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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2018	Apr. 17, 2018
Document and Entity Information
Entity Registrant Name	ALLSTATE CORP
Entity Central Index Key	0000899051
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		351,488,825

Condensed Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenues
Property and casualty insurance premiums	$ 8,286	$ 7,959
Life premiums and contract charges	616	593
Other revenue	216	210
Net investment income	786	748
Realized capital gains and losses:
Total other-than-temporary impairment (“OTTI”) losses	0	(62)
OTTI losses reclassified (from) to other comprehensive income	(1)	3
Net OTTI losses recognized in earnings	(1)	(59)
Sales and valuation changes on equity investments and derivatives	(133)	193
Total realized capital gains and losses	(134)	134
Total revenues	9,770	9,644
Costs and expenses
Property and casualty insurance claims and claims expense	5,149	5,416
Life contract benefits	504	474
Interest credited to contractholder funds	161	173
Amortization of deferred policy acquisition costs	1,273	1,169
Operating costs and expenses	1,355	1,307
Restructuring and related charges	22	10
Interest expense	83	85
Costs and expenses	8,547	8,634
Gain on disposition of operations	1	2
Income from operations before income tax expense	1,224	1,012
Income tax expense	249	317
Net income	975	695
Preferred stock dividends	29	29
Net income applicable to common shareholders	$ 946	$ 666
Earnings per common share:
Net income available to common shareholders per common share - Basic (in dollars per share)	$ 2.67	$ 1.82
Weighted average common shares - Basic (in shares)	354.1	365.7
Net income available to common shareholders per common share - Diluted (in dollars per share)	$ 2.63	$ 1.79
Weighted average common shares - Diluted (in shares)	359.9	371.3
Cash dividends declared per common share (in dollars per share)	$ 0.46	$ 0.37

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Statement of Comprehensive Income [Abstract]
Net income	$ 975	$ 695
Changes in:
Unrealized net capital gains and losses	(565)	203
Unrealized foreign currency translation adjustments	(4)	(3)
Unrecognized pension and other postretirement benefit cost	23	19
Other comprehensive (loss) income, after-tax	(546)	219
Comprehensive income	$ 429	$ 914

Condensed Consolidated Statements of Financial Position - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Investments
Fixed income securities, at fair value (amortized cost $56,209 and $57,525)	$ 56,674	$ 58,992
Equity securities, at fair value (cost $5,928 and $5,461)	6,986	6,621
Mortgage loans	4,679	4,534
Limited partnership interests	7,434	6,740
Short-term, at fair value (amortized cost $3,424 and $1,944)	3,424	1,944
Other	4,092	3,972
Total investments	83,289	82,803
Cash	450	617
Premium installment receivables, net	5,856	5,786
Deferred policy acquisition costs	4,409	4,191
Reinsurance recoverables, net	8,916	8,921
Accrued investment income	576	569
Property and equipment, net	1,060	1,072
Goodwill	2,189	2,181
Other assets	3,230	2,838
Separate Accounts	3,314	3,444
Total assets	113,289	112,422
Liabilities
Reserve for property and casualty insurance claims and claims expense	26,115	26,325
Reserve for life-contingent contract benefits	12,333	12,549
Contractholder funds	19,139	19,434
Unearned premiums	13,448	13,473
Claim payments outstanding	865	875
Deferred income taxes	725	782
Other liabilities and accrued expenses	7,226	6,639
Long-term debt	6,847	6,350
Separate Accounts	3,314	3,444
Total liabilities	90,012	89,871
Commitments and Contingent Liabilities (Note 12)
Shareholders’ equity
Preferred stock and additional capital paid-in, $1 par value, 25 million shares authorized, 95.2 thousand and 72.2 thousand shares issued and outstanding, $2,380 and $1,805 aggregate liquidation preference	2,303	1,746
Common stock, $.01 par value, 2.0 billion shares authorized and 900 million issued, 352 million and 355 million shares outstanding	9	9
Additional capital paid-in	3,367	3,313
Retained income	45,031	43,162
Deferred ESOP expense	(3)	(3)
Treasury stock, at cost (548 million and 545 million shares)	(26,280)	(25,982)
Unrealized net capital gains and losses:
Unrealized net capital gains and losses on fixed income securities with OTTI	84	85
Other unrealized net capital gains and losses	283	1,981
Unrealized adjustment to DAC, DSI and insurance reserves	(180)	(404)
Total unrealized net capital gains and losses	187	1,662
Unrealized foreign currency translation adjustments	(13)	(9)
Unrecognized pension and other postretirement benefit cost	(1,324)	(1,347)
Total accumulated other comprehensive income (“AOCI”)	(1,150)	306
Total shareholders’ equity	23,277	22,551
Total liabilities and shareholders’ equity	$ 113,289	$ 112,422

Condensed Consolidated Statements of Financial Position (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Fixed income securities, at fair value, amortized cost (in dollars)	$ 56,209	$ 57,525
Equity securities, at fair value, cost (in dollars)	5,928	5,461
Short-term, at fair value, amortized cost (in dollars)	$ 3,424	$ 1,944
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)	95,200	72,200
Preferred stock, shares outstanding (in shares)	95,200	72,200
Preferred stock, shares aggregate liquidation preference (in shares)	$ 2,380	$ 1,805
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	2,000,000,000.0	2,000,000,000.0
Common stock, shares issued (in shares)	900,000,000	900,000,000
Common stock, shares outstanding (in shares)	352,000,000	355,000,000
Treasury Stock, shares (in shares)	548,000,000	545,000,000

Condensed 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
Increase (decrease) in equity
Cumulative effect of change in accounting principle						$ 0			$ 0
Balance, beginning of period at Dec. 31, 2016			$ 1,746		$ 3,303	40,678		$ (24,741)	(416)
Increase (decrease) in equity
Preferred stock issuance			0
Forward contract on accelerated share repurchase agreement					0
Equity incentive plans activity					(18)
Net income	$ 695					695
Dividends on common stock						(136)
Dividends on preferred stock						(29)
Shares acquired								(249)
Shares reissued under equity incentive plans, net								103
Change in unrealized net capital gains and losses	203								203
Change in unrealized foreign currency translation adjustments	(3)								(3)
Change in unrecognized pension and other postretirement benefit cost	19								19
Balance, end of period at Mar. 31, 2017	21,158	$ 0	1,746	$ 9	3,285	41,208	$ (6)	(24,887)	(197)
Increase (decrease) in equity
Cumulative effect of change in accounting principle						1,088			(910)
Balance, beginning of period at Dec. 31, 2017	22,551		1,746		3,313	43,162		(25,982)	306
Increase (decrease) in equity
Preferred stock issuance			557
Forward contract on accelerated share repurchase agreement					45
Equity incentive plans activity					9
Net income	975					975
Dividends on common stock						(165)
Dividends on preferred stock						(29)
Shares acquired								(333)
Shares reissued under equity incentive plans, net								35
Change in unrealized net capital gains and losses	(565)								(565)
Change in unrealized foreign currency translation adjustments	(4)								(4)
Change in unrecognized pension and other postretirement benefit cost	23								23
Balance, end of period at Mar. 31, 2018	$ 23,277	$ 0	$ 2,303	$ 9	$ 3,367	$ 45,031	$ (3)	$ (26,280)	$ (1,150)

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Cash flows from operating activities
Net income	$ 975	$ 695
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and other non-cash items	122	119
Realized capital gains and losses	134	(134)
Gain on disposition of operations	(1)	(2)
Interest credited to contractholder funds	161	173
Changes in:
Policy benefits and other insurance reserves	(364)	183
Unearned premiums	(204)	(248)
Deferred policy acquisition costs	10	14
Premium installment receivables, net	(58)	(19)
Reinsurance recoverables, net	(12)	11
Income taxes	181	284
Other operating assets and liabilities	(318)	(219)
Net cash provided by operating activities	626	857
Proceeds from sales
Fixed income securities	10,619	7,083
Equity securities	1,138	2,601
Limited partnership interests	53	210
Other investments	76	24
Investment collections
Fixed income securities	583	1,029
Mortgage loans	46	223
Other investments	122	174
Investment purchases
Fixed income securities	(9,789)	(8,800)
Equity securities	(1,535)	(2,383)
Limited partnership interests	(415)	(268)
Mortgage loans	(192)	(86)
Other investments	(330)	(219)
Change in short-term investments, net	(1,533)	1,572
Change in other investments, net	(27)	(10)
Purchases of property and equipment, net	(62)	(74)
Acquisition of operations	(5)	(1,356)
Net cash used in investing activities	(1,251)	(280)
Cash flows from financing activities
Proceeds from issuance of long-term debt	498	0
Proceeds from issuance of preferred stock	558	0
Contractholder fund deposits	253	257
Contractholder fund withdrawals	(492)	(483)
Dividends paid on common stock	(132)	(122)
Dividends paid on preferred stock	(29)	(29)
Treasury stock purchases	(270)	(264)
Shares reissued under equity incentive plans, net	10	67
Other	62	3
Net cash provided by (used in) financing activities	458	(571)
Net (decrease) increase in cash	(167)	6
Cash at beginning of period	617	436
Cash at end of period	$ 450	$ 442

General

3 Months Ended

Mar. 31, 2018

General [Abstract]

General



Note 1	General

Basis of presentation

The accompanying condensed 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 condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”).

The condensed consolidated financial statements and notes as of March 31, 2018 and for the three month periods ended March 31, 2018 and 2017 are unaudited. The condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring accruals) which are, in the opinion of management, necessary for the fair presentation of the financial position, results of operations and cash flows for the interim periods. These condensed consolidated financial statements and notes should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2017. The results of operations for the interim periods should not be considered indicative of results to be expected for the full year. All significant intercompany accounts and transactions have been eliminated.

Adopted accounting standards

Recognition and Measurement of Financial Assets and Financial Liabilities

Effective January 1, 2018, the Company adopted new Financial Accounting Standards Board (“FASB”) guidance requiring equity investments, including equity securities and limited partnership interests not accounted for under the equity method of accounting or that do not result in consolidation to be measured at fair value with changes in fair value recognized in net income. The guidance clarifies that an entity should evaluate the realizability of deferred tax assets related to available-for-sale fixed income securities in combination with the entity’s other deferred tax assets. The Company’s adoption of the new FASB guidance included adoption of the relevant elements of Technical Corrections and Improvements to Financial Instruments, issued in February 2018.

Upon adoption of the new guidance on January 1, 2018, $1.16 billion of pre-tax unrealized net capital gains for equity securities were reclassified from AOCI to retained income. The after-tax change in accounting for equity securities did not affect the Company’s total shareholders’ equity and the unrealized net capital gains reclassified to retained income will never be recognized in net income.

Upon adoption of the new guidance on January 1, 2018, the carrying value of cost method limited partnership interests increased $224 million, pre-tax to fair value. The after-tax cumulative-effect increase in retained income of $177 million increased the Company’s shareholders’ equity but will never be recognized in net income thereby negatively impacting calculations of returns on equity.

Revenue from Contracts with Customers

Effective January 1, 2018, the Company adopted new FASB guidance which revises the criteria for revenue recognition. Insurance contracts are excluded from the scope of the new guidance. The Company’s principal activities impacted by the new guidance are those related to the issuance of protection plans for consumer products and automobiles and service contracts that provide roadside assistance. Under the guidance, the transaction price is attributed to underlying performance obligations in the contract and revenue is recognized as the entity satisfies 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.

Adoption of the guidance on January 1, 2018 under the modified retrospective approach resulted in the recognition of an immaterial after-tax net cumulative effect increase to the beginning balance of retained income. In addition to the net cumulative effect, the Company also recorded in the statement of financial position an increase of approximately $160 million pre-tax in unearned premiums with a corresponding $160 million pre-tax increase in DAC for protection plans sold directly to retailers for which SquareTrade is deemed to be the principal in the transaction. These impacts offset fully and did not impact retained income at the date of adoption.

Presentation of Net Periodic Pension and Postretirement Benefits Costs

Effective January 1, 2018, the Company adopted new FASB guidance requiring identification, 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 adoption had no impact on the Company’s results of operations or financial position.

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 to be applied on a prospective basis, with the effects, if any, recognized in net income in the period of adoption. The Company elected to early adopt the new guidance as of January 1, 2018. The adoption had no impact on the Company’s results of operations or financial position.

Changes to significant accounting policies

Investments

Changes were made to the Company’s Significant Accounting Policies upon adoption of new FASB guidance related to the recognition and measurement of financial assets. Equity securities primarily include common stocks, exchange traded and mutual funds, non-redeemable preferred stocks and real estate investment trust equity investments. Equity securities are carried at fair value. Equity securities without readily determinable or estimable fair values are measured using the measurement alternative which is cost less impairment, if any, and adjustments resulting from observable price changes in orderly transactions for the identical or similar investment of the same issuer. The periodic change in fair value of equity securities is recognized within realized capital gains and losses on the Condensed Consolidated Statements of Operations effective January 1, 2018.

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 purchased prior to January 1, 2018 are accounted for at fair value primarily utilizing the net asset value as a practical expedient (“NAV”) to determine fair value. All other investments in limited partnership interests, including those purchased subsequent to January 1, 2018, are accounted for in accordance with the equity method of accounting (“EMA”).

Investment income from limited partnership interests carried at fair value is recognized based upon the changes in fair value of the investee’s equity primarily determined using NAV. Income from EMA limited partnership interests is recognized based on the Company’s share of the partnerships’ earnings. Income from EMA limited partnership interests is generally recognized on a three month delay due to the availability of the related financial statements.

Recognition of Revenue

Revenues related to protection plans, other contracts (primarily finance and insurance products) and roadside assistance are deferred and earned over the term of the contract in a manner that recognizes revenue as obligations under the contracts are performed. Revenues from these products are classified as premiums as the products are backed by insurance. Protection plans and finance and insurance premiums are recognized using a cost-based incurrence method. Roadside assistance premiums are recognized evenly over the term of the contract as performance obligations are fulfilled.

Tax Reform

On December 22, 2017, Public Law 115-97, known as the Tax Cuts and Jobs Act of 2017 (“Tax Legislation”) became effective, permanently reducing the U.S. corporate income tax rate from 35% to 21% beginning January 1, 2018. As a result, the corporate tax rate is not comparable between periods.

Pending accounting standards

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 Condensed 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 by adjusting the amortization of the right-of-use asset to produce a straight-line expense when combined with the interest expense on the lease liability. 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 reporting 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.

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 reporting periods beginning after December 15, 2018. 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.

Other revenue presentation

Concurrent with the adoption of new FASB guidance on revenue from contracts with customers and the Company’s objective of providing more information related to revenues for our Services Businesses, the Company revised the presentation of total revenue to include other revenue. Previously, components of other revenue were presented within operating costs and expenses and primarily represent fees collected from policyholders relating to premium installment payments, commissions on sales of non-proprietary products, fee-based services and other revenue transactions. Other revenue is recognized when performance obligations are fulfilled. Prior periods have been reclassified to conform to current separate presentation of other revenue.

Earnings per Common Share

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Earnings per Common Share



Note 2	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
($ in millions, except per share data)	Three months ended March 31,
($ in millions, except per share data)	2018		2017
Numerator:
Net income	$	975	$	695
Less: Preferred stock dividends	29		29
Net income applicable to common shareholders⁽¹⁾	$	946	$	666

Denominator:
Weighted average common shares outstanding	354.1		365.7
Effect of dilutive potential common shares:
Stock options	4.1		4.2
Restricted stock units (non-participating) and performance stock awards	1.7		1.4
Weighted average common and dilutive potential common shares outstanding	359.9		371.3

Earnings per common share - Basic	$	2.67	$	1.82
Earnings per common share - Diluted	$	2.63	$	1.79


⁽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 1.0 million and 2.8 million Allstate common shares, with exercise prices ranging from $86.61 to $102.84 and $67.81 to $81.86, were outstanding for the three-month periods ended March 31, 2018 and 2017, respectively, but were not included in the computation of diluted earnings per common share in those periods.

Acquisition

3 Months Ended

Mar. 31, 2018

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 $1.10 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 $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 for the three months ended March 31, 2018 and 2017 was $21 million and $23 million, respectively.

Reportable Segments

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Reportable Segments



Note 4	Reportable Segments



Reportable segments revenue information
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Property-Liability
Insurance premiums
Auto	$	5,591		$	5,388
Homeowners	1,848			1,815
Other personal lines	444			431
Commercial lines	136			125
Allstate Protection	8,019			7,759
Discontinued Lines and Coverages	—			—
Total property-liability insurance premiums	8,019			7,759
Other revenue	174			167
Net investment income	337			308
Realized capital gains and losses	(95		)	135
Total Property-Liability	8,435			8,369

Service Businesses
Consumer product protection plans	123			59
Roadside assistance	64			68
Finance and insurance products	80			73
Intersegment premiums and service fees ⁽¹⁾	29			28
Other revenue	16			16
Net investment income	5			3
Realized capital gains and losses	(4		)	—
Total Service Businesses	313			247

Allstate Life
Traditional life insurance premiums	146			140
Interest-sensitive life insurance contract charges	181			181
Other revenue	26			27
Net investment income	122			120
Realized capital gains and losses	(3		)	1
Total Allstate Life	472			469

Allstate Benefits
Traditional life insurance premiums	9			9
Accident and health insurance premiums	248			232
Interest-sensitive life insurance contract charges	29			28
Net investment income	19			17
Realized capital gains and losses	(2		)	—
Total Allstate Benefits	303			286

Allstate Annuities
Fixed annuities contract charges	3			3
Net investment income	290			289
Realized capital gains and losses	(29		)	(2		)
Total Allstate Annuities	264			290

Corporate and Other
Net investment income	13			11
Realized capital gains and losses	(1		)	—

Total Corporate and Other	12			11
Intersegment eliminations ⁽¹⁾	(29		)	(28		)
Consolidated revenues	$	9,770		$	9,644

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



Reportable segments financial performance
	Three months ended March 31,
($ in millions)	2018			2017
Property-Liability
Allstate Protection	$	962		$	550
Discontinued Lines and Coverages	(3		)	(2		)
Total underwriting income	959			548
Net investment income	337			308
Income tax expense on operations	(268		)	(268		)
Realized capital gains and losses, after-tax	(75		)	89
Property-Liability net income applicable to common shareholders	953			677

Service Businesses
Adjusted net loss	(5		)	(10		)
Realized capital gains and losses, after-tax	(3		)	—
Amortization of purchased intangible assets, after-tax	(16		)	(15		)
Service Businesses net loss applicable to common shareholders	(24		)	(25		)

Allstate Life
Adjusted net income	69			59
Realized capital gains and losses, after-tax	(2		)	1
DAC and DSI amortization related to realized capital gains and losses, after-tax	(2		)	(3		)
Allstate Life net income applicable to common shareholders	65			57

Allstate Benefits
Adjusted net income	28			22
Realized capital gains and losses, after-tax	(2		)	—
Allstate Benefits net income applicable to common shareholders	26			22

Allstate Annuities
Adjusted net income	35			29
Realized capital gains and losses, after-tax	(23		)	(2		)
Valuation changes on embedded derivatives not hedged, after-tax	4			—
Gain on disposition of operations, after-tax	1			2
Allstate Annuities net income applicable to common shareholders	17			29

Corporate and Other
Adjusted net loss	(90		)	(81		)
Realized capital gains and losses, after-tax	(1		)	—
Business combination expenses, after-tax	—			(13		)
Corporate and Other net loss applicable to common shareholders	(91		)	(94		)

Consolidated net income applicable to common shareholders	$	946		$	666

Investments

3 Months Ended

Mar. 31, 2018

Investments [Abstract]

Investments



Note 5	Investments



Amortized cost, gross unrealized gains and losses and fair value for fixed income securities
($ in millions)	Amortized cost		Gross unrealized					Fair value
($ in millions)	Amortized cost		Gains		Losses			Fair value
March 31, 2018
U.S. government and agencies	$	3,373	$	50	$	(17	)	$	3,406
Municipal	8,404		257		(92		)	8,569
Corporate	41,699		763		(611		)	41,851
Foreign government	968		21		(10		)	979
Asset-backed securities (“ABS”)	1,196		11		(10		)	1,197
Residential mortgage-backed securities (“RMBS”)	453		100		(3		)	550
Commercial mortgage-backed securities (“CMBS”)	95		6		(2		)	99
Redeemable preferred stock	21		2		—			23
Total fixed income securities	$	56,209	$	1,210	$	(745	)	$	56,674

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



Scheduled maturities for fixed income securities
($ in millions)	As of March 31, 2018
($ in millions)	Amortized cost		Fair value
Due in one year or less	$	4,629	$	4,627
Due after one year through five years	28,201		28,199
Due after five years through ten years	16,363		16,220
Due after ten years	5,272		5,782
	54,465		54,828
ABS, RMBS and CMBS	1,744		1,846
Total	$	56,209	$	56,674

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
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Fixed income securities	$	508		$	518
Equity securities	34			44
Mortgage loans	51			55
Limited partnership interests ⁽¹⁾⁽²⁾	180			120
Short-term investments	12			6
Other	66			56
Investment income, before expense	851			799
Investment expense	(65		)	(51		)
Net investment income	$	786		$	748


⁽¹⁾	Due to the adoption of the recognition and measurement accounting standard, limited partnerships previously reported using the cost method are now reported at fair value with changes in fair value recognized in net investment income.


