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Policy Liabilities

12 Months Ended

Dec. 31, 2025

Policyholder Account Balance [Abstract]

Note 6—Policy Liabilities

The liability for future policy benefits is determined based on the net level premium method, which requires the liability be calculated as the present value of estimated future policyholder benefits and the related termination expenses, less the present value of estimated future net premiums to be collected from policyholders.

The following tables summarize balances and changes in the net liability for future policy benefits, before reinsurance, for traditional life long-duration contracts for the three years ended December 31, 2025:


	Life
	Present value of expected future net premiums
	American Income		DTC		Liberty National		Other		Total
Balance at January 1, 2023	$	4,273,156	$	5,910,224	$	1,094,407	$	470,741	$	11,748,528
Beginning balance at original discount rates	4,246,723		5,680,864		1,066,123		449,209		11,442,919
Effect of changes in assumptions on future cash flows	14,265		36,170		5,178		8,419		64,032
Effect of actual variances from expected experience	(155,293)		(306,004)		(40,961)		(18,441)		(520,699)
Adjusted balance at January 1, 2023	4,105,695		5,411,030		1,030,340		439,187		10,986,252
Issuances(1)	733,702		579,363		127,048		27,959		1,468,072
Interest accrual(2)	200,363		287,615		54,147		22,804		564,929
Net premiums collected(3)	(521,521)		(613,749)		(133,704)		(46,001)		(1,314,975)

Effect of changes in the foreign exchange rate	5,090		—		—		—		5,090
Ending balance at original discount rates	4,523,329		5,664,259		1,077,831		443,949		11,709,368

Effect of change from original to current discount rates	158,559		388,392		51,885		34,103		632,939
Balance at December 31, 2023	$	4,681,888	$	6,052,651	$	1,129,716	$	478,052	$	12,342,307

Balance at January 1, 2024	$	4,681,888	$	6,052,651	$	1,129,716	$	478,052	$	12,342,307
Beginning balance at original discount rates	4,523,329		5,664,259		1,077,831		443,949		11,709,368
Effect of changes in assumptions on future cash flows	(82,348)		(28,366)		(29,292)		(982)		(140,988)
Effect of actual variances from expected experience	(229,772)		(311,659)		(42,620)		(14,436)		(598,487)
Adjusted balance at January 1, 2024	4,211,209		5,324,234		1,005,919		428,531		10,969,893
Issuances(1)	798,952		491,440		120,683		23,911		1,434,986
Interest accrual(2)	220,959		292,843		55,198		22,875		591,875
Net premiums collected(3)	(551,066)		(603,605)		(134,778)		(45,041)		(1,334,490)

Effect of changes in the foreign exchange rate	(23,344)		—		—		—		(23,344)
Ending balance at original discount rates	4,656,710		5,504,912		1,047,022		430,276		11,638,920

Effect of change from original to current discount rates	(10,793)		117,994		1,425		9,771		118,397
Balance at December 31, 2024	$	4,645,917	$	5,622,906	$	1,048,447	$	440,047	$	11,757,317


	Life
	Present value of expected future net premiums
	American Income		DTC		Liberty National		Other		Total
Balance at January 1, 2025	$	4,645,917	$	5,622,906	$	1,048,447	$	440,047	$	11,757,317
Beginning balance at original discount rates	4,656,710		5,504,912		1,047,022		430,276		11,638,920
Effect of changes in assumptions on future cash flows	(136,473)		(89,711)		(52,204)		(5,160)		(283,548)
Effect of actual variances from expected experience	(216,259)		(292,327)		(37,586)		(18,358)		(564,530)
Adjusted balance at January 1, 2025	4,303,978		5,122,874		957,232		406,758		10,790,842
Issuances(1)	730,495		496,861		110,014		23,370		1,360,740
Interest accrual(2)	225,062		285,411		52,794		22,044		585,311
Net premiums collected(3)	(562,742)		(584,033)		(131,197)		(43,223)		(1,321,195)

Effect of changes in the foreign exchange rate	13,510		—		—		—		13,510
Ending balance at original discount rates	4,710,303		5,321,113		988,843		408,949		11,429,208

Effect of change from original to current discount rates	81,850		221,503		19,695		16,389		339,437
Balance at December 31, 2025	$	4,792,153	$	5,542,616	$	1,008,538	$	425,338	$	11,768,645

(1)Issuances represent the present value, using the original discount rate, of the expected net premiums related to new policies issued during each respective period.

(2)The interest accrual is the interest earned on the beginning present value of the expected net premiums, as well as the interest on actual net premiums earned during the period, using the original interest rate.

(3)Net premiums collected represent the product of the current period net premium ratio and the gross premiums collected during the period on the in force business.


	Life
	Present value of expected future policy benefits
	American Income		DTC		Liberty National		Other		Total
Balance at January 1, 2023	$	9,119,104	$	9,225,451	$	3,429,256	$	3,976,150	$	25,749,961
Beginning balance at original discount rates	8,409,761		8,477,892		3,272,980		3,403,704		23,564,337
Effect of changes in assumptions on future cash flows	13,344		34,407		6,156		11,661		65,568
Effect of actual variances from expected experience	(164,900)		(318,687)		(46,341)		(24,195)		(554,123)
Adjusted balance at January 1, 2023	8,258,205		8,193,612		3,232,795		3,391,170		23,075,782
Issuances(1)	733,700		579,365		127,062		27,959		1,468,086
Interest accrual(2)	452,640		458,587		174,995		204,083		1,290,305
Benefit payments(3)	(396,031)		(574,812)		(196,600)		(116,353)		(1,283,796)

