FBL FINANCIAL GROUP, INC.

INVESTOR SUPPLEMENT

2019 Fourth Quarter

Corporate Headquarters	FBL Financial Group, Inc.
	5400 University Avenue
	West Des Moines, Iowa 50266-5997
	(515) 225-5400
Financial Inquiries	For more information contact:
	Kathleen Till Stange
	Vice President Corporate & Investor Relations
	Kathleen.TillStange@FBLFinancial.com
	(515) 226-6780
Internet Information	FBL Financial Group, Inc.
	www.fblfinancial.com
Stock Symbol	NYSE: FFG
Transfer Agent	American Stock Transfer & Trust Company, LLC
	6201 15th Avenue
	Brooklyn, NY 11219
	http://www.astfinancial.com

FBL Financial Group, Inc.
Financial Supplement (Unaudited)
December 31, 2019
Table of Contents/Notes
Consolidated Financial Statements:
Consolidated Balance Sheets	2
Consolidated Statements of Comprehensive Income	4
Consolidated Statements of Comprehensive Income, last five quarters	5
Net Income to Adjusted Operating Income Reconciliation and Pre-tax Adjusted Operating Income by Segment, last five quarters	6
Financial Information by Segment:
Segment Information	7
Statements of Pre-tax Adjusted Operating Income, last five quarters:
Annuity Segment	8
Life Insurance Segment	9
Corporate and Other Segment	11
Deferred Acquisition Costs by Segment	12
Impact of Unlocking on Pre-tax Adjusted Operating Income	14
Collected Premiums, last five quarters	15
Other Information	16

NOTE 1: In addition to net income as determined using U.S. Generally Accepted Accounting Principles (GAAP), we have consistently used adjusted operating income (a measure of earnings not recognized under GAAP), a financial measure common in the life insurance industry, as a primary economic measure to evaluate our financial performance. Adjusted operating income for the periods presented consists of net income adjusted primarily to exclude realized gains and losses on investments and the change in fair value of derivatives and equity securities.

We use adjusted operating income, in addition to net income, to measure our performance since realized gains and losses on investments and the change in fair value of derivatives and equities can fluctuate greatly from quarter to quarter. These fluctuations make it difficult to analyze core operating trends. A view of our adjusted operating performance without the impact of these items enhances the analysis of our results. We use adjusted operating income for goal setting, determining short-term incentive compensation and evaluating performance on a basis comparable to that used by many in the investment community.

We analyze our segment results based on pre-tax adjusted operating income, which excludes the impact of certain items that are included in pre-tax net income. Pre-tax adjusted operating income is a basis allowed for segment reporting under U.S. generally accounting principles (GAAP). See Note 13 to our consolidated financial statements in Form 10-K for the year ended December 31, 2018 for further information regarding how we define our segments and pre-tax adjusted operating income.

NOTE 2: Certain financial information presented herein may not add due to rounding.

1

FBL Financial Group, Inc.

Consolidated Balance Sheets (Unaudited)

(Dollars in thousands)

	December 31, 2019		December 31, 2018
Assets
Investments:
Fixed maturities - available for sale, at fair value (amortized cost: 2019 - $7,015,269; 2018 - $6,856,277)	$	7,702,628	$	7,033,045
Equity securities - at fair value (cost: 2019 - $95,269; 2018 - $93,564)	100,228		92,857
Mortgage loans	1,011,678		1,039,829
Real estate	955		1,543
Policy loans	201,589		197,366
Short-term investments	11,865		15,713
Other investments	62,680		33,765
Total investments	9,091,623		8,414,118
Cash and cash equivalents	17,277		19,035
Securities and indebtedness of related parties	74,791		60,962
Accrued investment income	72,332		74,524
Amounts receivable from affiliates	4,357		3,812
Reinsurance recoverable	107,498		102,386
Deferred acquisition costs	289,456		418,802
Value of insurance in force acquired	2,624		10,385
Current income taxes recoverable	6,427		4,807
Other assets	167,940		163,518
Assets held in separate accounts	645,881		561,281
Total assets	$	10,480,206	$	9,833,630

2

FBL Financial Group, Inc.

Consolidated Balance Sheets (Continued)

(Dollars in thousands)

