v3.25.2
Policy Liabilities
 6 Months Ended
Jun. 30, 2025
Policyholder Account Balance [Abstract]  
Policy Liabilities
Note 6—Policy Liabilities
The liability for future policy benefits is determined based on the net level premium method, which requires the liability be calculated as the present value of estimated future policyholder benefits and the related termination expenses, less the present value of estimated future net premiums to be collected from policyholders.
The following tables summarize balances and changes in the net liability for future policy benefits, before reinsurance, for traditional life long-duration contracts for the three and six month periods ended June 30, 2025 and 2024:
Life
Present value of expected future net premiums
American IncomeDTCLiberty NationalOtherTotal
Balance at January 1, 2024
$4,681,888 $6,052,651 $1,129,716 $478,052 $12,342,307 
Beginning balance at original discount rates4,523,329 5,664,259 1,077,831 443,949 11,709,368 
Effect of changes in assumptions on future cash flows
— — — — — 
Effect of actual variances from expected experience(113,699)(122,971)(17,268)(7,321)(261,259)
Adjusted balance at January 1, 2024
4,409,630 5,541,288 1,060,563 436,628 11,448,109 
Issuances(1)
412,701 287,040 60,219 12,156 772,116 
Interest accrual(2)
109,168 147,351 27,775 11,505 295,799 
Net premiums collected(3)
(274,166)(305,391)(67,915)(22,738)(670,210)
Effect of changes in the foreign exchange rate(9,222)— — — (9,222)
Ending balance at original discount rates4,648,111 5,670,288 1,080,642 437,551 11,836,592 
Effect of change from original to current discount rates(12,208)140,230 4,591 12,332 144,945 
Balance at June 30, 2024
$4,635,903 $5,810,518 $1,085,233 $449,883 $11,981,537 
Balance at January 1, 2025
$4,645,917 $5,622,906 $1,048,447 $440,047 $11,757,317 
Beginning balance at original discount rates4,656,710 5,504,912 1,047,020 430,276 11,638,918 
Effect of changes in assumptions on future cash flows
— — — — — 
Effect of actual variances from expected experience(112,710)(112,667)(13,776)(8,888)(248,041)
Adjusted balance at January 1, 2025
4,544,000 5,392,245 1,033,244 421,388 11,390,877 
Issuances(1)
380,213 257,099 54,393 12,114 703,819 
Interest accrual(2)
113,641 144,532 27,056 11,211 296,440 
Net premiums collected(3)
(281,023)(295,271)(66,699)(21,904)(664,897)
Effect of changes in the foreign exchange rate14,630 — — — 14,630 
Ending balance at original discount rates4,771,461 5,498,605 1,047,994 422,809 11,740,869 
Effect of change from original to current discount rates46,620 183,765 15,168 13,975 259,528 
Balance at June 30, 2025
$4,818,081 $5,682,370 $1,063,162 $436,784 $12,000,397 
(1)Issuances represent the present value, using the original discount rate, of the expected net premiums related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected net premiums, as well as the interest on actual net premiums earned during the period, using the original interest rate.
(3)Net premiums collected represent the product of the current period net premium ratio and the gross premiums collected during the period on the in force business.
Life
Present value of expected future net premiums
American IncomeDTCLiberty NationalOtherTotal
Balance at April 1, 2024
$4,652,671 $5,945,259 $1,102,209 $464,169 $12,164,308 
Beginning balance at original discount rates4,596,138 5,698,050 1,073,485 442,392 11,810,065 
Effect of changes in assumptions on future cash flows
— — — — — 
Effect of actual variances from expected experience(65,450)(86,743)(6,820)(5,471)(164,484)
Adjusted balance at April 1, 2024
4,530,688 5,611,307 1,066,665 436,921 11,645,581 
Issuances(1)
200,853 137,809 34,056 6,227 378,945 
Interest accrual(2)
55,345 73,931 13,936 5,741 148,953 
Net premiums collected(3)
(138,480)(152,759)(34,015)(11,338)(336,592)
Effect of changes in the foreign exchange rate(295)— — — (295)
Ending balance at original discount rates4,648,111 5,670,288 1,080,642 437,551 11,836,592 
Effect of change from original to current discount rates(12,208)140,230 4,591 12,332 144,945 
Balance at June 30, 2024
$4,635,903 $5,810,518 $1,085,233 $449,883 $11,981,537 
Balance at April 1, 2025
$4,757,044 $5,686,115 $1,058,696 $440,270 $11,942,125 
Beginning balance at original discount rates4,719,733 5,512,271 1,045,143 426,436 11,703,583 
Effect of changes in assumptions on future cash flows
— — — — — 
Effect of actual variances from expected experience(61,093)(73,750)(5,858)(5,199)(145,900)
Adjusted balance at April 1, 2025
4,658,640 5,438,521 1,039,285 421,237 11,557,683 
Issuances(1)
184,580 135,319 28,611 6,902 355,412 
Interest accrual(2)
57,175 72,325 13,535 5,586 148,621 
Net premiums collected(3)
(141,459)(147,560)(33,437)(10,916)(333,372)
Effect of changes in the foreign exchange rate12,525 — — — 12,525 
Ending balance at original discount rates4,771,461 5,498,605 1,047,994 422,809 11,740,869 
Effect of change from original to current discount rates46,620 183,765 15,168 13,975 259,528 
Balance at June 30, 2025
$4,818,081 $5,682,370 $1,063,162 $436,784 $12,000,397 
(1)Issuances represent the present value, using the original discount rate, of the expected net premiums related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected net premiums, as well as the interest on actual net premiums earned during the period, using the original interest rate.