Effect of changes in the foreign exchange rate	13,319		—		—		—		13,319
Ending balance at original discount rates	9,061,833		8,656,752		3,338,252		3,506,859		24,563,696
Effect of change from original to current discount rates	1,101,794		1,057,764		267,140		732,764		3,159,462
Balance at December 31, 2023	$	10,163,627	$	9,714,516	$	3,605,392	$	4,239,623	$	27,723,158




Balance at January 1, 2024	$	10,163,627	$	9,714,516	$	3,605,392	$	4,239,623	$	27,723,158
Beginning balance at original discount rates	9,061,833		8,656,752		3,338,252		3,506,859		24,563,696
Effect of changes in assumptions on future cash flows	(104,498)		(50,106)		(41,836)		(2,027)		(198,467)
Effect of actual variances from expected experience	(251,310)		(335,087)		(50,759)		(20,954)		(658,110)
Adjusted balance at January 1, 2024	8,706,025		8,271,559		3,245,657		3,483,878		23,707,119
Issuances(1)	794,225		491,437		120,702		23,912		1,430,276
Interest accrual(2)	492,966		474,451		178,617		210,344		1,356,378
Benefit payments(3)	(426,723)		(576,499)		(204,757)		(136,066)		(1,344,045)

Effect of changes in the foreign exchange rate	(57,904)		—		—		—		(57,904)
Ending balance at original discount rates	9,508,589		8,660,948		3,340,219		3,582,068		25,091,824
Effect of change from original to current discount rates	362,103		464,164		37,298		378,895		1,242,460
Balance at December 31, 2024	$	9,870,692	$	9,125,112	$	3,377,517	$	3,960,963	$	26,334,284

Balance at January 1, 2025	$	9,870,692	$	9,125,112	$	3,377,517	$	3,960,963	$	26,334,284
Beginning balance at original discount rates	9,508,589		8,660,948		3,340,219		3,582,068		25,091,824
Effect of changes in assumptions on future cash flows	(189,172)		(129,189)		(89,154)		(9,081)		(416,596)
Effect of actual variances from expected experience	(240,487)		(319,650)		(49,507)		(27,496)		(637,140)
Adjusted balance at January 1, 2025	9,078,930		8,212,109		3,201,558		3,545,491		24,038,088
Issuances(1)	730,489		496,856		110,030		23,370		1,360,745
Interest accrual(2)	514,553		476,278		177,656		214,860		1,383,347
Benefit payments(3)	(451,405)		(568,314)		(197,354)		(140,329)		(1,357,402)

Effect of changes in the foreign exchange rate	32,864		—		—		—		32,864
Ending balance at original discount rates	9,905,431		8,616,929		3,291,890		3,643,392		25,457,642
Effect of change from original to current discount rates	452,623		588,687		79,285		410,608		1,531,203
Balance at December 31, 2025	$	10,358,054	$	9,205,616	$	3,371,175	$	4,054,000	$	26,988,845

(1)Issuances represent the present value, using the original discount rate, of the expected future policy benefits related to new policies issued during each respective period.

(2)The interest accrual is the interest earned on the beginning present value of the expected future policy benefits, as well as the interest on actual benefits and expenses paid during the period, using the original interest rate.

(3)Benefit payments represent the release of the present value, using the original discount rate, of the actual future policy benefits incurred during the period due to death, surrender, and maturity benefit payments based on the revised expected assumptions.


	Life
	Net liability for future policy benefits as of December 31, 2023
	American Income		DTC		Liberty National		Other		Total
Net liability for future policy benefits at original discount rates	$	4,538,504	$	2,992,493	$	2,260,421	$	3,062,910	$	12,854,328
Effect of changes in discount rate assumptions	943,235		669,372		215,255		698,661		2,526,523
Other adjustments(1)	297		3,315		5,764		62		9,438
Net liability for future policy benefits, after other adjustments, at current discount rates	5,482,036		3,665,180		2,481,440		3,761,633		15,390,289
Reinsurance recoverable	(141)		—		(7,719)		(37,848)		(45,708)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates	$	5,481,895	$	3,665,180	$	2,473,721	$	3,723,785	$	15,344,581

(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).


	Life
	Net liability for future policy benefits as of December 31, 2024
	American Income		DTC		Liberty National		Other		Total
Net liability for future policy benefits at original discount rates	$	4,851,879	$	3,156,036	$	2,293,197	$	3,151,792	$	13,452,904
Effect of changes in discount rate assumptions	372,896		346,170		35,873		369,124		1,124,063
Other adjustments(1)	122		18		—		33		173
Net liability for future policy benefits, after other adjustments, at current discount rates	5,224,897		3,502,224		2,329,070		3,520,949		14,577,140
Reinsurance recoverable	(167)		—		(7,953)		(35,368)		(43,488)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates	$	5,224,730	$	3,502,224	$	2,321,117	$	3,485,581	$	14,533,652

(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).


	Life
	Net liability for future policy benefits as of December 31, 2025
	American Income		DTC		Liberty National		Other		Total
Net liability for future policy benefits at original discount rates	$	5,195,128	$	3,295,816	$	2,303,047	$	3,234,443	$	14,028,434
Effect of changes in discount rate assumptions	370,773		367,184		59,590		394,219		1,191,766
Other adjustments(1)	160		—		—		26		186
Net liability for future policy benefits, after other adjustments, at current discount rates	5,566,061		3,663,000		2,362,637		3,628,688		15,220,386
Reinsurance recoverable	(184)		—		(8,103)		(14)		(8,301)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates	$	5,565,877	$	3,663,000	$	2,354,534	$	3,628,674	$	15,212,085

(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).

