the period in which we determine that the security will not recover to book value within a reasonable period of time. We determine what constitutes a reasonable period on a security-by-security e) Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. We have fixed maturity, equity and trading securities, derivatives, embedded derivatives, securities held as collateral, separate account assets and certain other financial instruments, which are carried at fair value. Fair value measurements are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect our view of market assumptions in the absence of observable market information. We utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. All assets and liabilities carried at fair value are classified and disclosed in one of the following three categories: • Level 1—Quoted prices for identical instruments in active markets. • Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable. • Level 3—Instruments whose significant value drivers are unobservable. Level 1 primarily consists of financial instruments whose value is based on quoted market prices such as equity securities and actively traded mutual fund investments. Level 2 includes those financial instruments that are valued using industry-standard pricing methodologies, models or other valuation methodologies. These models are primarily industry-standard models that consider various inputs, such as interest rate, credit spread and foreign exchange rates for the underlying financial instruments. All significant inputs are observable, or derived from observable, information in the marketplace or are supported by observable levels at which transactions are executed in the marketplace. Financial instruments in this category primarily include: certain public and private corporate fixed maturity and equity securities; government or agency securities; certain mortgage-backed and asset-backed securities; securities held as collateral; and certain non-exchange-traded Level 3 comprises financial instruments whose fair value is estimated based on industry-standard pricing methodologies and internally developed models utilizing significant inputs not based on, nor corroborated by, readily available market information. In certain instances, this category may also utilize non-binding As of each reporting period, all assets and liabilities recorded at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability, such as the relative impact on the fair value as a result of including a particular input. We review the fair value hierarchy classifications each reporting period. Changes in the observability of the valuation attributes may result in a reclassification of certain financial assets or liabilities. Such reclassifications are reported as transfers in and out of Level 3 at the beginning fair value for the reporting period in which the changes occur. See note 16 for additional information related to fair value measurements. f) Commercial Mortgage Loans The carrying value of commercial mortgage loans is stated at original cost, net of principal payments, amortization and allowance for loan losses. Interest on loans is recognized on an accrual basis at the applicable interest rate on the principal amount outstanding. Loan origination fees and direct costs, as well as premiums and discounts, are amortized as level yield adjustments over the respective loan terms. Unamortized net fees or costs are recognized upon early repayment of the loans. Loan commitment fees are deferred and amortized on an effective yield basis over the term of the loan. Commercial mortgage loans are considered past due when contractual payments have not been received from the borrower by the required payment date. “Impaired” loans are defined by U.S. GAAP as loans for which it is probable that the lender will be unable to collect all amounts due according to original contractual terms of the loan agreement. In determining whether it is probable that we will be unable to collect all amounts due, we consider current payment status, debt service coverage ratios, occupancy levels and current loan-to-value. non-accrual non-accrual We evaluate the impairment of commercial mortgage loans first on an individual loan basis. If an individual loan is not deemed impaired, then we evaluate the remaining loans collectively to determine whether an impairment should be recorded. For individually impaired loans, we record an impairment charge when it is probable that a loss has been incurred. The impairment is recorded as an increase in the allowance for loan losses. All losses of principal are charged to the allowance for loan losses in the period in which the loan is deemed to be uncollectible. For loans that are not individually impaired where we evaluate the loans collectively, the allowance for loan losses is maintained at a level that we determine is adequate to absorb estimated probable incurred losses in the loan portfolio. Our process to determine the adequacy of the allowance utilizes an analytical model based on historical loss experience adjusted for current events, trends and economic conditions that would result in a loss in the loan portfolio over the next 12 months. Key inputs into our evaluation include debt service coverage ratios, loan-to-value, For commercial mortgage loans classified as held-for-sale, g) Repurchase Agreements We have a repurchase program in which we sell an investment security at a specified price and agree to repurchase that security at another specified price at a later date. Repurchase agreements are treated as collateralized financing transactions and are carried at the amounts at which the securities are subsequently reacquired, including accrued interest, as specified in the respective agreement. The market value of securities to be repurchased is monitored and collateral levels are adjusted where appropriate to protect the parties against credit exposure. Cash received is invested in fixed maturity securities. See note 12 for additional information related to our repurchase agreements. h) Securities Lending Activity In the United States and Canada, we engage in certain securities lending transactions for the purpose of enhancing the yield on our investment securities portfolio. We maintain effective control over all loaned securities and, therefore, continue to report such securities as fixed maturity securities on the consolidated balance sheets. We are currently indemnified against counterparty credit risk by the intermediary. See note 12 for additional information related to our securities lending activity. i) Cash and Cash Equivalents Certificates of deposit, money market funds and other time deposits with original maturities of 90 days or less are considered cash equivalents in the consolidated balance sheets and consolidated statements of cash flows. Items with maturities greater than 90 days but less than one year at the time of acquisition are considered short-term investments. j) Deferred Acquisition Costs Acquisition costs include costs that are directly related to the successful acquisition of new or renewal insurance contracts. Acquisition costs are deferred and amortized to the extent they are recoverable from future profits. Long-Duration Contracts in-force Amortization for deferred annuity and universal life insurance contracts is based on expected gross profits. Expected gross profits are adjusted quarterly to reflect actual experience to date or for changes in underlying assumptions relating to future gross profits. Estimates of gross profits for DAC amortization are based on assumptions including interest rates, policyholder persistency or lapses, insured life expectancy or longevity and expenses. Short-Duration Contracts. We regularly review our assumptions and test DAC for recoverability at least annually. For deferred annuity and universal life insurance contracts, if the present value of expected future gross profits is less than the unamortized DAC for a line of business, a charge to income is recorded for additional DAC amortization. For traditional long-duration and short-duration contracts, if the benefit reserve plus anticipated future premiums and interest income for a line of business are less than the current estimate of future benefits and expenses (including any unamortized DAC), a charge to income is recorded for additional DAC amortization or for increased benefit reserves. See note 6 for additional information related to DAC including loss recognition and recoverability. k) Intangible Assets Present Value of Future Profits. We regularly review our PVFP assumptions and periodically test PVFP for recoverability similar to our treatment of DAC. See note 7 for additional information related to PVFP including loss recognition and recoverability. Deferred Sales Inducements to Contractholders. Other Intangible Assets l) Goodwill Goodwill is not amortized but is tested for impairment annually or between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying value. The determination of fair value requires the use of estimates and judgment, at the “reporting unit” level. A reporting unit is the operating segment, or a business, one level below that operating segment (the “component” level) if discrete financial information is prepared and regularly reviewed by management at the component level. If the reporting unit’s fair value is below its carrying value, we must determine the amount of implied goodwill that would be established if the reporting unit was hypothetically purchased on the impairment assessment date. We recognize an impairment charge for any amount by which the carrying amount of a reporting unit’s goodwill exceeds the amount of implied goodwill. See note 7 for additional information related to goodwill and impairments recorded. m) Reinsurance Premium revenue, benefits and acquisition and operating expenses, net of deferrals, are reported net of the amounts relating to reinsurance ceded to and assumed from other companies. Amounts due from reinsurers for incurred and estimated future claims are reflected in the reinsurance recoverable asset. Amounts received from reinsurers that represent recovery of acquisition costs are netted against DAC so that the net amount is capitalized. The cost of reinsurance is accounted for over the terms of the related treaties using assumptions consistent with those used to account for the underlying reinsured policies. Premium revenue, benefits and acquisition and operating expenses, net of deferrals, for reinsurance contracts that do not qualify for reinsurance accounting are accounted for under the deposit method of accounting. n) Derivatives Derivative instruments are used to manage risk through one of four principal risk management strategies including: (i) liabilities; (ii) invested assets; (iii) portfolios of assets or liabilities; and (iv) forecasted transactions. On the date we enter into a derivative contract, management designates the derivative as a hedge of the identified exposure (fair value, cash flow or foreign currency). If a derivative does not qualify for hedge accounting, the changes in its fair value and all scheduled periodic settlement receipts and payments are reported in income. We formally document all relationships between hedging instruments and hedged items, as well as our risk management objective and strategy for undertaking various hedge transactions. In this documentation, we specifically identify the asset, liability or forecasted transaction that has been designated as a hedged item, state how the hedging instrument is expected to hedge the risks related to the hedged item, and set forth the method that will be used to retrospectively and prospectively assess the hedging instrument’s effectiveness and the method that will be used to measure hedge ineffectiveness. We generally determine hedge effectiveness based on total changes in fair value of the hedged item attributable to the hedged risk and the total changes in fair value of the derivative instrument. We discontinue hedge accounting prospectively when: (i) it is determined that the derivative is no longer effective in offsetting changes in the fair value or cash flows of a hedged item; (ii) the derivative expires or is sold, terminated or exercised; (iii) the derivative is de-designated For all qualifying and highly effective cash flow hedges, the effective portion of changes in fair value of the derivative instrument is reported as a component of OCI. The ineffective portion of changes in fair value of the derivative instrument is reported as a component of income. When hedge accounting is discontinued because it is probable that a forecasted transaction will not occur, the derivative continues to be carried in the consolidated balance sheets at its fair value, and gains and losses that were accumulated in OCI are recognized immediately in income. When the hedged forecasted transaction is no longer probable, but is reasonably possible, the accumulated gain or loss remains in OCI and is recognized when the transaction affects income; however, prospective hedge accounting for the transaction is terminated. In all other situations in which hedge accounting is discontinued on a cash flow hedge, amounts previously deferred in OCI are reclassified into income when income is impacted by the variability of the cash flow of the hedged item. For all qualifying and highly effective fair value hedges, the changes in fair value of the derivative instrument are reported in income. In addition, changes in fair value attributable to the hedged portion of the underlying instrument are reported in income. When hedge accounting is discontinued because it is determined that the derivative no longer qualifies as an effective fair value hedge, the derivative continues to be carried in the consolidated balance sheets at its fair value, but the hedged asset or liability will no longer be adjusted for changes in fair value. In all other situations in which hedge accounting is discontinued, the derivative is carried at its fair value in the consolidated balance sheets, with changes in its fair value recognized in current period income. We may enter into contracts that are not themselves derivative instruments but contain embedded derivatives. For each contract, we assess whether the economic characteristics of the embedded derivative are clearly and closely related to those of the host contract and determine whether a separate instrument with the same terms as the embedded instrument would meet the definition of a derivative instrument. If it is determined that the embedded derivative possesses economic characteristics that are not clearly and closely related to the economic characteristics of the host contract, and that a separate instrument with the same terms would qualify as a derivative instrument, the embedded derivative is separated from the host contract and accounted for as a stand-alone derivative. Such embedded derivatives are recorded in the consolidated balance sheets at fair value and are classified consistent with their host contract. Changes in their fair value are recognized in current period income. If we are unable to properly identify and measure an embedded derivative for separation from its host contract, the entire contract is carried in the consolidated balance sheets at fair value, with changes in fair value recognized in current period income. Changes in the fair value of non-qualifying The majority of our derivative arrangements require the posting of collateral upon meeting certain net exposure thresholds. The amounts recognized for derivative counterparty collateral received by us was recorded in cash and cash equivalents with a corresponding amount recorded in other liabilities to represent our obligation to return the collateral retained by us. We also receive non-cash re-pledge non-cash re-pledged. available-for-sale. o) Separate Accounts and Related Insurance Obligations Separate account assets represent funds for which the investment income and investment gains and losses accrue directly to the contractholders and are reflected in our consolidated balance sheets at fair value, reported as summary total separate account assets with an equivalent summary total reported for liabilities. Amounts assessed against the contractholders for mortality, administrative and other services are included in revenues. Changes in liabilities for minimum guarantees are included in benefits and other changes in policy reserves. Net investment income, net investment gains (losses) and the related liability changes associated with the separate account are offset within the same line item in the consolidated statements of income. There were no gains or losses on transfers of assets from the general account to the separate account. We offer certain minimum guarantees associated with our variable annuity contracts. Our variable annuity contracts usually contain a basic guaranteed minimum death benefit (“GMDB”) which provides a minimum benefit to be paid upon the annuitant’s death equal to the larger of account value and the return of net deposits. Some variable annuity contracts permit contractholders to purchase through riders, at an additional charge, enhanced death benefits such as the highest contract anniversary value (“ratchets”), accumulated net deposits at a stated rate (“rollups”), or combinations thereof. Additionally, some of our variable annuity contracts provide the contractholder with living benefits such as a guaranteed minimum withdrawal benefit (“GMWB”) or certain types of guaranteed annuitization benefits. The GMWB allows contractholders to withdraw a pre-defined Most of our reserves for additional insurance and annuitization benefits are calculated by applying a benefit ratio to accumulated contractholder assessments, and then deducting accumulated paid claims. The benefit ratio is equal to the ratio of benefits to assessments, accumulated with interest and considering both past and anticipated future experience. The projections utilize stochastic scenarios of separate account returns incorporating reversion to the mean, as well as assumptions for mortality and lapses. Some of our minimum guarantees, mainly GMWBs, are accounted for as embedded derivatives; see notes 5 and 16 for additional information on these embedded derivatives and related fair value measurement disclosures. p) Insurance Reserves Future Policy Benefits The liability for future policy benefits is equal to the present value of expected benefits and expenses less the present value of expected future net premiums based on assumptions, including, investment returns, health care experience (including type of care and cost of care), policyholder persistency or lapses (i.e., the probability that a policy or contract will remain in-force locked-in The liability for future policy benefits is evaluated at least annually to determine if a premium deficiency exists. Loss recognition testing is generally performed at the line of business level, with acquired blocks and certain reinsured blocks tested separately. If the liability for future policy benefits plus the current present value of expected future premiums are less than the current present value of expected future benefits and expenses (including any unamortized DAC), a charge to income is recorded for accelerated DAC amortization and, if necessary, a premium deficiency reserve is established. If a charge is recorded, DAC amortization and the liability for future policy benefits are measured using updated assumptions, which become the new locked-in We are also required to accrue additional future policy benefit reserves when the overall reserve is adequate, but profits are projected in early periods followed by losses projected in later periods. When this pattern of profits followed by losses exists, we ratably accrue this additional profits followed by losses liability over time, increasing reserves in the profitable periods to offset estimated losses expected during the periods that follow. We calculate and adjust the additional reserves using our current best estimate of the amount necessary to offset the losses in future periods, based on the pattern of expected income and current best estimate assumptions consistent with our loss recognition testing. We adjust the accrual rate prospectively, going forward over the remaining profit periods, without any catch-up For long-term care insurance products, benefit reductions are treated as partial lapse of coverage with the balance of our future policy benefits and DAC both reduced in proportion to the reduced coverage. For level premium term life insurance products, we floor the liability for future policy benefits on each policy at zero. Estimates and actuarial assumptions used for establishing the liability for future policy benefits and in loss recognition testing involve the exercise of significant judgment, and changes in assumptions or deviations of actual experience from assumptions can have material impacts on our liability for future policy benefits and net income (loss). Because these assumptions relate to factors that are not known in advance, change over time, are difficult to accurately predict and are inherently uncertain, we cannot determine with precision the ultimate amounts we will pay for actual claims or the timing of those payments. Small changes in assumptions or small deviations of actual experience from assumptions can have, and in the past have had, material impacts on our reserves, results of operations and financial condition. The risk that our claims experience may differ significantly from our pricing and valuation assumptions is particularly significant for our long-term care insurance products. Long-term care insurance policies provide for long-duration coverage and, therefore, our actual claims experience will emerge over many years after pricing and locked-in Policyholder Account Balances The liability for policyholder account balances represents the contract value that has accrued to the benefit of the policyholder as of the balance sheet date for investment-type and universal life insurance contracts. We are also required to establish additional benefit reserves for guarantees or product features in addition to the contract value where the additional benefit reserves are calculated by applying a benefit ratio to accumulated contractholder assessments, and then deducting accumulated paid claims. The benefit ratio is equal to the ratio of benefits to assessments, accumulated with interest and considering both past and anticipated future experience. Investment-type contracts are broadly defined to include contracts without significant mortality or morbidity risk. Payments received from sales of investment contracts are recognized by providing a liability equal to the current account value of the policyholders’ contracts. Interest rates credited to investment contracts are guaranteed for the initial policy term with renewal rates determined as necessary by management. q) Liability for Policy and Contract Claims The liability for policy and contract claims, or claim reserves, represents the amount needed to provide for the estimated ultimate cost of settling claims relating to insured events that have occurred on or before the end of the respective reporting period. The estimated liability includes requirements for future payments of: (a) claims that have been reported to the insurer; (b) claims related to insured events that have occurred but that have not been reported to the insurer as of the date the liability is estimated; and (c) claim adjustment expenses. Claim adjustment expenses include costs incurred in the claim settlement process such as legal fees and costs to record, process and adjust claims. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 12 Months Ended |
Dec. 31, 2016 | |
Earnings (Loss) Per Share | (3) Earnings (Loss) Per Share Basic and diluted earnings (loss) per share are calculated by dividing each income (loss) category presented below by the weighted-average basic and diluted common shares outstanding for the years ended December 31: (Amounts in millions, except per share amounts) 2016 2015 2014 Weighted-average common shares used in basic earnings (loss) per common share calculations 498.3 497.4 496.4 Potentially dilutive securities: Stock options, restricted stock units and stock appreciation rights — — — Weighted-average common shares used in diluted earnings (loss) per common share calculations (1) 498.3 497.4 496.4 Loss from continuing operations: Loss from continuing operations $ (38 ) $ (6 ) $ (1,205 ) Less: income from continuing operations attributable to noncontrolling interests 210 202 196 Loss from continuing operations available to Genworth Financial, Inc.’s common stockholders $ (248 ) $ (208 ) $ (1,401 ) Basic per common share $ (0.50 ) $ (0.42 ) $ (2.82 ) Diluted per common share $ (0.50 ) $ (0.42 ) $ (2.82 ) Income (loss) from discontinued operations: Income (loss) from discontinued operations, net of taxes $ (29 ) $ (407 ) $ 157 Less: income from discontinued operations, net of taxes, attributable to noncontrolling interests — — — Income (loss) from discontinued operations, net of taxes, available to Genworth Financial, Inc.’s common stockholders $ (29 ) $ (407 ) $ 157 Basic per common share $ (0.06 ) $ (0.82 ) $ 0.32 Diluted per common share $ (0.06 ) $ (0.82 ) $ 0.32 Net loss: Loss from continuing operations $ (38 ) $ (6 ) $ (1,205 ) Income (loss) from discontinued operations, net of taxes (29 ) (407 ) 157 Net loss (67 ) (413 ) (1,048 ) Less: net income attributable to noncontrolling interests 210 202 196 Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) Basic per common share $ (0.56 ) $ (1.24 ) $ (2.51 ) Diluted per common share $ (0.56 ) $ (1.24 ) $ (2.51 ) (1) Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the years ended December 31, 2016, 2015 and 2014, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the years ended December 31, 2016, 2015 and 2014, as the inclusion of shares for stock options, restricted stock units (“RSUs”) and stock appreciation rights (“SARs”) of 2.0 million, 1.6 million and 5.6 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the years ended December 31, 2016, 2015 and 2014, dilutive potential weighted-average common shares outstanding would have been 500.3 million, 499.0 million and 502.0 million, respectively. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2016 | |
Investments | (4) Investments (a) Net Investment Income Sources of net investment income were as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Fixed maturity securities—taxable $ 2,565 $ 2,558 $ 2,598 Fixed maturity securities—non-taxable 12 12 12 Commercial mortgage loans 318 337 333 Restricted commercial mortgage loans related to securitization entities (1) 10 14 14 Equity securities 28 15 14 Other invested assets (2) 141 135 105 Restricted other invested assets related to securitization entities (1) 3 5 5 Policy loans 146 137 129 Cash, cash equivalents and short-term investments 20 13 24 Gross investment income before expenses and fees 3,243 3,226 3,234 Expenses and fees (84 ) (88 ) (92 ) Net investment income $ 3,159 $ 3,138 $ 3,142 (1) See note 17 for additional information related to consolidated securitization entities. (2) Included in other invested assets was $11 million, $9 million and $8 million of net investment income related to trading securities for the years ended December 31, 2016, 2015 and 2014, respectively. (b) Net Investment Gains (Losses) The following table sets forth net investment gains (losses) for the years ended December 31: (Amounts in millions) 2016 2015 2014 Available-for-sale Realized gains $ 249 $ 102 $ 72 Realized losses (121 ) (82 ) (46 ) Net realized gains (losses) on available-for-sale 128 20 26 Impairments: Total other-than-temporary impairments (40 ) (28 ) (9 ) Portion of other-than-temporary impairments included in other comprehensive income (loss) — 1 — Net other-than-temporary impairments (40 ) (27 ) (9 ) Trading securities 10 (7 ) 39 Commercial mortgage loans 1 7 11 Net gains (losses) related to securitization entities (1) (50 ) 5 16 Derivative instruments (2) 20 (76 ) (103 ) Contingent consideration adjustment (2 ) 2 (2 ) Other 5 1 — Net investment gains (losses) $ 72 $ (75 ) $ (22 ) (1) See note 17 for additional information related to consolidated securitization entities. (2) See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). We generally intend to hold securities in unrealized loss positions until they recover. However, from time to time, our intent on an individual security may change, based upon market or other unforeseen developments. In such instances, we sell securities in the ordinary course of managing our portfolio to meet diversification, credit quality, yield, and liquidity requirements. If a loss is recognized from a sale subsequent to a balance sheet date due to these unexpected developments, the loss is recognized in the period in which we determined that we have the intent to sell the securities or it is more likely than not that we will be required to sell the securities prior to recovery. The aggregate fair value of securities sold at a loss during the years ended December 31, 2016, 2015 and 2014 was $1,881 million, $1,827 million and $857 million, respectively, which was approximately 95%, 96% and 95%, respectively, of book value. The following represents the activity for credit losses recognized in net loss on debt securities where an other-than-temporary impairment was identified and a portion of other-than-temporary impairments was included in OCI as of and for the years ended December 31: (Amounts in millions) 2016 2015 2014 Beginning balance $ 64 $ 83 $ 101 Additions: Other-than-temporary impairments not previously recognized 1 — 1 Increases related to other-than-temporary impairments previously recognized — — 1 Reductions: Securities sold, paid down or disposed (23 ) (19 ) (20 ) Ending balance $ 42 $ 64 $ 83 (c) Unrealized Investment Gains and Losses Net unrealized gains and losses on available-for-sale (Amounts in millions) 2016 2015 2014 Net unrealized gains (losses) on investment securities: Fixed maturity securities $ 3,656 $ 3,140 $ 5,560 Equity securities 12 (10 ) 32 Other invested assets — — (2 ) Subtotal (1) 3,668 3,130 5,590 Adjustments to DAC, PVFP, sales inducements and benefit reserves (1,611 ) (1,070 ) (1,656 ) Income taxes, net (711 ) (711 ) (1,372 ) Net unrealized investment gains (losses) 1,346 1,349 2,562 Less: net unrealized investment gains (losses) attributable to noncontrolling interests 84 95 109 Net unrealized investment gains (losses) attributable to Genworth Financial, Inc. $ 1,262 $ 1,254 $ 2,453 (1) Excludes foreign exchange. The change in net unrealized gains (losses) on available-for-sale (Amounts in millions) 2016 2015 2014 Beginning balance $ 1,254 $ 2,453 $ 926 Unrealized gains (losses) arising during the period: Unrealized gains (losses) on investment securities 626 (2,467 ) 3,244 Adjustment to DAC (499 ) 177 (172 ) Adjustment to PVFP (5 ) 89 (66 ) Adjustment to sales inducements (16 ) 30 (15 ) Adjustment to benefit reserves (21 ) 290 (534 ) Provision for income taxes (31 ) 663 (862 ) Change in unrealized gains (losses) on investment securities 54 (1,218 ) 1,595 Reclassification adjustments to net investment (gains) losses, net of taxes of $31, $(2) and $7 (57 ) 5 (12 ) Change in net unrealized investment gains (losses) (3 ) (1,213 ) 1,583 Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests (11 ) (14 ) 56 Ending balance $ 1,262 $ 1,254 $ 2,453 (d) Fixed Maturity and Equity Securities As of December 31, 2016, the amortized cost or cost, gross unrealized gains (losses) and fair value of our fixed maturity and equity securities classified as available-for-sale Gross unrealized gains Gross unrealized losses (Amounts in millions) Amortized Not other-than- Other-than- Not other-than- Other-than- Fair Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,439 $ 647 $ — $ (50 ) $ — $ 6,036 State and political subdivisions 2,515 182 — (50 ) — 2,647 Non-U.S. 2,024 101 — (18 ) — 2,107 U.S. corporate: Utilities 4,137 454 — (41 ) — 4,550 Energy 2,167 157 — (24 ) — 2,300 Finance and insurance 5,719 424 — (46 ) — 6,097 Consumer—non-cyclical 4,335 433 — (34 ) — 4,734 Technology and communications 2,473 157 — (32 ) — 2,598 Industrial 1,161 76 — (14 ) — 1,223 Capital goods 2,043 228 — (13 ) — 2,258 Consumer—cyclical 1,455 92 — (17 ) — 1,530 Transportation 1,121 86 — (17 ) — 1,190 Other 332 17 — (1 ) — 348 Total U.S. corporate 24,943 2,124 — (239 ) — 26,828 Non-U.S. Utilities 940 40 — (11 ) — 969 Energy 1,234 109 — (12 ) — 1,331 Finance and insurance 2,413 134 — (9 ) — 2,538 Consumer—non-cyclical 711 17 — (14 ) — 714 Technology and communications 953 44 — (10 ) — 987 Industrial 928 39 — (9 ) — 958 Capital goods 518 21 — (4 ) — 535 Consumer—cyclical 434 10 — (2 ) — 442 Transportation 619 65 — (7 ) — 677 Other 2,967 190 — (13 ) — 3,144 Total non-U.S. 11,717 669 — (91 ) — 12,295 Residential mortgage-backed 4,122 259 10 (12 ) — 4,379 Commercial mortgage-backed 3,084 98 3 (56 ) — 3,129 Other asset-backed 3,170 15 1 (35 ) — 3,151 Total fixed maturity securities 57,014 4,095 14 (551 ) — 60,572 Equity securities 628 31 — (27 ) — 632 Total available-for-sale $ 57,642 $ 4,126 $ 14 $ (578 ) $ — $ 61,204 As of December 31, 2015, the amortized cost or cost, gross unrealized gains (losses) and fair value of our fixed maturity and equity securities classified as available-for-sale Gross unrealized gains Gross unrealized losses (Amounts in millions) Amortized Not other-than- Other-than- Not other-than- Other-than- Fair Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,487 $ 732 $ — $ (16 ) $ — $ 6,203 State and political subdivisions 2,287 181 — (30 ) — 2,438 Non-U.S. 1,910 110 — (5 ) — 2,015 U.S. corporate: Utilities 3,355 364 — (26 ) — 3,693 Energy 2,560 103 — (162 ) — 2,501 Finance and insurance 5,268 392 15 (43 ) — 5,632 Consumer—non-cyclical 3,755 371 — (30 ) — 4,096 Technology and communications 2,108 123 — (38 ) — 2,193 Industrial 1,164 53 — (44 ) — 1,173 Capital goods 1,774 188 — (12 ) — 1,950 Consumer—cyclical 1,602 95 — (22 ) — 1,675 Transportation 1,023 75 — (12 ) — 1,086 Other 385 22 — (5 ) — 402 Total U.S. corporate 22,994 1,786 15 (394 ) — 24,401 Non-U.S. Utilities 815 37 — (9 ) — 843 Energy 1,700 64 — (78 ) — 1,686 Finance and insurance 2,327 152 2 (8 ) — 2,473 Consumer—non-cyclical 746 24 — (18 ) — 752 Technology and communications 978 36 — (26 ) — 988 Industrial 1,063 19 — (96 ) — 986 Capital goods 602 19 — (17 ) — 604 Consumer—cyclical 522 8 — (4 ) — 526 Transportation 559 52 — (6 ) — 605 Other 2,574 187 — (25 ) — 2,736 Total non-U.S. 11,886 598 2 (287 ) — 12,199 Residential mortgage-backed 4,777 330 11 (17 ) — 5,101 Commercial mortgage-backed 2,492 84 3 (20 ) — 2,559 Other asset-backed 3,328 11 1 (59 ) — 3,281 Total fixed maturity securities 55,161 3,832 32 (828 ) — 58,197 Equity securities 325 8 — (23 ) — 310 Total available-for-sale $ 55,486 $ 3,840 $ 32 $ (851 ) $ — $ 58,507 The following table presents the gross unrealized losses and fair values of our investment securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, as of December 31, 2016: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 1,074 $ (50 ) 37 $ — $ — — $ 1,074 $ (50 ) 37 State and political subdivisions 644 (32 ) 109 142 (18 ) 12 786 (50 ) 121 Non-U.S. 497 (18 ) 51 — — — 497 (18 ) 51 U.S. corporate 5,221 (190 ) 711 662 (49 ) 94 5,883 (239 ) 805 Non-U.S. 2,257 (66 ) 330 408 (25 ) 57 2,665 (91 ) 387 Residential mortgage-backed 725 (11 ) 100 58 (1 ) 35 783 (12 ) 135 Commercial mortgage-backed 1,091 (55 ) 168 25 (1 ) 9 1,116 (56 ) 177 Other asset-backed 1,069 (13 ) 184 328 (22 ) 68 1,397 (35 ) 252 Subtotal, fixed maturity securities 12,578 (435 ) 1,690 1,623 (116 ) 275 14,201 (551 ) 1,965 Equity securities 119 (9 ) 182 114 (18 ) 47 233 (27 ) 229 Total for securities in an unrealized loss position $ 12,697 $ (444 ) 1,872 $ 1,737 $ (134 ) 322 $ 14,434 $ (578 ) 2,194 % Below cost—fixed maturity securities: <20% Below cost $ 12,578 $ (435 ) 1,690 $ 1,543 $ (90 ) 267 $ 14,121 $ (525 ) 1,957 20%-50% — — — 80 (26 ) 8 80 (26 ) 8 >50% Below cost — — — — — — — — — Total fixed maturity securities 12,578 (435 ) 1,690 1,623 (116 ) 275 14,201 (551 ) 1,965 % Below cost—equity securities: <20% Below cost 118 (8 ) 167 101 (14 ) 38 219 (22 ) 205 20%-50% 1 (1 ) 15 13 (4 ) 9 14 (5 ) 24 Total equity securities 119 (9 ) 182 114 (18 ) 47 233 (27 ) 229 Total for securities in an unrealized loss position $ 12,697 $ (444 ) 1,872 $ 1,737 $ (134 ) 322 $ 14,434 $ (578 ) 2,194 Investment grade $ 12,339 $ (432 ) 1,657 $ 1,354 $ (108 ) 250 $ 13,693 $ (540 ) 1,907 Below investment grade 358 (12 ) 215 383 (26 ) 72 741 (38 ) 287 Total for securities in an unrealized loss position $ 12,697 $ (444 ) 1,872 $ 1,737 $ (134 ) 322 $ 14,434 $ (578 ) 2,194 The following table presents the gross unrealized losses and fair values of our corporate securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of December 31, 2016: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities U.S. corporate: Utilities $ 855 $ (39 ) 130 $ 21 $ (2 ) 5 $ 876 $ (41 ) 135 Energy 190 (5 ) 30 276 (19 ) 38 466 (24 ) 68 Finance and insurance 1,438 (38 ) 177 113 (8 ) 15 1,551 (46 ) 192 Consumer—non-cyclical 921 (34 ) 117 — — — 921 (34 ) 117 Technology and communications 507 (22 ) 70 126 (10 ) 17 633 (32 ) 87 Industrial 226 (7 ) 38 77 (7 ) 10 303 (14 ) 48 Capital goods 322 (12 ) 50 6 (1 ) 1 328 (13 ) 51 Consumer—cyclical 431 (16 ) 56 26 (1 ) 6 457 (17 ) 62 Transportation 302 (16 ) 41 17 (1 ) 2 319 (17 ) 43 Other 29 (1 ) 2 — — — 29 (1 ) 2 Subtotal, U.S. corporate securities 5,221 (190 ) 711 662 (49 ) 94 5,883 (239 ) 805 Non-U.S. Utilities 240 (10 ) 32 14 (1 ) 1 254 (11 ) 33 Energy 105 (3 ) 18 91 (9 ) 16 196 (12 ) 34 Finance and insurance 474 (8 ) 79 71 (1 ) 16 545 (9 ) 95 Consumer—non-cyclical 308 (14 ) 30 — — — 308 (14 ) 30 Technology and communications 232 (9 ) 34 28 (1 ) 2 260 (10 ) 36 Industrial 165 (5 ) 21 91 (4 ) 10 256 (9 ) 31 Capital goods 104 (2 ) 14 28 (2 ) 2 132 (4 ) 16 Consumer—cyclical 90 (2 ) 17 — — — 90 (2 ) 17 Transportation 106 (5 ) 16 25 (2 ) 2 131 (7 ) 18 Other 433 (8 ) 69 60 (5 ) 8 493 (13 ) 77 Subtotal, non-U.S. 2,257 (66 ) 330 408 (25 ) 57 2,665 (91 ) 387 Total for corporate securities in an unrealized loss position $ 7,478 $ (256 ) 1,041 $ 1,070 $ (74 ) 151 $ 8,548 $ (330 ) 1,192 As indicated in the tables above, the majority of the securities in a continuous unrealized loss position for less than 12 months were investment grade and less than 20% below cost. These unrealized losses were primarily attributable to the increase in interest rates, mostly concentrated in our corporate securities. For securities that have been in a continuous unrealized loss position for less than 12 months, the average fair value percentage below cost was approximately 3% as of December 31, 2016. Fixed Maturity Securities In A Continuous Unrealized Loss Position For 12 Months Or More Of the $90 million of unrealized losses on fixed maturity securities in a continuous unrealized loss for 12 months or more that were less than 20% below cost, the weighted-average rating was “BBB” and approximately 71% of the unrealized losses were related to investment grade securities as of December 31, 2016. These unrealized losses were predominantly attributable to corporate securities including variable rate securities purchased in a higher rate and lower spread environment. The average fair value percentage below cost for these securities was approximately 6% as of December 31, 2016. See below for additional discussion related to fixed maturity securities that have been in a continuous unrealized loss position for 12 months or more with a fair value that was more than 20% below cost. The following tables present the concentration of gross unrealized losses and fair values of fixed maturity securities that were more than 20% below cost and in a continuous unrealized loss position for 12 months or more by asset class as of December 31, 2016: Investment Grade 20% to 50% Greater than 50% (Dollar amounts in millions) Fair Gross % of total Number of Fair Gross % of total Number of Fixed maturity securities: State and political subdivisions $ 9 $ (3 ) 1 % 1 $ — $ — — % — U.S. corporate: Energy 13 (4 ) 1 1 — — — — Finance and insurance 12 (3 ) 1 1 — — — — Total U.S. corporate 25 (7 ) 2 2 — — — — Non-U.S. Energy 2 (1 ) — 1 — — — — Total non-U.S. 2 (1 ) — 1 — — — — Structured securities: Other asset-backed 44 (15 ) 3 4 — — — — Total structured securities 44 (15 ) 3 4 — — — — Total $ 80 $ (26 ) 6 % 8 $ — $ — — % — For all securities in an unrealized loss position, we expect to recover the amortized cost based on our estimate of the amount and timing of cash flows to be collected. We do not intend to sell nor do we expect that we will be required to sell these securities prior to recovering our amortized cost. See below for further discussion of gross unrealized losses by asset class. U.S. corporate As indicated above, $7 million of gross unrealized losses were related to U.S. corporate fixed maturity securities that have been in an unrealized loss position for more than 12 months and were more than 20% below cost. Of the total unrealized losses for U.S. corporate fixed maturity securities, $4 million, or 57%, related to the energy sector and $3 million, or 43%, related to the finance and insurance sector. Ongoing low oil prices have impacted the fair value of these securities. We expect that our investments in U.S. corporate securities will continue to perform in accordance with our expectations about the amount and timing of estimated cash flows. Although we do not anticipate such events, it is reasonably possible that issuers of our investments in U.S. corporate securities may perform worse than current expectations. Such events may lead us to recognize write-downs within our portfolio of U.S. corporate securities in the future. Structured Securities Of the $15 million of unrealized losses related to structured securities that have been in an unrealized loss position for 12 months or more and were more than 20% below cost, none related to other-than-temporarily impaired securities where the unrealized losses represented the portion of the other-than-temporary impairment recognized in OCI. The extent and duration of the unrealized loss position on our structured securities was primarily due to credit spreads that have widened since acquisition. Additionally, the fair value of certain structured securities has been impacted from high risk premiums being incorporated into the valuation as a result of the amount of potential losses that may be absorbed by the security in the event of additional deterioration in the U.S. economy. While we consider the length of time each security had been in an unrealized loss position, the extent of the unrealized loss position and any significant declines in fair value subsequent to the balance sheet date in our evaluation of impairment for each of these individual securities, the primary factor in our evaluation of impairment is the expected performance for each of these securities. Our evaluation of expected performance is based on the historical performance of the associated securitization trust as well as the historical performance of the underlying collateral. Our examination of the historical performance of the securitization trust included consideration of the following factors for each class of securities issued by the trust: (i) the payment history, including failure to make scheduled payments; (ii) current payment status; (iii) current and historical outstanding balances; (iv) current levels of subordination and losses incurred to date; and (v) characteristics of the underlying collateral. Our examination of the historical performance of the underlying collateral included: (i) historical default rates, delinquency rates, voluntary and involuntary prepayments and severity of losses, including recent trends in this information; (ii) current payment status; (iii) loan to collateral value ratios, as applicable; (iv) vintage; and (v) other underlying characteristics such as current financial condition. We use our assessment of the historical performance of both the securitization trust and the underlying collateral for each security, along with third-party sources, when available, to develop our best estimate of cash flows expected to be collected. These estimates reflect projections for future delinquencies, prepayments, defaults and losses for the assets that collateralize the securitization trust and are used to determine the expected cash flows for our security, based on the payment structure of the trust. Our projection of expected cash flows is primarily based on the expected performance of the underlying assets that collateralize the securitization trust and is not directly impacted by the rating of our security. While we consider the rating of the security as an indicator of the financial condition of the issuer, this factor does not have a significant impact on our expected cash flows for each security. In limited circumstances, our expected cash flows include expected payments from reliable financial guarantors where we believe the financial guarantor will have sufficient assets to pay claims under the financial guarantee when the cash flows from the securitization trust are not sufficient to make scheduled payments. We then discount the expected cash flows using the effective yield of each security to determine the present value of expected cash flows. Based on this evaluation, the present value of expected cash flows was greater than or equal to the amortized cost for each security. Accordingly, we determined that the unrealized losses on each of our structured securities represented temporary impairments as of December 31, 2016. Despite the considerable analysis and rigor employed on our structured securities, it is reasonably possible that the underlying collateral of these investments will perform worse than current market expectations. Such events may lead to adverse changes in cash flows on our holdings of structured securities and future write-downs within our portfolio of structured securities. The following table presents the gross unrealized losses and fair values of our investment securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, as of December 31, 2015: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 883 $ (16 ) 32 $ — $ — — $ 883 $ (16 ) 32 State and political subdivisions 464 (15 ) 81 163 (15 ) 17 627 (30 ) 98 Non-U.S. 366 (5 ) 49 — — — 366 (5 ) 49 U.S. corporate 5,836 (332 ) 817 466 (62 ) 83 6,302 (394 ) 900 Non-U.S. 3,016 (170 ) 400 486 (117 ) 87 3,502 (287 ) 487 Residential mortgage-backed 756 (10 ) 88 103 (7 ) 38 859 (17 ) 126 Commercial mortgage-backed 780 (19 ) 116 39 (1 ) 13 819 (20 ) 129 Other asset-backed 1,944 (22 ) 349 336 (37 ) 55 2,280 (59 ) 404 Subtotal, fixed maturity securities 14,045 (589 ) 1,932 1,593 (239 ) 293 15,638 (828 ) 2,225 Equity securities 153 (23 ) 64 — — — 153 (23 ) 64 Total for securities in an unrealized loss position $ 14,198 $ (612 ) 1,996 $ 1,593 $ (239 ) 293 $ 15,791 $ (851 ) 2,289 % Below cost—fixed maturity securities: <20% Below cost $ 13,726 $ (472 ) 1,877 $ 1,259 $ (78 ) 238 $ 14,985 $ (550 ) 2,115 20%-50% 319 (116 ) 54 316 (139 ) 50 635 (255 ) 104 >50% Below cost — (1 ) 1 18 (22 ) 5 18 (23 ) 6 Total fixed maturity securities 14,045 (589 ) 1,932 1,593 (239 ) 293 15,638 (828 ) 2,225 % Below cost—equity securities: <20% Below cost 133 (18 ) 56 — — — 133 (18 ) 56 20%-50% 20 (5 ) 8 — — — 20 (5 ) 8 Total equity securities 153 (23 ) 64 — — — 153 (23 ) 64 Total for securities in an unrealized loss position $ 14,198 $ (612 ) 1,996 $ 1,593 $ (239 ) 293 $ 15,791 $ (851 ) 2,289 Investment grade $ 13,342 $ (524 ) 1,834 $ 1,245 $ (135 ) 225 $ 14,587 $ (659 ) 2,059 Below investment grade 856 (88 ) 162 348 (104 ) 68 1,204 (192 ) 230 Total for securities in an unrealized loss position $ 14,198 $ (612 ) 1,996 $ 1,593 $ (239 ) 293 $ 15,791 $ (851 ) 2,289 The following table presents the gross unrealized losses and fair values of our corporate securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of December 31, 2015: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities U.S. corporate: Utilities $ 485 $ (25 ) 74 $ 14 $ (1 ) 7 $ 499 $ (26 ) 81 Energy 1,162 (134 ) 163 131 (28 ) 22 1,293 (162 ) 185 Finance and insurance 1,142 (35 ) 160 94 (8 ) 15 1,236 (43 ) 175 Consumer—non-cyclical 836 (26 ) 107 51 (4 ) 10 887 (30 ) 117 Technology and communications 658 (36 ) 95 23 (2 ) 5 681 (38 ) 100 Industrial 476 (33 ) 64 44 (11 ) 9 520 (44 ) 73 Capital goods 293 (10 ) 48 26 (2 ) 4 319 (12 ) 52 Consumer—cyclical 427 (18 ) 60 63 (4 ) 10 490 (22 ) 70 Transportation 273 (10 ) 38 20 (2 ) 1 293 (12 ) 39 Other 84 (5 ) 8 — — — 84 (5 ) 8 Subtotal, U.S. corporate securities 5,836 (332 ) 817 466 (62 ) 83 6,302 (394 ) 900 Non-U.S. Utilities 130 (6 ) 20 32 (3 ) 6 162 (9 ) 26 Energy 589 (48 ) 71 127 (30 ) 20 716 (78 ) 91 Finance and insurance 478 (7 ) 77 30 (1 ) 8 508 (8 ) 85 Consumer—non-cyclical 261 (14 ) 27 37 (4 ) 4 298 (18 ) 31 Technology and communications 324 (15 ) 37 33 (11 ) 9 357 (26 ) 46 Industrial 495 (54 ) 67 110 (42 ) 18 605 (96 ) 85 Capital goods 154 (8 ) 22 41 (9 ) 9 195 (17 ) 31 Consumer—cyclical 155 (4 ) 20 — — — 155 (4 ) 20 Transportation 147 (6 ) 17 — — — 147 (6 ) 17 Other 283 (8 ) 42 76 (17 ) 13 359 (25 ) 55 Subtotal, non-U.S. 3,016 (170 ) 400 486 (117 ) 87 3,502 (287 ) 487 Total for corporate securities in an unrealized loss position $ 8,852 $ (502 ) 1,217 $ 952 $ (179 ) 170 $ 9,804 $ (681 ) 1,387 The scheduled maturity distribution of fixed maturity securities as of December 31, 2016 is set forth below. Actual maturities may differ from contractual maturities because issuers of securities may have the right to call or prepay obligations with or without call or prepayment penalties. (Amounts in millions) Amortized Fair Due one year or less $ 1,701 $ 1,721 Due after one year through five years 10,500 10,938 Due after five years through ten years 12,306 12,647 Due after ten years 22,131 24,607 Subtotal 46,638 49,913 Residential mortgage-backed 4,122 4,379 Commercial mortgage-backed 3,084 3,129 Other asset-backed 3,170 3,151 Total $ 57,014 $ 60,572 As of December 31, 2016, $10,105 million of our investments (excluding mortgage-backed and asset-backed securities) were subject to certain call provisions. As of December 31, 2016, securities issued by finance and insurance, utilities and consumer—non-cyclical As of December 31, 2016, we did not hold any fixed maturity securities in any single issuer, other than securities issued or guaranteed by the U.S. government, which exceeded 10% of stockholders’ equity. As of December 31, 2016 and 2015, $42 million and $44 million, respectively, of securities were on deposit with various state government insurance departments in order to comply with relevant insurance regulations. (e) Commercial Mortgage Loans Our mortgage loans are collateralized by commercial properties, including multi-family residential buildings. The carrying value of commercial mortgage loans is stated at original cost net of principal payments, amortization and allowance for loan losses. We diversify our commercial mortgage loans by both property type and geographic region. The following tables set forth the distribution across property type and geographic region for commercial mortgage loans as of December 31: 2016 2015 (Amounts in millions) Carrying % of Carrying % of Property type: Retail $ 2,178 36 % $ 2,116 34 % Industrial 1,533 25 1,562 25 Office 1,430 23 1,516 24 Apartments 455 7 465 8 Mixed use 245 4 234 4 Other 284 5 294 5 Subtotal 6,125 100 % 6,187 100 % Unamortized balance of loan origination fees and costs (2 ) (2 ) Allowance for losses (12 ) (15 ) Total $ 6,111 $ 6,170 2016 2015 (Amounts in millions) Carrying % of Carrying % of Geographic region: Pacific $ 1,567 27 % $ 1,581 26 % South Atlantic 1,546 25 1,574 25 Middle Atlantic 915 15 890 14 Mountain 554 9 585 10 West North Central 435 7 416 7 East North Central 388 6 386 6 West South Central 311 5 294 5 New England 206 3 268 4 East South Central 203 3 193 3 Subtotal 6,125 100 % 6,187 100 % Unamortized balance of loan origination fees and costs (2 ) (2 ) Allowance for losses (12 ) (15 ) Total $ 6,111 $ 6,170 The following tables set forth the aging of past due commercial mortgage loans by property type as of December 31: 2016 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total past Current Total Property type: Retail $ — $ — $ — $ — $ 2,178 $ 2,178 Industrial 1 — 12 13 1,520 1,533 Office — — — — 1,430 1,430 Apartments — — — — 455 455 Mixed use — — — — 245 245 Other — — — — 284 284 Total recorded investment $ 1 $ — $ 12 $ 13 $ 6,112 $ 6,125 % of total commercial mortgage loans — % — % — % — % 100 % 100 % 2015 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total past Current Total Property type: Retail $ — $ — $ — $ — $ 2,116 $ 2,116 Industrial — — — — 1,562 1,562 Office 6 — 5 11 1,505 1,516 Apartments — — — — 465 465 Mixed use — — — — 234 234 Other — — — — 294 294 Total recorded investment $ 6 $ — $ 5 $ 11 $ 6,176 $ 6,187 % of total commercial mortgage loans — % — % — % — % 100 % 100 % As of December 31, 2016 and 2015, we had no commercial mortgage loans that were past due for more than 90 days and still accruing interest. We also did not have any commercial mortgage loans that were past due for less than 90 days on non-accrual We evaluate the impairment of commercial mortgage loans on an individual loan basis. As of December 31, 2016 and 2015, our commercial mortgage loans greater than 90 days past due included loans with appraised values in excess of the recorded investment and the current recorded investment of these loans was expected to be recoverable. During the years ended December 31, 2016 and 2015, we modified or extended 16 and 21 commercial mortgage loans, respectively, with a total carrying value of $85 million and $110 million, respectively. All of these modifications or extensions were based on current market interest rates, did not result in any forgiveness in the outstanding principal amount owed by the borrower, but during the year ended December 31, 2016, one loan with a carrying value of $1 million at the time of modification was considered a troubled debt restructuring. This loan was sold in the fourth quarter of 2016. The following table sets forth the allowance for credit losses and recorded investment in commercial mortgage loans as of or for the years ended December 31: (Amounts in millions) 2016 2015 2014 Allowance for credit losses: Beginning balance $ 15 $ 22 $ 33 Charge-offs (6 ) (4 ) (1 ) Recoveries — — — Provision 3 (3 ) (10 ) Ending balance $ 12 $ 15 $ 22 Ending allowance for individually impaired loans $ — $ — $ — Ending allowance for loans not individually impaired that were evaluated collectively for impairment $ 12 $ 15 $ 22 Recorded investment: Ending balance $ 6,125 $ 6,187 $ 6,123 Ending balance of individually impaired loans $ 12 $ 19 $ 15 Ending balance of loans not individually impaired that were evaluated collectively for impairment $ 6,113 $ 6,168 $ 6,108 As of December 31, 2015, we had an individually impaired commercial mortgage loan included within the industrial property type with a recorded investment of $14 million, an unpaid principal balance of $15 million and charge-offs of $1 million, which were recorded in the first quarter of 2014. As of December 31, 2015, this loan had interest income of $1 million. In the second quarter of 2016, we recorded additional charge-offs of $2 million related to this loan. As of December 31, 2016, the individually impaired loan within the industrial property type had a recorded investment of $12 million, an unpaid principal balance of $15 million and total charge-offs of $3 million. As of December 31, 2015, we had an individually impaired commercial mortgage loan included within the office property type with a recorded investment of $5 million, an unpaid principal balance of $6 million and charge-offs of $1 million, which were recorded in the third quarter of 2015. In evaluating the credit quality of commercial mortgage loans, we assess the performance of the underlying loans using both quantitative and qualitative criteria. Certain risks associated with commercial mortgage loans can be evaluated by reviewing both the loan-to-value loan-to-value loan-to-value one-time non-recurring The following tables set forth the loan-to-value 2016 (Amounts in millions) 0%-50% 51%-60% 61%-75% 76%-100% Greater (1) Total Property type: Retail $ 743 $ 511 $ 913 $ 11 $ — $ 2,178 Industrial 605 430 484 14 — 1,533 Office 431 310 656 26 7 1,430 Apartments 188 89 173 5 — 455 Mixed use 67 87 91 — — 245 Other 60 30 194 — — 284 Total recorded investment $ 2,094 $ 1,457 $ 2,511 $ 56 $ 7 $ 6,125 % of total 34 % 24 % 41 % 1 % — % 100 % Weighted-average debt service coverage ratio 2.20 1.88 1.61 0.80 (0.07 ) 1.87 (1) Included a loan with a recorded investment of $7 million in good standing, where the borrower continued to make timely payments, with a loan-to-value 2015 (Amounts in millions) 0%-50% 51%-60% 61%-75% 76%-100% Greater (1) Total Property type: Retail $ 785 $ 417 $ 800 $ 103 $ 11 $ 2,116 Industrial 515 478 499 65 5 1,562 Office 493 341 580 83 19 1,516 Apartments 196 66 182 21 — 465 Mixed use 56 48 124 3 3 234 Other 54 55 185 — — 294 Total recorded investment $ 2,099 $ 1,405 $ 2,370 $ 275 $ 38 $ 6,187 % of total 34 % 23 % 38 % 4 % 1 % 100 % Weighted-average debt service coverage ratio 2.13 1.82 1.57 1.12 0.55 1.79 (1) Included $38 million of loans in good standing, where borrowers continued to make timely payments, with a total weighted-average loan-to-value The following tables set forth |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments | (5) Derivative Instruments Our business activities routinely deal with fluctuations in interest rates, equity prices, currency exchange rates and other asset and liability prices. We use derivative instruments to mitigate or reduce certain of these risks. We have established policies for managing each of these risks, including prohibitions on derivatives market-making and other speculative derivatives activities. These policies require the use of derivative instruments in concert with other techniques to reduce or mitigate these risks. While we use derivatives to mitigate or reduce risks, certain derivatives do not meet the accounting requirements to be designated as hedging instruments and are denoted as “derivatives not designated as hedges” in the following disclosures. For derivatives that meet the accounting requirements to be designated as hedges, the following disclosures for these derivatives are denoted as “derivatives designated as hedges,” which include both cash flow and fair value hedges. The following table sets forth our positions in derivative instruments as of December 31: Derivative assets Derivative liabilities Balance sheet Fair value Balance sheet Fair value (Amounts in millions) 2016 2015 2016 2015 Derivatives designated as hedges Cash flow hedges: Interest rate swaps Other invested assets $ 237 $ 629 Other liabilities $ 203 $ 37 Inflation indexed swaps Other invested assets — — Other liabilities — 33 Foreign currency swaps Other invested assets 4 8 Other liabilities — — Total cash flow hedges 241 637 203 70 Total derivatives designated as hedges 241 637 203 70 Derivatives not designated as hedges Interest rate swaps Other invested assets 359 425 Other liabilities 146 183 Interest rate swaps related to securitization entities (1) Restricted other — — Other liabilities — 30 Foreign currency swaps Other invested assets — — Other liabilities 5 27 Credit default swaps Other invested assets — 1 Other liabilities — — Credit default swaps related to securitization entities (1) Restricted other — — Other liabilities 1 14 Equity index options Other invested assets 72 30 Other liabilities — — Financial futures Other invested assets — — Other liabilities — — Equity return swaps Other invested assets 1 2 Other liabilities 1 1 Other foreign currency contracts Other invested assets 35 17 Other liabilities 27 34 GMWB embedded derivatives Reinsurance recoverable (2) 16 17 Policyholder account balances (3) 303 352 Fixed index annuity embedded derivatives Other assets — — Policyholder (4) 344 342 Indexed universal life embedded derivatives Reinsurance — — Policyholder (5) 11 10 Total derivatives not designated as hedges 483 492 838 993 Total derivatives $ 724 $ 1,129 $ 1,041 $ 1,063 (1) See note 17 for additional information related to consolidated securitization entities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. (3) Represents the embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (4) Represents the embedded derivatives associated with our fixed index annuity liabilities. (5) Represents the embedded derivatives associated with our indexed universal life liabilities. The fair value of derivative positions presented above was not offset by the respective collateral amounts received or provided under these agreements. The activity associated with derivative instruments can generally be measured by the change in notional value over the periods presented. However, for GMWB, fixed index annuity embedded derivatives and indexed universal life embedded derivatives, the change between periods is best illustrated by the number of policies. The following tables represent activity associated with derivative instruments as of the dates indicated: (Notional in millions) Measurement December 31, Additions Maturities/ December 31, Derivatives designated as hedges Cash flow hedges: Interest rate swaps Notional $ 11,214 $ 9,991 $ (9,635 ) $ 11,570 Inflation indexed swaps Notional 571 1 (572 ) — Foreign currency swaps Notional 35 — (13 ) 22 Total cash flow hedges 11,820 9,992 (10,220 ) 11,592 Total derivatives designated as hedges 11,820 9,992 (10,220 ) 11,592 Derivatives not designated as hedges Interest rate swaps Notional 4,932 — (253 ) 4,679 Interest rate swaps related to securitization entities (1) Notional 67 — (67 ) — Foreign currency swaps Notional 162 146 (107 ) 201 Credit default swaps Notional 144 — (105 ) 39 Credit default swaps related to securitization entities (1) Notional 312 — — 312 Equity index options Notional 1,080 3,272 (1,956 ) 2,396 Financial futures Notional 1,331 6,891 (6,824 ) 1,398 Equity return swaps Notional 134 364 (333 ) 165 Other foreign currency contracts Notional 1,656 3,478 (2,004 ) 3,130 Total derivatives not designated as hedges 9,818 14,151 (11,649 ) 12,320 Total derivatives $ 21,638 $ 24,143 $ (21,869 ) $ 23,912 (1) See note 17 for additional information related to consolidated securitization entities. (Number of policies) Measurement December 31, Additions Maturities/ December 31, Derivatives not designated as hedges GMWB embedded derivatives Policies 36,146 — (2,908 ) 33,238 Fixed index annuity embedded derivatives Policies 17,482 666 (599 ) 17,549 Indexed universal life embedded derivatives Policies 982 167 (75 ) 1,074 Cash Flow Hedges Certain derivative instruments are designated as cash flow hedges. The changes in fair value of these instruments are recorded as a component of OCI. We designate and account for the following as cash flow hedges when they have met the effectiveness requirements: (i) various types of interest rate swaps to convert floating rate investments to fixed rate investments; (ii) various types of interest rate swaps to convert floating rate liabilities into fixed rate liabilities; (iii) receive U.S. dollar fixed on foreign currency swaps to hedge the foreign currency cash flow exposure of foreign currency denominated investments; (iv) forward starting interest rate swaps to hedge against changes in interest rates associated with future fixed rate bond purchases and/or interest income; (v) forward bond purchase commitments to hedge against the variability in the anticipated cash flows required to purchase future fixed rate bonds; and (vi) other instruments to hedge the cash flows of various forecasted transactions. The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain net loss Gain (loss) (1) Classification of gain Interest rate swaps hedging assets $ 198 $ 112 Net investment $ 3 Net investment Interest rate swaps hedging assets — 2 Net investment — Net investment Interest rate swaps hedging liabilities (5 ) — Interest — Net investment Inflation indexed swaps (5 ) 2 Net investment — Net investment Inflation indexed swaps — 7 Net investment — Net investment Foreign currency swaps (4 ) — Net investment — Net investment Foreign currency swaps — — Net investment 5 Net investment Total $ 184 $ 123 $ 8 (1) Represents ineffective portion of cash flow hedges as there were no amounts excluded from the measurement of effectiveness. The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) (1) Classification of gain Interest rate swaps hedging assets $ 78 $ 85 Net investment $ — Net investment Interest rate swaps hedging liabilities (10 ) — Interest expense — Net investment Inflation indexed swaps 9 — Net investment — Net investment Foreign currency swaps 2 — Net investment — Net investment Forward bond purchase commitments — 1 Net investment — Net investment Forward bond purchase commitments — 32 Net investment — Net investment Total $ 79 $ 118 $ — (1) Represents ineffective portion of cash flow hedges, as there were no amounts excluded from the measurement of effectiveness. The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) (1) Classification of gain Interest rate swaps hedging assets $ 1,229 $ 63 Net investment $ 15 Net investment Interest rate swaps hedging assets — 2 Net investment — Net investment Interest rate swaps hedging liabilities (69 ) 1 Interest expense — Net investment Inflation indexed swaps 17 (9 ) Net investment — Net investment Foreign currency swaps 4 — Interest expense — Net investment Forward bond purchase commitments 34 — Net investment — Net investment Total $ 1,215 $ 57 $ 15 (1) Represents ineffective portion of cash flow hedges, as there were no amounts excluded from the measurement of effectiveness. The following table provides a reconciliation of current period changes, net of applicable income taxes, for these designated derivatives presented in the separate component of stockholders’ equity labeled “derivatives qualifying as hedges,” for the years ended December 31: (Amounts in millions) 2016 2015 2014 Derivatives qualifying as effective accounting hedges as of January 1 $ 2,045 $ 2,070 $ 1,319 Current period increases (decreases) in fair value, net of deferred taxes of $(64), $(29) and $(427) 120 50 788 Reclassification to net loss, net of deferred taxes of $43, $43 and $20 (80 ) (75 ) (37 ) Derivatives qualifying as effective accounting hedges as of December 31 $ 2,085 $ 2,045 $ 2,070 The total of derivatives designated as cash flow hedges of $2,085 million, net of taxes, recorded in stockholders’ equity as of December 31, 2016 is expected to be reclassified to net income (loss) in the future, concurrently with and primarily offsetting changes in interest expense and interest income on floating rate instruments and interest income on future fixed rate bond purchases. Of this amount, $85 million, net of taxes, is expected to be reclassified to net income (loss) in the next 12 months. Actual amounts may vary from this amount as a result of market conditions. All forecasted transactions associated with qualifying cash flow hedges are expected to occur by 2057. During the year ended December 31, 2016, we reclassified $10 million to net loss in connection with forecasted transactions that were no longer considered probable of occurring. There were immaterial amounts reclassified to net loss during the years ended December 31, 2015 and 2014 in connection with forecasted transactions that were no longer considered probable of occurring. Fair Value Hedges Certain derivative instruments are designated as fair value hedges. The changes in fair value of these instruments are recorded in net income (loss). In addition, changes in the fair value attributable to the hedged portion of the underlying instrument are reported in net loss. We designate and account for the following as fair value hedges when they have met the effectiveness requirements: (i) interest rate swaps to convert fixed rate liabilities into floating rate liabilities; (ii) cross currency swaps to convert non-U.S. There were no pre-tax Derivatives Not Designated As Hedges We also enter into certain non-qualifying non-functional We also have derivatives related to securitization entities where we were required to consolidate the related securitization entity as a result of our involvement in the structure. The counterparties for these derivatives typically only have recourse to the securitization entity. The interest rate swaps used for these entities are typically used to effectively convert the interest payments on the assets of the securitization entity to the same basis as the interest rate on the borrowings issued by the securitization entity. Credit default swaps are utilized in certain securitization entities to enhance the yield payable on the borrowings issued by the securitization entity and also include a settlement feature that allows the securitization entity to provide the par value of assets in the securitization entity for the amount of any losses incurred under the credit default swap. The following table provides the pre-tax (Amounts in millions) 2016 2015 2014 Classification of gain (loss) Interest rate swaps $ 12 $ (11 ) $ 1 Net investment gains (losses) Interest rate swaps related to securitization entities (1) (10 ) (4 ) (9 ) Net investment gains (losses) Foreign currency swaps 4 (22 ) (7 ) Net investment gains (losses) Credit default swaps 1 1 1 Net investment gains (losses) Credit default swaps related to securitization entities (1) 18 7 19 Net investment gains (losses) Equity index options 10 (25 ) (31 ) Net investment gains (losses) Financial futures (111 ) (34 ) 90 Net investment gains (losses) Equity return swaps (1 ) (3 ) 5 Net investment gains (losses) Forward bond purchase commitments — 2 — Net investment gains (losses) Other foreign currency contracts 24 10 (4 ) Net investment gains (losses) GMWB embedded derivatives 76 (25 ) (147 ) Net investment gains (losses) Fixed index annuity embedded derivatives (22 ) (7 ) (27 ) Net investment gains (losses) Indexed universal life embedded derivatives 10 6 (1 ) Net investment gains (losses) Total derivatives not designated as hedges $ 11 $ (105 ) $ (110 ) (1) See note 17 for additional information related to consolidated securitization entities. Derivative Counterparty Credit Risk Most of our derivative arrangements with counterparties require the posting of collateral upon meeting certain net exposure thresholds. For derivatives related to securitization entities, there are no arrangements that require either party to provide collateral and the recourse of the derivative counterparty is typically limited to the assets held by the securitization entity and there is no recourse to any entity other than the securitization entity. The following table presents additional information about derivative assets and liabilities subject to an enforceable master netting arrangement as of December 31: 2016 2015 (Amounts in millions) Derivatives (1) Derivatives (2) Net Derivatives (1) Derivatives (2) Net Amounts presented in the balance sheet: Gross amounts recognized $ 724 $ 387 $ 337 $ 1,135 $ 320 $ 815 Gross amounts offset in the balance sheet — — — — — — Net amounts presented in the balance sheet 724 387 337 1,135 320 815 Gross amounts not offset in the balance sheet: Financial instruments (3) (172 ) (172 ) — (231 ) (231 ) — Collateral received (467 ) — (467 ) (642 ) — (642 ) Collateral pledged — (557 ) 557 — (263 ) 263 Over collateralization 1 344 (343 ) 3 174 (171 ) Net amount $ 86 $ 2 $ 84 $ 265 $ — $ 265 (1) Included $16 million and $24 million of accruals on derivatives classified as other assets and does not include amounts related to embedded derivatives as of December 31, 2016 and 2015, respectively. (2) Included $5 million and $6 million of accruals on derivatives classified as other liabilities and does not include amounts related to embedded derivatives and derivatives related to securitization entities as of December 31, 2016 and 2015, respectively. (3) Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty. Except for derivatives related to securitization entities, almost all of our master swap agreements contain credit downgrade provisions that allow either party to assign or terminate derivative transactions if the other party’s long-term unsecured debt rating or financial strength rating is below the limit defined in the applicable agreement. If the downgrade provisions had been triggered as of December 31, 2016 and 2015, we could have been allowed to claim $86 million and $265 million, respectively, or have been required to disburse up to $2 million as of December 31, 2016. There were no amounts that we would have been required to disburse as a result of our credit rating downgrades as of December 31, 2015. The chart above excludes embedded derivatives and derivatives related to securitization entities as those derivatives are not subject to master netting arrangements. Credit Derivatives We sell protection under single name credit default swaps and credit default swap index tranches in combination with purchasing securities to replicate characteristics of similar investments based on the credit quality and term of the credit default swap. Credit default triggers for both indexed reference entities and single name reference entities follow the Credit Derivatives Physical Settlement Matrix published by the International Swaps and Derivatives Association. Under these terms, credit default triggers are defined as bankruptcy, failure to pay or restructuring, if applicable. Our maximum exposure to credit loss equals the notional value for credit default swaps. In the event of default for credit default swaps, we are typically required to pay the protection holder the full notional value less a recovery rate determined at auction. In addition to the credit derivatives discussed above, we also have credit derivative instruments related to securitization entities that we consolidate. These derivatives represent a customized index of reference entities with specified attachment points for certain derivatives. The credit default triggers are similar to those described above. In the event of default, the securitization entity will provide the counterparty with the par value of assets held in the securitization entity for the amount of incurred loss on the credit default swap. The maximum exposure to loss for the securitization entity is the notional value of the derivatives. Certain losses on these credit default swaps would be absorbed by the third-party noteholders of the securitization entity and the remaining losses on the credit default swaps would be absorbed by our portion of the notes issued by the securitization entity. The following table sets forth our credit default swaps where we sell protection on single name reference entities and the fair values as of December 31: 2016 2015 (Amounts in millions) Notional Assets Liabilities Notional Assets Liabilities Investment grade Matures in less than one year $ — $ — $ — $ — $ — $ — Matures after one year through five years 39 — — 39 — — Total credit default swaps on single name reference entities $ 39 $ — $ — $ 39 $ — $ — The following table sets forth our credit default swaps where we sell protection on credit default swap index tranches and the fair values as of December 31: 2016 2015 (Amounts in millions) Notional Assets Liabilities Notional Assets Liabilities Original index tranche attachment/detachment point and maturity: 7% - 15% matures in less than one year (1) $ — $ — $ — $ 100 $ 1 $ — Total credit default swap index tranches — — — 100 1 — Customized credit default swap index tranches related to securitization entities: Portion backing third-party borrowings maturing 2017 (2) 12 — — 12 — 2 Portion backing our interest maturing 2017 (3) 300 — 1 300 — 12 Total customized credit default swap index tranches related to securitization entities 312 — 1 312 — 14 Total credit default swaps on index tranches $ 312 $ — $ 1 $ 412 $ 1 $ 14 (1) The attachment/detachment as of December 31, 2015 was 7% – 15%. (2) Original notional value was $39 million. (3) Original notional value was $300 million. |
Deferred Acquisition Costs
Deferred Acquisition Costs | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Acquisition Costs | The following table presents the activity impacting DAC as of and for the years ended December 31: (Amounts in millions) 2016 2015 2014 Unamortized balance as of January 1 $ 4,569 $ 5,200 $ 5,214 Impact of foreign currency translation 3 (23 ) (15 ) Costs deferred 150 295 385 Amortization, net of interest accretion (481 ) (448 ) (384 ) Impairment — (455 ) — Unamortized balance as of December 31 4,241 4,569 5,200 Accumulated effect of net unrealized investment (gains) losses (670 ) (171 ) (348 ) Balance as of December 31 $ 3,571 $ 4,398 $ 4,852 In the fourth quarter of 2016, as part of our annual review of assumptions, we had an increase in DAC amortization in our universal and term universal life insurance products by $144 million reflecting updated assumptions primarily for mortality experience in older age populations, partially offset by updated assumptions related to future policy charges. In the fourth quarter of 2015, as part of our annual review of assumptions, we increased DAC amortization by $109 million in our universal life insurance products, reflecting updated assumptions for persistency, long-term interest rates, mortality and other refinements as well as corrections related to reinsurance inputs. We regularly review DAC to determine if it is recoverable from future income. In the second quarter of 2016, we performed our loss recognition testing and determined that we had a premium deficiency in our fixed immediate annuity products. The results of the test were primarily driven by the low interest rate environment in the second quarter of 2016. As a result, as of June 30, 2016, we wrote off the entire DAC balance for our fixed immediate annuity products of $14 million through amortization and increased our future policy benefit reserves by $18 million. As of December 31, 2016, we believe all of our other businesses had sufficient future income and therefore the related DAC was recoverable. On September 30, 2015, Genworth Life and Annuity Insurance Company (“GLAIC”), our indirect wholly-owned subsidiary, entered into a Master Agreement (the “Master Agreement”) for a life block transaction with Protective Life Insurance Company (“Protective Life”). Pursuant to the Master Agreement, GLAIC and Protective Life agreed to enter into a reinsurance agreement (the “Reinsurance Agreement”), under the terms of which Protective Life would coinsure certain term life insurance business of GLAIC, net of third-party reinsurance. The Reinsurance Agreement was entered into in January 2016. In connection with entering into the Master Agreement, we recorded a DAC impairment of $455 million as a result of loss recognition testing of certain term life insurance policies as part of this life block transaction. As of December 31, 2015, we believe all of our other businesses had sufficient future income and therefore the related DAC was recoverable. |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 12 Months Ended |
Dec. 31, 2016 | |
Intangible Assets and Goodwill | The following table presents our intangible assets as of December 31: 2016 2015 (Amounts in millions) Gross Accumulated Gross Accumulated PVFP $ 2,079 $ (1,924 ) $ 2,084 $ (1,941 ) Capitalized software 447 (352 ) 445 (351 ) Deferred sales inducements to contractholders 275 (199 ) 268 (178 ) Other 61 (53 ) 66 (50 ) Total $ 2,862 $ (2,528 ) $ 2,863 $ (2,520 ) Amortization expense related to PVFP, capitalized software and other intangible assets for the years ended December 31, 2016, 2015 and 2014 was $17 million, $64 million and $70 million, respectively. Amortization expense related to deferred sales inducements of $21 million, $25 million and $30 million, respectively, for the years ended December 31, 2016, 2015 and 2014 was included in benefits and other changes in policy reserves. Present Value of Future Profits The following table presents the activity in PVFP as of and for the years ended December 31: (Amounts in millions) 2016 2015 2014 Unamortized balance as of January 1 $ 205 $ 229 $ 246 Interest accreted at 5.15%, 6.45% and 5.89% 11 14 14 Amortization 6 (38 ) (31 ) Unamortized balance as of December 31 222 205 229 Accumulated effect of net unrealized investment (gains) losses (67 ) (62 ) (151 ) Balance as of December 31 $ 155 $ 143 $ 78 We regularly review our assumptions and periodically test PVFP for recoverability in a manner similar to our treatment of DAC. As of December 31, 2016 and 2015, we believe all of our businesses have sufficient future income and therefore the related PVFP is recoverable. During the fourth quarter of 2014, the loss recognition testing for our acquired block of long-term care insurance business resulted in a premium deficiency. As a result, we wrote off the entire PVFP balance for our long-term care insurance business of $6 million through amortization with a corresponding change to net unrealized investment gains (losses). The results of the test were driven by changes to assumptions and methodologies primarily impacting claim termination rates, most significantly in later-duration claims, and benefit utilization rates. The percentage of the December 31, 2016 PVFP balance net of interest accretion, before the effect of unrealized investment gains or losses, estimated to be amortized over each of the next five years is as follows: 2017 14.9 % 2018 9.6 % 2019 8.6 % 2020 7.7 % 2021 7.3 % Amortization expense for PVFP in future periods will be affected by acquisitions, dispositions, net investment gains (losses) or other factors affecting the ultimate amount of gross profits realized from certain lines of business. Similarly, future amortization expense for other intangibles will depend on future acquisitions, dispositions and other business transactions. Goodwill As of December 31, 2016 and 2015, our goodwill balance was $14 million in each period. Of those amounts, as of December 31, 2016 and 2015, our Canada Mortgage Insurance segment has goodwill of $8 million in each period and our Australia Mortgage Insurance segment has goodwill of $6 million in each period. No goodwill impairment charges were recorded in 2016 or 2015. During 2014, we wrote off the entire goodwill balance of our U.S. Life Insurance segment and recorded goodwill impairments of $849 million, including $354 million for our long-term care insurance reporting unit and $495 million for our life insurance reporting unit. As a result of market conditions, decreases in sales projections from negative rating actions and overall uncertainty created as a result of the long-term care insurance reserve increases, we recorded goodwill impairments in our long-term care and life insurance businesses. The uncertainty associated with the level and value of new business that a market participant would place on our long-term care and life insurance businesses resulted in concluding the goodwill balances were no longer recoverable. |
Reinsurance
Reinsurance | 12 Months Ended |
Dec. 31, 2016 | |
Reinsurance | (8) Reinsurance We reinsure a portion of our policy risks to other insurance companies in order to reduce our ultimate losses, diversify our exposures and provide capital flexibility. We also assume certain policy risks written by other insurance companies. Reinsurance accounting is followed for assumed and ceded transactions when there is adequate risk transfer. Otherwise, the deposit method of accounting is followed. Reinsurance does not relieve us from our obligations to policyholders. In the event that the reinsurers are unable to meet their obligations, we remain liable for the reinsured claims. We monitor both the financial condition of individual reinsurers and risk concentrations arising from similar geographic regions, activities and economic characteristics of reinsurers to lessen the risk of default by such reinsurers. Other than the relationship discussed below with Union Fidelity Life Insurance Company (“UFLIC”), we do not have significant concentrations of reinsurance with any one reinsurer that could have a material impact on our financial position. As of December 31, 2016, the maximum amount of individual ordinary life insurance normally retained by us on any one individual life policy was $5 million. We have several significant reinsurance transactions (“Reinsurance Transactions”) with UFLIC. In these transactions, we ceded to UFLIC in-force in-force To secure the payment of its obligations to us under the reinsurance agreements governing the Reinsurance Transactions, UFLIC has established trust accounts to maintain an aggregate amount of assets with a statutory book value at least equal to the statutory general account reserves attributable to the reinsured business less an amount required to be held in certain claims paying accounts. A trustee administers the trust accounts and we are permitted to withdraw from the trust accounts amounts due to us pursuant to the terms of the reinsurance agreements that are not otherwise paid by UFLIC. In addition, pursuant to a Capital Maintenance Agreement, General Electric Capital Corporation, an indirect subsidiary of General Electric Company (“GE”), previously agreed to maintain sufficient capital in UFLIC to maintain UFLIC’s risk-based capital (“RBC”) at not less than 150% of its company action level, as defined from time to time by the National Association of Insurance Commissioners (“NAIC”). In connection with its announced realignment and reorganization of the business of General Electric Capital Corporation in December 2015, General Electric Capital Corporation merged with and into GE. As a result, GE is the successor obligor under the Capital Maintenance Agreement. Under the terms of certain reinsurance agreements that our life insurance subsidiaries have with external parties, we pledged assets in either separate portfolios or in trust for the benefit of external reinsurers. These assets support the reserves ceded to those external reinsurers. We had pledged fixed maturity securities and commercial mortgage loans of $9,680 million and $523 million, respectively, as of December 31, 2016 and $8,324 million and $347 million, respectively, as of December 31, 2015 in connection with these reinsurance agreements. However, we maintain the ability to substitute these pledged assets for other qualified collateral, and may use, commingle, encumber or dispose of any portion of the collateral as long as there is no event of default and the remaining qualified collateral is sufficient to satisfy the collateral maintenance level. The following table sets forth net domestic life insurance in-force (Amounts in millions) 2016 2015 2014 Direct life insurance in-force $ 658,931 $ 686,446 $ 701,797 Amounts assumed from other companies 861 899 935 Amounts ceded to other companies (1) (491,466 ) (411,340 ) (393,244 ) Net life insurance in-force $ 168,326 $ 276,005 $ 309,488 Percentage of amount assumed to net — % — % — % (1) Includes amounts accounted for under the deposit method. The following table sets forth the effects of reinsurance on premiums written and earned for the years ended December 31: Written Earned (Amounts in millions) 2016 2015 2014 2016 2015 2014 Direct: Life insurance $ 977 $ 1,030 $ 1,131 $ 978 $ 1,030 $ 1,131 Accident and health insurance 2,786 2,764 2,706 2,816 2,778 2,697 Mortgage insurance 1,641 1,754 1,814 1,561 1,514 1,588 Total direct 5,404 5,548 5,651 5,355 5,322 5,416 Assumed: Life insurance 35 34 34 35 34 34 Accident and health insurance 331 342 343 335 347 348 Mortgage insurance 6 10 20 12 22 31 Total assumed 372 386 397 382 403 413 Ceded: Life insurance (856 ) (372 ) (332 ) (856 ) (372 ) (332 ) Accident and health insurance (629 ) (682 ) (708 ) (638 ) (688 ) (706 ) Mortgage insurance (83 ) (86 ) (95 ) (83 ) (86 ) (91 ) Total ceded (1,568 ) (1,140 ) (1,135 ) (1,577 ) (1,146 ) (1,129 ) Net premiums $ 4,208 $ 4,794 $ 4,913 $ 4,160 $ 4,579 $ 4,700 Percentage of amount assumed to net 9 % 9 % 9 % Reinsurance recoveries recognized as a reduction of benefits and other changes in policy reserves amounted to $3,008 million, $2,771 million and $2,846 million during 2016, 2015 and 2014, respectively. |
Insurance Reserves
Insurance Reserves | 12 Months Ended |
Dec. 31, 2016 | |
Insurance Reserves | Future Policy Benefits The following table sets forth our recorded liabilities and the major assumptions underlying our future policy benefits as of December 31: (Amounts in millions) Mortality/ Interest rate 2016 2015 Long-term care insurance contracts (a ) 3.75% - 7.50% $ 21,590 $ 20,563 Structured settlements with life contingencies (b ) 1.00% - 8.00% 8,858 8,991 Annuity contracts with life contingencies (b ) 1.00% - 8.00% 3,822 4,010 Traditional life insurance contracts (c ) 3.00% - 7.50% 2,506 2,638 Supplementary contracts with life contingencies (b ) 1.00% - 8.00% 284 269 Accident and health insurance contracts (d ) 3.50% - 6.00% 3 4 Total future policy benefits $ 37,063 $ 36,475 (a) The 1983 Individual Annuitant Mortality Table or 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality Table or the 1994 Group Annuitant Mortality Table and company experience. (b) Assumptions for limited-payment contracts come from either the U.S. Population Table, the 1983 Group Annuitant Mortality Table, the 1983 Individual Annuitant Mortality Table, the Annuity 2000 Mortality Table or the 2012 Individual Annuity Reserving Table. (c) Principally modifications based on company experience of the Society of Actuaries 1965-70 1975-80 (d) The 1958 and 1980 Commissioner’s Standard Ordinary Tables, or the 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality. We regularly review our assumptions and perform loss recognition testing at least annually. In the second quarter of 2016, we performed our loss recognition testing and determined that we had a premium deficiency in our fixed immediate annuity products. The results of the test were primarily driven by the low interest rate environment in the second quarter of 2016. As a result, as of June 30, 2016, we wrote off the entire DAC balance for our fixed immediate annuity products of $14 million through amortization and increased our future policy benefit reserves by $18 million. In the third quarter of 2016, driven by aging of the in-force In the fourth quarter of 2014, loss recognition testing for our acquired block of long-term care insurance resulted in a premium deficiency. As a result, we wrote off the remaining PVFP balance of $6 million and increased reserves $710 million. The results of the test in 2014 were driven by changes to assumptions and methodologies primarily impacting claim termination rates, most significantly in later-duration claims, and benefit utilization rates. The 2016 and 2015 tests did not result in a charge. The liability for future policy benefits for our acquired block of long-term care insurance business represents our current best estimate; however, there may be future adjustments to this estimate and related assumptions. Such adjustments, reflecting any variety of new and adverse trends, could possibly be significant and result in further increases in the related future policy benefit reserves for this block of business by an amount that could be material to our results of operations and financial condition and liquidity. As of December 31, 2016 and 2015, we accrued future policy benefit reserves of $30 million and $13 million, respectively, in our consolidated balance sheet for profits followed by losses in our long-term care insurance business. The current present value of expected losses was approximately $2,200 million and $500 million, respectively, as of December 31, 2016 and 2015. However, there may be future adjustments to this estimate reflecting any variety of new and adverse trends that could result in increases to future policy benefit reserves for profits followed by losses accrual, and such future increases could possibly be material to our results of operations and financial condition and liquidity. Policyholder Account Balances The following table sets forth our recorded liabilities for policyholder account balances as of December 31: (Amounts in millions) 2016 2015 Annuity contracts $ 13,566 $ 14,376 GICs, funding agreements and FABNs 560 410 Structured settlements without life contingencies 1,576 1,694 Supplementary contracts without life contingencies 719 762 Other 16 16 Total investment contracts 16,437 17,258 Universal life insurance contracts 9,225 8,951 Total policyholder account balances $ 25,662 $ 26,209 In the fourth quarter of 2016, as part of our annual review of assumptions, we increased our liability for policyholder account balances by $202 million for our universal and term universal life insurance products, reflecting updated assumptions primarily for mortality experience in older age populations. In the fourth quarter of 2015, as part of our annual review of assumptions, we increased our liability for policyholder account balances by $175 million for our universal and term universal life insurance products, reflecting updated assumptions for persistency, long-term interest rates, mortality and other refinements. Certain of our U.S. life insurance companies are members of the Federal Home Loan Bank (the “FHLB”) system in their respective regions. As of December 31, 2016 and 2015, we held $36 million and $30 million, respectively, of FHLB common stock related to those memberships which was included in equity securities. We have outstanding funding agreements with an FHLB and also have a letter of credit which has not been drawn upon. The FHLBs have been granted a lien on certain of our invested assets to collateralize our obligations; however, we maintain the ability to substitute these pledged assets for other qualified collateral, and may use, commingle, encumber or dispose of any portion of the collateral as long as there is no event of default and the remaining qualified collateral is sufficient to satisfy the collateral maintenance level. Upon any event of default by us, the FHLB’s recovery on the collateral is limited to the amount of our funding agreement liabilities to the FHLB. The amount of funding agreements outstanding with the FHLB was $254 million and $105 million, respectively, as of December 31, 2016 and 2015 which was included in policyholder account balances. We have one letter of credit of $28 million and three letters of credit of $583 million related to the FHLB as of December 31, 2016 and 2015, respectively. These funding agreements and letters of credit were collateralized by fixed maturity securities with a fair value of $356 million and $742 million, respectively, as of December 31, 2016 and 2015. Certain Non-traditional The following table sets forth information about our variable annuity products with death and living benefit guarantees as of December 31: (Dollar amounts in millions) 2016 2015 Account values with death benefit guarantees (net of reinsurance): Standard death benefits (return of net deposits) account value $ 2,364 $ 2,512 Net amount at risk $ 4 $ 5 Average attained age of contractholders 73 73 Enhanced death benefits (ratchet, rollup) account value $ 2,611 $ 2,866 Net amount at risk $ 157 $ 188 Average attained age of contractholders 74 73 Account values with living benefit guarantees: GMWBs $ 2,781 $ 3,111 Guaranteed annuitization benefits $ 1,177 $ 1,181 Variable annuity contracts may contain more than one death or living benefit; therefore, the amounts listed above are not mutually exclusive. Substantially all of our variable annuity contracts have some form of GMDB. As of December 31, 2016 and 2015, our total liability associated with variable annuity contracts with minimum guarantees was approximately $5,737 million and $6,170 million, respectively. The liability, net of reinsurance, for our variable annuity contracts with GMDB and guaranteed annuitization benefits was $90 million and $72 million as of December 31, 2016 and 2015, respectively. The contracts underlying the lifetime benefits such as GMWB and guaranteed annuitization benefits are considered “in the money” if the contractholder’s benefit base, or the protected value, is greater than the account value. As of December 31, 2016 and 2015, our exposure related to GMWB and guaranteed annuitization benefit contracts that were considered “in the money” was $739 million and $745 million, respectively. For GMWBs and guaranteed annuitization benefits, the only way the contractholder can monetize the excess of the benefit base over the account value of the contract is through lifetime withdrawals or lifetime income payments after annuitization. Account balances of variable annuity contracts with death or living benefit guarantees were invested in separate account investment options as follows as of December 31: (Amounts in millions) 2016 2015 Balanced funds $ 3,046 $ 3,304 Equity funds 1,271 1,387 Bond funds 550 576 Money market funds 87 85 Total $ 4,954 $ 5,352 |
Liability for Policy and Contra
Liability for Policy and Contract Claims | 12 Months Ended |
Dec. 31, 2016 | |
Liability for Policy and Contract Claims | The following table sets forth our liability for policy and contract claims as of December 31: (Amounts in millions) 2016 2015 Liability for policy and contract claims for insurance lines other than short-duration contracts: Long-term $ 8,034 $ 6,749 Life insurance 226 202 Fixed annuities 16 18 Runoff 15 18 Total 8,291 6,987 Liability for policy and contract claims, net of reinsurance, related to short-duration contracts: U.S. Mortgage Insurance segment 633 844 Australia Mortgage Insurance segment 211 165 Canada Mortgage Insurance segment 112 87 Other mortgage insurance businesses 7 7 Total 963 1,103 Reinsurance recoverable on unpaid claims related to short-duration contracts: U.S. Mortgage Insurance segment 2 5 Total 2 5 Total liability for policy and contract claims $ 9,256 $ 8,095 The liability for policy and contract claims represents our current best estimate; however, there may be future adjustments to this estimate and related assumptions. Such adjustments, reflecting any variety of new and adverse trends, could possibly be significant, and result in increases in reserves by an amount that could be material to our results of operations and financial condition and liquidity. Long-term care insurance The following table sets forth changes in the liability for policy and contract claims for our long-term care insurance business for the dates indicated: (Amounts in millions) 2016 2015 2014 Beginning balance as of January 1 $ 6,749 $ 6,216 $ 4,999 Less reinsurance recoverables (2,055 ) (1,926 ) (1,707 ) Net balance as of January 1 4,694 4,290 3,292 Incurred related to insured events of: Current year 2,066 1,655 1,474 Prior years 377 39 726 Total incurred 2,443 1,694 2,200 Paid related to insured events of: Current year (166 ) (151 ) (134 ) Prior years (1,506 ) (1,371 ) (1,263 ) Total paid (1,672 ) (1,522 ) (1,397 ) Interest on liability for policy and contract claims 259 232 195 Net balance as of December 31 5,724 4,694 4,290 Add reinsurance recoverables 2,310 2,055 1,926 Ending balance as of December 31 $ 8,034 $ 6,749 $ 6,216 In 2016, the liability for policy and contract claims increased $1,285 million in our long-term care insurance business largely from the completion of our annual review of assumptions in the third quarter of 2016 which increased reserves by $460 million and increased reinsurance recoverables by $25 million. The increase was also attributable to aging and growth of the in-force in-force In 2016, the incurred amount of $377 million related to insured events of prior years increased largely as a result of the completion of our annual review of our long-term care insurance claim reserves, as described above, which resulted in recording higher reserves of $305 million, net of reinsurance recoverables of $221 million. In 2015, the incurred amount of $39 million related to insured events of prior years increased primarily from lower claim termination rates, partially offset by $25 million of net favorable corrections and adjustments in 2015. In 2014, the incurred amount of $726 million related to insured events of prior years increased largely as a result of the completion of a comprehensive review of our long-term care insurance claim reserves conducted during the third quarter of 2014 which resulted in recording higher reserves of $604 million and an increase in reinsurance recoverables of $73 million. This review was commenced as a result of adverse claims experience during the second quarter of 2014 and in connection with our regular review of our claim reserves assumptions during the third quarter of each year. As a result of this review, we made changes to our assumptions and methodologies relating to our long-term care insurance claim reserves primarily impacting claim termination rates, most significantly in later-duration claims, and benefit utilization rates, reflecting that claims are not terminating as quickly and claimants are utilizing more of their available benefits in aggregate than had previously been assumed in our reserve calculations. In conducting the review, we increased the population of claims reviewed, utilizing more of our recent data. The remaining increase was primarily attributable to aging and growth of the in-force U.S. Mortgage Insurance segment The following table sets forth information about incurred claims, net of reinsurance, as well as cumulative number of reported delinquencies and the total of incurred-but-not-reported (Dollar amounts in Incurred claims and allocated claim adjustment expenses, net of reinsurance Total of Incurred-But- Not-Reported Number of (2) For the years ended December 31, Accident year (1) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 387 $ 656 $ 608 $ 596 $ 631 $ 630 $ 629 $ 637 $ 639 $ 640 $ — 57,431 2008 — 943 1,041 1,211 1,339 1,353 1,347 1,376 1,385 1,391 1 133,121 2009 — — 1,341 1,697 1,762 1,755 1,752 1,782 1,792 1,799 1 151,274 2010 — — — 977 1,157 1,139 1,146 1,165 1,173 1,173 1 89,875 2011 — — — — 910 931 913 929 938 939 1 68,614 2012 — — — — — 718 675 671 673 671 — 47,696 2013 — — — — — — 475 407 392 387 — 33,349 2014 — — — — — — — 328 288 269 — 25,281 2015 — — — — — — — — 235 208 1 19,603 2016 — — — — — — — — — 198 19 13,970 Total incurred $ 7,675 (1) Represents the year in which first monthly mortgage payments have been missed by the borrower. (2) Represents reported and outstanding delinquencies less actual cures as of December 31 for each respective accident year. The following table sets forth paid claims development, net of reinsurance, for our U.S. mortgage insurance segment for the year ended December 31, 2016. The information about paid claims development for the years ended December 31, 2007 to 2015, is presented as supplementary information. (Amounts in millions) Cumulative paid claims and allocated claim adjustment expenses, net of Accident year (1) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 25 $ 355 $ 531 $ 562 $ 577 $ 591 $ 603 $ 614 $ 625 $ 630 2008 — 66 572 917 1,046 1,145 1,217 1,271 1,322 1,353 2009 — — 285 940 1,245 1,434 1,556 1,638 1,709 1,753 2010 — — — 140 567 844 973 1,049 1,109 1,139 2011 — — — — 65 497 722 816 874 906 2012 — — — — — 92 391 532 602 634 2013 — — — — — — 44 202 297 340 2014 — — — — — — — 22 127 195 2015 — — — — — — — — 12 85 2016 — — — — — — — — — 10 Total paid $ 7,045 Total incurred $ 7,675 Total paid 7,045 All outstanding liabilities before 2007, net of reinsurance 3 Liability for policy and contract claims, net of reinsurance $ 633 (1) Represents the year in which first monthly mortgage payments have been missed by the borrower. The following table sets forth our average payout of incurred claims by age for our U.S. Mortgage Insurance segment as of December 31, 2016: Average annual percentage payout of incurred claims, net of reinsurance, by age Years 1 2 3 4 5 6 7 8 9 10 Percentage of payout 8.7 % 40.6 % 23.5 % 9.6 % 5.6 % 4.4 % 3.1 % 2.5 % 2.1 % 0.8 % Canada Mortgage Insurance segment The following table sets forth information about incurred claims, as well as cumulative number of reported delinquencies and the total of incurred-but-not-reported (Dollar amounts in millions) (1) Incurred claims and allocated claim adjustment expenses Total of Incurred-But- Not-Reported (3) Number of (4) For the years ended December 31, Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 76 $ 79 $ 84 $ 86 $ 86 $ 86 $ 86 $ 86 $ 86 $ 86 $ — 4,267 2008 — 105 144 147 151 153 153 153 153 153 — 6,138 2009 — — 147 163 185 188 190 190 189 189 — 6,702 2010 — — — 131 145 162 163 163 162 162 — 6,601 2011 — — — — 128 144 146 146 145 145 — 5,707 2012 — — — — — 107 106 105 105 104 — 5,316 2013 — — — — — — 98 95 94 94 — 4,949 2014 — — — — — — — 88 84 82 — 4,948 2015 — — — — — — — — 98 88 — 4,626 2016 — — — — — — — — — 116 40 5,133 Total incurred $ 1,219 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) Represents the year in which first monthly mortgage payments have been missed by the borrower. (3) Incurred-but-not-reported (4) Represents reported delinquencies as of December 31 for each respective accident year. The following table sets forth paid claims development, for our Canada Mortgage Insurance segment for the year ended December 31, 2016. The information about paid claims development for the years ended December 31, 2007 to 2015, is presented as supplementary information. (Amounts in millions) (1) Cumulative paid claims and allocated claim adjustment expenses Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 15 $ 57 $ 79 $ 85 $ 86 $ 86 $ 86 $ 86 $ 86 $ 86 2008 — 7 103 144 154 155 158 158 158 158 2009 — — 23 123 179 187 189 189 188 188 2010 — — — 27 118 159 163 162 161 161 2011 — — — — 36 129 145 145 145 145 2012 — — — — — 23 95 103 104 104 2013 — — — — — — 24 85 92 94 2014 — — — — — — — 16 70 80 2015 — — — — — — — — 18 71 2016 — — — — — — — — — 16 Total paid $ 1,103 Total incurred $ 1,219 Total paid 1,103 Borrower recovery accrual as of December 31, 2016 (3) (4 ) All outstanding liabilities before 2007 — Liability for policy and contract claims $ 112 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) Represents the year in which first monthly mortgage payments have been missed by the borrower. (3) Represents the portion of the borrower recovery accrual that corresponds to loss reserves and is recognized as a reduction to losses incurred that we anticipate to receive in the future once the claims have been settled. The following table sets forth our average payout of incurred claims by age for our Canada Mortgage Insurance segment as of December 31, 2016: Average annual percentage payout of incurred claims, by age Years 1 2 3 4 5 6 7 8 9 10 Percentage of payout 17.8 % 60.5 % 18.1 % 3.4 % 0.4 % 0.3 % (0.2 )% 0.1 % — % — % Australia Mortgage Insurance segment The following table sets forth information about incurred claims, as well as cumulative number of reported delinquencies and the total of incurred-but-not-reported (Dollar amounts in millions) (1) Incurred claims and allocated claim adjustment expenses Total of Incurred-But- Not-Reported Number of (3) For the years ended December 31, Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 62 $ 104 $ 100 $ 104 $ 105 $ 107 $ 108 $ 108 $ 108 $ 108 $ — 6,935 2008 — 76 125 118 119 134 138 140 139 139 — 9,254 2009 — — 100 93 85 105 109 111 114 115 — 8,921 2010 — — — 120 130 156 159 161 162 162 — 8,717 2011 — — — — 119 145 137 134 134 135 — 9,341 2012 — — — — — 100 112 97 95 94 — 7,613 2013 — — — — — — 82 84 70 65 — 7,097 2014 — — — — — — — 72 88 73 2 7,468 2015 — — — — — — — — 76 109 11 7,587 2016 — — — — — — — — — 95 37 4,220 Total incurred $ 1,095 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) The accident year is estimated by allowing an additional five months for development from the time the first monthly mortgage payments have been missed by the borrower. (3) Represents reported and outstanding delinquencies less actual cures as of December 31 for each respective accident year. The following table sets forth paid claims development, for our Australia Mortgage Insurance segment for the year ended December 31, 2016. The information about paid claims development for the years ended December 31, 2007 to December 31, 2015, is presented as supplementary information: (Amounts in millions) (1) Cumulative paid claims and allocated claim adjustment expenses Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 3 $ 34 $ 80 $ 99 $ 103 $ 106 $ 107 $ 108 $ 108 $ 108 2008 — 5 48 92 107 129 135 137 138 139 2009 — — 8 27 51 93 106 110 113 115 2010 — — — 40 58 127 149 156 159 161 2011 — — — — 20 75 115 127 130 133 2012 — — — — — 20 64 81 87 91 2013 — — — — — — 11 33 50 57 2014 — — — — — — — 5 28 47 2015 — — — — — — — — 4 30 2016 — — — — — — — — — 4 Total paid $ 885 Total incurred $ 1,095 Total paid 885 All outstanding liabilities before 2007 1 Liability for policy and contract claims $ 211 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) The accident year is estimated by allowing an additional five months for development from the time the first monthly mortgage payments have been missed by the borrower. The following table sets forth our average payout of incurred claims by age for our Australia Mortgage Insurance segment as of December 31, 2016: Average annual percentage payout of incurred claims, by age Years 1 2 3 4 5 6 7 8 9 10 Percentage of payout 9.8 % 30.1 % 30.4 % 15.1 % 6.8 % 2.6 % 1.5 % 0.7 % 0.2 % — % |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Employee Benefit Plans | (11) Employee Benefit Plans (a) Pension and Retiree Health and Life Insurance Benefit Plans Essentially all of our employees are enrolled in a qualified defined contribution pension plan. The plan is 100% funded by Genworth. We make annual contributions to each employee’s pension plan account based on the employee’s age, service and eligible pay. Employees are vested in the plan after three years of service. As of December 31, 2016 and 2015, we recorded a liability related to these benefits of $10 million and $13 million, respectively. In addition, certain employees also participate in non-qualified non-qualified In connection with the sale of our lifestyle protection insurance business in December 2015, we wrote off our pension benefit assets of $17 million and recognized all of the unrealized actuarial losses of $15 million related to the U.K. pension plan. In addition, related to the settlement of the U.K. pension plan, we purchased a group annuity contract. To fully fund this group annuity contract, we incurred $69 million of expense in 2015, of which $58 million was paid in 2015. These items resulted in $101 million of pension settlement costs related to the sale. The amounts associated with the group annuity contract were held in a third-party trust for the benefit of the participants until individual annuity contracts were transferred to the participants on September 1, 2016. As a result, the U.K. pension plan was completely settled in September 2016. See note 24 for additional details related to the sale of our lifestyle protection insurance business. We provide retiree health benefits to domestic employees hired prior to January 1, 2005 who meet certain service requirements. Under this plan, retirees over 65 years of age receive a subsidy towards the purchase of a Medigap policy, and retirees under 65 years of age receive medical benefits similar to our employees’ medical benefits. In December 2009, we announced that eligibility for retiree medical benefits will be limited to associates who are within 10 years of retirement eligibility as of January 1, 2010. This resulted in a negative plan amendment which will be amortized over the average future service of the participants. We also provide retiree life and long-term care insurance benefits. The plans are funded as claims are incurred. As of December 31, 2016 and 2015, the accumulated postretirement benefit obligation associated with these benefits was $87 million and $78 million, respectively, which we accrued in other liabilities in the consolidated balance sheets. In 2016, we recognized a decrease of $8 million in OCI. In 2015, we recognized an increase of $13 million in OCI. Our cost associated with our pension, retiree health and life insurance benefit plans was $18 million, $25 million and $21 million for the years ended December 31, 2016, 2015 and 2014, respectively. (b) Savings Plans Our domestic employees participate in qualified and non-qualified pre-tax ® (c) Health and Welfare Benefits for Active Employees We provide health and welfare benefits to our employees, including health, life, disability, dental and long-term care insurance. Our long-term care insurance is provided through our group long-term care insurance products. The premiums recorded by this business related to these benefits were insignificant during 2016, 2015 and 2014. |
