EX-10.27





EXHIBIT 10.27


2009

RESTRICTED STOCK AGREEMENT



This Restricted Stock Agreement is dated as of the 4th day of March, 2009, between FBL Financial
Group, Inc., an Iowa corporation (the “Company”), and                                          (“Employee”).




     1. Award.



          (a) Shares. Pursuant to the FBL Financial Group, Inc. 2006 Class A Common Stock
Compensation Plan (the “Plan”),                      shares (the “Restricted Shares”) of the Company’s common
stock, without par value (“Stock”), shall be issued as hereinafter provided in Employee’s name
subject to certain restrictions thereon.




          (b) Issuance of Restricted Shares. The Restricted Shares shall be issued upon
acceptance hereof by Employee, subject to satisfaction of the conditions of this Agreement.




          (c) Plan Incorporated. Employee acknowledges receipt of a copy of the Plan, and
agrees that this award of Restricted Shares shall be subject to all of the terms and conditions set
forth in the Plan, including future amendments thereto, if any, pursuant to the terms thereof,
which Plan is incorporated herein by reference as a part of this Agreement.




          (d) Policy Incorporated. Employee acknowledges receipt of a copy of Exhibit A, the
Impact of Restatement of Financial Statements Upon Awards Policy (“Clawback Policy”) adopted by the
Management Development and Compensation Committee of the Board of Directors and agrees that this
award of Restricted Shares shall be subject to all of the terms and conditions set forth in the
Clawback Policy, including future amendments thereto, if any, which Clawback Policy is incorporated
herein by reference as part of this Agreement.




          (e) Additional Definitions.





(i) Good Reason.  “Good Reason” means one or more of the following
conditions arising without the consent of the Employee:




	 	(1)	 	A material diminution in the Employee’s authority, duties, or
responsibilities of the Employee;
	 
	 	(2)	 	A material diminution in the Employee’s base compensation;
	 
	 	(3)	 	A material diminution in the authority, duties, or
responsibilities of the corporate officer or employee to whom the Employee is
required to




 









 






	 	 	 	report, including a requirement that the Employee report to a corporate
officer or employee instead of reporting directly to the Board;






	 	(4)	 	A material diminution in the budget over which the Employee
retains authority;
	 
	 	(5)	 	A material change in the geographic location at which the
Employee must perform the services Employee provides to the Company; or
	 
	 	(6)	 	Any other action or inaction that constitutes a material breach
by the Company of any agreement under which the Employee provides services.






(ii)
Cause. “Cause” means:




	 	(1)	 	the Employee’s willful and continued failure to substantially
perform the Employee’s duties with the Company or its Affiliates (other than
any such failure resulting from the Employee’s incapacity due to physical or
mental illness), after a written demand for substantial performance is
delivered to the Employee by the Company which specifically identifies the
manner in which the Company believes that the Employee has not substantially
performed his or her duties;
	 
	 	(2)	 	the final conviction of the Employee of, or an entering of a
guilty plea or a plea of no contest by the Employee to, a felony; or
	 
	 	(3)	 	the willful engaging by the Employee in illegal conduct or
gross misconduct which is materially and demonstrably injurious to the Company.
	 
	 	 	 	For purposes of this definition, no act or failure to act on the part of the
Employee shall be considered “willful” unless it is done, or omitted to be
done, by the Employee in bad faith or without a reasonable belief that the
action or omission was in the best interests of the Company or its
Affiliates. Any act, or failure to act, based on authority given pursuant to
a resolution duly adopted by the Board, the instructions of a more senior
officer of the Company or the advice of counsel to the Company or its
Affiliates will be conclusively presumed to be done, or omitted to be done,
by the Employee in good faith and in the best interests of the Company and
its Affiliates.





     2. Restricted Shares. Employee hereby accepts the Restricted Shares when issued and
agrees with respect thereto as follows:



          (a) Forfeiture Restrictions. The Restricted Shares may not be sold, assigned,
pledged, exchanged, hypothecated or otherwise transferred, encumbered or disposed of to the extent
then subject to the Forfeiture Restrictions (as hereinafter defined), and in the event of
termination of



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Employee’s employment with the Company or employing subsidiary for any reason other than (i) normal
or early retirement as defined in the Company’s defined benefit plan, (ii) death or (iii)
disability as determined by the Company, or except as otherwise provided in the last sentence of
subparagraph (b) of this Paragraph 2, Employee shall, for no consideration, forfeit to the Company
all Restricted Shares to the extent then subject to the Forfeiture Restrictions. The prohibition
against transfer and the obligation to forfeit and surrender Restricted Shares to the Company upon
termination of employment are herein referred to as “Forfeiture Restrictions.” The Forfeiture
Restrictions shall be binding upon and enforceable against any transferee of Restricted Shares.




