v3.24.0.1
Lending Activities (Tables)
 12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Composition of Mortgages and Other Loans Receivable
The following table presents the composition of Mortgage and other loans receivable, net:
(in millions)December 31, 2023December 31, 2022
Commercial mortgages(a)
$38,009 $37,128 
Residential mortgages8,689 6,130 
Life insurance policy loans1,753 1,758 
Commercial loans, other loans and notes receivable(b)
3,940 5,305 
Total mortgage and other loans receivable(c)
52,391 50,321 
Allowance for credit losses(c)(d)
(838)(716)
Mortgage and other loans receivable, net(c)
$51,553 $49,605 
(a)Commercial mortgages primarily represent loans for apartments, offices and retail properties, with exposures in New York and California representing the largest geographic concentrations (aggregating approximately 18 percent and 11 percent, respectively, at December 31, 2023 and 19 percent and 11 percent, respectively, at December 31, 2022).
(b)There were no loans that were held for sale carried at lower of cost or market as of December 31, 2023. The net carrying value of loans carried at lower of cost or market was $170 million as of 2022.
(c)Excludes $37.6 billion at both December 31, 2023 and 2022 of loan receivable from AIGFP, which has a full allowance for credit losses, recognized upon the deconsolidation of AIGFP. For additional information, see Note 1.
(d)Does not include allowance for credit losses of $67 million and $69 million, respectively, at December 31, 2023 and 2022, in relation to off-balance-sheet commitments to fund commercial mortgage loans, which is recorded in Other liabilities.
Credit Quality
The following table presents debt service coverage ratios(a) for commercial mortgages by year of vintage:
December 31, 202320232022202120202019PriorTotal
(in millions)
>1.2X$2,555 $6,209 $2,349 $1,387 $4,969 $13,459 $30,928 
1.00 - 1.20X295 1,149 1,574 369 177 2,632 6,196 
<1.00X— 50 — — — 835 885 
Total commercial mortgages$2,850 $7,408 $3,923 $1,756 $5,146 $16,926 $38,009 
December 31, 202220222021202020192018PriorTotal
(in millions)
>1.2X$5,518 $2,457 $1,710 $4,985 $4,120 $11,663 $30,453 
1.00 - 1.20X910 898 473 416 567 1,353 4,617 
<1.00X45 — 23 52 744 1,194 2,058 
Total commercial mortgages$6,473 $3,355 $2,206 $5,453 $5,431 $14,210 $37,128 
The following table presents loan-to-value ratios(b) for commercial mortgages by year of vintage:
December 31, 202320232022202120202019PriorTotal
(in millions)
Less than 65%$2,446 $4,629 $2,741 $1,303 $2,832 $11,571 $25,522 
65% to 75%290 1,763 794 288 1,937 3,220 8,292 
76% to 80%— 375 99 — 377 340 1,191 
Greater than 80%114 641 289 165 — 1,795 3,004 
Total commercial mortgages$2,850 $7,408 $3,923 $1,756 $5,146 $16,926 $38,009 
December 31, 202220222021202020192018PriorTotal
(in millions)
Less than 65%$5,425 $2,548 $1,775 $3,958 $3,016 $10,739 $27,461 
65% to 75%998 517 405 1,445 1,487 1,393 6,245 
76% to 80%50 52 — — 168 229 499 
Greater than 80%— 238 26 50 760 1,849 2,923 
Total commercial mortgages$6,473 $3,355 $2,206 $5,453 $5,431 $14,210 $37,128 
(a)The debt service coverage ratio compares a property’s net operating income to its debt service payments, including principal and interest. Our weighted average debt service coverage ratio was 1.9x at both periods ended December 31, 2023 and December 31, 2022. The debt service coverage ratios are updated when additional relevant information becomes available.
(b)The loan-to-value ratio compares the current unpaid principal balance of the loan to the estimated fair value of the underlying property collateralizing the loan. Our weighted average loan-to-value ratio was 59 percent at both periods ended December 31, 2023 and December 31, 2022. The loan-to-value ratios have been updated within the last three months to reflect the current carrying values of the loans. We update the valuations of collateral properties by obtaining independent appraisals, generally at least once per year.
