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Segment Information
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
We provide products and services and report results through our Annuities, Life Insurance, Group Protection and Retirement Plan Services business segments. The accounting policies of the business segments and Other Operations are the same as those described in
Note 1 in our 2024 Form 10-K. We also have Other Operations, which includes the financial data for operations that are not directly related to the business segments. Our business segments and Other Operations reflect the manner by which our CODM views and manages the business. Our CODM is the President. A discussion of these segments and Other Operations is found in Note 19 in our 2024 Form 10-K.

Income (loss) from operations is the internal measure used by our CODM that explains the results of our ongoing operations in a manner that allows for a better understanding of the underlying trends by excluding items that are not necessarily indicative of current operating fundamentals or future performance, and, in most instances, decisions regarding these adjustments do not necessarily relate to the operations of the individual business segments. Income (loss) from operations is used by our CODM to evaluate financial performance, to assess the budgeting and forecasting process and to determine future resource allocation.

Income (loss) from operations is GAAP net income (loss) excluding the following items, as applicable:

•Items related to annuity product features, which include changes in MRBs, income allocated to support the cost of hedging or future benefits, and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products (collectively, “net annuity product features”);
•Items related to life insurance product features, which include changes in the fair value of derivatives we hold as part of VUL hedging, changes in reserves resulting from benefit ratio unlocking associated with the impact of capital markets, and changes in the fair value of the embedded derivative liabilities of our IUL contracts and the associated index options we hold to hedge them (collectively, “net life insurance product features”);
•Credit loss-related adjustments on fixed maturity AFS securities, mortgage loans on real estate and reinsurance-related assets (“credit loss-related adjustments”);
•Changes in the fair value of equity securities and certain other investments, the impact of certain derivatives, and realized gains (losses) on sales, disposals and impairments of financial assets (collectively, “investment gains (losses)”);
•Changes in the fair value of reinsurance-related embedded derivatives, trading securities and mortgage loans on real estate electing the fair value option (“changes in the fair value of reinsurance-related embedded derivatives, trading securities and certain mortgage loans”);
•GLB rider fees ceded to LNBAR;
•Income (loss) from the initial adoption of new accounting standards, accounting policy changes and new regulations, including changes in tax law;
•Income (loss) from reserve changes, net of related amortization, on business sold through reinsurance;
•Losses from the impairment of intangible assets and gains (losses) on other non-financial assets;
•Income (loss) from discontinued operations;
•Other items, which include the following: certain legal and regulatory accruals; severance expense related to initiatives that realign the workforce; transaction, integration and other costs related to mergers and acquisitions including the acquisition or divestiture, through reinsurance or other means, of businesses or blocks of business, and certain other corporate initiatives; mark-to-market adjustment related to the LNC stock component of deferred compensation plans (“deferred compensation mark-to-market adjustment”); gains (losses) on modification or early extinguishment of debt; and impacts from settlement or curtailment of defined benefit obligations; and
•Income tax benefit (expense) related to the above pre-tax items, including the effect of tax adjustments such as changes to deferred tax valuation allowances.

We use our prevailing corporate federal income tax rate of 21% and an estimated state income tax rate, where applicable, net of the impacts related to dividends-received deduction and foreign tax credits and any other permanent differences for events recognized differently in the consolidated financial statements and federal income tax returns.

We do not report total assets by segment because this is not a metric used by the CODM to allocate resources or evaluate segment performance.
The tables below reconcile our internal measure of performance to the GAAP measure presented in the Consolidated Statements of Comprehensive Income (Loss) (in millions):

For the Three Months Ended September 30, 2025
AnnuitiesLife Insurance
Group Protection (1)
Retirement Plan ServicesOther OperationsTotal
Operating Revenues (2)
$1,142 $1,247 $318 $338 $58 $3,103 
Operating Expenses (3)
Benefits and policyholder liability
remeasurement23 620 (243)– 2 402 
Interest credited459 231 1 174 22 887 
Commissions327 66 119 29 3 544 
General and administrative expenses130 132 225 83 49 619 
Interest and debt expense– – – – 39 39 
Other (4)
(39)94 37 3 – 95 
Total operating expenses900 1,143 139 289 115 2,586 
Total federal income tax expense (benefit)32 16 38 7 (15)78 
Total income (loss) from operations210 88 141 42 (42)439 
Reconciliation of total income (loss) from
operations to net income (loss):
Net annuity product features, pre-tax (5)
410 
Net life insurance product features, pre-tax(28)
Credit loss-related adjustments, pre-tax(38)
Investment gains (losses), pre-tax14 
Changes in the fair value of
reinsurance-related embedded
derivatives, trading securities and
certain mortgage loans, pre-tax (6)
(232)
GLB rider fees ceded to LNBAR, pre-tax(235)
Other items, pre-tax (7)(8)(9)(10)
(99)
Income tax benefit (expense) related to
the above pre-tax items44 
Total net income (loss)$275 

