Future Policy Benefits (Tables)

12 Months Ended

Dec. 31, 2024

Insurance [Abstract]

Liability for Future Policy Benefit, Activity

Traditional Business

Significant assumptions used to compute the liability for future policy benefits for the Traditional business include mortality, morbidity, lapse rates and discount rates (both accretion and current). During 2024 and 2023, the Company completed its annual assumption review resulting in a $39 million and $85 million increase in the Company’s liability for future policy benefits for its Traditional business during 2024 and 2023, respectively. The increase in the liability in 2024 and 2023 was primarily the result of updating the mortality and lapse assumptions used to measure the liability for future policy benefits. The Company also updated the underlying market data used to determine the current discount rate resulting in changes to the discount rate assumption used to measure the net liability for future policy benefits.

The following tables provide the balances of and changes in the Company’s liability for future policy benefits for long-duration reinsurance contracts for its Traditional business, which primarily consists of individual life, group life and critical illness reinsurance for the years ended December 31, 2024 and 2023 (dollars in millions):

For the year ended December 31, 2024:	U.S. and Latin America – Traditional			Canada – Traditional			Europe, Middle East and Africa – Traditional			Asia Pacific – Traditional
Present Value of Expected Net Premiums
Beginning of year balance at original discount rate	$	76,943		$	22,689		$	15,328		$	42,741
Effect of changes in cash flow assumptions	67			(592)			187			975
Effect of actual variances from expected experience	(455)			333			593			368
Adjusted balance, beginning of year	76,555			22,430			16,108			44,084
Issuances (1)	5,844			549			1,144			3,965
Interest accrual (2)	3,494			741			532			1,140
Net premiums collected (3)	(6,230)			(994)			(1,513)			(2,258)
Derecognition (4)	(1,776)			—			—			—
Foreign currency translation	(6)			(1,798)			(360)			(2,130)
Ending balance at original discount rate	77,881			20,928			15,911			44,801
Effect of changes in discount rate assumptions	(8,683)			(4,042)			(2,767)			(12,583)
Balance, end of period	$	69,198		$	16,886		$	13,144		$	32,218
Present Value of Expected Future Policy Benefits
Beginning of year balance at original discount rate	$	89,036		$	26,275		$	16,756		$	47,370
Effect of changes in cash flow assumptions	36			(620)			212			1,048
Effect of actual variances from expected experience	(639)			331			601			289
Adjusted balance, beginning of year	88,433			25,986			17,569			48,707
Issuances (1)	5,844			549			1,135			3,989
Interest accrual (2)	4,078			955			574			1,305
Benefit payments (5)	(5,853)			(1,085)			(1,501)			(2,024)
Derecognition (4)	(1,783)			—			—			—
Foreign currency translation	(8)			(2,096)			(412)			(2,265)
Ending balance at original discount rate	90,711			24,309			17,365			49,712
Effect of changes in discount rate assumptions	(10,975)			(3,323)			(3,101)			(14,891)
Balance, end of period	$	79,736		$	20,986		$	14,264		$	34,821
Liability for future policy benefits	$	10,538		$	4,100		$	1,120		$	2,603
Less: reinsurance recoverable	(810)			(263)			(22)			(74)
Net liability for future policy benefits	$	9,728		$	3,837		$	1,098		$	2,529
Weighted-average duration of the liability (in years)	11			14			8			15
Weighted-average interest accretion rate	4.6		%	3.6		%	3.4		%	2.7		%
Weighted-average current discount rate	5.7		%	4.8		%	5.6		%	4.7		%

(1)Issuances: The present value, using the original discount rate, of the expected net premiums or the expected future policy benefits related to new reinsurance contracts that became effective during the current period and new policies assumed on existing contracts.

(2)Interest accrual: The interest earned on the beginning present value of either the expected net premiums or the expected future policy benefits using the original interest rate.

(3)Net premiums collected: The portion of gross premiums collected from the ceding company that is used to fund expected benefit payments.

(4)Derecognition: Includes the effects of treaty recaptures and the termination of existing treaties.

(5)Benefit payments: The release of the present value, using the original discount rate, of the expected future policy benefits due to death, lapse/withdrawal, and other benefit payments based on current assumptions.

