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Future Policy Benefits
 9 Months Ended
Sep. 30, 2025
Insurance [Abstract]  
Liability for Future Policy Benefits and Unpaid Claims Disclosure
4. Future Policy Benefits
The Company establishes liabilities for amounts payable under insurance policies. These liabilities are comprised of traditional and limited-payment contracts and associated deferred profit liability (“DPL”), additional insurance liabilities, participating life and short-duration contracts.
The Company’s FPBs on the interim condensed consolidated balance sheets was as follows at:
September 30, 2025December 31, 2024
(In millions)
Traditional and Limited-Payment Contracts:
RIS - Annuities
$68,804 $66,262 
Asia:
Whole and term life & endowments
11,355 11,167 
Accident & health
8,779 9,406 
Latin America - Fixed annuities
11,108 9,600 
MetLife Holdings - Long-term care
15,309 14,537 
Deferred Profit Liabilities:
RIS - Annuities
3,868 3,780 
Asia:
Whole and term life & endowments
912 759 
Accident & health
1,012 849 
Latin America - Fixed annuities
518 498 
Additional Insurance Liabilities:
Asia:
Variable life
1,146 1,108 
Universal and variable universal life
350 355 
MetLife Holdings - Universal and variable universal life
2,598 2,496 
MetLife Holdings - Participating life
47,571 48,485 
Other long-duration (1)
11,179 10,712 
Short-duration and other
14,660 13,632 
Total
$199,169 $193,646 
_______________
(1)This balance represents liabilities for various smaller product lines across multiple segments, as well as Corporate & Other.
Rollforwards - Traditional and Limited-Payment Contracts
The following information about the direct and assumed liability for FPBs includes disaggregated rollforwards of expected future net premiums and expected future benefits. The products grouped within these rollforwards were selected based upon common characteristics and valuations using similar inputs, judgments, assumptions and methodologies within a particular segment of the business. The adjusted balance in each disaggregated rollforward reflects the remeasurement (gains) losses. All amounts presented in the rollforwards and accompanying financial information do not include a reduction for amounts ceded to reinsurers, except with respect to ending net liability for FPB balances where applicable.
RIS - Annuities
The RIS segment’s annuity products include pension risk transfers (including assumed pension risk transfers from the United Kingdom (“U.K.”)), certain structured settlements and certain institutional income annuities, which are mainly single premium spread-based products. The Company reinsures portions of certain pension risk transfers and structured settlements on a modified coinsurance basis. Information regarding these products was as follows:
Nine Months
Ended
September 30,
20252024
(Dollars in millions)
Present Value of Expected Net Premiums
Balance, beginning of period, at current discount rate at balance sheet date$— $— 
Balance, beginning of period, at original discount rate$— $— 
Effect of changes in cash flow assumptions (1)
— — 
Effect of actual variances from expected experience (2)
(70)(32)
Adjusted balance (70)(32)
Issuances
3,194 5,042 
Net premiums collected
(3,124)(5,010)
Ending balance at original discount rate— — 
Balance, end of period, at current discount rate at balance sheet date$— $— 
Present Value of Expected FPBs
Balance, beginning of period, at current discount rate at balance sheet date$66,621 $64,515 
Balance, beginning of period, at original discount rate$69,643 $64,737 
Effect of changes in cash flow assumptions (1)
(79)(195)
Effect of actual variances from expected experience (2)
(123)(99)
Adjusted balance69,441 64,443 
Issuances
3,227 5,168 
Interest accrual
2,516 2,326 
Benefit payments
(4,978)(4,479)
Effect of foreign currency translation
21 — 
Ending balance at original discount rate70,227 67,458 
Effect of changes in discount rate assumptions
(1,146)338 
Balance, end of period, at current discount rate at balance sheet date69,081 67,796 
Cumulative amount of fair value hedging adjustments(277)(151)
Net liability for FPBs
68,804 67,645 
Less: Reinsurance recoverables
7,468 2,041 
Net liability for FPBs, net of reinsurance
$61,336 $65,604 
Undiscounted - Expected future benefit payments$127,364 $123,186 
Discounted - Expected future benefit payments (at current discount rate at balance sheet date)$69,081 $67,796 
Weighted-average duration of the liability8 years9 years
Weighted-average interest accretion (original locked-in) rate4.9 %4.8 %
Weighted-average current discount rate at balance sheet date5.3 %5.0 %
_________________
(1)For the nine months ended September 30, 2025, the net effect of changes in cash flow assumptions was largely offset by the corresponding impact in DPL associated with the RIS segment’s annuity products of $65 million. For the nine months ended September 30, 2024, the net effect of changes in cash flow assumptions was partially offset by the corresponding impact in DPL associated with the RIS segment’s annuity products of $62 million.
