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Document and Entity Information - USD ($) $ in Millions	12 Months Ended
Document and Entity Information - USD ($) $ in Millions	Dec. 31, 2017	Jan. 31, 2018	Jun. 30, 2017
Document and Entity Information
Entity Registrant Name	ALLSTATE CORP
Entity Central Index Key	0000899051
Document Type	10-K
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 31,500
Entity Common Stock, Shares Outstanding		354,458,095
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY

Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Revenues
Property and casualty insurance premiums (net of reinsurance ceded of $971, $987 and $1,006)	$ 32,300	$ 31,307	$ 30,309
Life premiums and contract charges (net of reinsurance ceded of $303, $309 and $332)	2,378	2,275	2,158
Net investment income	3,401	3,042	3,156
Realized capital gains and losses:
Total other-than-temporary impairment (“OTTI”) losses	(146)	(313)	(452)
OTTI losses reclassified to other comprehensive income	(4)	10	36
Net OTTI losses recognized in earnings	(150)	(303)	(416)
Sales and other realized capital gains and losses	595	213	446
Total realized capital gains and losses	445	(90)	30
Total revenues	38,524	36,534	35,653
Costs and expenses
Property and casualty insurance claims and claims expense (net of reinsurance ceded of $1,807, $1,116 and $602)	21,929	22,221	21,034
Life contract benefits (net of reinsurance ceded of $179, $208 and $219)	1,923	1,857	1,803
Interest credited to contractholder funds (net of reinsurance ceded of $25, $26 and $25)	690	726	761
Amortization of deferred policy acquisition costs	4,784	4,550	4,364
Operating costs and expenses	4,658	4,106	4,081
Restructuring and related charges	109	30	39
Goodwill impairment	125	0	0
Interest expense	335	295	292
Total costs and expenses	34,553	33,785	32,374
Gain on disposition of operations	20	5	3
Income from operations before income tax expense	3,991	2,754	3,282
Income tax expense	802	877	1,111
Net income	3,189	1,877	2,171
Preferred stock dividends	116	116	116
Net income applicable to common shareholders	$ 3,073	$ 1,761	$ 2,055
Earnings per common share:
Net income applicable to common shareholders earnings per common share - Basic (in dollars per share)	$ 8.49	$ 4.72	$ 5.12
Weighted average common shares - Basic (in shares)	362.0	372.8	401.1
Net income applicable to common shareholders earnings per common share - Diluted (in dollars per share)	$ 8.36	$ 4.67	$ 5.05
Weighted average common shares - Diluted (in shares)	367.8	377.3	406.8
Cash dividends declared per common share (in dollars per share)	$ 1.48	$ 1.32	$ 1.20

Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Property-liability insurance premiums earned	$ 1,274	$ 1,296	$ 1,338
Property-liability insurance claims and claims expense
Reinsurance ceded amount	1,807	1,116	602
Life and annuity contract benefits
Reinsurance ceded amount	179	208	219
Interest credited to contractholder funds
Reinsurance ceded amount	25	26	25
Property-liability insurance premiums earned
Property-liability insurance premiums earned	971	987	1,006
Life and annuity premiums and contract charges
Life and annuity premiums and contract charges	$ 303	$ 309	$ 332

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Statement of Comprehensive Income [Abstract]
Net income	$ 3,189	$ 1,877	$ 2,171
Changes in:
Unrealized net capital gains and losses	319	433	(1,306)
Unrealized foreign currency translation adjustments	47	10	(58)
Unrecognized pension and other postretirement benefit cost	307	(104)	48
Other comprehensive income (loss), after-tax	673	339	(1,316)
Comprehensive income	$ 3,862	$ 2,216	$ 855

Consolidated Statements of Financial Position - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Investments
Fixed income securities, at fair value (amortized cost $57,525 and $56,576)	$ 58,992	$ 57,839
Equity securities, at fair value (cost $5,461 and $5,157)	6,621	5,666
Mortgage loans	4,534	4,486
Limited partnership interests	6,740	5,814
Short-term, at fair value (amortized cost $1,944 and $4,288)	1,944	4,288
Other	3,972	3,706
Total investments	82,803	81,799
Cash	617	436
Premium installment receivables, net	5,786	5,597
Deferred policy acquisition costs	4,191	3,954
Reinsurance recoverables, net	8,921	8,745
Accrued investment income	569	567
Property and equipment, net	1,072	1,065
Goodwill	2,181	1,219
Other assets	2,838	1,835
Separate Accounts	3,444	3,393
Total assets	112,422	108,610
Liabilities
Reserve for property and casualty insurance claims and claims expense	26,325	25,250
Reserve for life-contingent contract benefits	12,549	12,239
Contractholder funds	19,434	20,260
Unearned premiums	13,473	12,583
Claim payments outstanding	875	879
Deferred income taxes	782	487
Other liabilities and accrued expenses	6,639	6,599
Long-term debt	6,350	6,347
Separate Accounts	3,444	3,393
Total liabilities	89,871	88,037
Commitments and Contingent Liabilities (Note 7, 8 and 14)
Shareholders’ equity
Preferred stock and additional capital paid-in, $1 par value, 25 million shares authorized, 72.2 thousand issued and outstanding, $1,805 aggregate liquidation preference	1,746	1,746
Common stock, $.01 par value, 2.0 billion shares authorized and 900 million issued, 355 million and 366 million shares outstanding	9	9
Additional capital paid-in	3,313	3,303
Retained income	43,162	40,678
Deferred ESOP expense	(3)	(6)
Treasury stock, at cost (545 million and 534 million shares)	(25,982)	(24,741)
Unrealized net capital gains and losses:
Unrealized net capital gains and losses on fixed income securities with OTTI	85	57
Other unrealized net capital gains and losses	1,981	1,091
Unrealized adjustment to DAC, DSI and insurance reserves	(404)	(95)
Total unrealized net capital gains and losses	1,662	1,053
Unrealized foreign currency translation adjustments	(9)	(50)
Unrecognized pension and other postretirement benefit cost	(1,347)	(1,419)
Total accumulated other comprehensive income (loss) (“AOCI”)	306	(416)
Total shareholders’ equity	22,551	20,573
Total liabilities and shareholders’ equity	$ 112,422	$ 108,610

Consolidated Statements of Financial Position (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Fixed income securities, at fair value, amortized cost (in dollars)	$ 57,525	$ 56,576
Equity securities, at fair value, cost (in dollars)	5,461	5,157
Short-term, at fair value, amortized cost (in dollars)	$ 1,944	$ 4,288
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	25,000,000	25,000,000
Preferred stock, shares issued (in shares)	72,200	72,200
Preferred stock, shares outstanding (in shares)	72,200	72,200
Preferred stock, shares aggregate liquidation preference (in dollars)	$ 1,805	$ 1,805
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	2,000,000,000	2,000,000,000
Common stock, shares issued (in shares)	900,000,000	900,000,000
Common stock, shares outstanding (in shares)	355,000,000	366,000,000
Treasury stock, shares (in shares)	545,000,000	534,000,000

Consolidated Statements of Shareholders’ Equity - USD ($) $ in Millions	Total	Preferred Stock	Preferred stock additional capital paid-in	Common stock	Additional capital paid-in	Retained income	Deferred ESOP expense	Treasury stock	Accumulated other comprehensive income (loss)
Balance, beginning of year at Dec. 31, 2014					$ 3,199	$ 37,842	$ (23)	$ (21,030)	$ 561
Increase (decrease) in equity
Forward contract on accelerated share repurchase agreement					0
Equity incentive plans activity					46
Net income	$ 2,171					2,171
Dividends on common stock						(484)
Dividends on preferred stock						(116)
Payments							10
Shares acquired								(2,804)
Shares reissued under equity incentive plans, net								214
Change in unrealized net capital gains and losses	(1,306)								(1,306)
Change in unrealized foreign currency translation adjustments	(58)								(58)
Change in unrecognized pension and other postretirement benefit cost	48								48
Reclassification of tax effects due to change in accounting principle						0			0
Balance, end of year at Dec. 31, 2015	20,025	$ 0	$ 1,746	$ 9	3,245	39,413	(13)	(23,620)	(755)
Increase (decrease) in equity
Forward contract on accelerated share repurchase agreement					0
Equity incentive plans activity					58
Net income	1,877					1,877
Dividends on common stock						(496)
Dividends on preferred stock						(116)
Payments							7
Shares acquired								(1,341)
Shares reissued under equity incentive plans, net								220
Change in unrealized net capital gains and losses	433								433
Change in unrealized foreign currency translation adjustments	10								10
Change in unrecognized pension and other postretirement benefit cost	(104)								(104)
Reclassification of tax effects due to change in accounting principle						0			0
Balance, end of year at Dec. 31, 2016	20,573	0	1,746	9	3,303	40,678	(6)	(24,741)	(416)
Increase (decrease) in equity
Forward contract on accelerated share repurchase agreement					(45)
Equity incentive plans activity					55
Net income	3,189					3,189
Dividends on common stock						(540)
Dividends on preferred stock						(116)
Payments							3
Shares acquired								(1,423)
Shares reissued under equity incentive plans, net								182
Change in unrealized net capital gains and losses	319								319
Change in unrealized foreign currency translation adjustments	47								47
Change in unrecognized pension and other postretirement benefit cost	307								307
Reclassification of tax effects due to change in accounting principle						(49)			49
Balance, end of year at Dec. 31, 2017	$ 22,551	$ 0	$ 1,746	$ 9	$ 3,313	$ 43,162	$ (3)	$ (25,982)	$ 306

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities
Net income	$ 3,189	$ 1,877	$ 2,171
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and other non-cash items	483	382	371
Realized capital gains and losses	(445)	90	(30)
Gain on disposition of operations	(20)	(5)	(3)
Interest credited to contractholder funds	690	726	761
Goodwill impairment	125	0	0
Changes in:
Policy benefits and other insurance reserves	302	631	473
Unearned premiums	463	362	638
Deferred policy acquisition costs	(214)	(165)	(239)
Premium installment receivables, net	(131)	(42)	(134)
Reinsurance recoverables, net	(211)	(264)	(178)
Income taxes	(245)	417	(119)
Other operating assets and liabilities	328	(16)	(95)
Net cash provided by operating activities	4,314	3,993	3,616
Proceeds from sales
Fixed income securities	25,341	25,061	28,693
Equity securities	6,504	5,546	3,754
Limited partnership interests	1,125	881	1,101
Mortgage loans	0	0	6
Other investments	274	262	545
Investment collections
Fixed income securities	4,194	4,533	4,432
Mortgage loans	600	501	538
Other investments	642	421	293
Investment purchases
Fixed income securities	(31,145)	(27,990)	(30,758)
Equity securities	(6,585)	(5,950)	(4,960)
Limited partnership interests	(1,440)	(1,450)	(1,343)
Mortgage loans	(646)	(646)	(687)
Other investments	(999)	(885)	(902)
Change in short-term investments, net	2,610	(2,446)	385
Change in other investments, net	(30)	(51)	(52)
Purchases of property and equipment, net	(299)	(313)	(303)
Acquisition of operations	(1,356)	0	0
Net cash (used in) provided by investing activities	(1,210)	(2,526)	742
Cash flows from financing activities
Proceeds from issuance of long-term debt	0	1,236	0
Repayments of long-term debt	0	(17)	(20)
Contractholder fund deposits	1,025	1,049	1,052
Contractholder fund withdrawals	(1,890)	(2,087)	(2,327)
Dividends paid on common stock	(525)	(486)	(483)
Dividends paid on preferred stock	(116)	(116)	(116)
Treasury stock purchases	(1,495)	(1,337)	(2,808)
Shares reissued under equity incentive plans, net	135	164	130
Excess tax benefits on share-based payment arrangements	0	32	45
Other	(57)	36	7
Net cash used in financing activities	(2,923)	(1,526)	(4,520)
Net increase (decrease) in cash	181	(59)	(162)
Cash at beginning of year	436	495	657
Cash at end of year	$ 617	$ 436	$ 495

General

12 Months Ended

Dec. 31, 2017

General

General



Note 1	General

Basis of presentation

The accompanying consolidated financial statements include the accounts of The Allstate Corporation (the “Corporation”) and its wholly owned subsidiaries, primarily Allstate Insurance Company (“AIC”), a property and casualty insurance company with various property and casualty and life and investment subsidiaries, including Allstate Life Insurance Company (“ALIC”) (collectively referred to as the “Company” or “Allstate”). These consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). All significant intercompany accounts and transactions have been eliminated.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.

In fourth quarter 2017, the Company revised its reportable segments. For additional information on impacts of the revised segments, see Notes 2, 4 and 9. To conform to the current year presentation, certain amounts in the prior years’ notes have been updated to reflect changes in reportable segments.

Nature of operations

Allstate is engaged, principally in the United States, in the property and casualty insurance and life insurance business. Allstate was the country’s second largest personal property and casualty insurer as of December 31, 2016. Allstate is organized into seven reportable segments: Allstate Protection, Discontinued Lines and Coverages, Service Businesses, Allstate Life, Allstate Benefits, Allstate Annuities, and Corporate and Other.

Allstate’s primary business is the sale of private passenger auto and homeowners insurance. The Company also offers several other personal property and casualty insurance products, select commercial property and casualty coverages, consumer product protection plans, device and mobile data collection services and analytic solutions, roadside assistance, finance and insurance products, life insurance and voluntary accident and health insurance. Allstate primarily distributes its products through exclusive agencies, financial specialists, independent agencies and brokers, major retailers, contact centers and the internet.

Risks and uncertainties

Allstate has exposure to catastrophes, an inherent risk of the property and casualty insurance business, which have contributed, and will continue to contribute, to material year-to-year fluctuations in the Company’s results of operations and financial position (see Note 8). The nature and level of catastrophic loss caused by natural events (high winds, winter storms, tornadoes, hailstorms, wildfires, tropical storms, hurricanes, earthquakes and volcanoes) and man-made events (terrorism and industrial accidents) experienced in any period cannot be predicted and could be material to results of operations and financial position. The Company considers the greatest areas of potential catastrophe losses due to hurricanes to generally be major metropolitan centers in counties along the eastern and gulf coasts of the United States. The Company considers the greatest areas of potential catastrophe losses due to earthquakes and fires following earthquakes to be major metropolitan areas near fault lines in the states of California, Oregon, Washington, South Carolina, Missouri, Kentucky and Tennessee. The Company also has exposure to asbestos, environmental and other discontinued lines claims (see Notes 8 and 14).

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Summary of Significant Accounting Policies



Note 2	Summary of Significant Accounting Policies

Investments

Fixed income securities include bonds, asset-backed securities (“ABS”), residential mortgage-backed securities (“RMBS”), commercial mortgage-backed securities (“CMBS”) and redeemable preferred stocks. Fixed income securities, which may be sold prior to their contractual maturity, are designated as available for sale and are carried at fair value. The difference between amortized cost and fair value, net of deferred income taxes and related life and annuity deferred policy acquisition costs (“DAC”), deferred sales inducement costs (“DSI”) and reserves for life-contingent contract benefits, is reflected as a component of accumulated other comprehensive income (“AOCI”). Cash received from calls and make-whole payments is reflected as a component of proceeds from sales and cash received from maturities and pay-downs is reflected as a component of investment collections within the Consolidated Statements of Cash Flows.

Equity securities primarily include common stocks, exchange traded and mutual funds, non-redeemable preferred stocks and real estate investment trust equity investments. Certain exchange traded and mutual funds have fixed income securities as their underlying investments. Equity securities are designated as available for sale and are carried at fair value. The difference between cost and fair value, net of deferred income taxes, is reflected as a component of AOCI.

Mortgage loans are carried at unpaid principal balances, net of unamortized premium or discount and valuation allowances. Valuation allowances are established for impaired loans when it is probable that contractual principal and interest will not be collected.

Investments in limited partnership interests include interests in private equity funds, real estate funds and other funds. Where the Company’s interest is so minor that it exercises virtually no influence over operating and financial policies, investments in limited partnership interests are accounted for in accordance with the cost method of accounting; all other investments in limited partnership interests are accounted for in accordance with the equity method of accounting (“EMA”).

Short-term investments, including commercial paper, U.S. Treasury bills, money market funds and other short-term investments, are carried at fair value. Other investments primarily consist of bank loans, policy loans, agent loans, real estate and derivatives. Bank loans are primarily senior secured corporate loans and are carried at amortized cost. Policy loans are carried at unpaid principal balances and were $905 million and $904 million as of December 31, 2017 and 2016, respectively. Agent loans are loans issued to exclusive Allstate agents and are carried at unpaid principal balances, net of valuation allowances and unamortized deferred fees or costs. Real estate is carried at cost less accumulated depreciation. Derivatives are carried at fair value.

Investment income primarily consists of interest, dividends, income from limited partnership interests, rental income from real estate, and income from certain derivative transactions. Interest is recognized on an accrual basis using the effective yield method and dividends are recorded at the ex-dividend date. Interest income for ABS, RMBS and CMBS is determined considering estimated pay-downs, including prepayments, obtained from third party data sources and internal estimates. Actual prepayment experience is periodically reviewed and effective yields are recalculated when differences arise between the prepayments originally anticipated and the actual prepayments received and currently anticipated. For ABS, RMBS and CMBS of high credit quality with fixed interest rates, the effective yield is recalculated on a retrospective basis. For all others, the effective yield is recalculated on a prospective basis. Accrual of income is suspended for other-than-temporarily impaired fixed income securities when the timing and amount of cash flows expected to be received is not reasonably estimable. Accrual of income is suspended for mortgage loans, bank loans and agent loans that are in default or when full and timely collection of principal and interest payments is not probable. Cash receipts on investments on nonaccrual status are generally recorded as a reduction of carrying value. Income from cost method limited partnership interests is recognized upon receipt of amounts distributed by the partnerships. Income from EMA limited partnership interests is recognized based on the Company’s share of the partnerships’ earnings and unrealized gains and losses resulting from valuation changes of the underlying investments, and is generally recognized on a three month delay due to the availability of the related financial statements.

Realized capital gains and losses include gains and losses on investment sales, write-downs in value due to other-than-temporary declines in fair value, adjustments to valuation allowances on mortgage loans and agent loans, periodic changes in fair value and settlements of certain derivatives including hedge ineffectiveness and valuation changes in public securities held in certain limited partnerships. Realized capital gains and losses on investment sales are determined on a specific identification basis.

Derivative and embedded derivative financial instruments

Derivative financial instruments include interest rate swaps, credit default swaps, futures (interest rate and equity), options (including swaptions), interest rate caps, warrants and rights, foreign currency swaps, foreign currency forwards and certain investment risk transfer reinsurance agreements. Derivatives required to be separated from the host instrument and accounted for as derivative financial instruments (“subject to bifurcation”) are embedded in equity-indexed life and annuity contracts, reinsured variable annuity contracts and certain funding agreements.

All derivatives are accounted for on a fair value basis and reported as other investments, other assets, other liabilities and accrued expenses or contractholder funds. Embedded derivative instruments subject to bifurcation are also accounted for on a fair value basis and are reported together with the host contract. The change in fair value of derivatives embedded in life and annuity product contracts and subject to bifurcation is reported in life and annuity contract benefits or interest credited to contractholder funds. Cash flows from embedded derivatives subject to bifurcation and derivatives receiving hedge accounting are reported consistently with the host contracts and hedged risks, respectively, within the Consolidated Statements of Cash Flows. Cash flows from other derivatives are reported in cash flows from investing activities within the Consolidated Statements of Cash Flows.

When derivatives meet specific criteria, they may be designated as accounting hedges and accounted for as fair value, cash flow, foreign currency fair value or foreign currency cash flow hedges. The hedged item may be either all or a specific portion of a recognized asset, liability or an unrecognized firm commitment attributable to a particular risk for fair value hedges. At the inception of the hedge, the Company formally documents the hedging relationship and risk management objective and strategy. The documentation identifies the hedging instrument, the hedged item, the nature of the risk being hedged and the methodology used to assess the effectiveness of the hedging instrument in offsetting the exposure to changes in the hedged item’s fair value attributable to the hedged risk. For a cash flow hedge, this documentation includes the exposure to changes in the variability in cash flows attributable to the hedged risk. The Company does not exclude any component of the change in fair value of the hedging instrument from the effectiveness assessment. At each reporting date, the Company confirms that the hedging instrument continues to be highly effective in offsetting the hedged risk. Ineffectiveness in fair value hedges and cash flow hedges, if any, is reported in realized capital gains and losses.

Fair value hedges The change in fair value of hedging instruments used in fair value hedges of investment assets or a portion thereof is reported in net investment income, together with the change in fair value of the hedged items. The change in fair value of hedging instruments used in fair value hedges of contractholder funds liabilities or a portion thereof is reported in interest credited to contractholder funds, together with the change in fair value of the hedged items. Accrued periodic settlements on swaps are reported together with the changes in fair value of the swaps in net investment income or interest credited to contractholder funds. The amortized cost for fixed income securities, the carrying value for mortgage loans or the carrying value of the hedged liability is adjusted for the change in fair value of the hedged risk.

Cash flow hedges For hedging instruments used in cash flow hedges, the changes in fair value of the derivatives representing the effective portion of the hedge are reported in AOCI. Amounts are reclassified to net investment income, realized capital gains and losses or interest expense as the hedged or forecasted transaction affects income. Accrued periodic settlements on derivatives used in cash flow hedges are reported in net investment income. The amount reported in AOCI for a hedged transaction is limited to the lesser of the cumulative gain or loss on the derivative less the amount reclassified to income, or the cumulative gain or loss on the derivative needed to offset the cumulative change in the expected future cash flows on the hedged transaction from inception of the hedge less the derivative gain or loss previously reclassified from AOCI to income. If the Company expects at any time that the loss reported in AOCI would lead to a net loss on the combination of the hedging instrument and the hedged transaction which may not be recoverable, a loss is recognized immediately in realized capital gains and losses. If an impairment loss is recognized on an asset or an additional obligation is incurred on a liability involved in a hedge transaction, any offsetting gain in AOCI is reclassified and reported together with the impairment loss or recognition of the obligation.

Termination of hedge accounting If, subsequent to entering into a hedge transaction, the derivative becomes ineffective (including if the hedged item is sold or otherwise extinguished, the occurrence of a hedged forecasted transaction is no longer probable or the hedged asset becomes other-than-temporarily impaired), the Company may terminate the derivative position. The Company may also terminate derivative instruments or redesignate them as non-hedge as a result of other events or circumstances. If the derivative instrument is not terminated when a fair value hedge is no longer effective, the future gains and losses recognized on the derivative are reported in realized capital gains and losses. When a fair value hedge is no longer effective, is redesignated as non-hedge or when the derivative has been terminated, the fair value gain or loss on the hedged asset, liability or portion thereof which has already been recognized in income while the hedge was in place and used to adjust the amortized cost for fixed income securities, the carrying value for mortgage loans or the carrying value of the hedged liability, is amortized over the remaining life of the hedged asset, liability or portion thereof, and reflected in net investment income or interest credited to contractholder funds beginning in the period that hedge accounting is no longer applied. If the hedged item in a fair value hedge is an asset that has become other-than-temporarily impaired, the adjustment made to the amortized cost for fixed income securities or the carrying value for mortgage loans is subject to the accounting policies applied to other-than-temporarily impaired assets.

When a derivative instrument used in a cash flow hedge of an existing asset or liability is no longer effective or is terminated, the gain or loss recognized on the derivative is reclassified from AOCI to income as the hedged risk impacts income. If the derivative instrument is not terminated when a cash flow hedge is no longer effective, the future gains and losses recognized on the derivative are reported in realized capital gains and losses. When a derivative instrument used in a cash flow hedge of a forecasted transaction is terminated because it is probable the forecasted transaction will not occur, the gain or loss recognized on the derivative is immediately reclassified from AOCI to realized capital gains and losses in the period that hedge accounting is no longer applied.

Non-hedge derivative financial instruments For derivatives for which hedge accounting is not applied, the income statement effects, including fair value gains and losses and accrued periodic settlements, are reported either in realized capital gains and losses or in a single line item together with the results of the associated asset or liability for which risks are being managed.

Securities loaned

The Company’s business activities include securities lending transactions, which are used primarily to generate net investment income. The proceeds received in conjunction with securities lending transactions are reinvested in short-term investments or fixed income securities. These transactions are short-term in nature, usually 30 days or less.

The Company receives cash collateral for securities loaned in an amount generally equal to 102% and 105% of the fair value of domestic and foreign securities, respectively, and records the related obligations to return the collateral in other liabilities and accrued expenses. The carrying value of these obligations approximates fair value because of their relatively short-term nature. The Company monitors the market value of securities loaned on a daily basis and obtains additional collateral as necessary under the terms of the agreements to mitigate counterparty credit risk. The Company maintains the right and ability to repossess the securities loaned on short notice.

Recognition of premium revenues and contract charges, and related benefits and interest credited

Property and casualty insurance premiums include premiums from personal lines policies, protection plans, and other contracts (primarily related to finance and insurance products) backed by insurance. Personal lines and protection plans insurance premiums are deferred and earned on a pro-rata basis over the terms of the policies, typically periods of six or twelve months for personal lines policies and one to five years for protection plans. Other contracts (primarily related to finance and insurance products) premiums are deferred and earned over the terms of the contract, generally one to five years, aligned with the costs of performing services under the contract. The portion of premiums written applicable to the unexpired terms of the policies is recorded as unearned premiums. Premium installment receivables, net, represent premiums written and not yet collected, net of an allowance for uncollectible premiums. The Company regularly evaluates premium installment receivables and adjusts its valuation allowance as appropriate. The valuation allowance for uncollectible premium installment receivables was $77 million and $84 million as of December 31, 2017 and 2016, respectively.

Traditional life insurance products consist principally of products with fixed and guaranteed premiums and benefits, primarily term and whole life insurance products. Voluntary accident and health insurance products are expected to remain in force for an extended period and therefore are primarily classified as long-duration contracts. Premiums from these products are recognized as revenue when due from policyholders. Benefits are reflected in contract benefits and recognized over the life of the policy in relation to premiums.

Immediate annuities with life contingencies, including certain structured settlement annuities, provide insurance protection over a period that extends beyond the period during which premiums are collected. Premiums from these products are recognized as revenue when received at the inception of the contract. Benefits and expenses are recognized in relation to premiums. Profits from these policies come primarily from investment income, which is recognized over the life of the contract.

Interest-sensitive life contracts, such as universal life and single premium life, are insurance contracts whose terms are not fixed and guaranteed. The terms that may be changed include premiums paid by the contractholder, interest credited to the contractholder account balance and contract charges assessed against the contractholder account balance. Premiums from these contracts are reported as contractholder fund deposits. Contract charges consist of fees assessed against the contractholder account balance for the cost of insurance (mortality risk), contract administration and surrender of the contract prior to contractually specified dates. These contract charges are recognized as revenue when assessed against the contractholder account balance. Contract benefits include life-contingent benefit payments in excess of the contractholder account balance.

Contracts that do not subject the Company to significant risk arising from mortality or morbidity are referred to as investment contracts. Fixed annuities, including market value adjusted annuities, equity-indexed annuities and immediate annuities without life contingencies, and funding agreements (primarily backing medium-term notes) are considered investment contracts. Consideration received for such contracts is reported as contractholder fund deposits. Contract charges for investment contracts consist of fees assessed against the contractholder account balance for maintenance, administration and surrender of the contract prior to contractually specified dates, and are recognized when assessed against the contractholder account balance.

Interest credited to contractholder funds represents interest accrued or paid on interest-sensitive life and investment contracts. Crediting rates for certain fixed annuities and interest-sensitive life contracts are adjusted periodically by the Company to reflect current market conditions subject to contractually guaranteed minimum rates. Crediting rates for indexed life and annuities and indexed funding agreements are generally based on a specified interest rate index or an equity index, such as the Standard & Poor’s 500 Index (“S&P 500”). Interest credited also includes amortization of DSI expenses. DSI is amortized into interest credited using the same method used to amortize DAC.

Contract charges for variable life and variable annuity products consist of fees assessed against the contractholder account balances for contract maintenance, administration, mortality, expense and surrender of the contract prior to contractually specified dates. Contract benefits incurred for variable annuity products include guaranteed minimum death, income, withdrawal and accumulation benefits. Substantially all of the Company’s variable annuity business is ceded through reinsurance agreements and the contract charges and contract benefits related thereto are reported net of reinsurance ceded.

Deferred policy acquisition and sales inducement costs

Costs that are related directly to the successful acquisition of new or renewal insurance policies and investment contracts are deferred and recorded as DAC. These costs are principally agents’ and brokers’ remuneration, premium taxes and certain underwriting expenses. DSI costs, which are deferred and recorded as other assets, relate to sales inducements offered on sales to new customers, principally on fixed annuity and interest-sensitive life contracts. These sales inducements are primarily in the form of additional credits to the customer’s account balance or enhancements to interest credited for a specified period which are in excess of the rates currently being credited to similar contracts without sales inducements. DSI is amortized into income using the same methodology and assumptions as DAC and is included in interest credited to contractholder funds. All other acquisition costs are expensed as incurred and included in operating costs and expenses.

For property and casualty insurance, DAC is amortized into income as premiums are earned, typically over periods of six or twelve months for personal lines policies or generally one to five years for protection plans and other contracts (primarily related to finance and insurance products), and is included in amortization of deferred policy acquisition costs. DAC associated with property and casualty insurance is periodically reviewed for recoverability and adjusted if necessary. Future investment income is considered in determining the recoverability of DAC.

For traditional life and voluntary accident and health insurance, DAC is amortized over the premium paying period of the related policies in proportion to the estimated revenues on such business. Assumptions used in the amortization of DAC and reserve calculations are established at the time the policy is issued and are generally not revised during the life of the policy. Any deviations from projected business in force resulting from actual policy terminations differing from expected levels and any estimated premium deficiencies may result in a change to the rate of amortization in the period such events occur. Generally, the amortization periods for these policies approximates the estimated lives of the policies. The Company periodically reviews the recoverability of DAC for these policies using actual experience and current assumptions. Prior to fourth quarter 2017, the Company evaluated traditional life insurance products and immediate annuities with life contingencies on an aggregate basis. In conjunction with the segment changes in fourth quarter 2017, traditional life insurance products, immediate annuities with life contingencies, and voluntary accident and health insurance products are reviewed individually. If actual experience and current assumptions are adverse compared to the original assumptions and a premium deficiency is determined to exist, any remaining unamortized DAC balance would be expensed to the extent not recoverable and the establishment of a premium deficiency reserve may be required.

For interest-sensitive life insurance and fixed annuities, DAC and DSI are amortized in proportion to the incidence of the total present value of gross profits, which includes both actual historical gross profits (“AGP”) and estimated future gross profits (“EGP”) expected to be earned over the estimated lives of the contracts. The amortization is net of interest on the prior period DAC balance using rates established at the inception of the contracts. Actual amortization periods generally range from 15-30 years; however, incorporating estimates of the rate of customer surrenders, partial withdrawals and deaths generally results in the majority of the DAC being amortized during the surrender charge period, which is typically 10-20 years for interest-sensitive life and 5-10 years for fixed annuities. The rate of DAC and DSI amortization is reestimated and adjusted by a cumulative charge or credit to income when there is a difference between the incidence of actual versus expected gross profits in a reporting period or when there is a change in total EGP. When DAC or DSI amortization or a component of gross profits for a quarterly period is potentially negative (which would result in an increase of the DAC or DSI balance) as a result of negative AGP, the specific facts and circumstances surrounding the potential negative amortization are considered to determine whether it is appropriate for recognition in the consolidated financial statements. Negative amortization is only recorded when the increased DAC or DSI balance is determined to be recoverable based on facts and circumstances. Recapitalization of DAC and DSI is limited to the originally deferred costs plus interest.

AGP and EGP primarily consist of the following components: contract charges for the cost of insurance less mortality costs and other benefits; investment income and realized capital gains and losses less interest credited; and surrender and other contract charges less maintenance expenses. The principal assumptions for determining the amount of EGP are mortality, persistency, expenses, investment returns, including capital gains and losses on assets supporting contract liabilities, interest crediting rates to contractholders, and the effects of any hedges. For products whose supporting investments are exposed to capital losses in excess of the Company’s expectations which may cause periodic AGP to become temporarily negative, EGP and AGP utilized in DAC and DSI amortization may be modified to exclude the excess capital losses.

The Company performs quarterly reviews of DAC and DSI recoverability for interest-sensitive life and fixed annuity contracts using current assumptions. If a change in the amount of EGP is significant, it could result in the unamortized DAC or DSI not being recoverable, resulting in a charge which is included as a component of amortization of deferred policy acquisition costs or interest credited to contractholder funds, respectively.

The DAC and DSI balances presented include adjustments to reflect the amount by which the amortization of DAC and DSI would increase or decrease if the unrealized capital gains or losses in the respective product investment portfolios were actually realized. The adjustments are recorded net of tax in AOCI. DAC, DSI and deferred income taxes determined on unrealized capital gains and losses and reported in AOCI recognize the impact on shareholders’ equity consistently with the amounts that would be recognized in the income statement on realized capital gains and losses.

Customers of the Company may exchange one insurance policy or investment contract for another offered by the Company, or make modifications to an existing investment, life or property and casualty contract issued by the Company. These transactions are identified as internal replacements for accounting purposes. Internal replacement transactions determined to result in replacement contracts that are substantially unchanged from the replaced contracts are accounted for as continuations of the replaced contracts. Unamortized DAC and DSI related to the replaced contracts continue to be deferred and amortized in connection with the replacement contracts. For interest-sensitive life and investment contracts, the EGP of the replacement contracts are treated as a revision to the EGP of the replaced contracts in the determination of amortization of DAC and DSI. For traditional life and property and casualty insurance policies, any changes to unamortized DAC that result from replacement contracts are treated as prospective revisions. Any costs associated with the issuance of replacement contracts are characterized as maintenance costs and expensed as incurred. Internal replacement transactions determined to result in a substantial change to the replaced contracts are accounted for as an extinguishment of the replaced contracts, and any unamortized DAC and DSI related to the replaced contracts are eliminated with a corresponding charge to amortization of deferred policy acquisition costs or interest credited to contractholder funds, respectively.

The costs assigned to the right to receive future cash flows from certain business purchased from other insurers are also classified as DAC in the Consolidated Statements of Financial Position. The costs capitalized represent the present value of future profits expected to be earned over the lives of the contracts acquired. These costs are amortized as profits emerge over the lives of the acquired business and are periodically evaluated for recoverability. The present value of future profits was $47 million and $53 million as of December 31, 2017 and 2016, respectively. Amortization expense of the present value of future profits was $6 million, $5 million and $8 million in 2017, 2016 and 2015, respectively.

Reinsurance

In the normal course of business, the Company seeks to limit aggregate and single exposure to losses on large risks by purchasing reinsurance. The Company has also used reinsurance to effect the disposition of certain blocks of business. The Company also participates in various reinsurance mechanisms, including industry pools and facilities, which are backed by the financial resources of the property and casualty insurance company market participants. The amounts reported as reinsurance recoverables include amounts billed to reinsurers on losses paid as well as estimates of amounts expected to be recovered from reinsurers on insurance liabilities and contractholder funds that have not yet been paid. Reinsurance recoverables on unpaid losses are estimated based upon assumptions consistent with those used in establishing the liabilities related to the underlying reinsured contracts. Insurance liabilities are reported gross of reinsurance recoverables. Reinsurance premiums are generally reflected in income in a manner consistent with the recognition of premiums on the reinsured contracts. For catastrophe coverage, the cost of reinsurance premiums is recognized ratably over the contract period to the extent coverage remains available. Reinsurance does not extinguish the Company’s primary liability under the policies written. Therefore, the Company regularly evaluates the financial condition of its reinsurers, including their activities with respect to claim settlement practices and commutations, and establishes allowances for uncollectible reinsurance as appropriate.

Goodwill

Goodwill represents the excess of amounts paid for acquiring businesses over the fair value of the net assets acquired, less any impairment of goodwill recognized. The Company’s goodwill reporting units are equivalent to its reportable segments, Allstate Protection, Service Businesses, Allstate Life and Allstate Benefits to which goodwill has been assigned.



Goodwill by reporting unit
($ in millions)	December 31, 2017
Allstate Protection	$	810
Service Businesses	1,100
Allstate Life	175
Allstate Benefits	96
Total	$	2,181

Goodwill is recognized when acquired and allocated to reporting units based on which unit is expected to benefit from the synergies of the business combination. Goodwill is not amortized but is tested for impairment at least annually. The Company performs its annual goodwill impairment testing during the fourth quarter of each year based upon data as of the close of the third quarter. The Company also reviews goodwill for impairment whenever events or changes in circumstances, such as deteriorating or adverse market conditions, indicate that it is more likely than not that the carrying amount of goodwill may exceed its implied fair value. The goodwill impairment analysis is performed at the reporting unit level.

In fourth quarter 2017, the Company adopted new reportable segments, which required the Company to evaluate goodwill, including the allocation of goodwill to any new reporting units on a relative fair value basis. The reallocation was computed using fair values for the goodwill reporting units determined using discounted cash flow (“DCF”) calculations and market to book multiples derived from a peer company analysis as described below. In conjunction with the reallocation of goodwill, the Company recognized $125 million of goodwill impairment related to the goodwill allocated to the Allstate Annuities reporting unit reflecting a market-based valuation. The fair value of the Company’s remaining goodwill reporting units exceeded their carrying values. To periodically estimate the fair value of its goodwill reporting units, the Company may utilize a combination of widely accepted valuation techniques including a stock price and market capitalization analysis, DCF calculations and market to book multiples derived from a peer company analysis. The stock price and market capitalization analysis takes into consideration the quoted market price of the Company’s outstanding common stock and includes a control premium, derived from relevant historical acquisition activity, in determining the estimated fair value of the consolidated entity before allocating that fair value to individual reporting units. The DCF analysis utilizes long term assumptions for revenues, investment income, benefits, claims, other operating expenses and income taxes to produce projections of both income and cash flows available for dividends that are present valued using weighted average cost of capital. Market to book multiples represent the mean market to book multiple for selected peer companies with operations similar to the Company’s goodwill reporting units to which the multiple is applied. The outputs from these methods are weighted based on the nature of the business and the relative amount of market observable assumptions supporting the estimates. The computed values are then weighted to reflect the fair value estimate based on the specific attributes of each goodwill reporting unit.

Property and equipment

Property and equipment is carried at cost less accumulated depreciation. Included in property and equipment are capitalized costs related to computer software licenses and software developed for internal use. These costs generally consist of certain external payroll and payroll related costs. Property and equipment depreciation is calculated using the straight-line method over the estimated useful lives of the assets, generally 3 to 10 years for equipment and 40 years for real property. Depreciation expense is reported in operating costs and expenses. Accumulated depreciation on property and equipment was $2.27 billion and $2.16 billion as of December 31, 2017 and 2016, respectively. Depreciation expense on property and equipment was $290 million, $267 million and $255 million in 2017, 2016 and 2015, respectively. The Company reviews its property and equipment for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.

Income taxes

The income tax provision is calculated under the liability method. Deferred tax assets and liabilities are recorded based on the difference between the financial statement and tax bases of assets and liabilities at the enacted tax rates. The principal assets and liabilities giving rise to such differences are DAC, unearned premiums, unrealized capital gains and losses and insurance reserves. A deferred tax asset valuation allowance is established when there is uncertainty that such assets will be realized.

Reserve for property and casualty insurance claims and claims expense

The reserve for property and casualty insurance claims and claims expense is the estimate of amounts necessary to settle all reported and unreported claims for the ultimate cost of insured property and casualty losses, based upon the facts of each case and the Company’s experience with similar cases. Estimated amounts of salvage and subrogation are deducted from the reserve for claims and claims expense. The establishment of appropriate reserves, including reserves for catastrophe losses, is an inherently uncertain and complex process. Reserve estimates are primarily derived using an actuarial estimation process in which historical loss patterns are applied to actual paid losses and reported losses (paid losses plus individual case reserves established by claim adjusters) for an accident or report year to create an estimate of how losses are likely to develop over time. Development factors are calculated quarterly and periodically throughout the year for data elements such as claims reported and settled, paid losses, and paid losses combined with case reserves. The historical development patterns for these data elements are used as the assumptions to calculate reserve estimates, including the reserves for reported and unreported claims. Reserve estimates are regularly reviewed and updated, using the most current information available. Any resulting reestimates are reflected in current results of operations.

Reserve for life-contingent contract benefits

The reserve for life-contingent contract benefits payable under insurance policies, including traditional life insurance, life-contingent immediate annuities and voluntary accident and health insurance products, is computed on the basis of long-term actuarial assumptions of future investment yields, mortality, morbidity, policy terminations and expenses. These assumptions, which for traditional life insurance are applied using the net level premium method, include provisions for adverse deviation and generally vary by characteristics such as type of coverage, year of issue and policy duration. The assumptions are established at the time the policy is issued and are generally not changed during the life of the policy. The Company periodically reviews the adequacy of reserves for these policies using actual experience and current assumptions. If actual experience and current assumptions are adverse compared to the original assumptions and a premium deficiency is determined to exist, any remaining unamortized DAC balance would be expensed to the extent not recoverable and the establishment of a premium deficiency reserve may be required. Prior to fourth quarter 2017, the Company evaluated traditional life insurance products and immediate annuities with life contingencies on an aggregate basis. In conjunction with the Company’s segment changes in fourth quarter 2017, traditional life insurance products, immediate annuities with life contingencies, and voluntary accident and health insurance are reviewed individually. The Company also reviews these policies for circumstances where projected profits would be recognized in early years followed by projected losses in later years. If this circumstance exists, the Company will accrue a liability, during the period of profits, to offset the losses at such time as the future losses are expected to commence using a method updated prospectively over time. To the extent that unrealized gains on fixed income securities would result in a premium deficiency if those gains were realized, the related increase in reserves for certain immediate annuities with life contingencies is recorded net of tax as a reduction of unrealized net capital gains included in AOCI.

Contractholder funds

Contractholder funds represent interest-bearing liabilities arising from the sale of products such as interest-sensitive life insurance, fixed annuities and funding agreements. Contractholder funds primarily comprise cumulative deposits received and interest credited to the contractholder less cumulative contract benefits, surrenders, withdrawals, maturities and contract charges for mortality or administrative expenses. Contractholder funds also include reserves for secondary guarantees on interest-sensitive life insurance and certain fixed annuity contracts and reserves for certain guarantees on reinsured variable annuity contracts.

Separate accounts

Separate accounts assets are carried at fair value. The assets of the separate accounts are legally segregated and available only to settle separate accounts contract obligations. Separate accounts liabilities represent the contractholders’ claims to the related assets and are carried at an amount equal to the separate accounts assets. Investment income and realized capital gains and losses of the separate accounts accrue directly to the contractholders and therefore are not included in the Company’s Consolidated Statements of Operations. Deposits to and surrenders and withdrawals from the separate accounts are reflected in separate accounts liabilities and are not included in consolidated cash flows.

Absent any contract provision wherein the Company provides a guarantee, variable annuity and variable life insurance contractholders bear the investment risk that the separate accounts’ funds may not meet their stated investment objectives. Substantially all of the Company’s variable annuity business was reinsured beginning in 2006.

Legal contingencies

The Company reviews its lawsuits, regulatory inquiries, and other legal proceedings on an ongoing basis. The Company establishes accruals for such matters at management’s best estimate when the Company assesses that it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company’s assessment of whether a loss is reasonably possible or probable is based on its assessment of the ultimate outcome of the matter following all appeals. The Company does not include potential recoveries in its estimates of reasonably possible or probable losses. Legal fees are expensed as incurred.

Long-term debt

Long-term debt includes senior notes, senior debentures, subordinated debentures and junior subordinated debentures issued by the Corporation. Unamortized debt issuance costs are reported in long-term debt and are amortized over the expected period the debt will remain outstanding.

Deferred Employee Stock Ownership Plan (“ESOP”) expense

Deferred ESOP expense represents the remaining unrecognized cost of shares acquired by the Allstate ESOP to pre-fund a portion of the Company’s contribution to the Allstate 401(k) Savings Plan.

Equity incentive plans

The Company has equity incentive plans under which the Company grants nonqualified stock options, restricted stock units and performance stock awards (“equity awards”) to certain employees and directors of the Company. The Company measures the fair value of equity awards at the award date and recognizes the expense over the shorter of the period in which the requisite service is rendered or retirement eligibility is attained. The expense for performance stock awards is adjusted each period to reflect the performance factor most likely to be achieved at the end of the performance period. The Company uses a binomial lattice model to determine the fair value of employee stock options.

Off-balance sheet financial instruments

Commitments to invest, commitments to purchase private placement securities, commitments to extend loans, financial guarantees and credit guarantees have off-balance sheet risk because their contractual amounts are not recorded in the Company’s Consolidated Statements of Financial Position (see Notes 7 and 14).

Consolidation of variable interest entities (“VIEs”)

The Company consolidates VIEs when it is the primary beneficiary. A primary beneficiary is the variable interest holder in a VIE with both the power to direct the activities of the VIE that most significantly impact the economic performance of the VIE and the obligation to absorb losses, or the right to receive benefits, that could potentially be significant to the VIE.

Foreign currency translation

The local currency of the Company’s foreign subsidiaries is deemed to be the functional currency of the country in which these subsidiaries operate. The financial statements of the Company’s foreign subsidiaries are translated into U.S. dollars at the exchange rate in effect at the end of a reporting period for assets and liabilities and at average exchange rates during the period for results of operations. The unrealized gains and losses from the translation of the net assets are recorded as unrealized foreign currency translation adjustments and included in AOCI. Changes in unrealized foreign currency translation adjustments are included in other comprehensive income. Gains and losses from foreign currency transactions are reported in operating costs and expenses and have not been material.

Earnings per common share

Basic earnings per common share is computed using the weighted average number of common shares outstanding, including vested unissued participating restricted stock units. Diluted earnings per common share is computed using the weighted average number of common and dilutive potential common shares outstanding. For the Company, dilutive potential common shares consist of outstanding stock options and unvested non-participating restricted stock units and contingently issuable performance stock awards.



Computation of basic and diluted earnings per common share
	For the years ended December 31,
($ in millions, except per share data)	2017		2016		2015
Numerator:
Net income	$	3,189	$	1,877	$	2,171
Less: Preferred stock dividends	116		116		116
Net income applicable to common shareholders⁽¹⁾	$	3,073	$	1,761	$	2,055

Denominator:
Weighted average common shares outstanding	362.0		372.8		401.1
Effect of dilutive potential common shares:
Stock options	4.3		3.2		4.0
Restricted stock units (non-participating) and performance stock awards	1.5		1.3		1.7
Weighted average common and dilutive potential common shares outstanding	367.8		377.3		406.8

Earnings per common share – Basic	$	8.49	$	4.72	$	5.12
Earnings per common share – Diluted	$	8.36	$	4.67	$	5.05


⁽¹⁾	Net income applicable to common shareholders is net income less preferred stock dividends.

The effect of dilutive potential common shares does not include the effect of options with an anti-dilutive effect on earnings per common share because their exercise prices exceed the average market price of Allstate common shares during the period or for which the unrecognized compensation cost would have an anti-dilutive effect. Options to purchase 1.5 million, 3.8 million and 2.2 million Allstate common shares, with exercise prices ranging from $70.71 to $102.84, $53.91 to $71.29 and $57.98 to $71.29, were outstanding in 2017, 2016 and 2015, respectively, but were not included in the computation of diluted earnings per common share in those years.

Adopted accounting standards

Employee Share-Based Payment Accounting

Effective January 1, 2017, the Company adopted new Financial Accounting Standards Board (“FASB”) guidance that amends the accounting for share-based payments on a prospective basis. Under the new guidance, reporting entities are required to recognize all tax effects related to share-based payments at settlement or expiration through the income statement and the requirement to delay recognition of certain tax benefits until they reduce current taxes payable is eliminated. The new guidance also permits employers to withhold shares issued in connection with an employee’s exercise of options or the settlement of stock awards, up to the employee’s maximum individual statutory tax rate, to meet tax withholding requirements without causing liability classification of the award. In addition, all tax-related cash flows resulting from share-based payments are reported as operating activities on the statement of cash flows whereas cash payments made to taxing authorities on an employee’s behalf for withheld shares are presented as financing activities. The adoption of this guidance had no impact on the Company’s results of operations or financial position on the date of adoption, but resulted in a $63 million benefit to net income applicable to common shareholders in 2017.

Transition to Equity Method Accounting

Effective January 1, 2017, the Company adopted new FASB guidance amending the accounting requirements for transitioning to the equity method of accounting (“EMA”), including a transition from the cost method. The guidance requires the cost of acquiring an additional interest in an investee to be added to the existing carrying value to establish the initial basis of the EMA investment. Under the new guidance, no retroactive adjustment is required when an investment initially qualifies for EMA treatment. The guidance is applied prospectively to investments that qualify for EMA after application of the cost method of accounting. Accordingly, the adoption of this guidance had no impact on the Company’s results of operations or financial position.

Application of Income Tax Guidance to Certain U.S. Tax Reform Provisions

In February 2018, the FASB issued guidance permitting reclassification of the effects of the new corporate tax rate in the Tax Cuts and Jobs Act of 2017 (“Tax Legislation”) on balances presented net of tax in AOCI. Upon enactment of the Tax Legislation in December 2017, existing accounting guidance required the revaluation of all deferred tax balances to the newly enacted tax rate by adjustment to income tax expense whereas a corresponding adjustment of the balances presented in AOCI was prohibited. The new guidance permits reclassification of the impact of the newly enacted tax rates in the Tax Legislation on balances presented net of tax in AOCI to retained income. The guidance, which may be adopted for any period for which financial statements have not yet been issued, is effective for fiscal years beginning after December 15, 2018, and may be applied retrospectively to the date of enactment or the beginning of a reporting period. The Company elected to early adopt the new guidance as of December 31, 2017. Upon adoption of the guidance, amounts are recognized after-tax in AOCI using the newly established 21% corporate income tax rate. The net impact of adoption was a $49 million increase in AOCI and a corresponding decrease in retained income. The $49 million increase in AOCI is comprised of a $290 million increase in unrealized net capital gains and losses, a $6 million decrease in unrealized foreign currency translation adjustment and a $235 million decrease in unrecognized pension and other postretirement benefit cost.

Pending accounting standards

Revenue from Contracts with Customers

In May 2014, the FASB issued guidance which revises the criteria for revenue recognition. Insurance contracts are excluded from the scope of the new guidance. Under the guidance, the transaction price is attributed to underlying performance obligations in the contract and revenue is recognized as the entity satisfies the performance obligations and transfers control of a good or service to the customer. Incremental costs of obtaining a contract may be capitalized to the extent the entity expects to recover those costs. The guidance is effective for reporting periods beginning after December 15, 2017 and is to be applied either on a full or modified retrospective basis.

The Company will apply the modified retrospective approach as of January 1, 2018, which results in the recognition of a cumulative effect of adoption as an adjustment to the beginning balance of retained income at the date of initial application. The Company’s principal activities impacted by the standard are those related to the issuance of protection plans for consumer products and automobiles and service contracts that provide roadside assistance. The impacts include an increase in deferred revenue with a corresponding increase in deferred costs for protection plans that are sold directly to retailers for which Allstate is deemed to be the principal in the transaction. The anticipated impacts of these adjustments offset and will not impact net income, but result in an increase in unearned premiums and deferred policy acquisition costs of approximately $160 million, pre-tax. The Company expects to recognize a cumulative effect adjustment related to the accounting for variable consideration, the deferral of certain costs associated with acquiring service contracts that provide roadside assistance, and other items, the net impact of which is not expected to materially reduce shareholders’ equity at the date of adoption. Based on the Company’s assessment, the total impact of adoption will not be material to the Company’s results of operations or financial position.

Recognition and Measurement of Financial Assets and Financial Liabilities

In January 2016, the FASB issued guidance requiring equity investments, including equity securities and limited partnership interests that are not accounted for under the equity method of accounting or result in consolidation to be measured at fair value with changes in fair value recognized in net income. Equity investments without readily determinable fair values may be measured at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. When a qualitative assessment of equity investments without readily determinable fair values indicates that an impairment exists, the carrying value is required to be adjusted to fair value, if lower. The guidance clarifies that an entity should evaluate the realizability of a deferred tax asset related to available-for-sale fixed income securities in combination with the entity’s other deferred tax assets. The guidance also changes certain disclosure requirements. The guidance is effective for interim and annual periods beginning after December 15, 2017, and is to be applied through a cumulative-effect adjustment to beginning retained income which results in no impact to the Company’s results of operations at the date of adoption.

The new guidance related to equity investments without readily determinable fair values is applied prospectively as of the date of adoption. The most significant impacts relate to the change in accounting for equity securities, where $1.16 billion of pre-tax unrealized net capital gains will be reclassified on January 1, 2018 from AOCI to retained income and cost method limited partnership interests (excluding limited partnership interests accounted for on a cost recovery basis) where the carrying value of these investments will increase by approximately $224 million, pre-tax on January 1, 2018, with the offsetting after-tax adjustment recognized in retained income. The after-tax change in accounting for equity securities will not affect the Company’s shareholders’ equity and the unrealized net capital gains reclassified to retained income will never be recognized in net income. The after-tax change in accounting for cost method limited partnerships will increase the Company’s shareholders’ equity, while also decreasing net income return on shareholders’ equity. The amount by which the fair value of cost method limited partnerships exceeds their carrying value will never be recognized in net income, negatively impacting the calculations of returns on equity.

Accounting for Leases

In February 2016, the FASB issued guidance revising the accounting for leases. Under the new guidance, lessees will be required to recognize a right-of-use asset and lease liability for all leases other than those that meet the definition of a short-term lease. The lease liability will be equal to the present value of lease payments. A right-of-use asset will be based on the lease liability adjusted for qualifying initial direct costs. Recognition of the lease liability and right-of-use asset will result in an increase in total assets and liabilities in the Consolidated Statement of Financial Position. The expense of operating leases under the new guidance will be recognized in the income statement on a straight-line basis after combining the lease expense components (interest expense on the lease liability and amortization of the right-of-use asset) over the term of the lease. For finance leases, the expense components are computed separately and produce greater up-front expense compared to operating leases as interest expense on the lease liability is higher in early years and the right-of-use asset is amortized on a straight-line basis. Lease classification will be based on criteria similar to those currently applied. The accounting model for lessors will be similar to the current model with modifications to reflect definition changes for components such as initial direct costs. Lessors will continue to classify leases as operating, direct financing, or sales-type. The guidance is effective for reporting periods beginning after December 15, 2018 using a modified retrospective approach applied at the beginning of the earliest period presented. The FASB has exposed for comment an optional simplified transition approach that would allow application of the transition provisions at the effective date instead of the earliest date presented. The Company is in the process of evaluating the impact of adoption, which is not expected to be material to the Company’s results of operations or financial position.

Measurement of Credit Losses on Financial Instruments

In June 2016, the FASB issued guidance which revises the credit loss recognition criteria for certain financial assets measured at amortized cost, including reinsurance recoverables. The new guidance replaces the existing incurred loss recognition model with an expected loss recognition model. The objective of the expected credit loss model is for the reporting entity to recognize its estimate of expected credit losses for affected financial assets in a valuation allowance deducted from the amortized cost basis of the related financial assets that results in presenting the net carrying value of the financial assets at the amount expected to be collected. The reporting entity must consider all relevant information available when estimating expected credit losses, including details about past events, current conditions, and reasonable and supportable forecasts over the life of an asset. Financial assets may be evaluated individually or on a pooled basis when they share similar risk characteristics. The measurement of credit losses for available-for-sale debt securities measured at fair value is not affected except that credit losses recognized are limited to the amount by which fair value is below amortized cost and the carrying value adjustment is recognized through a valuation allowance and not as a direct write-down. The guidance is effective for interim and annual periods beginning after December 15, 2019, and for most affected instruments must be adopted using a modified retrospective approach, with a cumulative effect adjustment recorded to beginning retained income. The Company is in the process of evaluating the impact of adoption.

Goodwill Impairment

In January 2017, the FASB issued guidance to simplify the accounting for goodwill impairment which removes the second step of the goodwill impairment test that requires a hypothetical purchase price allocation. Under the new guidance, goodwill impairment will be measured and recognized as the amount by which a reporting unit’s carrying value, including goodwill, exceeds its fair value, not to exceed the carrying amount of goodwill allocated to the reporting unit. The revised guidance does not affect a reporting entity’s ability to first assess qualitative factors by reporting unit to determine whether to perform the quantitative goodwill impairment test. The guidance is effective for goodwill impairment tests in fiscal years beginning after December 15, 2019, with early adoption permitted. The guidance is to be applied on a prospective basis, with the effects, if any, recognized in net income in the period of adoption. The impact to the Company upon adoption is dependent upon the excess, if any, of carrying value of the Company’s reporting units, including goodwill, over their respective fair values, a measure that is not currently determinable.

Presentation of Net Periodic Pension and Postretirement Benefits Costs

In March 2017, the FASB issued guidance to improve the presentation of net periodic pension and postretirement benefits costs that requires the service cost component to be reported in operating expenses together with other employee compensation costs and all other components of net periodic pension and postretirement benefits costs reported in non-operating expenses. If the reporting entity does not separately report operating and non-operating expenses on the statement of operations it is required to identify, on the statement of operations or in disclosures, the line items in which the components of net periodic pension and postretirement benefits costs are presented. The new guidance permits only the service cost component to be eligible for capitalization where applicable. The guidance is effective for annual periods beginning after December 15, 2017 and for interim periods within those annual periods. The guidance is to be applied on a prospective basis for capitalization of service costs where applicable and on a retrospective basis for the presentation of the service cost and other components of net periodic pension benefit costs in the statements of operations or in disclosures. The impact of adoption is not expected to be material to the Company’s results of operations or financial position.

Accounting for Hedging Activities

In August 2017, the FASB issued amendments intended to better align hedge accounting with an organization’s risk management activities. The amendments expand hedge accounting for nonfinancial and financial risk components and revise the measurement methodologies to better align with an organization’s risk management activities. Separate presentation of hedge ineffectiveness is eliminated to provide greater transparency of the full impact of hedging by requiring presentation of the results of the hedged item and hedging instrument in a single financial statement line item. In addition, the amendments reduce complexity by simplifying the manner in which assessments of hedge effectiveness may be performed. The guidance is effective for annual periods beginning after December 15, 2018 and for interim periods within those annual periods. The presentation and disclosure guidance is effective on a prospective basis. The impact of adoption is not expected to be material to the Company’s results of operations or financial position.

Acquisition

12 Months Ended

Dec. 31, 2017

Business Combinations [Abstract]

Acquisition



Note 3	Acquisition

On January 3, 2017, the Company acquired SquareTrade Holding Company, Inc. (“SquareTrade”), a consumer product protection plan provider that distributes through many of America’s major retailers and Europe’s mobile operators, for $1.4 billion in cash. SquareTrade is a provider of consumer electronics and appliance protection plans, covering products including TVs, smartphones and computers. This acquisition broadens Allstate’s unique product offerings to better meet consumers’ needs.

In connection with the acquisition, the Company recorded goodwill of $1.09 billion, commissions paid to retailers (reported in deferred policy acquisition costs) of $66 million, other intangible assets (reported in other assets) of $555 million, contractual liability insurance policy premium expenses (reported in other assets) of $205 million, unearned premiums of $389 million, and net deferred income tax liability of $138 million. These amounts reflect re-measurement adjustments to the fair value of the opening balance sheet assets and liabilities.

Of the $555 million assigned to other intangible assets, $465 million is attributable to acquired customer relationships. The value of the customer relationships intangible asset was determined using an income approach that considered cash flows and profits expected to be generated by the acquired relationships, a discount rate reflecting the relative risk of achieving the anticipated cash flows and profits and the time value of money, and other factors. The estimated useful life of the customer relationship intangible asset is 10 years. The $555 million assigned to other intangible assets also included $69 million assigned to the SquareTrade trade name which is considered to have an indefinite useful life. The amortization expense of intangible assets in 2017 was $92 million.



Amortization expense of intangible assets for the next five years and thereafter
($ in millions)
2018	$	82
2019	72
2020	62
2021	52
2022	42
Thereafter	84
Total amortization	$	394

Reporting Segments

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

Reporting Segments



Note 4	Reportable Segments

Beginning in fourth quarter 2017, the Company’s chief operating decision maker reviews financial performance and makes decisions about the allocation of resources based on the following seven reportable segments: Allstate Protection, Discontinued Lines and Coverages, Service Businesses, Allstate Life, Allstate Benefits, Allstate Annuities, and Corporate and Other. These segments are described below and align with the Company’s key product and service offerings, including the acquisition of SquareTrade and the strategic focus and expansion of Arity and other service businesses.

Allstate Protection principally offers private passenger auto and homeowners insurance in the United States and Canada, with earned premiums accounting for 82% of Allstate’s 2017 consolidated revenues. Allstate Protection is authorized to sell certain property and casualty products in all 50 states, the District of Columbia, Puerto Rico and Canada. For 2017, the top U.S. geographic locations for premiums earned by the Allstate Protection segment were Texas, California, New York and Florida. No other jurisdiction accounted for more than 5% of premium earned for Allstate Protection. Revenues from external customers generated outside the United States were $1.11 billion, $1.06 billion and $1.03 billion in 2017, 2016 and 2015, respectively.

Discontinued Lines and Coverages includes property and casualty insurance coverage that primarily relates to policies written during the 1960s through the mid-1980s. Our exposure to asbestos, environmental and other discontinued lines claims arises principally from direct excess commercial insurance, assumed reinsurance coverage, direct primary commercial insurance and other businesses in run-off.

Service Businesses comprise SquareTrade, Arity, Allstate Roadside Services and Allstate Dealer Services and offer consumer product protection plans, device and mobile data collection services and analytic solutions, roadside assistance, and finance and insurance products (including vehicle service contracts, guaranteed asset protection waivers, road hazard tire and wheel and paintless dent repair protection). The Service Businesses primarily operate in the U.S., with certain businesses offering services in Europe, Canada and Puerto Rico. Revenues from external customers generated outside the United States relate to consumer product protection plans sold primarily in the European Union and were $35 million in 2017.

Allstate Life offers traditional, interest-sensitive and variable life insurance products. Allstate Life is authorized to sell life insurance products in all 50 states, the District of Columbia and Puerto Rico. For 2017, the top geographic locations for statutory direct life insurance premiums were New York, California, Texas, Florida and Illinois. No other jurisdiction accounted for more than 5% of statutory direct life insurance premiums.

Allstate Benefits offers voluntary benefits products, including life, accident, critical illness, short-term disability and other health products. Allstate Benefits is authorized to sell its products in all 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam and Canada. For 2017, the top geographic locations for statutory direct accident and health insurance premiums were Florida, Texas, North Carolina and Georgia. No other jurisdiction accounted for more than 5% of statutory direct accident and health insurance premiums. Revenues from external customers generated outside the United States relate to voluntary accident and health insurance sold in Canada and were not material.

Allstate Annuities consists of deferred fixed annuities and immediate annuities (including standard and sub-standard structured settlements). This segment is in run-off. The Company also previously offered institutional products consisting of funding agreements sold to unaffiliated trusts that used them to back medium-term notes. There were no institutional products outstanding as of December 31, 2017 or 2016.

Corporate and Other comprises holding company activities and certain non-insurance operations.

Allstate Protection and Discontinued Lines and Coverages segments comprise Property-Liability. The Company does not allocate investment income, realized capital gains and losses, or assets to the Allstate Protection and Discontinued Lines and Coverages segments. Management reviews assets at the Property-Liability, Service Businesses, Allstate Life, Allstate Benefits, Allstate Annuities, and Corporate and Other levels for decision-making purposes.

The accounting policies of the reportable segments are the same as those described in Note 2. The effects of intersegment transactions are eliminated in the segment results, except for services provided by the Service Businesses to Allstate Protection that are not eliminated as management considers those transactions in assessing the results of the respective segments.

Measuring segment profit or loss

The measure of segment profit or loss used in evaluating performance is underwriting income for the Allstate Protection and Discontinued Lines and Coverages segments and adjusted net income for the Service Businesses, Allstate Life, Allstate Benefits, Allstate Annuities, and Corporate and Other segments. A reconciliation of these measures to net income applicable to common shareholders is provided below.

Underwriting income is calculated as premiums earned, less claims and claims expenses (“losses”), amortization of DAC, operating costs and expenses, and restructuring and related charges as determined using GAAP.

Adjusted net income is net income applicable to common shareholders, excluding:

• Realized capital gains and losses, after-tax, except for periodic settlements and accruals on non-hedge derivative instruments, which are reported with realized capital gains and losses but included in adjusted net income

• Valuation changes on embedded derivatives not hedged, after-tax

• Amortization of DAC and DSI, to the extent they resulted from the recognition of certain realized capital gains and losses or valuation changes on embedded derivatives not hedged, after-tax

• Business combination expenses and the amortization of purchased intangible assets, after-tax

• Gain (loss) on disposition of operations, after-tax

• Adjustments for other significant non-recurring, infrequent or unusual items, when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, or (b) there has been no similar charge or gain within the prior two years



Reportable segments revenue information
	For the years ended December 31,
($ in millions)	2017			2016			2015
Property-Liability
Insurance premiums
Auto	$	21,878		$	21,264		$	20,410
Homeowners	7,310			7,257			7,136
Other personal lines	1,750			1,700			1,692
Commercial lines	495			506			510
Allstate Protection	31,433			30,727			29,748
Discontinued Lines and Coverages	—			—			—
Total property-liability insurance premiums	31,433			30,727			29,748
Net investment income	1,478			1,253			1,226
Realized capital gains and losses	401			(6		)	(237		)
Total Property-Liability	33,312			31,974			30,737

Service Businesses
Consumer product protection plans	295			—			—
Roadside assistance	268			310			340
Finance and insurance products	304			270			221
Intersegment premiums and service fees ⁽¹⁾	110			105			42
Net investment income	16			13			11
Total Service Businesses	993			698			614

Allstate Life
Traditional life insurance premiums	568			533			505
Accident and health insurance premiums	2			2			2
Interest-sensitive life insurance contract charges	710			715			716
Net investment income	489			482			490
Realized capital gains and losses	5			(38		)	2
Total Allstate Life	1,774			1,694			1,715

Allstate Benefits
Traditional life insurance premiums	42			40			37
Accident and health insurance premiums	928			857			778
Interest-sensitive life insurance contract charges	114			114			106
Net investment income	72			71			71
Realized capital gains and losses	1			(5		)	1
Total Allstate Benefits	1,157			1,077			993

Allstate Annuities
Fixed annuities contract charges	14			14			14
Net investment income	1,305			1,181			1,323
Realized capital gains and losses	44			(38		)	264
Total Allstate Annuities	1,363			1,157			1,601

Corporate and Other
Net investment income	41			42			35
Realized capital gains and losses	(6		)	(3		)	—

Total Corporate and Other	35			39			35
Intersegment eliminations ⁽¹⁾	(110		)	(105		)	(42		)
Consolidated revenues	$	38,524		$	36,534		$	35,653

⁽¹⁾ Intersegment insurance premiums and service fees are primarily related to Arity and Allstate Roadside Services and are eliminated in the consolidated financial statements.



Reportable segments financial performance
	For the years ended December 31,
($ in millions)	2017			2016			2015
Property-Liability
Allstate Protection	$	2,111		$	1,327		$	1,621
Discontinued Lines and Coverages	(99		)	(107		)	(55		)
Total underwriting income	2,012			1,220			1,566
Net investment income	1,478			1,253			1,226
Income tax expense on operations	(1,119		)	(812		)	(922		)
Realized capital gains and losses, after-tax	272			—			(154		)
Gain on disposition of operations, after-tax	9			—			—
Change in accounting for investments in qualified affordable housing projects	—			—			(28		)
Tax Legislation expense	(65		)	—			—
Property-Liability net income applicable to common shareholders	2,587			1,661			1,688

Service Businesses
Adjusted net (loss) income	(59		)	3			2
Amortization of purchased intangible assets, after-tax	(60		)	—			—
Tax Legislation benefit	134			—			—
Service Businesses net income applicable to common shareholders	15			3			2

Allstate Life
Adjusted net income	253			247			239
Realized capital gains and losses, after-tax	2			(24		)	1
DAC and DSI amortization related to realized capital gains and losses, after-tax	(10		)	(4		)	(4		)
Loss on disposition of operations, after-tax	—			—			(1		)
Change in accounting for investments in qualified affordable housing projects	—			—			(6		)
Tax Legislation benefit	332			—			—
Allstate Life net income applicable to common shareholders	577			219			229

Allstate Benefits
Adjusted net income	95			100			104
Realized capital gains and losses, after-tax	—			(4		)	—
Tax Legislation benefit	51			—			—
Allstate Benefits net income applicable to common shareholders	146			96			104

Allstate Annuities
Adjusted net income	204			101			166
Realized capital gains and losses, after-tax	28			(26		)	172
Valuation changes on embedded derivatives not hedged, after-tax	—			(2		)	(1		)
DAC and DSI amortization related to realized capital gains and losses and valuation changes on embedded derivatives not hedged, after-tax	—			—			1
Gain on disposition of operations, after-tax	4			3			3
Change in accounting for investments in qualified affordable housing projects	—			—			(11		)
Tax Legislation benefit	182			—			—
Allstate Annuities net income applicable to common shareholders	418			76			330

Corporate and Other
Adjusted net loss	(399		)	(292		)	(298		)
Realized capital gains and losses, after-tax	(4		)	(2		)	—
Goodwill impairment	(125		)	—			—
Business combination expenses, after-tax	(14		)	—			—
Tax Legislation expense	(128		)	—			—
Corporate and Other net loss applicable to common shareholders	(670		)	(294		)	(298		)

Consolidated net income applicable to common shareholders	$	3,073		$	1,761		$	2,055



Additional significant financial performance data
	For the years ended December 31,
($ in millions)	2017			2016			2015
Amortization of DAC
Property-Liability	$	4,205		$	4,053		$	3,933
Service Businesses	296			214			169
Allstate Life	134			131			133
Allstate Benefits	142			145			124
Allstate Annuities	7			7			5
Consolidated	$	4,784		$	4,550		$	4,364

Income tax expense (benefit)
Property-Liability	$	1,318		$	806		$	867
Service Businesses	(193		)	—			2
Allstate Life	(224		)	91			108
Allstate Benefits	1			51			55
Allstate Annuities	(58		)	36			188
Corporate and Other	(42		)	(107		)	(109		)
Consolidated	$	802		$	877		$	1,111



Impacts of Tax Legislation
	For the year ended December 31, 2017
($ in millions)	Income tax expense (benefit) before Tax Legislation			Tax Legislation expense (benefit)			Income tax expense (benefit) after Tax Legislation
Income tax expense (benefit)
Property-Liability	$	1,253		$	65		$	1,318
Service Businesses	(59		)	(134		)	(193		)
Allstate Life	108			(332		)	(224		)
Allstate Benefits	52			(51		)	1
Allstate Annuities	124			(182		)	(58		)
Corporate and Other	(170		)	128			(42		)
Consolidated	$	1,308		$	(506	)	$	802

Interest expense is primarily incurred in the Corporate and Other segment. Capital expenditures for long-lived assets are generally made in Property-Liability as the Company does not allocate assets to the Allstate Protection and Discontinued Lines and Coverages segments. A portion of these long-lived assets are used by entities included in the Service Businesses, Allstate Life, Allstate Benefits, Allstate Annuities and Corporate and Other segments and, accordingly, are charged to expenses in proportion to their use.