(3)Net premiums collected represent the product of the current period net premium ratio and the gross premiums collected during the period on the in force business.
Life
Present value of expected future policy benefits
American IncomeDTCLiberty NationalOtherTotal
Balance at January 1, 2024
$10,163,627 $9,714,516 $3,605,392 $4,239,623 $27,723,158 
Beginning balance at original discount rates9,061,833 8,656,752 3,338,252 3,506,859 24,563,696 
Effect of changes in assumptions on future cash flows— — — — — 
Effect of actual variances from expected experience(121,945)(129,976)(19,337)(10,212)(281,470)
Adjusted balance at January 1, 2024
8,939,888 8,526,776 3,318,915 3,496,647 24,282,226 
Issuances(1)
412,703 287,041 60,221 12,156 772,121 
Interest accrual(2)
243,096 236,977 89,276 104,571 673,920 
Benefit payments(3)
(220,560)(301,894)(111,881)(68,051)(702,386)
Effect of changes in the foreign exchange rate(21,601)— — — (21,601)
Ending balance at original discount rates9,353,526 8,748,900 3,356,531 3,545,323 25,004,280 
Effect of change from original to current discount rates457,881 540,934 68,237 436,575 1,503,627 
Balance at June 30, 2024
$9,811,407 $9,289,834 $3,424,768 $3,981,898 $26,507,907 
Balance at January 1, 2025
$9,870,692 $9,125,112 $3,377,517 $3,960,963 $26,334,284 
Beginning balance at original discount rates9,508,588 8,660,948 3,340,219 3,582,068 25,091,823 
Effect of changes in assumptions on future cash flows— — — — — 
Effect of actual variances from expected experience(123,908)(122,494)(17,717)(12,945)(277,064)
Adjusted balance at January 1, 2025
9,384,680 8,538,454 3,322,502 3,569,123 24,814,759 
Issuances(1)
380,214 257,097 54,393 12,115 703,819 
Interest accrual(2)
256,757 239,097 89,565 107,021 692,440 
Benefit payments(3)
(226,848)(291,899)(107,656)(70,952)(697,355)
Effect of changes in the foreign exchange rate34,732 — — — 34,732 
Ending balance at original discount rates9,829,535 8,742,749 3,358,804 3,617,307 25,548,395 
Effect of change from original to current discount rates404,619 535,396 63,014 391,078 1,394,107 
Balance at June 30, 2025
$10,234,154 $9,278,145 $3,421,818 $4,008,385 $26,942,502 
(1)Issuances represent the present value, using the original discount rate, of the expected future policy benefits related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected future policy benefits, as well as the interest on actual benefits and expenses paid during the period, using the original interest rate.
(3)Benefit payments represent the release of the present value, using the original discount rate, of the actual future policy benefits incurred during the period due to death, surrender, and maturity benefit payments based on the revised expected assumptions.
Life
Present value of expected future policy benefits
American IncomeDTCLiberty NationalOtherTotal
Balance at April 1, 2024
$9,958,093 $9,500,215 $3,499,742 $4,103,892 $27,061,942 
Beginning balance at original discount rates9,216,265 8,728,403 3,340,412 3,527,882 24,812,962 
Effect of changes in assumptions on future cash flows— — — — — 
Effect of actual variances from expected experience(69,724)(93,532)(8,889)(7,345)(179,490)
Adjusted balance at April 1, 2024
9,146,541 8,634,871 3,331,523 3,520,537 24,633,472 
Issuances(1)
200,858 137,810 34,057 6,224 378,949 
Interest accrual(2)
122,894 119,052 44,723 52,436 339,105 
Benefit payments(3)
(115,802)(142,833)(53,772)(33,874)(346,281)
Effect of changes in the foreign exchange rate(965)— — — (965)
Ending balance at original discount rates9,353,526 8,748,900 3,356,531 3,545,323 25,004,280 
Effect of change from original to current discount rates457,881 540,934 68,237 436,575 1,503,627 
Balance at June 30, 2024
$9,811,407 $9,289,834 $3,424,768 $3,981,898 $26,507,907 
Balance at April 1, 2025
$10,112,896 $9,253,740 $3,415,857 $4,009,979 $26,792,472 
Beginning balance at original discount rates9,671,087 8,709,934 3,347,430 3,600,322 25,328,773 
Effect of changes in assumptions on future cash flows— — — — — 
Effect of actual variances from expected experience(68,094)(80,546)(9,006)(7,498)(165,144)
Adjusted balance at April 1, 2025
9,602,993 8,629,388 3,338,424 3,592,824 25,163,629 
Issuances(1)
184,580 135,318 28,612 6,905 355,415 
Interest accrual(2)
129,298 119,903 44,830 53,634 347,665 
Benefit payments(3)
(117,722)(141,860)(53,062)(36,056)(348,700)
Effect of changes in the foreign exchange rate30,386 — — — 30,386 
Ending balance at original discount rates9,829,535 8,742,749 3,358,804 3,617,307 25,548,395 
Effect of change from original to current discount rates404,619 535,396 63,014 391,078 1,394,107 
Balance at June 30, 2025
$10,234,154 $9,278,145 $3,421,818 $4,008,385 $26,942,502 
(1)Issuances represent the present value, using the original discount rate, of the expected future policy benefits related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected future policy benefits, as well as the interest on actual benefits and expenses paid during the period, using the original interest rate.
