Derivative Instruments (Tables)

6 Months Ended

Jun. 30, 2026

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

Outstanding derivative instruments with off-balance-sheet risks (in millions) were as follows:


	As of June 30, 2026						As of December 31, 2025
	Notional Amounts		Fair Value				Notional Amounts		Fair Value
			Asset		Liability				Asset		Liability
Qualifying Hedges
Cash flow hedges:
Interest rate contracts (1)	$	1,645	$	6	$	14	$	1,300	$	12	$	7
Foreign currency contracts (1)	5,069		426		106		4,922		380		125
Total cash flow hedges	6,714		432		120		6,222		392		132
Fair value hedges:
Interest rate contracts (1)	833		2		–		833		1		–
Foreign currency contracts (1)	25		–		1		25		–		2
Total fair value hedges	858		2		1		858		1		2
Non-Qualifying Hedges
Interest rate contracts (1)	87,638		76		362		84,814		64		321
Foreign currency contracts (1)	421		14		3		289		12		4
Equity market contracts (1)	169,439		16,889		5,607		238,623		15,560		5,685

Credit contracts (1)	86		–		–		17		–		–
Embedded derivatives:
Reinsurance-related (2)	–		–		182		–		–		289

RILA, fixed indexed annuity
and IUL contracts (3)	–		1,437		16,856		–		1,369		15,115
Total derivative instruments	$	265,156	$	18,850	$	23,131	$	330,823	$	17,398	$	21,548

(1) These asset and liability balances are presented on a gross basis. Amounts are reported in derivative investments and other liabilities on the Consolidated Balance Sheets after the evaluation for right of offset subject to master netting agreements.

(2) Reported in funds withheld reinsurance liabilities on the Consolidated Balance Sheets.

(3) Reported in policyholder account balances and deposit assets on the Consolidated Balance Sheets.

Schedule of Derivative Instruments

The maturity of the notional amounts of derivative instruments (in millions) was as follows:


	Remaining Life as of June 30, 2026
	Less Than 1 Year		1 - 5 Years		6 - 10 Years		11 - 30 Years		Over 30 Years		Total
Interest rate contracts (1)	$	17,298	$	27,809	$	15,570	$	26,829	$	2,610	$	90,116
Foreign currency contracts (2)	272		1,814		1,663		1,724		42		5,515
Equity market contracts	106,674		51,527		9,094		6		2,138		169,439

Credit contracts	–		86		–		–		–		86
Total derivative instruments
with notional amounts	$	124,244	$	81,236	$	26,327	$	28,559	$	4,790	$	265,156

(1) As of June 30, 2026, the latest maturity date for which we were hedging our exposure to the variability in future cash flows for these instruments was November 27, 2030.

(2) As of June 30, 2026, the latest maturity date for which we were hedging our exposure to the variability in future cash flows for these instruments was June 16, 2061.

Cumulative Basis Adjustments for Fair Value Hedges

The following amounts (in millions) were recorded on the Consolidated Balance Sheets related to cumulative basis adjustments for fair value hedges:


	Amortized Cost of the Hedged Assets (Liabilities)				Cumulative Fair Value Hedging Adjustment Included in the Amortized Cost of the Hedged Assets (Liabilities)
	As of June 30, 2026		As of December 31, 2025		As of June 30, 2026		As of December 31, 2025
Line Item in the Consolidated Balance Sheets in
which the Hedged Item is Included
Fixed maturity AFS securities, at fair value (1)	$	637	$	645	$	14	$	21
Long-term debt (2)	(983)		(989)		(108)		(114)

(1) Includes $21 million of unamortized adjustments from discontinued hedges as of June 30, 2026, and December 31, 2025.

(2) Includes $(270) million and $(278) million of unamortized adjustments from discontinued hedges as of June 30, 2026, and December 31, 2025, respectively.

Change in Our Unrealized Gain on Derivative Instruments in AOCI

The change in our unrealized gain (loss) on derivative instruments within accumulated other comprehensive income (loss) (“AOCI”) (in millions) was as follows:


	For the Six Months Ended June 30,
	2026		2025
Unrealized Gain (Loss) on Derivative Instruments
Balance as of beginning-of-year	$	450	$	638
Other comprehensive income (loss):
Unrealized holding gains (losses):
Cash flow hedges:
Interest rate contracts	(13)		37
Foreign currency contracts	9		169



Change in foreign currency exchange rate adjustment	87		(474)
Income tax benefit (expense)	(19)		57
Less:
Reclassification adjustment for gains (losses)
included in net income (loss):
Cash flow hedges:
Interest rate contracts (1)	–		1
Interest rate contracts (2)	4		8
Foreign currency contracts (1)	31		27
Foreign currency contracts (3)	1		3
Income tax benefit (expense)	(8)		(8)
Balance as of end-of-period	$	486	$	396

(1) The OCI offset is reported within net investment income on the Consolidated Statements of Comprehensive Income (Loss).

