v3.26.1
Investments (Tables)
 6 Months Ended
Jun. 30, 2026
Investments, Debt and Equity Securities [Abstract]  
Fixed Maturity Securities by Sector
Fixed maturity securities by sector were as follows at:
June 30, 2026
December 31, 2025
Amortized Cost
Allowance for Credit Losses
Gross Unrealized
Estimated Fair Value
Amortized Cost
Allowance for Credit Losses
Gross Unrealized
Estimated Fair Value
Gains
Losses
Gains
Losses
(In millions)
U.S. corporate
$
41,313 
$
32 
$
261 
$
3,334 
$
38,208 
$
41,590 
$
27 
$
443 
$
3,097 
$
38,909 
Foreign corporate
12,049 
17 
76 
1,065 
11,043 
12,380 
31 
145 
997 
11,497 
Residential mortgage-backed securities
9,491 3 64 623 

8,929 
9,029 3 85 579 

8,532 
U.S. government and agency7,536 — 46 655 
6,927 
7,216 — 105 610 
6,711 
Asset-backed securities
5,858 
10 
14 
54 
5,808 
6,081 
— 
33 
55 
6,059 
Commercial mortgage-backed securities
6,032 
2 
5 
237 
5,798 
6,086 
3 
13 
226 
5,870 
State and political subdivision
3,488 
— 
86 
302 
3,272 
3,691 
— 
103 
300 
3,494 
Foreign government
886 
— 
26 
74 
838 
973 
— 
36 
67 
942 
Total fixed maturity securities
$
86,653 
$
64 
$
578 
$
6,344 
$
80,823 
$
87,046 
$
64 
$
963 
$
5,931 
$
82,014 
Maturities of Fixed Maturity Securities
The amortized cost and estimated fair value of fixed maturity securities, by contractual maturity date, were as follows at June 30, 2026:
Due in One Year or Less
Due After One Year Through Five Years
Due After Five Years Through Ten Years
Due After Ten Years
Structured Securities (1)
Total Fixed Maturity Securities
(In millions)
Amortized cost
$
5,478 
$
20,865 
$
12,774 
$
26,155 
$
21,381 
$
86,653 
Estimated fair value
$
5,458 
$
20,284 
$
12,356 
$
22,190 
$
20,535 
$
80,823 
_______________
(1)Structured securities include residential mortgage-backed securities (“RMBS”), commercial mortgage-backed securities (“CMBS”) and asset-backed securities (“ABS”) (collectively, “Structured Securities”).
Continuous Gross Unrealized Losses for Fixed Maturity Securities by Sector
The estimated fair value and gross unrealized losses of fixed maturity securities in an unrealized loss position, by sector and by length of time that the securities have been in a continuous unrealized loss position, were as follows at:
June 30, 2026December 31, 2025
Less than 12 Months12 Months or GreaterLess than 12 Months12 Months or Greater
Estimated Fair Value
Gross Unrealized Losses
Estimated Fair Value
Gross Unrealized Losses
Estimated Fair Value
Gross Unrealized Losses
Estimated Fair Value
Gross Unrealized Losses
(Dollars in millions)
U.S. corporate$9,655 $427 $18,194 $2,907 $4,160 $395 $19,089 $2,702 
Foreign corporate2,785 137 5,318 928 1,382 179 5,259 818 
RMBS
2,484 70 4,026 553 818 49 4,361 530 
U.S. government and agency2,304 29 1,961 626 600 10 2,255 600 
ABS
1,815 10 671 44 513 2 751 53 
CMBS
1,176 14 3,672 223 329 2 4,291 224 
State and political subdivision495 37 1,515 265 255 7 1,799 293 
Foreign government106 7 448 67 54 5 558 62 
Total fixed maturity securities
$20,820 $731 $35,805 $5,613 $8,111 $649 $38,363 $5,282 
Total number of securities in an unrealized loss position
2,965 4,807 1,328 5,093 
Rollforward of the Allowance for Credit Losses for Fixed Maturity Securities by Sector
The changes in the allowance for credit losses for fixed maturity securities by sector were as follows:
U.S. Corporate
Foreign Corporate
RMBS
CMBS
ABS
Total
(In millions)
Six Months Ended June 30, 2026
Balance, beginning of period
$
27 
$
31 
$
3 
$
3 
$
— 
$
64 
Allowance on securities where credit losses were not previously recorded
— 
— 
— 
— 
10 
10 
Reductions for securities sold
(3)
(14)
— 
(1)
— 
(18)
