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Benefit Plans
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Benefit Plans Benefit Plans
Pension and Postretirement Health Care Benefit Plans
CNA sponsors noncontributory defined benefit pension plans, primarily through the CNA Retirement Plan, covering certain eligible employees. These plans are closed to new entrants. CNA's funding policy for defined benefit pension plans is to make contributions in accordance with applicable governmental regulatory requirements with consideration of the funded status of the plans.
Effective January 1, 2000, the CNA Retirement Plan was closed to new participants. Existing participants at that time were given a choice to either continue to accrue benefits under the CNA Retirement Plan or to cease accruals effective December 31, 1999. Employees who chose to continue to accrue benefits under the plan received benefits in accordance with plan provisions through June 30, 2015 as discussed further below. Participants who elected to cease accruals at December 31, 1999 received the present value of their accrued benefit in an accrued pension account that is credited with interest based on the annual rate of interest on 30-year Treasury securities. These employees also receive certain enhanced employer contributions in the CNA 401k Plan.
Effective June 30, 2015, the Company eliminated future benefit accruals associated with the CNA Retirement Plan. Participants who were continuing to accrue benefits under the CNA Retirement Plan up until that date are entitled to an accrued benefit payable based on their eligible compensation and accrued service through June 30, 2015. These affected participants now also receive enhanced employer contributions in the CNA 401k Plan similar to participants who elected to cease accruals effective December 31, 1999. Employees who elected to cease accruals effective December 31, 1999 were not affected by this curtailment.
In 2024, the CNA Retirement Plan paid $1,034 million to purchase a nonparticipating single premium group annuity contract from Metropolitan Life Insurance Company (the Insurer) under which the CNA Retirement Plan transferred $1,045 million of its defined benefit pension obligations. The group annuity contract covers approximately 7,600 CNA Retirement Plan participants and beneficiaries (the Transferred Participants), representing approximately 60% of the CNA Retirement Plan’s obligations. Under the group annuity contract, the Insurer has made an irrevocable commitment, and will be solely responsible, to pay the pension benefits of each Transferred Participant that are due on and after January 1, 2025. The purchase of the group annuity contract was funded directly by assets of the CNA Retirement Plan and required no cash or asset contributions by the Company. As a result of the transaction, the Company recognized a one-time, non-cash, pretax pension settlement charge of $367 million ($290 million after-tax).
Additionally in 2024, a subsidiary of CNAF, as a sponsor of the CNA Canada Employee Pension Plan (the Canada Plan), purchased a nonparticipating single premium group annuity contract, under which the defined benefit pension obligation of the Canada Plan was transferred in full to an insurance company counterparty. As a result of the transaction, the Company recognized a one-time, non-cash, pretax pension settlement charge of $4 million ($3 million after-tax).
The 2024 charges were largely driven by the accelerated recognition of the Company’s actuarial pension loss from accumulated other comprehensive income into net income, which does not impact stockholder’s equity. These charges did not impact the Company's core income or cash flow.
Effective December 31, 2025, the Company amended the CNA Health and Group Benefits Program to discontinue postretirement health care benefits that had been provided to eligible retired employees, their covered dependents and their beneficiaries through the program. These postretirement benefits had already largely been eliminated for active employees.
The following table presents a reconciliation of benefit obligations and plan assets.
