v3.26.1
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 The following table presents the notional amounts and gross fair value of derivative instruments prior to taking into account the netting effects of master netting agreements as of June 30, 2026 and December 31, 2025 (dollars in millions):
June 30, 2026December 31, 2025
Primary Underlying RiskNotionalCarrying Value / Fair ValueNotionalCarrying Value / Fair Value
AmountAssetsLiabilitiesAmountAssetsLiabilities
Derivatives not designated as hedging instruments:
Interest rate swaps Interest rate$2,415 $9 $19 $2,088 $5 $14 
Interest rate optionsInterest rate1,000 — — 750 — — 
Total return swapsInterest rate581 1 6 527 1 5 
Foreign currency swapsForeign currency150 52 — 150 48 — 
Foreign currency forwardsForeign currency1,381 — 37 1,358 1 53 
Foreign currency optionsForeign currency305 1 — 305 — — 
Equity optionsEquity6,089 483 261 5,897 459 245 
Equity futuresEquity187 — — 200 — — 
Credit default swapsCredit8,048 4 3 6,573 3 10 
Credit default index swaps optionsCredit1,000 — — 1,000 — — 
Other swapsCredit1,155 2 2 1,225 3 3 
CPI swapsCPI377 2 6 395 2 7 
Synthetic GICsInterest rate16,833 — — 17,209 — — 
Embedded derivatives in:
Modified coinsurance or funds withheld arrangements— 311 339 — 272 341 
Indexed products— — 434 — — 470 
Total non-designated derivatives39,521 865 1,107 37,677 794 1,148 
Derivatives designated as hedging instruments:
Interest rate swaps Interest rate3,936 6 61 3,641 31 56 
Forward bond purchase commitmentsInterest rate6,768 5 275 3,058 5 227 
Foreign currency swapsForeign currency1,880 6 420 2,008 8 331 
Foreign currency forwardsForeign currency2,291 46 13 2,270 12 38 
Total hedging derivatives14,875 63 769 10,977 56 652 
Total derivatives$54,396 $928 $1,876 $48,654 $850 $1,800 
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] The gain or loss on the hedged item attributable to a change in interest rates and the offsetting gain or loss on the related interest rate swaps for the three and six months ended June 30, 2026 and 2025 are as follows (dollars in millions):
Derivative TypeHedged ItemClaims and Other Policy BenefitsInterest Credited
DerivativesHedged ItemsDerivativesHedged Items
For the three months ended June 30, 2026:
Interest rate swapsFuture policy benefits$(8)$7 $— $— 
Interest rate swapsInterest-sensitive contract liabilities— — (17)18 
For the three months ended June 30, 2025:
Interest rate swapsFuture policy benefits1 (1)— — 
Interest rate swapsInterest-sensitive contract liabilities— — 2 (1)
For the six months ended June 30, 2026:
Interest rate swapsFuture policy benefits(10)11 — — 
Interest rate swapsInterest-sensitive contract liabilities— — (25)27 
For the six months ended June 30, 2025:
Interest rate swapsFuture policy benefits14 (14)— — 
Interest rate swapsInterest-sensitive contract liabilities— — 22 (26)
The following table presents the balance sheet classification, carrying amount and cumulative fair value hedging adjustments for items designated and qualifying as hedged items in fair value hedges (dollars in millions):
Hedged ItemCarrying Amount of
the Hedged Assets / (Liabilities)
Cumulative Fair Value Hedging Adjustments Included in the Carrying Amount of Hedged Assets / (Liabilities) (1)
June 30, 2026
December 31, 2025
June 30, 2026
December 31, 2025
Future policy benefits$(568)$(547)$10 $(1)
Interest-sensitive contract liabilities(1,740)(1,463)22 (5)
(1)    Includes $25 million and $(6) million of cumulative adjustment on discontinued fair value hedging relationships at June 30, 2026 and December 31, 2025, respectively.
