Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 24, 2015 | |
Document Documentand Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | CINF | |
Entity Registrant Name | CINCINNATI FINANCIAL CORP | |
Entity Central Index Key | 20286 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 164,358,202 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Investments | ||
Fixed maturities, at fair value (amortized cost: 2015—$8,961; 2014—$8,871) | $9,596 | $9,460 |
Equity securities, at fair value (cost: 2015—$2,748; 2014—$2,728) | 4,789 | 4,858 |
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | 25 | 0 |
Other invested assets | 66 | 68 |
Total investments | 14,476 | 14,386 |
Cash and cash equivalents | 640 | 591 |
Investment income receivable | 123 | 123 |
Finance receivable | 70 | 75 |
Premiums receivable | 1,433 | 1,405 |
Reinsurance recoverable | 539 | 545 |
Prepaid reinsurance premiums | 29 | 29 |
Deferred policy acquisition costs | 571 | 578 |
Land, building and equipment, net, for company use (accumulated depreciation: 2015—$452; 2014—$446) | 189 | 194 |
Other assets | 63 | 75 |
Separate accounts | 764 | 752 |
Total assets | 18,897 | 18,753 |
Insurance reserves | ||
Loss and loss expense reserves | 4,623 | 4,485 |
Life policy and investment contract reserves | 2,514 | 2,497 |
Unearned premiums | 2,109 | 2,082 |
Other liabilities | 581 | 648 |
Deferred income tax | 824 | 840 |
Note payable | 49 | 49 |
Long-term debt and capital lease obligations | 825 | 827 |
Separate accounts | 764 | 752 |
Total liabilities | 12,289 | 12,180 |
Commitments and contingent liabilities (Note 12) | 0 | 0 |
Shareholders' Equity | ||
Common stock, par value—$2 per share; (authorized: 2014 and 2013—500 million shares; issued: 2015 and 2014—198.3 million shares) | 397 | 397 |
Paid-in capital | 1,210 | 1,214 |
Retained earnings | 4,557 | 4,505 |
Accumulated other comprehensive income | 1,716 | 1,744 |
Treasury stock at cost (2015— 34.0 million shares and 2014—34.6 million shares) | -1,272 | -1,287 |
Total shareholders' equity | 6,608 | 6,573 |
Total liabilities and shareholders' equity | $18,897 | $18,753 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, except Per Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Fixed maturities, amortized cost | $8,961 | $8,871 |
Equity securities, cost | 2,748 | 2,728 |
Short-term investments, amortized cost | 25 | 0 |
Land, building and equipment, accumulated depreciation | $452 | $446 |
Common stock, par value | $2 | $2 |
Common stock, authorized | 500 | 500 |
Common stock, issued | 198.3 | 198.3 |
Common stock, outstanding | 198.3 | 198.3 |
Treasury stock, shares | 34 | 34.6 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues [Abstract] | ||
Earned premiums | $1,094 | $1,027 |
Investment income, net of expenses | 139 | 135 |
Realized investment gains, net | 47 | 22 |
Fee revenues | 3 | 3 |
Other revenues | 2 | 2 |
Total revenues | 1,285 | 1,189 |
Benefits and Expenses | ||
Insurance losses and policyholder benefits | 749 | 732 |
Underwriting, acquisition and insurance expenses | 345 | 320 |
Interest expense | 13 | 14 |
Other operating expenses | 4 | 4 |
Total benefits and expenses | 1,111 | 1,070 |
Income Before Income Taxes | 174 | 119 |
Provision for Income Taxes | ||
Current | 46 | 20 |
Deferred | 0 | 8 |
Total provision for income taxes | 46 | 28 |
Net Income | $128 | $91 |
Per Common Share | ||
Net income-basic (in USD per share) | $0.78 | $0.56 |
Net income-diluted (in USD per share) | $0.77 | $0.55 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net Income | $128 | $91 |
Change in unrealized gains on investments, net of tax of $(15) and $41, respectively | -28 | 76 |
Amortization of pension actuarial loss and prior service cost, net of tax of $0 and $0, respectively | 1 | -1 |
Change in life deferred acquisition costs, life policy reserves and other, net of tax of $0 and $0, respectively | -1 | -1 |
Other comprehensive (loss) income, net of tax | -28 | 74 |
Comprehensive Income | $100 | $165 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Comprehensive Income [Abstract] | ||
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax | ($15) | $41 |
Other Comprehensive Income Loss, Pension And Other Postretirement Benefit Plans, Net Actuarial Loss And Prior Service Cost Arising During Period, Tax | 0 | 0 |
Other Comprehensive Income, Change in Life Deferred Acquisition Costs, Life Policy Reserves and Other, Tax | $0 | $0 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Shareholders' Equity (USD $) | Total | Common equities | Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income | Treasury Stock |
In Millions | ||||||
Balance at Dec. 31, 2013 | $6,070 | $397 | $1,191 | $4,268 | $1,504 | ($1,290) |
Balance (in shares) at Dec. 31, 2013 | 163.1 | |||||
Net Income | 91 | 91 | ||||
Other comprehensive income, net | 74 | 74 | ||||
Dividends declared | -72 | -72 | ||||
Stock-based awards exercised and vested | 0 | |||||
Treasury Stock, Shares, Acquired | -0.1 | |||||
Purchases | -7 | -7 | ||||
Stock Issued During Period, Shares, Other | 0.5 | |||||
Stockholders' Equity, Other | 12 | 0 | 12 | |||
Balance at Mar. 31, 2014 | 6,168 | 397 | 1,191 | 4,287 | 1,578 | -1,285 |
Balance (in shares) at Mar. 31, 2014 | 163.5 | |||||
Balance at Dec. 31, 2014 | 6,573 | 397 | 1,214 | 4,505 | 1,744 | -1,287 |
Balance (in shares) at Dec. 31, 2014 | 198.3 | 163.7 | ||||
Net Income | 128 | |||||
Other comprehensive income, net | -28 | |||||
Dividends declared | -76 | -76 | ||||
Stock-based awards exercised and vested | 0 | |||||
Purchases | 0 | 0 | ||||
Stock Issued During Period, Shares, Other | 0.6 | |||||
Stockholders' Equity, Other | 11 | -4 | 15 | |||
Balance at Mar. 31, 2015 | $6,608 | $397 | $1,210 | $4,557 | $1,716 | ($1,272) |
Balance (in shares) at Mar. 31, 2015 | 198.3 | 164.3 |
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash Flows From Operating Activities | ||
Net Income | $128 | $91 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 14 | 13 |
Realized investment gains, net | -47 | -22 |
Stock-based compensation | 7 | 6 |
Interest credited to contract holders | 12 | 10 |
Deferred income tax expense | 0 | 8 |
Changes in: | ||
Investment income receivable | 0 | 5 |
Premiums and reinsurance receivable | -22 | -50 |
Deferred policy acquisition costs | 2 | -5 |
Other assets | 4 | -5 |
Loss and loss expense reserves | 138 | 64 |
Life policy reserves | 20 | 49 |
Unearned premiums | 27 | 59 |
Other liabilities | -100 | -102 |
Current income tax receivable/payable | 32 | 8 |
Net cash provided by operating activities | 215 | 129 |
Cash Flows From Investing Activities | ||
Sale of fixed maturities | 13 | 24 |
Call or maturity of fixed maturities | 267 | 252 |
Sale of equity securities | 67 | 31 |
Purchase of fixed maturities | -348 | -236 |
Purchase of equity securities | -67 | -33 |
Purchase of short-term investments | -25 | 0 |
Investment in finance receivables | -3 | -4 |
Collection of finance receivables | 8 | 7 |
Investment in buildings and equipment, net | -1 | -3 |
Change in other invested assets, net | 1 | 1 |
Net cash (used in) provided by investing activities | -88 | 39 |
Cash Flows From Financing Activities | ||
Payment of cash dividends to shareholders | -71 | -67 |
Purchase of treasury shares | 0 | -7 |
Proceeds from stock options exercised | 7 | 8 |
Contract holders' funds deposited | 20 | 20 |
Contract holders' funds withdrawn | -33 | -32 |
Excess tax benefits on stock-based compensation | 3 | 0 |
Other | -4 | -2 |
Net cash used in financing activities | -78 | -80 |
Net change in cash and cash equivalents | 49 | 88 |
Cash and cash equivalents at beginning of year | 591 | 433 |
Cash and cash equivalents at end of period | 640 | 521 |
Supplemental Disclosures of Cash Flow Information: | ||
Income taxes paid | 11 | 11 |
Noncash Activities: | ||
Equipment acquired under capital lease obligations | 3 | 5 |
Cashless exercise of stock options | $5 | $4 |
Accounting_Policies
Accounting Policies | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Accounting Policies | Accounting Policies |
The condensed consolidated financial statements include the accounts of Cincinnati Financial Corporation and its consolidated subsidiaries, each of which is wholly owned. These statements are presented in conformity with accounting principles generally accepted in the United States of America (GAAP). All intercompany balances and transactions have been eliminated in consolidation. | |
The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect amounts reported in the financial statements and accompanying notes. Our actual results could differ from those estimates. Our December 31, 2014, condensed consolidated balance sheet amounts are derived from the audited financial statements but do not include all disclosures required by GAAP. | |
Our March 31, 2015, condensed consolidated financial statements are unaudited. Certain financial information that is included in annual financial statements prepared in accordance with GAAP is not required for interim reporting and has been condensed or omitted. We believe that we have made all adjustments, consisting only of normal recurring accruals, that are necessary for fair presentation. These condensed consolidated financial statements should be read in conjunction with our consolidated financial statements included in our 2014 Annual Report on Form 10-K. The results of operations for interim periods do not necessarily indicate results to be expected for the full year. | |
Pending Accounting Updates | |
ASU 2014-09 Revenue from Contracts with Customers | |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers. ASU 2014-09 requires an entity to 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 those goods and services. Insurance contracts do not fall within the scope of this ASU. The effective date of ASU 2014-09 is for annual reporting periods beginning after December 15, 2017. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. | |
ASU 2014-12, Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period | |
In June 2014, the FASB issued ASU 2014-12, Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period. ASU 2014-12 requires that performance targets that affect vesting and that could be achieved after the requisite service period be treated as performance conditions. The effective date of ASU 2014-12 is for interim and annual reporting periods beginning after December 15, 2015. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. | |
ASU 2015-02, Consolidation-Amendments to the Consolidation Analysis | |
In February 2015, the FASB Issued ASU 2015-02, Consolidation-Amendments to the Consolidation Analysis. ASU 2015-02 makes amendments to the current consolidation guidance, focusing mainly on the investment management industry; however, entities across all industries may be impacted. The effective date of ASU 2015-02 is for interim and annual reporting periods beginning after December 15, 2015. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. | |
ASU 2015-03, Interest-Imputation of Interest | |
In April 2015, the FASB Issued ASU 2015-03, Interest-Imputation of Interest. ASU 2015-03 reduces the complexity of disclosing debt issuance costs and debt discount and premium on the balance sheet by requiring that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The effective date of ASU 2015-03 is for interim and annual reporting periods beginning after December 15, 2015. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. |
Investments
Investments | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Investments [Abstract] | |||||||||||||||||||||||||
Investments | Investments | ||||||||||||||||||||||||
The following table provides cost or amortized cost, gross unrealized gains, gross unrealized losses and fair value for our investment portfolio: | |||||||||||||||||||||||||
(Dollars in millions) | Cost or amortized cost | ||||||||||||||||||||||||
Gross unrealized | Fair value | ||||||||||||||||||||||||
At March 31, 2015 | gains | losses | |||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 5,152 | $ | 449 | $ | 8 | $ | 5,593 | |||||||||||||||||
States, municipalities and political subdivisions | 3,289 | 183 | 2 | 3,470 | |||||||||||||||||||||
Commercial mortgage-backed | 269 | 16 | — | 285 | |||||||||||||||||||||
Government-sponsored enterprises | 227 | — | 3 | 224 | |||||||||||||||||||||
Foreign government | 10 | — | — | 10 | |||||||||||||||||||||
Convertibles and bonds with warrants attached | 7 | — | — | 7 | |||||||||||||||||||||
United States government | 7 | — | — | 7 | |||||||||||||||||||||
Subtotal | 8,961 | 648 | 13 | 9,596 | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 2,595 | 2,014 | 11 | 4,598 | |||||||||||||||||||||
Nonredeemable preferred equities | 153 | 38 | — | 191 | |||||||||||||||||||||
Subtotal | 2,748 | 2,052 | 11 | 4,789 | |||||||||||||||||||||
Total | $ | 11,709 | $ | 2,700 | $ | 24 | $ | 14,385 | |||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 5,117 | $ | 420 | $ | 11 | $ | 5,526 | |||||||||||||||||
States, municipalities and political subdivisions | 3,267 | 178 | 2 | 3,443 | |||||||||||||||||||||
Commercial mortgage-backed | 250 | 9 | — | 259 | |||||||||||||||||||||
Government-sponsored enterprises | 213 | — | 5 | 208 | |||||||||||||||||||||
Foreign government | 10 | — | — | 10 | |||||||||||||||||||||
Convertibles and bonds with warrants attached | 7 | — | — | 7 | |||||||||||||||||||||
United States government | 7 | — | — | 7 | |||||||||||||||||||||
Subtotal | 8,871 | 607 | 18 | 9,460 | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 2,583 | 2,099 | 3 | 4,679 | |||||||||||||||||||||
Nonredeemable preferred equities | 145 | 35 | 1 | 179 | |||||||||||||||||||||
Subtotal | 2,728 | 2,134 | 4 | 4,858 | |||||||||||||||||||||
Total | $ | 11,599 | $ | 2,741 | $ | 22 | $ | 14,318 | |||||||||||||||||
The net unrealized investment gains in our fixed-maturity portfolio are primarily the result of the continued low interest rate environment that increased the fair value of our fixed-maturity portfolio. At March 31, 2015, we had $25 million of short-term investments, which consisted of commercial paper, that had no gross unrealized gains or losses. At December 31, 2014, we held no short-term investments. The seven largest unrealized investment gains in our common stock portfolio are from Exxon Mobil Corporation (NYSE:XOM), Honeywell International Incorporated (NYSE:HON), BlackRock Inc. (NYSE:BLK), Apple Inc. (Nasdaq:AAPL), The Procter & Gamble Company (NYSE:PG), RPM International (NYSE:RPM), and 3M Company (NYSE:MMM), which had a combined gross unrealized gain of $605 million. At March 31, 2015, Apple Inc. was our largest single common stock holding with a fair value of 3.8 percent of our publicly traded common stock portfolio and 1.2 percent of the total investment portfolio. | |||||||||||||||||||||||||
The table below provides fair values and gross unrealized losses by investment category and by the duration of the securities’ continuous unrealized loss positions: | |||||||||||||||||||||||||
(Dollars in millions) | Less than 12 months | 12 months or more | Total | ||||||||||||||||||||||
