Dispositions

9 Months Ended

Sep. 30, 2025

Discontinued Operations and Disposal Groups [Abstract]

Dispositions

Note 3 Dispositions

Employer voluntary benefits (“EVB”) business disposition On April 1, 2025, the Company closed the sale of American Heritage Life Insurance Company and American Heritage Service Company, comprising the Company’s employer voluntary benefits business for $1.9 billion in cash, net of purchase price adjustments. The Company recorded a gain on the sale of

$888 million or $641 million, after-tax for the nine months ended September 30, 2025.

The EVB business generated $243 million of premiums and contract charges and $22 million of adjusted net income for the three months ended March 31, 2025.

Major classes of assets and liabilities disposed of in EVB transaction
($ in millions)	April 1, 2025		December 31, 2024
Assets
Investments
Fixed income securities, at fair value (amortized cost, net $1,765 and $1,809)	$	1,676	$	1,699
Short-term, at fair value (amortized cost $64 and $85)	64		85
Other investments, net	116		122
Total investments	1,856		1,906
Cash	29		—
Deferred policy acquisition costs	525		521
Reinsurance recoverables, net	117		111
Other assets (1)	523		554
Total assets	$	3,050	$	3,092
Liabilities
Reserve for future policy benefits	$	1,096	$	1,085
Contractholder funds	882		890
Other liabilities and accrued expenses	124		138
Total liabilities	$	2,102	$	2,113

(1)Included $249 million of goodwill at April 1, 2025.

Shareholders' equity included $51 million of accumulated other comprehensive losses related to assets and liabilities disposed of on April 1, 2025.

Group health business disposition On July 1, 2025, the Company closed the sale of Direct General Life Insurance Company, NSM Sales Corporation and The Association Benefits Solution, LLC, comprising the Company’s group health business for $1.23 billion in

cash, net of purchase price adjustments. The Company recorded a gain on the sale of $722 million or $506 million, after-tax in the third quarter of 2025.

The group health business generated $247 million of premiums and contract charges and $21 million of adjusted net income for the six months ended June 30, 2025.

Major classes of assets and liabilities disposed of in group health business transaction
($ in millions)	July 1, 2025
Assets
Investments
Fixed income securities, at fair value (amortized cost, net $142)	$	143
Short-term, at fair value (amortized cost $177)	177
Total investments	320
Cash	88
Deferred policy acquisition costs	1
Other assets (1)	305
Total assets	$	714
Liabilities
Other liabilities and accrued expenses	$	9
Total liabilities	$	9

(1)Included $152 million of goodwill at July 1, 2025.

In addition, reserves for future policy benefits of $200 million were reinsured to Nationwide Life Insurance Company with a corresponding reinsurance recoverable established on July 1, 2025.

In connection with these sales, the Company is providing transition services for 24 months from the respective dates of closing.