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block]
The following table presents the cash flow hedge components of AOCI, before income taxes, and where the gain or loss related to cash flow hedges is recognized on the condensed consolidated statements of income classification for the three and six months ended June 30, 2026 and 2025 (dollars in millions):
Three months ended June 30,
20262025
Balance, beginning of period$(819)$(485)
Gains (losses), net deferred in other comprehensive income (loss)(126)(4)
Amounts reclassified to net investment income16 18 
Amounts reclassified to interest expense(2)(2)
Balance, end of period$(931)$(473)
Six months ended June 30,
20262025
Balance, beginning of period$(748)$(495)
Gains (losses), net deferred in other comprehensive income (loss)(214)(10)
Amounts reclassified to net investment income34 36 
Amounts reclassified to interest expense(3)(4)
Balance, end of period$(931)$(473)
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
The following table presents the effect of derivatives in cash flow hedging relationships on the condensed consolidated statements of income for the three and six months ended June 30, 2026 and 2025 (dollars in millions):
Derivative TypeGains (Losses)
 Deferred in OCI		Gains (Losses) Reclassified into Income from
AOCI
Net Investment IncomeInterest Expense
For the three months ended June 30, 2026:
Interest rate$(36)$— $2 
Foreign currency(90)(16)— 
Total$(126)$(16)$2 
For the three months ended June 30, 2025:
Interest rate$(64)$(1)$2 
Foreign currency60 (17)— 
Total$(4)$(18)$2 
For the six months ended June 30, 2026:
Interest rate$(74)$— $3 
Foreign currency(140)(34)— 
Total$(214)$(34)$3 
For the six months ended June 30, 2025:
Interest rate$(52)$(2)$4 
Foreign currency42 (34)— 
Total$(10)$(36)$4 
Schedule of Net Investment Hedges, Statements of Financial Performance and Financial Position, Location [Table Text Block] The following table illustrates the Company’s net investments in foreign operations (“NIFO”) hedges and the gains (losses) deferred in OCI for the three and six months ended June 30, 2026 and 2025 (dollars in millions):
Derivative Gains (Losses) Deferred in OCI   
Three months ended June 30,Six months ended June 30,
Derivative Type2026202520262025
Foreign currency forwards$27 $(106)$66 $(121)
Derivatives Not Designated as Hedging Instruments [Table Text Block]
The following tables summarize the effect of non-qualifying derivatives, including embedded derivatives, on the Company’s condensed consolidated statements of income for the three and six months ended June 30, 2026 and 2025 (dollars in millions):
Gains (Losses) for the three months ended     
June 30,
Type of Non-qualifying DerivativeIncome Statement Location of Gains (Losses)20262025
Interest rate swapsInvestment related gains (losses), net$(2)$(1)
Interest rate optionsInvestment related gains (losses), net— (1)
Total return swapsInvestment related gains (losses), net3 6 
Foreign currency swapsInvestment related gains (losses), net6 (2)
Foreign currency forwardsInvestment related gains (losses), net(38)40 
Foreign currency optionsInvestment related gains (losses), net(2)(2)
Equity optionsInvestment related gains (losses), net82 11 
Equity futuresInvestment related gains (losses), net(25)(21)
Credit default swapsInvestment related gains (losses), net69 21 
Credit default index swaps optionsInvestment related gains (losses), net(2)— 
CPI swapsInvestment related gains (losses), net(3)(1)
Subtotal88 50 
Embedded derivatives in:
Modified coinsurance or funds withheld arrangementsInvestment related gains (losses), net(3)3 
Indexed productsInterest credited(79)8 
Total non-qualifying derivatives$6 $61 
Gains (Losses) for the six months ended     
June 30,
Type of Non-qualifying DerivativeIncome Statement Location of Gains (Losses)20262025
