| UNITED STATES SECURITIES AND EXCHANGE COMMISSION |
|--------------------------------------------------|
| Washington, D. C. 20549                          |
| FORM 10-K                                        |
| (Mark one)                                       |
| [X]                                              |   | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|                                             |   | For the fiscal year ended December 31, 2009   |
| or                                               |
| [  ]                                             |   | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|                                             |   | For the transition period from____________________ to____________________ |

| Commission File Number:  1-11917             |
|--------------------------------------------------------|
| FBL Financial Group, Inc.                              |
| (Exact name of registrant as specified in its charter) |
| Iowa                                                   |   | 42-1411715 |
| (State of incorporation)                               |   | (I.R.S. Employer Identification No.) |
|                                                   |   |   |
| 5400 University Avenue, West Des Moines, Iowa          |   | 50266-5997 |
| (Address of principal executive offices)               |   | (Zip Code) |
|                                                   |   |   |
| (515) 225-5400                                         |
| (Registrant's telephone number, including area code)   |

| Title of each class                     |   | Name of each exchange on which registered |
|-----------------------------------------|--------|-------------------------------------------|
| Class A common stock, without par value |   | New York Stock Exchange                   |
|                                    |   |                                      |

| Large accelerated filer [  ] | Accelerated filer [X]  | Non-accelerated filer [  ] | Smaller reporting company [  ] |
|------------------------------|-----------------------------|----------------------------|--------------------------------|

| Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the last practicable date: |
|-----------------------------------------------------------------------------------------------------------------------------|
|  Title of each class                                                                                                   |   | Outstanding at February 16, 2010 |
| Class A Common Stock, without par value                                                                                     |   | 29,319,033 |
| Class B Common Stock, without par value                                                                                     |   | 1,192,990 |
|                                                                                                                        |   |   |
| DOCUMENTS INCORPORATED BY REFERENCE                                                                                         |
| Document                                                                                                                    |   | Parts Into Which Incorporated |
| Proxy statement for annual shareholders meeting on May 19, 2010                                                             |   | Part III |

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| FBL FINANCIAL GROUP, INC.                      |
|------------------------------------------------|
| FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 2009 |
| TABLE OF CONTENTS                              |
|                                           |   |   |
| PART I.                                        |   |   |
|                                           |   | Cautionary Statement Regarding Forward Looking Information |   | 1 |
| Item 1.                                        |   | Business |   | 3 |
| Item 1A.                                       |   | Risk Factors |   | 22 |
| Item 1B.                                       |   | Unresolved Staff Comments |   | 29 |
| Item 2.                                        |   | Properties |   | 29 |
| Item 3.                                        |   | Legal Proceedings |   | 30 |
| Item 4.                                        |   | Submission of Matters to a Vote of Security Holders |   | 30 |
|                                           |   |   |   |   |
| PART II.                                       |   |   |   |   |
| Item 5.                                        |   | Market for Registrant's Common Equity, Related Stockholder Matters, Issuer Purchases of Equity Securities and Securities Authorized for Issuance under Equity Compensation Plans |   | 31 |
| Item 6.                                        |   | Selected Consolidated Financial Data |   | 34 |
| Item 7.                                        |   | Management's Discussion and Analysis of Financial Condition and Results of Operations |   | 35 |
| Item 7A.                                       |   | Quantitative and Qualitative Disclosures About Market Risk |   | 80 |
| Item 8.                                        |   | Consolidated Financial Statements and Supplementary Data |   | 81 |
|                                           |   | Management's Report on Internal Control Over Financial Reporting |   | 81 |
|                                           |   | Report of Independent Registered Public Accounting Firm on Internal Control over Financial Reporting |   | 81 |
|                                           |   | Report of Independent Registered Public Accounting Firm on Consolidated Financial Statements |   | 82 |
|                                           |   | Consolidated Balance Sheets |   | 83 |
|                                           |   | Consolidated Statements of Operations |   | 85 |
|                                           |   | Consolidated Statements of Changes in Stockholders' Equity |   | 86 |
|                                           |   | Consolidated Statements of Cash Flows |   | 88 |
|                                           |   | Notes to Consolidated Financial Statements |   | 91 |
| Item 9.                                        |   | Changes In and Disagreements with Accountants on Accounting and Financial Disclosure |   | 134 |
| Item 9A.                                       |   | Controls and Procedures |   | 134 |
| Item 9B.                                       |   | Other Information |   | 134 |
|                                           |   |   |   |   |
| PART III.                                      |   |   |   |   |
|                                           |   | The information required by Items 10 through 14 is incorporated by reference from our definitive proxy statement to be filed with the Commission pursuant to Regulation 14A within 120 days after December 31, 2009. |   |   |
|                                           |   |   |   |   |
| PART IV.                                       |   |   |   |   |
| Item 15.                                       |   | Exhibits and Financial Statement Schedules |   | 135 |
|                                           |   |   |   |   |
|                                           |   | SIGNATURES |   | 139 |
|                                           |   |   |   |   |
|                                           |   | Report of Independent Registered Public Accounting Firm on Schedules |   | 140 |
|                                           |   | Schedule I - Summary of Investments - Other than Investments in Related Parties |   | 141 |
|                                           |   | Schedule II - Condensed Financial Information of Registrant |   | 142 |
|                                           |   | Schedule III - Supplementary Insurance Information |   | 146 |
|                                           |   | Schedule IV - Reinsurance |   | 148 |