Fair value | Unrealized losses | Fair value | Unrealized losses | Fair value | Unrealized losses | ||||||||||||||||||||
At March 31, 2015 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 211 | $ | 6 | $ | 64 | $ | 2 | $ | 275 | $ | 8 | |||||||||||||
States, municipalities and political subdivisions | 115 | 2 | 58 | — | 173 | 2 | |||||||||||||||||||
Commercial mortgage-backed | 2 | — | 2 | — | 4 | — | |||||||||||||||||||
Government-sponsored enterprises | 18 | — | 156 | 3 | 174 | 3 | |||||||||||||||||||
Subtotal | 346 | 8 | 280 | 5 | 626 | 13 | |||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 168 | 11 | — | — | 168 | 11 | |||||||||||||||||||
Nonredeemable preferred equities | 5 | — | 15 | — | 20 | — | |||||||||||||||||||
Subtotal | 173 | 11 | 15 | — | 188 | 11 | |||||||||||||||||||
Total | $ | 519 | $ | 19 | $ | 295 | $ | 5 | $ | 814 | $ | 24 | |||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 261 | $ | 8 | $ | 90 | $ | 3 | $ | 351 | $ | 11 | |||||||||||||
States, municipalities and political subdivisions | 17 | — | 135 | 2 | 152 | 2 | |||||||||||||||||||
Commercial mortgage-backed | 3 | — | 23 | — | 26 | — | |||||||||||||||||||
Government-sponsored enterprises | 11 | — | 181 | 5 | 192 | 5 | |||||||||||||||||||
Subtotal | 292 | 8 | 429 | 10 | 721 | 18 | |||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 85 | 3 | — | — | 85 | 3 | |||||||||||||||||||
Nonredeemable preferred equities | 16 | — | 17 | 1 | 33 | 1 | |||||||||||||||||||
Subtotal | 101 | 3 | 17 | 1 | 118 | 4 | |||||||||||||||||||
Total | $ | 393 | $ | 11 | $ | 446 | $ | 11 | $ | 839 | $ | 22 | |||||||||||||
The following table provides investment income, realized investment gains and losses, the change in unrealized investment gains and losses, and other items: | |||||||||||||||||||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Investment income: | |||||||||||||||||||||||||
Interest | $ | 105 | $ | 104 | |||||||||||||||||||||
Dividends | 36 | 32 | |||||||||||||||||||||||
Other | — | 1 | |||||||||||||||||||||||
Total | 141 | 137 | |||||||||||||||||||||||
Less investment expenses | 2 | 2 | |||||||||||||||||||||||
Total | $ | 139 | $ | 135 | |||||||||||||||||||||
Realized investment gains and losses summary: | |||||||||||||||||||||||||
Fixed maturities: | |||||||||||||||||||||||||
Gross realized gains | $ | 3 | $ | 2 | |||||||||||||||||||||
Gross realized losses | — | (1 | ) | ||||||||||||||||||||||
Other-than-temporary impairments | — | — | |||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Gross realized gains | 44 | 18 | |||||||||||||||||||||||
Gross realized losses | (1 | ) | — | ||||||||||||||||||||||
Other-than-temporary impairments | — | (1 | ) | ||||||||||||||||||||||
Other | 1 | 4 | |||||||||||||||||||||||
Total | $ | 47 | $ | 22 | |||||||||||||||||||||
Change in unrealized investment gains and losses: | |||||||||||||||||||||||||
Fixed maturities | $ | 46 | $ | 88 | |||||||||||||||||||||
Equity securities | (89 | ) | 29 | ||||||||||||||||||||||
Less income taxes | 15 | (41 | ) | ||||||||||||||||||||||
Total | $ | (28 | ) | $ | 76 | ||||||||||||||||||||
During the three months ended March 31, 2015, there were no equity securities and no fixed-maturity securities other-than-temporarily impaired. There were no credit losses on fixed-maturity securities for which a portion of other-than-temporary impairment (OTTI) has been recognized in other comprehensive income for the three months ended March 31, 2015 and 2014. At March 31, 2015, 70 fixed-maturity investments with a total unrealized loss of | |||||||||||||||||||||||||
$5 million had been in an unrealized loss position for 12 months or more. Of that total, no fixed-maturity investments had fair values below 70 percent of amortized cost. Two equity investments with a total unrealized loss of less than $1 million had been in an unrealized loss position for 12 months or more as of March 31, 2015. Of that total, no equity investments were trading below 70 percent of cost. | |||||||||||||||||||||||||
During 2014, we other-than-temporarily impaired six fixed-maturity securities. At December 31, 2014, 144 fixed-maturity investments with a total unrealized loss of $10 million had been in an unrealized loss position for 12 months or more. Of that total, no fixed-maturity investments had fair values below 70 percent of amortized cost. There were three equity security investments in an unrealized loss position for 12 months or more with a total unrealized loss of $1 million as of December 31, 2014. Of that total, no equity security investments had fair values below 70 percent of cost. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||||||||||||
Fair Value Hierarchy | ||||||||||||||||||||||
In accordance with accounting guidance for fair value measurements and disclosures, we categorized our financial instruments, based on the priority of the observable and market-based data for the valuation technique used, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices with readily available independent data in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable market inputs (Level 3). When various inputs for measurement fall within different levels of the fair value hierarchy, the lowest observable input that has a significant impact on fair value measurement is used. Our valuation techniques have not changed from those used at December 31, 2014, and ultimately management determines fair value. See our 2014 Annual Report on Form 10-K, Item 8, Note 3, Fair Value Measurements, Page 137, for information on characteristics and valuation techniques used in determining fair value. | ||||||||||||||||||||||
Fair Value Disclosures for Assets | ||||||||||||||||||||||
The following tables illustrate the fair value hierarchy for those assets measured at fair value on a recurring basis at March 31, 2015, and December 31, 2014. We do not have any material liabilities carried at fair value. There were no transfers between Level 1 and Level 2. | ||||||||||||||||||||||
(In millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Fixed maturities, available for sale: | ||||||||||||||||||||||
Corporate | $ | — | $ | 5,575 | $ | 18 | $ | 5,593 | ||||||||||||||
States, municipalities and political subdivisions | — | 3,469 | 1 | 3,470 | ||||||||||||||||||
Commercial mortgage-backed | — | 285 | — | 285 | ||||||||||||||||||
Government-sponsored enterprises | — | 224 | — | 224 | ||||||||||||||||||
Foreign government | — | 10 | — | 10 | ||||||||||||||||||
Convertibles and bonds with warrants attached | — | 7 | — | 7 | ||||||||||||||||||
United States government | 7 | — | — | 7 | ||||||||||||||||||
Subtotal | 7 | 9,570 | 19 | 9,596 | ||||||||||||||||||
Common equities, available for sale | 4,598 | — | — | 4,598 | ||||||||||||||||||
Nonredeemable preferred equities, available for sale | — | 189 | 2 | 191 | ||||||||||||||||||
Short-term investments | — | 25 | — | 25 | ||||||||||||||||||
Separate accounts taxable fixed maturities | — | 725 | — | 725 | ||||||||||||||||||
Top Hat savings plan mutual funds and common | 19 | — | — | 19 | ||||||||||||||||||
equity (included in Other assets) | ||||||||||||||||||||||
Total | $ | 4,624 | $ | 10,509 | $ | 21 | $ | 15,154 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Fixed maturities, available for sale: | ||||||||||||||||||||||
Corporate | $ | — | $ | 5,508 | $ | 18 | $ | 5,526 | ||||||||||||||
States, municipalities and political subdivisions | — | 3,443 | — | 3,443 | ||||||||||||||||||
Commercial mortgage-backed | — | 259 | — | 259 | ||||||||||||||||||
Government-sponsored enterprises | — | 208 | — | 208 | ||||||||||||||||||
Foreign government | — | 10 | — | 10 | ||||||||||||||||||
Convertibles and bonds with warrants attached | — | 7 | — | 7 | ||||||||||||||||||
United States government | 7 | — | — | 7 | ||||||||||||||||||
Subtotal | 7 | 9,435 | 18 | 9,460 | ||||||||||||||||||
Common equities, available for sale | 4,679 | — | — | 4,679 | ||||||||||||||||||
Nonredeemable preferred equities, available for sale | — | 177 | 2 | 179 | ||||||||||||||||||
Separate accounts taxable fixed-maturities | — | 731 | — | 731 | ||||||||||||||||||
Top Hat savings plan mutual funds and common | 18 | — | — | 18 | ||||||||||||||||||
equity (included in Other assets) | ||||||||||||||||||||||
Total | $ | 4,704 | $ | 10,343 | $ | 20 | $ | 15,067 | ||||||||||||||
Each financial instrument that was deemed to have significant unobservable inputs when determining valuation is identified in the following tables by security type with a summary of changes in fair value as of March 31, 2015. Total Level 3 assets continue to be less than 1 percent of financial assets measured at fair value in the condensed consolidated balance sheets. Assets presented in the table below were valued based primarily on broker/dealer quotes for which there is a lack of transparency as to inputs used to develop the valuations. The quantitative detail of these unobservable inputs is neither provided nor reasonably available to us. | ||||||||||||||||||||||
The following tables provide the change in Level 3 assets for the three months ended March 31: | ||||||||||||||||||||||
(Dollars in millions) | Asset fair value measurements using significant unobservable inputs (Level 3) | |||||||||||||||||||||
Corporate | Commercial | States, | Nonredeemable preferred | Total | ||||||||||||||||||
fixed | mortgage- | municipalities | equities | |||||||||||||||||||
maturities | backed fixed maturities | and political | ||||||||||||||||||||
subdivisions | ||||||||||||||||||||||
fixed maturities | ||||||||||||||||||||||
Beginning balance, January 1, 2015 | $ | 18 | $ | — | $ | — | $ | 2 | $ | 20 | ||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||||||||
Included in net income | — | — | — | — | — | |||||||||||||||||
Included in other comprehensive income | — | — | — | — | — | |||||||||||||||||
Purchases | — | — | — | — | — | |||||||||||||||||
Sales | — | — | — | — | — | |||||||||||||||||
Transfers into Level 3 | — | — | 1 | — | 1 | |||||||||||||||||
Transfers out of Level 3 | — | — | — | — | — | |||||||||||||||||
Ending balance, March 31, 2015 | $ | 18 | $ | — | $ | 1 | $ | 2 | $ | 21 | ||||||||||||
Beginning balance, January 1, 2014 | $ | 2 | $ | — | $ | — | $ | 2 | $ | 4 | ||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||||||||
Included in net income | — | — | — | — | — | |||||||||||||||||
Included in other comprehensive income | — | — | — | — | — | |||||||||||||||||
Purchases | — | — | — | — | — | |||||||||||||||||
Sales | — | — | — | — | — | |||||||||||||||||
Transfers into Level 3 | 6 | 5 | — | — | 11 | |||||||||||||||||
Transfers out of Level 3 | — | — | — | — | — | |||||||||||||||||
Ending balance, March 31, 2014 | $ | 8 | $ | 5 | $ | — | $ | 2 | $ | 15 | ||||||||||||
Additional disclosures for the Level 3 category are not material. | ||||||||||||||||||||||
Fair Value Disclosures for Assets and Liabilities Not Carried at Fair Value | ||||||||||||||||||||||
The disclosures below are presented to provide timely information about the effects of current market conditions on financial instruments that are not reported at fair value in our condensed consolidated financial statements. | ||||||||||||||||||||||
This table summarizes the book value and principal amounts of our long-term debt: | ||||||||||||||||||||||
(Dollars in millions) | Book value | Principal amount | ||||||||||||||||||||
March 31, | December 31, | March 31, | December 31, | |||||||||||||||||||
Interest rate | Year of issue | 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
6.9 | % | 1998 | Senior debentures, due 2028 | $ | 28 | $ | 28 | $ | 28 | $ | 28 | |||||||||||
6.92 | % | 2005 | Senior debentures, due 2028 | 391 | 391 | 391 | 391 | |||||||||||||||
6.125 | % | 2004 | Senior notes, due 2034 | 372 | 372 | 374 | 374 | |||||||||||||||
Total | $ | 791 | $ | 791 | $ | 793 | $ | 793 | ||||||||||||||
The following table shows fair values of our note payable and long-term debt: | ||||||||||||||||||||||
(Dollars in millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Note payable | $ | — | $ | 49 | $ | — | $ | 49 | ||||||||||||||
6.900% senior debentures, due 2028 | — | 35 | — | 35 | ||||||||||||||||||
6.920% senior debentures, due 2028 | — | 508 | — | 508 | ||||||||||||||||||
6.125% senior notes, due 2034 | — | 459 | — | 459 | ||||||||||||||||||
Total | $ | — | $ | 1,051 | $ | — | $ | 1,051 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Note payable | $ | — | $ | 49 | $ | — | $ | 49 | ||||||||||||||
6.900% senior debentures, due 2028 | — | 34 | — | 34 | ||||||||||||||||||
6.920% senior debentures, due 2028 | — | 496 | — | 496 | ||||||||||||||||||
6.125% senior notes, due 2034 | — | 449 | — | 449 | ||||||||||||||||||
Total | $ | — | $ | 1,028 | $ | — | $ | 1,028 | ||||||||||||||
The following table shows the fair value of our life policy loans, included in other invested assets: | ||||||||||||||||||||||
(Dollars in millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Life policy loans | $ | — | $ | — | $ | 39 | $ | 39 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Life policy loans | $ | — | $ | — | $ | 39 | $ | 39 | ||||||||||||||
Outstanding principal and interest for these life policy loans was $30 million and $31 million at March 31, 2015, and December 31, 2014, respectively. | ||||||||||||||||||||||
The following table shows fair values of our deferred annuities and structured settlements, included in life policy and investment contract reserves: | ||||||||||||||||||||||
(Dollars in millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Deferred annuities | $ | — | $ | — | $ | 909 | $ | 909 | ||||||||||||||
Structured settlements | — | 225 | — | 225 | ||||||||||||||||||
Total | $ | — | $ | 225 | $ | 909 | $ | 1,134 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Deferred annuities | $ | — | $ | — | $ | 897 | $ | 897 | ||||||||||||||
Structured settlements | — | 217 | — | 217 | ||||||||||||||||||
Total | $ | — | $ | 217 | $ | 897 | $ | 1,114 | ||||||||||||||
Recorded reserves for the deferred annuities were $863 million at March 31, 2015, and December 31, 2014. Recorded reserves for the structured settlements were $181 million and $182 million at March 31, 2015, and December 31, 2014, respectively. |
Property_Casualty_Loss_and_Los
Property Casualty Loss and Loss Expenses | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Premiums Written, Net [Abstract] | |||||||||
Property Casualty Loss And Loss Expenses | Property Casualty Loss and Loss Expenses | ||||||||
This table summarizes activity for our consolidated property casualty loss and loss expense reserves: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Gross loss and loss expense reserves, beginning of period | $ | 4,438 | $ | 4,241 | |||||
Less reinsurance recoverable | 282 | 299 | |||||||
Net loss and loss expense reserves, beginning of period | 4,156 | 3,942 | |||||||
Net incurred loss and loss expenses related to: | |||||||||
Current accident year | 711 | 705 | |||||||
Prior accident years | (22 | ) | (29 | ) | |||||
Total incurred | 689 | 676 | |||||||