The following tables summarize balances and changes in the net liability for future policy benefits for long-duration health contracts for the three years ended December 31, 2025:


	Health
	Present value of expected future net premiums
	United American		Family Heritage		Liberty National		American Income		DTC		Total
Balance at January 1, 2023	$	2,908,501	$	1,594,992	$	423,490	$	190,296	$	90,143	$	5,207,422
Beginning balance at original discount rates	2,941,262		1,729,219		415,442		192,631		87,751		5,366,305
Effect of changes in assumptions on future cash flows	466,883		(30,255)		(56,964)		(6,061)		16,553		390,156
Effect of actual variances from expected experience	(27,178)		(69,878)		(36,850)		(11,152)		(2,850)		(147,908)
Adjusted balance at January 1, 2023	3,380,967		1,629,086		321,628		175,418		101,454		5,608,553
Issuances(1)	377,097		266,375		59,768		39,825		14,467		757,532
Interest accrual(2)	139,824		67,743		18,255		8,528		4,616		238,966
Net premiums collected(3)	(272,085)		(180,031)		(51,081)		(22,325)		(10,657)		(536,179)

Effect of changes in the foreign exchange rate	—		—		—		423		—		423
Ending balance at original discount rates	3,625,803		1,783,173		348,570		201,869		109,880		6,069,295

Effect of change from original to current discount rates	71,968		(71,432)		9,902		4,512		5,483		20,433
Balance at December 31, 2023	$	3,697,771	$	1,711,741	$	358,472	$	206,381	$	115,363	$	6,089,728




Balance at January 1, 2024	$	3,697,771	$	1,711,741	$	358,472	$	206,381	$	115,363	$	6,089,728
Beginning balance at original discount rates	3,625,803		1,783,173		348,570		201,869		109,880		6,069,295
Effect of changes in assumptions on future cash flows	9,892		(8,117)		(3,463)		12,207		4,449		14,968
Effect of actual variances from expected experience	(43,846)		(56,720)		(29,652)		(16,088)		(2,937)		(149,243)
Adjusted balance at January 1, 2024	3,591,849		1,718,336		315,455		197,988		111,392		5,935,020
Issuances(1)	480,412		265,166		58,538		44,350		26,149		874,615
Interest accrual(2)	174,269		75,188		16,566		9,787		5,838		281,648
Net premiums collected(3)	(297,675)		(190,817)		(52,284)		(24,852)		(11,460)		(577,088)

Effect of changes in the foreign exchange rate	—		—		—		(2,132)		—		(2,132)
Ending balance at original discount rates	3,948,855		1,867,873		338,275		225,141		131,919		6,512,063

Effect of change from original to current discount rates	(63,325)		(132,998)		(1,156)		(1,894)		1,458		(197,915)
Balance at December 31, 2024	$	3,885,530	$	1,734,875	$	337,119	$	223,247	$	133,377	$	6,314,148

Balance at January 1, 2025	$	3,885,530	$	1,734,875	$	337,119	$	223,247	$	133,377	$	6,314,148
Beginning balance at original discount rates	3,948,855		1,867,873		338,275		225,141		131,919		6,512,063
Effect of changes in assumptions on future cash flows	625,460		(72,130)		29		12,588		25,985		591,932
Effect of actual variances from expected experience	(30,520)		(52,503)		(25,751)		(17,214)		(1,304)		(127,292)
Adjusted balance at January 1, 2025	4,543,795		1,743,240		312,553		220,515		156,600		6,976,703
Issuances(1)	858,558		277,165		56,531		39,969		51,254		1,283,477
Interest accrual(2)	207,580		79,122		15,883		10,912		7,481		320,978
Net premiums collected(3)	(336,658)		(203,724)		(53,553)		(27,353)		(13,886)		(635,174)

Effect of changes in the foreign exchange rate	—		—		—		1,257		—		1,257
Ending balance at original discount rates	5,273,275		1,895,803		331,414		245,300		201,449		7,947,241

Effect of change from original to current discount rates	56,806		(73,791)		5,429		3,100		5,874		(2,582)
Balance at December 31, 2025	$	5,330,081	$	1,822,012	$	336,843	$	248,400	$	207,323	$	7,944,659

(1)Issuances represent the present value, using the original discount rate, of the expected net premiums related to new policies issued during each respective period.

(3)Net premiums collected represent the product of the current period net premium ratio and the gross premiums collected during the period on the in force business.


	Health
	Present value of expected future policy benefits
	United American		Family Heritage		Liberty National		American Income		DTC		Total
Balance at January 1, 2023	$	3,046,829	$	3,005,664	$	941,574	$	312,750	$	87,532	$	7,394,349
Beginning balance at original discount rates	3,080,633		3,336,344		904,865		303,713		85,212		7,710,767
Effect of changes in assumptions on future cash flows	464,652		(32,428)		(60,437)		(6,407)		15,930		381,310
Effect of actual variances from expected experience	(26,718)		(74,797)		(36,910)		(12,661)		(3,325)		(154,411)
Adjusted balance at January 1, 2023	3,518,567		3,229,119		807,518		284,645		97,817		7,937,666
Issuances(1)	376,573		266,375		59,158		39,825		14,446		756,377
Interest accrual(2)	147,082		134,107		45,614		15,070		4,616		346,489
Benefit payments(3)	(300,692)		(122,912)		(95,471)		(24,987)		(12,378)		(556,440)