          (b) Lapse of Forfeiture Restrictions. The Forfeiture Restrictions shall lapse as to
the Restricted Shares on the Lapse Date in accordance with the following schedule:





	(i)	 	Lapse Date:




Date in 2012 which is the second anniversary of the date the Management Development and
Compensation Committee certifies the extent to which performance goals have been met, which
certification will be made not later than February 28, 2010 (the “Certification Date”).





	(ii)	 	Restricted Stock Agreement Earnings Per Share (RSAEPS):




RSAEPS means Operating Income as defined in the Accounting Policy for Determination of Operating
Income that is in effect and previously approved by the Audit Committee on May 15, 2007 per
weighted-average common share for the year ended December 31, 2009.





	(iii)	 	Restricted Stock Agreement Expense Target (RSAET)




RSAET means 2009 aggregate statutory expenses of Farm Bureau Life Insurance Company and EquiTrust
Life Insurance Company recorded as a percentage of the aggregate statutory expenses budgeted for
the year ended December 31, 2009 (budgets attached as Exhibit B), but excluding the following
expenses: inter-company management and investment management fees, short term cash incentives and
long term stock incentives, and as further reduced by any Allowable Expense Adjustments. Allowable
Expense Adjustments will be proposed to the Management Development and Compensation Committee
throughout 2009. The Allowable Expense Adjustments are for additional costs related to
implementing other expense savings. An example of such Allowable Expense Adjustment is severance
paid in relation to staff reductions.





	(iv)	 	Performance Goals




Lapse of Forfeiture Restrictions on the Restricted Stock Award is governed 25% by the RSAEPS goals
and 75% by the RSAET goals which follow.





	 	 	 
	Threshold RSAEPS goal:
	 	$2.47
	Target RSAEPS goal:
	 	$2.59
	Maximum RSAEPS goal:
	 	$2.84
	Threshold RSAET goal:
	 	100% of budget






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	Target RSAET goal:
	 	98.5% of budget
	Maximum RSAET goal:
	 	95.5% of budget







	(v)	 	Percentage of Number of Restricted Shares Awarded Pursuant to RSAEPS Goals to Which
Forfeiture Restrictions Lapse:





	 	 	 	 	 	 	 
	If RSAEPS equals or exceeds the maximum RSAEPS goal:
	 	 	100	%	 	 
	If RSAEPS equals the target RSAEPS goal:
	 	 	50	%	 	 
	If RSAEPS is less than the threshold RSAEPS goal:
	 	 	0	%	 	 





If RSAEPS for the year ended December 31, 2009 is at least the threshold RSAEPS goal (“A”) but less
than the target RSAEPS goal (“B”), the percentage of the 25% of Restricted Shares to which
Forfeiture Restrictions lapse will be calculated according to the following formula:



(RSAEPS — A)/(B — A)/2



If RSAEPS for the year ended December 31, 2009 is at least the target RSAEPS goal (“B”) but less
than the maximum RSAEPS goal (“C”), the percentage of the 25% of Restricted Shares to which
Forfeiture Restrictions lapse will be calculated according to the following formula:



(RSAEPS — B)/(C —_B)/2 + 50%





	(vi)	 	Percentage of Number of Restricted Shares Awarded Pursuant to RSAET Goals to Which Forfeiture
Restrictions Lapse:





	 	 	 	 	 	 	 
	If RSAET equals or exceeds the maximum RSAET goal:
	 	 	100	%	 	 
	If RSAET equals the target RSAET goal:
	 	 	50	%	 	 
	If RSAET is less than the threshold RSAET goal:
	 	 	0	%	 	 





If the RSAET percentage for the year ended December 31, 2009 is lower than the threshold RSAET goal
of 100% (“X”) but higher than the target RSAET goal of 98.5% (“Y”), the percentage of the 75% of
Restricted Shares to which the Forfeiture Restrictions lapse will be calculated according to the
following formula:



(RSAET — X)/(Y — X)/2



If the RSAET percentage for the year ended December 31, 2009 is lower than the target RSAET goal of
98.5% (“Y”), but higher than the maximum RSAET goal of 95.5% (“Z”), the percentage of the 75% of
Restricted Shares to which the Forfeiture Restrictions lapse will be calculated according to the
following formula:



(RSAET — Y)/(Z — Y)/2 + 50%





	(vii)	 	Effect of Termination of Employment:




Notwithstanding the foregoing:




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(A) On the occurrence of both a Change in Control (as such term is defined in the Plan) and
termination of Employee’s employment before the Lapse Date by the Company other than for Cause or
by the Employee for Good Reason, the Forfeiture Restrictions shall immediately lapse as to all the
Restricted Shares.



