265 The reinsurance contract is accounted for as a derivative and is carried in Aegon’s statement of financial position at fair value. At  December 31, 2013, the contract had a value of EUR 22 million (2012: EUR 90 million). Aegon entered into a derivative program to  mitigate the overall exposure to equity market and interest rate risks associated with the reinsurance contract. This program involves  selling equity futures contracts (S&P 500, Nasdaq, FTSE100 and NKY225 in accordance with Aegon’s exposure) to mitigate the effect  of equity market movement on the reinsurance contract and the purchase of over-the-counter interest rate swaps to mitigate  the effect of movements in interest rates on the reinsurance contracts. Total Return Annuity (TRA) is an annuity product in the United States which provides customers with a pass-through of the total  return on an underlying portfolio of investment securities (typically a mix of corporate and convertible bonds) subject to a cumulative  minimum guarantee. Both the assets and liabilities are carried at fair value, however, due to the minimum guarantee not all of  the changes in the market value of the asset will be offset in the valuation of the liability. This product exists in both the fixed annuity  and life reinsurance lines of business and in both cases represents closed blocks. The product excluding the guarantees is fully  reinsured in the form of modified coinsurance, so only the liability for the minimum guarantee is recorded on Aegon’s books. Product balances as of December 31, 2013 were EUR 372 million in fixed annuities (2012: EUR 432 million) and EUR 104 million in life  reinsurance (2012: EUR 112 million). Certain variable insurance contracts in the United States also provide guaranteed minimum death benefits (GMDB) and guaranteed  minimum income benefits (GMIB). Under a GMDB, the beneficiaries receive the greater of the account balance or the guaranteed  amount upon the death of the insured. The net amount at risk for GMDB contracts is defined as the current GMDB in excess of  the capital account balance at the balance sheet date. The GMIB feature provides for minimum payments if the contractholder elects to convert to an immediate pay-out annuity.  The guaranteed amount is calculated using the total deposits made by the contractholder, less any withdrawals and sometimes  includes a roll-up or step-up feature that increases the value of the guarantee with interest or with increases in the account value.  The additional liability for guaranteed minimum benefits that are not bifurcated are determined (based on ASC 944) each period by  estimating the expected value of benefits in excess of the projected account balance and recognizing the excess over the accumulation  period based on total expected assessments. The estimates are reviewed regularly and any resulting adjustment to the additional  liability is recognized in the income statement. The benefits used in calculating the liabilities are based on the average benefits  payable over a range of stochastic scenarios. Where applicable, the calculation of the liability incorporates a percentage of  the potential annuitizations that may be elected by the contract holder. In the table below, no significant movements are shown at  incurred guarantee benefits due to differences in measurement compared to financial guarantees and life contingent guarantees in  the Netherlands. c. Life contingent guarantees in the United States b. Total return annuities