The following table presents supplementary credit quality information related to commercial mortgages:
Number
of
Loans		ClassPercent
of
Total
(dollars in millions)ApartmentsOfficesRetailIndustrialHotelOthersTotal
December 31, 2023
Past Due Status:
In good standing610$15,129 $9,679 $4,263 $6,367 $2,053 $446 $37,937 100 %
90 days or less delinquent1— 29 — — — — 29 — 
>90 days delinquent or in process of foreclosure(a)
1— — 43 — — — 43 — 
Total(b)
612$15,129 $9,708 $4,306 $6,367 $2,053 $446 $38,009 100 %
Allowance for credit losses$94 $415 $109 $90 $38 $6 $752 2 %
Number
of
Loans		ClassPercent
of
Total
(dollars in millions)ApartmentsOfficesRetailIndustrialHotelOthersTotal
December 31, 2022
Past Due Status:
In good standing625$14,597 $10,102 $3,774 $6,006 $2,027 $407 $36,913 99 %
90 days or less delinquent—— — — — — — — — 
>90 days delinquent or in process of foreclosure(a)
4— 173 42 — — — 215 1 
Total(b)
629$14,597 $10,275 $3,816 $6,006 $2,027 $407 $37,128 100 %
Allowance for credit losses$100 $351 $81 $71 $29 $8 $640 2 %
(a)Includes $156 million of Office loans supporting the Fortitude Re funds withheld arrangements, greater than 90 days delinquent or in process of foreclosure, at December 31, 2022. Office loans supporting the Fortitude Re funds have been foreclosed and are reported in Other invested assets in the Consolidated Balance Sheets at December 31, 2023.
(b)Does not reflect allowance for credit losses.
The following table presents credit quality performance indicators for residential mortgages by year of vintage:
December 31, 202320232022202120202019PriorTotal
(in millions)
FICO*:
780 and greater$514 $589 $2,283 $622 $240 $608 $4,856 
720 - 7791,121 625 560 169 99 243 2,817 
660 - 719313 257 113 40 37 128 888 
600 - 6592 20 11 8 9 53 103 
Less than 600— 1 2 2 4 16 25 
Total residential mortgages$1,950 $1,492 $2,969 $841 $389 $1,048 $8,689 
December 31, 202220222021202020192018PriorTotal
(in millions)
FICO*:
780 and greater$296 $2,204 $654 $232 $77 $567 $4,030 
720 - 779536 728 168 76 32 169 1,709 
660 - 719163 80 28 16 9 62 358 
600 - 6592 4 2 2 2 14 26 
Less than 600— — — 1 — 6 7 
Total residential mortgages$997 $3,016 $852 $327 $120 $818 $6,130 
*Fair Isaac Corporation (FICO) is the credit quality indicator used to evaluate consumer credit risk for residential mortgage loan borrowers and have been updated within the last twelve months.
Allowance for Credit Loss
The following table presents a rollforward of the changes in the allowance for credit losses on Mortgage and other loans receivable(a):
Years Ended December 31,
2023(b)
20222021
(in millions)Commercial
Mortgages		Other
Loans		TotalCommercial
Mortgages		Other
Loans		TotalCommercial
Mortgages		Other
Loans		Total
Allowance, beginning of year$640 $76 $716 $545 $84 $629 $685 $129 $814 
Loans charged off(109)— (109)(17)— (17)(2)— (2)
Net charge-offs(109)— (109)(17)— (17)(2)— (2)
Addition to (release of) allowance for loan losses221 10 231 112 (8)104 (138)(26)(164)
Divestitures— — — — — — — (19)(19)
Allowance, end of year
$752 $86 $838 $640 $76 $716 $545 $84 $629 
(a)Does not include allowance for credit losses of $67 million, $69 million and $71 million, respectively, at December 31, 2023, 2022 and 2021 in relation to off-balance-sheet commitments to fund commercial mortgage loans, which is recorded in Other liabilities.
(b)Excludes $37.6 billion at both December 31, 2023 and 2022, of loan receivable from AIGFP, which has a full allowance for credit losses, recognized upon the deconsolidation of AIGFP. For additional information, see Note 1.