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Investments (Tables)

9 Months Ended

Sep. 30, 2026

Investments, Debt and Equity Securities [Abstract]

Amortized Cost and Fair Values of Securities by Security Type

At September 30, 2026 and December 31, 2025, all fixed maturity securities were classified as available-for-sale. The amortized cost and fair values of securities by security type are shown as follows:


	September 30, 2026
	Amortized Cost, Gross of ACL1		ACL1		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	840.4	$	—	$	3.5	$	49.3	$	794.6
States, Municipalities, and Political Subdivisions	3,253.0		—		22.0		568.6		2,706.4
Foreign Governments	1,023.4		—		2.4		190.6		835.2
Public Utilities	5,215.1		—		43.3		422.4		4,836.0
Mortgage/Asset-Backed Securities2	1,680.9		—		3.2		37.5		1,646.6
All Other Corporate Bonds	24,197.4		—		153.5		2,182.9		22,168.0
Redeemable Preferred Stocks	8.0		—		—		0.3		7.7
Total Fixed Maturity Securities	$	36,218.2	$	—	$	227.9	$	3,451.6	$	32,994.5


	December 31, 2025
	Amortized Cost, Gross of ACL1		ACL1		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	543.8	$	—	$	17.2	$	16.0	$	545.0
States, Municipalities, and Political Subdivisions	3,450.7		—		73.8		466.4		3,058.1
Foreign Governments	1,008.8		—		18.8		157.3		870.3
Public Utilities	5,048.6		—		175.4		290.1		4,933.9
Mortgage/Asset-Backed Securities2	1,187.3		—		9.3		17.3		1,179.3
All Other Corporate Bonds	23,500.0		5.9		527.5		1,559.5		22,462.1
Redeemable Preferred Stocks	8.0		—		—		0.1		7.9
Total Fixed Maturity Securities	$	34,747.2	$	5.9	$	822.0	$	2,506.7	$	33,056.6

1Allowance for Credit Losses

2Includes credit-tranched securities collateralized by loan obligations, auto loans, and other asset types

Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value

The following charts indicate the length of time our fixed maturity securities have been in a gross unrealized loss position.


	September 30, 2026
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	268.4	$	17.7	$	216.3	$	31.6
States, Municipalities, and Political Subdivisions	506.8		26.2		1,487.0		542.4
Foreign Governments	304.3		12.0		315.4		178.6
Public Utilities	1,725.0		101.0		1,337.8		321.4
Mortgage/Asset-Backed Securities1	798.3		21.8		100.1		15.7
All Other Corporate Bonds	7,473.0		448.9		8,001.4		1,734.0
Redeemable Preferred Stocks	3.9		0.1		3.8		0.2
Total Fixed Maturity Securities	$	11,079.7	$	627.7	$	11,461.8	$	2,823.9


	December 31, 2025
	Less Than 12 Months				12 Months or Greater
	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
	(in millions of dollars)
United States Government and Government Agencies and Authorities	$	21.8	$	0.4	$	235.6	$	15.6
States, Municipalities, and Political Subdivisions	138.2		3.6		1,922.2		462.8
Foreign Governments	264.6		5.5		318.2		151.8
Public Utilities	642.1		19.4		1,710.3		270.7
Mortgage/Asset-Backed Securities1	206.6		0.4		275.3		16.9
All Other Corporate Bonds	2,060.0		40.6		11,087.9		1,518.9
Redeemable Preferred Stocks	—		—		3.9		0.1
Total Fixed Maturity Securities	$	3,333.3	$	69.9	$	15,553.4	$	2,436.8

1Includes credit-tranched securities collateralized by loan obligations, auto loans, and other asset types

Distribution of the Maturity Dates for Fixed Maturity Securities

The following is a distribution of the maturity dates for fixed maturity securities. The maturity dates have not been adjusted for possible calls or prepayments.