Net paid loss and loss expenses related to: | |||||||||
Current accident year | 147 | 197 | |||||||
Prior accident years | 399 | 387 | |||||||
Total paid | 546 | 584 | |||||||
Net loss and loss expense reserves, end of period | 4,299 | 4,034 | |||||||
Plus reinsurance recoverable | 278 | 289 | |||||||
Gross loss and loss expense reserves, end of period | $ | 4,577 | $ | 4,323 | |||||
We use actuarial methods, models and judgment to estimate, as of a financial statement date, the property casualty loss and loss expense reserves required to pay for and settle all outstanding insured claims, including incurred but not reported (IBNR) claims, as of that date. The actuarial estimate is subject to review and adjustment by an | |||||||||
inter-departmental committee that includes actuarial management that is familiar with relevant company and industry business, claims and underwriting trends, as well as general economic and legal trends that could affect future loss and loss expense payments. The amount we will actually have to pay for claims can be highly uncertain. This uncertainty, together with the size of our reserves, makes the loss and loss expense reserves our most significant estimate. The reserve for loss and loss expenses in the condensed consolidated balance sheets also included $46 million at March 31, 2015, and $52 million at March 31, 2014, for certain life and health loss and loss expense reserves. | |||||||||
For the three months ended March 31, 2015, we experienced $22 million of favorable development on prior accident years, including $14 million of favorable development in commercial lines, $3 million of favorable development in personal lines and $5 million of favorable development in excess and surplus lines. This included | |||||||||
$11 million from favorable development of catastrophe losses for the three months ended March 31, 2015. We recognized favorable reserve development during the three months ended March 31, 2015, of $15 million for the workers' compensation line, $11 million for the commercial property line and $7 million for the homeowner line due to reduced uncertainty of prior accident year loss and loss adjustment expense for these lines. Our commercial auto line developed unfavorably by $11 million for the three months ended March 31, 2015, due to higher loss cost effects in recent accident years, resulting in an increase of our reserve estimate for claims that have not yet been settled. | |||||||||
For the three months ended March 31, 2014, we experienced $29 million of favorable development on prior accident years, including $3 million of favorable development in commercial lines, $17 million of favorable development in personal lines and $9 million of favorable development in excess and surplus lines. This included | |||||||||
$9 million from favorable development of catastrophe losses for the three months ended March 31, 2014. |
Life_Policy_and_Investment_Con
Life Policy and Investment Contract Reserves | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Liability for Future Policy Benefits [Abstract] | |||||||||
Life Policy And Investment Contract Reserves | Life Policy and Investment Contract Reserves | ||||||||
We establish the reserves for traditional life insurance policies based on expected expenses, mortality, morbidity, withdrawal rates, timing of claim presentation and investment yields, including a provision for uncertainty. Once these assumptions are established, they generally are maintained throughout the lives of the contracts. We use both our own experience and industry experience, adjusted for historical trends, in arriving at our assumptions for expected mortality, morbidity and withdrawal rates as well as for expected expenses. We base our assumptions for expected investment income on our own experience adjusted for current economic conditions. | |||||||||
We establish reserves for the company’s universal life, deferred annuity and structured settlement policies equal to the cumulative account balances, which include premium deposits plus credited interest less charges and withdrawals. Some of our universal life policies contain no-lapse guarantee provisions. For these policies, we establish a reserve in addition to the account balance, based on expected no-lapse guarantee benefits and expected policy assessments. | |||||||||
This table summarizes our life policy and investment contract reserves: | |||||||||
(Dollars in millions) | March 31, | December 31, 2014 | |||||||
2015 | |||||||||
Ordinary/traditional life | $ | 891 | $ | 875 | |||||
Deferred annuities | 863 | 863 | |||||||
Universal life | 533 | 530 | |||||||
Structured settlements | 181 | 182 | |||||||
Other | 46 | 47 | |||||||
Total life policy and investment contract reserves | $ | 2,514 | $ | 2,497 | |||||
Deferred_Acquisition_Costs
Deferred Acquisition Costs | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Deferred Costs [Abstract] | ||||||||
Deferred Acquisition Costs | Deferred Policy Acquisition Costs | |||||||
Expenses directly related to successfully acquired insurance policies – primarily commissions, premium taxes and underwriting costs – are deferred and amortized over the terms of the policies. We update our acquisition cost assumptions periodically to reflect actual experience, and we evaluate the costs for recoverability. The table below shows the deferred policy acquisition costs and asset reconciliation. | ||||||||
(Dollars in millions) | Three months ended March 31, | |||||||
2015 | 2014 | |||||||
Deferred policy acquisition costs asset, beginning of period | $ | 578 | $ | 565 | ||||
Capitalized deferred policy acquisition costs | 207 | 206 | ||||||
Amortized deferred policy acquisition costs | (209 | ) | (201 | ) | ||||
Amortized shadow deferred policy acquisition costs | (5 | ) | (6 | ) | ||||
Deferred policy acquisition costs asset, end of period | $ | 571 | $ | 564 | ||||
No premium deficiencies were recorded in the condensed consolidated statements of income, as the sum of the anticipated loss and loss adjustment expenses, policyholder dividends and unamortized deferred acquisition expenses did not exceed the related unearned premiums and anticipated investment income. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | |||||||||||||||||||||||||
Comprehensive Income (Loss) Note | Accumulated Other Comprehensive Income | ||||||||||||||||||||||||
Accumulated other comprehensive income (AOCI) includes changes in unrealized gains and losses on investments, changes in pension obligations and changes in life deferred acquisition costs, life policy reserves and other as follows: | |||||||||||||||||||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Before tax | Income tax | Net | Before tax | Income tax | Net | ||||||||||||||||||||
Investments: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | 2,719 | $ | 942 | $ | 1,777 | $ | 2,335 | $ | 808 | $ | 1,527 | |||||||||||||
OCI excluding realized gains recognized in net income | 3 | 1 | 2 | 135 | 48 | 87 | |||||||||||||||||||
Realized gains recognized in net income | (46 | ) | (16 | ) | (30 | ) | (18 | ) | (7 | ) | (11 | ) | |||||||||||||
OCI | (43 | ) | (15 | ) | (28 | ) | 117 | 41 | 76 | ||||||||||||||||
AOCI, end of period | $ | 2,676 | $ | 927 | $ | 1,749 | $ | 2,452 | $ | 849 | $ | 1,603 | |||||||||||||
Pension obligations: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | (36 | ) | $ | (12 | ) | $ | (24 | ) | $ | (18 | ) | $ | (6 | ) | $ | (12 | ) | |||||||
OCI excluding amortization recognized in net income | — | — | — | (2 | ) | — | (2 | ) | |||||||||||||||||
Amortization recognized in net income | 1 | — | 1 | 1 | — | 1 | |||||||||||||||||||
OCI | 1 | — | 1 | (1 | ) | — | (1 | ) | |||||||||||||||||
AOCI, end of period | $ | (35 | ) | $ | (12 | ) | $ | (23 | ) | $ | (19 | ) | $ | (6 | ) | $ | (13 | ) | |||||||
Life deferred acquisition costs, life policy reserves and other: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | (12 | ) | $ | (3 | ) | $ | (9 | ) | $ | (16 | ) | $ | (5 | ) | $ | (11 | ) | |||||||
OCI excluding realized gains recognized in net income | (1 | ) | (1 | ) | — | 3 | 1 | 2 | |||||||||||||||||
Realized gains recognized in net income | (1 | ) | — | (1 | ) | (4 | ) | (1 | ) | (3 | ) | ||||||||||||||
OCI | (2 | ) | (1 | ) | (1 | ) | (1 | ) | — | (1 | ) | ||||||||||||||
AOCI, end of period | $ | (14 | ) | $ | (4 | ) | $ | (10 | ) | $ | (17 | ) | $ | (5 | ) | $ | (12 | ) | |||||||
Summary of AOCI: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | 2,671 | $ | 927 | $ | 1,744 | $ | 2,301 | $ | 797 | $ | 1,504 | |||||||||||||
Investments OCI | (43 | ) | (15 | ) | (28 | ) | 117 | 41 | 76 | ||||||||||||||||
Pension obligations OCI | 1 | — | 1 | (1 | ) | — | (1 | ) | |||||||||||||||||
Life deferred acquisition costs, life policy reserves and other OCI | (2 | ) | (1 | ) | (1 | ) | (1 | ) | — | (1 | ) | ||||||||||||||
Total OCI | (44 | ) | (16 | ) | (28 | ) | 115 | 41 | 74 | ||||||||||||||||
AOCI, end of period | $ | 2,627 | $ | 911 | $ | 1,716 | $ | 2,416 | $ | 838 | $ | 1,578 | |||||||||||||
Investments realized gains and life deferred acquisition costs, life policy reserves and other realized gains are recorded in the realized investment gains, net, line item in the condensed consolidated statements of income. Amortization on pension obligations is recorded in the insurance losses and policyholder benefits and underwriting, acquisition and insurance expenses in the condensed consolidated statements of income. |
Reinsurance
Reinsurance | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Reinsurance Disclosures [Abstract] | |||||||||
Reinsurance | Reinsurance | ||||||||
Reinsurance mitigates the risk of highly uncertain exposures and reduces the maximum net loss that can arise from large risks or risks concentrated in areas of exposure. Management's decisions about the appropriate level of risk retention are affected by various factors, including changes in our underwriting practices, capacity to retain risks and reinsurance market conditions. | |||||||||
Primary components of our property casualty reinsurance program include a property per risk treaty, property excess treaty, casualty per occurrence treaty, casualty excess treaty, property catastrophe treaty and catastrophe bonds. | |||||||||
Our condensed consolidated statements of income include earned consolidated property casualty insurance premiums on assumed and ceded business: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct earned premiums | $ | 1,076 | $ | 1,019 | |||||
Assumed earned premiums | 2 | 3 | |||||||
Ceded earned premiums | (37 | ) | (43 | ) | |||||
Earned premiums | $ | 1,041 | $ | 979 | |||||
Our condensed consolidated statements of income include incurred consolidated property casualty insurance loss and loss expenses on assumed and ceded business: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct incurred loss and loss expenses | $ | 691 | $ | 677 | |||||
Assumed incurred loss and loss expenses | (1 | ) | 2 | ||||||
Ceded incurred loss and loss expenses | (1 | ) | (3 | ) | |||||
Incurred loss and loss expenses | $ | 689 | $ | 676 | |||||
Our ceded incurred results generally vary with our catastrophe experience. | |||||||||
Our life insurance company purchases reinsurance for protection of a portion of the risk that is written. Primary components of our life reinsurance program include individual mortality coverage and aggregate catastrophe and accidental death coverage in excess of certain deductibles. | |||||||||
Our condensed consolidated statements of income include earned life insurance premiums on ceded business: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct earned premiums | $ | 65 | $ | 62 | |||||
Ceded earned premiums | (12 | ) | (14 | ) | |||||
Earned premiums | $ | 53 | $ | 48 | |||||
Our condensed consolidated statements of income include life insurance contract holders' benefits incurred on ceded business: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct contract holders' benefits incurred | $ | 72 | $ | 80 | |||||
Ceded contract holders' benefits incurred | (12 | ) | (24 | ) | |||||
Contract holders' benefits incurred | $ | 60 | $ | 56 | |||||
The ceded benefits incurred can vary depending on the type of life insurance policy held and the year the policy was sold. |
Income_Taxes
Income Taxes | 3 Months Ended | ||||||||||||||
Mar. 31, 2015 | |||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||
Income Taxes | Income Taxes | ||||||||||||||
As of March 31, 2015, and December 31, 2014, we had no liability for unrecognized tax benefits. | |||||||||||||||
The differences between the 35 percent statutory federal income tax rate and our effective income tax rate were as follows: | |||||||||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||||||||
2015 | 2014 | ||||||||||||||
Tax at statutory rate: | $ | 61 | 35 | % | $ | 42 | 35 | % | |||||||
Increase (decrease) resulting from: | |||||||||||||||
Tax-exempt income from municipal bonds | (8 | ) | (4.6 | ) | (8 | ) | (6.7 | ) | |||||||
Dividend received exclusion | (8 | ) | (4.6 | ) | (7 | ) | (5.9 | ) | |||||||
Other | 1 | 0.6 | 1 | 1.1 | |||||||||||
Provision for income taxes | $ | 46 | 26.4 | % | $ | 28 | 23.5 | % | |||||||
The provision for federal income taxes is based upon filing a consolidated income tax return for the company and its subsidiaries. As of March 31, 2015, we had no operating or capital loss carry forwards. |
Net_Income_Per_Common_Share
Net Income Per Common Share | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
Net Income Per Common Share | Basic earnings per share are computed based on the weighted average number of common shares outstanding. Diluted earnings per share are computed based on the weighted average number of common and dilutive potential common shares outstanding using the treasury stock method. The table shows calculations for basic and diluted earnings per share: | ||||||||
(In millions except per share data) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Numerator: | |||||||||
Net income—basic and diluted | $ | 128 | $ | 91 | |||||
Denominator: | |||||||||
Basic weighted-average common shares outstanding | 164 | 163.4 | |||||||
Effect of stock-based awards: | |||||||||
Stock options | 1 | 1 | |||||||
Nonvested shares | 0.6 | 0.6 | |||||||
Diluted weighted-average shares | 165.6 | 165 | |||||||
Earnings per share: | |||||||||
Basic | $ | 0.78 | $ | 0.56 | |||||
Diluted | 0.77 | 0.55 | |||||||
Number of anti-dilutive share-based awards | 0.7 | 0.7 | |||||||
The sources of dilution of our common shares are certain equity-based awards. See our 2014 Annual Report on Form 10-K, Item 8, Note 17, Share-Based Associate Compensation Plans, Page 154, for information about | |||||||||
equity-based awards. The above table shows the number of anti-dilutive share-based awards for the | |||||||||
three months ended March 31, 2015 and 2014. We did not include these share-based awards in the computation of net income per common share (diluted) because their exercise would have anti-dilutive effects. |
Employee_Retirement_Benefits