Effect of changes in the foreign exchange rate	—		—		—		878		—		878
Ending balance at original discount rates	3,741,530		3,506,689		816,819		315,431		104,501		8,484,970
Effect of change from original to current discount rates	72,798		(190,809)		48,989		20,073		4,981		(43,968)
Balance at December 31, 2023	$	3,814,328	$	3,315,880	$	865,808	$	335,504	$	109,482	$	8,441,002

Balance at January 1, 2024	$	3,814,328	$	3,315,880	$	865,808	$	335,504	$	109,482	$	8,441,002
Beginning balance at original discount rates	3,741,530		3,506,689		816,819		315,431		104,501		8,484,970
Effect of changes in assumptions on future cash flows	10,680		(5,054)		(2,775)		20,293		7,733		30,877
Effect of actual variances from expected experience	(35,532)		(63,595)		(30,258)		(18,601)		(2,420)		(150,406)
Adjusted balance at January 1, 2024	3,716,678		3,438,040		783,786		317,123		109,814		8,365,441
Issuances(1)	479,653		265,166		57,862		44,353		26,116		873,150
Interest accrual(2)	180,235		147,615		42,809		16,577		5,837		393,073
Benefit payments(3)	(349,706)		(138,777)		(93,317)		(25,214)		(13,792)		(620,806)

Effect of changes in the foreign exchange rate	—		—		—		(4,128)		—		(4,128)
Ending balance at original discount rates	4,026,860		3,712,044		791,140		348,711		127,975		9,006,730
Effect of change from original to current discount rates	(66,428)		(375,498)		13,555		6,592		1,302		(420,477)
Balance at December 31, 2024	$	3,960,432	$	3,336,546	$	804,695	$	355,303	$	129,277	$	8,586,253

Balance at January 1, 2025	$	3,960,432	$	3,336,546	$	804,695	$	355,303	$	129,277	$	8,586,253
Beginning balance at original discount rates	4,026,860		3,712,044		791,140		348,711		127,975		9,006,730
Effect of changes in assumptions on future cash flows	622,917		(79,615)		210		16,611		22,160		582,283
Effect of actual variances from expected experience	(38,119)		(60,780)		(27,632)		(21,464)		(1,653)		(149,648)
Adjusted balance at January 1, 2025	4,611,658		3,571,649		763,718		343,858		148,482		9,439,365
Issuances(1)	857,105		277,163		55,935		39,967		51,187		1,281,357
Interest accrual(2)	210,924		157,549		41,117		18,370		7,481		435,441
Benefit payments(3)	(383,504)		(160,713)		(94,806)		(24,496)		(15,878)		(679,397)

Effect of changes in the foreign exchange rate	—		—		—		2,383		—		2,383
Ending balance at original discount rates	5,296,183		3,845,648		765,964		380,082		191,272		10,479,149
Effect of change from original to current discount rates	49,270		(258,740)		27,891		13,517		5,460		(162,602)
Balance at December 31, 2025	$	5,345,453	$	3,586,908	$	793,855	$	393,599	$	196,732	$	10,316,547

(1)Issuances represent the present value, using the original discount rate, of the expected future policy benefits related to new policies issued during each respective period.

(3)Benefit payments represent the release of the present value, using the original discount rate, of the actual future policy benefits incurred during the period based on the revised expected assumptions.


	Health
	Net liability for future policy benefits as of December 31, 2023
	United American		Family Heritage		Liberty National		American Income		Direct to Consumer		Total
Net liability for future policy benefits at original discount rates	$	115,727	$	1,723,516	$	468,249	$	113,562	$	(5,379)	$	2,415,675
Effect of changes in discount rate assumptions	830		(119,377)		39,087		15,561		(502)		(64,401)
Other adjustments(1)	10,980		84		9,567		857		6,653		28,141
Net liability for future policy benefits, after other adjustments, at current discount rates	127,537		1,604,223		516,903		129,980		772		2,379,415
Reinsurance recoverable	(3,287)		(10,718)		(1,317)		—		—		(15,322)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates	$	124,250	$	1,593,505	$	515,586	$	129,980	$	772	$	2,364,093

(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).


	Health
	Net liability for future policy benefits as of December 31, 2024
	United American		Family Heritage		Liberty National		American Income		Direct to Consumer		Total
Net liability for future policy benefits at original discount rates	$	78,005	$	1,844,171	$	452,865	$	123,570	$	(3,944)	$	2,494,667
Effect of changes in discount rate assumptions	(3,103)		(242,500)		14,711		8,486		(156)		(222,562)
Other adjustments(1)	24,920		22		10,310		814		4,865		40,931
Net liability for future policy benefits, after other adjustments, at current discount rates	99,822		1,601,693		477,886		132,870		765		2,313,036
Reinsurance recoverable	(2,768)		—		(986)		—		—		(3,754)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates	$	97,054	$	1,601,693	$	476,900	$	132,870	$	765	$	2,309,282

(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).


	Health
	Net liability for future policy benefits as of December 31, 2025
	United American		Family Heritage		Liberty National		American Income		Direct to Consumer		Total
Net liability for future policy benefits at original discount rates	$	22,908	$	1,949,845	$	434,550	$	134,782	$	(10,177)	$	2,531,908
Effect of changes in discount rate assumptions	(7,536)		(184,949)		22,462		10,417		(414)		(160,020)
Other adjustments(1)	63,806		122		14,274		766		11,216		90,184
Net liability for future policy benefits, after other adjustments, at current discount rates	79,178		1,765,018		471,286		145,965		625		2,462,072
Reinsurance recoverable	(2,144)		—		(729)		—		—		(2,873)
Net liability for future policy benefits, after reinsurance recoverable, at current discount rates	$	77,034	$	1,765,018	$	470,557	$	145,965	$	625	$	2,459,199

(1)Other adjustments include the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).

