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DERIVATIVE INSTRUMENTS (Tables)
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Financial Statement Location and Amounts
The notional amounts and fair values of freestanding derivative instruments are shown below:
AS OF
US$ MILLIONS		Primary underlying riskJune 30, 2025December 31, 2024
Notional Amount
Fair Value(1)
Notional Amount
Fair Value(1)
AssetsLiabilitiesAssetsLiabilities
Derivatives designated as hedging instruments:
Foreign exchange forwardsForeign currency$1,188 $— $(57)$1,625 $21 $(18)
Cross currency swapsForeign currency1,891 56 — 1,330 9 (16)
Interest rate swapsInterest rate900 18 — — — — 
Derivatives not designated as hedging instruments:
Equity-indexed optionsEquity$46,394 $1,118 $(3)$46,374 $1,311 $(5)
Equity total return swapsEquity470 19 (4)18 1 — 
Foreign exchange forwardsForeign currency3,060 12 (165)3,684 34 (9)
Cross currency swapsForeign currency416 — (19)38 — — 
Interest rate swapsInterest rate1,030 21 (5)985 15 (9)
$55,349 $1,244 $(253)$54,054 $1,391 $(57)
__________________________
(1)The asset and liability balances are presented on a gross basis. Amounts are reported in “Other invested assets” and “Other liabilities” in the statements of financial position after the evaluation for rights of offset. See “Derivative Exposure” section of this note for further details.
The following represents the amount of gains (losses) related to the derivatives and hedged items that qualify for fair value hedges:
FOR THE PERIODS ENDED JUN. 30
US$ MILLIONS		Three Months EndedSix Months Ended
2025202420252024
Foreign currency derivatives:
Hedged items$(67)$15 $(32)$56 
Derivatives designated as hedging instruments58 (14)23 (55)
Interest rate derivatives:
Hedged items8 — 18 — 
Derivatives designated as hedging instruments(8)— (18)— 
Gains (losses) on fair value hedges$(9)$1 $(9)$1 
Schedule of Carrying Amount and Cumulative Fair Value of Hedging Adjustments
The following table presents the carrying amount and cumulative fair value hedging adjustments for a portion of PAB designated and qualifying as hedged items in fair value hedges:
AS OF
US$ MILLIONS
Carrying Amount of the Hedged Assets (Liabilities)
Cumulative Amount of Fair Value Hedging Adjustments Included in the Carrying Amount of Hedge Assets (Liabilities)
Location in the statements of financial position
June 30, 2025December 31, 2024June 30, 2025December 31, 2024
Policyholders’ account balances
$(912)$— $(18)$— 
Schedule of Derivatives Instruments
The following represents the amount of gains (losses) related to the derivatives not designated as hedging instruments, recognized in “Investment related gains (losses)” on the statements of operations, except for equity-indexed options which are recognized in “Change in fair value of insurance-related derivatives and embedded derivatives”:
FOR THE PERIODS ENDED JUN. 30
US$ MILLIONS		Three Months EndedSix Months Ended
2025202420252024
Equity-indexed options$232 $285 $(102)$385 
Equity total return swaps20 — 33 — 
Foreign exchange forwards(234)(6)(281)(2)
Cross currency swaps(14)— (15)— 
Interest rate options— 1 — 1 
Interest rate swaps(2)— 3 (3)
Bond futures— 9 — 5 
Total$2 $289 $(362)$386 
Schedule of Derivative Assets and Effects of Rights of Offset
Information regarding the Company’s exposure to credit loss on the derivatives it holds, including the effect of rights of offset, is presented below:
AS OF JUN. 30, 2025
US$ MILLIONS
Gross amount of derivative instruments(1)
Gross amounts offset in the statements of financial position(2)
Net amount presented on the statements of financial position
Collateral (received) pledged in cash(3)
Collateral (received) pledged in invested assets(3)
Exposure net of collateral
Derivative assets:
Equity-indexed options$1,118 $(65)$1,053 $(987)$(21)$45 
Equity total return swaps19 — 19 — — 19 
Foreign exchange forwards12 (12)— — — — 
Cross currency swaps56 (2)54 — — 54 
Interest rate swaps39 (5)34 — — 34 
Total derivative assets$1,244 $(84)$1,160 $(987)$(21)$152 
Derivative liabilities:
Equity-indexed options$(3)$3 $— $— $— $— 
Equity total return swaps(4)— (4)— — (4)
Foreign exchange forwards(222)74 (148)— 1 (147)
Cross currency swaps(19)2 (17)— — (17)
Interest rate swaps(5)5 — — — — 
Total derivative liabilities$(253)$84 $(169)$— $1 $(168)
__________________________
(1)Represents derivative assets and liabilities on a gross basis, which are not offset under enforceable master netting agreements that meet all offsetting criteria.
(2)Represents netting of derivative exposures covered by qualifying master netting agreements.
(3)Excludes a portion of collaterals held in cash and invested assets that are excess collateral. As of June 30, 2025, the Company held excess collateral of $59 million.
