Deferred Policy Acquisition Costs, Deferred Reinsurance, Deferred Sales Inducements and Value of Business Acquired (Tables)

6 Months Ended

Jun. 30, 2026

Deferred Charges, Insurers [Abstract]

Schedule of Deferred Policy Acquisition Costs

The following tables show a rollforward for the lines of business that contain material DAC balances, along with a reconciliation to the Company’s total DAC balance:


	Six Months Ended June 30, 2026
			Individual Life				U.S. Legacy Products				International Businesses		Total
	Retirement		Term Life		Variable/ Universal Life		Annuities		Guaranteed Universal Life
	(in millions)
Balance, BOP	$	2,304	$	2,203	$	4,845	$	2,308	$	545	$	9,678	$	21,883
Capitalization	352		100		338		2		10		505		1,307
Amortization expense	(172)		(105)		(114)		(118)		(10)		(360)		(879)
Other adjustments	0		1		(3)		0		0		6		4
Foreign currency adjustment	(1)		0		0		0		0		(66)		(67)
Balance, EOP	$	2,483	$	2,199	$	5,066	$	2,192	$	545	$	9,763	22,248
Other businesses													(368)
Total DAC balance													$	21,880


	Six Months Ended June 30, 2025
			Individual Life				U.S. Legacy Products(1)				International Businesses		Total(1)
	Retirement(1)		Term Life		Variable/ Universal Life(1)		Annuities		Guaranteed Universal Life
	(in millions)
Balance, BOP	$	1,744	$	2,215	$	4,369	$	2,556	$	509	$	9,304	$	20,697
Capitalization	491		95		301		2		25		603		1,517
Amortization expense	(150)		(104)		(104)		(123)		(13)		(344)		(838)
Other adjustments(2)	19		0		1		0		4		(214)		(190)
Foreign currency adjustment	5		0		0		0		0		330		335
Balance, EOP	$	2,109	$	2,206	$	4,567	$	2,435	$	525	$	9,679	21,521
Other businesses													(299)
Total DAC balance													$	21,222

__________

(1)Prior period amounts have been updated to conform to current presentation.

(2)Includes the impact of the reinsurance transaction with Prismic Re International in International Businesses. See Note 12 for additional information.

Deferred Reinsurance Losses

The following tables show a rollforward for the lines of business that contain DRL balances, along with a reconciliation to the Company’s total DRL balance:


	Six Months Ended June 30, 2026
			U.S. Legacy Products		Total
	Retirement		Guaranteed Universal Life
	(in millions)
Balance, BOP	$	248	$	932	$	1,180

Amortization	(15)		(19)		(34)


Balance, EOP	$	233	$	913	1,146
Other businesses					63
Total DRL balance					$	1,209


	Six Months Ended June 30, 2025
			U.S. Legacy Products		Total
	Retirement		Guaranteed Universal Life
	(in millions)
Balance, BOP	$	280	$	969	$	1,249

Amortization	(16)		(18)		(34)


Balance, EOP	$	264	$	951	1,215
Other businesses					63
Total DRL balance					$	1,278

Deferred Reinsurance Gains

The following tables show a rollforward for the lines of business that contain DRG balances, along with a reconciliation to the Company’s total DRG balance:


	Six Months Ended June 30, 2026
			U.S. Legacy Products				Total
	Retirement		Annuities		Guaranteed Universal Life
	(in millions)
Balance, BOP	$	67	$	263	$	333	$	663
Deferred reinsurance gain	7		0		0		7
Amortization	(2)		(11)		(8)		(21)

Foreign currency adjustment	1		0		0		1
Balance, EOP	$	73	$	252	$	325	650
Other businesses							39
Total DRG balance							$	689


	Six Months Ended June 30, 2025
			U.S. Legacy Products				Total
	Retirement		Annuities		Guaranteed Universal Life
	(in millions)
Balance, BOP	$	62	$	287	$	348	$	697
Deferred reinsurance gain	2		0		0		2
Amortization	(2)		(12)		(8)		(22)

Foreign currency adjustment	6		0		0		6
Balance, EOP	$	68	$	275	$	340	683
Other businesses							43
Total DRG balance							$	726

Deferred Sales Inducements

The following table shows a rollforward of DSI balances for annuity products within U.S. Legacy Products, which is the only line of business that contains a material DSI balance, along with a reconciliation to the Company’s total DSI balance:


	Six Months Ended June 30,
	2026		2025(1)
	(in millions)
Balance, BOP	$	348	$	378
Capitalization	1		1
Amortization expense	(16)		(17)


Balance, EOP	333		362
Other businesses	25		27
Total DSI balance	$	358	$	389

__________

(1)Prior period amounts have been updated to conform to current presentation.

Schedule of Value of Business Acquired

The following table shows a rollforward of VOBA balances for the acquisition of the Star and Edison Businesses for International Businesses, along with a reconciliation to the Company’s total VOBA balance:


	Six Months Ended June 30,
	2026		2025
	(in millions)
Balance, BOP	$	384	$	421

Amortization expense	(17)		(20)

Foreign currency adjustment	(12)		35
Balance, EOP	355		436
Other businesses(1)	11		14
Total VOBA balance	$	366	$	450

__________

(1)Represents Aoba Life business.