Fair Value of Assets and Liabilities (Tables)

6 Months Ended

Jun. 30, 2026

Schedule Of Fair Value Assets and Liabilities Measured on Recurring Basis Table Text Block

Assets and liabilities measured at fair value on a recurring basis as of June 30, 2026 and December 31, 2025 are summarized below (dollars in millions):


June 30, 2026:			Fair Value Measurements Using:
	Total		Level 1		Level 2		Level 3
Assets: (1)
Fixed maturity securities available-for-sale:
Corporate	$	76,827	$	—	$	66,269	$	10,558
Canadian government	4,927		—		4,927		—
Japanese government	6,807		—		6,807		—
Korean government	1,057		—		1,057		—
ABS	7,060		—		3,630		3,430
CMBS	2,478		—		2,435		43
RMBS	1,844		—		1,844		—
U.S. government	2,108		1,900		205		3
State and political subdivisions	674		—		674		—
Other foreign government	5,488		—		5,359		129
Total fixed maturity securities available-for-sale	109,270		1,900		93,207		14,163
Equity securities	302		208		—		94
Funds withheld at interest – embedded derivatives	(167)		—		—		(167)
Funds withheld at interest	61		—		—		61
Real estate joint ventures – fair value	43		—		—		43
Cash equivalents	3,157		3,004		153		—
Short-term investments	318		200		89		29
Other invested assets:
Derivatives	211		—		211		—

Other	15		—		15		—
Total other invested assets	226		—		226		—
Other assets – derivatives	2		—		—		2
Total	$	113,212	$	5,312	$	93,675	$	14,225
Liabilities:
Interest-sensitive contract liabilities – embedded derivatives	$	434	$	—	$	—	$	434
Other liabilities:
Funds withheld at interest – embedded derivatives	(139)		—		—		(139)
Derivatives	699		—		697		2
Total	$	994	$	—	$	697	$	297

(1)Excludes limited partnerships that are measured at estimated fair value using the NAV per share (or its equivalent) as a practical expedient. As of June 30, 2026, the fair value of such investments was $875 million.


December 31, 2025:			Fair Value Measurements Using:
	Total		Level 1		Level 2		Level 3
Assets: (1)
Fixed maturity securities available-for-sale:
Corporate	$	69,737	$	—	$	59,710	$	10,027
Canadian government	5,100		—		5,100		—
Japanese government	4,701		—		4,701		—
Korean government	1,312		—		1,312		—
ABS	7,369		—		3,831		3,538
CMBS	2,162		—		2,099		63
RMBS	1,569		—		1,569		—
U.S. government	3,287		3,074		209		4
State and political subdivisions	660		—		660		—
Other foreign government	5,872		—		5,752		120
Total fixed maturity securities available-for-sale	101,769		3,074		84,943		13,752
Equity securities	311		213		—		98
Funds withheld at interest – embedded derivatives	(128)		—		—		(128)
Funds withheld at interest	61		—		—		61
Real estate joint ventures – fair value	—		—		—		—
Cash equivalents	2,460		2,460		—		—
Short-term investments	255		156		66		33
Other invested assets:
Derivatives	185		—		185		—
Other	17		—		17		—


Total other invested assets	202		—		202		—
Other assets – derivatives	3		—		—		3
Total	$	104,933	$	5,903	$	85,211	$	13,819
Liabilities:
Interest-sensitive contract liabilities – embedded derivatives	$	470	$	—	$	—	$	470
Other liabilities:
Funds withheld at interest – embedded derivatives	(59)		—		—		(59)
Derivatives	599		—		596		3
Total	$	1,010	$	—	$	596	$	414

(1)Excludes limited partnerships that are measured at estimated fair value using the NAV per share (or its equivalent) as a practical expedient. As of December 31, 2025, the fair value of such investments was $925 million.

Fair Value Measurement Inputs and Valuation Techniques [Table Text Block]

The following table presents quantitative information about significant unobservable inputs used in Level 3 fair value measurements that are developed internally by the Company as of June 30, 2026 and December 31, 2025 (dollars in millions):


	Estimated Fair Value				Valuation Technique	Unobservable Input	Range (Weighted Average)
	June 30, 2026		December 31, 2025				June 30, 2026	December 31, 2025
Assets:
Corporate	$	782	$	636	Market comparable securities	Liquidity premium	0-3% (2%)	0-4% (3%)
						EBITDA Multiple	6.0x-14.1x (7.8x)	6.0x-14.8x (9.3x)
ABS	1,248		1,329		Market comparable securities	Liquidity premium	0-67% (4%)	0-20% (4%)
U.S. government	3		4		Market comparable securities	Liquidity premium	1%	1	%


