v3.26.1
INVESTMENTS (Tables)
 6 Months Ended
Jun. 30, 2026
Schedule of Investments [Line Items]  
Available-for-Sale Securities
The amortized cost and allowance for credit losses for the Company's investments in fixed maturity securities and the fair values of these investments as well as the fair value of the Company's investments in equity securities are presented in the following tables.
  
June 30, 2026
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Securities available-for-sale, carried at fair
  value through other comprehensive income:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$17,381 $0 $29 $4,047 $13,363 
Municipalities826 0 0 183 643 
Mortgage- and asset-backed securities455 0 0 51 404 
Public utilities2,429 0 74 225 2,278 
Sovereign and supranational315 0 6 22 299 
Banks/financial institutions5,298 0 135 599 4,834 
Other corporate5,371 0 253 684 4,940 
Total yen-denominated32,075 0 497 5,811 26,761 
  U.S. dollar-denominated:
U.S. government and agencies207 0 1 4 204 
Municipalities1,085 0 81 45 1,121 
Mortgage- and asset-backed securities5,055 0 264 45 5,274 
Public utilities4,297 0 441 116 4,622 
Sovereign and supranational57 0 18 0 75 
Banks/financial institutions3,932 0 479 27 4,384 
Other corporate18,365 0 2,498 583 20,280 
Total U.S. dollar-denominated32,998 0 3,782 820 35,960 
Other currencies:
Mortgage- and asset-backed securities43 0 4 0 47 
Public utilities50 0 4 0 54 
Other corporate
24 0 2 0 26 
Total other currencies
117 0 10 0 127 
Total securities available-for-sale$65,190 $0 $4,289 $6,631 $62,848 
  
December 31, 2025
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Securities available-for-sale, carried at fair
  value through other comprehensive income:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$18,063 $0 $41 $3,727 $14,377 
Municipalities856 0 5 145 716 
Mortgage- and asset-backed securities297 0 1 38 260 
Public utilities2,519 0 123 174 2,468 
Sovereign and supranational330 0 7 13 324 
Banks/financial institutions5,382 0 170 477 5,075 
Other corporate5,438 0 357 534 5,261 
Total yen-denominated32,885 0 704 5,108 28,481 
  U.S. dollar-denominated:
U.S. government and agencies230 0 2 2 230 
Municipalities1,185 0 83 54 1,214 
Mortgage- and asset-backed securities3,854 0 239 35 4,058 
Public utilities4,292 0 465 107 4,650 
Sovereign and supranational57 0 21 0 78 
Banks/financial institutions3,672 0 518 21 4,169 
Other corporate18,967 0 2,740 597 21,110 
Total U.S. dollar-denominated32,257 0 4,068 816 35,509 
Other currencies:
Mortgage- and asset-backed securities44 0 4 0 48 
Public utilities52 0 4 0 56 
Other corporate25 0 2 0 27 
Total other currencies121 0 10 0 131 
Total securities available-for-sale$65,263 $0 $4,782 $5,924 $64,121 
Held-to-Maturity Securities
  
June 30, 2026
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Net
Carrying
Amount		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Securities held-to-maturity, carried at
  amortized cost:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$14,901 $1 $14,900 $5 $1,209 $13,696 
Municipalities225 0 225 0 20 205 
Public utilities31 0 31 0 5 26 
Sovereign and supranational337 3 334 3 22 315 
Other corporate15 0 15 0 1 14 
Total yen-denominated15,509 4 15,505 8 1,257 14,256 
Total securities held-to-maturity$15,509 $4 $15,505 $8 $1,257 $14,256 
  
