Fair Value (Tables)

3 Months Ended

Mar. 31, 2026

The assets and liabilities measured at estimated fair value on a recurring basis and their corresponding placement in the fair value hierarchy, including those items for which the Company has elected the FVO, are presented below at:


	March 31, 2026
	Fair Value Hierarchy
	Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Fixed maturity securities AFS:
U.S. corporate	$	—	$	74,893	$	14,077	$	88,970
Foreign corporate	—		42,945		17,113		60,058
RMBS	—		43,960		1,593		45,553
Foreign government	—		39,349		698		40,047
U.S. government and agency	16,658		19,291		—		35,949
ABS & CLO	—		22,975		2,061		25,036
Municipals	—		10,832		—		10,832
CMBS	—		9,256		409		9,665
Total fixed maturity securities AFS	16,658		263,501		35,951		316,110
Equity securities	436		143		348		927
Contractholder-directed equity securities and FVO securities:
Contractholder-directed equity securities	7,520		2,478		257		10,255
FVO securities	614		1,308		1,258		3,180
Total contractholder-directed equity securities and FVO securities:	8,134		3,786		1,515		13,435
Short-term investments (1)	3,571		1,031		101		4,703
Other investments	50		—		1,133		1,183
Derivative assets: (2)
Interest rate	2		2,621		—		2,623
Foreign currency exchange rate	3		4,227		35		4,265
Credit	—		200		—		200
Equity market	23		553		1		577
Total derivative assets	28		7,601		36		7,665
MRBs	—		—		392		392
Reinsured MRBs (3)	—		—		383		383
Separate account assets (4)	75,066		71,826		794		147,686
Total assets (5)	$	103,943	$	347,888	$	40,653	$	492,484
Liabilities
Derivative liabilities: (2)
Interest rate	$	3	$	3,802	$	—	$	3,805
Foreign currency exchange rate	—		2,867		—		2,867
Credit	—		51		—		51
Equity market	12		258		—		270
Total derivative liabilities	15		6,978		—		6,993
Embedded derivatives within liability host contracts (6)	—		—		(152)		(152)
Notes issued by CFEs	—		—		1,138		1,138
MRBs	—		—		2,522		2,522
Total liabilities	$	15	$	6,978	$	3,508	$	10,501


	December 31, 2025
	Fair Value Hierarchy
	Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Fixed maturity securities AFS:
U.S. corporate	$	—	$	74,437	$	13,522	$	87,959
Foreign corporate	—		43,761		16,828		60,589
RMBS	—		43,491		1,927		45,418
Foreign government	—		40,696		52		40,748
U.S. government and agency	18,732		18,790		—		37,522
ABS & CLO	—		21,747		1,150		22,897
Municipals	—		11,063		1		11,064
CMBS	—		9,318		416		9,734
Total fixed maturity securities AFS	18,732		263,303		33,896		315,931
Equity securities	464		77		317		858
Contractholder-directed equity securities and FVO securities:
Contractholder-directed equity securities	7,983		2,571		194		10,748
FVO securities	623		1,323		1,265		3,211
Total contractholder-directed equity securities and FVO securities:	8,606		3,894		1,459		13,959
Short-term investments (1)	2,761		537		42		3,340
Other investments	46		—		1,137		1,183
Derivative assets: (2)
Interest rate	1		2,601		—		2,602
Foreign currency exchange rate	—		3,905		34		3,939
Credit	—		155		—		155
Equity market	5		344		—		349
Total derivative assets	6		7,005		34		7,045
MRBs	—		—		458		458
Reinsured MRBs (3)	—		—		293		293
Separate account assets (4)	77,488		73,554		891		151,933
Total assets (5)	$	108,103	$	348,370	$	38,527	$	495,000
Liabilities
Derivative liabilities: (2)
Interest rate	$	3	$	3,763	$	—	$	3,766
Foreign currency exchange rate	1		3,403		—		3,404
Credit	—		59		—		59
Equity market	2		316		1		319
Total derivative liabilities	6		7,541		1		7,548
Embedded derivatives within liability host contracts (6)	—		—		57		57
Notes issued by CFEs	—		—		1,206		1,206
MRBs	—		—		2,406		2,406
Total liabilities	$	6	$	7,541	$	3,670	$	11,217

__________________

(1)Short-term investments as presented in the tables above differ from the amounts presented on the interim condensed consolidated balance sheets because certain short-term investments are not measured at estimated fair value on a recurring basis.

