N-VPFS 1 nvpfsazsepacctb.htm ALLIANZ VAR ACCT B N-VPFS












ALLIANZ LIFE VARIABLE ACCOUNT B

of

ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA


Financial Statements

December 31, 2024


(With Report of Independent Registered Public Accounting Firm Thereon)














Report of Independent Registered Public Accounting Firm

To the Board of Directors of Allianz Life Insurance Company of North America and the Contract Owners
of Allianz Life Variable Account B

Opinions on the Financial Statements

We have audited the accompanying statements of assets and liabilities of each of the subaccounts of Allianz Life Variable Account B indicated in the table below (other than AZL DFA Five-Year Global Fixed Income Fund, AZL Gateway Fund, AZL MetWest Total Return Bond Fund, AZL MSCI Emerging Markets Equity Index Fund Class 1, AZL MSCI Emerging Markets Equity Index Fund Class 2, AZL MVP Fusion Balanced Fund, AZL MVP Fusion Conservative Fund, AZL MVP Fusion Moderate Fund, and JPMorgan Insurance Trust Core Bond Portfolio, which do not present a statement of assets and liabilities) as of December 31, 2024, and the related statements of operations and of changes in net assets for each of the periods indicated in the table below, including the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of each of the subaccounts of Allianz Life Variable Account B (other than AZL DFA Five-Year Global Fixed Income Fund, AZL Gateway Fund, AZL MetWest Total Return Bond Fund, AZL MSCI Emerging Markets Equity Index Fund Class 1, AZL MSCI Emerging Markets Equity Index Fund Class 2, AZL MVP Fusion Balanced Fund, AZL MVP Fusion Conservative Fund, AZL MVP Fusion Moderate Fund, and JPMorgan Insurance Trust Core Bond Portfolio, which do not present a statement of assets and liabilities) as of December 31, 2024, and the results of each of their operations and the changes in each of their net assets for the periods indicated in the table below, in conformity with accounting principles generally accepted in the United States of America.










Subaccounts of Allianz Life Variable Account B
AZL Balanced Index Strategy Fund(1)
AZL MVP Growth Index Strategy Fund(1)
Lazard Retirement International Equity Portfolio(1)
AZL DFA Five-Year Global Fixed Income Fund(3)
AZL MVP Moderate Index Strategy Fund(1)
Lazard Retirement U.S. Small-Mid Cap Equity Portfolio(1)
AZL DFA Multi-Strategy Fund(1)
AZL MVP T. Rowe Price Capital Appreciation Plus Fund(1)
LVIP JPMorgan Core Bond Fund(2)
AZL Enhanced Bond Index Fund(1)
AZL Russell 1000 Growth Index Fund Class 1(1)
Macquarie VIP Asset Strategy Series(1)
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1(1)
AZL Russell 1000 Growth Index Fund Class 2(1)
Macquarie VIP Energy Series(1)
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2(1)
AZL Russell 1000 Value Index Fund Class 1(1)
Macquarie VIP Growth Series(1)
AZL Fidelity Institutional Asset Management Total Bond Fund Class 1(1)
AZL Russell 1000 Value Index Fund Class 2(1)
Macquarie VIP Mid Cap Growth Series(1)
AZL Fidelity Institutional Asset Management Total Bond Fund Class 2(1)
AZL S&P 500 Index Fund(1)
Macquarie VIP Natural Resources Series(1)
AZL Gateway Fund(3)
AZL Small Cap Stock Index Fund Class 1(1)
Macquarie VIP Science and Technology Series(1)











AZL Government Money Market Fund(1)
AZL Small Cap Stock Index Fund Class 2(1)
MFS International Intrinsic Value Portfolio(1)
AZL International Index Fund Class 1(1)
AZL T. Rowe Price Capital Appreciation Fund(1)
MFS VIT Total Return Bond Portfolio(1)
AZL International Index Fund Class 2(1)
BlackRock Equity Dividend V.I. Fund(1)
MFS VIT Utilities Portfolio(1)
AZL MetWest Total Return Bond Fund(3)
ClearBridge Variable Growth Portfolio(1)
PIMCO VIT Balanced Allocation Portfolio(1)
AZL Mid Cap Index Fund Class 1(1)
Columbia Variable Portfolio – Seligman Global Technology Fund(1)
PIMCO VIT CommodityRealReturn Strategy Portfolio(1)
AZL Mid Cap Index Fund Class 2(1)
Davis VA Financial Portfolio(1)
PIMCO VIT Emerging Markets Bond Portfolio(1)
AZL Moderate Index Strategy Fund(1)
Davis VA Real Estate Portfolio(1)
PIMCO VIT Global Core Bond (Hedged) Portfolio(1)
AZL MSCI Emerging Markets Equity Index Fund Class 1(3)
Eaton Vance VT Floating-Rate Income Fund(1)
PIMCO VIT High Yield Portfolio(1)
AZL MSCI Emerging Markets Equity Index Fund Class 2(3)
Fidelity VIP Emerging Markets Portfolio(1)
PIMCO VIT Long-Term U.S. Government Portfolio(1)
AZL MSCI Global Equity Index Fund Class 1(3)
Fidelity VIP Mid Cap Portfolio(1)
PIMCO VIT Low Duration Portfolio(1)
AZL MSCI Global Equity Index Fund Class 2(1)
Fidelity VIP Strategic Income Portfolio(1)
PIMCO VIT Real Return Portfolio(1)
AZL MVP Balanced Index Strategy Fund(1)
Franklin Rising Dividends VIP Fund(1)
PIMCO VIT StocksPLUS Global Portfolio(1)
AZL MVP DFA Multi-Strategy Fund(1)
Franklin U.S. Government Securities VIP Fund(1)
PIMCO VIT Total Return Portfolio(1)
AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund(1)
Invesco Oppenheimer V.I. International Growth Fund(1)
T. Rowe Price Blue Chip Growth Portfolio(1)
AZL MVP Fusion Balanced Fund(3)
Invesco V.I. American Value Fund(1)
T. Rowe Price Equity Income Portfolio(1)
AZL MVP Fusion Conservative Fund(3)
Invesco V.I. Balanced-Risk Allocation Fund(1)
T. Rowe Price Health Sciences Portfolio(1)











AZL MVP Fusion Moderate Fund(3)
Invesco V.I. Global Strategic Income Fund(1)
Templeton Global Bond VIP Fund(1)
AZL MVP Global Balanced Index Strategy Fund(1)
JPMorgan Insurance Trust Core Bond Portfolio(4)

1.Statement of operations for the year ended December 31, 2024 and statement of changes in net assets for the years ended December 31, 2024 and 2023
2.Statement of operations for the year ended December 31, 2024, and statement of changes in net assets for the year ended December 31, 2024 and the period April 28, 2023 (commencement of operations) through December 31, 2023
3.Statement of changes in net assets for the period January 1, 2023 to March 10, 2023 (date of liquidation)
4.Statement of changes in net assets for the period January 1, 2023 to April 28, 2023 (date of liquidation)


Basis for Opinions

These financial statements are the responsibility of Allianz Life Insurance Company of North America management. Our responsibility is to express an opinion on the financial statements of each of the subaccounts of Allianz Life Variable Account B based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to each of the subaccounts of Allianz Life Variable Account B in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of investments owned as of December 31, 2024 by correspondence with the custodians of the investee mutual funds. We believe that our audits provide a reasonable basis for our opinions.


/s/PricewaterhouseCoopers LLP

Minneapolis, Minnesota
April 7, 2025

We have served as the auditor of one or more of the subaccounts of Allianz Life Variable Account B of Allianz Life Insurance Company of North America since 2019.


ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















AZL Balanced Index Strategy Fund AZL DFA Multi-Strategy Fund AZL Enhanced Bond Index Fund AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1 AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2
 Assets:




    Investments at Net Asset Value $ 310,578 
$ 597,786 
$ 21,854 
$ 76,199 
$ 972,738 
         Total Assets 310,578 
597,786 
21,854 
76,199 
972,738 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 310,578 
597,786 
21,854 
76,199 
972,738 






 Net Assets:




    Contracts in Accumulation Period 310,426 
596,549 
21,854 
75,598 
971,662 
    Contracts in Annuity Payment Period 152 
1,237 
— 
601 
1,076 
         Total Net Assets $ 310,578 
$ 597,786 
$ 21,854 
$ 76,199 
$ 972,738 






           Investment Shares 20,957 
46,232 
2,284 
8,374 
64,462 
           Investments at Cost $ 313,974 
$ 617,340 
$ 23,488 
$ 80,557 
$ 920,846 





















AZL Fidelity Institutional Asset Management Total Bond Fund Class 1 AZL Fidelity Institutional Asset Management Total Bond Fund Class 2 AZL Government Money Market Fund AZL International Index Fund Class 1 AZL International Index Fund Class 2
 Assets:




    Investments at Net Asset Value $ 14,352 
$ 111,461 
$ 457,368 
$ 78,005 
$ 303,515 
         Total Assets 14,352 
111,461 
457,368 
78,005 
303,515 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 14,352 
111,461 
457,368 
78,005 
303,515 






 Net Assets:




    Contracts in Accumulation Period 14,243 
111,391 
456,019 
77,705 
302,620 
    Contracts in Annuity Payment Period 109 
70 
1,349 
300 
895 
         Total Net Assets $ 14,352 
$ 111,461 
$ 457,368 
$ 78,005 
$ 303,515 






           Investment Shares 1,792 
13,301 
457,368 
7,229 
17,494 
           Investments at Cost $ 16,935 
$ 127,872 
$ 457,368 
$ 73,752 
$ 269,852 
See accompanying notes to financial statements
Page 5 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















AZL Mid Cap Index Fund Class 1 AZL Mid Cap Index Fund Class 2 AZL Moderate Index Strategy Fund AZL MSCI Global Equity Index Fund Class 1 AZL MSCI Global Equity Index Fund Class 2
 Assets:




    Investments at Net Asset Value $ 43,798 
$ 267,640 
$ 1,233,407 
$ 43,048 
$ 108,383 
         Total Assets 43,798 
267,640 
1,233,407 
43,048 
108,383 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 43,798 
267,640 
1,233,407 
43,048 
108,383 






 Net Assets:




    Contracts in Accumulation Period 43,653 
267,415 
1,232,233 
42,623 
108,131 
    Contracts in Annuity Payment Period 145 
225 
1,174 
425 
252 
         Total Net Assets $ 43,798 
$ 267,640 
$ 1,233,407 
$ 43,048 
$ 108,383 






           Investment Shares 1,998 
12,396 
91,771 
4,275 
6,120 
           Investments at Cost $ 78,596 
$ 251,366 
$ 1,277,669 
$ 40,627 
$ 93,457 





















AZL MVP Balanced Index Strategy Fund AZL MVP DFA Multi-Strategy Fund AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund AZL MVP Global Balanced Index Strategy Fund AZL MVP Growth Index Strategy Fund
 Assets:




    Investments at Net Asset Value $ 654,523 
$ 1,155,273 
$ 261,749 
$ 394,600 
$ 1,569,850 
         Total Assets 654,523 
1,155,273 
261,749 
394,600 
1,569,850 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 654,523 
1,155,273 
261,749 
394,600 
1,569,850 






 Net Assets:




    Contracts in Accumulation Period 654,044 
1,154,465 
261,663 
394,528 
1,569,169 
    Contracts in Annuity Payment Period 479 
808 
86 
72 
681 
         Total Net Assets $ 654,523 
$ 1,155,273 
$ 261,749 
$ 394,600 
$ 1,569,850 






           Investment Shares 52,195 
99,421 
19,607 
35,614 
105,856 
           Investments at Cost $ 609,137 
$ 1,009,390 
$ 227,107 
$ 398,130 
$ 1,463,857 
See accompanying notes to financial statements
Page 6 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















AZL MVP Moderate Index Strategy Fund AZL MVP T. Rowe Price Capital Appreciation Plus Fund AZL Russell 1000 Growth Index Fund Class 1 AZL Russell 1000 Growth Index Fund Class 2 AZL Russell 1000 Value Index Fund Class 1
 Assets:




    Investments at Net Asset Value $ 289,034 
$ 921,692 
$ 69,253 
$ 525,906 
$ 158,815 
         Total Assets 289,034 
921,692 
69,253 
525,906 
158,815 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 289,034 
921,692 
69,253 
525,906 
158,815 






 Net Assets:




    Contracts in Accumulation Period 289,034 
921,692 
68,904 
524,530 
157,880 
    Contracts in Annuity Payment Period — 
— 
349 
1,376 
935 
         Total Net Assets $ 289,034 
$ 921,692 
$ 69,253 
$ 525,906 
$ 158,815 






           Investment Shares 21,570 
73,559 
11,961 
31,211 
18,467 
           Investments at Cost $ 284,786 
$ 877,752 
$ 88,889 
$ 471,203 
$ 169,990 





















AZL Russell 1000 Value Index Fund Class 2 AZL S&P 500 Index Fund AZL Small Cap Stock Index Fund Class 1 AZL Small Cap Stock Index Fund Class 2 AZL T. Rowe Price Capital Appreciation Fund
 Assets:




    Investments at Net Asset Value $ 449,209 
$ 734,227 
$ 32,288 
$ 306,185 
$ 489,653 
         Total Assets 449,209 
734,227 
32,288 
306,185 
489,653 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 449,209 
734,227 
32,288 
306,185 
489,653 






 Net Assets:




    Contracts in Accumulation Period 448,245 
733,226 
32,162 
305,506 
489,024 
    Contracts in Annuity Payment Period 964 
1,001 
126 
679 
629 
         Total Net Assets $ 449,209 
$ 734,227 
$ 32,288 
$ 306,185 
$ 489,653 






           Investment Shares 32,813 
30,861 
4,510 
24,593 
27,711 
           Investments at Cost $ 421,545 
$ 504,018 
$ 38,572 
$ 296,629 
$ 463,945 
See accompanying notes to financial statements
Page 7 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















BlackRock Equity Dividend V.I. Fund ClearBridge Variable Growth Portfolio Columbia Variable Portfolio – Seligman Global Technology Fund Davis VA Financial Portfolio Davis VA Real Estate Portfolio
 Assets:




    Investments at Net Asset Value $ 1,360 
$ 569 
$ 1,226 
$ 34,340 
$ 182 
         Total Assets 1,360 
569 
1,226 
34,340 
182 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 1,360 
569 
1,226 
34,340 
182 






 Net Assets:




    Contracts in Accumulation Period 1,360 
569 
1,189 
34,312 
182 
    Contracts in Annuity Payment Period — 
— 
37 
28 
— 
         Total Net Assets $ 1,360 
$ 569 
$ 1,226 
$ 34,340 
$ 182 






           Investment Shares 129 
41 
36 
2,247 
13 
           Investments at Cost $ 1,433 
$ 815 
$ 806 
$ 28,673 
$ 158 





















Eaton Vance VT Floating-Rate Income Fund Fidelity VIP Emerging Markets Portfolio Fidelity VIP Mid Cap Portfolio Fidelity VIP Strategic Income Portfolio Franklin Rising Dividends VIP Fund
 Assets:




    Investments at Net Asset Value $ 1,251 
$ 1,457 
$ 591 
$ 1,280 
$ 171,551 
         Total Assets 1,251 
1,457 
591 
1,280 
171,551 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 1,251 
1,457 
591 
1,280 
171,551 






 Net Assets:




    Contracts in Accumulation Period 1,251 
1,457 
591 
1,280 
170,760 
    Contracts in Annuity Payment Period — 
— 
— 
— 
791 
         Total Net Assets $ 1,251 
$ 1,457 
$ 591 
$ 1,280 
$ 171,551 






           Investment Shares 145 
127 
17 
121 
5,969 
           Investments at Cost $ 1,313 
$ 1,498 
$ 580 
$ 1,365 
$ 136,776 
See accompanying notes to financial statements
Page 8 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















Franklin U.S. Government Securities VIP Fund Invesco Oppenheimer V.I. International Growth Fund Invesco V.I. American Value Fund Invesco V.I. Balanced-Risk Allocation Fund Invesco V.I. Global Strategic Income Fund
 Assets:




    Investments at Net Asset Value $ 93,083 
$ 729 
$ 243 
$ 196 
$ 1,126 
         Total Assets 93,083 
729 
243 
196 
1,126 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 93,083 
729 
243 
196 
1,126 






 Net Assets:




    Contracts in Accumulation Period 92,603 
729 
243 
196 
1,122 
    Contracts in Annuity Payment Period 480 
— 
— 
— 
4 
         Total Net Assets $ 93,083 
$ 729 
$ 243 
$ 196 
$ 1,126 






           Investment Shares 9,098 
372 
14 
24 
263 
           Investments at Cost $ 109,830 
$ 897 
$ 209 
$ 247 
$ 1,268 





















Lazard Retirement International Equity Portfolio Lazard Retirement U.S. Small-Mid Cap Equity Portfolio LVIP JPMorgan Core Bond Fund Macquarie VIP Asset Strategy Series Macquarie VIP Energy Series
 Assets:




    Investments at Net Asset Value $ 175 
$ 5,160 
$ 10,365 
$ 1,104 
$ 67 
         Total Assets 175 
5,160 
10,365 
1,104 
67 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 175 
5,160 
10,365 
1,104 
67 






 Net Assets:




    Contracts in Accumulation Period 175 
5,160 
10,365 
1,104 
67 
    Contracts in Annuity Payment Period — 
— 
— 
— 
— 
         Total Net Assets $ 175 
$ 5,160 
$ 10,365 
$ 1,104 
$ 67 






           Investment Shares 19 
357 
1,094 
119 
14 
           Investments at Cost $ 211 
$ 4,355 
$ 10,624 
$ 1,234 
$ 83 
See accompanying notes to financial statements
Page 9 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















Macquarie VIP Growth Series Macquarie VIP Mid Cap Growth Series Macquarie VIP Natural Resources Series Macquarie VIP Science and Technology Series MFS International Intrinsic Value Portfolio
 Assets:




    Investments at Net Asset Value $ 640 
$ 607 
$ 93 
$ 835 
$ 1,285 
         Total Assets 640 
607 
93 
835 
1,285 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 640 
607 
93 
835 
1,285 






 Net Assets:




    Contracts in Accumulation Period 640 
607 
93 
835 
1,285 
    Contracts in Annuity Payment Period — 
— 
— 
— 
— 
         Total Net Assets $ 640 
$ 607 
$ 93 
$ 835 
$ 1,285 






           Investment Shares 60 
61 
21 
29 
44 
           Investments at Cost $ 621 
$ 683 
$ 90 
$ 752 
$ 1,112 





















MFS VIT Total Return Bond Portfolio MFS VIT Utilities Portfolio PIMCO VIT Balanced Allocation Portfolio PIMCO VIT CommodityRealReturn Strategy Portfolio PIMCO VIT Emerging Markets Bond Portfolio
 Assets:




    Investments at Net Asset Value $ 18,083 
$ 210 
$ 131,405 
$ 27,134 
$ 46,439 
         Total Assets 18,083 
210 
131,405 
27,134 
46,439 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 18,083 
210 
131,405 
27,134 
46,439 






 Net Assets:




    Contracts in Accumulation Period 18,074 
210 
131,298 
27,119 
46,360 
    Contracts in Annuity Payment Period 9 
— 
107 
15 
79 
         Total Net Assets $ 18,083 
$ 210 
$ 131,405 
$ 27,134 
$ 46,439 






           Investment Shares 1,605 
6 
14,424 
4,979 
4,365 
           Investments at Cost $ 19,414 
$ 217 
$ 137,757 
$ 39,380 
$ 53,925 
See accompanying notes to financial statements
Page 10 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)

















PIMCO VIT Global Core Bond (Hedged) Portfolio PIMCO VIT High Yield Portfolio PIMCO VIT Long-Term U.S. Government Portfolio PIMCO VIT Low Duration Portfolio PIMCO VIT Real Return Portfolio
 Assets:




    Investments at Net Asset Value $ 72,392 
$ 244,219 
$ 1,725 
$ 6,123 
$ 136,774 
         Total Assets 72,392 
244,219 
1,725 
6,123 
136,774 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 72,392 
244,219 
1,725 
6,123 
136,774 






 Net Assets:




    Contracts in Accumulation Period 72,287 
243,896 
1,725 
6,123 
136,549 
    Contracts in Annuity Payment Period 105 
323 
— 
— 
225 
         Total Net Assets $ 72,392 
$ 244,219 
$ 1,725 
$ 6,123 
$ 136,774 






           Investment Shares 8,255 
33,732 
237 
635 
11,883 
           Investments at Cost $ 77,642 
$ 256,607 
$ 2,192 
$ 6,325 
$ 153,066 





















PIMCO VIT StocksPLUS Global Portfolio PIMCO VIT Total Return Portfolio T. Rowe Price Blue Chip Growth Portfolio T. Rowe Price Equity Income Portfolio T. Rowe Price Health Sciences Portfolio
 Assets:




    Investments at Net Asset Value $ 165,807 
$ 490,925 
$ 4,282 
$ 1,059 
$ 536 
         Total Assets 165,807 
490,925 
4,282 
1,059 
536 






 Liabilities:




         Total Liabilities — 
— 
— 
— 
— 
 Net Assets: 165,807 
490,925 
4,282 
1,059 
536 






 Net Assets:




    Contracts in Accumulation Period 165,506 
490,200 
4,282 
1,059 
536 
    Contracts in Annuity Payment Period 301 
725 
— 
— 
— 
         Total Net Assets $ 165,807 
$ 490,925 
$ 4,282 
$ 1,059 
$ 536 






           Investment Shares 21,940 
54,306 
76 
38 
11 
           Investments at Cost $ 174,931 
$ 575,908 
$ 2,819 
$ 1,047 
$ 472 
See accompanying notes to financial statements
Page 11 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
December 31, 2024
(In thousands)








Templeton Global Bond VIP Fund Total All Funds
 Assets:

    Investments at Net Asset Value $ 216,893 $ 14,545,910
         Total Assets 216,893 14,545,910



 Liabilities:

         Total Liabilities — —
 Net Assets: 216,893 14,545,910



 Net Assets:

    Contracts in Accumulation Period 216,635 14,526,228
    Contracts in Annuity Payment Period 258 19,682
         Total Net Assets $ 216,893 $ 14,545,910



           Investment Shares 19,033 1,541,961
           Investments at Cost $ 307,372 $ 14,083,356







See accompanying notes to financial statements
Page 12 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














AZL Balanced Index Strategy Fund AZL DFA Multi-Strategy Fund AZL Enhanced Bond Index Fund AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1





 Investment Income:



    Dividends Reinvested in Fund Shares $ 4,600 
$ 8,513 
$ 863 
$ 3,263 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 6,361 
11,942 
291 
1,122 
         Investment Income (Loss), Net (1,761)
(3,429)
572 
2,141 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 9,049 
— 
— 
— 
    Realized Gains (Losses) on Sales of Investments, Net (632)
(7,212)
(375)
(890)
         Realized Gains (Losses) on Investments, Net 8,417 
(7,212)
(375)
(890)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 12,837 
53,931 
(244)
6,214 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 21,254 
46,719 
(619)
5,324 
         Net Increase (Decrease) in Net Assets From Operations $ 19,493 
$ 43,290 
$ (47)
$ 7,465 

















AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2 AZL Fidelity Institutional Asset Management Total Bond Fund Class 1 AZL Fidelity Institutional Asset Management Total Bond Fund Class 2 AZL Government Money Market Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ 23,444 
$ 869 
$ 6,080 
$ 17,754 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 18,297 
214 
2,155 
4,375 
         Investment Income (Loss), Net 5,147 
655 
3,925 
13,379 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
— 
— 
— 
    Realized Gains (Losses) on Sales of Investments, Net 6,047 
(260)
(3,722)
— 
         Realized Gains (Losses) on Investments, Net 6,047 
(260)
(3,722)
— 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 81,542 
(311)
(367)
— 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 87,589 
(571)
(4,089)
— 
         Net Increase (Decrease) in Net Assets From Operations $ 92,736 
$ 84 
$ (164)
$ 13,379 
See accompanying notes to financial statements
Page 13 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














AZL International Index Fund Class 1 AZL International Index Fund Class 2 AZL Mid Cap Index Fund Class 1 AZL Mid Cap Index Fund Class 2





 Investment Income:



    Dividends Reinvested in Fund Shares $ 3,808 
$ 8,600 
$ 890 
$ 4,579 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 1,350 
7,112 
640 
5,918 
         Investment Income (Loss), Net 2,458 
1,488 
250 
(1,339)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 1,041 
2,571 
3,805 
24,364 
    Realized Gains (Losses) on Sales of Investments, Net 1,370 
11,153 
(4,108)
6,615 
         Realized Gains (Losses) on Investments, Net 2,411 
13,724 
(303)
30,979 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments (3,333)
(11,652)
5,025 
(18)
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments (922)
2,072 
4,722 
30,961 
         Net Increase (Decrease) in Net Assets From Operations $ 1,536 
$ 3,560 
$ 4,972 
$ 29,622 

















AZL Moderate Index Strategy Fund AZL MSCI Global Equity Index Fund Class 1 AZL MSCI Global Equity Index Fund Class 2 AZL MVP Balanced Index Strategy Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ 18,832 
$ 1,255 
$ 1,579 
$ 11,025 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 25,018 
616 
2,360 
12,151 
         Investment Income (Loss), Net (6,186)
639 
(781)
(1,126)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
— 
— 
27,819 
    Realized Gains (Losses) on Sales of Investments, Net (17,216)
48 
2,804 
11,758 
         Realized Gains (Losses) on Investments, Net (17,216)
48 
2,804 
39,577 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 122,976 
5,860 
14,125 
5,191 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 105,760 
5,908 
16,929 
44,768 
         Net Increase (Decrease) in Net Assets From Operations $ 99,574 
$ 6,547 
$ 16,148 
$ 43,642 
See accompanying notes to financial statements
Page 14 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














AZL MVP DFA Multi-Strategy Fund AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund AZL MVP Global Balanced Index Strategy Fund AZL MVP Growth Index Strategy Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ 14,147 
$ 4,715 
$ 6,734 
$ 25,358 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 15,721 
3,863 
6,185 
28,710 
         Investment Income (Loss), Net (1,574)
852 
549 
(3,352)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 37,866 
— 
— 
66,422 
    Realized Gains (Losses) on Sales of Investments, Net 31,664 
7,540 
(2,753)
28,062 
         Realized Gains (Losses) on Investments, Net 69,530 
7,540 
(2,753)
94,484 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 22,159 
17,368 
34,788 
73,636 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 91,689 
24,908 
32,035 
168,120 
         Net Increase (Decrease) in Net Assets From Operations $ 90,115 
$ 25,760 
$ 32,584 
$ 164,768 

















AZL MVP Moderate Index Strategy Fund AZL MVP T. Rowe Price Capital Appreciation Plus Fund AZL Russell 1000 Growth Index Fund Class 1 AZL Russell 1000 Growth Index Fund Class 2





 Investment Income:



    Dividends Reinvested in Fund Shares $ 4,906 
$ 46,364 
$ 596 
$ 1,142 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 4,566 
14,585 
952 
10,686 
         Investment Income (Loss), Net 340 
31,779 
(356)
(9,544)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 10,644 
34,905 
33,545 
133,881 
    Realized Gains (Losses) on Sales of Investments, Net 1,369 
14,955 
(591)
21,714 
         Realized Gains (Losses) on Investments, Net 12,013 
49,860 
32,954 
155,595 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 13,054 
26,267 
(15,252)
(14,171)
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 25,067 
76,127 
17,702 
141,424 
         Net Increase (Decrease) in Net Assets From Operations $ 25,407 
$ 107,906 
$ 17,346 
$ 131,880 
See accompanying notes to financial statements
Page 15 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














AZL Russell 1000 Value Index Fund Class 1 AZL Russell 1000 Value Index Fund Class 2 AZL S&P 500 Index Fund AZL Small Cap Stock Index Fund Class 1





 Investment Income:



    Dividends Reinvested in Fund Shares $ 4,521 
$ 7,129 
$ 7,804 
$ 860 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 2,491 
9,735 
14,859 
627 
         Investment Income (Loss), Net 2,030 
(2,606)
(7,055)
233 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 9,339 
17,364 
31,979 
2,493 
    Realized Gains (Losses) on Sales of Investments, Net (1,348)
6,217 
48,257 
(960)
         Realized Gains (Losses) on Investments, Net 7,991 
23,581 
80,236 
1,533 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 8,814 
29,383 
71,258 
222 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 16,805 
52,964 
151,494 
1,755 
         Net Increase (Decrease) in Net Assets From Operations $ 18,835 
$ 50,358 
$ 144,439 
$ 1,988 

















AZL Small Cap Stock Index Fund Class 2 AZL T. Rowe Price Capital Appreciation Fund BlackRock Equity Dividend V.I. Fund ClearBridge Variable Growth Portfolio





 Investment Income:



    Dividends Reinvested in Fund Shares $ 3,970 
$ 11,243 
$ 32 
$ 1 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 6,745 
11,258 
4 
2 
         Investment Income (Loss), Net (2,775)
(15)
28 
(1)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 14,360 
8,945 
103 
162 
    Realized Gains (Losses) on Sales of Investments, Net 2,006 
3,153 
12 
(250)
         Realized Gains (Losses) on Investments, Net 16,366 
12,098 
115 
(88)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 3,864 
34,851 
(20)
146 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 20,230 
46,949 
95 
58 
         Net Increase (Decrease) in Net Assets From Operations $ 17,455 
$ 46,934 
$ 123 
$ 57 
See accompanying notes to financial statements
Page 16 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














Columbia Variable Portfolio – Seligman Global Technology Fund Davis VA Financial Portfolio Davis VA Real Estate Portfolio Eaton Vance VT Floating-Rate Income Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ — 
$ 611 
$ 4 
$ 96 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 22 
743 
3 
4 
         Investment Income (Loss), Net (22)
(132)
1 
92 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 83 
2,735 
4 
— 
    Realized Gains (Losses) on Sales of Investments, Net 99 
1,499 
2 
(9)
         Realized Gains (Losses) on Investments, Net 182 
4,234 
6 
(9)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 128 
3,868 
(1)
3 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 310 
8,102 
5 
(6)
         Net Increase (Decrease) in Net Assets From Operations $ 288 
$ 7,970 
$ 6 
$ 86 

















Fidelity VIP Emerging Markets Portfolio Fidelity VIP Mid Cap Portfolio Fidelity VIP Strategic Income Portfolio Franklin Rising Dividends VIP Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ 18 
$ 2 
$ 45 
$ 1,985 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 5 
2 
4 
3,184 
         Investment Income (Loss), Net 13 
— 
41 
(1,199)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
78 
— 
8,547 
    Realized Gains (Losses) on Sales of Investments, Net (6)
5 
(14)
6,476 
         Realized Gains (Losses) on Investments, Net (6)
83 
(14)
15,023 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 145 
3 
45 
1,858 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 139 
86 
31 
16,881 
         Net Increase (Decrease) in Net Assets From Operations $ 152 
$ 86 
$ 72 
$ 15,682 
See accompanying notes to financial statements
Page 17 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














Franklin U.S. Government Securities VIP Fund Invesco Oppenheimer V.I. International Growth Fund Invesco V.I. American Value Fund Invesco V.I. Balanced-Risk Allocation Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ 3,105 
$ 3 
$ 2 
$ 12 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 1,788 
3 
1 
1 
         Investment Income (Loss), Net 1,317 
— 
1 
11 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
54 
6 
— 
    Realized Gains (Losses) on Sales of Investments, Net (4,001)
(35)
20 
(13)
         Realized Gains (Losses) on Investments, Net (4,001)
19 
26 
(13)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 2,248 
(27)
62 
3 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments (1,753)
(8)
88 
(10)
         Net Increase (Decrease) in Net Assets From Operations $ (436)
$ (8)
$ 89 
$ 1 

















Invesco V.I. Global Strategic Income Fund Lazard Retirement International Equity Portfolio Lazard Retirement U.S. Small-Mid Cap Equity Portfolio LVIP JPMorgan Core Bond Fund





 Investment Income:



    Dividends Reinvested in Fund Shares $ 35 
$ 7 
$ — 
$ 446 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 22 
1 
15 
167 
         Investment Income (Loss), Net 13 
6 
(15)
279 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
1 
180 
— 
    Realized Gains (Losses) on Sales of Investments, Net (46)
(19)
15 
76 
         Realized Gains (Losses) on Investments, Net (46)
(18)
195 
76 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 49 
29 
328 
(337)
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 3 
11 
523 
(261)
         Net Increase (Decrease) in Net Assets From Operations $ 16 
$ 17 
$ 508 
$ 18 
See accompanying notes to financial statements
Page 18 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














Macquarie VIP Asset Strategy Series Macquarie VIP Energy Series Macquarie VIP Growth Series Macquarie VIP Mid Cap Growth Series





 Investment Income:



    Dividends Reinvested in Fund Shares $ 21 
$ 2 
$ — 
$ — 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 3 
— 
2 
2 
         Investment Income (Loss), Net 18 
2 
(2)
(2)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 42 
— 
76 
21 
    Realized Gains (Losses) on Sales of Investments, Net (1)
(1)
1 
(18)
         Realized Gains (Losses) on Investments, Net 41 
(1)
77 
3 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 61 
(5)
50 
12 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 102 
(6)
127 
15 
         Net Increase (Decrease) in Net Assets From Operations $ 120 
$ (4)
$ 125 
$ 13 

















Macquarie VIP Natural Resources Series Macquarie VIP Science and Technology Series MFS International Intrinsic Value Portfolio MFS VIT Total Return Bond Portfolio





 Investment Income:



    Dividends Reinvested in Fund Shares $ 5 
$ — 
$ 17 
$ 712 





 Expenses:



    Mortality and Expense Risk and Administrative Charges — 
2 
5 
249 
         Investment Income (Loss), Net 5 
(2)
12 
463 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
24 
68 
— 
    Realized Gains (Losses) on Sales of Investments, Net — 
(2)
85 
(346)
         Realized Gains (Losses) on Investments, Net — 
22 
153 
(346)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments (6)
183 
(58)
9 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments (6)
205 
95 
(337)
         Net Increase (Decrease) in Net Assets From Operations $ (1)
$ 203 
$ 107 
$ 126 
See accompanying notes to financial statements
Page 19 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














MFS VIT Utilities Portfolio PIMCO VIT Balanced Allocation Portfolio PIMCO VIT CommodityRealReturn Strategy Portfolio PIMCO VIT Emerging Markets Bond Portfolio





 Investment Income:



    Dividends Reinvested in Fund Shares $ 4 
$ 6,148 
$ 616 
$ 3,156 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 1 
2,266 
628 
933 
         Investment Income (Loss), Net 3 
3,882 
(12)
2,223 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 6 
— 
— 
— 
    Realized Gains (Losses) on Sales of Investments, Net — 
(1,371)
(3,207)
(1,820)
         Realized Gains (Losses) on Investments, Net 6 
(1,371)
(3,207)
(1,820)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 11 
7,416 
3,809 
2,248 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 17 
6,045 
602 
428 
         Net Increase (Decrease) in Net Assets From Operations $ 20 
$ 9,927 
$ 590 
$ 2,651 

















PIMCO VIT Global Core Bond (Hedged) Portfolio PIMCO VIT High Yield Portfolio PIMCO VIT Long-Term U.S. Government Portfolio PIMCO VIT Low Duration Portfolio





 Investment Income:



    Dividends Reinvested in Fund Shares $ 2,839 
$ 15,372 
$ 58 
$ 234 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 1,375 
4,407 
37 
18 
         Investment Income (Loss), Net 1,464 
10,965 
21 
216 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
— 
— 
— 
    Realized Gains (Losses) on Sales of Investments, Net (1,450)
(3,936)
(304)
(27)
         Realized Gains (Losses) on Investments, Net (1,450)
(3,936)
(304)
(27)
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 1,267 
6,018 
74 
51 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments (183)
2,082 
(230)
24 
         Net Increase (Decrease) in Net Assets From Operations $ 1,281 
$ 13,047 
$ (209)
$ 240 
See accompanying notes to financial statements
Page 20 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the year or period ended December 31, 2024
(In thousands)














PIMCO VIT Real Return Portfolio PIMCO VIT StocksPLUS Global Portfolio PIMCO VIT Total Return Portfolio T. Rowe Price Blue Chip Growth Portfolio





 Investment Income:



    Dividends Reinvested in Fund Shares $ 3,885 
$ 8,866 
$ 21,207 
$ — 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 2,609 
3,588 
9,160 
12 
         Investment Income (Loss), Net 1,276 
5,278 
12,047 
(12)
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds — 
— 
— 
184 
    Realized Gains (Losses) on Sales of Investments, Net (3,592)
(2,192)
(19,176)
223 
         Realized Gains (Losses) on Investments, Net (3,592)
(2,192)
(19,176)
407 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 2,924 
15,435 
11,184 
812 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments (668)
13,243 
(7,992)
1,219 
         Net Increase (Decrease) in Net Assets From Operations $ 608 
$ 18,521 
$ 4,055 
$ 1,207 

















T. Rowe Price Equity Income Portfolio T. Rowe Price Health Sciences Portfolio Templeton Global Bond VIP Fund Total All Funds





 Investment Income:



    Dividends Reinvested in Fund Shares $ 19 
$ — 
$ — 
$ 325,008 





 Expenses:



    Mortality and Expense Risk and Administrative Charges 4 
2 
4,055 
266,234 
         Investment Income (Loss), Net 15 
(2)
(4,055)
58,774 
    Realized Gains (Losses) and Unrealized



      Appreciation (Depreciation) on Investments:



    Realized Capital Gain Distributions on Funds 69 
50 
— 
482,885 
    Realized Gains (Losses) on Sales of Investments, Net 13 
24 
(14,928)
116,451 
         Realized Gains (Losses) on Investments, Net 82 
74 
(14,928)
599,336 
    Net Change in Unrealized Appreciation



      (Depreciation) on Investments 34 
(63)
(13,883)
644,130 
         Total Realized Gains (Losses) & Changes in



           Appreciation (Depreciation) on Investments 116 
11 
(28,811)
1,243,466 
         Net Increase (Decrease) in Net Assets From Operations $ 131 
$ 9 
$ (32,866)
$ 1,302,240 

See accompanying notes to financial statements
Page 21 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL Balanced Index Strategy Fund AZL DFA Five-Year Global Fixed Income Fund

2024 2023 2024 2023 (A)
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (1,761)
$ (487)
$ — 
$ 43 
Realized Gains (Losses) on Investments, Net 8,417 
15,141 
— 
(1,474)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 12,837 
18,878 
— 
1,354 
                Net Increase (Decrease) in Net Assets From Operations 19,493 
33,532 
— 
(77)
 Contract Transactions-All Products



    Purchase Payments 216 
143 
— 
1 
    Transfers Between Funds or (to) from General Account 3,741 
8,159 
— 
(8,995)
    Surrenders and Terminations (35,199)
(34,782)
— 
(818)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
1 
— 
— 
    Contract Maintenance Charge (57)
(63)
— 
— 
    Rider charge (2,275)
(2,400)
— 
(10)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (33,574)
(28,942)
— 
(9,822)
             Increase (Decrease) in Net Assets (14,081)
4,590 
— 
(9,899)
 Net Assets at Beginning of Period 324,659 
320,069 
— 
9,899 
 Net Assets at End of Period $ 310,578 
$ 324,659 
$ — 
$ — 
 Changes in Units



      Issued 222 
529 
— 
— 
      Redeemed (1,987)
(2,193)
— 
(1,146)
      Net Increase (Decrease) (1,765)
(1,664)
— 
(1,146)
















AZL DFA Multi-Strategy Fund AZL Enhanced Bond Index Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (3,429)
$ 6,071 
$ 572 
$ 34 
Realized Gains (Losses) on Investments, Net (7,212)
44,811 
(375)
(816)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 53,931 
17,399 
(244)
1,569 
                Net Increase (Decrease) in Net Assets From Operations 43,290 
68,281 
(47)
787 
 Contract Transactions-All Products



    Purchase Payments 344 
542 
9 
10 
    Transfers Between Funds or (to) from General Account (5,219)
(2,910)
1,757 
11,469 
    Surrenders and Terminations (84,638)
(61,880)
(4.324)
(4,948)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) 1 
8 
— 
— 
    Contract Maintenance Charge (111)
(124)
(4)
(4)
    Rider charge (8,476)
(8,885)
(242)
(280)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (98,099)
(73,249)
(2,804)
6,247 
             Increase (Decrease) in Net Assets (54,809)
(4,968)
(2,851)
7,034 
 Net Assets at Beginning of Period 652,595 
657,563 
24,705 
17,671 
 Net Assets at End of Period $ 597,786 
$ 652,595 
$ 21,854 
$ 24,705 
 Changes in Units



      Issued 14 
26 
164 
1,143 
      Redeemed (4,297)
(3,588)
(421)
(504)
      Net Increase (Decrease) (4,283)
(3,562)
(257)
639 
See accompanying notes to financial statements
Page 22 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1 AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 2,141 
$ 1,234 
$ 5,147 
$ (1,595)
Realized Gains (Losses) on Investments, Net (890)
(2,100)
6,047 
(19,833)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 6,214 
10,219 
81,542 
139,359 
                Net Increase (Decrease) in Net Assets From Operations 7,465 
9,353 
92,736 
117,931 
 Contract Transactions-All Products



    Purchase Payments 81 
108 
890 
1,064 
    Transfers Between Funds or (to) from General Account (183)
(417)
(6,561)
49,328 
    Surrenders and Terminations (10,537)
(8,825)
(158,666)
(119,146)
    Rescissions — 
— 
(5)
(5)
    Bonus (Recapture) — 
— 
10 
7 
    Contract Maintenance Charge (21)
(24)
(233)
(259)
    Rider charge — 
— 
(12,387)
(13,186)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (10,660)
(9,158)
(176,952)
(82,197)
             Increase (Decrease) in Net Assets (3,195)
195 
(84,216)
35,734 
 Net Assets at Beginning of Period 79,394 
79,199 
1,056,954 
1,021,220 
 Net Assets at End of Period $ 76,199 
$ 79,394 
$ 972,738 
$ 1,056,954 
 Changes in Units



      Issued 9 
12 
47 
3,072 
      Redeemed (1,006)
(986)
(8,861)
(7,526)
      Net Increase (Decrease) (997)
(974)
(8,814)
(4,454)
















AZL Fidelity Institutional Asset Management Total Bond Fund Class 1 AZL Fidelity Institutional Asset Management Total Bond Fund Class 2

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 655 
$ 743 
$ 3,925 
$ 5,615 
Realized Gains (Losses) on Investments, Net (260)
(431)
(3,722)
(4,093)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (311)
495 
(367)
3,964 
                Net Increase (Decrease) in Net Assets From Operations 84 
807 
(164)
5,486 
 Contract Transactions-All Products



    Purchase Payments 18 
24 
93 
30 
    Transfers Between Funds or (to) from General Account 319 
1,598 
3,051 
35,504 
    Surrenders and Terminations (1,347)
(2,050)
(20,110)
(21,492)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
1 
— 
    Contract Maintenance Charge (4)
(5)
(31)
(35)
    Rider charge — 
— 
(1,112)
(1,260)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (1,014)
(433)
(18,108)
12,747 
             Increase (Decrease) in Net Assets (930)
374 
(18,272)
18,233 
 Net Assets at Beginning of Period 15,282 
14,908 
129,733 
111,500 
 Net Assets at End of Period $ 14,352 
$ 15,282 
$ 111,461 
$ 129,733 
 Changes in Units