	December 31, 2019		December 31, 2018
Liabilities and stockholders' equity
Liabilities:
Future policy benefits:
Interest sensitive products	$	5,548,212	$	5,403,125
Traditional life insurance and accident and health products	1,845,337		1,802,346
Other policy claims and benefits	46,883		51,298
Supplementary contracts without life contingencies	296,915		303,627
Advance premiums and other deposits	253,458		260,252
Amounts payable to affiliates	1,218		1,461
Long-term debt payable to non-affiliates	97,000		97,000
Deferred income taxes	152,373		75,449
Other liabilities	107,013		93,532
Liabilities related to separate accounts	645,881		561,281
Total liabilities	8,994,290		8,649,371
Stockholders' equity:
FBL Financial Group, Inc. stockholders' equity:
Preferred stock, without par value, at liquidation value - authorized 10,000,000 shares, issued and outstanding 5,000,000 Series B shares	3,000		3,000
Class A common stock, without par value - authorized 88,500,000 shares, issued and outstanding 24,652,802 in 2019 and 24,707,402 shares in 2018	152,661		152,652
Class B common stock, without par value - authorized 1,500,000 shares, issued and outstanding 11,413 shares in 2019 and 2018	72		72
Accumulated other comprehensive income	354,764		91,318
Retained earnings	975,260		937,097
Total FBL Financial Group, Inc. stockholders' equity	1,485,757		1,184,139
Noncontrolling interest	159		120
Total stockholders' equity	1,485,916		1,184,259
Total liabilities and stockholders' equity	$	10,480,206	$	9,833,630

3

FBL Financial Group, Inc.

Consolidated Statements of Comprehensive Income (Unaudited)

(Dollars in thousands, except per share data)

	Three months ended December 31,						Year ended December 31,
	2019			2018			2019			2018
Revenues:
Interest sensitive product charges	$	32,178		$	30,624		$	127,113		$	122,789
Traditional life insurance premiums	50,502			49,600			197,863			198,312
Net investment income	108,986			83,865			424,998			394,618
Net realized capital gains (losses)	(2,707		)	(5,661		)	8,523			(7,276		)
Total other-than-temporary impairment losses	—			(3,982		)	(919		)	(5,072		)
Non-credit portion in other comprehensive income (loss)	—			74			—			74
Net other-than-temporary impairment losses recognized in earnings	—			(3,908		)	(919		)	(4,998		)
Other income	4,602			4,116			17,103			16,181
Total revenues	193,561			158,636			774,681			719,626
Benefits and expenses:
Interest sensitive product benefits	73,507			59,626			276,473			253,753
Traditional life insurance benefits	43,142			41,860			174,654			175,209
Policyholder dividends	2,514			2,539			10,053			10,130
Underwriting, acquisition and insurance expenses	26,290			44,434			140,624			152,055
Interest expense	1,213			1,213			4,850			4,851
Other expenses	6,597			6,314			25,246			22,595
Total benefits and expenses	153,263			155,986			631,900			618,593
	40,298			2,650			142,781			101,033
Income tax benefit (expense)	(6,500		)	2,812			(19,929		)	(11,650		)
Equity income, net of related income taxes	1,033			998			3,456			4,439
Net income	34,831			6,460			126,308			93,822
Net income attributable to noncontrolling interest	(92		)	(45		)	(99		)	(29		)
Net income attributable to FBL Financial Group, Inc.	$	34,739		$	6,415		$	126,209		$	93,793
Comprehensive income (loss) attributable to FBL Financial Group, Inc.	$	(16,672	)	$	8,772		$	389,655		$	(94,392	)
Earnings per common share	$	1.40		$	0.26		$	5.09		$	3.76
Earnings per common share - assuming dilution	$	1.40		$	0.26		$	5.09		$	3.75
Cash dividends per common share	$	0.48		$	0.46		$	1.92		$	1.84
Special cash dividend per common share	$	—		$	—		$	1.50		$	1.50

4

FBL Financial Group, Inc.

Consolidated Statements of Comprehensive Income (Unaudited) - Quarterly

(Dollars in thousands, except per share data)

	Q4 2018			Q1 2019			Q2 2019			Q3 2019			Q4 2019
Revenues:
Interest sensitive product charges	$	30,624		$	31,266		$	32,534		$	31,135		$	32,178
Traditional life insurance premiums	49,600			49,392			50,987			46,982			50,502
Net investment income	83,865			109,640			104,894			101,478			108,986
Net realized capital gains (losses)	(5,661		)	10,157			377			696			(2,707		)
Total other-than-temporary impairment losses	(3,982		)	(869		)	—			(50		)	—
Non-credit portion in other comprehensive income (loss)	74			—			—			—			—
Net impairment losses recognized in earnings	(3,908		)	(869		)	—			(50		)	—
Other income	4,116			3,970			4,114			4,417			4,602
Total revenues	158,636			203,556			192,906			184,658			193,561
Benefits and expenses:
Interest sensitive product benefits	59,626			70,596			65,223			67,147			73,507
Traditional life insurance benefits	41,860			46,675			41,960			42,877			43,142
Policyholder dividends	2,539			2,534			2,564			2,441			2,514
Underwriting, acquisition and insurance expenses	44,434			36,189			38,948			39,197			26,290
Interest expense	1,213			1,212			1,212			1,213			1,213
Other expenses	6,314			6,250			6,635			5,764			6,597
Total benefits and expenses	155,986			163,456			156,542			158,639			153,263
	2,650			40,100			36,364			26,019			40,298
Income tax benefit (expense)	2,812			(6,276		)	(5,511		)	(1,642		)	(6,500		)
Equity income, net of related income taxes	998			220			1,404			799			1,033
Net income	6,460			34,044			32,257			25,176			34,831
Net (income) loss attributable to noncontrolling interest	(45		)	(1		)	41			(47		)	(92		)
Net income attributable to FBL Financial Group, Inc.	$	6,415		$	34,043		$	32,298		$	25,129		$	34,739
Comprehensive income (loss) attributable to FBL Financial Group, Inc.	$	8,772		$	131,891		$	145,925		$	128,511		$	(16,672	)
Earnings per common share	$	0.26		$	1.37		$	1.30		$	1.01		$	1.40
Earnings per common share - assuming dilution	$	0.26		$	1.37		$	1.30		$	1.01		$	1.40
Cash dividends per common share	$	0.46		$	0.48		$	0.48		$	0.48		$	0.48
Special cash dividend per common share	$	—		$	1.50		$	—		$	—		$	—
Weighted average common shares outstanding (in thousands):
Basic	24,888			24,765			24,757			24,759			24,761
Effect of dilutive securities	10			11			11			10			8
Diluted	24,898			24,776			24,768			24,769			24,769

