XML 31 R18.htm IDEA: XBRL DOCUMENT v3.25.2
Market Risk Benefits
 6 Months Ended
Jun. 30, 2025
Insurance [Abstract]  
Market Risk Benefits MARKET RISK BENEFITS
The following table provides the balances of and changes in the Company’s market risk benefits for the six months ended June 30, 2025 and 2024 (dollars in millions):
U.S. and Latin America – Financial Solutions
Six months ended June 30,
20252024
Balance, beginning of year$206 $249 
Balance, beginning of year, before effect of changes in the instrument-specific credit risk209 253 
Interest accrual4 6 
Attributed fees collected12 13 
Benefit payments— — 
Effect of changes in interest rates10 (34)
Effect of changes in equity markets(16)(26)
Effect of changes in volatility1 — 
Other market impacts(8)(9)
Actual policyholder behavior different from expected behavior9 7 
Balance, end of period, before effect of changes in the instrument-specific credit risk221 210 
Effect of changes in the instrument-specific credit risk(5)(8)
Balance, end of period216 202 
Less: reinsurance recoverable— — 
Balance, end of period, after reinsurance$216 $202 
Net amount at risk$1,278 $1,302 
Weighted average attained age of contract holders (in years)7271
The reconciliation of the rollforward for market risk benefits to the condensed consolidated balance sheets as of June 30, 2025 and 2024 is as follows (dollars in millions):
June 30,June 30,
20252024
Asset (1)
LiabilityNet
Asset (1)
LiabilityNet
U.S. and Latin America – Financial Solutions$17 $233 $(216)$15 $217 $(202)
Total market risk benefits$17 $233 $(216)$15 $217 $(202)
(1)Included in Other assets.
Fair Value Measurement
See Note 12 – “Fair Value of Assets and Liabilities” for information about fair value measurement of assets and liabilities, except for market risk benefits.
Market risk benefits are classified within Level 3 on the fair value hierarchy. The fair value of market risk benefits is monitored through the use of attribution reports to quantify the effect of underlying sources of fair value change, including capital market inputs based on policyholder account values, interest rates and short-term and long-term implied volatility from period to period.
During the six months ended June 30, 2025 and 2024, there were no material changes made to the inputs in the market risk benefits calculations, and nonfinancial assumptions were unchanged.