The Hartford 2008 Annual Report Download - page 395

Table of Contents
THE HARTFORD FINANCIAL SERVICES GROUP, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
4. Fair Value Measurements (continued)
Roll-forward of Financial Instruments Measured at Fair Value on a Recurring Basis Using Significant Unobservable
Inputs (Level 3) for the twelve months from January 1, 2008 to December 31, 2008
Changes in
unrealized
gains (losses)
included in net
income (loss)
Total related to
SFAS 157 realized/unrealized SFAS 157 financial
Fair value gains (losses) Purchases, Transfers Fair value instruments
as of included in: issuances, in and/or as of still held at
January 1, Net income AOCI and (out) of December 31, December 31,
2008 [2], [3] [5] settlements Level 3 [7] 2008 2008 [3]
Assets
Fixed maturities $ 17,996 $ (988) $ (4,178) $ 858 $ (1,878) $ 11,810 $ (811)
Equity securities,
available-for-sale 1,339 (77) 11 64 (796) 541 (67)
Freestanding derivatives
[4]
Customized
derivatives used to
hedge US GMWB 91 850 — — — 941 850
Other freestanding
derivatives used to
hedge US GMWB 564 1,161 — (29) — 1,696 1,043
Macro Hedge
Program 18 85 — 34 — 137 102
Other freestanding
derivatives (419) (471) 16 491 102 (281) (301)
Total Freestanding
Derivatives 254 1,625 16 496 102 2,493 1,694
Reinsurance recoverable
for US GMWB [1],
[2] [10] 238 962 — 102 — 1,302 962
Separate accounts [6] 701 (204) — (26) 315 786 (73)
Supplemental Asset
Information:
Total freestanding
derivatives used to
hedge US GMWB
including those in
Levels 1, 2 and 3 [11] 643 3,374 — (1,353) — 2,664 3,374
Liabilities
Other policyholder funds
and benefits payable
accounted for at fair
value [2]
US GMWB $ (1,433) $ (4,967) $ — $ (126) $ — $ (6,526) $ (4,967)
UK GMWB (17) (56) 13 (4) — (64) (57)
Japan GMWB — (26) (2) (2) — (30) (26)
Japan GMAB (22) 25 (1) (2) — — 25
Institutional Notes (24) (17) — — — (41) (17)
Equity Linked Notes (21) 13 — — — (8) 13
Total other policyholder
funds and benefits
payable accounted for
at fair value [2] (1,517) (5,028) 10 (134) — (6,669) (5,029)
Other Liabilities
Derivative
Liability-Warrants
[8] — 110 — (273) — (163) 110
Consumer notes (5) 5 — (5) — (5) 5
Source: HARTFORD FINANCIAL S, 10-K, February 12, 2009