      Issued 50 
174 
303 
3,550 
      Redeemed (173)
(223)
(2,099)
(2,307)
      Net Increase (Decrease) (123)
(49)
(1,796)
1,243 
See accompanying notes to financial statements
Page 23 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL Gateway Fund AZL Government Money Market Fund

2024 2023 (A) 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ — 
$ 224 
$ 13,379 
$ 12,653 
Realized Gains (Losses) on Investments, Net — 
6,784 
— 
— 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments — 
(5,204)
— 
— 
                Net Increase (Decrease) in Net Assets From Operations — 
1,804 
13,379 
12,653 
 Contract Transactions-All Products



    Purchase Payments — 
4 
8,152,233 
4,236,180 
    Transfers Between Funds or (to) from General Account — 
(55,492)
(8,011,896)
(4,100,979)
    Surrenders and Terminations — 
(871)
(146,550)
(149,957)
    Rescissions — 
— 
(850)
(7,083)
    Bonus (Recapture) — 
— 
27 
10 
    Contract Maintenance Charge — 
(2)
(769)
(329)
    Rider charge — 
(119)
(2,403)
(3,147)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions — 
(56,480)
(10,208)
(25,305)
             Increase (Decrease) in Net Assets — 
(54,676)
3,171 
(12,652)
 Net Assets at Beginning of Period — 
54,676 
454,197 
466,849 
 Net Assets at End of Period $ — 
$ — 
$ 457,368 
$ 454,197 
 Changes in Units



      Issued — 
— 
579,326 
315,878 
      Redeemed — 
(4,348)
(581,835)
(319,720)
      Net Increase (Decrease) — 
(4,348)
(2,509)
(3,842)
















AZL International Index Fund Class 1 AZL International Index Fund Class 2

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 2,458 
$ 2,191 
$ 1,488 
$ 1,133 
Realized Gains (Losses) on Investments, Net 2,411 
518 
13,724 
6,668 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (3,333)
9,094 
(11,652)
36,514 
                Net Increase (Decrease) in Net Assets From Operations 1,536 
11,803 
3,560 
44,315 
 Contract Transactions-All Products



    Purchase Payments 10 
226 
338 
366 
    Transfers Between Funds or (to) from General Account (173)
9,543 
7,484 
58,607 
    Surrenders and Terminations (8,666)
(7,798)
(46,674)
(41,114)
    Rescissions — 
— 
(2)
— 
    Bonus (Recapture) — 
— 
— 
2 
    Contract Maintenance Charge (28)
(29)
(60)
(68)
    Rider charge — 
— 
(86)
(140)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (8,857)
1,942 
(39,000)
17,653 
             Increase (Decrease) in Net Assets (7,321)
13,745 
(35,440)
61,968 
 Net Assets at Beginning of Period 85,326 
71,581 
338,955 
276,987 
 Net Assets at End of Period $ 78,005 
$ 85,326 
$ 303,515 
$ 338,955 
 Changes in Units



      Issued 6 
946 
599 
4,744 
      Redeemed (614)
(624)
(3,375)
(3,271)
      Net Increase (Decrease) (608)
322 
(2,776)
1,473 
See accompanying notes to financial statements
Page 24 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL MetWest Total Return Bond Fund AZL Mid Cap Index Fund Class 1

2024 2023 (A) 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ — 
$ 650 
$ 250 
$ 2,912 
Realized Gains (Losses) on Investments, Net — 
(5,251)
(303)
7,515 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments — 
4,549 
5,025 
(4,838)
                Net Increase (Decrease) in Net Assets From Operations — 
(52)
4,972 
5,589 
 Contract Transactions-All Products



    Purchase Payments — 
— 
68 
36 
    Transfers Between Funds or (to) from General Account — 
(20,149)
126 
(237)
    Surrenders and Terminations — 
(304)
(4,230)
(3,735)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
(1)
(10)
(11)
    Rider charge — 
(60)
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions — 
(20,514)
(4,046)
(3,947)
             Increase (Decrease) in Net Assets — 
(20,566)
926 
1,642 
 Net Assets at Beginning of Period — 
20,566 
42,872 
41,230 
 Net Assets at End of Period $ — 
$ — 
$ 43,798 
$ 42,872 
 Changes in Units



      Issued — 
— 
45 
30 
      Redeemed — 
(2,217)
(256)
(342)
      Net Increase (Decrease) — 
(2,217)
(211)
(312)
















AZL Mid Cap Index Fund Class 2 AZL Moderate Index Strategy Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (1,339)
$ (3,770)
$ (6,186)
$ 256 
Realized Gains (Losses) on Investments, Net 30,979 
8,583 
(17,216)
63,747 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (18)
30,652 
122,976 
94,401 
                Net Increase (Decrease) in Net Assets From Operations 29,622 
35,465 
99,574 
158,404 
 Contract Transactions-All Products



    Purchase Payments 34 
279 
937 
941 
    Transfers Between Funds or (to) from General Account (5,270)
(2,240)
(16,527)
(19,746)
    Surrenders and Terminations (40,152)
(34,639)
(168,886)
(129,169)
    Rescissions (1)
— 
(2)
(7)
    Bonus (Recapture) — 
10 
2 
7 
    Contract Maintenance Charge (42)
(51)
(279)
(310)
    Rider charge (104)
(186)
(16,758)
(17,484)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (45,535)
(36,827)
(201,513)
(165,768)
             Increase (Decrease) in Net Assets (15,913)
(1,362)
(101,939)
(7,364)
 Net Assets at Beginning of Period 283,553 
284,915 
1,335,346 
1,342,710 
 Net Assets at End of Period $ 267,640 
$ 283,553 
$ 1,233,407 
$ 1,335,346 
 Changes in Units



      Issued 7 
15 
43 
48 
      Redeemed (1,505)
(1,378)
(7,938)
(7,331)
      Net Increase (Decrease) (1,498)
(1,363)
(7,895)
(7,283)
See accompanying notes to financial statements
Page 25 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL MSCI Emerging Markets Equity Index Class 1 AZL MSCI Emerging Markets Equity Index Class 2

2024 2023 (A) 2024 2023 (A)
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ — 
$ 461 
$ — 
$ 2,405 
Realized Gains (Losses) on Investments, Net — 
946 
— 
(10,355)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments — 
(1,100)
— 
9,733 
                Net Increase (Decrease) in Net Assets From Operations — 
307 
— 
1,783 
 Contract Transactions-All Products



    Purchase Payments — 
5 
— 
3 
    Transfers Between Funds or (to) from General Account — 
(10,358)
— 
(62,104)
    Surrenders and Terminations — 
(349)
— 
(1,624)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
(1)
— 
(3)
    Rider charge — 
— 
— 
(6)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions — 
(10,703)
— 
(63,734)
             Increase (Decrease) in Net Assets — 
(10,396)
— 
(61,951)
 Net Assets at Beginning of Period — 
10,396 
— 
61,951 
 Net Assets at End of Period $ — 
$ — 
$ — 
$ — 
 Changes in Units



      Issued — 
4 
— 
— 
      Redeemed — 
(1,217)
— 
(6,466)
      Net Increase (Decrease) — 
(1,213)
— 
(6,466)
















AZL MSCI Global Equity Index Fund Class 1 AZL MSCI Global Equity Index Fund Class 2

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 639 
$ 493 
$ (781)
$ (890)
Realized Gains (Losses) on Investments, Net 48 
(675)
2,804 
(2,737)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 5,860 
7,884 
14,125 
23,910 
                Net Increase (Decrease) in Net Assets From Operations 6,547 
7,702 
16,148 
20,283 
 Contract Transactions-All Products



    Purchase Payments 116 
91 
134 
10 
    Transfers Between Funds or (to) from General Account (224)
(430)
433 
(766)
    Surrenders and Terminations (4,162)
(3,354)
(17,407)
(17,555)
    Rescissions — 
— 
(1)
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge (13)
(14)
(30)
(32)
    Rider charge — 
— 
(30)
(54)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (4,283)
(3,707)
(16,901)
(18,397)
             Increase (Decrease) in Net Assets 2,264 
3,995 
(753)
1,886 
 Net Assets at Beginning of Period 40,784 
36,789 
109,136 
107,250 
 Net Assets at End of Period $ 43,048 
$ 40,784 
$ 108,383 
$ 109,136 
 Changes in Units



      Issued 11 
10 
18 
1 
      Redeemed (372)
(384)
(737)
(924)
      Net Increase (Decrease) (361)
(374)
(719)
(923)
See accompanying notes to financial statements
Page 26 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL MVP Balanced Index Strategy Fund AZL MVP DFA Multi-Strategy Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (1,126)
$ (6,714)
$ (1,574)
$ (15,737)
Realized Gains (Losses) on Investments, Net 39,577 
6,182 
69,530 
5,961 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 5,191 
68,237 
22,159 
131,237 
                Net Increase (Decrease) in Net Assets From Operations 43,642 
67,705 
90,115 
121,461 
 Contract Transactions-All Products



    Purchase Payments 577 
1,255 
1,524 
1,590 
    Transfers Between Funds or (to) from General Account 1,416 
527,182 
(7,368)
1,194,536 
    Surrenders and Terminations (98,659)
(79,205)
(168,806)
(113,283)
    Rescissions (1)
(4)
(1)
(23)
    Bonus (Recapture) 4 
2 
13 
18 
    Contract Maintenance Charge (177)
(167)
(306)
(268)
    Rider charge (8,909)
(8,246)
(18,467)
(15,844)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (105,749)
440,817 
(193,411)
1,066,726 
             Increase (Decrease) in Net Assets (62,107)
508,522 
(103,296)
1,188,187 
 Net Assets at Beginning of Period 716,630 
208,108 
1,258,569 
70,382 
 Net Assets at End of Period $ 654,523 
$ 716,630 
$ 1,155,273 
$ 1,258,569 
 Changes in Units



      Issued 128 
37,526 
113 
102,562 
      Redeemed (6,583)
(5,900)
(13,963)
(10,761)
      Net Increase (Decrease) (6,455)
31,626 
(13,850)
91,801 
















AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund AZL MVP Fusion Balanced Fund

2024 2023 2024 2023 (A)
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 852 
$ 155 
$ — 
$ 17,794 
Realized Gains (Losses) on Investments, Net 7,540 
335 
— 
(108,927)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 17,368 
29,032 
— 
99,814 
                Net Increase (Decrease) in Net Assets From Operations 25,760 
29,522 
— 
8,681 
 Contract Transactions-All Products



    Purchase Payments 200 
315 
— 
15 
    Transfers Between Funds or (to) from General Account (1,195)
154,616 
— 
(522,444)
    Surrenders and Terminations (50,800)
(46,021)
— 
(14,148)
    Rescissions (1)
(5)
— 
(1)
    Bonus (Recapture) 3 
1 
— 
(5)
    Contract Maintenance Charge (69)
(69)
— 
(33)
    Rider charge (4,315)
(4,356)
— 
(1,274)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (56,177)
104,481 
— 
(537,890)
             Increase (Decrease) in Net Assets (30,417)
134,003 
— 
(529,209)
 Net Assets at Beginning of Period 292,166 
158,163 
— 
529,209 
 Net Assets at End of Period $ 261,749 
$ 292,166 
$ — 
$ — 
 Changes in Units



      Issued 13 
13,160 
— 
4 
      Redeemed (3,747)
(3,934)
— 
(35,987)
      Net Increase (Decrease) (3,734)
9,226 
— 
(35,983)
See accompanying notes to financial statements
Page 27 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL MVP Fusion Conservative Fund AZL MVP Fusion Moderate Fund

2024 2023 (A) 2024 2023 (A)
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ — 
$ 4,670 
$ — 
$ 43,200 
Realized Gains (Losses) on Investments, Net — 
(30,689)
— 
(208,528)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments — 
28,003 
— 
190,703 
                Net Increase (Decrease) in Net Assets From Operations — 
1,984 
— 
25,375 
 Contract Transactions-All Products



    Purchase Payments — 
62 
— 
420 
    Transfers Between Funds or (to) from General Account — 
(152,905)
— 
(1,201,553)
    Surrenders and Terminations — 
(3,513)
— 
(29,351)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
1 
— 
— 
    Contract Maintenance Charge — 
(8)
— 
(71)
    Rider charge — 
(468)
— 
(3,609)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions — 
(156,831)
— 
(1,234,164)
             Increase (Decrease) in Net Assets — 
(154,847)
— 
(1,208,789)
 Net Assets at Beginning of Period — 
154,847 
— 
1,208,789 
 Net Assets at End of Period $ — 
$ — 
$ — 
$ — 
 Changes in Units



      Issued — 
4 
— 
26 
      Redeemed — 
(11,401)
— 
(80,264)
      Net Increase (Decrease) — 
(11,397)
— 
(80,238)
















AZL MVP Global Balanced Index Strategy Fund AZL MVP Growth Index Strategy Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 549 
$ 11,375 
$ (3,352)
$ 4,481 
Realized Gains (Losses) on Investments, Net (2,753)
(9,701)
94,484 
17,745 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 34,788 
49,610 
73,636 
213,124 
                Net Increase (Decrease) in Net Assets From Operations 32,584 
51,284 
164,768 
235,350 
 Contract Transactions-All Products



    Purchase Payments 404 
608 
2,827 
4,881 
    Transfers Between Funds or (to) from General Account (4,433)
(5,347)
(9,285)
2,938 
    Surrenders and Terminations (68,860)
(48,956)
(284,997)
(215,624)
    Rescissions (3)
(3)
(18)
(34)
    Bonus (Recapture) 8 
4 
13 
18 
    Contract Maintenance Charge (88)
(101)
(279)
(317)
    Rider charge (7,432)
(8,127)
(19,437)
(20,800)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (80,404)
(61,922)
(311,176)
(228,938)
             Increase (Decrease) in Net Assets (47,820)
(10,638)
(146,408)
6,412 
 Net Assets at Beginning of Period 442,420 
453,058 
1,716,258 
1,709,846 
 Net Assets at End of Period $ 394,600 
$ 442,420 
$ 1,569,850 
$ 1,716,258 
 Changes in Units



      Issued 28 
44 
130 
512 
      Redeemed (5,328)
(4,619)
(14,918)
(13,014)
      Net Increase (Decrease) (5,300)
(4,575)
(14,788)
(12,502)
See accompanying notes to financial statements
Page 28 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL MVP Moderate Index Strategy Fund AZL MVP T. Rowe Price Capital Appreciation Plus Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 340 
$ 1,492 
$ 31,779 
$ 64,253 
Realized Gains (Losses) on Investments, Net 12,013 
(537)
49,860 
(333)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 13,054 
39,503 
26,267 
80,830 
                Net Increase (Decrease) in Net Assets From Operations 25,407 
40,458 
107,906 
144,750 
 Contract Transactions-All Products



    Purchase Payments 405 
437 
1,363 
2,443 
    Transfers Between Funds or (to) from General Account (3,204)
(2,353)
6,967 
(8,317)
    Surrenders and Terminations (57,516)
(44,955)
(177,135)
(118,415)
    Rescissions (1)
(1)
(27)
(5)
    Bonus (Recapture) 4 
4 
7 
12 
    Contract Maintenance Charge (56)
(66)
(128)
(147)
    Rider charge (5,041)
(5,572)
(16,955)
(18,045)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (65,409)
(52,506)
(185,908)
(142,474)
             Increase (Decrease) in Net Assets (40,002)
(12,048)
(78,002)
2,276 
 Net Assets at Beginning of Period 329,036 
341,084 
999,694 
997,418 
 Net Assets at End of Period $ 289,034 
$ 329,036 
$ 921,692 
$ 999,694 
 Changes in Units



      Issued 20 
24 
448 
142 
      Redeemed (3,381)
(3,052)
(9,670)
(8,309)
      Net Increase (Decrease) (3,361)
(3,028)
(9,222)
(8,167)
















AZL Russell 1000 Growth Index Fund Class 1 AZL Russell 1000 Growth Index Fund Class 2

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (356)
$ (7)
$ (9,544)
$ (7,673)
Realized Gains (Losses) on Investments, Net 32,954 
5,446 
155,595 
34,818 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (15,252)
12,679 
(14,171)
121,986 
                Net Increase (Decrease) in Net Assets From Operations 17,346 
18,118 
131,880 
149,131 
 Contract Transactions-All Products



    Purchase Payments 231 
106 
364 
362 
    Transfers Between Funds or (to) from General Account (349)
(343)
(14,422)
(18,938)
    Surrenders and Terminations (6,663)
(5,958)
(71,502)
(53,544)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
10 
    Contract Maintenance Charge (13)
(11)
(72)
(77)
    Rider charge — 
— 
(121)
(199)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (6,794)
(6,206)
(85,753)
(72,386)
             Increase (Decrease) in Net Assets 10,552 
11,912 
46,127 
76,745 
 Net Assets at Beginning of Period 58,701 
46,789 
479,779 
403,034 
 Net Assets at End of Period $ 69,253 
$ 58,701 
$ 525,906 
$ 479,779 
 Changes in Units



      Issued 71 
58 
15 
21 
      Redeemed (326)
(415)
(1,665)
(1,912)
      Net Increase (Decrease) (255)
(357)
(1,650)
(1,891)
See accompanying notes to financial statements
Page 29 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL Russell 1000 Value Index Fund Class 1 AZL Russell 1000 Value Index Fund Class 2

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 2,030 
$ 3,373 
$ (2,606)
$ (119)
Realized Gains (Losses) on Investments, Net 7,991 
9,784 
23,581 
21,163 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 8,814 
1,897 
29,383 
19,368 
                Net Increase (Decrease) in Net Assets From Operations 18,835 
15,054 
50,358 
40,412 
 Contract Transactions-All Products



    Purchase Payments 288 
249 
357 
363 
    Transfers Between Funds or (to) from General Account (667)
(1,350)
3,003 
3,262 
    Surrenders and Terminations (20,862)
(16,726)
(68,829)
(61,647)
    Rescissions — 
— 
(1)
— 
    Bonus (Recapture) — 
— 
— 
4 
    Contract Maintenance Charge (37)
(41)
(91)
(105)
    Rider charge — 
— 
(104)
(173)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (21,278)
(17,868)
(65,665)
(58,296)
             Increase (Decrease) in Net Assets (2,443)
(2,814)
(15,307)
(17,884)
 Net Assets at Beginning of Period 161,258 
164,072 
464,516 
482,400 
 Net Assets at End of Period $ 158,815 
$ 161,258 
$ 449,209 
$ 464,516 
 Changes in Units



      Issued 200 
194 
171 
295 
      Redeemed (1,570)
(1,558)
(2,707)
(2,773)
      Net Increase (Decrease) (1,370)
(1,364)
(2,536)
(2,478)
















AZL S&P 500 Index Fund AZL Small Cap Stock Index Fund Class 1

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (7,055)
$ (5,173)
$ 233 
$ 69 
Realized Gains (Losses) on Investments, Net 80,236 
50,223 
1,533 
1,880 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 71,258 
95,432 
222 
2,290 
                Net Increase (Decrease) in Net Assets From Operations 144,439 
140,482 
1,988 
4,239 
 Contract Transactions-All Products



    Purchase Payments 114 
298 
30 
7 
    Transfers Between Funds or (to) from General Account (11,516)
(5,837)
(76)
(123)
    Surrenders and Terminations (99,130)
(85,134)
(4,254)
(3,301)
    Rescissions (4)
— 
— 
— 
    Bonus (Recapture) — 
2 
— 
— 
    Contract Maintenance Charge (109)
(119)
(6)
(7)
    Rider charge (156)
(269)
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (110,801)
(91,059)
(4,306)
(3,424)
             Increase (Decrease) in Net Assets 33,638 
49,423 
(2,318)
815 
 Net Assets at Beginning of Period 700,589 
651,166 
34,606 
33,791 
 Net Assets at End of Period $ 734,227 
$ 700,589 
$ 32,288 
$ 34,606 
 Changes in Units



      Issued 16 
31 
25 
6 
      Redeemed (3,454)
(3,479)
(263)
(231)
      Net Increase (Decrease) (3,438)
(3,448)
(238)
(225)
See accompanying notes to financial statements
Page 30 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














AZL Small Cap Stock Index Fund Class 2 AZL T. Rowe Price Capital Appreciation Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (2,775)
$ (3,462)
$ (15)
$ (4,139)
Realized Gains (Losses) on Investments, Net 16,366 
13,737 
12,098 
61,267 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 3,864 
28,632 
34,851 
14,914 
                Net Increase (Decrease) in Net Assets From Operations 17,455 
38,907 
46,934 
72,042 
 Contract Transactions-All Products



    Purchase Payments 202 
283 
540 
324 
    Transfers Between Funds or (to) from General Account 391 
4,409 
10,928 
7,462 
    Surrenders and Terminations (44,569)
(35,866)
(70,913)
(56,327)
    Rescissions (1)
— 
— 
— 
    Bonus (Recapture) — 
3 
1 
2 
    Contract Maintenance Charge (48)
(57)
(70)
(79)
    Rider charge (83)
(93)
(50)
(84)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (44,108)
(31,321)
(59,564)
(48,702)
             Increase (Decrease) in Net Assets (26,653)
7,586 
(12,630)
23,340 
 Net Assets at Beginning of Period 332,838 
325,252 
502,283 
478,943 
 Net Assets at End of Period $ 306,185 
$ 332,838 
$ 489,653 
$ 502,283 
 Changes in Units



      Issued 15 
264 
437 
438 
      Redeemed (1,749)
(1,579)
(2,410)
(2,168)
      Net Increase (Decrease) (1,734)
(1,315)
(1,973)
(1,730)
















BlackRock Equity Dividend V.I. Fund ClearBridge Variable Growth Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 28 
$ 20 
$ (1)
$ (2)
Realized Gains (Losses) on Investments, Net 115 
39 
(88)
48 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (20)
79 
146 
119 
                Net Increase (Decrease) in Net Assets From Operations 123 
138 
57 
165 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account 88 
11 
15 
(23)
    Surrenders and Terminations (155)
(204)
(345)
(28)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (67)
(193)
(330)
(51)
             Increase (Decrease) in Net Assets 56 
(55)
(273)
114 
 Net Assets at Beginning of Period 1,304 
1,359 
842 
728 
 Net Assets at End of Period $ 1,360 
$ 1,304 
$ 569 
$ 842 
 Changes in Units



      Issued 2 
— 
— 
— 
      Redeemed (3)
(7)
(11)
(2)
      Net Increase (Decrease) (1)
(7)
(11)
(2)
See accompanying notes to financial statements
Page 31 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














Columbia Variable Portfolio – Seligman Global Technology Fund Davis VA Financial Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (22)
$ (18)
$ (132)
$ (18)
Realized Gains (Losses) on Investments, Net 182 
58 
4,234 
1,336 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 128 
334 
3,868 
2,456 
                Net Increase (Decrease) in Net Assets From Operations 288 
374 
7,970 
3,774 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
19 
    Transfers Between Funds or (to) from General Account — 
— 
(1,407)
288 
    Surrenders and Terminations (272)
(70)
(4,816)
(3,378)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
(5)
(6)
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (272)
(70)
(6,228)
(3,077)
             Increase (Decrease) in Net Assets 16 
304 
1,742 
697 
 Net Assets at Beginning of Period 1,210 
906 
32,598 
31,901 
 Net Assets at End of Period $ 1,226 
$ 1,210 
$ 34,340 
$ 32,598 
 Changes in Units



      Issued — 
— 
— 
15 
      Redeemed (5)
(1)
(190)
(128)
      Net Increase (Decrease) (5)
(1)
(190)
(113)
















Davis VA Real Estate Portfolio Eaton Vance VT Floating-Rate Income Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 1 
$ 1 
$ 92 
$ 93 
Realized Gains (Losses) on Investments, Net 6 
1 
(9)
(4)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (1)
13 
3 
32 
                Net Increase (Decrease) in Net Assets From Operations 6 
15 
86 
121 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account — 
— 
32 
(3)
    Surrenders and Terminations (10)
(13)
(88)
(33)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (10)
(13)
(56)
(36)
             Increase (Decrease) in Net Assets (4)
2 
30 
85 
 Net Assets at Beginning of Period 186 
184 
1,221 
1,136 
 Net Assets at End of Period $ 182 
$ 186 
$ 1,251 
$ 1,221 
 Changes in Units



      Issued — 
— 
2 
— 
      Redeemed — 
— 
(5)
(2)
      Net Increase (Decrease) — 
— 
(3)
(2)
See accompanying notes to financial statements
Page 32 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














Fidelity VIP Emerging Markets Portfolio Fidelity VIP Mid Cap Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 13 
$ 30 
$ — 
$ — 
Realized Gains (Losses) on Investments, Net (6)
(24)
83 
11 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 145 
147 
3 
62 
                Net Increase (Decrease) in Net Assets From Operations 152 
153 
86 
73 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account (149)
(44)
(25)
(5)
    Surrenders and Terminations (301)
(86)
(10)
(90)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (450)
(130)
(35)
(95)
             Increase (Decrease) in Net Assets (298)
23 
51 
(22)
 Net Assets at Beginning of Period 1,755 
1,732 
540 
562 
 Net Assets at End of Period $ 1,457 
$ 1,755 
$ 591 
$ 540 
 Changes in Units



      Issued — 
— 
— 
— 
      Redeemed (29)
(9)
(1)
(1)
      Net Increase (Decrease) (29)
(9)
(1)
(1)
















Fidelity VIP Strategic Income Portfolio Franklin Rising Dividends VIP Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 41 
$ 54 
$ (1,199)
$ (1,346)
Realized Gains (Losses) on Investments, Net (14)
(31)
15,023 
23,346 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 45 
94 
1,858 
(4,261)
                Net Increase (Decrease) in Net Assets From Operations 72 
117 
15,682 
17,739 
 Contract Transactions-All Products



    Purchase Payments — 
— 
101 
207 
    Transfers Between Funds or (to) from General Account 71 
(19)
752 
270 
    Surrenders and Terminations (249)
(164)
(27,149)
(22,184)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
(31)
(36)
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (178)
(183)
(26,327)
(21,743)
             Increase (Decrease) in Net Assets (106)
(66)
(10,645)
(4,004)
 Net Assets at Beginning of Period 1,386 
1,452 
182,196 
186,200 
 Net Assets at End of Period $ 1,280 
$ 1,386 
$ 171,551 
$ 182,196 
 Changes in Units



      Issued 3 
— 
52 
44 
      Redeemed (11)
(8)
(290)
(295)
      Net Increase (Decrease) (8)
(8)
(238)
(251)
See accompanying notes to financial statements
Page 33 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














Franklin U.S. Government Securities VIP Fund Invesco Oppenheimer V.I. International Growth Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 1,317 
$ 1,137 
$ — 
$ — 
Realized Gains (Losses) on Investments, Net (4,001)
(4,690)
19 
(50)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 2,248 
6,379 
(27)
238 
                Net Increase (Decrease) in Net Assets From Operations (436)
2,826 
(8)
188 
 Contract Transactions-All Products



    Purchase Payments 91 
86 
— 
— 
    Transfers Between Funds or (to) from General Account 3,798 
3,581 
(41)
(11)
    Surrenders and Terminations (17,972)
(16,905)
(205)
(192)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
1 
— 
— 
    Contract Maintenance Charge (42)
(46)
— 
— 
    Rider charge (684)
(782)
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (14,809)
(14,065)
(246)
(203)
             Increase (Decrease) in Net Assets (15,245)
(11,239)
(254)
(15)
 Net Assets at Beginning of Period 108,328 
119,567 
983 
998 
 Net Assets at End of Period $ 93,083 
$ 108,328 
$ 729 
$ 983 
 Changes in Units



      Issued 172 
152 
— 
— 
      Redeemed (778)
(765)
(7)
(7)
      Net Increase (Decrease) (606)
(613)
(7)
(7)
















Invesco V.I. American Value Fund Invesco V.I. Balanced-Risk Allocation Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 1 
$ — 
$ 11 
$ (1)
Realized Gains (Losses) on Investments, Net 26 
67 
(13)
(26)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 62 
(22)
3 
39 
                Net Increase (Decrease) in Net Assets From Operations 89 
45 
1 
12 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account (7)
— 
50 
4 
    Surrenders and Terminations (182)
(24)
(38)
(81)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (189)
(24)
12 
(77)
             Increase (Decrease) in Net Assets (100)
21 
13 
(65)
 Net Assets at Beginning of Period 343 
322 
183 
248 
 Net Assets at End of Period $ 243 
$ 343 
$ 196 
$ 183 
 Changes in Units



      Issued — 
— 
2 
— 
      Redeemed (3)
— 
(2)
(3)
      Net Increase (Decrease) (3)
— 
— 
(3)
See accompanying notes to financial statements
Page 34 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














Invesco V.I. Global Strategic Income Fund JPMorgan Insurance Trust Core Bond Portfolio

2024 2023 2024 2023 (A)
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 13 
$ (24)
$ — 
$ 197 
Realized Gains (Losses) on Investments, Net (46)
(64)
— 
(1,666)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 49 
168 
— 
1,925 
                Net Increase (Decrease) in Net Assets From Operations 16 
80 
— 
456 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
3 
    Transfers Between Funds or (to) from General Account 86 
66 
— 
(4,569)
    Surrenders and Terminations (237)
(205)
— 
(9,254)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
(1)
— 
(1)
    Rider charge — 
— 
— 
(52)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (151)
(140)
— 
(13,873)
             Increase (Decrease) in Net Assets (135)
(60)
— 
(13,417)
 Net Assets at Beginning of Period 1,261 
1,321 
— 
13,417 
 Net Assets at End of Period $ 1,126 
$ 1,261 
$ — 
$ — 
 Changes in Units



      Issued 3 
2 
— 
— 
      Redeemed (10)
(8)
— 
(1,109)
      Net Increase (Decrease) (7)
(6)
— 
(1,109)
















Lazard Retirement International Equity Portfolio Lazard Retirement U.S. Small-Mid Cap Equity Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 6 
$ 2 
$ (15)
$ (10)
Realized Gains (Losses) on Investments, Net (18)
— 
195 
1 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 29 
33 
328 
520 
                Net Increase (Decrease) in Net Assets From Operations 17 
35 
508 
511 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account 19 
4 
(8)
4,088 
    Surrenders and Terminations (123)
— 
(185)
(43)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (104)
4 
(193)
4,045 
             Increase (Decrease) in Net Assets (87)
39 
315 
4,556 
 Net Assets at Beginning of Period 262 
223 
4,845 
289 
 Net Assets at End of Period $ 175 
$ 262 
$ 5,160 
$ 4,845 
 Changes in Units



      Issued 1 
— 
— 
73 
      Redeemed (4)
— 
(3)
(1)
      Net Increase (Decrease) (3)
— 
(3)
72 
See accompanying notes to financial statements
Page 35 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














LVIP JPMorgan Core Bond Fund Macquarie VIP Asset Strategy Series

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 279 
$ 51 
$ 18 
$ 17 
Realized Gains (Losses) on Investments, Net 76 
(84)
41 
(7)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (337)
78 
61 
110 
                Net Increase (Decrease) in Net Assets From Operations 18 
45 
120 
120 
 Contract Transactions-All Products



    Purchase Payments 1 
— 
— 
— 
    Transfers Between Funds or (to) from General Account 1,193 
14,901 
— 
— 
    Surrenders and Terminations (3,081)
(2,445)
(8)
(26)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge (2)
(2)
— 
— 
    Rider charge (148)
(115)
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (2,037)
12,339 
(8)
(26)
             Increase (Decrease) in Net Assets (2,019)
12,384 
112 
94 
 Net Assets at Beginning of Period 12,384 
— 
992 
898 
 Net Assets at End of Period $ 10,365 
$ 12,384 
$ 1,104 
$ 992 
 Changes in Units



      Issued 92 
1,190 
— 
— 
      Redeemed (249)
(211)
— 
— 
      Net Increase (Decrease) (157)
979 
— 
— 
















Macquarie VIP Energy Series Macquarie VIP Growth Series

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 2 
$ 3 
$ (2)
$ (1)
Realized Gains (Losses) on Investments, Net (1)
(1)
77 
40 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (5)
2 
50 
108 
                Net Increase (Decrease) in Net Assets From Operations (4)
4 
125 
147 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account — 
— 
25 
(1)
    Surrenders and Terminations (6)
(4)
(41)
(13)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (6)
(4)
(16)
(14)
             Increase (Decrease) in Net Assets (10)
— 
109 
133 
 Net Assets at Beginning of Period 77 
77 
531 
398 
 Net Assets at End of Period $ 67 
$ 77 
$ 640 
$ 531 
 Changes in Units



      Issued — 
— 
— 
— 
      Redeemed (1)
— 
— 
— 
      Net Increase (Decrease) (1)
— 
— 
— 
See accompanying notes to financial statements
Page 36 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














Macquarie VIP Mid Cap Growth Series Macquarie VIP Natural Resources Series

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (2)
$ (2)
$ 5 
$ 2 
Realized Gains (Losses) on Investments, Net 3 
67 
— 
1 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 12 
56 
(6)
(1)
                Net Increase (Decrease) in Net Assets From Operations 13 
121 
(1)
2 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account 19 
— 
8 
6 
    Surrenders and Terminations (123)
(57)
— 
(8)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (104)
(57)
8 
(2)
             Increase (Decrease) in Net Assets (91)
64 
7 
— 
 Net Assets at Beginning of Period 698 
634 
86 
86 
 Net Assets at End of Period $ 607 
$ 698 
$ 93 
$ 86 
 Changes in Units



      Issued — 
— 
1 
— 
      Redeemed (1)
(1)
— 
— 
      Net Increase (Decrease) (1)
(1)
1 
— 
















Macquarie VIP Science and Technology Series MFS International Intrinsic Value Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (2)
$ (2)
$ 12 
$ 3 
Realized Gains (Losses) on Investments, Net 22 
1 
153 
167 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 183 
224 
(58)
96 
                Net Increase (Decrease) in Net Assets From Operations 203 
223 
107 
266 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account — 
(3)
(38)
(11)
    Surrenders and Terminations (94)
(117)
(422)
(287)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (94)
(120)
(460)
(298)
             Increase (Decrease) in Net Assets 109 
103 
(353)
(32)
 Net Assets at Beginning of Period 726 
623 
1,638 
1,670 
 Net Assets at End of Period $ 835 
$ 726 
$ 1,285 
$ 1,638 
 Changes in Units



      Issued — 
— 
— 
— 
      Redeemed — 
(1)
(17)
(13)
      Net Increase (Decrease) — 
(1)
(17)
(13)
See accompanying notes to financial statements
Page 37 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














MFS VIT Total Return Bond Portfolio MFS VIT Utilities Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 463 
$ 318 
$ 3 
$ 5 
Realized Gains (Losses) on Investments, Net (346)
(1,408)
6 
12 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 9 
2,072 
11 
(23)
                Net Increase (Decrease) in Net Assets From Operations 126 
982 
20 
(6)
 Contract Transactions-All Products



    Purchase Payments 3 
7 
— 
— 
    Transfers Between Funds or (to) from General Account 2,223 
997 
3 
76 
    Surrenders and Terminations (2,696)
(4,845)
— 
(25)
    Rescissions (1)
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge (3)
(4)
— 
— 
    Rider charge (221)
(285)
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (695)
(4,130)
3 
51 
             Increase (Decrease) in Net Assets (569)
(3,148)
23 
45 
 Net Assets at Beginning of Period 18,652 
21,800 
187 
142 
 Net Assets at End of Period $ 18,083 
$ 18,652 
$ 210 
$ 187 
 Changes in Units



      Issued 122 
51 
— 
2 
      Redeemed (169)
(308)
— 
(1)
      Net Increase (Decrease) (47)
(257)
— 
1 
















PIMCO VIT Balanced Allocation Portfolio PIMCO VIT CommodityRealReturn Strategy Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 3,882 
$ 1,722 
$ (12)
$ 4,190 
Realized Gains (Losses) on Investments, Net (1,371)
(4,143)
(3,207)
(3,609)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 7,416 
20,551 
3,809 
(3,669)
                Net Increase (Decrease) in Net Assets From Operations 9,927 
18,130 
590 
(3,088)
 Contract Transactions-All Products



    Purchase Payments 118 
126 
10 
43 
    Transfers Between Funds or (to) from General Account (1,536)
(3,024)
2,986 
2,538 
    Surrenders and Terminations (18,585)
(16,021)
(3,986)
(3,672)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) 1 
(1)
— 
— 
    Contract Maintenance Charge (37)
(41)
(8)
(9)
    Rider charge (2,560)
(2,708)
(16)
(18)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (22,599)
(21,669)
(1,014)
(1,118)
             Increase (Decrease) in Net Assets (12,672)
(3,539)
(424)
(4,206)
 Net Assets at Beginning of Period 144,077 
147,616 
27,558 
31,764 
 Net Assets at End of Period $ 131,405 
$ 144,077 
$ 27,134 
$ 27,558 
 Changes in Units



      Issued 9 
8 
481 
518 
      Redeemed (1,643)
(1,754)
(611)
(541)
      Net Increase (Decrease) (1,634)
(1,746)
(130)
(23)
See accompanying notes to financial statements
Page 38 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














PIMCO VIT Emerging Markets Bond Portfolio PIMCO VIT Global Core Bond (Hedged) Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 2,223 
$ 1,981 
$ 1,464 
$ 446 
Realized Gains (Losses) on Investments, Net (1,820)
(2,721)
(1,450)
(2,669)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 2,248 
5,166 
1,267 
7,026 
                Net Increase (Decrease) in Net Assets From Operations 2,651 
4,426 
1,281 
4,803 
 Contract Transactions-All Products



    Purchase Payments 56 
15 
53 
77 
    Transfers Between Funds or (to) from General Account (276)
(930)
3,524 
5,080 
    Surrenders and Terminations (7,054)
(5,877)
(12,975)
(13,466)
    Rescissions — 
(2)
(3)
— 
    Bonus (Recapture) — 
— 
1 
1 
    Contract Maintenance Charge (17)
(19)
(25)
(28)
    Rider charge (548)
(588)
(807)
(928)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (7,839)
(7,401)
(10,232)
(9,264)
             Increase (Decrease) in Net Assets (5,188)
(2,975)
(8,951)
(4,461)
 Net Assets at Beginning of Period 51,627 
54,602 
81,343 
85,804 
 Net Assets at End of Period $ 46,439 
$ 51,627 
$ 72,392 
$ 81,343 
 Changes in Units



      Issued 3 
1 
390 
576 
      Redeemed (441)
(454)
(1,458)
(1,585)
      Net Increase (Decrease) (438)
(453)
(1,068)
(1,009)
















PIMCO VIT High Yield Portfolio PIMCO VIT Long-Term U.S. Government Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 10,965 
$ 12,147 
$ 21 
$ 20 
Realized Gains (Losses) on Investments, Net (3,936)
(9,698)
(304)
(583)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 6,018 
26,634 
74 
628 
                Net Increase (Decrease) in Net Assets From Operations 13,047 
29,083 
(209)
65 
 Contract Transactions-All Products



    Purchase Payments 114 
118 
— 
— 
    Transfers Between Funds or (to) from General Account 1,662 
6,769 
60 
572 
    Surrenders and Terminations (52,650)
(64,394)
(564)
(1,052)
    Rescissions (2)
(3)
— 
— 
    Bonus (Recapture) 1 
— 
— 
— 
    Contract Maintenance Charge (75)
(87)
(1)
(1)
    Rider charge (3,008)
(3,594)
(13)
(17)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (53,958)
(61,191)
(518)
(498)
             Increase (Decrease) in Net Assets (40,911)
(32,108)
(727)
(433)
 Net Assets at Beginning of Period 285,130 
317,238 
2,452 
2,885 
 Net Assets at End of Period $ 244,219 
$ 285,130 
$ 1,725 
$ 2,452 
 Changes in Units



      Issued 84 
300 
2 
28 
      Redeemed (2,195)
(2,884)
(26)
(46)
      Net Increase (Decrease) (2,111)
(2,584)
(24)
(18)
See accompanying notes to financial statements
Page 39 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














PIMCO VIT Low Duration Portfolio PIMCO VIT Real Return Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 216 
$ 196 
$ 1,276 
$ 2,127 
Realized Gains (Losses) on Investments, Net (27)
(107)
(3,592)
(4,879)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 51 
172 
2,924 
5,717 
                Net Increase (Decrease) in Net Assets From Operations 240 
261 
608 
2,965 
 Contract Transactions-All Products



    Purchase Payments — 
— 
191 
98 
    Transfers Between Funds or (to) from General Account 37 
104 
6,286 
9,788 
    Surrenders and Terminations (275)
(145)
(27,049)
(29,412)
    Rescissions — 
— 
— 
(1)
    Bonus (Recapture) — 
— 
1 
(1)
    Contract Maintenance Charge — 
— 
(50)
(58)
    Rider charge — 
— 
(1,642)
(1,885)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (238)
(41)
(22,263)
(21,471)
             Increase (Decrease) in Net Assets 2 
220 
(21,655)
(18,506)
 Net Assets at Beginning of Period 6,121 
5,901 
158,429 
176,935 
 Net Assets at End of Period $ 6,123 
$ 6,121 
$ 136,774 
$ 158,429 
 Changes in Units



      Issued 1 
5 
439 
657 
      Redeemed (13)
(8)
(1,899)
(2,113)
      Net Increase (Decrease) (12)
(3)
(1,460)
(1,456)
















PIMCO VIT StocksPLUS Global Portfolio PIMCO VIT Total Return Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ 5,278 
$ 1,223 
$ 12,047 
$ 10,933 
Realized Gains (Losses) on Investments, Net (2,192)
(8,398)
(19,176)
(26,563)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 15,435 
38,319 
11,184 
38,529 
                Net Increase (Decrease) in Net Assets From Operations 18,521 
31,144 
4,055 
22,899 
 Contract Transactions-All Products



    Purchase Payments 84 
135 
510 
397 
    Transfers Between Funds or (to) from General Account (376)
(1,853)
17,152 
32,474 
    Surrenders and Terminations (25,413)
(19,817)
(92,078)
(106,261)
    Rescissions — 
— 
(14)
(8)
    Bonus (Recapture) — 
— 
2 
7 
    Contract Maintenance Charge (35)
(38)
(168)
(191)
    Rider charge (9)
(15)
(5,667)
(6,467)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (25,749)
(21,588)
(80,263)
(80,049)
             Increase (Decrease) in Net Assets (7,228)
9,556 
(76,208)
(57,150)
 Net Assets at Beginning of Period 173,035 
163,479 
567,133 
624,283 
 Net Assets at End of Period $ 165,807 
$ 173,035 
$ 490,925 
$ 567,133 
 Changes in Units



      Issued 41 
46 
979 
1,792 
      Redeemed (1,383)
(1,401)
(5,204)
(6,126)
      Net Increase (Decrease) (1,342)
(1,355)
(4,225)
(4,334)
See accompanying notes to financial statements
Page 40 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)














T. Rowe Price Blue Chip Growth Portfolio T. Rowe Price Equity Income Portfolio

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (12)
$ (10)
$ 15 
$ 20 
Realized Gains (Losses) on Investments, Net 407 
22 
82 
43 
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments 812 
1,270 
34 
52 
                Net Increase (Decrease) in Net Assets From Operations 1,207 
1,282 
131 
115 
 Contract Transactions-All Products



    Purchase Payments — 
— 
— 
— 
    Transfers Between Funds or (to) from General Account (128)
(3)
(170)
(170)
    Surrenders and Terminations (501)
(295)
(112)
(140)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
— 
— 
    Contract Maintenance Charge — 
— 
— 
— 
    Rider charge — 
— 
— 
— 
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (629)
(298)
(282)
(310)
             Increase (Decrease) in Net Assets 578 
984 
(151)
(195)
 Net Assets at Beginning of Period 3,704 
2,720 
1,210 
1,405 
 Net Assets at End of Period $ 4,282 
$ 3,704 
$ 1,059 
$ 1,210 
 Changes in Units



