DAC, VOBA, DSI and DFEL (Tables)

12 Months Ended

Dec. 31, 2025

Deferred Policy Acquisition Costs and Present Value of Future Insurance Profits, Net [Abstract]

Reconciliation of DAC, VOBA and DSI

The following table reconciles DAC, VOBA and DSI (in millions) to the Consolidated Balance Sheets:

	As of December 31,
	2025		2024
DAC, VOBA and DSI
Variable Annuities	$	4,112	$	3,964
Fixed Annuities	478		423
Traditional Life	1,308		1,370
UL and Other	6,421		6,318
Group Protection	198		178
Retirement Plan Services	304		284
Other Operations	6		—
Total DAC, VOBA and DSI	$	12,827	$	12,537

Reconciliation of DFEL

The following table reconciles DFEL (in millions) to the Consolidated Balance Sheets:

	As of December 31,
	2025		2024
DFEL
Variable Annuities	$	264	$	273
UL and Other (1)	7,265		6,406
Other Operations (2)	57		51
Total DFEL	$	7,586	$	6,730

(1) We reported $225 million and $256 million of ceded DFEL in reinsurance recoverables on the Consolidated Balance Sheets as of December 31, 2025 and 2024, respectively.

(2) Represents DFEL reported in Other Operations attributable to the indemnity reinsurance agreement with Protective that is excluded from the following tables. We reported $57 million and $51 million of ceded DFEL in reinsurance recoverables on the Consolidated Balance Sheets as of December 31, 2025 and 2024, respectively.

DAC

The following tables summarize the changes in DAC (in millions):

	For the Year Ended December 31, 2025
	Variable Annuities		Fixed Annuities		Traditional Life		UL and Other		Group Protection		Retirement Plan Services
Balance as of beginning-of-year	$	3,851	$	394	$	1,335	$	5,916	$	178	$	242
Deferrals	570		123		88		464		142		19
Amortization	(413)		(65)		(142)		(323)		(122)		(19)
Balance as of end-of-year	$	4,008	$	452	$	1,281	$	6,057	$	198	$	242

	For the Year Ended December 31, 2024
	Variable Annuities		Fixed Annuities		Traditional Life		UL and Other		Group Protection		Retirement Plan Services
Balance as of beginning-of-year	$	3,751	$	421	$	1,376	$	5,791	$	154	$	239
Deferrals	454		44		107		434		135		21
Amortization	(354)		(71)		(148)		(309)		(111)		(18)
Balance as of end-of-year	$	3,851	$	394	$	1,335	$	5,916	$	178	$	242

VOBA

The following tables summarize the changes in VOBA (in millions):

	For the Year Ended December 31, 2025
	Fixed Annuities		Traditional Life		UL and Other
Balance as of beginning-of-year	$	13	$	35	$	375
Deferrals	–		–		2
Amortization	(1)		(8)		(38)
Balance as of end-of-year	$	12	$	27	$	339

	For the Year Ended December 31, 2024
	Fixed Annuities		Traditional Life		UL and Other
Balance as of beginning-of-year	$	15	$	42	$	413
Deferrals	–		–		1
Amortization	(2)		(7)		(39)
Balance as of end-of-year	$	13	$	35	$	375

Estimated Future Amortization Of VOBA

Estimated future amortization of VOBA (in millions), as of December 31, 2025, was as follows:

2026	$	36
2027	31
2028	26
2029	22
2030	20

DSI

The following tables summarize the changes in DSI (in millions):

	For the Year Ended December 31, 2025
	Variable Annuities		Fixed Annuities		UL and Other		Retirement Plan Services
Balance as of beginning-of-year	$	113	$	16	$	27	$	42
Deferrals	1		–		–		21
Amortization	(10)		(2)		(2)		(1)
Balance as of end-of-year	$	104	$	14	$	25	$	62

	For the Year Ended December 31, 2024
	Variable Annuities		Fixed Annuities		UL and Other		Retirement Plan Services
Balance as of beginning-of-year	$	122	$	19	$	28	$	26
Deferrals	2		–		1		17
Amortization	(11)		(3)		(2)		(1)
Balance as of end-of-year	$	113	$	16	$	27	$	42

DFEL

The following tables summarize the changes in DFEL (in millions):

	For the Year Ended  December 31, 2025				For the Year Ended  December 31, 2024
	Variable Annuities		UL and Other		Variable Annuities		UL and Other
Balance as of beginning-of-year	$	273	$	6,406	$	278	$	5,579
Deferrals	15		1,221		19		1,114
Amortization	(24)		(362)		(24)		(287)
Balance as of end-of-year	264		7,265		273		6,406
Less: reinsurance recoverables	–		225		–		256
Balance as of end-of-year, net of reinsurance	$	264	$	7,040	$	273	$	6,150