(2)Derivative assets are presented within other invested assets on the interim condensed consolidated balance sheets and derivative liabilities are presented within other liabilities on the interim condensed consolidated balance sheets. The amounts are presented gross in the tables above to reflect the presentation on the interim condensed consolidated balance sheets, but are presented net for purposes of the rollforward in the Fair Value Measurements Using Significant Unobservable Inputs (Level 3) tables.

(3)Reinsured MRBs are presented within premiums, reinsurance and other receivables on the interim condensed consolidated balance sheets.

(4)Investment performance related to separate account assets is fully offset by corresponding amounts credited to contractholders whose liability is reflected within separate account liabilities.

(5)Total assets included in the fair value hierarchy exclude OLPI that are measured at estimated fair value using the net asset value (“NAV”) per share (or its equivalent) practical expedient. The estimated fair value of such investments was $40 million and $41 million at March 31, 2026 and December 31, 2025, respectively.

(6)Embedded derivatives within liability host contracts are presented within PABs and other liabilities on the interim condensed consolidated balance sheets.

Fair Value Inputs, Quantitative Information

The following table presents certain quantitative information about the significant unobservable inputs used in the fair value measurement, and the sensitivity of the estimated fair value to changes in those inputs, for the more significant asset and liability classes measured at fair value on a recurring basis using significant unobservable inputs (Level 3) at:


					March 31, 2026				December 31, 2025				Impact of Increase in Input on Estimated Fair Value (2)
	Valuation Techniques		Significant Unobservable Inputs		Range			Weighted Average (1)	Range			Weighted Average (1)
Fixed maturity securities AFS (3)
U.S. corporate and foreign corporate	•	Matrix pricing	•	Offered quotes (4)	17	-	124	93	32	-	127	94	Increase
	•	Market pricing	•	Quoted prices (4)	—	-	108	94	—	-	100	91	Increase
	•	Consensus pricing	•	Offered quotes (4)	—	-	100	90	—	-	101	92	Increase
RMBS	•	Market pricing	•	Quoted prices (4)	32	-	151	98	33	-	114	96	Increase (5)
ABS & CLO	•	Market pricing	•	Quoted prices (4)	—	-	166	99	3	-	142	101	Increase (5)

Derivatives


Foreign currency exchange rate	•	Present value techniques	•	Swap yield (6)	(35)	-	191	189	154	-	203	202	Increase (7)


MRBs and Reinsured MRBs
Direct, assumed and ceded guaranteed minimum benefits	•	Option pricing techniques	•	Mortality rates:
				Ages 0 - 40	0%	-	0.15%	0.05%	0%	-	0.15%	0.05%	(8)
				Ages 41 - 60	0.04%	-	0.79%	0.22%	0.04%	-	0.79%	0.22%	(8)
				Ages 61 - 115	0%	-	100%	1.23%	0%	-	100%	1.23%	(8)
			•	Lapse rates:
				Durations 1 - 10	0.15%	-	20.10%	13.37%	0.15%	-	20.10%	13.37%	Decrease (9)
				Durations 11 - 20	0.38%	-	15%	8.17%	0.38%	-	15%	8.17%	Decrease (9)
				Durations 21 - 116	0.38%	-	15%	7.48%	0.38%	-	15%	7.48%	Decrease (9)





			•	Utilization rates	0.20%	-	16.25%	0.54%	0.20%	-	16.25%	0.54%	Increase (10)
			•	Withdrawal rates	0%	-	20%	4.92%	0%	-	20%	4.92%	(11)
			•	Long-term equity volatilities	14.29%	-	22.49%	18.96%	14.29%	-	22.49%	18.96%	Increase (12)
			•	Nonperformance risk spread	0.12%	-	1.75%	0.58%	0.10%	-	1.41%	0.58%	Decrease (13)

__________________

(1)The weighted average for fixed maturity securities AFS and derivatives is determined based on the estimated fair value of the securities and derivatives. The weighted average for MRBs is determined based on a combination of account values and experience data.