(B) If Employee’s employment with the Company is terminated before the Lapse Date by reason of
death, the Forfeiture Restrictions shall immediately lapse as to a prorata portion of the
Restricted Shares. The prorata portion shall be measured by months elapsed from the date of this
Agreement to the date of death, as compared to 36 months.



(C) If Employee’s employment with the Company is terminated before the Lapse Date by reason of
disability (as determined by the Company) or retirement as defined in the Plan, the Forfeiture
Restrictions shall lapse on the Lapse Date as to a prorata portion of the Restricted Shares which
would be available to Employee on the Lapse Date (according to the schedule above) had Employee not
terminated employment. The prorata portion shall be measured by months elapsed from the date of
this Agreement to termination of employment, as compared to 36 months.



(D) In the event Employee’s employment is terminated for any other reason, the Committee or its
delegate, as appropriate, may, in the Committee’s or such delegate’s sole discretion, approve the
lapse of Forfeiture Restrictions as to any or all Restricted Shares still subject to such
restrictions, such lapse to be effective on the Lapse Date.




          (c) Dividend Restriction. Payment of any dividends on the Restricted Shares is
contingent upon meeting the performance and service requirements contained in this Agreement, and
such dividends shall be retained by the Company and not paid to Employee until the Lapse Date, and
then only in respect to shares which have not been forfeited.




          (d) Certificates. A certificate evidencing the Restricted Shares shall be issued by
the Company in Employee’s name, or at the option of the Company, in the name of a nominee of the
Company, pursuant to which Employee shall have voting rights and such rights to dividends as are
described in paragraph 2(c), above. As required by the Plan, the certificate shall bear a legend
reading as follows: “The sale or other transfer of the Shares of Stock represented by this
certificate, whether voluntary, involuntary, or by operation of law, is subject to certain
restrictions on transfer as set forth in the FBL Financial Group, Inc. 2006 Class A Common Stock
Compensation Plan and in a Restricted Stock Agreement dated March 4, 2009. A copy of the Plan and
such Restricted Stock Agreement may be obtained from the Secretary of FBL Financial Group, Inc.”
The Company may cause the certificate to be delivered upon issuance to the Secretary of the Company
or to such other depository as may be designated by the Company as a depository for safekeeping
until the forfeiture occurs or the Forfeiture Restrictions lapse pursuant to the terms of the Plan
and this award. Alternatively, the Company may maintain the shares in an uncertificated record at
the offices of its stock transfer agent. Upon request of the Committee or its delegate, Employee
shall deliver to the Company a stock power, endorsed in blank, relating to the Restricted Shares
then subject to the Forfeiture Restrictions. Upon the lapse of the Forfeiture Restrictions without
forfeiture, the Company shall cause a new certificate or certificates to be issued without legend
in the name of Employee for the shares upon which Forfeiture Restrictions lapsed, or at the
election of



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Employee, cause uncertificated shares to be transferred to an account for the benefit of Employee
at such bank or brokerage firm as Employee directs. Notwithstanding any other provisions of this
Agreement, the issuance or delivery of any shares of Stock (whether subject to restrictions or
unrestricted) may be postponed for such period as may be required to comply with applicable
requirements of any national securities exchange or any requirements under any law or regulation
applicable to the issuance or delivery of such shares. The Company shall not be obligated to issue
or deliver any shares of Stock if the issuance or delivery thereof shall constitute a violation of
any provision of any law or of any regulation of any governmental authority or any national
securities exchange.




     3. Withholding of Tax. To the extent that the receipt of the Restricted Shares,
dividends paid upon the Restricted Shares or the lapse of any Forfeiture Restrictions results in
compensation income to Employee for federal or state income tax purposes, Employee shall deliver to
the Company at the time of such receipt or lapse, as the case may be, such amount of money or
shares of unrestricted Stock as the Company may require to meet its withholding obligation under
applicable tax laws or regulations, and, if Employee fails to do so, the Company is authorized to
withhold from any cash or Stock remuneration then or thereafter payable to Employee any tax
required to be withheld by reason of such resulting compensation income.