(3)Benefit payments represent the release of the present value, using the original discount rate, of the actual future policy benefits incurred during the period due to death, surrender, and maturity benefit payments based on the expected assumptions.
Life
Net liability for future policy benefits as of June 30, 2024
American IncomeDTCLiberty NationalOtherTotal
Net liability for future policy benefits at original discount rates
$4,705,415 $3,078,612 $2,275,889 $3,107,772 $13,167,688 
Effect of changes in discount rate assumptions470,089 400,704 63,646 424,243 1,358,682 
Other adjustments(1)
194 — — 34 228 
Net liability for future policy benefits, after other adjustments, at current discount rates
5,175,698 3,479,316 2,339,535 3,532,049 14,526,598 
Reinsurance recoverable
(170)— (7,830)(35,403)(43,403)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates
$5,175,528 $3,479,316 $2,331,705 $3,496,646 $14,483,195 
(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).



Life
Net liability for future policy benefits as of June 30, 2025
American IncomeDTCLiberty NationalOtherTotal
Net liability for future policy benefits at original discount rates
$5,058,074 $3,244,144 $2,310,810 $3,194,498 $13,807,526 
Effect of changes in discount rate assumptions357,999 351,631 47,846 377,103 1,134,579 
Other adjustments(1)
75 — — 35 110 
Net liability for future policy benefits, after other adjustments, at current discount rates
5,416,148 3,595,775 2,358,656 3,571,636 14,942,215 
Reinsurance recoverable
(177)— (7,984)(14)(8,175)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates
$5,415,971 $3,595,775 $2,350,672 $3,571,622 $14,934,040 
(1)Other adjustments include the effects of flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).
The following tables summarize balances and changes in the net liability for future policy benefits for long-duration health contracts for the three and six month periods ended June 30, 2025 and 2024:
Health
Present value of expected future net premiums
United AmericanFamily HeritageLiberty NationalAmerican IncomeDTCTotal
Balance at January 1, 2024
$3,697,771 $1,711,741 $358,472 $206,381 $115,363 $6,089,728 
Beginning balance at original discount rates3,625,803 1,783,173 348,570 201,869 109,880 6,069,295 
Effect of changes in assumptions on future cash flows
— — — — — — 
Effect of actual variances from expected experience(37,074)(31,290)(21,165)(7,058)(2,462)(99,049)
Adjusted balance at January 1, 2024
3,588,729 1,751,883 327,405 194,811 107,418 5,970,246 
Issuances(1)
191,794 128,874 29,015 22,124 8,503 380,310 
Interest accrual(2)
84,630 36,717 8,347 4,642 2,760 137,096 
Net premiums collected(3)
(145,045)(93,746)(25,833)(11,871)(5,434)(281,929)
Effect of changes in the foreign exchange rate— — — (839)— (839)
Ending balance at original discount rates3,720,108 1,823,728 338,934 208,867 113,247 6,204,884 
Effect of change from original to current discount rates(61,617)(132,931)(1,193)(2,978)1,629 (197,090)
Balance at June 30, 2024
$3,658,491 $1,690,797 $337,741 $205,889 $114,876 $6,007,794 
Balance at January 1, 2025
$3,885,530 $1,734,875 $337,119 $223,247 $133,377 $6,314,148 
Beginning balance at original discount rates3,948,856 1,867,873 338,275 225,141 131,919 6,512,064 
Effect of changes in assumptions on future cash flows
— — — — — — 
Effect of actual variances from expected experience(3,085)(27,223)(17,307)(9,744)(299)(57,658)
Adjusted balance at January 1, 2025
3,945,771 1,840,650 320,968 215,397 131,620 6,454,406 
Issuances(1)
228,892 135,477 26,889 20,650 11,434 423,342 
Interest accrual(2)
95,079 39,696 8,053 5,305 3,403 151,536 
Net premiums collected(3)
(163,600)(100,206)(26,730)(13,457)(6,971)(310,964)
Effect of changes in the foreign exchange rate— — — 1,274 — 1,274 
Ending balance at original discount rates4,106,142 1,915,617 329,180 229,169 139,486 6,719,594 
Effect of change from original to current discount rates5,981 (104,771)2,671 661 3,582 (91,876)
Balance at June 30, 2025
$4,112,123 $1,810,846 $331,851 $229,830 $143,068 $6,627,718 
(1)Issuances represent the present value, using the original discount rate, of the expected net premiums related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected net premiums, as well as the interest on actual net premiums earned during the period, using the original interest rate.
(3)Net premiums collected represent the product of the current period net premium ratio and the gross premiums collected during the period on the in force business.