Remeasurement Gain or Loss—In accordance with the accounting guidance, the Company reviews, and updates as necessary, its assumptions utilized in the calculation of the liability for future benefits annually in the third quarter and recalculates the net premium ratio. The revised net premium ratio is used to update the liability for future policy benefits as of the beginning of the current reporting period, and is compared to the liability using prior cash flow assumptions. The difference is recorded as a component of the remeasurement gain or loss for the current period, along with the effect of the difference between actual and expected experience for the period. The total remeasurement gain or loss is within life and health policyholder benefits included in the Consolidated Statements of Operations.

The following tables include the total remeasurement gain or loss, bifurcated between the gain or loss due to differences between actual and expected experience and the amount due to assumption updates, for the three years ended December 31, 2025:


	Year Ended December 31,
		2025		2024		2023
Life Remeasurement Gain (Loss)—Experience:
American Income		$	22,903	$	19,606	$	9,430
Direct to Consumer		25,121		21,681		12,201
Liberty National		6,327		3,966		5,013
Other		6,934		4,872		4,760
Total Life Remeasurement Gain (Loss)—Experience		61,285		50,125		31,404

Life Remeasurement Gain (Loss)—Assumption Updates:
American Income		52,731		21,974		308
Direct to Consumer		39,480		21,744		1,763
Liberty National		35,068		12,224		(1,248)
Other		3,647		904		(2,836)
Total Life Remeasurement Gain (Loss)—Assumption Updates		130,926		56,846		(2,013)

Total Life Remeasurement Gain (Loss)		192,211		106,971		29,391

Health Remeasurement Gain (Loss)—Experience:
United American		576		(4,890)		(134)
Family Heritage		7,821		6,756		4,638
Liberty National		4,047		2,640		628
American Income		4,186		2,742		1,461
Direct to Consumer		106		22		23
Total Health Remeasurement Gain (Loss)—Experience		16,736		7,270		6,616

Health Remeasurement Gain (Loss)—Assumption Updates:
United American		279		1,205		762
Family Heritage		7,492		(3,063)		2,173
Liberty National		(339)		(234)		2,171
American Income		(4,094)		(8,036)		119
Direct to Consumer		19		(373)		8
Health Remeasurement Gain (Loss)—Assumption Updates		3,357		(10,501)		5,233

Total Health Remeasurement Gain (Loss)		$	20,093	$	(3,231)	$	11,849

The Company performed its annual review of assumptions during the third quarter, resulting in favorable changes to its mortality and lapse assumptions on life and health. The assumption review process of the life and health segments resulted in a $134.3 million net remeasurement gain ($130.9 million and $3.4 million gains related to life and health, respectively) before tax for the year ended December 31, 2025 as compared to a $46.3 million net remeasurement gain ($56.8 million gain and $10.5 million loss related to life and health, respectively) before tax in 2024, and a $3.2 million net remeasurement gain ($2.0 million loss and $5.2 million gain related to life and health, respectively) before tax in 2023.

For the year ended December 31, 2025, life assumption changes reflect continued favorable mortality experience along with slightly higher lapse rates which resulted in lower life policy obligations compared to our previous assumptions anticipated. Health assumption changes reflect slightly higher lapse rates and benefit enhancements implemented last year.

Excluding the impact of assumption changes, the Company's results for actual variances from expected experience for both life and health produced a $78.0 million net remeasurement gain ($61.3 million and $16.7 million gains related to life and health, respectively) before tax for the year ended December 31, 2025, a $57.4 million net remeasurement gain before tax in 2024 ($50.1 million and $7.3 million gains related to life and health, respectively), and a $38.0 million net remeasurement gain ($31.4 million and $6.6 million gains related to life and health, respectively) before tax in 2023.

The following table reconciles the liability for future policy benefits to the Consolidated Balance Sheets as of December 31, 2025, 2024, and 2023:



	At Original Discount Rates						At Current Discount Rates
	As of December 31,						As of December 31,
	2025		2024		2023		2025		2024		2023
Life(1):
American Income	$	5,195,264	$	4,851,995	$	4,538,775	$	5,566,061	$	5,224,897	$	5,482,036
Direct to Consumer	3,295,819		3,156,039		2,992,493		3,663,000		3,502,224		3,665,180
Liberty National	2,303,047		2,293,197		2,260,421		2,362,637		2,329,070		2,481,440
Other	3,234,468		3,151,824		3,062,966		3,628,688		3,520,949		3,761,633
Net liability for future policy benefits—long duration life	14,028,598		13,453,055		12,854,655		15,220,386		14,577,140		15,390,289

Health(1):
United American	79,700		100,480		124,021		79,178		99,822		127,537
Family Heritage	1,949,955		1,844,186		1,723,581		1,765,018		1,601,693		1,604,223
Liberty National	447,908		462,712		476,559		471,286		477,886		516,903
American Income	135,514		124,309		114,407		145,965		132,870		129,980
Direct to Consumer	603		738		737		625		765		772
Net liability for future policy benefits—long duration health	2,613,680		2,532,425		2,439,305		2,462,072		2,313,036		2,379,415

Deferred profit liability	186,088		178,199		174,717		186,088		178,199		174,717
Deferred annuity	580,669		656,573		773,039		580,669		656,573		773,039
Interest sensitive life	711,687		723,389		732,948		711,687		723,389		732,948
Other	8,784		8,923		9,951		8,785		8,926		9,945
Total future policy benefits	$	18,129,506	$	17,552,564	$	16,984,615	$	19,169,687	$	18,457,263	$	19,460,353

(1)Balances are presented net of the effects of capping and flooring the liability (guidance requires an amount not less than zero at the calculation level of the liability for future policy benefits).