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|        |   | Difficult conditions in the financial markets and the economy may materially adversely affect our business and results of operations.                                                                                                                                                                                           |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Adverse financial market conditions may significantly affect our liquidity, access to capital and cost of capital.                                                                                                                                                                                                              |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | The Market Value Adjustment (MVA) feature on certain policies may cause surrenders to increase in an extremely low interest rate environment.                                                                                                                                                                                   |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our valuation of fixed maturity securities may include methodologies, estimations and assumptions that are subject to differing interpretations and could result in changes to investment valuations that may materially adversely affect our results of operations or financial condition.                                     |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our investment portfolio is subject to credit quality risks which may diminish the value of our invested assets and affect our profitability and reported book value per share.                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Changing interest rates, market volatility and general economic conditions affect the risks and the returns on both our products and our investment portfolio.                                                                                                                                                                  |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | We face competition from companies having greater financial resources, more advanced technology systems, broader arrays of products, higher ratings and stronger financial performance, which may impair our ability to retain existing customers, attract new customers and maintain our profitability and financial strength. |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | As a holding company, we depend on our subsidiaries for funds to meet our obligations, but our subsidiaries' ability to make distributions to us is limited by law, and could be affected by risk-based capital computations.                                                                                                   |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | A significant ratings downgrade may have a material adverse effect on our business.                                                                                                                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | All segments of our business are highly regulated and these regulations or changes in them could affect our profitability.                                                                                                                                                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Inaccuracies in assumptions regarding future persistency, mortality and interest rates used in calculating reserve, deferred policy acquisition expense and deferred sales inducement amounts and pricing our products could have a material adverse impact on our net income (loss).                                           |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | We may be required to accelerate the amortization of deferred policy acquisition costs or deferred sales inducements, which could adversely affect our results of operations or financial condition.                                                                                                                            |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our earnings are influenced by our claims experience, which is difficult to estimate. If our future claims experience does not match our pricing assumptions or past results, our earnings could be materially adversely affected.                                                                                              |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | We assumed a significant amount of closed block business through a coinsurance agreement and have only a limited ability to manage this business.                                                                                                                                                                               |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our reinsurance program involves risks because we remain liable with respect to the liabilities ceded to reinsurers if the reinsurers fail to meet the obligations assumed by them.                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our business is highly dependent on our relationships with Farm Bureau organizations and would be adversely affected if those relationships became impaired.                                                                                                                                                                    |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our relationship with Farm Bureau organizations could result in conflicts of interests.                                                                                                                                                                                                                                         |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Changes in federal tax laws may affect sales of our products and profitability.                                                                                                                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                            |
|        |   | Our ability to maintain competitive costs is dependent upon the level of new sales and persistency of existing business.                                                                                                                                                                                                        |