Reportable segment total assets and investments as of December 31, 2017 ⁽¹⁾
($ in millions)
Assets ⁽²⁾
Property-Liability	$	60,197
Service Businesses	4,531
Allstate Life	14,107
Allstate Benefits	2,766
Allstate Annuities	28,836
Corporate and Other	1,985
Consolidated	$	112,422

Investments ⁽³⁾
Property-Liability	$	43,183
Service Businesses	954
Allstate Life	11,210
Allstate Benefits	1,776
Allstate Annuities	23,722
Corporate and Other	1,958
Consolidated	$	82,803


⁽¹⁾	The balances above reflect the elimination of related party investments between segments.

⁽²⁾

Due to the changes in reportable segments, prior year total assets are not available for the new segments as it was impracticable to calculate. Total assets for previously reported Property-Liability, Allstate Financial, and Corporate and Other segments were $60.39 billion, $45.95 billion and $2.27 billion as of December 31, 2016, respectively, and $55.67 billion, $46.34 billion and $2.64 billion as of December 31, 2015, respectively.

⁽³⁾

Due to the changes in reportable segments, prior year investments balances are not available for the new segments as it was impracticable to calculate. Total investments for previously reported Property-Liability, Allstate Financial, and Corporate and Other segments were $42.72 billion, $36.84 billion and $2.24 billion as of December 31, 2016, respectively, and $38.48 billion, $36.79 billion and $2.49 billion as of December 31, 2015, respectively.

Investments

12 Months Ended

Dec. 31, 2017

Investments [Abstract]

Investments



Note 5	Investments



Amortized cost, gross unrealized gains and losses and fair value for fixed income securities
	Amortized cost		Gross unrealized					Fair value
($ in millions)	Amortized cost		Gains		Losses			Fair value
December 31, 2017
U.S. government and agencies	$	3,580	$	56	$	(20	)	$	3,616
Municipal	8,053		311		(36		)	8,328
Corporate	42,996		1,234		(204		)	44,026
Foreign government	1,005		27		(11		)	1,021
ABS	1,266		13		(7		)	1,272
RMBS	480		101		(3		)	578
CMBS	124		6		(2		)	128
Redeemable preferred stock	21		2		—			23
Total fixed income securities	$	57,525	$	1,750	$	(283	)	$	58,992

December 31, 2016
U.S. government and agencies	$	3,572	$	74	$	(9	)	$	3,637
Municipal	7,116		304		(87		)	7,333
Corporate	42,742		1,178		(319		)	43,601
Foreign government	1,043		36		(4		)	1,075
ABS	1,169		13		(11		)	1,171
RMBS	651		85		(8		)	728
CMBS	262		17		(9		)	270
Redeemable preferred stock	21		3		—			24
Total fixed income securities	$	56,576	$	1,710	$	(447	)	$	57,839



Scheduled maturities for fixed Income securities
	As of December 31, 2017
($ in millions)	Amortized cost		Fair value
Due in one year or less	$	4,771	$	4,783
Due after one year through five years	28,736		29,080
Due after five years through ten years	16,956		17,278
Due after ten years	5,192		5,873
	55,655		57,014
ABS, RMBS and CMBS	1,870		1,978
Total	$	57,525	$	58,992

Actual maturities may differ from those scheduled as a result of calls and make-whole payments by the issuers. ABS, RMBS and CMBS are shown separately because of the potential for prepayment of principal prior to contractual maturity dates.



Net investment income
	For the years ended December 31,
($ in millions)	2017			2016			2015
Fixed income securities	$	2,078		$	2,060		$	2,218
Equity securities	174			137			110
Mortgage loans	206			217			228
Limited partnership interests	889			561			549
Short-term investments	30			16			9
Other	236			222			192
Investment income, before expense	3,613			3,213			3,306
Investment expense	(212		)	(171		)	(150		)
Net investment income	$	3,401		$	3,042		$	3,156



Realized capital gains and losses by asset type
	For the years ended December 31,
($ in millions)	2017			2016			2015
Fixed income securities	$	94		$	(91	)	$	212
Equity securities	255			23			(50		)
Mortgage loans	1			—			6
Limited partnership interests	132			(21		)	(93		)
Derivatives	(46		)	3			(21		)
Other	9			(4		)	(24		)
Realized capital gains and losses	$	445		$	(90	)	$	30



Realized capital gains and losses by transaction type
	For the years ended December 31,
($ in millions)	2017			2016			2015
Impairment write-downs	$	(102	)	$	(234	)	$	(195	)
Change in intent write-downs	(48		)	(69		)	(221		)
Net other-than-temporary impairment losses recognized in earnings	(150		)	(303		)	(416		)
Sales and other	641			213			470
Valuation and settlements of derivative instruments	(46		)	—			(24		)
Realized capital gains and losses	$	445		$	(90	)	$	30

Gross gains of $737 million, $631 million and $915 million and gross losses of $276 million, $461 million and $399 million were realized on sales of fixed income and equity securities during 2017, 2016 and 2015, respectively.



Other-than-temporary impairment losses by asset type
	For the years ended December 31,
($ in millions)	2017									2016									2015
	Gross			Included in OCI			Net			Gross			Included in OCI			Net			Gross			Included in OCI			Net
Fixed income securities:
Municipal	$	(1	)	$	(3	)	$	(4	)	$	—		$	—		$	—		$	(17	)	$	4		$	(13	)
Corporate	(9		)	3			(6		)	(33		)	9			(24		)	(61		)	11			(50		)
ABS	(1		)	(2		)	(3		)	(6		)	—			(6		)	(33		)	22			(11		)
RMBS	(2		)	(3		)	(5		)	—			(1		)	(1		)	1			(1		)	—
CMBS	(9		)	1			(8		)	(15		)	2			(13		)	(1		)	—			(1		)
Total fixed income securities	(22		)	(4		)	(26		)	(54		)	10			(44		)	(111		)	36			(75		)
Equity securities	(86		)	—			(86		)	(194		)	—			(194		)	(279		)	—			(279		)
Mortgage loans	(1		)	—			(1		)	—			—			—			4			—			4
Limited partnership interests	(32		)	—			(32		)	(56		)	—			(56		)	(51		)	—			(51		)
Other	(5		)	—			(5		)	(9		)	—			(9		)	(15		)	—			(15		)
Other-than-temporary impairment losses	$	(146	)	$	(4	)	$	(150	)	$	(313	)	$	10		$	(303	)	$	(452	)	$	36		$	(416	)



OTTI losses included in AOCI at the time of impairment for fixed income securities
($ in millions)	December 31, 2017			December 31, 2016
Municipal	$	(5	)	$	(8	)
Corporate	—			(7		)
ABS	(15		)	(21		)
RMBS	(77		)	(90		)
CMBS	(4		)	(7		)
Total	$	(101	)	$	(133	)

The amounts exclude $208 million and $221 million as of December 31, 2017 and 2016, respectively, of net unrealized gains related to changes in valuation of the fixed income securities subsequent to the impairment measurement date.



Rollforward of the cumulative credit losses recognized in earnings for fixed income securities held
	As of December 31,
($ in millions)	2017			2016			2015
Beginning balance	$	(318	)	$	(392	)	$	(380	)
Additional credit loss for securities previously other-than-temporarily impaired	(18		)	(21		)	(30		)
Additional credit loss for securities not previously other-than-temporarily impaired	(8		)	(23		)	(45		)
Reduction in credit loss for securities disposed or collected	116			117			60
Change in credit loss due to accretion of increase in cash flows	2			1			3
Ending balance	$	(226	)	$	(318	)	$	(392	)

The Company uses its best estimate of future cash flows expected to be collected from the fixed income security, discounted at the security’s original or current effective rate, as appropriate, to calculate a recovery value and determine whether a credit loss exists. The determination of cash flow estimates is inherently subjective and methodologies may vary depending on facts and circumstances specific to the security. All reasonably available information relevant to the collectability of the security, including past events, current conditions, and reasonable and supportable assumptions and forecasts, are considered when developing the estimate of cash flows expected to be collected. That information generally includes, but is not limited to, the remaining payment terms of the security, prepayment speeds, foreign exchange rates, the financial condition and future earnings potential of the issue or issuer, expected defaults, expected recoveries, the value of underlying collateral, vintage, geographic concentration of underlying collateral, available reserves or escrows, current subordination levels, third party guarantees and other credit enhancements. Other information, such as industry analyst reports and forecasts, sector credit ratings, financial condition of the bond insurer for insured fixed income securities, and other market data relevant to the realizability of contractual cash flows, may also be considered. The estimated fair value of collateral will be used to estimate recovery value if the Company determines that the security is dependent on the liquidation of collateral for ultimate settlement. If the estimated recovery value is less than the amortized cost of the security, a credit loss exists and an other-than-temporary impairment for the difference between the estimated recovery value and amortized cost is recorded in earnings. The portion of the unrealized loss related to factors other than credit remains classified in AOCI. If the Company determines that the fixed income security does not have sufficient cash flow or other information to estimate a recovery value for the security, the Company may conclude that the entire decline in fair value is deemed to be credit related and the loss is recorded in earnings.



Unrealized net capital gains and losses included in AOCI
($ in millions)	Fair value		Gross unrealized					Unrealized net gains (losses)
December 31, 2017	Fair value		Gains		Losses			Unrealized net gains (losses)
Fixed income securities	$	58,992	$	1,750	$	(283	)	$	1,467
Equity securities ⁽¹⁾	6,621		1,172		(12		)	1,160
Short-term investments	1,944		—		—			—
Derivative instruments ⁽²⁾	2		2		(3		)	(1		)
EMA limited partnerships ⁽³⁾								1
Unrealized net capital gains and losses, pre-tax								2,627
Amounts recognized for:
Insurance reserves ⁽⁴⁾								(315		)
DAC and DSI ⁽⁵⁾								(196		)
Amounts recognized								(511		)
Deferred income taxes ⁽⁶⁾								(454		)
Unrealized net capital gains and losses, after-tax								$	1,662

⁽¹⁾

Beginning January 1, 2018, due to the adoption of the new accounting standard for the recognition and measurement of financial assets and liabilities, equity securities will be measured at fair value with changes in fair value recognized in net income. The existing unrealized net capital gains and losses, after-tax, will be reclassified to retained income through a cumulative effect adjustment. See Note 2 for additional details on the new accounting standard.


⁽²⁾	Included in the fair value of derivative instruments is $2 million classified as liabilities.


⁽³⁾	Unrealized net capital gains and losses for limited partnership interests represent the Company’s share of EMA limited partnerships’ other comprehensive income. Fair value and gross unrealized gains and losses are not applicable.


⁽⁴⁾	The insurance reserves adjustment represents the amount by which the reserve balance would increase if the net unrealized gains in the applicable product portfolios were realized and reinvested at current lower interest rates, resulting in a premium deficiency. This adjustment primarily relates to structured settlement annuities with life contingencies (a type of immediate fixed annuities).


⁽⁵⁾	The DAC and DSI adjustment balance represents the amount by which the amortization of DAC and DSI would increase or decrease if the unrealized gains or losses in the respective product portfolios were realized.


⁽⁶⁾	Unrealized net capital gains and losses were reduced by deferred income taxes at the newly enacted 21% U.S. corporate tax rate.



Unrealized net capital gains and losses included in AOCI
($ in millions)	Fair value		Gross unrealized					Unrealized net gains (losses)
December 31, 2016	Fair value		Gains		Losses			Unrealized net gains (losses)
Fixed income securities	$	57,839	$	1,710	$	(447	)	$	1,263
Equity securities	5,666		594		(85		)	509
Short-term investments	4,288		—		—			—
Derivative instruments ⁽¹⁾	5		5		(3		)	2
EMA limited partnerships								(4		)
Unrealized net capital gains and losses, pre-tax								1,770
Amounts recognized for:
Insurance reserves								—
DAC and DSI								(146		)
Amounts recognized								(146		)
Deferred income taxes ⁽²⁾								(571		)
Unrealized net capital gains and losses, after-tax								$	1,053


⁽¹⁾	Included in the fair value of derivative instruments is $5 million classified as assets.


⁽²⁾	Unrealized net capital gains and losses were reduced by deferred income taxes at the 35% corporate tax rate.



Change in unrealized net capital gains and losses
	For the years ended December 31,
($ in millions)	2017			2016			2015
Fixed income securities	$	204		$	516		$	(2,021	)
Equity securities	651			233			(136		)
Derivative instruments	(3		)	(4		)	8
EMA limited partnerships	5			—			1
Total	857			745			(2,148		)
Amounts recognized for:
Insurance reserves	(315		)	—			28
DAC and DSI	(50		)	(79		)	112
Amounts recognized	(365		)	(79		)	140
Deferred income taxes	117			(233		)	702
Increase (decrease) in unrealized net capital gains and losses, after-tax	$	609		$	433		$	(1,306	)

Portfolio monitoring

The Company has a comprehensive portfolio monitoring process to identify and evaluate each fixed income and equity security whose carrying value may be other-than-temporarily impaired.

For each fixed income security in an unrealized loss position, the Company assesses whether management with the appropriate authority has made the decision to sell or whether it is more likely than not the Company will be required to sell the security before recovery of the amortized cost basis for reasons such as liquidity, contractual or regulatory purposes. If a security meets either of these criteria, the security’s decline in fair value is considered other than temporary and is recorded in earnings.

If the Company has not made the decision to sell the fixed income security and it is not more likely than not the Company will be required to sell the fixed income security before recovery of its amortized cost basis, the Company evaluates whether it expects to receive cash flows sufficient to recover the entire amortized cost basis of the security. The Company calculates the estimated recovery value by discounting the best estimate of future cash flows at the security’s original or current effective rate, as appropriate, and compares this to the amortized cost of the security. If the Company does not expect to receive cash flows sufficient to recover the entire amortized cost basis of the fixed income security, the credit loss component of the impairment is recorded in earnings, with the remaining amount of the unrealized loss related to other factors recognized in other comprehensive income.

For equity securities, the Company considers various factors, including whether it has the intent and ability to hold the equity security for a period of time sufficient to recover its cost basis. Where the Company lacks the intent and ability to hold to recovery, or believes the recovery period is extended, the equity security’s decline in fair value is considered other than temporary and is recorded in earnings.

For fixed income and equity securities managed by third parties, either the Company has contractually retained its decision making authority as it pertains to selling securities that are in an unrealized loss position or it recognizes any unrealized loss at the end of the period through a charge to earnings.

The Company’s portfolio monitoring process includes a quarterly review of all securities to identify instances where the fair value of a security compared to its amortized cost (for fixed income securities) or cost (for equity securities) is below established thresholds. The process also includes the monitoring of other impairment indicators such as ratings, ratings downgrades and payment defaults. The securities identified, in addition to other securities for which the Company may have a concern, are evaluated for potential other-than-temporary impairment using all reasonably available information relevant to the collectability or recovery of the security. Inherent in the Company’s evaluation of other-than-temporary impairment for these fixed income and equity securities are assumptions and estimates about the financial condition and future earnings potential of the issue or issuer. Some of the factors that may be considered in evaluating whether a decline in fair value is other than temporary are: 1) the financial condition, near-term and long-term prospects of the issue or issuer, including relevant industry specific market conditions and trends, geographic location and implications of rating agency actions and offering prices; 2) the specific reasons that a security is in an unrealized loss position, including overall market conditions which could affect liquidity; and 3) the length of time and extent to which the fair value has been less than amortized cost or cost.



Gross unrealized losses and fair value by type and length of time held in a continuous unrealized loss position
($ in millions)	Less than 12 months						12 months or more
	Number of issues	Fair value		Unrealized losses			Number of issues	Fair value		Unrealized losses			Total unrealized losses
December 31, 2017
Fixed income securities
U.S. government and agencies	66	$	2,829	$	(18	)	18	$	182	$	(2	)	$	(20	)
Municipal	1,756	3,143		(24		)	165	349		(12		)	(36		)
Corporate	781	11,616		(102		)	208	3,289		(102		)	(204		)
Foreign government	45	580		(10		)	5	44		(1		)	(11		)
ABS	57	476		(3		)	9	34		(4		)	(7		)
RMBS	118	35		(1		)	181	50		(2		)	(3		)
CMBS	2	1		—			6	23		(2		)	(2		)
Redeemable preferred stock	1	—		—			—	—		—			—
Total fixed income securities	2,826	18,680		(158		)	592	3,971		(125		)	(283		)
Equity securities	127	369		(12		)	2	—		—			(12		)
Total fixed income and equity securities	2,953	$	19,049	$	(170	)	594	$	3,971	$	(125	)	$	(295	)
Investment grade fixed income securities	2,706	$	17,668	$	(134	)	535	$	3,751	$	(98	)	$	(232	)
Below investment grade fixed income securities	120	1,012		(24		)	57	220		(27		)	(51		)
Total fixed income securities	2,826	$	18,680	$	(158	)	592	$	3,971	$	(125	)	$	(283	)

December 31, 2016
Fixed income securities
U.S. government and agencies	46	$	943	$	(9	)	—	$	—	$	—		$	(9	)
Municipal	1,310	3,073		(76		)	8	29		(11		)	(87		)
Corporate	862	13,343		(256		)	83	678		(63		)	(319		)
Foreign government	41	225		(4		)	—	—		—			(4		)
ABS	31	222		(1		)	14	109		(10		)	(11		)
RMBS	89	53		(1		)	179	91		(7		)	(8		)
CMBS	15	59		(4		)	4	15		(5		)	(9		)
Redeemable preferred stock	1	—		—			—	—		—			—
Total fixed income securities	2,395	17,918		(351		)	288	922		(96		)	(447		)
Equity securities	195	654		(56		)	46	165		(29		)	(85		)
Total fixed income and equity securities	2,590	$	18,572	$	(407	)	334	$	1,087	$	(125	)	$	(532	)
Investment grade fixed income securities	2,202	$	15,678	$	(293	)	201	$	493	$	(51	)	$	(344	)
Below investment grade fixed income securities	193	2,240		(58		)	87	429		(45		)	(103		)
Total fixed income securities	2,395	$	17,918	$	(351	)	288	$	922	$	(96	)	$	(447	)

As of December 31, 2017, $269 million of the $295 million unrealized losses are related to securities with an unrealized loss position less than 20% of amortized cost or cost, the degree of which suggests that these securities do not pose a high risk of being other-than-temporarily impaired. Of the $269 million, $219 million are related to unrealized losses on investment grade fixed income securities and $11 million are related to equity securities. Of the remaining $39 million, $22 million have been in an unrealized loss position for less than 12 months. Investment grade is defined as a security having a rating of Aaa, Aa, A or Baa from Moody’s, a rating of AAA, AA, A or BBB from S&P Global Ratings (“S&P”), a comparable rating from another nationally recognized rating agency, or a comparable internal rating if an externally provided rating is not available. Market prices for certain securities may have credit spreads which imply higher or lower credit quality than the current third party rating. Unrealized losses on investment grade securities are principally related to an increase in market yields which may include increased risk-free interest rates and/or wider credit spreads since the time of initial purchase.

As of December 31, 2017, the remaining $26 million of unrealized losses are related to securities in unrealized loss positions greater than or equal to 20% of amortized cost or cost. Investment grade fixed income securities comprising $13 million of these unrealized losses were evaluated based on factors such as discounted cash flows and the financial condition and near-term and long-term prospects of the issue or issuer and were determined to have adequate resources to fulfill contractual obligations. Of the $26 million, $12 million are related to below investment grade fixed income securities and $1 million are related to equity securities. Of these amounts, $2 million are related to below investment grade fixed income securities that had been in an unrealized loss position greater than or equal to 20% of amortized cost for a period of twelve or more consecutive months as of December 31, 2017.

ABS, RMBS and CMBS in an unrealized loss position were evaluated based on actual and projected collateral losses relative to the securities’ positions in the respective securitization trusts, security specific expectations of cash flows, and credit ratings. This evaluation also takes into consideration credit enhancement, measured in terms of (i) subordination from other classes of securities in the trust that are contractually obligated to absorb losses before the class of security the Company owns, and (ii) the expected impact of other structural features embedded in the securitization trust beneficial to the class of securities the Company owns, such as overcollateralization and excess spread. Municipal bonds in an unrealized loss position were evaluated based on the underlying credit quality of the primary obligor, obligation type and quality of the underlying assets. Unrealized losses on equity securities are primarily related to temporary equity market fluctuations of securities that are expected to recover.

As of December 31, 2017, the Company has not made the decision to sell and it is not more likely than not the Company will be required to sell fixed income securities with unrealized losses before recovery of the amortized cost basis. As of December 31, 2017, the Company had the intent and ability to hold equity securities with unrealized losses for a period of time sufficient for them to recover.

Limited partnerships

As of December 31, 2017 and 2016, the carrying value of equity method limited partnerships totaled $5.41 billion and $4.53 billion, respectively. Principal factors influencing carrying value appreciation or decline include operating performance, comparable public company earnings multiples, capitalization rates and the economic environment. The Company recognizes an impairment loss for equity method limited partnerships when evidence demonstrates that the loss is other than temporary. Evidence of a loss in value that is other than temporary may include the absence of an ability to recover the carrying amount of the investment or the inability of the investee to sustain a level of earnings that would justify the carrying amount of the investment.

As of December 31, 2017 and 2016, the carrying value for cost method limited partnerships was $1.33 billion and $1.28 billion, respectively. To determine if an other-than-temporary impairment has occurred, the Company evaluates whether an impairment indicator has occurred in the period that may have a significant adverse effect on the carrying value of the investment. Impairment indicators may include: significantly reduced valuations of the investments held by the limited partnerships; actual recent cash flows received being significantly less than expected cash flows; reduced valuations based on financing completed at a lower value; completed sale of a material underlying investment at a price significantly lower than expected; or any other adverse events since the last financial statements received that might affect the fair value of the investee’s capital. Additionally, the Company’s portfolio monitoring process includes a quarterly review of all cost method limited partnerships to identify instances where the net asset value is below established thresholds for certain periods of time, as well as investments that are performing below expectations, for further impairment consideration. If a cost method limited partnership is other-than-temporarily impaired, the carrying value is written down to fair value, generally estimated to be equivalent to the reported net asset value.

Mortgage loans

The Company’s mortgage loans are commercial mortgage loans collateralized by a variety of commercial real estate property types located across the United States and totaled, net of valuation allowance, $4.53 billion and $4.49 billion as of December 31, 2017 and 2016, respectively. Substantially all of the commercial mortgage loans are non-recourse to the borrower.



Principal geographic distribution of commercial real estate exceeding 5% of the mortgage loans portfolio
	As of December 31,
(% of mortgage loan portfolio carrying value)	2017		2016
California	19.9	%	19.3	%
Texas	13.0		10.5
New Jersey	7.6		8.2
Illinois	7.1		6.7
Florida	6.4		5.4



Types of properties collateralizing the mortgage loan portfolio
	As of December 31,
(% of mortgage loan portfolio carrying value)	2017		2016
Apartment complex	30.9	%	27.6	%
Office buildings	23.8		23.9
Retail	18.0		20.4
Warehouse	15.7		17.0
Other	11.6		11.1
Total	100.0	%	100.0	%



Contractual maturities of the mortgage loan portfolio
	As of December 31, 2017
($ in millions)	Number of loans	Carrying value		Percent
2018	17	$	169	3.7	%
2019	10	268		5.9
2020	14	192		4.2
2021	43	625		13.8
Thereafter	201	3,280		72.4
Total	285	$	4,534	100.0	%

Mortgage loans are evaluated for impairment on a specific loan basis through a quarterly credit monitoring process and review of key credit quality indicators. Mortgage loans are considered impaired when it is probable that the Company will not collect the contractual principal and interest. Valuation allowances are established for impaired loans to reduce the carrying value to the fair value of the collateral less costs to sell or the present value of the loan’s expected future repayment cash flows discounted at the loan’s original effective interest rate. Impaired mortgage loans may not have a valuation allowance when the fair value of the collateral less costs to sell is higher than the carrying value. Valuation allowances are adjusted for subsequent changes in the fair value of the collateral less costs to sell or present value of the loan’s expected future repayment cash flows. Mortgage loans are charged off against their corresponding valuation allowances when there is no reasonable expectation of recovery. The impairment evaluation is non-statistical in respect to the aggregate portfolio but considers facts and circumstances attributable to each loan. It is not considered probable that additional impairment losses, beyond those identified on a specific loan basis, have been incurred as of December 31, 2017.

Accrual of income is suspended for mortgage loans that are in default or when full and timely collection of principal and interest payments is not probable. Cash receipts on mortgage loans on nonaccrual status are generally recorded as a reduction of carrying value.

Debt service coverage ratio is considered a key credit quality indicator when mortgage loans are evaluated for impairment. Debt service coverage ratio represents the amount of estimated cash flows from the property available to the borrower to meet principal and interest payment obligations. Debt service coverage ratio estimates are updated annually or more frequently if conditions are warranted based on the Company’s credit monitoring process.



Carrying value of non-impaired mortgage loans summarized by debt service coverage ratio distribution
	As of December 31,
($ in millions)	2017						2016
Debt Service Coverage Ratio Distribution	Fixed rate mortgage loans		Variable rate mortgage loans		Total		Fixed rate mortgage loans		Variable rate mortgage loans		Total
Below 1.0	$	3	$	—	$	3	$	60	$	—	$	60
1.0 - 1.25	345		—		345		324		—		324
1.26 - 1.50	1,141		30		1,171		1,293		—		1,293
Above 1.50	2,949		62		3,011		2,765		39		2,804
Total non-impaired mortgage loans	$	4,438	$	92	$	4,530	$	4,442	$	39	$	4,481

Mortgage loans with a debt service coverage ratio below 1.0 that are not considered impaired primarily relate to instances where the borrower has the financial capacity to fund the revenue shortfalls from the properties for the foreseeable term, the decrease in cash flows from the properties is considered temporary, or there are other risk mitigating circumstances such as additional collateral, escrow balances or borrower guarantees.



Net carrying value of impaired mortgage loans
	As of December 31,
($ in millions)	2017		2016
Impaired mortgage loans with a valuation allowance	$	4	$	5
Impaired mortgage loans without a valuation allowance	—		—
Total impaired mortgage loans	$	4	$	5
Valuation allowance on impaired mortgage loans	$	3	$	3

The average balance of impaired loans was $7 million, $6 million and $11 million during 2017, 2016 and 2015, respectively.



Rollforward of the valuation allowance on impaired mortgage loans
	For the years ended December 31,
($ in millions)	2017			2016		2015
Beginning balance	$	3		$	3	$	8
Net increase (decrease) in valuation allowance	1			—		(4		)
Charge offs	(1		)	—		(1		)
Ending balance	$	3		$	3	$	3

Payments on all mortgage loans were current as of December 31, 2017, 2016 and 2015.

Municipal bonds

The Company maintains a diversified portfolio of municipal bonds.



Principal geographic distribution of municipal bond issuers exceeding 5% of the portfolio
	As of December 31,
(% of municipal bond portfolio carrying value)	2017		2016
Texas	9.6	%	10.0	%
California	7.0		7.2
New York	6.9		6.8
Florida	6.5		5.7
Washington	5.4		5.6
Michigan	4.2		5.4

Concentration of credit risk

As of December 31, 2017, the Company is not exposed to any credit concentration risk of a single issuer and its affiliates greater than 10% of the Company’s shareholders’ equity, other than the U.S. government and its agencies.

Securities loaned

The Company’s business activities include securities lending programs with third parties, mostly large banks. As of December 31, 2017 and 2016, fixed income and equity securities with a carrying value of $1.09 billion and $1.08 billion, respectively, were on loan under these agreements. Interest income on collateral, net of fees, was $7 million, $6 million and $2 million in 2017, 2016 and 2015, respectively.

Other investment information

Included in fixed income securities are below investment grade assets totaling $7.57 billion and $8.62 billion as of December 31, 2017 and 2016, respectively.

As of December 31, 2017, fixed income securities and short-term investments with a carrying value of $154 million were on deposit with regulatory authorities as required by law.

As of December 31, 2017, the carrying value of fixed income securities and other investments that were non-income producing was $51 million.

Fair Value of Assets and Liabilities

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

Fair Value of Assets and Liabilities



Note 6	Fair Value of Assets and Liabilities

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The hierarchy for inputs used in determining fair value maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that observable inputs be used when available. Assets and liabilities recorded on the Consolidated Statements of Financial Position at fair value are categorized in the fair value hierarchy based on the observability of inputs to the valuation techniques as follows:

Level 1: Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that the Company can access.

Level 2: Assets and liabilities whose values are based on the following:


(a)	Quoted prices for similar assets or liabilities in active markets;


(b)	Quoted prices for identical or similar assets or liabilities in markets that are not active; or


(c)	Valuation models whose inputs are observable, directly or indirectly, for substantially the full term of the asset or liability.

Level 3: Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Unobservable inputs reflect the Company’s estimates of the assumptions that market participants would use in valuing the assets and liabilities.

The availability of observable inputs varies by instrument. In situations where fair value is based on internally developed pricing models or inputs that are unobservable in the market, the determination of fair value requires more judgment. The degree of judgment exercised by the Company in determining fair value is typically greatest for instruments categorized in Level 3. In many instances, valuation inputs used to measure fair value fall into different levels of the fair value hierarchy. The category level in the fair value hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company uses prices and inputs that are current as of the measurement date, including during periods of market disruption. In periods of market disruption, the ability to observe prices and inputs may be reduced for many instruments.

The Company is responsible for the determination of fair value and the supporting assumptions and methodologies. The Company gains assurance that assets and liabilities are appropriately valued through the execution of various processes and controls designed to ensure the overall reasonableness and consistent application of valuation methodologies, including inputs and assumptions, and compliance with accounting standards. For fair values received from third parties or internally estimated, the Company’s processes and controls are designed to ensure that the valuation methodologies are appropriate and consistently applied, the inputs and assumptions are reasonable and consistent with the objective of determining fair value, and the fair values are accurately recorded. For example, on a continuing basis, the Company assesses the reasonableness of individual fair values that have stale security prices or that exceed certain thresholds as compared to previous fair values received from valuation service providers or brokers or derived from internal models. The Company performs procedures to understand and assess the methodologies, processes and controls of valuation service providers. In addition, the Company may validate the reasonableness of fair values by comparing information obtained from valuation service providers or brokers to other third party valuation sources for selected securities. The Company performs ongoing price validation procedures such as back-testing of actual sales, which corroborate the various inputs used in internal models to market observable data. When fair value determinations are expected to be more variable, the Company validates them through reviews by members of management who have relevant expertise and who are independent of those charged with executing investment transactions.

The Company has two types of situations where investments are classified as Level 3 in the fair value hierarchy. The first is where specific inputs significant to the fair value estimation models are not market observable. This primarily occurs in the Company’s use of broker quotes to value certain securities where the inputs have not been corroborated to be market observable, and the use of valuation models that use significant non-market observable inputs. The second situation where the Company classifies securities in Level 3 is where quotes continue to be received from independent third-party valuation service providers and all significant inputs are market observable; however, there has been a significant decrease in the volume and level of activity for the asset when compared to normal market activity such that the degree of market observability has declined to a point where categorization as a Level 3 measurement is considered appropriate. The indicators considered in determining whether a significant decrease in the volume and level of activity for a specific asset has occurred include the level of new issuances in the primary market, trading volume in the secondary market, the level of credit spreads over historical levels, applicable bid-ask spreads, and price consensus among market participants and other pricing sources.

Certain assets are not carried at fair value on a recurring basis, including investments such as mortgage loans, cost method limited partnership interests, bank loans, agent loans and policy loans. Accordingly, such investments are only included in the fair value hierarchy disclosure when the investment is subject to remeasurement at fair value after initial recognition and the resulting remeasurement is reflected in the consolidated financial statements.

In determining fair value, the Company principally uses the market approach which generally utilizes market transaction data for the same or similar instruments. To a lesser extent, the Company uses the income approach which involves determining fair values from discounted cash flow methodologies. For the majority of Level 2 and Level 3 valuations, a combination of the market and income approaches is used.

Summary of significant valuation techniques for assets and liabilities measured at fair value on a recurring basis

Level 1 measurements


•	Fixed income securities: Comprise certain U.S. Treasury fixed income securities. Valuation is based on unadjusted quoted prices for identical assets in active markets that the Company can access.


•	Equity securities: Comprise actively traded, exchange-listed equity securities. Valuation is based on unadjusted quoted prices for identical assets in active markets that the Company can access.


•	Short-term: Comprise U.S. Treasury bills valued based on unadjusted quoted prices for identical assets in active markets that the Company can access and actively traded money market funds that have daily quoted net asset values for identical assets that the Company can access.


•	Separate account assets: Comprise actively traded mutual funds that have daily quoted net asset values for identical assets that the Company can access. Net asset values for the actively traded mutual funds in which the separate account assets are invested are obtained daily from the fund managers.

Level 2 measurements


•	Fixed income securities:

U.S. government and agencies: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields and credit spreads.

Municipal: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields and credit spreads.

Corporate - public: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields and credit spreads.

Corporate - privately placed: Valued using a discounted cash flow model that is widely accepted in the financial services industry and uses market observable inputs and inputs derived principally from, or corroborated by, observable market data. The primary inputs to the discounted cash flow model include an interest rate yield curve, as well as published credit spreads for similar assets in markets that are not active that incorporate the credit quality and industry sector of the issuer.

Foreign government: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields and credit spreads.

ABS - collateralized debt obligations (“CDO”) and ABS - consumer and other: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields, prepayment speeds, collateral performance and credit spreads. Certain ABS - CDO and ABS - consumer and other are valued based on non-binding broker quotes whose inputs have been corroborated to be market observable.

RMBS: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields, prepayment speeds, collateral performance and credit spreads.

CMBS: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields, collateral performance and credit spreads.

Redeemable preferred stock: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields, underlying stock prices and credit spreads.


•	Equity securities: The primary inputs to the valuation include quoted prices or quoted net asset values for identical or similar assets in markets that are not active.


•	Short-term: The primary inputs to the valuation include quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields and credit spreads. For certain short-term investments, amortized cost is used as the best estimate of fair value.


•	Other investments: Free-standing exchange listed derivatives that are not actively traded are valued based on quoted prices for identical instruments in markets that are not active.

Over-the-counter (“OTC”) derivatives, including interest rate swaps, foreign currency swaps, foreign exchange forward contracts, certain options and certain credit default swaps, are valued using models that rely on inputs such as interest rate yield curves, implied volatilities, currency rates, and credit spreads that are observable for substantially the full term of the contract. The valuation techniques underlying the models are widely accepted in the financial services industry and do not involve significant judgment.

Level 3 measurements


•	Fixed income securities:

Municipal: Comprise municipal bonds that are not rated by third party credit rating agencies. The primary inputs to the valuation of these municipal bonds include quoted prices for identical or similar assets in markets that exhibit less liquidity relative to those markets supporting Level 2 fair value measurements, contractual cash flows, benchmark yields and credit spreads. Also included are municipal bonds valued based on non-binding broker quotes where the inputs have not been corroborated to be market observable and municipal bonds in default valued based on the present value of expected cash flows.

Corporate - public and Corporate - privately placed: Primarily valued based on non-binding broker quotes where the inputs have not been corroborated to be market observable. Other inputs include an interest rate yield curve, as well as published credit spreads for similar assets that incorporate the credit quality and industry sector of the issuer.

ABS - CDO, ABS - consumer and other, RMBS and CMBS: Valued based on non-binding broker quotes received from brokers who are familiar with the investments and where the inputs have not been corroborated to be market observable.


•	Equity securities: The primary inputs to the valuation include quoted prices or quoted net asset values for identical or similar assets in markets that exhibit less liquidity relative to those markets supporting Level 2 fair value measurements.

•

Other investments: Certain OTC derivatives, such as interest rate caps, certain credit default swaps and certain options (including swaptions), are valued using models that are widely accepted in the financial services industry. These are categorized as Level 3 as a result of the significance of non-market observable inputs such as volatility. Other primary inputs include interest rate yield curves and credit spreads.

•

Contractholder funds: Derivatives embedded in certain life and annuity contracts are valued internally using models widely accepted in the financial services industry that determine a single best estimate of fair value for the embedded derivatives within a block of contractholder liabilities. The models primarily use stochastically determined cash flows based on the contractual elements of embedded derivatives, projected option cost and applicable market data, such as interest rate yield curves and equity index volatility assumptions. These are categorized as Level 3 as a result of the significance of non-market observable inputs.

Assets and liabilities measured at fair value on a non-recurring basis

Mortgage loans written-down to fair value in connection with recognizing impairments are valued based on the fair value of the underlying collateral less costs to sell. Limited partnership interests written-down to fair value in connection with recognizing other-than-temporary impairments are generally valued using net asset values.



Assets and liabilities measured at fair value on a recurring and non-recurring basis
	As of December 31, 2017
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Counterparty and cash collateral netting			Balance as of December 31, 2017
Assets
Fixed income securities:
U.S. government and agencies	$	3,079		$	537		$	—					$	3,616
Municipal	—			8,227			101						8,328
Corporate - public	—			31,963			108						32,071
Corporate - privately placed	—			11,731			224						11,955
Foreign government	—			1,021			—						1,021
ABS - CDO	—			480			99						579
ABS - consumer and other	—			645			48						693
RMBS	—			578			—						578
CMBS	—			102			26						128
Redeemable preferred stock	—			23			—						23
Total fixed income securities	3,079			55,307			606						58,992
Equity securities	6,032			379			210						6,621
Short-term investments	264			1,660			20						1,944
Other investments: Free-standing derivatives	—			132			1			(6		)	127
Separate account assets	3,444			—			—						3,444
Other assets	—			—			—						—
Total recurring basis assets	12,819			57,478			837			(6		)	71,128
Non-recurring basis ⁽¹⁾	—			—			3						3
Total assets at fair value	$	12,819		$	57,478		$	840		$	(6	)	$	71,131
% of total assets at fair value	18.0		%	80.8		%	1.2		%	—		%	100.0		%

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(286	)				$	(286	)
Other liabilities: Free-standing derivatives	(1		)	(83		)	—			$	14		(70		)
Total liabilities at fair value	$	(1	)	$	(83	)	$	(286	)	$	14		$	(356	)
% of total liabilities at fair value	0.3		%	23.3		%	80.3		%	(3.9		)%	100.0		%


⁽¹⁾	Includes $3 million of limited partnership interests written-down to fair value in connection with recognizing other-than-temporary impairments.



Assets and liabilities measured at fair value on a recurring and non-recurring basis
	As of December 31, 2016
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Counterparty and cash collateral netting			Balance as of December 31, 2016
Assets
Fixed income securities:
U.S. government and agencies	$	2,918		$	719		$	—					$	3,637
Municipal	—			7,208			125						7,333
Corporate - public	—			31,414			78						31,492
Corporate - privately placed	—			11,846			263						12,109
Foreign government	—			1,075			—						1,075
ABS - CDO	—			650			27						677
ABS - consumer and other	—			452			42						494
RMBS	—			727			1						728
CMBS	—			248			22						270
Redeemable preferred stock	—			24			—						24
Total fixed income securities	2,918			54,363			558						57,839
Equity securities	5,247			256			163						5,666
Short-term investments	850			3,423			15						4,288
Other investments: Free-standing derivatives	—			119			1			(9		)	111
Separate account assets	3,393			—			—						3,393
Other assets	—			—			1						1
Total recurring basis assets	12,408			58,161			738			(9		)	71,298
Non-recurring basis ⁽¹⁾	—			—			24						24
Total assets at fair value	$	12,408		$	58,161		$	762		$	(9	)	$	71,322
% of total assets at fair value	17.4		%	81.5		%	1.1		%	—		%	100.0		%

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(290	)				$	(290	)
Other liabilities: Free-standing derivatives	(1		)	(68		)	(3		)	$	28		(44		)
Total liabilities at fair value	$	(1	)	$	(68	)	$	(293	)	$	28		$	(334	)
% of total liabilities at fair value	0.3		%	20.4		%	87.7		%	(8.4		)%	100.0		%


⁽¹⁾	Includes $24 million of limited partnership interests written-down to fair value in connection with recognizing other-than-temporary impairments.



Quantitative information about the significant unobservable inputs used in Level 3 fair value measurements
($ in millions)	Fair value			Valuation technique	Unobservable input	Range	Weighted average
December 31, 2017
Derivatives embedded in life and annuity contracts – Equity-indexed and forward starting options	$	(252	)	Stochastic cash flow model	Projected option cost	1.0 - 2.2%	1.74%

December 31, 2016
Derivatives embedded in life and annuity contracts – Equity-indexed and forward starting options	$	(247	)	Stochastic cash flow model	Projected option cost	1.0 - 2.2%	1.75%

The embedded derivatives are equity-indexed and forward starting options in certain life and annuity products that provide customers with interest crediting rates based on the performance of the S&P 500. If the projected option cost increased (decreased), it would result in a higher (lower) liability fair value.

As of December 31, 2017 and 2016, Level 3 fair value measurements of fixed income securities total $606 million and $558 million, respectively, and include $271 million and $307 million, respectively, of securities valued based on non-binding broker quotes where the inputs have not been corroborated to be market observable and $58 million and $80 million, respectively, of municipal fixed income securities that are not rated by third party credit rating agencies. The Company does not develop the unobservable inputs used in measuring fair value; therefore, these are not included in the table above. However, an increase (decrease) in credit spreads for fixed income securities valued based on non-binding broker quotes would result in a lower (higher) fair value, and an increase (decrease) in the credit rating of municipal bonds that are not rated by third party credit rating agencies would result in a higher (lower) fair value.



Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period
				December 31, 2017
	Balance as of December 31, 2016			Total gains (losses) included in:						Transfers into Level 3			Transfers out of Level 3
($ in millions)	Balance as of December 31, 2016			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
Municipal	$	125		$	(1	)	$	7		$	—		$	(6	)
Corporate - public	78			—			—			4			(30		)
Corporate - privately placed	263			8			(2		)	30			(49		)
ABS - CDO	27			—			6			60			(190		)
ABS - consumer and other	42			—			—			—			(90		)
RMBS	1			—			—			—			—
CMBS	22			—			—			—			—
Total fixed income securities	558			7			11			94			(365		)
Equity securities	163			13			4			—			(4		)
Short-term investments	15			—			—			—			—
Free-standing derivatives, net	(2		)	3			—			—			—
Other assets	1			(1		)	—			—			—
Total recurring Level 3 assets	$	735		$	22		$	15		$	94		$	(369	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(290	)	$	—		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(290	)	$	—		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of December 31, 2017
Assets
Fixed income securities:
Municipal	$	8		$	(29	)	$	—		$	(3	)	$	101
Corporate - public	60			—			—			(4		)	108
Corporate - privately placed	44			(30		)	—			(40		)	224
ABS - CDO	219			—			—			(23		)	99
ABS - consumer and other	103			—			—			(7		)	48
RMBS	—			—			—			(1		)	—
CMBS	6			—			—			(2		)	26
Total fixed income securities	440			(59		)	—			(80		)	606
Equity securities	48			(14		)	—			—			210
Short-term investments	45			(40		)	—			—			20
Free-standing derivatives, net	—			—			—			—			1			⁽²	⁾
Other assets	—			—			—			—			—
Total recurring Level 3 assets	$	533		$	(113	)	$	—		$	(80	)	$	837
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(2	)	$	6		$	(286	)
Total recurring Level 3 liabilities	$	—		$	—		$	(2	)	$	6		$	(286	)


⁽¹⁾	The effect to net income totals $22 million and is reported in the Consolidated Statements of Operations as follows: $4 million in realized capital gains and losses, $19 million in net investment income, $(10) million in interest credited to contractholder funds and $9 million in life contract benefits.


⁽²⁾	Comprises $1 million of assets.



Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period
				December 31, 2016
	Balance as of December 31, 2015			Total gains (losses) included in:						Transfers into Level 3			Transfers out of Level 3
($ in millions)	Balance as of December 31, 2015			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
U.S. government and agencies	$	5		$	—		$	—		$	—		$	(4	)
Municipal	161			12			(10		)	6			(23		)
Corporate - public	46			—			—			41			(43		)
Corporate - privately placed	502			15			18			16			(398		)
ABS - CDO	61			1			6			10			(43		)
ABS - consumer and other	50			—			(3		)	3			(35		)
RMBS	1			1			—			—			—
CMBS	20			—			—			—			(1		)
Total fixed income securities	846			29			11			76			(547		)
Equity securities	133			(32		)	12			—			(12		)
Short-term investments	—			—			—			—			—
Free-standing derivatives, net	(7		)	6			—			—			—
Other assets	1			—			—			—			—
Total recurring Level 3 assets	$	973		$	3		$	23		$	76		$	(559	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(299	)	$	5		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(299	)	$	5		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of December 31, 2016
Assets
Fixed income securities:
U.S. government and agencies	$	—		$	—		$	—		$	(1	)	$	—
Municipal	22			(40		)	—			(3		)	125
Corporate - public	47			(11		)	—			(2		)	78
Corporate - privately placed	181			(15		)	—			(56		)	263
ABS - CDO	40			(3		)	—			(45		)	27
ABS - consumer and other	35			(5		)	—			(3		)	42
RMBS	—			(1		)	—			—			1
CMBS	5			—			—			(2		)	22
Total fixed income securities	330			(75		)	—			(112		)	558
Equity securities	65			(4		)	—			1			163
Short-term investments	15			—			—			—			15
Free-standing derivatives, net	—			—			—			(1		)	(2		)	⁽²⁾
Other assets	—			—			—			—			1
Total recurring Level 3 assets	$	410		$	(79	)	$	—		$	(112	)	$	735
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(3	)	$	7		$	(290	)
Total recurring Level 3 liabilities	$	—		$	—		$	(3	)	$	7		$	(290	)


⁽¹⁾	The effect to net income totals $8 million and is reported in the Consolidated Statements of Operations as follows: $(9) million in realized capital gains and losses, $12 million in net investment income, $(4) million in interest credited to contractholder funds and $9 million in life contract benefits.


⁽²⁾	Comprises $1 million of assets and $3 million of liabilities.



Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period
				December 31, 2015
				Total gains (losses) included in:
($ in millions)	Balance as of December 31, 2014			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
U.S. government and agencies	$	6		$	—		$	—		$	—		$	—
Municipal	270			(4		)	(7		)	3			(2		)
Corporate - public	214			—			—			—			(175		)
Corporate - privately placed	677			13			(20		)	13			(106		)
ABS - CDO	104			(1		)	4			43			(52		)
ABS - consumer and other	92			(1		)	—			—			(98		)
RMBS	1			—			—			—			—
CMBS	23			—			—			—			—
Total fixed income securities	1,387			7			(23		)	59			(433		)
Equity securities	83			(3		)	(5		)	—			—
Short-term investments	5			—			—			—			—
Free-standing derivatives, net	(7		)	1			—			—			—
Other assets	1			—			—			—			—
Total recurring Level 3 assets	$	1,469		$	5		$	(28	)	$	59		$	(433	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(323	)	$	19		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(323	)	$	19		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of December 31, 2015
Assets
Fixed income securities:
U.S. government and agencies	$	—		$	—		$	—		$	(1	)	$	5
Municipal	—			(91		)	—			(8		)	161
Corporate - public	11			—			—			(4		)	46
Corporate - privately placed	79			(74		)	—			(80		)	502
ABS - CDO	—			(2		)	—			(35		)	61
ABS - consumer and other	70			(5		)	—			(8		)	50
RMBS	—			—			—			—			1
CMBS	12			—			—			(15		)	20
Total fixed income securities	172			(172		)	—			(151		)	846
Equity securities	69			(11		)	—			—			133
Short-term investments	35			(40		)	—			—			—
Free-standing derivatives, net	—			—			—			(1		)	(7		)	⁽²⁾
Other assets	—			—			—			—			1
Total recurring Level 3 assets	$	276		$	(223	)	$	—		$	(152	)	$	973
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(2	)	$	7		$	(299	)
Total recurring Level 3 liabilities	$	—		$	—		$	(2	)	$	7		$	(299	)


⁽¹⁾	The effect to net income totals $24 million and is reported in the Consolidated Statements of Operations as follows: $(8) million in realized capital gains and losses, $13 million in net investment income, $26 million in interest credited to contractholder funds and $(7) million in life contract benefits.


⁽²⁾	Comprises $1 million of assets and $8 million of liabilities.

Transfers between level categorizations may occur due to changes in the availability of market observable inputs, which generally are caused by changes in market conditions such as liquidity, trading volume or bid-ask spreads. Transfers between level categorizations may also occur due to changes in the valuation source. For example, in situations where a fair value quote is not provided by the Company’s independent third-party valuation service provider and as a result the price is stale or has been replaced with a broker quote whose inputs have not been corroborated to be market observable, the security is transferred into Level 3. Transfers in and out of level categorizations are reported as having occurred at the beginning of the quarter in which the transfer occurred. Therefore, for all transfers into Level 3, all realized and changes in unrealized gains and losses in the quarter of transfer are reflected in the Level 3 rollforward table.

There were no transfers between Level 1 and Level 2 during 2017, 2016 or 2015.

Transfers into Level 3 during 2017, 2016 and 2015 included situations where a fair value quote was not provided by the Company’s independent third-party valuation service provider and as a result the price was stale or had been replaced with a broker quote where the inputs had not been corroborated to be market observable resulting in the security being classified as Level 3. Transfers out of Level 3 during 2017, 2016 and 2015 included situations where a broker quote was used in the prior period and a fair value quote became available from the Company’s independent third-party valuation service provider in the current period. A quote utilizing the new pricing source was not available as of the prior period, and any gains or losses related to the change in valuation source for individual securities were not significant.



Change in unrealized gains and losses included in net income for level 3 assets and liabilities held as of
	December 31,
($ in millions)	2017			2016			2015
Assets
Fixed income securities:
Municipal	$	(3	)	$	2		$	(12	)
Corporate	1			2			11
ABS	—			—			2
Total fixed income securities	(2		)	4			1
Equity securities	13			(32		)	(4		)
Free-standing derivatives, net	—			5			1
Other assets	(1		)	—			—
Total recurring Level 3 assets	$	10		$	(23	)	$	(2	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	5		$	19
Total recurring Level 3 liabilities	$	—		$	5		$	19

The amounts in the table above represent the change in unrealized gains and losses included in net income for the period of time that the asset or liability was held and determined to be in Level 3. These gains and losses total $10 million in 2017 and are reported as follows: $(8) million in realized capital gains and losses, $19 million in net investment income, $(10) million in interest credited to contractholder funds and $9 million in life contract benefits. These gains and losses total $(18) million in 2016 and are reported as follows: $(36) million in realized capital gains and losses, $13 million in net investment income, $(4) million in interest credited to contractholder funds and $9 million in life contract benefits. These gains and losses total $17 million in 2015 and are reported as follows: $(20) million in realized capital gains and losses, $18 million in net investment income, $26 million in interest credited to contractholder funds and $(7) million in life contract benefits.

Financial assets



Carrying values and fair value estimates of financial instruments not carried at fair value
	As of December 31, 2017				As of December 31, 2016
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Mortgage loans	$	4,534	$	4,732	$	4,486	$	4,514
Cost method limited partnerships ⁽¹⁾	1,327		1,569		1,282		1,493
Bank loans	1,702		1,704		1,669		1,677
Agent loans	538		536		467		467

⁽¹⁾

Beginning January 1, 2018, due to the adoption of the new accounting standard for the recognition and measurement of financial assets and liabilities, cost method limited partnerships (excluding limited partnership interests accounted for on a cost recovery basis) will be measured at fair value with changes in fair value recognized in net income. The existing carrying value of these investments will increase to fair value with the offsetting adjustment recognized in retained income through a cumulative effect adjustment. See Note 2 for additional details on the new accounting standard.

The fair value of mortgage loans is based on discounted contractual cash flows or, if the loans are impaired due to credit reasons, the fair value of collateral less costs to sell. Risk adjusted discount rates are selected using current rates at which similar loans would be made to borrowers with similar characteristics, using similar types of properties as collateral. The fair value of cost method limited partnerships is determined using reported net asset values. The fair value of bank loans, which are reported in other investments, is based on broker quotes from brokers familiar with the loans and current market conditions. The fair value of agent loans, which are reported in other investments, is based on discounted cash flow calculations. Risk adjusted discount rates are selected using current rates at which similar loans would be made to borrowers with similar characteristics. The fair value measurements for mortgage loans, cost method limited partnerships, bank loans and agent loans are categorized as Level 3.

Financial liabilities



Carrying values and fair value estimates of financial instruments not carried at fair value
	As of December 31, 2017				As of December 31, 2016
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Contractholder funds on investment contracts	$	10,367	$	11,071	$	11,313	$	12,009
Long-term debt	6,350		7,199		6,347		6,920
Liability for collateral	1,124		1,124		1,129		1,129

The fair value of contractholder funds on investment contracts is based on the terms of the underlying contracts incorporating current market-based crediting rates for similar contracts that reflect the Company’s own credit risk. Deferred annuities classified in contractholder funds are valued based on discounted cash flow models that incorporate current market-based margins and reflect the Company’s own credit risk. Immediate annuities without life contingencies are valued based on discounted cash flow models that incorporate current market-based implied interest rates and reflect the Company’s own credit risk. The fair value measurement for contractholder funds on investment contracts is categorized as Level 3.

The fair value of long-term debt is based on market observable data (such as the fair value of the debt when traded as an asset) or is determined using discounted cash flow calculations based on current interest rates for instruments with comparable terms and considers the Company’s own credit risk. The liability for collateral is valued at carrying value due to its short-term nature. The fair value measurements for long-term debt and liability for collateral are categorized as Level 2.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Derivative Financial Instruments and Off-balance sheet Financial Instruments

12 Months Ended

Dec. 31, 2017

Derivative Financial Instruments and Off-balance sheet Financial Instruments

Derivative Financial Instruments and Off-balance sheet Financial Instruments



Note 7	Derivative Financial Instruments and Off-balance sheet Financial Instruments

The Company uses derivatives for risk reduction and to increase investment portfolio returns through asset replication. Risk reduction activity is focused on managing the risks with certain assets and liabilities arising from the potential adverse impacts from changes in risk-free interest rates, changes in equity market valuations, increases in credit spreads and foreign currency fluctuations.

Asset replication refers to the “synthetic” creation of assets through the use of derivatives. The Company replicates fixed income securities using a combination of a credit default swap or a foreign currency forward contract and one or more highly rated fixed income securities, primarily investment grade host bonds, to synthetically replicate the economic characteristics of one or more cash market securities. The Company replicates equity securities using futures and options to increase equity exposure.

Property-Liability may use interest rate swaps, swaptions, futures and options to manage the interest rate risks of existing investments. These instruments are utilized to change the duration of the portfolio in order to offset the economic effect that interest rates would otherwise have on the fair value of its fixed income securities. Credit default swaps are typically used to mitigate the credit risk within the Property-Liability fixed income portfolio. Equity index futures and options are used by Property-Liability to offset valuation losses in the equity portfolio during periods of declining equity market values. In addition, equity futures are used to hedge the market risk related to deferred compensation liability contracts. Forward contracts are primarily used by Property-Liability to hedge foreign currency risk associated with holding foreign currency denominated investments and foreign operations.

The Company utilizes several derivative strategies to manage risk in Allstate Life and Allstate Annuities. Asset-liability management is a risk management strategy that is principally employed by Allstate Life and Allstate Annuities to balance the respective interest-rate sensitivities of its assets and liabilities. Depending upon the attributes of the assets acquired and liabilities issued, derivative instruments such as interest rate swaps, caps, swaptions and futures are utilized to change the interest rate characteristics of existing assets and liabilities to ensure the relationship is maintained within specified ranges and to reduce exposure to rising or falling interest rates. Credit default swaps are typically used to mitigate the credit risk within the Allstate Life and Allstate Annuities fixed income portfolios. Futures and options are used for hedging the equity exposure contained in equity indexed life and annuity product contracts that offer equity returns to contractholders. In addition, the Company uses equity index futures to offset valuation losses in the equity portfolio during periods of declining equity market values. Foreign currency swaps and forwards are primarily used to reduce the foreign currency risk associated with holding foreign currency denominated investments.

The Company also has derivatives embedded in non-derivative host contracts that are required to be separated from the host contracts and accounted for at fair value with changes in fair value of embedded derivatives reported in net income. The Company’s primary embedded derivatives are equity options in life and annuity product contracts, which provide equity returns to contractholders.

When derivatives meet specific criteria, they may be designated as accounting hedges and accounted for as fair value, cash flow, foreign currency fair value or foreign currency cash flow hedges. The Company designates certain investment risk transfer reinsurance agreements as fair value hedges when the hedging instrument is highly effective in offsetting the risk of changes in the fair value of the hedged item. The Company designates certain of its foreign currency swap contracts as cash flow hedges when the hedging instrument is highly effective in offsetting the exposure of variations in cash flows for the hedged risk that could affect net income. Amounts are reclassified to net investment income or realized capital gains and losses as the hedged item affects net income.

The notional amounts specified in the contracts are used to calculate the exchange of contractual payments under the agreements and are generally not representative of the potential for gain or loss on these agreements. However, the notional amounts specified in credit default swaps where the Company has sold credit protection represent the maximum amount of potential loss, assuming no recoveries.

Fair value, which is equal to the carrying value, is the estimated amount that the Company would receive or pay to terminate the derivative contracts at the reporting date. The carrying value amounts for OTC derivatives are further adjusted for the effects, if any, of enforceable master netting agreements and are presented on a net basis, by counterparty agreement, in the Consolidated Statements of Financial Position. For certain exchange traded and cleared derivatives, margin deposits are required as well as daily cash settlements of margin accounts. As of December 31, 2017, the Company pledged $10 million in the form of margin deposits.

For those derivatives which qualify for fair value hedge accounting, net income includes the changes in the fair value of both the derivative instrument and the hedged risk, and therefore reflects any hedging ineffectiveness. For cash flow hedges, gains and losses are amortized from AOCI and are reported in net income in the same period the forecasted transactions being hedged impact net income.

Non-hedge accounting is generally used for “portfolio” level hedging strategies where the terms of the individual hedged items do not meet the strict homogeneity requirements to permit the application of hedge accounting. For non-hedge derivatives, net income includes changes in fair value and accrued periodic settlements, when applicable. With the exception of non-hedge derivatives used for asset replication and non-hedge embedded derivatives, all of the Company’s derivatives are evaluated for their ongoing effectiveness as either accounting hedge or non-hedge derivative financial instruments on at least a quarterly basis.



Summary of the volume and fair value positions of derivative instruments as of December 31, 2017
		Volume ⁽¹⁾
($ in millions, except number of contracts)	Balance sheet location	Notional amount		Number of contracts	Fair value, net			Gross asset		Gross liability
Asset derivatives
Derivatives not designated as accounting hedging instruments
Interest rate contracts
Interest rate cap agreements	Other investments	$	15	n/a	$	—		$	—	$	—
Equity and index contracts
Options	Other investments	—		6,316	125			125		—
Financial futures contracts	Other assets	—		289	—			—		—
Foreign currency contracts
Foreign currency forwards	Other investments	52		n/a	1			1		—
Credit default contracts
Credit default swaps – buying protection	Other investments	105		n/a	(1		)	—		(1		)
Credit default swaps – selling protection	Other investments	80		n/a	1			1		—
Other contracts
Other contracts	Other assets	3		n/a	—			—		—
Total asset derivatives		$	255	6,605	$	126		$	127	$	(1	)

Liability derivatives
Derivatives designated as accounting hedging instruments
Foreign currency swap agreements	Other liabilities & accrued expenses	$	19	n/a	$	2		$	2	$	—
Derivatives not designated as accounting hedging instruments
Interest rate contracts
Interest rate cap agreements	Other liabilities & accrued expenses	30		n/a	1			1		—
Equity and index contracts
Options and futures	Other liabilities & accrued expenses	—		7,128	(58		)	—		(58		)
Foreign currency contracts
Foreign currency forwards	Other liabilities & accrued expenses	650		n/a	(17		)	3		(20		)
Embedded derivative financial instruments
Guaranteed accumulation benefits	Contractholder funds	225		n/a	(22		)	—		(22		)
Guaranteed withdrawal benefits	Contractholder funds	274		n/a	(12		)	—		(12		)
Equity-indexed and forward starting options in life and annuity product contracts	Contractholder funds	1,774		n/a	(252		)	—		(252		)
Credit default contracts
Credit default swaps – buying protection	Other liabilities & accrued expenses	136		n/a	(5		)	—		(5		)
Credit default swaps – selling protection	Other liabilities & accrued expenses	25		n/a	—			—		—
Subtotal		3,114		7,128	(365		)	4		(369		)
Total liability derivatives		3,133		7,128	(363		)	$	6	$	(369	)
Total derivatives		$	3,388	13,733	$	(237	)


⁽¹⁾	Volume for OTC and cleared derivative contracts is represented by their notional amounts. Volume for exchange traded derivatives is represented by the number of contracts, which is the basis on which they are traded. (n/a = not applicable)



Summary of the volume and fair value positions of derivative instruments as of December 31, 2016
		Volume ⁽¹⁾
($ in millions, except number of contracts)	Balance sheet location	Notional amount		Number of contracts	Fair value, net			Gross asset		Gross liability
Asset derivatives
Derivatives designated as accounting hedging instruments
Foreign currency swap agreements	Other investments	$	49	n/a	$	5		$	5	$	—
Derivatives not designated as accounting hedging instruments
Interest rate contracts
Interest rate cap agreements	Other investments	65		n/a	1			1		—
Equity and index contracts
Options	Other investments	—		3,972	88			88		—
Financial futures contracts	Other assets	—		261	—			—		—
Foreign currency contracts
Foreign currency forwards	Other investments	759		n/a	—			24		(24		)
Credit default contracts
Credit default swaps – buying protection	Other investments	87		n/a	(4		)	—		(4		)
Credit default swaps – selling protection	Other investments	140		n/a	2			2		—
Other contracts
Other contracts	Other assets	3		n/a	1			1		—
Subtotal		1,054		4,233	88			116		(28		)
Total asset derivatives		$	1,103	4,233	$	93		$	121	$	(28	)

Liability derivatives
Derivatives not designated as accounting hedging instruments
Equity and index contracts
Options and futures	Other liabilities & accrued expenses	$	—	4,848	$	(39	)	$	—	$	(39	)
Embedded derivative financial instruments
Guaranteed accumulation benefits	Contractholder funds	391		n/a	(34		)	—		(34		)
Guaranteed withdrawal benefits	Contractholder funds	290		n/a	(9		)	—		(9		)
Equity-indexed and forward starting options in life and annuity product contracts	Contractholder funds	1,751		n/a	(247		)	—		(247		)
Credit default contracts
Credit default swaps – buying protection	Other liabilities & accrued expenses	136		n/a	(2		)	—		(2		)
Credit default swaps – selling protection	Other liabilities & accrued expenses	105		n/a	(3		)	—		(3		)
Total liability derivatives		2,673		4,848	(334		)	$	—	$	(334	)
Total derivatives		$	3,776	9,081	$	(241	)


⁽¹⁾	Volume for OTC and cleared derivative contracts is represented by their notional amounts. Volume for exchange traded derivatives is represented by the number of contracts, which is the basis on which they are traded. (n/a = not applicable)



Gross and net amounts for OTC derivatives ⁽¹⁾
				Offsets
($ in millions)	Gross amount			Counter- party netting			Cash collateral (received) pledged		Net amount on balance sheet			Securities collateral (received) pledged			Net amount
December 31, 2017
Asset derivatives	$	8		$	(7	)	$	1	$	2		$	—		$	2
Liability derivatives	(26		)	7			7		(12		)	3			(9		)

December 31, 2016
Asset derivatives	$	31		$	(28	)	$	19	$	22		$	(9	)	$	13
Liability derivatives	(33		)	28			—		(5		)	4			(1		)


⁽¹⁾	All OTC derivatives are subject to enforceable master netting agreements.



Summary of the impacts of the foreign currency contracts in cash flow hedging relationships
	For the years ended December 31,
($ in millions)	2017			2016		2015
(Loss) gain recognized in OCI on derivatives during the period	$	(2	)	$	—	$	10
(Loss) gain recognized in OCI on derivatives during the term of the hedging relationship	(1		)	2		6
Gain (loss) reclassified from AOCI into income (net investment income)	1			1		(1		)
Gain reclassified from AOCI into income (realized capital gains and losses)	—			3		3

Amortization of net gains from AOCI related to cash flow hedges is expected to be a gain of $2 million during the next twelve months. There was no hedge ineffectiveness reported in realized gains and losses in 2017, 2016 or 2015.



Gains and losses from valuation and settlements reported on derivatives not designated as accounting hedges
($ in millions)	Realized capital gains and losses			Life contract benefits			Interest credited to contractholder funds			Operating costs and expenses			Total gain (loss) recognized in net income on derivatives
2017
Equity and index contracts	$	(15	)	$	—		$	47		$	28		$	60
Embedded derivative financial instruments	—			9			(6		)	—			3
Foreign currency contracts	(27		)	—			—			6			(21		)
Credit default contracts	(4		)	—			—			—			(4		)
Total	$	(46	)	$	9		$	41		$	34		$	38

2016
Equity and index contracts	$	(12	)	$	—		$	18		$	19		$	25
Embedded derivative financial instruments	—			9			—			—			9
Foreign currency contracts	17			—			—			(35		)	(18		)
Credit default contracts	(5		)	—			—			—			(5		)
Total	$	—		$	9		$	18		$	(16	)	$	11

2015
Interest rate contracts	$	1		$	—		$	—		$	—		$	1
Equity and index contracts	1			—			(9		)	(1		)	(9		)
Embedded derivative financial instruments	—			(7		)	31			—			24
Foreign currency contracts	(24		)	—			—			(8		)	(32		)
Credit default contracts	(2		)	—			—			—			(2		)
Total	$	(24	)	$	(7	)	$	22		$	(9	)	$	(18	)

In 2017, 2016 and 2015, the Company had no derivatives used in fair value hedging relationships.

The Company manages its exposure to credit risk by utilizing highly rated counterparties, establishing risk control limits, executing legally enforceable master netting agreements (“MNAs”) and obtaining collateral where appropriate. The Company uses MNAs for OTC derivative transactions that permit either party to net payments due for transactions and collateral is either pledged or obtained when certain predetermined exposure limits are exceeded. As of December 31, 2017, counterparties pledged $3 million in cash to the Company, and the Company pledged $14 million in cash and securities to counterparties which includes $6 million of collateral posted under MNAs for contracts containing credit-risk contingent provisions that are in a liability position and $8 million of collateral posted under MNAs for contracts without credit-risk-contingent features. The Company has not incurred any losses on derivative financial instruments due to counterparty nonperformance. Other derivatives, including futures and certain option contracts, are traded on organized exchanges which require margin deposits and guarantee the execution of trades, thereby mitigating any potential credit risk.

Counterparty credit exposure represents the Company’s potential loss if all of the counterparties concurrently fail to perform under the contractual terms of the contracts and all collateral, if any, becomes worthless. This exposure is measured by the fair value of OTC derivative contracts with a positive fair value at the reporting date reduced by the effect, if any, of legally enforceable master netting agreements.



OTC derivatives counterparty credit exposure by counterparty credit rating
($ in millions)	2017							2016
Rating ⁽¹⁾	Number of counter-parties	Notional amount ⁽²⁾		Credit exposure ⁽²⁾		Exposure, net of collateral ⁽²⁾		Number of counter-parties	Notional amount ⁽²⁾		Credit exposure ⁽²⁾		Exposure, net of collateral ⁽²⁾
AA–	1	$	18	$	1	$	—	2	$	80	$	2	$	2
A+	3	90		3		1		5	698		20		9
A–	—	—		—		—		1	110		1		1
Total	4	$	108	$	4	$	1	8	$	888	$	23	$	12


⁽¹⁾	Rating is the lower of S&P or Moody’s ratings.


⁽²⁾	Only OTC derivatives with a net positive fair value are included for each counterparty.

Market risk is the risk that the Company will incur losses due to adverse changes in market rates and prices. Market risk exists for all of the derivative financial instruments the Company currently holds, as these instruments may become less valuable due to adverse changes in market conditions. To limit this risk, the Company’s senior management has established risk control limits. In addition, changes in fair value of the derivative financial instruments that the Company uses for risk management purposes are generally offset by the change in the fair value or cash flows of the hedged risk component of the related assets, liabilities or forecasted transactions.

