REINSURANCE GROUP OF AMERICA INC

Previous wording

The Company is among the leading global providers of life reinsurance and financial solutions, with $3.8 trillion of life reinsurance in force and assets of $109.9 billion as of June 30, 2024. Traditional reinsurance includes individual and group life and health, disability, and critical illness reinsurance. Financial Solutions includes longevity reinsurance, asset-intensive reinsurance, capital solutions, including financial reinsurance and stable value products. The Company derives revenues primarily from renewal premiums from existing reinsurance treaties, new business premiums from existing or new reinsurance treaties, fee income from Financial Solutions business and income earned on invested assets.

Current wording

The Company is among the leading global providers of life reinsurance and financial solutions, with $4.0 trillion of life reinsurance in force and assets of $120.3 billion as of September 30, 2024. Traditional reinsurance includes individual and group life and health, disability, and critical illness reinsurance. Financial Solutions includes longevity reinsurance, asset-intensive reinsurance, capital solutions, including financial reinsurance and stable value products. The Company derives revenues primarily from renewal premiums from existing reinsurance treaties, new business premiums from existing or new reinsurance treaties, fee income from Financial Solutions business and income earned on invested assets.

Previous wording

The decrease in income for the six months ended June 30, 2024, was primarily the result of:

Current wording

The decrease in income for the three months ended September 30, 2024, was primarily the result of:

Previous wording

•The increases in claims and other policy benefits and investment related losses were partially offset by an increase in net investment income attributable to an increase in average asset base and higher interest rates on new investments, favorable impacts of in force management actions and higher surrender charges and market value adjustments related to higher lapses on a single premium annuity block of business.

Current wording

•The losses due to changes in assumptions and remeasurement of market risk benefits were partially offset by an increase in net investment income attributable to an increase in average asset base and higher interest rates on new investments.

Previous wording

Foreign currency fluctuations can result in variances in the financial statement line items. Foreign currency exchange fluctuations increased income before taxes for the three and six months ended June 30, 2024, by $5 million and $11 million, respectively, primarily due to the weakening of the Japanese Yen compared to the U.S. dollar. Unless otherwise stated, all amounts discussed below are net of foreign currency fluctuations.

Current wording

Foreign currency fluctuations can result in variances in the financial statement line items. Foreign currency exchange fluctuations decreased income before income taxes by $2 million for the three months ended September 30, 2024, primarily due to the weakening of the Canadian Dollar and Japanese Yen compared to the U.S. dollar. Foreign currency exchange rate fluctuations increased income before income taxes by $9 million for the nine months ended September 30, 2024, primarily due to the weakening of the Japanese Yen compared to the U.S. dollar. Unless otherwise stated, all amounts discussed below are net of foreign currency fluctuations.

Previous wording

The increase in premiums for the three and six months ended June 30, 2024, was primarily due to single premium pension risk transfer (“PRT”) transactions. The PRT single premiums received were offset by an increase in reserves. The remaining increase in premiums for the three and six months ended June 30, 2024, was attributable to organic growth on existing treaties and new business production, measured by the face amount of life reinsurance in force, of $198.7 billion and $168.8 billion during the six months ended June 30, 2024 and 2023, respectively. Consolidated assumed life reinsurance in force increased to $3,767.7 billion as of June 30, 2024, from $3,479.6 billion as of June 30, 2023, primarily due to new business production.

Current wording

The increase in premiums for the three and nine months ended September 30, 2024, was primarily due to single premium pension risk transfer (“PRT”) transactions. The PRT single premiums received were offset by an increase in reserves. The remaining increase in premiums for the three and nine months ended September 30, 2024, was attributable to organic growth on existing treaties and new business production, measured by the face amount of life reinsurance in force, of $403.1 billion and $265.5 billion during the nine months ended September 30, 2024 and 2023, respectively. Consolidated assumed life reinsurance in force increased to $3,966.5 billion as of September 30, 2024, from $3,499.4 billion as of September 30, 2023, primarily due to new business production.