December 31, 2025
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Net
Carrying
Amount		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Securities held-to-maturity, carried at
  amortized cost:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$15,461 $2 $15,459 $81 $713 $14,827 
Municipalities235 0 235 0 6 229 
Public utilities32 0 32 0 3 29 
Sovereign and supranational381 3 378 6 9 375 
Other corporate16 0 16 0 0 16 
Total yen-denominated16,125 5 16,120 87 731 15,476 
Total securities held-to-maturity$16,125 $5 $16,120 $87 $731 $15,476 
Equity Securities, FV-NI
June 30,
2026		December 31,
2025
(In millions)Fair ValueFair Value
Equity securities, carried at fair value through net earnings:
Equity securities:
Yen-denominated
$694 $609 
U.S. dollar-denominated231 278 
Total equity securities$925 $887 
Investments Classified by Contractual Maturity Date
The contractual and economic maturities of the Company's investments in fixed maturity securities at June 30, 2026, were as follows:
(In millions)
Amortized
Cost (1)
Fair
Value
Available-for-sale:
Due in one year or less$1,882 $2,004 
Due after one year through five years6,851 7,516 
Due after five years through 10 years16,059 16,734 
Due after 10 years34,845 30,869 
Mortgage- and asset-backed securities5,553 5,725 
Total fixed maturity securities available-for-sale$65,190 $62,848 
Held-to-maturity:
Due in one year or less$2 $2 
Due after one year through five years4,491 4,478 
Due after five years through 10 years3,980 3,919 
Due after 10 years7,032 5,857 
Total fixed maturity securities held-to-maturity$15,505 $14,256 
(1) Net of allowance for credit losses
Investment Exposures Exceeding Ten Percent Shareholders' Equity
Investment exposures that individually exceeded 10% of shareholders' equity were as follows:
June 30, 2026December 31, 2025
(In millions)Credit
Rating		Amortized
Cost		Fair
Value		Credit
Rating		Amortized
Cost		Fair
Value
Japan National Government(1)
A+$29,714$24,612A+$32,618$28,434
(1) Japan Government Bonds (JGBs) or JGB-backed securities
Gain (Loss) on Investments
Information regarding pretax net investment gains and losses was as follows:
  
Three Months Ended June 30,Six Months Ended June 30,
(In millions)2026202520262025
Net investment gains (losses):
Sales and redemptions:
Fixed maturity securities available-for-sale:
Gross gains from sales$0 $5 $1 $119 
Gross losses from sales(837)(98)(978)(333)
Foreign currency gains (losses)599 79 725 240 
Other investments:
Gross gains (losses) from sales and redemptions0 11 (2)12 
Total sales and redemptions(238)(3)(254)38 
Equity securities87 

98 73 37 
Impairment losses(11)(6)(35)(6)
Credit losses:
Fixed maturity securities held-to-maturity0 0 1 0 
Commercial mortgage and other loans(76)(61)(126)(114)
Loan commitments(1)2 1 0 
Reinsurance recoverables and other0 1 (14)1 
Total credit losses(77)(58)(138)(113)
Derivatives and other:
Derivative gains (losses)(134)23 (229)(22)
Foreign currency gains (losses)220 (475)479 (1,318)
Total derivatives and other86 (452)250 (1,340)
Total net investment gains (losses)$(153)$(421)$(104)$(1,384)
Net Effect on Shareholders' Equity of Unrealized Gains and Losses from Investment Securities
The net effect on shareholders’ equity of unrealized gains and losses from fixed maturity securities was as follows:
(In millions)June 30,
2026		December 31,
2025
Unrealized gains (losses) on securities available-for-sale$(2,342)$(1,142)
Deferred income taxes(411)(667)
Shareholders’ equity, unrealized gains (losses) on fixed maturity securities$(2,753)$(1,809)
Investments Gross Unrealized Loss Aging
The following tables present the fair values and gross unrealized losses of the Company's available-for-sale securities for the periods ended June 30, 2026 and December 31, 2025, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position.
  