     4. Status of Stock. Employee agrees that the Restricted Shares will not be sold or
otherwise disposed of in any manner which would constitute a violation of any applicable federal or
state securities laws. Employee also agrees (i) that the certificates representing the Restricted
Shares may bear such legend or legends as the Company deems appropriate in order to assure
compliance with applicable securities laws, (ii) that the Company may refuse to register the
transfer of the Restricted Shares on the stock transfer records of the Company if such proposed
transfer would be in the opinion of counsel satisfactory to the Company constitute a violation of
any applicable securities law and (iii) that the Company may give related instructions to its
transfer agent, if any, to stop registration of the transfer of the Restricted Shares.



     5. Employment Relationship. For purposes of this Agreement, Employee shall be
considered to be in the employment of the Company as long as Employee remains an employee of either
the Company, any successor corporation or a parent or subsidiary corporation (as defined in section
424 of the Code) of the Company or any successor corporation. Any question as to whether and when
there has been a termination of such employment, and the cause of such termination, shall be
determined by the Committee, or its delegate, as appropriate, and its determination shall be final.



     6. Committee’s Powers. No provision contained in this Agreement shall in any way
terminate, modify or alter, or be construed or interpreted as terminating, modifying or altering
any of the powers, rights or authority vested in the Committee or, to the extent delegated, in its
delegate pursuant to the terms of the Plan or resolutions adopted in furtherance of the Plan,
including, without limitation, the right to make certain determinations and elections with respect
to the Restricted Shares. By execution of this Agreement, Company affirms that the Committee has
waived the provisions of Section 9(i) of the Plan which would otherwise require automatic
forfeiture of all shares of Restricted Stock still subject to restrictions upon termination of
Employee’s employment, and has substituted therefore the provisions stated in Paragraphs 2(a) and
2(b), above.



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     7. Binding Effect. This Agreement shall be binding upon and inure to the benefit of
any successors to the Company and all persons lawfully claiming under Employee.



     8. Governing Law. This Agreement shall be governed by, and construed in accordance
with, the laws of the State of Iowa



     IN WITNESS WHEREOF, the Company has caused this Agreement to be duly executed by an officer
thereunto duly authorized, and Employee has executed this Agreement, with an effective date of
March 4, 2009.



	 	 	 	 	 
	 	FBL FINANCIAL GROUP, INC.

 	 
	 	By:  	 	 
	 	 	
(name and title) 	 
	 	 	
Employee 	 
	 


Please Initial Appropriate Item (One of the lines must be initialed):




	 	 	 	 	 
	 	—	 	 	I do not desire the
alternative tax
treatment provided
for in the Internal
Revenue Code
Section 83(b).

	 	—	 	 	I do desire the
alternative tax
treatment provided
for in Internal
Revenue Code
Section 83(b) and
desire that forms
for such purpose be
forwarded to me. *








	 	•	 	I acknowledge that the Company has suggested that before this line is initialed that I
check with a tax consultant of my choice.




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Exhibit A



Policy: Impact of Restatement of Financial Statements Upon Awards. (Adopted by Management
Development and Compensation Committee December 2006.)



If any of the Company’s financial statements are restated because of errors, omissions or fraud,
the Committee may (in its sole discretion, but acting in good faith) direct that the Company
recover all or a portion of awards of bonuses, and grants of options and restricted stock options
(together, “awards”) with respect to any fiscal year of the Company the financial results of which
are negatively affected by such restatement. Recoveries may be made from all officers in the
Section 16 reporting group regardless of fault, and from any other persons whom the Committee
believes were involved in misconduct causing the required restatement (together, “Participants”).
Misconduct involves more than mere negligent job performance. The amount to be recovered from the
Participant shall be the amount by which awards exceeded the amount that would have been payable to
the Participant had the financial statements been initially filed as restated, or any greater or
lesser amount (including, but not limited to, the entire award) that the Committee shall determine.
The Committee shall determine whether the Company shall effect any such recovery (i) by seeking
repayment from the Participant, (ii) by reducing (subject to applicable law and the terms and
conditions of the applicable plan, program or arrangement) the amount that would otherwise be
payable to the Participant under any compensatory plan, program or arrangement maintained by the
Company or any of its affiliates, (iii) by withholding payment of future increases in compensation
(including the payment of any discretionary bonus amount) or grants of compensatory awards that
would otherwise have been made in accordance with the Company’s otherwise applicable compensation
practices, or (iv) by any combination of the foregoing. Provisions reflecting this policy shall be
placed in all award grant instruments delivered to Participants.