Employee Retirement Benefits | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||
Employee Retirement Benefits | Employee Retirement Benefits | ||||||||
The following summarizes the components of net periodic benefit cost for our qualified and supplemental pension plans: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Service cost | $ | 3 | $ | 2 | |||||
Interest cost | 3 | 4 | |||||||
Expected return on plan assets | (4 | ) | (4 | ) | |||||
Amortization of actuarial loss and prior service cost | 1 | 1 | |||||||
Net periodic benefit cost | $ | 3 | $ | 3 | |||||
See our 2014 Annual Report on Form 10-K, Item 8, Note 13, Employee Retirement Benefits, Page 148, for information on our retirement benefits. We made matching contributions totaling $4 million to our 401(k) and Top Hat savings plans during both the first quarters of 2015 and 2014. | |||||||||
We contributed $5 million to our qualified pension plan during the first quarter of 2015. We do not anticipate further contributions to our qualified pension plan during the remainder of 2015. |
Commitments_and_Contingent_Lia
Commitments and Contingent Liabilities | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingent Liabilities | Commitments and Contingent Liabilities |
In the ordinary course of conducting business, the company and its subsidiaries are named as defendants in various legal proceedings. Most of these proceedings are claims litigation involving the company's insurance subsidiaries in which the company is either defending or providing indemnity for third-party claims brought against insureds or litigating first-party coverage claims. The company accounts for such activity through the establishment of unpaid loss and loss expense reserves. We believe that the ultimate liability, if any, with respect to such ordinary-course claims litigation, after consideration of provisions made for potential losses and costs of defense, is immaterial to our consolidated financial condition, results of operations and cash flows. | |
The company and its subsidiaries also are occasionally involved in other legal and regulatory proceedings, some of which assert claims for substantial amounts. These actions include, among others, putative class actions seeking certification of a state or national class. Such proceedings have alleged, for example, breach of an alleged duty to search national databases to ascertain unreported deaths of insureds under life insurance policies. The company's insurance subsidiaries also are occasionally parties to individual actions in which extra-contractual damages, punitive damages or penalties are sought, such as claims alleging bad faith handling of insurance claims or writing unauthorized coverage or claims alleging discrimination by former or current associates. | |
On a quarterly basis, we review these outstanding matters. Under current accounting guidance, we establish accruals when it is probable that a loss has been incurred and we can reasonably estimate its potential exposure. The company accounts for such probable and estimable losses, if any, through the establishment of legal expense reserves. Based on our quarterly review, we believe that our accruals for probable and estimable losses are reasonable and that the amounts accrued do not have a material effect on our consolidated financial condition or results of operations. However, if any one or more of these matters results in a judgment against us or settlement for an amount that is significantly greater than the amount accrued, the resulting liability could have a material effect on the company's consolidated results of operations or cash flows. Based on our most recent review, our estimate for any other matters for which the risk of loss is not probable, but more than remote, is less than $1 million. |
Segment_Information
Segment Information | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Segment Information | Segment Information | ||||||||
We operate primarily in two industries, property casualty insurance and life insurance. We regularly review our reporting segments to make decisions about allocating resources and assessing performance. Our reporting segments are: | |||||||||
• | Commercial lines insurance | ||||||||
• | Personal lines insurance | ||||||||
• | Excess and surplus lines insurance | ||||||||
• | Life insurance | ||||||||
• | Investments | ||||||||
We report as Other the noninvestment operations of the parent company and its noninsurer subsidiary, CFC Investment Company. See our 2014 Annual Report on Form 10-K, Item 8, Note 18, Segment Information, Page 157, for a description of revenue, income or loss before income taxes and identifiable assets for each of the five segments. | |||||||||
Segment information is summarized in the following table: | |||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Revenues: | |||||||||
Commercial lines insurance | |||||||||
Commercial casualty | $ | 244 | $ | 224 | |||||
Commercial property | 196 | 171 | |||||||
Commercial auto | 136 | 126 | |||||||
Workers' compensation | 93 | 92 | |||||||
Other commercial | 64 | 79 | |||||||
Commercial lines insurance premiums | 733 | 692 | |||||||
Fee revenues | 1 | 1 | |||||||
Total commercial lines insurance | 734 | 693 | |||||||
Personal lines insurance | |||||||||
Personal auto | 123 | 116 | |||||||
Homeowner | 114 | 109 | |||||||
Other personal | 31 | 29 | |||||||
Personal lines insurance premiums | 268 | 254 | |||||||
Fee revenues | 1 | — | |||||||
Total personal lines insurance | 269 | 254 | |||||||
Excess and surplus lines insurance | 40 | 33 | |||||||
Life insurance premiums | 53 | 48 | |||||||
Separate account investment management fees | 1 | 2 | |||||||
Total life insurance | 54 | 50 | |||||||
Investments | |||||||||
Investment income, net of expenses | 139 | 135 | |||||||
Realized investment gains, net | 47 | 22 | |||||||
Total investment revenue | 186 | 157 | |||||||
Other | 2 | 2 | |||||||
Total revenues | $ | 1,285 | $ | 1,189 | |||||
Income (loss) before income taxes: | |||||||||
Insurance underwriting results | |||||||||
Commercial lines insurance | $ | 26 | $ | 2 | |||||
Personal lines insurance | (3 | ) | (7 | ) | |||||
Excess and surplus lines insurance | 4 | 4 | |||||||
Life insurance | (3 | ) | — | ||||||
Investments | 165 | 136 | |||||||
Other | (15 | ) | (16 | ) | |||||
Total income before income taxes | $ | 174 | $ | 119 | |||||
Identifiable assets: | March 31, | December 31, 2014 | |||||||
2015 | |||||||||
Property casualty insurance | $ | 2,711 | $ | 2,656 | |||||
Life insurance | 1,306 | 1,316 | |||||||
Investments | 14,544 | 14,441 | |||||||
Other | 336 | 340 | |||||||
Total | $ | 18,897 | $ | 18,753 | |||||
Accounting_Policies_Pending_Ac
Accounting Policies Pending Accounting Updates (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Revenue Recognition, Policy [Policy Text Block] | ASU 2014-09 Revenue from Contracts with Customers |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers. ASU 2014-09 requires an entity to 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 those goods and services. Insurance contracts do not fall within the scope of this ASU. The effective date of ASU 2014-09 is for annual reporting periods beginning after December 15, 2017. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. | |
Compensation Related Costs, Policy [Policy Text Block] | ASU 2014-12, Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period |
In June 2014, the FASB issued ASU 2014-12, Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period. ASU 2014-12 requires that performance targets that affect vesting and that could be achieved after the requisite service period be treated as performance conditions. The effective date of ASU 2014-12 is for interim and annual reporting periods beginning after December 15, 2015. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. | |
ASU 2015-02, Consolidation-Amendments to the Consolidation Analysis | |
In February 2015, the FASB Issued ASU 2015-02, Consolidation-Amendments to the Consolidation Analysis. ASU 2015-02 makes amendments to the current consolidation guidance, focusing mainly on the investment management industry; however, entities across all industries may be impacted. The effective date of ASU 2015-02 is for interim and annual reporting periods beginning after December 15, 2015. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. | |
ASU 2015-03, Interest-Imputation of Interest | |
In April 2015, the FASB Issued ASU 2015-03, Interest-Imputation of Interest. ASU 2015-03 reduces the complexity of disclosing debt issuance costs and debt discount and premium on the balance sheet by requiring that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The effective date of ASU 2015-03 is for interim and annual reporting periods beginning after December 15, 2015. The ASU has not yet been adopted and will not have a material impact on our company’s financial position, cash flows or results of operations. |
Investments_Tables
Investments (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Investments [Abstract] | |||||||||||||||||||||||||
Analysis Of Cost Or Amortized Cost, Gross Unrealized Gains And Losses And Fair Value for Investments | The following table provides cost or amortized cost, gross unrealized gains, gross unrealized losses and fair value for our investment portfolio: | ||||||||||||||||||||||||
(Dollars in millions) | Cost or amortized cost | ||||||||||||||||||||||||
Gross unrealized | Fair value | ||||||||||||||||||||||||
At March 31, 2015 | gains | losses | |||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 5,152 | $ | 449 | $ | 8 | $ | 5,593 | |||||||||||||||||
States, municipalities and political subdivisions | 3,289 | 183 | 2 | 3,470 | |||||||||||||||||||||
Commercial mortgage-backed | 269 | 16 | — | 285 | |||||||||||||||||||||
Government-sponsored enterprises | 227 | — | 3 | 224 | |||||||||||||||||||||
Foreign government | 10 | — | — | 10 | |||||||||||||||||||||
Convertibles and bonds with warrants attached | 7 | — | — | 7 | |||||||||||||||||||||
United States government | 7 | — | — | 7 | |||||||||||||||||||||
Subtotal | 8,961 | 648 | 13 | 9,596 | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 2,595 | 2,014 | 11 | 4,598 | |||||||||||||||||||||
Nonredeemable preferred equities | 153 | 38 | — | 191 | |||||||||||||||||||||
Subtotal | 2,748 | 2,052 | 11 | 4,789 | |||||||||||||||||||||
Total | $ | 11,709 | $ | 2,700 | $ | 24 | $ | 14,385 | |||||||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 5,117 | $ | 420 | $ | 11 | $ | 5,526 | |||||||||||||||||
States, municipalities and political subdivisions | 3,267 | 178 | 2 | 3,443 | |||||||||||||||||||||
Commercial mortgage-backed | 250 | 9 | — | 259 | |||||||||||||||||||||
Government-sponsored enterprises | 213 | — | 5 | 208 | |||||||||||||||||||||
Foreign government | 10 | — | — | 10 | |||||||||||||||||||||
Convertibles and bonds with warrants attached | 7 | — | — | 7 | |||||||||||||||||||||
United States government | 7 | — | — | 7 | |||||||||||||||||||||
Subtotal | 8,871 | 607 | 18 | 9,460 | |||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 2,583 | 2,099 | 3 | 4,679 | |||||||||||||||||||||
Nonredeemable preferred equities | 145 | 35 | 1 | 179 | |||||||||||||||||||||
Subtotal | 2,728 | 2,134 | 4 | 4,858 | |||||||||||||||||||||
Total | $ | 11,599 | $ | 2,741 | $ | 22 | $ | 14,318 | |||||||||||||||||
Fair Values And Unrealized Losses by Investment Category And By The Duration Of The Securities' Continuous Unrealized Loss Position | The table below provides fair values and gross unrealized losses by investment category and by the duration of the securities’ continuous unrealized loss positions: | ||||||||||||||||||||||||
(Dollars in millions) | Less than 12 months | 12 months or more | Total | ||||||||||||||||||||||
Fair value | Unrealized losses | Fair value | Unrealized losses | Fair value | Unrealized losses | ||||||||||||||||||||
At March 31, 2015 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 211 | $ | 6 | $ | 64 | $ | 2 | $ | 275 | $ | 8 | |||||||||||||
States, municipalities and political subdivisions | 115 | 2 | 58 | — | 173 | 2 | |||||||||||||||||||
Commercial mortgage-backed | 2 | — | 2 | — | 4 | — | |||||||||||||||||||
Government-sponsored enterprises | 18 | — | 156 | 3 | 174 | 3 | |||||||||||||||||||
Subtotal | 346 | 8 | 280 | 5 | 626 | 13 | |||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 168 | 11 | — | — | 168 | 11 | |||||||||||||||||||
Nonredeemable preferred equities | 5 | — | 15 | — | 20 | — | |||||||||||||||||||
Subtotal | 173 | 11 | 15 | — | 188 | 11 | |||||||||||||||||||
Total | $ | 519 | $ | 19 | $ | 295 | $ | 5 | $ | 814 | $ | 24 | |||||||||||||
At December 31, 2014 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate | $ | 261 | $ | 8 | $ | 90 | $ | 3 | $ | 351 | $ | 11 | |||||||||||||
States, municipalities and political subdivisions | 17 | — | 135 | 2 | 152 | 2 | |||||||||||||||||||
Commercial mortgage-backed | 3 | — | 23 | — | 26 | — | |||||||||||||||||||
Government-sponsored enterprises | 11 | — | 181 | 5 | 192 | 5 | |||||||||||||||||||
Subtotal | 292 | 8 | 429 | 10 | 721 | 18 | |||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common equities | 85 | 3 | — | — | 85 | 3 | |||||||||||||||||||
Nonredeemable preferred equities | 16 | — | 17 | 1 | 33 | 1 | |||||||||||||||||||
Subtotal | 101 | 3 | 17 | 1 | 118 | 4 | |||||||||||||||||||
Total | $ | 393 | $ | 11 | $ | 446 | $ | 11 | $ | 839 | $ | 22 | |||||||||||||
Investment Income, Realized Investment Gains And Losses And Change In Unrealized Investment Gains And Losses | The following table provides investment income, realized investment gains and losses, the change in unrealized investment gains and losses, and other items: | ||||||||||||||||||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Investment income: | |||||||||||||||||||||||||
Interest | $ | 105 | $ | 104 | |||||||||||||||||||||
Dividends | 36 | 32 | |||||||||||||||||||||||
Other | — | 1 | |||||||||||||||||||||||
Total | 141 | 137 | |||||||||||||||||||||||
Less investment expenses | 2 | 2 | |||||||||||||||||||||||
Total | $ | 139 | $ | 135 | |||||||||||||||||||||
Realized investment gains and losses summary: | |||||||||||||||||||||||||
Fixed maturities: | |||||||||||||||||||||||||
Gross realized gains | $ | 3 | $ | 2 | |||||||||||||||||||||
Gross realized losses | — | (1 | ) | ||||||||||||||||||||||
Other-than-temporary impairments | — | — | |||||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Gross realized gains | 44 | 18 | |||||||||||||||||||||||
Gross realized losses | (1 | ) | — | ||||||||||||||||||||||
Other-than-temporary impairments | — | (1 | ) | ||||||||||||||||||||||
Other | 1 | 4 | |||||||||||||||||||||||
Total | $ | 47 | $ | 22 | |||||||||||||||||||||
Change in unrealized investment gains and losses: | |||||||||||||||||||||||||
Fixed maturities | $ | 46 | $ | 88 | |||||||||||||||||||||
Equity securities | (89 | ) | 29 | ||||||||||||||||||||||
Less income taxes | 15 | (41 | ) | ||||||||||||||||||||||
Total | $ | (28 | ) | $ | 76 | ||||||||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||||||||||||||||||