      Issued — 
— 
— 
— 
      Redeemed (7)
(5)
(6)
(7)
      Net Increase (Decrease) (7)
(5)
(6)
(7)
















T. Rowe Price Health Sciences Portfolio Templeton Global Bond VIP Fund

2024 2023 2024 2023
 Increase (Decrease) in Net Assets:



    Operations:



Investment Income (Loss), Net $ (2)
$ (2)
$ (4,055)
$ (4,658)
Realized Gains (Losses) on Investments, Net 74 
86 
(14,928)
(21,783)
       Net Change in Unrealized Appreciation



         (Depreciation) on Investments (63)
(73)
(13,883)
29,176 
                Net Increase (Decrease) in Net Assets From Operations 9 
11 
(32,866)
2,735 
 Contract Transactions-All Products



    Purchase Payments — 
— 
114 
116 
    Transfers Between Funds or (to) from General Account — 
6 
20,816 
15,723 
    Surrenders and Terminations (92)
(279)
(44,254)
(55,063)
    Rescissions — 
— 
— 
— 
    Bonus (Recapture) — 
— 
1 
1 
    Contract Maintenance Charge — 
— 
(91)
(106)
    Rider charge — 
— 
(3,288)
(3,873)
       Net Increase (Decrease) in Net Assets Resulting



         From Contract Transactions (92)
(273)
(26,702)
(43,202)
             Increase (Decrease) in Net Assets (83)
(262)
(59,568)
(40,467)
 Net Assets at Beginning of Period 619 
881 
276,461 
316,928 
 Net Assets at End of Period $ 536 
$ 619 
$ 216,893 
$ 276,461 
 Changes in Units



      Issued — 
— 
649 
460 
      Redeemed (1)
(3)
(1,364)
(1,631)
      Net Increase (Decrease) (1)
(3)
(715)
(1,171)
See accompanying notes to financial statements
Page 41 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the years or periods ended December 31, 2024 and 2023
(In thousands)








Total All Funds

2024 2023
 Increase (Decrease) in Net Assets:

    Operations:

Investment Income (Loss), Net $ 58,774 
$ 169,058 
Realized Gains (Losses) on Investments, Net 599,336 
(91,088)
       Net Change in Unrealized Appreciation

         (Depreciation) on Investments 644,130 
1,806,698 
                Net Increase (Decrease) in Net Assets From Operations 1,302,240 
1,884,668 
 Contract Transactions-All Products

    Purchase Payments 8,166,393 
4,255,528 
    Transfers Between Funds or (to) from General Account (8,002,208)
(4,049,043)
    Surrenders and Terminations (2,389,439)
(2,053,059)
    Rescissions (939)
(7,185)
    Bonus (Recapture) 101 
129 
    Contract Maintenance Charge (3,831)
(3,782)
    Rider charge (143,554)
(155,703)
       Net Increase (Decrease) in Net Assets Resulting

         From Contract Transactions (2,373,477)
(2,013,115)
             Increase (Decrease) in Net Assets (1,071,237)
(128,447)
 Net Assets at Beginning of Period 15,617,147 
15,745,594 
 Net Assets at End of Period $ 14,545,910 
$ 15,617,147 
 Changes in Units

      Issued 586,224 
491,413 
      Redeemed (705,250)
(579,490)
      Net Increase (Decrease) (119,026)
(88,077)







(A) Fund terminated in 2023 . See Footnote 1 for further details.
See accompanying notes to financial statements
Page 42 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024


(1) Organization
Allianz Life Variable Account B (Variable Account) is a segregated investment account of Allianz Life Insurance Company of North America (Allianz Life) and is registered with the Securities and Exchange Commission as a unit investment trust pursuant to the provisions of the Investment Company Act of 1940 (1940 Act), as amended. Allianz Life applies the Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) guidance of Topic 946, Financial Services - Investment Companies. The Variable Account was established on May 31, 1985, and commenced operations January 24, 1989. Accordingly, it is an accounting entity wherein all segregated account transactions are reflected.
The Variable Account's assets are the property of Allianz Life and are held for the benefit of the owners and other persons entitled to payments under variable annuity contracts issued through the Variable Account and underwritten by Allianz Life. The assets of the Variable Account are equal to the reserves and other liabilities of the Variable Account. These assets are not chargeable with liabilities that arise from any other business Allianz Life may conduct. Allianz Life products offered under the Variable Account are listed below. The only product actively being marketed is Allianz Index Advantage.
•Allianz Alterity
•Allianz Charter
•Allianz Connections
•Allianz Custom Income
•Allianz Dimensions
•Allianz Elite
•Allianz High Five
•Allianz Index Advantage
•Allianz Retirement Advantage
•Allianz Retirement Pro
•Allianz Rewards
•Allianz Valuemark
•Allianz Vision
The Variable Account's subaccounts are invested, at net asset values, in one or more of the funds (investment options) in accordance with the selection made by the contractholder. The contractholder may have the option to invest in the fixed account or other index options in the General Account, based on the product features. The liabilities of the fixed account are included in the General Account, which is not registered as an investment company under the 1940 Act. Not all funds listed are available for all products. Some funds have been closed to accepting new money. Each multiple-class fund is presented on an aggregate basis, however, when mergers occur, the fund will be presented separately by class, to disclose which class received additional money. The funds and investment advisers are:







Fund
Investment Adviser
AZL Balanced Index Strategy Fund †
Allianz Investment Management, LLC
AZL DFA Multi-Strategy Fund †
Allianz Investment Management, LLC
AZL Enhanced Bond Index Fund *†
Allianz Investment Management, LLC
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1 †
Allianz Investment Management, LLC
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2 *†
Allianz Investment Management, LLC
AZL Fidelity Institutional Asset Management Total Bond Fund Class 1 †
Allianz Investment Management, LLC
AZL Fidelity Institutional Asset Management Total Bond Fund Class 2 *†
Allianz Investment Management, LLC
AZL Government Money Market Fund *†
Allianz Investment Management, LLC
AZL International Index Fund Class 1 †
Allianz Investment Management, LLC
AZL International Index Fund Class 2 *†
Allianz Investment Management, LLC
AZL Mid Cap Index Fund Class 1 †
Allianz Investment Management, LLC
AZL Mid Cap Index Fund Class 2 *†
Allianz Investment Management, LLC
AZL Moderate Index Strategy Fund †
Allianz Investment Management, LLC
AZL MSCI Global Equity Index Fund Class 1 †
Allianz Investment Management, LLC
AZL MSCI Global Equity Index Fund Class 2 *†
Allianz Investment Management, LLC
AZL MVP Balanced Index Strategy Fund †
Allianz Investment Management, LLC
Page 43 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024







Fund
Investment Adviser
AZL MVP DFA Multi-Strategy Fund †
Allianz Investment Management, LLC
AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund †
Allianz Investment Management, LLC
AZL MVP Global Balanced Index Strategy Fund †
Allianz Investment Management, LLC
AZL MVP Growth Index Strategy Fund †
Allianz Investment Management, LLC
AZL MVP Moderate Index Strategy Fund †
Allianz Investment Management, LLC
AZL MVP T. Rowe Price Capital Appreciation Plus Fund †
Allianz Investment Management, LLC
AZL Russell 1000 Growth Index Fund Class 1 †
Allianz Investment Management, LLC
AZL Russell 1000 Growth Index Fund Class 2 *†
Allianz Investment Management, LLC
AZL Russell 1000 Value Index Fund Class 1 †
Allianz Investment Management, LLC
AZL Russell 1000 Value Index Fund Class 2 *†
Allianz Investment Management, LLC
AZL S&P 500 Index Fund *†
Allianz Investment Management, LLC
AZL Small Cap Stock Index Fund Class 1 †
Allianz Investment Management, LLC
AZL Small Cap Stock Index Fund Class 2 *†
Allianz Investment Management, LLC
AZL T. Rowe Price Capital Appreciation Fund *†
Allianz Investment Management, LLC
BlackRock Equity Dividend V.I. Fund *
BlackRock Advisors, LLC
ClearBridge Variable Growth Portfolio
Legg Mason Partners Fund Advisor, LLC
Columbia Variable Portfolio – Seligman Global Technology Fund
Columbia Management Investment Advisors, LLC
Davis VA Financial Portfolio
Davis Selected Advisers, L.P.
Davis VA Real Estate Portfolio
Davis Selected Advisers, L.P.
Eaton Vance VT Floating-Rate Income Fund *
Morgan Stanley Investment Management
Fidelity VIP Emerging Markets Portfolio
Fidelity Management & Research Company
Fidelity VIP Mid Cap Portfolio
Fidelity Management & Research Company
Fidelity VIP Strategic Income Portfolio
Fidelity Management & Research Company
Franklin Rising Dividends VIP Fund *
Franklin Advisers, Inc.
Franklin U.S. Government Securities VIP Fund *
Franklin Advisers, Inc.
Invesco Oppenheimer V.I. International Growth Fund *
Invesco Advisors, Inc.
Invesco V.I. American Value Fund *
Invesco Advisors, Inc.
Invesco V.I. Balanced-Risk Allocation Fund *
Invesco Advisors, Inc.
Invesco V.I. Global Strategic Income Fund *
Invesco Advisors, Inc.
Lazard Retirement International Equity Portfolio *
Lazard Asset Management, LLC
Lazard Retirement U.S. Small-Mid Cap Equity Portfolio *
Lazard Asset Management, LLC
LVIP JPMorgan Core Bond Fund *
Lincoln Financial Group
Macquarie VIP Asset Strategy Series *
Macquarie Asset Management
Macquarie VIP Energy Series *
Macquarie Asset Management
Macquarie VIP Growth Series *
Macquarie Asset Management
Macquarie VIP Mid Cap Growth Series *
Macquarie Asset Management
Macquarie VIP Natural Resources Series *
Macquarie Asset Management
Macquarie VIP Science and Technology Series *
Macquarie Asset Management
MFS International Intrinsic Value Portfolio *
Massachusetts Financial Services Company
MFS VIT Total Return Bond Portfolio *
Massachusetts Financial Services Company
MFS VIT Utilities Portfolio *
Massachusetts Financial Services Company
Page 44 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024







Fund
Investment Adviser
PIMCO VIT Balanced Allocation Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT CommodityRealReturn Strategy Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT Emerging Markets Bond Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT Global Core Bond (Hedged) Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT High Yield Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT Long-Term U.S. Government Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT Low Duration Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT Real Return Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT StocksPLUS Global Portfolio †
Pacific Investment Management Company, LLC
PIMCO VIT Total Return Portfolio †
Pacific Investment Management Company, LLC
T. Rowe Price Blue Chip Growth Portfolio *
T. Rowe Price Associates, Inc.
T. Rowe Price Equity Income Portfolio *
T. Rowe Price Associates, Inc.
T. Rowe Price Health Sciences Portfolio *
T. Rowe Price Associates, Inc.
Templeton Global Bond VIP Fund *
Franklin Advisers, Inc.






* Fund contains share classes which assess 12b-1 fees.
† The investment adviser of this fund is an affiliate of Allianz Life and is paid an investment management fee by the fund.


Page 45 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024



During the year ended December 31, 2024, the following funds had name changes. No name changes occurred in 2023.













Prior Fund Name
Current Fund Name
Effective Date
ClearBridge Variable Aggressive Growth Portfolio
ClearBridge Variable Growth Portfolio
April 28, 2024
Delaware Ivy VIP Asset Strategy
Macquarie VIP Asset Strategy Series
May 1, 2024
Delaware Ivy VIP Energy
Macquarie VIP Energy Series
May 1, 2024
Delaware Ivy VIP Growth
Macquarie VIP Growth Series
May 1, 2024
Delaware Ivy VIP Mid Cap Growth
Macquarie VIP Mid Cap Growth Series
May 1, 2024
Delaware Ivy VIP Natural Resources
Macquarie VIP Natural Resources Series
May 1, 2024
Delaware Ivy VIP Science and Technology
Macquarie VIP Science and Technology Series
May 1, 2024
During the year ended December 31, 2023, the following funds were closed to new money. No funds were closed in 2024.







Fund
Date Closed
AZL DFA Five-Year Global Fixed Income Fund
March 10, 2023
AZL Gateway Fund
March 10, 2023
AZL MetWest Total Return Bond Fund
March 10, 2023
AZL MSCI Emerging Markets Equity Index Fund Class 1
March 10, 2023
AZL MSCI Emerging Markets Equity Index Fund Class 2
March 10, 2023
AZL MVP Fusion Balanced Fund
March 10, 2023
AZL MVP Fusion Conservative Fund
March 10, 2023
AZL MVP Fusion Moderate Fund
March 10, 2023
JPMorgan Insurance Trust Core Bond Portfolio
April 28, 2023

During the year ended December 31, 2023, the following fund was added as an available option. No new funds were added in 2024.









Fund
Date Opened
LVIP JPMorgan Core Bond Fund
April 28, 2023

Page 46 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024


During the year ended December 31, 2023, the following funds were merged or replaced. No funds were merged or replaced in 2024.















Closed Fund
Receiving Fund
Date Merged
AZL DFA Five-Year Global Fixed Income Fund
AZL Enhanced Bond Index Fund
March 10, 2023
AZL Gateway Fund
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2
March 10, 2023
AZL MetWest Total Return Bond Fund
AZL Fidelity Institutional Asset Management Total Bond Fund Class 2
March 10, 2023
AZL MSCI Emerging Markets Equity Index Fund Class 1
AZL International Index Fund Class 1
March 10, 2023
AZL MSCI Emerging Markets Equity Index Fund Class 2
AZL International Index Fund Class 2
March 10, 2023
AZL MVP Fusion Balanced Fund
AZL MVP Balanced Index Strategy Fund
March 10, 2023
AZL MVP Fusion Conservative Fund
AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund
March 10, 2023
AZL MVP Fusion Moderate Fund
AZL MVP DFA Multi-Strategy Fund
March 10, 2023
JPMorgan Insurance Trust Core Bond Portfolio
LVIP JPMorgan Core Bond Fund
April 28, 2023

Page 47 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024



(2) Significant Accounting Policies
Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at 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.

Investments

Investment transactions are recorded by the Variable Account on the trade date. Investments of the Variable Account are valued each day the markets are open at fair value using net asset values provided by the investment advisers of the funds after the 4 PM Eastern Standard Time market close.
The Fair Value Measurement Topic of the FASB ASC establishes a fair value hierarchy that prioritizes the inputs used in the valuation techniques to measure fair value.

Level 1 -     Unadjusted quoted prices for identical assets or liabilities in active markets that the Variable Account has the ability to access at the measurement date.

Level 2 –     Valuations derived from techniques that utilize observable inputs, other than quoted prices included in Level 1, which are observable for the asset or liability either directly or indirectly, such as:
(a)    Quoted prices for similar assets or liabilities in active markets.
(b)    Quoted prices for identical or similar assets or liabilities in markets that are not active.
(c)    Inputs other than quoted prices that are observable.
(d)    Inputs that are derived principally from or corroborated by observable market data by correlation or other means.

Level 3 -    Valuations derived from techniques in which the significant inputs are unobservable. Level 3 fair values reflect the Variable Account’s own assumptions about the assumptions that market participants would use in pricing the asset or liability (including assumptions about risk).

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. As of December 31, 2024, all of the Variable Account’s investments are in funds for which quoted prices are available in an active market which the Variable Account has the ability to access. Therefore, all investments have been categorized as Level 1. The characterization of the underlying securities held by the funds are accounted for on a trade-date basis and are in accordance with the Fair Value Measurements and Disclosures topic of the FASB ASC.

Realized gains on investments include realized gain distributions received from the respective funds and gains on the sale of fund shares as determined by the average cost method. Realized gain distributions are reinvested in the respective funds. Dividend distributions received from the funds are reinvested in additional shares of the funds and are recorded as income to the Variable Account on the ex-dividend date.

The cost of investments sold and the corresponding capital gains and losses are determined on a specific identification basis. Net investment income (loss) and net realized gains (losses) and unrealized appreciation (depreciation) on investments are allocated to the contracts on each valuation date based on each contract's pro rata share of the assets of the fund as of the beginning of the valuation date.

Transfers between subaccounts, including the fixed account (net), include transfers of all or part of the contractholders' interest to or from another eligible subaccount, or from or to the fixed account option of the general account of Allianz Life.

Contracts in Annuity Payment Period

Net assets allocated to contracts in the payout period are periodically compared to annuity reserves computed for currently payable contracts according to the 1983 and 2000 Individual Annuity Mortality Tables using an assumed investment return (AIR) equal to the AIR of the specific contracts, either 3%, 5% or 7%. The mortality risk is fully borne by Allianz Life and may result in additional amounts reimbursed to Allianz Life if the reserves required are less than originally estimated. If additional reserves are required, Allianz Life reimburses the Variable Account.

Page 48 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024


Recently Adopted Accounting Standards

Effective as of January 1, 2024, the Variable Account has adopted Accounting Standards Update (ASU) 2023-07, Segment Reporting, issued by the FASB. Adoption of the new standard impacted financial statement disclosures only and did not affect the Variable Account’s financial position or its results of operations. This new guidance impacts segment reporting under ASC Topic 280 and the adoption of this new guidance resulted in an additional disclosure within note 2.

Segment Disclosure

The Variable Account derives revenues from variable annuity products. Allianz Life has identified the Finance Committee, a management committee of Allianz Life, as the chief operating decision maker (CODM) for overseeing the products and the performance of the underlying subaccounts to evaluate the results of the business and make operational decisions. Each subaccount of the Variable Account constitutes a single operating segment and therefore, a single reportable segment. Variable Accounts are structured with a limited purpose by design and their sole purpose, which records and reports the invested funds and activities and performance chosen by contractholders. Investment performance of subaccounts may vary based on the underlying fund’s investment objectives specified in the fund prospectuses. The accounting policies used to measure the profit and loss of the segment are the same as those described in the summary of significant accounting policies herein.

Page 49 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024


(3) Related Party Charges, Expenses and Fees
Under the terms of the contracts, certain charges, expenses and fees are incurred by the contractholders to cover Allianz Life’s expenses in connection with the issuance and administration of the contracts. Following is a summary of these charges, expenses and fees for the period ended December 31, 2024:

Mortality and Expense Risk Charges
Allianz Life assumes mortality and expense risks related to the operations of the Variable Account. These charges range from 0.30% to 3.40% annually during the accumulation phase, or from 1.00% to 2.20% annually during the annuity phase for variable annuity payments. These charges are deducted on a daily basis and assessed against the daily net asset value of each fund. These charges are assessed either through a reduction in subaccount accumulation unit values during the accumulation phase, or a reduction in subaccount annuity unit values during the annuity phase for contractholders that selected variable annuity payments.

Administrative Charges
A charge to cover administrative expenses of the Variable Account may be deducted from the Variable Account, depending on the contract. This annual charge of 0.15% is calculated and assessed daily as a percentage of each fund’s net asset value. This charge is assessed through a reduction in subaccount accumulation unit values during the accumulation phase, or a reduction in subaccount annuity unit values during the annuity phase for contractholders that selected variable annuity payments.

Contract Maintenance Charges
For certain contracts, an annual contract maintenance charge of $30 to $50 may be deducted to cover ongoing administrative expenses. These charges are assessed through the redemption of subaccount accumulation units during the accumulation phase, or a redemption in subaccount annuity unit values during the annuity phase if variable annuity payments are selected or a reduction in fixed annuity payments.

Withdrawal Charges
For certain contracts, a withdrawal charge (sometimes called a contingent deferred sales charge) is imposed as a percentage, with a range of 0.0% to 8.5%, of each purchase payment if the contract is surrendered or a partial withdrawal is taken during the withdrawal charge period. For certain contracts, a commutation fee or withdrawal charge may also apply during the annuity phase if there are liquidations of variable annuity payments under certain annuity options. These commutation and withdrawal charges are imposed as a percentage, with a range of 1.0% to 8.0% of the amount liquidated. These charges are assessed through the redemption of subaccount accumulation units during the accumulation phase, or a redemption in subaccount annuity units during the annuity phase.

Amounts withdrawn from the Index Advantage Income ADV Index Options may be subject to an MVA (Market Value Adjustment), which can be negative. The maximum negative MVA that we can apply on a full withdrawal is -10% of the Contract Value, and on a partial withdrawal it is -10% of the amount withdrawn.

Rider Charges and Fees
For certain contracts, optional benefit riders may be available for an additional charge to the contractholder. The rider charges for Investment Protector, Income Protector and Income Focus are deducted from the contract value. The Maximum Anniversary Value Death Benefit and Income Benefit rider fees are calculated as a percentage of the contract value as of the prior quarterly contract anniversary adjusted for subsequent purchase payments and withdrawals, and are deducted from the contract value. These charges and fees include:

•Investment Protector: 1.05% to 1.35%
•Income Protector: 1.00% to 1.75%
•Income Focus: 1.30%
•Maximum Anniversary Value Death Benefit: 0.20%
•Income Benefit: 0.70%

Page 50 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024


Transfer Fee
A charge for transfers between funds may be imposed at a rate of up to $25 per transfer. These charges are deducted from the contract value.

Other Contract Charges
For certain contracts there are additional fees, as described below.
•Account Fee - ranges from 0.80% to 1.15% and are imposed as a percentage of the account’s guaranteed value and are assessed through the redemption of subaccount accumulation units during the accumulation phase.
•Product Fee - ranges from 0.25% to 1.25% annually and are accrued on a daily basis as a percentage of the prior quarterly contract anniversary contract value adjusted for subsequent purchase payments and withdrawals. The fee is deducted from the contract value during the accumulation phase through the redemption of accumulation units.
•Increased Annuity Payment Benefit charge - ranges from $0.95 to $9.97 per $100 of the basic annuity payment, depending on the annuitant's age and gender. The charge is assessed by a reduction in the annuity payments during the annuity phase.
•Guaranteed Value Protection Benefits charge will not be more than 5% of the contract anniversary value and assessed through the redemption of subaccount accumulation units during the accumulation phase.

Additional details on charges and fees can be found in the respective product prospectus.
(4) Federal Income Taxes
Operations of the Variable Account form a part of Allianz Life, which is taxed as a life insurance company under the Internal Revenue Code (the Code). Under current law, no federal income taxes are payable with respect to the Variable Account. Under the principles set forth in Internal Revenue Service Ruling 81-225 and Section 817(h) of the Code and regulations thereunder, Allianz Life understands that it will be treated as owner of the assets invested in the Variable Account for federal income tax purposes, with the result that earnings and gains, if any, derived from those assets will not be included in an annuitant's gross income until amounts are received pursuant to an annuity.
(5) Purchases and Sales of Investments (In thousands)
The cost of purchases and proceeds from sales of investments for the year or period ended December 31, 2024, are as follows:













 Cost of Purchases
 Proceeds from Sales
AZL Balanced Index Strategy Fund $ 30,254 

$ 56,541 
AZL DFA Multi-Strategy Fund 24,907 

126,436 
AZL Enhanced Bond Index Fund 4,058 

6,371 
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1 3,428 

11,946 
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2 51,259 

223,064 
AZL Fidelity Institutional Asset Management Total Bond Fund Class 1 1,305 

1,664 
AZL Fidelity Institutional Asset Management Total Bond Fund Class 2 18,729 

32,913 
AZL Government Money Market Fund 1,300,944 

1,297,774 
AZL International Index Fund Class 1 5,824 

11,182 
AZL International Index Fund Class 2 35,510 

70,451 
AZL Mid Cap Index Fund Class 1 5,143 

5,133 
AZL Mid Cap Index Fund Class 2 47,595 

70,106 
AZL Moderate Index Strategy Fund 68,948 

276,646 
AZL MSCI Global Equity Index Fund Class 1 1,371 

5,015 
AZL MSCI Global Equity Index Fund Class 2 11,113 

28,796 
AZL MVP Balanced Index Strategy Fund 57,908 

136,964 
AZL MVP DFA Multi-Strategy Fund 76,571 

239,663 
AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund 13,398 

69,342 
AZL MVP Global Balanced Index Strategy Fund 8,030 

87,885 
Page 51 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024











 Cost of Purchases
 Proceeds from Sales
AZL MVP Growth Index Strategy Fund $ 137,417 

$ 385,523 
AZL MVP Moderate Index Strategy Fund 16,869 

71,294 
AZL MVP T. Rowe Price Capital Appreciation Plus Fund 97,227 

216,451 
AZL Russell 1000 Growth Index Fund Class 1 34,532 

8,138 
AZL Russell 1000 Growth Index Fund Class 2 152,080 

113,497 
AZL Russell 1000 Value Index Fund Class 1 15,412 

25,320 
AZL Russell 1000 Value Index Fund Class 2 48,883 

99,790 
AZL S&P 500 Index Fund 81,316 

167,192 
AZL Small Cap Stock Index Fund Class 1 3,929 

5,508 
AZL Small Cap Stock Index Fund Class 2 37,472 

69,996 
AZL T. Rowe Price Capital Appreciation Fund 66,479 

117,114 
BlackRock Equity Dividend V.I. Fund 364 

299 
ClearBridge Variable Growth Portfolio 382 

551 
Columbia Variable Portfolio – Seligman Global Technology Fund 84 

296 
Davis VA Financial Portfolio 5,316 

8,941 
Davis VA Real Estate Portfolio 8 

13 
Eaton Vance VT Floating-Rate Income Fund 199 

163 
Fidelity VIP Emerging Markets Portfolio 93 

530 
Fidelity VIP Mid Cap Portfolio 101 

59 
Fidelity VIP Strategic Income Portfolio 117 

256 
Franklin Rising Dividends VIP Fund 13,334 

32,313 
Franklin U.S. Government Securities VIP Fund 9,479 

22,971 
Invesco Oppenheimer V.I. International Growth Fund 69 

262 
Invesco V.I. American Value Fund 18 

201 
Invesco V.I. Balanced-Risk Allocation Fund 62 

40 
Invesco V.I. Global Strategic Income Fund 232 

370 
Lazard Retirement International Equity Portfolio 27 

123 
Lazard Retirement U.S. Small-Mid Cap Equity Portfolio 190 

218 
LVIP JPMorgan Core Bond Fund 2,329 

4,087 
Macquarie VIP Asset Strategy Series 63 

11 
Macquarie VIP Energy Series 4 

8 
Macquarie VIP Growth Series 155 

96 
Macquarie VIP Mid Cap Growth Series 55 

141 
Macquarie VIP Natural Resources Series 14 

2 
Macquarie VIP Science and Technology Series 34 

106 
MFS International Intrinsic Value Portfolio 122 

501 
MFS VIT Total Return Bond Portfolio 5,185 

5,417 
MFS VIT Utilities Portfolio 13 

2 
PIMCO VIT Balanced Allocation Portfolio 7,550 

26,266 
PIMCO VIT CommodityRealReturn Strategy Portfolio 6,131 

7,157 
PIMCO VIT Emerging Markets Bond Portfolio 5,146 

10,763 
Page 52 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024











 Cost of Purchases
 Proceeds from Sales
PIMCO VIT Global Core Bond (Hedged) Portfolio $ 13,076 

$ 21,843 
PIMCO VIT High Yield Portfolio 22,283 

65,276 
PIMCO VIT Long-Term U.S. Government Portfolio 1,746 

2,243 
PIMCO VIT Low Duration Portfolio 647 

669 
PIMCO VIT Real Return Portfolio 11,378 

32,365 
PIMCO VIT StocksPLUS Global Portfolio 18,390 

38,861 
PIMCO VIT Total Return Portfolio 46,009 

114,225 
T. Rowe Price Blue Chip Growth Portfolio 219 

676 
T. Rowe Price Equity Income Portfolio 160 

358 
T. Rowe Price Health Sciences Portfolio 50 

95 
Templeton Global Bond VIP Fund 18,159 

48,915 

Page 53 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024


(6) Financial Highlights
A summary of units outstanding (in thousands), unit values, net assets (in thousands), ratios, and total returns for variable annuity contracts is as follows:









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
AZL Balanced Index Strategy Fund







2024 16,252 
$ 15.65 
to $ 21.71 
$ 310,578 

1.44  % 1.00  % to 3.40  % 4.71  % to 7.12  %
2023 18,017 
$ 14.93 
to $ 20.27 
$ 324,659 

1.80  % 1.00  % to 3.40  % 9.44  % to 11.93  %
2022 19,681 
$ 13.63 
to $ 18.11 
$ 320,069 

2.27  % 1.00  % to 3.40  % (17.93) % to (16.06) %
2021 21,289 
$ 16.59 
to $ 21.58 
$ 416,054 

1.83  % 1.00  % to 3.40  % 6.41  % to 8.79  %
2020 21,475 
$ 15.58 
to $ 19.83 
$ 388,701 

1.98  % 1.00  % to 3.40  % 8.54  % to 10.97  %
AZL DFA Multi-Strategy Fund







2024 25,722 
$ 18.73 
to $ 25.99 
$ 597,786 

1.35  % 1.00  % to 3.40  % 5.36  % to 7.79  %
2023 30,005 
$ 17.76 
to $ 24.12 
$ 652,595 

2.80  % 1.00  % to 3.40  % 9.45  % to 11.94  %
2022 33,567 
$ 16.21 
to $ 21.54 
$ 657,563 

1.13  % 1.00  % to 3.40  % (14.37) % to (12.42) %
2021 37,892 
$ 18.91 
to $ 24.60 
$ 852,829 

1.53  % 1.00  % to 3.40  % 10.06  % to 12.52  %
2020 42,292 
$ 17.17 
to $ 21.86 
$ 852,984 

3.12  % 1.00  % to 3.40  % 6.99  % to 9.38  %
AZL Enhanced Bond Index Fund







2024 2,086 
$ 8.34 
to $ 13.48 
$ 21,854 

3.76  % —  % to 3.40  % (4.12) % to 1.19  %
2023 2,343 
$ 8.82 
to $ 13.32 
$ 24,705 

1.69  % —  % to 3.40  % 3.31  % to 5.06  %
2022 1,704 
$ 9.64 
to $ 10.82 
$ 17,671 

1.42  % 1.15  % to 2.05  % (15.39) % to (14.66) %
2021 2,027 
$ 11.39 
to $ 12.67 
$ 24,727 

0.75  % 1.15  % to 2.05  % (3.89) % to (3.06) %
2020 2,067 
$ 11.85 
to $ 13.07 
$ 26,081 

2.36  % 1.15  % to 2.05  % 5.40  % to 6.31  %
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 1

2024 6,891 
$ 10.70 
to $ 11.01 
$ 76,199 

4.17  % 1.40  % to 2.20  % 9.11  % to 9.99  %
2023 7,888 
$ 9.81 
to $ 10.01 
$ 79,394 

2.99  % 1.40  % to 2.20  % 11.76  % to 12.66  %
2022 8,862 
$ 8.77 
to $ 8.88 
$ 79,199 

1.44  % 1.40  % to 2.20  % (16.26) % to (15.58) %
2021¹ 9,971 
$ 10.48 
to $ 10.52 
$ 105,623 

0.80  % 1.40  % to 2.20  % 4.78  % to 5.23  %
AZL Fidelity Institutional Asset Management Multi-Strategy Fund Class 2



2024 47,255 
$ 16.37 
to $ 27.04 
$ 972,738 

2.29  % —  % to 3.40  % 7.60  % to 11.35  %
2023 56,069 
$ 15.20 
to $ 24.28 
$ 1,056,954 

1.61  % —  % to 3.40  % 10.07  % to 13.53  %
2022 60,523 
$ 13.80 
to $ 21.76 
$ 1,021,220 

0.93  % 0.30  % to 3.40  % (17.41) % to (14.82) %
2021 68,178 
$ 16.69 
to $ 26.30 
$ 1,371,510 

0.81  % 0.30  % to 3.40  % 3.85  % to 11.32  %
2020 15,871 
$ 15.45 
to $ 24.32 
$ 290,007 

2.49  % 0.30  % to 3.40  % 9.72  % to 13.13  %
AZL Fidelity Institutional Asset Management Total Bond Fund Class 1



2024 1,535 
$ 9.74 
to $ 10.36 
$ 14,352 

5.88  % 1.40  % to 2.20  % (0.12) % to 0.63  %
2023 1,658 
$ 9.72 
to $ 10.30 
$ 15,282 

6.53  % 1.40  % to 2.20  % 4.60  % to 5.44  %
2022 1,707 
$ 9.29 
to $ 9.77 
$ 14,908 

2.84  % 1.40  % to 2.20  % (15.08) % to (14.40) %
2021 1,871 
$ 10.94 
to $ 11.41 
$ 19,155 

2.88  % 1.40  % to 2.20  % (1.60) % to (0.81) %
2020 1,976 
$ 11.12 
to $ 11.50 
$ 20,327 

3.63  % 1.40  % to 2.20  % 6.74  % to 7.60  %
AZL Fidelity Institutional Asset Management Total Bond Fund Class 2




2024 11,023 
$ 8.36 
to $ 12.65 
$ 111,461 

5.10  % —  % to 3.40  % (1.63) % to 1.75  %
2023 12,819 
$ 8.50 
to $ 12.43 
$ 129,733 

6.16  % —  % to 3.40  % 3.17  % to 6.68  %
2022 11,576 
$ 8.24 
to $ 11.65 
$ 111,500 

2.39  % —  % to 3.40  % (16.21) % to (13.37) %
2021 13,090 
$ 9.83 
to $ 13.45 
$ 148,293 

2.51  % —  % to 3.40  % (2.99) % to 0.31  %
2020 13,699 
$ 10.14 
to $ 13.41 
$ 157,259 

3.24  % —  % to 3.40  % 5.25  % to 8.84  %
Page 54 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
AZL Government Money Market Fund







2024 41,318 
$ 6.18 
to $ 14.37 
$ 457,368 

4.33  % —  % to 3.40  % 0.96  % to 4.43  %
2023 43,827 
$ 6.12 
to $ 13.76 
$ 454,197 

4.19  % —  % to 3.40  % 0.85  % to 4.28  %
2022 47,669 
$ 6.06 
to $ 13.20 
$ 466,849 

0.76  % —  % to 3.40  % (2.54) % to 0.77  %
2021 51,168 
$ 6.22 
to $ 13.10 
$ 511,547 

—  % —  % to 3.40  % (3.29) % to —  %
2020 57,985 
$ 6.43 
to $ 13.10 
$ 585,305 

0.18  % —  % to 3.40  % (3.11) % to 0.21  %
AZL International Index Fund Class 1







2024 5,563 
$ 13.12 
to $ 14.91 
$ 78,005 

4.51  % 1.15  % to 2.70  % 0.37  % to 1.95  %
2023 6,171 
$ 13.08 
to $ 14.62 
$ 85,326 

4.26  % 1.15  % to 2.70  % 14.43  % to 16.21  %
2022 5,849 
$ 11.43 
to $ 12.58 
$ 71,581 

4.53  % 1.15  % to 2.70  % (16.53) % to (15.23) %
2021 6,443 
$ 13.69 
to $ 14.85 
$ 93,430 

2.52  % 1.15  % to 2.70  % 7.85  % to 9.53  %
2020 7,160 
$ 12.69 
to $ 13.55 
$ 95,192 

5.00  % 1.15  % to 2.70  % 4.79  % to 6.43  %
AZL International Index Fund Class 2








2024 22,378 
$ 11.75 
to $ 21.51 
$ 303,515 

2.60  % —  % to 3.40  % (0.57) % to 2.89  %
2023 25,154 
$ 11.81 
to $ 21.15 
$ 338,955 

2.47  % —  % to 3.40  % 13.42  % to 17.33  %
2022 23,681 
$ 10.40 
to $ 18.23 
$ 276,987 

2.67  % —  % to 3.40  % (17.37) % to (14.52) %
2021 27,246 
$ 12.57 
to $ 21.57 
$ 385,078 

1.47  % —  % to 3.40  % 6.85  % to 10.55  %
2020 31,392 
$ 11.76 
to $ 19.74 
$ 410,582 

3.13  % —  % to 3.40  % 3.85  % to 7.40  %
AZL Mid Cap Index Fund Class 1







2024 2,713 
$ 19.21 
to $ 20.61 
$ 43,798 

2.02  % 1.15  % to 2.55  % 11.19  % to 12.15  %
2023 2,924 
$ 17.28 
to $ 18.37 
$ 42,872 

8.50  % 1.15  % to 2.55  % 13.64  % to 14.61  %
2022 3,236 
$ 15.21 
to $ 16.03 
$ 41,230 

3.26  % 1.15  % to 2.55  % (15.22) % to (14.50) %
2021 3,503 
$ 17.94 
to $ 18.75 
$ 53,632 

2.59  % 1.15  % to 2.55  % 21.33  % to 22.36  %
2020 3,835 
$ 14.78 
to $ 15.32 
$ 47,856 

3.95  % 1.15  % to 2.55  % 12.31  % to 13.28  %
AZL Mid Cap Index Fund Class 2








2024 8,520 
$ 27.11 
to $ 52.80 
$ 267,640 

1.64  % —  % to 3.40  % 9.61  % to 13.44  %
2023 10,018 
$ 24.67 
to $ 47.09 
$ 283,553 

0.72  % —  % to 3.40  % 12.02  % to 15.88  %
2022 11,381 
$ 21.97 
to $ 41.10 
$ 284,915 

0.68  % —  % to 3.40  % (16.43) % to (13.55) %
2021 13,526 
$ 26.23 
to $ 48.09 
$ 402,133 

0.68  % —  % to 3.40  % 19.53  % to 23.66  %
2020 16,929 
$ 21.89 
to $ 39.34 
$ 416,121 

1.17  % —  % to 3.40  % 10.75  % to 14.53  %
AZL Moderate Index Strategy Fund







2024 48,184 
$ 19.42 
to $ 38.44 
$ 1,233,407 

1.45  % —  % to 3.40  % 6.27  % to 9.98  %
2023 56,079 
$ 18.26 
to $ 34.95 
$ 1,335,346 

1.92  % —  % to 3.40  % 10.99  % to 14.82  %
2022 63,362 
$ 16.44 
to $ 30.44 
$ 1,342,710 

2.18  % —  % to 3.40  % (18.19) % to (15.37) %
2021 70,698 
$ 20.07 
to $ 35.97 
$ 1,806,915 

0.86  % —  % to 3.40  % 4.41  % to 11.72  %
2020 25,225 
$ 18.51 
to $ 30.53 
$ 576,533 

1.97  % 0.30  % to 3.40  % 9.11  % to 12.50  %
AZL MSCI Global Equity Index Fund Class 1







2024 3,410 
$ 12.21 
to $ 12.56 
$ 43,048 

2.94  % 1.40  % to 2.20  % 15.88  % to 16.82  %
2023 3,771 
$ 10.54 
to $ 10.75 
$ 40,784 

2.70  % 1.40  % to 2.20  % 20.98  % to 21.95  %
2022 4,145 
$ 8.71 
to $ 8.82 
$ 36,789 

1.80  % 1.40  % to 2.20  % (19.86) % to (19.22) %
2021¹ 4,558 
$ 10.87 
to $ 10.92 
$ 50,201 

1.19  % 1.40  % to 2.20  % 8.70  % to 9.17  %
AZL MSCI Global Equity Index Fund Class 2







2024 4,323 
$ 20.64 
to $ 33.52 
$ 108,383 

1.42  % 0.30  % to 3.40  % 14.24  % to 17.81  %
2023 5,042 
$ 18.06 
to $ 28.46 
$ 109,136 

1.27  % 0.30  % to 3.40  % 19.32  % to 23.00  %
2022 5,965 
$ 15.14 
to $ 23.13 
$ 107,250 

1.06  % 0.30  % to 3.40  % (20.92) % to (18.48) %
Page 55 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2021 7,085 
$ 19.14 
to $ 28.38 
$ 160,173 

1.35  % 0.30  % to 3.40  % 6.27  % to 20.82  %
2020 216 
$ 19.13 
to $ 23.49 
$ 4,531 

0.80  % 0.30  % to 2.05  % 13.07  % to 15.01  %
AZL MVP Balanced Index Strategy Fund







2024 39,524 
$ 13.47 
to $ 20.81 
$ 654,523 

1.59  % —  % to 3.40  % 4.68  % to 8.28  %
2023 45,979 
$ 12.86 
to $ 19.22 
$ 716,630 

0.62  % —  % to 3.40  % 9.15  % to 12.85  %
2022 14,353 
$ 11.98 
to $ 17.03 
$ 208,108 

2.15  % —  % to 3.40  % (17.54) % to (14.87) %
2021 16,299 
$ 14.53 
to $ 20.00 
$ 281,749 

1.76  % —  % to 3.40  % 6.56  % to 10.02  %
2020 17,451 
$ 13.64 
to $ 18.18 
$ 278,234 

1.98  % —  % to 3.40  % 2.63  % to 5.98  %
AZL MVP DFA Multi-Strategy Fund







2024 83,916 
$ 11.82 
to $ 15.87 
$ 1,155,273 

1.16  % 0.30  % to 3.40  % 2.78  % to 8.38  %
2023 97,766 
$ 11.50 
to $ 14.64 
$ 1,258,569 

0.18  % 0.30  % to 3.40  % 9.17  % to 12.41  %
2022 5,965 
$ 11.27 
to $ 12.08 
$ 70,382 

0.97  % 1.15  % to 2.05  % (13.54) % to (12.76) %
2021 6,633 
$ 13.03 
to $ 13.85 
$ 89,961 

1.34  % 1.15  % to 2.05  % 11.43  % to 12.45  %
2020 6,703 
$ 11.69 
to $ 12.31 
$ 81,082 

2.93  % 1.15  % to 2.05  % 1.66  % to 2.59  %
AZL MVP Fidelity Institutional Asset Management Multi-Strategy Fund







2024 17,204 
$ 10.11 
to $ 17.06 
$ 261,749 

1.69  % 0.30  % to 3.40  % 4.68  % to 10.48  %
2023 20,938 
$ 9.66 
to $ 15.54 
$ 292,166 

1.60  % 0.30  % to 3.40  % 10.35  % to 11.49  %
2022 11,712 
$ 12.74 
to $ 13.96 
$ 158,163 

0.69  % 1.15  % to 2.05  % (15.51) % to (14.79) %
2021 13,320 
$ 15.08 
to $ 16.38 
$ 211,749 

2.49  % 1.15  % to 2.05  % 8.87  % to 9.81  %
2020 15,271 
$ 13.85 
to $ 14.92 
$ 221,761 

2.69  % 1.15  % to 2.05  % 5.04  % to 5.94  %
AZL MVP Global Balanced Index Strategy Fund







2024 25,334 
$ 14.41 
to $ 16.21 
$ 394,600 

1.59  % 1.15  % to 2.05  % 7.20  % to 8.18  %
2023 30,634 
$ 13.44 
to $ 14.98 
$ 442,420 

3.99  % 1.15  % to 2.05  % 11.55  % to 12.56  %
2022 35,209 
$ 12.05 
to $ 13.31 
$ 453,058 

2.84  % 1.15  % to 2.05  % (17.79) % to (17.05) %
2021 38,936 
$ 14.66 
to $ 16.04 
$ 605,711 

1.47  % 1.15  % to 2.05  % 5.86  % to 6.82  %
2020 43,019 
$ 13.85 
to $ 15.02 
$ 628,373 

9.13  % 1.15  % to 2.05  % 5.61  % to 6.58  %
AZL MVP Growth Index Strategy Fund







2024 73,271 
$ 17.24 
to $ 26.81 
$ 1,569,850 

1.52  % —  % to 3.40  % 8.32  % to 12.10  %
2023 88,059 
$ 15.91 
to $ 23.91 
$ 1,716,258 

