v3.26.1
Derivative Instruments (Tables)
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Positions in Derivative Instruments
The following table sets forth our positions in derivative instruments as of the dates indicated:
Derivative assetsDerivative liabilities
Fair valueFair value
(Amounts in millions)Balance
sheet classification		June 30,
2026		December 31,
2025		Balance
sheet classification		June 30,
2026		December 31,
2025
Derivatives designated as hedges
Cash flow hedges:
Interest rate swapsOther invested assets$8 $11 Other liabilities$779 $849 
Foreign currency swapsOther invested assets6 4 Other liabilities3 4 
Forward bond purchase commitmentsOther invested assets7 6 Other liabilities66 71 
Total cash flow hedges21 21 848 924 
Total derivatives designated as hedges21 21 848 924 
Derivatives not designated as hedges
Equity index optionsOther invested assets15 18 Other liabilities— — 
Financial futures (1)
Other invested assets— — Other liabilities— — 
Forward bond purchase commitmentsOther invested assets— — Other liabilities34 36 
Foreign currency forward contractsOther invested assets— — Other liabilities12 17 
Fixed indexed annuity embedded derivativesOther assets— — 
Policyholder account balances (2)
132 138 
Indexed universal life embedded derivativesReinsurance recoverable— — 
Policyholder account balances (3)
14 14 
Total derivatives not designated as hedges15 18 192 205 
Total derivatives$36 $39 $1,040 $1,129 
______________
(1)The period end valuations of financial futures were zero as a result of settling the margins on these contracts on a daily basis.
(2)Represents the embedded derivatives associated with our fixed indexed annuity liabilities.
(3)Represents the embedded derivatives associated with our indexed universal life liabilities.
Schedule of Activity Associated with Derivative Instruments The following tables represent activity associated with derivative instruments as of and for the periods indicated:
(Notional in millions)MeasurementDecember 31,
2025		AdditionsMaturities/
terminations		June 30,
2026
Derivatives designated as hedges
Cash flow hedges:
Interest rate swapsNotional$8,058 $— $(547)$7,511 
Foreign currency swapsNotional156 — — 156 
Forward bond purchase commitmentsNotional2,964 124 (85)3,003 
Total cash flow hedges11,178 124 (632)10,670 
Total derivatives designated as hedges11,178 124 (632)10,670 
Derivatives not designated as hedges
Equity index optionsNotional503 202 (248)457 
Financial futuresNotional989 2,095 (2,211)873 
Forward bond purchase commitmentsNotional500 — — 500 
Foreign currency forward contractsNotional521 519 (521)519 
Total derivatives not designated as hedges2,513 2,816 (2,980)2,349 
Total derivatives$13,691 $2,940 $(3,612)$13,019 
(Number of policies)MeasurementDecember 31,
2025		AdditionsMaturities/
terminations		June 30,
2026
Derivatives not designated as hedges
Fixed indexed annuity embedded derivativesPolicies4,171—(297)3,874
Indexed universal life embedded derivativesPolicies688—(7)681
Schedule of Pre-Tax Income (Loss) Effects of Cash Flow Hedges
The following table provides information about the pre-tax income (loss) effects of cash flow hedges for the three months ended June 30, 2026:
(Amounts in millions)Gain (loss)
recognized in OCI		Gain (loss)
reclassified into
net income (loss)
from OCI		Classification of
gain (loss)
reclassified into
net income (loss)		Gain (loss)
recognized in
net income (loss)		Classification of
gain (loss)
recognized in
net income (loss)
Interest rate swaps hedging assets$— $42 Net investment income$— Net investment gains (losses)
Interest rate swaps hedging assets— 5 Net investment gains (losses)— Net investment gains (losses)
Interest rate swaps hedging liabilities3 — Interest expense— Net investment gains (losses)
Foreign currency swaps(3)— Net investment income— Net investment gains (losses)
Forward bond purchase commitments16 1 Net investment gains (losses)— Net investment gains (losses)
Total$16 $48 $— 
The following table provides information about the pre-tax income (loss) effects of cash flow hedges for the three months ended June 30, 2025:
(Amounts in millions)Gain (loss)
recognized in OCI		Gain (loss)
reclassified into
net income (loss)
from OCI		Classification of
gain (loss)
reclassified into
net income (loss)		Gain (loss)
recognized in
net income (loss)		Classification of
gain (loss)
recognized in
net income (loss)
Interest rate swaps hedging assets$(85)$47 Net investment income$— Net investment gains (losses)
Interest rate swaps hedging assets— 1 Net investment gains (losses)— Net investment gains (losses)
Interest rate swaps hedging liabilities(1)(1)Interest expense— Net investment gains (losses)
Foreign currency swaps(13)— Net investment income— Net investment gains (losses)
Forward bond purchase commitments(59)— Net investment gains (losses)— Net investment gains (losses)
Total$(158)$47 $— 
The following table provides information about the pre-tax income (loss) effects of cash flow hedges for the six months ended June 30, 2026:
(Amounts in millions)Gain (loss)
recognized in OCI		Gain (loss)
reclassified into
net income (loss)
from OCI		Classification of
gain (loss)
reclassified into
net income (loss)		Gain (loss)
recognized in
net income (loss)		Classification of
gain (loss)
recognized in
net income (loss)
Interest rate swaps hedging assets$35 $86 Net investment income$— Net investment gains (losses)