Equity securities	29		41		Market comparable securities	Liquidity premium	4%	4%
						EBITDA Multiple	7.5x-11.6x (9.1x)	7.4x-13.3x (9.9x)

Funds withheld at interest – embedded derivatives	21		26		Total return swap	Mortality	0-100% (4%)	0-100% (4%)
						Lapse	0-35% (20%)	0-35% (17%)
						Withdrawal	0-10% (5%)	0-10% (5%)
						CVA	0-5% (0%)	0-5% (0%)
						Crediting rate	1-8% (2%)	1-8% (2%)


Other assets – derivatives	2		3		Credit default swap	Credit spread	0-1% (0%)	0-1% (0%)
						Probability of default	0-6% (1%)	0-7% (1%)
Liabilities:
Interest-sensitive contract liabilities – embedded derivatives – indexed products	434		470		Discounted cash flow	Mortality	0-100% (4%)	0-100% (3%)
						Lapse	0-35% (19%)	0-35% (16%)
						Withdrawal	0-10% (5%)	0-10% (4%)
						Option budget projection	1-8% (2%)	1-8% (2%)
Other liabilities – derivatives	2		3		Credit default swap	Credit spread	0-1% (0%)	0-1% (0%)
						Probability of default	0-6% (1%)	0-7% (1%)

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]


For the three months ended June 30, 2026:	Fixed maturity securities available-for-sale										Real estate joint ventures – fair value				Funds withheld at interest –embedded derivatives, net (1)		Funds withheld at interest		Interest-sensitive contract liabilities – embedded derivatives
	Corporate		Foreign govt		Structured securities		U.S. and local govt		Equity securities				Short-term investments
Fair value, beginning of period	$	10,074	$	115	$	3,542	$	3	$	91	$	16	$	20	$	(25)	$	63	$	(397)
Total gains/losses (realized/unrealized)
Included in earnings, net:
Net investment income	3		—		—		—		—		—		—		—		(1)		—
Investment related gains (losses), net	(33)		—		—		—		(3)		—		—		(3)		—



Interest credited	—		—		—		—		—		—		—		—		—		(79)
Included in other comprehensive income (loss)	(3)		(2)		(17)		—		—		—		—		—		—		—

Purchases (2)	1,103		16		517		—		6		27		9		—		—		(26)

Sales (2)	(345)		—		(29)		—		—		—		—		—		—		—
Settlements (2)	(241)		—		(484)		—		—		—		—		—		(1)		68
Transfers into Level 3	—		—		13		—		—		—		—		—		—		—
Transfers out of Level 3	—		—		(69)		—		—		—		—		—		—		—
Fair value, end of period	$	10,558	$	129	$	3,473	$	3	$	94	$	43	$	29	$	(28)	$	61	$	(434)
Total gains/losses (realized/unrealized) recorded for the period relating to those Level 3 assets and liabilities that were still held at the end of the period
Included in earnings, net:
Net investment income	$	3	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	(4)	$	—
Investment related gains (losses), net	(30)		—		—		—		(3)		—		—		(3)		—		—


Interest credited	—		—		—		—		—		—		—		—		—		(147)
Included in other comprehensive income (loss)	(6)		(2)		(21)		—		—		—		—		—		—		—

(1)Funds withheld at interest – embedded derivative assets and liabilities are presented net for purposes of the rollforward.

(2)The amount reported within purchases, sales and settlements is the purchase price (for purchases) and the sales/settlement proceeds (for sales and settlements) based upon the actual date purchased or sold/settled. Items purchased and sold/settled in the same period are excluded from the rollforward. The Company had no issuances during the period.


For the six months ended June 30, 2026:	Fixed maturity securities available-for-sale										Real estate joint ventures – fair value				Funds withheld at interest –embedded derivatives, net (1)		Funds withheld at interest		Interest-sensitive contract liabilities – embedded derivatives
	Corporate		Foreign govt		Structured securities		U.S. and local govt		Equity securities				Short-term investments
Fair value, beginning of period	$	10,027	$	120	$	3,601	$	4	$	98	$	—	$	33	$	(69)	$	61	$	(470)
Total gains/losses (realized/unrealized)
Included in earnings, net:
Net investment income	7		—		(1)		—		—		—		—		—		2		—
Investment related gains (losses), net	(63)		—		—		—		(13)		—		—		41		—		—