(2)For the nine months ended September 30, 2025, the net effect of actual variances from expected experience was largely offset by the corresponding impact in DPL associated with the RIS segment’s annuity products of $43 million. For the nine months ended September 30, 2024, the net effect of actual variances from expected experience was partially offset by the corresponding impact in DPL associated with the RIS segment’s annuity products of $29 million.
For the nine months ended September 30, 2025 and 2024, the net effect of changes in cash flow assumptions was primarily driven by updates in assumptions related to mortality.
When single premium annuity contracts are issued, the FPB reserve is required to be measured at an upper-medium grade discount rate. Due to differences between the upper-medium grade discount rate and pricing assumptions used to determine the contractual premium, the initial FPB reserve at issue for a particular cohort may be greater than the contractual premium received, and the difference must be recognized as an immediate loss at issue. On these cohorts, future experience that differs from expected experience and changes in cash flow assumptions result in the recognition of remeasurement gains and losses with net remeasurement gains limited to the amount of the original loss at issue, after which any favorable experience is deferred and recorded within the DPL. For the nine months ended September 30, 2024, the Company incurred a loss at issue of $129 million. Substantially all of the loss at issue was offset by a deferred gain on ceded reinsurance, which will be amortized over the life of the reinsurance agreement. Additionally, for the nine months ended September 30, 2024, the Company recognized a net remeasurement gain related to the net effect of changes in cash flow assumptions.
Significant Methodologies and Assumptions
The principal inputs used in the establishment of the FPB for the RIS segment’s annuity products include actual premiums, actual benefits, in-force data, locked-in claim-related expenses, the locked-in interest accretion rate, the current upper-medium grade discount rate at the balance sheet date and best estimate mortality assumptions.
Asia
Whole and Term Life & Endowments
The Asia segment’s whole and term life & endowment products in Japan and Korea offer various life insurance coverages to customers. Information regarding these products was as follows:
Nine Months
Ended
September 30,
20252024
(Dollars in millions)
Present Value of Expected Net Premiums
Balance, beginning of period, at current discount rate at balance sheet date$4,023 $4,561 
Balance, beginning of period, at original discount rate$4,286 $4,793 
Effect of changes in cash flow assumptions (1)
26 58 
Effect of actual variances from expected experience
(93)(43)
Adjusted balance4,219 4,808 
Issuances
455 386 
Interest accrual
61 52 
Net premiums collected
(476)(456)
Effect of foreign currency translation
237 (77)
Ending balance at original discount rate4,496 4,713 
Effect of changes in discount rate assumptions
(358)(236)
Effect of foreign currency translation on the effect of changes in discount rate assumptions
(16)3 
Balance, end of period, at current discount rate at balance sheet date$4,122 $4,480 
Present Value of Expected FPBs
Balance, beginning of period, at current discount rate at balance sheet date$15,190 $17,435 
Balance, beginning of period, at original discount rate$15,252 $17,198 
Effect of changes in cash flow assumptions (1)
28 36 
Effect of actual variances from expected experience
(107)(39)
Adjusted balance15,173 17,195 
Issuances455 386 
Interest accrual286 276 
Benefit payments(723)(726)
Effect of foreign currency translation
877 (263)
Ending balance at original discount rate16,068 16,868 
Effect of changes in discount rate assumptions
(592)272 
Effect of foreign currency translation on the effect of changes in discount rate assumptions
1 1 
Balance, end of period, at current discount rate at balance sheet date15,477 17,141 
Net liability for FPBs
11,355 12,661 
Less: Amount due to reinsurer
(2)(2)
Net liability for FPBs, net of reinsurance
$11,357 $12,663 
Undiscounted:
Expected future gross premiums$9,376 $9,393 
Expected future benefit payments$27,226 $28,008 
Discounted (at current discount rate at balance sheet date):
Expected future gross premiums$7,697 $8,042 
Expected future benefit payments$15,477 $17,141 
Weighted-average duration of the liability17 years17 years
Weighted -average interest accretion (original locked-in) rate2.7 %2.5 %
Weighted-average current discount rate at balance sheet date3.2 %2.6 %
_________________
(1)For the nine months ended September 30, 2024, the net effect of changes in cash flow assumptions was more than offset by the corresponding impact in DPL associated with the Asia segment’s whole and term life products of $28 million.
