v3.24.0.1
Segment Information
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segment Information
3. Segment Information
We report our results of operations consistent with the manner in which our chief operating decision makers review the business to assess performance and allocate resources, as follows:
GENERAL INSURANCE
General Insurance business is presented as two operating segments:
•North America – consists of insurance businesses in the United States, Canada and Bermuda, and our global reinsurance business, AIG Re.
•International – consists of regional insurance businesses in Japan, the United Kingdom, Europe, Middle East and Africa (EMEA region), Asia Pacific, Latin America and Caribbean, and China. International also includes the results of Talbot Holdings Ltd. as well as AIG’s Global Specialty business.
North America and International operating segments consist of the following products:
–Commercial Lines – consists of Property, Liability, Financial Lines and Specialty.
–Personal Insurance – consists of Accident & Health and Personal Lines.
For further discussion on recent activity in the General Insurance business, see Note 1.
LIFE AND RETIREMENT
Life and Retirement business is presented as four operating segments:
•Individual Retirement – consists of fixed annuities, fixed index annuities and variable annuities.
•Group Retirement – consists of record-keeping, plan administrative and compliance services, financial planning and advisory solutions offered to employer-defined contribution plan participants, along with proprietary and non-proprietary annuities and advisory and brokerage products offered outside of plans.
•Life Insurance – primary products in the U.S. include term life and universal life insurance. International operations primarily include distribution of life and health products in the UK and Ireland. Corebridge previously announced agreements to sell Laya and AIG Life. The sale of Laya closed on October 31, 2023 and the AIG Life sale is expected to close in the first half of 2024.
•Institutional Markets – consists of stable value wrap products, structured settlement and pension risk transfer annuities, corporate- and bank-owned life insurance, high net worth products and guaranteed investment contracts (GICs).
For further discussion on the ongoing separation of the Life and Retirement business from AIG and other recent activity, see Note 1.
OTHER OPERATIONS
Other Operations primarily consists of income from assets held by AIG Parent and other corporate subsidiaries, deferred tax assets related to tax attributes, corporate expenses and intercompany eliminations, our institutional asset management business and results of our consolidated investment entities, General Insurance portfolios in run-off as well as the historical results of our legacy insurance lines ceded to Fortitude Re.
SEGMENT RESULTS
We evaluate segment performance based on adjusted revenues and adjusted pre-tax income (loss). Adjusted revenues and adjusted pre-tax income (loss) are derived by excluding certain items from total revenues and pre-tax income (loss), respectively. These items generally fall into one or more of the following broad categories: legacy matters having no relevance to our current businesses or operating performance; adjustments to enhance transparency to the underlying economics of transactions; and measures that we believe to be common to the industry. Legal entities are attributed to each segment based upon the predominance of activity in that legal entity. For the items excluded from adjusted revenues and adjusted pre-tax income (loss), see the table below.