The following tables provide the weighted-average original and current discount rates for the liability for future policy benefits and the additional insurance liabilities as of December 31, 2025, 2024, and 2023:


	As of December 31,
	2025				2024				2023
	Original discount rate		Current discount rate		Original discount rate		Current discount rate		Original discount rate		Current discount rate
Life
American Income	5.7	%	5.4	%	5.7	%	5.4	%	5.7	%	4.9	%
Direct to Consumer	6.0	%	5.4	%	6.0	%	5.5	%	6.0	%	5.0	%
Liberty National	5.6	%	5.4	%	5.6	%	5.5	%	5.6	%	5.0	%
Other	6.2	%	5.5	%	6.2	%	5.5	%	6.2	%	5.0	%

Health
United American	5.1	%	5.2	%	5.1	%	5.2	%	5.1	%	4.8	%
Family Heritage	4.2	%	5.3	%	4.2	%	5.3	%	4.3	%	4.9	%
Liberty National	5.8	%	5.2	%	5.8	%	5.4	%	5.8	%	4.9	%
American Income	5.8	%	5.2	%	5.8	%	5.2	%	5.8	%	4.8	%
Direct to Consumer	5.1	%	5.2	%	5.1	%	5.2	%	5.1	%	4.8	%

The following table provides the weighted-average durations of the liability for future policy benefits and the additional insurance liabilities as of December 31, 2025, 2024, and 2023:


	As of December 31,
	2025		2024		2023
	At original discount rates	At current discount rates	At original discount rates	At current discount rates	At original discount rates	At current discount rates
Life
American Income	22.32	22.06	22.73	22.76	23.01	23.45
Direct to Consumer	18.67	19.38	19.24	20.31	19.58	21.21
Liberty National	15.26	15.04	15.30	15.33	15.13	15.81
Other	15.56	16.16	15.99	16.92	16.26	17.92

Health
United American	12.43	11.13	11.72	10.65	11.46	10.89
Family Heritage	16.25	14.86	15.33	14.23	14.99	14.54
Liberty National	9.53	9.33	9.31	9.19	9.17	9.49
American Income	13.25	13.12	12.49	12.56	12.21	12.84
Direct to Consumer	12.43	11.13	11.72	10.65	11.46	10.89

The following tables summarize the amount of gross premiums and interest related to long duration life and health contracts that are recognized on the Consolidated Statements of Operations for the three years ended December 31, 2025:


	Life
	Year Ended December 31, 2025				Year Ended December 31, 2024				Year Ended December 31, 2023
	Gross Premiums		Required Interest Expense		Gross Premiums		Required Interest Expense		Gross Premiums		Required Interest Expense
American Income	$	1,790,023	$	289,491	$	1,696,918	$	272,007	$	1,587,304	$	252,277
Direct to Consumer	970,233		190,793		977,302		181,470		979,739		170,745
Liberty National	387,167		124,370		367,278		122,727		345,196		120,083
Other	199,746		192,340		202,234		185,619		205,998		179,513
Total	$	3,347,169	$	796,994	$	3,243,732	$	761,823	$	3,118,237	$	722,618


	Health
	Year Ended December 31, 2025				Year Ended December 31, 2024				Year Ended December 31, 2023
	Gross Premiums		Required Interest Expense		Gross Premiums		Required Interest Expense		Gross Premiums		Required Interest Expense
United American	$	493,272	$	3,133	$	439,125	$	5,739	$	401,834	$	7,002
Family Heritage	468,063		78,425		427,640		71,900		396,211		65,892
Liberty National	189,690		25,130		189,650		26,144		187,095		27,248
American Income	119,209		7,457		117,644		6,790		113,605		6,542
Direct to Consumer	17,073		—		15,033		—		14,283		—
Total	$	1,287,307	$	114,145	$	1,189,092	$	110,573	$	1,113,028	$	106,684

Gross premiums are included within life and health premium on the Consolidated Statements of Operations, while the related interest expense is included in life and health policyholder benefits.

The following tables provide the undiscounted and discounted expected future net premiums, expected future gross premiums, and expected future policy benefits, at both original and current discount rates, for life and health contracts for the three years ended December 31, 2025:


	Life
	As of December 31, 2025						As of December 31, 2024						As of December 31, 2023
	Not discounted		At original discount rates		At current discount rates		Not discounted		At original discount rates		At current discount rates		Not discounted		At original discount rates		At current discount rates
American Income
PV of expected future gross premiums	$	26,709,794	$	15,068,860	$	15,424,780	$	25,492,032	$	14,410,088	$	14,471,277	$	24,265,464	$	13,695,495	$	14,264,077
PV of expected future net premiums	8,350,443		4,710,303		4,792,153		8,233,110		4,656,710		4,645,917		8,001,107		4,523,329		4,681,888
PV of expected future policy benefits	33,211,854		9,905,431		10,358,054		31,831,310		9,508,589		9,870,692		30,623,947		9,061,833		10,163,627

