ASSURED GUARANTY LTD, 10-Q filed on 8/8/2025
Quarterly Report
v3.25.2
Cover Page - shares
 6 Months Ended
Jun. 30, 2025
Aug. 06, 2025
Entity Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2025  
Document Transition Report false  
Entity File Number 001-32141  
Entity Registrant Name ASSURED GUARANTY LTD.  
Entity Incorporation, State or Country Code D0  
Entity Tax Identification Number 98-0429991  
Entity Address, Address Line One 30 Woodbourne Avenue  
Entity Address, City or Town Hamilton  
Entity Address, Postal Zip Code HM 08  
Entity Address, Country BM  
City Area Code 441  
Local Phone Number 279-5700  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   47,615,221
Entity Central Index Key 0001273813  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q2  
New York Stock Exchange | Common Shares Outstanding    
Entity Information [Line Items]    
Title of 12(b) Security Common Shares  
Trading Symbol AGO  
Security Exchange Name NYSE  
New York Stock Exchange | Assured Guaranty US Holdings Inc. 6.125% Senior Notes Due 2028    
Entity Information [Line Items]    
Title of 12(b) Security Assured Guaranty US Holdings Inc. 6.125% Senior Notes due 2028 (and the related guarantee of Registrant)  
Trading Symbol AGO/28  
Security Exchange Name NYSE  
New York Stock Exchange | Assured Guaranty US Holdings Inc. 3.150% Senior Notes due 2031 (and the related guarantee of Registrant)    
Entity Information [Line Items]    
Title of 12(b) Security Assured Guaranty US Holdings Inc. 3.150% Senior Notes due 2031 (and the related guarantee of Registrant)  
Trading Symbol AGO/31  
Security Exchange Name NYSE  
New York Stock Exchange | Assured Guaranty US Holdings Inc. 3.600% Senior Notes due 2051 (and the related guarantee of Registrant)    
Entity Information [Line Items]    
Title of 12(b) Security Assured Guaranty US Holdings Inc. 3.600% Senior Notes due 2051 (and the related guarantee of Registrant)  
Trading Symbol AGO/51  
Security Exchange Name NYSE  
v3.25.2
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Investments:    
Fixed-maturity securities, available-for-sale, at fair value, net of allowance for credit loss of $47 and $60 (amortized cost of $6,765 and $6,827) $ 6,498 $ 6,369
Fixed-maturity securities, trading, at fair value 137 147
Short-term investments, at fair value 939 1,221
Other invested assets (includes $3 and $4, at fair value) 995 926
Total investments 8,569 8,663
Cash 301 121
Premiums receivable, net of commissions payable 1,631 1,551
Deferred acquisition costs 185 176
Salvage and subrogation recoverable 382 396
Financial guaranty variable interest entities’ assets (includes $176 and $147, at fair value) 211 147
Assets of consolidated investment vehicles (includes $121 and $99, at fair value) 121 101
Other assets (includes $143 and $131, at fair value) 695 746
Total assets 12,095 11,901
Liabilities    
Unearned premium reserve 3,675 3,719
Loss and loss adjustment expense reserve 315 268
Long-term debt 1,701 1,699
Financial guaranty variable interest entities’ liabilities (includes $201 and $164 at fair value, $186 and $155 with recourse, $16 and $9 without recourse) 202 164
Other liabilities (includes $35 and $34, at fair value) 473 498
Total liabilities 6,366 6,348
Commitments and contingencies (Notes 3, 4, 7 and 11)
Shareholders’ equity    
Common shares ($0.01 par value, 500,000,000 shares authorized; 48,109,439 and 50,505,320 shares issued and outstanding) 0 1
Retained earnings 5,859 5,878
Accumulated other comprehensive income (loss), net of tax of $(54) and $(75) (227) (385)
Deferred equity compensation 1 1
Total shareholders’ equity attributable to Assured Guaranty Ltd. 5,633 5,495
Nonredeemable noncontrolling interests (Note 8) 96 58
Total shareholders’ equity 5,729 5,553
Total liabilities and shareholders’ equity $ 12,095 $ 11,901
v3.25.2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Allowance for credit loss $ 47 $ 60
Amortized cost 6,765 6,827
Other invested assets fair value 3 4
Financial guaranty variable interest entities' assets 176 147
Assets of consolidated investment vehicles, fair value disclosure 121 99
Other assets, fair value disclosure 143 131
Financial guaranty variable interest entities liabilities, fair value 201 164
Financial guaranty variable interest entities' liabilities, with recourse 186 155
Financial guaranty variable interest entities' liabilities, without recourse 16 9
Other liabilities. fair value disclosure $ 35 $ 34
Common stock par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 500,000,000 500,000,000
Common stock, shares issued (in shares) 48,109,439 50,505,320
Common stock, shares outstanding (in shares) 48,109,439 50,505,320
Accumulated other comprehensive income (loss), tax provision $ (54) $ (75)
v3.25.2
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Revenues        
Net earned premiums $ 89 $ 84 $ 180 $ 203
Net investment income 89 81 176 165
Net realized investment gains (losses) (6) (6) (22) 2
Fair value gains (losses) on credit derivatives 1 6 105 16
Fair value gains (losses) on committed capital securities (1) 1 1 (9)
Fair value gains (losses) on financial guaranty variable interest entities 2 (1) 3 (4)
Fair value gains (losses) on consolidated investment vehicles 4 11 23 33
Foreign exchange gains (losses) on remeasurement 79 0 116 (12)
Fair value gains (losses) on trading securities 2 17 3 43
Other income (loss) 22 9 41 10
Total revenues 281 202 626 447
Expenses        
Loss and loss adjustment expenses (benefit) 28 (2) 68 (3)
Interest Expense, Operating 23 23 45 46
Amortization of deferred acquisition costs 5 3 10 9
Employee compensation and benefit expenses 50 48 110 106
Other operating expenses 45 41 87 80
Total expenses 151 113 320 238
Income (loss) before income taxes and equity in earnings (losses) of investees 130 89 306 209
Equity in Earnings (Losses) of Investees 3 5 56 29
Income (loss) before income taxes 133 94 362 238
Less: Provision (benefit) for income taxes 27 13 71 44
Net income (loss) 106 81 291 194
Less: Noncontrolling interests 3 3 12 7
Net income (loss) attributable to Assured Guaranty Ltd. $ 103 $ 78 $ 279 $ 187
Earnings per share:        
Basic (in dollars per share) $ 2.10 $ 1.43 $ 5.60 $ 3.38
Diluted (in dollars per share) $ 2.08 $ 1.41 $ 5.54 $ 3.31
v3.25.2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Statement of Comprehensive Income [Abstract]        
Net income (loss) $ 106 $ 81 $ 291 $ 194
Change in net unrealized gains (losses) on:        
Investments with no credit impairment, net of tax provision (benefit) of $11, $(4), $17 and $(9) 85 (12) 137 (41)
Investments with credit impairment, net of tax provision (benefit) of $(1), $1, $4 and $1 (1) 7 20 8
Change in net unrealized gains (losses) on investments 84 (5) 157 (33)
Change in instrument-specific credit risk on financial guaranty variable interest entities’ liabilities with recourse, net of tax provision (benefit) 1 1 0 0
Other, net of tax provision (benefit) 2 (1) 1 0
Other comprehensive income (loss) 87 (5) 158 (33)
Comprehensive income (loss) 193 76 449 161
Less: Comprehensive income (loss) attributable to noncontrolling interests 3 3 12 7
Comprehensive income (loss) attributable to Assured Guaranty Ltd. $ 190 $ 73 $ 437 $ 154
v3.25.2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Statement of Comprehensive Income [Abstract]        
Investments with no credit impairment, tax $ 11 $ (4) $ 17 $ (9)
Investments with credit impairment, tax $ (1) $ 1 $ 4 $ 1
v3.25.2
Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($)
$ in Millions
Total
Total
Common Shares Outstanding
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Deferred Equity Compensation
Nonredeemable Noncontrolling Interests
Beginning balance (in shares) at Dec. 31, 2023     56,217,305        
Beginning balance at Dec. 31, 2023 $ 5,765 $ 5,713 $ 1 $ 6,070 $ (359) $ 1 $ 52
Increase (Decrease) in Shareholders' Equity              
Net income 194 187   187     7
Dividends (36) (36)   (36)      
Common share repurchases (in shares)     (3,467,606)        
Common shares repurchases (285) (285)   (285)      
Share-based compensation (in shares)     436,008        
Share-based compensation (7) (7)   (7)      
Distributions (3)           (3)
Other comprehensive income (loss) (33) (33)     (33)    
Ending balance (in shares) at Jun. 30, 2024     53,185,707        
Ending balance at Jun. 30, 2024 5,595 5,539 $ 1 5,929 (392) 1 56
Beginning balance (in shares) at Mar. 31, 2024     55,081,584        
Beginning balance at Mar. 31, 2024 5,682 5,629 $ 1 6,014 (387) 1 53
Increase (Decrease) in Shareholders' Equity              
Net income 81 78   78     3
Dividends (17) (17)   (17)      
Common share repurchases (in shares)     (1,928,328)        
Common shares repurchases (154) (154)   (154)      
Share-based compensation (in shares)     32,451        
Share-based compensation 8 8   8      
Other comprehensive income (loss) (5) (5)     (5)    
Ending balance (in shares) at Jun. 30, 2024     53,185,707        
Ending balance at Jun. 30, 2024 5,595 5,539 $ 1 5,929 (392) 1 56
Beginning balance (in shares) at Dec. 31, 2024     50,505,320        
Beginning balance at Dec. 31, 2024 5,553 5,495 $ 1 5,878 (385) 1 58
Increase (Decrease) in Shareholders' Equity              
Net income 291 279   279     12
Dividends (37) (37)   (37)      
Consolidation 26           26
Common share repurchases (in shares)     (2,872,733)        
Common shares repurchases (252) (252) $ (1) (251)      
Share-based compensation (in shares)     476,852        
Share-based compensation (10) (10)   (10)      
Other comprehensive income (loss) 158 158     158    
Ending balance (in shares) at Jun. 30, 2025     48,109,439        
Ending balance at Jun. 30, 2025 5,729 5,633 $ 0 5,859 (227) 1 96
Beginning balance (in shares) at Mar. 31, 2025     49,553,438        
Beginning balance at Mar. 31, 2025 5,657 5,590 $ 0 5,903 (314) 1 67
Increase (Decrease) in Shareholders' Equity              
Net income 106 103   103     3
Dividends (19) (19)   (19)      
Consolidation 26           26
Common share repurchases (in shares)     (1,537,505)        
Common shares repurchases (132) (132)   (132)      
Share-based compensation (in shares)     93,506        
Share-based compensation 4 4   4      
Other comprehensive income (loss) 87 87     87    
Ending balance (in shares) at Jun. 30, 2025     48,109,439        
Ending balance at Jun. 30, 2025 $ 5,729 $ 5,633 $ 0 $ 5,859 $ (227) $ 1 $ 96
v3.25.2
Condensed Consolidated Statements of Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Statement of Stockholders' Equity [Abstract]        
Dividends per share (in dollars per share) $ 0.34 $ 0.31 $ 0.68 $ 0.62
v3.25.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Dec. 31, 2024
Statement of Cash Flows [Abstract]          
Net cash flows provided by (used in) operating activities     $ 165 $ (16)  
Fixed-maturity securities, available-for-sale:          
Purchases     (754) (607)  
Sales $ 211 $ 129 427 488  
Maturities and paydowns     424 402  
Short-term investments with original maturities of over three months:          
Purchases     (3) (1)  
Maturities and paydowns     0 3  
Net sales (purchases) of short-term investments with original maturities of less than three months     291 (58)  
Sales of fixed-maturity securities, trading     8 141  
Maturities and paydowns of fixed-maturity securities, trading     5 0  
Paydowns of financial guaranty variable interest entities’ assets     10 12  
Purchases of and contributions to other invested assets     (73) (71)  
Sales of and return of capital from other invested assets     23 33  
Other     (7) (2)  
Net cash flows provided by (used in) investing activities     351 340  
Cash flows from financing activities:          
Dividends paid     (36) (36)  
Repurchases of common shares     (251) (281)  
Net paydowns of financial guaranty variable interest entities’ liabilities     (8) (152)  
Payments related to tax withholding for share-based compensation     (34) (29)  
Other     2 1  
Distributions to noncontrolling interests from consolidated investment vehicles     0 (3)  
Net cash flows provided by (used in) financing activities     (327) (500)  
Effect of foreign exchange rate changes     8 (1)  
Increase (decrease) in cash and cash equivalents and restricted cash     197 (177)  
Cash and cash equivalents and restricted cash at beginning of period     128 286 $ 286
Cash and cash equivalents and restricted cash at end of period 325 109 325 109 128
Supplemental cash flow information          
Income taxes paid (received)     34 58  
Interest paid on long-term debt     43 45  
Supplemental disclosure of non-cash activities:          
Receipt of fixed-maturity securities, available-for-sale     7 0  
Reconciliation of cash and cash equivalents and restricted cash to the condensed consolidated balance sheets:          
Cash 301 92 301 92 121
Cash and cash equivalents of financial guaranty variable interest entities (see Note 8) 23   23   0
Cash and cash equivalents of consolidated investment vehicles 0 15 0 15  
Restricted cash (included in other assets) 1 2 1 2  
Cash and cash equivalents and restricted cash at end of period $ 325 $ 109 $ 325 $ 109 $ 128
v3.25.2
Business and Basis of Presentation
 6 Months Ended
Jun. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Business and Basis of Presentation Business and Basis of Presentation
 
Business
 
Assured Guaranty Ltd. (AGL and, together with its subsidiaries, Assured Guaranty or the Company) is a Bermuda-based holding company that provides, through its wholly-owned operating subsidiaries, credit protection products to the United States (U.S.) and non-U.S. public finance (including infrastructure) and structured finance markets. Assured Guaranty also participates in the asset management business.

Insurance

Through its insurance subsidiaries, the Company applies its credit underwriting judgment, risk management skills and capital markets experience primarily to offer financial guaranty insurance that protects holders of debt instruments and other monetary obligations from defaults in scheduled payments. If an obligor defaults on a scheduled payment due on an obligation, including a scheduled principal or interest payment (collectively, debt service), the Company is required under its unconditional and irrevocable financial guaranty to pay the amount of the shortfall to the holder of the obligation. The Company markets its financial guaranty insurance directly to issuers and underwriters of public finance and structured finance securities as well as to investors in such obligations. The Company guarantees obligations issued principally in the U.S. and the United Kingdom (U.K.), and also guarantees obligations issued in other countries and regions, including Western Europe. The Company also provides specialty insurance and reinsurance on transactions with risk profiles similar to those of its structured finance exposures written in financial guaranty form. The Company’s principal insurance subsidiaries are:

•Assured Guaranty Inc. (AG), domiciled in Maryland and formerly known as Assured Guaranty Corp., and its insurance subsidiaries:
•Assured Guaranty UK Limited, organized in the U.K.;
•Assured Guaranty (Europe) SA, organized in France;
•Assured Guaranty Re Ltd. (AG Re), domiciled in Bermuda, and its insurance subsidiary:
•Assured Guaranty Re Overseas Ltd. (AGRO), domiciled in Bermuda.

The Company designated certain assets and liabilities supporting the Insurance segment as held for sale in the first quarter of 2023. The held for sale assets and liabilities were $29 million (reported in “other assets”) and $3 million (reported in “other liabilities”), respectively, as of June 30, 2025.

Asset Management

The Company participates in the asset management business through its approximately 30% ownership interest in Sound Point Capital Management, LP (Sound Point, LP) and certain of its investment management affiliates (together with Sound Point, LP, Sound Point).

In addition, in accordance with the terms of a letter agreement (Letter Agreement), effective July 1, 2023, AG (i) engaged Sound Point as its sole alternative credit manager, and (ii) transitioned to Sound Point the management of certain existing alternative investments and related commitments. The Letter Agreement also provides that AG, including through its investment subsidiary AG Asset Strategies LLC (AGAS), would, subject to the terms and conditions of the Letter Agreement, make new investments in funds, other vehicles and separately managed accounts managed by Sound Point which, when aggregated with the alternative investments and commitments transitioned from the Company and any reinvestments (collectively, Sound Point Investments), and investments made by other Assured Guaranty affiliates, will total $1 billion. AG has made substantial investments with Sound Point across a variety of their strategies in order to seek to enhance its investment returns and anticipates continuing to invest with Sound Point pursuant to the terms of the Letter Agreement. The Letter Agreement contemplates a long-term investment partnership between Sound Point and Assured Guaranty, whereby AG agreed to reinvest all returns of capital from Sound Point Investments until July 1, 2038. Similarly, under the Letter Agreement AG agreed to reinvest all gains and dividends from Sound Point Investments through July 1, 2025, and reinvest half of all such gains and dividends thereafter until July 1, 2033. On July 1, 2028, AG may choose to reduce the amounts invested or required to be reinvested in certain Sound Point Investments under the Letter Agreement, subject to adjustment of Assured Guaranty’s ownership interest in Sound Point. To the extent not required to be reinvested by the Letter Agreement, all proceeds from Sound Point Investments received in accordance with their operative investment documents can be distributed to AG. See Note 7, Investments.
U.S. Holding Companies

AGL directly or indirectly owns several holding companies, two of which - Assured Guaranty US Holdings Inc. (AGUS) and Assured Guaranty Municipal Holdings Inc. (AGMH) (collectively, the U.S. Holding Companies) - have public debt outstanding.

Basis of Presentation

The unaudited interim condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP). In management’s opinion, all material adjustments necessary for a fair statement of the financial condition, results of operations and cash flows of the Company, including its consolidated variable interest entities (VIEs), are reflected in the periods presented and are of a normal, recurring nature. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

These unaudited interim condensed consolidated financial statements are as of June 30, 2025 and cover the three-month period ended June 30, 2025 (second quarter 2025), the three-month period ended June 30, 2024 (second quarter 2024), the six-month period ended June 30, 2025 (six months 2025) and the six-month period ended June 30, 2024 (six months 2024). Certain financial information that is normally included in annual financial statements prepared in accordance with GAAP, but is not required for interim reporting purposes, has been condensed or omitted. The year-end condensed consolidated balance sheet data was derived from audited financial statements but does not include all disclosures required by GAAP. Certain prior year balances have been reclassified to conform to the current period’s presentation.

The unaudited interim condensed consolidated financial statements include the accounts of AGL, its direct and indirect subsidiaries, and its consolidated financial guaranty VIEs (FG VIEs) and consolidated investment vehicles (CIVs). See Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles. Intercompany accounts and transactions between and among all consolidated entities have been eliminated. All amounts are reported in U.S. dollars, unless otherwise specified.

These unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2024 filed with the U.S. Securities and Exchange Commission.

Recent Accounting Standards Not Yet Adopted

In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The amendments require enhanced annual disclosures regarding the rate reconciliation and income taxes paid. This ASU is effective for fiscal years beginning after December 15, 2024. The Company will apply the amendments in this ASU prospectively to all annual periods beginning after December 15, 2024. The adoption of this ASU will affect certain of the Company’s income tax disclosures.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40). The amendments in this ASU require disclosure about specific expense categories, including employee compensation, depreciation and intangible asset amortization, in the notes to financial statements at interim and annual reporting periods. This ASU is effective in fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. Prospective application is required, and retrospective application is permitted. The Company is evaluating when and how it will adopt this ASU and the effect that the amendments in this ASU may have on its expense disclosures.
v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company reports its results of operations in two segments: Insurance and Asset Management. The Company separately reports the results of its Corporate division and the effects of consolidating FG VIEs and CIVs. This presentation is consistent with the manner in which the Chief Executive Officer and President, the chief operating decision maker (CODM), reviews the business to assess performance and allocate resources. The CODM predominantly uses adjusted operating income
to allocate resources for each segment in the annual budget and forecasting process and to assess the performance for each segment.

The Company analyzes the operating performance of each segment using “segment adjusted operating income (loss).” Results for each segment and division include specifically identifiable expenses as well as intersegment expense allocations, as applicable, based on time studies and other cost allocation methodologies based on headcount or other metrics. Segment adjusted operating income is defined as “net income (loss) attributable to AGL,” adjusted for the following items, which primarily affect the Insurance segment and Corporate division:

•Elimination of realized gains (losses) on the Company’s investments, except for gains and losses on securities classified as trading.
•Elimination of non-credit impairment-related fair value gains (losses) on credit derivatives that are recognized in net income, which is the amount of unrealized fair value gains (losses) in excess of the present value of the expected estimated economic credit losses. 
•Elimination of fair value gains (losses) on the Company’s committed capital securities (CCS) that are recognized in net income.
•Elimination of foreign exchange gains (losses) on remeasurement of net premium receivables and loss and loss adjustment expense (LAE) reserves that are recognized in net income.
•The tax effects related to the above adjustments, which are determined by applying the statutory tax rate in each of the jurisdictions that generate these adjustments.

In addition to the adjustments listed above, segment adjusted operating income (loss) differs from GAAP in other respects. The Insurance segment includes: (i) premiums and losses from the financial guaranty insurance policies issued by AG that guarantees the FG VIEs’ debt; and (ii) the insurance subsidiaries’ share of earnings from all their investments in funds managed by Sound Point in “equity in earnings (losses) of investees.” Under GAAP, (i) FG VIEs are consolidated by AG and the premiums and losses/recoveries associated with the financial guaranty policies in respect of the FG VIEs’ debt are eliminated (the reconciliation tables below present the FG VIEs and related eliminations in “other”); and (ii) certain investments in funds managed by Sound Point are, or were in prior periods, accounted for as CIVs (in the reconciliation tables below, the CIVs and related eliminations of the Insurance segment’s “equity in earnings (losses) of investees” associated with the Company’s ownership interest in CIVs are presented in “other”).

The Company does not report assets by reportable segment as the CODM does not assess performance or allocate resources based on assets.

The Insurance segment primarily consists of the adjusted operating income (loss) of the Company’s insurance subsidiaries and AGAS. The Asset Management segment includes the results of the Company’s equity method ownership interest in Sound Point and other asset management-related incentive fees.

The Corporate division primarily consists of: (i) interest expense and any losses on the extinguishment of the U.S. Holding Companies’ debt; (ii) other corporate operating expenses of AGL and the U.S. Holding Companies, (iii) beginning in the third quarter of 2024, equity in earnings from certain alternative investments that were transferred from AG to AGMH as part of a stock redemption that occurred on August 5, 2024, and (iii) gains and losses associated with certain corporate development or other strategic initiatives.
    
The Other category in the tables below primarily includes the effect of consolidating FG VIEs, CIVs and intersegment eliminations. See Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles.
    
The following table presents information for the Company’s operating segments. Intersegment revenues include transactions between and among the segments, the Corporate division and Other category.
Segment Information
Second Quarter
20252024
InsuranceAsset ManagementInsuranceAsset Management
(in millions)
Third-party revenues$196 $13 $186 $6 
Intersegment revenues3 2 3 1 
Segment revenues199 15 189 7 
Segment loss and LAE (benefit)27 — — — 
Segment employee compensation and benefit expenses44 — 40 — 
Segment amortization of deferred acquisition cost5 — 3 — 
Other segment items (2)29 9 27 4 
Segment expenses105 9 70 4 
Segment equity in earnings (losses) of investees2 (1)15 (3)
Less: Segment provision (benefit) for income taxes20 1 18 — 
Segment adjusted operating income (loss)$76 $4 $116 $— 
Selected components of segment adjusted operating income:
Net investment income$89 $— $81 $— 
Non-cash compensation and operating expenses (3)14 — 11 — 

Six Months
20252024
Insurance (1)Asset ManagementInsurance Asset Management
(in millions)
Third-party revenues$433 $18 $413 $7 
Intersegment revenues5 3 5 1 
Segment revenues438 21 418 8 
Segment loss and LAE (benefit)4 — 4 — 
Segment employee compensation and benefit expenses96 — 88 — 
Segment amortization of deferred acquisition cost10 — 9 — 
Other segment items (2)59 13 54 4 
Segment expenses169 13 155 4 
Segment equity in earnings (losses) of investees32 12 55 (2)
Less: Segment provision (benefit) for income taxes57 4 53 1 
Segment adjusted operating income (loss)$244 $16 $265 $1 
Selected components of segment adjusted operating income:
Net investment income$175 $— $164 $— 
Non-cash compensation and operating expenses (3)32 — 28 — 
_____________________
(1)    Six months 2025 results include the gain recognized in connection with the Lehman Brothers International (Europe) (in administration) (LBIE) litigation, which represents the full satisfaction of the judgment the Company was awarded and its claims for attorneys’ fees, expenses and interest. See Note 6, Contracts Accounted for as Credit Derivatives, for additional information.
(2)    Other segment items for the Insurance segment include professional services expenses, maintenance, depreciation expense, lease expense, investment management expenses and certain overhead expenses; and for the Asset Management segment include expenses associated with incentive fees.
(3)    Amounts consist of depreciation, amortization and share-based compensation expenses.
The tables below present a reconciliation of significant components of segment information to the comparable consolidated amounts.

Reconciliation of Segment Information to Consolidated Information
Three Months Ended June 30, 2025
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$199 $105 $2 $20 $— $76 
Asset Management15 9 (1)1 — 4 
Total segments214 114 1 21 — 80 
Corporate division4 39 3 (3)— (29)
Other— (2)(1)(1)3 (1)
Subtotal218 151 3 17 3 50 
Reconciling items:
Realized gains (losses) on investments(6)— — — — (6)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives(1)— — — — (1)
Fair value gains (losses) on CCS(1)— — — — (1)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves71 — — — — 71 
Tax effect— — — 10 — (10)
Consolidated$281 $151 $3 $27 $3 $103 

Reconciliation of Segment Information to Consolidated Information
Three Months Ended June 30, 2024
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$189 $70 $15 $18 $— $116 
Asset Management7 4 (3)— — — 
Total segments196 74 12 18 — 116 
Corporate division4 44 — (5)— (35)
Other4 (5)(7)— 3 (1)
Subtotal204 113 5 13 3 80 
Reconciling items:
Realized gains (losses) on investments(6)— — — — (6)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives3 — — — — 3 
Fair value gains (losses) on CCS1 — — — — 1 
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves— — — — — — 
Tax effect— — — — — — 
Consolidated$202 $113 $5 $13 $3 $78 
Reconciliation of Segment Information to Consolidated Information
Six Months Ended June 30, 2025
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$438 $169 $32 $57 $— $244 
Asset Management21 13 12 4 — 16 
Total segments459 182 44 61 — 260 
Corporate division8 79 19 (3)— (49)
Other16 (4)(7)— 12 1 
Subtotal483 257 56 58 12 212 
Reconciling items:
Realized gains (losses) on investments(22)— — — — (22)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives60 63 — — — (3)
Fair value gains (losses) on CCS1 — — — — 1 
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves104 — — — — 104 
Tax effect— — — 13 — (13)
Consolidated$626 $320 $56 $71 $12 $279 

Reconciliation of Segment Information to Consolidated Information
Six Months Ended June 30, 2024
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$418 $155 $55 $53 $— $265 
Asset Management8 4 (2)1 — 1 
Total segments426 159 53 54 — 266 
Corporate division9 91 — (10)— (72)
Other20 (10)(24)— 7 (1)
Subtotal455 240 29 44 7 193 
Reconciling items:
Realized gains (losses) on investments2 — — — — 2 
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives11 (2)— — — 13 
Fair value gains (losses) on CCS(9)— — — — (9)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves(12)— — — — (12)
Tax effect— — — — — — 
Consolidated$447 $238 $29 $44 $7 $187 
v3.25.2
Outstanding Exposure
 6 Months Ended
Jun. 30, 2025
Outstanding Exposure Disclosure [Abstract]  
Outstanding Exposure Outstanding Exposure
 
The Company sells credit protection primarily in financial guaranty insurance form. The Company may also sell credit protection in other forms of insurance or by issuing policies that guarantee payment obligations under credit default swaps (CDS). The Company’s guaranties of CDS are generally structured such that the circumstances giving rise to the Company’s obligation to make loss payments are similar to those for its financial guaranty insurance contracts.

The Company seeks to limit its exposure to losses by underwriting obligations that it views to be investment grade at inception, although on occasion it may underwrite new issuances that it views to be below-investment-grade (BIG), typically as part of its loss mitigation strategy for existing troubled exposures. The Company also seeks to acquire portfolios of insurance from financial guarantors that are no longer writing new business by acquiring such companies, providing reinsurance on or novating a portfolio of insurance; in such instances, the Company evaluates the risk characteristics of the target portfolio, which may include some BIG exposures, as a whole in the context of the proposed transaction. The Company diversifies its insured portfolio across sector and geography and, in the structured finance portfolio, generally requires subordination or collateral to protect it from loss. Reinsurance may be used in order to reduce net exposure to certain insured transactions.

Public finance obligations insured by the Company primarily consist of general obligation bonds supported by the taxing powers of U.S. state or municipal governmental authorities, as well as tax-supported bonds, revenue bonds and other obligations supported by covenants from state or municipal governmental authorities or other municipal obligors to impose and collect fees and charges for public services or specific infrastructure projects. The Company includes within public finance obligations those obligations backed by the cash flow from leases or other revenues from projects serving substantial public purposes, including utilities, toll roads, healthcare facilities and government office buildings as well as obligations issued by U.S. and non-U.S. sovereign and sub-sovereign issuers and governmental authorities.

Structured finance obligations insured by the Company are generally issued by special purpose entities, including VIEs, and backed by pools of assets having an ascertainable cash flow or market value or other specialized financial obligations. Some of these VIEs are consolidated as described in Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles. Unless otherwise specified, the outstanding par and debt service amounts presented in this note include outstanding exposures on these VIEs whether or not they are consolidated.

The Company also provides specialty insurance and reinsurance, and other types of financial guaranties, that are consistent with its risk profile and benefit from its underwriting experience.

Surveillance Categories
 
The Company segregates its insured portfolio into investment grade and BIG surveillance categories to facilitate the appropriate allocation of resources to monitoring and loss mitigation efforts and to aid in establishing the appropriate cycle for periodic review of each exposure. BIG exposures include all exposures with internal credit ratings below BBB-.

The Company’s internal credit ratings are based on internal assessments of the likelihood of default and loss severity in the event of default. Internal credit ratings are expressed on a ratings scale similar to that used by the rating agencies and generally reflect an approach similar to that employed by the rating agencies, except that the Company’s internal credit ratings focus on future performance rather than lifetime performance.

The Company monitors its insured portfolio and refreshes its internal credit ratings on individual exposures in quarterly, semi-annual or annual cycles based on the Company’s view of the exposure’s credit quality, future loss potential, volatility and sector. More extensive monitoring and intervention are employed for all BIG surveillance categories, with internal credit ratings reviewed quarterly. Exposures identified as BIG are subjected to further review to determine (i) the probability of a future loss, (ii) the calculation of the expected future loss to be paid, and (iii) whether the Company has paid a claim for which it expects to be reimbursed within one year (liquidity claim) or a claim for which it does not expect to be reimbursed within one year.

Ratings on exposures in sectors identified as under the most stress or with the most potential volatility are also reviewed every quarter, although the Company may also review a rating in response to developments impacting a credit when a ratings review is not scheduled. For assumed exposures, the Company may use the ceding company’s credit ratings of transactions where it is impractical for it to assign its own rating.
 
The Company assigns each BIG exposure to one of the three BIG surveillance categories below, which generally represent the following:

•BIG 1: Below-investment-grade exposures for which there are possible future losses, on a present value basis, and the aggregate probability weighting of scenarios with future losses is less than 50%, regardless of whether the Company has or has not paid a liquidity claim.
•BIG 2: Below-investment-grade exposures for which there are possible future losses, on a present value basis, and the aggregate probability weighting of scenarios with future losses is 50% or more, but for which no claims (other than liquidity claims) have yet been paid.
•BIG 3: Below-investment-grade exposures for which future losses are expected, on a present value basis, and the aggregate probability weighting of scenarios with future losses is 50% or more, and for which claims, other than liquidity claims, have been paid.

For purposes of classifying BIG exposures into one of the three BIG categories, the Company calculates the present value of projected claim payments and recoveries using the pre-tax book yield of the investment portfolio as the applicable discount rate.

As discussed in Note 4, Expected Loss to be Paid (Recovered), for financial statement measurement purposes, the Company uses risk-free rates (as determined each quarter) for discounting, rather than the pre-tax book yield of the investment portfolio, to calculate the expected losses to be paid. Expected losses to be paid (recovered) are based on probability weighted scenarios and serve as the basis for the loss reserves reported in accordance with GAAP.

Financial Guaranty Exposure

The Company measures its financial guaranty exposure in terms of (i) gross and net par outstanding and (ii) gross and net debt service.

The Company typically guarantees the payment of debt service when due. Since most of these payments are due in the future, the Company generally uses gross and net par outstanding as a proxy for its financial guaranty exposure. Gross par outstanding generally represents the principal amount of the insured obligation at a point in time. Net par outstanding equals gross par outstanding net of any reinsurance. The Company includes in its par outstanding calculation the impact of any consumer price index inflator to the reporting date as well as, in the case of accreting (zero-coupon) obligations, accretion to the reporting date. Non-U.S. dollar denominated par outstanding is translated at the spot rate at the end of the reporting period.

The Company has, from time to time, purchased securities that it has insured, and for which it had expected losses to be paid, in order to mitigate the economic effect of insured losses (Loss Mitigation Securities). Amounts attributable to Loss Mitigation Securities are excluded from par and debt service outstanding, and are instead reported as Loss Mitigation Securities in the investment portfolio. The Company manages such securities as investments and not insurance exposure. As of both June 30, 2025 and December 31, 2024, the Company excluded net par outstanding of $1.2 billion attributable to Loss Mitigation Securities.

Gross debt service outstanding represents the sum of all estimated future debt service payments on the insured obligations, on an undiscounted basis. Net debt service outstanding equals gross debt service outstanding net of any reinsurance. Future debt service payments include the estimated impact of any consumer price index inflator after the reporting date, as well as, in the case of accreting (zero-coupon) obligations, accretion after the reporting date.

The Company calculates its debt service outstanding as follows:

•for insured obligations that are not supported by homogeneous pools of assets (which category includes most of the Company’s public finance transactions), as the total estimated contractual future debt service due through maturity, regardless of whether the obligations may be called and regardless of whether, in the case of obligations where principal payments are due when an underlying asset makes a principal payment, the Company believes the obligations will be repaid prior to contractual maturity; and

•for insured obligations that are supported by homogeneous pools of assets that are contractually permitted to prepay principal (which category includes, for example, residential mortgage-backed securities (RMBS)), as the total estimated expected future debt service due on insured obligations through their respective expected terms, which
reflects the Company’s expectations as to whether the obligations may be called and, in the case of obligations where principal payments are due when an underlying asset makes a principal payment, when the Company expects principal payments to be made prior to contractual maturity.

The calculation of debt service requires the use of estimates, which the Company updates periodically, including estimates and assumptions for the expected remaining term of insured obligations supported by homogeneous pools of assets, updated interest rates for floating and variable rate insured obligations, behavior of consumer price indices for obligations with consumer price index inflators, foreign exchange rates and other assumptions based on the characteristics of each insured obligation. Debt service is a measure of the estimated maximum potential exposure to insured obligations before considering the Company’s various legal rights to the underlying collateral and other remedies available to it under its financial guaranty contract.

Actual debt service may differ from estimated debt service due to refundings, terminations, negotiated restructurings, prepayments, changes in interest rates on variable rate insured obligations, consumer price index behavior differing from that projected, changes in foreign exchange rates on non-U.S. dollar denominated insured obligations and other factors.

Financial Guaranty Portfolio
Debt Service and Par Outstanding
As of June 30, 2025 As of December 31, 2024
  GrossNet GrossNet
 (in millions)
Debt Service
Public finance$422,661 $422,587 $403,789 $403,718 
Structured finance12,401 11,975 12,674 12,248 
Total financial guaranty$435,062 $434,562 $416,463 $415,966 
Par Outstanding
Public finance$261,904 $261,848 $250,429 $250,375 
Structured finance11,356 10,930 11,603 11,177 
Total financial guaranty$273,260 $272,778 $262,032 $261,552 

In addition to amounts shown in the table above, the Company had outstanding commitments to provide financial guaranties of $2.0 billion of public finance gross par and $2.2 billion of structured finance gross par as of June 30, 2025. These commitments are contingent on the satisfaction of all conditions set forth in the financial guaranties and may expire unused or be canceled at the counterparty’s request. Therefore, the total commitment amount does not necessarily reflect actual future guaranteed amounts.