Borrowings and Other Financings
Borrowings and Other Financings | 12 Months Ended |
Dec. 31, 2016 | |
Borrowings and Other Financings | (a) Short-Term Borrowings Revolving Credit Facility On May 20, 2016, Genworth MI Canada Inc. (“Genworth Canada”), our majority-owned subsidiary, entered into a CAD$100 million senior unsecured revolving credit facility, which matures on May 20, 2019. Any borrowings under Genworth Canada’s credit facility will bear interest at a rate per annum equal to, at the option of Genworth Canada, either a fixed rate or a variable rate pursuant to the terms of the credit agreement. Genworth Canada’s credit facility includes customary representations, warranties, covenants, terms and conditions. As of December 31, 2016, there was no amount outstanding under Genworth Canada’s credit facility. In April 2016, Genworth Holdings terminated its $300 million multicurrency revolving credit facility, prior to its September 26, 2016 maturity date. There were no amounts outstanding under the credit facility at the time of termination. (b) Long-Term Borrowings The following table sets forth total long-term borrowings as of December 31: (Amounts in millions) 2016 2015 Genworth Holdings 8.625% Senior Notes, due 2016 $ — $ 298 6.52% Senior Notes, due 2018 597 598 7.70% Senior Notes, due 2020 397 397 7.20% Senior Notes, due 2021 381 389 7.625% Senior Notes, due 2021 704 724 4.90% Senior Notes, due 2023 399 399 4.80% Senior Notes, due 2024 400 400 6.50% Senior Notes, due 2034 297 297 6.15% Fixed-to-Floating 598 598 Subtotal 3,773 4,100 Bond consent fees (39 ) — Deferred borrowing charges (18 ) (21 ) Total Genworth Holdings 3,716 4,079 Canada 5.68% Senior Notes, due 2020 205 199 4.24% Senior Notes, due 2024 119 116 Subtotal 324 315 Deferred borrowing charges (2 ) (2 ) Total Canada 322 313 Australia Floating Rate Junior Notes, due 2021 — 36 Floating Rate Junior Notes, due 2025 145 146 Subtotal 145 182 Deferred borrowing charges (3 ) (4 ) Total Australia 142 178 Total $ 4,180 $ 4,570 Genworth Holdings Long-Term Senior Notes As of December 31, 2016, Genworth Holdings had outstanding seven series of fixed rate senior notes with varying interest rates between 4.80% and 7.70% and maturity dates between 2018 and 2034. The senior notes are Genworth Holdings’ direct, unsecured obligations and rank equally in right of payment with all of its existing and future unsecured and unsubordinated obligations. Genworth Financial provides a full and unconditional guarantee to the trustee of Genworth Holdings’ outstanding senior notes and the holders of the senior notes, on an unsecured unsubordinated basis, of the full and punctual payment of the principal of, premium, if any and interest on, and all other amounts payable under, each outstanding series of senior notes, and the full and punctual payment of all other amounts payable by Genworth Holdings under the senior notes indenture in respect of such senior notes. We have the option to redeem all or a portion of each series of senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. On March 18, 2016, Genworth Holdings received the requisite consents, pursuant to a solicitation of consents (the “Consent Solicitation”), to amend the indenture dated as of June 15, 2004, by and between Genworth Holdings and The Bank of New York Mellon Trust Company, N.A. (the “Trustee”), as successor to JP Morgan Chase Bank, N.A., as amended and supplemented from time to time (as so amended and supplemented, the “Senior Notes Indenture”) and the indenture dated as of November 14, 2006, by and between Genworth Holdings and the Trustee, as amended and supplemented from time to time (as so amended and supplemented, the “Subordinated Notes Indenture” and together with the Senior Notes Indenture, the “Indentures”). On March 18, 2016, Genworth Holdings, Genworth Financial, as guarantor, and the Trustee entered into Supplemental Indenture No. 12 to the Senior Notes Indenture and the Third Supplemental Indenture to the Subordinated Notes Indenture (the “Supplemental Indentures”) that amended the Senior Notes Indenture and the Subordinated Notes Indenture, respectively, to (i) exclude Genworth Life Insurance Company (“GLIC”) and Genworth Life Insurance Company of New York (“GLICNY”), which operate our long-term care insurance business, from the event of default provisions of the Indentures (such amendment also previously excluded Brookfield Life and Annuity Insurance Company Limited (“BLAIC”) until it merged into GLIC in October 2016) and (ii) clarify that one or more transactions disposing of any or all of the Genworth Holdings’ long-term care and other life insurance businesses and assets (a “Life Sale”) would not constitute a disposition of “all or substantially all” of Genworth Holdings’ assets under the Indentures, provided that in order to rely on that clarification, the assets of our U.S. Mortgage Insurance segment would be contributed to Genworth Holdings and 80% of any Net Cash Proceeds, as defined in the Supplemental Indentures, to us from any Life Sale would be used to reduce outstanding indebtedness. The Supplemental Indentures became operative on March 22, 2016 upon the payment of the applicable consent fees payable under the terms of the Consent Solicitation. We paid total fees related to the Consent Solicitation of approximately $61 million, including bond consent fees of $43 million, which were deferred, as well as broker, advisor and investment banking fees of $18 million, which were expensed, in the first quarter of 2016. In January 2016, Genworth Holdings redeemed $298 million of its 8.625% senior notes due 2016 issued in December 2009 and paid a make-whole premium of approximately $20 million pre-tax During the first quarter of 2016, Genworth Holdings repurchased $28 million principal amount of its senior notes with 2021 maturity dates for a pre-tax During the third quarter of 2015, Genworth Holdings repurchased $50 million aggregate principal amount of its senior notes for a pre-tax Genworth Holdings repaid $485 million of its 5.75% senior notes due 2014 issued in June 2004 in June 2014 from cash on hand. Long-Term Junior Subordinated Notes As of December 31, 2016, Genworth Holdings had outstanding floating rate junior notes having an aggregate principal amount of $598 million, with an annual interest rate equal to three-month London Interbank Offered Rate (“LIBOR”) plus 2.0025% payable quarterly, until the notes mature in November 2066 (“2066 Notes”). Prior to November 2016, Genworth Holdings had outstanding fixed-to-floating Genworth Holdings may redeem the 2066 Notes on November 15, 2036, the “scheduled redemption date,” but only to the extent that it has received net proceeds from the sale of certain qualifying capital securities. Genworth Holdings may redeem the 2066 Notes in whole or in part at their principal amount plus accrued and unpaid interest to the date of redemption. The 2066 Notes will be subordinated to all existing and future senior, subordinated and junior subordinated debt of Genworth Holdings, except for any future debt that by its terms is not superior in right of payment, and will be effectively subordinated to all liabilities of our subsidiaries. Genworth Financial provides a full and unconditional guarantee to the trustee of the 2066 Notes and the holders of the 2066 Notes, on an unsecured subordinated basis, of the full and punctual payment of the principal of, premium, if any and interest on, and all other amounts payable under, the outstanding 2066 Notes, and the full and punctual payment of all other amounts payable by Genworth Holdings under the 2066 Notes indenture in respect of the 2066 Notes. In connection with the issuance of the 2066 Notes, we entered into a Replacement Capital Covenant (the “Replacement Capital Covenant”), whereby we agreed, for the benefit of holders of our 6.5% Senior Notes due 2034, that Genworth Holdings will not repay, redeem or repurchase all or any part of the 2066 Notes on or before November 15, 2046, unless such repayment, redemption or repurchase is made from the proceeds of the issuance of certain replacement capital securities and pursuant to the other terms and conditions set forth in the Replacement Capital Covenant. Canada As of December 31, 2016, Genworth Canada, our majority-owned subsidiary, had outstanding two series of fixed rate senior notes with interest rates of 5.68% and 4.24% and maturity dates of 2020 and 2024, respectively. The senior notes are redeemable at the option of Genworth Canada, in whole or in part, at any time. In April 2014, Genworth Canada issued CAD$160 million aggregate principal amount of 4.24% senior notes (the “2024 Canada Notes”). The net proceeds of the offering of the 2024 Canada Notes were used to redeem, in full, the CAD$150 million outstanding principal on its existing 4.59% senior notes due 2015. In conjunction with the redemption, Genworth Canada made an early redemption payment to existing noteholders of approximately CAD$7 million and accrued interest of approximately CAD$2 million in the second quarter of 2014. Australia As of December 31, 2016, Genworth Financial Mortgage Insurance Pty Limited, our majority-owned subsidiary, had outstanding one series of subordinated floating rate notes with an interest rate of three-month Bank Bill Swap reference rate plus a margin of 3.50% and maturity date of 2025. In June 2016, Genworth Financial Mortgage Insurance Pty Limited redeemed all of its outstanding AUD$50 million of subordinated floating rate notes with an interest rate of three-month Bank Bill Swap reference rate plus a margin of 4.75% due 2021. In July 2015, Genworth Financial Mortgage Insurance Pty Limited issued AUD$200 million of subordinated floating rate notes due 2025 with an interest rate of three-month Bank Bill Swap reference rate plus a margin of 3.50%. Genworth Financial Mortgage Insurance Pty Limited used the proceeds it received from this transaction to redeem AUD$90 million of its outstanding debt and for general corporate purposes and incurred a $2 million pre-tax (c) Non-Recourse The following table sets forth the non-recourse (Amounts in millions) Issuance 2016 2015 River Lake Insurance Company (a) $ — $ 570 River Lake Insurance Company (b) — 405 River Lake Insurance Company II (a) — 192 River Lake Insurance Company II (b) — 453 Rivermont Life Insurance Company I (a) 315 315 Subtotal 315 1,935 Deferred borrowing charges (5 ) (15 ) Total $ 310 $ 1,920 (a) Accrual of interest based on one-month (b) Accrual of interest based on one-month These surplus notes bear a floating rate of interest and have been deposited into a series of trusts that have issued money market or term securities. Both principal and interest payments on the money market and term securities are guaranteed by a third-party insurance company. The holders of the money market or term securities cannot require repayment from us or any of our subsidiaries, other than the River Lake and Rivermont Insurance Companies, as applicable, the direct issuers of the notes. We have provided a limited guarantee to Rivermont Life Insurance Company I (“Rivermont I”), where under adverse interest rate, mortality or lapse scenarios (or combination thereof), we may be required to provide additional funds to Rivermont I. GLAIC, our wholly-owned subsidiary, has agreed to indemnify the issuers and the third-party insurer for certain limited costs related to the issuance of these obligations. Any payment of principal, including by redemption, or interest on the notes may only be made with the prior approval of the Director of Insurance of the State of South Carolina in accordance with the terms of its licensing orders and in accordance with applicable law. The holders of the notes have no rights to accelerate payment of principal of the notes under any circumstances, including without limitation, for non-payment During the three months ended March 31, 2016, in connection with a life block transaction, River Lake Insurance Company, our indirect wholly-owned subsidiary, redeemed $975 million of its total outstanding floating rate subordinated notes due in 2033 and River Lake Insurance Company II (“River Lake II”), our indirect wholly-owned subsidiary, redeemed $645 million of its total outstanding floating rate subordinated notes due in 2035 for a pre-tax write-off During 2015 and 2014, River Lake Insurance Company repaid $30 million and $26 million, respectively, of its total outstanding floating rate subordinated notes due in 2033. During 2015 and 2014, River Lake II repaid $31 million and $16 million, respectively, of its total outstanding floating rate subordinated notes due in 2035. The weighted-average interest rates on the non-recourse (d) Liquidity Principal amounts under our long-term borrowings (including senior notes) and non-recourse (Amounts in millions) Amount 2017 $ — 2018 597 2019 — 2020 602 2021 and thereafter (1) 3,358 Total $ 4,557 (1) Repayment of $315 million of our non-recourse Our liquidity requirements are principally met through cash flows from operations. (e) Repurchase agreements and securities lending activity Repurchase agreements As of December 31, 2016 and 2015, the fair value of securities pledged under the repurchase program was $79 million and $231 million, respectively, and the repurchase obligation of $75 million and $229 million, respectively, was included in other liabilities in the consolidated balance sheet. Securities lending activity Under our securities lending program in the United States, the borrower is required to provide collateral, which can consist of cash or government securities, on a daily basis in amounts equal to or exceeding 102% of the value of the loaned securities. Currently, we only accept cash collateral from borrowers under the program. Cash collateral received by us on securities lending transactions is reflected in other invested assets with an offsetting liability recognized in other liabilities for the obligation to return the collateral. Any cash collateral received is reinvested by our custodian based upon the investment guidelines provided within our agreement. In the United States, the reinvested cash collateral is primarily invested in a money market fund approved by the NAIC, U.S. and foreign government securities, U.S. government agency securities, asset-backed securities and corporate debt securities. As of December 31, 2016 and 2015, the fair value of securities loaned under our securities lending program in the United States was $517 million and $334 million, respectively. As of December 31, 2016 and 2015, the fair value of collateral held under our securities lending program in the United States was $534 million and $347 million, respectively, and the offsetting obligation to return collateral of $534 million and $347 million, respectively, was included in other liabilities in the consolidated balance sheets. We did not have any non-cash Under our securities lending program in Canada, the borrower is required to provide collateral consisting of government securities on a daily basis in amounts equal to or exceeding 105% of the fair value of the applicable securities loaned. Securities received from counterparties as collateral are not recorded on our consolidated balance sheet given that the risk and rewards of ownership is not transferred from the counterparties to us in the course of such transactions. Additionally, there was no cash collateral because it is not permitted as an acceptable form of collateral under the program. In Canada, the lending institution must be included on the approved Securities Lending Borrowers List with the Canadian regulator and the intermediary must be rated at least “AA-” Risks associated with repurchase agreements and securities lending programs Our repurchase agreement and securities lending programs expose us to liquidity risk if we did not have enough cash or collateral readily available to return to the counterparty when required to do so under the agreements. We manage this risk by regularly monitoring our available sources of cash and collateral to ensure we can meet short-term liquidity demands under normal and stressed scenarios. We are also exposed to credit risk in the event of default of our counterparties or changes in collateral values. This risk is significantly reduced because our programs require over collateralization and collateral exposures are trued up on a daily basis. We manage this risk by using multiple counterparties and ensuring that changes in required collateral are monitored and adjusted daily. We also monitor the creditworthiness, including credit ratings, of our counterparties on a regular basis. Contractual maturity The following tables present the remaining contractual maturity of the agreements as of December 31: 2016 (Amounts in millions) Overnight and Up to 30 days 31 - 90 days Greater than Total Repurchase agreements: U.S. government, agencies and government-sponsored enterprises $ — $ — $ 16 $ 59 $ 75 Securities lending: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises 224 — — — 224 Non-U.S. 34 — — — 34 U.S. corporate 159 — — — 159 Non-U.S. 110 — — — 110 Subtotal, fixed maturity securities 527 — — — 527 Equity securities 7 — — — 7 Total securities lending 534 — — — 534 Total repurchase agreements and securities lending $ 534 $ — $ 16 $ 59 $ 609 2015 (Amounts in millions) Overnight and Up to 30 days 31 - 90 days Greater than Total Repurchase agreements: U.S. government, agencies and government-sponsored enterprises $ — $ 58 $ 25 $ 146 $ 229 Securities lending: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises 18 — — — 18 Non-U.S. 39 — — — 39 U.S. corporate 95 — — — 95 Non-U.S. 190 — — — 190 Subtotal, fixed maturity securities 342 — — — 342 Equity securities 5 — — — 5 Total securities lending 347 — — — 347 Total repurchase agreements and securities lending $ 347 $ 58 $ 25 $ 146 $ 576 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes | (13) Income Taxes Income (loss) from continuing operations before income taxes included the following components for the years ended December 31: (Amounts in millions) 2016 2015 2014 Domestic $ (283 ) $ (468 ) $ (2,022 ) Foreign 603 453 723 Income (loss) from continuing operations before income taxes $ 320 $ (15 ) $ (1,299 ) The total provision (benefit) for income taxes was as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Current federal income taxes $ 55 $ 1 $ (3 ) Deferred federal income taxes 115 (199 ) (305 ) Total federal income taxes 170 (198 ) (308 ) Current state income taxes 1 — 4 Deferred state income taxes 2 4 (4 ) Total state income taxes 3 4 — Current foreign income taxes 183 186 246 Deferred foreign income taxes 2 (1 ) (32 ) Total foreign income taxes 185 185 214 Total provision (benefit) for income taxes $ 358 $ (9 ) $ (94 ) Our current income tax payable was $36 million and $10 million as of December 31, 2016 and 2015, respectively. The reconciliation of the federal statutory tax rate to the effective income tax rate was as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Pre-tax $ 320 $ (15 ) $ (1,299 ) Statutory U.S. federal income tax rate $ 112 35.0 % $ (5 ) 35.0 % $ (455 ) 35.0 % Increase (reduction) in rate resulting from: State income tax, net of federal income tax effect 3 1.0 2 (18.0 ) — — Benefit on tax favored investments (4 ) (1.3 ) (14 ) 93.3 (19 ) 1.4 Effect of foreign operations (5 ) (1.6 ) (20 ) 129.2 (66 ) 5.1 Net impact of repatriating foreign earnings 9 2.8 — — 205 (15.8 ) Interest on uncertain tax positions — — — — (2 ) 0.1 Non-deductible 1 0.3 (3 ) 22.0 4 (0.3 ) Non-deductible — — — — 245 (18.8 ) Valuation allowance 233 72.8 25 (165.0 ) (6 ) 0.5 Stock-based compensation 5 1.6 5 (31.7 ) 4 (0.3 ) Loss on sale of business (1 ) (0.3 ) — — — — Other, net 5 1.6 1 (6.8 ) (4 ) 0.3 Effective rate $ 358 111.9 % $ (9 ) 58.0 % $ (94 ) 7.2 % For the year ended December 31, 2016, the increase in the effective tax rate was primarily related to a valuation allowance recorded on deferred tax assets related to foreign tax credits that we no longer expect to realize. The increase was also related to true ups to lower taxed foreign income. These increases were partially offset by a tax benefit attributable to the reversal of a deferred tax valuation allowance established on a specific capital loss and decreased tax benefits from lower taxed foreign income in 2016. For the year ended December 31, 2015, the increase in the effective tax rate was primarily attributable to tax benefits on lower taxed foreign income, changes in uncertain tax positions and tax favored investments in relation to pre-tax non-deductible The components of the net deferred income tax liability were as follows as of December 31: (Amounts in millions) 2016 2015 Assets: Foreign tax credit carryforwards $ 690 $ 787 Accrued commission and general expenses 208 199 State income taxes 329 302 Net operating loss carryforwards 906 1,727 Other 58 51 Gross deferred income tax assets 2,191 3,066 Valuation allowance (601 ) (353 ) Total deferred income tax assets 1,590 2,713 Liabilities: Investments 2 29 Net unrealized gains on investment securities 644 639 Net unrealized gains on derivatives 18 218 Insurance reserves 58 751 DAC 748 863 PVFP and other intangibles 55 20 Investment in foreign subsidiaries 48 10 Other 70 52 Total deferred income tax liabilities 1,643 2,582 Net deferred income tax asset (liability) $ (53 ) $ 131 The above valuation allowances of $601 million and $353 million as of December 31, 2016 and 2015, respectively, related to state deferred tax assets, foreign tax credits that we no longer expect to realize, foreign net operating losses, and a specific federal separate tax return net operating loss deferred tax asset. The state deferred tax assets related primarily to the future deductions associated with the Section 338 elections and non-insurance NOL carryforwards amounted to $2,627 million as of December 31, 2016, and, if unused, will expire beginning in 2021. Foreign tax credit carryforwards amounted to $690 million as of December 31, 2016, and, if unused will begin to expire in 2021. We are in a three-year cumulative pre-tax loss position in our U.S. jurisdiction as of December 31, 2016. A cumulative loss position is considered significant negative evidence in assessing the realizability of our deferred tax assets. Our ability to realize our U.S. deferred tax asset of $2,191 million, which includes deferred tax assets of $1,596 million related to net operating loss and foreign tax credit carryforwards, is primarily dependent upon generating sufficient taxable income in future years. Management has concluded that there is sufficient positive evidence to overcome this negative evidence for the net operating losses and the majority of foreign tax credit carryforwards. This positive evidence includes: (i) our three-year cumulative pre-tax loss position includes significant charges that are not expected to recur in the future, including goodwill impairments, charges from our claim and assumption reviews in our long-term care and life insurance businesses, respectively, in our U.S. Life Insurance segment in 2016, a loss on the sale of our lifestyle protection insurance business in 2015 and a loss recorded in 2015 related to the sale of our mortgage insurance business in Europe; and (ii) our profitable U.S. operating forecasts, result in utilization of most of the net deferred tax assets within the U.S. federal carryforward periods based on our current projections, including in-force premium rate actions already obtained in our long-term care insurance business and the lack of future sales and related expenses for our traditional life insurance and fixed annuity products given our suspension of new sales included in these forecasts and the significant taxable temporary differences that exist; (iii) overall domestic losses that we have incurred are allowed to be reclassified as foreign source income to the extent of 50% of domestic source income produced in subsequent years, and such resulting foreign source income is sufficient to cover the foreign tax credits being carried forward; and, (iv) tax planning strategies that assume that we will not elect to take foreign tax credits and instead deduct foreign taxes in some prior tax years. After consideration of all available evidence, we have recorded a valuation allowance of $258 million. If our actual results do not validate the current projections of pre-tax income, we may be required to record an additional valuation allowance that could have a material impact on our consolidated financial statements in future periods. As a consequence of our separation from GE, and our joint election with GE to treat that separation as an asset sale under Section 338 of the Internal Revenue Code, we became entitled to additional tax deductions in post IPO periods. As of December 31, 2016 and 2015, we have recorded in our consolidated balance sheets our estimates of the remaining deferred tax benefits associated with these deductions of $485 million and $599 million, respectively. We are obligated, pursuant to our Tax Matters Agreement with GE, to make fixed payments to GE, over the next seven years, on an after-tax IPO-related In 2014, we increased our deferred tax liability by $6 million with an offset to additional paid-in A reconciliation of the beginning and ending amount of unrecognized tax benefits was as follows: (Amounts in millions) 2016 2015 2014 Balance as of January 1 $ 28 $ 49 $ 41 Tax positions related to the current period: Gross additions 6 5 7 Gross reductions — — (3 ) Tax positions related to the prior years: Gross additions — — 17 Gross reductions — (26 ) (13 ) Balance as of December 31 $ 34 $ 28 $ 49 The total amount of unrecognized tax benefits was $34 million as of December 31, 2016, of which $32 million, if recognized, would affect the effective rate on continuing operations. These unrecognized tax benefits included the impact of foreign currency translation from our international operations. We believe it is reasonably possible that in 2017 due to the potential resolution of certain potential settlements and other administrative and statutory proceedings and limitations, up to approximately $14 million of unrecognized tax benefits will be recognized. These tax benefits are mainly related to certain insurance and non-insurance We recognize accrued interest and penalties related to unrecognized tax benefits as components of income tax expense. We recorded less than $1 million, $1 million and $3 million, respectively, of benefits related to interest and penalties during 2016, 2015 and 2014. Our companies have elected to file a single U.S. consolidated income tax return (the “life/non-life life/non-life pre-2013 non-life pre-disposition non-insurance |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2016 | |
Supplemental Cash Flow Information | (14) Supplemental Cash Flow Information Net cash paid for taxes was $203 million, $153 million and $645 million and cash paid for interest was $381 million, $424 million and $437 million for the years ended December 31, 2016, 2015 and 2014, respectively. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2016 | |
Stock-Based Compensation | (15) Stock-Based Compensation Prior to May 2012, we granted share-based awards to employees and directors, including stock options, SARs, RSUs and deferred stock units (“DSUs”) under the 2004 Genworth Financial, Inc. Omnibus Incentive Plan (the “2004 Omnibus Incentive Plan”). In May 2012, the 2012 Genworth Financial, Inc. Omnibus Incentive Plan (the “2012 Omnibus Incentive Plan,” together with the 2004 Omnibus Incentive Plan, the “Omnibus Incentive Plans”) was approved by stockholders. Under the 2012 Omnibus Incentive Plan, we are authorized to grant 16 million equity awards, plus a number of additional shares not to exceed 25 million underlying awards outstanding under the prior Plan. From and after May 2012, no further awards have been or will be granted under the 2004 Omnibus Incentive Plan and the 2004 Omnibus Incentive Plan will remain in effect only as long as awards granted thereunder remain outstanding. We recorded stock-based compensation expense under the Omnibus Incentive Plans of $23 million, $17 million and $20 million, respectively, for the years ended December 31, 2016, 2015 and 2014. For awards issued prior to January 1, 2006, stock-based compensation expense was recognized on a graded vesting attribution method over the awards’ respective vesting schedule. For awards issued after January 1, 2006, stock-based compensation expense was recognized evenly on a straight-line attribution method over the awards’ respective vesting period. For purposes of determining the fair value of stock-based payment awards on the date of grant, we typically use the Black-Scholes Model. The Black-Scholes Model requires the input of certain assumptions that involve judgment. Management periodically evaluates the assumptions and methodologies used to calculate fair value of share-based compensation. Circumstances may change and additional data may become available over time, which could result in changes to these assumptions and methodologies. There were no SARs or stock options granted during 2016. The following table contains the stock option and SAR weighted-average grant-date fair value information and related valuation assumptions for the years ended December 31: 2015 2014 Black-Scholes Black-Scholes Awards granted (in thousands) 1,378 2,960 Maximum share value at exercise of SARs $ 75.00 $ 75.00 Fair value per options and SARs $ 3.43 $ 3.05 Valuation assumptions: Expected term (years) 6.0 6.0 Expected volatility 66.0 % 100.2 % Expected dividend yield — % 0.5 % Risk-free 1.9 % 1.9 % During 2015 and 2014, we granted SARs with exercise prices ranging from $4.96 to $7.99 and $14.30 to $17.89, respectively. These SARs have a feature that places a cap on the amount of gain that can be recognized upon exercise of the SARs. Specifically, if the price of our Class A Common Stock reaches $75.00, any vested portion of the SAR will be automatically exercised. The SAR grant price equaled the closing market prices of our Class A Common Stock on the date of the grant and the awards have an exercise term of 10 years. The SARs granted in 2015 have an average vesting period of three years, while the SARs granted in 2014 have an average vesting period of four years. Vesting occurs in annual increments commencing on the first anniversary of the grant date. Additionally, during 2016 and 2015, we issued RSUs with average restriction periods of three years and four years, respectively, with a fair value of $2.04 and $4.96 to $7.99, respectively, which were measured at the market price of a share of our Class A Common Stock on the grant date. In 2016 and 2015, we granted performance stock units (“PSUs”) with a fair value of $2.81 and $7.75, respectively. The PSUs were granted at market price as of the grant date. PSUs may be earned over a three-year period based upon the achievement of certain performance goals. The performance goals for the PSUs granted in 2016 are based upon four performance metrics, each payable independently. The four performance metrics are; the average annual adjusted operating income, adjusted operating return on equity for our mortgage insurance businesses for the years ended December 31, 2016, 2017 and 2018, expense management in our U.S. Life Insurance segment for the year ended 2018 and cumulative in-force The performance goals for the PSUs granted in 2015 are based upon the average daily closing price of our Class A Common Stock during the fourth quarter of 2017 and the two point average of our book value per share, excluding accumulated other comprehensive income (loss), during the close of the third and fourth quarters of 2017. The PSUs will be payable in Genworth Class A Common Stock in March 2018 provided we have attained or exceeded threshold levels related to the performance goals. Our book value per share is divided into the average daily closing price of our Class A Common Stock to calculate the book value multiplier, which determines the potential number of shares to be paid out. If the respective levels have not been achieved by December 31, 2017, no payout will occur and all the related expenses recorded to date will be reversed. The performance goals for the PSUs granted in 2014 were based upon the achievement of goals related to our 2016 annual operating return on equity and book value per share, excluding accumulated other comprehensive income (loss). We did not achieve the respective threshold levels for the PSUs granted in 2014 by the December 31, 2016 deadline; therefore, all the related expenses recorded were reversed. In 2016 and 2015, we granted $18 million and $10 million, respectively, in cash retention awards with a fair value of $1.00. During 2016, approximately $3 million awards were forfeited due to employees leaving Genworth prior to the vesting date. The remaining cash awards vest over two years, with half of the payout occurring per year, beginning on the first anniversary of the grant date. The remaining performance-based cash awards vest over three years, one third each year, beginning on the first anniversary of the grant date. No stock options were granted in 2016, 2015 or 2014. The following table summarizes stock option activity as of December 31, 2016 and 2015: (Shares in thousands) Shares subject Weighted-average Balance as of January 1, 2015 2,504 $ 12.86 Granted — $ — Exercised (47 ) $ 4.39 Expired and forfeited (317 ) $ 17.62 Balance as of January 1, 2016 2,140 $ 12.34 Granted — $ — Exercised (46 ) $ 2.46 Expired and forfeited (280 ) $ 17.24 Balance as of December 31, 2016 1,814 $ 11.83 Exercisable as of December 31, 2016 1,814 $ 11.83 The following table summarizes information about stock options outstanding as of December 31, 2016: Outstanding and Exercisable Exercise price range Shares in Average (1) Average $2.00 - $2.46 (2) 316 2.06 $ 2.43 $7.80 314 1.19 $ 7.80 $9.10 - $14.18 1,043 2.88 $ 14.14 $14.92 - $31.71 141 1.13 $ 24.77 1,814 $ 11.83 (1) Average contractual life remaining in years. (2) These shares have an aggregate intrinsic value of less than $1 million each for total options outstanding and exercisable. The following tables summarize the status of our other equity-based awards as of December 31, 2016 and 2015: RSUs PSUs DSUs SARs (Awards in thousands) Number Weighted- date fair Number Weighted- value Number Weighted- value Number Weighted- date fair Balance as of January 1, 2015 2,913 $ 12.09 304 $ 15.32 634 $ 9.96 12,067 $ 3.62 Granted 2,087 $ 7.50 535 $ 7.75 256 $ 3.90 1,378 $ 3.43 Exercised (1,390 ) $ 11.60 — $ — (10 ) $ 2.14 (59 ) $ 1.28 Terminated (355 ) $ 10.10 (129 ) $ 9.72 — $ — (1,238 ) $ 4.05 Balance as of January 1, 2016 3,255 $ 9.22 710 $ 10.63 880 $ 8.18 12,148 $ 3.56 Granted 1,230 $ 2.04 2,730 $ 2.81 284 $ 2.14 — $ — Exercised (818 ) $ 10.13 — $ — — $ — — $ — Terminated (414 ) $ 9.70 (4 ) $ 15.23 — $ — (1,308 ) $ 3.72 Balance as of December 31, 2016 3,253 $ 6.19 3,436 $ 4.41 1,164 $ 6.72 10,840 $ 3.54 As of December 31, 2016 and 2015, total unrecognized stock-based compensation expense related to non-vested In 2016 and 2015, there was less than $1 million in cash received from stock options exercised in each year. New shares were issued to settle all exercised awards. The actual tax benefit realized for the tax deductions from the exercise of share-based awards was $1 million and $4 million as of December 31, 2016 and 2015, respectively. Genworth Canada, our indirect subsidiary and a public company, grants stock options and other equity-based awards to its Canadian employees. The following table summarizes the status of Genworth Canada’s stock option activity and other equity-based awards as of December 31, 2016 and 2015: Stock options RSUs and PSUs DSUs Executive deferred (Shares and awards in thousands) Shares subject Number of Number of Number of awards Balance as of January 1, 2015 1,002 203 54 21 Granted 53 78 14 10 Exercised (88 ) (60 ) (14 ) — Terminated (12 ) (27 ) — — Balance as of January 1, 2016 955 194 54 31 Granted 95 126 12 14 Exercised (65 ) (77 ) (2 ) — Terminated (28 ) (8 ) — — Balance as of December 31, 2016 957 235 64 45 As of December 31, 2016 and 2015, the DSUs were fully vested and the stock options, RSUs, PSUs and EDSUs were partially vested. The EDSUs were introduced in 2013 as part of a share-based compensation plan intended for executive level employees entitling them to receive an amount equal to the fair value of Genworth Canada stock. For the years ended December 31, 2016, 2015 and 2014, we recorded stock-based compensation expense of $8 million, $(3) million and $6 million, respectively. For the years ended December 31, 2016, 2015 and 2014, we estimated total unrecognized expense of $3 million, $2 million and $3 million, respectively, related to these awards. In connection with the IPO of Genworth Mortgage Insurance Australia Limited (“Genworth Australia”) in May 2014, our indirect subsidiary, Genworth Australia, granted stock options and other equity-based awards to its Australian employees. Additionally, in 2016 Genworth Australia granted approximately 742,000 share rights in conjunction with their long-term incentive plan for key employees. During 2016, approximately 348,000 share rights were forfeited and as of December 31, 2016, there were approximately 925,000 shares outstanding related to this plan. The following table summarizes the status of Genworth Australia’s restricted share rights as of December 31, 2016 and 2015: Restricted share rights Long-term Incentive Plan (Shares in thousands) Shares subject to option Shares subject to option Balance as of January 1, 2015 2,803 — Granted 147 533 Exercised (40 ) — Terminated (145 ) — Balance as of January 1, 2016 2,765 533 Granted 280 742 Exercised (892 ) (2 ) Terminated (884 ) (348 ) Balance as of December 31, 2016 1,269 925 As of December 31, 2016 and 2015, none of the restricted share rights were vested. For the years ended December 31, 2016 and 2015, we recorded stock-based compensation expense of $1 million and $2 million, respectively, and we estimated total unrecognized expense of $1 million and $4 million, respectively, related to these awards. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value of Financial Instruments | Assets and liabilities that are reflected in the accompanying consolidated financial statements at fair value are not included in the following disclosure of fair value. Such items include cash and cash equivalents, investment securities, separate accounts, securities held as collateral and derivative instruments. Other financial assets and liabilities—those not carried at fair value—are discussed below. Apart from certain of our borrowings and certain marketable securities, few of the instruments discussed below are actively traded and their fair values must often be determined using models. The fair value estimates are made at a specific point in time, based upon available market information and judgments about the financial instruments, including estimates of the timing and amount of expected future cash flows and the credit standing of counterparties. Such estimates do not reflect any premium or discount that could result from offering for sale at one time our entire holdings of a particular financial instrument, nor do they consider the tax impact of the realization of unrealized gains or losses. In many cases, the fair value estimates cannot be substantiated by comparison to independent markets. The basis on which we estimate fair value is as follows: Commercial mortgage loans. Restricted commercial mortgage loans. Other invested assets. Long-term borrowings. Non-recourse Borrowings related to securitization entities. Investment contracts. The following represents our estimated fair value of financial assets and liabilities that are not required to be carried at fair value as of December 31: 2016 Notional amount Carrying amount Fair value (Amounts in millions) Total Level 1 Level 2 Level 3 Assets: Commercial mortgage loans (1) $ 6,111 $ 6,247 $ — $ — $ 6,247 Restricted commercial mortgage loans (2) (1) 129 141 — — 141 Other invested assets (1) 459 473 — 352 121 Liabilities: Long-term (3) (1) 4,180 3,582 — 3,440 142 Non-recourse (3) (1) 310 186 — — 186 Borrowings related to securitization entities (2) (1) 62 65 — 65 — Investment contracts (1) 16,437 16,993 — 5 16,988 Other firm commitments: Commitments to fund limited partnerships $ 201 — — — — — Ordinary course of business lending commitments 73 — — — — — 2015 Notional amount Carrying amount Fair value (Amounts in millions) Total Level 1 Level 2 Level 3 Assets: Commercial mortgage loans (1) $ 6,170 $ 6,476 $ — $ — $ 6,476 Restricted commercial mortgage loans (2) (1) 161 179 — — 179 Other invested assets (1) 273 279 — 197 82 Liabilities: Long-term (3) (1) 4,570 3,518 — 3,343 175 Non-recourse (3) (1) 1,920 1,401 — — 1,401 Borrowings related to securitization entities (2) (1) 98 104 — 104 — Investment contracts (1) 17,258 17,910 — 5 17,905 Other firm commitments: Commitments to fund limited partnerships $ 131 — — — — — Ordinary course of business lending commitments 40 — — — — — (1) These financial instruments do not have notional amounts. (2) See note 17 for additional information related to consolidated securitization entities. (3) See note 12 for additional information related to borrowings. Recurring Fair Value Measurements We have fixed maturity, equity and trading securities, derivatives, embedded derivatives, securities held as collateral, separate account assets and certain other financial instruments, which are carried at fair value. Below is a description of the valuation techniques and inputs used to determine fair value by class of instrument. Fixed maturity, equity and trading securities The fair value of fixed maturity, equity and trading securities are estimated primarily based on information derived from third-party pricing services (“pricing services”), internal models and/or third-party broker provided prices (“broker quotes”), which use a market approach, income approach or a combination of the market and income approach depending on the type of instrument and availability of information. In general, a market approach is utilized if there is readily available and relevant market activity for an individual security. In certain cases where market information is not available for a specific security but is available for similar securities, a security is valued using that market information for similar securities, which is also a market approach. When market information is not available for a specific security or is available but such information is less relevant or reliable, an income approach or a combination of a market and income approach is utilized. For securities with optionality, such as call or prepayment features (including mortgage-backed or asset-backed securities), an income approach may be used. In addition, a combination of the results from market and income approaches may be used to estimate fair value. These valuation techniques may change from period to period, based on the relevance and availability of market data. We utilize certain third-party data providers when determining fair value. We consider information obtained from pricing services as well as broker quotes in our determination of fair value. Additionally, we utilize internal models to determine the valuation of securities using an income approach where the inputs are based on third-party provided market inputs. While we consider the valuations provided by pricing services and broker quotes to be of high quality, management determines the fair value of our investment securities after considering all relevant and available information. We also use various methods to obtain an understanding of the valuation methodologies and procedures used by third-party data providers to ensure sufficient understanding to evaluate the valuation data received, including an understanding of the assumptions and inputs utilized to determine the appropriate fair value. For pricing services, we analyze the prices provided by our primary pricing services to other readily available pricing services and perform a detailed review of the assumptions and inputs from each pricing service to determine the appropriate fair value when pricing differences exceed certain thresholds. We evaluate changes in fair value that are greater than certain pre-defined In general, we first obtain valuations from pricing services. If a price is not supplied by a pricing service, we will typically seek a broker quote for public or private fixed maturity securities. In certain instances, we utilize price caps for broker quoted securities where the estimated market yield results in a valuation that may exceed the amount that we believe would be received in a market transaction. For certain private fixed maturity securities where we do not obtain valuations from pricing services, we utilize an internal model to determine fair value since transactions for identical securities are not readily observable and these securities are not typically valued by pricing services. For all securities, excluding certain private fixed maturity securities, if neither a pricing service nor broker quotes valuation is available, we determine fair value using internal models. For pricing services, we obtain an understanding of the pricing methodologies and procedures for each type of instrument. Additionally, on a monthly basis we review a sample of securities, examining the pricing service’s assumptions to determine if we agree with the service’s derived price. When available, we also evaluate the prices sampled as compared to other public prices. If a variance greater than a pre-defined For private fixed maturity securities, we utilize an income approach where we obtain public bond spreads and utilize those in an internal model to determine fair value. Other inputs to the model include rating and weighted-average life, as well as sector which is used to assign the spread. We then add an additional premium, which represents an unobservable input, to the public bond spread to adjust for the liquidity and other features of our private placements. We utilize the estimated market yield to discount the expected cash flows of the security to determine fair value. We utilize price caps for securities where the estimated market yield results in a valuation that may exceed the amount that would be received in a market transaction and value all private fixed maturity securities at par that have less than 12 months to maturity. When a security does not have an external rating, we assign the security an internal rating to determine the appropriate public bond spread that should be utilized in the valuation. To evaluate the reasonableness of the internal model, we review a sample of private fixed maturity securities each month. In that review we compare the modeled prices to the prices of similar public securities in conjunction with analysis on current market indicators. If a pricing variance greater than a pre-defined pre-defined For broker quotes, we consider the valuation methodology utilized by the third party and analyze a sample each month to assess reasonableness given then-current market conditions. Additionally, for broker quotes on certain structured securities, we validate prices received against other publicly available pricing sources. Broker quotes are typically based on an income approach given the lack of available market data. As the valuation typically includes significant unobservable inputs, we classify the securities where fair value is based on our consideration of broker quotes as Level 3 measurements. For remaining securities priced using internal models, we determine fair value using an income approach. We analyze a sample each month to assess reasonableness given then-current market conditions. We maximize the use of observable inputs but typically utilize significant unobservable inputs to determine fair value. Accordingly, the valuations are typically classified as Level 3. A summary of the inputs used for our fixed maturity, equity and trading securities based on the level in which instruments are classified is included below. We have combined certain classes of instruments together as the nature of the inputs is similar. Level 1 measurements Equity securities. Separate account assets. Level 2 measurements Fixed maturity securities • Third-party pricing services: The following table presents a summary of the significant inputs used by our third-party pricing services for certain fair value measurements of fixed maturity securities that are classified as Level 2 as of December 31, 2016: (Amounts in millions) Fair value Primary methodologies Significant inputs U.S. government, agencies and government-sponsored enterprises $ 6,034 Price quotes from trading desk, broker feeds Bid side prices, trade prices, Option Adjusted Spread (“OAS”) to swap curve, Bond Market Association OAS, Treasury Curve, Agency Bullet Curve, maturity to issuer spread State and political subdivisions $ 2,603 Multi-dimensional attribute-based modeling systems, third-party pricing vendors Trade prices, material event notices, Municipal Market Data benchmark yields, broker quotes Non-U.S. $ 2,090 Matrix pricing, spread priced to benchmark curves, price quotes from market makers Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer U.S. corporate $ 23,701 Multi-dimensional attribute-based modeling systems, broker quotes, price quotes from market makers, internal models, OAS-based Bid side prices to Treasury Curve, Issuer Curve, which includes sector, quality, duration, OAS percentage and change for spread matrix, trade prices, comparative transactions, Trade Reporting and Compliance Engine (“TRACE”) reports Non-U.S. $ 10,445 Multi-dimensional attribute-based modeling systems, OAS-based Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer Residential mortgage-backed $ 4,336 OAS-based Prepayment and default assumptions, aggregation of bonds with similar characteristics, including collateral type, vintage, tranche type, weighted-average life, weighted-average loan age, issuer program and delinquency ratio, pay up and pay down factors, TRACE reports Commercial mortgage-backed $ 3,075 Multi-dimensional attribute-based modeling systems, pricing matrix, spread matrix priced to swap curves, Trepp commercial mortgage- backed securities analytics model Credit risk, interest rate risk, prepayment speeds, new issue data, collateral performance, origination year, tranche type, original credit ratings, weighted-average life, cash flows, spreads derived from broker quotes, bid side prices, spreads to daily updated swaps curves, TRACE reports Other asset-backed $ 3,006 Multi-dimensional attribute-based modeling systems, spread matrix priced to swap curves, price quotes from market makers, internal models Spreads to daily updated swaps curves, spreads derived from trade prices and broker quotes, bid side prices, new issue data, collateral performance, analysis of prepayment speeds, cash flows, collateral loss analytics, historical issue analysis, trade data from market makers, TRACE reports • Internal models: non-U.S. non-U.S. Equity securities. Securities lending collateral The fair value of securities held as collateral is primarily based on Level 2 inputs from market information for the collateral that is held on our behalf by the custodian. We determine fair value after considering prices obtained by third-party pricing services. Level 3 measurements Fixed maturity securities • Internal models: non-U.S. • Broker quotes: non-U.S. Equity securities. Restricted other invested assets related to securitization entities We have trading securities related to securitization entities that are classified as restricted other invested assets and are carried at fair value. The trading securities represent asset-backed securities. The valuation for trading securities is determined using a market approach and/or an income approach depending on the availability of information. For certain highly rated asset-backed securities, there is observable market information for transactions of the same or similar instruments, which is provided to us by a third-party pricing service and is classified as Level 2. For certain securities that are not actively traded, we determine fair value after considering third-party broker provided prices or discounted expected cash flows using current yields for similar securities and classify these valuations as Level 3. GMWB embedded derivatives We are required to bifurcate an embedded derivative for certain features associated with annuity products and related reinsurance agreements where we provide a GMWB to the policyholder and are required to record the GMWB embedded derivative at fair value. The valuation of our GMWB embedded derivative is based on an income approach that incorporates inputs such as forward interest rates, equity index volatility, equity index and fund correlation, and policyholder assumptions such as utilization, lapse and mortality. In addition to these inputs, we also consider risk and expense margins when determining the projected cash flows that would be determined by another market participant. While the risk and expense margins are considered in determining fair value, these inputs do not have a significant impact on the valuation. We determine fair value using an internal model based on the various inputs noted above. The resulting fair value measurement from the model is reviewed by the product actuarial, risk and finance professionals each reporting period with changes in fair value also being compared to changes in derivatives and other instruments used to mitigate changes in fair value from certain market risks, such as equity index volatility and interest rates. For GMWB liabilities, non-performance non-performance non-performance To determine the appropriate discount rate to reflect the non-performance non-performance non-performance For equity index volatility, we determine the projected equity market volatility using both historical volatility and projected equity market volatility with more significance being placed on projected near-term volatility and recent historical data. Given the different attributes and market characteristics of GMWB liabilities compared to equity index options in the derivative market, the equity index volatility assumption for GMWB liabilities may be different from the volatility assumption for equity index options, especially for the longer dated points on the curve. Equity index and fund correlations are determined based on historical price observations for the fund and equity index. For policyholder assumptions, we use our expected lapse, mortality and utilization assumptions and update these assumptions for our actual experience, as necessary. For our lapse assumption, we adjust our base lapse assumption by policy based on a combination of the policyholder’s current account value and GMWB benefit. We classify the GMWB valuation as Level 3 based on having significant unobservable inputs, with equity index volatility and non-performance non-performance Fixed index annuity embedded derivatives We have fixed indexed annuity products where interest is credited to the policyholder’s account balance based on equity index changes. This feature is required to be bifurcated as an embedded derivative and recorded at fair value. Fair value is determined using an income approach where the present value of the excess cash flows above the guaranteed cash flows is used to determine the value attributed to the equity index feature. The inputs used in determining the fair value include policyholder behavior (lapses and withdrawals), near-term equity index volatility, expected future interest credited, forward interest rates and an adjustment to the discount rate to incorporate non-performance Indexed universal life embedded derivatives We have indexed universal life products where interest is credited to the policyholder’s account balance based on equity index changes. This feature is required to be bifurcated as an embedded derivative and recorded at fair value. Fair value is determined using an income approach where the present value of the excess cash flows above the guaranteed cash flows is used to determine the value attributed to the equity index feature. The inputs used in determining the fair value include policyholder behavior (lapses and withdrawals), near-term equity index volatility, expected future interest credited, forward interest rates and an adjustment to the discount rate to incorporate non-performance Borrowings related to securitization entities We record certain borrowings related to securitization entities at fair value. The fair value of these borrowings is determined using either a market approach or income approach, depending on the instrument and availability of market information. Given the unique characteristics of the securitization entities that issued these borrowings as well as the lack of comparable instruments, we determine fair value considering the valuation of the underlying assets held by the securitization entities and any derivatives, as well as any unique characteristics of the borrowings that may impact the valuation. After considering all relevant inputs, we determine fair value of the borrowings using the net valuation of the underlying assets and derivatives that are backing the borrowings. Accordingly, these instruments are classified as Level 3. Increases in the valuation of the underlying assets or decreases in the derivative liabilities will result in an increase in the fair value of these borrowings. Derivatives We consider counterparty collateral arrangements and rights of set-off non-performance non-performance non-performance Interest rate swaps. Interest rate swaps related to securitization entities. Inflation indexed swaps. Foreign currency swaps. Credit default swaps. Credit default swaps related to securitization entities. Equity index options. Financial futures. Equity return swaps. Forward bond purchase commitments. Other foreign currency contracts. The following tables set forth our assets by class of instrument that are measured at fair value on a recurring basis as of December 31: 2016 (Amounts in millions) Total Level 1 Level 2 Level 3 Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 6,036 $ — $ 6,034 $ 2 State and political subdivisions 2,647 — 2,610 37 Non-U.S. 2,107 — 2,107 — U.S. corporate: Utilities 4,550 — 3,974 576 Energy 2,300 — 2,090 210 Finance and insurance 6,097 — 5,311 786 Consumer—non-cyclical 4,734 — 4,613 121 Technology and communications 2,598 — 2,544 54 Industrial 1,223 — 1,175 48 Capital goods 2,258 — 2,106 152 Consumer—cyclical 1,530 — 1,272 258 Transportation 1,190 — 1,051 139 Other 348 — 205 143 Total U.S. corporate 26,828 — 24,341 2,487 Non-U.S. Utilities 969 — 583 386 Energy 1,331 — 1,125 206 Finance and insurance 2,538 — 2,356 182 Consumer—non-cyclical 714 — 575 139 Technology and communications 987 — 920 67 Industrial 958 — 849 109 Capital goods 535 — 366 169 Consumer—cyclical 442 — 373 69 Transportation 677 — 496 181 Other 3,144 — 3,119 25 Total non-U.S. 12,295 — 10,762 1,533 Residential mortgage-backed 4,379 — 4,336 43 Commercial mortgage-backed 3,129 — 3,075 54 Other asset-backed 3,151 — 3,006 145 Total fixed maturity securities 60,572 — 56,271 4,301 Equity securities 632 551 34 47 Other invested assets: Trading securities 259 — 259 — Derivative assets: Interest rate swaps 596 — 596 — Foreign currency swaps 4 — 4 — Equity index options 72 — — 72 Equity return swaps 1 — 1 — Other foreign currency contracts 35 — 32 3 Total derivative assets 708 — 633 75 Securities lending collateral 534 — 534 — Total other invested assets 1,501 — 1,426 75 Restricted other invested assets related to securitization entities (1) 312 — 181 131 Reinsurance recoverable (2) 16 — — 16 Separate account assets 7,299 7,299 — — Total assets $ 70,332 $ 7,850 $ 57,912 $ 4,570 (1) See note 17 for additional information related to consolidated securitization entities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. 2015 (Amounts in millions) Total Level 1 Level 2 Level 3 Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 6,203 $ — $ 6,200 $ 3 State and political subdivisions 2,438 — 2,403 35 Non-U.S. 2,015 — 2,015 — U.S. corporate: Utilities 3,693 — 3,244 449 Energy 2,501 — 2,248 253 Finance and insurance 5,632 — 4,917 715 Consumer—non-cyclical 4,096 — 3,987 109 Technology and communications 2,193 — 2,158 35 Industrial 1,173 — 1,112 61 Capital goods 1,950 — 1,770 180 Consumer—cyclical 1,675 — 1,436 239 Transportation 1,086 — 980 106 Other 402 — 220 182 Total U.S. corporate 24,401 — 22,072 2,329 Non-U.S. Utilities 843 — 556 287 Energy 1,686 — 1,434 252 Finance and insurance 2,473 — 2,282 191 Consumer—non-cyclical 752 — 583 169 Technology and communications 988 — 926 62 Industrial 986 — 902 84 Capital goods 604 — 391 213 Consumer—cyclical 526 — 455 71 Transportation 605 — 461 144 Other 2,736 — 2,664 72 Total non-U.S. 12,199 — 10,654 1,545 Residential mortgage-backed 5,101 — 4,985 116 Commercial mortgage-backed 2,559 — 2,549 10 Other asset-backed 3,281 — 2,139 1,142 Total fixed maturity securities 58,197 — 53,017 5,180 Equity securities 310 270 2 38 Other invested assets: Trading securities 447 — 447 — Derivative assets: Interest rate swaps 1,054 — 1,054 — Foreign currency swaps 8 — 8 — Credit default swaps 1 — — 1 Equity index options 30 — — 30 Equity return swaps 2 — 2 — Other foreign currency contracts 17 — 14 3 Total derivative assets 1,112 — 1,078 34 Securities lending collateral 347 — 347 — Total other invested assets 1,906 — 1,872 34 Restricted other invested assets related to securitization entities (1) 413 — 181 232 Reinsurance recoverable (2) 17 — — 17 Separate account assets 7,883 7,883 — — Total assets $ 68,726 $ 8,153 $ 55,072 $ 5,501 (1) See note 17 for additional information related to consolidated securitization entities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. We review the fair value hierarchy classifications each reporting period. Changes in the observability of the valuation attributes may result in a reclassification of certain financial assets or liabilities. Such reclassifications are reported as transfers between levels at the beginning fair value for the reporting period in which the changes occur. Given the types of assets classified as Level 1, which primarily represents mutual fund investments, we typically do not have any transfers between Level 1 and Level 2 measurement categories and did not have any such transfers during any period presented. Our assessment of whether or not there were significant unobservable inputs related to fixed maturity securities was based on our observations obtained through the course of managing our investment portfolio, including interaction with other market participants, observations related to the availability and consistency of pricing and/or rating, and understanding of general market activity such as new issuance and the level of secondary market trading for a class of securities. Additionally, we considered data obtained from third-party pricing sources to determine whether our estimated values incorporate significant unobservable inputs that would result in the valuation being classified as Level 3. The following tables present additional information about assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning as of January 1, Total realized and Transfer into (1) Transfer out of (1) Ending as of December 31, Total gains to assets (Amounts in millions) Included Included Purchases Sales Issuances Settlements Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 3 $ — $ — $ — $ — $ — $ (1 ) $ — $ — $ 2 $ — State and political subdivisions 35 2 — 7 — — — — (7 ) 37 2 U.S. corporate: Utilities 449 1 1 149 (6 ) — (21 ) 73 (70 ) 576 — Energy 253 — (2 ) 10 — — (11 ) 7 (47 ) 210 — Finance and insurance 715 16 9 69 (14 ) — (63 ) 72 (18 ) 786 15 Consumer—non-cyclical 109 — 3 30 (18 ) — (3 ) — — 121 — Technology and communications 35 3 (3 ) 30 — — — — (11 ) 54 3 Industrial 61 5 2 — — — (32 ) 12 — 48 — Capital goods 180 1 (2 ) 30 (10 ) — — — (47 ) 152 1 Consumer—cyclical 239 4 (1 ) 68 (5 ) — (44 ) 19 (22 ) 258 — Transportation 106 2 (1 ) 53 — — (26 ) 5 — 139 2 Other 182 1 (2 ) — — — (8 ) 16 (46 ) 143 1 Total U.S. corporate 2,329 33 4 439 (53 ) — (208 ) 204 (261 ) 2,487 22 Non-U.S. Utilities 287 — (7 ) 126 (5 ) — (51 ) 46 (10 ) 386 — Energy 252 — 30 8 (27 ) — (31 ) — (26 ) 206 — Finance and insurance 191 3 (2 ) 11 (1 ) — — — (20 ) 182 3 Consumer—non-cyclical 169 2 5 3 (3 ) — (49 ) 12 — 139 — Technology and communications 62 — 3 18 (16 ) — — — — 67 — Industrial 84 — 4 17 (21 ) — — 25 — 109 — Capital goods 213 1 3 — — — (15 ) — (33 ) 169 1 Consumer—cyclical 71 — — — — — (2 ) — — 69 — Transportation 144 1 — 12 — — (15 ) 39 — 181 — Other 72 (2 ) 3 — (13 ) — (7 ) 10 (38 ) 25 (2 ) Total non-U.S. 1,545 5 39 195 (86 ) — (170 ) 132 (127 ) 1,533 2 Residential mortgage-backed 116 — 1 51 (45 ) — (14 ) 22 (88 ) 43 — Commercial mortgage-backed 10 — (7 ) 24 — — (4 ) 37 (6 ) 54 — Other asset-backed 1,142 (17 ) 3 16 (26 ) — (26 ) 66 (1,013 ) 145 (16 ) Total fixed maturity securities 5,180 23 40 732 (210 ) — (423 ) 461 (1,502 ) 4,301 10 Equity securities 38 — — 13 (4 ) — — — — 47 — Other invested assets: Derivative assets: Credit default swaps 1 — — — — — (1 ) — — — — Equity index options 30 10 — 76 — — (44 ) — — 72 2 Other foreign currency contracts 3 (1 ) — 2 — — (1 ) — — 3 (1 ) Total derivative assets 34 9 — 78 — — (46 ) — — 75 1 Total other invested assets 34 9 — 78 — — (46 ) — — 75 1 Restricted other invested assets related to securitization entities (2) 232 (55 ) — — — — (46 ) — — 131 9 Reinsurance recoverable (3) 17 (3 ) — — — 2 — — — 16 (3 ) Total Level 3 assets $ 5,501 $ (26 ) $ 40 $ 823 $ (214 ) $ 2 $ (515 ) $ 461 $ (1,502 ) $ 4,570 $ 17 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. Most significantly, the majority of the transfers out of Level 3 related to a reclassification of collateralized loan obligation securities previously valued using a broker priced source to now being valued using third-party pricing services. (2) See note 17 for additional information related to consolidated securitization entities. (3) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of January 1, Total realized and Transfer into (1) Transfer out of (1) Ending as of December 31, Total gains to assets (Amounts in millions) Included Included Purchases Sales Issuances Settlements Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 4 $ — $ — $ — $ — $ — $ (1 ) $ — $ — $ 3 $ — State and political subdivisions 30 3 7 5 — — — — (10 ) 35 3 Non-U.S. 7 — (1 ) — — — (1 ) — (5 ) — — U.S. corporate: Utilities 444 — (14 ) 67 — — (16 ) 10 (42 ) 449 — Energy 285 — (13 ) 4 (4 ) — (11 ) — (8 ) 253 — Finance and insurance 616 16 (28 ) 90 — — (33 ) 97 (43 ) 715 14 Consumer—non-cyclical 140 2 (3 ) 29 (9 ) — (40 ) — (10 ) 109 — Technology and communications 45 3 (2 ) — — — — — (11 ) 35 3 Industrial 36 — (3 ) 28 — — — — — 61 — Capital goods 166 — (6 ) 30 (3 ) — (1 ) — (6 ) 180 — Consumer—cyclical 363 1 (8 ) 39 — — (52 ) 11 (115 ) 239 — Transportation 153 1 (5 ) 7 — — (31 ) — (19 ) 106 1 Other 171 1 (2 ) — — — (7 ) 19 — 182 1 Total U.S. corporate 2,419 24 (84 ) 294 (16 ) — (191 ) 137 (254 ) 2,329 19 Non-U.S. Utilities 328 — (4 ) 18 — — (46 ) — (9 ) 287 — Energy 324 (1 ) (21 ) 15 (24 ) — (41 ) — — 252 (1 ) Finance and insurance 221 5 (6 ) 21 — — (26 ) — (24 ) 191 3 Consumer—non-cyclical 197 — (1 ) 15 — — (41 ) — (1 ) 169 — Technology and communications 42 — (4 ) 24 — — — — — 62 — Industrial 131 — (4 ) 7 — — (18 ) 1 (33 ) 84 — Capital goods 237 — (7 ) — — — (17 ) — — 213 — Consumer—cyclical 89 — (2 ) — — — — 15 (31 ) 71 — Transportation 154 — (2 ) — — — (8 ) — — 144 — Other 81 — 2 — — — (11 ) — — 72 — Total non-U.S. 1,804 4 (49 ) 100 (24 ) — (208 ) 16 (98 ) 1,545 2 Residential mortgage-backed 65 — (1 ) 58 — — (10 ) 76 (72 ) 116 — Commercial mortgage-backed 5 — (1 ) 9 — — (2 ) 13 (14 ) 10 — Other asset-backed 1,420 2 2 152 (190 ) — (267 ) 164 (141 ) 1,142 — Total fixed maturity securities 5,754 33 (127 ) 618 (230 ) — (680 ) 406 (594 ) 5,180 24 Equity securities 34 — — 1 (6 ) — — 9 — 38 — Other invested assets: Derivative assets: Credit default swaps 3 1 — — — — (3 ) — — 1 1 Equity index options 17 (25 ) — 38 — — — — — 30 (3 ) Other foreign currency contracts — (2 ) — 5 — — — — — 3 (1 ) Total derivative assets 20 (26 ) — 43 — — (3 ) — — 34 (3 ) Total other invested assets 20 (26 ) — 43 — — (3 ) — — 34 (3 ) Restricted other invested assets related to securitization entities (2) 230 2 — — — — — — — 232 2 Reinsurance recoverable (3) 13 1 — — — 3 — — — 17 1 Total Level 3 assets $ 6,051 $ 10 $ (127 ) $ 662 $ (236 ) $ 3 $ (683 ) $ 415 $ (594 ) $ 5,501 $ 24 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) See note 17 for additional information related to consolidated securitization entities. (3) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of January 1, Total realized and Transfer (1) Transfer (1) Ending as of December 31, Total gains to assets (Amounts in millions) Included Included Purchases Sales Issuances Settlements Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5 $ — $ — $ — $ — $ — $ (1 ) $ — $ — $ 4 $ — State and political subdivisions 27 2 (4 ) 5 — — — — — 30 2 Non-U.S. 23 — — 2 — — (2 ) — (16 ) 7 — U.S. corporate: Utilities 420 — 11 12 — — (5 ) 58 (52 ) 444 — Energy 281 — — 40 — — (4 ) 27 (59 ) 285 — Finance and insurance 433 14 23 39 (1 ) — (10 ) 155 (37 ) 616 3 Consumer—non-cyclical 224 2 2 — (38 ) — |
Variable Interest and Securitiz
Variable Interest and Securitization Entities | 12 Months Ended |
Dec. 31, 2016 | |
Variable Interest and Securitization Entities | (17) Variable Interest and Securitization Entities VIEs are generally entities that have either a total equity investment that is insufficient to permit the entity to finance its activities without additional subordinated financial support or whose equity investors lack the characteristics of a controlling financial interest. We evaluate VIEs to determine whether we are the primary beneficiary and are required to consolidate the assets and liabilities of the entity. The determination of the primary beneficiary for a VIE can be complex and requires management judgment regarding the expected results of the entity and who directs the activities of the entity that most significantly impact the economic results of the VIE. (a) Asset Securitizations We have used former affiliates and third-party entities to facilitate asset securitizations. Disclosure requirements related to off-balance The following table summarizes the total securitized assets as of December 31: (Amounts in millions) 2016 2015 Receivables secured by: Other assets $ — $ 136 Total securitized assets not required to be consolidated — 136 Total securitized assets required to be consolidated 129 267 Total securitized assets $ 129 $ 403 We do not have any additional exposure or guarantees associated with these securitization entities. There has been no new asset securitization activity in 2016 or 2015. (b) Securitization and Variable Interest Entities Required To Be Consolidated For VIEs related to asset securitization transactions, as of December 31, 2016, we consolidate a securitization entity as a result of our involvement in the entity’s design or having certain decision making ability regarding the assets held by the securitization entity. Securitization entities were designed to have significant limitations on the types of assets owned and the types and extent of permitted activities and decision making rights. The securitization entity that is consolidated comprised an entity backed by commercial mortgage loans. Our primary economic interest in this securitization entity represents the excess interest of the commercial mortgage loans and the subordinated notes of the securitization entity. For VIEs related to certain investments, we consolidate three securitization entities as a result of having certain decision making rights related to instruments held by the entities. Upon consolidation, we elected fair value option for the assets and liabilities for the securitization entity. We previously consolidated a securitization entity backed by residual interests in certain policy loan securitization entities. Our primary economic interest in the policy loan securitization entity represented the excess interest received from the residual interest in certain policy loan securitization entities and the floating rate obligation issued by the securitization entity, where our economic interest was not expected to be material in any future years. Upon consolidation, we elected fair value option for the assets and liabilities for the securitization entity. In June 2016, we amended and exercised a clean-up write-off The following table shows the assets and liabilities that were recorded for the consolidated securitization entities as of December 31: (Amounts in millions) 2016 2015 Assets Investments: Restricted commercial mortgage loans $ 129 $ 161 Restricted other invested assets: Trading securities 312 413 Total restricted other invested assets 312 413 Total investments 441 574 Cash and cash equivalents 1 1 Accrued investment income 1 1 Other assets 1 5 Total assets $ 444 $ 581 Liabilities Other liabilities: Derivative liabilities $ 1 $ 44 Other liabilities — 2 Total other liabilities 1 46 Borrowings related to securitization entities 74 179 Total liabilities $ 75 $ 225 The assets and other instruments held by the securitization entities are restricted and can only be used to fulfill the obligations of the securitization entity. Additionally, the obligations of the securitization entities do not have any recourse to the general credit of any other consolidated subsidiaries. The following table shows the activity presented in our consolidated statement of income related to the consolidated securitization entities for the years ended December 31: (Amounts in millions) 2016 2015 2014 Revenues: Net investment income: Restricted commercial mortgage loans $ 10 $ 14 $ 14 Restricted other invested assets 3 5 5 Total net investment income 13 19 19 Net investment gains (losses): Derivatives 8 3 10 Trading securities (57 ) (2 ) 15 Borrowings related to securitization entities recorded at fair value (1 ) 4 (9 ) Total net investment gains (losses) (50 ) 5 16 Other income 64 — — Total revenues 27 24 35 Expenses: Interest expense 7 9 10 Total expenses 7 9 10 Income before income taxes 20 15 25 Provision for income taxes 7 5 9 Net income $ 13 $ 10 $ 16 (c) Borrowings Related To Consolidated Securitization Entities Borrowings related to securitization entities were as follows as of December 31: 2016 2015 (Amounts in millions) Principal Carrying Principal Carrying GFCM LLC, due 2035, 5.7426% $ 62 $ 62 $ 98 $ 98 Marvel Finance 2007-4 (1), (2) 12 12 12 10 Genworth Special Purpose Five, LLC, due 2040 (1), (2) — — NA (3) 71 Total $ 74 $ 74 $ 110 $ 179 (1) Accrual of interest based on three-month LIBOR that resets every three months plus a fixed margin. (2) Carrying value represents fair value as a result of electing fair value option for these liabilities. (3) Principal amount not applicable. Notional balance was $118 million as of December 31, 2015. These borrowings are required to be paid down as principal is collected on the restricted investments held by the securitization entities and accordingly the repayment of these borrowings follows the maturity or prepayment, as permitted, of the restricted investments. |
Insurance Subsidiary Financial
Insurance Subsidiary Financial Information and Regulatory Matters | 12 Months Ended |
Dec. 31, 2016 | |
Insurance Subsidiary Financial Information and Regulatory Matters | (18) Insurance Subsidiary Financial Information and Regulatory Matters Dividends Our insurance company subsidiaries are restricted by state and foreign laws and regulations as to the amount of dividends they may pay to their parent without regulatory approval in any year, the purpose of which is to protect affected insurance policyholders or contractholders, not stockholders. Any dividends in excess of limits are deemed “extraordinary” and require approval. Based on estimated statutory results as of December 31, 2016, in accordance with applicable dividend restrictions, our subsidiaries could pay dividends of approximately $220 million to us in 2017 without obtaining regulatory approval, and the remaining net assets are considered restricted. While the $220 million is unrestricted, our insurance subsidiaries may not pay dividends to us in 2017 at this level if they need to retain capital for growth and to meet capital requirements and desired thresholds. As of December 31, 2016, Genworth Financial’s and Genworth Holdings’ subsidiaries had restricted net assets of $12.5 billion and $12.1 billion, respectively. There are no regulatory restrictions on the ability of Genworth Financial to pay dividends. Our Board of Directors has suspended the payment of dividends on our common stock indefinitely. The declaration and payment of future dividends to holders of our common stock will be at the discretion of our Board of Directors and will be dependent on many factors including the receipt of dividends from our operating subsidiaries, our financial condition and operating results, the capital requirements of our subsidiaries, legal requirements, regulatory constraints, our credit and financial strength ratings and such other factors as the Board of Directors deems relevant. Our domestic insurance subsidiaries paid dividends to our principal life insurance subsidiaries of $80 million (none of which were deemed “extraordinary”), $41 million (none of which were deemed “extraordinary”) and $108 million (none of which were deemed “extraordinary”) during 2016, 2015 and 2014, respectively. Our international insurance subsidiaries paid dividends of $457 million, $640 million and $630 million during 2016, 2015 and 2014, respectively. U.S. domiciled insurance subsidiaries—statutory financial information Our U.S. domiciled insurance subsidiaries file financial statements with state insurance regulatory authorities and the NAIC that are prepared on an accounting basis either prescribed or permitted by such authorities. Statutory accounting practices differ from U.S. GAAP in several respects, causing differences in reported net income (loss) and stockholders’ equity. Permitted statutory accounting practices encompass all accounting practices not so prescribed but that have been specifically allowed by individual state insurance authorities. Our U.S. domiciled insurance subsidiaries have no material permitted accounting practices, except for River Lake Insurance Company VI (“River Lake VI”), River Lake Insurance Company VII (“River Lake VII”), River Lake Insurance Company VIII (“River Lake VIII”), River Lake Insurance Company IX (“River Lake IX”), River Lake Insurance Company X ((“River Lake X”), together with River Lake VI, River Lake VII, River Lake VIII and River Lake IX, the “SPFCs”) and GLICNY. The permitted practices of the SPFCs were an essential element of their design and were expressly included in their plans of operation and in the licensing orders issued by their domiciliary state regulators and without those permitted practices, these entities could be subject to regulatory action. Accordingly, we believe that the permitted practices will remain in effect for so long as we maintain the SPFCs. The permitted practices were as follows: • River Lake IX and River Lake X were granted a permitted accounting practice from the State of Vermont to carry their excess of loss reinsurance agreements with The Canada Life Assurance Company and Hannover Life Reassurance Company Of America, respectively, as an admitted asset. • River Lake VII and River Lake VIII were granted a permitted accounting practice from the State of Vermont to carry their reserves on a basis similar to U.S. GAAP. • River Lake VI was granted a permitted accounting practice from the State of Delaware to carry its excess of loss reinsurance agreement with The Canada Life Assurance Company as an admitted asset. • GLICNY received a permitted practice from New York to exempt certain of its investments from a NAIC structured security valuation and ratings process. The impact of these permitted practices on our combined U.S. domiciled life insurance subsidiaries’ statutory capital and surplus was $7 million and $120 million as of December 31, 2016 and 2015, respectively. If permitted practices had not been used, no regulatory event would have been triggered. In February 2016, as part of restructuring our U.S. life insurance businesses, we announced an initiative to repatriate existing reinsured business from BLAIC, our primary Bermuda domiciled captive reinsurance subsidiary, to our U.S. life insurance subsidiaries in 2016. On October 1, 2016, the repatriation was completed through the merger of BLAIC with and into GLIC, our Delaware domiciled life insurance company, with GLIC being the surviving company. The tables below include the combined statutory net income (loss) and statutory capital and surplus for our U.S. domiciled insurance subsidiaries for the periods indicated: Years ended December 31, (Amounts in millions) 2016 2015 2014 Combined statutory net income (loss): Life insurance subsidiaries, excluding captive life reinsurance subsidiaries (1) $ (365 ) $ (583 ) $ (179 ) Mortgage insurance subsidiaries 448 287 198 Combined statutory net income (loss), excluding captive reinsurance subsidiaries 83 (296 ) 19 Captive life insurance subsidiaries (403 ) (276 ) (281 ) Combined statutory net income (loss) $ (320 ) $ (572 ) $ (262 ) (1) The combined statutory net loss for the year ended December 31, 2015 was re-presented as if the merger of BLAIC with and into GLIC discussed above occurred on January 1, 2015 in accordance with the statutory merger method. However, we did not re-present the combined statutory net loss for the year ended December 31, 2014 in accordance with statutory accounting principles and, therefore, the amounts are not comparable. As of December 31, (Amounts in millions) 2016 2015 Combined statutory capital and surplus: Life insurance subsidiaries, excluding captive life reinsurance subsidiaries (1) $ 3,100 $ 3,238 Mortgage insurance subsidiaries 2,201 1,722 Combined statutory capital and surplus $ 5,301 $ 4,960 (1) The combined statutory capital and surplus as of December 31, 2015 was re-presented as if the merger of BLAIC with and into GLIC discussed above occurred on January 1, 2015 in accordance with the statutory merger method. The statutory net income (loss) from our captive life reinsurance subsidiaries relates to the reinsurance of term and universal life insurance statutory reserves assumed from our U.S. domiciled life insurance companies. These reserves are, in turn, funded through the issuance of surplus notes (non-recourse (non-recourse The NAIC has adopted RBC requirements to evaluate the adequacy of statutory capital and surplus in relation to risks associated with: (i) asset risk; (ii) insurance risk; (iii) interest rate and equity market risk; and (iv) business risk. The RBC formula is designated as an early warning tool for the states to identify possible undercapitalized companies for the purpose of initiating regulatory action. In the course of operations, we periodically monitor the RBC level of each of our life insurance subsidiaries. As of December 31, 2016 and 2015, each of our life insurance subsidiaries exceeded the minimum required RBC levels. The consolidated RBC ratio of our U.S. domiciled life insurance subsidiaries was approximately 329% as of December 31, 2016 and 372% as of December 31, 2015 as re-presented for the merger of BLAIC with and into GLIC. As of December 31, 2016 and 2015, we established $76 million and $198 million, respectively, of additional statutory reserves resulting from updates to our universal life insurance products with secondary guarantees in our Virginia and Delaware licensed life insurance subsidiaries. In addition, our Virginia licensed life insurance subsidiary currently expects to record approximately $95 million of additional statutory reserves in each of the next two years. In addition, as a result of our annual statutory cash flow testing of our long-term care insurance business, our New York insurance subsidiary recorded $89 million of additional statutory reserves in the fourth quarter of 2015. Our cash flow testing results in the fourth quarter of 2016 did not require any additional statutory reserves; however, we currently expect to record an aggregate of approximately $110 million of additional statutory reserves over the next two years. For regulatory purposes, our U.S. mortgage insurers are required to establish a special statutory contingency reserve. Annual additions to the statutory contingency reserve must equal 50% of net earned premiums, as defined by state insurance laws. These contingency reserves generally are held until the earlier of (i) the time that loss ratios exceed 35% or (ii) 10 years. However, approval by the North Carolina Department of Insurance (“NCDOI”) is required for contingency reserve releases when loss ratios exceed 35%. The statutory contingency reserve for our U.S. mortgage insurers was approximately $845 million and $500 million, respectively, as of December 31, 2016 and 2015 and was included in the table above containing combined statutory capital and surplus balances. Mortgage insurers are not subject to the NAIC’s RBC requirements but certain states and other regulators impose another form of capital requirement on mortgage insurers requiring maintenance of a risk-to-capital risk-to-capital risk-to-capital risk-to-capital Effective December 31, 2015, each government-sponsored enterprise (“GSE”) adopted revised private mortgage insurer eligibility requirements (“PMIERs”) which set forth operational and financial requirements that mortgage insurers must meet in order to remain eligible. Each approved mortgage insurer is required to provide the GSEs with an annual certification and a quarterly report as to its compliance with PMIERs. We have met all PMIERs reporting requirements as required by the GSEs. As of December 31, 2016 and 2015, we estimate our U.S. mortgage insurance business had available assets of approximately 115% and 109%, respectively, of the required assets under PMIERs. As of December 31, 2016 and 2015, the PMIERs sufficiency ratios were in excess of approximately $350 million, and $200 million, respectively, of available assets above the PMIERs requirements. Effective July 1, 2016, our U.S. mortgage insurance business executed two excess of loss reinsurance transactions with a panel of reinsurers covering current and expected new insurance written for the 2016 and 2017 book years. The reinsurance transaction covering our 2016 book year and the three reinsurance transactions executed during 2015, covering our 2009 through 2015 book years, provided an aggregate of approximately $530 million of PMIERs capital credit as of December 31, 2016. International insurance subsidiaries—statutory financial information Our international insurance subsidiaries also prepare financial statements in accordance with local regulatory requirements. Our international insurance subsidiaries previously included the results of BLAIC, our primary Bermuda domiciled captive reinsurance subsidiary. As discussed above, on October 1, 2016, BLAIC merged with and into GLIC, our Delaware domiciled life insurance company, with GLIC being the surviving company. The 2015 amounts below have been re-presented as if the merger of BLAIC with and into GLIC occurred on January 1, 2015. As of December 31, 2016 and 2015, combined local statutory capital and surplus included in continuing operations for our international insurance subsidiaries, excluding our lifestyle protection insurance and European mortgage insurance businesses, was $4,457 million and $4,394 million, respectively. Combined local statutory net income (loss) included in continuing operations for our international insurance subsidiaries, excluding our lifestyle protection insurance business, was $536 million, $511 million and $(66) million for the years ended December 31, 2016, 2015 and 2014, respectively. The regulatory authorities in these international jurisdictions generally establish supervisory solvency requirements. Our international insurance subsidiaries, excluding our lifestyle protection insurance and European mortgage insurance businesses, had combined surplus levels included in continuing operations that exceeded local solvency requirements by $576 million and $992 million as of December 31, 2016 and 2015, respectively. Our international insurance subsidiaries do not have any material accounting practices that differ from local regulatory requirements other than one of our former insurance subsidiaries domiciled in Bermuda, which was granted approval from the Bermuda Monetary Authority to record a parental guarantee as statutory capital related to an internal reinsurance agreement. The amount recorded as statutory capital was equal to the excess of NAIC statutory reserves less the economic reserves up to the amount of the guarantee resulting in an increase in statutory capital of $205 million as of December 31, 2015. As a result of the merger of BLAIC with and into GLIC on October 1, 2016, all parental support provided to BLAIC, including the capital maintenance agreement that previously existed between Genworth Financial International Holdings, LLC and BLAIC, was terminated. Certain of our insurance subsidiaries have securities on deposit with various state or foreign government insurance departments in order to comply with relevant insurance regulations. See note 4(d) for additional information related to these deposits. Additionally, under the terms of certain reinsurance agreements that our life insurance subsidiaries have with external parties, we pledged assets in either separate portfolios or in trust for the benefit of external reinsurers. These assets support the reserves ceded to those external reinsurers. See note 8 for additional information related to these pledged assets under reinsurance agreements. Certain of our U.S. life insurance subsidiaries are also members of regional FHLBs and the FHLBs have been granted a lien on certain of our invested assets to collateralize our obligations. See note 9 for additional information related to these pledged assets with the FHLBs. Guarantees of obligations In addition to the guarantees discussed in notes 17 and 21, we have provided guarantees to third parties for the performance of certain obligations of our subsidiaries. We estimate that our potential obligations under such guarantees, other than the Rivermont I guarantee, were $9 million and $25 million as of December 31, 2016 and 2015, respectively. We provide a limited guarantee to Rivermont I, an indirect subsidiary, which is accounted for as a derivative carried at fair value and is eliminated in consolidation. As of December 31, 2016 the fair value of this derivative was less than $1 million and as of December 31, 2015, the fair value of this derivative was $4 million. Genworth Holdings provided an unlimited guarantee for the benefit of policyholders for the payment of valid claims by our European mortgage insurance subsidiary prior to its sale in May 2016. Following the sale of this U.K. subsidiary to AmTrust Financial Services, Inc., the guarantee is now limited to the payment of valid claims on policies in-force in-force |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Information | (19) Segment Information (a) Operating Segment Information We have the following five operating business segments: U.S. Mortgage Insurance; Canada Mortgage Insurance; Australia Mortgage Insurance; U.S Life Insurance (which includes our long-term care insurance, life insurance and fixed annuities businesses); and Runoff (which includes the results of non-strategic We allocate our consolidated provision for income taxes to our operating segments. Our allocation methodology applies a specific tax rate to the pre-tax We use the same accounting policies and procedures to measure segment income (loss) and assets as our consolidated net loss and assets. Our chief operating decision maker evaluates segment performance and allocates resources on the basis of “adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders.” We define adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders as loss from continuing operations excluding the after-tax non-operating non-recourse non-operating non-operating While some of these items may be significant components of net loss available to Genworth Financial, Inc.’s common stockholders in accordance with U.S. GAAP, we believe that adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders, and measures that are derived from or incorporate adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders, are appropriate measures that are useful to investors because they identify the income (loss) attributable to the ongoing operations of the business. Management also uses adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders as a basis for determining awards and compensation for senior management and to evaluate performance on a basis comparable to that used by analysts. However, the items excluded from adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders have occurred in the past and could, and in some cases will, recur in the future. Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders is not a substitute for net loss available to Genworth Financial, Inc.’s common stockholders determined in accordance with U.S. GAAP. In addition, our definition of adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders may differ from the definitions used by other companies. Adjustments to reconcile net loss attributable to Genworth Financial, Inc.’s common stockholders and adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders assume a 35% tax rate (unless otherwise indicated) and are net of the portion attributable to noncontrolling interests. Net investment gains (losses) are also adjusted for DAC and other intangible amortization and certain benefit reserves. In 2014, we recorded pre-tax In the second quarter of 2016, we completed the sale of our term life insurance new business platform and recorded a pre-tax pre-tax pre-tax pre-tax In the second quarter of 2016, we settled restricted borrowings of $70 million related to a securitization entity and recorded a $64 million pre-tax pre-tax pre-tax pre-tax In the first quarter of 2016, we completed a life block transaction resulting in a pre-tax non-recourse pre-tax In 2016 and 2015, we recorded a pre-tax There were no infrequent or unusual items excluded from adjusted operating income (loss) during the periods presented other than the following items. We incurred fees during the first quarter of 2016 related to Genworth Holdings’ bond consent solicitation of $18 million for broker, advisor and investment banking fees. There was $205 million net tax impact in the fourth quarter of 2014 from potential business portfolio changes. We recognized a tax charge of $174 million in the fourth quarter of 2014 associated with our Australian mortgage insurance business as we could no longer assert our intent to permanently reinvest earnings in that business. In addition, in connection with our plans to sell our lifestyle protection insurance business, we made a change to the permanent reinvestment assertion of one of its legal entities recognizing tax expense of $31 million in the fourth quarter of 2014. The following is a summary of our segments and Corporate and Other activities as of or for the years ended December 31: 2016 U.S. Canada Australia U.S. Life Runoff Corporate Total (Amounts in millions) Premiums $ 660 $ 481 $ 337 $ 2,670 $ — $ 12 $ 4,160 Net investment income 63 126 94 2,726 147 3 3,159 Net investment gains (losses) (1 ) 37 9 128 (14 ) (87 ) 72 Policy fees and other income 4 1 — 726 169 78 978 Total revenues 726 645 440 6,250 302 6 8,369 Benefits and other changes in policy reserves 160 104 113 4,822 42 4 5,245 Interest credited — — — 565 131 — 696 Acquisition and operating expenses, net of deferrals 167 77 96 648 68 217 1,273 Amortization of deferred acquisition costs and intangibles 12 39 14 403 29 1 498 Interest expense — 18 10 38 1 270 337 Total benefits and expenses 339 238 233 6,476 271 492 8,049 Income (loss) from continuing operations before income taxes 387 407 207 (226 ) 31 (486 ) 320 Provision (benefit) for income taxes 138 113 67 (80 ) 6 114 358 Income (loss) from continuing operations 249 294 140 (146 ) 25 (600 ) (38 ) Loss from discontinued operations, net of taxes — — — — — (29 ) (29 ) Net income (loss) 249 294 140 (146 ) 25 (629 ) (67 ) Less: net income attributable to noncontrolling interests — 135 75 — — — 210 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 249 $ 159 $ 65 $ (146 ) $ 25 $ (629 ) $ (277 ) Segment assets $ 2,674 $ 4,884 $ 2,619 $ 81,933 $ 11,352 $ 1,196 $ 104,658 Assets held for sale — — — — — — — Total assets $ 2,674 $ 4,884 $ 2,619 $ 81,933 $ 11,352 $ 1,196 $ 104,658 2015 U.S. Canada Australia U.S. Life Runoff Corporate Total (Amounts in millions) Premiums $ 602 $ 466 $ 357 $ 3,128 $ 1 $ 25 $ 4,579 Net investment income 58 130 114 2,701 138 (3 ) 3,138 Net investment gains (losses) 1 (32 ) 6 (10 ) (69 ) 29 (75 ) Policy fees and other income 4 — (3 ) 726 189 (10 ) 906 Total revenues 665 564 474 6,545 259 41 8,548 Benefits and other changes in policy reserves 222 96 81 4,692 44 14 5,149 Interest credited — — — 596 124 — 720 Acquisition and operating expenses, net of deferrals 155 66 98 684 76 230 1,309 Amortization of deferred acquisition costs and intangibles 10 36 18 872 29 1 966 Interest expense — 18 10 92 1 298 419 Total benefits and expenses 387 216 207 6,936 274 543 8,563 Income (loss) from continuing operations before income taxes 278 348 267 (391 ) (15 ) (502 ) (15 ) Provision (benefit) for income taxes 99 90 80 (138 ) (10 ) (130 ) (9 ) Income (loss) from continuing operations 179 258 187 (253 ) (5 ) (372 ) (6 ) Loss from discontinued operations, net of taxes — — — — — (407 ) (407 ) Net income (loss) 179 258 187 (253 ) (5 ) (779 ) (413 ) Less: net income attributable to noncontrolling interests — 118 84 — — — 202 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 179 $ 140 $ 103 $ (253 ) $ (5 ) $ (779 ) $ (615 ) Segment assets $ 2,899 $ 4,520 $ 2,987 $ 79,530 $ 12,115 $ 4,253 $ 106,304 Assets held for sale — — — — — 127 127 Total assets $ 2,899 $ 4,520 $ 2,987 $ 79,530 $ 12,115 $ 4,380 $ 106,431 2014 U.S. Canada Australia U.S. Life Runoff Corporate Total (Amounts in millions) Premiums $ 578 $ 515 $ 406 $ 3,169 $ 3 $ 29 $ 4,700 Net investment income 59 155 144 2,665 129 (10 ) 3,142 Net investment gains (losses) — (2 ) 3 41 (66 ) 2 (22 ) Policy fees and other income 2 1 (16 ) 712 209 1 909 Total revenues 639 669 537 6,587 275 22 8,729 Benefits and other changes in policy reserves 357 102 78 5,820 37 24 6,418 Interest credited — — — 618 119 — 737 Acquisition and operating expenses, net of deferrals 140 90 97 658 84 69 1,138 Amortization of deferred acquisition costs and intangibles 7 38 21 345 39 3 453 Goodwill impairment — — — 849 — — 849 Interest expense — 21 10 87 1 314 433 Total benefits and expenses 504 251 206 8,377 280 410 10,028 Income (loss) from continuing operations before income taxes 135 418 331 (1,790 ) (5 ) (388 ) (1,299 ) Provision (benefit) for income taxes 44 111 248 (385 ) (19 ) (93 ) (94 ) Income (loss) from continuing operations 91 307 83 (1,405 ) 14 (295 ) (1,205 ) Income from discontinued operations, net of taxes — — — — — 157 157 Net income (loss) 91 307 83 (1,405 ) 14 (138 ) (1,048 ) Less: net income attributable to noncontrolling interests — 140 56 — — — 196 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 91 $ 167 $ 27 $ (1,405 ) $ 14 $ (138 ) $ (1,244 ) (b) Revenues of Major Product Groups The following is a summary of revenues of major product groups for our segments and Corporate and Other activities for the years ended December 31: (Amounts in millions) 2016 2015 2014 Revenues: U.S. Mortgage Insurance segment $ 726 $ 665 $ 639 Canada Mortgage Insurance segment 645 564 669 Australia Mortgage Insurance segment 440 474 537 U.S. Life Insurance segment: Long-term 4,037 3,752 3,523 Life insurance 1,381 1,902 1,981 Fixed annuities 832 891 1,083 U.S. Life Insurance segment 6,250 6,545 6,587 Runoff segment 302 259 275 Corporate and Other activities 6 41 22 Total revenues $ 8,369 $ 8,548 $ 8,729 (c) Reconciliations The following tables present the reconciliation of net loss available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders for our segments and Corporate and Other activities and a summary of adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders for our segments and Corporate and Other activities for the years ended December 31: (Amounts in millions) 2016 2015 2014 Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) Add: net income attributable to noncontrolling interests 210 202 196 Net loss (67 ) (413 ) (1,048 ) Income (loss) from discontinued operations, net of taxes (29 ) (407 ) 157 Loss from continuing operations (38 ) (6 ) (1,205 ) Less: income from continuing operations attributable to noncontrolling interests 210 202 196 Loss from continuing operations available to Genworth Financial, Inc.’s common stockholders (248 ) (208 ) (1,401 ) Adjustments to loss from continuing operations available to Genworth Financial, Inc.’s common stockholders: Net investment (gains) losses, net (1) (66 ) 30 8 Goodwill impairment — — 849 (Gains) losses from sale of businesses (3 ) 140 — (Gains) losses on early extinguishment of debt, net (2) (48 ) 2 4 Losses from life block transactions 9 455 — Expenses related to restructuring 22 8 — Tax impact from potential business portfolio changes — — 205 Fees associated with bond consent solicitation 18 — — Taxes on adjustments — (172 ) (63 ) Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (316 ) $ 255 $ (398 ) (1) For the years ended December 31, 2016, 2015 and 2014, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(14) million, $(35) million and $(14) million, respectively, and adjusted for net investment (gains) losses attributable to noncontrolling interests of $20 million, $(10) million and zero, respectively. (2) For the years ended December 31, 2015 and 2014, (gains) losses on the early extinguishment of debt were adjusted for the portion attributable to noncontrolling interests of $1 million and $2 million, respectively. (Amounts in millions) 2016 2015 2014 Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders: U.S. Mortgage Insurance segment $ 250 $ 179 $ 91 Canada Mortgage Insurance segment 146 152 170 Australia Mortgage Insurance segment 62 102 200 U.S. Life Insurance segment: Long-term care insurance (200 ) 29 (815 ) Life insurance (83 ) (80 ) 74 Fixed annuities 68 94 100 U.S. Life Insurance segment (215 ) 43 (641 ) Runoff segment 28 27 48 Corporate and Other activities (587 ) (248 ) (266 ) Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (316 ) $ 255 $ (398 ) (d) Geographic Segment Information We conduct our operations in the following geographic regions: (1) United States (2) Canada (3) Australia and (4) Other Countries. The following is a summary of geographic region activity as of or for the years ended December 31: 2016 (Amounts in millions) United Canada Australia Other Total Total Total revenues $ 7,270 $ 645 $ 440 $ 14 $ 1,099 $ 8,369 Income (loss) from continuing operations $ (447 ) $ 294 $ 140 $ (25 ) $ 409 $ (38 ) Net income (loss) $ (494 ) $ 294 $ 140 $ (7 ) $ 427 $ (67 ) Segment assets $ 97,107 $ 4,884 $ 2,619 $ 48 $ 7,551 $ 104,658 Assets held for sale $ — $ — $ — $ — $ — $ — Total assets $ 97,107 $ 4,884 $ 2,619 $ 48 $ 7,551 $ 104,658 2015 (Amounts in millions) United Canada Australia Other Total Total Total revenues $ 7,483 $ 564 $ 474 $ 27 $ 1,065 $ 8,548 Income (loss) from continuing operations $ (430 ) $ 258 $ 187 $ (21 ) $ 424 $ (6 ) Net income (loss) $ (430 ) $ 258 $ 187 $ (428 ) $ 17 $ (413 ) Segment assets $ 98,738 $ 4,520 $ 2,987 $ 59 $ 7,566 $ 106,304 Assets held for sale $ — $ — $ — $ 127 $ 127 $ 127 Total assets $ 98,738 $ 4,520 $ 2,987 $ 186 $ 7,693 $ 106,431 2014 (Amounts in millions) United Canada Australia Other Total Total Total revenues $ 7,487 $ 669 $ 537 $ 36 $ 1,242 $ 8,729 Income (loss) from continuing operations $ (1,570 ) $ 307 $ 83 $ (25 ) $ 365 $ (1,205 ) Net income (loss) $ (1,570 ) $ 307 $ 83 $ 132 $ 522 $ (1,048 ) |