Previous wording

•The average invested assets at amortized cost, excluding spread related business, totaled $38.1 billion and $35.8 billion in 2024 and 2023, respectively.

Current wording

•The average invested assets at amortized cost, excluding spread related business, totaled $38.2 billion and $35.9 billion in 2024 and 2023, respectively.

Previous wording

•The average yield earned on investments, excluding spread related business, was 4.65% and 4.42% for the three month periods ended June 30, 2024 and 2023, respectively, and 4.67% and 4.56% for the six months ended June 30, 2024 and 2023, respectively. The increase in yield for the three and six months ended June 30, 2024, compared to the prior year was attributable to higher new money rates.

Current wording

•The average yield earned on investments, excluding spread related business, was 5.08% and 4.72% for the three month periods ended September 30, 2024 and 2023, respectively, and 4.81% and 4.62% for the nine months ended September 30, 2024 and 2023, respectively. The increase in yield for the three and nine months ended September 30, 2024, compared to the prior year was attributable to higher new money rates.

Previous wording

The increase in investment related losses, net was primarily attributable to the following:

Current wording

The decrease and increase in investment related losses, net for the three and nine months ended September 30, 2024, respectively, was primarily attributable to the following:

Previous wording

•During the three and six months ended June 30, 2024, the Company repositioned its portfolio generating net capital losses of $162 million and $264 million, respectively, compared to net capital losses of $26 million and $70 million during the three and six months ended June 30, 2023, respectively.

Current wording

•During the three and nine months ended September 30, 2024, the Company repositioned its portfolio generating net capital losses of $41 million and $305 million, respectively, compared to net capital losses of $49 million and $119 million during the three and nine months ended September 30, 2023, respectively.

Previous wording

•The Company uses various derivative instruments such as interest rate swaps, credit default swaps and foreign exchange forwards for risk management purposes that either do not qualify or have not been elected for hedge accounting treatment. Changes in the fair value of these instruments are included in investment related gains (losses), net. During the three and six months ended June 30, 2024, the fair value of these instruments decreased by $119 million and $218 million, respectively, compared to decreases of $93 million and $124 million during the first three and six months of 2023. See Note 11 – “Derivative Instruments” for additional information.

Current wording

•The Company uses various derivative instruments such as interest rate swaps, credit default swaps and foreign exchange forwards for risk management purposes that either do not qualify or have not been elected for hedge accounting treatment. Changes in the fair value of these instruments are included in investment related gains (losses), net. During the three and nine months ended September 30, 2024, the fair value of these instruments increased by $87 million and decreased by $131 million respectively, compared to decreases of $98 million and $222 million during the three and nine months ended September 30, 2023. See Note 11 – “Derivative Instruments” for additional information.

Previous wording

•During the three and six months ended June 30, 2024, the Company incurred $17 million and $37 million of impairments and change in allowance for credit losses on fixed maturity securities compared to $(4) million and $39 million during the three and six months of 2023.

Current wording

•During the three and nine months ended September 30, 2024, the Company incurred $9 million and $45 million of impairments and change in allowance for credit losses on fixed maturity securities compared to $(7) million and $31 million during the three and nine months of 2023.

Previous wording

•The increases in investment related losses were partially offset by the following:

Current wording

•The decrease in investment related losses were partially offset by the following:

Previous wording

◦Changes in the fair value of embedded derivatives associated with modco/funds withheld treaties decreased investment related losses by $26 million and $103 million for the three and six months ended June 30, 2024, respectively, compared to $(20) million and $17 million for the three and six months ended June 30, 2023, respectively.

Current wording

◦Changes in the fair value of embedded derivatives associated with modco/funds withheld treaties increased investment related losses by $112 million and $9 million for the three and nine months ended September 30, 2024, respectively, compared to investment related gains of $1 million and $18 million for the three and nine months ended September 30, 2023, respectively.