5

FBL Financial Group, Inc.
Net Income to Adjusted Operating Income Reconciliation and Pre-tax Adjusted Operating Income by Segment
(Dollars in thousands, except per share data)
	Q4 2018			Q1 2019			Q2 2019			Q3 2019			Q4 2019
Net income attributable to FBL Financial Group, Inc.	$	6,415		$	34,043		$	32,298		$	25,129		$	34,739
Net income adjustments:
Realized gains/losses on investments (1)	7,414			(7,230		)	(289		)	(440		)	2,147
Change in net unrealized gains/losses on derivatives (1)	4,997			(911		)	(272		)	526			(2,047		)
Adjusted operating income (2)	$	18,826		$	25,902		$	31,737		$	25,215		$	34,839
Adjusted operating income per common share - assuming dilution (2)	$0.75			$1.04			$1.28			$1.02			$1.41
Adjusted operating return on equity, excluding AOCI - last twelve months	10.0%			10.0%			9.9%			9.3%			10.7%
Adjusted operating return on equity, including AOCI - last twelve months	8.8%			8.9%			8.7%			7.8%			8.6%
	Q4 2018			Q1 2019			Q2 2019			Q3 2019			Q4 2019
Impact of Adjustments on FBL Net Income
Realized gains (losses) on investments and change in net unrealized gains/losses on equity securities and derivatives	$	(19,216	)	$	10,846		$	444		$	(198	)	$	70
Offsets: (3)
Change in amortization	945			(256		)	(48		)	(343		)	61
Reserve change on interest sensitive products	2,561			(285		)	315			432			(258		)
Income tax	3,299			(2,164		)	(150		)	23			27
Net impact of net income adjustments	$	(12,411	)	$	8,141		$	561		$	(86	)	$	(100	)
	Q4 2018			Q1 2019			Q2 2019			Q3 2019			Q4 2019
Pre-tax adjusted operating income by segment:
Annuity segment	$	12,087		$	15,662		$	14,637		$	8,121		$	14,414
Life Insurance segment	8,444			10,092			18,239			14,032			24,771
Corporate and Other segment	(953		)	4,319			4,595			4,939			2,456
Total pre-tax adjusted operating income	19,578			30,073			37,471			27,092			41,641
Income taxes on adjusted operating income	(752		)	(4,171		)	(5,734		)	(1,877		)	(6,802		)
Adjusted operating income (2)	$	18,826		$	25,902		$	31,737		$	25,215		$	34,839

(1) Amounts are net of offsets related to changes in amortization of unearned revenue reserves, deferred sales inducements and deferred acquisition costs, as well as changes in interest sensitive product reserves and income taxes attributable to these items.

(2) Adjusted operating income is a non-GAAP measure of earnings, see Note 1 on page 1 for additional information.

(3) The items excluded from adjusted operating income impact the amortization of deferred acquisition costs, value of business acquired and unearned revenue reserve. Certain interest sensitive reserves as well as income taxes are also impacted.

6

FBL Financial Group, Inc.

Segment Information

We analyze operations by reviewing financial information regarding our primary products that are aggregated into the Annuity and Life Insurance product segments. In addition, our Corporate and Other segment includes various support operations, corporate capital and other product lines that are not currently underwritten by the Company.

The Annuity segment primarily consists of fixed rate and indexed annuities and supplementary contracts (some of which involve life contingencies). Fixed rate and indexed annuities provide for tax-deferred savings and supplementary contracts provide for the systematic repayment of funds that accumulate interest. Fixed rate annuities consist primarily of flexible premium deferred annuities, but also include single premium deferred and immediate contracts. With fixed rate annuities, we bear the underlying investment risk and credit interest to the contracts at rates we determine, subject to interest rate guarantees. With indexed annuity products, we bear the underlying investment risk and credit interest in an amount equal to a percentage of the gain in a specified market index, subject to minimum guarantees.