Quarterly Results of Operations
Quarterly Results of Operations (unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Results of Operations (unaudited) | Our unaudited quarterly results of operations for the year ended December 31, 2016 are summarized in the table below. Three months ended (Amounts in millions, except per share amounts) March 31, June 30, September 30, December 31, Total revenues (1) $ 1,785 $ 2,236 $ 2,150 $ 2,198 Total benefits and expenses (2) $ 1,635 $ 1,885 $ 2,275 $ 2,254 Income (loss) from continuing operations (3) $ 127 $ 241 $ (347 ) $ (59 ) Income (loss) from discontinued operations, net of taxes $ (19 ) $ (21 ) $ 15 $ (4 ) Net income (loss) (3) $ 108 $ 220 $ (332 ) $ (63 ) Net income attributable to noncontrolling interests $ 55 $ 48 $ 48 $ 59 Net income (loss) available to Genworth Financial, Inc.’s common stockholders (3) $ 53 $ 172 $ (380 ) $ (122 ) Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.14 $ 0.39 $ (0.79 ) $ (0.24 ) Diluted $ 0.14 $ 0.39 $ (0.79 ) $ (0.24 ) Net income (loss) available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.11 $ 0.35 $ (0.76 ) $ (0.25 ) Diluted $ 0.11 $ 0.34 $ (0.76 ) $ (0.25 ) Weighted-average common shares outstanding: Basic 498.0 498.5 498.3 498.4 Diluted (4) 499.4 500.4 498.3 498.4 (1) We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. (2) We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. (3) We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. (4) Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2016 and December 31, 2016, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2016 and December 31, 2016, as the inclusion of shares for stock options, RSUs and SARs of 2.2 million and 2.5 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2016 and December 31, 2016, dilutive potential weighted-average common shares outstanding would have been 500.5 million and 500.9 million, respectively. Our unaudited quarterly results of operations for the year ended December 31, 2015 are summarized in the table below. Three months ended (Amounts in millions, except per share amounts) March 31, June 30, September 30, December 31, Total revenues (1) $ 2,135 $ 2,157 $ 2,100 $ 2,156 Total benefits and expenses (2) $ 1,841 $ 1,912 $ 2,451 $ 2,359 Income (loss) from continuing operations (3) $ 203 $ 175 $ (217 ) $ (167 ) Income from discontinued operations, net of taxes (4) $ 1 $ (314 ) $ (21 ) $ (73 ) Net income (loss) (3), (4) $ 204 $ (139 ) $ (238 ) $ (240 ) Net income attributable to noncontrolling interests $ 50 $ 54 $ 46 $ 52 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 154 $ (193 ) $ (284 ) $ (292 ) Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.31 $ 0.24 $ (0.53 ) $ (0.44 ) Diluted $ 0.31 $ 0.24 $ (0.53 ) $ (0.44 ) Net income (loss) available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.31 $ (0.39 ) $ (0.57 ) $ (0.59 ) Diluted $ 0.31 $ (0.39 ) $ (0.57 ) $ (0.59 ) Weighted-average common shares outstanding: Basic 497.0 497.4 497.4 497.6 Diluted (5) 498.9 499.3 497.4 497.6 (1) We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. (2) We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. (3) We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. (4) We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. (5) Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2015 and December 31, 2015, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2015 and December 31, 2015, as the inclusion of shares for stock options, RSUs and SARs of 1.3 million and 1.4 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2015 and December 31, 2015, dilutive potential weighted-average common shares outstanding would have been 498.7 million and 499.0 million, respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies | (21) Commitments and Contingencies (a) Litigation and Regulatory Matters We face the risk of litigation and regulatory investigations and actions in the ordinary course of operating our businesses, including the risk of class action lawsuits. Our pending legal and regulatory actions include proceedings specific to us and others generally applicable to business practices in the industries in which we operate. In our insurance operations, we are, have been, or may become subject to class actions and individual suits alleging, among other things, issues relating to sales or underwriting practices, increases to in-force In a complaint filed in July 2016, Genworth Financial, Inc., GLAIC, GLICNY and GLIC were named in a putative class action lawsuit captioned Estate of Helen F. Walsh, Deceased v. Genworth Financial, Inc., et al pre-judgment In August 2014, Genworth Financial, Inc., its current chief executive officer and its then current chief financial officer were named in a putative class action lawsuit captioned Manuel Esguerra v. Genworth Financial, Inc. et al City of Pontiac General Employees’ Retirement System v. Genworth Financial, Inc. et al. Esguerra City of Pontiac Esguerra City of Pontiac City of Pontiac In re Genworth Financial, Inc. Securities Litigation. pre-tax pre-tax, pre-tax City of Hialeah Employees’ Retirement System v. Genworth Financial, Inc. et al. In April 2014, Genworth Financial, Inc., its former chief executive officer and its then current chief financial officer were named in a putative class action lawsuit captioned City of Hialeah Employees’ Retirement System v. Genworth Financial, Inc. et al. In re Genworth Financial, Inc. Securities Litigation. In January 2016, Genworth Financial, Inc., its current chief executive officer, its former chief executive officer, its former chief financial officer and current and former members of its board of directors were named in a shareholder derivative suit filed by International Union of Operating Engineers Local No. 478 Pension Fund, Richard L. Salberg and David Pinkoski in the Court of Chancery of the State of Delaware. The case was captioned Int’l Union of Operating Engineers Local No. 478 Pension Fund, et al v. McInerney, et al. Cohen v. McInerney, et al Genworth Financial, Inc. Consolidated Derivative Litigation In October 2016, Genworth Financial, Inc., its current chief executive officer, its former chief executive officer, its current chief financial officer, its former chief financial officer and current and former members of its board of directors were named in a shareholder derivative suit filed by Esther Chopp in the Court of Chancery of the State of Delaware. The case is captioned Chopp v. McInerney, et al. In November 2016, Genworth Financial, Inc., its chief executive officer and members of its current board of directors were named in two putative class action lawsuits captioned Faverman v. Genworth Financial, Inc., et al Ratliff v. Genworth Financial, Inc., et al, Faverman Ratliff In December 2016, Genworth Financial, Inc., its current chief executive officer, its former chief executive officer, two former chief financial officers, and two of its insurance subsidiaries were named as defendants in a putative class action lawsuit captioned Leifer, et al v. Genworth Financial, Inc., et al pre-judgment In January 2017, two putative stockholder class action lawsuits, captioned Rice v. Genworth Financial Incorporated et al Ja mes v. Genworth Financial, Inc. et al , Rosenfeld Family Trust v. Genworth Financial, Inc . et al , Chopp v. Genworth Financial, Inc et al , Ratliff v. Genworth Financial, Inc et al , Rice Rice Rosenfeld Family Trust Rosenfeld Family Trust Chopp Rice, James Ratliff Rosenfeld Family Trust Rosenfeld Family Trust Chopp At this time, other than as noted above, we cannot determine or predict the ultimate outcome of any of the pending legal and regulatory matters specifically identified above or the likelihood of potential future legal and regulatory matters against us. Except as disclosed above, we also are not able to provide an estimate or range of reasonably possible losses related to these matters. Therefore, we cannot ensure that the current investigations and proceedings will not have a material adverse effect on our business, financial condition or results of operations. In addition, it is possible that related investigations and proceedings may be commenced in the future, and we could become subject to additional unrelated investigations and lawsuits. Increased regulatory scrutiny and any resulting investigations or proceedings could result in new legal precedents and industry-wide regulations or practices that could adversely affect our business, financial condition and results of operations. (b) Commitments As of December 31, 2016, we were committed to fund $201 million in limited partnership investments, $39 million in U.S. commercial mortgage loan investments and $34 million in private placement investments. In connection with the issuance of non-recourse one-time |
Changes In Accumulated Other Co
Changes In Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2016 | |
Changes In Accumulated Other Comprehensive Income (Loss) | (22) Changes In Accumulated Other Comprehensive Income (Loss) The following tables show the changes in accumulated other comprehensive income (loss), net of taxes, by component as of and for the periods indicated: (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2016 $ 1,254 $ 2,045 $ (289 ) $ 3,010 OCI before reclassifications 54 120 54 228 Amounts reclassified from (to) OCI (57 ) (80 ) — (137 ) Current period OCI (3 ) 40 54 91 Balances as of December 31, 2016 before noncontrolling interests 1,251 2,085 (235 ) 3,101 Less: change in OCI attributable to noncontrolling interests (11 ) — 18 7 Balances as of December 31, 2016 $ 1,262 $ 2,085 $ (253 ) $ 3,094 (1) Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2015 $ 2,453 $ 2,070 $ (77 ) $ 4,446 OCI before reclassifications (1,218 ) 50 (530 ) (1,698 ) Amounts reclassified from (to) OCI 5 (75 ) — (70 ) Current period OCI (1,213 ) (25 ) (530 ) (1,768 ) Balances as of December 31, 2015 before noncontrolling interests 1,240 2,045 (607 ) 2,678 Less: change in OCI attributable to noncontrolling interests (14 ) — (318 ) (332 ) Balances as of December 31, 2015 $ 1,254 $ 2,045 $ (289 ) $ 3,010 (1) Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2014 $ 926 $ 1,319 $ 297 $ 2,542 OCI before reclassifications 1,595 788 (537 ) 1,846 Amounts reclassified from (to) OCI (12 ) (37 ) — (49 ) Current period OCI 1,583 751 (537 ) 1,797 Balances as of December 31, 2014 before noncontrolling interests 2,509 2,070 (240 ) 4,339 Less: change in OCI attributable to noncontrolling interests 56 — (163 ) (107 ) Balances as of December 31, 2014 $ 2,453 $ 2,070 $ (77 ) $ 4,446 (1) Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. The foreign currency translation and other adjustments balance in the charts above included $(11) million, $(5) million and $(37) million, respectively, net of taxes of $5 million, $3 million and $14 million, respectively, related to a net unrecognized postretirement benefit obligation as of December 31, 2016, 2015 and 2014. The balance also included taxes of $19 million, $63 million and $10 million, respectively, related to foreign currency translation adjustments as of December 31, 2016, 2015 and 2014. The following table shows reclassifications out of accumulated other comprehensive income (loss), net of taxes, for the periods presented: Amount reclassified from accumulated Affected line item in of income Years ended December 31, (Amounts in millions) 2016 2015 2014 Net unrealized investment (gains) losses: Unrealized (gains) losses on investments (1) $ (88 ) $ 7 $ (19 ) Net investment (gains) losses (Provision) benefit for income taxes 31 (2 ) 7 (Provision) benefit for income taxes Total $ (57 ) $ 5 $ (12 ) Derivatives qualifying as hedges: Interest rate swaps hedging assets $ (112 ) $ (85 ) $ (63 ) Net investment income Interest rate swaps hedging assets (2 ) — (2 ) Net investment (gains) losses Interest rate swaps hedging liabilities — — (1 ) Interest expense Inflation indexed swaps (2 ) — 9 Net investment income Inflation indexed swaps (7 ) — — Net investment (gains) losses Forward bond purchase commitments — (1 ) — Net investment income Forward bond purchase commitments — (32 ) — Net investment (gains) losses (Provision) benefit for income taxes 43 43 20 (Provision) benefit for income taxes Total $ (80 ) $ (75 ) $ (37 ) (1) Amounts exclude adjustments to DAC, PVFP, sales inducements and benefit reserves. |
Noncontrolling Interests
Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2016 | |
Noncontrolling Interests | (23) Noncontrolling Interests Canada In July 2009, Genworth Canada, our indirect subsidiary, completed an IPO of its common shares and we beneficially owned 57.5% of the common shares of Genworth Canada through subsidiaries. We currently hold approximately 57.2% of the outstanding common shares of Genworth Canada on a consolidated basis through subsidiaries. In addition, we have the right, exercisable at our discretion, to purchase for cash these common shares of Genworth Canada from our U.S. mortgage insurance companies at the then-current market price. We also have a right of first refusal with respect to the transfer of these common shares of Genworth Canada by our U.S. mortgage insurance companies. In April 2016, Genworth Canada announced acceptance by the Toronto Stock Exchange of its Notice of Intention to Make a Normal Course Issuer Bid (“NCIB”). Pursuant to the NCIB, Genworth Canada may, if considered advisable, purchase from time to time through May 4, 2017, up to an aggregate of approximately 4.6 million of its issued and outstanding common shares. If Genworth Canada decides to repurchase shares through the NCIB, we intend to participate in the NCIB in order to maintain our overall ownership at its current level. During 2015, Genworth Canada repurchased 1.4 million of its shares for CAD$50 million through a NCIB authorized by its board for up to 4.7 million shares. We participated in the NCIB in order to maintain our overall ownership percentage and received $23 million in cash. During 2014, Genworth Canada repurchased 1.9 million shares for CAD$75 million through a NCIB authorized by its board for up to 4.7 million shares. We participated in the NCIB in order to maintain our overall ownership percentage at its then current level and received $38 million in cash. In 2016, 2015 and 2014, dividends of $50 million, $49 million and $69 million, respectively, were paid to the noncontrolling interests of Genworth Canada. Australia On May 15, 2014, Genworth Australia, a holding company for Genworth’s Australian mortgage insurance business, priced an IPO of 220,000,000 of its ordinary shares at an IPO price of AUD$2.65 per ordinary share. The offering closed on May 21, 2014. Following completion of the offering, Genworth Financial beneficially owned 66.2% of the ordinary shares of Genworth Australia through subsidiaries. The net proceeds of the offering were used by Genworth Australia to repay a portion of certain intercompany funding arrangements with our subsidiaries and those funds were then distributed to Genworth Holdings. The gross proceeds of the offering (before payment of fees and expenses) were approximately $541 million. Fees and expenses in connection with the offering were approximately $27 million, including approximately $3 million paid in 2013. On May 11, 2015, we sold 92,300,000 of our shares in Genworth Australia at AUD$3.08 per ordinary share. The offering closed on May 15, 2015. Following completion of the offering, Genworth Financial beneficially owns 52.0% of the ordinary shares of Genworth Australia through subsidiaries. The majority of the net proceeds of the offering were distributed to Genworth Holdings. The net proceeds of the offering were approximately $226 million. On October 30, 2015, Genworth Australia announced its intention to commence an on-market buy-back on-market buy-back On June 1, 2016, Genworth Australia completed a capital management initiative of AUD$202 million representing a return of capital of AUD$0.34 per share. As a result of the return of capital every one share was converted into 0.8555 shares. We received $76 million for our portion of the capital reduction and our ownership percentage remained at 52.0%. Consistent with applicable accounting guidance, changes in noncontrolling interests that do not result in a change of control are accounted for as equity transactions. When there are changes in noncontrolling interests of a subsidiary that do not result in a change of control, any difference between carrying value and fair value related to the change in ownership is recorded as an adjustment to stockholders’ equity. A summary of the changes in ownership interests and the effect on stockholders’ equity as a result of the IPO of Genworth Australia was as follows for the years ended December 31: (Amounts in millions) 2015 2014 Net loss available to Genworth Financial, Inc.’s common stockholders $ (615 ) $ (1,244 ) Transfers to the noncontrolling interests: Decrease in Genworth Financial, Inc.’s additional paid-in — (145 ) Decrease in Genworth Financial, Inc.’s additional paid-in (65 ) — Net transfers to noncontrolling interests (65 ) (145 ) Change from net loss available to Genworth Financial, Inc.’s common stockholders and transfers to noncontrolling interests $ (680 ) $ (1,389 ) In 2016, 2015 and 2014, dividends of $88 million, $108 million and $6 million, respectively, were paid to the noncontrolling interests of Genworth Australia. |
Sale of Businesses
Sale of Businesses | 12 Months Ended |
Dec. 31, 2016 | |
Sale of Businesses | (24) Sale of Businesses European mortgage insurance business On May 9, 2016, we completed the sale of our European mortgage insurance business to AmTrust Financial Services, Inc. and received net proceeds of approximately $50 million. As the held-for-sale after-tax held-for-sale, pre-tax after-tax The major assets and liability categories of our European mortgage insurance business were as follows as of December 31: (Amounts in millions) 2016 2015 Assets Investments: Fixed maturity securities available-for-sale, $ — $ 195 Other invested assets — 6 Total investments — 201 Cash and cash equivalents — 28 Accrued investment income — 3 Reinsurance recoverable — 21 Other assets — 14 Assets held for sale — 267 Fair value less closing costs impairment — (140 ) Total assets held for sale $ — $ 127 Liabilities Liability for policy and contract claims $ — $ 56 Unearned premiums — 58 Other liabilities — 12 Deferred tax liability — 1 Liabilities held for sale $ — $ 127 Deferred tax liabilities that result in future taxable or deductible amounts to the remaining consolidated group have been reflected in liabilities of continuing operations and not reflected in liabilities held for sale. Lifestyle protection insurance On December 1, 2015, we completed the sale of our lifestyle protection insurance business and received approximately $493 million with net proceeds of approximately $400 million. During 2015, we recorded an after-tax after-tax Summary operating results of discontinued operations were as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Revenues: Premiums $ — $ 627 $ 731 Net investment income — 74 100 Net investment gains (losses) — — 2 Policy fees and other income — — 3 Total revenues — 701 836 Benefits and expenses: Benefits and other changes in policy reserves — 182 202 Acquisition and operating expenses — 396 447 Amortization of deferred acquisition costs and intangibles — 83 118 Interest expense — 29 46 Total benefits and expenses — 690 813 Income before income taxes and loss on sale — 11 23 Provision (benefit) for income taxes — 37 (134 ) Income (loss) before loss on sale — (26 ) 157 Loss on sale, net of taxes (29 ) (381 ) — Income (loss) from discontinued operations, net of taxes $ (29 ) $ (407 ) $ 157 We retained liabilities for taxes and certain claims and sales practices that occurred while we owned the lifestyle protection insurance business. We have established our current best estimates for these liabilities, where appropriate; however, there may be future adjustments to these estimates. In connection with the settlement of the U.K. pension plan as part of the sale of our lifestyle protection insurance business, we purchased a group annuity contract. The amounts associated with the group annuity contract were held in a third-party trust for the benefit of the participants until individual annuity contracts were transferred to the participants on September 1, 2016. As a result, the U.K. pension plan was completely settled in September 2016. Life insurance business On June 24, 2016, we completed the sale of our term life insurance new business platform to Pacific Life Insurance Company for a purchase price of $29 million. The sale primarily included a building located in Lynchburg, Virginia and software. As a result of this transaction, we recorded a pre-tax |
Condensed Consolidating Financi
Condensed Consolidating Financial Information | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Consolidating Financial Information | Genworth Financial provides a full and unconditional guarantee to the trustee of Genworth Holdings’ outstanding senior notes and the holders of the senior notes, on an unsecured unsubordinated basis, of the full and punctual payment of the principal of, premium, if any, and interest on, and all other amounts payable under, each outstanding series of senior notes, and the full and punctual payment of all other amounts payable by Genworth Holdings under the senior notes indenture in respect of such senior notes. Genworth Financial also provides a full and unconditional guarantee to the trustee of Genworth Holdings’ outstanding subordinated notes and the holders of the subordinated notes, on an unsecured subordinated basis, of the full and punctual payment of the principal of, premium, if any and interest on, and all other amounts payable under, the outstanding subordinated notes, and the full and punctual payment of all other amounts payable by Genworth Holdings under the subordinated notes indenture in respect of the subordinated notes. The following condensed consolidating financial information of Genworth Financial and its direct and indirect subsidiaries have been prepared pursuant to rules regarding the preparation of consolidating financial information of Regulation S-X. The condensed consolidating financial information presents the condensed consolidating balance sheet information as of December 31, 2016 and 2015 and the condensed consolidating income statement information, condensed consolidating comprehensive income statement information and condensed consolidating cash flow statement information for the years ended December 31, 2016, 2015 and 2014. The condensed consolidating financial information reflects Genworth Financial (“Parent Guarantor”), Genworth Holdings (“Issuer”) and each of Genworth Financial’s other direct and indirect subsidiaries (the “All Other Subsidiaries”) on a combined basis, none of which guarantee the senior notes or subordinated notes, as well as the eliminations necessary to present Genworth Financial’s financial information on a consolidated basis and total consolidated amounts. The accompanying condensed consolidating financial information is presented based on the equity method of accounting for all periods presented. Under this method, investments in subsidiaries are recorded at cost and adjusted for the subsidiaries’ cumulative results of operations, capital contributions and distributions, and other changes in equity. Elimination entries include consolidating and eliminating entries for investments in subsidiaries and intercompany activity. The following table presents the condensed consolidating balance sheet information as of December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Assets Investments: Fixed maturity securities available-for-sale, $ — $ — $ 60,772 $ (200 ) $ 60,572 Equity securities available-for-sale, — — 632 — 632 Commercial mortgage loans — — 6,111 — 6,111 Restricted commercial mortgage loans related to securitization entities — — 129 — 129 Policy loans — — 1,742 — 1,742 Other invested assets — 105 1,966 — 2,071 Restricted other invested assets related to securitization entities, at fair value — — 312 — 312 Investments in subsidiaries 12,730 12,308 — (25,038 ) — Total investments 12,730 12,413 71,664 (25,238 ) 71,569 Cash and cash equivalents — 998 1,786 — 2,784 Accrued investment income — — 663 (4 ) 659 Deferred acquisition costs — — 3,571 — 3,571 Intangible assets and goodwill — — 348 — 348 Reinsurance recoverable — — 17,755 — 17,755 Other assets 9 134 530 — 673 Intercompany notes receivable — 84 67 (151 ) — Deferred tax assets 28 — (28 ) — — Separate account assets — — 7,299 — 7,299 Total assets $ 12,767 $ 13,629 $ 103,655 $ (25,393 ) $ 104,658 Liabilities and stockholders’ equity Liabilities: Future policy benefits $ — $ — $ 37,063 $ — $ 37,063 Policyholder account balances — — 25,662 — 25,662 Liability for policy and contract claims — — 9,256 — 9,256 Unearned premiums — — 3,378 — 3,378 Other liabilities 39 301 2,581 (5 ) 2,916 Intercompany notes payable 84 267 — (351 ) — Borrowings related to securitization entities — — 74 — 74 Non-recourse — — 310 — 310 Long-term — 3,716 464 — 4,180 Deferred tax liability — (816 ) 869 — 53 Separate account liabilities — — 7,299 — 7,299 Total liabilities 123 3,468 86,956 (356 ) 90,191 Equity: Common stock 1 — — — 1 Additional paid-in 11,962 9,097 20,252 (29,349 ) 11,962 Accumulated other comprehensive income (loss) 3,094 3,135 3,116 (6,251 ) 3,094 Retained earnings 287 (2,071 ) (8,792 ) 10,863 287 Treasury stock, at cost (2,700 ) — — — (2,700 ) Total Genworth Financial, Inc.’s stockholders’ equity 12,644 10,161 14,576 (24,737 ) 12,644 Noncontrolling interests — — 2,123 (300 ) 1,823 Total equity 12,644 10,161 16,699 (25,037 ) 14,467 Total liabilities and equity $ 12,767 $ 13,629 $ 103,655 $ (25,393 ) $ 104,658 The following table presents the condensed consolidating balance sheet information as of December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Assets Investments: Fixed maturity securities available-for-sale, $ — $ 150 $ 58,247 $ (200 ) $ 58,197 Equity securities available-for-sale, — — 310 — 310 Commercial mortgage loans — — 6,170 — 6,170 Restricted commercial mortgage loans related to securitization entities — — 161 — 161 Policy loans — — 1,568 — 1,568 Other invested assets — 114 2,198 (3 ) 2,309 Restricted other invested assets related to securitization entities, at fair value — — 413 — 413 Investments in subsidiaries 12,814 12,989 — (25,803 ) — Total investments 12,814 13,253 69,067 (26,006 ) 69,128 Cash and cash equivalents — 1,124 4,841 — 5,965 Accrued investment income — — 657 (4 ) 653 Deferred acquisition costs — — 4,398 — 4,398 Intangible assets and goodwill — — 357 — 357 Reinsurance recoverable — — 17,245 — 17,245 Other assets — 199 323 (2 ) 520 Intercompany notes receivable — 2 458 (460 ) — Deferred tax assets 25 1,038 (908 ) — 155 Separate account assets — — 7,883 — 7,883 Assets held for sale — — 127 — 127 Total assets $ 12,839 $ 15,616 $ 104,448 $ (26,472 ) $ 106,431 Liabilities and stockholders’ equity Liabilities: Future policy benefits $ — $ — $ 36,475 $ — $ 36,475 Policyholder account balances — — 26,209 — 26,209 Liability for policy and contract claims — — 8,095 — 8,095 Unearned premiums — — 3,308 — 3,308 Other liabilities 13 279 2,722 (10 ) 3,004 Intercompany notes payable 2 658 — (660 ) — Borrowings related to securitization entities — — 179 — 179 Non-recourse — — 1,920 — 1,920 Long-term — 4,078 492 — 4,570 Deferred tax liability — — 24 — 24 Separate account liabilities — — 7,883 — 7,883 Liabilities held for sale — — 127 — 127 Total liabilities 15 5,015 87,434 (670 ) 91,794 Equity: Common stock 1 — — — 1 Additional paid-in 11,949 9,097 17,007 (26,104 ) 11,949 Accumulated other comprehensive income (loss) 3,010 3,116 3,028 (6,144 ) 3,010 Retained earnings 564 (1,612 ) (5,134 ) 6,746 564 Treasury stock, at cost (2,700 ) — — — (2,700 ) Total Genworth Financial, Inc.’s stockholders’ equity 12,824 10,601 14,901 (25,502 ) 12,824 Noncontrolling interests — — 2,113 (300 ) 1,813 Total equity 12,824 10,601 17,014 (25,802 ) 14,637 Total liabilities and equity $ 12,839 $ 15,616 $ 104,448 $ (26,472 ) $ 106,431 The following table presents the condensed consolidating income statement information for the year ended December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Revenues: Premiums $ — $ — $ 4,160 $ — $ 4,160 Net investment income (3 ) 2 3,175 (15 ) 3,159 Net investment gains (losses) — (1 ) 73 — 72 Policy fees and other income — (8 ) 986 — 978 Total revenues (3 ) (7 ) 8,394 (15 ) 8,369 Benefits and expenses: Benefits and other changes in policy reserves — — 5,245 — 5,245 Interest credited — — 696 — 696 Acquisition and operating expenses, net of deferrals 153 38 1,082 — 1,273 Amortization of deferred acquisition costs and intangibles — — 498 — 498 Interest expense 1 278 73 (15 ) 337 Total benefits and expenses 154 316 7,594 (15 ) 8,049 Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries (157 ) (323 ) 800 — 320 Provision (benefit) for income taxes (47 ) 71 334 — 358 Equity in loss of subsidiaries (166 ) (53 ) — 219 — Income (loss) from continuing operations (276 ) (447 ) 466 219 (38 ) Loss from discontinued operations, net of taxes (1 ) (12 ) (16 ) — (29 ) Net income (loss) (277 ) (459 ) 450 219 (67 ) Less: net income attributable to noncontrolling interests — — 210 — 210 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (459 ) $ 240 $ 219 $ (277 ) The following table presents the condensed consolidating income statement information for the year ended December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Revenues: Premiums $ — $ — $ 4,579 $ — $ 4,579 Net investment income (3 ) 1 3,154 (14 ) 3,138 Net investment gains (losses) — 43 (118 ) — (75 ) Policy fees and other income — (32 ) 940 (2 ) 906 Total revenues (3 ) 12 8,555 (16 ) 8,548 Benefits and expenses: Benefits and other changes in policy reserves — — 5,149 — 5,149 Interest credited — — 720 — 720 Acquisition and operating expenses, net of deferrals 32 2 1,275 — 1,309 Amortization of deferred acquisition costs and intangibles — — 966 — 966 Interest expense — 307 128 (16 ) 419 Total benefits and expenses 32 309 8,238 (16 ) 8,563 Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries (35 ) (297 ) 317 — (15 ) Provision (benefit) for income taxes (8 ) (103 ) 102 — (9 ) Equity in loss of subsidiaries (579 ) (463 ) — 1,042 — Income (loss) from continuing operations (606 ) (657 ) 215 1,042 (6 ) Loss from discontinued operations, net of taxes (9 ) — (398 ) — (407 ) Net loss (615 ) (657 ) (183 ) 1,042 (413 ) Less: net income attributable to noncontrolling interests — — 202 — 202 Net loss available to Genworth Financial, Inc.’s common stockholders $ (615 ) $ (657 ) $ (385 ) $ 1,042 $ (615 ) The following table presents the condensed consolidating income statement information for the year ended December 31, 2014: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Revenues: Premiums $ — $ — $ 4,700 $ — $ 4,700 Net investment income (2 ) — 3,159 (15 ) 3,142 Net investment gains (losses) — 4 (26 ) — (22 ) Policy fees and other income — (4 ) 914 (1 ) 909 Total revenues (2 ) — 8,747 (16 ) 8,729 Benefits and expenses: Benefits and other changes in policy reserves — — 6,418 — 6,418 Interest credited — — 737 — 737 Acquisition and operating expenses, net of deferrals 21 — 1,117 — 1,138 Amortization of deferred acquisition costs and intangibles — — 453 — 453 Goodwill impairment — — 849 — 849 Interest expense — 321 128 (16 ) 433 Total benefits and expenses 21 321 9,702 (16 ) 10,028 Loss from continuing operations before income taxes and equity in loss of subsidiaries (23 ) (321 ) (955 ) — (1,299 ) Provision (benefit) for income taxes (8 ) (112 ) 30 (4 ) (94 ) Equity in loss of subsidiaries (1,229 ) (1,147 ) — 2,376 — Loss from continuing operations (1,244 ) (1,356 ) (985 ) 2,380 (1,205 ) Income from discontinued operations, net of taxes — — 157 — 157 Net loss (1,244 ) (1,356 ) (828 ) 2,380 (1,048 ) Less: net income attributable to noncontrolling interests — — 196 — 196 Net loss available to Genworth Financial, Inc.’s common stockholders $ (1,244 ) $ (1,356 ) $ (1,024 ) $ 2,380 $ (1,244 ) The following table presents the condensed consolidating comprehensive income statement information for the year ended December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Net income (loss) $ (277 ) $ (459 ) $ 450 $ 219 $ (67 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired 17 14 7 (32 ) 6 Net unrealized gains (losses) on other-than-temporarily impaired securities (9 ) (6 ) (9 ) 15 (9 ) Derivatives qualifying as hedges 40 39 43 (82 ) 40 Foreign currency translation and other adjustments 36 (28 ) 54 (8 ) 54 Total other comprehensive income (loss) 84 19 95 (107 ) 91 Total comprehensive income (loss) (193 ) (440 ) 545 112 24 Less: comprehensive income (loss) attributable to noncontrolling interests — — 217 — 217 Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ (193 ) $ (440 ) $ 328 $ 112 $ (193 ) The following table presents the condensed consolidating comprehensive income statement information for the year ended December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Net loss $ (615 ) $ (657 ) $ (183 ) $ 1,042 $ (413 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired (1,181 ) (1,158 ) (1,210 ) 2,340 (1,209 ) Net unrealized gains (losses) on other-than- temporarily impaired securities (4 ) (4 ) (4 ) 8 (4 ) Derivatives qualifying as hedges (25 ) (24 ) (19 ) 43 (25 ) Foreign currency translation and other adjustments (250 ) (171 ) (530 ) 421 (530 ) Total other comprehensive income (loss) (1,460 ) (1,357 ) (1,763 ) 2,812 (1,768 ) Total comprehensive income (loss) (2,075 ) (2,014 ) (1,946 ) 3,854 (2,181 ) Less: comprehensive income (loss) attributable to noncontrolling interests — — (106 ) — (106 ) Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ (2,075 ) $ (2,014 ) $ (1,840 ) $ 3,854 $ (2,075 ) The following table presents the condensed consolidating comprehensive income statement information for the year ended December 31, 2014: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Net loss $ (1,244 ) $ (1,356 ) $ (828 ) $ 2,380 $ (1,048 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired 1,539 1,510 1,573 (3,049 ) 1,573 Net unrealized gains (losses) on other-than- temporarily impaired securities 10 11 10 (21 ) 10 Derivatives qualifying as hedges 751 751 794 (1,545 ) 751 Foreign currency translation and other adjustments (339 ) (273 ) (537 ) 612 (537 ) Total other comprehensive income (loss) 1,961 1,999 1,840 (4,003 ) 1,797 Total comprehensive income (loss) 717 643 1,012 (1,623 ) 749 Less: comprehensive income (loss) attributable to noncontrolling interests — — 32 — 32 Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ 717 $ 643 $ 980 $ (1,623 ) $ 717 The following table presents the condensed consolidating cash flow statement information for the year ended December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Cash flows from operating activities: Net income (loss) $ (277 ) $ (459 ) $ 450 $ 219 $ (67 ) Less loss from discontinued operations, net of taxes 1 12 16 — 29 Adjustments to reconcile net income (loss) to net cash from operating activities: Equity in loss from subsidiaries 166 53 — (219 ) — Dividends from subsidiaries — 250 (250 ) — — (Gain) loss on sale of businesses — 1 (27 ) — (26 ) Amortization of fixed maturity securities discounts and premiums and limited partnerships — 4 (142 ) — (138 ) Net investment (gains) losses — 1 (73 ) — (72 ) Charges assessed to policyholders — — (782 ) — (782 ) Acquisition costs deferred — — (150 ) — (150 ) Amortization of deferred acquisition costs and intangibles — — 498 — 498 Deferred income taxes (6 ) 233 (82 ) — 145 Net increase in trading securities, held-for-sale — 5 704 — 709 Stock-based compensation expense 23 — 9 — 32 Change in certain assets and liabilities: Accrued investment income and other assets (9 ) 98 (445 ) (2 ) (358 ) Insurance reserves — — 1,315 — 1,315 Current tax liabilities — 42 (10 ) — 32 Other liabilities, policy and contract claims and other policy-related balances 20 (63 ) 723 5 685 Net cash from operating activities (82 ) 177 1,754 3 1,852 Cash flows from investing activities: Proceeds from maturities and repayments of investments: Fixed maturity securities — 150 3,739 — 3,889 Commercial mortgage loans — — 700 — 700 Restricted commercial mortgage loans related to securitization entities — — 32 — 32 Proceeds from sales of investments: Fixed maturity and equity securities — — 5,629 — 5,629 Purchases and originations of investments: Fixed maturity and equity securities — — (11,529 ) — (11,529 ) Commercial mortgage loans — — (649 ) — (649 ) Other invested assets, net — — (151 ) (3 ) (154 ) Policy loans, net — — (77 ) — (77 ) Intercompany notes receivable — (82 ) — 82 — Proceeds from sale of businesses, net of cash transferred — 1 38 — 39 Net cash from investing activities — 69 (2,268 ) 79 (2,120 ) Cash flows from financing activities: Deposits to universal life and investment contracts — — 1,349 — 1,349 Withdrawals from universal life and investment contracts — — (2,004 ) — (2,004 ) Redemption and repurchase of non-recourse — — (1,620 ) — (1,620 ) Repayment and repurchase of long-term debt — (326 ) (36 ) — (362 ) Repayment of borrowings related to securitization entities — — (42 ) — (42 ) Proceeds from intercompany notes payable 82 — — (82 ) — Return of capital to noncontrolling interests — — (70 ) — (70 ) Dividends paid to noncontrolling interests — — (138 ) — (138 ) Other, net — (46 ) 2 — (44 ) Net cash from financing activities 82 (372 ) (2,559 ) (82 ) (2,931 ) Effect of exchange rate changes on cash and cash equivalents — — (10 ) — (10 ) Net change in cash and cash equivalents — (126 ) (3,083 ) — (3,209 ) Cash and cash equivalents at beginning of period — 1,124 4,869 — 5,993 Cash and cash equivalents at end of period $ — $ 998 $ 1,786 $ — $ 2,784 The following table presents the condensed consolidating cash flow statement information for the year ended December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Cash flows from operating activities: Net loss $ (615 ) $ (657 ) $ (183 ) $ 1,042 $ (413 ) Less loss from discontinued operations, net of taxes 9 — 398 — 407 Adjustments to reconcile net loss to net cash from operating activities: Equity in loss from subsidiaries 579 463 — (1,042 ) — Dividends from subsidiaries — 530 (530 ) — — Loss on sale of businesses — — 141 — 141 Amortization of fixed maturity securities discounts and premiums and limited partnerships — — (106 ) — (106 ) Net investment (gains) losses — (43 ) 118 — 75 Charges assessed to policyholders — — (788 ) — (788 ) Acquisition costs deferred — — (293 ) — (293 ) Amortization of deferred acquisition costs and intangibles — — 966 — 966 Deferred income taxes (4 ) (65 ) (127 ) — (196 ) Net increase (decrease) in trading securities, held-for-sale — 41 (280 ) — (239 ) Stock-based compensation expense 21 — (5 ) — 16 Change in certain assets and liabilities: Accrued investment income and other assets 3 13 (123 ) 1 (106 ) Insurance reserves — — 1,847 — 1,847 Current tax liabilities (3 ) 18 (30 ) — (15 ) Other liabilities, policy and contract claims and other policy-related balances 2 (38 ) 328 1 293 Cash from operating activities—held for sale — — 2 — 2 Net cash from operating activities (8 ) 262 1,335 2 1,591 Cash flows from investing activities: Proceeds from maturities and repayments of investments: Fixed maturity securities — 1 4,540 — 4,541 Commercial mortgage loans — — 882 — 882 Restricted commercial mortgage loans related to securitization entities — — 41 — 41 Proceeds from sales of investments: Fixed maturity and equity securities — — 4,391 — 4,391 Purchases and originations of investments: Fixed maturity and equity securities — — (9,750 ) — (9,750 ) Commercial mortgage loans — — (956 ) — (956 ) Other invested assets, net — (100 ) 277 (2 ) 175 Policy loans, net — — 25 — 25 Intercompany notes receivable 9 265 (63 ) (211 ) — Capital contributions to subsidiaries — (25 ) 25 — — Proceeds from sale of businesses, net of cash transferred — — 273 — 273 Payments for businesses purchased, net of cash acquired — (197 ) 197 — — Cash from investing activities—held for sale — — (26 ) — (26 ) Net cash from investing activities 9 (56 ) (144 ) (213 ) (404 ) Cash flows from financing activities: Deposits to universal life and investment contracts — — 2,257 — 2,257 Withdrawals from universal life and investment contracts — — (2,144 ) — (2,144 ) Redemption and repurchase of non-recourse — — (61 ) — (61 ) Proceeds from the issuance of long-term debt — — 150 — 150 Repayment and repurchase of long-term debt — (50 ) (70 ) — (120 ) Repayment of borrowings related to securitization entities — — (36 ) — (36 ) Proceeds from intercompany notes payable 2 54 (267 ) 211 — Repurchase of subsidiary shares — — (68 ) — (68 ) Dividends paid to noncontrolling interests — — (157 ) — (157 ) Proceeds from the sale of subsidiary shares to noncontrolling interests — — 226 — 226 Other, net (3 ) (39 ) (56 ) — (98 ) Cash from financing activities—held for sale — — 9 — 9 Net cash from financing activities (1 ) (35 ) (217 ) 211 (42 ) Effect of exchange rate changes on cash and cash equivalents — — (70 ) — (70 ) Net change in cash and cash equivalents — 171 904 — 1,075 Cash and cash equivalents at beginning of period — 953 3,965 — 4,918 Cash and cash equivalents at end of period — 1,124 4,869 — 5,993 Less cash and cash equivalents held for sale at end of period — — 28 — 28 Cash and cash equivalents of continuing operations at end of period $ — $ 1,124 $ 4,841 $ — $ 5,965 The following table presents the condensed consolidating cash flow statement information for the year ended December 31, 2014: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Cash flows from operating activities: Net loss $ (1,244 ) $ (1,356 ) $ (828 ) $ 2,380 $ (1,048 ) Less income from discontinued operations, net of taxes — — (157 ) — (157 ) Adjustments to reconcile net loss to net cash from operating activities: Equity in loss from subsidiaries 1,229 1,147 — (2,376 ) — Dividends from subsidiaries — 630 (630 ) — — Amortization of fixed maturity securities discounts and premiums and limited partnerships — — (111 ) — (111 ) Net investment (gains) losses — (4 ) 26 — 22 Charges assessed to policyholders — — (777 ) — (777 ) Acquisition costs deferred — — (383 ) — (383 ) Amortization of deferred acquisition costs and intangibles — — 453 — 453 Goodwill impairment — — 849 — 849 Deferred income taxes 4 (146 ) (195 ) (4 ) (341 ) Net increase in trading securities, held-for-sale — 1 205 — 206 Stock-based compensation expense 21 — 7 — 28 Change in certain assets and liabilities: Accrued investment income and other assets (4 ) (9 ) (151 ) 1 (163 ) Insurance reserves — — 2,497 — 2,497 Current tax liabilities (2 ) (77 ) (117 ) — (196 ) Other liabilities, policy and contract claims and other policy-related balances 11 91 1,421 (6 ) 1,517 Cash from operating activities—held for sale — — 42 — 42 Net cash from operating activities 15 277 2,151 (5 ) 2,438 Cash flows from investing activities: Proceeds from maturities and repayments of investments: Fixed maturity securities — 150 5,048 — 5,198 Commercial mortgage loans — — 765 — 765 Restricted commercial mortgage loans related to securitization entities — — 32 — 32 Proceeds from sales of investments: Fixed maturity and equity securities — — 2,386 — 2,386 Purchases and originations of investments: Fixed maturity and equity securities — (150 ) (9,038 ) — (9,188 ) Commercial mortgage loans — — (967 ) — (967 ) Other invested assets, net — — (40 ) 5 (35 ) Policy loans, net — — 12 — 12 Intercompany notes receivable (1 ) (19 ) (2 ) 22 — Capital contributions to subsidiaries (12 ) — 12 — — Cash from investing activities—held for sale — — (39 ) — (39 ) Net cash from investing activities (13 ) (19 ) (1,831 ) 27 (1,836 ) Cash flows from financing activities: Deposits to universal life and investment contracts — — 2,993 — 2,993 Withdrawals from universal life and investment contracts — — (2,588 ) — (2,588 ) Redemption and repurchase of non-recourse — — (42 ) — (42 ) Proceeds from the issuance of long-term debt — — 144 — 144 Repayment and repurchase of long-term debt — (485 ) (136 ) — (621 ) Repayment of borrowings related to securitization entities — — (32 ) — (32 ) Proceeds from intercompany notes payable — 3 19 (22 ) — Repurchase of subsidiary shares — — (28 ) — (28 ) Dividends paid to noncontrolling interests — — (75 ) — (75 ) Proceeds from the sale of subsidiary shares to noncontrolling interests — — 517 — 517 Other, net (2 ) (42 ) 14 — (30 ) Cash from financing activities—held for sale — — (33 ) — (33 ) Net cash from financing activities (2 ) (524 ) 753 (22 ) 205 Effect of exchange rate changes on cash and cash equivalents — — (103 ) — (103 ) Net change in cash and cash equivalents — (266 ) 970 — 704 Cash and cash equivalents at beginning of period — 1,219 2,995 — 4,214 Cash and cash equivalents at end of period — 953 3,965 — 4,918 Less cash and cash equivalents held for sale at end of period — — 273 — 273 Cash and cash equivalents of continuing operations at end of period $ — $ 953 $ 3,692 $ — $ 4,645 For information on significant restrictions on dividends by, or loans or advances from, subsidiaries of Genworth Financial and Genworth Holdings, and the restricted net assets of those subsidiaries, see note 18. |
Schedule I Genworth Financial,
Schedule I Genworth Financial, Inc. Summary of Investments-Other Than Investments in Related Parties | 12 Months Ended |
Dec. 31, 2016 | |
Schedule I Genworth Financial, Inc. Summary of Investments-Other Than Investments in Related Parties | Schedule I Genworth Financial, Inc. Summary of Investments—Other Than Investments in Related Parties (Amounts in millions) As of December 31, 2016, the amortized cost or cost, fair value and carrying value of our invested assets were as follows: Type of investment Amortized cost Fair Carrying Fixed maturity securities: Bonds: U.S. government, agencies and authorities $ 5,439 $ 6,036 $ 6,036 State and political subdivisions 2,515 2,647 2,647 Non-U.S. 2,024 2,107 2,107 Public utilities 5,077 5,519 5,519 All other corporate bonds 41,959 44,263 44,263 Total fixed maturity securities 57,014 60,572 60,572 Equity securities 628 632 632 Commercial mortgage loans 6,111 xxxxx 6,111 Restricted commercial mortgage loans related to securitization entities 129 xxxxx 129 Policy loans 1,742 xxxxx 1,742 Other invested assets (1) 1,405 xxxxx 2,071 Restricted other invested assets related to securitization entities 312 xxxxx 312 Total investments $ 67,341 xxxxx $ 71,569 (1) The amount shown in the consolidated balance sheet for other invested assets differs from amortized cost or cost presented, as other invested assets include certain assets with a carrying amount that differs from amortized cost or cost. |
Schedule II Genworth Financial,
Schedule II Genworth Financial, Inc. (Parent Company Only) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule II Genworth Financial, Inc. (Parent Company Only) | Schedule II Genworth Financial, Inc. (Parent Company Only) Balance Sheets (Amounts in millions) December 31, 2016 2015 Assets Investments in subsidiaries $ 12,730 $ 12,814 Deferred tax asset 28 25 Other assets 9 — Total assets $ 12,767 $ 12,839 Liabilities and stockholders’ equity Liabilities: Other liabilities $ 39 $ 13 Intercompany notes payable 84 2 Total liabilities 123 15 Commitments and contingencies Stockholders’ equity: Common stock 1 1 Additional paid-in 11,962 11,949 Accumulated other comprehensive income (loss): Net unrealized investment gains (losses): Net unrealized gains (losses) on securities not other-than-temporarily impaired 1,253 1,236 Net unrealized gains (losses) on other-than-temporarily impaired securities 9 18 Net unrealized investment gains (losses) 1,262 1,254 Derivatives qualifying as hedges 2,085 2,045 Foreign currency translation and other adjustments (253 ) (289 ) Total accumulated other comprehensive income (loss) 3,094 3,010 Retained earnings 287 564 Treasury stock, at cost (2,700 ) (2,700 ) Total Genworth Financial, Inc.’s stockholders’ equity 12,644 12,824 Total liabilities and stockholders’ equity $ 12,767 $ 12,839 See Notes to Schedule II See Accompanying Report of Independent Registered Public Accounting Firm Schedule II Genworth Financial, Inc. (Parent Company Only) Statements of Income (Amounts in millions) Years ended December 31, 2016 2015 2014 Revenues: Net investment income $ (3 ) $ (3 ) $ (2 ) Total revenues (3 ) (3 ) (2 ) Expenses: Acquisition and operating expenses, net of deferrals 153 32 21 Interest expense 1 — — Total expenses 154 32 21 Loss before income taxes and equity in loss of subsidiaries (157 ) (35 ) (23 ) Benefit from income taxes (47 ) (8 ) (8 ) Equity in loss of subsidiaries (166 ) (579 ) (1,229 ) Loss from discontinued operations, net of taxes (1 ) (9 ) — Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) See Notes to Schedule II See Accompanying Report of Independent Registered Public Accounting Firm Schedule II Genworth Financial, Inc. (Parent Company Only) Statements of Comprehensive Income (Amounts in millions) Years ended December 31, 2016 2015 2014 Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired 17 (1,181 ) 1,539 Net unrealized gains (losses) on other-than-temporarily impaired securities (9 ) (4 ) 10 Derivatives qualifying as hedges 40 (25 ) 751 Foreign currency translation and other adjustments 36 (250 ) (339 ) Total other comprehensive income (loss) 84 (1,460 ) 1,961 Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ (193 ) $ (2,075 ) $ 717 See Notes to Schedule II See Accompanying Report of Independent Registered Public Accounting Firm Schedule II Genworth Financial, Inc. (Parent Company Only) Statements of Cash Flows (Amounts in millions) Years ended December 31, 2016 2015 2014 Cash flows from operating activities: Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) Less loss from discontinued operations, net of taxes 1 9 — Adjustments to reconcile net loss available to Genworth Financial, Inc.’s common stockholders to net cash from operating activities: Equity in loss from subsidiaries 166 579 1,229 Deferred income taxes (6 ) (4 ) 4 Stock-based compensation expense 23 21 21 Change in certain assets and liabilities: Accrued investment income and other assets (9 ) 3 (4 ) Current tax liabilities — (3 ) (2 ) Other liabilities and other policy-related balances 20 2 11 Net cash from operating activities (82 ) (8 ) 15 Cash flows from investing activities: Intercompany notes receivable — 9 (1 ) Capital contribution paid to subsidiaries — — (12 ) Net cash from investing activities — 9 (13 ) Cash flows from financing activities: Other, net — (3 ) (2 ) Intercompany notes payable 82 2 — Net cash from financing activities 82 (1 ) (2 ) Effect of exchange rate changes on cash and cash equivalents — — — Cash and cash equivalents at beginning of year — — — Cash and cash equivalents at end of year $ — $ — $ — See Notes to Schedule II See Accompanying Report of Independent Registered Public Accounting Firm Schedule II Genworth Financial, Inc. (Parent Company Only) Notes to Schedule II Years Ended December 31, 2016, 2015 and 2014 (1) Organization and Purpose Genworth Holdings, Inc. (“Genworth Holdings”) (formerly known as Genworth Financial, Inc.) was incorporated in Delaware in 2003 in preparation for an initial public offering of Genworth’s common stock, which was completed on May 28, 2004. On April 1, 2013, Genworth Holdings completed a holding company reorganization pursuant to which Genworth Holdings became a direct, 100% owned subsidiary of a new public holding company that it had formed. The new public holding company was incorporated in Delaware on December 5, 2012, in connection with the reorganization, and was renamed Genworth Financial, Inc. (“Genworth Financial”) upon the completion of the reorganization. Genworth Financial is a holding company whose subsidiaries offer mortgage and long-term care insurance products and service life insurance, as well as annuities and other investment products. On October 21, 2016, Genworth Financial entered into an agreement and plan of merger (the “Merger Agreement”) with Asia Pacific Global Capital Co., Ltd. (“the Parent”), a limited liability company incorporated in the People’s Republic of China, and Asia Pacific Global Capital USA Corporation (“Merger Sub”), a Delaware corporation and an indirect, wholly-owned subsidiary of the Parent. Subject to the terms and conditions of the Merger Agreement, including the satisfaction or waiver of certain conditions, Merger Sub would merge with and into Genworth Financial with Genworth Financial surviving the merger as an indirect, wholly-owned subsidiary of the Parent. The Parent is a newly formed subsidiary of China Oceanwide Holdings Group Co., Ltd. (together with its affiliates, “China Oceanwide”). China Oceanwide has agreed to acquire all of our outstanding common stock for a total transaction value of approximately $2.7 billion, or $5.43 per share in cash. The transaction is subject to approval by our stockholders as well as other closing conditions, including the receipt of required regulatory approvals in the U.S., China, and other international markets. Both parties are engaging with regulators regarding the applications and the pending transaction. Genworth and China Oceanwide continue to expect the transaction to close by mid-2017. (2) Commitments Genworth Financial provides a full and unconditional guarantee to the trustee of Genworth Holdings’ outstanding senior notes and the holders of the senior notes, on an unsecured unsubordinated basis, of the full and punctual payment of the principal of, premium, if any and interest on, and all other amounts payable under, each outstanding series of senior notes, and the full and punctual payment of all other amounts payable by Genworth Holdings under the senior notes indenture in respect of such senior notes. Genworth Financial also provides a full and unconditional guarantee to the trustee of Genworth Holdings’ outstanding subordinated notes and the holders of the subordinated notes, on an unsecured subordinated basis, of the full and punctual payment of the principal of, premium, if any and interest on, and all other amounts payable under, the outstanding subordinated notes, and the full and punctual payment of all other amounts payable by Genworth Holdings under the subordinated notes indenture in respect of the subordinated notes. Genworth Financial also provides a full and unconditional guarantee of Genworth Holdings’ obligations associated with Rivermont Life Insurance Company I and the Tax Matters Agreement. (3) Income Taxes As of December 31, 2016 and 2015, Genworth Financial had a deferred tax asset of $28 million and $25 million, respectively, primarily comprised of share-based compensation. These amounts are undiscounted pursuant to the applicable rules governing deferred taxes. Genworth Financial’s current income tax receivable was zero as of December 31, 2016 and 2015. Net cash received for taxes was $41 million, $1 million and $23 million for the years ended December 31, 2016, 2015 and 2014, respectively. |
Schedule III Genworth Financial
Schedule III Genworth Financial, Inc. Supplemental Insurance Information | 12 Months Ended |
Dec. 31, 2016 | |
Schedule III Genworth Financial, Inc. Supplemental Insurance Information | Schedule III Genworth Financial, Inc. Supplemental Insurance Information (Amounts in millions) Segment Deferred Future Policy Policyholder Liability for Policy Unearned December 31, 2016 U.S. Mortgage Insurance $ 28 $ — $ — $ 635 $ 342 Canada Mortgage Insurance 121 — — 112 1,595 Australia Mortgage Insurance 31 — — 211 850 U.S. Life Insurance 3,149 37,060 22,285 8,276 586 Runoff 242 3 3,377 15 5 Corporate and Other — — — 7 — Total $ 3,571 $ 37,063 $ 25,662 $ 9,256 $ 3,378 December 31, 2015 U.S. Mortgage Insurance $ 22 $ — $ — $ 849 $ 258 Canada Mortgage Insurance 108 — — 87 1,460 Australia Mortgage Insurance 35 — — 165 963 U.S. Life Insurance 3,963 36,471 23,009 6,969 621 Runoff 270 4 3,200 18 6 Corporate and Other — — — 7 — Total $ 4,398 $ 36,475 $ 26,209 $ 8,095 $ 3,308 See Accompanying Report of Independent Registered Public Accounting Firm Schedule III—Continued Genworth Financial, Inc. Supplemental Insurance Information (Amounts in millions) Segment Premium Net Interest Credited Amortization of Other Premiums December 31, 2016 U.S. Mortgage Insurance $ 660 $ 63 $ 160 $ 9 $ 170 $ 744 Canada Mortgage Insurance 481 126 104 37 97 576 Australia Mortgage Insurance 337 94 113 13 107 231 U.S. Life Insurance 2,670 2,726 5,387 394 695 2,644 Runoff — 147 173 28 70 — Corporate and Other 12 3 4 — 488 13 Total $ 4,160 $ 3,159 $ 5,941 $ 481 $ 1,627 $ 4,208 December 31, 2015 U.S. Mortgage Insurance $ 602 $ 58 $ 222 $ 7 $ 158 $ 682 Canada Mortgage Insurance 466 130 96 35 85 641 Australia Mortgage Insurance 357 114 81 16 110 328 U.S. Life Insurance 3,128 2,701 5,288 816 832 3,115 Runoff 1 138 168 28 78 1 Corporate and Other 25 (3 ) 14 — 529 27 Total $ 4,579 $ 3,138 $ 5,869 $ 902 $ 1,792 $ 4,794 December 31, 2014 U.S. Mortgage Insurance $ 578 $ 59 $ 357 $ 5 $ 142 $ 628 Canada Mortgage Insurance 515 155 102 35 114 583 Australia Mortgage Insurance 406 144 78 15 113 509 U.S. Life Insurance 3,169 2,665 6,438 291 1,648 3,172 Runoff 3 129 156 37 87 2 Corporate and Other 29 (10 ) 24 — 386 19 Total $ 4,700 $ 3,142 $ 7,155 $ 383 $ 2,490 $ 4,913 |
Summary of Significant Accoun37
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Premiums | a) Premiums For traditional long-duration insurance contracts, we report premiums as earned when due. For short-duration insurance contracts, we report premiums as revenue over the terms of the related insurance policies on a pro-rata For single premium mortgage insurance contracts, we report premiums over the estimated policy life in accordance with the expected pattern of risk emergence as further described in our accounting policy for unearned premiums. In addition, we have a practice of refunding the post-delinquent premiums in our U.S. mortgage insurance business to the insured party if the delinquent loan goes to claim. We record a liability for premiums received on the delinquent loans where our practice is to refund post-delinquent premiums. Premiums received under annuity contracts without significant mortality risk and premiums received on investment and universal life insurance products are not reported as revenues but rather as deposits and are included in liabilities for policyholder account balances. |
Net Investment Income and Net Investment Gains and Losses | b) Net Investment Income and Net Investment Gains and Losses Investment income is recognized when earned. Income or losses upon call or prepayment of available-for-sale Investment income on mortgage-backed and asset-backed securities is initially based upon yield, cash flow and prepayment assumptions at the date of purchase. Subsequent revisions in those assumptions are recorded using the retrospective or prospective method. Under the retrospective method used for mortgage-backed and asset-backed securities of high credit quality (ratings equal to or greater than “AA” or that are backed by a U.S. agency) which cannot be contractually prepaid in such a manner that we would not recover a substantial portion of the initial investment, amortized cost of the security is adjusted to the amount that would have existed had the revised assumptions been in place at the date of purchase. The adjustments to amortized cost are recorded as a charge or credit to net investment income. Under the prospective method, which is used for all other mortgage-backed and asset-backed securities, future cash flows are estimated and interest income is recognized going forward using the new internal rate of return. |
Policy Fees and Other Income | c) Policy Fees and Other Income Policy fees and other income consists primarily of insurance charges assessed on universal and term universal life insurance contracts and fees assessed against customer account values. For universal and term universal life insurance contracts, charges to policyholder accounts for cost of insurance are recognized as revenue when due. Variable product fees are charged to variable annuity contractholders and variable life insurance policyholders based upon the daily net assets of the contractholder’s and policyholder’s account values and are recognized as revenue when charged. Policy surrender fees are recognized as income when the policy is surrendered. |
Investment Securities | d) Investment Securities At the time of purchase, we designate our investment securities as either available-for-sale available-for-sale Other-Than-Temporary Impairments On Available-For-Sale As of each balance sheet date, we evaluate securities in an unrealized loss position for other-than-temporary impairments. For debt securities, we consider all available information relevant to the collectability of the security, including information about past events, current conditions, and reasonable and supportable forecasts, when developing the estimate of cash flows expected to be collected. More specifically for mortgage-backed and asset-backed securities, we also utilize performance indicators of the underlying assets including default or delinquency rates, loan to collateral value ratios, third-party credit enhancements, current levels of subordination, vintage and other relevant characteristics of the security or underlying assets to develop our estimate of cash flows. Estimating the cash flows expected to be collected is a quantitative and qualitative process that incorporates information received from third-party sources along with certain internal assumptions and judgments regarding the future performance of the underlying collateral. Where possible, this data is benchmarked against third-party sources. We recognize other-than-temporary impairments on debt securities in an unrealized loss position when one of the following circumstances exists: • we do not expect full recovery of our amortized cost basis when due, • the present value of cash flows expected to be collected is less than our amortized cost basis, • we intend to sell a security or • it is more likely than not that we will be required to sell a security prior to recovery. For other-than-temporary impairments recognized during the period, we present the total other-than-temporary impairments, the portion of other-than-temporary impairments included in other comprehensive income (loss) (“OCI”) and the net other-than-temporary impairments as supplemental disclosure presented on the face of our consolidated statements of income. Total other-than-temporary impairments that emerged in the current period are calculated as the difference between the amortized cost and fair value. For other-than-temporarily impaired securities where we do not intend to sell the security and it is not more likely than not that we will be required to sell the security prior to recovery, total other-than-temporary impairments are adjusted by the portion of other-than-temporary impairments recognized in OCI (“non-credit”). For securities that were deemed to be other-than-temporarily impaired and a non-credit To estimate the amount of other-than-temporary impairment attributed to credit losses on debt securities where we do not intend to sell the security and it is not more likely than not that we will be required to sell the security prior to recovery, we determine our best estimate of the present value of the cash flows expected to be collected from a security using the effective yield on the security prior to recording any other-than-temporary impairment. If the present value of the discounted cash flows is lower than the amortized cost of the security, the difference between the present value and amortized cost represents the credit loss associated with the security with the remaining difference between fair value and amortized cost recorded as a non-credit The evaluation of other-than-temporary impairments is subject to risks and uncertainties and is intended to determine the appropriate amount and timing for recognizing an impairment charge. The assessment of whether such impairment has occurred is based on management’s best estimate of the cash flows expected to be collected at the individual security level. We regularly monitor our investment portfolio to ensure that securities that may be other-than-temporarily impaired are identified in a timely manner and that any impairment charge is recognized in the proper period. While the other-than-temporary impairment model for debt securities generally includes fixed maturity securities, there are certain hybrid securities that are classified as fixed maturity securities where the application of a debt impairment model depends on whether there has been any evidence of deterioration in credit of the issuer, such as a downgrade to below investment grade. Under certain circumstances, evidence of deterioration in credit of the issuer may result in the application of the equity securities impairment model. For equity securities, we recognize an impairment charge in the period in which we determine that the security will not recover to book value within a reasonable period of time. We determine what constitutes a reasonable period on a security-by-security |
Fair Value Measurements | e) Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. We have fixed maturity, equity and trading securities, derivatives, embedded derivatives, securities held as collateral, separate account assets and certain other financial instruments, which are carried at fair value. Fair value measurements are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect our view of market assumptions in the absence of observable market information. We utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. All assets and liabilities carried at fair value are classified and disclosed in one of the following three categories: • Level 1—Quoted prices for identical instruments in active markets. • Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable. • Level 3—Instruments whose significant value drivers are unobservable. Level 1 primarily consists of financial instruments whose value is based on quoted market prices such as equity securities and actively traded mutual fund investments. Level 2 includes those financial instruments that are valued using industry-standard pricing methodologies, models or other valuation methodologies. These models are primarily industry-standard models that consider various inputs, such as interest rate, credit spread and foreign exchange rates for the underlying financial instruments. All significant inputs are observable, or derived from observable, information in the marketplace or are supported by observable levels at which transactions are executed in the marketplace. Financial instruments in this category primarily include: certain public and private corporate fixed maturity and equity securities; government or agency securities; certain mortgage-backed and asset-backed securities; securities held as collateral; and certain non-exchange-traded Level 3 comprises financial instruments whose fair value is estimated based on industry-standard pricing methodologies and internally developed models utilizing significant inputs not based on, nor corroborated by, readily available market information. In certain instances, this category may also utilize non-binding As of each reporting period, all assets and liabilities recorded at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability, such as the relative impact on the fair value as a result of including a particular input. We review the fair value hierarchy classifications each reporting period. Changes in the observability of the valuation attributes may result in a reclassification of certain financial assets or liabilities. Such reclassifications are reported as transfers in and out of Level 3 at the beginning fair value for the reporting period in which the changes occur. See note 16 for additional information related to fair value measurements. |
Commercial Mortgage Loans | f) Commercial Mortgage Loans The carrying value of commercial mortgage loans is stated at original cost, net of principal payments, amortization and allowance for loan losses. Interest on loans is recognized on an accrual basis at the applicable interest rate on the principal amount outstanding. Loan origination fees and direct costs, as well as premiums and discounts, are amortized as level yield adjustments over the respective loan terms. Unamortized net fees or costs are recognized upon early repayment of the loans. Loan commitment fees are deferred and amortized on an effective yield basis over the term of the loan. Commercial mortgage loans are considered past due when contractual payments have not been received from the borrower by the required payment date. “Impaired” loans are defined by U.S. GAAP as loans for which it is probable that the lender will be unable to collect all amounts due according to original contractual terms of the loan agreement. In determining whether it is probable that we will be unable to collect all amounts due, we consider current payment status, debt service coverage ratios, occupancy levels and current loan-to-value. non-accrual non-accrual We evaluate the impairment of commercial mortgage loans first on an individual loan basis. If an individual loan is not deemed impaired, then we evaluate the remaining loans collectively to determine whether an impairment should be recorded. For individually impaired loans, we record an impairment charge when it is probable that a loss has been incurred. The impairment is recorded as an increase in the allowance for loan losses. All losses of principal are charged to the allowance for loan losses in the period in which the loan is deemed to be uncollectible. For loans that are not individually impaired where we evaluate the loans collectively, the allowance for loan losses is maintained at a level that we determine is adequate to absorb estimated probable incurred losses in the loan portfolio. Our process to determine the adequacy of the allowance utilizes an analytical model based on historical loss experience adjusted for current events, trends and economic conditions that would result in a loss in the loan portfolio over the next 12 months. Key inputs into our evaluation include debt service coverage ratios, loan-to-value, For commercial mortgage loans classified as held-for-sale, |
Repurchase Agreements | g) Repurchase Agreements We have a repurchase program in which we sell an investment security at a specified price and agree to repurchase that security at another specified price at a later date. Repurchase agreements are treated as collateralized financing transactions and are carried at the amounts at which the securities are subsequently reacquired, including accrued interest, as specified in the respective agreement. The market value of securities to be repurchased is monitored and collateral levels are adjusted where appropriate to protect the parties against credit exposure. Cash received is invested in fixed maturity securities. See note 12 for additional information related to our repurchase agreements. |
Securities Lending Activity | h) Securities Lending Activity In the United States and Canada, we engage in certain securities lending transactions for the purpose of enhancing the yield on our investment securities portfolio. We maintain effective control over all loaned securities and, therefore, continue to report such securities as fixed maturity securities on the consolidated balance sheets. We are currently indemnified against counterparty credit risk by the intermediary. See note 12 for additional information related to our securities lending activity. |
Cash and Cash Equivalents | i) Cash and Cash Equivalents Certificates of deposit, money market funds and other time deposits with original maturities of 90 days or less are considered cash equivalents in the consolidated balance sheets and consolidated statements of cash flows. Items with maturities greater than 90 days but less than one year at the time of acquisition are considered short-term investments. |
Deferred Acquisition Costs | j) Deferred Acquisition Costs Acquisition costs include costs that are directly related to the successful acquisition of new or renewal insurance contracts. Acquisition costs are deferred and amortized to the extent they are recoverable from future profits. Long-Duration Contracts in-force Amortization for deferred annuity and universal life insurance contracts is based on expected gross profits. Expected gross profits are adjusted quarterly to reflect actual experience to date or for changes in underlying assumptions relating to future gross profits. Estimates of gross profits for DAC amortization are based on assumptions including interest rates, policyholder persistency or lapses, insured life expectancy or longevity and expenses. Short-Duration Contracts. We regularly review our assumptions and test DAC for recoverability at least annually. For deferred annuity and universal life insurance contracts, if the present value of expected future gross profits is less than the unamortized DAC for a line of business, a charge to income is recorded for additional DAC amortization. For traditional long-duration and short-duration contracts, if the benefit reserve plus anticipated future premiums and interest income for a line of business are less than the current estimate of future benefits and expenses (including any unamortized DAC), a charge to income is recorded for additional DAC amortization or for increased benefit reserves. See note 6 for additional information related to DAC including loss recognition and recoverability. |
Intangible Assets | k) Intangible Assets Present Value of Future Profits. We regularly review our PVFP assumptions and periodically test PVFP for recoverability similar to our treatment of DAC. See note 7 for additional information related to PVFP including loss recognition and recoverability. Deferred Sales Inducements to Contractholders. Other Intangible Assets |
Goodwill | l) Goodwill Goodwill is not amortized but is tested for impairment annually or between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying value. The determination of fair value requires the use of estimates and judgment, at the “reporting unit” level. A reporting unit is the operating segment, or a business, one level below that operating segment (the “component” level) if discrete financial information is prepared and regularly reviewed by management at the component level. If the reporting unit’s fair value is below its carrying value, we must determine the amount of implied goodwill that would be established if the reporting unit was hypothetically purchased on the impairment assessment date. We recognize an impairment charge for any amount by which the carrying amount of a reporting unit’s goodwill exceeds the amount of implied goodwill. See note 7 for additional information related to goodwill and impairments recorded. |
Reinsurance | m) Reinsurance Premium revenue, benefits and acquisition and operating expenses, net of deferrals, are reported net of the amounts relating to reinsurance ceded to and assumed from other companies. Amounts due from reinsurers for incurred and estimated future claims are reflected in the reinsurance recoverable asset. Amounts received from reinsurers that represent recovery of acquisition costs are netted against DAC so that the net amount is capitalized. The cost of reinsurance is accounted for over the terms of the related treaties using assumptions consistent with those used to account for the underlying reinsured policies. Premium revenue, benefits and acquisition and operating expenses, net of deferrals, for reinsurance contracts that do not qualify for reinsurance accounting are accounted for under the deposit method of accounting. |
Derivatives | n) Derivatives Derivative instruments are used to manage risk through one of four principal risk management strategies including: (i) liabilities; (ii) invested assets; (iii) portfolios of assets or liabilities; and (iv) forecasted transactions. On the date we enter into a derivative contract, management designates the derivative as a hedge of the identified exposure (fair value, cash flow or foreign currency). If a derivative does not qualify for hedge accounting, the changes in its fair value and all scheduled periodic settlement receipts and payments are reported in income. We formally document all relationships between hedging instruments and hedged items, as well as our risk management objective and strategy for undertaking various hedge transactions. In this documentation, we specifically identify the asset, liability or forecasted transaction that has been designated as a hedged item, state how the hedging instrument is expected to hedge the risks related to the hedged item, and set forth the method that will be used to retrospectively and prospectively assess the hedging instrument’s effectiveness and the method that will be used to measure hedge ineffectiveness. We generally determine hedge effectiveness based on total changes in fair value of the hedged item attributable to the hedged risk and the total changes in fair value of the derivative instrument. We discontinue hedge accounting prospectively when: (i) it is determined that the derivative is no longer effective in offsetting changes in the fair value or cash flows of a hedged item; (ii) the derivative expires or is sold, terminated or exercised; (iii) the derivative is de-designated For all qualifying and highly effective cash flow hedges, the effective portion of changes in fair value of the derivative instrument is reported as a component of OCI. The ineffective portion of changes in fair value of the derivative instrument is reported as a component of income. When hedge accounting is discontinued because it is probable that a forecasted transaction will not occur, the derivative continues to be carried in the consolidated balance sheets at its fair value, and gains and losses that were accumulated in OCI are recognized immediately in income. When the hedged forecasted transaction is no longer probable, but is reasonably possible, the accumulated gain or loss remains in OCI and is recognized when the transaction affects income; however, prospective hedge accounting for the transaction is terminated. In all other situations in which hedge accounting is discontinued on a cash flow hedge, amounts previously deferred in OCI are reclassified into income when income is impacted by the variability of the cash flow of the hedged item. For all qualifying and highly effective fair value hedges, the changes in fair value of the derivative instrument are reported in income. In addition, changes in fair value attributable to the hedged portion of the underlying instrument are reported in income. When hedge accounting is discontinued because it is determined that the derivative no longer qualifies as an effective fair value hedge, the derivative continues to be carried in the consolidated balance sheets at its fair value, but the hedged asset or liability will no longer be adjusted for changes in fair value. In all other situations in which hedge accounting is discontinued, the derivative is carried at its fair value in the consolidated balance sheets, with changes in its fair value recognized in current period income. We may enter into contracts that are not themselves derivative instruments but contain embedded derivatives. For each contract, we assess whether the economic characteristics of the embedded derivative are clearly and closely related to those of the host contract and determine whether a separate instrument with the same terms as the embedded instrument would meet the definition of a derivative instrument. If it is determined that the embedded derivative possesses economic characteristics that are not clearly and closely related to the economic characteristics of the host contract, and that a separate instrument with the same terms would qualify as a derivative instrument, the embedded derivative is separated from the host contract and accounted for as a stand-alone derivative. Such embedded derivatives are recorded in the consolidated balance sheets at fair value and are classified consistent with their host contract. Changes in their fair value are recognized in current period income. If we are unable to properly identify and measure an embedded derivative for separation from its host contract, the entire contract is carried in the consolidated balance sheets at fair value, with changes in fair value recognized in current period income. Changes in the fair value of non-qualifying The majority of our derivative arrangements require the posting of collateral upon meeting certain net exposure thresholds. The amounts recognized for derivative counterparty collateral received by us was recorded in cash and cash equivalents with a corresponding amount recorded in other liabilities to represent our obligation to return the collateral retained by us. We also receive non-cash re-pledge non-cash re-pledged. available-for-sale. |
Separate Accounts and Related Insurance Obligations | o) Separate Accounts and Related Insurance Obligations Separate account assets represent funds for which the investment income and investment gains and losses accrue directly to the contractholders and are reflected in our consolidated balance sheets at fair value, reported as summary total separate account assets with an equivalent summary total reported for liabilities. Amounts assessed against the contractholders for mortality, administrative and other services are included in revenues. Changes in liabilities for minimum guarantees are included in benefits and other changes in policy reserves. Net investment income, net investment gains (losses) and the related liability changes associated with the separate account are offset within the same line item in the consolidated statements of income. There were no gains or losses on transfers of assets from the general account to the separate account. We offer certain minimum guarantees associated with our variable annuity contracts. Our variable annuity contracts usually contain a basic guaranteed minimum death benefit (“GMDB”) which provides a minimum benefit to be paid upon the annuitant’s death equal to the larger of account value and the return of net deposits. Some variable annuity contracts permit contractholders to purchase through riders, at an additional charge, enhanced death benefits such as the highest contract anniversary value (“ratchets”), accumulated net deposits at a stated rate (“rollups”), or combinations thereof. Additionally, some of our variable annuity contracts provide the contractholder with living benefits such as a guaranteed minimum withdrawal benefit (“GMWB”) or certain types of guaranteed annuitization benefits. The GMWB allows contractholders to withdraw a pre-defined Most of our reserves for additional insurance and annuitization benefits are calculated by applying a benefit ratio to accumulated contractholder assessments, and then deducting accumulated paid claims. The benefit ratio is equal to the ratio of benefits to assessments, accumulated with interest and considering both past and anticipated future experience. The projections utilize stochastic scenarios of separate account returns incorporating reversion to the mean, as well as assumptions for mortality and lapses. Some of our minimum guarantees, mainly GMWBs, are accounted for as embedded derivatives; see notes 5 and 16 for additional information on these embedded derivatives and related fair value measurement disclosures. |
Insurance Reserves | p) Insurance Reserves Future Policy Benefits The liability for future policy benefits is equal to the present value of expected benefits and expenses less the present value of expected future net premiums based on assumptions, including, investment returns, health care experience (including type of care and cost of care), policyholder persistency or lapses (i.e., the probability that a policy or contract will remain in-force locked-in The liability for future policy benefits is evaluated at least annually to determine if a premium deficiency exists. Loss recognition testing is generally performed at the line of business level, with acquired blocks and certain reinsured blocks tested separately. If the liability for future policy benefits plus the current present value of expected future premiums are less than the current present value of expected future benefits and expenses (including any unamortized DAC), a charge to income is recorded for accelerated DAC amortization and, if necessary, a premium deficiency reserve is established. If a charge is recorded, DAC amortization and the liability for future policy benefits are measured using updated assumptions, which become the new locked-in We are also required to accrue additional future policy benefit reserves when the overall reserve is adequate, but profits are projected in early periods followed by losses projected in later periods. When this pattern of profits followed by losses exists, we ratably accrue this additional profits followed by losses liability over time, increasing reserves in the profitable periods to offset estimated losses expected during the periods that follow. We calculate and adjust the additional reserves using our current best estimate of the amount necessary to offset the losses in future periods, based on the pattern of expected income and current best estimate assumptions consistent with our loss recognition testing. We adjust the accrual rate prospectively, going forward over the remaining profit periods, without any catch-up For long-term care insurance products, benefit reductions are treated as partial lapse of coverage with the balance of our future policy benefits and DAC both reduced in proportion to the reduced coverage. For level premium term life insurance products, we floor the liability for future policy benefits on each policy at zero. Estimates and actuarial assumptions used for establishing the liability for future policy benefits and in loss recognition testing involve the exercise of significant judgment, and changes in assumptions or deviations of actual experience from assumptions can have material impacts on our liability for future policy benefits and net income (loss). Because these assumptions relate to factors that are not known in advance, change over time, are difficult to accurately predict and are inherently uncertain, we cannot determine with precision the ultimate amounts we will pay for actual claims or the timing of those payments. Small changes in assumptions or small deviations of actual experience from assumptions can have, and in the past have had, material impacts on our reserves, results of operations and financial condition. The risk that our claims experience may differ significantly from our pricing and valuation assumptions is particularly significant for our long-term care insurance products. Long-term care insurance policies provide for long-duration coverage and, therefore, our actual claims experience will emerge over many years after pricing and locked-in Policyholder Account Balances The liability for policyholder account balances represents the contract value that has accrued to the benefit of the policyholder as of the balance sheet date for investment-type and universal life insurance contracts. We are also required to establish additional benefit reserves for guarantees or product features in addition to the contract value where the additional benefit reserves are calculated by applying a benefit ratio to accumulated contractholder assessments, and then deducting accumulated paid claims. The benefit ratio is equal to the ratio of benefits to assessments, accumulated with interest and considering both past and anticipated future experience. Investment-type contracts are broadly defined to include contracts without significant mortality or morbidity risk. Payments received from sales of investment contracts are recognized by providing a liability equal to the current account value of the policyholders’ contracts. Interest rates credited to investment contracts are guaranteed for the initial policy term with renewal rates determined as necessary by management. |
Liability for Policy and Contract Claims | q) Liability for Policy and Contract Claims The liability for policy and contract claims, or claim reserves, represents the amount needed to provide for the estimated ultimate cost of settling claims relating to insured events that have occurred on or before the end of the respective reporting period. The estimated liability includes requirements for future payments of: (a) claims that have been reported to the insurer; (b) claims related to insured events that have occurred but that have not been reported to the insurer as of the date the liability is estimated; and (c) claim adjustment expenses. Claim adjustment expenses include costs incurred in the claim settlement process such as legal fees and costs to record, process and adjust claims. Our liability for policy and contract claims is reviewed regularly, with changes in our estimates of future claims recorded through net income (loss). Estimates and actuarial assumptions used for establishing the liability for policy and contract claims involve the exercise of significant judgment, and changes in assumptions or deviations of actual experience from assumptions can have material impacts on our liability for policy and contract claims and net income (loss). Because these assumptions relate to factors that are not known in advance, change over time, are difficult to accurately predict and are inherently uncertain, we cannot determine with precision the ultimate amounts we will pay for actual claims or the timing of those payments. Small changes in assumptions or small deviations of actual experience from assumptions can have, and in the past have had, material impacts on our reserves, results of operations and financial condition. The liability for policy and contract claims for our long-term care insurance products represents the present value of the amount needed to provide for the estimated ultimate cost of settling claims relating to insured events that have occurred on or before the end of the respective reporting period. Key assumptions include investment returns, health care experience (including type of care and cost of care), policyholder persistency or lapses (i.e., the probability that a policy or contract will remain in-force The liabilities for our mortgage insurance policies represent our best estimates of the liabilities at the time based on known facts, trends and other external factors, including economic conditions, housing prices and employment rates. For our mortgage insurance policies, reserves for losses and loss adjustment expenses are based on notices of mortgage loan defaults and estimates of defaults that have been incurred but have not been reported by loan servicers, using assumptions of claim rates for loans in default and the average amount paid for loans that result in a claim. As is common accounting practice in the mortgage insurance industry and in accordance with U.S. GAAP, we begin to provide for the ultimate claim payment relating to a potential claim on a defaulted loan when the status of that loan first goes delinquent. Over time, as the status of the underlying delinquent loans move toward foreclosure and the likelihood of the associated claim loss increases, the amount of the loss reserves associated with the potential claims may also increase. Management considers the liability for policy and contract claims provided to be its best estimate to cover the losses that have occurred. Management monitors actual experience, and where circumstances warrant, will revise its assumptions. The methods of determining such estimates and establishing the reserves are reviewed periodically and any adjustments are reflected in operations in the period in which they become known. Future developments may result in losses and loss expenses greater or less than the liability for policy and contract claims provided. |
Unearned Premiums | r) Unearned Premiums For single premium insurance contracts, we recognize premiums over the policy life in accordance with the expected pattern of risk emergence. We recognize a portion of the revenue in premiums earned in the current period, while the remaining portion is deferred as unearned premiums and earned over time in accordance with the expected pattern of risk emergence. If single premium policies are cancelled and the premium is non-refundable, |
Stock-Based Compensation | s) Stock-Based Compensation We determine a grant date fair value and recognize the related compensation expense, adjusted for expected forfeitures, through the income statement over the respective vesting period of the awards. |
Employee Benefit Plans | t) Employee Benefit Plans We provide employees with a defined contribution pension plan and recognize expense throughout the year based on the employee’s age, service and eligible pay. We make an annual contribution to the plan. We also provide employees with defined contribution savings plans. We recognize expense for our contributions to the savings plans at the time employees make contributions to the plans. Some employees participate in defined benefit pension and postretirement benefit plans. We recognize expense for these plans based upon actuarial valuations performed by external experts. We estimate aggregate benefits by using assumptions for employee turnover, future compensation increases, rates of return on pension plan assets and future health care costs. We recognize an expense for differences between actual experience and estimates over the average future service period of participants. We recognize the overfunded or underfunded status of a defined benefit plan as an asset or liability in our consolidated balance sheets and recognize changes in that funded status in the year in which the changes occur through OCI. |
Income Taxes | u) Income Taxes We determine deferred tax assets and/or liabilities by multiplying the differences between the financial reporting and tax reporting bases for assets and liabilities by the enacted tax rates expected to be in effect when such differences are recovered or settled if there is no change in law. The effect on deferred taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances on deferred tax assets are estimated based on our assessment of the realizability of such amounts. We do not record U.S. deferred taxes on foreign income that we do not expect to remit or repatriate to U.S. corporations within our consolidated group. Under U.S. GAAP, we are generally required to record U.S. deferred taxes on the anticipated repatriation of foreign income as the income is recognized for financial reporting purposes. An exception under certain accounting guidance permits us not to record a U.S. deferred tax liability for foreign income that we expect to reinvest in our foreign operations and for which remittance will be postponed indefinitely. If it becomes apparent that we cannot positively assert that some or all undistributed income will be reinvested indefinitely, the related deferred taxes are recorded in that period. In determining indefinite reinvestment, we regularly evaluate the capital needs of our domestic and foreign operations considering all available information, including operating and capital plans, regulatory capital requirements, parent company financing and cash flow needs, as well as the applicable tax laws to which our domestic and foreign subsidiaries are subject. Our estimates are based on our historical experience and our expectation of future performance. Our judgments and assumptions are subject to change given the inherent uncertainty in predicting future capital needs, which are impacted by such things as regulatory requirements, policyholder behavior, competitor pricing, new product introductions, and specific industry and market conditions. Similarly, under another exception to the recognition of deferred taxes under U.S. GAAP, we do not record deferred taxes on U.S. domestic subsidiary entities for the excess of the financial statement carrying amount over the tax basis in the stock of the subsidiary (commonly referred to as “outside basis difference”) if we have the ability under the tax law and intent to recover the basis difference in a tax free manner. Deferred taxes would be recognized in the period of a change to our ability or intent. Our companies have elected to file a single U.S. consolidated income tax return (the “life/non-life life/non-life “life/non-life Our former subsidiaries based in Bermuda and Guernsey were treated as U.S. insurance companies under provisions of the U.S. Internal Revenue Code, and were included in the life/non-life life-non/life |
Foreign Currency Translation | v) Foreign Currency Translation The determination of the functional currency is made based on the appropriate economic and management indicators. The assets and liabilities of foreign operations are translated into U.S. dollars at the exchange rates in effect at the balance sheet date. Translation adjustments are included as a separate component of accumulated other comprehensive income (loss). Revenues and expenses of the foreign operations are translated into U.S. dollars at the average rates of exchange during the period of the transaction. Gains and losses from foreign currency transactions are reported in income and have not been material in any years presented in our consolidated statements of income. |
Variable Interest Entities | w) Variable Interest Entities We are involved in certain entities that are considered VIEs as defined under U.S. GAAP, and, accordingly, we evaluate the VIE to determine whether we are the primary beneficiary and are required to consolidate the assets and liabilities of the entity. The primary beneficiary of a VIE is the enterprise that has the power to direct the activities of a VIE that most significantly impacts the VIE’s economic performance and has the obligation to absorb losses or receive benefits that could potentially be significant to the VIE. The determination of the primary beneficiary for a VIE can be complex and requires management judgment regarding the expected results of the entity and how those results are absorbed by beneficial interest holders, as well as which party has the power to direct activities that most significantly impact the performance of the VIEs. Our primary involvement related to VIEs includes securitization transactions, certain investments and certain mortgage insurance policies. We have retained interests in VIEs where we are the servicer and transferor of certain assets that were sold to a newly created VIE. Additionally, for certain securitization transactions, we were the transferor of certain assets that were sold to a newly created VIE but did not retain any beneficial interest in the VIE other than acting as the servicer of the underlying assets. We hold investments in certain structures that are considered VIEs. Our investments represent beneficial interests that are primarily in the form of structured securities or alternative investments. Our involvement in these structures typically represent a passive investment in the returns generated by the VIE and typically do not result in having significant influence over the economic performance of the VIE. We also provide mortgage insurance on certain residential mortgage loans originated and securitized by third parties using VIEs to issue mortgage-backed securities. While we provide mortgage insurance on the underlying loans, we do not typically have any ongoing involvement with the VIE other than our mortgage insurance coverage and do not act in a servicing capacity for the underlying loans held by the VIE. See note 17 for additional information related to these consolidated entities. |