(2)The impact of a decrease in input would have resulted in the opposite impact on estimated fair value. For MRBs, changes to direct and assumed guaranteed minimum benefits are based on liability positions; changes to ceded guaranteed minimum benefits are based on asset positions.

(3)Significant increases (decreases) in expected default rates in isolation would have resulted in substantially lower (higher) valuations.

(4)Range and weighted average are presented in accordance with the market convention for fixed maturity securities AFS of dollars per hundred dollars of par.

(5)Changes in the assumptions used for the probability of default would have been accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumptions used for prepayment rates.

(6)Ranges represent the rates across different yield curves and are presented in basis points. The swap yield curves are utilized among different types of derivatives to project cash flows, as well as to discount future cash flows to present value. Since this valuation methodology uses a range of inputs across a yield curve to value the derivative, presenting a range is more representative of the unobservable input used in the valuation.

(7)Changes in estimated fair value are based on long U.S. dollar net asset positions and will be inversely impacted for short U.S. dollar net asset positions.

(8)Mortality rates vary by age and by demographic characteristics such as gender. Mortality rate assumptions are based on Company experience. A mortality improvement assumption is also applied. For any given contract, mortality rates vary throughout the period over which cash flows are projected for purposes of valuing the MRBs. For contracts that contain only a GMDB, any increase (decrease) in mortality rates result in an increase (decrease) in the estimated fair value of MRBs. Generally, for contracts that contain both a GMDB and a living benefit (e.g., GMIB, GMWB, GMAB), any increase (decrease) in mortality rates result in a decrease (increase) in the estimated fair value of MRBs.

(9)Base lapse rates are adjusted at the contract level based on a comparison of the actuarially calculated guaranteed values and the current policyholder account value, as well as other factors, such as the applicability of any surrender charges. A dynamic lapse function reduces the base lapse rate when the guaranteed amount is greater than the account value as in the money contracts are less likely to lapse. Lapse rates are also generally assumed to be lower in periods when a surrender charge applies. For any given contract, lapse rates vary throughout the period over which cash flows are projected for purposes of valuing the MRBs.

(10)The utilization rate assumption estimates the percentage of contractholders with GMIBs or a lifetime withdrawal benefit who will elect to utilize the benefit upon becoming eligible. The rates may vary by the type of guarantee, the amount by which the guaranteed amount is greater than the account value, the contract’s withdrawal history and by the age of the policyholder. For any given contract, utilization rates vary throughout the period over which cash flows are projected for purposes of valuing the MRBs.

(11)The withdrawal rate represents the percentage of account balance that any given policyholder will elect to withdraw from the contract each year. The withdrawal rate assumption varies by age and duration of the contract, and also by other factors such as benefit type. For any given contract, withdrawal rates vary throughout the period over which cash flows are projected for purposes of valuing the MRBs. For GMWBs, any increase (decrease) in withdrawal rates results in an increase (decrease) in the estimated fair value of the guarantees. For GMABs and GMIBs, any increase (decrease) in withdrawal rates results in a decrease (increase) in the estimated fair value.

(12)Long-term equity volatilities represent equity volatility beyond the period for which observable equity volatilities are available. For any given contract, long-term equity volatility rates vary throughout the period over which cash flows are projected for purposes of valuing the MRBs.

(13)Nonperformance risk spread varies by duration and by currency. For any given contract, multiple nonperformance risk spreads will apply, depending on the duration of the cash flow being discounted for purposes of valuing the MRBs.

Fair Value, Measured on Recurring Basis, Unobservable Input Reconciliation

The following tables summarize the change of all assets (liabilities) measured at estimated fair value on a recurring basis using significant unobservable inputs (Level 3), excluding MRBs (see Note 6):