Financial Guaranty Portfolio by Internal Rating
As of June 30, 2025
 Public Finance
U.S.		Public Finance
Non-U.S.		Structured Finance
U.S.		Structured Finance
Non-U.S.		Total
Rating
Category		Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%
 (dollars in millions)
AAA$23 — %$1,966 3.7 %$486 6.0 %$521 18.8 %$2,996 1.1 %
AA17,572 8.5 2,872 5.4 5,314 65.1 67 2.5 25,825 9.5 
A118,435 56.7 12,888 24.3 761 9.3 2,096 75.8 134,180 49.2 
BBB70,136 33.6 28,314 53.3 739 9.0 80 2.9 99,269 36.4 
BIG2,550 1.2 7,092 13.3 866 10.6 — — 10,508 3.8 
Total net par outstanding$208,716 100.0 %$53,132 100.0 %$8,166 100.0 %$2,764 100.0 %$272,778 100.0 %
Financial Guaranty Portfolio by Internal Rating
As of December 31, 2024 
 Public Finance
U.S.		Public Finance
Non-U.S.		Structured Finance
U.S.		Structured Finance
Non-U.S.		Total
Rating
Category		Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%
 (dollars in millions)
AAA$25 — %$2,074 4.2 %$512 6.1 %$470 17.3 %$3,081 1.2 %
AA17,664 8.8 2,854 5.8 5,386 63.7 58 2.1 25,962 9.9 
A111,502 55.5 13,046 26.5 952 11.3 2,117 77.7 127,617 48.8 
BBB69,096 34.3 24,828 50.5 707 8.3 79 2.9 94,710 36.2 
BIG2,888 1.4 6,398 13.0 896 10.6 — — 10,182 3.9 
Total net par outstanding$201,175 100.0 %$49,200 100.0 %$8,453 100.0 %$2,724 100.0 %$261,552 100.0 %

Financial Guaranty Portfolio
Components of BIG Net Par Outstanding
As of June 30, 2025
 BIG Net Par OutstandingNet Par
 BIG 1BIG 2BIG 3Total BIGOutstanding
   (in millions)  
Public finance:
U.S. public finance$1,410 $471 $669 $2,550 $208,716 
Non-U.S. public finance 4,061 3,031 — 7,092 53,132 
Public finance5,471 3,502 669 9,642 261,848 
Structured finance:
U.S. RMBS83 29 679 791 1,436 
Other structured finance— 19 56 75 9,494 
Structured finance83 48 735 866 10,930 
Total$5,554 $3,550 $1,404 $10,508 $272,778 

Financial Guaranty Portfolio
Components of BIG Net Par Outstanding
As of December 31, 2024
 BIG Net Par OutstandingNet Par
 BIG 1BIG 2BIG 3Total BIGOutstanding
   (in millions)  
Public finance:
U.S. public finance$2,119 $137 $632 $2,888 $201,175 
Non-U.S. public finance 5,879 519 — 6,398 49,200 
Public finance7,998 656 632 9,286 250,375 
Structured finance:
U.S. RMBS104 29 686 819 1,507 
Other structured finance— 21 56 77 9,670 
Structured finance104 50 742 896 11,177 
Total$8,102 $706 $1,374 $10,182 $261,552 
Financial Guaranty Portfolio
BIG Net Par Outstanding and Number of Risks
As of June 30, 2025
 Net Par Outstanding
Number of Risks (2)
DescriptionFinancial
Guaranty
Insurance (1)		Credit
Derivatives		TotalFinancial
Guaranty
Insurance (1)		Credit
Derivatives		Total
 (dollars in millions)
BIG 1$5,528 $26 $5,554 91 3 94 
BIG 23,546 4 3,550 13 1 14 
BIG 31,404 — 1,404 98 3 101 
Total BIG$10,478 $30 $10,508 202 7 209 

 Financial Guaranty Portfolio
BIG Net Par Outstanding and Number of Risks
As of December 31, 2024
 Net Par Outstanding
Number of Risks (2)
DescriptionFinancial
Guaranty
Insurance (1)		Credit
Derivatives		TotalFinancial
Guaranty
Insurance (1)		Credit
Derivatives		Total
 (dollars in millions)
BIG 1$8,074 $28 $8,102 98 3 101 
BIG 2702 4 706 12 1 13 
BIG 31,374 — 1,374 97 3 100 
Total BIG$10,150 $32 $10,182 207 7 214 
_____________________
(1)    Includes FG VIEs.
(2)    A risk represents the aggregate of the financial guaranty policies that share the same revenue source for purposes of making debt service payments

Specialty Business

The Company also guarantees specialty business with risk profiles similar to those of its structured finance exposures written in financial guaranty form.

Specialty Business
As of June 30, 2025 As of December 31, 2024
Gross ExposureNet ExposureGross ExposureNet Exposure
(in millions)
Diversified real estate (1)$2,119 $2,119 $2,004 $2,004 
Insurance reserve financings and securitizations 1,513 1,184 1,449 1,126 
Pooled corporate obligations884 884 868 868 
Aircraft residual value insurance147 87 147 87 
____________________
(1)    Excess-of-loss guaranty of a minimum amount of billed rent on a diversified portfolio of real estate properties with an internal rating of AAA that matures in 2044. This guaranty is accounted for in accordance with Accounting Standards Codification (ASC) 460, Guarantees.

All exposures in the table above are rated investment grade, except for aircraft residual value insurance gross and net exposure of $5 million as of both June 30, 2025 and December 31, 2024.
In addition to the amounts shown in the table above, as of June 30, 2025, the Company had outstanding aggregate gross and net aircraft residual value insurance commitments of $90 million and $51 million, respectively. These commitments are contingent on the satisfaction of specified conditions and may expire unused or be cancelled at the request of the respective counterparty. Therefore, the total commitment amount does not necessarily reflect actual future covered amounts.
v3.25.2
Expected Loss to be Paid (Recovered)
 6 Months Ended
Jun. 30, 2025
Expected Losses [Abstract]  
Expected Loss to be Paid (Recovered) Expected Loss to be Paid (Recovered)
 
Net expected loss to be paid (recovered) is equal to the present value of expected future cash outflows for loss and LAE payments, net of: (i) inflows for expected salvage, subrogation and other recoveries; (ii) excess spread on underlying collateral, as applicable; and (iii) amounts ceded to reinsurers. Cash flows are discounted at current risk-free rates. The Company updates the discount rates each quarter and reflects the effect of such changes in economic loss development.

Expected cash outflows and inflows are probability weighted cash flows that reflect management’s assumptions about the likelihood of all possible outcomes based on all information available to the Company. Those assumptions consider the relevant facts and circumstances and are consistent with the information tracked and monitored through the Company’s surveillance and risk-management functions. Expected loss to be paid (recovered) is important in that it represents the present value of amounts that the Company expects to pay or recover in future periods.

The Company removes any related expected loss to be paid (recovered) associated with Loss Mitigation Securities. For Loss Mitigation Securities, the difference between the purchase price of the insured obligation and the fair value excluding the value of the Company’s insurance (on the date of acquisition) is treated as a paid loss. See Note 7, Investments, and Note 9, Fair Value Measurement.

Similarly, in cases where issuers of insured obligations elected (or where an issuer and the Company negotiated) to deliver the underlying collateral, insured obligation or a new security to the Company, expected loss to be paid (recovered) is adjusted accordingly and the asset received is prospectively accounted for under the applicable guidance for that instrument.

Economic loss development (benefit) represents the change in net expected loss to be paid (recovered) attributable to the effects of changes in the economic performance of insured transactions, changes in assumptions based on observed market trends, changes in discount rates, accretion of discount and the economic effects of loss mitigation efforts.

In order to effectively evaluate and manage the economics and liquidity of the entire insured portfolio, management assigns ratings and calculates expected loss to be paid (recovered), on a contract-by-contract basis, in the same manner for all its exposures regardless of form or differing accounting models. The exposure reported in Note 3, Outstanding Exposure, includes policies accounted for under various accounting models depending on the characteristics of the contract and the Company’s control rights. The three primary models are: (i) insurance, as described in Note 5, Contracts Accounted for as Insurance; (ii) derivatives, as described in Note 6, Contracts Accounted for as Credit Derivatives, and Note 9, Fair Value Measurement; and (iii) FG VIE consolidation, as described in Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles. The Company has paid and may pay future claims and/or recover past claims on policies which fall under each of these accounting models. This note provides information regarding expected loss to be paid (recovered), regardless of the accounting method.

Loss Estimation Process

The financial guaranties issued by the Company insure the credit performance of the guaranteed obligations over an extended period of time, in some cases over 30 years, and in most circumstances the Company has no right to cancel such financial guaranties. As a result, the Company’s estimate of ultimate loss on a policy is subject to significant uncertainty over the life of the insured transaction. Credit performance can be affected by, among other things, economic, fiscal and financial market and political developments over the life of most contracts. The Company guarantees payment of interest and principal when those amounts are scheduled to be paid and cannot be required to pay on an accelerated basis, although in certain circumstances it may elect to do so. When obligors default on their obligations, the Company is only required to pay the shortfall between the debt service due in any given period and the amount paid by the obligors.

The Company does not use traditional actuarial approaches to determine its estimates of expected losses. The determination of expected loss to be paid (recovered) is an inherently subjective process involving numerous estimates, assumptions and judgments by management, using both internal and external data sources with regard to frequency and severity of loss, economic projections, governmental actions, legal developments, negotiations, recovery rates, delinquency and prepayment rates, timing of cash flows, and other factors that affect credit performance. These estimates, assumptions and judgments, and the factors on which they are based, may change materially over a reporting period, and have a material effect on the Company’s financial statements. Each quarter, the Company may revise its scenarios and update its assumptions, including the probability weightings of its scenarios, based on public as well as nonpublic information obtained through its surveillance and loss mitigation activities.
Changes over a reporting period in the Company’s loss estimates for public finance obligations supported by specified revenue streams, such as revenue bonds issued by toll road authorities, municipal and regulated utilities, airport authorities or healthcare systems, generally will be influenced by factors impacting their revenue levels, such as changes in demand; changing demographics; and other economic and regulatory factors, especially if the obligations do not benefit from financial support from other tax revenues or governmental authorities. Changes over a reporting period in the Company’s loss estimates for its tax-supported and general obligation public finance transactions generally will be influenced by factors impacting the public issuer’s ability and willingness to pay, such as changes in the economy and population of the relevant area; changes in the issuer’s ability or willingness to raise taxes, decrease spending or receive federal assistance; new legislation; rating agency actions that affect the issuer’s ability to refinance maturing obligations or issue new debt at a reasonable cost; changes in the priority and amount of pensions and other obligations owed to workers; developments in restructuring or settlement negotiations; and other political and economic factors. Changes in loss estimates may also be affected by the Company’s loss mitigation efforts and other variables.

Changes in the Company’s loss estimates for structured finance transactions can be influenced by the performance of the assets supporting those transactions, by macroeconomic factors and by specific actions taken to mitigate losses. For example, changes over a reporting period in the Company’s loss estimates for its RMBS transactions may be influenced by factors such as the level and timing of loan defaults experienced, changes in housing prices, discount rates and results from the Company’s loss mitigation activities. In recent years, expected losses to be paid (recovered) for U.S. RMBS have also been affected by changes in the amount of recoveries on first lien deferred principal balances and second lien charged-off loans.

Actual losses will ultimately depend on future events, transaction performance or other factors that are difficult to predict. As a result, the Company’s current projections of certain losses may be subject to considerable uncertainty and may not reflect the Company’s ultimate claims paid.

In some instances, the terms of the Company’s policy or the terms of certain workout orders and resolutions give the Company the option to pay principal losses that have been recognized in the transaction but which it is not yet required to pay, thereby reducing the amount of guaranteed interest due in the future. The Company has sometimes exercised this option, which results in an acceleration of cash outflows but reduces overall losses paid.

The Company’s reserve committees estimate expected loss to be paid (recovered) by reviewing analyses that consider various scenarios with corresponding probabilities assigned to them. Depending upon the characteristics of the risk, the Company’s view of the potential size of any loss and the information available to the Company, that analysis may be based upon individually developed cash flow models, internal credit rating assessments, sector-driven loss severity assumptions and/or judgmental assessments. In the case of its assumed business, the Company may conduct its own analysis or use loss estimates provided by ceding insurers. Each quarter, the Company’s reserve committees review and refresh their loss projection assumptions, scenarios and the probabilities they assign to those scenarios based on developments during the period and their view of future performance.

Net Expected Loss to be Paid (Recovered) and Net Economic Loss Development (Benefit)
by Accounting Model
Net Expected Loss to be Paid (Recovered)Net Economic Loss Development (Benefit)
As ofSecond QuarterSix Months
Accounting ModelJune 30, 2025December 31, 20242025202420252024
 (in millions)
Insurance (see Note 5)
$171 $90 $38 $19 $86 $12 
FG VIEs (see Note 8)
16 16 (1)1 (1)1 
Credit derivatives (see Note 6)
(1)— (1)1 (64)1 
Total
$186 $106 $36 $21 $21 $14 
The following tables present a roll forward of net expected loss to be paid (recovered) for all contracts, which are accounted for under one of the following accounting models: insurance, derivative or FG VIE. The Company used risk-free rates for U.S. and non-U.S. currencies that ranged from 1.84% to 5.48% with a weighted average of 4.15% as of June 30, 2025 and 1.98% to 5.22% with a weighted average of 4.38% as of December 31, 2024.

Net Expected Loss to be Paid (Recovered)
Roll Forward
 Second QuarterSix Months
2025202420252024
 (in millions)
Net expected loss to be paid (recovered), beginning of period$150 $433 $106 $505 
Economic loss development (benefit) due to:
Accretion of discount2 4 3 9 
Changes in discount rates1 1 6 (2)
Changes in timing and assumptions33 16 12 7 
Total economic loss development (benefit) (1)36 21 21 14 
Net (paid) recovered losses (1)— (7)59 (72)
Net expected loss to be paid (recovered), end of period$186 $447 $186 $447 
____________________
(1)    Six months 2025 amounts include recoveries recognized in connection with the resolution of the LBIE litigation. See Note 6, Contracts Accounted for as Credit Derivatives, for additional information.

Net Expected Loss to be Paid (Recovered)
Roll Forward by Sector
Second Quarter 2025
SectorNet Expected Loss to be Paid (Recovered) as of March 31, 2025Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2025
 (in millions)
Public finance:
U.S. public finance$35 $24 $(6)$53 
Non-U.S. public finance 122 18 (1)139 
Public finance157 42 (7)192 
Structured finance:   
U.S. RMBS(37)(6)8 (35)
Other structured finance30 — (1)29 
Structured finance(7)(6)7 (6)
Total$150 $36 $— $186 
Second Quarter 2024
SectorNet Expected Loss to be Paid (Recovered) as of March 31, 2024Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2024
 (in millions)
Public finance:
U.S. public finance$378 $12 $(16)$374 
Non-U.S. public finance 20 17 — 37 
Public finance398 29 (16)411 
Structured finance:   
U.S. RMBS(2)(10)12 — 
Other structured finance37 2 (3)36 
Structured finance35 (8)9 36 
Total$433 $21 $(7)$447 

Six Months 2025
SectorNet Expected Loss to be Paid (Recovered) as of December 31, 2024Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2025
 (in millions)
Public finance:
U.S. public finance$18 $53 $(18)$53 
Non-U.S. public finance 98 42 (1)139 
Public finance116 95 (19)192 
Structured finance:   
U.S. RMBS(43)(9)17 (35)
Other structured finance (2)33 (65)61 29 
Structured finance(10)(74)78 (6)
Total$106 $21 $59 $186 

Six Months 2024
SectorNet Expected Loss to be Paid (Recovered) as of December 31, 2023Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2024
 (in millions)
Public finance:
U.S. public finance$398 $9 $(33)$374 
Non-U.S. public finance 20 17 — 37 
Public finance418 26 (33)411 
Structured finance:   
U.S. RMBS43 (13)(30)— 
Other structured finance44 1 (9)36 
Structured finance87 (12)(39)36 
Total$505 $14 $(72)$447 
____________________
(1)    Amounts are net of ceded paid losses, whether or not such amounts have been settled with reinsurers. Ceded paid losses are typically settled 45 days after the end of the reporting period. Such amounts are recorded as reinsurance recoverable on paid losses in “other assets.”
(2)    Six months 2025 amounts include recoveries recognized in connection with the resolution of the LBIE litigation. See Note 6, Contracts Accounted for as Credit Derivatives, for additional information.
The tables above include (i) net LAE paid (recovered) of $5 million, $13 million, $(56) million and $20 million for second quarter 2025, second quarter 2024, six months 2025 and six months 2024, respectively, and (ii) net expected LAE to be paid of $8 million as of June 30, 2025 and $11 million as of December 31, 2024.

Public Finance

The largest components of the public finance net expected losses to be paid (recovered) relate to certain healthcare and U.K. regulated utility exposures. The total net expected loss to be paid for U.S. public finance exposures is net of expected recoveries of $258 million and $262 million as of June 30, 2025 and December 31, 2024, respectively, for certain claims that have already been paid. In second quarter 2025, the economic loss development for public finance transactions was primarily attributable to higher expected losses for certain healthcare and U.K. regulated utility exposures. In six months 2025, the economic loss development for public finance transactions was primarily attributable to higher expected losses for certain U.K. regulated utility exposures, Puerto Rico Electric Power Authority (PREPA) and certain healthcare exposures.

U.K. Regulated Utility and European Renewable Energy

As of June 30, 2025, the Company insures net par of £3.8 billion (or $5.3 billion) of BIG U.K. regulated utility and €792 million (or $934 million) of BIG European renewable energy transactions that are experiencing operational strain.

As of June 30, 2025, the Company had $2.4 billion of net par outstanding of Thames Water Utilities Finance PLC (Thames), a BIG U.K. regulated utility. All of the Company’s insured exposure to Thames is to senior Class A debt at the regulated operating company level and not holding company debt or subordinated debt. The Company, as part of the Thames senior Class A creditors, continues to engage the Water Services Regulation Authority (the governmental body responsible for the economic regulation of the privatized water and sewage industry in England and Wales, or Ofwat), His Majesty’s Treasury, and other members of the U.K. Government in restructuring negotiations, and is taking other actions to work out this insured credit. The first scheduled principal payment that comes due under the Company’s Thames exposure is in 2037. The Company is actively working to mitigate losses and reduce risk.

Following sustained controversy about the failures in the wider water sector, the U.K. Government formed an independent commission to conduct a wide ranging review (known as the Cunliffe review) in recognition of the need for fundamental reform. It is the most comprehensive review since the industry’s privatization and covers a wide range of topics, including regulatory reform, company governance, long term investment, the legislative framework and overall strategy and planning in the water system. Key amongst the many recommendations in its final report was the overhaul of the regulatory system and the consolidation of the U.K. water utility regulators into a single regulator. Some of the recommendations, if implemented, are expected to improve the financial condition of the Company’s insured obligations. The U.K. Government is reviewing the report.

Healthcare

Certain BIG healthcare exposures are experiencing rising labor costs due to competition for labor and shortages in certain markets. Additionally, inflation has increased the cost of medical supplies, medical equipment and pharmacy products, while U.S. hospitals with large Medicaid and Medicare payor mixes have not seen reimbursement levels keep pace with rising costs and may be further impacted by recent cuts to Medicaid funding that will go into effect in 2026 and 2027. The combined revenue and expense challenges have led to cash flow and liquidity stress in certain transactions. In addition, certain credits are struggling to make, or are in dispute as to who should fund, necessary capital expenditures and improvements to facilities.

Puerto Rico

All of the Company’s exposure to the Commonwealth of Puerto Rico (Puerto Rico or the Commonwealth) and its various authorities and public corporations is rated BIG. The Company’s Puerto Rico net par and net debt service outstanding as of June 30, 2025 were $637 million and $742 million, respectively, compared with net par and net debt service outstanding as of December 31, 2024 of $637 million and $756 million, respectively.

Defaulting Puerto Rico Exposure

As of June 30, 2025, the Company’s only unresolved outstanding insured Puerto Rico exposure subject to a payment default was PREPA. As of June 30, 2025, the Company’s PREPA net par and debt service outstanding were $532 million and
$617 million, respectively. As of December 31, 2024, the Company’s PREPA net par and debt service outstanding were $532 million and $629 million, respectively. The PREPA bonds are secured by a lien on the net revenues of the electric system. The default of PREPA’s obligations has been the subject of restructuring negotiations, mediation and litigation since 2014.

Puerto Rico Litigation

Currently, there are numerous legal actions relating to defaults by PREPA on debt service payments and related matters and the Company is a party to a number of them. The Company has taken legal action, and may take additional legal action in the future, to enforce its rights with respect to the remaining Puerto Rico obligations it still insures. In addition, the Commonwealth, the Financial Oversight and Management Board (FOMB) established under the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA) and others have taken legal action naming the Company as a party.

Certain legal actions involving the Company and relating to defaults by the Commonwealth and its authorities and public corporations were resolved in 2022. The remaining proceedings relate to PREPA’s default, including recently active proceedings and a number of proceedings that remain stayed pending the U.S. District Court for the District of Puerto Rico’s (Federal District Court of Puerto Rico) determination on the FOMB PREPA Plan, as described below in PREPA – Current Proceedings, Plan of Adjustment and Disclosure Statement.

PREPA – Current Proceedings

Lien Challenge Adversary Proceeding and Appeal. On March 22, 2023, the Federal District Court of Puerto Rico held that the PREPA bondholders had perfected liens only in revenues that had been deposited in the sinking fund established under the PREPA trust agreement and related funds over which the bond trustee had control but did not have a lien on future revenues until deposited in those funds. The Federal District Court of Puerto Rico also held, however, that PREPA bondholders do have recourse under the PREPA trust agreement in the form of an unsecured net revenue claim. At that time, the Federal District Court of Puerto Rico declined to value the unsecured net revenue claim or the method for its determination. The ultimate value of the claim, according to the Federal District Court of Puerto Rico, should be determined through a claim estimation proceeding.

On June 26, 2023, the Federal District Court of Puerto Rico issued an opinion and order estimating the unsecured net revenue claim to be $2.4 billion as of July 3, 2017. Subject to their appeal of the Federal District Court of Puerto Rico’s ruling on the scope of lien, PREPA bondholders had sought an unsecured net revenue claim of approximately $8.5 billion.

On November 28, 2023, the Federal District Court of Puerto Rico finally adjudicated all claims and counterclaims in the PREPA lien challenge adversary proceeding.

On November 30, 2023, the Company filed a notice of appeal with the U.S. Court of Appeals for the First Circuit (First Circuit) for portions of the March 22, 2023 decision, including the lien scope ruling and the need for a claim estimation proceeding, as well as the June 26, 2023 claim estimation ruling. On June 12, 2024, the First Circuit held that bondholders have a claim against PREPA for the full principal amount of the bonds, plus matured interest, that there was no need for a claim estimation proceeding because the PREPA bonds specify the amount that PREPA legally owes bondholders, and that the claim is secured by PREPA’s net revenues, including future net revenues.

The FOMB asked the First Circuit to reconsider its determination that bondholders’ security interest in future net revenues is perfected twice, once on June 26, 2024, and again on November 27, 2024. The First Circuit denied both requests, with the most recent denial published on December 31, 2024.

Plan of Adjustment and Disclosure Statement. The FOMB filed an initial plan of adjustment and disclosure statement for PREPA with the Federal District Court of Puerto Rico on December 16, 2022. On November 17, 2023, the Federal District Court of Puerto Rico approved a supplemental disclosure statement (Supplemental Disclosure Statement) relating to the PREPA plan of adjustment filed by the FOMB (as amended or modified from time to time). On February 16, 2024, the FOMB filed with the Federal District Court of Puerto Rico the Modified Fourth Amended Title III Plan of Adjustment (FOMB PREPA Plan). The Supplemental Disclosure Statement and the FOMB PREPA Plan are based on the PREPA fiscal plan certified by the FOMB on June 23, 2023. The confirmation hearing for the FOMB PREPA Plan occurred in March 2024. At the end of the hearing, the Federal District Court of Puerto Rico stated that it was taking the confirmation of the FOMB PREPA Plan under advisement.
In light of the decision by the First Circuit described above in Lien Challenge Adversary Proceeding and Appeal, in March 2025, the Federal District Court of Puerto Rico ordered the parties to propose an agreed proposal or competing proposals for a litigation schedule for resolving certain key issues related to PREPA bondholders’ claims prior to a further FOMB PREPA Plan confirmation hearing. On March 13, 2025, the parties submitted competing proposals. At an Omnibus Hearing held on March 19, 2025, the Federal District Court of Puerto Rico indicated that it would allow the bondholders, including the Company, to litigate an administrative expense claim based on PREPA’s post-petition use of the bondholders’ collateral and that the parties could revisit the possibility of litigating other key issues at a later time. On July 23, 2025, the Federal District Court of Puerto Rico heard oral arguments on the administrative expense claim, and ordered the parties to submit a discovery schedule by August 18, 2025 and a joint status report by August 25, 2025.

As directed by the Federal District Court of Puerto Rico at the March 19, 2025 Omnibus Hearing, the FOMB filed on March 28, 2025 its Fifth Amended Title III Plan of Adjustment and related Disclosure Statement for informational purposes of the parties.

FOMB Board. On August 5, 2025, the FOMB announced that the U.S. administration terminated five of its seven board members.

PREPA Mediation and Stayed Proceedings

On July 10, 2024, the Federal District Court of Puerto Rico ordered the FOMB and bondholders to resume mediation and instituted a 60-day stay of all PREPA litigation. The Federal District Court of Puerto Rico most recently extended the PREPA litigation stay indefinitely and the term of mediation through October 31, 2025. Following the Omnibus Hearing held on March 19, 2025, the Federal District Court of Puerto Rico partially lifted the PREPA litigation stay, and indicated that the PREPA litigation stay otherwise remains in place for the time being.

The following proceedings involving the Company and relating to the default by PREPA remain stayed in the Federal District Court of Puerto Rico pending its determination on the FOMB PREPA Plan:

•    The Company’s motion to compel the FOMB to certify the PREPA restructuring support agreement executed in May 2019 (PREPA RSA) for implementation under Title VI of PROMESA.

•    The Company’s motion to dismiss PREPA’s Title III Bankruptcy proceeding or, in the alternative, to lift the PROMESA automatic stay to allow for the appointment of a receiver.

•    Adversary complaint by certain fuel line lenders of PREPA against the Company, among other parties, including various PREPA bondholders and bond insurers, seeking, among other things, declarations that there is no valid lien securing the PREPA bonds unless and until such lenders are paid in full, as well as orders subordinating the PREPA bondholders’ lien and claims to such lenders’ claims, and declaring the PREPA RSA null and void.

•    The Company’s motion to intervene in a lawsuit by the retirement system for PREPA employees against, among others, the FOMB, PREPA, the Commonwealth, and the trustee for PREPA bondholders seeking, among other things, declarations that there is no valid lien securing the PREPA bonds other than on amounts in the sinking funds, and order subordinating the PREPA bondholders’ lien and claim to the PREPA employees’ claims.

Non-Defaulting Puerto Rico Exposure

As of both June 30, 2025 and December 31, 2024, the Company had approximately $92 million of remaining non-defaulting Puerto Rico net par outstanding related primarily to the Puerto Rico Municipal Finance Agency (MFA). The MFA exposures are secured by a lien on local tax revenues and remain current on debt service payments.

U.S. RMBS Loss Projections
 
The Company projects losses on its insured U.S. RMBS on a transaction-by-transaction basis by projecting the performance of the underlying pool of mortgages over time and then applying the structural features (e.g., payment priorities and tranching) of the RMBS and any expected representation and warranty recoveries/payables to the projected performance of the collateral over time. The resulting projected claim payments or reimbursements are then discounted using risk-free rates.
The rate at which borrowers from a particular delinquency category (number of monthly payments behind) eventually default is referred to as the “liquidation rate.” The Company derives its liquidation rate assumptions from observed roll rates, which are the rates at which loans progress from one delinquency category to the next and eventually to default and liquidation. The Company applies liquidation rates to the mortgage loan collateral in each delinquency category and makes certain timing assumptions to project near-term mortgage collateral defaults from loans that are currently delinquent. Each quarter the Company reviews recent third party data and (if necessary) adjusts its liquidation rates based on its observations.

Performing borrowers that eventually default will also need to progress through delinquency categories before any defaults occur. The Company projects how many of the currently performing loans will default and when they will default, by first converting the projected near term defaults of delinquent borrowers derived from liquidation rates into a vector of conditional default rates (CDR), then projecting how the CDR will develop over time. While the Company uses the liquidation rates to project defaults of non-performing loans (including current loans that were recently modified or delinquent), it projects defaults on presently current loans by applying a CDR curve. The start of that CDR curve is based on the defaults the Company projects will emerge from currently nonperforming, recently nonperforming and modified loans. The total amount of expected defaults from the non-performing loans is translated into a constant CDR (i.e., the CDR plateau), which, if applied for each of the next 36 months, results in the projection of the defaults that are expected to emerge from the various delinquency categories. The CDR thus calculated individually on the delinquent collateral pool for each RMBS is then used as the starting point for the CDR curve used to project defaults of the presently performing loans.

In order to derive collateral pool losses from the collateral pool defaults it has projected, the Company applies a loss severity. The loss severity is the amount of loss the transaction experiences on a defaulted loan after the application of net proceeds from the disposal of the underlying property. The Company projects loss severities by sector and vintage based on its experience to date. The Company continues to update its evaluation of these loss severities as new information becomes available.

The Company incorporates a recovery assumption into its loss modeling to reflect observed trends in recoveries of deferred principal balances of modified first lien loans that had been previously written off. For transactions where the Company has detailed loan information, the Company assumes that a percentage of the deferred loan balances will eventually be recovered upon sale of the collateral or refinancing of the loans.

When a second lien loan defaults, there is generally a low recovery. The Company assumed that it will generally recover 2% of future defaulting collateral at the time of charge-off. Additional amounts of post charge-off recoveries are projected to come in evenly over the next five years in instances where the Company is able to obtain information on the lien status and the second lien is still intact. The Company evaluates its assumptions quarterly based on actual recoveries of charged-off loans observed from period to period and reasonable expectations of future recoveries.

The Company projects the overall future cash flow from a collateral pool by adjusting the payment stream from the principal and interest contractually due on the underlying mortgages for the collateral losses it projects as described above; assumed voluntary prepayments; and servicer advances. The Company then applies an individual model of the structure of the transaction to the projected future cash flow from that transaction’s collateral pool to project the Company’s future claims and claim reimbursements for that individual transaction. Finally, the projected claims and reimbursements are discounted using risk-free rates. The Company runs several sets of assumptions regarding mortgage collateral performance, or scenarios, which are probability weighted.

Each period the Company reviews the assumptions it uses to make RMBS loss projections with consideration of updates on the performance of its insured transactions (including early-stage delinquencies, late-stage delinquencies and loss severity) as well as the residential property market and economy in general. To the extent it observes changes, it makes a judgment as to whether those changes are normal fluctuations or part of a more prolonged trend.

Expected losses are also a function of the structure of the transaction, the interest rate environment and other factors.
Net Economic Loss Development (Benefit)
U.S. RMBS
Second QuarterSix Months
2025202420252024
 (in millions)
First lien U.S. RMBS$(4)$(2)$(2)$(3)
Second lien U.S. RMBS(2)(8)(7)(10)
Total U.S. RMBS economic loss development (benefit)$(6)$(10)$(9)$(13)

First Lien U.S. RMBS Loss Projections: Alt-A, Prime, Option ARM and Subprime

The majority of projected losses in first lien U.S. RMBS transactions are expected to come from non-performing mortgage loans (those that are or have recently been two or more payments behind, have been modified, are in foreclosure or have been foreclosed upon). Collateral losses are projected to be offset by recoveries on deferred principal balances.

In the base scenario, the Company assumes the final CDR will be reached one year after the 36-month CDR plateau period. The Company then assumes that loss severities begin returning to levels consistent with underwriting assumptions beginning after the initial 18-month period, staying or trending, as applicable, to 40% in the base scenario over 2.5 years.
The following table shows the range as well as the average, weighted by outstanding net insured par, for key assumptions used in the calculation of expected loss to be paid (recovered) for individual transactions for vintage 2004 - 2008 first lien U.S. RMBS.

Key Assumptions in Base Scenario Expected Loss Estimates
First Lien U.S. RMBS
 As of June 30, 2025As of December 31, 2024
RangeWeighted AverageRangeWeighted Average
Plateau CDR0.0 %-8.4%3.2%0.0 %-8.8%3.4%
Final CDR0.0 %-0.4%0.2%0.0 %-0.4%0.2%
Initial loss severity40.0 %-50.0%43.0%40.0 %-50.0%43.1%
Future recovery for deferred principal balances50%50%
Liquidation rates (1)20 %-50%20 %-50%
____________________
(1)    The liquidation rates range from current but recently delinquent loans to foreclosed loans.

Certain transactions benefit from excess spread (the amount by which the interest paid by the borrowers on the underlying loan exceeds the amount of interest owed on the insured obligations) when they are supported by large portions of fixed rate assets (either originally fixed or modified to be fixed) but have insured floating rate debt linked to the Secured Overnight Finance Rate (SOFR). An increase in projected SOFR decreases excess spread, while lower SOFR projections result in higher excess spread.

The Company establishes its scenarios by increasing and decreasing the periods and levels of stress from those used in the base scenario. In the Company’s most stressful scenario where 20% of deferred principal balances are assumed to be recovered, loss severities experience stress for nine years and the initial ramp-down of the CDR was assumed to occur over 16 months, expected loss to be paid would increase from current projections by approximately $32 million for all first lien U.S. RMBS transactions. In the Company’s least stressful scenario where 80% of deferred principal balances are assumed to be recovered, the CDR plateau was six months shorter (30 months, effectively assuming that liquidation rates would improve) and the CDR recovery was more pronounced (including an initial ramp-down of the CDR over eight months), expected loss to be paid would decrease from current projections by approximately $30 million for all first lien U.S. RMBS transactions.

Second Lien U.S. RMBS Loss Projections

Second lien U.S. RMBS transactions include both home equity lines of credit (HELOC) and closed end second lien mortgages. The Company believes the most important driver of its projected second lien U.S. RMBS losses is the performance
of its HELOC transactions. The Company believes the primary variable affecting its expected losses in second lien U.S. RMBS transactions is the amount and timing of future losses or recoveries in the collateral pool supporting the transactions (including recoveries from previously charged-off loans).

For the base scenario, the CDR plateau is held constant for 36 months. Once the plateau period ends, the CDR is assumed to trend down in uniform increments for one year to its final long-term steady state CDR (5% of original plateau).

The following table shows the range as well as the average, weighted by net par outstanding, for key assumptions used in the calculation of expected loss to be paid (recovered) for individual transactions for vintage 2004 - 2008 HELOCs.

Key Assumptions in Base Scenario Expected Loss Estimates
HELOCs
As of June 30, 2025As of December 31, 2024
RangeWeighted AverageRangeWeighted Average
Plateau CDR0.2 %–6.7%2.6%0.0 %–5.6%2.2%
Final CDR0.0 %–0.3%0.1%0.0 %–0.3%0.1%
Liquidation rates (1)20 %–55%20 %–55%
Loss severity on future defaults98%98%
Projected future recoveries on previously charged-off loans50%50%
____________________
(1)    The liquidation rates range from current but recently delinquent loans to foreclosed loans.    

The Company modeled scenarios with a longer period of elevated defaults and others with a shorter period of elevated defaults as well as various levels of assumed recoveries. In the Company’s most stressful scenario, assuming 20% recoveries on charged-off loans, increasing the CDR plateau to 42 months, increasing the ramp-down by four months to 16 months (for a total stress period of 58 months) and using the ultimate prepayment rate of 15% would decrease the expected recovery by approximately $75 million for HELOC transactions. On the other hand, in the Company’s least stressful scenario, assuming 80% recoveries on charged-off loans, reducing the CDR plateau to 30 months, decreasing the length of the CDR ramp-down to eight months (for a total stress period of 38 months) and lowering the ultimate prepayment rate to 10% would increase the expected recovery by approximately $75 million for HELOC transactions.

Recovery Litigation and Dispute Resolution

In the ordinary course of their respective businesses, certain of AGL’s subsidiaries are involved in litigation or other dispute resolution with third parties to recover insurance losses paid or return benefits received in prior periods or prevent or reduce losses in the future. For example, the Company has asserted claims in a number of legal proceedings in connection with its exposure to Puerto Rico. See above for a discussion of the Company’s exposure to Puerto Rico and related recovery litigation being pursued by the Company. The impact, if any, of these and other proceedings on the amount of recoveries the Company ultimately receives and losses it pays in the future is uncertain, and the impact of any one or more of these proceedings during any quarter or year could be material to the Company’s financial statements.
v3.25.2
Contracts Accounted for as Insurance
 6 Months Ended
Jun. 30, 2025
Insurance [Abstract]  
Contracts Accounted for as Insurance Contracts Accounted for as Insurance
The portfolio of outstanding exposures discussed in Note 3, Outstanding Exposure, and Note 4, Expected Loss to be Paid (Recovered), includes contracts that are accounted for as insurance contracts, derivatives and consolidated FG VIEs. Amounts presented in this note relate only to contracts accounted for as insurance, unless otherwise specified. See Note 6, Contracts Accounted for as Credit Derivatives, for amounts related to CDS and Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles, for amounts related to consolidated FG VIEs.
Premiums

Net Earned Premiums
 Second QuarterSix Months
 2025202420252024
 (in millions)
Financial guaranty insurance:
Scheduled net earned premiums$75 $72 $151 $143 
Accelerations from refundings and terminations4 3 9 42 
Accretion of discount on net premiums receivable9 8 18 15 
Financial guaranty insurance net earned premiums88 83 178 200 
Specialty net earned premiums1 1 2 3 
  Net earned premiums$89 $84 $180 $203 

Gross Premium Receivable,
Net of Commissions Payable on Assumed Business and Allowance for Credit Losses
Roll Forward
 Six Months
 20252024
 (in millions)
Beginning of year$1,551 $1,468 
Less: Specialty insurance premium receivable1 1 
Financial guaranty insurance premiums receivable1,550 1,467 
New business and supplemental premiums, net of commissions124 220 
Gross premiums received, net of commissions (154)(188)
Adjustments:
Changes in the expected term and debt service assumptions(7)(29)
Accretion of discount, net of commissions on assumed business17 11 
Foreign exchange gain (loss) on remeasurement101 (10)
Change in allowance for credit losses(1)— 
Financial guaranty insurance premium receivable1,630 1,471 
Specialty insurance premium receivable1 1 
June 30,$1,631 $1,472 

Approximately 69% of gross premiums receivable, net of commissions payable, as of both June 30, 2025 and December 31, 2024, are denominated in currencies other than the U.S. dollar, primarily the pound sterling and euro.
 
The timing and cumulative amount of actual collections and net earned premiums may differ from those of expected collections and of expected net earned premiums in the table below due to factors such as foreign exchange rate fluctuations, counterparty collectability issues, accelerations, commutations, restructurings, changes in the consumer price indices, changes in expected lives and new business.
Financial Guaranty Insurance
Expected Future Premium Collections and Earnings
 As of June 30, 2025
Future Net Premiums to be Earned (2)
Future Premiums
to be Collected (1)		Earnings of Deferred Premium RevenueAccretion of
Discount		Total
 (in millions)
2025 (July 1 - September 30)$76 $77 $10 $87 
2025 (October 1 - December 31)43 76 10 86 
Subtotal 2025119 153 20 173 
2026141 286 37 323 
2027132 267 34 301 
2028125 253 32 285 
2029113 236 30 266 
2030-2034446 939 127 1,066 
2035-2039342 615 92 707 
2040-2044262 405 61 466 
2045-2049198 268 35 303 
2050-2054121 139 15 154 
After 2054129 108 13 121 
Total$2,128 $3,669 $496 $4,165 
____________________
(1)    Net of assumed commissions payable.
(2)    Net of reinsurance.

Selected Information for Financial Guaranty Insurance Policies with Premiums Paid in Installments
As of
 June 30, 2025December 31, 2024
 (dollars in millions)
Premiums receivable, net of commissions payable$1,630$1,550
Deferred premium revenue1,8701,901
Weighted-average risk-free rate used to discount premiums2.5%2.5%
Weighted-average period of premiums receivable (in years)12.112.3

Insurance Contracts’ Losses Reported in the Consolidated Financial Statements

Loss reserves and salvage and subrogation recoverable are discounted at risk-free rates for financial guaranty insurance obligations that ranged from 1.84% to 5.48% with a weighted average of 4.16% as of June 30, 2025 and 1.98% to 5.22% with a weighted average of 4.38% as of December 31, 2024.
The following table provides information on net reserve (salvage), which includes loss and LAE reserves and salvage and subrogation recoverable, both net of reinsurance.