Accounting Changes | x) Accounting Changes Short-Duration Contracts On December 31, 2016, we adopted new disclosure requirements for short-duration insurance contracts. The new guidance requires additional disclosures on short-duration policy and contract claims liabilities for incurred and paid claims development, unpaid claims and claims frequency. This new guidance did not have an impact on our consolidated financial statements but did impact our disclosures. See note 10 for more information related to our short-duration contracts. Technical Corrections and Improvements On December 31, 2016, we adopted new guidance related to technical corrections and improvements. The Financial Accounting Standards Board (“the FASB”) issued this new guidance to remove inconsistencies as well as make technical clarifications and minor improvements intended to make it easier to understand and implement certain accounting guidance. Impacts of the new guidance for us includes: promoting consistent use of the terms “participating insurance” and “reinsurance recoverable,” removing the term “debt” from the master glossary; adding a reference to use when accounting for internal-use Consolidation On January 1, 2016, we adopted new accounting guidance related to consolidation. The new guidance primarily impacts limited partnerships and similar legal entities, evaluation of fees paid to a decision maker as a variable interest, the effect of fee arrangements and related parties on the primary beneficiary determination and certain investment funds. The adoption of this new guidance did not have a material impact on our consolidated financial statements. Debt Issuance Costs On December 31, 2015, we early adopted new accounting guidance related to the presentation of debt issuance costs. The new guidance requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. This guidance was applied on a retrospective basis. Upon adoption, in our consolidated balance sheet as of December 31, 2014, we recorded a reduction in other assets and total assets of $42 million, with a related reduction in long-term debt of $27 million, a reduction in non-recourse non-recourse Financial Assets and Liabilities of a Collateralized Financing Entity On January 1, 2015, we early adopted new accounting guidance related to measuring the financial assets and financial liabilities of a consolidated collateralized financing entity. The guidance addresses the accounting for the measurement difference between the fair value of financial assets and the fair value of financial liabilities of a collateralized financing entity. The new guidance provides an alternative whereby a reporting entity could measure the financial assets and financial liabilities of the collateralized financing entity in its consolidated financial statements using the more observable of the fair values. There was no impact on our consolidated financial statements. Repurchase Financings On January 1, 2015, we adopted new accounting guidance related to the accounting for repurchase-to-maturity repurchase-to-maturity repurchase-to-maturity Investments In Affordable Housing Projects On January 1, 2015, we adopted new accounting guidance related to the accounting for investments in affordable housing projects that qualify for the low-income Share-Based Payment Awards On January 1, 2015, we early adopted new accounting guidance related to the accounting for share-based payment awards when the terms of an award provide that a performance target can be achieved after the requisite service period. The guidance requires that such performance targets should not be reflected in estimating the grant-date fair value of an award, and that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved. We have performance stock unit grants where awards for employees who are retirement eligible can vest on a pro-rata Investment Companies On January 1, 2014, we adopted new accounting guidance on the scope, measurement and disclosure requirements for investment companies. The new guidance clarified the characteristics of an investment company, provided comprehensive guidance for assessing whether an entity is an investment company, required investment companies to measure noncontrolling ownership interest in other investment companies at fair value rather than using the equity method of accounting and required additional disclosures. The adoption of this accounting guidance did not have any impact on our consolidated financial statements. |
Accounting Pronouncements Not Yet Adopted | y) Accounting Pronouncements Not Yet Adopted In November 2016, the FASB issued new accounting guidance related to the classification and presentation of changes in restricted cash. The new guidance requires that changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents be shown in the statement of cash flows and requires additional disclosures related to restricted cash and restricted cash equivalents. We do not expect any significant impacts from this new guidance on our consolidated financial statements or disclosures. In August 2016, the FASB issued new guidance related to the statement of cash flows classification of certain cash payments and cash receipts. The guidance will reduce diversity in practice related to eight specific cash flow issues. The new guidance is effective for us on January 1, 2018, with early adoption permitted. We do not expect any significant impacts from this guidance on our consolidated financial statements. In June 2016, the FASB issued new guidance related to accounting for credit losses on financial instruments. The guidance requires that entities recognize an allowance equal to its estimate of lifetime expected credit losses and applies to most debt instruments not measured at fair value, which would primarily include our commercial mortgage loans and reinsurance receivables. The new guidance retains most of the existing impairment guidance for available-for-sale In March 2016, the FASB issued new accounting guidance related to the accounting for stock compensation. The guidance primarily simplifies the accounting for employee share-based payment transactions, including a new requirement to record all of the income tax effects at settlement or expiration through the income statement, classifications of awards as either equity or liabilities, and classification on the statement of cash flows. We adopted the new guidance on January 1, 2017, recording a previously disallowed deferred tax asset of $9 million with a corresponding increase to retained earnings. In March 2016, the FASB issued new accounting guidance related to transition to the equity method of accounting. The guidance eliminates the retrospective application of the equity method of accounting when obtaining significant influence over a previously held investment. The guidance requires that an entity that has an available-for-sale In March 2016, the FASB issued new accounting guidance related to the assessment of contingent put and call options in debt instruments. The guidance clarifies the requirements for assessing whether contingent call (put) options that can accelerate the payment of principal on debt instruments are clearly and closely related to their debt hosts. An entity performing the assessment under the amendments in this update is required to assess the embedded call (put) options solely in accordance with the four-step decision sequence. The guidance is effective for us on January 1, 2017. This guidance is consistent with our previous accounting practices and, accordingly, we do not expect any impact on our consolidated financial statements. In March 2016, the FASB issued new accounting guidance related to the effect of derivative contract novations on existing hedge accounting relationships. The guidance clarifies that a change in the counterparty to a derivative instrument that has been designated as the hedging instrument does not, in and of itself, require dedesignation of that hedging relationship provided that all other hedge accounting criteria continue to be met. The guidance is effective for us on January 1, 2017. This guidance is consistent with our accounting for derivative contract novations and, accordingly, we do not expect any impact on our consolidated financial statements. In February 2016, the FASB issued new accounting guidance related to the accounting for leases. The new guidance generally requires lessees to recognize both a right-to-use In January 2016, the FASB issued new accounting guidance related to the recognition and measurement of financial assets and financial liabilities. Changes to the current financial instruments accounting primarily affects equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for financial instruments. Under the new guidance, equity investments with readily determinable fair value, except those accounted for under the equity method of accounting, will be measured at fair value with changes in fair value recognized in net income (loss). The new guidance also clarifies that the need for a valuation allowance on a deferred tax asset related to available-for-sale In May 2014, the FASB issued new accounting guidance related to revenue from contracts with customers, effective for us on January 1, 2018. The key principle of the new guidance is that entities should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for such goods or services. The standard permits the use of either the retrospective or modified retrospective (cumulative effect) transition method. Insurance contracts are specifically excluded from this new guidance. The FASB has clarified the scope that all of our insurance contracts, including mortgage insurance, and investment contracts are excluded from the scope of this new guidance. As such, while we are still evaluating the full impact, at this time we do not expect any significant impacts from this new guidance on our consolidated financial statements. |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings (Loss) per Share | Basic and diluted earnings (loss) per share are calculated by dividing each income (loss) category presented below by the weighted-average basic and diluted common shares outstanding for the years ended December 31: (Amounts in millions, except per share amounts) 2016 2015 2014 Weighted-average common shares used in basic earnings (loss) per common share calculations 498.3 497.4 496.4 Potentially dilutive securities: Stock options, restricted stock units and stock appreciation rights — — — Weighted-average common shares used in diluted earnings (loss) per common share calculations (1) 498.3 497.4 496.4 Loss from continuing operations: Loss from continuing operations $ (38 ) $ (6 ) $ (1,205 ) Less: income from continuing operations attributable to noncontrolling interests 210 202 196 Loss from continuing operations available to Genworth Financial, Inc.’s common stockholders $ (248 ) $ (208 ) $ (1,401 ) Basic per common share $ (0.50 ) $ (0.42 ) $ (2.82 ) Diluted per common share $ (0.50 ) $ (0.42 ) $ (2.82 ) Income (loss) from discontinued operations: Income (loss) from discontinued operations, net of taxes $ (29 ) $ (407 ) $ 157 Less: income from discontinued operations, net of taxes, attributable to noncontrolling interests — — — Income (loss) from discontinued operations, net of taxes, available to Genworth Financial, Inc.’s common stockholders $ (29 ) $ (407 ) $ 157 Basic per common share $ (0.06 ) $ (0.82 ) $ 0.32 Diluted per common share $ (0.06 ) $ (0.82 ) $ 0.32 Net loss: Loss from continuing operations $ (38 ) $ (6 ) $ (1,205 ) Income (loss) from discontinued operations, net of taxes (29 ) (407 ) 157 Net loss (67 ) (413 ) (1,048 ) Less: net income attributable to noncontrolling interests 210 202 196 Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) Basic per common share $ (0.56 ) $ (1.24 ) $ (2.51 ) Diluted per common share $ (0.56 ) $ (1.24 ) $ (2.51 ) (1) Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the years ended December 31, 2016, 2015 and 2014, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the years ended December 31, 2016, 2015 and 2014, as the inclusion of shares for stock options, restricted stock units (“RSUs”) and stock appreciation rights (“SARs”) of 2.0 million, 1.6 million and 5.6 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the years ended December 31, 2016, 2015 and 2014, dilutive potential weighted-average common shares outstanding would have been 500.3 million, 499.0 million and 502.0 million, respectively. |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Net Investment Income | Sources of net investment income were as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Fixed maturity securities—taxable $ 2,565 $ 2,558 $ 2,598 Fixed maturity securities—non-taxable 12 12 12 Commercial mortgage loans 318 337 333 Restricted commercial mortgage loans related to securitization entities (1) 10 14 14 Equity securities 28 15 14 Other invested assets (2) 141 135 105 Restricted other invested assets related to securitization entities (1) 3 5 5 Policy loans 146 137 129 Cash, cash equivalents and short-term investments 20 13 24 Gross investment income before expenses and fees 3,243 3,226 3,234 Expenses and fees (84 ) (88 ) (92 ) Net investment income $ 3,159 $ 3,138 $ 3,142 (1) See note 17 for additional information related to consolidated securitization entities. (2) Included in other invested assets was $11 million, $9 million and $8 million of net investment income related to trading securities for the years ended December 31, 2016, 2015 and 2014, respectively. |
Net Investment Gains (Losses) | The following table sets forth net investment gains (losses) for the years ended December 31: (Amounts in millions) 2016 2015 2014 Available-for-sale Realized gains $ 249 $ 102 $ 72 Realized losses (121 ) (82 ) (46 ) Net realized gains (losses) on available-for-sale 128 20 26 Impairments: Total other-than-temporary impairments (40 ) (28 ) (9 ) Portion of other-than-temporary impairments included in other comprehensive income (loss) — 1 — Net other-than-temporary impairments (40 ) (27 ) (9 ) Trading securities 10 (7 ) 39 Commercial mortgage loans 1 7 11 Net gains (losses) related to securitization entities (1) (50 ) 5 16 Derivative instruments (2) 20 (76 ) (103 ) Contingent consideration adjustment (2 ) 2 (2 ) Other 5 1 — Net investment gains (losses) $ 72 $ (75 ) $ (22 ) (1) See note 17 for additional information related to consolidated securitization entities. (2) See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). |
Credit Losses Recognized in Net Income (Loss) | The following represents the activity for credit losses recognized in net loss on debt securities where an other-than-temporary impairment was identified and a portion of other-than-temporary impairments was included in OCI as of and for the years ended December 31: (Amounts in millions) 2016 2015 2014 Beginning balance $ 64 $ 83 $ 101 Additions: Other-than-temporary impairments not previously recognized 1 — 1 Increases related to other-than-temporary impairments previously recognized — — 1 Reductions: Securities sold, paid down or disposed (23 ) (19 ) (20 ) Ending balance $ 42 $ 64 $ 83 |
Unrealized Investment Gains and Losses | Net unrealized gains and losses on available-for-sale (Amounts in millions) 2016 2015 2014 Net unrealized gains (losses) on investment securities: Fixed maturity securities $ 3,656 $ 3,140 $ 5,560 Equity securities 12 (10 ) 32 Other invested assets — — (2 ) Subtotal (1) 3,668 3,130 5,590 Adjustments to DAC, PVFP, sales inducements and benefit reserves (1,611 ) (1,070 ) (1,656 ) Income taxes, net (711 ) (711 ) (1,372 ) Net unrealized investment gains (losses) 1,346 1,349 2,562 Less: net unrealized investment gains (losses) attributable to noncontrolling interests 84 95 109 Net unrealized investment gains (losses) attributable to Genworth Financial, Inc. $ 1,262 $ 1,254 $ 2,453 |
Change in Net Unrealized Gains (Losses) on Available-for-Sale Investment Securities Reported in Accumulated Other Comprehensive Income (Loss) | The change in net unrealized gains (losses) on available-for-sale (Amounts in millions) 2016 2015 2014 Beginning balance $ 1,254 $ 2,453 $ 926 Unrealized gains (losses) arising during the period: Unrealized gains (losses) on investment securities 626 (2,467 ) 3,244 Adjustment to DAC (499 ) 177 (172 ) Adjustment to PVFP (5 ) 89 (66 ) Adjustment to sales inducements (16 ) 30 (15 ) Adjustment to benefit reserves (21 ) 290 (534 ) Provision for income taxes (31 ) 663 (862 ) Change in unrealized gains (losses) on investment securities 54 (1,218 ) 1,595 Reclassification adjustments to net investment (gains) losses, net of taxes of $31, $(2) and $7 (57 ) 5 (12 ) Change in net unrealized investment gains (losses) (3 ) (1,213 ) 1,583 Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests (11 ) (14 ) 56 Ending balance $ 1,262 $ 1,254 $ 2,453 |
Fixed Maturity and Equity Securities | As of December 31, 2016, the amortized cost or cost, gross unrealized gains (losses) and fair value of our fixed maturity and equity securities classified as available-for-sale Gross unrealized gains Gross unrealized losses (Amounts in millions) Amortized Not other-than- Other-than- Not other-than- Other-than- Fair Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,439 $ 647 $ — $ (50 ) $ — $ 6,036 State and political subdivisions 2,515 182 — (50 ) — 2,647 Non-U.S. 2,024 101 — (18 ) — 2,107 U.S. corporate: Utilities 4,137 454 — (41 ) — 4,550 Energy 2,167 157 — (24 ) — 2,300 Finance and insurance 5,719 424 — (46 ) — 6,097 Consumer—non-cyclical 4,335 433 — (34 ) — 4,734 Technology and communications 2,473 157 — (32 ) — 2,598 Industrial 1,161 76 — (14 ) — 1,223 Capital goods 2,043 228 — (13 ) — 2,258 Consumer—cyclical 1,455 92 — (17 ) — 1,530 Transportation 1,121 86 — (17 ) — 1,190 Other 332 17 — (1 ) — 348 Total U.S. corporate 24,943 2,124 — (239 ) — 26,828 Non-U.S. Utilities 940 40 — (11 ) — 969 Energy 1,234 109 — (12 ) — 1,331 Finance and insurance 2,413 134 — (9 ) — 2,538 Consumer—non-cyclical 711 17 — (14 ) — 714 Technology and communications 953 44 — (10 ) — 987 Industrial 928 39 — (9 ) — 958 Capital goods 518 21 — (4 ) — 535 Consumer—cyclical 434 10 — (2 ) — 442 Transportation 619 65 — (7 ) — 677 Other 2,967 190 — (13 ) — 3,144 Total non-U.S. 11,717 669 — (91 ) — 12,295 Residential mortgage-backed 4,122 259 10 (12 ) — 4,379 Commercial mortgage-backed 3,084 98 3 (56 ) — 3,129 Other asset-backed 3,170 15 1 (35 ) — 3,151 Total fixed maturity securities 57,014 4,095 14 (551 ) — 60,572 Equity securities 628 31 — (27 ) — 632 Total available-for-sale $ 57,642 $ 4,126 $ 14 $ (578 ) $ — $ 61,204 As of December 31, 2015, the amortized cost or cost, gross unrealized gains (losses) and fair value of our fixed maturity and equity securities classified as available-for-sale Gross unrealized gains Gross unrealized losses (Amounts in millions) Amortized Not other-than- Other-than- Not other-than- Other-than- Fair Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,487 $ 732 $ — $ (16 ) $ — $ 6,203 State and political subdivisions 2,287 181 — (30 ) — 2,438 Non-U.S. 1,910 110 — (5 ) — 2,015 U.S. corporate: Utilities 3,355 364 — (26 ) — 3,693 Energy 2,560 103 — (162 ) — 2,501 Finance and insurance 5,268 392 15 (43 ) — 5,632 Consumer—non-cyclical 3,755 371 — (30 ) — 4,096 Technology and communications 2,108 123 — (38 ) — 2,193 Industrial 1,164 53 — (44 ) — 1,173 Capital goods 1,774 188 — (12 ) — 1,950 Consumer—cyclical 1,602 95 — (22 ) — 1,675 Transportation 1,023 75 — (12 ) — 1,086 Other 385 22 — (5 ) — 402 Total U.S. corporate 22,994 1,786 15 (394 ) — 24,401 Non-U.S. Utilities 815 37 — (9 ) — 843 Energy 1,700 64 — (78 ) — 1,686 Finance and insurance 2,327 152 2 (8 ) — 2,473 Consumer—non-cyclical 746 24 — (18 ) — 752 Technology and communications 978 36 — (26 ) — 988 Industrial 1,063 19 — (96 ) — 986 Capital goods 602 19 — (17 ) — 604 Consumer—cyclical 522 8 — (4 ) — 526 Transportation 559 52 — (6 ) — 605 Other 2,574 187 — (25 ) — 2,736 Total non-U.S. 11,886 598 2 (287 ) — 12,199 Residential mortgage-backed 4,777 330 11 (17 ) — 5,101 Commercial mortgage-backed 2,492 84 3 (20 ) — 2,559 Other asset-backed 3,328 11 1 (59 ) — 3,281 Total fixed maturity securities 55,161 3,832 32 (828 ) — 58,197 Equity securities 325 8 — (23 ) — 310 Total available-for-sale $ 55,486 $ 3,840 $ 32 $ (851 ) $ — $ 58,507 |
Maturity Distribution of Fixed Maturity Securities | The scheduled maturity distribution of fixed maturity securities as of December 31, 2016 is set forth below. Actual maturities may differ from contractual maturities because issuers of securities may have the right to call or prepay obligations with or without call or prepayment penalties. (Amounts in millions) Amortized Fair Due one year or less $ 1,701 $ 1,721 Due after one year through five years 10,500 10,938 Due after five years through ten years 12,306 12,647 Due after ten years 22,131 24,607 Subtotal 46,638 49,913 Residential mortgage-backed 4,122 4,379 Commercial mortgage-backed 3,084 3,129 Other asset-backed 3,170 3,151 Total $ 57,014 $ 60,572 |
Aging of Past Due Commercial Mortgage Loans by Property Type | The following tables set forth the aging of past due commercial mortgage loans by property type as of December 31: 2016 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total past Current Total Property type: Retail $ — $ — $ — $ — $ 2,178 $ 2,178 Industrial 1 — 12 13 1,520 1,533 Office — — — — 1,430 1,430 Apartments — — — — 455 455 Mixed use — — — — 245 245 Other — — — — 284 284 Total recorded investment $ 1 $ — $ 12 $ 13 $ 6,112 $ 6,125 % of total commercial mortgage loans — % — % — % — % 100 % 100 % 2015 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total past Current Total Property type: Retail $ — $ — $ — $ — $ 2,116 $ 2,116 Industrial — — — — 1,562 1,562 Office 6 — 5 11 1,505 1,516 Apartments — — — — 465 465 Mixed use — — — — 234 234 Other — — — — 294 294 Total recorded investment $ 6 $ — $ 5 $ 11 $ 6,176 $ 6,187 % of total commercial mortgage loans — % — % — % — % 100 % 100 % |
Allowance for Credit Losses and Recorded Investment in Commercial Mortgage Loans | The following table sets forth the allowance for credit losses and recorded investment in commercial mortgage loans as of or for the years ended December 31: (Amounts in millions) 2016 2015 2014 Allowance for credit losses: Beginning balance $ 15 $ 22 $ 33 Charge-offs (6 ) (4 ) (1 ) Recoveries — — — Provision 3 (3 ) (10 ) Ending balance $ 12 $ 15 $ 22 Ending allowance for individually impaired loans $ — $ — $ — Ending allowance for loans not individually impaired that were evaluated collectively for impairment $ 12 $ 15 $ 22 Recorded investment: Ending balance $ 6,125 $ 6,187 $ 6,123 Ending balance of individually impaired loans $ 12 $ 19 $ 15 Ending balance of loans not individually impaired that were evaluated collectively for impairment $ 6,113 $ 6,168 $ 6,108 |
Investment Securities | |
Gross Unrealized Losses and Fair Values of Securities in a Continuous Unrealized Loss Position | The following table presents the gross unrealized losses and fair values of our investment securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, as of December 31, 2016: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 1,074 $ (50 ) 37 $ — $ — — $ 1,074 $ (50 ) 37 State and political subdivisions 644 (32 ) 109 142 (18 ) 12 786 (50 ) 121 Non-U.S. 497 (18 ) 51 — — — 497 (18 ) 51 U.S. corporate 5,221 (190 ) 711 662 (49 ) 94 5,883 (239 ) 805 Non-U.S. 2,257 (66 ) 330 408 (25 ) 57 2,665 (91 ) 387 Residential mortgage-backed 725 (11 ) 100 58 (1 ) 35 783 (12 ) 135 Commercial mortgage-backed 1,091 (55 ) 168 25 (1 ) 9 1,116 (56 ) 177 Other asset-backed 1,069 (13 ) 184 328 (22 ) 68 1,397 (35 ) 252 Subtotal, fixed maturity securities 12,578 (435 ) 1,690 1,623 (116 ) 275 14,201 (551 ) 1,965 Equity securities 119 (9 ) 182 114 (18 ) 47 233 (27 ) 229 Total for securities in an unrealized loss position $ 12,697 $ (444 ) 1,872 $ 1,737 $ (134 ) 322 $ 14,434 $ (578 ) 2,194 % Below cost—fixed maturity securities: <20% Below cost $ 12,578 $ (435 ) 1,690 $ 1,543 $ (90 ) 267 $ 14,121 $ (525 ) 1,957 20%-50% — — — 80 (26 ) 8 80 (26 ) 8 >50% Below cost — — — — — — — — — Total fixed maturity securities 12,578 (435 ) 1,690 1,623 (116 ) 275 14,201 (551 ) 1,965 % Below cost—equity securities: <20% Below cost 118 (8 ) 167 101 (14 ) 38 219 (22 ) 205 20%-50% 1 (1 ) 15 13 (4 ) 9 14 (5 ) 24 Total equity securities 119 (9 ) 182 114 (18 ) 47 233 (27 ) 229 Total for securities in an unrealized loss position $ 12,697 $ (444 ) 1,872 $ 1,737 $ (134 ) 322 $ 14,434 $ (578 ) 2,194 Investment grade $ 12,339 $ (432 ) 1,657 $ 1,354 $ (108 ) 250 $ 13,693 $ (540 ) 1,907 Below investment grade 358 (12 ) 215 383 (26 ) 72 741 (38 ) 287 Total for securities in an unrealized loss position $ 12,697 $ (444 ) 1,872 $ 1,737 $ (134 ) 322 $ 14,434 $ (578 ) 2,194 The following table presents the gross unrealized losses and fair values of our corporate securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of December 31, 2016: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities U.S. corporate: Utilities $ 855 $ (39 ) 130 $ 21 $ (2 ) 5 $ 876 $ (41 ) 135 Energy 190 (5 ) 30 276 (19 ) 38 466 (24 ) 68 Finance and insurance 1,438 (38 ) 177 113 (8 ) 15 1,551 (46 ) 192 Consumer—non-cyclical 921 (34 ) 117 — — — 921 (34 ) 117 Technology and communications 507 (22 ) 70 126 (10 ) 17 633 (32 ) 87 Industrial 226 (7 ) 38 77 (7 ) 10 303 (14 ) 48 Capital goods 322 (12 ) 50 6 (1 ) 1 328 (13 ) 51 Consumer—cyclical 431 (16 ) 56 26 (1 ) 6 457 (17 ) 62 Transportation 302 (16 ) 41 17 (1 ) 2 319 (17 ) 43 Other 29 (1 ) 2 — — — 29 (1 ) 2 Subtotal, U.S. corporate securities 5,221 (190 ) 711 662 (49 ) 94 5,883 (239 ) 805 Non-U.S. Utilities 240 (10 ) 32 14 (1 ) 1 254 (11 ) 33 Energy 105 (3 ) 18 91 (9 ) 16 196 (12 ) 34 Finance and insurance 474 (8 ) 79 71 (1 ) 16 545 (9 ) 95 Consumer—non-cyclical 308 (14 ) 30 — — — 308 (14 ) 30 Technology and communications 232 (9 ) 34 28 (1 ) 2 260 (10 ) 36 Industrial 165 (5 ) 21 91 (4 ) 10 256 (9 ) 31 Capital goods 104 (2 ) 14 28 (2 ) 2 132 (4 ) 16 Consumer—cyclical 90 (2 ) 17 — — — 90 (2 ) 17 Transportation 106 (5 ) 16 25 (2 ) 2 131 (7 ) 18 Other 433 (8 ) 69 60 (5 ) 8 493 (13 ) 77 Subtotal, non-U.S. 2,257 (66 ) 330 408 (25 ) 57 2,665 (91 ) 387 Total for corporate securities in an unrealized loss position $ 7,478 $ (256 ) 1,041 $ 1,070 $ (74 ) 151 $ 8,548 $ (330 ) 1,192 The following table presents the gross unrealized losses and fair values of our investment securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, as of December 31, 2015: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 883 $ (16 ) 32 $ — $ — — $ 883 $ (16 ) 32 State and political subdivisions 464 (15 ) 81 163 (15 ) 17 627 (30 ) 98 Non-U.S. 366 (5 ) 49 — — — 366 (5 ) 49 U.S. corporate 5,836 (332 ) 817 466 (62 ) 83 6,302 (394 ) 900 Non-U.S. 3,016 (170 ) 400 486 (117 ) 87 3,502 (287 ) 487 Residential mortgage-backed 756 (10 ) 88 103 (7 ) 38 859 (17 ) 126 Commercial mortgage-backed 780 (19 ) 116 39 (1 ) 13 819 (20 ) 129 Other asset-backed 1,944 (22 ) 349 336 (37 ) 55 2,280 (59 ) 404 Subtotal, fixed maturity securities 14,045 (589 ) 1,932 1,593 (239 ) 293 15,638 (828 ) 2,225 Equity securities 153 (23 ) 64 — — — 153 (23 ) 64 Total for securities in an unrealized loss position $ 14,198 $ (612 ) 1,996 $ 1,593 $ (239 ) 293 $ 15,791 $ (851 ) 2,289 % Below cost—fixed maturity securities: <20% Below cost $ 13,726 $ (472 ) 1,877 $ 1,259 $ (78 ) 238 $ 14,985 $ (550 ) 2,115 20%-50% 319 (116 ) 54 316 (139 ) 50 635 (255 ) 104 >50% Below cost — (1 ) 1 18 (22 ) 5 18 (23 ) 6 Total fixed maturity securities 14,045 (589 ) 1,932 1,593 (239 ) 293 15,638 (828 ) 2,225 % Below cost—equity securities: <20% Below cost 133 (18 ) 56 — — — 133 (18 ) 56 20%-50% 20 (5 ) 8 — — — 20 (5 ) 8 Total equity securities 153 (23 ) 64 — — — 153 (23 ) 64 Total for securities in an unrealized loss position $ 14,198 $ (612 ) 1,996 $ 1,593 $ (239 ) 293 $ 15,791 $ (851 ) 2,289 Investment grade $ 13,342 $ (524 ) 1,834 $ 1,245 $ (135 ) 225 $ 14,587 $ (659 ) 2,059 Below investment grade 856 (88 ) 162 348 (104 ) 68 1,204 (192 ) 230 Total for securities in an unrealized loss position $ 14,198 $ (612 ) 1,996 $ 1,593 $ (239 ) 293 $ 15,791 $ (851 ) 2,289 The following table presents the gross unrealized losses and fair values of our corporate securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of December 31, 2015: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities U.S. corporate: Utilities $ 485 $ (25 ) 74 $ 14 $ (1 ) 7 $ 499 $ (26 ) 81 Energy 1,162 (134 ) 163 131 (28 ) 22 1,293 (162 ) 185 Finance and insurance 1,142 (35 ) 160 94 (8 ) 15 1,236 (43 ) 175 Consumer—non-cyclical 836 (26 ) 107 51 (4 ) 10 887 (30 ) 117 Technology and communications 658 (36 ) 95 23 (2 ) 5 681 (38 ) 100 Industrial 476 (33 ) 64 44 (11 ) 9 520 (44 ) 73 Capital goods 293 (10 ) 48 26 (2 ) 4 319 (12 ) 52 Consumer—cyclical 427 (18 ) 60 63 (4 ) 10 490 (22 ) 70 Transportation 273 (10 ) 38 20 (2 ) 1 293 (12 ) 39 Other 84 (5 ) 8 — — — 84 (5 ) 8 Subtotal, U.S. corporate securities 5,836 (332 ) 817 466 (62 ) 83 6,302 (394 ) 900 Non-U.S. Utilities 130 (6 ) 20 32 (3 ) 6 162 (9 ) 26 Energy 589 (48 ) 71 127 (30 ) 20 716 (78 ) 91 Finance and insurance 478 (7 ) 77 30 (1 ) 8 508 (8 ) 85 Consumer—non-cyclical 261 (14 ) 27 37 (4 ) 4 298 (18 ) 31 Technology and communications 324 (15 ) 37 33 (11 ) 9 357 (26 ) 46 Industrial 495 (54 ) 67 110 (42 ) 18 605 (96 ) 85 Capital goods 154 (8 ) 22 41 (9 ) 9 195 (17 ) 31 Consumer—cyclical 155 (4 ) 20 — — — 155 (4 ) 20 Transportation 147 (6 ) 17 — — — 147 (6 ) 17 Other 283 (8 ) 42 76 (17 ) 13 359 (25 ) 55 Subtotal, non-U.S. 3,016 (170 ) 400 486 (117 ) 87 3,502 (287 ) 487 Total for corporate securities in an unrealized loss position $ 8,852 $ (502 ) 1,217 $ 952 $ (179 ) 170 $ 9,804 $ (681 ) 1,387 |
Fixed maturity securities | More Than 20% Below Cost | |
Gross Unrealized Losses and Fair Values of Securities in a Continuous Unrealized Loss Position | The following tables present the concentration of gross unrealized losses and fair values of fixed maturity securities that were more than 20% below cost and in a continuous unrealized loss position for 12 months or more by asset class as of December 31, 2016: Investment Grade 20% to 50% Greater than 50% (Dollar amounts in millions) Fair Gross % of total Number of Fair Gross % of total Number of Fixed maturity securities: State and political subdivisions $ 9 $ (3 ) 1 % 1 $ — $ — — % — U.S. corporate: Energy 13 (4 ) 1 1 — — — — Finance and insurance 12 (3 ) 1 1 — — — — Total U.S. corporate 25 (7 ) 2 2 — — — — Non-U.S. Energy 2 (1 ) — 1 — — — — Total non-U.S. 2 (1 ) — 1 — — — — Structured securities: Other asset-backed 44 (15 ) 3 4 — — — — Total structured securities 44 (15 ) 3 4 — — — — Total $ 80 $ (26 ) 6 % 8 $ — $ — — % — |
Loan To Value Ratio | |
Commercial Mortgage Loans by Property Type | The following tables set forth the loan-to-value 2016 (Amounts in millions) 0%-50% 51%-60% 61%-75% 76%-100% Greater (1) Total Property type: Retail $ 743 $ 511 $ 913 $ 11 $ — $ 2,178 Industrial 605 430 484 14 — 1,533 Office 431 310 656 26 7 1,430 Apartments 188 89 173 5 — 455 Mixed use 67 87 91 — — 245 Other 60 30 194 — — 284 Total recorded investment $ 2,094 $ 1,457 $ 2,511 $ 56 $ 7 $ 6,125 % of total 34 % 24 % 41 % 1 % — % 100 % Weighted-average debt service coverage ratio 2.20 1.88 1.61 0.80 (0.07 ) 1.87 (1) Included a loan with a recorded investment of $7 million in good standing, where the borrower continued to make timely payments, with a loan-to-value 2015 (Amounts in millions) 0%-50% 51%-60% 61%-75% 76%-100% Greater (1) Total Property type: Retail $ 785 $ 417 $ 800 $ 103 $ 11 $ 2,116 Industrial 515 478 499 65 5 1,562 Office 493 341 580 83 19 1,516 Apartments 196 66 182 21 — 465 Mixed use 56 48 124 3 3 234 Other 54 55 185 — — 294 Total recorded investment $ 2,099 $ 1,405 $ 2,370 $ 275 $ 38 $ 6,187 % of total 34 % 23 % 38 % 4 % 1 % 100 % Weighted-average debt service coverage ratio 2.13 1.82 1.57 1.12 0.55 1.79 (1) Included $38 million of loans in good standing, where borrowers continued to make timely payments, with a total weighted-average loan-to-value |
Debt Service Coverage Ratio | |
Commercial Mortgage Loans by Property Type | The following tables set forth the debt service coverage ratio for fixed rate commercial mortgage loans by property type as of December 31: 2016 (Amounts in millions) Less than 1.00 1.00-1.25 1.26-1.50 1.51-2.00 Greater Total Property type: Retail $ 67 $ 204 $ 425 $ 899 $ 583 $ 2,178 Industrial 71 113 236 599 514 1,533 Office 91 117 172 609 441 1,430 Apartments 19 22 44 217 153 455 Mixed use 2 9 19 128 87 245 Other 1 148 60 55 20 284 Total recorded investment $ 251 $ 613 $ 956 $ 2,507 $ 1,798 $ 6,125 % of total 4 % 10 % 16 % 41 % 29 % 100 % Weighted-average loan-to-value 61 % 60 % 59 % 58 % 45 % 55 % 2015 (Amounts in millions) Less than 1.00 1.00-1.25 1.26-1.50 1.51-2.00 Greater Total Property type: Retail $ 67 $ 221 $ 433 $ 882 $ 513 $ 2,116 Industrial 94 181 208 672 407 1,562 Office 85 114 265 699 346 1,509 Apartments 6 41 74 199 145 465 Mixed use 3 11 28 135 57 234 Other — 58 146 60 30 294 Total recorded investment $ 255 $ 626 $ 1,154 $ 2,647 $ 1,498 $ 6,180 % of total 4 % 10 % 19 % 43 % 24 % 100 % Weighted-average loan-to-value 74 % 64 % 58 % 58 % 43 % 56 % |
Other Geographic Area | Commercial Mortgage Loan | |
Distribution Across Property Type and Geographic Region for Commercial Mortgage Loans | 2016 2015 (Amounts in millions) Carrying % of Carrying % of Geographic region: Pacific $ 1,567 27 % $ 1,581 26 % South Atlantic 1,546 25 1,574 25 Middle Atlantic 915 15 890 14 Mountain 554 9 585 10 West North Central 435 7 416 7 East North Central 388 6 386 6 West South Central 311 5 294 5 New England 206 3 268 4 East South Central 203 3 193 3 Subtotal 6,125 100 % 6,187 100 % Unamortized balance of loan origination fees and costs (2 ) (2 ) Allowance for losses (12 ) (15 ) Total $ 6,111 $ 6,170 |
Real Estate Properties | Commercial Mortgage Loan | |
Distribution Across Property Type and Geographic Region for Commercial Mortgage Loans | We diversify our commercial mortgage loans by both property type and geographic region. The following tables set forth the distribution across property type and geographic region for commercial mortgage loans as of December 31: 2016 2015 (Amounts in millions) Carrying % of Carrying % of Property type: Retail $ 2,178 36 % $ 2,116 34 % Industrial 1,533 25 1,562 25 Office 1,430 23 1,516 24 Apartments 455 7 465 8 Mixed use 245 4 234 4 Other 284 5 294 5 Subtotal 6,125 100 % 6,187 100 % Unamortized balance of loan origination fees and costs (2 ) (2 ) Allowance for losses (12 ) (15 ) Total $ 6,111 $ 6,170 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule Of Positions in Derivative Instruments | The following table sets forth our positions in derivative instruments as of December 31: Derivative assets Derivative liabilities Balance sheet Fair value Balance sheet Fair value (Amounts in millions) 2016 2015 2016 2015 Derivatives designated as hedges Cash flow hedges: Interest rate swaps Other invested assets $ 237 $ 629 Other liabilities $ 203 $ 37 Inflation indexed swaps Other invested assets — — Other liabilities — 33 Foreign currency swaps Other invested assets 4 8 Other liabilities — — Total cash flow hedges 241 637 203 70 Total derivatives designated as hedges 241 637 203 70 Derivatives not designated as hedges Interest rate swaps Other invested assets 359 425 Other liabilities 146 183 Interest rate swaps related to securitization entities (1) Restricted other — — Other liabilities — 30 Foreign currency swaps Other invested assets — — Other liabilities 5 27 Credit default swaps Other invested assets — 1 Other liabilities — — Credit default swaps related to securitization entities (1) Restricted other — — Other liabilities 1 14 Equity index options Other invested assets 72 30 Other liabilities — — Financial futures Other invested assets — — Other liabilities — — Equity return swaps Other invested assets 1 2 Other liabilities 1 1 Other foreign currency contracts Other invested assets 35 17 Other liabilities 27 34 GMWB embedded derivatives Reinsurance recoverable (2) 16 17 Policyholder account balances (3) 303 352 Fixed index annuity embedded derivatives Other assets — — Policyholder (4) 344 342 Indexed universal life embedded derivatives Reinsurance — — Policyholder (5) 11 10 Total derivatives not designated as hedges 483 492 838 993 Total derivatives $ 724 $ 1,129 $ 1,041 $ 1,063 (1) See note 17 for additional information related to consolidated securitization entities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. (3) Represents the embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (4) Represents the embedded derivatives associated with our fixed index annuity liabilities. (5) Represents the embedded derivatives associated with our indexed universal life liabilities. |
Schedule of Notional Amounts Outstanding on Derivative Instruments | The following tables represent activity associated with derivative instruments as of the dates indicated: (Notional in millions) Measurement December 31, Additions Maturities/ December 31, Derivatives designated as hedges Cash flow hedges: Interest rate swaps Notional $ 11,214 $ 9,991 $ (9,635 ) $ 11,570 Inflation indexed swaps Notional 571 1 (572 ) — Foreign currency swaps Notional 35 — (13 ) 22 Total cash flow hedges 11,820 9,992 (10,220 ) 11,592 Total derivatives designated as hedges 11,820 9,992 (10,220 ) 11,592 Derivatives not designated as hedges Interest rate swaps Notional 4,932 — (253 ) 4,679 Interest rate swaps related to securitization entities (1) Notional 67 — (67 ) — Foreign currency swaps Notional 162 146 (107 ) 201 Credit default swaps Notional 144 — (105 ) 39 Credit default swaps related to securitization entities (1) Notional 312 — — 312 Equity index options Notional 1,080 3,272 (1,956 ) 2,396 Financial futures Notional 1,331 6,891 (6,824 ) 1,398 Equity return swaps Notional 134 364 (333 ) 165 Other foreign currency contracts Notional 1,656 3,478 (2,004 ) 3,130 Total derivatives not designated as hedges 9,818 14,151 (11,649 ) 12,320 Total derivatives $ 21,638 $ 24,143 $ (21,869 ) $ 23,912 (1) See note 17 for additional information related to consolidated securitization entities. (Number of policies) Measurement December 31, Additions Maturities/ December 31, Derivatives not designated as hedges GMWB embedded derivatives Policies 36,146 — (2,908 ) 33,238 Fixed index annuity embedded derivatives Policies 17,482 666 (599 ) 17,549 Indexed universal life embedded derivatives Policies 982 167 (75 ) 1,074 |
Schedule of Pre-Tax Income Effects of Cash Flow Hedges | The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain net loss Gain (loss) (1) Classification of gain Interest rate swaps hedging assets $ 198 $ 112 Net investment $ 3 Net investment Interest rate swaps hedging assets — 2 Net investment — Net investment Interest rate swaps hedging liabilities (5 ) — Interest — Net investment Inflation indexed swaps (5 ) 2 Net investment — Net investment Inflation indexed swaps — 7 Net investment — Net investment Foreign currency swaps (4 ) — Net investment — Net investment Foreign currency swaps — — Net investment 5 Net investment Total $ 184 $ 123 $ 8 (1) Represents ineffective portion of cash flow hedges as there were no amounts excluded from the measurement of effectiveness. The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) (1) Classification of gain Interest rate swaps hedging assets $ 78 $ 85 Net investment $ — Net investment Interest rate swaps hedging liabilities (10 ) — Interest expense — Net investment Inflation indexed swaps 9 — Net investment — Net investment Foreign currency swaps 2 — Net investment — Net investment Forward bond purchase commitments — 1 Net investment — Net investment Forward bond purchase commitments — 32 Net investment — Net investment Total $ 79 $ 118 $ — (1) Represents ineffective portion of cash flow hedges, as there were no amounts excluded from the measurement of effectiveness. The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) (1) Classification of gain Interest rate swaps hedging assets $ 1,229 $ 63 Net investment $ 15 Net investment Interest rate swaps hedging assets — 2 Net investment — Net investment Interest rate swaps hedging liabilities (69 ) 1 Interest expense — Net investment Inflation indexed swaps 17 (9 ) Net investment — Net investment Foreign currency swaps 4 — Interest expense — Net investment Forward bond purchase commitments 34 — Net investment — Net investment Total $ 1,215 $ 57 $ 15 (1) Represents ineffective portion of cash flow hedges, as there were no amounts excluded from the measurement of effectiveness. |
Reconciliation of Current Period Changes, Net of Applicable Income Taxes, for Derivatives Qualifying as Hedge | The following table provides a reconciliation of current period changes, net of applicable income taxes, for these designated derivatives presented in the separate component of stockholders’ equity labeled “derivatives qualifying as hedges,” for the years ended December 31: (Amounts in millions) 2016 2015 2014 Derivatives qualifying as effective accounting hedges as of January 1 $ 2,045 $ 2,070 $ 1,319 Current period increases (decreases) in fair value, net of deferred taxes of $(64), $(29) and $(427) 120 50 788 Reclassification to net loss, net of deferred taxes of $43, $43 and $20 (80 ) (75 ) (37 ) Derivatives qualifying as effective accounting hedges as of December 31 $ 2,085 $ 2,045 $ 2,070 |
Schedule of Pre-Tax Gain (Loss) Recognized in Net Income for Effects of Derivatives Not Designated as Hedges | The following table provides the pre-tax (Amounts in millions) 2016 2015 2014 Classification of gain (loss) Interest rate swaps $ 12 $ (11 ) $ 1 Net investment gains (losses) Interest rate swaps related to securitization entities (1) (10 ) (4 ) (9 ) Net investment gains (losses) Foreign currency swaps 4 (22 ) (7 ) Net investment gains (losses) Credit default swaps 1 1 1 Net investment gains (losses) Credit default swaps related to securitization entities (1) 18 7 19 Net investment gains (losses) Equity index options 10 (25 ) (31 ) Net investment gains (losses) Financial futures (111 ) (34 ) 90 Net investment gains (losses) Equity return swaps (1 ) (3 ) 5 Net investment gains (losses) Forward bond purchase commitments — 2 — Net investment gains (losses) Other foreign currency contracts 24 10 (4 ) Net investment gains (losses) GMWB embedded derivatives 76 (25 ) (147 ) Net investment gains (losses) Fixed index annuity embedded derivatives (22 ) (7 ) (27 ) Net investment gains (losses) Indexed universal life embedded derivatives 10 6 (1 ) Net investment gains (losses) Total derivatives not designated as hedges $ 11 $ (105 ) $ (110 ) (1) See note 17 for additional information related to consolidated securitization entities. |
Derivative Assets and Liabilities Subject to Master Netting Arrangement | The following table presents additional information about derivative assets and liabilities subject to an enforceable master netting arrangement as of December 31: 2016 2015 (Amounts in millions) Derivatives (1) Derivatives (2) Net Derivatives (1) Derivatives (2) Net Amounts presented in the balance sheet: Gross amounts recognized $ 724 $ 387 $ 337 $ 1,135 $ 320 $ 815 Gross amounts offset in the balance sheet — — — — — — Net amounts presented in the balance sheet 724 387 337 1,135 320 815 Gross amounts not offset in the balance sheet: Financial instruments (3) (172 ) (172 ) — (231 ) (231 ) — Collateral received (467 ) — (467 ) (642 ) — (642 ) Collateral pledged — (557 ) 557 — (263 ) 263 Over collateralization 1 344 (343 ) 3 174 (171 ) Net amount $ 86 $ 2 $ 84 $ 265 $ — $ 265 (1) Included $16 million and $24 million of accruals on derivatives classified as other assets and does not include amounts related to embedded derivatives as of December 31, 2016 and 2015, respectively. (2) Included $5 million and $6 million of accruals on derivatives classified as other liabilities and does not include amounts related to embedded derivatives and derivatives related to securitization entities as of December 31, 2016 and 2015, respectively. (3) Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty. |
Schedule of Credit Default Swaps Where We Sell Protection on Single Name Reference Entities and Fair Values | The following table sets forth our credit default swaps where we sell protection on single name reference entities and the fair values as of December 31: 2016 2015 (Amounts in millions) Notional Assets Liabilities Notional Assets Liabilities Investment grade Matures in less than one year $ — $ — $ — $ — $ — $ — Matures after one year through five years 39 — — 39 — — Total credit default swaps on single name reference entities $ 39 $ — $ — $ 39 $ — $ — |
Schedule of Credit Default Swaps Where We Sell Protection on Credit Default Swap Index Tranches and Fair Values | The following table sets forth our credit default swaps where we sell protection on credit default swap index tranches and the fair values as of December 31: 2016 2015 (Amounts in millions) Notional Assets Liabilities Notional Assets Liabilities Original index tranche attachment/detachment point and maturity: 7% - 15% matures in less than one year (1) $ — $ — $ — $ 100 $ 1 $ — Total credit default swap index tranches — — — 100 1 — Customized credit default swap index tranches related to securitization entities: Portion backing third-party borrowings maturing 2017 (2) 12 — — 12 — 2 Portion backing our interest maturing 2017 (3) 300 — 1 300 — 12 Total customized credit default swap index tranches related to securitization entities 312 — 1 312 — 14 Total credit default swaps on index tranches $ 312 $ — $ 1 $ 412 $ 1 $ 14 (1) The attachment/detachment as of December 31, 2015 was 7% – 15%. (2) Original notional value was $39 million. (3) Original notional value was $300 million. |
Deferred Acquisition Costs (Tab
Deferred Acquisition Costs (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Activity Impacting Deferred Acquisition Costs | The following table presents the activity impacting DAC as of and for the years ended December 31: (Amounts in millions) 2016 2015 2014 Unamortized balance as of January 1 $ 4,569 $ 5,200 $ 5,214 Impact of foreign currency translation 3 (23 ) (15 ) Costs deferred 150 295 385 Amortization, net of interest accretion (481 ) (448 ) (384 ) Impairment — (455 ) — Unamortized balance as of December 31 4,241 4,569 5,200 Accumulated effect of net unrealized investment (gains) losses (670 ) (171 ) (348 ) Balance as of December 31 $ 3,571 $ 4,398 $ 4,852 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Intangible Assets | The following table presents our intangible assets as of December 31: 2016 2015 (Amounts in millions) Gross Accumulated Gross Accumulated PVFP $ 2,079 $ (1,924 ) $ 2,084 $ (1,941 ) Capitalized software 447 (352 ) 445 (351 ) Deferred sales inducements to contractholders 275 (199 ) 268 (178 ) Other 61 (53 ) 66 (50 ) Total $ 2,862 $ (2,528 ) $ 2,863 $ (2,520 ) |
Activity in Present Value of Future Profits | The following table presents the activity in PVFP as of and for the years ended December 31: (Amounts in millions) 2016 2015 2014 Unamortized balance as of January 1 $ 205 $ 229 $ 246 Interest accreted at 5.15%, 6.45% and 5.89% 11 14 14 Amortization 6 (38 ) (31 ) Unamortized balance as of December 31 222 205 229 Accumulated effect of net unrealized investment (gains) losses (67 ) (62 ) (151 ) Balance as of December 31 $ 155 $ 143 $ 78 |
Percentage of Current PVFP Balance Estimated to be Amortized | The percentage of the December 31, 2016 PVFP balance net of interest accretion, before the effect of unrealized investment gains or losses, estimated to be amortized over each of the next five years is as follows: 2017 14.9 % 2018 9.6 % 2019 8.6 % 2020 7.7 % 2021 7.3 % |
Reinsurance (Tables)
Reinsurance (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Net Domestic Life Insurance In-Force | The following table sets forth net domestic life insurance in-force (Amounts in millions) 2016 2015 2014 Direct life insurance in-force $ 658,931 $ 686,446 $ 701,797 Amounts assumed from other companies 861 899 935 Amounts ceded to other companies (1) (491,466 ) (411,340 ) (393,244 ) Net life insurance in-force $ 168,326 $ 276,005 $ 309,488 Percentage of amount assumed to net — % — % — % (1) Includes amounts accounted for under the deposit method. |
Schedule of Effects of Reinsurance on Premiums Written and Earned | The following table sets forth the effects of reinsurance on premiums written and earned for the years ended December 31: Written Earned (Amounts in millions) 2016 2015 2014 2016 2015 2014 Direct: Life insurance $ 977 $ 1,030 $ 1,131 $ 978 $ 1,030 $ 1,131 Accident and health insurance 2,786 2,764 2,706 2,816 2,778 2,697 Mortgage insurance 1,641 1,754 1,814 1,561 1,514 1,588 Total direct 5,404 5,548 5,651 5,355 5,322 5,416 Assumed: Life insurance 35 34 34 35 34 34 Accident and health insurance 331 342 343 335 347 348 Mortgage insurance 6 10 20 12 22 31 Total assumed 372 386 397 382 403 413 Ceded: Life insurance (856 ) (372 ) (332 ) (856 ) (372 ) (332 ) Accident and health insurance (629 ) (682 ) (708 ) (638 ) (688 ) (706 ) Mortgage insurance (83 ) (86 ) (95 ) (83 ) (86 ) (91 ) Total ceded (1,568 ) (1,140 ) (1,135 ) (1,577 ) (1,146 ) (1,129 ) Net premiums $ 4,208 $ 4,794 $ 4,913 $ 4,160 $ 4,579 $ 4,700 Percentage of amount assumed to net 9 % 9 % 9 % |
Insurance Reserves (Tables)
Insurance Reserves (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Recorded Liabilities and Major Assumptions Underlying Future Policy Benefits | The following table sets forth our recorded liabilities and the major assumptions underlying our future policy benefits as of December 31: (Amounts in millions) Mortality/ Interest rate 2016 2015 Long-term care insurance contracts (a ) 3.75% - 7.50% $ 21,590 $ 20,563 Structured settlements with life contingencies (b ) 1.00% - 8.00% 8,858 8,991 Annuity contracts with life contingencies (b ) 1.00% - 8.00% 3,822 4,010 Traditional life insurance contracts (c ) 3.00% - 7.50% 2,506 2,638 Supplementary contracts with life contingencies (b ) 1.00% - 8.00% 284 269 Accident and health insurance contracts (d ) 3.50% - 6.00% 3 4 Total future policy benefits $ 37,063 $ 36,475 (a) The 1983 Individual Annuitant Mortality Table or 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality Table or the 1994 Group Annuitant Mortality Table and company experience. (b) Assumptions for limited-payment contracts come from either the U.S. Population Table, the 1983 Group Annuitant Mortality Table, the 1983 Individual Annuitant Mortality Table, the Annuity 2000 Mortality Table or the 2012 Individual Annuity Reserving Table. (c) Principally modifications based on company experience of the Society of Actuaries 1965-70 1975-80 (d) The 1958 and 1980 Commissioner’s Standard Ordinary Tables, or the 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality. |
Recorded Liabilities for Policyholder Account Balances | The following table sets forth our recorded liabilities for policyholder account balances as of December 31: (Amounts in millions) 2016 2015 Annuity contracts $ 13,566 $ 14,376 GICs, funding agreements and FABNs 560 410 Structured settlements without life contingencies 1,576 1,694 Supplementary contracts without life contingencies 719 762 Other 16 16 Total investment contracts 16,437 17,258 Universal life insurance contracts 9,225 8,951 Total policyholder account balances $ 25,662 $ 26,209 |
Information about Variable Annuity Products with Death and Living Benefit Guarantees | The following table sets forth information about our variable annuity products with death and living benefit guarantees as of December 31: (Dollar amounts in millions) 2016 2015 Account values with death benefit guarantees (net of reinsurance): Standard death benefits (return of net deposits) account value $ 2,364 $ 2,512 Net amount at risk $ 4 $ 5 Average attained age of contractholders 73 73 Enhanced death benefits (ratchet, rollup) account value $ 2,611 $ 2,866 Net amount at risk $ 157 $ 188 Average attained age of contractholders 74 73 Account values with living benefit guarantees: GMWBs $ 2,781 $ 3,111 Guaranteed annuitization benefits $ 1,177 $ 1,181 |
Account Balances of Variable Annuity Contract with Death or Living Benefit Guarantees Invested in Separate Account Investment Options | Account balances of variable annuity contracts with death or living benefit guarantees were invested in separate account investment options as follows as of December 31: (Amounts in millions) 2016 2015 Balanced funds $ 3,046 $ 3,304 Equity funds 1,271 1,387 Bond funds 550 576 Money market funds 87 85 Total $ 4,954 $ 5,352 |
Liability for Policy and Cont45
Liability for Policy and Contract Claims (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Liability for Policy and Contract Claims | The following table sets forth our liability for policy and contract claims as of December 31: (Amounts in millions) 2016 2015 Liability for policy and contract claims for insurance lines other than short-duration contracts: Long-term $ 8,034 $ 6,749 Life insurance 226 202 Fixed annuities 16 18 Runoff 15 18 Total 8,291 6,987 Liability for policy and contract claims, net of reinsurance, related to short-duration contracts: U.S. Mortgage Insurance segment 633 844 Australia Mortgage Insurance segment 211 165 Canada Mortgage Insurance segment 112 87 Other mortgage insurance businesses 7 7 Total 963 1,103 Reinsurance recoverable on unpaid claims related to short-duration contracts: U.S. Mortgage Insurance segment 2 5 Total 2 5 Total liability for policy and contract claims $ 9,256 $ 8,095 |
Schedule of Incurred Claims Net of Reinsurance, Cummulative Number of Reported Delinquencies, Total Incurred But Not Reported | The following table sets forth information about incurred claims, net of reinsurance, as well as cumulative number of reported delinquencies and the total of incurred-but-not-reported (Dollar amounts in Incurred claims and allocated claim adjustment expenses, net of reinsurance Total of Incurred-But- Not-Reported Number of (2) For the years ended December 31, Accident year (1) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 387 $ 656 $ 608 $ 596 $ 631 $ 630 $ 629 $ 637 $ 639 $ 640 $ — 57,431 2008 — 943 1,041 1,211 1,339 1,353 1,347 1,376 1,385 1,391 1 133,121 2009 — — 1,341 1,697 1,762 1,755 1,752 1,782 1,792 1,799 1 151,274 2010 — — — 977 1,157 1,139 1,146 1,165 1,173 1,173 1 89,875 2011 — — — — 910 931 913 929 938 939 1 68,614 2012 — — — — — 718 675 671 673 671 — 47,696 2013 — — — — — — 475 407 392 387 — 33,349 2014 — — — — — — — 328 288 269 — 25,281 2015 — — — — — — — — 235 208 1 19,603 2016 — — — — — — — — — 198 19 13,970 Total incurred $ 7,675 (1) Represents the year in which first monthly mortgage payments have been missed by the borrower. (2) Represents reported and outstanding delinquencies less actual cures as of December 31 for each respective accident year. The following table sets forth information about incurred claims, as well as cumulative number of reported delinquencies and the total of incurred-but-not-reported (Dollar amounts in millions) (1) Incurred claims and allocated claim adjustment expenses Total of Incurred-But- Not-Reported (3) Number of (4) For the years ended December 31, Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 76 $ 79 $ 84 $ 86 $ 86 $ 86 $ 86 $ 86 $ 86 $ 86 $ — 4,267 2008 — 105 144 147 151 153 153 153 153 153 — 6,138 2009 — — 147 163 185 188 190 190 189 189 — 6,702 2010 — — — 131 145 162 163 163 162 162 — 6,601 2011 — — — — 128 144 146 146 145 145 — 5,707 2012 — — — — — 107 106 105 105 104 — 5,316 2013 — — — — — — 98 95 94 94 — 4,949 2014 — — — — — — — 88 84 82 — 4,948 2015 — — — — — — — — 98 88 — 4,626 2016 — — — — — — — — — 116 40 5,133 Total incurred $ 1,219 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) Represents the year in which first monthly mortgage payments have been missed by the borrower. (3) Incurred-but-not-reported (4) Represents reported delinquencies as of December 31 for each respective accident year. The following table sets forth information about incurred claims, as well as cumulative number of reported delinquencies and the total of incurred-but-not-reported (Dollar amounts in millions) (1) Incurred claims and allocated claim adjustment expenses Total of Incurred-But- Not-Reported Number of (3) For the years ended December 31, Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 62 $ 104 $ 100 $ 104 $ 105 $ 107 $ 108 $ 108 $ 108 $ 108 $ — 6,935 2008 — 76 125 118 119 134 138 140 139 139 — 9,254 2009 — — 100 93 85 105 109 111 114 115 — 8,921 2010 — — — 120 130 156 159 161 162 162 — 8,717 2011 — — — — 119 145 137 134 134 135 — 9,341 2012 — — — — — 100 112 97 95 94 — 7,613 2013 — — — — — — 82 84 70 65 — 7,097 2014 — — — — — — — 72 88 73 2 7,468 2015 — — — — — — — — 76 109 11 7,587 2016 — — — — — — — — — 95 37 4,220 Total incurred $ 1,095 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) The accident year is estimated by allowing an additional five months for development from the time the first monthly mortgage payments have been missed by the borrower. (3) Represents reported and outstanding delinquencies less actual cures as of December 31 for each respective accident year. |
Schedule of Paid Claims Deveopment, Net of Reinsurance | The following table sets forth paid claims development, net of reinsurance, for our U.S. mortgage insurance segment for the year ended December 31, 2016. The information about paid claims development for the years ended December 31, 2007 to 2015, is presented as supplementary information. (Amounts in millions) Cumulative paid claims and allocated claim adjustment expenses, net of Accident year (1) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 25 $ 355 $ 531 $ 562 $ 577 $ 591 $ 603 $ 614 $ 625 $ 630 2008 — 66 572 917 1,046 1,145 1,217 1,271 1,322 1,353 2009 — — 285 940 1,245 1,434 1,556 1,638 1,709 1,753 2010 — — — 140 567 844 973 1,049 1,109 1,139 2011 — — — — 65 497 722 816 874 906 2012 — — — — — 92 391 532 602 634 2013 — — — — — — 44 202 297 340 2014 — — — — — — — 22 127 195 2015 — — — — — — — — 12 85 2016 — — — — — — — — — 10 Total paid $ 7,045 Total incurred $ 7,675 Total paid 7,045 All outstanding liabilities before 2007, net of reinsurance 3 Liability for policy and contract claims, net of reinsurance $ 633 (1) Represents the year in which first monthly mortgage payments have been missed by the borrower. The following table sets forth paid claims development, for our Canada Mortgage Insurance segment for the year ended December 31, 2016. The information about paid claims development for the years ended December 31, 2007 to 2015, is presented as supplementary information. (Amounts in millions) (1) Cumulative paid claims and allocated claim adjustment expenses Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 15 $ 57 $ 79 $ 85 $ 86 $ 86 $ 86 $ 86 $ 86 $ 86 2008 — 7 103 144 154 155 158 158 158 158 2009 — — 23 123 179 187 189 189 188 188 2010 — — — 27 118 159 163 162 161 161 2011 — — — — 36 129 145 145 145 145 2012 — — — — — 23 95 103 104 104 2013 — — — — — — 24 85 92 94 2014 — — — — — — — 16 70 80 2015 — — — — — — — — 18 71 2016 — — — — — — — — — 16 Total paid $ 1,103 Total incurred $ 1,219 Total paid 1,103 Borrower recovery accrual as of December 31, 2016 (3) (4 ) All outstanding liabilities before 2007 — Liability for policy and contract claims $ 112 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) Represents the year in which first monthly mortgage payments have been missed by the borrower. (3) Represents the portion of the borrower recovery accrual that corresponds to loss reserves and is recognized as a reduction to losses incurred that we anticipate to receive in the future once the claims have been settled. The following table sets forth paid claims development, for our Australia Mortgage Insurance segment for the year ended December 31, 2016. The information about paid claims development for the years ended December 31, 2007 to December 31, 2015, is presented as supplementary information: (Amounts in millions) (1) Cumulative paid claims and allocated claim adjustment expenses Accident year (2) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Unaudited 2007 $ 3 $ 34 $ 80 $ 99 $ 103 $ 106 $ 107 $ 108 $ 108 $ 108 2008 — 5 48 92 107 129 135 137 138 139 2009 — — 8 27 51 93 106 110 113 115 2010 — — — 40 58 127 149 156 159 161 2011 — — — — 20 75 115 127 130 133 2012 — — — — — 20 64 81 87 91 2013 — — — — — — 11 33 50 57 2014 — — — — — — — 5 28 47 2015 — — — — — — — — 4 30 2016 — — — — — — — — — 4 Total paid $ 885 Total incurred $ 1,095 Total paid 885 All outstanding liabilities before 2007 1 Liability for policy and contract claims $ 211 (1) Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. (2) The accident year is estimated by allowing an additional five months for development from the time the first monthly mortgage payments have been missed by the borrower. |
Schedule of Average Payout of Incurred Claims by Age | The following table sets forth our average payout of incurred claims by age for our U.S. Mortgage Insurance segment as of December 31, 2016: Average annual percentage payout of incurred claims, net of reinsurance, by age Years 1 2 3 4 5 6 7 8 9 10 Percentage of payout 8.7 % 40.6 % 23.5 % 9.6 % 5.6 % 4.4 % 3.1 % 2.5 % 2.1 % 0.8 % The following table sets forth our average payout of incurred claims by age for our Canada Mortgage Insurance segment as of December 31, 2016: Average annual percentage payout of incurred claims, by age Years 1 2 3 4 5 6 7 8 9 10 Percentage of payout 17.8 % 60.5 % 18.1 % 3.4 % 0.4 % 0.3 % (0.2 )% 0.1 % — % — % The following table sets forth our average payout of incurred claims by age for our Australia Mortgage Insurance segment as of December 31, 2016: Average annual percentage payout of incurred claims, by age Years 1 2 3 4 5 6 7 8 9 10 Percentage of payout 9.8 % 30.1 % 30.4 % 15.1 % 6.8 % 2.6 % 1.5 % 0.7 % 0.2 % — % |
Long-term Care Insurance | |
Changes in Liability for Policy and Contract Claims | The following table sets forth changes in the liability for policy and contract claims for our long-term care insurance business for the dates indicated: (Amounts in millions) 2016 2015 2014 Beginning balance as of January 1 $ 6,749 $ 6,216 $ 4,999 Less reinsurance recoverables (2,055 ) (1,926 ) (1,707 ) Net balance as of January 1 4,694 4,290 3,292 Incurred related to insured events of: Current year 2,066 1,655 1,474 Prior years 377 39 726 Total incurred 2,443 1,694 2,200 Paid related to insured events of: Current year (166 ) (151 ) (134 ) Prior years (1,506 ) (1,371 ) (1,263 ) Total paid (1,672 ) (1,522 ) (1,397 ) Interest on liability for policy and contract claims 259 232 195 Net balance as of December 31 5,724 4,694 4,290 Add reinsurance recoverables 2,310 2,055 1,926 Ending balance as of December 31 $ 8,034 $ 6,749 $ 6,216 |
Borrowings and Other Financin46
Borrowings and Other Financings (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Long Term Borrowings | The following table sets forth total long-term borrowings as of December 31: (Amounts in millions) 2016 2015 Genworth Holdings 8.625% Senior Notes, due 2016 $ — $ 298 6.52% Senior Notes, due 2018 597 598 7.70% Senior Notes, due 2020 397 397 7.20% Senior Notes, due 2021 381 389 7.625% Senior Notes, due 2021 704 724 4.90% Senior Notes, due 2023 399 399 4.80% Senior Notes, due 2024 400 400 6.50% Senior Notes, due 2034 297 297 6.15% Fixed-to-Floating 598 598 Subtotal 3,773 4,100 Bond consent fees (39 ) — Deferred borrowing charges (18 ) (21 ) Total Genworth Holdings 3,716 4,079 Canada 5.68% Senior Notes, due 2020 205 199 4.24% Senior Notes, due 2024 119 116 Subtotal 324 315 Deferred borrowing charges (2 ) (2 ) Total Canada 322 313 Australia Floating Rate Junior Notes, due 2021 — 36 Floating Rate Junior Notes, due 2025 145 146 Subtotal 145 182 Deferred borrowing charges (3 ) (4 ) Total Australia 142 178 Total $ 4,180 $ 4,570 |
Schedule of Non-Recourse Funding Obligations of Special Purpose Consolidated Captive Insurance Subsidiaries | The following table sets forth the non-recourse (Amounts in millions) Issuance 2016 2015 River Lake Insurance Company (a) $ — $ 570 River Lake Insurance Company (b) — 405 River Lake Insurance Company II (a) — 192 River Lake Insurance Company II (b) — 453 Rivermont Life Insurance Company I (a) 315 315 Subtotal 315 1,935 Deferred borrowing charges (5 ) (15 ) Total $ 310 $ 1,920 (a) Accrual of interest based on one-month (b) Accrual of interest based on one-month |
Principal Amounts of Long Term Debt Including Senior Notes and Non-Recourse Funding by Maturity | Principal amounts under our long-term borrowings (including senior notes) and non-recourse (Amounts in millions) Amount 2017 $ — 2018 597 2019 — 2020 602 2021 and thereafter (1) 3,358 Total $ 4,557 (1) Repayment of $315 million of our non-recourse |
Remaining Contractual Maturity of Agreements | The following tables present the remaining contractual maturity of the agreements as of December 31: 2016 (Amounts in millions) Overnight and Up to 30 days 31 - 90 days Greater than Total Repurchase agreements: U.S. government, agencies and government-sponsored enterprises $ — $ — $ 16 $ 59 $ 75 Securities lending: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises 224 — — — 224 Non-U.S. 34 — — — 34 U.S. corporate 159 — — — 159 Non-U.S. 110 — — — 110 Subtotal, fixed maturity securities 527 — — — 527 Equity securities 7 — — — 7 Total securities lending 534 — — — 534 Total repurchase agreements and securities lending $ 534 $ — $ 16 $ 59 $ 609 2015 (Amounts in millions) Overnight and Up to 30 days 31 - 90 days Greater than Total Repurchase agreements: U.S. government, agencies and government-sponsored enterprises $ — $ 58 $ 25 $ 146 $ 229 Securities lending: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises 18 — — — 18 Non-U.S. 39 — — — 39 U.S. corporate 95 — — — 95 Non-U.S. 190 — — — 190 Subtotal, fixed maturity securities 342 — — — 342 Equity securities 5 — — — 5 Total securities lending 347 — — — 347 Total repurchase agreements and securities lending $ 347 $ 58 $ 25 $ 146 $ 576 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Components of Income (Loss) before Income Taxes | Income (loss) from continuing operations before income taxes included the following components for the years ended December 31: (Amounts in millions) 2016 2015 2014 Domestic $ (283 ) $ (468 ) $ (2,022 ) Foreign 603 453 723 Income (loss) from continuing operations before income taxes $ 320 $ (15 ) $ (1,299 ) |
Components of Income Tax (Benefit) Expense | The total provision (benefit) for income taxes was as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Current federal income taxes $ 55 $ 1 $ (3 ) Deferred federal income taxes 115 (199 ) (305 ) Total federal income taxes 170 (198 ) (308 ) Current state income taxes 1 — 4 Deferred state income taxes 2 4 (4 ) Total state income taxes 3 4 — Current foreign income taxes 183 186 246 Deferred foreign income taxes 2 (1 ) (32 ) Total foreign income taxes 185 185 214 Total provision (benefit) for income taxes $ 358 $ (9 ) $ (94 ) |
Reconciliation of Federal Statutory Tax Rate to Effective Income Tax Rate | The reconciliation of the federal statutory tax rate to the effective income tax rate was as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Pre-tax $ 320 $ (15 ) $ (1,299 ) Statutory U.S. federal income tax rate $ 112 35.0 % $ (5 ) 35.0 % $ (455 ) 35.0 % Increase (reduction) in rate resulting from: State income tax, net of federal income tax effect 3 1.0 2 (18.0 ) — — Benefit on tax favored investments (4 ) (1.3 ) (14 ) 93.3 (19 ) 1.4 Effect of foreign operations (5 ) (1.6 ) (20 ) 129.2 (66 ) 5.1 Net impact of repatriating foreign earnings 9 2.8 — — 205 (15.8 ) Interest on uncertain tax positions — — — — (2 ) 0.1 Non-deductible 1 0.3 (3 ) 22.0 4 (0.3 ) Non-deductible — — — — 245 (18.8 ) Valuation allowance 233 72.8 25 (165.0 ) (6 ) 0.5 Stock-based compensation 5 1.6 5 (31.7 ) 4 (0.3 ) Loss on sale of business (1 ) (0.3 ) — — — — Other, net 5 1.6 1 (6.8 ) (4 ) 0.3 Effective rate $ 358 111.9 % $ (9 ) 58.0 % $ (94 ) 7.2 % |
Components of Net Deferred Income Tax Liability | The components of the net deferred income tax liability were as follows as of December 31: (Amounts in millions) 2016 2015 Assets: Foreign tax credit carryforwards $ 690 $ 787 Accrued commission and general expenses 208 199 State income taxes 329 302 Net operating loss carryforwards 906 1,727 Other 58 51 Gross deferred income tax assets 2,191 3,066 Valuation allowance (601 ) (353 ) Total deferred income tax assets 1,590 2,713 Liabilities: Investments 2 29 Net unrealized gains on investment securities 644 639 Net unrealized gains on derivatives 18 218 Insurance reserves 58 751 DAC 748 863 PVFP and other intangibles 55 20 Investment in foreign subsidiaries 48 10 Other 70 52 Total deferred income tax liabilities 1,643 2,582 Net deferred income tax asset (liability) $ (53 ) $ 131 |
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits was as follows: (Amounts in millions) 2016 2015 2014 Balance as of January 1 $ 28 $ 49 $ 41 Tax positions related to the current period: Gross additions 6 5 7 Gross reductions — — (3 ) Tax positions related to the prior years: Gross additions — — 17 Gross reductions — (26 ) (13 ) Balance as of December 31 $ 34 $ 28 $ 49 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stock Option Weighted-Average Grant-Date Fair Value Information and Related Valuation Assumptions, Excluding Exchanged Grants and Performance-Accelerated Options | The following table contains the stock option and SAR weighted-average grant-date fair value information and related valuation assumptions for the years ended December 31: 2015 2014 Black-Scholes Black-Scholes Awards granted (in thousands) 1,378 2,960 Maximum share value at exercise of SARs $ 75.00 $ 75.00 Fair value per options and SARs $ 3.43 $ 3.05 Valuation assumptions: Expected term (years) 6.0 6.0 Expected volatility 66.0 % 100.2 % Expected dividend yield — % 0.5 % Risk-free 1.9 % 1.9 % |
Rollforward of Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding | The following table summarizes stock option activity as of December 31, 2016 and 2015: (Shares in thousands) Shares subject Weighted-average Balance as of January 1, 2015 2,504 $ 12.86 Granted — $ — Exercised (47 ) $ 4.39 Expired and forfeited (317 ) $ 17.62 Balance as of January 1, 2016 2,140 $ 12.34 Granted — $ — Exercised (46 ) $ 2.46 Expired and forfeited (280 ) $ 17.24 Balance as of December 31, 2016 1,814 $ 11.83 Exercisable as of December 31, 2016 1,814 $ 11.83 |
Information about Stock Options Outstanding | The following table summarizes information about stock options outstanding as of December 31, 2016: Outstanding and Exercisable Exercise price range Shares in Average (1) Average $2.00 - $2.46 (2) 316 2.06 $ 2.43 $7.80 314 1.19 $ 7.80 $9.10 - $14.18 1,043 2.88 $ 14.14 $14.92 - $31.71 141 1.13 $ 24.77 1,814 $ 11.83 (1) Average contractual life remaining in years. (2) These shares have an aggregate intrinsic value of less than $1 million each for total options outstanding and exercisable. |
Status of Our Other Equity-Based Awards | The following tables summarize the status of our other equity-based awards as of December 31, 2016 and 2015: RSUs PSUs DSUs SARs (Awards in thousands) Number Weighted- date fair Number Weighted- value Number Weighted- value Number Weighted- date fair Balance as of January 1, 2015 2,913 $ 12.09 304 $ 15.32 634 $ 9.96 12,067 $ 3.62 Granted 2,087 $ 7.50 535 $ 7.75 256 $ 3.90 1,378 $ 3.43 Exercised (1,390 ) $ 11.60 — $ — (10 ) $ 2.14 (59 ) $ 1.28 Terminated (355 ) $ 10.10 (129 ) $ 9.72 — $ — (1,238 ) $ 4.05 Balance as of January 1, 2016 3,255 $ 9.22 710 $ 10.63 880 $ 8.18 12,148 $ 3.56 Granted 1,230 $ 2.04 2,730 $ 2.81 284 $ 2.14 — $ — Exercised (818 ) $ 10.13 — $ — — $ — — $ — Terminated (414 ) $ 9.70 (4 ) $ 15.23 — $ — (1,308 ) $ 3.72 Balance as of December 31, 2016 3,253 $ 6.19 3,436 $ 4.41 1,164 $ 6.72 10,840 $ 3.54 |
Genworth Canada | |
Status of Our Other Equity-Based Awards | The following table summarizes the status of Genworth Canada’s stock option activity and other equity-based awards as of December 31, 2016 and 2015: Stock options RSUs and PSUs DSUs Executive deferred (Shares and awards in thousands) Shares subject Number of Number of Number of awards Balance as of January 1, 2015 1,002 203 54 21 Granted 53 78 14 10 Exercised (88 ) (60 ) (14 ) — Terminated (12 ) (27 ) — — Balance as of January 1, 2016 955 194 54 31 Granted 95 126 12 14 Exercised (65 ) (77 ) (2 ) — Terminated (28 ) (8 ) — — Balance as of December 31, 2016 957 235 64 45 |
Genworth Australia | |
Status of Our Other Equity-Based Awards | The following table summarizes the status of Genworth Australia’s restricted share rights as of December 31, 2016 and 2015: Restricted share rights Long-term Incentive Plan (Shares in thousands) Shares subject to option Shares subject to option Balance as of January 1, 2015 2,803 — Granted 147 533 Exercised (40 ) — Terminated (145 ) — Balance as of January 1, 2016 2,765 533 Granted 280 742 Exercised (892 ) (2 ) Terminated (884 ) (348 ) Balance as of December 31, 2016 1,269 925 |
Fair Value of Financial Instr49
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Financial Instruments Not Required to be Carried at Fair Value | The following represents our estimated fair value of financial assets and liabilities that are not required to be carried at fair value as of December 31: 2016 Notional amount Carrying amount Fair value (Amounts in millions) Total Level 1 Level 2 Level 3 Assets: Commercial mortgage loans (1) $ 6,111 $ 6,247 $ — $ — $ 6,247 Restricted commercial mortgage loans (2) (1) 129 141 — — 141 Other invested assets (1) 459 473 — 352 121 Liabilities: Long-term (3) (1) 4,180 3,582 — 3,440 142 Non-recourse (3) (1) 310 186 — — 186 Borrowings related to securitization entities (2) (1) 62 65 — 65 — Investment contracts (1) 16,437 16,993 — 5 16,988 Other firm commitments: Commitments to fund limited partnerships $ 201 — — — — — Ordinary course of business lending commitments 73 — — — — — 2015 Notional amount Carrying amount Fair value (Amounts in millions) Total Level 1 Level 2 Level 3 Assets: Commercial mortgage loans (1) $ 6,170 $ 6,476 $ — $ — $ 6,476 Restricted commercial mortgage loans (2) (1) 161 179 — — 179 Other invested assets (1) 273 279 — 197 82 Liabilities: Long-term (3) (1) 4,570 3,518 — 3,343 175 Non-recourse (3) (1) 1,920 1,401 — — 1,401 Borrowings related to securitization entities (2) (1) 98 104 — 104 — Investment contracts (1) 17,258 17,910 — 5 17,905 Other firm commitments: Commitments to fund limited partnerships $ 131 — — — — — Ordinary course of business lending commitments 40 — — — — — (1) These financial instruments do not have notional amounts. (2) See note 17 for additional information related to consolidated securitization entities. (3) See note 12 for additional information related to borrowings. |
Summary of Significant Inputs Used by Third-Party Pricing Services for Certain Fair Value Measurements of Fixed Maturity Securities that Classified as Level 2 | The following table presents a summary of the significant inputs used by our third-party pricing services for certain fair value measurements of fixed maturity securities that are classified as Level 2 as of December 31, 2016: (Amounts in millions) Fair value Primary methodologies Significant inputs U.S. government, agencies and government-sponsored enterprises $ 6,034 Price quotes from trading desk, broker feeds Bid side prices, trade prices, Option Adjusted Spread (“OAS”) to swap curve, Bond Market Association OAS, Treasury Curve, Agency Bullet Curve, maturity to issuer spread State and political subdivisions $ 2,603 Multi-dimensional attribute-based modeling systems, third-party pricing vendors Trade prices, material event notices, Municipal Market Data benchmark yields, broker quotes Non-U.S. $ 2,090 Matrix pricing, spread priced to benchmark curves, price quotes from market makers Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer U.S. corporate $ 23,701 Multi-dimensional attribute-based modeling systems, broker quotes, price quotes from market makers, internal models, OAS-based Bid side prices to Treasury Curve, Issuer Curve, which includes sector, quality, duration, OAS percentage and change for spread matrix, trade prices, comparative transactions, Trade Reporting and Compliance Engine (“TRACE”) reports Non-U.S. $ 10,445 Multi-dimensional attribute-based modeling systems, OAS-based Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer Residential mortgage-backed $ 4,336 OAS-based Prepayment and default assumptions, aggregation of bonds with similar characteristics, including collateral type, vintage, tranche type, weighted-average life, weighted-average loan age, issuer program and delinquency ratio, pay up and pay down factors, TRACE reports Commercial mortgage-backed $ 3,075 Multi-dimensional attribute-based modeling systems, pricing matrix, spread matrix priced to swap curves, Trepp commercial mortgage- backed securities analytics model Credit risk, interest rate risk, prepayment speeds, new issue data, collateral performance, origination year, tranche type, original credit ratings, weighted-average life, cash flows, spreads derived from broker quotes, bid side prices, spreads to daily updated swaps curves, TRACE reports Other asset-backed $ 3,006 Multi-dimensional attribute-based modeling systems, spread matrix priced to swap curves, price quotes from market makers, internal models Spreads to daily updated swaps curves, spreads derived from trade prices and broker quotes, bid side prices, new issue data, collateral performance, analysis of prepayment speeds, cash flows, collateral loss analytics, historical issue analysis, trade data from market makers, TRACE reports • Internal models: non-U.S. non-U.S. |
Assets by Class of Instrument that are Measured at Fair Value on Recurring Basis | The following tables set forth our assets by class of instrument that are measured at fair value on a recurring basis as of December 31: 2016 (Amounts in millions) Total Level 1 Level 2 Level 3 Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 6,036 $ — $ 6,034 $ 2 State and political subdivisions 2,647 — 2,610 37 Non-U.S. 2,107 — 2,107 — U.S. corporate: Utilities 4,550 — 3,974 576 Energy 2,300 — 2,090 210 Finance and insurance 6,097 — 5,311 786 Consumer—non-cyclical 4,734 — 4,613 121 Technology and communications 2,598 — 2,544 54 Industrial 1,223 — 1,175 48 Capital goods 2,258 — 2,106 152 Consumer—cyclical 1,530 — 1,272 258 Transportation 1,190 — 1,051 139 Other 348 — 205 143 Total U.S. corporate 26,828 — 24,341 2,487 Non-U.S. Utilities 969 — 583 386 Energy 1,331 — 1,125 206 Finance and insurance 2,538 — 2,356 182 Consumer—non-cyclical 714 — 575 139 Technology and communications 987 — 920 67 Industrial 958 — 849 109 Capital goods 535 — 366 169 Consumer—cyclical 442 — 373 69 Transportation 677 — 496 181 Other 3,144 — 3,119 25 Total non-U.S. 12,295 — 10,762 1,533 Residential mortgage-backed 4,379 — 4,336 43 Commercial mortgage-backed 3,129 — 3,075 54 Other asset-backed 3,151 — 3,006 145 Total fixed maturity securities 60,572 — 56,271 4,301 Equity securities 632 551 34 47 Other invested assets: Trading securities 259 — 259 — Derivative assets: Interest rate swaps 596 — 596 — Foreign currency swaps 4 — 4 — Equity index options 72 — — 72 Equity return swaps 1 — 1 — Other foreign currency contracts 35 — 32 3 Total derivative assets 708 — 633 75 Securities lending collateral 534 — 534 — Total other invested assets 1,501 — 1,426 75 Restricted other invested assets related to securitization entities (1) 312 — 181 131 Reinsurance recoverable (2) 16 — — 16 Separate account assets 7,299 7,299 — — Total assets $ 70,332 $ 7,850 $ 57,912 $ 4,570 (1) See note 17 for additional information related to consolidated securitization entities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. 2015 (Amounts in millions) Total Level 1 Level 2 Level 3 Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 6,203 $ — $ 6,200 $ 3 State and political subdivisions 2,438 — 2,403 35 Non-U.S. 2,015 — 2,015 — U.S. corporate: Utilities 3,693 — 3,244 449 Energy 2,501 — 2,248 253 Finance and insurance 5,632 — 4,917 715 Consumer—non-cyclical 4,096 — 3,987 109 Technology and communications 2,193 — 2,158 35 Industrial 1,173 — 1,112 61 Capital goods 1,950 — 1,770 180 Consumer—cyclical 1,675 — 1,436 239 Transportation 1,086 — 980 106 Other 402 — 220 182 Total U.S. corporate 24,401 — 22,072 2,329 Non-U.S. Utilities 843 — 556 287 Energy 1,686 — 1,434 252 Finance and insurance 2,473 — 2,282 191 Consumer—non-cyclical 752 — 583 169 Technology and communications 988 — 926 62 Industrial 986 — 902 84 Capital goods 604 — 391 213 Consumer—cyclical 526 — 455 71 Transportation 605 — 461 144 Other 2,736 — 2,664 72 Total non-U.S. 12,199 — 10,654 1,545 Residential mortgage-backed 5,101 — 4,985 116 Commercial mortgage-backed 2,559 — 2,549 10 Other asset-backed 3,281 — 2,139 1,142 Total fixed maturity securities 58,197 — 53,017 5,180 Equity securities 310 270 2 38 Other invested assets: Trading securities 447 — 447 — Derivative assets: Interest rate swaps 1,054 — 1,054 — Foreign currency swaps 8 — 8 — Credit default swaps 1 — — 1 Equity index options 30 — — 30 Equity return swaps 2 — 2 — Other foreign currency contracts 17 — 14 3 Total derivative assets 1,112 — 1,078 34 Securities lending collateral 347 — 347 — Total other invested assets 1,906 — 1,872 34 Restricted other invested assets related to securitization entities (1) 413 — 181 232 Reinsurance recoverable (2) 17 — — 17 Separate account assets 7,883 7,883 — — Total assets $ 68,726 $ 8,153 $ 55,072 $ 5,501 (1) See note 17 for additional information related to consolidated securitization entities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Assets Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value | The following tables present additional information about assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning as of January 1, Total realized and Transfer into (1) Transfer out of (1) Ending as of December 31, Total gains to assets (Amounts in millions) Included Included Purchases Sales Issuances Settlements Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 3 $ — $ — $ — $ — $ — $ (1 ) $ — $ — $ 2 $ — State and political subdivisions 35 2 — 7 — — — — (7 ) 37 2 U.S. corporate: Utilities 449 1 1 149 (6 ) — (21 ) 73 (70 ) 576 — Energy 253 — (2 ) 10 — — (11 ) 7 (47 ) 210 — Finance and insurance 715 16 9 69 (14 ) — (63 ) 72 (18 ) 786 15 Consumer—non-cyclical 109 — 3 30 (18 ) — (3 ) — — 121 — Technology and communications 35 3 (3 ) 30 — — — — (11 ) 54 3 Industrial 61 5 2 — — — (32 ) 12 — 48 — Capital goods 180 1 (2 ) 30 (10 ) — — — (47 ) 152 1 Consumer—cyclical 239 4 (1 ) 68 (5 ) — (44 ) 19 (22 ) 258 — Transportation 106 2 (1 ) 53 — — (26 ) 5 — 139 2 Other 182 1 (2 ) — — — (8 ) 16 (46 ) 143 1 Total U.S. corporate 2,329 33 4 439 (53 ) — (208 ) 204 (261 ) 2,487 22 Non-U.S. Utilities 287 — (7 ) 126 (5 ) — (51 ) 46 (10 ) 386 — Energy 252 — 30 8 (27 ) — (31 ) — (26 ) 206 — Finance and insurance 191 3 (2 ) 11 (1 ) — — — (20 ) 182 3 Consumer—non-cyclical 169 2 5 3 (3 ) — (49 ) 12 — 139 — Technology and communications 62 — 3 18 (16 ) — — — — 67 — Industrial 84 — 4 17 (21 ) — — 25 — 109 — Capital goods 213 1 3 — — — (15 ) — (33 ) 169 1 Consumer—cyclical 71 — — — — — (2 ) — — 69 — Transportation 144 1 — 12 — — (15 ) 39 — 181 — Other 72 (2 ) 3 — (13 ) — (7 ) 10 (38 ) 25 (2 ) Total non-U.S. 1,545 5 39 195 (86 ) — (170 ) 132 (127 ) 1,533 2 Residential mortgage-backed 116 — 1 51 (45 ) — (14 ) 22 (88 ) 43 — Commercial mortgage-backed 10 — (7 ) 24 — — (4 ) 37 (6 ) 54 — Other asset-backed 1,142 (17 ) 3 16 (26 ) — (26 ) 66 (1,013 ) 145 (16 ) Total fixed maturity securities 5,180 23 40 732 (210 ) — (423 ) 461 (1,502 ) 4,301 10 Equity securities 38 — — 13 (4 ) — — — — 47 — Other invested assets: Derivative assets: Credit default swaps 1 — — — — — (1 ) — — — — Equity index options 30 10 — 76 — — (44 ) — — 72 2 Other foreign currency contracts 3 (1 ) — 2 — — (1 ) — — 3 (1 ) Total derivative assets 34 9 — 78 — — (46 ) — — 75 1 Total other invested assets 34 9 — 78 — — (46 ) — — 75 1 Restricted other invested assets related to securitization entities (2) 232 (55 ) — — — — (46 ) — — 131 9 Reinsurance recoverable (3) 17 (3 ) — — — 2 — — — 16 (3 ) Total Level 3 assets $ 5,501 $ (26 ) $ 40 $ 823 $ (214 ) $ 2 $ (515 ) $ 461 $ (1,502 ) $ 4,570 $ 17 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. Most significantly, the majority of the transfers out of Level 3 related to a reclassification of collateralized loan obligation securities previously valued using a broker priced source to now being valued using third-party pricing services. (2) See note 17 for additional information related to consolidated securitization entities. (3) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of January 1, Total realized and Transfer into (1) Transfer out of (1) Ending as of December 31, Total gains to assets (Amounts in millions) Included Included Purchases Sales Issuances Settlements Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 4 $ — $ — $ — $ — $ — $ (1 ) $ — $ — $ 3 $ — State and political subdivisions 30 3 7 5 — — — — (10 ) 35 3 Non-U.S. 7 — (1 ) — — — (1 ) — (5 ) — — U.S. corporate: Utilities 444 — (14 ) 67 — — (16 ) 10 (42 ) 449 — Energy 285 — (13 ) 4 (4 ) — (11 ) — (8 ) 253 — Finance and insurance 616 16 (28 ) 90 — — (33 ) 97 (43 ) 715 14 Consumer—non-cyclical 140 2 (3 ) 29 (9 ) — (40 ) — (10 ) 109 — Technology and communications 45 3 (2 ) — — — — — (11 ) 35 3 Industrial 36 — (3 ) 28 — — — — — 61 — Capital goods 166 — (6 ) 30 (3 ) — (1 ) — (6 ) 180 — Consumer—cyclical 363 1 (8 ) 39 — — (52 ) 11 (115 ) 239 — Transportation 153 1 (5 ) 7 — — (31 ) — (19 ) 106 1 Other 171 1 (2 ) — — — (7 ) 19 — 182 1 Total U.S. corporate 2,419 24 (84 ) 294 (16 ) — (191 ) 137 (254 ) 2,329 19 Non-U.S. Utilities 328 — (4 ) 18 — — (46 ) — (9 ) 287 — Energy 324 (1 ) (21 ) 15 (24 ) — (41 ) — — 252 (1 ) Finance and insurance 221 5 (6 ) 21 — — (26 ) — (24 ) 191 3 Consumer—non-cyclical 197 — (1 ) 15 — — (41 ) — (1 ) 169 — Technology and communications 42 — (4 ) 24 — — — — — 62 — Industrial 131 — (4 ) 7 — — (18 ) 1 (33 ) 84 — Capital goods 237 — (7 ) — — — (17 ) — — 213 — Consumer—cyclical 89 — (2 ) — — — — 15 (31 ) 71 — Transportation 154 — (2 ) — — — (8 ) — — 144 — Other 81 — 2 — — — (11 ) — — 72 — Total non-U.S. 1,804 4 (49 ) 100 (24 ) — (208 ) 16 (98 ) 1,545 2 Residential mortgage-backed 65 — (1 ) 58 — — (10 ) 76 (72 ) 116 — Commercial mortgage-backed 5 — (1 ) 9 — — (2 ) 13 (14 ) 10 — Other asset-backed 1,420 2 2 152 (190 ) — (267 ) 164 (141 ) 1,142 — Total fixed maturity securities 5,754 33 (127 ) 618 (230 ) — (680 ) 406 (594 ) 5,180 24 Equity securities 34 — — 1 (6 ) — — 9 — 38 — Other invested assets: Derivative assets: Credit default swaps 3 1 — — — — (3 ) — — 1 1 Equity index options 17 (25 ) — 38 — — — — — 30 (3 ) Other foreign currency contracts — (2 ) — 5 — — — — — 3 (1 ) Total derivative assets 20 (26 ) — 43 — — (3 ) — — 34 (3 ) Total other invested assets 20 (26 ) — 43 — — (3 ) — — 34 (3 ) Restricted other invested assets related to securitization entities (2) 230 2 — — — — — — — 232 2 Reinsurance recoverable (3) 13 1 — — — 3 — — — 17 1 Total Level 3 assets $ 6,051 $ 10 $ (127 ) $ 662 $ (236 ) $ 3 $ (683 ) $ 415 $ (594 ) $ 5,501 $ 24 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) See note 17 for additional information related to consolidated securitization entities. (3) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of January 1, Total realized and Transfer (1) Transfer (1) Ending as of December 31, Total gains to assets (Amounts in millions) Included Included Purchases Sales Issuances Settlements Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5 $ — $ — $ — $ — $ — $ (1 ) $ — $ — $ 4 $ — State and political subdivisions 27 2 (4 ) 5 — — — — — 30 2 Non-U.S. 23 — — 2 — — (2 ) — (16 ) 7 — U.S. corporate: Utilities 420 — 11 12 — — (5 ) 58 (52 ) 444 — Energy 281 — — 40 — — (4 ) 27 (59 ) 285 — Finance and insurance 433 14 23 39 (1 ) — (10 ) 155 (37 ) 616 3 Consumer—non-cyclical 224 2 2 — (38 ) — (60 ) 10 — 140 — Technology and communications 60 3 5 — (20 ) — (13 ) 10 — 45 3 Industrial 24 2 1 27 — — (15 ) — (3 ) 36 — Capital goods 139 — 3 8 — — — 31 (15 ) 166 — Consumer—cyclical 386 1 1 62 (1 ) — (86 ) — — 363 1 Transportation 196 2 4 10 — — (11 ) — (48 ) 153 2 Other 210 2 8 8 — — (47 ) 10 (20 ) 171 1 Total U.S. corporate 2,373 26 58 206 (60 ) — (251 ) 301 (234 ) 2,419 10 Non-U.S. Utilities 260 — 6 54 — — (14 ) 22 — 328 — Energy 320 — (14 ) 55 — — (48 ) 20 (9 ) 324 — Finance and insurance 181 3 32 71 (42 ) — (8 ) 21 (37 ) 221 2 Consumer—non-cyclical 212 — (4 ) 35 — — (46 ) — — 197 — Technology and communications 58 — (1 ) 20 (35 ) — — — — 42 — Industrial 151 — 2 — (12 ) — — — (10 ) 131 — Capital goods 299 1 (3 ) 30 (35 ) — (52 ) 10 (13 ) 237 — Consumer—cyclical 96 — — 6 — — (13 ) — — 89 — Transportation 153 — 1 11 — — (25 ) 14 — 154 — Other 89 — (11 ) — — — (17 ) 20 — 81 — Total non-U.S. 1,819 4 8 282 (124 ) — (223 ) 107 (69 ) 1,804 2 Residential mortgage-backed 104 — (3 ) 16 (23 ) — (9 ) 13 (33 ) 65 — Commercial mortgage-backed 6 — 2 — — — (2 ) 7 (8 ) 5 — Other asset-backed 1,166 5 (3 ) 298 (15 ) — (181 ) 244 (94 ) 1,420 1 Total fixed maturity securities 5,523 37 58 809 (222 ) — (669 ) 672 (454 ) 5,754 15 Equity securities 78 — — 1 (38 ) — — — (7 ) 34 — Other invested assets: Trading securities 34 — — — — — (3 ) — (31 ) — — Derivative assets: Credit default swaps 10 — — — — — (7 ) — — 3 — Equity index options 12 (31 ) — 36 — — — — — 17 (28 ) Other foreign currency contracts 3 (2 ) — — (1 ) — — — — — — Total derivative assets 25 (33 ) — 36 (1 ) — (7 ) — — 20 (28 ) Total other invested assets 59 (33 ) — 36 (1 ) — (10 ) — (31 ) 20 (28 ) Restricted other invested assets related to securitization entities (2) 211 19 — — — — — — — 230 18 Reinsurance recoverable (3) (1 ) 11 — — — 3 — — — 13 11 Total Level 3 assets $ 5,870 $ 34 $ 58 $ 846 $ (261 ) $ 3 $ (679 ) $ 672 $ (492 ) $ 6,051 $ 16 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads. (2) See note 17 for additional information related to consolidated securitization entities. (3) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Gains and Losses Included in Net Income (Loss) from Assets Measured at Fair Value | The following table presents the gains and losses included in net loss from assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value and the related income statement line item in which these gains and losses were presented for the years ended December 31: (Amounts in millions) 2016 2015 2014 Total realized and unrealized gains (losses) included in net loss: Net investment income $ 44 $ 42 $ 44 Net investment gains (losses) (70 ) (32 ) (10 ) Total $ (26 ) $ 10 $ 34 Total gains (losses) included in net loss attributable to assets still held: Net investment income $ 30 $ 33 $ 19 Net investment gains (losses) (13 ) (9 ) (3 ) Total $ 17 $ 24 $ 16 |
Summary of Significant Unobservable Inputs Used for Certain Asset Fair Value Measurements | The following table presents a summary of the significant unobservable inputs used for certain asset fair value measurements that are based on internal models and classified as Level 3 as of December 31, 2016: (Amounts in millions) Valuation technique Fair value Unobservable input Range Weighted-average Fixed maturity securities: U.S. corporate: Utilities Internal models $ 557 Credit spreads 92bps - 405bps 145bps Energy Internal models 73 Credit spreads 109bps - 312bps 176bps Finance and insurance Internal models 717 Credit spreads 84bps - 455bps 224bps Consumer—non-cyclical Internal models 121 Credit spreads 100bps - 247bps 172bps Technology and communications Internal models 54 Credit spreads 96bps - 371bps 307bps Industrial Internal models 48 Credit spreads 121bps - 254bps 191bps Capital goods Internal models 152 Credit spreads 79bps - 298bps 144bps Consumer—cyclical Internal models 234 Credit spreads 79bps - 296bps 187bps Transportation Internal models 131 Credit spreads 79bps - 259bps 166bps Other Internal models 128 Credit spreads 89bps - 173bps 114bps Total U.S. corporate Internal models $ 2,215 Credit spreads 79bps - 455bps 182bps Non-U.S. Utilities Internal models $ 380 Credit spreads 101bps - 163bps 129bps Energy Internal models 133 Credit spreads 117bps - 186bps 147bps Finance and insurance Internal models 172 Credit spreads 95bps - 223bps 141bps Consumer—non-cyclical Internal models 127 Credit spreads 79bps - 232bps 146bps Technology and communications Internal models 67 Credit spreads 121bps - 274bps 190bps Industrial Internal models 100 Credit spreads 117bps - 226bps 175bps Capital goods Internal models 121 Credit spreads 117bps - 186bps 142bps Consumer—cyclical Internal models 69 Credit spreads 109bps - 168bps 139bps Transportation Internal models 152 Credit spreads 100bps - 250bps 140bps Other Internal models 12 Credit spreads 96bps - 1,000bps 303bps Total non-U.S. Internal models $ 1,333 Credit spreads 79bps - 1,000bps 145bps Derivative assets: Equity index options Discounted cash $ 72 Equity index — % - 26% 17% Other foreign currency contracts Discounted cash $ 3 Interest rate volatility 29% Not applicable 9% - 12% 11% |
Liabilities by Class of Instrument that are Measured at Fair Value on Recurring Basis | The following tables set forth our liabilities by class of instrument that are measured at fair value on a recurring basis as of December 31: 2016 (Amounts in millions) Total Level 1 Level 2 Level 3 Liabilities Policyholder account balances: GMWB embedded derivatives (1) $ 303 $ — $ — $ 303 Fixed index annuity embedded derivatives 344 — — 344 Indexed universal life embedded derivatives 11 — — 11 Total policyholder account balances 658 — — 658 Derivative liabilities: Interest rate swaps 349 — 349 — Foreign currency swaps 5 — 5 — Credit default swaps related to securitization entities (2) 1 — 1 — Equity return swaps 1 — 1 — Other foreign currency contracts 27 — 27 — Total derivative liabilities 383 — 383 — Borrowings related to securitization entities (2) 12 — — 12 Total liabilities $ 1,053 $ — $ 383 $ 670 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (2) See note 17 for additional information related to consolidated securitization entities. 2015 (Amounts in millions) Total Level 1 Level 2 Level 3 Liabilities Policyholder account balances: GMWB embedded derivatives (1) $ 352 $ — $ — $ 352 Fixed index annuity embedded derivatives 342 — — 342 Indexed universal life embedded derivatives 10 — — 10 Total policyholder account balances 704 — — 704 Derivative liabilities: Interest rate swaps 220 — 220 — Interest rate swaps related to securitization entities (2) 30 — 30 — Inflation indexed swaps 33 — 33 — Foreign currency swaps 27 — 27 — Credit default swaps related to securitization entities (2) 14 — — 14 Equity return swaps 1 — 1 — Other foreign currency contracts 34 — 34 — Total derivative liabilities 359 — 345 14 Borrowings related to securitization entities (2) 81 — — 81 Total liabilities $ 1,144 $ — $ 345 $ 799 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (2) See note 17 for additional information related to consolidated securitization entities. |
Liabilities Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value | The following tables present additional information about liabilities measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning January 1, Total realized and unrealized (gains) losses Transfer into Transfer out of Ending as of December 31, Total (gains) to liabilities (Amounts in millions) Included Included Purchases Sales Issuances Settlements Policyholder account balances: GMWB embedded derivatives (1) $ 352 $ (79 ) $ — $ — $ — $ 30 $ — $ — $ — $ 303 $ (73 ) Fixed index annuity embedded derivatives 342 22 — — — 10 (30 ) — — 344 22 Indexed universal life embedded derivatives 10 (10 ) — — — 11 — — — 11 (10 ) Total policyholder account balances 704 (67 ) — — — 51 (30 ) — — 658 (61 ) Derivative liabilities: Credit default swaps related to securitization entities (2) 14 (13 ) — — — 2 — — (3 ) — — Total derivative liabilities 14 (13 ) — — — 2 — — (3 ) — — Borrowings related to securitization entities (2) 81 (63 ) — — — — (6 ) — — 12 1 Total Level 3 liabilities $ 799 $ (143 ) $ — $ — $ — $ 53 $ (36 ) $ — $ (3 ) $ 670 $ (60 ) (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (2) See note 17 for additional information related to consolidated securitization entities. Beginning as of January 1, Total realized and unrealized (gains) losses Transfer into Transfer out of Ending as of December 31, Total (gains) to liabilities (Amounts in millions) Included Included Purchases Sales Issuances Settlements Policyholder account balances: GMWB embedded (1) $ 291 $ 26 $ — $ — $ — $ 35 $ — $ — $ — $ 352 $ 30 Fixed index annuity embedded derivatives 276 7 — — — 65 (6 ) — — 342 7 Indexed universal life embedded derivatives 7 (6 ) — — — 9 — — — 10 (6 ) Total policyholder account balances 574 27 — — — 109 (6 ) — — 704 31 Derivative liabilities: Credit default swaps related to securitization entities (2) 17 (7 ) — 4 — — — — — 14 21 Total derivative liabilities 17 (7 ) — 4 — — — — — 14 21 Borrowings related to securitization entities (2) 85 (4 ) — — — — — — — 81 (4 ) Total Level 3 liabilities $ 676 $ 16 $ — $ 4 $ — $ 109 $ (6 ) $ — $ — $ 799 $ 48 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (2) See note 17 for additional information related to consolidated securitization entities. Beginning as of January 1, Total realized and unrealized (gains) losses Transfer into Transfer out of Ending as of December 31, Total (gains) to liabilities (Amounts in millions) Included Included Purchases Sales Issuances Settlements Policyholder account balances: GMWB embedded (1) $ 96 $ 158 $ — $ — $ — $ 37 $ — $ — $ — $ 291 $ 160 Fixed index annuity embedded derivatives 143 27 — — — 108 (2 ) — — 276 27 Indexed universal life embedded derivatives — 1 — — — 6 — — — 7 1 Total policyholder account balances 239 186 — — — 151 (2 ) — — 574 188 Derivative liabilities: Credit default swaps related to securitization entities (2) 32 (19 ) — 4 — — — — — 17 (19 ) Other foreign current contracts 1 1 — — (2 ) — — — — — — Total derivative liabilities 33 (18 ) — 4 (2 ) — — — — 17 (19 ) Borrowings related to securitization entities (2) 75 9 — — — 1 — — — 85 9 Total Level 3 liabilities $ 347 $ 177 $ — $ 4 $ (2 ) $ 152 $ (2 ) $ — $ — $ 676 $ 178 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (2) See note 17 for additional information related to consolidated securitization entities. |
Gains and Losses Included in Net (Income) Loss from Liabilities Measured at Fair Value | The following table presents the gains and losses included in net loss from liabilities measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value and the related income statement line item in which these gains and losses were presented for the years ended December 31: (Amounts in millions) 2016 2015 2014 Total realized and unrealized (gains) losses included in net loss: Net investment income $ — $ — $ — Net investment (gains) losses (79 ) 16 177 Other income (64 ) — — Total $ (143 ) $ 16 $ 177 Total (gains) losses included in net loss attributable to liabilities still held: Net investment income $ — $ — $ — Net investment (gains) losses (60 ) 48 178 Total $ (60 ) $ 48 $ 178 |
Summary of Significant Unobservable Inputs Used for Certain Liability Fair Value Measurements | The following table presents a summary of the significant unobservable inputs used for certain liability fair value measurements that are based on internal models and classified as Level 3 as of December 31, 2016: (Amounts in millions) Valuation technique Fair value Unobservable input Range Weighted- Policyholder account balances: Withdrawal utilization rate 38% - 82% 63% Lapse rate — % - 15% 4% Non-performance risk (credit spreads) 40bps - 85bps 73bps GMWB embedded derivatives (1) Stochastic cash flow $ 303 Equity index 16% - 24% 21% Fixed index annuity embedded derivatives Option budget $ 344 Expected future — % - 3% 2% Indexed universal life embedded derivatives Option budget $ 11 Expected future 3% - 9% 5% (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Variable Interest and Securit50
Variable Interest and Securitization Entities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Securitized Assets | The following table summarizes the total securitized assets as of December 31: (Amounts in millions) 2016 2015 Receivables secured by: Other assets $ — $ 136 Total securitized assets not required to be consolidated — 136 Total securitized assets required to be consolidated 129 267 Total securitized assets $ 129 $ 403 |
Schedule of Variable Interest Entities | The following table shows the assets and liabilities that were recorded for the consolidated securitization entities as of December 31: (Amounts in millions) 2016 2015 Assets Investments: Restricted commercial mortgage loans $ 129 $ 161 Restricted other invested assets: Trading securities 312 413 Total restricted other invested assets 312 413 Total investments 441 574 Cash and cash equivalents 1 1 Accrued investment income 1 1 Other assets 1 5 Total assets $ 444 $ 581 Liabilities Other liabilities: Derivative liabilities $ 1 $ 44 Other liabilities — 2 Total other liabilities 1 46 Borrowings related to securitization entities 74 179 Total liabilities $ 75 $ 225 |
Schedule of Income Statement Activity Related to Variable Interest Entities | The following table shows the activity presented in our consolidated statement of income related to the consolidated securitization entities for the years ended December 31: (Amounts in millions) 2016 2015 2014 Revenues: Net investment income: Restricted commercial mortgage loans $ 10 $ 14 $ 14 Restricted other invested assets 3 5 5 Total net investment income 13 19 19 Net investment gains (losses): Derivatives 8 3 10 Trading securities (57 ) (2 ) 15 Borrowings related to securitization entities recorded at fair value (1 ) 4 (9 ) Total net investment gains (losses) (50 ) 5 16 Other income 64 — — Total revenues 27 24 35 Expenses: Interest expense 7 9 10 Total expenses 7 9 10 Income before income taxes 20 15 25 Provision for income taxes 7 5 9 Net income $ 13 $ 10 $ 16 |
Borrowings Related to Consolidated Securitization Entities | Borrowings related to securitization entities were as follows as of December 31: 2016 2015 (Amounts in millions) Principal Carrying Principal Carrying GFCM LLC, due 2035, 5.7426% $ 62 $ 62 $ 98 $ 98 Marvel Finance 2007-4 (1), (2) 12 12 12 10 Genworth Special Purpose Five, LLC, due 2040 (1), (2) — — NA (3) 71 Total $ 74 $ 74 $ 110 $ 179 (1) Accrual of interest based on three-month LIBOR that resets every three months plus a fixed margin. (2) Carrying value represents fair value as a result of electing fair value option for these liabilities. (3) Principal amount not applicable. Notional balance was $118 million as of December 31, 2015. |
Insurance Subsidiary Financia51
Insurance Subsidiary Financial Information and Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Combined Statutory Net Income (Loss) and Statutory Capital and Surplus | The tables below include the combined statutory net income (loss) and statutory capital and surplus for our U.S. domiciled insurance subsidiaries for the periods indicated: Years ended December 31, (Amounts in millions) 2016 2015 2014 Combined statutory net income (loss): Life insurance subsidiaries, excluding captive life reinsurance subsidiaries (1) $ (365 ) $ (583 ) $ (179 ) Mortgage insurance subsidiaries 448 287 198 Combined statutory net income (loss), excluding captive reinsurance subsidiaries 83 (296 ) 19 Captive life insurance subsidiaries (403 ) (276 ) (281 ) Combined statutory net income (loss) $ (320 ) $ (572 ) $ (262 ) (1) The combined statutory net loss for the year ended December 31, 2015 was re-presented as if the merger of BLAIC with and into GLIC discussed above occurred on January 1, 2015 in accordance with the statutory merger method. However, we did not re-present the combined statutory net loss for the year ended December 31, 2014 in accordance with statutory accounting principles and, therefore, the amounts are not comparable. As of December 31, (Amounts in millions) 2016 2015 Combined statutory capital and surplus: Life insurance subsidiaries, excluding captive life reinsurance subsidiaries (1) $ 3,100 $ 3,238 Mortgage insurance subsidiaries 2,201 1,722 Combined statutory capital and surplus $ 5,301 $ 4,960 (1) The combined statutory capital and surplus as of December 31, 2015 was re-presented as if the merger of BLAIC with and into GLIC discussed above occurred on January 1, 2015 in accordance with the statutory merger method. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Segments and Corporate and Other Activities | The following is a summary of our segments and Corporate and Other activities as of or for the years ended December 31: 2016 U.S. Canada Australia U.S. Life Runoff Corporate Total (Amounts in millions) Premiums $ 660 $ 481 $ 337 $ 2,670 $ — $ 12 $ 4,160 Net investment income 63 126 94 2,726 147 3 3,159 Net investment gains (losses) (1 ) 37 9 128 (14 ) (87 ) 72 Policy fees and other income 4 1 — 726 169 78 978 Total revenues 726 645 440 6,250 302 6 8,369 Benefits and other changes in policy reserves 160 104 113 4,822 42 4 5,245 Interest credited — — — 565 131 — 696 Acquisition and operating expenses, net of deferrals 167 77 96 648 68 217 1,273 Amortization of deferred acquisition costs and intangibles 12 39 14 403 29 1 498 Interest expense — 18 10 38 1 270 337 Total benefits and expenses 339 238 233 6,476 271 492 8,049 Income (loss) from continuing operations before income taxes 387 407 207 (226 ) 31 (486 ) 320 Provision (benefit) for income taxes 138 113 67 (80 ) 6 114 358 Income (loss) from continuing operations 249 294 140 (146 ) 25 (600 ) (38 ) Loss from discontinued operations, net of taxes — — — — — (29 ) (29 ) Net income (loss) 249 294 140 (146 ) 25 (629 ) (67 ) Less: net income attributable to noncontrolling interests — 135 75 — — — 210 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 249 $ 159 $ 65 $ (146 ) $ 25 $ (629 ) $ (277 ) Segment assets $ 2,674 $ 4,884 $ 2,619 $ 81,933 $ 11,352 $ 1,196 $ 104,658 Assets held for sale — — — — — — — Total assets $ 2,674 $ 4,884 $ 2,619 $ 81,933 $ 11,352 $ 1,196 $ 104,658 2015 U.S. Canada Australia U.S. Life Runoff Corporate Total (Amounts in millions) Premiums $ 602 $ 466 $ 357 $ 3,128 $ 1 $ 25 $ 4,579 Net investment income 58 130 114 2,701 138 (3 ) 3,138 Net investment gains (losses) 1 (32 ) 6 (10 ) (69 ) 29 (75 ) Policy fees and other income 4 — (3 ) 726 189 (10 ) 906 Total revenues 665 564 474 6,545 259 41 8,548 Benefits and other changes in policy reserves 222 96 81 4,692 44 14 5,149 Interest credited — — — 596 124 — 720 Acquisition and operating expenses, net of deferrals 155 66 98 684 76 230 1,309 Amortization of deferred acquisition costs and intangibles 10 36 18 872 29 1 966 Interest expense — 18 10 92 1 298 419 Total benefits and expenses 387 216 207 6,936 274 543 8,563 Income (loss) from continuing operations before income taxes 278 348 267 (391 ) (15 ) (502 ) (15 ) Provision (benefit) for income taxes 99 90 80 (138 ) (10 ) (130 ) (9 ) Income (loss) from continuing operations 179 258 187 (253 ) (5 ) (372 ) (6 ) Loss from discontinued operations, net of taxes — — — — — (407 ) (407 ) Net income (loss) 179 258 187 (253 ) (5 ) (779 ) (413 ) Less: net income attributable to noncontrolling interests — 118 84 — — — 202 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 179 $ 140 $ 103 $ (253 ) $ (5 ) $ (779 ) $ (615 ) Segment assets $ 2,899 $ 4,520 $ 2,987 $ 79,530 $ 12,115 $ 4,253 $ 106,304 Assets held for sale — — — — — 127 127 Total assets $ 2,899 $ 4,520 $ 2,987 $ 79,530 $ 12,115 $ 4,380 $ 106,431 2014 U.S. Canada Australia U.S. Life Runoff Corporate Total (Amounts in millions) Premiums $ 578 $ 515 $ 406 $ 3,169 $ 3 $ 29 $ 4,700 Net investment income 59 155 144 2,665 129 (10 ) 3,142 Net investment gains (losses) — (2 ) 3 41 (66 ) 2 (22 ) Policy fees and other income 2 1 (16 ) 712 209 1 909 Total revenues 639 669 537 6,587 275 22 8,729 Benefits and other changes in policy reserves 357 102 78 5,820 37 24 6,418 Interest credited — — — 618 119 — 737 Acquisition and operating expenses, net of deferrals 140 90 97 658 84 69 1,138 Amortization of deferred acquisition costs and intangibles 7 38 21 345 39 3 453 Goodwill impairment — — — 849 — — 849 Interest expense — 21 10 87 1 314 433 Total benefits and expenses 504 251 206 8,377 280 410 10,028 Income (loss) from continuing operations before income taxes 135 418 331 (1,790 ) (5 ) (388 ) (1,299 ) Provision (benefit) for income taxes 44 111 248 (385 ) (19 ) (93 ) (94 ) Income (loss) from continuing operations 91 307 83 (1,405 ) 14 (295 ) (1,205 ) Income from discontinued operations, net of taxes — — — — — 157 157 Net income (loss) 91 307 83 (1,405 ) 14 (138 ) (1,048 ) Less: net income attributable to noncontrolling interests — 140 56 — — — 196 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 91 $ 167 $ 27 $ (1,405 ) $ 14 $ (138 ) $ (1,244 ) |