Previous wording

The effective tax rate was 24.3% and 23.1% for the three and six months ended June 30, 2024, respectively, compared to 21.7% and 25.2% for the three and six months ended June 30, 2023. See Note 13 – “Income Tax” for additional information on the Company’s consolidated effective tax rate.

Current wording

The effective tax rate was 26.7% and 24.2% for the three and nine months ended September 30, 2024, respectively, compared to 24.2% and 24.9% for the three and nine months ended September 30, 2023. See Note 13 – “Income Tax” for additional information on the Company’s consolidated effective tax rate.

Previous wording

The U.S. and Latin America operations consist of two major segments: Traditional and Financial Solutions. The Traditional segment primarily specializes in the reinsurance of individual mortality-risk, health and long-term care and to a lesser extent, group reinsurance. The Financial Solutions segment consists of asset-intensive and capital solutions. Asset-intensive includes coinsurance of annuities, corporate-owned life insurance policies, pension risk transfer (“PRT”) group annuity contracts and, to a lesser extent, fee-based synthetic guaranteed investment contracts, which include investment-only, stable value contracts. Capital solutions includes assisting ceding companies in meeting applicable regulatory requirements by enhancing the ceding companies’ financial strength and regulatory surplus position through relatively low risk reinsurance and other transactions. Typically, these transactions do not qualify as reinsurance under GAAP due to the low-risk nature of the transactions; therefore, only the related net fees are reflected in other revenues on the condensed consolidated statements of income.

Current wording

The U.S. and Latin America operations consist of two major segments: Traditional and Financial Solutions. The Traditional segment primarily specializes in the reinsurance of individual mortality-risk, health and long-term care, universal life products and to a lesser extent, group reinsurance. The Financial Solutions segment consists of asset-intensive and capital solutions. Asset-intensive includes coinsurance of annuities, corporate-owned life insurance policies, pension risk transfer (“PRT”) group annuity contracts and, to a lesser extent, fee-based synthetic guaranteed investment contracts, which include investment-only, stable value contracts. Capital solutions includes assisting ceding companies in meeting applicable regulatory requirements by enhancing the ceding companies’ financial strength and regulatory surplus position through relatively low risk reinsurance and other transactions. Typically, these transactions do not qualify as reinsurance under GAAP due to the low-risk nature of the transactions; therefore, only the related net fees are reflected in other revenues on the condensed consolidated statements of income.

Previous wording

The increase in income before income taxes for the second quarter was primarily due to favorable impacts of in-force management actions in the Traditional segment and higher net investment income. The increase in income before income taxes for the first six months of 2024 was primarily due to favorable impacts of in-force management actions in the Traditional segment and favorable net investment income, partially offset by the net impact of certain derivatives, market risk benefits and non-economic change in insurance liabilities in the Financial Solutions segment. The non-economic change in insurance liabilities was primarily related to the initial loss recognized at the inception of a single premium PRT transaction completed in the first quarter of 2024. The non-economic loss at inception is the difference between the single premium received and the valuation of the initial reserve based on interest rates prescribed by U.S. GAAP.

Current wording

The decrease in income before income taxes for the first nine months of the year was primarily due to non-economic changes in insurance liabilities in the Financial Solutions segment and unfavorable impacts of the change in per life retention limit in the Traditional segment, partially offset by increases in net investment income, other assumption updates, management in-force actions and the net impact of market risk benefits and related derivatives. The non-economic change in insurance liabilities was primarily related to the initial loss recognized at the inception of a single premium PRT transaction completed in the first quarter of 2024. The non-economic loss at inception is the difference between the single premium received and the valuation of the initial reserve based on interest rates prescribed by U.S. GAAP.

Previous wording

•The increase in net premiums was primarily due to organic growth and new business treaties, as well as the recapture of a large retrocession treaty, effective April 1, 2023. The segment added new life business production, measured by face amount of life reinsurance in force, of $76.9 billion and $69.7 billion during the first six months of 2024 and 2023, respectively.