(1)    Reflects the day one impact of the third quarter 2025 reinsurance transaction. For more information, see Note 7.
(2)    See table below for reconciliation of total operating revenues to the GAAP measure presented in the Consolidated Statements of Comprehensive Income (Loss).
(3)    The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM. Inter-segment expenses are included within the amounts shown.
(4)    Other operating expenses include:
Annuities: DAC and VOBA capitalization and amortization; taxes, licenses and fees; expenses associated with reserve financing and letters of credit (“LOCs”) and amortization of deferred loss on business sold through reinsurance.
Life Insurance: DAC and VOBA capitalization and amortization; taxes, licenses and fees; amortization of deferred loss on business sold through reinsurance; expenses associated with reserve financing and LOCs and other intangible amortization.
Group Protection: DAC capitalization and amortization; taxes, licenses and fees; other intangible amortization; expenses associated with LOCs and amortization of deferred loss on business sold through reinsurance.
Retirement Plan Services: DAC capitalization and amortization; taxes, licenses and fees and expenses associated with LOCs.
Other Operations: DAC capitalization and amortization; taxes, licenses and fees and reimbursements to Other Operations from the Life Insurance segment for the use of proceeds from certain issuances of senior notes that were used as long-term structured solutions, net of expenses incurred by Other Operations for its access to a financing facility and issuance of LOCs.
(5)    Includes changes in MRBs of $199 million; income allocated to support the cost of hedging or future benefits of $162 million; and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products of $49 million.
(6)    Includes primarily changes in the fair value of embedded derivatives related to affiliate reinsurance transactions.
(7)    Includes certain legal accruals of $(9) million.
(8)    Includes severance expense related to initiatives to realign the workforce of $(5) million.
(9)    Includes transaction, integration and other costs related to mergers, acquisitions, divestitures and certain other corporate initiatives consisting of $(54) million of transaction costs related to restructuring certain captive reinsurance subsidiaries and $(22) million related to Life Insurance segment persistency optimization.
(10)    Includes deferred compensation mark-to-market adjustment of $(9) million.

For the Three Months Ended September 30, 2024
AnnuitiesLife InsuranceGroup ProtectionRetirement Plan ServicesOther OperationsTotal
Operating Revenues (1)
$1,101 $1,249 $1,353 $331 $55 $4,089 
Operating Expenses (2)
Benefits and policyholder liability
 remeasurement36 550 923 – 3 1,512 
Interest credited400 229 1 170 8 808 
Commissions285 113 89 28 – 515 
General and administrative expenses123 135 219 85 48 610 
Interest and debt expense– – – – 46 46 
Other (3)
(9)60 42 3 (1)95 
Total operating expenses835 1,087 1,274 286 104 3,586 
Total federal income tax expense (benefit)39 29 17 4 (11)78 
Total income (loss) from operations227 133 62 41 (38)425 
Reconciliation of total income (loss) from
operations to net income (loss):
Net annuity product features, pre-tax (4)
(347)
Net life insurance product features, pre-tax(132)
Credit loss-related adjustments, pre-tax(88)
Investment gains (losses), pre-tax(57)
Changes in the fair value of
reinsurance-related embedded
derivatives, trading securities and
certain mortgage loans, pre-tax (5)
(416)
GLB rider fees ceded to LNBAR, pre-tax(242)
Gains (losses) on other non-financial assets –
sale of subsidiaries/businesses, pre-tax (6)
– 
Other items, pre-tax (7)(8)(9)
(19)
Income tax benefit (expense) related to
the above pre-tax items276 
Total net income (loss)$(600)

