MRBs

9 Months Ended

Sep. 30, 2025

The following table reconciles market risk benefits (“MRBs”) (in millions) to MRB assets and MRB liabilities on the Consolidated Balance Sheets:


	As of September 30, 2025						As of December 31, 2024
	Assets		Liabilities		Net (Assets) Liabilities		Assets		Liabilities		Net (Assets) Liabilities


Variable Annuities	$	4,595	$	1,013	$	(3,582)	$	4,737	$	933	$	(3,804)
Fixed Annuities	53		174		121		78		110		32
Retirement Plan Services	46		3		(43)		45		3		(42)
Total MRBs	$	4,694	$	1,190	$	(3,504)	$	4,860	$	1,046	$	(3,814)

The following table summarizes the balances of and changes in net MRB (assets) liabilities (in millions):


	As of or For the Nine Months Ended September 30, 2025						As of or For the Nine Months Ended September 30, 2024
	Variable Annuities		Fixed Annuities		Retirement Plan Services		Variable Annuities		Fixed Annuities		Retirement Plan Services


Balance as of beginning-of-year	$	(3,804)	$	32	$	(42)	$	(2,180)	$	32	$	(30)
Less: Effect of cumulative changes in
non-performance risk	(153)		(33)		–		(1,299)		(58)		(4)
Balance as of beginning-of-year, before the effect
of changes in non-performance risk	(3,651)		65		(42)		(881)		90		(26)
Issuances	12		–		–		6		–		–
Attributed fees collected	1,105		23		5		1,143		24		4
Benefit payments	(20)		–		–		(29)		–		–
Effect of changes in interest rates	75		38		(3)		(101)		8		(6)
Effect of changes in equity markets	(1,667)		(6)		(6)		(2,347)		(16)		(8)
Effect of changes in equity index volatility	36		7		–		(65)		(4)		–
In-force updates and other changes in MRBs (1)	367		19		3		69		3		6
Effect of assumption review:
Effect of changes in future expected
policyholder behavior	37		15		(1)		7		11		–
Effect of changes in other future expected
assumptions (2)	10		–		1		(199)		18		(6)
Balance as of end-of-period, before the effect of
changes in non-performance risk	(3,696)		161		(43)		(2,397)		134		(36)
Effect of cumulative changes in
non-performance risk	114		(40)		–		(930)		(60)		(4)
Balance as of end-of-period	(3,582)		121		(43)		(3,327)		74		(40)
Less: Ceded MRB assets (liabilities)	(347)		–		–		(340)		–		–
Balance as of end-of-period, net of reinsurance	$	(3,235)	$	121	$	(43)	$	(2,987)	$	74	$	(40)

Weighted-average age of policyholders (years)	73		70		63		72		69		63
Net amount at risk (3)	$	1,442	$	288	$	2	$	1,544	$	231	$	3

(1) Consists primarily of changes in MRB assets and liabilities due to the impact of changes in actual to expected policyholder behavior and aggregation impacts related to fund performance and other assumptions.

(2) Consists primarily of the update of fund mapping, volatility and other capital market assumptions.

(3) Net amount at risk (“NAR”) is the current guaranteed minimum benefit in excess of the current account balance as of the balance sheet date. For guaranteed living benefits (“GLBs”), the guaranteed minimum benefit is calculated based on the present value of GLB payments. Our variable annuity products may offer more than one type of guaranteed benefit rider to a policyholder. In instances where more than one guaranteed benefit feature exists in a contract, the guaranteed benefit rider that provides the highest NAR is used in the calculation.

Effect of Annual Assumption Review

For the nine months ended September 30, 2025, Variable Annuities had an unfavorable impact to net income (loss) attributable to the annual assumption review driven by updates to policyholder behavior and capital market assumptions and other items, partially offset by model enhancements and updates to separate account fee assumptions. For the nine months ended September 30, 2025, Fixed Annuities and Retirement Plan Services did not have any significant assumption updates.

For the nine months ended September 30, 2024, Variable Annuities had a favorable impact to net income (loss) attributable to the annual assumption review driven by model enhancements and updates to capital market assumptions. For the nine months ended September 30, 2024, Fixed Annuities had an unfavorable impact to net income (loss) attributable to the annual assumption review driven by model enhancements and updates to policyholder GLB utilization assumptions. Retirement Plan Services did not have any significant assumption updates.

See “MRBs” in Note 13 for details related to our fair value judgments, assumptions, inputs and valuation methodology.