Current wording

•The increase in net premiums was primarily due to organic growth and new business, as well as the recapture of a large retrocession treaty, effective April 1, 2023. The segment added new life business, measured by face amount of life reinsurance in force, of $226.9 billion and $106.4 billion during the first nine months of 2024 and 2023, respectively.

Previous wording

•The increase in net investment income during the three and six months ended June 30, 2024, was primarily due to a higher invested asset base in 2024 due to new business growth.

Current wording

•The increases in net investment income during the three and nine months ended September 30, 2024, were primarily due to a higher invested asset base in 2024 due to new business growth and higher yields.

Previous wording

•The increase in future policy benefits remeasurement gains for the second quarter and first six months of 2024 was attributable to favorable impacts of in-force management actions, as well as claims experience period over period, primarily within the U.S. Individual Life business.

Current wording

•The change in future policy benefits remeasurement (gains) losses for during the third quarter of 2024 was primarily the result of unfavorable impacts of the change in the Company’s per life retention limit which resulted in a loss of $83 million, partially offset by net favorable assumption updates totaling $30 million and a management in-force transaction within the U.S. Individual Life business. The change in future policy benefits remeasurement (gains) losses for the first nine months of 2024 was attributable to favorable claims experience period over period, primarily within the U.S. Individual Life business, favorable impacts of in-force management actions and net favorable mortality assumption updates, partially offset by unfavorable impacts of the change in the retention limit.

Previous wording

•The slight decrease in policy acquisition costs and other insurance expenses as a percentage of net premiums was primarily due to varying allowance levels within coinsurance type arrangements and the mix of new business between coinsurance versus yearly renewable term.

Current wording

•The increase in policy acquisition costs and other insurance expenses as a percentage of net premiums was primarily due to varying allowance levels within coinsurance type arrangements and the mix of new business between coinsurance versus yearly renewable term.

Previous wording

The increase in income before income taxes for the U.S. and Latin America Financial Solutions segment for the three months ended June 30, 2024, was driven by the net impact of certain derivatives, market risk benefits and non-economic changes in insurance liabilities, offset by increases in investment related losses. The decrease in income before income taxes for the six months ended June 30, 2024, was due to increases in investment related losses, the decline in the invested asset base, and the non-economic changes in insurances liabilities, partially offset by the net impact of certain derivatives and market risk benefits.

Current wording

The decreases in income before income taxes for the U.S. and Latin America Financial Solutions segment for the three and nine months ended September 30, 2024, were driven by the decline in the invested asset base, increases in other insurance expenses due to increases in retrocessions to Ruby Re, and non-economic changes in insurance liabilities, partially offset by increases in net investment income and the net impact of market risk benefits and related derivatives.

Previous wording

The invested asset base supporting asset-intensive transactions decreased to $22.1 billion as of June 30, 2024, from $22.7 billion as of June 30, 2023.

Current wording

The invested asset base supporting asset-intensive transactions decreased to $22.1 billion as of September 30, 2024, from $23.0 billion as of September 30, 2023.

Previous wording

•The decrease in the asset base was primarily due to $2.3 billion in net run off of existing in-force transactions and $2.4 billion associated with an in-force retrocession transaction partially offset by $4.1 billion from new transactions.

Current wording

•The decrease in the asset base was primarily due to $1.8 billion in net run off of existing in-force transactions and $2.8 billion associated with an in-force retrocession transaction, partially offset by $3.9 billion from new transactions.

Previous wording

•As of June 30, 2024 and 2023, $3.5 billion and $3.9 billion, respectively, of the invested assets were funds withheld at interest, of which greater than 90% was associated with two clients.

Current wording

•As of September 30, 2024 and 2023, $3.4 billion and $3.8 billion, respectively, of the invested assets were funds withheld at interest, of which greater than 90% was associated with two clients.

Previous wording

As of June 30, 2024 and 2023, the amount of reinsurance assumed in capital solutions transactions, as measured by pre-tax statutory surplus, risk based capital and other financial structures was $29.5 billion and $25.6 billion, respectively.