Certain of the Company’s derivative instruments contain credit-risk-contingent termination events, cross-default provisions and credit support annex agreements. Credit-risk-contingent termination events allow the counterparties to terminate the derivative agreement or a specific trade on certain dates if AIC’s, ALIC’s or Allstate Life Insurance Company of New York’s (“ALNY”) financial strength credit ratings by Moody’s or S&P fall below a certain level. Credit-risk-contingent cross-default provisions allow the counterparties to terminate the derivative agreement if the Company defaults by pre-determined threshold amounts on certain debt instruments. Credit-risk-contingent credit support annex agreements specify the amount of collateral the Company must post to counterparties based on AIC’s, ALIC’s or ALNY’s financial strength credit ratings by Moody’s or S&P, or in the event AIC, ALIC or ALNY are no longer rated by either Moody’s or S&P.

The following summarizes the fair value of derivative instruments with termination, cross-default or collateral credit-risk-contingent features that are in a liability position as of December 31, as well as the fair value of assets and collateral that are netted against the liability in accordance with provisions within legally enforceable MNAs.



($ in millions)	2017			2016
Gross liability fair value of contracts containing credit-risk-contingent features	$	28		$	9
Gross asset fair value of contracts containing credit-risk-contingent features and subject to MNAs	(17		)	(7		)
Collateral posted under MNAs for contracts containing credit-risk-contingent features	(6		)	—
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	$	5		$	2

Credit derivatives – selling protection

A credit default swap (“CDS”) is a derivative instrument, representing an agreement between two parties to exchange the credit risk of a specified entity (or a group of entities), or an index based on the credit risk of a group of entities (all commonly referred to as the “reference entity” or a portfolio of “reference entities”), in return for a periodic premium. In selling protection, CDS’s are used to replicate fixed income securities and to complement the cash market when credit exposure to certain issuers is not available or when the derivative alternative is less expensive than the cash market alternative. CDS’s typically have a five-year term.



CDS notional amounts by credit rating and fair value of protection sold
	Notional amount
($ in millions)	AA		A		BBB		BB and lower		Total		Fair value
December 31, 2017
Single name
Corporate debt	$	—	$	10	$	10	$	5	$	25	$	—
Index
Corporate debt	1		19		45		15		80		1
Total	$	1	$	29	$	55	$	20	$	105	$	1
December 31, 2016
Single name
Corporate debt	$	20	$	10	$	35	$	—	$	65	$	1
First-to-default Basket
Municipal	—		—		100		—		100		(3		)
Index
Corporate debt	1		19		50		10		80		1
Total	$	21	$	29	$	185	$	10	$	245	$	(1	)

In selling protection with CDS, the Company sells credit protection on an identified single name, a basket of names in a first-to-default (“FTD”) structure or credit derivative index (“CDX”) that is generally investment grade, and in return receives periodic premiums through expiration or termination of the agreement. With single name CDS, this premium or credit spread generally corresponds to the difference between the yield on the reference entity’s public fixed maturity cash instruments and swap rates at the time the agreement is executed. With a FTD basket, because of the additional credit risk inherent in a basket of named reference entities, the premium generally corresponds to a high proportion of the sum of the credit spreads of the names in the basket and the correlation between the names. CDX is utilized to take a position on multiple (generally 125) reference entities. Credit events are typically defined as bankruptcy, failure to pay, or restructuring, depending on the nature of the reference entities. If a credit event occurs, the Company settles with the counterparty, either through physical settlement or cash settlement. In a physical settlement, a reference asset is delivered by the buyer of protection to the Company, in exchange for cash payment at par, whereas in a cash settlement, the Company pays the difference between par and the prescribed value of the reference asset. When a credit event occurs in a single name or FTD basket (for FTD, the first credit event occurring for any one name in the basket), the contract terminates at the time of settlement. For CDX, the reference entity’s name incurring the credit event is removed from the index while the contract continues until expiration. The maximum payout on a CDS is the contract notional amount. A physical settlement may afford the Company with recovery rights as the new owner of the asset.

The Company monitors risk associated with credit derivatives through individual name credit limits at both a credit derivative and a combined cash instrument/credit derivative level. The ratings of individual names for which protection has been sold are also monitored.

Off-balance sheet financial instruments



Contractual amounts of off balance sheet financial instruments
	As of December 31,
($ in millions)	2017		2016
Commitments to invest in limited partnership interests	$	3,121	$	2,979
Private placement commitments	96		69
Other loan commitments	97		83

In the preceding table, the contractual amounts represent the amount at risk if the contract is fully drawn upon, the counterparty defaults and the value of any underlying security becomes worthless. Unless noted otherwise, the Company does not require collateral or other security to support off-balance sheet financial instruments with credit risk.

Commitments to invest in limited partnership interests represent agreements to acquire new or additional participation in certain limited partnership investments. The Company enters into these agreements in the normal course of business. Because the investments in limited partnerships are not actively traded, it is not practical to estimate the fair value of these commitments.

Private placement commitments represent commitments to purchase private placement debt and private equity securities at a future date. The Company enters into these agreements in the normal course of business. The fair value of the debt commitments generally cannot be estimated on the date the commitment is made as the terms and conditions of the underlying private placement securities are not yet final. Because the private equity securities are not actively traded, it is not practical to estimate fair value of the commitments.

Other loan commitments are agreements to lend to a borrower provided there is no violation of any condition established in the contract. The Company enters into these agreements to commit to future loan fundings at predetermined interest rates. Commitments have either fixed or varying expiration dates or other termination clauses. The fair value of these commitments is insignificant.

Reserve for Property-Liability Insurance Claims and Claims Expense

12 Months Ended

Dec. 31, 2017

Reserve for Property-Liability Insurance Claims and Claims Expense

Reserve for Property-Liability Insurance Claims and Claims Expense



Note 8	Reserve for Property and Casualty Insurance Claims and Claims Expense

The Company establishes reserves for claims and claims expense on reported and unreported claims of insured losses. The Company’s reserving process takes into account known facts and interpretations of circumstances and factors including the Company’s experience with similar cases, actual claims paid, historical trends involving claim payment patterns and pending levels of unpaid claims, loss management programs, product mix and contractual terms, changes in law and regulation, judicial decisions, and economic conditions. In the normal course of business, the Company may also supplement its claims processes by utilizing third party adjusters, appraisers, engineers, inspectors, and other professionals and information sources to assess and settle catastrophe and non-catastrophe related claims. The effects of inflation are implicitly considered in the reserving process.

Because reserves are estimates of unpaid portions of losses that have occurred, including incurred but not reported (“IBNR”) losses, the establishment of appropriate reserves, including reserves for catastrophes and reserves and reinsurance recoverables for Discontinued Lines and Coverages, is an inherently uncertain and complex process. The ultimate cost of losses may vary materially from recorded amounts, which are based on management’s best estimates. The highest degree of uncertainty is associated with reserves for losses incurred in the current reporting period as it contains the greatest proportion of losses that have not been reported or settled. The Company regularly updates its reserve estimates as new information becomes available and as events unfold that may affect the resolution of unsettled claims. Changes in prior year reserve estimates, which may be material, are reported in property and casualty insurance claims and claims expense in the Consolidated Statements of Operations in the period such changes are determined.



Rollforward of reserve for property and casualty insurance claims and claims expense
($ in millions)	2017			2016			2015
Balance as of January 1	$	25,250		$	23,869		$	22,923
Less reinsurance recoverables	6,184			5,892			5,694
Net balance as of January 1	19,066			17,977			17,229
SquareTrade acquisition as of January 3, 2017	17			—			—
Incurred claims and claims expense related to:
Current year	22,432			22,238			20,953
Prior years	(503		)	(17		)	81
Total incurred	21,929			22,221			21,034
Claims and claims expense paid related to:
Current year	14,194			14,222			13,660
Prior years	6,964			6,910			6,626
Total paid	21,158			21,132			20,286
Net balance as of December 31	19,854			19,066			17,977
Plus reinsurance recoverables	6,471			6,184			5,892
Balance as of December 31	$	26,325		$	25,250		$	23,869

Incurred claims and claims expense represents the sum of paid losses and reserve changes in the calendar year. This expense includes losses from catastrophes of $3.23 billion, $2.57 billion and $1.72 billion in 2017, 2016 and 2015, respectively, net of reinsurance and other recoveries (see Note 10). Catastrophes are an inherent risk of the property and casualty insurance business that have contributed to, and will continue to contribute to, material year-to-year fluctuations in the Company’s results of operations and financial position.

The Company calculates and records a single best reserve estimate for losses from catastrophes, in conformance with generally accepted actuarial standards. As a result, management believes that no other estimate is better than the recorded amount. Due to the uncertainties involved, including the factors described above, the ultimate cost of losses may vary materially from recorded amounts, which are based on management’s best estimates. Accordingly, management believes that it is not practical to develop a meaningful range for any such changes in losses incurred.

During 2017, incurred claims and claims expense related to prior years was primarily comprised of net decreases in auto and homeowners reserves of $490 million and $131 million, respectively, primarily related to a reduction in claim severity estimates for liability coverages, net increases in Discontinued Lines and Coverages of $96 million and net increases in other reserves of $22 million. Incurred claims and claims expense includes favorable catastrophe loss reestimates of $18 million, net of reinsurance and other recoveries.

During 2016, incurred claims and claims expense related to prior years was primarily composed of net decreases in auto reserves of $155 million primarily due to claim severity development for bodily injury coverage that was better than expected, net decreases in homeowners reserves of $24 million due to favorable non-catastrophe reserve reestimates, net increases in other reserves of $57 million primarily due to unfavorable commercial business non-catastrophe losses, and net increases in Discontinued Lines and Coverages reserves of $105 million. Incurred claims and claims expense includes unfavorable catastrophe loss reestimates of $6 million, net of reinsurance and other recoveries.

During 2015, incurred claims and claims expense related to prior years was primarily composed of net increases in auto reserves of $30 million primarily due to claim severity development for bodily injury coverage that was more than expected and litigation settlements, net decreases in homeowners reserves of $24 million due to favorable non-catastrophe reserve reestimates, net increases in other reserves of $22 million, and net increases in Discontinued Lines and Coverages reserves of $53 million. Incurred claims and claims expense includes favorable catastrophe loss reestimates of $15 million, net of reinsurance and other recoveries.

The following presents information about incurred and paid claims development as of December 31, 2017, net of reinsurance, as well as the cumulative number of reported claims and the total of IBNR reserves plus expected development on reported claims included in the net incurred claims amounts. See Note 2 for the accounting policy and methodology for determining reserves for claims and claims expense, including both reported and IBNR claims. The cumulative number of reported claims is identified by coverage and excludes reported claims for industry pools and facilities where information is not available. The information about incurred and paid claims development for the 2013 to 2017 years, and the average annual percentage payout of incurred claims by age as of December 31, 2017, is presented as required supplementary information.

Auto insurance – liability coverage



($ in millions, except number of reported claims)	Incurred claims and allocated claim adjustment expenses, net of reinsurance										IBNR reserves plus expected development on reported claims		Cumulative number of reported claims
	For the years ended December 31,										As of December 31, 2017
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	7,461	$	7,429	$	7,446	$	7,387	$	7,317	$	513	2,114,149
2014	—		7,889		7,955		7,882		7,785		951		2,194,476
2015	—		—		8,896		8,816		8,721		1,828		2,380,096
2016	—		—		—		9,169		8,926		3,149		2,387,023
2017	—		—		—		—		8,621		5,465		2,112,379
							Total		$	41,370

	Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance
	For the years ended December 31,
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	2,955	$	4,993	$	5,946	$	6,493	$	6,804
2014	—		3,177		5,322		6,265		6,834
2015	—		—		3,529		5,846		6,893
2016	—		—		—		3,491		5,777
2017	—		—		—		—		3,156
							Total		$	29,464
All outstanding liabilities before 2013, net of reinsurance									1,275
Liabilities for claims and claim adjustment expenses, net of reinsurance									$	13,181



Average annual percentage payout of incurred claims by age, net of reinsurance, as of December 31, 2017
	1 year		2 years		3 years		4 years		5 years
Auto insurance – liability coverage	40.2	%	27.4	%	12.5	%	8.0	%	4.7	%

Auto insurance – physical damage coverage



($ in millions, except number of reported claims)	Incurred claims and allocated claim adjustment expenses, net of reinsurance										IBNR reserves plus expected development on reported claims		Cumulative number of reported claims
	For the years ended December 31,										As of December 31, 2017
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	3,894	$	3,866	$	3,854	$	3,844	$	3,842	$	1	3,777,287
2014	—		4,308		4,296		4,270		4,273		3		4,144,310
2015	—		—		4,663		4,688		4,676		11		4,388,829
2016	—		—		—		5,136		5,058		19		4,426,714
2017	—		—		—		—		5,131		278		4,075,755
							Total		$	22,980

	Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance
	For the years ended December 31,
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	3,718	$	3,848	$	3,841	$	3,841	$	3,841
2014	—		4,148		4,281		4,273		4,270
2015	—		—		4,513		4,679		4,665
2016	—		—		—		4,895		5,039
2017	—		—		—		—		4,853
							Total		$	22,668
All outstanding liabilities before 2013, net of reinsurance									9
Liabilities for claims and claim adjustment expenses, net of reinsurance									$	321



Average annual percentage payout of incurred claims by age, net of reinsurance, as of December 31, 2017
	1 year		2 years		3 years		4 years		5 years
Auto insurance – physical damage coverage	96.6	%	3.2	%	(0.2	)%	—	%	—	%

Homeowners insurance



($ in millions, except number of reported claims)	Incurred claims and allocated claim adjustment expenses, net of reinsurance										IBNR reserves plus expected development on reported claims		Cumulative number of reported claims
	For the years ended December 31,										As of December 31, 2017
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	3,098	$	3,170	$	3,163	$	3,142	$	3,121	$	51	682,873
2014	—		3,608		3,651		3,653		3,621		88		765,001
2015	—		—		3,572		3,622		3,560		158		720,102
2016	—		—		—		3,972		4,001		319		809,045
2017	—		—		—		—		4,490		1,260		840,254
							Total		$	18,793

	Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance
	For the years ended December 31,
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	2,288	$	2,885	$	2,998	$	3,045	$	3,070
2014	—		2,736		3,365		3,481		3,533
2015	—		—		2,589		3,299		3,402
2016	—		—		—		2,950		3,682
2017	—		—		—		—		3,230
							Total		$	16,917
All outstanding liabilities before 2013, net of reinsurance									173
Liabilities for claims and claim adjustment expenses, net of reinsurance									$	2,049



Average annual percentage payout of incurred claims by age, net of reinsurance, as of December 31, 2017
	1 year		2 years		3 years		4 years		5 years
Homeowners insurance	74.6	%	18.6	%	2.9	%	1.3	%	0.7	%



Reconciliation of the net incurred and paid claims development tables above to the reserve for property and casualty insurance claims and claims expense
($ in millions)	As of December 31, 2017
Net outstanding liabilities:
Allstate Protection
Auto insurance - Liability coverage	$	13,181
Auto insurance - Physical damage coverage	321
Homeowners insurance	2,049
Other personal lines	1,311
Commercial lines	593
Service Businesses	86
Discontinued Lines and Coverages ⁽¹⁾	1,335
Unallocated loss adjustment expenses	978
Net reserve for property and casualty insurance claims and claims expense	19,854

Reinsurance recoverable:
Allstate Protection
Auto insurance - Liability coverage	5,715
Auto insurance - Physical damage coverage	—
Homeowners insurance	23
Other personal lines	214
Commercial lines	20
Service Businesses	10
Discontinued Lines and Coverages	485
Unallocated loss adjustment expenses	4
Total reinsurance recoverable	6,471
Gross reserve for property and casualty insurance claims and claims expense	$	26,325


⁽¹⁾	Discontinued Lines and Coverages includes business in run-off. All of the claims primarily relate to accident years more than 30 years ago. IBNR reserves represent $733 million of the total reserves as of December 31, 2017.

Management believes that the reserve for property and casualty insurance claims and claims expense, net of reinsurance recoverables, is appropriately established in the aggregate and adequate to cover the ultimate net cost of reported and unreported claims arising from losses which had occurred by the date of the Consolidated Statements of Financial Position based on available facts, technology, laws and regulations.

Allstate’s reserves for asbestos claims were $884 million and $912 million, net of reinsurance recoverables of $412 million and $444 million, as of December 31, 2017 and 2016, respectively. Reserves for environmental claims were $166 million and $179 million, net of reinsurance recoverables of $33 million and $40 million, as of December 31, 2017 and 2016, respectively. For further discussion of asbestos and environmental reserves, see Note 14.

Reserve for Life-Contingent Contract Benefits and Contractholder Funds

12 Months Ended

Dec. 31, 2017

Reserve for Life-Contingent Contract Benefits and Contractholder Funds

Reserve for Life-Contingent Contract Benefits and Contractholder Funds



Note 9	Reserve for Life-Contingent Contract Benefits and Contractholder Funds



Reserve for life-contingent contract benefits
	As of December 31,
($ in millions)	2017		2016
Immediate fixed annuities:
Structured settlement annuities	$	6,994	$	6,681
Other immediate fixed annuities	1,855		1,941
Traditional life insurance	2,722		2,643
Accident and health insurance	893		873
Other	85		101
Total reserve for life-contingent contract benefits	$	12,549	$	12,239



Key assumptions generally used in calculating the reserve for life-contingent contract benefits
Product	Mortality	Interest rate	Estimation method
Structured settlement annuities	U.S. population with projected calendar year improvements; mortality rates adjusted for each impaired life based on reduction in life expectancy	Interest rate assumptions range from 2.9% to 9.0%	Present value of contractually specified future benefits
Other immediate fixed annuities	1983 group annuity mortality table with internal modifications; 1983 individual annuity mortality table; Annuity 2000 mortality table with internal modifications; Annuity 2000 mortality table; 1983 individual annuity mortality table with internal modifications	Interest rate assumptions range from 0% to 11.5%	Present value of expected future benefits based on historical experience
Traditional life insurance	Actual company experience plus loading	Interest rate assumptions range from 2.5% to 11.3%	Net level premium reserve method using the Company’s withdrawal experience rates; includes reserves for unpaid claims
Accident and health insurance	Actual company experience plus loading	Interest rate assumptions range from 3.0% to 7.0%	Unearned premium; additional contract reserves for mortality risk and unpaid claims
Other: Variable annuity guaranteed minimum death benefits⁽¹⁾	Annuity 2012 mortality table with internal modifications	Interest rate assumptions range from 2.0% to 5.8%	Projected benefit ratio applied to cumulative assessments


⁽¹⁾	In 2006, the Company disposed of substantially all of its variable annuity business through reinsurance agreements with The Prudential Insurance Company of America, a subsidiary of Prudential Financial, Inc. (collectively “Prudential”).

The Company records an adjustment to the reserve for life-contingent contract benefits that represents the amount by which the reserve balance would increase if the net unrealized gains in the applicable product investment portfolios were realized and reinvested at current lower interest rates, resulting in a premium deficiency. The offset to this liability is recorded as a reduction of the unrealized net capital gains included in AOCI.

In conjunction with the segment changes in 2017, the Company evaluated the need for a reserve adjustment separately for traditional life insurance and immediate annuities with life contingencies. As of December 31, 2017, the Company recorded a $315 million increase to the reserve for life-contingent contract benefits and a $249 million decrease to unrealized net capital gains, after-tax, included in shareholders’ equity. This liability was zero as of December 31, 2016.



Contractholder funds
	As of December 31,
($ in millions)	2017		2016
Interest-sensitive life insurance	$	8,190	$	8,062
Investment contracts:
Fixed annuities	10,828		11,933
Other investment contracts	416		265
Total contractholder funds	$	19,434	$	20,260



Key contract provisions of contractholder funds
Product	Interest rate	Withdrawal/surrender charges
Interest-sensitive life insurance	Interest rates credited range from 0% to 10.5% for equity-indexed life (whose returns are indexed to the S&P 500) and 1.0% to 6.0% for all other products	Either a percentage of account balance or dollar amount grading off generally over 20 years
Fixed annuities	Interest rates credited range from 0% to 9.8% for immediate annuities; (8.0)% to 12.3% for equity-indexed annuities (whose returns are indexed to the S&P 500); and 0.1% to 6.0% for all other products	Either a declining or a level percentage charge generally over ten years or less. Additionally, approximately 16.7% of fixed annuities are subject to market value adjustment for discretionary withdrawals
Other investment contracts: Guaranteed minimum income, accumulation and withdrawal benefits on variable ⁽¹⁾ and fixed annuities and secondary guarantees on interest-sensitive life insurance and fixed annuities	Interest rates used in establishing reserves range from 1.5% to 10.3%	Withdrawal and surrender charges are based on the terms of the related interest-sensitive life insurance or fixed annuity contract


⁽¹⁾	In 2006, the Company disposed of substantially all of its variable annuity business through reinsurance agreements with Prudential.



Contractholder funds activity
	For the years ended December 31,
($ in millions)	2017			2016			2015
Balance, beginning of year	$	20,260		$	21,295		$	22,529
Deposits	1,130			1,164			1,203
Interest credited	687			722			760
Benefits	(901		)	(966		)	(1,077		)
Surrenders and partial withdrawals	(999		)	(1,053		)	(1,278		)
Maturities of and interest payments on institutional products	—			(86		)	(1		)
Contract charges	(826		)	(829		)	(818		)
Net transfers from separate accounts	5			5			7
Other adjustments	78			8			(30		)
Balance, end of year	$	19,434		$	20,260		$	21,295

The Company offered various guarantees to variable annuity contractholders. In 2006, the Company disposed of substantially all of its variable annuity business through reinsurance agreements with Prudential. Liabilities for variable contract guarantees related to death benefits are included in the reserve for life-contingent contract benefits and the liabilities related to the income, withdrawal and accumulation benefits are included in contractholder funds. All liabilities for variable contract guarantees are reported on a gross basis on the balance sheet with a corresponding reinsurance recoverable asset for those contracts subject to reinsurance.

Absent any contract provision wherein the Company guarantees either a minimum return or account value upon death, a specified contract anniversary date, partial withdrawal or annuitization, variable annuity and variable life insurance contractholders bear the investment risk that the separate accounts’ funds may not meet their stated investment objectives. The account balances of variable annuities contracts’ separate accounts with guarantees included $3.02 billion and $2.93 billion of equity, fixed income and balanced mutual funds and $322 million and $364 million of money market mutual funds as of December 31, 2017 and 2016, respectively.

The table below presents information regarding the Company’s variable annuity contracts with guarantees. The Company’s variable annuity contracts may offer more than one type of guarantee in each contract; therefore, the sum of amounts listed exceeds the total account balances of variable annuity contracts’ separate accounts with guarantees.



($ in millions)	As of December 31,
	2017		2016
In the event of death
Separate account value	$	3,344	$	3,298
Net amount at risk ⁽¹⁾	$	454	$	585
Average attained age of contractholders	70 years		70 years
At annuitization (includes income benefit guarantees)
Separate account value	$	944	$	915
Net amount at risk ⁽²⁾	$	202	$	265
Weighted average waiting period until annuitization options available	None		None
For cumulative periodic withdrawals
Separate account value	$	253	$	267
Net amount at risk ⁽³⁾	$	10	$	10
Accumulation at specified dates
Separate account value	$	170	$	310
Net amount at risk ⁽⁴⁾	$	17	$	26
Weighted average waiting period until guarantee date	5 years		3 years


⁽¹⁾	Defined as the estimated current guaranteed minimum death benefit in excess of the current account balance as of the balance sheet date.


⁽²⁾	Defined as the estimated present value of the guaranteed minimum annuity payments in excess of the current account balance.


⁽³⁾	Defined as the estimated current guaranteed minimum withdrawal balance (initial deposit) in excess of the current account balance as of the balance sheet date.


⁽⁴⁾	Defined as the estimated present value of the guaranteed minimum accumulation balance in excess of the current account balance.

The liability for death and income benefit guarantees is equal to a benefit ratio multiplied by the cumulative contract charges earned, plus accrued interest less contract excess guarantee benefit payments. The benefit ratio is calculated as the estimated present value of all expected contract excess guarantee benefits divided by the present value of all expected contract charges. The establishment of reserves for these guarantees requires the projection of future fund values, mortality, persistency and customer benefit utilization rates. These assumptions are periodically reviewed and updated. For guarantees related to death benefits, benefits represent the projected excess guaranteed minimum death benefit payments. For guarantees related to income benefits, benefits represent the present value of the minimum guaranteed annuitization benefits in excess of the projected account balance at the time of annuitization.

Projected benefits and contract charges used in determining the liability for certain guarantees are developed using models and stochastic scenarios that are also used in the development of estimated expected gross profits. Underlying assumptions for the liability related to income benefits include assumed future annuitization elections based on factors such as the extent of benefit to the potential annuitant, eligibility conditions and the annuitant’s attained age. The liability for guarantees is re-evaluated periodically, and adjustments are made to the liability balance through a charge or credit to life and annuity contract benefits.

Guarantees related to the majority of withdrawal and accumulation benefits are considered to be derivative financial instruments; therefore, the liability for these benefits is established based on its fair value.



Summary of liabilities for guarantees
($ in millions)	Liability for guarantees related to death benefits and interest-sensitive life products			Liability for guarantees related to income benefits		Liability for guarantees related to accumulation and withdrawal benefits		Total
Balance, December 31, 2016 ⁽¹⁾	$	244		$	44	$	77	$	365
Less reinsurance recoverables	101			40		43		184
Net balance as of December 31, 2016	143			4		34		181
Incurred guarantee benefits	34			—		11		45
Paid guarantee benefits	(2		)	—		—		(2		)
Net change	32			—		11		43
Net balance as of December 31, 2017	175			4		45		224
Plus reinsurance recoverables	87			25		34		146
Balance, December 31, 2017 ⁽²⁾	$	262		$	29	$	79	$	370

Balance, December 31, 2015 ⁽³⁾	$	223		$	68	$	75	$	366
Less reinsurance recoverables	106			64		52		222
Net balance as of December 31, 2015	117			4		23		144
Incurred guarantee benefits	26			—		11		37
Paid guarantee benefits	—			—		—		—
Net change	26			—		11		37
Net balance as of December 31, 2016	143			4		34		181
Plus reinsurance recoverables	101			40		43		184
Balance, December 31, 2016 ⁽¹⁾	$	244		$	44	$	77	$	365


⁽¹⁾	Included in the total liability balance as of December 31, 2016 are reserves for variable annuity death benefits of $100 million, variable annuity income benefits of $40 million, variable annuity accumulation benefits of $34 million, variable annuity withdrawal benefits of $9 million and other guarantees of $182 million.


⁽²⁾	Included in the total liability balance as of December 31, 2017 are reserves for variable annuity death benefits of $85 million, variable annuity income benefits of $26 million, variable annuity accumulation benefits of $22 million, variable annuity withdrawal benefits of $12 million and other guarantees of $225 million.


⁽³⁾	Included in the total liability balance as of December 31, 2015 are reserves for variable annuity death benefits of $105 million, variable annuity income benefits of $65 million, variable annuity accumulation benefits of $38 million, variable annuity withdrawal benefits of $14 million and other guarantees of $144 million.

Reinsurance

12 Months Ended

Dec. 31, 2017

Reinsurance Disclosures [Abstract]

Reinsurance



Note 10	Reinsurance



Effects of reinsurance on property and casualty premiums written and earned and life premiums and contract charges
	For the years ended December 31,
($ in millions)	2017			2016			2015
Property and casualty insurance premiums written
Direct	$	33,685		$	32,614		$	31,924
Assumed	64			47			39
Ceded	(1,007		)	(1,061		)	(1,092		)
Property and casualty insurance premiums written, net of reinsurance	$	32,742		$	31,600		$	30,871

Property and casualty insurance premiums earned
Direct	$	33,221		$	32,249		$	31,274
Assumed	50			45			41
Ceded	(971		)	(987		)	(1,006		)
Property and casualty insurance premiums earned, net of reinsurance	$	32,300		$	31,307		$	30,309

Life premiums and contract charges
Direct	$	1,894		$	1,766		$	1,641
Assumed	787			818			849
Ceded	(303		)	(309		)	(332		)
Life premiums and contract charges, net of reinsurance	$	2,378		$	2,275		$	2,158

Property and casualty

Property and casualty reinsurance is in place for the Allstate Protection, Discontinued Lines and Coverages and Service Businesses segments. The Company purchases reinsurance after evaluating the financial condition of the reinsurer, as well as the terms and price of coverage. Developments in the insurance and reinsurance industries have fostered a movement to segregate asbestos, environmental and other discontinued lines exposures into separate legal entities with dedicated capital. Regulatory bodies in certain cases have supported these actions. The Company is unable to determine the impact, if any, that these developments will have on the collectability of reinsurance recoverables in the future.

Property and casualty reinsurance recoverable

Total amounts recoverable from reinsurers as of December 31, 2017 and 2016 were $6.57 billion and $6.28 billion, respectively, including $96 million and $93 million, respectively, related to property and casualty losses paid by the Company and billed to reinsurers, and $6.47 billion and $6.18 billion, respectively, estimated by the Company with respect to ceded unpaid losses (including IBNR), which are not billable until the losses are paid.

With the exception of the recoverable balances from the Michigan Catastrophic Claims Association (“MCCA”), Lloyd’s of London, New Jersey Property-Liability Insurance Guaranty Association (“PLIGA”) and other industry pools and facilities, the largest reinsurance recoverable balance the Company had outstanding was $61 million from Westport Insurance Corporation as of both December 31, 2017 and 2016. No other amount due or estimated to be due from any single reinsurer was in excess of $31 million and $35 million as of December 31, 2017 and 2016, respectively.

The allowance for uncollectible reinsurance was $70 million and $84 million as of December 31, 2017 and 2016, respectively, and is primarily related to the Company’s Discontinued Lines and Coverages segment.

Industry pools and facilities

Reinsurance recoverable on paid and unpaid claims including IBNR as of December 31, 2017 and 2016 includes $5.26 billion and $4.95 billion, respectively, from the MCCA. The MCCA is a state-mandated indemnification mechanism for personal injury protection losses that exceed a retention level which is adjusted upward every other MCCA fiscal year by the lesser of 6% or the increase in the Consumer Price Index. The retention level is currently $555 thousand per claim for the fiscal two-years ending June 30, 2019 compared to $545 thousand per claim for the fiscal two-years ending June 30, 2017. The MCCA is obligated to fund the ultimate liability for member companies (companies actively writing motor vehicle coverage in Michigan and those with runoff policies) qualifying claims and claims expenses. The MCCA operates similar to a reinsurance program and is annually funded by participating member companies (companies actively writing motor vehicle coverage in Michigan) through a per vehicle annual assessment that is currently $170 per coverage. The assessment is incurred by the Company as polices are written and recovered as a component of premiums from our customers.

The MCCA has been legally authorized to annually assess participating member companies pursuant to enabling legislation that describes both the annual determination and assessment. This assessment is recorded as a component of the premiums charged to the Company’s customers. These assessments paid to the MCCA provide funds for the indemnification for losses described above. The MCCA is required to assess an amount each year sufficient to cover members’ actuarially determined present value of expected payments on lifetime claims of all persons expected to be catastrophically injured in that year, its operating expenses, and adjustments for the amount of excesses or deficiencies in prior assessments.

The MCCA prepares statutory-basis financial statements in conformity with accounting practices prescribed or permitted by the State of Michigan Department of Insurance and Financial Services (“MI DOI”). The MI DOI has granted the MCCA a statutory permitted practice that expires in 2019 to discount its liabilities for loss and loss adjustment expense. As of June 30, 2017, the date of its most recent annual financial report, the MCCA had cash and invested assets of $19.60 billion and an accumulated deficit of $2.63 billion. The permitted practice reduced the accumulated deficit by $46.08 billion.

Allstate sells and administers policies as a participant in the National Flood Insurance Program (“NFIP”). The amounts recoverable as of December 31, 2017 and 2016 were $88 million and $77 million, respectively. Ceded premiums earned include $263 million, $274 million and $293 million in 2017, 2016 and 2015, respectively. Ceded losses incurred include $1.12 billion, $537 million and $120 million in 2017, 2016 and 2015, respectively. Under the arrangement, the Federal Government pays all covered claims and certain qualifying claim expenses.

The PLIGA, as the statutory administrator of the New Jersey Unsatisfied Claim and Judgment Fund (“UCJF”), provides compensation to qualified claimants for personal injury protection, bodily injury, or death caused by private passenger automobiles operated by uninsured or “hit and run” drivers. The UCJF also provides private passenger stranger pedestrian personal injury protection benefits when no other coverage is available. The fund provides reimbursement to insurers for the medical benefits portion of personal injury protection coverage paid in excess of $75,000 with no limits for policies issued or renewed prior to January 1, 1991 and paid in excess of $75,000 and capped at $250,000 for policies issued or renewed from January 1, 1991 to December 31, 2003. PLIGA annually assesses all admitted property and casualty insurers writing motor vehicle liability insurance in New Jersey for PLIGA expenses. A significant portion of the incurred claim reserves and the recoverable can be attributed to a small number of catastrophic claims. Assessments paid to PLIGA for the UCJF program totaled $8.9 million in 2017. The amounts of paid and unpaid recoverable as of December 31, 2017 and 2016 were $493 million and $506 million, respectively.

Ceded premiums earned under the Florida Hurricane Catastrophe Fund (“FHCF”) agreement were $11 million, $12 million and $13 million in 2017, 2016 and 2015, respectively. Ceded losses in 2017 were $19 million. There were no ceded losses incurred in 2016 or 2015. The Company has access to reimbursement provided by the FHCF for 90% of qualifying personal property losses that exceed its current retention of $56 million for the 2 largest hurricanes and $19 million for other hurricanes, up to a maximum total of $187 million effective from June 1, 2017 to May 31, 2018. As of December 31, 2017 recoverable from the FHCF totaled $19 million. There were no amounts recoverable from the FHCF as of December 31, 2016.

Catastrophe reinsurance

The Company’s reinsurance program is designed to provide reinsurance protection for catastrophes resulting from multiple perils including hurricanes, windstorms, hail, tornadoes, fires following earthquakes, earthquakes and wildfires.


•	The majority of our program comprises multi-year contracts, primarily placed in the traditional reinsurance market, such that one third of the program is renewed every year.


•	Coverage is generally purchased on a broad geographic, product line and multiple peril loss basis.


•	The Company purchases reinsurance from traditional reinsurance companies as well as the insurance linked securities market (e.g. “PCS Agreements”).


•	Florida property and New Jersey property and auto are each covered by separate agreements, as the risk of loss is different and our subsidiaries operating in these states are separately capitalized.

The Company has the following catastrophe reinsurance agreements in effect as of December 31, 2017:

The Nationwide Per Occurrence Excess Catastrophe Reinsurance Program (the “Nationwide Program”) provides $4.42 billion of reinsurance coverage subject to a $500 million retention and is subject to the amount of reinsurance placed in each of its nine layers. The Nationwide Program comprises three agreements: The Per Occurrence Excess Agreement, the 2014-1 Property Claim Services (“PCS”) Agreement, and the 2017-1 Excess Catastrophe Reinsurance Contract.

Per Occurrence Excess Agreement, which is placed in the traditional reinsurance market, reinsures personal lines property and automobile excess catastrophe losses caused by multiple perils in every state except New Jersey and only includes personal lines automobile excess catastrophe losses in Florida. The agreement comprises layers one through six and portions of layers eight and nine. Coverage for each of the first through fifth layers comprises three contracts, with each contract providing one-third of 95% of the total layer limit and expiring May 31, 2018, May 31, 2019 and May 31, 2020. The contracts expiring May 31, 2019 and May 31, 2020, include coverage for automobile losses in Florida, while the contract expiring May 31, 2018 does not include such provision. The sixth layer and eighth layer contracts placed in the traditional reinsurance market contain comparable contract terms and conditions as layers one through five.

The sixth layer is 95% placed and comprises one contract expiring May 31, 2022. The contracts for layers one through six provide $3.07 billion in per occurrence reinsurance limits subject to a $500 million retention. Coverage for a portion of the eighth layer is provided by one contract expiring May 31, 2022. The contract provides a $446 million limit and is 29.37% placed. Unlike layer one through five contracts, the sixth and eighth layer contracts each contain an annual variable reset option which allows for the adjustment of each contract’s attachment and exhaustion levels within specified limits. The variable reset option requires a premium adjustment. The contracts for each of the first through fifth layers include one reinstatement of limits per year, with premium required. The sixth and eighth layer contracts each contain one reinstatement of limits over their seven year term with premium required. Reinsurance premiums for all contracts are subject to redetermination for exposure changes on an annual basis.

Another contract forming a portion of layers eight and nine provides a $25 million limit in excess of a $2.75 billion retention, is 100% placed and expires May 31, 2018. Reinsurance limits of 5% of $1.67 billion in excess of $2.75 billion are deemed in place. In addition, recoveries from contracts in layers six through and including layer nine inure to the benefit of this contract.

2014-1 PCS Excess Agreement reinsures personal lines property and automobile excess catastrophe losses caused by hurricanes in 29 states and the District of Columbia, and earthquakes, including fires following earthquakes, in California, New York and Washington. The agreement comprises three contracts with each contract’s risk period beginning on May 22, 2014. Two of the three contracts’ risk periods expire on May 21, 2018 and one contract’s risk period expires on May 21, 2019. The placement of these three contracts achieves, for the perils of hurricanes, earthquakes and fires following earthquakes, $305 million limit (or 95% of $321 million) between $3.07 billion to $3.40 billion seventh layer; $115 million limit (or 26% of $446 million) between $3.40 billion to $3.84 billion eighth layer; and $330 million limit (or 57% of $578 million) between $3.84 billion to $4.42 billion ninth layer. The contracts comprising the agreement contain a variable reset option which the ceding entities may invoke for risk periods subsequent to the first risk period and which allows for the annual adjustment of each contract’s attachment and exhaustion levels within specified limits. The variable reset option requires a premium adjustment. The contracts do not include a reinstatement of limits.

2017-1 Excess Catastrophe Reinsurance Contract reinsures personal lines property and automobile excess losses in 48 states and the District of Columbia, excluding Florida and New Jersey, caused by hurricanes, severe thunderstorms, earthquakes including fire following winter storms, volcanic eruptions, and meteorite impacts. The contract reinsures actual losses to personal lines property business located in the covered territory and arising out of a covered event. Amounts payable for automobile losses are based on insured industry losses as reported by PCS and further indexed by annual payout factors specific to automobile exposures in the contract’s covered areas. Reinsurance recoveries under the contract are limited to our ultimate net loss from a covered event subject to the contract’s limit. The contract’s risk period began March 31, 2017 and terminates on November 30, 2021. The contract provides a $375 million limit (or 37% of $1.02 billion) between a $3.40 billion to $4.42 billion layer. The contract contains a variable reset option, which the ceding entities may invoke for risk periods subsequent to the first risk period and which allows for the annual adjustment of the contract’s attachment and exhaustion levels within specified limits. The variable reset option requires a premium. The contract does not include a restatement of limits.

The following programs are designed apart from the Nationwide Program to address distinct exposures in certain states and markets. These programs are described below and are disregarded when determining coverage under the contracts included in the Nationwide Program.

The Company has a separate reinsurance program in Florida designed to cover personal lines property policies in Florida written through its separately capitalized wholly-owned subsidiaries Castle Key Insurance Company (“CKIC”) and Castle Key Indemnity Company (“CKI”, and together with CKIC, “Castle Key”).

Florida Excess Catastrophe Reinsurance Agreement comprises five contracts, as described below, which reinsure Castle Key for personal lines property excess catastrophe losses in Florida. The agreement includes two contracts placed in the traditional market, CKIC’s and CKI’s reimbursement contracts with the Florida Hurricane Catastrophe Fund (“Mandatory FHCF contracts”), and the Sanders Re 2017-2 Contract (“Sanders Re 2017-2 contract”) placed in the ILS markets.

Below FHCF Contract reinsures personal lines property excess catastrophe losses caused by multiple perils in Florida. The contract is 100% placed and provides three separate limits of $38 million in excess of a $20 million retention for each occurrence, of which two limits remain outstanding. One limit of $38 million was exhausted from the impact of Hurricane Irma. The first reinstatement of limits is prepaid and the second or final reinstatement requires additional premium. Reinsurance premium is subject to redetermination for exposure changes.

Mandatory FHCF Contracts reinsures qualifying personal lines property losses caused by storms the National Hurricane Center declares to be hurricanes. The contracts provide 90% of $187 million of limits in excess of retention with no reinstatement of limits. The limits and retentions of the mandatory FHCF contracts are calculated independently for CKIC and CKI and are subject to re-measurement based on June 30, 2017 exposure data. For each of the two largest hurricanes, the retention is $56 million and retention equal to one third of that amount, or approximately $19 million, is applicable to all other hurricanes for the season beginning June 1, 2017. In addition, the FHCF’s retention is subject to adjustment upward or downward to an actual retention based on submitted exposures to the FHCF by all participants. $19 million of limit was exhausted from the impact of Hurricane Irma and $168 million of the limit remains outstanding.

Excess contract reinsures personal lines property excess catastrophe losses caused by multiple perils in Florida. The contract provides one limit of $231 million in excess of a $20 million retention and is 100% placed. Recoveries from the Below FHCF contract and Mandatory FHCF contracts inure to the benefit of this contract, resulting in the Excess contract providing reinsurance for loss occurrences not subject to reimbursement under the FHCF contracts but reinsured under the multiple peril Excess contract. The contract does not include a reinstatement of limits. $27 million of limit was exhausted for Hurricane Irma. Reinsurance premium is subject to redetermination for exposure.

Sanders Re 2017-2 is a three-year term contract with a risk period effective June 1, 2017 through May 31, 2020. It reinsures qualifying personal lines property losses caused by a named storm event, a severe thunderstorm event, an earthquake event, a wildfire event, a volcanic eruption event, or a meteorite impact event in Florida as events declared by various reporting agencies, including PCS and as defined in the contract. The contract provides limits of $200 million in excess of a $20 million retention and in excess of “stated reinsurance.” For the June 1, 2017 to May 31, 2018 risk period, stated reinsurance is defined to include the Below FHCF contract, the Mandatory FHCF contracts, which are deemed to exhaust due to loss occurrences subject to the non-FHCF contracts, and the Excess contract. Stated reinsurance is deemed to be provided on a multiple peril basis under the terms of the non-FHCF contracts and includes an erosion feature, which provides that upon the exhaustion of a portion of the stated reinsurance, coverage under the Sanders Re contract shall be concurrently placed above and contiguous to the unexhausted portion of the stated reinsurance, if any. The Sanders Re 2017-2 contract contains a variable reset option, which Castle Key may invoke for risk periods subsequent to the first risk period and which allows for the annual adjustment of the contract’s attachment and exhaustion levels. The variable reset option requires a premium. The contract does not contain a restatement of limits.

The Company’s New Jersey, Pennsylvania, Kentucky, Florida and Southeast States and California reinsurance agreements are described below.

New Jersey Excess Catastrophe Reinsurance Agreement comprises three contracts that reinsure personal lines property and automobile excess catastrophe losses in New Jersey caused by multiple perils. The contracts expire May 31, 2018 May 31, 2019 and May 31, 2020, and provide 31.67%, 31.67% and 31.66%, respectively, of $400 million of limits excess of a provisional $150 million retention, a $144 million retention, and a $165 million retention, respectively. Each contract includes one reinstatement of limits per contract year with premium due. The reinsurance premium and retention are subject to redetermination for exposure changes on an annual basis.

Pennsylvania Excess Catastrophe Reinsurance Contract comprises a three-year term contract that reinsures personal lines property excess catastrophe losses in Pennsylvania caused by multi-perils. The contract expires May 31, 2018 and provides three limits of $100 million excess of a $100 million retention subject to two limits being available in any one contract year and is 95% placed. The reinsurance premium and retention are not subject to redetermination for exposure changes.

Kentucky Earthquake Excess Catastrophe Reinsurance Contract is a three-year contract that reinsures personal lines property excess catastrophe losses in Kentucky caused by earthquakes and fires following earthquakes. The contract expires May 31, 2020 and provides three limits of $28 million in excess of a $2 million retention with two limits being available in any one contract year and is 95% placed. The reinsurance premium and retention are not subject to redetermination for exposure changes.

Aggregate Excess Catastrophe Florida and Southeast States Reinsurance Contract provides $200 million of reinsurance limits for losses to personal lines automobile business (physical damage only) arising out of multiple perils and provided such losses arise out of a company declared catastrophe and result in qualifying losses in the State of Florida. Once qualifying losses are incurred in the State of Florida, coverage also is provided for losses to personal lines automobile business (physical damage only) arising from the same catastrophe and occurring in Alabama, Georgia, Louisiana, Mississippi, North Carolina and South Carolina. The $200 million of reinsurance limits is subject to a $300 million aggregate retention for losses arising out of one or all qualifying catastrophes commencing during the contract’s one-year term. The contract does not include a restatement of limits.

California E&S Earthquake Contract comprises one contract which reinsures personal lines property catastrophe losses in California caused by the peril of earthquake and insured by our excess and surplus lines insurer. The contract expires June 30, 2018. Unlike the contracts comprising the Nationwide Program, the E&S Earthquake agreement provides reinsurance on a 100% quota share basis with no retention. The agreement reinsures only shake damage resulting from the earthquake peril.

The Company ceded premiums earned of $344 million, $381 million and $414 million under catastrophe reinsurance agreements in 2017, 2016 and 2015, respectively.

Asbestos, environmental and other

Reinsurance recoverables include $167 million and $174 million from Lloyd’s of London as of December 31, 2017 and 2016, respectively. Lloyd’s of London, through the creation of Equitas Limited, implemented a restructuring to solidify its capital base and to segregate claims for years prior to 1993. In 2007, Berkshire Hathaway’s subsidiary, National Indemnity Company, assumed responsibility for the Equitas claim liabilities through a loss portfolio transfer reinsurance agreement and continues to runoff the Equitas claims.

Life and annuity products

The Company reinsures certain life insurance and annuity risks to other insurers primarily under yearly renewable term, coinsurance, modified coinsurance and coinsurance with funds withheld agreements. These agreements result in a passing of the agreed-upon percentage of risk to the reinsurer in exchange for negotiated reinsurance premium payments. Modified coinsurance and coinsurance with funds withheld are similar to coinsurance, except that the cash and investments that support the liability for contract benefits are not transferred to the assuming company and settlements are made on a net basis between the companies.

For certain term life insurance policies issued prior to October 2009, the Company ceded up to 90% of the mortality risk depending on the year of policy issuance under coinsurance agreements to a pool of fourteen unaffiliated reinsurers. Effective October 2009, mortality risk on term business is ceded under yearly renewable term agreements under which the Company cedes mortality in excess of its retention, which is consistent with how the Company generally reinsures its permanent life insurance business.



Retention limits by period of policy issuance
Period		Retention limits
April 2015 through current		Single life: $2 million per life Joint life: no longer offered
April 2011 through March 2015		Single life: $5 million per life, $3 million age 70 and over, and $10 million for contracts that meet specific criteria Joint life: $8 million per life, and $10 million for contracts that meet specific criteria
July 2007 through March 2011		$5 million per life, $3 million age 70 and over, and $10 million for contracts that meet specific criteria
September 1998 through June 2007		$2 million per life, in 2006 the limit was increased to $5 million for instances when specific criteria were met
August 1998 and prior		Up to $1 million per life

In addition, the Company has used reinsurance to effect the disposition of certain blocks of business. The Company had reinsurance recoverables of $1.35 billion and $1.41 billion as of December 31, 2017 and 2016, respectively, due from Prudential related to the disposal of substantially all of its variable annuity business that was effected through reinsurance agreements. In 2017, premiums and contract charges of $76 million, contract benefits of $7 million, interest credited to contractholder funds of $20 million, and operating costs and expenses of $15 million were ceded to Prudential. In 2016, premiums and contract charges of $78 million, contract benefits of $21 million, interest credited to contractholder funds of $20 million, and operating costs and expenses of $15 million were ceded to Prudential. In 2015, premiums and contract charges of $94 million, contract benefits of $40 million, interest credited to contractholder funds of $21 million, and operating costs and expenses of $18 million were ceded to Prudential. In addition, as of December 31, 2017 and 2016, the Company had reinsurance recoverables of $139 million and $144 million, respectively, due from subsidiaries of Citigroup (Triton Insurance and American Health and Life Insurance) and Scottish Re (U.S.) Inc. in connection with the disposition of substantially all of the direct response distribution business in 2003.

The Company is the assuming reinsurer for Lincoln Benefit Life Company’s (“LBL’s”) life insurance business sold through the Allstate agency channel and LBL’s payout annuity business in force prior to the sale of LBL on April 1, 2014. Under the terms of the reinsurance agreement, the Company is required to have a trust with assets greater than or equal to the statutory reserves ceded by LBL to the Company, measured on a monthly basis. As of December 31, 2017, the trust held $5.89 billion of investments, which are reported in the Consolidated Statement of Financial Position.

As of December 31, 2017, the gross life insurance in force was $447.86 billion of which $86.64 billion was ceded to the unaffiliated reinsurers.



Reinsurance recoverables on paid and unpaid benefits
	As of December 31,
($ in millions)	2017		2016
Annuities	$	1,370	$	1,424
Life insurance	817		860
Other	167		184
Total	$	2,354	$	2,468

As of both December 31, 2017 and 2016, approximately 92% of the reinsurance recoverables are due from companies rated A- or better by S&P.

Deferred Policy Acquisition and Sales Inducement Costs

12 Months Ended

Dec. 31, 2017

Deferred Policy Acquisition and Sales Inducement Costs

Deferred Policy Acquisition and Sales Inducement Costs



Note 11	Deferred Policy Acquisition and Sales Inducement Costs



Deferred policy acquisition costs activity
	For the years ended December 31,
($ in millions)	2017			2016			2015
Balance, beginning of year	$	3,954		$	3,861		$	3,525
SquareTrade acquisition	66			—			—
Acquisition costs deferred	5,001			4,717			4,596
Amortization charged to income	(4,784		)	(4,550		)	(4,364		)
Effect of unrealized gains and losses	(46		)	(74		)	104
Balance, end of year	$	4,191		$	3,954		$	3,861



Deferred sales inducement costs activity ⁽¹⁾
	For the years ended December 31,
($ in millions)	2017			2016			2015
Balance, beginning of year	$	40		$	45		$	44
Sales inducements deferred	—			1			3
Amortization charged to income	(4		)	(5		)	(4		)
Effect of unrealized gains and losses	—			(1		)	2
Balance, end of year	$	36		$	40		$	45


⁽¹⁾	Deferred sales inducement costs primarily relate to fixed annuities and interest-sensitive life contracts.

Capital Structure

12 Months Ended

Dec. 31, 2017

Capital Structure

Capital Structure



Note 12	Capital Structure



Total debt outstanding
	As of December 31,
($ in millions)	2017			2016
6.75% Senior Debentures, due 2018	$	176		$	176
7.45% Senior Notes, due 2019 ⁽¹⁾	317			317
Due after one year through five years	493			493
3.15% Senior Notes, due 2023 ⁽¹⁾	500			500
3.28% Senior Notes, due 2026 ⁽¹⁾	550			550
Due after five years through ten years	1,050			1,050
6.125% Senior Notes, due 2032 ⁽¹⁾	159			159
5.35% Senior Notes due 2033 ⁽¹⁾	323			323
5.55% Senior Notes due 2035 ⁽¹⁾	546			546
5.95% Senior Notes, due 2036 ⁽¹⁾	386			386
6.90% Senior Debentures, due 2038	165			165
5.20% Senior Notes, due 2042 ⁽¹⁾	62			62
4.50% Senior Notes, due 2043 ⁽¹⁾	500			500
4.20% Senior Notes, due 2046 ⁽¹⁾	700			700
5.10% Subordinated Debentures, due 2053	500			500
5.75% Subordinated Debentures, due 2053	800			800
6.125% Junior Subordinated Debentures, due 2067	224			224
6.50% Junior Subordinated Debentures, due 2067	500			500
Due after ten years	4,865			4,865

Long-term debt total principal	6,408			6,408
Debt issuance costs	(58		)	(61		)
Total long-term debt	6,350			6,347
Short-term debt ⁽²⁾	—			—
Total debt	$	6,350		$	6,347


⁽¹⁾	Senior Notes are subject to redemption at the Company’s option in whole or in part at any time at the greater of either 100% of the principal amount plus accrued and unpaid interest to the redemption date or the discounted sum of the present values of the remaining scheduled payments of principal and interest and accrued and unpaid interest to the redemption date.


⁽²⁾	The Company classifies any borrowings which have a maturity of twelve months or less at inception as short-term debt.



Debt maturities for each of the next five years and thereafter
($ in millions)
2018	$	176
2019	317
2020	—
2021	—
2022	—
Thereafter	5,915
Total long-term debt principal	$	6,408

On December 8, 2016, the Company issued $550 million of 3.28% Senior Notes due 2026 and $700 million of 4.20% Senior Notes due 2046. The proceeds of this issuance were used for general corporate purposes, including in part to fund the purchase price for the acquisition of SquareTrade.

During 2016 and 2015, the Company repurchased principal debt amounts of $17 million and $11 million, respectively.

The Subordinated Debentures may be redeemed (i) in whole at any time or in part from time to time on or after January 15, 2023 for the 5.10% Subordinated Debentures and August 15, 2023 for the 5.75% Subordinated Debentures at their principal amount plus accrued and unpaid interest to, but excluding, the date of redemption; provided that if the Subordinated Debentures are not redeemed in whole, at least $25 million aggregate principal amount must remain outstanding, or (ii) in whole, but not in part, prior to January 15, 2023 for the 5.10% Subordinated Debentures and August 15, 2023 for the 5.75% Subordinated Debentures, within 90 days after the occurrence of certain tax and rating agency events, at their principal amount or, if greater, a make-whole redemption price, plus accrued and unpaid interest to, but excluding, the date of redemption. The 5.75% Subordinated Debentures have this make-whole redemption price provision only when a reduction of equity credit assigned by a rating agency has occurred.

Interest on the 5.10% Subordinated Debentures is payable quarterly at the stated fixed annual rate to January 14, 2023, or any earlier redemption date, and then at an annual rate equal to the three-month LIBOR plus 3.165%. Interest on the 5.75% Subordinated Debentures is payable semi-annually at the stated fixed annual rate to August 14, 2023, or any earlier redemption date, and then quarterly at an annual rate equal to the three-month LIBOR plus 2.938%. The Company may elect to defer payment of interest on the Subordinated Debentures for one or more consecutive interest periods that do not exceed five years. During a deferral period, interest will continue to accrue on the Subordinated Debentures at the then-applicable rate and deferred interest will compound on each interest payment date. If all deferred interest on the Subordinated Debentures is paid, the Company can again defer interest payments.

The Company has outstanding $500 million of Series A 6.50% and $224 million of Series B 6.125% Fixed-to-Floating Rate Junior Subordinated Debentures (together the “Debentures”). The scheduled maturity dates for the Debentures are May 15, 2057 and May 15, 2037 for Series A and Series B, respectively, with a final maturity date of May 15, 2067. The Debentures may be redeemed (i) in whole or in part, at any time on or after May 15, 2037 or May 15, 2017 for Series A and Series B, respectively, at the principal amount plus accrued and unpaid interest to the date of redemption, or (ii) in certain circumstances, in whole or in part, prior to May 15, 2037 for Series A at the principal amount plus accrued and unpaid interest to the date of redemption or, if greater, a make-whole price.

Interest on the Debentures is payable semi-annually at the stated fixed annual rate to May 15, 2037 and May 15, 2017 for Series A and Series B, respectively, and then payable quarterly at an annual rate equal to the three-month LIBOR plus 2.12% and 1.935% for Series A and Series B, respectively. The Company may elect at one or more times to defer payment of interest on the Debentures for one or more consecutive interest periods that do not exceed 10 years. Interest compounds during such deferral periods at the rate in effect for each period. The interest deferral feature obligates the Company in certain circumstances to issue common stock or certain other types of securities if it cannot otherwise raise sufficient funds to make the required interest payments. The Company has reserved 75 million shares of its authorized and unissued common stock to satisfy this obligation.

The terms of the Company’s outstanding subordinated debentures prohibit the Company from declaring or paying any dividends or distributions on common or preferred stock or redeeming, purchasing, acquiring, or making liquidation payments on common stock or preferred stock if the Company has elected to defer interest payments on the subordinated debentures, subject to certain limited exceptions.

In connection with the issuance of the Debentures, the Company entered into replacement capital covenants (“RCCs”). These covenants were not intended for the benefit of the holders of the Debentures and could not be enforced by them. Rather, they were for the benefit of holders of one or more other designated series of the Company’s indebtedness (“covered debt”), currently the 5.75% Subordinated Debentures due 2053. Pursuant to the Series A RCCs, the Company has agreed that it will not repay, redeem, or purchase the Series A Debentures on or before May 15, 2067 (or such earlier date on which the RCCs terminate by their terms) unless, subject to certain limitations, the Company has received net cash proceeds in specified amounts from the sale of common stock or certain other qualifying securities. The promises and covenants contained in the RCC will not apply if (i) S&P upgrades the Company’s issuer credit rating to A or above, (ii) the Company redeems the Debentures due to a tax event, (iii) after notice of redemption has been given by the Company and a market disruption event occurs preventing the Company from raising proceeds in accordance with the RCCs, or (iv) the Company repurchases or redeems up to 10% of the outstanding principal of the Debentures in any one-year period, provided that no more than 25% will be so repurchased, redeemed or purchased in any ten-year period.

On May 16, 2017, a Redesignation Date occurred in accordance with the Series A RCCs. As a result, the Corporation’s 7.45% Senior Notes due 2019 were no longer the covered debt under the Series A RCCs, and the 5.75% Subordinated Debentures due 2053 became the new covered debt. On May 16, 2017, the Series B RCCs terminated pursuant to the terms of the Series B RCCs, and the obligations of the Corporation pursuant to the Series B RCCs expired.

The Series A RCCs terminate in 2067. The RCCs will terminate prior to their scheduled termination date if (i) the applicable series of Debentures is no longer outstanding and the Company has fulfilled its obligations under the RCCs or they are no longer applicable, (ii) the holders of a majority of the then-outstanding principal amount of the then-effective series of covered debt consent to agree to the termination of the RCCs, (iii) the Company does not have any series of outstanding debt that is eligible to be treated as covered debt under the RCCs, (iv) the applicable series of Debentures is accelerated as a result of an event of default, (v) certain rating agency or change in control events occur, (vi) S&P, or any successor thereto, no longer assigns a solicited rating on senior debt issued or guaranteed by the Company, or (vii) the termination of the RCCs would have no effect on the equity credit provided by S&P with respect to the Debentures. An event of default, as defined by the supplemental indenture, includes default in the payment of interest or principal and bankruptcy proceedings.

To manage short-term liquidity, the Company maintains a commercial paper program and a credit facility as a potential source of funds. These include a $1.00 billion unsecured revolving credit facility and a commercial paper program with a borrowing limit of $1.00 billion. In April 2016, the Company extended the maturity date of the facility to April 2021. This facility contains an increase provision that would allow up to an additional $500 million of borrowing. This facility has a financial covenant requiring the Company not to exceed a 37.5% debt to capitalization ratio as defined in the agreement. Although the right to borrow under the facility is not subject to a minimum rating requirement, the costs of maintaining the facility and borrowing under it are based on the ratings of the Company’s senior unsecured, unguaranteed long-term debt. The total amount outstanding at any point in time under the combination of the commercial paper program and the credit facility cannot exceed the amount that can be borrowed under the credit facility. No amounts were outstanding under the credit facility as of December 31, 2017 or 2016. The Company had no commercial paper outstanding as of December 31, 2017 or 2016.

The Company paid $332 million, $287 million and $289 million of interest on debt in 2017, 2016 and 2015, respectively.

The Company had $169 million and $132 million of investment-related debt that is reported in other liabilities and accrued expenses as of December 31, 2017 and 2016, respectively. Of the $132 million, $45 million related to a commitment to fund a limited partnership as of December 31, 2016.

During 2015, the Company filed a universal shelf registration statement with the Securities and Exchange Commission (“SEC”) that expires in 2018. The registration statement covers an unspecified amount of securities and can be used to issue debt securities, common stock, preferred stock, depositary shares, warrants, stock purchase contracts, stock purchase units and securities of trust subsidiaries.

Common stock The Company had 900 million shares of issued common stock of which 355 million shares were outstanding and 545 million shares were held in treasury as of December 31, 2017. In 2017, the Company reacquired 16 million shares at an average cost of $89.95 and reissued 5 million net shares under equity incentive plans.

Preferred stock All outstanding preferred stock represents noncumulative perpetual preferred stock with a $1.00 par value per share and a liquidation preference of $25,000 per share.



Outstanding preferred stock as of December 31, 2017
		Aggregate liquidation preference				Dividend per share						Aggregate dividend payment ($ in millions)
	Shares	Aggregate liquidation preference		Dividend rate		2017		2016		2015		2017		2016		2015
Series A	11,500	$	287.5	5.625	%	$	1.41	$	1.41	$	1.41	$	16	$	16	$	16
Series C	15,400	385.0		6.750	%	1.69		1.69		1.69		26		26		26
Series D	5,400	135.0		6.625	%	1.66		1.66		1.66		9		9		9
Series E	29,900	747.5		6.625	%	1.66		1.66		1.66		49		49		49
Series F	10,000	250.0		6.250	%	1.56		1.56		1.56		16		16		16
Total	72,200	$	1,805									$	116	$	116	$	116

The preferred stock ranks senior to the Company’s common stock with respect to the payment of dividends and liquidation rights. The Company will pay dividends on the preferred stock on a noncumulative basis only when, as and if declared by the Company’s board of directors (or a duly authorized committee of the board) and to the extent that the Company has legally available funds to pay dividends. If dividends are declared on the preferred stock, they will be payable quarterly in arrears at an annual fixed rate. Dividends on the preferred stock are not cumulative. Accordingly, in the event dividends are not declared on the preferred stock for payment on any dividend payment date, then those dividends will cease to be payable. If the Company has not declared a dividend before the dividend payment date for any dividend period, the Company has no obligation to pay dividends for that dividend period, whether or not dividends are declared for any future dividend period. No dividends may be paid or declared on the Company’s common stock and no shares of the Company’s common stock may be repurchased unless the full dividends for the latest completed dividend period on the preferred stock have been declared and paid or provided for.

The Company is prohibited from declaring or paying dividends on preferred stock in excess of the amount of net proceeds from an issuance of common stock taking place within 90 days before a dividend declaration date if, on that dividend declaration date, either: (1) the risk-based capital ratios of the largest U.S. property-casualty insurance subsidiaries that collectively account for 80% or more of the net written premiums of U.S. property-casualty insurance business on a weighted average basis were less than 175% of their company action level risk-based capital as of the end of the most recent year; or (2) consolidated net income for the four-quarter period ending on the preliminary quarter end test date (the quarter that is two quarters prior to the most recently completed quarter) is zero or negative and consolidated shareholders’ equity (excluding AOCI, and subject to certain other adjustments relating to changes in U.S. GAAP) as of each of the preliminary quarter test date and the most recently completed quarter has declined by 20% or more from its level as measured at the end of the benchmark quarter (the date that is ten quarters prior to the most recently completed quarter). If the Company fails to satisfy either of these tests on any dividend declaration date, the restrictions on dividends will continue until the Company is able again to satisfy the test on a dividend declaration date. In addition, in the case of a restriction arising under (2) above, the restrictions on dividends will continue until consolidated shareholders’ equity (excluding AOCI, and subject to certain other adjustments relating to changes in U.S. GAAP) has increased, or has declined by less than 20%, in either case as compared to its level at the end of the benchmark quarter for each dividend payment date as to which dividend restrictions were imposed.

The preferred stock does not have voting rights except with respect to certain changes in the terms of the preferred stock, in the case of certain dividend nonpayments, certain other fundamental corporate events, mergers or consolidations and as otherwise provided by law. If and when dividends have not been declared and paid in full for at least six quarterly dividend periods or their equivalent (whether or not consecutive), the authorized number of directors then constituting our board of directors will be increased by two. The holders of the preferred stock, together with the holders of all other affected classes and series of voting parity stock, voting as a single class, will be entitled to elect the two additional members of the board of directors of the Company, subject to certain conditions. The board of directors shall at no time have more than two preferred stock directors.

The preferred stock is perpetual and has no maturity date. The preferred stock is redeemable at the Company’s option in whole or in part, on or after June 15, 2018 for Series A, October 15, 2018 for Series C, April 15, 2019 for Series D and E, and October 15, 2019 for Series F, at a redemption price of $25,000 per share of preferred stock, plus declared and unpaid dividends. Prior to June 15, 2018 for Series A, October 15, 2018 for Series C, April 15, 2019 for Series D and E, and October 15, 2019 for Series F, the preferred stock is redeemable at the Company’s option, in whole but not in part, within 90 days of the occurrence of certain rating agency events at a redemption price equal to $25,000 per share or, if greater, a make-whole redemption price, plus declared and unpaid dividends.

Company Restructuring

12 Months Ended

Dec. 31, 2017

Restructuring and Related Activities [Abstract]

Company Restructuring



Note 13	Company Restructuring

The Company undertakes various programs to reduce expenses. These programs generally involve a reduction in staffing levels, and in certain cases, office closures. Restructuring and related charges primarily include employee severance and relocation benefits, and post-exit rent expenses in connection with these programs, and non-cash charges resulting from pension benefit payments made to agents and certain legal expenses and settlements incurred in connection with the 1999 reorganization of Allstate’s multiple agency programs to a single exclusive agency program. The expenses related to these activities are included in the Consolidated Statements of Operations as restructuring and related charges, and totaled $109 million, $30 million and $39 million in 2017, 2016 and 2015, respectively. Restructuring expenses in 2017 primarily related to Allstate brand claims process changes and office closures due to increased efficiencies and improvements in digital technology, a voluntary termination program extended to certain employees, outsourcing of certain functions, legal expenses and settlements, as well as realigning or consolidating departments within the Allstate, Esurance and Encompass operations.



Changes in the restructuring liability
($ in millions)	Employee costs			Exit costs			Total liability
Balance as of December 31, 2016	$	—		$	2		$	2
Expense incurred	47			42			89
Adjustments to liability	(3		)	—			(3		)
Payments applied against liability	(29		)	(14		)	(43		)
Balance as of December 31, 2017	$	15		$	30		$	45

The payments applied against the liability for employee costs primarily reflect severance costs, and the payments for exit costs generally consist of post-exit rent expenses and contract termination penalties.

As of December 31, 2017, the cumulative amount incurred to date for active programs totaled $103 million for employee costs and $104 million for exit costs.

Commitments, Guarantees and Contingent Liabilities

12 Months Ended

Dec. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Commitments, Guarantees and Contingent Liabilities



Note 14	Commitments, Guarantees and Contingent Liabilities

Leases

The Company leases certain office facilities, computer and office equipment, aircraft and automobiles. Total rent expense for all leases was $149 million, $147 million and $179 million in 2017, 2016 and 2015, respectively.

Minimum rental commitments under operating leases with an initial or remaining term of more than one year as of December 31, 2017 are in the following table:



($ in millions)
2018	$	126
2019	113
2020	95
2021	74
2022	60
Thereafter	175
Total	$	643

Shared markets and state facility assessments

The Company is required to participate in assigned risk plans, reinsurance facilities and joint underwriting associations in various states that provide insurance coverage to individuals or entities that otherwise are unable to purchase such coverage from private insurers. Underwriting results related to these arrangements, which tend to be adverse, have been immaterial to the Company’s results of operations. Because of the Company’s participation, it may be exposed to losses that surpass the capitalization of these facilities and/or assessments from these facilities.

Florida Citizens Castle Key is subject to assessments from Citizens Property Insurance Corporation in the state of Florida (“FL Citizens”), which was initially created by the state of Florida to provide insurance to property owners unable to obtain coverage in the private insurance market. FL Citizens, at the discretion and direction of its Board of Governors (“FL Citizens Board”), can levy a regular assessment on assessable insurers and assessable insureds for a deficit in any calendar year up to a maximum of the greater of: 2% of the projected deficit or 2% of the aggregate statewide direct written premium for the prior calendar year. The base of assessable insurers includes all property and casualty premiums in the state, except workers’ compensation, medical malpractice, accident and health insurance and policies written under the NFIP. An insurer may recoup a regular assessment through a surcharge to policyholders. In order to recoup this assessment, an insurer must file for a policy surcharge with the Florida Office of Insurance Regulation (“FL OIR”) at least fifteen days prior to imposing the surcharge on policies. If a deficit remains after the regular assessment, FL Citizens’ can also levy emergency assessments in the current and subsequent years. Companies are required to collect the emergency assessments directly from residential property policyholders and remit to FL Citizens as collected. Pursuant to an Order issued by the FL OIR, the emergency assessment is zero for all policies issued or renewed on or after July 1, 2015. FL Citizens’s initial estimates indicated sufficient resources to cover the losses from Hurricane Irma which will not result in the levy of an assessment.

Louisiana Citizens The Company is also subject to assessments from Louisiana Citizens Property Insurance Corporation (“LA Citizens”). LA Citizens can levy a regular assessment on participating companies for a deficit in any calendar year up to a maximum of the greater of 10% of the calendar year deficit or 10% of Louisiana direct property premiums industry-wide for the prior calendar year. If the plan year deficit exceeds the amount that can be recovered through Regular Assessments, LA Citizens may fund the remaining deficit by issuing revenue assessment bonds in the capital markets. LA Citizens then declares Emergency Assessments each year to provide debt service on the bonds until they are retired. Companies writing assessable lines must surcharge their policyholders Emergency Assessments in the percentage established annually by LA Citizens and must remit amounts collected to the bond trustee on a quarterly basis. Emergency assessments to pay off bonds issued in 2007 for the hurricanes of 2005 will continue until 2025.

