v3.26.1
Market Risk Benefits
 3 Months Ended
Mar. 31, 2026
Insurance [Abstract]  
Market Risk Benefits Market Risk Benefits
The following table presents the balances of and changes in MRBs associated with indexed annuities and fixed rate annuities for the three months ended March 31, 2026 and the year ended December 31, 2025:
March 31, 2026December 31, 2025
Indexed
annuities		Fixed rate annuitiesIndexed
annuities		Fixed rate annuities
(In millions)
Balance, beginning of period, net liability$812 $1 $420 $1 
Balance, beginning of period, before effect of changes in the instrument-specific credit risk$684 $1 $322 $1 
Issuances and benefit payments45 — 147 — 
Attributed fees collected and interest accrual44 — 156 — 
Actual policyholder behavior different from expected 53 — 45 — 
Changes in assumptions and other(10)— 8 — 
Effects of market related movements(12)— 6 — 
Balance, end of period, before effect of changes in the instrument-specific credit risk804 1 684 1 
Effect of changes in the instrument-specific credit risk80 — 128 — 
Balance, end of period, net liability884 1 812 1 
Less: reinsured market risk benefits225 — 195 — 
Balance, end of period, net of reinsurance$659 $1 $617 $1 
Weighted-average attained age of policyholders weighted by total AV (years)67.8284.7467.8484.69
Net amount at risk$2,082 $2 $1,900 $2 

The following table reconciles MRBs by amounts in an asset position and amounts in a liability position to the MRBs amounts in the unaudited Condensed Consolidated Balance Sheets:
March 31, 2026December 31, 2025
DirectReinsuredTotal DirectReinsuredTotal
(In millions)
MRB asset
Indexed annuities$80 $228 $308 $88 $197 $285 
Fixed rate annuities — — — — — — 
Total MRB asset $80 $228 $308 $88 $197 $285 
MRB liability
Indexed annuities$964 $3 $967 $900 $2 $902 
Fixed rate annuities1 — 1 1 — 1 
Total MRB liability$965 $3 $968 $901 $2 $903 

The net MRB liability increased for the three months ended March 31, 2026, primarily as a result of collection of attributed fees, interest accrual, actual to expected policyholder behavior, and MRB reserves for contracts issued within the period.
For the three months ended March 31, 2026, notable changes made to the inputs to the fair value estimates of MRBs calculations included an increase in risk-free rates leading to a favorable change in the MRBs associated with indexed annuities and increases in the equity market related projections resulted in a decrease in the net amount at risk associated with indexed annuities, leading to a favorable change in the value of the associated MRBs.
The net MRB liability increased for the year ended December 31, 2025, primarily as a result of collection of attributed fees, interest accrual, MRB reserves for contracts issued within the period, and changes in actuarial assumptions. These increases were partially offset by the effects of market related movements, including the impacts of higher risk-free rates and increases in the equity market related projections.
For the year ended December 31, 2025, notable changes made to the inputs to the fair value estimates of MRBs calculations included an increase in risk-free rates leading to a favorable change in the MRBs associated with indexed annuities and decreases in the equity market related projections resulted in an increase in the net amount at risk associated with indexed annuities, leading to an unfavorable change in the value of the associated MRBs.
In addition, the cash flow assumptions used to calculate MRBs reflect the Company’s best estimates for policyholder behavior. F&G reviews cash flow assumptions annually, generally in the third quarter. In 2025, F&G undertook a review of all significant assumptions and revised several assumptions relating to their deferred annuities (indexed annuities and fixed rate annuities) with MRBs. For the three months ended March 31, 2026, F&G updated the option budget assumption. All updates to these assumptions brought F&G more in line with internal and overall industry experience since the prior assumption updates. These updates, in total, led to a decrease in the net MRB liability for the three months ended March 31, 2026. For the year ended December 31, 2025, F&G updated assumptions including surrender rates, mortality and mortality improvement, partial withdrawals, projected CPI, and option budgets. All updates to these assumptions brought F&G more in line with internal and overall industry experience since the prior assumption updates. These updates, in total, led to an increase in the net MRB liability for the year ended December 31, 2025.
Contractholder Funds
The following tables summarize balances of and changes in contractholder funds’ account balances:
March 31, 2026
Indexed annuitiesFixed rate annuitiesUniversal lifeFABN (b)FHLB (b)
(Dollars in millions)
Balance, beginning of year$33,226 $19,265 $3,292 $3,324 $2,898 
Issuances1,644 184 60 750 901 
Premiums received8 — 163 — — 
Policy charges (a)(57)— (103)— — 
Surrenders and withdrawals(978)(605)(33)— — 
Benefit payments(115)(93)(5)(30)(1,122)
Interest credited245 222 57 39 25 
Other(4)— — — — 
Balance, end of period33,969 18,973 3,431 4,083 2,702 
Reconciling items (c)(47)2 92 — — 
Gross liability, end of period33,922 18,975 3,523 4,083 2,702 
Less: Reinsurance recoverable5,655 12,834 883 — — 
Net liability, after reinsurance$28,267 $6,141 $2,640 $4,083 $2,702 
Weighted-average crediting rate2.96 %4.76 %7.07 %N/AN/A
Net amount at risk (d)N/AN/A$29,648 N/AN/A
Cash surrender value (e)$31,607 $17,783 $2,641 N/AN/A
December 31, 2025
Indexed annuitiesFixed rate annuitiesUniversal lifeFABN (b)FHLB (b)
(Dollars in millions)
Balance, beginning of year$30,235 $17,442 $2,817 $2,463 $2,852 
Issuances6,714 3,801 229 1,148 2,241 
Premiums received31 — 593 — — 
Policy charges (a)(222)— (378)— — 
Surrenders and withdrawals(3,831)(2,485)(130)— — 
Benefit payments(536)(358)(21)(395)(2,298)
Interest credited830 866 182 107 103 
Other5 (1)— 1 — 
Balance, end of period33,226 19,265 3,292 3,324 2,898 
Reconciling items (c)321 2 115 11 — 
Gross liability, end of period33,547 19,267 3,407 3,335 2,898 
Less: Reinsurance recoverable3,198 12,863 887 — — 
Net liability, after reinsurance$30,349 $6,404 $2,520 $3,335 $2,898 
Weighted-average crediting rate2.65 %4.84 %6.13 %N/AN/A
Net amount at risk (d)N/AN/A$29,581 N/AN/A
Cash surrender value (e)$30,920 $18,034 $2,533 N/AN/A
(a) Contracts included in the Contractholder funds are generally charged a premium and/or monthly assessments on the basis of the account balance.
(b) FABN and FHLB are considered funding agreements that are investment contracts which follow the interest method of accounting, and therefore are not subject to ASU 2018-12 disclosure requirements. However, the Company has elected to present the liability for these agreements within the disaggregated roll forward as we believe it will provide meaningful information for users of the financials.
(c) The reconciling items reconcile the account balance to the gross GAAP liability. For indexed annuities and universal life, the reconciling items represent embedded derivatives and include the combination of the host contracts and the fair value of the embedded derivatives. For FABN, the reconciling items represent basis adjustments due to the impact of fair value hedge accounting.
(d) For those guarantees of benefits that are payable in the event of death, the net amount at risk is generally defined as the current guaranteed minimum death benefit in excess of the current account balance at the balance sheet date.
(e) These amounts are gross of reinsurance.
The following table reconciles contractholder funds’ account balances to the Contractholder funds liability in the accompanying unaudited Condensed Consolidated Balance Sheets:
March 31, 2026December 31, 2025
(In millions)
Indexed annuities$33,922 $33,547 
Fixed rate annuities18,975 19,267 
Immediate annuities259 262 
Universal life3,523 3,407 
Traditional life4 4 
FABN4,083 3,335 
FHLB2,702 2,898 
PRT6 6 
Total$63,474 $62,726 