Health
Present value of expected future net premiums
United AmericanFamily HeritageLiberty NationalAmerican IncomeDTCTotal
Balance at April 1, 2024
$3,653,395 $1,694,026 $345,441 $203,795 $113,879 $6,010,536 
Beginning balance at original discount rates3,661,448 1,801,792 342,165 203,850 110,863 6,120,118 
Effect of changes in assumptions on future cash flows
— — — — — — 
Effect of actual variances from expected experience3,458 (14,197)(9,755)(3,508)(144)(24,146)
Adjusted balance at April 1, 2024
3,664,906 1,787,595 332,410 200,342 110,719 6,095,972 
Issuances(1)
87,190 64,865 15,457 12,174 3,893 183,579 
Interest accrual(2)
42,808 18,614 4,119 2,360 1,392 69,293 
Net premiums collected(3)
(74,796)(47,346)(13,052)(6,032)(2,757)(143,983)
Effect of changes in the foreign exchange rate— — — 23 — 23 
Ending balance at original discount rates3,720,108 1,823,728 338,934 208,867 113,247 6,204,884 
Effect of change from original to current discount rates(61,617)(132,931)(1,193)(2,978)1,629 (197,090)
Balance at June 30, 2024
$3,658,491 $1,690,797 $337,741 $205,889 $114,876 $6,007,794 
Balance at April 1, 2025
$3,993,693 $1,777,351 $332,931 $227,273 $138,383 $6,469,631 
Beginning balance at original discount rates4,005,620 1,888,954 331,182 226,852 135,412 6,588,020 
Effect of changes in assumptions on future cash flows
— — — — — — 
Effect of actual variances from expected experience25,129 (13,323)(6,587)(4,863)1,116 1,472 
Adjusted balance at April 1, 2025
4,030,749 1,875,631 324,595 221,989 136,528 6,589,492 
Issuances(1)
111,268 70,716 14,233 10,209 4,770 211,196 
Interest accrual(2)
48,210 20,056 3,962 2,662 1,723 76,613 
Net premiums collected(3)
(84,085)(50,786)(13,610)(6,743)(3,535)(158,759)
Effect of changes in the foreign exchange rate— — — 1,052 — 1,052 
Ending balance at original discount rates4,106,142 1,915,617 329,180 229,169 139,486 6,719,594 
Effect of change from original to current discount rates5,981 (104,771)2,671 661 3,582 (91,876)
Balance at June 30, 2025
$4,112,123 $1,810,846 $331,851 $229,830 $143,068 $6,627,718 
(1)Issuances represent the present value, using the original discount rate, of the expected net premiums related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected net premiums, as well as the interest on actual net premiums earned during the period, using the original interest rate.
(3)Net premiums collected represent the product of the current period net premium ratio and the gross premiums collected during the period on the in force business.
Health
Present value of expected future policy benefits
United AmericanFamily HeritageLiberty NationalAmerican IncomeDTCTotal
Balance at January 1, 2024
$3,814,328 $3,315,880 $865,808 $335,504 $109,482 $8,441,002 
Beginning balance at original discount rates3,741,530 3,506,689 816,819 315,431 104,501 8,484,970 
Effect of changes in assumptions on future cash flows— — — — — — 
Effect of actual variances from expected experience(36,684)(35,000)(21,424)(8,179)(2,326)(103,613)
Adjusted balance at January 1, 2024
3,704,846 3,471,689 795,395 307,252 102,175 8,381,357 
Issuances(1)
191,231 128,875 28,604 22,126 8,485 379,321 
Interest accrual(2)
87,778 72,179 21,549 7,956 2,760 192,222 
Benefit payments(3)
(160,345)(67,428)(46,232)(13,072)(6,277)(293,354)
Effect of changes in the foreign exchange rate— — — (1,556)— (1,556)
Ending balance at original discount rates3,823,510 3,605,315 799,316 322,706 107,143 8,657,990 
Effect of change from original to current discount rates(65,023)(355,849)16,462 5,730 1,474 (397,206)
Balance at June 30, 2024
$3,758,487 $3,249,466 $815,778 $328,436 $108,617 $8,260,784 
Balance at January 1, 2025
$3,960,432 $3,336,546 $804,695 $355,303 $129,277 $8,586,253 
Beginning balance at original discount rates4,026,860 3,712,044 791,141 348,711 127,975 9,006,731 
Effect of changes in assumptions on future cash flows— — — — — — 
Effect of actual variances from expected experience(6,629)(30,870)(15,255)(12,205)(124)(65,083)
Adjusted balance at January 1, 2025
4,020,231 3,681,174 775,886 336,506 127,851 8,941,648 
Issuances(1)
228,111 135,476 26,531 20,650 11,392 422,160 
Interest accrual(2)
97,069 78,270 20,796 8,951 3,403 208,489 
Benefit payments(3)
(192,355)(79,732)(50,278)(11,126)(8,370)(341,861)
Effect of changes in the foreign exchange rate— — — 2,431 — 2,431 
Ending balance at original discount rates4,153,056 3,815,188 772,935 357,412 134,276 9,232,867 
Effect of change from original to current discount rates1,250 (324,147)22,309 9,954 3,256 (287,378)
Balance at June 30, 2025
$4,154,306 $3,491,041 $795,244 $367,366 $137,532 $8,945,489 
(1)Issuances represent the present value, using the original discount rate, of the expected future policy benefits related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected future policy benefits, as well as the interest on actual benefits and expenses paid during the period, using the original interest rate.
(3)Benefit payments represent the release of the present value, using the original discount rate, of the actual future policy benefits incurred during the period based on the revised expected assumptions.