Current wording

As of September 30, 2024 and 2023, the amount of reinsurance assumed in capital solutions transactions, as measured by pre-tax statutory surplus, risk based capital and other financial structures was $29.5 billion and $25.9 billion, respectively.

Previous wording

Income from the Financial Solutions business tends to be volatile due to the impact of certain items such as changes in the fair value of certain derivatives, including embedded derivatives associated with reinsurance treaties structured on a modco or funds withheld basis, non-economic changes in insurance liabilities, which include the initial loss on PRT transactions, changes in the fair value of embedded derivatives associated with the Company’s reinsurance of EIAs, and changes in the fair value of market risk benefits associated with guaranteed minimum benefit riders. Fluctuations occur period to period primarily due to changing investment conditions including, but not limited to, interest rate movements (including risk-free rates and credit spreads), implied volatility and equity market performance, all of which are factors in the calculations of the fair value of the assets and liabilities.

Current wording

Income from the Financial Solutions business tends to be volatile due to the impact of certain items such as changes in the fair value of certain derivatives, including embedded derivatives associated with reinsurance treaties structured on a modco or funds withheld basis, non-economic changes in insurance liabilities, which include the initial loss on PRT transactions and changes in the fair value of embedded derivatives associated with the Company’s reinsurance of EIAs, and changes in the fair value of market risk benefits associated with guaranteed minimum benefit riders. Fluctuations occur period to period primarily due to changing investment conditions including, but not limited to, interest rate movements (including risk-free rates and credit spreads), implied volatility and equity market performance, all of which are factors in the calculations of the fair value of the assets and liabilities.

Previous wording

Embedded Derivatives– Modco/Funds Withheld Treaties– Represents the change in the fair value of embedded derivatives on funds withheld at interest associated with treaties written on a modco or funds withheld basis. The Company’s utilization of a credit valuation adjustment did not have a material effect on the change in fair value of these embedded derivatives for the three and six months ended June 30, 2024 and 2023.

Current wording

Embedded Derivatives– Modco/Funds Withheld Treaties– Represents the change in the fair value of embedded derivatives on funds withheld at interest associated with treaties written on a modco or funds withheld basis. The Company’s utilization of a credit valuation adjustment did not have a material effect on the change in fair value of these embedded derivatives for the three and nine months ended September 30, 2024 and 2023.

Previous wording

The change in fair value of the embedded derivatives related to modco/funds withheld treaties increased (decreased) income before income taxes by $20 million and $(19) million for the second quarter and $109 million and $19 million for the six months ended June 30, 2024 and 2023, respectively. The increase in income for the three months ended June 30, 2024, was due to tightening credit spreads. The decrease in income for the three months ended June 30, 2023, was due to widening credit spreads. The increase in income for the six months ended June 30, 2024, was due to increased interest rates on funds withheld liabilities. The increase in income for the six months ended June 30, 2023, was due to tightening credit spreads on funds withheld asset balances and the impact of higher risk-free interest rates on funds withheld liabilities balances.

Current wording

The change in fair value of the embedded derivatives related to modco/funds withheld treaties increased (decreased) income before income taxes by $(90) million and $(1) million for the three months ended September 30, 2024, respectively, and increased income before income taxes by $18 million for each of the nine months ended September 30, 2024 and 2023, respectively. The decrease in income for the three months ended September 30, 2024, was due to the impact of declining interest rates on funds withheld liabilities.

Previous wording

Market Risk Benefits– Represents the impact related to market risk benefits, which consist of guaranteed minimum benefits associated with the Company’s reinsurance of variable and equity-indexed annuities. The fair value changes of market risk benefits along with the changes in fair value of the freestanding derivatives (interest rate swaps, financial futures and equity options) purchased by the Company to substantially hedge the liability are reflected in revenues. The change in fair value of market risk benefits for guaranteed minimum benefits, after allowing for changes in the associated freestanding derivatives, had no impact on income before income taxes for the three months ended June 30, 2024, and decreased income before income taxes by $9 million for the six months ended June 30, 2024. The changes in fair value of the market risk benefits decreased income before income taxes by $11 million and $22 million for the three and six months ended June 30, 2023, respectively.

