Private equity fund investments included above are not redeemable, because distributions from the funds will be received when underlying investments of the funds are liquidated.
Private equity funds are generally expected to have 10-year lives at their inception, but these lives may be extended at the fund manager’s discretion, typically in one or two-year increments.
At December 31, 2018, assuming average original expected lives of 10 years for the funds, 14 percent of the total fair value using net asset value per share (or its equivalent) presented above would have expected remaining lives of three years or less, 43 percent between four and six years and 43 percent between seven and 10 years.
The hedge fund investments included above, which are carried at fair value, are generally redeemable monthly (35 percent), quarterly (32 percent), semi-annually (9 percent) and annually (24 percent), with redemption notices ranging from one day to 180 days.
At December 31, 2018, investments representing approximately 51 percent of the total fair value of these hedge fund investments had partial contractual redemption restrictions.
These partial redemption restrictions are generally related to one or more investments held in the hedge funds that the fund manager deemed to be illiquid.
The majority of these contractual restrictions, which may have been put in place at the fund’s inception or thereafter, have pre-defined end dates.
The majority of these restrictions are generally expected to be lifted by the end of 2019.
FAIR VALUE OPTION Under the fair value option, we may elect to measure at fair value financial assets and financial liabilities that are not otherwise required to be carried at fair value.
Subsequent changes in fair value for designated items are reported in earnings.
We elect the fair value option for certain hybrid securities given the complexity of bifurcating the economic components associated with the embedded derivatives.
For additional information related to embedded derivatives refer to Note 11 herein.
Additionally, we elect the fair value option for certain alternative investments when such investments are eligible for this election.
We believe this measurement basis is consistent with the applicable accounting guidance used by the respective investment company funds themselves.
For additional information on securities and other invested assets for which we have elected the fair value option refer to Note 6 herein.
The following table presents the gains or losses recorded related to the eligible instruments for which we elected the fair value option:
## Table 0 ##
(a) Includes certain hedge funds, private equity funds and other investment partnerships.
(b) Includes GIAs, notes, bonds and mortgages payable.
Interest income and dividend income on assets measured under the fair value option are recognized and included in Net investment income in the Consolidated Statements of Income with the exception of activity within AIG’s Other Operations category, which is included in Other income.
Interest expense on liabilities measured under the fair value option is reported in Other Income in the Consolidated Statements of Income.
For additional information about our policies for recognition, measurement, and disclosure of interest and dividend income see Note 6 herein.
8.
Reinsurance In the ordinary course of business, our insurance companies may use both treaty and facultative reinsurance to minimize their net loss exposure to any single catastrophic loss event or to an accumulation of losses from a number of smaller events or to provide greater diversification of our businesses.
In addition, our general insurance subsidiaries assume reinsurance from other insurance companies.
We determine the portion of the incurred but not reported (IBNR) loss that will be recoverable under our reinsurance contracts by reference to the terms of the reinsurance protection purchased.
This determination is necessarily based on the estimate of IBNR and accordingly, is subject to the same uncertainties as the estimate of IBNR.
Reinsurance assets include the balances due from reinsurance and insurance companies under the terms of our reinsurance agreements for paid and unpaid losses and loss adjustment expenses incurred, ceded unearned premiums and ceded future policy benefits for life and accident and health insurance contracts and benefits paid and unpaid.
Amounts related to paid and unpaid losses and benefits and loss expenses with respect to these reinsurance agreements are substantially collateralized.
We remain liable to the extent that our reinsurers do not meet their obligation under the reinsurance contracts, and as such, we regularly evaluate the financial condition of our reinsurers and monitor concentration of our credit risk.
The estimation of the allowance for doubtful accounts requires judgment for which key inputs typically include historical trends regarding uncollectible balances, disputes and credit events as well as specific reviews of balances in dispute or subject to credit impairment.
The allowance for doubtful accounts on reinsurance assets was $140 million and $187 million at December 31, 2018 and 2017, respectively.
Changes in the allowance for doubtful accounts on reinsurance assets are reflected in Policyholder benefits and losses incurred within the Consolidated Statements of Income.
The following table provides supplemental information for loss and benefit reserves, gross and net of ceded reinsurance:
## Table 1 ##
(a) Represents gross reinsurance assets, excluding allowances and reinsurance recoverable on paid losses.
SHORT-DURATION REINSURANCE Short-duration reinsurance is effected under reinsurance treaties and by negotiation on individual risks.
Certain of these reinsurance arrangements consist of excess of loss contracts that protect us against losses above stipulated amounts.
Ceded premiums are considered prepaid reinsurance premiums and are recognized as a reduction of premiums earned over the contract period in proportion to the protection received.
Amounts recoverable from reinsurers on short-duration contracts are estimated in a manner consistent with the claims liabilities associated with the reinsurance and presented as a component of Reinsurance assets.