Change in allowance on securities with an allowance recorded in a previous period
8 
— 
— 
— 
— 
8 
Write-offs charged against allowance (1)
— 
— 
— 
— 
— 
— 
Balance, end of period
$
32 
$
17 
$
3 
$
2 
$
10 
$
64 
Six Months Ended June 30, 2025
Balance, beginning of period
$
47 
$
26 
$
4 
$
4 
$
— 
$
81 
Allowance on securities where credit losses were not previously recorded
— 
— 
— 
— 
— 
— 
Reductions for securities sold
(1)
— 
— 
(1)
— 
(2)
Change in allowance on securities with an allowance recorded in a previous period
7 
9 
(1)
— 
— 
15 
Write-offs charged against allowance (1)
(27)
— 
— 
— 
— 
(27)
Balance, end of period
$
26 
$
35 
$
3 
$
3 
$
— 
$
67 
_______________
(1)The Company did not record any write-offs for the six months ended June 30, 2026. The Company recorded total write-offs of $33 million for the six months ended June 30, 2025
Mortgage Loans by Portfolio Segment
Mortgage loans are summarized as follows at:
June 30, 2026
December 31, 2025
Carrying
Value
% of
Total
Carrying
Value
% of
Total
(Dollars in millions)
Commercial
$
11,930 
52.8 
%
$
12,323 
54.2 
%
Agricultural
4,686 
20.7 
4,656 
20.5 
Residential
6,211 
27.5 
5,976 
26.3 
Total mortgage loans (1)
22,827 
101.0 
22,955 
101.0 
Allowance for credit losses
(220)
(1.0)
(200)
(1.0)
Total mortgage loans, net
$
22,607 
100.0 
%
$
22,755 
100.0 
%
_______________
(1)Purchases of mortgage loans from third parties were $426 million and $721 million for the three months and six months ended June 30, 2026, respectively, and $379 million and $557 million for the three months and six months ended June 30, 2025, respectively, and were primarily comprised of residential mortgage loans.
Rollforward of the Allowance for Credit Losses for Mortgage Loans by Portfolio Segment
The changes in the allowance for credit losses by portfolio segment were as follows:
Commercial
Agricultural
Residential
Total
(In millions)
Six Months Ended June 30, 2026
Balance, beginning of period
$
134 
$
20 
$
46 
$
200 
Current period provision
29 
(1)
(8)
20 
Charge-offs, net of recoveries
— 
— 
— 
— 
Balance, end of period
$
163 
$
19 
$
38 
$
220 
Six Months Ended June 30, 2025
Balance, beginning of period
$
106 
$
30 
$
42 
$
178 
Current period provision
64 
4 
(1)
67 
Charge-offs, net of recoveries
(24)
(12)
— 
(36)
Balance, end of period
$
146 
$
22 
$
41 
$
209 
Credit Quality of Mortgage Loans by Portfolio Segment
The amortized cost of mortgage loans by year of origination and credit quality indicator was as follows at:
2026
2025
2024
2023
2022
Prior
Total
(In millions)
June 30, 2026
Commercial mortgage loans
Loan-to-value ratios:
Less than 65%
$
157 
$
423 
$
634 
$
136 
$
436 
$
4,125 
$
5,911 
65% to 75%
298 
238 
181 
— 
583 
1,555 
2,855 
76% to 80%
— 
40 
— 
— 
148 
556 
744 
Greater than 80%
— 
5 
— 
— 
719 
1,696 
2,420 
Total commercial mortgage loans
455 
706 
815 
136 
1,886 
7,932 
11,930 
Agricultural mortgage loans
Loan-to-value ratios:
Less than 65%
273 
329 
331 
179 
562 
2,733 
4,407 
65% to 75%
15 
42 
— 
17 
83 
116 
273 
76% to 80%
— 
— 
— 
— 
— 
3 
3 
Greater than 80%
— 
— 
— 
— 
— 
3 
3 
Total agricultural mortgage loans
288 
371 
331 
196 
645 
2,855 
4,686 
Residential mortgage loans
Performing
425 
1,010 
510 
143 
1,084 
2,927 
6,099 
Nonperforming
— 
3 
— 
— 
44 
65 
112 
Total residential mortgage loans
425 
1,013 
510 
143 
1,128 
2,992 
6,211 
Total
$
1,168 
$
2,090 
$
1,656 
$
475 
$
3,659 
$
13,779 
$
22,827 
2025
2024
2023
2022
2021
Prior
Total
(In millions)
December 31, 2025
Commercial mortgage loans
Loan-to-value ratios:
Less than 65%
$
423 
$
668 
$
157 
$
483 
$
1,713 
$
2,905 
$
6,349 
65% to 75%
262 
180 
— 
583 
651 
717 
2,393 