Florida Hurricane Catastrophe Fund Castle Key participates in the mandatory coverage provided by the FHCF and therefore has access to reimbursements on certain qualifying Florida hurricane losses from the FHCF (see Note 10), and has exposure to assessments and pays annual premiums to the FHCF for this reimbursement protection. The FHCF has the authority to issue bonds to pay its obligations to insurers participating in the mandatory coverage in excess of its capital balances. Payment of these bonds is funded by emergency assessments on all property and casualty premiums in the state, except workers’ compensation, medical malpractice, accident and health insurance and policies written under the NFIP. The FHCF emergency assessments are limited to 6% of premiums per year beginning the first year in which reimbursements require bonding, and up to a total of 10% of premiums per year for assessments in the second and subsequent years, if required to fund additional bonding. Pursuant to an Order issued by the FL OIR, the emergency assessment is zero for all policies issued or renewed on or after January 1, 2015. The FHCF issued $2 billion in pre-event bonds in 2013 to build their capacity to reimburse member companies’ claims. The FHCF plans to fund these pre-event bonds through current FHCF cash flows.

Facilities such as FL Citizens, LA Citizens and the FHCF are generally designed so that the ultimate cost is borne by policyholders; however, the exposure to assessments from these facilities and the availability of recoupments or premium rate increases may not offset each other in the Company’s financial statements. Moreover, even if they do offset each other, they may not offset each other in financial statements for the same fiscal period due to the ultimate timing of the assessments and recoupments or premium rate increases, as well as the possibility of policies not being renewed in subsequent years.

California Earthquake Authority Exposure to certain potential losses from earthquakes in California is limited by the Company’s participation in the California Earthquake Authority (“CEA”), which provides insurance for California earthquake losses. The CEA is a privately-financed, publicly-managed state agency created to provide insurance coverage for earthquake damage. Insurers selling homeowners insurance in California are required to offer earthquake insurance to their customers either through their company or by participation in the CEA. The Company’s homeowners policies continue to include coverages for losses caused by explosions, theft, glass breakage and fires following an earthquake, which are not underwritten by the CEA.

As of September 30, 2017, the CEA’s capital balance was approximately $5.43 billion. Should losses arising from an earthquake cause a deficit in the CEA, an additional $685 million would be obtained from the proceeds of revenue bonds the CEA may issue, an existing $7.51 billion reinsurance layer, and finally, if needed, assessments on participating insurance companies. Participating insurers are required to pay an assessment, currently estimated not to exceed $1.66 billion, if the capital of the CEA falls below $350 million. Participating insurers are required to pay a second additional assessment, currently estimated not to exceed $54 million, if aggregate CEA earthquake losses exceed $15.33 billion and the capital of the CEA falls below $350 million. Within the limits previously described, the assessment could be intended to restore the CEA’s capital to a level of $350 million. There is no provision that allows insurers to recover assessments through a premium surcharge or other mechanism. The CEA’s projected aggregate claim paying capacity is $15.33 billion as of September 30, 2017 and if an event were to result in claims greater than its capacity, affected policyholders may be paid a prorated portion of their covered losses, paid on an installment basis, or no payments may be made if the claim paying capacity of the CEA is insufficient.

All future assessments on participating CEA insurers are based on their CEA insurance market share as of December 31 of the preceding year. As of December 31, 2016, the Company’s market share was 11.2%. The Company does not expect its market share to materially change. At this level, the Company’s maximum possible CEA assessment would be $191 million during 2018. These amounts are re-evaluated by the board of directors of the CEA on an annual basis. Accordingly, assessments from the CEA for a particular quarter or annual period may be material to the results of operations and cash flows, but not the financial position of the Company. Management believes the Company’s exposure to earthquake losses in California has been significantly reduced as a result of its participation in the CEA.

Texas Windstorm Insurance Association The Company participates as a member of the Texas Windstorm Insurance Association (“TWIA”), which provides wind and hail property coverage to coastal risks unable to procure coverage in the voluntary market. Wind and hail coverage is written on a TWIA-issued policy. TWIA follows a funding structure first utilizing currently available funds set aside from current and prior years. Under the current law, to the extent losses exceed premiums received from policyholders, TWIA utilizes a combination of reinsurance and TWIA issued securities to fund its payments of losses. Reinsurance is procured annually in an amount determined by the TWIA board. Once those currently available funds and available reinsurance are utilized, TWIA could issue up to $1 billion of securities, which will be repaid by billing policyholders and assessing participating insurers. The Company’s current participation ratio is approximately 13.6% based upon its proportion of the premiums written. Any assessments from TWIA for a particular quarter or annual period may be material to the results of operations and cash flows, but not the financial position of the Company.

Texas Fair Plan Association The Company participates as a member of the Texas Fair Plan Association (“FAIR Plan”), which provides residential property insurance to inland areas designated as underserved by the Commissioner of Insurance and the applicant(s) are unable to procure coverage in the voluntary market. The FAIR Plan issues insurance policies, like an insurance company, and it also functions as a pooling mechanism that allocates premiums, claims and expenses back to the insurance industry. As a result of the losses incurred related to Hurricane Harvey, the FAIR Plan Board unanimously voted to approve its first ever member assessment of which the Company’s share is expected to be $8 million based on total direct premium written in Texas. The Company's portion of the assessment was recorded as a liability as of December 31, 2017. Insurers are permitted to recover the assessment through either a premium surcharge applied to existing customers over a three-year period or increased rates, but the ability to fully recover the assessment may be impacted by market conditions or other factors.

North Carolina Reinsurance Facility The North Carolina Reinsurance Facility (“NCRF”) provides automobile liability insurance to drivers that insurers are not otherwise willing to insure. All insurers licensed to write automobile insurance in North Carolina are members of the NCRF. Premiums, losses and expenses are ceded to the NCRF. North Carolina law allows the NCRF to recoup operating losses for certain insureds through a surcharge to policyholders. As of September 30, 2017, the NCRF reported a deficit of $310 million in members’ equity. The NCRF implemented a loss recoupment surcharge on all private passenger policies becoming effective October 1, 2017 through March 31, 2018. Member companies are assessed the recoupment surcharge. The loss recoupment surcharge will be adjusted at April 1, 2018 and discontinued once losses are recovered. The NCRF results are shared by the member companies in proportion to their respective North Carolina automobile liability writings. As a result, the NCRF also has the ability to assess member Companies for recoupment of losses calculated on a pro-rata basis across member companies based on participation ratios, determined annually. For fiscal year ending September 30, 2017, the net loss was $50 million, including $1.0 billion of earned premiums, $173 million of certain private passenger auto risk recoupment and $149 million of member loss recoupments. As of December 31, 2017, the NCRF reinsurance recoverable on paid claims is $12.5 million and reinsurance recoverable on unpaid claims is $73.8 million. Paid recoverable balances, if covered, are typically settled within sixty days of monthly filing.

North Carolina Joint Underwriters Association The North Carolina Joint Underwriters Association (“NCJUA”) was created to provide property insurance for properties (other than the state’s beach and coastal areas) that insurers are not otherwise willing to insure. All insurers licensed to write property insurance in North Carolina are members of the NCJUA. Premiums, losses and expenses of the NCJUA are shared by the member companies in proportion to their respective North Carolina property insurance writings. Member companies participate in plan deficits or surpluses based on their participation ratios, which are determined annually. The Company had a $4.6 million receivable from the NCJUA at December 31, 2017, representing our participation in the NCJUA’s surplus of $37.8 million for all open years.

North Carolina Insurance Underwriting Association The North Carolina Insurance Underwriting Association (“NCIUA”) provides windstorm and hail coverage as well as homeowners policies for properties located in the state’s beach and coastal areas that insurers are not otherwise willing to insure. All insurers licensed to write residential and commercial property insurance in North Carolina are members of the NCIUA. Members are assessed in proportion to their North Carolina residential and commercial property insurance writings, which is determined annually and varies by coverage, for plan deficits. As of December 31, 2017, the NCIUA had a surplus of $1.5 billion. No member company shall be entitled to the distribution of any portion of the Association’s surplus. The Company does not recognize any interest related to this surplus. Legislation in 2009 capped insurers’ assessments for losses incurred in any calendar year at $1 billion. Subsequent to an industry assessment of $1 billion, if the plan continues to require funding, it may authorize insurers to assess a 10% catastrophe recovery charge on each property insurance policy statewide to be remitted to the plan.

Guaranty funds

Under state insurance guaranty fund laws, insurers doing business in a state can be assessed, up to prescribed limits, for certain obligations of insolvent insurance companies to policyholders and claimants. Amounts assessed to each company are typically related to its proportion of business written in each state. The Company’s policy is to accrue assessments when the entity for which the insolvency relates has met its state of domicile’s statutory definition of insolvency, the amount of the loss is reasonably estimable and the related premium upon which the assessment is based is written. In most states, the definition is met with a declaration of financial insolvency by a court of competent jurisdiction. In certain states there must also be a final order of liquidation. As of December 31, 2017 and 2016, the liability balance included in other liabilities and accrued expenses was $12 million and $4 million, respectively. The related premium tax offsets included in other assets were $19 million and $9 million as of December 31, 2017 and 2016, respectively.

Guarantees

The Company provides residual value guarantees on Company leased automobiles. If all outstanding leases were terminated effective December 31, 2017, the Company’s maximum obligation pursuant to these guarantees, assuming the automobiles have no residual value, would be $27 million as of December 31, 2017. The remaining term of each residual value guarantee is equal to the term of the underlying lease that ranges from less than one year to four years. Historically, the Company has not made any material payments pursuant to these guarantees.

Related to the sale of LBL on April 1, 2014, ALIC agreed to indemnify Resolution Life Holdings, Inc. in connection with certain representations, warranties and covenants of ALIC, and certain liabilities specifically excluded from the transaction, subject to specific contractual limitations regarding ALIC’s maximum obligation. Management does not believe these indemnifications will have a material effect on results of operations, cash flows or financial position of the Company.

Related to the disposal through reinsurance of substantially all of its variable annuity business to Prudential in 2006, the Company and its consolidated subsidiaries, ALIC and ALNY, have agreed to indemnify Prudential for certain pre-closing contingent liabilities (including extra-contractual liabilities of ALIC and ALNY and liabilities specifically excluded from the transaction) that ALIC and ALNY have agreed to retain. In addition, the Company, ALIC and ALNY will each indemnify Prudential for certain post-closing liabilities that may arise from the acts of ALIC, ALNY and their agents, including certain liabilities arising from ALIC’s and ALNY’s provision of transition services. The reinsurance agreements contain no limitations or indemnifications with regard to insurance risk transfer and transferred all of the future risks and responsibilities for performance on the underlying variable annuity contracts to Prudential, including those related to benefit guarantees. Management does not believe this agreement will have a material effect on results of operations, cash flows or financial position of the Company.

In the normal course of business, the Company provides standard indemnifications to contractual counterparties in connection with numerous transactions, including acquisitions and divestitures. The types of indemnifications typically provided include indemnifications for breaches of representations and warranties, taxes and certain other liabilities, such as third party lawsuits. The indemnification clauses are often standard contractual terms and are entered into in the normal course of business based on an assessment that the risk of loss would be remote. The terms of the indemnifications vary in duration and nature. In many cases, the maximum obligation is not explicitly stated and the contingencies triggering the obligation to indemnify have not occurred and are not expected to occur. Consequently, the maximum amount of the obligation under such indemnifications is not determinable. Historically, the Company has not made any material payments pursuant to these obligations.

The aggregate liability balance related to all guarantees was not material as of December 31, 2017.

Regulation and compliance

The Company is subject to extensive laws, regulations, administrative directives, and regulatory actions. From time to time, regulatory authorities or legislative bodies seek to influence and restrict premium rates, require premium refunds to policyholders, require reinstatement of terminated policies, prescribe rules or guidelines on how affiliates compete in the marketplace, restrict the ability of insurers to cancel or non-renew policies, require insurers to continue to write new policies or limit their ability to write new policies, limit insurers’ ability to change coverage terms or to impose underwriting standards, impose additional regulations regarding agent and broker compensation, regulate the nature of and amount of investments, impose fines and penalties for unintended errors or mistakes, and otherwise expand overall regulation of insurance products and the insurance industry. In addition, the Company is subject to laws and regulations administered and enforced by federal agencies and other organizations, including but not limited to the Securities and Exchange Commission, the Financial Industry Regulatory Authority, the Department of Labor, the U.S. Equal Employment Opportunity Commission, and the U.S. Department of Justice. The Company has established procedures and policies to facilitate compliance with laws and regulations, to foster prudent business operations, and to support financial reporting. The Company routinely reviews its practices to validate compliance with laws and regulations and with internal procedures and policies. As a result of these reviews, from time to time the Company may decide to modify some of its procedures and policies. Such modifications, and the reviews that led to them, may be accompanied by payments being made and costs being incurred. The ultimate changes and eventual effects of these actions on the Company’s business, if any, are uncertain.

Legal and regulatory proceedings and inquiries

The Company and certain subsidiaries are involved in a number of lawsuits, regulatory inquiries, and other legal proceedings arising out of various aspects of its business.

Background These matters raise difficult and complicated factual and legal issues and are subject to many uncertainties and complexities, including the underlying facts of each matter; novel legal issues; variations between jurisdictions in which matters are being litigated, heard, or investigated; changes in assigned judges; differences or developments in applicable laws and judicial interpretations; judges reconsidering prior rulings; the length of time before many of these matters might be resolved by settlement, through litigation, or otherwise; adjustments with respect to anticipated trial schedules and other proceedings; developments in similar actions against other companies; the fact that some of the lawsuits are putative class actions in which a class has not been certified and in which the purported class may not be clearly defined; the fact that some of the lawsuits involve multi-state class actions in which the applicable law(s) for the claims at issue is in dispute and therefore unclear; and the challenging legal environment faced by corporations and insurance companies.

The outcome of these matters may be affected by decisions, verdicts, and settlements, and the timing of such decisions, verdicts, and settlements, in other individual and class action lawsuits that involve the Company, other insurers, or other entities and by other legal, governmental, and regulatory actions that involve the Company, other insurers, or other entities. The outcome may also be affected by future state or federal legislation, the timing or substance of which cannot be predicted.

In the lawsuits, plaintiffs seek a variety of remedies which may include equitable relief in the form of injunctive and other remedies and monetary relief in the form of contractual and extra-contractual damages. In some cases, the monetary damages sought may include punitive or treble damages. Often specific information about the relief sought, such as the amount of damages, is not available because plaintiffs have not requested specific relief in their pleadings. When specific monetary demands are made, they are often set just below a state court jurisdictional limit in order to seek the maximum amount available in state court, regardless of the specifics of the case, while still avoiding the risk of removal to federal court. In Allstate’s experience, monetary demands in pleadings bear little relation to the ultimate loss, if any, to the Company.

In connection with regulatory examinations and proceedings, government authorities may seek various forms of relief, including penalties, restitution, and changes in business practices. The Company may not be advised of the nature and extent of relief sought until the final stages of the examination or proceeding.

Accrual and disclosure policy The Company reviews its lawsuits, regulatory inquiries, and other legal proceedings on an ongoing basis and follows appropriate accounting guidance when making accrual and disclosure decisions. The Company establishes accruals for such matters at management’s best estimate when the Company assesses that it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company does not establish accruals for such matters when the Company does not believe both that it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. The Company’s assessment of whether a loss is reasonably possible or probable is based on its assessment of the ultimate outcome of the matter following all appeals. The Company does not include potential recoveries in its estimates of reasonably possible or probable losses. Legal fees are expensed as incurred.

The Company continues to monitor its lawsuits, regulatory inquiries, and other legal proceedings for further developments that would make the loss contingency both probable and estimable, and accordingly accruable, or that could affect the amount of accruals that have been previously established. There may continue to be exposure to loss in excess of any amount accrued. Disclosure of the nature and amount of an accrual is made when there have been sufficient legal and factual developments such that the Company’s ability to resolve the matter would not be impaired by the disclosure of the amount of accrual.

When the Company assesses it is reasonably possible or probable that a loss has been incurred, it discloses the matter. When it is possible to estimate the reasonably possible loss or range of loss above the amount accrued, if any, for the matters disclosed, that estimate is aggregated and disclosed. Disclosure is not required when an estimate of the reasonably possible loss or range of loss cannot be made.

For certain of the matters described below in the “Claims related proceedings” and “Other proceedings” subsections, the Company is able to estimate the reasonably possible loss or range of loss above the amount accrued, if any. In determining whether it is possible to estimate the reasonably possible loss or range of loss, the Company reviews and evaluates the disclosed matters, in conjunction with counsel, in light of potentially relevant factual and legal developments.

These developments may include information learned through the discovery process, rulings on dispositive motions, settlement discussions, information obtained from other sources, experience from managing these and other matters, and other rulings by courts, arbitrators or others. When the Company possesses sufficient appropriate information to develop an estimate of the reasonably possible loss or range of loss above the amount accrued, if any, that estimate is aggregated and disclosed below. There may be other disclosed matters for which a loss is probable or reasonably possible but such an estimate is not possible. Disclosure of the estimate of the reasonably possible loss or range of loss above the amount accrued, if any, for any individual matter would only be considered when there have been sufficient legal and factual developments such that the Company’s ability to resolve the matter would not be impaired by the disclosure of the individual estimate.

The Company currently estimates that the aggregate range of reasonably possible loss in excess of the amount accrued, if any, for the disclosed matters where such an estimate is possible is zero to $240 million, pre-tax. This disclosure is not an indication of expected loss, if any. Under accounting guidance, an event is “reasonably possible” if “the chance of the future event or events occurring is more than remote but less than likely” and an event is “remote” if “the chance of the future event or events occurring is slight.” This estimate is based upon currently available information and is subject to significant judgment and a variety of assumptions, and known and unknown uncertainties. The matters underlying the estimate will change from time to time, and actual results may vary significantly from the current estimate. The estimate does not include matters or losses for which an estimate is not possible. Therefore, this estimate represents an estimate of possible loss only for certain matters meeting these criteria. It does not represent the Company’s maximum possible loss exposure. Information is provided below regarding the nature of all of the disclosed matters and, where specified, the amount, if any, of plaintiff claims associated with these loss contingencies.

Due to the complexity and scope of the matters disclosed in the “Claims related proceedings” and “Other proceedings” subsections below and the many uncertainties that exist, the ultimate outcome of these matters cannot be predicted and in the Company’s judgment, a loss, in excess of amounts accrued, if any, is not probable. In the event of an unfavorable outcome in one or more of these matters, the ultimate liability may be in excess of amounts currently accrued, if any, and may be material to the Company’s operating results or cash flows for a particular quarterly or annual period. However, based on information currently known to it, management believes that the ultimate outcome of all matters described below, as they are resolved over time, is not likely to have a material effect on the financial position of the Company.

Claims related proceedings

The Company is litigating a class action case in California in which the plaintiffs allege off-the-clock wage and hour claims. Plaintiffs seek recovery of unpaid compensation, liquidated damages, penalties, and attorneys’ fees and costs.

The case of Jack Jimenez, et al. v. Allstate Insurance Company was filed in the U.S. District Court for the Central District of California in September 2010. The plaintiffs allege that they worked off-the-clock; they also allege other California Labor Code violations resulting from purported unpaid overtime. In April 2012, the court certified a class that includes all adjusters in the state of California, except auto field adjusters, from September 29, 2006 to final judgment. Allstate appealed the court’s decision to certify the class, first to the Ninth Circuit Court of Appeals and then to the U.S. Supreme Court. The case was scheduled for trial on September 27, 2016. On May 4, 2016, the court vacated that trial date in part because the court had not approved a trial plan. No trial date has been scheduled because the parties continue to wait for the court’s approval of a trial plan.

In addition to the California class action, the case of Maria Victoria Perez and Kaela Brown, et al. v. Allstate Insurance Company was filed in the U.S. District Court for the Eastern District of New York. Plaintiffs allege that no-fault claim adjusters have been improperly classified as exempt employees under New York Labor Law and the Fair Labor Standards Act. The case was filed in April 2011, and the plaintiffs are seeking unpaid wages, liquidated damages, injunctive relief, compensatory and punitive damages, and attorneys’ fees. On September 16, 2014, the court certified a class of no-fault adjusters under New York Labor Law and refused to decertify a Fair Labor Standards Act class of no-fault adjusters. There are 105 members of the Fair Labor Standards Act class and 137 members of the New York Labor Law class. The parties are concluding discovery and preparing to seek court approval to file motions for summary judgment.

Other proceedings The Company is defending a consolidated proceeding relating to the reorganization of its agent sales force in 2000, when the Company discontinued employee agent programs, terminated the contracts of its employee agents, and offered those agents the opportunity to become Allstate Exclusive Agent independent contractors or to take severance benefits in exchange for a release of claims. The consolidated proceeding, captioned Gene Romero, et al. v. Allstate Insurance Company, et al., is pending in the United States District Court for the Eastern District of Pennsylvania.

This matter has a long and complex history, only relevant portions of which are summarized here. The case began in 2001 as two separate putative class actions filed by approximately 32 former employee agents. In one case, plaintiffs challenged the reorganization alleging claims under the Age Discrimination in Employment Act (“ADEA”), interference with benefits under ERISA, breach of contract, and breach of fiduciary duty. Plaintiffs also challenged the release of claims on various grounds including alleging that the release was retaliatory under the ADEA and ERISA. In the other case, plaintiffs challenged certain amendments to the Agents Pension Plan and sought to have service as Exclusive Agent independent contractors count toward eligibility for benefits. Plaintiffs sought various relief, including back pay, compensatory and punitive damages, liquidated damages, lost investment capital, loss of benefits, repeal of the challenged plan amendments and attorneys’ fees.

In February, 2014, the court addressed the validity and enforceability of the release and determined that the question of whether the releases were voluntarily signed raised disputed issues of fact to be resolved at trial. The court also held that the release, if valid, would bar all claims. In late 2014, the court denied plaintiffs’ motion to certify a class for purposes of determining whether the releases were signed voluntarily and ordered that all statutes of limitations would resume running, after which approximately 460 additional individual plaintiffs filed separate similar lawsuits or sought to intervene.

A jury trial was held in June, 2015, to determine whether the releases of ten plaintiffs were knowingly and voluntarily signed. The jury found that two plaintiffs signed their releases voluntarily and eight plaintiffs did not.

On May 2, 2016, a consolidated amended complaint was filed on behalf of 498 plaintiffs, most of whom had previously filed separate lawsuits or intervened. On July 6, 2016, the court denied the Company’s motion to dismiss plaintiffs’ state law breach of contract and fiduciary duty claims but granted dismissal of plaintiffs’ retaliation claims under the ADEA and ERISA challenging the release of claims.

The court then separated the case into phases to address “common issues” in plaintiffs’ claims, beginning with: (a) “Phase I” addressing claims by 118 plaintiffs alleging that certain plan amendments violated ERISA’s anti-cutback provision by eliminating an accrued benefit and (b) “Phase II” addressing all plaintiffs’ claims for alleged interference with employee benefits under ERISA and disparate impact under the ADEA.

A bench trial on Phase I claims was held in December, 2016. The court ruled that (i) the Company’s 1991 amendments to the Plan did not violate ERISA by improperly cutting back on plaintiffs’ benefits, and (ii) the Company’s interpretation of the Plan’s definition of “retire” violated ERISA’s anti-cutback rule. The court required the parties to provide further information, in the form of an accounting, to determine whether any plaintiffs suffered a loss based on any such cutback. Plaintiffs have asserted that only two of the 118 plaintiffs suffered a loss as a result of the court’s order. The Company contends that no plaintiff suffered a compensable loss and that judgment should be entered in favor of the Company. We await a final ruling by the court.

In Phase II, the court granted the Company’s motion for summary judgment on both the ADEA disparate impact and ERISA interference with benefits claims. This ruling resolved these claims in the trial court as to all plaintiffs.

In June, 2017, the court entered an order establishing Phases III and IV of the litigation. In Phase III, the remaining claims of the eight individual plaintiffs who reside in the Eastern District of Pennsylvania were to be litigated, possibly culminating in two separate jury trials in early 2018. The Company filed several motions for summary judgment on the Phase III claims. The court granted the Company’s motion as to the Phase III plaintiffs’ ADEA disparate treatment claims and as to a retaliation claim that had been asserted by one of the Phase III plaintiffs. The court denied the Company’s motion on the Phase III plaintiffs’ breach of contract and breach of fiduciary duty claims.

The Company and 85 individual plaintiffs, including all eight of the Phase III plaintiffs whose remaining claims were set for trial in early 2018, reached agreements in principle to settle all claims of those plaintiffs on a confidential basis, subject to negotiating and executing appropriate written settlement agreements. Four other plaintiffs have voluntarily dismissed their claims leaving 410 plaintiffs in this litigation.

The parties have substantially completed written discovery relating to the claims of the remaining plaintiffs (Phase IV of the litigation). On January 30, 2018, the court decided two separate summary judgment motions filed by the Company with respect to the Phase IV claims. The court (i) granted summary judgment in the Company’s favor on the claims by twenty-seven Phase IV plaintiffs alleging that the Company improperly retaliated against them by filing counterclaims to their original complaint; and (ii) declined to decide whether the remaining Phase IV plaintiffs’ age discrimination (disparate treatment) claims should be dismissed due to plaintiffs’ failure to exhaust administrative remedies, finding that this is not a common issue. The court has yet to decide the proper venue for resolution of the remaining plaintiffs’ individual claims.

The final resolution of these matters is subject to various uncertainties and complexities including how trials, post-trial motions, possible appeals with respect to the validity of the release, and any rulings on the merits will be resolved.

The below shareholder derivative action is disclosed pursuant to SEC disclosure requirements for these types of matters, and the putative class action has been disclosed because both matters involve similar allegations. On August 3, 2017, a plaintiff alleging to be a stockholder in the Company filed a shareholder derivative complaint in the Circuit Court for Cook County, Chancery Division. The action is styled Biefeldt v. Wilson, et al., Case No. 2017 CH 10676 (Cook County, Ill.). In the complaint, plaintiff purports to assert claims on behalf of the Company for alleged breaches of fiduciary duty based on allegations that are similar to those asserted in the securities action described below. The complaint names as defendants the Company’s chairman and chief executive officer, its former president, who retired on February 23, 2018, its former chief financial officer, who is now the Company’s vice chairman and the members of the board of directors during the period of the alleged misstatements or omissions regarding auto claims frequency. Defendants filed a motion to dismiss the complaint on November 13, 2017. The complaint seeks, on behalf of the Company, an unspecified amount of damages and various forms of equitable relief.

In November 2016, a putative class action was filed in the United States District Court for the Northern District of Illinois against the Company and several of its officers asserting claims under the federal securities laws. The action is titled In re The Allstate Corp. Securities Litigation, No. 1:16-cv-10510 (N.D. Ill.). In March 2017, lead plaintiffs filed a consolidated amended complaint. In the complaint, plaintiffs allege that the Company and certain senior officers made allegedly material misstatements or omissions concerning claim frequency statistics and the reasons for a claim frequency increase for Allstate brand auto insurance during the period from October 29, 2014 to August 3, 2015. The complaint further alleges that a senior officer engaged in stock option exercises and sales during that time allegedly while in possession of information about claim frequency that had not been disclosed. The consolidated amended complaint names as defendants the Company, its chairman and chief executive officer and its former president. Plaintiffs assert claims under sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder. On June 1, 2017, all defendants filed motions to dismiss the consolidated amended complaint for failure to state a claim. Briefing on the motion was completed in September 2017. The Company and the other defendants dispute plaintiffs’ allegations that there was any misstatement or omission or other misconduct. The complaint seeks an unspecified amount of damages, costs and attorney’s fees and such other relief as the court deems appropriate.

Asbestos and environmental

Management believes its net loss reserves for asbestos, environmental and other discontinued lines exposures are appropriately established based on available facts, technology, laws and regulations. However, establishing net loss reserves for asbestos, environmental and other discontinued lines claims is subject to uncertainties that are much greater than those presented by other types of claims. The ultimate cost of losses may vary materially from recorded amounts, which are based on management’s best estimate. Among the complications are lack of historical data, long reporting delays, uncertainty as to the number and identity of insureds with potential exposure and unresolved legal issues regarding policy coverage; unresolved legal issues regarding the determination, availability and timing of exhaustion of policy limits; plaintiffs’ evolving and expanding theories of liability; availability and collectability of recoveries from reinsurance; retrospectively determined premiums and other contractual agreements; estimates of the extent and timing of any contractual liability; the impact of bankruptcy protection sought by various asbestos producers and other asbestos defendants; and other uncertainties. There are also complex legal issues concerning the interpretation of various insurance policy provisions and whether those losses are covered, or were ever intended to be covered, and could be recoverable through retrospectively determined premium, reinsurance or other contractual agreements. Courts have reached different and sometimes inconsistent conclusions as to when losses are deemed to have occurred and which policies provide coverage; what types of losses are covered; whether there is an insurer obligation to defend; how policy limits are determined; how policy exclusions and conditions are applied and interpreted; and whether clean-up costs represent insured property damage. Further, insurers and claims administrators acting on behalf of insurers are increasingly pursuing evolving and expanding theories of reinsurance coverage for asbestos and environmental losses. Adjudication of reinsurance coverage is predominately decided in confidential arbitration proceedings which may have limited precedential or predictive value further complicating management’s ability to estimate probable loss for reinsured asbestos and environmental claims. Management believes these issues are not likely to be resolved in the near future, and the ultimate costs may vary materially from the amounts currently recorded resulting in material changes in loss reserves. In addition, while the Company believes that improved actuarial techniques and databases have assisted in its ability to estimate asbestos, environmental, and other discontinued lines net loss reserves, these refinements may subsequently prove to be inadequate indicators of the extent of probable losses. Due to the uncertainties and factors described above, management believes it is not practicable to develop a meaningful range for any such additional net loss reserves that may be required.

Income Taxes

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Income Taxes



Note 15	Income Taxes

The Company and its domestic subsidiaries file a consolidated federal income tax return. Tax liabilities and benefits realized by the consolidated group are allocated as generated by the respective entities.

The Internal Revenue Service (“IRS”) is currently examining the Company’s 2013 and 2014 federal income tax returns and the exam is expected to be complete in the first quarter of 2018. The IRS has also begun their examination of the Company’s 2015 and 2016 federal income tax returns. The Company’s tax years prior to 2013 have been examined by the IRS and the statute of limitations has expired on those years. Any adjustments that may result from IRS examinations of the Company’s tax returns are not expected to have a material effect on the results of operations, cash flows or financial position of the Company.

Tax Reform On December 22, 2017, Public Law 115-97, known as the Tax Cuts and Jobs Act of 2017 (“Tax Legislation”) became effective. The Tax Legislation impacts the Company generally in four areas:


1.	Amends the U.S. Internal Revenue Code of 1986, as amended, which among other items, permanently reduces the corporate income tax rate from a maximum of 35% to 21% beginning January 1, 2018.


2.	Changes international taxation to a modified territorial tax system whereby profits from non-U.S. subsidiaries will generally be taxed only in their local jurisdictions.


3.	Contains several other provisions, such as limitations of deductibility of executive compensation, meals and entertainment and lobbying expenses and changes to the dividends received deduction.


4.	Affects the timing of certain tax deductions for reserves and deferred acquisition costs, but does not impact the Company’s overall income tax expense.

Deferred income taxes result from temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements that will result in taxable or deductible amounts in future years. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in years in which those temporary differences are expected to be recovered or settled. Deferred tax assets and liabilities are adjusted through income tax expense as changes in tax laws or rates are enacted.

The Company revalued its deferred tax assets and liabilities at the new corporate income tax rate. The transition to the modified territorial system for international taxation required the Company to recognize a liability in 2017 based on non-U.S. income from international subsidiaries that had not been repatriated to their U.S. parent company (the “Transition Tax”). The Company recorded a net tax benefit of $506 million, recognized as a reduction to income tax expense in the Company’s Consolidated Statements of Operations for the year ended December 31, 2017. The net benefit was primarily due to re-measurement of the Company’s deferred tax assets and liabilities, partially offset by the impact of the transition tax on deemed repatriation of deferred non-U.S. income. The Company’s effective income tax rate for 2017 was 20.1% and included this one-time benefit of 12.7%.

The impact of the Tax Legislation may differ from the Company’s preliminary estimates due to, among other things, changes in interpretations and assumptions the Company has made, guidance that may be issued and actions the Company may take as a result of the Tax Legislation. The transition tax calculation and the tax expense related to the rate differential on the deferred tax assets and liabilities of the foreign subsidiaries are based on estimated amounts. Any potential adjustments made could be material in relation to the preliminary estimates recorded.



Reconciliation of the change in the amount of unrecognized tax benefits
	For the years ended December 31,
($ in millions)	2017		2016		2015
Balance – beginning of year	$	10	$	7	$	—
Increase for tax positions taken in a prior year	34		—		4
Increase for tax positions taken in the current year	11		3		3
Balance – end of year	$	55	$	10	$	7

The Company believes it is reasonably possible that the liability balance will not significantly increase within the next twelve months.

The Company recognizes interest accrued related to unrecognized tax benefits in income tax expense. The Company did not record interest income or expense relating to unrecognized tax benefits in income tax expense in 2017, 2016 or 2015. As of December 31, 2017 and 2016, there was no interest accrued with respect to unrecognized tax benefits. No amounts have been accrued for penalties.



Components of the deferred income tax assets and liabilities ⁽¹⁾
	As of December 31,
($ in millions)	2017			2016
Deferred assets
Unearned premium reserves	$	545		$	819
Accrued compensation	137			203
Pension	86			294
Discount on loss reserves	53			188
Net operating loss carryover	50			15
Other assets	49			103
Other postretirement benefits	48			64
Difference in tax bases of invested assets	—			78
Total deferred assets	968			1,764
Deferred liabilities
DAC	(770		)	(1,211		)
Unrealized net capital gains	(422		)	(529		)
Life and annuity reserves	(241		)	(324		)
Intangible assets	(113		)	(29		)
Difference in tax bases of invested assets	(106		)	—
Other liabilities	(98		)	(158		)
Total deferred liabilities	(1,750		)	(2,251		)
Net deferred liability	$	(782	)	$	(487	)


⁽¹⁾	Changes in deferred tax assets and liabilities primarily relate to the Tax Legislation.

Although realization is not assured, management believes it is more likely than not that the deferred tax assets will be realized based on the Company’s assessment that the deductions ultimately recognized for tax purposes will be fully utilized. As of December 31, 2017, the Company has net operating loss carryforwards of $238 million. The Tax Legislation eliminated the 20-year limitation on carryforwards and made the carryforward period indefinite.



Components of income tax expense
	For the years ended December 31,
($ in millions)	2017			2016		2015
Current	$	1,018		$	654	$	1,033
Deferred	(216		)	223		78
Total income tax expense	$	802		$	877	$	1,111

The Company paid income taxes of $968 million, $359 million and $1.07 billion in 2017, 2016 and 2015, respectively.

The Company had current income tax payable of $44 million and $135 million as of December 31, 2017 and 2016, respectively.



Reconciliation of the statutory federal income tax rate to the effective income tax rate
	For the years ended December 31,
	2017		2016		2015
Statutory federal income tax rate on income from operations	35.0	%	35.0	%	35.0	%
Tax Legislation benefit	(12.7	)	—		—
Share-based payments ⁽¹⁾	(1.6	)	—		—
Tax-exempt income	(0.8	)	(1.2	)	(1.0	)
Tax credits	(0.9	)	(1.2	)	(0.9	)
Non-deductible goodwill impairment	1.1		—		—
Other ⁽²⁾	—		(0.7	)	0.8
Effective income tax rate on income from operations	20.1	%	31.9	%	33.9	%


⁽¹⁾	Includes a tax benefit of $63 million related to the 2017 adoption of the new accounting standard for share-based payments.


⁽²⁾	Includes $45 million of income tax expense related to the change in accounting guidance for investments in qualified affordable housing projects adopted in 2015.

Statutory Financial Information and Dividend Limitations

12 Months Ended

Dec. 31, 2017

Statutory Financial Information and Dividend Limitations [Abstract]

Statutory Financial Information and Dividend Limitations



Note 16	Statutory Financial Information and Dividend Limitations

Allstate’s domestic property and casualty and life insurance subsidiaries prepare their statutory-basis financial statements in conformity with accounting practices prescribed or permitted by the insurance department of the applicable state of domicile. Prescribed statutory accounting practices include a variety of publications of the National Association of Insurance Commissioners (“NAIC”), as well as state laws, regulations and general administrative rules. Permitted statutory accounting practices encompass all accounting practices not so prescribed.

All states require domiciled insurance companies to prepare statutory-basis financial statements in conformity with the NAIC Accounting Practices and Procedures Manual, subject to any deviations prescribed or permitted by the applicable insurance commissioner and/or director. Statutory accounting practices differ from GAAP primarily since they require charging policy acquisition and certain sales inducement costs to expense as incurred, establishing life insurance reserves based on different actuarial assumptions, and valuing certain investments and establishing deferred taxes on a different basis.



Statutory net income (loss) and capital and surplus of Allstate’s domestic insurance subsidiaries
	Net income (loss)							Capital and surplus
($ in millions)	2017		2016		2015			2017		2016
Amounts by major business type:
Property and casualty insurance	$	3,050	$	1,520	$	1,826		$	14,903	$	13,436
Life insurance, annuities and voluntary accident and health insurance	327		197		(56		)	3,727		3,383
Amount per statutory accounting practices	$	3,377	$	1,717	$	1,770		$	18,630	$	16,819

Dividend Limitations

There are no regulatory restrictions that limit the payment of dividends by the Corporation, except those generally applicable to corporations incorporated in Delaware. Dividends are payable only out of certain components of shareholders’ equity as permitted by Delaware law. However, the ability of the Corporation to pay dividends is dependent on business conditions, income, cash requirements of the Company, receipt of dividends from AIC and other relevant factors.

The payment of shareholder dividends by AIC without the prior approval of the Illinois Department of Insurance (“IL DOI”) is limited to formula amounts based on net income and capital and surplus, determined in conformity with statutory accounting practices, as well as the timing and amount of dividends paid in the preceding twelve months. AIC paid dividends of $1.56 billion in 2017. The maximum amount of dividends AIC will be able to pay without prior IL DOI approval at a given point in time during 2018 is $2.87 billion, less dividends paid during the preceding twelve months measured at that point in time. The payment of a dividend in excess of this amount requires 30 days advance written notice to the IL DOI. The dividend is deemed approved, unless the IL DOI disapproves it within the 30 day notice period. Additionally, any dividend must be paid out of unassigned surplus excluding unrealized appreciation from investments, which for AIC totaled $11.04 billion as of December 31, 2017, and cannot result in capital and surplus being less than the minimum amount required by law.

Under state insurance laws, insurance companies are required to maintain paid up capital of not less than the minimum capital requirement applicable to the types of insurance they are authorized to write. Insurance companies are also subject to risk-based capital (“RBC”) requirements adopted by state insurance regulators. A company’s “authorized control level RBC” is calculated using various factors applied to certain financial balances and activity. Companies that do not maintain adjusted statutory capital and surplus at a level in excess of the company action level RBC, which is two times authorized control level RBC, are required to take specified actions. Company action level RBC is significantly in excess of the minimum capital requirements. Total adjusted statutory capital and surplus and authorized control level RBC of AIC were $17.70 billion and $2.80 billion, respectively, as of December 31, 2017. Substantially all of the Corporation’s insurance subsidiaries are subsidiaries of and/or reinsure all of their business to AIC, including ALIC. AIC’s subsidiaries are included as a component of AIC’s total statutory capital and surplus.

The amount of restricted net assets, as represented by the Corporation’s investment in its insurance subsidiaries, was $26 billion as of December 31, 2017.

Intercompany transactions

Notification and approval of intercompany lending activities is also required by the IL DOI for transactions that exceed a level that is based on a formula using statutory admitted assets and statutory surplus.

Benefit Plans

12 Months Ended

Dec. 31, 2017

Retirement Benefits [Abstract]

Benefit Plans



Note 17	Benefit Plans

Pension and other postretirement plans

Defined benefit pension plans cover most full-time employees, certain part-time employees and employee-agents. Benefits under the pension plans are based upon the employee’s length of service, eligible annual compensation and, prior to January 1, 2014, either a cash balance or final average pay formula. A cash balance formula applies to all eligible employees hired after August 1, 2002. Eligible employees hired before August 1, 2002 chose between the cash balance formula and the final average pay formula. In July 2013, the Company amended its primary plans effective January 1, 2014 to introduce a new cash balance formula to replace the previous formulas (including the final average pay formula and the previous cash balance formula) under which eligible employees accrue benefits.

The Company also provides a medical coverage subsidy for eligible employees hired before January 1, 2003, including their eligible dependents, when they retire and certain life insurance benefits for eligible retirees (“postretirement benefits”). In July 2013, the Company amended the plan to eliminate the life insurance benefits effective January 1, 2014 for current eligible employees and effective January 1, 2016 for eligible retirees who retired after 1989. In 2017, the Company continues to pay life insurance premiums for certain retiree plaintiffs subject to a court order requiring it to do so until such time as their lawsuit seeking to keep their life insurance benefits intact is resolved. Qualified employees may become eligible for a medical subsidy if they retire in accordance with the terms of the applicable plans and are continuously insured under the Company’s group plans or other approved plans in accordance with the plan’s participation requirements. The Company shares the cost of retiree medical benefits with non Medicare-eligible retirees based on years of service, with the Company’s share being subject to a 5% limit on future annual medical cost inflation after retirement. For Medicare-eligible retirees, the Company provides a fixed Company contribution based on years of service and other factors, which is not subject to adjustments for inflation.

The Company has reserved the right to modify or terminate its benefit plans at any time and for any reason.

Obligations and funded status

The Company calculates benefit obligations based upon generally accepted actuarial methodologies using the projected benefit obligation (“PBO”) for pension plans and the accumulated postretirement benefit obligation (“APBO”) for other postretirement plans. The determination of pension costs and other postretirement obligations are determined using a December 31 measurement date. The benefit obligations represent the actuarial present value of all benefits attributed to employee service rendered as of the measurement date. The PBO is measured using the pension benefit formulas and assumptions as to future compensation levels. A plan’s funded status is calculated as the difference between the benefit obligation and the fair value of plan assets. The Company’s funding policy for the pension plans is to make contributions at a level in accordance with regulations under the Internal Revenue Code (“IRC”) and generally accepted actuarial principles. The Company’s other postretirement benefit plans are not funded.



Components of the pension and other postretirement plans’ funded status reflected in the Consolidated Statements of Financial Position
	As of December 31,
	Pension benefits						Postretirement benefits
($ in millions)	2017			2016			2017			2016
Fair value of plan assets	$	6,284		$	5,650		$	—		$	—
Less: Benefit obligation	6,815			6,591			386			373
Funded status	$	(531	)	$	(941	)	$	(386	)	$	(373	)

Items not yet recognized as a component of net periodic cost:
Net actuarial loss (gain)	$	2,224		$	2,807		$	(218	)	$	(251	)
Prior service credit	(254		)	(310		)	(37		)	(62		)
Unrecognized pension and other postretirement benefit cost, pre-tax	1,970			2,497			(255		)	(313		)
Deferred income tax ⁽¹⁾	(419		)	(874		)	51			109
Unrecognized pension and other postretirement benefit cost	$	1,551		$	1,623		$	(204	)	$	(204	)


⁽¹⁾	Components of the pension plan and other postretirement benefits were reduced by deferred income taxes at the newly enacted 21% U.S. corporate tax rate as of December 31, 2017 and 35% as of December 31, 2016.

The $583 million decrease in the pension net actuarial loss during 2017 is primarily related to gains from favorable asset performance, a settlement loss and the amortization of unrecognized pension costs to net periodic pension cost, partially offset by a decrease in the discount rate and lump sum conversion rates. The majority of the $2.22 billion net actuarial pension benefit losses not yet recognized in 2017 reflects decreases in the discount rate. The $33 million decrease in the OPEB net actuarial gain during 2017 primarily related to amortization of net actuarial gains.

The primary qualified employee plan represents 73% of the pension benefits’ underfunded status as of December 31, 2017.

The change in items not yet recognized as a component of net periodic cost is recorded in unrecognized pension and other postretirement benefit cost.



Changes in items not yet recognized as a component of net periodic cost
($ in millions)	Pension benefits			Postretirement benefits
Items not yet recognized as a component of net periodic cost – December 31, 2016	$	2,497		$	(313	)
Net actuarial (gain) loss arising during the period	(247		)	8
Net actuarial (loss) gain amortized to net periodic benefit cost	(342		)	24
Prior service credit amortized to net periodic benefit cost	56			25
Translation adjustment and other	6			1
Items not yet recognized as a component of net periodic cost – December 31, 2017	$	1,970		$	(255	)

The net actuarial loss (gain) and prior service credit is recognized as a component of net periodic cost amortized over the average remaining service period of active employees expected to receive benefits.



Estimates of 2018 net actuarial loss (gain) and prior service credit
($ in millions)	Pension benefits			Postretirement benefits
Net actuarial loss (gain)	$	177		$	(22	)
Prior service credit	(56		)	(22		)

The accumulated benefit obligation (“ABO”) for all defined benefit pension plans was $6.74 billion and $6.52 billion as of December 31, 2017 and 2016, respectively. The ABO is the actuarial present value of all benefits attributed by the pension benefit formula to employee service rendered at the measurement date. However, it differs from the PBO due to the exclusion of an assumption as to future compensation levels.

The PBO, ABO and fair value of plan assets for the Company’s pension plans with an ABO in excess of plan assets were $6.42 billion, $6.36 billion and $5.89 billion, respectively, as of December 31, 2017 and $6.24 billion, $6.18 billion and $5.30 billion, respectively, as of December 31, 2016. Included in the accrued benefit cost of the pension benefits are certain unfunded non-qualified plans with accrued benefit costs of $140 million and $141 million for 2017 and 2016, respectively.



Changes in benefit obligations for all plans
	Pension benefits						Postretirement benefits
($ in millions)	2017			2016			2017			2016
Benefit obligation, beginning of year	$	6,591		$	6,130		$	373		$	405
Service cost	114			113			8			9
Interest cost	264			286			15			17
Participant contributions	—			1			12			16
Actuarial loss (gain)	395			387			8			(14		)
Benefits paid ⁽¹⁾	(553		)	(301		)	(35		)	(41		)
Plan amendments	—			—			—			(22		)
Translation adjustment and other	4			(25		)	5			3
Benefit obligation, end of year	$	6,815		$	6,591		$	386		$	373


⁽¹⁾	Benefits paid include lump sum distributions, a portion of which triggered settlement accounting treatment.



Components of net periodic cost
	For the years ended December 31,
	Pension benefits									Postretirement benefits
($ in millions)	2017			2016			2015			2017			2016			2015
Service cost	$	114		$	113		$	114		$	8		$	9		$	12
Interest cost	264			286			258			15			17			23
Expected return on plan assets	(409		)	(398		)	(424		)	—			—			—
Amortization of:
Prior service credit	(56		)	(56		)	(56		)	(25		)	(21		)	(22		)
Net actuarial loss (gain)	189			174			190			(24		)	(24		)	(9		)
Settlement loss	153			27			31			—			—			—
Net periodic cost (credit)	$	255		$	146		$	113		$	(26	)	$	(19	)	$	4

The service cost component is the actuarial present value of the benefits attributed by the plans’ benefit formula to services rendered by the employees during the period. Interest cost is the increase in the PBO in the period due to the passage of time at the discount rate. Interest cost fluctuates as the discount rate changes and is also impacted by the related change in the size of the PBO. The decrease or increase in the PBO due to an increase or decrease in the discount rate is deferred and decreases or increases the net actuarial loss. It is recorded in AOCI as unrecognized pension benefit cost and may be amortized.

The expected return on plan assets is determined as the product of the expected long-term rate of return on plan assets and the adjusted fair value of plan assets, referred to as the market-related value of plan assets. To determine the market-related value, the fair value of plan assets is adjusted annually so that differences between changes in the fair value of equity securities and the expected long-term rate of return on these securities are recognized into the market-related value of plan assets over a five-year period. We believe this is consistent with the long-term nature of pension obligations.

When the actual return on plan assets exceeds the expected return it reduces the net actuarial loss recorded in AOCI; when the expected return exceeds the actual return it increases the net actuarial loss. These amounts are recorded in AOCI as unrecognized pension benefit cost and may be amortized. The market-related value adjustment represents the current difference between actual returns and expected returns on equity securities and hedge fund limited partnerships recognized over a five-year period. The market-related value adjustment is a deferred net gain of $403 million as of December 31, 2017. The expected return on plan assets fluctuates when the market-related value of plan assets changes and when the expected long-term rate of return on plan assets assumption changes.

Net actuarial loss fluctuations are due to changes in discount rate, differences between actual return on plan assets and expected long-term rate of return on plan assets, and differences between actual plan experience and other actuarial assumptions when there is an excess sufficient to qualify for amortization.

Amortization of net actuarial loss in pension cost is recorded when the net actuarial loss excluding the unamortized market-related value adjustment exceeds 10% of the greater of the PBO or the market-related value of plan assets. The amount of amortization is equal to the excess divided by the average remaining service period for active employees for each plan, which approximates 10 years for Allstate’s largest plan. As a result, the effect of changes in the PBO due to changes in the discount rate and changes in the fair value of plan assets may be experienced in our net periodic pension cost in periods subsequent to those in which the fluctuations actually occur.

Settlement losses are non-cash charges that accelerate the recognition of unrecognized pension benefit cost that would have been incurred in subsequent periods, when plan payments, primarily lump sums from qualified pension plans, exceed a threshold of service plus interest cost for the period. The value of lump sums paid in 2017 was higher than in 2016 and exceeded the settlement charge threshold, in the primary employee plan, due to higher-than-expected retirement levels, higher prescribed IRS lump sum interest rates that reduce future benefit lump sum payments and reductions in force. As a result, a pension settlement loss of $122 million, pre-tax, was recorded as part of operating costs and expenses in the Corporate and Other segment.



Weighted average assumptions used to determine net pension cost and net postretirement benefit cost
	For the years ended December 31,
	Pension benefits						Postretirement benefits
($ in millions)	2017		2016		2015		2017		2016		2015
Discount rate	4.15	%	4.83	%	4.10	%	3.63	%	4.59	%	3.97	%
Rate of increase in compensation levels	3.20		3.20		3.50		n/a		n/a		n/a
Expected long-term rate of return on plan assets	7.31		7.30		7.33		n/a		n/a		n/a



Weighted average assumptions used to determine benefit obligations
	For the years ended December 31,
	Pension benefits				Postretirement benefits
	2017		2016		2017		2016
Discount rate	3.68	%	4.15	%	4.06	%	4.07	%
Rate of increase in compensation levels	3.20		3.20		n/a		n/a

The weighted average health care cost trend rate used in measuring the accumulated postretirement benefit cost is 6.1% for 2018, gradually declining to 4.5% in 2038 and remaining at that level thereafter.

Assumed health care cost trend rates have a significant effect on the amounts reported for the postretirement health care plans. A one percentage-point increase in assumed health care cost trend rates would increase the total of the service and interest cost components of net periodic benefit cost of other postretirement benefits and APBO by $2 million and $26 million, respectively. A one percentage-point decrease in assumed health care cost trend rates would decrease the total of the service and interest cost components of net periodic benefit cost of other postretirement benefits and APBO by $2 million and $23 million, respectively.

Pension plan assets



Change in pension plan assets
	For the years ended December 31,
($ in millions)	2017			2016
Fair value of plan assets, beginning of year	$	5,650		$	5,353
Actual return on plan assets	1,051			491
Employer contribution	131			131
Benefits paid	(553		)	(301		)
Translation adjustment and other	5			(24		)
Fair value of plan assets, end of year	$	6,284		$	5,650

In general, the Company’s pension plan assets are managed in accordance with investment policies approved by pension investment committees. The purpose of the policies is to ensure the plans’ long-term ability to meet benefit obligations by prudently investing plan assets and Company contributions, while taking into consideration regulatory and legal requirements and current market conditions. The investment policies are reviewed periodically and specify target plan asset allocation by asset category. In addition, the policies specify various asset allocation and other risk limits. The target asset allocation takes the plans’ funding status into consideration, among other factors, including anticipated demographic changes or liquidity requirements that may affect the funding status such as the potential impact of lump sum settlements as well as existing or expected market conditions. In general, the allocation has a lower overall investment risk when a plan is in a stronger funded status position since there is less economic incentive to take risk to increase the expected returns on the plan assets. As a result, the primary employee plan has a greater allocation to equity securities than the employee-agent plan. The primary qualified employee plan comprises 81% of total plan assets and 86% of equity securities. The pension plans’ asset exposure within each asset category is tracked against widely accepted established benchmarks for each asset class with limits on variation from the benchmark established in the investment policy. Pension plan assets are regularly monitored for compliance with these limits and other risk limits specified in the investment policies.



Weighted average target asset allocation and actual percentage of plan assets by asset category
	As of December 31, 2017
	Target asset allocation ⁽¹⁾	Actual percentage of plan assets
Pension plan’s asset category	2017	2017		2016
Equity securities ⁽²⁾	43 - 62%	58	%	62	%
Fixed income securities	34 - 44%	34		29
Limited partnership interests	0 - 13%	6		7
Short-term investments and other	—	2		2
Total without securities lending ⁽³⁾		100	%	100	%


⁽¹⁾	The target asset allocation considers risk based exposure while the actual percentage of plan assets utilizes a financial reporting view excluding exposure provided through derivatives.

⁽²⁾

The actual percentage of plan assets for equity securities include private equity investments that are subject to the limited partnership interests target allocation of 2% and 1% in 2017 and 2016, respectively, fixed income mutual funds that are subject to the fixed income securities target allocation of 3% for both 2017 and 2016 as well as 1% of equity exposure created through a derivative which is not included in the actual allocations in 2017.


⁽³⁾	Securities lending collateral reinvestment of $202 million and $143 million is excluded from the table above in 2017 and 2016, respectively.

The target asset allocation for an asset category may be achieved either through direct investment holdings, through replication using derivative instruments (e.g., futures or swaps) or net of hedges using derivative instruments to reduce exposure to an asset category. The net notional amount of derivatives used for replication and hedges is limited to 105% or 115% of total plan assets depending on the plan. Market performance of the different asset categories may, from time to time, cause deviation from the target asset allocation. The asset allocation mix is reviewed on a periodic basis and rebalanced to bring the allocation within the target ranges.

Outside the target asset allocation, the pension plans participate in a securities lending program to enhance returns. As of December 31, 2017, U.S. government fixed income securities and U.S. equity securities are lent out and cash collateral is invested in short-term investments.



Fair values of pension plan assets as of December 31, 2017
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Balance as of December 31, 2017
Equity securities	$	126		$	264		$	29		$	419
Fixed income securities:
U.S. government and agencies	174			420			—			594
Corporate	—			1,543			10			1,553
Short-term investments	97			197			—			294
Cash and cash equivalents	21			—			—			21
Free-standing derivatives:
Assets	—			1			—			1
Total plan assets at fair value	$	418		$	2,425		$	39		2,882
% of total plan assets at fair value	14.5		%	84.1		%	1.4		%	100.0		%

Investments measured using the net asset value practical expedient ⁽¹⁾										3,598
Securities lending obligation ⁽²⁾										(216		)
Other net plan assets ⁽³⁾										20
Total reported plan assets										$	6,284

⁽¹⁾

In 2017, the Company retrospectively adopted a new accounting standard for pension plans which eliminates the requirement to include investments in the fair value hierarchy for which fair value is measured using net asset value (“NAV”) per share practical expedient. As a result, certain pension plan investments that are measured at fair value using the NAV per share practical expedient have not been classified in the fair value hierarchy, including the related rollforward of Level 3 plan assets presented below. These investments comprised of $3.20 billion of equity investments and $402 million of limited partnerships.

⁽²⁾

The securities lending obligation represents the plan’s obligation to return securities lending collateral received under a securities lending program. The terms of the program allow both the plan and the counterparty the right and ability to redeem/return the securities loaned on short notice. Due to its relatively short-term nature, the outstanding balance of the obligation approximates fair value.


⁽³⁾	Other net plan assets represent interest and dividends receivable and net receivables related to settlements of investment transactions, such as purchases and sales.



Fair values of pension plan assets as of December 31, 2016
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Balance as of December 31, 2016
Equity securities	$	155		$	147		$	—		$	302
Fixed income securities:
U.S. government and agencies	30			285			—			315
Corporate	—			1,309			10			1,319
Short-term investments	144			121			—			265
Cash and cash equivalents	32			—			—			32
Free-standing derivatives:
Assets	(1		)	1			—			—
Total plan assets at fair value	$	360		$	1,863		$	10		2,233
% of total plan assets at fair value	16.1		%	83.4		%	0.5		%	100.0		%

Investments measured using the Net Asset Value practical expedient										3,525
Securities lending obligation										(158		)
Other net plan assets										50
Total reported plan assets										$	5,650

The fair values of pension plan assets are estimated using the same methodologies and inputs as those used to determine the fair values for the respective asset category of the Company. These methodologies and inputs are disclosed in Note 6.



Rollforward of level 3 plan assets during December 31, 2017
			Actual return on plan assets:
($ in millions)	Balance as of December 31, 2016		Relating to assets sold during the period		Relating to assets still held at the reporting date		Purchases, sales and settlements, net		Net transfers in and/or (out) of Level 3		Balance as of December 31, 2017
Equity securities	$	—	$	—	$	—	$	29	$	—	$	29
Fixed income securities:
Corporate	10		—		—		—		—		10
Total Level 3 plan assets	$	10	$	—	$	—	$	29	$	—	$	39



Rollforward of level 3 plan assets during December 31, 2016
			Actual return on plan assets:
($ in millions)	Balance as of December 31, 2015		Relating to assets sold during the period			Relating to assets still held at the reporting date		Purchases, sales and settlements, net			Net transfers in and/or (out) of Level 3		Balance as of December 31, 2016
Equity securities	$	1	$	(1	)	$	—	$	—		$	—	$	—
Fixed income securities:
Municipal	7		—			—		(7		)	—		—
Corporate	10		—			—		(5		)	5		10
Total Level 3 plan assets	$	18	$	(1	)	$	—	$	(12	)	$	5	$	10



Rollforward of level 3 plan assets during December 31, 2015
			Actual return on plan assets:
($ in millions)	Balance as of December 31, 2014		Relating to assets sold during the period		Relating to assets still held at the reporting date			Purchases, sales and settlements, net			Net transfers in and/or (out) of Level 3			Balance as of December 31, 2015
Equity securities	$	1	$	1	$	(1	)	$	—		$	—		$	1
Fixed income securities:
Municipal	14		—		—			(7		)	—			7
Corporate	12		—		—			—			(2		)	10
Total Level 3 plan assets	$	27	$	1	$	(1	)	$	(7	)	$	(2	)	$	18

The expected long-term rate of return on plan assets reflects the average rate of earnings expected on plan assets. The Company’s assumption for the expected long-term rate of return on plan assets is reviewed annually giving consideration to appropriate financial data including, but not limited to, the plan asset allocation, forward-looking expected returns for the period over which benefits will be paid, historical returns on plan assets and other relevant market data. Given the long-term forward looking nature of this assumption, the actual returns in any one year do not immediately result in a change. In giving consideration to the targeted plan asset allocation, the Company evaluated returns using the same sources it has used historically which include: historical average asset class returns from an independent nationally recognized vendor of this type of data blended together using the asset allocation policy weights for the Company’s pension plans; asset class return forecasts from a large global independent asset management firm that specializes in providing multi-asset class investment fund products which were blended together using the asset allocation policy weights; and expected portfolio returns from a proprietary simulation methodology of a widely recognized external investment consulting firm that performs asset allocation and actuarial services for corporate pension plan sponsors. This same methodology has been applied on a consistent basis each year. All of these were consistent with the Company’s weighted average long-term rate of return on plan assets assumption of 7.31% used for 2017 and 7.32% that will be used for 2018. The assumption for the primary qualified employee plan is 7.75% and the employee-agent plan is 5.75% for both years. The employee-agent plan assumption is lower than the primary qualified employee plan assumption due to a lower investment allocation to equity securities and a higher allocation to fixed income securities. As of the 2017 measurement date, the arithmetic average of the annual actual return on plan assets for the most recent 10 and 5 years was 6.8% and 9.9%, respectively.

Cash flows

There was no required cash contribution necessary to satisfy the minimum funding requirement under the Internal Revenue Code for the tax qualified pension plans as of December 31, 2017. The Company currently plans to contribute $133 million to its pension plans in 2018.

The Company contributed $23 million and $25 million to the postretirement benefit plans in 2017 and 2016, respectively. Contributions by participants were $12 million and $16 million in 2017 and 2016, respectively.



Estimated future benefit payments expected to be paid in the next 10 years
	As of December 31, 2017,
($ in millions)	Pension benefits		Postretirement benefits
2018	$	426	$	22
2019	463		24
2020	485		24
2021	514		25
2022	533		26
2023-2027	2,477		136
Total benefit payments	$	4,898	$	257

Allstate 401(k) Savings Plan

Employees of the Company, with the exception of those employed by the Company’s international, SquareTrade, Esurance and Answer Financial subsidiaries, are eligible to become members of the Allstate 401(k) Savings Plan (“Allstate Plan”). The Company’s contributions are based on the Company’s matching obligation. The Company is responsible for funding its anticipated contribution to the Allstate Plan, and may, at the discretion of management, use the ESOP to pre-fund certain portions. In connection with the Allstate Plan, the Company has a note from the ESOP with a principal balance of $2 million as of December 31, 2017. The ESOP note has a fixed interest rate of 7.9% and matures in 2019. The Company records dividends on the ESOP shares in retained income and all the shares held by the ESOP are included in basic and diluted weighted average common shares outstanding.

The Company’s contribution to the Allstate Plan was $81 million, $80 million and $79 million in 2017, 2016 and 2015, respectively. These amounts were reduced by the ESOP benefit.



ESOP benefit
	For the years December 31,
($ in millions)	2017			2016			2015
Interest expense recognized by ESOP	$	—		$	1		$	1
Less: dividends accrued on ESOP shares	(1		)	(3		)	(3		)
Cost of shares allocated	3			7			10
Compensation expense	2			5			8
Reduction of defined contribution due to ESOP	38			60			73
ESOP benefit	$	(36	)	$	(55	)	$	(65	)

The Company made $1 million, $2 million and $2 million in contributions to the ESOP in 2017, 2016 and 2015, respectively. As of December 31, 2017, total committed to be released, allocated and unallocated ESOP shares were 0.4 million, 38 million and 0.4 million, respectively.

Allstate’s Canadian, SquareTrade, Esurance and Answer Financial subsidiaries sponsor defined contribution plans for their eligible employees. Expense for these plans was $12 million, $10 million and $10 million in 2017, 2016 and 2015, respectively.

Equity Incentive Plans

12 Months Ended

Dec. 31, 2017

Equity Incentive Plans [Abstract]

Equity Incentive Plans



Note 18	Equity Incentive Plans

The Company currently has equity incentive plans under which the Company grants nonqualified stock options, restricted stock units and performance stock awards to certain employees and directors of the Company. The total compensation expense related to equity awards was $106 million, $80 million and $81 million and the total income tax benefits were $22 million, $28 million and $28 million for 2017, 2016 and 2015, respectively. Total cash received from the exercise of options was $178 million, $187 million and $187 million for 2017, 2016 and 2015, respectively. Total tax benefit realized on options exercised and the release of stock restrictions was $96 million, $61 million and $82 million for 2017, 2016 and 2015, respectively.

The Company records compensation expense related to awards under these plans over the shorter of the period in which the requisite service is rendered or retirement eligibility is attained. Compensation expense for performance share awards is based on the probable number of awards expected to vest using the performance level most likely to be achieved at the end of the performance period. As of December 31, 2017, total unrecognized compensation cost related to all nonvested awards was $84 million, of which $26 million related to nonqualified stock options which are expected to be recognized over the weighted average vesting period of 1.67 years, $25 million related to restricted stock units which are expected to be recognized over the weighted average vesting period of 1.82 years and $33 million related to performance stock awards which are expected to be recognized over the weighted average vesting period of 1.65 years.

Options are granted to employees with exercise prices equal to the closing share price of the Company’s common stock on the applicable grant date. Options granted to employees on or after February 18, 2014 vest ratably over a three-year period. Options granted prior to February 18, 2014 vest 50% on the second anniversary of the grant date and 25% on each of the third and fourth anniversaries of the grant date. Vesting is subject to continued service, except for employees who are retirement eligible and in certain other limited circumstances. Options may be exercised once vested and will expire no later than ten years after the date of grant.

Restricted stock units for directors vest immediately and convert into shares of stock on the earlier of the day of the third anniversary of the grant date or the date the director’s service terminates, unless a deferred period of restriction is elected. Restricted stock units granted to directors prior to June 1, 2016 convert upon leaving the board. Restricted stock units granted to employees on or after February 18, 2014 vest on the day prior to the third anniversary of the grant date. Awards granted to employees prior to February 18, 2014 vest 50% on the day prior to the second anniversary of the grant date and 25% on each of the days prior to the third and fourth anniversaries of the grant date. Restricted stock units granted to employees subsequently convert into shares of stock on the day of the respective anniversary of the grant date. Vesting is subject to continued service, except for employees who are retirement eligible and in certain other limited circumstances.

Performance stock awards vest into shares of stock on the day prior to the third anniversary of the grant date. Vesting of the number of performance stock awards earned based on the attainment of performance goals for each of the performance periods is subject to continued service, except for employees who are retirement eligible and in certain other limited circumstances, and achievement of performance goals. Performance stock awards subsequently convert into shares of stock in full the day of the anniversary of the grant date.

A total of 98.0 million shares of common stock were authorized to be used for awards under the plans, subject to adjustment in accordance with the plans’ terms. As of December 31, 2017, 18.3 million shares were reserved and remained available for future issuance under these plans. The Company uses its treasury shares for these issuances.

The fair value of each option grant is estimated on the date of grant using a binomial lattice model. The Company uses historical data to estimate option exercise and employee termination within the valuation model. In addition, separate groups of employees that have similar historical exercise behavior are considered separately for valuation purposes. The expected term of options granted is derived from the output of the binominal lattice model and represents the period of time that options granted are expected to be outstanding. The expected volatility of the price of the underlying shares is implied based on traded options and historical volatility of the Company’s common stock. The expected dividends were based on the current dividend yield of the Company’s stock as of the date of the grant. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant.



Option grant assumptions
	2017		2016		2015
Weighted average expected term	6.1 years		5.0 years		6.5 years
Expected volatility	15.7 - 32.7%		16.0 - 34.3%		16.0 - 37.8%
Weighted average volatility	21.0	%	24.3	%	24.7	%
Expected dividends	1.4 - 1.9%		1.9 - 2.1%		1.6 - 2.1%
Weighted average expected dividends	1.9	%	2.1	%	1.7	%
Risk-free rate	0.5 - 2.5%		0.2 - 2.4%		0.0 - 2.4%



Summary of option activity
	For the year ended December 31, 2017
	Number (in 000s)		Weighted average exercise price		Aggregate intrinsic value (in 000s)		Weighted average remaining contractual term (years)
Outstanding as of January 1, 2017	13,560		$	50.01
Granted	2,631		78.93
Exercised	(4,688	)	44.91
Forfeited	(229	)	70.85
Expired	(12	)	59.91
Outstanding as of December 31, 2017	11,262		58.46		$	520,900	6.5
Outstanding, net of expected forfeitures	11,140		58.27		517,276		6.5
Outstanding, exercisable (“vested”)	6,314		47.83		359,121		5.1

The weighted average grant date fair value of options granted was $14.60, $12.25 and $15.45 during 2017, 2016 and 2015, respectively. The intrinsic value, which is the difference between the fair value and the exercise price, of options exercised was $199 million, $119 million and $117 million during 2017, 2016 and 2015, respectively.



Changes in restricted stock units
	For the year ended December 31, 2017
	Number (in 000s)		Weighted average grant date fair value
Nonvested as of January 1, 2017	1,679		$	58.49
Granted	333		80.12
Vested	(718	)	51.42
Forfeited	(53	)	69.19
Nonvested as of December 31, 2017	1,241		67.93

The fair value of restricted stock units is based on the market value of the Company’s stock as of the date of the grant. The market value in part reflects the payment of future dividends expected. The weighted average grant date fair value of restricted stock units granted was $80.12, $63.51 and $69.25 during 2017, 2016 and 2015, respectively. The total fair value of restricted stock units vested was $58 million, $29 million and $63 million during 2017, 2016 and 2015, respectively.



Changes in performance stock awards
	For the year ended December 31, 2017
	Number (in 000s)		Weighted average grant date fair value
Nonvested as of January 1, 2017	919		$	61.50
Granted	458		78.47
Adjustment for performance achievement	(33	)	52.75
Vested	(213	)	52.52
Forfeited	(41	)	69.30
Nonvested as of December 31, 2017	1,090		70.35

The change in PSA’s comprises those initially granted in 2017 and the adjustment to previously granted PSA’s for performance achievement. The fair value of performance stock awards is based on the market value of the Company’s stock as of the date of the grant. The market value in part reflects the payment of future dividends expected. The weighted average grant date fair value of performance stock awards granted was $78.47, $62.32 and $70.37 during 2017, 2016 and 2015, respectively. The total fair value of performance stock awards vested was $17 million, $28 million and $56 million during 2017, 2016 and 2015, respectively.

Under the new employee share-based payment accounting standard adopted in 2017, the Company recognizes all tax effects related to share-based payments at settlement or expiration through the income statement. Prior to the adoption, the Company recognized excess tax effects through the statement of shareholders’ equity. The tax benefit recognized through the statement of shareholders’ equity related to tax deductions from stock option exercises was $23 million in each of 2016 and 2015. The tax benefit recognized through shareholders’ equity in 2016 and 2015 related to all stock-based compensation was $30 million and $46 million, respectively.

Supplemental Cash Flow Information

12 Months Ended

Dec. 31, 2017

Supplemental Cash Flow Information [Abstract]

Supplemental Cash Flow Information



Note 19	Supplemental Cash Flow Information

Non-cash investing activities include $106 million, $326 million and $131 million related to mergers and exchanges completed with equity securities and modifications of certain mortgage loans, fixed income securities and other investments in 2017, 2016 and 2015, respectively, and a $89 million obligation to fund a limited partnership investment in 2015. Non-cash financing activities include $43 million, $41 million and $74 million related to the issuance of Allstate common shares for vested equity awards in 2017, 2016 and 2015, respectively. Non-cash financing activities also include $90 million and $34 million related to debt acquired in conjunction with purchases of investments in 2017 and 2016, respectively.

