Insurance Liabilities (Tables)

3 Months Ended

Mar. 31, 2026

Components of Change in Health Care Costs Payable

The following table shows the components of the change in health care costs payable during the three months ended March 31, 2026 and 2025:


	Three Months Ended March 31,
In millions	2026		2025
Health care costs payable, beginning of the period	$	15,399	$	15,064
Less: Reinsurance recoverables	90		81
Less: Impact of discount rate on long-duration insurance reserves (1)	(20)		(1)
Health care costs payable, beginning of the period, net	15,329		14,984

Add: Components of incurred health care costs
Current year	30,374		30,293
Prior years	(1,093)		(1,651)
Total incurred health care costs (2)	29,281		28,642
Less: Claims paid
Current year	18,255		19,312
Prior years	10,951		9,749
Total claims paid	29,206		29,061


Health care costs payable, end of the period, net	15,404		14,565
Add: Premium deficiency reserve	—		431
Add: Reinsurance recoverables	132		114
Add: Impact of discount rate on long-duration insurance reserves (1)	(18)		2
Health care costs payable, end of the period	$	15,518	$	15,112

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(1)Reflects the difference between the current discount rate and the locked-in discount rate on long-duration insurance reserves which is recorded within accumulated other comprehensive income on the unaudited condensed consolidated balance sheets.

(2)Total incurred health care costs for the three months ended March 31, 2026 and 2025 in the table above exclude $31 million and $16 million, respectively, of health care costs recorded in the Health Care Benefits segment that are included in other insurance liabilities on the unaudited condensed consolidated balance sheets, as well as $46 million of health care costs recorded in the Corporate/Other segment for both the three months ended March 31, 2026 and 2025 that are included in other insurance liabilities on the unaudited condensed consolidated balance sheets. Total incurred health care costs for the three months ended March 31, 2025 also exclude $431 million for a premium deficiency reserve for the 2025 coverage year related to the Company’s individual exchange product line.

Schedule of Interest Rates Used in Measurement of Insurance Liabilities and Durations of Insurance Liabilities

The weighted-average interest rates used in the measurement of the long-duration insurance liabilities as of March 31, 2026 and 2025 were as follows:


	March 31, 2026	March 31, 2025
Large case pensions
Interest accretion rate	4.21%	4.20%
Current discount rate	5.34%	5.31%

Long-term care
Interest accretion rate	5.11%	5.11%
Current discount rate	5.68%	5.60%

The weighted-average durations (in years) of the long-duration insurance liabilities as of March 31, 2026 and 2025 were as follows:


	March 31, 2026	March 31, 2025
Large case pensions	7.2	7.3
Long-term care	11.1	11.6