Health
Present value of expected future policy benefits
United AmericanFamily HeritageLiberty NationalAmerican IncomeDTCTotal
Balance at April 1, 2024
$3,756,534 $3,271,604 $834,006 $328,783 $107,775 $8,298,702 
Beginning balance at original discount rates3,766,995 3,554,274 804,316 317,365 105,050 8,548,000 
Effect of changes in assumptions on future cash flows— — — — — — 
Effect of actual variances from expected experience3,641 (15,951)(8,603)(4,177)(5)(25,095)
Adjusted balance at April 1, 2024
3,770,636 3,538,323 795,713 313,188 105,045 8,522,905 
Issuances(1)
86,801 64,866 15,255 12,177 3,887 182,986 
Interest accrual(2)
44,334 36,517 10,716 4,019 1,392 96,978 
Benefit payments(3)
(78,261)(34,391)(22,368)(6,670)(3,181)(144,871)
Effect of changes in the foreign exchange rate— — — (8)— (8)
Ending balance at original discount rates3,823,510 3,605,315 799,316 322,706 107,143 8,657,990 
Effect of change from original to current discount rates(65,023)(355,849)16,462 5,730 1,474 (397,206)
Balance at June 30, 2024
$3,758,487 $3,249,466 $815,778 $328,436 $108,617 $8,260,784 
Balance at April 1, 2025
$4,051,322 $3,430,602 $799,440 $362,540 $133,563 $8,777,467 
Beginning balance at original discount rates4,066,655 3,761,470 778,662 352,443 130,822 9,090,052 
Effect of changes in assumptions on future cash flows— — — — — — 
Effect of actual variances from expected experience18,426 (15,115)(4,250)(6,009)1,067 (5,881)
Adjusted balance at April 1, 2025
4,085,081 3,746,355 774,412 346,434 131,889 9,084,171 
Issuances(1)
110,710 70,717 14,054 10,209 4,762 210,452 
Interest accrual(2)
49,086 39,514 10,326 4,496 1,722 105,144 
Benefit payments(3)
(91,821)(41,398)(25,857)(5,806)(4,097)(168,979)
Effect of changes in the foreign exchange rate— — — 2,079 — 2,079 
Ending balance at original discount rates4,153,056 3,815,188 772,935 357,412 134,276 9,232,867 
Effect of change from original to current discount rates1,250 (324,147)22,309 9,954 3,256 (287,378)
Balance at June 30, 2025
$4,154,306 $3,491,041 $795,244 $367,366 $137,532 $8,945,489 
(1)Issuances represent the present value, using the original discount rate, of the expected future policy benefits related to new policies issued during each respective period.
(2)The interest accrual is the interest earned on the beginning present value of the expected future policy benefits, as well as the interest on actual benefits and expenses paid during the period, using the original interest rate.
(3)Benefit payments represent the release of the present value, using the original discount rate, of the actual future policy benefits incurred during the period based on the expected assumptions.
Health
Net liability for future policy benefits as of June 30, 2024
United AmericanFamily HeritageLiberty NationalAmerican IncomeDirect to ConsumerTotal
Net liability for future policy benefits at original discount rates
$103,402 $1,781,587 $460,382 $113,839 $(6,104)$2,453,106 
Effect of changes in discount rate assumptions(3,406)(222,918)17,655 8,708 (155)(200,116)
Other adjustments(1)
14,032 52 9,169 933 6,952 31,138 
Net liability for future policy benefits, after other adjustments, at current discount rates
114,028 1,558,721 487,206 123,480 693 2,284,128 
Reinsurance recoverable
(2,905)(10,470)(1,114)— — (14,489)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates
$111,123 $1,548,251 $486,092 $123,480 $693 $2,269,639 
(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).

Health
Net liability for future policy benefits as of June 30, 2025
United AmericanFamily HeritageLiberty NationalAmerican IncomeDirect to ConsumerTotal
Net liability for future policy benefits at original discount rates
46,914 1,899,571 443,755 128,243 (5,210)2,513,273 
Effect of changes in discount rate assumptions(4,731)(219,376)19,638 9,293 (326)(195,502)
Other adjustments(1)
45,814 16 10,861 702 6,259 63,652 
Net liability for future policy benefits, after other adjustments, at current discount rates
87,997 1,680,211 474,254 138,238 723 2,381,423 
Reinsurance recoverable
(2,376)— (890)— — (3,266)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates
$85,621 $1,680,211 $473,364 $138,238 $723 $2,378,157 
(1)Other adjustments include the effects of flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).
The following tables include the total remeasurement gain or loss, bifurcated between the gain or loss due to differences between actual and expected experience and the amount due to assumption updates, for the three and six month periods ended June 30, 2025 and 2024:
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
Life Remeasurement Gain (Loss)—Experience:
American Income$6,672 $3,876 $10,851 $7,848 
Direct to Consumer6,609 6,561 9,589 6,727 
Liberty National1,432 538 1,614 650 
Other2,032 1,419 3,216 2,025 
Total Life Remeasurement Gain (Loss)—Experience
16,745 12,394 25,270 17,250 
Life Remeasurement Gain (Loss)—Assumption Updates(1):
American Income— — — — 
Direct to Consumer— — — — 
Liberty National— — — — 
Other— — — — 
Total Life Remeasurement Gain (Loss)—Assumption Updates
— — — — 
Total Life Remeasurement Gain (Loss)
16,745 12,394 25,270 17,250 
Health Remeasurement Gain (Loss)—Experience:
United American1,938 1,013 (1,882)677 
Family Heritage1,640 1,669 3,476 3,552 
Liberty National(821)(70)362 1,141 
American Income1,089 610 2,338 1,040 
Direct to Consumer32 26 28 46 
Total Health Remeasurement Gain (Loss)—Experience
3,878 3,248 4,322 6,456 
Health Remeasurement Gain (Loss)—Assumption Updates(1):
United American— — — — 
Family Heritage— — — — 
Liberty National— — — — 
American Income— — — — 
Direct to Consumer— — — — 
Health Remeasurement Gain (Loss)—Assumption Updates
— — — — 
Total Health Remeasurement Gain (Loss)
$3,878 $3,248 $4,322 $6,456 
Changes to the judgments, assumptions, and methods used in measuring the liability for future policy benefits occur annually, unless otherwise necessary. There were no changes to the judgments, assumptions, and methods used in measuring the liability for future policy benefits during the six months ended June 30, 2025 and 2024.
