Derivative Instruments (Tables)

3 Months Ended

Mar. 31, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

We have derivative instruments with off-balance-sheet risks whose notional or contract amounts exceed the related credit exposure. Outstanding derivative instruments with off-balance-sheet risks (in millions) were as follows:

	As of March 31, 2025						As of December 31, 2024
	Notional Amounts		Fair Value				Notional Amounts		Fair Value
			Asset		Liability				Asset		Liability
Qualifying Hedges
Cash flow hedges:
Interest rate contracts (1)	$	677	$	9	$	6	$	632	$	2	$	16
Foreign currency contracts (1)	4,805		552		44		4,738		556		44
Total cash flow hedges	5,482		561		50		5,370		558		60
Fair value hedges:
Interest rate contracts (1)	435		2		21		435		8		16
Foreign currency contracts (1)	25		–		–		25		1		–
Total fair value hedges	460		2		21		460		9		16
Non-Qualifying Hedges
Interest rate contracts (1)	81,364		40		334		75,445		63		439
Foreign currency contracts (1)	332		23		2		348		30		2
Equity market contracts (1)	167,994		10,477		3,081		191,171		13,072		3,879
Credit contracts (1)	242		–		–		57		–		–
LPR ceded derivative (2)	–		190		–		–		190		–
Embedded derivatives:
Reinsurance-related (3)	–		586		–		–		728		–
RILA, fixed indexed annuity and IUL
contracts (4)	–		1,918		10,807		–		1,970		12,449
Total derivative instruments	$	255,874	$	13,797	$	14,295	$	272,851	$	16,620	$	16,845

(1) These asset and liability balances are presented on a gross basis. Amounts are reported in derivative investments and other liabilities on the Consolidated Balance Sheets after the evaluation for right of offset subject to master netting agreements.

(2) Reported in other assets on the Consolidated Balance Sheets.

(3) Reported in funds withheld reinsurance liabilities on the Consolidated Balance Sheets.

(4) Reported in policyholder account balances and deposit assets on the Consolidated Balance Sheets.

Schedule of Derivative Instruments

The maturity of the notional amounts of derivative instruments (in millions) was as follows:

	Remaining Life as of March 31, 2025
	Less Than 1 Year		1 - 5 Years		6 - 10 Years		11 - 30 Years		Over 30 Years		Total
Interest rate contracts (1)	$	12,810	$	18,418	$	23,981	$	27,267	$	–	$	82,476
Foreign currency contracts (2)	199		1,292		1,776		1,853		42		5,162
Equity market contracts	126,869		30,374		8,696		7		2,048		167,994
Credit contracts	–		172		70		–		–		242
Total derivative instruments with
notional amounts	$	139,878	$	50,256	$	34,523	$	29,127	$	2,090	$	255,874

(1) As of March 31, 2025, the latest maturity date for which we were hedging our exposure to the variability in future cash flows for these instruments was September 7, 2027.

(2) As of March 31, 2025, the latest maturity date for which we were hedging our exposure to the variability in future cash flows for these instruments was June 16, 2061.

Cumulative Basis Adjustments for Fair Value Hedges

The following amounts (in millions) were recorded on the Consolidated Balance Sheets related to cumulative basis adjustments for fair value hedges:

	Amortized Cost of the Hedged Assets (Liabilities)				Cumulative Fair Value Hedging Adjustment Included in the Amortized Cost of the Hedged Assets (Liabilities)
	As of  March 31, 2025		As of December 31, 2024		As of  March 31, 2025		As of December 31, 2024
Line Item in the Consolidated Balance Sheets in
which the Hedged Item is Included
Fixed maturity AFS securities, at fair value	$	497	$	484	$	19	$	7

Change in Our Unrealized Gain on Derivative Instruments in AOCI

The change in our unrealized gain (loss) on derivative instruments within accumulated other comprehensive income (loss) (“AOCI”) (in millions) was as follows:

	For the Three Months Ended March 31,
	2025		2024
Unrealized Gain (Loss) on Derivative Instruments
Balance as of beginning-of-year	$	402	$	249
Other comprehensive income (loss):
Unrealized holding gains (losses) arising during the period:
Cash flow hedges:
Interest rate contracts	13		9
Foreign currency contracts	168		(25)
Change in foreign currency exchange rate adjustment	(153)		101
Income tax benefit (expense)	(6)		(18)
Less:
Reclassification adjustment for gains (losses)
included in net income (loss):
Cash flow hedges:
Foreign currency contracts (1)	15		15
Foreign currency contracts (2)	3		–
Income tax benefit (expense)	(4)		(3)
Balance as of end-of-period	$	410	$	304

(1) The OCI offset is reported within net investment income on the Consolidated Statements of Comprehensive Income (Loss).

(2) The OCI offset is reported within realized gain (loss) on the Consolidated Statements of Comprehensive Income (Loss).