Summary of Revenues of Major Product Groups for Segments and Corporate and Other Activities | The following is a summary of revenues of major product groups for our segments and Corporate and Other activities for the years ended December 31: (Amounts in millions) 2016 2015 2014 Revenues: U.S. Mortgage Insurance segment $ 726 $ 665 $ 639 Canada Mortgage Insurance segment 645 564 669 Australia Mortgage Insurance segment 440 474 537 U.S. Life Insurance segment: Long-term 4,037 3,752 3,523 Life insurance 1,381 1,902 1,981 Fixed annuities 832 891 1,083 U.S. Life Insurance segment 6,250 6,545 6,587 Runoff segment 302 259 275 Corporate and Other activities 6 41 22 Total revenues $ 8,369 $ 8,548 $ 8,729 |
Summary of Net Operating Income (Loss) for Segments and Corporate and Other Activities | The following tables present the reconciliation of net loss available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders for our segments and Corporate and Other activities and a summary of adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders for our segments and Corporate and Other activities for the years ended December 31: (Amounts in millions) 2016 2015 2014 Net loss available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (615 ) $ (1,244 ) Add: net income attributable to noncontrolling interests 210 202 196 Net loss (67 ) (413 ) (1,048 ) Income (loss) from discontinued operations, net of taxes (29 ) (407 ) 157 Loss from continuing operations (38 ) (6 ) (1,205 ) Less: income from continuing operations attributable to noncontrolling interests 210 202 196 Loss from continuing operations available to Genworth Financial, Inc.’s common stockholders (248 ) (208 ) (1,401 ) Adjustments to loss from continuing operations available to Genworth Financial, Inc.’s common stockholders: Net investment (gains) losses, net (1) (66 ) 30 8 Goodwill impairment — — 849 (Gains) losses from sale of businesses (3 ) 140 — (Gains) losses on early extinguishment of debt, net (2) (48 ) 2 4 Losses from life block transactions 9 455 — Expenses related to restructuring 22 8 — Tax impact from potential business portfolio changes — — 205 Fees associated with bond consent solicitation 18 — — Taxes on adjustments — (172 ) (63 ) Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (316 ) $ 255 $ (398 ) (1) For the years ended December 31, 2016, 2015 and 2014, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(14) million, $(35) million and $(14) million, respectively, and adjusted for net investment (gains) losses attributable to noncontrolling interests of $20 million, $(10) million and zero, respectively. (2) For the years ended December 31, 2015 and 2014, (gains) losses on the early extinguishment of debt were adjusted for the portion attributable to noncontrolling interests of $1 million and $2 million, respectively. |
Schedule of Revenue, Net Income and Assets by Geographic Location | The following is a summary of geographic region activity as of or for the years ended December 31: 2016 (Amounts in millions) United Canada Australia Other Total Total Total revenues $ 7,270 $ 645 $ 440 $ 14 $ 1,099 $ 8,369 Income (loss) from continuing operations $ (447 ) $ 294 $ 140 $ (25 ) $ 409 $ (38 ) Net income (loss) $ (494 ) $ 294 $ 140 $ (7 ) $ 427 $ (67 ) Segment assets $ 97,107 $ 4,884 $ 2,619 $ 48 $ 7,551 $ 104,658 Assets held for sale $ — $ — $ — $ — $ — $ — Total assets $ 97,107 $ 4,884 $ 2,619 $ 48 $ 7,551 $ 104,658 2015 (Amounts in millions) United Canada Australia Other Total Total Total revenues $ 7,483 $ 564 $ 474 $ 27 $ 1,065 $ 8,548 Income (loss) from continuing operations $ (430 ) $ 258 $ 187 $ (21 ) $ 424 $ (6 ) Net income (loss) $ (430 ) $ 258 $ 187 $ (428 ) $ 17 $ (413 ) Segment assets $ 98,738 $ 4,520 $ 2,987 $ 59 $ 7,566 $ 106,304 Assets held for sale $ — $ — $ — $ 127 $ 127 $ 127 Total assets $ 98,738 $ 4,520 $ 2,987 $ 186 $ 7,693 $ 106,431 2014 (Amounts in millions) United Canada Australia Other Total Total Total revenues $ 7,487 $ 669 $ 537 $ 36 $ 1,242 $ 8,729 Income (loss) from continuing operations $ (1,570 ) $ 307 $ 83 $ (25 ) $ 365 $ (1,205 ) Net income (loss) $ (1,570 ) $ 307 $ 83 $ 132 $ 522 $ (1,048 ) |
Quarterly Results of Operatio53
Quarterly Results of Operations (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Results of Operations | Our unaudited quarterly results of operations for the year ended December 31, 2016 are summarized in the table below. Three months ended (Amounts in millions, except per share amounts) March 31, June 30, September 30, December 31, Total revenues (1) $ 1,785 $ 2,236 $ 2,150 $ 2,198 Total benefits and expenses (2) $ 1,635 $ 1,885 $ 2,275 $ 2,254 Income (loss) from continuing operations (3) $ 127 $ 241 $ (347 ) $ (59 ) Income (loss) from discontinued operations, net of taxes $ (19 ) $ (21 ) $ 15 $ (4 ) Net income (loss) (3) $ 108 $ 220 $ (332 ) $ (63 ) Net income attributable to noncontrolling interests $ 55 $ 48 $ 48 $ 59 Net income (loss) available to Genworth Financial, Inc.’s common stockholders (3) $ 53 $ 172 $ (380 ) $ (122 ) Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.14 $ 0.39 $ (0.79 ) $ (0.24 ) Diluted $ 0.14 $ 0.39 $ (0.79 ) $ (0.24 ) Net income (loss) available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.11 $ 0.35 $ (0.76 ) $ (0.25 ) Diluted $ 0.11 $ 0.34 $ (0.76 ) $ (0.25 ) Weighted-average common shares outstanding: Basic 498.0 498.5 498.3 498.4 Diluted (4) 499.4 500.4 498.3 498.4 (1) We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. (2) We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. (3) We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. (4) Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2016 and December 31, 2016, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2016 and December 31, 2016, as the inclusion of shares for stock options, RSUs and SARs of 2.2 million and 2.5 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2016 and December 31, 2016, dilutive potential weighted-average common shares outstanding would have been 500.5 million and 500.9 million, respectively. Our unaudited quarterly results of operations for the year ended December 31, 2015 are summarized in the table below. Three months ended (Amounts in millions, except per share amounts) March 31, June 30, September 30, December 31, Total revenues (1) $ 2,135 $ 2,157 $ 2,100 $ 2,156 Total benefits and expenses (2) $ 1,841 $ 1,912 $ 2,451 $ 2,359 Income (loss) from continuing operations (3) $ 203 $ 175 $ (217 ) $ (167 ) Income from discontinued operations, net of taxes (4) $ 1 $ (314 ) $ (21 ) $ (73 ) Net income (loss) (3), (4) $ 204 $ (139 ) $ (238 ) $ (240 ) Net income attributable to noncontrolling interests $ 50 $ 54 $ 46 $ 52 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ 154 $ (193 ) $ (284 ) $ (292 ) Income (loss) from continuing operations available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.31 $ 0.24 $ (0.53 ) $ (0.44 ) Diluted $ 0.31 $ 0.24 $ (0.53 ) $ (0.44 ) Net income (loss) available to Genworth Financial, Inc.’s common stockholders per common share: Basic $ 0.31 $ (0.39 ) $ (0.57 ) $ (0.59 ) Diluted $ 0.31 $ (0.39 ) $ (0.57 ) $ (0.59 ) Weighted-average common shares outstanding: Basic 497.0 497.4 497.4 497.6 Diluted (5) 498.9 499.3 497.4 497.6 (1) We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. (2) We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. (3) We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. (4) We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. (5) Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2015 and December 31, 2015, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2015 and December 31, 2015, as the inclusion of shares for stock options, RSUs and SARs of 1.3 million and 1.4 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.’s common stockholders for the three months ended September 30, 2015 and December 31, 2015, dilutive potential weighted-average common shares outstanding would have been 498.7 million and 499.0 million, respectively. |
Changes In Accumulated Other 54
Changes In Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Component of Changes in Accumulated Other Comprehensive Income (Loss), Net of Taxes | The following tables show the changes in accumulated other comprehensive income (loss), net of taxes, by component as of and for the periods indicated: (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2016 $ 1,254 $ 2,045 $ (289 ) $ 3,010 OCI before reclassifications 54 120 54 228 Amounts reclassified from (to) OCI (57 ) (80 ) — (137 ) Current period OCI (3 ) 40 54 91 Balances as of December 31, 2016 before noncontrolling interests 1,251 2,085 (235 ) 3,101 Less: change in OCI attributable to noncontrolling interests (11 ) — 18 7 Balances as of December 31, 2016 $ 1,262 $ 2,085 $ (253 ) $ 3,094 (1) Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2015 $ 2,453 $ 2,070 $ (77 ) $ 4,446 OCI before reclassifications (1,218 ) 50 (530 ) (1,698 ) Amounts reclassified from (to) OCI 5 (75 ) — (70 ) Current period OCI (1,213 ) (25 ) (530 ) (1,768 ) Balances as of December 31, 2015 before noncontrolling interests 1,240 2,045 (607 ) 2,678 Less: change in OCI attributable to noncontrolling interests (14 ) — (318 ) (332 ) Balances as of December 31, 2015 $ 1,254 $ 2,045 $ (289 ) $ 3,010 (1) Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2014 $ 926 $ 1,319 $ 297 $ 2,542 OCI before reclassifications 1,595 788 (537 ) 1,846 Amounts reclassified from (to) OCI (12 ) (37 ) — (49 ) Current period OCI 1,583 751 (537 ) 1,797 Balances as of December 31, 2014 before noncontrolling interests 2,509 2,070 (240 ) 4,339 Less: change in OCI attributable to noncontrolling interests 56 — (163 ) (107 ) Balances as of December 31, 2014 $ 2,453 $ 2,070 $ (77 ) $ 4,446 (1) Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. |
Reclassifications in (out) of Accumulated Other Comprehensive Income (Loss), Net of Taxes | The following table shows reclassifications out of accumulated other comprehensive income (loss), net of taxes, for the periods presented: Amount reclassified from accumulated Affected line item in of income Years ended December 31, (Amounts in millions) 2016 2015 2014 Net unrealized investment (gains) losses: Unrealized (gains) losses on investments (1) $ (88 ) $ 7 $ (19 ) Net investment (gains) losses (Provision) benefit for income taxes 31 (2 ) 7 (Provision) benefit for income taxes Total $ (57 ) $ 5 $ (12 ) Derivatives qualifying as hedges: Interest rate swaps hedging assets $ (112 ) $ (85 ) $ (63 ) Net investment income Interest rate swaps hedging assets (2 ) — (2 ) Net investment (gains) losses Interest rate swaps hedging liabilities — — (1 ) Interest expense Inflation indexed swaps (2 ) — 9 Net investment income Inflation indexed swaps (7 ) — — Net investment (gains) losses Forward bond purchase commitments — (1 ) — Net investment income Forward bond purchase commitments — (32 ) — Net investment (gains) losses (Provision) benefit for income taxes 43 43 20 (Provision) benefit for income taxes Total $ (80 ) $ (75 ) $ (37 ) (1) Amounts exclude adjustments to DAC, PVFP, sales inducements and benefit reserves. |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Changes in Ownership Interests and the Effect on Stockholders' Equity | A summary of the changes in ownership interests and the effect on stockholders’ equity as a result of the IPO of Genworth Australia was as follows for the years ended December 31: (Amounts in millions) 2015 2014 Net loss available to Genworth Financial, Inc.’s common stockholders $ (615 ) $ (1,244 ) Transfers to the noncontrolling interests: Decrease in Genworth Financial, Inc.’s additional paid-in — (145 ) Decrease in Genworth Financial, Inc.’s additional paid-in (65 ) — Net transfers to noncontrolling interests (65 ) (145 ) Change from net loss available to Genworth Financial, Inc.’s common stockholders and transfers to noncontrolling interests $ (680 ) $ (1,389 ) |
Sale of Businesses (Tables)
Sale of Businesses (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Balance Sheet Information for Held for Sale | The major assets and liability categories of our European mortgage insurance business were as follows as of December 31: (Amounts in millions) 2016 2015 Assets Investments: Fixed maturity securities available-for-sale, $ — $ 195 Other invested assets — 6 Total investments — 201 Cash and cash equivalents — 28 Accrued investment income — 3 Reinsurance recoverable — 21 Other assets — 14 Assets held for sale — 267 Fair value less closing costs impairment — (140 ) Total assets held for sale $ — $ 127 Liabilities Liability for policy and contract claims $ — $ 56 Unearned premiums — 58 Other liabilities — 12 Deferred tax liability — 1 Liabilities held for sale $ — $ 127 Summary operating results of discontinued operations were as follows for the years ended December 31: (Amounts in millions) 2016 2015 2014 Revenues: Premiums $ — $ 627 $ 731 Net investment income — 74 100 Net investment gains (losses) — — 2 Policy fees and other income — — 3 Total revenues — 701 836 Benefits and expenses: Benefits and other changes in policy reserves — 182 202 Acquisition and operating expenses — 396 447 Amortization of deferred acquisition costs and intangibles — 83 118 Interest expense — 29 46 Total benefits and expenses — 690 813 Income before income taxes and loss on sale — 11 23 Provision (benefit) for income taxes — 37 (134 ) Income (loss) before loss on sale — (26 ) 157 Loss on sale, net of taxes (29 ) (381 ) — Income (loss) from discontinued operations, net of taxes $ (29 ) $ (407 ) $ 157 |
Condensed Consolidating Finan57
Condensed Consolidating Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Consolidating Balance Sheet | The following table presents the condensed consolidating balance sheet information as of December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Assets Investments: Fixed maturity securities available-for-sale, $ — $ — $ 60,772 $ (200 ) $ 60,572 Equity securities available-for-sale, — — 632 — 632 Commercial mortgage loans — — 6,111 — 6,111 Restricted commercial mortgage loans related to securitization entities — — 129 — 129 Policy loans — — 1,742 — 1,742 Other invested assets — 105 1,966 — 2,071 Restricted other invested assets related to securitization entities, at fair value — — 312 — 312 Investments in subsidiaries 12,730 12,308 — (25,038 ) — Total investments 12,730 12,413 71,664 (25,238 ) 71,569 Cash and cash equivalents — 998 1,786 — 2,784 Accrued investment income — — 663 (4 ) 659 Deferred acquisition costs — — 3,571 — 3,571 Intangible assets and goodwill — — 348 — 348 Reinsurance recoverable — — 17,755 — 17,755 Other assets 9 134 530 — 673 Intercompany notes receivable — 84 67 (151 ) — Deferred tax assets 28 — (28 ) — — Separate account assets — — 7,299 — 7,299 Total assets $ 12,767 $ 13,629 $ 103,655 $ (25,393 ) $ 104,658 Liabilities and stockholders’ equity Liabilities: Future policy benefits $ — $ — $ 37,063 $ — $ 37,063 Policyholder account balances — — 25,662 — 25,662 Liability for policy and contract claims — — 9,256 — 9,256 Unearned premiums — — 3,378 — 3,378 Other liabilities 39 301 2,581 (5 ) 2,916 Intercompany notes payable 84 267 — (351 ) — Borrowings related to securitization entities — — 74 — 74 Non-recourse — — 310 — 310 Long-term — 3,716 464 — 4,180 Deferred tax liability — (816 ) 869 — 53 Separate account liabilities — — 7,299 — 7,299 Total liabilities 123 3,468 86,956 (356 ) 90,191 Equity: Common stock 1 — — — 1 Additional paid-in 11,962 9,097 20,252 (29,349 ) 11,962 Accumulated other comprehensive income (loss) 3,094 3,135 3,116 (6,251 ) 3,094 Retained earnings 287 (2,071 ) (8,792 ) 10,863 287 Treasury stock, at cost (2,700 ) — — — (2,700 ) Total Genworth Financial, Inc.’s stockholders’ equity 12,644 10,161 14,576 (24,737 ) 12,644 Noncontrolling interests — — 2,123 (300 ) 1,823 Total equity 12,644 10,161 16,699 (25,037 ) 14,467 Total liabilities and equity $ 12,767 $ 13,629 $ 103,655 $ (25,393 ) $ 104,658 The following table presents the condensed consolidating balance sheet information as of December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Assets Investments: Fixed maturity securities available-for-sale, $ — $ 150 $ 58,247 $ (200 ) $ 58,197 Equity securities available-for-sale, — — 310 — 310 Commercial mortgage loans — — 6,170 — 6,170 Restricted commercial mortgage loans related to securitization entities — — 161 — 161 Policy loans — — 1,568 — 1,568 Other invested assets — 114 2,198 (3 ) 2,309 Restricted other invested assets related to securitization entities, at fair value — — 413 — 413 Investments in subsidiaries 12,814 12,989 — (25,803 ) — Total investments 12,814 13,253 69,067 (26,006 ) 69,128 Cash and cash equivalents — 1,124 4,841 — 5,965 Accrued investment income — — 657 (4 ) 653 Deferred acquisition costs — — 4,398 — 4,398 Intangible assets and goodwill — — 357 — 357 Reinsurance recoverable — — 17,245 — 17,245 Other assets — 199 323 (2 ) 520 Intercompany notes receivable — 2 458 (460 ) — Deferred tax assets 25 1,038 (908 ) — 155 Separate account assets — — 7,883 — 7,883 Assets held for sale — — 127 — 127 Total assets $ 12,839 $ 15,616 $ 104,448 $ (26,472 ) $ 106,431 Liabilities and stockholders’ equity Liabilities: Future policy benefits $ — $ — $ 36,475 $ — $ 36,475 Policyholder account balances — — 26,209 — 26,209 Liability for policy and contract claims — — 8,095 — 8,095 Unearned premiums — — 3,308 — 3,308 Other liabilities 13 279 2,722 (10 ) 3,004 Intercompany notes payable 2 658 — (660 ) — Borrowings related to securitization entities — — 179 — 179 Non-recourse — — 1,920 — 1,920 Long-term — 4,078 492 — 4,570 Deferred tax liability — — 24 — 24 Separate account liabilities — — 7,883 — 7,883 Liabilities held for sale — — 127 — 127 Total liabilities 15 5,015 87,434 (670 ) 91,794 Equity: Common stock 1 — — — 1 Additional paid-in 11,949 9,097 17,007 (26,104 ) 11,949 Accumulated other comprehensive income (loss) 3,010 3,116 3,028 (6,144 ) 3,010 Retained earnings 564 (1,612 ) (5,134 ) 6,746 564 Treasury stock, at cost (2,700 ) — — — (2,700 ) Total Genworth Financial, Inc.’s stockholders’ equity 12,824 10,601 14,901 (25,502 ) 12,824 Noncontrolling interests — — 2,113 (300 ) 1,813 Total equity 12,824 10,601 17,014 (25,802 ) 14,637 Total liabilities and equity $ 12,839 $ 15,616 $ 104,448 $ (26,472 ) $ 106,431 |
Condensed Consolidating Income Statement | The following table presents the condensed consolidating income statement information for the year ended December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Revenues: Premiums $ — $ — $ 4,160 $ — $ 4,160 Net investment income (3 ) 2 3,175 (15 ) 3,159 Net investment gains (losses) — (1 ) 73 — 72 Policy fees and other income — (8 ) 986 — 978 Total revenues (3 ) (7 ) 8,394 (15 ) 8,369 Benefits and expenses: Benefits and other changes in policy reserves — — 5,245 — 5,245 Interest credited — — 696 — 696 Acquisition and operating expenses, net of deferrals 153 38 1,082 — 1,273 Amortization of deferred acquisition costs and intangibles — — 498 — 498 Interest expense 1 278 73 (15 ) 337 Total benefits and expenses 154 316 7,594 (15 ) 8,049 Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries (157 ) (323 ) 800 — 320 Provision (benefit) for income taxes (47 ) 71 334 — 358 Equity in loss of subsidiaries (166 ) (53 ) — 219 — Income (loss) from continuing operations (276 ) (447 ) 466 219 (38 ) Loss from discontinued operations, net of taxes (1 ) (12 ) (16 ) — (29 ) Net income (loss) (277 ) (459 ) 450 219 (67 ) Less: net income attributable to noncontrolling interests — — 210 — 210 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ (277 ) $ (459 ) $ 240 $ 219 $ (277 ) The following table presents the condensed consolidating income statement information for the year ended December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Revenues: Premiums $ — $ — $ 4,579 $ — $ 4,579 Net investment income (3 ) 1 3,154 (14 ) 3,138 Net investment gains (losses) — 43 (118 ) — (75 ) Policy fees and other income — (32 ) 940 (2 ) 906 Total revenues (3 ) 12 8,555 (16 ) 8,548 Benefits and expenses: Benefits and other changes in policy reserves — — 5,149 — 5,149 Interest credited — — 720 — 720 Acquisition and operating expenses, net of deferrals 32 2 1,275 — 1,309 Amortization of deferred acquisition costs and intangibles — — 966 — 966 Interest expense — 307 128 (16 ) 419 Total benefits and expenses 32 309 8,238 (16 ) 8,563 Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries (35 ) (297 ) 317 — (15 ) Provision (benefit) for income taxes (8 ) (103 ) 102 — (9 ) Equity in loss of subsidiaries (579 ) (463 ) — 1,042 — Income (loss) from continuing operations (606 ) (657 ) 215 1,042 (6 ) Loss from discontinued operations, net of taxes (9 ) — (398 ) — (407 ) Net loss (615 ) (657 ) (183 ) 1,042 (413 ) Less: net income attributable to noncontrolling interests — — 202 — 202 Net loss available to Genworth Financial, Inc.’s common stockholders $ (615 ) $ (657 ) $ (385 ) $ 1,042 $ (615 ) The following table presents the condensed consolidating income statement information for the year ended December 31, 2014: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Revenues: Premiums $ — $ — $ 4,700 $ — $ 4,700 Net investment income (2 ) — 3,159 (15 ) 3,142 Net investment gains (losses) — 4 (26 ) — (22 ) Policy fees and other income — (4 ) 914 (1 ) 909 Total revenues (2 ) — 8,747 (16 ) 8,729 Benefits and expenses: Benefits and other changes in policy reserves — — 6,418 — 6,418 Interest credited — — 737 — 737 Acquisition and operating expenses, net of deferrals 21 — 1,117 — 1,138 Amortization of deferred acquisition costs and intangibles — — 453 — 453 Goodwill impairment — — 849 — 849 Interest expense — 321 128 (16 ) 433 Total benefits and expenses 21 321 9,702 (16 ) 10,028 Loss from continuing operations before income taxes and equity in loss of subsidiaries (23 ) (321 ) (955 ) — (1,299 ) Provision (benefit) for income taxes (8 ) (112 ) 30 (4 ) (94 ) Equity in loss of subsidiaries (1,229 ) (1,147 ) — 2,376 — Loss from continuing operations (1,244 ) (1,356 ) (985 ) 2,380 (1,205 ) Income from discontinued operations, net of taxes — — 157 — 157 Net loss (1,244 ) (1,356 ) (828 ) 2,380 (1,048 ) Less: net income attributable to noncontrolling interests — — 196 — 196 Net loss available to Genworth Financial, Inc.’s common stockholders $ (1,244 ) $ (1,356 ) $ (1,024 ) $ 2,380 $ (1,244 ) |
Condensed Consolidating Statement of Comprehensive Income | The following table presents the condensed consolidating comprehensive income statement information for the year ended December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Net income (loss) $ (277 ) $ (459 ) $ 450 $ 219 $ (67 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired 17 14 7 (32 ) 6 Net unrealized gains (losses) on other-than-temporarily impaired securities (9 ) (6 ) (9 ) 15 (9 ) Derivatives qualifying as hedges 40 39 43 (82 ) 40 Foreign currency translation and other adjustments 36 (28 ) 54 (8 ) 54 Total other comprehensive income (loss) 84 19 95 (107 ) 91 Total comprehensive income (loss) (193 ) (440 ) 545 112 24 Less: comprehensive income (loss) attributable to noncontrolling interests — — 217 — 217 Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ (193 ) $ (440 ) $ 328 $ 112 $ (193 ) The following table presents the condensed consolidating comprehensive income statement information for the year ended December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Net loss $ (615 ) $ (657 ) $ (183 ) $ 1,042 $ (413 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired (1,181 ) (1,158 ) (1,210 ) 2,340 (1,209 ) Net unrealized gains (losses) on other-than- temporarily impaired securities (4 ) (4 ) (4 ) 8 (4 ) Derivatives qualifying as hedges (25 ) (24 ) (19 ) 43 (25 ) Foreign currency translation and other adjustments (250 ) (171 ) (530 ) 421 (530 ) Total other comprehensive income (loss) (1,460 ) (1,357 ) (1,763 ) 2,812 (1,768 ) Total comprehensive income (loss) (2,075 ) (2,014 ) (1,946 ) 3,854 (2,181 ) Less: comprehensive income (loss) attributable to noncontrolling interests — — (106 ) — (106 ) Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ (2,075 ) $ (2,014 ) $ (1,840 ) $ 3,854 $ (2,075 ) The following table presents the condensed consolidating comprehensive income statement information for the year ended December 31, 2014: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Net loss $ (1,244 ) $ (1,356 ) $ (828 ) $ 2,380 $ (1,048 ) Other comprehensive income (loss), net of taxes: Net unrealized gains (losses) on securities not other-than-temporarily impaired 1,539 1,510 1,573 (3,049 ) 1,573 Net unrealized gains (losses) on other-than- temporarily impaired securities 10 11 10 (21 ) 10 Derivatives qualifying as hedges 751 751 794 (1,545 ) 751 Foreign currency translation and other adjustments (339 ) (273 ) (537 ) 612 (537 ) Total other comprehensive income (loss) 1,961 1,999 1,840 (4,003 ) 1,797 Total comprehensive income (loss) 717 643 1,012 (1,623 ) 749 Less: comprehensive income (loss) attributable to noncontrolling interests — — 32 — 32 Total comprehensive income (loss) available to Genworth Financial, Inc.’s common stockholders $ 717 $ 643 $ 980 $ (1,623 ) $ 717 |
Condensed Consolidating Statement of Cash Flows | The following table presents the condensed consolidating cash flow statement information for the year ended December 31, 2016: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Cash flows from operating activities: Net income (loss) $ (277 ) $ (459 ) $ 450 $ 219 $ (67 ) Less loss from discontinued operations, net of taxes 1 12 16 — 29 Adjustments to reconcile net income (loss) to net cash from operating activities: Equity in loss from subsidiaries 166 53 — (219 ) — Dividends from subsidiaries — 250 (250 ) — — (Gain) loss on sale of businesses — 1 (27 ) — (26 ) Amortization of fixed maturity securities discounts and premiums and limited partnerships — 4 (142 ) — (138 ) Net investment (gains) losses — 1 (73 ) — (72 ) Charges assessed to policyholders — — (782 ) — (782 ) Acquisition costs deferred — — (150 ) — (150 ) Amortization of deferred acquisition costs and intangibles — — 498 — 498 Deferred income taxes (6 ) 233 (82 ) — 145 Net increase in trading securities, held-for-sale — 5 704 — 709 Stock-based compensation expense 23 — 9 — 32 Change in certain assets and liabilities: Accrued investment income and other assets (9 ) 98 (445 ) (2 ) (358 ) Insurance reserves — — 1,315 — 1,315 Current tax liabilities — 42 (10 ) — 32 Other liabilities, policy and contract claims and other policy-related balances 20 (63 ) 723 5 685 Net cash from operating activities (82 ) 177 1,754 3 1,852 Cash flows from investing activities: Proceeds from maturities and repayments of investments: Fixed maturity securities — 150 3,739 — 3,889 Commercial mortgage loans — — 700 — 700 Restricted commercial mortgage loans related to securitization entities — — 32 — 32 Proceeds from sales of investments: Fixed maturity and equity securities — — 5,629 — 5,629 Purchases and originations of investments: Fixed maturity and equity securities — — (11,529 ) — (11,529 ) Commercial mortgage loans — — (649 ) — (649 ) Other invested assets, net — — (151 ) (3 ) (154 ) Policy loans, net — — (77 ) — (77 ) Intercompany notes receivable — (82 ) — 82 — Proceeds from sale of businesses, net of cash transferred — 1 38 — 39 Net cash from investing activities — 69 (2,268 ) 79 (2,120 ) Cash flows from financing activities: Deposits to universal life and investment contracts — — 1,349 — 1,349 Withdrawals from universal life and investment contracts — — (2,004 ) — (2,004 ) Redemption and repurchase of non-recourse — — (1,620 ) — (1,620 ) Repayment and repurchase of long-term debt — (326 ) (36 ) — (362 ) Repayment of borrowings related to securitization entities — — (42 ) — (42 ) Proceeds from intercompany notes payable 82 — — (82 ) — Return of capital to noncontrolling interests — — (70 ) — (70 ) Dividends paid to noncontrolling interests — — (138 ) — (138 ) Other, net — (46 ) 2 — (44 ) Net cash from financing activities 82 (372 ) (2,559 ) (82 ) (2,931 ) Effect of exchange rate changes on cash and cash equivalents — — (10 ) — (10 ) Net change in cash and cash equivalents — (126 ) (3,083 ) — (3,209 ) Cash and cash equivalents at beginning of period — 1,124 4,869 — 5,993 Cash and cash equivalents at end of period $ — $ 998 $ 1,786 $ — $ 2,784 The following table presents the condensed consolidating cash flow statement information for the year ended December 31, 2015: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Cash flows from operating activities: Net loss $ (615 ) $ (657 ) $ (183 ) $ 1,042 $ (413 ) Less loss from discontinued operations, net of taxes 9 — 398 — 407 Adjustments to reconcile net loss to net cash from operating activities: Equity in loss from subsidiaries 579 463 — (1,042 ) — Dividends from subsidiaries — 530 (530 ) — — Loss on sale of businesses — — 141 — 141 Amortization of fixed maturity securities discounts and premiums and limited partnerships — — (106 ) — (106 ) Net investment (gains) losses — (43 ) 118 — 75 Charges assessed to policyholders — — (788 ) — (788 ) Acquisition costs deferred — — (293 ) — (293 ) Amortization of deferred acquisition costs and intangibles — — 966 — 966 Deferred income taxes (4 ) (65 ) (127 ) — (196 ) Net increase (decrease) in trading securities, held-for-sale — 41 (280 ) — (239 ) Stock-based compensation expense 21 — (5 ) — 16 Change in certain assets and liabilities: Accrued investment income and other assets 3 13 (123 ) 1 (106 ) Insurance reserves — — 1,847 — 1,847 Current tax liabilities (3 ) 18 (30 ) — (15 ) Other liabilities, policy and contract claims and other policy-related balances 2 (38 ) 328 1 293 Cash from operating activities—held for sale — — 2 — 2 Net cash from operating activities (8 ) 262 1,335 2 1,591 Cash flows from investing activities: Proceeds from maturities and repayments of investments: Fixed maturity securities — 1 4,540 — 4,541 Commercial mortgage loans — — 882 — 882 Restricted commercial mortgage loans related to securitization entities — — 41 — 41 Proceeds from sales of investments: Fixed maturity and equity securities — — 4,391 — 4,391 Purchases and originations of investments: Fixed maturity and equity securities — — (9,750 ) — (9,750 ) Commercial mortgage loans — — (956 ) — (956 ) Other invested assets, net — (100 ) 277 (2 ) 175 Policy loans, net — — 25 — 25 Intercompany notes receivable 9 265 (63 ) (211 ) — Capital contributions to subsidiaries — (25 ) 25 — — Proceeds from sale of businesses, net of cash transferred — — 273 — 273 Payments for businesses purchased, net of cash acquired — (197 ) 197 — — Cash from investing activities—held for sale — — (26 ) — (26 ) Net cash from investing activities 9 (56 ) (144 ) (213 ) (404 ) Cash flows from financing activities: Deposits to universal life and investment contracts — — 2,257 — 2,257 Withdrawals from universal life and investment contracts — — (2,144 ) — (2,144 ) Redemption and repurchase of non-recourse — — (61 ) — (61 ) Proceeds from the issuance of long-term debt — — 150 — 150 Repayment and repurchase of long-term debt — (50 ) (70 ) — (120 ) Repayment of borrowings related to securitization entities — — (36 ) — (36 ) Proceeds from intercompany notes payable 2 54 (267 ) 211 — Repurchase of subsidiary shares — — (68 ) — (68 ) Dividends paid to noncontrolling interests — — (157 ) — (157 ) Proceeds from the sale of subsidiary shares to noncontrolling interests — — 226 — 226 Other, net (3 ) (39 ) (56 ) — (98 ) Cash from financing activities—held for sale — — 9 — 9 Net cash from financing activities (1 ) (35 ) (217 ) 211 (42 ) Effect of exchange rate changes on cash and cash equivalents — — (70 ) — (70 ) Net change in cash and cash equivalents — 171 904 — 1,075 Cash and cash equivalents at beginning of period — 953 3,965 — 4,918 Cash and cash equivalents at end of period — 1,124 4,869 — 5,993 Less cash and cash equivalents held for sale at end of period — — 28 — 28 Cash and cash equivalents of continuing operations at end of period $ — $ 1,124 $ 4,841 $ — $ 5,965 The following table presents the condensed consolidating cash flow statement information for the year ended December 31, 2014: (Amounts in millions) Parent Issuer All Other Eliminations Consolidated Cash flows from operating activities: Net loss $ (1,244 ) $ (1,356 ) $ (828 ) $ 2,380 $ (1,048 ) Less income from discontinued operations, net of taxes — — (157 ) — (157 ) Adjustments to reconcile net loss to net cash from operating activities: Equity in loss from subsidiaries 1,229 1,147 — (2,376 ) — Dividends from subsidiaries — 630 (630 ) — — Amortization of fixed maturity securities discounts and premiums and limited partnerships — — (111 ) — (111 ) Net investment (gains) losses — (4 ) 26 — 22 Charges assessed to policyholders — — (777 ) — (777 ) Acquisition costs deferred — — (383 ) — (383 ) Amortization of deferred acquisition costs and intangibles — — 453 — 453 Goodwill impairment — — 849 — 849 Deferred income taxes 4 (146 ) (195 ) (4 ) (341 ) Net increase in trading securities, held-for-sale — 1 205 — 206 Stock-based compensation expense 21 — 7 — 28 Change in certain assets and liabilities: Accrued investment income and other assets (4 ) (9 ) (151 ) 1 (163 ) Insurance reserves — — 2,497 — 2,497 Current tax liabilities (2 ) (77 ) (117 ) — (196 ) Other liabilities, policy and contract claims and other policy-related balances 11 91 1,421 (6 ) 1,517 Cash from operating activities—held for sale — — 42 — 42 Net cash from operating activities 15 277 2,151 (5 ) 2,438 Cash flows from investing activities: Proceeds from maturities and repayments of investments: Fixed maturity securities — 150 5,048 — 5,198 Commercial mortgage loans — — 765 — 765 Restricted commercial mortgage loans related to securitization entities — — 32 — 32 Proceeds from sales of investments: Fixed maturity and equity securities — — 2,386 — 2,386 Purchases and originations of investments: Fixed maturity and equity securities — (150 ) (9,038 ) — (9,188 ) Commercial mortgage loans — — (967 ) — (967 ) Other invested assets, net — — (40 ) 5 (35 ) Policy loans, net — — 12 — 12 Intercompany notes receivable (1 ) (19 ) (2 ) 22 — Capital contributions to subsidiaries (12 ) — 12 — — Cash from investing activities—held for sale — — (39 ) — (39 ) Net cash from investing activities (13 ) (19 ) (1,831 ) 27 (1,836 ) Cash flows from financing activities: Deposits to universal life and investment contracts — — 2,993 — 2,993 Withdrawals from universal life and investment contracts — — (2,588 ) — (2,588 ) Redemption and repurchase of non-recourse — — (42 ) — (42 ) Proceeds from the issuance of long-term debt — — 144 — 144 Repayment and repurchase of long-term debt — (485 ) (136 ) — (621 ) Repayment of borrowings related to securitization entities — — (32 ) — (32 ) Proceeds from intercompany notes payable — 3 19 (22 ) — Repurchase of subsidiary shares — — (28 ) — (28 ) Dividends paid to noncontrolling interests — — (75 ) — (75 ) Proceeds from the sale of subsidiary shares to noncontrolling interests — — 517 — 517 Other, net (2 ) (42 ) 14 — (30 ) Cash from financing activities—held for sale — — (33 ) — (33 ) Net cash from financing activities (2 ) (524 ) 753 (22 ) 205 Effect of exchange rate changes on cash and cash equivalents — — (103 ) — (103 ) Net change in cash and cash equivalents — (266 ) 970 — 704 Cash and cash equivalents at beginning of period — 1,219 2,995 — 4,214 Cash and cash equivalents at end of period — 953 3,965 — 4,918 Less cash and cash equivalents held for sale at end of period — — 273 — 273 Cash and cash equivalents of continuing operations at end of period $ — $ 953 $ 3,692 $ — $ 4,645 |
Formation of Genworth and Basis
Formation of Genworth and Basis of Presentation - Additional Information (Detail) $ / shares in Units, $ in Billions | Oct. 21, 2016USD ($)$ / shares | Dec. 31, 2016Segment | Apr. 01, 2013 |
Entity Information [Line Items] | |||
Number of operating segments | Segment | 5 | ||
Genworth Holdings | |||
Entity Information [Line Items] | |||
Percentage of subsidiary equity ownership | 100.00% | ||
China Oceanwide Holdings Group Co., Ltd. | Definitive Acquisition Agreement | |||
Entity Information [Line Items] | |||
Total transaction value to acquire all of our outstanding common stock | $ | $ 2.7 | ||
Per share amount to acquire all of our outstanding common stock | $ / shares | $ 5.43 |
Summary of Significant Accoun59
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions | Jan. 01, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | |||||
Equity securities, impairment charge recognition within number of months | 18 months | ||||
Non-accrual status of loans after number of days past due | 90 days | ||||
Cash equivalents determination for original maturities of investments, maximum number of days | 90 days | ||||
Short-term investments determination for original maturities of investments, minimum number of days | 90 days | ||||
Unearned premiums, increase in earned premiums due to updated premium recognition factors for international mortgage insurance business | $ 0 | $ 8 | $ 6 | ||
Adoption of Stock Compensation Guidance | Subsequent Event | |||||
Accounting Policies [Abstract] | |||||
Deferred tax asset | $ 9 | ||||
Effect of deferred tax asset increase retained earnings. | $ 9 | ||||
Adoption of Debt Issuance Cost Guidance | Total Assets | |||||
Accounting Policies [Abstract] | |||||
Cumulative effect of new accounting principle in period of adoption | (42) | ||||
Adoption of Debt Issuance Cost Guidance | Other assets | |||||
Accounting Policies [Abstract] | |||||
Cumulative effect of new accounting principle in period of adoption | (42) | ||||
Adoption of Debt Issuance Cost Guidance | Liabilities, Total | |||||
Accounting Policies [Abstract] | |||||
Cumulative effect of new accounting principle in period of adoption | (42) | ||||
Adoption of Debt Issuance Cost Guidance | Long-term borrowings | |||||
Accounting Policies [Abstract] | |||||
Cumulative effect of new accounting principle in period of adoption | (27) | ||||
Adoption of Debt Issuance Cost Guidance | Non-Recourse Funding Obligations | |||||
Accounting Policies [Abstract] | |||||
Cumulative effect of new accounting principle in period of adoption | $ (15) | ||||
Non-cash | Derivative assets | |||||
Accounting Policies [Abstract] | |||||
Fair value of non-cash collateral received | 24 | 86 | |||
Subject to enforceable master netting arrangement | |||||
Accounting Policies [Abstract] | |||||
Fair value of non-cash collateral received | 467 | 642 | |||
Subject to enforceable master netting arrangement | Derivative liabilities | |||||
Accounting Policies [Abstract] | |||||
Fair value of collateral pledged | [1] | 557 | 263 | ||
Subject to enforceable master netting arrangement | Derivative assets | |||||
Accounting Policies [Abstract] | |||||
Fair value of non-cash collateral received | [2] | 467 | 642 | ||
Subject to enforceable master netting arrangement | Non Cash Collateral | Derivative liabilities | |||||
Accounting Policies [Abstract] | |||||
Fair value of collateral pledged | 384 | $ 263 | |||
Subject to enforceable master netting arrangement | Cash Collateral | Derivative liabilities | |||||
Accounting Policies [Abstract] | |||||
Fair value of collateral pledged | $ 173 | ||||
[1] | Included $5 million and $6 million of accruals on derivatives classified as other liabilities and does not include amounts related to embedded derivatives and derivatives related to securitization entities as of December 31, 2016 and 2015, respectively. | ||||
[2] | Included $16 million and $24 million of accruals on derivatives classified as other assets and does not include amounts related to embedded derivatives as of December 31, 2016 and 2015, respectively. |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||||||||||||
Earnings (Loss) Per Share [Abstract] | ||||||||||||||||||||||
Weighted-average common shares used in basic earnings (loss) per common share calculations | 498.4 | 498.3 | 498.5 | 498 | 497.6 | 497.4 | 497.4 | 497 | 498.3 | 497.4 | 496.4 | |||||||||||
Stock options, restricted stock units and stock appreciation rights | 0 | 0 | 0 | |||||||||||||||||||
Weighted-average common shares used in diluted earnings (loss) per common share calculations | 498.4 | [1] | 498.3 | [1] | 500.4 | [1] | 499.4 | [1] | 497.6 | [2] | 497.4 | [2] | 499.3 | [2] | 498.9 | [2] | 498.3 | [3] | 497.4 | [3] | 496.4 | [3] |
Income (loss) from continuing operations: | ||||||||||||||||||||||
Income (loss) from continuing operations | $ (59) | [4] | $ (347) | [4] | $ 241 | [4] | $ 127 | [4] | $ (167) | [5] | $ (217) | [5] | $ 175 | [5] | $ 203 | [5] | $ (38) | $ (6) | $ (1,205) | |||
Less: income from continuing operations attributable to noncontrolling interests | 210 | 202 | 196 | |||||||||||||||||||
Income (loss) from continuing operations available to Genworth Financial, Inc.'s common stockholders | $ (248) | $ (208) | $ (1,401) | |||||||||||||||||||
Basic per common share | $ (0.24) | $ (0.79) | $ 0.39 | $ 0.14 | $ (0.44) | $ (0.53) | $ 0.24 | $ 0.31 | $ (0.50) | $ (0.42) | $ (2.82) | |||||||||||
Diluted per common share | $ (0.24) | $ (0.79) | $ 0.39 | $ 0.14 | $ (0.44) | $ (0.53) | $ 0.24 | $ 0.31 | $ (0.50) | $ (0.42) | $ (2.82) | |||||||||||
Income (loss) from discontinued operations: | ||||||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | $ (4) | $ 15 | $ (21) | $ (19) | $ (73) | [6] | $ (21) | [6] | $ (314) | [6] | $ 1 | [6] | $ (29) | $ (407) | $ 157 | |||||||
Less: income from discontinued operations, net of taxes, attributable to noncontrolling interests | 0 | 0 | 0 | |||||||||||||||||||
Income (loss) from discontinued operations, net of taxes, available to Genworth Financial, Inc.'s common stockholders | $ (29) | $ (407) | $ 157 | |||||||||||||||||||
Basic per common share | $ (0.06) | $ (0.82) | $ 0.32 | |||||||||||||||||||
Diluted per common share | $ (0.06) | $ (0.82) | $ 0.32 | |||||||||||||||||||
Net income (loss): | ||||||||||||||||||||||
Income (loss) from continuing operations | (59) | [4] | (347) | [4] | 241 | [4] | 127 | [4] | (167) | [5] | (217) | [5] | 175 | [5] | 203 | [5] | $ (38) | $ (6) | $ (1,205) | |||
Income (loss) from discontinued operations, net of taxes | (4) | 15 | (21) | (19) | (73) | [6] | (21) | [6] | (314) | [6] | 1 | [6] | (29) | (407) | 157 | |||||||
Net income (loss) | (63) | [4] | (332) | [4] | 220 | [4] | 108 | [4] | (240) | [5],[6] | (238) | [5],[6] | (139) | [5],[6] | 204 | [5],[6] | (67) | (413) | (1,048) | |||
Less: net income attributable to noncontrolling interests | 59 | 48 | 48 | 55 | 52 | 46 | 54 | 50 | 210 | 202 | 196 | |||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (122) | [4] | $ (380) | [4] | $ 172 | [4] | $ 53 | [4] | $ (292) | $ (284) | $ (193) | $ 154 | $ (277) | $ (615) | $ (1,244) | |||||||
Basic per common share | $ (0.25) | $ (0.76) | $ 0.35 | $ 0.11 | $ (0.59) | $ (0.57) | $ (0.39) | $ 0.31 | $ (0.56) | $ (1.24) | $ (2.51) | |||||||||||
Diluted per common share | $ (0.25) | $ (0.76) | $ 0.34 | $ 0.11 | $ (0.59) | $ (0.57) | $ (0.39) | $ 0.31 | $ (0.56) | $ (1.24) | $ (2.51) | |||||||||||
[1] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2016 and December 31, 2016, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2016 and December 31, 2016, as the inclusion of shares for stock options, RSUs and SARs of 2.2 million and 2.5 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2016 and December 31, 2016, dilutive potential weighted-average common shares outstanding would have been 500.5 million and 500.9 million, respectively. | |||||||||||||||||||||
[2] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2015 and December 31, 2015, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2015 and December 31, 2015, as the inclusion of shares for stock options, RSUs and SARs of 1.3 million and 1.4 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2015 and December 31, 2015, dilutive potential weighted-average common shares outstanding would have been 498.7 million and 499.0 million, respectively. | |||||||||||||||||||||
[3] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the years ended December 31, 2016, 2015 and 2014, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the years ended December 31, 2016, 2015 and 2014, as the inclusion of shares for stock options, restricted stock units ("RSUs") and stock appreciation rights ("SARs") of 2.0 million, 1.6 million and 5.6 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the years ended December 31, 2016, 2015 and 2014, dilutive potential weighted-average common shares outstanding would have been 500.3 million, 499.0 million and 502.0 million, respectively. | |||||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||||
[5] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||||
[6] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Earnings (Loss) Per Share (Pare
Earnings (Loss) Per Share (Parenthetical) (Detail) - shares shares in Millions | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share Disclosure [Line Items] | |||||||
Weighted-average diluted common shares outstanding, antidilutive securities (stock options, RSUs and SARs) | 2.5 | 2.2 | 1.4 | 1.3 | 2 | 1.6 | 5.6 |
Weighted-average number of diluted shares if not in a loss position | 500.9 | 500.5 | 499 | 498.7 | 500.3 | 499 | 502 |
Net Investment Income (Detail)
Net Investment Income (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | $ 3,243 | $ 3,226 | $ 3,234 | |
Expenses and fees | (84) | (88) | (92) | |
Net investment income | 3,159 | 3,138 | 3,142 | |
Fixed maturity securities - taxable | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 2,565 | 2,558 | 2,598 | |
Fixed maturity securities - non-taxable | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 12 | 12 | 12 | |
Commercial mortgage loans | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 318 | 337 | 333 | |
Restricted commercial mortgage loans related to securitization entities | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | [1] | 10 | 14 | 14 |
Equity Securities | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 28 | 15 | 14 | |
Other invested assets | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | [2] | 141 | 135 | 105 |
Restricted other invested assets related to securitization entities | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | [1] | 3 | 5 | 5 |
Policy Loans | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 146 | 137 | 129 | |
Cash, cash equivalents and short-term investments | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | $ 20 | $ 13 | $ 24 | |
[1] | See note 17 for additional information related to consolidated securitization entities. | |||
[2] | Included in other invested assets was $11 million, $9 million and $8 million of net investment income related to trading securities for the years ended December 31, 2016, 2015 and 2014, respectively. |
Net Investment Income (Parenthe
Net Investment Income (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | $ 3,243 | $ 3,226 | $ 3,234 | |
Other invested assets | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | [1] | 141 | 135 | 105 |
Trading Securities | Other invested assets | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | $ 11 | $ 9 | $ 8 | |
[1] | Included in other invested assets was $11 million, $9 million and $8 million of net investment income related to trading securities for the years ended December 31, 2016, 2015 and 2014, respectively. |
Net Investment Gains (Losses) (
Net Investment Gains (Losses) (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Investments [Abstract] | ||||
Realized gains | $ 249 | $ 102 | $ 72 | |
Realized losses | (121) | (82) | (46) | |
Net realized gains (losses) on available-for-sale securities | 128 | 20 | 26 | |
Total other-than-temporary impairments | (40) | (28) | (9) | |
Portion of other-than-temporary impairments included in other comprehensive income (loss) | 0 | 1 | 0 | |
Net other-than-temporary impairments | (40) | (27) | (9) | |
Trading securities | 10 | (7) | 39 | |
Commercial mortgage loans | 1 | 7 | 11 | |
Net gains (losses) related to securitization entities | [1] | (50) | 5 | 16 |
Derivative instruments | [2] | 20 | (76) | (103) |
Contingent consideration adjustment | (2) | 2 | (2) | |
Other | 5 | 1 | 0 | |
Net investment gains (losses) | $ 72 | $ (75) | $ (22) | |
[1] | See note 17 for additional information related to consolidated securitization entities. | |||
[2] | See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). |
Investments - Additional Inform
Investments - Additional Information (Detail) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($)Loan | Dec. 31, 2015USD ($)Loan | Dec. 31, 2014USD ($) | |
Schedule of Investments [Line Items] | ||||
Aggregate fair value of securities sold | $ 1,881 | $ 1,827 | $ 857 | |
Aggregate fair value of securities sold, percentage of book value | 95.00% | 96.00% | 95.00% | |
Less than 12 months, average fair value percentage below cost for securities in a continuous loss position | 3.00% | |||
12 months or more, Gross unrealized losses | $ 134 | $ 239 | ||
Investments subject to call provisions | $ 10,105 | |||
Percentage of investment portfolio by which no other industry group exceeded | 10.00% | |||
Percentage of stockholders' equity by which no single issuer of fixed maturity securities exceeded | 10 | |||
Commercial mortgage loans outstanding more than 90 days, interest accruing | $ 0 | 0 | ||
Commercial mortgage loans on nonaccrual status, past due less than 90 days | $ 0 | $ 0 | ||
Commercial mortgage loans modified or extended, number of loans | Loan | 16 | 21 | ||
Commercial mortgage loans modified or extended, carrying value | $ 85 | $ 110 | ||
Number of loans modified to troubled debt restructuring | Loan | 1 | |||
Troubled debt restructuring, loan | $ 1 | |||
Commercial mortgage loans, recorded investment | 6,125 | 6,187 | ||
Investments in partnerships or similar entities generally considered VIEs | 178 | 165 | ||
More Than 20% Below Cost | Structured Securities | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 15 | |||
12 months or more, stated percentage below cost of securities in unrealized loss position | 20.00% | |||
12 months or more, unrealized losses on other than temporarily impaired securities, portion recognized in OCI, securities in a loss position | $ 0 | |||
Floating rate commercial mortgage loans | ||||
Schedule of Investments [Line Items] | ||||
Commercial mortgage loans, recorded investment | 0 | 7 | ||
Fixed maturity securities | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | 116 | 239 | ||
Fixed maturity securities | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | 49 | 62 | ||
Fixed maturity securities | Less Than 20 Percent Below Cost | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 90 | 78 | ||
12 months or more, average fair value percentage below cost for securities in a continuous loss position | 6.00% | |||
12 months or more, stated percentage below cost of securities in unrealized loss position | 20.00% | |||
Fixed maturity securities | More Than 20% Below Cost | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, stated percentage below cost of securities in unrealized loss position | 20.00% | |||
Fixed maturity securities | More Than 20% Below Cost | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 7 | |||
Stated percentage below cost of securities in unrealized loss position | 20.00% | |||
Investment grade | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 108 | 135 | ||
Investment grade | Less Than 20 Percent Below Cost | ||||
Schedule of Investments [Line Items] | ||||
Less than 12 months, stated percentage below cost of securities in unrealized loss position | 20.00% | |||
Investment grade | Fixed maturity securities | Less Than 20 Percent Below Cost | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 71.00% | |||
Utilities | Fixed maturity securities | ||||
Schedule of Investments [Line Items] | ||||
Percent of investment portfolio, greater than 10% | 14.00% | |||
Utilities | Fixed maturity securities | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 2 | 1 | ||
Finance and insurance | Fixed maturity securities | ||||
Schedule of Investments [Line Items] | ||||
Percent of investment portfolio, greater than 10% | 22.00% | |||
Finance and insurance | Fixed maturity securities | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 8 | 8 | ||
Finance and insurance | Fixed maturity securities | More Than 20% Below Cost | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 3 | |||
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 43.00% | |||
Consumer-non-cyclical | Fixed maturity securities | ||||
Schedule of Investments [Line Items] | ||||
Percent of investment portfolio, greater than 10% | 14.00% | |||
Consumer-non-cyclical | Fixed maturity securities | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 0 | 4 | ||
Energy | Fixed maturity securities | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | 19 | 28 | ||
Energy | Fixed maturity securities | More Than 20% Below Cost | U.S. corporate | ||||
Schedule of Investments [Line Items] | ||||
12 months or more, Gross unrealized losses | $ 4 | |||
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 57.00% | |||
Insurance [Member] | ||||
Schedule of Investments [Line Items] | ||||
Securities on deposit with various state government insurance departments | $ 42 | 44 | ||
Industrial | ||||
Schedule of Investments [Line Items] | ||||
Individually impaired commercial mortgage loans | 12 | 14 | ||
Impaired loans, unpaid principal balance | 15 | 15 | ||
Individually impaired loans, charge-offs | $ 2 | 3 | 1 | |
Individually impaired loans, interest income | 1 | |||
Commercial mortgage loans, recorded investment | 1,533 | 1,562 | ||
Office | ||||
Schedule of Investments [Line Items] | ||||
Individually impaired commercial mortgage loans | 5 | |||
Impaired loans, unpaid principal balance | 6 | |||
Individually impaired loans, charge-offs | 1 | |||
Commercial mortgage loans, recorded investment | $ 1,430 | $ 1,516 |
Credit Losses Recognized in Net
Credit Losses Recognized in Net Income (Loss) on Debt Securities (Detail) - Debt Securities - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Cumulative credit losses, beginning balance | $ 64 | $ 83 | $ 101 |
Other-than-temporary impairments not previously recognized | 1 | 0 | 1 |
Increases related to other-than-temporary impairments previously recognized | 0 | 0 | 1 |
Securities sold, paid down or disposed | (23) | (19) | (20) |
Cumulative credit losses, ending balance | $ 42 | $ 64 | $ 83 |
Net Unrealized Gains and Losses
Net Unrealized Gains and Losses on Available-for-Sale Investment Securities Reflected as Separate Component of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Components of Net Unrealized Investment Gains Losses Included in Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Adjustments to DAC, PVFP, sales inducements and benefit reserves | $ (1,611) | $ (1,070) | $ (1,656) | ||
Income taxes, net | (711) | (711) | (1,372) | ||
Net unrealized investment gains (losses) including noncontrolling interests | 1,346 | 1,349 | 2,562 | ||
Less: net unrealized investment gains (losses) attributable to noncontrolling interests | 84 | 95 | 109 | ||
Net unrealized investment gains (losses) | [1] | 1,262 | 1,254 | 2,453 | $ 926 |
Net Unrealized Gains (Losses) On Investment Securities | |||||
Components of Net Unrealized Investment Gains Losses Included in Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Fixed maturity securities | 3,656 | 3,140 | 5,560 | ||
Equity securities | 12 | (10) | 32 | ||
Other invested assets | 0 | 0 | (2) | ||
Subtotal | [2] | $ 3,668 | $ 3,130 | $ 5,590 | |
[1] | Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. | ||||
[2] | Excludes foreign exchange. |
Change in Net Unrealized Gains
Change in Net Unrealized Gains (Losses) on Available-for-Sale Securities Reported in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Investments [Abstract] | ||||
Net unrealized investment gains (losses), beginning of period | [1] | $ 1,254 | $ 2,453 | $ 926 |
Unrealized gains (losses) on investment securities | 626 | (2,467) | 3,244 | |
Adjustment to deferred acquisition costs | (499) | 177 | (172) | |
Adjustment to present value of future profits | (5) | 89 | (66) | |
Adjustment to sales inducements | (16) | 30 | (15) | |
Adjustment to benefit reserves | (21) | 290 | (534) | |
Provision for income taxes | (31) | 663 | (862) | |
Change in unrealized gains (losses) on investment securities | [1] | 54 | (1,218) | 1,595 |
Reclassification adjustments to net investment (gains) losses, net of taxes | [1] | (57) | 5 | (12) |
Change in net unrealized investment gains (losses) | [1] | (3) | (1,213) | 1,583 |
Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests | [1] | (11) | (14) | 56 |
Net unrealized investment gains (losses), end of period | [1] | $ 1,262 | $ 1,254 | $ 2,453 |
[1] | Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. |
Change in Net Unrealized Gain69
Change in Net Unrealized Gains (Losses) on Available-for-Sale Securities Reported in Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Components of Net Unrealized Investment Gains Losses Included in Accumulated Other Comprehensive Income Loss [Line Items] | |||
Reclassification adjustments to net investment (gains) losses, taxes | $ 31 | $ (2) | $ 7 |
Amortized Cost or Cost, Gross U
Amortized Cost or Cost, Gross Unrealized Gains (Losses) and Fair Value of Fixed Maturity and Equity Securities Classified as Available-for-Sale (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | $ 57,014 | $ 55,161 |
Fair value, fixed maturity securities | 60,572 | 58,197 |
Amortized cost or cost, equity securities | 628 | 325 |
Fair value, equity securities | 632 | 310 |
Amortized cost or cost, total | 57,642 | 55,486 |
Fair value, total | 61,204 | 58,507 |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 5,439 | 5,487 |
Fair value, fixed maturity securities | 6,036 | 6,203 |
Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,515 | 2,287 |
Fair value, fixed maturity securities | 2,647 | 2,438 |
Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,024 | 1,910 |
Fair value, fixed maturity securities | 2,107 | 2,015 |
Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 24,943 | 22,994 |
Fair value, fixed maturity securities | 26,828 | 24,401 |
Fixed maturity securities | U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 4,137 | 3,355 |
Fair value, fixed maturity securities | 4,550 | 3,693 |
Fixed maturity securities | U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,167 | 2,560 |
Fair value, fixed maturity securities | 2,300 | 2,501 |
Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 5,719 | 5,268 |
Fair value, fixed maturity securities | 6,097 | 5,632 |
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 4,335 | 3,755 |
Fair value, fixed maturity securities | 4,734 | 4,096 |
Fixed maturity securities | U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,473 | 2,108 |
Fair value, fixed maturity securities | 2,598 | 2,193 |
Fixed maturity securities | U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,161 | 1,164 |
Fair value, fixed maturity securities | 1,223 | 1,173 |
Fixed maturity securities | U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,043 | 1,774 |
Fair value, fixed maturity securities | 2,258 | 1,950 |
Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,455 | 1,602 |
Fair value, fixed maturity securities | 1,530 | 1,675 |
Fixed maturity securities | U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,121 | 1,023 |
Fair value, fixed maturity securities | 1,190 | 1,086 |
Fixed maturity securities | U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 332 | 385 |
Fair value, fixed maturity securities | 348 | 402 |
Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 11,717 | 11,886 |
Fair value, fixed maturity securities | 12,295 | 12,199 |
Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 940 | 815 |
Fair value, fixed maturity securities | 969 | 843 |
Fixed maturity securities | Non-U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,234 | 1,700 |
Fair value, fixed maturity securities | 1,331 | 1,686 |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,413 | 2,327 |
Fair value, fixed maturity securities | 2,538 | 2,473 |
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 711 | 746 |
Fair value, fixed maturity securities | 714 | 752 |
Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 953 | 978 |
Fair value, fixed maturity securities | 987 | 988 |
Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 928 | 1,063 |
Fair value, fixed maturity securities | 958 | 986 |
Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 518 | 602 |
Fair value, fixed maturity securities | 535 | 604 |
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 434 | 522 |
Fair value, fixed maturity securities | 442 | 526 |
Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 619 | 559 |
Fair value, fixed maturity securities | 677 | 605 |
Fixed maturity securities | Non-U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,967 | 2,574 |
Fair value, fixed maturity securities | 3,144 | 2,736 |
Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 4,122 | 4,777 |
Fair value, fixed maturity securities | 4,379 | 5,101 |
Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 3,084 | 2,492 |
Fair value, fixed maturity securities | 3,129 | 2,559 |
Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 3,170 | 3,328 |
Fair value, fixed maturity securities | 3,151 | 3,281 |
Not other-than-temporary impairments | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 4,095 | 3,832 |
Gross unrealized losses, fixed maturity securities | (551) | (828) |
Gross unrealized gains, equity securities | 31 | 8 |
Gross unrealized losses, equity securities | (27) | (23) |
Gross unrealized gains | 4,126 | 3,840 |
Gross unrealized losses | (578) | (851) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 647 | 732 |
Gross unrealized losses, fixed maturity securities | (50) | (16) |
Not other-than-temporary impairments | Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 182 | 181 |
Gross unrealized losses, fixed maturity securities | (50) | (30) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 101 | 110 |
Gross unrealized losses, fixed maturity securities | (18) | (5) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 2,124 | 1,786 |
Gross unrealized losses, fixed maturity securities | (239) | (394) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 454 | 364 |
Gross unrealized losses, fixed maturity securities | (41) | (26) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 157 | 103 |
Gross unrealized losses, fixed maturity securities | (24) | (162) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 424 | 392 |
Gross unrealized losses, fixed maturity securities | (46) | (43) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 433 | 371 |
Gross unrealized losses, fixed maturity securities | (34) | (30) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 157 | 123 |
Gross unrealized losses, fixed maturity securities | (32) | (38) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 76 | 53 |
Gross unrealized losses, fixed maturity securities | (14) | (44) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 228 | 188 |
Gross unrealized losses, fixed maturity securities | (13) | (12) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 92 | 95 |
Gross unrealized losses, fixed maturity securities | (17) | (22) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 86 | 75 |
Gross unrealized losses, fixed maturity securities | (17) | (12) |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 17 | 22 |
Gross unrealized losses, fixed maturity securities | (1) | (5) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 669 | 598 |
Gross unrealized losses, fixed maturity securities | (91) | (287) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 40 | 37 |
Gross unrealized losses, fixed maturity securities | (11) | (9) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 109 | 64 |
Gross unrealized losses, fixed maturity securities | (12) | (78) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 134 | 152 |
Gross unrealized losses, fixed maturity securities | (9) | (8) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 17 | 24 |
Gross unrealized losses, fixed maturity securities | (14) | (18) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 44 | 36 |
Gross unrealized losses, fixed maturity securities | (10) | (26) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 39 | 19 |
Gross unrealized losses, fixed maturity securities | (9) | (96) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 21 | 19 |
Gross unrealized losses, fixed maturity securities | (4) | (17) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 10 | 8 |
Gross unrealized losses, fixed maturity securities | (2) | (4) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 65 | 52 |
Gross unrealized losses, fixed maturity securities | (7) | (6) |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 190 | 187 |
Gross unrealized losses, fixed maturity securities | (13) | (25) |
Not other-than-temporary impairments | Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 259 | 330 |
Gross unrealized losses, fixed maturity securities | (12) | (17) |
Not other-than-temporary impairments | Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 98 | 84 |
Gross unrealized losses, fixed maturity securities | (56) | (20) |
Not other-than-temporary impairments | Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 15 | 11 |
Gross unrealized losses, fixed maturity securities | (35) | (59) |
Other-than-temporary impairments | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 14 | 32 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Gross unrealized gains, equity securities | 0 | 0 |
Gross unrealized losses, equity securities | 0 | 0 |
Gross unrealized gains | 14 | 32 |
Gross unrealized losses | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 15 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 15 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 2 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 2 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | 0 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 10 | 11 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 3 | 3 |
Gross unrealized losses, fixed maturity securities | 0 | 0 |
Other-than-temporary impairments | Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 1 | 1 |
Gross unrealized losses, fixed maturity securities | $ 0 | $ 0 |
Gross Unrealized Losses and Fai
Gross Unrealized Losses and Fair Value of Investment Securities (Detail) $ in Millions | Dec. 31, 2016USD ($)Securities | Dec. 31, 2015USD ($)Securities |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 12,697 | $ 14,198 |
Less than 12 months, Gross unrealized losses | $ (444) | $ (612) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,872 | 1,996 |
12 months or more, Fair value | $ 1,737 | $ 1,593 |
12 months or more, Gross unrealized losses | $ (134) | $ (239) |
12 months or more, Number of securities in a continuous loss position | Securities | 322 | 293 |
Fair value | $ 14,434 | $ 15,791 |
Gross unrealized losses | $ (578) | $ (851) |
Number of securities in a continuous loss position | Securities | 2,194 | 2,289 |
Investment grade | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 12,339 | $ 13,342 |
Less than 12 months, Gross unrealized losses | $ (432) | $ (524) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,657 | 1,834 |
12 months or more, Fair value | $ 1,354 | $ 1,245 |
12 months or more, Gross unrealized losses | $ (108) | $ (135) |
12 months or more, Number of securities in a continuous loss position | Securities | 250 | 225 |
Fair value | $ 13,693 | $ 14,587 |
Gross unrealized losses | $ (540) | $ (659) |
Number of securities in a continuous loss position | Securities | 1,907 | 2,059 |
Below investment grade | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 358 | $ 856 |
Less than 12 months, Gross unrealized losses | $ (12) | $ (88) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 215 | 162 |
12 months or more, Fair value | $ 383 | $ 348 |
12 months or more, Gross unrealized losses | $ (26) | $ (104) |
12 months or more, Number of securities in a continuous loss position | Securities | 72 | 68 |
Fair value | $ 741 | $ 1,204 |
Gross unrealized losses | $ (38) | $ (192) |
Number of securities in a continuous loss position | Securities | 287 | 230 |
Fixed maturity securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 12,578 | $ 14,045 |
Less than 12 months, Gross unrealized losses | $ (435) | $ (589) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,690 | 1,932 |
12 months or more, Fair value | $ 1,623 | $ 1,593 |
12 months or more, Gross unrealized losses | $ (116) | $ (239) |
12 months or more, Number of securities in a continuous loss position | Securities | 275 | 293 |
Fair value | $ 14,201 | $ 15,638 |
Gross unrealized losses | $ (551) | $ (828) |
Number of securities in a continuous loss position | Securities | 1,965 | 2,225 |
Fixed maturity securities | Less Than 20 Percent Below Cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 12,578 | $ 13,726 |
Less than 12 months, Gross unrealized losses | $ (435) | $ (472) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,690 | 1,877 |
12 months or more, Fair value | $ 1,543 | $ 1,259 |
12 months or more, Gross unrealized losses | $ (90) | $ (78) |
12 months or more, Number of securities in a continuous loss position | Securities | 267 | 238 |
Fair value | $ 14,121 | $ 14,985 |
Gross unrealized losses | $ (525) | $ (550) |
Number of securities in a continuous loss position | Securities | 1,957 | 2,115 |
Fixed maturity securities | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 0 | $ 319 |
Less than 12 months, Gross unrealized losses | $ 0 | $ (116) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 0 | 54 |
12 months or more, Fair value | $ 80 | $ 316 |
12 months or more, Gross unrealized losses | $ (26) | $ (139) |
12 months or more, Number of securities in a continuous loss position | Securities | 8 | 50 |
Fair value | $ 80 | $ 635 |
Gross unrealized losses | $ (26) | $ (255) |
Number of securities in a continuous loss position | Securities | 8 | 104 |
Fixed maturity securities | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 0 | $ 0 |
Less than 12 months, Gross unrealized losses | $ 0 | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 0 | 1 |
12 months or more, Fair value | $ 0 | $ 18 |
12 months or more, Gross unrealized losses | $ 0 | $ (22) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 5 |
Fair value | $ 0 | $ 18 |
Gross unrealized losses | $ 0 | $ (23) |
Number of securities in a continuous loss position | Securities | 0 | 6 |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 1,074 | $ 883 |
Less than 12 months, Gross unrealized losses | $ (50) | $ (16) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 37 | 32 |
12 months or more, Fair value | $ 0 | $ 0 |
12 months or more, Gross unrealized losses | $ 0 | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 0 |
Fair value | $ 1,074 | $ 883 |
Gross unrealized losses | $ (50) | $ (16) |
Number of securities in a continuous loss position | Securities | 37 | 32 |
Fixed maturity securities | State and Political Subdivisions | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 644 | $ 464 |
Less than 12 months, Gross unrealized losses | $ (32) | $ (15) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 109 | 81 |
12 months or more, Fair value | $ 142 | $ 163 |
12 months or more, Gross unrealized losses | $ (18) | $ (15) |
12 months or more, Number of securities in a continuous loss position | Securities | 12 | 17 |
Fair value | $ 786 | $ 627 |
Gross unrealized losses | $ (50) | $ (30) |
Number of securities in a continuous loss position | Securities | 121 | 98 |
Fixed maturity securities | Non-U.S. government | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 497 | $ 366 |
Less than 12 months, Gross unrealized losses | $ (18) | $ (5) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 51 | 49 |
12 months or more, Fair value | $ 0 | $ 0 |
12 months or more, Gross unrealized losses | $ 0 | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 0 |
Fair value | $ 497 | $ 366 |
Gross unrealized losses | $ (18) | $ (5) |
Number of securities in a continuous loss position | Securities | 51 | 49 |
Fixed maturity securities | U.S. corporate | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 5,221 | $ 5,836 |
Less than 12 months, Gross unrealized losses | $ (190) | $ (332) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 711 | 817 |
12 months or more, Fair value | $ 662 | $ 466 |
12 months or more, Gross unrealized losses | $ (49) | $ (62) |
12 months or more, Number of securities in a continuous loss position | Securities | 94 | 83 |
Fair value | $ 5,883 | $ 6,302 |
Gross unrealized losses | $ (239) | $ (394) |
Number of securities in a continuous loss position | Securities | 805 | 900 |
Fixed maturity securities | U.S. corporate | Energy | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 190 | $ 1,162 |
Less than 12 months, Gross unrealized losses | $ (5) | $ (134) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 30 | 163 |
12 months or more, Fair value | $ 276 | $ 131 |
12 months or more, Gross unrealized losses | $ (19) | $ (28) |
12 months or more, Number of securities in a continuous loss position | Securities | 38 | 22 |
Fair value | $ 466 | $ 1,293 |
Gross unrealized losses | $ (24) | $ (162) |
Number of securities in a continuous loss position | Securities | 68 | 185 |
Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 1,438 | $ 1,142 |
Less than 12 months, Gross unrealized losses | $ (38) | $ (35) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 177 | 160 |
12 months or more, Fair value | $ 113 | $ 94 |
12 months or more, Gross unrealized losses | $ (8) | $ (8) |
12 months or more, Number of securities in a continuous loss position | Securities | 15 | 15 |
Fair value | $ 1,551 | $ 1,236 |
Gross unrealized losses | $ (46) | $ (43) |
Number of securities in a continuous loss position | Securities | 192 | 175 |
Fixed maturity securities | Non-U.S. corporate | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 2,257 | $ 3,016 |
Less than 12 months, Gross unrealized losses | $ (66) | $ (170) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 330 | 400 |
12 months or more, Fair value | $ 408 | $ 486 |
12 months or more, Gross unrealized losses | $ (25) | $ (117) |
12 months or more, Number of securities in a continuous loss position | Securities | 57 | 87 |
Fair value | $ 2,665 | $ 3,502 |
Gross unrealized losses | $ (91) | $ (287) |
Number of securities in a continuous loss position | Securities | 387 | 487 |
Fixed maturity securities | Non-U.S. corporate | Energy | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 105 | $ 589 |
Less than 12 months, Gross unrealized losses | $ (3) | $ (48) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 18 | 71 |
12 months or more, Fair value | $ 91 | $ 127 |
12 months or more, Gross unrealized losses | $ (9) | $ (30) |
12 months or more, Number of securities in a continuous loss position | Securities | 16 | 20 |
Fair value | $ 196 | $ 716 |
Gross unrealized losses | $ (12) | $ (78) |
Number of securities in a continuous loss position | Securities | 34 | 91 |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 474 | $ 478 |
Less than 12 months, Gross unrealized losses | $ (8) | $ (7) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 79 | 77 |
12 months or more, Fair value | $ 71 | $ 30 |
12 months or more, Gross unrealized losses | $ (1) | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 16 | 8 |
Fair value | $ 545 | $ 508 |
Gross unrealized losses | $ (9) | $ (8) |
Number of securities in a continuous loss position | Securities | 95 | 85 |
Fixed maturity securities | Residential mortgage-backed | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 725 | $ 756 |
Less than 12 months, Gross unrealized losses | $ (11) | $ (10) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 100 | 88 |
12 months or more, Fair value | $ 58 | $ 103 |
12 months or more, Gross unrealized losses | $ (1) | $ (7) |
12 months or more, Number of securities in a continuous loss position | Securities | 35 | 38 |
Fair value | $ 783 | $ 859 |
Gross unrealized losses | $ (12) | $ (17) |
Number of securities in a continuous loss position | Securities | 135 | 126 |
Fixed maturity securities | Commercial mortgage-backed | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 1,091 | $ 780 |
Less than 12 months, Gross unrealized losses | $ (55) | $ (19) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 168 | 116 |
12 months or more, Fair value | $ 25 | $ 39 |
12 months or more, Gross unrealized losses | $ (1) | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 9 | 13 |
Fair value | $ 1,116 | $ 819 |
Gross unrealized losses | $ (56) | $ (20) |
Number of securities in a continuous loss position | Securities | 177 | 129 |
Fixed maturity securities | Other asset-backed | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 1,069 | $ 1,944 |
Less than 12 months, Gross unrealized losses | $ (13) | $ (22) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 184 | 349 |
12 months or more, Fair value | $ 328 | $ 336 |
12 months or more, Gross unrealized losses | $ (22) | $ (37) |
12 months or more, Number of securities in a continuous loss position | Securities | 68 | 55 |
Fair value | $ 1,397 | $ 2,280 |
Gross unrealized losses | $ (35) | $ (59) |
Number of securities in a continuous loss position | Securities | 252 | 404 |
Fixed maturity securities | Investment grade | Less Than 20 Percent Below Cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 71.00% | |
Fixed maturity securities | Investment grade | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 80 | |
12 months or more, Gross unrealized losses | $ (26) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 6.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 8 | |
Fixed maturity securities | Investment grade | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fixed maturity securities | Investment grade | State and Political Subdivisions | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 9 | |
12 months or more, Gross unrealized losses | $ (3) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 1.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | |
Fixed maturity securities | Investment grade | State and Political Subdivisions | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fixed maturity securities | Investment grade | U.S. corporate | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 25 | |
12 months or more, Gross unrealized losses | $ (7) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 2.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | |
Fixed maturity securities | Investment grade | U.S. corporate | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fixed maturity securities | Investment grade | U.S. corporate | Energy | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 13 | |
12 months or more, Gross unrealized losses | $ (4) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 1.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | |
Fixed maturity securities | Investment grade | U.S. corporate | Energy | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fixed maturity securities | Investment grade | U.S. corporate | Finance and insurance | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 12 | |
12 months or more, Gross unrealized losses | $ (3) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 1.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | |
Fixed maturity securities | Investment grade | U.S. corporate | Finance and insurance | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fixed maturity securities | Investment grade | Non-U.S. corporate | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 2 | |
12 months or more, Gross unrealized losses | $ (1) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | |
Fixed maturity securities | Investment grade | Non-U.S. corporate | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fixed maturity securities | Investment grade | Non-U.S. corporate | Energy | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 2 | |
12 months or more, Gross unrealized losses | $ (1) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | |
Fixed maturity securities | Investment grade | Non-U.S. corporate | Energy | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Equity Securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 119 | $ 153 |
Less than 12 months, Gross unrealized losses | $ (9) | $ (23) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 182 | 64 |
12 months or more, Fair value | $ 114 | $ 0 |
12 months or more, Gross unrealized losses | $ (18) | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 47 | 0 |
Fair value | $ 233 | $ 153 |
Gross unrealized losses | $ (27) | $ (23) |
Number of securities in a continuous loss position | Securities | 229 | 64 |
Equity Securities | Less Than 20 Percent Below Cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 118 | $ 133 |
Less than 12 months, Gross unrealized losses | $ (8) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 167 | 56 |
12 months or more, Fair value | $ 101 | $ 0 |
12 months or more, Gross unrealized losses | $ (14) | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 38 | 0 |
Fair value | $ 219 | $ 133 |
Gross unrealized losses | $ (22) | $ (18) |
Number of securities in a continuous loss position | Securities | 205 | 56 |
Equity Securities | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
Less than 12 months, Fair value | $ 1 | $ 20 |
Less than 12 months, Gross unrealized losses | $ (1) | $ (5) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 15 | 8 |
12 months or more, Fair value | $ 13 | $ 0 |
12 months or more, Gross unrealized losses | $ (4) | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 9 | 0 |
Fair value | $ 14 | $ 20 |
Gross unrealized losses | $ (5) | $ (5) |
Number of securities in a continuous loss position | Securities | 24 | 8 |
Structured Securities | Investment grade | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 44 | |
12 months or more, Gross unrealized losses | $ (15) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 3.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 4 | |
Structured Securities | Investment grade | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Structured Securities | Investment grade | Other asset-backed | 20 To 50 percent below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 44 | |
12 months or more, Gross unrealized losses | $ (15) | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 3.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 4 | |
Structured Securities | Investment grade | Other asset-backed | Greater than 50% below cost | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss [Abstract] | ||
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Percentage of total gross unrealized losses for securities in a continuous loss position | 0.00% | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 |
Gross Unrealized Losses and F72
Gross Unrealized Losses and Fair Value of Corporate Securities Based on Industries (Detail) $ in Millions | Dec. 31, 2016USD ($)Securities | Dec. 31, 2015USD ($)Securities |
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 12,697 | $ 14,198 |
Less than 12 months, Gross unrealized losses | $ (444) | $ (612) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,872 | 1,996 |
12 months or more, Fair value | $ 1,737 | $ 1,593 |
12 months or more, Gross unrealized losses | $ (134) | $ (239) |
12 months or more, Number of securities in a continuous loss position | Securities | 322 | 293 |
Fair value | $ 14,434 | $ 15,791 |
Gross unrealized losses | $ (578) | $ (851) |
Number of securities in a continuous loss position | Securities | 2,194 | 2,289 |
Fixed maturity securities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 12,578 | $ 14,045 |
Less than 12 months, Gross unrealized losses | $ (435) | $ (589) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,690 | 1,932 |
12 months or more, Fair value | $ 1,623 | $ 1,593 |
12 months or more, Gross unrealized losses | $ (116) | $ (239) |
12 months or more, Number of securities in a continuous loss position | Securities | 275 | 293 |
Fair value | $ 14,201 | $ 15,638 |
Gross unrealized losses | $ (551) | $ (828) |
Number of securities in a continuous loss position | Securities | 1,965 | 2,225 |
Fixed maturity securities | U.S. corporate | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 5,221 | $ 5,836 |
Less than 12 months, Gross unrealized losses | $ (190) | $ (332) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 711 | 817 |
12 months or more, Fair value | $ 662 | $ 466 |
12 months or more, Gross unrealized losses | $ (49) | $ (62) |
12 months or more, Number of securities in a continuous loss position | Securities | 94 | 83 |
Fair value | $ 5,883 | $ 6,302 |
Gross unrealized losses | $ (239) | $ (394) |
Number of securities in a continuous loss position | Securities | 805 | 900 |
Fixed maturity securities | U.S. corporate | Utilities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 855 | $ 485 |
Less than 12 months, Gross unrealized losses | $ (39) | $ (25) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 130 | 74 |
12 months or more, Fair value | $ 21 | $ 14 |
12 months or more, Gross unrealized losses | $ (2) | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 5 | 7 |
Fair value | $ 876 | $ 499 |
Gross unrealized losses | $ (41) | $ (26) |
Number of securities in a continuous loss position | Securities | 135 | 81 |
Fixed maturity securities | U.S. corporate | Energy | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 190 | $ 1,162 |
Less than 12 months, Gross unrealized losses | $ (5) | $ (134) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 30 | 163 |
12 months or more, Fair value | $ 276 | $ 131 |
12 months or more, Gross unrealized losses | $ (19) | $ (28) |
12 months or more, Number of securities in a continuous loss position | Securities | 38 | 22 |
Fair value | $ 466 | $ 1,293 |
Gross unrealized losses | $ (24) | $ (162) |
Number of securities in a continuous loss position | Securities | 68 | 185 |
Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 1,438 | $ 1,142 |
Less than 12 months, Gross unrealized losses | $ (38) | $ (35) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 177 | 160 |
12 months or more, Fair value | $ 113 | $ 94 |
12 months or more, Gross unrealized losses | $ (8) | $ (8) |
12 months or more, Number of securities in a continuous loss position | Securities | 15 | 15 |
Fair value | $ 1,551 | $ 1,236 |
Gross unrealized losses | $ (46) | $ (43) |
Number of securities in a continuous loss position | Securities | 192 | 175 |
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 921 | $ 836 |
Less than 12 months, Gross unrealized losses | $ (34) | $ (26) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 117 | 107 |
12 months or more, Fair value | $ 0 | $ 51 |
12 months or more, Gross unrealized losses | $ 0 | $ (4) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 10 |
Fair value | $ 921 | $ 887 |
Gross unrealized losses | $ (34) | $ (30) |
Number of securities in a continuous loss position | Securities | 117 | 117 |
Fixed maturity securities | U.S. corporate | Technology and communications | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 507 | $ 658 |
Less than 12 months, Gross unrealized losses | $ (22) | $ (36) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 70 | 95 |
12 months or more, Fair value | $ 126 | $ 23 |
12 months or more, Gross unrealized losses | $ (10) | $ (2) |
12 months or more, Number of securities in a continuous loss position | Securities | 17 | 5 |
Fair value | $ 633 | $ 681 |
Gross unrealized losses | $ (32) | $ (38) |
Number of securities in a continuous loss position | Securities | 87 | 100 |
Fixed maturity securities | U.S. corporate | Industrial | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 226 | $ 476 |
Less than 12 months, Gross unrealized losses | $ (7) | $ (33) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 38 | 64 |
12 months or more, Fair value | $ 77 | $ 44 |
12 months or more, Gross unrealized losses | $ (7) | $ (11) |
12 months or more, Number of securities in a continuous loss position | Securities | 10 | 9 |
Fair value | $ 303 | $ 520 |
Gross unrealized losses | $ (14) | $ (44) |
Number of securities in a continuous loss position | Securities | 48 | 73 |
Fixed maturity securities | U.S. corporate | Capital goods | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 322 | $ 293 |
Less than 12 months, Gross unrealized losses | $ (12) | $ (10) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 50 | 48 |
12 months or more, Fair value | $ 6 | $ 26 |
12 months or more, Gross unrealized losses | $ (1) | $ (2) |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | 4 |
Fair value | $ 328 | $ 319 |
Gross unrealized losses | $ (13) | $ (12) |
Number of securities in a continuous loss position | Securities | 51 | 52 |
Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 431 | $ 427 |
Less than 12 months, Gross unrealized losses | $ (16) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 56 | 60 |
12 months or more, Fair value | $ 26 | $ 63 |
12 months or more, Gross unrealized losses | $ (1) | $ (4) |
12 months or more, Number of securities in a continuous loss position | Securities | 6 | 10 |
Fair value | $ 457 | $ 490 |
Gross unrealized losses | $ (17) | $ (22) |
Number of securities in a continuous loss position | Securities | 62 | 70 |
Fixed maturity securities | U.S. corporate | Transportation | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 302 | $ 273 |
Less than 12 months, Gross unrealized losses | $ (16) | $ (10) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 41 | 38 |
12 months or more, Fair value | $ 17 | $ 20 |
12 months or more, Gross unrealized losses | $ (1) | $ (2) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 1 |
Fair value | $ 319 | $ 293 |
Gross unrealized losses | $ (17) | $ (12) |
Number of securities in a continuous loss position | Securities | 43 | 39 |
Fixed maturity securities | U.S. corporate | Other | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 29 | $ 84 |
Less than 12 months, Gross unrealized losses | $ (1) | $ (5) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 2 | 8 |
12 months or more, Fair value | $ 0 | $ 0 |
12 months or more, Gross unrealized losses | $ 0 | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 0 |
Fair value | $ 29 | $ 84 |
Gross unrealized losses | $ (1) | $ (5) |
Number of securities in a continuous loss position | Securities | 2 | 8 |
Fixed maturity securities | Non-U.S. corporate | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 2,257 | $ 3,016 |
Less than 12 months, Gross unrealized losses | $ (66) | $ (170) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 330 | 400 |
12 months or more, Fair value | $ 408 | $ 486 |
12 months or more, Gross unrealized losses | $ (25) | $ (117) |
12 months or more, Number of securities in a continuous loss position | Securities | 57 | 87 |
Fair value | $ 2,665 | $ 3,502 |
Gross unrealized losses | $ (91) | $ (287) |
Number of securities in a continuous loss position | Securities | 387 | 487 |
Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 240 | $ 130 |
Less than 12 months, Gross unrealized losses | $ (10) | $ (6) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 32 | 20 |
12 months or more, Fair value | $ 14 | $ 32 |
12 months or more, Gross unrealized losses | $ (1) | $ (3) |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | 6 |
Fair value | $ 254 | $ 162 |
Gross unrealized losses | $ (11) | $ (9) |
Number of securities in a continuous loss position | Securities | 33 | 26 |
Fixed maturity securities | Non-U.S. corporate | Energy | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 105 | $ 589 |
Less than 12 months, Gross unrealized losses | $ (3) | $ (48) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 18 | 71 |
12 months or more, Fair value | $ 91 | $ 127 |
12 months or more, Gross unrealized losses | $ (9) | $ (30) |
12 months or more, Number of securities in a continuous loss position | Securities | 16 | 20 |
Fair value | $ 196 | $ 716 |
Gross unrealized losses | $ (12) | $ (78) |
Number of securities in a continuous loss position | Securities | 34 | 91 |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 474 | $ 478 |
Less than 12 months, Gross unrealized losses | $ (8) | $ (7) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 79 | 77 |
12 months or more, Fair value | $ 71 | $ 30 |
12 months or more, Gross unrealized losses | $ (1) | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 16 | 8 |
Fair value | $ 545 | $ 508 |
Gross unrealized losses | $ (9) | $ (8) |
Number of securities in a continuous loss position | Securities | 95 | 85 |
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 308 | $ 261 |
Less than 12 months, Gross unrealized losses | $ (14) | $ (14) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 30 | 27 |
12 months or more, Fair value | $ 0 | $ 37 |
12 months or more, Gross unrealized losses | $ 0 | $ (4) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 4 |
Fair value | $ 308 | $ 298 |
Gross unrealized losses | $ (14) | $ (18) |
Number of securities in a continuous loss position | Securities | 30 | 31 |
Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 232 | $ 324 |
Less than 12 months, Gross unrealized losses | $ (9) | $ (15) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 34 | 37 |
12 months or more, Fair value | $ 28 | $ 33 |
12 months or more, Gross unrealized losses | $ (1) | $ (11) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 9 |
Fair value | $ 260 | $ 357 |
Gross unrealized losses | $ (10) | $ (26) |
Number of securities in a continuous loss position | Securities | 36 | 46 |
Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 165 | $ 495 |
Less than 12 months, Gross unrealized losses | $ (5) | $ (54) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 21 | 67 |
12 months or more, Fair value | $ 91 | $ 110 |
12 months or more, Gross unrealized losses | $ (4) | $ (42) |
12 months or more, Number of securities in a continuous loss position | Securities | 10 | 18 |
Fair value | $ 256 | $ 605 |
Gross unrealized losses | $ (9) | $ (96) |
Number of securities in a continuous loss position | Securities | 31 | 85 |
Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 104 | $ 154 |
Less than 12 months, Gross unrealized losses | $ (2) | $ (8) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 14 | 22 |
12 months or more, Fair value | $ 28 | $ 41 |
12 months or more, Gross unrealized losses | $ (2) | $ (9) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 9 |
Fair value | $ 132 | $ 195 |
Gross unrealized losses | $ (4) | $ (17) |
Number of securities in a continuous loss position | Securities | 16 | 31 |
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 90 | $ 155 |
Less than 12 months, Gross unrealized losses | $ (2) | $ (4) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 17 | 20 |
12 months or more, Fair value | $ 0 | $ 0 |
12 months or more, Gross unrealized losses | $ 0 | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 0 |
Fair value | $ 90 | $ 155 |
Gross unrealized losses | $ (2) | $ (4) |
Number of securities in a continuous loss position | Securities | 17 | 20 |
Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 106 | $ 147 |
Less than 12 months, Gross unrealized losses | $ (5) | $ (6) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 16 | 17 |
12 months or more, Fair value | $ 25 | $ 0 |
12 months or more, Gross unrealized losses | $ (2) | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 0 |
Fair value | $ 131 | $ 147 |
Gross unrealized losses | $ (7) | $ (6) |
Number of securities in a continuous loss position | Securities | 18 | 17 |
Fixed maturity securities | Non-U.S. corporate | Other | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 433 | $ 283 |
Less than 12 months, Gross unrealized losses | $ (8) | $ (8) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 69 | 42 |
12 months or more, Fair value | $ 60 | $ 76 |
12 months or more, Gross unrealized losses | $ (5) | $ (17) |
12 months or more, Number of securities in a continuous loss position | Securities | 8 | 13 |
Fair value | $ 493 | $ 359 |
Gross unrealized losses | $ (13) | $ (25) |
Number of securities in a continuous loss position | Securities | 77 | 55 |
Fixed maturity securities | Corporate Debt Securities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 7,478 | $ 8,852 |
Less than 12 months, Gross unrealized losses | $ (256) | $ (502) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 1,041 | 1,217 |
12 months or more, Fair value | $ 1,070 | $ 952 |
12 months or more, Gross unrealized losses | $ (74) | $ (179) |
12 months or more, Number of securities in a continuous loss position | Securities | 151 | 170 |
Fair value | $ 8,548 | $ 9,804 |
Gross unrealized losses | $ (330) | $ (681) |
Number of securities in a continuous loss position | Securities | 1,192 | 1,387 |
Scheduled Maturity Distribution
Scheduled Maturity Distribution of Fixed Maturity Securities (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Amortized cost or cost | ||
Due one year or less | $ 1,701 | |
Due after one year through five years | 10,500 | |
Due after five years through ten years | 12,306 | |
Due after ten years | 22,131 | |
Subtotal | 46,638 | |
Amortized cost or cost, fixed maturity securities | 57,014 | $ 55,161 |
Fair value | ||
Due one year or less | 1,721 | |
Due after one year through five years | 10,938 | |
Due after five years through ten years | 12,647 | |
Due after ten years | 24,607 | |
Subtotal | 49,913 | |
Fair value, fixed maturity securities | 60,572 | $ 58,197 |
Residential mortgage-backed | ||
Amortized cost or cost | ||
Fixed maturity securities | 4,122 | |
Fair value | ||
Fixed maturity securities | 4,379 | |
Commercial mortgage-backed | ||
Amortized cost or cost | ||
Fixed maturity securities | 3,084 | |
Fair value | ||
Fixed maturity securities | 3,129 | |
Other asset-backed | ||
Amortized cost or cost | ||
Fixed maturity securities | 3,170 | |
Fair value | ||
Fixed maturity securities | $ 3,151 |
Distribution Across Property Ty
Distribution Across Property Type and Geographic Region for Commercial Mortgage Loans (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,125 | $ 6,187 |
Unamortized balance of loan origination fees and costs | $ (2) | $ (2) |
% of total | 100.00% | 100.00% |
Allowance for losses | $ (12) | $ (15) |
Total | 6,111 | 6,170 |
Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 6,125 | 6,187 |
Unamortized balance of loan origination fees and costs | $ (2) | $ (2) |
% of total | 100.00% | 100.00% |
Allowance for losses | $ (12) | $ (15) |
Total | 6,111 | 6,170 |
Pacific | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,567 | $ 1,581 |
% of total | 27.00% | 26.00% |
South Atlantic | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,546 | $ 1,574 |
% of total | 25.00% | 25.00% |
Middle Atlantic | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 915 | $ 890 |
% of total | 15.00% | 14.00% |
Mountain | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 554 | $ 585 |
% of total | 9.00% | 10.00% |
West North Central | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 435 | $ 416 |
% of total | 7.00% | 7.00% |
East North Central | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 388 | $ 386 |
% of total | 6.00% | 6.00% |
West South Central | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 311 | $ 294 |
% of total | 5.00% | 5.00% |
New England | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 206 | $ 268 |
% of total | 3.00% | 4.00% |
East South Central | Commercial Mortgage Loan | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 203 | $ 193 |
% of total | 3.00% | 3.00% |
Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,178 | $ 2,116 |
% of total | 36.00% | 34.00% |
Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,533 | $ 1,562 |
% of total | 25.00% | 25.00% |
Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,430 | $ 1,516 |
% of total | 23.00% | 24.00% |
Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 455 | $ 465 |
% of total | 7.00% | 8.00% |
Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 245 | $ 234 |
% of total | 4.00% | 4.00% |
Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 284 | $ 294 |
% of total | 5.00% | 5.00% |
Aging of Past Due Commercial Mo
Aging of Past Due Commercial Mortgage Loans by Property Type (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,125 | $ 6,187 |
% of total | 100.00% | 100.00% |
Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,178 | $ 2,116 |
% of total | 36.00% | 34.00% |
Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,533 | $ 1,562 |
% of total | 25.00% | 25.00% |
Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,430 | $ 1,516 |
% of total | 23.00% | 24.00% |
Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 455 | $ 465 |
% of total | 7.00% | 8.00% |
Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 245 | $ 234 |
% of total | 4.00% | 4.00% |
Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 284 | $ 294 |
% of total | 5.00% | 5.00% |
31-60 days past due | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1 | $ 6 |
% of total | 0.00% | 0.00% |
31-60 days past due | Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 0 | $ 0 |
31-60 days past due | Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 1 | 0 |
31-60 days past due | Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 6 |
31-60 days past due | Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
31-60 days past due | Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
31-60 days past due | Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
61-90 days past due | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 0 | $ 0 |
% of total | 0.00% | 0.00% |
61-90 days past due | Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 0 | $ 0 |
61-90 days past due | Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
61-90 days past due | Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
61-90 days past due | Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
61-90 days past due | Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
61-90 days past due | Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Greater than 90 days past due | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 12 | $ 5 |
% of total | 0.00% | 0.00% |
Greater than 90 days past due | Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 0 | $ 0 |
Greater than 90 days past due | Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 12 | 0 |
Greater than 90 days past due | Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 5 |
Greater than 90 days past due | Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Greater than 90 days past due | Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Greater than 90 days past due | Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Total past due | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 13 | $ 11 |
% of total | 0.00% | 0.00% |
Total past due | Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 0 | $ 0 |
Total past due | Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 13 | 0 |
Total past due | Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 11 |
Total past due | Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Total past due | Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Total past due | Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Current | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,112 | $ 6,176 |
% of total | 100.00% | 100.00% |
Current | Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,178 | $ 2,116 |
Current | Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,520 | 1,562 |
Current | Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,430 | 1,505 |
Current | Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 455 | 465 |
Current | Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 245 | 234 |
Current | Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 284 | $ 294 |
Allowance for Credit Losses and
Allowance for Credit Losses and Recorded Investment in Commercial Mortgage Loans (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Beginning balance | $ 15 | ||
Ending balance | 12 | $ 15 | |
Ending balance | 6,125 | 6,187 | |
Allowance for Credit Losses | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Beginning balance | 15 | 22 | $ 33 |
Charge-offs | (6) | (4) | (1) |
Recoveries | 0 | 0 | 0 |
Provision | 3 | (3) | (10) |
Ending balance | 12 | 15 | 22 |
Ending allowance for individually impaired loans | 0 | 0 | 0 |
Ending allowance for loans not individually impaired that were evaluated collectively for impairment | 12 | 15 | 22 |
Commercial Mortgage Loans Recorded Investment | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Ending balance | 6,125 | 6,187 | 6,123 |
Ending balance of individually impaired loans | 12 | 19 | 15 |
Ending balance of loans not individually impaired that were evaluated collectively for impairment | $ 6,113 | $ 6,168 | $ 6,108 |
Loan-to-Value of Commercial Mor
Loan-to-Value of Commercial Mortgage Loans by Property Type (Detail) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 6,125 | $ 6,187 | ||
% of total | 100.00% | 100.00% | ||
Weighted-average debt service coverage ratio | 1.87 | 1.79 | ||
Retail | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 2,178 | $ 2,116 | ||
% of total | 36.00% | 34.00% | ||
Industrial | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 1,533 | $ 1,562 | ||
% of total | 25.00% | 25.00% | ||
Office | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 1,430 | $ 1,516 | ||
% of total | 23.00% | 24.00% | ||
Apartments | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 455 | $ 465 | ||
% of total | 7.00% | 8.00% | ||
Mixed Use | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 245 | $ 234 | ||
% of total | 4.00% | 4.00% | ||
Other | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 284 | $ 294 | ||
% of total | 5.00% | 5.00% | ||
Greater than 100% | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 7 | [1] | $ 38 | [2] |
% of total | 0.00% | [1] | 1.00% | [2] |
Weighted-average debt service coverage ratio | (0.07) | [1] | 0.55 | [2] |
Greater than 100% | Retail | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 0 | [1] | $ 11 | [2] |
Greater than 100% | Industrial | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 0 | [1] | 5 | [2] |
Greater than 100% | Office | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 7 | [1] | 19 | [2] |