The Life Insurance segment consists of whole life, term life and universal life policies, including indexed universal life. These policies provide benefits upon the death of the insured and may also allow the customer to build cash value on a tax-deferred basis.

The Corporate and Other segment includes (i) wealth management services; (ii) advisory services for the management of investments and other companies; (iii) marketing and distribution services for the sale of insurance products not issued by us; (iv) leasing services with affiliates; (v) closed blocks of variable annuity, variable life and accident and health products; (vi) interest expense and (vii) investments and related investment income not specifically allocated to our product segments.

We analyze our segment results based on pre-tax adjusted operating income. Accordingly, income taxes are not allocated to the segments. In addition, adjusted operating results are reported net of transactions between the segments.

7

FBL Financial Group, Inc.
Statements of Pre-tax Adjusted Operating Income
Annuity Segment
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
Pre-tax Adjusted Operating Income				(Dollars in thousands)
Adjusted operating revenues:
Interest sensitive product charges	$	1,474			$	1,567		$	1,772		$	1,608		$	1,734
Net investment income (1)	53,248				51,115			52,491			49,633			52,618
Total adjusted operating revenues	54,722				52,682			54,263			51,241			54,352
Adjusted operating benefits and expenses:
Interest sensitive product benefits	32,299				28,070			30,450			28,585			30,980
Underwriting, acquisition and insurance expenses:
Commission expense, net of deferrals	631				514			482			405			662
Amortization of deferred acquisition costs	2,789				2,679			2,917			8,015			2,763
Amortization of value of insurance in force acquired	165				163			163			164			164
Other underwriting expenses (1)	6,751				5,594			5,614			5,951			5,369
Total underwriting, acquisition and insurance expenses	10,336				8,950			9,176			14,535			8,958
Total adjusted operating benefits and expenses	42,635				37,020			39,626			43,120			39,938
Pre-tax adjusted operating income	$	12,087			$	15,662		$	14,637		$	8,121		$	14,414
Selected balance sheet data, securities at amortized cost:
Assets:
Investments	$	4,489,765			$	4,497,715		$	4,525,458		$	4,521,789		$	4,541,355
Deferred acquisition costs	93,819				94,164			93,898			88,266			88,295
Value of insurance in force acquired	2,852				2,689			2,525			2,361			2,198
Liabilities and equity:
Liabilities:
Interest sensitive product reserves	$	4,036,152			$	4,038,052		$	4,060,032		$	4,054,299		$	4,105,054
Other insurance reserves	338,646				341,506			340,896			338,585			335,222
Allocated equity, excluding AOCI	266,863				249,635			250,853			250,934			253,096
Other data:
Number of direct contracts	52,911				52,519			52,461			52,914			51,536
Portfolio yield net of assumed defaults	4.48		%		4.46		%	4.42		%	4.38		%	4.35		%
Credited rate	2.58				2.60			2.61			2.61			2.60
Spread on individual annuities at end of quarter (2)	1.90		%		1.86		%	1.81		%	1.77		%	1.75		%
Interest sensitive reserve activity:
Individual annuity reserve:
Balance, beginning of period	$	3,176,881			$	3,194,307		$	3,207,285		$	3,214,755		$	3,204,500
Deposits	67,075				63,784			56,643			53,972			63,532
Withdrawals, surrenders and death benefits	(59,661		)		(63,379		)	(62,808		)	(79,157		)	(63,065		)
Net flows	7,414				405			(6,165		)	(25,185		)	467
Policyholder interest	20,824				18,543			21,128			18,352			21,207
Annuitizations and other	(10,812		)		(5,970		)	(7,493		)	(3,422		)	(4,789		)
Balance, end of period	3,194,307				3,207,285			3,214,755			3,204,500			3,221,385
Other interest sensitive reserves	841,845				830,767			845,277			849,799			883,669
Total interest sensitive product reserves	$	4,036,152			$	4,038,052		$	4,060,032		$	4,054,299		$	4,105,054

(1) During the fourth quarter of 2018 we offered a voluntary early retirement program resulting in a decrease in net investment income from increased investment expenses ($0.6 million) and an increase in other underwriting expenses ($1.9 million).

(2) Point-in-time spread at the balance sheet date used by management for decision making, which differs from the spread earned during the reporting period disclosed in the Form 10Q or 10K.

