Company: AFGC
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001042046-25-000024
Chunk: 130

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 130
---
 Discussion and Analysis of Financial Condition and Results of Operations — Continued

administration of crop insurance business generated by CRS for its former owner prior to the acquisition date. The expenses related to providing such services are embedded in property and casualty underwriting expenses. Consistent with internal management reporting, these fees and the related expenses are netted and recorded as a reduction of commissions and other underwriting expenses in AFG’s segmented results.

Holding Company and Other — Other Income

Other income in the table above includes $5 million and $6 million in the first six months of 2025 and the first six months of 2024, respectively, in management fees paid to AFG by the AFG-managed CLOs (AFG’s consolidated managed investment entities). The management fees are eliminated in consolidation — see the other income line in the Consolidate MIEs column under “Results of Operations — Segmented Statement of Earnings.” Excluding amounts eliminated in consolidation, AFG recorded other income outside of its property and casualty insurance segment of $3 million in the first six months of 2025 compared to $2 million in the first six months of 2024, an increase of $1 million (50%).

Holding Company and Other — Other Expenses

AFG’s holding companies and other operations outside of its property and casualty insurance segment recorded other expenses of $80 million in the first six months of 2025 compared to $81 million in the first six months of 2024, a decrease of $1 million (1%).

Holding Company and Other — Interest Charges on Borrowed Money

AFG’s holding companies and other operations outside of its property and casualty insurance segment recorded interest expense of $38 million in both the first six months of 2025 and the first six months of 2024.

Realized Gains (Losses) on Securities

AFG’s realized gains (losses) on securities were net gains of $5 million in the first six months of 2025 compared to $12 million in the first six months of 2024, a decrease of $7 million (58%). Realized gains (losses) on securities consisted of the following (in millions):

Six months ended June 30,20252024Realized gains (losses) before impairment allowances:Disposals$(8)$(4)Change in the fair value of equity securities19 19 Change in the fair value of derivatives1 (1)