Accident & Health
The Asia segment’s accident & health products in Japan and Korea offer various hospitalization, cancer, critical illness, disability, income protection and personal accident coverage. Information regarding these products was as follows:
Nine Months
Ended
September 30,
20252024
(Dollars in millions)
Present Value of Expected Net Premiums
Balance, beginning of period, at current discount rate at balance sheet date$17,203 $19,835 
Balance, beginning of period, at original discount rate$18,820 $21,232 
Effect of changes in cash flow assumptions
(95)439 
Effect of actual variances from expected experience
(277)— 
Adjusted balance18,448 21,671 
Issuances
929 842 
Interest accrual
169 168 
Net premiums collected
(1,397)(1,394)
Effect of foreign currency translation and other - net
1,371 (149)
Ending balance at original discount rate19,520 21,138 
Effect of changes in discount rate assumptions
(2,462)(1,481)
Effect of foreign currency translation on the effect of changes in discount rate assumptions
(107)12 
Balance, end of period, at current discount rate at balance sheet date$16,951 $19,669 
Present Value of Expected FPBs
Balance, beginning of period, at current discount rate at balance sheet date$26,565 $30,480 
Balance, beginning of period, at original discount rate$32,838 $36,010 
Effect of changes in cash flow assumptions
(186)439 
Effect of actual variances from expected experience
(310)4 
Adjusted balance32,342 36,453 
Issuances928 841 
Interest accrual360 353 
Benefit payments(1,001)(939)
Effect of foreign currency translation and other - net
2,220 (323)
Ending balance at original discount rate34,849 36,385 
Effect of changes in discount rate assumptions
(8,900)(6,207)
Effect of foreign currency translation on the effect of changes in discount rate assumptions
(379)43 
Balance, end of period, at current discount rate at balance sheet date25,570 30,221 
Cumulative impact of flooring the future policyholder benefits reserve
160 46 
Net liability for FPBs
8,779 10,598 
Less: Reinsurance recoverables
123 164 
Net liability for FPBs, net of reinsurance
$8,656 $10,434 
Undiscounted:
Expected future gross premiums$39,033 $41,446 
Expected future benefit payments$45,782 $47,705 
Discounted (at current discount rate at balance sheet date):
Expected future gross premiums$29,343 $33,666 
Expected future benefit payments$25,570 $30,221 
Weighted-average duration of the liability20 years24 years
Weighted-average interest accretion (original locked-in) rate1.7 %1.7 %
Weighted-average current discount rate at balance sheet date3.4 %2.7 %
For the nine months ended September 30, 2025, the net effect of changes in cash flow assumptions was primarily driven by updates in assumptions related to morbidity, partially offset by mortality. For the nine months ended September 30, 2024, the net effect of changes in cash flow assumptions was primarily driven by updates in assumptions related to morbidity, substantially offset by policyholder behavior assumptions related to lapses.
Significant Methodologies and Assumptions
The principal inputs used in the establishment of the FPB reserve for the Asia segment’s accident & health products include actual premiums, actual benefits, in-force data, locked-in claim-related expenses, the locked-in interest accretion rate, the current upper-medium grade discount rate at the balance sheet date and best estimate assumptions. The best estimate assumptions include mortality, lapse and morbidity.
Latin America - Fixed Annuities
The Latin America segment’s fixed annuity products in Chile and Mexico include fixed income annuities that provide for asset distribution needs. Information regarding these products was as follows:
Nine Months
Ended
September 30,
20252024
(Dollars in millions)
Present Value of Expected Net Premiums
Balance, beginning of period, at current discount rate at balance sheet date$—$—
Balance, at beginning of period, at original discount rate$—$—
Effect of changes in cash flow assumptions (1)
——
Effect of actual variances from expected experience (2)
——
Adjusted balance——
Issuances
1,096760
Interest accrual
713
Net premiums collected
(1,103)(773)
Ending balance at original discount rate——
Balance, end of period, at current discount rate at balance sheet date$—$—
Present Value of Expected FPBs
Balance, beginning of period, at current discount rate at balance sheet date$9,600$9,637
Balance, beginning of period, at original discount rate$9,133$9,249
Effect of changes in cash flow assumptions (1)
5(4)
Effect of actual variances from expected experience (2)
(17)(21)
Adjusted balance9,1219,224
Issuances1,143789
Interest accrual274253
Benefit payments(595)(519)
Inflation adjustment274270
Effect of foreign currency translation
333(258)
Ending balance at original discount rate10,5509,759
Effect of changes in discount rate assumptions
5451,126
Effect of foreign currency translation on the effect of changes in discount rate assumptions
1321
Balance, end of period, at current discount rate at balance sheet date11,10810,906
Net liability for FPBs
$11,108$10,906
Undiscounted - Expected future benefit payments$15,646$14,663
Discounted - Expected future benefit payments (at current discount rate at balance sheet date)$11,108$10,906
Weighted-average duration of the liability10 years11 years
Weighted-average interest accretion (original locked-in) rate3.7 %3.4 %
Weighted-average current discount rate at balance sheet date3.0 %2.5 %
__________________
(1)For the nine months ended September 30, 2024, the net effect of changes in cash flow assumptions was largely offset by the corresponding impact in DPL associated with the Latin America segment’s fixed annuity products of $3 million.
