Company: CI
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001739940-25-000009
Chunk: 560

Company: Cigna Group
Filing Date: 2025-02-27
Form: 10-K
Item: Item 6
Chunk 560
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 including age of the outstanding receivable and collection history. When circumstances related to specific collection patterns change, estimates of the recoverability of receivables are adjusted.The Company's accounts receivable include amounts due from clients, third-party payors, customers and pharmaceutical manufacturers, and are presented net of allowances. These balances include the following:•Noninsurance customer receivables - amounts due from customers for noninsurance services, primarily pharmacy benefit management and ASO contracts.•Pharmaceutical manufacturers receivables - amounts due from pharmaceutical manufacturers. •Insurance customer receivables - amounts due from customers under insurance and managed care contracts, primarily premiums receivable and amounts due from CMS.•Other receivables - all other accounts receivable not included in the categories above.

The following amounts were included within Accounts receivable, net:(In millions)December 31, 2024December 31, 2023Noninsurance customer receivables$11,879 $8,044 Pharmaceutical manufacturers receivables10,914 8,169 Insurance customer receivables3,199 2,359 Other receivables162 272 Total$26,154 $18,844 Accounts receivable, net classified as assets of businesses held for sale(1,927)(1,122)Total$24,227 $17,722 

These receivables are reported net of our allowances of $5.0 billion and $3.7 billion as of December 31, 2024 and 2023, respectively. As of December 31, 2024 and 2023, these allowances were primarily comprised of $4.3 billion and $3.1 billion, respectively, associated with contractual allowances for certain pharmaceutical manufacturers rebate receivables; $388 million and $386 million, respectively, associated with contractual allowances for third-party payor noninsurance customer receivables; and $84 million and $90 million, respectively, associated with allowances for current expected credit losses. The remaining allowances include discounts and claims adjustments issued to customers in the form of client credits and other non-credit adjustments. 

Accounts Receivable Factoring FacilityThe Company maintains an uncommitted factoring facility (the "Facility") under which certain accounts receivable may be sold on a nonrecourse basis to a financial institution. The Facility began in July 2023 with an initial term of two years, followed by automatic one-year renewal terms unless terminated by either party. The Facility's total capacity at inception was $