Annually, typically in the third quarter, F&G reviews assumptions associated with reserves for policy benefits and product guarantees. For the three months ended March 31, 2026 and the year ended December 31, 2025, based on policyholder behavior, experience, and interest rate movements, F&G reflected updates to surrender assumptions for recent and expected near term policyholder behavior, as well as updated certain indexed annuities assumptions used to calculate the fair value of the embedded derivative component within Contractholder funds. These changes resulted in decreases in Contractholder funds of approximately $5 million and $22 million for the three months ended March 31, 2026 and for the year ended December 31, 2025, respectively.
The following tables present the account values by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums:
March 31, 2026
Range of guaranteed minimum crediting rateAt Guaranteed Minimum
1 Basis Point-50 Basis Points Above
51 Basis Points-150 Basis Points Above
 Greater Than 150 Basis Points Above
 Total
Indexed annuities(In millions)
Up to 1.50%$701 $422 $295 $777 $2,195 
1.51%-2.50%534 17 767 655 1,973 
Greater than 2.50%203 — — 2 205 
Subtotal$1,438 $439 $1,062 $1,434 $4,373 
No guaranteed minimum crediting rate29,596 
Total$33,969 
Fixed rate annuities
Up to 1.50%$101 $88 $676 $15,350 $16,215 
1.51%-2.50%3 6 24 444 477 
Greater than 2.50%709 1 5 1,566 2,281 
Total$813 $95 $705 $17,360 $18,973 
Universal life
Up to 1.50%$3,042 $9 $— $28 $3,079 
1.51%-2.50%— — — — — 
Greater than 2.50%351 — 1 — 352 
Total$3,393 $9 $1 $28 $3,431 

December 31, 2025
Range of guaranteed minimum crediting rateAt Guaranteed Minimum
 1 Basis Point-50 Basis Points Above
51 Basis Points-150 Basis Points Above
 Greater Than 150 Basis Points Above
 Total
Indexed annuities(In millions)
Up to 1.50%$659 $464 $298 $812 $2,233 
1.51%-2.50%548 17 633 630 1,828 
Greater than 2.50%212 1 — 1 214 
Subtotal$1,419 $482 $931 $1,443 $4,275 
No guaranteed minimum crediting rate28,951 
Total$33,226 
Fixed rate annuities
Up to 1.50%$94 $75 $792 $15,548 $16,509 
1.51%-2.50%4 6 16 466 492 
Greater than 2.50%727 2 5 1,530 2,264 
Total$825 $83 $813 $17,544 $19,265 
Universal life
Up to 1.50%$2,898 $9 $— $31 $2,938 
1.51%-2.50%— — — — — 
Greater than 2.50%353 — 1 — 354 
Total$3,251 $9 $1 $31 $3,292