DTC
PV of expected future gross premiums	$	17,249,507	$	9,027,497	$	9,390,147	$	17,372,446	$	9,077,304	$	9,258,880	$	17,506,091	$	9,150,049	$	9,761,706
PV of expected future net premiums	10,110,468		5,321,113		5,542,616		10,481,376		5,504,912		5,622,906		10,774,655		5,664,259		6,052,651
PV of expected future policy benefits	25,607,204		8,616,929		9,205,616		25,841,419		8,660,948		9,125,112		25,723,752		8,656,752		9,714,516

Liberty National
PV of expected future gross premiums	$	4,980,287	$	2,900,642	$	2,917,146	$	4,837,598	$	2,817,204	$	2,775,304	$	4,660,783	$	2,720,264	$	2,784,916
PV of expected future net premiums	1,744,779		988,843		1,008,538		1,849,200		1,047,022		1,048,447		1,897,696		1,077,831		1,129,716
PV of expected future policy benefits	9,008,086		3,291,890		3,371,175		9,073,624		3,340,219		3,377,517		8,905,815		3,338,252		3,605,392

Other
PV of expected future gross premiums	$	3,473,311	$	1,783,847	$	1,912,248	$	3,627,855	$	1,844,670	$	1,942,849	$	3,726,111	$	1,889,930	$	2,088,668
PV of expected future net premiums	838,315		408,949		425,338		885,362		430,276		440,047		910,786		443,949		478,052
PV of expected future policy benefits	12,293,519		3,643,392		4,054,000		12,466,943		3,582,068		3,960,963		12,431,963		3,506,859		4,239,623

Total
PV of expected future gross premiums	$	52,412,899	$	28,780,846	$	29,644,321	$	51,329,931	$	28,149,266	$	28,448,310	$	50,158,449	$	27,455,738	$	28,899,367
PV of expected future net premiums	21,044,005		11,429,208		11,768,645		21,449,048		11,638,920		11,757,317		21,584,244		11,709,368		12,342,307
PV of expected future policy benefits	80,120,663		25,457,642		26,988,845		79,213,296		25,091,824		26,334,284		77,685,477		24,563,696		27,723,158

As of December 31, 2025 for the life segment using current discount rates, the Company anticipates $29.6 billion of expected future gross premiums and $11.8 billion of expected future net premiums. As of December 31, 2024 and 2023 using current discount rates, the Company anticipated $28.4 billion and $28.9 billion of expected future gross premiums and $11.8 billion and $12.3 billion in expected future net premiums, respectively. For each respective period, only expected future net premiums are included in the determination of the liability for future policy benefits on the balance sheet, while the difference between the expected future gross premiums and the expected future net premiums is not.


	Health
	As of December 31, 2025						As of December 31, 2024						As of December 31, 2023
	Not discounted		At original discount rates		At current discount rates		Not discounted		At original discount rates		At current discount rates		Not discounted		At original discount rates		At current discount rates
United American
PV of expected future gross premiums	$	12,730,369	$	7,651,632	$	7,732,883	$	9,350,851	$	5,738,332	$	5,643,454	$	8,682,707	$	5,295,148	$	5,396,402
PV of expected future net premiums	8,782,379		5,273,275		5,330,081		6,442,648		3,948,855		3,885,530		5,955,294		3,625,803		3,697,771
PV of expected future policy benefits	8,864,386		5,296,183		5,345,453		6,584,800		4,026,860		3,960,432		6,148,565		3,741,530		3,814,328

Family Heritage
PV of expected future gross premiums	$	7,541,348	$	4,394,554	$	4,239,286	$	7,242,884	$	4,220,293	$	3,938,234	$	6,739,913	$	3,982,571	$	3,844,287
PV of expected future net premiums	3,238,994		1,895,803		1,822,012		3,188,017		1,867,873		1,734,875		2,997,954		1,783,173		1,711,741
PV of expected future policy benefits	7,540,691		3,845,648		3,586,908		7,176,690		3,712,044		3,336,546		6,655,694		3,506,689		3,315,880

Liberty National
PV of expected future gross premiums	$	2,004,452	$	1,277,288	$	1,320,341	$	2,039,441	$	1,299,234	$	1,316,967	$	2,089,005	$	1,325,869	$	1,390,066
PV of expected future net premiums	492,640		331,414		336,843		500,297		338,275		337,119		518,008		348,570		358,472
PV of expected future policy benefits	1,345,596		765,964		793,855		1,374,959		791,140		804,695		1,413,211		816,819		865,808

American Income
PV of expected future gross premiums	$	2,001,778	$	1,059,232	$	1,100,150	$	1,770,862	$	992,641	$	1,012,919	$	1,768,231	$	991,448	$	1,047,348
PV of expected future net premiums	462,290		245,300		248,400		400,512		225,141		223,247		359,248		201,869		206,381
PV of expected future policy benefits	821,453		380,082		393,599		709,637		348,711		355,303		640,326		315,431		335,504

Direct to Consumer
PV of expected future gross premiums	$	419,608	$	249,370	$	257,172	$	248,646	$	157,812	$	159,862	$	236,776	$	149,119	$	156,612
PV of expected future net premiums	339,996		201,449		207,323		208,577		131,919		133,377		174,738		109,880		115,363
PV of expected future policy benefits	316,089		191,272		196,732		204,099		127,975		129,277		163,087		104,501		109,482