⁽²⁾	Includes net investment income of $103 million for EMA limited partnership interests and $77 million for limited partnership interests carried at fair value for the three months ended March 31, 2018.



Realized capital gains and losses by asset type
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Fixed income securities	$	(43	)	$	5
Equity securities	(93		)	106
Limited partnership interests	10			40
Derivatives	(8		)	(15		)
Other	—			(2		)
Realized capital gains and losses	$	(134	)	$	134



Realized capital gains and losses by transaction type
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Impairment write-downs ⁽¹⁾	$	(1	)	$	(43	)
Change in intent write-downs ⁽¹⁾	—			(16		)
Net OTTI losses recognized in earnings	(1		)	(59		)
Sales ⁽¹⁾	(42		)	208
Valuation of equity investments ⁽¹⁾	(83		)	—
Valuation and settlements of derivative instruments	(8		)	(15		)
Realized capital gains and losses	$	(134	)	$	134


⁽¹⁾	Due to the adoption of the recognition and measurement accounting standard, equity securities are reported at fair value with changes in fair value recognized in valuation of equity investments and are no longer included in impairment write-downs, change in intent write-downs and sales.

Gross gains of $45 million and gross losses of $87 million were realized on sales of fixed income securities during the three months ended March 31, 2018. Gross gains of $235 million and gross losses of $75 million were realized on sales of fixed income and equity securities during the three months ended March 31, 2017.



Valuation changes included in net income for investments still held as of March 31, 2018
($ in millions)	Three months ended March 31, 2018
Equity securities	$	(49	)
Limited partnership interests carried at fair value	78
Total valuation changes	$	29



OTTI losses by asset type
($ in millions)	Three months ended March 31, 2018								Three months ended March 31, 2017
($ in millions)	Gross		Included in OCI			Net			Gross			Included in OCI			Net
Fixed income securities:
Corporate	$	—	$	—		$	—		$	(9	)	$	3		$	(6	)
RMBS	—		—			—			(1		)	(3		)	(4		)
CMBS	—		(1		)	(1		)	(6		)	3			(3		)
Total fixed income securities	—		(1		)	(1		)	(16		)	3			(13		)
Equity securities ⁽¹⁾	—		—			—			(36		)	—			(36		)
Limited partnership interests ⁽¹⁾ (2)	—		—			—			(7		)	—			(7		)
Other	—		—			—			(3		)	—			(3		)
OTTI losses	$	—	$	(1	)	$	(1	)	$	(62	)	$	3		$	(59	)


⁽¹⁾	Due to the adoption of the recognition and measurement accounting standard, equity securities and limited partnerships previously reported using the cost method are now reported at fair value with changes in fair value recognized in net income and are no longer included in the table above.

The total amount of OTTI losses included in AOCI at the time of impairment for fixed income securities, which were not included in earnings, are presented in the following table. The amounts exclude $202 million and $208 million as of March 31, 2018 and December 31, 2017, respectively, of net unrealized gains related to changes in valuation of the fixed income securities subsequent to the impairment measurement date.



OTTI losses included in AOCI at the time of impairment for fixed income securities
($ in millions)	March 31, 2018			December 31, 2017
Municipal	$	(5	)	$	(5	)
ABS	(12		)	(15		)
RMBS	(74		)	(77		)
CMBS	(4		)	(4		)
Total	$	(95	)	$	(101	)



Rollforward of the cumulative credit losses recognized in earnings for fixed income securities held as of
($ in millions)	March 31,
($ in millions)	2018			2017
Beginning balance	$	(226	)	$	(318	)
Additional credit loss for securities previously other-than-temporarily impaired	(1		)	(8		)
Additional credit loss for securities not previously other-than-temporarily impaired	—			(5		)
Reduction in credit loss for securities disposed or collected	15			37
Ending balance	$	(212	)	$	(294	)

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 OTTI 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)
March 31, 2018	Fair value		Gains		Losses			Unrealized net gains (losses)
Fixed income securities	$	56,674	$	1,210	$	(745	)	$	465
Short-term investments	3,424		—		—			—
Derivative instruments ⁽¹⁾	2		2		(3		)	(1		)
EMA limited partnerships ⁽²⁾								1
Unrealized net capital gains and losses, pre-tax								465
Amounts recognized for:
Insurance reserves ⁽³⁾								(119		)
DAC and DSI ⁽⁴⁾								(109		)
Amounts recognized								(228		)
Deferred income taxes								(50		)
Unrealized net capital gains and losses, after-tax								$	187


⁽¹⁾	Included in the fair value of derivative instruments is $2 million classified as liabilities.


⁽²⁾	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.


⁽³⁾	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).


⁽⁴⁾	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.



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	6,621		1,172		(12		)	1,160
Short-term investments	1,944		—		—			—
Derivative instruments ⁽¹⁾	2		2		(3		)	(1		)
EMA limited partnerships								1
Unrealized net capital gains and losses, pre-tax								2,627
Amounts recognized for:
Insurance reserves								(315		)
DAC and DSI								(196		)
Amounts recognized								(511		)
Deferred income taxes								(454		)
Unrealized net capital gains and losses, after-tax								$	1,662

⁽¹⁾Included in the fair value of derivative instruments is $2 million classified as liabilities.



Change in unrealized net capital gains and losses
($ in millions)	Three months ended March 31, 2018
Fixed income securities	$	(1,002	)
Equity securities ⁽¹⁾	—
Total	(1,002		)
Amounts recognized for:
Insurance reserves	196
DAC and DSI	87
Amounts recognized	283
Deferred income taxes	154
Decrease in unrealized net capital gains and losses, after-tax	$	(565	)

⁽¹⁾Upon adoption of the recognition and measurement accounting standard on January 1, 2018, $1.16 billion of pre-tax unrealized net capital gains for equity securities were reclassified from AOCI to retained income. See Note 1 of the condensed consolidated financial statements.

Portfolio monitoring

The Company has a comprehensive portfolio monitoring process to identify and evaluate each fixed income 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 fixed income 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 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 OTTI using all reasonably available information relevant to the collectability or recovery of the security. Inherent in the Company’s evaluation of OTTI for these 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.



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						Total unrealized losses
($ in millions)	Number of issues	Fair value		Unrealized losses			Number of issues	Fair value		Unrealized losses			Total unrealized losses
March 31, 2018
Fixed income securities
U.S. government and agencies	57	$	1,514	$	(16	)	13	$	74	$	(1	)	$	(17	)
Municipal	2,535	4,626		(74		)	160	323		(18		)	(92		)
Corporate	1,656	22,720		(458		)	199	3,006		(153		)	(611		)
Foreign government	43	531		(9		)	4	39		(1		)	(10		)
ABS	80	541		(6		)	7	11		(4		)	(10		)
RMBS	139	36		(1		)	181	43		(2		)	(3		)
CMBS	—	—		—			6	24		(2		)	(2		)
Total fixed income securities	4,510	29,968		(564		)	570	3,520		(181		)	(745		)
Investment grade fixed income securities	4,161	$	27,020	$	(470	)	516	$	3,284	$	(153	)	$	(623	)
Below investment grade fixed income securities	349	2,948		(94		)	54	236		(28		)	(122		)
Total fixed income securities	4,510	$	29,968	$	(564	)	570	$	3,520	$	(181	)	$	(745	)

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	)

As of March 31, 2018, $721 million of the $745 million unrealized losses are related to securities with an unrealized loss position less than 20% of amortized cost, the degree of which suggests that these securities do not pose a high risk of being other-than-temporarily impaired. Of the $721 million, $611 million are related to unrealized losses on investment grade fixed income securities. Of the remaining $110 million, $92 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 March 31, 2018, the remaining $24 million of unrealized losses are related to securities in unrealized loss positions greater than or equal to 20% of amortized cost. Investment grade fixed income securities comprising $12 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 $24 million, $12 million are related to below investment grade fixed income securities. Of these amounts, $4 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 March 31, 2018.

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.

As of March 31, 2018, 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.

Limited partnerships

Investments in limited partnership interests include interests in private equity funds, real estate funds and other funds. As of March 31, 2018 and December 31, 2017, the carrying value of EMA limited partnerships totaled $5.77 billion and $5.41 billion, respectively, and limited partnerships carried at fair value as of March 31, 2018, while at cost method as of December 31, 2017, totaled $1.66 billion and $1.33 billion, respectively.

Mortgage loans

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 March 31, 2018.

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
($ in millions)	March 31, 2018						December 31, 2017
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	$	27	$	—	$	27	$	3	$	—	$	3
1.0 - 1.25	355		—		355		345		—		345
1.26 - 1.50	1,165		30		1,195		1,141		30		1,171
Above 1.50	2,998		100		3,098		2,949		62		3,011
Total non-impaired mortgage loans	$	4,545	$	130	$	4,675	$	4,438	$	92	$	4,530

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
($ in millions)	March 31, 2018		December 31, 2017
Impaired mortgage loans with a valuation allowance	$	4	$	4
Impaired mortgage loans without a valuation allowance	—		—
Total impaired mortgage loans	$	4	$	4
Valuation allowance on impaired mortgage loans	$	3	$	3

The valuation allowance on impaired loans had no activity for the three months ended March 31, 2018 and 2017. The average balance of impaired loans was $4 million and $5 million for the three months ended March 31, 2018 and 2017, respectively.

Payments on all mortgage loans were current as of March 31, 2018 and December 31, 2017.

Short-term investments

Short-term investments, including commercial paper, U.S. Treasury bills, money market funds and other short-term investments, are carried at fair value. As of March 31, 2018 and December 31, 2017, the fair value of short-term investments totaled $3.42 billion and $1.94 billion, respectively.

Other investments

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. 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.



Other investments by asset type
($ in millions)	March 31, 2018		December 31, 2017
Bank loans	$	1,681	$	1,702
Policy loans	900		905
Real estate	763		632
Agent loans	562		538
Other	186		195
Total	$	4,092	$	3,972

Fair Value of Assets and Liabilities

3 Months Ended

Mar. 31, 2018

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 Condensed 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, 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 condensed 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 that are readily determinable 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. EMA limited partnership interests written-down to fair value in connection with recognizing OTTI losses are generally valued using net asset values.

Investments excluded from the fair value hierarchy

Limited partnerships carried at fair value, which do not have readily determinable fair values, use NAV provided by the investees and are excluded from the fair value hierarchy. These investments are generally not redeemable by the investees and generally cannot be sold without approval of the general partner. We receive distributions of income and from liquidation of the underlying assets of the investees over the life of these investments, typically 10-12 years. As of March 31, 2018, the Company has commitments to invest $943 million in limited partnership interests valued using NAV.



Assets and liabilities measured at fair value
	As of March 31, 2018
($ 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			Total
Assets
Fixed income securities:
U.S. government and agencies	$	2,845		$	561		$	—					$	3,406
Municipal	—			8,473			96						8,569
Corporate - public	—			30,535			77						30,612
Corporate - privately placed	—			11,024			215						11,239
Foreign government	—			979			—						979
ABS - CDO	—			450			10						460
ABS - consumer and other	—			675			62						737
RMBS	—			550			—						550
CMBS	—			72			27						99
Redeemable preferred stock	—			23			—						23
Total fixed income securities	2,845			53,342			487						56,674
Equity securities	6,374			370			242						6,986
Short-term investments	402			3,022			—						3,424
Other investments: Free-standing derivatives	—			117			1			$	(15	)	103
Separate account assets	3,314			—			—						3,314
Total assets at fair value	$	12,935		$	56,851		$	730		$	(15	)	$	70,501
% of total assets at fair value	18.4		%	80.6		%	1.0		%	—		%	100		%

Investments reported at NAV													1,663
Total													$	72,164

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(262	)				$	(262	)
Other liabilities: Free-standing derivatives	—			(75		)	—			$	26		(49		)
Total liabilities at fair value	$	—		$	(75	)	$	(262	)	$	26		$	(311	)
% of total liabilities at fair value	—		%	24.1		%	84.3		%	(8.4		)%	100		%



Assets and liabilities measured at fair value
	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			Total
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		%

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		%


⁽¹⁾	Includes $3 million of limited partnership interests written-down to fair value in connection with recognizing OTTI losses.



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
March 31, 2018
Derivatives embedded in life and annuity contracts – Equity-indexed and forward starting options	$	(232	)	Stochastic cash flow model	Projected option cost	1.0 - 2.2%	1.74%
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%

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 March 31, 2018 and December 31, 2017, Level 3 fair value measurements of fixed income securities total $487 million and $606 million, respectively, and include $278 million and $271 million, respectively, of securities valued based on non-binding broker quotes where the inputs have not been corroborated to be market observable and $54 million and $58 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
				March 31, 2018
	Balance as of December 31, 2017			Total gains (losses) included in:						Transfers into Level 3			Transfers out of Level 3
($ in millions)	Balance as of December 31, 2017			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
Municipal	$	101		$	1		$	(1	)	$	—		$	(2	)
Corporate - public	108			—			(1		)	4			(5		)
Corporate - privately placed	224			—			(1		)	—			(19		)
ABS - CDO	99			—			—			—			(89		)
ABS - consumer and other	48			—			1			5			—
CMBS	26			—			—			—			—
Total fixed income securities	606			1			(2		)	9			(115		)
Equity securities	210			3			—			—			—
Short-term investments	20			—			—			—			—
Free-standing derivatives, net	1			—			—			—			—
Total recurring Level 3 assets	$	837		$	4		$	(2	)	$	9		$	(115	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(286	)	$	23		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(286	)	$	23		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of March 31, 2018
Assets
Fixed income securities:
Municipal	$	—		$	(2	)	$	—		$	(1	)	$	96
Corporate - public	—			(26		)	—			(3		)	77
Corporate - privately placed	13			—			—			(2		)	215
ABS - CDO	—			—			—			—			10
ABS - consumer and other	45			(35		)	—			(2		)	62
CMBS	1			—			—			—			27
Total fixed income securities	59			(63		)	—			(8		)	487
Equity securities	30			(1		)	—			—			242
Short-term investments	25			(45		)	—			—			—
Free-standing derivatives, net	—			—			—			—			1			⁽²⁾
Total recurring Level 3 assets	$	114		$	(109	)	$	—		$	(8	)	$	730
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(1	)	$	2		$	(262	)
Total recurring Level 3 liabilities	$	—		$	—		$	(1	)	$	2		$	(262	)


⁽¹⁾	The effect to net income totals $27 million and is reported in the Condensed Consolidated Statements of Operations as follows: $4 million in realized capital gains and losses, $19 million in interest credited to contractholder funds and $4 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
				March 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		$	1		$	—		$	(1	)
Corporate - public	78			—			—			—			(16		)
Corporate - privately placed	263			—			5			—			—
ABS - CDO	27			—			2			27			—
ABS - consumer and other	42			—			—			—			(2		)
RMBS	1			—			—			—			—
CMBS	22			—			—			—			—
Total fixed income securities	558			1			8			27			(19		)
Equity securities	163			10			—			—			(3		)
Short-term investments	15			—			—			—			—
Free-standing derivatives, net	(2		)	1			—			—			—
Other assets	1			(1		)	—			—			—
Total recurring Level 3 assets	$	735		$	11		$	8		$	27		$	(22	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(290	)	$	3		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(290	)	$	3		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of March 31, 2017
Assets
Fixed income securities:
Municipal	$	—		$	(2	)	$	—		$	—		$	124
Corporate - public	—			—			—			(2		)	60
Corporate - privately placed	—			—			—			(5		)	263
ABS - CDO	95			—			—			(4		)	147
ABS - consumer and other	41			—			—			(1		)	80
RMBS	—			—			—			(1		)	—
CMBS	3			—			—			—			25
Total fixed income securities	139			(2		)	—			(13		)	699
Equity securities	1			(1		)	—			—			170
Short-term investments	20			—			—			—			35
Free-standing derivatives, net	—			—			—			—			(1		)	⁽²⁾
Other assets	—			—			—			—			—
Total recurring Level 3 assets	$	160		$	(3	)	$	—		$	(13	)	$	903
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(1	)	$	2		$	(286	)
Total recurring Level 3 liabilities	$	—		$	—		$	(1	)	$	2		$	(286	)


⁽¹⁾	The effect to net income totals $14 million and is reported in the Condensed Consolidated Statements of Operations as follows: $2 million in realized capital gains and losses, $10 million in net investment income, $(5) million in interest credited to contractholder funds and $7 million in life contract benefits.


⁽²⁾	Comprises $1 million of assets and $2 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. 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 the three months ended March 31, 2018 or 2017.

Transfers into Level 3 during the three months ended March 31, 2018 and 2017 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 the three months ended March 31, 2018 and 2017 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.



Valuation changes included in net income for level 3 assets and liabilities held as of
($ in millions)	March 31,
($ in millions)	2018		2017
Assets
Equity securities	$	2	$	10
Free-standing derivatives, net	—		1
Other assets	—		(1		)
Total recurring Level 3 assets	$	2	$	10
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	23	$	3
Total recurring Level 3 liabilities	$	23	$	3

The amounts in the table above represent gains and losses related to valuation changes 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 $25 million for the three months ended March 31, 2018 and are reported as follows: $2 million in realized capital gains and losses, $19 million in interest credited to contractholder funds and $4 million in life contract benefits. These gains and losses total $13 million for the three months ended March 31, 2017 and are reported as follows: $1 million in realized capital gains and losses, $10 million in net investment income, $(5) 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
($ in millions)	March 31, 2018				December 31, 2017
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Mortgage loans	$	4,679	$	4,784	$	4,534	$	4,732
Bank loans	1,681		1,688		1,702		1,704
Agent loans	562		553		538		536

The fair value measurements for mortgage loans, 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
($ in millions)	March 31, 2018				December 31, 2017
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Contractholder funds on investment contracts	$	10,088	$	10,597	$	10,367	$	11,071
Long-term debt	6,847		7,425		6,350		7,199
Liability for collateral	1,037		1,037		1,124		1,124

The fair value measurement is Level 3 for contractholder funds on investment contracts and Level 2 for long-term debt and liability for collateral.

