v3.25.3
Insurance and Contractholder Liabilities (Tables)
 9 Months Ended
Sep. 30, 2025
Insurance Loss Reserves [Abstract]  
Insurance and Contractholder Liabilities
The Company's insurance and contractholder liabilities were comprised of the following:
September 30, 2025December 31, 2024September 30, 2024
(In millions)CurrentNon-currentTotalCurrentNon-currentTotalTotal
Unpaid claims and claim expenses
Cigna Healthcare
$4,616 $60 $4,676 $4,932 $86 $5,018 $5,088 
Other155 180 335 147 144 291 312 
Future policy benefits
Cigna Healthcare
38 154 192 91 507 598 599 
Other Operations142 3,155 3,297 157 3,140 3,297 3,458 
Contractholder deposit funds
Cigna Healthcare
— — — 9 115 124 130 
Other Operations331 5,801 6,132 366 5,958 6,324 6,346 
Market risk benefits22 687 709 25 760 785 944 
Unearned premiums714 42 756 753 31 784 741 
Total6,480 10,741 17,221 17,618
Insurance and contractholder liabilities classified as liabilities of businesses held for sale (1)
(1,092)(487)(1,579)(1,568)
Total insurance and contractholder liabilities$6,018 $10,079 $16,097 $5,388 $10,254 $15,642 $16,050 
(1) Amounts classified as liabilities of businesses held for sale include $983 million of Unpaid claims, $408 million of Future policy benefits, $85 million of Unearned premiums and $103 million of Contractholder deposit funds as of December 31, 2024 and $937 million of Unpaid claims, $422 million of Future policy benefits, $98 million of Unearned premiums and $111 million of Contractholder deposit funds as of September 30, 2024.
Activity, net of intercompany transactions, in the unpaid claims liability for the Cigna Healthcare segment was as follows:
Nine Months Ended September 30,
(In millions)
2025 (1)
2024 (1)
Beginning balance$5,018 $5,092 
Less: Reinsurance and other amounts recoverable159 236 
Beginning balance, net4,859 4,856 
Incurred costs related to:
Current year25,763 28,314 
Prior years(319)(422)
Total incurred25,444 27,892 
Paid costs related to:
Current year20,399 23,761 
Prior years4,055 4,059 
Total paid24,454 27,820 
Less: Divestiture and other1,323 — 
Ending balance, net4,526 4,928 
Add: Reinsurance and other amounts recoverable150 160 
Ending balance$4,676 $5,088 
(1) Includes unpaid claims amounts classified as liabilities of businesses held for sale prior to the completion of the HCSC transaction. As of December 31, 2024, September 30, 2024 and December 31, 2023, includes $983 million, $937 million and $823 million, respectively, classified as liabilities of businesses held for sale.
Variances in Incurred Costs Related to Prior Years' Unpaid Claims and Claims Expenses
Variances in incurred costs related to prior years' unpaid claims and claim expenses that resulted from the differences between actual experience and the Company's key assumptions were as follows:
Nine Months Ended September 30,
20252024
(Dollars in millions)$
% (1)
$
% (2)
Actual completion factors and other
$185 0.5 %$212 0.6 %
Medical cost trend134 0.3 210 0.6 
Total favorable variance$319 0.8 %$422 1.2 %
(1)Percentage of current year incurred costs as reported for the year ended December 31, 2024.
(2)Percentage of current year incurred costs as reported for the year ended December 31, 2023.
Future Policy Benefit Activity
The weighted average interest rates applied and duration for future policy benefits in Other Operations, consisting of annuity and life insurance products, were as follows:
As of
September 30, 2025September 30, 2024
Interest accretion rate 5.64 %5.64 %
Current discount rate 5.11 %4.81 %
Weighted average duration 10.8 years11.3 years
Summary of Market Risk Benefit
Market risk benefits activity was as follows:
Nine Months Ended September 30,
(In millions)20252024
Balance, beginning of year$785 $1,003 
Balance, beginning of year, before the effect of nonperformance risk (own credit risk)838 1,085 
Changes due to expected run-off(14)(7)
Changes due to capital markets versus expected(30)(78)
Changes due to policyholder behavior versus expected(20)(26)
Assumption changes(17)37 
Balance, end of period, before the effect of changes in nonperformance risk (own credit risk)757 1,011 
Nonperformance risk (own credit risk), end of period(48)(67)
Balance, end of period$709 $944 
Reinsured market risk benefit, end of period$756 $1,008 
Account Value, Net Amount at Risk and the Number of Contractholders for Guarantees Assumed in the Event of Death
The following table presents the net amount at risk and the average attained age of contractholders (weighted by exposure) for contracts assumed by the Company. The net amount at risk is the amount the Company would have to pay to contractholders if all deaths or annuitizations occurred as of the earliest possible date in accordance with the insurance contract. The Company should be reimbursed in full for these payments unless the Berkshire reinsurance limit is exceeded, as discussed further in Note 10 to the Consolidated Financial Statements.
(Dollars in millions, excludes impact of reinsurance ceded)September 30, 2025September 30, 2024
Net amount at risk$1,141 $1,361 
Average attained age of contractholders (weighted by exposure)78.2 years77.6 years