Net Reserve (Salvage) by Sector
As of
SectorJune 30, 2025December 31, 2024
 (in millions)
Public finance:
U.S. public finance$19 $(14)
Non-U.S. public finance 25 5 
Public finance44 (9)
Structured finance:
U.S. RMBS(138)(151)
Other structured finance28 33 
Structured finance(110)(118)
Total$(66)$(127)

The table below provides a reconciliation of net expected loss to be paid (recovered) for financial guaranty insurance contracts to net expected loss to be expensed. Expected loss to be paid (recovered) for financial guaranty insurance contracts differs from expected loss to be expensed due to: (i) the contra-paid, which represents the claim payments made and recoveries received that have not yet been recognized in the statements of operations; (ii) salvage and subrogation recoverable for transactions that are in a net recovery position where the Company has not yet received recoveries on claims previously paid (and therefore recognized in income but not yet received); and (iii) loss reserves that have already been established (and therefore expensed but not yet paid).

Reconciliation of Net Expected Loss to be Paid (Recovered) to Net Expected Loss to be Expensed
Financial Guaranty Insurance Contracts
As of June 30, 2025
 (in millions)
Net expected loss to be paid (recovered) - financial guaranty insurance $170 
Contra-paid, net 23 
Salvage and subrogation recoverable, net380 
Loss and LAE reserve - financial guaranty insurance contracts, net of reinsurance(313)
Net expected loss to be expensed (present value)$260 

The following table provides a schedule of the expected timing of financial guaranty net expected losses to be expensed. The amount and timing of actual loss and LAE may differ from the estimates shown below due to factors such as accelerations, commutations, changes in expected lives and updates to loss estimates. This table excludes amounts related to FG VIEs, which are eliminated in consolidation.
Net Expected Loss to be Expensed
Financial Guaranty Insurance Contracts
 As of June 30, 2025
 (in millions)
2025 (July 1 - September 30)$3 
2025 (October 1 - December 31)4 
Subtotal 20257 
202614 
202717 
202819 
202919 
2030-203480 
2035-203939 
2040-204420 
2045-204926 
2050-205417 
After 20542 
Net expected loss to be expensed (present value)260 
Future expected accretion36 
Total expected future loss and LAE$296 
 
The following table presents the loss and LAE (benefit) reported in the condensed consolidated statements of operations by sector for insurance contracts.

Loss and LAE (Benefit) by Sector
 Second QuarterSix Months
Sector2025202420252024
(in millions)
Public finance:
U.S. public finance$15 $1 $51 $(1)
Non-U.S. public finance14 — 20 — 
Public finance29 1 71 (1)
Structured finance:
U.S. RMBS$— $(5)— (3)
Other structured finance(1)2 (3)1 
Structured finance(1)(3)(3)(2)
Loss and LAE (benefit)$28 $(2)$68 $(3)
The following tables provide information on financial guaranty insurance contracts categorized as BIG.

Financial Guaranty Insurance
BIG Transaction Loss Summary
As of June 30, 2025
 GrossNet Total BIG
 BIG 1BIG 2BIG 3Total BIG
(dollars in millions)
Number of risks (1)91 13 98 202 202 
Remaining weighted-average period (in years)11.624.55.516.816.8
Outstanding exposure:    
Par$5,534 $3,546 $1,412 $10,492 $10,478 
Interest3,395 4,899 392 8,686 8,684 
Total (2)$8,929 $8,445 $1,804 $19,178 $19,162 
Expected cash outflows (inflows) $129 $2,659 $1,342 $4,130 $4,121 
Potential recoveries (3)(367)(2,412)(1,146)(3,925)(3,915)
Subtotal(238)247 196 205 206 
Discount45 (63)(18)(36)(36)
Expected losses to be paid (recovered)$(193)$184 $178 $169 $170 
Deferred premium revenue$198 $142 $112 $452 $452 
Reserves (salvage)$(235)$76 $91 $(68)$(67)
Financial Guaranty Insurance
BIG Transaction Loss Summary
As of December 31, 2024
 GrossNet Total BIG
 BIG 1BIG 2BIG 3Total BIG
(dollars in millions)
Number of risks (1)98 12 97 207 207 
Remaining weighted-average period (in years)18.68.86.116.616.6
Outstanding exposure: 
Par$8,080 $702 $1,382 $10,164 $10,150 
Interest7,546 371 421 8,338 8,335 
Total (2)$15,626 $1,073 $1,803 $18,502 $18,485 
Expected cash outflows (inflows) $4,016 $342 $1,307 $5,665 $5,656 
Potential recoveries (3)(4,201)(293)(1,132)(5,626)(5,616)
Subtotal(185)49 175 39 40 
Discount43 29 (23)49 49 
Expected losses to be paid (recovered)$(142)$78 $152 $88 $89 
Deferred premium revenue$333 $49 $116 $498 $498 
Reserves (salvage)$(226)$35 $62 $(129)$(128)
____________________
(1)A risk represents the aggregate of the financial guaranty policies that share the same revenue source for purposes of making debt service payments.
(2)Includes amounts related to FG VIEs.
(3)Represents expected inflows from future payments by obligors pursuant to restructuring agreements, settlements, excess spread on any underlying collateral and other estimated recoveries. Potential recoveries also include recoveries on certain investment grade credits, related mainly to exposures that were previously BIG and for which claims have been paid in the past.
v3.25.2
Contracts Accounted for as Credit Derivatives
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Contracts Accounted for as Credit Derivatives Contracts Accounted for as Credit Derivatives
 
The Company’s credit derivatives primarily consist of insured CDS contracts. The Company does not enter into CDS contracts with the intent to trade these contracts and may not unilaterally terminate a CDS contract absent an event or default or termination event that entitles the Company to terminate the contract. The Company and its counterparties have negotiated the termination of certain contracts from time to time. Transactions are generally terminated for an amount that approximates the present value of future premiums or a negotiated amount, rather than fair value.

The terms of the Company’s CDS contracts differ from more standardized credit derivative contracts sold by companies outside the financial guaranty industry. The non-standard terms generally include the absence of collateral support agreements or immediate settlement provisions, and the Company’s insured exposure benefits from relatively high attachment points or other protections.

The Company’s credit derivatives are generally governed by International Swaps and Derivatives Association, Inc. documentation and have certain characteristics that differ from financial guaranty insurance contracts. For example, the Company’s control rights with respect to a reference obligation under a CDS may be more limited than when the Company issues a financial guaranty insurance contract. In addition, there are more circumstances under which the Company may be obligated to make payments. Similar to a financial guaranty insurance contract, the Company would be obligated to pay if the obligor failed to make a scheduled payment of principal or interest in full. In certain credit derivative transactions, the Company also specifically agreed to pay if the obligor were to become bankrupt or if the reference obligation were restructured. Furthermore, in certain credit derivative transactions, the Company may be required to make a payment due to an event that is unrelated to the performance of the obligation referenced in the credit derivative. If events of default or termination events specified in the credit derivative documentation were to occur, the non-defaulting or the non-affected party, which may be either the Company or the counterparty, depending upon the circumstances, may decide to terminate a credit derivative prior to
maturity. In that case, the Company may be required to make a termination payment to its swap counterparty upon such termination. Absent such an event of default or termination event, the Company may not unilaterally terminate a credit derivative contract; however, the Company on occasion has mutually agreed to terminate certain CDS with related counterparties.

The components of the Company’s credit derivative net par outstanding by sector are presented in the table below. The estimated remaining weighted average life of credit derivatives was 9.0 years and 8.4 years as of June 30, 2025 and December 31, 2024, respectively.

 Credit Derivatives (1)
 As of June 30, 2025As of December 31, 2024
SectorNet Par
Outstanding		Net Fair Value Asset (Liability)Net Par
Outstanding		Net Fair Value Asset (Liability)
 (in millions)
U.S. public finance $1,002 $(11)$1,025 $(12)
Non-U.S. public finance 1,670 (16)2,044 (15)
U.S. structured finance145 (2)150 (2)
Non-U.S. structured finance 1,021 — 993 — 
Total$3,838 $(29)$4,212 $(29)
____________________
(1)    See Note 4, Expected Loss to be Paid (Recovered), for expected loss to be paid on credit derivatives.

Fair Value Gains (Losses) on Credit Derivatives
Second QuarterSix Months
 2025202420252024
 (in millions)
Realized gains (losses) and other settlements$— $1 $105 $— 
Net unrealized gains (losses)1 5 — 16 
Fair value gains (losses) on credit derivatives$1 $6 $105 $16 
    
On November 28, 2011, LBIE sued AG Financial Products Inc. (AGFP), a subsidiary of AGL, which, in the past, had provided credit protection to counterparties under CDS. Following defaults by LBIE under transaction documents governing CDS between LBIE and AGFP, AGFP terminated the CDS in compliance with the transaction documents and properly calculated that LBIE owed AGFP approximately $25 million in connection with the termination, whereas LBIE asserted in its complaint filed in the Supreme Court of the State of New York (the Court) that AGFP owed LBIE a termination payment of approximately $1.4 billion. Following a bench trial, on March 8, 2023, the Court rendered its decision and found in favor of AGFP. Following the exhaustion of LBIE’s appeals, the Company recognized a realized gain on credit derivatives in the first quarter of 2025 of $103 million, which represents the full satisfaction of the judgment it was awarded and its claims for attorneys’ fees, expenses and interest in connection with this litigation.

The impact of changes in credit spreads will vary based upon the volume, tenor, interest rates and other market conditions at the time these fair values are determined. In addition, since each transaction has unique collateral and structural terms, the change in fair value of each transaction may vary considerably. The fair value of credit derivative contracts generally also reflects the Company’s own credit cost based on the price to purchase credit protection on AG. The Company determines its own credit risk primarily based on quoted CDS prices traded on AG at each balance sheet date.
 
CDS Spread on AG (in basis points)
  As of June 30,
2025		 As of December 31, 2024 As of June 30,
2024		 As of December 31, 2023
Five-year CDS spread74756766
One-year CDS spread25252223
Fair Value of Credit Derivative Assets (Liabilities)
and Effect of AG Credit Spread
As of
 June 30, 2025December 31, 2024
 (in millions)
Fair value of credit derivatives before effect of AG credit spread$(58)$(64)
Plus: Effect of AG credit spread29 35 
Net fair value of credit derivatives $(29)$(29)

The fair value of CDS contracts as of June 30, 2025, before considering the benefit applicable to AG’s credit spread, is a direct result of the relatively wider credit spreads under current market conditions, sometimes related to downgrades, compared with those at the time of underwriting for certain underlying credits with longer tenor.
v3.25.2
Investments
 6 Months Ended
Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Investments Investments
The largest component of the investment portfolio is fixed-maturity securities, the majority of which are investment grade and managed by outside managers. The Company has established investment guidelines for these investment managers regarding credit quality, exposure to a particular sector and exposure to a particular obligor within a sector.

Investment Portfolio
Carrying Value
As of
June 30, 2025December 31, 2024
 (in millions)
Fixed-maturity securities, available-for-sale$6,498 $6,369 
Fixed-maturity securities, trading137 147 
Short-term investments939 1,221 
Other invested assets:
Equity method investments:
Ownership interest in Sound Point412 418 
Funds and other investments567 496 
Other16 12 
Total (1)$8,569 $8,663 
____________________
(1)    In the investment portfolio, the aggregate carrying value of Sound Point managed investments was $582 million and $569 million as of June 30, 2025 and December 31, 2024, respectively, excluding the Company’s ownership interest in Sound Point of $412 million and $418 million as of June 30, 2025 and December 31, 2024, respectively, and excluding certain investments in funds that are accounted for as CIVs.

As of June 30, 2025 and December 31, 2024, 13.4% and 12.6%, respectively, of available-for-sale fixed-maturity securities were either rated BIG or not rated, primarily consisting of Loss Mitigation Securities and collateralized loan obligation (CLO) equity tranches. As of June 30, 2025 and December 31, 2024, the carrying value of Loss Mitigation Securities was $503 million and $479 million, respectively. In July 2025, the Company’s largest Loss Mitigation Security with a carrying value of $408 million as of June 30, 2025 reached its final resolution and was paid down after liquidation of the trust assets. This paydown had no significant effect on the consolidated statement of operations. As of June 30, 2025 and December 31, 2024, the carrying value of CLO equity tranches was $238 million and $277 million, respectively. Fixed-maturity securities classified as trading securities primarily include contingent value instruments (CVIs) and are not rated.

The investment portfolio includes $923 million in alternative investments primarily consisting of (i) CLO equity securities classified as available-for-sale fixed-maturity securities, and (ii) $583 million of investments across various asset classes that are reported in other invested assets. In addition, as of June 30, 2025 and December 31, 2024, $40 million and $33 million, respectively, of the Company’s total alternative investments was invested in a Sound Point managed fund which was reported in “assets of CIVs,” “other liabilities” and “nonredeemable noncontrolling interests.” See Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles. The Company’s alternative investment commitments as of
June 30, 2025 include $567 million in unfunded commitments which together with its $923 million in funded commitments total $1.5 billion, including a $1 billion commitment to invest in Sound Point managed alternative investments, subject to certain conditions precedent. Capital allocated to alternative investments was committed to several funds pursuing various strategies, including private healthcare investing, asset-based/specialty finance and CLOs. See Note 1, Business and Basis of Presentation, for a description of the Company’s alternative investments agreement with Sound Point.

In addition to the commitments above, the Company agreed to subscribe for liquidity bonds to be issued by a U.K. regulated utility to which it has insured exposure. As of June 30, 2025, the Company purchased approximately £55 million (or $75 million) in liquidity bonds and is committed to purchase an additional £55 million (or $75 million).

Accrued investment income, which is reported in “other assets,” was $67 million as of June 30, 2025 and $64 million as of December 31, 2024.

Available-for-Sale Fixed-Maturity Securities by Security Type
As of June 30, 2025
Security TypePercent
of
Total (1)		Amortized
Cost		Allowance for Credit LossesGross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
 (dollars in millions)
Obligations of state and political subdivisions27 %$1,851 $(12)$28 $(95)$1,772 
U.S. government and agencies1 42 — 1 (5)38 
Corporate securities (2)
42 2,826 (6)57 (131)2,746 
Mortgage-backed securities (3):
 
RMBS10 670 (24)5 (58)593 
Commercial mortgage-backed securities (CMBS)2 150 — 2 (1)151 
Asset-backed securities:
CLOs8 554 (5)6 (28)527 
Other (4)9 583 — 4 (1)586 
Non-U.S. government securities1 89 — 4 (8)85 
Total available-for-sale fixed-maturity securities100 %$6,765 $(47)$107 $(327)$6,498 
Available-for-Sale Fixed-Maturity Securities by Security Type
As of December 31, 2024
Security TypePercent
of
Total (1)		Amortized
Cost		Allowance for Credit LossesGross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
 (dollars in millions)
Obligations of state and political subdivisions30 %$2,032 $(14)$25 $(103)$1,940 
U.S. government and agencies1 72 — 1 (6)67 
Corporate securities (2)
38 2,586 (7)9 (206)2,382 
Mortgage-backed securities (3):
    
RMBS9 657 (21)2 (71)567 
CMBS3 189 — — (3)186 
Asset-backed securities:
CLOs9 615 (1)6 (9)611 
Other (4)9 593 (17)1 (30)547 
Non-U.S. government securities1 83 — — (14)69 
Total available-for-sale fixed-maturity securities100 %$6,827 $(60)$44 $(442)$6,369 
____________________
(1)Percentages are based on amortized cost.
(2)Corporate securities include securities issued by taxable universities and hospitals.
(3)U.S. government-agency obligations represented 73% and 68% of mortgage-backed securities as of June 30, 2025 and December 31, 2024, respectively, based on fair value.
(4)This category includes an investment in an affiliated entity with amortized cost of $41 million and fair value of $42 million as of both June 30, 2025 and December 31, 2024.

Gross Unrealized Loss by Length of Time
for Available-for-Sale Fixed-Maturity Securities for Which a Credit Loss was Not Recorded
As of June 30, 2025
 Less than 12 months12 months or moreTotal
 Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss
 (dollars in millions)
Obligations of state and political subdivisions$288 $(5)$833 $(89)$1,121 $(94)
U.S. government and agencies2 — 12 (5)14 (5)
Corporate securities225 (3)849 (100)1,074 (103)
Mortgage-backed securities: 
RMBS82 (1)115 (7)197 (8)
CMBS— — 65 (1)65 (1)
Asset-backed securities:
CLOs87 (6)29 — 116 (6)
Other79 (1)10 — 89 (1)
Non-U.S. government securities— — 20 (8)20 (8)
Total$763 $(16)$1,933 $(210)$2,696 $(226)
Number of securities (1) 275  906  1,165 
Gross Unrealized Loss by Length of Time
for Available-for-Sale Fixed-Maturity Securities for Which a Credit Loss was Not Recorded
As of December 31, 2024
 Less than 12 months12 months or moreTotal
 Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss
 (dollars in millions)
Obligations of state and political subdivisions$624 $(7)$964 $(96)$1,588 $(103)
U.S. government and agencies5 — 28 (6)33 (6)
Corporate securities762 (20)1,046 (150)1,808 (170)
Mortgage-backed securities:    
RMBS255 (4)123 (10)378 (14)
CMBS83 — 103 (3)186 (3)
Asset-backed securities:
CLOs151 (5)107 (1)258 (6)
Other60 (1)16 — 76 (1)
Non-U.S. government securities35 (3)30 (11)65 (14)
Total$1,975 $(40)$2,417 $(277)$4,392 $(317)
Number of securities (1) 569  1,065  1,591 
___________________
(1)    The number of securities does not add across because lots consisting of the same securities have been purchased at different times and appear in both categories above (i.e., less than 12 months and 12 months or more). If a security appears in both categories, it is counted only once in the total column.

The Company considered the credit quality, cash flows, interest rate movements, ability to hold a security to recovery and intent to sell a security in determining whether a security had a credit loss. The Company has determined that the unrealized losses recorded as of June 30, 2025 and December 31, 2024 were primarily related to higher interest rates rather than credit quality. As of June 30, 2025, the Company did not intend to and was not required to sell investments in an unrealized loss position prior to the expected recovery in value. As of June 30, 2025, of the securities in an unrealized loss position for which an allowance for credit loss was not recorded, 321 securities had unrealized losses in excess of 10% of their carrying value, whereas as of December 31, 2024, 438 securities had unrealized losses in excess of 10% of their carrying value. The total unrealized loss for these securities was $169 million as of June 30, 2025 and $223 million as of December 31, 2024.

The amortized cost and estimated fair value of available-for-sale fixed-maturity securities by contractual maturity as of June 30, 2025 are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
 
Distribution of Available-for-Sale Fixed-Maturity Securities by Contractual Maturity
As of June 30, 2025
 Amortized
Cost		Estimated
Fair Value
 (in millions)
Due within one year$166 $167 
Due after one year through five years1,385 1,391 
Due after five years through 10 years2,109 2,074 
Due after 10 years2,285 2,122 
Mortgage-backed securities:  
RMBS670 593 
CMBS150 151 
Total$6,765 $6,498 
Based on fair value, fixed-maturity securities, short-term investments and cash that are either held in trust for the benefit of third-party ceding insurers in accordance with statutory requirements, placed on deposit to fulfill state licensing requirements or otherwise pledged or restricted totaled $79 million as of both June 30, 2025 and December 31, 2024. The investment portfolio also contains securities that are held in trust by certain AGL subsidiaries or are otherwise restricted for the benefit of other AGL subsidiaries in accordance with statutory and regulatory requirements with a fair value of $1,092 million and $1,135 million as of June 30, 2025 and December 31, 2024, respectively.

Income from Investments

The components of income derived from the investment portfolio are presented in the following tables.

Income from Investments
 Second QuarterSix Months
 2025202420252024
(in millions)
Investment income:
Fixed-maturity securities, available-for-sale (1)$77 $60 $151 $122 
Short-term investments12 22 25 45 
Other invested assets1 — 2 — 
Investment income90 82 178 167 
Investment expenses(1)(1)(2)(2)
Net investment income$89 $81 $176 $165 
Fair value gains (losses) on trading securities (2)$2 $17 $3 $43 
Equity in earnings (losses) of investees:
Ownership interest in Sound Point$(1)$(3)$12 $1 
Funds and other investments4 8 44 28 
Equity in earnings (losses) of investees$3 $5 $56 $29 
____________________
(1)    Amounts include $7 million income on Loss Mitigation Securities for both second quarter 2025 and second quarter 2024, and $14 million for both six months 2025 and six months 2024. The increase in second quarter 2025 and six months 2025 is primarily due to investment income on CLO equity tranches in the available-for-sale portfolio. Certain CLO equity tranche investments were reclassified to the available-for-sale fixed-maturity portfolio in the fourth quarter of 2024, with interest income now reported in net investment income, and changes in fair value reported in other comprehensive income (OCI). The Company had previously held the CLO equity tranches in a Sound Point managed fund with changes in net asset value (NAV) reported in “equity in earnings (losses) of investees.”
(2)    Fair value gains on trading securities pertaining to securities still held as of June 30, 2025 were $2 million for second quarter 2025 and $3 million for six months 2025. Fair value gains on trading securities pertaining to securities still held as of June 30, 2024 were $14 million for second quarter 2024 and $31 million for six months 2024.

Fair Value Gains (Losses) on Trading Securities

A majority of the trading securities are Puerto Rico CVIs. In 2022, as a result of the resolution of certain defaulting Puerto Rico exposures, the Company received Puerto Rico CVIs, along with other consideration. The CVIs are intended to provide creditors with additional recoveries tied to the outperformance of the Puerto Rico 5.5% sales and use tax receipts against May 2020 certified fiscal plan projections, subject to annual and lifetime caps. As of June 30, 2025, the remaining CVIs had a fair value of $117 million. The Company may sell in the future any CVIs it continues to hold.
Realized Investment Gains (Losses)

The table below presents the components of net realized investment gains (losses). Realized gains and losses on sales of investments are determined using the specific identification method.

Net Realized Investment Gains (Losses)
 Second QuarterSix Months
 2025202420252024
 (in millions)
Gross realized gains on sales of available-for-sale securities$1 $1 $4 $2 
Gross realized losses on sales of available-for-sale securities(1)(4)(9)(7)
Net foreign currency gains (losses)— (2)(1)(2)
Change in the allowance for credit losses and intent to sell (3)(2)(13)8 
Other net realized gains (losses)(3)1 (3)1 
Net realized investment gains (losses)$(6)$(6)$(22)$2 

The proceeds from sales of fixed-maturity securities classified as available-for-sale were $211 million in second quarter 2025, $129 million in second quarter 2024, $427 million in six months 2025 and $488 million in six months 2024.

The following table presents the roll forward of the allowance for the credit losses on available-for-sale fixed-maturity securities.

Roll Forward of Allowance for Credit Losses
for Available-for-Sale Fixed-Maturity Securities
 Second QuarterSix Months
 2025202420252024
 (in millions)
Balance, beginning of period$45 $67 $60 $77 
Additions for securities for which credit losses were not previously recognized3 — 3 — 
Additions (reductions) for securities for which credit losses were previously recognized(1)2 9 (8)
Write-offs charged against the allowance— — (25)— 
Balance, end of period$47 $69 $47 $69 

The Company did not purchase any securities with credit deterioration during the periods presented. Most of the Company’s securities with credit deterioration are Loss Mitigation Securities.
v3.25.2
Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles
 6 Months Ended
Jun. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles
FG VIEs

The insurance subsidiaries provide financial guaranties with respect to debt obligations of special purpose entities, including VIEs, but do not act as the servicer or collateral manager for any guaranteed VIE obligations. The transaction structure generally provides certain financial protections to the insurance subsidiaries. This financial protection can take several forms, the most common of which are overcollateralization, first loss protection (or subordination) and excess spread. In the case of overcollateralization (i.e., the principal amount of the securitized assets exceeds the principal amount of the structured finance obligations), the structure allows defaults of the securitized assets before a default is experienced on the structured finance obligation guaranteed by the insurance subsidiaries. In the case of first loss, the insurance subsidiaries’ financial guaranty insurance policy only covers a senior layer of losses experienced by multiple obligations issued by the VIEs. The first loss exposure with respect to the assets is either retained by the seller or sold off in the form of equity or mezzanine debt to other investors. In the case of excess spread, the financial assets contributed to VIEs generate interest income that is in excess of the interest payments on the debt issued by the VIE. Such excess spread is typically distributed through the transaction’s cash
flow waterfall and may be used to create additional credit enhancement, applied to redeem debt issued by the VIE (thereby, creating additional overcollateralization), or distributed to equity or other investors in the transaction.

The insurance subsidiaries are not primarily liable for the insured debt obligations issued by structured finance FG VIEs and would only be required to make payments on those insured debt obligations in the event that the issuer of such debt obligations defaults on any principal or interest due and only for the amount of the shortfall. AGL’s and its insurance subsidiaries’ creditors do not have any rights with regard to the collateral supporting the debt issued by the structured finance FG VIEs. Proceeds from sales, maturities, prepayments and interest from such underlying collateral may only be used to pay debt service on the respective FG VIEs’ liabilities.

As part of the terms of its financial guaranty contracts, the insurance subsidiaries obtain certain protective rights with respect to the VIE that give them additional controls over a VIE. These protective rights are triggered by the occurrence of certain events, such as failure to be in compliance with a covenant due to poor deal performance or a deterioration in a servicer’s or collateral manager’s financial condition. At deal inception, the insurance subsidiaries typically are not deemed to control the VIE; however, once a trigger event occurs, the insurance subsidiaries’ control of the VIE typically increases. The Company continuously evaluates its power to direct the activities that most significantly impact the economic performance of VIEs that have debt obligations insured by the insurance subsidiaries and, accordingly, where they are obligated to absorb VIE losses or receive benefits that could potentially be significant to the VIE. The insurance subsidiaries are deemed to be the control party for certain VIEs under GAAP, typically when their protective rights give them the power to both terminate and replace the transaction’s servicer or collateral manager, which are characteristics specific to the Company’s financial guaranty contracts. If the protective rights that could make the insurance subsidiaries the control party have not been triggered, then the VIE is not consolidated. If the insurance subsidiaries are deemed to no longer have those protective rights, the VIE is deconsolidated.

The structured finance FG VIEs’ liabilities that are guaranteed by the insurance subsidiaries are considered to be with recourse, because the insurance subsidiaries guarantee the payment of principal and interest regardless of the performance of the related FG VIEs’ assets. The structured finance FG VIEs’ liabilities that are not guaranteed by the insurance subsidiaries are considered to be without recourse, because the payment of principal and interest of these liabilities is wholly dependent on the performance of the FG VIEs’ assets.

The Company has elected the fair value option (FVO) for the assets and liabilities of all of its structured finance FG VIEs, except for one VIE consolidated in second quarter 2025, and subsequently deconsolidated in July 2025. Upon consolidation, the assets and liabilities of this VIE were recorded pursuant to the guidance in ASC 805, Business Combinations, which specifies that the VIE’s assets and liabilities are recorded at fair value except for a contract asset which is recognized and measured pursuant to ASC 606, Revenue from Contracts with Customers. Upon initial adoption of the accounting guidance for VIEs in 2010, the Company elected to fair value its structured finance FG VIEs’ assets and liabilities as the carrying amount transition method was not practical. To allow for consistency in the accounting for the assets and liabilities of its consolidated FG VIEs, the Company elects the FVO if permissible under GAAP based on the nature of the VIE’s assets and liabilities. The change in fair value of all structured finance FG VIEs’ assets and liabilities is reported in “fair value gains (losses) on FG VIEs” in the condensed consolidated statement of operations, except for the change in fair value attributable to the change in instrument-specific credit risk (ISCR) on the structured finance FG VIEs’ liabilities for which the FVO was elected, which is reported in OCI. Interest income and interest expense are derived from the trustee reports and are also included in “fair value gains (losses) on FG VIEs.”

As of June 30, 2025 and December 31, 2024, the Company consolidated 24 and 23 structured finance FG VIEs, respectively.

Components of FG VIE Assets and Liabilities

Net fair value gains and losses on FG VIEs are expected to reverse to zero by the maturity of the FG VIEs’ debt, except for net premiums received and net claims paid by AG under its financial guaranty insurance contracts. The Company’s estimate of expected loss to be paid (recovered) for FG VIEs is included in Note 4, Expected Loss to be Paid (Recovered).
The table below shows the carrying value of FG VIEs’ assets and liabilities, segregated by type of collateral.

Consolidated FG VIEs by Type of Collateral 
As of
 June 30, 2025December 31, 2024
 (in millions)
FG VIEs’ assets:  
U.S. RMBS (3)$144 $147 
Other (includes $32 at fair value in 2025) (1) (2)
67 — 
Total FG VIEs’ assets$211 $147 
FG VIEs’ liabilities with recourse:
U.S. RMBS (3)$152 $155 
Other, at fair value (2)34 — 
Total FG VIEs’ liabilities with recourse$186 $155 
FG VIEs’ liabilities without recourse:
U.S. RMBS (3)$9 $9 
Other (includes $6 at fair value in 2025) (2)
7 — 
Total FG VIEs’ liabilities without recourse$16 $9 
____________________
(1)    Includes a contract asset related to a services agreement of approximately $35 million as of June 30, 2025 accounted for in accordance with ASC 606, Revenue from Contracts with Customers, as well as debt and equity investments, and cash and cash equivalents.
(2)     Other amounts represent the assets and liabilities of the FG VIE that was consolidated on June 30, 2025.
(3)    U.S. RMBS assets and liabilities are measured at fair value under the FVO.

The inception-to-date change in fair value of the FG VIEs’ liabilities with recourse measured at fair value under the FVO, attributable to the ISCR is calculated by holding all current period assumptions constant for each security and isolating the effect of the change in the Company’s CDS spread from the most recent date of consolidation to the current period. In general, if the Company’s CDS spread tightens, more value will be assigned to the Company’s credit; however, if the Company’s CDS spread widens, less value is assigned to the Company’s credit.

Selected Information for FG VIEs’ Assets and Liabilities
Measured under the FVO
As of
 June 30, 2025December 31, 2024
 (in millions)
Excess of unpaid principal over fair value of:
FG VIEs’ assets$259 $264 
FG VIEs’ liabilities with recourse 34 38 
FG VIEs’ liabilities without recourse16 16 
Unpaid principal balance for FG VIEs’ assets that were 90 days or more past due23 27 
Unpaid principal for FG VIEs’ liabilities with recourse (1)
186 193 
____________________
(1)    FG VIEs’ liabilities with recourse will mature at various dates ranging from 2025 through 2038.

CIVs

CIVs consist of certain Sound Point funds for which the Company is the primary beneficiary or has a controlling interest. The Company consolidates investment vehicles that are VIEs when it is deemed to be the primary beneficiary based on its power to direct the most significant activities of each VIE and its level of economic interest in the entities.

The assets and liabilities of the Company’s CIVs are held within separate legal entities. The assets of the CIVs are not available to creditors of the Company, other than creditors of the applicable CIVs. In addition, creditors of the CIVs have no
recourse against the assets of the Company, other than the assets of such applicable CIVs. Liquidity available at the Company’s CIVs is not available for corporate liquidity needs, except to the extent of the Company’s investment in the funds, subject to redemption provisions.

As of June 30, 2025 and December 31, 2024, the Company consolidated one active CIV with assets of $121 million and $101 million, respectively, consisting primarily of investments with Sound Point affiliated entities.
Noncontrolling Interest in FG VIEs and CIVs

Noncontrolling interest (NCI) represents the portion of the consolidated FG VIEs and CIVs not owned by the Company and includes ownership interests of third parties and former employees. The NCI is nonredeemable and presented on the statement of shareholders’ equity.

Non-Consolidated VIEs

As described in Note 3, Outstanding Exposure, the Company monitors all policies in the insured portfolio. Of the approximately 15 thousand policies monitored as of June 30, 2025, approximately 14 thousand policies are not within the scope of FASB ASC 810, Consolidation, because these financial guaranties relate to the debt obligations of governmental organizations or financing entities established by a governmental organization. The majority of the remaining policies involve transactions where the Company is not deemed to currently have control over the FG VIEs’ most significant activities. As of June 30, 2025 and December 31, 2024, the Company identified 51 and 50 policies, respectively, that contain provisions and experienced events that may trigger consolidation.

The Company holds variable interests in non-FG VIEs which are not consolidated, as the Company is not the primary beneficiary. As of June 30, 2025, the Company’s maximum exposure to losses relating to these VIEs was $798 million, which is limited to the carrying value of these assets.
v3.25.2
Fair Value Measurement
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurement Fair Value Measurement
The Company carries a significant portion of its assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., exit or transfer price). The price represents the price available in the principal market for the asset or liability. If there is no principal market, then the price is based on a hypothetical market that maximizes the value received for an asset or minimizes the amount paid for a liability (i.e., the most advantageous market).

Fair value is based on quoted market prices, where available. If listed prices or quotes are not available, fair value is based on either (i) internally developed models that primarily use, as inputs, market-based or independently sourced market parameters (including, but not limited to, yield curves, interest rates and debt prices) or (ii) discounted cash flows using a third party’s proprietary pricing models. In addition to market information, when applicable, the models also incorporate transaction details, such as the instrument’s maturity and contractual features that reduce the Company’s credit exposure (e.g., collateral rights).

Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments include amounts to reflect counterparty credit quality, the Company’s creditworthiness and constraints on liquidity. As markets and products develop and the pricing transparency for certain products changes, the Company may refine its methodologies and assumptions. During six months 2025, no changes were made to the Company’s valuation models that had (or are expected to have) a material impact on the Company’s condensed consolidated balance sheets or statements of operations and comprehensive income.

The Company’s valuation methods produce fair values that may not be indicative of net realizable value or future fair values. The use of different methodologies or assumptions to determine fair value of certain financial instruments could result in a materially different estimate of fair value at the reporting date.

The categorization within the fair value hierarchy is determined based on whether the inputs to valuation techniques used to measure fair value are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect Company estimates of market assumptions. The fair value hierarchy prioritizes
model inputs into three broad levels, with Level 1 being the highest and Level 3 the lowest. The categorization, of an asset or liability, within the hierarchy is based on the lowest level of significant input to its valuation.

Level 1—Quoted prices for identical instruments in active markets. The Company generally defines an active market as a market in which trading occurs at significant volumes. Active markets generally are more liquid and have a lower bid-ask spread than an inactive market.

Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and observable inputs other than quoted prices, such as interest rates or yield curves and other inputs derived from or corroborated by observable market inputs.

Level 3—Model derived valuations in which one or more significant inputs or significant value drivers are unobservable. Financial instruments are considered Level 3 when their values are (i) determined using pricing models, discounted cash flow methodologies or similar techniques and (ii) at least one significant model assumption or input is unobservable. Level 3 financial instruments include those for which the determination of fair value requires significant management judgment or estimation.

There were transfers of securities into Level 3 in the investment portfolio and CIVs due to changes in observability of pricing inputs in six months 2024. There were no other transfers from or into Level 3 during the periods presented.

Carried at Fair Value

Fixed-Maturity Securities

The fair value of fixed-maturity securities is generally based on prices received from third-party pricing services or alternative pricing sources that provide reasonable levels of price transparency. The pricing services prepare estimates of fair value using their pricing models, which take into account: benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, reference data, industry and economic events and sector groupings. Additional valuation factors that can be taken into account are nominal spreads and liquidity adjustments. The pricing services evaluate each asset class based on relevant market and credit information, perceived market movements and sector news.

In many cases, benchmark yields have proven to be more reliable indicators of the market for a security, as compared to reported trades for infrequently traded securities and distressed transactions. The extent of the use of each input is dependent on the asset class and the market conditions. The valuation of fixed-maturity securities is more subjective when markets are less liquid due to the lack of market-based inputs.
 
As of June 30, 2025, the Company used models to price 173 securities. All Level 3 securities were priced with the assistance of independent third parties. The pricing is based on a discounted cash flow approach using the third party’s proprietary pricing models. The models use inputs such as projected prepayment speeds; severity assumptions; recovery lag assumptions; estimated default rates (determined based on an analysis of collateral attributes, historical collateral performance, borrower profiles and other features relevant to the evaluation of collateral credit quality); home price appreciation/depreciation rates based on macroeconomic forecasts; and recent trading activity. The yield used to discount the projected cash flows is determined by reviewing various attributes of the security including collateral type, weighted average life, sensitivity to losses, vintage and convexity, in conjunction with market data on comparable securities. Significant changes to any of these inputs could have materially changed the expected timing of cash flows within these securities which could have significantly affected the fair value of the securities.

Short-Term Investments

Short-term investments that are traded in active markets are classified as Level 1 as their value is based on quoted market prices. Securities such as discount notes are classified as Level 2 because these securities are typically not actively traded. Due to their approaching maturity, the cost of discount notes approximates fair value.
Other Assets

Committed Capital Securities

AG has entered into put agreements with eight separate custodial trusts allowing it to issue an aggregate of $400 million of non-cumulative redeemable perpetual preferred securities to the trusts in exchange for cash.

The arrangement entails eight custodial trusts (Woodbourne Capital Trust I, II, III and IV and Sutton Capital Trust I, II, III and IV), each of which issued $50 million face amount of CCS and invested the proceeds of that issuance in eligible assets that enable the trust to have the cash necessary to respond to AG’s exercise of a put option.

The put option consists of a right that AG has, pursuant to separate put agreements that AG entered into with each of the trusts, to issue to each trust $50 million of non-cumulative redeemable perpetual preferred stock, in exchange for an equivalent amount of cash (i.e., an aggregate of $400 million). When AG exercises its put option, the relevant trust must liquidate the portfolio of high-quality, liquid assets that it currently maintains and use the liquidation proceeds to purchase AG preferred stock. The put agreements have no scheduled termination date or maturity but may be terminated upon the occurrence of certain specified events. None of the events that would give rise to a termination of the put agreements have occurred.

The fair value of CCS, which is reported in “other assets” in the condensed consolidated balance sheets, represents the difference between the present value of the remaining expected put option premium payments under the put agreements and the estimated present value of the amounts that the Company would hypothetically have to pay as of the reporting date for a comparable security. The change in fair value of the CCS is reported in “fair value gains (losses) on committed capital securities” in the condensed consolidated statements of operations. The estimated current cost of the Company’s CCS as of the reporting date is based on several factors, including AG’s CDS spreads, the Company’s publicly traded debt and an estimation of the securities’ remaining term. The CCS are classified as Level 3.