8

FBL Financial Group, Inc.
Statements of Pre-tax Adjusted Operating Income
Life Insurance Segment
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
Pre-tax Adjusted Operating Income				(Dollars in thousands)
Adjusted operating revenues:
Interest sensitive product charges	$	18,471			$	18,988		$	19,635		$	19,163		$	18,956
Traditional life insurance premiums	49,600				49,392			50,987			46,982			50,502
Net investment income (1)	38,335				38,991			40,454			38,581			40,204
Other income	(66		)		(113		)	(138		)	(131		)	(159		)
Total adjusted operating revenues	106,340				107,258			110,938			104,595			109,503
Adjusted operating benefits and expenses:
Interest sensitive product benefits:
Interest and index credits (2)	10,103				8,051			9,018			8,326			9,803
Death benefits and other (2)	16,661				14,466			13,892			17,198			15,513
Total interest sensitive product benefits	26,764				22,517			22,910			25,524			25,316
Traditional life insurance benefits:
Death benefits	20,001				24,416			20,577			25,233			22,878
Surrender and other benefits	9,196				9,723			10,092			9,435			9,548
Increase in traditional life future policy benefits (2)	12,666				12,534			11,291			8,206			10,716
Total traditional life insurance benefits	41,863				46,673			41,960			42,874			43,142
Policyholder dividends	2,539				2,534			2,564			2,441			2,514
Underwriting, acquisition and insurance expenses:
Commission expense, net of deferrals	5,275				4,639			5,179			4,487			5,195
Amortization of deferred acquisition costs	4,182				4,799			4,344			(592		)	(5,732		)
Amortization of value of insurance in force acquired	373				372			372			372			372
Other underwriting expenses (1)	17,893				16,002			16,378			16,278			14,950
Total underwriting, acquisition and insurance expenses	27,723				25,812			26,273			20,545			14,785
Total adjusted operating benefits and expenses	98,889				97,536			93,707			91,384			85,757
	$	7,451			$	9,722		$	17,231		$	13,211		$	23,746
Equity income, before tax	993				370			1,008			821			1,025
Pre-tax adjusted operating income	$	8,444			$	10,092		$	18,239		$	14,032		$	24,771
Selected balance sheet data, securities at amortized cost:
Assets:
Investments	$	3,060,235			$	3,073,086		$	3,110,890		$	3,123,239		$	3,155,216
Deferred acquisition costs	308,937				312,664			316,309			323,609			341,143
Value of insurance in force acquired	14,411				14,039			13,668			13,296			12,924
Liabilities and equity:
Liabilities: (3)
Interest sensitive reserves	$	989,513			$	1,001,865		$	1,013,247		$	1,024,103		$	1,039,335
Other insurance reserves	2,001,449				2,013,886			2,019,588			2,033,080			2,043,029
Allocated equity, excluding AOCI	452,274				468,983			471,279			476,443			480,489

9

FBL Financial Group, Inc.
Statements of Pre-tax Adjusted Operating Income
Life Insurance Segment (Continued)
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
				(Dollars in thousands)
Other data:
Number of direct policies - traditional life	365,909				365,650			365,340			365,099			365,399
Number of direct policies - universal life	69,832				70,494			71,049			71,367			72,972
Direct face amounts - traditional life	$	52,191,204			$	52,352,065		$	52,729,936		$	53,005,016		$	53,320,484
Direct face amounts - universal life	$	7,777,370			$	7,888,196		$	7,978,929		$	8,020,444		$	8,245,749
Portfolio yield net of assumed defaults	5.02		%		5.00		%	4.97		%	4.91		%	4.85		%
Credited rate	3.78				3.77			3.79			3.80			3.81
Spread on universal life at end of quarter (4)	1.24		%		1.23		%	1.18		%	1.11		%	1.04		%
Interest sensitive reserve activity: (3)
Balance, beginning of period	$	979,858			$	989,513		$	1,001,865		$	1,013,247		$	1,024,103
Deposits	29,660				29,632			31,271			28,110			30,962
Withdrawals and surrenders	(7,778		)		(5,703		)	(9,081		)	(8,455		)	(6,915		)
Net flows	21,882				23,929			22,190			19,655			24,047
Policyholder interest	7,297				7,423			8,349			7,774			9,165
Policy charges	(19,736		)		(20,017		)	(20,287		)	(20,129		)	(20,603		)
Benefits and other	212				1,017			1,130			3,556			2,623
Balance, end of period	$	989,513			$	1,001,865		$	1,013,247		$	1,024,103		$	1,039,335

(1) During the fourth quarter of 2018 we offered a voluntary early retirement program resulting in a decrease in net investment income from increased investment expenses ($0.4 million) and an increase in other underwriting expenses ($3.6 million).

(2) During the fourth quarter of 2018 we incurred additional charges due to updating the estimate of the impact of an immaterial error related to policy benefits on a closed block of interest sensitive whole life business. The correction, along with accrued interest, resulted in increases to interest credited ($2.0 million), interest sensitive death benefits ($3.3 million) and traditional life future policy benefits ($0.2 million).

(3) Reserves on riders in interest sensitive life insurance products are included in Other insurance reserves.

(4) Point-in-time spread at the balance sheet date used by management for decision making with universal life (excluding products with a secondary guarantee) differs from the spread earned during the reporting period disclosed in the Form 10Q or 10K.