Pension BenefitsPostretirement Benefits
(In millions)2025202420252024
Benefit obligation as of January 1$681 $1,807 $4 $5 
Changes in benefit obligation:
Interest cost36 87 — — 
Participants' contributions— — 1 1 
Actuarial (gain) loss8 (24)1 — 
Benefits paid(51)(144)(2)(2)
Foreign currency translation and other4 (1)— — 
Plan amendments— — (2)— 
Effect of pension settlement transactions5 (1,044)— — 
Benefit obligation as of December 31683 681 2 4 
Fair value of plan assets as of January 1915 1,984 — — 
Change in plan assets:
Actual return on plan assets84 115 — — 
Company contributions5 5 1 1 
Participants' contributions— — 1 1 
Benefits paid(51)(144)(2)(2)
Foreign currency translation and other6 (1)— — 
Effect of pension settlement transactions4 (1,044)— — 
Fair value of plan assets as of December 31963 915 — — 
Funded status$280 $234 $(2)$(4)
Amounts recognized on the Consolidated Balance Sheets as of December 31:
Other assets$318 $275 $— $— 
Other liabilities(38)(41)(2)(4)
Net amount recognized$280 $234 $(2)$(4)
Amounts recognized in Accumulated other comprehensive income, not yet recognized in net periodic cost (benefit):
Net actuarial (gain) loss$208 $236 $(1)$2 
Net amount recognized$208 $236 $(1)$2 
The accumulated benefit obligation for all defined benefit pension plans was $683 million and $681 million as of December 31, 2025 and 2024. Changes for the year ended December 31, 2025 include an actuarial loss of $8 million primarily driven by changes in the discount rate used to determine the defined benefit pension obligations. Changes for the year ended December 31, 2024 include the impact of pension settlement transactions discussed above and an actuarial gain of $24 million primarily driven by changes in the discount rate used to determine the defined benefit pension obligations.
For pension plans with a benefit obligation in excess of plan assets, the benefit obligation was $38 million and $41 million and the aggregate plan assets were $0 at December 31, 2025 and 2024.
The components of net periodic pension cost (benefit) are presented in the following table.
Years ended December 31
(In millions)202520242023
Net periodic pension cost (benefit)
Interest cost on projected benefit obligation$36 $87 $98 
Expected return on plan assets(54)(116)(119)
Amortization of net actuarial loss (gain) 7 29 33 
Pension settlement transaction loss— 371 — 
Total net periodic pension cost (benefit)$(11)$371 $12 
The following table indicates the line items in which the non-service cost (benefit) is presented in the Consolidated Statements of Operations.
Years ended December 31
(In millions)202520242023
Non-Service Cost (benefit):
Insurance claims and policyholder's benefits$(3)$— $3 
Other operating expenses(8)371 9 
Total net periodic pension cost (benefit)$(11)$371 $12 
The amounts recognized in Other comprehensive income are presented in the following table.
Years ended December 31
(In millions)202520242023
Pension and postretirement benefits
Amounts arising during the period$22 $22 $50 
Postretirement termination loss3 — — 
Pension settlement transaction loss— 371 — 
Reclassification adjustment relating to prior service credit(2)— — 
Reclassification adjustment relating to actuarial loss8 30 34 
Total increase (decrease) in Other comprehensive income$31 $423 $84 
    
Actuarial assumptions used for the CNA Retirement Plan and CNA Health and Group Benefits Program to determine benefit obligations are presented in the following table. The interest crediting rate is the weighted average interest rate applied to the individual pension balances for employees who elected to cease accruals effective December 31, 1999.
December 3120252024
Pension benefits
Discount rate5.200 %5.500 %
Interest crediting rate4.500 4.500 
Postretirement benefits
Discount rate5.100 %5.400 %
Actuarial assumptions used for the CNA Retirement Plan and CNA Health and Group Benefits Program to determine net cost or benefit are presented in the following table.
Years ended December 31202520242023
Pension benefits
Discount rate5.500 %5.100 %5.350 %
Expected long-term rate of return6.250 6.250 6.250 
Interest crediting rate4.500 4.500 3.500 
Postretirement benefits
Discount rate5.400 %5.100 %5.250 %
To determine the discount rate assumption as of the year-end measurement date for the CNA Retirement Plan and CNA Health and Group Benefits Program, the Company considered the estimated timing of plan benefit payments and available yields on high quality fixed income debt securities. For this purpose, high quality is considered a rating of Aa or better by Moody's Investors Service, Inc. (Moody's) or a rating of AA or better from Standard & Poor's (S&P). The Company reviewed several yield curves constructed using the cash flow characteristics of the plans as well as bond indices as of the measurement date. The trend of those data points was also considered.
In determining the expected long-term rate of return on plan assets assumption for the CNA Retirement Plan, CNA considered the historical performance of the benefit plan investment portfolio as well as long-term market return expectations based on the investment mix of the portfolio and the expected investment horizon.