(2)For the nine months ended September 30, 2024, the net effect of actual variances from expected experience was not offset by the corresponding impact in DPL associated with the Latin America segment’s fixed annuity products primarily due to the variance coming from cohorts with no DPL.
MetLife Holdings - Long-term Care
The MetLife Holdings segment’s long-term care products offer protection against potentially high costs of long-term health care services. Information regarding these products was as follows:
Nine Months
Ended
September 30,
20252024
(Dollars in millions)
Present Value of Expected Net Premiums
Balance, beginning of period, at current discount rate at balance sheet date$5,475$5,687
Balance, beginning of period, at original discount rate$5,568$5,566
Effect of changes in cash flow assumptions
68212
Effect of actual variances from expected experience
9934
Adjusted balance5,7355,812
Interest accrual
212213
Net premiums collected
(421)(424)
Ending balance at original discount rate5,5265,601
Effect of changes in discount rate assumptions
57159
Balance, end of period, at current discount rate at balance sheet date$5,583$5,760
Present Value of Expected FPBs
Balance, beginning of period, at current discount rate at balance sheet date$20,012$20,927
Balance, beginning of period, at original discount rate$21,024$20,494
Effect of changes in cash flow assumptions
66205
Effect of actual variances from expected experience
14945
Adjusted balance21,23920,744
Interest accrual833812
Benefit payments(690)(638)
Ending balance at original discount rate21,38220,918
Effect of changes in discount rate assumptions
(490)499
Balance, end of period, at current discount rate at balance sheet date20,89221,417
Net liability for FPBs
$15,309$15,657
Undiscounted:
Expected future gross premiums$10,462$10,735
Expected future benefit payments$44,833$45,098
Discounted (at current discount rate at balance sheet date):
Expected future gross premiums$7,059$7,319
Expected future benefit payments$20,892$21,417
Weighted-average duration of the liability13 years14 years
Weighted-average interest accretion (original locked-in) rate5.4 %5.4 %
Weighted-average current discount rate at balance sheet date5.6 %5.2 %
For the nine months ended September 30, 2025, the net effect of changes in cash flow assumptions was primarily driven by updates in operational assumptions related to the future premium rate increases, substantially offset by unfavorable morbidity and policyholder behavior related to lapses.
For the nine months ended September 30, 2025, the net effect of actual variances from expected experience was primarily driven by unfavorable mortality and morbidity, partially offset by the future premium rate increases.
Significant Methodologies and Assumptions
The principal inputs used in the establishment of the FPB reserve for long-term care products include actual premiums, actual benefits, in-force data, locked-in claim-related expenses, the locked-in interest accretion rate, the current upper-medium grade discount rate at the balance sheet date and best estimate assumptions. The best estimate assumptions include mortality, lapse, incidence, claim utilization, claim cost inflation, claim continuance, and premium rate increases.
Rollforwards - Additional Insurance Liabilities
The Company establishes additional insurance liabilities for annuitization, death or other insurance benefits for variable life, universal life, and variable universal life contract features whereby the Company guarantees to the contractholder either a secondary guarantee or a guaranteed paid-up benefit. The policy can remain in force, even if the base policy account value is zero, as long as contractual secondary guarantee requirements have been met.
The following information about the direct liability for additional insurance liabilities includes disaggregated rollforwards. The products grouped within these rollforwards were selected based upon common characteristics and valuations using similar inputs, judgments, assumptions and methodologies within a particular segment of the business. The adjusted balance in each disaggregated rollforward reflects the remeasurement (gains) losses. All amounts presented in these rollforwards and accompanying financial information do not include a reduction for amounts ceded to reinsurers.