(2) The OCI offset is reported within interest and debt expense on the Consolidated Statements of Comprehensive Income (Loss).

(3) The OCI offset is reported within realized gain (loss) on the Consolidated Statements of Comprehensive Income (Loss).

Effects of Qualifying and Non-Qualifying Hedges

The effects of qualifying and non-qualifying hedges (in millions) on the Consolidated Statements of Comprehensive Income (Loss) were as follows:

Gain (Loss) Recognized in Income
For the Three Months Ended June 30,

2026

2025

Realized Gain (Loss)

Net Investment Income

Interest and Debt Expense

Realized Gain (Loss)

Net Investment Income

Interest and Debt Expense

Total Line Items in which the

Effects of Fair Value or

Cash Flow Hedges are Recorded

(406)

1,625

(641)

1,471

(13)

Qualifying Hedges

Gain or (loss) on fair value hedging

relationships:

Interest rate contracts:

Hedged items

–

(4)

–

(1)

Derivatives designated as hedging

instruments

–

(3)

Foreign currency contracts:

Hedged items

–

Derivatives designated as hedging

instruments

–

(2)

–

Gain or (loss) on cash flow hedging

relationships:

Interest rate contracts:

Amount of gain or (loss) reclassified

from AOCI into income

–

Foreign currency contracts:

Amount of gain or (loss) reclassified

from AOCI into income

–

Non-Qualifying Hedges

Interest rate contracts

(44)

–

(96)

–

Foreign currency contracts

–

(3)

–

Equity market contracts

3,801

–

1,185

–

Credit contracts

(1)

–

Embedded derivatives:

Reinsurance-related

(90)

–

(2)

–

RILA, fixed indexed annuity

and IUL contracts

(3,450)

–

(2,073)

–

Gain (Loss) Recognized in Income
For the Six Months Ended June 30,

2026

2025

Realized Gain (Loss)

Net Investment Income

Interest and Debt Expense

Realized Gain (Loss)

Net Investment Income

Interest and Debt Expense

Total Line Items in which the

Effects of Fair Value or

Cash Flow Hedges are Recorded

3,230

164

(631)

2,934

Qualifying Hedges

Gain or (loss) on fair value hedging

relationships:

Interest rate contracts:

Hedged items

–

(5)

(2)

–

(17)

Derivatives designated as hedging

instruments

–

(14)

Foreign currency contracts:

Hedged items

–

(1)

–

Derivatives designated as hedging

instruments

–

(3)

–

Gain or (loss) on cash flow hedging

relationships:

Interest rate contracts:

Amount of gain or (loss) reclassified

from AOCI into income

–

Foreign currency contracts:

Amount of gain or (loss) reclassified

from AOCI into income

–

Non-Qualifying Hedges

Interest rate contracts

(18)

–

(13)

–

Foreign currency contracts

–

(5)

–

Equity market contracts

2,805

–

Credit contracts

(1)

–

Embedded derivatives:

Reinsurance-related

107

–

(110)

–

RILA, fixed indexed annuity

and IUL contracts

(1,866)

–

(419)

–

Information related to our CDSs for which we are the seller (dollars in millions) was as follows:

As of June 30, 2026

Maturity

Reason for Entering

Name of Recourse

Credit Rating of Underlying Obligation (1)

Number of Instruments

Fair Value (2)

Maximum Potential Payout (3)

Credit Contract Type

Basket CDSs

6/20/2031

(4)

(5)

BBB+

(1) Represents average credit ratings based on the midpoint of the applicable ratings among Moody’s, S&P and Fitch Ratings, as scaled to the corresponding S&P ratings.

(2) Third-party valuation specialists are used to determine the market value of our CDSs.

(3) Represents the maximum potential amount of future payments (undiscounted) we could be required to make under the CDSs, assuming the value of the underlying referenced securities was reduced to zero.

(4) CDSs were entered into in order to hedge the liability exposure on certain variable annuity products.

(5) Sellers do not have the right to demand indemnification or compensation from third parties in case of a loss (payment) on the contract.