Reinsurance premiums for assumed business are estimated based on information received from brokers, ceding companies and reinsurers.
Any subsequent differences arising on such estimates are recorded in the periods in which they are determined.
Assumed reinsurance premiums are earned primarily on a pro-rata basis over the terms of the reinsurance contracts and the portion of premiums relating to the unexpired terms of coverage is included in the reserve for unearned premiums.
Reinsurance premiums for assumed business are estimated based on information received from brokers, ceding companies and reinsureds.
Any subsequent differences arising on such estimates are recorded in the periods in which they are determined.
For both ceded and assumed reinsurance, risk transfer requirements must be met for reinsurance accounting to apply.
If risk transfer requirements are not met, the contract is accounted for as a deposit, resulting in the recognition of cash flows under the contract through a deposit asset or liability and not as revenue or expense.
To meet risk transfer requirements, a reinsurance contract must include both insurance risk, consisting of both underwriting and timing risk, and a reasonable possibility of a significant loss for the assuming entity.
Similar risk transfer criteria are used to determine whether directly written insurance contracts should be accounted for as insurance or as a deposit.
The following table presents the weighted average assumptions used to determine the net periodic benefit costs:
## Table 2 ##
* The non-U.
S.  plans reflect those assumptions that were most appropriate for the local economic environments of the subsidiaries providing such benefits.
Discount Rate Methodology The projected benefit cash flows under the U. S.  AIG Retirement Plan were discounted using the spot rates derived from the Mercer U. S.  Pension Discount Yield Curve at December 31, 2018 and 2017, which resulted in a single discount rate that would produce the same liability at the respective measurement dates.
The discount rates were 4.22 percent at December 31, 2018 and 3.61 percent at December 31, 2017.
The methodology was consistently applied for the respective years in determining the discount rates for the other U. S.  pension plans.
In general, the discount rates for the non-U.
S.  plans were developed using a similar methodology to the U. S.  AIG Retirement plan, by using country-specific Mercer Yield Curves.
The projected benefit obligation for AIG’s Japan pension plans represents approximately 52 percent and 50 percent of the total projected benefit obligations for our non-U.
S.  pension plans at December 31, 2018 and 2017, respectively.
The weighted average discount rate of 0.72 percent and 0.66 percent at December 31, 2018 and 2017, respectively, was selected by reference to the Mercer Yield Curve for Japan.
Plan Assets The investment strategy with respect to assets relating to our U. S.  and non-U.
S.  pension plans is designed to achieve investment returns that will provide for the benefit obligations of the plans over the long term, limit the risk of short-term funding shortfalls and maintain liquidity sufficient to address cash needs.
Accordingly, the asset allocation strategy is designed to maximize the investment rate of return while managing various risk factors, including, but not limited to, volatility relative to the benefit obligations, liquidity, diversification and concentration, and incorporates the risk/return profile applicable to each asset class.
There were no shares of AIG Common Stock included in the U. S.  and non-U.
S.  pension plans assets at December 31, 2018 or 2017.
Financial Assurance We must provide financial assurance to governmental agencies and a variety of other entities under applicable environmental regulations relating to our landfill operations for capping, closure and post-closure costs, and related to our performance under certain collection, landfill and transfer station contracts.
We satisfy these financial assurance requirements by providing surety bonds, letters of credit, or insurance policies (Financial Assurance Instruments), or trust deposits, which are included in restricted cash and marketable securities and other assets in our consolidated balance sheets.
The amount of the financial assurance requirements for capping, closure and post-closure costs is determined by applicable state environmental regulations.
The financial assurance requirements for capping, closure and post-closure costs may be associated with a portion of the landfill or the entire landfill.
Generally, states require a third-party engineering specialist to determine the estimated capping, closure and post-closure costs that are used to determine the required amount of financial assurance for a landfill.
The amount of financial assurance required can, and generally will, differ from the obligation determined and recorded under U. S.  GAAP.
The amount of the financial assurance requirements related to contract performance varies by contract.
Additionally, we must provide financial assurance for our insurance program and collateral for certain performance obligations.
We do not expect a material increase in financial assurance requirements during 2016, although the mix of Financial Assurance Instruments may change.
These Financial Assurance Instruments are issued in the normal course of business and are not considered indebtedness.
Because we currently have no liability for the Financial Assurance Instruments, they are not reflected in our consolidated balance sheets; however, we record capping, closure and post-closure liabilities and insurance liabilities as they are incurred.
Off-Balance Sheet Arrangements We have no off-balance sheet debt or similar obligations, other than operating leases and financial assurances, which are not classified as debt.
We have no transactions or obligations with related parties that are not disclosed, consolidated into or reflected in our reported financial position or results of operations.
We have not guaranteed any third-party debt.
