Company: CI
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001739940-25-000037
Chunk: 194

Company: Cigna Group
Filing Date: 2025-10-30
Form: 10-Q
Item: Part II, Item 10
Chunk 194
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.(4)Includes $139 million of current reinsurance recoverables that are reported in Other current assets.

The Company entered into an agreement with Berkshire to effectively exit the variable annuity reinsurance business via a reinsurance transaction in 2013. Variable annuity contracts are accounted for as assumed and ceded reinsurance and categorized as market risk benefits as discussed in Note 9 to the Consolidated Financial Statements. Berkshire reinsured 100% of the Company's future cash flows in this business, net of other reinsurance arrangements existing at that time. The reinsurance agreement is subject to an overall limit, with approximately $3.0 billion remaining as of September 30, 2025. As a result of the reinsurance transaction, amounts payable are offset by a corresponding reinsurance recoverable, provided the increased recoverable remains within the overall Berkshire limit. As of both September 30, 2025 and 2024, market risk benefits (shown in the table net of nonperformance risk as of September 30, 2025) were predominantly reinsured by Berkshire, which is rated AA+ by an NRSRO. As of September 30, 2025, approximately 100% of the Berkshire recoverable is secured by assets in a trust.