Company: ELV
Filing Date: 2025-07-17
Form Type: 10-Q
Source: 0001156039-25-000114
Chunk: 20

Company: Elevance Health, Inc.
Filing Date: 2025-07-17
Form: 10-Q
Item: Item 8
Chunk 20
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2024 were not material.

4.    Business Optimization Initiative

In the third quarter of 2023, based on a strategic review of our operations, assets and investments, management implemented the “2023-2024 Business Efficiency Program” to enhance operating efficiency, refine the focus of our investments and optimize our physical footprint. The 2023-2024 Business Efficiency Program included the write-off of certain information technology assets and contract exit costs, a reduction in staff including the relocation of certain job functions, and the impairment of assets associated with the closure or partial closure of data centers and offices. The 2023-2024 Business Efficiency Program was finalized as of December 31, 2024, except as to cash outlays related to personnel-related costs associated with this program, which are expected to be paid through 2025The ending liability balances related to the employee termination costs under the 2023-2024 Business Efficiency Program at June 30, 2025 and December 31, 2024 were $141 and $224, respectively. During the six months ended June 30, 2025, there were no charges recorded related to employee termination costs under the 2023-2024 Business Efficiency Program, and payments were $83.

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5.     Investments

Fixed Maturity SecuritiesA summary of current and long-term fixed maturity securities, available-for-sale, at June 30, 2025 and December 31, 2024 is as follows:Cost or Amortized CostGrossUnrealizedGainsGrossUnrealizedLossesAllowance For Credit LossesEstimatedFair Value June 30, 2025Fixed maturity securities:United States Government securities$1,604 $13 $(37)$— $1,580 Government sponsored securities129 1 (2)— 128 Foreign government securities10 — — — 10 States, municipalities and political subdivisions, tax-exempt3,341 26 (125)(3)3,239 Corporate securities13,777 350 (203)(6)13,918 Residential mortgage-backed securities3,317 24 (170)— 3,171 Commercial mortgage-backed securities1,887 22 (33)— 1,876 Other asset-backed securities2,525 41 (97)(6)2,463 Total fixed maturity securities$26,590 $477 $(667)$(15)$26