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Fair Value | 9 Months Ended
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Sep. 30, 2025
Fair Value Disclosures [Abstract] |
Fair Value | Fair Value Assets and liabilities measured at fair value on a recurring basis are summarized in the following tables. Corporate bonds and other includes obligations of the United States of America (“U.S.”) Treasury, government-sponsored enterprises, foreign governments and redeemable preferred stock.
September 30, 2025 | Level 1 |  | Level 2 |  | Level 3 |  | Total
(In millions) |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |
Corporate bonds and other | $ | 227 |  |  | $ | 24,780 |  |  | $ | 1,400 |  |  | $ | 26,407 |
States, municipalities and political subdivisions |  |  | 8,332 |  |  | 44 |  |  | 8,376 |
Asset-backed |  |  | 7,894 |  |  | 959 |  |  | 8,853 |
Fixed maturities available-for-sale | 227 |  |  | 41,006 |  |  | 2,403 |  |  | 43,636 |
Fixed maturities trading | 415 |  |  | 65 |  |  |  |  | 480 |
Total fixed maturities | $ | 642 |  |  | $ | 41,071 |  |  | $ | 2,403 |  |  | $ | 44,116 |
Equity securities | $ | 792 |  |  | $ | 493 |  |  | $ | 10 |  |  | $ | 1,295 |
Short-term and other | 5,170 |  |  | 52 |  |  |  |  | 5,222 |
Receivables |  |  | 1 |  |  |  |  | 1 |
Payable to brokers | (34) |  |  |  |  |  |  | (34) |
December 31, 2024 |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |
Corporate bonds and other | $ | 223 |  |  | $ | 24,340 |  |  | $ | 1,278 |  |  | $ | 25,841 |
States, municipalities and political subdivisions |  |  | 6,762 |  |  | 42 |  |  | 6,804 |
Asset-backed |  |  | 7,540 |  |  | 876 |  |  | 8,416 |
Fixed maturities available-for-sale | 223 |  |  | 38,642 |  |  | 2,196 |  |  | 41,061 |
Fixed maturities trading | 766 |  |  |  |  |  |  | 766 |
Total fixed maturities | $ | 989 |  |  | $ | 38,642 |  |  | $ | 2,196 |  |  | $ | 41,827 |
Equity securities | $ | 603 |  |  | $ | 441 |  |  | $ | 20 |  |  | $ | 1,064 |
Short-term and other | 4,383 |  |  | 70 |  |  |  |  | 4,453 |
Receivables |  |  | 5 |  |  |  |  | 5 |
Payable to brokers | (88) |  |  |  |  |  |  | (88) |
The following tables present reconciliations for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three and nine months ended September 30, 2025 and 2024:
|  |  | Net Realized Investment Gains (Losses) and Net Change in Unrealized Investment Gains (Losses) |  |  |  |  |  |  |  |  |  |  |  |  |  | Unrealized Gains (Losses) Recognized in Net Income (Loss) on Level 3 Assets and Liabilities Held at September 30 |  | Unrealized Gains (Losses) Recognized in Other Comprehensive Income (Loss) on Level 3 Assets and Liabilities Held at September 30
2025 | Balance, July 1 |  | Included in Net Income |  | Included in OCI |  | Purchases |  | Sales |  | Settlements |  | Transfers into Level 3 |  | Transfers out of Level 3 |  | Balance, September 30 |  |
(In millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate bonds and other | $ | 1,388 |  |  |  |  | $ | 21 |  |  | $ | 24 |  |  |  |  | $ | (33) |  |  |  |  |  |  | $ | 1,400 |  |  |  |  | $ | 21 |
States, municipalities and political subdivisions | 44 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 44 |  |  |  |  |
Asset-backed | 886 |  |  | $ | 8 |  |  | 8 |  |  | 93 |  |  |  |  | (36) |  |  |  |  |  |  | 959 |  |  |  |  | 9 |
Fixed maturities available-for-sale | $ | 2,318 |  |  | $ | 8 |  |  | $ | 29 |  |  | $ | 117 |  |  | $ | — |  |  | $ | (69) |  |  | $ | — |  |  | $ | — |  |  | $ | 2,403 |  |  | $ | — |  |  | $ | 30 |
Equity securities | $ | 10 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 10 |  |  |  |  |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
(In millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate bonds and other | $ | 1,129 |  |  |  |  | $ | 59 |  |  | $ | 83 |  |  | $ | (10) |  |  | $ | (24) |  |  |  |  |  |  | $ | 1,237 |  |  |  |  | $ | 57 |