Asia
The Asia segment’s variable life, universal life, and variable universal life products in Japan offer a contract feature whereby the Company guarantees to the contractholder a secondary guarantee. Information regarding these additional insurance liabilities was as follows:
Nine Months
Ended
September 30,
2025202420252024
Variable Life
Universal and Variable Universal Life
(Dollars in millions)
Balance, beginning of period
$1,108$1,258$355$424
Less: Accumulated other comprehensive income (loss) (“AOCI”) adjustment
——10(14)
Balance, beginning of period, before AOCI adjustment
1,1081,258345438
Effect of changes in cash flow assumptions
(3)17(46)(23)
Effect of actual variances from expected experience(14)(8)(5)(14)
Adjusted balance
1,0911,267294401
Assessments accrual(3)(3)(2)—
Interest accrual131344
Excess benefits paid(27)(30)——
Effect of foreign currency translation and other, net
72(20)22(6)
Balance, end of period, before AOCI adjustment
1,1461,227318399
Add: AOCI adjustment
——32—
Balance, end of period
$1,146$1,227$350$399
Weighted-average duration of the liability16 years16 years42 years42 years
Weighted-average interest accretion rate1.6 %1.4 %1.6 %1.4 %
MetLife Holdings
The MetLife Holdings segment’s universal life and variable universal life products provide a contract feature whereby the Company guarantees to the contractholder a secondary guarantee or a guaranteed paid-up benefit. Information regarding these additional insurance liabilities was as follows:
Nine Months
Ended
September 30,
20252024
Universal and Variable Universal Life
(Dollars in millions)
Balance, beginning of period$2,496$2,362
Less: AOCI adjustment (17)(14)
Balance, beginning of period, before AOCI adjustment2,5132,376
Effect of changes in cash flow assumptions
(8)(2)
Effect of actual variances from expected experience2936
Adjusted balance2,5342,410
Assessments accrual8078
Interest accrual10398
Excess benefits paid(106)(104)
Balance, end of period, before AOCI adjustment2,6112,482
Add: AOCI adjustment(13)(11)
Balance, end of period2,5982,471
Less: Reinsurance recoverables2,2582,147
Balance, end of period, net of reinsurance$340$324
Weighted-average duration of the liability14 years15 years
Weighted-average interest accretion rate5.5 %5.5 %
The Company’s gross premiums or assessments and interest expense recognized in the interim condensed consolidated statements of operations and comprehensive income (loss) for long-duration contracts, excluding MetLife Holdings’ participating life contracts, were as follows:
Nine Months
Ended
September 30,
20252024
Gross Premiums or
Assessments (1)		Interest Expense (2)Gross Premiums or
Assessments (1)		Interest Expense (2)
(In millions)
Traditional and Limited-Payment Contracts:
RIS - Annuities
$3,236 $2,516 $5,098 $2,326 
Asia:
Whole and term life & endowments
914 225 850 224 
Accident & health
2,331 191 2,324 185 
Latin America - Fixed annuities
1,103 267 773 240 
MetLife Holdings - Long-term care
539 621 543 599 
Deferred Profit Liabilities:
RIS - Annuities
N/A138 N/A133 
Asia:
Whole and term life & endowments
N/A32 N/A27 
Accident & health
N/A17 N/A15 
Latin America - Fixed annuities
N/A15 N/A15 
Additional Insurance Liabilities:
Asia:
Variable life
114 13 85 13 
Universal and variable universal life
17 4 (32)4 
MetLife Holdings - Universal and variable universal life
465 103 492 98 
Other long-duration
3,862 363 3,469 362 
 Total
$12,581 $4,505 $13,602 $4,241 
__________________
(1)Gross premiums are related to traditional and limited-payment contracts and are included in premiums. Assessments are related to additional insurance liabilities and are included in universal life and investment-type product policy fees and net investment income.
(2)Interest expense is included in policyholder benefits and claims.
Liabilities for Unpaid Claims and Claim Expenses
Rollforward of Claims and Claim Adjustment Expenses
Information regarding the liabilities for unpaid claims and claim adjustment expenses was as follows:
Nine Months
Ended
September 30,
20252024
(In millions)
Balance, beginning of period$16,118 $16,468 
Less: Reinsurance recoverables2,790 2,592 
Net balance, beginning of period13,328 13,876 
Incurred related to:
Current period22,050 20,532 
Prior periods (1)164 80 
Total incurred22,214 20,612 
Paid related to:
Current period(15,202)(14,470)
Prior periods(5,712)(5,773)
Total paid(20,914)(20,243)
Net balance, end of period14,628 14,245 
Add: Reinsurance recoverables2,974 2,757 
Balance, end of period (included in FPBs and other policy-related balances)
$17,602 $17,002 
__________________
(1)For the nine months ended September 30, 2025 and 2024, incurred claims and claim adjustment expenses associated with prior periods increased due to events incurred in prior periods but reported in the respective current period.