Greater than 100% | Apartments | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 0 | [1] | 0 | [2] |
Greater than 100% | Mixed Use | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 0 | [1] | 3 | [2] |
Greater than 100% | Other | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 0 | [1] | 0 | [2] |
0% - 50% | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 2,094 | $ 2,099 | ||
% of total | 34.00% | 34.00% | ||
Weighted-average debt service coverage ratio | 2.20 | 2.13 | ||
0% - 50% | Retail | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 743 | $ 785 | ||
0% - 50% | Industrial | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 605 | 515 | ||
0% - 50% | Office | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 431 | 493 | ||
0% - 50% | Apartments | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 188 | 196 | ||
0% - 50% | Mixed Use | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 67 | 56 | ||
0% - 50% | Other | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 60 | 54 | ||
51% - 60% | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 1,457 | $ 1,405 | ||
% of total | 24.00% | 23.00% | ||
Weighted-average debt service coverage ratio | 1.88 | 1.82 | ||
51% - 60% | Retail | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 511 | $ 417 | ||
51% - 60% | Industrial | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 430 | 478 | ||
51% - 60% | Office | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 310 | 341 | ||
51% - 60% | Apartments | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 89 | 66 | ||
51% - 60% | Mixed Use | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 87 | 48 | ||
51% - 60% | Other | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 30 | 55 | ||
61% - 75% | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 2,511 | $ 2,370 | ||
% of total | 41.00% | 38.00% | ||
Weighted-average debt service coverage ratio | 1.61 | 1.57 | ||
61% - 75% | Retail | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 913 | $ 800 | ||
61% - 75% | Industrial | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 484 | 499 | ||
61% - 75% | Office | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 656 | 580 | ||
61% - 75% | Apartments | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 173 | 182 | ||
61% - 75% | Mixed Use | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 91 | 124 | ||
61% - 75% | Other | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 194 | 185 | ||
76% - 100% | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 56 | $ 275 | ||
% of total | 1.00% | 4.00% | ||
Weighted-average debt service coverage ratio | 0.80 | 1.12 | ||
76% - 100% | Retail | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 11 | $ 103 | ||
76% - 100% | Industrial | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 14 | 65 | ||
76% - 100% | Office | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 26 | 83 | ||
76% - 100% | Apartments | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 5 | 21 | ||
76% - 100% | Mixed Use | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 0 | 3 | ||
76% - 100% | Other | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 0 | $ 0 | ||
[1] | Included a loan with a recorded investment of $7 million in good standing, where the borrower continued to make timely payments, with a loan-to-value of 105%. We evaluated this loan on an individual basis and as it is in good standing, the current recorded investment is expected to be recoverable. | |||
[2] | Included $38 million of loans in good standing, where borrowers continued to make timely payments, with a total weighted-average loan-to-value of 123%. |
Loan-to-Value of Commercial M78
Loan-to-Value of Commercial Mortgage Loans by Property Type (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | |||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 6,125 | $ 6,187 | ||
Greater than 100% | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | 7 | [1] | 38 | [2] |
Greater than 100% | Loans in Good Standing | ||||
Mortgage Loans on Real Estate [Line Items] | ||||
Commercial mortgage loans, recorded investment | $ 7 | $ 38 | ||
Weighted-average loan-to-value | 105.00% | 123.00% | ||
[1] | Included a loan with a recorded investment of $7 million in good standing, where the borrower continued to make timely payments, with a loan-to-value of 105%. We evaluated this loan on an individual basis and as it is in good standing, the current recorded investment is expected to be recoverable. | |||
[2] | Included $38 million of loans in good standing, where borrowers continued to make timely payments, with a total weighted-average loan-to-value of 123%. |
Debt Service Coverage Ratio for
Debt Service Coverage Ratio for Fixed Rate Commercial Mortgage Loans by Property Type (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,125 | $ 6,187 |
% of total | 100.00% | 100.00% |
Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,125 | $ 6,180 |
% of total | 100.00% | 100.00% |
Weighted-average loan-to-value | 55.00% | 56.00% |
Retail | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,178 | $ 2,116 |
% of total | 36.00% | 34.00% |
Retail | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,178 | $ 2,116 |
Industrial | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,533 | $ 1,562 |
% of total | 25.00% | 25.00% |
Industrial | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,533 | $ 1,562 |
Office | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,430 | $ 1,516 |
% of total | 23.00% | 24.00% |
Office | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,430 | $ 1,509 |
Apartments | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 455 | $ 465 |
% of total | 7.00% | 8.00% |
Apartments | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 455 | $ 465 |
Mixed Use | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 245 | $ 234 |
% of total | 4.00% | 4.00% |
Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 245 | $ 234 |
Other | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 284 | $ 294 |
% of total | 5.00% | 5.00% |
Other | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 284 | $ 294 |
Less than 1.00 | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 251 | $ 255 |
% of total | 4.00% | 4.00% |
Weighted-average loan-to-value | 61.00% | 74.00% |
Less than 1.00 | Retail | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 67 | $ 67 |
Less than 1.00 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 71 | 94 |
Less than 1.00 | Office | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 91 | 85 |
Less than 1.00 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 19 | 6 |
Less than 1.00 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 2 | 3 |
Less than 1.00 | Other | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 1 | 0 |
1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 613 | $ 626 |
% of total | 10.00% | 10.00% |
Weighted-average loan-to-value | 60.00% | 64.00% |
1.00 - 1.25 | Retail | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 204 | $ 221 |
1.00 - 1.25 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 113 | 181 |
1.00 - 1.25 | Office | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 117 | 114 |
1.00 - 1.25 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 22 | 41 |
1.00 - 1.25 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 9 | 11 |
1.00 - 1.25 | Other | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 148 | 58 |
1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 956 | $ 1,154 |
% of total | 16.00% | 19.00% |
Weighted-average loan-to-value | 59.00% | 58.00% |
1.26 - 1.50 | Retail | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 425 | $ 433 |
1.26 - 1.50 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 236 | 208 |
1.26 - 1.50 | Office | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 172 | 265 |
1.26 - 1.50 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 44 | 74 |
1.26 - 1.50 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 19 | 28 |
1.26 - 1.50 | Other | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 60 | 146 |
1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,507 | $ 2,647 |
% of total | 41.00% | 43.00% |
Weighted-average loan-to-value | 58.00% | 58.00% |
1.51 - 2.00 | Retail | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 899 | $ 882 |
1.51 - 2.00 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 599 | 672 |
1.51 - 2.00 | Office | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 609 | 699 |
1.51 - 2.00 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 217 | 199 |
1.51 - 2.00 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 128 | 135 |
1.51 - 2.00 | Other | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 55 | 60 |
Greater than 2.00 | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,798 | $ 1,498 |
% of total | 29.00% | 24.00% |
Weighted-average loan-to-value | 45.00% | 43.00% |
Greater than 2.00 | Retail | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 583 | $ 513 |
Greater than 2.00 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 514 | 407 |
Greater than 2.00 | Office | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 441 | 346 |
Greater than 2.00 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 153 | 145 |
Greater than 2.00 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 87 | 57 |
Greater than 2.00 | Other | Fixed Rate Commercial Mortgage Loans | ||
Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 20 | $ 30 |
Schedule of Positions in Deriva
Schedule of Positions in Derivative Instruments (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | |||
Derivative assets, fair value | $ 724 | $ 1,129 | |
Derivative liabilities, fair value | 1,041 | 1,063 | |
Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 383 | 359 | |
Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 658 | 704 | |
Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 708 | 1,112 | |
Interest rate swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 349 | 220 | |
Interest rate swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 596 | 1,054 | |
Inflation indexed swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 33 | ||
Foreign currency swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 5 | 27 | |
Foreign currency swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 4 | 8 | |
Interest rate swaps related to securitization entities | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [1] | 30 | |
Credit default swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 1 | ||
Credit default swaps related to securitization entities | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [1] | 1 | 14 |
Equity index options | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 72 | 30 | |
Equity return swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Equity return swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 1 | 2 | |
Other foreign currency contracts | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 27 | 34 | |
Other foreign currency contracts | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 35 | 17 | |
GMWB embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [2] | 303 | 352 |
GMWB embedded derivatives | Reinsurance recoverable | |||
Derivative [Line Items] | |||
Derivative assets, fair value | [3] | 16 | 17 |
Fixed index annuity embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 344 | 342 | |
Indexed universal life embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 11 | 10 | |
Designated As Hedging Instrument | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 241 | 637 | |
Derivative liabilities, fair value | 203 | 70 | |
Designated As Hedging Instrument | Cash Flow Hedges | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 241 | 637 | |
Derivative liabilities, fair value | 203 | 70 | |
Designated As Hedging Instrument | Cash Flow Hedges | Interest rate swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 203 | 37 | |
Designated As Hedging Instrument | Cash Flow Hedges | Interest rate swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 237 | 629 | |
Designated As Hedging Instrument | Cash Flow Hedges | Inflation indexed swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 33 | |
Designated As Hedging Instrument | Cash Flow Hedges | Inflation indexed swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Designated As Hedging Instrument | Cash Flow Hedges | Foreign currency swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Designated As Hedging Instrument | Cash Flow Hedges | Foreign currency swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 4 | 8 | |
Derivatives not designated as hedges | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 483 | 492 | |
Derivative liabilities, fair value | 838 | 993 | |
Derivatives not designated as hedges | Interest rate swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 146 | 183 | |
Derivatives not designated as hedges | Interest rate swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 359 | 425 | |
Derivatives not designated as hedges | Foreign currency swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 5 | 27 | |
Derivatives not designated as hedges | Foreign currency swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Derivatives not designated as hedges | Interest rate swaps related to securitization entities | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | 30 |
Derivatives not designated as hedges | Interest rate swaps related to securitization entities | Restricted other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | [1] | 0 | 0 |
Derivatives not designated as hedges | Credit default swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Derivatives not designated as hedges | Credit default swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 1 | |
Derivatives not designated as hedges | Credit default swaps related to securitization entities | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [1] | 1 | 14 |
Derivatives not designated as hedges | Credit default swaps related to securitization entities | Restricted other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | [1] | 0 | 0 |
Derivatives not designated as hedges | Equity index options | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Derivatives not designated as hedges | Equity index options | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 72 | 30 | |
Derivatives not designated as hedges | Financial futures | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Derivatives not designated as hedges | Financial futures | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Derivatives not designated as hedges | Equity return swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Derivatives not designated as hedges | Equity return swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 1 | 2 | |
Derivatives not designated as hedges | Other foreign currency contracts | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 27 | 34 | |
Derivatives not designated as hedges | Other foreign currency contracts | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 35 | 17 | |
Derivatives not designated as hedges | GMWB embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [4] | 303 | 352 |
Derivatives not designated as hedges | GMWB embedded derivatives | Reinsurance recoverable | |||
Derivative [Line Items] | |||
Derivative assets, fair value | [3] | 16 | 17 |
Derivatives not designated as hedges | Fixed index annuity embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [5] | 344 | 342 |
Derivatives not designated as hedges | Fixed index annuity embedded derivatives | Other assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Derivatives not designated as hedges | Indexed universal life embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [6] | 11 | 10 |
Derivatives not designated as hedges | Indexed universal life embedded derivatives | Reinsurance recoverable | |||
Derivative [Line Items] | |||
Derivative assets, fair value | $ 0 | $ 0 | |
[1] | See note 17 for additional information related to consolidated securitization entities. | ||
[2] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. | ||
[3] | Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. | ||
[4] | Represents the embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. | ||
[5] | Represents the embedded derivatives associated with our fixed index annuity liabilities. | ||
[6] | Represents the embedded derivatives associated with our indexed universal life liabilities. |
Activity Associated with Deriva
Activity Associated with Derivative Instruments (Detail) $ in Millions | 12 Months Ended | |
Dec. 31, 2016USD ($)Policies | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | $ 21,638 | |
Additions | 24,143 | |
Maturities/ terminations | (21,869) | |
Notional amount, ending balance | 23,912 | |
Designated As Hedging Instrument | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 11,820 | |
Additions | 9,992 | |
Maturities/ terminations | (10,220) | |
Notional amount, ending balance | 11,592 | |
Designated As Hedging Instrument | Cash Flow Hedges | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 11,820 | |
Additions | 9,992 | |
Maturities/ terminations | (10,220) | |
Notional amount, ending balance | 11,592 | |
Designated As Hedging Instrument | Cash Flow Hedges | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 11,214 | |
Additions | 9,991 | |
Maturities/ terminations | (9,635) | |
Notional amount, ending balance | 11,570 | |
Designated As Hedging Instrument | Cash Flow Hedges | Inflation indexed swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 571 | |
Additions | 1 | |
Maturities/ terminations | (572) | |
Notional amount, ending balance | 0 | |
Designated As Hedging Instrument | Cash Flow Hedges | Foreign currency swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 35 | |
Additions | 0 | |
Maturities/ terminations | (13) | |
Notional amount, ending balance | 22 | |
Derivatives not designated as hedges | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 9,818 | |
Additions | 14,151 | |
Maturities/ terminations | (11,649) | |
Notional amount, ending balance | 12,320 | |
Derivatives not designated as hedges | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 4,932 | |
Additions | 0 | |
Maturities/ terminations | (253) | |
Notional amount, ending balance | 4,679 | |
Derivatives not designated as hedges | Foreign currency swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 162 | |
Additions | 146 | |
Maturities/ terminations | (107) | |
Notional amount, ending balance | 201 | |
Derivatives not designated as hedges | Interest rate swaps related to securitization entities | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 67 | [1] |
Additions | 0 | [1] |
Maturities/ terminations | (67) | [1] |
Notional amount, ending balance | 0 | [1] |
Derivatives not designated as hedges | Credit default swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 144 | |
Additions | 0 | |
Maturities/ terminations | (105) | |
Notional amount, ending balance | 39 | |
Derivatives not designated as hedges | Credit default swaps related to securitization entities | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 312 | [1] |
Additions | 0 | [1] |
Maturities/ terminations | 0 | [1] |
Notional amount, ending balance | 312 | [1] |
Derivatives not designated as hedges | Equity index options | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 1,080 | |
Additions | 3,272 | |
Maturities/ terminations | (1,956) | |
Notional amount, ending balance | 2,396 | |
Derivatives not designated as hedges | Financial futures | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 1,331 | |
Additions | 6,891 | |
Maturities/ terminations | (6,824) | |
Notional amount, ending balance | 1,398 | |
Derivatives not designated as hedges | Equity return swaps | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 134 | |
Additions | 364 | |
Maturities/ terminations | (333) | |
Notional amount, ending balance | 165 | |
Derivatives not designated as hedges | Other foreign currency contracts | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | 1,656 | |
Additions | 3,478 | |
Maturities/ terminations | (2,004) | |
Notional amount, ending balance | $ 3,130 | |
Derivatives not designated as hedges | GMWB embedded derivatives | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | Policies | 36,146 | |
Additions | Policies | 0 | |
Maturities/ terminations | Policies | (2,908) | |
Notional amount, ending balance | Policies | 33,238 | |
Derivatives not designated as hedges | Fixed index annuity embedded derivatives | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | Policies | 17,482 | |
Additions | Policies | 666 | |
Maturities/ terminations | Policies | (599) | |
Notional amount, ending balance | Policies | 17,549 | |
Derivatives not designated as hedges | Indexed universal life embedded derivatives | ||
Derivative [Line Items] | ||
Notional amount, beginning balance | Policies | 982 | |
Additions | Policies | 167 | |
Maturities/ terminations | Policies | (75) | |
Notional amount, ending balance | Policies | 1,074 | |
[1] | See note 17 for additional information related to consolidated securitization entities. |
Schedule of Pre-Tax Income (Los
Schedule of Pre-Tax Income (Loss) Effects of Cash Flow Hedges (Detail) - Cash Flow Hedges - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | $ 184 | $ 79 | $ 1,215 | |
Gain (loss) reclassified into net loss from OCI | 123 | 118 | 57 | |
Gain (loss) recognized in net loss | [1] | 8 | 0 | 15 |
Interest Rate Swaps Hedging Assets | Net Investment (Gains) Losses | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | 0 | ||
Gain (loss) reclassified into net loss from OCI | 2 | 2 | ||
Gain (loss) recognized in net loss | [1] | 3 | 0 | 15 |
Interest Rate Swaps Hedging Assets | Net Investment Income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 198 | 78 | 1,229 | |
Gain (loss) reclassified into net loss from OCI | 112 | 85 | 63 | |
Interest Rate Swaps Hedging Liabilities | Net Investment (Gains) Losses | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in net loss | [1] | 0 | 0 | 0 |
Interest Rate Swaps Hedging Liabilities | Interest Expense | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | (5) | (10) | (69) | |
Gain (loss) reclassified into net loss from OCI | 0 | 0 | 1 | |
Inflation indexed swaps | Net Investment (Gains) Losses | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | |||
Gain (loss) reclassified into net loss from OCI | 7 | |||
Gain (loss) recognized in net loss | [1] | 0 | 0 | 0 |
Inflation indexed swaps | Net Investment Income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | (5) | 9 | 17 | |
Gain (loss) reclassified into net loss from OCI | 2 | 0 | (9) | |
Foreign currency swaps | Net Investment (Gains) Losses | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | |||
Gain (loss) reclassified into net loss from OCI | 0 | |||
Gain (loss) recognized in net loss | [1] | 5 | 0 | 0 |
Foreign currency swaps | Net Investment Income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | (4) | 2 | ||
Gain (loss) reclassified into net loss from OCI | $ 0 | 0 | ||
Foreign currency swaps | Interest Expense | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 4 | |||
Gain (loss) reclassified into net loss from OCI | 0 | |||
Forward bond purchase commitments | Net Investment (Gains) Losses | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | |||
Gain (loss) reclassified into net loss from OCI | 32 | |||
Gain (loss) recognized in net loss | [1] | 0 | 0 | |
Forward bond purchase commitments | Net Investment Income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | 34 | ||
Gain (loss) reclassified into net loss from OCI | $ 1 | $ 0 | ||
[1] | Represents ineffective portion of cash flow hedges as there were no amounts excluded from the measurement of effectiveness. |
Reconciliation of Current Perio
Reconciliation of Current Period Changes, Net of Applicable Income Taxes, for Derivatives Qualifying as Hedges (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Derivative Instruments [Abstract] | ||||
Derivatives qualifying as effective accounting hedges, beginning of period | [1] | $ 2,045 | $ 2,070 | $ 1,319 |
Current period increases (decreases) in fair value, net of deferred taxes | [1] | 120 | 50 | 788 |
Reclassification to net loss, net of deferred taxes | [1] | (80) | (75) | (37) |
Derivatives qualifying as effective accounting hedges, end of period | [1] | $ 2,085 | $ 2,045 | $ 2,070 |
[1] | See note 5 for additional information. |
Reconciliation of Current Per84
Reconciliation of Current Period Changes, Net of Applicable Income Taxes, for Derivatives Qualifying as Hedges (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Current period increases (decreases) in fair value, deferred taxes | $ (64) | $ (29) | $ (427) |
Reclassification to net loss, deferred taxes | $ 43 | $ 43 | $ 20 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Derivative [Line Items] | |||||
Derivatives designated as cash flow hedges gain (loss), amount expected to be reclassified to future net income (loss), net of tax | [1] | $ 2,085 | $ 2,045 | $ 2,070 | $ 1,319 |
Year by which all forecasted transactions associated with qualifying cash flow hedges are expected to occur | 2,057 | ||||
Derivatives designated as cash flow hedges gain (loss), amount expected to be reclassified to net income (loss) in the next 12 months, net of tax | $ 85 | ||||
Amount reclassified to net loss in connection with forecasted transactions that were no longer considered probable of occurring | 10 | ||||
Derivative assets | Subject to enforceable master netting arrangement | |||||
Derivative [Line Items] | |||||
Amount to claim from counterparties if the downgrade provisions had been triggered | [2] | 86 | 265 | ||
Derivative liabilities | Subject to enforceable master netting arrangement | |||||
Derivative [Line Items] | |||||
Amounts required for disbursement to counterparties if the downgrade provisions had been triggered | [3] | $ 2 | $ 0 | ||
[1] | See note 5 for additional information. | ||||
[2] | Included $16 million and $24 million of accruals on derivatives classified as other assets and does not include amounts related to embedded derivatives as of December 31, 2016 and 2015, respectively. | ||||
[3] | Included $5 million and $6 million of accruals on derivatives classified as other liabilities and does not include amounts related to embedded derivatives and derivatives related to securitization entities as of December 31, 2016 and 2015, respectively. |
Schedule of Pre-Tax Gain (Loss)
Schedule of Pre-Tax Gain (Loss) Recognized in Net Income (Loss) for Effects of Derivatives not Designated as Hedges (Detail) - Derivatives not designated as hedges - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | $ 11 | $ (105) | $ (110) | |
Interest rate swaps | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 12 | (11) | 1 | |
Interest rate swaps related to securitization entities | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | [1] | (10) | (4) | (9) |
Credit default swaps | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 1 | 1 | 1 | |
Credit default swaps related to securitization entities | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | [1] | 18 | 7 | 19 |
Equity index options | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 10 | (25) | (31) | |
Financial futures | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | (111) | (34) | 90 | |
Equity return swaps | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | (1) | (3) | 5 | |
Other foreign currency contracts | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 24 | 10 | (4) | |
Foreign currency swaps | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 4 | (22) | (7) | |
Forward bond purchase commitments | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 0 | 2 | 0 | |
GMWB embedded derivatives | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 76 | (25) | (147) | |
Fixed index annuity embedded derivatives | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | (22) | (7) | (27) | |
Indexed universal life embedded derivatives | Net Investment (Gains) Losses | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | $ 10 | $ 6 | $ (1) | |
[1] | See note 17 for additional information related to consolidated securitization entities. |
Additional Information about De
Additional Information about Derivative Assets and Liabilities Subject to Enforceable Master Netting Arrangement (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | |||
Gross amounts recognized, derivatives assets | $ 724 | $ 1,129 | |
Gross amounts recognized, derivatives liabilities | 1,041 | 1,063 | |
Subject to enforceable master netting arrangement | |||
Derivative [Line Items] | |||
Collateral received | (467) | (642) | |
Over collateralization, derivatives assets | (343) | (171) | |
Gross amounts recognized, net derivatives | 337 | 815 | |
Gross amounts offset in the balance sheet, net derivatives | 0 | 0 | |
Net amounts presented in the balance sheet, net derivatives | 337 | 815 | |
Gross amounts not offset in the balance sheet, financial instruments, net derivatives | [1] | 0 | 0 |
Collateral pledged | 557 | 263 | |
Net amount | 84 | 265 | |
Subject to enforceable master netting arrangement | Derivative assets | |||
Derivative [Line Items] | |||
Gross amounts recognized, derivatives assets | [2] | 724 | 1,135 |
Gross amounts offset in the balance sheet, derivatives assets | [2] | 0 | 0 |
Net amounts presented in the balance sheet, derivatives assets | [2] | 724 | 1,135 |
Gross amounts not offset in the balance sheet, financial instruments, derivatives assets | [1],[2] | (172) | (231) |
Collateral received | [2] | (467) | (642) |
Over collateralization, derivatives assets | [2] | 1 | 3 |
Net amount, derivatives assets | [2] | 86 | 265 |
Subject to enforceable master netting arrangement | Derivative liabilities | |||
Derivative [Line Items] | |||
Gross amounts recognized, derivatives liabilities | [3] | 387 | 320 |
Gross amounts offset in the balance sheet, derivatives liabilities | [3] | 0 | 0 |
Net amounts presented in the balance sheet, derivatives liabilities | [3] | 387 | 320 |
Gross amounts not offset in the balance sheet, financial instruments, derivative liabilities | [1],[3] | (172) | (231) |
Collateral pledged | [3] | (557) | (263) |
Over collateralization, derivatives liabilities | [3] | 344 | 174 |
Net amount, derivatives liabilities | [3] | $ 2 | $ 0 |
[1] | Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty. | ||
[2] | Included $16 million and $24 million of accruals on derivatives classified as other assets and does not include amounts related to embedded derivatives as of December 31, 2016 and 2015, respectively. | ||
[3] | Included $5 million and $6 million of accruals on derivatives classified as other liabilities and does not include amounts related to embedded derivatives and derivatives related to securitization entities as of December 31, 2016 and 2015, respectively. |
Additional Information about 88
Additional Information about Derivative Assets and Liabilities Subject to Enforceable Master Netting Arrangement (Parenthetical) (Detail) - Subject to enforceable master netting arrangement - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative liabilities | |||
Derivative [Line Items] | |||
Net amounts presented in the balance sheet, accruals on derivative liabilities | [1] | $ 387 | $ 320 |
Derivative assets | |||
Derivative [Line Items] | |||
Net amounts presented in the balance sheet, accruals on derivative assets | [2] | 724 | 1,135 |
Other assets | Derivative assets | |||
Derivative [Line Items] | |||
Net amounts presented in the balance sheet, accruals on derivative assets | 16 | 24 | |
Other liabilities | Derivative liabilities | |||
Derivative [Line Items] | |||
Net amounts presented in the balance sheet, accruals on derivative liabilities | $ 5 | $ 6 | |
[1] | Included $5 million and $6 million of accruals on derivatives classified as other liabilities and does not include amounts related to embedded derivatives and derivatives related to securitization entities as of December 31, 2016 and 2015, respectively. | ||
[2] | Included $16 million and $24 million of accruals on derivatives classified as other assets and does not include amounts related to embedded derivatives as of December 31, 2016 and 2015, respectively. |
Derivative Instruments Schedule
Derivative Instruments Schedule of Credit Default Swaps where we Sell Protection on Single Name Reference Entities and Fair Values (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative [Line Items] | ||
Notional value | $ 23,912 | $ 21,638 |
Credit default swaps | Single Name Reference Entities | ||
Derivative [Line Items] | ||
Notional value | 39 | 39 |
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Credit default swaps | Single Name Reference Entities | Investment grade | Matures in less than one year | ||
Derivative [Line Items] | ||
Notional value | 0 | 0 |
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Credit default swaps | Single Name Reference Entities | Investment grade | Matures After One Year Through Five Years | ||
Derivative [Line Items] | ||
Notional value | 39 | 39 |
Assets | 0 | 0 |
Liabilities | $ 0 | $ 0 |
Schedule of Credit Default Swap
Schedule of Credit Default Swaps where we Sell Protection on Credit Default Swap Index Tranches and Fair Values (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | |||
Notional value | $ 23,912 | $ 21,638 | |
Credit default swaps | Securitization Entities | Index Tranches | |||
Derivative [Line Items] | |||
Notional value | 312 | 312 | |
Assets | 0 | 0 | |
Liabilities | 1 | 14 | |
Credit default swaps | Securitization Entities | Index Tranches | Portion Backing Third-Party Borrowings Maturing 2017 | |||
Derivative [Line Items] | |||
Notional value | [1] | 12 | 12 |
Assets | [1] | 0 | 0 |
Liabilities | [1] | 0 | 2 |
Credit default swaps | Securitization Entities | Index Tranches | Portion Backing Interest Maturing 2017 | |||
Derivative [Line Items] | |||
Notional value | [2] | 300 | 300 |
Assets | [2] | 0 | 0 |
Liabilities | [2] | 1 | 12 |
Credit default swaps | Original Index Tranche Attachment/Detachment Point And Maturity | Index Tranches | |||
Derivative [Line Items] | |||
Notional value | 0 | 100 | |
Assets | 0 | 1 | |
Liabilities | 0 | 0 | |
Credit default swaps | Original Index Tranche Attachment/Detachment Point And Maturity | Index Tranches | Matures in less than one year | 7% - 15% | |||
Derivative [Line Items] | |||
Notional value | [3] | 0 | 100 |
Assets | [3] | 0 | 1 |
Liabilities | [3] | 0 | 0 |
Total Credit Default Swaps on Index Tranches | |||
Derivative [Line Items] | |||
Notional value | 312 | 412 | |
Assets | 0 | 1 | |
Liabilities | $ 1 | $ 14 | |
[1] | Original notional value was $39 million. | ||
[2] | Original notional value was $300 million. | ||
[3] | The attachment/detachment as of December 31, 2015 was 7% - 15%. |
Schedule of Credit Default Sw91
Schedule of Credit Default Swaps where we Sell Protection on Credit Default Swap Index Tranches and Fair Values (Parenthetical) (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | |||
Notional value | $ 23,912 | $ 21,638 | |
Securitization Entities | Credit default swaps | Index Tranches | |||
Derivative [Line Items] | |||
Notional value | 312 | 312 | |
Securitization Entities | Credit default swaps | Index Tranches | Portion Backing Third-Party Borrowings Maturing 2017 | |||
Derivative [Line Items] | |||
Notional value | [1] | 12 | 12 |
Securitization Entities | Credit default swaps | Index Tranches | Portion Backing Interest Maturing 2017 | |||
Derivative [Line Items] | |||
Notional value | [2] | 300 | 300 |
Securitization Entities | Credit default swaps | Original Amount | Index Tranches | Portion Backing Third-Party Borrowings Maturing 2017 | |||
Derivative [Line Items] | |||
Notional value | 39 | ||
Securitization Entities | Credit default swaps | Original Amount | Index Tranches | Portion Backing Interest Maturing 2017 | |||
Derivative [Line Items] | |||
Notional value | 300 | ||
Original Index Tranche Attachment/Detachment Point And Maturity | Credit default swaps | Index Tranches | |||
Derivative [Line Items] | |||
Notional value | $ 0 | $ 100 | |
Original Index Tranche Attachment/Detachment Point And Maturity | Credit default swaps | Index Tranches | 7% - 15% | |||
Derivative [Line Items] | |||
Current attachment percentage | 7.00% | 7.00% | |
Current detachment percentage | 15.00% | 15.00% | |
[1] | Original notional value was $39 million. | ||
[2] | Original notional value was $300 million. |
Activity Impacting Deferred Acq
Activity Impacting Deferred Acquisition Costs (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Deferred Policy Acquisition Costs [Line Items] | |||
Unamortized beginning balance | $ 4,569 | $ 5,200 | $ 5,214 |
Impact of foreign currency translation | 3 | (23) | (15) |
Costs deferred | 150 | 295 | 385 |
Amortization, net of interest accretion | (481) | (448) | (384) |
Impairment | 0 | (455) | 0 |
Unamortized ending balance | 4,241 | 4,569 | 5,200 |
Accumulated effect of net unrealized investment (gains) losses | (670) | (171) | (348) |
Ending balance | $ 3,571 | $ 4,398 | $ 4,852 |
Deferred Acquisition Costs - Ad
Deferred Acquisition Costs - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Deferred Policy Acquisition Costs [Line Items] | |||||||
Deferred Policy acquisition costs amortization | $ 481 | $ 448 | $ 384 | ||||
DAC impairment related to life block transaction | 0 | $ 455 | $ 0 | ||||
Unlocking | |||||||
Deferred Policy Acquisition Costs [Line Items] | |||||||
Deferred Policy acquisition costs amortization | $ 144 | $ 109 | |||||
Loss Recognition Testing | Immediate Fixed Annuity | |||||||
Deferred Policy Acquisition Costs [Line Items] | |||||||
Deferred Policy acquisition costs amortization | $ 14 | ||||||
Increase in future policy benefit reserves | $ 6 | $ 18 | |||||
Life Block Transaction | Loss Recognition Testing | Term Life Insurance | |||||||
Deferred Policy Acquisition Costs [Line Items] | |||||||
DAC impairment related to life block transaction | $ 455 |
Intangible Assets (Detail)
Intangible Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | $ 2,862 | $ 2,863 |
Accumulated amortization | (2,528) | (2,520) |
Present Value Of Future Profits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 2,079 | 2,084 |
Accumulated amortization | (1,924) | (1,941) |
Capitalized Software | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 447 | 445 |
Accumulated amortization | (352) | (351) |
Deferred Sales Inducements To Contractholders | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 275 | 268 |
Accumulated amortization | (199) | (178) |
Other Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 61 | 66 |
Accumulated amortization | $ (53) | $ (50) |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization expense related to PVFP, capitalized software and other intangible assets | $ 17 | $ 64 | $ 70 | |
Amortization expense related to deferred sales inducements | 21 | 25 | 30 | |
PVFP amortization expense | $ (6) | $ 38 | $ 31 | |
Long-term Care Insurance | Loss Recognition Testing | Acquired Block | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
PVFP amortization expense | $ 6 |
Activity in Present Value of Fu
Activity in Present Value of Future Profits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |||
Unamortized balance as of January 1 | $ 205 | $ 229 | $ 246 |
Interest accreted at 5.15%, 6.45% and 5.89% | 11 | 14 | 14 |
Amortization | 6 | (38) | (31) |
Unamortized balance as of December 31 | 222 | 205 | 229 |
Accumulated effect of net unrealized investment (gains) losses | (67) | (62) | (151) |
Balance as of December 31 | $ 155 | $ 143 | $ 78 |
Activity in Present Value of 97
Activity in Present Value of Future Profits (Parenthetical) (Detail) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |||
Interest accreted percentage | 5.15% | 6.45% | 5.89% |
Percentage of PVFP Balance Net
Percentage of PVFP Balance Net of Interest Accretion, before Effect of Unrealized Investment Gains or Losses, Estimated to be Amortized Over Next Five years (Detail) | 12 Months Ended |
Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |
2,017 | 14.90% |
2,018 | 9.60% |
2,019 | 8.60% |
2,020 | 7.70% |
2,021 | 7.30% |
Intangible Assets - Goodwill -
Intangible Assets - Goodwill - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | $ 14 | $ 14 | |
Goodwill impairment | 0 | 0 | $ 849 |
Life Insurance | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill impairment | 495 | ||
Long-term Care Insurance | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill impairment | 354 | ||
U.S. Life Insurance | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill impairment | $ 849 | ||
Canada Mortgage Insurance | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | 8 | 8 | |
Australia Mortgage Insurance | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | $ 6 | $ 6 |
Reinsurance - Additional Inform
Reinsurance - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Maximum amount of individual ordinary life insurance normally retained by us on any one individual life policy | $ 5 | ||
Reinsurance recoverable | $ 17,755 | $ 17,245 | |
Minimum amount of risk-based capital General Electric Capital Corporation agreed to maintain | 150.00% | ||
Reinsurance recoveries recognized as a reduction of benefits and other changes in reserves | $ 3,008 | 2,771 | $ 2,846 |
U.S. Life Insurance Subsidiaries | Fixed maturity securities | |||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Assets pledged as collateral | 9,680 | 8,324 | |
U.S. Life Insurance Subsidiaries | Commercial Mortgage Loan | |||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Assets pledged as collateral | 523 | 347 | |
Union Fidelity Life Insurance Company | Ceded Credit Risk | |||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Reinsurance recoverable | $ 14,437 | $ 14,363 |
Net Domestic Life Insurance In-
Net Domestic Life Insurance In-Force (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reinsurance [Abstract] | ||||
Direct life insurance in-force | $ 658,931 | $ 686,446 | $ 701,797 | |
Amounts assumed from other companies | 861 | 899 | 935 | |
Amounts ceded to other companies | [1] | (491,466) | (411,340) | (393,244) |
Net life insurance in-force | $ 168,326 | $ 276,005 | $ 309,488 | |
Percentage of amount assumed to net | 0.00% | 0.00% | 0.00% | |
[1] | Includes amounts accounted for under the deposit method. |
Effects of Reinsurance on Premi
Effects of Reinsurance on Premiums Written and Earned (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reinsurance [Abstract] | |||
Direct, Written | $ 5,404 | $ 5,548 | $ 5,651 |
Assumed, Written | 372 | 386 | 397 |
Ceded, Written | (1,568) | (1,140) | (1,135) |
Net premiums, Written | 4,208 | 4,794 | 4,913 |
Direct, Earned | 5,355 | 5,322 | 5,416 |
Assumed, Earned | 382 | 403 | 413 |
Ceded, Earned | (1,577) | (1,146) | (1,129) |
Net premiums, Earned | $ 4,160 | $ 4,579 | $ 4,700 |
Percentage of amount assumed to net | 9.00% | 9.00% | 9.00% |
Life insurance | |||
Reinsurance [Abstract] | |||
Direct, Written | $ 977 | $ 1,030 | $ 1,131 |
Assumed, Written | 35 | 34 | 34 |
Ceded, Written | (856) | (372) | (332) |
Direct, Earned | 978 | 1,030 | 1,131 |
Assumed, Earned | 35 | 34 | 34 |
Ceded, Earned | (856) | (372) | (332) |
Accident and Health Insurance Product Line | |||
Reinsurance [Abstract] | |||
Direct, Written | 2,786 | 2,764 | 2,706 |
Assumed, Written | 331 | 342 | 343 |
Ceded, Written | (629) | (682) | (708) |
Direct, Earned | 2,816 | 2,778 | 2,697 |
Assumed, Earned | 335 | 347 | 348 |
Ceded, Earned | (638) | (688) | (706) |
Mortgage insurance | |||
Reinsurance [Abstract] | |||
Direct, Written | 1,641 | 1,754 | 1,814 |
Assumed, Written | 6 | 10 | 20 |
Ceded, Written | (83) | (86) | (95) |
Direct, Earned | 1,561 | 1,514 | 1,588 |
Assumed, Earned | 12 | 22 | 31 |
Ceded, Earned | $ (83) | $ (86) | $ (91) |
Recorded Liabilities and Major
Recorded Liabilities and Major Assumptions Underlying Future Policy Benefits (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | $ 37,063 | $ 36,475 | |
Long Term Care Insurance Contracts | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | [1] | $ 21,590 | $ 20,563 |
Long Term Care Insurance Contracts | Minimum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [1] | 3.75% | 3.75% |
Long Term Care Insurance Contracts | Maximum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [1] | 7.50% | 7.50% |
Structured Settlements with Life Contingencies | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | [2] | $ 8,858 | $ 8,991 |
Structured Settlements with Life Contingencies | Minimum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [2] | 1.00% | 1.00% |
Structured Settlements with Life Contingencies | Maximum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [2] | 8.00% | 8.00% |
Annuity Contracts with Life Contingencies | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | [2] | $ 3,822 | $ 4,010 |
Annuity Contracts with Life Contingencies | Minimum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [2] | 1.00% | 1.00% |
Annuity Contracts with Life Contingencies | Maximum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [2] | 8.00% | 8.00% |
Traditional Life Insurance Contracts | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | [3] | $ 2,506 | $ 2,638 |
Traditional Life Insurance Contracts | Minimum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [3] | 3.00% | 3.00% |
Traditional Life Insurance Contracts | Maximum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [3] | 7.50% | 7.50% |
Supplementary Contracts with Life Contingencies | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | [2] | $ 284 | $ 269 |
Supplementary Contracts with Life Contingencies | Minimum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [2] | 1.00% | 1.00% |
Supplementary Contracts with Life Contingencies | Maximum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [2] | 8.00% | 8.00% |
Accident and Health Insurance Contracts | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits | [4] | $ 3 | $ 4 |
Accident and Health Insurance Contracts | Minimum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [4] | 3.50% | 3.50% |
Accident and Health Insurance Contracts | Maximum | |||
Liability for Future Policy Benefit, by Product Segment [Line Items] | |||
Future policy benefits, Interest rate assumption | [4] | 6.00% | 6.00% |
[1] | The 1983 Individual Annuitant Mortality Table or 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality Table or the 1994 Group Annuitant Mortality Table and company experience. | ||
[2] | Assumptions for limited-payment contracts come from either the U.S. Population Table, the 1983 Group Annuitant Mortality Table, the 1983 Individual Annuitant Mortality Table, the Annuity 2000 Mortality Table or the 2012 Individual Annuity Reserving Table. | ||
[3] | Principally modifications based on company experience of the Society of Actuaries 1965-70 or 1975-80 Select and the Ultimate Tables, the 1941, 1958, 1980 and 2001 Commissioner's Standard Ordinary Tables, the 1980 Commissioner's Extended Term table and (IA) Standard Table 1996 (modified). | ||
[4] | The 1958 and 1980 Commissioner's Standard Ordinary Tables, or the 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality. |
Insurance Reserves - Additional
Insurance Reserves - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Insurance Reserves [Line Items] | |||||||||
Deferred Policy acquistion costs amortization | $ 481 | $ 448 | $ 384 | ||||||
Future policy benefit reserves | $ 37,063 | $ 36,475 | 37,063 | 36,475 | |||||
Immediate Fixed Annuity | Loss Recognition Testing | |||||||||
Insurance Reserves [Line Items] | |||||||||
Deferred Policy acquistion costs amortization | $ 14 | ||||||||
Increase in future policy benefit reserves | $ 6 | $ 18 | |||||||
Long Term Care Insurance Contracts | |||||||||
Insurance Reserves [Line Items] | |||||||||
Future policy benefit reserves | [1] | 21,590 | 20,563 | 21,590 | 20,563 | ||||
Long Term Care Insurance Contracts | Acquired Block | Loss Recognition Testing | |||||||||
Insurance Reserves [Line Items] | |||||||||
Increase in future policy benefit reserves | $ 710 | ||||||||
Present value of future profits balance written off | $ 6 | ||||||||
Long-term Care Insurance | Profits Followed By Losses | |||||||||
Insurance Reserves [Line Items] | |||||||||
Future policy benefit reserves | 30 | 13 | 30 | 13 | |||||
Long-term care insurance future policy benefit reserves present value of expected losses | 2,200 | 500 | 2,200 | 500 | |||||
Federal Home Loan Bank | |||||||||
Insurance Reserves [Line Items] | |||||||||
Federal Home Loan Bank common stock held | 36 | 30 | 36 | 30 | |||||
Amount of funding agreements issued to the Federal Home Loan Bank | 254 | 105 | 254 | 105 | |||||
Letters of credit related to the Federal Home Loan Bank | 28 | 583 | 28 | 583 | |||||
Pledged assets for Federal Home Loan Bank at fair value | 356 | 742 | 356 | 742 | |||||
Variable Annuity | Nontraditional Long-Duration Contracts | |||||||||
Insurance Reserves [Line Items] | |||||||||
Nontraditional long-duration contracts liability | 5,737 | 6,170 | 5,737 | 6,170 | |||||
Guaranteed Minimum Death Benefit | Nontraditional Long-Duration Contracts | Annuity contracts | |||||||||
Insurance Reserves [Line Items] | |||||||||
Nontraditional long-duration contracts liability | 90 | 72 | 90 | 72 | |||||
Guaranteed Minimum Withdrawal And Guaranteed Annuitization Benefit Contracts | |||||||||
Insurance Reserves [Line Items] | |||||||||
Guaranteed annuitization benefit contracts | 739 | 745 | $ 739 | $ 745 | |||||
Unlocking | |||||||||
Insurance Reserves [Line Items] | |||||||||
Deferred Policy acquistion costs amortization | 144 | 109 | |||||||
Increase in liability for policyholder account balances | $ 202 | $ 175 | |||||||
[1] | The 1983 Individual Annuitant Mortality Table or 2000 U.S. Annuity Table, or the 1983 Group Annuitant Mortality Table or the 1994 Group Annuitant Mortality Table and company experience. |
Recorded Liabilities for Policy
Recorded Liabilities for Policyholder Account Balances (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Insurance Reserves [Line Items] | ||
Policyholder account balances | $ 25,662 | $ 26,209 |
Investment contracts | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | 16,437 | 17,258 |
Investment contracts | Annuity contracts | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | 13,566 | 14,376 |
Investment contracts | GICs, funding agreements and FABNs | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | 560 | 410 |
Investment contracts | Structured settlements without life contingencies | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | 1,576 | 1,694 |
Investment contracts | Supplementary contracts without life contingencies | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | 719 | 762 |
Investment contracts | Other | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | 16 | 16 |
Universal life insurance contracts | ||
Insurance Reserves [Line Items] | ||
Policyholder account balances | $ 9,225 | $ 8,951 |
Information about Variable Annu
Information about Variable Annuity Products with Death and Living Benefit Guarantees (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Guaranteed minimum standard death benefit | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Death benefits account value | $ 2,364 | $ 2,512 |
Net amount at risk | $ 4 | $ 5 |
Average attained age of contractholders | 73 years | 73 years |
Guaranteed minimum enhanced death benefit | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Death benefits account value | $ 2,611 | $ 2,866 |
Net amount at risk | $ 157 | $ 188 |
Average attained age of contractholders | 74 years | 73 years |
Guaranteed minimum living benefit | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Death benefits account value | $ 2,781 | $ 3,111 |
Guaranteed annuitization benefits | ||
Net Amount at Risk by Product and Guarantee [Line Items] | ||
Death benefits account value | $ 1,177 | $ 1,181 |
Account Balances of Variable An
Account Balances of Variable Annuity Contract with Death or Living Benefit Guarantees Invested in Separate Account Investment Options (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | ||
Separate account investment | $ 4,954 | $ 5,352 |
Balanced funds | ||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | ||
Separate account investment | 3,046 | 3,304 |
Equity funds | ||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | ||
Separate account investment | 1,271 | 1,387 |
Bond funds | ||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | ||
Separate account investment | 550 | 576 |
Money market funds | ||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | ||
Separate account investment | $ 87 | $ 85 |
Liability for Policy and Con108
Liability for Policy and Contract Claims (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | $ 9,256 | $ 8,095 | ||
Long-term Care Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 8,034 | 6,749 | $ 6,216 | $ 4,999 |
Liability for policy and contract claims, net of reinsurance | 5,724 | 4,694 | 4,290 | 3,292 |
Reinsurance recoverable on unpaid claims | 2,310 | 2,055 | $ 1,926 | $ 1,707 |
U.S. Mortgage Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 633 | |||
Insurance lines other than short-duration contracts | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 8,291 | 6,987 | ||
Insurance lines other than short-duration contracts | Long-term Care Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 8,034 | 6,749 | ||
Insurance lines other than short-duration contracts | Life Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 226 | 202 | ||
Insurance lines other than short-duration contracts | Fixed Annuities | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 16 | 18 | ||
Insurance lines other than short-duration contracts | Runoff | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Total liability for policy and contract claims | 15 | 18 | ||
Short-duration contracts | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Liability for policy and contract claims, net of reinsurance | 963 | 1,103 | ||
Reinsurance recoverable on unpaid claims | 2 | 5 | ||
Short-duration contracts | U.S. Mortgage Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Liability for policy and contract claims, net of reinsurance | 633 | 844 | ||
Reinsurance recoverable on unpaid claims | 2 | 5 | ||
Short-duration contracts | Australia Mortgage Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Liability for policy and contract claims, net of reinsurance | 211 | 165 | ||
Short-duration contracts | Canada Mortgage Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Liability for policy and contract claims, net of reinsurance | 112 | 87 | ||
Short-duration contracts | Other Countries Mortgage Insurance | ||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||
Liability for policy and contract claims, net of reinsurance | $ 7 | $ 7 |
Changes in Liability for Policy
Changes in Liability for Policy and Contract Claims (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | |||
Beginning balance | $ 8,095 | ||
Ending balance | 9,256 | $ 8,095 | |
Long-term Care Insurance | |||
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | |||
Beginning balance | 6,749 | 6,216 | $ 4,999 |
Less reinsurance recoverables | (2,055) | (1,926) | (1,707) |
Net beginning balance | 4,694 | 4,290 | 3,292 |
Current year | 2,066 | 1,655 | 1,474 |
Prior years | 377 | 39 | 726 |
Total incurred | 2,443 | 1,694 | 2,200 |
Current year | (166) | (151) | (134) |
Prior years | (1,506) | (1,371) | (1,263) |
Total paid | (1,672) | (1,522) | (1,397) |
Interest on liability for policy and contract claims | 259 | 232 | 195 |
Net ending balance | 5,724 | 4,694 | 4,290 |
Add reinsurance recoverables | 2,310 | 2,055 | 1,926 |
Ending balance | $ 8,034 | $ 6,749 | $ 6,216 |
Liability for Policy and Con110
Liability for Policy and Contract Claims - Additional Information (Detail) - Long-term Care Insurance - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2016 | Sep. 30, 2016 | Sep. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||||
Increase (Decrease) in claim reserves | $ 1,285 | |||||
Incurred related to insured events of prior year | $ 377 | $ 39 | $ 726 | |||
Changes in Assumptions and Methodologies | ||||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||||
Increase (Decrease) in claim reserves | 460 | |||||
Increase in reinsurance recoverable | $ 25 | $ 73 | 221 | |||
Incurred related to insured events of prior year | $ 604 | $ 305 | ||||
Claim Reserve Refinement | ||||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||||
Increase (Decrease) in claim reserves | $ 222 | |||||
Increase in reinsurance recoverable | $ 222 | |||||
Net favorable corrections and adjustments | ||||||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||||||
Increase/decrease in reserves | $ (25) |
Incurred Claims, Net of Reinsur
Incurred Claims, Net of Reinsurance, Cumulative Number of Reported Delinquencies and Total of Incurred-But-Not-Reported Liabilities (Detail) $ in Millions | Dec. 31, 2016USD ($)Claim | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2011USD ($) | Dec. 31, 2010USD ($) | Dec. 31, 2009USD ($) | Dec. 31, 2008USD ($) | Dec. 31, 2007USD ($) | |
Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 1,219 | |||||||||
Canada Mortgage Insurance | Accident Year 2007 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 86 | $ 86 | $ 86 | $ 86 | $ 86 | $ 86 | $ 86 | $ 84 | $ 79 | $ 76 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 4,267 | |||||||||
Canada Mortgage Insurance | Accident Year 2008 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 153 | 153 | 153 | 153 | 153 | 151 | 147 | 144 | 105 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 6,138 | |||||||||
Canada Mortgage Insurance | Accident Year 2009 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 189 | 189 | 190 | 190 | 188 | 185 | 163 | 147 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 6,702 | |||||||||
Canada Mortgage Insurance | Accident Year 2010 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 162 | 162 | 163 | 163 | 162 | 145 | 131 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 6,601 | |||||||||
Canada Mortgage Insurance | Accident Year 2011 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 145 | 145 | 146 | 146 | 144 | 128 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 5,707 | |||||||||
Canada Mortgage Insurance | Accident Year 2012 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 104 | 105 | 105 | 106 | 107 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 5,316 | |||||||||
Canada Mortgage Insurance | Accident Year 2013 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 94 | 94 | 95 | 98 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 4,949 | |||||||||
Canada Mortgage Insurance | Accident Year 2014 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 82 | 84 | 88 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 4,948 | |||||||||
Canada Mortgage Insurance | Accident Year 2015 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 88 | 98 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 4,626 | |||||||||
Canada Mortgage Insurance | Accident Year 2016 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | $ 116 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[2],[3] | $ 40 | |||||||||
Number of reported delinquencies | Claim | [1],[2],[4] | 5,133 | |||||||||
Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 1,095 | |||||||||
Australia Mortgage Insurance | Accident Year 2007 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | 108 | 108 | 108 | 108 | 107 | 105 | 104 | 100 | 104 | 62 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 6,935 | |||||||||
Australia Mortgage Insurance | Accident Year 2008 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 139 | 139 | 140 | 138 | 134 | 119 | 118 | 125 | 76 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 9,254 | |||||||||
Australia Mortgage Insurance | Accident Year 2009 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 115 | 114 | 111 | 109 | 105 | 85 | 93 | 100 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 8,921 | |||||||||
Australia Mortgage Insurance | Accident Year 2010 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 162 | 162 | 161 | 159 | 156 | 130 | 120 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 8,717 | |||||||||
Australia Mortgage Insurance | Accident Year 2011 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 135 | 134 | 134 | 137 | 145 | 119 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 9,341 | |||||||||
Australia Mortgage Insurance | Accident Year 2012 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 94 | 95 | 97 | 112 | 100 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 7,613 | |||||||||
Australia Mortgage Insurance | Accident Year 2013 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 65 | 70 | 84 | 82 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 7,097 | |||||||||
Australia Mortgage Insurance | Accident Year 2014 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 73 | 88 | 72 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 2 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 7,468 | |||||||||
Australia Mortgage Insurance | Accident Year 2015 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 109 | 76 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 11 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 7,587 | |||||||||
Australia Mortgage Insurance | Accident Year 2016 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [1],[5] | $ 95 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [1],[5] | $ 37 | |||||||||
Number of reported delinquencies | Claim | [1],[5],[6] | 4,220 | |||||||||
U.S. Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 7,675 | |||||||||
U.S. Mortgage Insurance | Accident Year 2007 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | 640 | 639 | 637 | 629 | 630 | 631 | 596 | 608 | 656 | 387 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 57,431 | |||||||||
U.S. Mortgage Insurance | Accident Year 2008 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 1,391 | 1,385 | 1,376 | 1,347 | 1,353 | 1,339 | 1,211 | 1,041 | 943 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 1 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 133,121 | |||||||||
U.S. Mortgage Insurance | Accident Year 2009 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 1,799 | 1,792 | 1,782 | 1,752 | 1,755 | 1,762 | 1,697 | 1,341 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 1 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 151,274 | |||||||||
U.S. Mortgage Insurance | Accident Year 2010 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 1,173 | 1,173 | 1,165 | 1,146 | 1,139 | 1,157 | 977 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 1 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 89,875 | |||||||||
U.S. Mortgage Insurance | Accident Year 2011 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 939 | 938 | 929 | 913 | 931 | 910 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 1 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 68,614 | |||||||||
U.S. Mortgage Insurance | Accident Year 2012 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 671 | 673 | 671 | 675 | 718 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 47,696 | |||||||||
U.S. Mortgage Insurance | Accident Year 2013 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 387 | 392 | 407 | 475 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 33,349 | |||||||||
U.S. Mortgage Insurance | Accident Year 2014 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 269 | 288 | 328 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 0 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 25,281 | |||||||||
U.S. Mortgage Insurance | Accident Year 2015 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 208 | 235 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 1 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 19,603 | |||||||||
U.S. Mortgage Insurance | Accident Year 2016 | |||||||||||
Claims Development [Line Items] | |||||||||||
Incurred claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 198 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Total of Incurred-But-Not-Reported liabilities including expected development on reported claims as of December 31, 2016 | [2] | $ 19 | |||||||||
Number of reported delinquencies | Claim | [2],[6] | 13,970 | |||||||||
[1] | Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. | ||||||||||
[2] | Represents the year in which first monthly mortgage payments have been missed by the borrower. | ||||||||||
[3] | Incurred-but-not-reported liabilities exist only relative to the current year as lenders are required to report losses after three consecutive monthly mortgage payments have been missed by the borrower. | ||||||||||
[4] | Represents reported delinquencies as of December 31 for each respective accident year. | ||||||||||
[5] | The accident year is estimated by allowing an additional five months for development from the time the first monthly mortgage payments have been missed by the borrower. | ||||||||||
[6] | Represents reported and outstanding delinquencies less actual cures as of December 31 for each respective accident year. |
Paid Claims Development, Net of
Paid Claims Development, Net of Reinsurance (Detail) - USD ($) $ in Millions | 12 Months Ended | ||||||||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | ||
Claims Development [Line Items] | |||||||||||
Liability for policy and contract claims, net of reinsurance | $ 9,256 | $ 8,095 | |||||||||
Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 1,219 | |||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 1,103 | |||||||||
Borrower recovery accrual | [3] | (4) | |||||||||
All outstanding liabilities before 2007, net of reinsurance | 0 | ||||||||||
Liability for policy and contract claims, net of reinsurance | 112 | ||||||||||
Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 1,095 | |||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 885 | |||||||||
All outstanding liabilities before 2007, net of reinsurance | 1 | ||||||||||
Liability for policy and contract claims, net of reinsurance | 211 | ||||||||||
Accident Year 2007 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 86 | 86 | $ 86 | $ 86 | $ 86 | $ 86 | $ 86 | $ 84 | $ 79 | $ 76 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 86 | 86 | 86 | 86 | 86 | 86 | 85 | 79 | 57 | 15 |
Accident Year 2007 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 108 | 108 | 108 | 108 | 107 | 105 | 104 | 100 | 104 | 62 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 108 | 108 | 108 | 107 | 106 | 103 | 99 | 80 | 34 | 3 |
Accident Year 2008 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 153 | 153 | 153 | 153 | 153 | 151 | 147 | 144 | 105 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 158 | 158 | 158 | 158 | 155 | 154 | 144 | 103 | 7 | 0 |
Accident Year 2008 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 139 | 139 | 140 | 138 | 134 | 119 | 118 | 125 | 76 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 139 | 138 | 137 | 135 | 129 | 107 | 92 | 48 | 5 | 0 |
Accident Year 2009 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 189 | 189 | 190 | 190 | 188 | 185 | 163 | 147 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 188 | 188 | 189 | 189 | 187 | 179 | 123 | 23 | 0 | 0 |
Accident Year 2009 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 115 | 114 | 111 | 109 | 105 | 85 | 93 | 100 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 115 | 113 | 110 | 106 | 93 | 51 | 27 | 8 | 0 | 0 |
Accident Year 2010 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 162 | 162 | 163 | 163 | 162 | 145 | 131 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 161 | 161 | 162 | 163 | 159 | 118 | 27 | 0 | 0 | 0 |
Accident Year 2010 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 162 | 162 | 161 | 159 | 156 | 130 | 120 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 161 | 159 | 156 | 149 | 127 | 58 | 40 | 0 | 0 | 0 |
Accident Year 2011 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 145 | 145 | 146 | 146 | 144 | 128 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 145 | 145 | 145 | 145 | 129 | 36 | 0 | 0 | 0 | 0 |
Accident Year 2011 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 135 | 134 | 134 | 137 | 145 | 119 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 133 | 130 | 127 | 115 | 75 | 20 | 0 | 0 | 0 | 0 |
Accident Year 2012 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 104 | 105 | 105 | 106 | 107 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 104 | 104 | 103 | 95 | 23 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2012 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 94 | 95 | 97 | 112 | 100 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 91 | 87 | 81 | 64 | 20 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2013 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 94 | 94 | 95 | 98 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 94 | 92 | 85 | 24 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2013 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 65 | 70 | 84 | 82 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 57 | 50 | 33 | 11 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2014 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 82 | 84 | 88 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 80 | 70 | 16 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2014 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 73 | 88 | 72 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 47 | 28 | 5 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2015 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 88 | 98 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 71 | 18 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2015 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 109 | 76 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 30 | 4 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2016 | Canada Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[2] | 116 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[2] | 16 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Accident Year 2016 | Australia Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [1],[4] | 95 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [1],[4] | 4 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
U.S. Mortgage Insurance | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 7,675 | |||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 7,045 | |||||||||
All outstanding liabilities before 2007, net of reinsurance | 3 | ||||||||||
Liability for policy and contract claims, net of reinsurance | 633 | ||||||||||
U.S. Mortgage Insurance | Accident Year 2007 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 640 | 639 | 637 | 629 | 630 | 631 | 596 | 608 | 656 | 387 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 630 | 625 | 614 | 603 | 591 | 577 | 562 | 531 | 355 | 25 |
U.S. Mortgage Insurance | Accident Year 2008 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 1,391 | 1,385 | 1,376 | 1,347 | 1,353 | 1,339 | 1,211 | 1,041 | 943 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 1,353 | 1,322 | 1,271 | 1,217 | 1,145 | 1,046 | 917 | 572 | 66 | 0 |
U.S. Mortgage Insurance | Accident Year 2009 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 1,799 | 1,792 | 1,782 | 1,752 | 1,755 | 1,762 | 1,697 | 1,341 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 1,753 | 1,709 | 1,638 | 1,556 | 1,434 | 1,245 | 940 | 285 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2010 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 1,173 | 1,173 | 1,165 | 1,146 | 1,139 | 1,157 | 977 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 1,139 | 1,109 | 1,049 | 973 | 844 | 567 | 140 | 0 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2011 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 939 | 938 | 929 | 913 | 931 | 910 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 906 | 874 | 816 | 722 | 497 | 65 | 0 | 0 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2012 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 671 | 673 | 671 | 675 | 718 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 634 | 602 | 532 | 391 | 92 | 0 | 0 | 0 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2013 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 387 | 392 | 407 | 475 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 340 | 297 | 202 | 44 | 0 | 0 | 0 | 0 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2014 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 269 | 288 | 328 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 195 | 127 | 22 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2015 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 208 | 235 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | 85 | 12 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
U.S. Mortgage Insurance | Accident Year 2016 | |||||||||||
Claims Development [Line Items] | |||||||||||
Total incurred | [2] | 198 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | [2] | $ 10 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
[1] | Amounts translated into U.S. dollars at the foreign exchange rates as of December 31, 2016. | ||||||||||
[2] | Represents the year in which first monthly mortgage payments have been missed by the borrower. | ||||||||||
[3] | Represents the portion of the borrower recovery accrual that corresponds to loss reserves and is recognized as a reduction to losses incurred that we anticipate to receive in the future once the claims have been settled. | ||||||||||
[4] | The accident year is estimated by allowing an additional five months for development from the time the first monthly mortgage payments have been missed by the borrower. |
Average Payout of Incurred Clai
Average Payout of Incurred Claims by Age (Detail) | Dec. 31, 2016 |
U.S. Mortgage Insurance | |
Claims Development [Line Items] | |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year one | 8.70% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year two | 40.60% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year three | 23.50% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year four | 9.60% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year five | 5.60% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year six | 4.40% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year seven | 3.10% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year eight | 2.50% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year nine | 2.10% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year ten | 0.80% |
Canada Mortgage Insurance | |
Claims Development [Line Items] | |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year one | 17.80% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year two | 60.50% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year three | 18.10% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year four | 3.40% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year five | 0.40% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year six | 0.30% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year seven | (0.20%) |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year eight | 0.10% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year nine | 0.00% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year ten | 0.00% |
Australia Mortgage Insurance | |
Claims Development [Line Items] | |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year one | 9.80% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year two | 30.10% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year three | 30.40% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year four | 15.10% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year five | 6.80% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year six | 2.60% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year seven | 1.50% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year eight | 0.70% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year nine | 0.20% |
Average annual percentage payout of incurred claims, net of reinsurance, by age, year ten | 0.00% |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions | Jan. 01, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Savings Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs associated with plan | $ 13 | $ 17 | $ 16 | |
Maximum contribution to employees savings plans, revised plan | 6.00% | |||
Defined contribution plan required years of service to vest for employees hired on or after January 1, 2011 | 2 years | |||
Deposits recorded by our life insurance subsidiaries | $ 1 | 1 | ||
Savings Plan | Subsequent Event | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Maximum contribution to employees savings plans, revised plan | 5.00% | |||
Savings Plan | First 4% of pay deferred | Subsequent Event | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Maximum contribution to employees savings plans, revised plan | 4.00% | |||
Employer matching contribution, percent of match | 100.00% | |||
Savings Plan | Next 2% of pay deferred | Subsequent Event | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Maximum contribution to employees savings plans, revised plan | 2.00% | |||
Employer matching contribution, percent of match | 50.00% | |||
Defined Contribution Pension Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Percentage funding of plan by Genworth | 100.00% | |||
Defined contribution pension plan required years of service to vest | 3 years | |||
Liability related to benefit plan | $ 10 | 13 | ||
Defined Benefit Pension Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Liability related to benefit plan | 69 | 78 | ||
Change in other comprehensive income, (increase) reduction | (30) | |||
Defined Benefit Pension Plans | United Kingdom | Lifestyle Protection Insurance | Discontinued Operations, Disposed of by Sale | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Change in other comprehensive income, (increase) reduction | 15 | |||
Pension benefit assets | 17 | |||
Accrued to buyout pension plan and funded annuity contract amount | 69 | |||
Amount paid on a group annuity contract | 58 | |||
Pension settlement costs | 101 | |||
Defined Benefit Pension Plans | Maximum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Change in other comprehensive income, (increase) reduction | 1 | |||
Retiree Health and Life Insurance Benefit Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Liability related to benefit plan | 87 | 78 | ||
Change in other comprehensive income, (increase) reduction | $ 8 | (13) | ||
Age for retirees receiving policy coverage | 65 years | |||
Number of years before retirement eligibility at which retiree medical benefits are available to employees | 10 years | |||
Pension and Retiree Health and Life Insurance Benefit Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs associated with plan | $ 18 | $ 25 | $ 21 |
Borrowings and Other Financi115
Borrowings and Other Financings - Additional Information (Detail) AUD in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||
Jun. 30, 2016AUD | Jan. 31, 2016USD ($) | Jul. 31, 2015USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2016USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2014CAD | Dec. 31, 2016AUD | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2016CAD | May 20, 2016CAD | Apr. 30, 2016USD ($) | Jul. 31, 2015AUD | Apr. 30, 2014CAD | ||
Debt Instrument [Line Items] | |||||||||||||||||
Broker, advisor and investment banking fees | $ 18,000,000 | $ 0 | $ 0 | ||||||||||||||
Pre-tax gain (loss) on repurchase of senior notes | [1] | 48,000,000 | (2,000,000) | (4,000,000) | |||||||||||||
Interest paid | 381,000,000 | 424,000,000 | 437,000,000 | ||||||||||||||
Redemption of secured debt | 1,620,000,000 | 61,000,000 | 42,000,000 | ||||||||||||||
Gains (losses) from life block transactions | (9,000,000) | (455,000,000) | $ 0 | ||||||||||||||
Repurchase agreements, fair value of securities pledged | 79,000,000 | 231,000,000 | |||||||||||||||
Repurchase agreements, fair value of repurchase obligation | 75,000,000 | 229,000,000 | |||||||||||||||
Securities lending activity, obligation to return collateral | $ 534,000,000 | 347,000,000 | |||||||||||||||
Risks associated with repurchase agreements and securities lending programs | Our repurchase agreement and securities lending programs expose us to liquidity risk if we did not have enough cash or collateral readily available to return to the counterparty when required to do so under the agreements. We manage this risk by regularly monitoring our available sources of cash and collateral to ensure we can meet short-term liquidity demands under normal and stressed scenarios. We are also exposed to credit risk in the event of default of our counterparties or changes in collateral values. This risk is significantly reduced because our programs require over collateralization and collateral exposures are trued up on a daily basis. We manage this risk by using multiple counterparties and ensuring that changes in required collateral are monitored and adjusted daily. We also monitor the creditworthiness, including credit ratings, of our counterparties on a regular basis. | Our repurchase agreement and securities lending programs expose us to liquidity risk if we did not have enough cash or collateral readily available to return to the counterparty when required to do so under the agreements. We manage this risk by regularly monitoring our available sources of cash and collateral to ensure we can meet short-term liquidity demands under normal and stressed scenarios. We are also exposed to credit risk in the event of default of our counterparties or changes in collateral values. This risk is significantly reduced because our programs require over collateralization and collateral exposures are trued up on a daily basis. We manage this risk by using multiple counterparties and ensuring that changes in required collateral are monitored and adjusted daily. We also monitor the creditworthiness, including credit ratings, of our counterparties on a regular basis. | |||||||||||||||
Life Block Transaction | Term Life Insurance | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Gains (losses) from life block transactions | $ (9,000,000) | $ (455,000,000) | |||||||||||||||
United States | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Cash and government securities collateral, minimum amount of the fair value of the applicable securities loaned | 102.00% | 102.00% | |||||||||||||||
Securities lending activity, fair value of securities loaned | $ 517,000,000 | 334,000,000 | |||||||||||||||
Securities lending activity, fair value of collateral held | 534,000,000 | 347,000,000 | |||||||||||||||
Securities lending activity, obligation to return collateral | $ 534,000,000 | 347,000,000 | |||||||||||||||
Canada | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Cash and government securities collateral, minimum amount of the fair value of the applicable securities loaned | 105.00% | 105.00% | |||||||||||||||
Securities lending activity, fair value of securities loaned | $ 350,000,000 | $ 340,000,000 | |||||||||||||||
Non-Recourse Funding Obligations | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Non-recourse funding obligations weighted-average interest rate | 2.75% | 1.73% | 2.75% | ||||||||||||||
Non-Recourse Funding Obligations | Floating Rate Subordinated Notes Due 2033 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, maturity year | 2,033 | 2,033 | 2,033 | 2,033 | |||||||||||||
Redemption of secured debt | 975,000,000 | $ 30,000,000 | $ 26,000,000 | ||||||||||||||
Non-Recourse Funding Obligations | Floating Rate Subordinated Notes Due in 2035 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, maturity year | 2,035 | 2,035 | 2,035 | 2,035 | |||||||||||||
Redemption of secured debt | 645,000,000 | $ 31,000,000 | $ 16,000,000 | ||||||||||||||
Genworth Holdings | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Total Fees related to Consent Solicitation | 61,000,000 | ||||||||||||||||
Bond consent fees | 43,000,000 | $ 39,000,000 | $ 0 | ||||||||||||||
Broker, advisor and investment banking fees | 18,000,000 | ||||||||||||||||
Pre-tax make-whole expense on redemption of senior notes | 20,000,000 | ||||||||||||||||
Aggregate principal amount of notes repurchased | 28,000,000 | 50,000,000 | |||||||||||||||
Pre-tax gain (loss) on repurchase of senior notes | $ 4,000,000 | $ (1,000,000) | |||||||||||||||
Genworth Holdings | Revolving Credit Facility Maturing September 2016 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Facility, maximum borrowing capacity | $ 300,000,000 | ||||||||||||||||
Line of credit maturity date | Sep. 26, 2016 | Sep. 26, 2016 | |||||||||||||||
Outstanding line of credit | $ 0 | ||||||||||||||||
Genworth Holdings | 8.625% Senior Notes, Due 2016 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 8.625% | 8.625% | 8.625% | 8.625% | |||||||||||||
Redemption of Long-term borrowings | $ 298,000,000 | ||||||||||||||||
Pre-tax make-whole expense on redemption of senior notes | $ 20,000,000 | ||||||||||||||||
Debt instrument, maturity year | 2,016 | 2,016 | 2,016 | ||||||||||||||
Genworth Holdings | Fixed Rate Senior Notes | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, redemption description | We have the option to redeem all or a portion of each series of senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. | We have the option to redeem all or a portion of each series of senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. | |||||||||||||||
Genworth Holdings | Fixed Rate Senior Notes | Minimum | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 4.80% | 4.80% | |||||||||||||||
Senior notes redemption option | 100.00% | 100.00% | |||||||||||||||
Genworth Holdings | Fixed Rate Senior Notes | Maximum | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 7.70% | 7.70% | |||||||||||||||
Genworth Holdings | 5.75% Senior Notes, Due 2014 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 5.75% | 5.75% | |||||||||||||||
Redemption of Long-term borrowings | $ 485,000,000 | ||||||||||||||||
Debt instrument, maturity month and year | 2014-06 | ||||||||||||||||
Genworth Holdings | Junior Notes due Two Thousand and Sixty Six | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 6.15% | 6.15% | |||||||||||||||
Debt instrument, maturity month and year | 2066-11 | 2066-11 | |||||||||||||||
Issued notes, aggregate principal amount | $ 598,000,000 | ||||||||||||||||
Quarterly interest rate after November 15, 2016 | Three-month London Interbank Offered Rate ("LIBOR") plus 2.0025% | Three-month London Interbank Offered Rate ("LIBOR") plus 2.0025% | |||||||||||||||
Scheduled redemption date | Nov. 15, 2036 | Nov. 15, 2036 | |||||||||||||||
Right to defer the payment of interest on the 2066 Notes during period, years | 10 years | 10 years | |||||||||||||||
Genworth MI Canada Inc. | Senior unsecured revolving credit facility Due on May 20, 2019 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Facility, maximum borrowing capacity | CAD | CAD 100,000,000 | ||||||||||||||||
Line of credit maturity date | May 20, 2019 | May 20, 2019 | |||||||||||||||
Outstanding line of credit | CAD | CAD 0 | ||||||||||||||||
Genworth MI Canada Inc. | 5.68% Senior Notes, Due 2020 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 5.68% | 5.68% | 5.68% | ||||||||||||||
Debt instrument, maturity year | 2,020 | 2,020 | 2,020 | ||||||||||||||
Genworth MI Canada Inc. | 4.24% Senior Notes, Due 2024 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 4.24% | 4.24% | 4.24% | ||||||||||||||
Issued notes, aggregate principal amount | CAD | CAD 160,000,000 | ||||||||||||||||
Debt instrument, maturity year | 2,024 | 2,024 | |||||||||||||||
Genworth MI Canada Inc. | 4.59% senior notes due December 2015 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate | 4.59% | 4.59% | |||||||||||||||
Early redemption of senior notes | CAD | CAD 150,000,000 | ||||||||||||||||
Early redemption fee | CAD | 7,000,000 | ||||||||||||||||
Interest paid | CAD | CAD 2,000,000 | ||||||||||||||||
Genworth Financial Mortgage Insurance Pty Limited | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, maturity year | 2,025 | 2,025 | |||||||||||||||
Subordinated floating rate notes, margin | 3.50% | 3.50% | |||||||||||||||
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Notes, Due 2021 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Redemption of Long-term borrowings | AUD | AUD 50 | ||||||||||||||||
Subordinated floating rate notes, margin | 4.75% | ||||||||||||||||
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Notes, Due 2025 | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Issued notes, aggregate principal amount | AUD | AUD 200 | ||||||||||||||||
Debt instrument, maturity year | 2,025 | 2,025 | 2,025 | ||||||||||||||
Early redemption fee | $ 2,000,000 | ||||||||||||||||
Subordinated floating rate notes, margin | 3.50% | ||||||||||||||||
Outstanding debt redeemed | AUD | AUD 90 | ||||||||||||||||
[1] | For the years ended December 31, 2015 and 2014, (gains) losses on the early extinguishment of debt were adjusted for the portion attributable to noncontrolling interests of $1 million and $2 million, respectively. |
Borrowings and Other Financi116
Borrowings and Other Financings - Long Term Borrowings (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | |||
Deferred borrowing charges | $ (5) | $ (15) | |
Total | 4,180 | 4,570 | |
Genworth Holdings | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 3,773 | 4,100 | |
Bond consent fees | (39) | $ (43) | 0 |
Deferred borrowing charges | (18) | (21) | |
Total | 3,716 | 4,079 | |
Genworth Holdings | 8.625% Senior Notes, Due 2016 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 0 | 298 | |
Genworth Holdings | 6.52% Senior Notes, Due 2018 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 597 | 598 | |
Genworth Holdings | 7.70% Senior Notes, Due 2020 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 397 | 397 | |
Genworth Holdings | 7.20% Senior Notes, Due 2021 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 381 | 389 | |
Genworth Holdings | 7.625% Senior Notes, Due 2021 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 704 | 724 | |
Genworth Holdings | 4.90% Senior Notes, Due 2023 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 399 | 399 | |
Genworth Holdings | 4.80% Senior Notes, Due 2024 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 400 | 400 | |
Genworth Holdings | 6.50% Senior Notes, Due 2034 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 297 | 297 | |
Genworth Holdings | 6.15% Fixed-to-Floating Rate Junior Subordinated Notes, Due 2066 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 598 | 598 | |
Genworth MI Canada Inc. | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 324 | 315 | |
Deferred borrowing charges | (2) | (2) | |
Total | 322 | 313 | |
Genworth MI Canada Inc. | 5.68% Senior Notes, Due 2020 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 205 | 199 | |
Genworth MI Canada Inc. | 4.24% Senior Notes, due 2024 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 119 | 116 | |
Genworth Financial Mortgage Insurance Pty Limited | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 145 | 182 | |
Deferred borrowing charges | (3) | (4) | |
Total | 142 | 178 | |
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Notes, Due 2021 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | 0 | 36 | |
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Notes, Due 2025 | |||
Debt Instrument [Line Items] | |||
Long-term borrowings | $ 145 | $ 146 |
Borrowings and Other Financi117
Borrowings and Other Financings - Long Term Borrowings (Parenthetical) (Detail) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jan. 31, 2016 | |
Genworth Financial Mortgage Insurance Pty Limited | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, maturity year | 2,025 | |||
8.625% Senior Notes, Due 2016 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 8.625% | 8.625% | 8.625% | |
Debt instrument, maturity year | 2,016 | 2,016 | ||
6.52% Senior Notes, Due 2018 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.52% | 6.52% | ||
Debt instrument, maturity year | 2,018 | 2,018 | ||
7.70% Senior Notes, Due 2020 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 7.70% | 7.70% | ||
Debt instrument, maturity year | 2,020 | 2,020 | ||
7.20% Senior Notes, Due 2021 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 7.20% | 7.20% | ||
Debt instrument, maturity year | 2,021 | 2,021 | ||
7.625% Senior Notes, Due 2021 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 7.625% | 7.625% | ||
Debt instrument, maturity year | 2,021 | 2,021 | ||
4.90% Senior Notes, Due 2023 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.90% | 4.90% | ||
Debt instrument, maturity year | 2,023 | 2,023 | ||
4.80% Senior Notes, Due 2024 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.80% | 4.80% | ||
Debt instrument, maturity year | 2,024 | 2,024 | ||
6.50% Senior Notes, Due 2034 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.50% | 6.50% | ||
Debt instrument, maturity year | 2,034 | 2,034 | ||
6.15% Fixed-to-Floating Rate Junior Subordinated Notes, Due 2066 | Genworth Holdings | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 6.15% | 6.15% | ||
Debt instrument, maturity year | 2,066 | 2,066 | ||
5.68% Senior Notes, Due 2020 | Genworth MI Canada Inc. | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 5.68% | 5.68% | ||
Debt instrument, maturity year | 2,020 | 2,020 | ||
4.24% Senior Notes, due 2024 | Genworth MI Canada Inc. | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.24% | 4.24% | ||
Debt instrument, maturity year | 2,024 | 2,024 | ||
Floating Rate Junior Notes, Due 2021 | Genworth Financial Mortgage Insurance Pty Limited | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, maturity year | 2,021 | 2,021 | 2,021 | |
Floating Rate Junior Notes, Due 2025 | Genworth Financial Mortgage Insurance Pty Limited | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, maturity year | 2,025 | 2,025 |
Schedule of Non-recourse Fundin
Schedule of Non-recourse Funding Obligations of Special Purpose Consolidated Captive Insurance Subsidiaries (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Nonrecourse Funding Obligations [Line Items] | |||
Non-recourse funding obligations | $ 315 | $ 1,935 | |
Deferred borrowing charges | (5) | (15) | |
Total | 310 | 1,920 | |
River Lake Insurance Company (a), Due 2033 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Non-recourse funding obligations | [1] | 0 | 570 |
River Lake Insurance Company (b), Due 2033 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Non-recourse funding obligations | [2] | 0 | 405 |
River Lake Insurance Company II (a), Due 2035 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Non-recourse funding obligations | [1] | 0 | 192 |
River Lake Insurance Company II (b), Due 2035 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Non-recourse funding obligations | [2] | 0 | 453 |
Rivermont Life Insurance Company I (a), due 2050 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Non-recourse funding obligations | [1] | $ 315 | $ 315 |
[1] | Accrual of interest based on one-month LIBOR that resets every 28 days plus a fixed margin. | ||
[2] | Accrual of interest based on one-month LIBOR that resets on a specified date each month plus a contractual margin. |
Schedule of Non-recourse Fun119
Schedule of Non-recourse Funding Obligations of Special Purpose Consolidated Captive Insurance Subsidiaries (Parenthetical) (Detail) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
Nonrecourse Funding Obligations [Line Items] | |||
Interest rate reset period, number of days | 28 days | 28 days | |
River Lake Insurance Company (a), Due 2033 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Debt instrument, maturity year | [1] | 2,033 | 2,033 |
River Lake Insurance Company (b), Due 2033 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Debt instrument, maturity year | [2] | 2,033 | 2,033 |
River Lake Insurance Company II (a), Due 2035 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Debt instrument, maturity year | [1] | 2,035 | 2,035 |
River Lake Insurance Company II (b), Due 2035 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Debt instrument, maturity year | [2] | 2,035 | 2,035 |
Rivermont Life Insurance Company I (a), due 2050 | |||
Nonrecourse Funding Obligations [Line Items] | |||
Debt instrument, maturity year | [1] | 2,050 | 2,050 |
[1] | Accrual of interest based on one-month LIBOR that resets every 28 days plus a fixed margin. | ||
[2] | Accrual of interest based on one-month LIBOR that resets on a specified date each month plus a contractual margin. |
Principal Amounts of Long Term
Principal Amounts of Long Term Debt Including Senior Notes and Non-recourse Funding by Maturity (Detail) $ in Millions | Dec. 31, 2016USD ($) | |
Principal Amounts Of Long Term Debt Including Senior Notes And Non Recourse Funding By Maturity [Line Items] | ||
2,017 | $ 0 | |
2,018 | 597 | |
2,019 | 0 | |
2,020 | 602 | |
2021 and thereafter | 3,358 | [1] |
Total | $ 4,557 | |
[1] | Repayment of $315 million of our non-recourse funding obligations requires regulatory approval. |
Principal Amounts of Long Te121
Principal Amounts of Long Term Debt Including Senior Notes and Non-recourse Funding by Maturity (Parenthetical) (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Principal Amounts Of Long Term Debt Including Senior Notes And Non Recourse Funding By Maturity [Line Items] | |
Repayment of secured debt | $ 315 |
Remaining Contractual Maturity
Remaining Contractual Maturity of Agreements (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | $ 75 | $ 229 |
Securities lending | 534 | 347 |
Total repurchase agreements and securities lending | 609 | 576 |
U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 75 | 229 |
Equity Securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 7 | 5 |
Fixed maturity securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 527 | 342 |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 224 | 18 |
Fixed maturity securities | Non-U.S. government | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 34 | 39 |
Fixed maturity securities | U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 159 | 95 |
Fixed maturity securities | Non-U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 110 | 190 |
Overnight and continuous | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 534 | 347 |
Total repurchase agreements and securities lending | 534 | 347 |
Overnight and continuous | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 0 | 0 |
Overnight and continuous | Equity Securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 7 | 5 |
Overnight and continuous | Fixed maturity securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 527 | 342 |
Overnight and continuous | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 224 | 18 |
Overnight and continuous | Fixed maturity securities | Non-U.S. government | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 34 | 39 |
Overnight and continuous | Fixed maturity securities | U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 159 | 95 |
Overnight and continuous | Fixed maturity securities | Non-U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 110 | 190 |
Up to 30 days | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Total repurchase agreements and securities lending | 0 | 58 |
Up to 30 days | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 0 | 58 |
Up to 30 days | Equity Securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Up to 30 days | Fixed maturity securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Up to 30 days | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Up to 30 days | Fixed maturity securities | Non-U.S. government | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Up to 30 days | Fixed maturity securities | U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Up to 30 days | Fixed maturity securities | Non-U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
31 - 90 days | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Total repurchase agreements and securities lending | 16 | 25 |
31 - 90 days | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 16 | 25 |
31 - 90 days | Equity Securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
31 - 90 days | Fixed maturity securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
31 - 90 days | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
31 - 90 days | Fixed maturity securities | Non-U.S. government | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
31 - 90 days | Fixed maturity securities | U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
31 - 90 days | Fixed maturity securities | Non-U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Greater than 90 days | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Total repurchase agreements and securities lending | 59 | 146 |
Greater than 90 days | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Repurchase agreements | 59 | 146 |
Greater than 90 days | Equity Securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Greater than 90 days | Fixed maturity securities | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Greater than 90 days | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Greater than 90 days | Fixed maturity securities | Non-U.S. government | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Greater than 90 days | Fixed maturity securities | U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | 0 | 0 |
Greater than 90 days | Fixed maturity securities | Non-U.S. corporate | ||
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | ||
Securities lending | $ 0 | $ 0 |
Components of Income (Loss) bef
Components of Income (Loss) before Income Taxes (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Domestic | $ (283) | $ (468) | $ (2,022) |
Foreign | 603 | 453 | 723 |
Income (loss) from continuing operations before income taxes | $ 320 | $ (15) | $ (1,299) |
Components of Income Tax (Benef
Components of Income Tax (Benefit) Expense (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Current federal income taxes | $ 55 | $ 1 | $ (3) |
Deferred federal income taxes | 115 | (199) | (305) |
Total federal income taxes | 170 | (198) | (308) |
Current state income taxes | 1 | 0 | 4 |
Deferred state income taxes | 2 | 4 | (4) |
Total state income taxes | 3 | 4 | 0 |
Current foreign income taxes | 183 | 186 | 246 |
Deferred foreign income taxes | 2 | (1) | (32) |
Total foreign income taxes | 185 | 185 | 214 |
Total provision (benefit) for income taxes | $ 358 | $ (9) | $ (94) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Line Items] | ||||
Current income tax payable | $ 36 | $ 10 | ||
Valuation allowance | 601 | 353 | ||
NOL carryforwards | 2,627 | |||
Foreign tax credit carryforwards | $ 690 | 787 | ||
Net operating loss carryforwards, expiration date/(year) | 2,021 | |||
Foreign tax credit carryforwards, expiration year | 2,021 | |||
Net U.S. deferred tax asset | $ 2,191 | 3,066 | ||
Deferred tax assets related to net operating loss and foreign tax credit carryforwards | 1,596 | |||
Unrecognized tax benefits | 34 | 28 | $ 49 | $ 41 |
Unrecognized tax benefits, amount that if recognized would affect the effective rate on continuing operations | 32 | |||
Unrecognized tax benefits, amount that is reasonably possible that it will be recognized in 2017 | 14 | |||
Unrecognized tax benefits, interest and penalties (expense) | 1 | 3 | ||
Maximum | ||||
Income Taxes [Line Items] | ||||
Unrecognized tax benefits, interest and penalties (expense) | 1 | |||
U.S. Jurisdiction | ||||
Income Taxes [Line Items] | ||||
Net U.S. deferred tax asset | 2,191 | |||
Foreign Tax Credits | ||||
Income Taxes [Line Items] | ||||
Valuation allowance | 258 | |||
Section 338 Election | ||||
Income Taxes [Line Items] | ||||
Remaining deferred tax assets related to Section 338 election deduction | $ 485 | 599 | ||
Tax matters agreement obligation related to Section 338 election, period of repayment, years | 7 years | |||
Maximum deferred tax assets related to Section 338 election deduction | $ 640 | |||
Percentage of tax savings associated with Section 338 deductions | 80.00% | |||
Additional paid-in capital | ||||
Income Taxes [Line Items] | ||||
Adjustment to deferred tax liability for unsupported balance | 6 | |||
Tax Matters Agreement | ||||
Income Taxes [Line Items] | ||||
Interest expense related to tax matters agreement | $ 10 | $ 11 | $ 13 | |
Accretion rate for tax matters agreement | 5.72% | 5.72% | 5.72% | |
Liability for estimated present value of tax payments to former parent | $ 173 | $ 188 |
Reconciliation of Federal Statu
Reconciliation of Federal Statutory Tax Rate to Effective Income Tax Rate (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Examination [Line Items] | |||
Pre-tax income (loss) | $ 320 | $ (15) | $ (1,299) |
Statutory U.S. federal income tax rate | 112 | (5) | (455) |
State income tax, net of federal income tax effect | 3 | 2 | 0 |
Benefit on tax favored investments | (4) | (14) | (19) |
Effect of foreign operations | (5) | (20) | (66) |
Net impact of repatriating foreign earnings | 9 | 0 | 205 |
Interest on uncertain tax positions | 0 | 0 | (2) |
Non-deductible expenses | 1 | (3) | 4 |
Non-deductible goodwill | 0 | 0 | 245 |
Valuation allowance | 233 | 25 | (6) |
Stock-based compensation | 5 | 5 | 4 |
Loss on sale of business | (1) | 0 | 0 |
Other, net | 5 | 1 | (4) |
Total provision (benefit) for income taxes | $ 358 | $ (9) | $ (94) |
Statutory U.S. federal income tax rate | 35.00% | 35.00% | 35.00% |
State income tax, net of federal income tax effect | 1.00% | (18.00%) | 0.00% |
Benefit on tax favored investments | (1.30%) | 93.30% | 1.40% |
Effect of foreign operations | (1.60%) | 129.20% | 5.10% |
Net impact of repatriating foreign earnings | 2.80% | 0.00% | (15.80%) |
Interest on uncertain tax positions | 0.00% | 0.00% | 0.10% |
Non-deductible expenses | 0.30% | 22.00% | (0.30%) |
Non-deductible goodwill | 0.00% | 0.00% | (18.80%) |
Valuation allowance | 72.80% | (165.00%) | 0.50% |
Stock-based compensation | 1.60% | (31.70%) | (0.30%) |
Loss on sale of business | (0.30%) | 0.00% | 0.00% |
Other, net | 1.60% | (6.80%) | 0.30% |
Effective rate | 111.90% | 58.00% | 7.20% |
Components Net Deferred Income
Components Net Deferred Income Tax Liability (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Income Taxes [Abstract] | ||