Liabilities for collateral received in conjunction with the Company’s securities lending program were $1.12 billion, $1.12 billion and $829 million as of December 31, 2017, 2016 and 2015, respectively, and are reported in other liabilities and accrued expenses. Obligations to return cash collateral for OTC and cleared derivatives were $3 million, $5 million and $11 million as of December 31, 2017, 2016 and 2015, respectively, and are reported in other liabilities and accrued expenses or other investments.

The accompanying cash flows are included in cash flows from operating activities in the Consolidated Statements of Cash Flows along with the activities resulting from management of the proceeds, which for the years ended December 31 are as follows:



	For the years ended December 31,
($ in millions)	2017			2016			2015
Net change in proceeds managed
Net change in fixed income securities	$	259		$	(584	)	$	—
Net change in short-term investments	(255		)	295			(59		)
Operating cash flow provided (used)	4			(289		)	(59		)
Net change in cash	1			—			1
Net change in proceeds managed	$	5		$	(289	)	$	(58	)

Cash flows from operating activities
Net change in liabilities
Liabilities for collateral, beginning of year	$	(1,129	)	$	(840	)	$	(782	)
Liabilities for collateral, end of year	(1,124		)	(1,129		)	(840		)
Operating cash flow (used) provided	$	(5	)	$	289		$	58

Other Comprehensive Income

12 Months Ended

Dec. 31, 2017

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Other Comprehensive Income



Note 20	Other Comprehensive Income



Components of other comprehensive income (loss) on a pre-tax and after-tax basis
	For the years ended December 31,
($ in millions)	2017									2016									2015
	Pre-tax			Tax			After-tax			Pre-tax			Tax			After-tax			Pre-tax			Tax			After-tax
Unrealized net holding gains and losses arising during the period, net of related offsets	$	866		$	(304	)	$	562		$	486		$	(170	)	$	316		$	(1,896	)	$	663		$	(1,233	)
Less: reclassification adjustment of realized capital gains and losses	374			(131		)	243			(180		)	63			(117		)	112			(39		)	73
Unrealized net capital gains and losses	492			(173		)	319			666			(233		)	433			(2,008		)	702			(1,306		)
Unrealized foreign currency translation adjustments	72			(25		)	47			15			(5		)	10			(89		)	31			(58		)
Unrecognized pension and other postretirement benefit cost arising during the period	232			(79		)	153			(263		)	94			(169		)	(64		)	25			(39		)
Less: reclassification adjustment of net periodic cost recognized in operating costs and expenses	(237		)	83			(154		)	(100		)	35			(65		)	(134		)	47			(87		)
Unrecognized pension and other postretirement benefit cost	469			(162		)	307			(163		)	59			(104		)	70			(22		)	48
Other comprehensive income (loss)	$	1,033		$	(360	)	$	673		$	518		$	(179	)	$	339		$	(2,027	)	$	711		$	(1,316	)

Quarterly Results (unaudited)

12 Months Ended

Dec. 31, 2017

Quarterly Financial Information Disclosure [Abstract]

Quarterly Results (unaudited)



Note 21	Quarterly Results (unaudited)



	First Quarter				Second Quarter				Third Quarter				Fourth Quarter
($ in millions, except per share data)	2017		2016		2017		2016		2017		2016		2017		2016
Revenues	$	9,434	$	8,871	$	9,587	$	9,164	$	9,660	$	9,221	$	9,843	$	9,278
Net income applicable to common shareholders	666		217		550		242		637		491		1,220		811
Net income applicable to common shareholders earnings per common share - Basic	1.82		0.57		1.51		0.65		1.76		1.32		3.41		2.20
Net income applicable to common shareholders earnings per common share - Diluted	1.79		0.57		1.49		0.64		1.74		1.31		3.35		2.18

Schedule I - Summary of Investments Other than Investments in Related Parties

12 Months Ended

Dec. 31, 2017

Summary of Investments, Other than Investments in Related Parties [Abstract]

Schedule I — Summary of Investments Other than Investments in Related Parties



	As of December 31, 2017
($ in millions)	Cost/amortized cost		Fair value		Amount at which shown in the Balance Sheet
Type of investment
Fixed maturities:
Bonds:
United States government, government agencies and authorities	$	3,580	$	3,616	$	3,616
States, municipalities and political subdivisions	8,053		8,328		8,328
Foreign governments	1,005		1,021		1,021
Public utilities	5,655		5,988		5,988
All other corporate bonds	37,341		38,038		38,038
Asset-backed securities	1,266		1,272		1,272
Residential mortgage-backed securities	480		578		578
Commercial mortgage-backed securities	124		128		128
Redeemable preferred stocks	21		23		23
Total fixed maturities	57,525		$	58,992	58,992

Equity securities:
Common stocks:
Public utilities	84		$	99	99
Banks, trusts and insurance companies	565		725		725
Industrial, miscellaneous and all other	4,591		5,506		5,506
Nonredeemable preferred stocks	221		291		291
Total equity securities	5,461		$	6,621	6,621

Mortgage loans on real estate	4,534		$	4,732	4,534
Real estate (none acquired in satisfaction of debt)	468				468
Policy loans	905				905
Derivative instruments	127		$	127	127
Limited partnership interests	6,740				6,740
Other long-term investments	2,472				2,472
Short-term investments	1,944		$	1,944	1,944
Total investments	$	80,176			$	82,803

Schedule II - Condensed Financial Information of Registrant

12 Months Ended

Dec. 31, 2017

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Schedule II — Condensed Financial Information of Registrant

Schedule II — Condensed Financial Information of Registrant Statement of Operations



	Year Ended December 31,
($ in millions)	2017			2016			2015
Revenues
Investment income, less investment expense	$	10		$	11		$	8
Realized capital gains and losses	(2		)	2			—
Other income	36			55			66
	44			68			74

Expenses
Interest expense	334			295			292
Pension and other postretirement benefit expense	119			10			(15		)
Other operating expenses	50			28			34
	503			333			311

Loss from operations before income tax benefit and equity in net income of subsidiaries	(459		)	(265		)	(237		)

Income tax benefit	(92		)	(115		)	(108		)
Loss before equity in net income of subsidiaries	(367		)	(150		)	(129		)

Equity in net income of subsidiaries	3,556			2,027			2,300
Net income	3,189			1,877			2,171

Preferred stock dividends	116			116			116

Net income applicable to common shareholders	3,073			1,761			2,055

Other comprehensive income (loss), after-tax
Changes in:
Unrealized net capital gains and losses	319			433			(1,306		)
Unrealized foreign currency translation adjustments	47			10			(58		)
Unrecognized pension and other postretirement benefit cost	307			(104		)	48
Other comprehensive income (loss), after-tax	673			339			(1,316		)
Comprehensive income	$	3,862		$	2,216		$	855

See accompanying notes to condensed financial information and notes to consolidated financial statements.

The Allstate Corporation and Subsidiaries

Schedule II (Continued) — Condensed Financial Information of Registrant Statement of Financial Position



($ in millions, except par value data)	December 31,
	2017			2016
Assets
Investments in subsidiaries	$	29,126		$	26,929
Fixed income securities, at fair value (amortized cost $361 and $510)	362			513
Short-term investments, at fair value (amortized cost $171 and $219)	171			219
Cash	—			2
Receivable from subsidiaries	427			385
Deferred income taxes	124			348
Other assets	150			138
Total assets	$	30,360		$	28,534

Liabilities
Long-term debt	$	6,350		$	6,347
Pension and other postretirement benefit obligations	675			1,079
Deferred compensation	297			274
Notes due to subsidiaries	250			—
Dividends payable to shareholders	167			157
Other liabilities	70			104
Total liabilities	7,809			7,961

Shareholders’ equity
Preferred stock and additional capital paid-in, $1 par value, 25 million shares authorized, 72.2 thousand issued and outstanding, and $1,805 aggregate liquidation preference	1,746			1,746
Common stock, $.01 par value, 2.0 billion shares authorized and 900 million issued, 355 million and 366 million shares outstanding	9			9
Additional capital paid-in	3,313			3,303
Retained income	43,162			40,678
Deferred ESOP expense	(3		)	(6		)
Treasury stock, at cost (545 million and 534 million shares)	(25,982		)	(24,741		)
Accumulated other comprehensive income:
Unrealized net capital gains and losses	1,662			1,053
Unrealized foreign currency translation adjustments	(9		)	(50		)
Unrealized pension and other postretirement benefit cost	(1,347		)	(1,419		)
Total accumulated other comprehensive loss	306			(416		)
Total shareholders’ equity	22,551			20,573
Total liabilities and shareholders’ equity	$	30,360		$	28,534

See accompanying notes to condensed financial information and notes to consolidated financial statements.

The Allstate Corporation and Subsidiaries

Schedule II (Continued) — Condensed Financial Information of Registrant Statement of Cash Flows



($ in millions)	Years Ended December 31,
	2017			2016			2015
Cash flows from operating activities
Net income	$	3,189		$	1,877		$	2,171
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in net income of subsidiaries	(3,556		)	(2,027		)	(2,300		)
Dividends received from subsidiaries	1,671			1,874			2,300
Realized capital gains and losses	2			(2		)	—
Changes in:
Pension and other postretirement benefits	119			10			(15		)
Income taxes	35			13			77
Operating assets and liabilities	56			43			26
Net cash provided by operating activities	1,516			1,788			2,259

Cash flows from investing activities
Proceeds from sales of investments	880			389			399
Investment purchases	(748		)	(243		)	(4		)
Investment collections	13			60			—
Return of capital from subsidiaries	42			(1,500		)	50
Transfers to subsidiaries through intercompany loan agreement	—			(30		)	—
Change in short-term investments, net	48			58			397
Net cash provided (used in) by investing activities	235			(1,266		)	842

Cash flows from financing activities
Proceeds from borrowings from subsidiaries	300			—			—
Repayment of notes due to subsidiaries	(50		)	—			—
Proceeds from issuance of long-term debt	—			1,236			—
Repayment of long-term debt	—			(17		)	(20		)
Dividends paid on common stock	(525		)	(486		)	(483		)
Dividends paid on preferred stock	(116		)	(116		)	(116		)
Treasury stock purchases	(1,495		)	(1,337		)	(2,808		)
Shares reissued under equity incentive plans, net	135			164			130
Excess tax benefits on share-based payment arrangements	—			32			45
Other	(2		)	—			—
Net cash used in financing activities	(1,753		)	(524		)	(3,252		)

Net decrease in cash	(2		)	(2		)	(151		)
Cash at beginning of year	2			4			155
Cash at end of year	$	—		$	2		$	4

See accompanying notes to condensed financial information and notes to consolidated financial statements.

The Allstate Corporation and Subsidiaries

Schedule II (Continued) — Condensed Financial Information of Registrant

Notes to Condensed Financial Information

1. General

The financial statements of the Registrant should be read in conjunction with the consolidated financial statements and notes thereto included in Item 8. The long-term debt presented in Note 12 “Capital Structure” are direct obligations of the Registrant. A majority of the pension and other postretirement benefits plans presented in Note 17 “Benefit Plans” are direct obligations of the Registrant.

Participating subsidiaries fund the pension plans contributions under a master services cost sharing agreement. In addition, as a result of joint and several pension liability rules under the Internal Revenue Code and the Employee Retirement Income Security Act of 1974, as amended, many liabilities that arise in connection with pension plans are joint and several across all members of a controlled group of entities.

2. Notes due to subsidiaries

On December 11, 2017, the Registrant issued $125 million and $175 million notes, each with a rate of 1.59% and due on June 11, 2018, to its wholly owned subsidiaries Kennett Capital Inc. and Allstate Non-Insurance Holdings Inc (“ANIHI”), respectively. The proceeds of these issuances were used for cash management purposes. On December 20, 2017, the Registrant repaid $50 million to ANIHI.

3. Supplemental Disclosures of Cash Flow Information

The Registrant paid $331 million, $287 million and $289 million of interest on debt in 2017, 2016 and 2015, respectively.

- Definition

The entire disclosure for condensed financial information, including the financial position, cash flows, and the results of operations of the registrant (parent company) as of the same dates or for the same periods for which audited consolidated financial statements are being presented. Alternatively, the details of this disclosure can be reported by the specific parent company taxonomy elements, indicating the appropriate date and period contexts in an instance document.

+ References + Details

Schedule III - Supplementary Insurance Information

12 Months Ended

Dec. 31, 2017

Supplementary Insurance Information [Abstract]

Schedule III — Supplementary Insurance Information



($ in millions)	As of December 31,						For the years ended December 31,
Segment	Deferred policy acquisition costs		Reserves for claims and claims expense, contract benefits and contractholder funds		Unearned premiums		Premium revenue and contract charges			Net investment income ⁽¹⁾		Claims and claims expense, contract benefits and interest credited to contractholders			Amortization of deferred policy acquisition costs		Other operating costs and expenses			Premiums written (excluding life)
2017
Property-Liability
Allstate Protection	$	1,510	$	24,336	$	11,409	$	31,433				$	21,470		$	4,205	$	3,647		$	31,648
Discontinued Lines and Coverages	—		1,893		—		—					96			—		3			—
Total Property-Liability	1,510		26,229		11,409		31,433			$	1,478	21,566			4,205		3,650			31,648
Service Businesses ⁽²⁾	954		96		2,052		977			16		369			296		506			1,094
Allstate Life	1,152		10,244		4		1,280			489		1,047			134		240			—
Allstate Benefits	541		1,869		8		1,084			72		599			142		269			919
Allstate Annuities	34		19,870		—		14			1,305		967			7		35			—
Corporate and Other	—		—		—		—			41		—			—		631			—
Intersegment Eliminations ⁽²⁾	—		—		—		(110		)	—		(6		)	—		(104		)	—
Total	$	4,191	$	58,308	$	13,473	$	34,678		$	3,401	$	24,542		$	4,784	$	5,227		$	33,661
2016
Property-Liability
Allstate Protection	$	1,432	$	23,263	$	11,160	$	30,727				$	21,863		$	4,053	$	3,484		$	30,888
Discontinued Lines and Coverages	—		1,953		—		—					105			—		2			3
Total Property-Liability	1,432		25,216		11,160		30,727			$	1,253	21,968			4,053		3,486			30,891
Service Businesses ⁽²⁾	756		34		1,411		685			13		258			214		223			709
Allstate Life	1,200		10,042		4		1,250			482		1,027			131		226			—
Allstate Benefits	526		1,821		8		1,011			71		545			145		240			855
Allstate Annuities	40		20,636		—		14			1,181		1,011			7		32			—
Corporate and Other	—		—		—		—			42		—			—		324			—
Intersegment Eliminations ⁽²⁾	—		—		—		(105		)	—		(5		)	—		(100		)	—
Total	$	3,954	$	57,749	$	12,583	$	33,582		$	3,042	$	24,804		$	4,550	$	4,431		$	32,455
2015
Property-Liability
Allstate Protection	$	1,410	$	21,777	$	10,979	$	29,748				$	20,718		$	3,933	$	3,476		$	30,115
Discontinued Lines and Coverages	—		2,062		—		—					53			—		2			—
Total Property-Liability	1,410		23,839		10,979		29,748			$	1,226	20,771			3,933		3,478			30,115
Service Businesses ⁽²⁾	619		30		1,210		603			11		277			169		164			756
Allstate Life	1,271		9,895		4		1,223			490		1,031			133		213			—
Allstate Benefits	514		1,760		9		921			71		488			124		222			777
Allstate Annuities	47		21,887		—		14			1,323		1,045			5		37			—
Corporate and Other	—		—		—		—			35		—			—		326			—
Intersegment Eliminations ⁽²⁾	—		—		—		(42		)	—		(14		)	—		(28		)	—
Total	$	3,861	$	57,411	$	12,202	$	32,467		$	3,156	$	23,598		$	4,364	$	4,412		$	31,648


⁽¹⁾	A single investment portfolio supports both Allstate Protection and Discontinued Lines and Coverages segments.


⁽²⁾	Includes intersegment premiums and service fees and the related incurred losses and expenses that are eliminated in the consolidated financial statements.

Schedule IV - Reinsurance

12 Months Ended

Dec. 31, 2017

Supplemental Schedule of Reinsurance Premiums for Insurance Companies [Abstract]

Schedule IV — Reinsurance



($ in millions)	Gross amount		Ceded to other companies ⁽¹⁾		Assumed from other companies		Net amount		Percentage of amount assumed to net
Year ended December 31, 2017
Life insurance in force	$	188,186	$	86,642	$	259,671	$	361,215	71.9	%
Premiums and contract charges:
Life insurance	$	936	$	276	$	787	$	1,447	54.4	%
Accident and health insurance	958		27		—		931		—	%
Property and casualty insurance	33,221		971		50		32,300		0.2	%
Total premiums and contract charges	$	35,115	$	1,274	$	837	$	34,678	2.4	%
Year ended December 31, 2016
Life insurance in force	$	167,355	$	90,011	$	275,008	$	352,352	78.0	%
Premiums and contract charges:
Life insurance	$	877	$	279	$	818	$	1,416	57.8	%
Accident and health insurance	889		30		—		859		—	%
Property and casualty insurance	32,249		987		45		31,307		0.1	%
Total premiums and contract charges	$	34,015	$	1,296	$	863	$	33,582	2.6	%
Year ended December 31, 2015
Life insurance in force	$	156,486	$	93,326	$	280,644	$	343,804	81.6	%
Premiums and contract charges:
Life insurance	$	828	$	299	$	849	$	1,378	61.6	%
Accident and health insurance	813		33		—		780		—	%
Property and casualty insurance	31,274		1,006		41		30,309		0.1	%
Total premiums and contract charges	$	32,915	$	1,338	$	890	$	32,467	2.7	%


⁽¹⁾	No reinsurance or coinsurance income was netted against premium ceded in 2017, 2016 or 2015.

Schedule V - Valuation Allowances and Qualifying Accounts

12 Months Ended

Dec. 31, 2017

Valuation and Qualifying Accounts [Abstract]

Schedule V — Valuation Allowances and Qualifying Accounts



($ in millions)			Additions
Description	Balance as of beginning of period		Charged to costs and expenses			Other additions		Deductions		Balance as of end of period
Year ended December 31, 2017
Allowance for reinsurance recoverables	$	84	$	(10	)	$	—	$	4	$	70
Allowance for premium installment receivable	84		109			—		116		77
Allowance for deferred tax assets	—		—			—		—		—
Allowance for estimated losses on mortgage loans	3		1			—		1		3
Year ended December 31, 2016
Allowance for reinsurance recoverables	$	80	$	5		$	—	$	1	$	84
Allowance for premium installment receivable	90		107			—		113		84
Allowance for deferred tax assets	—		—			—		—		—
Allowance for estimated losses on mortgage loans	3		—			—		—		3
Year ended December 31, 2015
Allowance for reinsurance recoverables	$	95	$	(15	)	$	—	$	—	$	80
Allowance for premium installment receivable	83		107			—		100		90
Allowance for deferred tax assets	—		—			—		—		—
Allowance for estimated losses on mortgage loans	8		(4		)	—		1		3

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Basis of presentation

Risks and uncertainties

Investments

Derivative and embedded derivative financial instruments

Securities loaned

Recognition of premium revenues and contract charges, and related benefits and interest credited

Deferred policy acquisition and sales inducement costs

Reinsurance

Goodwill



Goodwill by reporting unit
($ in millions)	December 31, 2017
Allstate Protection	$	810
Service Businesses	1,100
Allstate Life	175
Allstate Benefits	96
Total	$	2,181

Property and equipment

Income taxes

Reserves for property-liability insurance claims and claims expense and life-contingent contract benefits

Reserve for property and casualty insurance claims and claims expense

Reserve for life-contingent contract benefits

Contractholder funds

Separate accounts

Legal contingencies

Deferred Employee Stock Ownership Plan ("ESOP") expense

Deferred Employee Stock Ownership Plan (“ESOP”) expense

Deferred ESOP expense represents the remaining unrecognized cost of shares acquired by the Allstate ESOP to pre-fund a portion of the Company’s contribution to the Allstate 401(k) Savings Plan.

Equity incentive plans

Off-balance sheet financial instruments

Consolidation of variable interest entities ("VIEs")

Consolidation of variable interest entities (“VIEs”)

Foreign currency translation

Earnings per common share

Accounting standards

Adopted accounting standards

Employee Share-Based Payment Accounting

Transition to Equity Method Accounting

Application of Income Tax Guidance to Certain U.S. Tax Reform Provisions

Pending accounting standards

Revenue from Contracts with Customers

Recognition and Measurement of Financial Assets and Financial Liabilities

Accounting for Leases

Measurement of Credit Losses on Financial Instruments

Goodwill Impairment

Presentation of Net Periodic Pension and Postretirement Benefits Costs

Accounting for Hedging Activities

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Schedule of Goodwill by reporting unit

The Company’s goodwill reporting units are equivalent to its reportable segments, Allstate Protection, Service Businesses, Allstate Life and Allstate Benefits to which goodwill has been assigned.



Goodwill by reporting unit
($ in millions)	December 31, 2017
Allstate Protection	$	810
Service Businesses	1,100
Allstate Life	175
Allstate Benefits	96
Total	$	2,181

Computation of basic and diluted earnings per common share



Computation of basic and diluted earnings per common share
	For the years ended December 31,
($ in millions, except per share data)	2017		2016		2015
Numerator:
Net income	$	3,189	$	1,877	$	2,171
Less: Preferred stock dividends	116		116		116
Net income applicable to common shareholders⁽¹⁾	$	3,073	$	1,761	$	2,055

Denominator:
Weighted average common shares outstanding	362.0		372.8		401.1
Effect of dilutive potential common shares:
Stock options	4.3		3.2		4.0
Restricted stock units (non-participating) and performance stock awards	1.5		1.3		1.7
Weighted average common and dilutive potential common shares outstanding	367.8		377.3		406.8

Earnings per common share – Basic	$	8.49	$	4.72	$	5.12
Earnings per common share – Diluted	$	8.36	$	4.67	$	5.05


⁽¹⁾	Net income applicable to common shareholders is net income less preferred stock dividends.

Acquisition (Tables)

12 Months Ended

Dec. 31, 2017

Business Combinations [Abstract]

Future amortization expense



Amortization expense of intangible assets for the next five years and thereafter
($ in millions)
2018	$	82
2019	72
2020	62
2021	52
2022	42
Thereafter	84
Total amortization	$	394

Reporting Segments (Tables)

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

Schedule of business segments revenue disclosures



Reportable segments revenue information
	For the years ended December 31,
($ in millions)	2017			2016			2015
Property-Liability
Insurance premiums
Auto	$	21,878		$	21,264		$	20,410
Homeowners	7,310			7,257			7,136
Other personal lines	1,750			1,700			1,692
Commercial lines	495			506			510
Allstate Protection	31,433			30,727			29,748
Discontinued Lines and Coverages	—			—			—
Total property-liability insurance premiums	31,433			30,727			29,748
Net investment income	1,478			1,253			1,226
Realized capital gains and losses	401			(6		)	(237		)
Total Property-Liability	33,312			31,974			30,737

Service Businesses
Consumer product protection plans	295			—			—
Roadside assistance	268			310			340
Finance and insurance products	304			270			221
Intersegment premiums and service fees ⁽¹⁾	110			105			42
Net investment income	16			13			11
Total Service Businesses	993			698			614

Allstate Life
Traditional life insurance premiums	568			533			505
Accident and health insurance premiums	2			2			2
Interest-sensitive life insurance contract charges	710			715			716
Net investment income	489			482			490
Realized capital gains and losses	5			(38		)	2
Total Allstate Life	1,774			1,694			1,715

Allstate Benefits
Traditional life insurance premiums	42			40			37
Accident and health insurance premiums	928			857			778
Interest-sensitive life insurance contract charges	114			114			106
Net investment income	72			71			71
Realized capital gains and losses	1			(5		)	1
Total Allstate Benefits	1,157			1,077			993

Allstate Annuities
Fixed annuities contract charges	14			14			14
Net investment income	1,305			1,181			1,323
Realized capital gains and losses	44			(38		)	264
Total Allstate Annuities	1,363			1,157			1,601

Corporate and Other
Net investment income	41			42			35
Realized capital gains and losses	(6		)	(3		)	—

Total Corporate and Other	35			39			35
Intersegment eliminations ⁽¹⁾	(110		)	(105		)	(42		)
Consolidated revenues	$	38,524		$	36,534		$	35,653

⁽¹⁾ Intersegment insurance premiums and service fees are primarily related to Arity and Allstate Roadside Services and are eliminated in the consolidated financial statements.

Schedule of business segments net income disclosures



Reportable segments financial performance
	For the years ended December 31,
($ in millions)	2017			2016			2015
Property-Liability
Allstate Protection	$	2,111		$	1,327		$	1,621
Discontinued Lines and Coverages	(99		)	(107		)	(55		)
Total underwriting income	2,012			1,220			1,566
Net investment income	1,478			1,253			1,226
Income tax expense on operations	(1,119		)	(812		)	(922		)
Realized capital gains and losses, after-tax	272			—			(154		)
Gain on disposition of operations, after-tax	9			—			—
Change in accounting for investments in qualified affordable housing projects	—			—			(28		)
Tax Legislation expense	(65		)	—			—
Property-Liability net income applicable to common shareholders	2,587			1,661			1,688

Service Businesses
Adjusted net (loss) income	(59		)	3			2
Amortization of purchased intangible assets, after-tax	(60		)	—			—
Tax Legislation benefit	134			—			—
Service Businesses net income applicable to common shareholders	15			3			2

Allstate Life
Adjusted net income	253			247			239
Realized capital gains and losses, after-tax	2			(24		)	1
DAC and DSI amortization related to realized capital gains and losses, after-tax	(10		)	(4		)	(4		)
Loss on disposition of operations, after-tax	—			—			(1		)
Change in accounting for investments in qualified affordable housing projects	—			—			(6		)
Tax Legislation benefit	332			—			—
Allstate Life net income applicable to common shareholders	577			219			229

Allstate Benefits
Adjusted net income	95			100			104
Realized capital gains and losses, after-tax	—			(4		)	—
Tax Legislation benefit	51			—			—
Allstate Benefits net income applicable to common shareholders	146			96			104

Allstate Annuities
Adjusted net income	204			101			166
Realized capital gains and losses, after-tax	28			(26		)	172
Valuation changes on embedded derivatives not hedged, after-tax	—			(2		)	(1		)
DAC and DSI amortization related to realized capital gains and losses and valuation changes on embedded derivatives not hedged, after-tax	—			—			1
Gain on disposition of operations, after-tax	4			3			3
Change in accounting for investments in qualified affordable housing projects	—			—			(11		)
Tax Legislation benefit	182			—			—
Allstate Annuities net income applicable to common shareholders	418			76			330

Corporate and Other
Adjusted net loss	(399		)	(292		)	(298		)
Realized capital gains and losses, after-tax	(4		)	(2		)	—
Goodwill impairment	(125		)	—			—
Business combination expenses, after-tax	(14		)	—			—
Tax Legislation expense	(128		)	—			—
Corporate and Other net loss applicable to common shareholders	(670		)	(294		)	(298		)

Consolidated net income applicable to common shareholders	$	3,073		$	1,761		$	2,055



Additional significant financial performance data
	For the years ended December 31,
($ in millions)	2017			2016			2015
Amortization of DAC
Property-Liability	$	4,205		$	4,053		$	3,933
Service Businesses	296			214			169
Allstate Life	134			131			133
Allstate Benefits	142			145			124
Allstate Annuities	7			7			5
Consolidated	$	4,784		$	4,550		$	4,364

Income tax expense (benefit)
Property-Liability	$	1,318		$	806		$	867
Service Businesses	(193		)	—			2
Allstate Life	(224		)	91			108
Allstate Benefits	1			51			55
Allstate Annuities	(58		)	36			188
Corporate and Other	(42		)	(107		)	(109		)
Consolidated	$	802		$	877		$	1,111



Impacts of Tax Legislation
	For the year ended December 31, 2017
($ in millions)	Income tax expense (benefit) before Tax Legislation			Tax Legislation expense (benefit)			Income tax expense (benefit) after Tax Legislation
Income tax expense (benefit)
Property-Liability	$	1,253		$	65		$	1,318
Service Businesses	(59		)	(134		)	(193		)
Allstate Life	108			(332		)	(224		)
Allstate Benefits	52			(51		)	1
Allstate Annuities	124			(182		)	(58		)
Corporate and Other	(170		)	128			(42		)
Consolidated	$	1,308		$	(506	)	$	802

Additional significant financial performance data



Additional significant financial performance data
	For the years ended December 31,
($ in millions)	2017			2016			2015
Amortization of DAC
Property-Liability	$	4,205		$	4,053		$	3,933
Service Businesses	296			214			169
Allstate Life	134			131			133
Allstate Benefits	142			145			124
Allstate Annuities	7			7			5
Consolidated	$	4,784		$	4,550		$	4,364

Income tax expense (benefit)
Property-Liability	$	1,318		$	806		$	867
Service Businesses	(193		)	—			2
Allstate Life	(224		)	91			108
Allstate Benefits	1			51			55
Allstate Annuities	(58		)	36			188
Corporate and Other	(42		)	(107		)	(109		)
Consolidated	$	802		$	877		$	1,111



Impacts of Tax Legislation
	For the year ended December 31, 2017
($ in millions)	Income tax expense (benefit) before Tax Legislation			Tax Legislation expense (benefit)			Income tax expense (benefit) after Tax Legislation
Income tax expense (benefit)
Property-Liability	$	1,253		$	65		$	1,318
Service Businesses	(59		)	(134		)	(193		)
Allstate Life	108			(332		)	(224		)
Allstate Benefits	52			(51		)	1
Allstate Annuities	124			(182		)	(58		)
Corporate and Other	(170		)	128			(42		)
Consolidated	$	1,308		$	(506	)	$	802

Summarized data for total assets and investments



Reportable segment total assets and investments as of December 31, 2017 ⁽¹⁾
($ in millions)
Assets ⁽²⁾
Property-Liability	$	60,197
Service Businesses	4,531
Allstate Life	14,107
Allstate Benefits	2,766
Allstate Annuities	28,836
Corporate and Other	1,985
Consolidated	$	112,422

Investments ⁽³⁾
Property-Liability	$	43,183
Service Businesses	954
Allstate Life	11,210
Allstate Benefits	1,776
Allstate Annuities	23,722
Corporate and Other	1,958
Consolidated	$	82,803


⁽¹⁾	The balances above reflect the elimination of related party investments between segments.

⁽²⁾

⁽³⁾

Investments (Tables)

12 Months Ended

Dec. 31, 2017

Investments [Abstract]

Schedule for fixed income securities at amortized cost, gross unrealized gains and losses and fair value



Amortized cost, gross unrealized gains and losses and fair value for fixed income securities
	Amortized cost		Gross unrealized					Fair value
($ in millions)	Amortized cost		Gains		Losses			Fair value
December 31, 2017
U.S. government and agencies	$	3,580	$	56	$	(20	)	$	3,616
Municipal	8,053		311		(36		)	8,328
Corporate	42,996		1,234		(204		)	44,026
Foreign government	1,005		27		(11		)	1,021
ABS	1,266		13		(7		)	1,272
RMBS	480		101		(3		)	578
CMBS	124		6		(2		)	128
Redeemable preferred stock	21		2		—			23
Total fixed income securities	$	57,525	$	1,750	$	(283	)	$	58,992

December 31, 2016
U.S. government and agencies	$	3,572	$	74	$	(9	)	$	3,637
Municipal	7,116		304		(87		)	7,333
Corporate	42,742		1,178		(319		)	43,601
Foreign government	1,043		36		(4		)	1,075
ABS	1,169		13		(11		)	1,171
RMBS	651		85		(8		)	728
CMBS	262		17		(9		)	270
Redeemable preferred stock	21		3		—			24
Total fixed income securities	$	56,576	$	1,710	$	(447	)	$	57,839

Schedule for fixed income securities based on contractual maturities



Scheduled maturities for fixed Income securities
	As of December 31, 2017
($ in millions)	Amortized cost		Fair value
Due in one year or less	$	4,771	$	4,783
Due after one year through five years	28,736		29,080
Due after five years through ten years	16,956		17,278
Due after ten years	5,192		5,873
	55,655		57,014
ABS, RMBS and CMBS	1,870		1,978
Total	$	57,525	$	58,992

Schedule of net investment income



Net investment income
	For the years ended December 31,
($ in millions)	2017			2016			2015
Fixed income securities	$	2,078		$	2,060		$	2,218
Equity securities	174			137			110
Mortgage loans	206			217			228
Limited partnership interests	889			561			549
Short-term investments	30			16			9
Other	236			222			192
Investment income, before expense	3,613			3,213			3,306
Investment expense	(212		)	(171		)	(150		)
Net investment income	$	3,401		$	3,042		$	3,156

Schedule of realized capital gains and losses by asset type



Realized capital gains and losses by asset type
	For the years ended December 31,
($ in millions)	2017			2016			2015
Fixed income securities	$	94		$	(91	)	$	212
Equity securities	255			23			(50		)
Mortgage loans	1			—			6
Limited partnership interests	132			(21		)	(93		)
Derivatives	(46		)	3			(21		)
Other	9			(4		)	(24		)
Realized capital gains and losses	$	445		$	(90	)	$	30

Schedule of realized capital gains and losses by transaction type



Realized capital gains and losses by transaction type
	For the years ended December 31,
($ in millions)	2017			2016			2015
Impairment write-downs	$	(102	)	$	(234	)	$	(195	)
Change in intent write-downs	(48		)	(69		)	(221		)
Net other-than-temporary impairment losses recognized in earnings	(150		)	(303		)	(416		)
Sales and other	641			213			470
Valuation and settlements of derivative instruments	(46		)	—			(24		)
Realized capital gains and losses	$	445		$	(90	)	$	30

Schedule of other-than-temporary impairment losses by asset type



Other-than-temporary impairment losses by asset type
	For the years ended December 31,
($ in millions)	2017									2016									2015
	Gross			Included in OCI			Net			Gross			Included in OCI			Net			Gross			Included in OCI			Net
Fixed income securities:
Municipal	$	(1	)	$	(3	)	$	(4	)	$	—		$	—		$	—		$	(17	)	$	4		$	(13	)
Corporate	(9		)	3			(6		)	(33		)	9			(24		)	(61		)	11			(50		)
ABS	(1		)	(2		)	(3		)	(6		)	—			(6		)	(33		)	22			(11		)
RMBS	(2		)	(3		)	(5		)	—			(1		)	(1		)	1			(1		)	—
CMBS	(9		)	1			(8		)	(15		)	2			(13		)	(1		)	—			(1		)
Total fixed income securities	(22		)	(4		)	(26		)	(54		)	10			(44		)	(111		)	36			(75		)
Equity securities	(86		)	—			(86		)	(194		)	—			(194		)	(279		)	—			(279		)
Mortgage loans	(1		)	—			(1		)	—			—			—			4			—			4
Limited partnership interests	(32		)	—			(32		)	(56		)	—			(56		)	(51		)	—			(51		)
Other	(5		)	—			(5		)	(9		)	—			(9		)	(15		)	—			(15		)
Other-than-temporary impairment losses	$	(146	)	$	(4	)	$	(150	)	$	(313	)	$	10		$	(303	)	$	(452	)	$	36		$	(416	)

Schedule of other-than-temporary impairment losses on fixed income securities included in Accumulated Other Comprehensive Income



OTTI losses included in AOCI at the time of impairment for fixed income securities
($ in millions)	December 31, 2017			December 31, 2016
Municipal	$	(5	)	$	(8	)
Corporate	—			(7		)
ABS	(15		)	(21		)
RMBS	(77		)	(90		)
CMBS	(4		)	(7		)
Total	$	(101	)	$	(133	)

Schedule of credit losses on fixed income securities recognized in earnings



Rollforward of the cumulative credit losses recognized in earnings for fixed income securities held
	As of December 31,
($ in millions)	2017			2016			2015
Beginning balance	$	(318	)	$	(392	)	$	(380	)
Additional credit loss for securities previously other-than-temporarily impaired	(18		)	(21		)	(30		)
Additional credit loss for securities not previously other-than-temporarily impaired	(8		)	(23		)	(45		)
Reduction in credit loss for securities disposed or collected	116			117			60
Change in credit loss due to accretion of increase in cash flows	2			1			3
Ending balance	$	(226	)	$	(318	)	$	(392	)

Schedule of unrealized net capital gains and losses



Unrealized net capital gains and losses included in AOCI
($ in millions)	Fair value		Gross unrealized					Unrealized net gains (losses)
December 31, 2017	Fair value		Gains		Losses			Unrealized net gains (losses)
Fixed income securities	$	58,992	$	1,750	$	(283	)	$	1,467
Equity securities ⁽¹⁾	6,621		1,172		(12		)	1,160
Short-term investments	1,944		—		—			—
Derivative instruments ⁽²⁾	2		2		(3		)	(1		)
EMA limited partnerships ⁽³⁾								1
Unrealized net capital gains and losses, pre-tax								2,627
Amounts recognized for:
Insurance reserves ⁽⁴⁾								(315		)
DAC and DSI ⁽⁵⁾								(196		)
Amounts recognized								(511		)
Deferred income taxes ⁽⁶⁾								(454		)
Unrealized net capital gains and losses, after-tax								$	1,662

⁽¹⁾


⁽²⁾	Included in the fair value of derivative instruments is $2 million classified as liabilities.


⁽³⁾	Unrealized net capital gains and losses for limited partnership interests represent the Company’s share of EMA limited partnerships’ other comprehensive income. Fair value and gross unrealized gains and losses are not applicable.


⁽⁴⁾	The insurance reserves adjustment represents the amount by which the reserve balance would increase if the net unrealized gains in the applicable product portfolios were realized and reinvested at current lower interest rates, resulting in a premium deficiency. This adjustment primarily relates to structured settlement annuities with life contingencies (a type of immediate fixed annuities).


⁽⁵⁾	The DAC and DSI adjustment balance represents the amount by which the amortization of DAC and DSI would increase or decrease if the unrealized gains or losses in the respective product portfolios were realized.


⁽⁶⁾	Unrealized net capital gains and losses were reduced by deferred income taxes at the newly enacted 21% U.S. corporate tax rate.



Unrealized net capital gains and losses included in AOCI
($ in millions)	Fair value		Gross unrealized					Unrealized net gains (losses)
December 31, 2016	Fair value		Gains		Losses			Unrealized net gains (losses)
Fixed income securities	$	57,839	$	1,710	$	(447	)	$	1,263
Equity securities	5,666		594		(85		)	509
Short-term investments	4,288		—		—			—
Derivative instruments ⁽¹⁾	5		5		(3		)	2
EMA limited partnerships								(4		)
Unrealized net capital gains and losses, pre-tax								1,770
Amounts recognized for:
Insurance reserves								—
DAC and DSI								(146		)
Amounts recognized								(146		)
Deferred income taxes ⁽²⁾								(571		)
Unrealized net capital gains and losses, after-tax								$	1,053


⁽¹⁾	Included in the fair value of derivative instruments is $5 million classified as assets.


⁽²⁾	Unrealized net capital gains and losses were reduced by deferred income taxes at the 35% corporate tax rate.

Schedule of change in unrealized net capital gains and losses



Change in unrealized net capital gains and losses
	For the years ended December 31,
($ in millions)	2017			2016			2015
Fixed income securities	$	204		$	516		$	(2,021	)
Equity securities	651			233			(136		)
Derivative instruments	(3		)	(4		)	8
EMA limited partnerships	5			—			1
Total	857			745			(2,148		)
Amounts recognized for:
Insurance reserves	(315		)	—			28
DAC and DSI	(50		)	(79		)	112
Amounts recognized	(365		)	(79		)	140
Deferred income taxes	117			(233		)	702
Increase (decrease) in unrealized net capital gains and losses, after-tax	$	609		$	433		$	(1,306	)

Schedule of gross unrealized losses and fair value of available for sale securities by length of time



Gross unrealized losses and fair value by type and length of time held in a continuous unrealized loss position
($ in millions)	Less than 12 months						12 months or more
	Number of issues	Fair value		Unrealized losses			Number of issues	Fair value		Unrealized losses			Total unrealized losses
December 31, 2017
Fixed income securities
U.S. government and agencies	66	$	2,829	$	(18	)	18	$	182	$	(2	)	$	(20	)
Municipal	1,756	3,143		(24		)	165	349		(12		)	(36		)
Corporate	781	11,616		(102		)	208	3,289		(102		)	(204		)
Foreign government	45	580		(10		)	5	44		(1		)	(11		)
ABS	57	476		(3		)	9	34		(4		)	(7		)
RMBS	118	35		(1		)	181	50		(2		)	(3		)
CMBS	2	1		—			6	23		(2		)	(2		)
Redeemable preferred stock	1	—		—			—	—		—			—
Total fixed income securities	2,826	18,680		(158		)	592	3,971		(125		)	(283		)
Equity securities	127	369		(12		)	2	—		—			(12		)
Total fixed income and equity securities	2,953	$	19,049	$	(170	)	594	$	3,971	$	(125	)	$	(295	)
Investment grade fixed income securities	2,706	$	17,668	$	(134	)	535	$	3,751	$	(98	)	$	(232	)
Below investment grade fixed income securities	120	1,012		(24		)	57	220		(27		)	(51		)
Total fixed income securities	2,826	$	18,680	$	(158	)	592	$	3,971	$	(125	)	$	(283	)

December 31, 2016
Fixed income securities
U.S. government and agencies	46	$	943	$	(9	)	—	$	—	$	—		$	(9	)
Municipal	1,310	3,073		(76		)	8	29		(11		)	(87		)
Corporate	862	13,343		(256		)	83	678		(63		)	(319		)
Foreign government	41	225		(4		)	—	—		—			(4		)
ABS	31	222		(1		)	14	109		(10		)	(11		)
RMBS	89	53		(1		)	179	91		(7		)	(8		)
CMBS	15	59		(4		)	4	15		(5		)	(9		)
Redeemable preferred stock	1	—		—			—	—		—			—
Total fixed income securities	2,395	17,918		(351		)	288	922		(96		)	(447		)
Equity securities	195	654		(56		)	46	165		(29		)	(85		)
Total fixed income and equity securities	2,590	$	18,572	$	(407	)	334	$	1,087	$	(125	)	$	(532	)
Investment grade fixed income securities	2,202	$	15,678	$	(293	)	201	$	493	$	(51	)	$	(344	)
Below investment grade fixed income securities	193	2,240		(58		)	87	429		(45		)	(103		)
Total fixed income securities	2,395	$	17,918	$	(351	)	288	$	922	$	(96	)	$	(447	)

Principal geographic distribution of commercial real estate represented in the mortgage portfolio



Principal geographic distribution of commercial real estate exceeding 5% of the mortgage loans portfolio
	As of December 31,
(% of mortgage loan portfolio carrying value)	2017		2016
California	19.9	%	19.3	%
Texas	13.0		10.5
New Jersey	7.6		8.2
Illinois	7.1		6.7
Florida	6.4		5.4



Types of properties collateralizing the mortgage loan portfolio
	As of December 31,
(% of mortgage loan portfolio carrying value)	2017		2016
Apartment complex	30.9	%	27.6	%
Office buildings	23.8		23.9
Retail	18.0		20.4
Warehouse	15.7		17.0
Other	11.6		11.1
Total	100.0	%	100.0	%

Types of property collateralizing the mortgage loans



Types of properties collateralizing the mortgage loan portfolio
	As of December 31,
(% of mortgage loan portfolio carrying value)	2017		2016
Apartment complex	30.9	%	27.6	%
Office buildings	23.8		23.9
Retail	18.0		20.4
Warehouse	15.7		17.0
Other	11.6		11.1
Total	100.0	%	100.0	%



Contractual maturities of the mortgage loan portfolio
	As of December 31, 2017
($ in millions)	Number of loans	Carrying value		Percent
2018	17	$	169	3.7	%
2019	10	268		5.9
2020	14	192		4.2
2021	43	625		13.8
Thereafter	201	3,280		72.4
Total	285	$	4,534	100.0	%

Contractual maturities of the commercial mortgage loan portfolio



Contractual maturities of the mortgage loan portfolio
	As of December 31, 2017
($ in millions)	Number of loans	Carrying value		Percent
2018	17	$	169	3.7	%
2019	10	268		5.9
2020	14	192		4.2
2021	43	625		13.8
Thereafter	201	3,280		72.4
Total	285	$	4,534	100.0	%

Carrying value of non-impaired fixed and variable rate mortgage loans by debt service coverage ratio distribution



Carrying value of non-impaired mortgage loans summarized by debt service coverage ratio distribution
	As of December 31,
($ in millions)	2017						2016
Debt Service Coverage Ratio Distribution	Fixed rate mortgage loans		Variable rate mortgage loans		Total		Fixed rate mortgage loans		Variable rate mortgage loans		Total
Below 1.0	$	3	$	—	$	3	$	60	$	—	$	60
1.0 - 1.25	345		—		345		324		—		324
1.26 - 1.50	1,141		30		1,171		1,293		—		1,293
Above 1.50	2,949		62		3,011		2,765		39		2,804
Total non-impaired mortgage loans	$	4,438	$	92	$	4,530	$	4,442	$	39	$	4,481

Net carrying value of impaired mortgage loans



Net carrying value of impaired mortgage loans
	As of December 31,
($ in millions)	2017		2016
Impaired mortgage loans with a valuation allowance	$	4	$	5
Impaired mortgage loans without a valuation allowance	—		—
Total impaired mortgage loans	$	4	$	5
Valuation allowance on impaired mortgage loans	$	3	$	3

Valuation allowance on impaired mortgage loans



Rollforward of the valuation allowance on impaired mortgage loans
	For the years ended December 31,
($ in millions)	2017			2016		2015
Beginning balance	$	3		$	3	$	8
Net increase (decrease) in valuation allowance	1			—		(4		)
Charge offs	(1		)	—		(1		)
Ending balance	$	3		$	3	$	3

Principal geographic distribution of municipal bond

The Company maintains a diversified portfolio of municipal bonds.



Principal geographic distribution of municipal bond issuers exceeding 5% of the portfolio
	As of December 31,
(% of municipal bond portfolio carrying value)	2017		2016
Texas	9.6	%	10.0	%
California	7.0		7.2
New York	6.9		6.8
Florida	6.5		5.7
Washington	5.4		5.6
Michigan	4.2		5.4

Fair Value of Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

Schedule of assets and liabilities that are measured at fair value on a recurring and non-recurring basis



Assets and liabilities measured at fair value on a recurring and non-recurring basis
	As of December 31, 2017
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Counterparty and cash collateral netting			Balance as of December 31, 2017
Assets
Fixed income securities:
U.S. government and agencies	$	3,079		$	537		$	—					$	3,616
Municipal	—			8,227			101						8,328
Corporate - public	—			31,963			108						32,071
Corporate - privately placed	—			11,731			224						11,955
Foreign government	—			1,021			—						1,021
ABS - CDO	—			480			99						579
ABS - consumer and other	—			645			48						693
RMBS	—			578			—						578
CMBS	—			102			26						128
Redeemable preferred stock	—			23			—						23
Total fixed income securities	3,079			55,307			606						58,992
Equity securities	6,032			379			210						6,621
Short-term investments	264			1,660			20						1,944
Other investments: Free-standing derivatives	—			132			1			(6		)	127
Separate account assets	3,444			—			—						3,444
Other assets	—			—			—						—
Total recurring basis assets	12,819			57,478			837			(6		)	71,128
Non-recurring basis ⁽¹⁾	—			—			3						3
Total assets at fair value	$	12,819		$	57,478		$	840		$	(6	)	$	71,131
% of total assets at fair value	18.0		%	80.8		%	1.2		%	—		%	100.0		%

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(286	)				$	(286	)
Other liabilities: Free-standing derivatives	(1		)	(83		)	—			$	14		(70		)
Total liabilities at fair value	$	(1	)	$	(83	)	$	(286	)	$	14		$	(356	)
% of total liabilities at fair value	0.3		%	23.3		%	80.3		%	(3.9		)%	100.0		%


⁽¹⁾	Includes $3 million of limited partnership interests written-down to fair value in connection with recognizing other-than-temporary impairments.



Assets and liabilities measured at fair value on a recurring and non-recurring basis
	As of December 31, 2016
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Counterparty and cash collateral netting			Balance as of December 31, 2016
Assets
Fixed income securities:
U.S. government and agencies	$	2,918		$	719		$	—					$	3,637
Municipal	—			7,208			125						7,333
Corporate - public	—			31,414			78						31,492
Corporate - privately placed	—			11,846			263						12,109
Foreign government	—			1,075			—						1,075
ABS - CDO	—			650			27						677
ABS - consumer and other	—			452			42						494
RMBS	—			727			1						728
CMBS	—			248			22						270
Redeemable preferred stock	—			24			—						24
Total fixed income securities	2,918			54,363			558						57,839
Equity securities	5,247			256			163						5,666
Short-term investments	850			3,423			15						4,288
Other investments: Free-standing derivatives	—			119			1			(9		)	111
Separate account assets	3,393			—			—						3,393
Other assets	—			—			1						1
Total recurring basis assets	12,408			58,161			738			(9		)	71,298
Non-recurring basis ⁽¹⁾	—			—			24						24
Total assets at fair value	$	12,408		$	58,161		$	762		$	(9	)	$	71,322
% of total assets at fair value	17.4		%	81.5		%	1.1		%	—		%	100.0		%

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(290	)				$	(290	)
Other liabilities: Free-standing derivatives	(1		)	(68		)	(3		)	$	28		(44		)
Total liabilities at fair value	$	(1	)	$	(68	)	$	(293	)	$	28		$	(334	)
% of total liabilities at fair value	0.3		%	20.4		%	87.7		%	(8.4		)%	100.0		%


⁽¹⁾	Includes $24 million of limited partnership interests written-down to fair value in connection with recognizing other-than-temporary impairments.

Summary of quantitative information about the significant unobservable inputs



Quantitative information about the significant unobservable inputs used in Level 3 fair value measurements
($ in millions)	Fair value			Valuation technique	Unobservable input	Range	Weighted average
December 31, 2017
Derivatives embedded in life and annuity contracts – Equity-indexed and forward starting options	$	(252	)	Stochastic cash flow model	Projected option cost	1.0 - 2.2%	1.74%

December 31, 2016
Derivatives embedded in life and annuity contracts – Equity-indexed and forward starting options	$	(247	)	Stochastic cash flow model	Projected option cost	1.0 - 2.2%	1.75%

Schedule of the rollforward of Level 3 assets and liabilities held at fair value on a recurring basis



Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period
				December 31, 2017
	Balance as of December 31, 2016			Total gains (losses) included in:						Transfers into Level 3			Transfers out of Level 3
($ in millions)	Balance as of December 31, 2016			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
Municipal	$	125		$	(1	)	$	7		$	—		$	(6	)
Corporate - public	78			—			—			4			(30		)
Corporate - privately placed	263			8			(2		)	30			(49		)
ABS - CDO	27			—			6			60			(190		)
ABS - consumer and other	42			—			—			—			(90		)
RMBS	1			—			—			—			—
CMBS	22			—			—			—			—
Total fixed income securities	558			7			11			94			(365		)
Equity securities	163			13			4			—			(4		)
Short-term investments	15			—			—			—			—
Free-standing derivatives, net	(2		)	3			—			—			—
Other assets	1			(1		)	—			—			—
Total recurring Level 3 assets	$	735		$	22		$	15		$	94		$	(369	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(290	)	$	—		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(290	)	$	—		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of December 31, 2017
Assets
Fixed income securities:
Municipal	$	8		$	(29	)	$	—		$	(3	)	$	101
Corporate - public	60			—			—			(4		)	108
Corporate - privately placed	44			(30		)	—			(40		)	224
ABS - CDO	219			—			—			(23		)	99
ABS - consumer and other	103			—			—			(7		)	48
RMBS	—			—			—			(1		)	—
CMBS	6			—			—			(2		)	26
Total fixed income securities	440			(59		)	—			(80		)	606
Equity securities	48			(14		)	—			—			210
Short-term investments	45			(40		)	—			—			20
Free-standing derivatives, net	—			—			—			—			1			⁽²	⁾
Other assets	—			—			—			—			—
Total recurring Level 3 assets	$	533		$	(113	)	$	—		$	(80	)	$	837
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(2	)	$	6		$	(286	)
Total recurring Level 3 liabilities	$	—		$	—		$	(2	)	$	6		$	(286	)


⁽¹⁾	The effect to net income totals $22 million and is reported in the Consolidated Statements of Operations as follows: $4 million in realized capital gains and losses, $19 million in net investment income, $(10) million in interest credited to contractholder funds and $9 million in life contract benefits.


⁽²⁾	Comprises $1 million of assets.



Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period
				December 31, 2016
	Balance as of December 31, 2015			Total gains (losses) included in:						Transfers into Level 3			Transfers out of Level 3
($ in millions)	Balance as of December 31, 2015			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
U.S. government and agencies	$	5		$	—		$	—		$	—		$	(4	)
Municipal	161			12			(10		)	6			(23		)
Corporate - public	46			—			—			41			(43		)
Corporate - privately placed	502			15			18			16			(398		)
ABS - CDO	61			1			6			10			(43		)
ABS - consumer and other	50			—			(3		)	3			(35		)
RMBS	1			1			—			—			—
CMBS	20			—			—			—			(1		)
Total fixed income securities	846			29			11			76			(547		)
Equity securities	133			(32		)	12			—			(12		)
Short-term investments	—			—			—			—			—
Free-standing derivatives, net	(7		)	6			—			—			—
Other assets	1			—			—			—			—
Total recurring Level 3 assets	$	973		$	3		$	23		$	76		$	(559	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(299	)	$	5		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(299	)	$	5		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of December 31, 2016
Assets
Fixed income securities:
U.S. government and agencies	$	—		$	—		$	—		$	(1	)	$	—
Municipal	22			(40		)	—			(3		)	125
Corporate - public	47			(11		)	—			(2		)	78
Corporate - privately placed	181			(15		)	—			(56		)	263
ABS - CDO	40			(3		)	—			(45		)	27
ABS - consumer and other	35			(5		)	—			(3		)	42
RMBS	—			(1		)	—			—			1
CMBS	5			—			—			(2		)	22
Total fixed income securities	330			(75		)	—			(112		)	558
Equity securities	65			(4		)	—			1			163
Short-term investments	15			—			—			—			15
Free-standing derivatives, net	—			—			—			(1		)	(2		)	⁽²⁾
Other assets	—			—			—			—			1
Total recurring Level 3 assets	$	410		$	(79	)	$	—		$	(112	)	$	735
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(3	)	$	7		$	(290	)
Total recurring Level 3 liabilities	$	—		$	—		$	(3	)	$	7		$	(290	)


⁽¹⁾	The effect to net income totals $8 million and is reported in the Consolidated Statements of Operations as follows: $(9) million in realized capital gains and losses, $12 million in net investment income, $(4) million in interest credited to contractholder funds and $9 million in life contract benefits.


⁽²⁾	Comprises $1 million of assets and $3 million of liabilities.



Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period
				December 31, 2015
				Total gains (losses) included in:
($ in millions)	Balance as of December 31, 2014			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
U.S. government and agencies	$	6		$	—		$	—		$	—		$	—
Municipal	270			(4		)	(7		)	3			(2		)
Corporate - public	214			—			—			—			(175		)
Corporate - privately placed	677			13			(20		)	13			(106		)
ABS - CDO	104			(1		)	4			43			(52		)
ABS - consumer and other	92			(1		)	—			—			(98		)
RMBS	1			—			—			—			—
CMBS	23			—			—			—			—
Total fixed income securities	1,387			7			(23		)	59			(433		)
Equity securities	83			(3		)	(5		)	—			—
Short-term investments	5			—			—			—			—
Free-standing derivatives, net	(7		)	1			—			—			—
Other assets	1			—			—			—			—
Total recurring Level 3 assets	$	1,469		$	5		$	(28	)	$	59		$	(433	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(323	)	$	19		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(323	)	$	19		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of December 31, 2015
Assets
Fixed income securities:
U.S. government and agencies	$	—		$	—		$	—		$	(1	)	$	5
Municipal	—			(91		)	—			(8		)	161
Corporate - public	11			—			—			(4		)	46
Corporate - privately placed	79			(74		)	—			(80		)	502
ABS - CDO	—			(2		)	—			(35		)	61
ABS - consumer and other	70			(5		)	—			(8		)	50
RMBS	—			—			—			—			1
CMBS	12			—			—			(15		)	20
Total fixed income securities	172			(172		)	—			(151		)	846
Equity securities	69			(11		)	—			—			133
Short-term investments	35			(40		)	—			—			—
Free-standing derivatives, net	—			—			—			(1		)	(7		)	⁽²⁾
Other assets	—			—			—			—			1
Total recurring Level 3 assets	$	276		$	(223	)	$	—		$	(152	)	$	973
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(2	)	$	7		$	(299	)
Total recurring Level 3 liabilities	$	—		$	—		$	(2	)	$	7		$	(299	)


⁽¹⁾	The effect to net income totals $24 million and is reported in the Consolidated Statements of Operations as follows: $(8) million in realized capital gains and losses, $13 million in net investment income, $26 million in interest credited to contractholder funds and $(7) million in life contract benefits.


⁽²⁾	Comprises $1 million of assets and $8 million of liabilities.

Schedule of gains and losses included in net income for Level 3 assets and liabilities still held at the balance sheet date



Change in unrealized gains and losses included in net income for level 3 assets and liabilities held as of
	December 31,
($ in millions)	2017			2016			2015
Assets
Fixed income securities:
Municipal	$	(3	)	$	2		$	(12	)
Corporate	1			2			11
ABS	—			—			2
Total fixed income securities	(2		)	4			1
Equity securities	13			(32		)	(4		)
Free-standing derivatives, net	—			5			1
Other assets	(1		)	—			—
Total recurring Level 3 assets	$	10		$	(23	)	$	(2	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	5		$	19
Total recurring Level 3 liabilities	$	—		$	5		$	19

Schedule of carrying values and fair value estimates of financial instruments not carried at fair value



Carrying values and fair value estimates of financial instruments not carried at fair value
	As of December 31, 2017				As of December 31, 2016
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Contractholder funds on investment contracts	$	10,367	$	11,071	$	11,313	$	12,009
Long-term debt	6,350		7,199		6,347		6,920
Liability for collateral	1,124		1,124		1,129		1,129



Carrying values and fair value estimates of financial instruments not carried at fair value
	As of December 31, 2017				As of December 31, 2016
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Mortgage loans	$	4,534	$	4,732	$	4,486	$	4,514
Cost method limited partnerships ⁽¹⁾	1,327		1,569		1,282		1,493
Bank loans	1,702		1,704		1,669		1,677
Agent loans	538		536		467		467

⁽¹⁾

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

+ References + Details

Derivative Financial Instruments and Off-balance sheet Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2017

Derivative Financial Instruments and Off-balance sheet Financial Instruments

Volume and fair value positions of derivative instruments and location in the Consolidated Statement of Financial Position



Summary of the volume and fair value positions of derivative instruments as of December 31, 2017
		Volume ⁽¹⁾
($ in millions, except number of contracts)	Balance sheet location	Notional amount		Number of contracts	Fair value, net			Gross asset		Gross liability
Asset derivatives
Derivatives not designated as accounting hedging instruments
Interest rate contracts
Interest rate cap agreements	Other investments	$	15	n/a	$	—		$	—	$	—
Equity and index contracts
Options	Other investments	—		6,316	125			125		—
Financial futures contracts	Other assets	—		289	—			—		—
Foreign currency contracts
Foreign currency forwards	Other investments	52		n/a	1			1		—
Credit default contracts
Credit default swaps – buying protection	Other investments	105		n/a	(1		)	—		(1		)
Credit default swaps – selling protection	Other investments	80		n/a	1			1		—
Other contracts
Other contracts	Other assets	3		n/a	—			—		—
Total asset derivatives		$	255	6,605	$	126		$	127	$	(1	)

Liability derivatives
Derivatives designated as accounting hedging instruments
Foreign currency swap agreements	Other liabilities & accrued expenses	$	19	n/a	$	2		$	2	$	—
Derivatives not designated as accounting hedging instruments
Interest rate contracts
Interest rate cap agreements	Other liabilities & accrued expenses	30		n/a	1			1		—
Equity and index contracts
Options and futures	Other liabilities & accrued expenses	—		7,128	(58		)	—		(58		)
Foreign currency contracts
Foreign currency forwards	Other liabilities & accrued expenses	650		n/a	(17		)	3		(20		)
Embedded derivative financial instruments
Guaranteed accumulation benefits	Contractholder funds	225		n/a	(22		)	—		(22		)
Guaranteed withdrawal benefits	Contractholder funds	274		n/a	(12		)	—		(12		)
Equity-indexed and forward starting options in life and annuity product contracts	Contractholder funds	1,774		n/a	(252		)	—		(252		)
Credit default contracts
Credit default swaps – buying protection	Other liabilities & accrued expenses	136		n/a	(5		)	—		(5		)
Credit default swaps – selling protection	Other liabilities & accrued expenses	25		n/a	—			—		—
Subtotal		3,114		7,128	(365		)	4		(369		)
Total liability derivatives		3,133		7,128	(363		)	$	6	$	(369	)
Total derivatives		$	3,388	13,733	$	(237	)


⁽¹⁾	Volume for OTC and cleared derivative contracts is represented by their notional amounts. Volume for exchange traded derivatives is represented by the number of contracts, which is the basis on which they are traded. (n/a = not applicable)



Summary of the volume and fair value positions of derivative instruments as of December 31, 2016
		Volume ⁽¹⁾
($ in millions, except number of contracts)	Balance sheet location	Notional amount		Number of contracts	Fair value, net			Gross asset		Gross liability
Asset derivatives
Derivatives designated as accounting hedging instruments
Foreign currency swap agreements	Other investments	$	49	n/a	$	5		$	5	$	—
Derivatives not designated as accounting hedging instruments
Interest rate contracts
Interest rate cap agreements	Other investments	65		n/a	1			1		—
Equity and index contracts
Options	Other investments	—		3,972	88			88		—
Financial futures contracts	Other assets	—		261	—			—		—
Foreign currency contracts
Foreign currency forwards	Other investments	759		n/a	—			24		(24		)
Credit default contracts
Credit default swaps – buying protection	Other investments	87		n/a	(4		)	—		(4		)
Credit default swaps – selling protection	Other investments	140		n/a	2			2		—
Other contracts
Other contracts	Other assets	3		n/a	1			1		—
Subtotal		1,054		4,233	88			116		(28		)
Total asset derivatives		$	1,103	4,233	$	93		$	121	$	(28	)

Liability derivatives
Derivatives not designated as accounting hedging instruments
Equity and index contracts
Options and futures	Other liabilities & accrued expenses	$	—	4,848	$	(39	)	$	—	$	(39	)
Embedded derivative financial instruments
Guaranteed accumulation benefits	Contractholder funds	391		n/a	(34		)	—		(34		)
Guaranteed withdrawal benefits	Contractholder funds	290		n/a	(9		)	—		(9		)
Equity-indexed and forward starting options in life and annuity product contracts	Contractholder funds	1,751		n/a	(247		)	—		(247		)
Credit default contracts
Credit default swaps – buying protection	Other liabilities & accrued expenses	136		n/a	(2		)	—		(2		)
Credit default swaps – selling protection	Other liabilities & accrued expenses	105		n/a	(3		)	—		(3		)
Total liability derivatives		2,673		4,848	(334		)	$	—	$	(334	)
Total derivatives		$	3,776	9,081	$	(241	)


⁽¹⁾	Volume for OTC and cleared derivative contracts is represented by their notional amounts. Volume for exchange traded derivatives is represented by the number of contracts, which is the basis on which they are traded. (n/a = not applicable)

Schedule of gross and net amount for the Company's OTC derivatives subject to enforceable master netting arrangements



Gross and net amounts for OTC derivatives ⁽¹⁾
				Offsets
($ in millions)	Gross amount			Counter- party netting			Cash collateral (received) pledged		Net amount on balance sheet			Securities collateral (received) pledged			Net amount
December 31, 2017
Asset derivatives	$	8		$	(7	)	$	1	$	2		$	—		$	2
Liability derivatives	(26		)	7			7		(12		)	3			(9		)

December 31, 2016
Asset derivatives	$	31		$	(28	)	$	19	$	22		$	(9	)	$	13
Liability derivatives	(33		)	28			—		(5		)	4			(1		)


⁽¹⁾	All OTC derivatives are subject to enforceable master netting agreements.

Impacts on operations and AOCI from foreign currency contracts, cash flow hedges



Summary of the impacts of the foreign currency contracts in cash flow hedging relationships
	For the years ended December 31,
($ in millions)	2017			2016		2015
(Loss) gain recognized in OCI on derivatives during the period	$	(2	)	$	—	$	10
(Loss) gain recognized in OCI on derivatives during the term of the hedging relationship	(1		)	2		6
Gain (loss) reclassified from AOCI into income (net investment income)	1			1		(1		)
Gain reclassified from AOCI into income (realized capital gains and losses)	—			3		3

Gains and losses from valuation, settlements, and hedge ineffectiveness, fair value hedges and derivatives not designated as hedges



Gains and losses from valuation and settlements reported on derivatives not designated as accounting hedges
($ in millions)	Realized capital gains and losses			Life contract benefits			Interest credited to contractholder funds			Operating costs and expenses			Total gain (loss) recognized in net income on derivatives
2017
Equity and index contracts	$	(15	)	$	—		$	47		$	28		$	60
Embedded derivative financial instruments	—			9			(6		)	—			3
Foreign currency contracts	(27		)	—			—			6			(21		)
Credit default contracts	(4		)	—			—			—			(4		)
Total	$	(46	)	$	9		$	41		$	34		$	38

2016
Equity and index contracts	$	(12	)	$	—		$	18		$	19		$	25
Embedded derivative financial instruments	—			9			—			—			9
Foreign currency contracts	17			—			—			(35		)	(18		)
Credit default contracts	(5		)	—			—			—			(5		)
Total	$	—		$	9		$	18		$	(16	)	$	11

2015
Interest rate contracts	$	1		$	—		$	—		$	—		$	1
Equity and index contracts	1			—			(9		)	(1		)	(9		)
Embedded derivative financial instruments	—			(7		)	31			—			24
Foreign currency contracts	(24		)	—			—			(8		)	(32		)
Credit default contracts	(2		)	—			—			—			(2		)
Total	$	(24	)	$	(7	)	$	22		$	(9	)	$	(18	)

Counterparty credit exposure by counterparty credit rating



OTC derivatives counterparty credit exposure by counterparty credit rating
($ in millions)	2017							2016
Rating ⁽¹⁾	Number of counter-parties	Notional amount ⁽²⁾		Credit exposure ⁽²⁾		Exposure, net of collateral ⁽²⁾		Number of counter-parties	Notional amount ⁽²⁾		Credit exposure ⁽²⁾		Exposure, net of collateral ⁽²⁾
AA–	1	$	18	$	1	$	—	2	$	80	$	2	$	2
A+	3	90		3		1		5	698		20		9
A–	—	—		—		—		1	110		1		1
Total	4	$	108	$	4	$	1	8	$	888	$	23	$	12


⁽¹⁾	Rating is the lower of S&P or Moody’s ratings.


⁽²⁾	Only OTC derivatives with a net positive fair value are included for each counterparty.

Derivative instruments with credit features in a liability position, including fair value of assets and collateral netted against the liability



($ in millions)	2017			2016
Gross liability fair value of contracts containing credit-risk-contingent features	$	28		$	9
Gross asset fair value of contracts containing credit-risk-contingent features and subject to MNAs	(17		)	(7		)
Collateral posted under MNAs for contracts containing credit-risk-contingent features	(6		)	—
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	$	5		$	2

CDS notional amounts by credit rating and fair value of protection sold



CDS notional amounts by credit rating and fair value of protection sold
	Notional amount
($ in millions)	AA		A		BBB		BB and lower		Total		Fair value
December 31, 2017
Single name
Corporate debt	$	—	$	10	$	10	$	5	$	25	$	—
Index
Corporate debt	1		19		45		15		80		1
Total	$	1	$	29	$	55	$	20	$	105	$	1
December 31, 2016
Single name
Corporate debt	$	20	$	10	$	35	$	—	$	65	$	1
First-to-default Basket
Municipal	—		—		100		—		100		(3		)
Index
Corporate debt	1		19		50		10		80		1
Total	$	21	$	29	$	185	$	10	$	245	$	(1	)

Contractual amounts of off-balance-sheet financial instruments



Contractual amounts of off balance sheet financial instruments
	As of December 31,
($ in millions)	2017		2016
Commitments to invest in limited partnership interests	$	3,121	$	2,979
Private placement commitments	96		69
Other loan commitments	97		83

Reserve for Property-Liability Insurance Claims and Claims Expense (Tables)

12 Months Ended

Dec. 31, 2017

Reserve for Property-Liability Insurance Claims and Claims Expense

Activity in the reserve for property-liability insurance claims and claims expense



Rollforward of reserve for property and casualty insurance claims and claims expense
($ in millions)	2017			2016			2015
Balance as of January 1	$	25,250		$	23,869		$	22,923
Less reinsurance recoverables	6,184			5,892			5,694
Net balance as of January 1	19,066			17,977			17,229
SquareTrade acquisition as of January 3, 2017	17			—			—
Incurred claims and claims expense related to:
Current year	22,432			22,238			20,953
Prior years	(503		)	(17		)	81
Total incurred	21,929			22,221			21,034
Claims and claims expense paid related to:
Current year	14,194			14,222			13,660
Prior years	6,964			6,910			6,626
Total paid	21,158			21,132			20,286
Net balance as of December 31	19,854			19,066			17,977
Plus reinsurance recoverables	6,471			6,184			5,892
Balance as of December 31	$	26,325		$	25,250		$	23,869

Incurred and paid claims and claims expense

The information about incurred and paid claims development for the 2013 to 2017 years, and the average annual percentage payout of incurred claims by age as of December 31, 2017, is presented as required supplementary information.