The following table reconciles the liability for future policy benefits to the Condensed Consolidated Balance Sheets as of June 30, 2025 and 2024:
At Original Discount RatesAt Current Discount Rates
As of June 30,As of June 30,
2025202420252024
Life(1):
American Income$5,058,139 $4,705,606 $5,416,148 $5,175,698 
Direct to Consumer3,244,145 3,078,612 3,595,775 3,479,316 
Liberty National2,310,810 2,275,889 2,358,656 2,339,535 
Other3,194,531 3,107,805 3,571,636 3,532,049 
Net liability for future policy benefits—long duration life13,807,625 13,167,912 14,942,215 14,526,598 
Health(1):
United American88,003 115,771 87,997 114,028 
Family Heritage1,899,578 1,781,632 1,680,211 1,558,721 
Liberty National454,025 469,145 474,254 487,206 
American Income128,924 114,716 138,238 123,480 
Direct to Consumer708 673 723 693 
Net liability for future policy benefits—long duration health2,571,238 2,481,937 2,381,423 2,284,128 
Deferred profit liability181,140 176,123 181,140 176,123 
Deferred annuity615,897 706,022 615,897 706,022 
Interest sensitive life717,140 728,097 717,140 728,097 
Other8,939 9,702 8,940 9,704 
Total future policy benefits
$17,901,979 $17,269,793 $18,846,755 $18,430,672 
(1)Balances are presented net of the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).
The following tables provide the weighted-average original and current discount rates for the liability for future policy benefits and the additional insurance liabilities as of June 30, 2025 and 2024:
As of June 30,
20252024
Original discount rateCurrent discount rateOriginal discount rateCurrent discount rate
Life
American Income5.7 %5.4 %5.7 %5.3 %
Direct to Consumer6.0 %5.5 %6.0 %5.4 %
Liberty National5.6 %5.5 %5.6 %5.4 %
Other6.2 %5.5 %6.2 %5.4 %
Health
United American5.1 %5.1 %5.1 %5.2 %
Family Heritage4.2 %5.3 %4.2 %5.3 %
Liberty National5.8 %5.3 %5.8 %5.4 %
American Income5.8 %5.2 %5.8 %5.2 %
Direct to Consumer5.1 %5.1 %5.1 %5.2 %
The following table provides the weighted-average durations of the liability for future policy benefits and the additional insurance liabilities as of June 30, 2025 and 2024:
As of June 30,
20252024
At original discount ratesAt current discount ratesAt original discount ratesAt current discount rates
Life
American Income22.6022.4223.0323.17
Direct to Consumer19.0719.8619.4420.66
Liberty National15.3515.1815.2215.40
Other15.8316.5316.1017.23
Health
United American11.6810.4911.5910.64
Family Heritage15.2814.0015.1614.21
Liberty National9.419.229.269.26
American Income12.4512.3712.3512.55
Direct to Consumer11.6810.4911.5910.64
The following tables summarize the amount of gross premiums and interest related to long duration life and health contracts that are recognized in the Condensed Consolidated Statements of Operations for the three and six month periods ended June 30, 2025 and 2024:
Life
Six Months Ended
June 30, 2025		Six Months Ended
June 30, 2024
Gross
Premiums
Required Interest
Expense
Gross
Premiums
Required Interest
Expense
American Income$882,738 $143,116 $836,931 $133,928 
Direct to Consumer486,442 94,526 491,235 89,541 
Liberty National191,631 62,224 181,110 61,153 
Other100,108 95,333 101,652 92,151 
Total$1,660,919 $395,199 $1,610,928 $376,773 
Life
Three Months Ended
June 30, 2025		Three Months Ended
June 30, 2024
Gross
Premiums
Interest
Expense
Gross
Premiums
Interest
Expense
American Income$445,289 $72,123 $423,172 $67,549 
Direct to Consumer243,572 47,559 246,041 45,081 
Liberty National96,331 31,175 91,239 30,611 
Other50,194 48,048 50,583 46,233 
Total$835,386 $198,905 $811,035 $189,474 
Health
Six Months Ended
June 30, 2025		Six Months Ended
June 30, 2024
Gross
Premiums
Required Interest
Expense
Gross
Premiums
Required Interest
Expense
United American$239,422 $1,867 $214,850 $3,041 
Family Heritage228,210 38,574 209,246 35,204 
Liberty National95,221 12,690 94,952 13,155 
American Income59,543 3,646 58,389 3,314 
Direct to Consumer8,350 — 7,390 — 
Total$630,746 $56,777 $584,827 $54,714 
Health
Three Months Ended
June 30, 2025		Three Months Ended
June 30, 2024
Gross
Premiums
Interest
Expense
Gross
Premiums
Interest
Expense
United American$123,026 $818 $110,753 $1,474 
Family Heritage115,856 19,458 105,855 17,773 
Liberty National47,468 6,335 47,518 6,572 
American Income29,789 1,834 29,470 1,659 
Direct to Consumer4,214 — 3,733 — 
Total$320,353 $28,445 $297,329 $27,478 
Gross premiums are included within life and health premium on the Condensed Consolidated Statements of Operations, while the related interest expense is included in life and health policyholder benefits.
