Company: CI
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001739940-25-000037
Chunk: 88

Company: Cigna Group
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 1
Chunk 88
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 in pricing these debt securities. The range and weighted average basis point amounts for liquidity reflect the Company's best estimates of the unobservable adjustments a market participant would make to calculate these fair values. An increase in liquidity spread adjustments would result in a lower fair value measurement, while a decrease would result in a higher fair value measurement.Fair Value as ofUnobservable Adjustment Range (Weighted Average by Quantity) as of(Fair value in millions)September 30,2025December 31,2024Unobservable InputSeptember 30, 2025September 30,2025December 31,2024Debt securitiesCorporate$312 $373 Liquidity60 - 2360 (400)bps60 - 1520 (370)bpsMortgage and other asset-backed securities38 43 Liquidity120 - 500 (290) bps100 - 550 (280)bpsOther debt securities1 1 Total Level 3 debt securities$351 $417 Information about Derivative InstrumentsDerivative Instruments associated with certain equity securities are valued each reporting period using a Monte Carlo simulation and estimated business enterprise value and are recorded in Other assets and Other non-current liabilities in the Consolidated Balance Sheets. The significant unobservable Level 3 measurement inputs used are forecasted earnings measures and equity as well as adjustments to reflect estimated volatility and credit spreads. See Note 11A to the Consolidated Financial Statements for further information.

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Changes in Level 3 Financial Assets and Financial Liabilities Carried at Fair ValueThe following table summarizes the changes in financial assets and financial liabilities classified in Level 3. Gains and losses reported in the table may include net changes in fair value that are attributable to both observable and unobservable inputs.Three Months EndedSeptember 30,Nine Months EndedSeptember 30,(In millions)2025202420252024Beginning balance$362 $397 $417 $447 Losses included in Shareholders' net income(9)(10)(23)(71)Gains included in Other comprehensive income (loss)21 8 31 3 Purchases, sales and settlementsPurchases617 4 644 15 Sales(1)(2)(3)(2)Settlements(21)(4)(101)(19)Total purchases, sales and settlements595 (2)540 (6)Transfers into / (out of) Level 3Transfers into Level 310 32 59 63 Transfers out of