June 30, 2026
  
TotalLess than 12 months12 months or longer
(In millions)Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses
Fixed maturity securities available-
   for-sale:
U.S. government and
    agencies:
U.S. dollar-denominated$168 $4 $132 $2 $36 $2 
Japan government and
    agencies:
Yen-denominated11,520 4,047 4,124 173 7,396 3,874 
Municipalities:
U.S. dollar-denominated623 45 98 5 525 40 
Yen-denominated550 183 302 21 248 162 
Mortgage- and asset-
    backed securities:
U.S. dollar-denominated1,277 45 962 12 315 33 
Yen-denominated333 51 169 8 164 43 
Public utilities:
U.S. dollar-denominated1,286 116 602 8 684 108 
Yen-denominated1,051 225 289 12 762 213 
Sovereign and supranational:
Yen-denominated254 22 219 9 35 13 
Banks/financial institutions:
U.S. dollar-denominated702 27 553 5 149 22 
Yen-denominated3,335 599 611 34 2,724 565 
Other corporate:
U.S. dollar-denominated5,187 583 2,022 24 3,165 559 
Yen-denominated 2,705 684 833 48 1,872 636 
Total$28,991 $6,631 $10,916 $361 $18,075 $6,270 
  
December 31, 2025
  
TotalLess than 12 months12 months or longer
(In millions)Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses
Fixed maturity securities available-
   for-sale:
U.S. government and
    agencies:
U.S. dollar-denominated$37 $2 $0 $0 $37 $2 
Japan government and
    agencies:
Yen-denominated13,521 3,727 7,966 692 5,555 3,035 
Municipalities:
U.S. dollar-denominated630 54 8 0 622 54 
Yen-denominated520 145 234 6 286 139 
Mortgage- and asset-
    backed securities:
U.S. dollar-denominated547 35 217 5 330 30 
Yen-denominated183 38 9 1 174 37 
Public utilities:
U.S. dollar-denominated1,055 107 169 2 886 105 
Yen-denominated838 174 0 0 838 174 
Sovereign and supranational:
Yen-denominated276 13 236 0 40 13 
Banks/financial institutions:
U.S. dollar-denominated252 21 62 0 190 21 
Yen-denominated3,467 477 495 26 2,972 451 
Other corporate:
U.S. dollar-denominated4,535 597 620 5 3,915 592 
Yen-denominated2,395 534 640 33 1,755 501 
Total$28,256 $5,924 $10,656 $770 $17,600 $5,154 
Commercial Mortgage and Other Loans by Property Type
The following table presents the composition of the carrying value for commercial mortgage and other loans by property type as of the periods presented.
June 30, 2026December 31, 2025
(In millions)Amortized
Cost		% of
Total		Amortized
Cost		% of
Total
Commercial mortgage and other loans:
Transitional real estate loans:
Office$1,176 11.9 %$1,229 12.1 %
Retail154 1.6 267 2.6 
Apartments/Multi-Family1,350 13.7 1,555 15.3 
Industrial47 .5 75 .7 
Hospitality382 3.9 522 5.1 
Other235 2.4 240 2.4 
Total transitional real estate loans3,344 34.0 3,888 38.2 
Commercial mortgage loans:
Office250 2.5 255 2.5 
Retail172 1.7 217 2.1 
Apartments/Multi-Family499 5.0 539 5.3 
Industrial420 4.2 427 4.2 
Other27 .3 14 .1 
Total commercial mortgage loans1,368 13.7 1,452 14.2 
Middle market loans4,597 46.5 4,404 43.2 
Other loans578 5.8 447 4.4 
Total commercial mortgage and other loans$9,887 100.0 %$10,191 100.0 %
Allowance for credit losses(533)(426)
Total net commercial mortgage and other loans$9,354 $9,765 
Financing Receivable Nonaccrual
The following tables present an aging of past due and nonaccrual loans at amortized cost, before allowance for credit losses, as of the periods presented.
June 30, 2026
(In millions)Current Less Than
90 Days
Past Due
90 Days
or More
 Past Due(1)
Total Past
Due		Total
Loans		Nonaccrual
Status
Transitional real estate loans$2,556 $153 $635 $788 $3,344 $700 
Commercial mortgage loans1,368 0 0 0 1,368 0 
Middle market loans4,490 10 97 107 4,597 97 
Other loans578 0 0 0 578 0 
Total$8,992 $163 $732 $895 $9,887 $797 
(1) As of June 30, 2026, there were no loans that were 90 days or more past due that continued to accrue interest.