Interest rate swaps hedging assets— 8 Net investment gains (losses)— Net investment gains (losses)
Interest rate swaps hedging liabilities2 (1)Interest expense— Net investment gains (losses)
Foreign currency swaps2 — Net investment income— Net investment gains (losses)
Forward bond purchase commitments6 1 Net investment gains (losses)— Net investment gains (losses)
Total$45 $94 $— 

The following table provides information about the pre-tax income (loss) effects of cash flow hedges for the six months ended June 30, 2025:
(Amounts in millions)Gain (loss)
recognized in OCI		Gain (loss)
reclassified into
net income (loss)
from OCI		Classification of
gain (loss)
reclassified into
net income (loss)		Gain (loss)
recognized in
net income (loss)		Classification of
gain (loss)
recognized in
net income (loss)
Interest rate swaps hedging assets$(23)$95 Net investment income$— Net investment gains (losses)
Interest rate swaps hedging assets— 2 Net investment gains (losses)— Net investment gains (losses)
Interest rate swaps hedging liabilities(3)(1)Interest expense— Net investment gains (losses)
Foreign currency swaps(14)— Net investment income— Net investment gains (losses)
Forward bond purchase commitments(23)— Net investment gains (losses)— Net investment gains (losses)
Total$(63)$96 $— 
Schedule of Derivatives Reported in Accumulated Other Comprehensive Income (Loss)
The change for these designated derivatives reported in accumulated other comprehensive income (loss) was as follows as of and for the periods indicated:
Three months ended
June 30,		Six months ended
June 30,
(Amounts in millions)2026202520262025
Beginning balance$180 $535 $187 $492 
Current period increases (decreases) in fair value (1)
13 (124)36 (50)
Reclassification to net (income) loss (2)
(31)(31)(61)(62)
Ending balance$162 $380 $162 $380 
______________
(1)Net of deferred taxes of $(3) million and $34 million during the three months ended June 30, 2026 and 2025, respectively, and $(9) million and $13 million during the six months ended June 30, 2026 and 2025, respectively.
(2)Net of deferred taxes of $17 million and $16 million during the three months ended June 30, 2026 and 2025, respectively, and $33 million and $34 million during the six months ended June 30, 2026 and 2025, respectively.
Schedule of Pre-Tax Gain (Loss) Recognized in Net Income (Loss) for Effects of Derivatives Not Designated as Hedges
The following table provides the pre-tax gain (loss) recognized in net income (loss) for the effects of derivatives not designated as hedges for the periods indicated:
Three months ended
June 30,		Six months ended
June 30,		Classification of gain (loss) recognized in net income (loss)
(Amounts in millions)2026202520262025
Equity index options$6 $5 $3 $1 Net investment gains (losses)
Financial futures(52)(50)(46)(17)Changes in fair value of market risk benefits and associated hedges
Forward bond purchase commitments3 (12)2 (8)Net investment gains (losses)
Foreign currency forward contracts(5)(24)5 (24)Net investment gains (losses)
Fixed indexed annuity embedded derivatives(6)(6)(4)(2)Net investment gains (losses)
Indexed universal life embedded derivatives(1)— (1)1 Net investment gains (losses)
Total derivatives not designated as hedges$(55)$(87)$(41)$(49)
Schedule of Derivative Assets Subject to Master Netting Arrangement The following table presents additional information about derivative assets and liabilities subject to an enforceable master netting arrangement as of the dates indicated:
June 30, 2026December 31, 2025
(Amounts in millions)
Derivative
assets (1)
Derivative
liabilities (1)
Net
derivatives
Derivative
assets (1)
Derivative
liabilities (1)
Net
derivatives
Amounts presented in the balance sheet:
Gross amounts recognized$36 $894 $(858)$39 $977 $(938)
Gross amounts offset in the balance sheet— — — — — — 
Net amounts presented in the balance sheet36 894 (858)39 977 (938)
Gross amounts not offset in the balance sheet:
Financial instruments (2)
(22)(22)— (21)(21)— 
Collateral received(10)— (10)(17)— (17)
Collateral pledged— (1,582)1,582 — (1,717)1,717 
Over collateralization3 720 (717)4 778 (774)
Net amount$7 $10 $(3)$5 $17 $(12)
______________
(1)Does not include amounts related to embedded derivatives as of June 30, 2026 and December 31, 2025.
(2)Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty.
Schedule of Derivative Liabilities Subject to Master Netting Arrangement The following table presents additional information about derivative assets and liabilities subject to an enforceable master netting arrangement as of the dates indicated:
June 30, 2026December 31, 2025
(Amounts in millions)
Derivative
assets (1)
Derivative
liabilities (1)
Net
derivatives
Derivative
assets (1)
Derivative
liabilities (1)
Net
derivatives
Amounts presented in the balance sheet:
Gross amounts recognized$36 $894 $(858)$39 $977 $(938)
Gross amounts offset in the balance sheet— — — — — — 
Net amounts presented in the balance sheet36 894 (858)39 977 (938)
Gross amounts not offset in the balance sheet:
Financial instruments (2)
(22)(22)— (21)(21)— 
Collateral received(10)— (10)(17)— (17)
Collateral pledged— (1,582)1,582 — (1,717)1,717 
Over collateralization3 720 (717)4 778 (774)
Net amount$7 $10 $(3)$5 $17 $(12)
______________
(1)Does not include amounts related to embedded derivatives as of June 30, 2026 and December 31, 2025.
(2)Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty.