Long-duration insurance contracts

9 Months Ended

Sep. 30, 2025

Note 15. Long-duration insurance contracts

A summary of our long-duration life, annuity and health insurance benefits liabilities disaggregated by our principal product categories follows (in millions).


	September 30,
	2025		2024
Periodic payment annuity (“Annuities”)	$	10,578	$	11,136
Life and health		4,721		4,456
Other		2,976		3,020
	$	18,275	$	18,612

Notes to Consolidated Financial Statements

Note 15. Long-duration insurance contracts

Reconciliations of the liabilities for each of our principal product categories follow (in millions). The information reflects the changes in discounted present values of expected future policy benefits and expected future net premiums before reinsurance ceded. Net premiums represent the portion of expected gross premiums that are required to provide for future policy benefits and variable expenses.


	Annuities						Life and health
	2025			2024			2025			2024
Expected future policy benefits:
Balance at the beginning of the year	$	10,276		$	11,212		$	43,784		$	52,665
Balance at the beginning of the year - original discount rates		11,757			11,681			55,170			65,871
Effects of cash flow assumption changes		—			—			(138	)		1,485
Effects of actual versus expected experience		(17	)		2			199			(12,709	)
Change in benefits, net		(373	)		(357	)		(1,434	)		(1,404	)
Interest accrual		417			411			981			891
Foreign currency effect		110			96			1,728			218
Balance at September 30 - original discount rates		11,894			11,833			56,506			54,352
Effects of changes in discount rate assumptions		(1,316	)		(697	)		(11,122	)		(11,111	)
Balance at September 30	$	10,578		$	11,136		$	45,384		$	43,241

Expected future net premiums:
Balance at the beginning of the year							$	39,294		$	46,916
Balance at the beginning of the year - original discount rates								49,500			58,731
Effects of cash flow assumption changes								(97	)		1,449
Effects of actual versus expected experience								164			(11,033	)
Change in premiums, net								(1,418	)		(1,348	)
Interest accrual								879			791
Foreign currency effect								1,604			200
Balance at September 30 - original discount rates								50,632			48,790
Effects of changes in discount rate assumptions								(9,969	)		(10,005	)
Balance at September 30							$	40,663		$	38,785

Liabilities for future policy benefits:
Balance at September 30	$	10,578		$	11,136		$	4,721		$	4,456
Reinsurance recoverables		—			—			(52	)		(52	)
Balance at September 30, net of reinsurance recoverables	$	10,578		$	11,136		$	4,669		$	4,404

Expected future policy benefits and expected future net premiums declined in the first nine months of 2024, primarily attributable to life reinsurance contract commutations. The impacts of these commutations were included in the effects of actual versus expected experience.

Other information relating to our long-duration insurance liabilities follows (dollars in millions).


	Annuities						Life and health
	September 30,						September 30,
	2025			2024			2025			2024
Undiscounted expected future gross premiums	$	—		$	—		$	103,457		$	101,134
Discounted expected future gross premiums		—			—			61,069			58,530
Undiscounted expected future benefits		30,522			30,915			94,059			91,751

Weighted average discount rate		5.7	%		5.2	%		5.0	%		4.7	%
Weighted average accretion rate		4.8	%		4.8	%		2.6	%		2.6	%
Weighted average duration	16 years			17 years			13 years			13 years

Notes to Consolidated Financial Statements

Note 15. Long-duration insurance contracts

Gross premiums earned and interest expense before reinsurance ceded for the first nine months of 2025 and 2024 were as follows (in millions).


	Gross premiums				Interest expense
	2025		2024		2025		2024
Annuities	$	—	$	—	$	417	$	411
Life and health		2,938		2,831		102		100