Interest rate swapsInvestment related gains (losses), net$4 $5 
Interest rate optionsInvestment related gains (losses), net— (1)
Total return swapsInvestment related gains (losses), net(3)— 
Foreign currency swapsInvestment related gains (losses), net7 (5)
Foreign currency forwardsInvestment related gains (losses), net(63)62 
Foreign currency optionsInvestment related gains (losses), net(3)(3)
Equity optionsInvestment related gains (losses), net54 5 
Equity futuresInvestment related gains (losses), net(19)(12)
Credit default swapsInvestment related gains (losses), net52 3 
Credit default index swaps optionsInvestment related gains (losses), net(2)— 
CPI swapsInvestment related gains (losses), net4 (6)
Subtotal31 48 
Embedded derivatives in:
Modified coinsurance or funds withheld arrangementsInvestment related gains (losses), net41 (8)
Indexed productsInterest credited(49)32 
Total non-qualifying derivatives$23 $72 
Disclosure Of Credit Derivatives
The following table presents the estimated fair value, maximum amount of future payments and weighted average years to maturity of credit default swaps sold by the Company as of June 30, 2026 and December 31, 2025 (dollars in millions):
June 30, 2026December 31, 2025
Rating Agency Designation of Referenced Credit Obligations (1)
Estimated Fair
Value of Credit 
Default Swaps
Maximum
Amount of Future
Payments under
Credit Default
Swaps (2)
Weighted
Average
Years to
Maturity (3)
Estimated Fair
Value of Credit 
Default Swaps
Maximum
Amount of Future
Payments under
Credit Default
Swaps (2)
Weighted
Average
Years to
Maturity (3)  
AAA/AA/A
Single name credit default swaps$2 $471 14.2$(7)$490 14.2
BBB
Single name credit default swaps2 174 1.62 170 2.1
Credit default swaps referencing indices(3)7,403 5.4(2)5,903 5.5
Subtotal(1)7,577 5.3— 6,073 5.4
BB
Single name credit default swaps— — 0.0— 5 0.5
B
Single name credit default swaps— — 0.0— 5 0.5
Total$1 $8,048 5.8$(7)$6,573 6.0
(1)Rating agency designations are based on ratings from Standard and Poor’s (“S&P”) when available. Other credited rating agencies or internal ratings may be used when S&P ratings are not available.
(2)Assumes the value of the referenced credit obligations is zero.
(3)The weighted average years to maturity of the credit default swaps is calculated based on weighted average notional amounts.
Offsetting Assets [Table Text Block]
The following table presents information relating to the netting of the Company’s derivative instruments as of June 30, 2026 and December 31, 2025 (dollars in millions):
Gross Amounts  
Recognized		Gross Amounts
Offset in the
Balance Sheet   		Net Amounts
Presented in the
Balance Sheet   
Financial
Instruments / Collateral (1)
Net Amount   
June 30, 2026:
Derivative assets$617 $(404)$213 $(213)$— 
Derivative liabilities1,103 (404)699 (699)— 
December 31, 2025:
Derivative assets$578 $(390)$188 $(188)— 
Derivative liabilities989 (390)599 (599)— 
(1)Includes initial margin posted to a central clearing partner for financial instruments and excludes the excess of collateral received/pledged from/to the counterparty.
Offsetting Liabilities [Table Text Block]
The following table presents information relating to the netting of the Company’s derivative instruments as of June 30, 2026 and December 31, 2025 (dollars in millions):
Gross Amounts  
Recognized		Gross Amounts
Offset in the
Balance Sheet   		Net Amounts
Presented in the
Balance Sheet   
Financial
Instruments / Collateral (1)
Net Amount   
June 30, 2026:
Derivative assets$617 $(404)$213 $(213)$— 
Derivative liabilities1,103 (404)699 (699)— 
December 31, 2025:
Derivative assets$578 $(390)$188 $(188)— 
Derivative liabilities989 (390)599 (599)— 
(1)Includes initial margin posted to a central clearing partner for financial instruments and excludes the excess of collateral received/pledged from/to the counterparty.