For the year ended December 31, 2023:	U.S. and Latin America – Traditional			Canada – Traditional			Europe, Middle East and Africa – Traditional			Asia Pacific – Traditional
Present Value of Expected Net Premiums
Beginning of year balance at original discount rate	$	74,207		$	21,330		$	14,244		$	40,506
Effect of changes in cash flow assumptions	905			96			199			(180)
Effect of actual variances from expected experience	88			401			254			234
Adjusted balance, beginning of year	75,200			21,827			14,697			40,560
Issuances (1)	4,174			546			1,074			3,469
Interest accrual (2)	3,526			753			509			1,072
Net premiums collected (3)	(5,928)			(941)			(1,492)			(2,042)
Derecognition (4)	(35)			—			—			—
Foreign currency translation	6			504			540			(318)
Ending balance at original discount rate	76,943			22,689			15,328			42,741
Effect of changes in discount rate assumptions	(4,573)			(4,180)			(2,286)			(11,999)
Balance, end of period	$	72,370		$	18,509		$	13,042		$	30,742
Present Value of Expected Future Policy Benefits
Beginning of year balance at original discount rate	$	85,285		$	24,655		$	15,454		$	44,785
Effect of changes in cash flow assumptions	922			108			246			(171)
Effect of actual variances from expected experience	170			410			267			189
Adjusted balance, beginning of year	86,377			25,173			15,967			44,803
Issuances (1)	4,174			546			1,076			3,470
Interest accrual (2)	4,075			965			549			1,225
Benefit payments (5)	(5,545)			(995)			(1,427)			(1,846)
Derecognition (4)	(54)			—			—			—
Foreign currency translation	9			586			591			(282)
Ending balance at original discount rate	89,036			26,275			16,756			47,370
Effect of changes in discount rate assumptions	(5,719)			(3,309)			(2,505)			(13,964)
Balance, end of period	$	83,317		$	22,966		$	14,251		$	33,406
Liability for future policy benefits	$	10,947		$	4,457		$	1,209		$	2,664
Less: reinsurance recoverable	(767)			(298)			(34)			(122)
Net liability for future policy benefits	$	10,180		$	4,159		$	1,175		$	2,542
Weighted-average duration of the liability (in years)	12			15			8			15
Weighted-average interest accretion rate	4.8		%	3.7		%	3.5		%	2.6		%
Weighted-average current discount rate	5.1		%	4.7		%	5.1		%	4.6		%

(1)Issuances: The present value, using the original discount rate, of the expected net premiums or the expected future policy benefits related to new reinsurance contracts that became effective during the current period and new policies assumed on existing contracts.

(2)Interest accrual: The interest earned on the beginning present value of either the expected net premiums or the expected future policy benefits using the original interest rate.

(3)Net premiums collected: The portion of gross premiums collected from the ceding company that is used to fund expected benefit payments.

(4)Derecognition: Includes the effects of treaty recaptures and the termination of existing treaties.

(5)Benefit payments: The release of the present value, using the original discount rate, of the expected future policy benefits due to death, lapse/withdrawal, and other benefit payments based on current assumptions.

The Company’s Traditional business actual-to-expected variances, the effects of changes in cash flow assumptions and the effects of changes in discount rate assumption for the years ended December 31, 2024 and 2023 are summarized in the tables below:

For the year ended December 31, 2024:
Segment	Liability for future policy benefits at original discount rate	Changes in cash flow assumptions	Actual-to-expected variance	Impact of updating discount rate recognized in OCI
U.S. and Latin America – Traditional	$12.8 billion	$(31) million	$(184) million	$(1.2) billion
Canada – Traditional	$3.4 billion	$(28) million	$(2) million	$(152) million
Europe, Middle East and Africa – Traditional	$1.5 billion	$25 million	$8 million	$(115) million
Asia Pacific – Traditional	$4.9 billion	$73 million	$(79) million	$(343) million