Fair Value Hierarchy for Assets Measured at Fair Value on a Recurring Basis | The following tables illustrate the fair value hierarchy for those assets measured at fair value on a recurring basis at March 31, 2015, and December 31, 2014. We do not have any material liabilities carried at fair value. There were no transfers between Level 1 and Level 2. | |||||||||||||||||||||
(In millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Fixed maturities, available for sale: | ||||||||||||||||||||||
Corporate | $ | — | $ | 5,575 | $ | 18 | $ | 5,593 | ||||||||||||||
States, municipalities and political subdivisions | — | 3,469 | 1 | 3,470 | ||||||||||||||||||
Commercial mortgage-backed | — | 285 | — | 285 | ||||||||||||||||||
Government-sponsored enterprises | — | 224 | — | 224 | ||||||||||||||||||
Foreign government | — | 10 | — | 10 | ||||||||||||||||||
Convertibles and bonds with warrants attached | — | 7 | — | 7 | ||||||||||||||||||
United States government | 7 | — | — | 7 | ||||||||||||||||||
Subtotal | 7 | 9,570 | 19 | 9,596 | ||||||||||||||||||
Common equities, available for sale | 4,598 | — | — | 4,598 | ||||||||||||||||||
Nonredeemable preferred equities, available for sale | — | 189 | 2 | 191 | ||||||||||||||||||
Short-term investments | — | 25 | — | 25 | ||||||||||||||||||
Separate accounts taxable fixed maturities | — | 725 | — | 725 | ||||||||||||||||||
Top Hat savings plan mutual funds and common | 19 | — | — | 19 | ||||||||||||||||||
equity (included in Other assets) | ||||||||||||||||||||||
Total | $ | 4,624 | $ | 10,509 | $ | 21 | $ | 15,154 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Fixed maturities, available for sale: | ||||||||||||||||||||||
Corporate | $ | — | $ | 5,508 | $ | 18 | $ | 5,526 | ||||||||||||||
States, municipalities and political subdivisions | — | 3,443 | — | 3,443 | ||||||||||||||||||
Commercial mortgage-backed | — | 259 | — | 259 | ||||||||||||||||||
Government-sponsored enterprises | — | 208 | — | 208 | ||||||||||||||||||
Foreign government | — | 10 | — | 10 | ||||||||||||||||||
Convertibles and bonds with warrants attached | — | 7 | — | 7 | ||||||||||||||||||
United States government | 7 | — | — | 7 | ||||||||||||||||||
Subtotal | 7 | 9,435 | 18 | 9,460 | ||||||||||||||||||
Common equities, available for sale | 4,679 | — | — | 4,679 | ||||||||||||||||||
Nonredeemable preferred equities, available for sale | — | 177 | 2 | 179 | ||||||||||||||||||
Separate accounts taxable fixed-maturities | — | 731 | — | 731 | ||||||||||||||||||
Top Hat savings plan mutual funds and common | 18 | — | — | 18 | ||||||||||||||||||
equity (included in Other assets) | ||||||||||||||||||||||
Total | $ | 4,704 | $ | 10,343 | $ | 20 | $ | 15,067 | ||||||||||||||
Asset Fair Value Measurements Using Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||
The following tables provide the change in Level 3 assets for the three months ended March 31: | ||||||||||||||||||||||
(Dollars in millions) | Asset fair value measurements using significant unobservable inputs (Level 3) | |||||||||||||||||||||
Corporate | Commercial | States, | Nonredeemable preferred | Total | ||||||||||||||||||
fixed | mortgage- | municipalities | equities | |||||||||||||||||||
maturities | backed fixed maturities | and political | ||||||||||||||||||||
subdivisions | ||||||||||||||||||||||
fixed maturities | ||||||||||||||||||||||
Beginning balance, January 1, 2015 | $ | 18 | $ | — | $ | — | $ | 2 | $ | 20 | ||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||||||||
Included in net income | — | — | — | — | — | |||||||||||||||||
Included in other comprehensive income | — | — | — | — | — | |||||||||||||||||
Purchases | — | — | — | — | — | |||||||||||||||||
Sales | — | — | — | — | — | |||||||||||||||||
Transfers into Level 3 | — | — | 1 | — | 1 | |||||||||||||||||
Transfers out of Level 3 | — | — | — | — | — | |||||||||||||||||
Ending balance, March 31, 2015 | $ | 18 | $ | — | $ | 1 | $ | 2 | $ | 21 | ||||||||||||
Beginning balance, January 1, 2014 | $ | 2 | $ | — | $ | — | $ | 2 | $ | 4 | ||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||||||||
Included in net income | — | — | — | — | — | |||||||||||||||||
Included in other comprehensive income | — | — | — | — | — | |||||||||||||||||
Purchases | — | — | — | — | — | |||||||||||||||||
Sales | — | — | — | — | — | |||||||||||||||||
Transfers into Level 3 | 6 | 5 | — | — | 11 | |||||||||||||||||
Transfers out of Level 3 | — | — | — | — | — | |||||||||||||||||
Ending balance, March 31, 2014 | $ | 8 | $ | 5 | $ | — | $ | 2 | $ | 15 | ||||||||||||
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block] | This table summarizes the book value and principal amounts of our long-term debt: | |||||||||||||||||||||
(Dollars in millions) | Book value | Principal amount | ||||||||||||||||||||
March 31, | December 31, | March 31, | December 31, | |||||||||||||||||||
Interest rate | Year of issue | 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
6.9 | % | 1998 | Senior debentures, due 2028 | $ | 28 | $ | 28 | $ | 28 | $ | 28 | |||||||||||
6.92 | % | 2005 | Senior debentures, due 2028 | 391 | 391 | 391 | 391 | |||||||||||||||
6.125 | % | 2004 | Senior notes, due 2034 | 372 | 372 | 374 | 374 | |||||||||||||||
Total | $ | 791 | $ | 791 | $ | 793 | $ | 793 | ||||||||||||||
Fair Value of Life Policy Loans | The following table shows the fair value of our life policy loans, included in other invested assets: | |||||||||||||||||||||
(Dollars in millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Life policy loans | $ | — | $ | — | $ | 39 | $ | 39 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Life policy loans | $ | — | $ | — | $ | 39 | $ | 39 | ||||||||||||||
Debt | ||||||||||||||||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||||||||||||||||||
Fair Values of Deferred Annuities, Structured Settlements and Other Items | The following table shows fair values of our note payable and long-term debt: | |||||||||||||||||||||
(Dollars in millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Note payable | $ | — | $ | 49 | $ | — | $ | 49 | ||||||||||||||
6.900% senior debentures, due 2028 | — | 35 | — | 35 | ||||||||||||||||||
6.920% senior debentures, due 2028 | — | 508 | — | 508 | ||||||||||||||||||
6.125% senior notes, due 2034 | — | 459 | — | 459 | ||||||||||||||||||
Total | $ | — | $ | 1,051 | $ | — | $ | 1,051 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Note payable | $ | — | $ | 49 | $ | — | $ | 49 | ||||||||||||||
6.900% senior debentures, due 2028 | — | 34 | — | 34 | ||||||||||||||||||
6.920% senior debentures, due 2028 | — | 496 | — | 496 | ||||||||||||||||||
6.125% senior notes, due 2034 | — | 449 | — | 449 | ||||||||||||||||||
Total | $ | — | $ | 1,028 | $ | — | $ | 1,028 | ||||||||||||||
Deferred Annuities, Structured Settlements, And Other | ||||||||||||||||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||||||||||||||||||
Fair Values of Deferred Annuities, Structured Settlements and Other Items | The following table shows fair values of our deferred annuities and structured settlements, included in life policy and investment contract reserves: | |||||||||||||||||||||
(Dollars in millions) | Quoted prices in | Significant other | Significant | Total | ||||||||||||||||||
active markets for | observable inputs | unobservable | ||||||||||||||||||||
identical assets | (Level 2) | inputs | ||||||||||||||||||||
At March 31, 2015 | (Level 1) | (Level 3) | ||||||||||||||||||||
Deferred annuities | $ | — | $ | — | $ | 909 | $ | 909 | ||||||||||||||
Structured settlements | — | 225 | — | 225 | ||||||||||||||||||
Total | $ | — | $ | 225 | $ | 909 | $ | 1,134 | ||||||||||||||
At December 31, 2014 | ||||||||||||||||||||||
Deferred annuities | $ | — | $ | — | $ | 897 | $ | 897 | ||||||||||||||
Structured settlements | — | 217 | — | 217 | ||||||||||||||||||
Total | $ | — | $ | 217 | $ | 897 | $ | 1,114 | ||||||||||||||
Property_Casualty_Loss_and_Los1
Property Casualty Loss and Loss Expenses (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Premiums Written, Net [Abstract] | |||||||||
Consolidated Property Casualty Loss And Loss Expense Reserves | This table summarizes activity for our consolidated property casualty loss and loss expense reserves: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Gross loss and loss expense reserves, beginning of period | $ | 4,438 | $ | 4,241 | |||||
Less reinsurance recoverable | 282 | 299 | |||||||
Net loss and loss expense reserves, beginning of period | 4,156 | 3,942 | |||||||
Net incurred loss and loss expenses related to: | |||||||||
Current accident year | 711 | 705 | |||||||
Prior accident years | (22 | ) | (29 | ) | |||||
Total incurred | 689 | 676 | |||||||
Net paid loss and loss expenses related to: | |||||||||
Current accident year | 147 | 197 | |||||||
Prior accident years | 399 | 387 | |||||||
Total paid | 546 | 584 | |||||||
Net loss and loss expense reserves, end of period | 4,299 | 4,034 | |||||||
Plus reinsurance recoverable | 278 | 289 | |||||||
Gross loss and loss expense reserves, end of period | $ | 4,577 | $ | 4,323 | |||||
Life_Policy_and_Investment_Con1
Life Policy and Investment Contract Reserves (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Liability for Future Policy Benefits [Abstract] | |||||||||
Reserve For Losses Loss Adjustment Expenses Table [Text Block] | This table summarizes our life policy and investment contract reserves: | ||||||||
(Dollars in millions) | March 31, | December 31, 2014 | |||||||
2015 | |||||||||
Ordinary/traditional life | $ | 891 | $ | 875 | |||||
Deferred annuities | 863 | 863 | |||||||
Universal life | 533 | 530 | |||||||
Structured settlements | 181 | 182 | |||||||
Other | 46 | 47 | |||||||
Total life policy and investment contract reserves | $ | 2,514 | $ | 2,497 | |||||
Deferred_Acquisition_Costs_Tab
Deferred Acquisition Costs (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Deferred Costs [Abstract] | ||||||||
Deferred Policy Acquisition Costs And Asset Reconciliation, Including the Amortized Deferred Policy Acquisition Costs | The table below shows the deferred policy acquisition costs and asset reconciliation. | |||||||
(Dollars in millions) | Three months ended March 31, | |||||||
2015 | 2014 | |||||||
Deferred policy acquisition costs asset, beginning of period | $ | 578 | $ | 565 | ||||
Capitalized deferred policy acquisition costs | 207 | 206 | ||||||
Amortized deferred policy acquisition costs | (209 | ) | (201 | ) | ||||
Amortized shadow deferred policy acquisition costs | (5 | ) | (6 | ) | ||||
Deferred policy acquisition costs asset, end of period | $ | 571 | $ | 564 | ||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | |||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Before tax | Income tax | Net | Before tax | Income tax | Net | ||||||||||||||||||||
Investments: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | 2,719 | $ | 942 | $ | 1,777 | $ | 2,335 | $ | 808 | $ | 1,527 | |||||||||||||
OCI excluding realized gains recognized in net income | 3 | 1 | 2 | 135 | 48 | 87 | |||||||||||||||||||
Realized gains recognized in net income | (46 | ) | (16 | ) | (30 | ) | (18 | ) | (7 | ) | (11 | ) | |||||||||||||
OCI | (43 | ) | (15 | ) | (28 | ) | 117 | 41 | 76 | ||||||||||||||||
AOCI, end of period | $ | 2,676 | $ | 927 | $ | 1,749 | $ | 2,452 | $ | 849 | $ | 1,603 | |||||||||||||
Pension obligations: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | (36 | ) | $ | (12 | ) | $ | (24 | ) | $ | (18 | ) | $ | (6 | ) | $ | (12 | ) | |||||||
OCI excluding amortization recognized in net income | — | — | — | (2 | ) | — | (2 | ) | |||||||||||||||||
Amortization recognized in net income | 1 | — | 1 | 1 | — | 1 | |||||||||||||||||||
OCI | 1 | — | 1 | (1 | ) | — | (1 | ) | |||||||||||||||||
AOCI, end of period | $ | (35 | ) | $ | (12 | ) | $ | (23 | ) | $ | (19 | ) | $ | (6 | ) | $ | (13 | ) | |||||||
Life deferred acquisition costs, life policy reserves and other: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | (12 | ) | $ | (3 | ) | $ | (9 | ) | $ | (16 | ) | $ | (5 | ) | $ | (11 | ) | |||||||
OCI excluding realized gains recognized in net income | (1 | ) | (1 | ) | — | 3 | 1 | 2 | |||||||||||||||||
Realized gains recognized in net income | (1 | ) | — | (1 | ) | (4 | ) | (1 | ) | (3 | ) | ||||||||||||||
OCI | (2 | ) | (1 | ) | (1 | ) | (1 | ) | — | (1 | ) | ||||||||||||||
AOCI, end of period | $ | (14 | ) | $ | (4 | ) | $ | (10 | ) | $ | (17 | ) | $ | (5 | ) | $ | (12 | ) | |||||||
Summary of AOCI: | |||||||||||||||||||||||||
AOCI, beginning of period | $ | 2,671 | $ | 927 | $ | 1,744 | $ | 2,301 | $ | 797 | $ | 1,504 | |||||||||||||
Investments OCI | (43 | ) | (15 | ) | (28 | ) | 117 | 41 | 76 | ||||||||||||||||
Pension obligations OCI | 1 | — | 1 | (1 | ) | — | (1 | ) | |||||||||||||||||
Life deferred acquisition costs, life policy reserves and other OCI | (2 | ) | (1 | ) | (1 | ) | (1 | ) | — | (1 | ) | ||||||||||||||
Total OCI | (44 | ) | (16 | ) | (28 | ) | 115 | 41 | 74 | ||||||||||||||||
AOCI, end of period | $ | 2,627 | $ | 911 | $ | 1,716 | $ | 2,416 | $ | 838 | $ | 1,578 | |||||||||||||
Reinsurance_Tables
Reinsurance (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Reinsurance Disclosures [Abstract] | |||||||||
Earned Consolidated Property Casualty Insurance Premiums On Assumed And Ceded Business | Our condensed consolidated statements of income include earned consolidated property casualty insurance premiums on assumed and ceded business: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct earned premiums | $ | 1,076 | $ | 1,019 | |||||
Assumed earned premiums | 2 | 3 | |||||||
Ceded earned premiums | (37 | ) | (43 | ) | |||||
Earned premiums | $ | 1,041 | $ | 979 | |||||
Incurred Consolidated Property Casualty Insurance Loss And Loss Expenses On Assumed And Ceded Business | Our condensed consolidated statements of income include incurred consolidated property casualty insurance loss and loss expenses on assumed and ceded business: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct incurred loss and loss expenses | $ | 691 | $ | 677 | |||||
Assumed incurred loss and loss expenses | (1 | ) | 2 | ||||||
Ceded incurred loss and loss expenses | (1 | ) | (3 | ) | |||||
Incurred loss and loss expenses | $ | 689 | $ | 676 | |||||
Earned Life Insurance Premiums On Ceded Business | Our condensed consolidated statements of income include earned life insurance premiums on ceded business: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct earned premiums | $ | 65 | $ | 62 | |||||
Ceded earned premiums | (12 | ) | (14 | ) | |||||
Earned premiums | $ | 53 | $ | 48 | |||||
Life Insurance Contract Holders' Benefits Incurred On Ceded Business | Our condensed consolidated statements of income include life insurance contract holders' benefits incurred on ceded business: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Direct contract holders' benefits incurred | $ | 72 | $ | 80 | |||||
Ceded contract holders' benefits incurred | (12 | ) | (24 | ) | |||||
Contract holders' benefits incurred | $ | 60 | $ | 56 | |||||
Income_Taxes_Tables
Income Taxes (Tables) | 3 Months Ended | ||||||||||||||