(1)    See table below for reconciliation of total operating revenues to the GAAP measure presented in the Consolidated Statements of Comprehensive Income (Loss).
(2)    The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM. Inter-segment expenses are included within the amounts shown.
(3)    Other operating expenses include:
Annuities: DAC and VOBA capitalization and amortization; taxes, licenses and fees; expenses associated with reserve financing and LOCs and amortization of deferred loss on business sold through reinsurance.
Life Insurance: DAC and VOBA capitalization and amortization; taxes, licenses and fees; amortization of deferred loss on business sold through reinsurance; expenses associated with reserve financing and LOCs and other intangible amortization.
Group Protection: Taxes, licenses and fees; DAC capitalization and amortization; other intangible amortization; expenses associated with LOCs and amortization of deferred loss on business sold through reinsurance.
Retirement Plan Services: DAC capitalization and amortization; taxes, licenses and fees and expenses associated with LOCs.
Other Operations: Reimbursements to Other Operations from the Life Insurance segment for the use of proceeds from certain issuances of senior notes that were used as long-term structured solutions, net of expenses incurred by Other Operations for its access to a financing facility and issuance of LOCs and taxes, licenses and fees.
(4)    Includes changes in MRBs of $(679) million; income allocated to support the cost of hedging or future benefits of $180 million; and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products of $152 million.
(5)    Includes primarily changes in the fair value of embedded derivatives related to affiliate reinsurance transactions.
(6)    Relates to the sale of the wealth management business.
(7)    Includes severance expense related to initiatives to realign the workforce of $(16) million.
(8)    Includes transaction, integration and other costs related to mergers, acquisitions, divestitures and certain other corporate initiatives of $(2) million related to the sale of the wealth management business.
(9)    Includes deferred compensation mark-to-market adjustment of $(1) million.

For the Nine Months Ended September 30, 2025
AnnuitiesLife Insurance
Group Protection (1)
Retirement Plan ServicesOther OperationsTotal
Operating Revenues (2)
$3,390 $3,676 $3,274 $989 $135 $11,464 
Operating Expenses (3)
Benefits and policyholder liability
remeasurement79 1,976 1,653 – 8 3,716 
Interest credited1,318 673 1 518 49 2,559 
Commissions917 244 372 84 3 1,620 
General and administrative expenses381 392 674 251 132 1,830 
Interest and debt expense– – – – 119 119 
Other (4)
(64)270 101 14 – 321 
Total operating expenses2,631 3,555 2,801 867 311 10,165 
Total federal income tax expense (benefit)100 6 99 15 (35)185 
Total income (loss) from operations659 115 374 107 (141)1,114 
Reconciliation of total income (loss) from
operations to net income (loss):
Net annuity product features, pre-tax (5)
666 
Net life insurance product features, pre-tax(63)
Credit loss-related adjustments, pre-tax(91)
Investment gains (losses), pre-tax(30)
Changes in the fair value of
reinsurance-related embedded
derivatives, trading securities and
certain mortgage loans, pre-tax (6)
(464)
GLB rider fees ceded to LNBAR, pre-tax(704)
Other items, pre-tax (7)(8)(9)(10)
(130)
Income tax benefit (expense) related to
the above pre-tax items165 
Total net income (loss)$463 

(1)    Reflects the day one impact of the third quarter 2025 reinsurance transaction. For more information, see Note 7.
(2)    See table below for reconciliation of total operating revenues to the GAAP measure presented in the Consolidated Statements of Comprehensive Income (Loss).
(3)    The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM. Inter-segment expenses are included within the amounts shown.
(4)    Other operating expenses include:
Annuities: DAC and VOBA capitalization and amortization; taxes, licenses and fees; expenses associated with reserve financing and LOCs and amortization of deferred loss on business sold through reinsurance.
Life Insurance: DAC and VOBA capitalization and amortization; taxes, licenses and fees; amortization of deferred loss on business sold through reinsurance; expenses associated with reserve financing and LOCs and other intangible amortization.
Group Protection: Taxes, licenses and fees; DAC capitalization and amortization; other intangible amortization; expenses associated with LOCs and amortization of deferred loss on business sold through reinsurance.
Retirement Plan Services: DAC capitalization and amortization; taxes, licenses and fees and expenses associated with LOCs.
Other Operations: Taxes, licenses and fees; DAC capitalization and amortization and reimbursements to Other Operations from the Life Insurance segment for the use of proceeds from certain issuances of senior notes that were used as long-term structured solutions, net of expenses incurred by Other Operations for its access to a financing facility and issuance of LOCs.
(5)    Includes changes in MRBs of $23 million; income allocated to support the cost of hedging or future benefits of $508 million; and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products of $135 million.
(6)    Includes primarily changes in the fair value of embedded derivatives related to affiliate reinsurance transactions.
(7)    Includes certain legal accruals of $(9) million.
(8)    Includes severance expense related to initiatives to realign the workforce of $(13) million.
(9)    Includes transaction, integration and other costs related to mergers, acquisitions, divestitures and certain other corporate initiatives consisting of $(54) million of transaction costs related to restructuring certain captive reinsurance subsidiaries, $(22) million related to Life Insurance segment persistency optimization and $(18) million related to the sale of the wealth management business.
(10)    Includes deferred compensation mark-to-market adjustment of $(14) million.