States, municipalities and political subdivisions | 43 |  |  |  |  | 2 |  |  |  |  |  |  |  |  |  |  |  |  | 45 |  |  |  |  | 2 |
Asset-backed | 887 |  |  | $ | 1 |  |  | 30 |  |  | 38 |  |  |  |  | (23) |  |  |  |  | $ | (18) |  |  | 915 |  |  |  |  | 30 |
Fixed maturities available-for-sale | $ | 2,059 |  |  | $ | 1 |  |  | $ | 91 |  |  | $ | 121 |  |  | $ | (10) |  |  | $ | (47) |  |  | $ | — |  |  | $ | (18) |  |  | $ | 2,197 |  |  | $ | — |  |  | $ | 89 |
Equity securities | $ | 14 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 14 |  |  |  |  |
|  |  | Net Realized Investment Gains (Losses) and Net Change in Unrealized Investment Gains (Losses) |  |  |  |  |  |  |  |  |  |  |  |  |  | Unrealized Gains (Losses) Recognized in Net Income (Loss) on Level 3 Assets and Liabilities Held at September 30 |  | Unrealized Gains (Losses) Recognized in Other Comprehensive Income (Loss) on Level 3 Assets and Liabilities Held at September 30
2025 | Balance, January 1 |  | Included in Net Income |  | Included in OCI |  | Purchases |  | Sales |  | Settlements |  | Transfers into Level 3 |  | Transfers out of Level 3 |  | Balance, September 30 |  |
(In millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate bonds and other | $ | 1,278 |  |  | $ | 1 |  |  | $ | 58 |  |  | $ | 123 |  |  |  |  | $ | (75) |  |  | $ | 15 |  |  |  |  | $ | 1,400 |  |  |  |  | $ | 55 |
States, municipalities and political subdivisions | 42 |  |  |  |  | 2 |  |  |  |  |  |  |  |  |  |  |  |  | 44 |  |  |  |  | 2 |
Asset-backed | 876 |  |  | 13 |  |  | 5 |  |  | 142 |  |  |  |  | (77) |  |  |  |  |  |  | 959 |  |  |  |  | 6 |
Fixed maturities available-for-sale | $ | 2,196 |  |  | $ | 14 |  |  | $ | 65 |  |  | $ | 265 |  |  | $ | — |  |  | $ | (152) |  |  | $ | 15 |  |  | $ | — |  |  | $ | 2,403 |  |  | $ | — |  |  | $ | 63 |
Equity securities | $ | 20 |  |  | $ | 1 |  |  |  |  |  |  | $ | (7) |  |  | $ | (4) |  |  |  |  |  |  | $ | 10 |  |  | $ | (1) |  |  |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate bonds and other | $ | 1,045 |  |  |  |  | $ | 39 |  |  | $ | 229 |  |  | $ | (10) |  |  | $ | (77) |  |  | $ | 11 |  |  |  |  | $ | 1,237 |  |  |  |  | $ | 34 |
States, municipalities and political subdivisions | 44 |  |  |  |  | 1 |  |  |  |  |  |  |  |  |  |  |  |  | 45 |  |  |  |  | 1 |
Asset-backed | 901 |  |  | $ | 5 |  |  | 14 |  |  | 111 |  |  | (14) |  |  | (65) |  |  |  |  | $ | (37) |  |  | 915 |  |  |  |  | 14 |
Fixed maturities available-for-sale | $ | 1,990 |  |  | $ | 5 |  |  | $ | 54 |  |  | $ | 340 |  |  | $ | (24) |  |  | $ | (142) |  |  | $ | 11 |  |  | $ | (37) |  |  | $ | 2,197 |  |  | $ | — |  |  | $ | 49 |
Equity securities | $ | 24 |  |  | $ | 6 |  |  |  |  | $ | 3 |  |  | $ | (19) |  |  |  |  |  |  |  |  | $ | 14 |  |  | $ | 2 |  |  |
Net investment gains and losses are reported in Net income as follows:
Major Category of Assets and Liabilities | Consolidated Condensed Statements of Operations Line Items
Fixed maturity securities available-for-sale | Investment gains (losses)
Fixed maturity securities trading | Net investment income
Equity securities | Investment gains (losses) and Net investment income
Other invested assets | Investment gains (losses) and Net investment income
Derivative financial instruments held in a trading portfolio | Net investment income
Derivative financial instruments, other | Investment gains (losses) and Operating revenues and other