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|        |   | If we are unable to attract and retain agents and develop new distribution sources, sales of our products and services may be reduced.                                             |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                               |
|        |   | Attracting and retaining employees who are key to our business is critical to our growth and success.                                                                              |
|   |   |                                                                                                                                                                               |
|        |   | Success of our business depends in part on effective information technology systems and on continuing to develop and implement improvements.                                       |
|   |   |                                                                                                                                                                               |
|        |   | We experience volatility in net income (loss) due to accounting standards for derivatives.                                                                                         |
|   |   |                                                                                                                                                                               |
|        |   | We face risks relating to litigation, including the costs of such litigation, management distraction and the potential for damage awards, which may adversely impact our business. |
|   |   |                                                                                                                                                                               |

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| FBL Financial Group, Inc. |
|---------------------------|

| COMPANY      | Farm Bureau Life Insurance Company                                 |   | EquiTrust Life Insurance Company                                                                           |   | Farm Bureau Property & Casualty Insurance Company*  Western Agricultural Insurance Company*                                      |
|--------------|-------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|
| CHANNEL      | Direct                                                                  |   | Direct                                                                                                          |   | FBL's Managed Property-Casualty Operations                                                                                           |
| BRANDS       |                                                                         |   |                                                                                                                 |   |                                                                                                                                           |
| DISTRIBUTION | 2,020 exclusive Farm Bureau agents and agency managers        |   | 20,195 independent agents representing independent marketing organizations, broker/dealers and banks  |   | 1,219 exclusive Farm Bureau agents and agency managers (included under the 2,020 Farm Bureau Life agents)                  |
| PRODUCTS     | A comprehensive line of life insurance, annuity and investment products |   | Traditional fixed rateand index annuities                                                                       |   | A full line of personal and commercial property-casualty insurance products                                                               |
| TERRITORY    | 15 Midwestern and Western states                                   |   | Licensed in all states except New York                                                                     |   | Arizona, Iowa,  Kansas, Minnesota, Nebraska, New Mexico,  South Dakota and Utah, and other states for crop and nonstandard auto insurance |

| * | FBL Financial Group receives a management fee from these companies. Underwriting results do not impact FBL Financial Group's results. On January 1, 2010, as the result of a mutual holding company conversion, Farm Bureau Mutual Insurance Company's name was changed to Farm Bureau Property & Casualty Insurance Company. |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|  | Just-In-Time Team - Comprised of product and sales experts available to agents through a toll-free call, this team can answer nearly any question related to products, sales approaches, suitability and more. |
|--|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  | Advanced Markets Team - This group is an extension of the Just-In-Time team and includes high-end experts such as attorneys and others who specialize in financial matters.                                    |
|  | Life Sales Advisors - These field representatives are located strategically across our 15-state territory. They provide direct, hands-on training and support to agents on our broad portfolio of products.    |

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| Royalty Agreements by State |   |                             |   |                                                              |
|-----------------------------|--------|----------------------------------|--------|-------------------------------------------------------------------|
| State                       |   | Royalty AgreementExpiration Date |   | Percent of Farm Bureau Life 2009First YearPremiums Collected |
| Iowa                        |   | December 31, 2014                |   | 28.3                                                              | % |
| Kansas                      |   | December 31, 2033                |   | 17.3                                                              |   |
| Oklahoma                    |   | December 31, 2014                |   | 14.9                                                              |   |
| Wyoming                     |   | December 31, 2011                |   | 6.2                                                               |   |
| Minnesota                   |   | December 31, 2033                |   | 5.1                                                               |   |
| Utah                        |   | December 31, 2033                |   | 4.7                                                               |   |
| Nebraska                    |   | December 31, 2033                |   | 4.3                                                               |   |
| Montana                     |   | December 31, 2011                |   | 3.7                                                               |   |
| Arizona                     |   | December 31, 2033                |   | 3.3                                                               |   |
| New Mexico                  |   | December 31, 2033                |   | 3.3                                                               |   |
| Idaho                       |   | December 31, 2011                |   | 3.0                                                               |   |
| Wisconsin                   |   | December 31, 2011                |   | 2.0                                                               |   |
| Colorado*                   |   | December 31, 2011                |   | 1.7                                                               |   |
| South Dakota                |   | December 31, 2033                |   | 1.5                                                               |   |
| North Dakota                |   | December 31, 2011                |   | 0.7                                                               |   |
|                        |   |                             |   | 100.0                                                             | % |