- 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

3 Months Ended

Mar. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments



Note 7	Derivative 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 Condensed Consolidated Statements of Financial Position.

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 March 31, 2018
($ in millions, except number of contracts)		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	$	16	n/a	$	—		$	—	$	—
Equity and index contracts
Options	Other investments	—		5,991	102			102		—
Financial futures contracts	Other assets	—		1,655	—			—		—
Foreign currency contracts
Foreign currency forwards	Other investments	253		n/a	(5		)	2		(7		)
Credit default contracts
Credit default swaps – buying protection	Other investments	149		n/a	(3		)	—		(3		)
Credit default swaps – selling protection	Other investments	90		n/a	—			—		—
Other contracts
Other contracts	Other assets	3		n/a	—			—		—
Total asset derivatives		$	511	7,646	$	94		$	104	$	(10	)

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	26		n/a	1			1		—
Equity and index contracts
Options and futures	Other liabilities & accrued expenses	540		5,990	(36		)	10		(46		)
Foreign currency contracts
Foreign currency forwards	Other liabilities & accrued expenses	316		n/a	(13		)	1		(14		)
Embedded derivative financial instruments
Guaranteed accumulation benefits	Contractholder funds	215		n/a	(20		)	—		(20		)
Guaranteed withdrawal benefits	Contractholder funds	266		n/a	(10		)	—		(10		)
Equity-indexed and forward starting options in life and annuity product contracts	Contractholder funds	1,770		n/a	(232		)	—		(232		)
Credit default contracts
Credit default swaps – buying protection	Other liabilities & accrued expenses	275		n/a	(5		)	—		(5		)
Credit default swaps – selling protection	Other liabilities & accrued expenses	5		n/a	—			—		—
Subtotal		3,413		5,990	(315		)	12		(327		)
Total liability derivatives		3,432		5,990	(313		)	$	14	$	(327	)
Total derivatives		$	3,943	13,636	$	(219	)


⁽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, 2017
($ in millions, except number of contracts)		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)



Gross and net amounts for OTC derivatives ⁽¹⁾
($ in millions)				Offsets
($ in millions)	Gross amount			Counter-party netting			Cash collateral (received) pledged		Net amount on balance sheet			Securities collateral (received) pledged		Net amount
March 31, 2018
Asset derivatives	$	17		$	(24	)	$	9	$	2		$	—	$	2
Liability derivatives	(31		)	24			2		(5		)	2		(3		)

December 31, 2017
Asset derivatives	$	8		$	(7	)	$	1	$	2		$	—	$	2
Liability derivatives	(26		)	7			7		(12		)	3		(9		)


⁽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
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Loss recognized in OCI on derivatives during the period	$	—		$	(2	)
Loss recognized in OCI on derivatives during the term of the hedging relationship	(1		)	—

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 for the three months ended March 31, 2018 or 2017.



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
Three months ended March 31, 2018
Equity and index contracts	$	(2	)	$	—	$	(4	)	$	(3	)	$	(9	)
Embedded derivative financial instruments	—			4		20			—			24
Foreign currency contracts	(7		)	—		—			1			(6		)
Credit default contracts	1			—		—			—			1
Total	$	(8	)	$	4	$	16		$	(2	)	$	10

Three months ended March 31, 2017
Equity and index contracts	$	(7	)	$	—	$	13		$	7		$	13
Embedded derivative financial instruments	—			7		(4		)	—			3
Foreign currency contracts	(7		)	—		—			1			(6		)
Credit default contracts	(1		)	—		—			—			(1		)
Total	$	(15	)	$	7	$	9		$	8		$	9

For the three months ended March 31, 2018 and 2017, 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 March 31, 2018, counterparties pledged $8 million in cash to the Company, and the Company pledged $21 million in cash and securities to counterparties which includes $4 million of collateral posted under MNAs for contracts containing credit-risk-contingent provisions that are in a liability position and $17 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.

For certain exchange traded and cleared derivatives, margin deposits are required as well as daily cash settlements of margin accounts. As of March 31, 2018, the Company pledged $15 million in the form of margin deposits.



OTC derivatives counterparty credit exposure by counterparty credit rating
($ in millions)	March 31, 2018							December 31, 2017
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	$	—
A+	3	69		8		—		3	90		3		1
Total	3	$	69	$	8	$	—	4	$	108	$	4	$	1


⁽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 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)	March 31, 2018			December 31, 2017
Gross liability fair value of contracts containing credit-risk-contingent features	$	38		$	28
Gross asset fair value of contracts containing credit-risk-contingent features and subject to MNAs	(33		)	(17		)
Collateral posted under MNAs for contracts containing credit-risk-contingent features	(4		)	(6		)
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	$	1		$	5

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 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 typically have a five-year term.



CDS notional amounts by credit rating and fair value of protection sold
($ in millions)	Notional amount
($ in millions)	AA		A		BBB		BB and lower		Total		Fair value
March 31, 2018
Single name
Corporate debt	$	—	$	—	$	10	$	5	$	15	$	—
Index
Corporate debt	1		19		47		13		80		—
Total	$	1	$	19	$	57	$	18	$	95	$	—

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

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.

Reserve for Property-Liability Insurance Claims and Claims Expense

3 Months Ended

Mar. 31, 2018

Reserve for Property-Liability Insurance Claims and Claims Expense [Abstract]

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 the 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 Condensed Consolidated Statements of Operations in the period such changes are determined.

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 Condensed Consolidated Statements of Financial Position based on available facts, technology, laws and regulations.

Allstate’s reserves for asbestos claims were $866 million and $884 million, net of reinsurance recoverables of $399 million and $412 million, as of March 31, 2018 and December 31, 2017, respectively. Reserves for environmental claims were $162 million and $166 million, net of reinsurance recoverables of $33 million and $33 million, as of March 31, 2018 and December 31, 2017, respectively.



Rollforward of the reserve for property and casualty insurance claims and claims expense
	Three months ended March 31,
($ in millions)	2018			2017
Balance as of January 1	$	26,325		$	25,250
Less reinsurance recoverables	6,471			6,184
Net balance as of January 1	19,854			19,066
SquareTrade acquisition as of January 3, 2017	—			17
Incurred claims and claims expense related to:
Current year	5,200			5,513
Prior years	(51		)	(97		)
Total incurred	5,149			5,416
Claims and claims expense paid related to:
Current year	2,260			2,239
Prior years	3,115			2,815
Total paid	5,375			5,054
Net balance as of March 31	19,628			19,445
Plus reinsurance recoverables	6,487			6,183
Balance as of March 31	$	26,115		$	25,628

Incurred claims and claims expense represents the sum of paid losses and reserve changes in the period. This expense includes losses from catastrophes of $361 million and $781 million in the three months ended March 31, 2018 and 2017, respectively, net of reinsurance and other recoveries. 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. During the three months ended March 31, 2018, incurred claims and claims expense included $51 million of prior year reserve reestimates, increasing net income. Prior year reserve reestimates excluding catastrophes is comprised of net decreases in auto reserves of $73 million, due to auto liability coverages development, and net increases primarily related to commercial lines of $18 million. Incurred claims and claims expense includes unfavorable catastrophe loss reestimates of $4 million, net of reinsurance and other recoveries, which include $34 million of unfavorable reestimates related to homeowners and $30 million of favorable reestimates, primarily related to auto.

Reinsurance

3 Months Ended

Mar. 31, 2018

Reinsurance Disclosures [Abstract]

Reinsurance



Note 9	Reinsurance



Effects of reinsurance ceded on property and casualty premiums earned and life premiums and contract charges
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Property and casualty insurance premiums earned	$	(239	)	$	(246	)
Life premiums and contract charges	(72		)	(75		)



Effects of reinsurance ceded on property and casualty insurance claims and claims expense, life contract benefits and interest credited to contractholder funds
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Property and casualty insurance claims and claims expense	$	(187	)	$	(131	)
Life contract benefits	(49		)	(47		)
Interest credited to contractholder funds	(4		)	(5		)

Capital Structure

3 Months Ended

Mar. 31, 2018

Capital Structure

Capital Structure



Note 10	Capital Structure

Debt On March 29, 2018, the Company issued $250 million of Floating Rate Senior Notes due 2021 (“2021 Senior Notes”) and $250 million of Floating Rate Senior Notes due 2023 (“2023 Senior Notes” and, together with the 2021 Senior Notes, the “Senior Notes”). The 2021 Senior Notes bear interest at a floating rate equal to three-month LIBOR, reset quarterly on each interest reset date, plus 0.43% per year and the 2023 Senior Notes bear interest at a floating rate equal to three-month LIBOR, reset quarterly on each interest reset date, plus 0.63% per year. The Company will pay interest on the Senior Notes quarterly in arrears on March 29, June 29, September 29 and December 29 of each year, beginning on June 29, 2018. The 2021 Senior Notes will mature on March 29, 2021, and the 2023 Senior Notes will mature on March 29, 2023. The Senior Notes will not be redeemable prior to the applicable maturity dates.

Preferred stock On March 29, 2018, the Company issued 23,000 shares of 5.625% Fixed Rate Noncumulative Perpetual Preferred Stock, Series G, with a $1.00 par value per share and a liquidation preference of $25,000 per share, for gross proceeds of $575 million. 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 April 15, 2023 at a redemption price of $25,000 per share, plus declared and unpaid dividends. Prior to April 15, 2023, 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, plus declared and unpaid dividends.

The proceeds of Senior Notes and Preferred Stock issuances will be used for general corporate purposes, including the redemption, repayment or repurchase of certain preferred stock or debt.

On April 30, 2018, the Company filed a universal shelf registration statement with the Securities and Exchange Commission that expires in 2021. 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.

Redemption of Debentures On April 13, 2018, the Company called for the redemption of its $224 million Series B 6.125% Fixed-to-Floating Rate Junior Subordinated Debentures (the “Subordinated Debentures”). The Subordinated Debentures will be redeemed on May 13, 2018 at a redemption price equal to 100% of the outstanding principal of $224 million plus accrued and unpaid interest of $2 million.

Company Restructuring

3 Months Ended

Mar. 31, 2018

Restructuring and Related Activities [Abstract]

Company Restructuring



Note 11	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 Condensed Consolidated Statements of Operations as restructuring and related charges, and totaled $22 million and $10 million during the three months ended March 31, 2018 and 2017, respectively. Restructuring expenses in 2018 primarily related to realignment of certain employees to centralized talent centers as well as legal expenses and settlements.



Changes in the restructuring liability
($ in millions)	Employee costs		Exit costs			Total liability
Balance as of December 31, 2017	$	15	$	30		$	45
Expense incurred ⁽¹⁾	13		6			19
Adjustments to liability	—		(1		)	(1		)
Payments applied against liability	—		(3		)	(3		)
Balance as of March 31, 2018	$	28	$	32		$	60


⁽¹⁾	Certain expenses are expensed as incurred and are not included as part of changes in the restructuring liability. During the three months ended March 31, 2018, these expenses totaled $3 million.

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 March 31, 2018, the cumulative amount incurred to date for active programs totaled $113 million for employee costs and $109 million for exit costs.

Guarantees and Contingent Liabilities

3 Months Ended

Mar. 31, 2018

Guarantees and Contingent Liabilities

Guarantees and Contingent Liabilities



Note 12	Guarantees and Contingent Liabilities

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.

Guarantees

Related to the sale of Lincoln Benefit Life Company (“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 March 31, 2018.

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, impose additional regulations regarding cybersecurity and privacy, 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, international 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 $150 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 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. Plaintiffs allege off-the-clock wage and hour claims and other California Labor Code violations resulting from purported unpaid overtime. Plaintiffs seek recovery of unpaid compensation, liquidated damages, penalties, and attorneys’ fees and costs. 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’s appeals to the Ninth Circuit Court of Appeals and then to the U.S. Supreme Court did not result in decertification. No trial date is calendared.

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 in April 2011. 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. Plaintiffs seek 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. The parties have concluded discovery and the court scheduled a jury trial on June 25, 2018.

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. The consolidated proceeding includes three separate cases filed in August 2001, December 2001, and December 2003.

The Court opted to resolve these proceedings in 4 phases. Phases 1, 2 and 3 are complete although the Company awaits final disposition in Phase 1. On January 30, 2018, the court decided two summary judgment motions filed by Allstate with respect to the Phase 4 claims. The court (i) granted summary judgment in Allstate’s favor on the claims by twenty-seven Phase 4 plaintiffs alleging that Allstate improperly retaliated against them by filing counterclaims to their original complaint; and (ii) declined to decide whether the remaining Phase 4 plaintiffs’ age discrimination (disparate treatment) claims should be dismissed due to their failure to exhaust administrative remedies.

In March 2018, the Company reached agreements to settle the claims of additional plaintiffs on a confidential basis, subject to negotiating and executing appropriate written settlement agreements, resulting in a total of 457 individual settlements to date. As a result of these settlements, plus several voluntary and involuntary dismissals of individual plaintiffs’ claims, there are 36 individual plaintiffs with claims remaining in the litigation. On April 11, 2018, the Company filed a motion for summary judgment as to the state law breach of contract and breach of fiduciary duty claims for fourteen of the remaining plaintiffs asserting that those claims are barred by statutes of limitations.

The court has established a Phase 4 schedule contemplating resolving this matter through trial, if necessary, by the end of 2018. The court has yet to decide the proper venue for such trials. 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 two shareholder derivative actions described below are disclosed pursuant to SEC disclosure requirements for these types of matters, and the putative class action has been disclosed because these matters involve similar allegations.

In Biefeldt v. Wilson, et al., a plaintiff alleging to be a stockholder in the Company filed a shareholder derivative complaint in the Circuit Court for Cook County, Illinois, Chancery Division on August 3, 2017. The plaintiff seeks, on behalf of the Company, an unspecified amount of damages and various forms of equitable relief. The complaint alleges breaches of fiduciary duty based on allegations similar to those asserted in In re The Allstate Corp. Securities Litigation. The complaint names as defendants the Company’s chairman and chief executive officer, its former president, its former chief financial officer, who is now the Company’s vice chairman, and the members of the board of directors during the relevant period. The defendants’ motion to dismiss the complaint is scheduled to be heard on May 8, 2018.

In IBEW Local No. 98 Pension Fund v. Wilson, et al., another plaintiff alleging to be a stockholder in the Company filed a shareholder derivative complaint in the Circuit Court for Cook County, Illinois, Chancery Division on April 12, 2018. The plaintiff seeks, on behalf of the Company, an unspecified amount of damages and various forms of equitable relief. The complaint alleges breaches of fiduciary duty based on allegations similar to those asserted in In re The Allstate Corp. Securities Litigation. The complaint also includes allegations concerning the exercise of stock options by the Company’s chairman and several other members of our board of directors during the relevant period. The complaint names as defendants the Company’s chairman and chief executive officer, its former president and the members of the board of directors during the relevant period.

In re The Allstate Corp. Securities Litigation is a putative class action filed in November 2016 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. Plaintiffs seek an unspecified amount of damages, costs, attorney’s fees, and such other relief as the court deems appropriate. 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. Plaintiffs’ further allege that a senior officer engaged in stock option exercises and sales during that time allegedly while in possession of nonpublic information about claim frequency. The Company, its chairman and chief executive officer and its former president are the named defendants. Defendants answered the complaint, disputing plaintiffs’ allegations that there was any misstatement or omission or other misconduct, after the court denied their motion to dismiss on February 27, 2018.

Benefit Plans

3 Months Ended

Mar. 31, 2018

Retirement Benefits [Abstract]

Benefit Plans



Note 13	Benefit Plans



Components of net periodic cost for pension and postretirement benefit plans
	Three months ended March 31,
($ in millions)	2018			2017
Pension benefits
Service cost	$	28		$	29
Interest cost	60			66
Expected return on plan assets	(105		)	(102		)
Amortization of:
Prior service credit	(14		)	(14		)
Net actuarial loss	44			47
Settlement loss	7			8
Net periodic pension cost	$	20		$	34

Postretirement benefits
Service cost	$	2		$	2
Interest cost	3			4
Amortization of:
Prior service credit	(5		)	(6		)
Net actuarial gain	(6		)	(6		)
Net periodic postretirement credit	$	(6	)	$	(6	)

Supplemental Cash Flow Information

3 Months Ended

Mar. 31, 2018

Supplemental Cash Flow Information [Abstract]

Supplemental Cash Flow Information



Note 14	Supplemental Cash Flow Information

Non-cash investing activities include $18 million and $5 million related to mergers and exchanges completed with equity and fixed income securities, and modifications of certain mortgage loans and other investments for the three months ended March 31, 2018 and 2017, respectively. Non-cash financing activities include $27 million and $40 million related to the issuance of Allstate common shares for vested equity awards for the three months ended March 31, 2018 and 2017, respectively.

Liabilities for collateral received in conjunction with the Company’s securities lending program and over-the-counter and cleared derivatives 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 Condensed Consolidated Statements of Cash Flows along with the activities resulting from management of the proceeds, which are as follows:



($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Net change in proceeds managed
Net change in fixed income securities	$	32		$	(17	)
Net change in short-term investments	55			(26		)
Operating cash flow provided (used)	$	87		$	(43	)

Net change in liabilities
Liabilities for collateral, beginning of period	$	(1,124	)	$	(1,129	)
Liabilities for collateral, end of period	(1,037		)	(1,172		)
Operating cash flow (used) provided	$	(87	)	$	43

Other Comprehensive Income

3 Months Ended

Mar. 31, 2018

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

Other Comprehensive Income



Note 15	Other Comprehensive Income



Components of other comprehensive income (loss) on a pre-tax and after-tax basis
($ in millions)	Three months ended March 31,
	2018									2017
	Pre-tax			Tax			After-tax			Pre-tax			Tax			After-tax
Unrealized net holding gains and losses arising during the period, net of related offsets	$	(740	)	$	155		$	(585	)	$	444		$	(155	)	$	289
Less: reclassification adjustment of realized capital gains and losses	(25		)	5			(20		)	132			(46		)	86
Unrealized net capital gains and losses	(715		)	150			(565		)	312			(109		)	203
Unrealized foreign currency translation adjustments	(5		)	1			(4		)	(5		)	2			(3		)
Unrecognized pension and other postretirement benefit cost arising during the period	3			(1		)	2			—			—			—
Less: reclassification adjustment of net periodic cost recognized in operating costs and expenses	(26		)	5			(21		)	(29		)	10			(19		)
Unrecognized pension and other postretirement benefit cost	29			(6		)	23			29			(10		)	19
Other comprehensive (loss) income	$	(691	)	$	145		$	(546	)	$	336		$	(117	)	$	219

General (Policies)

3 Months Ended

Mar. 31, 2018

General [Abstract]

Basis of presentation

New Accounting Pronouncements

Adopted accounting standards

Recognition and Measurement of Financial Assets and Financial Liabilities

Revenue from Contracts with Customers

Presentation of Net Periodic Pension and Postretirement Benefits Costs

Goodwill Impairment

Changes to significant accounting policies

Investments

Recognition of Revenue

Tax Reform

Pending accounting standards

Accounting for Leases

Measurement of Credit Losses on Financial Instruments

Accounting for Hedging Activities

Other revenue presentation

Fair Value Measurement

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.