	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Fixed Maturity Securities AFS
	Corporate (6)		Foreign Government		Structured Products		Equity Securities		Contractholder-directed equity securities and FVO securities
	(In millions)
Three Months Ended March 31, 2026
Balance, beginning of period	$	30,350	$	52	$	3,493	$	317	$	1,459
Total realized/unrealized gains (losses) included in net income (loss) (1), (2)	(5)		—		(5)		12		(71)
Total realized/unrealized gains (losses) included in AOCI	(578)		(1)		(19)		—		—
Purchases (3)	2,047		614		1,794		30		223
Sales (3)	(518)		(2)		(223)		(11)		(101)
Issuances (3)	—		—		—		—		—
Settlements (3)	—		—		—		—		—
Transfers into Level 3 (4)	87		43		39		—		24
Transfers out of Level 3 (4)	(193)		(8)		(1,016)		—		(19)
Balance, end of period	$	31,190	$	698	$	4,063	$	348	$	1,515
Three Months Ended March 31, 2025
Balance, beginning of period	$	26,505	$	41	$	8,639	$	236	$	1,190
Total realized/unrealized gains (losses) included in net income (loss) (1), (2)	(23)		—		3		15		(20)
Total realized/unrealized gains (losses) included in AOCI	423		3		40		—		—
Purchases (3)	1,314		15		1,949		20		106
Sales (3)	(448)		(1)		(140)		(23)		(101)
Issuances (3)	—		—		—		—		—
Settlements (3)	—		—		—		—		—
Transfers into Level 3 (4)	116		—		7		—		—
Transfers out of Level 3 (4)	(375)		(1)		(5,691)		—		—
Balance, end of period	$	27,512	$	57	$	4,807	$	248	$	1,175
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at March 31, 2026 (5)	$	10	$	—	$	(6)	$	12	$	(65)
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at March 31, 2025 (5)	$	(1)	$	—	$	3	$	(4)	$	(14)
Changes in unrealized gains (losses) included in AOCI for the instruments still held at March 31, 2026 (5)	$	(575)	$	(1)	$	(16)	$	—	$	—
Changes in unrealized gains (losses) included in AOCI for the instruments still held at March 31, 2025 (5)	$	393	$	3	$	40	$	—	$	—


	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Short-term Investments		Other Investments		Net Derivatives (7)		Net Embedded Derivatives (8)		Separate Accounts (9)		Notes Issued by CFEs
	(In millions)
Three Months Ended March 31, 2026
Balance, beginning of period	$	42	$	1,137	$	33	$	(57)	$	891	$	(1,206)
Total realized/unrealized gains (losses) included in net income (loss) (1), (2)	—		(89)		6		300		(10)		—
Total realized/unrealized gains (losses) included in AOCI	(3)		—		(1)		—		—		—
Purchases (3)	70		131		—		—		23		—
Sales (3)	(2)		(46)		—		—		(80)		—
Issuances (3)	—		—		—		(92)		—		—
Settlements (3)	—		—		—		1		—		68
Transfers into Level 3 (4)	—		—		—		—		—		—
Transfers out of Level 3 (4)	(6)		—		(2)		—		(30)		—
Balance, end of period	$	101	$	1,133	$	36	$	152	$	794	$	(1,138)
Three Months Ended March 31, 2025
Balance, beginning of period	$	5	$	1,010	$	5	$	(9)	$	990	$	—
Total realized/unrealized gains (losses) included in net income (loss) (1), (2)	—		2		17		(32)		5		—
Total realized/unrealized gains (losses) included in AOCI	(2)		—		1		—		—		—
Purchases (3)	10		147		—		—		42		—
Sales (3)	(1)		(38)		—		—		(58)		—
Issuances (3)	—		—		—		—		—		—
Settlements (3)	—		—		(1)		(2)		—		—
Transfers into Level 3 (4)	—		—		—		—		1		—
Transfers out of Level 3 (4)	(3)		—		(1)		—		(8)		—
Balance, end of period	$	9	$	1,121	$	21	$	(43)	$	972	$	—
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at March 31, 2026 (5)	$	—	$	(87)	$	6	$	299	$	—	$	—
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at March 31, 2025 (5)	$	—	$	—	$	16	$	(32)	$	—	$	—
Changes in unrealized gains (losses) included in AOCI for the instruments still held at March 31, 2026 (5)	$	2	$	—	$	—	$	—	$	—	$	—
Changes in unrealized gains (losses) included in AOCI for the instruments still held at March 31, 2025 (5)	$	(3)	$	—	$	—	$	—	$	—	$	—

__________________

(1)Amortization of premium/accretion of discount is included within net investment income. Impairments and changes in ACL charged to net income (loss) on certain securities are included in net investment gains (losses), while changes in estimated fair value of Unit-linked and FVO securities are included in net investment income. Lapses associated with net embedded derivatives are included in net derivative gains (losses). Substantially all realized/unrealized gains (losses) included in net income (loss) for net derivatives and net embedded derivatives are reported in net derivative gains (losses).

