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Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information
2. Segment Information
The Company is organized into and provides its products and services through the following reportable segments: Annuities; Life; Run-off; and Corporate & Other. The Company’s chief operating decision maker (“CODM”) views and manages the business through these segments.
Annuities
The Annuities segment consists of a variety of variable, fixed, index-linked and income annuities designed to address contract holders’ needs for protected wealth accumulation on a tax-deferred basis, wealth transfer and income security.
Life
The Life segment consists of insurance products, including term, universal, whole and variable life products designed to address policyholders’ needs for financial security and protected wealth transfer, which may be on a tax-advantaged basis.
Run-off
The Run-off segment consists primarily of products that are no longer actively sold and are separately managed, including universal life with secondary guarantees (“ULSG”), structured settlements, pension risk transfer contracts, certain company-owned life insurance policies and certain funding agreements.
Corporate & Other
The Corporate & Other segment consists of activities related to funding agreements associated with the Company’s institutional spread margin business, excess capital not allocated to the other segments and interest expense related to the Company’s outstanding debt, as well as expenses associated with certain legal proceedings and income tax audit issues. The Corporate & Other segment also includes long-term care business reinsured through 100% quota share reinsurance agreements.
Financial Measure and Segment Accounting Policies
The Company’s CODM is its Chief Executive Officer (“CEO”). The CEO uses adjusted earnings to evaluate segment performance and facilitate comparisons to industry results. The Company believes the presentation of adjusted earnings, as the Company measures it for management purposes, enhances the understanding of its performance by the investor community by highlighting the results of operations and the underlying profitability drivers of the business.
Adjusted earnings, which may be positive or negative, focuses on the Company’s primary businesses by excluding the impact of market volatility, which could distort trends. Adjusted earnings was updated during the first quarter of 2025 in connection with the establishment of a trading portfolio comprised of certain fixed income securities (classified as “trading securities” under GAAP). The Company did not have trading securities prior to the first quarter of 2025.
The following items are excluded from total revenues in calculating adjusted earnings:
•Net investment gains (losses);
•Investment gains (losses) on trading securities measured at estimated fair value through net investment income; and
•Net derivative gains (losses), excluding earned income and amortization of premium on derivatives that are hedges of investments or that are used to replicate certain investments, but do not qualify for hedge accounting treatment (“Investment Hedge Adjustments”).
The following items are excluded from total expenses in calculating adjusted earnings:
•Change in market risk benefits (“MRB”); and
•Change in fair value of the crediting rate on experience-rated contracts and market value adjustments on institutional group annuities that are economically offset by gains (losses) on the related trading securities (“Market Value Adjustments”).
The provision for income tax related to adjusted earnings is calculated using the statutory tax rate of 21%, net of impacts related to the dividends received deduction, tax credits and current period non-recurring items.
The segment accounting policies are the same as those used to prepare the Company’s interim condensed consolidated financial statements, except for the adjustments to calculate adjusted earnings described above. In addition, segment accounting policies include the methods of capital allocation described below.
Segment investment and capitalization targets are based on statutory oriented risk principles and metrics. Segment invested assets backing liabilities are based on net statutory liabilities plus excess capital. For the variable annuity business, the excess capital held is based on the target statutory total asset requirement consistent with the Company’s variable annuity risk management strategy. For insurance businesses other than variable annuities, excess capital held is based on a percentage of required statutory risk-based capital. Assets in excess of those allocated to the Annuities, Life and Run-off segments, if any, are held in the Corporate & Other segment. Segment net investment income reflects the performance of each segment’s respective invested assets.
The tables below provide information about the Company’s segments, including significant segment expenses, and reconciliations to Net income (loss) attributable to Brighthouse Life Insurance Company.