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 that are readily determinable 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:

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.


•	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.

Level 3 measurements


•	Fixed income securities:


•	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.

•

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

Investments excluded from the fair value hierarchy



Assets and liabilities measured at fair value
	As of March 31, 2018
($ 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			Total
Assets
Fixed income securities:
U.S. government and agencies	$	2,845		$	561		$	—					$	3,406
Municipal	—			8,473			96						8,569
Corporate - public	—			30,535			77						30,612
Corporate - privately placed	—			11,024			215						11,239
Foreign government	—			979			—						979
ABS - CDO	—			450			10						460
ABS - consumer and other	—			675			62						737
RMBS	—			550			—						550
CMBS	—			72			27						99
Redeemable preferred stock	—			23			—						23
Total fixed income securities	2,845			53,342			487						56,674
Equity securities	6,374			370			242						6,986
Short-term investments	402			3,022			—						3,424
Other investments: Free-standing derivatives	—			117			1			$	(15	)	103
Separate account assets	3,314			—			—						3,314
Total assets at fair value	$	12,935		$	56,851		$	730		$	(15	)	$	70,501
% of total assets at fair value	18.4		%	80.6		%	1.0		%	—		%	100		%

Investments reported at NAV													1,663
Total													$	72,164

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(262	)				$	(262	)
Other liabilities: Free-standing derivatives	—			(75		)	—			$	26		(49		)
Total liabilities at fair value	$	—		$	(75	)	$	(262	)	$	26		$	(311	)
% of total liabilities at fair value	—		%	24.1		%	84.3		%	(8.4		)%	100		%

Earnings per Common Share (Tables)

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Computation of basic and diluted earnings per common share



Computation of basic and diluted earnings per common share
($ in millions, except per share data)	Three months ended March 31,
($ in millions, except per share data)	2018		2017
Numerator:
Net income	$	975	$	695
Less: Preferred stock dividends	29		29
Net income applicable to common shareholders⁽¹⁾	$	946	$	666

Denominator:
Weighted average common shares outstanding	354.1		365.7
Effect of dilutive potential common shares:
Stock options	4.1		4.2
Restricted stock units (non-participating) and performance stock awards	1.7		1.4
Weighted average common and dilutive potential common shares outstanding	359.9		371.3

Earnings per common share - Basic	$	2.67	$	1.82
Earnings per common share - Diluted	$	2.63	$	1.79


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

Reportable Segments (Tables)

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Schedule of business segments revenue disclosures



Reportable segments revenue information
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Property-Liability
Insurance premiums
Auto	$	5,591		$	5,388
Homeowners	1,848			1,815
Other personal lines	444			431
Commercial lines	136			125
Allstate Protection	8,019			7,759
Discontinued Lines and Coverages	—			—
Total property-liability insurance premiums	8,019			7,759
Other revenue	174			167
Net investment income	337			308
Realized capital gains and losses	(95		)	135
Total Property-Liability	8,435			8,369

Service Businesses
Consumer product protection plans	123			59
Roadside assistance	64			68
Finance and insurance products	80			73
Intersegment premiums and service fees ⁽¹⁾	29			28
Other revenue	16			16
Net investment income	5			3
Realized capital gains and losses	(4		)	—
Total Service Businesses	313			247

Allstate Life
Traditional life insurance premiums	146			140
Interest-sensitive life insurance contract charges	181			181
Other revenue	26			27
Net investment income	122			120
Realized capital gains and losses	(3		)	1
Total Allstate Life	472			469

Allstate Benefits
Traditional life insurance premiums	9			9
Accident and health insurance premiums	248			232
Interest-sensitive life insurance contract charges	29			28
Net investment income	19			17
Realized capital gains and losses	(2		)	—
Total Allstate Benefits	303			286

Allstate Annuities
Fixed annuities contract charges	3			3
Net investment income	290			289
Realized capital gains and losses	(29		)	(2		)
Total Allstate Annuities	264			290

Corporate and Other
Net investment income	13			11
Realized capital gains and losses	(1		)	—

Total Corporate and Other	12			11
Intersegment eliminations ⁽¹⁾	(29		)	(28		)
Consolidated revenues	$	9,770		$	9,644

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

Schedule of business segments net income disclosures



Reportable segments financial performance
	Three months ended March 31,
($ in millions)	2018			2017
Property-Liability
Allstate Protection	$	962		$	550
Discontinued Lines and Coverages	(3		)	(2		)
Total underwriting income	959			548
Net investment income	337			308
Income tax expense on operations	(268		)	(268		)
Realized capital gains and losses, after-tax	(75		)	89
Property-Liability net income applicable to common shareholders	953			677

Service Businesses
Adjusted net loss	(5		)	(10		)
Realized capital gains and losses, after-tax	(3		)	—
Amortization of purchased intangible assets, after-tax	(16		)	(15		)
Service Businesses net loss applicable to common shareholders	(24		)	(25		)

Allstate Life
Adjusted net income	69			59
Realized capital gains and losses, after-tax	(2		)	1
DAC and DSI amortization related to realized capital gains and losses, after-tax	(2		)	(3		)
Allstate Life net income applicable to common shareholders	65			57

Allstate Benefits
Adjusted net income	28			22
Realized capital gains and losses, after-tax	(2		)	—
Allstate Benefits net income applicable to common shareholders	26			22

Allstate Annuities
Adjusted net income	35			29
Realized capital gains and losses, after-tax	(23		)	(2		)
Valuation changes on embedded derivatives not hedged, after-tax	4			—
Gain on disposition of operations, after-tax	1			2
Allstate Annuities net income applicable to common shareholders	17			29

Corporate and Other
Adjusted net loss	(90		)	(81		)
Realized capital gains and losses, after-tax	(1		)	—
Business combination expenses, after-tax	—			(13		)
Corporate and Other net loss applicable to common shareholders	(91		)	(94		)

Consolidated net income applicable to common shareholders	$	946		$	666

Investments (Tables)

3 Months Ended

Mar. 31, 2018

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
($ in millions)	Amortized cost		Gross unrealized					Fair value
($ in millions)	Amortized cost		Gains		Losses			Fair value
March 31, 2018
U.S. government and agencies	$	3,373	$	50	$	(17	)	$	3,406
Municipal	8,404		257		(92		)	8,569
Corporate	41,699		763		(611		)	41,851
Foreign government	968		21		(10		)	979
Asset-backed securities (“ABS”)	1,196		11		(10		)	1,197
Residential mortgage-backed securities (“RMBS”)	453		100		(3		)	550
Commercial mortgage-backed securities (“CMBS”)	95		6		(2		)	99
Redeemable preferred stock	21		2		—			23
Total fixed income securities	$	56,209	$	1,210	$	(745	)	$	56,674

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

Schedule for fixed income securities based on contractual maturities



Scheduled maturities for fixed income securities
($ in millions)	As of March 31, 2018
($ in millions)	Amortized cost		Fair value
Due in one year or less	$	4,629	$	4,627
Due after one year through five years	28,201		28,199
Due after five years through ten years	16,363		16,220
Due after ten years	5,272		5,782
	54,465		54,828
ABS, RMBS and CMBS	1,744		1,846
Total	$	56,209	$	56,674

Schedule of net investment income



Net investment income
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Fixed income securities	$	508		$	518
Equity securities	34			44
Mortgage loans	51			55
Limited partnership interests ⁽¹⁾⁽²⁾	180			120
Short-term investments	12			6
Other	66			56
Investment income, before expense	851			799
Investment expense	(65		)	(51		)
Net investment income	$	786		$	748


⁽¹⁾	Due to the adoption of the recognition and measurement accounting standard, limited partnerships previously reported using the cost method are now reported at fair value with changes in fair value recognized in net investment income.


⁽²⁾	Includes net investment income of $103 million for EMA limited partnership interests and $77 million for limited partnership interests carried at fair value for the three months ended March 31, 2018.

Schedule of realized capital gains and losses by asset type



Realized capital gains and losses by asset type
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Fixed income securities	$	(43	)	$	5
Equity securities	(93		)	106
Limited partnership interests	10			40
Derivatives	(8		)	(15		)
Other	—			(2		)
Realized capital gains and losses	$	(134	)	$	134

Schedule of realized capital gains and losses by transaction type



Realized capital gains and losses by transaction type
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Impairment write-downs ⁽¹⁾	$	(1	)	$	(43	)
Change in intent write-downs ⁽¹⁾	—			(16		)
Net OTTI losses recognized in earnings	(1		)	(59		)
Sales ⁽¹⁾	(42		)	208
Valuation of equity investments ⁽¹⁾	(83		)	—
Valuation and settlements of derivative instruments	(8		)	(15		)
Realized capital gains and losses	$	(134	)	$	134


⁽¹⁾	Due to the adoption of the recognition and measurement accounting standard, equity securities are reported at fair value with changes in fair value recognized in valuation of equity investments and are no longer included in impairment write-downs, change in intent write-downs and sales.

Valuation changes included in net income for investments



Valuation changes included in net income for investments still held as of March 31, 2018
($ in millions)	Three months ended March 31, 2018
Equity securities	$	(49	)
Limited partnership interests carried at fair value	78
Total valuation changes	$	29

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



OTTI losses by asset type
($ in millions)	Three months ended March 31, 2018								Three months ended March 31, 2017
($ in millions)	Gross		Included in OCI			Net			Gross			Included in OCI			Net
Fixed income securities:
Corporate	$	—	$	—		$	—		$	(9	)	$	3		$	(6	)
RMBS	—		—			—			(1		)	(3		)	(4		)
CMBS	—		(1		)	(1		)	(6		)	3			(3		)
Total fixed income securities	—		(1		)	(1		)	(16		)	3			(13		)
Equity securities ⁽¹⁾	—		—			—			(36		)	—			(36		)
Limited partnership interests ⁽¹⁾ (2)	—		—			—			(7		)	—			(7		)
Other	—		—			—			(3		)	—			(3		)
OTTI losses	$	—	$	(1	)	$	(1	)	$	(62	)	$	3		$	(59	)


⁽¹⁾	Due to the adoption of the recognition and measurement accounting standard, equity securities and limited partnerships previously reported using the cost method are now reported at fair value with changes in fair value recognized in net income and are no longer included in the table above.

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)	March 31, 2018			December 31, 2017
Municipal	$	(5	)	$	(5	)
ABS	(12		)	(15		)
RMBS	(74		)	(77		)
CMBS	(4		)	(4		)
Total	$	(95	)	$	(101	)

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
($ in millions)	March 31,
($ in millions)	2018			2017
Beginning balance	$	(226	)	$	(318	)
Additional credit loss for securities previously other-than-temporarily impaired	(1		)	(8		)
Additional credit loss for securities not previously other-than-temporarily impaired	—			(5		)
Reduction in credit loss for securities disposed or collected	15			37
Ending balance	$	(212	)	$	(294	)

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)
March 31, 2018	Fair value		Gains		Losses			Unrealized net gains (losses)
Fixed income securities	$	56,674	$	1,210	$	(745	)	$	465
Short-term investments	3,424		—		—			—
Derivative instruments ⁽¹⁾	2		2		(3		)	(1		)
EMA limited partnerships ⁽²⁾								1
Unrealized net capital gains and losses, pre-tax								465
Amounts recognized for:
Insurance reserves ⁽³⁾								(119		)
DAC and DSI ⁽⁴⁾								(109		)
Amounts recognized								(228		)
Deferred income taxes								(50		)
Unrealized net capital gains and losses, after-tax								$	187


⁽¹⁾	Included in the fair value of derivative instruments is $2 million classified as liabilities.


⁽²⁾	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.


⁽³⁾	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).


⁽⁴⁾	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.



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	6,621		1,172		(12		)	1,160
Short-term investments	1,944		—		—			—
Derivative instruments ⁽¹⁾	2		2		(3		)	(1		)
EMA limited partnerships								1
Unrealized net capital gains and losses, pre-tax								2,627
Amounts recognized for:
Insurance reserves								(315		)
DAC and DSI								(196		)
Amounts recognized								(511		)
Deferred income taxes								(454		)
Unrealized net capital gains and losses, after-tax								$	1,662

⁽¹⁾Included in the fair value of derivative instruments is $2 million classified as liabilities.

Schedule of change in unrealized net capital gains and losses



Change in unrealized net capital gains and losses
($ in millions)	Three months ended March 31, 2018
Fixed income securities	$	(1,002	)
Equity securities ⁽¹⁾	—
Total	(1,002		)
Amounts recognized for:
Insurance reserves	196
DAC and DSI	87
Amounts recognized	283
Deferred income taxes	154
Decrease in unrealized net capital gains and losses, after-tax	$	(565	)

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						Total unrealized losses
($ in millions)	Number of issues	Fair value		Unrealized losses			Number of issues	Fair value		Unrealized losses			Total unrealized losses
March 31, 2018
Fixed income securities
U.S. government and agencies	57	$	1,514	$	(16	)	13	$	74	$	(1	)	$	(17	)
Municipal	2,535	4,626		(74		)	160	323		(18		)	(92		)
Corporate	1,656	22,720		(458		)	199	3,006		(153		)	(611		)
Foreign government	43	531		(9		)	4	39		(1		)	(10		)
ABS	80	541		(6		)	7	11		(4		)	(10		)
RMBS	139	36		(1		)	181	43		(2		)	(3		)
CMBS	—	—		—			6	24		(2		)	(2		)
Total fixed income securities	4,510	29,968		(564		)	570	3,520		(181		)	(745		)
Investment grade fixed income securities	4,161	$	27,020	$	(470	)	516	$	3,284	$	(153	)	$	(623	)
Below investment grade fixed income securities	349	2,948		(94		)	54	236		(28		)	(122		)
Total fixed income securities	4,510	$	29,968	$	(564	)	570	$	3,520	$	(181	)	$	(745	)

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	)

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
($ in millions)	March 31, 2018						December 31, 2017
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	$	27	$	—	$	27	$	3	$	—	$	3
1.0 - 1.25	355		—		355		345		—		345
1.26 - 1.50	1,165		30		1,195		1,141		30		1,171
Above 1.50	2,998		100		3,098		2,949		62		3,011
Total non-impaired mortgage loans	$	4,545	$	130	$	4,675	$	4,438	$	92	$	4,530

Net carrying value of impaired mortgage loans



Net carrying value of impaired mortgage loans
($ in millions)	March 31, 2018		December 31, 2017
Impaired mortgage loans with a valuation allowance	$	4	$	4
Impaired mortgage loans without a valuation allowance	—		—
Total impaired mortgage loans	$	4	$	4
Valuation allowance on impaired mortgage loans	$	3	$	3

Schedule of other investments by type



Other investments by asset type
($ in millions)	March 31, 2018		December 31, 2017
Bank loans	$	1,681	$	1,702
Policy loans	900		905
Real estate	763		632
Agent loans	562		538
Other	186		195
Total	$	4,092	$	3,972

Fair Value of Assets and Liabilities (Tables)

3 Months Ended

Mar. 31, 2018

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
	As of March 31, 2018
($ 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			Total
Assets
Fixed income securities:
U.S. government and agencies	$	2,845		$	561		$	—					$	3,406
Municipal	—			8,473			96						8,569
Corporate - public	—			30,535			77						30,612
Corporate - privately placed	—			11,024			215						11,239
Foreign government	—			979			—						979
ABS - CDO	—			450			10						460
ABS - consumer and other	—			675			62						737
RMBS	—			550			—						550
CMBS	—			72			27						99
Redeemable preferred stock	—			23			—						23
Total fixed income securities	2,845			53,342			487						56,674
Equity securities	6,374			370			242						6,986
Short-term investments	402			3,022			—						3,424
Other investments: Free-standing derivatives	—			117			1			$	(15	)	103
Separate account assets	3,314			—			—						3,314
Total assets at fair value	$	12,935		$	56,851		$	730		$	(15	)	$	70,501
% of total assets at fair value	18.4		%	80.6		%	1.0		%	—		%	100		%

Investments reported at NAV													1,663
Total													$	72,164

Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(262	)				$	(262	)
Other liabilities: Free-standing derivatives	—			(75		)	—			$	26		(49		)
Total liabilities at fair value	$	—		$	(75	)	$	(262	)	$	26		$	(311	)
% of total liabilities at fair value	—		%	24.1		%	84.3		%	(8.4		)%	100		%



Assets and liabilities measured at fair value
	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			Total
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		%

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		%


⁽¹⁾	Includes $3 million of limited partnership interests written-down to fair value in connection with recognizing OTTI losses.

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
March 31, 2018
Derivatives embedded in life and annuity contracts – Equity-indexed and forward starting options	$	(232	)	Stochastic cash flow model	Projected option cost	1.0 - 2.2%	1.74%
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%

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
				March 31, 2018
	Balance as of December 31, 2017			Total gains (losses) included in:						Transfers into Level 3			Transfers out of Level 3
($ in millions)	Balance as of December 31, 2017			Net income ⁽¹⁾			OCI			Transfers into Level 3			Transfers out of Level 3
Assets
Fixed income securities:
Municipal	$	101		$	1		$	(1	)	$	—		$	(2	)
Corporate - public	108			—			(1		)	4			(5		)
Corporate - privately placed	224			—			(1		)	—			(19		)
ABS - CDO	99			—			—			—			(89		)
ABS - consumer and other	48			—			1			5			—
CMBS	26			—			—			—			—
Total fixed income securities	606			1			(2		)	9			(115		)
Equity securities	210			3			—			—			—
Short-term investments	20			—			—			—			—
Free-standing derivatives, net	1			—			—			—			—
Total recurring Level 3 assets	$	837		$	4		$	(2	)	$	9		$	(115	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(286	)	$	23		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(286	)	$	23		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of March 31, 2018
Assets
Fixed income securities:
Municipal	$	—		$	(2	)	$	—		$	(1	)	$	96
Corporate - public	—			(26		)	—			(3		)	77
Corporate - privately placed	13			—			—			(2		)	215
ABS - CDO	—			—			—			—			10
ABS - consumer and other	45			(35		)	—			(2		)	62
CMBS	1			—			—			—			27
Total fixed income securities	59			(63		)	—			(8		)	487
Equity securities	30			(1		)	—			—			242
Short-term investments	25			(45		)	—			—			—
Free-standing derivatives, net	—			—			—			—			1			⁽²⁾
Total recurring Level 3 assets	$	114		$	(109	)	$	—		$	(8	)	$	730
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(1	)	$	2		$	(262	)
Total recurring Level 3 liabilities	$	—		$	—		$	(1	)	$	2		$	(262	)


⁽¹⁾	The effect to net income totals $27 million and is reported in the Condensed Consolidated Statements of Operations as follows: $4 million in realized capital gains and losses, $19 million in interest credited to contractholder funds and $4 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
				March 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		$	1		$	—		$	(1	)
Corporate - public	78			—			—			—			(16		)
Corporate - privately placed	263			—			5			—			—
ABS - CDO	27			—			2			27			—
ABS - consumer and other	42			—			—			—			(2		)
RMBS	1			—			—			—			—
CMBS	22			—			—			—			—
Total fixed income securities	558			1			8			27			(19		)
Equity securities	163			10			—			—			(3		)
Short-term investments	15			—			—			—			—
Free-standing derivatives, net	(2		)	1			—			—			—
Other assets	1			(1		)	—			—			—
Total recurring Level 3 assets	$	735		$	11		$	8		$	27		$	(22	)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	(290	)	$	3		$	—		$	—		$	—
Total recurring Level 3 liabilities	$	(290	)	$	3		$	—		$	—		$	—

	Purchases			Sales			Issues			Settlements			Balance as of March 31, 2017
Assets
Fixed income securities:
Municipal	$	—		$	(2	)	$	—		$	—		$	124
Corporate - public	—			—			—			(2		)	60
Corporate - privately placed	—			—			—			(5		)	263
ABS - CDO	95			—			—			(4		)	147
ABS - consumer and other	41			—			—			(1		)	80
RMBS	—			—			—			(1		)	—
CMBS	3			—			—			—			25
Total fixed income securities	139			(2		)	—			(13		)	699
Equity securities	1			(1		)	—			—			170
Short-term investments	20			—			—			—			35
Free-standing derivatives, net	—			—			—			—			(1		)	⁽²⁾
Other assets	—			—			—			—			—
Total recurring Level 3 assets	$	160		$	(3	)	$	—		$	(13	)	$	903
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	—		$	—		$	(1	)	$	2		$	(286	)
Total recurring Level 3 liabilities	$	—		$	—		$	(1	)	$	2		$	(286	)


⁽¹⁾	The effect to net income totals $14 million and is reported in the Condensed Consolidated Statements of Operations as follows: $2 million in realized capital gains and losses, $10 million in net investment income, $(5) million in interest credited to contractholder funds and $7 million in life contract benefits.