For the Nine Months Ended September 30, 2024
AnnuitiesLife Insurance
Group Protection (1)
Retirement Plan ServicesOther OperationsTotal
Operating Revenues (2)
$3,421 $3,748 $(273)$971 $114 $7,981 
Operating Expenses (3)
Benefits and policyholder liability
 remeasurement103 2,005 (1,697)– 3 414 
Interest credited1,130 677 3 505 26 2,341 
Commissions808 331 312 76 – 1,527 
General and administrative expenses358 414 653 253 131 1,809 
Interest and debt expense– – – – 142 142 
Other (4)
185 136 113 14 (1)447 
Total operating expenses2,584 3,563 (616)848 301 6,680 
Total federal income tax expense (benefit)135 25 72 13 (35)210 
Total income (loss) from operations702 160 271 110 (152)1,091 
Reconciliation of total income (loss) from
operations to net income (loss):
Net annuity product features, pre-tax (5)
1,066 
Net life insurance product features, pre-tax(277)
Credit loss-related adjustments, pre-tax(123)
Investment gains (losses), pre-tax(317)
Changes in the fair value of
reinsurance-related embedded
derivatives, trading securities and
certain mortgage loans, pre-tax (6)
(326)
GLB rider fees ceded to LNBAR, pre-tax(703)
Gains (losses) on other non-financial assets –
sale of subsidiaries/businesses, pre-tax (7)
481 
Other items, pre-tax (8)(9)(10)(11)
(113)
Income tax benefit (expense) related to
the above pre-tax items39 
Total net income (loss)$818 

(1)    Reflects the day one impact of the second quarter 2024 reinsurance transaction. For more information, see Note 7.
(2)    See table below for reconciliation of total operating revenues to the GAAP measure presented in the Consolidated Statements of Comprehensive Income (Loss).
(3)    The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM. Inter-segment expenses are included within the amounts shown.
(4)    Other operating expenses include:
Annuities: DAC and VOBA capitalization and amortization; broker-dealer expenses; taxes, licenses and fees; expenses associated with reserve financing and LOCs and amortization of deferred loss on business sold through reinsurance.
Life Insurance: DAC and VOBA capitalization and amortization; taxes, licenses and fees; expenses associated with reserve financing and LOCs; amortization of deferred loss on business sold through reinsurance.and other intangible amortization.
Group Protection: Taxes, licenses and fees; DAC capitalization and amortization; other intangible amortization; expenses associated with LOCs and amortization of deferred loss on business sold through reinsurance.
Retirement Plan Services: DAC capitalization and amortization; taxes, licenses and fees and expenses associated with LOCs.
Other Operations: Reimbursements to Other Operations from the Life Insurance segment for the use of proceeds from certain issuances of senior notes that were used as long-term structured solutions, net of expenses incurred by Other Operations for its access to a financing facility and issuance of LOCs and taxes, licenses and fees.
(5)    Includes changes in MRBs of $185 million; income allocated to support the cost of hedging or future benefits of $511 million; and changes in the fair value of the embedded derivative liabilities and the associated index options for our indexed annuity products of $370 million.
(6)    Includes primarily changes in the fair value of embedded derivatives related to affiliate reinsurance transactions.
(7)    Relates to the sale of the wealth management business.
(8)    Includes certain legal accruals of $(3) million.
(9)    Includes severance expense related to initiatives to realign the workforce of $(72) million.
(10)    Includes transaction, integration and other costs related to mergers, acquisitions, divestitures and certain other corporate initiatives of $(28) million primarily related to the sale of the wealth management business.
(11)    Includes deferred compensation mark-to-market adjustment of $(10) million.