Foreign tax credit carryforwards | $ 690 | $ 787 |
Accrued commission and general expenses | 208 | 199 |
State income taxes | 329 | 302 |
Net operating loss carryforwards | 906 | 1,727 |
Other | 58 | 51 |
Gross deferred income tax assets | 2,191 | 3,066 |
Valuation allowance | (601) | (353) |
Total deferred income tax assets | 1,590 | 2,713 |
Investments | 2 | 29 |
Net unrealized gains on investment securities | 644 | 639 |
Net unrealized gains on derivatives | 18 | 218 |
Insurance reserves | 58 | 751 |
DAC | 748 | 863 |
PVFP and other intangibles | 55 | 20 |
Investment in foreign subsidiaries | 48 | 10 |
Other | 70 | 52 |
Total deferred income tax liabilities | 1,643 | 2,582 |
Net deferred income tax asset | $ 131 | |
Net deferred income tax liability | $ (53) |
Reconciliation of Unrecognized
Reconciliation of Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Balance as of January 1 | $ 28 | $ 49 | $ 41 |
Gross additions, current period | 6 | 5 | 7 |
Gross reductions, current period | 0 | 0 | (3) |
Gross additions, prior years | 0 | 0 | 17 |
Gross reductions, prior years | 0 | (26) | (13) |
Balance as of December 31 | $ 34 | $ 28 | $ 49 |
Supplemental Cash Flow Infor129
Supplemental Cash Flow Information - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Supplemental Cash Flow Information [Abstract] | |||
Net cash paid for taxes | $ 203 | $ 153 | $ 645 |
Cash paid for interest | $ 381 | $ 424 | $ 437 |
Stock- Based Compensation - Add
Stock- Based Compensation - Additional Information (Detail) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share Based Employee Compensation [Line Items] | |||||
Stock-based compensation expense | $ 32,000,000 | $ 16,000,000 | $ 28,000,000 | ||
Granted, shares subject to option | 0 | 0 | 0 | ||
Unrecognized stock-based compensation expense | $ 19,000,000 | $ 29,000,000 | |||
Unrecognized stock-based compensation expense, expected weighted-average period of recognition (years) | 2 years | 2 years | |||
Amounts received from option exercises | $ 1,000,000 | $ 1,000,000 | |||
Tax benefit realized from the exercise of share based awards | 1,000,000 | 4,000,000 | |||
Genworth Canada | |||||
Share Based Employee Compensation [Line Items] | |||||
Stock-based compensation expense | 8,000,000 | (3,000,000) | $ 6,000,000 | ||
Unrecognized stock-based compensation expense | 3,000,000 | 2,000,000 | $ 3,000,000 | ||
Genworth Australia | |||||
Share Based Employee Compensation [Line Items] | |||||
Stock-based compensation expense | 1,000,000 | 2,000,000 | |||
Unrecognized stock-based compensation expense | $ 1,000,000 | $ 4,000,000 | |||
Vested restricted share rights | 0 | 0 | |||
Stock Appreciation Rights | |||||
Share Based Employee Compensation [Line Items] | |||||
Granted stock options, exercise price range, lower limit | $ 4.96 | $ 14.30 | |||
Granted stock options, exercise price range, upper limit | 7.99 | $ 17.89 | |||
Granted stock options, fair value | $ 0 | $ 3.43 | |||
Granted, number of awards | 0 | 1,378,000 | |||
Forfeited, number of awards | 1,308,000 | 1,238,000 | |||
Outstanding, number of awards | 10,840,000 | 12,148,000 | 12,067,000 | ||
Vested restricted share rights | 0 | 59,000 | |||
Stock Appreciation Rights Cap Price | |||||
Share Based Employee Compensation [Line Items] | |||||
Maximum share value at exercise of SARs | $ 75 | ||||
Employee Stock Option and Stock Appreciation Rights | |||||
Share Based Employee Compensation [Line Items] | |||||
Granted stock options, exercise term (years) | 10 years | ||||
Stock Appreciation Rights (SARs) | |||||
Share Based Employee Compensation [Line Items] | |||||
Average vesting period | 3 years | 4 years | |||
Restricted Stock Units | |||||
Share Based Employee Compensation [Line Items] | |||||
Average vesting period | 3 years | 4 years | |||
Granted stock options, fair value | $ 2.04 | $ 7.50 | |||
Granted, number of awards | 1,230,000 | 2,087,000 | |||
Forfeited, number of awards | 414,000 | 355,000 | |||
Outstanding, number of awards | 3,253,000 | 3,255,000 | 2,913,000 | ||
Vested restricted share rights | 818,000 | 1,390,000 | |||
Restricted Stock Units | Minimum | |||||
Share Based Employee Compensation [Line Items] | |||||
Granted stock options, fair value | $ 4.96 | ||||
Restricted Stock Units | Maximum | |||||
Share Based Employee Compensation [Line Items] | |||||
Granted stock options, fair value | 7.99 | ||||
Performance Stock Units ("PSUs") | |||||
Share Based Employee Compensation [Line Items] | |||||
Granted stock options, fair value | $ 2.81 | $ 7.75 | |||
Stock Retention Awards | |||||
Share Based Employee Compensation [Line Items] | |||||
Average vesting period | 2 years | 2 years | |||
Granted stock options, fair value | $ 1 | $ 1 | |||
Cash granted | $ 18,000,000 | $ 10,000,000 | |||
Forfeited amount due to employees leaving company | $ 3,000,000 | ||||
Long-term Incentive Plan Shares subject to option | Genworth Australia | |||||
Share Based Employee Compensation [Line Items] | |||||
Granted, number of awards | 742,000 | 533,000 | |||
Forfeited, number of awards | 348,000 | 0 | |||
Outstanding, number of awards | 925,000 | 533,000 | 0 | ||
Vested restricted share rights | 2,000 | 0 | |||
Omnibus Incentive Plan | |||||
Share Based Employee Compensation [Line Items] | |||||
Equity awards, amount of shares authorized to grant | 16,000,000 | 25,000,000 | |||
Stock-based compensation expense | $ 23,000,000 | $ 17,000,000 | $ 20,000,000 |
Stock Option and SAR Weighted-A
Stock Option and SAR Weighted-Average Grant-Date Fair Value Information and Related Valuation Assumptions (Detail) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options and SARs, granted | 0 | 0 | 0 |
Black-Scholes Model | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (years) | 6 years | 6 years | |
Expected volatility | 66.00% | 100.20% | |
Expected dividend yield | 0.00% | 0.50% | |
Risk-free interest rate | 1.90% | 1.90% | |
Black-Scholes Model | Stock Compensation Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options and SARs, granted | 1,378 | 2,960 | |
Fair value per options and SARs | $ 3.43 | $ 3.05 | |
Black-Scholes Model | Stock Appreciation Rights (SARs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum share value at exercise of SARs | $ 75 | $ 75 |
Rollforward of Share-Based Comp
Rollforward of Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding (Detail) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Stock-Based Compensation [Abstract] | |||
Beginning balance, shares subject to option | 2,140 | 2,504 | |
Granted, shares subject to option | 0 | 0 | 0 |
Exercised, shares subject to option | (46) | (47) | |
Expired and forfeited, shares subject to option | (280) | (317) | |
Ending balance, shares subject to option | 1,814 | 2,140 | 2,504 |
Beginning balance, weighted-average exercise price | $ 12.34 | $ 12.86 | |
Exercisable as of December 31, shares subject to option | 1,814 | ||
Granted, weighted-average exercise price | $ 0 | 0 | |
Exercised, weighted-average exercise price | 2.46 | 4.39 | |
Expired and forfeited, weighted-average exercise price | 17.24 | 17.62 | |
Ending balance, weighted-average exercise price | 11.83 | $ 12.34 | $ 12.86 |
Exercisable as of December 31, weighted-average exercise price | $ 11.83 |
Information about Stock Options
Information about Stock Options Outstanding (Detail) shares in Thousands | 12 Months Ended | |
Dec. 31, 2016$ / sharesshares | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Outstanding, shares | shares | 1,814 | |
Outstanding, average exercise price | $ 11.83 | |
Exercise Price Range, $ 2.00 - $ 2.46 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise price range, lower limit | 2 | [1] |
Exercise price range, upper limit | $ 2.46 | [1] |
Outstanding, shares | shares | 316 | [1] |
Outstanding, average life (years) | 2 years 22 days | [2] |
Outstanding, average exercise price | $ 2.43 | [1] |
Exercise Price Range, $ 7.8 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Deferred Compensation Arrangement with Individual, Exercise Price | $ 7.8 | |
Outstanding, shares | shares | 314 | |
Outstanding, average life (years) | 1 year 2 months 9 days | [2] |
Outstanding, average exercise price | $ 7.80 | |
Exercise Price Range, $ 9.10 - $ 14.18 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise price range, lower limit | 9.10 | |
Exercise price range, upper limit | $ 14.18 | |
Outstanding, shares | shares | 1,043 | |
Outstanding, average life (years) | 2 years 10 months 17 days | [2] |
Outstanding, average exercise price | $ 14.14 | |
Exercise Price Range, $14.92 - $31.71 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise price range, lower limit | 14.92 | |
Exercise price range, upper limit | $ 31.71 | |
Outstanding, shares | shares | 141 | |
Outstanding, average life (years) | 1 year 1 month 17 days | [2] |
Outstanding, average exercise price | $ 24.77 | |
[1] | These shares have an aggregate intrinsic value of less than $1 million each for total options outstanding and exercisable. | |
[2] | Average contractual life remaining in years. |
Information about Stock Opti134
Information about Stock Options Outstanding (Parenthetical) (Detail) - Exercise Price Range, $ 2.00 - $ 2.46 - Maximum $ in Millions | Dec. 31, 2016USD ($) |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Aggregate intrinsic value, total options outstanding | $ 1 |
Aggregate intrinsic value, exercisable options | $ 1 |
Stock Option Activity and Other
Stock Option Activity and Other Equity-Based Awards (Detail) - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning balance, shares subject to option | 2,140 | 2,504 |
Exercised, shares subject to option | (46) | (47) |
Terminated, shares subject to option | (280) | (317) |
Ending balance, shares subject to option | 1,814 | 2,140 |
Restricted Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 3,255 | 2,913 |
Granted, number of awards | 1,230 | 2,087 |
Exercised, number of awards | (818) | (1,390) |
Terminated, number of awards | (414) | (355) |
Balance as of December 31, number of awards | 3,253 | 3,255 |
Balance as of January 1, weighted-average grant date fair value | $ 9.22 | $ 12.09 |
Granted, weighted-average grant date fair value | 2.04 | 7.50 |
Exercised, weighted-average grant date fair value | 10.13 | 11.60 |
Terminated, weighted-average grant date fair value | 9.70 | 10.10 |
Balance as of December 31, weighted-average grant date fair value | $ 6.19 | $ 9.22 |
Performance Stock Units ("PSUs") | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 710 | 304 |
Granted, number of awards | 2,730 | 535 |
Exercised, number of awards | 0 | 0 |
Terminated, number of awards | (4) | (129) |
Balance as of December 31, number of awards | 3,436 | 710 |
Balance as of January 1, weighted-average grant date fair value | $ 10.63 | $ 15.32 |
Granted, weighted-average grant date fair value | 2.81 | 7.75 |
Exercised, weighted-average grant date fair value | 0 | 0 |
Terminated, weighted-average grant date fair value | 15.23 | 9.72 |
Balance as of December 31, weighted-average grant date fair value | $ 4.41 | $ 10.63 |
Deferred Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 880 | 634 |
Granted, number of awards | 284 | 256 |
Exercised, number of awards | 0 | (10) |
Terminated, number of awards | 0 | 0 |
Balance as of December 31, number of awards | 1,164 | 880 |
Balance as of January 1, weighted-average grant date fair value | $ 8.18 | $ 9.96 |
Granted, weighted-average grant date fair value | 2.14 | 3.90 |
Exercised, weighted-average grant date fair value | 0 | 2.14 |
Terminated, weighted-average grant date fair value | 0 | 0 |
Balance as of December 31, weighted-average grant date fair value | $ 6.72 | $ 8.18 |
Stock Appreciation Rights | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 12,148 | 12,067 |
Granted, number of awards | 0 | 1,378 |
Exercised, number of awards | 0 | (59) |
Terminated, number of awards | (1,308) | (1,238) |
Balance as of December 31, number of awards | 10,840 | 12,148 |
Balance as of January 1, weighted-average grant date fair value | $ 3.56 | $ 3.62 |
Granted, weighted-average grant date fair value | 0 | 3.43 |
Exercised, weighted-average grant date fair value | 0 | 1.28 |
Terminated, weighted-average grant date fair value | 3.72 | 4.05 |
Balance as of December 31, weighted-average grant date fair value | $ 3.54 | $ 3.56 |
Genworth MI Canada Inc. | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning balance, shares subject to option | 955 | 1,002 |
Granted, shares subject to option | 95 | 53 |
Exercised, shares subject to option | (65) | (88) |
Terminated, shares subject to option | (28) | (12) |
Ending balance, shares subject to option | 957 | 955 |
Genworth MI Canada Inc. | Deferred Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 54 | 54 |
Granted, number of awards | 12 | 14 |
Exercised, number of awards | (2) | (14) |
Terminated, number of awards | 0 | 0 |
Balance as of December 31, number of awards | 64 | 54 |
Genworth MI Canada Inc. | Restricted Stock Units and Performance Stock Unit Awards | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 194 | 203 |
Granted, number of awards | 126 | 78 |
Exercised, number of awards | (77) | (60) |
Terminated, number of awards | (8) | (27) |
Balance as of December 31, number of awards | 235 | 194 |
Genworth MI Canada Inc. | Executive Deferred Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 31 | 21 |
Granted, number of awards | 14 | 10 |
Exercised, number of awards | 0 | 0 |
Terminated, number of awards | 0 | 0 |
Balance as of December 31, number of awards | 45 | 31 |
Genworth Australia | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercised, number of awards | 0 | 0 |
Genworth Australia | Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 2,765 | 2,803 |
Granted, number of awards | 280 | 147 |
Exercised, number of awards | (892) | (40) |
Terminated, number of awards | (884) | (145) |
Balance as of December 31, number of awards | 1,269 | 2,765 |
Genworth Australia | Long-term Incentive Plan Shares subject to option | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance as of January 1, number of awards | 533 | 0 |
Granted, number of awards | 742 | 533 |
Exercised, number of awards | (2) | 0 |
Terminated, number of awards | (348) | 0 |
Balance as of December 31, number of awards | 925 | 533 |
Fair Value Financial Instrument
Fair Value Financial Instruments Not Required to Be Carried at Fair Value (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | $ 6,111 | $ 6,170 | |
Restricted commercial mortgage loans | 129 | 161 | |
Other invested assets | 2,071 | 2,309 | |
Long-term borrowings | 4,180 | 4,570 | |
Non-recourse funding obligations | 310 | 1,920 | |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | 0 | 0 | |
Restricted commercial mortgage loans | [1] | 0 | 0 |
Other invested assets | 0 | 0 | |
Long-term borrowings | [2] | 0 | 0 |
Non-recourse funding obligations | [2] | 0 | 0 |
Borrowings related to securitization entities | [1] | 0 | 0 |
Investment contracts | 0 | 0 | |
Commitments to fund limited partnerships | 0 | 0 | |
Ordinary course of business lending commitments | 0 | 0 | |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | 0 | 0 | |
Restricted commercial mortgage loans | [1] | 0 | 0 |
Other invested assets | 352 | 197 | |
Long-term borrowings | [2] | 3,440 | 3,343 |
Non-recourse funding obligations | [2] | 0 | 0 |
Borrowings related to securitization entities | [1] | 65 | 104 |
Investment contracts | 5 | 5 | |
Commitments to fund limited partnerships | 0 | 0 | |
Ordinary course of business lending commitments | 0 | 0 | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | 6,247 | 6,476 | |
Restricted commercial mortgage loans | [1] | 141 | 179 |
Other invested assets | 121 | 82 | |
Long-term borrowings | [2] | 142 | 175 |
Non-recourse funding obligations | [2] | 186 | 1,401 |
Borrowings related to securitization entities | [1] | 0 | 0 |
Investment contracts | 16,988 | 17,905 | |
Commitments to fund limited partnerships | 0 | 0 | |
Ordinary course of business lending commitments | 0 | 0 | |
Carrying value | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | 6,111 | 6,170 | |
Restricted commercial mortgage loans | [1] | 129 | 161 |
Other invested assets | 459 | 273 | |
Long-term borrowings | [2] | 4,180 | 4,570 |
Non-recourse funding obligations | [2] | 310 | 1,920 |
Borrowings related to securitization entities | [1] | 62 | 98 |
Investment contracts | 16,437 | 17,258 | |
Commitments to fund limited partnerships | 0 | 0 | |
Ordinary course of business lending commitments | 0 | 0 | |
Fair value | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | 6,247 | 6,476 | |
Restricted commercial mortgage loans | [1] | 141 | 179 |
Other invested assets | 473 | 279 | |
Long-term borrowings | [2] | 3,582 | 3,518 |
Non-recourse funding obligations | [2] | 186 | 1,401 |
Borrowings related to securitization entities | [1] | 65 | 104 |
Investment contracts | 16,993 | 17,910 | |
Commitments to fund limited partnerships | 0 | 0 | |
Ordinary course of business lending commitments | 0 | 0 | |
Notional amount | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Commercial mortgage loans | [3] | 0 | 0 |
Restricted commercial mortgage loans | [1],[3] | 0 | 0 |
Other invested assets | [3] | 0 | 0 |
Long-term borrowings | [2],[3] | 0 | 0 |
Non-recourse funding obligations | [2],[3] | 0 | 0 |
Borrowings related to securitization entities | [1],[3] | 0 | 0 |
Investment contracts | [3] | 0 | 0 |
Commitments to fund limited partnerships | 201 | 131 | |
Ordinary course of business lending commitments | $ 73 | $ 40 | |
[1] | See note 17 for additional information related to consolidated securitization entities. | ||
[2] | See note 12 for additional information related to borrowings. | ||
[3] | These financial instruments do not have notional amounts. |
Fair Value of Financial Inst137
Fair Value of Financial Instruments - Additional Information (Detail) $ in Millions | 12 Months Ended | |
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 60,572 | $ 58,197 |
GMWB non-performance risk impact | $ 73 | $ 79 |
Period end valuation | 0 | 0 |
Fixed maturity securities | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 2,107 | $ 2,015 |
Fixed maturity securities | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 26,828 | 24,401 |
Fixed maturity securities | State and Political Subdivisions | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 2,647 | 2,438 |
Fixed maturity securities | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 12,295 | 12,199 |
Level 2 | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 56,271 | 53,017 |
Level 2 | Fixed maturity securities | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 2,107 | 2,015 |
Level 2 | Fixed maturity securities | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 24,341 | 22,072 |
Level 2 | Fixed maturity securities | State and Political Subdivisions | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 2,610 | 2,403 |
Level 2 | Fixed maturity securities | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 10,762 | 10,654 |
Level 2 | Fixed maturity securities | Internal models | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 17 | |
Level 2 | Fixed maturity securities | Internal models | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 640 | |
Level 2 | Fixed maturity securities | Internal models | State and Political Subdivisions | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 7 | |
Level 2 | Fixed maturity securities | Internal models | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 317 | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | ||
Fair Value of Financial Instruments [Line Items] | ||
Percentage of available for sale debt securities | 91.00% | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 2,090 | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 23,701 | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | State and Political Subdivisions | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 2,603 | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 10,445 | |
Level 3 | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 4,301 | 5,180 |
Level 3 | Fixed maturity securities | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 0 | 0 |
Level 3 | Fixed maturity securities | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 2,487 | 2,329 |
Level 3 | Fixed maturity securities | State and Political Subdivisions | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 37 | 35 |
Level 3 | Fixed maturity securities | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 1,533 | $ 1,545 |
Level 3 | Fixed maturity securities | Internal models | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 3,588 | |
Level 3 | Fixed maturity securities | Broker Quotes | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 713 |
Summary of Significant Inputs U
Summary of Significant Inputs Used by Third-Party Pricing Services for Certain Fair Value Measurements of Fixed Maturity Securities that Classified as Level 2 (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 60,572 | $ 58,197 |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 6,036 | 6,203 |
Fixed maturity securities | State and Political Subdivisions | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,647 | 2,438 |
Fixed maturity securities | Non-U.S. government | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,107 | 2,015 |
Fixed maturity securities | U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 26,828 | 24,401 |
Fixed maturity securities | Non-U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 12,295 | 12,199 |
Fixed maturity securities | Residential mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 4,379 | 5,101 |
Fixed maturity securities | Commercial mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 3,129 | 2,559 |
Fixed maturity securities | Other asset-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 3,151 | 3,281 |
Level 2 | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 56,271 | 53,017 |
Level 2 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 6,034 | 6,200 |
Level 2 | Fixed maturity securities | State and Political Subdivisions | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,610 | 2,403 |
Level 2 | Fixed maturity securities | Non-U.S. government | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,107 | 2,015 |
Level 2 | Fixed maturity securities | U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 24,341 | 22,072 |
Level 2 | Fixed maturity securities | Non-U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 10,762 | 10,654 |
Level 2 | Fixed maturity securities | Residential mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 4,336 | 4,985 |
Level 2 | Fixed maturity securities | Commercial mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 3,075 | 2,549 |
Level 2 | Fixed maturity securities | Other asset-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 3,006 | $ 2,139 |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 6,034 | |
Primary methodologies | Price quotes from trading desk, broker feeds | |
Significant inputs | Bid side prices, trade prices, Option Adjusted Spread ("OAS") to swap curve, Bond Market Association OAS, Treasury Curve, Agency Bullet Curve, maturity to issuer spread | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | State and Political Subdivisions | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 2,603 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, third-party pricing vendors | |
Significant inputs | Trade prices, material event notices, Municipal Market Data benchmark yields, broker quotes | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Non-U.S. government | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 2,090 | |
Primary methodologies | Matrix pricing, spread priced to benchmark curves, price quotes from market makers | |
Significant inputs | Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer spread, market research publications, third-party pricing sources | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 23,701 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, broker quotes, price quotes from market makers, internal models, OAS-basedmodels | |
Significant inputs | Bid side prices to Treasury Curve, Issuer Curve, which includes sector, quality, duration, OAS percentage and change for spread matrix, trade prices, comparative transactions, Trade Reporting and Compliance Engine ("TRACE") reports | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Non-U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 10,445 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, OAS-based models, price quotes from market makers | |
Significant inputs | Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer spread, market research publications, third-party pricing sources | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Residential mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 4,336 | |
Primary methodologies | OAS-based models, To Be Announced pricing models, single factor binomial models, internally priced | |
Significant inputs | Prepayment and default assumptions, aggregation of bonds with similar characteristics, including collateral type, vintage, tranche type, weighted-average life, weighted-average loan age, issuer program and delinquency ratio, pay up and pay down factors, TRACE reports | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Commercial mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 3,075 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, pricing matrix, spread matrix priced to swap curves, Trepp commercial mortgage- backed securities analytics model | |
Significant inputs | Credit risk, interest rate risk, prepayment speeds, new issue data, collateral performance, origination year, tranche type, original credit ratings, weighted-average life, cash flows, spreads derived from broker quotes, bid side prices, spreads to daily updated swaps curves, TRACE reports | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Other asset-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 3,006 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, spread matrix priced to swap curves, price quotes from market makers, internal models | |
Significant inputs | Spreads to daily updated swaps curves, spreads derived from trade prices and broker quotes, bid side prices, new issue data, collateral performance, analysis of prepayment speeds, cash flows, collateral loss analytics, historical issue analysis, trade data from market makers, TRACE reports |
Assets by Class of Instrument t
Assets by Class of Instrument that are Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | $ 60,572 | $ 58,197 | |
Available-for-sale equity securities | 632 | 310 | |
Derivative assets, fair value | 724 | 1,129 | |
Total other invested assets | 2,071 | 2,309 | |
Restricted other invested assets related to securitization entities | [1] | 312 | 413 |
Separate account assets | 7,299 | 7,883 | |
Total assets | 70,332 | 68,726 | |
Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Trading securities | 259 | 447 | |
Derivative assets, fair value | 708 | 1,112 | |
Securities lending collateral | 534 | 347 | |
Interest rate swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 596 | 1,054 | |
Foreign currency swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 4 | 8 | |
Credit default swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 1 | ||
Equity index options | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 72 | 30 | |
Equity return swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 1 | 2 | |
Other foreign currency contracts | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 35 | 17 | |
GMWB embedded derivatives | Reinsurance recoverable | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | [2] | 16 | 17 |
Fair value | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total other invested assets | 473 | 279 | |
Fair value | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total other invested assets | 1,501 | 1,906 | |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 6,036 | 6,203 | |
Fixed maturity securities | State and Political Subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,647 | 2,438 | |
Fixed maturity securities | Non-U.S. government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,107 | 2,015 | |
Fixed maturity securities | U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 26,828 | 24,401 | |
Fixed maturity securities | U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 4,550 | 3,693 | |
Fixed maturity securities | U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,300 | 2,501 | |
Fixed maturity securities | U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 6,097 | 5,632 | |
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 4,734 | 4,096 | |
Fixed maturity securities | U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,598 | 2,193 | |
Fixed maturity securities | U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,223 | 1,173 | |
Fixed maturity securities | U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,258 | 1,950 | |
Fixed maturity securities | U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,530 | 1,675 | |
Fixed maturity securities | U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,190 | 1,086 | |
Fixed maturity securities | U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 348 | 402 | |
Fixed maturity securities | Non-U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 12,295 | 12,199 | |
Fixed maturity securities | Non-U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 969 | 843 | |
Fixed maturity securities | Non-U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,331 | 1,686 | |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,538 | 2,473 | |
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 714 | 752 | |
Fixed maturity securities | Non-U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 987 | 988 | |
Fixed maturity securities | Non-U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 958 | 986 | |
Fixed maturity securities | Non-U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 535 | 604 | |
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 442 | 526 | |
Fixed maturity securities | Non-U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 677 | 605 | |
Fixed maturity securities | Non-U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,144 | 2,736 | |
Fixed maturity securities | Residential mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 4,379 | 5,101 | |
Fixed maturity securities | Commercial mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,129 | 2,559 | |
Fixed maturity securities | Other asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,151 | 3,281 | |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Available-for-sale equity securities | 551 | 270 | |
Total other invested assets | 0 | 0 | |
Restricted other invested assets related to securitization entities | [1] | 0 | 0 |
Separate account assets | 7,299 | 7,883 | |
Total assets | 7,850 | 8,153 | |
Level 1 | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Trading securities | 0 | 0 | |
Derivative assets, fair value | 0 | 0 | |
Securities lending collateral | 0 | 0 | |
Level 1 | Interest rate swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 1 | Foreign currency swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 1 | Credit default swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | ||
Level 1 | Equity index options | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 1 | Equity return swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 1 | Other foreign currency contracts | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 1 | GMWB embedded derivatives | Reinsurance recoverable | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | [2] | 0 | 0 |
Level 1 | Fair value | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total other invested assets | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | State and Political Subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Non-U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Residential mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Commercial mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 1 | Fixed maturity securities | Other asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 56,271 | 53,017 | |
Available-for-sale equity securities | 34 | 2 | |
Total other invested assets | 352 | 197 | |
Restricted other invested assets related to securitization entities | [1] | 181 | 181 |
Separate account assets | 0 | 0 | |
Total assets | 57,912 | 55,072 | |
Level 2 | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Trading securities | 259 | 447 | |
Derivative assets, fair value | 633 | 1,078 | |
Securities lending collateral | 534 | 347 | |
Level 2 | Interest rate swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 596 | 1,054 | |
Level 2 | Foreign currency swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 4 | 8 | |
Level 2 | Credit default swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | ||
Level 2 | Equity index options | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 2 | Equity return swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 1 | 2 | |
Level 2 | Other foreign currency contracts | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 32 | 14 | |
Level 2 | GMWB embedded derivatives | Reinsurance recoverable | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | [2] | 0 | 0 |
Level 2 | Fair value | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total other invested assets | 1,426 | 1,872 | |
Level 2 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 6,034 | 6,200 | |
Level 2 | Fixed maturity securities | State and Political Subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,610 | 2,403 | |
Level 2 | Fixed maturity securities | Non-U.S. government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,107 | 2,015 | |
Level 2 | Fixed maturity securities | U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 24,341 | 22,072 | |
Level 2 | Fixed maturity securities | U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,974 | 3,244 | |
Level 2 | Fixed maturity securities | U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,090 | 2,248 | |
Level 2 | Fixed maturity securities | U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 5,311 | 4,917 | |
Level 2 | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 4,613 | 3,987 | |
Level 2 | Fixed maturity securities | U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,544 | 2,158 | |
Level 2 | Fixed maturity securities | U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,175 | 1,112 | |
Level 2 | Fixed maturity securities | U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,106 | 1,770 | |
Level 2 | Fixed maturity securities | U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,272 | 1,436 | |
Level 2 | Fixed maturity securities | U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,051 | 980 | |
Level 2 | Fixed maturity securities | U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 205 | 220 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 10,762 | 10,654 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 583 | 556 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,125 | 1,434 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,356 | 2,282 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 575 | 583 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 920 | 926 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 849 | 902 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 366 | 391 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 373 | 455 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 496 | 461 | |
Level 2 | Fixed maturity securities | Non-U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,119 | 2,664 | |
Level 2 | Fixed maturity securities | Residential mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 4,336 | 4,985 | |
Level 2 | Fixed maturity securities | Commercial mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,075 | 2,549 | |
Level 2 | Fixed maturity securities | Other asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 3,006 | 2,139 | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 4,301 | 5,180 | |
Available-for-sale equity securities | 47 | 38 | |
Total other invested assets | 121 | 82 | |
Restricted other invested assets related to securitization entities | [1] | 131 | 232 |
Separate account assets | 0 | 0 | |
Total assets | 4,570 | 5,501 | |
Level 3 | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Trading securities | 0 | 0 | |
Derivative assets, fair value | 75 | 34 | |
Securities lending collateral | 0 | 0 | |
Level 3 | Interest rate swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 3 | Foreign currency swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 3 | Credit default swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 1 | ||
Level 3 | Equity index options | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 72 | 30 | |
Level 3 | Equity return swaps | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Level 3 | Other foreign currency contracts | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | 3 | 3 | |
Level 3 | GMWB embedded derivatives | Reinsurance recoverable | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets, fair value | [2] | 16 | 17 |
Level 3 | Fair value | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total other invested assets | 75 | 34 | |
Level 3 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2 | 3 | |
Level 3 | Fixed maturity securities | State and Political Subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 37 | 35 | |
Level 3 | Fixed maturity securities | Non-U.S. government | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 0 | 0 | |
Level 3 | Fixed maturity securities | U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 2,487 | 2,329 | |
Level 3 | Fixed maturity securities | U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 576 | 449 | |
Level 3 | Fixed maturity securities | U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 210 | 253 | |
Level 3 | Fixed maturity securities | U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 786 | 715 | |
Level 3 | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 121 | 109 | |
Level 3 | Fixed maturity securities | U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 54 | 35 | |
Level 3 | Fixed maturity securities | U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 48 | 61 | |
Level 3 | Fixed maturity securities | U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 152 | 180 | |
Level 3 | Fixed maturity securities | U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 258 | 239 | |
Level 3 | Fixed maturity securities | U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 139 | 106 | |
Level 3 | Fixed maturity securities | U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 143 | 182 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 1,533 | 1,545 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 386 | 287 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 206 | 252 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 182 | 191 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 139 | 169 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 67 | 62 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 109 | 84 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 169 | 213 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 69 | 71 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 181 | 144 | |
Level 3 | Fixed maturity securities | Non-U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 25 | 72 | |
Level 3 | Fixed maturity securities | Residential mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 43 | 116 | |
Level 3 | Fixed maturity securities | Commercial mortgage-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | 54 | 10 | |
Level 3 | Fixed maturity securities | Other asset-backed | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale debt securities | $ 145 | $ 1,142 | |
[1] | See note 17 for additional information related to consolidated securitization entities. | ||
[2] | Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Assets Measured at Fair Value o
Assets Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value (Detail) - USD ($) $ in Millions | 12 Months Ended | ||||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | $ 5,501 | $ 6,051 | $ 5,870 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | (26) | 10 | 34 | ||||
Total realized and unrealized gains (losses), Included in OCI | 40 | (127) | 58 | ||||
Purchases | 823 | 662 | 846 | ||||
Sales | (214) | (236) | (261) | ||||
Issuances | 2 | 3 | 3 | ||||
Settlements | (515) | (683) | (679) | ||||
Transfer into Level 3 | 461 | [1] | 415 | [2] | 672 | [3] | |
Transfer out of Level 3 | (1,502) | [1] | (594) | [2] | (492) | [3] | |
Ending balance | 4,570 | 5,501 | 6,051 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 17 | 24 | 16 | ||||
Other invested assets | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 34 | 20 | 59 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 9 | (26) | (33) | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 78 | 43 | 36 | ||||
Sales | 0 | 0 | (1) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (46) | (3) | (10) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | (31) | [3] | |
Ending balance | 75 | 34 | 20 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 1 | (3) | (28) | ||||
Other invested assets | Derivative assets | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 34 | 20 | 25 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 9 | (26) | (33) | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 78 | 43 | 36 | ||||
Sales | 0 | 0 | (1) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (46) | (3) | (7) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 75 | 34 | 20 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 1 | (3) | (28) | ||||
Other invested assets | Derivative assets | Credit default swaps | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 1 | 3 | 10 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 1 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 0 | 0 | 0 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (1) | (3) | (7) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 0 | 1 | 3 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 1 | 0 | ||||
Other invested assets | Derivative assets | Equity index options | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 30 | 17 | 12 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 10 | (25) | (31) | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 76 | 38 | 36 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (44) | 0 | 0 | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 72 | 30 | 17 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 2 | (3) | (28) | ||||
Other invested assets | Derivative assets | Other foreign currency contracts | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 3 | 0 | 3 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | (1) | (2) | (2) | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 2 | 5 | 0 | ||||
Sales | 0 | 0 | (1) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (1) | 0 | 0 | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 3 | 3 | 0 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | (1) | (1) | 0 | ||||
Other invested assets | Trading Securities | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 0 | 34 | |||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | ||||||
Total realized and unrealized gains (losses), Included in OCI | 0 | ||||||
Purchases | 0 | ||||||
Sales | 0 | ||||||
Issuances | 0 | ||||||
Settlements | (3) | ||||||
Transfer into Level 3 | [3] | 0 | |||||
Transfer out of Level 3 | [3] | (31) | |||||
Ending balance | 0 | ||||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | ||||||
Restricted other invested assets related to securitization entities | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | [4] | 232 | 230 | 211 | |||
Total realized and unrealized gains (losses), Included in net income (loss) | [4] | (55) | 2 | 19 | |||
Total realized and unrealized gains (losses), Included in OCI | [4] | 0 | 0 | 0 | |||
Purchases | [4] | 0 | 0 | 0 | |||
Sales | [4] | 0 | 0 | 0 | |||
Issuances | [4] | 0 | 0 | 0 | |||
Settlements | [4] | (46) | 0 | 0 | |||
Transfer into Level 3 | [4] | 0 | [1] | 0 | [2] | 0 | [3] |
Transfer out of Level 3 | [4] | 0 | [1] | 0 | [2] | 0 | [3] |
Ending balance | [4] | 131 | 232 | 230 | |||
Total gains (losses) included in net income (loss) attributable to assets still held | [4] | 9 | 2 | 18 | |||
Reinsurance recoverable | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | [5] | 17 | 13 | (1) | |||
Total realized and unrealized gains (losses), Included in net income (loss) | [5] | (3) | 1 | 11 | |||
Total realized and unrealized gains (losses), Included in OCI | [5] | 0 | 0 | 0 | |||
Purchases | [5] | 0 | 0 | 0 | |||
Sales | [5] | 0 | 0 | 0 | |||
Issuances | [5] | 2 | 3 | 3 | |||
Settlements | [5] | 0 | 0 | 0 | |||
Transfer into Level 3 | [5] | 0 | [1] | 0 | [2] | 0 | [3] |
Transfer out of Level 3 | [5] | 0 | [1] | 0 | [2] | 0 | [3] |
Ending balance | [5] | 16 | 17 | 13 | |||
Total gains (losses) included in net income (loss) attributable to assets still held | [5] | (3) | 1 | 11 | |||
Fixed maturity securities | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 5,180 | 5,754 | 5,523 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 23 | 33 | 37 | ||||
Total realized and unrealized gains (losses), Included in OCI | 40 | (127) | 58 | ||||
Purchases | 732 | 618 | 809 | ||||
Sales | (210) | (230) | (222) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (423) | (680) | (669) | ||||
Transfer into Level 3 | 461 | [1] | 406 | [2] | 672 | [3] | |
Transfer out of Level 3 | (1,502) | [1] | (594) | [2] | (454) | [3] | |
Ending balance | 4,301 | 5,180 | 5,754 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 10 | 24 | 15 | ||||
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 3 | 4 | 5 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 0 | 0 | 0 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (1) | (1) | (1) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 2 | 3 | 4 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | State and Political Subdivisions | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 35 | 30 | 27 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 2 | 3 | 2 | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 7 | (4) | ||||
Purchases | 7 | 5 | 5 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | 0 | 0 | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | (7) | [1] | (10) | [2] | 0 | [3] | |
Ending balance | 37 | 35 | 30 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 2 | 3 | 2 | ||||
Fixed maturity securities | Non-U.S. government | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 0 | 7 | 23 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | |||||
Total realized and unrealized gains (losses), Included in OCI | (1) | 0 | |||||
Purchases | 0 | 2 | |||||
Sales | 0 | 0 | |||||
Issuances | 0 | 0 | |||||
Settlements | (1) | (2) | |||||
Transfer into Level 3 | 0 | [2] | 0 | [3] | |||
Transfer out of Level 3 | (5) | [2] | (16) | [3] | |||
Ending balance | 0 | 7 | |||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | |||||
Fixed maturity securities | U.S. corporate | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 2,329 | 2,419 | 2,373 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 33 | 24 | 26 | ||||
Total realized and unrealized gains (losses), Included in OCI | 4 | (84) | 58 | ||||
Purchases | 439 | 294 | 206 | ||||
Sales | (53) | (16) | (60) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (208) | (191) | (251) | ||||
Transfer into Level 3 | 204 | [1] | 137 | [2] | 301 | [3] | |
Transfer out of Level 3 | (261) | [1] | (254) | [2] | (234) | [3] | |
Ending balance | 2,487 | 2,329 | 2,419 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 22 | 19 | 10 | ||||
Fixed maturity securities | U.S. corporate | Utilities | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 449 | 444 | 420 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 1 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 1 | (14) | 11 | ||||
Purchases | 149 | 67 | 12 | ||||
Sales | (6) | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (21) | (16) | (5) | ||||
Transfer into Level 3 | 73 | [1] | 10 | [2] | 58 | [3] | |
Transfer out of Level 3 | (70) | [1] | (42) | [2] | (52) | [3] | |
Ending balance | 576 | 449 | 444 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | U.S. corporate | Energy | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 253 | 285 | 281 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | (2) | (13) | 0 | ||||
Purchases | 10 | 4 | 40 | ||||
Sales | 0 | (4) | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (11) | (11) | (4) | ||||
Transfer into Level 3 | 7 | [1] | 0 | [2] | 27 | [3] | |
Transfer out of Level 3 | (47) | [1] | (8) | [2] | (59) | [3] | |
Ending balance | 210 | 253 | 285 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | U.S. corporate | Finance and insurance | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 715 | 616 | 433 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 16 | 16 | 14 | ||||
Total realized and unrealized gains (losses), Included in OCI | 9 | (28) | 23 | ||||
Purchases | 69 | 90 | 39 | ||||
Sales | (14) | 0 | (1) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (63) | (33) | (10) | ||||
Transfer into Level 3 | 72 | [1] | 97 | [2] | 155 | [3] | |
Transfer out of Level 3 | (18) | [1] | (43) | [2] | (37) | [3] | |
Ending balance | 786 | 715 | 616 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 15 | 14 | 3 | ||||
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 109 | 140 | 224 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 2 | 2 | ||||
Total realized and unrealized gains (losses), Included in OCI | 3 | (3) | 2 | ||||
Purchases | 30 | 29 | 0 | ||||
Sales | (18) | (9) | (38) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (3) | (40) | (60) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 10 | [3] | |
Transfer out of Level 3 | 0 | [1] | (10) | [2] | 0 | [3] | |
Ending balance | 121 | 109 | 140 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | U.S. corporate | Technology and communications | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 35 | 45 | 60 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 3 | 3 | 3 | ||||
Total realized and unrealized gains (losses), Included in OCI | (3) | (2) | 5 | ||||
Purchases | 30 | 0 | 0 | ||||
Sales | 0 | 0 | (20) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | 0 | (13) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 10 | [3] | |
Transfer out of Level 3 | (11) | [1] | (11) | [2] | 0 | [3] | |
Ending balance | 54 | 35 | 45 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 3 | 3 | 3 | ||||
Fixed maturity securities | U.S. corporate | Industrial | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 61 | 36 | 24 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 5 | 0 | 2 | ||||
Total realized and unrealized gains (losses), Included in OCI | 2 | (3) | 1 | ||||
Purchases | 0 | 28 | 27 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (32) | 0 | (15) | ||||
Transfer into Level 3 | 12 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | (3) | [3] | |
Ending balance | 48 | 61 | 36 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | U.S. corporate | Capital goods | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 180 | 166 | 139 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 1 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | (2) | (6) | 3 | ||||
Purchases | 30 | 30 | 8 | ||||
Sales | (10) | (3) | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | (1) | 0 | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 31 | [3] | |
Transfer out of Level 3 | (47) | [1] | (6) | [2] | (15) | [3] | |
Ending balance | 152 | 180 | 166 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 1 | 0 | 0 | ||||
Fixed maturity securities | U.S. corporate | Consumer-cyclical | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 239 | 363 | 386 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 4 | 1 | 1 | ||||
Total realized and unrealized gains (losses), Included in OCI | (1) | (8) | 1 | ||||
Purchases | 68 | 39 | 62 | ||||
Sales | (5) | 0 | (1) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (44) | (52) | (86) | ||||
Transfer into Level 3 | 19 | [1] | 11 | [2] | 0 | [3] | |
Transfer out of Level 3 | (22) | [1] | (115) | [2] | 0 | [3] | |
Ending balance | 258 | 239 | 363 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 1 | ||||
Fixed maturity securities | U.S. corporate | Transportation | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 106 | 153 | 196 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 2 | 1 | 2 | ||||
Total realized and unrealized gains (losses), Included in OCI | (1) | (5) | 4 | ||||
Purchases | 53 | 7 | 10 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (26) | (31) | (11) | ||||
Transfer into Level 3 | 5 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | (19) | [2] | (48) | [3] | |
Ending balance | 139 | 106 | 153 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 2 | 1 | 2 | ||||
Fixed maturity securities | U.S. corporate | Other | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 182 | 171 | 210 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 1 | 1 | 2 | ||||
Total realized and unrealized gains (losses), Included in OCI | (2) | (2) | 8 | ||||
Purchases | 0 | 0 | 8 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (8) | (7) | (47) | ||||
Transfer into Level 3 | 16 | [1] | 19 | [2] | 10 | [3] | |
Transfer out of Level 3 | (46) | [1] | 0 | [2] | (20) | [3] | |
Ending balance | 143 | 182 | 171 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 1 | 1 | 1 | ||||
Fixed maturity securities | Non-U.S. corporate | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 1,545 | 1,804 | 1,819 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 5 | 4 | 4 | ||||
Total realized and unrealized gains (losses), Included in OCI | 39 | (49) | 8 | ||||
Purchases | 195 | 100 | 282 | ||||
Sales | (86) | (24) | (124) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (170) | (208) | (223) | ||||
Transfer into Level 3 | 132 | [1] | 16 | [2] | 107 | [3] | |
Transfer out of Level 3 | (127) | [1] | (98) | [2] | (69) | [3] | |
Ending balance | 1,533 | 1,545 | 1,804 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 2 | 2 | 2 | ||||
Fixed maturity securities | Non-U.S. corporate | Utilities | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 287 | 328 | 260 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | (7) | (4) | 6 | ||||
Purchases | 126 | 18 | 54 | ||||
Sales | (5) | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (51) | (46) | (14) | ||||
Transfer into Level 3 | 46 | [1] | 0 | [2] | 22 | [3] | |
Transfer out of Level 3 | (10) | [1] | (9) | [2] | 0 | [3] | |
Ending balance | 386 | 287 | 328 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Energy | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 252 | 324 | 320 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | (1) | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 30 | (21) | (14) | ||||
Purchases | 8 | 15 | 55 | ||||
Sales | (27) | (24) | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (31) | (41) | (48) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 20 | [3] | |
Transfer out of Level 3 | (26) | [1] | 0 | [2] | (9) | [3] | |
Ending balance | 206 | 252 | 324 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | (1) | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 191 | 221 | 181 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 3 | 5 | 3 | ||||
Total realized and unrealized gains (losses), Included in OCI | (2) | (6) | 32 | ||||
Purchases | 11 | 21 | 71 | ||||
Sales | (1) | 0 | (42) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | (26) | (8) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 21 | [3] | |
Transfer out of Level 3 | (20) | [1] | (24) | [2] | (37) | [3] | |
Ending balance | 182 | 191 | 221 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 3 | 3 | 2 | ||||
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 169 | 197 | 212 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 2 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 5 | (1) | (4) | ||||
Purchases | 3 | 15 | 35 | ||||
Sales | (3) | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (49) | (41) | (46) | ||||
Transfer into Level 3 | 12 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | (1) | [2] | 0 | [3] | |
Ending balance | 139 | 169 | 197 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Technology and communications | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 62 | 42 | 58 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 3 | (4) | (1) | ||||
Purchases | 18 | 24 | 20 | ||||
Sales | (16) | 0 | (35) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | 0 | 0 | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 67 | 62 | 42 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Industrial | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 84 | 131 | 151 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 4 | (4) | 2 | ||||
Purchases | 17 | 7 | 0 | ||||
Sales | (21) | 0 | (12) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | (18) | 0 | ||||
Transfer into Level 3 | 25 | [1] | 1 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | (33) | [2] | (10) | [3] | |
Ending balance | 109 | 84 | 131 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Capital goods | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 213 | 237 | 299 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 1 | 0 | 1 | ||||
Total realized and unrealized gains (losses), Included in OCI | 3 | (7) | (3) | ||||
Purchases | 0 | 0 | 30 | ||||
Sales | 0 | 0 | (35) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (15) | (17) | (52) | ||||
Transfer into Level 3 | 0 | [1] | 0 | [2] | 10 | [3] | |
Transfer out of Level 3 | (33) | [1] | 0 | [2] | (13) | [3] | |
Ending balance | 169 | 213 | 237 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 1 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 71 | 89 | 96 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | (2) | 0 | ||||
Purchases | 0 | 0 | 6 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (2) | 0 | (13) | ||||
Transfer into Level 3 | 0 | [1] | 15 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | (31) | [2] | 0 | [3] | |
Ending balance | 69 | 71 | 89 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Transportation | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 144 | 154 | 153 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 1 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | (2) | 1 | ||||
Purchases | 12 | 0 | 11 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (15) | (8) | (25) | ||||
Transfer into Level 3 | 39 | [1] | 0 | [2] | 14 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 181 | 144 | 154 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Non-U.S. corporate | Other | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 72 | 81 | 89 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | (2) | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 3 | 2 | (11) | ||||
Purchases | 0 | 0 | 0 | ||||
Sales | (13) | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (7) | (11) | (17) | ||||
Transfer into Level 3 | 10 | [1] | 0 | [2] | 20 | [3] | |
Transfer out of Level 3 | (38) | [1] | 0 | [2] | 0 | [3] | |
Ending balance | 25 | 72 | 81 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | (2) | 0 | 0 | ||||
Fixed maturity securities | Residential mortgage-backed | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 116 | 65 | 104 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 1 | (1) | (3) | ||||
Purchases | 51 | 58 | 16 | ||||
Sales | (45) | 0 | (23) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (14) | (10) | (9) | ||||
Transfer into Level 3 | 22 | [1] | 76 | [2] | 13 | [3] | |
Transfer out of Level 3 | (88) | [1] | (72) | [2] | (33) | [3] | |
Ending balance | 43 | 116 | 65 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Commercial mortgage-backed | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 10 | 5 | 6 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | (7) | (1) | 2 | ||||
Purchases | 24 | 9 | 0 | ||||
Sales | 0 | 0 | 0 | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (4) | (2) | (2) | ||||
Transfer into Level 3 | 37 | [1] | 13 | [2] | 7 | [3] | |
Transfer out of Level 3 | (6) | [1] | (14) | [2] | (8) | [3] | |
Ending balance | 54 | 10 | 5 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | 0 | 0 | 0 | ||||
Fixed maturity securities | Other asset-backed | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 1,142 | 1,420 | 1,166 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | (17) | 2 | 5 | ||||
Total realized and unrealized gains (losses), Included in OCI | 3 | 2 | (3) | ||||
Purchases | 16 | 152 | 298 | ||||
Sales | (26) | (190) | (15) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | (26) | (267) | (181) | ||||
Transfer into Level 3 | 66 | [1] | 164 | [2] | 244 | [3] | |
Transfer out of Level 3 | (1,013) | [1] | (141) | [2] | (94) | [3] | |
Ending balance | 145 | 1,142 | 1,420 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | (16) | 0 | 1 | ||||
Equity Securities | |||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||||
Beginning balance | 38 | 34 | 78 | ||||
Total realized and unrealized gains (losses), Included in net income (loss) | 0 | 0 | 0 | ||||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | ||||
Purchases | 13 | 1 | 1 | ||||
Sales | (4) | (6) | (38) | ||||
Issuances | 0 | 0 | 0 | ||||
Settlements | 0 | 0 | 0 | ||||
Transfer into Level 3 | 0 | [1] | 9 | [2] | 0 | [3] | |
Transfer out of Level 3 | 0 | [1] | 0 | [2] | (7) | [3] | |
Ending balance | 47 | 38 | 34 | ||||
Total gains (losses) included in net income (loss) attributable to assets still held | $ 0 | $ 0 | $ 0 | ||||
[1] | The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. Most significantly, the majority of the transfers out of Level 3 related to a reclassification of collateralized loan obligation securities previously valued using a broker priced source to now being valued using third-party pricing services. | ||||||
[2] | The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. | ||||||
[3] | The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads. | ||||||
[4] | See note 17 for additional information related to consolidated securitization entities. | ||||||
[5] | Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Gains and Losses Included in Ne
Gains and Losses Included in Net Income (Loss) from Assets Measured at Fair Value (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair value of financial instruments [Abstract] | |||
Total realized and unrealized gains (losses) included in net loss, assets | $ (26) | $ 10 | $ 34 |
Total gains (losses) included in net loss attributable to assets still held, assets | 17 | 24 | 16 |
Net Investment Income | |||
Fair value of financial instruments [Abstract] | |||
Total realized and unrealized gains (losses) included in net loss, assets | 44 | 42 | 44 |
Total gains (losses) included in net loss attributable to assets still held, assets | 30 | 33 | 19 |
Net Investment (Gains) Losses | |||
Fair value of financial instruments [Abstract] | |||
Total realized and unrealized gains (losses) included in net loss, assets | (70) | (32) | (10) |
Total gains (losses) included in net loss attributable to assets still held, assets | $ (13) | $ (9) | $ (3) |
Summary of Significant Unobserv
Summary of Significant Unobservable Inputs Used for Fair Value Measurements Classified As Level 3 (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fixed maturity securities available-for-sale, at fair value | $ 60,572 | $ 58,197 | |
Derivative assets, fair value | 724 | 1,129 | |
Derivative liabilities, fair value | 1,041 | 1,063 | |
Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative assets, fair value | 708 | 1,112 | |
Other invested assets | Equity index options | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative assets, fair value | 72 | 30 | |
Other invested assets | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative assets, fair value | 35 | 17 | |
Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | 658 | 704 | |
Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | [1] | 303 | 352 |
Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | 344 | 342 | |
Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | 11 | 10 | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fixed maturity securities available-for-sale, at fair value | 4,301 | 5,180 | |
Level 3 | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative assets, fair value | $ 75 | 34 | |
Level 3 | Other invested assets | Equity index options | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Discounted cash flows | ||
Derivative assets, fair value | $ 72 | 30 | |
Fair value input, equity index volatility, lower limit | 0.00% | ||
Fair value input, equity index volatility, upper limit | 26.00% | ||
Fair value input, equity index volatility, weighted-average | 17.00% | ||
Level 3 | Other invested assets | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fair value input, interest rate volatility | 29.00% | ||
Valuation technique | Discounted cash flows | ||
Fair value input, foreign exchange volatility, lower limit | 9.00% | ||
Derivative assets, fair value | $ 3 | 3 | |
Fair value input, foreign exchange volatility, upper limit | 12.00% | ||
Fair value input, interest rate volatility, weighted-average | 0.00% | ||
Fair value input, foreign exchange volatility, weighted-average | 11.00% | ||
Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | $ 658 | 704 | |
Level 3 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | [1] | Stochastic cash flow model | |
Derivative liabilities, fair value | [1] | $ 303 | 352 |
Fair value, withdrawal utilization rate, lower limit | [1] | 38.00% | |
Fair value, withdrawal utilization rate, upper limit | [1] | 82.00% | |
Fair value, lapse rate, lower limit | [1] | 0.00% | |
Fair value, lapse rate, upper limit | [1] | 15.00% | |
Fair value input, credit spreads, lower limit | [1] | 0.40% | |
Fair value input, credit spreads, upper limit | [1] | 0.85% | |
Fair value input, equity index volatility, lower limit | [1] | 16.00% | |
Fair value input, equity index volatility, upper limit | [1] | 24.00% | |
Fair value, withdrawal utilization rate, weighted-average | [1] | 63.00% | |
Fair value, lapse rate, weighted-average | [1] | 4.00% | |
Fair value input, credit spreads, weighted-average | [1] | 0.73% | |
Fair value input, equity index volatility, weighted-average | [1] | 21.00% | |
Level 3 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Option budget method | ||
Derivative liabilities, fair value | $ 344 | 342 | |
Fair value, expected future interest credited, lower limit | 0.00% | ||
Fair value, expected future interest credited, upper limit | 3.00% | ||
Fair value, expected future interest credited, weighted-average | 2.00% | ||
Level 3 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Option budget method | ||
Derivative liabilities, fair value | $ 11 | $ 10 | |
Fair value, expected future interest credited, lower limit | 3.00% | ||
Fair value, expected future interest credited, upper limit | 9.00% | ||
Fair value, expected future interest credited, weighted-average | 5.00% | ||
Internal Models | Level 3 | U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 2,215 | ||
Fair value input, credit spreads, lower limit | 0.79% | ||
Fair value input, credit spreads, upper limit | 4.55% | ||
Fair value input, credit spreads, weighted-average | 1.82% | ||
Internal Models | Level 3 | U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 557 | ||
Fair value input, credit spreads, lower limit | 0.92% | ||
Fair value input, credit spreads, upper limit | 4.05% | ||
Fair value input, credit spreads, weighted-average | 1.45% | ||
Internal Models | Level 3 | U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 73 | ||
Fair value input, credit spreads, lower limit | 1.09% | ||
Fair value input, credit spreads, upper limit | 3.12% | ||
Fair value input, credit spreads, weighted-average | 1.76% | ||
Internal Models | Level 3 | U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 717 | ||
Fair value input, credit spreads, lower limit | 0.84% | ||
Fair value input, credit spreads, upper limit | 4.55% | ||
Fair value input, credit spreads, weighted-average | 2.24% | ||
Internal Models | Level 3 | U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 121 | ||
Fair value input, credit spreads, lower limit | 1.00% | ||
Fair value input, credit spreads, upper limit | 2.47% | ||
Fair value input, credit spreads, weighted-average | 1.72% | ||
Internal Models | Level 3 | U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 54 | ||
Fair value input, credit spreads, lower limit | 0.96% | ||
Fair value input, credit spreads, upper limit | 3.71% | ||
Fair value input, credit spreads, weighted-average | 3.07% | ||
Internal Models | Level 3 | U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 48 | ||
Fair value input, credit spreads, lower limit | 1.21% | ||
Fair value input, credit spreads, upper limit | 2.54% | ||
Fair value input, credit spreads, weighted-average | 1.91% | ||
Internal Models | Level 3 | U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 152 | ||
Fair value input, credit spreads, lower limit | 0.79% | ||
Fair value input, credit spreads, upper limit | 2.98% | ||
Fair value input, credit spreads, weighted-average | 1.44% | ||
Internal Models | Level 3 | U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 234 | ||
Fair value input, credit spreads, lower limit | 0.79% | ||
Fair value input, credit spreads, upper limit | 2.96% | ||
Fair value input, credit spreads, weighted-average | 1.87% | ||
Internal Models | Level 3 | U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 131 | ||
Fair value input, credit spreads, lower limit | 0.79% | ||
Fair value input, credit spreads, upper limit | 2.59% | ||
Fair value input, credit spreads, weighted-average | 1.66% | ||
Internal Models | Level 3 | U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 128 | ||
Fair value input, credit spreads, lower limit | 0.89% | ||
Fair value input, credit spreads, upper limit | 1.73% | ||
Fair value input, credit spreads, weighted-average | 1.14% | ||
Internal Models | Level 3 | Non-U.S. corporate | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 1,333 | ||
Fair value input, credit spreads, lower limit | 0.79% | ||
Fair value input, credit spreads, upper limit | 10.00% | ||
Fair value input, credit spreads, weighted-average | 1.45% | ||
Internal Models | Level 3 | Non-U.S. corporate | Utilities | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 380 | ||
Fair value input, credit spreads, lower limit | 1.01% | ||
Fair value input, credit spreads, upper limit | 1.63% | ||
Fair value input, credit spreads, weighted-average | 1.29% | ||
Internal Models | Level 3 | Non-U.S. corporate | Energy | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 133 | ||
Fair value input, credit spreads, lower limit | 1.17% | ||
Fair value input, credit spreads, upper limit | 1.86% | ||
Fair value input, credit spreads, weighted-average | 1.47% | ||
Internal Models | Level 3 | Non-U.S. corporate | Finance and insurance | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 172 | ||
Fair value input, credit spreads, lower limit | 0.95% | ||
Fair value input, credit spreads, upper limit | 2.23% | ||
Fair value input, credit spreads, weighted-average | 1.41% | ||
Internal Models | Level 3 | Non-U.S. corporate | Consumer-non-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 127 | ||
Fair value input, credit spreads, lower limit | 0.79% | ||
Fair value input, credit spreads, upper limit | 2.32% | ||
Fair value input, credit spreads, weighted-average | 1.46% | ||
Internal Models | Level 3 | Non-U.S. corporate | Technology and communications | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 67 | ||
Fair value input, credit spreads, lower limit | 1.21% | ||
Fair value input, credit spreads, upper limit | 2.74% | ||
Fair value input, credit spreads, weighted-average | 1.90% | ||
Internal Models | Level 3 | Non-U.S. corporate | Industrial | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 100 | ||
Fair value input, credit spreads, lower limit | 1.17% | ||
Fair value input, credit spreads, upper limit | 2.26% | ||
Fair value input, credit spreads, weighted-average | 1.75% | ||
Internal Models | Level 3 | Non-U.S. corporate | Capital goods | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 121 | ||
Fair value input, credit spreads, lower limit | 1.17% | ||
Fair value input, credit spreads, upper limit | 1.86% | ||
Fair value input, credit spreads, weighted-average | 1.42% | ||
Internal Models | Level 3 | Non-U.S. corporate | Consumer-cyclical | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 69 | ||
Fair value input, credit spreads, lower limit | 1.09% | ||
Fair value input, credit spreads, upper limit | 1.68% | ||
Fair value input, credit spreads, weighted-average | 1.39% | ||
Internal Models | Level 3 | Non-U.S. corporate | Transportation | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 152 | ||
Fair value input, credit spreads, lower limit | 1.00% | ||
Fair value input, credit spreads, upper limit | 2.50% | ||
Fair value input, credit spreads, weighted-average | 1.40% | ||
Internal Models | Level 3 | Non-U.S. corporate | Other | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value | $ 12 | ||
Fair value input, credit spreads, lower limit | 0.96% | ||
Fair value input, credit spreads, upper limit | 10.00% | ||
Fair value input, credit spreads, weighted-average | 3.03% | ||
[1] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Liabilities by Class of Instrum
Liabilities by Class of Instrument that are Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | $ 1,041 | $ 1,063 | |
Borrowings related to securitization entities | [1] | 12 | 81 |
Total liabilities | 1,053 | 1,144 | |
Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 658 | 704 | |
Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [2] | 303 | 352 |
Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 344 | 342 | |
Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 11 | 10 | |
Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 383 | 359 | |
Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 349 | 220 | |
Other liabilities | Interest rate swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 30 | |
Other liabilities | Inflation indexed swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 33 | ||
Other liabilities | Foreign currency swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 5 | 27 | |
Other liabilities | Credit default swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 1 | 14 |
Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 27 | 34 | |
Other liabilities | Equity return swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Borrowings related to securitization entities | [1] | 0 | 0 |
Total liabilities | 0 | 0 | |
Level 1 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [2] | 0 | 0 |
Level 1 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Other liabilities | Interest rate swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | |
Level 1 | Other liabilities | Inflation indexed swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | ||
Level 1 | Other liabilities | Foreign currency swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Other liabilities | Credit default swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | 0 |
Level 1 | Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Other liabilities | Equity return swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Borrowings related to securitization entities | [1] | 0 | 0 |
Total liabilities | 383 | 345 | |
Level 2 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [2] | 0 | 0 |
Level 2 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 383 | 345 | |
Level 2 | Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 349 | 220 | |
Level 2 | Other liabilities | Interest rate swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 30 | |
Level 2 | Other liabilities | Inflation indexed swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 33 | ||
Level 2 | Other liabilities | Foreign currency swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 5 | 27 | |
Level 2 | Other liabilities | Credit default swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 1 | 0 |
Level 2 | Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 27 | 34 | |
Level 2 | Other liabilities | Equity return swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Borrowings related to securitization entities | [1] | 12 | 81 |
Total liabilities | 670 | 799 | |
Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 658 | 704 | |
Level 3 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [2] | 303 | 352 |
Level 3 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 344 | 342 | |
Level 3 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 11 | 10 | |
Level 3 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 14 | |
Level 3 | Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 3 | Other liabilities | Interest rate swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | |
Level 3 | Other liabilities | Inflation indexed swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | ||
Level 3 | Other liabilities | Foreign currency swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 3 | Other liabilities | Credit default swaps related to securitization entities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | 14 |
Level 3 | Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 3 | Other liabilities | Equity return swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | $ 0 | $ 0 | |
[1] | See note 17 for additional information related to consolidated securitization entities. | ||
[2] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Liabilities Measured at Fair Va
Liabilities Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | $ 799 | $ 676 | $ 347 | |
Total realized and unrealized (gains) losses included in net (income) loss | (143) | 16 | 177 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | |
Purchases | 0 | 4 | 4 | |
Sales | 0 | 0 | (2) | |
Issuances | 53 | 109 | 152 | |
Settlements | (36) | (6) | (2) | |
Transfer into Level 3 | 0 | 0 | 0 | |
Transfer out of Level 3 | (3) | 0 | 0 | |
Ending balance | 670 | 799 | 676 | |
Total (gains) losses included in net (income) loss attributable to liabilities still held | (60) | 48 | 178 | |
Derivative liabilities | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | 14 | 17 | 33 | |
Total realized and unrealized (gains) losses included in net (income) loss | (13) | (7) | (18) | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | |
Purchases | 0 | 4 | 4 | |
Sales | 0 | 0 | (2) | |
Issuances | 2 | 0 | 0 | |
Settlements | 0 | 0 | 0 | |
Transfer into Level 3 | 0 | 0 | 0 | |
Transfer out of Level 3 | (3) | 0 | 0 | |
Ending balance | 0 | 14 | 17 | |
Total (gains) losses included in net (income) loss attributable to liabilities still held | 0 | 21 | (19) | |
Credit default swaps related to securitization entities | Derivative liabilities | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | [1] | 14 | 17 | 32 |
Total realized and unrealized (gains) losses included in net (income) loss | [1] | (13) | (7) | (19) |
Total realized and unrealized (gains) losses included in OCI | [1] | 0 | 0 | 0 |
Purchases | [1] | 0 | 4 | 4 |
Sales | [1] | 0 | 0 | 0 |
Issuances | [1] | 2 | 0 | 0 |
Settlements | [1] | 0 | 0 | 0 |
Transfer into Level 3 | [1] | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | (3) | 0 | 0 |
Ending balance | [1] | 0 | 14 | 17 |
Total (gains) losses included in net (income) loss attributable to liabilities still held | [1] | 0 | 21 | (19) |
Other foreign currency contracts | Derivative liabilities | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | 0 | 1 | ||
Total realized and unrealized (gains) losses included in net (income) loss | 1 | |||
Total realized and unrealized (gains) losses included in OCI | 0 | |||
Purchases | 0 | |||
Sales | (2) | |||
Issuances | 0 | |||
Settlements | 0 | |||
Transfer into Level 3 | 0 | |||
Transfer out of Level 3 | 0 | |||
Ending balance | 0 | |||
Total (gains) losses included in net (income) loss attributable to liabilities still held | 0 | |||
Policyholder account balances | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | 704 | 574 | 239 | |
Total realized and unrealized (gains) losses included in net (income) loss | (67) | 27 | 186 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | |
Issuances | 51 | 109 | 151 | |
Settlements | (30) | (6) | (2) | |
Transfer into Level 3 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | |
Ending balance | 658 | 704 | 574 | |
Total (gains) losses included in net (income) loss attributable to liabilities still held | (61) | 31 | 188 | |
Policyholder account balances | GMWB embedded derivatives | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | [2] | 352 | 291 | 96 |
Total realized and unrealized (gains) losses included in net (income) loss | [2] | (79) | 26 | 158 |
Total realized and unrealized (gains) losses included in OCI | [2] | 0 | 0 | 0 |
Purchases | [2] | 0 | 0 | 0 |
Sales | [2] | 0 | 0 | 0 |
Issuances | [2] | 30 | 35 | 37 |
Settlements | [2] | 0 | 0 | 0 |
Transfer into Level 3 | [2] | 0 | 0 | 0 |
Transfer out of Level 3 | [2] | 0 | 0 | 0 |
Ending balance | [2] | 303 | 352 | 291 |
Total (gains) losses included in net (income) loss attributable to liabilities still held | [2] | (73) | 30 | 160 |
Policyholder account balances | Fixed index annuity embedded derivatives | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | 342 | 276 | 143 | |
Total realized and unrealized (gains) losses included in net (income) loss | 22 | 7 | 27 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | |
Issuances | 10 | 65 | 108 | |
Settlements | (30) | (6) | (2) | |
Transfer into Level 3 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | |
Ending balance | 344 | 342 | 276 | |
Total (gains) losses included in net (income) loss attributable to liabilities still held | 22 | 7 | 27 | |
Policyholder account balances | Indexed universal life embedded derivatives | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | 10 | 7 | 0 | |
Total realized and unrealized (gains) losses included in net (income) loss | (10) | (6) | 1 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | |
Issuances | 11 | 9 | 6 | |
Settlements | 0 | 0 | 0 | |
Transfer into Level 3 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | |
Ending balance | 11 | 10 | 7 | |
Total (gains) losses included in net (income) loss attributable to liabilities still held | (10) | (6) | 1 | |
Borrowings related to securitization entities | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Beginning balance | [1] | 81 | 85 | 75 |
Total realized and unrealized (gains) losses included in net (income) loss | [1] | (63) | (4) | 9 |
Total realized and unrealized (gains) losses included in OCI | [1] | 0 | 0 | 0 |
Purchases | [1] | 0 | 0 | 0 |
Sales | [1] | 0 | 0 | 0 |
Issuances | [1] | 0 | 0 | 1 |
Settlements | [1] | (6) | 0 | 0 |
Transfer into Level 3 | [1] | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 |
Ending balance | [1] | 12 | 81 | 85 |
Total (gains) losses included in net (income) loss attributable to liabilities still held | [1] | $ 1 | $ (4) | $ 9 |
[1] | See note 17 for additional information related to consolidated securitization entities. | |||
[2] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Gains and Losses Included in145
Gains and Losses Included in Net (Income) Loss from Liabilities Measured at Fair Value (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Total realized and unrealized (gains) losses included in net loss | $ (143) | $ 16 | $ 177 |
Total (gains) losses included in net loss attributable to liabilities still held, liabilities | (60) | 48 | 178 |
Net Investment Income | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Total realized and unrealized (gains) losses included in net loss | 0 | 0 | 0 |
Total (gains) losses included in net loss attributable to liabilities still held, liabilities | 0 | 0 | 0 |
Net Investment (Gains) Losses | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Total realized and unrealized (gains) losses included in net loss | (79) | 16 | 177 |
Total (gains) losses included in net loss attributable to liabilities still held, liabilities | (60) | 48 | 178 |
Other Income | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Total realized and unrealized (gains) losses included in net loss | $ (64) | $ 0 | $ 0 |
Schedule of Securitized Assets
Schedule of Securitized Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Variable Interest Entity [Line Items] | ||
Total assets | $ 104,658 | $ 106,431 |
Securitized assets not required to be consolidated | ||
Variable Interest Entity [Line Items] | ||
Total assets | 0 | 136 |
Securitized assets required to be consolidated | ||
Variable Interest Entity [Line Items] | ||
Total assets | 129 | 267 |
Total securitized assets | ||
Variable Interest Entity [Line Items] | ||
Total assets | 129 | 403 |
Other assets | Securitized assets not required to be consolidated | ||
Variable Interest Entity [Line Items] | ||
Total assets | $ 0 | $ 136 |
Variable Interest and Securi147
Variable Interest and Securitization Entities - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Schedule of Investments [Line Items] | |||||
Gains (losses) related to early extinguishment of debt | [1] | $ 48 | $ (2) | $ (4) | |
Borrowings related to securitization entities | |||||
Schedule of Investments [Line Items] | |||||
Settlement of outstanding restricted debt | $ 70 | ||||
Gains (losses) related to early extinguishment of debt | 64 | ||||
Residual Interest Related to Securitization Entities | |||||
Schedule of Investments [Line Items] | |||||
Realized investment losses related to the write-off of residual interest | $ (64) | ||||
[1] | For the years ended December 31, 2015 and 2014, (gains) losses on the early extinguishment of debt were adjusted for the portion attributable to noncontrolling interests of $1 million and $2 million, respectively. |
Assets and Liabilities Recorded
Assets and Liabilities Recorded for Consolidated Securitization Entities (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Variable Interest Entity [Line Items] | |||
Restricted commercial mortgage loans | $ 129 | $ 161 | |
Total restricted other invested assets | 312 | 413 | |
Total investments | 71,569 | 69,128 | |
Cash and cash equivalents | 2,784 | 5,965 | $ 4,645 |
Accrued investment income | 659 | 653 | |
Other assets | 673 | 520 | |
Derivative liabilities | 1,041 | 1,063 | |
Borrowings related to securitization entities | 74 | 179 | |
Securitization entities | |||
Variable Interest Entity [Line Items] | |||
Restricted commercial mortgage loans | 129 | 161 | |
Trading securities | 312 | 413 | |
Total restricted other invested assets | 312 | 413 | |
Total investments | 441 | 574 | |
Cash and cash equivalents | 1 | 1 | |
Accrued investment income | 1 | 1 | |
Other assets | 1 | 5 | |
Total assets | 444 | 581 | |
Derivative liabilities | 1 | 44 | |
Other liabilities | 0 | 2 | |
Total other liabilities | 1 | 46 | |
Borrowings related to securitization entities | 74 | 179 | |
Total liabilities | $ 75 | $ 225 |
Activity Presented in Consolida
Activity Presented in Consolidated Statement of Income Related to Consolidated Securitization Entities (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||||||||||
Variable Interest Entity [Line Items] | ||||||||||||||||||||
Net investment income | $ 3,159 | $ 3,138 | $ 3,142 | |||||||||||||||||
Derivatives | [1] | 20 | (76) | (103) | ||||||||||||||||
Total net investment gains (losses) | [2] | (50) | 5 | 16 | ||||||||||||||||
Total revenues | $ 2,198 | [3] | $ 2,150 | [3] | $ 2,236 | [3] | $ 1,785 | [3] | $ 2,156 | [4] | $ 2,100 | [4] | $ 2,157 | [4] | $ 2,135 | [4] | 8,369 | 8,548 | 8,729 | |
Interest expense | 337 | 419 | 433 | |||||||||||||||||
Income before income taxes | 320 | (15) | (1,299) | |||||||||||||||||
Provision for income taxes | 358 | (9) | (94) | |||||||||||||||||
Net income | $ (63) | [5] | $ (332) | [5] | $ 220 | [5] | $ 108 | [5] | $ (240) | [6],[7] | $ (238) | [6],[7] | $ (139) | [6],[7] | $ 204 | [6],[7] | (67) | (413) | (1,048) | |
Securitization entities | ||||||||||||||||||||
Variable Interest Entity [Line Items] | ||||||||||||||||||||
Restricted commercial mortgage loans | 10 | 14 | 14 | |||||||||||||||||
Restricted other invested assets | 3 | 5 | 5 | |||||||||||||||||
Net investment income | 13 | 19 | 19 | |||||||||||||||||
Derivatives | 8 | 3 | 10 | |||||||||||||||||
Trading securities | (57) | (2) | 15 | |||||||||||||||||
Borrowings related to securitization entities recorded at fair value | (1) | 4 | (9) | |||||||||||||||||
Total net investment gains (losses) | (50) | 5 | 16 | |||||||||||||||||
Other income | 64 | 0 | 0 | |||||||||||||||||
Total revenues | 27 | 24 | 35 | |||||||||||||||||
Interest expense | 7 | 9 | 10 | |||||||||||||||||
Total expenses | 7 | 9 | 10 | |||||||||||||||||
Income before income taxes | 20 | 15 | 25 | |||||||||||||||||
Provision for income taxes | 7 | 5 | 9 | |||||||||||||||||
Net income | $ 13 | $ 10 | $ 16 | |||||||||||||||||
[1] | See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). | |||||||||||||||||||
[2] | See note 17 for additional information related to consolidated securitization entities. | |||||||||||||||||||
[3] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | |||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | |||||||||||||||||||
[5] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||
[6] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||
[7] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Borrowings Related to Securitiz
Borrowings Related to Securitization Entities (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | ||
Variable Interest Entity [Line Items] | ||||
Principal amount | $ 74 | $ 110 | ||
Borrowings related to securitization entities | 74 | 179 | ||
GFCM LLC, due 2035, 5.7426% | ||||
Variable Interest Entity [Line Items] | ||||
Principal amount | 62 | 98 | ||
Borrowings related to securitization entities | 62 | 98 | ||
Marvel Finance 2007-4 LLC, due 2017 | ||||
Variable Interest Entity [Line Items] | ||||
Principal amount | [1],[2] | 12 | 12 | |
Borrowings related to securitization entities | [1],[2] | 12 | 10 | |
Genworth Special Purpose Five, LLC, due 2040 | ||||
Variable Interest Entity [Line Items] | ||||
Principal amount | [1],[2] | 0 | [3] | |
Borrowings related to securitization entities | [1],[2] | $ 0 | $ 71 | |
[1] | Accrual of interest based on three-month LIBOR that resets every three months plus a fixed margin. | |||
[2] | Carrying value represents fair value as a result of electing fair value option for these liabilities. | |||
[3] | Principal amount not applicable. Notional balance was $118 million as of December 31, 2015. |
Borrowings Related to Securi151
Borrowings Related to Securitization Entities (Parenthetical) (Detail) $ in Millions | Dec. 31, 2015USD ($) |
Genworth Special Purpose Five, LLC, due 2040 | |
Variable Interest Entity [Line Items] | |
Notional balance | $ 118 |
Insurance Subsidiary Financi152
Insurance Subsidiary Financial Information and Regulatory Matters - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)State | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Statutory Accounting Practices [Line Items] | |||
Amount of dividend our subsidiaries could pay in 2016 without obtaining regulatory approval | $ 220 | ||
Dividends received from insurance subsidiaries | $ 0 | $ 0 | $ 0 |
Statutory contingency reserve, annual additions, percentage of earned premiums, minimum | 50.00% | ||
Minimum loss ratio requirement to hold statutory contingency reserve | 35.00% | ||
Period of time when statutory contingency reserve has to be held, in years | 10 years | ||
Statutory contingency reserve | $ 845 | $ 500 | |
U.S. Mortgage Insurance subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Maximum risk-to-capital ratio | 25 | ||
Number of states with risk-to-capital requirements | State | 15 | ||
U.S. Mortgage Insurance | |||
Statutory Accounting Practices [Line Items] | |||
Percentage of available assets to PMIERs required assets | 115.00% | 109.00% | |
Assets in excess of PMIERs requirements | $ 350 | $ 200 | |
Genworth Mortgage Insurance Corporation (GMICO)/PMIERs Capital Credit/2009 To 2015 Book Years | |||
Statutory Accounting Practices [Line Items] | |||
Capital credit from reinsurance transaction | 530 | ||
Guarantees provided to third parties | |||
Statutory Accounting Practices [Line Items] | |||
Maximum potential amount of future obligation | 9 | 25 | |
Insurance Subsidiaries | Universal life insurance contracts | Virginia and Delaware | |||
Statutory Accounting Practices [Line Items] | |||
Additional statutory reserves | 76 | 198 | |
Insurance Subsidiaries | Universal life insurance contracts | Virginia and Delaware | To be recorded in each of the next two years | |||
Statutory Accounting Practices [Line Items] | |||
Additional statutory reserves | 95 | ||
Domestic insurance subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Dividends received from insurance subsidiaries | 80 | 41 | 108 |
Domestic insurance subsidiaries | Extraordinary Dividend | |||
Statutory Accounting Practices [Line Items] | |||
Dividends received from insurance subsidiaries | 0 | 0 | 0 |
International insurance subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Dividends received from insurance subsidiaries | 457 | 640 | 630 |
Combined statutory capital and surplus | 4,457 | 4,394 | |
Combined statutory net income (loss) | 536 | 511 | (66) |
Surplus amount exceeding local solvency requirements | 576 | 992 | |
Increase (decrease) in statutory capital | 205 | ||
Domestic subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Combined statutory capital and surplus | 5,301 | 4,960 | |
Combined statutory net income (loss) | (320) | (572) | (262) |
Domestic subsidiaries | Captive life reinsurance subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Combined statutory capital and surplus | 274 | 671 | |
Combined statutory net income (loss) | (403) | (276) | $ (281) |
Domestic subsidiaries | Life insurance | |||
Statutory Accounting Practices [Line Items] | |||
Impact of permitted practices on combined statutory capital and surplus | $ 7 | $ 120 | |
Consolidated RBC ratio | 329.00% | 372.00% | |
Insurance Subsidiary | Long-term Care Insurance | NEW YORK | |||
Statutory Accounting Practices [Line Items] | |||
Additional statutory reserves | $ 89 | ||
Insurance Subsidiary | Long-term Care Insurance | NEW YORK | To be recorded over the next two years | |||
Statutory Accounting Practices [Line Items] | |||
Additional statutory reserves | $ 110 | ||
Genworth Financial's Subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Restricted net assets | 12,500 | ||
Genworth Holdings' Subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Restricted net assets | $ 12,100 | ||
Genworth Mortgage Insurance Corporation (GMICO) | U.S. Mortgage Insurance subsidiaries | |||
Statutory Accounting Practices [Line Items] | |||
Risk-to-capital ratio | 14.5 | 16.4 | |
Rivermont Insurance Company I | |||
Statutory Accounting Practices [Line Items] | |||
Maximum potential amount of future obligation | $ 15 | ||
Limited Guarantee Provided to a subsidiary accounted for as a derivative | $ 4 | ||
Rivermont Insurance Company I | Maximum | |||
Statutory Accounting Practices [Line Items] | |||
Limited Guarantee Provided to a subsidiary accounted for as a derivative | 1 | ||
Genworth Holdings | |||
Statutory Accounting Practices [Line Items] | |||
Maximum potential amount of future obligation | $ 2,000 |
Schedule of Statutory Accountin
Schedule of Statutory Accounting Practices (Detail) - Domestic subsidiaries - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Statutory Accounting Practices [Line Items] | ||||
Combined statutory net income (loss) | $ (320) | $ (572) | $ (262) | |
Combined statutory capital and surplus | 5,301 | 4,960 | ||
Life insurance subsidiaries, excluding captive life reinsurance subsidiaries | ||||
Statutory Accounting Practices [Line Items] | ||||
Combined statutory net income (loss) | [1] | (365) | (583) | (179) |
Combined statutory capital and surplus | [2] | 3,100 | 3,238 | |
Mortgage insurance subsidiaries | ||||
Statutory Accounting Practices [Line Items] | ||||
Combined statutory net income (loss) | 448 | 287 | 198 | |
Combined statutory capital and surplus | 2,201 | 1,722 | ||
Combined statutory net income (loss), excluding captive reinsurance subsidiaries | ||||
Statutory Accounting Practices [Line Items] | ||||
Combined statutory net income (loss) | 83 | (296) | 19 | |
Captive life reinsurance subsidiaries | ||||
Statutory Accounting Practices [Line Items] | ||||
Combined statutory net income (loss) | (403) | (276) | $ (281) | |
Combined statutory capital and surplus | $ 274 | $ 671 | ||
[1] | The combined statutory net loss for the year ended December 31, 2015 was re-presented as if the merger of BLAIC with and into GLIC discussed above occurred on January 1, 2015 in accordance with the statutory merger method. However, we did not re-present the combined statutory net loss for the year ended December 31, 2014 in accordance with statutory accounting principles and, therefore, the amounts are not comparable. | |||
[2] | The combined statutory capital and surplus as of December 31, 2015 was re-presented as if the merger of BLAIC with and into GLIC discussed above occurred on January 1, 2015 in accordance with the statutory merger method. |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Millions | Jun. 24, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Sep. 30, 2015USD ($) | Dec. 31, 2014USD ($) | Jun. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Dec. 31, 2016USD ($)Segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of operating segments | Segment | 5 | ||||||||||
Assumed tax rate on adjustments to net operating income | 35.00% | ||||||||||
Goodwill impairment, pre-tax | $ 0 | $ 0 | $ 849 | ||||||||
Gain (loss) on sale of business, before taxes | 3 | (140) | 0 | ||||||||
Gains (losses) related to early extinguishment of debt | [1] | 48 | (2) | (4) | |||||||
Gains (losses) from life block transactions, pre-tax | (9) | (455) | 0 | ||||||||
Restructuring charges | 22 | 8 | |||||||||
Fees associated with bond consent solicitation | 18 | 0 | 0 | ||||||||
Tax impact from potential business portfolio changes | $ 205 | 0 | 0 | 205 | |||||||
Long-term Care Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Goodwill impairment, pre-tax | 354 | ||||||||||
Life Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Goodwill impairment, pre-tax | $ 495 | ||||||||||
Australia Mortgage Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Tax impact from potential business portfolio changes | 174 | ||||||||||
Borrowings related to securitization entities | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Settlement of outstanding restricted debt | $ 70 | ||||||||||
Gains (losses) related to early extinguishment of debt | 64 | ||||||||||
Term Life Insurance New Business Platform | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gain (loss) on sale of business, before taxes | $ 12 | ||||||||||
Gain (loss) on sale of business, tax expense (benefit) | $ 4 | ||||||||||
European Mortgage Insurance Business | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gain (loss) on sale of business, before taxes | $ (2) | $ (7) | (9) | (140) | |||||||
Gain (loss) on sale of business, tax expense (benefit) | (27) | $ 7 | $ (27) | $ (6) | |||||||
Life Block Transaction | Term Life Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gains (losses) from life block transactions, pre-tax | (9) | (455) | |||||||||
Genworth Holdings | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gains (losses) related to early extinguishment of debt | 4 | (1) | |||||||||
Pre-tax make-whole expense | 20 | ||||||||||
Principal amount of notes repurchased | 28 | 50 | $ 50 | ||||||||
Fees associated with bond consent solicitation | $ 18 | ||||||||||
Genworth Financial Mortgage Insurance Pty Limited | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Debt instrument, maturity year | 2,025 | ||||||||||
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Notes, Due 2021 | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gains (losses) on early extinguishment of debt, net | $ (1) | ||||||||||
Debt instrument, maturity year | 2,021 | 2,021 | 2,021 | ||||||||
Genworth Canada | 4.59% senior notes due December 2015 | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gains (losses) on early extinguishment of debt, net | $ 3 | ||||||||||
Debt instrument, maturity year | 2,015 | ||||||||||
Affiliated Entity | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Tax impact from potential business portfolio changes | $ 31 | ||||||||||
[1] | For the years ended December 31, 2015 and 2014, (gains) losses on the early extinguishment of debt were adjusted for the portion attributable to noncontrolling interests of $1 million and $2 million, respectively. |
Summary of Segments and Corpora
Summary of Segments and Corporate and Other Activities (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | $ 4,160 | $ 4,579 | $ 4,700 | ||||||||||||||||
Net investment income | 3,159 | 3,138 | 3,142 | ||||||||||||||||
Net investment gains (losses) | 72 | (75) | (22) | ||||||||||||||||
Policy fees and other income | 978 | 906 | 909 | ||||||||||||||||
Total revenues | $ 2,198 | [1] | $ 2,150 | [1] | $ 2,236 | [1] | $ 1,785 | [1] | $ 2,156 | [2] | $ 2,100 | [2] | $ 2,157 | [2] | $ 2,135 | [2] | 8,369 | 8,548 | 8,729 |
Benefits and other changes in policy reserves | 5,245 | 5,149 | 6,418 | ||||||||||||||||
Interest credited | 696 | 720 | 737 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 1,273 | 1,309 | 1,138 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 | ||||||||||||||||
Goodwill impairment | 0 | 0 | 849 | ||||||||||||||||
Interest expense | 337 | 419 | 433 | ||||||||||||||||
Total benefits and expenses | 2,254 | [3] | 2,275 | [3] | 1,885 | [3] | 1,635 | [3] | 2,359 | [4] | 2,451 | [4] | 1,912 | [4] | 1,841 | [4] | 8,049 | 8,563 | 10,028 |
Income (loss) from continuing operations before income taxes | 320 | (15) | (1,299) | ||||||||||||||||
Provision (benefit) for income taxes | 358 | (9) | (94) | ||||||||||||||||
Income (loss) from continuing operations | (59) | [5] | (347) | [5] | 241 | [5] | 127 | [5] | (167) | [6] | (217) | [6] | 175 | [6] | 203 | [6] | (38) | (6) | (1,205) |
Income (loss) from discontinued operations, net of taxes | (4) | 15 | (21) | (19) | (73) | [7] | (21) | [7] | (314) | [7] | 1 | [7] | (29) | (407) | 157 | ||||
Net income (loss) | (63) | [5] | (332) | [5] | 220 | [5] | 108 | [5] | (240) | [6],[7] | (238) | [6],[7] | (139) | [6],[7] | 204 | [6],[7] | (67) | (413) | (1,048) |
Less: net income attributable to noncontrolling interests | 210 | 202 | 196 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | (122) | [5] | $ (380) | [5] | $ 172 | [5] | $ 53 | [5] | (292) | $ (284) | $ (193) | $ 154 | (277) | (615) | (1,244) | ||||
Total assets | 104,658 | 106,431 | 104,658 | 106,431 | |||||||||||||||
Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 104,658 | 106,304 | 104,658 | 106,304 | |||||||||||||||
Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 127 | 0 | 127 | |||||||||||||||
U.S. Mortgage Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 2,674 | 2,899 | 2,674 | 2,899 | |||||||||||||||
U.S. Mortgage Insurance | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | 660 | 602 | 578 | ||||||||||||||||
Net investment income | 63 | 58 | 59 | ||||||||||||||||
Net investment gains (losses) | (1) | 1 | 0 | ||||||||||||||||
Policy fees and other income | 4 | 4 | 2 | ||||||||||||||||
Total revenues | 726 | 665 | 639 | ||||||||||||||||
Benefits and other changes in policy reserves | 160 | 222 | 357 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 167 | 155 | 140 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 12 | 10 | 7 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 0 | 0 | 0 | ||||||||||||||||
Total benefits and expenses | 339 | 387 | 504 | ||||||||||||||||
Income (loss) from continuing operations before income taxes | 387 | 278 | 135 | ||||||||||||||||
Provision (benefit) for income taxes | 138 | 99 | 44 | ||||||||||||||||
Income (loss) from continuing operations | 249 | 179 | 91 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) | 249 | 179 | 91 | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | 249 | 179 | 91 | ||||||||||||||||
Total assets | 2,674 | 2,899 | 2,674 | 2,899 | |||||||||||||||
U.S. Mortgage Insurance | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Canada Mortgage Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 4,884 | 4,520 | 4,884 | 4,520 | |||||||||||||||
Canada Mortgage Insurance | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | 481 | 466 | 515 | ||||||||||||||||
Net investment income | 126 | 130 | 155 | ||||||||||||||||
Net investment gains (losses) | 37 | (32) | (2) | ||||||||||||||||
Policy fees and other income | 1 | 0 | 1 | ||||||||||||||||
Total revenues | 645 | 564 | 669 | ||||||||||||||||
Benefits and other changes in policy reserves | 104 | 96 | 102 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 77 | 66 | 90 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 39 | 36 | 38 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 18 | 18 | 21 | ||||||||||||||||
Total benefits and expenses | 238 | 216 | 251 | ||||||||||||||||
Income (loss) from continuing operations before income taxes | 407 | 348 | 418 | ||||||||||||||||
Provision (benefit) for income taxes | 113 | 90 | 111 | ||||||||||||||||
Income (loss) from continuing operations | 294 | 258 | 307 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) | 294 | 258 | 307 | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 135 | 118 | 140 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | 159 | 140 | 167 | ||||||||||||||||
Total assets | 4,884 | 4,520 | 4,884 | 4,520 | |||||||||||||||
Canada Mortgage Insurance | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Australia Mortgage Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 2,619 | 2,987 | 2,619 | 2,987 | |||||||||||||||
Australia Mortgage Insurance | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | 337 | 357 | 406 | ||||||||||||||||