	September 30, 2026
	Amortized Cost, Net of ACL1		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,246.9	$	3.3	$	473.5	$	8.2	$	768.5
Over 1 year through 5 years	6,663.9		83.6		2,418.6		231.8		4,097.1
Over 5 years through 10 years	7,684.7		56.6		2,149.1		526.1		5,066.1
Over 10 years	18,941.8		81.2		4,663.6		2,648.0		11,711.4
	34,537.3		224.7		9,704.8		3,414.1		21,643.1
Mortgage/Asset-Backed Securities2	1,680.9		3.2		748.2		37.5		898.4
Total Fixed Maturity Securities	$	36,218.2	$	227.9	$	10,453.0	$	3,451.6	$	22,541.5


	December 31, 2025
	Amortized Cost, Net of ACL1		Unrealized Gain Position				Unrealized Loss Position
			Gross Gain		Fair Value		Gross Loss		Fair Value
	(in millions of dollars)
1 year or less	$	1,379.9	$	3.4	$	430.5	$	5.1	$	947.7
Over 1 year through 5 years	6,484.9		159.7		3,512.5		88.9		3,043.2
Over 5 years through 10 years	7,476.9		260.3		3,873.6		336.5		3,527.1
Over 10 years	18,212.3		389.3		5,655.9		2,058.9		10,886.8
	33,554.0		812.7		13,472.5		2,489.4		18,404.8
Mortgage/Asset-Backed Securities2	1,187.3		9.3		697.4		17.3		481.9
Total Fixed Maturity Securities	$	34,741.3	$	822.0	$	14,169.9	$	2,506.7	$	18,886.7

1Allowance for Credit Losses

2Includes credit-tranched securities collateralized by loan obligations, auto loans, and other asset types

Distribution by External Credit Rating for Fixed Maturity Securities

The following chart depicts an analysis of our fixed maturity security portfolio between investment-grade and below-investment-grade categories as of September 30, 2026.


					Gross Unrealized Loss
	Fair Value		Gross Unrealized Gain		Amount		Percent of Total Gross Unrealized Loss
	(in millions of dollars)
Investment-Grade	$	31,800.7	$	221.7	$	3,376.5	97.8	%
Below-Investment-Grade	1,193.8		6.2		75.1		2.2
Total Fixed Maturity Securities	$	32,994.5	$	227.9	$	3,451.6	100.0	%

Debt Securities, Available-for-sale, Allowance for Credit Loss

The following tables present a rollforward of the allowance for credit losses on available-for-sale fixed maturity securities, which were classified as all other corporate bonds during the three and nine months ended September 30, 2026 and 2025.


	Three Months Ended September 30
	2026		2025
	(in millions of dollars)
Balance, beginning of period	$	—	$	14.4



Change in allowance on securities with allowance recorded in previous period	—		1.6
Change in allowance on securities sold or otherwise disposed during the period	—		(0.8)


Balance, end of period	$	—	$	15.2


	Nine Months Ended September 30
	2026		2025
	(in millions of dollars)
Balance, beginning of period	$	5.9	$	2.8

Credit losses on securities for which credit losses were not previously recorded	—		10.5
Change in allowance due to change in intent to sell impaired security	(5.9)		—
Change in allowance on securities with allowance recorded in previous period	—		2.7
Change in allowance on securities sold or otherwise disposed during the period	—		(0.8)


Balance, end of period	$	—	$	15.2

Mortgage Loans by Property Type and Geographic Region

The carrying amount of mortgage loans by property type and geographic region are presented below.


