v3.22.4
Fair Value of Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2022
Fair Value Disclosures [Abstract]  
Summary of Fair Value Measurements and Hierarchy Level
The following tables are a summary of fair value measurements and hierarchy level at December 31, 2022 and 2021:

December 31, 2022
Carrying Value
Level 1
Level 2
Level 3
(in millions)
Assets:
Money market funds (1)
$272 $272 $— $— 
Beneficial interests in securitizations
321 — — 321 
December 31, 2021
Carrying Value
Level 1
Level 2
Level 3
(in millions)
Assets:
Money market funds (1)
$154 $154 $— $— 
      Beneficial interests in securitizations382 — — 382 
(1) Consists of highly liquid investments with original maturities of three months or less and classified in cash and cash equivalents in the accompanying consolidated balance sheets.
Scheduled of Additional Information of Beneficial Interests in Securitizations
The following table presents additional information about Level 3 beneficial interests in securitizations measured at fair value on a recurring basis for the years ended December 31, 2022 and 2021:
Years Ended December 31,
20222021
(in millions)
Opening Balance$382 $131 
Received in securitization transactions148 338 
Cash receipts(172)(93)
Change in fair value6 7 
Sales of beneficial interests(43)(1)
Ending Balance$321 $382 
Schedule of Carrying Value and Fair Value of Senior Notes, Finance Receivables, and Beneficial Interests in Securitizations The fair value of the Senior Notes as of December 31, 2022 and 2021 was as follows:
December 31,
20222021
(in millions)
Carrying value, net of unamortized debt issuance costs$5,649 $2,422 
Fair value2,533 2,411 
The carrying value and fair value of the finance receivables as of December 31, 2022 and 2021 were as follows:
December 31,
20222021
(in millions)
Carrying value$1,334 $356 
Fair value1,437 392 
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
The following table presents changes in the Company's Level 3 Warrants measured at fair value:

2022
(in millions)
Balance at December 31, 2021$6 
Warrants to acquire Root's Class A common stock75 
Total unrealized loss (1)
(79)
Balance at December 31, 2022$2 
(1) The Company recognized the decrease in fair value in relation to the Warrants to acquire Root's Class A common stock through other expense (income), net in the accompanying consolidated statements of operations. The Company recognized a decrease in fair value of $79 million and $24 million during the years ended December 31, 2022 and 2021, respectively.