Company: AFGC
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001042046-25-000024
Chunk: 27

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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 — 1 Additions to previously recognized expected credit losses1 — 1 Reductions due to sales or redemptions(1)(3)(4)Balance at June 30, 2024$10 $— $10 (*)Includes residential MBS, CLOs and other asset-backed securities (“ABS”).In the first six months of 2025 and 2024, AFG did not purchase any securities with expected credit losses.The table below sets forth the scheduled maturities of AFG’s available for sale fixed maturities as of June 30, 2025 (dollars in millions). Securities with sinking funds are reported at average maturity. Actual maturities may differ from contractual maturities because certain securities may be called or prepaid by the issuers.AmortizedFair ValueCost, net (*)Amount%MaturityOne year or less$749 $735 7%After one year through five years2,516 2,514 24%After five years through ten years1,299 1,320 13%After ten years222 209 2%4,786 4,778 46%CLOs and other ABS (average life of approximately 3 years)3,518 3,494 33%Residential MBS (average life of approximately 6 years)2,313 2,217 21%Total$10,617 $10,489 100%(*)Amortized cost, net of allowance for expected credit losses.Certain risks are inherent in fixed maturity securities, including loss upon default, price volatility in reaction to changes in interest rates, and general market factors and risks associated with reinvestment of proceeds due to prepayments or redemptions in a period of declining interest rates.There were no investments in individual issuers that exceeded 10% of shareholders’ equity at June 30, 2025 or December 31, 2024.

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Table of ContentsAMERICAN FINANCIAL GROUP, INC. 10-QNOTES TO CONSOLIDATED FINANCIAL STATEMENTS — CONTINUED

Net Investment Income   The following table shows investment income earned and investment expenses incurred (in millions):Three months ended June 30,Six months ended June 30,2025202420252024Investment income:Fixed maturities:Interest and amortization$141 $136 $281 $270 Change in fair value (*)7 —