Auto insurance – liability coverage



($ in millions, except number of reported claims)	Incurred claims and allocated claim adjustment expenses, net of reinsurance										IBNR reserves plus expected development on reported claims		Cumulative number of reported claims
	For the years ended December 31,										As of December 31, 2017
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	7,461	$	7,429	$	7,446	$	7,387	$	7,317	$	513	2,114,149
2014	—		7,889		7,955		7,882		7,785		951		2,194,476
2015	—		—		8,896		8,816		8,721		1,828		2,380,096
2016	—		—		—		9,169		8,926		3,149		2,387,023
2017	—		—		—		—		8,621		5,465		2,112,379
							Total		$	41,370

	Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance
	For the years ended December 31,
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	2,955	$	4,993	$	5,946	$	6,493	$	6,804
2014	—		3,177		5,322		6,265		6,834
2015	—		—		3,529		5,846		6,893
2016	—		—		—		3,491		5,777
2017	—		—		—		—		3,156
							Total		$	29,464
All outstanding liabilities before 2013, net of reinsurance									1,275
Liabilities for claims and claim adjustment expenses, net of reinsurance									$	13,181

Auto insurance – physical damage coverage



($ in millions, except number of reported claims)	Incurred claims and allocated claim adjustment expenses, net of reinsurance										IBNR reserves plus expected development on reported claims		Cumulative number of reported claims
	For the years ended December 31,										As of December 31, 2017
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	3,894	$	3,866	$	3,854	$	3,844	$	3,842	$	1	3,777,287
2014	—		4,308		4,296		4,270		4,273		3		4,144,310
2015	—		—		4,663		4,688		4,676		11		4,388,829
2016	—		—		—		5,136		5,058		19		4,426,714
2017	—		—		—		—		5,131		278		4,075,755
							Total		$	22,980

	Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance
	For the years ended December 31,
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	3,718	$	3,848	$	3,841	$	3,841	$	3,841
2014	—		4,148		4,281		4,273		4,270
2015	—		—		4,513		4,679		4,665
2016	—		—		—		4,895		5,039
2017	—		—		—		—		4,853
							Total		$	22,668
All outstanding liabilities before 2013, net of reinsurance									9
Liabilities for claims and claim adjustment expenses, net of reinsurance									$	321

Homeowners insurance



($ in millions, except number of reported claims)	Incurred claims and allocated claim adjustment expenses, net of reinsurance										IBNR reserves plus expected development on reported claims		Cumulative number of reported claims
	For the years ended December 31,										As of December 31, 2017
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	3,098	$	3,170	$	3,163	$	3,142	$	3,121	$	51	682,873
2014	—		3,608		3,651		3,653		3,621		88		765,001
2015	—		—		3,572		3,622		3,560		158		720,102
2016	—		—		—		3,972		4,001		319		809,045
2017	—		—		—		—		4,490		1,260		840,254
							Total		$	18,793

	Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance
	For the years ended December 31,
	(unaudited)		(unaudited)		(unaudited)		(unaudited)
Accident year	2013		2014		2015		2016		2017
2013	$	2,288	$	2,885	$	2,998	$	3,045	$	3,070
2014	—		2,736		3,365		3,481		3,533
2015	—		—		2,589		3,299		3,402
2016	—		—		—		2,950		3,682
2017	—		—		—		—		3,230
							Total		$	16,917
All outstanding liabilities before 2013, net of reinsurance									173
Liabilities for claims and claim adjustment expenses, net of reinsurance									$	2,049

Average annual percentage payout of incurred claims by age, net of reinsurance



Average annual percentage payout of incurred claims by age, net of reinsurance, as of December 31, 2017
	1 year		2 years		3 years		4 years		5 years
Auto insurance – physical damage coverage	96.6	%	3.2	%	(0.2	)%	—	%	—	%



Average annual percentage payout of incurred claims by age, net of reinsurance, as of December 31, 2017
	1 year		2 years		3 years		4 years		5 years
Auto insurance – liability coverage	40.2	%	27.4	%	12.5	%	8.0	%	4.7	%



Average annual percentage payout of incurred claims by age, net of reinsurance, as of December 31, 2017
	1 year		2 years		3 years		4 years		5 years
Homeowners insurance	74.6	%	18.6	%	2.9	%	1.3	%	0.7	%

Reconciliation of the net incurred claims and claims expense development



Reconciliation of the net incurred and paid claims development tables above to the reserve for property and casualty insurance claims and claims expense
($ in millions)	As of December 31, 2017
Net outstanding liabilities:
Allstate Protection
Auto insurance - Liability coverage	$	13,181
Auto insurance - Physical damage coverage	321
Homeowners insurance	2,049
Other personal lines	1,311
Commercial lines	593
Service Businesses	86
Discontinued Lines and Coverages ⁽¹⁾	1,335
Unallocated loss adjustment expenses	978
Net reserve for property and casualty insurance claims and claims expense	19,854

Reinsurance recoverable:
Allstate Protection
Auto insurance - Liability coverage	5,715
Auto insurance - Physical damage coverage	—
Homeowners insurance	23
Other personal lines	214
Commercial lines	20
Service Businesses	10
Discontinued Lines and Coverages	485
Unallocated loss adjustment expenses	4
Total reinsurance recoverable	6,471
Gross reserve for property and casualty insurance claims and claims expense	$	26,325


⁽¹⁾	Discontinued Lines and Coverages includes business in run-off. All of the claims primarily relate to accident years more than 30 years ago. IBNR reserves represent $733 million of the total reserves as of December 31, 2017.

Reserve for Life-Contingent Contract Benefits and Contractholder Funds (Tables)

12 Months Ended

Dec. 31, 2017

Reserve for Life-Contingent Contract Benefits and Contractholder Funds

Reserve for life-contingent contract benefits



Reserve for life-contingent contract benefits
	As of December 31,
($ in millions)	2017		2016
Immediate fixed annuities:
Structured settlement annuities	$	6,994	$	6,681
Other immediate fixed annuities	1,855		1,941
Traditional life insurance	2,722		2,643
Accident and health insurance	893		873
Other	85		101
Total reserve for life-contingent contract benefits	$	12,549	$	12,239

Key assumptions generally used in calculating the reserve for life-contingent contract benefits



Key assumptions generally used in calculating the reserve for life-contingent contract benefits
Product	Mortality	Interest rate	Estimation method
Structured settlement annuities	U.S. population with projected calendar year improvements; mortality rates adjusted for each impaired life based on reduction in life expectancy	Interest rate assumptions range from 2.9% to 9.0%	Present value of contractually specified future benefits
Other immediate fixed annuities	1983 group annuity mortality table with internal modifications; 1983 individual annuity mortality table; Annuity 2000 mortality table with internal modifications; Annuity 2000 mortality table; 1983 individual annuity mortality table with internal modifications	Interest rate assumptions range from 0% to 11.5%	Present value of expected future benefits based on historical experience
Traditional life insurance	Actual company experience plus loading	Interest rate assumptions range from 2.5% to 11.3%	Net level premium reserve method using the Company’s withdrawal experience rates; includes reserves for unpaid claims
Accident and health insurance	Actual company experience plus loading	Interest rate assumptions range from 3.0% to 7.0%	Unearned premium; additional contract reserves for mortality risk and unpaid claims
Other: Variable annuity guaranteed minimum death benefits⁽¹⁾	Annuity 2012 mortality table with internal modifications	Interest rate assumptions range from 2.0% to 5.8%	Projected benefit ratio applied to cumulative assessments


⁽¹⁾	In 2006, the Company disposed of substantially all of its variable annuity business through reinsurance agreements with The Prudential Insurance Company of America, a subsidiary of Prudential Financial, Inc. (collectively “Prudential”).

Contractholder funds



Contractholder funds
	As of December 31,
($ in millions)	2017		2016
Interest-sensitive life insurance	$	8,190	$	8,062
Investment contracts:
Fixed annuities	10,828		11,933
Other investment contracts	416		265
Total contractholder funds	$	19,434	$	20,260

Key contract provisions relating to contractholder funds



Key contract provisions of contractholder funds
Product	Interest rate	Withdrawal/surrender charges
Interest-sensitive life insurance	Interest rates credited range from 0% to 10.5% for equity-indexed life (whose returns are indexed to the S&P 500) and 1.0% to 6.0% for all other products	Either a percentage of account balance or dollar amount grading off generally over 20 years
Fixed annuities	Interest rates credited range from 0% to 9.8% for immediate annuities; (8.0)% to 12.3% for equity-indexed annuities (whose returns are indexed to the S&P 500); and 0.1% to 6.0% for all other products	Either a declining or a level percentage charge generally over ten years or less. Additionally, approximately 16.7% of fixed annuities are subject to market value adjustment for discretionary withdrawals
Other investment contracts: Guaranteed minimum income, accumulation and withdrawal benefits on variable ⁽¹⁾ and fixed annuities and secondary guarantees on interest-sensitive life insurance and fixed annuities	Interest rates used in establishing reserves range from 1.5% to 10.3%	Withdrawal and surrender charges are based on the terms of the related interest-sensitive life insurance or fixed annuity contract


⁽¹⁾	In 2006, the Company disposed of substantially all of its variable annuity business through reinsurance agreements with Prudential.

Contractholder funds activity



Contractholder funds activity
	For the years ended December 31,
($ in millions)	2017			2016			2015
Balance, beginning of year	$	20,260		$	21,295		$	22,529
Deposits	1,130			1,164			1,203
Interest credited	687			722			760
Benefits	(901		)	(966		)	(1,077		)
Surrenders and partial withdrawals	(999		)	(1,053		)	(1,278		)
Maturities of and interest payments on institutional products	—			(86		)	(1		)
Contract charges	(826		)	(829		)	(818		)
Net transfers from separate accounts	5			5			7
Other adjustments	78			8			(30		)
Balance, end of year	$	19,434		$	20,260		$	21,295

Variable annuity contracts with guarantees



($ in millions)	As of December 31,
	2017		2016
In the event of death
Separate account value	$	3,344	$	3,298
Net amount at risk ⁽¹⁾	$	454	$	585
Average attained age of contractholders	70 years		70 years
At annuitization (includes income benefit guarantees)
Separate account value	$	944	$	915
Net amount at risk ⁽²⁾	$	202	$	265
Weighted average waiting period until annuitization options available	None		None
For cumulative periodic withdrawals
Separate account value	$	253	$	267
Net amount at risk ⁽³⁾	$	10	$	10
Accumulation at specified dates
Separate account value	$	170	$	310
Net amount at risk ⁽⁴⁾	$	17	$	26
Weighted average waiting period until guarantee date	5 years		3 years


⁽¹⁾	Defined as the estimated current guaranteed minimum death benefit in excess of the current account balance as of the balance sheet date.


⁽²⁾	Defined as the estimated present value of the guaranteed minimum annuity payments in excess of the current account balance.


⁽³⁾	Defined as the estimated current guaranteed minimum withdrawal balance (initial deposit) in excess of the current account balance as of the balance sheet date.


⁽⁴⁾	Defined as the estimated present value of the guaranteed minimum accumulation balance in excess of the current account balance.

Liabilities for guarantees



Summary of liabilities for guarantees
($ in millions)	Liability for guarantees related to death benefits and interest-sensitive life products			Liability for guarantees related to income benefits		Liability for guarantees related to accumulation and withdrawal benefits		Total
Balance, December 31, 2016 ⁽¹⁾	$	244		$	44	$	77	$	365
Less reinsurance recoverables	101			40		43		184
Net balance as of December 31, 2016	143			4		34		181
Incurred guarantee benefits	34			—		11		45
Paid guarantee benefits	(2		)	—		—		(2		)
Net change	32			—		11		43
Net balance as of December 31, 2017	175			4		45		224
Plus reinsurance recoverables	87			25		34		146
Balance, December 31, 2017 ⁽²⁾	$	262		$	29	$	79	$	370

Balance, December 31, 2015 ⁽³⁾	$	223		$	68	$	75	$	366
Less reinsurance recoverables	106			64		52		222
Net balance as of December 31, 2015	117			4		23		144
Incurred guarantee benefits	26			—		11		37
Paid guarantee benefits	—			—		—		—
Net change	26			—		11		37
Net balance as of December 31, 2016	143			4		34		181
Plus reinsurance recoverables	101			40		43		184
Balance, December 31, 2016 ⁽¹⁾	$	244		$	44	$	77	$	365


⁽¹⁾	Included in the total liability balance as of December 31, 2016 are reserves for variable annuity death benefits of $100 million, variable annuity income benefits of $40 million, variable annuity accumulation benefits of $34 million, variable annuity withdrawal benefits of $9 million and other guarantees of $182 million.


⁽²⁾	Included in the total liability balance as of December 31, 2017 are reserves for variable annuity death benefits of $85 million, variable annuity income benefits of $26 million, variable annuity accumulation benefits of $22 million, variable annuity withdrawal benefits of $12 million and other guarantees of $225 million.


⁽³⁾	Included in the total liability balance as of December 31, 2015 are reserves for variable annuity death benefits of $105 million, variable annuity income benefits of $65 million, variable annuity accumulation benefits of $38 million, variable annuity withdrawal benefits of $14 million and other guarantees of $144 million.

Reinsurance (Tables)

12 Months Ended

Dec. 31, 2017

Reinsurance Disclosures [Abstract]

Effects of reinsurance on property-liability insurance premiums written and earned and life and annuity premiums and contract charges



Effects of reinsurance on property and casualty premiums written and earned and life premiums and contract charges
	For the years ended December 31,
($ in millions)	2017			2016			2015
Property and casualty insurance premiums written
Direct	$	33,685		$	32,614		$	31,924
Assumed	64			47			39
Ceded	(1,007		)	(1,061		)	(1,092		)
Property and casualty insurance premiums written, net of reinsurance	$	32,742		$	31,600		$	30,871

Property and casualty insurance premiums earned
Direct	$	33,221		$	32,249		$	31,274
Assumed	50			45			41
Ceded	(971		)	(987		)	(1,006		)
Property and casualty insurance premiums earned, net of reinsurance	$	32,300		$	31,307		$	30,309

Life premiums and contract charges
Direct	$	1,894		$	1,766		$	1,641
Assumed	787			818			849
Ceded	(303		)	(309		)	(332		)
Life premiums and contract charges, net of reinsurance	$	2,378		$	2,275		$	2,158

Summary of retention limits by period of policy issuance



Retention limits by period of policy issuance
Period		Retention limits
April 2015 through current		Single life: $2 million per life Joint life: no longer offered
April 2011 through March 2015		Single life: $5 million per life, $3 million age 70 and over, and $10 million for contracts that meet specific criteria Joint life: $8 million per life, and $10 million for contracts that meet specific criteria
July 2007 through March 2011		$5 million per life, $3 million age 70 and over, and $10 million for contracts that meet specific criteria
September 1998 through June 2007		$2 million per life, in 2006 the limit was increased to $5 million for instances when specific criteria were met
August 1998 and prior		Up to $1 million per life

Summary of reinsurance recoverables on paid and unpaid benefits



Reinsurance recoverables on paid and unpaid benefits
	As of December 31,
($ in millions)	2017		2016
Annuities	$	1,370	$	1,424
Life insurance	817		860
Other	167		184
Total	$	2,354	$	2,468

Deferred Policy Acquisition and Sales Inducement Costs (Tables)

12 Months Ended

Dec. 31, 2017

Deferred Policy Acquisition and Sales Inducement Costs

Schedule of deferred policy acquisition costs



Deferred policy acquisition costs activity
	For the years ended December 31,
($ in millions)	2017			2016			2015
Balance, beginning of year	$	3,954		$	3,861		$	3,525
SquareTrade acquisition	66			—			—
Acquisition costs deferred	5,001			4,717			4,596
Amortization charged to income	(4,784		)	(4,550		)	(4,364		)
Effect of unrealized gains and losses	(46		)	(74		)	104
Balance, end of year	$	4,191		$	3,954		$	3,861

Schedule of DSI activity for Allstate Financial



Deferred sales inducement costs activity ⁽¹⁾
	For the years ended December 31,
($ in millions)	2017			2016			2015
Balance, beginning of year	$	40		$	45		$	44
Sales inducements deferred	—			1			3
Amortization charged to income	(4		)	(5		)	(4		)
Effect of unrealized gains and losses	—			(1		)	2
Balance, end of year	$	36		$	40		$	45


⁽¹⁾	Deferred sales inducement costs primarily relate to fixed annuities and interest-sensitive life contracts.

Capital Structure (Tables)

12 Months Ended

Dec. 31, 2017

Capital Structure

Total debt outstanding



Total debt outstanding
	As of December 31,
($ in millions)	2017			2016
6.75% Senior Debentures, due 2018	$	176		$	176
7.45% Senior Notes, due 2019 ⁽¹⁾	317			317
Due after one year through five years	493			493
3.15% Senior Notes, due 2023 ⁽¹⁾	500			500
3.28% Senior Notes, due 2026 ⁽¹⁾	550			550
Due after five years through ten years	1,050			1,050
6.125% Senior Notes, due 2032 ⁽¹⁾	159			159
5.35% Senior Notes due 2033 ⁽¹⁾	323			323
5.55% Senior Notes due 2035 ⁽¹⁾	546			546
5.95% Senior Notes, due 2036 ⁽¹⁾	386			386
6.90% Senior Debentures, due 2038	165			165
5.20% Senior Notes, due 2042 ⁽¹⁾	62			62
4.50% Senior Notes, due 2043 ⁽¹⁾	500			500
4.20% Senior Notes, due 2046 ⁽¹⁾	700			700
5.10% Subordinated Debentures, due 2053	500			500
5.75% Subordinated Debentures, due 2053	800			800
6.125% Junior Subordinated Debentures, due 2067	224			224
6.50% Junior Subordinated Debentures, due 2067	500			500
Due after ten years	4,865			4,865

Long-term debt total principal	6,408			6,408
Debt issuance costs	(58		)	(61		)
Total long-term debt	6,350			6,347
Short-term debt ⁽²⁾	—			—
Total debt	$	6,350		$	6,347


⁽¹⁾	Senior Notes are subject to redemption at the Company’s option in whole or in part at any time at the greater of either 100% of the principal amount plus accrued and unpaid interest to the redemption date or the discounted sum of the present values of the remaining scheduled payments of principal and interest and accrued and unpaid interest to the redemption date.


⁽²⁾	The Company classifies any borrowings which have a maturity of twelve months or less at inception as short-term debt.

Schedule of debt maturities for each of the next five years and thereafter



Debt maturities for each of the next five years and thereafter
($ in millions)
2018	$	176
2019	317
2020	—
2021	—
2022	—
Thereafter	5,915
Total long-term debt principal	$	6,408

Schedule of noncumulative outstanding preferred stock



Outstanding preferred stock as of December 31, 2017
		Aggregate liquidation preference				Dividend per share						Aggregate dividend payment ($ in millions)
	Shares	Aggregate liquidation preference		Dividend rate		2017		2016		2015		2017		2016		2015
Series A	11,500	$	287.5	5.625	%	$	1.41	$	1.41	$	1.41	$	16	$	16	$	16
Series C	15,400	385.0		6.750	%	1.69		1.69		1.69		26		26		26
Series D	5,400	135.0		6.625	%	1.66		1.66		1.66		9		9		9
Series E	29,900	747.5		6.625	%	1.66		1.66		1.66		49		49		49
Series F	10,000	250.0		6.250	%	1.56		1.56		1.56		16		16		16
Total	72,200	$	1,805									$	116	$	116	$	116

Company Restructuring (Tables)

12 Months Ended

Dec. 31, 2017

Restructuring and Related Activities [Abstract]

Schedule of changes in the restructuring liability



Changes in the restructuring liability
($ in millions)	Employee costs			Exit costs			Total liability
Balance as of December 31, 2016	$	—		$	2		$	2
Expense incurred	47			42			89
Adjustments to liability	(3		)	—			(3		)
Payments applied against liability	(29		)	(14		)	(43		)
Balance as of December 31, 2017	$	15		$	30		$	45

Commitments, Guarantees and Contingent Liabilities (Tables)

12 Months Ended

Dec. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Minimum rental commitments under noncancelable capital and operating leases

Minimum rental commitments under operating leases with an initial or remaining term of more than one year as of December 31, 2017 are in the following table:



($ in millions)
2018	$	126
2019	113
2020	95
2021	74
2022	60
Thereafter	175
Total	$	643

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Reconciliation of the change in the amount of unrecognized tax benefits



Reconciliation of the change in the amount of unrecognized tax benefits
	For the years ended December 31,
($ in millions)	2017		2016		2015
Balance – beginning of year	$	10	$	7	$	—
Increase for tax positions taken in a prior year	34		—		4
Increase for tax positions taken in the current year	11		3		3
Balance – end of year	$	55	$	10	$	7

Components of the deferred income tax assets and liabilities



Components of the deferred income tax assets and liabilities ⁽¹⁾
	As of December 31,
($ in millions)	2017			2016
Deferred assets
Unearned premium reserves	$	545		$	819
Accrued compensation	137			203
Pension	86			294
Discount on loss reserves	53			188
Net operating loss carryover	50			15
Other assets	49			103
Other postretirement benefits	48			64
Difference in tax bases of invested assets	—			78
Total deferred assets	968			1,764
Deferred liabilities
DAC	(770		)	(1,211		)
Unrealized net capital gains	(422		)	(529		)
Life and annuity reserves	(241		)	(324		)
Intangible assets	(113		)	(29		)
Difference in tax bases of invested assets	(106		)	—
Other liabilities	(98		)	(158		)
Total deferred liabilities	(1,750		)	(2,251		)
Net deferred liability	$	(782	)	$	(487	)


⁽¹⁾	Changes in deferred tax assets and liabilities primarily relate to the Tax Legislation.

Components of income tax expense



Components of income tax expense
	For the years ended December 31,
($ in millions)	2017			2016		2015
Current	$	1,018		$	654	$	1,033
Deferred	(216		)	223		78
Total income tax expense	$	802		$	877	$	1,111

Reconciliation of the statutory federal income tax rate to the effective income tax rate on income from operations



Reconciliation of the statutory federal income tax rate to the effective income tax rate
	For the years ended December 31,
	2017		2016		2015
Statutory federal income tax rate on income from operations	35.0	%	35.0	%	35.0	%
Tax Legislation benefit	(12.7	)	—		—
Share-based payments ⁽¹⁾	(1.6	)	—		—
Tax-exempt income	(0.8	)	(1.2	)	(1.0	)
Tax credits	(0.9	)	(1.2	)	(0.9	)
Non-deductible goodwill impairment	1.1		—		—
Other ⁽²⁾	—		(0.7	)	0.8
Effective income tax rate on income from operations	20.1	%	31.9	%	33.9	%


⁽¹⁾	Includes a tax benefit of $63 million related to the 2017 adoption of the new accounting standard for share-based payments.


⁽²⁾	Includes $45 million of income tax expense related to the change in accounting guidance for investments in qualified affordable housing projects adopted in 2015.

Statutory Financial Information and Dividend Limitations (Tables)

12 Months Ended

Dec. 31, 2017

Statutory Financial Information and Dividend Limitations [Abstract]

Statutory net income and capital and surplus



Statutory net income (loss) and capital and surplus of Allstate’s domestic insurance subsidiaries
	Net income (loss)							Capital and surplus
($ in millions)	2017		2016		2015			2017		2016
Amounts by major business type:
Property and casualty insurance	$	3,050	$	1,520	$	1,826		$	14,903	$	13,436
Life insurance, annuities and voluntary accident and health insurance	327		197		(56		)	3,727		3,383
Amount per statutory accounting practices	$	3,377	$	1,717	$	1,770		$	18,630	$	16,819

Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2017

Retirement Benefits [Abstract]

Components of the plans' funded status reflected in the Consolidated Statements of Financial Position



Components of the pension and other postretirement plans’ funded status reflected in the Consolidated Statements of Financial Position
	As of December 31,
	Pension benefits						Postretirement benefits
($ in millions)	2017			2016			2017			2016
Fair value of plan assets	$	6,284		$	5,650		$	—		$	—
Less: Benefit obligation	6,815			6,591			386			373
Funded status	$	(531	)	$	(941	)	$	(386	)	$	(373	)

Items not yet recognized as a component of net periodic cost:
Net actuarial loss (gain)	$	2,224		$	2,807		$	(218	)	$	(251	)
Prior service credit	(254		)	(310		)	(37		)	(62		)
Unrecognized pension and other postretirement benefit cost, pre-tax	1,970			2,497			(255		)	(313		)
Deferred income tax ⁽¹⁾	(419		)	(874		)	51			109
Unrecognized pension and other postretirement benefit cost	$	1,551		$	1,623		$	(204	)	$	(204	)


⁽¹⁾	Components of the pension plan and other postretirement benefits were reduced by deferred income taxes at the newly enacted 21% U.S. corporate tax rate as of December 31, 2017 and 35% as of December 31, 2016.

Change during the period in items not yet recognized as a component of net periodic cost

The change in items not yet recognized as a component of net periodic cost is recorded in unrecognized pension and other postretirement benefit cost.



Changes in items not yet recognized as a component of net periodic cost
($ in millions)	Pension benefits			Postretirement benefits
Items not yet recognized as a component of net periodic cost – December 31, 2016	$	2,497		$	(313	)
Net actuarial (gain) loss arising during the period	(247		)	8
Net actuarial (loss) gain amortized to net periodic benefit cost	(342		)	24
Prior service credit amortized to net periodic benefit cost	56			25
Translation adjustment and other	6			1
Items not yet recognized as a component of net periodic cost – December 31, 2017	$	1,970		$	(255	)

Estimates of the net actuarial loss (gain) and prior service credit expected to be recognized as a component of net periodic benefit cost in next fiscal year



Estimates of 2018 net actuarial loss (gain) and prior service credit
($ in millions)	Pension benefits			Postretirement benefits
Net actuarial loss (gain)	$	177		$	(22	)
Prior service credit	(56		)	(22		)

Changes in benefit obligations for all plans



Changes in benefit obligations for all plans
	Pension benefits						Postretirement benefits
($ in millions)	2017			2016			2017			2016
Benefit obligation, beginning of year	$	6,591		$	6,130		$	373		$	405
Service cost	114			113			8			9
Interest cost	264			286			15			17
Participant contributions	—			1			12			16
Actuarial loss (gain)	395			387			8			(14		)
Benefits paid ⁽¹⁾	(553		)	(301		)	(35		)	(41		)
Plan amendments	—			—			—			(22		)
Translation adjustment and other	4			(25		)	5			3
Benefit obligation, end of year	$	6,815		$	6,591		$	386		$	373


⁽¹⁾	Benefits paid include lump sum distributions, a portion of which triggered settlement accounting treatment.

Components of net periodic cost



Components of net periodic cost
	For the years ended December 31,
	Pension benefits									Postretirement benefits
($ in millions)	2017			2016			2015			2017			2016			2015
Service cost	$	114		$	113		$	114		$	8		$	9		$	12
Interest cost	264			286			258			15			17			23
Expected return on plan assets	(409		)	(398		)	(424		)	—			—			—
Amortization of:
Prior service credit	(56		)	(56		)	(56		)	(25		)	(21		)	(22		)
Net actuarial loss (gain)	189			174			190			(24		)	(24		)	(9		)
Settlement loss	153			27			31			—			—			—
Net periodic cost (credit)	$	255		$	146		$	113		$	(26	)	$	(19	)	$	4

Weighted average assumptions used to determine for pension plans and postretirement benefits plans the net benefit cost and benefit obligation



Weighted average assumptions used to determine net pension cost and net postretirement benefit cost
	For the years ended December 31,
	Pension benefits						Postretirement benefits
($ in millions)	2017		2016		2015		2017		2016		2015
Discount rate	4.15	%	4.83	%	4.10	%	3.63	%	4.59	%	3.97	%
Rate of increase in compensation levels	3.20		3.20		3.50		n/a		n/a		n/a
Expected long-term rate of return on plan assets	7.31		7.30		7.33		n/a		n/a		n/a



Weighted average assumptions used to determine benefit obligations
	For the years ended December 31,
	Pension benefits				Postretirement benefits
	2017		2016		2017		2016
Discount rate	3.68	%	4.15	%	4.06	%	4.07	%
Rate of increase in compensation levels	3.20		3.20		n/a		n/a

Change in pension plan assets



Change in pension plan assets
	For the years ended December 31,
($ in millions)	2017			2016
Fair value of plan assets, beginning of year	$	5,650		$	5,353
Actual return on plan assets	1,051			491
Employer contribution	131			131
Benefits paid	(553		)	(301		)
Translation adjustment and other	5			(24		)
Fair value of plan assets, end of year	$	6,284		$	5,650

Pension plans' weighted average target asset allocation and the actual percentage of plan assets



Weighted average target asset allocation and actual percentage of plan assets by asset category
	As of December 31, 2017
	Target asset allocation ⁽¹⁾	Actual percentage of plan assets
Pension plan’s asset category	2017	2017		2016
Equity securities ⁽²⁾	43 - 62%	58	%	62	%
Fixed income securities	34 - 44%	34		29
Limited partnership interests	0 - 13%	6		7
Short-term investments and other	—	2		2
Total without securities lending ⁽³⁾		100	%	100	%


⁽¹⁾	The target asset allocation considers risk based exposure while the actual percentage of plan assets utilizes a financial reporting view excluding exposure provided through derivatives.

⁽²⁾


⁽³⁾	Securities lending collateral reinvestment of $202 million and $143 million is excluded from the table above in 2017 and 2016, respectively.

Fair values of pension plan assets

stments.



Fair values of pension plan assets as of December 31, 2017
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Balance as of December 31, 2017
Equity securities	$	126		$	264		$	29		$	419
Fixed income securities:
U.S. government and agencies	174			420			—			594
Corporate	—			1,543			10			1,553
Short-term investments	97			197			—			294
Cash and cash equivalents	21			—			—			21
Free-standing derivatives:
Assets	—			1			—			1
Total plan assets at fair value	$	418		$	2,425		$	39		2,882
% of total plan assets at fair value	14.5		%	84.1		%	1.4		%	100.0		%

Investments measured using the net asset value practical expedient ⁽¹⁾										3,598
Securities lending obligation ⁽²⁾										(216		)
Other net plan assets ⁽³⁾										20
Total reported plan assets										$	6,284

⁽¹⁾

⁽²⁾


⁽³⁾	Other net plan assets represent interest and dividends receivable and net receivables related to settlements of investment transactions, such as purchases and sales.



Fair values of pension plan assets as of December 31, 2016
($ in millions)	Quoted prices in active markets for identical assets (Level 1)			Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Balance as of December 31, 2016
Equity securities	$	155		$	147		$	—		$	302
Fixed income securities:
U.S. government and agencies	30			285			—			315
Corporate	—			1,309			10			1,319
Short-term investments	144			121			—			265
Cash and cash equivalents	32			—			—			32
Free-standing derivatives:
Assets	(1		)	1			—			—
Total plan assets at fair value	$	360		$	1,863		$	10		2,233
% of total plan assets at fair value	16.1		%	83.4		%	0.5		%	100.0		%

Investments measured using the Net Asset Value practical expedient										3,525
Securities lending obligation										(158		)
Other net plan assets										50
Total reported plan assets										$	5,650

Rollforward of Level 3 plan assets



Rollforward of level 3 plan assets during December 31, 2017
			Actual return on plan assets:
($ in millions)	Balance as of December 31, 2016		Relating to assets sold during the period		Relating to assets still held at the reporting date		Purchases, sales and settlements, net		Net transfers in and/or (out) of Level 3		Balance as of December 31, 2017
Equity securities	$	—	$	—	$	—	$	29	$	—	$	29
Fixed income securities:
Corporate	10		—		—		—		—		10
Total Level 3 plan assets	$	10	$	—	$	—	$	29	$	—	$	39



Rollforward of level 3 plan assets during December 31, 2016
			Actual return on plan assets:
($ in millions)	Balance as of December 31, 2015		Relating to assets sold during the period			Relating to assets still held at the reporting date		Purchases, sales and settlements, net			Net transfers in and/or (out) of Level 3		Balance as of December 31, 2016
Equity securities	$	1	$	(1	)	$	—	$	—		$	—	$	—
Fixed income securities:
Municipal	7		—			—		(7		)	—		—
Corporate	10		—			—		(5		)	5		10
Total Level 3 plan assets	$	18	$	(1	)	$	—	$	(12	)	$	5	$	10



Rollforward of level 3 plan assets during December 31, 2015
			Actual return on plan assets:
($ in millions)	Balance as of December 31, 2014		Relating to assets sold during the period		Relating to assets still held at the reporting date			Purchases, sales and settlements, net			Net transfers in and/or (out) of Level 3			Balance as of December 31, 2015
Equity securities	$	1	$	1	$	(1	)	$	—		$	—		$	1
Fixed income securities:
Municipal	14		—		—			(7		)	—			7
Corporate	12		—		—			—			(2		)	10
Total Level 3 plan assets	$	27	$	1	$	(1	)	$	(7	)	$	(2	)	$	18

Estimated future benefit payments expected to be paid



Estimated future benefit payments expected to be paid in the next 10 years
	As of December 31, 2017,
($ in millions)	Pension benefits		Postretirement benefits
2018	$	426	$	22
2019	463		24
2020	485		24
2021	514		25
2022	533		26
2023-2027	2,477		136
Total benefit payments	$	4,898	$	257

Schedule of ESOP benefit



ESOP benefit
	For the years December 31,
($ in millions)	2017			2016			2015
Interest expense recognized by ESOP	$	—		$	1		$	1
Less: dividends accrued on ESOP shares	(1		)	(3		)	(3		)
Cost of shares allocated	3			7			10
Compensation expense	2			5			8
Reduction of defined contribution due to ESOP	38			60			73
ESOP benefit	$	(36	)	$	(55	)	$	(65	)

Equity Incentive Plans (Tables)

12 Months Ended

Dec. 31, 2017

Equity Incentive Plans [Abstract]

Assumptions used to determine the fair value of options granted



Option grant assumptions
	2017		2016		2015
Weighted average expected term	6.1 years		5.0 years		6.5 years
Expected volatility	15.7 - 32.7%		16.0 - 34.3%		16.0 - 37.8%
Weighted average volatility	21.0	%	24.3	%	24.7	%
Expected dividends	1.4 - 1.9%		1.9 - 2.1%		1.6 - 2.1%
Weighted average expected dividends	1.9	%	2.1	%	1.7	%
Risk-free rate	0.5 - 2.5%		0.2 - 2.4%		0.0 - 2.4%

Summary of option activity



Summary of option activity
	For the year ended December 31, 2017
	Number (in 000s)		Weighted average exercise price		Aggregate intrinsic value (in 000s)		Weighted average remaining contractual term (years)
Outstanding as of January 1, 2017	13,560		$	50.01
Granted	2,631		78.93
Exercised	(4,688	)	44.91
Forfeited	(229	)	70.85
Expired	(12	)	59.91
Outstanding as of December 31, 2017	11,262		58.46		$	520,900	6.5
Outstanding, net of expected forfeitures	11,140		58.27		517,276		6.5
Outstanding, exercisable (“vested”)	6,314		47.83		359,121		5.1

Changes in restricted stock units



Changes in restricted stock units
	For the year ended December 31, 2017
	Number (in 000s)		Weighted average grant date fair value
Nonvested as of January 1, 2017	1,679		$	58.49
Granted	333		80.12
Vested	(718	)	51.42
Forfeited	(53	)	69.19
Nonvested as of December 31, 2017	1,241		67.93

Changes in performance stock units



Changes in performance stock awards
	For the year ended December 31, 2017
	Number (in 000s)		Weighted average grant date fair value
Nonvested as of January 1, 2017	919		$	61.50
Granted	458		78.47
Adjustment for performance achievement	(33	)	52.75
Vested	(213	)	52.52
Forfeited	(41	)	69.30
Nonvested as of December 31, 2017	1,090		70.35

Supplemental Cash Flow Information (Tables)

12 Months Ended

Dec. 31, 2017

Supplemental Cash Flow Information [Abstract]

Schedule of supplemental cash flow information from collateralized securities received



	For the years ended December 31,
($ in millions)	2017			2016			2015
Net change in proceeds managed
Net change in fixed income securities	$	259		$	(584	)	$	—
Net change in short-term investments	(255		)	295			(59		)
Operating cash flow provided (used)	4			(289		)	(59		)
Net change in cash	1			—			1
Net change in proceeds managed	$	5		$	(289	)	$	(58	)

Cash flows from operating activities
Net change in liabilities
Liabilities for collateral, beginning of year	$	(1,129	)	$	(840	)	$	(782	)
Liabilities for collateral, end of year	(1,124		)	(1,129		)	(840		)
Operating cash flow (used) provided	$	(5	)	$	289		$	58

Other Comprehensive Income (Tables)

12 Months Ended

Dec. 31, 2017

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Other comprehensive income (loss) on a pre-tax and after-tax basis



Components of other comprehensive income (loss) on a pre-tax and after-tax basis
	For the years ended December 31,
($ in millions)	2017									2016									2015
	Pre-tax			Tax			After-tax			Pre-tax			Tax			After-tax			Pre-tax			Tax			After-tax
Unrealized net holding gains and losses arising during the period, net of related offsets	$	866		$	(304	)	$	562		$	486		$	(170	)	$	316		$	(1,896	)	$	663		$	(1,233	)
Less: reclassification adjustment of realized capital gains and losses	374			(131		)	243			(180		)	63			(117		)	112			(39		)	73
Unrealized net capital gains and losses	492			(173		)	319			666			(233		)	433			(2,008		)	702			(1,306		)
Unrealized foreign currency translation adjustments	72			(25		)	47			15			(5		)	10			(89		)	31			(58		)
Unrecognized pension and other postretirement benefit cost arising during the period	232			(79		)	153			(263		)	94			(169		)	(64		)	25			(39		)
Less: reclassification adjustment of net periodic cost recognized in operating costs and expenses	(237		)	83			(154		)	(100		)	35			(65		)	(134		)	47			(87		)
Unrecognized pension and other postretirement benefit cost	469			(162		)	307			(163		)	59			(104		)	70			(22		)	48
Other comprehensive income (loss)	$	1,033		$	(360	)	$	673		$	518		$	(179	)	$	339		$	(2,027	)	$	711		$	(1,316	)

Quarterly Results (unaudited) (Tables)

12 Months Ended

Dec. 31, 2017

Quarterly Financial Information Disclosure [Abstract]

Quarterly Results



	First Quarter				Second Quarter				Third Quarter				Fourth Quarter
($ in millions, except per share data)	2017		2016		2017		2016		2017		2016		2017		2016
Revenues	$	9,434	$	8,871	$	9,587	$	9,164	$	9,660	$	9,221	$	9,843	$	9,278
Net income applicable to common shareholders	666		217		550		242		637		491		1,220		811
Net income applicable to common shareholders earnings per common share - Basic	1.82		0.57		1.51		0.65		1.76		1.32		3.41		2.20
Net income applicable to common shareholders earnings per common share - Diluted	1.79		0.57		1.49		0.64		1.74		1.31		3.35		2.18

General (Details)	12 Months Ended
General (Details)	Dec. 31, 2017 segment
General
Number of reportable segments	7

Summary of Significant Accounting Policies - Investments (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Accounting Policies [Abstract]
Policy loans	$ 905	$ 904

Summary of Significant Accounting Policies - Securities loaned and Recognition of premium revenues and contract charges, and related benefits and interest credited (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Securities loaned
Cash collateral received as percentage of fair value of domestic securities loaned	102.00%
Cash collateral received as a percent of fair value of foreign securities loaned	105.00%
Deferred Policy Acquisition and Sales Inducement Costs
Valuation allowance for uncollectible premium installment receivables	$ 77	$ 84
Present value of future profits	47	53
Amortization expense of present value of future profits	$ 6	$ 5	$ 8
Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC and DSI for interest-sensitive life, fixed annuities and other investment contracts	15 years
Maximum
Securities loaned
Securities lending transactions length	30 days
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC and DSI for interest-sensitive life, fixed annuities and other investment contracts	30 years
Personal lines \| Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Property and casualty insurance contract, terms	6 months
Period for amortization of DAC for property-liability insurance	6 months
Personal lines \| Maximum
Deferred Policy Acquisition and Sales Inducement Costs
Property and casualty insurance contract, terms	12 months
Period for amortization of DAC for property-liability insurance	12 months
Consumer product protection plans \| Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Property and casualty insurance contract, terms	1 year
Consumer product protection plans \| Maximum
Deferred Policy Acquisition and Sales Inducement Costs
Property and casualty insurance contract, terms	5 years
Other contracts \| Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Property and casualty insurance contract, terms	1 year
Other contracts \| Maximum
Deferred Policy Acquisition and Sales Inducement Costs
Property and casualty insurance contract, terms	5 years
Protection plans and other contracts \| Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC for property-liability insurance	1 year
Protection plans and other contracts \| Maximum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC for property-liability insurance	5 years
Interest-sensitive life insurance \| Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC and DSI for interest-sensitive life, fixed annuities and other investment contracts	10 years
Interest-sensitive life insurance \| Maximum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC and DSI for interest-sensitive life, fixed annuities and other investment contracts	20 years
Fixed annuities \| Minimum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC and DSI for interest-sensitive life, fixed annuities and other investment contracts	5 years
Fixed annuities \| Maximum
Deferred Policy Acquisition and Sales Inducement Costs
Period for amortization of DAC and DSI for interest-sensitive life, fixed annuities and other investment contracts	10 years

Summary of Significant Accounting Policies - Goodwill (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Goodwill
Goodwill allocated to segments	$ 2,181	$ 2,181	$ 1,219
Goodwill impairment	125	125	$ 0	$ 0
Allstate Protection
Goodwill
Goodwill allocated to segments	810	810
Service Businesses
Goodwill
Goodwill allocated to segments	1,100	1,100
Allstate Life
Goodwill
Goodwill allocated to segments	175	175
Allstate Benefits
Goodwill
Goodwill allocated to segments	$ 96	$ 96

Summary of Significant Accounting Policies - Property and equipment (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Property and equipment
Accumulated depreciation on property and equipment	$ 2,270	$ 2,160
Depreciation expense on property and equipment	$ 290	$ 267	$ 255
Equipment \| Minimum
Property and equipment
Property and equipment, estimated useful life, average	3 years
Equipment \| Maximum
Property and equipment
Property and equipment, estimated useful life, average	10 years
Real property
Property and equipment
Property and equipment, estimated useful life, average	40 years

Summary of Significant Accounting Policies - Earnings per common share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Numerator:
Net income									$ 3,189	$ 1,877	$ 2,171
Less: Preferred stock dividends									116	116	116
Net income applicable to common shareholders	$ 1,220	$ 637	$ 550	$ 666	$ 811	$ 491	$ 242	$ 217	$ 3,073	$ 1,761	$ 2,055
Denominator:
Weighted average common shares outstanding (in shares)									362.0	372.8	401.1
Effect of dilutive potential common shares:
Stock options (in shares)									4.3	3.2	4.0
Restricted stock units(non-participating) and performance stock awards (in shares)									1.5	1.3	1.7
Weighted average common and dilutive potential common shares outstanding (in shares)									367.8	377.3	406.8
Earnings per common share - Basic (in dollars per share)	$ 3.41	$ 1.76	$ 1.51	$ 1.82	$ 2.20	$ 1.32	$ 0.65	$ 0.57	$ 8.49	$ 4.72	$ 5.12
Earnings per common share - Diluted (in dollars per share)	$ 3.35	$ 1.74	$ 1.49	$ 1.79	$ 2.18	$ 1.31	$ 0.64	$ 0.57	$ 8.36	$ 4.67	$ 5.05
Other Earnings Per Share Disclosures
Antidilutive stock options, exercise price exceeds market price (in shares)									1.5	3.8	2.2
Antidilutive stock options, exercise price exceeds market price, exercise price range, low end of range (in dollars per share)									$ 70.71	$ 53.91	$ 57.98
Antidilutive stock options, exercise price exceeds market price, exercise price range, high end of range (in dollars per share)									$ 102.84	$ 71.29	$ 71.29

Summary of Significant Accounting Policies - Accounting standards (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Income tax benefit	$ (802)	$ (877)	$ (1,111)
Unearned premiums	463	362	638
Equity securities	1,160	509
Limited partnership interests	6,740	5,814
Unrealized net capital gains and losses	319	433	(1,306)
Unrealized foreign currency translation adjustments	(47)	(10)	58
Unrecognized pension and other postretirement benefit cost	307	(104)	48
Accounting Standards Update 2017-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Income tax benefit	63
Accounting Standards Update 2014-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Unearned premiums	160
Deferred policy acquisition costs	125
Accounting Standards Update 2016-01
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Equity securities	1,160
EMA limited partnerships
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Limited partnership interests	5,410	4,530
EMA limited partnerships \| Accounting Standards Update 2016-01
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Limited partnership interests	224
Accumulated other comprehensive income (loss)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of tax effects due to change in accounting principle	49	0	0
Unrealized net capital gains and losses	319	433	(1,306)
Unrealized foreign currency translation adjustments	(47)	(10)	58
Unrecognized pension and other postretirement benefit cost	307	(104)	48
Retained income
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of tax effects due to change in accounting principle	(49)	$ 0	$ 0
Unrealized net capital gains and losses
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of tax effects due to change in accounting principle	290
Unrealized foreign currency translation adjustments
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of tax effects due to change in accounting principle	(6)
Unrecognized pension and other postretirement benefit cost
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclassification of tax effects due to change in accounting principle	$ (235)

Acquisition - Narrative (Details) - USD ($) $ in Millions		12 Months Ended
Acquisition - Narrative (Details) - USD ($) $ in Millions	Jan. 03, 2017	Dec. 31, 2017	Dec. 31, 2016
Business Acquisition [Line Items]
Goodwill		$ 2,181	$ 1,219
SquareTrade
Business Acquisition [Line Items]
Business combination, consideration transferred	$ 1,400
Goodwill	1,090
Commissions paid to retailers	66
Intangible assets	555
Prepaid Expense and other assets	205
Unearned premiums	389
Deferred tax liabilities	$ 138
Amortization of intangible assets		92
Customer Relationships \| SquareTrade
Business Acquisition [Line Items]
Intangible assets acquired		$ 465
Useful life		10 years
Trade Names \| SquareTrade
Business Acquisition [Line Items]
Indefinite-lived intangible assets acquired		$ 69

Acquisition - Amortization expense of intangible assets for the next five years and thereafter (Details) - SquareTrade $ in Millions	Dec. 31, 2017 USD ($)
Business Acquisition [Line Items]
2018	$ 82
2019	72
2020	62
2021	52
2022	42
Thereafter	84
Total amortization	$ 394

Reporting Segments - Narrative (Details) $ in Millions	12 Months Ended
Reporting Segments - Narrative (Details) $ in Millions	Dec. 31, 2017 USD ($) item segment	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Segment Reporting Information
Number of reportable segments \| segment	7
Non-US
Segment Reporting Information
Revenues from external customers generated outside the United States			$ 0
Allstate Protection
Segment Reporting Information
Premium earned as percentage of consolidated revenues	82.00%
Number of states in which entity operates \| item	50
Minimum percentage of premiums to be considered as significant	5.00%
Revenues from external customers generated outside the United States	$ 1,110	$ 1,060	1,030
Allstate Life
Segment Reporting Information
Number of states in which entity operates \| item	50
Minimum percentage of premiums to be considered as significant	5.00%
Consumer product protection plans \| Service Businesses
Segment Reporting Information
Insurance commissions and fees	$ 295	$ 0	$ 0
Consumer product protection plans \| Service Businesses \| Non-US
Segment Reporting Information
Insurance commissions and fees	$ 35

Reporting Segments - Reportable segments revenue information (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information
Insurance premiums									$ 32,300	$ 31,307	$ 30,309
Life and annuity premiums and contract charges									2,378	2,275	2,158
Net investment income									3,401	3,042	3,156
Realized capital gains and losses									445	(90)	30
Total revenues	$ 9,843	$ 9,660	$ 9,587	$ 9,434	$ 9,278	$ 9,221	$ 9,164	$ 8,871	38,524	36,534	35,653
Allstate Protection
Segment Reporting Information
Insurance premiums									31,433	30,727	29,748
Discontinued Lines and Coverages
Segment Reporting Information
Insurance premiums									0	0	0
Property-Liability
Segment Reporting Information
Insurance premiums									31,433	30,727	29,748
Net investment income									1,478	1,253	1,226
Realized capital gains and losses									401	(6)	(237)
Total revenues									33,312	31,974	30,737
Property-Liability \| Auto
Segment Reporting Information
Insurance premiums									21,878	21,264	20,410
Property-Liability \| Homeowners
Segment Reporting Information
Insurance premiums									7,310	7,257	7,136
Property-Liability \| Other personal lines
Segment Reporting Information
Insurance premiums									1,750	1,700	1,692
Property-Liability \| Commercial lines
Segment Reporting Information
Insurance premiums									495	506	510
Service Businesses
Segment Reporting Information
Intersegment premiums and service fees (1)									110	105	42
Net investment income									16	13	11
Total revenues									993	698	614
Service Businesses \| Consumer product protection plans
Segment Reporting Information
Insurance commissions and fees									295	0	0
Service Businesses \| Roadside assistance
Segment Reporting Information
Insurance commissions and fees									268	310	340
Service Businesses \| Finance and insurance products
Segment Reporting Information
Insurance commissions and fees									304	270	221
Allstate Life
Segment Reporting Information
Net investment income									489	482	490
Realized capital gains and losses									5	(38)	2
Total revenues									1,774	1,694	1,715
Allstate Life \| Traditional life insurance
Segment Reporting Information
Life and annuity premiums and contract charges									568	533	505
Allstate Life \| Accident and health insurance
Segment Reporting Information
Life and annuity premiums and contract charges									2	2	2
Allstate Life \| Interest-sensitive life insurance
Segment Reporting Information
Life and annuity premiums and contract charges									710	715	716
Allstate Benefits
Segment Reporting Information
Net investment income									72	71	71
Realized capital gains and losses									1	(5)	1
Total revenues									1,157	1,077	993
Allstate Benefits \| Traditional life insurance
Segment Reporting Information
Life and annuity premiums and contract charges									42	40	37
Allstate Benefits \| Accident and health insurance
Segment Reporting Information
Life and annuity premiums and contract charges									928	857	778
Allstate Benefits \| Interest-sensitive life insurance
Segment Reporting Information
Life and annuity premiums and contract charges									114	114	106
Allstate Annuities
Segment Reporting Information
Net investment income									1,305	1,181	1,323
Realized capital gains and losses									44	(38)	264
Total revenues									1,363	1,157	1,601
Allstate Annuities \| Fixed annuities
Segment Reporting Information
Life and annuity premiums and contract charges									14	14	14
Corporate and Other
Segment Reporting Information
Net investment income									41	42	35
Realized capital gains and losses									(6)	(3)	0
Total revenues									35	39	35
Intersegment Eliminations (2)
Segment Reporting Information
Total revenues									$ (110)	$ (105)	$ (42)

Reporting Segments - Reportable segments financial performance (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information
Net investment income									$ 3,401	$ 3,042	$ 3,156
Goodwill impairment	$ (125)								(125)	0	0
Net income applicable to common shareholders	$ 1,220	$ 637	$ 550	$ 666	$ 811	$ 491	$ 242	$ 217	3,073	1,761	2,055
Allstate Protection
Segment Reporting Information
Underwriting income									2,111	1,327	1,621
Property-Liability
Segment Reporting Information
Underwriting income									2,012	1,220	1,566
Net investment income									1,478	1,253	1,226
Income tax expense on operations									(1,119)	(812)	(922)
Realized capital gains and losses, after-tax									272	0	(154)
Gain (loss) on disposition of operations, after-tax									9	0	0
Change in accounting for investments in qualified affordable housing projects									0	0	(28)
Tax Legislation expense									(65)	0	0
Net income applicable to common shareholders									2,587	1,661	1,688
Discontinued Lines and Coverages
Segment Reporting Information
Underwriting income									(99)	(107)	(55)
Service Businesses
Segment Reporting Information
Net investment income									16	13	11
Tax Legislation expense									134	0	0
Net income applicable to common shareholders									15	3	2
Adjusted net (loss) income									(59)	3	2
Amortization of purchased intangible assets, after-tax									(60)	0	0
Allstate Life
Segment Reporting Information
Net investment income									489	482	490
Realized capital gains and losses, after-tax									2	(24)	1
Gain (loss) on disposition of operations, after-tax									0	0	(1)
Change in accounting for investments in qualified affordable housing projects									0	0	(6)
Tax Legislation expense									332	0	0
Net income applicable to common shareholders									577	219	229
Adjusted net (loss) income									253	247	239
DAC and DSI amortization related to realized capital gains and losses and valuation changes on embedded derivatives that are not hedged, after-tax									(10)	(4)	(4)
Allstate Benefits
Segment Reporting Information
Net investment income									72	71	71
Realized capital gains and losses, after-tax									0	(4)	0
Tax Legislation expense									51	0	0
Net income applicable to common shareholders									146	96	104
Adjusted net (loss) income									95	100	104
Allstate Annuities
Segment Reporting Information
Net investment income									1,305	1,181	1,323
Realized capital gains and losses, after-tax									28	(26)	172
Gain (loss) on disposition of operations, after-tax									4	3	3
Change in accounting for investments in qualified affordable housing projects									0	0	(11)
Tax Legislation expense									182	0	0
Net income applicable to common shareholders									418	76	330
Adjusted net (loss) income									204	101	166
Valuation changes on embedded derivatives that are not hedged, after-tax									0	(2)	(1)
DAC and DSI amortization related to realized capital gains and losses and valuation changes on embedded derivatives that are not hedged, after-tax									0	0	1
Corporate and Other
Segment Reporting Information
Net investment income									41	42	35
Realized capital gains and losses, after-tax									(4)	(2)	0
Goodwill impairment									(125)	0	0
Business combination expenses, after-tax									(14)	0	0
Tax Legislation expense									(128)	0	0
Net income applicable to common shareholders									(670)	(294)	(298)
Adjusted net (loss) income									$ (399)	$ (292)	$ (298)

Reporting Segments - Performance data and tax items (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information
Amortization of DAC	$ 4,784	$ 4,550	$ 4,364
Income tax expense	802	877	1,111
Allstate Protection
Segment Reporting Information
Amortization of DAC	4,205	4,053	3,933
Service Businesses
Segment Reporting Information
Amortization of DAC	296	214	169
Income tax expense	(193)	0	2
Allstate Life
Segment Reporting Information
Amortization of DAC	134	131	133
Income tax expense	(224)	91	108
Allstate Benefits
Segment Reporting Information
Amortization of DAC	142	145	124
Income tax expense	1	51	55
Allstate Annuities
Segment Reporting Information
Amortization of DAC	7	7	5
Income tax expense	(58)	36	188
Property-Liability
Segment Reporting Information
Income tax expense	1,318	806	867
Corporate and Other
Segment Reporting Information
Income tax expense	$ (42)	$ (107)	$ (109)

Reporting Segments - Total assets and investments (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information
Assets	$ 112,422	$ 108,610
Investments	82,803	81,799
Property-Liability
Segment Reporting Information
Assets	60,197	60,390	$ 55,670
Investments	43,183	42,720	38,480
Allstate Financial
Segment Reporting Information
Assets		45,950	46,340
Investments		36,840	36,790
Service Businesses
Segment Reporting Information
Assets	4,531
Investments	954
Allstate Life
Segment Reporting Information
Assets	14,107
Investments	11,210
Allstate Benefits
Segment Reporting Information
Assets	2,766
Investments	1,776
Allstate Annuities
Segment Reporting Information
Assets	28,836
Investments	23,722
Corporate and Other
Segment Reporting Information
Assets	1,985	2,270	2,640
Investments	$ 1,958	$ 2,240	$ 2,490

Reporting Segments - Impacts of Tax Legislation (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	$ 1,308
Tax Legislation expense (benefit)	(506)
Total income tax expense	802	$ 877	$ 1,111
Property-Liability
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	1,253
Tax Legislation expense (benefit)	65
Total income tax expense	1,318	806	867
Service Businesses
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	(59)
Tax Legislation expense (benefit)	(134)
Total income tax expense	(193)	0	2
Allstate Life
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	108
Tax Legislation expense (benefit)	(332)
Total income tax expense	(224)	91	108
Allstate Benefits
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	52
Tax Legislation expense (benefit)	(51)
Total income tax expense	1	51	55
Allstate Annuities
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	124
Tax Legislation expense (benefit)	(182)
Total income tax expense	(58)	36	188
Corporate and Other
Segment Reporting Information
Income tax expense (benefit) before Tax Legislation	(170)
Tax Legislation expense (benefit)	128
Total income tax expense	$ (42)	$ (107)	$ (109)

Investments - Amortized cost, gross unrealized gains and losses and fair value for fixed income securities (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Schedule of Available for Sale Securities
Amortized cost	$ 57,525	$ 56,576
Gross unrealized gains	1,750	1,710
Gross unrealized losses	(283)	(447)
Fixed income securities	58,992	57,839
U.S. government and agencies
Schedule of Available for Sale Securities
Amortized cost	3,580	3,572
Gross unrealized gains	56	74
Gross unrealized losses	(20)	(9)
Fixed income securities	3,616	3,637
Municipal
Schedule of Available for Sale Securities
Amortized cost	8,053	7,116
Gross unrealized gains	311	304
Gross unrealized losses	(36)	(87)
Fixed income securities	8,328	7,333
Corporate
Schedule of Available for Sale Securities
Amortized cost	42,996	42,742
Gross unrealized gains	1,234	1,178
Gross unrealized losses	(204)	(319)
Fixed income securities	44,026	43,601
Foreign government
Schedule of Available for Sale Securities
Amortized cost	1,005	1,043
Gross unrealized gains	27	36
Gross unrealized losses	(11)	(4)
Fixed income securities	1,021	1,075
ABS
Schedule of Available for Sale Securities
Amortized cost	1,266	1,169
Gross unrealized gains	13	13
Gross unrealized losses	(7)	(11)
Fixed income securities	1,272	1,171
RMBS
Schedule of Available for Sale Securities
Amortized cost	480	651
Gross unrealized gains	101	85
Gross unrealized losses	(3)	(8)
Fixed income securities	578	728
CMBS
Schedule of Available for Sale Securities
Amortized cost	124	262
Gross unrealized gains	6	17
Gross unrealized losses	(2)	(9)
Fixed income securities	128	270
Redeemable preferred stock
Schedule of Available for Sale Securities
Amortized cost	21	21
Gross unrealized gains	2	3
Gross unrealized losses	0	0
Fixed income securities	$ 23	$ 24

Investments - Scheduled maturities for fixed Income securities (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Amortized cost
Due in one year or less	$ 4,771
Due after one year through five years	28,736
Due after five years through ten years	16,956
Due after ten years	5,192
Subtotal	55,655
ABS, RMBS and CMBS	1,870
Amortized cost	57,525	$ 56,576
Fair value
Due in one year or less	4,783
Due after one year through five years	29,080
Due after five years through ten years	17,278
Due after ten years	5,873
Subtotal	57,014
ABS, RMBS and CMBS	1,978
Fair value	$ 58,992	$ 57,839

Investments - Net investment income (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Net investment income
Investment income, before expense	$ 3,613	$ 3,213	$ 3,306
Investment expense	(212)	(171)	(150)
Net investment income	3,401	3,042	3,156
Fixed income securities
Net investment income
Investment income, before expense	2,078	2,060	2,218
Equity securities
Net investment income
Investment income, before expense	174	137	110
Mortgage loans
Net investment income
Investment income, before expense	206	217	228
Limited partnership interests
Net investment income
Investment income, before expense	889	561	549
Short-term investments
Net investment income
Investment income, before expense	30	16	9
Other
Net investment income
Investment income, before expense	$ 236	$ 222	$ 192

Investments - Realized capital gains and losses by asset type (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Realized capital gains and losses by asset type
Realized capital gains and losses	$ 445	$ (90)	$ 30
Fixed income securities
Realized capital gains and losses by asset type
Realized capital gains and losses	94	(91)	212
Equity securities
Realized capital gains and losses by asset type
Realized capital gains and losses	255	23	(50)
Mortgage loans
Realized capital gains and losses by asset type
Realized capital gains and losses	1	0	6
Limited partnership interests
Realized capital gains and losses by asset type
Realized capital gains and losses	132	(21)	(93)
Derivatives
Realized capital gains and losses by asset type
Realized capital gains and losses	(46)	3	(21)
Other
Realized capital gains and losses by asset type
Realized capital gains and losses	$ 9	$ (4)	$ (24)

Investments - Realized capital gains and losses by transaction type (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Investments [Abstract]
Impairment write-downs	$ (102)	$ (234)	$ (195)
Change in intent write-downs	(48)	(69)	(221)
Net other-than-temporary impairment losses recognized in earnings	(150)	(303)	(416)
Sales and other	641	213	470
Valuation and settlements of derivative instruments	(46)	0	(24)
Total realized capital gains and losses	445	(90)	30
Fixed income and equity securities
Schedule of Available for Sale Securities
Gross gains on sales of fixed income securities	737	631	915
Gross loss on sales of fixed income securities	$ 276	$ 461	$ 399

Investments - Other-than-temporary impairment losses by asset type (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	$ (146)	$ (313)	$ (452)
Included in OCI	(4)	10	36
Net OTTI losses recognized in earnings	(150)	(303)	(416)
Fixed income securities
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(22)	(54)	(111)
Included in OCI	(4)	10	36
Net OTTI losses recognized in earnings	(26)	(44)	(75)
Municipal
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(1)	0	(17)
Included in OCI	(3)	0	4
Net OTTI losses recognized in earnings	(4)	0	(13)
Corporate
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(9)	(33)	(61)
Included in OCI	3	9	11
Net OTTI losses recognized in earnings	(6)	(24)	(50)
ABS
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(1)	(6)	(33)
Included in OCI	(2)	0	22
Net OTTI losses recognized in earnings	(3)	(6)	(11)
RMBS
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(2)	0	1
Included in OCI	(3)	(1)	(1)
Net OTTI losses recognized in earnings	(5)	(1)	0
CMBS
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(9)	(15)	(1)
Included in OCI	1	2	0
Net OTTI losses recognized in earnings	(8)	(13)	(1)
Equity securities
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(86)	(194)	(279)
Included in OCI	0	0	0
Net OTTI losses recognized in earnings	(86)	(194)	(279)
Mortgage loans
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(1)	0	4
Included in OCI	0	0	0
Net OTTI losses recognized in earnings	(1)	0	4
Limited partnership interests
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(32)	(56)	(51)
Included in OCI	0	0	0
Net OTTI losses recognized in earnings	(32)	(56)	(51)
Other
Other-than-temporary impairment losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	(5)	(9)	(15)
Included in OCI	0	0	0
Net OTTI losses recognized in earnings	$ (5)	$ (9)	$ (15)

Investments - OTTI losses included in AOCI at the time of impairment for fixed income securities (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Investments [Abstract]
Net unrealized gains related to changes in valuation of fixed income securities subsequent to impairment measurement date	$ 208	$ 221
Other-than Impairment Losses Included in Accumulated Other Comprehensive Income
Amount of other-than-temporary impairment losses included in accumulated other comprehensive income for fixed income securities, not included in earnings	(101)	(133)
Municipal
Other-than Impairment Losses Included in Accumulated Other Comprehensive Income
Amount of other-than-temporary impairment losses included in accumulated other comprehensive income for fixed income securities, not included in earnings	(5)	(8)
Corporate
Other-than Impairment Losses Included in Accumulated Other Comprehensive Income
Amount of other-than-temporary impairment losses included in accumulated other comprehensive income for fixed income securities, not included in earnings	0	(7)
ABS
Other-than Impairment Losses Included in Accumulated Other Comprehensive Income
Amount of other-than-temporary impairment losses included in accumulated other comprehensive income for fixed income securities, not included in earnings	(15)	(21)
RMBS
Other-than Impairment Losses Included in Accumulated Other Comprehensive Income
Amount of other-than-temporary impairment losses included in accumulated other comprehensive income for fixed income securities, not included in earnings	(77)	(90)
CMBS
Other-than Impairment Losses Included in Accumulated Other Comprehensive Income
Amount of other-than-temporary impairment losses included in accumulated other comprehensive income for fixed income securities, not included in earnings	$ (4)	$ (7)

Investments - Rollforward of the cumulative credit losses recognized in earnings for fixed income securities held (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Credit Losses on Fixed Income Securities
Beginning balance	$ (318)	$ (392)	$ (380)
Additional credit loss for securities previously other-than-temporarily impaired	(18)	(21)	(30)
Additional credit loss for securities not previously other-than-temporarily impaired	(8)	(23)	(45)
Reduction in credit loss for securities disposed or collected	116	117	60
Change in credit loss due to accretion of increase in cash flows	2	1	3
Ending balance	$ (226)	$ (318)	$ (392)

Investments - Unrealized net capital gains and losses included in AOCI (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Fair value
Fixed income securities	$ 58,992,000,000	$ 57,839,000,000
Equity securities	6,621,000,000	5,666,000,000
Short-term investments	1,944,000,000	4,288,000,000
Derivative instruments	2,000,000	5,000,000
Gross unrealized Gains
Fixed income securities	1,750,000,000	1,710,000,000
Equity securities	1,172,000,000	594,000,000
Short-term investments	0	0
Derivative instruments	2,000,000	5,000,000
Gross unrealized Losses
Fixed income securities	(283,000,000)	(447,000,000)
Equity securities	(12,000,000)	(85,000,000)
Short-term investments	0	0
Derivative instruments	(3,000,000)	(3,000,000)
Unrealized net gains (losses)
Fixed income securities	1,467,000,000	1,263,000,000
Equity securities	1,160,000,000	509,000,000
Short-term investments	0	0
Derivative instruments	(1,000,000)	2,000,000
EMA limited partnerships	1,000,000	(4,000,000)
Unrealized net capital gains and losses, pre-tax	2,627,000,000	1,770,000,000
Amounts recognized for:
Insurance reserves	(315,000,000)	0
DAC and DSI	(196,000,000)	(146,000,000)
Amounts recognized	(511,000,000)	(146,000,000)
Deferred income taxes	(454,000,000)	(571,000,000)
Total unrealized net capital gains and losses	1,662,000,000	1,053,000,000
Fair value of derivative securities classified as liabilities, with unrealized net gains (losses) in AOCI	$ 2,000,000
Fair value of derivative securities classified as assets, with unrealized net gains (losses) in AOCI		$ 5,000,000

Investments - Change in unrealized net capital gains and losses (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	$ 857	$ 745	$ (2,148)
Amounts recognized for:
Insurance reserves	(315)	0	28
DAC and DSI	(50)	(79)	112
Amounts recognized	(365)	(79)	140
Deferred income taxes	117	(233)	702
Increase (decrease) in unrealized net capital gains and losses, after-tax	609	433	(1,306)
EMA limited partnerships
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	5	0	1
Fixed income securities
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	204	516	(2,021)
Equity securities
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	651	233	(136)
Derivatives
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	$ (3)	$ (4)	$ 8

Investments - Continuous unrealized loss positions (Details) $ in Millions	Dec. 31, 2017 USD ($) security	Dec. 31, 2016 USD ($) security
U.S. government and agencies
Less than 12 months
Number of issues \| security	66	46
Fair value	$ 2,829	$ 943
Unrealized losses	$ (18)	$ (9)
12 months or more
Number of issues \| security	18	0
Fair value	$ 182	$ 0
Unrealized losses	(2)	0
Total unrealized losses	$ (20)	$ (9)
Municipal
Less than 12 months
Number of issues \| security	1,756	1,310
Fair value	$ 3,143	$ 3,073
Unrealized losses	$ (24)	$ (76)
12 months or more
Number of issues \| security	165	8
Fair value	$ 349	$ 29
Unrealized losses	(12)	(11)
Total unrealized losses	$ (36)	$ (87)
Corporate
Less than 12 months
Number of issues \| security	781	862
Fair value	$ 11,616	$ 13,343
Unrealized losses	$ (102)	$ (256)
12 months or more
Number of issues \| security	208	83
Fair value	$ 3,289	$ 678
Unrealized losses	(102)	(63)
Total unrealized losses	$ (204)	$ (319)
Foreign government
Less than 12 months
Number of issues \| security	45	41
Fair value	$ 580	$ 225
Unrealized losses	$ (10)	$ (4)
12 months or more
Number of issues \| security	5	0
Fair value	$ 44	$ 0
Unrealized losses	(1)	0
Total unrealized losses	$ (11)	$ (4)
ABS
Less than 12 months
Number of issues \| security	57	31
Fair value	$ 476	$ 222
Unrealized losses	$ (3)	$ (1)
12 months or more
Number of issues \| security	9	14
Fair value	$ 34	$ 109
Unrealized losses	(4)	(10)
Total unrealized losses	$ (7)	$ (11)
RMBS
Less than 12 months
Number of issues \| security	118	89
Fair value	$ 35	$ 53
Unrealized losses	$ (1)	$ (1)
12 months or more
Number of issues \| security	181	179
Fair value	$ 50	$ 91
Unrealized losses	(2)	(7)
Total unrealized losses	$ (3)	$ (8)
CMBS
Less than 12 months
Number of issues \| security	2	15
Fair value	$ 1	$ 59
Unrealized losses	$ 0	$ (4)
12 months or more
Number of issues \| security	6	4
Fair value	$ 23	$ 15
Unrealized losses	(2)	(5)
Total unrealized losses	$ (2)	$ (9)
Redeemable preferred stock
Less than 12 months
Number of issues \| security	1	1
Fair value	$ 0	$ 0
Unrealized losses	$ 0	$ 0
12 months or more
Number of issues \| security	0	0
Fair value	$ 0	$ 0
Unrealized losses	0	0
Total unrealized losses	$ 0	$ 0
Fixed income securities
Less than 12 months
Number of issues \| security	2,826	2,395
Fair value	$ 18,680	$ 17,918
Unrealized losses	$ (158)	$ (351)
12 months or more
Number of issues \| security	592	288
Fair value	$ 3,971	$ 922
Unrealized losses	(125)	(96)
Total unrealized losses	$ (283)	$ (447)
Equity securities
Less than 12 months
Number of issues \| security	127	195
Fair value	$ 369	$ 654
Unrealized losses	$ (12)	$ (56)
12 months or more
Number of issues \| security	2	46
Fair value	$ 0	$ 165
Unrealized losses	0	(29)
Total unrealized losses	$ (12)	$ (85)
Fixed income and equity securities
Less than 12 months
Number of issues \| security	2,953	2,590
Fair value	$ 19,049	$ 18,572
Unrealized losses	$ (170)	$ (407)
12 months or more
Number of issues \| security	594	334
Fair value	$ 3,971	$ 1,087
Unrealized losses	(125)	(125)
Total unrealized losses	$ (295)	$ (532)
Investment grade fixed income securities
Less than 12 months
Number of issues \| security	2,706	2,202
Fair value	$ 17,668	$ 15,678
Unrealized losses	$ (134)	$ (293)
12 months or more
Number of issues \| security	535	201
Fair value	$ 3,751	$ 493
Unrealized losses	(98)	(51)
Total unrealized losses	$ (232)	$ (344)
Below investment grade fixed income securities
Less than 12 months
Number of issues \| security	120	193
Fair value	$ 1,012	$ 2,240
Unrealized losses	$ (24)	$ (58)
12 months or more
Number of issues \| security	57	87
Fair value	$ 220	$ 429
Unrealized losses	(27)	(45)
Total unrealized losses	$ (51)	$ (103)