Free Cash Flow We define free cash flow, which is not a measure determined in accordance with U. S.  GAAP, as cash provided by operating activities less purchases of property and equipment, plus proceeds from sales of property and equipment, as presented in our consolidated statements of cash flows.
The following table calculates our free cash flow for the years ended December 31, 2015, 2014 and 2013 (in millions of dollars):
## Table 3 ##
For a discussion of the changes in the components of free cash flow, see our discussion regarding Cash Flows Provided By Operating Activities and Cash Flows Used In Investing Activities contained elsewhere in this Management’s Discussion and Analysis of Financial Condition and Results of Operations.

<table><tr><td> Years Ended December 31,</td><td colspan="3">Gain (Loss)</td></tr><tr><td><i>(in millions)</i></td><td>2018</td><td>2017</td><td>2016</td></tr><tr><td> Assets:</td><td></td><td></td><td></td></tr><tr><td>Bond and equity securities</td><td>$343</td><td>$1,646</td><td>$447</td></tr><tr><td>Alternative investments<sup>(a)</sup></td><td>213</td><td>509</td><td>28</td></tr><tr><td>Other, including Short-term investments</td><td>-</td><td>1</td><td>-</td></tr><tr><td> Liabilities:</td><td></td><td></td><td></td></tr><tr><td>Long-term debt<sup>(b)</sup></td><td>-1</td><td>-49</td><td>-9</td></tr><tr><td>Other liabilities</td><td>-</td><td>-2</td><td>-</td></tr><tr><td> Total gain</td><td>$555</td><td>$2,105</td><td>$466</td></tr></table>
<table><tr><td> At December 31,</td><td rowspan="2">2018 As Reported</td><td></td><td rowspan="2">2017 As Reported</td><td></td></tr><tr><td><i>(in millions)</i></td><td>Net of Reinsurance</td><td>Net of Reinsurance</td></tr><tr><td>Liability for unpaid losses and loss adjustment expenses</td><td>$-83,639</td><td>$-51,949</td><td>$-78,393</td><td>$-51,685</td></tr><tr><td>Future policy benefits for life and accident and health insurance contracts</td><td>-44,935</td><td>-43,936</td><td>-45,432</td><td>-44,457</td></tr><tr><td>Reserve for unearned premiums</td><td>-19,248</td><td>-16,300</td><td>-19,030</td><td>-15,890</td></tr><tr><td>Reinsurance assets<sup>(a)</sup></td><td>35,637</td><td></td><td>30,823</td><td></td></tr></table>
<table><tr><td></td><td colspan="2">Pension</td><td colspan="2">Postretirement</td><td></td></tr><tr><td> </td><td>U.S. Plans</td><td>Non-U.S. Plans *</td><td>U.S. Plans</td><td>Non-U.S. Plans<sup>*</sup></td><td></td></tr><tr><td> For the Year Ended December 31, 2018</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Discount rate</td><td>3.61%</td><td>1.60%</td><td>3.53%</td><td> 3.59</td><td> %</td></tr><tr><td>Rate of compensation increase</td><td>N/A</td><td>2.27%</td><td>N/A</td><td> 3.00</td><td> %</td></tr><tr><td>Expected return on assets</td><td>6.75%</td><td>2.78%</td><td>N/A</td><td> N/A</td><td> </td></tr><tr><td> For the Year Ended December 31, 2017</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Discount rate</td><td>4.15%</td><td>1.50%</td><td>4.01%</td><td>3.95%</td><td></td></tr><tr><td>Rate of compensation increase</td><td>N/A</td><td>2.50%</td><td>N/A</td><td>3.38%</td><td></td></tr><tr><td>Expected return on assets</td><td>7.00%</td><td>2.92%</td><td>N/A</td><td>N/A</td><td></td></tr><tr><td> For the Year Ended December 31, 2016</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td>Discount rate</td><td>4.33%</td><td>2.17%</td><td>4.21%</td><td>4.09%</td><td></td></tr><tr><td>Rate of compensation increase</td><td>N/A%</td><td>2.64%</td><td>N/A</td><td>3.43%</td><td></td></tr><tr><td>Expected return on assets</td><td>7.00%</td><td>3.28%</td><td>N/A</td><td>N/A</td><td></td></tr></table>
<table><tr><td></td><td>2015</td><td>2014</td><td>2013</td></tr><tr><td>Cash provided by operating activities</td><td>$1,679.7</td><td>$1,529.8</td><td>$1,548.2</td></tr><tr><td>Purchases of property and equipment</td><td>-945.6</td><td>-862.5</td><td>-880.8</td></tr><tr><td>Proceeds from sales of property and equipment</td><td>21.2</td><td>35.7</td><td>23.9</td></tr><tr><td>Free cash flow</td><td>$755.3</td><td>$703.0</td><td>$691.3</td></tr></table>

Question: What's the average of U.S. Plans in 2016 for Pension?
Answer: 3.77667