Supplemental Executive Retirement Plans

The Company classified assets included in the Company’s various supplemental executive retirement plans as either Level 1 or Level 2. The fair value of these assets is based on the observable published daily values of the underlying mutual funds included in the plans (Level 1) or based upon the NAV of the funds if a published daily value is not available (Level 2). The NAVs are based on observable information. The change in fair value of these assets is reported in “other operating expenses” in the condensed consolidated statements of operations.

Contracts Accounted for as Credit Derivatives

There is no established market where financial guaranty insured credit derivatives are actively traded; therefore, management has determined that the exit market for the Company’s credit derivatives is a hypothetical one based on its entry market. Due to the lack of quoted prices and other observable inputs for its instruments or for similar instruments, the Company determines the fair value of its credit derivative contracts primarily through internally developed, proprietary models that use both observable and unobservable market data inputs, and such contracts are therefore classified as Level 3 in the fair value hierarchy. There are multiple unobservable inputs deemed significant to the valuation model, most importantly the Company’s estimate of the value of the non-standard terms and conditions of its credit derivative contracts and how the Company’s own credit spread affects the pricing of its transactions.

The fair value of the Company’s credit derivative contracts generally represents the difference between the present value of remaining premiums the Company expects to receive and the estimated present value of premiums that a financial guarantor of comparable credit-worthiness would hypothetically charge at the reporting date for the same protection. The fair value of the Company’s credit derivatives depends on a number of factors, including notional amount of the contract, expected term, credit spreads, changes in interest rates, the credit ratings of referenced entities, the Company’s own credit risk and remaining contractual cash flows. The expected remaining contractual premium cash flows are the most readily observable inputs since they are based on the credit derivatives’ contractual terms. Credit spreads capture the effect of recovery rates and performance of underlying assets of these contracts, among other factors. A credit derivative liability on protection sold is the result of contractual cash inflows on in-force transactions that are lower than what a hypothetical financial guarantor could receive if it sold protection on the same risk as of the reporting date. Consistent with previous years, market conditions as of June 30, 2025 were such that market prices of the Company’s CDS contracts were not available.
Assumptions and Inputs

The main inputs and assumptions to the measurement of fair value for CDS contracts are the gross spread, the allocation of gross spread among the bank profit, net spread and hedge cost and the weighted average life (which is based on debt service schedules).

The primary sources of information used to determine gross spread and the fair value for CDS contracts include actual collateral credit spreads (if up-to-date and reliable market-based spreads are available), transactions priced or closed during a specific quarter within a specific asset class and specific rating and information provided by the counterparty of the credit derivative. Credit spreads may also be interpolated based upon market indices adjusted to reflect the non-standard terms of the Company’s CDS contracts, or extrapolated based upon transactions of similar asset classes, similar ratings and similar time to maturity.

The Company’s own credit risk is factored into the determination of the current premium. Such credit risk is based on the quoted market price for credit protection bought on the Company as reflected by quoted market prices on CDS contracts referencing AG. The Company obtains the quoted price of CDS contracts traded on AG from market data sources published by third parties. The amount of premium a financial guaranty insurance market participant can demand (or “current premium”) is inversely related to the cost of credit protection on the insurance company as measured by market credit spreads assuming all other assumptions remain constant. This is because the buyers of credit protection typically hedge a portion of their risk to the financial guarantor, because the contractual terms of the Company’s contracts typically do not require the posting of collateral by the guarantor. The extent of the hedge depends on the types of instruments insured and current market conditions.

In the Company’s valuation model, the current premium is not permitted to go below the minimum rate that the Company would charge to assume similar risks in the reporting period. This assumption can have the effect of limiting the amount of unrealized gains that are recognized on certain CDS contracts. The minimum premium had no effect on the fair value of CDS contracts as of both June 30, 2025 and December 31, 2024.

FG VIEs’ Assets and Liabilities

Structured finance FG VIEs’ assets and liabilities for which the Company elected the FVO are carried at fair value and classified as Level 3. The fair value of the residential mortgage loans in the FG VIEs’ assets is generally sensitive to changes in estimated prepayment speeds; estimated default rates (determined on the basis of an analysis of collateral attributes such as: historical collateral performance, borrower profiles and other features relevant to the evaluation of collateral credit quality); yields implied by market prices for similar securities; and, as applicable, house price depreciation/appreciation rates based on macroeconomic forecasts. Significant changes to some of these inputs could have materially changed the fair value of the FG VIEs’ assets and the implied collateral losses within these transactions. In general, the fair value of the FG VIEs’ assets is most sensitive to changes in the projected collateral losses, where an increase in collateral losses typically leads to a potential decrease in the fair value of FG VIEs’ assets, while a decrease in collateral losses typically leads to an increase in the fair value of FG VIEs’ assets.

The prices of these assets and liabilities of the structured finance FG VIEs are generally determined with the assistance of an independent third party and based on a discounted cash flow approach. The third party pricing service utilizes an internal model to determine an appropriate yield at which to discount the cash flows of the security by factoring in collateral types, weighted-average lives and other structural attributes specific to the security being priced. The expected yield is further calibrated by utilizing algorithms designed to aggregate market color, received by the independent third party, on comparable bonds.

The models used to price the FG VIEs’ liabilities generally apply the same inputs used in determining fair value of FG VIEs’ assets. For those liabilities insured by the Company, the benefit of the Company’s insurance policy guaranteeing the timely payment of debt service is also taken into account.

The timing of expected losses within an insured transaction is a significant factor in determining the implied benefit of the Company’s insurance policy which guarantees the timely payment of principal and interest for the insured tranches of debt issued by the FG VIEs. In general, a longer time period until the Company’s expected loss payments typically leads to a decrease in the value of the Company’s insurance and a decrease in the fair value of the Company’s FG VIEs’ liabilities with recourse, while a shorter time period until the Company’s expected loss payments typically could lead to an increase in the value of the Company’s insurance and an increase in the fair value of the Company’s FG VIEs’ liabilities with recourse.
Assets and Liabilities of CIVs

Investments held by CIVs which are quoted on a national securities exchange are valued at their last reported sale price on the date of determination. Investments held by CIVs which are traded over-the-counter reflect third-party data and generally reflect the average of dealer offer and bid prices. The valuation methodology may include, but is not limited to: (i) performing price comparisons with similar investments; (ii) obtaining valuation-related information from issuers; (iii) calculating the present value of future cash flows; (iv) assessing other data related to the investment that may be an indication of value; (v) obtaining information provided by third parties; and/or (vi) evaluating information provided by the investment manager. Inputs may include dealer price quotations, yield curves, credit curves, forward/CDS/index spreads, prepayments rates, strike and expiry dates, volatility statistics and other factors.

Significant changes to any of the inputs described above could have a material effect on the fair value of the CIV’s assets and liabilities. Changes in the fair value of assets and liabilities of CIVs, interest income and interest expense are reported in “fair value gains (losses) on consolidated investment vehicles” in the condensed consolidated statements of operations.

Amounts recorded at fair value in the Company’s financial statements are presented in the tables below.

Fair Value Hierarchy of Financial Instruments Carried at Fair Value
As of June 30, 2025
 Fair Value Hierarchy
 Level 1Level 2Level 3Total
 (in millions)
Assets:   
Fixed-maturity securities, available-for-sale   
Obligations of state and political subdivisions$— $1,762 $10 $1,772 
U.S. government and agencies— 38 — 38 
Corporate securities— 2,662 84 2,746 
Mortgage-backed securities:
RMBS— 451 142 593 
CMBS— 151 — 151 
Asset-backed securities— 136 977 1,113 
Non-U.S. government securities— 85 — 85 
Total fixed-maturity securities, available-for-sale— 5,285 1,213 6,498 
Fixed-maturity securities, trading— 133 4 137 
Short-term investments 936 3 — 939 
Other invested assets (1)— — 3 3 
FG VIEs’ assets15 8 153 176 
Assets of CIVs, equity securities— — 121 121 
Other assets73 61 9 143 
Total assets carried at fair value$1,024 $5,490 $1,503 $8,017 
Liabilities:
FG VIEs’ liabilities (2)$— $— $201 $201 
Other liabilities— — 35 35 
Total liabilities carried at fair value$— $— $236 $236 
Fair Value Hierarchy of Financial Instruments Carried at Fair Value
As of December 31, 2024
 Fair Value Hierarchy
 Level 1Level 2Level 3Total
 (in millions)
Assets:   
Fixed-maturity securities, available-for sale   
Obligations of state and political subdivisions$— $1,930 $10 $1,940 
U.S. government and agencies— 67 — 67 
Corporate securities— 2,382 — 2,382 
Mortgage-backed securities:
RMBS— 422 145 567 
CMBS— 186 — 186 
Asset-backed securities— 127 1,031 1,158 
Non-U.S. government securities— 69 — 69 
Total fixed-maturity securities, available-for-sale— 5,183 1,186 6,369 
Fixed-maturity securities, trading— 142 5 147 
Short-term investments 1,218 3 — 1,221 
Other invested assets (1)— — 4 4 
FG VIEs’ assets— — 147 147 
Assets of CIVs, equity securities— — 99 99 
Other assets65 59 7 131 
Total assets carried at fair value$1,283 $5,387 $1,448 $8,118 
Liabilities:
FG VIEs’ liabilities (2)$— $— $164 $164 
Other liabilities— — 34 34 
Total liabilities carried at fair value$— $— $198 $198 
___________________
(1)    Other invested assets includes Level 3 mortgage loans that are recorded at fair value on a non-recurring basis.
(2)    FG VIEs’ liabilities include those with and without recourse, some of which are measured at a fair value on a non-recurring basis as June 30, 2025. See Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles.
Changes in Level 3 Fair Value Measurements
 
The tables below present a roll forward of the Company’s Level 3 financial instruments carried at fair value on a recurring basis during second quarter 2025, second quarter 2024, six months 2025 and six months 2024.

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2025
Fixed-Maturity Securities, Available-for-Sale
 Obligations
of State and
Political
Subdivisions		 CorporateRMBS Asset-
Backed
Securities		Fixed-Maturity Securities, Trading FG VIEs’
Assets		Assets of CIVs, Equity Securities Other
(7)		 
 (in millions)
Fair value as of March 31, 2025$10 $5 $144 $983 $5 $145 $118 $6 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)2 (1)— 1 (1)11 (1)— 4 (2)3 (4)(1)(3)
Other comprehensive income (loss)— 10 4 10 — — — —  
Purchases— 69 — — — — — — 
Sales— — — (3)— — — — 
Settlements(2)— (7)(24)(1)(5)— —  
Consolidations— — — — — 9 — — 
Fair value as of June 30, 2025$10 $84 $142 $977 $4 $153 $121 $5 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $3 (2)$3 (4)$(1)(3)
OCI$— $10 $4 $10 $— 

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2025
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of March 31, 2025$(30)$(163)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)1 (6)(3)(2)
Other comprehensive income (loss)— 1  
Settlements— 4 
Fair value as of June 30, 2025$(29)$(161)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$1 (6)$(2)(2)
OCI$1 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2024
Fixed-Maturity Securities, Available-for-SaleAssets of CIVs
 Obligations
of State and
Political
Subdivisions		RMBS Asset-
Backed
Securities		FG VIEs’
Assets		 Equity SecuritiesStructured ProductsOther
(7)		 
 (in millions)
Fair value as of March 31, 2024$6 $153 $821 $167 $89 $220 $5 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)— 4 (1)1 (1)(1)(2)4 (2)(9)(4)2 (3)
Other comprehensive income (loss)2 1 6 — — — (1) 
Purchases— — 1 — — 22 — 
Sales— — — — — (8)— 
Settlements(1)(8)(34)(6)— — —  
Fair value as of June 30, 2024$7 $150 $795 $160 $93 $225 $6 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$(2)(2)$5 (2)$(8)(4)$2 (3)
OCI$2 $1 $6 $(1)

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2024
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of March 31, 2024$(39)$(399)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)6 (6)— (2)
Other comprehensive income (loss)— 2  
Settlements(1)4  
Fair value as of June 30, 2024$(34)$(393)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$3 (6)$2 (2)
OCI$2 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2025
Fixed-Maturity Securities, Available-for-Sale
 Obligations
of State and
Political
Subdivisions		 CorporateRMBS Asset-
Backed
Securities		Fixed-Maturity Securities, Trading FG VIEs’
Assets		Assets of CIVs, Equity Securities Other
(7)		 
 (in millions)
Fair value as of December 31, 2024$10 $— $145 $1,031 $5 $147 $99 $5 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)2 (1)— 4 (1)18 (1)— 7 (2)22 (4)1 (3)
Other comprehensive income (loss)— 10 6 11 — — — (1) 
Purchases— 74 — — — — — — 
Sales— — — (12)— — — — 
Settlements(2)— (13)(71)(1)(10)— —  
Consolidations— — — — — 9 — — 
Fair value as of June 30, 2025$10 $84 $142 $977 $4 $153 $121 $5 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $5 (2)$22 (4)$1 (3)
OCI$— $10 $6 $11 $(1)

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2025
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of December 31, 2024$(29)$(164)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)105 (6)(5)(2)
Other comprehensive income (loss)— —  
Settlements(105)8 
Fair value as of June 30, 2025$(29)$(161)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $(4)(2)
OCI$— 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2024
Fixed-Maturity Securities, Available-for-SaleAssets of CIVs
 Obligations
of State and
Political
Subdivisions		 RMBS Asset-
Backed
Securities		 FG VIEs’
Assets		Equity Securities Structured ProductsOther
(7)		 
 (in millions)
Fair value as of December 31, 2023$6 $154 $803 $174 $80 $189 $14 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)— 7 (1)17 (1)(3)(2)12 (4)(5)(4)(8)(3)
Other comprehensive income (loss)2 2 8 1 — — —  
Purchases— — 11 — — 51 —  
Sales— — — — (2)(20)— 
Settlements(1)(13)(64)(12)— — — 
Transfers into Level 3— — 20 — 3 10 —  
Fair value as of June 30, 2024$7 $150 $795 $160 $93 $225 $6 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$(5)(2)$12 (4)$(2)(4)$(8)(3)
OCI$2 $2 $8 $1 $— 

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2024
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of December 31, 2023$(50)$(554)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)16 (6)9 (2)
Other comprehensive income (loss)— — 
Settlements— 152 
Fair value as of June 30, 2024$(34)$(393)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$7 (6)$4 (2)
OCI$— 
____________________
(1)Included in “net realized investment gains (losses)” and “net investment income.”
(2)Reported in “fair value gains (losses) on FG VIEs.”
(3)Reported in “fair value gains (losses) on CCS,” “net investment income” and “other income (loss).”
(4)Reported in “fair value gains (losses) on CIVs.”
(5)Represents the net position of credit derivatives. Credit derivative assets (reported in “other assets”) and credit derivative liabilities (reported in “other liabilities”) are shown as either assets or liabilities in the condensed consolidated balance sheets.
(6)Reported in “fair value gains (losses) on credit derivatives.”
(7)Includes CCS and other invested assets.
(8)Includes FG VIEs’ liabilities with recourse and FG VIEs’ liabilities without recourse.
Level 3 Fair Value Disclosures

Quantitative Information About Level 3 Fair Value Inputs
As of June 30, 2025
Financial Instrument Description Fair Value Assets (Liabilities)
(in millions)		Significant Unobservable InputsRangeWeighted Average (4)
Investments (2):  
Fixed-maturity securities, available-for-sale (1):  
Obligations of state and political subdivisions$10 Yield5.5 %-20.0%7.0%
Corporate84 Yield8.5 %-9.0%8.6%
RMBS142 Conditional prepayment rate (CPR)0.1 %-17.0%3.4%
CDR1.4 %-18.6%5.4%
Loss severity50.0 %-125.0%79.9%
Yield7.3 %-10.5%8.7%
Asset-backed securities:
CLOs 527 Discount margin1.0 %-2.9%2.0%
Yield12.8 %-24.0%19.0%
Others450 Yield5.5 %-9.9%5.8%
Fixed-maturity securities, trading (1)4 Yield4.2 %-7.7%6.0%
FG VIEs’ assets (1)153 CPR2.2 %-28.2%5.3%
CDR1.3 %-41.0%10.5%
Loss severity45.0 %-100.0%83.4%
Yield6.8 %-10.2%9.1%
Assets of CIVs - equity securities (3)121 Discount rate24.8%
Market multiple-price to book
1.00x
Market multiple-price to earnings
5.75x
Terminal growth rate4.0%
Exit multiple-price to book
1.00x
Exit multiple-price to earnings
5.50x
Other assets (1)3 Implied Yield6.5 %-7.0%6.8%
Term (years)10 years
Credit derivative liabilities, net (1)(29)Hedge cost (in basis points) (bps)12.5-29.516.3
Bank profit (in bps)60.5-248.9139.1
Internal floor (in bps)10.0
Internal credit ratingAAA-CCCA
Discount rates of future expected premium cash flows3.2 %-4.2%4.0%
FG VIEs’ liabilities (1)(201)CPR2.2 %-28.2%5.3%
CDR1.3 %-41.0%10.5%
Loss severity45.0 %-100.0%83.4%
Yield5.6 %-10.5%6.8%
___________________
(1)    Discounted cash flows are used as the primary valuation technique.
(2)    This amount excludes several investments reported in “other invested assets” with a fair value of $3 million.
(3)    The primary valuation technique uses the income and/or market approach.
(4)    Weighted average is calculated as a percentage of current par outstanding for all categories except for assets of CIVs, for which it is calculated as a percentage of fair value.
Quantitative Information About Level 3 Fair Value Inputs
As of December 31, 2024
Financial Instrument Description Fair Value Assets (Liabilities)
(in millions)		Significant Unobservable InputsRangeWeighted Average (4)
Investments (2):   
Fixed-maturity securities, available-for-sale (1):  
Obligations of state and political subdivisions$10 Yield5.5 %-22.0%7.5%
RMBS145 CPR1.8 %-17.0%2.8%
CDR1.8 %-18.7%5.4%
Loss severity50.0 %-125.0%79.9%
Yield7.7 %-10.8%9.1%
Asset-backed securities:
CLOs611 Discount margin0.8 %-2.9%1.9%
Yield12.5 %-22.5%17.9%
Others420Yield6.4 %-9.1%6.7%
Fixed-maturity securities, trading (1)5 Yield19.8 %-169.5%163.8%
FG VIEs’ assets (1)147 CPR2.2 %-25.0%5.7%
CDR1.3 %-41.0%10.7%
Loss severity45.0 %-100.0%83.2%
Yield6.8 %-10.8%9.3%
Assets of CIVs - equity securities (3)99 Discount rate24.3%
Market multiple-price to book
1.05x
Market multiple-price to earnings
5.25x
Terminal growth rate4.0%
Exit multiple-price to book
1.05x
Exit multiple-price to earnings
5.50x
Other assets (1)
2 Implied Yield6.5 %-7.0%6.8%
Term (years)10 years
Credit derivative liabilities, net (1)(29)Hedge cost (in bps)12.8-30.116.8
Bank profit (in bps)73.2-275.9139.3
Internal floor (in bps)10.0-85.529.7
Internal credit ratingAAA-CCCA
Discount rates of future expected premium cash flows3.9 %4.4%4.3%
FG VIEs’ liabilities (1)(164)CPR2.2 %-25.0%5.7%
CDR1.3 %-41.0%10.7%
Loss severity45.0 %-100.0%83.2%
Yield5.5 %-10.8%7.0%
____________________
(1)    Discounted cash flows are used as the primary valuation technique.
(2)    This amount excludes several investments reported in “other invested assets” with a fair value of $4 million.
(3)    The primary valuation technique uses the income and/or market approach.
(4)    Weighted average is calculated as a percentage of current par outstanding for all categories except for assets of CIVs, for which it is calculated as a percentage of fair value.
Not Carried at Fair Value

Financial Guaranty Insurance Contracts

Fair value is based on management’s estimate of the consideration that would be paid to, or received from, a similarly rated financial guaranty insurance company to acquire the Company’s in-force book of financial guaranty insurance business. It is based upon the ratio of current trends in premium pricing to risk-based expected loss for investment grade portions of the portfolio and stressed loss pricing for BIG transactions. The Company classified the fair value of financial guaranty insurance contracts as Level 3.

Long-Term Debt

Long-term debt issued by the U.S. Holding Companies is valued by broker-dealers using independent third-party pricing sources and standard market conventions and classified as Level 2 in the fair value hierarchy. The market conventions utilize market quotations, market transactions for the Company’s comparable instruments, and to a lesser extent, similar instruments in the broader insurance industry.

The carrying amount and estimated fair value of the Company’s financial instruments not carried at fair value are presented in the following table.

Fair Value of Financial Instruments Not Carried at Fair Value
 As of June 30, 2025As of December 31, 2024
 Carrying
Amount		Estimated
Fair Value		Carrying
Amount		Estimated
Fair Value
 (in millions)
Assets (liabilities):    
Other assets (including other invested assets) $97 $98 $115 $116 
Financial guaranty insurance contracts (1)(1,962)(1,081)(2,029)(1,136)
Long-term debt(1,701)(1,602)(1,699)(1,579)
Other liabilities (17)(17)(16)(16)
____________________
(1)    Carrying amount includes the assets and liabilities related to financial guaranty insurance contract premiums, losses and salvage and subrogation and other recoverables net of reinsurance.
v3.25.2
Income Taxes
 6 Months Ended
Jun. 30, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Overview

AGL is a tax resident in the U.K. although it remains a Bermuda-based company and its administrative and head office functions are carried on in Bermuda.

AGL’s subsidiaries are subject to income taxes imposed by the local tax authorities in the jurisdictions in which they operate and file applicable tax returns. In addition, AGRO, a Bermuda domiciled company, has elected under Section 953(d) of the Internal Revenue Service (IRS) to be taxed as a U.S. domestic corporation.

In July of 2023, the U.K. government passed legislation to implement the Organization for Economic Co-Operation and Development’s Base Erosion and Profit Shifting Pillar Two income inclusion rule. This includes a multinational top-up tax which will apply to large multinational corporations for accounting periods beginning on or after December 31, 2023. This applies to AGL and its subsidiaries, requiring a minimum effective rate of 15% in all jurisdictions in which they operate.

On December 27, 2023, the Bermuda government enacted a corporate income tax at the rate of 15% which applies to the Bermuda Subsidiaries (collectively, AG Re, AGRO and Cedar Personnel Ltd.) for accounting periods starting on or after January 1, 2025.

On July 4, 2025, the U.S. Congress passed budget reconciliation bill H.R. 1 referred to as the One Big Beautiful Bill Act (OBBBA). The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of
the Tax Cuts and Jobs Act of 2017, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions. The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027. The Company is currently assessing its impact on its consolidated financial statements but does not expect it to have a material impact.

AGUS files a consolidated federal income tax return with all of its U.S. subsidiaries. Assured Guaranty Overseas US Holdings Inc. and its subsidiaries, AGRO and AG Intermediary Inc., file their own consolidated federal income tax return.

Provision for Income Taxes

The Company’s provision for income taxes for interim financial periods is not based on an estimated annual effective rate due, for example, to the variability in loss reserves, fair value of its credit derivatives and VIEs and foreign exchange gains and losses which prevent the Company from projecting a reliable estimated annual effective tax rate and pre-tax income for the full year 2025. A discrete calculation of the provision is calculated for each interim period.

The Company’s overall effective tax rate fluctuates based on the distribution of income across jurisdictions. The effective tax rates reflect the proportion of income recognized by each of the Company’s operating subsidiaries with

•U.S. subsidiaries taxed at the U.S. marginal corporate income tax rate of 21%,
•French subsidiary taxed at the French marginal corporate tax rate of 25%,
•Bermuda Subsidiaries taxed at the Bermuda marginal corporate tax rate of 15% starting January 1, 2025, and 0% for 2024, unless subject to U.S. tax by election, and
•U.K. subsidiaries taxed at the U.K. marginal corporate tax rate of 25%.
 
The Company’s effective tax rate was 20.9%, 14.5%, 19.7% and 18.6% for second quarter 2025, second quarter 2024, six months 2025 and six months 2024, respectively. The effective tax rates are different from the expected tax provision (benefit) primarily due to a tax provision for U.S. state taxes, a tax benefit for U.S. tax-exempt interest, and foreign taxes. In addition, second quarter 2024 and six months 2024 included the global minimum tax.

Audits

During six months 2025, the IRS audit of AGUS’s 2018 and 2019 tax years closed with no impact to previously accrued taxes. As of June 30, 2025, AGUS had open tax years with the IRS for 2021 forward and is currently under audit for the 2021 tax year. As of June 30, 2025, Assured Guaranty Overseas US Holdings Inc. had open tax years with the IRS for 2021 forward and is not currently under audit with the IRS. In December 2023, His Majesty’s Revenue & Customs (HMRC) issued an inquiry into the Company’s 2021 U.K. tax returns. As of June 30, 2025, the Company’s U.K. subsidiaries had open tax years with HMRC for 2021 forward. The Company’s French subsidiary is not currently under examination and has open tax years of 2021 forward.
v3.25.2
Contingencies
 6 Months Ended
Jun. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Contingencies Contingencies
Legal Proceedings

Lawsuits arise in the ordinary course of the Company’s business. It is the opinion of the Company’s management, based upon the information available, that the expected outcome of litigation against the Company, individually or in the aggregate, will not have a material adverse effect on the Company’s financial position, although an adverse resolution of litigation against the Company in a fiscal quarter or year could have a material adverse effect on the Company’s results of operations or liquidity in that particular quarter or year.

In addition, in the ordinary course of their respective businesses, certain of AGL’s insurance subsidiaries are involved in litigation with third parties to recover insurance losses paid in prior periods or prevent or reduce losses in the future. For example, the Company is involved in a number of legal actions in the Federal District Court of Puerto Rico to enforce or defend its rights with respect to the obligations of PREPA it insures. There are two current proceedings related to PREPA, while there are a number of other unresolved proceedings related to PREPA that remain stayed pending the Federal District Court of Puerto Rico’s determination on the FOMB PREPA Plan. See Note 4, Expected Loss to be Paid (Recovered), Loss Estimation Process, Public Finance, Puerto Rico, for a description of such actions. The impact, if any, of these and other proceedings on the amount of recoveries the Company receives and losses it pays in the future is uncertain, and the impact of any one or more of these
proceedings during any quarter or year could be material to the Company’s results of operations in that particular quarter or year.

The Company also receives subpoenas and interrogatories from regulators from time to time.
v3.25.2
Shareholders' Equity
 6 Months Ended
Jun. 30, 2025
Equity [Abstract]  
Shareholders' Equity Shareholders’ Equity
Other Comprehensive Income

The following tables present the changes in each component of accumulated other comprehensive income (AOCI) and the effect of reclassifications out of AOCI into the respective lines in the condensed consolidated statements of operations.

Changes in Accumulated Other Comprehensive Income (Loss) by Component
Second Quarter 2025
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, March 31, 2025$(183)$(78)$(19)$(38)$4 $(314)
Other comprehensive income (loss) before reclassifications85 (3)— 2 — 84 
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
— (3)— — — (3)
Fair value gains (losses) on FG VIEs— — (1)— — (1)
Total before tax
— (3)(1)— — (4)
Tax (provision) benefit
— 1 — — — 1 
Total amount reclassified from AOCI, net of tax— (2)(1)— — (3)
Other comprehensive income (loss)85 (1)1 2 — 87 
Balance, June 30, 2025$(98)$(79)$(18)$(36)$4 $(227)

Changes in Accumulated Other Comprehensive Income (Loss) by Component
Second Quarter 2024
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, March 31, 2024$(231)$(103)$(21)$(37)$5 $(387)
Other comprehensive income (loss) before reclassifications(15)4 1 (1)— (11)
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
(4)(2)— — — (6)
Total before tax
(4)(2)— — — (6)
Tax (provision) benefit
1 (1)— — — — 
Total amount reclassified from AOCI, net of tax(3)(3)— — — (6)
Other comprehensive income (loss)(12)7 1 (1)— (5)
Balance, June 30, 2024$(243)$(96)$(20)$(38)$5 $(392)
Changes in Accumulated Other Comprehensive Income (Loss) by Component
Six Months 2025
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, December 31, 2024$(235)$(99)$(18)$(37)$4 $(385)
Other comprehensive income (loss) before reclassifications131 10 (1)1 — 141 
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
(6)(13)— — — (19)
Fair value gains (losses) on FG VIEs— — (1)— — (1)
Total before tax
(6)(13)(1)— — (20)
Tax (provision) benefit
— 3 — — — 3 
Total amount reclassified from AOCI, net of tax(6)(10)(1)— — (17)
Other comprehensive income (loss)137 20 — 1 — 158 
Balance, June 30, 2025$(98)$(79)$(18)$(36)$4 $(227)

Changes in Accumulated Other Comprehensive Income (Loss) by Component
Six Months 2024
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, December 31, 2023$(202)$(104)$(20)$(38)$5 $(359)
Other comprehensive income (loss) before reclassifications(46)14 (1)— — (33)
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
(6)8 — — — 2 
Fair value gains (losses) on FG VIEs— — (1)— — (1)
Total before tax
(6)8 (1)— — 1 
Tax (provision) benefit
1 (2)— — — (1)
Total amount reclassified from AOCI, net of tax(5)6 (1)— — — 
Other comprehensive income (loss)(41)8 — — — (33)
Balance, June 30, 2024$(243)$(96)$(20)$(38)$5 $(392)

Share Repurchases

The repurchase program may be modified, extended or terminated by AGL’s Board of Directors (the Board) at any time and does not have an expiration date. On August 6, 2025, the Board authorized the repurchase of an additional $300 million of the Company’s common shares. As of August 6, 2025, the remaining amount the Company was authorized to purchase was approximately $356 million of its common shares. The Company expects to repurchase shares from time to time in the open market or in privately negotiated transactions. The timing, form and amount of the share repurchases under the program are at the discretion of management and will depend on a variety of factors, including funds available at the parent company, other potential uses for such funds, market conditions, the Company’s capital position, legal requirements and other factors.
Share Repurchases
PeriodNumber of Shares RepurchasedTotal Payments (1)
(in millions)		Average Price Paid Per Share (1)
2024 (January 1 - March 31)1,539,278 $129 $84.07 
2024 (April 1 - June 30)1,928,328 152 78.50 
2024 (July 1- September 30)1,658,441 131 78.87 
2024 (October 1- December 31)1,054,727 90 86.11 
Total 20246,180,774 $502 $81.28 
2025 (January 1 - March 31)1,335,228 120 89.72 
2025 (April 1 - June 30)1,537,505 131 85.03 
2025 (July 1 - August 6)537,550 45 84.16 
Total 20253,410,283 $296 $86.73 
____________________
(1)    Excludes commissions and excise taxes.
v3.25.2
Earnings Per Share
 6 Months Ended
Jun. 30, 2025
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
 
Computation of Earnings Per Share
 Second QuarterSix Months
 2025202420252024
 (in millions, except per share amounts)
Basic Earnings Per Share (EPS):
Net income (loss) attributable to AGL$103 $78 $279 $187 
Less: Distributed and undistributed income (loss) available to nonvested shareholders— — 2 1 
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic$103 $78 $277 $186 
Basic shares48.9 54.1 49.5 54.9 
Basic EPS$2.10 $1.43 $5.60 $3.38 
Diluted EPS:
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic$103 $78 $277 $186 
Plus: Re-allocation of undistributed income (loss) available to nonvested shareholders of AGL and subsidiaries— — — — 
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, diluted$103 $78 $277 $186 
Basic shares48.9 54.1 49.5 54.9 
Dilutive securities:
Restricted stock awards0.5 0.9 0.6 1.2 
Diluted shares49.4 55.0 50.1 56.1 
Diluted EPS$2.08 $1.41 $5.54 $3.31 
Potentially dilutive securities excluded from computation of EPS because of antidilutive effect0.2 0.1 0.1 0.1 
v3.25.2
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.2
Business and Basis of Presentation (Policies)
 6 Months Ended
Jun. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation
Basis of Presentation

The unaudited interim condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP). In management’s opinion, all material adjustments necessary for a fair statement of the financial condition, results of operations and cash flows of the Company, including its consolidated variable interest entities (VIEs), are reflected in the periods presented and are of a normal, recurring nature. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

These unaudited interim condensed consolidated financial statements are as of June 30, 2025 and cover the three-month period ended June 30, 2025 (second quarter 2025), the three-month period ended June 30, 2024 (second quarter 2024), the six-month period ended June 30, 2025 (six months 2025) and the six-month period ended June 30, 2024 (six months 2024). Certain financial information that is normally included in annual financial statements prepared in accordance with GAAP, but is not required for interim reporting purposes, has been condensed or omitted. The year-end condensed consolidated balance sheet data was derived from audited financial statements but does not include all disclosures required by GAAP. Certain prior year balances have been reclassified to conform to the current period’s presentation.
Consolidation
The unaudited interim condensed consolidated financial statements include the accounts of AGL, its direct and indirect subsidiaries, and its consolidated financial guaranty VIEs (FG VIEs) and consolidated investment vehicles (CIVs). See Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles. Intercompany accounts and transactions between and among all consolidated entities have been eliminated. All amounts are reported in U.S. dollars, unless otherwise specified.
Recent Accounting Standards Not Yet Adopted
Recent Accounting Standards Not Yet Adopted

In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The amendments require enhanced annual disclosures regarding the rate reconciliation and income taxes paid. This ASU is effective for fiscal years beginning after December 15, 2024. The Company will apply the amendments in this ASU prospectively to all annual periods beginning after December 15, 2024. The adoption of this ASU will affect certain of the Company’s income tax disclosures.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40). The amendments in this ASU require disclosure about specific expense categories, including employee compensation, depreciation and intangible asset amortization, in the notes to financial statements at interim and annual reporting periods. This ASU is effective in fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. Prospective application is required, and retrospective application is permitted. The Company is evaluating when and how it will adopt this ASU and the effect that the amendments in this ASU may have on its expense disclosures.
Segment Information
The Company reports its results of operations in two segments: Insurance and Asset Management. The Company separately reports the results of its Corporate division and the effects of consolidating FG VIEs and CIVs. This presentation is consistent with the manner in which the Chief Executive Officer and President, the chief operating decision maker (CODM), reviews the business to assess performance and allocate resources. The CODM predominantly uses adjusted operating income
to allocate resources for each segment in the annual budget and forecasting process and to assess the performance for each segment.
Fair Value Measurement
The Company carries a significant portion of its assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., exit or transfer price). The price represents the price available in the principal market for the asset or liability. If there is no principal market, then the price is based on a hypothetical market that maximizes the value received for an asset or minimizes the amount paid for a liability (i.e., the most advantageous market).

Fair value is based on quoted market prices, where available. If listed prices or quotes are not available, fair value is based on either (i) internally developed models that primarily use, as inputs, market-based or independently sourced market parameters (including, but not limited to, yield curves, interest rates and debt prices) or (ii) discounted cash flows using a third party’s proprietary pricing models. In addition to market information, when applicable, the models also incorporate transaction details, such as the instrument’s maturity and contractual features that reduce the Company’s credit exposure (e.g., collateral rights).

Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments include amounts to reflect counterparty credit quality, the Company’s creditworthiness and constraints on liquidity. As markets and products develop and the pricing transparency for certain products changes, the Company may refine its methodologies and assumptions. During six months 2025, no changes were made to the Company’s valuation models that had (or are expected to have) a material impact on the Company’s condensed consolidated balance sheets or statements of operations and comprehensive income.

The Company’s valuation methods produce fair values that may not be indicative of net realizable value or future fair values. The use of different methodologies or assumptions to determine fair value of certain financial instruments could result in a materially different estimate of fair value at the reporting date.

The categorization within the fair value hierarchy is determined based on whether the inputs to valuation techniques used to measure fair value are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect Company estimates of market assumptions. The fair value hierarchy prioritizes
model inputs into three broad levels, with Level 1 being the highest and Level 3 the lowest. The categorization, of an asset or liability, within the hierarchy is based on the lowest level of significant input to its valuation.

Level 1—Quoted prices for identical instruments in active markets. The Company generally defines an active market as a market in which trading occurs at significant volumes. Active markets generally are more liquid and have a lower bid-ask spread than an inactive market.

Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and observable inputs other than quoted prices, such as interest rates or yield curves and other inputs derived from or corroborated by observable market inputs.

Level 3—Model derived valuations in which one or more significant inputs or significant value drivers are unobservable. Financial instruments are considered Level 3 when their values are (i) determined using pricing models, discounted cash flow methodologies or similar techniques and (ii) at least one significant model assumption or input is unobservable. Level 3 financial instruments include those for which the determination of fair value requires significant management judgment or estimation.
v3.25.2
Segment Information (Tables)
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Schedule of Information by Operating Segments
The following table presents information for the Company’s operating segments. Intersegment revenues include transactions between and among the segments, the Corporate division and Other category.
Segment Information
Second Quarter
20252024
InsuranceAsset ManagementInsuranceAsset Management
(in millions)
Third-party revenues$196 $13 $186 $6 
Intersegment revenues3 2 3 1 
Segment revenues199 15 189 7 
Segment loss and LAE (benefit)27 — — — 
Segment employee compensation and benefit expenses44 — 40 — 
Segment amortization of deferred acquisition cost5 — 3 — 
Other segment items (2)29 9 27 4 
Segment expenses105 9 70 4 
Segment equity in earnings (losses) of investees2 (1)15 (3)
Less: Segment provision (benefit) for income taxes20 1 18 — 
Segment adjusted operating income (loss)$76 $4 $116 $— 
Selected components of segment adjusted operating income:
Net investment income$89 $— $81 $— 
Non-cash compensation and operating expenses (3)14 — 11 — 

Six Months
20252024
Insurance (1)Asset ManagementInsurance Asset Management
(in millions)
Third-party revenues$433 $18 $413 $7 
Intersegment revenues5 3 5 1 
Segment revenues438 21 418 8 
Segment loss and LAE (benefit)4 — 4 — 
Segment employee compensation and benefit expenses96 — 88 — 
Segment amortization of deferred acquisition cost10 — 9 — 
Other segment items (2)59 13 54 4 
Segment expenses169 13 155 4 
Segment equity in earnings (losses) of investees32 12 55 (2)
Less: Segment provision (benefit) for income taxes57 4 53 1 
Segment adjusted operating income (loss)$244 $16 $265 $1 
Selected components of segment adjusted operating income:
Net investment income$175 $— $164 $— 
Non-cash compensation and operating expenses (3)32 — 28 — 
_____________________
(1)    Six months 2025 results include the gain recognized in connection with the Lehman Brothers International (Europe) (in administration) (LBIE) litigation, which represents the full satisfaction of the judgment the Company was awarded and its claims for attorneys’ fees, expenses and interest. See Note 6, Contracts Accounted for as Credit Derivatives, for additional information.
(2)    Other segment items for the Insurance segment include professional services expenses, maintenance, depreciation expense, lease expense, investment management expenses and certain overhead expenses; and for the Asset Management segment include expenses associated with incentive fees.
(3)    Amounts consist of depreciation, amortization and share-based compensation expenses.
Reconciliation of Other Significant Reconciling Items from Segments to Consolidated
The tables below present a reconciliation of significant components of segment information to the comparable consolidated amounts.