⁽²⁾	Comprises $1 million of assets and $2 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



Valuation changes included in net income for level 3 assets and liabilities held as of
($ in millions)	March 31,
($ in millions)	2018		2017
Assets
Equity securities	$	2	$	10
Free-standing derivatives, net	—		1
Other assets	—		(1		)
Total recurring Level 3 assets	$	2	$	10
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	$	23	$	3
Total recurring Level 3 liabilities	$	23	$	3

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

Financial liabilities



Carrying values and fair value estimates of financial instruments not carried at fair value as of
($ in millions)	March 31, 2018				December 31, 2017
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Contractholder funds on investment contracts	$	10,088	$	10,597	$	10,367	$	11,071
Long-term debt	6,847		7,425		6,350		7,199
Liability for collateral	1,037		1,037		1,124		1,124

Financial assets



Carrying values and fair value estimates of financial instruments not carried at fair value as of
($ in millions)	March 31, 2018				December 31, 2017
($ in millions)	Carrying value		Fair value		Carrying value		Fair value
Mortgage loans	$	4,679	$	4,784	$	4,534	$	4,732
Bank loans	1,681		1,688		1,702		1,704
Agent loans	562		553		538		536

- 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 (Tables)

3 Months Ended

Mar. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

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 March 31, 2018
($ in millions, except number of contracts)		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	$	16	n/a	$	—		$	—	$	—
Equity and index contracts
Options	Other investments	—		5,991	102			102		—
Financial futures contracts	Other assets	—		1,655	—			—		—
Foreign currency contracts
Foreign currency forwards	Other investments	253		n/a	(5		)	2		(7		)
Credit default contracts
Credit default swaps – buying protection	Other investments	149		n/a	(3		)	—		(3		)
Credit default swaps – selling protection	Other investments	90		n/a	—			—		—
Other contracts
Other contracts	Other assets	3		n/a	—			—		—
Total asset derivatives		$	511	7,646	$	94		$	104	$	(10	)

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	26		n/a	1			1		—
Equity and index contracts
Options and futures	Other liabilities & accrued expenses	540		5,990	(36		)	10		(46		)
Foreign currency contracts
Foreign currency forwards	Other liabilities & accrued expenses	316		n/a	(13		)	1		(14		)
Embedded derivative financial instruments
Guaranteed accumulation benefits	Contractholder funds	215		n/a	(20		)	—		(20		)
Guaranteed withdrawal benefits	Contractholder funds	266		n/a	(10		)	—		(10		)
Equity-indexed and forward starting options in life and annuity product contracts	Contractholder funds	1,770		n/a	(232		)	—		(232		)
Credit default contracts
Credit default swaps – buying protection	Other liabilities & accrued expenses	275		n/a	(5		)	—		(5		)
Credit default swaps – selling protection	Other liabilities & accrued expenses	5		n/a	—			—		—
Subtotal		3,413		5,990	(315		)	12		(327		)
Total liability derivatives		3,432		5,990	(313		)	$	14	$	(327	)
Total derivatives		$	3,943	13,636	$	(219	)


⁽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, 2017
($ in millions, except number of contracts)		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)

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⁾
($ in millions)				Offsets
($ in millions)	Gross amount			Counter-party netting			Cash collateral (received) pledged		Net amount on balance sheet			Securities collateral (received) pledged		Net amount
March 31, 2018
Asset derivatives	$	17		$	(24	)	$	9	$	2		$	—	$	2
Liability derivatives	(31		)	24			2		(5		)	2		(3		)

December 31, 2017
Asset derivatives	$	8		$	(7	)	$	1	$	2		$	—	$	2
Liability derivatives	(26		)	7			7		(12		)	3		(9		)


⁽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
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Loss recognized in OCI on derivatives during the period	$	—		$	(2	)
Loss recognized in OCI on derivatives during the term of the hedging relationship	(1		)	—

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
Three months ended March 31, 2018
Equity and index contracts	$	(2	)	$	—	$	(4	)	$	(3	)	$	(9	)
Embedded derivative financial instruments	—			4		20			—			24
Foreign currency contracts	(7		)	—		—			1			(6		)
Credit default contracts	1			—		—			—			1
Total	$	(8	)	$	4	$	16		$	(2	)	$	10

Three months ended March 31, 2017
Equity and index contracts	$	(7	)	$	—	$	13		$	7		$	13
Embedded derivative financial instruments	—			7		(4		)	—			3
Foreign currency contracts	(7		)	—		—			1			(6		)
Credit default contracts	(1		)	—		—			—			(1		)
Total	$	(15	)	$	7	$	9		$	8		$	9

Counterparty credit exposure by counterparty credit rating



OTC derivatives counterparty credit exposure by counterparty credit rating
($ in millions)	March 31, 2018							December 31, 2017
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	$	—
A+	3	69		8		—		3	90		3		1
Total	3	$	69	$	8	$	—	4	$	108	$	4	$	1


⁽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)	March 31, 2018			December 31, 2017
Gross liability fair value of contracts containing credit-risk-contingent features	$	38		$	28
Gross asset fair value of contracts containing credit-risk-contingent features and subject to MNAs	(33		)	(17		)
Collateral posted under MNAs for contracts containing credit-risk-contingent features	(4		)	(6		)
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	$	1		$	5

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



CDS notional amounts by credit rating and fair value of protection sold
($ in millions)	Notional amount
($ in millions)	AA		A		BBB		BB and lower		Total		Fair value
March 31, 2018
Single name
Corporate debt	$	—	$	—	$	10	$	5	$	15	$	—
Index
Corporate debt	1		19		47		13		80		—
Total	$	1	$	19	$	57	$	18	$	95	$	—

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

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

3 Months Ended

Mar. 31, 2018

Reserve for Property-Liability Insurance Claims and Claims Expense [Abstract]

Schedule of liability for unpaid claims and claims adjustment expense



Rollforward of the reserve for property and casualty insurance claims and claims expense
	Three months ended March 31,
($ in millions)	2018			2017
Balance as of January 1	$	26,325		$	25,250
Less reinsurance recoverables	6,471			6,184
Net balance as of January 1	19,854			19,066
SquareTrade acquisition as of January 3, 2017	—			17
Incurred claims and claims expense related to:
Current year	5,200			5,513
Prior years	(51		)	(97		)
Total incurred	5,149			5,416
Claims and claims expense paid related to:
Current year	2,260			2,239
Prior years	3,115			2,815
Total paid	5,375			5,054
Net balance as of March 31	19,628			19,445
Plus reinsurance recoverables	6,487			6,183
Balance as of March 31	$	26,115		$	25,628

Reinsurance (Tables)

3 Months Ended

Mar. 31, 2018

Reinsurance Disclosures [Abstract]

Schedule of reductions to premiums and contract charges due to reinsurance premium ceded amounts



Effects of reinsurance ceded on property and casualty premiums earned and life premiums and contract charges
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Property and casualty insurance premiums earned	$	(239	)	$	(246	)
Life premiums and contract charges	(72		)	(75		)

Schedule of reductions to costs and expenses due to reinsurance ceded amounts



Effects of reinsurance ceded on property and casualty insurance claims and claims expense, life contract benefits and interest credited to contractholder funds
($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Property and casualty insurance claims and claims expense	$	(187	)	$	(131	)
Life contract benefits	(49		)	(47		)
Interest credited to contractholder funds	(4		)	(5		)

Company Restructuring (Tables)

3 Months Ended

Mar. 31, 2018

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, 2017	$	15	$	30		$	45
Expense incurred ⁽¹⁾	13		6			19
Adjustments to liability	—		(1		)	(1		)
Payments applied against liability	—		(3		)	(3		)
Balance as of March 31, 2018	$	28	$	32		$	60


⁽¹⁾	Certain expenses are expensed as incurred and are not included as part of changes in the restructuring liability. During the three months ended March 31, 2018, these expenses totaled $3 million.

Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2018

Retirement Benefits [Abstract]

Company's pension and postretirement benefit plans



Components of net periodic cost for pension and postretirement benefit plans
	Three months ended March 31,
($ in millions)	2018			2017
Pension benefits
Service cost	$	28		$	29
Interest cost	60			66
Expected return on plan assets	(105		)	(102		)
Amortization of:
Prior service credit	(14		)	(14		)
Net actuarial loss	44			47
Settlement loss	7			8
Net periodic pension cost	$	20		$	34

Postretirement benefits
Service cost	$	2		$	2
Interest cost	3			4
Amortization of:
Prior service credit	(5		)	(6		)
Net actuarial gain	(6		)	(6		)
Net periodic postretirement credit	$	(6	)	$	(6	)

Supplemental Cash Flow Information (Tables)

3 Months Ended

Mar. 31, 2018

Supplemental Cash Flow Information [Abstract]

Schedule of supplemental cash flow information from collateralized securities received



($ in millions)	Three months ended March 31,
($ in millions)	2018			2017
Net change in proceeds managed
Net change in fixed income securities	$	32		$	(17	)
Net change in short-term investments	55			(26		)
Operating cash flow provided (used)	$	87		$	(43	)

Net change in liabilities
Liabilities for collateral, beginning of period	$	(1,124	)	$	(1,129	)
Liabilities for collateral, end of period	(1,037		)	(1,172		)
Operating cash flow (used) provided	$	(87	)	$	43

Other Comprehensive Income (Tables)

3 Months Ended

Mar. 31, 2018

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
($ in millions)	Three months ended March 31,
	2018									2017
	Pre-tax			Tax			After-tax			Pre-tax			Tax			After-tax
Unrealized net holding gains and losses arising during the period, net of related offsets	$	(740	)	$	155		$	(585	)	$	444		$	(155	)	$	289
Less: reclassification adjustment of realized capital gains and losses	(25		)	5			(20		)	132			(46		)	86
Unrealized net capital gains and losses	(715		)	150			(565		)	312			(109		)	203
Unrealized foreign currency translation adjustments	(5		)	1			(4		)	(5		)	2			(3		)
Unrecognized pension and other postretirement benefit cost arising during the period	3			(1		)	2			—			—			—
Less: reclassification adjustment of net periodic cost recognized in operating costs and expenses	(26		)	5			(21		)	(29		)	10			(19		)
Unrecognized pension and other postretirement benefit cost	29			(6		)	23			29			(10		)	19
Other comprehensive (loss) income	$	(691	)	$	145		$	(546	)	$	336		$	(117	)	$	219

General (Details) - USD ($) $ in Millions	Mar. 31, 2018	Jan. 01, 2018	Dec. 31, 2017	Dec. 31, 2016
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Unearned premiums	$ 13,448		$ 13,473
Deferred policy acquisition costs	$ 4,409		4,191
Difference between Revenue Guidance in Effect before and after Topic 606 \| Accounting Standards Update 2014-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Unearned premiums		$ 160
Deferred policy acquisition costs		$ 160
Retained income
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of change in accounting principle			1,088	$ 0
Retained income \| Accounting Standards Update 2016-01
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of change in accounting principle			1,160
Limited partnership interests \| Accounting Standards Update 2016-01
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of change in accounting principle			224
Limited partnership interests \| Retained income \| Accounting Standards Update 2016-01
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of change in accounting principle			$ 177

Earnings per Common Share - Computation earnings per common share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Numerator:
Net income	$ 975	$ 695
Less: Preferred stock dividends	29	29
Net income applicable to common shareholders	$ 946	$ 666
Denominator:
Weighted average common shares outstanding (in shares)	354.1	365.7
Effect of dilutive potential common shares:
Stock options (in shares)	4.1	4.2
Restricted stock units (non-participating) and performance stock awards (in shares)	1.7	1.4
Weighted average common and dilutive potential common shares outstanding (in shares)	359.9	371.3
Earnings per common share - Basic (in dollars per share)	$ 2.67	$ 1.82
Earnings per common share - Diluted (in dollars per share)	$ 2.63	$ 1.79

Earnings per Common Share Earnings per Common Share - Narrative (Details) - $ / shares shares in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Earnings Per Share [Abstract]
Antidilutive stock options, exercise price exceeds market price (in shares)	1.0	2.8
Antidilutive stock options, exercise price exceeds market price, exercise price range, low end of range (in dollars per share)	$ 86.61	$ 67.81
Antidilutive stock options, exercise price exceeds market price, exercise price range, high end of range (in dollars per share)	$ 102.84	$ 81.86

Acquisition (Details) - USD ($) $ in Millions		3 Months Ended
Acquisition (Details) - USD ($) $ in Millions	Jan. 03, 2017	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Business Acquisition [Line Items]
Goodwill		$ 2,189		$ 2,181
SquareTrade
Business Acquisition [Line Items]
Consideration transferred	$ 1,400
Goodwill	1,100
Commissions paid to retailers	66
Intangible assets	555
Prepaid contractual liability insurance policy premium expenses	205
Unearned premiums	389
Net deferred income tax liability	138
Amortization of intangible assets		$ 21	$ 23
Customer Relationships \| SquareTrade
Business Acquisition [Line Items]
Finite-lived intangible assets acquired	465
Trade Names \| SquareTrade
Business Acquisition [Line Items]
Indefinite-lived intangible assets acquired	$ 69

Reportable Segments - Revenue information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Segment Reporting Information
Property and casualty insurance premiums	$ 8,286	$ 7,959
Other revenue	216	210
Net investment income	786	748
Realized capital gains and losses	(134)	134
Life premiums and contract charges	616	593
Total revenues	9,770	9,644
Property-Liability
Segment Reporting Information
Net investment income	337	308
Operating Segments \| Property-Liability
Segment Reporting Information
Property and casualty insurance premiums	8,019	7,759
Other revenue	174	167
Net investment income	337	308
Realized capital gains and losses	(95)	135
Total revenues	8,435	8,369
Operating Segments \| Property-Liability \| Auto
Segment Reporting Information
Property and casualty insurance premiums	5,591	5,388
Operating Segments \| Property-Liability \| Homeowners
Segment Reporting Information
Property and casualty insurance premiums	1,848	1,815
Operating Segments \| Property-Liability \| Other personal lines
Segment Reporting Information
Property and casualty insurance premiums	444	431
Operating Segments \| Property-Liability \| Commercial lines
Segment Reporting Information
Property and casualty insurance premiums	136	125
Operating Segments \| Allstate Protection
Segment Reporting Information
Property and casualty insurance premiums	8,019	7,759
Operating Segments \| Discontinued Lines and Coverages
Segment Reporting Information
Property and casualty insurance premiums	0	0
Operating Segments \| Service Businesses
Segment Reporting Information
Other revenue	16	16
Net investment income	5	3
Realized capital gains and losses	(4)	0
Intersegment premiums and service fees	29	28
Total revenues	313	247
Operating Segments \| Service Businesses \| Consumer product protection plans
Segment Reporting Information
Insurance commissions and fees	123	59
Operating Segments \| Service Businesses \| Roadside assistance
Segment Reporting Information
Insurance commissions and fees	64	68
Operating Segments \| Service Businesses \| Finance and insurance products
Segment Reporting Information
Insurance commissions and fees	80	73
Operating Segments \| Allstate Life
Segment Reporting Information
Other revenue	26	27
Net investment income	122	120
Realized capital gains and losses	(3)	1
Total revenues	472	469
Operating Segments \| Allstate Life \| Traditional life insurance premiums
Segment Reporting Information
Life premiums and contract charges	146	140
Operating Segments \| Allstate Life \| Interest-sensitive life insurance contract charges
Segment Reporting Information
Life premiums and contract charges	181	181
Operating Segments \| Allstate Benefits
Segment Reporting Information
Net investment income	19	17
Realized capital gains and losses	(2)	0
Total revenues	303	286
Operating Segments \| Allstate Benefits \| Traditional life insurance premiums
Segment Reporting Information
Life premiums and contract charges	9	9
Operating Segments \| Allstate Benefits \| Accident and health insurance premiums
Segment Reporting Information
Life premiums and contract charges	248	232
Operating Segments \| Allstate Benefits \| Interest-sensitive life insurance contract charges
Segment Reporting Information
Life premiums and contract charges	29	28
Operating Segments \| Allstate Annuities
Segment Reporting Information
Net investment income	290	289
Realized capital gains and losses	(29)	(2)
Total revenues	264	290
Operating Segments \| Allstate Annuities \| Fixed annuities contract charges
Segment Reporting Information
Life premiums and contract charges	3	3
Operating Segments \| Corporate and Other
Segment Reporting Information
Net investment income	13	11
Realized capital gains and losses	(1)	0
Total revenues	12	11
Intersegment Eliminations
Segment Reporting Information
Total revenues	$ (29)	$ (28)

Reportable Segments - Financial performance (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Segment Reporting Information
Net investment income	$ 786	$ 748
Net income applicable to common shareholders	946	666
Allstate Protection
Segment Reporting Information
Underwriting income (loss)	962	550
Discontinued Lines and Coverages
Segment Reporting Information
Underwriting income (loss)	(3)	(2)
Property-Liability
Segment Reporting Information
Underwriting income (loss)	959	548
Net investment income	337	308
Income tax expense on operations	(268)	(268)
Realized capital gains and losses, after-tax	(75)	89
Net income applicable to common shareholders	953	677
Service Businesses
Segment Reporting Information
Realized capital gains and losses, after-tax	(3)	0
Net income applicable to common shareholders	(24)	(25)
Adjusted net loss	(5)	(10)
Amortization of purchased intangible assets, after-tax	(16)	(15)
Allstate Life
Segment Reporting Information
Realized capital gains and losses, after-tax	(2)	1
Net income applicable to common shareholders	65	57
Adjusted net loss	69	59
DAC and DSI amortization related to realized capital gains and losses, after-tax	(2)	(3)
Allstate Benefits
Segment Reporting Information
Realized capital gains and losses, after-tax	(2)	0
Net income applicable to common shareholders	26	22
Adjusted net loss	28	22
Allstate Annuities
Segment Reporting Information
Realized capital gains and losses, after-tax	(23)	(2)
Net income applicable to common shareholders	17	29
Adjusted net loss	35	29
Valuation changes on embedded derivatives not hedged, after-tax	4	0
Gain on disposition of operations, after-tax	1	2
Corporate and Other
Segment Reporting Information
Realized capital gains and losses, after-tax	(1)	0
Net income applicable to common shareholders	(91)	(94)
Adjusted net loss	(90)	(81)
Business combination expenses, after-tax	$ 0	$ (13)