10

FBL Financial Group, Inc.
Statements of Pre-tax Adjusted Operating Income
Corporate and Other
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
Pre-tax Adjusted Operating Income (Loss)				(Dollars in thousands)
Adjusted operating revenues:
Interest sensitive product charges	$	11,005			$	10,405		$	10,714		$	10,408		$	10,757
Net investment income (1)	7,735				8,640			8,588			8,277			8,797
Other income	4,182				4,083			4,252			4,548			4,761
Total adjusted operating revenues	22,922				23,128			23,554			23,233			24,315
Adjusted operating benefits and expenses:
Interest sensitive product benefits	8,944				10,365			8,858			7,642			12,315
Underwriting, acquisition and insurance expenses:
Commission expense, net of deferrals	631				704			746			720			685
Amortization of deferred acquisition costs	5,629				(967		)	905			1,854			9
Other underwriting expenses	1,369				1,153			1,413			1,244			1,231
Total underwriting, acquisition and insurance expenses	7,629				890			3,064			3,818			1,925
Interest expense	1,213				1,212			1,212			1,213			1,213
Other expenses (1)	6,314				6,250			6,635			5,764			6,597
Total adjusted operating benefits and expenses	24,100				18,717			19,769			18,437			22,050
	(1,178		)		4,411			3,785			4,796			2,265
Net (income) loss attributable to noncontrolling interest	(45		)		(1		)	41			(47		)	(92		)
Equity income (loss), before tax	270				(91		)	769			190			283
Pre-tax adjusted operating income (loss)	$	(953	)		$	4,319		$	4,595		$	4,939		$	2,456
Selected balance sheet data, securities at amortized cost:
Assets:
Investments	$	688,057			$	687,836		$	654,750		$	686,296		$	702,734
Deferred acquisition costs	62,778				63,593			62,499			60,346			60,245
Separate account assets	561,281				614,121			625,177			612,338			645,881
Liabilities and equity:
Liabilities:
Interest sensitive reserves	$	372,056			$	370,668		$	370,238		$	372,492		$	369,454
Other insurance reserves	86,324				87,644			85,842			81,706			86,094
Separate account liabilities	561,281				614,121			625,177			612,338			645,881
Allocated equity, excluding AOCI	370,684				352,616			369,536			378,198			394,408
Rollforward of separate account balances:
Beginning separate account balance	$	651,797			$	561,281		$	614,121		$	625,177		$	612,338
Net premiums and transfers	3,518				5,277			5,115			1,208			3,502
Net investment income (loss)	(77,872		)		63,914			22,611			1,721			44,460
Charges, benefits and surrenders	(16,162		)		(16,351		)	(16,670		)	(15,768		)	(14,419		)
Ending separate account balance	$	561,281			$	614,121		$	625,177		$	612,338		$	645,881
Other data:
Number of direct contracts - variable annuity	9,217				9,071			8,938			8,810			8,676
Number of direct policies - variable universal life	35,160				34,675			34,236			33,787			33,383
Direct face amounts - variable universal life	$	4,321,462			$	4,267,891		$	4,217,491		$	4,158,021		$	4,117,248

(1) During the fourth quarter of 2018 we offered a voluntary early retirement program resulting in a decrease in net investment income from increased investment expenses ($0.1 million) and an increase in other expenses ($1.0 million).

11

FBL Financial Group, Inc.
Deferred Acquisition Costs by Segment
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
				(Dollars in thousands)
Annuity
Balance - beginning of period	$	92,442			$	93,819		$	94,164		$	93,898		$	88,266
Capitalization:
Commissions	2,994				2,872			2,319			2,291			2,729
Expenses	433				263			306			302			247
Total capitalization	3,427				3,135			2,625			2,593			2,976
Amortization - adjusted operating basis, before impact of unlocking	(2,857		)		(2,723		)	(2,974		)	(3,471		)	(2,844		)
Amortization - unlocking, adjusted operating basis	—				—			—			(4,863		)	—
Amortization - realized gains/losses on investments and unrealized gains/losses on derivatives and equities	807				(67		)	83			109			(103		)
Balance - end of period	$	93,819			$	94,164		$	93,898		$	88,266		$	88,295
Life Insurance
Balance - beginning of period	$	298,368			$	308,937		$	312,664		$	316,309		$	323,609
Capitalization:
Commissions	9,724				6,141			5,451			4,243			8,160
Expenses	3,230				2,349			2,709			2,367			2,494
Deferral of sales inducements	1,746				384			263			111			1,517
Total capitalization	14,700				8,874			8,423			6,721			12,171
Amortization - adjusted operating basis, before impact of unlocking	(4,360		)		(4,917		)	(4,519		)	(3,206		)	(4,226		)
Amortization - unlocking, adjusted operating basis	—				—			—			3,842			10,000
Amortization - realized gains/losses on investments and unrealized gains/losses on derivatives and equities	229				(230		)	(259		)	(57		)	(411		)
Balance - end of period	$	308,937			$	312,664		$	316,309		$	323,609		$	341,143
Corporate and Other
Balance - beginning of period	$	68,101			$	62,778		$	63,593		$	62,499		$	60,346
Capitalization:
Commissions	114				113			105			77			39
Deferral of sales inducements	15				1			—			2			25
Total capitalization	129				114			105			79			64
Amortization - adjusted operating basis, before impact of unlocking	(5,687		)		966			(913		)	(1,771		)	(9		)
Amortization - unlocking, adjusted operating basis	—				—			—			(109		)	—
Amortization - realized gains/losses on investments and unrealized gains/losses on derivatives and equities	235				(265		)	(286		)	(352		)	(156		)
Balance - end of period	$	62,778			$	63,593		$	62,499		$	60,346		$	60,245