	September 30, 2026				December 31, 2025
	(in millions of dollars)

	Carrying Amount		Percent of Total		Carrying Amount		Percent of Total
Property Type
Apartment	$	651.0	31.7	%	$	642.5	30.5	%
Industrial	615.8		30.0		659.0		31.2
Office	285.1		13.9		313.3		14.9
Retail	474.0		23.1		467.0		22.1
Other	27.3		1.3		27.7		1.3
Total	$	2,053.2	100.0	%	$	2,109.5	100.0	%

Region
New England	$	51.2	2.5	%	$	49.9	2.4	%
Mid-Atlantic	154.2		7.5		159.9		7.6
East North Central	266.2		13.0		275.3		13.1
West North Central	119.6		5.8		135.9		6.4
South Atlantic	562.9		27.4		497.2		23.5
East South Central	87.0		4.2		96.7		4.6
West South Central	152.1		7.4		190.5		9.0
Mountain	237.7		11.6		255.3		12.1
Pacific	422.3		20.6		448.8		21.3
Total	$	2,053.2	100.0	%	$	2,109.5	100.0	%

Schedule of Participating Mortgage Loans by Internal Credit Rating and Loan to Value

The following tables present information about mortgage loans by the applicable internal quality indicators.


	September 30, 2026				December 31, 2025
	(in millions of dollars)
	Carrying Amount		Percent of Total		Carrying Amount		Percent of Total
Internal Mortgage Rating
AA	$	124.5	6.1	%	$	125.6	6.0	%
A	1,038.8		50.5		1,053.4		49.9
BBB	761.1		37.1		804.0		38.1
BB	123.2		6.0		120.5		5.7
B	5.6		0.3		6.0		0.3
Total	$	2,053.2	100.0	%	$	2,109.5	100.0	%

Loan-to-Value Ratio1
<= 65%	$	1,661.8	80.9	%	$	1,701.2	80.6	%
> 65% <= 75%	216.2		10.5		164.3		7.8
> 75% <= 85%	122.4		6.0		162.6		7.7
> 85%	52.8		2.6		81.4		3.9
Total	$	2,053.2	100.0	%	$	2,109.5	100.0	%

1Loan-to-Value Ratio utilizes the most recent internal valuation of the property

Mortgage Loans by Credit Quality Indicators

The following tables present the amortized cost of our mortgage loans by year of origination and internal quality indicators at September 30, 2026 and December 31, 2025, respectively.


	September 30, 2026
	Prior to 2022		2022		2023		2024		2025		2026		Total
	(in millions of dollars)
Internal Mortgage Rating
AA	$	124.6	$	—	$	—	$	—	$	—	$	—	$	124.6
A	844.1		22.7		24.4		6.4		76.2		67.2		1,041.0
BBB	521.6		61.0		41.1		39.1		36.1		66.0		764.9
BB	104.5		—		—		—		20.4		—		124.9
B	14.2		—		—		—		—		—		14.2
Total Amortized Cost	1,609.0		83.7		65.5		45.5		132.7		133.2		2,069.6
Allowance for credit losses	(14.7)		(0.2)		(0.3)		(0.2)		(0.5)		(0.5)		(16.4)
Carrying Amount	$	1,594.3	$	83.5	$	65.2	$	45.3	$	132.2	$	132.7	$	2,053.2

Loan-to-Value Ratio1
<=65%	$	1,359.6	$	61.6	$	31.8	$	11.6	$	95.0	$	106.5	$	1,666.1
>65%<=75%	97.4		8.3		33.7		33.9		17.3		26.7		217.3
>75%<=85%	110.4		13.8		—		—		—		—		124.2
>85%	41.6		—		—		—		20.4		—		62.0
Total Amortized Cost	1,609.0		83.7		65.5		45.5		132.7		133.2		2,069.6
Allowance for credit losses	(14.7)		(0.2)		(0.3)		(0.2)		(0.5)		(0.5)		(16.4)
Carrying Amount	$	1,594.3	$	83.5	$	65.2	$	45.3	$	132.2	$	132.7	$	2,053.2