Current wording

Market Risk Benefits– Represents the impact related to market risk benefits, which consist of guaranteed minimum benefits associated with the Company’s reinsurance of variable and equity-indexed annuities. The fair value changes of market risk benefits along with the changes in fair value of the freestanding derivatives (interest rate swaps, financial futures and equity options) purchased by the Company to substantially hedge the liability are reflected in revenues. The change in fair value of market risk benefits for guaranteed minimum benefits, after allowing for changes in the associated freestanding derivatives, decreased income before income taxes for the three and nine months ended September 30, 2024, by $8 million and $16 million, respectively. The changes in fair value of the market risk benefits decreased income before income taxes by $23 million and $48 million for the three and nine months ended September 30, 2023, respectively.

Previous wording

•Income before income taxes and certain items decreased by $46 million and $62 million for the three and six months ended June 30, 2024, as compared to the same periods in 2023, primarily due to increases in realized investment related losses and the decline in the invested asset base.

Current wording

•Income before income taxes and certain items decreased by $65 million and $122 million for the three and nine months ended September 30, 2024, as compared to the same periods in 2023, primarily due to increases in realized investment related losses and the decline in the invested asset base.

Previous wording

•Revenue before certain items increased by $313 million and $2,102 million for the three and six months ended June 30, 2024, as compared to the same periods in 2023. The increase was primarily due to premiums recognized on PRT transactions, which was offset by a corresponding increase in reserves.

Current wording

•Revenue before certain items decreased by $176 million and increased by $1,924 million for the three and nine months ended September 30, 2024, as compared to the same periods in 2023. The decrease in the quarter ended September 30, 2024, was primarily due to less premiums recognized from PRT transactions compared to the prior year. The increase was primarily due to premiums recognized on PRT transactions, which was offset by a corresponding increase in reserves.

Previous wording

•Benefits and expenses before certain items increased by $359 million and $2,164 million for the three and six months ended June 30, 2024, as compared to the same periods in 2023. The increase was primarily due to the establishment of liabilities for future policy benefits associated with PRT transactions.

Current wording

•Benefits and expenses before certain items decreased by $111 million and increased by $2,046 million for the three and nine months ended September 30, 2024, as compared to the same periods in 2023. The decrease in the third quarter of 2024 was primarily due to less liabilities for future policy benefits established on associated PRT transactions. The increase was primarily due to the establishment of liabilities for future policy benefits associated with PRT transactions.

Previous wording

The decrease in income before income taxes for the three months ended June 30, 2024, was primarily due to lower investment related gains and future policy benefits remeasurement losses as compared to future policy benefits remeasurement gains in the second quarter of 2023. The increase in income before income taxes for the six months ended June 30, 2024, was primarily due to favorable experience on group business, partially offset by lower future policy remeasurement gains and investment related gains.

Current wording

The increase in income before income taxes for the three months ended September 30, 2024, was primarily due to higher investment related gains, partially offset by lower future policy benefits remeasurement gains. The increase in income before income taxes for the nine months ended September 30, 2024, was primarily due to favorable experience on group business and higher investment related gains, partially offset by lower future policy benefits remeasurement gains.

Previous wording

For the three and six months ended June 30, 2024, the increases in net premiums, net investment income, other revenues, claims and other policy benefits and policy acquisition costs and other insurance expenses were due to a new financial solutions transaction executed in the second quarter of 2024.

Current wording

For the three and nine months ended September 30, 2024, the increases in net premiums, net investment income, investment related gains (losses), net, other revenues, claims and other policy benefits and policy acquisition costs and other insurance expenses were due to a new financial solutions transaction executed in the second quarter of 2024.