Investments - Amortized cost, gross unrealized gains and losses and fair value for fixed income securities (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Schedule of Available for Sale Securities
Amortized cost	$ 56,209	$ 57,525
Gross unrealized gains	1,210	1,750
Gross unrealized losses	(745)	(283)
Fair value	56,674	58,992
U.S. government and agencies
Schedule of Available for Sale Securities
Amortized cost	3,373	3,580
Gross unrealized gains	50	56
Gross unrealized losses	(17)	(20)
Fair value	3,406	3,616
Municipal
Schedule of Available for Sale Securities
Amortized cost	8,404	8,053
Gross unrealized gains	257	311
Gross unrealized losses	(92)	(36)
Fair value	8,569	8,328
Corporate
Schedule of Available for Sale Securities
Amortized cost	41,699	42,996
Gross unrealized gains	763	1,234
Gross unrealized losses	(611)	(204)
Fair value	41,851	44,026
Foreign government
Schedule of Available for Sale Securities
Amortized cost	968	1,005
Gross unrealized gains	21	27
Gross unrealized losses	(10)	(11)
Fair value	979	1,021
Asset-backed securities (“ABS”)
Schedule of Available for Sale Securities
Amortized cost	1,196	1,266
Gross unrealized gains	11	13
Gross unrealized losses	(10)	(7)
Fair value	1,197	1,272
Residential mortgage-backed securities (“RMBS”)
Schedule of Available for Sale Securities
Amortized cost	453	480
Gross unrealized gains	100	101
Gross unrealized losses	(3)	(3)
Fair value	550	578
Commercial mortgage-backed securities (“CMBS”)
Schedule of Available for Sale Securities
Amortized cost	95	124
Gross unrealized gains	6	6
Gross unrealized losses	(2)	(2)
Fair value	99	128
Redeemable preferred stock
Schedule of Available for Sale Securities
Amortized cost	21	21
Gross unrealized gains	2	2
Gross unrealized losses	0	0
Fair value	$ 23	$ 23

Investments - Scheduled maturities for fixed income securities (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Amortized cost
Due in one year or less	$ 4,629
Due after one year through five years	28,201
Due after five years through ten years	16,363
Due after ten years	5,272
Subtotal	54,465
ABS, RMBS and CMBS	1,744
Amortized cost	56,209	$ 57,525
Fair value
Due in one year or less	4,627
Due after one year through five years	28,199
Due after five years through ten years	16,220
Due after ten years	5,782
Subtotal	54,828
ABS, RMBS and CMBS	1,846
Total fixed income securities	$ 56,674	$ 58,992

Investments - Net investment income (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Net Investment Income:
Short-term investments	$ 3,424		$ 1,944
Investment income, before expense	851	$ 799
Investment expense	(65)	(51)
Net investment income	786	748
Valuation of equity investments	(83)	0
Fixed income securities
Net Investment Income:
Investment income, before expense	508	518
Equity securities
Net Investment Income:
Investment income, before expense	34	44
Mortgage loans
Net Investment Income:
Investment income, before expense	51	55
Limited partnership interests
Net Investment Income:
Investment income, before expense	180	120
Valuation of equity investments	77
Short-term investments
Net Investment Income:
Investment income, before expense	12	6
Other
Net Investment Income:
Investment income, before expense	66	$ 56
EMA limited partnerships \| Limited partnership interests
Net Investment Income:
Investment income, before expense	$ 103

Investments - Narrative (Details) - USD ($)	3 Months Ended
Investments - Narrative (Details) - USD ($)	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Investment [Line Items]
Net unrealized gains related to changes in valuation of fixed income securities subsequent to impairment measurement date	$ 202,000,000		$ 208,000,000
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	721,000,000
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	24,000,000
Limited partnership interests	7,434,000,000		6,740,000,000
Fixed income and equity securities
Investment [Line Items]
Gross gains on sales of fixed income securities	45,000,000	$ 235,000,000
Gross loss on sales of fixed income securities	87,000,000	75,000,000
Unrealized losses	745,000,000		295,000,000
Investment grade fixed income securities
Investment [Line Items]
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	611,000,000
Unrealized losses	623,000,000		232,000,000
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	12,000,000
Below investment grade fixed income securities
Investment [Line Items]
Unrealized losses related to securities with unrealized loss position less than 20% of cost or amortized cost	110,000,000
Unrealized losses	122,000,000		51,000,000
Unrealized losses having loss of less than twenty percent, less than 12 months	92,000,000
Unrealized losses related to securities with unrealized loss position greater than or equal to 20% of cost or amortized cost	12,000,000
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	4,000,000
EMA limited partnerships
Investment [Line Items]
Limited partnership interests	5,770,000,000		5,410,000,000
Carrying value \| Cost-method Investments
Investment [Line Items]
Cost method limited partnerships	1,660,000,000		$ 1,330,000,000
Mortgage loans, non-impaired
Investment [Line Items]
Allowance for credit losses, period increase (decrease)	0	0
Average impaired mortgage loans	$ 4,000,000	$ 5,000,000

Investments - Realized capital gains and losses by asset type (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Realized capital gains and losses by asset type
Realized capital gains and losses	$ (134)	$ 134
Fixed income securities
Realized capital gains and losses by asset type
Realized capital gains and losses	(43)	5
Equity securities
Realized capital gains and losses by asset type
Realized capital gains and losses	(93)	106
Limited partnership interests
Realized capital gains and losses by asset type
Realized capital gains and losses	10	40
Derivatives
Realized capital gains and losses by asset type
Realized capital gains and losses	(8)	(15)
Other
Realized capital gains and losses by asset type
Realized capital gains and losses	$ 0	$ (2)

Investments - Realized capital gains and losses by transaction type (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Investments [Abstract]
Impairment write-downs	$ (1)	$ (43)
Change in intent write-downs	0	(16)
Net OTTI losses recognized in earnings	(1)	(59)
Sales	(42)	208
Valuation of equity investments	(83)	0
Valuation and settlements of derivative instruments	(8)	(15)
Total realized capital gains and losses	$ (134)	$ 134

Investments - Valuation changes included in net income for investments (Details) $ in Millions	3 Months Ended
	Mar. 31, 2018 USD ($)
Investment [Line Items]
Total valuation changes	$ 29
Equity securities
Investment [Line Items]
Total valuation changes	(49)
Limited partnership interests
Investment [Line Items]
Total valuation changes	$ 78

Investments - OTTI losses by asset type (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	$ 0	$ (62)
Included in OCI	(1)	3
Net OTTI losses recognized in earnings	(1)	(59)
Corporate
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(9)
Included in OCI	0	3
Net OTTI losses recognized in earnings	0	(6)
Residential mortgage-backed securities (“RMBS”)
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(1)
Included in OCI	0	(3)
Net OTTI losses recognized in earnings	0	(4)
Fixed income securities
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(16)
Included in OCI	(1)	3
Net OTTI losses recognized in earnings	(1)	(13)
Equity securities
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(36)
Included in OCI	0	0
Net OTTI losses recognized in earnings	0	(36)
Limited partnership interests
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(7)
Included in OCI	0	0
Net OTTI losses recognized in earnings	0	(7)
Other
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(3)
Included in OCI	0	0
Net OTTI losses recognized in earnings	0	(3)
Commercial mortgage-backed securities (“CMBS”)
Realized capital gains and losses by asset type
Total other-than-temporary impairment (“OTTI”) losses	0	(6)
Included in OCI	(1)	3
Net OTTI losses recognized in earnings	$ (1)	$ (3)

Investments - OTTI losses included in AOCI at the time of impairment for fixed income securities (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Investments [Abstract]
Net unrealized gains related to changes in valuation of fixed income securities subsequent to impairment measurement date	$ 202	$ 208
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	(95)	(101)
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)	(5)
Asset-backed securities (“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	(12)	(15)
Residential mortgage-backed securities (“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	(74)	(77)
Commercial mortgage-backed securities (“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)	$ (4)

Investments - Rollforward of the cumulative credit losses recognized in earnings for fixed income securities (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Credit Losses on Fixed Income Securities
Beginning balance	$ (226)	$ (318)
Additional credit loss for securities previously other-than-temporarily impaired	(1)	(8)
Additional credit loss for securities not previously other-than-temporarily impaired	0	(5)
Reduction in credit loss for securities disposed or collected	15	37
Ending balance	$ (212)	$ (294)

Investments - Unrealized net capital gains and losses included in AOCI (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Fair value
Fixed income securities:	$ 56,674	$ 58,992
Equity securities	6,986	6,621
Short-term investments	3,424	1,944
Derivative instruments	2	2
Gross unrealized Gains
Fixed income securities	1,210	1,750
Equity securities		1,172
Short-term investments	0	0
Derivative instruments	2	2
Gross unrealized Losses
Fixed income securities	(745)	(283)
Equity securities		(12)
Short-term investments	0	0
Derivative instruments	(3)	(3)
Unrealized net gains (losses)
Fixed income securities	465	1,467
Equity securities		1,160
Short-term investments	0	0
Derivative instruments	(1)	(1)
EMA limited partnerships	1	1
Unrealized net capital gains and losses, pre-tax	465	2,627
Amount recognized for:
Insurance reserves	(119)	(315)
DAC and DSI	(109)	(196)
Amounts recognized	(228)	(511)
Deferred income taxes	(50)	(454)
Total unrealized net capital gains and losses	187	1,662
Fair value of derivative liabilities with unrealized net capital gain (loss)	$ 2	$ 2

Investments - Change in unrealized net capital gains and losses (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	$ (1,002)
Amount recognized for:
Insurance reserves	196
DAC and DSI	87
Amounts recognized	283
Deferred income taxes	154
Decrease in unrealized net capital gains and losses, after-tax	(565)
Fixed income securities
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	(1,002)
Equity securities
Change in Unrealized Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss)
Change in unrealized net capital gains and losses	$ 0
Retained income
Amount recognized for:
Cumulative effect of change in accounting principle		$ 1,088	$ 0
Retained income \| Accounting Standards Update 2016-01
Amount recognized for:
Cumulative effect of change in accounting principle		$ 1,160

Investments - Gross unrealized losses and fair value by the type and length of time held in continuous unrealized loss position (Details) $ in Millions	Mar. 31, 2018 USD ($) contract	Dec. 31, 2017 USD ($) contract
Fixed income and equity securities
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract		2,953
Fair value, continuous unrealized loss position for less than 12 months		$ 19,049
Unrealized losses, continuous unrealized loss position for less than 12 months		$ (170)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract		594
Fair value, continuous unrealized loss position for 12 months or more		$ 3,971
Unrealized losses, continuous unrealized loss position for 12 months or more		(125)
Total unrealized losses
Total unrealized losses	$ (745)	$ (295)
U.S. government and agencies
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	57	66
Fair value, continuous unrealized loss position for less than 12 months	$ 1,514	$ 2,829
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (16)	$ (18)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	13	18
Fair value, continuous unrealized loss position for 12 months or more	$ 74	$ 182
Unrealized losses, continuous unrealized loss position for 12 months or more	(1)	(2)
Total unrealized losses
Total unrealized losses	$ (17)	$ (20)
Municipal
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	2,535	1,756
Fair value, continuous unrealized loss position for less than 12 months	$ 4,626	$ 3,143
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (74)	$ (24)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	160	165
Fair value, continuous unrealized loss position for 12 months or more	$ 323	$ 349
Unrealized losses, continuous unrealized loss position for 12 months or more	(18)	(12)
Total unrealized losses
Total unrealized losses	$ (92)	$ (36)
Corporate
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	1,656	781
Fair value, continuous unrealized loss position for less than 12 months	$ 22,720	$ 11,616
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (458)	$ (102)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	199	208
Fair value, continuous unrealized loss position for 12 months or more	$ 3,006	$ 3,289
Unrealized losses, continuous unrealized loss position for 12 months or more	(153)	(102)
Total unrealized losses
Total unrealized losses	$ (611)	$ (204)
Foreign government
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	43	45
Fair value, continuous unrealized loss position for less than 12 months	$ 531	$ 580
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (9)	$ (10)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	4	5
Fair value, continuous unrealized loss position for 12 months or more	$ 39	$ 44
Unrealized losses, continuous unrealized loss position for 12 months or more	(1)	(1)
Total unrealized losses
Total unrealized losses	$ (10)	$ (11)
Asset-backed securities (“ABS”)
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	80	57
Fair value, continuous unrealized loss position for less than 12 months	$ 541	$ 476
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (6)	$ (3)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	7	9
Fair value, continuous unrealized loss position for 12 months or more	$ 11	$ 34
Unrealized losses, continuous unrealized loss position for 12 months or more	(4)	(4)
Total unrealized losses
Total unrealized losses	$ (10)	$ (7)
Residential mortgage-backed securities (“RMBS”)
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	139	118
Fair value, continuous unrealized loss position for less than 12 months	$ 36	$ 35
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (1)	$ (1)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	181	181
Fair value, continuous unrealized loss position for 12 months or more	$ 43	$ 50
Unrealized losses, continuous unrealized loss position for 12 months or more	(2)	(2)
Total unrealized losses
Total unrealized losses	$ (3)	$ (3)
Commercial mortgage-backed securities (“CMBS”)
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	0	2
Fair value, continuous unrealized loss position for less than 12 months	$ 0	$ 1
Unrealized losses, continuous unrealized loss position for less than 12 months	$ 0	$ 0
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	6	6
Fair value, continuous unrealized loss position for 12 months or more	$ 24	$ 23
Unrealized losses, continuous unrealized loss position for 12 months or more	(2)	(2)
Total unrealized losses
Total unrealized losses	$ (2)	$ (2)
Redeemable preferred stock
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract		1
Fair value, continuous unrealized loss position for less than 12 months		$ 0
Unrealized losses, continuous unrealized loss position for less than 12 months		$ 0
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract		0
Fair value, continuous unrealized loss position for 12 months or more		$ 0
Unrealized losses, continuous unrealized loss position for 12 months or more		0
Total unrealized losses
Total unrealized losses		$ 0
Fixed income securities
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	4,510	2,826
Fair value, continuous unrealized loss position for less than 12 months	$ 29,968	$ 18,680
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (564)	$ (158)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	570	592
Fair value, continuous unrealized loss position for 12 months or more	$ 3,520	$ 3,971
Unrealized losses, continuous unrealized loss position for 12 months or more	(181)	(125)
Total unrealized losses
Total unrealized losses	$ (745)	$ (283)
Equity securities
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract		127
Fair value, continuous unrealized loss position for less than 12 months		$ 369
Unrealized losses, continuous unrealized loss position for less than 12 months		$ (12)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract		2
Fair value, continuous unrealized loss position for 12 months or more		$ 0
Unrealized losses, continuous unrealized loss position for 12 months or more		0
Total unrealized losses
Total unrealized losses		$ (12)
Investment grade fixed income securities
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	4,161	2,706
Fair value, continuous unrealized loss position for less than 12 months	$ 27,020	$ 17,668
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (470)	$ (134)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	516	535
Fair value, continuous unrealized loss position for 12 months or more	$ 3,284	$ 3,751
Unrealized losses, continuous unrealized loss position for 12 months or more	(153)	(98)
Total unrealized losses
Total unrealized losses	$ (623)	$ (232)
Below investment grade fixed income securities
Less than 12 months
Number of issues, continuous unrealized loss position for less than 12 months \| contract	349	120
Fair value, continuous unrealized loss position for less than 12 months	$ 2,948	$ 1,012
Unrealized losses, continuous unrealized loss position for less than 12 months	$ (94)	$ (24)
12 months or more
Number of issues, continuous unrealized loss position for 12 months or more \| contract	54	57
Fair value, continuous unrealized loss position for 12 months or more	$ 236	$ 220
Unrealized losses, continuous unrealized loss position for 12 months or more	(28)	(27)
Total unrealized losses
Total unrealized losses	$ (122)	$ (51)

Investments - Carrying value of non-impaired mortgage loans summarized by debt service coverage ratio distribution (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Financing Receivable, Impaired [Line Items]
Mortgage Loans on Real Estate, Commercial and Consumer, Net	$ 4,679	$ 4,534
Mortgage loans, non-impaired
Financing Receivable, Impaired [Line Items]
Fixed rate mortgage loans	4,545	4,438
Variable rate mortgage loans	130	92
Mortgage Loans on Real Estate, Commercial and Consumer, Net	4,675	4,530
Below 1.0 \| Mortgage loans, non-impaired
Financing Receivable, Impaired [Line Items]
Fixed rate mortgage loans	27	3
Variable rate mortgage loans	0	0
Mortgage Loans on Real Estate, Commercial and Consumer, Net	27	3
1.0 - 1.25 \| Mortgage loans, non-impaired
Financing Receivable, Impaired [Line Items]
Fixed rate mortgage loans	355	345
Variable rate mortgage loans	0	0
Mortgage Loans on Real Estate, Commercial and Consumer, Net	355	345
1.26 - 1.50 \| Mortgage loans, non-impaired
Financing Receivable, Impaired [Line Items]
Fixed rate mortgage loans	1,165	1,141
Variable rate mortgage loans	30	30
Mortgage Loans on Real Estate, Commercial and Consumer, Net	1,195	1,171
Above 1.50 \| Mortgage loans, non-impaired
Financing Receivable, Impaired [Line Items]
Fixed rate mortgage loans	2,998	2,949
Variable rate mortgage loans	100	62
Mortgage Loans on Real Estate, Commercial and Consumer, Net	$ 3,098	$ 3,011

Investments - Net carrying value of impaired mortgage loans (Details) - Mortgage loans, non-impaired - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Net carrying value of impaired mortgage loans
Impaired mortgage loans with a valuation allowance	$ 4		$ 4
Impaired mortgage loans without a valuation allowance	0		0
Total impaired mortgage loans	4		4
Valuation allowance on impaired mortgage loans	3		$ 3
Average carrying value and interest income recognized on impaired mortgage loans
Average impaired mortgage loans	$ 4	$ 5

Investments - Other investments by type (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Schedule of Investments [Line Items]
Other	$ 4,092	$ 3,972
Bank loans
Schedule of Investments [Line Items]
Other	1,681	1,702
Policy loans
Schedule of Investments [Line Items]
Other	900	905
Real estate
Schedule of Investments [Line Items]
Other	763	632
Agent loans
Schedule of Investments [Line Items]
Other	562	538
Other
Schedule of Investments [Line Items]
Other	$ 186	$ 195

