Company: L
Filing Date: 2025-02-11
Form Type: 10-K
Source: 0000060086-25-000036
Chunk: 379

Company: LOEWS CORP
Filing Date: 2025-02-11
Form: 10-K
Item: Item 3
Chunk 379
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 Net amount recognized$242 $673 $2 $3 Information for plans with projected and accumulated benefit obligations in excess of plan assets:Projected benefit obligation$136 $229 Accumulated benefit obligation136 143 $9 $11 Fair value of plan assets— 83 The accumulated benefit obligation for all defined benefit pension plans was $854 million and $2.0 billion at December 31, 2024 and 2023. Changes for the year ended December 31, 2024 include the impact of the pension settlement transaction discussed above and an actuarial gain of $29 million primarily driven by changes in the discount rate used to determine the benefit obligations. A total return approach is employed whereby a mix of equity, limited partnerships and fixed maturity securities are used to maximize the long-term return of plan assets for a prudent level of risk and to manage cash flows according to plan requirements. The target allocation of plan assets is 0% to 40% invested in equity securities and limited partnerships, with the remainder primarily invested in fixed maturity securities. The intent of this strategy is to minimize expenses by generating investment returns that exceed the growth of the plan liabilities over the long run. Risk tolerance is established after careful consideration of the plan liabilities, plan funded status and corporate financial conditions. The investment portfolios contain a diversified blend of fixed maturity, equity and short-term securities. Alternative investments, including limited partnerships, are used to enhance risk adjusted long-term returns while improving portfolio diversification. At December 31, 2024, $92 million is committed to fund future capital calls from various third party limited partnership investments in exchange for an ownership interest in the related partnerships. Investment risk is monitored through annual liability measurements, periodic asset/liability studies and quarterly investment portfolio reviews.

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The table below presents the estimated future minimum benefit payments at December 31, 2024.Expected future benefit paymentsPension BenefitsOther Postretirement Benefits(In millions)     2025$86 $3 202678 3 202781 3 202879 3 202972 2 2030 – 2034310 10 In 2025, it is expected that contributions of approximately $16 million will be made to pension plans and $1 million to postretirement health care and life insurance benefit plans.Pension plan assets measured at fair value on a recurring basis are summarized below.December 31, 2024Level 1Level 2Level 3Total(In millions)