Previous wording

The decrease in income before income taxes for the three months ended June 30, 2024, was primarily due to lower investment related gains and future policy remeasurement losses as compared to future policy remeasurement gains in the second quarter of 2023. The increase in income before income taxes for the six months ended June 30, 2024, was primarily due to favorable experience on group business and future policy benefits remeasurement gains as compared to future policy benefits remeasurement losses in 2023, partially offset by lower investment related gains.

Current wording

The increase in income before income taxes for the three months ended September 30, 2024, was primarily due to future policy benefits remeasurement gains as compared to future policy benefits remeasurement losses in the third quarter of 2023. The increase in income before income taxes for the nine months ended September 30, 2024, was primarily due to favorable experience on group business and future policy benefits remeasurement gains as compared to future policy benefits remeasurement losses in 2023, partially offset by lower investment related gains.

Previous wording

•The increase in net premiums for the three and six months ended June 30, 2024, was primarily due to new group business and organic growth on all lines of business.

Current wording

•The increase in net premiums for the three and nine months ended September 30, 2024, was primarily due to new group business and organic growth on all lines of business.

Previous wording

•The increase in the loss ratio for the second quarter was primarily due to unfavorable claims experience in the individual life line of business and higher future policy remeasurement losses as compared to the same period in 2023. The decrease in the loss ratio for the six months ended June 30, 2024 was primarily due to favorable experience on group line of business and future policy benefits remeasurement gains as compared to future policy benefits remeasurement losses in 2023.

Current wording

•The changes in future policy benefits remeasurement (gains) losses for the three and nine months ended September 30, 2024, were primarily the result of net favorable assumption updates totaling $30 million primarily attributable to updated mortality assumptions, partially offset by unfavorable impacts of the change in the Company’s per life retention limit which resulted in a loss of $25 million. The decrease in the loss ratio for the nine months ended September 30, 2024, was primarily due to favorable experience on group line of business and future policy benefits remeasurement gains as compared to future policy benefits remeasurement losses in 2023.

Previous wording

Income before income taxes remained consistent for the second quarter of 2024 as compared to the same period in 2023. The decrease in income before income taxes for the six months ended June 30, 2024, compared to the same period in 2023, was due to a decrease in future policy benefits remeasurement gains. For the three and six months ended June 30, 2024, the increases in net premiums, net investment income, other revenues, claims and other policy benefits and policy acquisition costs and other insurance expenses were due to a new transaction executed in the second quarter of 2024.

Current wording

The decreases in income before income taxes for the three and nine months ended September 30, 2024, were due to a decrease in future policy benefits remeasurement gains, partially offset by higher investment related gains. For the three and nine months ended September 30, 2024, the increases in net premiums, net investment income, investment related gains (losses), net, other revenues, claims and other policy benefits and policy acquisition costs and other insurance expenses were due to a new transaction executed in the second quarter of 2024.

Previous wording

The increase in income before income taxes for the three and six months ended June 30, 2024, as compared to the same periods in 2023, was primarily due to increased net premiums and net investment income, partially offset by increased claims and other policy benefits and increased policy acquisition costs and other insurance expenses.

Current wording

The increases in income before income taxes for the three and nine months ended September 30, 2024, were primarily due to increased net premiums and net investment income, partially offset by increased claims and other policy benefits and increased policy acquisition costs and other insurance expenses.

Previous wording

The decreases in income before income taxes for the three and six months ended June 30, 2024, as compared to the same periods in 2023, were primarily due to unfavorable claims and other policy benefits and increased policy acquisition costs and other insurance expenses, largely offset by increased net premiums.

Current wording

The increases in income before income taxes for the three and nine months ended September 30, 2024, were primarily due to increased net premiums and net investment income, decreased future policy benefits remeasurement losses, which includes the impact of changes in cash flow assumptions, partially offset by increased claims and other policy benefits and increased policy acquisition costs and other insurance expenses.