1.95  % —  % to 3.40  % 12.92  % to 16.81  %
2022 100,561 
$ 14.09 
to $ 20.47 
$ 1,709,846 

1.69  % —  % to 3.40  % (17.93) % to (15.10) %
2021 112,524 
$ 17.26 
to $ 24.11 
$ 2,291,937 

1.70  % —  % to 3.40  % 12.56  % to 16.40  %
2020 126,639 
$ 15.33 
to $ 20.71 
$ 2,254,083 

1.86  % —  % to 3.40  % 1.27  % to 4.73  %
AZL MVP Moderate Index Strategy Fund







2024 14,411 
$ 18.57 
to $ 20.89 
$ 289,034 

1.58  % 1.15  % to 2.05  % 7.68  % to 8.67  %
2023 17,772 
$ 17.24 
to $ 19.22 
$ 329,036 

1.90  % 1.15  % to 2.05  % 12.27  % to 13.29  %
2022 20,800 
$ 15.36 
to $ 16.97 
$ 341,084 

1.96  % 1.15  % to 2.05  % (17.09) % to (16.34) %
2021 23,325 
$ 18.53 
to $ 20.28 
$ 458,639 

1.80  % 1.15  % to 2.05  % 10.18  % to 11.18  %
2020 26,364 
$ 16.82 
to $ 18.24 
$ 467,774 

1.87  % 1.15  % to 2.05  % 4.27  % to 5.23  %
AZL MVP T. Rowe Price Capital Appreciation Plus Fund





2024 44,047 
$ 19.67 
to $ 21.72 
$ 921,692 

4.75  % 1.15  % to 2.05  % 10.91  % to 11.93  %
2023 53,269 
$ 17.73 
to $ 19.41 
$ 999,694 

7.90  % 1.15  % to 2.05  % 14.98  % to 16.03  %
2022 61,436 
$ 15.42 
to $ 16.73 
$ 997,418 

7.34  % 1.15  % to 2.05  % (15.45) % to (14.69) %
2021 67,066 
$ 18.24 
to $ 19.61 
$ 1,280,437 

3.53  % 1.15  % to 2.05  % 14.66  % to 15.71  %
Page 56 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2020 72,009 
$ 15.91 
to $ 16.95 
$ 1,192,293 

2.83  % 1.15  % to 2.05  % 5.82  % to 6.79  %
AZL Russell 1000 Growth Index Fund Class 1





2024 2,663 
$ 34.94 
to $ 37.47 
$ 69,253 

0.92  % 1.15  % to 2.55  % 29.95  % to 31.07  %
2023 2,918 
$ 26.89 
to $ 28.59 
$ 58,701 

1.43  % 1.15  % to 2.55  % 39.95  % to 41.14  %
2022 3,275 
$ 19.21 
to $ 20.25 
$ 46,789 

0.60  % 1.15  % to 2.55  % (30.98) % to (30.40) %
2021 3,495 
$ 27.84 
to $ 29.10 
$ 74,879 

0.69  % 1.15  % to 2.55  % 24.37  % to 25.43  %
2020 3,828 
$ 22.38 
to $ 23.20 
$ 65,837 

1.15  % 1.15  % to 2.55  % 36.00  % to 37.17  %
AZL Russell 1000 Growth Index Fund Class 2





2024 8,824 
$ 47.77 
to $ 87.99 
$ 525,906 

0.22  % —  % to 3.40  % 27.99  % to 32.45  %
2023 10,474 
$ 37.32 
to $ 66.43 
$ 479,779 

0.37  % —  % to 3.40  % 37.93  % to 42.69  %
2022 12,365 
$ 27.06 
to $ 46.55 
$ 403,034 

0.06  % —  % to 3.40  % (31.94) % to (29.59) %
2021 14,314 
$ 39.76 
to $ 66.12 
$ 680,974 

0.25  % —  % to 3.40  % 22.63  % to 26.87  %
2020 17,486 
$ 32.63 
to $ 52.11 
$ 670,828 

0.56  % —  % to 3.40  % 34.01  % to 38.58  %
AZL Russell 1000 Value Index Fund Class 1





2024 10,525 
$ 16.88 
to $ 19.18 
$ 158,815 

2.77  % 1.15  % to 2.70  % 10.89  % to 12.64  %
2023 11,895 
$ 15.22 
to $ 17.03 
$ 161,258 

3.63  % 1.15  % to 2.70  % 8.73  % to 10.42  %
2022 13,259 
$ 14.00 
to $ 15.42 
$ 164,072 

2.10  % 1.15  % to 2.70  % (10.33) % to (8.93) %
2021 14,710 
$ 15.62 
to $ 16.93 
$ 201,593 

2.13  % 1.15  % to 2.70  % 21.23  % to 23.12  %
2020 11,271 
$ 12.88 
to $ 13.75 
$ 132,301 

3.03  % 1.15  % to 2.70  % (0.48) % to 1.08  %
AZL Russell 1000 Value Index Fund Class 2





2024 16,873 
$ 21.73 
to $ 40.79 
$ 449,209 

1.52  % —  % to 3.40  % 9.79  % to 13.62  %
2023 19,409 
$ 19.79 
to $ 35.90 
$ 464,516 

2.03  % —  % to 3.40  % 7.84  % to 11.56  %
2022 21,887 
$ 18.35 
to $ 32.18 
$ 482,400 

1.19  % —  % to 3.40  % (11.24) % to (8.18) %
2021 26,042 
$ 20.67 
to $ 35.05 
$ 641,646 

1.40  % —  % to 3.40  % 20.10  % to 24.25  %
2020 19,013 
$ 17.32 
to $ 28.21 
$ 383,626 

1.99  % —  % to 3.40  % (1.36) % to 2.01  %
AZL S&P 500 Index Fund





2024 20,825 
$ 28.38 
to $ 51.67 
$ 734,227 

1.07  % —  % to 3.40  % 20.24  % to 24.37  %
2023 24,263 
$ 23.59 
to $ 41.67 
$ 700,589 

1.24  % —  % to 3.40  % 21.55  % to 25.68  %
2022 27,711 
$ 19.40 
to $ 33.26 
$ 651,166 

1.03  % —  % to 3.40  % (21.19) % to (18.51) %
2021 32,352 
$ 24.60 
to $ 40.93 
$ 958,977 

1.01  % —  % to 3.40  % 23.90  % to 28.12  %
2020 38,580 
$ 19.68 
to $ 32.04 
$ 911,458 

1.68  % —  % to 3.40  % 11.39  % to 17.15  %
AZL Small Cap Stock Index Fund Class 1







2024 1,931 
$ 16.97 
to $ 19.20 
$ 32,288 

2.60  % 1.15  % to 2.70  % 5.44  % to 7.05  %
2023 2,169 
$ 16.10 
to $ 17.94 
$ 34,606 

2.08  % 1.15  % to 2.70  % 12.62  % to 14.32  %
2022 2,394 
$ 14.29 
to $ 15.69 
$ 33,791 

1.54  % 1.15  % to 2.70  % (18.63) % to (17.40) %
2021 2,633 
$ 17.56 
to $ 19.00 
$ 45,248 

1.16  % 1.15  % to 2.70  % 23.07  % to 24.93  %
2020 3,021 
$ 14.27 
to $ 15.20 
$ 42,048 

1.93  % 1.15  % to 2.70  % 8.07  % to 9.70  %
AZL Small Cap Stock Index Fund Class 2







2024 11,474 
$ 21.77 
to $ 39.02 
$ 306,185 

1.25  % —  % to 3.40  % 4.35  % to 7.99  %
2023 13,208 
$ 20.84 
to $ 36.14 
$ 332,838 

1.01  % —  % to 3.40  % 11.52  % to 15.36  %
2022 14,523 
$ 18.67 
to $ 31.32 
$ 325,252 

0.75  % —  % to 3.40  % (19.43) % to (16.65) %
2021 16,661 
$ 23.15 
to $ 37.58 
$ 459,022 

0.62  % —  % to 3.40  % 21.83  % to 26.04  %
2020 19,900 
$ 18.98 
to $ 29.82 
$ 443,512 

1.12  % —  % to 3.40  % 7.05  % to 10.71  %
AZL T. Rowe Price Capital Appreciation Fund







2024 15,950 
$ 24.93 
to $ 49.96 
$ 489,653 

2.23  % 0.30  % to 3.40  % 8.48  % to 11.87  %
Page 57 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2023 17,923 
$ 22.97 
to $ 44.66 
$ 502,283 

1.35  % 0.30  % to 3.40  % 14.58  % to 18.12  %
2022 19,653 
$ 20.04 
to $ 37.81 
$ 478,943 

0.68  % 0.30  % to 3.40  % (14.98) % to (12.35) %
2021 22,482 
$ 23.55 
to $ 43.14 
$ 642,013 

0.96  % 0.30  % to 3.40  % 14.23  % to 17.77  %
2020 24,624 
$ 20.61 
to $ 36.63 
$ 610,525 

1.38  % 0.30  % to 3.40  % 13.60  % to 17.13  %
BlackRock Equity Dividend V.I. Fund







2024 38 
$ 36.15 
to $ 36.15 
$ 1,360 

2.30  % 0.30  % to 0.30  % 9.37  % to 9.37  %
2023 39 
$ 33.06 
to $ 33.06 
$ 1,304 

1.81  % 0.30  % to 0.30  % 11.66  % to 11.66  %
2022 46 
$ 29.60 
to $ 29.60 
$ 1,359 

1.44  % 0.30  % to 0.30  % (4.39) % to (4.39) %
2021 45 
$ 30.96 
to $ 30.96 
$ 1,380 

1.31  % 0.30  % to 0.30  % 19.94  % to 19.94  %
2020 45 
$ 25.82 
to $ 25.82 
$ 1,170 

1.92  % 0.30  % to 0.30  % 3.26  % to 3.26  %
ClearBridge Variable Growth Portfolio







2024 16 
$ 34.81 
to $ 34.81 
$ 569 

0.13  % 0.30  % to 0.30  % 12.08  % to 12.08  %
2023 27 
$ 31.06 
to $ 31.06 
$ 842 

0.07  % 0.30  % to 0.30  % 23.76  % to 23.76  %
2022 29 
$ 25.09 
to $ 25.09 
$ 728 

—  % 0.30  % to 0.30  % (26.81) % to (26.81) %
2021 31 
$ 34.28 
to $ 34.28 
$ 1,055 

0.18  % 0.30  % to 0.30  % 9.71  % to 9.71  %
2020 41 
$ 31.25 
to $ 31.25 
$ 1,275 

0.59  % 0.30  % to 0.30  % 17.38  % to 17.38  %
Columbia Variable Portfolio – Seligman Global Technology Fund







2024 18 
$ 60.07 
to $ 70.64 
$ 1,226 

—  % 1.15  % to 2.55  % 24.32  % to 25.13  %
2023 23 
$ 48.32 
to $ 56.46 
$ 1,210 

—  % 1.15  % to 2.55  % 42.34  % to 43.27  %
2022 24 
$ 33.95 
to $ 39.41 
$ 906 

—  % 1.15  % to 2.55  % (33.11) % to (32.67) %
2021 27 
$ 50.75 
to $ 58.53 
$ 1,488 

0.37  % 1.15  % to 2.55  % 36.20  % to 37.09  %
2020 36 
$ 37.26 
to $ 42.69 
$ 1,446 

—  % 1.15  % to 2.55  % 43.21  % to 44.15  %
Davis VA Financial Portfolio







2024 925 
$ 22.59 
to $ 47.07 
$ 34,340 

1.81  % 1.00  % to 3.40  % 25.20  % to 27.87  %
2023 1,115 
$ 18.04 
to $ 36.81 
$ 32,598 

2.12  % 1.00  % to 3.40  % 11.50  % to 13.86  %
2022 1,228 
$ 16.17 
to $ 33.08 
$ 31,901 

1.75  % 1.00  % to 3.40  % (11.53) % to (9.57) %
2021 1,411 
$ 18.27 
to $ 36.58 
$ 41,160 

1.32  % 1.00  % to 3.40  % 26.30  % to 29.05  %
2020 1,725 
$ 14.46 
to $ 28.34 
$ 39,297 

1.50  % 1.00  % to 3.40  % (9.09) % to (7.07) %
Davis VA Real Estate Portfolio





2024 4 
$ 44.57 
to $ 50.48 
$ 182 

2.01  % 1.15  % to 2.55  % 2.93  % to 3.45  %
2023 4 
$ 43.30 
to $ 48.80 
$ 186 

2.51  % 1.15  % to 2.55  % 8.58  % to 9.12  %
2022 4 
$ 39.88 
to $ 44.72 
$ 184 

1.68  % 1.15  % to 2.55  % (28.18) % to (27.82) %
2021 4 
$ 55.52 
to $ 61.96 
$ 270 

1.18  % 1.15  % to 2.55  % 39.31  % to 40.01  %
2020 5 
$ 39.86 
to $ 44.25 
$ 206 

2.00  % 1.15  % to 2.55  % (9.82) % to (9.36) %
Eaton Vance VT Floating-Rate Income Fund







2024 58 
$ 21.46 
to $ 21.46 
$ 1,251 

7.88  % 0.30  % to 0.30  % 7.38  % to 7.38  %
2023 61 
$ 19.99 
to $ 19.99 
$ 1,221 

8.20  % 0.30  % to 0.30  % 10.91  % to 10.91  %
2022 63 
$ 18.02 
to $ 18.02 
$ 1,136 

4.60  % 0.30  % to 0.30  % (3.04) % to (3.04) %
2021 62 
$ 18.58 
to $ 18.58 
$ 1,159 

2.90  % 0.30  % to 0.30  % 3.32  % to 3.32  %
2020 64 
$ 17.99 
to $ 17.99 
$ 1,148 

3.37  % 0.30  % to 0.30  % 1.69  % to 1.69  %
Fidelity VIP Emerging Markets Portfolio







2024 91 
$ 16.03 
to $ 16.03 
$ 1,457 

1.12  % 0.30  % to 0.30  % 9.37  % to 9.37  %
2023 120 
$ 14.66 
to $ 14.66 
$ 1,755 

1.96  % 0.30  % to 0.30  % 9.16  % to 9.16  %
2022 129 
$ 13.43 
to $ 13.43 
$ 1,732 

1.51  % 0.30  % to 0.30  % (20.61) % to (20.61) %
2021 130 
$ 16.92 
to $ 16.92 
$ 2,199 

1.17  % 0.30  % to 0.30  % (2.70) % to (2.70) %
Page 58 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2020 262 
$ 17.39 
to $ 17.39 
$ 4,563 

0.77  % 0.30  % to 0.30  % 30.48  % to 30.48  %
Fidelity VIP Mid Cap Portfolio







2024 5 
$ 110.09 
to $ 110.09 
$ 591 

0.35  % 0.30  % to 0.30  % 16.82  % to 16.82  %
2023 6 
$ 94.24 
to $ 94.24 
$ 540 

0.35  % 0.30  % to 0.30  % 14.46  % to 14.46  %
2022 7 
$ 82.34 
to $ 82.34 
$ 562 

0.27  % 0.30  % to 0.30  % (15.22) % to (15.22) %
2021 6 
$ 97.12 
to $ 97.12 
$ 610 

0.32  % 0.30  % to 0.30  % 24.93  % to 24.93  %
2020 8 
$ 77.74 
to $ 77.74 
$ 611 

0.42  % 0.30  % to 0.30  % 17.51  % to 17.51  %
Fidelity VIP Strategic Income Portfolio







2024 51 
$ 24.87 
to $ 24.87 
$ 1,280 

3.33  % 0.30  % to 0.30  % 5.46  % to 5.46  %
2023 59 
$ 23.58 
to $ 23.58 
$ 1,386 

4.23  % 0.30  % to 0.30  % 8.85  % to 8.85  %
2022 67 
$ 21.66 
to $ 21.66 
$ 1,452 

3.00  % 0.30  % to 0.30  % (11.78) % to (11.78) %
2021 82 
$ 24.56 
to $ 24.56 
$ 2,017 

2.34  % 0.30  % to 0.30  % 3.22  % to 3.22  %
2020 87 
$ 23.79 
to $ 23.79 
$ 2,076 

3.54  % 0.30  % to 0.30  % 6.84  % to 6.84  %
Franklin Rising Dividends VIP Fund







2024 2,300 
$ 88.82 
to $ 207.68 
$ 171,551 

1.10  % 0.30  % to 2.70  % 7.81  % to 10.45  %
2023 2,538 
$ 82.39 
to $ 188.03 
$ 182,196 

1.01  % 0.30  % to 2.70  % 9.10  % to 11.74  %
2022 2,789 
$ 75.52 
to $ 168.27 
$ 186,200 

0.93  % 0.30  % to 2.70  % (12.95) % to (10.84) %
2021 3,043 
$ 86.75 
to $ 188.72 
$ 240,532 

0.94  % 0.30  % to 2.70  % 23.41  % to 26.41  %
2020 3,364 
$ 70.29 
to $ 149.29 
$ 218,720 

1.35  % 0.30  % to 2.70  % 12.87  % to 15.62  %
Franklin U.S. Government Securities VIP Fund







2024 3,904 
$ 13.39 
to $ 44.47 
$ 93,083 

3.10  % —  % to 3.40  % (2.00) % to 1.37  %
2023 4,510 
$ 13.66 
to $ 43.87 
$ 108,328 

2.76  % —  % to 3.40  % 1.03  % to 4.47  %
2022 5,123 
$ 13.52 
to $ 41.99 
$ 119,567 

2.42  % —  % to 3.40  % (12.72) % to (9.75) %
2021 5,955 
$ 15.50 
to $ 46.53 
$ 157,809 

2.50  % —  % to 3.40  % (5.06) % to (1.83) %
2020 6,556 
$ 16.32 
to $ 47.40 
$ 180,119 

3.47  % —  % to 3.40  % 0.40  % to 3.83  %
Invesco Oppenheimer V.I. International Growth Fund







2024 23 
$ 31.89 
to $ 31.89 
$ 729 

0.33  % 0.30  % to 0.30  % (2.11) % to (2.11) %
2023 30 
$ 32.57 
to $ 32.57 
$ 983 

0.28  % 0.30  % to 0.30  % 20.28  % to 20.28  %
2022 37 
$ 27.08 
to $ 27.08 
$ 998 

—  % 0.30  % to 0.30  % (27.38) % to (27.38) %
2021 40 
$ 37.30 
to $ 37.30 
$ 1,477 

—  % 0.30  % to 0.30  % 9.79  % to 9.79  %
2020 39 
$ 33.97 
to $ 33.97 
$ 1,336 

0.58  % 0.30  % to 0.30  % 20.68  % to 20.68  %
Invesco V.I. American Value Fund







2024 3 
$ 77.67 
to $ 77.67 
$ 243 

0.56  % 0.30  % to 0.30  % 29.70  % to 29.70  %
2023 6 
$ 59.88 
to $ 59.88 
$ 343 

0.39  % 0.30  % to 0.30  % 14.95  % to 14.95  %
2022 6 
$ 52.10 
to $ 52.10 
$ 322 

0.47  % 0.30  % to 0.30  % (3.15) % to (3.15) %
2021 7 
$ 53.79 
to $ 53.79 
$ 376 

0.24  % 0.30  % to 0.30  % 27.24  % to 27.24  %
2020 10 
$ 42.28 
to $ 42.28 
$ 422 

0.55  % 0.30  % to 0.30  % 0.55  % to 0.55  %
Invesco V.I. Balanced-Risk Allocation Fund





2024 8 
$ 24.87 
to $ 24.87 
$ 196 

6.78  % 0.30  % to 0.30  % 3.25  % to 3.25  %
2023 8 
$ 24.09 
to $ 24.09 
$ 183 

—  % 0.30  % to 0.30  % 6.08  % to 6.08  %
2022 11 
$ 22.71 
to $ 22.71 
$ 248 

6.81  % 0.30  % to 0.30  % (14.77) % to (14.77) %
2021 15 
$ 26.64 
to $ 26.64 
$ 396 

2.96  % 0.30  % to 0.30  % 8.93  % to 8.93  %
2020 16 
$ 24.46 
to $ 24.46 
$ 394 

7.83  % 0.30  % to 0.30  % 9.66  % to 9.66  %
Invesco V.I. Global Strategic Income Fund







2024 47 
$ 18.55 
to $ 29.85 
$ 1,126 

2.92  % 1.15  % to 2.70  % 0.44  % to 1.97  %
Page 59 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2023 54 
$ 18.47 
to $ 29.27 
$ 1,261 

—  % 1.15  % to 2.70  % 6.04  % to 7.64  %
2022 60 
$ 17.16 
to $ 27.19 
$ 1,321 

—  % 1.15  % to 2.70  % (13.81) % to (12.47) %
2021 73 
$ 19.91 
to $ 31.07 
$ 1,840 

4.57  % 1.15  % to 2.70  % (5.99) % to (4.52) %
2020 81 
$ 21.18 
to $ 32.54 
$ 2,167 

5.91  % 1.15  % to 2.70  % 0.64  % to 2.22  %
Lazard Retirement International Equity Portfolio







2024 7 
$ 26.28 
to $ 26.28 
$ 175 

2.85  % 0.30  % to 0.30  % 5.31  % to 5.31  %
2023 10 
$ 24.96 
to $ 24.96 
$ 262 

1.31  % 0.30  % to 0.30  % 15.53  % to 15.53  %
2022 10 
$ 21.60 
to $ 21.60 
$ 223 

3.63  % 0.30  % to 0.30  % (15.26) % to (15.26) %
2021 11 
$ 25.49 
to $ 25.49 
$ 273 

0.94  % 0.30  % to 0.30  % 5.52  % to 5.52  %
2020 12 
$ 24.16 
to $ 24.16 
$ 283 

2.24  % 0.30  % to 0.30  % 7.91  % to 7.91  %
Lazard Retirement U.S. Small-Mid Cap Equity Portfolio







2024 74 
$ 69.74 
to $ 69.74 
$ 5,160 

—  % 0.30  % to 0.30  % 10.78  % to 10.78  %
2023 77 
$ 62.95 
to $ 62.95 
$ 4,845 

—  % 0.30  % to 0.30  % 9.70  % to 9.70  %
2022 5 
$ 57.39 
to $ 57.39 
$ 289 

—  % 0.30  % to 0.30  % (15.77) % to (15.77) %
2021 5 
$ 68.13 
to $ 68.13 
$ 349 

0.05  % 0.30  % to 0.30  % 19.51  % to 19.51  %
2020 9 
$ 57.01 
to $ 57.01 
$ 536 

0.04  % 0.30  % to 0.30  % 6.47  % to 6.47  %
LVIP JPMorgan Core Bond Fund







2024 822 
$ 8.31 
to $ 13.91 
$ 10,365 

3.82  % 0.30  % to 2.05  % (0.57) % to 1.15  %
2023² 979 
$ 8.22 
to $ 13.87 
$ 12,384 

1.34  % 0.30  % to 2.05  % 0.31  % to 1.46  %
Macquarie VIP Asset Strategy Series







2024 11 
$ 101.52 
to $ 101.52 
$ 1,104 

1.94  % 0.30  % to 0.30  % 12.10  % to 12.10  %
2023 11 
$ 90.57 
to $ 90.57 
$ 992 

2.14  % 0.30  % to 0.30  % 13.60  % to 13.60  %
2022 11 
$ 79.73 
to $ 79.73 
$ 898 

1.58  % 0.30  % to 0.30  % (14.99) % to (14.99) %
2021 11 
$ 93.79 
to $ 93.79 
$ 1,073 

1.62  % 0.30  % to 0.30  % 10.11  % to 10.11  %
2020 11 
$ 85.18 
to $ 85.18 
$ 976 

2.10  % 0.30  % to 0.30  % 13.54  % to 13.54  %
Macquarie VIP Energy Series







2024 6 
$ 10.79 
to $ 10.79 
$ 67 

3.06  % 0.30  % to 0.30  % (5.88) % to (5.88) %
2023 7 
$ 11.47 
to $ 11.47 
$ 77 

3.32  % 0.30  % to 0.30  % 3.70  % to 3.70  %
2022 7 
$ 11.06 
to $ 11.06 
$ 77 

3.14  % 0.30  % to 0.30  % 50.02  % to 50.02  %
2021 7 
$ 7.37 
to $ 7.37 
$ 51 

1.38  % 0.30  % to 0.30  % 41.57  % to 41.57  %
2020 8 
$ 5.21 
to $ 5.21 
$ 43 

1.66  % 0.30  % to 0.30  % (37.02) % to (37.02) %
Macquarie VIP Growth Series







2024 1 
$ 614.96 
to $ 614.96 
$ 640 

—  % 0.30  % to 0.30  % 23.52  % to 23.52  %
2023 1 
$ 497.86 
to $ 497.86 
$ 531 

—  % 0.30  % to 0.30  % 37.51  % to 37.51  %
2022 1 
$ 362.05 
to $ 362.05 
$ 398 

—  % 0.30  % to 0.30  % (27.41) % to (27.41) %
2021 1 
$ 498.75 
to $ 498.75 
$ 594 

—  % 0.30  % to 0.30  % 29.64  % to 29.64  %
2020 1 
$ 384.73 
to $ 384.73 
$ 506 

—  % 0.30  % to 0.30  % 30.16  % to 30.16  %
Macquarie VIP Mid Cap Growth Series







2024 9 
$ 70.38 
to $ 70.38 
$ 607 

—  % 0.30  % to 0.30  % 1.89  % to 1.89  %
2023 10 
$ 69.07 
to $ 69.07 
$ 698 

—  % 0.30  % to 0.30  % 19.26  % to 19.26  %
2022 11 
$ 57.92 
to $ 57.92 
$ 634 

—  % 0.30  % to 0.30  % (31.00) % to (31.00) %
2021 12 
$ 83.94 
to $ 83.94 
$ 968 

—  % 0.30  % to 0.30  % 16.01  % to 16.01  %
2020 12 
$ 72.36 
to $ 72.36 
$ 889 

—  % 0.30  % to 0.30  % 48.55  % to 48.55  %
Macquarie VIP Natural Resources Series







2024 7 
$ 13.98 
to $ 13.98 
$ 93 

5.54  % 0.30  % to 0.30  % (0.88) % to (0.88) %
Page 60 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2023 6 
$ 14.10 
to $ 14.10 
$ 86 

2.46  % 0.30  % to 0.30  % 1.28  % to 1.28  %
2022 6 
$ 13.92 
to $ 13.92 
$ 86 

1.57  % 0.30  % to 0.30  % 17.42  % to 17.42  %
2021 7 
$ 11.86 
to $ 11.86 
$ 80 

1.45  % 0.30  % to 0.30  % 26.30  % to 26.30  %
2020 6 
$ 9.39 
to $ 9.39 
$ 59 

2.48  % 0.30  % to 0.30  % (12.25) % to (12.25) %
Macquarie VIP Science and Technology Series







2024 2 
$ 404.34 
to $ 404.34 
$ 835 

—  % 0.30  % to 0.30  % 30.20  % to 30.20  %
2023 2 
$ 310.56 
to $ 310.56 
$ 726 

—  % 0.30  % to 0.30  % 38.65  % to 38.65  %
2022 3 
$ 224.00 
to $ 224.00 
$ 623 

—  % 0.30  % to 0.30  % (32.04) % to (32.04) %
2021 3 
$ 329.62 
to $ 329.62 
$ 1,020 

—  % 0.30  % to 0.30  % 14.82  % to 14.82  %
2020 4 
$ 287.07 
to $ 287.07 
$ 1,046 

—  % 0.30  % to 0.30  % 34.95  % to 34.95  %
MFS International Intrinsic Value Portfolio







2024 49 
$ 26.39 
to $ 26.39 
$ 1,285 

1.13  % 0.30  % to 0.30  % 6.64  % to 6.64  %
2023 66 
$ 24.74 
to $ 24.74 
$ 1,638 

0.46  % 0.30  % to 0.30  % 17.02  % to 17.02  %
2022 79 
$ 21.15 
to $ 21.15 
$ 1,670 

0.50  % 0.30  % to 0.30  % (23.98) % to (23.98) %
2021 89 
$ 27.82 
to $ 27.82 
$ 2,463 

0.14  % 0.30  % to 0.30  % 9.95  % to 9.95  %
2020 103 
$ 25.30 
to $ 25.30 
$ 2,598 

0.77  % 0.30  % to 0.30  % 19.85  % to 19.85  %
MFS VIT Total Return Bond Portfolio







2024 997 
$ 15.65 
to $ 23.84 
$ 18,083 

4.03  % 0.30  % to 2.05  % 0.29  % to 2.02  %
2023 1,044 
$ 15.61 
to $ 23.37 
$ 18,652 

2.97  % 0.30  % to 2.05  % 5.01  % to 6.81  %
2022 1,301 
$ 14.86 
to $ 21.88 
$ 21,800 

2.40  % 0.30  % to 2.05  % (15.88) % to (14.44) %
2021 1,551 
$ 17.67 
to $ 25.57 
$ 30,750 

2.47  % 0.30  % to 2.05  % (3.03) % to (1.36) %
2020 1,789 
$ 18.03 
to $ 25.92 
$ 36,398 

3.24  % 0.30  % to 2.05  % 5.97  % to 7.85  %
MFS VIT Utilities Portfolio







2024 4 
$ 48.73 
to $ 48.73 
$ 210 

2.10  % 0.30  % to 0.30  % 11.01  % to 11.01  %
2023 4 
$ 43.90 
to $ 43.90 
$ 187 

3.28  % 0.30  % to 0.30  % (2.62) % to (2.62) %
2022 3 
$ 45.08 
to $ 45.08 
$ 142 

2.30  % 0.30  % to 0.30  % 0.18  % to 0.18  %
2021 2 
$ 45.00 
to $ 45.00 
$ 93 

1.58  % 0.30  % to 0.30  % 13.48  % to 13.48  %
2020 3 
$ 39.66 
to $ 39.66 
$ 107 

2.05  % 0.30  % to 0.30  % 5.30  % to 5.30  %
PIMCO VIT Balanced Allocation Portfolio







2024 9,321 
$ 11.38 
to $ 17.29 
$ 131,405 

4.40  % —  % to 3.40  % 5.38  % to 8.95  %
2023 10,955 
$ 10.80 
to $ 15.87 
$ 144,077 

2.78  % —  % to 3.40  % 11.36  % to 15.09  %
2022 12,701 
$ 9.70 
to $ 13.79 
$ 147,616 

0.97  % —  % to 3.40  % (18.84) % to (16.12) %
2021 14,111 
$ 11.95 
to $ 16.44 
$ 198,686 

0.09  % —  % to 3.40  % 2.50  % to 9.70  %
2020 5,811 
$ 12.40 
to $ 13.41 
$ 75,819 

0.98  % 1.15  % to 2.05  % 8.86  % to 9.85  %
PIMCO VIT CommodityRealReturn Strategy Portfolio







2024 4,120 
$ 5.50 
to $ 10.53 
$ 27,134 

2.19  % —  % to 3.40  % 0.70  % to 4.16  %
2023 4,250 
$ 5.46 
to $ 10.11 
$ 27,558 

16.27  % —  % to 3.40  % (10.88) % to (7.85) %
2022 4,273 
$ 6.12 
to $ 10.97 
$ 31,764 

21.58  % —  % to 3.40  % 5.05  % to 8.61  %
2021 5,630 
$ 5.82 
to $ 10.10 
$ 39,437 

4.15  % —  % to 3.40  % 28.95  % to 33.34  %
2020 7,179 
$ 4.51 
to $ 7.57 
$ 38,457 

6.52  % —  % to 3.40  % (2.00) % to 1.35  %
PIMCO VIT Emerging Markets Bond Portfolio







2024 2,561 
$ 13.76 
to $ 26.35 
$ 46,439 

6.43  % —  % to 3.40  % 3.98  % to 7.55  %
2023 2,999 
$ 13.22 
to $ 30.49 
$ 51,627 

5.70  % —  % to 3.40  % 7.49  % to 11.14  %
2022 3,452 
$ 12.30 
to $ 27.86 
$ 54,602 

4.82  % —  % to 3.40  % (18.50) % to (15.73) %
2021 3,790 
$ 15.08 
to $ 33.58 
$ 72,587 

4.48  % —  % to 3.40  % (5.78) % to (2.57) %
Page 61 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2020 4,292 
$ 16.00 
to $ 35.00 
$ 86,204 

4.61  % —  % to 3.40  % 3.18  % to 6.70  %
PIMCO VIT Global Core Bond (Hedged) Portfolio







2024 7,595 
$ 7.70 
to $ 12.19 
$ 72,392 

3.71  % —  % to 3.40  % 0.12  % to 3.56  %
2023 8,663 
$ 7.69 
to $ 11.77 
$ 81,343 

2.30  % —  % to 3.40  % 4.43  % to 7.98  %
2022 9,672 
$ 7.37 
to $ 10.90 
$ 85,804 

1.60  % —  % to 3.40  % (14.45) % to (11.55) %
2021 11,150 
$ 8.61 
to $ 12.32 
$ 113,863 

2.00  % —  % to 3.40  % (4.76) % to (0.23) %
2020 7,411 
$ 9.17 
to $ 11.20 
$ 79,472 

6.12  % 1.15  % to 3.40  % 4.70  % to 6.87  %
PIMCO VIT High Yield Portfolio







2024 9,509 
$ 16.57 
to $ 39.43 
$ 244,219 

5.85  % —  % to 3.40  % 3.30  % to 6.90  %
2023 11,620 
$ 16.04 
to $ 36.88 
$ 285,130 

5.68  % —  % to 3.40  % 8.51  % to 12.25  %
2022 14,204 
$ 14.79 
to $ 32.86 
$ 317,238 

5.04  % —  % to 3.40  % (13.29) % to (10.30) %
2021 16,580 
$ 17.05 
to $ 36.63 
$ 420,245 

4.44  % —  % to 3.40  % 0.17  % to 3.63  %
2020 19,322 
$ 17.22 
to $ 35.34 
$ 481,389 

4.85  % —  % to 3.40  % 2.26  % to 5.76  %
PIMCO VIT Long-Term U.S. Government Portfolio







2024 85 
$ 17.05 
to $ 29.25 
$ 1,725 

2.71  % —  % to 2.60  % (8.26) % to (6.30) %
2023 109 
$ 19.29 
to $ 31.21 
$ 2,452 

2.36  % —  % to 2.60  % 1.68  % to 3.68  %
2022 127 
$ 18.97 
to $ 30.11 
$ 2,885 

2.04  % —  % to 2.60  % (30.47) % to (29.10) %
2021 130 
$ 26.67 
to $ 42.47 
$ 4,225 

1.58  % —  % to 2.60  % (6.99) % to (5.07) %
2020 158 
$ 28.68 
to $ 44.73 
$ 5,405 

1.69  % —  % to 2.60  % 14.68  % to 17.06  %
PIMCO VIT Low Duration Portfolio







2024 305 
$ 20.09 
to $ 20.09 
$ 6,123 

3.99  % 0.30  % to 0.30  % 4.19  % to 4.19  %
2023 317 
$ 19.28 
to $ 19.28 
$ 6,121 

3.61  % 0.30  % to 0.30  % 4.66  % to 4.66  %
2022 320 
$ 18.42 
to $ 18.42 
$ 5,901 

1.70  % 0.30  % to 0.30  % (6.02) % to (6.02) %
2021 321 
$ 19.60 
to $ 19.60 
$ 6,294 

0.52  % 0.30  % to 0.30  % (1.22) % to (1.22) %
2020 336 
$ 19.85 
to $ 19.85 
$ 6,668 

1.27  % 0.30  % to 0.30  % 2.68  % to 2.68  %
PIMCO VIT Real Return Portfolio







2024 9,175 
$ 10.77 
to $ 22.51 
$ 136,774 

2.63  % —  % to 3.40  % (1.26) % to 2.13  %
2023 10,635 
$ 10.90 
to $ 22.39 
$ 158,429 

2.99  % —  % to 3.40  % 0.26  % to 3.67  %
2022 12,091 
$ 10.87 
to $ 21.93 
$ 176,935 

7.05  % —  % to 3.40  % (14.80) % to (11.91) %
2021 13,984 
$ 12.75 
to $ 25.29 
$ 236,784 

4.93  % —  % to 3.40  % 2.13  % to 5.61  %
2020 16,003 
$ 12.48 
to $ 24.32 
$ 261,562 

1.41  % —  % to 3.40  % 8.08  % to 11.72  %
PIMCO VIT StocksPLUS Global Portfolio







2024 8,710 
$ 9.02 
to $ 26.30 
$ 165,807 

5.09  % 0.30  % to 3.40  % 9.61  % to 13.03  %
2023 10,052 
$ 8.13 
to $ 23.27 
$ 173,035 

2.77  % 0.30  % to 3.40  % 18.80  % to 22.47  %
2022 11,407 
$ 6.77 
to $ 19.00 
$ 163,479 

1.15  % 0.30  % to 3.40  % (21.45) % to (19.03) %
2021 12,684 
$ 8.52 
to $ 23.46 
$ 232,366 

0.09  % 0.30  % to 3.40  % 15.40  % to 18.97  %
2020 14,716 
$ 7.30 
to $ 19.72 
$ 231,036 

1.12  % 0.30  % to 3.40  % 9.30  % to 12.70  %
PIMCO VIT Total Return Portfolio







2024 26,324 
$ 11.94 
to $ 29.27 
$ 490,925 

4.04  % —  % to 3.40  % (0.87) % to 2.54  %
2023 30,549 
$ 12.04 
to $ 28.54 
$ 567,133 

3.56  % —  % to 3.40  % 2.46  % to 5.94  %
2022 34,883 
$ 11.74 
to $ 26.94 
$ 624,283 

2.60  % —  % to 3.40  % (17.12) % to (14.31) %
2021 38,985 
$ 14.16 
to $ 31.44 
$ 828,615 

1.82  % —  % to 3.40  % (4.52) % to (1.27) %
2020 36,758 
$ 14.82 
to $ 31.85 
$ 800,296 

2.13  % —  % to 3.40  % 5.07  % to 8.66  %
T. Rowe Price Blue Chip Growth Portfolio







2024 45 
$ 95.66 
to $ 95.66 
$ 4,282 

—  % 0.30  % to 0.30  % 34.76  % to 34.76  %
Page 62 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024









































At December 31
For the years or periods ended December 31

Units Outstanding **** Unit Fair Value lowest to highest Net Assets ****
Investment Income Ratio* Expense Ratio
lowest to highest**		 Total Return
lowest to highest***
2023 52 
$ 70.98 
to $ 70.98 
$ 3,704 

—  % 0.30  % to 0.30  % 48.51  % to 48.51  %
2022 57 
$ 47.80 
to $ 47.80 
$ 2,720 

—  % 0.30  % to 0.30  % (38.85) % to (38.85) %
2021 61 
$ 78.16 
to $ 78.16 
$ 4,737 

—  % 0.30  % to 0.30  % 16.98  % to 16.98  %
2020 63 
$ 66.81 
to $ 66.81 
$ 4,230 

—  % 0.30  % to 0.30  % 33.51  % to 33.51  %
T. Rowe Price Equity Income Portfolio







2024 23 
$ 47.05 
to $ 47.05 
$ 1,059 

1.61  % 0.30  % to 0.30  % 11.04  % to 11.04  %
2023 29 
$ 42.37 
to $ 42.37 
$ 1,210 

1.82  % 0.30  % to 0.30  % 8.99  % to 8.99  %
2022 36 
$ 38.88 
to $ 38.88 
$ 1,405 

1.70  % 0.30  % to 0.30  % (3.87) % to (3.87) %
2021 34 
$ 40.44 
to $ 40.44 
$ 1,389 

1.45  % 0.30  % to 0.30  % 24.84  % to 24.84  %
2020 28 
$ 32.40 
to $ 32.40 
$ 917 

2.07  % 0.30  % to 0.30  % 0.65  % to 0.65  %
T. Rowe Price Health Sciences Portfolio







2024 4 
$ 119.58 
to $ 119.58 
$ 536 

—  % 0.30  % to 0.30  % 1.11  % to 1.11  %
2023 5 
$ 118.27 
to $ 118.27 
$ 619 

—  % 0.30  % to 0.30  % 2.38  % to 2.38  %
2022 8 
$ 115.52 
to $ 115.52 
$ 881 

—  % 0.30  % to 0.30  % (12.95) % to (12.95) %
2021 8 
$ 132.70 
to $ 132.70 
$ 1,051 

—  % 0.30  % to 0.30  % 12.49  % to 12.49  %
2020 9 
$ 117.96 
to $ 117.96 
$ 1,004 

—  % 0.30  % to 0.30  % 28.88  % to 28.88  %
Templeton Global Bond VIP Fund







2024 6,792 
$ 16.87 
to $ 57.42 
$ 216,893 

—  % —  % to 3.40  % (14.36) % to (11.37) %
2023 7,507 
$ 19.70 
to $ 64.79 
$ 276,461 

—  % —  % to 3.40  % (0.55) % to 2.88  %
2022 8,678 
$ 19.80 
to $ 62.98 
$ 316,928 

—  % —  % to 3.40  % (8.12) % to (4.95) %
2021 10,147 
$ 21.55 
to $ 66.26 
$ 396,914 

—  % —  % to 3.40  % (8.17) % to (4.99) %
2020 11,044 
$ 23.85 
to $ 69.74 
$ 463,529 

8.33  % —  % to 3.40  % (8.41) % to (5.28) %





















 1. Period from June 18, 2021 (fund commencement) to December 31, 2021





 2. Period from April 28, 2023 (fund commencement) to December 31, 2023






* These amounts represent the dividends, excluding distributions of capital gains, received by the subaccount from the underlying fund, net of management fees assessed by the fund manager, divided by the average daily net assets. These ratios exclude those expenses, such as mortality and expense risk and administrative charges, that result in direct reductions in the unit values. The recognition of investment income by the subaccount is affected by the timing of the declaration of dividends by the underlying fund in which the subaccounts invest.

** These ratios represent the annualized contract expenses of the Variable Account, consisting primarily of mortality and expense risk and administrative charges, for each period indicated, based on the products available to the contractholders. The ratios include only those expenses that result in a direct reduction to unit values. Charges made directly to contractholder accounts through the redemption of units such as the contract maintenance charges and rider charges for the optional benefits, the account fee for the Income Advantage Account, and expenses of the underlying funds are excluded. Mortality and expense risk and administrative charges for all funds in annuitized contracts are excluded from the expense ratio.

*** These amounts represent the total return for the periods indicated, including changes in the value of the underlying fund, and reflect contract expenses of the Variable Account for products held at the time by contractholders. The total return does not include any expenses assessed through the redemption of units. Inclusion of these expenses in the calculation would result in a reduction in the total return presented. Funds with a date notation, as shown above, indicate the effective date of that fund in the Variable Account. The total return is calculated for the period indicated or from the effective date through the end of the reporting period. The total return is presented as a range of minimum to maximum values. Based on the product grouping representing the minimum and maximum expense ratio amounts, some individual contract returns are not within the ranges presented and are not annualized.

**** Units Outstanding excludes units for annuitized contracts. Total Net Assets includes the net assets of the annuitized contracts. Total net assets of annuitized contracts at December 31, 2024, 2023, 2022, 2021 and 2020, are $19,682, $14,063, $15,614, $10,473, and $9,974, respectively.
Page 63 of 64

ALLIANZ LIFE VARIABLE ACCOUNT B
OF ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to the Financial Statements
December 31, 2024



(7) Subsequent Events
No material subsequent events have occurred since December 31, 2024 through April 7, 2025, the date at which the financial statements were issued, that would require adjustment to the financial statements.