The CNA Health and Group Benefits Program has limited its share of the health care trend rate to a cost-of-living adjustment of 4% per year. For all participants, the employer subsidy on health care costs will not increase by more than 4% per year. As a result, the assumed health care cost trend rate used in measuring the accumulated postretirement benefit obligation for the CNA Health and Group Benefits Program was 4% per year in 2025, 2024 and 2023.
CNA employs a total return approach whereby a mix of equity, limited partnerships and fixed maturity securities are used to maximize the long-term return of retirement plan assets for a prudent level of risk and to manage cash flows according to plan requirements. The target allocation of plan assets is 0% to 40% invested in equity securities and limited partnerships, with the remainder primarily invested in fixed maturity securities. Alternative investments, including limited partnerships, are used to enhance risk adjusted long-term returns while improving portfolio diversification. The intent of this strategy is to minimize the Company's expense related to funding the plan by generating investment returns that exceed the growth of the plan liabilities over the long run. Risk tolerance is established after careful consideration of the plan liabilities, plan funded status and corporate financial conditions.
As of December 31, 2025, the Plan had committed approximately $85 million to future capital calls from various third-party limited partnership investments in exchange for an ownership interest in the related partnerships. Derivatives may be used to gain market exposure in an efficient and timely manner. Investment risk is measured and monitored on an ongoing basis through annual liability measurements, periodic asset/liability studies and quarterly investment portfolio reviews.
Pension plan assets measured at fair value on a recurring basis are presented in the following tables.
December 31, 2025
(In millions)Level 1Level 2Level 3Total
Assets
Fixed maturity securities:
Corporate bonds and other$— $473 $4 $477 
States, municipalities and political subdivisions— 11 — 11 
Asset-backed— 103 8 111 
Total fixed maturity securities— 587 12 599 
Equity securities— 36 — 36 
Short-term investments33 — — 33 
Other assets— 7 — 7 
Cash2 — — 2 
Total assets measured at fair value$35 $630 $12 677 
Total limited partnerships measured at net asset value (1)
286 
Total$963 
December 31, 2024
(In millions)Level 1Level 2Level 3Total
Assets
Fixed maturity securities:
Corporate bonds and other$— $408 $5 $413 
States, municipalities and political subdivisions— 6 — 6 
Asset-backed— 113 8 121 
Total fixed maturity securities— 527 13 540 
Equity securities8 15 — 23 
Short-term investments47 — — 47 
Other assets— 6 — 6 
Cash2 — — 2 
Total assets measured at fair value$57 $548 $13 618 
Total limited partnerships measured at net asset value (1)
297 
Total$915 
(1) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table for these investments are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Plan's Statement of Financial Position.
The limited partnership investments held within the plan are recorded at fair value, which represents the plan's share of net asset value of each partnership, as determined by each limited partnership's general partner. Limited partnerships comprising more than 99% of the carrying value as of December 31, 2025 and 2024 were invested in private debt and equity. Limited partnerships comprising less than 1% of the carrying value as of December 31, 2025 and 2024 employ hedge fund strategies. Private debt and equity funds cover a broad range of investment strategies including buyout, private credit, growth capital and distressed investing. Hedge fund strategies include both long and short positions in fixed income, equity and derivative investments.
For a discussion of the fair value levels and the valuation methodologies used to measure fixed maturity securities, equities, derivatives and short-term investments, see Note C to the Consolidated Financial Statements.
The table below presents the estimated future minimum benefit payments to participants as of December 31, 2025.
(In millions)Pension Benefits
2026$58 
202758 
202858
202958 
203057
2031-2035258 
In 2026, CNA expects to contribute $5 million to its pension plans.
Savings Plans
CNA sponsors savings plans, which are generally contributory plans that allow eligible employees to contribute a maximum of 50% of their eligible compensation, subject to certain limitations prescribed by the IRS. The Company contributes matching amounts to participants amounting to 100% of the first 6% of annual eligible compensation contributed by the employee. In addition, eligible employees also receive a Company contribution of 5% of their annual eligible compensation, referred to as a basic contribution. Company contributions vest ratably over participants first five years of service.
Benefit expense for the Company's savings plans was $95 million, $88 million and $82 million for the years ended December 31, 2025, 2024 and 2023.