Fair Value of Assets and Liabilities - Narrative (Details) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Fair value of assets and liabilities measured on recurring and non-recurring basis
Total realized and unrealized gains (losses) included in net income, recurring Level 3 assets and liabilities	$ 27,000,000	$ 14,000,000
Fixed income securities:	56,674,000,000		$ 58,992,000,000
Significant unobservable inputs (Level 3)
Fair value of assets and liabilities measured on recurring and non-recurring basis
Assets at fair value	730,000,000		840,000,000
Recurring \| Significant unobservable inputs (Level 3)
Fair value of assets and liabilities measured on recurring and non-recurring basis
Fixed income securities:	487,000,000		606,000,000
Assets at fair value			837,000,000
Fixed Income Securities Valued Based on Nonbinding Broker Quotes
Fair value of assets and liabilities measured on recurring and non-recurring basis
Assets at fair value	278,000,000		271,000,000
Municipal Not Rated by Third Party Credit Rating Agencies
Fair value of assets and liabilities measured on recurring and non-recurring basis
Assets at fair value	54,000,000		$ 58,000,000
Life contract benefits
Fair value of assets and liabilities measured on recurring and non-recurring basis
Change in unrealized gain (loss)	4,000,000	7,000,000
Gain (Loss) on Investments
Fair value of assets and liabilities measured on recurring and non-recurring basis
Total realized and unrealized gains (losses) included in net income, recurring Level 3 assets and liabilities	25,000,000	13,000,000
Realized capital gains and losses
Fair value of assets and liabilities measured on recurring and non-recurring basis
Change in unrealized gain (loss)	2,000,000	1,000,000
(Loss) gain reclassified from AOCI into income (net investment income)
Fair value of assets and liabilities measured on recurring and non-recurring basis
Change in unrealized gain (loss)		10,000,000
Interest credited to contractholder funds
Fair value of assets and liabilities measured on recurring and non-recurring basis
Change in unrealized gain (loss)	19,000,000	$ (5,000,000)
Limited partnership interests
Fair value of assets and liabilities measured on recurring and non-recurring basis
Commitments to invest in limited partnership interests	$ 943,000,000
Limited partnership interests \| Minimum
Fair value of assets and liabilities measured on recurring and non-recurring basis
Investment assets, useful life	10 years
Limited partnership interests \| Maximum
Fair value of assets and liabilities measured on recurring and non-recurring basis
Investment assets, useful life	12 years

Fair Value of Assets and Liabilities - Assets and liabilities measured at fair value on a recurring and non-recurring basis (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017
Assets
Fixed income securities:	$ 56,674	$ 58,992
Equity securities	6,986	6,621
Short-term investments	3,424	1,944
Other investments: Free-standing derivatives	1		$ 1
Separate account assets	3,314	3,444
Counterparty and cash collateral netting	$ (15)	$ (6)
% of total assets at fair value	0.00%	0.00%
Investments reported at NAV	$ 1,663
Total investments	72,164
Liabilities
Other liabilities: Free-standing derivatives			$ (2)
Counterparty and cash collateral netting	$ 26	$ 14
Counterparty and cash collateral netting as a percent of liabilities measured at fair value	(8.40%)	(3.90%)
U.S. government and agencies
Assets
Fixed income securities:	$ 3,406	$ 3,616
Municipal
Assets
Fixed income securities:	8,569	8,328
Foreign government
Assets
Fixed income securities:	979	1,021
Residential mortgage-backed securities (“RMBS”)
Assets
Fixed income securities:	550	578
Commercial mortgage-backed securities (“CMBS”)
Assets
Fixed income securities:	99	128
Redeemable preferred stock
Assets
Fixed income securities:	23	23
Quoted prices in active markets for identical assets (Level 1)
Assets
Total assets at fair value	$ 12,935	$ 12,819
% of total assets at fair value	18.40%	18.00%
Liabilities
Total liabilities at fair value	$ 0	$ (1)
Liabilities as a percent of liabilities measured at fair value	0.00%	0.30%
Significant other observable inputs (Level 2)
Assets
Total assets at fair value	$ 56,851	$ 57,478
% of total assets at fair value	80.60%	80.80%
Liabilities
Total liabilities at fair value	$ (75)	$ (83)
Liabilities as a percent of liabilities measured at fair value	24.10%	23.30%
Significant unobservable inputs (Level 3)
Assets
Total assets at fair value	$ 730	$ 840
% of total assets at fair value	1.00%	1.20%
Liabilities
Total liabilities at fair value	$ (262)	$ (286)
Liabilities as a percent of liabilities measured at fair value	84.30%	80.30%
Recurring
Assets
Other investments: Free-standing derivatives, Counterparty and cash collateral netting	$ (15)	$ (6)
Liabilities
Counterparty and cash collateral netting	26	14
Recurring \| Quoted prices in active markets for identical assets (Level 1)
Assets
Fixed income securities:	2,845	3,079
Equity securities	6,374	6,032
Short-term investments	402	264
Other investments: Free-standing derivatives	0	0
Separate account assets	3,314	3,444
Other assets		0
Total assets at fair value		12,819
Liabilities
Other liabilities: Free-standing derivatives	0	(1)
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| U.S. government and agencies
Assets
Fixed income securities:	2,845	3,079
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) \| Residential mortgage-backed securities (“RMBS”)
Assets
Fixed income securities:	0	0
Recurring \| Quoted prices in active markets for identical assets (Level 1) \| Commercial mortgage-backed securities (“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:	53,342	55,307
Equity securities	370	379
Short-term investments	3,022	1,660
Other investments: Free-standing derivatives	117	132
Separate account assets	0	0
Other assets		0
Total assets at fair value		57,478
Liabilities
Other liabilities: Free-standing derivatives	(75)	(83)
Recurring \| Significant other observable inputs (Level 2) \| U.S. government and agencies
Assets
Fixed income securities:	561	537
Recurring \| Significant other observable inputs (Level 2) \| Municipal
Assets
Fixed income securities:	8,473	8,227
Recurring \| Significant other observable inputs (Level 2) \| Corporate - public
Assets
Fixed income securities:	30,535	31,963
Recurring \| Significant other observable inputs (Level 2) \| Corporate - privately placed
Assets
Fixed income securities:	11,024	11,731
Recurring \| Significant other observable inputs (Level 2) \| Foreign government
Assets
Fixed income securities:	979	1,021
Recurring \| Significant other observable inputs (Level 2) \| ABS - CDO
Assets
Fixed income securities:	450	480
Recurring \| Significant other observable inputs (Level 2) \| ABS - consumer and other
Assets
Fixed income securities:	675	645
Recurring \| Significant other observable inputs (Level 2) \| Residential mortgage-backed securities (“RMBS”)
Assets
Fixed income securities:	550	578
Recurring \| Significant other observable inputs (Level 2) \| Commercial mortgage-backed securities (“CMBS”)
Assets
Fixed income securities:	72	102
Recurring \| Significant other observable inputs (Level 2) \| Redeemable preferred stock
Assets
Fixed income securities:	23	23
Recurring \| Significant unobservable inputs (Level 3)
Assets
Fixed income securities:	487	606
Equity securities	242	210
Short-term investments	0	20
Other investments: Free-standing derivatives	1	1
Separate account assets	0	0
Other assets		0
Total assets at fair value		837
Liabilities
Other liabilities: Free-standing derivatives	0	0
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:	96	101
Recurring \| Significant unobservable inputs (Level 3) \| Corporate - public
Assets
Fixed income securities:	77	108
Recurring \| Significant unobservable inputs (Level 3) \| Corporate - privately placed
Assets
Fixed income securities:	215	224
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:	10	99
Recurring \| Significant unobservable inputs (Level 3) \| ABS - consumer and other
Assets
Fixed income securities:	62	48
Recurring \| Significant unobservable inputs (Level 3) \| Residential mortgage-backed securities (“RMBS”)
Assets
Fixed income securities:	0	0
Recurring \| Significant unobservable inputs (Level 3) \| Commercial mortgage-backed securities (“CMBS”)
Assets
Fixed income securities:	27	26
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
Non-recurring \| Significant other observable inputs (Level 2)
Assets
Total assets at fair value		0
Non-recurring \| Significant unobservable inputs (Level 3)
Assets
Total assets at fair value		3
Derivatives embedded in life and annuity contracts \| Recurring \| Quoted prices in active markets for identical assets (Level 1)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	0	0
Derivatives embedded in life and annuity contracts \| Recurring \| Significant other observable inputs (Level 2)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	0	0
Derivatives embedded in life and annuity contracts \| Recurring \| Significant unobservable inputs (Level 3)
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	(262)	(286)
Fair value
Assets
Total assets at fair value	$ 70,501	$ 71,131
% of total assets at fair value	100.00%	100.00%
Liabilities
Total liabilities at fair value	$ (311)	$ (356)
Liabilities as a percent of liabilities measured at fair value	100.00%	100.00%
Fair value \| Recurring
Assets
Fixed income securities:	$ 56,674	$ 58,992
Equity securities	6,986	6,621
Short-term investments	3,424	1,944
Other investments: Free-standing derivatives	103	127
Separate account assets	3,314	3,444
Other assets		0
Total assets at fair value		71,128
Liabilities
Other liabilities: Free-standing derivatives	(49)	(70)
Fair value \| Recurring \| U.S. government and agencies
Assets
Fixed income securities:	3,406	3,616
Fair value \| Recurring \| Municipal
Assets
Fixed income securities:	8,569	8,328
Fair value \| Recurring \| Corporate - public
Assets
Fixed income securities:	30,612	32,071
Fair value \| Recurring \| Corporate - privately placed
Assets
Fixed income securities:	11,239	11,955
Fair value \| Recurring \| Foreign government
Assets
Fixed income securities:	979	1,021
Fair value \| Recurring \| ABS - CDO
Assets
Fixed income securities:	460	579
Fair value \| Recurring \| ABS - consumer and other
Assets
Fixed income securities:	737	693
Fair value \| Recurring \| Residential mortgage-backed securities (“RMBS”)
Assets
Fixed income securities:	550	578
Fair value \| Recurring \| Commercial mortgage-backed securities (“CMBS”)
Assets
Fixed income securities:	99	128
Fair value \| Recurring \| Redeemable preferred stock
Assets
Fixed income securities:	23	23
Fair value \| Non-recurring
Assets
Total assets at fair value		3
Liabilities
Limited partnership interests		3
Fair value \| Derivatives embedded in life and annuity contracts \| Recurring
Liabilities
Contractholder funds: Derivatives embedded in life and annuity contracts	(262)	(286)
Fixed Income Securities Valued Based on Nonbinding Broker Quotes
Assets
Total assets at fair value	278	271
Municipal Not Rated by Third Party Credit Rating Agencies
Assets
Total assets at fair value	$ 54	$ 58

Fair Value of Assets and Liabilities - Quantitative information about the significant unobservable inputs used in level 3 fair value measurements (Details) - Derivatives embedded in life and annuity contracts - Equity-indexed and forward starting options - Stochastic cash flow model - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Quantitative information about the significant unobservable inputs
Liabilities, fair value	$ (232)	$ (252)
Weighted average projected option cost (as a percent)	1.74%	1.74%
Minimum
Quantitative information about the significant unobservable inputs
Projected option cost (as a percent)	1.00%	1.00%
Maximum
Quantitative information about the significant unobservable inputs
Projected option cost (as a percent)	2.20%	2.20%

Fair Value of Assets and Liabilities - Rollforward of level 3 assets and liabilities held at fair value on a recurring basis during the period (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	$ 837	$ 735
Total gains (losses) included in: net income	4	11
Total gains (losses) included in: OCI	(2)	8
Transfers into Level 3	9	27
Transfers out of Level 3	(115)	(22)
Purchases	114	160
Sales	(109)	(3)
Issues	0	0
Settlements	(8)	(13)
Balance at end of period	730	903
Fair Value Liabilities Measured on Recurring Basis Unobservable Input Reconciliation Calculation
Balance at the beginning of the period	(286)	(290)
Total gains (losses) included in: net income	(23)	(3)
Total gains (losses) included in: OCI	0	0
Transfers into Level 3	0	0
Transfers out of Level 3	0	0
Purchases	0	0
Sales	0	0
Issues	(1)	(1)
Settlements	2	2
Balance at the end of the period	(262)	(286)
Fair value assets and liabilities measured on recurring basis, gain (loss) included in earnings
Total realized and unrealized gains (losses) included in net income, recurring Level 3 assets and liabilities	27	14
Free-standing derivatives	1	1
Free-standing derivatives, liabilities		2
Realized capital gains and losses
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Total gains (losses) included in: net income	4	2
Fair value assets and liabilities measured on recurring basis, gain (loss) included in earnings
Change in unrealized gain (loss)	2	1
(Loss) gain reclassified from AOCI into income (net investment income)
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Total gains (losses) included in: net income		10
Fair value assets and liabilities measured on recurring basis, gain (loss) included in earnings
Change in unrealized gain (loss)		10
Interest credited to contractholder funds
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Total gains (losses) included in: net income	19	(5)
Fair value assets and liabilities measured on recurring basis, gain (loss) included in earnings
Change in unrealized gain (loss)	19	(5)
Life contract benefits
Fair value assets and liabilities measured on recurring basis, gain (loss) included in earnings
Change in unrealized gain (loss)	4	7
Municipal
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	101	125
Total gains (losses) included in: net income	1	1
Total gains (losses) included in: OCI	(1)	1
Transfers into Level 3	0	0
Transfers out of Level 3	(2)	(1)
Purchases	0	0
Sales	(2)	(2)
Issues	0	0
Settlements	(1)	0
Balance at end of period	96	124
Corporate - public
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	108	78
Total gains (losses) included in: net income	0	0
Total gains (losses) included in: OCI	(1)	0
Transfers into Level 3	4	0
Transfers out of Level 3	(5)	(16)
Purchases	0	0
Sales	(26)	0
Issues	0	0
Settlements	(3)	(2)
Balance at end of period	77	60
Corporate - privately placed
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	224	263
Total gains (losses) included in: net income	0	0
Total gains (losses) included in: OCI	(1)	5
Transfers into Level 3	0	0
Transfers out of Level 3	(19)	0
Purchases	13	0
Sales	0	0
Issues	0	0
Settlements	(2)	(5)
Balance at end of period	215	263
ABS - CDO
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	99	27
Total gains (losses) included in: net income	0	0
Total gains (losses) included in: OCI	0	2
Transfers into Level 3	0	27
Transfers out of Level 3	(89)	0
Purchases	0	95
Sales	0	0
Issues	0	0
Settlements	0	(4)
Balance at end of period	10	147
ABS - consumer and other
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	48	42
Total gains (losses) included in: net income	0	0
Total gains (losses) included in: OCI	1	0
Transfers into Level 3	5	0
Transfers out of Level 3	0	(2)
Purchases	45	41
Sales	(35)	0
Issues	0	0
Settlements	(2)	(1)
Balance at end of period	62	80
Residential mortgage-backed securities (“RMBS”)
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period		1
Total gains (losses) included in: net income		0
Total gains (losses) included in: OCI		0
Transfers into Level 3		0
Transfers out of Level 3		0
Purchases		0
Sales		0
Issues		0
Settlements		(1)
Balance at end of period		0
Commercial mortgage-backed securities (“CMBS”)
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	26	22
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	0	0
Purchases	1	3
Sales	0	0
Issues	0	0
Settlements	0	0
Balance at end of period	27	25
Fixed income securities
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	606	558
Total gains (losses) included in: net income	1	1
Total gains (losses) included in: OCI	(2)	8
Transfers into Level 3	9	27
Transfers out of Level 3	(115)	(19)
Purchases	59	139
Sales	(63)	(2)
Issues	0	0
Settlements	(8)	(13)
Balance at end of period	487	699
Equity securities
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	210	163
Total gains (losses) included in: net income	3	10
Total gains (losses) included in: OCI	0	0
Transfers into Level 3	0	0
Transfers out of Level 3	0	(3)
Purchases	30	1
Sales	(1)	(1)
Issues	0	0
Settlements	0	0
Balance at end of period	242	170
Short-term investments
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	20	15
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	0	0
Purchases	25	20
Sales	(45)	0
Issues	0	0
Settlements	0	0
Balance at end of period	0	35
Free-standing derivatives, net
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period	1	(2)
Total gains (losses) included in: net income	0	1
Total gains (losses) included in: OCI	0	0
Transfers into Level 3	0	0
Transfers out of Level 3	0	0
Purchases	0	0
Sales	0	0
Issues	0	0
Settlements	0	0
Balance at end of period	1	(1)
Other assets
Fair Value Assets Measured on Recurring Basis Unobservable Input Reconciliation Calculation Rollforward
Balance at beginning of period		1
Total gains (losses) included in: net income		(1)
Total gains (losses) included in: OCI		0
Transfers into Level 3		0
Transfers out of Level 3		0
Purchases		0
Sales		0
Issues		0
Settlements		0
Balance at end of period		0
Derivatives embedded in life and annuity contracts
Fair Value Liabilities Measured on Recurring Basis Unobservable Input Reconciliation Calculation
Balance at the beginning of the period	(286)	(290)
Total gains (losses) included in: net income	(23)	(3)
Total gains (losses) included in: OCI	0	0
Transfers into Level 3	0	0
Transfers out of Level 3	0	0
Purchases	0	0
Sales	0	0
Issues	(1)	(1)
Settlements	2	2
Balance at the end of the period	$ (262)	$ (286)

Fair Value of Assets and Liabilities - Change in unrealized gains and losses included in net income for level 3 assets and liabilities (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Gains (losses) included in net income for Level 3 assets and liabilities:
Recurring Level 3 assets	$ 2	$ 10
Gains (losses) for Level 3 liabilities still held at the balance sheet date, included in earnings	23	3
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	23	3
Equity securities
Gains (losses) included in net income for Level 3 assets and liabilities:
Recurring Level 3 assets	2	10
Free-standing derivatives, net
Gains (losses) included in net income for Level 3 assets and liabilities:
Recurring Level 3 assets	0	1
Other assets
Gains (losses) included in net income for Level 3 assets and liabilities:
Recurring Level 3 assets	$ 0	$ (1)

Fair Value of Assets and Liabilities - Carrying values and fair value estimates of financial instruments not carried at fair value (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017	Dec. 31, 2016
Financial assets
Mortgage loans	$ 4,679	$ 4,534
Financial liabilities
Long-term debt	6,847	6,350
Liability for collateral	1,037	1,124	$ 1,172	$ 1,129
Carrying value
Financial assets
Mortgage loans	4,679	4,534
Bank loans	1,681	1,702
Agent loans	562	538
Financial liabilities
Contractholder funds on investment contracts	10,088	10,367
Long-term debt	6,847	6,350
Liability for collateral	1,037	1,124
Fair value
Financial assets
Mortgage loans	4,784	4,732
Bank loans	1,688	1,704
Agent loans	553	536
Financial liabilities
Contractholder funds on investment contracts	10,597	11,071
Long-term debt	7,425	7,199
Liability for collateral	$ 1,037	$ 1,124