Page 64 of 64















ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statutory Financial Statements
December 31, 2024 and 2023
(With Report of Independent Auditors Thereon)





Report of Independent Auditors

To the Board of Directors of Allianz Life Insurance Company of North America

Opinions

We have audited the accompanying statutory financial statements of Allianz Life Insurance Company of North America (the "Company"), which comprise the statutory statements of admitted assets, liabilities and capital and surplus as of December 31, 2024 and 2023, and the related statutory statements of operations, of capital and surplus, and of cash flow for each of the three years in the period ended December 31, 2024, including the related notes (collectively referred to as the "financial statements").

Unmodified Opinion on Statutory Basis of Accounting

In our opinion, the accompanying financial statements present fairly, in all material respects, the admitted assets, liabilities and capital and surplus of the Company as of December 31, 2024 and 2023, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2024, in accordance with the accounting practices prescribed or permitted by the Minnesota Department of Commerce Insurance Division described in Note 2.

Adverse Opinion on U.S. Generally Accepted Accounting Principles

In our opinion, because of the significance of the matter discussed in the Basis for Adverse Opinion on U.S. Generally Accepted Accounting Principles section of our report, the accompanying financial statements do not present fairly, in accordance with accounting principles generally accepted in the United States of America, the financial position of the Company as of December 31, 2024 and 2023, or the results of its operations or its cash flows for each of the three years in the period ended December 31, 2024.

Basis for Opinions

We conducted our audit in accordance with auditing standards generally accepted in the United States of America (US GAAS). Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Company and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.

Basis for Adverse Opinion on U.S. Generally Accepted Accounting Principles

As described in Note 2 to the financial statements, the financial statements are prepared by the Company on the basis of the accounting practices prescribed or permitted by the Minnesota Department of Commerce Insurance Division, which is a basis of accounting other than accounting principles generally accepted in the United States of America.

The effects on the financial statements of the variances between the statutory basis of accounting described in Note 2 and accounting principles generally accepted in the United States of America, although not reasonably determinable, are presumed to be material.

Responsibilities of Management for the Financial Statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance with the accounting practices prescribed or permitted by the Minnesota Department of Commerce Insurance Division. Management is also responsible for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for one year after the date the financial statements are available to be issued.

Statutory Financial Statements as of December 31, 2024
Page 1 of 69




Auditors' Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with US GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with US GAAS, we:

•Exercise professional judgment and maintain professional skepticism throughout the audit.
•Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
•Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control. Accordingly, no such opinion is expressed.
•Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
•Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

/s/PricewaterhouseCoopers LLP

Minneapolis, Minnesota
April 7, 2025





Statutory Financial Statements as of December 31, 2024
Page 2 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus
December 31, 2024 and 2023
(Dollars in millions, except share data)













Admitted Assets 2024
2023
Cash and invested assets:



Bonds
$ 87,377 

89,197 
Stocks
329 

323 
Investment in subsidiaries
1,530 

1,442 
Mortgage loans on real estate
17,639 

18,115 
Real estate
99 

92 
Cash, cash equivalents and short-term investments
2,390 

3,431 
Policy loans
835 

509 
Derivative assets
3,413 

3,278 
Other invested assets
4,482 

4,754 
Total cash and invested assets
118,094 

121,141 
Investment income due and accrued
1,592 

1,471 
Current federal and foreign income tax recoverable
738 

583 
Deferred tax asset, net
594 

564 
Other assets
1,819 

1,326 
Admitted assets, exclusive of separate account assets
122,837 

125,085 
Separate account assets
62,629 

52,781 
Total admitted assets
$ 185,466 

177,866 
See accompanying notes to statutory financial statements.





Statutory Financial Statements as of December 31, 2024
Page 3 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus
December 31, 2024 and 2023
(Dollars in millions, except share data)













Liabilities and Capital and Surplus 2024
2023
Policyholder liabilities:



Life policies and annuity contracts
$ 92,041 

91,114 
Accident and health policies
2,831 

2,666 
Deposit-type contracts
3,557 

3,842 
Life policy and contract claims
8 

24 
Accident and health policy and contract claims
27 

24 
Funds held under reinsurance treaties
8,556 

10,034 
Other policyholder funds
179 

188 
Total policyholder liabilities
107,199 

107,892 
Interest maintenance reserve
63 

93 
General expenses due and accrued
228 

174 
Due from separate accounts
(2,422)

(1,325)
Current income taxes payable
4 

66 
Borrowed money
2,515 

2,515 
Asset valuation reserve
1,493 

1,442 
Derivative liabilities
2,673 

2,835 
Other liabilities
3,919 

4,359 
Liabilities, exclusive of separate account liabilities
115,672 

118,051 
Separate account liabilities
62,629 

52,781 
Total liabilities
178,301 

170,832 
Capital and surplus:



Class A, Series A preferred stock, $1 par value. Authorized, issued, and outstanding, 8,909,195 shares; liquidation preference of $6 and $0 at December 31, 2024 and 2023, respectively
9 

9 
Class A, Series B preferred stock, $1 par value. Authorized, 10,000,000 shares; issued and outstanding, 9,994,289 shares; liquidation preference of $5 and $0 at December 31, 2024 and 2023, respectively
10 

10 
Common stock, $1 par value. Authorized, 40,000,000 shares; issued and outstanding, 20,000,001 shares at December 31, 2024 and 2023, respectively
20 

20 
Additional paid-in capital
3,676 

3,676 
Special surplus funds
373 

(13)
Unassigned surplus
3,077 

3,332 
Total capital and surplus
7,165 

7,034 
Total liabilities and capital and surplus
$ 185,466 

177,866 





See accompanying notes to statutory financial statements.




Statutory Financial Statements as of December 31, 2024
Page 4 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statutory Statements of Operations
Years ended December 31, 2024, 2023, and 2022
(Dollars in millions)





















2024
2023
2022
Income:





Premiums and annuity considerations
$ 21,596 

17,503 

14,288 
Consideration for supplementary contracts
116 

130 

139 
Net investment income
5,057 

4,822 

4,544 
Commissions and expense allowances on reinsurance ceded
716 

736 

649 
Reserve adjustments related to reinsurance ceded
(2,343)

(2,271)

(1,194)
Fees from separate accounts
433 

436 

488 
Other
213 

248 

(503)
Total income
25,788 

21,604 

18,411 
Benefits and other expenses:





Policyholder benefits
1,986 

1,860 

1,846 
Surrenders
15,134 

10,584 

6,653 
Change in aggregate reserves and deposit funds
2,316 

3,482 

3,113 
Commissions and other agent compensation
2,109 

1,820 

1,539 
General and administrative expenses
978 

862 

697 
Net transfers to separate accounts
2,060 

834 

1,732 
Total benefits and other expenses
24,583 

19,442 

15,580 
Income from operations before federal income taxes and net realized capital gain
1,205 

2,162 

2,831 
Income tax expense (benefit)
471 

574 

(2)
Net income from operations before net realized capital gain
734 

1,588 

2,833 
Net realized capital gain (loss), net of taxes and interest maintenance reserve
1,040 

(797)

(1,986)
Net income
$ 1,774 

791 

847 







See accompanying notes to statutory financial statements.







Statutory Financial Statements as of December 31, 2024
Page 5 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statutory Statements of Capital and Surplus
Years ended December 31, 2024, 2023, and 2022
(Dollars in millions)





















2024
2023
2022
Capital and surplus at beginning of year
$ 7,034 

6,515 

10,705 
Change due to correction of accounting error (Note 3)
— 

34 

— 
Adjusted balance at beginning of year
7,034 

6,549 

10,705 
Net income
1,774 

791 

847 
Change in unrealized capital (loss) gain
(893)

522 

(516)
Change in net deferred income tax
263 

235 

54 
Change in asset valuation reserve
(51)

(176)

(118)
Dividends paid to parent
(650)

(500)

(4,100)
Change in unamortized gain on reinsurance transactions
(165)

(305)

(254)
Other changes in capital and surplus
(147)

(82)

(103)
Capital and surplus at end of year
$ 7,165 

7,034 

6,515 







See accompanying notes to statutory financial statements.







Statutory Financial Statements as of December 31, 2024
Page 6 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statutory Statements of Cash Flow
Years ended December 31, 2024, 2023, and 2022
(Dollars in millions)





















2024
2023
2022
Cash flow from operating activities:





Revenues:





Premiums and annuity considerations, net
$ 19,271 

15,681 

14,427 
Net investment income
5,000 

4,663 

4,352 
Commissions and expense allowances on reinsurance ceded
397 

431 

333 
Fees from separate accounts
433 

436 

488 
Other
(12)

9 

148 
Cash provided by operating activities
25,089 

21,220 

19,748 
Benefits and expenses paid:





Benefit and loss-related payments
17,158 

11,632 

9,619 
Net transfers to separate accounts
3,158 

1,408 

1,849 
Commissions, expenses paid, and aggregate write-ins for deductions
3,970 

3,036 

2,459 
Income tax paid, net
586 

833 

616 
Cash used in operating activities
24,872 

16,909 

14,543 
Net cash provided by (used in) operating activities
217 

4,311 

5,205 
Cash flow from investing activities:





Proceeds from investments sold, matured or repaid:





Bonds
20,825 

14,591 

19,619 
Stocks
124 

144 

98 
Mortgage loans
1,612 

781 

1,403 
Real estate
5 

1 

5 
Other invested assets
118 

157 

154 
Derivatives
— 

— 

— 
Miscellaneous proceeds
719 

264 

893 
Cash provided by investing activities
23,403 

15,938 

22,172 
Cost of investments acquired:





Bonds
19,889 

14,777 

15,529 
Stocks
167 

219 

107 
Mortgage loans
1,261 

1,223 

2,030 
Real estate
8 

12 

11 
Other invested assets
616 

956 

549 
Derivatives
105 

410 

3,881 
Miscellaneous applications
— 

785 

— 
Cash used in investing activities
22,046 

18,382 

22,107 
Net increase in policy loans and premium notes
326 

200 

41 
Net cash provided by (used in) investing activities
1,031 

(2,644)

24 
Cash flow from financing and miscellaneous activities:





Change in borrowed money
— 

500 

— 
Payments on deposit-type contracts and other insurance liabilities, net of deposits
(1,077)

(1,135)

(1,203)
Dividends paid to parent
(650)

(500)

(4,100)
Other cash provided (used)
(562)

667 

(909)
Net cash (used in) provided by financing and miscellaneous activities
(2,289)

(468)

(6,212)
Net change in cash, cash equivalents, and short-term investments
(1,041)

1,199 

(983)
Cash, cash equivalents, and short-term investments:





Beginning of year
3,431 

2,232 

3,215 
End of year
$ 2,390 

3,431 

2,232 
See accompanying notes to statutory financial statements.






Statutory Financial Statements as of December 31, 2024
Page 7 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(1)    Organization and Nature of Operations
Allianz Life Insurance Company of North America (the Company) is a wholly-owned subsidiary of Allianz of America, Inc. (AZOA or parent company), which is a wholly-owned subsidiary of Allianz Europe, B.V. Allianz Europe, B.V. is a wholly-owned subsidiary of Allianz SE. Allianz SE is a European company registered in Munich, Germany, and is the Company’s ultimate parent. The Company has a wholly-owned life insurance company subsidiary, Allianz Life Insurance Company of New York (AZNY). The Company also wholly owns a captive reinsurer, Allianz Life Insurance Company of Missouri (AZMO).
The Company is a life insurance company licensed to sell annuity, group and individual life, and group and individual accident and health policies in the United States and several U.S. territories. Based on statutory net premium written, the Company's business is predominately annuity. The annuity business consists of fixed-indexed, variable-indexed, variable, and fixed annuities. The life business consists of both individual and group life. Life business includes products with guaranteed premiums and benefits and consists principally of fixed-indexed universal life (FIUL) policies and closed blocks of universal life policies, term insurance policies, and limited payment contracts. Accident and health business is primarily comprised of closed blocks of long-term care (LTC) insurance. The Company’s primary distribution channels are through independent agents, broker-dealers, banks, and third-party marketing organizations.
After evaluating the Company’s ability to continue as a going concern, management is not aware of any conditions or events which raise substantial doubt concerning the Company’s ability to continue as a going concern as of the date of filing these Statutory Financial Statements.
(2)    Summary of Significant Accounting Policies
(a)    Basis of Presentation
The Statutory Financial Statements have been prepared in accordance with accounting practices prescribed or permitted by the Minnesota Department of Commerce (the Department). The Department recognizes statutory accounting practices prescribed or permitted by the state of Minnesota for determining and reporting the financial condition and results of operations of an insurance company and its solvency under Minnesota insurance law. The state of Minnesota has adopted the National Association of Insurance Commissioners (NAIC) Accounting Practices and Procedures Manual as its prescribed basis of statutory accounting principles (SAP), without significant modification. The Company has no material statutory accounting practices that differ from those of the Department or NAIC SAP. These practices differ in some respects from accounting principles generally accepted in the United States of America (U.S. GAAP). The effects of these differences, while not quantified, are presumed to be material to the Statutory Financial Statements. The more significant of these differences are as follows:
(1)    Acquisition costs, such as commissions and other costs incurred in connection with acquiring new and renewal business, are charged to current operations as incurred. Under U.S. GAAP, acquisition costs that are directly related to the successful acquisition of insurance contracts are capitalized and charged to operations on a straight-line basis over the expected term of the related contracts.
(2)    Aggregate reserves for life policies and annuity contracts, excluding variable annuities, are based on statutory mortality and interest assumptions without consideration for lapses or withdrawals. Under U.S. GAAP, aggregate reserves consider lapses and withdrawals.
(3)    Certain reinsurance transactions, primarily used for annuity business, are recognized as reinsurance for statutory purposes only.
(4)    Ceded reinsurance recoverable are netted against their related reserves within Policyholder liabilities, Life policies and annuity contracts and Life policy and contract claims, on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Under U.S. GAAP, these ceded reserves are presented on a gross basis as an asset.

Statutory Financial Statements as of December 31, 2024
Page 8 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(5)    The Company reinsures a portion of its in-force block of business through several reinsurance agreements. Under NAIC SAP, the after-tax gains associated with these indemnity reinsurance transactions are recorded in Unassigned surplus and recognized through income as future earnings of the books of business emerge. Under U.S. GAAP, the pretax gains associated with such transactions that qualify as reinsurance, are deferred as liabilities and are amortized into operations over the revenue-producing period of the policies.
(6)    Bonds are carried at values prescribed by the NAIC, generally amortized cost, except for those with an NAIC rating of 6, which are reported at the lower of amortized cost or fair value. Under U.S. GAAP, bonds classified as “available-for-sale” are carried at fair value, with unrealized gains and losses recorded in stockholder’s equity.
(7)    Changes in deferred income taxes are recorded directly to Unassigned surplus. Under U.S. GAAP, these items are generally recorded as an item of income tax benefit or expense in operations. Moreover, under NAIC SAP, a valuation allowance may be recorded against the deferred tax asset (DTA) and admittance testing may result in an additional charge to capital and surplus for nonadmitted portions of DTAs. Under U.S. GAAP, a valuation allowance may be recorded against the DTA and reflected as an expense.
(8)    Investments in subsidiaries are carried at net equity values as prescribed by the NAIC. Changes in equity values are reflected in Unassigned surplus within the Statutory Statements of Capital and Surplus as credits or charges to Unassigned surplus. Under U.S. GAAP, wholly owned subsidiary results are consolidated.
(9)    The Company is required to establish an asset valuation reserve (AVR) liability and an interest maintenance reserve (IMR) liability. The AVR provides for a standardized statutory investment valuation reserve for certain invested assets. Changes in this reserve are recorded as direct charges or credits to Unassigned surplus. The IMR is designed to defer net realized capital gains and losses, net of tax, resulting from changes in the level of prevailing market interest rates and amortize them into income within the Statutory Statements of Operations over the remaining life of the investment sold. The IMR represents the unamortized portion of applicable investment gains and losses as of the balance sheet date. There is no such concept under U.S. GAAP.
(10)    Certain assets designated as “nonadmitted assets” are not recognized and are charged directly to Unassigned surplus within the Statutory Statements of Capital and Surplus. These include, but are not limited to, investments in unaudited subsidiary, controlled, and affiliated (SCA) entities, electronic data processing (EDP) software, portions of goodwill, furniture and fixtures, prepaid expenses, receivables outstanding greater than 90 days, and portions of DTAs. There is no such concept under U.S. GAAP.
(11)    A provision is made for amounts ceded to unauthorized reinsurers in excess of collateral in the form of a trust or letter of credit through a direct charge to Unassigned surplus within the Statutory Statements of Capital and Surplus. There is no such requirement under U.S. GAAP.
(12)    Revenues for universal life policies and annuity contracts, excluding deposit-type contracts, are recognized as revenue when received within the Statutory Statements of Operations. Under U.S. GAAP, policy and contract fees charged for the cost of insurance, policy administrative charges, amortization of policy initiation fees, and surrender contract charges are recorded as revenues when earned.
(13)    Benefits for universal life policies and annuity contracts within the Statutory Statements of Operations, excluding deposit-type contracts, consist of payments made to policyholders. Under U.S. GAAP, benefits represent interest credited, and claims and benefits incurred in excess of the policyholder’s contract balance.
(14)    Derivatives are reported at fair value in accordance with SSAP No. 86, Derivatives (SSAP No. 86) and SSAP No. 108, Derivatives Hedging Variable Annuity Guarantees (SSAP No. 108). See additional information in section (k) of this note and note 5. Changes in the fair value of derivatives, except those

Statutory Financial Statements as of December 31, 2024
Page 9 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

reported under SSAP No. 108, are recorded as direct adjustments to Unassigned surplus as a component of Change in unrealized capital gains (losses) within the Statutory Statements of Capital and Surplus. For derivatives reported under SSAP No. 108, changes in fair value are recognized as net deferred assets or liabilities within Other assets or Other liabilities, respectively, in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus, for fluctuations in fair value that do not offset the changes in the hedged item. The deferred asset or liability is amortized over the timeframe required under SSAP No. 108. Under U.S. GAAP, changes in the fair value of derivatives are recorded in derivative income (loss) as part of operating income and the hedged derivatives are carried at fair value. In addition, the effective and ineffective portions of a hedge are accounted for separately.
(15)    Commissions allowed by reinsurers on business ceded are reported as income when received within the Statutory Statements of Operations. Under U.S. GAAP, such commissions are deferred and amortized as a component of deferred acquisition costs to the extent recoverable.    
(16)    The Statutory Financial Statements do not include a statement of comprehensive income as required under U.S. GAAP.
(17)    The Statutory Statements of Cash Flow do not classify cash flows consistent with U.S. GAAP and a reconciliation of net income to net cash provided from operating activities is not provided.
(18)    The calculation of reserves and transfers in the separate account statement requires the use of a Commissioners Annuity Reserve Valuation Method (CARVM) allowance on annuities for NAIC SAP. There is no such requirement under U.S. GAAP.
(19)    Sales inducements and premium bonuses are included in Life policies and annuity contracts in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus, and are charged to current operations as incurred. Under U.S. GAAP, deferred sales inducements and premium bonuses are similarly reserved; however, the costs are capitalized as assets and charged to operations as future profits are recognized in a manner similar to acquisition costs.
(20)    Negative cash balances are presented as a negative asset within the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. These balances are presented as a liability under U.S. GAAP.
(21)    Embedded derivatives are not separated from the host contract and accounted for separately as a derivative instrument. Under U.S. GAAP, entities must separate the embedded derivative from the host contracts and separately account for those embedded derivatives at fair value.
(22)    For certain annuity products with a market value adjustment feature sold to Minnesota residents (MN MVA) and variable-indexed annuities, the Department requires the Company to maintain a separate asset portfolio to back related reserves. These assets and liabilities are required to be included as part of the Separate account assets and Separate account liabilities presented on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Under U.S. GAAP, there is no such requirement.
(b)    Permitted and Prescribed Statutory Accounting Practices
The Company is required to file annual statements with insurance regulatory authorities, which are prepared on an accounting basis permitted or prescribed by such authorities. Prescribed statutory accounting practices include state laws, regulations, and general administrative rules, as well as a variety of publications of the NAIC. Permitted statutory accounting practices encompass all accounting practices that are not prescribed; such practices differ from state to state, may differ from company to company within a state, and may change in the future. The Company has no permitted or prescribed practices that differ from NAIC SAP that had an impact on net income or surplus as of December 31, 2024, 2023, and 2022.
The Company’s subsidiary, AZMO, has adopted an accounting practice that is prescribed by the Missouri Department of Commerce and Insurance (the Missouri Department). The effect of the accounting practice allows a letter of credit to be carried as an admitted asset. The balance of the letter of credit asset at

Statutory Financial Statements as of December 31, 2024
Page 10 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

December 31, 2024 and 2023 was $86 and $99, respectively. Under NAIC SAP, this letter of credit would not be allowed as an admitted asset.
This prescribed practice does not impact the net income of AZMO and results in increases to surplus of $86 and $99 as of December 31, 2024 and 2023, respectively. The Company’s carrying value of its investment in AZMO per the audited statutory surplus was $395 and $391, and the carrying value of its investment in AZMO would have been $309 and $292 if AZMO had completed Statutory Financial Statements in accordance with the NAIC SAP as of December 31, 2024 and 2023, respectively. AZMO maintains an adequate amount of surplus such that if it had not adopted the prescribed practice, surplus would still exceed the risk-based capital requirements.
(c)    Use of Estimates
The preparation of Statutory Financial Statements in conformity with NAIC SAP requires management to make certain estimates and assumptions that affect reported amounts of admitted assets and liabilities, including reporting or disclosure of contingent assets and liabilities as of December 31, 2024 and 2023, and the reported amounts of revenues and expenses during the reporting period. Future events, including changes in mortality, morbidity, interest rates, capital markets, and asset valuations could cause actual results to differ from the estimates used within the Statutory Financial Statements. Such changes in estimates are recorded in the period they are determined.
(d)    Premiums and Annuity Considerations
Life premiums are recognized as income over the premium paying period of the related policies. Nondeposit-type annuity considerations are recognized as revenue when received. Accident and health premiums are earned ratably over the terms of the related insurance and reinsurance contracts or policies.
(e)    Aggregate Reserves for Life Policies and Annuity Contracts
Reserves are principally calculated as the minimum reserves permitted by the state where the contract is issued for the year in which the contract is issued.
For the Company’s fixed annuity product lines, reserves are calculated using CARVM. The Company uses both issue year and change in fund basis for the calculation method, on a curtate basis, using the maximum allowable interest rate. Deferred fixed-interest and fixed-indexed annuities typically have a two-tier structure to encourage annuitization, or a single-tier structure, which may include a market value adjustment. Either two-tier or single-tier annuities may include bonuses.
For the Company’s variable and variable-indexed annuity product lines, reserves are calculated using VM-21, Requirements for Principle-Based Reserves for Variable Annuities (VM-21). Variable deferred annuities include a wide range of guaranteed minimum death benefits and living benefits (income, accumulation, and withdrawal).
Reserves for immediate annuities are calculated using current prescribed mortality tables.
Aggregate reserves for life insurance policies are principally calculated using the Commissioners Reserve Valuation Method (CRVM) or VM-20, Requirements for Principle-Based Reserves for Life Products, depending on the policy's issue date. Additional reserves are held for supplemental benefits and for contracts with secondary guarantees, consistent with prescribed regulations and actuarial guidelines.
Statutory capital volatility arises on the FIUL products due to the timing mismatch between when changes in the Company's derivative instruments and the hedged statutory reserve are recognized in income. To reduce the Company's capital sensitivity, the Company records a voluntary reserve, which accounts for policyholder index credits that are not included in minimum reserves minus expected investment income before credits are paid (floored at zero). The Company began recording this reserve in 2023, and the balance was $296 and $302 as of December 31, 2024 and 2023, respectively.

Statutory Financial Statements as of December 31, 2024
Page 11 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The Company performs an annual asset adequacy analysis as required by regulation covering substantially all of its reserves. These tests are not only performed under the required interest rate scenarios, but also under additional stochastically generated interest and equity growth scenarios. Sensitivity tests, including policy lapse, annuitization, maintenance expenses, and investment return, are performed to evaluate potential insufficiencies in reserve adequacy. The results of these tests and analysis resulted in $0 of additional reserves at December 31, 2024 and 2023, respectively.
(f)    Aggregate Reserves for Accident and Health Policies
For accident and health business, reserves consist of active life reserves (mainly reserves for unearned premiums and reserves for contingent benefits on individual LTC business) and claim reserves (the present value of amounts not yet due). Claim reserves represent incurred but unpaid claims under group policies. For the Accident & Health products, the asset adequacy analysis was performed through a gross premium valuation. At December 31, 2024 and 2023, the results of these tests and analysis supported the establishment of additional reserves of $545 and $492, respectively. The anticipated investment income was utilized in the calculation of this liability.
(g)    Deposit-type Contracts
Deposit-type contracts represent liabilities to policyholders in a payout status, who have chosen a fixed payout option without life contingencies. The premiums and claims related to deposit-type contracts are not reflected in the Statutory Statements of Operations as they do not have insurance risk. The Company accounts for the contract as a deposit-type contract in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
(h)    Policy and Contract Claims
Policy and contract claims include the liability for claims reported but not yet paid, claims incurred but not yet reported (IBNR), and claim settlement expenses on the Company’s accident and health business. Actuarial reserve development methods are generally used in the determination of IBNR liabilities. In cases of limited experience or lack of credible claims data, loss ratios are used to determine an appropriate IBNR liability. Claim and IBNR liabilities of a short-term nature are not discounted, but those claim liabilities resulting from disability income or LTC benefits include interest and mortality discounting.
(i)    Reinsurance
The Company assumes and cedes business with other insurers. Reinsurance premium and benefits paid or provided are accounted for in a manner consistent with the basis used in accounting for original policies issued and the terms of the reinsurance contracts. Amounts recoverable from reinsurers represent account balances and unpaid claims covered under reinsurance contracts. Amounts paid or deemed to have been paid for claims covered by reinsurance contracts are recorded as a reinsurance recoverable and are included in Other assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
Included in Unassigned surplus is the gain recognized when the Company enters into a coinsurance, modified coinsurance (modco) or yearly renewable term (YRT) agreement on existing business. The gain is deferred and amortized into operations on a basis consistent with how the future earnings emerge on the underlying business.
Reserve adjustments related to reinsurance ceded in the Statutory Statements of Operations include reserve changes received from reinsurers on modified coinsurance (modco) and funds withheld treaties. Under a modco or funds withheld agreement, the ceded reserves and a portfolio of assets remain on the Company's Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Ceded reserves for modco are presented within Life policies and annuity contracts on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus, while ceded reserves for funds withheld are presented within Funds held under reinsurance treaties. Assets supporting these treaties are considered restricted as they are not under the full control of the Company.

Statutory Financial Statements as of December 31, 2024
Page 12 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(j)    Investments
Investment values are determined in accordance with methods prescribed by the NAIC.
Bonds and Stocks
The Securities Valuation Office (SVO) of the NAIC evaluates the credit quality of the Company’s bond investments. Bonds rated at “1” (highest quality), “2” (high quality), “3” (medium quality), “4” (low quality), or “5” (lower quality) are reported at cost adjusted for the amortization of premiums, accretion of discounts, and any impairment. Bonds rated at “6” (lowest quality) are carried at the lower of amortized cost or fair value with any adjustments to fair value recorded to Unassigned surplus within the Statutory Statements of Capital and Surplus.
In accordance with its investment policy, the Company invests primarily in high-grade marketable securities. Dividends are accrued on the date declared and interest is accrued as earned. Premiums or discounts on bonds are amortized using the constant-yield method.
Loan-backed securities and structured securities are amortized using anticipated prepayments, in addition to other less significant factors. Prepayment assumptions for loan-backed and structured securities are obtained from various external sources or internal estimates. The Company believes these assumptions are consistent with those a market participant would use. The Company recognizes income using the modified scientific method based on prepayment assumptions and the estimated economic life of the securities. For structured securities, except for collateralized debt obligations (CDOs) and impaired bonds, when actual prepayments differ significantly from anticipated prepayments, the effective yield is recalculated to reflect actual payments to date and anticipated future payments retrospectively. Any resulting adjustment is included in Net investment income on the Statutory Statements of Operations. For CDOs and impaired bonds, when adjustments are made for anticipated prepayments and other expected changes in future cash flows, the effective yield is recalculated using the prospective method as required by Statement of Statutory Accounting Principles (SSAP) No. 43 – Loan Backed and Structured Securities (SSAP No. 43).
Common stocks, other than investments in subsidiaries and Federal Home Loan Bank (FHLB) stock, are carried at fair value. FHLB stock is carried at cost, which approximates fair value.
Gross realized gains and losses are computed based on the average amortized cost of all lots held for a particular CUSIP.
The fair value of bonds and common stocks is obtained from third-party pricing sources whenever possible. Management completes its own independent price verification (IPV) process, which ensures security pricing is obtained from a third-party source other than the sources used by the Company's internal and external investment managers. The IPV process supports the reasonableness of price overrides and challenges by the internal and external investment managers and reviews pricing for appropriateness. Results of the IPV process are reviewed by the Company’s Pricing Committee.
The Company reviews its combined investment portfolio, including subsidiaries, in aggregate each quarter to determine if declines in fair value are other than temporary.
For bonds for which the fair value is less than amortized cost, the Company evaluates whether a credit loss exists by considering primarily the following factors: (a) the length of time and extent to which the fair value has been less than the amortized cost of the security; (b) changes in the financial condition, credit rating, and near-term prospects of the issuer; (c) whether the issuer is current on contractually obligated interest and principal payments; (d) changes in the financial condition of the security’s underlying collateral, if any; and (e) the payment structure of the security. For loan-backed securities, the Company must allocate other-than-temporary impairments (OTTI) between interest and noninterest-related declines in fair value. Interest-related impairments are considered other than temporary when the Company has the intent to sell the investment prior to recovery of the cost of the investment. The Company maintains a prohibited disposal list that restricts the ability of the investment managers to sell securities in a significant unrealized loss position and requires formal attestations from investment managers regarding their lack of intent to sell certain securities.

Statutory Financial Statements as of December 31, 2024
Page 13 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The Company evaluates whether equity securities are other-than-temporarily impaired through a review process which includes, but is not limited to, market analysis, analyzing current events, assessing recent price declines, and management’s judgment related to the likelihood of recovery within a reasonable period of time.
Impairments considered to be other-than-temporary are recorded as a reduction of the cost of the security, and a corresponding realized loss is recognized on the Statutory Statements of Operations in the period in which the impairment is determined. Recognition of the realized loss is subject to potential offset by AVR and IMR.
The Company holds certain cash equivalents which receive bond treatment based on their underlying securities. These are classified as Other assets receiving bond treatment in Note 5.
Investment in Subsidiaries
Common stock of the Company’s insurance subsidiaries is carried at SAP capital and surplus, and investments in non-insurance subsidiaries are carried at U.S. GAAP equity value adjusted for certain items that are considered to be non-admitted. Unaudited subsidiaries are fully non-admitted.
Mortgage Loans on Real Estate
Mortgage loans on real estate, including commercial mortgage loans (CMLs) and residential mortgage loans (RMLs), are carried at the outstanding principal balance, adjusted for any impairment. The fair value of CMLs is calculated by analyzing individual loans and assigning ratings to each loan based on a combination of loan-to-value ratios and debt service coverage ratios. Fair value is determined based on these factors as well as the contractual cash flows of each loan and the current market interest rates for similar loans. The fair value of RMLs is calculated by discounting estimated cash flows, with discount rates based on current market conditions. The Company evaluates loans quarterly to assess whether there is an impairment based on the likelihood of receiving all contractual cash flows. The Company accounts for interest income on impaired loans on a cash basis. Interest accrual is discontinued for impaired loans and interest income is only recognized when received. Payments received on impaired loans are applied to accrued interest, and payments received in excess of accrued interest are applied to principal.
Real Estate
Real estate primarily represents the Company’s home office property, and is carried at depreciated cost less encumbrances in accordance with SSAP No. 40 – Real Estate Investments. Real estate income, including income received from home office property, is included in Net investment income on the Statutory Statements of Operations. Real estate, exclusive of land, is depreciated on a straight-line basis over estimated useful lives ranging from 3 to 40 years. At December 31, 2024 and 2023, accumulated depreciation was $92 and $88, respectively. Furthermore, as of December 31, 2024 and 2023, real estate was presented net of encumbrances of $0 and $8, respectively, as discussed in Note 7.
The Company had real estate classified as held for sale that was transferred from RMLs in the amount of $7 and $4 as of December 31, 2024 and 2023, respectively. Allianz Life sold real estate classified as held for sale with a book value of $5, $1 and $4 during the years ended December 31, 2024, 2023 and 2022, respectively, and recognized a gain of $1, $0, and $1 during the years ended December 31, 2024, 2023 and 2022, respectively.
Cash, Cash Equivalents and Short-term Investments
Cash and cash equivalents may include cash on hand, demand deposits, money market funds, reverse repurchase agreements (repo), and highly liquid debt instruments purchased with an original maturity of three months or less. Due to the short-term nature of these investments, the carrying value is deemed to approximate fair value.
In the normal course of business, the Company enters into bilateral and tri-party repos, whereby the Company purchases securities and simultaneously agrees to resell the same securities at a stated price on a specified date in the future, for the purpose of earning a specified rate of return. An affiliate of the Company serves as the agent in the bilateral agreements and an unaffiliated bank serves as the custodian in the tri-party agreements.

Statutory Financial Statements as of December 31, 2024
Page 14 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The bilateral agreements require purchases of specifically identified securities. If at any time the fair value of those purchased securities falls below the purchase price, additional collateral in the form of cash or additional securities is required to be transferred to ensure margin maintenance. The tri-party agreements allow for the purchase of certain bonds and structured securities, and require a minimum of 102% of fair value of the securities purchased to be maintained as collateral.
The Company’s repos are accounted for as collateralized lending in accordance with SSAP No. 103 – Transfers and Servicing of Financial Assets and Extinguishments of Liabilities (SSAP No. 103), whereby the amounts paid for the securities are reported as cash equivalents within Cash and cash equivalents on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The difference between the amount paid and the amount at which the securities will be resold is reported as interest income within Net investment income on the Statutory Statements of Operations.
Short-term investments are comprised of bonds due in one year or less at original purchase. Due to the short-term nature of these investments, the carrying value is deemed to approximate fair value.
Policy Loans
Policy loans are supported by the underlying cash value of the policies. Policy loans are carried at unpaid principal balances plus accrued interest income on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The unpaid principal balances are not in excess of the cash surrender values of the related policies.
Other Invested Assets
The Company participates in securities lending arrangements whereby specific securities are loaned to other institutions. The Company receives collateral from these arrangements including cash and cash equivalents, which can be reinvested based on the Company's discretion, and noncash collateral, which may not be sold or re-pledged unless the counterparty is in default. The Company accounts for its securities lending transactions as secured borrowings, in which the cash collateral received and the related obligation to return the cash collateral are recorded in Other invested assets and Other liabilities, respectively, on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Noncash collateral received is not reflected on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Securities on loan remain on the Company’s Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus, and interest and dividend income earned by the Company on loaned securities is recognized in Net investment income on the Statutory Statements of Operations.
Company policy requires a minimum of 102% of fair value of securities loaned under securities lending agreements to be maintained as collateral. The Company's sources of cash used to return cash collateral is dependent upon the liquidity of current market conditions. The Company has policies in place to manage reinvested collateral at appropriate levels of liquidity.
The Company invests in low income housing tax credit (LIHTC) investments for tax benefits. In accordance with SSAP No. 93 – Low Income Housing Tax Credit Property Investments, the LIHTC investments are carried at cost and adjusted for amortization based on the proportion of total tax credits and other tax benefits expected to be received over the life of the investments. The Company records an asset for the full unfunded investment amount upon entering into a LIHTC agreement; amortization decreases the asset balance over time. A corresponding liability is recorded for the unfunded commitment balance beginning when the LIHTC investment is initially funded, which decreases as the Company provides capital to fund. The asset and liability are recorded in Other invested assets and Other liabilities, respectively, on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The tax benefit is recognized within Income tax expense within the Statutory Statements of Operations. The amortization of the investment is recorded as Net investment income and any impairments are included in Net realized capital gain (loss) within the Statutory Statements of Operations.

Statutory Financial Statements as of December 31, 2024
Page 15 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The Company invests in limited partnerships (LPs) which are recorded using the equity method in line with SSAP No. 48, Joint Ventures, Partnerships, and Limited Liability Companies. The assets are recorded in Other invested assets and Other liabilities, respectively, on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The Company recognizes income in Net investment income on the Statutory Statement of Operations for distributions deemed to be income distributions by the LP if the accumulated earnings balance is positive, and if it is zero, it reduces the book value. For distributions deemed to be a return of capital by the LP, the book value is reduced regardless of whether the undistributed accumulated earnings balance is positive.
Receivables and payables for securities are carried at fair value on the trade date and represent a timing difference on securities that are traded at the balance sheet date but not settled until subsequent to the balance sheet date. Receivables and payables for securities are included in Other invested assets and Other liabilities, respectively, on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
(k)    Derivatives
The Company utilizes derivatives within certain actively managed investment portfolios for hedging purposes.
Hedge Accounting
The Company elects hedge accounting under SSAP No. 86 and SSAP No. 108 for certain qualifying derivative instruments. To qualify for hedge accounting, at inception, the Company formally documents the risk management objective and strategy for undertaking the hedging transaction. The documentation links a specific derivative to a specific asset or liability on the Statutory Statements of Assets, Liabilities, and Capital and Surplus, identifies how the derivative is expected to offset the exposure to changes in the hedged item's fair value or variability in cash flows attributable to the designated hedge risk, and the effectiveness testing methods to be used. Hedge effectiveness is formally assessed at inception and on a quarterly basis throughout the life of the designated hedging relationships.
Hedge effectiveness is assessed using qualitative and quantitative methods. Qualitative methods may include comparison of critical terms of the derivative to the hedged item. Quantitative methods include analysis of changes in fair value or cash flows associated with the hedge relationship. Hedge effectiveness may be measured using either the dollar offset method or regression analysis. The dollar offset method compares changes in fair value or cash flows of the hedging instrument with changes in the fair value or cash flows of the hedged item attributable to the hedged risk. Regression analysis is a statistical technique used to measure the relationships between the fair values or cash flows of a derivative and a hedged item and how each reacts to changes in the designated hedge risk (i.e., interest rates, foreign currency rates).
A derivative instrument is either classified as an effective hedge or an ineffective hedge. Entities must account for the derivative at fair value if deemed to be ineffective or becomes ineffective. For those derivatives qualifying as effective for hedge accounting under SSAP No. 86, the change in the carrying value or cash flow of the derivative shall be recorded consistently with the way that changes in the carrying value or cash flows of the hedged item are recorded. For those derivatives qualifying as effective for hedge accounting under SSAP No. 108, the derivative is carried at fair value.
Foreign Currency Swaps
The Company utilizes foreign currency swaps to hedge cash flows and applies hedge accounting. Specifically, the Company uses foreign currency swaps to hedge foreign currency and interest rate fluctuations on certain underlying foreign currency denominated fixed-maturity securities. The foreign currency swaps are reported at amortized cost from the date hedge accounting is designated and deemed to be effective, which is consistent with the accounting for the bonds that are the subject of the hedge accounting transactions.
Interest Rate Swaps on Variable Annuity Insurance Liabilities
The Company utilizes interest rate swaps (IRS) to hedge the interest rate risk on certain variable annuity

Statutory Financial Statements as of December 31, 2024
Page 16 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

guarantee benefits. These are accounted for as a cash flow hedge under SSAP No. 86 and a fair value hedge under SSAP No. 108.

Prior to January 1, 2020, the Company had IRS that hedge the interest rate risk on certain variable annuity guarantee benefits held at amortized cost in accordance with SSAP No. 86. The initial book value of the IRS represented the book value created from inception until the designation of hedge accounting. These IRS were held at amortized cost and changes were recognized to the extent they offset changes in the AG43 reserve for the hedged item due to interest rate movement. The initial book value and subsequent changes due to the hedged item or realized gains or losses recorded under hedge accounting (hedge adjustment) are amortized over the duration of the hedge program, approximated by AG43 standard scenario revenues.

Effective January 1, 2020, the Company de-designated its previous hedging relationship under SSAP No. 86 and simultaneously designated the hedging relationship described above under SSAP No. 108. The remaining balance of the SSAP No. 86 hedge adjustment is recorded within Other liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus, and will be amortized over the life of the former hedge program.
The table below represents the hedge adjustment balance under SSAP No. 86:








2024 2023
Hedge adjustment balance - beginning of year $ 352 
401 
Amortization (44)
(49)
Hedge adjustment balance - end of year $ 308 
352 
Effective January 1, 2020, the Company designated the hedging relationship described above under SSAP No. 108. The hedged item consists of a portion of the Company's variable annuity block of business minimum benefit guarantees that are sensitive to interest rate movement. The hedged portion of the block is determined on a monthly basis based on the percentage of the economic liability being hedged. The related hedging instrument is a portfolio of interest rate swap derivatives which follows a dynamic hedging strategy. Changes in interest rates impact the present value of the future product cash flows.

The Company recognizes a net deferred asset or liability within Other assets or Other liabilities, respectively, on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus for fluctuations in fair value that do not offset the changes in the hedged liability. Beginning July 1, 2021, the Company elected to amortize the deferred balance that existed as of June 30, 2021 over five years, in accordance with SSAP No. 108, paragraph 14.c. Changes in the deferred balance after July 1, 2021 will be amortized over the timeframe required under SSAP No. 108, paragraph 14, which is the Macaulay duration of guarantee benefit cash flows, capped at 10 years.

The hedge strategy is compliant with VM-21 Clearly Defined Hedge Strategy (CDHS) requirements and meets all the criteria to be defined as an effective hedge relationship as required by SSAP No. 108. The Company entered into this hedging relationship effective January 1, 2020 and no changes in hedging strategy have occurred since inception. Hedge effectiveness is measured in accordance with SSAP No. 108 on a quarterly basis, both prospectively and retrospectively, and remains highly effective as of December 31, 2024.

In accordance with SSAP No. 108, an amount equal to the net deferred asset and deferred liability is allocated from Unassigned funds to Special surplus funds on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The following table shows the deferred activity for the years ended December 31, 2024 and 2023.