Exhibit B




FARM BUREAU LIFE INSURANCE COMPANY

GENERAL EXPENSES

2009 Plan over 2008 Projected




	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	2009	 	2009 %
	 	 	2008	 	2009	 	Increase	 	Increase
	 	 	Projected	 	Plan	 	(Decrease)	 	(Decrease)
	 	 	(Dollars in thousands)	 	 	 	 
	Salaries and payroll taxes
	 	$	24,971	 	 	$	25,081	 	 	$	110	 	 	 	0.4	%
	Employee benefits
	 	 	8,169	 	 	 	8,670	 	 	 	501	 	 	 	6.1	 
	Travel and meetings
	 	 	1,675	 	 	 	1,245	 	 	 	(430	)	 	 	(25.7	)
	Rent
	 	 	3,231	 	 	 	2,988	 	 	 	(243	)	 	 	(7.5	)
	Office expenses
	 	 	4,463	 	 	 	4,063	 	 	 	(400	)	 	 	(9.0	)
	Furniture, equipment and
software costs
	 	 	11,934	 	 	 	11,425	 	 	 	(509	)	 	 	(4.3	)
	Sales expenses
	 	 	6,626	 	 	 	4,412	 	 	 	(2,214	)	 	 	(33.4	)
	Professional fees
	 	 	10,242	 	 	 	10,070	 	 	 	(172	)	 	 	(1.7	)
	Management fees
	 	 	7,949	 	 	 	8,389	 	 	 	440	 	 	 	5.5	 
	 	 	 
	Area and departmental expenses
	 	$	79,260	 	 	$	76,343	 	 	 	($2,917	)	 	 	(3.7	)%
	Less payroll taxes
	 	 	(1,745	)	 	 	(1,839	)	 	 	(94	)	 	 	5.4	%
	Less investment expenses
	 	 	(5,442	)	 	 	(5,536	)	 	 	(94	)	 	 	1.7	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Plus distribution expenses
	 	 	10,241	 	 	 	10,726	 	 	 	485	 	 	 	4.7	%
	 	 	 
	General expenses
	 	$	82,314	 	 	$	79,694	 	 	 	($2,620	)	 	 	(3.2	)%
	 	 	 






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EQUITRUST LIFE INSURANCE COMPANY

GENERAL EXPENSES

2009 Plan over 2008 Projected




	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	2009	 	2009 %
	 	 	2008	 	2009	 	Increase	 	Increase
	 	 	Projected	 	Plan	 	(Decrease)	 	(Decrease)
	 	 	(Dollars in thousands)	 	 	 	 
	Salaries and payroll taxes
	 	$	12,620	 	 	$	12,549	 	 	 	($71	)	 	 	(0.6	)%
	Employee benefits
	 	 	3,312	 	 	 	3,810	 	 	 	498	 	 	 	15.0	 
	Travel and meetings
	 	 	760	 	 	 	440	 	 	 	(320	)	 	 	(42.1	)
	Rent
	 	 	1,222	 	 	 	1,218	 	 	 	(4	)	 	 	(0.3	)
	Office expenses
	 	 	2,077	 	 	 	1,597	 	 	 	(480	)	 	 	(23.1	)
	Furniture, equipment and
software costs
	 	 	2,061	 	 	 	2,174	 	 	 	113	 	 	 	5.5	 
	Sales expenses
	 	 	1,786	 	 	 	163	 	 	 	(1,623	)	 	 	(90.9	)
	Professional fees
	 	 	3,047	 	 	 	2,672	 	 	 	(375	)	 	 	(12.3	)
	Management fees
	 	 	12,608	 	 	 	10,298	 	 	 	(2,310	)	 	 	(18.3	)
	Recoverable expenses
	 	 	(1,894	)	 	 	(1,976	)	 	 	(82	)	 	 	4.3	 
	 	 	 
	Area and departmental expenses
	 	$	37,599	 	 	$	32,945	 	 	 	($4,654	)	 	 	(12.4	)%
	Less payroll taxes
	 	 	(823	)	 	 	(875	)	 	 	(52	)	 	 	(6.3	)
	Less investment expenses
	 	 	(7,935	)	 	 	(8,084	)	 	 	(149	)	 	 	1.9	 
	Plus distribution expenses
	 	 	350	 	 	 	350	 	 	 	—	 	 	 	—	 
	 	 	 
	General expenses
	 	$	29,191	 	 	$	24,336	 	 	 	($4,855	)	 	 	(16.6	)%
	 	 	 







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