For the year ended December 31, 2023:
Segment	Liability for future policy benefits at original discount rate	Changes in cash flow assumptions	Actual-to-expected variance	Impact of updating discount rate recognized in OCI
U.S. and Latin America – Traditional	$12.1 billion	$17 million	$82 million	$458 million
Canada – Traditional	$3.6 billion	$12 million	$9 million	$245 million
Europe, Middle East and Africa – Traditional	$1.4 billion	$47 million	$13 million	$(50) million
Asia Pacific – Traditional	$4.6 billion	$9 million	$(45) million	$(34) million

Financial Solutions Business

Significant assumptions used to compute the liability for future policy benefits for the Financial Solutions business include mortality, morbidity, lapse rates and discount rates (both accretion and current). During 2024 and 2023, the Company completed its annual assumption review resulting in a $20 million increase and $78 million decrease in the Company’s liability for future policy benefits for its Financial Solutions business during 2024 and 2023, respectively. The increase and decrease in the liability in 2024 and 2023 were primarily the result of updating the lapse and mortality assumptions used to measure the liability for future policy benefits. The Company also updated the underlying market data used to determine the current discount rate resulting in changes to the discount rate assumption used to measure the net liability for future policy benefits.

The following tables provide the balances of and changes in the Company’s liability for future policy benefits, including the deferred profit liability related to the longevity business, for its Financial Solutions business, which primarily consists of longevity reinsurance, asset-intensive products, primarily annuities and financial reinsurance for the years ended December 31, 2024 and 2023 (dollars in millions):

For the year ended December 31, 2024:	U.S. and Latin America – Financial Solutions			Canada – Financial Solutions			Europe, Middle East and Africa – Financial Solutions			Asia Pacific – Financial Solutions
Present Value of Expected Net Premiums
Beginning of year balance at original discount rate	$	1,455		$	3,184		$	54,832		$	2,057
Effect of changes in cash flow assumptions	12			—			(93)			1
Effect of actual variances from expected experience	73			(7)			1,081			(2)
Adjusted balance, beginning of year	1,540			3,177			55,820			2,056
Issuances (1)	2,807			5,346			21,381			7,995
Interest accrual (2)	45			131			1,947			29
Net premiums collected (3)	(3,046)			(4,752)			(5,846)			(7,100)
Derecognition (4)	—			—			—			—
Foreign currency translation	—			(288)			(1,942)			(222)
Ending balance at original discount rate	1,346			3,614			71,360			2,758
Effect of changes in discount rate assumptions	(254)			(187)			(8,636)			(294)
Balance, end of period	$	1,092		$	3,427		$	62,724		$	2,464
Present Value of Expected Future Policy Benefits
Beginning of year balance at original discount rate	$	6,843		$	3,210		$	60,938		$	8,019
Effect of changes in cash flow assumptions	20			—			(90)			10
Effect of actual variances from expected experience	67			(7)			1,081			(9)
Adjusted balance, beginning of year	6,930			3,203			61,929			8,020
Issuances (1)	2,934			5,372			21,381			7,995
Interest accrual (2)	382			276			2,169			191
Benefit payments (5)	(757)			(423)			(5,114)			(460)
Derecognition (4)	—			—			—			—
Foreign currency translation	—			(494)			(2,075)			(1,120)
Ending balance at original discount rate	9,489			7,934			78,290			14,626
Effect of changes in discount rate assumptions	(651)			5			(9,531)			(1,880)
Balance, end of period	$	8,838		$	7,939		$	68,759		$	12,746
Cumulative amount of fair value hedging adjustments	(7)			—			—			—
Liability for future policy benefits	$	7,739		$	4,512		$	6,035		$	10,282
Less: reinsurance recoverable	(1,373)			—			—			—
Net liability for future policy benefits	$	6,366		$	4,512		$	6,035		$	10,282
Weighted-average duration of the liability (in years)	8			13			10			14
Weighted-average interest accretion rate	4.0		%	4.5		%	3.1		%	1.5		%
Weighted-average current discount rate	5.6		%	4.7		%	5.2		%	3.1		%

(1)Issuances: The present value, using the original discount rate, of the expected net premiums or the expected future policy benefits related to new reinsurance contracts that became effective during the current period and new policies assumed on existing contracts.

(2)Interest accrual: The interest earned on the beginning present value of either the expected net premiums or the expected future policy benefits using the original interest rate.