Three Months Ended June 30, 2025
AnnuitiesLifeRun-off
Corporate & Other
Total
(In millions)
Total revenues$102 $214 $209 $172 $697 
Less: Revenues excluded from adjusted earnings (1)(1,131)(13)(174)28 
Less: Segment expenses:
Policyholder benefits and claims100 163 400 — 
Interest credited to policyholder account balances, excluding market value adjustments353 22 58 104 
Amortization of DAC and VOBA125 13 — — 
Interest expense on debt— — — 16 
Other expenses (2)254 49 29 53 
Less: Provision for income tax expense (benefit)76 (4)(21)(13)
Less: Net income (loss) attributable to noncontrolling interests— — — 1 
Adjusted earnings (loss)$325 $(16)$(83)$(17)209 
Adjustments for:
Net investment gains (losses)(42)
Investment gains (losses) on trading securities
(6)
Net derivative gains (losses), excluding investment hedge adjustments of $2
(1,242)
Change in market risk benefits1,103 
Market value adjustments6 
Provision for income tax (expense) benefit39 
Net income (loss) attributable to Brighthouse Life Insurance Company$67 
Interest revenue$756 $84 $283 $143 
Three Months Ended June 30, 2024
AnnuitiesLifeRun-off
Corporate & Other
Total
(In millions)
Total revenues$556 $241 $316 $133 $1,246 
Less: Revenues excluded from adjusted earnings (1)(649)(4)(112)(29)
Less: Segment expenses:
Policyholder benefits and claims112 133 378 — 
Interest credited to policyholder account balances, excluding market value adjustments326 21 52 109 
Amortization of DAC and VOBA125 13 — — 
Interest expense on debt— — — 16 
Other expenses (2)243 39 35 50 
Less: Provision for income tax expense (benefit)75 9 (8)(8)
Less: Net income (loss) attributable to noncontrolling interests— — — 1 
Adjusted earnings (loss)$324 $30 $(29)$(6)319 
Adjustments for:
Net investment gains (losses)(120)
Investment gains (losses) on trading securities
— 
Net derivative gains (losses), excluding investment hedge adjustments of $10
(674)
Change in market risk benefits357 
Market value adjustments5 
Provision for income tax (expense) benefit91 
Net income (loss) attributable to Brighthouse Life Insurance Company$(22)
Interest revenue$700 $110 $314 $162 
Six Months Ended June 30, 2025
AnnuitiesLifeRun-off
Corporate & Other
Total
(In millions)
Total revenues
$1,591 $439 $577 $322 $2,929 
Less: Revenues excluded from adjusted earnings (1)
(884)(23)(173)33 
Less: Segment expenses:
Policyholder benefits and claims211 319 752 — 
Interest credited to policyholder account balances, excluding market value adjustments710 43 118 210 
Amortization of DAC and VOBA249 25 — — 
Interest expense on debt— — — 33 
Other expenses (2)525 89 65 99 
Less: Provision for income tax expense (benefit)
148 (3)(39)(26)
Less: Net income (loss) attributable to noncontrolling interests— — — 1 
Adjusted earnings (loss)$632 $(11)$(146)$(28)447 
Adjustments for:
Net investment gains (losses)(123)
Investment gains (losses) on trading securities
— 
Net derivative gains (losses), excluding investment hedge adjustments of $2
(924)
Change in market risk benefits207 
Market value adjustments(4)
Provision for income tax (expense) benefit177 
Net income (loss) attributable to Brighthouse Life Insurance Company$(220)
Interest revenue$1,507 $178 $555 $289 
Six Months Ended June 30, 2024
AnnuitiesLifeRun-off
Corporate & Other
Total
(In millions)
Total revenues
$(16)$395 $462 $281 $1,122 
Less: Revenues excluded from adjusted earnings (1)(2,417)(13)(322)(31)
Less: Segment expenses:
Policyholder benefits and claims259 297 1,051 — 
Interest credited to policyholder account balances, excluding market value adjustments628 42 121 218 
Amortization of DAC and VOBA249 27 — — 
Interest expense on debt— — — 33 
Other expenses (2)491 98 81 109 
Less: Provision for income tax expense (benefit)146 (12)(99)(21)
Less: Net income (loss) attributable to noncontrolling interests— — — 1 
Adjusted earnings (loss)$628 $(44)$(370)$(28)186 
Adjustments for:
Net investment gains (losses)(163)
Investment gains (losses) on trading securities
— 
Net derivative gains (losses), excluding investment hedge adjustments of $23
(2,620)
Change in market risk benefits1,795 
Market value adjustments10 
Provision for income tax (expense) benefit205 
Net income (loss) attributable to Brighthouse Life Insurance Company$(587)
Interest revenue$1,374 $206 $630 $312 
_______________
(1)For each reportable segment, certain revenues are excluded from adjusted earnings (loss), including net investment gains (losses), investment gains (losses) on trading securities and net derivative gains (losses), excluding investment hedge adjustments.
(2)Other expenses include corporate expense allocations directly attributable to each of the segments.
Total assets by segment were as follows at:
June 30, 2025December 31, 2024
(In millions)
Annuities$165,228 $160,887 
Life21,250 20,821 
Run-off24,886 24,894 
Corporate & Other21,513 21,989 
Total$232,877 $228,591 
Total premiums, universal life and investment-type product policy fees and other revenues by major product group were as follows:
Three Months Ended
June 30,		Six Months Ended
June 30,
2025202420252024
(In millions)
Annuity products$480 $506 $970 $1,028 
Life insurance products238 246 471 351 
Other products3 2 6 4 
Total$721 $754 $1,447 $1,383 
Substantially all of the Company’s premiums, universal life and investment-type product policy fees and other revenues originated in the U.S.
Revenues derived from any individual customer did not exceed 10% of premiums, universal life and investment-type product policy fees and other revenues for the three months and six months ended June 30, 2025 and 2024.