Reconciliation of Segment Information to Consolidated Information
Three Months Ended June 30, 2025
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$199 $105 $2 $20 $— $76 
Asset Management15 9 (1)1 — 4 
Total segments214 114 1 21 — 80 
Corporate division4 39 3 (3)— (29)
Other— (2)(1)(1)3 (1)
Subtotal218 151 3 17 3 50 
Reconciling items:
Realized gains (losses) on investments(6)— — — — (6)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives(1)— — — — (1)
Fair value gains (losses) on CCS(1)— — — — (1)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves71 — — — — 71 
Tax effect— — — 10 — (10)
Consolidated$281 $151 $3 $27 $3 $103 

Reconciliation of Segment Information to Consolidated Information
Three Months Ended June 30, 2024
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$189 $70 $15 $18 $— $116 
Asset Management7 4 (3)— — — 
Total segments196 74 12 18 — 116 
Corporate division4 44 — (5)— (35)
Other4 (5)(7)— 3 (1)
Subtotal204 113 5 13 3 80 
Reconciling items:
Realized gains (losses) on investments(6)— — — — (6)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives3 — — — — 3 
Fair value gains (losses) on CCS1 — — — — 1 
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves— — — — — — 
Tax effect— — — — — — 
Consolidated$202 $113 $5 $13 $3 $78 
Reconciliation of Segment Information to Consolidated Information
Six Months Ended June 30, 2025
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$438 $169 $32 $57 $— $244 
Asset Management21 13 12 4 — 16 
Total segments459 182 44 61 — 260 
Corporate division8 79 19 (3)— (49)
Other16 (4)(7)— 12 1 
Subtotal483 257 56 58 12 212 
Reconciling items:
Realized gains (losses) on investments(22)— — — — (22)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives60 63 — — — (3)
Fair value gains (losses) on CCS1 — — — — 1 
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves104 — — — — 104 
Tax effect— — — 13 — (13)
Consolidated$626 $320 $56 $71 $12 $279 

Reconciliation of Segment Information to Consolidated Information
Six Months Ended June 30, 2024
Equity in Earnings (Losses) of InvesteesLess:Net Income (Loss) Attributable to AGL
 Revenues Expenses Provision (Benefit) for Income Taxes Noncontrolling Interests 
 (in millions)
Segments:
Insurance$418 $155 $55 $53 $— $265 
Asset Management8 4 (2)1 — 1 
Total segments426 159 53 54 — 266 
Corporate division9 91 — (10)— (72)
Other20 (10)(24)— 7 (1)
Subtotal455 240 29 44 7 193 
Reconciling items:
Realized gains (losses) on investments2 — — — — 2 
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives11 (2)— — — 13 
Fair value gains (losses) on CCS(9)— — — — (9)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves(12)— — — — (12)
Tax effect— — — — — — 
Consolidated$447 $238 $29 $44 $7 $187 
v3.25.2
Outstanding Exposure (Tables)
 6 Months Ended
Jun. 30, 2025
Outstanding Exposure Disclosure [Abstract]  
Debt Service Outstanding
Financial Guaranty Portfolio
Debt Service and Par Outstanding
As of June 30, 2025 As of December 31, 2024
  GrossNet GrossNet
 (in millions)
Debt Service
Public finance$422,661 $422,587 $403,789 $403,718 
Structured finance12,401 11,975 12,674 12,248 
Total financial guaranty$435,062 $434,562 $416,463 $415,966 
Par Outstanding
Public finance$261,904 $261,848 $250,429 $250,375 
Structured finance11,356 10,930 11,603 11,177 
Total financial guaranty$273,260 $272,778 $262,032 $261,552 
Financial Guaranty Portfolio by Internal Rating
Financial Guaranty Portfolio by Internal Rating
As of June 30, 2025
 Public Finance
U.S.		Public Finance
Non-U.S.		Structured Finance
U.S.		Structured Finance
Non-U.S.		Total
Rating
Category		Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%
 (dollars in millions)
AAA$23 — %$1,966 3.7 %$486 6.0 %$521 18.8 %$2,996 1.1 %
AA17,572 8.5 2,872 5.4 5,314 65.1 67 2.5 25,825 9.5 
A118,435 56.7 12,888 24.3 761 9.3 2,096 75.8 134,180 49.2 
BBB70,136 33.6 28,314 53.3 739 9.0 80 2.9 99,269 36.4 
BIG2,550 1.2 7,092 13.3 866 10.6 — — 10,508 3.8 
Total net par outstanding$208,716 100.0 %$53,132 100.0 %$8,166 100.0 %$2,764 100.0 %$272,778 100.0 %
Financial Guaranty Portfolio by Internal Rating
As of December 31, 2024 
 Public Finance
U.S.		Public Finance
Non-U.S.		Structured Finance
U.S.		Structured Finance
Non-U.S.		Total
Rating
Category		Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%Net Par
Outstanding		%
 (dollars in millions)
AAA$25 — %$2,074 4.2 %$512 6.1 %$470 17.3 %$3,081 1.2 %
AA17,664 8.8 2,854 5.8 5,386 63.7 58 2.1 25,962 9.9 
A111,502 55.5 13,046 26.5 952 11.3 2,117 77.7 127,617 48.8 
BBB69,096 34.3 24,828 50.5 707 8.3 79 2.9 94,710 36.2 
BIG2,888 1.4 6,398 13.0 896 10.6 — — 10,182 3.9 
Total net par outstanding$201,175 100.0 %$49,200 100.0 %$8,453 100.0 %$2,724 100.0 %$261,552 100.0 %
Schedule of BIG Net Par Outstanding and Number of Risks
Financial Guaranty Portfolio
Components of BIG Net Par Outstanding
As of June 30, 2025
 BIG Net Par OutstandingNet Par
 BIG 1BIG 2BIG 3Total BIGOutstanding
   (in millions)  
Public finance:
U.S. public finance$1,410 $471 $669 $2,550 $208,716 
Non-U.S. public finance 4,061 3,031 — 7,092 53,132 
Public finance5,471 3,502 669 9,642 261,848 
Structured finance:
U.S. RMBS83 29 679 791 1,436 
Other structured finance— 19 56 75 9,494 
Structured finance83 48 735 866 10,930 
Total$5,554 $3,550 $1,404 $10,508 $272,778 

Financial Guaranty Portfolio
Components of BIG Net Par Outstanding
As of December 31, 2024
 BIG Net Par OutstandingNet Par
 BIG 1BIG 2BIG 3Total BIGOutstanding
   (in millions)  
Public finance:
U.S. public finance$2,119 $137 $632 $2,888 $201,175 
Non-U.S. public finance 5,879 519 — 6,398 49,200 
Public finance7,998 656 632 9,286 250,375 
Structured finance:
U.S. RMBS104 29 686 819 1,507 
Other structured finance— 21 56 77 9,670 
Structured finance104 50 742 896 11,177 
Total$8,102 $706 $1,374 $10,182 $261,552 
BIG Net Par Outstanding and Number of Risks
Financial Guaranty Portfolio
BIG Net Par Outstanding and Number of Risks
As of June 30, 2025
 Net Par Outstanding
Number of Risks (2)
DescriptionFinancial
Guaranty
Insurance (1)		Credit
Derivatives		TotalFinancial
Guaranty
Insurance (1)		Credit
Derivatives		Total
 (dollars in millions)
BIG 1$5,528 $26 $5,554 91 3 94 
BIG 23,546 4 3,550 13 1 14 
BIG 31,404 — 1,404 98 3 101 
Total BIG$10,478 $30 $10,508 202 7 209 

 Financial Guaranty Portfolio
BIG Net Par Outstanding and Number of Risks
As of December 31, 2024
 Net Par Outstanding
Number of Risks (2)
DescriptionFinancial
Guaranty
Insurance (1)		Credit
Derivatives		TotalFinancial
Guaranty
Insurance (1)		Credit
Derivatives		Total
 (dollars in millions)
BIG 1$8,074 $28 $8,102 98 3 101 
BIG 2702 4 706 12 1 13 
BIG 31,374 — 1,374 97 3 100 
Total BIG$10,150 $32 $10,182 207 7 214 
_____________________
(1)    Includes FG VIEs.
(2)    A risk represents the aggregate of the financial guaranty policies that share the same revenue source for purposes of making debt service payments
The following tables provide information on financial guaranty insurance contracts categorized as BIG.

Financial Guaranty Insurance
BIG Transaction Loss Summary
As of June 30, 2025
 GrossNet Total BIG
 BIG 1BIG 2BIG 3Total BIG
(dollars in millions)
Number of risks (1)91 13 98 202 202 
Remaining weighted-average period (in years)11.624.55.516.816.8
Outstanding exposure:    
Par$5,534 $3,546 $1,412 $10,492 $10,478 
Interest3,395 4,899 392 8,686 8,684 
Total (2)$8,929 $8,445 $1,804 $19,178 $19,162 
Expected cash outflows (inflows) $129 $2,659 $1,342 $4,130 $4,121 
Potential recoveries (3)(367)(2,412)(1,146)(3,925)(3,915)
Subtotal(238)247 196 205 206 
Discount45 (63)(18)(36)(36)
Expected losses to be paid (recovered)$(193)$184 $178 $169 $170 
Deferred premium revenue$198 $142 $112 $452 $452 
Reserves (salvage)$(235)$76 $91 $(68)$(67)
Financial Guaranty Insurance
BIG Transaction Loss Summary
As of December 31, 2024
 GrossNet Total BIG
 BIG 1BIG 2BIG 3Total BIG
(dollars in millions)
Number of risks (1)98 12 97 207 207 
Remaining weighted-average period (in years)18.68.86.116.616.6
Outstanding exposure: 
Par$8,080 $702 $1,382 $10,164 $10,150 
Interest7,546 371 421 8,338 8,335 
Total (2)$15,626 $1,073 $1,803 $18,502 $18,485 
Expected cash outflows (inflows) $4,016 $342 $1,307 $5,665 $5,656 
Potential recoveries (3)(4,201)(293)(1,132)(5,626)(5,616)
Subtotal(185)49 175 39 40 
Discount43 29 (23)49 49 
Expected losses to be paid (recovered)$(142)$78 $152 $88 $89 
Deferred premium revenue$333 $49 $116 $498 $498 
Reserves (salvage)$(226)$35 $62 $(129)$(128)
____________________
(1)A risk represents the aggregate of the financial guaranty policies that share the same revenue source for purposes of making debt service payments.
(2)Includes amounts related to FG VIEs.
(3)Represents expected inflows from future payments by obligors pursuant to restructuring agreements, settlements, excess spread on any underlying collateral and other estimated recoveries. Potential recoveries also include recoveries on certain investment grade credits, related mainly to exposures that were previously BIG and for which claims have been paid in the past.
Schedule of Non-Financial Guaranty Exposure
The Company also guarantees specialty business with risk profiles similar to those of its structured finance exposures written in financial guaranty form.

Specialty Business
As of June 30, 2025 As of December 31, 2024
Gross ExposureNet ExposureGross ExposureNet Exposure
(in millions)
Diversified real estate (1)$2,119 $2,119 $2,004 $2,004 
Insurance reserve financings and securitizations 1,513 1,184 1,449 1,126 
Pooled corporate obligations884 884 868 868 
Aircraft residual value insurance147 87 147 87 
____________________
(1)    Excess-of-loss guaranty of a minimum amount of billed rent on a diversified portfolio of real estate properties with an internal rating of AAA that matures in 2044. This guaranty is accounted for in accordance with Accounting Standards Codification (ASC) 460, Guarantees.
v3.25.2
Expected Loss to be Paid (Recovered) (Tables)
 6 Months Ended
Jun. 30, 2025
Expected Losses [Abstract]  
Net Expected Loss to be Paid By Accounting Model
Net Expected Loss to be Paid (Recovered) and Net Economic Loss Development (Benefit)
by Accounting Model
Net Expected Loss to be Paid (Recovered)Net Economic Loss Development (Benefit)
As ofSecond QuarterSix Months
Accounting ModelJune 30, 2025December 31, 20242025202420252024
 (in millions)
Insurance (see Note 5)
$171 $90 $38 $19 $86 $12 
FG VIEs (see Note 8)
16 16 (1)1 (1)1 
Credit derivatives (see Note 6)
(1)— (1)1 (64)1 
Total
$186 $106 $36 $21 $21 $14 
Net Expected Loss to be Paid After Net Expected Recoveries for Breaches of R&W Roll Forward
The following tables present a roll forward of net expected loss to be paid (recovered) for all contracts, which are accounted for under one of the following accounting models: insurance, derivative or FG VIE. The Company used risk-free rates for U.S. and non-U.S. currencies that ranged from 1.84% to 5.48% with a weighted average of 4.15% as of June 30, 2025 and 1.98% to 5.22% with a weighted average of 4.38% as of December 31, 2024.

Net Expected Loss to be Paid (Recovered)
Roll Forward
 Second QuarterSix Months
2025202420252024
 (in millions)
Net expected loss to be paid (recovered), beginning of period$150 $433 $106 $505 
Economic loss development (benefit) due to:
Accretion of discount2 4 3 9 
Changes in discount rates1 1 6 (2)
Changes in timing and assumptions33 16 12 7 
Total economic loss development (benefit) (1)36 21 21 14 
Net (paid) recovered losses (1)— (7)59 (72)
Net expected loss to be paid (recovered), end of period$186 $447 $186 $447 
____________________
(1)    Six months 2025 amounts include recoveries recognized in connection with the resolution of the LBIE litigation. See Note 6, Contracts Accounted for as Credit Derivatives, for additional information.

Net Expected Loss to be Paid (Recovered)
Roll Forward by Sector
Second Quarter 2025
SectorNet Expected Loss to be Paid (Recovered) as of March 31, 2025Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2025
 (in millions)
Public finance:
U.S. public finance$35 $24 $(6)$53 
Non-U.S. public finance 122 18 (1)139 
Public finance157 42 (7)192 
Structured finance:   
U.S. RMBS(37)(6)8 (35)
Other structured finance30 — (1)29 
Structured finance(7)(6)7 (6)
Total$150 $36 $— $186 
Second Quarter 2024
SectorNet Expected Loss to be Paid (Recovered) as of March 31, 2024Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2024
 (in millions)
Public finance:
U.S. public finance$378 $12 $(16)$374 
Non-U.S. public finance 20 17 — 37 
Public finance398 29 (16)411 
Structured finance:   
U.S. RMBS(2)(10)12 — 
Other structured finance37 2 (3)36 
Structured finance35 (8)9 36 
Total$433 $21 $(7)$447 

Six Months 2025
SectorNet Expected Loss to be Paid (Recovered) as of December 31, 2024Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2025
 (in millions)
Public finance:
U.S. public finance$18 $53 $(18)$53 
Non-U.S. public finance 98 42 (1)139 
Public finance116 95 (19)192 
Structured finance:   
U.S. RMBS(43)(9)17 (35)
Other structured finance (2)33 (65)61 29 
Structured finance(10)(74)78 (6)
Total$106 $21 $59 $186 

Six Months 2024
SectorNet Expected Loss to be Paid (Recovered) as of December 31, 2023Net Economic Loss
Development (Benefit)
Net (Paid)
Recovered
Losses (1)
Net Expected Loss to be Paid (Recovered) as of June 30, 2024
 (in millions)
Public finance:
U.S. public finance$398 $9 $(33)$374 
Non-U.S. public finance 20 17 — 37 
Public finance418 26 (33)411 
Structured finance:   
U.S. RMBS43 (13)(30)— 
Other structured finance44 1 (9)36 
Structured finance87 (12)(39)36 
Total$505 $14 $(72)$447 
____________________
(1)    Amounts are net of ceded paid losses, whether or not such amounts have been settled with reinsurers. Ceded paid losses are typically settled 45 days after the end of the reporting period. Such amounts are recorded as reinsurance recoverable on paid losses in “other assets.”
(2)    Six months 2025 amounts include recoveries recognized in connection with the resolution of the LBIE litigation. See Note 6, Contracts Accounted for as Credit Derivatives, for additional information.
Schedule Of Net Expected Losses To Be Paid (Recovered) And Net Economic Development (Benefit) Loss
Expected losses are also a function of the structure of the transaction, the interest rate environment and other factors.
Net Economic Loss Development (Benefit)
U.S. RMBS
Second QuarterSix Months
2025202420252024
 (in millions)
First lien U.S. RMBS$(4)$(2)$(2)$(3)
Second lien U.S. RMBS(2)(8)(7)(10)
Total U.S. RMBS economic loss development (benefit)$(6)$(10)$(9)$(13)
Liquidation Rates and Key Assumptions in Base Case Expected Loss Estimates First Lien RMBS
The following table shows the range as well as the average, weighted by outstanding net insured par, for key assumptions used in the calculation of expected loss to be paid (recovered) for individual transactions for vintage 2004 - 2008 first lien U.S. RMBS.

Key Assumptions in Base Scenario Expected Loss Estimates
First Lien U.S. RMBS
 As of June 30, 2025As of December 31, 2024
RangeWeighted AverageRangeWeighted Average
Plateau CDR0.0 %-8.4%3.2%0.0 %-8.8%3.4%
Final CDR0.0 %-0.4%0.2%0.0 %-0.4%0.2%
Initial loss severity40.0 %-50.0%43.0%40.0 %-50.0%43.1%
Future recovery for deferred principal balances50%50%
Liquidation rates (1)20 %-50%20 %-50%
____________________
(1)    The liquidation rates range from current but recently delinquent loans to foreclosed loans.
Key Assumptions in Base Case Expected Loss Estimates Second Lien RMBS
The following table shows the range as well as the average, weighted by net par outstanding, for key assumptions used in the calculation of expected loss to be paid (recovered) for individual transactions for vintage 2004 - 2008 HELOCs.

Key Assumptions in Base Scenario Expected Loss Estimates
HELOCs
As of June 30, 2025As of December 31, 2024
RangeWeighted AverageRangeWeighted Average
Plateau CDR0.2 %–6.7%2.6%0.0 %–5.6%2.2%
Final CDR0.0 %–0.3%0.1%0.0 %–0.3%0.1%
Liquidation rates (1)20 %–55%20 %–55%
Loss severity on future defaults98%98%
Projected future recoveries on previously charged-off loans50%50%
____________________
(1)    The liquidation rates range from current but recently delinquent loans to foreclosed loans.
v3.25.2
Contracts Accounted for as Insurance (Tables)
 6 Months Ended
Jun. 30, 2025
Insurance [Abstract]  
Net Earned Premiums
Net Earned Premiums
 Second QuarterSix Months
 2025202420252024
 (in millions)
Financial guaranty insurance:
Scheduled net earned premiums$75 $72 $151 $143 
Accelerations from refundings and terminations4 3 9 42 
Accretion of discount on net premiums receivable9 8 18 15 
Financial guaranty insurance net earned premiums88 83 178 200 
Specialty net earned premiums1 1 2 3 
  Net earned premiums$89 $84 $180 $203 
Gross Premium Receivable, Net of Commissions Payable on Assumed Business Roll Forward
Gross Premium Receivable,
Net of Commissions Payable on Assumed Business and Allowance for Credit Losses
Roll Forward
 Six Months
 20252024
 (in millions)
Beginning of year$1,551 $1,468 
Less: Specialty insurance premium receivable1 1 
Financial guaranty insurance premiums receivable1,550 1,467 
New business and supplemental premiums, net of commissions124 220 
Gross premiums received, net of commissions (154)(188)
Adjustments:
Changes in the expected term and debt service assumptions(7)(29)
Accretion of discount, net of commissions on assumed business17 11 
Foreign exchange gain (loss) on remeasurement101 (10)
Change in allowance for credit losses(1)— 
Financial guaranty insurance premium receivable1,630 1,471 
Specialty insurance premium receivable1 1 
June 30,$1,631 $1,472 
Financial Guaranty Insurance
Expected Future Premium Collections and Earnings
 As of June 30, 2025
Future Net Premiums to be Earned (2)
Future Premiums
to be Collected (1)		Earnings of Deferred Premium RevenueAccretion of
Discount		Total
 (in millions)
2025 (July 1 - September 30)$76 $77 $10 $87 
2025 (October 1 - December 31)43 76 10 86 
Subtotal 2025119 153 20 173 
2026141 286 37 323 
2027132 267 34 301 
2028125 253 32 285 
2029113 236 30 266 
2030-2034446 939 127 1,066 
2035-2039342 615 92 707 
2040-2044262 405 61 466 
2045-2049198 268 35 303 
2050-2054121 139 15 154 
After 2054129 108 13 121 
Total$2,128 $3,669 $496 $4,165 
____________________
(1)    Net of assumed commissions payable.
(2)    Net of reinsurance.
Selected Information for Policies Paid in Installments
Selected Information for Financial Guaranty Insurance Policies with Premiums Paid in Installments
As of
 June 30, 2025December 31, 2024
 (dollars in millions)
Premiums receivable, net of commissions payable$1,630$1,550
Deferred premium revenue1,8701,901
Weighted-average risk-free rate used to discount premiums2.5%2.5%
Weighted-average period of premiums receivable (in years)12.112.3
Loss and LAE Reserve and Salvage and Subrogation Recoverable Net of Reinsurance Insurance Contracts
The following table provides information on net reserve (salvage), which includes loss and LAE reserves and salvage and subrogation recoverable, both net of reinsurance.

Net Reserve (Salvage) by Sector
As of
SectorJune 30, 2025December 31, 2024
 (in millions)
Public finance:
U.S. public finance$19 $(14)
Non-U.S. public finance 25 5 
Public finance44 (9)
Structured finance:
U.S. RMBS(138)(151)
Other structured finance28 33 
Structured finance(110)(118)
Total$(66)$(127)
Reconciliation of Net Expected Loss to be Paid and Net Expected Loss to be Expensed Financial Guaranty Insurance Contracts
The table below provides a reconciliation of net expected loss to be paid (recovered) for financial guaranty insurance contracts to net expected loss to be expensed. Expected loss to be paid (recovered) for financial guaranty insurance contracts differs from expected loss to be expensed due to: (i) the contra-paid, which represents the claim payments made and recoveries received that have not yet been recognized in the statements of operations; (ii) salvage and subrogation recoverable for transactions that are in a net recovery position where the Company has not yet received recoveries on claims previously paid (and therefore recognized in income but not yet received); and (iii) loss reserves that have already been established (and therefore expensed but not yet paid).

Reconciliation of Net Expected Loss to be Paid (Recovered) to Net Expected Loss to be Expensed
Financial Guaranty Insurance Contracts
As of June 30, 2025
 (in millions)
Net expected loss to be paid (recovered) - financial guaranty insurance $170 
Contra-paid, net 23 
Salvage and subrogation recoverable, net380 
Loss and LAE reserve - financial guaranty insurance contracts, net of reinsurance(313)
Net expected loss to be expensed (present value)$260 
Net Expected Loss to be Expensed Insurance Contracts
The following table provides a schedule of the expected timing of financial guaranty net expected losses to be expensed. The amount and timing of actual loss and LAE may differ from the estimates shown below due to factors such as accelerations, commutations, changes in expected lives and updates to loss estimates. This table excludes amounts related to FG VIEs, which are eliminated in consolidation.
Net Expected Loss to be Expensed
Financial Guaranty Insurance Contracts
 As of June 30, 2025
 (in millions)
2025 (July 1 - September 30)$3 
2025 (October 1 - December 31)4 
Subtotal 20257 
202614 
202717 
202819 
202919 
2030-203480 
2035-203939 
2040-204420 
2045-204926 
2050-205417 
After 20542 
Net expected loss to be expensed (present value)260 
Future expected accretion36 
Total expected future loss and LAE$296 
Loss and LAE Reported on the Consolidated Statements of Operations
The following table presents the loss and LAE (benefit) reported in the condensed consolidated statements of operations by sector for insurance contracts.

Loss and LAE (Benefit) by Sector
 Second QuarterSix Months
Sector2025202420252024
(in millions)
Public finance:
U.S. public finance$15 $1 $51 $(1)
Non-U.S. public finance14 — 20 — 
Public finance29 1 71 (1)
Structured finance:
U.S. RMBS$— $(5)— (3)
Other structured finance(1)2 (3)1 
Structured finance(1)(3)(3)(2)
Loss and LAE (benefit)$28 $(2)$68 $(3)
BIG Net Par Outstanding and Number of Risks
Financial Guaranty Portfolio
BIG Net Par Outstanding and Number of Risks
As of June 30, 2025
 Net Par Outstanding
Number of Risks (2)
DescriptionFinancial
Guaranty
Insurance (1)		Credit
Derivatives		TotalFinancial
Guaranty
Insurance (1)		Credit
Derivatives		Total
 (dollars in millions)
BIG 1$5,528 $26 $5,554 91 3 94 
BIG 23,546 4 3,550 13 1 14 
BIG 31,404 — 1,404 98 3 101 
Total BIG$10,478 $30 $10,508 202 7 209 

 Financial Guaranty Portfolio
BIG Net Par Outstanding and Number of Risks
As of December 31, 2024
 Net Par Outstanding
Number of Risks (2)
DescriptionFinancial
Guaranty
Insurance (1)		Credit
Derivatives		TotalFinancial
Guaranty
Insurance (1)		Credit
Derivatives		Total
 (dollars in millions)
BIG 1$8,074 $28 $8,102 98 3 101 
BIG 2702 4 706 12 1 13 
BIG 31,374 — 1,374 97 3 100 
Total BIG$10,150 $32 $10,182 207 7 214 
_____________________
(1)    Includes FG VIEs.
(2)    A risk represents the aggregate of the financial guaranty policies that share the same revenue source for purposes of making debt service payments
The following tables provide information on financial guaranty insurance contracts categorized as BIG.

Financial Guaranty Insurance
BIG Transaction Loss Summary
As of June 30, 2025
 GrossNet Total BIG
 BIG 1BIG 2BIG 3Total BIG
(dollars in millions)
Number of risks (1)91 13 98 202 202 
Remaining weighted-average period (in years)11.624.55.516.816.8
Outstanding exposure:    
Par$5,534 $3,546 $1,412 $10,492 $10,478 
Interest3,395 4,899 392 8,686 8,684 
Total (2)$8,929 $8,445 $1,804 $19,178 $19,162 
Expected cash outflows (inflows) $129 $2,659 $1,342 $4,130 $4,121 
Potential recoveries (3)(367)(2,412)(1,146)(3,925)(3,915)
Subtotal(238)247 196 205 206 
Discount45 (63)(18)(36)(36)
Expected losses to be paid (recovered)$(193)$184 $178 $169 $170 
Deferred premium revenue$198 $142 $112 $452 $452 
Reserves (salvage)$(235)$76 $91 $(68)$(67)
Financial Guaranty Insurance
BIG Transaction Loss Summary
As of December 31, 2024
 GrossNet Total BIG
 BIG 1BIG 2BIG 3Total BIG
(dollars in millions)
Number of risks (1)98 12 97 207 207 
Remaining weighted-average period (in years)18.68.86.116.616.6
Outstanding exposure: 
Par$8,080 $702 $1,382 $10,164 $10,150 
Interest7,546 371 421 8,338 8,335 
Total (2)$15,626 $1,073 $1,803 $18,502 $18,485 
Expected cash outflows (inflows) $4,016 $342 $1,307 $5,665 $5,656 
Potential recoveries (3)(4,201)(293)(1,132)(5,626)(5,616)
Subtotal(185)49 175 39 40 
Discount43 29 (23)49 49 
Expected losses to be paid (recovered)$(142)$78 $152 $88 $89 
Deferred premium revenue$333 $49 $116 $498 $498 
Reserves (salvage)$(226)$35 $62 $(129)$(128)
____________________
(1)A risk represents the aggregate of the financial guaranty policies that share the same revenue source for purposes of making debt service payments.
(2)Includes amounts related to FG VIEs.
(3)Represents expected inflows from future payments by obligors pursuant to restructuring agreements, settlements, excess spread on any underlying collateral and other estimated recoveries. Potential recoveries also include recoveries on certain investment grade credits, related mainly to exposures that were previously BIG and for which claims have been paid in the past.
v3.25.2
Contracts Accounted for as Credit Derivatives (Tables)
 6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Credit Derivatives Subordination and Ratings and Net Par Outstanding by Internal Rating
The components of the Company’s credit derivative net par outstanding by sector are presented in the table below. The estimated remaining weighted average life of credit derivatives was 9.0 years and 8.4 years as of June 30, 2025 and December 31, 2024, respectively.

 Credit Derivatives (1)
 As of June 30, 2025As of December 31, 2024
SectorNet Par
Outstanding		Net Fair Value Asset (Liability)Net Par
Outstanding		Net Fair Value Asset (Liability)
 (in millions)
U.S. public finance $1,002 $(11)$1,025 $(12)
Non-U.S. public finance 1,670 (16)2,044 (15)
U.S. structured finance145 (2)150 (2)
Non-U.S. structured finance 1,021 — 993 — 
Total$3,838 $(29)$4,212 $(29)
____________________
(1)    See Note 4, Expected Loss to be Paid (Recovered), for expected loss to be paid on credit derivatives.
Net Change in Fair Value of Credit Derivatives
Fair Value Gains (Losses) on Credit Derivatives
Second QuarterSix Months
 2025202420252024
 (in millions)
Realized gains (losses) and other settlements$— $1 $105 $— 
Net unrealized gains (losses)1 5 — 16 
Fair value gains (losses) on credit derivatives$1 $6 $105 $16 
CDS Spread on AGC and AGM
CDS Spread on AG (in basis points)
  As of June 30,
2025		 As of December 31, 2024 As of June 30,
2024		 As of December 31, 2023
Five-year CDS spread74756766
One-year CDS spread25252223
Fair Value of Credit Derivatives and Effect of AGC and AGM Credit Spreads
Fair Value of Credit Derivative Assets (Liabilities)
and Effect of AG Credit Spread
As of
 June 30, 2025December 31, 2024
 (in millions)
Fair value of credit derivatives before effect of AG credit spread$(58)$(64)
Plus: Effect of AG credit spread29 35 
Net fair value of credit derivatives $(29)$(29)
v3.25.2
Investments (Tables)
 6 Months Ended
Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Marketable Securities
Investment Portfolio
Carrying Value
As of
June 30, 2025December 31, 2024
 (in millions)
Fixed-maturity securities, available-for-sale$6,498 $6,369 
Fixed-maturity securities, trading137 147 
Short-term investments939 1,221 
Other invested assets:
Equity method investments:
Ownership interest in Sound Point412 418 
Funds and other investments567 496 
Other16 12 
Total (1)$8,569 $8,663 
____________________
(1)    In the investment portfolio, the aggregate carrying value of Sound Point managed investments was $582 million and $569 million as of June 30, 2025 and December 31, 2024, respectively, excluding the Company’s ownership interest in Sound Point of $412 million and $418 million as of June 30, 2025 and December 31, 2024, respectively, and excluding certain investments in funds that are accounted for as CIVs.
Fixed Maturity Securities and Short Term Investments by Security Type
Available-for-Sale Fixed-Maturity Securities by Security Type
As of June 30, 2025
Security TypePercent
of
Total (1)		Amortized
Cost		Allowance for Credit LossesGross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
 (dollars in millions)
Obligations of state and political subdivisions27 %$1,851 $(12)$28 $(95)$1,772 
U.S. government and agencies1 42 — 1 (5)38 
Corporate securities (2)
42 2,826 (6)57 (131)2,746 
Mortgage-backed securities (3):
 
RMBS10 670 (24)5 (58)593 
Commercial mortgage-backed securities (CMBS)2 150 — 2 (1)151 
Asset-backed securities:
CLOs8 554 (5)6 (28)527 
Other (4)9 583 — 4 (1)586 
Non-U.S. government securities1 89 — 4 (8)85 
Total available-for-sale fixed-maturity securities100 %$6,765 $(47)$107 $(327)$6,498 
Available-for-Sale Fixed-Maturity Securities by Security Type
As of December 31, 2024
Security TypePercent
of
Total (1)		Amortized
Cost		Allowance for Credit LossesGross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
 (dollars in millions)
Obligations of state and political subdivisions30 %$2,032 $(14)$25 $(103)$1,940 
U.S. government and agencies1 72 — 1 (6)67 
Corporate securities (2)
38 2,586 (7)9 (206)2,382 
Mortgage-backed securities (3):
    
RMBS9 657 (21)2 (71)567 
CMBS3 189 — — (3)186 
Asset-backed securities:
CLOs9 615 (1)6 (9)611 
Other (4)9 593 (17)1 (30)547 
Non-U.S. government securities1 83 — — (14)69 
Total available-for-sale fixed-maturity securities100 %$6,827 $(60)$44 $(442)$6,369 
____________________
(1)Percentages are based on amortized cost.
(2)Corporate securities include securities issued by taxable universities and hospitals.
(3)U.S. government-agency obligations represented 73% and 68% of mortgage-backed securities as of June 30, 2025 and December 31, 2024, respectively, based on fair value.
(4)This category includes an investment in an affiliated entity with amortized cost of $41 million and fair value of $42 million as of both June 30, 2025 and December 31, 2024.
Fixed-Maturity Securities Gross Unrealized Loss by Length of Time
Gross Unrealized Loss by Length of Time
for Available-for-Sale Fixed-Maturity Securities for Which a Credit Loss was Not Recorded
As of June 30, 2025
 Less than 12 months12 months or moreTotal
 Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss
 (dollars in millions)
Obligations of state and political subdivisions$288 $(5)$833 $(89)$1,121 $(94)
U.S. government and agencies2 — 12 (5)14 (5)
Corporate securities225 (3)849 (100)1,074 (103)
Mortgage-backed securities: 
RMBS82 (1)115 (7)197 (8)
CMBS— — 65 (1)65 (1)
Asset-backed securities:
CLOs87 (6)29 — 116 (6)
Other79 (1)10 — 89 (1)
Non-U.S. government securities— — 20 (8)20 (8)
Total$763 $(16)$1,933 $(210)$2,696 $(226)
Number of securities (1) 275  906  1,165 
Gross Unrealized Loss by Length of Time
for Available-for-Sale Fixed-Maturity Securities for Which a Credit Loss was Not Recorded
As of December 31, 2024
 Less than 12 months12 months or moreTotal
 Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss		Fair
Value		Gross Unrealized
Loss
 (dollars in millions)
Obligations of state and political subdivisions$624 $(7)$964 $(96)$1,588 $(103)
U.S. government and agencies5 — 28 (6)33 (6)
Corporate securities762 (20)1,046 (150)1,808 (170)
Mortgage-backed securities:    
RMBS255 (4)123 (10)378 (14)
CMBS83 — 103 (3)186 (3)
Asset-backed securities:
CLOs151 (5)107 (1)258 (6)
Other60 (1)16 — 76 (1)
Non-U.S. government securities35 (3)30 (11)65 (14)
Total$1,975 $(40)$2,417 $(277)$4,392 $(317)
Number of securities (1) 569  1,065  1,591 
___________________
(1)    The number of securities does not add across because lots consisting of the same securities have been purchased at different times and appear in both categories above (i.e., less than 12 months and 12 months or more). If a security appears in both categories, it is counted only once in the total column.
Investments Classified by Contractual Maturity Date
The amortized cost and estimated fair value of available-for-sale fixed-maturity securities by contractual maturity as of June 30, 2025 are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
 
Distribution of Available-for-Sale Fixed-Maturity Securities by Contractual Maturity
As of June 30, 2025
 Amortized
Cost		Estimated
Fair Value
 (in millions)
Due within one year$166 $167 
Due after one year through five years1,385 1,391 
Due after five years through 10 years2,109 2,074 
Due after 10 years2,285 2,122 
Mortgage-backed securities:  
RMBS670 593 
CMBS150 151 
Total$6,765 $6,498 
Net Investment Income
Income from Investments
 Second QuarterSix Months
 2025202420252024
(in millions)
Investment income:
Fixed-maturity securities, available-for-sale (1)$77 $60 $151 $122 
Short-term investments12 22 25 45 
Other invested assets1 — 2 — 
Investment income90 82 178 167 
Investment expenses(1)(1)(2)(2)
Net investment income$89 $81 $176 $165 
Fair value gains (losses) on trading securities (2)$2 $17 $3 $43 
Equity in earnings (losses) of investees:
Ownership interest in Sound Point$(1)$(3)$12 $1 
Funds and other investments4 8 44 28 
Equity in earnings (losses) of investees$3 $5 $56 $29 
____________________
(1)    Amounts include $7 million income on Loss Mitigation Securities for both second quarter 2025 and second quarter 2024, and $14 million for both six months 2025 and six months 2024. The increase in second quarter 2025 and six months 2025 is primarily due to investment income on CLO equity tranches in the available-for-sale portfolio. Certain CLO equity tranche investments were reclassified to the available-for-sale fixed-maturity portfolio in the fourth quarter of 2024, with interest income now reported in net investment income, and changes in fair value reported in other comprehensive income (OCI). The Company had previously held the CLO equity tranches in a Sound Point managed fund with changes in net asset value (NAV) reported in “equity in earnings (losses) of investees.”
(2)    Fair value gains on trading securities pertaining to securities still held as of June 30, 2025 were $2 million for second quarter 2025 and $3 million for six months 2025. Fair value gains on trading securities pertaining to securities still held as of June 30, 2024 were $14 million for second quarter 2024 and $31 million for six months 2024.
Net Realized Investment Gains (Losses)
The table below presents the components of net realized investment gains (losses). Realized gains and losses on sales of investments are determined using the specific identification method.

Net Realized Investment Gains (Losses)
 Second QuarterSix Months
 2025202420252024
 (in millions)
Gross realized gains on sales of available-for-sale securities$1 $1 $4 $2 
Gross realized losses on sales of available-for-sale securities(1)(4)(9)(7)
Net foreign currency gains (losses)— (2)(1)(2)
Change in the allowance for credit losses and intent to sell (3)(2)(13)8 
Other net realized gains (losses)(3)1 (3)1 
Net realized investment gains (losses)$(6)$(6)$(22)$2 
Rollforward of Credit Losses for Available-for-sale Fixed-Maturity Securities
The following table presents the roll forward of the allowance for the credit losses on available-for-sale fixed-maturity securities.