(3)Net premiums collected: The portion of gross premiums collected from the ceding company that is used to fund expected benefit payments.

(4)Derecognition: Includes the effects of treaty recaptures and the termination of existing treaties.

(5)Benefit payments: The release of the present value, using the original discount rate, of the expected future policy benefits due to death, lapse/withdrawal, and other benefit payments based on current assumptions.

For the year ended December 31, 2023:	U.S. and Latin America – Financial Solutions			Canada – Financial Solutions			Europe, Middle East and Africa – Financial Solutions			Asia Pacific – Financial Solutions
Present Value of Expected Net Premiums
Beginning of year balance at original discount rate	$	1,671		$	3,394		$	38,782		$	1,605
Effect of changes in cash flow assumptions	(69)			(54)			(561)			—
Effect of actual variances from expected experience	(21)			(5)			5,046			(15)
Adjusted balance, beginning of year	1,581			3,335			43,267			1,590
Issuances (1)	1,423			—			12,489			2,160
Interest accrual (2)	49			105			1,028			26
Net premiums collected (3)	(1,598)			(329)			(3,991)			(1,601)
Derecognition (4)	—			—			—			—
Foreign currency translation	—			73			2,039			(118)
Ending balance at original discount rate	1,455			3,184			54,832			2,057
Effect of changes in discount rate assumptions	(209)			(296)			(6,566)			(157)
Balance, end of period	$	1,246		$	2,888		$	48,266		$	1,900
Present Value of Expected Future Policy Benefits
Beginning of year balance at original discount rate	$	5,823		$	3,447		$	44,330		$	6,561
Effect of changes in cash flow assumptions	(91)			(76)			(595)			—
Effect of actual variances from expected experience	(29)			(13)			4,991			(17)
Adjusted balance, beginning of year	5,703			3,358			48,726			6,544
Issuances (1)	1,467			—			12,489			2,170
Interest accrual (2)	239			107			1,206			89
Benefit payments (5)	(550)			(328)			(3,803)			(271)
Derecognition (4)	(16)			—			—			—
Foreign currency translation	—			73			2,320			(513)
Ending balance at original discount rate	6,843			3,210			60,938			8,019
Effect of changes in discount rate assumptions	(369)			(293)			(7,219)			(929)
Balance, end of period	$	6,474		$	2,917		$	53,719		$	7,090
Liability for future policy benefits	$	5,228		$	29		$	5,453		$	5,190
Less: reinsurance recoverable	(913)			—			—			—
Net liability for future policy benefits	$	4,315		$	29		$	5,453		$	5,190
Weighted-average duration of the liability (in years)	8			7			10			15
Weighted-average interest accretion rate	3.5		%	3.2		%	2.3		%	1.3		%
Weighted-average current discount rate	5.0		%	4.6		%	4.5		%	2.3		%

(1)Issuances: The present value, using the original discount rate, of the expected net premiums or the expected future policy benefits related to new reinsurance contracts that became effective during the current period and new policies assumed on existing contracts.

(2)Interest accrual: The interest earned on the beginning present value of either the expected net premiums or the expected future policy benefits using the original interest rate.

(3)Net premiums collected: The portion of gross premiums collected from the ceding company that is used to fund expected benefit payments.

(4)Derecognition: Includes the effects of treaty recaptures and the termination of existing treaties.

(5)Benefit payments: The release of the present value, using the original discount rate, of the expected future policy benefits due to death, lapse/withdrawal, and other benefit payments based on current assumptions.

The Company’s Financial Solutions business actual-to-expected variances (including the effects of model updates), the effects of changes in cash flow assumptions and the effects of changes in discount rate assumptions for the years ended December 31, 2024 and 2023 are summarized in the tables below:

For the year ended December 31, 2024:
Segment	Net liability for future policy benefits at original discount rate	Changes in cash flow assumptions	Actual-to-expected variance	Impact of updating discount rate recognized in OCI
U.S. and Latin America – Financial Solutions	$8.1 billion	$8 million	$(6) million	$(237) million
Canada – Financial Solutions	$4.3 billion	$—	$—	$189 million
Europe, Middle East and Africa – Financial Solutions	$6.9 billion	$3 million	$—	$(242) million
Asia Pacific – Financial Solutions	$11.9 billion	$9 million	$(7) million	$(814) million

