Derivatives and Hedge Accounting (Tables)

9 Months Ended

Sep. 30, 2026

Derivative Instruments and Hedging Activities Disclosure [Abstract]

The following table presents the notional amounts of our derivatives and the fair value of derivative assets and liabilities in

the Condensed Consolidated Balance Sheets:


	September 30, 2026				December 31, 2025
	Gross Derivative Assets		Gross Derivative Liabilities		Gross Derivative Assets		Gross Derivative Liabilities
(in millions)	Notional Amount	Fair Value	Notional Amount	Fair Value	Notional Amount	Fair Value	Notional Amount	Fair Value
Derivatives designated as hedging instruments:(a)
Interest rate contracts	$2,829	$359	$17,062	$941	$11,987	$364	$9,734	$234
Foreign exchange contracts	9,297	337	2,909	185	3,855	252	8,128	236
Derivatives not designated as hedging instruments:(a)
Interest rate contracts	15,956	1,054	29,785	2,561	19,672	552	25,397	1,399
Foreign exchange contracts	7,911	419	5,029	235	6,139	459	6,847	318
Equity contracts	78,884	9,194	81,619	5,183	66,780	8,388	64,855	4,900
Credit contracts(b)	22,600	401	22,600	23	—	—	—	—
Other contracts(c)	50,118	20	44	1	49,020	14	212	4
Total derivatives, gross(d)	$187,595	$11,784	$159,048	$9,129	$157,453	$10,029	$115,173	$7,091
Counterparty netting(e)		(7,351)		(7,351)		(6,106)		(6,106)
Cash collateral(f)		(3,961)		(1,369)		(3,482)		(686)
Total Derivatives on Condensed Consolidated Balance Sheets(g)		$472		$409		$441		$299

(a)Fair value amounts are shown before the effects of counterparty netting adjustments and offsetting cash collateral.

(b)Includes written credit default swaps linked to certain actively traded indices. In the case of a credit event, the maximum future payment is limited to the constituent’s

representation within the index.

(c)Consists primarily of SVWs and contracts with multiple underlying exposures.

(d)Includes $12.6 billion and $20.5 billion of notional amounts associated with reinsurance agreements at September 30, 2026 and December 31, 2025.

(e)Represents netting of derivative exposures covered by a qualifying master netting agreement.

(f)Represents cash collateral posted and received that is eligible for netting.

(g)Freestanding derivatives only, excludes embedded derivatives. Derivative instrument assets and liabilities are recorded in Other assets and Other liabilities,

respectively. All derivative transactions are with third parties. The fair value of assets related to bifurcated embedded derivatives were both zero at September 30,

2026 and December 31, 2025. The fair value of liabilities related to bifurcated embedded derivatives was $15.7 billion and $16.0 billion at September 30, 2026 and

December 31, 2025, respectively. A bifurcated embedded derivative is generally presented with the host contract in the Condensed Consolidated Balance Sheets.

Embedded derivatives are primarily related to guarantee features in fixed index annuities and index universal life contracts, which include equity and interest rate

components; bonds available-for-sale and the funds withheld arrangement with Fortitude Re. For additional information, see Note 7.

The following amounts were recorded on the Condensed Consolidated Balance Sheets related to the carrying amount of the

hedged assets (liabilities) and cumulative basis adjustments included in the carrying amount for fair value hedges:


	September 30, 2026		December 31, 2025
(in millions)	Carrying Amount of the Hedged Assets (Liabilities)	Cumulative Amount of Fair Value Hedging Adjustments Included In the Carrying Amount of the Hedged Assets Liabilities	Carrying Amount of the Hedged Assets (Liabilities)	Cumulative Amount of Fair Value Hedging Adjustments Included In the Carrying Amount of the Hedged Assets Liabilities
Balance sheet line item in which hedged item is recorded:
Fixed maturities, available-for-sale, at fair value(a)	$12,257	$(159)	$11,984	$(7)
Commercial mortgage and other loans(b)	$—	$(16)	$—	$(19)
Policyholder contract deposits(c)	$(13,696)	$274	$(13,022)	$(48)

(a)These amounts include the amortized cost basis of closed portfolios used to designate hedging relationships in which the hedged item is the last layer expected to be

remaining at the end of the hedging relationship. At September 30, 2026, the amortized cost basis of the closed portfolios used in these hedging relationships was

$4.0 billion, the amount of the designated hedged item was $2.7 billion, and the cumulative basis adjustment associated with these hedging relationships was

$(159) million. At December 31, 2025, the amortized cost basis of the closed portfolios used in these hedging relationships was $4.0 billion, the amount of the

designated hedged item was $2.7 billion, and the cumulative basis adjustment associated with these hedging relationships was $(7) million.