Interest credited	—		—		—		—		—		—		—		—		—		(49)
Included in other comprehensive income (loss)	(127)		(7)		(59)		—		—		—		(1)		—		(1)		—

Purchases (2)	1,640		16		1,264		—		10		43		23		—		1		(55)

Sales (2)	(475)		—		(66)		—		(1)		—		(2)		—		—		—
Settlements (2)	(423)		—		(1,175)		(1)		—		—		(18)		—		(2)		140
Transfers into Level 3	6		—		13		—		—		—		—		—		—		—
Transfers out of Level 3	(34)		—		(104)		—		—		—		(6)		—		—		—
Fair value, end of period	$	10,558	$	129	$	3,473	$	3	$	94	$	43	$	29	$	(28)	$	61	$	(434)
Total gains/losses (realized/unrealized) recorded for the period relating to those Level 3 assets and liabilities that were still held at the end of the period
Included in earnings, net:
Net investment income	$	6	$	—	$	(1)	$	—	$	—	$	—	$	—	$	—	$	(1)	$	—
Investment related gains (losses), net	(65)		—		—		—		(13)		—		—		41		—		—


Interest credited	—		—		—		—		—		—		—		—		—		(190)
Included in other comprehensive income (loss)	(124)		(7)		(65)		—		—		—		—		—		(1)		—

(1)Funds withheld at interest – embedded derivative assets and liabilities are presented net for purposes of the rollforward.


For the three months ended June 30, 2025:	Fixed maturity securities available-for-sale										Real estate joint ventures - fair value					Funds withheld at interest –embedded derivatives, net (1)		Funds withheld at interest		Interest-sensitive contract liabilities – embedded derivatives
	Corporate		Foreign govt		Structured securities		U.S. and local govt		Equity securities				Short-term investments
Fair value, beginning of period	$	8,222	$	30	$	1,908	$	4	$	87	$	—		$	3	$	(66)	$	57	$	(383)
Total gains/losses (realized/unrealized)
Included in earnings, net:
Net investment income	3		—		—		—		—		—			—		—		—		—
Investment related gains (losses), net	(24)		—		(1)		—		4		—			—		3		—		—

Interest credited	—		—		—		—		—		—			—		—		—		8

Included in other comprehensive income (loss)	60		2		29		—		—		—			—		—		4		—

Purchases (2)	889		—		384		—		—		—			7		—		1		4
Sales (2)	(47)		—		(10)		—		—		—			—		—		—		—
Settlements (2)	(182)		—		(51)		—		—		—			(1)		—		(2)		17
Transfers into Level 3	—		—		10		—		—		—			—		—		—		—
Transfers out of Level 3	(9)		—		(8)		—		—		—			—		—		—		—
Fair value, end of period	$	8,912	$	32	$	2,261	$	4	$	91	$	—		$	9	$	(63)	$	60	$	(354)
Total gains/losses (realized/unrealized) recorded for the period relating to those Level 3 assets and liabilities that were still held at the end of the period
Included in earnings, net:
Net investment income	$	3	$	—	$	—	$	—	$	—	$	—		$	—	$	—	$	(1)	$	—
Investment related gains (losses), net	(24)		—		—		—		4		—			—		3		—		—


Interest credited	—		—		—		—		—		—			—		—		—		(8)
Included in other comprehensive income (loss)	61		2		29		—		—		—			—		—		3		—

(1)Funds withheld at interest – embedded derivative assets and liabilities are presented net for purposes of the rollforward.


For the six months ended June 30, 2025:	Fixed maturity securities available-for-sale										Real estate joint ventures – fair value				Funds withheld at interest –embedded derivatives, net (1)		Funds withheld at interest		Interest-sensitive contract liabilities – embedded derivatives
	Corporate		Foreign govt		Structured securities		U.S. and local govt		Equity securities				Short-term investments
Fair value, beginning of period	$	6,854	$	30	$	1,799	$	5	$	88	$	—	$	11	$	(55)	$	56	$	(435)
Total gains/losses (realized/unrealized)
Included in earnings, net:
Net investment income	7		—		2		—		—		—		—		—		(1)		—
Investment related gains (losses), net	(31)		—		—		—		4		—		—		(8)		—		—