(2)Interest and dividend accruals, as well as cash interest coupons and dividends received, are excluded from the rollforward.

(3)Items purchased/issued and then sold/settled in the same period are excluded from the rollforward.

(4)Items transferred into and then out of Level 3 in the same period are excluded from the rollforward.

(5)Changes in unrealized gains (losses) included in net income (loss) and included in AOCI relate to assets and liabilities still held at the end of the respective periods. Substantially all changes in unrealized gains (losses) included in net income (loss) for net derivatives and net embedded derivatives are reported in net derivative gains (losses).

(6)Comprised of U.S. and foreign corporate securities.

(7)Freestanding derivative assets and liabilities are presented net for purposes of the rollforward.

(8)Embedded derivative assets and liabilities are presented net for purposes of the rollforward.

(9)Investment performance related to separate account assets is fully offset by corresponding amounts credited to contractholders within separate account liabilities. Therefore, such changes in estimated fair value are not recorded in net income (loss). For the purpose of this disclosure, these changes are presented within net income (loss).

Nonrecurring Fair Value Measurements

The following table presents information for assets measured at estimated fair value on a nonrecurring basis during the periods and still held at the reporting dates (for example, when there is evidence of impairment), using significant unobservable inputs (Level 3).


	March 31, 2026		December 31, 2025
	(In millions)
Carrying value after measurement:
Mortgage loans (1)	$	1,909	$	1,583
Real estate and REJVs (2)	$	142	$	—


	Three Months Ended March 31,
	2026		2025
	(In millions)
Net investment gains (losses):
Mortgage loans (1)	$	(164)	$	(171)

Real estate and REJVs (2)	$	(136)	$	—

__________________

(1)Estimated fair values of impaired mortgage loans are based on the underlying collateral or discounted cash flows. See Note 9.

(2)Estimated fair values of impaired real estate and REJVs are based on appraised values.

Fair Value of Financial Instruments Carried at Other Than Fair Value

The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows at:


	March 31, 2026
			Fair Value Hierarchy
	Carrying Value		Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Mortgage loans	$	83,726	$	—	$	—	$	81,689	$	81,689
Policy loans	$	8,455	$	—	$	—	$	8,949	$	8,949

Other invested assets	$	1,231	$	—	$	700	$	531	$	1,231
Premiums, reinsurance and other receivables	$	9,219	$	—	$	1,591	$	7,012	$	8,603
Other assets	$	229	$	—	$	46	$	190	$	236
Liabilities
PABs	$	150,842	$	—	$	—	$	147,757	$	147,757
Long-term debt	$	14,438	$	—	$	13,717	$	—	$	13,717
Collateral financing arrangement	$	299	$	—	$	—	$	276	$	276
Subordinated debt securities	$	5,143	$	—	$	5,555	$	—	$	5,555
Other liabilities	$	14,352	$	—	$	2,125	$	11,299	$	13,424
Separate account liabilities	$	78,803	$	—	$	78,803	$	—	$	78,803


	December 31, 2025
			Fair Value Hierarchy
	Carrying Value		Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Mortgage loans	$	84,593	$	—	$	—	$	82,933	$	82,933
Policy loans	$	8,547	$	—	$	—	$	9,083	$	9,083

Other invested assets	$	895	$	—	$	700	$	195	$	895
Premiums, reinsurance and other receivables	$	8,681	$	—	$	1,252	$	6,835	$	8,087
Other assets	$	247	$	—	$	53	$	202	$	255
Liabilities
PABs	$	147,826	$	—	$	—	$	145,695	$	145,695
Long-term debt	$	14,461	$	—	$	14,143	$	—	$	14,143
Collateral financing arrangement	$	352	$	—	$	—	$	322	$	322
Subordinated debt securities	$	4,155	$	—	$	4,707	$	—	$	4,707
Other liabilities	$	11,993	$	—	$	842	$	10,747	$	11,589
Separate account liabilities	$	80,164	$	—	$	80,164	$	—	$	80,164

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References + Details