The tables below reconcile our total operating revenues to the GAAP measure presented in the Consolidated Statements of Comprehensive Income (Loss) (in millions):

For the Three Months Ended September 30, 2025
AnnuitiesLife Insurance
Group Protection (1)
Retirement Plan ServicesOther OperationsTotal
Operating revenues$1,142 $1,247 $318 $338 $58 $3,103 
Revenue adjustments from annuity and life
insurance product features211 (34)– – – 177 
Credit loss-related adjustments10 (17)(2)(1)(28)(38)
Investment gains (losses)(1)34 (1)– (18)14 
Changes in the fair value of reinsurance-
related embedded derivatives, trading
securities and certain mortgage loans(112)(83)(31)– (6)(232)
GLB rider fees ceded to LNBAR(235)– – – – (235)
Total revenues$1,015 $1,147 $284 $337 $6 $2,789 

(1)    Reflects the day one impact of the third quarter 2025 reinsurance transaction. For more information, see Note 7.
For the Three Months Ended September 30, 2024
AnnuitiesLife InsuranceGroup ProtectionRetirement Plan ServicesOther OperationsTotal
Operating revenues$1,101 $1,249 $1,353 $331 $55 $4,089 
Revenue adjustments from annuity and life
insurance product features332 (136)– – – 196 
Credit loss-related adjustments(44)(7)(2)(14)(21)(88)
Investment gains (losses)(43)22 (1)(5)(30)(57)
Changes in the fair value of reinsurance-
related embedded derivatives, trading
securities and certain mortgage loans(249)(40)(128)– 1 (416)
GLB rider fees ceded to LNBAR(242)– – – – (242)
Gains (losses) on other non-financial assets –
sale of subsidiaries/businesses– – – – – – 
Total revenues$855 $1,088 $1,222 $312 $5 $3,482 

For the Nine Months Ended September 30, 2025
AnnuitiesLife Insurance
Group Protection (1)
Retirement Plan ServicesOther OperationsTotal
Operating revenues$3,390 $3,676 $3,274 $989 $135 $11,464 
Revenue adjustments from annuity and life
insurance product features643 (81)– – – 562 
Credit loss-related adjustments(10)(18)(5)(10)(48)(91)
Investment gains (losses)6 46 – (6)(76)(30)
Changes in the fair value of reinsurance-
related embedded derivatives, trading
securities and certain mortgage loans(233)(126)(82)– (23)(464)
GLB rider fees ceded to LNBAR(703)– – (1)– (704)
Total revenues$3,093 $3,497 $3,187 $972 $(12)$10,737 

(1)    Reflects the day one impact of the third quarter 2025 reinsurance transaction. For more information, see Note 7.

For the Nine Months Ended September 30, 2024
AnnuitiesLife Insurance
Group Protection (1)
Retirement Plan ServicesOther OperationsTotal
Operating revenues$3,421 $3,748 $(273)$971 $114 $7,981 
Revenue adjustments from annuity and life
insurance product features879 (290)– – – 589 
Credit loss-related adjustments(66)4 (2)(27)(32)(123)
Investment gains (losses)(45)21 (8)(71)(214)(317)
Changes in the fair value of reinsurance-
related embedded derivatives, trading
securities and certain mortgage loans(183)(17)(128)– 2 (326)
GLB rider fees ceded to LNBAR(702)– – (1)– (703)
Gains (losses) on other non-financial assets –
sale of subsidiaries/businesses– – – – 481 481 
Total revenues$3,304 $3,466 $(411)$872 $351 $7,582 

(1)    Reflects the day one impact of the second quarter 2024 reinsurance transaction. For more information, see Note 7.
Other business segment and Other Operations information (in millions) was as follows:

For the Three
Months Ended
September 30,		For the Nine
Months Ended
September 30,
2025202420252024
Net Investment Income
Annuities$504 $468 $1,502 $1,340 
Life Insurance545 481 1,525 1,380 
Group Protection93 80 271 253 
Retirement Plan Services254 251 753 736 
Other Operations43 29 101 66 
Total net investment income$1,439 $1,309 $4,152 $3,775