76% to 80%
9 
— 
— 
205 
287 
606 
1,107 
Greater than 80%
36 
— 
— 
661 
244 
1,533 
2,474 
Total commercial mortgage loans
730 
848 
157 
1,932 
2,895 
5,761 
12,323 
Agricultural mortgage loans
Loan-to-value ratios:
Less than 65%
415 
343 
191 
558 
1,048 
1,820 
4,375 
65% to 75%
43 
— 
17 
97 
100 
18 
275 
76% to 80%
— 
— 
— 
— 
— 
3 
3 
Greater than 80%
— 
— 
— 
— 
3 
— 
3 
Total agricultural mortgage loans
458 
343 
208 
655 
1,151 
1,841 
4,656 
Residential mortgage loans
Performing
873 
622 
168 
1,146 
1,505 
1,554 
5,868 
Nonperforming
— 
— 
— 
45 
22 
41 
108 
Total residential mortgage loans
873 
622 
168 
1,191 
1,527 
1,595 
5,976 
Total
$
2,061 
$
1,813 
$
533 
$
3,778 
$
5,573 
$
9,197 
$
22,955 
The amortized cost of commercial mortgage loans by debt-service coverage ratio was as follows at:
June 30, 2026
December 31, 2025
Amortized Cost
% of
Total
Amortized Cost
% of
Total
(Dollars in millions)
Debt-service coverage ratios:
Greater than 1.20x
$
10,471 
87.8 
%
$
11,157 
90.5 
%
1.00x - 1.20x
839 
7.0 
739 
6.0 
Less than 1.00x
620 
5.2 
427 
3.5 
Total
$
11,930 
100.0 
%
$
12,323 
100.0 
%
Past Due Mortgage Loans by Portfolio Segment
The aging of the amortized cost of past due mortgage loans by portfolio segment was as follows at:
June 30, 2026
December 31, 2025
Commercial
Agricultural
Residential
Total
Commercial
Agricultural
Residential
Total
(In millions)
Current
$
11,804 
$
4,679 
$
6,001 
$
22,484 
$
12,216 
$
4,648 
$
5,865 
$
22,729 
30-59 days past due
— 
— 
98 
98 
47 
— 
3 
50 
60-89 days past due
— 
— 
35 
35 
— 
— 
31 
31 
90-179 days past due
19 
6 
33 
58 
49 
— 
28 
77 
180+ days past due
107 
1 
44 
152 
11 
8 
49 
68 
Total
$
11,930 
$
4,686 
$
6,211 
$
22,827 
$
12,323 
$
4,656 
$
5,976 
$
22,955 
Mortgage Loans in Nonaccrual Status by Portfolio Segment
The amortized cost of mortgage loans in a nonaccrual status by portfolio segment was as follows at:
Commercial
Agricultural
Residential (1)
Total
(In millions)
June 30, 2026
$
238 
$
1 
$
112 
$
351 
December 31, 2025
$
220 
$
5 
$
108 
$
333 
_______________
(1) The Company had $50 million and $54 million of mortgage loans in nonaccrual status for which there was no related allowance for credit losses at June 30, 2026 and December 31, 2025, respectively.
Net Unrealized Investment Gains (Losses)
The components of net unrealized investment gains (losses), included in AOCI, were as follows at:
June 30, 2026
December 31, 2025
(In millions)
Fixed maturity securities
$
(5,766)
$
(4,968)
Derivatives
264 
224 
Other
(8)
(9)
Subtotal
(5,510)
(4,753)
Amounts allocated from:
Future policy benefits
485 
525 
Deferred income tax benefit (expense)
1,055 
888 
Net unrealized investment gains (losses)
$
(3,970)
$
(3,340)
The changes in net unrealized investment gains (losses) were as follows:
Six Months Ended June 30, 2026
(In millions)
Balance at December 31, 2025
$
(3,340)
Unrealized investment gains (losses) during the period
(757)
Unrealized investment gains (losses) relating to:
Future policy benefits
(40)
Deferred income tax benefit (expense)
167 
Balance at June 30, 2026
$
(3,970)
Change in net unrealized investment gains (losses)
$
(630)
Securities Lending
Elements of the securities lending program are presented below at:
June 30, 2026
December 31, 2025
(In millions)
Securities on loan: (1)
Amortized cost
$
3,648 
$
3,550 
Estimated fair value
$
3,213 
$
3,141 
Cash collateral received from counterparties (2)
$
3,323 
$
3,225 
Reinvestment portfolio — estimated fair value
$
3,449 
$
3,352 
_______________
(1)Included in fixed maturity securities.
(2)Included in payables for collateral under securities loaned and other transactions.