1Loan-to-Value Ratio utilizes the most recent internal valuation of the property


	December 31, 2025
	Prior to 2021		2021		2022		2023		2024		2025		Total
	(in millions of dollars)
Internal Mortgage Rating
AA	$	100.1	$	25.6	$	—	$	—	$	—	$	—	$	125.7
A	794.0		144.9		23.6		9.5		6.4		77.2		1,055.6
BBB	482.4		131.2		61.8		56.7		39.4		36.4		807.9
BB	81.7		19.9		—		—		—		20.4		122.0
B	14.2		—		—		—		—		—		14.2
Total Amortized Cost	1,472.4		321.6		85.4		66.2		45.8		134.0		2,125.4
Allowance for credit losses	(13.5)		(0.9)		(0.3)		(0.4)		(0.2)		(0.6)		(15.9)
Carrying Amount	$	1,458.9	$	320.7	$	85.1	$	65.8	$	45.6	$	133.4	$	2,109.5

Loan-to-Value Ratio1
<=65%	$	1,264.1	$	238.9	$	63.0	$	38.5	$	11.6	$	89.4	$	1,705.5
>65%<=75%	59.8		10.7		8.4		27.7		34.2		24.2		165.0
>75%<=85%	115.5		35.0		14.0		—		—		—		164.5
>85%	33.0		37.0		—		—		—		20.4		90.4
Total Amortized Cost	1,472.4		321.6		85.4		66.2		45.8		134.0		2,125.4
Allowance for credit losses	(13.5)		(0.9)		(0.3)		(0.4)		(0.2)		(0.6)		(15.9)
Carrying Amount	$	1,458.9	$	320.7	$	85.1	$	65.8	$	45.6	$	133.4	$	2,109.5

1Loan-to-Value Ratio utilizes the most recent internal valuation of the property

Financing Receivable, Allowance for Credit Loss

The following tables present a roll-forward of the allowance for expected credit losses by loan-to-value ratio for the three and nine months ended September 30, 2026 and 2025.


	Three Months Ended September 30, 2026
	Beginning of Period		Current Period Provisions		Write-Offs		Recoveries		End of Period
	(in millions of dollars)
Loan-to-Value Ratio1
<=65%	$	4.1	$	0.2	$	—	$	—	$	4.3
>65%<=75%	0.8		0.3		—		—		1.1
>75%<=85%	1.0		0.8		—		—		1.8
>85%	10.1		(0.9)		—		—		9.2
Total	$	16.0	$	0.4	$	—	$	—	$	16.4


	Three Months Ended September 30, 2025
	Beginning of Period		Current Period Provisions		Write-Offs		Recoveries		End of Period
	(in millions of dollars)
Loan-to-Value Ratio1
<=65%	$	3.8	$	0.3	$	—	$	—	$	4.1
>65%<=75%	1.5		(0.4)		—		—		1.1
>75%<=85%	1.1		0.9		(0.8)		—		1.2
>85%	9.2		—		—		—		9.2
Total	$	15.6	$	0.8	$	(0.8)	$	—	$	15.6


	Nine Months Ended September 30, 2026
	Beginning of Year		Current Period Provisions		Write-Offs		Recoveries		End of Period
	(in millions of dollars)
Loan-to-Value Ratio1
<=65%	$	4.3	$	—	$	—	$	—	$	4.3
>65%<=75%	0.7		0.4		—		—		1.1
>75%<=85%	1.9		(0.1)		—		—		1.8
>85%	9.0		0.2		—		—		9.2
Total	$	15.9	$	0.5	$	—	$	—	$	16.4


	Nine Months Ended September 30, 2025
	Beginning of Year		Current Period Provisions		Write-Offs		Recoveries		End of Period
	(in millions of dollars)
Loan-to-Value Ratio1
<=65%	$	4.2	$	(0.1)	$	—	$	—	$	4.1
>65%<=75%	1.7		(0.6)		—		—		1.1
>75%<=85%	2.2		(0.2)		(0.8)		—		1.2
>85%	8.0		1.2		—		—		9.2
Total	$	16.1	$	0.3	$	(0.8)	$	—	$	15.6