(b)Hedge accounting has been discontinued, but the respective loans are still held. The cumulative adjustment is being amortized into earnings over the remaining life of

the loan.

(c)During the third quarter 2026, the Company discontinued certain GIC fair value hedging relationships. There were no material fair value hedging adjustments related

to these discontinued hedging relationships.

The following table presents the gain (loss) recognized in earnings on our derivative instruments in fair value hedging

relationships in the Condensed Consolidated Statements of Income (Loss):


	Gains/(Losses) Recognized in Earnings for:
(in millions)	Hedging Derivatives(a)	Excluded Components(b)	Hedged Items	Net Impact
Three Months Ended September 30, 2026
Interest rate contracts:
Interest credited to policyholder account balances	$(205)	$—	$207	$2
Net investment income	111	—	(110)	1
Foreign exchange contracts:
Realized gains (losses)	$40	$(42)	$(40)	$(42)
Three Months Ended September 30, 2025
Interest rate contracts:
Interest credited to policyholder account balances	$2	$—	$(4)	$(2)
Net investment income	—	—	—	—
Foreign exchange contracts:
Realized gains (losses)	$36	$109	$(36)	$109
Nine Months Ended September 30, 2026
Interest rate contracts:
Interest credited to policyholder account balances	$(326)	$—	$324	$(2)
Net investment income	153	—	(152)	1
Foreign exchange contracts:
Realized gains (losses)	$250	$(60)	$(250)	$(60)
Nine Months Ended September 30, 2025
Interest rate contracts:
Interest credited to policyholder account balances	$144	$—	$(150)	$(6)
Net investment income	—	—	—	—
Foreign exchange contracts:
Realized gains (losses)	$(847)	$236	$847	$236

(a)Gains and losses on derivative instruments designated and qualifying in fair value hedges that are included in the assessment of hedge effectiveness.

(b)Gains and losses on derivative instruments designated and qualifying in fair value hedges that are excluded from the assessment of hedge effectiveness and

recognized in earnings on a mark-to-market basis.

The following table presents the effect of derivative instruments not designated as hedging instruments in the Condensed

Consolidated Statements of Income (Loss):


	Gains (Losses) Recognized in Earnings
	Three Months Ended September 30,		Nine Months Ended September 30,
(in millions)	2026	2025	2026	2025
By Derivative Type:
Interest rate contracts	$(656)	$35	$(805)	$(35)
Foreign exchange contracts	67	(30)	185	(646)
Equity contracts	171	367	711	265
Credit contracts	30	27	72	58
Other contracts	21	17	59	49
Embedded derivatives	803	(955)	(366)	(1,833)
Fortitude Re funds withheld embedded derivative	1,032	(670)	730	(1,517)
Total(a)	$1,468	$(1,209)	$586	$(3,659)
By Classification:
Policy fees	$15	$16	$49	$47
Net investment income (loss) - Fortitude Re funds withheld assets	(10)	7	(3)	(18)
Net realized gains (losses) - excluding Fortitude Re funds withheld assets	902	(126)	799	(1,639)
Net realized losses on Fortitude Re funds withheld assets	(183)	(5)	(170)	(39)
Net realized gains (losses) on Fortitude Re funds withheld embedded derivatives	1,032	(670)	730	(1,517)
Policyholder benefits	(6)	—	(6)	—
Change in the Fair value of market risk benefits(b)	(282)	(431)	(813)	(493)
Total(a)	$1,468	$(1,209)	$586	$(3,659)

(a)Includes gains (losses) with related parties of $1 million and $3 million for the three and nine months ended September 30, 2025, respectively.

(b)This represents activity related to derivatives that economically hedge changes in fair value of certain MRBs. Excludes the impact of ceding derivative gains and losses

in conjunction with the reinsurance agreements with CSLR. Starting August 1, 2025, the amount presented is ceded to CSLR. See Note 1 for additional information.