The following table presents AIG’s continuing operations by operating segment:
(in millions)Adjusted
Revenues		Net
Investment
Income		Interest
Expense		Amortization
of DAC		Adjusted
Pre-tax
Income
(Loss)
2023
General Insurance
North America$11,921 $— $1,671 $1,207 
(a)
International13,170 — 1,952 1,142 
(a)
Net investment income3,022 $3,022 — — 3,022 
Total General Insurance28,113 3,022 — 3,623 5,371 
Life and Retirement
Individual Retirement6,264 4,917 2 567 2,310 
Group Retirement2,734 1,999 1 82 758 
Life Insurance5,092 1,283 — 403 358 
Institutional Markets7,391 1,587 1 9 379 
Total Life and Retirement21,481 9,786 4 1,061 3,805 
Other Operations
Other Operations before consolidation and eliminations381 287 1,107 — (1,765)
AIG consolidation and eliminations(6)(1)(6)— (10)
Total Other Operations375 286 1,101 — (1,775)
Total49,969 13,094 1,105 4,684 7,401 
Reconciling items:
Changes in fair value of securities used to hedge guaranteed living benefits55 55 — — (16)
Change in the fair value of market risk benefits, net(b)
— — — — (2)
Changes in benefit reserves related to net realized gains (losses)— — — — 6 
Changes in the fair value of equity securities94 94 — — 94 
Other income (expense) - net(27)31 31 — — 
Gain (loss) on extinguishment of debt— — — — 37 
Net investment income on Fortitude Re funds withheld assets1,544 1,544 — — 1,544 
Net realized gains (losses) on Fortitude Re funds withheld assets(295)— — — (295)
Net realized gains (losses) on Fortitude Re funds withheld embedded derivative(2,007)— — — (2,007)
Net realized gains (losses)(c)
(2,536)(227)— — (2,496)
Net gain (loss) on divestitures and other— — — — 643 
Non-operating litigation reserves and settlements1 — — — (1)
Favorable prior year development and related amortization changes ceded under retroactive reinsurance agreements— — — — 62 
Net loss reserve discount benefit (charge)— — — — (195)
(in millions)Adjusted
Revenues		Net
Investment
Income		Interest
Expense		Amortization
of DAC		Adjusted
Pre-tax
Income
(Loss)
Pension expense related to a one-time lump sum payment to former employees— — — — (84)
Integration and transaction costs associated with acquiring or divesting businesses— — — — (252)
Restructuring and other costs— — — — (553)
Non-recurring costs related to regulatory or accounting changes— — — — (40)
Net impact from elimination of international reporting lag(d)
4 1 — 124 12 
Revenues and pre-tax income$46,802 $14,592 $1,136 $4,808 $3,858 
(in millions)Adjusted
Revenues		Net
Investment
Income		Interest
Expense		Amortization
of DAC		Adjusted
Pre-tax
Income
(Loss)
2022
General Insurance
North America$12,071 $— $1,585 $648 
(a)
International13,269 — 1,948 1,400 
(a)
Net investment income2,382 $2,382 — — 2,382 
Total General Insurance27,722 2,382 — 3,533 4,430 
Life and Retirement
Individual Retirement5,325 3,898 11 519 1,676 
Group Retirement2,744 2,005 6 80 786 
Life Insurance5,364 1,393 4 415 521 
Institutional Markets4,160 1,051 2 7 334 
Total Life and Retirement17,593 8,347 23 1,021 3,317 
Other Operations
Other Operations before consolidation and eliminations827 714 1,131 5 (1,542)
AIG consolidation and eliminations(435)(446)(56)(2)(405)
Total Other Operations392 268 1,075 3 (1,947)
Total45,707 10,997 1,098 4,557 5,800 
Reconciling items:
Changes in fair value of securities used to hedge guaranteed living benefits55 55 — — 30 
Change in the fair value of market risk benefits, net(b)
— — — — 958 
Changes in benefit reserves related to net realized gains (losses)— — — — 14 
Changes in the fair value of equity securities(53)(53)— — (53)
Other income (expense) - net(29)28 28 — — 
Gain (loss) on extinguishment of debt— — — — (303)
Net investment income on Fortitude Re funds withheld assets943 943 — — 943 
Net realized gains (losses) on Fortitude Re funds withheld assets(486)— — — (486)
Net realized gains (losses) on Fortitude Re funds withheld embedded derivative7,481 — — — 7,481 
Net realized gains (losses)(b)
(195)(244)(1)— (173)
Net gain (loss) on divestitures and other— — — — (82)
Non-operating litigation reserves and settlements49 — — — 41 
Favorable prior year development and related amortization changes ceded under retroactive reinsurance agreements— — — — 160 
Net loss reserve discount benefit (charge)— — — — 703 
Pension expense related to a one-time lump sum payment to former employees— — — — (60)