Mar. 31, 2015 | |||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||
Differences Between The 35 Percent Statutory Income Tax Rate And Effective Income Tax Rate | The differences between the 35 percent statutory federal income tax rate and our effective income tax rate were as follows: | ||||||||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||||||||
2015 | 2014 | ||||||||||||||
Tax at statutory rate: | $ | 61 | 35 | % | $ | 42 | 35 | % | |||||||
Increase (decrease) resulting from: | |||||||||||||||
Tax-exempt income from municipal bonds | (8 | ) | (4.6 | ) | (8 | ) | (6.7 | ) | |||||||
Dividend received exclusion | (8 | ) | (4.6 | ) | (7 | ) | (5.9 | ) | |||||||
Other | 1 | 0.6 | 1 | 1.1 | |||||||||||
Provision for income taxes | $ | 46 | 26.4 | % | $ | 28 | 23.5 | % | |||||||
Net_Income_Per_Common_Share_Ta
Net Income Per Common Share (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
Calculations For Basic And Diluted Earnings Per Share | The table shows calculations for basic and diluted earnings per share: | ||||||||
(In millions except per share data) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Numerator: | |||||||||
Net income—basic and diluted | $ | 128 | $ | 91 | |||||
Denominator: | |||||||||
Basic weighted-average common shares outstanding | 164 | 163.4 | |||||||
Effect of stock-based awards: | |||||||||
Stock options | 1 | 1 | |||||||
Nonvested shares | 0.6 | 0.6 | |||||||
Diluted weighted-average shares | 165.6 | 165 | |||||||
Earnings per share: | |||||||||
Basic | $ | 0.78 | $ | 0.56 | |||||
Diluted | 0.77 | 0.55 | |||||||
Number of anti-dilutive share-based awards | 0.7 | 0.7 | |||||||
Employee_Retirement_Benefits_T
Employee Retirement Benefits (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||
Schedule of Defined Benefit Plans Disclosures | The following summarizes the components of net periodic benefit cost for our qualified and supplemental pension plans: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Service cost | $ | 3 | $ | 2 | |||||
Interest cost | 3 | 4 | |||||||
Expected return on plan assets | (4 | ) | (4 | ) | |||||
Amortization of actuarial loss and prior service cost | 1 | 1 | |||||||
Net periodic benefit cost | $ | 3 | $ | 3 | |||||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Segment Information | Segment information is summarized in the following table: | ||||||||
(Dollars in millions) | Three months ended March 31, | ||||||||
2015 | 2014 | ||||||||
Revenues: | |||||||||
Commercial lines insurance | |||||||||
Commercial casualty | $ | 244 | $ | 224 | |||||
Commercial property | 196 | 171 | |||||||
Commercial auto | 136 | 126 | |||||||
Workers' compensation | 93 | 92 | |||||||
Other commercial | 64 | 79 | |||||||
Commercial lines insurance premiums | 733 | 692 | |||||||
Fee revenues | 1 | 1 | |||||||
Total commercial lines insurance | 734 | 693 | |||||||
Personal lines insurance | |||||||||
Personal auto | 123 | 116 | |||||||
Homeowner | 114 | 109 | |||||||
Other personal | 31 | 29 | |||||||
Personal lines insurance premiums | 268 | 254 | |||||||
Fee revenues | 1 | — | |||||||
Total personal lines insurance | 269 | 254 | |||||||
Excess and surplus lines insurance | 40 | 33 | |||||||
Life insurance premiums | 53 | 48 | |||||||
Separate account investment management fees | 1 | 2 | |||||||
Total life insurance | 54 | 50 | |||||||
Investments | |||||||||
Investment income, net of expenses | 139 | 135 | |||||||
Realized investment gains, net | 47 | 22 | |||||||
Total investment revenue | 186 | 157 | |||||||
Other | 2 | 2 | |||||||
Total revenues | $ | 1,285 | $ | 1,189 | |||||
Income (loss) before income taxes: | |||||||||
Insurance underwriting results | |||||||||
Commercial lines insurance | $ | 26 | $ | 2 | |||||
Personal lines insurance | (3 | ) | (7 | ) | |||||
Excess and surplus lines insurance | 4 | 4 | |||||||
Life insurance | (3 | ) | — | ||||||
Investments | 165 | 136 | |||||||
Other | (15 | ) | (16 | ) | |||||
Total income before income taxes | $ | 174 | $ | 119 | |||||
Identifiable assets: | March 31, | December 31, 2014 | |||||||
2015 | |||||||||
Property casualty insurance | $ | 2,711 | $ | 2,656 | |||||
Life insurance | 1,306 | 1,316 | |||||||
Investments | 14,544 | 14,441 | |||||||
Other | 336 | 340 | |||||||
Total | $ | 18,897 | $ | 18,753 | |||||
Investments_Analysis_of_Cost_o
Investments - Analysis of Cost or Amortized Cost, Gross Unrealized Gains and Losses and Fair Value for Investments (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Debt Securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | $8,961 | $8,871 |
Gross Unrealized Gains | 648 | 607 |
Gross Unrealized Losses | 13 | 18 |
Fair Value | 9,596 | 9,460 |
Debt Securities | Corporate | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 5,152 | 5,117 |
Gross Unrealized Gains | 449 | 420 |
Gross Unrealized Losses | 8 | 11 |
Fair Value | 5,593 | 5,526 |
Debt Securities | States, municipalities and political subdivisions | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 3,289 | 3,267 |
Gross Unrealized Gains | 183 | 178 |
Gross Unrealized Losses | 2 | 2 |
Fair Value | 3,470 | 3,443 |
Debt Securities | Commercial mortgage-backed | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 269 | 250 |
Gross Unrealized Gains | 16 | 9 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 285 | 259 |
Debt Securities | Government-sponsored enterprises | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 227 | 213 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 3 | 5 |
Fair Value | 224 | 208 |
Debt Securities | Foreign government | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 10 | 10 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 10 | 10 |
Debt Securities | Convertibles and bonds with warrants attached | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 7 | 7 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 7 | 7 |
Debt Securities | United States government | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 7 | 7 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 7 | 7 |
Equity Securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 2,748 | 2,728 |
Gross Unrealized Gains | 2,052 | 2,134 |
Gross Unrealized Losses | 11 | 4 |
Fair Value | 4,789 | 4,858 |
Equity Securities | Common equities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 2,595 | 2,583 |
Gross Unrealized Gains | 2,014 | 2,099 |
Gross Unrealized Losses | 11 | 3 |
Fair Value | 4,598 | 4,679 |
Equity Securities | Nonredeemable preferred equities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 153 | 145 |
Gross Unrealized Gains | 38 | 35 |
Gross Unrealized Losses | 0 | 1 |
Fair Value | 191 | 179 |
Fixed Maturities And Equity Securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost | 11,709 | 11,599 |
Gross Unrealized Gains | 2,700 | 2,741 |
Gross Unrealized Losses | 24 | 22 |
Fair Value | $14,385 | $14,318 |
Investments_Fair_Values_and_Un
Investments - Fair Values and Unrealized Losses by Investment Category and by Duration of Securities' Continuous Unrealized Loss Position (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | $519 | $393 |
Less than 12 months Unrealized Losses | 19 | 11 |
12 months or more Fair Value | 295 | 446 |
12 months or more Unrealized Losses | 5 | 11 |
Total Fair Value | 814 | 839 |
Total Unrealized Losses | 24 | 22 |
Fixed Maturities | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 346 | 292 |
Less than 12 months Unrealized Losses | 8 | 8 |
12 months or more Fair Value | 280 | 429 |
12 months or more Unrealized Losses | 5 | 10 |
Total Fair Value | 626 | 721 |
Total Unrealized Losses | 13 | 18 |
Fixed Maturities | Corporate | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 211 | 261 |
Less than 12 months Unrealized Losses | 6 | 8 |
12 months or more Fair Value | 64 | 90 |
12 months or more Unrealized Losses | 2 | 3 |
Total Fair Value | 275 | 351 |
Total Unrealized Losses | 8 | 11 |
Fixed Maturities | States, municipalities and political subdivisions | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 115 | 17 |
Less than 12 months Unrealized Losses | 2 | 0 |
12 months or more Fair Value | 58 | 135 |
12 months or more Unrealized Losses | 0 | 2 |
Total Fair Value | 173 | 152 |
Total Unrealized Losses | 2 | 2 |
Fixed Maturities | Commercial mortgage-backed | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 2 | 3 |
Less than 12 months Unrealized Losses | 0 | 0 |
12 months or more Fair Value | 2 | 23 |
12 months or more Unrealized Losses | 0 | 0 |
Total Fair Value | 4 | 26 |
Total Unrealized Losses | 0 | 0 |
Fixed Maturities | Government-sponsored enterprises | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 18 | 11 |
Less than 12 months Unrealized Losses | 0 | 0 |
12 months or more Fair Value | 156 | 181 |
12 months or more Unrealized Losses | 3 | 5 |
Total Fair Value | 174 | 192 |
Total Unrealized Losses | 3 | 5 |
Equity Securities | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 173 | 101 |
Less than 12 months Unrealized Losses | 11 | 3 |
12 months or more Fair Value | 15 | 17 |
12 months or more Unrealized Losses | 0 | 1 |
Total Fair Value | 188 | 118 |
Total Unrealized Losses | 11 | 4 |
Equity Securities | Common equities | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 168 | 85 |
Less than 12 months Unrealized Losses | 11 | 3 |
12 months or more Fair Value | 0 | 0 |
12 months or more Unrealized Losses | 0 | 0 |
Total Fair Value | 168 | 85 |
Total Unrealized Losses | 11 | 3 |
Equity Securities | Nonredeemable preferred equities | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less than 12 months Fair Value | 5 | 16 |
Less than 12 months Unrealized Losses | 0 | 0 |
12 months or more Fair Value | 15 | 17 |
12 months or more Unrealized Losses | 0 | 1 |
Total Fair Value | 20 | 33 |
Total Unrealized Losses | $0 | $1 |
Investments_Realized_Investmen
Investments - Realized Investment Gains and Losses and Change in Unrealized Investment Gains and Losses and Other Items (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Investment income summary: | ||
Interest | $105 | $104 |
Dividends | 36 | 32 |
Other | 0 | 1 |
Total | 141 | 137 |
Less investment expenses | 2 | 2 |
Total | 139 | 135 |
Realized investment gains and losses summary: | ||
Realized investment gains, net | 47 | 22 |
Change in unrealized gains and losses summary: | ||
Fixed maturities | -28 | 76 |
Less income taxes | -15 | 41 |
Other comprehensive income (loss), net of tax | -28 | 74 |
Fixed Maturities | ||
Realized investment gains and losses summary: | ||
Gross realized gains | 3 | 2 |
Gross realized losses | 0 | -1 |
Other-than-temporary impairments | 0 | 0 |
Change in unrealized gains and losses summary: | ||
Fixed maturities | 46 | 88 |
Equity Securities | ||
Realized investment gains and losses summary: | ||
Gross realized gains | 44 | 18 |
Gross realized losses | -1 | 0 |
Other-than-temporary impairments | 0 | -1 |
Other | 1 | 4 |
Change in unrealized gains and losses summary: | ||
Fixed maturities | ($89) | $29 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Gain (Loss) on Investments [Line Items] | ||
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | $25 | $0 |
Largest equity holdings to total equity portfolio | 3.80% | |
Largest equity holdings to total portfolio | 1.20% | |
Unrealized losses 12 months or more (equity investment less than $500,000) | 5 | 11 |
Number Of Securities Other Than Temporary Impairment Losses | 6 | |
Fixed maturity investments, Percentage of amortized costs | 70.00% | 70.00% |
Fixed Maturities | ||
Gain (Loss) on Investments [Line Items] | ||
Unrealized investment gains due to a net gain position | 648 | 607 |
Number Of Securities Other Than Temporary Impairment Losses1 | 0 | |
Number Of Securities Continuous Unrealized Loss Position More Than Twelve Months | 70 | 144 |
Unrealized losses 12 months or more (equity investment less than $500,000) | 5 | 10 |
Equity Securities | ||
Gain (Loss) on Investments [Line Items] | ||
Unrealized investment gains due to a net gain position | 2,052 | 2,134 |
Number Of Securities Other Than Temporary Impairment Losses1 | 0 | |
Number Of Securities Continuous Unrealized Loss Position More Than Twelve Months | 2 | 3 |
Unrealized losses 12 months or more (equity investment less than $500,000) | 0 | 1 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss, Accumulated in Investments | 1 | |
Procter And Gamble Company, Exxon Mobile Corporation And Chevron Corporation [Member] | ||
Gain (Loss) on Investments [Line Items] | ||
Unrealized investment gains due to a net gain position | $605 | |
Common equities | ||
Gain (Loss) on Investments [Line Items] | ||
Number of securities | 7 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value Hierarchy for Assets Measured at Fair Value on Recurring Basis (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | $9,596 | $9,460 |
Equity securities, at fair value | 4,789 | 4,858 |
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | 25 | 0 |
Separate accounts | 764 | 752 |
Fair value of asset | 15,154 | 15,067 |
Short-term investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | 25 | |
Top Hat savings plan mutual funds and common equity (included in Other assets) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Top Hat savings plan mutual funds and common equity (included in Other assets) | 19 | 18 |
Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 9,596 | 9,460 |
Debt Securities | Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 5,593 | 5,526 |
Debt Securities | States, municipalities and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 3,470 | 3,443 |
Debt Securities | Commercial mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 285 | 259 |
Debt Securities | Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 224 | 208 |
Debt Securities | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 10 | 10 |
Debt Securities | Convertibles and bonds with warrants attached | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 7 | 7 |
Debt Securities | United States government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 7 | 7 |
Equity Securities | Common equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 4,598 | 4,679 |
Equity Securities | Nonredeemable preferred equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 191 | 179 |
Taxable Fixed Maturities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Separate accounts | 725 | 731 |
Quoted prices in active markets for identical assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of asset | 4,624 | 4,704 |
Quoted prices in active markets for identical assets (Level 1) | Short-term investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | 0 | |
Quoted prices in active markets for identical assets (Level 1) | Top Hat savings plan mutual funds and common equity (included in Other assets) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Top Hat savings plan mutual funds and common equity (included in Other assets) | 19 | 18 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 7 | 7 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | States, municipalities and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | Commercial mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | Convertibles and bonds with warrants attached | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Debt Securities | United States government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 7 | 7 |