Roll Forward of Allowance for Credit Losses
for Available-for-Sale Fixed-Maturity Securities
 Second QuarterSix Months
 2025202420252024
 (in millions)
Balance, beginning of period$45 $67 $60 $77 
Additions for securities for which credit losses were not previously recognized3 — 3 — 
Additions (reductions) for securities for which credit losses were previously recognized(1)2 9 (8)
Write-offs charged against the allowance— — (25)— 
Balance, end of period$47 $69 $47 $69 
v3.25.2
Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles (Tables)
 6 Months Ended
Jun. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Consolidated FG VIE's
The table below shows the carrying value of FG VIEs’ assets and liabilities, segregated by type of collateral.

Consolidated FG VIEs by Type of Collateral 
As of
 June 30, 2025December 31, 2024
 (in millions)
FG VIEs’ assets:  
U.S. RMBS (3)$144 $147 
Other (includes $32 at fair value in 2025) (1) (2)
67 — 
Total FG VIEs’ assets$211 $147 
FG VIEs’ liabilities with recourse:
U.S. RMBS (3)$152 $155 
Other, at fair value (2)34 — 
Total FG VIEs’ liabilities with recourse$186 $155 
FG VIEs’ liabilities without recourse:
U.S. RMBS (3)$9 $9 
Other (includes $6 at fair value in 2025) (2)
7 — 
Total FG VIEs’ liabilities without recourse$16 $9 
____________________
(1)    Includes a contract asset related to a services agreement of approximately $35 million as of June 30, 2025 accounted for in accordance with ASC 606, Revenue from Contracts with Customers, as well as debt and equity investments, and cash and cash equivalents.
(2)     Other amounts represent the assets and liabilities of the FG VIE that was consolidated on June 30, 2025.
(3)    U.S. RMBS assets and liabilities are measured at fair value under the FVO.
Selected Information for FG VIEs’ Assets and Liabilities
Measured under the FVO
As of
 June 30, 2025December 31, 2024
 (in millions)
Excess of unpaid principal over fair value of:
FG VIEs’ assets$259 $264 
FG VIEs’ liabilities with recourse 34 38 
FG VIEs’ liabilities without recourse16 16 
Unpaid principal balance for FG VIEs’ assets that were 90 days or more past due23 27 
Unpaid principal for FG VIEs’ liabilities with recourse (1)
186 193 
____________________
(1)    FG VIEs’ liabilities with recourse will mature at various dates ranging from 2025 through 2038.
v3.25.2
Fair Value Measurement (Tables)
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value Hierarchy of Financial Instruments Carried at Fair Value
Amounts recorded at fair value in the Company’s financial statements are presented in the tables below.

Fair Value Hierarchy of Financial Instruments Carried at Fair Value
As of June 30, 2025
 Fair Value Hierarchy
 Level 1Level 2Level 3Total
 (in millions)
Assets:   
Fixed-maturity securities, available-for-sale   
Obligations of state and political subdivisions$— $1,762 $10 $1,772 
U.S. government and agencies— 38 — 38 
Corporate securities— 2,662 84 2,746 
Mortgage-backed securities:
RMBS— 451 142 593 
CMBS— 151 — 151 
Asset-backed securities— 136 977 1,113 
Non-U.S. government securities— 85 — 85 
Total fixed-maturity securities, available-for-sale— 5,285 1,213 6,498 
Fixed-maturity securities, trading— 133 4 137 
Short-term investments 936 3 — 939 
Other invested assets (1)— — 3 3 
FG VIEs’ assets15 8 153 176 
Assets of CIVs, equity securities— — 121 121 
Other assets73 61 9 143 
Total assets carried at fair value$1,024 $5,490 $1,503 $8,017 
Liabilities:
FG VIEs’ liabilities (2)$— $— $201 $201 
Other liabilities— — 35 35 
Total liabilities carried at fair value$— $— $236 $236 
Fair Value Hierarchy of Financial Instruments Carried at Fair Value
As of December 31, 2024
 Fair Value Hierarchy
 Level 1Level 2Level 3Total
 (in millions)
Assets:   
Fixed-maturity securities, available-for sale   
Obligations of state and political subdivisions$— $1,930 $10 $1,940 
U.S. government and agencies— 67 — 67 
Corporate securities— 2,382 — 2,382 
Mortgage-backed securities:
RMBS— 422 145 567 
CMBS— 186 — 186 
Asset-backed securities— 127 1,031 1,158 
Non-U.S. government securities— 69 — 69 
Total fixed-maturity securities, available-for-sale— 5,183 1,186 6,369 
Fixed-maturity securities, trading— 142 5 147 
Short-term investments 1,218 3 — 1,221 
Other invested assets (1)— — 4 4 
FG VIEs’ assets— — 147 147 
Assets of CIVs, equity securities— — 99 99 
Other assets65 59 7 131 
Total assets carried at fair value$1,283 $5,387 $1,448 $8,118 
Liabilities:
FG VIEs’ liabilities (2)$— $— $164 $164 
Other liabilities— — 34 34 
Total liabilities carried at fair value$— $— $198 $198 
___________________
(1)    Other invested assets includes Level 3 mortgage loans that are recorded at fair value on a non-recurring basis.
(2)    FG VIEs’ liabilities include those with and without recourse, some of which are measured at a fair value on a non-recurring basis as June 30, 2025. See Note 8, Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles.
Fair Value Assets Measured on Recurring Basis
The tables below present a roll forward of the Company’s Level 3 financial instruments carried at fair value on a recurring basis during second quarter 2025, second quarter 2024, six months 2025 and six months 2024.

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2025
Fixed-Maturity Securities, Available-for-Sale
 Obligations
of State and
Political
Subdivisions		 CorporateRMBS Asset-
Backed
Securities		Fixed-Maturity Securities, Trading FG VIEs’
Assets		Assets of CIVs, Equity Securities Other
(7)		 
 (in millions)
Fair value as of March 31, 2025$10 $5 $144 $983 $5 $145 $118 $6 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)2 (1)— 1 (1)11 (1)— 4 (2)3 (4)(1)(3)
Other comprehensive income (loss)— 10 4 10 — — — —  
Purchases— 69 — — — — — — 
Sales— — — (3)— — — — 
Settlements(2)— (7)(24)(1)(5)— —  
Consolidations— — — — — 9 — — 
Fair value as of June 30, 2025$10 $84 $142 $977 $4 $153 $121 $5 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $3 (2)$3 (4)$(1)(3)
OCI$— $10 $4 $10 $— 

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2025
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of March 31, 2025$(30)$(163)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)1 (6)(3)(2)
Other comprehensive income (loss)— 1  
Settlements— 4 
Fair value as of June 30, 2025$(29)$(161)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$1 (6)$(2)(2)
OCI$1 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2024
Fixed-Maturity Securities, Available-for-SaleAssets of CIVs
 Obligations
of State and
Political
Subdivisions		RMBS Asset-
Backed
Securities		FG VIEs’
Assets		 Equity SecuritiesStructured ProductsOther
(7)		 
 (in millions)
Fair value as of March 31, 2024$6 $153 $821 $167 $89 $220 $5 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)— 4 (1)1 (1)(1)(2)4 (2)(9)(4)2 (3)
Other comprehensive income (loss)2 1 6 — — — (1) 
Purchases— — 1 — — 22 — 
Sales— — — — — (8)— 
Settlements(1)(8)(34)(6)— — —  
Fair value as of June 30, 2024$7 $150 $795 $160 $93 $225 $6 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$(2)(2)$5 (2)$(8)(4)$2 (3)
OCI$2 $1 $6 $(1)

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2024
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of March 31, 2024$(39)$(399)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)6 (6)— (2)
Other comprehensive income (loss)— 2  
Settlements(1)4  
Fair value as of June 30, 2024$(34)$(393)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$3 (6)$2 (2)
OCI$2 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2025
Fixed-Maturity Securities, Available-for-Sale
 Obligations
of State and
Political
Subdivisions		 CorporateRMBS Asset-
Backed
Securities		Fixed-Maturity Securities, Trading FG VIEs’
Assets		Assets of CIVs, Equity Securities Other
(7)		 
 (in millions)
Fair value as of December 31, 2024$10 $— $145 $1,031 $5 $147 $99 $5 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)2 (1)— 4 (1)18 (1)— 7 (2)22 (4)1 (3)
Other comprehensive income (loss)— 10 6 11 — — — (1) 
Purchases— 74 — — — — — — 
Sales— — — (12)— — — — 
Settlements(2)— (13)(71)(1)(10)— —  
Consolidations— — — — — 9 — — 
Fair value as of June 30, 2025$10 $84 $142 $977 $4 $153 $121 $5 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $5 (2)$22 (4)$1 (3)
OCI$— $10 $6 $11 $(1)

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2025
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of December 31, 2024$(29)$(164)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)105 (6)(5)(2)
Other comprehensive income (loss)— —  
Settlements(105)8 
Fair value as of June 30, 2025$(29)$(161)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $(4)(2)
OCI$— 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2024
Fixed-Maturity Securities, Available-for-SaleAssets of CIVs
 Obligations
of State and
Political
Subdivisions		 RMBS Asset-
Backed
Securities		 FG VIEs’
Assets		Equity Securities Structured ProductsOther
(7)		 
 (in millions)
Fair value as of December 31, 2023$6 $154 $803 $174 $80 $189 $14 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)— 7 (1)17 (1)(3)(2)12 (4)(5)(4)(8)(3)
Other comprehensive income (loss)2 2 8 1 — — —  
Purchases— — 11 — — 51 —  
Sales— — — — (2)(20)— 
Settlements(1)(13)(64)(12)— — — 
Transfers into Level 3— — 20 — 3 10 —  
Fair value as of June 30, 2024$7 $150 $795 $160 $93 $225 $6 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$(5)(2)$12 (4)$(2)(4)$(8)(3)
OCI$2 $2 $8 $1 $— 

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2024
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of December 31, 2023$(50)$(554)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)16 (6)9 (2)
Other comprehensive income (loss)— — 
Settlements— 152 
Fair value as of June 30, 2024$(34)$(393)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$7 (6)$4 (2)
OCI$— 
____________________
(1)Included in “net realized investment gains (losses)” and “net investment income.”
(2)Reported in “fair value gains (losses) on FG VIEs.”
(3)Reported in “fair value gains (losses) on CCS,” “net investment income” and “other income (loss).”
(4)Reported in “fair value gains (losses) on CIVs.”
(5)Represents the net position of credit derivatives. Credit derivative assets (reported in “other assets”) and credit derivative liabilities (reported in “other liabilities”) are shown as either assets or liabilities in the condensed consolidated balance sheets.
(6)Reported in “fair value gains (losses) on credit derivatives.”
(7)Includes CCS and other invested assets.
(8)Includes FG VIEs’ liabilities with recourse and FG VIEs’ liabilities without recourse.
Fair Value, Liabilities Measured on Recurring Basis
The tables below present a roll forward of the Company’s Level 3 financial instruments carried at fair value on a recurring basis during second quarter 2025, second quarter 2024, six months 2025 and six months 2024.

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2025
Fixed-Maturity Securities, Available-for-Sale
 Obligations
of State and
Political
Subdivisions		 CorporateRMBS Asset-
Backed
Securities		Fixed-Maturity Securities, Trading FG VIEs’
Assets		Assets of CIVs, Equity Securities Other
(7)		 
 (in millions)
Fair value as of March 31, 2025$10 $5 $144 $983 $5 $145 $118 $6 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)2 (1)— 1 (1)11 (1)— 4 (2)3 (4)(1)(3)
Other comprehensive income (loss)— 10 4 10 — — — —  
Purchases— 69 — — — — — — 
Sales— — — (3)— — — — 
Settlements(2)— (7)(24)(1)(5)— —  
Consolidations— — — — — 9 — — 
Fair value as of June 30, 2025$10 $84 $142 $977 $4 $153 $121 $5 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $3 (2)$3 (4)$(1)(3)
OCI$— $10 $4 $10 $— 

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2025
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of March 31, 2025$(30)$(163)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)1 (6)(3)(2)
Other comprehensive income (loss)— 1  
Settlements— 4 
Fair value as of June 30, 2025$(29)$(161)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$1 (6)$(2)(2)
OCI$1 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2024
Fixed-Maturity Securities, Available-for-SaleAssets of CIVs
 Obligations
of State and
Political
Subdivisions		RMBS Asset-
Backed
Securities		FG VIEs’
Assets		 Equity SecuritiesStructured ProductsOther
(7)		 
 (in millions)
Fair value as of March 31, 2024$6 $153 $821 $167 $89 $220 $5 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)— 4 (1)1 (1)(1)(2)4 (2)(9)(4)2 (3)
Other comprehensive income (loss)2 1 6 — — — (1) 
Purchases— — 1 — — 22 — 
Sales— — — — — (8)— 
Settlements(1)(8)(34)(6)— — —  
Fair value as of June 30, 2024$7 $150 $795 $160 $93 $225 $6 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$(2)(2)$5 (2)$(8)(4)$2 (3)
OCI$2 $1 $6 $(1)

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Second Quarter 2024
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of March 31, 2024$(39)$(399)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)6 (6)— (2)
Other comprehensive income (loss)— 2  
Settlements(1)4  
Fair value as of June 30, 2024$(34)$(393)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$3 (6)$2 (2)
OCI$2 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2025
Fixed-Maturity Securities, Available-for-Sale
 Obligations
of State and
Political
Subdivisions		 CorporateRMBS Asset-
Backed
Securities		Fixed-Maturity Securities, Trading FG VIEs’
Assets		Assets of CIVs, Equity Securities Other
(7)		 
 (in millions)
Fair value as of December 31, 2024$10 $— $145 $1,031 $5 $147 $99 $5 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)2 (1)— 4 (1)18 (1)— 7 (2)22 (4)1 (3)
Other comprehensive income (loss)— 10 6 11 — — — (1) 
Purchases— 74 — — — — — — 
Sales— — — (12)— — — — 
Settlements(2)— (13)(71)(1)(10)— —  
Consolidations— — — — — 9 — — 
Fair value as of June 30, 2025$10 $84 $142 $977 $4 $153 $121 $5 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $5 (2)$22 (4)$1 (3)
OCI$— $10 $6 $11 $(1)

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2025
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of December 31, 2024$(29)$(164)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)105 (6)(5)(2)
Other comprehensive income (loss)— —  
Settlements(105)8 
Fair value as of June 30, 2025$(29)$(161)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2025 included in:
Earnings$— $(4)(2)
OCI$— 
Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2024
Fixed-Maturity Securities, Available-for-SaleAssets of CIVs
 Obligations
of State and
Political
Subdivisions		 RMBS Asset-
Backed
Securities		 FG VIEs’
Assets		Equity Securities Structured ProductsOther
(7)		 
 (in millions)
Fair value as of December 31, 2023$6 $154 $803 $174 $80 $189 $14 
Total pre-tax realized and unrealized gains (losses) recorded in:  
Net income (loss)— 7 (1)17 (1)(3)(2)12 (4)(5)(4)(8)(3)
Other comprehensive income (loss)2 2 8 1 — — —  
Purchases— — 11 — — 51 —  
Sales— — — — (2)(20)— 
Settlements(1)(13)(64)(12)— — — 
Transfers into Level 3— — 20 — 3 10 —  
Fair value as of June 30, 2024$7 $150 $795 $160 $93 $225 $6 
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$(5)(2)$12 (4)$(2)(4)$(8)(3)
OCI$2 $2 $8 $1 $— 

Roll Forward of Level 3 Assets (Liabilities) at Fair Value on a Recurring Basis
Six Months 2024
 Credit Derivative
Liability, net (5)		 FG VIEs’ Liabilities (8)
 (in millions)
Fair value as of December 31, 2023$(50)$(554)
Total pre-tax realized and unrealized gains (losses) recorded in: 
Net income (loss)16 (6)9 (2)
Other comprehensive income (loss)— — 
Settlements— 152 
Fair value as of June 30, 2024$(34)$(393)
Change in unrealized gains (losses) related to financial instruments held as of June 30, 2024 included in:
Earnings$7 (6)$4 (2)
OCI$— 
____________________
(1)Included in “net realized investment gains (losses)” and “net investment income.”
(2)Reported in “fair value gains (losses) on FG VIEs.”
(3)Reported in “fair value gains (losses) on CCS,” “net investment income” and “other income (loss).”
(4)Reported in “fair value gains (losses) on CIVs.”
(5)Represents the net position of credit derivatives. Credit derivative assets (reported in “other assets”) and credit derivative liabilities (reported in “other liabilities”) are shown as either assets or liabilities in the condensed consolidated balance sheets.
(6)Reported in “fair value gains (losses) on credit derivatives.”
(7)Includes CCS and other invested assets.
(8)Includes FG VIEs’ liabilities with recourse and FG VIEs’ liabilities without recourse.
Schedule of Quantitative Information About Level 3 Liabilities, Fair Value Measurements
Quantitative Information About Level 3 Fair Value Inputs
As of June 30, 2025
Financial Instrument Description Fair Value Assets (Liabilities)
(in millions)		Significant Unobservable InputsRangeWeighted Average (4)
Investments (2):  
Fixed-maturity securities, available-for-sale (1):  
Obligations of state and political subdivisions$10 Yield5.5 %-20.0%7.0%
Corporate84 Yield8.5 %-9.0%8.6%
RMBS142 Conditional prepayment rate (CPR)0.1 %-17.0%3.4%
CDR1.4 %-18.6%5.4%
Loss severity50.0 %-125.0%79.9%
Yield7.3 %-10.5%8.7%
Asset-backed securities:
CLOs 527 Discount margin1.0 %-2.9%2.0%
Yield12.8 %-24.0%19.0%
Others450 Yield5.5 %-9.9%5.8%
Fixed-maturity securities, trading (1)4 Yield4.2 %-7.7%6.0%
FG VIEs’ assets (1)153 CPR2.2 %-28.2%5.3%
CDR1.3 %-41.0%10.5%
Loss severity45.0 %-100.0%83.4%
Yield6.8 %-10.2%9.1%
Assets of CIVs - equity securities (3)121 Discount rate24.8%
Market multiple-price to book
1.00x
Market multiple-price to earnings
5.75x
Terminal growth rate4.0%
Exit multiple-price to book
1.00x
Exit multiple-price to earnings
5.50x
Other assets (1)3 Implied Yield6.5 %-7.0%6.8%
Term (years)10 years
Credit derivative liabilities, net (1)(29)Hedge cost (in basis points) (bps)12.5-29.516.3
Bank profit (in bps)60.5-248.9139.1
Internal floor (in bps)10.0
Internal credit ratingAAA-CCCA
Discount rates of future expected premium cash flows3.2 %-4.2%4.0%
FG VIEs’ liabilities (1)(201)CPR2.2 %-28.2%5.3%
CDR1.3 %-41.0%10.5%
Loss severity45.0 %-100.0%83.4%
Yield5.6 %-10.5%6.8%
___________________
(1)    Discounted cash flows are used as the primary valuation technique.
(2)    This amount excludes several investments reported in “other invested assets” with a fair value of $3 million.
(3)    The primary valuation technique uses the income and/or market approach.
(4)    Weighted average is calculated as a percentage of current par outstanding for all categories except for assets of CIVs, for which it is calculated as a percentage of fair value.
Quantitative Information About Level 3 Fair Value Inputs
As of December 31, 2024
Financial Instrument Description Fair Value Assets (Liabilities)
(in millions)		Significant Unobservable InputsRangeWeighted Average (4)
Investments (2):   
Fixed-maturity securities, available-for-sale (1):  
Obligations of state and political subdivisions$10 Yield5.5 %-22.0%7.5%
RMBS145 CPR1.8 %-17.0%2.8%
CDR1.8 %-18.7%5.4%
Loss severity50.0 %-125.0%79.9%
Yield7.7 %-10.8%9.1%
Asset-backed securities:
CLOs611 Discount margin0.8 %-2.9%1.9%
Yield12.5 %-22.5%17.9%
Others420Yield6.4 %-9.1%6.7%
Fixed-maturity securities, trading (1)5 Yield19.8 %-169.5%163.8%
FG VIEs’ assets (1)147 CPR2.2 %-25.0%5.7%
CDR1.3 %-41.0%10.7%
Loss severity45.0 %-100.0%83.2%
Yield6.8 %-10.8%9.3%
Assets of CIVs - equity securities (3)99 Discount rate24.3%
Market multiple-price to book
1.05x
Market multiple-price to earnings
5.25x
Terminal growth rate4.0%
Exit multiple-price to book
1.05x
Exit multiple-price to earnings
5.50x
Other assets (1)
2 Implied Yield6.5 %-7.0%6.8%
Term (years)10 years
Credit derivative liabilities, net (1)(29)Hedge cost (in bps)12.8-30.116.8
Bank profit (in bps)73.2-275.9139.3
Internal floor (in bps)10.0-85.529.7
Internal credit ratingAAA-CCCA
Discount rates of future expected premium cash flows3.9 %4.4%4.3%
FG VIEs’ liabilities (1)(164)CPR2.2 %-25.0%5.7%
CDR1.3 %-41.0%10.7%
Loss severity45.0 %-100.0%83.2%
Yield5.5 %-10.8%7.0%
____________________
(1)    Discounted cash flows are used as the primary valuation technique.
(2)    This amount excludes several investments reported in “other invested assets” with a fair value of $4 million.
(3)    The primary valuation technique uses the income and/or market approach.
(4)    Weighted average is calculated as a percentage of current par outstanding for all categories except for assets of CIVs, for which it is calculated as a percentage of fair value.
Schedule of Financial Instruments Not Carried at Fair Value
The carrying amount and estimated fair value of the Company’s financial instruments not carried at fair value are presented in the following table.

Fair Value of Financial Instruments Not Carried at Fair Value
 As of June 30, 2025As of December 31, 2024
 Carrying
Amount		Estimated
Fair Value		Carrying
Amount		Estimated
Fair Value
 (in millions)
Assets (liabilities):    
Other assets (including other invested assets) $97 $98 $115 $116 
Financial guaranty insurance contracts (1)(1,962)(1,081)(2,029)(1,136)
Long-term debt(1,701)(1,602)(1,699)(1,579)
Other liabilities (17)(17)(16)(16)
____________________
(1)    Carrying amount includes the assets and liabilities related to financial guaranty insurance contract premiums, losses and salvage and subrogation and other recoverables net of reinsurance.
v3.25.2
Shareholders' Equity (Tables)
 6 Months Ended
Jun. 30, 2025
Equity [Abstract]  
Changes in Accumulated Other Comprehensive Income by Component
The following tables present the changes in each component of accumulated other comprehensive income (AOCI) and the effect of reclassifications out of AOCI into the respective lines in the condensed consolidated statements of operations.

Changes in Accumulated Other Comprehensive Income (Loss) by Component
Second Quarter 2025
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, March 31, 2025$(183)$(78)$(19)$(38)$4 $(314)
Other comprehensive income (loss) before reclassifications85 (3)— 2 — 84 
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
— (3)— — — (3)
Fair value gains (losses) on FG VIEs— — (1)— — (1)
Total before tax
— (3)(1)— — (4)
Tax (provision) benefit
— 1 — — — 1 
Total amount reclassified from AOCI, net of tax— (2)(1)— — (3)
Other comprehensive income (loss)85 (1)1 2 — 87 
Balance, June 30, 2025$(98)$(79)$(18)$(36)$4 $(227)

Changes in Accumulated Other Comprehensive Income (Loss) by Component
Second Quarter 2024
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, March 31, 2024$(231)$(103)$(21)$(37)$5 $(387)
Other comprehensive income (loss) before reclassifications(15)4 1 (1)— (11)
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
(4)(2)— — — (6)
Total before tax
(4)(2)— — — (6)
Tax (provision) benefit
1 (1)— — — — 
Total amount reclassified from AOCI, net of tax(3)(3)— — — (6)
Other comprehensive income (loss)(12)7 1 (1)— (5)
Balance, June 30, 2024$(243)$(96)$(20)$(38)$5 $(392)
Changes in Accumulated Other Comprehensive Income (Loss) by Component
Six Months 2025
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, December 31, 2024$(235)$(99)$(18)$(37)$4 $(385)
Other comprehensive income (loss) before reclassifications131 10 (1)1 — 141 
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
(6)(13)— — — (19)
Fair value gains (losses) on FG VIEs— — (1)— — (1)
Total before tax
(6)(13)(1)— — (20)
Tax (provision) benefit
— 3 — — — 3 
Total amount reclassified from AOCI, net of tax(6)(10)(1)— — (17)
Other comprehensive income (loss)137 20 — 1 — 158 
Balance, June 30, 2025$(98)$(79)$(18)$(36)$4 $(227)