Total
PV of expected future gross premiums	$	24,697,555	$	14,632,076	$	14,649,832	$	20,652,684	$	12,408,312	$	12,071,436	$	19,516,632	$	11,744,155	$	11,834,715
PV of expected future net premiums	13,316,299		7,947,241		7,944,659		10,740,051		6,512,063		6,314,148		10,005,242		6,069,295		6,089,728
PV of expected future policy benefits	18,888,215		10,479,149		10,316,547		16,050,185		9,006,730		8,586,253		15,020,883		8,484,970		8,441,002

As of December 31, 2025 for the health segment using current discount rates, the Company anticipates $14.6 billion of expected future gross premiums and $7.9 billion of expected future net premiums. As of December 31, 2024 and 2023 using current discount rates, the Company anticipated $12.1 billion and $11.8 billion of expected future gross premiums and $6.3 billion and $6.1 billion in expected future net premiums, respectively. For each respective period, only expected future net premiums are included in the determination of the liability for future policy benefits on the balance sheet, while the difference between the expected future gross premiums and the expected future net premiums is not.

The following table summarizes the balances of, and changes in, policyholders’ account balances for the three years ended December 31, 2025:


	Policyholders' Account Balances
	2025									2024									2023
	Interest Sensitive Life			Deferred Annuity(1)			Other Policy-holders' Funds			Interest Sensitive Life			Deferred Annuity			Other Policy-holders' Funds			Interest Sensitive Life			Deferred Annuity			Other Policy-holders' Funds
Balance at January 1,	$	723,389		$	656,573		$	468,604		$	732,948		$	773,039		$	236,958		$	739,105		$	954,318		$	123,236
Issuances	—			1,040			—			—			875			—			—			896			—
Premiums and deposits received	19,653			12,584			191,812			20,928			11,332			240,802			22,036			13,209			122,136
Policy charges	(11,730)			—			—			(12,295)			—			—			(12,926)			—			—
Surrenders and withdrawals	(23,007)			(64,145)			(132,566)			(22,479)			(107,707)			(13,897)			(21,215)			(165,584)			(13,042)
Benefit payments	(30,565)			(46,070)			—			(30,512)			(43,955)			—			(29,909)			(57,937)			—

Interest credited	27,344			20,589			22,617			27,790			23,634			21,165			28,320			28,150			9,314
Other	6,603			98			(18,420)			7,009			(645)			(16,424)			7,537			(13)			(4,686)
Balance at December 31,	$	711,687		$	580,669		$	532,047		$	723,389		$	656,573		$	468,604		$	732,948		$	773,039		$	236,958

Weighted-average credit rate	3.81		%	3.33		%	4.52		%	3.82		%	3.31		%	6.00		%	3.85		%	3.26		%	5.17		%
Net amount at risk	$	1,560,633		N/A			N/A			$	1,663,496		N/A			N/A			$	1,766,170		N/A			N/A
Cash surrender value	$	667,217		$	580,669		$	532,047		$	677,111		$	656,573		$	468,604		$	671,596		$	773,039		$	236,958

(1) At December 31, 2025, $400 million has been reinsured with third-party reinsurers under existing reinsurance agreements.

The following tables present the policyholders' account balances by range of guaranteed minimum crediting rates and the related range of difference, if any, in basis points between rates being credited to policyholders and the respective guaranteed minimums as of December 31, 2025, 2024, and 2023:


	At December 31, 2025
Range of guaranteed minimum crediting rates	Interest Sensitive Life		Deferred Annuity(1)		Other Policyholders' Funds
At guaranteed minimum:
Less than 3.00%	$	—	$	2,115	$	438,586
3.00%-3.99%	29,355		406,105		3,128
4.00%-4.99%	592,935		172,449		55,299
Greater than 5.00%	89,397		—		35,034
Total	711,687		580,669		532,047






51-150 basis points above:
Less than 3.00%	—		—		—
3.00%-3.99%	—		—		—
4.00%-4.99%	—		—		—
Greater than 5.00%	—		—		—
Total	—		—		—






Grand Total	$	711,687	$	580,669	$	532,047

(1) At December 31, 2025, $400 million has been reinsured with third-party reinsurers under existing reinsurance agreements.


	At December 31, 2024
Range of guaranteed minimum crediting rates	Interest Sensitive Life		Deferred Annuity(1)		Other Policyholders' Funds
At guaranteed minimum:
Less than 3.00%	$	—	$	1,812	$	373,584
3.00%-3.99%	29,251		473,191		3,182
4.00%-4.99%	604,412		181,570		55,876
Greater than 5.00%	89,726		—		35,962
Total	723,389		656,573		468,604






51-150 basis points above:
Less than 3.00%	—		—		—
3.00%-3.99%	—		—		—
4.00%-4.99%	—		—		—
Greater than 5.00%	—		—		—
Total	—		—		—






Grand Total	$	723,389	$	656,573	$	468,604

(1) At December 31, 2024, $449 million has been reinsured with third-party reinsurers under existing reinsurance agreements.


	At December 31, 2023
Range of guaranteed minimum crediting rates	Interest Sensitive Life		Deferred Annuity		Other Policyholders' Funds
At guaranteed minimum:
Less than 3.00%	$	—	$	1,945	$	138,684
3.00%-3.99%	29,086		574,939		3,790
4.00%-4.99%	613,704		195,390		6,861
Greater than 5.00%	90,158		765		37,556
Total	732,948		773,039		186,891






51-150 basis points above:
Less than 3.00%	—		—		—
3.00%-3.99%	—		—		—
4.00%-4.99%	—		—		50,067
Greater than 5.00%	—		—		—
Total	—		—		50,067






Grand Total	$	732,948	$	773,039	$	236,958