12

FBL Financial Group, Inc.
Deferred Acquisition Costs by Segment (Continued)
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
				(Dollars in thousands)
Total
Balance - beginning of period	$	458,911			$	465,534		$	470,421		$	472,706		$	472,221
Capitalization:
Commissions	12,832				9,126			7,875			6,611			10,928
Expenses	3,663				2,612			3,015			2,669			2,741
Deferral of sales inducements	1,761				385			263			113			1,542
Total capitalization	18,256				12,123			11,153			9,393			15,211
Amortization - adjusted operating basis, before impact of unlocking	(12,904		)		(6,674		)	(8,406		)	(8,448		)	(7,079		)
Amortization - unlocking, adjusted operating basis	—				—			—			(1,130		)	10,000
Amortization - realized gains/losses on investments and unrealized gains/losses on derivatives and equities	1,271				(562		)	(462		)	(300		)	(670		)
Balance - end of period	465,534				470,421			472,706			472,221			489,683
Impact of unrealized gains in AOCI	(46,732		)		(96,710		)	(158,405		)	(219,109		)	(200,227		)
Deferred acquisition costs	$	418,802			$	373,711		$	314,301		$	253,112		$	289,456

13

FBL Financial Group, Inc.
Impact of Unlocking on Pre-tax Adjusted Operating Income
	Q4 2018			Q1 2019		Q2 2019		Q3 2019			Q4 2019
			(Dollars in thousands)
Annuity Segment
Amortization of deferred sales inducements reported in interest sensitive product benefits	$	—		$	—	$	—	$	(195	)	$	—
Amortization of deferred acquisition costs	—			—		—		(4,668		)	—
Decrease to pre-tax adjusted operating income	$	—		$	—	$	—	$	(4,863	)	$	—
Life Segment
Amortization of unearned revenue reserve reported in interest sensitive product charges and other income	$	—		$	—	$	—	$	(386	)	$	—
Amortization of deferred sales inducements reported in interest sensitive product benefits	—			—		—		45			—
Amortization of deferred sales inducements reported in traditional life insurance benefits	—			—		—		69			183
Amortization of deferred acquisition costs	—			—		—		3,728			9,817
Changes in reserves reported in interest sensitive product benefits	—			—		—		(1,062		)	—
Increase to pre-tax adjusted operating income	$	—		$	—	$	—	$	2,394		$	10,000
Corporate and Other Segment
Amortization of unearned revenue reserve reported in interest sensitive product charges	$	—		$	—	$	—	$	(94	)	$	—
Amortization of deferred sales inducements reported in interest sensitive product benefits	—			—		—		26			—
Amortization of deferred acquisition costs	—			—		—		(135		)	—
Changes in reserves reported in interest sensitive product benefits	—			—		—		2			—
Decrease to pre-tax adjusted operating income	$	—		$	—	$	—	$	(201	)	$	—
Total impact of unlocking on pre-tax adjusted operating income	$	—		$	—	$	—	$	(2,670	)	$	10,000

14

FBL Financial Group, Inc.
Collected Premiums (1)
	Q4 2018				Q1 2019			Q2 2019			Q3 2019			Q4 2019
				(Dollars in thousands)
Annuity
Individual:
Fixed rate:
First year	$	21,256			$	22,785		$	14,308		$	13,313		$	10,489
Renewal	14,361				16,631			16,017			11,644			13,428
Total fixed rate	35,617				39,416			30,325			24,957			23,917
Index annuity	33,337				28,301			28,417			30,293			41,177
Total individual	68,954				67,717			58,742			55,250			65,094
Group	1,503				1,789			910			826			1,643
Total Annuity	70,457				69,506			59,652			56,076			66,737
Life Insurance
Direct:
Universal life:
First year	6,625				5,786			7,967			6,571			7,129
Renewal	20,764				23,051			22,332			21,214			22,173
Total universal life	27,389				28,837			30,299			27,785			29,302
Whole life:
First year	2,658				2,622			2,659			1,834			2,335
Renewal	23,761				23,725			23,684			22,016			23,273
Total whole life	26,419				26,347			26,343			23,850			25,608
Term life and other:
First year	2,861				2,636			2,898			2,656			2,811
Renewal	26,656				27,430			27,382			26,798			27,382
Total term life and other	29,517				30,066			30,280			29,454			30,193
Total direct life insurance	83,325				85,250			86,922			81,089			85,103
Reinsurance	(7,126		)		(7,249		)	(7,524		)	(6,046		)	(6,818		)
Total Life Insurance	76,199				78,001			79,398			75,043			78,285
Corporate and Other
Variable, net of reinsurance	10,447				13,167			13,065			10,982			10,824
Accident and health, net of reinsurance	271				75			45			41			179
Total Corporate and Other	10,718				13,242			13,110			11,023			11,003
Total collected premiums	$	157,374			$	160,749		$	152,160		$	142,142		$	156,025

(1) Collected premiums is a measure of sales production not recognized under GAAP.

