Company: CI
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0001739940-25-000028
Chunk: 127

Company: Cigna Group
Filing Date: 2025-07-31
Form: 10-Q
Item: Part II, Item 7
Chunk 127
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 divestiture, changes in the future policy benefits for the six months ended June 30, 2025 and June 30, 2024 were not material.

15

Other OperationsThe weighted average interest rates applied and duration for future policy benefits in Other Operations, consisting of annuity and life insurance products, were as follows:As ofJune 30, 2025June 30, 2024Interest accretion rate 5.64 %5.64 %Current discount rate 5.27 %5.38 %Weighted average duration 10.6 years11.2 yearsObligations for annuities represent discounted periodic benefits to be paid to an individual or groups of individuals over their remaining lives. Other Operations' traditional insurance contracts, which are in run-off, have no premium remaining to be collected; therefore, future policy benefit reserves represent the present value of expected future policy benefits, discounted using the current discount rate, and the remaining amortizable deferred profit liability.

Future policy benefits for Other Operations include deferred profit liability of $353 million as of June 30, 2025 and $372 million as of June 30, 2024. Future policy benefits excluding deferred profit liability were $2.9 billion as of both June 30, 2025 and December 31, 2024, $3.0 billion as of June 30, 2024, and $3.2 billion as of December 31, 2023. Undiscounted expected future policy benefits were $4.2 billion as of June 30, 2025 and $4.4 billion as of June 30, 2024. As of both June 30, 2025 and June 30, 2024, $0.9 billion of the future policy benefit reserve was recoverable through treaties with external reinsurers.

D.Contractholder Deposit Funds

Contractholder deposit fund liabilities within Other Operations were $6.2 billion as of June 30, 2025, $6.3 billion as of December 31, 2024, $6.4 billion as of June 30, 2024 and $6.5 billion as of December 31, 2023. Approximately 38% of the balance is reinsured externally. Activity in these liabilities is presented net of reinsurance in the Consolidated Statements of Cash Flows. Changes in contractholder deposit fund liabilities generally relates to