For the year ended December 31, 2023:
Segment	Net liability for future policy benefits at original discount rate	Changes in cash flow assumptions	Actual-to-expected variance	Impact of updating discount rate recognized in OCI
U.S. and Latin America – Financial Solutions	$5.4 billion	$(22) million	$(8) million	$173 million
Canada – Financial Solutions	$26 million	$(22) million	$(8) million	$2 million
Europe, Middle East and Africa – Financial Solutions	$6.1 billion	$(34) million	$(55) million	$261 million
Asia Pacific – Financial Solutions	$6.0 billion	$—	$(2) million	$(312) million

Future Policy Benefits Reconciliation To Balance Sheet

Reconciliation and Other Disclosures

The reconciliation of the rollforward of the liability for future policy benefits to the consolidated balance sheets as of December 31, 2024 and 2023, is as follows (dollars in millions):

	December 31,
	2024		2023
Liability for future policy benefits included in the rollforwards:
Traditional:
U.S. and Latin America	$	10,538	$	10,947
Canada	4,100		4,457
Europe, Middle East and Africa	1,120		1,209
Asia Pacific	2,603		2,664
Financial Solutions:
U.S. and Latin America	7,739		5,228
Canada	4,512		29
Europe, Middle East and Africa	6,035		5,453
Asia Pacific	10,282		5,190
Other long-duration contracts	126		125
Claims liability and incurred but not reported claims	5,338		5,437
Additional liability	68		4
Unearned revenue liability	907		488
Total liability for future policy benefits	$	53,368	$	41,231

Undiscounted and Discounted Future Gross Premiums and Expected Future Benefits

The amount of undiscounted and discounted expected future gross premiums and expected future benefit payments for the liability for future policy benefits included in the rollforwards as of December 31, 2024 and 2023 is as follows (dollars in millions):

	December 31,
	2024				2023
	Undiscounted		Discounted		Undiscounted		Discounted
Expected future gross premiums
Traditional:
U.S. and Latin America	$	181,714	$	82,173	$	178,510	$	84,652
Canada	52,016		21,009		56,133		22,816
Europe, Middle East and Africa	27,238		14,697		25,934		14,822
Asia Pacific	102,816		40,890		94,535		39,119
Financial Solutions:
U.S. and Latin America	2,768		1,719		2,963		1,893
Canada	5,815		3,795		4,572		3,080
Europe, Middle East and Africa	124,890		63,744		91,783		52,894
Asia Pacific	4,838		3,450		4,016		3,026
Expected future policy benefit payments
Traditional:
U.S. and Latin America	$	190,089	$	79,736	$	189,168	$	83,317
Canada	53,540		20,986		58,139		22,966
Europe, Middle East and Africa	27,218		14,264		25,796		14,251
Asia Pacific	99,885		34,821		90,475		33,406
Financial Solutions:
U.S. and Latin America	15,358		8,838		11,031		6,474
Canada	17,381		7,939		4,310		2,917
Europe, Middle East and Africa	134,336		68,759		93,278		53,719
Asia Pacific	23,199		12,746		11,077		7,090

Gross Premiums And Interest Expense Liability Future Policy Benefits

The amount of gross premiums and interest expense recognized in the consolidated statements of income for the liability for future policy benefits included in the rollforwards for the years ended December 31, 2024 and 2023 is as follows (dollars in millions):

	Gross Premiums				Interest Expense
	December 31,				December 31,
	2024		2023		2024		2023
Traditional:
U.S. and Latin America	$	6,392	$	6,093	$	584	$	549
Canada	1,117		1,096		214		212
Europe, Middle East and Africa	1,485		1,422		42		40
Asia Pacific	2,874		2,655		165		153
Financial Solutions:
U.S. and Latin America	2,979		1,496		337		190
Canada	166		90		145		2
Europe, Middle East and Africa	924		701		222		178
Asia Pacific	224		218		162		63
Total	$	16,161	$	13,771	$	1,871	$	1,387

During the years ended December 31, 2024 and 2023, no material losses were incurred resulting from net premiums exceeding gross premiums.