The following tables provide the undiscounted and discounted expected future net premiums, expected future gross premiums, and expected future policy benefits, at both original and current discount rates, for life and health contracts as of June 30, 2025 and 2024:
Life
As of June 30, 2025As of June 30, 2024
Not discountedAt original discount ratesAt current discount ratesNot discountedAt original discount ratesAt current discount rates
American Income
PV of expected future gross premiums$26,323,656 $14,880,435 $15,115,288 $25,077,717 $14,130,383 $14,177,334 
PV of expected future net premiums8,440,381 4,771,461 4,818,081 8,240,194 4,648,111 4,635,903 
PV of expected future policy benefits32,858,954 9,829,535 10,234,154 31,638,799 9,353,526 9,811,407 
DTC
PV of expected future gross premiums$17,465,145 $9,138,361 $9,430,064 $17,605,488 $9,202,366 $9,418,076 
PV of expected future net premiums10,454,351 5,498,605 5,682,370 10,784,908 5,670,288 5,810,518 
PV of expected future policy benefits26,022,344 8,742,749 9,278,145 25,978,972 8,748,900 9,289,834 
Liberty National
PV of expected future gross premiums$4,928,564 $2,871,400 $2,869,264 $4,760,222 $2,777,507 $2,744,508 
PV of expected future net premiums1,848,910 1,047,994 1,063,162 1,900,361 1,080,642 1,085,233 
PV of expected future policy benefits9,159,106 3,358,804 3,421,818 8,997,194 3,356,531 3,424,768 
Other
PV of expected future gross premiums$3,571,030 $1,820,383 $1,938,264 $3,671,193 $1,866,118 $1,974,726 
PV of expected future net premiums869,582 422,809 436,784 897,326 437,551 449,883 
PV of expected future policy benefits12,451,064 3,617,307 4,008,385 12,433,005 3,545,323 3,981,898 
Total
PV of expected future gross premiums$52,288,395 $28,710,579 $29,352,880 $51,114,620 $27,976,374 $28,314,644 
PV of expected future net premiums21,613,224 11,740,869 12,000,397 21,822,789 11,836,592 11,981,537 
PV of expected future policy benefits80,491,468 25,548,395 26,942,502 79,047,970 25,004,280 26,507,907 
As of June 30, 2025, for the life segment using current discount rates, the Company anticipates $29.4 billion of expected future gross premiums and $12.0 billion of expected future net premiums. As of June 30, 2024, using current discount rates, the Company anticipated $28.3 billion of expected future gross premiums and $12.0 billion in expected future net premiums. The determination of the liability for future policy benefits on the balance sheet does not include the difference between the expected future gross premiums and the expected future net premiums of $17.4 billion and $16.3 billion, as of June 30, 2025 and 2024, respectively, and rather only includes the expected future net premiums.
Health
As of June 30, 2025As of June 30, 2024
Not discountedAt original discount ratesAt current discount ratesNot discountedAt original discount ratesAt current discount rates
United American
PV of expected future gross premiums$9,701,771 $5,974,711 $5,982,760 $8,930,346 $5,449,708 $5,359,418 
PV of expected future net premiums6,674,188 4,106,142 4,112,123 6,100,831 3,720,108 3,658,491 
PV of expected future policy benefits6,782,252 4,153,056 4,154,306 6,287,625 3,823,510 3,758,487 
Family Heritage
PV of expected future gross premiums$7,545,828 $4,365,220 $4,145,063 $6,998,187 $4,103,577 $3,823,106 
PV of expected future net premiums3,293,461 1,915,617 1,810,846 3,092,463 1,823,728 1,690,797 
PV of expected future policy benefits7,465,105 3,815,188 3,491,041 6,909,758 3,605,315 3,249,466 
Liberty National
PV of expected future gross premiums$2,006,456 $1,276,610 $1,309,873 $2,061,622 $1,307,386 $1,326,826 
PV of expected future net premiums489,624 329,180 331,851 505,985 338,934 337,741 
PV of expected future policy benefits1,353,104 772,935 795,244 1,391,768 799,316 815,778 
American Income
PV of expected future gross premiums$1,795,279 $1,005,844 $1,036,573 $1,792,241 $1,003,909 $1,021,346 
PV of expected future net premiums408,732 229,169 229,830 373,186 208,867 205,889 
PV of expected future policy benefits728,196 357,412 367,366 656,571 322,706 328,436 
Direct to Consumer
PV of expected future gross premiums$256,043 $163,050 $167,656 $242,288 $151,969 $154,318 
PV of expected future net premiums220,022 139,486 143,068 180,882 113,247 114,876 
PV of expected future policy benefits214,895 134,276 137,532 168,428 107,143 108,617 
Total
PV of expected future gross premiums$21,305,377 $12,785,435 $12,641,925 $20,024,684 $12,016,549 $11,685,014 
PV of expected future net premiums11,086,027 6,719,594 6,627,718 10,253,347 6,204,884 6,007,794 
PV of expected future policy benefits16,543,552 9,232,867 8,945,489 15,414,150 8,657,990 8,260,784 
As of June 30, 2025, for the health segment using current discount rates, the Company anticipates $12.6 billion of expected future gross premiums and $6.6 billion of expected future net premiums. As of June 30, 2024, using current discount rates, the Company anticipated $11.7 billion of expected future gross premiums and $6.0 billion in expected future net premiums. The determination of the liability for future policy benefits on the balance sheet does not include the difference between the expected future gross premiums and the expected future net premiums of $6.0 billion and $5.7 billion as of June 30, 2025 and 2024, respectively, and rather only includes the expected future net premiums.
