Voya 2013 Annual Report Download - page 351

ING U.S., Inc.
Notes to the Consolidated Financial Statements
(Dollar amounts in millions, unless otherwise stated)
amount of premiums written in each state. The Company has estimated this undiscounted liability, which is
included in Other liabilities on the Consolidated Balance Sheets, to be $19.2 and $51.3 as of December 31, 2013
and 2012, respectively. The Company has also recorded an asset, in Other assets on the Consolidated Balance
Sheets of $18.4 and $20.9 as of December 31, 2013 and 2012, respectively, for future credits to premium taxes.
The Company estimates its liabilities for future assessments under state insurance guaranty association laws. The
Company believes the reserves established are adequate for future assessments relating to insurance companies
that are currently subject to insolvency proceedings.
Restricted Assets
The Company is required to maintain assets on deposit with various regulatory authorities to support its
insurance operations. The Company may also post collateral in connection with certain securities lending,
repurchase agreements, funding agreements, credit facilities and derivative transactions. The components of the
fair value of the restricted assets were as follows as of December 31, 2013 and 2012:
2013 2012
Fixed maturity collateral pledged to FHLB .................... $2,333.4 $3,400.9
FHLB restricted stock(1) ................................... 99.1 144.6
Other fixed maturities-state deposits .......................... 251.0 262.1
Securities pledged(2) ...................................... 1,465.7 1,605.5
Total restricted assets ..................................... $4,149.2 $5,413.1
(1) Included in Other investments in the Consolidated Balance Sheets.
(2) Includes the fair value of loaned securities of $435.4 and $601.8 as of December 31, 2013 and
2012, respectively, which is included in Securities pledged on the Consolidated Balance Sheets. In
addition, as of December 31, 2013 and 2012, the Company delivered securities as collateral of
$1.0 billion, respectively, which was included in Securities pledged in the Consolidated Balance
Sheets.
Federal Home Loan Bank Funding Agreements
The Company is a member of the FHLB of Des Moines and the FHLB of Topeka and are required to pledge
collateral to back funding agreements issued to the FHLB. As of December 31, 2013 and 2012, the Company had
$1.8 billion and $2.6 billion in non-putable funding agreements, respectively, which are included in Contract
owner account balances on the Consolidated Balance Sheets. As of December 31, 2013 and 2012, the Company
had $265.0 in LOCs issued by the FHLBs, respectively. As of December 31, 2013 and 2012, assets with a market
value of approximately $2.0 billion and $3.1 billion, respectively, collateralized the FHLB funding agreements.
As of December 31, 2013 and 2012, assets with a market value of approximately $294.1 and $336.5,
respectively, collateralized the FHLB LOCs. Assets pledged to the FHLBs are included in Fixed maturities,
available-for-sale, on the Consolidated Balance Sheets.
Litigation and Regulatory Matters
The Company is a defendant in a number of litigation matters arising from the conduct of its business, both in the
ordinary course and otherwise. In some of these matters, claimants seek to recover very large or indeterminate
amounts, including compensatory, punitive, treble and exemplary damages. Modern pleading practice in the U.S.
permits considerable variation in the assertion of monetary damages and other relief. Claimants are not always
required to specify the monetary damages they seek or they may be required only to state an amount sufficient to
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