Significant Unobservable Inputs The following tables present quantitative information about the significant unobservable inputs utilized in the fair value measurement of Level 3 assets. Valuations for assets and liabilities not presented in the tables below are primarily based on broker/dealer quotes for which there is a lack of transparency as to inputs used to develop the valuations. The quantitative detail of unobservable inputs from these broker quotes is neither provided nor reasonably available. The weighted average rate is calculated based on fair value.
September 30, 2025 | Estimated Fair Value |  | Valuation Techniques |  | Unobservable Inputs |  | Range (Weighted Average)
| (In millions) |  |  |  |  |  |  |  |  |
Fixed maturity securities | $ | 1,866 |  |  | Discounted cash flow |  | Credit spread |  | 1 | % | — | 7 | % | (2 | %)
December 31, 2024 |  |  |  |  |  |  |  |  |  |
Fixed maturity securities | $ | 1,724 |  |  | Discounted cash flow |  | Credit spread |  | 1 | % | — | 6 | % | (2 | %)
For fixed maturity securities, an increase to the credit spread assumptions would result in a lower fair value measurement. Financial Assets and Liabilities Not Measured at Fair Value The carrying amount, estimated fair value and the level of the fair value hierarchy of the financial assets and liabilities which are not measured at fair value on the Consolidated Condensed Balance Sheets are presented in the following tables. The carrying amounts and estimated fair values of short-term debt and long-term debt exclude finance lease obligations. The carrying amounts reported on the Consolidated Condensed Balance Sheets for cash and short-term investments not carried at fair value and certain other assets and liabilities approximate fair value due to the short term nature of these items.
| Carrying Amount |  | Estimated Fair Value
September 30, 2025 |  | Level 1 |  | Level 2 |  | Level 3 |  | Total
(In millions) |  |  |  |  |  |  |  |  |
Assets: |  |  |  |  |  |  |  |  |
Other invested assets, primarily mortgage loans | $ | 1,055 |  |  |  |  |  |  | $ | 1,047 |  |  | $ | 1,047 |
Liabilities: |  |  |  |  |  |  |  |  |
Short-term debt | 1,004 |  |  |  |  | $ | 999 |  |  | 5 |  |  | 1,004 |
Long-term debt | 8,436 |  |  |  |  | 7,405 |  |  | 968 |  |  | 8,373 |
December 31, 2024 |  |  |  |  |  |  |  |  |
Assets: |  |  |  |  |  |  |  |  |
Other invested assets, primarily mortgage loans | $ | 1,019 |  |  |  |  |  |  | $ | 987 |  |  | $ | 987 |
Liabilities: |  |  |  |  |  |  |  |  |
Short-term debt | 4 |  |  |  |  |  |  | 5 |  |  | 5 |
Long-term debt | 8,936 |  |  |  |  | $ | 7,702 |  |  | 966 |  |  | 8,668 |

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- Definition The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb)(1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 107 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-107 Reference 3: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 100 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-100 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (c)(3) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6A -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6A Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2E -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2E Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6A -Subparagraph (h) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6A Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6A -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6A Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6A -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6A Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6A -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6A Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (h) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (g) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 940 -SubTopic 820 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478119/940-820-50-1 + Details
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