Derivative Financial Instruments - Summary of the volume and fair value positions of derivative instruments (Details) $ in Millions	Mar. 31, 2018 USD ($) contract	Dec. 31, 2017 USD ($) contract
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Cash and securities pledged in the form of margin deposits	$ 15
Derivatives, Fair Value
Total asset derivatives, notional amount	511	$ 255
Total liability derivatives, notional amount	3,432	3,133
Total derivatives, notional amount	$ 3,943	$ 3,388
Total asset derivatives, number of contracts \| contract	7,646	6,605
Total liability derivatives, number of contracts \| contract	5,990	7,128
Total derivatives, Number of contracts \| contract	13,636	13,733
Derivative assets net amount on balance sheet	$ 94	$ 126
Asset derivatives gross amount	104	127
Asset derivatives, gross liability	(10)	(1)
Derivative liabilities net amount on balance sheet	(313)	(363)
Total derivatives, fair value, net	(219)	(237)
Liability derivatives, gross asset	14	6
Liability derivatives gross amount	(327)	(369)
Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, notional amount	$ 3,413	$ 3,114
Total liability derivatives, number of contracts \| contract	5,990	7,128
Derivative liabilities net amount on balance sheet	$ (315)	$ (365)
Liability derivatives, gross asset	12	4
Liability derivatives gross amount	(327)	(369)
Foreign currency swap agreements \| Other liabilities & accrued expenses \| Derivatives designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, notional amount	19	19
Derivative liabilities net amount on balance sheet	2	2
Liability derivatives, gross asset	2	2
Liability derivatives gross amount	0	0
Interest rate cap agreements \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, notional amount	16	15
Derivative assets net amount on balance sheet	0	0
Asset derivatives gross amount	0	0
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	26	30
Derivative liabilities net amount on balance sheet	1	1
Liability derivatives, gross asset	1	1
Liability derivatives gross amount	0	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	5,991	6,316
Derivative assets net amount on balance sheet	$ 102	$ 125
Asset derivatives gross amount	102	125
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	1,655	289
Derivative assets net amount on balance sheet	$ 0	$ 0
Asset derivatives gross amount	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	$ 540	$ 0
Total liability derivatives, number of contracts \| contract	5,990	7,128
Derivative liabilities net amount on balance sheet	$ (36)	$ (58)
Liability derivatives, gross asset	10	0
Liability derivatives gross amount	(46)	(58)
Foreign currency forwards \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, notional amount	253	52
Derivative assets net amount on balance sheet	(5)	1
Asset derivatives gross amount	2	1
Asset derivatives, gross liability	(7)	0
Foreign currency forwards \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, notional amount	316	650
Derivative liabilities net amount on balance sheet	(13)	(17)
Liability derivatives, gross asset	1	3
Liability derivatives gross amount	(14)	(20)
Guaranteed accumulation benefits \| Contractholder funds \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, notional amount	215	225
Derivative liabilities net amount on balance sheet	(20)	(22)
Liability derivatives, gross asset	0	0
Liability derivatives gross amount	(20)	(22)
Guaranteed withdrawal benefits \| Contractholder funds \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, notional amount	266	274
Derivative liabilities net amount on balance sheet	(10)	(12)
Liability derivatives, gross asset	0	0
Liability derivatives gross amount	(10)	(12)
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	1,770	1,774
Derivative liabilities net amount on balance sheet	(232)	(252)
Liability derivatives, gross asset	0	0
Liability derivatives gross amount	(232)	(252)
Credit default swaps – buying protection \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, notional amount	149	105
Derivative assets net amount on balance sheet	(3)	(1)
Asset derivatives gross amount	0	0
Asset derivatives, gross liability	(3)	(1)
Credit default swaps – buying protection \| Other liabilities & accrued expenses \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total liability derivatives, notional amount	275	136
Derivative liabilities net amount on balance sheet	(5)	(5)
Liability derivatives, gross asset	0	0
Liability derivatives gross amount	(5)	(5)
Credit default swaps – selling protection \| Other investments \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, notional amount	90	80
Derivative assets net amount on balance sheet	0	1
Asset derivatives gross amount	0	1
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	5	25
Derivative liabilities net amount on balance sheet	0	0
Liability derivatives, gross asset	0	0
Liability derivatives gross amount	0	0
Other contracts \| Other assets \| Derivatives not designated as accounting hedging instruments
Derivatives, Fair Value
Total asset derivatives, notional amount	3	3
Derivative assets net amount on balance sheet	0	0
Asset derivatives gross amount	0	0
Asset derivatives, gross liability	$ 0	$ 0

Derivative Financial Instruments - Gross and net amounts for OTC derivatives (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Asset derivatives
Asset derivatives gross amount	$ 104	$ 127
Asset derivatives, gross liability	(10)	(1)
Derivative assets net amount on balance sheet	94	126
Liability derivatives
Liability derivatives gross amount	(327)	(369)
Liability derivatives, gross asset	14	6
Derivative liabilities net amount on balance sheet	(313)	(363)
OTC derivatives
Asset derivatives
Asset derivatives gross amount	17	8
Asset derivatives, gross liability	(24)	(7)
Derivative, collateral, right to reclaim cash	9	1
Derivative assets net amount on balance sheet	2	2
Derivative assets received under securities collateral	0	0
Derivative asset, fair value, amount offset against collateral	2	2
Liability derivatives
Liability derivatives gross amount	(31)	(26)
Liability derivatives, gross asset	24	7
Derivative liability offsets under cash collateral pledged	2	7
Derivative liabilities net amount on balance sheet	(5)	(12)
Derivative liabilities received under securities collateral	2	3
Derivative liability, fair value, amount offset against collateral	$ (3)	$ (9)

Derivative Financial Instruments - Summary of the impacts of the foreign currency contracts in cash flow hedging relationships (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Loss recognized in OCI on derivatives during the period	$ 0	$ (2)
Loss recognized in OCI on derivatives during the term of the hedging relationship	$ (1)	$ 0

Derivative Financial Instruments - Narrative (Details) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Term of credit default swaps (in years)	5 years
Cash flow hedge losses 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
Cash and securities pledged as collateral by counterparties	8,000,000
Securities pledged as collateral to counterparties	21,000,000
Collateral posted under MNAs for contracts containing credit-risk-contingent features	4,000,000		$ 6,000,000
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	17,000,000
Cash and securities pledged in the form of margin deposits	$ 15,000,000

Derivative Financial Instruments - OTC derivatives counterparty credit exposure by counterparty credit rating (Details) $ in Millions	Mar. 31, 2018 USD ($) counter-party	Dec. 31, 2017 USD ($) counter-party
Credit Derivatives
Number of counter- parties \| counter-party	3	4
Notional amount	$ 69	$ 108
Credit exposure	8	4
Exposure, net of collateral	$ 0	$ 1
AA-
Credit Derivatives
Number of counter- parties \| counter-party	0	1
Notional amount	$ 0	$ 18
Credit exposure	0	1
Exposure, net of collateral	$ 0	$ 0
A plus
Credit Derivatives
Number of counter- parties \| counter-party	3	3
Notional amount	$ 69	$ 90
Credit exposure	8	3
Exposure, net of collateral	$ 0	$ 1

Derivative Financial Instruments - Fair value of instruments with credit-risk-contingent features (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Gross liability fair value of contracts containing credit-risk-contingent features	$ 38	$ 28
Gross asset fair value of contracts containing credit-risk-contingent features and subject to MNAs	(33)	(17)
Collateral posted under MNAs for contracts containing credit-risk-contingent features	(4)	(6)
Maximum amount of additional exposure for contracts with credit-risk-contingent features if all features were triggered concurrently	$ 1	$ 5

Derivative Financial Instruments - CDS notional amounts by credit rating and fair value of protection sold (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Term of credit default swaps (in years)	5 years
Credit Derivatives
Notional amount	$ 3,943	$ 3,388
Credit default contracts
Credit Derivatives
Notional amount	95	105
Fair value	0	1
Credit default contracts \| Single name \| Corporate debt
Credit Derivatives
Notional amount	15	25
Fair value	0	0
Credit default contracts \| Index \| Corporate debt
Credit Derivatives
Notional amount	80	80
Fair value	0	1
AA \| Credit default contracts
Credit Derivatives
Notional amount	1	1
AA \| Credit default contracts \| Single name \| Corporate debt
Credit Derivatives
Notional amount	0	0
AA \| Credit default contracts \| Index \| Corporate debt
Credit Derivatives
Notional amount	1	1
A \| Credit default contracts
Credit Derivatives
Notional amount	19	29
A \| Credit default contracts \| Single name \| Corporate debt
Credit Derivatives
Notional amount	0	10
A \| Credit default contracts \| Index \| Corporate debt
Credit Derivatives
Notional amount	19	19
BBB \| Credit default contracts
Credit Derivatives
Notional amount	57	55
BBB \| Credit default contracts \| Single name \| Corporate debt
Credit Derivatives
Notional amount	10	10
BBB \| Credit default contracts \| Index \| Corporate debt
Credit Derivatives
Notional amount	47	45
BB and lower \| Credit default contracts
Credit Derivatives
Notional amount	18	20
BB and lower \| Credit default contracts \| Single name \| Corporate debt
Credit Derivatives
Notional amount	5	5
BB and lower \| Credit default contracts \| Index \| Corporate debt
Credit Derivatives
Notional amount	$ 13	$ 15

Reserve for Property-Liability Insurance Claims and Claims Expense - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Increase (decrease) in claims and claims expense
Reserves for asbestos claims	$ 866		$ 884
Reinsurance recoverables for asbestos claims	399		412
Reserves for environmental claims	162		166
Reinsurance recoverables for environmental claims	33		$ 33
Prior years claims and claims adjust expense, favorable (unfavorable)	51
Auto
Increase (decrease) in claims and claims expense
Prior years claims and claims adjust expense, favorable (unfavorable)	73
Catastrophe
Increase (decrease) in claims and claims expense
Total incurred	361	$ 781
Non Catastrophe Reestimates \| Auto
Increase (decrease) in claims and claims expense
Prior years claims and claims adjust expense, favorable (unfavorable)	30
Non Catastrophe Reestimates \| Homeowners
Increase (decrease) in claims and claims expense
Prior years claims and claims adjust expense, favorable (unfavorable)	(34)
Reserve Adjustments \| Other personal lines
Increase (decrease) in claims and claims expense
Prior years claims and claims adjust expense, favorable (unfavorable)	(18)
Catastrophe Loss Re-estimates
Increase (decrease) in claims and claims expense
Prior years claims and claims adjust expense, favorable (unfavorable)	$ 4

Reserve for Property-Liability Insurance Claims and Claims Expense - Rollforward of the reserve for property and casualty insurance claims and claims expense (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Incurred claims and claims expense related to:
Prior years	$ (51)
Property-Liability
Activity in the reserve for property-liability insurance claims and claims expense:
Balance as of January 1	26,325	$ 25,250
Less reinsurance recoverables	6,471	6,184
Net balance as of January 1	19,854	19,066
Incurred claims and claims expense related to:
Current year	5,200	5,513
Prior years	(51)	(97)
Total incurred	5,149	5,416
Claims and claims expense paid related to:
Current year	2,260	2,239
Prior years	3,115	2,815
Total paid	5,375	5,054
Net balance as of March 31	19,628	19,445
Plus reinsurance recoverables	6,487	6,183
Balance as of March 31	26,115	25,628
SquareTrade \| Property-Liability
Activity in the reserve for property-liability insurance claims and claims expense:
SquareTrade acquisition as of January 3, 2017	$ 0	$ 17

Reinsurance - Premiums earned and life premiums and contract charges (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Property and casualty insurance
Reinsurance
Property and casualty insurance premiums earned	$ (239)	$ (246)
Life premiums
Reinsurance
Life premiums and contract charges	$ (72)	$ (75)

Reinsurance - Claims expense, life contract benefits and interest credited to contractholder funds (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Property and casualty insurance claims and claims expense
Reductions to costs and expenses due to reinsurance ceded amounts
Ceded losses incurred	$ (187)	$ (131)
Life contract benefits
Reductions to costs and expenses due to reinsurance ceded amounts
Ceded losses incurred	(49)	(47)
Interest credited to contractholder funds
Reductions to costs and expenses due to reinsurance ceded amounts
Ceded losses incurred	$ (4)	$ (5)

Capital Structure (Details) - USD ($)		1 Months Ended
Capital Structure (Details) - USD ($)	Mar. 29, 2018	May 13, 2018	Apr. 13, 2018	Mar. 31, 2018	Dec. 31, 2017
Debt outstanding:
Preferred stock, par value (in dollars per share)				$ 1	$ 1
Noncumulative Preferred Stock
Debt outstanding:
Preferred stock, issued shares (in shares)	23,000
Preferred stock, dividend rate	5.625%
Preferred stock, par value (in dollars per share)	$ 1.00
Preferred stock, shares liquidation preference (in dollars per share)	$ 25,000
Proceeds from issuance of redeemable preferred stock	$ 575,000,000
Preferred stock, redemption price per share (in dollars per share)	$ 25,000
Period after occurrence of certain rating agency events in which redemption of debt in whole permissible	90 days
Senior Notes, Due 2021
Debt outstanding:
Debt instrument, face amount	$ 250,000,000
Senior Notes, Due 2023
Debt outstanding:
Debt instrument, face amount	$ 250,000,000
Junior Subordinated Debentures Due 2067 at 6.125% \| Subsequent Event
Debt outstanding:
Debt instrument, face amount			$ 224,000,000
Note stated interest rate (as a percent)			6.125%
London Interbank Offered Rate (LIBOR) \| Senior Notes, Due 2021
Debt outstanding:
Basis spread on variable rate	0.43%
London Interbank Offered Rate (LIBOR) \| Senior Notes, Due 2023
Debt outstanding:
Basis spread on variable rate	0.63%
Scenario, Forecast \| Junior Subordinated Debentures Due 2067 at 6.125%
Debt outstanding:
Redemption price, percentage of principal amount redeemed		100.00%
Debt instrument, repurchased face amount			$ 224,000,000
Debt instrument, accrued interest			$ 2,000,000

Company Restructuring - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Restructuring Cost and Reserve [Line Items]
Restructuring and related charges	$ 22	$ 10
Employee costs
Restructuring Cost and Reserve [Line Items]
Cumulative amount incurred to date for active programs	113
Exit costs
Restructuring Cost and Reserve [Line Items]
Cumulative amount incurred to date for active programs	$ 109

Company Restructuring - Changes in the restructuring liability (Details) $ in Millions	3 Months Ended
	Mar. 31, 2018 USD ($)
Restructuring Reserve
Balance as of December 31, 2017	$ 45
Expense incurred	19
Adjustments to liability	(1)
Payments applied against liability	(3)
Balance as of March 31, 2018	60
Restructuring, incurred cost	3
Employee costs
Restructuring Reserve
Balance as of December 31, 2017	15
Expense incurred	13
Adjustments to liability	0
Payments applied against liability	0
Balance as of March 31, 2018	28
Exit costs
Restructuring Reserve
Balance as of December 31, 2017	30
Expense incurred	6
Adjustments to liability	(1)
Payments applied against liability	(3)
Balance as of March 31, 2018	$ 32

Guarantees and Contingent Liabilities (Details)			1 Months Ended	3 Months Ended	28 Months Ended
Guarantees and Contingent Liabilities (Details)	Apr. 11, 2018 plaintiff	Jan. 30, 2018 judgment plaintiff	Mar. 31, 2018 plaintiff	Mar. 31, 2018 USD ($)	Dec. 31, 2003 case
Proceedings:
Number of class action cases \| case					3
Loss contingency, number of summary judgments \| judgment		2
Minimum
Proceedings:
Loss contingencies, reasonably possible pretax loss exposure in excess of the amount accrued \| $				$ 0
Maximum
Proceedings:
Loss contingencies, reasonably possible pretax loss exposure in excess of the amount accrued \| $				$ 150,000,000
Judicial Ruling
Proceedings:
Loss contingency, number of plaintiffs		27
Settled Litigation
Proceedings:
Loss contingency, number of plaintiffs			457
Pending Litigation
Proceedings:
Loss contingency, number of plaintiffs			36
Subsequent Event \| Pending Litigation
Proceedings:
Loss contingency, number of plaintiffs	14

Benefit Plans (Details) - USD ($) $ in Millions	3 Months Ended
Benefit Plans (Details) - USD ($) $ in Millions	Mar. 31, 2018	Mar. 31, 2017
Pension benefits
Components of net periodic cost
Service cost	$ 28	$ 29
Interest cost	60	66
Expected return on plan assets	(105)	(102)
Amortization of prior service credit	(14)	(14)
Amortization of net actuarial loss (gain)	44	47
Settlement loss	7	8
Net periodic postretirement credit	20	34
Postretirement benefits
Components of net periodic cost
Service cost	2	2
Interest cost	3	4
Amortization of prior service credit	(5)	(6)
Amortization of net actuarial loss (gain)	(6)	(6)
Net periodic postretirement credit	$ (6)	$ (6)

Supplemental Cash Flow Information Supplemental Cash Flow Information - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Supplementary Insurance Information [Abstract]
Transfer from Investments	$ 18	$ 5
Non-cash financing activities related to the issuance of shares for vested restricted stock units	$ 27	$ 40

Supplemental Cash Flow Information - Activities resulting from management of proceeds (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Net change in proceeds managed
Net change in fixed income securities	$ 32	$ (17)
Net change in short-term investments	55	(26)
Operating cash flow provided (used)	87	(43)
Change in Liabilities for Collateral [Roll Forward]
Liabilities for collateral, beginning of period	(1,124)	(1,129)
Liabilities for collateral, end of period	(1,037)	(1,172)
Operating cash flow (used) provided	$ (87)	$ 43

Other Comprehensive Income (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Pre-tax
Other comprehensive (loss) income	$ (691)	$ 336
Tax
Other comprehensive (loss) income	145	(117)
After-tax
Other comprehensive (loss) income	(546)	219
Unrealized net holding gains and losses arising during the period, net of related offsets
Pre-tax
Unrealized net holding during the period	(740)	444
Less: reclassification adjustment	(25)	132
Other comprehensive (loss) income	(715)	312
Tax
Unrealized net holding during the period	155	(155)
Less: reclassification adjustment	5	(46)
Other comprehensive (loss) income	150	(109)
After-tax
Unrealized net holding during the period	(585)	289
Less: reclassification adjustment	(20)	86
Other comprehensive (loss) income	(565)	203
Unrealized foreign currency translation adjustments
Pre-tax
Other comprehensive (loss) income	(5)	(5)
Tax
Other comprehensive (loss) income	1	2
After-tax
Other comprehensive (loss) income	(4)	(3)
Unrecognized pension and other postretirement benefit cost
Pre-tax
Unrealized net holding during the period	3	0
Less: reclassification adjustment	(26)	(29)
Other comprehensive (loss) income	29	29
Tax
Unrealized net holding during the period	(1)	0
Less: reclassification adjustment	5	10
Other comprehensive (loss) income	(6)	(10)
After-tax
Unrealized net holding during the period	2	0
Less: reclassification adjustment	(21)	(19)
Other comprehensive (loss) income	$ 23	$ 19

Derivative Financial Instruments - Gains and losses from valuation and settlements reported on derivatives not designated as accounting hedges (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	$ 10	$ 9
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	(8)	(15)
Life contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	4	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	16	9
Operating costs and expenses
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(2)	8
Equity and index contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(9)	13
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	(2)	(7)
Equity and index contracts \| Life contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	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	(4)	13
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	(3)	7
Embedded derivative financial instruments
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	24	3
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
Embedded derivative financial instruments \| Life contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	4	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	20	(4)
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
Foreign currency contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	(6)	(6)
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	(7)	(7)
Foreign currency contracts \| Life contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	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
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	1	1
Credit default contracts
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	1	(1)
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	1	(1)
Credit default contracts \| Life contract benefits
Derivative Instruments, Gain (Loss)
Derivatives not designated as accounting hedging instruments, total gain (loss) recognized in net income on derivatives	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
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