v3.26.3
Investments of Insurance Subsidiaries
9 Months Ended
Sep. 30, 2026
Investments, Debt and Equity Securities [Abstract]  
Investments of Insurance Subsidiaries

NOTE 5 — INVESTMENTS OF INSURANCE SUBSIDIARIES

A summary of our insurance subsidiaries’ investments at September 30, 2026 and December 31, 2025 follows (dollars in millions):

 

September 30, 2026

 

 

 

 

 

Unrealized
Amounts

 

 

 

 

 

Amortized
Cost

 

 

Gains

 

 

Losses

 

 

Fair
Value

 

Debt securities

 

$

342

 

 

$

—

 

 

$

(25

)

 

$

317

 

Money market funds and other

 

 

257

 

 

 

—

 

 

 

—

 

 

 

257

 

Investments of insurance subsidiaries

 

$

599

 

 

$

—

 

 

$

(25

)

 

 

574

 

Amounts classified as current assets

 

 

 

 

 

 

 

 

 

 

 

(111

)

 

 

 

 

 

 

 

 

 

 

 

$

463

 

 

 

December 31, 2025

 

 

 

 

 

Unrealized
Amounts

 

 

 

 

 

Amortized
Cost

 

 

Gains

 

 

Losses

 

 

Fair
Value

 

Debt securities

 

$

342

 

 

$

1

 

 

$

(15

)

 

$

328

 

Money market funds and other

 

 

260

 

 

 

—

 

 

 

—

 

 

 

260

 

Investments of insurance subsidiaries

 

$

602

 

 

$

1

 

 

$

(15

)

 

 

588

 

Amounts classified as current assets

 

 

 

 

 

 

 

 

 

 

 

(103

)

 

 

 

 

 

 

 

 

 

 

 

$

485

 

At September 30, 2026 and December 31, 2025, the investments in debt securities of our insurance subsidiaries were classified as “available-for-sale.” Changes in unrealized gains and losses that are not credit-related are recorded as adjustments to other comprehensive income or loss.

NOTE 5 — INVESTMENTS OF INSURANCE SUBSIDIARIES (continued)

Scheduled maturities of investments in debt securities at September 30, 2026 were as follows (dollars in millions):

 

Amortized
Cost

 

 

Fair
Value

 

Due in one year or less

 

$

36

 

 

$

36

 

Due after one year through five years

 

 

147

 

 

 

136

 

Due after five years through ten years

 

 

91

 

 

 

82

 

Due after ten years

 

 

68

 

 

 

63

 

 

$

342

 

 

$

317

 

The average expected maturity of the investments in debt securities at September 30, 2026 was 5.6 years, compared to the average scheduled maturity of 8.1 years. Expected and scheduled maturities may differ because the issuers of certain securities have the right to call, prepay or otherwise redeem such obligations prior to their scheduled maturity date.