OTHER COMPREHENSIVE INCOME (LOSS) (Tables)

6 Months Ended

Jun. 30, 2026

Other Comprehensive Income (Loss), Tax [Abstract]

Schedule of Components of Comprehensive Income (Loss) in the Consolidated Statements of Operations

The following tables present the components of other comprehensive income (loss) in the consolidated statements of operations for the periods indicated:



	Three Months Ended June 30, 2026						Six Months Ended June 30, 2026
(Dollars in millions)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
URA(D) of securities - non-credit related	$	(21)	$	4	$	(17)	$	(257)	$	53	$	(204)
Reclassification of net realized losses (gains) included
in net income (loss)	$	10	$	(2)	8		10		(2)		8
Foreign currency translation adjustments	$	(11)	$	2	(9)		(25)		5		(19)
Benefit plan actuarial net gain (loss)	—		$	—	—		—		—		—
Reclassification of benefit plan liability amortization included
in net income (loss)	$	—	$	—	—		(1)		—		(1)
Total other comprehensive income (loss)	$	(23)	$	5	$	(18)	$	(273)	$	56	$	(217)

(Some amounts may not reconcile due to rounding)


	Three Months Ended June 30, 2025						Six Months Ended June 30, 2025
(Dollars in millions)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
URA(D) of securities - non-credit related	$	109	$	(23)	$	86	$	305	$	(64)	$	241
Reclassification of net realized losses (gains) included
in net income (loss)	2		—		2		5		(1)		4
Foreign currency translation adjustments	61		(13)		48		75		(16)		59
Benefit plan actuarial net gain (loss)	18		(4)		14		18		(4)		14
Reclassification of benefit plan liability amortization included
in net income (loss)	(28)		6		(22)		(28)		6		(22)
Total other comprehensive income (loss)	$	162	$	(34)	$	128	$	374	$	(79)	$	296

(Some amounts may not reconcile due to rounding)

Schedule of Reclassification from Accumulated Other Comprehensive Income (Loss)

The following table presents details of the amounts reclassified from accumulated other comprehensive income (loss) (“AOCI”) for the periods indicated:


	Three Months Ended June 30,				Six Months Ended June 30,				Affected line item within the statements of operations and comprehensive income (loss)
AOCI component	2026		2025		2026		2025
(Dollars in millions)
URA(D) of securities	$	10	$	2	$	10	$	5	Other net gains (losses) on investments
	(2)		—		(2)		(1)		Income tax expense (benefit)
	$	8	$	2	$	8	$	4	Net income (loss)

Benefit plan net gain (loss)	$	—	$	(28)	$	(1)	$	(28)	Other underwriting expenses
	—		6		—		6		Income tax expense (benefit)
	$	—	$	(22)	$	(1)	$	(22)	Net income (loss)

(Some amounts may not reconcile due to rounding)

Schedule of Components of Accumulated Other Comprehensive Income (Loss), Net of Tax, in the Consolidated Balance Sheets

The following table presents the components of AOCI, net of tax, in the consolidated balance sheets for the periods indicated:


	Three Months Ended June 30,				Six Months Ended June 30,
(Dollars in millions)	2026		2025		2026		2025
Beginning balance of URA(D) of securities	$	(197)	$	(236)	$	(9)	$	(393)
Current period change in URA(D) of securities - non-credit related	(9)		88		(197)		245
Ending balance of URA(D) of securities	(205)		(148)		(205)		(148)

Beginning balance of foreign currency translation adjustments	22		(13)		33		(24)
Current period change in foreign currency translation adjustments	(9)		48		(19)		59
Ending balance of foreign currency translation adjustments	13		36		13		36

Beginning balance of benefit plan net gain (loss)	6		16		6		16
Current period change in benefit plan net gain (loss)	—		(8)		(1)		(8)
Ending balance of benefit plan net gain (loss)	5		8		5		8

Ending balance of accumulated other comprehensive income (loss)	$	(187)	$	(104)	$	(187)	$	(104)

(Some amounts may not reconcile due to rounding.)