Company: CI
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001739940-25-000037
Chunk: 295

Company: Cigna Group
Filing Date: 2025-10-30
Form: 10-Q
Item: Part II, Item 3
Chunk 295
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 on reported claims, claims that have been reported but not yet paid (reported claims in process), and other medical care expenses and services payable that are primarily comprised of accruals for incentives and other amounts payable to health care professionals and facilities. 

The total of incurred but not reported liabilities plus expected development on reported claims and reported claims in process was $4.5 billion as of September 30, 2025 and $4.7 billion as of September 30, 2024. The decrease was driven by the HCSC transaction, partially offset by an increase in stop loss reserves primarily due to seasonality.Activity, net of intercompany transactions, in the unpaid claims liability for the Cigna Healthcare segment was as follows:Nine Months Ended September 30,(In millions)2025 (1)2024 (1)Beginning balance$5,018 $5,092 Less: Reinsurance and other amounts recoverable159 236 Beginning balance, net4,859 4,856 Incurred costs related to:Current year25,763 28,314 Prior years(319)(422)Total incurred25,444 27,892 Paid costs related to:Current year20,399 23,761 Prior years4,055 4,059 Total paid24,454 27,820 Less: Divestiture and other1,323 — Ending balance, net4,526 4,928 Add: Reinsurance and other amounts recoverable150 160 Ending balance$4,676 $5,088 (1) Includes unpaid claims amounts classified as liabilities of businesses held for sale prior to the completion of the HCSC transaction. As of December 31, 2024, September 30, 2024 and December 31, 2023, includes $983 million, $937 million and $823 million, respectively, classified as liabilities of businesses held for sale.Reinsurance and other amounts recoverable reflect amounts due from reinsurers and policyholders to cover incurred but not reported and pending claims of certain business for which the Company administers the plan benefits without any right of offset. See Note 10 to the Consolidated Financial Statements for additional information on reinsurance.Variances in incurred costs related to prior years' unpaid claims and claim expenses that resulted from the differences between actual experience and the Company's key assumptions were as follows:Nine Months Ended September 30,20252024(Dollars in millions)$% (1)$% (