AS OF DEC. 31, 2024
US$ MILLIONS
Gross amount of derivative instruments(1)
Gross amounts offset in the statements of financial position(2)
Net amount presented on the statements of financial position
Collateral (received) pledged in cash(3)
Collateral (received) pledged in invested assets(3)
Exposure net of collateral
Derivative assets:
Equity-indexed options$1,311 $(5)$1,306 $(1,298)$— $8 
Equity total return swaps1 — 1 — — 1 
Foreign exchange forwards55 (1)54 — — 54 
Cross currency swaps9 (9)— — — — 
Interest rate swaps15 (15)— — — — 
Total derivative assets$1,391 $(30)$1,361 $(1,298)$— $63 
Derivative liabilities:
Equity-indexed options(5)5 — — $— $— 
Equity total return swaps— — — — — — 
Foreign exchange forwards$(27)$7 $(20)$— $18 $(2)
Cross currency swaps(16)9 (7)— 5 (2)
Interest rate swaps(9)9 — — — — 
Total derivative liabilities$(57)$30 $(27)$— $23 $(4)
__________________________
(1)Represents derivative assets and liabilities on a gross basis, which are not offset under enforceable master netting agreements that meet all offsetting criteria.
(2)Represents netting of derivative exposures covered by qualifying master netting agreements.
(3)Excludes a portion of collaterals held in cash and invested assets that are excess collateral. As of December 31, 2024, the Company held excess collateral of $76 million.
Schedule of Derivative Liabilities and Effects of Rights of Offset
Information regarding the Company’s exposure to credit loss on the derivatives it holds, including the effect of rights of offset, is presented below:
AS OF JUN. 30, 2025
US$ MILLIONS
Gross amount of derivative instruments(1)
Gross amounts offset in the statements of financial position(2)
Net amount presented on the statements of financial position
Collateral (received) pledged in cash(3)
Collateral (received) pledged in invested assets(3)
Exposure net of collateral
Derivative assets:
Equity-indexed options$1,118 $(65)$1,053 $(987)$(21)$45 
Equity total return swaps19 — 19 — — 19 
Foreign exchange forwards12 (12)— — — — 
Cross currency swaps56 (2)54 — — 54 
Interest rate swaps39 (5)34 — — 34 
Total derivative assets$1,244 $(84)$1,160 $(987)$(21)$152 
Derivative liabilities:
Equity-indexed options$(3)$3 $— $— $— $— 
Equity total return swaps(4)— (4)— — (4)
Foreign exchange forwards(222)74 (148)— 1 (147)
Cross currency swaps(19)2 (17)— — (17)
Interest rate swaps(5)5 — — — — 
Total derivative liabilities$(253)$84 $(169)$— $1 $(168)
__________________________
(1)Represents derivative assets and liabilities on a gross basis, which are not offset under enforceable master netting agreements that meet all offsetting criteria.
(2)Represents netting of derivative exposures covered by qualifying master netting agreements.
(3)Excludes a portion of collaterals held in cash and invested assets that are excess collateral. As of June 30, 2025, the Company held excess collateral of $59 million.
AS OF DEC. 31, 2024
US$ MILLIONS
Gross amount of derivative instruments(1)
Gross amounts offset in the statements of financial position(2)
Net amount presented on the statements of financial position
Collateral (received) pledged in cash(3)
Collateral (received) pledged in invested assets(3)
Exposure net of collateral
Derivative assets:
Equity-indexed options$1,311 $(5)$1,306 $(1,298)$— $8 
Equity total return swaps1 — 1 — — 1 
Foreign exchange forwards55 (1)54 — — 54 
Cross currency swaps9 (9)— — — — 
Interest rate swaps15 (15)— — — — 
Total derivative assets$1,391 $(30)$1,361 $(1,298)$— $63 
Derivative liabilities:
Equity-indexed options(5)5 — — $— $— 
Equity total return swaps— — — — — — 
Foreign exchange forwards$(27)$7 $(20)$— $18 $(2)
Cross currency swaps(16)9 (7)— 5 (2)
Interest rate swaps(9)9 — — — — 
Total derivative liabilities$(57)$30 $(27)$— $23 $(4)
__________________________
(1)Represents derivative assets and liabilities on a gross basis, which are not offset under enforceable master netting agreements that meet all offsetting criteria.
(2)Represents netting of derivative exposures covered by qualifying master netting agreements.
(3)Excludes a portion of collaterals held in cash and invested assets that are excess collateral. As of December 31, 2024, the Company held excess collateral of $76 million.
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value
The fair values of embedded derivatives that have been separated from their host contracts, presented in the statements of financial position, are shown below:
AS OF
US$ MILLIONS		June 30, 2025December 31, 2024
Location in the statements
of financial position		Fair ValueFair Value
AssetsLiabilitiesAssetsLiabilities
Modco arrangementReinsurance funds withheld$6 $— $18 $— 
Indexed annuity and variable annuity product
Policyholders’ account balances
— (6,257)— (1,123)
Funds withheld arrangementFunds withheld for reinsurance liabilities— (63)— (37)
$6 $(6,320)$18 $(1,160)
Schedule of Derivative Instruments, Gains (Losses)
The following represents the amount of gains (losses) related to embedded derivatives recorded in the statements of operations:
FOR THE PERIODS ENDED JUN. 30
US$ MILLIONS		Location in the statements
of operations		Three Months EndedSix Months Ended
2025202420252024
Modco arrangementNet investment results from reinsurance funds withheld$(2)$141 $(12)$276 
Indexed annuity and variable annuity productChange in fair value of insurance-related derivatives and embedded derivatives(355)(237)(200)(294)
Funds withheld arrangementChange in fair value of insurance-related derivatives and embedded derivatives(8)(35)(29)(34)
$(365)$(131)$(241)$(52)