15

FBL Financial Group, Inc.
Other Information
	December 31,				March 31,			June 30,			September 30,			December 31,
	2018				2019			2019			2019			2019
				(Dollars in thousands, except per share data)
Capitalization:
Short-term debt	$	—			$	4,000		$	—		$	16,000		$	—
Trust preferred securities, due 2047	97,000				97,000			97,000			97,000			97,000
Total debt	97,000				101,000			97,000			113,000			97,000
Preferred stock	3,000				3,000			3,000			3,000			3,000
Common stockholders' equity, excluding AOCI	1,089,821				1,071,234			1,091,669			1,105,035			1,127,993
Total capitalization, excluding AOCI	1,189,821				1,175,234			1,191,669			1,221,035			1,227,993
Accumulated other comprehensive income	91,318				189,166			302,793			406,175			354,764
Total capitalization, including AOCI	$	1,281,139			$	1,364,400		$	1,494,462		$	1,627,210		$	1,582,757
Common shares outstanding	24,718,815				24,652,340			24,659,885			24,662,308			24,664,215
Book Value per Share:
Excluding AOCI	$	44.09			$	43.45		$	44.27		$	44.81		$	45.73
Including AOCI	47.78				51.13			56.55			61.28			60.12
Debt-to-Capital Ratio:
Excluding AOCI	8.2		%		8.6		%	8.1		%	9.3		%	7.9		%
Including AOCI	7.6				7.4			6.5			6.9			6.1
Debt-to-Capital Ratio with 50% Credit for Trust Preferred Securities:
Excluding AOCI	4.1		%		4.5		%	4.1		%	5.3		%	3.9		%
Including AOCI	3.8				3.8			3.2			4.0			3.1
Class A Common Ownership:
Iowa Farm Bureau Federation	59.7		%		59.9		%	59.9		%	59.9		%	59.9		%
Public	40.3				40.1			40.1			40.1			40.1
	100.0		%		100.0		%	100.0		%	100.0		%	100.0		%

16

FBL Financial Group, Inc.
Other Information (Continued)
	December 31,		March 31,		June 30,		September 30,		December 31,
	2018		2019		2019		2019		2019
Investment by Type:
Fixed maturity securities	57.5	%	57.9	%	58.2	%	58.2	%	57.9	%
Residential mortgage-backed	7.2		7.2		7.1		7.4		7.4
Commercial mortgage-backed	10.4		10.6		11.3		11.6		11.5
Other asset-backed	8.4		8.1		7.8		7.6		7.9
Mortgage loans	12.4		11.9		11.5		11.1		11.2
Equity securities	1.1		1.3		1.2		1.1		1.1
Other	3.0		3.0		2.9		3.0		3.0
Quality of Fixed Maturity Securities:
AAA, AA, A	68.3	%	68.3	%	68.0	%	68.3	%	68.2	%
BBB	29.3		29.0		29.7		29.5		29.5
BB	1.5		1.7		1.6		1.5		1.6
<BB	0.9		1.0		0.7		0.7		0.7
Agent Strength Totals:
Full time agents and agency managers:
8-state Farm Bureau Property & Casualty channel	1,190		1,180		1,185		1,200		1,197
6 life partner states and Colorado	649		650		649		655		661
	1,839		1,830		1,834		1,855		1,858

FBL Financial Group, Inc.
Income Taxes
(Dollars in thousands)
	Q4 2018			Q1 2019			Q2 2019			Q3 2019			Q4 2019
Income tax benefit (expense)	$	2,812		$	(6,276	)	$	(5,511	)	$	(1,642	)	$	(6,500	)
Tax on equity income	(265		)	(59		)	(373		)	(212		)	(275		)
Net income adjustments:
Income tax offset on net income adjustments	(3,299		)	2,164			150			(23		)	(27		)
Income taxes on adjusted operating income	$	(752	)	$	(4,171	)	$	(5,734	)	$	(1,877	)	$	(6,802	)
Income taxes on adjusted operating income before benefits of LIHTC investments	$	(1,841	)	$	(5,076	)	$	(6,633	)	$	(2,727	)	$	(7,653	)
Amounts related to LIHTC investments	1,089			905			899			850			851
Income taxes on adjusted operating income	$	(752	)	$	(4,171	)	$	(5,734	)	$	(1,877	)	$	(6,802	)

17