1Loan-to-Value Ratio utilizes the most recent internal valuation of the property

Remaining Contractual Maturity of Securities Lending Agreements

The remaining contractual maturities of our securities lending agreements disaggregated by class of collateral pledged are as follows:


	September 30, 2026		December 31, 2025
	Overnight and Continuous
	(in millions of dollars)
Borrowings
United States Government and Government Agencies and Authorities	$	0.7	$	0.3

Public Utilities	2.6		4.8
Short Term Investments	—		0.1
All Other Corporate Bonds	59.6		70.9
Total Borrowings	62.9		76.1
Gross Amount of Recognized Liability for Securities Lending Transactions	62.9		76.1
Amounts Related to Agreements Not Included in Offsetting Disclosure Contained Herein	$	—	$	—

Collateralized funding agreements and credit facilities, carrying amounts and collateral posted

We maintain borrowing and liquidity facilities that require pledging of collateral, such as FHLB advances. Other arrangements, including FABL and standby letter of credit facilities allow us to pledge collateral as needed. See Note 14 for more information regarding our standby letter of credit facilities. The carrying value of collateral pledged and related obligations outstanding were as follows:


	September 30, 2026
(in millions of dollars)	FHLB		FABL		Credit Facilities
Outstanding Obligation	$	804.7	$	500.0	$	—

Carrying Value of Collateral Posted
Fixed Maturity Securities	$	716.9	$	680.4	$	83.1
Commercial Mortgage Loans	1,102.1		—		—
Cash	—		3.3		—
Total Carrying Value of Collateral Posted	$	1,819.0	$	683.7	$	83.1


	December 31, 2025
(in millions of dollars)	FHLB		FABL		Credit Facilities
Outstanding Obligation	$	643.8	$	—	$	—

Carrying Value of Collateral Posted
Fixed Maturity Securities	$	752.4	$	—	$	—
Commercial Mortgage Loans	1,110.2		—		—
Cash	—		—		—
Total Carrying Value of Collateral Posted	$	1,862.6	$	—	$	—

Schedule of Financial Instrument and Derivative Offsetting

Shown below are our financial instruments that either meet the accounting requirements that allow them to be offset in our balance sheets or that are subject to an enforceable master netting arrangement or similar agreement. Our accounting policy is to not offset these financial instruments in our balance sheets. Net amounts disclosed below have been reduced by the amount of collateral pledged to or received from our counterparties.


	September 30, 2026
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial		Cash		Net
	Instruments		Balance Sheet		Balance Sheet		Instruments		Collateral		Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	50.3	$	—	$	50.3	$	(48.1)	$	—	$	2.2
Securities Lending	99.2		—		99.2		(36.3)		(62.9)		—
Total	$	149.5	$	—	$	149.5	$	(84.4)	$	(62.9)	$	2.2

Financial Liabilities:
Derivatives	$	421.5	$	—	$	421.5	$	(420.3)	$	—	$	1.2
Securities Lending	62.9		—		62.9		(62.9)		—		—
Total	$	484.4	$	—	$	484.4	$	(483.2)	$	—	$	1.2


	December 31, 2025
	Gross Amount						Gross Amount Not
	of Recognized		Gross Amount		Net Amount		Offset in Balance Sheet
	Financial		Offset in		Presented in		Financial		Cash		Net
	Instruments		Balance Sheet		Balance Sheet		Instruments		Collateral		Amount
	(in millions of dollars)
Financial Assets:
Derivatives	$	51.9	$	—	$	51.9	$	(51.9)	$	—	$	—
Securities Lending	106.1		—		106.1		(30.0)		(76.1)		—
Total	$	158.0	$	—	$	158.0	$	(81.9)	$	(76.1)	$	—

Financial Liabilities:
Derivatives	$	269.7	$	—	$	269.7	$	(269.3)	$	—	$	0.4
Securities Lending	76.1		—		76.1		(76.1)		—		—
Total	$	345.8	$	—	$	345.8	$	(345.4)	$	—	$	0.4

Net Investment Income

Net investment income reported in our consolidated statements of operations is presented below.