December 31, 2025
(In millions)Current Less Than
90 Days
Past Due
90 Days
or More
 Past Due(1)
Total Past
Due		Total
Loans		Nonaccrual
Status
Transitional real estate loans$3,418 $0 $470 $470 $3,888 $545 
Commercial mortgage loans1,452 0 0 0 1,452 0 
Middle market loans4,263 58 83 141 4,404 98 
Other loans447 0 0 0 447 0 
Total$9,580 $58 $553 $611 $10,191 $643 
(1) As of December 31, 2025, there were no loans that were 90 days or more past due that continued to accrue interest.
Effect of Loan Modifications
The following tables present the amortized cost basis of modified loans to borrowers experiencing financial difficulty and the financial effect of the modifications, disaggregated by loan classification and type of modification.
Three Months Ended
June 30, 2026
(In millions)
Amortized Cost (1)
% of TotalFinancial Effect
Transitional Real Estate Loans:
Other-than-insignificant payment
  delays		$107 3.5 %
Delay in payments of three months on average
Term extension and interest rate reduction149 4.9 
Term extension of 24 months on average and reduction in the weighted-average contractual interest rate from 6.6% to 2.2%
Middle market loans:
Term extension$27 .6 %
Term extension of six months on average
(1) Net of allowance for credit losses
Three Months Ended
June 30, 2025
(In millions)
Amortized Cost (1)
% of TotalFinancial Effect
Transitional real estate loans:
Term extension$128 3.1 %
Term extension of 22 months on average
Term extension and interest rate reduction152 3.7 
Term extension of 26 months on average and reduction in the weighted-average contractual interest rate from 4.8% to 4.3%
Middle market loans:
Principal forgiveness$4 .1 %
Reduction in the amortized cost basis of $0.3 million
Principal forgiveness and term
  extension		25 .6 
Reduction in the amortized cost basis of $34 million and term extension of 30 months on average
(1) Net of allowance for credit losses
Six Months Ended
June 30, 2026
(In millions)
Amortized Cost (1)
% of TotalFinancial Effect
Transitional real estate loans:
Other-than-insignificant payment
  delays		$107 3.5 %
Delay in payments of three months on average
Term extension and interest rate reduction149 4.9 
Term extension of 24 months on average and reduction in the weighted-average contractual interest rate from 6.6% to 2.2%
Middle market loans:
Term extension$27 .6 %
Term extension of six months on average
Principal forgiveness and term
  extension		6 .1 
Reduction in the amortized cost basis of $11 million and term extension of 13 months on average
(1) Net of allowance for credit losses
Six Months Ended
June 30, 2025
(In millions)
Amortized Cost (1)
% of TotalFinancial Effect
Transitional real estate loans:
Term extension$159 3.9 %
Term extension of 20 months on average
Term extension and interest rate reduction152 3.7 
Term extension of 26 months on average and reduction in the weighted-average contractual interest rate from 4.8% to 4.3%
Middle market loans:
Principal forgiveness$6 .1 %
Reduction in the amortized cost basis of $4 million
Term extension33 .8 
Term extension of six months on average
Other-than-insignificant
  payment delays		28 .7 
Delay in principal and interest payments of 35 months on average
Principal forgiveness and term
  extension		25 .6 
Reduction in the amortized cost basis of $34 million and term extension of 30 months on average
(1) Net of allowance for credit losses
Loan Performance After Modifications
The following tables present an aging of loans that received modifications in the 12 months preceding the periods presented, at amortized cost.
June 30, 2026
(In millions)Current Less Than
90 Days
Past Due		90 Days
or More
Past Due		Nonaccrual
Status
Transitional real estate loans$149 $46 $89 $135 
Middle market loans70 10 0 0 
Total$219 $56 $89 $135 