Changes in Accumulated Other Comprehensive Income (Loss) by Component
Six Months 2024
Net Unrealized Gains (Losses) on Investments with:ISCR on
 FG VIEs’ Liabilities with Recourse		Cumulative
Translation
Adjustment		Cash Flow 
Hedge		Total AOCI
 No Credit ImpairmentCredit Impairment
(in millions)
Balance, December 31, 2023$(202)$(104)$(20)$(38)$5 $(359)
Other comprehensive income (loss) before reclassifications(46)14 (1)— — (33)
Less: Amounts reclassified from AOCI to:
Net realized investment gains (losses)
(6)8 — — — 2 
Fair value gains (losses) on FG VIEs— — (1)— — (1)
Total before tax
(6)8 (1)— — 1 
Tax (provision) benefit
1 (2)— — — (1)
Total amount reclassified from AOCI, net of tax(5)6 (1)— — — 
Other comprehensive income (loss)(41)8 — — — (33)
Balance, June 30, 2024$(243)$(96)$(20)$(38)$5 $(392)
Schedule of Share Repurchases
Share Repurchases
PeriodNumber of Shares RepurchasedTotal Payments (1)
(in millions)		Average Price Paid Per Share (1)
2024 (January 1 - March 31)1,539,278 $129 $84.07 
2024 (April 1 - June 30)1,928,328 152 78.50 
2024 (July 1- September 30)1,658,441 131 78.87 
2024 (October 1- December 31)1,054,727 90 86.11 
Total 20246,180,774 $502 $81.28 
2025 (January 1 - March 31)1,335,228 120 89.72 
2025 (April 1 - June 30)1,537,505 131 85.03 
2025 (July 1 - August 6)537,550 45 84.16 
Total 20253,410,283 $296 $86.73 
____________________
(1)    Excludes commissions and excise taxes.
v3.25.2
Earnings Per Share (Tables)
 6 Months Ended
Jun. 30, 2025
Earnings Per Share [Abstract]  
Schedule of Computation of Basic and Diluted Earnings Per Share
Computation of Earnings Per Share
 Second QuarterSix Months
 2025202420252024
 (in millions, except per share amounts)
Basic Earnings Per Share (EPS):
Net income (loss) attributable to AGL$103 $78 $279 $187 
Less: Distributed and undistributed income (loss) available to nonvested shareholders— — 2 1 
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic$103 $78 $277 $186 
Basic shares48.9 54.1 49.5 54.9 
Basic EPS$2.10 $1.43 $5.60 $3.38 
Diluted EPS:
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic$103 $78 $277 $186 
Plus: Re-allocation of undistributed income (loss) available to nonvested shareholders of AGL and subsidiaries— — — — 
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, diluted$103 $78 $277 $186 
Basic shares48.9 54.1 49.5 54.9 
Dilutive securities:
Restricted stock awards0.5 0.9 0.6 1.2 
Diluted shares49.4 55.0 50.1 56.1 
Diluted EPS$2.08 $1.41 $5.54 $3.31 
Potentially dilutive securities excluded from computation of EPS because of antidilutive effect0.2 0.1 0.1 0.1 
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
Computation of Earnings Per Share
 Second QuarterSix Months
 2025202420252024
 (in millions, except per share amounts)
Basic Earnings Per Share (EPS):
Net income (loss) attributable to AGL$103 $78 $279 $187 
Less: Distributed and undistributed income (loss) available to nonvested shareholders— — 2 1 
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic$103 $78 $277 $186 
Basic shares48.9 54.1 49.5 54.9 
Basic EPS$2.10 $1.43 $5.60 $3.38 
Diluted EPS:
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic$103 $78 $277 $186 
Plus: Re-allocation of undistributed income (loss) available to nonvested shareholders of AGL and subsidiaries— — — — 
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, diluted$103 $78 $277 $186 
Basic shares48.9 54.1 49.5 54.9 
Dilutive securities:
Restricted stock awards0.5 0.9 0.6 1.2 
Diluted shares49.4 55.0 50.1 56.1 
Diluted EPS$2.08 $1.41 $5.54 $3.31 
Potentially dilutive securities excluded from computation of EPS because of antidilutive effect0.2 0.1 0.1 0.1 
v3.25.2
Business and Basis of Presentation - Additional Information (Details)
$ in Millions
Jul. 01, 2023
Jun. 30, 2025
USD ($)
Company
Long-Lived Assets Held-for-sale [Line Items]    
Number of holding companies with outstanding public debt | Company   2
Future Equity Investments    
Long-Lived Assets Held-for-sale [Line Items]    
Investments, authorized amount to invest   $ 1,500
Sound Point Capital Management, LP    
Long-Lived Assets Held-for-sale [Line Items]    
Ownership interest 0.30  
Sound Point Capital Management, LP | Future Equity Investments    
Long-Lived Assets Held-for-sale [Line Items]    
Investments, authorized amount to invest   1,000
Disposal Group, Held-for-sale, Not Discontinued Operations    
Long-Lived Assets Held-for-sale [Line Items]    
Assets held for sale   29
Liabilities held for sale   $ 3
v3.25.2
Segment Information - Segment Information (Details)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2025
USD ($)
segment
Jun. 30, 2024
USD ($)
Segment Reporting [Abstract]        
Number of reportable segments | segment     2  
Segment Reporting Information [Line Items]        
Revenues $ 281 $ 202 $ 626 $ 447
Segment loss and LAE (benefit) 28 (2) 68 (3)
Employee compensation and benefit expenses 50 48 110 106
Segment amortization of deferred acquisition cost 5 3 10 9
Segment expenses 151 113 320 238
Segment equity in earnings (losses) of investees 3 5 56 29
Less: Provision (benefit) for income taxes 27 13 71 44
Net investment income 89 81 176 165
Intersegment Eliminations        
Segment Reporting Information [Line Items]        
Revenues 0 4 16 20
Segment expenses (2) (5) (4) (10)
Segment equity in earnings (losses) of investees (1) (7) (7) (24)
Less: Provision (benefit) for income taxes (1) 0 0 0
Operating Segments        
Segment Reporting Information [Line Items]        
Revenues 214 196 459 426
Segment expenses 114 74 182 159
Segment equity in earnings (losses) of investees 1 12 44 53
Less: Provision (benefit) for income taxes 21 18 61 54
Insurance | Operating Segments Excluding Intersegment Elimination        
Segment Reporting Information [Line Items]        
Revenues 196 186 433 413
Insurance | Intersegment Eliminations        
Segment Reporting Information [Line Items]        
Revenues 3 3 5 5
Insurance | Operating Segments        
Segment Reporting Information [Line Items]        
Revenues 199 189 438 418
Segment loss and LAE (benefit) 27 0 4 4
Employee compensation and benefit expenses 44 40 96 88
Segment amortization of deferred acquisition cost 5 3 10 9
Other segment items 29 27 59 54
Segment expenses 105 70 169 155
Segment equity in earnings (losses) of investees 2 15 32 55
Less: Provision (benefit) for income taxes 20 18 57 53
Segment adjusted operating income (loss) 76 116 244 265
Net investment income 89 81 175 164
Non-cash compensation and operating expenses 14 11 32 28
Asset Management | Operating Segments Excluding Intersegment Elimination        
Segment Reporting Information [Line Items]        
Revenues 13 6 18 7
Asset Management | Intersegment Eliminations        
Segment Reporting Information [Line Items]        
Revenues 2 1 3 1
Asset Management | Operating Segments        
Segment Reporting Information [Line Items]        
Revenues 15 7 21 8
Segment loss and LAE (benefit) 0 0 0 0
Employee compensation and benefit expenses 0 0 0 0
Segment amortization of deferred acquisition cost 0 0 0 0
Other segment items 9 4 13 4
Segment expenses 9 4 13 4
Segment equity in earnings (losses) of investees (1) (3) 12 (2)
Less: Provision (benefit) for income taxes 1 0 4 1
Segment adjusted operating income (loss) 4 0 16 1
Net investment income 0 0 0 0
Non-cash compensation and operating expenses $ 0 $ 0 $ 0 $ 0
v3.25.2
Segment Information - Reconciliation of Net Income (Loss) Attributable to AGL to Segment Adjusted Operating Income (Loss) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Segment Reporting Information [Line Items]        
Revenues $ 281 $ 202 $ 626 $ 447
Expenses 151 113 320 238
Equity in Earnings (Losses) of Investees 3 5 56 29
Less: Provision (benefit) for income taxes 27 13 71 44
Less: Noncontrolling interests 3 3 12 7
Net Income (Loss) Attributable to AGL 103 78 279 187
Subtotal        
Segment Reporting Information [Line Items]        
Revenues       455
Expenses       240
Equity in Earnings (Losses) of Investees       29
Less: Provision (benefit) for income taxes       44
Less: Noncontrolling interests       7
Net Income (Loss) Attributable to AGL       193
Realized gains (losses) on investments        
Segment Reporting Information [Line Items]        
Revenues (6) (6) (22) 2
Net Income (Loss) Attributable to AGL (6) (6) (22) 2
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives        
Segment Reporting Information [Line Items]        
Revenues (1) 3 60 11
Net Income (Loss) Attributable to AGL (1) 3 (3) 13
Fair value gains (losses) on CCS        
Segment Reporting Information [Line Items]        
Revenues (1) 1 1 (9)
Net Income (Loss) Attributable to AGL (1) 1 1 (9)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves        
Segment Reporting Information [Line Items]        
Revenues 71   104 (12)
Net Income (Loss) Attributable to AGL 71   104 (12)
Tax effect        
Segment Reporting Information [Line Items]        
Less: Provision (benefit) for income taxes 10   13  
Net Income (Loss) Attributable to AGL (10)   (13)  
Subtotal        
Segment Reporting Information [Line Items]        
Revenues 218 204 483  
Expenses 151 113 257  
Equity in Earnings (Losses) of Investees 3 5 56  
Less: Provision (benefit) for income taxes 17 13 58  
Less: Noncontrolling interests 3 3 12  
Net Income (Loss) Attributable to AGL 50 80 212  
Operating Segments        
Segment Reporting Information [Line Items]        
Revenues 214 196 459 426
Expenses 114 74 182 159
Equity in Earnings (Losses) of Investees 1 12 44 53
Less: Provision (benefit) for income taxes 21 18 61 54
Less: Noncontrolling interests 0 0 0 0
Net Income (Loss) Attributable to AGL 80 116 260 266
Operating Segments | Insurance        
Segment Reporting Information [Line Items]        
Revenues 199 189 438 418
Expenses 105 70 169 155
Equity in Earnings (Losses) of Investees 2 15 32 55
Less: Provision (benefit) for income taxes 20 18 57 53
Less: Noncontrolling interests 0 0 0 0
Net Income (Loss) Attributable to AGL 76 116 244 265
Operating Segments | Asset Management        
Segment Reporting Information [Line Items]        
Revenues 15 7 21 8
Expenses 9 4 13 4
Equity in Earnings (Losses) of Investees (1) (3) 12 (2)
Less: Provision (benefit) for income taxes 1 0 4 1
Less: Noncontrolling interests 0 0 0 0
Net Income (Loss) Attributable to AGL 4 0 16 1
Corporate division        
Segment Reporting Information [Line Items]        
Revenues 4 4 8 9
Expenses 39 44 79 91
Equity in Earnings (Losses) of Investees 3 0 19 0
Less: Provision (benefit) for income taxes (3) (5) (3) (10)
Less: Noncontrolling interests 0 0 0 0
Net Income (Loss) Attributable to AGL (29) (35) (49) (72)
Reconciling items:        
Segment Reporting Information [Line Items]        
Expenses     63 (2)
Intersegment Eliminations        
Segment Reporting Information [Line Items]        
Revenues 0 4 16 20
Expenses (2) (5) (4) (10)
Equity in Earnings (Losses) of Investees (1) (7) (7) (24)
Less: Provision (benefit) for income taxes (1) 0 0 0
Less: Noncontrolling interests 3 3 12 7
Net Income (Loss) Attributable to AGL (1) (1) 1 (1)
Intersegment Eliminations | Insurance        
Segment Reporting Information [Line Items]        
Revenues 3 3 5 5
Intersegment Eliminations | Asset Management        
Segment Reporting Information [Line Items]        
Revenues $ 2 $ 1 $ 3 $ 1
v3.25.2
Outstanding Exposure - Additional Information (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2025
USD ($)
Category
Dec. 31, 2024
USD ($)
Schedule of Insured Financial Obligations [Line Items]    
Number of surveillance categories | Category 3  
Loss mitigation securities $ 1,200 $ 1,200
Aircraft residual value insurance (RVI)    
Schedule of Insured Financial Obligations [Line Items]    
Residual value insurance policies exposure downgraded 147 147
Net Exposure 87 87
Specialty business, contingent, gross par 90  
Specialty business, contingent, net par 51  
Aircraft residual value insurance (RVI) | BIG    
Schedule of Insured Financial Obligations [Line Items]    
Residual value insurance policies exposure downgraded 5 5
Net Exposure 5 $ 5
Commitment to Provide Guarantees | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Outstanding commitments to provide guaranties 2,000  
Commitment to Provide Guarantees | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Outstanding commitments to provide guaranties $ 2,200  
Minimum    
Schedule of Insured Financial Obligations [Line Items]    
Probability of paying more claims than being reimbursed (as a percent) 50.00%  
v3.25.2
Outstanding Exposure - Debt Service Outstanding (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Debt Service    
Gross $ 435,062 $ 416,463
Net 434,562 415,966
Par Outstanding    
Gross 273,260 262,032
Net 272,778 261,552
Public finance    
Debt Service    
Gross 422,661 403,789
Net 422,587 403,718
Par Outstanding    
Gross 261,904 250,429
Net 261,848 250,375
Structured finance    
Debt Service    
Gross 12,401 12,674
Net 11,975 12,248
Par Outstanding    
Gross 11,356 11,603
Net $ 10,930 $ 11,177
v3.25.2
Outstanding Exposure - Financial Guaranty Portfolio by Internal Rating (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Schedule of Insured Financial Obligations [Line Items]    
Net $ 272,778 $ 261,552
% of total net par outstanding 100.00% 100.00%
AAA    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 2,996 $ 3,081
% of total net par outstanding 1.10% 1.20%
AA    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 25,825 $ 25,962
% of total net par outstanding 9.50% 9.90%
A    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 134,180 $ 127,617
% of total net par outstanding 49.20% 48.80%
BBB    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 99,269 $ 94,710
% of total net par outstanding 36.40% 36.20%
BIG    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 10,508 $ 10,182
% of total net par outstanding 3.80% 3.90%
Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 261,848 $ 250,375
Public finance | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 208,716 $ 201,175
% of total net par outstanding 100.00% 100.00%
Public finance | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 53,132 $ 49,200
% of total net par outstanding 100.00% 100.00%
Public finance | AAA | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 23 $ 25
% of total net par outstanding 0.00% 0.00%
Public finance | AAA | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 1,966 $ 2,074
% of total net par outstanding 3.70% 4.20%
Public finance | AA | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 17,572 $ 17,664
% of total net par outstanding 8.50% 8.80%
Public finance | AA | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 2,872 $ 2,854
% of total net par outstanding 5.40% 5.80%
Public finance | A | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 118,435 $ 111,502
% of total net par outstanding 56.70% 55.50%
Public finance | A | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 12,888 $ 13,046
% of total net par outstanding 24.30% 26.50%
Public finance | BBB | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 70,136 $ 69,096
% of total net par outstanding 33.60% 34.30%
Public finance | BBB | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 28,314 $ 24,828
% of total net par outstanding 53.30% 50.50%
Public finance | BIG    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 9,642 $ 9,286
Public finance | BIG | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 2,550 $ 2,888
% of total net par outstanding 1.20% 1.40%
Public finance | BIG | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 7,092 $ 6,398
% of total net par outstanding 13.30% 13.00%
Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 10,930 $ 11,177
Structured finance | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 8,166 $ 8,453
% of total net par outstanding 100.00% 100.00%
Structured finance | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 2,764 $ 2,724
% of total net par outstanding 100.00% 100.00%
Structured finance | AAA | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 486 $ 512
% of total net par outstanding 6.00% 6.10%
Structured finance | AAA | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 521 $ 470
% of total net par outstanding 18.80% 17.30%
Structured finance | AA | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 5,314 $ 5,386
% of total net par outstanding 65.10% 63.70%
Structured finance | AA | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 67 $ 58
% of total net par outstanding 2.50% 2.10%
Structured finance | A | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 761 $ 952
% of total net par outstanding 9.30% 11.30%
Structured finance | A | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 2,096 $ 2,117
% of total net par outstanding 75.80% 77.70%
Structured finance | BBB | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 739 $ 707
% of total net par outstanding 9.00% 8.30%
Structured finance | BBB | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 80 $ 79
% of total net par outstanding 2.90% 2.90%
Structured finance | BIG    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 866 $ 896
Structured finance | BIG | United States    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 866 $ 896
% of total net par outstanding 10.60% 10.60%
Structured finance | BIG | Non-U.S. public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 0 $ 0
% of total net par outstanding 0.00% 0.00%
v3.25.2
Outstanding Exposure - Components of BIG Net Par Outstanding (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Schedule of Insured Financial Obligations [Line Items]    
Net $ 272,778 $ 261,552
Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 261,848 250,375
Other structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 9,494 9,670
Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 10,930 11,177
BIG    
Schedule of Insured Financial Obligations [Line Items]    
Net 10,508 10,182
BIG | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 9,642 9,286
BIG | Other structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 75 77
BIG | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 866 896
BIG | BIG 1    
Schedule of Insured Financial Obligations [Line Items]    
Net 5,554 8,102
BIG | BIG 1 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 5,471 7,998
BIG | BIG 1 | Other structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 0 0
BIG | BIG 1 | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 83 104
BIG | BIG 2    
Schedule of Insured Financial Obligations [Line Items]    
Net 3,550 706
BIG | BIG 2 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 3,502 656
BIG | BIG 2 | Other structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 19 21
BIG | BIG 2 | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 48 50
BIG | BIG 3    
Schedule of Insured Financial Obligations [Line Items]    
Net 1,404 1,374
BIG | BIG 3 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 669 632
BIG | BIG 3 | Other structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 56 56
BIG | BIG 3 | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 735 742
United States | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 208,716 201,175
United States | RMBS    
Schedule of Insured Financial Obligations [Line Items]    
Net 1,436 1,507
United States | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 8,166 8,453
United States | BIG | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 2,550 2,888
United States | BIG | RMBS    
Schedule of Insured Financial Obligations [Line Items]    
Net 791 819
United States | BIG | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 866 896
United States | BIG | BIG 1 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 1,410 2,119
United States | BIG | BIG 1 | RMBS    
Schedule of Insured Financial Obligations [Line Items]    
Net 83 104
United States | BIG | BIG 2 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 471 137
United States | BIG | BIG 2 | RMBS    
Schedule of Insured Financial Obligations [Line Items]    
Net 29 29
United States | BIG | BIG 3 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 669 632
United States | BIG | BIG 3 | RMBS    
Schedule of Insured Financial Obligations [Line Items]    
Net 679 686
Non-U.S. public finance | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 53,132 49,200
Non-U.S. public finance | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 2,764 2,724
Non-U.S. public finance | BIG | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 7,092 6,398
Non-U.S. public finance | BIG | Structured finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 0 0
Non-U.S. public finance | BIG | BIG 1 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 4,061 5,879
Non-U.S. public finance | BIG | BIG 2 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net 3,031 519
Non-U.S. public finance | BIG | BIG 3 | Public finance    
Schedule of Insured Financial Obligations [Line Items]    
Net $ 0 $ 0
v3.25.2
Outstanding Exposure - BIG Net Par Outstanding (Details)
$ in Millions
Jun. 30, 2025
USD ($)
risk
Dec. 31, 2024
USD ($)
risk
Schedule of Insured Financial Obligations [Line Items]    
Net par outstanding, credit derivative $ 3,838 $ 4,212
Net 272,778 261,552
BIG    
Schedule of Insured Financial Obligations [Line Items]    
Net par outstanding, financial guaranty insurance 10,478 10,150
Net par outstanding, credit derivative 30 32
Net $ 10,508 $ 10,182
Number of risks, financial guaranty insurance | risk 202 207
Number of risks, credit derivative | risk 7 7
Number of risks | risk 209 214
BIG | BIG 1    
Schedule of Insured Financial Obligations [Line Items]    
Net par outstanding, financial guaranty insurance $ 5,528 $ 8,074
Net par outstanding, credit derivative 26 28
Net $ 5,554 $ 8,102
Number of risks, financial guaranty insurance | risk 91 98
Number of risks, credit derivative | risk 3 3
Number of risks | risk 94 101
BIG | BIG 2    
Schedule of Insured Financial Obligations [Line Items]    
Net par outstanding, financial guaranty insurance $ 3,546 $ 702
Net par outstanding, credit derivative 4 4
Net $ 3,550 $ 706
Number of risks, financial guaranty insurance | risk 13 12
Number of risks, credit derivative | risk 1 1
Number of risks | risk 14 13
BIG | BIG 3    
Schedule of Insured Financial Obligations [Line Items]    
Net par outstanding, financial guaranty insurance $ 1,404 $ 1,374
Net par outstanding, credit derivative 0 0
Net $ 1,404 $ 1,374
Number of risks, financial guaranty insurance | risk 98 97
Number of risks, credit derivative | risk 3 3
Number of risks | risk 101 100
v3.25.2
Outstanding Exposure - Schedule of Non-Financial Guaranty Exposure (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Diversified real estate    
Schedule of Insured Financial Obligations [Line Items]    
Gross Exposure $ 2,119 $ 2,004
Net Exposure 2,119 2,004
Insurance reserve financings and securitizations    
Schedule of Insured Financial Obligations [Line Items]    
Gross Exposure 1,513 1,449
Net Exposure 1,184 1,126
Pooled corporate obligations    
Schedule of Insured Financial Obligations [Line Items]    
Gross Exposure 884 868
Net Exposure 884 868
Aircraft residual value insurance    
Schedule of Insured Financial Obligations [Line Items]    
Gross Exposure 147 147
Net Exposure $ 87 $ 87
v3.25.2
Expected Loss to be Paid (Recovered) - Additional Information (Details)
€ in Millions, $ in Millions, £ in Billions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 26, 2023
USD ($)
Jun. 30, 2025
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2025
USD ($)
Payment
Jun. 30, 2024
USD ($)
Dec. 31, 2024
USD ($)
Jun. 30, 2025
GBP (£)
Jun. 30, 2025
EUR (€)
Mar. 31, 2025
USD ($)
Mar. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Schedule of Expected Losses to be Paid [Line Items]                      
Period of insured credit performance of guaranteed obligations (in some cases over)       30 years              
Loss and LAE Reserve paid   $ 5 $ 13 $ (56) $ 20            
Expected LAE to be paid   8   8   $ 11          
Credit for estimated future recoveries of claims paid   258   258   262          
Net   272,778   272,778   261,552          
Insured financial obligations insured contractual payments outstanding, net   434,562   $ 434,562   415,966          
Additional loss recovery assumption, recovery period       5 years              
Net Expected Loss to be Paid (Recovered)   186 447 $ 186 447 106     $ 150 $ 433 $ 505
BIG                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   10,508   10,508   10,182          
Puerto Rico Electric Power Authority | Guarantee Obligations                      
Schedule of Expected Losses to be Paid [Line Items]                      
Damages sought, estimate $ 2,400                    
Damages sought $ 8,500                    
UK Regulated Utilities | BIG                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   5,300   5,300     £ 3.8        
European Renewable Energy | BIG                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   934   934       € 792      
Thames Water Utilities Finance PLC | BIG                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   2,400   2,400              
United States | RMBS                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   1,436   1,436   1,507          
Net Expected Loss to be Paid (Recovered)   (35) $ 0 (35) $ 0 (43)     $ (37) $ (2) $ 43
United States | RMBS | BIG                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   $ 791   $ 791   $ 819          
United States | RMBS | First Lien                      
Schedule of Expected Losses to be Paid [Line Items]                      
Projected loss assumptions, CDR, plateau rate, projection period       36 months              
Number of delinquent payments | Payment       2              
United States | RMBS | First Lien | Base Scenario                      
Schedule of Expected Losses to be Paid [Line Items]                      
Percent of deferred loan balances to be recovered   50.00%       50.00%          
United States | RMBS | First Lien | Base Scenario                      
Schedule of Expected Losses to be Paid [Line Items]                      
Projected loss assumptions, CDR, plateau rate, projection period       36 months              
Projected loss assumptions, final CPR, period for voluntary prepayments to continue       1 year              
Estimated loss severity rate, one through six months (as a percent)       18 months              
Loss severity (as a percent)   40.00%   40.00%     40.00% 40.00%      
Projected loss assumptions, period to reach final loss severity rate       2 years 6 months              
United States | RMBS | First Lien | More Stressful Environment                      
Schedule of Expected Losses to be Paid [Line Items]                      
Projected loss assumptions, period to reach final loss severity rate       9 years              
Percent of deferred loan balances to be recovered       20.00%              
Period from plateau to intermediate conditional default rate (in months)       16 months              
Projected loss assumptions, increase (decrease) in expected loss to be paid, net       $ 32              
United States | RMBS | First Lien | Least Stressful Environment                      
Schedule of Expected Losses to be Paid [Line Items]                      
Projected loss assumptions, CDR, plateau rate, projection period       30 months              
Percent of deferred loan balances to be recovered       80.00%              
Period from plateau to intermediate conditional default rate (in months)       8 months              
Decrease in the plateau period used to calculate potential change in loss estimate (in months)       6 months              
Projected loss assumptions, increase (decrease) in expected loss to be paid, net       $ (30)              
United States | RMBS | Second Lien                      
Schedule of Expected Losses to be Paid [Line Items]                      
Loss recovery assumption (as a percent)   2.00%   2.00%   2.00% 2.00% 2.00%      
Projected loss assumptions, period of consistent conditional default rate       36 months              
Period of conditional default rate downward trend       1 year              
Percent of original period of consistent conditional default rate       5.00%              
United States | RMBS | Second Lien | More Stressful Environment                      
Schedule of Expected Losses to be Paid [Line Items]                      
Percent of deferred loan balances to be recovered       20.00%              
United States | RMBS | Second Lien | Least Stressful Environment                      
Schedule of Expected Losses to be Paid [Line Items]                      
Percent of deferred loan balances to be recovered       80.00%              
United States | RMBS | Second Lien | More Stressful Environment                      
Schedule of Expected Losses to be Paid [Line Items]                      
Projected loss assumptions, CDR, plateau rate, projection period       42 months              
Period from plateau to intermediate conditional default rate (in months)       16 months              
Increase in conditional default rate ramp down period       4 months              
Stress period (in months)       58 months              
United States | RMBS | Second Lien | More Stressful Environment | Home Equity Line of Credit                      
Schedule of Expected Losses to be Paid [Line Items]                      
Change in estimate for increased conditional default rate plateau period       $ 75              
United States | RMBS | Second Lien | Least Stressful Environment                      
Schedule of Expected Losses to be Paid [Line Items]                      
Stress period (in months)       38 months              
Period of constant conditional default rate (in months)       30 months              
Decreased conditional default rate ramp down period       8 months              
Change in estimate for decreased prepayment rate, percent       10.00%              
United States | RMBS | Second Lien | Least Stressful Environment | Home Equity Line of Credit                      
Schedule of Expected Losses to be Paid [Line Items]                      
Change in estimate for decreased conditional default rate ramp down period       $ 75              
Puerto Rico                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   $ 637   637   $ 637          
Insured financial obligations insured contractual payments outstanding, net   742   742   756          
Puerto Rico | Other Puerto Rico Exposure                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   92   92   92          
Puerto Rico | Puerto Rico Defaulted Exposures Subject to a Plan Support Agreement | Puerto Rico Electric Power Authority                      
Schedule of Expected Losses to be Paid [Line Items]                      
Net   532   532   532          
Insured financial obligations insured contractual payments outstanding, net   $ 617   $ 617   $ 629          
v3.25.2
Expected Loss to be Paid (Recovered) - Net Expected Loss to be Paid (Recovered) and Net Economic Loss Development (Benefit) by Accounting Model (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Mar. 31, 2025
Dec. 31, 2024
Mar. 31, 2024
Dec. 31, 2023
Schedule of Expected Losses to be Paid [Line Items]                
Net Expected Loss to be Paid (Recovered) $ 186 $ 447 $ 186 $ 447 $ 150 $ 106 $ 433 $ 505
Net economic loss development (benefit) 36 21 21 14        
Insurance                
Schedule of Expected Losses to be Paid [Line Items]                
Net Expected Loss to be Paid (Recovered) 171   171     90    
Net economic loss development (benefit) 38 19 86 12        
FG VIEs' assets                
Schedule of Expected Losses to be Paid [Line Items]                
Net Expected Loss to be Paid (Recovered) 16   16     16    
Net economic loss development (benefit) (1) 1 (1) 1        
Credit derivatives                
Schedule of Expected Losses to be Paid [Line Items]                
Net Expected Loss to be Paid (Recovered) (1)   (1)     $ 0    
Net economic loss development (benefit) $ (1) $ 1 $ (64) $ 1        
v3.25.2
Expected Loss to be Paid (Recovered) - Net Expected Loss to be Paid After Net Expected Recoveries for Breaches of R&W Rollforward (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Dec. 31, 2024
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period $ 150 $ 433 $ 106 $ 505 $ 505
Accretion of discount 2 4 3 9  
Changes in discount rates 1 1 6 (2)  
Changes in timing and assumptions 33 16 12 7  
Total economic loss development (benefit) 36 21 21 14  
Net (paid) recovered losses 0 (7) 59 (72)  
Net expected loss to be paid (recovered), end of period 186 447 186 $ 447 106
Period after the end of the reporting period within which the ceded paid losses are typically settled (in days)       45 days  
Public finance          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period 157 398 116 $ 418 418
Total economic loss development (benefit) 42 29 95 26  
Net (paid) recovered losses (7) (16) (19) (33)  
Net expected loss to be paid (recovered), end of period 192 411 192 411 116
Other structured finance          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period 30 37 33 44 44
Total economic loss development (benefit) 0 2 (65) 1  
Net (paid) recovered losses (1) (3) 61 (9)  
Net expected loss to be paid (recovered), end of period 29 36 29 36 33
Structured finance          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period (7) 35 (10) 87 87
Total economic loss development (benefit) (6) (8) (74) (12)  
Net (paid) recovered losses 7 9 78 (39)  
Net expected loss to be paid (recovered), end of period (6) 36 $ (6) 36 $ (10)
Minimum          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Risk free discount rate     1.84%   1.98%
Maximum          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Risk free discount rate     5.48%   5.22%
Weighted Average          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Risk free discount rate     4.15%   4.38%
United States | Public finance          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period 35 378 $ 18 398 $ 398
Total economic loss development (benefit) 24 12 53 9  
Net (paid) recovered losses (6) (16) (18) (33)  
Net expected loss to be paid (recovered), end of period 53 374 53 374 18
United States | RMBS          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period (37) (2) (43) 43 43
Total economic loss development (benefit) (6) (10) (9) (13)  
Net (paid) recovered losses 8 12 17 (30)  
Net expected loss to be paid (recovered), end of period (35) 0 (35) 0 (43)
Non-U.S. public finance | Public finance          
Present Value of Net Expected Loss and Loss Adjustment Expenses to be Paid [Roll Forward]          
Net expected loss to be paid (recovered), beginning of period 122 20 98 20 20
Total economic loss development (benefit) 18 17 42 17  
Net (paid) recovered losses (1) 0 (1) 0  
Net expected loss to be paid (recovered), end of period $ 139 $ 37 $ 139 $ 37 $ 98
v3.25.2
Expected Loss to be Paid (Recovered) - Net Economic Loss Development (Benefit) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Schedule of Expected Losses to be Paid [Line Items]        
RMBS losses $ 36 $ 21 $ 21 $ 14
RMBS | United States        
Schedule of Expected Losses to be Paid [Line Items]        
RMBS losses (6) (10) (9) (13)
RMBS | United States | First Lien        
Schedule of Expected Losses to be Paid [Line Items]        
RMBS losses (4) (2) (2) (3)
RMBS | United States | Second Lien        
Schedule of Expected Losses to be Paid [Line Items]        
RMBS losses $ (2) $ (8) $ (7) $ (10)
v3.25.2
Expected Loss to be Paid (Recovered) - Key Assumptions in Base Scenario Expected Loss First Lien RMBS (Details) - RMBS - United States
 3 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Base Scenario | First Lien    
Schedule of Expected Losses to be Paid [Line Items]    
Percent of deferred loan balances to be recovered 50.00% 50.00%
Home Equity Line of Credit    
Schedule of Expected Losses to be Paid [Line Items]    
Initial loss severity 98.00% 98.00%
Projected future recoveries on previously charged-off loans 50.00% 50.00%
Minimum    
Schedule of Expected Losses to be Paid [Line Items]    
Plateau CDR 0.00% 0.00%
Final CDR 0.00% 0.00%
Initial loss severity 40.00% 40.00%
Liquidation rate 20.00% 20.00%
Minimum | Home Equity Line of Credit    
Schedule of Expected Losses to be Paid [Line Items]    
Plateau CDR 0.20% 0.00%
Final CDR 0.00% 0.00%
Liquidation rate 20.00% 20.00%
Maximum    
Schedule of Expected Losses to be Paid [Line Items]    
Plateau CDR 8.40% 8.80%
Final CDR 0.40% 0.40%
Initial loss severity 50.00% 50.00%
Liquidation rate 50.00% 50.00%
Maximum | Home Equity Line of Credit    
Schedule of Expected Losses to be Paid [Line Items]    
Plateau CDR 6.70% 5.60%
Final CDR 0.30% 0.30%
Liquidation rate 55.00% 55.00%
Weighted Average    
Schedule of Expected Losses to be Paid [Line Items]    
Plateau CDR 3.20% 3.40%
Final CDR 0.20% 0.20%
Initial loss severity 43.00% 43.10%
Weighted Average | Home Equity Line of Credit    
Schedule of Expected Losses to be Paid [Line Items]    
Plateau CDR 2.60% 2.20%
Final CDR 0.10% 0.10%
v3.25.2
Contracts Accounted for as Insurance - Net Earned Premiums (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Insurance [Abstract]        
Scheduled net earned premiums $ 75 $ 72 $ 151 $ 143
Accelerations from refundings and terminations 4 3 9 42
Accretion of discount on net premiums receivable 9 8 18 15
Financial guaranty insurance net earned premiums 88 83 178 200
Specialty net earned premiums 1 1 2 3
Net earned premiums $ 89 $ 84 $ 180 $ 203
v3.25.2
Contracts Accounted for as Insurance - Gross Premium Receivable Net of Commissions on Assumed Business Roll Forward (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Gross Premium Receivable Net of Ceding Commissions [Roll Forward]    
Beginning of year $ 1,551 $ 1,468
Less: Specialty insurance premium receivable 1 1
Financial guaranty insurance premiums receivable 1,550 1,467
New business and supplemental premiums, net of commissions 124 220
Gross premiums received, net of commissions (154) (188)
Adjustments:    
Changes in the expected term and debt service assumptions (7) (29)
Accretion of discount, net of commissions on assumed business 17 11
Foreign exchange gain (loss) on remeasurement 101 (10)
Change in allowance for credit losses (1) 0
Financial guaranty insurance premiums receivable 1,630 1,471
Specialty insurance premium receivable 1 1
Ending balance $ 1,631 $ 1,472
v3.25.2
Contracts Accounted for as Insurance - Additional Information (Details)
 6 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Guarantor Obligations [Line Items]    
Weighted average risk-free rates for U.S. dollar denominated financial guaranty insurance obligations 4.16% 4.38%
Minimum    
Guarantor Obligations [Line Items]    
Weighted average risk-free rates for U.S. dollar denominated financial guaranty insurance obligations 1.84% 1.98%
Maximum    
Guarantor Obligations [Line Items]    
Weighted average risk-free rates for U.S. dollar denominated financial guaranty insurance obligations 5.48% 5.22%
Foreign Currency Concentration Risk | Premiums Receivable | Premiums Receivable    
Guarantor Obligations [Line Items]    
Percentage of installment premiums denominated in currencies other than the U.S. dollar 69.00% 69.00%
v3.25.2
Contracts Accounted for as Insurance - Expected Future Premium Collections and Earnings (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2025
USD ($)
Consolidated Entity Excluding Variable Interest Entities (VIE)  
Future Premiums to be Collected [Abstract]  
2025 (July 1 - September 30) $ 76
2025 (October 1 - December 31) 43
Subtotal 2025 119
2026 141
2027 132
2028 125
2029 113
2030-2034 446
2035-2039 342
2040-2044 262
2045-2049 198
2050-2054 121
After 2054 129
Total 2,128
Financial Guarantee Insurance Product Line  
Earnings of Deferred Premium Revenue  
2025 (July 1 - September 30) 77
2025 (October 1 - December 31) 76
Subtotal 2025 153
2026 286
2027 267
2028 253
2029 236
2030-2034 939
2035-2039 615
2040-2044 405
2045-2049 268
2050-2054 139
After 2054 108
Total 3,669
Accretion of Discount  
2025 (July 1 - September 30) 10
2025 (October 1 - December 31) 10
Subtotal 2025 20
2026 37
2027 34
2028 32
2029 30
2030-2034 127
2035-2039 92
2040-2044 61
2045-2049 35
2050-2054 15
After 2054 13
Total 496
Total  
2025 (July 1 - September 30) 87
2025 (October 1 - December 31) 86
Subtotal 2025 173
2026 323
2027 301
2028 285
2029 266
2030-2034 1,066
2035-2039 707
2040-2044 466
2045-2049 303
2050-2054 154
After 2054 121
Total $ 4,165
v3.25.2
Contracts Accounted for as Insurance - Selected Information for Policies Paid In Installments (Details) - USD ($)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Jun. 30, 2024
Dec. 31, 2023
Financial Guarantee Insurance Premiums [Line Items]        
Premiums receivable, net of commissions payable $ 1,631 $ 1,551 $ 1,472 $ 1,468
Financial Guarantee Policies Paid in Installments        
Financial Guarantee Insurance Premiums [Line Items]        
Premiums receivable, net of commissions payable 1,630 1,550    
Deferred premium revenue $ 1,870 $ 1,901    
Weighted-average risk-free rate used to discount premiums 2.50% 2.50%    
Weighted-average period of premiums receivable (in years) 12 years 1 month 6 days 12 years 3 months 18 days    
v3.25.2
Contracts Accounted for as Insurance - Loss and LAE Reserve and Salvage and Subrogation Recoverable Net of Reinsurance (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) $ (66) $ (127)
Public finance | Financial Guarantee Insurance And Other Product Line    
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) 44 (9)
Other structured finance | Financial Guarantee Insurance And Other Product Line    
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) 28 33
Structured finance | Financial Guarantee Insurance And Other Product Line    
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) (110) (118)
United States | Public finance | Financial Guarantee Insurance And Other Product Line    
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) 19 (14)
United States | RMBS | Financial Guarantee Insurance And Other Product Line    
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) (138) (151)
Non United States | Public finance | Financial Guarantee Insurance And Other Product Line    
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]    
Net Reserve (Recoverable) $ 25 $ 5
v3.25.2
Contracts Accounted for as Insurance - Reconciliation of Net Expected Loss to be Paid and Expensed (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Guarantor Obligations [Line Items]            
Net expected loss to be paid (recovered) - financial guaranty insurance $ 186 $ 150 $ 106 $ 447 $ 433 $ 505
Net expected loss to be expensed (present value) 260          
Financial Guarantee Insurance And Other Product Line            
Guarantor Obligations [Line Items]            
Net expected loss to be paid (recovered) - financial guaranty insurance 170          
Contra-paid, net 23          
Salvage and subrogation recoverable, net 380          
Loss and LAE reserve - financial guaranty insurance contracts, net of reinsurance (313)          
Net expected loss to be expensed (present value) $ 260          
v3.25.2
Contracts Accounted for as Insurance - Net Expected Loss to be Expensed Insurance Contracts (Details)
$ in Millions
Jun. 30, 2025
USD ($)
Insurance [Abstract]  
2025 (July 1 - September 30) $ 3
2025 (October 1 - December 31) 4
Subtotal 2025 7
2026 14
2027 17
2028 19
2029 19
2030-2034 80
2035-2039 39
2040-2044 20
2045-2049 26
2050-2054 17
After 2054 2
Net expected loss to be expensed (present value) 260
Future accretion 36
Total expected future loss and LAE $ 296
v3.25.2
Contracts Accounted for as Insurance - Loss and LAE Reported on the Statements of Operations (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) $ 28 $ (2) $ 68 $ (3)
Public finance | Financial Guarantee Insurance And Other Product Line        
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) 29 1 71 (1)
Public finance | Financial Guarantee Insurance And Other Product Line | United States        
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) 15 1 51 (1)
Public finance | Financial Guarantee Insurance And Other Product Line | Non United States        
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) 14 0 20 0
RMBS | Financial Guarantee Insurance And Other Product Line | United States        
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) 0 (5) 0 (3)
Other structured finance | Financial Guarantee Insurance And Other Product Line        
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) (1) 2 (3) 1
Structured finance | Financial Guarantee Insurance And Other Product Line        
Liability for Claims and Claims Adjustment Expense Including Salvage and Subrogation Recoverable [Line Items]        
Loss and loss adjustment expenses (benefit) $ (1) $ (3) $ (3) $ (2)
v3.25.2
Contracts Accounted for as Insurance - BIG Transaction Loss Summary (Details)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2025
USD ($)
risk
Dec. 31, 2024
USD ($)
risk
Discount    
Total $ (36)  
BIG    
Number of risks    
Total (in contracts) | risk 202 207
Principal    
Total $ 10,478 $ 10,150
BIG | BIG 1    
Number of risks    
Total (in contracts) | risk 91 98
Principal    
Total $ 5,528 $ 8,074
BIG | BIG 2    
Number of risks    
Total (in contracts) | risk 13 12
Principal    
Total $ 3,546 $ 702
BIG | BIG 3    
Number of risks    
Total (in contracts) | risk 98 97
Principal    
Total $ 1,404 $ 1,374
BIG | Consolidated Entity Excluding Variable Interest Entities (VIE)    
Number of risks    
Total (in contracts) | risk 202 207
Remaining weighted average contract period    
Gross (in years) 16 years 9 months 18 days 16 years 7 months 6 days
Total (in years) 16 years 9 months 18 days 16 years 7 months 6 days
Principal    
Gross $ 10,492 $ 10,164
Total 10,478 10,150
Interest    
Gross 8,686 8,338
Total 8,684 8,335
Total net outstanding exposure    
Gross 19,178 18,502
Total 19,162 18,485
Expected cash outflows (inflows)    
Gross 4,130 5,665
Total 4,121 5,656
Potential recoveries    
Gross (3,925) (5,626)
Total (3,915) (5,616)
Subtotal    
Gross 205 39
Total 206 40
Discount    
Gross (36) 49
Total (36) 49
Expected losses to be paid (recovered)    
Gross 169 88
Net expected loss to be paid 170 89
Deferred premium revenue    
Gross 452 498
Total 452 498
Reserves (salvage)    
Gross (68) (129)
Total $ (67) $ (128)
BIG | Consolidated Entity Excluding Variable Interest Entities (VIE) | BIG 1    
Number of risks    
Total (in contracts) | risk 91 98
Remaining weighted average contract period    
Gross (in years) 11 years 7 months 6 days 18 years 7 months 6 days
Principal    
Gross $ 5,534 $ 8,080
Interest    
Gross 3,395 7,546
Total net outstanding exposure    
Gross 8,929 15,626
Expected cash outflows (inflows)    
Gross 129 4,016
Potential recoveries    
Gross (367) (4,201)
Subtotal    
Gross (238) (185)
Discount    
Gross 45 43
Expected losses to be paid (recovered)    
Gross (193) (142)
Deferred premium revenue    
Gross 198 333
Reserves (salvage)    
Gross $ (235) $ (226)
BIG | Consolidated Entity Excluding Variable Interest Entities (VIE) | BIG 2    
Number of risks    
Total (in contracts) | risk 13 12
Remaining weighted average contract period    
Gross (in years) 24 years 6 months 8 years 9 months 18 days
Principal    
Gross $ 3,546 $ 702
Interest    
Gross 4,899 371
Total net outstanding exposure    
Gross 8,445 1,073
Expected cash outflows (inflows)    
Gross 2,659 342
Potential recoveries    
Gross (2,412) (293)
Subtotal    
Gross 247 49
Discount    
Gross (63) 29
Expected losses to be paid (recovered)    
Gross 184 78
Deferred premium revenue    
Gross 142 49
Reserves (salvage)    
Gross $ 76 $ 35
BIG | Consolidated Entity Excluding Variable Interest Entities (VIE) | BIG 3    
Number of risks    
Total (in contracts) | risk 98 97
Remaining weighted average contract period    
Gross (in years) 5 years 6 months 6 years 1 month 6 days
Principal    
Gross $ 1,412 $ 1,382
Interest    
Gross 392 421
Total net outstanding exposure    
Gross 1,804 1,803
Expected cash outflows (inflows)    
Gross 1,342 1,307
Potential recoveries    
Gross (1,146) (1,132)
Subtotal    
Gross 196 175
Discount    
Gross (18) (23)
Expected losses to be paid (recovered)    
Gross 178 152
Deferred premium revenue    
Gross 112 116
Reserves (salvage)    
Gross $ 91 $ 62
v3.25.2
Contracts Accounted for as Credit Derivatives - Credit Derivatives Subordination and Ratings (Details) - USD ($)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Credit Derivatives    