Quoted prices in active markets for identical assets (Level 1) | Equity Securities | Common equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 4,598 | 4,679 |
Quoted prices in active markets for identical assets (Level 1) | Equity Securities | Nonredeemable preferred equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Taxable Fixed Maturities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Separate accounts | 0 | 0 |
Significant other observable inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of asset | 10,509 | 10,343 |
Significant other observable inputs (Level 2) | Short-term investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | 25 | |
Significant other observable inputs (Level 2) | Top Hat savings plan mutual funds and common equity (included in Other assets) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Top Hat savings plan mutual funds and common equity (included in Other assets) | 0 | 0 |
Significant other observable inputs (Level 2) | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 9,570 | 9,435 |
Significant other observable inputs (Level 2) | Debt Securities | Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 5,575 | 5,508 |
Significant other observable inputs (Level 2) | Debt Securities | States, municipalities and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 3,469 | 3,443 |
Significant other observable inputs (Level 2) | Debt Securities | Commercial mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 285 | 259 |
Significant other observable inputs (Level 2) | Debt Securities | Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 224 | 208 |
Significant other observable inputs (Level 2) | Debt Securities | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 10 | 10 |
Significant other observable inputs (Level 2) | Debt Securities | Convertibles and bonds with warrants attached | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 7 | 7 |
Significant other observable inputs (Level 2) | Debt Securities | United States government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Significant other observable inputs (Level 2) | Equity Securities | Common equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 0 | 0 |
Significant other observable inputs (Level 2) | Equity Securities | Nonredeemable preferred equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 189 | 177 |
Significant other observable inputs (Level 2) | Taxable Fixed Maturities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Separate accounts | 725 | 731 |
Significant unobservable inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of asset | 21 | 20 |
Significant unobservable inputs (Level 3) | Short-term investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments, at fair value (amortized cost: 2015—$25; 2014—$0) | 0 | |
Significant unobservable inputs (Level 3) | Top Hat savings plan mutual funds and common equity (included in Other assets) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Top Hat savings plan mutual funds and common equity (included in Other assets) | 0 | 0 |
Significant unobservable inputs (Level 3) | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 19 | 18 |
Significant unobservable inputs (Level 3) | Debt Securities | Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 18 | 18 |
Significant unobservable inputs (Level 3) | Debt Securities | States, municipalities and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 1 | 0 |
Significant unobservable inputs (Level 3) | Debt Securities | Commercial mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Significant unobservable inputs (Level 3) | Debt Securities | Government-sponsored enterprises | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Significant unobservable inputs (Level 3) | Debt Securities | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Significant unobservable inputs (Level 3) | Debt Securities | Convertibles and bonds with warrants attached | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Significant unobservable inputs (Level 3) | Debt Securities | United States government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, at fair value | 0 | 0 |
Significant unobservable inputs (Level 3) | Equity Securities | Common equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 0 | 0 |
Significant unobservable inputs (Level 3) | Equity Securities | Nonredeemable preferred equities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities, at fair value | 2 | 2 |
Significant unobservable inputs (Level 3) | Taxable Fixed Maturities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Separate accounts | $0 | $0 |
Fair_Value_Measurements_Change
Fair Value Measurements - Change in Level 3 Assets (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $20 | $4 |
Total gains or losses (realized/unrealized): | ||
Included in net income | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Transfers into Level 3 | 1 | 11 |
Transfers out of Level 3 | 0 | 0 |
Ending balance | 21 | 15 |
Corporate Fixed Maturities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 18 | 2 |
Total gains or losses (realized/unrealized): | ||
Included in net income | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Transfers into Level 3 | 0 | 6 |
Transfers out of Level 3 | 0 | 0 |
Ending balance | 18 | 8 |
Commercial mortgage-backed | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 0 | 0 |
Total gains or losses (realized/unrealized): | ||
Included in net income | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Transfers into Level 3 | 0 | 5 |
Transfers out of Level 3 | 0 | 0 |
Ending balance | 0 | 5 |
States, Municipalities And Political Subdivisions Fixed Maturities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 0 | 0 |
Total gains or losses (realized/unrealized): | ||
Included in net income | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Transfers into Level 3 | 1 | 0 |
Transfers out of Level 3 | 0 | 0 |
Ending balance | 1 | 0 |
Preferred Equities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 2 | 2 |
Total gains or losses (realized/unrealized): | ||
Included in net income | 0 | 0 |
Included in other comprehensive income | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Transfers into Level 3 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 |
Ending balance | $2 | $2 |
Fair_Value_Measurements_Summar
Fair Value Measurements - Summary of Book Value and Principal Amounts of Long-Term Debt (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Book value | $791 | $791 |
Principal amount of debt | 793 | 793 |
Senior Debentures 6.900% Due 2028 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.90% | 6.90% |
Debt issuance year | 1998 | 1998 |
Book value | 28 | 28 |
Principal amount of debt | 28 | 28 |
Senior Debentures 6.920% Due 2028 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.92% | 6.92% |
Debt issuance year | 2005 | 2005 |
Book value | 391 | 391 |
Principal amount of debt | 391 | 391 |
Senior Notes 6.152% Due 2034 | ||
Debt Instrument [Line Items] | ||
Interest rate | 6.13% | 6.13% |
Debt issuance year | 2004 | 2004 |
Book value | 372 | 372 |
Principal amount of debt | $374 | $374 |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements - Fair Values of Note Payable and Long-Term Debt (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of note payable | $49 | $49 |
Total | 1,051 | 1,028 |
Senior Debentures 6.900 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate | 6.90% | 6.90% |
Debt instrument, year of maturity | 2028 | 2028 |
Fair value of senior debt | 35 | 34 |
Senior Debentures 6.920 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate | 6.92% | 6.92% |
Debt instrument, year of maturity | 2028 | 2028 |
Fair value of senior debt | 508 | 496 |
Senior Notes 6.125 % Due 2034 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate | 6.13% | 6.13% |
Debt instrument, year of maturity | 2034 | 2034 |
Fair value of senior debt | 459 | 449 |
Quoted prices in active markets for identical assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of note payable | 0 | 0 |
Total | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Senior Debentures 6.900 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Senior Debentures 6.920 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Senior Notes 6.125 % Due 2034 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 0 | 0 |
Significant other observable inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of note payable | 49 | 49 |
Total | 1,051 | 1,028 |
Significant other observable inputs (Level 2) | Senior Debentures 6.900 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 35 | 34 |
Significant other observable inputs (Level 2) | Senior Debentures 6.920 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 508 | 496 |
Significant other observable inputs (Level 2) | Senior Notes 6.125 % Due 2034 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 459 | 449 |
Significant unobservable inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of note payable | 0 | 0 |
Total | 0 | 0 |
Significant unobservable inputs (Level 3) | Senior Debentures 6.900 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 0 | 0 |
Significant unobservable inputs (Level 3) | Senior Debentures 6.920 % Due 2028 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 0 | 0 |
Significant unobservable inputs (Level 3) | Senior Notes 6.125 % Due 2034 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of senior debt | 0 | 0 |
Deferred Annuities And Structured Settlements [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liability for Future Policy Benefits, Individual and Group Annuities and Supplementary Contracts | $863 | $863 |
Fair_Value_Measurements_Fair_V2
Fair Value Measurements - Fair Value of Life Policy Loans (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of life policy loans | $39 | $39 |
Quoted prices in active markets for identical assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of life policy loans | 0 | 0 |
Significant other observable inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of life policy loans | 0 | 0 |
Significant unobservable inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of life policy loans | $39 | $39 |
Fair_Value_Measurements_Fair_V3
Fair Value Measurements - Fair Values of Deferred Annuities, Structured Settlements and Other Items (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | $1,134 | $1,114 |
Deferred Annuities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 909 | 897 |
Structured Settlements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 225 | 217 |
Quoted prices in active markets for identical assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Deferred Annuities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 0 | 0 |
Quoted prices in active markets for identical assets (Level 1) | Structured Settlements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 0 | 0 |
Significant other observable inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 225 | 217 |
Significant other observable inputs (Level 2) | Deferred Annuities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 0 | 0 |
Significant other observable inputs (Level 2) | Structured Settlements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 225 | 217 |
Significant unobservable inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 909 | 897 |
Significant unobservable inputs (Level 3) | Deferred Annuities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | 909 | 897 |
Significant unobservable inputs (Level 3) | Structured Settlements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value of life insurance liabilities | $0 | $0 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivable | $70 | $75 |
Loss and loss expense reserves | 4,623 | 4,485 |
Life Policy Loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Finance receivable | 30 | 31 |
Deferred Annuities And Structured Settlements [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liability for Future Policy Benefits, Individual and Group Annuities and Supplementary Contracts | 863 | 863 |
Loss and loss expense reserves | $181 | $182 |
Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage Of Level 3 Assets To Total Financial Instruments Measured At Fair Value | 1.00% |
Property_Casualty_Loss_and_Los2
Property Casualty Loss and Loss Expenses - Consolidated Property Casualty Loss and Loss Expense Reserves (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Summary of Consolidated Property Casualty Loss and Loss Expense Reserves [Roll Forward] | ||
Gross loss and loss expense reserves, beginning of period | $4,438 | $4,241 |
Less reinsurance recoverable | 282 | 299 |
Net loss and loss expense reserves, beginning of period | 4,156 | 3,942 |
Current accident year | 711 | 705 |
Prior accident years | -22 | -29 |
Total incurred | 689 | 676 |
Current accident year | 147 | 197 |
Prior accident years | 399 | 387 |
Total paid | 546 | 584 |
Net loss and loss expense reserves, end of period | 4,299 | 4,034 |
Plus reinsurance recoverable | 278 | 289 |
Gross loss and loss expense reserves, end of period | $4,577 | $4,323 |
Property_Casualty_Loss_and_Los3
Property Casualty Loss and Loss Expenses - Additional Information (Detail) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Reserve for loss and loss expenses | $4,577 | $4,323 | $4,438 | $4,241 |
Prior accident years | -22 | -29 | ||
Life and Health Loss Reserves | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Reserve for loss and loss expenses | 46 | 52 | ||
Commercial Lines | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | -14 | -3 | ||
Commercial Lines | Commercial Property | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | -11 | |||
Commercial Lines | Workers' Compensation | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | -15 | |||
Commercial Lines | Commercial Auto | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | 11 | |||
Personal Lines | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | -3 | -17 | ||
Personal Lines | Homeowner [Member] | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | -7 | |||
Excess and Surplus Lines Insurance | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | -5 | -9 | ||
Consolidated Property and Casualty Insurance Entity | Catastrophe Development | ||||
Supplemental Information for Property, Casualty Insurance Underwriters [Line Items] | ||||
Prior accident years | ($11) | ($9) |
Reserves_in_Addition_to_Accoun
Reserves in Addition to Account Balance, Based on Expected No-Lapse Guarantee Benefits and Expected Policy Assessments (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Liability for Future Policy Benefit, by Product Segment [Line Items] | ||
Life policy and investment contract reserves | $2,514 | $2,497 |
