Investments

6 Months Ended

Jun. 30, 2025

Investments, Debt and Equity Securities [Abstract]

Available-for-Sale

We consider all of our investments classified as current assets to be available-for-sale. The following tables summarize our current investments as of the dates indicated:


	June 30, 2025
	Amortized Cost		Gross Unrealized				Estimated Fair Value
			Gains		Losses

	(In millions)
Corporate debt securities	$	2,630	$	28	$	15	$	2,643
Mortgage-backed securities	1,003		6		29		980
Asset-backed securities	425		2		3		424
Municipal securities	197		2		3		196
U.S. Treasury notes	20		—		—		20



Other	48		—		1		47
Total	$	4,323	$	38	$	51	$	4,310


	December 31, 2024
	Amortized Cost		Gross Unrealized				Estimated Fair Value
			Gains		Losses

	(In millions)
Corporate debt securities	$	2,769	$	10	$	35	$	2,744
Mortgage-backed securities	953		2		41		914
Asset-backed securities	435		2		6		431
Municipal securities	188		—		5		183
U.S. Treasury notes	5		—		—		5


Other	50		—		2		48
Total	$	4,400	$	14	$	89	$	4,325

The contractual maturities of our current investments as of June 30, 2025 are summarized below:


	Amortized Cost		Estimated Fair Value

	(In millions)
Due in one year or less	$	602	$	600
Due after one year through five years	1,958		1,966
Due after five years through ten years	578		583
Due after ten years	1,185		1,161
Total	$	4,323	$	4,310

In the six months ended June 30, 2025, and 2024, maturities and redemptions of available-for-sale securities amounted to $654 million and $471 million, respectively, and sales amounted to $63 million and $35 million, respectively. Gross realized gains and losses from sales of available-for-sale securities are calculated under the specific identification method and are included in investment income. Gross realized investment gains were insignificant for the six months ended June 30, 2025 and 2024. Gross realized investment losses were insignificant for the six months ended June 30, 2025. Gross realized investment losses amounted to $3 million in the six months ended June 30, 2024, and were reclassified into earnings from other comprehensive income on a net-of-tax basis.

We have determined that unrealized losses at June 30, 2025, and December 31, 2024, primarily resulted from fluctuating interest rates, rather than a deterioration of the creditworthiness of the issuers. Further, as of June 30, 2025, we do not intend to sell, and it is not likely that we will be required to sell these investments prior to the recovery of their amortized cost basis. Therefore, we determined that an allowance for credit losses was not necessary.

The following table segregates those available-for-sale investments that have been in a continuous loss position for less than 12 months, and those that have been in a continuous loss position for 12 months or more as of June 30, 2025:


	In a Continuous Loss Position for Less than 12 Months					In a Continuous Loss Position for 12 Months or More
	Estimated Fair Value		Unrealized Losses		Total Number of Positions	Estimated Fair Value		Unrealized Losses		Total Number of Positions

	(Dollars in millions)
Corporate debt securities	$	236	$	2	28	$	594	$	13	286
Mortgage-backed securities	165		2		126	359		27		227
Asset-backed securities	—		—		—	107		3		53
Municipal securities	—		—		—	68		3		75



Other	—		—		—	15		1		16

Total	$	401	$	4	154	$	1,143	$	47	657


	In a Continuous Loss Position for Less than 12 Months					In a Continuous Loss Position for 12 Months or More
	Estimated Fair Value		Unrealized Losses		Total Number of Positions	Estimated Fair Value		Unrealized Losses		Total Number of Positions

	(Dollars in millions)
Corporate debt securities	$	811	$	10	541	$	935	$	25	449
Mortgage-backed securities	271		5		197	406		36		244
Asset-backed securities	84		1		48	143		5		73
Municipal securities	38		1		27	95		4		89


Other	—		—		—	15		2		16

Total	$	1,204	$	17	813	$	1,594	$	72	871

Restricted Investments Held-to-Maturity

Pursuant to the regulations governing our state health plan subsidiaries, we maintain statutory deposits and deposits required by government authorities primarily in cash, cash equivalents, U.S. Treasury securities, and corporate debt securities. We also maintain restricted investments as protection against the insolvency of certain capitated providers. The use of these funds is limited as required by regulations in the various states in which we operate, or as needed in the event of insolvency of capitated providers. Therefore, such investments are reported as “Restricted investments” in the accompanying consolidated balance sheets.

We have the ability to hold these restricted investments until maturity and, as a result, we would not expect the value of these investments to decline significantly due to a sudden change in market interest rates. Our held-to-maturity restricted investments are carried at amortized cost, which approximates fair value. Such investments amounted to $291 million at June 30, 2025, of which $261 million will mature in one year or less, $25 million will mature in one through five years, and $5 million will mature after five years.