June 30, 2025
(In millions)Current Less Than
90 Days
Past Due		90 Days
or More
Past Due		Nonaccrual
Status
Transitional real estate loans$592 $0 $60 $60 
Middle market loans106 1 0 0 
Total$698 $1 $60 $60 
Allowance for Loan Losses by Portfolio Segment
The following table presents the roll forward of the allowance for credit losses by portfolio segment for loans and by accounting classification for securities.
(In millions)Transitional
Real Estate
Loans		Commercial
Mortgage
Loans		Middle
Market
Loans		Other Loans
and Loan
Commitments		Held-to-
Maturity
Securities		Available-
for-Sale
Securities		Total
Three Months Ended
  June 30, 2026:
Balance at March 31, 2026
$(286)$(6)$(163)$(15)$(4)$0 $(474)
(Addition to) release of allowance for
  credit losses
(29)0 (46)(2)0 0 (77)
Writeoffs, net of recoveries0 0 0 0 0 0 0 
Change in foreign exchange0 0 0 0 0 0 0 
Balance at June 30, 2026
$(315)$(6)$(209)$(17)$(4)$0 $(551)
Three Months Ended
  June 30, 2025:
Balance at March 31, 2025
$(203)$(15)$(150)$(19)$(5)$0 $(392)
(Addition to) release of allowance for
  credit losses
(45)3 (19)2 0 0 (59)
Writeoffs, net of recoveries5 0 42 0 0 0 47 
Change in foreign exchange0 0 0 0 0 0 0 
Balance at June 30, 2025
$(243)$(12)$(127)$(17)$(5)$0 $(404)
Six Months Ended
  June 30, 2026:
Balance at December 31, 2025
$(277)$(9)$(138)$(17)$(5)$0 $(446)
(Addition to) release of allowance for
  credit losses
(46)3 (82)0 1 0 (124)
Writeoffs, net of recoveries8 0 11 0 0 0 19 
Change in foreign exchange0 0 0 0 0 0 0 
Balance at June 30, 2026
$(315)$(6)$(209)$(17)$(4)$0 $(551)
Six Months Ended
  June 30, 2025:
Balance at December 31, 2024
$(199)$(14)$(140)$(17)$(5)$0 $(375)
(Addition to) release of allowance for
  credit losses
(73)2 (43)0 0 0 (114)
Writeoffs, net of recoveries29 0 56 0 0 0 85 
Change in foreign exchange0 0 0 0 0 0 0 
Balance at June 30, 2025
$(243)$(12)$(127)$(17)$(5)$0 $(404)
Other Investments
The table below presents the composition of the carrying value for other investments as of the periods presented.
(In millions)June 30,
2026		December 31,
2025
Other investments:
Policy loans$204 $210 
Short-term investments (1)
2,815 1,373 
Limited partnerships (2)
4,346 4,109 
Real estate owned847 902 
Other39 28 
Total other investments$8,251 $6,622 
(1) Includes securities lending collateral
(2) Includes tax credit investments and asset classes such as private equity and real estate funds
Securities Lending Transactions Accounted for as Secured Borrowings Details of the collateral by loaned security type and remaining maturity of the agreements were as follows:
Securities Lending Transactions Accounted for as Secured Borrowings
Remaining Contractual Maturity of the Agreements
June 30, 2026December 31, 2025
(In millions)
Overnight
and
Continuous(1)
Up to 30
days		30-90 daysTotal
Overnight
and
Continuous(1)
Up to 30
days		30-90 daysTotal
Securities lending
  transactions:
Fixed maturity securities:
Japan government and agencies$0 $2,276 $3,817 $6,093 $0 $1,591 $1,329 $2,920 
Public utilities43 0 0 43 54 0 0 54 
Banks/financial institutions223 0 0 223 150 0 0 150 
Other corporate981 0 0 981 865 0 0 865 
          Total borrowings$1,247 $2,276 $3,817 $7,340 $1,069 $1,591 $1,329 $3,989 
Gross amount of recognized liabilities for securities
   lending transactions		$7,340 $3,989 
(1) The related loaned security, under the Company's U.S. securities lending program, can be returned to the Company at the transferee's discretion; therefore, they are classified as Overnight and Continuous.
Variable Interest Entity, Consolidated  
Schedule of Investments [Line Items]  
Investments in Variable Interest Entities
The following table presents the carrying value and balance sheet caption in which the assets and liabilities of consolidated VIEs are reported.

