v3.25.3
PRODUCT WARRANTY
 9 Months Ended
Sep. 30, 2025
Product Warranties Disclosures [Abstract]  
PRODUCT WARRANTY PRODUCT WARRANTY
The Company provides warranties on some, but not all, of its products. The warranty terms are typically from one to three years. Provisions for estimated expenses related to product warranty are made at the time products are sold. These estimates are established using historical information about the nature, frequency and average cost of warranty claim settlements, as well as product manufacturing and industry developments and recoveries from third parties. The Company actively studies trends of warranty claims and takes action to improve product quality and minimize warranty claims. The Company believes that the warranty accrual is appropriate; however, actual claims incurred could differ from the original estimates, requiring adjustments to the accrual. The product warranty accrual is allocated to current and non-current liabilities in the Condensed Consolidated Balance Sheets.

The following table summarizes the activity in the product warranty accrual accounts:
(in millions)20252024
Beginning balance, January 1$215 $196 
Provisions for current period sales70 60 
Adjustments of prior estimates5 1 
Payments(55)(47)
Other, primarily translation adjustment15 2 
Ending balance, September 30$250 $212 

The product warranty liability is classified in the Condensed Consolidated Balance Sheets as follows:
September 30,December 31,
(in millions)20252024
Other current liabilities$92 $88 
Other non-current liabilities158 127 
Total product warranty liability$250 $215 

During the three and nine months ended September 30, 2025, the Company recognized an insurance recovery of $21 million related to a resolved historical warranty matter as a reduction of Cost of sales in the Condensed Consolidated Statements of Operations. The related insurance proceeds were uncollected as of September 30, 2025, and included in Receivables, net in the Condensed Consolidated Balance Sheet.