Net investment income | 94 | 114 | 144 | ||||||||||||||||
Net investment gains (losses) | 9 | 6 | 3 | ||||||||||||||||
Policy fees and other income | 0 | (3) | (16) | ||||||||||||||||
Total revenues | 440 | 474 | 537 | ||||||||||||||||
Benefits and other changes in policy reserves | 113 | 81 | 78 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 96 | 98 | 97 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 14 | 18 | 21 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 10 | 10 | 10 | ||||||||||||||||
Total benefits and expenses | 233 | 207 | 206 | ||||||||||||||||
Income (loss) from continuing operations before income taxes | 207 | 267 | 331 | ||||||||||||||||
Provision (benefit) for income taxes | 67 | 80 | 248 | ||||||||||||||||
Income (loss) from continuing operations | 140 | 187 | 83 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) | 140 | 187 | 83 | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 75 | 84 | 56 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | 65 | 103 | 27 | ||||||||||||||||
Total assets | 2,619 | 2,987 | 2,619 | 2,987 | |||||||||||||||
Australia Mortgage Insurance | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
U.S. Life Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Goodwill impairment | 849 | ||||||||||||||||||
Total assets | 81,933 | 79,530 | 81,933 | 79,530 | |||||||||||||||
U.S. Life Insurance | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | 2,670 | 3,128 | 3,169 | ||||||||||||||||
Net investment income | 2,726 | 2,701 | 2,665 | ||||||||||||||||
Net investment gains (losses) | 128 | (10) | 41 | ||||||||||||||||
Policy fees and other income | 726 | 726 | 712 | ||||||||||||||||
Total revenues | 6,250 | 6,545 | 6,587 | ||||||||||||||||
Benefits and other changes in policy reserves | 4,822 | 4,692 | 5,820 | ||||||||||||||||
Interest credited | 565 | 596 | 618 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 648 | 684 | 658 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 403 | 872 | 345 | ||||||||||||||||
Goodwill impairment | 849 | ||||||||||||||||||
Interest expense | 38 | 92 | 87 | ||||||||||||||||
Total benefits and expenses | 6,476 | 6,936 | 8,377 | ||||||||||||||||
Income (loss) from continuing operations before income taxes | (226) | (391) | (1,790) | ||||||||||||||||
Provision (benefit) for income taxes | (80) | (138) | (385) | ||||||||||||||||
Income (loss) from continuing operations | (146) | (253) | (1,405) | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) | (146) | (253) | (1,405) | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | (146) | (253) | (1,405) | ||||||||||||||||
Total assets | 81,933 | 79,530 | 81,933 | 79,530 | |||||||||||||||
U.S. Life Insurance | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Runoff | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 11,352 | 12,115 | 11,352 | 12,115 | |||||||||||||||
Runoff | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | 0 | 1 | 3 | ||||||||||||||||
Net investment income | 147 | 138 | 129 | ||||||||||||||||
Net investment gains (losses) | (14) | (69) | (66) | ||||||||||||||||
Policy fees and other income | 169 | 189 | 209 | ||||||||||||||||
Total revenues | 302 | 259 | 275 | ||||||||||||||||
Benefits and other changes in policy reserves | 42 | 44 | 37 | ||||||||||||||||
Interest credited | 131 | 124 | 119 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 68 | 76 | 84 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 29 | 29 | 39 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 1 | 1 | 1 | ||||||||||||||||
Total benefits and expenses | 271 | 274 | 280 | ||||||||||||||||
Income (loss) from continuing operations before income taxes | 31 | (15) | (5) | ||||||||||||||||
Provision (benefit) for income taxes | 6 | (10) | (19) | ||||||||||||||||
Income (loss) from continuing operations | 25 | (5) | 14 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) | 25 | (5) | 14 | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | 25 | (5) | 14 | ||||||||||||||||
Total assets | 11,352 | 12,115 | 11,352 | 12,115 | |||||||||||||||
Runoff | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Corporate and Other | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 1,196 | 4,380 | 1,196 | 4,380 | |||||||||||||||
Corporate and Other | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Premiums | 12 | 25 | 29 | ||||||||||||||||
Net investment income | 3 | (3) | (10) | ||||||||||||||||
Net investment gains (losses) | (87) | 29 | 2 | ||||||||||||||||
Policy fees and other income | 78 | (10) | 1 | ||||||||||||||||
Total revenues | 6 | 41 | 22 | ||||||||||||||||
Benefits and other changes in policy reserves | 4 | 14 | 24 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 217 | 230 | 69 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 1 | 1 | 3 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 270 | 298 | 314 | ||||||||||||||||
Total benefits and expenses | 492 | 543 | 410 | ||||||||||||||||
Income (loss) from continuing operations before income taxes | (486) | (502) | (388) | ||||||||||||||||
Provision (benefit) for income taxes | 114 | (130) | (93) | ||||||||||||||||
Income (loss) from continuing operations | (600) | (372) | (295) | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | (29) | (407) | 157 | ||||||||||||||||
Net income (loss) | (629) | (779) | (138) | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | (629) | (779) | $ (138) | ||||||||||||||||
Total assets | 1,196 | 4,253 | 1,196 | 4,253 | |||||||||||||||
Corporate and Other | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | $ 0 | $ 127 | $ 0 | $ 127 | |||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | ||||||||||||||||||
[3] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. | ||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[5] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | ||||||||||||||||||
[6] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[7] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Summary of Revenues for Segment
Summary of Revenues for Segments and Corporate and Other Activities (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | [2] | Sep. 30, 2015 | [2] | Jun. 30, 2015 | [2] | Mar. 31, 2015 | [2] | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | $ 2,198 | $ 2,150 | $ 2,236 | $ 1,785 | $ 2,156 | $ 2,100 | $ 2,157 | $ 2,135 | $ 8,369 | $ 8,548 | $ 8,729 | ||||||||
Segment, Continuing Operations | U.S. Mortgage Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 726 | 665 | 639 | ||||||||||||||||
Segment, Continuing Operations | Canada Mortgage Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 645 | 564 | 669 | ||||||||||||||||
Segment, Continuing Operations | Australia Mortgage Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 440 | 474 | 537 | ||||||||||||||||
Segment, Continuing Operations | Long-term Care Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 4,037 | 3,752 | 3,523 | ||||||||||||||||
Segment, Continuing Operations | Life Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 1,381 | 1,902 | 1,981 | ||||||||||||||||
Segment, Continuing Operations | Fixed Annuities | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 832 | 891 | 1,083 | ||||||||||||||||
Segment, Continuing Operations | U.S. Life Insurance | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 6,250 | 6,545 | 6,587 | ||||||||||||||||
Segment, Continuing Operations | Runoff | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | 302 | 259 | 275 | ||||||||||||||||
Segment, Continuing Operations | Corporate and Other | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Revenues | $ 6 | $ 41 | $ 22 | ||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. |
Summary of Net Operating Income
Summary of Net Operating Income (Loss) for Segments and Corporate and Other Activities (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | $ (122) | [1] | $ (380) | [1] | $ 172 | [1] | $ 53 | [1] | $ (292) | $ (284) | $ (193) | $ 154 | $ (277) | $ (615) | $ (1,244) | ||||||
Add net income attributable to noncontrolling interests | 59 | 48 | 48 | 55 | 52 | 46 | 54 | 50 | 210 | 202 | 196 | ||||||||||
Net loss | (63) | [1] | (332) | [1] | 220 | [1] | 108 | [1] | (240) | [2],[3] | (238) | [2],[3] | (139) | [2],[3] | 204 | [2],[3] | (67) | (413) | (1,048) | ||
Income (loss) from discontinued operations, net of taxes | (4) | 15 | (21) | (19) | (73) | [3] | (21) | [3] | (314) | [3] | 1 | [3] | (29) | (407) | 157 | ||||||
Income (loss) from continuing operations | $ (59) | [1] | $ (347) | [1] | $ 241 | [1] | $ 127 | [1] | $ (167) | [2] | $ (217) | [2] | $ 175 | [2] | $ 203 | [2] | (38) | (6) | (1,205) | ||
Less income from continuing operations attributable to noncontrolling interests | 210 | 202 | 196 | ||||||||||||||||||
Loss from continuing operations available to Genworth Financial, Inc.'s common stockholders | (248) | (208) | (1,401) | ||||||||||||||||||
Net investment (gains) losses, net | [4] | (66) | 30 | 8 | |||||||||||||||||
Goodwill impairment | 0 | 0 | 849 | ||||||||||||||||||
(Gains) losses from sale of businesses | (3) | 140 | 0 | ||||||||||||||||||
(Gains) losses on early extinguishment of debt, net | [5] | (48) | 2 | 4 | |||||||||||||||||
Losses from life block transactions | 9 | 455 | 0 | ||||||||||||||||||
Expenses related to restructuring | 22 | 8 | 0 | ||||||||||||||||||
Tax impact from potential business portfolio changes | $ 205 | 0 | 0 | 205 | |||||||||||||||||
Fees associated with bond consent solicitation | 18 | 0 | 0 | ||||||||||||||||||
Taxes on adjustments | 0 | (172) | (63) | ||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (316) | 255 | (398) | ||||||||||||||||||
Australia Mortgage Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Tax impact from potential business portfolio changes | $ 174 | ||||||||||||||||||||
Long-term Care Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Goodwill impairment | 354 | ||||||||||||||||||||
Life Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Goodwill impairment | 495 | ||||||||||||||||||||
U.S. Life Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Goodwill impairment | 849 | ||||||||||||||||||||
Segment, Continuing Operations | U.S. Mortgage Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | 249 | 179 | 91 | ||||||||||||||||||
Net loss | 249 | 179 | 91 | ||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||||
Income (loss) from continuing operations | 249 | 179 | 91 | ||||||||||||||||||
Less income from continuing operations attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 250 | 179 | 91 | ||||||||||||||||||
Segment, Continuing Operations | Canada Mortgage Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | 159 | 140 | 167 | ||||||||||||||||||
Net loss | 294 | 258 | 307 | ||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||||
Income (loss) from continuing operations | 294 | 258 | 307 | ||||||||||||||||||
Less income from continuing operations attributable to noncontrolling interests | 135 | 118 | 140 | ||||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 146 | 152 | 170 | ||||||||||||||||||
Segment, Continuing Operations | Australia Mortgage Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | 65 | 103 | 27 | ||||||||||||||||||
Net loss | 140 | 187 | 83 | ||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||||
Income (loss) from continuing operations | 140 | 187 | 83 | ||||||||||||||||||
Less income from continuing operations attributable to noncontrolling interests | 75 | 84 | 56 | ||||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 62 | 102 | 200 | ||||||||||||||||||
Segment, Continuing Operations | Long-term Care Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (200) | 29 | (815) | ||||||||||||||||||
Segment, Continuing Operations | Life Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (83) | (80) | 74 | ||||||||||||||||||
Segment, Continuing Operations | Fixed Annuities | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 68 | 94 | 100 | ||||||||||||||||||
Segment, Continuing Operations | U.S. Life Insurance | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | (146) | (253) | (1,405) | ||||||||||||||||||
Net loss | (146) | (253) | (1,405) | ||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||||
Income (loss) from continuing operations | (146) | (253) | (1,405) | ||||||||||||||||||
Less income from continuing operations attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||||
Goodwill impairment | 849 | ||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (215) | 43 | (641) | ||||||||||||||||||
Segment, Continuing Operations | Runoff | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | 25 | (5) | 14 | ||||||||||||||||||
Net loss | 25 | (5) | 14 | ||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||||
Income (loss) from continuing operations | 25 | (5) | 14 | ||||||||||||||||||
Less income from continuing operations attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 28 | 27 | 48 | ||||||||||||||||||
Segment, Continuing Operations | Corporate and Other | |||||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | (629) | (779) | (138) | ||||||||||||||||||
Net loss | (629) | (779) | (138) | ||||||||||||||||||
Income (loss) from discontinued operations, net of taxes | (29) | (407) | 157 | ||||||||||||||||||
Income (loss) from continuing operations | (600) | (372) | (295) | ||||||||||||||||||
Less income from continuing operations attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (587) | $ (248) | $ (266) | ||||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | ||||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. | ||||||||||||||||||||
[4] | For the years ended December 31, 2016, 2015 and 2014, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(14) million, $(35) million and $(14) million, respectively, and adjusted for net investment (gains) losses attributable to noncontrolling interests of $20 million, $(10) million and zero, respectively. | ||||||||||||||||||||
[5] | For the years ended December 31, 2015 and 2014, (gains) losses on the early extinguishment of debt were adjusted for the portion attributable to noncontrolling interests of $1 million and $2 million, respectively. |
Summary of Net Operating Inc158
Summary of Net Operating Income (Loss) for Segments and Corporate and Other Activities (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Adjustment to (gains) losses on extinguishment of debt for portion attributable to noncontrolling interests | $ (1) | $ (2) | |
Net Investment (Gains) Losses | |||
Segment Reporting Information [Line Items] | |||
Adjustment for DAC and other intangibles and certain benefit reserves | $ (14) | (35) | (14) |
Adjustment for portion attributable to noncontrolling interests | $ 20 | $ (10) | $ 0 |
Schedule of Revenue, Net Income
Schedule of Revenue, Net Income and Assets by Geographic Location (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total revenues | $ 2,198 | [1] | $ 2,150 | [1] | $ 2,236 | [1] | $ 1,785 | [1] | $ 2,156 | [2] | $ 2,100 | [2] | $ 2,157 | [2] | $ 2,135 | [2] | $ 8,369 | $ 8,548 | $ 8,729 |
Income (loss) from continuing operations | (59) | [3] | (347) | [3] | 241 | [3] | 127 | [3] | (167) | [4] | (217) | [4] | 175 | [4] | 203 | [4] | (38) | (6) | (1,205) |
Net income (loss) | (63) | [3] | $ (332) | [3] | $ 220 | [3] | $ 108 | [3] | (240) | [4],[5] | $ (238) | [4],[5] | $ (139) | [4],[5] | $ 204 | [4],[5] | (67) | (413) | (1,048) |
Total assets | 104,658 | 106,431 | 104,658 | 106,431 | |||||||||||||||
Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 104,658 | 106,304 | 104,658 | 106,304 | |||||||||||||||
Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 127 | 0 | 127 | |||||||||||||||
Geographic Distribution, Domestic | United States | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total revenues | 7,270 | 7,483 | 7,487 | ||||||||||||||||
Income (loss) from continuing operations | (447) | (430) | (1,570) | ||||||||||||||||
Net income (loss) | (494) | (430) | (1,570) | ||||||||||||||||
Total assets | 97,107 | 98,738 | 97,107 | 98,738 | |||||||||||||||
Geographic Distribution, Domestic | Segment, Continuing Operations | United States | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 97,107 | 98,738 | 97,107 | 98,738 | |||||||||||||||
Geographic Distribution, Domestic | Segment, Discontinued Operations | United States | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Geographic Distribution, Foreign | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total revenues | 1,099 | 1,065 | 1,242 | ||||||||||||||||
Income (loss) from continuing operations | 409 | 424 | 365 | ||||||||||||||||
Net income (loss) | 427 | 17 | 522 | ||||||||||||||||
Total assets | 7,551 | 7,693 | 7,551 | 7,693 | |||||||||||||||
Geographic Distribution, Foreign | Canada | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total revenues | 645 | 564 | 669 | ||||||||||||||||
Income (loss) from continuing operations | 294 | 258 | 307 | ||||||||||||||||
Net income (loss) | 294 | 258 | 307 | ||||||||||||||||
Total assets | 4,884 | 4,520 | 4,884 | 4,520 | |||||||||||||||
Geographic Distribution, Foreign | Australia | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total revenues | 440 | 474 | 537 | ||||||||||||||||
Income (loss) from continuing operations | 140 | 187 | 83 | ||||||||||||||||
Net income (loss) | 140 | 187 | 83 | ||||||||||||||||
Total assets | 2,619 | 2,987 | 2,619 | 2,987 | |||||||||||||||
Geographic Distribution, Foreign | Other Countries | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total revenues | 14 | 27 | 36 | ||||||||||||||||
Income (loss) from continuing operations | (25) | (21) | (25) | ||||||||||||||||
Net income (loss) | (7) | (428) | $ 132 | ||||||||||||||||
Total assets | 48 | 186 | 48 | 186 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Continuing Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 7,551 | 7,566 | 7,551 | 7,566 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Continuing Operations | Canada | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 4,884 | 4,520 | 4,884 | 4,520 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Continuing Operations | Australia | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 2,619 | 2,987 | 2,619 | 2,987 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Continuing Operations | Other Countries | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 48 | 59 | 48 | 59 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Discontinued Operations | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 127 | 0 | 127 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Discontinued Operations | Canada | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Discontinued Operations | Australia | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | 0 | 0 | 0 | 0 | |||||||||||||||
Geographic Distribution, Foreign | Segment, Discontinued Operations | Other Countries | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total assets | $ 0 | $ 127 | $ 0 | $ 127 | |||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | ||||||||||||||||||
[3] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | ||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[5] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Quarterly Results of Operati160
Quarterly Results of Operations (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||||||||||||
Quarterly Results Of Operations [Abstract] | ||||||||||||||||||||||
Total revenues | $ 2,198 | [1] | $ 2,150 | [1] | $ 2,236 | [1] | $ 1,785 | [1] | $ 2,156 | [2] | $ 2,100 | [2] | $ 2,157 | [2] | $ 2,135 | [2] | $ 8,369 | $ 8,548 | $ 8,729 | |||
Total benefits and expenses | 2,254 | [3] | 2,275 | [3] | 1,885 | [3] | 1,635 | [3] | 2,359 | [4] | 2,451 | [4] | 1,912 | [4] | 1,841 | [4] | 8,049 | 8,563 | 10,028 | |||
Income (loss) from continuing operations | (59) | [5] | (347) | [5] | 241 | [5] | 127 | [5] | (167) | [6] | (217) | [6] | 175 | [6] | 203 | [6] | (38) | (6) | (1,205) | |||
Income (loss) from discontinued operations, net of taxes | (4) | 15 | (21) | (19) | (73) | [7] | (21) | [7] | (314) | [7] | 1 | [7] | (29) | (407) | 157 | |||||||
Net income (loss) | (63) | [5] | (332) | [5] | 220 | [5] | 108 | [5] | (240) | [6],[7] | (238) | [6],[7] | (139) | [6],[7] | 204 | [6],[7] | (67) | (413) | (1,048) | |||
Net income attributable to noncontrolling interests | 59 | 48 | 48 | 55 | 52 | 46 | 54 | 50 | 210 | 202 | 196 | |||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (122) | [5] | $ (380) | [5] | $ 172 | [5] | $ 53 | [5] | $ (292) | $ (284) | $ (193) | $ 154 | $ (277) | $ (615) | $ (1,244) | |||||||
Income (loss) from continuing operations available to Genworth Financial, Inc.'s common stockholders per common share: | ||||||||||||||||||||||
Basic | $ (0.24) | $ (0.79) | $ 0.39 | $ 0.14 | $ (0.44) | $ (0.53) | $ 0.24 | $ 0.31 | $ (0.50) | $ (0.42) | $ (2.82) | |||||||||||
Diluted | (0.24) | (0.79) | 0.39 | 0.14 | (0.44) | (0.53) | 0.24 | 0.31 | (0.50) | (0.42) | (2.82) | |||||||||||
Earnings (Loss) Per Share [Abstract] | ||||||||||||||||||||||
Basic | (0.25) | (0.76) | 0.35 | 0.11 | (0.59) | (0.57) | (0.39) | 0.31 | (0.56) | (1.24) | (2.51) | |||||||||||
Diluted | $ (0.25) | $ (0.76) | $ 0.34 | $ 0.11 | $ (0.59) | $ (0.57) | $ (0.39) | $ 0.31 | $ (0.56) | $ (1.24) | $ (2.51) | |||||||||||
Weighted-average common shares outstanding: | ||||||||||||||||||||||
Basic | 498.4 | 498.3 | 498.5 | 498 | 497.6 | 497.4 | 497.4 | 497 | 498.3 | 497.4 | 496.4 | |||||||||||
Diluted | 498.4 | [8] | 498.3 | [8] | 500.4 | [8] | 499.4 | [8] | 497.6 | [9] | 497.4 | [9] | 499.3 | [9] | 498.9 | [9] | 498.3 | [10] | 497.4 | [10] | 496.4 | [10] |
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | |||||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | |||||||||||||||||||||
[3] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. | |||||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||||
[5] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||||
[6] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||||
[7] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. | |||||||||||||||||||||
[8] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2016 and December 31, 2016, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2016 and December 31, 2016, as the inclusion of shares for stock options, RSUs and SARs of 2.2 million and 2.5 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2016 and December 31, 2016, dilutive potential weighted-average common shares outstanding would have been 500.5 million and 500.9 million, respectively. | |||||||||||||||||||||
[9] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2015 and December 31, 2015, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the three months ended September 30, 2015 and December 31, 2015, as the inclusion of shares for stock options, RSUs and SARs of 1.3 million and 1.4 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the three months ended September 30, 2015 and December 31, 2015, dilutive potential weighted-average common shares outstanding would have been 498.7 million and 499.0 million, respectively. | |||||||||||||||||||||
[10] | Under applicable accounting guidance, companies in a loss position are required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share. Therefore, as a result of our loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the years ended December 31, 2016, 2015 and 2014, we were required to use basic weighted-average common shares outstanding in the calculation of diluted loss per share for the years ended December 31, 2016, 2015 and 2014, as the inclusion of shares for stock options, restricted stock units ("RSUs") and stock appreciation rights ("SARs") of 2.0 million, 1.6 million and 5.6 million, respectively, would have been antidilutive to the calculation. If we had not incurred a loss from continuing operations available to Genworth Financial, Inc.'s common stockholders for the years ended December 31, 2016, 2015 and 2014, dilutive potential weighted-average common shares outstanding would have been 500.3 million, 499.0 million and 502.0 million, respectively. |
Quarterly Results of Operati161
Quarterly Results of Operations (Parenthetical) (Detail) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||
Total revenues | $ 2,198 | [1] | $ 2,150 | [1] | $ 2,236 | [1] | $ 1,785 | [1] | $ 2,156 | [2] | $ 2,100 | [2] | $ 2,157 | [2] | $ 2,135 | [2] | $ 8,369 | $ 8,548 | $ 8,729 |
Total benefits and expenses | 2,254 | [3] | 2,275 | [3] | 1,885 | [3] | 1,635 | [3] | 2,359 | [4] | 2,451 | [4] | 1,912 | [4] | 1,841 | [4] | 8,049 | 8,563 | 10,028 |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (122) | [5] | $ (380) | [5] | $ 172 | [5] | $ 53 | [5] | $ (292) | $ (284) | $ (193) | $ 154 | $ (277) | $ (615) | $ (1,244) | ||||
Weighted-average diluted common shares outstanding, antidilutive securities (stock options, RSUs and SARs) | 2.5 | 2.2 | 1.4 | 1.3 | 2 | 1.6 | 5.6 | ||||||||||||
Weighted-average number of diluted shares if not in a loss position | 500.9 | 500.5 | 499 | 498.7 | 500.3 | 499 | 502 | ||||||||||||
Gains (losses) from sale of businesses, net | $ 26 | $ (141) | $ 0 | ||||||||||||||||
Unlocking | |||||||||||||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||
Total revenues | $ 6 | ||||||||||||||||||
Total benefits and expenses | 307 | ||||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (196) | ||||||||||||||||||
U.S. Life Insurance | Unlocking | |||||||||||||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||
Revenue related to unlocking | $ 12 | ||||||||||||||||||
Charges | 310 | ||||||||||||||||||
Charges, net of taxes | 194 | ||||||||||||||||||
European Mortgage Insurance Business | |||||||||||||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||
Gains (losses) from sale of businesses | 140 | ||||||||||||||||||
Gains (losses) from sale of businesses, net | 134 | $ 18 | $ (141) | ||||||||||||||||
Lifestyle Protection Insurance | |||||||||||||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||
Gains (losses) from sale of businesses, net | (63) | ||||||||||||||||||
Reinsurance Correction | U.S. Life Insurance | Unlocking | |||||||||||||||||||
Quarterly Financial Information [Line Items] | |||||||||||||||||||
Charges | 60 | ||||||||||||||||||
Charges, net of taxes | $ 36 | ||||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | ||||||||||||||||||
[3] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. | ||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[5] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Commitments and Contingencies Disclosure [Line Items] | |
Self insured retention | $ 25 |
Commitment to fund limited partnership investments | 201 |
Commitment to fund U.S. commercial mortgage loan investments | 39 |
Commitment to fund private placement investments | 34 |
Rivermont Insurance Company I | |
Commitments and Contingencies Disclosure [Line Items] | |
One time commitment fee | 2 |
Maximum potential amount of future obligation | 15 |
Long-term Care Insurance Class Action Lawsuit | |
Commitments and Contingencies Disclosure [Line Items] | |
Settlement payment | (219) |
Long-term Care Insurance Class Action Lawsuit | Insurance Carriers | |
Commitments and Contingencies Disclosure [Line Items] | |
Settlement payment | (150) |
Long-term Care Insurance Class Action Lawsuit | Genworth Financial, Inc. | |
Commitments and Contingencies Disclosure [Line Items] | |
Settlement payment | (69) |
Legal fees | 10 |
Settlement payment and legal fees incurred | $ 79 |
Component of Changes in Accumul
Component of Changes in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Accumulated Other Comprehensive Income Loss Net Of Tax [Line Items] | ||||
Net unrealized investment gains (losses), beginning of period | [1] | $ 1,254 | $ 2,453 | $ 926 |
Net unrealized investment gains (losses), OCI before reclassifications | [1] | 54 | (1,218) | 1,595 |
Net unrealized investment gains (losses), amounts reclassified from (to) OCI | [1] | (57) | 5 | (12) |
Net unrealized investment gains (losses), current period OCI | [1] | (3) | (1,213) | 1,583 |
Net unrealized investment gains (losses), before noncontrolling interest | [1] | 1,251 | 1,240 | 2,509 |
Less: Net unrealized investment gains (losses), change in OCI attributable to noncontrolling interests | [1] | (11) | (14) | 56 |
Net unrealized investment gains (losses), end of period | [1] | 1,262 | 1,254 | 2,453 |
Derivatives qualifying as effective accounting hedges, beginning of period | [2] | 2,045 | 2,070 | 1,319 |
Derivatives qualifying as hedges, OCI before reclassifications | [2] | 120 | 50 | 788 |
Derivatives qualifying as hedges, amounts reclassified from (to) OCI | [2] | (80) | (75) | (37) |
Derivatives qualifying as hedges, current period OCI | [2] | 40 | (25) | 751 |
Derivatives qualifying as hedges, before noncontrolling interests | [2] | 2,085 | 2,045 | 2,070 |
Less: Derivatives qualifying as hedges, change in OCI attributable to noncontrolling interests | [2] | 0 | 0 | 0 |
Derivatives qualifying as effective accounting hedges, end of period | [2] | 2,085 | 2,045 | 2,070 |
Foreign currency translation and other adjustments, beginning balances | (289) | (77) | 297 | |
Foreign currency translation and other adjustments, OCI before reclassifications | 54 | (530) | (537) | |
Foreign currency translation and other adjustments, amounts reclassified from (to) OCI | 0 | 0 | 0 | |
Foreign currency translation and other adjustments, current period OCI | 54 | (530) | (537) | |
Foreign currency translation and other adjustments, before noncontrolling interests | (235) | (607) | (240) | |
Less: Foreign currency translation and other adjustments, change in OCI attributable to noncontrolling interests | 18 | (318) | (163) | |
Foreign currency translation and other adjustments, ending balances | (253) | (289) | (77) | |
Accumulated other comprehensive income (loss), beginning balances | 3,010 | 4,446 | 2,542 | |
OCI before reclassifications | 228 | (1,698) | 1,846 | |
Amounts reclassified from (to) OCI | (137) | (70) | (49) | |
Total other comprehensive income (loss) | 91 | (1,768) | 1,797 | |
Accumulated other comprehensive income (loss), before noncontrolling interests | 3,101 | 2,678 | 4,339 | |
Less: change in OCI attributable to noncontrolling interests | 7 | (332) | (107) | |
Accumulated other comprehensive income (loss), ending balances | $ 3,094 | $ 3,010 | $ 4,446 | |
[1] | Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. | |||
[2] | See note 5 for additional information. |
Changes In Accumulated Other164
Changes In Accumulated Other Comprehensive Income (Loss) - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Line Items] | |||
Unrecognized postretirement benefit obligation, current period OCI | $ (11) | $ (5) | $ (37) |
Unrecognized postretirement benefit obligation, current period OCI, tax | 5 | 3 | 14 |
Foreign currency translation and other adjustments, current period OCI, tax | $ 19 | $ 63 | $ 10 |
Reclassifications Out of Accumu
Reclassifications Out of Accumulated Other Comprehensive Income (Loss), Net of Taxes (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | [2] | Sep. 30, 2015 | [2] | Jun. 30, 2015 | [2] | Mar. 31, 2015 | [2] | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||||||||||
Net investment income | $ (3,159) | $ (3,138) | $ (3,142) | |||||||||||||||||
Net investment (gains) losses | (72) | 75 | 22 | |||||||||||||||||
(Provision) benefit for income taxes | (358) | 9 | 94 | |||||||||||||||||
Interest expense | (337) | (419) | (433) | |||||||||||||||||
(Income) loss from continuing operations | $ 59 | $ 347 | $ (241) | $ (127) | $ 167 | $ 217 | $ (175) | $ (203) | 38 | 6 | 1,205 | |||||||||
Amount reclassified from accumulated other comprehensive income (loss) | Net unrealized investment (gains) losses | ||||||||||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||||||||||
Net investment (gains) losses | [3] | (88) | 7 | (19) | ||||||||||||||||
(Provision) benefit for income taxes | 31 | (2) | 7 | |||||||||||||||||
(Income) loss from continuing operations | (57) | 5 | (12) | |||||||||||||||||
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | ||||||||||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||||||||||
(Provision) benefit for income taxes | 43 | 43 | 20 | |||||||||||||||||
(Income) loss from continuing operations | (80) | (75) | (37) | |||||||||||||||||
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | Interest rate swaps | ||||||||||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||||||||||
Net investment income | (112) | (85) | (63) | |||||||||||||||||
Net investment (gains) losses | (2) | 0 | (2) | |||||||||||||||||
Interest expense | 0 | 0 | (1) | |||||||||||||||||
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | Inflation indexed swaps | ||||||||||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||||||||||
Net investment income | (2) | 0 | 9 | |||||||||||||||||
Net investment (gains) losses | (7) | 0 | 0 | |||||||||||||||||
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | Forward bond purchase commitments | ||||||||||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||||||||||
Net investment income | 0 | (1) | 0 | |||||||||||||||||
Net investment (gains) losses | $ 0 | $ (32) | $ 0 | |||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||
[3] | Amounts exclude adjustments to DAC, PVFP, sales inducements and benefit reserves. |
Noncontrolling Interests - Addi
Noncontrolling Interests - Additional Information (Detail) AUD / shares in Units, CAD in Millions, AUD in Millions, $ in Millions | Jun. 01, 2016AUDAUD / shares | Jun. 01, 2016USD ($) | Oct. 30, 2015AUDshares | Oct. 30, 2015USD ($)shares | May 15, 2015USD ($) | May 11, 2015AUD / sharesshares | May 15, 2014AUD / sharesshares | Apr. 30, 2016shares | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($)shares | Dec. 31, 2015CADshares | Dec. 31, 2014USD ($)shares | Dec. 31, 2014CADshares | Dec. 31, 2013USD ($) | May 21, 2014 | Jul. 31, 2009 |
Noncontrolling Interest [Line Items] | ||||||||||||||||
Dividend paid to noncontrolling interests | $ 138 | $ 157 | $ 75 | |||||||||||||
Proceeds from sale of subsidiary shares to noncontrolling interests | 0 | $ 226 | $ 517 | |||||||||||||
Genworth MI Canada Inc. | ||||||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||||||
Shares authorized to be repurchased | shares | 4,700,000 | 4,700,000 | 4,700,000 | 4,700,000 | ||||||||||||
Repurchase of subsidiary shares through issuer bid, number of shares | shares | 1,400,000 | 1,400,000 | 1,900,000 | 1,900,000 | ||||||||||||
Common shares repurchased, value | CAD | CAD 50 | CAD 75 | ||||||||||||||
Amount received as a result of participation in Issuer Bid | $ 23 | $ 38 | ||||||||||||||
Dividend paid to noncontrolling interests | $ 50 | 49 | $ 69 | |||||||||||||
Genworth MI Canada Inc. | IPO | ||||||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||||||
Beneficial ownership percentage of ordinary shares | 57.20% | 57.50% | ||||||||||||||
Shares authorized to be repurchased | shares | 4,600,000 | |||||||||||||||
Genworth Australia | ||||||||||||||||
Noncontrolling Interest [Line Items] | ||||||||||||||||
Beneficial ownership percentage of ordinary shares | 52.00% | 52.00% | 52.00% | 52.00% | 66.20% | 66.20% | 66.20% | |||||||||
Repurchase of subsidiary shares through issuer bid, number of shares | shares | 54,600,000 | 54,600,000 | ||||||||||||||
Common shares repurchased, value | AUD | AUD 150 | |||||||||||||||
Amount received as a result of participation in Issuer Bid | $ 55 | |||||||||||||||
Dividend paid to noncontrolling interests | $ 88 | $ 108 | $ 6 | |||||||||||||
Shares sold | shares | 92,300,000 | 220,000,000 | ||||||||||||||
Price per ordinary share | AUD / shares | AUD 0.34 | AUD 3.08 | AUD 2.65 | |||||||||||||
Gross proceeds of the Offer | 541 | |||||||||||||||
Fees and expenses in connection with the Offer | $ 27 | $ 3 | ||||||||||||||
Proceeds from sale of subsidiary shares to noncontrolling interests | $ 226 | |||||||||||||||
Proceeds from capital reduction | AUD 202 | $ 76 | ||||||||||||||
Share conversion ratio | 0.8555 | 0.8555 |
Changes in Ownership Interests
Changes in Ownership Interests and Effect on Stockholders' Equity (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | $ (122) | $ (380) | $ 172 | $ 53 | $ (292) | $ (284) | $ (193) | $ 154 | $ (277) | $ (615) | $ (1,244) | ||||
Transfers to the noncontrolling interests: | |||||||||||||||
Decrease in Genworth Financial, Inc.'s additional paid-in capital for initial sale of Genworth Australia shares to noncontrolling interests | 0 | (145) | |||||||||||||
Decrease in Genworth Financial, Inc.'s additional paid-in capital for additional sale of Genworth Australia shares to noncontrolling interests | (65) | 0 | |||||||||||||
Net transfers to noncontrolling interests | (65) | (145) | |||||||||||||
Change from net loss available to Genworth Financial, Inc.'s common stockholders and transfers to noncontrolling interests | $ (680) | $ (1,389) | |||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. |
Sale of Businesses - Additional
Sale of Businesses - Additional Information (Detail) - USD ($) $ in Millions | Jun. 24, 2016 | May 09, 2016 | Dec. 01, 2015 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Planned Disposal Groups [Line Items] | ||||||||||
Gain (loss) on sale of business, before taxes | $ 3 | $ (140) | $ 0 | |||||||
Gain (Loss) on sale of business, net of taxes | 26 | (141) | $ 0 | |||||||
Term Life Insurance New Business Platform | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Planned Disposal Groups [Line Items] | ||||||||||
Gain (loss) on sale of business, before taxes | $ 12 | |||||||||
Gain (loss) on sale of business, tax expense (benefit) | 4 | |||||||||
Proceeds from sale of business | $ 29 | |||||||||
European Mortgage Insurance Business | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Planned Disposal Groups [Line Items] | ||||||||||
Net proceeds from sale of business | $ 50 | |||||||||
Gain (loss) on sale of business, before taxes | $ (2) | $ (7) | (9) | (140) | ||||||
Gain (loss) on sale of business, tax expense (benefit) | (27) | $ 7 | (27) | (6) | ||||||
Gain (Loss) on sale of business, net of taxes | $ 134 | $ 18 | (141) | |||||||
Fair value less closing costs impairment | 135 | 135 | ||||||||
Loss on sale of discontinued operations,taxes | 1 | |||||||||
Discontinued operations Closing costs | 5 | |||||||||
Lifestyle Protection Insurance | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Planned Disposal Groups [Line Items] | ||||||||||
Gain (loss) on sale of discontinued operations, net of taxes | $ (63) | |||||||||
Lifestyle Protection Insurance | Discontinued Operations, Disposed of by Sale | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Planned Disposal Groups [Line Items] | ||||||||||
Net proceeds from sale of business | $ 400 | |||||||||
Gain (loss) on sale of business, tax expense (benefit) | 155 | |||||||||
Proceeds from sale of business | $ 493 | |||||||||
Gain (loss) on sale of discontinued operations, net of taxes | $ (29) | $ (381) |
Assets and Liabilities Associat
Assets and Liabilities Associated with Discontinued Operations (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Assets | |||
Fixed maturity securities available-for-sale, at fair value | $ 60,572 | $ 58,197 | |
Other invested assets | 2,071 | 2,309 | |
Total investments | 71,569 | 69,128 | |
Cash and cash equivalents | 0 | 28 | $ 273 |
Accrued investment income | 659 | 653 | |
Reinsurance recoverable | 17,755 | 17,245 | |
Total assets held for sale | 0 | 127 | |
Liabilities | |||
Liability for policy and contract claims | 9,256 | 8,095 | |
Unearned premiums | 3,378 | 3,308 | |
Liabilities held for sale | 0 | 127 | |
European Mortgage Insurance Business | |||
Assets | |||
Fair value less closing costs impairment | (135) | ||
Asset Held For Sale | European Mortgage Insurance Business | |||
Assets | |||
Fixed maturity securities available-for-sale, at fair value | 0 | 195 | |
Other invested assets | 0 | 6 | |
Total investments | 0 | 201 | |
Cash and cash equivalents | 0 | 28 | |
Accrued investment income | 0 | 3 | |
Reinsurance recoverable | 0 | 21 | |
Other assets | 0 | 14 | |
Assets held for sale | 0 | 267 | |
Fair value less closing costs impairment | 0 | (140) | |
Total assets held for sale | 0 | 127 | |
Liabilities | |||
Liability for policy and contract claims | 0 | 56 | |
Unearned premiums | 0 | 58 | |
Other liabilities | 0 | 12 | |
Deferred tax liability | 0 | 1 | |
Liabilities held for sale | $ 0 | $ 127 |
Summary of Operating Results of
Summary of Operating Results of Discontinued Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Revenues: | |||||||||||||||||||
Premiums | $ 4,160 | $ 4,579 | $ 4,700 | ||||||||||||||||
Net investment income | 3,159 | 3,138 | 3,142 | ||||||||||||||||
Net investment gains (losses) | 72 | (75) | (22) | ||||||||||||||||
Policy fees and other income | 978 | 906 | 909 | ||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 5,245 | 5,149 | 6,418 | ||||||||||||||||
Total benefits and expenses | $ 2,254 | [1] | $ 2,275 | [1] | $ 1,885 | [1] | $ 1,635 | [1] | $ 2,359 | [2] | $ 2,451 | [2] | $ 1,912 | [2] | $ 1,841 | [2] | 8,049 | 8,563 | 10,028 |
Income (loss) from discontinued operations, net of taxes | $ (4) | $ 15 | $ (21) | $ (19) | (73) | [3] | $ (21) | [3] | $ (314) | [3] | $ 1 | [3] | (29) | (407) | 157 | ||||
Lifestyle Protection Insurance | |||||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Loss on sale, net of taxes | $ (63) | ||||||||||||||||||
Assets Held For Sale Discontinued Operations | Lifestyle Protection Insurance | |||||||||||||||||||
Revenues: | |||||||||||||||||||
Premiums | 0 | 627 | 731 | ||||||||||||||||
Net investment income | 0 | 74 | 100 | ||||||||||||||||
Net investment gains (losses) | 0 | 0 | 2 | ||||||||||||||||
Policy fees and other income | 0 | 0 | 3 | ||||||||||||||||
Total revenues | 0 | 701 | 836 | ||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 0 | 182 | 202 | ||||||||||||||||
Acquisition and operating expenses | 0 | 396 | 447 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 83 | 118 | ||||||||||||||||
Interest expense | 0 | 29 | 46 | ||||||||||||||||
Total benefits and expenses | 0 | 690 | 813 | ||||||||||||||||
Income before income taxes and loss on sale | 0 | 11 | 23 | ||||||||||||||||
Provision (benefit) for income taxes | 0 | 37 | (134) | ||||||||||||||||
Income (loss) before loss on sale | 0 | (26) | 157 | ||||||||||||||||
Loss on sale, net of taxes | (29) | (381) | 0 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | $ (29) | $ (407) | $ 157 | ||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Condensed Consolidating Balance
Condensed Consolidating Balance Sheet (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets | ||||
Fixed maturity securities available-for-sale, at fair value | $ 60,572 | $ 58,197 | ||
Equity securities available-for-sale, at fair value | 632 | 310 | ||
Commercial mortgage loans | 6,111 | 6,170 | ||
Restricted commercial mortgage loans related to securitization entities | 129 | 161 | ||
Policy loans | 1,742 | 1,568 | ||
Other invested assets | 2,071 | 2,309 | ||
Restricted other invested assets related to securitization entities, at fair value | 312 | 413 | ||
Investments in subsidiaries | 0 | 0 | ||
Total investments | 71,569 | 69,128 | ||
Cash and cash equivalents | 2,784 | 5,965 | $ 4,645 | |
Accrued investment income | 659 | 653 | ||
Deferred acquisition costs | 3,571 | 4,398 | 4,852 | |
Intangible assets and goodwill | 348 | 357 | ||
Reinsurance recoverable | 17,755 | 17,245 | ||
Other assets | 673 | 520 | ||
Intercompany notes receivable | 0 | 0 | ||
Deferred tax assets | 0 | 155 | ||
Separate account assets | 7,299 | 7,883 | ||
Assets held for sale | 0 | 127 | ||
Total assets | 104,658 | 106,431 | ||
Liabilities and stockholders' equity | ||||
Future policy benefits | 37,063 | 36,475 | ||
Policyholder account balances | 25,662 | 26,209 | ||
Liability for policy and contract claims | 9,256 | 8,095 | ||
Unearned premiums | 3,378 | 3,308 | ||
Other liabilities | 2,916 | 3,004 | ||
Intercompany notes payable | 0 | 0 | ||
Borrowings related to securitization entities | 74 | 179 | ||
Non-recourse funding obligations | 310 | 1,920 | ||
Long-term borrowings | 4,180 | 4,570 | ||
Deferred tax liability | 53 | 24 | ||
Separate account liabilities | 7,299 | 7,883 | ||
Liabilities held for sale | 0 | 127 | ||
Total liabilities | 90,191 | 91,794 | ||
Equity: | ||||
Common stock | 1 | 1 | ||
Additional paid-in capital | 11,962 | 11,949 | ||
Accumulated other comprehensive income (loss) | 3,094 | 3,010 | 4,446 | $ 2,542 |
Retained earnings | 287 | 564 | ||
Treasury stock, at cost | (2,700) | (2,700) | ||
Total Genworth Financial, Inc.'s stockholders' equity | 12,644 | 12,824 | ||
Noncontrolling interests | 1,823 | 1,813 | ||
Total equity | 14,467 | 14,637 | 16,797 | $ 15,620 |
Total liabilities and equity | 104,658 | 106,431 | ||
Parent Guarantor | ||||
Assets | ||||
Fixed maturity securities available-for-sale, at fair value | 0 | 0 | ||
Equity securities available-for-sale, at fair value | 0 | 0 | ||
Commercial mortgage loans | 0 | 0 | ||
Restricted commercial mortgage loans related to securitization entities | 0 | 0 | ||
Policy loans | 0 | 0 | ||
Other invested assets | 0 | 0 | ||
Restricted other invested assets related to securitization entities, at fair value | 0 | 0 | ||
Investments in subsidiaries | 12,730 | 12,814 | ||
Total investments | 12,730 | 12,814 | ||
Cash and cash equivalents | 0 | 0 | 0 | |
Accrued investment income | 0 | 0 | ||
Deferred acquisition costs | 0 | 0 | ||
Intangible assets and goodwill | 0 | 0 | ||
Reinsurance recoverable | 0 | 0 | ||
Other assets | 9 | 0 | ||
Intercompany notes receivable | 0 | 0 | ||
Deferred tax assets | 28 | 25 | ||
Separate account assets | 0 | 0 | ||
Assets held for sale | 0 | |||
Total assets | 12,767 | 12,839 | ||
Liabilities and stockholders' equity | ||||
Future policy benefits | 0 | 0 | ||
Policyholder account balances | 0 | 0 | ||
Liability for policy and contract claims | 0 | 0 | ||
Unearned premiums | 0 | 0 | ||
Other liabilities | 39 | 13 | ||
Intercompany notes payable | 84 | 2 | ||
Borrowings related to securitization entities | 0 | 0 | ||
Non-recourse funding obligations | 0 | 0 | ||
Long-term borrowings | 0 | 0 | ||
Deferred tax liability | 0 | 0 | ||
Separate account liabilities | 0 | 0 | ||
Liabilities held for sale | 0 | |||
Total liabilities | 123 | 15 | ||
Equity: | ||||
Common stock | 1 | 1 | ||
Additional paid-in capital | 11,962 | 11,949 | ||
Accumulated other comprehensive income (loss) | 3,094 | 3,010 | ||
Retained earnings | 287 | 564 | ||
Treasury stock, at cost | (2,700) | (2,700) | ||
Total Genworth Financial, Inc.'s stockholders' equity | 12,644 | 12,824 | ||
Noncontrolling interests | 0 | |||
Total equity | 12,644 | 12,824 | ||
Total liabilities and equity | 12,767 | 12,839 | ||
Issuer | ||||
Assets | ||||
Fixed maturity securities available-for-sale, at fair value | 0 | 150 | ||
Equity securities available-for-sale, at fair value | 0 | 0 | ||
Commercial mortgage loans | 0 | 0 | ||
Restricted commercial mortgage loans related to securitization entities | 0 | 0 | ||
Policy loans | 0 | 0 | ||
Other invested assets | 105 | 114 | ||
Restricted other invested assets related to securitization entities, at fair value | 0 | 0 | ||
Investments in subsidiaries | 12,308 | 12,989 | ||
Total investments | 12,413 | 13,253 | ||
Cash and cash equivalents | 998 | 1,124 | 953 | |
Accrued investment income | 0 | 0 | ||
Deferred acquisition costs | 0 | 0 | ||
Intangible assets and goodwill | 0 | 0 | ||
Reinsurance recoverable | 0 | 0 | ||
Other assets | 134 | 199 | ||
Intercompany notes receivable | 84 | 2 | ||
Deferred tax assets | 0 | 1,038 | ||
Separate account assets | 0 | 0 | ||
Assets held for sale | 0 | |||
Total assets | 13,629 | 15,616 | ||
Liabilities and stockholders' equity | ||||
Future policy benefits | 0 | 0 | ||
Policyholder account balances | 0 | 0 | ||
Liability for policy and contract claims | 0 | 0 | ||
Unearned premiums | 0 | 0 | ||
Other liabilities | 301 | 279 | ||
Intercompany notes payable | 267 | 658 | ||
Borrowings related to securitization entities | 0 | 0 | ||
Non-recourse funding obligations | 0 | 0 | ||
Long-term borrowings | 3,716 | 4,078 | ||
Deferred tax liability | (816) | 0 | ||
Separate account liabilities | 0 | 0 | ||
Liabilities held for sale | 0 | |||
Total liabilities | 3,468 | 5,015 | ||
Equity: | ||||
Common stock | 0 | 0 | ||
Additional paid-in capital | 9,097 | 9,097 | ||
Accumulated other comprehensive income (loss) | 3,135 | 3,116 | ||
Retained earnings | (2,071) | (1,612) | ||
Treasury stock, at cost | 0 | 0 | ||
Total Genworth Financial, Inc.'s stockholders' equity | 10,161 | 10,601 | ||
Noncontrolling interests | 0 | |||
Total equity | 10,161 | 10,601 | ||
Total liabilities and equity | 13,629 | 15,616 | ||
All Other Subsidiaries | ||||
Assets | ||||
Fixed maturity securities available-for-sale, at fair value | 60,772 | 58,247 | ||
Equity securities available-for-sale, at fair value | 632 | 310 | ||
Commercial mortgage loans | 6,111 | 6,170 | ||
Restricted commercial mortgage loans related to securitization entities | 129 | 161 | ||
Policy loans | 1,742 | 1,568 | ||
Other invested assets | 1,966 | 2,198 | ||
Restricted other invested assets related to securitization entities, at fair value | 312 | 413 | ||
Investments in subsidiaries | 0 | 0 | ||
Total investments | 71,664 | 69,067 | ||
Cash and cash equivalents | 1,786 | 4,841 | 3,692 | |
Accrued investment income | 663 | 657 | ||
Deferred acquisition costs | 3,571 | 4,398 | ||
Intangible assets and goodwill | 348 | 357 | ||
Reinsurance recoverable | 17,755 | 17,245 | ||
Other assets | 530 | 323 | ||
Intercompany notes receivable | 67 | 458 | ||
Deferred tax assets | (28) | (908) | ||
Separate account assets | 7,299 | 7,883 | ||
Assets held for sale | 127 | |||
Total assets | 103,655 | 104,448 | ||
Liabilities and stockholders' equity | ||||
Future policy benefits | 37,063 | 36,475 | ||
Policyholder account balances | 25,662 | 26,209 | ||
Liability for policy and contract claims | 9,256 | 8,095 | ||
Unearned premiums | 3,378 | 3,308 | ||
Other liabilities | 2,581 | 2,722 | ||
Intercompany notes payable | 0 | 0 | ||
Borrowings related to securitization entities | 74 | 179 | ||
Non-recourse funding obligations | 310 | 1,920 | ||
Long-term borrowings | 464 | 492 | ||
Deferred tax liability | 869 | 24 | ||
Separate account liabilities | 7,299 | 7,883 | ||
Liabilities held for sale | 127 | |||
Total liabilities | 86,956 | 87,434 | ||
Equity: | ||||
Common stock | 0 | 0 | ||
Additional paid-in capital | 20,252 | 17,007 | ||
Accumulated other comprehensive income (loss) | 3,116 | 3,028 | ||
Retained earnings | (8,792) | (5,134) | ||
Treasury stock, at cost | 0 | 0 | ||
Total Genworth Financial, Inc.'s stockholders' equity | 14,576 | 14,901 | ||
Noncontrolling interests | 2,123 | 2,113 | ||
Total equity | 16,699 | 17,014 | ||
Total liabilities and equity | 103,655 | 104,448 | ||
Eliminations | ||||
Assets | ||||
Fixed maturity securities available-for-sale, at fair value | (200) | (200) | ||
Equity securities available-for-sale, at fair value | 0 | 0 | ||
Commercial mortgage loans | 0 | 0 | ||
Restricted commercial mortgage loans related to securitization entities | 0 | 0 | ||
Policy loans | 0 | 0 | ||
Other invested assets | 0 | (3) | ||
Restricted other invested assets related to securitization entities, at fair value | 0 | 0 | ||
Investments in subsidiaries | (25,038) | (25,803) | ||
Total investments | (25,238) | (26,006) | ||
Cash and cash equivalents | 0 | 0 | $ 0 | |
Accrued investment income | (4) | (4) | ||
Deferred acquisition costs | 0 | 0 | ||
Intangible assets and goodwill | 0 | 0 | ||
Reinsurance recoverable | 0 | 0 | ||
Other assets | 0 | (2) | ||
Intercompany notes receivable | (151) | (460) | ||
Deferred tax assets | 0 | 0 | ||
Separate account assets | 0 | 0 | ||
Assets held for sale | 0 | |||
Total assets | (25,393) | (26,472) | ||
Liabilities and stockholders' equity | ||||
Future policy benefits | 0 | 0 | ||
Policyholder account balances | 0 | 0 | ||
Liability for policy and contract claims | 0 | 0 | ||
Unearned premiums | 0 | 0 | ||
Other liabilities | (5) | (10) | ||
Intercompany notes payable | (351) | (660) | ||
Borrowings related to securitization entities | 0 | 0 | ||
Non-recourse funding obligations | 0 | 0 | ||
Long-term borrowings | 0 | 0 | ||
Deferred tax liability | 0 | 0 | ||
Separate account liabilities | 0 | 0 | ||
Liabilities held for sale | 0 | |||
Total liabilities | (356) | (670) | ||
Equity: | ||||
Common stock | 0 | 0 | ||
Additional paid-in capital | (29,349) | (26,104) | ||
Accumulated other comprehensive income (loss) | (6,251) | (6,144) | ||
Retained earnings | 10,863 | 6,746 | ||
Treasury stock, at cost | 0 | 0 | ||
Total Genworth Financial, Inc.'s stockholders' equity | (24,737) | (25,502) | ||
Noncontrolling interests | (300) | (300) | ||
Total equity | (25,037) | (25,802) | ||
Total liabilities and equity | $ (25,393) | $ (26,472) |
Condensed Consolidating Income
Condensed Consolidating Income Statement (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Revenues: | |||||||||||||||||||
Premiums | $ 4,160 | $ 4,579 | $ 4,700 | ||||||||||||||||
Net investment income | 3,159 | 3,138 | 3,142 | ||||||||||||||||
Net investment gains (losses) | 72 | (75) | (22) | ||||||||||||||||
Policy fees and other income | 978 | 906 | 909 | ||||||||||||||||
Total revenues | $ 2,198 | [1] | $ 2,150 | [1] | $ 2,236 | [1] | $ 1,785 | [1] | $ 2,156 | [2] | $ 2,100 | [2] | $ 2,157 | [2] | $ 2,135 | [2] | 8,369 | 8,548 | 8,729 |
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 5,245 | 5,149 | 6,418 | ||||||||||||||||
Interest credited | 696 | 720 | 737 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 1,273 | 1,309 | 1,138 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 | ||||||||||||||||
Goodwill impairment | 0 | 0 | 849 | ||||||||||||||||
Interest expense | 337 | 419 | 433 | ||||||||||||||||
Total benefits and expenses | 2,254 | [3] | 2,275 | [3] | 1,885 | [3] | 1,635 | [3] | 2,359 | [4] | 2,451 | [4] | 1,912 | [4] | 1,841 | [4] | 8,049 | 8,563 | 10,028 |
Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries | 320 | (15) | (1,299) | ||||||||||||||||
Provision (benefit) for income taxes | 358 | (9) | (94) | ||||||||||||||||
Equity in loss of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Income (loss) from continuing operations | (59) | [5] | (347) | [5] | 241 | [5] | 127 | [5] | (167) | [6] | (217) | [6] | 175 | [6] | 203 | [6] | (38) | (6) | (1,205) |
Income (loss) from discontinued operations, net of taxes | (4) | 15 | (21) | (19) | (73) | [7] | (21) | [7] | (314) | [7] | 1 | [7] | (29) | (407) | 157 | ||||
Net income (loss) | (63) | [5] | (332) | [5] | 220 | [5] | 108 | [5] | (240) | [6],[7] | (238) | [6],[7] | (139) | [6],[7] | 204 | [6],[7] | (67) | (413) | (1,048) |
Less: net income attributable to noncontrolling interests | 59 | 48 | 48 | 55 | 52 | 46 | 54 | 50 | 210 | 202 | 196 | ||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (122) | [5] | $ (380) | [5] | $ 172 | [5] | $ 53 | [5] | $ (292) | $ (284) | $ (193) | $ 154 | (277) | (615) | (1,244) | ||||
Parent Guarantor | |||||||||||||||||||
Revenues: | |||||||||||||||||||
Premiums | 0 | 0 | 0 | ||||||||||||||||
Net investment income | (3) | (3) | (2) | ||||||||||||||||
Net investment gains (losses) | 0 | 0 | 0 | ||||||||||||||||
Policy fees and other income | 0 | 0 | 0 | ||||||||||||||||
Total revenues | (3) | (3) | (2) | ||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 0 | 0 | 0 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 153 | 32 | 21 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 0 | 0 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 1 | 0 | 0 | ||||||||||||||||
Total benefits and expenses | 154 | 32 | 21 | ||||||||||||||||
Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries | (157) | (35) | (23) | ||||||||||||||||
Provision (benefit) for income taxes | (47) | (8) | (8) | ||||||||||||||||
Equity in loss of subsidiaries | (166) | (579) | (1,229) | ||||||||||||||||
Income (loss) from continuing operations | (276) | (606) | (1,244) | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | (1) | (9) | 0 | ||||||||||||||||
Net income (loss) | (277) | (615) | (1,244) | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | (277) | (615) | (1,244) | ||||||||||||||||
Issuer | |||||||||||||||||||
Revenues: | |||||||||||||||||||
Premiums | 0 | 0 | 0 | ||||||||||||||||
Net investment income | 2 | 1 | 0 | ||||||||||||||||
Net investment gains (losses) | (1) | 43 | 4 | ||||||||||||||||
Policy fees and other income | (8) | (32) | (4) | ||||||||||||||||
Total revenues | (7) | 12 | 0 | ||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 0 | 0 | 0 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 38 | 2 | 0 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 0 | 0 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | 278 | 307 | 321 | ||||||||||||||||
Total benefits and expenses | 316 | 309 | 321 | ||||||||||||||||
Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries | (323) | (297) | (321) | ||||||||||||||||
Provision (benefit) for income taxes | 71 | (103) | (112) | ||||||||||||||||
Equity in loss of subsidiaries | (53) | (463) | (1,147) | ||||||||||||||||
Income (loss) from continuing operations | (447) | (657) | (1,356) | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | (12) | 0 | 0 | ||||||||||||||||
Net income (loss) | (459) | (657) | (1,356) | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | (459) | (657) | (1,356) | ||||||||||||||||
All Other Subsidiaries | |||||||||||||||||||
Revenues: | |||||||||||||||||||
Premiums | 4,160 | 4,579 | 4,700 | ||||||||||||||||
Net investment income | 3,175 | 3,154 | 3,159 | ||||||||||||||||
Net investment gains (losses) | 73 | (118) | (26) | ||||||||||||||||
Policy fees and other income | 986 | 940 | 914 | ||||||||||||||||
Total revenues | 8,394 | 8,555 | 8,747 | ||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 5,245 | 5,149 | 6,418 | ||||||||||||||||
Interest credited | 696 | 720 | 737 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 1,082 | 1,275 | 1,117 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 | ||||||||||||||||
Goodwill impairment | 849 | ||||||||||||||||||
Interest expense | 73 | 128 | 128 | ||||||||||||||||
Total benefits and expenses | 7,594 | 8,238 | 9,702 | ||||||||||||||||
Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries | 800 | 317 | (955) | ||||||||||||||||
Provision (benefit) for income taxes | 334 | 102 | 30 | ||||||||||||||||
Equity in loss of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Income (loss) from continuing operations | 466 | 215 | (985) | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | (16) | (398) | 157 | ||||||||||||||||
Net income (loss) | 450 | (183) | (828) | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 210 | 202 | 196 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | 240 | (385) | (1,024) | ||||||||||||||||
Eliminations | |||||||||||||||||||
Revenues: | |||||||||||||||||||
Premiums | 0 | 0 | 0 | ||||||||||||||||
Net investment income | (15) | (14) | (15) | ||||||||||||||||
Net investment gains (losses) | 0 | 0 | 0 | ||||||||||||||||
Policy fees and other income | 0 | (2) | (1) | ||||||||||||||||
Total revenues | (15) | (16) | (16) | ||||||||||||||||
Benefits and expenses: | |||||||||||||||||||
Benefits and other changes in policy reserves | 0 | 0 | 0 | ||||||||||||||||
Interest credited | 0 | 0 | 0 | ||||||||||||||||
Acquisition and operating expenses, net of deferrals | 0 | 0 | 0 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 0 | 0 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Interest expense | (15) | (16) | (16) | ||||||||||||||||
Total benefits and expenses | (15) | (16) | (16) | ||||||||||||||||
Income (loss) from continuing operations before income taxes and equity in loss of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Provision (benefit) for income taxes | 0 | 0 | (4) | ||||||||||||||||
Equity in loss of subsidiaries | 219 | 1,042 | 2,376 | ||||||||||||||||
Income (loss) from continuing operations | 219 | 1,042 | 2,380 | ||||||||||||||||
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) | 219 | 1,042 | 2,380 | ||||||||||||||||
Less: net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ 219 | $ 1,042 | $ 2,380 | ||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | ||||||||||||||||||
[3] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in higher total benefits and expenses of $307 million in our universal and term universal life insurance products. | ||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $310 million of charges, which included $60 million of corrections related to reinsurance inputs, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. We also recorded an expected loss of $140 million related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[5] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | ||||||||||||||||||
[6] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[7] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Condensed Consolidating Stateme
Condensed Consolidating Statement of Comprehensive Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | [2],[3] | Sep. 30, 2015 | [2],[3] | Jun. 30, 2015 | [2],[3] | Mar. 31, 2015 | [2],[3] | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net income (loss) | $ (63) | $ (332) | $ 220 | $ 108 | $ (240) | $ (238) | $ (139) | $ 204 | $ (67) | $ (413) | $ (1,048) | |||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 6 | (1,209) | 1,573 | |||||||||||||||||
Net unrealized gains (losses) on other-than- temporarily impaired securities | (9) | (4) | 10 | |||||||||||||||||
Derivatives qualifying as hedges | [4] | 40 | (25) | 751 | ||||||||||||||||
Foreign currency translation and other adjustments | 54 | (530) | (537) | |||||||||||||||||
Total other comprehensive income (loss) | 91 | (1,768) | 1,797 | |||||||||||||||||
Total comprehensive income (loss) | 24 | (2,181) | 749 | |||||||||||||||||
Less: comprehensive income (loss) attributable to noncontrolling interests | 217 | (106) | 32 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | (193) | (2,075) | 717 | |||||||||||||||||
Parent Guarantor | ||||||||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net income (loss) | (277) | (615) | (1,244) | |||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 17 | (1,181) | 1,539 | |||||||||||||||||
Net unrealized gains (losses) on other-than- temporarily impaired securities | (9) | (4) | 10 | |||||||||||||||||
Derivatives qualifying as hedges | 40 | (25) | 751 | |||||||||||||||||
Foreign currency translation and other adjustments | 36 | (250) | (339) | |||||||||||||||||
Total other comprehensive income (loss) | 84 | (1,460) | 1,961 | |||||||||||||||||
Total comprehensive income (loss) | (193) | (2,075) | 717 | |||||||||||||||||
Less: comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | (193) | (2,075) | 717 | |||||||||||||||||
Issuer | ||||||||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net income (loss) | (459) | (657) | (1,356) | |||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 14 | (1,158) | 1,510 | |||||||||||||||||
Net unrealized gains (losses) on other-than- temporarily impaired securities | (6) | (4) | 11 | |||||||||||||||||
Derivatives qualifying as hedges | 39 | (24) | 751 | |||||||||||||||||
Foreign currency translation and other adjustments | (28) | (171) | (273) | |||||||||||||||||
Total other comprehensive income (loss) | 19 | (1,357) | 1,999 | |||||||||||||||||
Total comprehensive income (loss) | (440) | (2,014) | 643 | |||||||||||||||||
Less: comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | (440) | (2,014) | 643 | |||||||||||||||||
All Other Subsidiaries | ||||||||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net income (loss) | 450 | (183) | (828) | |||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 7 | (1,210) | 1,573 | |||||||||||||||||
Net unrealized gains (losses) on other-than- temporarily impaired securities | (9) | (4) | 10 | |||||||||||||||||
Derivatives qualifying as hedges | 43 | (19) | 794 | |||||||||||||||||
Foreign currency translation and other adjustments | 54 | (530) | (537) | |||||||||||||||||
Total other comprehensive income (loss) | 95 | (1,763) | 1,840 | |||||||||||||||||
Total comprehensive income (loss) | 545 | (1,946) | 1,012 | |||||||||||||||||
Less: comprehensive income (loss) attributable to noncontrolling interests | 217 | (106) | 32 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | 328 | (1,840) | 980 | |||||||||||||||||
Eliminations | ||||||||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net income (loss) | 219 | 1,042 | 2,380 | |||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | (32) | 2,340 | (3,049) | |||||||||||||||||
Net unrealized gains (losses) on other-than- temporarily impaired securities | 15 | 8 | (21) | |||||||||||||||||
Derivatives qualifying as hedges | (82) | 43 | (1,545) | |||||||||||||||||
Foreign currency translation and other adjustments | (8) | 421 | 612 | |||||||||||||||||
Total other comprehensive income (loss) | (107) | 2,812 | (4,003) | |||||||||||||||||
Total comprehensive income (loss) | 112 | 3,854 | (1,623) | |||||||||||||||||
Less: comprehensive income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | $ 112 | $ 3,854 | $ (1,623) | |||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. | |||||||||||||||||||
[4] | See note 5 for additional information. |
Condensed Consolidating Stat174
Condensed Consolidating Statement of Cash Flows (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | [3] | Jun. 30, 2015 | [3] | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||
Cash flows from operating activities: | |||||||||||||||||||
Net income (loss) | $ (63) | [1] | $ (332) | [1] | $ 220 | [1] | $ 108 | [1] | $ (240) | [2],[3] | $ (238) | [2] | $ (139) | [2] | $ 204 | [2],[3] | $ (67) | $ (413) | $ (1,048) |
Less (income) loss from discontinued operations, net of taxes | 4 | $ (15) | $ 21 | 19 | 73 | [3] | $ 21 | $ 314 | (1) | [3] | 29 | 407 | (157) | ||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Dividends from subsidiaries | 0 | 0 | 0 | ||||||||||||||||
(Gain) loss on sale of businesses | (26) | 141 | 0 | ||||||||||||||||
Amortization of fixed maturity securities discounts and premiums and limited partnerships | (138) | (106) | (111) | ||||||||||||||||
Net investment (gains) losses | (72) | 75 | 22 | ||||||||||||||||
Charges assessed to policyholders | (782) | (788) | (777) | ||||||||||||||||
Acquisition costs deferred | (150) | (293) | (383) | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 | ||||||||||||||||
Goodwill impairment | 0 | 0 | 849 | ||||||||||||||||
Deferred income taxes | 145 | (196) | (341) | ||||||||||||||||
Net increase (decrease) in trading securities, held-for-sale investments and derivative instruments | 709 | (239) | 206 | ||||||||||||||||
Stock-based compensation expense | 32 | 16 | 28 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | (358) | (106) | (163) | ||||||||||||||||
Insurance reserves | 1,315 | 1,847 | 2,497 | ||||||||||||||||
Current tax liabilities | 32 | (15) | (196) | ||||||||||||||||
Other liabilities, policy and contract claims and other policy-related balances | 685 | 293 | 1,517 | ||||||||||||||||
Cash from operating activities-held for sale | 0 | 2 | 42 | ||||||||||||||||
Net cash from operating activities | 1,852 | 1,591 | 2,438 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Fixed maturity securities | 3,889 | 4,541 | 5,198 | ||||||||||||||||
Commercial mortgage loans | 700 | 882 | 765 | ||||||||||||||||
Restricted commercial mortgage loans related to securitization entities | 32 | 41 | 32 | ||||||||||||||||
Proceeds from sales of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 5,629 | 4,391 | 2,386 | ||||||||||||||||
Purchases and originations of investments: | |||||||||||||||||||
Fixed maturity and equity securities | (11,529) | (9,750) | (9,188) | ||||||||||||||||
Commercial mortgage loans | (649) | (956) | (967) | ||||||||||||||||
Other invested assets, net | (154) | 175 | (35) | ||||||||||||||||
Policy loans, net | (77) | 25 | 12 | ||||||||||||||||
Intercompany notes receivable | 0 | 0 | 0 | ||||||||||||||||
Capital contributions to subsidiaries | 0 | 0 | |||||||||||||||||
Proceeds from sale of businesses, net of cash transferred | 39 | 273 | 0 | ||||||||||||||||
Payments for businesses purchased, net of cash acquired | 0 | ||||||||||||||||||
Cash from investing activities-held for sale | 0 | (26) | (39) | ||||||||||||||||
Net cash from investing activities | (2,120) | (404) | (1,836) | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Deposits to universal life and investment contracts | 1,349 | 2,257 | 2,993 | ||||||||||||||||
Withdrawals from universal life and investment contracts | (2,004) | (2,144) | (2,588) | ||||||||||||||||
Redemption and repurchase of non-recourse funding obligations | (1,620) | (61) | (42) | ||||||||||||||||
Proceeds from the issuance of long-term debt | 0 | 150 | 144 | ||||||||||||||||
Repayment and repurchase of long-term debt | (362) | (120) | (621) | ||||||||||||||||
Repayment of borrowings related to securitization entities | (42) | (36) | (32) | ||||||||||||||||
Proceeds from intercompany notes payable | 0 | 0 | 0 | ||||||||||||||||
Repurchase of subsidiary shares | 0 | (68) | (28) | ||||||||||||||||
Return of capital to noncontrolling interests | (70) | 0 | 0 | ||||||||||||||||
Dividends paid to noncontrolling interests | (138) | (157) | (75) | ||||||||||||||||
Proceeds from the sale of subsidiary shares to noncontrolling interests | 0 | 226 | 517 | ||||||||||||||||
Other, net | (44) | (98) | (30) | ||||||||||||||||
Cash from financing activities-held for sale | 0 | 9 | (33) | ||||||||||||||||
Net cash from financing activities | (2,931) | (42) | 205 | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | (10) | (70) | (103) | ||||||||||||||||
Net change in cash and cash equivalents | (3,209) | 1,075 | 704 | ||||||||||||||||
Cash and cash equivalents at beginning of period | 5,993 | 4,918 | 5,993 | 4,918 | 4,214 | ||||||||||||||
Cash and cash equivalents at end of period | 2,784 | 5,993 | 2,784 | 5,993 | 4,918 | ||||||||||||||
Less cash and cash equivalents held for sale at end of period | 0 | 28 | 0 | 28 | 273 | ||||||||||||||
Cash and cash equivalents at end of year | 2,784 | 5,965 | 2,784 | 5,965 | 4,645 | ||||||||||||||
Parent Guarantor | |||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||
Net income (loss) | (277) | (615) | (1,244) | ||||||||||||||||
Less (income) loss from discontinued operations, net of taxes | 1 | 9 | 0 | ||||||||||||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | 166 | 579 | 1,229 | ||||||||||||||||
Dividends from subsidiaries | 0 | 0 | 0 | ||||||||||||||||
(Gain) loss on sale of businesses | 0 | 0 | |||||||||||||||||
Amortization of fixed maturity securities discounts and premiums and limited partnerships | 0 | 0 | 0 | ||||||||||||||||
Net investment (gains) losses | 0 | 0 | 0 | ||||||||||||||||
Charges assessed to policyholders | 0 | 0 | 0 | ||||||||||||||||
Acquisition costs deferred | 0 | 0 | 0 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 0 | 0 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Deferred income taxes | (6) | (4) | 4 | ||||||||||||||||
Net increase (decrease) in trading securities, held-for-sale investments and derivative instruments | 0 | 0 | 0 | ||||||||||||||||
Stock-based compensation expense | 23 | 21 | 21 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | (9) | 3 | (4) | ||||||||||||||||
Insurance reserves | 0 | 0 | 0 | ||||||||||||||||
Current tax liabilities | 0 | (3) | (2) | ||||||||||||||||
Other liabilities, policy and contract claims and other policy-related balances | 20 | 2 | 11 | ||||||||||||||||
Cash from operating activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from operating activities | (82) | (8) | 15 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Fixed maturity securities | 0 | 0 | 0 | ||||||||||||||||
Commercial mortgage loans | 0 | 0 | 0 | ||||||||||||||||
Restricted commercial mortgage loans related to securitization entities | 0 | 0 | 0 | ||||||||||||||||
Proceeds from sales of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 0 | 0 | 0 | ||||||||||||||||
Purchases and originations of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 0 | 0 | 0 | ||||||||||||||||
Commercial mortgage loans | 0 | 0 | 0 | ||||||||||||||||
Other invested assets, net | 0 | 0 | 0 | ||||||||||||||||
Policy loans, net | 0 | 0 | 0 | ||||||||||||||||
Intercompany notes receivable | 0 | 9 | (1) | ||||||||||||||||
Capital contributions to subsidiaries | 0 | (12) | |||||||||||||||||
Proceeds from sale of businesses, net of cash transferred | 0 | 0 | |||||||||||||||||
Payments for businesses purchased, net of cash acquired | 0 | ||||||||||||||||||
Cash from investing activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from investing activities | 0 | 9 | (13) | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Deposits to universal life and investment contracts | 0 | 0 | 0 | ||||||||||||||||
Withdrawals from universal life and investment contracts | 0 | 0 | 0 | ||||||||||||||||
Redemption and repurchase of non-recourse funding obligations | 0 | 0 | 0 | ||||||||||||||||
Proceeds from the issuance of long-term debt | 0 | 0 | |||||||||||||||||
Repayment and repurchase of long-term debt | 0 | 0 | 0 | ||||||||||||||||
Repayment of borrowings related to securitization entities | 0 | 0 | 0 | ||||||||||||||||
Proceeds from intercompany notes payable | 82 | 2 | 0 | ||||||||||||||||
Repurchase of subsidiary shares | 0 | 0 | |||||||||||||||||
Return of capital to noncontrolling interests | 0 | ||||||||||||||||||
Dividends paid to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Proceeds from the sale of subsidiary shares to noncontrolling interests | 0 | 0 | |||||||||||||||||
Other, net | 0 | (3) | (2) | ||||||||||||||||
Cash from financing activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from financing activities | 82 | (1) | (2) | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 | ||||||||||||||||
Net change in cash and cash equivalents | 0 | 0 | 0 | ||||||||||||||||
Cash and cash equivalents at beginning of period | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Cash and cash equivalents at end of period | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Less cash and cash equivalents held for sale at end of period | 0 | 0 | 0 | ||||||||||||||||
Cash and cash equivalents at end of year | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Issuer | |||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||
Net income (loss) | (459) | (657) | (1,356) | ||||||||||||||||
Less (income) loss from discontinued operations, net of taxes | 12 | 0 | 0 | ||||||||||||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | 53 | 463 | 1,147 | ||||||||||||||||
Dividends from subsidiaries | 250 | 530 | 630 | ||||||||||||||||
(Gain) loss on sale of businesses | 1 | 0 | |||||||||||||||||
Amortization of fixed maturity securities discounts and premiums and limited partnerships | 4 | 0 | 0 | ||||||||||||||||
Net investment (gains) losses | 1 | (43) | (4) | ||||||||||||||||
Charges assessed to policyholders | 0 | 0 | 0 | ||||||||||||||||
Acquisition costs deferred | 0 | 0 | 0 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 0 | 0 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Deferred income taxes | 233 | (65) | (146) | ||||||||||||||||
Net increase (decrease) in trading securities, held-for-sale investments and derivative instruments | 5 | 41 | 1 | ||||||||||||||||
Stock-based compensation expense | 0 | 0 | 0 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | 98 | 13 | (9) | ||||||||||||||||
Insurance reserves | 0 | 0 | 0 | ||||||||||||||||
Current tax liabilities | 42 | 18 | (77) | ||||||||||||||||
Other liabilities, policy and contract claims and other policy-related balances | (63) | (38) | 91 | ||||||||||||||||
Cash from operating activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from operating activities | 177 | 262 | 277 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Fixed maturity securities | 150 | 1 | 150 | ||||||||||||||||
Commercial mortgage loans | 0 | 0 | 0 | ||||||||||||||||
Restricted commercial mortgage loans related to securitization entities | 0 | 0 | 0 | ||||||||||||||||
Proceeds from sales of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 0 | 0 | 0 | ||||||||||||||||
Purchases and originations of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 0 | 0 | (150) | ||||||||||||||||
Commercial mortgage loans | 0 | 0 | 0 | ||||||||||||||||
Other invested assets, net | 0 | (100) | 0 | ||||||||||||||||
Policy loans, net | 0 | 0 | 0 | ||||||||||||||||
Intercompany notes receivable | (82) | 265 | (19) | ||||||||||||||||
Capital contributions to subsidiaries | (25) | 0 | |||||||||||||||||
Proceeds from sale of businesses, net of cash transferred | 1 | 0 | |||||||||||||||||
Payments for businesses purchased, net of cash acquired | (197) | ||||||||||||||||||
Cash from investing activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from investing activities | 69 | (56) | (19) | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Deposits to universal life and investment contracts | 0 | 0 | 0 | ||||||||||||||||
Withdrawals from universal life and investment contracts | 0 | 0 | 0 | ||||||||||||||||
Redemption and repurchase of non-recourse funding obligations | 0 | 0 | 0 | ||||||||||||||||
Proceeds from the issuance of long-term debt | 0 | 0 | |||||||||||||||||
Repayment and repurchase of long-term debt | (326) | (50) | (485) | ||||||||||||||||
Repayment of borrowings related to securitization entities | 0 | 0 | 0 | ||||||||||||||||
Proceeds from intercompany notes payable | 0 | 54 | 3 | ||||||||||||||||
Repurchase of subsidiary shares | 0 | 0 | |||||||||||||||||
Return of capital to noncontrolling interests | 0 | ||||||||||||||||||
Dividends paid to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Proceeds from the sale of subsidiary shares to noncontrolling interests | 0 | 0 | |||||||||||||||||
Other, net | (46) | (39) | (42) | ||||||||||||||||
Cash from financing activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from financing activities | (372) | (35) | (524) | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 | ||||||||||||||||
Net change in cash and cash equivalents | (126) | 171 | (266) | ||||||||||||||||
Cash and cash equivalents at beginning of period | 1,124 | 953 | 1,124 | 953 | 1,219 | ||||||||||||||
Cash and cash equivalents at end of period | 998 | 1,124 | 998 | 1,124 | 953 | ||||||||||||||
Less cash and cash equivalents held for sale at end of period | 0 | 0 | 0 | ||||||||||||||||
Cash and cash equivalents at end of year | 998 | 1,124 | 998 | 1,124 | 953 | ||||||||||||||
All Other Subsidiaries | |||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||
Net income (loss) | 450 | (183) | (828) | ||||||||||||||||
Less (income) loss from discontinued operations, net of taxes | 16 | 398 | (157) | ||||||||||||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Dividends from subsidiaries | (250) | (530) | (630) | ||||||||||||||||
(Gain) loss on sale of businesses | (27) | 141 | |||||||||||||||||
Amortization of fixed maturity securities discounts and premiums and limited partnerships | (142) | (106) | (111) | ||||||||||||||||
Net investment (gains) losses | (73) | 118 | 26 | ||||||||||||||||
Charges assessed to policyholders | (782) | (788) | (777) | ||||||||||||||||
Acquisition costs deferred | (150) | (293) | (383) | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 498 | 966 | 453 | ||||||||||||||||
Goodwill impairment | 849 | ||||||||||||||||||
Deferred income taxes | (82) | (127) | (195) | ||||||||||||||||
Net increase (decrease) in trading securities, held-for-sale investments and derivative instruments | 704 | (280) | 205 | ||||||||||||||||
Stock-based compensation expense | 9 | (5) | 7 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | (445) | (123) | (151) | ||||||||||||||||
Insurance reserves | 1,315 | 1,847 | 2,497 | ||||||||||||||||
Current tax liabilities | (10) | (30) | (117) | ||||||||||||||||
Other liabilities, policy and contract claims and other policy-related balances | 723 | 328 | 1,421 | ||||||||||||||||
Cash from operating activities-held for sale | 2 | 42 | |||||||||||||||||
Net cash from operating activities | 1,754 | 1,335 | 2,151 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Fixed maturity securities | 3,739 | 4,540 | 5,048 | ||||||||||||||||
Commercial mortgage loans | 700 | 882 | 765 | ||||||||||||||||
Restricted commercial mortgage loans related to securitization entities | 32 | 41 | 32 | ||||||||||||||||
Proceeds from sales of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 5,629 | 4,391 | 2,386 | ||||||||||||||||
Purchases and originations of investments: | |||||||||||||||||||
Fixed maturity and equity securities | (11,529) | (9,750) | (9,038) | ||||||||||||||||
Commercial mortgage loans | (649) | (956) | (967) | ||||||||||||||||
Other invested assets, net | (151) | 277 | (40) | ||||||||||||||||
Policy loans, net | (77) | 25 | 12 | ||||||||||||||||
Intercompany notes receivable | 0 | (63) | (2) | ||||||||||||||||
Capital contributions to subsidiaries | 25 | 12 | |||||||||||||||||
Proceeds from sale of businesses, net of cash transferred | 38 | 273 | |||||||||||||||||
Payments for businesses purchased, net of cash acquired | 197 | ||||||||||||||||||
Cash from investing activities-held for sale | (26) | (39) | |||||||||||||||||
Net cash from investing activities | (2,268) | (144) | (1,831) | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Deposits to universal life and investment contracts | 1,349 | 2,257 | 2,993 | ||||||||||||||||
Withdrawals from universal life and investment contracts | (2,004) | (2,144) | (2,588) | ||||||||||||||||
Redemption and repurchase of non-recourse funding obligations | (1,620) | (61) | (42) | ||||||||||||||||
Proceeds from the issuance of long-term debt | 150 | 144 | |||||||||||||||||
Repayment and repurchase of long-term debt | (36) | (70) | (136) | ||||||||||||||||
Repayment of borrowings related to securitization entities | (42) | (36) | (32) | ||||||||||||||||
Proceeds from intercompany notes payable | 0 | (267) | 19 | ||||||||||||||||
Repurchase of subsidiary shares | (68) | (28) | |||||||||||||||||
Return of capital to noncontrolling interests | (70) | ||||||||||||||||||
Dividends paid to noncontrolling interests | (138) | (157) | (75) | ||||||||||||||||
Proceeds from the sale of subsidiary shares to noncontrolling interests | 226 | 517 | |||||||||||||||||
Other, net | 2 | (56) | 14 | ||||||||||||||||
Cash from financing activities-held for sale | 9 | (33) | |||||||||||||||||
Net cash from financing activities | (2,559) | (217) | 753 | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | (10) | (70) | (103) | ||||||||||||||||
Net change in cash and cash equivalents | (3,083) | 904 | 970 | ||||||||||||||||
Cash and cash equivalents at beginning of period | 4,869 | 3,965 | 4,869 | 3,965 | 2,995 | ||||||||||||||
Cash and cash equivalents at end of period | 1,786 | 4,869 | 1,786 | 4,869 | 3,965 | ||||||||||||||
Less cash and cash equivalents held for sale at end of period | 28 | 28 | 273 | ||||||||||||||||
Cash and cash equivalents at end of year | 1,786 | 4,841 | 1,786 | 4,841 | 3,692 | ||||||||||||||
Eliminations | |||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||
Net income (loss) | 219 | 1,042 | 2,380 | ||||||||||||||||
Less (income) loss from discontinued operations, net of taxes | 0 | 0 | 0 | ||||||||||||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | (219) | (1,042) | (2,376) | ||||||||||||||||
Dividends from subsidiaries | 0 | 0 | 0 | ||||||||||||||||
(Gain) loss on sale of businesses | 0 | 0 | |||||||||||||||||
Amortization of fixed maturity securities discounts and premiums and limited partnerships | 0 | 0 | 0 | ||||||||||||||||
Net investment (gains) losses | 0 | 0 | 0 | ||||||||||||||||
Charges assessed to policyholders | 0 | 0 | 0 | ||||||||||||||||
Acquisition costs deferred | 0 | 0 | 0 | ||||||||||||||||
Amortization of deferred acquisition costs and intangibles | 0 | 0 | 0 | ||||||||||||||||
Goodwill impairment | 0 | ||||||||||||||||||
Deferred income taxes | 0 | 0 | (4) | ||||||||||||||||
Net increase (decrease) in trading securities, held-for-sale investments and derivative instruments | 0 | 0 | 0 | ||||||||||||||||
Stock-based compensation expense | 0 | 0 | 0 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | (2) | 1 | 1 | ||||||||||||||||
Insurance reserves | 0 | 0 | 0 | ||||||||||||||||
Current tax liabilities | 0 | 0 | 0 | ||||||||||||||||
Other liabilities, policy and contract claims and other policy-related balances | 5 | 1 | (6) | ||||||||||||||||
Cash from operating activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from operating activities | 3 | 2 | (5) | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Fixed maturity securities | 0 | 0 | 0 | ||||||||||||||||
Commercial mortgage loans | 0 | 0 | 0 | ||||||||||||||||
Restricted commercial mortgage loans related to securitization entities | 0 | 0 | 0 | ||||||||||||||||
Proceeds from sales of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 0 | 0 | 0 | ||||||||||||||||
Purchases and originations of investments: | |||||||||||||||||||
Fixed maturity and equity securities | 0 | 0 | 0 | ||||||||||||||||
Commercial mortgage loans | 0 | 0 | 0 | ||||||||||||||||
Other invested assets, net | (3) | (2) | 5 | ||||||||||||||||
Policy loans, net | 0 | 0 | 0 | ||||||||||||||||
Intercompany notes receivable | 82 | (211) | 22 | ||||||||||||||||
Capital contributions to subsidiaries | 0 | 0 | |||||||||||||||||
Proceeds from sale of businesses, net of cash transferred | 0 | 0 | |||||||||||||||||
Payments for businesses purchased, net of cash acquired | 0 | ||||||||||||||||||
Cash from investing activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from investing activities | 79 | (213) | 27 | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Deposits to universal life and investment contracts | 0 | 0 | 0 | ||||||||||||||||
Withdrawals from universal life and investment contracts | 0 | 0 | 0 | ||||||||||||||||
Redemption and repurchase of non-recourse funding obligations | 0 | 0 | 0 | ||||||||||||||||
Proceeds from the issuance of long-term debt | 0 | 0 | |||||||||||||||||
Repayment and repurchase of long-term debt | 0 | 0 | 0 | ||||||||||||||||
Repayment of borrowings related to securitization entities | 0 | 0 | 0 | ||||||||||||||||
Proceeds from intercompany notes payable | (82) | 211 | (22) | ||||||||||||||||
Repurchase of subsidiary shares | 0 | 0 | |||||||||||||||||
Return of capital to noncontrolling interests | 0 | ||||||||||||||||||
Dividends paid to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Proceeds from the sale of subsidiary shares to noncontrolling interests | 0 | 0 | |||||||||||||||||
Other, net | 0 | 0 | 0 | ||||||||||||||||
Cash from financing activities-held for sale | 0 | 0 | |||||||||||||||||
Net cash from financing activities | (82) | 211 | (22) | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 | ||||||||||||||||
Net change in cash and cash equivalents | 0 | 0 | 0 | ||||||||||||||||
Cash and cash equivalents at beginning of period | $ 0 | $ 0 | 0 | 0 | 0 | ||||||||||||||
Cash and cash equivalents at end of period | 0 | 0 | 0 | 0 | 0 | ||||||||||||||
Less cash and cash equivalents held for sale at end of period | 0 | 0 | 0 | ||||||||||||||||
Cash and cash equivalents at end of year | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | ||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Schedule I Genworth Financia175
Schedule I Genworth Financial, Inc. Summary of Investments-Other than Investments in Related Parties (Detail) $ in Millions | Dec. 31, 2016USD ($) | |
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | $ 67,341 | |
Carrying value | 71,569 | |
Commercial mortgage loans | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 6,111 | |
Carrying value | 6,111 | |
Restricted commercial mortgage loans related to securitization entities | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 129 | |
Carrying value | 129 | |
Policy Loans | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 1,742 | |
Carrying value | 1,742 | |
Other invested assets | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 1,405 | [1] |
Carrying value | 2,071 | [1] |
Restricted other invested assets related to securitization entities | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 312 | |
Carrying value | 312 | |
Fixed maturity securities | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 57,014 | |
Fair value | 60,572 | |
Carrying value | 60,572 | |
Fixed maturity securities | Bonds | U.S. government, agencies and authorities | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 5,439 | |
Fair value | 6,036 | |
Carrying value | 6,036 | |
Fixed maturity securities | Bonds | State and Political Subdivisions | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 2,515 | |
Fair value | 2,647 | |
Carrying value | 2,647 | |
Fixed maturity securities | Bonds | Non-U.S. government | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 2,024 | |
Fair value | 2,107 | |
Carrying value | 2,107 | |
Fixed maturity securities | Bonds | Public Utilities | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 5,077 | |
Fair value | 5,519 | |
Carrying value | 5,519 | |
Fixed maturity securities | Bonds | All Other Corporate Bonds | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 41,959 | |
Fair value | 44,263 | |
Carrying value | 44,263 | |
Equity Securities | ||
Summary of Investments, Other than Investments in Related Parties, Reportable Data [Line Items] | ||
Amortized cost or cost | 628 | |
Fair value | 632 | |
Carrying value | $ 632 | |
[1] | The amount shown in the consolidated balance sheet for other invested assets differs from amortized cost or cost presented, as other invested assets include certain assets with a carrying amount that differs from amortized cost or cost. |
Schedule II Genworth Financi176
Schedule II Genworth Financial, Inc. (Parent Company Only) (Balance Sheets) (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Assets | |||||
Investments in subsidiaries | $ 0 | $ 0 | |||
Deferred tax asset | 1,590 | 2,713 | |||
Other assets | 673 | 520 | |||
Total assets | 104,658 | 106,431 | |||
Liabilities and stockholders' equity | |||||
Other liabilities | 2,916 | 3,004 | |||
Total liabilities | 90,191 | 91,794 | |||
Commitments and contingencies | |||||
Stockholders' equity: | |||||
Common stock | 1 | 1 | |||
Additional paid-incapital | 11,962 | 11,949 | |||
Net unrealized investment gains (losses): | |||||
Net unrealized gains (losses) on other-than-temporarily impaired securities | 9 | 18 | |||
Net unrealized investment gains (losses) | [1] | 1,262 | 1,254 | $ 2,453 | $ 926 |
Derivatives qualifying as hedges | [2] | 2,085 | 2,045 | 2,070 | 1,319 |
Foreign currency translation and other adjustments | (253) | (289) | (77) | 297 | |
Total accumulated other comprehensive income (loss) | 3,094 | 3,010 | $ 4,446 | $ 2,542 | |
Retained earnings | 287 | 564 | |||
Treasury stock, at cost | (2,700) | (2,700) | |||
Total Genworth Financial, Inc.'s stockholders' equity | 12,644 | 12,824 | |||
Total liabilities and equity | 104,658 | 106,431 | |||
Parent Company | |||||
Assets | |||||
Investments in subsidiaries | 12,730 | 12,814 | |||
Deferred tax asset | 28 | 25 | |||
Other assets | 9 | ||||
Total assets | 12,767 | 12,839 | |||
Liabilities and stockholders' equity | |||||
Other liabilities | 39 | 13 | |||
Intercompany notes payable | 84 | 2 | |||
Total liabilities | 123 | 15 | |||
Commitments and contingencies | |||||
Stockholders' equity: | |||||
Common stock | 1 | 1 | |||
Additional paid-incapital | 11,962 | 11,949 | |||
Net unrealized investment gains (losses): | |||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 1,253 | 1,236 | |||
Net unrealized gains (losses) on other-than-temporarily impaired securities | 9 | 18 | |||
Net unrealized investment gains (losses) | 1,262 | 1,254 | |||
Derivatives qualifying as hedges | 2,085 | 2,045 | |||
Foreign currency translation and other adjustments | (253) | (289) | |||
Total accumulated other comprehensive income (loss) | 3,094 | 3,010 | |||
Retained earnings | 287 | 564 | |||
Treasury stock, at cost | (2,700) | (2,700) | |||
Total Genworth Financial, Inc.'s stockholders' equity | 12,644 | 12,824 | |||
Total liabilities and equity | $ 12,767 | $ 12,839 | |||
[1] | Net of adjustments to DAC, PVFP, sales inducements and benefit reserves. See note 4 for additional information. | ||||
[2] | See note 5 for additional information. |
Schedule II Genworth Financi177
Schedule II Genworth Financial, Inc. (Parent Company Only) (Statements of Income) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Revenues: | |||||||||||||||||||
Net investment income | $ 3,159 | $ 3,138 | $ 3,142 | ||||||||||||||||
Total revenues | $ 2,198 | [1] | $ 2,150 | [1] | $ 2,236 | [1] | $ 1,785 | [1] | $ 2,156 | [2] | $ 2,100 | [2] | $ 2,157 | [2] | $ 2,135 | [2] | 8,369 | 8,548 | 8,729 |
Expenses: | |||||||||||||||||||
Acquisition and operating expenses, net of deferrals | 1,273 | 1,309 | 1,138 | ||||||||||||||||
Interest expense | 337 | 419 | 433 | ||||||||||||||||
Loss before income taxes and equity in loss of subsidiaries | 320 | (15) | (1,299) | ||||||||||||||||
Benefit from income taxes | 358 | (9) | (94) | ||||||||||||||||
Equity in loss of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Loss from discontinued operations, net of taxes | (4) | 15 | (21) | (19) | (73) | [3] | (21) | [3] | (314) | [3] | 1 | [3] | (29) | (407) | 157 | ||||
Net loss available to Genworth Financial, Inc.'s common stockholders | $ (122) | [4] | $ (380) | [4] | $ 172 | [4] | $ 53 | [4] | $ (292) | $ (284) | $ (193) | $ 154 | (277) | (615) | (1,244) | ||||
Parent Company | |||||||||||||||||||
Revenues: | |||||||||||||||||||
Net investment income | (3) | (3) | (2) | ||||||||||||||||
Total revenues | (3) | (3) | (2) | ||||||||||||||||
Expenses: | |||||||||||||||||||
Acquisition and operating expenses, net of deferrals | 153 | 32 | 21 | ||||||||||||||||
Interest expense | 1 | 0 | 0 | ||||||||||||||||
Total expenses | 154 | 32 | 21 | ||||||||||||||||
Loss before income taxes and equity in loss of subsidiaries | (157) | (35) | (23) | ||||||||||||||||
Benefit from income taxes | (47) | (8) | (8) | ||||||||||||||||
Equity in loss of subsidiaries | (166) | (579) | (1,229) | ||||||||||||||||
Loss from discontinued operations, net of taxes | (1) | (9) | 0 | ||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | $ (277) | $ (615) | $ (1,244) | ||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016, which resulted in higher revenues of $6 million in our universal life insurance products. The updated assumptions reflected changes primarily to mortality experience in older age populations. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $12 million of higher revenue, in our universal and term universal life insurance products. The updated assumptions reflected changes to persistency, long-term interest rates, mortality and other refinements. | ||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. | ||||||||||||||||||
[4] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. |
Schedule II Genworth Financi178
Schedule II Genworth Financial, Inc. (Parent Company Only) (Statements of Comprehensive Income) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | [2],[3] | Sep. 30, 2015 | [2],[3] | Jun. 30, 2015 | [2],[3] | Mar. 31, 2015 | [2],[3] | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | $ (63) | $ (332) | $ 220 | $ 108 | $ (240) | $ (238) | $ (139) | $ 204 | $ (67) | $ (413) | $ (1,048) | |||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 6 | (1,209) | 1,573 | |||||||||||||||||
Net unrealized gains (losses) on other-than-temporarily impaired securities | (9) | (4) | 10 | |||||||||||||||||
Derivatives qualifying as hedges | [4] | 40 | (25) | 751 | ||||||||||||||||
Foreign currency translation and other adjustments | 54 | (530) | (537) | |||||||||||||||||
Total other comprehensive income (loss) | 91 | (1,768) | 1,797 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | (193) | (2,075) | 717 | |||||||||||||||||
Parent Company | ||||||||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | (277) | (615) | (1,244) | |||||||||||||||||
Other comprehensive income (loss), net of taxes: | ||||||||||||||||||||
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 17 | (1,181) | 1,539 | |||||||||||||||||
Net unrealized gains (losses) on other-than-temporarily impaired securities | (9) | (4) | 10 | |||||||||||||||||
Derivatives qualifying as hedges | 40 | (25) | 751 | |||||||||||||||||
Foreign currency translation and other adjustments | 36 | (250) | (339) | |||||||||||||||||
Total other comprehensive income (loss) | 84 | (1,460) | 1,961 | |||||||||||||||||
Total comprehensive income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (193) | $ (2,075) | $ 717 | |||||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | |||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | |||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. | |||||||||||||||||||
[4] | See note 5 for additional information. |
Schedule II Genworth Financi179
Schedule II Genworth Financial, Inc. (Parent Company Only) (Statements of Cash Flows) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | [3] | Jun. 30, 2015 | [3] | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||
Cash flows from operating activities: | |||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | $ (63) | [1] | $ (332) | [1] | $ 220 | [1] | $ 108 | [1] | $ (240) | [2],[3] | $ (238) | [2] | $ (139) | [2] | $ 204 | [2],[3] | $ (67) | $ (413) | $ (1,048) |
Less loss from discontinued operations, net of taxes | 4 | $ (15) | $ 21 | 19 | 73 | [3] | $ 21 | $ 314 | (1) | [3] | 29 | 407 | (157) | ||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Deferred income taxes | 145 | (196) | (341) | ||||||||||||||||
Stock-based compensation expense | 32 | 16 | 28 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | (358) | (106) | (163) | ||||||||||||||||
Current tax liabilities | 32 | (15) | (196) | ||||||||||||||||
Other liabilities and other policy-related balances | 685 | 293 | 1,517 | ||||||||||||||||
Net cash from operating activities | 1,852 | 1,591 | 2,438 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Intercompany notes receivable | 0 | 0 | 0 | ||||||||||||||||
Capital contribution paid to subsidiaries | 0 | 0 | |||||||||||||||||
Net cash from investing activities | (2,120) | (404) | (1,836) | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Other, net | (44) | (98) | (30) | ||||||||||||||||
Intercompany notes payable | 0 | 0 | 0 | ||||||||||||||||
Net cash from financing activities | (2,931) | (42) | 205 | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | (10) | (70) | (103) | ||||||||||||||||
Cash and cash equivalents at beginning of year | 5,965 | 4,645 | 5,965 | 4,645 | |||||||||||||||
Cash and cash equivalents at end of year | 2,784 | 5,965 | 2,784 | 5,965 | 4,645 | ||||||||||||||
Parent Company | |||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||
Net loss available to Genworth Financial, Inc.'s common stockholders | (277) | (615) | (1,244) | ||||||||||||||||
Less loss from discontinued operations, net of taxes | 1 | 9 | 0 | ||||||||||||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||||||||||||||||||
Equity in loss from subsidiaries | 166 | 579 | 1,229 | ||||||||||||||||
Deferred income taxes | (6) | (4) | 4 | ||||||||||||||||
Stock-based compensation expense | 23 | 21 | 21 | ||||||||||||||||
Change in certain assets and liabilities: | |||||||||||||||||||
Accrued investment income and other assets | (9) | 3 | (4) | ||||||||||||||||
Current tax liabilities | 0 | (3) | (2) | ||||||||||||||||
Other liabilities and other policy-related balances | 20 | 2 | 11 | ||||||||||||||||
Net cash from operating activities | (82) | (8) | 15 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||
Intercompany notes receivable | 0 | 9 | (1) | ||||||||||||||||
Capital contribution paid to subsidiaries | 0 | 0 | (12) | ||||||||||||||||
Net cash from investing activities | 0 | 9 | (13) | ||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||
Other, net | 0 | (3) | (2) | ||||||||||||||||
Intercompany notes payable | 82 | 2 | 0 | ||||||||||||||||
Net cash from financing activities | 82 | (1) | (2) | ||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 | ||||||||||||||||
Cash and cash equivalents at beginning of year | $ 0 | $ 0 | 0 | 0 | 0 | ||||||||||||||
Cash and cash equivalents at end of year | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | ||||||||||||||
[1] | We completed our annual review of assumptions in the fourth quarter of 2016 as described above, which resulted in $196 million, net of taxes, of charges in our universal and term universal life insurance products. | ||||||||||||||||||
[2] | We completed our annual review of assumptions in the fourth quarter of 2015, which primarily resulted in $194 million, net of taxes, of charges, which included $36 million, net of taxes, of corrections related to reinsurance inputs, in our universal and term universal life insurance products. We also recorded an expected loss of $134 million, net of taxes, related to the planned sale of our mortgage insurance business in Europe in the fourth quarter of 2015. | ||||||||||||||||||
[3] | We completed the sale of our lifestyle protection insurance business on December 1, 2015 and recorded an additional loss of $63 million, net of taxes, in the fourth quarter of 2015. The additional loss in the fourth quarter of 2015 was primarily related to the write off of currency translation adjustments on a holding company that was not part of the sale but related to our lifestyle protection insurance business that was substantially liquidated after the completion of the sale. |
Schedule II Genworth Financi180
Schedule II Genworth Financial, Inc. (Parent Company Only) - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | Oct. 21, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Parent Company | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Deferred tax assets related to tax elections | $ 28 | $ 25 | ||
Current income tax receivable | 0 | 0 | ||
Net cash received for taxes | $ 41 | $ 1 | $ 23 | |
China Oceanwide Holdings Group Co., Ltd. | Definitive Acquisition Agreement | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Total transaction value to acquire all of our outstanding common stock | $ 2,700 | |||
Per share amount to acquire all of our outstanding common stock | $ 5.43 |
Schedule III Genworth Financ181
Schedule III Genworth Financial, Inc. Supplemental Insurance Information (Schedule of Supplemental Insurance Information) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | $ 3,571 | $ 4,398 | |
Future Policy Benefits | 37,063 | 36,475 | |
Policyholder Account Balances | 25,662 | 26,209 | |
Liability for Policy and Contract Claims | 9,256 | 8,095 | |
Unearned Premiums | 3,378 | 3,308 | |
Premium Revenue | 4,160 | 4,579 | $ 4,700 |
Net Investment Income | 3,159 | 3,138 | 3,142 |
Interest Credited and Benefits and Other Changes in Policy Reserves | 5,941 | 5,869 | 7,155 |
Amortization of Deferred Acquisition Costs | 481 | 902 | 383 |
Other Operating Expenses | 1,627 | 1,792 | 2,490 |
Premiums Written | 4,208 | 4,794 | 4,913 |
U.S. Mortgage Insurance | |||
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | 28 | 22 | |
Future Policy Benefits | 0 | 0 | |
Policyholder Account Balances | 0 | 0 | |
Liability for Policy and Contract Claims | 635 | 849 | |
Unearned Premiums | 342 | 258 | |
Premium Revenue | 660 | 602 | 578 |
Net Investment Income | 63 | 58 | 59 |
Interest Credited and Benefits and Other Changes in Policy Reserves | 160 | 222 | 357 |
Amortization of Deferred Acquisition Costs | 9 | 7 | 5 |
Other Operating Expenses | 170 | 158 | 142 |
Premiums Written | 744 | 682 | 628 |
Canada Mortgage Insurance | |||
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | 121 | 108 | |
Future Policy Benefits | 0 | 0 | |
Policyholder Account Balances | 0 | 0 | |
Liability for Policy and Contract Claims | 112 | 87 | |
Unearned Premiums | 1,595 | 1,460 | |
Premium Revenue | 481 | 466 | 515 |
Net Investment Income | 126 | 130 | 155 |
Interest Credited and Benefits and Other Changes in Policy Reserves | 104 | 96 | 102 |
Amortization of Deferred Acquisition Costs | 37 | 35 | 35 |
Other Operating Expenses | 97 | 85 | 114 |
Premiums Written | 576 | 641 | 583 |
Australia Mortgage Insurance | |||
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | 31 | 35 | |
Future Policy Benefits | 0 | 0 | |
Policyholder Account Balances | 0 | 0 | |
Liability for Policy and Contract Claims | 211 | 165 | |
Unearned Premiums | 850 | 963 | |
Premium Revenue | 337 | 357 | 406 |
Net Investment Income | 94 | 114 | 144 |
Interest Credited and Benefits and Other Changes in Policy Reserves | 113 | 81 | 78 |
Amortization of Deferred Acquisition Costs | 13 | 16 | 15 |
Other Operating Expenses | 107 | 110 | 113 |
Premiums Written | 231 | 328 | 509 |
U.S. Life Insurance | |||
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | 3,149 | 3,963 | |
Future Policy Benefits | 37,060 | 36,471 | |
Policyholder Account Balances | 22,285 | 23,009 | |
Liability for Policy and Contract Claims | 8,276 | 6,969 | |
Unearned Premiums | 586 | 621 | |
Premium Revenue | 2,670 | 3,128 | 3,169 |
Net Investment Income | 2,726 | 2,701 | 2,665 |
Interest Credited and Benefits and Other Changes in Policy Reserves | 5,387 | 5,288 | 6,438 |
Amortization of Deferred Acquisition Costs | 394 | 816 | 291 |
Other Operating Expenses | 695 | 832 | 1,648 |
Premiums Written | 2,644 | 3,115 | 3,172 |
Runoff | |||
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | 242 | 270 | |
Future Policy Benefits | 3 | 4 | |
Policyholder Account Balances | 3,377 | 3,200 | |
Liability for Policy and Contract Claims | 15 | 18 | |
Unearned Premiums | 5 | 6 | |
Premium Revenue | 0 | 1 | 3 |
Net Investment Income | 147 | 138 | 129 |
Interest Credited and Benefits and Other Changes in Policy Reserves | 173 | 168 | 156 |
Amortization of Deferred Acquisition Costs | 28 | 28 | 37 |
Other Operating Expenses | 70 | 78 | 87 |
Premiums Written | 0 | 1 | 2 |
Corporate and Other | |||
Supplementary Insurance Information, by Segment [Line Items] | |||
Deferred Acquisition Costs | 0 | 0 | |
Future Policy Benefits | 0 | 0 | |
Policyholder Account Balances | 0 | 0 | |
Liability for Policy and Contract Claims | 7 | 7 | |
Unearned Premiums | 0 | 0 | |
Premium Revenue | 12 | 25 | 29 |
Net Investment Income | 3 | (3) | (10) |
Interest Credited and Benefits and Other Changes in Policy Reserves | 4 | 14 | 24 |
Amortization of Deferred Acquisition Costs | 0 | 0 | 0 |
Other Operating Expenses | 488 | 529 | 386 |
Premiums Written | $ 13 | $ 27 | $ 19 |