Investments in Consolidated Variable Interest Entities
(In millions)June 30,
2026		December 31,
2025
Assets: (1)
Fixed maturity securities available-for-sale$4,208 $3,636 
Commercial mortgage and other loans7,509 7,896 
Other investments (2)
2,389 2,320 
Other assets (3)
41 45 
Total assets of consolidated VIEs$14,147 $13,897 
Liabilities:
Other liabilities (3)
$887 $765 
Total liabilities of consolidated VIEs$887 $765 
(1) As of June 30, 2026, the Company's investments in consolidated VIEs also held cash and cash equivalents of $382 million, of which $63 million was restricted.
(2) Consists entirely of alternative investments in limited partnerships, which represent VIEs where the Company is not the primary beneficiary and therefore are not consolidated
(3) Consists entirely of derivatives
Variable Interest Entity, Not Consolidated  
Schedule of Investments [Line Items]  
Investments in Variable Interest Entities
The table below presents the carrying value and balance sheet caption in which the Company's investments in VIEs that are not consolidated are reported.
Investments in Variable Interest Entities Not Consolidated
(In millions)June 30,
2026		December 31,
2025
Assets:
Fixed maturity securities available-for-sale$7,805 $6,750 
Other investments (1)
1,796 1,603 
Total investments in VIEs not consolidated$9,601 $8,353 
(1) Consists entirely of alternative investments in limited partnerships
Transitional real estate loans  
Schedule of Investments [Line Items]  
Financing Receivable Credit Quality Indicators
The following tables present as of June 30, 2026 the amortized cost basis of TREs, CMLs, MMLs, and other loans by year of origination and key credit quality indicator.
Transitional Real Estate Loans
(In millions)20262025202420232022PriorTotal
Loan-to-Value Ratio:
0%-59.99%$0 $0 $0 $0 $141 $157 $298 
60%-69.99%0 0 0 0 324 304 628 
70%-79.99%0 0 0 14 515 457 986 
80% or greater65 0 0 0 349 1,018 1,432 
Total$65 $0 $0 $14 $1,329 $1,936 $3,344 
Current-period gross
  writeoffs:		$0 $0 $0 $0 $8 $0 $8 
Commercial mortgage loans  
Schedule of Investments [Line Items]  
Financing Receivable Credit Quality Indicators
Commercial Mortgage Loans
(In millions)20262025202420232022PriorTotalWeighted-Average DSCR
Loan-to-Value Ratio:
0%-59.99%$35 $11 $0 $31 $0 $1,061 $1,138 2.80
60%-69.99%13 20 0 0 0 77 110 1.91
70%-79.99%0 0 0 0 0 72 72 1.45
80% or greater0 0 12 0 0 36 48 0.87
Total$48 $31 $12 $31 $0 $1,246 $1,368 2.59
Weighted Average DSCR1.901.831.092.740.002.65
Current-period gross
  writeoffs:		$0 $0 $0 $0 $0 $0 $0 
Middle market loans  
Schedule of Investments [Line Items]  
Financing Receivable Credit Quality Indicators
Middle Market Loans
(In millions)20262025202420232022PriorRevolving LoansTotal
Credit Ratings:
BBB$73 $13 $61 $22 $0 $94 $6 $269 
BB269 355 506 114 296 774 66 2,380 
B49 291 124 46 232 628 45 1,415 
CCC0 25 3 0 34 273 26 361 
CC6 5 2 0 10 81 8 112 
C and lower0 0 0 0 0 53 7 60 
Total$397 $689 $696 $182 $572 $1,903 $158 $4,597 
Current-period gross
  writeoffs:		$0 $0 $0 $0 $0 $11 $0 $11 
Other loans  
Schedule of Investments [Line Items]  
Financing Receivable Credit Quality Indicators
Other Loans
(In millions)20262025202420232022PriorRevolving LoansTotal
Credit Ratings:
A$20 $0 $0 $0 $60 $0 $0 $80 
AA0 0 0 0 8 3 0 11 
BBB81 37 257 0 24 24 0 423 
BB0 0 0 64 0 0 0 64 
Total$101 $37 $257 $64 $92 $27 $0 $578 
Current-period gross
  writeoffs:		$0 $0 $0 $0 $0 $0 $0 $0