Statutory Financial Statements as of December 31, 2024
Page 17 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)








2024 2023
Net deferred liability (asset) - beginning of year $ 13 
$ 300 
Amortization (210)
(219)
Additional amounts deferred (176)
(68)
Net deferred liability (asset) - end of year $ (373)
$ 13 

The net deferred balance will amortize over the next 10 years, as shown below:

















Amortization year
Deferred assets
Deferred liabilities

2025
$ (342)

$ 542 

2026
(249)

296 

2027
(155)

51 

2028
(155)

51 

2029
(155)

51 

2030
(155)

50 

2031
(155)

50 

2032
(109)

41 

2033
(53)

33 

2034
(21)

$ 11 

Total
$ (1,549)

$ 1,176 
The company did not have other changes related to open derivatives removed from SSAP No. 86 and captured in scope of SSAP No. 108 for the years ended December 31, 2024 and 2023. During the years ended December 31, 2024 and 2023, the fair value changes available for application under SSAP No. 108 was $(180) and $(58), respectively.
The Company did not have any hedging strategies identified as no longer highly effective and did not terminate any hedging strategies during the years ended December 31, 2024 and 2023.
Nonqualifying hedging
        Futures and Options Contracts
The Company provides benefits through certain life and annuity products which are linked to the fluctuation of various market indices, and certain variable annuity contracts that provide minimum guaranteed benefits. The Company has analyzed the characteristics of these benefits and has entered into over-the-counter (OTC) option contracts, exchange-traded option (ETO) contracts, and exchange-traded futures contracts tied to an underlying index with similar characteristics with the objective to economically hedge these benefits. Management monitors in-force amounts as well as option and futures contract values to ensure satisfactory matching and to identify unsatisfactory mismatches. If actual persistency deviated, management would purchase or sell option and futures contracts as deemed appropriate or take other actions.
The OTC option contracts and ETO contracts are reported at fair value in Derivative assets and Derivative liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The fair value of the OTC options is derived internally and deemed by management to be reasonable via performing an IPV process. The process of deriving internal derivative prices requires the Company to calibrate Monte Carlo scenarios to actual market information. The calibrated scenarios are applied to derivative cash flow models to calculate fair value prices for the derivatives. The fair value of the ETO contacts is based on quoted market prices. Incremental gains and losses from expiring options are included in Net realized capital gain (loss) on the Statutory Statements of Operations. The liability for the related policyholder benefits is reported in Life policies and annuity contracts on the Statutory Statements

Statutory Financial Statements as of December 31, 2024
Page 18 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

of Admitted Assets, Liabilities, and Capital and Surplus. The unrealized gain or loss on open OTC option contracts is recognized as a direct adjustment to Unassigned surplus within the Statutory Statements of Capital and Surplus. Any unrealized gains or losses on open OTC option contracts are recognized as realized when the contracts mature (see Note 5 for further discussion).
Futures contracts do not require an initial cash outlay, and the Company has agreed to daily net settlement based on movements of the representative index. Therefore, no asset or liability is recorded as of the end of the reporting period. A derivative asset or liability and an offsetting variation margin payable or receivable is recorded in Derivative assets or Derivative liabilities in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus for the outstanding unpaid variation margin representing market movements on the last trading day of the year.
Gains and losses are not considered realized until the termination or expiration of the futures contract. Unrealized gains and losses on futures contracts are reflected in the Statutory Statements of Capital and Surplus in Unassigned surplus, within Change in unrealized capital gains (loss). Realized gains and losses on futures contracts are included in the Statutory Statements of Operations, Net realized capital gain (loss), net of taxes and interest maintenance reserve.
Interest Rate Swaps, Credit Default Swaps, Total Return Swaps, and To Be Announced Securities
The Company utilizes IRS, credit default swaps (CDS), total return swaps (TRS), and To Be Announced (TBA) securities to economically hedge market risks embedded in certain life and annuity products. The IRS, CDS, TRS and TBA securities are reported at fair value in Derivative assets or Derivative liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The fair value of the IRS, CDS, and TBA securities are derived using a third-party vendor software program and deemed by management to be reasonable. Centrally cleared IRS fair values are obtained from the exchange on which they are traded. The fair value of the TRS is based on counterparty pricing and deemed by management to be reasonable. Changes in unrealized gains and losses on the swaps are recorded as a direct adjustment to Unassigned surplus within the Statutory Statements of Capital and Surplus. Gains and losses on exchange cleared IRS are recorded as unrealized until the contracts mature or are disposed at which time they are recorded as realized, subject to offset by IMR.
(l)    Corporate-Owned Life Insurance
Corporate-owned life insurance (COLI) is recognized initially as the amount of premiums paid. Subsequent measurement of the contract is based upon the amount that could be realized assuming the surrender of an individual-life policy (or certificate in a group policy), otherwise known as the cash surrender value (CSV), in accordance with SSAP No. 21 – Other Admitted Assets (SSAP No. 21). Changes in CSV resulting from subsequent measurement of the contract are recognized as a component of Other income on the Statutory Statements of Operations. The Company’s COLI policies are reported in Other assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
(m)    Borrowed Money
The Company is a member of the FHLB of Des Moines, primarily for the purpose of participating in the FHLB’s mortgage collateralized loan advance program with short-term and long-term funding facilities. Members are required to purchase and hold a minimum amount of FHLB capital stock plus additional stock based on outstanding advances. Through its membership, the Company has issued debt to the FHLB in exchange for cash advances. It is part of the Company’s strategy to utilize funds borrowed from the FHLB for operations and strategic initiatives. The Company’s current borrowings are not subject to prepayment obligations.
Funds obtained from the FHLB and accrued interest are included within Borrowed money within the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus in accordance with SSAP No. 15 – Debt and Holding Company Obligations. The collateral pledged to FHLB is reported as admitted assets within the

Statutory Financial Statements as of December 31, 2024
Page 19 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus in accordance with admissibility testing under SSAP No. 30 – Unaffiliated Common Stock.
(n)    Income Taxes
The Company and its subsidiaries file a consolidated federal income tax return with AZOA and all of its wholly-owned subsidiaries. The consolidated tax allocation agreement stipulates that each company participating in the return will bear its share of the tax liability pursuant to certain tax allocation elections under the Internal Revenue Code (IRC) and its related regulations and reimbursement will be in accordance with an intercompany tax reimbursement arrangement. The Company, and its insurance subsidiaries, generally will be paid for the tax benefit of any of their tax attributes used by any member of the consolidated group.
The Company provides for federal income taxes based on amounts the Company believes it ultimately will owe. Inherent in the provision for federal income taxes are estimates regarding the deductibility of certain items and the realization of certain tax credits. In the event the ultimate deductibility of certain items or the realization of certain tax credits differs from estimates, the Company may be required to significantly change the provision for federal income taxes recorded in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Any such change could significantly affect the amounts reported in the Statutory Statements of Operations. Management uses best estimates to establish reserves based on current facts and circumstances regarding tax exposure items where the ultimate deductibility is open to interpretation. Quarterly, management evaluates the appropriateness of such reserves based on any new developments specific to their fact patterns. Information considered includes results of completed tax examinations, Technical Advice Memorandums, and other rulings issued by the Internal Revenue Service or the tax courts.
The Company utilizes the asset and liability method of accounting for income taxes. DTAs and deferred tax liabilities (DTLs), net of the nonadmitted portion are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Gross DTAs and DTLs are measured using enacted tax rates and are considered for admitted tax asset status according to the admissibility test as set forth by the NAIC. Changes in DTAs and DTLs, including changes attributable to changes in tax rates, are recognized as a component of Unassigned surplus on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
SSAP No. 101, Income Taxes, provides that gross DTAs must be reduced by a statutory valuation allowance adjustment if, based on the weight of available evidence, it is more likely than not (a likelihood of more than 50 percent) that some portion or all of the gross DTAs will not be realized. The statutory valuation adjustment, determined in a manner consistent with ASC 740, shall reduce the gross DTAs to the amount that is more likely than not to be realized.

As of December 31, 2024, AZL established a $65.3 Valuation Allowance related to the Capital Loss Carryforward and other Capital DTAs due to the lack of available future gains and tax planning to offset the gross DTA of $160.6. The Valuation Allowance resulted in a reduction of the Deferred tax asset, net reflected in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus and a reduction of Surplus recognized as part of the Change in net deferred income tax on the Statutory Statements of Capital and Surplus.
(o)    Separate Accounts
Separate account assets and liabilities are primarily funds held for the exclusive benefit of variable and variable-indexed annuity contract holders. Separate account assets are reported at fair value in accordance with SSAP No. 56 – Separate Accounts (SSAP No. 56), with the exception of certain bonds, mortgage loans, other invested assets, cash, cash equivalents, securities lending reinvested collateral assets and investment income due and accrued. Certain assets that are allocated to the index options for the Allianz Index Advantage Variable Annuity (VIA), as listed above, are carried at amortized cost in accordance with the product filing requirements in the state of Minnesota.
Amounts due from separate accounts primarily represent the difference between the assets held to back the VIA portfolio and the VIA liabilities. Amounts due also include differences between surrender value of the

Statutory Financial Statements as of December 31, 2024
Page 20 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

contracts and the Separate account liability as disclosed on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. This receivable represents the surrender fee that would be paid to the Company upon the surrender of the policy or contract by the policyholder or contract holder as of December 31. Amounts charged to the contract holders for mortality and contract maintenance, and other administrative services fees are included in income within Fees from separate accounts on the Statutory Statements of Operations. These fees have been earned and assessed against contract holders on a daily or monthly basis throughout the contract period and are recognized as revenue when assessed and earned. Transfers to (from) separate accounts within the Statutory Statements of Operations primarily includes transfers for new premium and annuity considerations, benefit payments, surrender charge wear-off, realized and unrealized investment gains/losses, investment income, and other contractholder behavior.
(p)    Receivables
Receivable balances approximate estimated fair values. This is based on pertinent information available to management as of year-end, including the financial condition and creditworthiness of the parties underlying the receivables. Any balances outstanding more than 90 days are nonadmitted on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
(q)    Reclassifications
Prior year balances have not been reclassified to conform to the current year presentation.
(3)    Accounting Changes and Corrections of Errors
Accounting Changes
Not applicable.
Recently Issued Accounting Standards – Adopted in 2024
In December 2023, the NAIC adopted revisions to the Annual Statement Instructions through Ref #2023-15: IMR/AVR Specific Allocations. The revisions clarify the treatment of realized gains or losses in the context of allocating those gains and losses to either AVR or IMR. While the amendment reflects a SAP clarification, the amendment addresses a new concept in basing the allocation of realized gains or losses on an "Acute Credit Event." The amendment was effective beginning January 1, 2024, and the Company adopted these revisions as of that date. There was no impact on net income or surplus during the year ended December 31, 2024, as a result of adopting the revisions.
In August 2024, the NAIC adopted revisions to SSAP No. 15 and SSAP No. 86, Debt and Holding Company Obligations and Derivatives, respectively, through Ref #2023-26. The revisions enhance existing disclosures related to unfunded commitments available to a reporting entity, as well as additional granularity related to a reporting entity's accounting policy for derivative cash flows. The revisions are effective August 13, 2024. The Company has adopted these revisions, resulting in additional disclosures detailing outstanding commitments and the accounting policy for derivative cash flows. Both of these disclosures can be found in Note 5. There was no impact on net income or surplus during the year ended December 31, 2024, as a result of adopting the revisions.
Recently Issued Accounting Standards – Adopted in 2023
In March 2020, the NAIC adopted NS 2020-12, Reference Rate Reform, which provides optional guidance for a limited period of time to ease the potential burden on accounting for reference rate reform. The expedients outlined in the amendment are for modifications solely related to reference rate reform and optionally suspend assessments for re-measuring a contract. The Company adopted these amendments effective March 12, 2020. In August 2023, the NAIC adopted NS 2023-05, whereby the sunset date for relief afforded by NS 2020-12, was deferred until December 31, 2024. The Company has evaluated the impact of the new guidance and has identified financial assets which have terms related to reference rates that are expected to be discontinued. As of December 31, 2023, the Company has utilized the optional expedient to account for all modifications to financial assets occurring as a result of reference rate reform as a continuation of the existing financial asset. There was no impact on net income or surplus during the year ended December 31, 2023, as a result of adopting the revisions.

Statutory Financial Statements as of December 31, 2024
Page 21 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

In August 2023, the NAIC adopted INT 23-01 Negative IMR. The temporary relief, which is optional for all companies required to maintain an AVR and IMR, allows for those entities to admit a limited amount of a net negative IMR balance as an admitted asset on a reporting entity's balance sheet. The revisions were effective as of August 13, 2023, and will be automatically nullified on January 1, 2026. Although the Company currently has a net positive IMR balance, the Company has adopted this item for the purposes of December 31, 2023 reporting. There was no impact on net income or surplus during the year ended December 31, 2023, as a result of adopting the INT.
Recently Issued Accounting Standards – Adopted in 2022
Not applicable.
Recently Issued Accounting Standards – To Be Adopted
In August of 2023, the NAIC adopted revisions to SSAP No. 26, SSAP No. 43, and updated references for various SSAPs to accommodate the two newly revised and adopted standards. Both revised SSAPs as well as the updated references were adopted as part of SAPWG's Principles Based Bond Definition project, and represent the first step towards implementing the new bond definition. The revised standards will be effective starting January 1, 2025. The Company has begun assessing the impacts of the amendments on the financial statements in anticipation of the January 1, 2025 effective date.
In March 2024, the NAIC adopted revisions to SSAP No. 93 and SSAP No. 94, Low Income Housing Tax Credit Property Investments and Transferable and Non-Transferable State Tax Credits, respectively. The revisions expand the application of the Proportional Amortization Method beyond just LIHTC investments to all tax credit structures, including New Market Tax Credit investments. The revisions are effective January 1, 2025. The Company is currently assessing the impacts of the amendments as of December 31, 2024.
In May 2024, the NAIC adopted revisions to the Annual Statement Instructions through Ref #2023-16. The revisions clarify Schedule BA reporting instructions contained within the Annual Statement Instructions, and adds reporting instructions for changes made associated with the Principles-Based Bond Definition Project. The revisions are effective January 1, 2025. The Company is currently assessing the impacts of the amendments as of December 31, 2024.
Corrections of Errors
The Company records corrections of errors in accordance with SSAP No. 3 – Accounting Changes and Correction of Errors (SSAP No. 3). SSAP No. 3 prescribes that the correction of errors in previously issued Statutory Financial Statements will be reported as an adjustment to capital and surplus in the period the error is detected. These errors are shown within Correction of errors, net of tax, on the Statutory Statements of Capital and Surplus.
During the year ended December 31, 2024 there were no corrections of errors recorded on the Statutory Statements of Capital and Surplus.
During 2023, an error was identified related to the consistency of presenting internal exchanges between lines of business. These internal exchanges represent 1035 tax-free exchanges initiated by the policyholder to transition from an existing annuity contract to a new like kind annuity contract. On the Fixed Annuity line of business, the transaction is accounted for as a surrender within Surrenders on the Statement of Operations, and a subsequent application of premium on the new contract within Premiums and annuity considerations on the Statement of Operations. This methodology was not consistently applied to the Variable Annuity line of business, as the transaction was recorded net, with no financial statement impact. This error resulted in an equal and offsetting understatement of Premium and annuity consideration and Surrenders within the Statement of Operations for periods ended prior to January 1, 2023. Beginning January 1, 2023, the Company began recording the Variable Annuity transactions similarly to Fixed Annuities. There was no impact recorded as a correction of an error in the Statements of Capital and Surplus as surplus was correct as of December 31, 2022.

Statutory Financial Statements as of December 31, 2024
Page 22 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

During 2023, an error was identified related to the Company’s calculation of reserves for certain long-term care (LTC) products. Joint policies were incorrectly labeled within the LTC experience studies used by management to set morbidity-related assumptions for unlocking. Had the correct experience studies been used when setting assumptions, management determined they would have set their best estimate morbidity-related assumptions differently for 2022. This error resulted in a $43 pre-tax decrease of Accident and health policies on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus and a $34 increase in after-tax surplus within the Statutory Statements of Capital and Surplus for periods ended prior to January 1, 2023.
During the year ended December 31, 2022 there were no corrections of errors recorded on the Statutory Statements of Capital and Surplus.
(4)    Risk Disclosures
The following is a description of the significant risks facing the Company and how it attempts to mitigate those risks:
(a)    Credit Risk
Credit risk is the risk that issuers of fixed-income securities, borrowers of mortgages on commercial or residential real estate, or other parties with whom the Company has transactions, such as reinsurers and derivative counterparties, default on their contractual obligations, resulting in unexpected credit losses.
The Company mitigates this risk by adhering to investment policies and limits that provide portfolio diversification on an asset class, asset quality, creditor, and geographical basis, and by complying with investment limitations from applicable state insurance laws and regulations. The Company considers all relevant objective information available in estimating the cash flows related to structured securities. The Company actively monitors and manages exposures, and determines whether any securities are impaired. The aggregate credit risk is influenced by management’s risk/return preferences, the economic and credit environment, and the ability to manage this risk through liability portfolio management.
For derivative counterparties, the Company mitigates credit risk by tracking and limiting exposure to each counterparty through limits that are reported regularly and, once breached, restricts further trades; establishing relationships with counterparties rated BBB+ and higher; and monitoring the CDS of each counterparty as an early warning signal to cease trading when credit default swap spreads imply severe impairment in credit quality.
The Company executes Credit Support Annexes (CSA) with all active and new counterparties which further limits credit risk by requiring counterparties to post collateral to a segregated account to cover any counterparty exposure. Additionally most transactions are cleared through a clearinghouse thereby transferring counterparty risk from the bank to the clearinghouse that tends to have stronger credit. This often leads to increased collateralization and lower counterparty risk for the Company.
(b)    Credit Concentration Risk
Credit concentration risk is the risk of increased exposure to significant asset defaults (of a single security issuer); economic conditions (if business is concentrated in a certain industry sector or geographic area); or adverse regulatory or court decisions (if concentrated in a single jurisdiction) affecting credit.
The Company’s Finance Committee, responsible for asset/liability management (ALM) issues, recommends an investment policy to the Company’s Board of Directors (BOD) and approves the strategic asset allocation and accompanying investment mandates for an asset manager with respect to asset class. The investment policy and accompanying investment mandates specify asset allocation among major asset classes and the degree of asset manager flexibility for each asset class. The investment policy complies, at a minimum, with state statutes. Compliance with the policy is monitored by the Finance Committee who is responsible for implementing internal controls and procedures. Deviations from the policy are monitored and addressed. The Finance Committee and, subsequently, the BOD review the investment policy at least annually.
To further mitigate this risk, internal concentration limits based on credit rating and sector are established and are monitored regularly. Any ultimate obligor group exceeding these limits is placed on a restricted list to

Statutory Financial Statements as of December 31, 2024
Page 23 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

prevent further purchases, and the excess exposure may be actively sold down to comply with concentration limit guidelines. Any exceptions require Chief Risk Officer approval and monitoring by the Risk Committee. Further, the Company performs a quarterly concentration risk calculation to ensure compliance with the State of Minnesota insurance regulations.
(c)    Liquidity Risk
Liquidity risk is the risk that unexpected timing or amounts of cash needed will require liquidation of assets in a market that will result in a realized loss or an inability to sell certain classes of assets such that an insurer will be unable to meet its obligations and contractual guarantees. Liquidity risk also includes the risk that in the event of a company liquidity crisis, refinancing is only possible at higher interest rates. Liquidity risk can be affected by the maturity of liabilities, the presence of withdrawal penalties, the breadth of funding sources, and terms of funding sources. It can also be affected by counterparty collateral triggers as well as whether anticipated liquidity sources, such as credit agreements, are cancelable.
The Company manages liquidity within four specific domains: (1) monitoring product development, product management, business operations, and the investment portfolio; (2) setting ALM strategies; (3) managing the cash requirements stemming from the Company’s derivative dynamic economic hedging activities; and (4) establishing liquidity facilities to provide additional liquidity. The Company has established liquidity risk limits, which are approved by the Company’s Risk Committee, and the Company monitors its liquidity risk regularly. The Company also sets target levels for the liquid securities in its investment portfolio.
(d)    Interest Rate Risk
Interest rate risk is the risk that movements in interest rates or interest rate volatility will cause a decrease in the value of an insurer’s assets relative to the value of its liabilities and/or an unfavorable change in prepayment activity resulting in compressed interest margins.
The Company has an ALM strategy to align cash flows and duration of the investment portfolio with policyholder liability cash flows and duration. The Company further limits interest rate risk on variable annuity guarantees through interest rate hedges. The Company monitors the economic and accounting impacts of interest rate sensitivities on assets and liabilities regularly.
(e)    Equity Market Risk
Equity market risk is the risk that movements in equity prices or equity volatility will cause a decrease in the value of an insurer’s assets relative to the value of its liabilities.
The policy value of the fixed-indexed universal life, fixed-indexed annuity, and variable-indexed annuity products is generally linked to equity market indices. The Company economically hedges this exposure with derivatives.
Variable annuity products guarantee minimum payments regardless of market movements. The Company has adopted an economic hedging program to manage the equity risk of these products.
The Company monitors the impacts of equity sensitivities on assets and liabilities regularly.
Basis risk is the risk that variable annuity hedge asset values change unexpectedly relative to the value of the underlying separate account funds of the variable annuity contracts. Basis risk may arise from the Company’s inability to directly hedge the underlying investment options of the variable annuity contracts. The Company regularly reviews and synchronizes fund mappings, product design features, hedge design, and manages funds line-up.
(f)    Operational Risk
Operational risk is the risk of loss resulting from inadequate or failed internal processes and systems, from human misbehavior or error, or from external events. Operational risk is comprised of the following seven risk categories: (1) external fraud; (2) internal fraud; (3) employment practices and workplace safety; (4) clients/third-party, products and business practices; (5) damage to physical assets; (6) business disruption and system

Statutory Financial Statements as of December 31, 2024
Page 24 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

failure; and (7) execution, delivery, and process management. Operational risk is comprehensively managed through a combination of core qualitative and quantitative activities.
The Operational Risk Management framework includes the following key activities: (1) an Operational Risk Capital Model covering all material types of operational risks, under which the Company quantifies and regularly monitors operational risk; (2) a loss data capture policy to create transparency and gather information about losses that meet a designated threshold, requiring business owners to identify and resolve the root cause of operational loss events; and (3) a bottom-up risk assessment process for significant operational risk scenarios to proactively manage operational risk throughout the organization.
(g)    Regulatory Change Risk
Regulatory change risk is the risk that regulatory changes and imposed regulation may materially impact the Company's business model, sales levels, company financials and ability to effectively comply with regulations.
The Company actively monitors all regulatory changes and participates in national and international discussions relating to legal, regulatory, and accounting changes. The Company maintains active membership with various professional and industry trade organizations. A formal process exists to review, analyze, and implement new legislation as it is enacted.
(h)    Rating Agency Risk
Rating agency risk is the risk that rating agencies change their outlook or rating of the Company or a subsidiary of the Company. The rating agencies generally utilize proprietary capital adequacy models in the process of establishing ratings for the Company. The Company is at risk of changes in these models and the impact that changes in the underlying business that it is engaged in can have on such models. To mitigate this risk, the Company maintains regular communications with the rating agencies and evaluates the impact of significant transactions on such capital adequacy models and considers the same in the design of transactions to minimize the adverse impact of this risk. Rating agency capital is calculated and analyzed at least annually. Rating agency risk is also addressed in the TRA process and on an ad hoc basis as necessary.
(i)    Mortality/Longevity Risk
Mortality/longevity risk is the risk that mortality experience differs from assumptions used by the Company to reserve and price its products.
The Company mitigates mortality risk primarily through reinsurance, whereby the Company cedes a significant portion of its mortality risk to third parties. The Company also manages mortality risk through the underwriting process. Both mortality and longevity risks are managed through the review of life expectancy assumptions and experience in conjunction with active product management.
(j)    Lapse Risk
Lapse risk is the risk that actual lapse experience evolves differently than the assumptions used for pricing and valuation exercises leading to a significant loss in Company value and/or income.
The Company mitigates this risk by performing sensitivity analysis at the time of pricing to affect product design, adding Market Value Adjustments, bonus recaptures, and surrender charges when appropriate, regular ALM analysis, and exercising management levers at issue, as well as post-issue as experience evolves. Policyholder experience is monitored regularly. The Company quantifies lapse risk quarterly. The Company also manages lapse risk by reviewing assumptions at least annually.
(k)    Cyber Security Risk
Cyber security risk is the risk of losses due to external and/or internal attacks impacting the confidentiality, integrity, and/or availability of key systems, data, and processes reliant on digital technology. The Company has implemented preventative, detective, response, and recovery measures including firewalls, intrusion detection and prevention, advanced malware detection, spyware and anti-virus software, email protection,

Statutory Financial Statements as of December 31, 2024
Page 25 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

network and laptop encryption, web content filtering, web application firewalls, and regular scanning of all servers and network devices to identify vulnerabilities. Controls are implemented to prevent and review unauthorized access.
(l)    Reinsurance Risk
Reinsurance risk is the risk that reinsurance companies default on their obligation where the Company has ceded a portion of its insurance risk. The Company uses reinsurance to limit its risk exposure to certain business lines and to enable better capital management.
Reinsurance contracts do not relieve the Company from its obligations to policyholders. Failure of reinsurers to honor their obligations could result in losses to the Company.
The Company mitigates this risk by requiring certain counterparties to post collateral to cover the exposure and to meet thresholds related to the counterparty’s credit rating, exposure, or other factors. For counterparties that are not initially required to post collateral, if the thresholds are not met by those counterparties, they are required to establish a trust or letter of credit backed by assets meeting certain quality criteria. All arrangements are regularly monitored to determine whether trusts or letters of credit are sufficient to support the ceded liabilities and that their terms are being met. In addition, the Company reviews the financial standings and ratings of its reinsurance counterparties and monitors concentrations of credit risk to minimize its exposure to significant losses from reinsurer insolvencies regularly.
(5)    Investments
(a)    Bonds, Other Assets Receiving Bond Treatment, and Stocks
At December 31, the amortized cost, gross unrealized gains, gross unrealized losses, and fair values of investments, excluding investments in affiliates, are shown below:





























2024


Amortized cost
Gross unrealized gains
Gross unrealized losses
Fair value
Bonds:







U.S. government
$ 5,067 

1 

614 

4,454 
Agencies not backed by the full faith and credit of the U.S. government
1 

— 

— 

1 
States and political subdivisions
4,877 

28 

575 

4,330 
Foreign governments
3,892 

5 

498 

3,399 
Corporate securities
70,552 

471 

6,724 

64,299 
Mortgage-backed securities
3,086 

29 

281 

2,834 
Collateralized debt obligations
12 

6 

— 

18 
Total bonds
87,487 

540 

8,692 

79,335 
Common stocks
310 

25 

6 

329 
Preferred stocks
1 

— 

— 

1 
Total
$ 87,798 

565 

8,698 

79,665 


Statutory Financial Statements as of December 31, 2024
Page 26 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)



























2023


Amortized cost
Gross unrealized gains
Gross unrealized losses
Fair value
Bonds:







U.S. government
$ 5,218 

37 

474 

4,781 
Agencies not backed by the full faith and credit of the U.S. government
2 

— 

— 

2 
States and political subdivisions
6,028 

92 

410 

5,710 
Foreign governments
2,455 

30 

298 

2,187 
Corporate securities
71,359 

740 

6,260 

65,839 
Mortgage-backed securities
5,191 

49 

486 

4,754 
Collateralized debt obligations
12 

6 

— 

18 
Total bonds
90,265 

954 

7,928 

83,291 
Common stocks
309 

22 

8 

323 
Total
$ 90,574 

976 

7,936 

83,614 

At December 31, 2024, amortized cost differed from the carrying value of bonds on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus due to NAIC-6 rates bonds where the market value was lower than amortized cost. The total unrealized losses recorded by the Company for these bonds was $1 as of December 31, 2024 and $1 as of December 31, 2023.
The Company had NAIC-6 rated bonds with a statement value of $28 and $29 as of December 31, 2024 and 2023, respectively. There was no interest due on bonds in default, which was excluded from investment income due and accrued as of December 31, 2024 and 2023.
The Company had no hybrid securities at December 31, 2024 or 2023.
As of December 31, 2024 and 2023, investments with a statement value of $6 and $31, respectively, were held on deposit with various insurance departments and in other trusts as required by statutory regulations.    
The amortized cost and fair value of bonds and other assets receiving bond treatment reported in the statutory Annual Statement Schedule D Part 1A at December 31, 2024, by contractual maturity, are shown below:











Carrying
value
Fair value
Due in 1 year or less $ 1,668 

$ 1,681 
Due after 1 year through 5 years 8,000 

7,829 
Due after 5 years through 10 years 14,266 

13,362 
Due after 10 years through 20 years 28,859 

26,770 
Due after 20 years 30,241 

25,661 
No maturity date 1,355 

1,180 
Mortgage-backed and other structured securities
 3,098 

2,852 
       Total bonds and other assets receiving bond treatment $ 87,487 

$ 79,335 
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.

Statutory Financial Statements as of December 31, 2024
Page 27 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

Proceeds from sales of bonds includes sales, maturities, paydowns, and other redemptions of bonds and other assets receiving bond treatment. Proceeds from sales of bonds for the years ended December 31 are shown below:























2024
2023
2022
Proceeds from sales
$ 20,825 

14,591 

19,619 
Gross gains
135 

111 

251 
Gross losses
988 

487 

475 
Proceeds from sales of common stocks for the years ended December 31 are shown below:





















2024
2023
2022
Proceeds from sales
$ 124 

144 

98 
Gross gains
20 

5 

4 
Gross losses
1 

2 

1 
For the years ended December 31, 2024 and 2023, there were 145 and 72 CUSIPs sold, disposed, or otherwise redeemed as a result of a callable feature, respectively. The aggregate amount of investment income generated as a result of these transactions was $15 and $4 for 2024 and 2023, respectively.
The Company’s bond portfolio includes mortgage-backed securities. Due to the high quality of these investments and the lack of subprime loans within the securities, the Company does not have a material exposure to subprime mortgages.
(b)    Unrealized Investment Losses
To determine whether or not declines in fair value are other than temporary, the Company performs a quarterly review of its entire combined investment portfolio, including investments held by subsidiaries, using quoted market prices by third-party sources. For further discussion, see Notes 2 and 6.
Unrealized losses and the related fair value of investments held by the Company for the years ended December 31 are shown below:









































2024


12 months or less
Greater than 12 months
Total


Fair value
Unrealized losses
Fair value
Unrealized losses
Fair value
Unrealized losses
Bonds:











U.S. government
$ 993 

56 

3,344 

557 

4,337 

613 
Agencies not backed by the full faith and credit of the U.S. government
— 

— 

1 

— 

1 

— 
Foreign government
1,983 

132 

1,213 

366 

3,196 

498 
States and political subdivisions
599 

28 

3,093 

547 

3,692 

575 
Corporate securities
14,765 

588 

30,538 

6,136 

45,303 

6,724 
Mortgage-backed securities
156 

4 

2,330 

278 

2,486 

282 
Total bonds
18,496 

808 

40,519 

7,884 

59,015 

8,692 
Common stock
18 

1 

21 

5 

39 

6 
Preferred stock
$ 1 

— 

— 

— 

1 

— 
Total temporarily impaired securities
$ 18,515 

809 

40,540 

7,889 

59,055 

8,698 

Statutory Financial Statements as of December 31, 2024
Page 28 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)







































2023


12 months or less
Greater than 12 months
Total


Fair value
Unrealized losses
Fair value
Unrealized losses
Fair value
Unrealized losses
Bonds:











U.S. government
$ 77 

1 

3,535 

473 

3,612 

474 
Agencies not backed by the full faith and credit of the U.S. government
— 

— 

2 

— 

2 

— 
Foreign government
165 

5 

1,453 

293 

1,618 

298 
States and political subdivisions
534 

10 

3,641 

400 

4,175 

410 
Corporate securities
4,334 

144 

43,962 

6,116 

48,297 

6,260 
Mortgage-backed securities
177 

3 

4,067 

483 

4,244 

486 
Total bonds
5,287 

163 

56,660 

7,765 

61,947 

7,928 
Common stock
1 

— 

39 

8 

40 

8 
Total temporarily impaired securities
$ 5,288 

163 

56,699 

7,773 

61,987 

7,936 
As of December 31, 2024 and 2023, the number of investment holdings that were in an unrealized loss position was 4,816, 24, and 1, for bonds, common stocks, and preferred stocks, respectively, and 5,164, 24, 0 for bonds, common stocks, and preferred stocks, respectively.
As of December 31, 2024 and 2023, of the total amount of unrealized losses, $8,485, or 97.6%, and $7,766, or 97.9%, respectively, are related to unrealized losses on investment grade securities. Investment grade is defined as a security having an NAIC SVO credit rating of 1 or 2. Unrealized losses on securities are principally related to changes in interest rates or changes in sector spreads from the date of purchase. As contractual payments continue to be met, management continues to expect all contractual cash flows to be received and does not consider these investments to be other-than-temporarily impaired.
(c)    Realized Investment Gains (Losses)
Net realized capital gains (losses) for the years ended December 31 are shown below:

















2024
2023
2022
Bonds $ (853)

(449)

(308)
Stocks 19 

3 

3 
Mortgage Loans (141)

(46)

(46)
Real estate 1 

— 

1 
Derivatives 1,420 

(819)

(2,118)
Other (170)

63 

184 
Total realized capital gains (losses) 275 

(1,248)

(2,285)
Income tax benefit on net realized gains (losses) 103 

102 

43 
Total realized capital gains (losses), net of taxes 378 

(1,146)

(2,242)
Net (losses) gains transferred to IMR, net of taxes (662)

(349)

(256)
Net realized gains (losses), net of taxes and IMR $ 1,040 

(797)

(1,986)

Statutory Financial Statements as of December 31, 2024
Page 29 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(d)    Net Investment Income
Major categories of net investment income for the years ended December 31 are shown below:

















2024
2023
2022
Interest:




Bonds $ 4,226 

4,078 

3,783 
Mortgage loans on real estate 762 

743 

703 
Policy loans 28 

18 

13 
Cash, cash equivalents, and short-term investments 193 

162 

23 
Dividends:




Stocks 16 

13 

10 
Investment in subsidiaries 30 

101 

77 
Rental income on real estate 27 

21 

21 
Derivatives (62)

(65)

19 
Other 129 

21 

10 
Gross investment income 5,349 

5,092 

4,659 
Investment expenses (314)

(304)

(155)
Net investment income before amortization of IMR 5,035 

4,788 

4,504 
Amortization of IMR 22 

34 

40 
Net investment income $ 5,057 

4,822 

4,544 
All investment income due and accrued with amounts over 90 days past due is nonadmitted from surplus with the exception of mortgage loan investment income, which is nonadmitted after 180 days, or if the underlying loan is in the process of foreclosure.
As of December 31, 2024 and 2023, the Company excluded interest income due and accrued of $2 and $3, respectively, from its capital and surplus.
Interest income due and accrued for the years ended December 31 was as follows:











2024
2023
Gross $ 1,592 

1,471 
Nonadmitted — 

— 
Admitted $ 1,592 

1,471 
The Company had aggregate deferred interest of $2 as of December 31, 2024. There was no aggregate deferred interest as of December 31, 2023.
The Company had the following cumulative amounts of paid-in-kind (PIK) interest included in the current principal balance as of December 31, 2024 and 2023:











2024
2023
Cumulative amounts of PIK interest included in the current principal balance $ 27 

10 
(e)    Mortgage Loans on Real Estate
The Company's investment in mortgage loans on real estate includes CMLs and RMLs at December 31, 2024 and 2023.
At December 31, 2024 and 2023, the Company's CML portfolio includes concentrations exceeding 10% for the following states:

Statutory Financial Statements as of December 31, 2024
Page 30 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

















2024
2023

Concentration Amount Concentration %
Concentration Amount Concentration %
California $ 3,449 
21.7  %
$ 3,516 
21.6  %
The maximum lending rates for CMLs made during 2024 and 2023 were 8.9% and 9.1%, respectively. The minimum lending rates for CMLs made during 2024 and 2023 were 5.5% and 3.9%, respectively. The maximum percentage of any one loan to the value of security at the time of the loan extension exclusive of insured, guaranteed or purchased money mortgages was 73.2% and 109.7% during 2024 and 2023, respectively.
At December 31, 2024 and 2023, the Company's RML portfolio includes concentrations exceeding 10% for the following states:

















2024
2023

Concentration Amount Concentration %
Concentration Amount Concentration %
California $ 521 
30.0  %
$ 541 
29.5  %
New York 226 
13.0  %
231 
12.6  %
The maximum lending rates for RMLs made during 2024 and 2023 was 12.1% and 14.0%, respectively. The minimum lending rates for RMLs made during 2024 and 2023 was 5.9% and 2.8%, respectively. The maximum percentage of any one loan to the value of security at the time of the loan extension exclusive of insured, guaranteed or purchased money mortgages for RMLs was 93.4% and 172.8% during 2024 and 2023, respectively.
As of December 31, 2024 and 2023, there were $8 and $2, respectively of taxes, assessments, or amounts advanced that were excluded from the mortgage loan investment total.
(1)    Age Analysis of Mortgage Loans
The following table presents an age analysis of the Company's mortgage loan investments as of December 31, 2024 and 2023 by type:

















2024
2023

Residential Commercial
Residential Commercial
Current $ 1,632 
15,863 

1,786 
16,225 
30-59 Days Past Due 32 
— 

— 
— 
60-89 Days Past Due 8 
— 

— 
— 
90-179 Days Past Due 25 
34 

18 
— 
180+ Days Past Due 42 
3 

30 
56 
Total $ 1,739 
15,900 

1,834 
16,281 
The Company had the following allowance for credit losses as of December 31:











2024
2023
Balance at beginning of period $ 16 

— 
Additions charged to operations 41 

16 
Direct write-downs charged against the allowances (47)

— 
Recoveries of amounts previously charged off — 

— 
Balance at end of period $ 10 

16 
There were no mortgage loan investments greater than 90 days past due and still accruing interest as of December 31, 2024 and 2023.

Statutory Financial Statements as of December 31, 2024
Page 31 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

There were no mortgage loan investments for which interest was reduced as of December 31, 2024 and 2023.
As of December 31, 2024 and 2023 there were no RMLs in which the Company participated as a co-lender in a mortgage loan agreement. As of December 31, 2024 and 2023, for CML investments, the recorded investment for which the Company participated as a co-lender in a mortgage loan agreement was $2,053 and $2,338, respectively.
(2) Impaired Mortgage Loans    
For the years ended December 31, 2024, and 2023, there were impairments of $140 and $46 on recorded investment in impaired CMLs of $196, and $181, respectively. There were $52 and $0 of co-lender loans with allowances for credit losses and $98 and $56 co-lender loans without an allowance for credit losses for the years ended December 31, 2024 and 2023, respectively. The average recorded investment in impaired mortgage loans for the year ended December 31, 2024, and 2023 was $49 and $91, respectively. The recorded investment in impaired CMLs in nonaccrual status was $0 and $56 for the years ended December 31, 2024 and 2023, respectively. There was no recorded investment in impaired RMLs for the years ended December 31, 2024, and 2023.
There was $20, $7 and $5 interest income recognized on impaired mortgage loans for the years ended December 31, 2024, 2023 and 2022, respectively. For impaired mortgage loans that are not in default, the Company recognizes and records interest income as earned. For impaired mortgage loans that are in default, the accrued interest on the loan is recorded as investment income due and accrued if deemed collectible by the Company. If an impaired mortgage loan in default has any investment income due and accrued which is 180 days past due and collectible, the investment income continues to accrue, but all interest related to the loan is reported as a nonadmitted asset. If accrued interest on an impaired mortgage loan in default is not collectible, the accrued interest is written off immediately and no further interest is accrued.
As of December 31, 2024 and 2023, the Company derecognized mortgage loans as a result of foreclosure of $9 and $3, respectively.
(3) Credit Quality Indicators
The Company analyzes certain financing receivables for credit risk by using specific credit quality indicators. The Company has determined the loan-to-value ratio and the debt service coverage ratio are the most reliable indicators in analyzing the credit risk of its CML portfolio. The loan-to-value ratio is based on the Company’s internal valuation methodologies, including discounted cash flow analysis and comparative sales, depending on the characteristics of the property being evaluated. The debt service coverage ratio analysis is normalized to reflect a 25 year amortization schedule.
The credit quality of CMLs as of December 31 is shown below:



































Debt Service Coverage Ratios



2024 Greater than 1.4x
1.2x – 1.4x
1.0x – 1.2x
Less than 1.0x
Total
Percent of Total
Loan-to-value ratios:










Less than 50% $ 3,596 

131 

195 

38 

3,960 

24.8  %
50% – 60% 3,170 

255 

172 

— 

3,597 

22.6  %
60% – 70% 2,061 

363 

323 

8 

2,755 

17.3  %
70% – 80% 1,924 

327 

260 

58 

2,569 

16.2  %
80% – 90% 1,208 

345 

56 

38 

1,647 

10.4  %
90% – 100% 264 

— 

159 

29 

452 

2.8  %
Greater than 100% 380 

64 

246 

230 

920 

5.8  %
Total $ 12,603 

1,485 

1,411 

401 

15,900 

99.9  %

Statutory Financial Statements as of December 31, 2024
Page 32 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)



































Debt Service Coverage Ratios



2023 Greater than 1.4x
1.2x – 1.4x
1.0x – 1.2x
Less than 1.0x
Total
Percent of Total
Loan-to-value ratios:










Less than 50% $ 6,071 

274 

278 

171 

6,794 

41.7  %
50% – 60% 5,211 

762 

370 

198 

6,541 

40.2  %
60% – 70% 1,953 

325 

114 

148 

2,540 

15.6  %
70% – 80% 109 

— 

124 

— 

233 

1.4  %
80% – 90% — 

— 

50 

— 

50 

0.3  %
90% – 100% — 

— 

63 

— 

63 

0.4  %
Greater than 100% — 

— 

60 

— 

60 

0.4  %
Total $ 13,344 

1,361 

1,059 

517 

16,281 

100.0  %

The Company has determined the delinquency status and the loan-to-value ratio are the most reliable indicators in analyzing the credit risk of its RML portfolio. The loan-to-value ratio is based on the Company's internal valuation methodologies, including discounted cash flow analysis and comparative sales, depending on the characteristics of the property being evaluated.

The loan-to-value ratios of RMLs as of December 31 are shown below:























2024
2023

Total
Percent of Total
Total
Percent of Total
Loan-to-value ratios:






Below 70% $ 662 

38.1  %
$ 659 

35.9  %
70% to 79% 779
44.8  %
959 

52.3  %
80% to 89% 283
16.3  %
197
10.7  %
90% to 95% 13
0.7  %
12
0.7  %
Above 95% 2 

0.1  %
7 

0.4  %
Total $ 1,739 

100.0  %
$ 1,834 

100.0  %


(4) Restructured Mortgage Loans
For impaired mortgage loans that are not in default, the Company recognizes and records interest income as earned. For impaired mortgage loans that are in default, the accrued interest on the loan is recorded as investment income due and accrued if deemed collectible by the Company. If an impaired mortgage loan in default has any investment income due and accrued which is 180 days past due and collectible, the investment income continues to accrue, but all interest related to the loan is reported as a nonadmitted asset. If accrued interest on an impaired mortgage loan in default is not collectible, the accrued interest is written off immediately and no further interest is accrued.

Statutory Financial Statements as of December 31, 2024
Page 33 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)


During 2024, four CMLs, which were each supported by a single property and with a total principal balance at time of restructure of $425, were modified in a way that met the definition of a troubled debt restructuring under SSAP No. 36. The modification of the CMLs resulted in a portion of the existing carrying values of the loans being written off, and in some cases a partial principal paydown on the remaining principal of the loans. Additionally, the loans were modified to reflect either a new interest rate, the ability to contractually defer interest or pay interest in-kind, a new term for the loan, commitments for future advances, or a combination of these. Upon modification, the Company wrote off $96 of the existing loans’ principal while receiving an immediate cumulative principal paydown of $14, resulting in a new cumulative principal balance for the loans of $315. As a part of the modifications on one of the loans, a construction loan was entered into by the new debtor for future capital expenditures on the property up to $111. As a part of the modifications on one of the loans, the Company agreed to contractual commitments to extend additional credit in the amount of $35. Two of the four mortgage loans had defaulted prior to being restructured.

