Everyday we make commitments to our customers that we will take care of them when they encounter losses, whether property or life. It’s why the companies that make up FBL Financial Group exist, and nothing is more important. FBL Financial Group is well positioned to fulfill its promises and to meet the needs of its policyholders, employees, agents, communities and Farm Bureau constituents.
The current economic environment is challenging, but manageable. With FBL’s solid business fundamentals, we are navigating through these challenging times. Our foundation is built upon:
High quality investment portfolio - The quality of our overall portfolio is high with over 96 percent of our fixed maturity securities being investment grade.
Well diversified investment portfolio - As of June 30, 2008, FBL Financial Group, Inc., the parent company of Farm Bureau Life Insurance Company, had total invested assets of $11.3 billion. These investments are well diversified by individual issue, industry and asset class. We manage our credit exposure on an enterprise-wide basis and have limits in place for each credit exposure.
Minimal exposure to subprime securities - We have minimal exposure to subprime securities. At June 30, subprime securities accounted for 0.2 percent of our total investments.
With a large, well diversified bond portfolio, we have exposure to some of the bonds of the companies that have been capturing headlines. This exposure is manageable and we don’t own stock in any of these companies. Specifically, our exposure to AIG and Lehman Brothers is minimal and together accounted for 0.3 percent of our total investments.
Financial and capital strength - The capital levels for Farm Bureau Life Insurance Company are several times the amount required by the insurance regulators in the states where we do business. And we remain committed to maintaining capital at an A.M. Best and Standard & Poor’s “A” indicative rating level.
We have a successful track record of meeting needs and fulfilling promises throughout our nearly 70-year history. We will manage through these turbulent times and act prudently for the benefit of our policyholders, employees, agents and shareholders.
For More Investment Info:
Expanded investment information is available in FBL Financial Group’s June 30, 2008 Form 10-Q, which may be found at http://www.fblfinancial.com/results.cfm.
Headquartered in West Des Moines, Iowa, FBL Financial Group, Inc., is a holding company whose primary operating subsidiaries include Farm Bureau Life Insurance Company and EquiTrust Life Insurance Company. Through its subsidiaries, FBL underwrites, markets and distributes life insurance, annuities and mutual funds to individuals and small businesses. FBL also manages all aspects of two Farm Bureau affiliated property-casualty insurance companies for a management fee. FBL is traded on the New York Stock Exchange under the symbol FFG.
Securities & services offered through registered representatives of EquiTrust Marketing Services, LLC,+ 5400 University Avenue, West Des Moines, Iowa 50266, 877-860-2904, Member SIPC. Farm Bureau Mutual Insurance Company+/West Des Moines, IA; Farm Bureau Life Insurance Company+/West Des Moines, IA; EquiTrust Life Insurance Company +/ West Des Moines, IA; FBL Financial Group, Inc.+/ West Des Moines, IA.
+Affiliated and companies of Farm Bureau Financial Services.