Integration and transaction costs associated with acquiring or divesting businesses— — — — (194)
Restructuring and other costs— — — — (570)
Non-recurring costs related to regulatory or accounting changes— — — — (37)
Net impact from elimination of international reporting lag(d)
978 41 — — 127 
Revenues and pre-tax income$54,450 $11,767 $1,125 $4,557 $14,299 
(in millions)Adjusted
Revenues		Net
Investment
Income		Interest
Expense		Amortization
of DAC		Adjusted
Pre-tax
Income
(Loss)
2021
General Insurance
North America$10,989 $— $1,333 $(47)
(a)
International14,068 — 2,197 1,102 
(a)
Net investment income3,304 $3,304 — — 3,304 
Total General Insurance28,361 3,304 — 3,530 4,359 
Life and Retirement
Individual Retirement5,922 4,338 61 447 2,297 
Group Retirement3,249 2,410 35 78 1,258 
Life Insurance5,286 1,619 25 427 453 
Institutional Markets5,117 1,154 9 6 546 
Total Life and Retirement19,574 9,521 130 958 4,554 
Other Operations
Other Operations before consolidation and eliminations1,338 1,112 1,220 37 (1,418)
AIG consolidation and eliminations(991)(996)(65)(1)(932)
Total Other Operations347 116 1,155 36 (2,350)
Total48,282 12,941 1,285 4,524 6,563 
Reconciling items:
Changes in fair value of securities used to hedge guaranteed living benefits60 60 — — 61 
Change in the fair value of market risk benefits, net(b)
— — — — 447 
Changes in benefit reserves related to net realized gains (losses)— — — — (15)
Changes in the fair value of equity securities(237)(237)— — (237)
Other income (expense) - net(24)33 33 — — 
Gain (loss) on extinguishment of debt— — — — (389)
Net investment income on Fortitude Re funds withheld assets1,971 1,971 — — 1,971 
Net realized gains (losses) on Fortitude Re funds withheld assets1,003 — — — 1,003 
Net realized gains (losses) on Fortitude Re funds withheld embedded derivative(603)— — — (603)
Net realized gains (losses)(b)
1,705 (156)(13)— 1,744 
Net gain (loss) on divestitures and other— — — — 3,044 
Non-operating litigation reserves and settlements— — — — (3)
Favorable prior year development and related amortization changes ceded under retroactive reinsurance agreements— — — — 186 
Net loss reserve discount benefit (charge)— — — — 193 
Pension expense related to a one-time lump sum payment to former employees— — — — (34)
Integration and transaction costs associated with acquiring or divesting businesses— — — — (83)
Restructuring and other costs— — — — (433)
Non-recurring costs related to regulatory or accounting changes— — — — (68)
Revenues and pre-tax income$52,157 $14,612 $1,305 $4,524 $13,347 
(a)General Insurance North America’s and General Insurance International’s Adjusted pre-tax income does not include Net investment income as the investment portfolio results are managed at the General Insurance level. Net investment income is shown separately as a component of General Insurance’s total Adjusted pre-tax income results.
(b)Includes realized gains and losses on certain derivative instruments used for non-qualifying (economic) hedging.
(c)Includes all net realized gains and losses except earned income (periodic settlements and changes in settlement accruals) on derivative instruments used for non-qualifying (economic) hedging or for asset replication and net realized gains and losses on Fortitude Re funds withheld assets held by AIG in support of Fortitude Re’s reinsurance obligations to AIG (Fortitude Re funds withheld assets).
(d)See Note 1.
The following table presents AIG’s year-end identifiable assets and capital expenditures by segment:
Year-End Identifiable AssetsCapital Expenditures
(in millions)2023202220232022
General Insurance$139,371 $147,083 $158 $68 
Life and Retirement375,197 352,694 43 102 
Other Operations24,738 22,451 39 40 
Total Assets$539,306 $522,228 $240 $210 
The following table presents AIG’s consolidated total revenues and real estate and other fixed assets, net of accumulated depreciation, by major geographic area:
Total Revenues*Real Estate and Other Fixed Assets,
Net of Accumulated Depreciation
(in millions)202320222021202320222021
North America$33,565 $39,618 $37,324 $1,006 $1,206 $1,230 
International13,237 14,832 14,833 372 387 610 
Consolidated$46,802 $54,450 $52,157 $1,378 $1,593 $1,840 
*Revenues are generally reported according to the geographic location of the segment. International revenues consists of revenues from our General Insurance International operating segment.