During 2023, two CMLs, which were both supported by a single property and with a total principal balance at time of restructure of $74, were modified in a way that met the definition of a troubled debt restructuring under SSAP No. 36. The modification of the CMLs resulted in a portion of the existing carrying values of the loans being written off, and in some cases a partial principal paydown on the remaining principal of the loans. Additionally, the loans were modified to reflect either a new interest rate and a new term for the loan. Upon modification, the Company wrote off $19 of the existing loans’ principal, while receiving an immediate principal paydown of $17, resulting in a single loan with a new principal balance of $38. These mortgage loans had not defaulted prior to being restructured.
The Company had the following recorded investments, realized capital losses, and contractual commitments related to restructured loans that were modified within the years ended December 31:











2024
2023
Total recorded investment in restructured loans, as of year-end $ 315 

38 
Total realized capital losses related to these loans 96 

19 
Total contractual commitments to extend credit to debtors owing receivables whose terms have been modified in troubled debt restructuring 35 

— 
(f)    Loan-Backed Securities
SSAP No. 43 requires the bifurcation of impairment losses on loan-backed or structured securities into interest and noninterest-related portions. The noninterest portion is the difference between the present value of cash flows expected to be collected from the security and the amortized cost basis of the security. The interest portion is the difference between the present value of cash flows expected to be collected from the security and its fair value at the balance sheet date.
The Company recognized loan-backed securities in OTTI for the years ended December 31, 2024, 2023, and 2022 as follows:

Statutory Financial Statements as of December 31, 2024
Page 34 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

























OTTI Recognized in Loss

Year ended Amortized Cost Basis Before OTTI
Interest
Non-Interest
Fair Value
OTTI Recognized:






December 31, 2024






Intent to sell $ — 

— 

— 

— 
Annual aggregate total $ — 

— 

— 

— 
December 31, 2023






Intent to sell $ 81 

20 

(1)

62 
Annual aggregate total $ 81 

20 

(1)

62 
December 31, 2022






Intent to sell $ 136 

23 

3 

110 
Annual aggregate total $ 136 

23 

3 

110 

(g)    Derivatives and Hedging Instruments
The Company uses exchange-traded and OTC derivative instruments as a risk management strategy to economically hedge its exposure to various market risks associated with both its products and operations. Derivative assets and liabilities that do not qualify for hedge accounting treatment are recorded at fair value in the Statutory Financial Statements using valuation techniques further discussed in Note 6.
The Company does not have derivative contracts with financing premium as of December 31, 2024 and 2023.
Derivatives held by the Company are designated as either a fair value hedging instrument (fair value hedge), a cash flow hedging instrument (cash flow hedge), or a nonqualified hedging instrument (nonqualifying strategies).
Within the Statutory Statements of Cash Flow, net realized and unrealized gains on derivative instruments are reported in the Derivatives line of the Proceeds from investments sold, matured, or repaid section. Net realized and unrealized losses on derivative instruments are reported in the Derivatives line of the Cost of investments acquired section.
(1) Cash Flow Hedges
Foreign Currency Swaps on Debt Securities
Foreign currency swaps have notional amounts and maturity dates equal and offsetting to the underlying debt securities and are determined to be highly effective as of December 31, 2024 and 2023.

Statutory Financial Statements as of December 31, 2024
Page 35 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(2) Fair Value Hedges
Interest Rate Swaps on Variable Annuity Insurance Liabilities
IRS traded after June 2013 are centrally cleared through an exchange. For IRS traded prior to June 2013 the IRS exposure was netted with other OTC derivatives upon settlement and were subject to the rules of the International Swaps and Derivatives Association, Inc. agreements. The fair values of the collateral posted for OTC and exchange traded derivatives are discussed in the derivative collateral management section below.
Prior to January 1, 2020, the Company designated hedge accounting for these IRS as a cash flow hedge under SSAP No. 86. The amounts previously recorded under the SSAP No. 86 relationship continue to be deferred and amortized over the life of the former hedge program. Effective January 1, 2020, the Company de-designated its previous hedging relationship under SSAP No. 86 and simultaneously designated the hedging relationship under SSAP No. 108 as a fair value hedge. The relationship is deemed to be highly effective at December 31, 2024.
(3) Nonqualifying Strategies
Futures and Options Contracts
OTC options and ETO are cleared through the Options Clearing Corporation, which operates under the jurisdiction of both the Securities and Exchange Commission (SEC) and the Commodities Futures Trading Commission. The fair values of the collateral posted for futures, OTC options, and ETO are discussed in the derivative collateral management section below.
Interest Rate Swaps
The Company can receive the fixed or variable rate; IRS are traded in varying maturities. The fair values of the collateral posted and variation margin for OTC and centrally cleared IRS are discussed in the derivative collateral management section below.
Credit Default Swaps
The CDS within the investment portfolios assume credit risk from a single entity or referenced index for the purpose of synthetically replicating investment transactions. The Company can be required to pay or be the net receiver on the contract depending on the net position. Credit events include bankruptcy of the reference and failure to pay by the reference. As the potential future exposure (PFE) is not determinable, the PFE is zero for the following reasons:

(a) CDS are used to hedge indices allocated to products by policyholders. Fluctuations in value of the CDS are offset by credits provided to policyholders and results in a minimal amount of hedge inefficiency. It is impossible to determine the potential future amount of hedge inefficiency.
(b) The CDS used are exchange traded and daily variation margin is required to settle market movements. This minimizes counterparty credit risk. It also makes it impossible to determine what the potential future exposure related to counterparty risk, net of variation margin received could be.
The fair value of the collateral posted for centrally cleared CDS is discussed in the derivative collateral management section below.
Total Return Swaps
The Company engages in the use of OTC TRS, which allow the parties to exchange cash flows based on a variable reference rate such as the three-month SOFR and the return of an underlying index. The fair value of the collateral posted for OTC TRS is discussed in the derivative collateral management section below.

Statutory Financial Statements as of December 31, 2024
Page 36 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

To Be Announced Securities
The Company uses OTC TBA forward contracts to gain exposure to the investment risk and return of mortgage-backed securities. Typically, the price is agreed upon at the time of the contract and payment for such a contract is made at a specified future date. The fair value of the collateral posted for OTC TBA securities is discussed in the derivative collateral management section below.
The following table presents a summary of the aggregate notional amounts and fair values of the Company’s derivative instruments reported on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus as of December 31:     







































2024
2023




Gross Fair Value


Gross Fair Value


Notional (1)
Assets
Liabilities
Notional (1)
Assets
Liabilities
Cash flow hedging instruments











Foreign currency swaps
$ 3,121 

236 

(1)

2,048 

143 

(9)
Total cash flow hedging instruments


$ 236 

(1)



143 

(9)













Fair value hedging instruments











IRS
$ 76,064 

18 

(299)

76,595 

19 

(206)
Total fair value hedging instruments


$ 18 

(299)



$ 19 

(206)













Nonqualifying hedging instruments











OTC options
$ 60,983 

3,042 

(2,186)

51,904 

2,895 

(2,383)
ETO
29,741 

96 

(115)

16,191 

76 

(182)
TBA securities
1,162 

3 

(6)

457 

1 

(1)
IRS
3,604 

5 

(9)

425 

6 

(12)
Futures
21,653 

— 

— 

18,988 

— 

— 
TRS
4,194 

13 

(57)

4,953 

138 

(42)
Total nonqualifying hedging instruments


3,159 

(2,373)



3,116 

(2,620)
Total derivative instruments


$ 3,413 

(2,673)



3,278 

(2,835)













(1) Notional amounts are presented on an absolute basis.
Derivative Collateral Management
The Company manages derivative collateral for the general account and separate account combined. Additionally, said derivative collateral is managed separately between exchange-traded and OTC derivatives. The total collateral posted for exchange-traded derivatives at December 31, 2024 and 2023, had a fair value of $2,195 and $2,312, respectively, and is included in Bonds on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus and recorded at amortized cost. The Company retains ownership of the exchange-traded collateral, but the collateral resides in an account designated by the exchange. The collateral is subject to specific exchange rules regarding rehypothecation. The total collateral posted for OTC derivatives at December 31, 2024 and 2023, had a fair value of $107 and $44, respectively, and is included in Bonds on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus and recorded at amortized cost. The Company posts collateral to OTC counterparties based upon exposure amounts. The Company retains ownership of the OTC collateral.
(h)    Offsetting Assets and Liabilities
The Company elects to disclose derivative assets and liabilities eligible for offset under SSAP No. 64 – Offsetting and Netting of Assets and Liabilities on a gross basis on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus in accordance with the provisions set forth in SSAP No. 86. This treatment is consistent with the Company’s historical reporting presentation.

Statutory Financial Statements as of December 31, 2024
Page 37 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(i)    Securities Lending
The Company loaned securities with a carrying value of $2,962 and $2,835 and a fair value of $2,654 and $2,612 as of December 31, 2024 and 2023, respectively. The aggregate amount of collateral received through securities lending at December 31 is as follows:

















Fair Value


2024
2023
Cash



Open
2,227 

2,600 
30 days or less
— 

— 
31 to 60 days
— 

— 
61 to 90 days
— 

— 
Greater than 90 days
— 

— 
Subtotal
2,227 

2,600 
Securities received
490 

74 
Total collateral received
$ 2,717 

2,674 
The aggregate amount of cash collateral reinvested through securities lending at December 31 is as follows:





























2024
2023


Amortized cost
Fair value
Amortized cost
Fair value
Open
— 

— 

— 

— 
30 days or less
903 

903 

1,373 

1,374 
31 to 60 days
437 

437 

439 

439 
61 to 90 days
12 

12 

11 

11 
91 to 120 days
245 

245 

195 

195 
121 to 180 days
151 

151 

189 

189 
181 to 365 days
407 

409 

393 

393 
Greater than 1 year
— 

— 

— 

— 
Total collateral reinvested
$ 2,155 

2,157 

2,600 

2,601 
As of December 31, 2024, the Company had borrowings outstanding from collateral securities lending of $72. There were no borrowings outstanding from collateral securities lending as of December 31, 2023.
Reinvested collateral is recorded in Other invested assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. The amount and type of reinvested collateral at December 31 is as follows:











2024
2023
Cash and cash equivalents $ 1,841 

2,330 
Short-term investments 314 

270 
Total $ 2,155 

2,600 
(j)     Reverse Repurchase Agreements
The Company participates in both bilateral and tri-party repos. As of December 31, 2024 and 2023, the Company did not sell or acquire any securities that resulted in default. The Company did not recognize a liability to return cash collateral as of December 31, 2024 and 2023.

Statutory Financial Statements as of December 31, 2024
Page 38 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

All collateral received, as of December 31, 2024 and 2023, were bonds with a designated NAIC-1 rating. Further information related to repos for the years ended December 31, 2024 and 2023, is as follows:    



















As of year end
2024
2023
1. Maturity



a. Overnight
 $ 915 

1,405 
b. 2 Days to 1 Week
 — 

— 
2. Collateral Pledged and Securities Acquired Under Repo


a. Cash Collateral Pledged - Secured Borrowing
 $ 915 

1,405 
b. Fair Value of Securities Acquired Under Repo - Secured Borrowing
 915 

1,405 





















Maximum Amount
2024
2023
1. Maturity



a. Overnight $ 4,180 

1,460 
b. 2 Days to 1 Week — 

15 
c. Greater than one week and less than one month — 

— 
2. Collateral Pledged and Securities Acquired Under Repo


a. Cash Collateral Pledged - Secured Borrowing $ 4,180 

1,460 
b. Fair Value of Securities Acquired Under Repo - Secured Borrowing 4,180 

1,460 
(k)    Non-insurance SCA Investments
A summary of the Company’s SSAP No. 97 – Investments in Subsidiary, Controlled and Affiliated Entities, non-insurance SCA investments, including their respective asset value and NAIC filing information, as of December 31, 2024 is as follows:













































SCA Name
Gross Asset
Non-Admitted Asset
Net Admitted Assets
NAIC Filing Date
NAIC Filing Type
NAIC Filing Balance
Re-submission Required?
AZL PF Investments Inc. (AZLPF)
$ 731 

— 

731 

6/28/2024
S2
707 

N
Total
$ 731 

— 

731 

XXX
XXX
707 

XXX
(l)    FHLB Agreements
The Company held Class A FHLB membership stock of $10 and $10 at December 31, 2024 and 2023 and activity stock of $113 and $113 at December 31, 2024 and 2023, respectively. The Company has a fully collateralized borrowings with a balance of $2,500 and $2,500 as of December 31, 2024 and 2023 which is recorded in Borrowed money on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. All FHLB transaction activity occurs in the Company's general account.
Securities collateral pledged to FHLB at December 31 is as follows:















2024
2023
Carrying value
$ 3,038 

3,229 
Fair value
2,500 

2,500 
The maximum of collateral pledged to FHLB during the year ended December 31 was as follows:















2024
2023
Carrying value
$ 3,152 

4,642 
Fair value
2,501 

4,087 
As of December 31, 2024 and 2023, the Company had $2,500 and $2,500, respectively, in total borrowing capacity under its agreement with the FHLB. The maximum amount of aggregate borrowing from FHLB during the years ended December 31, 2024 and 2023 was $2,500 and $4,085, respectively. Borrowings are not subject to prepayment penalties. Outstanding borrowings as of December 31, 2024, were issued on various

Statutory Financial Statements as of December 31, 2024
Page 39 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

dates ranging from November 09, 2024 to December 12, 2024 and interest rates on those borrowings range from 4.62% to 6.01%. Interest paid on borrowings was $145 and $164 for the years ended December 31, 2024 and 2023, respectively.
(m)    Restricted Assets
As of December 31, 2024 and 2023, the Company had the following restricted assets, including assets pledged to others as collateral:



















































Gross Restricted




Percentage


Total general account
Total separate account
Total current year
Total prior year
Increase (decrease)
Total current year admitted restricted
Gross restricted to total assets
Admitted restricted to total admitted assets
Collateral held under security lending arrangements
$ 2,718 

852 

3,570 

3,434 

136 

3,570 

1.5  %
1.5  %
FHLB capital stock
123 

— 

123 

123 

— 

123 

0.1 

0.1 
On deposit with states
4 

— 

4 

4 

— 

4 

— 

— 
On deposit with other regulatory bodies
1 

— 

1 

27 

(26)

1 

— 

— 
Pledged as collateral to FHLB (including assets backing funding agreements)
3,038 

— 

3,038 

3,229 

(191)

3,038 

1.6 

1.6 
Derivative collateral
2,683 

— 

2,683 

2,640 

43 

2,683 

1.4 

1.4 
Reinsurance assets
18,219 

— 

18,219 

22,403 

(4,184)

18,219 

9.8 

9.8 
Total restricted assets
$ 26,786 

852 

27,638 

31,860 

(4,222)

27,638 

14.4  %
14.4  %

















(n)    Low Income Housing Tax Credits
As of December 31, 2024 the Company had various LIHTC investments with a range of 5 to 13 remaining years of unexpired tax credits and no required holding period.
The amount of tax credits and other tax benefits recognized during the years ended December 31, 2024, 2023 and 2022 is $62, $57, and $52, respectively.
The balance of the investment recognized in the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus for the years ended December 31, 2024 and 2023 is $339 and $394, respectively.
Additionally, the Company's LIHTC investments require a commitment of capital. The Company has open capital commitments of $67 and $117 at December 31, 2024 and 2023, respectively, which are recorded as an unfunded commitment liability in other liabilities. LIHTC commitments are considered an open capital commitment beginning when the Company formally commits to fund the LIHTC, but they are not recorded as an unfunded commitment asset and liability until the Company has begun funding the LIHTC.

Statutory Financial Statements as of December 31, 2024
Page 40 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(o)    Joint Ventures
The Company has no investments in joint ventures, partnerships or limited liability companies that exceed 10% of its admitted assets. The Company recognized impairments on joint ventures of $0 and $2 for the years ended December 31, 2024 and 2023, respectively.
(p)    5GI Securities
As of December 31, 2024, the Company had the following investments that were classified as 5G1 Securities:











2024

Number of 5GI Securities Amortized cost Fair value
Bonds 2 
$ 13 
13 
Loan-backed & structured securities — 
— 
— 
Preferred Stock (amortized cost) — 
— 
— 
Preferred Stock (fair value) — 
— 
— 
Total 2 
$ 13 
13 
As of December 31, 2023, the Company had no investments classified as 5GI Securities.
(q)    Negative IMR
Fixed-income investments generating IMR losses comply with the the Company’s documented investment and liability management policies. IMR losses for fixed-income-related derivatives are all in accordance with prudent and documented risk management procedures, in accordance with the Company’s derivative use plans and reflect symmetry with historical treatment in which unrealized derivative gains were reversed to IMR and amortized in lieu of being recognized as realized gains upon derivative termination. Asset sales that generated admitted negative IMR were not compelled by liquidity pressures.
As of December 31, 2024, the Company had the following net negative IMR and admitted negative IMR balances:











2024

General Account Insulated Separate Account Non-Insulated Separate Account
Net Negative IMR $ — 
— 
— 
Admitted Negative IMR — 
— 
23 
Calculated Adjusted Capital and Surplus 6,674
Percentage of Admitted Negative IMR to Adjusted Capital —  % —  % 0.3  %

Statutory Financial Statements as of December 31, 2024
Page 41 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

As of December 31, 2023, the Company had no admitted negative IMR balances.
As of December 31, 2024, and 2023, the Company had no unamortized balances in IMR from the allocation of gains/losses from derivatives in IMR.
(r)    Unused Commitments and Lines of Credit
The Company has a letter of credit with Allianz Life as the beneficiary, Chubb LTD as the applicant and Wells Fargo as the issuer, to support reserve credit taken as a result of a reinsurance transaction. The Company's borrowing capacity under this agreement is limited to $5 as of December 31, 2024. Borrowed amounts can be prepaid at any time with no prepayment penalty. There are no commitment fees associated with this arrangement. There was no outstanding balance under the letter of credit agreement as of December 31, 2024 and 2023, respectively.
The Company has a letter of credit with Allianz Life as the beneficiary, Allianz SE as the applicant, and BayernLB as the issuer, to support reserve credit taken as a result of a reinsurance transaction. The Company's borrowing capacity under the agreement is limited to an immaterial amount as of December 31, 2024. Borrowed amounts can be prepaid at any time with no prepayment penalty. There are no commitment fees associated with this arrangement. There was no outstanding balance under the letter of credit agreement as of December 31, 2024 and 2023, respectively.
The Company does not have any long or short-term unused commitments or long-term lines of credit.
(6)    Fair Value Measurements
SSAP No. 100 – Fair Value establishes a fair value hierarchy that prioritizes the inputs used in the valuation techniques to measure fair value.
Level 1 –     Unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date.
Level 2 –     Valuations derived from techniques that utilize observable inputs, other than quoted prices included in Level 1, which are observable for the asset or liability either directly or indirectly, such as:
(a)    Quoted prices for similar assets or liabilities in active markets.
(b)    Quoted prices for identical or similar assets or liabilities in markets that are not active.
(c)    Inputs other than quoted prices that are observable.
(d)    Inputs that are derived principally from or corroborated by observable market data by correlation or other means.
Level 3 –     Valuations derived from techniques in which the significant inputs are unobservable. Level 3 fair values reflect the Company’s own assumptions about the assumptions that market participants would use in pricing the asset or liability (including assumptions about risk).
The Company has analyzed the valuation techniques and related inputs, evaluated its assets and liabilities reported at fair value, and determined an appropriate fair value hierarchy level based upon trading activity and the observability of market inputs. Based on the results of this evaluation and investment class analysis, each financial asset and liability was classified into Level 1, 2, or 3.

Statutory Financial Statements as of December 31, 2024
Page 42 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The following presents the assets and liabilities measured at fair value on a recurring basis and their corresponding level in the fair value hierarchy at December 31:





























2024


Level 1
Level 2 (a)
Level 3
Total
Assets at fair value:







Bonds
$ 1 

1 

2 

4 
Common stocks
202 

— 

4 

206 
Preferred stocks
— 

— 

1 

1 
Derivative assets
96 

3,305 

13 

3,414 
Separate account assets
15,363 

11,074 

— 

26,437 
Other invested assets
— 

— 

57 

57 
Total assets reported at fair value
$ 15,662 

14,380 

77 

30,119 
Liabilities at fair value:







Derivative liabilities
$ 115 

2,501 

57 

2,673 
Separate account derivative liabilities
— 

6,574 

— 

6,574 
Total liabilities reported at fair value
$ 115 

9,075 

57 

9,247 









(a) The Company does not have any assets or liabilities measured at net asset value (NAV) that are included in Level 2 within this table.





























2023


Level 1
Level 2 (a)
Level 3
Total
Assets at fair value:







Bonds
$ 1 

4 

— 

5 
Common stocks
197 

— 

4 

201 
Derivative assets
76 

3,064 

137 

3,277 
Separate account assets
15,816 

8,582 

— 

24,398 
Other invested assets
— 

— 

242 

242 
Total assets reported at fair value
$ 16,090 

11,650 

383 

28,123 
Liabilities at fair value:







Derivative liabilities
$ 182 

2,611 

42 

2,835 
Separate account derivative liabilities
— 

5,249 

— 

5,249 
Total liabilities reported at fair value
$ 182 

7,860 

42 

8,084 









(a) The Company does not have any assets or liabilities measured at NAV that are included in Level 2 within this table.
The following is a discussion of the methodologies used to determine fair values for the assets and liabilities listed in the above table. These fair values represent an exit price (i.e., what a buyer in the marketplace would pay for an asset in a current sale or charge to transfer a liability). The Company has not made changes to valuation techniques in 2024.

Statutory Financial Statements as of December 31, 2024
Page 43 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(a)    Valuation of Bonds and Unaffiliated Stock
The fair value of bonds is based on quoted market prices in active markets when available. Based on the market data, the securities are categorized into asset class, and based on the asset class of the security, appropriate pricing applications, models and related methodology, and standard inputs are utilized to determine what a buyer in the marketplace would pay for the security in a current sale. When quoted prices are not readily available or in an inactive market, standard inputs used in the valuation models, listed in approximate order of priority, include, but are not limited to, benchmark yields, reported trades, Municipal Securities Rulemaking Board reported trades, Nationally Recognized Municipal Securities Information Repository material event notices, broker-dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, reference data, and industry and economic events. In some cases, including private placement securities and certain difficult-to-price securities, internal pricing models may be used that are based on market proxies. Internal pricing models based on market spread and U.S. Treasury rates are used to value private placement holdings. The primarily unobservable input used in the discounted cash flow models for states and political subdivisions, foreign government, and corporate bonds is a corporate index option adjusted spread (OAS). CDO and certain mortgage-backed securities are priced by a third-party vendor and the Company internally reviews the valuation for reasonableness. The Company does not have insight into the specific inputs; however, the key unobservable inputs would generally include default rates.
Generally, U.S. Treasury securities and exchange-traded stocks are included in Level 1. Most bonds for which prices are provided by third-party pricing sources, including private placement securities that are priced by asset managers, are included in Level 2, because the inputs used are market observable. Bonds for which prices were obtained from broker quotes, certain bonds without active trading markets, and internally priced private placements are included in Level 3.
The fair value of unaffiliated common stocks is based on quoted market prices in active markets when available and included in Level 1. When quoted prices are not readily available or in an inactive market, the Company arrives at fair value utilizing internal pricing models based on available market inputs or obtains valuations from third party brokers or investment managers. Such investments may be categorized in Level 2 or Level 3. The primary unobservable input used to value common stock are indicative quotes received from third-party vendors.
The fair value of unaffiliated preferred stocks is based on quoted market prices in active markets. When available, such investments are included in Level 1. When quoted prices are not readily available or in an inactive market, the Company arrives at fair value utilizing internal pricing models based on available market inputs. Such investments may be categorized in Level 2 or Level 3.
(b)    Valuation of Derivatives
Active markets for OTC options do not exist. The fair value of OTC options is derived internally, by calculating their expected discounted cash flows, using a set of calibrated, risk-neutral stochastic scenarios, including a market data monitor, a market data model generator, a stochastic scenario calibrator, and the actual asset pricing calculator. The valuation results are reviewed by Management via the Pricing Committee. OTC options that are internally priced, foreign currency swaps, credit default swaps (CDS), To Be Announced (TBA) securities, and interest rate swaps (IRS) are included in Level 2, because they use market observable inputs. TRS are included in Level 3 because they use valuation techniques in which significant inputs are unobservable. The fair value of ETOs and futures are based on quoted market prices and are generally included in Level 1.
Certain derivatives are priced using external third-party vendors. The Company has controls in place to monitor the valuations of these derivatives. Using market observable inputs, IRS prices are derived from a third-party source and are independently recalculated internally and reviewed for reasonableness at the position level on a monthly basis. TRS prices are obtained from the respective counterparties. These prices are also internally recalculated and reviewed for reasonableness at the position level on a monthly basis. The Company

Statutory Financial Statements as of December 31, 2024
Page 44 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

does not have insight into the specific inputs used by third-party vendors; however, the key unobservable input would generally include the spread.
(c)    Valuation of Separate Account Assets and Separate Account Derivative Liabilities
Separate account assets and Separate account derivative liabilities, with the exception of certain bonds, mortgage loans, cash, cash equivalents, securities lending reinvested collateral assets and investment income due and accrued, are carried at fair value, which is based on the fair value of the underlying assets which are described throughout this note. Funds in the separate accounts are primarily invested in variable investment option funds with the following investment types: bond, domestic equity, international equity, or specialty. Variable investment option funds are included in Level 1 because their fair value is based on quoted prices in active, observable markets. The remaining investments are categorized similar to the investments held by the Company in the general account (e.g., if the separate account invested in bonds, short-term investments and derivatives, that portion could be classified within Level 2 or Level 3). Assets carried at amortized cost within the separate account have an amortized cost of $35,366 and $27,720 as of December 31, 2024 and 2023, respectively, and a fair value of $31,959 and $24,877 as of December 31, 2024 and 2023, respectively. Separate account assets carried at amortized cost are included in the table in section 6(h) below.
(d)    Level 3 Rollforward
The following table provides a reconciliation of the beginning and ending balances for the Company’s Level 3 assets and liabilities measured at fair value on a recurring basis:























January 1, 2024 Transfers into
Level 3		 Transfers out
of Level 3		 Total gains
and (losses)
included in
Net Income		 Total gains
and (losses)
included in
Surplus		 Purchases, issuances, sales and settlements December 31, 2024








Bonds $ — 
2 
— 
— 
— 
— 
2 
Preferred stocks — 
— 
— 
— 
— 
1 
1 
Common stocks 4 
— 
— 
— 
— 
— 
4 
TRS assets 137 
— 
— 
444 
(124)
(444)
13 
Other invested assets 242 
10 
(200)
1 
3 
1 
57 
Total Level 3 Assets $ 383 
12 
(200)
445 
(121)
(443)
76 








TRS liabilities $ (42)
— 
— 
(301)
(15)
301 
(57)
Total Level 3 Liabilities $ (42)
— 
— 
(301)
(15)
301 
(57)

























January 1, 2023 Transfers into
Level 3		 Transfers out
of Level 3		 Total gains
and (losses)
included in
Net Income		 Total gains
and (losses)
included in
Surplus		 Purchases, issuances, sales and settlements December 31, 2023








Common stocks $ 5 
— 
— 
— 
(1)
— 
4 
TRS assets 6 
— 
— 
316 
131 
(316)
137 
Other invested assets — 
242 
— 
— 
— 
— 
242 
Total Level 3 Assets $ 11 
242 
— 
316 
130 
(316)
383 








TRS liabilities $ (14)
— 
— 
(375)
(28)
375 
(42)
Total Level 3 Liabilities $ (14)
— 
— 
(375)
(28)
375 
(42)
(e)    Transfers
The Company reviews its fair value hierarchy classifications quarterly. Transfers between levels occur when there are changes in the observability of inputs and market activity.
All transfers into Level 3 were a result of observable inputs no longer being considered reliable or could no longer be validated against an alternative source. The transfers out of Level 3 were a result of securities no

Statutory Financial Statements as of December 31, 2024
Page 45 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

longer being carried at fair value as a result of new availability of reliable observable inputs or the ability to validate market price of the security against an alternative source.
(f)    Sensitivity of Fair Value Measurements to Changes in Unobservable Inputs
Bonds: The primary unobservable input used in the discounted cash flow models for states and political subdivisions, foreign government, and corporate bonds is a corporate index option adjusted spread (OAS). The corporate index OAS used is based on a security's sector, rating, and average life. A significant increase (decrease) of the corporate index OAS in isolation could result in a decrease (increase) in fair value.
CDO and certain mortgage-backed securities are priced by a third-party vendor and the Company internally reviews the valuation for reasonableness. The Company does not have insight into the specific inputs used; however, the key unobservable inputs would generally include default rates. A significant increase (decrease) in default rates in isolation could result in an decrease (increase) in fair value.
Common and preferred stocks: The primary unobservable inputs used to value common and preferred stock are indicative quotes received from third-party vendors and subsequent offering prices. A significant increase (decrease) in either the indicative quotes or offering prices in isolation could result in an increase (decrease) in fair value.
Derivative assets and liabilities: The TRS are priced by a third-party vendor and the Company internally reviews the valuation for reasonableness. The key unobservable input would generally include the spread. For a long position, a significant increase (decrease) in the spread used in the fair value of the TRS in isolation could result in higher (lower) fair value. For a short position, a significant increase (decrease) in the spread used in the fair value of the TRS in isolation could result in lower (higher) fair value.
(g)    Estimates
The Company has been able to estimate the fair value of all financial assets and liabilities.

Statutory Financial Statements as of December 31, 2024
Page 46 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(h)    Aggregate Fair Value of Financial Instruments
The following tables present the carrying amounts and fair values of all financial instruments at December 31 (b):

































2024






Fair Value


Aggregate Fair Value
Admitted Assets/
Carrying Value
Level 1
Level 2
Level 3
Financial Assets









Bonds
$ 79,227 

87,377 

5,618 

48,186 

25,423 
Preferred stocks, unaffiliated
1 

1 

— 

— 

1 
Common stocks, unaffiliated
328 

328 

202 

— 

126 
Mortgage loans on real estate
16,104 

17,639 

— 

— 

16,104 
Cash equivalents
2,596 

2,596 

1,606 

915 

75 
Short-term investments
17 

17 

— 

— 

17 
Derivative assets
3,413 

3,413 

95 

3,305 

13 
Securities lending reinvested collateral assets
2,156 

2,155 

— 

2,156 

— 
Other invested assets
2,134 

2,108 

— 

153 

1,981 
COLI
814 

814 

— 

814 

— 
Separate account assets
59,223 

62,629 

16,481 

33,231 

9,511 
Financial Liabilities









Deposit-type contracts
$ 3,657 

3,557 

— 

— 

3,657 
Other investment contracts
83,129 

79,992 

— 

— 

83,129 
Borrowed money
2,557 

2,515 

— 

— 

2,557 
Derivative liabilities
2,673 

2,673 

115 

2,501 

57 
Payable for securities lending
2,227 

2,227 

— 

2,227 

— 
Payable for securities
67 

67 

— 

— 

67 
Separate account liabilities
59,223 

62,629 

16,481 

33,231 

9,511 
(b) The Company does not have any assets or liabilities measured at NAV that are included in Level 2 in this table. In addition, the Company has no assets or liabilities for which it is not practicable to measure at fair value.

Statutory Financial Statements as of December 31, 2024
Page 47 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

































2023






Fair Value


Aggregate Fair Value
Admitted Assets/ Carrying Value
Level 1
Level 2
Level 3
Financial Assets









Bonds
$ 82,223 

89,197 

5,412 

52,057 

24,754 
Common stocks, unaffiliated
323 

323 

197 

— 

126 
Mortgage loans on real estate
16,664 

18,115 

— 

— 

16,664 
Cash equivalents
3,176 

3,176 

1,485 

1,405 

286 
Short-term investments
612 

613 

595 

5 

12 
Derivative assets
3,278 

3,278 

77 

3,064 

137 
Securities lending reinvested collateral assets
2,601 

2,600 

— 

2,601 

— 
Other invested assets
1,886 

1,905 

— 

131 

1,755 
COLI
750 

750 

— 

750 

— 
Separate account assets
49,938 

52,781 

16,397 

28,000 

5,541 
Financial Liabilities









Deposit-type contracts
$ 3,913 

3,842 

— 

— 

3,913 
Other investment contracts
82,589 

80,474 

— 

— 

82,589 
Borrowed money
2,569 

2,515 

— 

— 

2,569 
Derivative liabilities
2,835 

2,835 

182 

2,611 

42 
Payable for securities lending
2,600 

2,600 

— 

2,600 

— 
Payable for securities
117 

117 

— 

— 

117 
Separate account liabilities
49,938 

52,781 

16,397 

28,000 

5,541 











(b) The Company does not have any assets or liabilities measured at NAV that are included in Level 2 in this table. In addition, the Company has no assets or liabilities for which it is not practicable to measure at fair value.
A description of the Company’s valuation techniques for financial instruments not reported at fair value and categorized within the fair value hierarchy is shown below:
Valuation of FHLB Stock
FHLB stock, included in Common stocks, is not traded in an active market and is categorized in Level 3. FHLB stock is carried at cost, which approximates fair value unless it is impaired, based on provisions within the Company’s FHLB agreement that allow for return of outstanding shares of FHLB stock at the Company’s cost basis.
Valuation of Mortgage Loans on Real Estate
The fair value of commercial mortgage loans on real estate is calculated by analyzing individual loans and assigning ratings to each loan based on a combination of loan-to-value ratios and debt service coverage ratios. Fair value is determined based on these factors as well as the contractual cash flows of each loan and the current market interest rates for similar loans. The fair value of residential mortgage loans on real estate is calculated by discounting estimated cash flows, with discount rates based on current market conditions.

Statutory Financial Statements as of December 31, 2024
Page 48 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

Valuation of Cash Equivalents
Cash equivalents are comprised of money market mutual funds, cash equivalent bonds, and reverse repurchase agreements. The fair value of money market mutual funds and cash equivalent bonds are based on quoted market prices in active markets and included in Level 1. Reverse repurchase prices are provided by third-party pricing sources and included in Level 2, because the inputs used to determine fair value are market observable.
Valuation of Short-term Investments
Short-term investments are comprised of bonds due in one year or less at original purchase. Due to the short-term nature of these investments, the carrying value is deemed to approximate fair value. The fair value leveling of short-term investments is determined similarly as bonds as discussed above.
Valuation of Securities Lending Reinvested Collateral Assets
Collateral held from securities lending agreements is primarily comprised of short-term and long-term highly liquid fixed-maturity securities. Fair values are determined and classified within the fair value hierarchy in a manner consistent with the method utilized to determine the fair value of similar securities (fixed-income securities, equity securities, cash and cash equivalents) held within the Company’s general account investment portfolio.
Valuation of Other Invested Assets
Other invested assets include surplus notes, residuals on asset-backed securities, LIHTC investments, limited partnership investments, loans to affiliates, and restricted stock unit (RSU) assets.
◦Surplus notes and residuals on asset-backed securities for which prices are provided by third-party pricing sources using observable inputs are included in Level 2. Prices provided by third-party pricing sources that do not have observable market data or are determined internally are included in Level 3. Residuals are carried at the lower of amortized cost or market value.
◦LIHTC investments (including the unfunded commitment asset) fair value is set equal to carrying value, as there is no observable market data on which to calculate fair value. Due to the use of unobservable inputs, they are categorized as Level 3.
◦Limited partnership investments are recorded using the equity method in line with SSAP No. 48, Joint Ventures, Partnerships, and Limited Liability Companies, using unobservable inputs. Due to the use of unobservable inputs, they are categorized as Level 3. The Company believes the equity method approximates fair value.
◦Loans to affiliates are carried at cost. Due to the lack of an active market, the current carrying value is the only market price at which the transaction could be settled, and therefore the Company believes cost approximates fair value. Due to the use of unobservable inputs, they are categorized as Level 3.
◦RSU assets are tied to the share price of Allianz SE stock but does not participate in an active market; given this, it is categorized as Level 2.
Valuation of COLI
The COLI policies held by the Company are carried at their respective cash surrender values, which approximates fair value. The cash surrender value of the policies is based on the value of the underlying assets, which are regularly priced utilizing observable inputs. The COLI asset is included within Other assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. At December 31, 2024 and 2023, the cash surrender value in an investment vehicle is $814 and $750, respectively, and is allocated into the following categories based on primary underlying investment characteristics:

Statutory Financial Statements as of December 31, 2024
Page 49 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)








2024 2023
Bonds 45.0  % 45.0  %
Stocks 19.0  % 19.0  %
Other Invested Assets 36.0  % 36.0  %
Valuation of Deposit-Type Contracts
Fair values of deposit-type contracts are based on discounted cash flows using internal inputs, including the discount rate and consideration of the Company’s own credit standing and a risk margin for actuarial inputs.
Valuation of Other Investment Contracts
Other investment contracts are included within Life policies and annuity contracts within the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Other investment contracts include certain reserves related to deferred annuities and other payout annuities that may include life contingencies, but do not have significant mortality risk due to substantial periods certain. Fair values are based on discounted cash flows using internal inputs, including the discount rate and consideration of the Company’s own credit standing and a risk margin for market inputs.
Valuation of Borrowed Money
The fair value of the FHLB borrowing is calculated on a discounted cash flow basis. Each position includes a monthly interest rate, a maturity payment amount, and a maturity date. The interest and maturity payments are projected as of the valuation date, and the expected cash flows are discounted using the valuation date swap curve.
Valuation of Payable for Securities Lending
Securities lending payable is set equal to the cash collateral received. Due to the short-term nature of these loans, the carrying value is deemed to approximate fair value.
Valuation of Payable for Securities
Included in Payable for securities is the LIHTC investments unfunded commitment liability. As there is no observable market data on which to calculate fair value of the LIHTC investment unfunded commitment asset and liability, fair value is set equal to carrying value, and the balance is categorized as Level 3.
Valuation of Separate Account Liabilities
The fair value of separate account liabilities approximates the fair value of separate account assets.
(7)    Mortgage Notes Payable
In 2004, the Company obtained an $80 mortgage loan from an unrelated third-party for the Company’s headquarters. In 2005, the Company agreed to enter into a separate loan agreement with the same counterparty in conjunction with the construction of an addition to the Company’s headquarters of $65. This loan was funded in 2006 and combined with the existing mortgage. As of December 31, 2024 and 2023, the combined loan had a balance of $0 and $8, respectively, and is reported within Real estate on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. This 20 year, fully amortizing loan had an interest rate of 5.52% and matured on August 1, 2024. The level principal and interest payments were made monthly. The loan allowed for prepayment; however, it was accompanied by a make-whole provision.
Interest expense for all loans is $0, $1, and $1, in 2024, 2023, and 2022, respectively, and is presented in Net investment income on the Statutory Statements of Operations.
The Company does not have any future principal payments required under the loan.


Statutory Financial Statements as of December 31, 2024
Page 50 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(8)    Electronic Data Processing Equipment and Software (EDP)
EDP at December 31 and the changes in the balance for the years then ended are as follows:













2024
2023
Amortization:


Software amortization 25 

20 
Net EDP balance, by major classes of assets:


Software 53 

67 
Net EDP balance 53 

67 
Nonadmitted (53)

(67)
Net admitted EDP balance $ — 

— 
The Company has a gross EDP asset of $56 and $71 and accumulated depreciation and amortization of $(3) and $(4) at December 31, 2024 and 2023, respectively. Servers, computers and peripherals are depreciated over the lesser of their useful life or three years and the net balance is nonadmitted. Software is amortized over the lesser of its useful life or five years. Nonoperating software is nonadmitted and operating software is admitted to the extent it meets the criteria defined in SSAP No. 16 - Electronic Data Processing Equipment and Software.
(9)    Income Taxes
(a)    Deferred Tax Assets and Liabilities
The components of the net DTA or net DTL are as follows:

















December 31, 2024

Ordinary
Capital
Total
Total gross deferred tax assets
 $ 1,204 

160 

1,364 
Statutory valuation allowance adjustments
 — 

(65)

(65)
Adjusted gross deferred tax assets
 1,204 

95 

1,299 
Deferred tax assets nonadmitted
 (368)

— 

(368)
Subtotal net admitted deferred tax assets
 836 

95 

931 
Deferred tax liabilities
 (330)

(7)

(337)
Net admitted deferred tax assets (liabilities)
 $ 506 

88 

594 



















December 31, 2023

Ordinary
Capital
Total
Total gross deferred tax assets
 $ 1,065 

69 

1,134 
Statutory valuation allowance adjustments
 — 

— 

— 
Adjusted gross deferred tax assets
 1,065 

69 

1,134 
Deferred tax assets nonadmitted
 (196)

— 

(196)
Subtotal net admitted deferred tax assets
 869 

69 

938 
Deferred tax liabilities
 (371)

(3)

(374)
Net admitted deferred tax assets (liabilities)
 $ 498 

66 

564 

Statutory Financial Statements as of December 31, 2024
Page 51 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

















Change

Ordinary
Capital
Total
Total gross deferred tax assets
 $ 139 

91 

230 
Statutory valuation allowance adjustments
 — 

(65)

(65)
Adjusted gross deferred tax assets
 139 

26 

165 
Deferred tax assets nonadmitted
 (173)

— 

(173)
Subtotal net admitted deferred tax assets
 (34)

26 

(8)
Deferred tax liabilities
 41 

(4)

37 
Net admitted deferred tax assets (liabilities)
 $ 7 

22 

29 

The amount of admitted adjusted gross DTAs allowed under each component of SSAP No. 101 – Income Taxes (SSAP No. 101) as of December 31 are as follows:

















December 31, 2024

Ordinary
Capital
Total
Federal income taxes paid in prior years recoverable through loss carrybacks (11.a) $ — 

— 

— 
Adjusted gross DTAs expected to be realized after application of the threshold limitations
 — 

— 

— 
Lesser of 11.b.i or 11.b.ii:
 — 

— 

— 
Adjusted gross DTAs expected to be realized following the balance sheet date (11.b.i.)
 506 

95 

601 
Adjusted gross DTAs allowed per limitation threshold (11.b.ii)
 N/A
N/A
987 
Lesser of 11.b.i or 11.b.ii
 506 

95 

601 
Adjusted gross DTAs offset by gross DTLs (11.c)
 330 

— 

330 
Deferred tax assets admitted
 $ 836 

95 

931 



















December 31, 2023

Ordinary
Capital
Total
Federal income taxes paid in prior years recoverable through loss carrybacks (11.a) $ — 

69 

69 
Adjusted gross DTAs expected to be realized after application of the threshold limitations
 — 

— 

— 
Lesser of 11.b.i or 11.b.ii:
 — 

— 

— 
Adjusted gross DTAs expected to be realized following the balance sheet date (11.b.i.)
 498 

— 

498 
Adjusted gross DTAs allowed per limitation threshold (11.b.ii)
 N/A
N/A
971 
Lesser of 11.b.i or 11.b.ii
 498 

— 

498 
Adjusted gross DTAs offset by gross DTLs (11.c)
 371 

— 

371 
Deferred tax assets admitted
 $ 869 

69 

938 

Statutory Financial Statements as of December 31, 2024
Page 52 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

















Change

Ordinary
Capital
Total
Federal income taxes paid in prior years recoverable through loss carrybacks (11.a) $ — 

(69)

(69)
Adjusted gross DTAs expected to be realized after application of the threshold limitations
 — 

— 

— 
Lesser of 11.b.i or 11.b.ii:
 — 

— 

— 
Adjusted gross DTAs expected to be realized following the balance sheet date (11.b.i.)
 7 

96 

103 
Adjusted gross DTAs allowed per limitation threshold (11.b.ii)
 N/A
N/A
16 
Lesser of 11.b.i or 11.b.ii
 7 

96 

103 
Adjusted gross DTAs offset by gross DTLs (11.c)
 (41)

— 

(41)
Deferred tax assets admitted
 $ (34)

27 

(7)

Ratios used for threshold limitation as of December 31 are as follows:





























December 31





2024
2023
Change
Ratio percentage used to determine recovery period and threshold limitation amount 603  %
645  %
(42) %
Amount of adjusted capital and surplus used to determine recovery period threshold limitation $ 6,571 

6,470 

101 

The impact of tax planning strategies on the determination of net admitted adjusted gross DTAs is as follows:

















December 31, 2024

Ordinary
Capital
Total
Net admitted adjusted gross DTAs- (percentage of total net admitted adjusted gross DTAs) —  %
100.0  %
100.0  %



















December 31, 2023

Ordinary
Capital
Total
Net admitted adjusted gross DTAs- (percentage of total net admitted adjusted gross DTAs) —  %
—  %
—  %



















Change

Ordinary
Capital
Total
Net admitted adjusted gross DTAs- (percentage of total net admitted adjusted gross DTAs) —  %
100.0  %
100.0  %

The Company’s tax planning strategies do not include the use of reinsurance.
(b)    Unrecognized Deferred Tax Liabilities
There are no temporary differences for which DTLs are not recognized.