The following table summarizes the balances of, and changes in, policyholders’ account balances as of June 30, 2025 and 2024:
Policyholders' Account Balances
20252024
Interest Sensitive Life
Deferred Annuity(1)
Other Policy-holders' FundsInterest Sensitive LifeDeferred AnnuityOther Policy-holders' Funds
Balance at January 1,
$723,389 $656,573 $468,604 $732,948 $773,039 $236,958 
Issuances— 347 — — 358 — 
Premiums and deposits received10,400 6,953 148,520 11,110 6,409 168,470 
Policy charges(5,878)— — (6,172)— — 
Surrenders and withdrawals(12,074)(32,065)(126,908)(11,476)(62,562)(7,351)
Benefit payments(16,332)(25,926)— (16,740)(24,137)— 
Interest credited13,758 10,561 10,903 13,968 12,213 9,104 
Other3,877 (546)(8,973)4,459 702 (6,556)
Balance at June 30,
$717,140 $615,897 $492,146 $728,097 $706,022 $400,625 
(1) At June 30, 2025, $427 million has been reinsured with third-party reinsurers under existing reinsurance agreements.
Policyholders' Account Balances
20252024
Interest Sensitive Life
Deferred Annuity(1)
Other Policy-holders' FundsInterest Sensitive LifeDeferred AnnuityOther Policy-holders' Funds
Balance at April 1,
$720,269 $636,219 $463,148 $729,721 $739,019 $401,269 
Issuances— 176 — — 160 — 
Premiums and deposits received
5,150 3,187 61,635 5,486 2,836 1,770 
Policy charges(2,892)— — (3,061)— — 
Surrenders and withdrawals(6,108)(15,534)(33,780)(5,167)(30,999)(3,834)
Benefit payments(8,003)(13,095)— (7,600)(11,366)— 
Interest credited6,883 5,188 5,460 6,952 5,970 5,583 
Other1,841 (244)(4,317)1,766 402 (4,163)
Balance at June 30,
$717,140 $615,897 $492,146 $728,097 $706,022 $400,625 

Weighted-average credit rate3.89 %3.36 %4.65 %3.87 %3.35 %5.69 %
Net amount at risk$1,609,774 N/AN/A$1,714,347 N/AN/A
Cash surrender value$671,517 $615,897 $492,146 $680,564 $706,022 $400,625 
(1) At June 30, 2025, $427 million has been reinsured with third-party reinsurers under existing reinsurance agreements.
The following tables present the policyholders' account balances by range of guaranteed minimum crediting rates and the related range of difference, if any, in basis points between rates being credited to policyholders and the respective guaranteed minimums as of June 30, 2025 and 2024:
At June 30, 2025
Range of guaranteed minimum crediting ratesInterest Sensitive Life
Deferred Annuity(1)
Other Policyholders' Funds
At guaranteed minimum:
Less than 3.00%
$— $2,244 $398,451 
3.00%-3.99%
29,395 436,884 3,140 
4.00%-4.99%
598,244 176,769 55,368 
Greater than 5.00%
89,501 — 35,187 
Total
717,140 615,897 492,146 
51-150 basis points above:
Less than 3.00%
— — — 
3.00%-3.99%
— — — 
4.00%-4.99%
— — — 
Greater than 5.00%
— — — 
Total
— — — 
Greater than 150 basis points above
Less than 3.00%
— — — 
3.00%-3.99%
— — — 
4.00%-4.99%
— — — 
Greater than 5.00%
— — — 
Total
— — — 
Grand Total
$717,140 $615,897 $492,146 
(1) At June 30, 2025, $427 million has been reinsured with third-party reinsurers under existing reinsurance agreements.
At June 30, 2024
Range of guaranteed minimum crediting ratesInterest Sensitive LifeDeferred AnnuityOther Policyholders' Funds
At guaranteed minimum:
Less than 3.00%
$— $1,743 $304,454 
3.00%-3.99%
29,238 515,442 3,246 
4.00%-4.99%
608,867 187,985 6,539 
Greater than 5.00%
89,992 — 36,775 
Total
728,097 705,170 351,014 
51-150 basis points above:
Less than 3.00%
— — — 
3.00%-3.99%
— — — 
4.00%-4.99%
— — 49,611 
Greater than 5.00%
— — — 
Total
— — 49,611 
Greater than 150 basis points above
Less than 3.00%
$— $— $— 
3.00%-3.99%
— 852 — 
4.00%-4.99%
— — — 
Greater than 5.00%
— — — 
Total
— 852 — 
Grand Total
$728,097 $706,022 $400,625