Schedule of Collateral Amounts With Rights to Reclaim or Obligation to Return Cash

The amounts recognized (in millions) by S&P credit rating of counterparty, for which we had the right to reclaim cash collateral or were obligated to return cash collateral, were as follows:


	As of June 30, 2026				As of December 31, 2025
	Collateral Posted by Counterparty		Collateral Posted to Counterparty		Collateral Posted by Counterparty		Collateral Posted to Counterparty
S&P Credit Rating of Counterparty

AA-	$	2,407	$	(2)	$	2,868	$	(4)
A+	5,660		(5)		4,612		(15)
A	63		–		64		–
A-	894		–		240		–


Total cash collateral	$	9,024	$	(7)	$	7,784	$	(19)

Schedule of Offsetting Assets

Information related to the effects of offsetting on the Consolidated Balance Sheets (in millions) was as follows:


	As of June 30, 2026
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	17,387	$	1,437	$	18,824
Gross amounts offset	(6,005)		–		(6,005)
Net amount of assets	11,382		1,437		12,819
Gross amounts not offset:
Cash collateral	(9,024)		–		(9,024)
Non-cash collateral (1)	(2,358)		–		(2,358)
Net amount	$	–	$	1,437	$	1,437

Financial Liabilities
Gross amount of recognized liabilities	$	89	$	17,038	$	17,127
Gross amounts offset	(27)		–		(27)
Net amount of liabilities	62		17,038		17,100
Gross amounts not offset:
Cash collateral	(7)		–		(7)
Non-cash collateral (2)	(55)		–		(55)
Net amount	$	–	$	17,038	$	17,038

(1) Excludes excess non-cash collateral received of $1.8 billion, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

(2) Excludes excess non-cash collateral pledged of $59 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.


	As of December 31, 2025
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	15,940	$	1,369	$	17,309
Gross amounts offset	(5,995)		–		(5,995)
Net amount of assets	9,945		1,369		11,314
Gross amounts not offset:
Cash collateral	(7,784)		–		(7,784)
Non-cash collateral (1)	(2,161)		–		(2,161)
Net amount	$	–	$	1,369	$	1,369

Financial Liabilities
Gross amount of recognized liabilities	$	150	$	15,404	$	15,554
Gross amounts offset	(90)		–		(90)
Net amount of liabilities	60		15,404		15,464
Gross amounts not offset:
Cash collateral	(19)		–		(19)
Non-cash collateral	(28)		–		(28)
Net amount	$	13	$	15,404	$	15,417

(1) Excludes excess non-cash collateral received of $1.6 billion, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

Schedule of Offsetting Liabilities

Information related to the effects of offsetting on the Consolidated Balance Sheets (in millions) was as follows:


	As of June 30, 2026
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	17,387	$	1,437	$	18,824
Gross amounts offset	(6,005)		–		(6,005)
Net amount of assets	11,382		1,437		12,819
Gross amounts not offset:
Cash collateral	(9,024)		–		(9,024)
Non-cash collateral (1)	(2,358)		–		(2,358)
Net amount	$	–	$	1,437	$	1,437

Financial Liabilities
Gross amount of recognized liabilities	$	89	$	17,038	$	17,127
Gross amounts offset	(27)		–		(27)
Net amount of liabilities	62		17,038		17,100
Gross amounts not offset:
Cash collateral	(7)		–		(7)
Non-cash collateral (2)	(55)		–		(55)
Net amount	$	–	$	17,038	$	17,038

(1) Excludes excess non-cash collateral received of $1.8 billion, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

(2) Excludes excess non-cash collateral pledged of $59 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.


	As of December 31, 2025
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	15,940	$	1,369	$	17,309
Gross amounts offset	(5,995)		–		(5,995)
Net amount of assets	9,945		1,369		11,314
Gross amounts not offset:
Cash collateral	(7,784)		–		(7,784)
Non-cash collateral (1)	(2,161)		–		(2,161)
Net amount	$	–	$	1,369	$	1,369

Financial Liabilities
Gross amount of recognized liabilities	$	150	$	15,404	$	15,554
Gross amounts offset	(90)		–		(90)
Net amount of liabilities	60		15,404		15,464
Gross amounts not offset:
Cash collateral	(19)		–		(19)
Non-cash collateral	(28)		–		(28)
Net amount	$	13	$	15,404	$	15,417

(1) Excludes excess non-cash collateral received of $1.6 billion, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.