The cash collateral liability by loaned security type and remaining tenor of the agreements were as follows at:
June 30, 2026
December 31, 2025
Open (1)
1 Month or Less
1 to 6 Months
Total
Open (1)
1 Month or Less
1 to 6 Months
Total
(In millions)
U.S. government and agency
$
557 
$
973 
$
1,433 
$
2,963 
$
417 
$
663 
$
1,777 
$
2,857 
U.S. corporate
4 
38 
258 
300 
48 
256 
— 
304 
Foreign corporate
— 
1 
42 
43 
15 
47 
— 
62 
Foreign government
— 
4 
13 
17 
— 
2 
— 
2 
Total
$
561 
$
1,016 
$
1,746 
$
3,323 
$
480 
$
968 
$
1,777 
$
3,225 
_______________
(1)The related loaned security could be returned to the Company on the next business day which would require the Company to immediately return the cash collateral.
Invested Assets on Deposit, Held in Trust and Pledged as Collateral
Invested assets on deposit, held in trust and pledged as collateral at estimated fair value were as follows at:
June 30, 2026
December 31, 2025
(In millions)
Invested assets on deposit (regulatory deposits) (1)
$
6,125 
$
6,574 
Invested assets held in trust (reinsurance agreements) (2)
7,203 
7,327 
Invested assets pledged as collateral (3)
13,105 
10,794 
Total invested assets on deposit, held in trust and pledged as collateral
$
26,433 
$
24,695 
_______________
(1)The Company has assets, primarily fixed maturity securities, on deposit with governmental authorities relating to certain policyholder liabilities, of which $142 million and $126 million of the assets on deposit represents restricted cash and cash equivalents at June 30, 2026 and December 31, 2025, respectively.
(2)The Company has assets, primarily fixed maturity securities, held in trust relating to certain reinsurance transactions, of which $242 million and $331 million of the assets held in trust balance represents restricted cash and cash equivalents at June 30, 2026 and December 31, 2025, respectively.
(3)The Company has pledged invested assets in connection with various agreements and transactions, including funding agreements (see Note 3 of the Notes to the Consolidated Financial Statements included in the 2025 Annual Report) and derivative transactions (see Note 8).
Variable Interest Entities
The carrying amount and maximum exposure to loss related to the VIEs for which the Company has concluded that it holds a variable interest, but is not the primary beneficiary, were as follows at:
June 30, 2026
December 31, 2025
Carrying Amount
Maximum Exposure to Loss
Carrying Amount
Maximum Exposure to Loss
(In millions)
Fixed maturity securities
$
12,482 
$
13,149 
$
13,174 
$
13,780 
Limited partnerships and LLCs
4,174 
5,095 
4,288 
5,244 
Total
$
16,656 
$
18,244 
$
17,462 
$
19,024 
Components of Net Investment Income
The components of net investment income were as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
(In millions)
Investment income:
Fixed maturity securities
$
943 
$
924 
$
1,859 
$
1,848 
Trading securities (1)
8 
(1)
5 
10 
Equity securities
1 
1 
1 
1 
Mortgage loans
257 
255 
512 
512 
Policy loans
15 
19 
34 
37 
Limited partnerships and LLCs (2)
11 
80 
78 
151 
Cash, cash equivalents and short-term investments
63 
63 
123 
135 
Other
33 
25 
64 
52 
Total investment income
1,331 
1,366 
2,676 
2,746 
Less: Investment expenses
90 
81 
177 
164 
Net investment income
$
1,241 
$
1,285 
$
2,499 
$
2,582 
_______________
(1)Investment gains (losses) related to trading securities still held were $2 million and ($8) million for the three months and six months ended June 30, 2026, respectively, and ($6) million and less than $1 million for the three months and six months ended June 30, 2025, respectively.
(2)Includes net investment income pertaining to other limited partnership interests of $5 million and $69 million for the three months and six months ended June 30, 2026, respectively, and $63 million and $119 million for the three months and six months ended June 30, 2025, respectively.
Components of Net Investment Gains (Losses)
The components of net investment gains (losses) were as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
(In millions)
Fixed maturity securities
$
(5)
$
(23)
$
(44)
$
(57)
Equity securities
8 
3 
6 
— 
Mortgage loans
(10)
(24)
(20)
(67)
Limited partnerships and LLCs
1 
1 
1 
— 
Other
— 
4 
(1)
2 
Total net investment gains (losses)
$
(6)
$
(39)
$
(58)
$
(122)
Gains (losses) from foreign currency transactions included within net investment gains (losses) were not significant for the three months and six months ended June 30, 2026 and 2025.
Sales or Disposals of Fixed Maturity Securities Proceeds from sales or disposals of fixed maturity securities and the components of fixed maturity securities net investment gains (losses) were as follows:
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
(In millions)
Proceeds
$
337 
$
286 
$
956 
$
973 
Gross investment gains
$
3 
$
2 
$
5 
$
5 
Gross investment losses
(7)
(15)
(31)
(43)
Net investment gains (losses)
$
(4)
$
(13)
$
(26)
$
(38)