Estimated remaining weighted average life of credit derivatives (in years) 9 years 8 years 4 months 24 days
Net Par Outstanding on Credit Derivatives    
Net Par Outstanding $ 3,838 $ 4,212
Net Fair Value Asset (Liability) (29) (29)
Public finance | United States    
Net Par Outstanding on Credit Derivatives    
Net Par Outstanding 1,002 1,025
Net Fair Value Asset (Liability) (11) (12)
Public finance | Non United States    
Net Par Outstanding on Credit Derivatives    
Net Par Outstanding 1,670 2,044
Net Fair Value Asset (Liability) (16) (15)
Structured finance | United States    
Net Par Outstanding on Credit Derivatives    
Net Par Outstanding 145 150
Net Fair Value Asset (Liability) (2) (2)
Structured finance | Non United States    
Net Par Outstanding on Credit Derivatives    
Net Par Outstanding 1,021 993
Net Fair Value Asset (Liability) $ 0 $ 0
v3.25.2
Contracts Accounted for as Credit Derivatives - Net Change in Fair Value of Credit Derivatives Gains (Losses) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]        
Realized gains (losses) and other settlements $ 0 $ 1 $ 105 $ 0
Net unrealized gains (losses) 1 5 0 16
Fair value gains (losses) on credit derivatives $ 1 $ 6 $ 105 $ 16
v3.25.2
Contracts Accounted for as Credit Derivatives - Narrative (Details) - LBIE vs. AG Financial Products - Positive Outcome of Litigation - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2025
Nov. 28, 2011
Pending Litigation | AG Financial Products Inc.    
Credit Derivatives    
Other credit derivative transactions which LBIE owes to AG Financial Products as per calculation of AG financial products   $ 25
Pending Litigation | Lehman Brothers International (Europe)    
Credit Derivatives    
Termination payments which AG Financial Products owes to LBIE as per calculation of LBIE   $ 1,400
Settled Litigation | AG Financial Products Inc.    
Credit Derivatives    
Litigation settlement, gain $ 103  
v3.25.2
Contracts Accounted for as Credit Derivatives - CDS Spread and Components of Credit Derivative Assets (Liabilities) (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Jun. 30, 2024
Dec. 31, 2023
Credit Derivatives        
Fair value of credit derivatives before effect of AG credit spread $ (58) $ (64)    
Plus: Effect of AG credit spread 29 35    
Net fair value of credit derivatives $ (29) $ (29)    
Five-year CDS spread | AGC        
Credit Derivatives        
Quoted price of CDS contract (as a percent) 0.74% 0.75% 0.67% 0.66%
One-year CDS spread | AGC        
Credit Derivatives        
Quoted price of CDS contract (as a percent) 0.25% 0.25% 0.22% 0.23%
v3.25.2
Investments - Internally Managed Investment Portfolio (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Debt and Equity Securities, FV-NI [Line Items]    
Estimated fair value $ 6,498 $ 6,369
Fixed-maturity securities, trading 137 147
Short-term investments, at fair value 939 1,221
Other invested assets 995 926
Total investments 8,569 8,663
Sound Point Capital Management, LP    
Debt and Equity Securities, FV-NI [Line Items]    
Equity method investments 412 418
Total investments 582 569
Equity method investments    
Debt and Equity Securities, FV-NI [Line Items]    
Equity method investments 567 496
Other    
Debt and Equity Securities, FV-NI [Line Items]    
Other invested assets $ 16 $ 12
v3.25.2
Investments - Additional Information (Details)
£ in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
USD ($)
security
Jun. 30, 2024
USD ($)
Jun. 30, 2025
USD ($)
security
Jun. 30, 2024
USD ($)
Jun. 30, 2025
GBP (£)
security
Dec. 31, 2024
USD ($)
security
Schedule of Investments [Line Items]            
Fixed-maturity investments, non-investment grade, percent 13.40%   13.40%   13.40% 12.60%
Estimated Fair Value $ 6,498   $ 6,498     $ 6,369
Alternative investment 923   923      
Accrued investment income $ 67   $ 67     $ 64
Number of securities with unrealized losses greater than 10% of book value for 12 months or more | security 321   321   321 438
Total unrealized losses for securities having losses greater than 10% of book value for 12 months or more $ 169   $ 169     $ 223
Assets held-in-trust 79   79     79
Fixed-maturity securities, trading 137   137     147
Proceeds from sale and maturity of debt securities, available-for-sale     427 $ 488    
Securities purchased with credit deterioration 0 $ 0 0 $ 0    
Insured Financial Obligations, Loss Mitigation Securities            
Schedule of Investments [Line Items]            
Estimated Fair Value 503   503     479
Insured Financial Obligations, Loss Mitigation Securities Paid Down            
Schedule of Investments [Line Items]            
Estimated Fair Value 408   408      
Collateralized Loan Obligation Equity Tranches            
Schedule of Investments [Line Items]            
Estimated Fair Value 238   238     277
Consolidated Investment Vehicles            
Schedule of Investments [Line Items]            
Equity method investments 40   40     33
Contingent Value Instruments            
Schedule of Investments [Line Items]            
Fixed-maturity securities, trading 117   117      
Financial Instrument, Other            
Schedule of Investments [Line Items]            
Investments, fair value disclosure 583   583      
Sound Point Capital Management, LP            
Schedule of Investments [Line Items]            
Equity method investments 412   412     418
AGL Subsidiaries            
Schedule of Investments [Line Items]            
Assets held-in-trust 1,092   1,092     $ 1,135
Future Equity Investments            
Schedule of Investments [Line Items]            
Alternative investment 923   923      
Investments, unfunded commitment 567   567      
Investments, authorized amount to invest 1,500   1,500      
Future Equity Investments | Sound Point Capital Management, LP            
Schedule of Investments [Line Items]            
Investments, authorized amount to invest 1,000   1,000      
Debt Securities Through A Facility            
Schedule of Investments [Line Items]            
Liquidity bonds purchased 75   75   £ 55  
Purchase commitment, debt securities $ 75   $ 75   £ 55  
v3.25.2
Investments - Fixed Maturity Securities and Short Term Investments (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Schedule of Investments [Line Items]            
Percent of Total 100.00%   100.00%      
Amortized Cost $ 6,765   $ 6,827      
Allowance for Credit Losses (47) $ (45) (60) $ (69) $ (67) $ (77)
Gross Unrealized Gains 107   44      
Gross Unrealized Losses (327)   (442)      
Estimated Fair Value $ 6,498   $ 6,369      
Government agency obligations as a percentage of total mortgage backed securities 73.00%   68.00%      
Obligations of state and political subdivisions            
Schedule of Investments [Line Items]            
Percent of Total 27.00%   30.00%      
Amortized Cost $ 1,851   $ 2,032      
Allowance for Credit Losses (12)   (14)      
Gross Unrealized Gains 28   25      
Gross Unrealized Losses (95)   (103)      
Estimated Fair Value $ 1,772   $ 1,940      
U.S. government and agencies            
Schedule of Investments [Line Items]            
Percent of Total 1.00%   1.00%      
Amortized Cost $ 42   $ 72      
Allowance for Credit Losses 0   0      
Gross Unrealized Gains 1   1      
Gross Unrealized Losses (5)   (6)      
Estimated Fair Value $ 38   $ 67      
Corporate securities            
Schedule of Investments [Line Items]            
Percent of Total 42.00%   38.00%      
Amortized Cost $ 2,826   $ 2,586      
Allowance for Credit Losses (6)   (7)      
Gross Unrealized Gains 57   9      
Gross Unrealized Losses (131)   (206)      
Estimated Fair Value $ 2,746   $ 2,382      
RMBS            
Schedule of Investments [Line Items]            
Percent of Total 10.00%   9.00%      
Amortized Cost $ 670   $ 657      
Allowance for Credit Losses (24)   (21)      
Gross Unrealized Gains 5   2      
Gross Unrealized Losses (58)   (71)      
Estimated Fair Value $ 593   $ 567      
CMBS            
Schedule of Investments [Line Items]            
Percent of Total 2.00%   3.00%      
Amortized Cost $ 150   $ 189      
Allowance for Credit Losses 0   0      
Gross Unrealized Gains 2   0      
Gross Unrealized Losses (1)   (3)      
Estimated Fair Value $ 151   $ 186      
CLOs            
Schedule of Investments [Line Items]            
Percent of Total 8.00%   9.00%      
Amortized Cost $ 554   $ 615      
Allowance for Credit Losses (5)   (1)      
Gross Unrealized Gains 6   6      
Gross Unrealized Losses (28)   (9)      
Estimated Fair Value $ 527   $ 611      
Others            
Schedule of Investments [Line Items]            
Percent of Total 9.00%   9.00%      
Amortized Cost $ 583   $ 593      
Allowance for Credit Losses 0   (17)      
Gross Unrealized Gains 4   1      
Gross Unrealized Losses (1)   (30)      
Estimated Fair Value 586   547      
Others | Affiliated Entity            
Schedule of Investments [Line Items]            
Amortized Cost 41   41      
Estimated Fair Value $ 42   $ 42      
Non-U.S. government securities            
Schedule of Investments [Line Items]            
Percent of Total 1.00%   1.00%      
Amortized Cost $ 89   $ 83      
Allowance for Credit Losses 0   0      
Gross Unrealized Gains 4   0      
Gross Unrealized Losses (8)   (14)      
Estimated Fair Value $ 85   $ 69      
v3.25.2
Investments - Gross Unrealized Loss by Length of Time (Details)
$ in Millions
Jun. 30, 2025
USD ($)
security
Dec. 31, 2024
USD ($)
security
Less than 12 months    
Fair Value $ 763 $ 1,975
Gross Unrealized Loss $ (16) $ (40)
Number of securities | security 275 569
12 months or more    
Fair Value $ 1,933 $ 2,417
Gross Unrealized Loss $ (210) $ (277)
Number of securities | security 906 1,065
Total    
Fair Value $ 2,696 $ 4,392
Gross Unrealized Loss $ (226) $ (317)
Number of securities | security 1,165 1,591
Obligations of state and political subdivisions    
Less than 12 months    
Fair Value $ 288 $ 624
Gross Unrealized Loss (5) (7)
12 months or more    
Fair Value 833 964
Gross Unrealized Loss (89) (96)
Total    
Fair Value 1,121 1,588
Gross Unrealized Loss (94) (103)
U.S. government and agencies    
Less than 12 months    
Fair Value 2 5
Gross Unrealized Loss 0 0
12 months or more    
Fair Value 12 28
Gross Unrealized Loss (5) (6)
Total    
Fair Value 14 33
Gross Unrealized Loss (5) (6)
Corporate securities    
Less than 12 months    
Fair Value 225 762
Gross Unrealized Loss (3) (20)
12 months or more    
Fair Value 849 1,046
Gross Unrealized Loss (100) (150)
Total    
Fair Value 1,074 1,808
Gross Unrealized Loss (103) (170)
RMBS    
Less than 12 months    
Fair Value 82 255
Gross Unrealized Loss (1) (4)
12 months or more    
Fair Value 115 123
Gross Unrealized Loss (7) (10)
Total    
Fair Value 197 378
Gross Unrealized Loss (8) (14)
CMBS    
Less than 12 months    
Fair Value 0 83
Gross Unrealized Loss 0 0
12 months or more    
Fair Value 65 103
Gross Unrealized Loss (1) (3)
Total    
Fair Value 65 186
Gross Unrealized Loss (1) (3)
CLOs    
Less than 12 months    
Fair Value 87 151
Gross Unrealized Loss (6) (5)
12 months or more    
Fair Value 29 107
Gross Unrealized Loss 0 (1)
Total    
Fair Value 116 258
Gross Unrealized Loss (6) (6)
Others    
Less than 12 months    
Fair Value 79 60
Gross Unrealized Loss (1) (1)
12 months or more    
Fair Value 10 16
Gross Unrealized Loss 0 0
Total    
Fair Value 89 76
Gross Unrealized Loss (1) (1)
Non-U.S. government securities    
Less than 12 months    
Fair Value 0 35
Gross Unrealized Loss 0 (3)
12 months or more    
Fair Value 20 30
Gross Unrealized Loss (8) (11)
Total    
Fair Value 20 65
Gross Unrealized Loss $ (8) $ (14)
v3.25.2
Investments - Distribution of Fixed-Maturity Securities by Contractual Maturity (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Amortized Cost    
Due within one year $ 166  
Due after one year through five years 1,385  
Due after five years through 10 years 2,109  
Due after 10 years 2,285  
Amortized Cost 6,765 $ 6,827
Estimated Fair Value    
Due within one year 167  
Due after one year through five years 1,391  
Due after five years through 10 years 2,074  
Due after 10 years 2,122  
Estimated Fair Value 6,498 6,369
RMBS    
Amortized Cost    
Amortized Cost 670 657
Estimated Fair Value    
Estimated Fair Value 593 567
CMBS    
Amortized Cost    
Amortized Cost 150 189
Estimated Fair Value    
Estimated Fair Value $ 151 $ 186
v3.25.2
Investments - Net Investment Income and Equity in Earnings of Investees (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Net Investment Income        
Gross investment income $ 90 $ 82 $ 178 $ 167
Investment expenses (1) (1) (2) (2)
Net investment income 89 81 176 165
Fair value gains (losses) on trading securities 2 17 3 43
Equity in Earnings (Losses) of Investees 3 5 56 29
Fixed-maturity securities, available-for-sale        
Net Investment Income        
Gross investment income 77 60 151 122
Short-term investments        
Net Investment Income        
Gross investment income 12 22 25 45
Other        
Net Investment Income        
Gross investment income 1 0 2 0
Sound Point        
Net Investment Income        
Equity in Earnings (Losses) of Investees (1) (3) 12 1
Equity method investments        
Net Investment Income        
Equity in Earnings (Losses) of Investees 4 8 44 28
Insured Financial Obligations, Loss Mitigation Securities        
Net Investment Income        
Gross investment income 7 7 14 14
Fixed-Maturity Securities, Trading        
Net Investment Income        
Fair value gains (losses) on trading securities still held $ 2 $ 14 $ 3 $ 31
v3.25.2
Investments - Net Realized Investment Gains (Losses) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Investments, Debt and Equity Securities [Abstract]        
Gross realized gains on sales of available-for-sale securities $ 1 $ 1 $ 4 $ 2
Gross realized losses on sales of available-for-sale securities (1) (4) (9) (7)
Net foreign currency gains (losses) 0 (2) (1) (2)
Change in the allowance for credit losses and intent to sell (3) (2) (13) 8
Other net realized gains (losses) (3) 1 (3) 1
Net realized investment gains (losses) $ (6) $ (6) $ (22) $ 2
v3.25.2
Investments - Roll Forward of Credit Losses in the Investment Portfolio (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Roll Forward of Credit Losses in the Investment Portfolio        
Balance, beginning of period $ 45 $ 67 $ 60 $ 77
Additions for securities for which credit losses were not previously recognized 3 0 3 0
Additions (reductions) for securities for which credit losses were previously recognized (1) 2 9 (8)
Write-offs charged against the allowance 0 0 (25) 0
Balance, end of period $ 47 $ 69 $ 47 $ 69
v3.25.2
Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles - Additional Information (Details)
Jun. 30, 2025
USD ($)
policy
Entity
Dec. 31, 2024
USD ($)
policy
Entity
Variable Interest Entity [Line Items]    
Assets $ 12,095,000,000 $ 11,901,000,000
Number of policies monitored | policy 15,000  
Number of policies monitored, not within the scope of ASC 810 | policy 14,000  
Number of policies that contain provisions for consolidation | policy 51 50
Net fair value gains and losses on FG VIEs are expected to reverse to zero at maturity of the VIE debt $ 798,000,000  
Financial Guaranty Variable Interest Entities | Variable Interest Entity, Primary Beneficiary    
Variable Interest Entity [Line Items]    
Maximum loss exposure 0  
Assets $ 211,000,000 $ 147,000,000
Financial Guaranty Variable Interest Entities | Variable Interest Entity, Primary Beneficiary | Structured finance    
Variable Interest Entity [Line Items]    
Number of entities | Entity 24 23
Consolidated Investment Vehicles | Variable Interest Entity, Primary Beneficiary    
Variable Interest Entity [Line Items]    
Total number of entities consolidated | Entity 1 1
Assets $ 121,000,000 $ 101,000,000
v3.25.2
Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles - Consolidated FG VIE's By Type of Collateral (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Jun. 30, 2024
Variable Interest Entity [Line Items]      
Assets $ 12,095 $ 11,901  
Liabilities 6,366 6,348  
Cash 301 121 $ 92
FG VIEs’ assets 176 147  
FG VIEs' liabilities 201 164  
Contract with customer, asset 35    
Variable Interest Entity, Primary Beneficiary | Recourse | Financial Guaranty Variable Interest Entities      
Variable Interest Entity [Line Items]      
Liabilities 186 155  
Variable Interest Entity, Primary Beneficiary | Nonrecourse | Financial Guaranty Variable Interest Entities      
Variable Interest Entity [Line Items]      
Liabilities 16 9  
Variable Interest Entity, Primary Beneficiary | RMBS | Nonrecourse | Financial Guaranty Variable Interest Entities      
Variable Interest Entity [Line Items]      
Liabilities 9 9  
Variable Interest Entity, Primary Beneficiary | Other (includes $32 at fair value in 2025) (1) (2) | Recourse | Financial Guaranty Variable Interest Entities      
Variable Interest Entity [Line Items]      
Liabilities 34 0  
Variable Interest Entity, Primary Beneficiary | Other (includes $32 at fair value in 2025) (1) (2) | Nonrecourse | Financial Guaranty Variable Interest Entities      
Variable Interest Entity [Line Items]      
Liabilities 7 0  
FG VIEs' liabilities 6    
Variable Interest Entity, Primary Beneficiary | United States | RMBS | Recourse | Financial Guaranty Variable Interest Entities      
Variable Interest Entity [Line Items]      
Liabilities 152 155  
Financial Guaranty Variable Interest Entities | Variable Interest Entity, Primary Beneficiary      
Variable Interest Entity [Line Items]      
Assets 211 147  
Financial Guaranty Variable Interest Entities | Variable Interest Entity, Primary Beneficiary | Other (includes $32 at fair value in 2025) (1) (2)      
Variable Interest Entity [Line Items]      
Assets 67 0  
FG VIEs’ assets 32    
Financial Guaranty Variable Interest Entities | Variable Interest Entity, Primary Beneficiary | United States | RMBS      
Variable Interest Entity [Line Items]      
Assets $ 144 $ 147  
v3.25.2
Financial Guaranty Variable Interest Entities and Consolidated Investment Vehicles - Unpaid Principal (Details) - Variable Interest Entity, Primary Beneficiary - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Financial Guaranty Variable Interest Entities    
Variable Interest Entity [Line Items]    
FG VIEs’ liabilities with recourse $ 34 $ 38
FG VIEs’ liabilities without recourse 16 16
Unpaid principal for FG VIEs’ liabilities with recourse 186 193
Financial Guaranty Variable Interest Entities    
Variable Interest Entity [Line Items]    
FG VIEs’ assets 259 264
Unpaid principal balance for FG VIEs’ assets that were 90 days or more past due $ 23 $ 27
v3.25.2
Fair Value Measurement - Additional Information (Details)
$ in Millions
Jun. 30, 2025
USD ($)
Trust
security
Dec. 31, 2024
Total    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Percentage of CDS contracts fair valued using minimum premium 0.00% 0.00%
AGC    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Number of custodial trusts | Trust 8  
Share value, amount $ 400  
Maximum amount $ 50  
Recurring | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Number of fixed maturity securities valued using model processes | security 173  
v3.25.2
Fair Value Measurement - Financial Instruments Carried at Fair Value (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Assets:    
Estimated Fair Value $ 6,498 $ 6,369
Fixed-maturity securities, trading 137 147
Short-term investments, at fair value 939 1,221
Other invested assets 995 926
FG VIEs’ assets 176 147
Other assets 143 131
Liabilities:    
FG VIEs' liabilities 201 164
Other liabilities. fair value disclosure 35 34
Obligations of state and political subdivisions    
Assets:    
Estimated Fair Value 1,772 1,940
U.S. government and agencies    
Assets:    
Estimated Fair Value 38 67
Corporate securities    
Assets:    
Estimated Fair Value 2,746 2,382
RMBS    
Assets:    
Estimated Fair Value 593 567
CMBS    
Assets:    
Estimated Fair Value 151 186
Non-U.S. government securities    
Assets:    
Estimated Fair Value 85 69
Recurring    
Assets:    
Estimated Fair Value 6,498 6,369
Fixed-maturity securities, trading 137 147
Short-term investments, at fair value 939 1,221
Other invested assets 3 4
Other assets 143 131
Total assets carried at fair value 8,017 8,118
Liabilities:    
Other liabilities. fair value disclosure 35 34
Total liabilities carried at fair value 236 198
Recurring | Financial Guaranty Variable Interest Entities    
Liabilities:    
FG VIEs' liabilities 201 164
Recurring | Financial Guaranty Variable Interest Entities    
Assets:    
FG VIEs’ assets 176 147
Recurring | Obligations of state and political subdivisions    
Assets:    
Estimated Fair Value 1,772 1,940
Recurring | U.S. government and agencies    
Assets:    
Estimated Fair Value 38 67
Recurring | Corporate securities    
Assets:    
Estimated Fair Value 2,746 2,382
Recurring | RMBS    
Assets:    
Estimated Fair Value 593 567
Recurring | CMBS    
Assets:    
Estimated Fair Value 151 186
Recurring | Asset-backed securities    
Assets:    
Estimated Fair Value 1,113 1,158
Recurring | Non-U.S. government securities    
Assets:    
Estimated Fair Value 85 69
Recurring | Assets of CIVs, Equity Securities | Consolidated Investment Vehicles    
Assets:    
FG VIEs’ assets 121 99
Recurring | Level 1    
Assets:    
Estimated Fair Value 0 0
Fixed-maturity securities, trading 0 0
Short-term investments, at fair value 936 1,218
Other invested assets 0 0
Other assets 73 65
Total assets carried at fair value 1,024 1,283
Liabilities:    
Other liabilities. fair value disclosure 0 0
Total liabilities carried at fair value 0 0
Recurring | Level 1 | Financial Guaranty Variable Interest Entities    
Liabilities:    
FG VIEs' liabilities 0 0
Recurring | Level 1 | Financial Guaranty Variable Interest Entities    
Assets:    
FG VIEs’ assets 15 0
Recurring | Level 1 | Obligations of state and political subdivisions    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | U.S. government and agencies    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | Corporate securities    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | RMBS    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | CMBS    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | Asset-backed securities    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | Non-U.S. government securities    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 1 | Assets of CIVs, Equity Securities | Consolidated Investment Vehicles    
Assets:    
FG VIEs’ assets 0 0
Recurring | Level 2    
Assets:    
Estimated Fair Value 5,285 5,183
Fixed-maturity securities, trading 133 142
Short-term investments, at fair value 3 3
Other invested assets 0 0
Other assets 61 59
Total assets carried at fair value 5,490 5,387
Liabilities:    
Other liabilities. fair value disclosure 0 0
Total liabilities carried at fair value 0 0
Recurring | Level 2 | Financial Guaranty Variable Interest Entities    
Liabilities:    
FG VIEs' liabilities 0 0
Recurring | Level 2 | Financial Guaranty Variable Interest Entities    
Assets:    
FG VIEs’ assets 8 0
Recurring | Level 2 | Obligations of state and political subdivisions    
Assets:    
Estimated Fair Value 1,762 1,930
Recurring | Level 2 | U.S. government and agencies    
Assets:    
Estimated Fair Value 38 67
Recurring | Level 2 | Corporate securities    
Assets:    
Estimated Fair Value 2,662 2,382
Recurring | Level 2 | RMBS    
Assets:    
Estimated Fair Value 451 422
Recurring | Level 2 | CMBS    
Assets:    
Estimated Fair Value 151 186
Recurring | Level 2 | Asset-backed securities    
Assets:    
Estimated Fair Value 136 127
Recurring | Level 2 | Non-U.S. government securities    
Assets:    
Estimated Fair Value 85 69
Recurring | Level 2 | Assets of CIVs, Equity Securities | Consolidated Investment Vehicles    
Assets:    
FG VIEs’ assets 0 0
Recurring | Level 3    
Assets:    
Estimated Fair Value 1,213 1,186
Fixed-maturity securities, trading 4 5
Short-term investments, at fair value 0 0
Other invested assets 3 4
Other assets 9 7
Total assets carried at fair value 1,503 1,448
Liabilities:    
Other liabilities. fair value disclosure 35 34
Total liabilities carried at fair value 236 198
Recurring | Level 3 | Financial Guaranty Variable Interest Entities    
Liabilities:    
FG VIEs' liabilities 201 164
Recurring | Level 3 | Financial Guaranty Variable Interest Entities    
Assets:    
FG VIEs’ assets 153 147
Recurring | Level 3 | Obligations of state and political subdivisions    
Assets:    
Estimated Fair Value 10 10
Recurring | Level 3 | U.S. government and agencies    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 3 | Corporate securities    
Assets:    
Estimated Fair Value 84 0
Recurring | Level 3 | RMBS    
Assets:    
Estimated Fair Value 142 145
Recurring | Level 3 | CMBS    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 3 | Asset-backed securities    
Assets:    
Estimated Fair Value 977 1,031
Recurring | Level 3 | Non-U.S. government securities    
Assets:    
Estimated Fair Value 0 0
Recurring | Level 3 | Assets of CIVs, Equity Securities | Consolidated Investment Vehicles    
Assets:    
FG VIEs’ assets $ 121 $ 99
v3.25.2
Fair Value Measurement - Fair Value Level 3 Rollforward Recurring Basis (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
FG VIEs’ Assets        
Fair Value Level 3 Rollforward        
Fair value at beginning of period $ 145   $ 147 $ 174
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 4   7 (3)
Other comprehensive income (loss) 0   0 1
Purchases 0   0 0
Sales 0   0 0
Settlements (5)   (10) (12)
Consolidations 9   9  
Transfers into Level 3       0
Fair value at end of period 153 $ 160 153 160
Change in unrealized gains/(losses) related to financial instruments held 3   5 (5)
FG VIEs’ Assets | Other Comprehensive Income (Loss)        
Total pre-tax realized and unrealized gains (losses) recorded in:        
Change in unrealized gains/(losses) related to financial instruments held       1
FG VIEs’ Assets | Assets of CIVs, Equity Securities        
Fair Value Level 3 Rollforward        
Fair value at beginning of period   89    
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss)   4    
Other comprehensive income (loss)   0    
Purchases   0    
Sales   0    
Settlements   0    
Fair value at end of period   93   93
Change in unrealized gains/(losses) related to financial instruments held   5    
Consolidated Investment Vehicles | Assets of CIVs, Equity Securities        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 118   99 80
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 3   22 12
Other comprehensive income (loss) 0   0 0
Purchases 0   0 0
Sales 0   0 (2)
Settlements 0   0 0
Consolidations 0   0  
Transfers into Level 3       3
Fair value at end of period 121 93 121 93
Change in unrealized gains/(losses) related to financial instruments held 3   22 12
Consolidated Investment Vehicles | Structured Products        
Fair Value Level 3 Rollforward        
Fair value at beginning of period   220   189
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss)   (9)   (5)
Other comprehensive income (loss)   0   0
Purchases   22   51
Sales   (8)   (20)
Settlements   0   0
Transfers into Level 3       10
Fair value at end of period   225   225
Change in unrealized gains/(losses) related to financial instruments held   (8)   (2)
Other        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 6 5 5 14
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) (1) 2 1 (8)
Other comprehensive income (loss) 0 (1) (1) 0
Purchases 0 0 0 0
Sales 0 0 0 0
Settlements 0 0 0 0
Consolidations 0   0  
Transfers into Level 3       0
Fair value at end of period 5 6 5 6
Change in unrealized gains/(losses) related to financial instruments held (1) 2 1 (8)
Other | Other Comprehensive Income (Loss)        
Total pre-tax realized and unrealized gains (losses) recorded in:        
Change in unrealized gains/(losses) related to financial instruments held 0 (1) (1) 0
Financial Guaranty Variable Interest Entities        
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]        
Fair value at start of period (163) (399) (164) (554)
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) (3) 0 (5) 9
Other comprehensive income (loss) 1 2 0 0
Settlements 4 4 8 152
Fair value at end of period (161) (393) (161) (393)
Change in unrealized gains/(losses) included in earnings related to financial instruments (2) 2 (4) 4
Change in unrealized gains/(losses) included in OCI related to financial instruments 1 2 0 0
Obligations of state and political subdivisions | Fixed-maturity securities, available-for-sale        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 10 6 10 6
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 2 0 2 0
Other comprehensive income (loss) 0 2 0 2
Purchases 0 0 0 0
Sales 0 0 0 0
Settlements (2) (1) (2) (1)
Consolidations 0   0  
Transfers into Level 3       0
Fair value at end of period 10 7 10 7
Obligations of state and political subdivisions | Fixed-maturity securities, available-for-sale | Other Comprehensive Income (Loss)        
Total pre-tax realized and unrealized gains (losses) recorded in:        
Change in unrealized gains/(losses) related to financial instruments held 0 2 0 2
Corporate securities | Fixed-maturity securities, available-for-sale        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 5   0  
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 0   0  
Other comprehensive income (loss) 10   10  
Purchases 69   74  
Sales 0   0  
Settlements 0   0  
Consolidations 0   0  
Fair value at end of period 84   84  
Corporate securities | Fixed-maturity securities, available-for-sale | Other Comprehensive Income (Loss)        
Total pre-tax realized and unrealized gains (losses) recorded in:        
Change in unrealized gains/(losses) related to financial instruments held 10   10  
RMBS | Fixed-maturity securities, available-for-sale        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 144 153 145 154
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 1 4 4 7
Other comprehensive income (loss) 4 1 6 2
Purchases 0 0 0 0
Sales 0 0 0 0
Settlements (7) (8) (13) (13)
Consolidations 0   0  
Transfers into Level 3       0
Fair value at end of period 142 150 142 150
RMBS | Fixed-maturity securities, available-for-sale | Other Comprehensive Income (Loss)        
Total pre-tax realized and unrealized gains (losses) recorded in:        
Change in unrealized gains/(losses) related to financial instruments held 4 1 6 2
Asset-backed securities | Fixed-maturity securities, available-for-sale        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 983 821 1,031 803
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 11 1 18 17
Other comprehensive income (loss) 10 6 11 8
Purchases 0 1 0 11
Sales (3) 0 (12) 0
Settlements (24) (34) (71) (64)
Consolidations 0   0  
Transfers into Level 3       20
Fair value at end of period 977 795 977 795
Asset-backed securities | Fixed-maturity securities, available-for-sale | Other Comprehensive Income (Loss)        
Total pre-tax realized and unrealized gains (losses) recorded in:        
Change in unrealized gains/(losses) related to financial instruments held 10 6 11 8
Fixed-Maturity Securities, Trading | Fixed-maturity securities, available-for-sale        
Fair Value Level 3 Rollforward        
Fair value at beginning of period 5 167 5  
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 0 (1) 0  
Other comprehensive income (loss) 0 0 0  
Purchases 0 0 0  
Sales 0 0 0  
Settlements (1) (6) (1)  
Consolidations 0   0  
Fair value at end of period 4 160 4 160
Change in unrealized gains/(losses) related to financial instruments held 0 (2) 0  
Credit Risk Contract        
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]        
Fair value at start of period (30) (39) (29) (50)
Total pre-tax realized and unrealized gains (losses) recorded in:        
Net income (loss) 1 6 105 16
Other comprehensive income (loss) 0 0 0 0
Settlements 0 (1) (105) 0
Fair value at end of period (29) (34) (29) (34)
Change in unrealized gains/(losses) included in earnings related to financial instruments $ 1 $ 3 $ 0 $ 7
v3.25.2
Fair Value Measurement - Quantitative Information - Assets & Liabilities (Details) - USD ($)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Recurring    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 8,017 $ 8,118
Fair value (236) (198)
Level 3 | Recurring    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value 1,503 1,448
Fair value $ (236) (198)
Level 3 | Credit derivative liabilities, net    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Internal floor (in bps) 0.00100  
Valuation, Income Approach | Level 3 | Credit derivative liabilities, net    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Fair value $ (29) (29)
Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Fair value $ (201) $ (164)
Minimum | Level 3 | Credit derivative liabilities, net    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Hedge cost (in bps) 0.125% 0.128%
Bank profit (as a percent) 0.605% 0.732%
Internal floor (in bps)   0.00100
Minimum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 5.60% 5.50%
Maximum | Level 3 | Credit derivative liabilities, net    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Hedge cost (in bps) 0.295% 0.301%
Bank profit (as a percent) 2.489% 2.759%
Internal floor (in bps)   0.00855
Maximum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 10.50% 10.80%
Weighted Average | Level 3 | Credit derivative liabilities, net    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Hedge cost (in bps) 0.163% 0.168%
Bank profit (as a percent) 1.391% 1.393%
Internal floor (in bps)   29.7
Weighted Average | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 6.80% 7.00%
Conditional prepayment rate (CPR) | Minimum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 2.20% 2.20%
Conditional prepayment rate (CPR) | Maximum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 28.20% 25.00%
Conditional prepayment rate (CPR) | Weighted Average | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 5.30% 5.70%
CDR | Minimum | Level 3 | Total | Recurring    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 3.20% 3.90%
CDR | Minimum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 1.30% 1.30%
CDR | Maximum | Level 3 | Total | Recurring    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 4.20% 4.40%
CDR | Maximum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 41.00% 41.00%
CDR | Weighted Average | Level 3 | Total | Recurring    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 4.00% 4.30%
CDR | Weighted Average | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 10.50% 10.70%
Loss severity | Minimum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 45.00% 45.00%
Loss severity | Maximum | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 100.00% 100.00%
Loss severity | Weighted Average | Valuation, Income Approach | Level 3 | FG VIEs' assets    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 83.40% 83.20%
Obligations of state and political subdivisions | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 10 $ 10
Obligations of state and political subdivisions | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 5.50% 5.50%
Obligations of state and political subdivisions | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 20.00% 22.00%
Obligations of state and political subdivisions | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 7.00% 7.50%
Corporate securities | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 84  
Corporate securities | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 8.50%  
Corporate securities | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 9.00%  
Corporate securities | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 8.60%  
RMBS | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 142 $ 145
RMBS | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 7.30% 7.70%
RMBS | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 10.50% 10.80%
RMBS | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 8.70% 9.10%
RMBS | Conditional prepayment rate (CPR) | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 0.10% 1.80%
RMBS | Conditional prepayment rate (CPR) | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 17.00% 17.00%
RMBS | Conditional prepayment rate (CPR) | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 3.40% 2.80%
RMBS | CDR | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 1.40% 1.80%
RMBS | CDR | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 18.60% 18.70%
RMBS | CDR | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 5.40% 5.40%
RMBS | Loss severity | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 50.00% 50.00%
RMBS | Loss severity | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 125.00% 125.00%
RMBS | Loss severity | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 79.90% 79.90%
CLOs | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 527 $ 611
CLOs | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 12.80% 12.50%
CLOs | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 24.00% 22.50%
CLOs | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 19.00% 17.90%
CLOs | Discount margin | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 1.00% 0.80%
CLOs | Discount margin | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 2.90% 2.90%
CLOs | Discount margin | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 2.00% 1.90%
Others | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 450 $ 420
Others | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 5.50% 6.40%
Others | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 9.90% 9.10%
Others | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 5.80% 6.70%
Fixed-maturity securities, trading | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 4 $ 5
Fixed-maturity securities, trading | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 4.20% 19.80%
Fixed-maturity securities, trading | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 7.70% 169.50%
Fixed-maturity securities, trading | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 6.00% 163.80%
Consolidated Investment Vehicles | Valuation, Income Approach | Level 3 | Assets of CIVs - equity securities (3)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 121 $ 99
Consolidated Investment Vehicles | Discount margin | Valuation, Income Approach | Level 3 | Assets of CIVs - equity securities (3)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 24.80% 24.30%
Consolidated Investment Vehicles | Measurement input, revenue multiple | Valuation, Market Approach | Level 3 | Assets of CIVs - equity securities (3)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Market multiple-price to book 100.00% 105.00%
Market multiple-price to earnings 575.00% 525.00%
Consolidated Investment Vehicles | Terminal growth rate | Valuation, Income Approach | Level 3 | Assets of CIVs - equity securities (3)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 4.00% 4.00%
Consolidated Investment Vehicles | Exit multiple-price to book | Valuation, Market Approach | Level 3 | Assets of CIVs - equity securities (3)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 100.00% 105.00%
Consolidated Investment Vehicles | Exit multiple-price to earnings | Valuation, Market Approach | Level 3 | Assets of CIVs - equity securities (3)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 550.00% 550.00%
Other assets | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 3 $ 2
Term (years) 10 years 10 years
Other assets | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 6.50%  
Implied Yield   6.50%
Other assets | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 7.00%  
Implied Yield   7.00%
Other assets | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 6.80%  
Implied Yield   6.80%
Other invested assets | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 3 $ 4
FG VIEs' assets | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Total assets carried at fair value $ 153 $ 147
FG VIEs' assets | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 6.80% 6.80%
FG VIEs' assets | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 10.20% 10.80%
FG VIEs' assets | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Yield (as a percent) 9.10% 9.30%
FG VIEs' assets | Conditional prepayment rate (CPR) | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 2.20% 2.20%
FG VIEs' assets | Conditional prepayment rate (CPR) | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 28.20% 25.00%
FG VIEs' assets | Conditional prepayment rate (CPR) | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 5.30% 5.70%
FG VIEs' assets | CDR | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 1.30% 1.30%
FG VIEs' assets | CDR | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 41.00% 41.00%
FG VIEs' assets | CDR | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 10.50% 10.70%
FG VIEs' assets | Loss severity | Minimum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 45.00% 45.00%
FG VIEs' assets | Loss severity | Maximum | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 100.00% 100.00%
FG VIEs' assets | Loss severity | Weighted Average | Valuation, Income Approach | Level 3    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Conditional prepayment rate 83.40% 83.20%
v3.25.2
Fair Value Measurement - Fair Value of Financial Instruments Not Carried at Fair Value (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Dec. 31, 2024
Carrying amount and estimated fair value financial instruments    
Other assets (including other invested assets) $ 695 $ 746
Long-term debt (1,701) (1,699)
Other liabilities (473) (498)
Carrying Amount    
Carrying amount and estimated fair value financial instruments    
Other assets (including other invested assets) 97 115
Financial guaranty insurance contracts (1,962) (2,029)
Long-term debt (1,701) (1,699)
Other liabilities (17) (16)
Estimated Fair Value    
Carrying amount and estimated fair value financial instruments    
Other assets (including other invested assets) 98 116
Financial guaranty insurance contracts (1,081) (1,136)
Long-term debt (1,602) (1,579)
Other liabilities $ (17) $ (16)
v3.25.2
Income Taxes - Additional Information (Details)
 3 Months Ended 6 Months Ended 12 Months Ended
Jan. 01, 2024
Dec. 27, 2023
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Dec. 31, 2024
Income Taxes [Line Items]              
Effective income tax rate reconciliation, percent     20.90% 14.50% 19.70% 18.60%  
United Kingdom              
Income Taxes [Line Items]              
Global minimum tax rate, percent 15.00%            
Corporate tax rate         25.00%    
BERMUDA              
Income Taxes [Line Items]              
Corporate tax rate   15.00%     15.00%   0.00%
FRANCE              
Income Taxes [Line Items]              
Corporate tax rate         25.00%    
United States              
Income Taxes [Line Items]              
Corporate tax rate         21.00%    
v3.25.2
Shareholders' Equity - Changes in AOCI by Component (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance $ 5,657 $ 5,682 $ 5,553 $ 5,765
Less: Amounts reclassified from AOCI to:        
Total before tax     (20) 1
Tax (provision) benefit 1 0 3  
Other comprehensive income (loss) 87 (5) 158 (33)
Ending balance 5,729 5,595 5,729 5,595
Total AOCI        
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance (314) (387) (385) (359)
Other comprehensive income (loss) before reclassifications 84 (11) 141 (33)
Less: Amounts reclassified from AOCI to:        
Total before tax (4) (6) (19) 2
Tax (provision) benefit       (1)
Total amount reclassified from AOCI, net of tax (3) (6) (17) 0
Other comprehensive income (loss) 87 (5) 158 (33)
Ending balance (227) (392) (227) (392)
No Credit Impairment        
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance (183) (231) (235) (202)
Other comprehensive income (loss) before reclassifications 85 (15) 131 (46)
Less: Amounts reclassified from AOCI to:        
Total before tax 0 (4) (6) (6)
Tax (provision) benefit 0 1 0 1
Total amount reclassified from AOCI, net of tax 0 (3) (6) (5)
Other comprehensive income (loss) 85 (12) 137 (41)
Ending balance (98) (243) (98) (243)
Credit Impairment        
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance (78) (103) (99) (104)
Other comprehensive income (loss) before reclassifications (3) 4 10 14
Less: Amounts reclassified from AOCI to:        
Total before tax (3) (2) (13) 8
Tax (provision) benefit 1 (1) 3 (2)
Total amount reclassified from AOCI, net of tax (2) (3) (10) 6
Other comprehensive income (loss) (1) 7 20 8
Ending balance (79) (96) (79) (96)
ISCR on FG VIEs’ Liabilities with Recourse        
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance (19) (21) (18) (20)
Other comprehensive income (loss) before reclassifications 0 1 (1) (1)
Less: Amounts reclassified from AOCI to:        
Total before tax (1) 0 (1) (1)
Tax (provision) benefit 0 0 0 0
Total amount reclassified from AOCI, net of tax (1) 0 (1) (1)
Other comprehensive income (loss) 1 1 0 0
Ending balance (18) (20) (18) (20)
Cumulative Translation Adjustment        
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance (38) (37) (37) (38)
Other comprehensive income (loss) before reclassifications 2 (1) 1 0
Less: Amounts reclassified from AOCI to:        
Total before tax 0 0 0 0
Tax (provision) benefit 0 0 0 0
Total amount reclassified from AOCI, net of tax 0 0 0 0
Other comprehensive income (loss) 2 (1) 1 0
Ending balance (36) (38) (36) (38)
Cash Flow  Hedge        
Changes in Accumulated Other Comprehensive Income [Roll Forward]        
Beginning balance 4 5 4 5
Other comprehensive income (loss) before reclassifications 0 0 0 0
Less: Amounts reclassified from AOCI to:        
Total before tax 0 0 0 0
Tax (provision) benefit 0 0 0 0
Total amount reclassified from AOCI, net of tax 0 0 0 0
Other comprehensive income (loss) 0 0 0 0
Ending balance $ 4 $ 5 $ 4 $ 5
v3.25.2
Shareholders' Equity - Shares Repurchased (Details) - USD ($)
$ / shares in Units, $ in Millions
 1 Months Ended 3 Months Ended 6 Months Ended 7 Months Ended 12 Months Ended
Aug. 06, 2025
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Mar. 31, 2024
Jun. 30, 2025
Jun. 30, 2024
Aug. 06, 2025
Dec. 31, 2024
Equity, Class of Treasury Stock [Line Items]                      
Repurchases of common stock               $ 251 $ 281    
Common Shares Outstanding                      
Equity, Class of Treasury Stock [Line Items]                      
Shares repurchased (in shares)   1,537,505 1,335,228 1,054,727 1,658,441 1,928,328 1,539,278       6,180,774
Repurchases of common stock   $ 131 $ 120 $ 90 $ 131 $ 152 $ 129       $ 502
Average price paid per share (in dollars per share)   $ 85.03 $ 89.72 $ 86.11 $ 78.87 $ 78.50 $ 84.07       $ 81.28
Common Shares Outstanding | Subsequent Event                      
Equity, Class of Treasury Stock [Line Items]                      
Repurchased additional authorized amount $ 300                 $ 300  
Remaining capacity of shares repurchase program $ 356                 $ 356  
Shares repurchased (in shares) 537,550                 3,410,283  
Repurchases of common stock $ 45                 $ 296  
Average price paid per share (in dollars per share) $ 84.16                 $ 86.73  
v3.25.2
Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2025
Jun. 30, 2024
Basic Earnings Per Share (EPS):        
Net income (loss) attributable to AGL $ 103 $ 78 $ 279 $ 187
Less: Distributed and undistributed income (loss) available to nonvested shareholders 0 0 2 1
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic $ 103 $ 78 $ 277 $ 186
Basic shares (in shares) 48.9 54.1 49.5 54.9
Basic EPS (in dollars per share) $ 2.10 $ 1.43 $ 5.60 $ 3.38
Diluted EPS:        
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, basic $ 103 $ 78 $ 277 $ 186
Plus: Re-allocation of undistributed income (loss) available to nonvested shareholders of AGL and subsidiaries 0 0 0 0
Distributed and undistributed income (loss) available to common shareholders of AGL and subsidiaries, diluted $ 103 $ 78 $ 277 $ 186
Basic shares (in shares) 48.9 54.1 49.5 54.9
Dilutive securities:        
Restricted stock awards (in shares) 0.5 0.9 0.6 1.2
Diluted shares (in shares) 49.4 55.0 50.1 56.1
Diluted EPS (in dollars per share) $ 2.08 $ 1.41 $ 5.54 $ 3.31
Potentially dilutive securities excluded from computation of EPS because of antidilutive effect (in shares) 0.2 0.1 0.1 0.1