Investments - Unrealized loss and Limited partnerships (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Other details of unrealized loss
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	$ 269
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	26
Limited partnership interests	6,740	$ 5,814
Fixed income and equity securities
Other details of unrealized loss
Available-for-sale securities, continuous unrealized loss position, accumulated loss	295	532
Investment grade fixed income securities
Other details of unrealized loss
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	219
Available-for-sale securities, continuous unrealized loss position, accumulated loss	232	344
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	13
Equity securities
Other details of unrealized loss
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	11
Available-for-sale securities, continuous unrealized loss position, accumulated loss	12	85
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	1
Below investment grade fixed income securities
Other details of unrealized loss
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	39
Available-for-sale securities, continuous unrealized loss position, accumulated loss	51	103
Available for sale securities, unrealized losses having loss of less than twenty percent, less than 12 months	22
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	12
Unrealized losses related to securities with unrealized loss position greater than 20% of cost or amortized cost, unrealized loss position of 12 or more consecutive months	2
EMA limited partnerships
Other details of unrealized loss
Limited partnership interests	5,410	4,530
Cost-method limited partnership interests
Other details of unrealized loss
Limited partnership interests	$ 1,330	$ 1,280

Investments - Mortgage loans (Details) $ in Millions	12 Months Ended
Investments - Mortgage loans (Details) $ in Millions	Dec. 31, 2017 USD ($) loan	Dec. 31, 2016 USD ($)
Mortgage Loans on Real Estate
Carrying value	$ 4,534	$ 4,486
Percent	100.00%	100.00%
Mortgage loans, not in foreclosure
Mortgage Loans on Real Estate
Number of loans \| loan	285
Carrying value	$ 4,534
Percent	100.00%
Mortgage loans, not in foreclosure \| 2018
Mortgage Loans on Real Estate
Number of loans \| loan	17
Carrying value	$ 169
Percent	3.70%
Mortgage loans, not in foreclosure \| 2019
Mortgage Loans on Real Estate
Number of loans \| loan	10
Carrying value	$ 268
Percent	5.90%
Mortgage loans, not in foreclosure \| 2020
Mortgage Loans on Real Estate
Number of loans \| loan	14
Carrying value	$ 192
Percent	4.20%
Mortgage loans, not in foreclosure \| 2021
Mortgage Loans on Real Estate
Number of loans \| loan	43
Carrying value	$ 625
Percent	13.80%
Mortgage loans, not in foreclosure \| Thereafter
Mortgage Loans on Real Estate
Number of loans \| loan	201
Carrying value	$ 3,280
Percent	72.40%
Apartment complex
Mortgage Loans on Real Estate
Percent	30.90%	27.60%
Office buildings
Mortgage Loans on Real Estate
Percent	23.80%	23.90%
Retail
Mortgage Loans on Real Estate
Percent	18.00%	20.40%
Warehouse
Mortgage Loans on Real Estate
Percent	15.70%	17.00%
Other
Mortgage Loans on Real Estate
Percent	11.60%	11.10%
California
Mortgage Loans on Real Estate
Percent	19.90%	19.30%
Texas
Mortgage Loans on Real Estate
Percent	13.00%	10.50%
New Jersey
Mortgage Loans on Real Estate
Percent	7.60%	8.20%
Illinois
Mortgage Loans on Real Estate
Percent	7.10%	6.70%
Florida
Mortgage Loans on Real Estate
Percent	6.40%	5.40%

Investments - Nonimpaired and impaired mortgage loans (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2017	Dec. 31, 2016
Carrying value of non-impaired mortgage loans, summarized by debt service coverage ratio distribution
Total				$ 4,534	$ 4,486
Mortgage loans, non-impaired
Carrying value of non-impaired mortgage loans, summarized by debt service coverage ratio distribution
Fixed rate mortgage loans				4,438	4,442
Variable rate mortgage loans				92	39
Total				4,530	4,481
Net carrying value of impaired mortgage loans
Impaired mortgage loans with a valuation allowance				4	5
Impaired mortgage loans without a valuation allowance				0	0
Total impaired mortgage loans				4	5
Valuation allowance on impaired mortgage loans	$ 3	$ 3	$ 8	3	3
Rollforward of the valuation allowance on impaired mortgage loans
Beginning balance	3	3	8
Net increase (decrease) in valuation allowance	1	0	(4)
Charge offs	(1)	0	(1)
Ending balance	3	3	3
Mortgage loans, non-impaired \| Below 1.0
Carrying value of non-impaired mortgage loans, summarized by debt service coverage ratio distribution
Fixed rate mortgage loans				3	60
Variable rate mortgage loans				0	0
Total				3	60
Mortgage loans, non-impaired \| 1.0 - 1.25
Carrying value of non-impaired mortgage loans, summarized by debt service coverage ratio distribution
Fixed rate mortgage loans				345	324
Variable rate mortgage loans				0	0
Total				345	324
Mortgage loans, non-impaired \| 1.26 - 1.50
Carrying value of non-impaired mortgage loans, summarized by debt service coverage ratio distribution
Fixed rate mortgage loans				1,141	1,293
Variable rate mortgage loans				30	0
Total				1,171	1,293
Mortgage loans, non-impaired \| Above 1.50
Carrying value of non-impaired mortgage loans, summarized by debt service coverage ratio distribution
Fixed rate mortgage loans				2,949	2,765
Variable rate mortgage loans				62	39
Total				$ 3,011	$ 2,804
Mortgage loans
Average carrying value and interest income recognized on impaired mortgage loans
Average impaired mortgage loans	$ 7	$ 6	$ 11

Investments - Securities loaned and Other (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Securities loaned
Fixed income and equity securities loaned	$ 1,090	$ 1,080
Interest Income on collateral, net of fees	7	6	$ 2
Other investment information
Below investment grade assets	7,570	$ 8,620
Fixed income securities and short-term investments deposited with regulatory authorities	154
Non-income producing fixed income securities and other investments	$ 51
Shareholders' equity \| Concentration of credit risk \| Minimum
Municipal Bonds
Percentage of credit concentration risk of single issuer and affiliates of shareholder's equity	10.00%
Texas
Municipal Bonds
Percentage of municipal bonds carrying value	9.60%	10.00%
California
Municipal Bonds
Percentage of municipal bonds carrying value	7.00%	7.20%
New York
Municipal Bonds
Percentage of municipal bonds carrying value	6.90%	6.80%
Florida
Municipal Bonds
Percentage of municipal bonds carrying value	6.50%	5.70%
Washington
Municipal Bonds
Percentage of municipal bonds carrying value	5.40%	5.60%
Michigan
Municipal Bonds
Percentage of municipal bonds carrying value	4.20%	5.40%

Fair Value of Assets and Liabilities - Assets and liabilities measured at fair value on a recurring and non-recurring basis (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assets
Fixed income securities	$ 58,992	$ 57,839
Equity securities	6,621	5,666
Short-term investments	1,944	4,288
Other investments: Free-standing derivatives	1	1	$ 1
Separate account assets	3,444	3,393
Counterparty and cash collateral netting	$ (6)	$ (9)
Assets as a percent of assets measured at fair value	0.00%	0.00%
Liabilities
Other liabilities: Free-standing derivatives		$ (3)	$ (8)
Counterparty and cash collateral netting	$ 14	$ 28
Liabilities as a percent of liabilities measured at fair value	(3.90%)	(8.40%)
Limited partnership interests	$ 3	$ 24
U.S. government and agencies
Assets
Fixed income securities	3,616	3,637
Municipal
Assets
Fixed income securities	8,328	7,333
Foreign government
Assets
Fixed income securities	1,021	1,075
RMBS
Assets
Fixed income securities	578	728
CMBS
Assets
Fixed income securities	128	270
Redeemable preferred stock
Assets
Fixed income securities	23	24
Quoted prices in active markets for identical assets (Level 1)
Assets
Total assets at fair value	$ 12,819	$ 12,408
Assets as a percent of assets measured at fair value	18.00%	17.40%
Liabilities
Liabilities as a percent of liabilities measured at fair value	0.30%	0.30%
Significant other observable inputs (Level 2)
Assets
Total assets at fair value	$ 57,478	$ 58,161
Assets as a percent of assets measured at fair value	80.80%	81.50%
Liabilities
Liabilities as a percent of liabilities measured at fair value	23.30%	20.40%
Significant unobservable inputs (Level 3)
Assets
Total assets at fair value	$ 840	$ 762
Assets as a percent of assets measured at fair value	1.20%	1.10%
Liabilities
Liabilities as a percent of liabilities measured at fair value	80.30%	87.70%
Recurring
Assets
Counterparty and cash collateral netting	$ (6)	$ (9)
Liabilities
Counterparty and cash collateral netting	14	28
Recurring \| Quoted prices in active markets for identical assets (Level 1)
Assets
Fixed income securities	3,079	2,918
Equity securities	6,032	5,247
Short-term investments	264	850
Other investments: Free-standing derivatives	0	0
Separate account assets	3,444	3,393
Other assets	0	0
Total assets at fair value	12,819	12,408
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	0	0
Other liabilities: Free-standing derivatives	(1)	(1)
Total liabilities at fair value	(1)	(1)
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| U.S. government and agencies
Assets
Fixed income securities	3,079	2,918
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| Municipal
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| Corporate - public
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| Corporate - privately placed
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| Foreign government
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| ABS - CDO
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| ABS - consumer and other
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| RMBS
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| CMBS
Assets
Fixed income securities	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| Redeemable preferred stock
Assets
Fixed income securities	0	0
Recurring \| Significant other observable inputs (Level 2)
Assets
Fixed income securities	55,307	54,363
Equity securities	379	256
Short-term investments	1,660	3,423
Other investments: Free-standing derivatives	132	119
Separate account assets	0	0
Other assets	0	0
Total assets at fair value	57,478	58,161
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	0	0
Other liabilities: Free-standing derivatives	(83)	(68)
Total liabilities at fair value	(83)	(68)
Recurring \| Significant other observable inputs (Level 2) \| U.S. government and agencies
Assets
Fixed income securities	537	719
Recurring \| Significant other observable inputs (Level 2) \| Municipal
Assets
Fixed income securities	8,227	7,208
Recurring \| Significant other observable inputs (Level 2) \| Corporate - public
Assets
Fixed income securities	31,963	31,414
Recurring \| Significant other observable inputs (Level 2) \| Corporate - privately placed
Assets
Fixed income securities	11,731	11,846
Recurring \| Significant other observable inputs (Level 2) \| Foreign government
Assets
Fixed income securities	1,021	1,075
Recurring \| Significant other observable inputs (Level 2) \| ABS - CDO
Assets
Fixed income securities	480	650
Recurring \| Significant other observable inputs (Level 2) \| ABS - consumer and other
Assets
Fixed income securities	645	452
Recurring \| Significant other observable inputs (Level 2) \| RMBS
Assets
Fixed income securities	578	727
Recurring \| Significant other observable inputs (Level 2) \| CMBS
Assets
Fixed income securities	102	248
Recurring \| Significant other observable inputs (Level 2) \| Redeemable preferred stock
Assets
Fixed income securities	23	24
Recurring \| Significant unobservable inputs (Level 3)
Assets
Fixed income securities	606	558
Equity securities	210	163
Short-term investments	20	15
Other investments: Free-standing derivatives	1	1
Separate account assets	0	0
Other assets	0	1
Total assets at fair value	837	738
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	(286)	(290)
Other liabilities: Free-standing derivatives	0	(3)
Total liabilities at fair value	(286)	(293)
Recurring \| Significant unobservable inputs (Level 3) \| U.S. government and agencies
Assets
Fixed income securities	0	0
Recurring \| Significant unobservable inputs (Level 3) \| Municipal
Assets
Fixed income securities	101	125
Recurring \| Significant unobservable inputs (Level 3) \| Corporate - public
Assets
Fixed income securities	108	78
Recurring \| Significant unobservable inputs (Level 3) \| Corporate - privately placed
Assets
Fixed income securities	224	263
Recurring \| Significant unobservable inputs (Level 3) \| Foreign government
Assets
Fixed income securities	0	0
Recurring \| Significant unobservable inputs (Level 3) \| ABS - CDO
Assets
Fixed income securities	99	27
Recurring \| Significant unobservable inputs (Level 3) \| ABS - consumer and other
Assets
Fixed income securities	48	42
Recurring \| Significant unobservable inputs (Level 3) \| RMBS
Assets
Fixed income securities	0	1
Recurring \| Significant unobservable inputs (Level 3) \| CMBS
Assets
Fixed income securities	26	22
Recurring \| Significant unobservable inputs (Level 3) \| Redeemable preferred stock
Assets
Fixed income securities	0	0
Non-recurring \| Quoted prices in active markets for identical assets (Level 1)
Assets
Total assets at fair value	0	0
Non-recurring \| Significant other observable inputs (Level 2)
Assets
Total assets at fair value	0	0
Non-recurring \| Significant unobservable inputs (Level 3)
Assets
Total assets at fair value	3	24
Fair value
Assets
Total assets at fair value	$ 71,131	$ 71,322
Assets as a percent of assets measured at fair value	100.00%	100.00%
Liabilities
Liabilities as a percent of liabilities measured at fair value	100.00%	100.00%
Fair value \| Recurring
Assets
Fixed income securities	$ 58,992	$ 57,839
Equity securities	6,621	5,666
Short-term investments	1,944	4,288
Other investments: Free-standing derivatives	127	111
Separate account assets	3,444	3,393
Other assets	0	1
Total assets at fair value	71,128	71,298
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	(286)	(290)
Other liabilities: Free-standing derivatives	(70)	(44)
Total liabilities at fair value	(356)	(334)
Fair value \| Recurring \| U.S. government and agencies
Assets
Fixed income securities	3,616	3,637
Fair value \| Recurring \| Municipal
Assets
Fixed income securities	8,328	7,333
Fair value \| Recurring \| Corporate - public
Assets
Fixed income securities	32,071	31,492
Fair value \| Recurring \| Corporate - privately placed
Assets
Fixed income securities	11,955	12,109
Fair value \| Recurring \| Foreign government
Assets
Fixed income securities	1,021	1,075
Fair value \| Recurring \| ABS - CDO
Assets
Fixed income securities	579	677
Fair value \| Recurring \| ABS - consumer and other
Assets
Fixed income securities	693	494
Fair value \| Recurring \| RMBS
Assets
Fixed income securities	578	728
Fair value \| Recurring \| CMBS
Assets
Fixed income securities	128	270
Fair value \| Recurring \| Redeemable preferred stock
Assets
Fixed income securities	23	24
Fair value \| Non-recurring
Assets
Total assets at fair value	$ 3	$ 24

Fair Value of Assets and Liabilities - Quantitative information about Level 3 instruments (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Quantitative information about the significant unobservable inputs
Fixed income securities	$ 58,992	$ 57,839
Derivatives embedded in life and annuity contracts - Equity-indexed and forward starting options \| Stochastic cash flow model
Quantitative information about the significant unobservable inputs
Weighted average projected option cost	1.74%	1.75%
Derivatives embedded in life and annuity contracts - Equity-indexed and forward starting options \| Minimum \| Stochastic cash flow model
Quantitative information about the significant unobservable inputs
Projected option cost	1.00%	1.00%
Derivatives embedded in life and annuity contracts - Equity-indexed and forward starting options \| Maximum \| Stochastic cash flow model
Quantitative information about the significant unobservable inputs
Projected option cost	2.20%	2.20%
Fixed income securities - non-binding broker quotes
Quantitative information about the significant unobservable inputs
Assets, fair value disclosure	$ 271	$ 307
Municipal - not rated by third party credit rating agencies
Quantitative information about the significant unobservable inputs
Assets, fair value disclosure	58	80
Significant unobservable inputs (Level 3)
Quantitative information about the significant unobservable inputs
Assets, fair value disclosure	840	762
Significant unobservable inputs (Level 3) \| Derivatives embedded in life and annuity contracts - Equity-indexed and forward starting options \| Stochastic cash flow model
Quantitative information about the significant unobservable inputs
Liabilities at fair value	(252)	(247)
Recurring \| Significant unobservable inputs (Level 3)
Quantitative information about the significant unobservable inputs
Liabilities at fair value	(286)	(293)
Fixed income securities	606	558
Assets, fair value disclosure	$ 837	$ 738

Fair Value of Assets and Liabilities - Rollforward of level 3 assets and liabilities held at fair value (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assets
Balance at beginning of period	$ 735	$ 973	$ 1,469
Total gains (losses) included in: net income	22	3	5
Total gains (losses) included in: OCI	15	23	(28)
Transfers into Level 3	94	76	59
Transfers out of Level 3	(369)	(559)	(433)
Purchases	533	410	276
Sales	(113)	(79)	(223)
Issues	0	0	0
Settlements	(80)	(112)	(152)
Balance at end of period	837	735	973
Liabilities
Balance at beginning of period	(290)	(299)	(323)
Total gains (losses) included in: net income	0	(5)	(19)
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	0	0
Purchases	0	0	0
Sales	0	0	0
Issues	(2)	(3)	(2)
Settlements	6	7	7
Balance at end of period	(286)	(290)	(299)
Fair value assets and liabilities measured on recurring basis, gain (loss) included in earnings
Gain (loss) included in earnings	22	8	24
Other investments: Free-standing derivatives	1	1	1
Free-standing derivatives, liabilities		3	8
Assets transferred between Level 1 and Level 2	0	0	0
Liabilities transferred between Level 1 and Level 2	0	0	0
Realized capital gains and losses
Assets
Total gains (losses) included in: net income	4	(9)	(8)
Net investment income
Assets
Total gains (losses) included in: net income	19	12	13
Interest credited to contractholder funds
Assets
Total gains (losses) included in: net income	(10)	(4)	26
Life and annuity contract benefits
Assets
Total gains (losses) included in: net income	9	9	(7)
Contractholder funds: Derivatives embedded in life and annuity contracts
Liabilities
Balance at beginning of period	(290)	(299)	(323)
Total gains (losses) included in: net income	0	(5)	(19)
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	0	0
Purchases	0	0	0
Sales	0	0	0
Issues	(2)	(3)	(2)
Settlements	6	7	7
Balance at end of period	(286)	(290)	(299)
U.S. government and agencies
Assets
Balance at beginning of period	0	5	6
Total gains (losses) included in: net income		0	0
Total gains (losses) included in: OCI		0	0
Transfers into Level 3		0	0
Transfers out of Level 3		(4)	0
Purchases		0	0
Sales		0	0
Issues		0	0
Settlements		(1)	(1)
Balance at end of period		0	5
Municipal
Assets
Balance at beginning of period	125	161	270
Total gains (losses) included in: net income	(1)	12	(4)
Total gains (losses) included in: OCI	7	(10)	(7)
Transfers into Level 3	0	6	3
Transfers out of Level 3	(6)	(23)	(2)
Purchases	8	22	0
Sales	(29)	(40)	(91)
Issues	0	0	0
Settlements	(3)	(3)	(8)
Balance at end of period	101	125	161
Corporate - public
Assets
Balance at beginning of period	78	46	214
Total gains (losses) included in: net income	0	0	0
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	4	41	0
Transfers out of Level 3	(30)	(43)	(175)
Purchases	60	47	11
Sales	0	(11)	0
Issues	0	0	0
Settlements	(4)	(2)	(4)
Balance at end of period	108	78	46
Corporate - privately placed
Assets
Balance at beginning of period	263	502	677
Total gains (losses) included in: net income	8	15	13
Total gains (losses) included in: OCI	(2)	18	(20)
Transfers into Level 3	30	16	13
Transfers out of Level 3	(49)	(398)	(106)
Purchases	44	181	79
Sales	(30)	(15)	(74)
Issues	0	0	0
Settlements	(40)	(56)	(80)
Balance at end of period	224	263	502
ABS - CDO
Assets
Balance at beginning of period	27	61	104
Total gains (losses) included in: net income	0	1	(1)
Total gains (losses) included in: OCI	6	6	4
Transfers into Level 3	60	10	43
Transfers out of Level 3	(190)	(43)	(52)
Purchases	219	40	0
Sales	0	(3)	(2)
Issues	0	0	0
Settlements	(23)	(45)	(35)
Balance at end of period	99	27	61
ABS - consumer and other
Assets
Balance at beginning of period	42	50	92
Total gains (losses) included in: net income	0	0	(1)
Total gains (losses) included in: OCI	0	(3)	0
Transfers into Level 3	0	3	0
Transfers out of Level 3	(90)	(35)	(98)
Purchases	103	35	70
Sales	0	(5)	(5)
Issues	0	0	0
Settlements	(7)	(3)	(8)
Balance at end of period	48	42	50
RMBS
Assets
Balance at beginning of period	1	1	1
Total gains (losses) included in: net income	0	1	0
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	0	0
Purchases	0	0	0
Sales	0	(1)	0
Issues	0	0	0
Settlements	(1)	0	0
Balance at end of period	0	1	1
CMBS
Assets
Balance at beginning of period	22	20	23
Total gains (losses) included in: net income	0	0	0
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	(1)	0
Purchases	6	5	12
Sales	0	0	0
Issues	0	0	0
Settlements	(2)	(2)	(15)
Balance at end of period	26	22	20
Fixed income securities
Assets
Balance at beginning of period	558	846	1,387
Total gains (losses) included in: net income	7	29	7
Total gains (losses) included in: OCI	11	11	(23)
Transfers into Level 3	94	76	59
Transfers out of Level 3	(365)	(547)	(433)
Purchases	440	330	172
Sales	(59)	(75)	(172)
Issues	0	0	0
Settlements	(80)	(112)	(151)
Balance at end of period	606	558	846
Equity securities
Assets
Balance at beginning of period	163	133	83
Total gains (losses) included in: net income	13	(32)	(3)
Total gains (losses) included in: OCI	4	12	(5)
Transfers into Level 3	0	0	0
Transfers out of Level 3	(4)	(12)	0
Purchases	48	65	69
Sales	(14)	(4)	(11)
Issues	0	0	0
Settlements	0	1	0
Balance at end of period	210	163	133
Short-term investments
Assets
Balance at beginning of period	15	0	5
Total gains (losses) included in: net income	0	0	0
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	0	0
Purchases	45	15	35
Sales	(40)	0	(40)
Issues	0	0	0
Settlements	0	0	0
Balance at end of period	20	15	0
Free-standing derivatives, net
Assets
Balance at beginning of period	(2)	(7)	(7)
Total gains (losses) included in: net income	3	6	1
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	0	0
Purchases	0	0	0
Sales	0	0	0
Issues	0	0	0
Settlements	0	(1)	(1)
Balance at end of period	1	(2)	(7)
Other assets
Assets
Balance at beginning of period	1	1	1
Total gains (losses) included in: net income	(1)	0	0
Total gains (losses) included in: OCI	0	0	0
Transfers into Level 3	0	0	0
Transfers out of Level 3	0	0	0
Purchases	0	0	0
Sales	0	0	0
Issues	0	0	0
Settlements	0	0	0
Balance at end of period	$ 0	$ 1	$ 1

Fair Value of Assets and Liabilities - Change in level 3 assets and liabilities (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	$ 10	$ (23)	$ (2)
Gains (losses) for Level 3 liabilities still held at the balance sheet date, included in earnings	0	5	19
Gains (losses) for Level 3 assets and liabilities still held at the balance sheet date, included in earnings	10	(18)	17
Realized capital gains and losses
Gains (losses) included in net income for Level 3 assets and liabilities:
Gains (losses) for Level 3 assets still held at the balance sheet date	(8)	(36)	(20)
Net investment income
Gains (losses) included in net income for Level 3 assets and liabilities:
Gains (losses) for Level 3 assets still held at the balance sheet date	19	13	18
Interest credited to contractholder funds
Gains (losses) included in net income for Level 3 assets and liabilities:
Gains (losses) for Level 3 assets still held at the balance sheet date	(10)	(4)	26
Life and annuity contract benefits
Gains (losses) included in net income for Level 3 assets and liabilities:
Gains (losses) for Level 3 assets still held at the balance sheet date	9	9	(7)
Contractholder funds: Derivatives embedded in life and annuity contracts
Gains (losses) included in net income for Level 3 assets and liabilities:
Gains (losses) for Level 3 liabilities still held at the balance sheet date, included in earnings	0	5	19
Municipal
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	(3)	2	(12)
Corporate
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	1	2	11
ABS
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	0	0	2
Fixed income securities
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	(2)	4	1
Equity securities
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	13	(32)	(4)
Free-standing derivatives, net
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	0	5	1
Other assets
Gains (losses) included in net income for Level 3 assets and liabilities:
Fair value assets measured on recurring basis, change in unrealized gain (loss) included in earnings	$ (1)	$ 0	$ 0

Fair Value of Assets and Liabilities - Carrying values and fair value estimates (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Financial assets
Mortgage loans	$ 4,534	$ 4,486
Financial liabilities
Long-term debt	6,350	6,347
Liability for collateral	1,124	1,129	$ 840	$ 782
Carrying value
Financial assets
Mortgage loans	4,534	4,486
Cost method limited partnerships	1,327	1,282
Bank loans	1,702	1,669
Agent loans	538	467
Financial liabilities
Contractholder funds on investment contracts	10,367	11,313
Long-term debt	6,350	6,347
Liability for collateral	1,124	1,129
Fair value
Financial assets
Mortgage loans	4,732	4,514
Cost method limited partnerships	1,569	1,493
Bank loans	1,704	1,677
Agent loans	536	467
Financial liabilities
Contractholder funds on investment contracts	11,071	12,009
Long-term debt	7,199	6,920
Liability for collateral	$ 1,124	$ 1,129

Derivative Financial Instruments and Off-balance sheet Financial Instruments - Summary of the volume and fair value positions (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) contract	Dec. 31, 2016 USD ($) contract
Derivative Financial Instruments and Off-balance sheet Financial Instruments
Assumed recoveries under sale of credit protection	$ 0
Cash and securities pledged in the form of margin deposits	10
Derivatives, Fair Value
Total asset derivatives, Notional amount	255	$ 1,103
Total liability derivatives, Notional amount	3,133	2,673
Total derivatives, Notional amount	$ 3,388	$ 3,776
Total asset derivatives, Number of contracts \| contract	6,605	4,233
Total liability derivatives, Number of contracts \| contract	7,128	4,848
Total derivatives, Number of contracts \| contract	13,733	9,081
Net amount on balance sheet	$ 126	$ 93
Asset derivatives, Gross asset	127	121
Asset derivatives, gross liability	(1)	(28)
Net amount on balance sheet	(363)	(334)
Total derivatives, Fair value, net	(237)	(241)
Liability derivatives, Gross asset	6	0
Liability derivatives, Gross liability	(369)	(334)
Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount		$ 1,054
Total liability derivatives, Notional amount	$ 3,114
Total asset derivatives, Number of contracts \| contract		4,233
Total liability derivatives, Number of contracts \| contract	7,128
Net amount on balance sheet		$ 88
Asset derivatives, Gross asset		116
Asset derivatives, gross liability		(28)
Net amount on balance sheet	$ (365)
Liability derivatives, Gross asset	4
Liability derivatives, Gross liability	(369)
Foreign currency swap agreements \| Other investments \| Derivatives designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount		49
Net amount on balance sheet		5
Asset derivatives, Gross asset		5
Asset derivatives, gross liability		0
Foreign currency swap agreements \| Other liabilities & accrued expenses \| Derivatives designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	19
Net amount on balance sheet	2
Liability derivatives, Gross asset	2
Liability derivatives, Gross liability	0
Interest rate cap agreements \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	15	65
Net amount on balance sheet	0	1
Asset derivatives, Gross asset	0	1
Asset derivatives, gross liability	0	0
Interest rate cap agreements \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	30
Net amount on balance sheet	1
Liability derivatives, Gross asset	1
Liability derivatives, Gross liability	0
Options \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	$ 0	$ 0
Total asset derivatives, Number of contracts \| contract	6,316	3,972
Net amount on balance sheet	$ 125	$ 88
Asset derivatives, Gross asset	125	88
Asset derivatives, gross liability	0	0
Financial futures contracts \| Other assets \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	$ 0	$ 0
Total asset derivatives, Number of contracts \| contract	289	261
Net amount on balance sheet	$ 0	$ 0
Asset derivatives, Gross asset	0	0
Asset derivatives, gross liability	0	0
Options and futures \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	$ 0	$ 0
Total liability derivatives, Number of contracts \| contract	7,128	4,848
Net amount on balance sheet	$ (58)	$ (39)
Liability derivatives, Gross asset	0	0
Liability derivatives, Gross liability	(58)	(39)
Foreign currency forwards \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	52	759
Net amount on balance sheet	1	0
Asset derivatives, Gross asset	1	24
Asset derivatives, gross liability	0	(24)
Foreign currency forwards \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	650
Net amount on balance sheet	(17)
Liability derivatives, Gross asset	3
Liability derivatives, Gross liability	(20)
Guaranteed accumulation benefits \| Contractholder funds \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	225	391
Net amount on balance sheet	(22)	(34)
Liability derivatives, Gross asset	0	0
Liability derivatives, Gross liability	(22)	(34)
Guaranteed withdrawal benefits \| Contractholder funds \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	274	290
Net amount on balance sheet	(12)	(9)
Liability derivatives, Gross asset	0	0
Liability derivatives, Gross liability	(12)	(9)
Equity-indexed and forward starting options in life and annuity product contracts \| Contractholder funds \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	1,774	1,751
Net amount on balance sheet	(252)	(247)
Liability derivatives, Gross asset	0	0
Liability derivatives, Gross liability	(252)	(247)
Credit default swaps – buying protection \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	105	87
Net amount on balance sheet	(1)	(4)
Asset derivatives, Gross asset	0	0
Asset derivatives, gross liability	(1)	(4)
Credit default swaps – buying protection \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	136	136
Net amount on balance sheet	(5)	(2)
Liability derivatives, Gross asset	0	0
Liability derivatives, Gross liability	(5)	(2)
Credit default swaps – selling protection \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	80	140
Net amount on balance sheet	1	2
Asset derivatives, Gross asset	1	2
Asset derivatives, gross liability	0	0
Credit default swaps – selling protection \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, Notional amount	25	105
Net amount on balance sheet	0	(3)
Liability derivatives, Gross asset	0	0
Liability derivatives, Gross liability	0	(3)
Other contracts \| Other assets \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, Notional amount	3	3
Net amount on balance sheet	0	1
Asset derivatives, Gross asset	0	1
Asset derivatives, gross liability	$ 0	$ 0

Derivative Financial Instruments and Off-balance sheet Financial Instruments - Gross and net amounts for OTC derivatives (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Asset derivatives
Gross amount	$ 127	$ 121
Derivative asset, fair value, gross liability	(1)	(28)
Net amount on balance sheet	126	93
Liability derivatives
Gross amount	(369)	(334)
Liability derivatives, Gross asset	6	0
Net amount on balance sheet	(363)	(334)
OTC derivatives
Asset derivatives
Gross amount	8	31
Derivative asset, fair value, gross liability	(7)	(28)
Derivative asset offsets under cash collateral pledged	1	19
Net amount on balance sheet	2	22
Securities collateral (received) pledged	0	(9)
Net amount	2	13
Liability derivatives
Gross amount	(26)	(33)
Liability derivatives, Gross asset	7	28
Derivative liability offsets under cash collateral pledged	7	0
Net amount on balance sheet	(12)	(5)
Securities collateral (received) pledged	3	4
Net amount	$ (9)	$ (1)

Derivative Financial Instruments and Off-balance sheet Financial Instruments - Cash Flow Hedges (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Derivative [Line Items]
(Loss) gain recognized in OCI on derivatives during the period	$ (2,000,000)	$ 0	$ 10,000,000
(Loss) gain recognized in OCI on derivatives during the term of the hedging relationship	(1,000,000)	2,000,000	6,000,000
Cash flow hedge gain to be reclassified from AOCI during the next twelve months	2,000,000
Net gain (loss) recognized in earnings during the reporting period representing the amount of the fair value of the hedges' ineffectiveness.	0	0	0
Reclassification out of Accumulated Other Comprehensive Income \| Cash flow hedges \| Net investment income
Derivative [Line Items]
Investment Income, Net	1,000,000	1,000,000	(1,000,000)
Reclassification out of Accumulated Other Comprehensive Income \| Cash flow hedges \| Realized capital gains and losses
Derivative [Line Items]
Investment Income, Net	$ 0	$ 3,000,000	$ 3,000,000

Derivative Financial Instruments and Off-balance sheet Financial Instruments - OTC derivatives counterparty credit exposure (Details) $ in Millions	Dec. 31, 2017 USD ($) counter-party	Dec. 31, 2016 USD ($) counter-party
Derivative Financial Instruments and Off-balance sheet Financial Instruments
Cash and securities pledged as collateral by counterparties	$ 3
Securities pledged as collateral to counterparties	14
Collateral posted under MNAs, credit-risk-contingent provisions in a liability position	6	$ 0
Collateral already posted, aggregate fair value, without credit-risk-contingent features	$ 8
Credit Derivatives
Number of counter-parties \| counter-party	4	8
Notional amount	$ 108	$ 888
Credit exposure	4	23
Exposure, net of collateral	1	12
Gross liability fair value of contracts containing credit-risk-contingent features	28	9
Gross asset fair value of contracts containing credit-risk-contingent features and subject to MNAs	(17)	(7)
Collateral posted under MNAs for contracts containing credit-risk-contingent features	(6)	0
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	$ 5	$ 2
AA–
Credit Derivatives
Number of counter-parties \| counter-party	1	2
Notional amount	$ 18	$ 80
Credit exposure	1	2
Exposure, net of collateral	$ 0	$ 2
A plus
Credit Derivatives
Number of counter-parties \| counter-party	3	5
Notional amount	$ 90	$ 698
Credit exposure	3	20
Exposure, net of collateral	$ 1	$ 9
A-
Credit Derivatives
Number of counter-parties \| counter-party	0	1
Notional amount	$ 0	$ 110
Credit exposure	0	1
Exposure, net of collateral	$ 0	$ 1

Derivative Financial Instruments and Off-balance sheet Financial Instruments - CDS notional amounts by credit rating (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) entity	Dec. 31, 2016 USD ($)
Derivative Financial Instruments and Off-balance sheet Financial Instruments
Term of credit default swaps	5 years
Credit Derivatives
Notional amount	$ 3,388	$ 3,776
The number of reference entities generally included in a CDX index \| entity	125
Credit default contracts
Credit Derivatives
Notional amount	$ 105	245
Fair value	1	(1)
Credit default contracts \| Single name \| Corporate
Credit Derivatives
Notional amount	25	65
Fair value	0	1
Credit default contracts \| First-to-default Basket \| Municipal
Credit Derivatives
Notional amount		100
Fair value		(3)
Credit default contracts \| Index \| Corporate
Credit Derivatives
Notional amount	80	80
Fair value	1	1
AA \| Credit default contracts
Credit Derivatives
Notional amount	1	21
AA \| Credit default contracts \| Single name \| Corporate
Credit Derivatives
Notional amount	0	20
AA \| Credit default contracts \| First-to-default Basket \| Municipal
Credit Derivatives
Notional amount		0
AA \| Credit default contracts \| Index \| Corporate
Credit Derivatives
Notional amount	1	1
A \| Credit default contracts
Credit Derivatives
Notional amount	29	29
A \| Credit default contracts \| Single name \| Corporate
Credit Derivatives
Notional amount	10	10
A \| Credit default contracts \| First-to-default Basket \| Municipal
Credit Derivatives
Notional amount		0
A \| Credit default contracts \| Index \| Corporate
Credit Derivatives
Notional amount	19	19
BBB \| Credit default contracts
Credit Derivatives
Notional amount	55	185
BBB \| Credit default contracts \| Single name \| Corporate
Credit Derivatives
Notional amount	10	35
BBB \| Credit default contracts \| First-to-default Basket \| Municipal
Credit Derivatives
Notional amount		100
BBB \| Credit default contracts \| Index \| Corporate
Credit Derivatives
Notional amount	45	50
BB and lower \| Credit default contracts
Credit Derivatives
Notional amount	20	10
BB and lower \| Credit default contracts \| Single name \| Corporate
Credit Derivatives
Notional amount	5	0
BB and lower \| Credit default contracts \| First-to-default Basket \| Municipal
Credit Derivatives
Notional amount		0
BB and lower \| Credit default contracts \| Index \| Corporate
Credit Derivatives
Notional amount	$ 15	$ 10

Derivative Financial Instruments and Off-balance sheet Financial Instruments - Off balance sheet financial instruments (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Derivative Financial Instruments and Off-balance sheet Financial Instruments
Commitments to invest in limited partnership interests	$ 3,121	$ 2,979
Private placement commitments	96	69
Other loan commitments	$ 97	$ 83

Reserve for Property-Liability Insurance Claims and Claims Expense - Rollforward of reserve for property and casualty insurance claims and claims expense (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Claims and claims expense paid related to:
Balance as of December 31	$ 26,325
Property-Liability
Activity in the reserve for property-liability insurance claims and claims expense:
Balance as of January 1	25,250	$ 23,869	$ 22,923
Less reinsurance recoverables	6,184	5,892	5,694
Net balance as of January 1	19,066	17,977	17,229
Incurred claims and claims expense related to:
Current year	22,432	22,238	20,953
Prior years	(503)	(17)	81
Total incurred	21,929	22,221	21,034
Claims and claims expense paid related to:
Current year	14,194	14,222	13,660
Prior years	6,964	6,910	6,626
Total paid	21,158	21,132	20,286
Net balance as of December 31	19,854	19,066	17,977
Plus reinsurance recoverables	6,471	6,184	5,892
Balance as of December 31	26,325	25,250	23,869
SquareTrade \| Property-Liability
Incurred claims and claims expense related to:
SquareTrade acquisition as of January 3, 2017	$ 17	$ 0	$ 0

Reserve for Property-Liability Insurance Claims and Claims Expense - Incurred and claims expense narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Auto
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves	$ (490)	$ (155)	$ 30
Catastrophes
Increase (decrease) in claims and claims expense
Losses from catastrophes, net of recoveries	3,230	2,570	1,720
Non-catastrophes loss reestimates \| Homeowners
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves	(131)	(24)
Catastrophe loss reestimates
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves	18	6	(15)
Catastrophe loss reestimates \| Homeowners
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves			(24)
Reserve reestimates \| Other personal lines
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves	22	57	22
Reserve reestimates \| Discontinued Lines and Coverages
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves		$ 105	$ 53
Discontinued Lines and Coverages \| Catastrophe loss reestimates
Increase (decrease) in claims and claims expense
Net increase (decrease) to reserves	$ 96

Reserve for Property-Liability Insurance Claims and Claims Expense - Claims and allocated claim adjustment expenses, net of reinsurance (Details) $ in Millions	Dec. 31, 2017 USD ($) claim	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)
Increase (decrease) in claims and claims expense
Liabilities for claims and claim adjustment expenses, net of reinsurance	$ 19,854
Auto insurance - Liability coverage
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	41,370
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	29,464
All outstanding liabilities before 2013, net of reinsurance	1,275
Liabilities for claims and claim adjustment expenses, net of reinsurance	13,181
Auto insurance - Liability coverage \| Accident Year 2013
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	7,317	$ 7,387	$ 7,446	$ 7,429	$ 7,461
IBNR reserves plus expected development on reported claims	$ 513
Cumulative number of reported claims \| claim	2,114,149
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 6,804	6,493	5,946	4,993	2,955
Auto insurance - Liability coverage \| Accident Year 2014
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	7,785	7,882	7,955	7,889
IBNR reserves plus expected development on reported claims	$ 951
Cumulative number of reported claims \| claim	2,194,476
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 6,834	6,265	5,322	3,177
Auto insurance - Liability coverage \| Accident Year 2015
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	8,721	8,816	8,896
IBNR reserves plus expected development on reported claims	$ 1,828
Cumulative number of reported claims \| claim	2,380,096
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 6,893	5,846	3,529
Auto insurance - Liability coverage \| Accident Year 2016
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	8,926	9,169
IBNR reserves plus expected development on reported claims	$ 3,149
Cumulative number of reported claims \| claim	2,387,023
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 5,777	3,491
Auto insurance - Liability coverage \| Accident Year 2017
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	8,621
IBNR reserves plus expected development on reported claims	$ 5,465
Cumulative number of reported claims \| claim	2,112,379
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,156
Auto insurance - Physical damage coverage
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	22,980
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	22,668
All outstanding liabilities before 2013, net of reinsurance	9
Liabilities for claims and claim adjustment expenses, net of reinsurance	321
Auto insurance - Physical damage coverage \| Accident Year 2013
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	3,842	3,844	3,854	3,866	3,894
IBNR reserves plus expected development on reported claims	$ 1
Cumulative number of reported claims \| claim	3,777,287
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,841	3,841	3,841	3,848	3,718
Auto insurance - Physical damage coverage \| Accident Year 2014
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	4,273	4,270	4,296	4,308
IBNR reserves plus expected development on reported claims	$ 3
Cumulative number of reported claims \| claim	4,144,310
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 4,270	4,273	4,281	4,148
Auto insurance - Physical damage coverage \| Accident Year 2015
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	4,676	4,688	4,663
IBNR reserves plus expected development on reported claims	$ 11
Cumulative number of reported claims \| claim	4,388,829
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 4,665	4,679	4,513
Auto insurance - Physical damage coverage \| Accident Year 2016
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	5,058	5,136
IBNR reserves plus expected development on reported claims	$ 19
Cumulative number of reported claims \| claim	4,426,714
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 5,039	4,895
Auto insurance - Physical damage coverage \| Accident Year 2017
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	5,131
IBNR reserves plus expected development on reported claims	$ 278
Cumulative number of reported claims \| claim	4,075,755
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 4,853
Homeowners
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	18,793
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	16,917
All outstanding liabilities before 2013, net of reinsurance	173
Liabilities for claims and claim adjustment expenses, net of reinsurance	2,049
Homeowners \| Accident Year 2013
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	3,121	3,142	3,163	3,170	3,098
IBNR reserves plus expected development on reported claims	$ 51
Cumulative number of reported claims \| claim	682,873
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,070	3,045	2,998	2,885	$ 2,288
Homeowners \| Accident Year 2014
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	3,621	3,653	3,651	3,608
IBNR reserves plus expected development on reported claims	$ 88
Cumulative number of reported claims \| claim	765,001
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,533	3,481	3,365	$ 2,736
Homeowners \| Accident Year 2015
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	3,560	3,622	3,572
IBNR reserves plus expected development on reported claims	$ 158
Cumulative number of reported claims \| claim	720,102
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,402	3,299	$ 2,589
Homeowners \| Accident Year 2016
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	4,001	3,972
IBNR reserves plus expected development on reported claims	$ 319
Cumulative number of reported claims \| claim	809,045
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,682	$ 2,950
Homeowners \| Accident Year 2017
Increase (decrease) in claims and claims expense
Incurred claims and allocated claim adjustment expenses, net of reinsurance	4,490
IBNR reserves plus expected development on reported claims	$ 1,260
Cumulative number of reported claims \| claim	840,254
Cumulative paid claims and allocated claims adjustment expenses, net of reinsurance	$ 3,230

Reserve for Property-Liability Insurance Claims and Claims Expense - Average annual percentage payout of incurred claims by age, net of reinsurance (Details)	Dec. 31, 2017
Auto
Claims Development [Line Items]
1 year	40.20%
2 years	27.40%
3 years	12.50%
4 years	8.00%
5 years	4.70%
Auto insurance - Physical damage coverage
Claims Development [Line Items]
1 year	96.60%
2 years	3.20%
3 years	(0.20%)
4 years	0.00%
5 years	0.00%
Homeowners
Claims Development [Line Items]
1 year	74.60%
2 years	18.60%
3 years	2.90%
4 years	1.30%
5 years	0.70%

Reserve for Property-Liability Insurance Claims and Claims Expense - Reconciliation of the net incurred and paid claims development (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Claims Development [Line Items]
Net outstanding liabilities:	$ 19,854
Unallocated loss adjustment expenses	978
Reinsurance recoverable:	6,471
Unallocated loss adjustment expenses	4
Gross reserve for property and casualty insurance claims and claims expense	26,325
Reserves for asbestos claims	884	$ 912
Reinsurance recoverables for asbestos claims	412	444
Reserves for environmental claims	166	179
Reinsurance recoverables for environmental claims	33	$ 40
Discontinued Lines and Coverages
Claims Development [Line Items]
Net outstanding liabilities:	1,335
Reinsurance recoverable:	485
Gross reserve for property and casualty insurance claims and claims expense	733
Auto insurance - Liability coverage
Claims Development [Line Items]
Net outstanding liabilities:	13,181
Reinsurance recoverable:	5,715
Auto insurance - Physical damage coverage
Claims Development [Line Items]
Net outstanding liabilities:	321
Reinsurance recoverable:	0
Homeowners insurance
Claims Development [Line Items]
Net outstanding liabilities:	2,049
Reinsurance recoverable:	23
Other personal lines
Claims Development [Line Items]
Net outstanding liabilities:	1,311
Reinsurance recoverable:	214
Commercial lines
Claims Development [Line Items]
Net outstanding liabilities:	593
Reinsurance recoverable:	20
Service Businesses
Claims Development [Line Items]
Net outstanding liabilities:	86
Reinsurance recoverable:	$ 10

Reserve for Life-Contingent Contract Benefits and Contractholder Funds - Reserve for life-contingent contract benefits (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Reserve for life-contingent benefits:
Total reserve for life-contingent contract benefits	$ 12,549,000,000	$ 12,239,000,000
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Premium deficiency reserve	(315,000,000)	0
Unrealized net capital gains and losses	249,000,000
Structured settlement annuities
Reserve for life-contingent benefits:
Total reserve for life-contingent contract benefits	$ 6,994,000,000	6,681,000,000
Structured settlement annuities \| Minimum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	2.90%
Structured settlement annuities \| Maximum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	9.00%
Other immediate fixed annuities
Reserve for life-contingent benefits:
Total reserve for life-contingent contract benefits	$ 1,855,000,000	1,941,000,000
Other immediate fixed annuities \| Minimum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	0.00%
Other immediate fixed annuities \| Maximum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	11.50%
Traditional life insurance
Reserve for life-contingent benefits:
Total reserve for life-contingent contract benefits	$ 2,722,000,000	2,643,000,000
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Premium deficiency reserve	$ 315,000,000
Traditional life insurance \| Minimum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	2.50%
Traditional life insurance \| Maximum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	11.30%
Accident and health insurance
Reserve for life-contingent benefits:
Total reserve for life-contingent contract benefits	$ 893,000,000	873,000,000
Accident and health insurance \| Minimum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	3.00%
Accident and health insurance \| Maximum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	7.00%
Other
Reserve for life-contingent benefits:
Total reserve for life-contingent contract benefits	$ 85,000,000	$ 101,000,000
Other \| Minimum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	2.00%
Other \| Maximum
Key assumptions generally used in calculating the reserve for life-contingent contract benefits:
Life contingent contract benefits, interest rate assumptions (as a percent)	5.80%

Reserve for Life-Contingent Contract Benefits and Contractholder Funds - Key assumptions (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Key contract provisions relating to contractholder funds:
Total contractholder funds	$ 19,434	$ 20,260	$ 21,295	$ 22,529
Interest-sensitive life insurance
Key contract provisions relating to contractholder funds:
Period for withdrawal or surrender charges	20 years
Total contractholder funds	$ 8,190	8,062
Equity-indexed life insurance \| Minimum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	0.00%
Equity-indexed life insurance \| Maximum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	10.50%
Other life insurance \| Minimum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	1.00%
Other life insurance \| Maximum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	6.00%
Fixed annuities
Key contract provisions relating to contractholder funds:
Percent of fixed annuities subject to market value adjustment for discretionary withdrawals	16.70%
Total contractholder funds	$ 10,828	11,933
Immediate Fixed Annuities \| Minimum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	0.00%
Immediate Fixed Annuities \| Maximum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	9.80%
Equity-indexed fixed annuities \| Minimum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	(8.00%)
Equity-indexed fixed annuities \| Maximum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	12.30%
Other fixed annuities \| Minimum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	0.10%
Other fixed annuities \| Maximum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	6.00%
Other investment contracts
Key contract provisions relating to contractholder funds:
Total contractholder funds	$ 416	$ 265
Other investment contracts \| Minimum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	1.50%
Other investment contracts \| Maximum
Key contract provisions relating to contractholder funds:
Contractholder funds, interest rate assumptions (as a percent)	10.30%

Reserve for Life-Contingent Contract Benefits and Contractholder Funds - Contractholder funds activity (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Contractholder funds activity
Balance, beginning of year	$ 20,260	$ 21,295	$ 22,529
Deposits	1,130	1,164	1,203
Interest credited	687	722	760
Benefits	(901)	(966)	(1,077)
Surrenders and partial withdrawals	(999)	(1,053)	(1,278)
Maturities of and interest payments on institutional products	0	(86)	(1)
Contract charges	(826)	(829)	(818)
Net transfers from separate accounts	5	5	7
Other adjustments	78	8	(30)
Balance, end of year	$ 19,434	$ 20,260	$ 21,295

Reserve for Life-Contingent Contract Benefits and Contractholder Funds - Variable annuity contracts with guarantees (Details) - Variable annuities - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Variable annuity contracts with guarantees
Account balances of separate accounts with guarantees, invested in equity, fixed income and balanced mutual funds	$ 3,020	$ 2,930
Account balances of separate accounts with guarantees, invested in money market mutual funds	322	364
In the event of death
Variable annuity contracts with guarantees
Separate account value	3,344	3,298
Net amount at risk	$ 454	$ 585
Average attained age of contractholders	70 years	70 years
At annuitization (includes income benefit guarantees)
Variable annuity contracts with guarantees
Separate account value	$ 944	$ 915
Net amount at risk	202	265
For cumulative periodic withdrawals
Variable annuity contracts with guarantees
Separate account value	253	267
Net amount at risk	10	10
Accumulation at specified dates
Variable annuity contracts with guarantees
Separate account value	170	310
Net amount at risk	$ 17	$ 26
Weighted average waiting period until guarantee date	5 years	3 years

Reserve for Life-Contingent Contract Benefits and Contractholder Funds - Summary of liabilities for guarantees (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	$ 365	$ 366
Less reinsurance recoverables	184	222
Net balance at beginning of period	181	144
Incurred guarantee benefits	45	37
Paid guarantee benefits	(2)	0
Net change	43	37
Net balance at end of period	224	181
Plus reinsurance recoverables	146	184
Balance at end of period	370	365
In the event of death \| Variable annuities
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	100	105
Balance at end of period	85	100
At annuitization (includes income benefit guarantees) \| Variable annuities
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	40	65
Balance at end of period	26	40
Accumulation at specified dates \| Variable annuities
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	34	38
Balance at end of period	22	34
For cumulative periodic withdrawals \| Variable annuities
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	9	14
Balance at end of period	12	9
Other Guarantees \| Variable annuities
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	182	144
Balance at end of period	225	182
Liability for guarantees related to death benefits and interest-sensitive life products
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	244	223
Less reinsurance recoverables	101	106
Net balance at beginning of period	143	117
Incurred guarantee benefits	34	26
Paid guarantee benefits	(2)	0
Net change	32	26
Net balance at end of period	175	143
Plus reinsurance recoverables	87	101
Balance at end of period	262	244
At annuitization (includes income benefit guarantees)
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	44	68
Less reinsurance recoverables	40	64
Net balance at beginning of period	4	4
Incurred guarantee benefits	0	0
Paid guarantee benefits	0	0
Net change	0	0
Net balance at end of period	4	4
Plus reinsurance recoverables	25	40
Balance at end of period	29	44
Liability for guarantees related to accumulation and withdrawal benefits
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward]
Balance at beginning of period	77	75
Less reinsurance recoverables	43	52
Net balance at beginning of period	34	23
Incurred guarantee benefits	11	11
Paid guarantee benefits	0	0
Net change	11	11
Net balance at end of period	45	34
Plus reinsurance recoverables	34	43
Balance at end of period	$ 79	$ 77

Reinsurance - Effects of reinsurance on property and casualty premiums (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Property and casualty insurance premiums earned
Direct	$ 35,115	$ 34,015	$ 32,915
Assumed	837	863	890
Ceded	(1,274)	(1,296)	(1,338)
Net amount	34,678	33,582	32,467
Life premiums and contract charges
Life premiums and contract charges, net of reinsurance	2,378	2,275	2,158
Property-liability insurance premiums earned
Property and casualty insurance premiums written
Direct	33,685	32,614	31,924
Assumed	64	47	39
Ceded	(1,007)	(1,061)	(1,092)
Property and casualty insurance premiums written, net of reinsurance	32,742	31,600	30,871
Property and casualty insurance premiums earned
Direct	33,221	32,249	31,274
Assumed	50	45	41
Ceded	(971)	(987)	(1,006)
Net amount	32,300	31,307	30,309
Life and annuity premiums and contract charges
Life premiums and contract charges
Direct	1,894	1,766	1,641
Assumed	787	818	849
Ceded	(303)	(309)	(332)
Life premiums and contract charges, net of reinsurance	$ 2,378	$ 2,275	$ 2,158

Reinsurance - Property and casualty reinsurance recoverable (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	$ 8,921	$ 8,745
Property-Liability
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	6,570	6,280
Reinsurance recoverables related to losses paid by the Company and billed to reinsurers	96	93
Reinsurance recoverables related to ceded unpaid losses	6,471	6,184	$ 5,892	$ 5,694
Maximum amount due from any single reinsurer not separately disclosed	31	35
Discontinued Lines and Coverages
Reinsurance Retention Policy [Line Items]
Allowance for uncollectible reinsurance	70	84
Westport Insurance Corporation \| Property-Liability
Reinsurance Retention Policy [Line Items]
Largest reinsurance recoverable from a single reinsurer	$ 61	$ 61

Reinsurance - Industry pools and facilities (Details)	6 Months Ended	12 Months Ended				24 Months Ended
Reinsurance - Industry pools and facilities (Details)	Jun. 30, 2017 USD ($)	May 31, 2018 USD ($) hurricane	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Jun. 30, 2019 USD ($)	Jun. 30, 2017 USD ($)
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net			$ 8,921,000,000	$ 8,745,000,000
Cash and invested assets			112,422,000,000	108,610,000,000
Accumulated deficit			(43,162,000,000)	(40,678,000,000)
Ceded premium earned			1,274,000,000	1,296,000,000	$ 1,338,000,000
Michigan Catastrophic Claim Association
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net			$ 5,260,000,000	4,950,000,000
Reinsurance increase, percentage			6.00%
Retention level per claim							$ 545,000
Term of catastrophe reinsurance agreement contract							2 years
Program funding, per vehicle annual assessment			$ 170
Cash and invested assets	$ 19,600,000,000						$ 19,600,000,000
Accumulated deficit	2,630,000,000						$ 2,630,000,000
Retained earnings accumulated deficit increase (decrease)	$ 46,080,000,000
National Flood Insurance Program
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net			88,000,000	77,000,000
Ceded premium earned			263,000,000	274,000,000	293,000,000
Ceded losses incurred			1,120,000,000	537,000,000	120,000,000
New Jersey Unsatisfied Claim and Judgment Fund
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net			493,000,000	506,000,000
Minimum medical benefits portion of personal injury protection coverage for reimbursement to insurers for policies issued or renewed prior to January 1, 1991			75,000
Minimum medical benefits portion of personal injury protection coverage for reimbursement to insurers for policies issued or renewed from January 1, 1991 to December 31, 2004			75,000
Maximum reimbursement to insurers for medical benefits paid under personal injury protection coverage.			250,000
Reinsurance, administration assessments paid			8,900,000
Florida Hurricane Catastrophe Fund
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net			19,000,000	0
Ceded premium earned			11,000,000	12,000,000	13,000,000
Ceded losses incurred			$ 19,000,000	$ 0	$ 0
Scenario, Forecast \| Michigan Catastrophic Claim Association
Reinsurance Retention Policy [Line Items]
Retention level per claim						$ 555,000
Term of catastrophe reinsurance agreement contract						2 years
Scenario, Forecast \| Florida Hurricane Catastrophe Fund
Reinsurance Retention Policy [Line Items]
Percent of losses in excess of retention level to be reimbursed		90.00%
Retention level for losses related to 2 largest hurricanes		$ 56,000,000
Number of storms \| hurricane		2
Retention level for losses related to other hurricanes		$ 19,000,000
Maximum Retention level for losses related to hurricanes		$ 187,000,000

Reinsurance - Catastrophe reinsurance (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) contract
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 500
Nationwide Per Occurrence Excess Catastrophe Reinsurance Program
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	4,420
Retention amount for catastrophe reinsurance agreement contracts	$ 500
Catastrophe reinsurance, number of agreements \| contract	3

Reinsurance - Per Occurrence Excess Agreement (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) layer reinstatement
Reinsurance Retention Policy [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 500
Catastrophe Reinsurance First Five Layers
Reinsurance Retention Policy [Line Items]
Number of layers subject to reinstatement in which catastrophe reinsurance agreement contracts are placed \| layer	3
Retention percentage of reinsurance limit	31.70%
Catastrophe Reinsurance Sixth Layer
Reinsurance Retention Policy [Line Items]
Retention percentage of reinsurance limit	95.00%
Catastrophe Reinsurance Layer, One to Six
Reinsurance Retention Policy [Line Items]
Limit of aggregate losses under aggregate excess agreement	$ 3,070
Catastrophe Reinsurance Eight Layer
Reinsurance Retention Policy [Line Items]
Retention percentage of reinsurance limit	29.37%
Catastrophe reinsurance aggregate annual loss limit	$ 446
Catastrophe Reinsurance, Six And Eight Layer
Reinsurance Retention Policy [Line Items]
Number of reinstatements each year for each contract \| reinstatement	1
Term of catastrophe reinsurance agreement contract	7 years
Catastrophe Reinsurance, Eight And Nine Layer
Reinsurance Retention Policy [Line Items]
Retention percentage of reinsurance limit	100.00%
Limit of aggregate losses under aggregate excess agreement	$ 25
Retention amount for catastrophe reinsurance agreement contracts	2,750
Catastrophe reinsurance aggregate annual loss limit	$ 1,670
Reinsured risk, percentage	5.00%

Reinsurance - 2014-1 PCS Excess Agreement (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) contract state
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 500
2014-1 PCS
Ceded Credit Risk [Line Items]
Number of states covered by reinsurance agreement \| state	29
Number of catastrophe reinsurance agreement contracts \| contract	3
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Seventh Layer
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	$ 305
Retention percentage of reinsurance limit	95.00%
Catastrophe reinsurance aggregate annual loss limit	$ 321
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Seventh Layer \| Minimum
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	3,070
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Seventh Layer \| Maximum
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	3,400
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Eighth Layer
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	$ 115
Retention percentage of reinsurance limit	26.00%
Catastrophe reinsurance aggregate annual loss limit	$ 446
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Eighth Layer \| Minimum
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	3,400
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Eighth Layer \| Maximum
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	3,840
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Ninth Layer
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	$ 330
Retention percentage of reinsurance limit	57.00%
Catastrophe reinsurance aggregate annual loss limit	$ 578
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Ninth Layer \| Minimum
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	3,840
Property Claims Services Catastrophe Reinsurance Agreement Coverage, Ninth Layer \| Maximum
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 4,420

Reinsurance - 2017-1 Excess Catastrophe Reinsurance Contract (Details) $ in Millions	9 Months Ended	12 Months Ended
	Dec. 31, 2017 USD ($)	Dec. 31, 2017 USD ($) state
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts		$ 500
2017-1 Excess Catastrophe Reinsurance Contract
Ceded Credit Risk [Line Items]
Number of states covered by reinsurance agreement \| state		48
Limit of aggregate losses under aggregate excess agreement	$ 375
Retention percentage of reinsurance limit	37.00%
Catastrophe reinsurance aggregate annual loss limit	$ 1,020
Minimum \| 2017-1 Excess Catastrophe Reinsurance Contract
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	3,400
Maximum \| 2017-1 Excess Catastrophe Reinsurance Contract
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 4,420

Reinsurance - Florida Excess Catastrophe Reinsurance Agreement (Details) $ in Millions	6 Months Ended	7 Months Ended	12 Months Ended
	Jun. 30, 2017 USD ($)	Dec. 31, 2017 USD ($) hurricane	Dec. 31, 2017 USD ($) contract limit
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts			$ 500
Number of hurricanes \| hurricane		2
Florida Excess Catastrophe Reinsurance Agreement
Ceded Credit Risk [Line Items]
Contracts number \| contract			5
Number of contracts, traditional market \| contract			2
Catastrophe reinsurance aggregate loss limit, remaining		$ 168	$ 168
Catastrophe reinsurance aggregate, loss limit per contract year, percent	90.00%
Catastrophe reinsurance loss amount	$ 187
Florida Excess Catastrophe Reinsurance Agreement, Provisional
Ceded Credit Risk [Line Items]
Retention percentage of reinsurance limit			100.00%
Number of limits available per contract year \| limit			3
Limit of aggregate losses under aggregate excess agreement			$ 38
Retention amount for catastrophe reinsurance agreement contracts			$ 20
Catastrophe reinsurance agreement contracts, number of limits remaining per a contract year \| limit			2
Florida Excess Catastrophe Reinsurance Agreement, Two Largest Hurricanes
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement		56
Retention amount for catastrophe reinsurance agreement contracts		19
Florida Excess Catastrophe Reinsurance Agreement, Personal Property Lines
Ceded Credit Risk [Line Items]
Retention percentage of reinsurance limit			100.00%
Limit of aggregate losses under aggregate excess agreement			$ 231
Retention amount for catastrophe reinsurance agreement contracts			20
Catastrophe reinsurance aggregate loss limit, exhausted		27	27
Hurricane \| Florida Excess Catastrophe Reinsurance Agreement
Ceded Credit Risk [Line Items]
Catastrophe reinsurance aggregate loss limit, exhausted		19	19
Hurricane \| Florida Excess Catastrophe Reinsurance Agreement, Provisional
Ceded Credit Risk [Line Items]
Catastrophe reinsurance aggregate loss limit, exhausted		$ 38	$ 38

Reinsurance - Sanders and New Jersey Reinsurance Agreement (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) contract reinstatement
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 500
Sanders Re 2014-2 contract
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	200
Retention amount for catastrophe reinsurance agreement contracts	$ 20
Term of catastrophe reinsurance agreement contract	3 years
New Jersey Agreement
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	$ 400
Contracts number \| contract	3
New Jersey Agreement Contract One
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 150
Retention percentage of reinsurance limit	31.67%
Number of reinstatements each year for each contract \| reinstatement	1
New Jersey Agreement Contract Two
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 144
Retention percentage of reinsurance limit	31.67%
Number of reinstatements each year for each contract \| reinstatement	1
New Jersey Agreement Contract Three
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 165
Retention percentage of reinsurance limit	31.66%
Number of reinstatements each year for each contract \| reinstatement	1

Reinsurance - Pennsylvania, Kentucky, Florida and Southern States Reinsurance Agreement (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) contract limit
Ceded Credit Risk [Line Items]
Retention amount for catastrophe reinsurance agreement contracts	$ 500
Pennsylvania Agreement
Ceded Credit Risk [Line Items]
Term of catastrophe reinsurance agreement contract	3 years
Number of limits \| limit	3
Limit of aggregate losses under aggregate excess agreement	$ 100
Retention amount for catastrophe reinsurance agreement contracts	$ 100
Number of limits available per contract year \| limit	2
Contracts number \| contract	1
Retention percentage of reinsurance limit	95.00%
Kentucky Agreement
Ceded Credit Risk [Line Items]
Term of catastrophe reinsurance agreement contract	3 years
Number of limits \| limit	3
Limit of aggregate losses under aggregate excess agreement	$ 28
Retention amount for catastrophe reinsurance agreement contracts	$ 2
Number of limits available per contract year \| limit	2
Contracts number \| contract	1
Retention percentage of reinsurance limit	95.00%
Aggregate Excess Catastrophe Florida Reinsurance Contract
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	$ 200
Southeast States Reinsurance Contract
Ceded Credit Risk [Line Items]
Limit of aggregate losses under aggregate excess agreement	300
Retention amount for catastrophe reinsurance agreement contracts	$ 200

Reinsurance - California E&S Earthquake Contract (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) contract	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Ceded Credit Risk [Line Items]
Ceded premium earned	$ 1,274	$ 1,296	$ 1,338
E&S Earthquake Agreement
Ceded Credit Risk [Line Items]
Contracts number \| contract	1
Catastrophe insurance, quota share basis, percentage	100.00%
Ceded premium earned	$ 344	$ 381	$ 414

Reinsurance - Asbestos, environmental and other, Allstate Financial (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) reinsurer	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	$ 8,921	$ 8,745
Life insurance in force ceded to unaffiliated reinsurers	86,642	90,011	$ 93,326
Lloyds of London
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	167	174
Allstate Financial
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	$ 2,354	2,468
Percent of morbidity risk ceded for term-life insurance policies	90.00%
Number of unaffiliated reinsurers \| reinsurer	14
Gross life insurance in force	$ 447,860
Life insurance in force ceded to unaffiliated reinsurers	86,640
Allstate Financial \| Prudential
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	1,350	1,410
Allstate Financial \| Citigroup Subsidiaries and Scottish Re
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	139	144
Life and annuity premiums and contract charges \| Allstate Financial \| Prudential
Reinsurance Retention Policy [Line Items]
Ceded losses incurred	76	78	94
Life and annuity contract benefits
Reinsurance Retention Policy [Line Items]
Ceded losses incurred	179	208	219
Life and annuity contract benefits \| Allstate Financial \| Prudential
Reinsurance Retention Policy [Line Items]
Ceded losses incurred	7	21	40
Interest credited to contractholder funds
Reinsurance Retention Policy [Line Items]
Ceded losses incurred	25	26	25
Interest credited to contractholder funds \| Allstate Financial \| Prudential
Reinsurance Retention Policy [Line Items]
Ceded losses incurred	20	20	21
Operating costs and expenses \| Allstate Financial \| Prudential
Reinsurance Retention Policy [Line Items]
Ceded losses incurred	15	$ 15	$ 18
LBL
Reinsurance Retention Policy [Line Items]
Investments held by trust	$ 5,890
Reinsurer Concentration Risk \| A- \| Allstate Financial
Reinsurance Retention Policy [Line Items]
Concentration risk, percentage	92.00%	92.00%

Reinsurance - Retention limits by period of policy issuance (Details) - Allstate Financial - USD ($) $ in Millions	1 Months Ended	33 Months Ended	45 Months Ended	48 Months Ended	106 Months Ended
	Aug. 31, 1998	Dec. 31, 2017	Mar. 31, 2011	Mar. 31, 2015	Jun. 30, 2007
Reinsurance Retention Policy [Line Items]
Retention level per claim	$ 1		$ 5		$ 2
Retention level for contracts issued to individuals age 70 and over			3
Retention level for certain large contracts meeting specific criteria			$ 10		$ 5
Single life
Reinsurance Retention Policy [Line Items]
Retention level per claim		$ 2		$ 5
Retention level for contracts issued to individuals age 70 and over				3
Retention level for certain large contracts meeting specific criteria				10
Joint life
Reinsurance Retention Policy [Line Items]
Retention level per claim				8
Retention level for certain large contracts meeting specific criteria				$ 10

Reinsurance - Reinsurance recoverables on paid and unpaid benefits (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	$ 8,921	$ 8,745
Allstate Financial
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	2,354	2,468
Allstate Financial \| Annuities
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	1,370	1,424
Allstate Financial \| Life insurance
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	817	860
Allstate Financial \| Other
Reinsurance Retention Policy [Line Items]
Reinsurance recoverables, net	$ 167	$ 184

Deferred Policy Acquisition and Sales Inducement Costs (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Deferred policy acquisition costs
Balance, beginning of year	$ 3,954	$ 3,861	$ 3,525
Acquisition costs deferred	5,001	4,717	4,596
Amortization charged to income	(4,784)	(4,550)	(4,364)
Effect of unrealized gains and losses	(46)	(74)	104
Balance, end of year	4,191	3,954	3,861
DSI activity relates to fixed annuities and interest-sensitive life contracts
Balance, beginning of year	40	45	44
Sales inducements deferred	0	1	3
Amortization charged to income	(4)	(5)	(4)
Effect of unrealized gains and losses	0	(1)	2
Balance, end of year	36	40	45
SquareTrade
Deferred policy acquisition costs
Acquisition costs deferred	$ 66	$ 0	$ 0