Effects of Qualifying and Non-Qualifying Hedges

The effects of qualifying and non-qualifying hedges (in millions) on the Consolidated Statements of Comprehensive Income (Loss) were as follows:

Gain (Loss) Recognized in Income For the Three Months Ended March 31,

2025

2024

Realized Gain (Loss)

Net Investment Income

Benefits

Realized Gain (Loss)

Net Investment Income

Benefits

Total Line Items in which the

Effects of Fair Value or Cash

Flow Hedges are Recorded

$

(248)

$

1,341

$

1,769

$

(57)

$

1,224

$

1,739

Qualifying Hedges

Gain or (loss) on fair value hedging

relationships:

Interest rate contracts:

Hedged items

–

11

–

–

(18)

–

Derivatives designated as hedging

instruments

–

(11)

–

–

18

–

Foreign currency contracts:

Hedged items

–

1

–

–

(1)

–

Derivatives designated as hedging

instruments

–

(1)

–

–

1

–

Gain or (loss) on cash flow hedging

relationships:

Foreign currency contracts:

Amount of gain or (loss) reclassified

from AOCI into income

3

15

–

–

15

–

Non-Qualifying Hedges

Interest rate contracts

82

–

–

(163)

–

–

Foreign currency contracts

(1)

–

–

–

–

–

Equity market contracts

(1,109)

–

–

2,135

–

–

Credit contracts

1

–

–

–

–

–

LPR ceded derivative

–

–

–

–

–

5

Embedded derivatives:

Reinsurance-related

(195)

–

–

49

–

–

RILA, fixed indexed annuity and IUL

contracts

1,624

–

–

(1,642)

–

–

Schedule of Collateral Amounts With Rights to Reclaim or Obligation to Return Cash

The amounts recognized (in millions) by S&P credit rating of counterparty, for which we had the right to reclaim cash collateral or were obligated to return cash collateral, were as follows:

	As of March 31, 2025				As of December 31, 2024
S&P Credit Rating of Counterparty	Collateral Posted by Counterparty		Collateral Posted to Counterparty		Collateral Posted by Counterparty		Collateral Posted to Counterparty
AA-	$	3,283	$	(1)	$	4,006	$	(2)
A+	1,648		(28)		2,354		(89)
A	32		–		47		–
A-	449		–		632		–
Total cash collateral	$	5,412	$	(29)	$	7,039	$	(91)

Schedule of Offsetting Assets

Information related to the effects of offsetting on the Consolidated Balance Sheets (in millions) was as follows:

	As of March 31, 2025
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	11,003	$	2,504	$	13,507
Gross amounts offset	(3,299)		–		(3,299)
Net amount of assets	7,704		2,504		10,208
Gross amounts not offset:
Cash collateral	(5,412)		–		(5,412)
Non-cash collateral (1)	(2,292)		–		(2,292)
Net amount	$	–	$	2,504	$	2,504
Financial Liabilities
Gross amount of recognized liabilities	189		10,807		10,996
Gross amounts offset	(100)		–		(100)
Net amount of liabilities	89		10,807		10,896
Gross amounts not offset:
Cash collateral	(29)		–		(29)
Non-cash collateral	(58)		–		(58)
Net amount	$	2	$	10,807	$	10,809

(1) Excludes excess non-cash collateral received of $920 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

	As of December 31, 2024
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	13,299	$	2,698	$	15,997
Gross amounts offset	(3,787)		–		(3,787)
Net amount of assets	9,512		2,698		12,210
Gross amounts not offset:
Cash collateral	(7,039)		–		(7,039)
Non-cash collateral (1)	(2,473)		–		(2,473)
Net amount	–		2,698		2,698
Financial Liabilities
Gross amount of recognized liabilities	608		12,449		13,057
Gross amounts offset	(432)		–		(432)
Net amount of liabilities	176		12,449		12,625
Gross amounts not offset:
Cash collateral	(91)		–		(91)
Non-cash collateral (2)	(85)		–		(85)
Net amount	$	–	$	12,449	$	12,449

(1) Excludes excess non-cash collateral received of $791 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

(2) Excludes excess non-cash collateral pledged of $29 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

Schedule of Offsetting Liabilities

Information related to the effects of offsetting on the Consolidated Balance Sheets (in millions) was as follows:

	As of March 31, 2025
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	11,003	$	2,504	$	13,507
Gross amounts offset	(3,299)		–		(3,299)
Net amount of assets	7,704		2,504		10,208
Gross amounts not offset:
Cash collateral	(5,412)		–		(5,412)
Non-cash collateral (1)	(2,292)		–		(2,292)
Net amount	$	–	$	2,504	$	2,504
Financial Liabilities
Gross amount of recognized liabilities	189		10,807		10,996
Gross amounts offset	(100)		–		(100)
Net amount of liabilities	89		10,807		10,896
Gross amounts not offset:
Cash collateral	(29)		–		(29)
Non-cash collateral	(58)		–		(58)
Net amount	$	2	$	10,807	$	10,809

(1) Excludes excess non-cash collateral received of $920 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

	As of December 31, 2024
	Derivative Instruments		Embedded Derivative Instruments		Total
Financial Assets
Gross amount of recognized assets	$	13,299	$	2,698	$	15,997
Gross amounts offset	(3,787)		–		(3,787)
Net amount of assets	9,512		2,698		12,210
Gross amounts not offset:
Cash collateral	(7,039)		–		(7,039)
Non-cash collateral (1)	(2,473)		–		(2,473)
Net amount	–		2,698		2,698
Financial Liabilities
Gross amount of recognized liabilities	608		12,449		13,057
Gross amounts offset	(432)		–		(432)
Net amount of liabilities	176		12,449		12,625
Gross amounts not offset:
Cash collateral	(91)		–		(91)
Non-cash collateral (2)	(85)		–		(85)
Net amount	$	–	$	12,449	$	12,449

(1) Excludes excess non-cash collateral received of $791 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

(2) Excludes excess non-cash collateral pledged of $29 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.