Interest credited	—		—		—		—		—		—		—		—		—		32

Included in other comprehensive income (loss)	99		2		49		—		—		—		—		—		6		—

Purchases (2)	2,403		—		580		—		—		—		7		—		1		11
Sales (2)	(91)		—		(10)		—		(1)		—		—		—		—		—
Settlements (2)	(322)		—		(165)		(1)		—		—		(7)		—		(2)		38
Transfers into Level 3	2		—		20		—		—		—		—		—		—		—
Transfers out of Level 3	(9)		—		(14)		—		—		—		(2)		—		—		—
Fair value, end of period	$	8,912	$	32	$	2,261	$	4	$	91	$	—	$	9	$	(63)	$	60	$	(354)
Total gains/losses (realized/unrealized) recorded for the period relating to those Level 3 assets and liabilities that were still held at the end of the period
Included in earnings, net:
Net investment income	$	6	$	—	$	1	$	—	$	—	$	—	$	—	$	—	$	(2)	$	—
Investment related gains (losses), net	(32)		—		—		—		5		—		—		(8)		—		—


Interest credited	—		—		—		—		—		—		—		—		—		(5)
Included in other comprehensive income (loss)	101		2		50		—		—		—		—		—		5		—

(1)Funds withheld at interest – embedded derivative assets and liabilities are presented net for purposes of the rollforward.

Fair Value Measurements, Nonrecurring

The following tables present information for assets measured at an estimated fair value on a nonrecurring basis during the periods and still held at the reporting dates (dollars in millions). The estimated fair values for these assets were determined using significant unobservable inputs (Level 3). For the three and six months ended June 30, 2025, the Company did not have any material assets that were measured at fair value on a nonrecurring basis due to impairment.


	Carrying Value After Measurement
	At June 30, 2026		At December 31, 2025
Mortgage loans	$	8	$	21
Limited partnerships and real estate joint ventures	16		46


	Investment Related Gains (Losses), Net
	Three months ended June 30, 2026		Six months ended June 30, 2026
Mortgage loans	$	—	$	(1)
Limited partnerships and real estate joint ventures	(5)		(12)

Financial Instruments Carrying Amounts And Estimated Fair Value [Table Text Block]

The following table presents the carrying values and estimated fair values of the Company’s financial instruments, which were not measured at fair value on a recurring basis, as of June 30, 2026 and December 31, 2025 (dollars in millions). For additional information regarding the methods and significant assumptions used by the Company to estimate these fair values, see Note 13 – “Fair Value of Assets and Liabilities” in the Notes to Consolidated Financial Statements included in the 2025 Annual Report. This table excludes any payables or receivables for collateral under repurchase/reverse repurchase agreements and other transactions. The estimated fair value of the excluded amounts approximates carrying value as they equal the amount of cash collateral received/paid.


June 30, 2026:	Carrying Value (1)		Estimated Fair Value		Fair Value Measurement Using:
					Level 1		Level 2		Level 3
Assets:
Mortgage loans	$	11,927	$	11,689	$	—	$	—	$	11,689
Policy loans	3,635		3,635		—		3,635		—
Funds withheld at interest	8,243		7,938		—		—		7,938
Limited partnerships – cost method	71		99		—		—		99
Cash and cash equivalents	2,131		2,131		2,131		—		—
Short-term investments	60		60		60		—		—
Other invested assets	1,319		1,082		—		65		1,017
Accrued investment income	1,389		1,389		—		1,389		—
Other asset	1,039		1,082		—		—		1,082
Liabilities:
Interest-sensitive contract liabilities (2)	$	33,379	$	33,250	$	—	$	—	$	33,250
Funds withheld at interest	6,530		6,343		—		—		6,343
Long-term debt	5,709		5,620		—		—		5,620


December 31, 2025:
Assets:
Mortgage loans	$	11,104	$	11,044	$	—	$	—	$	11,044
Policy loans	3,541		3,541		—		3,541		—
Funds withheld at interest	8,216		7,970		—		—		7,970
Limited partnerships – cost method	72		98		—		—		98
Cash and cash equivalents	1,708		1,708		1,708		—		—
Short-term investments	91		91		91		—		—
Other invested assets	1,271		1,051		2		68		981
Accrued investment income	1,296		1,296		—		1,296		—
Other asset	1,020		1,071		—		—		1,071
Liabilities:
Interest-sensitive contract liabilities (2)	$	31,056	$	31,013	$	—	$	—	$	31,013
Funds withheld at interest	6,863		6,681		—		—		6,681
Long-term debt	5,710		5,638		—		—		5,638

(1)Carrying values presented herein may differ from those in the Company’s condensed consolidated balance sheets because certain items within the respective financial statement captions may be measured at fair value on a recurring basis.

(2)Carrying values and estimated fair values presented herein include a reinsurance recoverable of $1.8 billion and $1.9 billion as of June 30, 2026 and December 31, 2025, respectively.

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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