Ordinary/Traditional Life | ||
Liability for Future Policy Benefit, by Product Segment [Line Items] | ||
Life policy and investment contract reserves | 891 | 875 |
Deferred Annuities | ||
Liability for Future Policy Benefit, by Product Segment [Line Items] | ||
Life policy and investment contract reserves | 863 | 863 |
Universal Life | ||
Liability for Future Policy Benefit, by Product Segment [Line Items] | ||
Life policy and investment contract reserves | 533 | 530 |
Structured Settlements | ||
Liability for Future Policy Benefit, by Product Segment [Line Items] | ||
Life policy and investment contract reserves | 181 | 182 |
Other | ||
Liability for Future Policy Benefit, by Product Segment [Line Items] | ||
Life policy and investment contract reserves | $46 | $47 |
Deferred_Acquisition_Costs_Def
Deferred Acquisition Costs - Deferred Policy Acquisition Costs and Asset Reconciliation (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Deferred policy acquisition costs asset, beginning of period | $578 | $565 |
Capitalized deferred policy acquisition costs | 207 | 206 |
Amortized deferred policy acquisition costs | -209 | -201 |
Amortized shadow deferred policy acquisition costs | -5 | -6 |
Deferred policy acquisition costs asset, end of period | $571 | $564 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Details) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Accumulated other comprehensive income, net of tax, beginning of period | $1,716 | $1,744 | ||
Accumulated other comprehensive income, net of tax, end of period | 1,716 | 1,744 | ||
Accumulated Net Unrealized Investment Gain (Loss) | ||||
Accumulated Other Comprehensive Income Loss Before Tax [Abstract] | ||||
Accumulated other comprehensive income, before tax, beginning of period | 2,719 | 2,335 | ||
Other comprehensive income before reclassification, before tax | 3 | 135 | ||
Reclassification adjustment, before tax | -46 | -18 | ||
Effect on other comprehensive income, before tax | -43 | 117 | ||
Accumulated other comprehensive income, before tax, end of period | 2,676 | 2,452 | ||
Accumulated Other Comprehensive Income (Loss), Tax [Abstract] | ||||
Accumulated other comprehensive income, tax, beginning of period | 942 | 808 | ||
Other comprehensive income before reclassification, tax | 1 | 48 | ||
Reclassification adjustment, tax | -16 | -7 | ||
Effect on other comprehensive income, tax | -15 | 41 | ||
Accumulated other comprehensive income, tax, end of period | 927 | 849 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Accumulated other comprehensive income, net of tax, beginning of period | 1,749 | 1,603 | 1,777 | 1,527 |
Other comprehensive income before reclassification, net of tax | 2 | 87 | ||
Reclassification adjustment, net of tax | -30 | -11 | ||
Effect on other comprehensive income, net of tax | -28 | 76 | ||
Accumulated other comprehensive income, net of tax, end of period | 1,749 | 1,603 | 1,777 | 1,527 |
Accumulated Defined Benefit Plans Adjustment | ||||
Accumulated Other Comprehensive Income Loss Before Tax [Abstract] | ||||
Accumulated other comprehensive income, before tax, beginning of period | -36 | -18 | ||
Other comprehensive income before reclassification, before tax | 0 | -2 | ||
Reclassification adjustment, before tax | 1 | 1 | ||
Effect on other comprehensive income, before tax | 1 | -1 | ||
Accumulated other comprehensive income, before tax, end of period | -35 | -19 | ||
Accumulated Other Comprehensive Income (Loss), Tax [Abstract] | ||||
Accumulated other comprehensive income, tax, beginning of period | -12 | -6 | ||
Other comprehensive income before reclassification, tax | 0 | 0 | ||
Reclassification adjustment, tax | 0 | 0 | ||
Effect on other comprehensive income, tax | 0 | 0 | ||
Accumulated other comprehensive income, tax, end of period | -12 | -6 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Accumulated other comprehensive income, net of tax, beginning of period | -23 | -13 | -24 | -12 |
Other comprehensive income before reclassification, net of tax | 0 | -2 | ||
Reclassification adjustment, net of tax | 1 | 1 | ||
Effect on other comprehensive income, net of tax | 1 | -1 | ||
Accumulated other comprehensive income, net of tax, end of period | -23 | -13 | -24 | -12 |
Accumulated Net Unrealized Gain (Loss) on Deferred Costs, Reserves And Other | ||||
Accumulated Other Comprehensive Income Loss Before Tax [Abstract] | ||||
Accumulated other comprehensive income, before tax, beginning of period | -12 | -16 | ||
Other comprehensive income before reclassification, before tax | -1 | 3 | ||
Reclassification adjustment, before tax | -1 | -4 | ||
Effect on other comprehensive income, before tax | -2 | -1 | ||
Accumulated other comprehensive income, before tax, end of period | -14 | -17 | ||
Accumulated Other Comprehensive Income (Loss), Tax [Abstract] | ||||
Accumulated other comprehensive income, tax, beginning of period | -3 | -5 | ||
Other comprehensive income before reclassification, tax | -1 | 1 | ||
Reclassification adjustment, tax | 0 | -1 | ||
Effect on other comprehensive income, tax | -1 | 0 | ||
Accumulated other comprehensive income, tax, end of period | -4 | -5 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Accumulated other comprehensive income, net of tax, beginning of period | -10 | -12 | -9 | -11 |
Other comprehensive income before reclassification, net of tax | 0 | 2 | ||
Reclassification adjustment, net of tax | -1 | -3 | ||
Effect on other comprehensive income, net of tax | -1 | -1 | ||
Accumulated other comprehensive income, net of tax, end of period | -10 | -12 | -9 | -11 |
Accumulated Other Comprehensive Income (Loss) | ||||
Accumulated Other Comprehensive Income Loss Before Tax [Abstract] | ||||
Accumulated other comprehensive income, before tax, beginning of period | 2,671 | 2,301 | ||
Change in unrealized gains, net, on investments available for sale, before tax | -43 | 117 | ||
Change in pension obligations, before tax | 1 | -1 | ||
Change in life deferred acquisition costs, life policy reserves and other, before tax | -2 | -1 | ||
Effect on other comprehensive income, before tax | -44 | 115 | ||
Accumulated other comprehensive income, before tax, end of period | 2,627 | 2,416 | ||
Accumulated Other Comprehensive Income (Loss), Tax [Abstract] | ||||
Accumulated other comprehensive income, tax, beginning of period | 927 | 797 | ||
Change in unrealized gains, net, on investments available for sale, tax | -15 | 41 | ||
Change in pension obligations, tax | 0 | 0 | ||
Change in life deferred acquisition costs, life policy reserves and other, tax | -1 | 0 | ||
Effect on other comprehensive income, tax | -16 | 41 | ||
Accumulated other comprehensive income, tax, end of period | 911 | 838 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Accumulated other comprehensive income, net of tax, beginning of period | 1,716 | 1,578 | 1,744 | 1,504 |
Change in unrealized gains, net, on investments available for sale, net of tax | -28 | 76 | ||
Change in pension obligations, net of tax | 1 | -1 | ||
Change in life deferred acquisition costs, life policy reserves and other, net of tax | -1 | -1 | ||
Effect on other comprehensive income, net of tax | -28 | 74 | ||
Accumulated other comprehensive income, net of tax, end of period | $1,716 | $1,578 | $1,744 | $1,504 |
Reinsurance_Earned_Consolidate
Reinsurance - Earned Consolidated Property Casualty Insurance Premiums on Assumed and Ceded Business (Detail) (Consolidated Property and Casualty Insurance Entity, USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Consolidated Property and Casualty Insurance Entity | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Direct earned premiums | $1,076 | $1,019 |
Assumed earned premiums | 2 | 3 |
Ceded earned premiums | -37 | -43 |
Earned premiums | $1,041 | $979 |
Reinsurance_Incurred_Consolida
Reinsurance - Incurred Consolidated Property Casualty Insurance Loss and Loss Expenses on Assumed and Ceded Business (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Incurred loss and loss expenses | $749 | $732 |
Consolidated Property and Casualty Insurance Entity | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Direct incurred loss and loss expenses | 691 | 677 |
Assumed incurred loss and loss expenses | -1 | 2 |
Ceded incurred loss and loss expenses | -1 | -3 |
Incurred loss and loss expenses | $689 | $676 |
Reinsurance_Earned_Life_Insura
Reinsurance - Earned Life Insurance Premiums on Ceded Business (Detail) (Life Insurance Segment, USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Life Insurance Segment | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Direct earned premiums | $65 | $62 |
Ceded earned premiums | -12 | -14 |
Earned premiums | $53 | $48 |
Reinsurance_Life_Insurance_Con
Reinsurance - Life Insurance Contract Holders' Benefits Incurred on Ceded Business (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Insurance losses and policyholder benefits | $749 | $732 |
Life Insurance Segment | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Direct contract holders' benefits incurred | 72 | 80 |
Ceded contract holders' benefits incurred | -12 | -24 |
Insurance losses and policyholder benefits | $60 | $56 |
Income_Taxes_Differences_Betwe
Income Taxes - Differences Between 35 Percent Statutory Income Tax Rate and Effective Income Tax Rate (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Tax Disclosure [Abstract] | ||
Tax at statutory rate | $61 | $42 |
Increase (decrease) resulting from: | ||
Tax-exempt income from municipal bonds | -8 | -8 |
Dividend received exclusion | -8 | -7 |
Other | 1 | 1 |
Total provision for income taxes | $46 | $28 |
Tax at statutory rate | 35.00% | 35.00% |
Increase (decrease) resulting from: | ||
Tax-exempt income from municipal bonds | -4.60% | -6.70% |
Dividend received exclusion | -4.60% | -5.90% |
Other | 0.60% | 1.10% |
Provision for income taxes | 26.40% | 23.50% |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | ||
Tax at statutory rate, percentage | 35.00% | 35.00% |
Net_Income_Per_Common_Share_Ca
Net Income Per Common Share - Calculations for Basic and Diluted Earnings Per Share (Detail) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Numerator: | ||
Net income-basic and diluted | $128 | $91 |
Denominator: | ||
Basic weighted-average common shares outstanding (in shares) | 164 | 163.4 |
Diluted weighted-average shares | 165.6 | 165 |
Earnings per share: | ||
Basic (in USD per share) | $0.78 | $0.56 |
Diluted (in USD per share) | $0.77 | $0.55 |
Number of anti-dilutive stock-based awards (in shares) | 0.7 | 0.7 |
Stock Options | ||
Denominator: | ||
Effect of stock-based awards (in shares) | 1 | 1 |
Nonvested shares | ||
Denominator: | ||
Effect of stock-based awards (in shares) | 0.6 | 0.6 |
Employee_Retirement_Benefits_C
Employee Retirement Benefits - Components of Net Periodic Costs for Qualified and Supplemental Pension Plans (Detail) (Qualified Pension Plans [Member], USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Qualified Pension Plans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $3 | $2 |
Interest cost | 3 | 4 |
Expected return on plan assets | -4 | -4 |
Amortization of actuarial loss and prior service cost | 1 | 1 |
Net periodic benefit cost | $3 | $3 |
Employee_Retirement_Benefits_D
Employee Retirement Benefits - Defined Contribution Plan (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | ||
Matching contributions to 401(k) and Top Hat plans | $4 | $4 |
Qualified Pension Plans [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Expected contributions by employer in the remainder of year | 0 | |
Pension contributions | $5 |
Commitments_and_Contingent_Lia1
Commitments and Contingent Liabilities (Narrative) (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Commitments and Contingencies Disclosure [Abstract] | |
Estimate for which the risk of loss is more than remote but not probable | $1 |
Segment_Information_Detail
Segment Information (Detail) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | |||
Earned premiums | $1,094 | $1,027 | |
Fee revenues | 3 | 3 | |
Investment income, net of expenses | 139 | 135 | |
Realized investment gains, net | 47 | 22 | |
Other | 2 | 2 | |
Revenues | 1,285 | 1,189 | |
Income (loss) before income taxes | 174 | 119 | |
Identifiable assets | 18,897 | 18,753 | |
Consolidated Property and Casualty Insurance Entity | |||
Segment Reporting Information [Line Items] | |||
Identifiable assets | 2,711 | 2,656 | |
Life Insurance Segment | |||
Segment Reporting Information [Line Items] | |||
Identifiable assets | 1,306 | 1,316 | |
Investments Segment | |||
Segment Reporting Information [Line Items] | |||
Identifiable assets | 14,544 | 14,441 | |
Operating Segments | Commercial Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 733 | 692 | |
Fee revenues | 1 | 1 | |
Revenues | 734 | 693 | |
Income (loss) before income taxes | 26 | 2 | |
Operating Segments | Personal Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 268 | 254 | |
Fee revenues | 1 | 0 | |
Revenues | 269 | 254 | |
Income (loss) before income taxes | -3 | -7 | |
Operating Segments | Excess and Surplus Lines Insurance | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 40 | 33 | |
Income (loss) before income taxes | 4 | 4 | |
Operating Segments | Life Insurance Segment | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 53 | 48 | |
Fee revenues | 1 | 2 | |
Revenues | 54 | 50 | |
Income (loss) before income taxes | -3 | 0 | |
Operating Segments | Investments Segment | |||
Segment Reporting Information [Line Items] | |||
Investment income, net of expenses | 139 | 135 | |
Realized investment gains, net | 47 | 22 | |
Revenues | 186 | 157 | |
Income (loss) before income taxes | 165 | 136 | |
Corporate and Other Non-Segment | |||
Segment Reporting Information [Line Items] | |||
Other | 2 | 2 | |
Income (loss) before income taxes | -15 | -16 | |
Identifiable assets | 336 | 340 | |
Commercial Casualty | Operating Segments | Commercial Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 244 | 224 | |
Commercial Property | Operating Segments | Commercial Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 196 | 171 | |
Commercial Auto | Operating Segments | Commercial Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 136 | 126 | |
Workers' Compensation | Operating Segments | Commercial Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 93 | 92 | |
Other Commercial Lines | Operating Segments | Commercial Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 64 | 79 | |
Personal Auto | Operating Segments | Personal Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 123 | 116 | |
Home Owner Segment | Operating Segments | Personal Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 114 | 109 | |
Other Personal Lines | Operating Segments | Personal Lines | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | $31 | $29 |
Segment_Information_Narrative_
Segment Information - Narrative (Details) | 3 Months Ended |
Mar. 31, 2015 | |
segment | |
industry | |
Segment Reporting [Abstract] | |
Number of Industries Operating In | 2 |
Number of Reportable Segments | 5 |