Company: CI
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001739940-25-000021
Chunk: 181

Company: Cigna Group
Filing Date: 2025-05-02
Form: 10-Q
Item: Part II, Item 9
Chunk 181
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 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 $4.4 billion at March 31, 2025 and $5.4 billion at March 31, 2024. The decrease was driven by the HCSC transaction.

13

Activity, net of intercompany transactions, in the unpaid claims liability for the Cigna Healthcare segment was as follows:Three Months Ended March 31,(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 year10,606 9,452 Prior years(222)(226)Total incurred10,384 9,226 Paid costs related to:Current year6,078 5,072 Prior years3,472 3,352 Total paid9,550 8,424 Less: Divestiture and other1,323 — Ending balance, net4,370 5,658 Add: Reinsurance and other amounts recoverable138 205 Ending balance$4,508 $5,863 (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, March 31, 2024 and December 31, 2023, includes $983 million and $1,378 million, $823 million classified as liabilities of businesses held for sale, respectively.Reinsurance and other amounts recoverable reflect amounts due from reinsurers and policyholders to cover incurred but not reported and pending claims of certain business for which the Company administers the plan benefits without any right of offset. See Note 10 to the Consolidated Financial Statements for additional information on reinsurance.Variances in incurred costs related to prior years' unpaid claims and claim expenses that resulted from the differences between actual experience and the Company's key assumptions were as follows:Three Months Ended March 31,20252024(Dollars in millions)$% (1)$% (2)Actual completion factors and other$96 0.3 %$76 0.2 %