	Three Months Ended September 30				Nine Months Ended September 30
	2026		2025		2026		2025
	(in millions of dollars)
Fixed Maturity Securities	$	461.0	$	419.1	$	1,329.8	$	1,360.2
Derivatives	4.0		3.7		11.4		5.6
Mortgage Loans	21.7		22.0		64.9		65.7
Policy Loans	5.7		5.3		17.0		16.2
Other Long-term Investments
Perpetual Preferred Securities	(0.2)		(0.1)		(0.2)		0.7
Private Equity Partnerships1	36.4		21.7		80.4		65.3
Other	3.7		4.2		12.6		23.4
Short-term Investments	13.1		25.5		55.0		86.6
Gross Investment Income	545.4		501.4		1,570.9		1,623.7
Less Investment Expenses	20.2		21.8		78.3		64.5
Less Investment Income on Participation Fund Account Assets	2.8		2.8		8.4		8.5

Net Investment Income	$	522.4	$	476.8	$	1,484.2	$	1,550.7

1The net unrealized gain recognized in net investment income for the three and nine months ended September 30, 2026 related to private equity partnerships still held at September 30, 2026 was $46.5 million and $102.0 million, respectively, reduced by net management fees and partnership expenses of $(10.1) million and $(21.6) million, respectively. The net unrealized gain recognized in net investment income for the three and nine months ended September 30, 2025 related to private equity partnerships still held at September 30, 2025 was $28.8 million and $86.4 million, respectively, reduced by net management fees and partnership expenses of $(7.1) million and $(21.1) million, respectively. See Note 3 for further discussion of private equity partnerships.

Investment Gains and Losses Reported in Consolidated Statements of Income

Investment gains and losses are as follows:


	Three Months Ended September 30				Nine Months Ended September 30
	2026		2025		2026		2025
	(in millions of dollars)
Fixed Maturity Securities
Gross Gains on Sales1	$	0.1	$	139.2	$	1.5	$	141.0
Gross Losses on Sales1	(21.3)		(11.5)		(30.7)		(71.5)
Impairment Loss1	(760.9)		—		(772.0)		(160.9)
Change in Allowance for Credit Losses	—		(0.8)		5.9		(12.4)
Mortgage Loans and Other Invested Assets
Gross Gains on Sales	0.2		0.2		6.4		7.6
Gross Losses on Sales	—		—		—		(0.4)
Impairment Loss	—		(1.6)		—		(5.4)
Change in Allowance for Credit Losses	(0.4)		—		(0.5)		0.5
Embedded Derivative in Modified Coinsurance Arrangement	3.6		3.3		0.9		2.4
All Other Derivatives	(73.5)		0.1		(70.8)		(3.1)
Foreign Currency Transactions	(0.8)		(0.9)		(3.9)		5.7

Net Investment Gains (Losses)	$	(853.0)	$	128.0	$	(863.2)	$	(96.5)

1During the three and nine months ended September 30, 2026 we recognized $754.4 million of realized losses based on the intent to dispose of fixed maturity securities with a fair value of $4,232.3 million related to the 2026 reinsurance transaction with Fortitude Reinsurance Company Ltd. (Fortitude Re). Our investment gains and losses on fixed maturity securities for the third quarter and first nine months of 2025 were driven primarily by the Closed Block long-term care and Unum US individual disability reinsurance transaction (2025 Fortitude Re reinsurance transaction) which resulted in a net gain of $137.6 million in the third quarter of 2025 and a net loss of $46.8 million in the first nine months of 2025. We also realized a $19.1 million loss on sales of fixed maturity securities related to the funding of an extraordinary dividend from a wholly owned insurance subsidiary to Unum Group in the first nine months of 2025.