Capital Structure - Total debt outstanding (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 08, 2016
Debt Instrument [Line Items]
Due after one year through five years	$ 493	$ 493
Due after five years through ten years	1,050	1,050
Due after ten years	4,865	4,865
Total long-term debt principal	6,408	6,408
Debt issuance costs	(58)	(61)
Total long-term debt	6,350	6,347
Short-term debt	0	0
Total debt	$ 6,350	6,347
Redemption price as percentage of principal amount plus accrued and unpaid interest	100.00%
6.75% Senior Debentures, due 2018
Debt Instrument [Line Items]
Due after one year through five years	$ 176	176
Note stated interest rate (as a percent)	6.75%
7.45% Senior Notes, due 2019
Debt Instrument [Line Items]
Due after one year through five years	$ 317	317
Note stated interest rate (as a percent)	7.45%
3.15% Senior Notes, due 2023
Debt Instrument [Line Items]
Due after five years through ten years	$ 500	500
Note stated interest rate (as a percent)	3.15%
3.28% Senior Notes, due 2026
Debt Instrument [Line Items]
Due after five years through ten years	$ 550	550
Note stated interest rate (as a percent)	3.28%		3.28%
6.125% Senior Notes, due 2032
Debt Instrument [Line Items]
Due after ten years	$ 159	159
Note stated interest rate (as a percent)	6.125%
5.35% Senior Notes due 2033
Debt Instrument [Line Items]
Due after ten years	$ 323	323
Note stated interest rate (as a percent)	5.35%
5.55% Senior Notes due 2035
Debt Instrument [Line Items]
Due after ten years	$ 546	546
Note stated interest rate (as a percent)	5.55%
5.95% Senior Notes, due 2036
Debt Instrument [Line Items]
Due after ten years	$ 386	386
Note stated interest rate (as a percent)	5.95%
6.90% Senior Debentures, due 2038
Debt Instrument [Line Items]
Due after ten years	$ 165	165
Note stated interest rate (as a percent)	6.90%
5.20% Senior Notes due 2042
Debt Instrument [Line Items]
Due after ten years	$ 62	62
Note stated interest rate (as a percent)	5.20%
4.50% Senior Notes, due 2043
Debt Instrument [Line Items]
Due after ten years	$ 500	500
Note stated interest rate (as a percent)	4.50%
4.20% Senior Notes, due 2046
Debt Instrument [Line Items]
Due after ten years	$ 700	700
Note stated interest rate (as a percent)	4.20%		4.20%
5.10% Subordinated Debentures, due 2053
Debt Instrument [Line Items]
Due after ten years	$ 500	500
Note stated interest rate (as a percent)	5.10%
5.75% Subordinated Debentures, due 2053
Debt Instrument [Line Items]
Due after ten years	$ 800	800
Note stated interest rate (as a percent)	5.75%
6.125% Junior Subordinated Debentures, due 2067
Debt Instrument [Line Items]
Due after ten years	$ 224	224
Total long-term debt	$ 224
Note stated interest rate (as a percent)	6.125%
6.50% Junior Subordinated Debentures, due 2067
Debt Instrument [Line Items]
Due after ten years	$ 500	$ 500
Total long-term debt	$ 500
Note stated interest rate (as a percent)	6.50%

Capital Structure - Debt maturities (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Total debt outstanding by maturity:
2018	$ 176
2019	317
2020	0
2021	0
2022	0
Thereafter	5,915
Total long-term debt principal	$ 6,408	$ 6,408

Capital Structure - Narrative (Details)	12 Months Ended
Capital Structure - Narrative (Details)	Dec. 31, 2017 USD ($) director $ / shares shares	Dec. 31, 2016 USD ($) $ / shares shares	Dec. 31, 2015 USD ($)	Dec. 08, 2016 USD ($)
Class of Stock [Line Items]
Repurchase of debt		$ 17,000,000	$ 11,000,000
Long-term debt	$ 6,350,000,000	6,347,000,000
Unsecured revolving credit facility	1,000,000,000.00
Commercial Paper maximum borrowing capacity	1,000,000,000.00
Additional borrowing capacity under credit facility increase provision	$ 500,000,000
Maximum debt to capital ratio allowed under credit facility covenant (as a percent)	37.50%
Credit facility, amount outstanding	$ 0	0
Interest paid on debt	332,000,000	287,000,000	$ 289,000,000
Other liabilities and accrued expenses	$ 169,000,000	$ 132,000,000
Common stock
Common stock, shares issued (in shares) \| shares	900,000,000	900,000,000
Common stock, shares outstanding (in shares) \| shares	355,000,000	366,000,000
Treasury stock, shares (in shares) \| shares	545,000,000	534,000,000
Reacquired shares (in shares) \| shares	16,000,000
Average cost of reacquired shares (in dollars per share) \| $ / shares	$ 89.95
Reissued net shares under equity incentive plans (in shares) \| shares	5,000,000
Preferred stock
Preferred stock, par value (in dollars per share) \| $ / shares	$ 1	$ 1
Period of issuance of common stock prior to dividend declaration date during which dividend declaration is prohibited	90 days
Noncumulative Perpetual Preferred Stock
Class of Stock [Line Items]
Period after occurrence of certain tax and rating agency events in which redemption of debt in whole permissible	90 days
Preferred stock
Preferred stock, par value (in dollars per share) \| $ / shares	$ 1.00
Preferred stock, shares liquidation preference (in dollars per share) \| $ / shares	25,000
Preferred stock, redemption price (in dollars per share) \| $ / shares	$ 25,000
Minimum
Preferred stock
Collective risk-based capital ratios of subsidiaries as a percentage of net written premiums of insurance business	80.00%
Percentage of decline in consolidated shareholders' equity from benchmark quarter	20.00%
Maximum
Preferred stock
Risk-based capital ratios as a percentage of action level risk-based capital	175.00%
Percentage by which consolidated shareholders' equity should increase or decrease to avoid restriction on dividends	20.00%
Maximum \| Noncumulative Perpetual Preferred Stock
Preferred stock
Additional members of the board of directors \| director	2
3.28% Senior Notes, due 2026
Class of Stock [Line Items]
Debt instrument, face amount				$ 550,000,000
Note stated interest rate (as a percent)	3.28%			3.28%
4.20% Senior Notes, due 2046
Class of Stock [Line Items]
Debt instrument, face amount				$ 700,000,000
Note stated interest rate (as a percent)	4.20%			4.20%
5.10% Subordinated Debentures, due 2053
Class of Stock [Line Items]
Note stated interest rate (as a percent)	5.10%
5.75% Subordinated Debentures, due 2053
Class of Stock [Line Items]
Note stated interest rate (as a percent)	5.75%
Subordinated Debentures
Class of Stock [Line Items]
Minimum principal outstanding amount for redemption of debt in whole or in part	$ 25,000,000
Period after occurrence of certain tax and rating agency events in which redemption of debt in whole permissible	90 days
Maximum period for deferment of interest payment	5 years
6.50% Junior Subordinated Debentures, due 2067
Class of Stock [Line Items]
Note stated interest rate (as a percent)	6.50%
Long-term debt	$ 500,000,000
6.125% Junior Subordinated Debentures, due 2067
Class of Stock [Line Items]
Note stated interest rate (as a percent)	6.125%
Long-term debt	$ 224,000,000
The Debentures
Class of Stock [Line Items]
Maximum period for deferment of interest payment	10 years
Reserved common stock authorized and unissued for debentures obligations (in shares) \| shares	75,000,000
7.45% Senior Notes, due 2019
Class of Stock [Line Items]
Note stated interest rate (as a percent)	7.45%
Threshold percentage of repurchase or redemption of outstanding principal debentures for non applicability of promises and covenants contained in the new RCC	10.00%
Period within which threshold percentage of outstanding principal of debentures is to be purchased for non applicability of promises and covenants contained in the new RCC	1 year
Specified period within which percentage of outstanding principal of debentures is to be purchased for non applicability of promises and covenants contained in the new RCC	10 years
7.45% Senior Notes, due 2019 \| Maximum
Class of Stock [Line Items]
Percentage of repurchase or redemption of outstanding principal debentures within specified period for non applicability of promises and covenants contained in the new RCC	25.00%
Commercial Paper
Class of Stock [Line Items]
Amount of commercial paper outstanding	$ 0	$ 0
Limited Partnership
Class of Stock [Line Items]
Other liabilities and accrued expenses	$ 132,000,000	$ 45,000,000
London Interbank Offered Rate (LIBOR) \| 5.10% Subordinated Debentures, due 2053
Class of Stock [Line Items]
Interest rate spread over LIBOR (as a percent)	3.165%
London Interbank Offered Rate (LIBOR) \| 5.75% Subordinated Debentures, due 2053
Class of Stock [Line Items]
Interest rate spread over LIBOR (as a percent)	2.938%
London Interbank Offered Rate (LIBOR) \| 6.50% Junior Subordinated Debentures, due 2067
Class of Stock [Line Items]
Interest rate spread over LIBOR (as a percent)	2.12%
London Interbank Offered Rate (LIBOR) \| 6.125% Junior Subordinated Debentures, due 2067
Class of Stock [Line Items]
Interest rate spread over LIBOR (as a percent)	1.935%

Capital Structure - Outstanding preferred stock (Details) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Class of Stock [Line Items]
Preferred stock, shares issued (in shares)	72,200	72,200
Aggregate liquidation preference	$ 1,805.0
Aggregate dividend payment ($ in millions)	$ 116.0	$ 116.0	$ 116.0
Series A
Class of Stock [Line Items]
Preferred stock, shares issued (in shares)	11,500
Aggregate liquidation preference	$ 287.5
Dividend rate	5.625%
Dividends payable, amount per share (in usd per share)	$ 1.41	$ 1.41	$ 1.41
Aggregate dividend payment ($ in millions)	$ 16.0	$ 16.0	$ 16.0
Series C
Class of Stock [Line Items]
Preferred stock, shares issued (in shares)	15,400
Aggregate liquidation preference	$ 385.0
Dividend rate	6.75%
Dividends payable, amount per share (in usd per share)	$ 1.69	$ 1.69	$ 1.69
Aggregate dividend payment ($ in millions)	$ 26.0	$ 26.0	$ 26.0
Series D
Class of Stock [Line Items]
Preferred stock, shares issued (in shares)	5,400
Aggregate liquidation preference	$ 135.0
Dividend rate	6.625%
Dividends payable, amount per share (in usd per share)	$ 1.66	$ 1.66	$ 1.66
Aggregate dividend payment ($ in millions)	$ 9.0	$ 9.0	$ 9.0
Series E
Class of Stock [Line Items]
Preferred stock, shares issued (in shares)	29,900
Aggregate liquidation preference	$ 747.5
Dividend rate	6.625%
Dividends payable, amount per share (in usd per share)	$ 1.66	$ 1.66	$ 1.66
Aggregate dividend payment ($ in millions)	$ 49.0	$ 49.0	$ 49.0
Series F
Class of Stock [Line Items]
Preferred stock, shares issued (in shares)	10,000
Aggregate liquidation preference	$ 250.0
Dividend rate	6.25%
Dividends payable, amount per share (in usd per share)	$ 1.56	$ 1.56	$ 1.56
Aggregate dividend payment ($ in millions)	$ 16.0	$ 16.0	$ 16.0

Company Restructuring - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Restructuring Cost and Reserve [Line Items]
Restructuring and related charges	$ 109	$ 30	$ 39
Employee costs
Restructuring Cost and Reserve [Line Items]
Cumulative amount incurred to date for active programs	103
Exit costs
Restructuring Cost and Reserve [Line Items]
Cumulative amount incurred to date for active programs	$ 104

Company Restructuring - Changes in the restructuring liability (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($)
Restructuring Reserve
Balance as of December 31, 2016	$ 2
Expense incurred	89
Adjustments to liability	(3)
Payments applied against liability	(43)
Balance as of December 31, 2017	45
Employee costs
Restructuring Reserve
Balance as of December 31, 2016	0
Expense incurred	47
Adjustments to liability	(3)
Payments applied against liability	(29)
Balance as of December 31, 2017	15
Exit costs
Restructuring Reserve
Balance as of December 31, 2016	2
Expense incurred	42
Adjustments to liability	0
Payments applied against liability	(14)
Balance as of December 31, 2017	$ 30

Commitments, Guarantees and Contingent Liabilities - Leases (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Total rent expense for all leases	$ 149	$ 147	$ 179
Operating leases, future minimum lease payments
2018	126
2019	113
2020	95
2021	74
2022	60
Thereafter	175
Total	$ 643

Commitments, Guarantees and Contingent Liabilities - Florida and Louisiana Citizens (Details)	12 Months Ended
	Dec. 31, 2017
FL Citizens
Loss Contingencies
Assessment rate, percent of deficit or prior year premiums	2.00%
Surcharge on policies, deadline for filing prior to imposing	15 days
Emergency assessment maximum percentage of premiums subsequent years, FL OIR	0.00%
LA Citizens
Loss Contingencies
Assessment rate, percent of deficit or prior year premiums	10.00%

Commitments, Guarantees and Contingent Liabilities - Florida Hurricane Catastrophe Fund and California Earthquake Authority (Details) - USD ($) $ in Millions		12 Months Ended
	Sep. 30, 2017	Dec. 31, 2015	Dec. 31, 2017	Dec. 31, 2016
Florida Hurricane Catastrophe Fund
Loss Contingencies
Maximum emergency assessment as percent of premiums, first year			6.00%
Emergency assessment maximum percentage of premiums subsequent years			10.00%
Emergency assessment maximum percentage of premiums subsequent years, FL OIR			0.00%
Catastrophe fund, bonds issued		$ 2,000
California Earthquake Authority
Loss Contingencies
CEA capital balance	$ 5,430
Proceeds of revenue bonds	685
CEA existing reinsurance layer	7,510
Current estimated maximum CEA assessment	1,660
CEA capital balance threshold	350
Estimated maximum second CEA assessment	54
CEA threshold earthquake losses	15,330
CEA capital balance to be restored	350
Projected aggregate claim paying capacity	$ 15,330
Share of the CEA (as a percent)				11.20%
Maximum possible assessment			$ 191

Commitments, Guarantees and Contingent Liabilities - Texas Associations (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Loss Contingencies
Liability for claims	$ 26,325,000,000	$ 25,250,000,000
Texas Windstorm Insurance Association
Loss Contingencies
Issuance of securities to participating insurers upon utilization of funds set aside	$ 1,000,000,000
Participation ratio	13.60%
Texas Fair Plan Association
Loss Contingencies
Liability for claims	$ 8,000,000

Commitments, Guarantees and Contingent Liabilities - New Jersey and North Carolina (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Dec. 31, 2016	Dec. 31, 2015
Loss Contingencies
Property and casualty insurance claims	$ 21,929.0		$ 22,221.0	$ 21,034.0
Earned premiums	35,115.0		$ 34,015.0	$ 32,915.0
North Carolina Reinsurance Facility
Loss Contingencies
Reinsurance recoverables on paid claims	12.5
Reinsurance recoverables on unpaid claims	73.8
Fund's surplus to cover future losses		$ 310.0
Property and casualty insurance claims		50.0
Earned premiums		1,000.0
Clean risk recoupment		173.0
Member loss recoupments		$ 149.0
North Carolina Joint Underwriters Association
Loss Contingencies
Plan surplus receivable	4.6
Funds surplus in member's equity	37.8
North Carolina Insurance Underwriting Association
Loss Contingencies
Funds surplus in member's equity	1,500.0
Maximum possible assessment	$ 1,000.0
Percentage of surcharge on property insurance policy statewide to be remitted to the plan	10.00%

Commitments, Guarantees and Contingent Liabilities - Guaranty funds and Guarantees (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Loss Contingencies
Limitations or indemnifications of reinsurance agreements	$ 0
Guaranty Funds
Loss Contingencies
Liability for insurance assessments	12	$ 4
Insurance assessments, premium tax offsets	19	$ 9
Residual guarantee
Loss Contingencies
Potential leased automobiles residual value	$ 27
Guarantee obligations term, low end of range	1 year
Guarantee obligations term, high end of range	4 years

Commitments, Guarantees and Contingent Liabilities - Other Narrative (Details) $ in Millions						1 Months Ended			12 Months Ended
	Jan. 30, 2018 plaintiff judgment	Dec. 31, 2017 plaintiff	Jul. 06, 2016 plaintiff	May 20, 2016 plaintiff	Jan. 01, 2015 plaintiff	Jun. 30, 2017 plaintiff trial	Dec. 31, 2016 plaintiff	Jun. 30, 2015 plaintiff	Dec. 31, 2017 USD ($)	Dec. 31, 2001 employee case	Apr. 08, 2016 adjuster
Loss Contingencies
Loss contingency, new claims filed \| case										2
Loss contingency, number of plaintiffs (in plaintiffs, in cases)			118	498	460		118	10		32
Loss contingency, number of trials \| trial						2
Minimum
Loss Contingencies
Loss contingencies, reasonably possible pretax loss exposure in excess of the amount accrued \| $									$ 0
Maximum
Loss Contingencies
Loss contingencies, reasonably possible pretax loss exposure in excess of the amount accrued \| $									$ 240
Pending Litigation
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)		410				8
Judicial Ruling
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)						1
Fair Labor Standards Act
Loss Contingencies
Number of cases pending (in adjusters, in claims) \| adjuster											105
New York Labor Law
Loss Contingencies
Number of cases pending (in adjusters, in claims) \| adjuster											137
Signed Releases Knowingly and Voluntarily
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)								2
Did Not Sign Releases Knowingly and Voluntarily
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)								8
Plaintiffs Asserted Suffered Loss
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)							2
Phase III \| Pending Litigation
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)		8
Individual Plaintiffs \| Settled Litigation
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)		4
Individual Plaintiffs \| Pending Litigation
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)		85
Subsequent Event
Loss Contingencies
Loss contingency, number of summary judgments \| judgment	2
Subsequent Event \| Judicial Ruling
Loss Contingencies
Loss contingency, number of plaintiffs (in plaintiffs, in cases)	27

Income Taxes - Narrative (Details) - USD ($)	12 Months Ended
Income Taxes - Narrative (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Tax Legislation expense (benefit)	$ (506,000,000)
Effective income tax rate (as a percent)	20.10%	31.90%	33.90%
Tax Legislation benefit	(12.70%)	0.00%	0.00%
Income tax penalties and interest expense	$ 0	$ 0	$ 0
Interest on income taxes accrued	0	0
Net operating loss carryforward	238,000,000
Income tax paid	968,000,000	359,000,000	$ 1,070,000,000
Current income tax payable	$ 44,000,000	135,000,000
Unrecognized tax benefits, income tax penalties accrued		$ 0

Income Taxes - Reconciliation of unrecognized tax benefits (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Reconciliation of the change in the amount of unrecognized tax benefits
Balance – beginning of year	$ 10	$ 7	$ 0
Increase for tax positions taken in a prior year	34	0	4
Increase for tax positions taken in the current year	11	3	3
Balance – end of year	$ 55	$ 10	$ 7

Income Taxes - Components of the deferred tax assets and liabilities (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Deferred assets
Unearned premium reserves	$ 545	$ 819
Accrued compensation	137	203
Pension	86	294
Discount on loss reserves	53	188
Net operating loss carryover	50	15
Other assets	49	103
Other postretirement benefits	48	64
Difference in tax bases of invested assets	0	78
Total deferred assets	968	1,764
Deferred liabilities
DAC	(770)	(1,211)
Unrealized net capital gains	(422)	(529)
Life and annuity reserves	(241)	(324)
Intangible assets	(113)	(29)
Difference in tax bases of invested assets	(106)	0
Other liabilities	(98)	(158)
Total deferred liabilities	(1,750)	(2,251)
Net deferred liability	$ (782)	$ (487)

Income Taxes - Components of income tax expense (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Components of income tax expense (benefit)
Current	$ 1,018	$ 654	$ 1,033
Deferred	(216)	223	78
Total income tax expense	$ 802	$ 877	$ 1,111

Income Taxes - Reconciliation of income tax rate (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation
Statutory federal income tax rate on income from operations	35.00%	35.00%	35.00%
Tax Legislation benefit	(12.70%)	0.00%	0.00%
Share-based payments	(1.60%)	0.00%	0.00%
Tax-exempt income	(0.80%)	(1.20%)	(1.00%)
Tax credits	(0.90%)	(1.20%)	(0.90%)
Non-deductible goodwill impairment	1.10%	0.00%	0.00%
Other	0.00%	(0.70%)	0.80%
Effective income tax rate (as a percent)	20.10%	31.90%	33.90%
Income tax expense (benefit)	$ 802	$ 877	$ 1,111
Accounting Standards Update 2017-09
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation
Income tax expense (benefit)	$ (63)
Accounting Standards Update 2014-01
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation
Income tax expense (benefit)		$ 45

Statutory Financial Information and Dividend Limitations - Allstates domestic insurance subsidiaries (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Amount per statutory accounting practices
Net income (loss)	$ 3,377	$ 1,717	$ 1,770
Capital and surplus	18,630	16,819
Property-Liability
Amount per statutory accounting practices
Net income (loss)	3,050	1,520	1,826
Capital and surplus	14,903	13,436
Allstate Financial
Amount per statutory accounting practices
Net income (loss)	327	197	$ (56)
Capital and surplus	$ 3,727	$ 3,383

Statutory Financial Information and Dividend Limitations - Narrative (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Dividend Limitations
Action level RBC expressed as a multiplier of authorized control level RBC, which if not achieved would require specific actions to be taken	2
Capital and surplus	$ 18,630	$ 16,819
Restricted net assets	26,000
Allstate Insurance Company
Dividend Limitations
Dividends paid	1,560
Maximum amount of dividends without prior approval	$ 2,870
Advance notice period required for payment of dividend in excess of amount available for distribution without prior approval	30 days
Unassigned surplus excluding unrealized appreciation from investments	$ 11,040
Capital and surplus	17,700
Authorized control level RBC	$ 2,800

Benefit Plans - Obligations and funded status narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Retirement Benefits [Abstract]
Maximum annual medical cost inflation after retirement for Company's share of retiree medical benefits cost for non Medicare-eligible retirees (as a percent)	5.00%
Pension benefits
Components of net periodic cost
Decrease in defined benefit net actuarial loss arising during the period	$ 583
Net actuarial pension benefit losses	$ (2,224)	$ (2,807)
Percentage of underfunded status relating to the primary employee plans	73.00%
Accumulated benefit obligation (ABO)	$ 6,740	6,520
Company's Pension Plans with an ABO in excess of plan assets
Company's pension plans with ABO in excess of plan assets, aggregate projected benefit obligation	6,420	6,240
Company's pension plans with ABO in excess of plan assets, aggregate accumulated benefit obligation	6,360	6,180
Company's pension plans with ABO in excess of plan assets, aggregate fair value of plan assets	5,890	5,300
Defined benefit plans' accrued benefit costs related to certain unfunded and non-qualified plans	$ 140	141
Plan assets and the adjusted fair value of plan assets, recognition period	5 years
Deferred net gain	$ 403
Average remaining service period	10 years
Settlement loss, pretax	$ 153	27	$ 31
Pension benefits \| Corporate and Other
Company's Pension Plans with an ABO in excess of plan assets
Settlement loss, pretax	122
Postretirement benefits
Components of net periodic cost
Decrease in defined benefit net actuarial loss arising during the period	33
Net actuarial pension benefit losses	218	251
Company's Pension Plans with an ABO in excess of plan assets
Settlement loss, pretax	$ 0	$ 0	$ 0
Defined benefit plan, assumed health care cost trend rates
Weighted average health care cost trend rate	6.10%
Ultimate health care cost trend rate in 2038 and thereafter	4.50%
Increase in the total of service and interest cost components of net periodic benefit cost due to one percentage-point increase in assumed health care cost trend rates	$ 2
Increase in APBO due to one percentage-point increase in assumed health care cost trend rates	26
Decrease in APBO due to one percentage-point decrease in assumed health care cost trend rates	2
Decrease in the total of service and interest cost components of net periodic benefit cost due to one percentage-point decrease in assumed health care cost trend rates	$ 23

Benefit Plans - Funded status (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Items not yet recognized as a component of net periodic cost:
Deferred income tax	$ (782)	$ (487)
Unrecognized pension and other postretirement benefit cost	1,347	1,419
Pension benefits
Components of net periodic cost
Fair value of plan assets	6,284	5,650	$ 5,353
Less: Benefit obligation	6,815	6,591	6,130
Funded status	(531)	(941)
Items not yet recognized as a component of net periodic cost:
Net actuarial loss (gain)	2,224	2,807
Prior service credit	(254)	(310)
Unrecognized pension and other postretirement benefit cost, pre-tax	1,970	2,497
Deferred income tax	(419)	(874)
Unrecognized pension and other postretirement benefit cost	1,551	1,623
Postretirement benefits
Components of net periodic cost
Fair value of plan assets	0	0
Less: Benefit obligation	386	373	$ 405
Funded status	(386)	(373)
Items not yet recognized as a component of net periodic cost:
Net actuarial loss (gain)	(218)	(251)
Prior service credit	(37)	(62)
Unrecognized pension and other postretirement benefit cost, pre-tax	(255)	(313)
Deferred income tax	51	109
Unrecognized pension and other postretirement benefit cost	$ (204)	$ (204)

Benefit Plans - Changes not yet recognized (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($)
Pension benefits
Change in items not yet recognized as a component of defined benefit plans, net periodic cost
Items not yet recognized as a component of net periodic cost – December 31, 2016	$ 2,497
Net actuarial (gain) loss arising during the period	(247)
Net actuarial (loss) gain amortized to net periodic benefit cost	(342)
Prior service credit amortized to net periodic benefit cost	56
Translation adjustment and other	6
Items not yet recognized as a component of net periodic cost – December 31, 2017	1,970
Postretirement benefits
Change in items not yet recognized as a component of defined benefit plans, net periodic cost
Items not yet recognized as a component of net periodic cost – December 31, 2016	(313)
Net actuarial (gain) loss arising during the period	8
Net actuarial (loss) gain amortized to net periodic benefit cost	24
Prior service credit amortized to net periodic benefit cost	25
Translation adjustment and other	1
Items not yet recognized as a component of net periodic cost – December 31, 2017	$ (255)

Benefit Plans - Future amortization amounts (Details) $ in Millions	Dec. 31, 2017 USD ($)
Pension benefits
Estimates of the net actuarial loss (gain) and prior service credit expected to be recognized as a component of net periodic benefit cost during 2015
Net actuarial loss (gain)	$ 177
Prior service credit	(56)
Postretirement benefits
Estimates of the net actuarial loss (gain) and prior service credit expected to be recognized as a component of net periodic benefit cost during 2015
Net actuarial loss (gain)	(22)
Prior service credit	$ (22)

Benefit Plans - Changes in benefit obligations (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Pension benefits
Change in benefit obligation
Benefit obligation, beginning of year	$ 6,591	$ 6,130
Service cost	114	113	$ 114
Interest cost	264	286	258
Participant contributions	0	1
Actuarial loss (gain)	395	387
Benefits paid	(553)	(301)
Plan amendments	0	0
Translation adjustment and other	4	(25)
Benefit obligation, end of year	6,815	6,591	6,130
Postretirement benefits
Change in benefit obligation
Benefit obligation, beginning of year	373	405
Service cost	8	9	12
Interest cost	15	17	23
Participant contributions	12	16
Actuarial loss (gain)	8	(14)
Benefits paid	(35)	(41)
Plan amendments	0	(22)
Translation adjustment and other	5	3
Benefit obligation, end of year	$ 386	$ 373	$ 405

Benefit Plans - Components of net periodic cost (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Pension benefits
Components of net periodic cost
Service cost	$ 114	$ 113	$ 114
Interest cost	264	286	258
Expected return on plan assets	(409)	(398)	(424)
Amortization of:
Prior service credit	(56)	(56)	(56)
Net actuarial loss (gain)	189	174	190
Settlement loss	153	27	31
Net periodic cost (credit)	255	146	113
Postretirement benefits
Components of net periodic cost
Service cost	8	9	12
Interest cost	15	17	23
Expected return on plan assets	0	0	0
Amortization of:
Prior service credit	(25)	(21)	(22)
Net actuarial loss (gain)	(24)	(24)	(9)
Settlement loss	0	0	0
Net periodic cost (credit)	$ (26)	$ (19)	$ 4

Benefit Plans - Weighted average assumptions used (Details)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Pension benefits
Weighted average assumptions used to determine net pension cost and net postretirement benefit cost
Discount rate	4.15%	4.83%	4.10%
Rate of increase in compensation levels	3.20%	3.20%	3.50%
Expected long-term rate of return on plan assets	7.31%	7.30%	7.33%
Weighted average assumptions used to determine benefit obligations
Discount rate	3.68%	4.15%
Rate of increase in compensation levels	3.20%	3.20%
Postretirement benefits
Weighted average assumptions used to determine net pension cost and net postretirement benefit cost
Discount rate	3.63%	4.59%	3.97%
Weighted average assumptions used to determine benefit obligations
Discount rate	4.06%	4.07%

Benefit Plans - Change in pension plan assets (Details) - Pension benefits - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Change in pension plan assets
Fair value of plan assets, beginning of year	$ 5,650	$ 5,353
Actual return on plan assets	1,051	491
Employer contribution	131	131
Benefits paid	(553)	(301)
Translation adjustment and other	5	(24)
Fair value of plan assets, end of year	$ 6,284	$ 5,650

Benefit Plans - Weighted average target allocation and actual percentage (Details) - Pension benefits - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Actual percentage of plan assets	100.00%	100.00%
Equity securities
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Actual percentage of plan assets	58.00%	62.00%
Equity securities \| Minimum
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	43.00%
Equity securities \| Maximum
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	62.00%
Fixed income securities
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Actual percentage of plan assets	34.00%	29.00%
Fixed income securities \| Minimum
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	34.00%
Fixed income securities \| Maximum
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	44.00%
Derivatives
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Actual percentage of plan assets	1.00%
Securities pledged as collateral
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Assets for plan benefits	$ 202	$ 143
Limited partnership interests
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Actual percentage of plan assets	6.00%	7.00%
Limited partnership interests \| Minimum
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	0.00%
Limited partnership interests \| Maximum
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	13.00%
Short-term investments and other
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	0.00%
Actual percentage of plan assets	2.00%	2.00%
Private equity funds
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Actual percentage of plan assets	2.00%	1.00%
Mutual funds
Pension plans' weighted average target percentage of plan assets and the actual percentage of plan assets
Target asset allocation	3.00%	3.00%

Benefit Plans - Fair Value of pension plan assets (Details) - Pension benefits - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Components of net periodic cost
Total plan assets at fair value	$ 2,882	$ 2,233
Total plan assets at fair value, allocation (as a percent)	100.00%	100.00%
Investments measured using the Net Asset Value practical expedient	$ 3,598	$ 3,525
Securities lending obligation	(216)	(158)
Other net plan assets	20	50
Fair value of plan assets	6,284	5,650	$ 5,353
Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	$ 418	$ 360
Total plan assets at fair value, allocation (as a percent)	14.50%	16.10%
Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	$ 2,425	$ 1,863
Total plan assets at fair value, allocation (as a percent)	84.10%	83.40%
Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	$ 39	$ 10
Total plan assets at fair value, allocation (as a percent)	1.40%	0.50%
Fair value of plan assets	$ 39	$ 10	18	$ 27
Equity securities
Components of net periodic cost
Total plan assets at fair value	419	302
Equity securities \| Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	126	155
Equity securities \| Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	264	147
Equity securities \| Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	29	0
Fair value of plan assets	29	0	1	1
U.S. government and agencies
Components of net periodic cost
Total plan assets at fair value	594	315
U.S. government and agencies \| Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	174	30
U.S. government and agencies \| Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	420	285
U.S. government and agencies \| Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	0	0
Corporate
Components of net periodic cost
Total plan assets at fair value	1,553	1,319
Corporate \| Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	0	0
Corporate \| Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	1,543	1,309
Corporate \| Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	10	10
Fair value of plan assets	10	10	$ 10	$ 12
Short-term investments
Components of net periodic cost
Total plan assets at fair value	294	265
Short-term investments \| Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	97	144
Short-term investments \| Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	197	121
Short-term investments \| Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	0	0
Cash and cash equivalents
Components of net periodic cost
Total plan assets at fair value	21	32
Cash and cash equivalents \| Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	21	32
Cash and cash equivalents \| Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	0	0
Cash and cash equivalents \| Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	0	0
Free Standing Derivative Assets
Components of net periodic cost
Total plan assets at fair value	1	0
Free Standing Derivative Assets \| Quoted prices in active markets for identical assets (Level 1)
Components of net periodic cost
Total plan assets at fair value	0	(1)
Free Standing Derivative Assets \| Significant other observable inputs (Level 2)
Components of net periodic cost
Total plan assets at fair value	1	1
Free Standing Derivative Assets \| Significant unobservable inputs (Level 3)
Components of net periodic cost
Total plan assets at fair value	0	$ 0
EMA limited partnerships
Components of net periodic cost
Investments measured using the Net Asset Value practical expedient	3,200
Limited partnership interests
Components of net periodic cost
Investments measured using the Net Asset Value practical expedient	$ 402

Benefit Plans - Rollforward of level 3 plan assets (Details) - Pension benefits - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Change in pension plan assets
Fair value of plan assets, beginning of year	$ 5,650	$ 5,353
Fair value of plan assets, end of year	6,284	5,650	$ 5,353
Significant unobservable inputs (Level 3)
Change in pension plan assets
Fair value of plan assets, beginning of year	10	18	27
Actual return on plan assets: Relating to assets sold during the period	0	(1)	1
Actual return on plan assets: Relating to assets still held at the reporting date	0	0	(1)
Purchases, sales and settlements, net	29	(12)	(7)
Net transfers in and/or (out) of Level 3	0	5	(2)
Fair value of plan assets, end of year	39	10	18
Significant unobservable inputs (Level 3) \| Equity securities
Change in pension plan assets
Fair value of plan assets, beginning of year	0	1	1
Actual return on plan assets: Relating to assets sold during the period	0	(1)	1
Actual return on plan assets: Relating to assets still held at the reporting date	0	0	(1)
Purchases, sales and settlements, net	29	0	0
Net transfers in and/or (out) of Level 3	0	0	0
Fair value of plan assets, end of year	29	0	1
Significant unobservable inputs (Level 3) \| Municipal
Change in pension plan assets
Fair value of plan assets, beginning of year	0	7	14
Actual return on plan assets: Relating to assets sold during the period		0	0
Actual return on plan assets: Relating to assets still held at the reporting date		0	0
Purchases, sales and settlements, net		(7)	(7)
Net transfers in and/or (out) of Level 3		0	0
Fair value of plan assets, end of year		0	7
Significant unobservable inputs (Level 3) \| Corporate
Change in pension plan assets
Fair value of plan assets, beginning of year	10	10	12
Actual return on plan assets: Relating to assets sold during the period	0	0	0
Actual return on plan assets: Relating to assets still held at the reporting date	0	0	0
Purchases, sales and settlements, net	0	(5)	0
Net transfers in and/or (out) of Level 3	0	5	(2)
Fair value of plan assets, end of year	$ 10	$ 10	$ 10

Benefit Plans - Pension plan assets narrative (Details) - Pension benefits	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Pension plans' assets
Percentage of total plan assets for primary qualified employee	81.00%
Notional amount of derivatives, minimum percentage of plan assets	105.00%
Notional amount of derivatives, maximum percentage of plan assets	115.00%
Expected weighted average long-term rate of return on plan assets	7.31%	7.30%	7.33%
Expected weighted average long-term rate of return on plan assets for the next fiscal year	7.32%
Expected weighted average long-term rate of return on primary employee plan assets for the next fiscal year	7.75%
Expected weighted average long-term rate of return on employee-agent plan assets for the next fiscal year	5.75%
Arithmetic average of the annual actual return on plan assets for the last 10 years	6.80%
Arithmetic average of the annual actual return on plan assets for the last 5 years	9.90%
Equity securities
Pension plans' assets
Percent of total equity securities in primary qualified employee plan	86.00%

Benefit Plans - Cash flows narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Pension benefits
Components of net periodic cost
Defined benefit pension plans, estimated employer contributions in next fiscal year	$ 133
Employer contribution	131	$ 131
Postretirement benefits
Components of net periodic cost
Employer contribution	23	25
Participant contributions	$ 12	$ 16

Benefit Plans - Estimated future benefit payments (Details) $ in Millions	Dec. 31, 2017 USD ($)
Pension benefits
Estimated future benefit payments
2018	$ 426
2019	463
2020	485
2021	514
2022	533
2023-2027	2,477
Total benefit payments	4,898
Postretirement benefits
Estimated future benefit payments
2018	22
2019	24
2020	24
2021	25
2022	26
2023-2027	136
Total benefit payments	$ 257

Benefit Plans - Allstate 401(k) savings plan (Details) - USD ($) shares in Millions, $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Retirement Benefits [Abstract]
Principal balance of note from ESOP	$ 2
Interest rate on note from ESOP (as a percent)	7.90%
Company's contribution to the Allstate Plan	$ 81	$ 80	$ 79
ESOP benefit computed
Interest expense recognized by ESOP	0	1	1
Less: dividends accrued on ESOP shares	(1)	(3)	(3)
Cost of shares allocated	3	7	10
Compensation expense	2	5	8
Reduction of defined contribution due to ESOP	38	60	73
ESOP benefit	(36)	(55)	(65)
Contributions to ESOP	$ 1	2	2
Committed to be released ESOP shares (in shares)	0.4
Allocated ESOP shares (in shares)	38.0
Unallocated ESOP shares (in shares)	0.4
Defined contribution plan expense for eligible employees of Canadian insurance subsidiaries and Sterling	$ 12	$ 10	$ 10

Equity Incentive Plans - Narrative (Details) - USD ($) shares in Millions, $ in Millions		12 Months Ended
	Feb. 17, 2014	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Equity Incentive Plans
Compensation expense		$ 106	$ 80	$ 81
Share-based compensation arrangement by share-based payment award, recognized tax benefits		22	28	28
Cash received from the exercise of options		178	187	187
Tax benefit realized on options exercised and stock unrestricted		96	$ 61	$ 82
Unrecognized compensation cost related to nonvested awards		$ 84
Common stock authorized for stock-based awards (in shares)		98.0
Common stock reserved for further issuance (in shares)		18.3
Nonqualified stock options
Equity Incentive Plans
Unrecognized compensation cost related to nonvested awards		$ 26
Expected period of recognition of unrecognized compensation cost		1 year 8 months 1 day
Restricted stock units
Equity Incentive Plans
Unrecognized compensation cost related to nonvested awards		$ 25
Expected period of recognition of unrecognized compensation cost		1 year 9 months 26 days
Portion of awards vesting and unrestricting on second anniversary of grant date (as a percent)		50.00%
Portion of awards vesting and unrestricting on third and fourth anniversaries of grant date (as a percent)		25.00%
Performance stock awards
Equity Incentive Plans
Unrecognized compensation cost related to nonvested awards		$ 33
Expected period of recognition of unrecognized compensation cost		1 year 7 months 24 days
Stock options
Equity Incentive Plans
Vesting period of options granted		3 years
Portion of awards vesting and unrestricting on second anniversary of grant date (as a percent)	50.00%
Portion of awards vesting and unrestricting on third and fourth anniversaries of grant date (as a percent)	25.00%
Expiration term for options		10 years

Equity Incentive Plans - Option grant assumptions (Details) - Stock options	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assumptions used to determine fair value of options granted
Weighted average expected term	6 years 1 month 6 days	5 years	6 years 6 months
Expected volatility, low end of the range (as a percent)	15.70%	16.00%	16.00%
Expected volatility, high end of the range (as a percent)	32.70%	34.30%	37.80%
Weighted average volatility (as a percent)	21.00%	24.30%	24.70%
Expected dividends, minimum range (as a percent)	1.40%	1.90%	1.60%
Expected dividends, maximum range (as a percent)	1.90%	2.10%	2.10%
Weighted average expected dividends (as a percent)	1.90%	2.10%	1.70%
Risk-free rate, low end of the range (as a percent)	0.50%	0.20%	0.00%
Risk-free rate, high end of the range (as a percent)	2.50%	2.40%	2.40%

Equity Incentive Plans - Summary of option activity (Details) - Stock options - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Stock option activity
Outstanding at the beginning of the period (in shares)	13,560
Granted (in shares)	2,631
Exercised (in shares)	(4,688)
Forfeited (in shares)	(229)
Expired (in shares)	(12)
Outstanding at the end of the period (in shares)	11,262	13,560
Outstanding, net of expected forfeitures (in shares)	11,140
Outstanding, exercisable ("vested") (in shares)	6,314
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]
Outstanding at the beginning of the period (in dollars per share)	$ 50.01
Granted (in dollars per share)	78.93
Exercised (in dollars per share)	44.91
Forfeited (in dollars per share)	70.85
Expired (in dollars per share)	59.91
Outstanding at the end of the period (in dollars per share)	58.46	$ 50.01
Outstanding, net of expected forfeitures (in dollars per share)	58.27
Outstanding, exercisable ("vested") (in dollars per share)	$ 47.83
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Aggregate intrinsic value, Outstanding	$ 520,900
Aggregate intrinsic value, net of expected forfeitures, outstanding	517,276
Aggregate intrinsic value, exercisable ("vested"), outstanding	$ 359,121
Weighted average remaining contractual term, Outstanding	6 years 6 months
Weighted average remaining contractual term, net of expected forfeitures, outstanding	6 years 6 months
Weighted average remaining contractual term, exercisable ("vested"), outstanding	5 years 1 month 6 days
Weighted average grant date fair value of options granted (in dollars per share)	$ 14.60	$ 12.25	$ 15.45
Intrinsic value of options exercised	$ 199,000	$ 119,000	$ 117,000

Equity Incentive Plans - Changes in restricted stock units (Details) - Restricted stock units - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Stock units activity
Outstanding at the beginning of the period (in shares)	1,679
Granted (in shares)	333
Vested (in shares)	(718)
Forfeited (in shares)	(53)
Outstanding at the end of the period (in shares)	1,241	1,679
Weighted average grant date fair value
Weighted average grant date fair value, nonvested at the beginning of the period (in dollars per share)	$ 58.49
Weighted average grant date fair value, granted (in dollars per share)	80.12	$ 63.51	$ 69.25
Weighted average grant date fair value, vested (in dollars per share)	51.42
Weighted average grant date fair value, forfeited (in dollars per share)	69.19
Weighted average grant date fair value, nonvested at the end of the period (in dollars per share)	$ 67.93	$ 58.49
Total fair value of restricted stock and restricted stock units vested	$ 58	$ 29	$ 63

Equity Incentive Plans - Changes in performance stock awards (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Weighted average grant date fair value
Tax (expense) benefit realized related to all stock-based compensation included in shareholder's equity		$ 30	$ 46
Performance stock awards
Stock units activity
Outstanding at the beginning of the period (in shares)	919
Granted (in shares)	458
Vested (in shares)	(213)
Adjustment for performance achievement (in shares)	(33)
Forfeited (in shares)	(41)
Outstanding at the end of the period (in shares)	1,090	919
Weighted average grant date fair value
Weighted average grant date fair value, nonvested at the beginning of the period (in dollars per share)	$ 61.50
Weighted average grant date fair value, granted (in dollars per share)	78.47	$ 62.32	$ 70.37
Weighted average grant date fair value, adjustment for performance achievement (in dollars per share)	52.75
Weighted average grant date fair value, vested (in dollars per share)	52.52
Weighted average grant date fair value, forfeited (in dollars per share)	69.30
Weighted average grant date fair value, nonvested at the end of the period (in dollars per share)	$ 70.35	$ 61.50
Total fair value of restricted stock and restricted stock units vested	$ 17	$ 28	$ 56
Stock options
Weighted average grant date fair value
Tax (expense) benefit realized related to all stock-based compensation included in shareholder's equity		$ 23	$ 23

Supplemental Cash Flow Information - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Non-cash modifications of certain mortgage loans, fixed income securities, limited partnership interests and other investments, as well as mergers completed with equity securities	$ 106	$ 326	$ 131
Liabilities assumed	90	34
Non-cash financing activities related to the issuance of shares for vested restricted stock units	43	41	74
Liabilities for collateral received reported in other liabilities and accrued expenses	1,120	1,120	829
Obligations to return cash collateral for over-the-counter (OTC) and cleared derivatives reported in other liabilities and accrued expenses or other investments	$ 3	5	$ 11
Limited Partnership
Debt Instrument [Line Items]
Liabilities assumed		$ 89

Supplemental Cash Flow Information - Net change (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Net change in proceeds managed
Net change in fixed income securities	$ 259	$ (584)	$ 0
Net change in short-term investments	(255)	295	(59)
Operating cash flow provided (used)	4	(289)	(59)
Net change in cash	1	0	1
Net change in proceeds managed	5	(289)	(58)
Net change in liabilities
Liabilities for collateral, beginning of year	(1,129)	(840)	(782)
Liabilities for collateral, end of year	(1,124)	(1,129)	(840)
Operating cash flow (used) provided	$ (5)	$ 289	$ 58

Other Comprehensive Income (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Pre-tax
Other comprehensive income (loss)	$ 1,033	$ 518	$ (2,027)
After-tax
Other comprehensive income (loss)	673	339	(1,316)
Tax
Other comprehensive income (loss)	(360)	(179)	711
Unrealized net capital gains and losses
Pre-tax
Unrealized net holding during the period	866	486	(1,896)
Less: reclassification adjustment	374	(180)	112
Other comprehensive income (loss)	492	666	(2,008)
After-tax
Unrealized net holding during the period	562	316	(1,233)
Less: reclassification adjustment	243	(117)	73
Other comprehensive income (loss)	319	433	(1,306)
Tax
Unrealized net holding during the period	(304)	(170)	663
Less: reclassification adjustment	(131)	63	(39)
Other comprehensive income (loss)	(173)	(233)	702
Unrealized foreign currency translation adjustments
Pre-tax
Other comprehensive income (loss)	72	15	(89)
After-tax
Other comprehensive income (loss)	47	10	(58)
Tax
Other comprehensive income (loss)	(25)	(5)	31
Unrecognized pension and other postretirement benefit cost
Pre-tax
Unrealized net holding during the period	232	(263)	(64)
Less: reclassification adjustment	(237)	(100)	(134)
Other comprehensive income (loss)	469	(163)	70
After-tax
Unrealized net holding during the period	153	(169)	(39)
Less: reclassification adjustment	(154)	(65)	(87)
Other comprehensive income (loss)	307	(104)	48
Tax
Unrealized net holding during the period	(79)	94	25
Less: reclassification adjustment	83	35	47
Other comprehensive income (loss)	$ (162)	$ 59	$ (22)

Quarterly Results (unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
Revenues	$ 9,843	$ 9,660	$ 9,587	$ 9,434	$ 9,278	$ 9,221	$ 9,164	$ 8,871	$ 38,524	$ 36,534	$ 35,653
Net income applicable to common shareholders	$ 1,220	$ 637	$ 550	$ 666	$ 811	$ 491	$ 242	$ 217	$ 3,073	$ 1,761	$ 2,055
Net income applicable to common shareholders earnings per common share - Basic (in dollars per share)	$ 3.41	$ 1.76	$ 1.51	$ 1.82	$ 2.20	$ 1.32	$ 0.65	$ 0.57	$ 8.49	$ 4.72	$ 5.12
Net income applicable to common shareholders earnings per common share - Diluted (in dollars per share)	$ 3.35	$ 1.74	$ 1.49	$ 1.79	$ 2.18	$ 1.31	$ 0.64	$ 0.57	$ 8.36	$ 4.67	$ 5.05

Schedule I - Summary of Investments Other than Investments in Related Parties (Details) $ in Millions	Dec. 31, 2017 USD ($)
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	$ 80,176
Amount at which shown in the Balance Sheet	82,803
United States government, government agencies and authorities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	3,580
Fair value	3,616
Amount at which shown in the Balance Sheet	3,616
States, municipalities and political subdivisions
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	8,053
Fair value	8,328
Amount at which shown in the Balance Sheet	8,328
Foreign governments
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	1,005
Fair value	1,021
Amount at which shown in the Balance Sheet	1,021
Public utilities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	5,655
Fair value	5,988
Amount at which shown in the Balance Sheet	5,988
All other corporate bonds
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	37,341
Fair value	38,038
Amount at which shown in the Balance Sheet	38,038
Asset-backed securities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	1,266
Fair value	1,272
Amount at which shown in the Balance Sheet	1,272
Residential mortgage-backed securities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	480
Fair value	578
Amount at which shown in the Balance Sheet	578
Commercial mortgage-backed securities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	124
Fair value	128
Amount at which shown in the Balance Sheet	128
Redeemable preferred stock
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	21
Fair value	23
Amount at which shown in the Balance Sheet	23
Fixed income securities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	57,525
Fair value	58,992
Amount at which shown in the Balance Sheet	58,992
Public utilities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	84
Fair value	99
Amount at which shown in the Balance Sheet	99
Banks, trusts and insurance companies
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	565
Fair value	725
Amount at which shown in the Balance Sheet	725
Industrial, miscellaneous and all other
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	4,591
Fair value	5,506
Amount at which shown in the Balance Sheet	5,506
Nonredeemable preferred stocks
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	221
Fair value	291
Amount at which shown in the Balance Sheet	291
Equity securities
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	5,461
Fair value	6,621
Amount at which shown in the Balance Sheet	6,621
Mortgage loans on real estate
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	4,534
Fair value	4,732
Amount at which shown in the Balance Sheet	4,534
Real estate
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	468
Amount at which shown in the Balance Sheet	468
Real estate acquired in satisfaction of debt
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	0
Amount at which shown in the Balance Sheet	0
Policy loans
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	905
Amount at which shown in the Balance Sheet	905
Derivative instruments
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	127
Fair value	127
Amount at which shown in the Balance Sheet	127
Limited partnership interests
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	6,740
Amount at which shown in the Balance Sheet	6,740
Other long-term investments
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	2,472
Amount at which shown in the Balance Sheet	2,472
Short-term investments
Summary of Investments Other Than Investments in Related Parties
Cost/amortized cost	1,944
Fair value	1,944
Amount at which shown in the Balance Sheet	$ 1,944

Schedule II - Condensed Financial Information of Registrant - Statement of Operations (Details) - USD ($) $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Revenues
Net investment income									$ 3,401	$ 3,042	$ 3,156
Realized capital gains and losses									445	(90)	30
Total revenues	$ 9,843	$ 9,660	$ 9,587	$ 9,434	$ 9,278	$ 9,221	$ 9,164	$ 8,871	38,524	36,534	35,653
Expenses
Interest expense									335	295	292
Other operating expenses									4,658	4,106	4,081
Total costs and expenses									34,553	33,785	32,374
Income tax expense (benefit)									802	877	1,111
Net income									3,189	1,877	2,171
Preferred stock dividends									116	116	116
Net income applicable to common shareholders	$ 1,220	$ 637	$ 550	$ 666	$ 811	$ 491	$ 242	$ 217	3,073	1,761	2,055
Other comprehensive income (loss), after-tax
Unrealized net capital gains and losses									319	433	(1,306)
Unrealized foreign currency translation adjustments									47	10	(58)
Unrecognized pension and other postretirement benefit cost									307	(104)	48
Other comprehensive income (loss), after-tax									673	339	(1,316)
Comprehensive income									3,862	2,216	855
Allstate Corporation
Revenues
Net investment income									10	11	8
Realized capital gains and losses									(2)	2	0
Other income									36	55	66
Total revenues									44	68	74
Expenses
Interest expense									334	295	292
Pension and other postretirement benefit expense									119	10	(15)
Other operating expenses									50	28	34
Total costs and expenses									503	333	311
Loss from operations before income tax benefit and equity in net income of subsidiaries									(459)	(265)	(237)
Income tax expense (benefit)									(92)	(115)	(108)
Loss before equity in net income of subsidiaries									(367)	(150)	(129)
Equity in net income of subsidiaries									3,556	2,027	2,300
Net income									3,189	1,877	2,171
Preferred stock dividends									116	116	116
Net income applicable to common shareholders									3,073	1,761	2,055
Other comprehensive income (loss), after-tax
Unrealized net capital gains and losses									319	433	(1,306)
Unrealized foreign currency translation adjustments									47	10	(58)
Unrecognized pension and other postretirement benefit cost									307	(104)	48
Other comprehensive income (loss), after-tax									673	339	(1,316)
Comprehensive income									$ 3,862	$ 2,216	$ 855

Schedule II - Condensed Financial Information of Registrant - Financial Position (Details) - USD ($) $ / shares in Units, $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Assets
Fixed income securities, at fair value (amortized cost $361 and $510)	$ 58,992	$ 57,839
Short-term investments, at fair value (amortized cost $171 and $219)	1,944	4,288
Cash	617	436	$ 495	$ 657
Total assets	112,422	108,610
Liabilities
Long-term debt	6,350	6,347
Total liabilities	89,871	88,037
Shareholders’ equity
Preferred stock and additional capital paid-in, $1 par value, 25 million shares authorized, 72.2 thousand issued and outstanding, $1,805 aggregate liquidation preference	1,746	1,746
Common stock, $.01 par value, 2.0 billion shares authorized and 900 million issued, 355 million and 366 million shares outstanding	9	9
Additional capital paid-in	3,313	3,303
Retained income	43,162	40,678
Deferred ESOP expense	(3)	(6)
Treasury stock, at cost (545 million and 534 million shares)	(25,982)	(24,741)
Accumulated other comprehensive income:
Unrealized net capital gains and losses	1,662	1,053
Unrealized foreign currency translation adjustments	(9)	(50)
Unrecognized pension and other postretirement benefit cost	(1,347)	(1,419)
Total accumulated other comprehensive income (loss) (“AOCI”)	306	(416)
Total shareholders’ equity	22,551	20,573	20,025
Total liabilities and shareholders’ equity	112,422	108,610
Additional balance sheet disclosures:
Short-term, at fair value, amortized cost (in dollars)	$ 1,944	$ 4,288
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	25,000,000	25,000,000
Preferred stock, shares issued (in shares)	72,200	72,200
Preferred stock, shares outstanding (in shares)	72,200	72,200
Preferred stock, shares aggregate liquidation preference (in dollars)	$ 1,805	$ 1,805
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	2,000,000,000	2,000,000,000
Common stock, shares issued (in shares)	900,000,000	900,000,000
Common stock, shares outstanding (in shares)	355,000,000	366,000,000
Treasury stock, shares (in shares)	545,000,000	534,000,000
Allstate Corporation
Assets
Investments in subsidiaries	$ 29,126	$ 26,929
Fixed income securities, at fair value (amortized cost $361 and $510)	362	513
Short-term investments, at fair value (amortized cost $171 and $219)	171	219
Cash	0	2	$ 4	$ 155
Receivable from subsidiaries	427	385
Deferred income taxes	124	348
Other assets	150	138
Total assets	30,360	28,534
Liabilities
Long-term debt	6,350	6,347
Pension and other postretirement benefit obligations	675	1,079
Deferred compensation	297	274
Notes due to subsidiaries	250	0
Dividends payable to shareholders	167	157
Other liabilities	70	104
Total liabilities	7,809	7,961
Shareholders’ equity
Preferred stock and additional capital paid-in, $1 par value, 25 million shares authorized, 72.2 thousand issued and outstanding, $1,805 aggregate liquidation preference	1,746	1,746
Common stock, $.01 par value, 2.0 billion shares authorized and 900 million issued, 355 million and 366 million shares outstanding	9	9
Additional capital paid-in	3,313	3,303
Retained income	43,162	40,678
Deferred ESOP expense	(3)	(6)
Treasury stock, at cost (545 million and 534 million shares)	(25,982)	(24,741)
Accumulated other comprehensive income:
Unrealized net capital gains and losses	1,662	1,053
Unrealized foreign currency translation adjustments	(9)	(50)
Unrecognized pension and other postretirement benefit cost	(1,347)	(1,419)
Total accumulated other comprehensive income (loss) (“AOCI”)	306	(416)
Total shareholders’ equity	22,551	20,573
Total liabilities and shareholders’ equity	30,360	28,534
Additional balance sheet disclosures:
Fixed income securities, at fair value, amortized cost (in dollars)	361	510
Short-term, at fair value, amortized cost (in dollars)	$ 171	$ 219
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	25,000,000	25,000,000
Preferred stock, shares issued (in shares)	72,200	72,200
Preferred stock, shares outstanding (in shares)	72,200	72,200
Preferred stock, shares aggregate liquidation preference (in dollars)	$ 1,805	$ 1,805
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	2,000,000,000	2,000,000,000
Common stock, shares issued (in shares)	900,000,000	900,000,000
Common stock, shares outstanding (in shares)	355,000,000	366,000,000
Treasury stock, shares (in shares)	545,000,000	534,000,000

Schedule II - Condensed Financial Information of Registrant - Cash Flows (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities
Net income	$ 3,189	$ 1,877	$ 2,171
Adjustments to reconcile net income to net cash provided by operating activities:
Realized capital gains and losses	(445)	90	(30)
Changes in:
Net cash provided by operating activities	4,314	3,993	3,616
Cash flows from investing activities
Change in short-term investments, net	2,610	(2,446)	385
Net cash (used in) provided by investing activities	(1,210)	(2,526)	742
Cash flows from financing activities
Proceeds from issuance of long-term debt	0	1,236	0
Repayments of long-term debt	0	(17)	(20)
Dividends paid on common stock	(525)	(486)	(483)
Dividends paid on preferred stock	(116)	(116)	(116)
Treasury stock purchases	(1,495)	(1,337)	(2,808)
Shares reissued under equity incentive plans, net	135	164	130
Excess tax benefits on share-based payment arrangements	0	32	45
Other	(57)	36	7
Net cash used in financing activities	(2,923)	(1,526)	(4,520)
Net increase (decrease) in cash	181	(59)	(162)
Cash at beginning of year	436	495	657
Cash at end of year	617	436	495
Allstate Corporation
Cash flows from operating activities
Net income	3,189	1,877	2,171
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in net income of subsidiaries	(3,556)	(2,027)	(2,300)
Dividends received from subsidiaries	1,671	1,874	2,300
Realized capital gains and losses	2	(2)	0
Changes in:
Pension and other postretirement benefits	119	10	(15)
Income taxes	35	13	77
Operating assets and liabilities	56	43	26
Net cash provided by operating activities	1,516	1,788	2,259
Cash flows from investing activities
Proceeds from sales of investments	880	389	399
Investment purchases	(748)	(243)	(4)
Investment collections	13	60	0
Return of capital from subsidiaries	42	(1,500)	50
Transfers to subsidiaries through intercompany loan agreement	0	(30)	0
Change in short-term investments, net	48	58	397
Net cash (used in) provided by investing activities	235	(1,266)	842
Cash flows from financing activities
Proceeds from borrowings from subsidiaries	300	0	0
Repayment of notes due to subsidiaries	(50)	0	0
Proceeds from issuance of long-term debt	0	1,236	0
Repayments of long-term debt	0	(17)	(20)
Dividends paid on common stock	(525)	(486)	(483)
Dividends paid on preferred stock	(116)	(116)	(116)
Treasury stock purchases	(1,495)	(1,337)	(2,808)
Shares reissued under equity incentive plans, net	135	164	130
Excess tax benefits on share-based payment arrangements	0	32	45
Other	(2)	0	0
Net cash used in financing activities	(1,753)	(524)	(3,252)
Net increase (decrease) in cash	(2)	(2)	(151)
Cash at beginning of year	2	4	155
Cash at end of year	$ 0	$ 2	$ 4

Schedule II - Condensed Financial Information of Registrant - Narrative (Details) - USD ($)		12 Months Ended
	Dec. 20, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 11, 2017
Condensed Financial Information of Registrant
Interest paid on debt		$ 332,000,000	$ 287,000,000	$ 289,000,000
Allstate Corporation
Condensed Financial Information of Registrant
Notes due to subsidiaries		250,000,000	0
Repayment of notes due to subsidiaries		50,000,000	0	0
Interest paid on debt		$ 331,000,000	$ 287,000,000	$ 289,000,000
Kennett Capital Inc \| Notes Due 2018 at 1.59 Percent, Note One \| Subsidiaries \| Allstate Corporation
Condensed Financial Information of Registrant
Notes due to subsidiaries					$ 125,000,000
Note stated interest rate (as a percent)					1.59%
Allstate Non-Insurance Holdings Inc \| Notes Due 2018 at 1.59 Percent, Note Two \| Subsidiaries \| Allstate Corporation
Condensed Financial Information of Registrant
Notes due to subsidiaries					$ 175,000,000
Repayment of notes due to subsidiaries	$ 50,000,000

Schedule III - Supplementary Insurance Information (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Supplementary Insurance Information
Deferred policy acquisition costs	$ 4,191	$ 3,954	$ 3,861
Reserves for claims and claims expense, contract benefits and contractholder funds	58,308	57,749	57,411
Unearned premiums	13,473	12,583	12,202
Premium revenue and contract charges	34,678	33,582	32,467
Net investment income	3,401	3,042	3,156
Claims and claims expense, contract benefits and interest credited to contractholders	24,542	24,804	23,598
Amortization of deferred policy acquisition costs	4,784	4,550	4,364
Other operating costs and expenses	5,227	4,431	4,412
Premiums written (excluding life)	33,661	32,455	31,648
Intersegment Eliminations (2)
Supplementary Insurance Information
Deferred policy acquisition costs	0	0	0
Reserves for claims and claims expense, contract benefits and contractholder funds	0	0	0
Unearned premiums	0	0	0
Premium revenue and contract charges	(110)	(105)	(42)
Net investment income	0	0	0
Claims and claims expense, contract benefits and interest credited to contractholders	(6)	(5)	(14)
Amortization of deferred policy acquisition costs	0	0	0
Other operating costs and expenses	(104)	(100)	(28)
Premiums written (excluding life)	0	0	0
Allstate Protection \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	1,510	1,432	1,410
Reserves for claims and claims expense, contract benefits and contractholder funds	24,336	23,263	21,777
Unearned premiums	11,409	11,160	10,979
Premium revenue and contract charges	31,433	30,727	29,748
Claims and claims expense, contract benefits and interest credited to contractholders	21,470	21,863	20,718
Amortization of deferred policy acquisition costs	4,205	4,053	3,933
Other operating costs and expenses	3,647	3,484	3,476
Premiums written (excluding life)	31,648	30,888	30,115
Discontinued Lines and Coverages \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	0	0	0
Reserves for claims and claims expense, contract benefits and contractholder funds	1,893	1,953	2,062
Unearned premiums	0	0	0
Premium revenue and contract charges	0	0	0
Claims and claims expense, contract benefits and interest credited to contractholders	96	105	53
Amortization of deferred policy acquisition costs	0	0	0
Other operating costs and expenses	3	2	2
Premiums written (excluding life)	0	3	0
Property-Liability \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	1,510	1,432	1,410
Reserves for claims and claims expense, contract benefits and contractholder funds	26,229	25,216	23,839
Unearned premiums	11,409	11,160	10,979
Premium revenue and contract charges	31,433	30,727	29,748
Net investment income	1,478	1,253	1,226
Claims and claims expense, contract benefits and interest credited to contractholders	21,566	21,968	20,771
Amortization of deferred policy acquisition costs	4,205	4,053	3,933
Other operating costs and expenses	3,650	3,486	3,478
Premiums written (excluding life)	31,648	30,891	30,115
Service Businesses \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	954	756	619
Reserves for claims and claims expense, contract benefits and contractholder funds	96	34	30
Unearned premiums	2,052	1,411	1,210
Premium revenue and contract charges	977	685	603
Net investment income	16	13	11
Claims and claims expense, contract benefits and interest credited to contractholders	369	258	277
Amortization of deferred policy acquisition costs	296	214	169
Other operating costs and expenses	506	223	164
Premiums written (excluding life)	1,094	709	756
Allstate Life \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	1,152	1,200	1,271
Reserves for claims and claims expense, contract benefits and contractholder funds	10,244	10,042	9,895
Unearned premiums	4	4	4
Premium revenue and contract charges	1,280	1,250	1,223
Net investment income	489	482	490
Claims and claims expense, contract benefits and interest credited to contractholders	1,047	1,027	1,031
Amortization of deferred policy acquisition costs	134	131	133
Other operating costs and expenses	240	226	213
Premiums written (excluding life)	0	0	0
Allstate Benefits \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	541	526	514
Reserves for claims and claims expense, contract benefits and contractholder funds	1,869	1,821	1,760
Unearned premiums	8	8	9
Premium revenue and contract charges	1,084	1,011	921
Net investment income	72	71	71
Claims and claims expense, contract benefits and interest credited to contractholders	599	545	488
Amortization of deferred policy acquisition costs	142	145	124
Other operating costs and expenses	269	240	222
Premiums written (excluding life)	919	855	777
Allstate Annuities \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	34	40	47
Reserves for claims and claims expense, contract benefits and contractholder funds	19,870	20,636	21,887
Unearned premiums	0	0	0
Premium revenue and contract charges	14	14	14
Net investment income	1,305	1,181	1,323
Claims and claims expense, contract benefits and interest credited to contractholders	967	1,011	1,045
Amortization of deferred policy acquisition costs	7	7	5
Other operating costs and expenses	35	32	37
Premiums written (excluding life)	0	0	0
Corporate and Other \| Operating Segments
Supplementary Insurance Information
Deferred policy acquisition costs	0	0	0
Reserves for claims and claims expense, contract benefits and contractholder funds	0	0	0
Unearned premiums	0	0	0
Premium revenue and contract charges	0	0	0
Net investment income	41	42	35
Claims and claims expense, contract benefits and interest credited to contractholders	0	0	0
Amortization of deferred policy acquisition costs	0	0	0
Other operating costs and expenses	631	324	326
Premiums written (excluding life)	$ 0	$ 0	$ 0

Schedule IV - Reinsurance (Details) - USD ($) $ in Millions	12 Months Ended
Schedule IV - Reinsurance (Details) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Life insurance in force
Gross amount	$ 188,186	$ 167,355	$ 156,486
Ceded to other companies	86,642	90,011	93,326
Assumed from other companies	259,671	275,008	280,644
Net amount	$ 361,215	$ 352,352	$ 343,804
Percentage of amount assumed to net	71.90%	78.00%	81.60%
Premiums and contract charges:
Gross amount	$ 35,115	$ 34,015	$ 32,915
Ceded premium earned	1,274	1,296	1,338
Assumed from other companies	837	863	890
Net amount	$ 34,678	$ 33,582	$ 32,467
Percentage of amount assumed to net	2.40%	2.60%	2.70%
Reinsurance or coinsurance income net of premium ceded	$ 0	$ 0	$ 0
Life insurance
Premiums and contract charges:
Gross amount	936	877	828
Ceded premium earned	276	279	299
Assumed from other companies	787	818	849
Net amount	$ 1,447	$ 1,416	$ 1,378
Percentage of amount assumed to net	54.40%	57.80%	61.60%
Accident and health insurance
Premiums and contract charges:
Gross amount	$ 958	$ 889	$ 813
Ceded premium earned	27	30	33
Assumed from other companies	0	0	0
Net amount	$ 931	$ 859	$ 780
Percentage of amount assumed to net	0.00%	0.00%	0.00%
Property and casualty insurance
Premiums and contract charges:
Gross amount	$ 33,221	$ 32,249	$ 31,274
Ceded premium earned	971	987	1,006
Assumed from other companies	50	45	41
Net amount	$ 32,300	$ 31,307	$ 30,309
Percentage of amount assumed to net	0.20%	0.10%	0.10%

Schedule V - Valuation Allowances and Qualifying Accounts (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Allowance for reinsurance recoverables
Valuation allowances and qualifying accounts
Balance as of beginning of period	$ 84	$ 80	$ 95
Additions, Charged to costs and expenses	(10)	5	(15)
Additions, Other additions	0	0	0
Deductions	4	1	0
Balance as of end of period	70	84	80
Allowance for premium installment receivable
Valuation allowances and qualifying accounts
Balance as of beginning of period	84	90	83
Additions, Charged to costs and expenses	109	107	107
Additions, Other additions	0	0	0
Deductions	116	113	100
Balance as of end of period	77	84	90
Allowance for deferred tax assets
Valuation allowances and qualifying accounts
Balance as of beginning of period	0	0	0
Additions, Charged to costs and expenses	0	0	0
Additions, Other additions	0	0	0
Deductions	0	0	0
Balance as of end of period	0	0	0
Allowance for estimated losses on mortgage loans
Valuation allowances and qualifying accounts
Balance as of beginning of period	3	3	8
Additions, Charged to costs and expenses	1	0	(4)
Additions, Other additions	0	0	0
Deductions	1	0	1
Balance as of end of period	$ 3	$ 3	$ 3

Derivative Financial Instruments and Off-balance sheet Financial Instruments - Derivatives not designated as accounting hedges (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	$ 38	$ 11	$ (18)
Realized capital gains and losses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(46)	0	(24)
Life and annuity contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	9	9	(7)
Interest credited to contractholder funds
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	41	18	22
Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	34	(16)	(9)
Interest rate contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives			1
Interest rate contracts \| Realized capital gains and losses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives			1
Interest rate contracts \| Life and annuity contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives			0
Interest rate contracts \| Interest credited to contractholder funds
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives			0
Interest rate contracts \| Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives			0
Equity and index contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	60	25	(9)
Equity and index contracts \| Realized capital gains and losses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(15)	(12)	1
Equity and index contracts \| Life and annuity contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Equity and index contracts \| Interest credited to contractholder funds
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	47	18	(9)
Equity and index contracts \| Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	28	19	(1)
Embedded derivative financial instruments
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	3	9	24
Embedded derivative financial instruments \| Realized capital gains and losses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Embedded derivative financial instruments \| Life and annuity contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	9	9	(7)
Embedded derivative financial instruments \| Interest credited to contractholder funds
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(6)	0	31
Embedded derivative financial instruments \| Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Foreign currency contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(21)	(18)	(32)
Foreign currency contracts \| Realized capital gains and losses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(27)	17	(24)
Foreign currency contracts \| Life and annuity contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Foreign currency contracts \| Interest credited to contractholder funds
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Foreign currency contracts \| Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	6	(35)	(8)
Credit default contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(4)	(5)	(2)
Credit default contracts \| Realized capital gains and losses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(4)	(5)	(2)
Credit default contracts \| Life and annuity contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Credit default contracts \| Interest credited to contractholder funds
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	0	0	0
Credit default contracts \| Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	$ 0	$ 0	$ 0