Statutory Financial Statements as of December 31, 2024
Page 53 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(c)    Current and Deferred Income Taxes
The significant components of income taxes incurred (i.e. Current income tax expense) include:































December 31
2024-2023 Change
2023-2022 Change

2024
2023
2022

Current year federal tax expense (benefit) - ordinary income $ 471 

574 

(2)

(103)

576 
Current year foreign tax expense (benefit) - ordinary income — 

— 

— 

— 

— 
Subtotal 471 

574 

(2)

(103)

576 
Current year tax expense - net realized capital gains (losses) (103)

(102)

(43)

(1)

(59)
Federal and foreign income taxes incurred $ 368 

472 

(45)

(104)

517 
DTAs and DTLs consist of the following major components:





















December 31
Deferred tax assets
2024
2023
Change
Ordinary:





Unrealized losses
$ 14 

59 

(45)
Deferred acquisition costs
287 

246 

41 
Expense accruals
99 

79 

20 
Policyholder reserves
686 

640 

46 
VM-21 reserves
— 

24 

(24)
Variable hedging
104 

— 

104 
Nonadmitted assets
14 

17 

(3)
Subtotal
1,204 

1,065 

139 
Statutory valuation allowance adjustment
— 

— 

— 
Nonadmitted ordinary deferred tax assets
(369)

(196)

(173)
Admitted ordinary tax assets
835 

869 

(34)







Capital:





Impaired assets
52 

65 

(13)
Unrealized losses
1 

4 

(3)
Capital loss carryforward
108 

— 

108 
Subtotal
161 

69 

92 
Statutory valuation allowance adjustment
(65)

— 

(65)
Nonadmitted capital deferred tax assets
— 

— 

— 
Admitted capital deferred tax assets
96 

69 

27 
Admitted deferred tax assets
$ 931 

938 

(7)

Statutory Financial Statements as of December 31, 2024
Page 54 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)





















December 31
Deferred tax liabilities
2024
2023
Change
Ordinary:





Investments
$ (61)

(64)

3 
Fixed assets
(4)

(4)

— 
Policyholder reserves
(89)

(182)

93 
Software capitalization
(3)

(6)

3 
Unrealized gains
(114)

(115)

1 
VM-21 Reserves
(19)

— 

(19)
Variable Hedging
(40)

— 

(40)
Other
— 

— 

— 
Subtotal
(330)

(371)

41 







Capital:





Unrealized gains
(7)

(3)

(4)
Subtotal
(7)

(3)

(4)
Deferred tax liabilities
$ (337)

(374)

37 
Net deferred tax assets (liabilities)
$ 594 

564 

30 
The realization of the Ordinary DTAs is dependent upon the Company's ability to generate sufficient taxable income in future periods and the realization of Capital DTAs is dependent on tax planning strategies. Based on historical results and the prospects for future current operations, including tax planning strategies, management anticipates that it is more likely than not that future taxable ordinary and capital income will be sufficient for the realization of the remaining DTAs.
The Inflation Reduction Act was enacted on August 16, 2022. The Company has determined as of December 31, 2024 that it is an applicable corporation with respect to the Corporate Alternative Minimum Tax ("CAMT"), but that it will not incur a CAMT liability in 2024. The financial statements, therefore, do not include any impact related to CAMT. The Company has made an accounting election to disregard CAMT when evaluating the need for a Valuation Allowance for its non-CAMT DTAs.
In computing taxable income, life insurance companies are allowed a deduction attributable to their life insurance and accident and health reserves. The Tax Act of 2017 significantly changed the methodology by which these reserves are computed for tax purposes. The changes are effective for tax years beginning after 2017 and are subject to a transition rule that spreads the additional income tax liability over the subsequent eight years beginning in 2018.  Due to complexities in the new methodology and limited guidance from the Internal Revenue Service and U.S. Treasury, the Company has recorded provisional amounts for the deferred tax revaluation associated with the changes in the computation of life insurance tax reserves based on information available at December 31, 2017.  Pursuant to Interpretation of the SAP Working Group 18-01: Updated Tax Estimates under the Tax Cuts and Jobs Act, provisional tax computations related to these amounts were reasonably estimated as of December 31, 2017 and have been adjusted based on guidance received from Internal Revenue Service and U.S. Treasury. Adjusted amounts are reflected in the Company's results of operations for the years ended December 31, 2024, 2023, and 2022.
The Change in net deferred income tax is comprised of the following (this analysis is exclusive of the nonadmitted DTAs as the Change in nonadmitted assets is reported separately from the Change in net deferred income tax in the Unassigned surplus section of the Statutory Statements of Capital and Surplus):

Statutory Financial Statements as of December 31, 2024
Page 55 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

















December 31


2024
2023
Change
Net deferred tax assets (liabilities)
 $ 1,028 

759 

269 
Statutory valuation allowance adjustment
 (65)

— 

(65)
Net deferred tax assets (liabilities) after statutory valuation allowance
 963 

759 

204 
Tax effect of unrealized gains (losses)
 221 

162 

59 
Statutory valuation allowance adjustment allocated to unrealized gains (losses)
 — 

— 

— 
Tax impact due to correction of error — 

— 

— 
Change in net deferred income tax $ 1,184 

$ 921 

$ 263 
(d)    Reconciliation of Federal Income Tax Rate to Actual Effective Rate
The provision for federal income taxes incurred is different from that which would be obtained by applying the statutory federal income tax rate to income before income taxes. The significant items causing this difference are as follows:

















December 31, 2024
December 31, 2023
December 31, 2022
Federal income tax rate 21.0  %
21.0  %
21.0  %
Amortization of IMR (0.4)

(0.3)

(0.3)
Dividends received deduction (0.5)

(0.9)

(0.4)
Nondeductible expenses 7.3 

2.9 

1.3 
Affiliated LLC income (0.2)

(0.2)

(0.2)
COLI (1.1)

(0.7)

0.1 
Tax hedges (15.5)

8.5 

(4.5)
Tax hedge reclassification 25.7 

(7.0)

(15.0)
Tax credits (5.4)

(2.8)

(2.0)
Prior period adjustments (3.4)

0.1 

— 
Change in deferred taxes on impairments 0.9 

(0.5)

(0.3)
Change in deferred taxes on nonadmitted assets 0.3 

0.1 

(0.2)
Change in deferred tax reclassified to Change due to correction of accounting error — 

(0.4)

— 
Reinsurance (2.9)

(3.0)

(1.9)
Correction of error surplus — 

0.4 

— 
Capital loss carryforward (9.0)

— 

— 
Valuation allowance 5.4 

— 

— 
Tax contingencies (4.7)

(1.7)

0.4 
Realized capital gains tax (8.6)

(4.7)

(1.5)
Other (0.2)

0.2 

— 
Effective tax rate 8.7  %
11.0  %
(3.5) %






Federal and foreign income taxes incurred 39.1  %
26.6  %
(0.1) %
Realized capital gains tax (8.6)

(4.7)

(1.5)
Change in net deferred tax (21.8)

(10.9)

(1.9)
Effective tax rate 8.7  %
11.0  %
(3.5) %
(e)    Carryforwards, Recoverable Taxes, and IRC Section 6603 Deposits
As of December 31, 2024, there are no operating losses and foreign tax credit carryforwards available for tax purposes.
As of December 31, 2024 and 2023, there was $0 and $104, respectively of Federal income taxes available for recoupment in the event of future net losses.
As of December 31, 2024 and 2023, the Company admitted deposits under Section 6603 of the IRC in the amounts of $0, and $179, respectively, which are within Current federal and foreign income tax recoverable on

Statutory Financial Statements as of December 31, 2024
Page 56 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
The Company had tax contingencies computed in accordance with SSAP No. 5, Liabilities, Contingencies and Impairment of Assets, and SSAP No. 101 as of December 31, 2024 and 2023. The Company does not believe the tax contingencies will significantly increase within the next 12 months.
During the year ended December 31, 2024, the Company released all previously held tax contingency and interest accrual related to variable annuity hedging, due to an agreement with the IRS regarding method of recognition. In addition, there was a one-time nondeductible tax payment and additional accrual for the R&D credit taken on the 2023 Federal Tax Return. The net result was a tax benefit of $57 in 2024.
The Company recognizes interest and penalties accrued related to unrecognized tax benefits in federal income tax expense. During the years ended December 31, 2024, 2023, and 2022 the Company recognized expenses of $(21), $(12), and $7 in interest and penalties, respectively. The Company had $1 and $28 for the unrecognized tax benefits and related accrued interest at December 31, 2024 and 2023, respectively.
(f)    Consolidated Federal Income Tax Return
The Company's federal income tax return is consolidated with its parent, AZOA. The method of allocation among companies is subject to a written agreement with AZOA, approved by the Board of Directors of AZOA, that provides for computation of federal income taxes primarily on a separate company basis with the Company receiving reimbursement by AZOA for the benefit of all tax attributes, including credits and losses, when such attributes are utilized in the AZOA consolidated federal income tax return. In 2023 the Company amended the agreement to include the corporate alternative minimum tax applying principles described above. Intercompany tax balances are settled annually after the consolidated return is filed.
The Company is included in the consolidated group for which AZOA files a federal income tax return on behalf of all group members. As a member of the AZOA consolidated group, the Company is no longer subject to U.S. Federal income tax examinations for years prior to 2016, though examinations of State combined returns filed by AZOA, which include the Company may still be conducted for 2016 and subsequent years. The Internal Revenue Service (IRS) examination of AZOA for the 2016 and 2017 income tax returns has completed the exam phase and has been assigned to Appeals for an issue related to variable annuity hedging income recognition. A verbal agreement for the settlement of this hedging issue has been reached with the IRS. The settlement is subject to a final closing agreement. The IRS has also initiated an examination of AZOA's 2018-2022 income tax returns. The examination of the 2018-20 returns is expected to close by the end of 2025. The examination of the 2021-22 returns is expected to close in the second quarter of 2026.
As of December 31, 2024, the companies included in the consolidated group for which AZOA files a federal income tax return are included below:




Members of Consolidated Tax Group
Allianz Life Insurance Company of North America Allianz Life Insurance Company of Missouri
Allianz Life Insurance Company of New York Allianz Underwriters Insurance Company
AZOA Services Corporation AGCS Marine Insurance Company
Allianz Global Risks US Insurance Company Allianz Reinsurance Management Services, Inc.
Allianz Reinsurance of America, Inc. Fireman’s Fund Insurance Company
Allianz Technology of America, Inc. Fireman’s Fund Indemnity Corporation
Allianz Renewable Energy Partners of America LLC National Surety Corporation
Allianz Renewable Energy Partners of America 2 LLC Chicago Insurance Company
AZL PF Investments, Inc. Interstate Fire & Casualty Company
Dresdner Kleinwort Pfandbriefe Investments II, Inc. American Automobile Insurance Company
Allianz Fund Investments, Inc. Allianz Risk Transfer, Inc.
Yorktown Financial Companies, Inc. Allianz Risk Transfer (Bermuda), Ltd.
Questar Capital Corporation Questar Agency, Inc.

Statutory Financial Statements as of December 31, 2024
Page 57 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)


(10)    Accident and Health Claim Reserves
Accident and health claim reserves are based on estimates that are subject to uncertainty. Uncertainty regarding reserves of a given accident year is gradually reduced as new information emerges each succeeding year, thereby allowing more reliable reevaluations of such reserves. While management believes that reserves as of December 31, 2024 are appropriate, uncertainties in the reserving process could cause reserves to develop favorably or unfavorably in the near term as new or additional information emerges. Any adjustments to reserves are reflected in the operating results of the periods in which they are made. Movements in reserves could significantly impact the Company’s future reported earnings.
Activity in the accident and health claim reserves is summarized as follows:





















2024
2023
2022
Balance at January 1, net of reinsurance recoverables of $1,000, $845, and $734, respectively
$ 531 

437 

385 
Incurred related to:





Current year
252 

242 

201 
Prior years
(39)

(15)

(39)
Total incurred
213 

227 

162 
Paid related to:





Current year
13 

12 

11 
Prior years
146 

121 

99 
Total paid
159 

133 

110 
Balance at December 31, net of reinsurance recoverables of $1,080, $1,000, and $845, respectively
$ 585 

531 

437 
Claim reserves related to prior years incurred in for 2024, 2023, and 2022 were favorable as a result of re-estimation of unpaid claims and claim adjustment expenses, principally on the individual LTC line of business.
(11)    Reinsurance
The Company primarily enters into reinsurance agreements to manage risk resulting from its life, annuity, and accident and health businesses, as well as businesses the Company has chosen to exit. In the normal course of business, the Company seeks to limit its exposure to loss by ceding risks under yearly renewal term, coinsurance, and modified coinsurance.
The Company monitors the financial exposure and financial strength of the reinsurers on an ongoing basis. The Company attempts to mitigate risk by securing recoverable balances with various forms of collateral, including arranging trust accounts and letters of credit with certain reinsurers.
The effect of reinsurance on reserves, deposit-type contracts, and claims, for amounts recoverable from other insurers, was as follows:















For the years ended December 31,
Reduction in:
2024
2023
Aggregate reserves *
$ 25,508 

27,184 
Deposit-type contracts
524 

423 
Policy and contract claims
42 

50 
*Aggregate reserves are reduced by funds withheld agreements that results in a reclassification of reserves to Funds held under reinsurance treaties on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus in the amount of $8,556 and $10,034 as of December 31, 2024 and 2023, respectively.
Reinsurance reserves, recoverables, and receivables at December 31, 2024 and 2023, are covered by collateral of $13,164 and $14,101, respectively, in addition to the letter of credit on behalf of AZMO, as noted in Note 2.

Statutory Financial Statements as of December 31, 2024
Page 58 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)


Life insurance, annuities, and accident and health business assumed from and ceded to other companies are as follows:



























Year ended
Direct amount
Ceded to other companies
Assumed from other companies
Net amount
December 31, 2024







Life insurance in-force
$ 93,215 

52,811 

39 

40,443 
Premiums:







Life
1,790 

104 

— 

1,686 
Annuities
21,130 

1,397 

— 

19,733 
Accident and health
182 

75 

70 

177 
Total premiums
$ 23,102 

1,576 

70 

21,596 









December 31, 2023







Life insurance in-force
$ 89,951 

52,123 

42 

37,870 
Premiums:







Life
1,649 

102 

— 

1,547 
Annuities
16,985 

1,208 

— 

15,777 
Accident and health
177 

73 

75 

179 
Total premiums
$ 18,811 

1,383 

75 

17,503 









December 31, 2022







Life insurance in-force
$ 80,796 

48,002 

41 

32,835 
Premiums:







Life
1,537 

94 

— 

1,443 
Annuities
13,438 

762 

— 

12,676 
Accident and health
170 

71 

70 

169 
Total premiums
$ 15,145 

927 

70 

14,288 
The Company holds securities backing term life and universal life with secondary guarantees ceded reserves in compliance with Actuarial Guideline 48. As of both December 31, 2024 and 2023, the Company had 8 reinsurance contracts in which risks under covered policies have been ceded. The Company held primary securities in an amount at least equal to the required level of primary securities for all of these contracts.
There are no nonaffiliated reinsurers owned in excess of 10% or controlled, either directly or indirectly, by the Company or by a representative, officer, trustee, or director of the Company.
There are no policies issued by the Company that have been reinsured with a company chartered in a country other than the United States that is owned in excess of 10% or controlled directly or indirectly by an insured, a beneficiary, a creditor, or any other person not primarily engaged in the insurance business.
The Company does not have any reinsurance agreements in effect under which the reinsurer may unilaterally cancel any reinsurance for reasons other than for nonpayment of premium or other similar credits.
The Company does not have reinsurance agreements in effect such that the amount of losses paid or accrued through the statement date may result in a payment to the reinsurer of amounts that, in aggregate and allowing for offset of mutual credits from other reinsurance agreements with the same reinsurer, exceed the total direct premium collected under the reinsured policies.
The Company did not write off any uncollectible recoverables during 2024, 2023, or 2022.
The Company executed or amended the following agreements during the current year, that included policies or contracts that were in force as of the effective date of the agreement:

Statutory Financial Statements as of December 31, 2024
Page 59 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

Effective March 29, 2024, Allianz Life used assumptive reinsurance to reinsure its entire Canadian block of business to Assumption Mutual Life Insurance Company. As a result, the Company has no insurance liabilities remaining on its Canadian block of business as of December 31, 2024. Prior to the reinsurance agreement, the Company had gross policyholder liabilities of $8, inclusive of separate account liabilities.
Effective April 1, 2024, the Company amended and restated a reinsurance agreement with Hannover Life Reinsurance Company of America, originally effective September 1, 2021, that covers certain in force fixed annuity policies. This resulted in $154 of reserve credit as of April 1, 2024.
(12)    Annuity Actuarial Reserves and Deposit Liabilities by Withdrawal Characteristics
Information regarding the Company’s annuity actuarial reserves and deposit liabilities by withdrawal characteristics at December 31 is as follows:





























2024
Percentage of total
2023
Percentage of total
Subject to discretionary withdrawal:







With market value adjustment
$ 66,807 

42  %
$ 61,551 

40  %
At book value less current surrender charges of 5% or more
45,505 

29 

39,841 

26 
At market value
14,454 

8 

15,527 

10 
Total with adjustment or at market value
126,766 

79 

116,919 

76 
At book value without adjustment (minimal or no charge or adjustment)
25,400 

16 

30,105 

19 
Not subject to discretionary withdrawal
7,476 

5 

7,718 

5 
Total gross
159,642 

100  %
154,742 

100  %
Reinsurance ceded
21,406 



23,033 


Total net
$ 138,236 



$ 131,709 


Amount included in At book value less current charges of 5% or more that will move to At book value without adjustment in the year after the statement date:
$ 4,981 



$ 3,825 


















Reconciliation of total annuity actuarial reserves and deposit fund liabilities:
2024
2023
Life, Accident and Health Annual Statement:



Annuities, net (excluding supplementary contracts with life contingencies)
$ 80,006 

80,492 
Supplemental contracts with life contingencies, net
1,925 

1,978 
Deposit-type contracts
3,557 

3,842 
Subtotal
85,488 

86,312 
Separate Accounts Annual Statement:



Annuities, net (excluding supplementary contracts with life contingencies)
52,727 

45,381 
Supplemental contracts with life contingencies, net
21 

16 
Subtotal
52,748 

45,397 
Total annuity actuarial reserves and deposit fund liabilities
$ 138,236 

131,709 

Statutory Financial Statements as of December 31, 2024
Page 60 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)


(13)    Life Actuarial Reserves by Withdrawal Characteristics
Information regarding the Company’s life actuarial reserves by withdrawal characteristics at December 31 is as follows:













2024
General Account Account value Cash value Reserve
Subject to discretionary withdrawal, surrender values, or policy loans:


Universal life $ 720 
719 
724 
Universal life with secondary guarantees 56 
53 
140 
Indexed life 10,539 
9,307 
9,357 
Other permanent cash value life insurance 80 
80 
80 
Variable universal life 2 
2 
2 
Miscellaneous reserves — 
— 
296 
Not subject to discretionary withdrawal or no cash values:


Term policies without cash value XXX XXX 161 
Disability, active lives XXX XXX 49 
Disability, disabled lives XXX XXX 5 
Miscellaneous reserves XXX XXX 36 
Total gross 11,397 
10,161 
10,850 
Reinsurance ceded 526 
526 
740 
Total net $ 10,871 
9,635 
10,110 





2023
General Account Account value Cash value Reserve
Subject to discretionary withdrawal, surrender values, or policy loans:


Universal life $ 754 
752 
758 
Universal life with secondary guarantees 58 
54 
141 
Indexed life 8,957 
7,820 
7,869 
Other permanent cash value life insurance 86 
86 
86 
Variable universal life 2 
2 
2 
Miscellaneous reserves — 
— 
302 
Not subject to discretionary withdrawal or no cash values:


Term policies without cash value XXX XXX 184 
Disability, active lives XXX XXX 49 
Disability, disabled lives XXX XXX 5 
Miscellaneous reserves XXX XXX 39 
Total gross 9,857 
8,714 
9,435 
Reinsurance ceded 560 
560 
791 
Total net $ 9,297 
8,154 
8,644 




The Company does not have any life policies with guarantees in the separate account.





Statutory Financial Statements as of December 31, 2024
Page 61 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)











2024
Separate Account Nonguaranteed Account value Cash value Reserve
Subject to discretionary withdrawal, surrender values, or policy loans:


Variable universal life $ 18 
18 
18 
Total gross 18 
18 
18 
Reinsurance ceded — 
— 
— 
Total net $ 18 
18 
18 





2023
Separate Account Nonguaranteed Account Value Cash Value Reserve
Subject to discretionary withdrawal, surrender values, or policy loans:


Variable universal life $ 17 
17 
17 
Total gross 17 
17 
17 
Reinsurance ceded — 
— 
— 
Total net $ 17 
17 
17 












Reconciliation of total life actuarial reserves: 2024 2023
Life, Accident, and Health Annual Statement:

Life insurance, net $ 9,747 
$ 8,274 
Disability, active lives, net 45 
46 
Disability, disabled lives, net 1 
1 
Miscellaneous reserves, net 317 
323 
Subtotal 10,110 
8,644 
Separate Accounts Annual Statement:

Life insurance, net 18 
17 
Subtotal 18 
17 
Total life actuarial reserves $ 10,128 
$ 8,661 

Statutory Financial Statements as of December 31, 2024
Page 62 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)


(14)    Separate Accounts
The Company’s separate accounts represent funds held for the benefit of contract holders entitled to payments under variable annuity contracts, variable life policies and market value adjusted annuity contracts issued through the Company’s separate accounts and underwritten by the Company. As of December 31, 2024 and 2023, the Company's separate accounts are classified as nonguaranteed. Information regarding the Company’s separate accounts for the years ended December 31 is as follows:











2024
2023
Premiums, considerations, or deposits $ 7,616 

5,405 




Reserves:


Reserves for accounts with assets at fair value 14,599 

15,695 
Reserves for accounts with assets at amortized cost 38,167 

29,719 
Total reserves $ 52,766 

45,414 
By withdrawal characteristics:


At book value without MV adjustment and with current surrender charge of 5% or more $ 32,001 

25,533 
At fair value 14,562 

15,658 
At book value without MV adjustment and with current surrender charge of less than 5% 6,166 

4,192 
Subtotal 52,729 

45,383 
Not subject to discretionary withdrawal 37 

31 
Total $ 52,766 

45,414 
As of December 31, 2024 and 2023, the Company’s separate accounts included legally insulated assets and non-insulated assets attributed to the following products/transactions:























2024
2023
Product/transaction
Legally insulated Not legally insulated
Legally insulated Not legally insulated
Variable Annuities
$ 14,339 
— 

15,462 
— 
Variable Life
18 
— 

17 
— 
Variable Annuities (Non-Unitized Insulated)
458 
— 

453 
— 
Variable Annuities (Non-Unitized Non-Insulated)
— 
47,797 

— 
36,826 
Variable Annuities (MN MVA)
— 
17 

— 
23 
Total
$ 14,815 
47,814 

15,932 
36,849 
The Company’s separate account liabilities contain guaranteed benefits. The liabilities for guaranteed benefits are supported by the Company’s general account assets. To compensate the general account for the risk taken, the separate account paid risk charges of $143, $155, $163, $171, and $180 during the past five years, respectively. The general account of the Company paid $10, $59, $59, $4, and $19 towards separate account guarantees during the past five years, respectively.
As of December 31, 2024 and 2023, the Company has lent assets with a carrying value of $934 and $852, and a fair market value of $830 and $741, respectively. The Company lends the securities and the borrower provides cash collateral and short term securities to support the loan. The aggregate amount of collateral received was $852 and 761 as of December 31, 2024 and 2023, which was comprised of $852 and $760 of cash collateral and an immaterial amount and $1 of non-cash collateral, respectively. The Company's separate account securities lending program is the same as the general account program.

Statutory Financial Statements as of December 31, 2024
Page 63 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

A reconciliation of net transfers to (from) separate accounts for the years ended December 31 is included in the following table:



















2024
2023
2022
Transfers as reported in the Summary of Operations of the Separate Accounts Annual Statement:




Transfers to separate accounts $ 7,616 

5,405 

4,839 
Transfers from separate accounts (5,557)

(4,579)

(3,106)
Net transfers to separate accounts 2,059 

826 

1,733 
Reconciling adjustments:




Other adjustments 1 

8 

(1)
Transfers as reported in the Statutory Statements of Operations $ 2,060 

834 

1,732 
(15)Related-Party Transactions
(a)     Organization Changes
On November 30, 2022, the Company sold Allianz Individual Insurance Group (AIIG) and its wholly-owned subsidiaries, TruChoice Financial Group, LLC and Inforce Solutions, LLC.
(b)    Related-Party Invested Assets
The Company has an agreement to lend AZOA $39. The remaining loan balance was $25 and $25 as of December 31, 2024 and 2023, respectively, and is included in Other invested assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. Repayment of this loan began in 2021 and has a final maturity date of August 30, 2026. The interest rate is a fixed rate of 4.49%. Interest income earned was $1 as of December 31, 2024 and an immaterial amount as of December 31, 2023 and 2022, respectively.
The Company invests in limited partnerships that are managed by its affiliate Pacific Investment Management Company (PIMCO). The total committed capital for the limited partnerships is $278 and $234 of which $110 and $91 is unfunded as of December 31, 2024 and 2023, respectively. As of December 31, 2024 and 2023, the fair value of the investment is $173 and $248 respectively, and is recorded in Other invested assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
The Company has a seed money investment in exchange traded funds that are managed by a related party, PIMCO, with reported balances of $29 and $30 as of December 31, 2024 and 2023, respectively, within Other invested assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. There is no additional commitment related to these investments.
The Company invests in bonds that are managed by a related party, PIMCO. The Company's committed capital for the PIMCO bonds was $1,360 and $1,315 as of December 31, 2024 and 2023, respectively, of which $406 and $423 was unfunded as of December 31, 2024 and 2023, respectively. The Company reported balances of $925 and $804 as of December 31, 2024 and 2023, respectively, related to the PIMCO bonds within Bonds on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
The Company has a seed money investment in exchange traded funds that are managed by a related party, AIM. The Company reported a balance of $81 and $89 as of December 31, 2024 and 2023 related to the seed money investment within Stocks on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. There is no additional commitment related to these investments.
(c)     Service Fees
The Company incurred fees for services provided by affiliated companies of $428, $409, and $205 in 2024, 2023, and 2022, respectively. The Company’s liability for these expenses was $44 and $47 at December 31, 2024 and 2023, respectively, and is included in Other liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. In the normal course of business, the outstanding amount is settled in cash.

Statutory Financial Statements as of December 31, 2024
Page 64 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The Company earned revenues for various services provided to affiliated companies and subsidiaries of $117, $99, and $80 in 2024, 2023, and 2022, respectively. The receivable for these revenues was $5 and $7 as of December 31, 2024 and 2023, respectively, and is included in Other assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus. In the normal course of business, the outstanding amount is settled in cash.
The Company has agreements with its affiliates PIMCO and with certain other related parties whereby (1) specific investment options managed by PIMCO are made available through the Company's separate accounts to holders of the Company's variable annuity products, and (2) the Company receives compensation for providing administrative and recordkeeping services relating to the investment options managed by PIMCO. Income recognized by the Company from this affiliate for distribution and in-force related costs as a result of providing investment options to the contractholders was $3, $4, and $5 during 2024, 2023, and 2022, respectively, which is included in Fees from separate accounts on the Statutory Statements of Operations. At December 31, 2024 and 2023, $0 and $0, respectively, were included for related receivables of these fees in Other assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
The Company has incurred commission expense related to the distribution of variable annuity products from Allianz Life Financial Services, LLC (ALFS) in the amount of $523, $402, and $372 for the years ended December 31, 2024, 2023, and 2022, respectively. The Company has an agreement with ALFS, whereby interest receivable is assigned to the Company and 12b-1 fee receivables are assigned to the Company and AZNY. The Company has also agreed with AZNY to share in reimbursing ALFS for direct and indirect expenses incurred in performing services for the Company and AZNY. In the event that assigned receivables exceed expenses, ALFS records a dividend-in-kind to the Company and a loss on the transaction with AZNY. The Company recorded a net (expense) revenue from this agreement of $(72), $(51), and $(42) for the years ended December 31, 2024, 2023, and 2022, respectively.
(d)     Dividends to Parent
The Company paid cash dividends to AZOA of $650, $500, and $4,100 in 2024, 2023, and 2022, respectively. Based on the ordinary dividend limitations set forth under Minnesota Insurance Law, the dividends paid in 2024 and 2023 were considered ordinary, and 2022 were considered extraordinary.
(e)     Capital Contributions and Dividends with Subsidiaries
During the years ended December 31, the Company received dividends from its subsidiaries as follows:





















2024
2023
2022
Allianz Investment Management, LLC
$ 30 

34 

47 
ALFS
10 

— 

— 
AZL PF Investments, Inc. (AZLPF)
— 

67 

30 
AIIG
— 

— 

5 
Total
$ 40 

101 

82 
In 2023, dividends received from AZLPF includes $38 of dividends that originated from Allianz Fund Investments, Inc., which paid dividends to its immediate parent, Dresdner Kleinwort Pfandbriefe Investments II, Inc. ("DKPII"). DKPII then paid dividends to AZLPF, which subsequently paid dividends to the Company.
During the years ended December 31, the Company made capital contributions to subsidiaries as follows:





















2024
2023
2022
AZNY
$ 60 

30 

30 
ALFS
72 

51 

42 
Allianz Strategic Investments, LLC (ASI)
$ 19 

7 

13 
Total
$ 151 

88 

85 

Statutory Financial Statements as of December 31, 2024
Page 65 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(f)     Reinsurance
The Company wholly-owns AZMO, a Special Purpose Life Reinsurance Captive Insurance Company domiciled in Missouri. The Company cedes to AZMO, and AZMO provides reinsurance on a coinsurance basis and modified coinsurance basis, a 100% quota share of the Company’s net liability of level term life insurance policies and certain universal life insurance policies written directly by the Company. The total premium and associated reserve amounts ceded from the Company to AZMO for the years ended December 31, 2024, 2023, and 2022 were $1, $3, and $3, respectively. The Company recorded a ceding commission of $0 for 2024, 2023, and 2022, respectively. In addition, the Company recorded a deferred gain of $97 upon execution of the reinsurance agreement in 2009, of which $3, $3 and $3 was amortized in 2024, 2023, and 2022, respectively, and included in Commissions and expense allowances on reinsurance ceded on the Statutory Statements of Operations.
The Company has reinsurance recoverables and receivables related to reinsurance agreements with affiliated entities. Total affiliated reinsurance recoverables and receivables were $0 and $5 as of December 31, 2024 and 2023, respectively, and are included in Other assets on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
(g)     Line of Credit Agreement
The Company has a line of credit agreement with its subsidiary, AZNY, to provide liquidity, as needed. The Company’s lending capacity under the agreement is limited to 5% of the general account admitted assets of AZNY as of the preceding year end. There was no outstanding balance under the line of credit agreement as of December 31, 2024 and 2023.

(h)     SCA or SSAP 48 Entity Loss Tracking
The Company had losses from the following entities for the year ended December 31, 2024:


















Entity Reporting Entity's Share of Entity's Net Income (Loss) Accumulated Share of Net Income (Losses) Reporting Entity's Share of Equity, Including Negative Equity Guaranteed Obligation / Commitment for Financial Support (Yes / No) Reported Value
AIM U.S. LLC $ (1)
(5)
(5)
YES $ — 
Yorktown Holdings — 
— 
— 
YES $ — 
The Company had total losses of $(11) and $0 for the years ended December 2023 and 2022, respectively.
SCA or SSAP 48 entity losses did not have any impact on other investments for the years ended December 31, 2024, 2023, and 2022 respectively.
(i)     Intercompany Balances
The Company reported a $47 receivable and $43 payable with parent, subsidiaries and affiliates at December 31, 2024. The Company reported a $59 receivable and $39 payable with parent, subsidiaries and affiliates at December 31, 2023. Intercompany balances are settled in the normal course of business.
(16)    Employee Benefit Plans
The Company participates in the Allianz Asset Accumulation Plan (AAAP), a defined contribution plan sponsored by Allianz of America Corporation (AZOAC). Eligible employees are immediately enrolled in the AAAP on their first day of employment. The AAAP will accept participants’ pretax, Roth 401(k), and/or after-tax contributions up to 80% of the participants’ eligible compensation, although contributions remain subject to annual limitations set by the Internal Revenue Service. The Company matches up to a maximum of 7.5% of the employees’ eligible compensation. Participants are 100% vested in the Company’s matching contribution after three years of service.

Statutory Financial Statements as of December 31, 2024
Page 66 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

The AAAP administration expenses and the trust fund, including trustee fees, investment manager fees, and audit fees, are payable from the trust fund but may, at the Company’s discretion, be paid by the Company. All legal fees are paid by the Company. It is the Company’s policy to fund the AAAP costs as incurred. The Company has expensed $16, $15, and $15 in 2024, 2023, and 2022, respectively, toward the AAAP matching contributions and administration expenses.
A defined group of highly compensated employees is eligible to participate in the AZOAC Deferred Compensation Plan. The purpose of the plan is to provide tax planning opportunities, as well as supplemental funds upon retirement. The plan is unfunded, meaning no assets of the Company have been segregated or defined to represent the liability for accrued assets under the plan. Employees are 100% vested upon enrollment in the plan for funds they have deferred. Employees’ funds are invested on a pay period basis and are immediately vested. Participants and the Company share the administrative fee. The accrued liability of $93 and $78 as of December 31, 2024 and 2023, respectively, is recorded in Other liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
The Company sponsors a nonqualified deferred compensation plan for a defined group of agents. The Company can make discretionary contributions to the plan in the form and manner the Company determines reasonable. Discretionary contributions are currently determined based on production. The accrued liability of $42 and $47 as of December 31, 2024 and 2023, respectively, is recorded in Other liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
The Company participates in a stock-based compensation plan sponsored by Allianz SE, which awards certain employees Restricted Stock Units (RSU) that are tied to Allianz SE stock. Allianz SE determines the number of RSU granted to each participant. The Company records expense equal to the change in fair value of the units during the reporting period, which includes the Company's estimate of the number of awards expected to be forfeited. A change in value of $24, $17, and $8 was recorded in 2024, 2023, and 2022, respectively, and is included in General and administrative expenses on the Statutory Statements of Operations. The related liability of $50 and $34 as of December 31, 2024 and 2023, respectively, is recorded in Other liabilities on the Statutory Statements of Admitted Assets, Liabilities, and Capital and Surplus.
(17)    Statutory Capital and Surplus
Statutory accounting practices prescribed or permitted by the Company’s state of domicile are directed toward insurer solvency and protection of policyholders. As such, the Company is required to meet minimum statutory capital and surplus requirements. The Company’s statutory capital and surplus as of December 31, 2024 and 2023, were in compliance with these requirements. The maximum amount of ordinary dividends that can be paid by Minnesota insurance companies to the stockholder without prior approval of the Department is subject to restrictions relating to statutory earned surplus, also known as unassigned funds. Unassigned funds are determined in accordance with the accounting procedures and practices governing preparation of the statutory annual statement. In accordance with Minnesota Statutes, the Company may declare and pay from its Unassigned surplus cash dividends of not more than the greater of 10% of its prior year-end statutory surplus, or the net gain from operations before net realized capital gain of the insurer for the 12-month period ending the 31st day of the next preceding year. Based on these limitations, ordinary dividends of $734 can be paid in 2025 without prior approval of the Department.
Regulatory Risk-Based Capital
An insurance enterprise’s state of domicile imposes minimum risk-based capital requirements that were developed by the NAIC. The formulas for determining the amount of risk-based capital specify various weighting factors that are applied to financial balances or various levels of activity based on the perceived degree of risk. Regulatory compliance is determined by a ratio of an enterprise’s regulatory total adjusted capital to its authorized control level risk-based capital, as defined by the NAIC. Companies below specific trigger points or ratios are classified within certain levels, each of which requires specified corrective action. This ratio for the Company significantly exceeds required minimum thresholds as of December 31, 2024 and 2023.

Statutory Financial Statements as of December 31, 2024
Page 67 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

(18)    Direct Premiums Written by Third-Party Administrators
The Company has direct premiums written by third-party administrators (TPAs). The types of business written by the TPAs include life, accidental death and dismemberment, medical, disability, excess risk, and LTC. The authority granted to the TPAs includes binding authority, claims payment, claims adjustment, underwriting, and premium collection. Total premiums written by TPAs were $272, $255, and $204 for 2024, 2023, and 2022, respectively. For the years ended December 31, 2024, 2023, and 2022, there were no individual TPAs that wrote premiums that equaled at least 5% of the capital and surplus of the Company.
(19)    Capital Structure
The Company is authorized to issue three types of capital stock, as outlined in the table below:



























Authorized
Issued and outstanding
Par value, per share
Redemption and liquidation rights
Common stock
40,000,000 

20,000,001 

$ 1.00 

None
Preferred stock:







Class A (consisting of Series A and B below)
200,000,000 

18,903,484 

$ 1.00 

Designated by Board for each series issued
Class A, Series A
8,909,195 

8,909,195 

$ 1.00 

$35.02 per share plus an amount to yield a compounded annual return of 6%, after actual dividends paid
Class A, Series B
10,000,000 

9,994,289 

$ 1.00 

$35.02 per share plus an amount to yield a compounded annual return of 6%, after actual dividends paid
Class B
400,000,000 

— 

$ 1.00 

Designated by Board for each series issued
Holders of Class A preferred stock and of common stock are entitled to one vote per share with respect to all matters presented to or subject to the vote of shareholders. Holders of Class B preferred stock have no voting rights. All issued and outstanding shares are owned by AZOA. See Note 1 for further discussion.
Each share of Class A preferred stock is convertible into one share of the Company’s common stock. The Company may redeem any or all of the Class A preferred stock at any time. Dividends will be paid to each class of stock only when declared by the BOD. In the event a dividend is declared, dividends must be paid to holders of Class A preferred stock, Class B preferred stock, and common stock, each in that order.
As discussed in Note 15 to these Statutory Financial Statements, the Company carried out various capital transactions with related parties during 2024, 2023, and 2022.
(20)    Reconciliation to the Annual Statement
The Company is required to file an Annual Statement with the Department. As of December 31, 2024 and 2023, there is no difference in admitted assets or liabilities between this report and the Annual Statement. As of December 31, 2024, 2023, and 2022, there is no difference in capital and surplus or net income between this report and the Annual Statement.
(21)    Commitments and Contingencies
The Company and its subsidiaries are named as defendants in various pending or threatened legal proceedings on an ongoing basis, arising from the conduct of business, including three putative class action proceedings: Sanchez v. Allianz Life Ins. Co. of North America (Superior Court of California, L.A. County, BC594715), Small v. Allianz Life Ins. Co. of North America (United Stated District Court, Central District of California, Case No. 2:20-cv-01944-AB (KESx)(Small I), and Small v Allianz Life Ins. Co. of North America (Superior Court of California, L.A. County, 22STCV17838)(Small II). The Sanchez case was settled, the settlement was granted final approval by the Court, and the case has been dismissed. The two Small cases are related. The District Court in Small I certified the case as a class

Statutory Financial Statements as of December 31, 2024
Page 68 of 69



ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Statutory Financial Statements
(Dollars in millions, except share data and security holdings quantities)

action, granted partial judgment in favor of the class, with damages yet to be tried, and granted partial judgment to the Company on claims of class members with time-barred claims. The Ninth Circuit Court of Appeals reversed both the class certification and summary judgment decisions. Small II has not been certified as a class action and is currently stayed. The Company generally intends to vigorously contest the lawsuits, but may pursue settlement negotiations in some cases, if appropriate. The outcome of the cases is uncertain at this time, and there can be no assurance that such litigation, or any future litigation, will not have a material adverse effect on the Company and/or its subsidiaries. The Company recognizes legal costs as incurred.
The Company is contingently liable for possible future assessments under regulatory requirements pertaining to insolvencies and impairments of unaffiliated insurance companies. Provision has been made for assessments currently received and assessments anticipated for known insolvencies.
The financial services industry, variable and fixed annuities, life insurance, distribution companies, and broker-dealers, are subject to close scrutiny by regulators, legislators, and the media.
Federal and state regulators, such as state insurance departments, state securities departments, the SEC, the Financial Industry Regulatory Authority, the Internal Revenue Service, and other regulatory bodies regularly make inquiries and conduct examinations or investigations concerning various selling practices, including suitability reviews, product exchanges, sales to seniors, and compliance with, among other things, insurance and securities law. The Company is and may become subject to ongoing market conduct examinations and investigations by regulators, which may result in fines and/or otherwise have a material adverse effect on the Company.
It can be expected that annuity and life product designs, management, and sales practices will be an ongoing source of regulatory scrutiny and enforcement actions, litigation, and rulemaking.
These matters could result in legal precedents and new industry-wide legislation, rules, and regulations that could significantly affect the financial services industry, including life insurance and annuity companies. It is unclear at this time whether any such litigation or regulatory actions will have a material adverse effect on the Company in the future.
Certain obligations of the Company provide for the maintenance of a subsidiary’s regulatory capital, surplus levels and liquidity sufficient to meet certain obligations. Those unlimited obligations are made on behalf of certain wholly owned subsidiaries (AZNY, AZMO, ALFS and Questar Capital Corporation, through its parent, Yorktown). These obligations are not limited and cannot be estimated as of the balance sheet date. From time to time, the Company makes capital contributions to these subsidiaries as needed under the obligations. Capital contributions made during the years ended December 31, 2024, 2023, and 2022 are detailed in Note 15.
The Company had investments in limited partnerships that required a commitment of capital of $654 and $659 for the years ended December 31, 2024 and 2023, respectively. The Company had commitments to fund private placement investments of $2,327 and $3,107 as of December 31, 2024 and 2023, respectively.

(22)    Subsequent Events
The Company has evaluated subsequent events through April 7, 2025, which is the date the Statutory Financial Statements were available to be issued. No material subsequent events have occurred since December 31, 2024 that require adjustment to the Statutory Financial Statements.
Effective January 1, 2025, the Company entered into a funds withheld reinsurance agreement with Sconset Re, that covers approximately $4.3 billion of in force fixed annuity policies. This agreement did not result in any reinsurance credit as this agreement is funds withheld coinsurance.
On March 27, 2025, the Company paid a dividend of $300 to AZOA.



Statutory Financial Statements as of December 31, 2024
Page 69 of 69