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|        |   | We are selective about the IMOs contracted with us and we do not hire carrier-owned organizations.                                                                                                     |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                   |
|        |   | We offer a high level of support and a competitive product portfolio, and are committed to maintaining high ethical standards.                                                                         |
|   |   |                                                                                                                                                                                                   |
|        |   | We keep our product design simple and straightforward, and in the case of index annuities have only one moving part - the participation rate or index cap.                                             |
|   |   |                                                                                                                                                                                                   |
|        |   | We are committed to being fair, honest and open in the way we advertise, sell and service our products, as indicated by being an Insurance Marketplace Standards Association (IMSA) qualified company. |
|   |   |                                                                                                                                                                                                   |
|        |   | We believe in helping consumers understand what an annuity is and how it can be used to support an individual's retirement or accumulation needs.                                                      |

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| Premiums Collected - Exclusive Annuity Segment     |                    |    |   |   |   |
|----------------------------------------------------|-------------------------|---------|--------|--------|--------|
|                                               |                    |    |   |   |   |
|                                               | Year ended December 31, |
|                                               | 2009                    |    | 2008   |   | 2007   |
|                                               | (Dollars in thousands)  |
| First year - individual                            | $                       | 208,428 |   |   | $      | 170,675 |   |   | $ | 73,266 |   |
| Renewal - individual                               | 86,863                  |    |   | 69,177 |   |   | 44,543 |   |
| Group                                              | 10,389                  |    |   | 9,187  |   |   | 9,040 |   |
| Total Traditional Annuity - Exclusive Distribution | $                       | 305,680 |   |   | $      | 249,039 |   |   | $ | 126,849 |   |

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| Interest Crediting Rates of Individual Deferred Fixed Rate Annuities Compared to Guarantees |
|---------------------------------------------------------------------------------------------|
|                                                                                        |   |   |   |
|                                                                                        | Account Value at December 31, |
|                                                                                        | 2009 |   | 2008 |
|                                                                                        | (Dollars in thousands) |
| At guaranteed rate                                                                          | $ | 351,967 |   |   | $ | 309,307 |   |
| Between guaranteed rate and 50 basis points over guarantee                                  | 575,474 |   |   | 56,208 |   |
| Between 50 basis points and 100 basis points over guarantee                                 | 313,846 |   |   | 634,872 |   |
| Greater than 100 basis points over guarantee                                                | 545,726 |   |   | 570,821 |   |
| Total                                                                                       | $ | 1,787,013 |   |   | $ | 1,571,208 |   |

| In Force - Exclusive Annuity Segment |                   |      |   |    |   |
|--------------------------------------|------------------------|-----------|--------|---------|--------|
|                                 |                   |      |   |    |   |
|                                 | As of December 31,     |
|                                 | 2009                   |      | 2008   |    | 2007   |
|                                 | (Dollars in thousands) |
| Number of direct contracts           | 53,116                 |      |   | 51,439  |   |   | 51,311 |   |
| Interest sensitive reserves          | $                      | 2,160,705 |   |    | $      | 1,971,218 |   |   | $ | 1,810,452 |   |
| Other insurance reserves             | 367,712                |      |   | 381,838 |   |   | 407,199 |   |

| Premiums Collected - Independent Annuity Segment                         |                    |    |   |      |   |
|--------------------------------------------------------------------------|-------------------------|---------|--------|-----------|--------|
|                                                                     |                    |    |   |      |   |
|                                                                     | Year ended December 31, |
|                                                                     | 2009                    |    | 2008   |      | 2007   |
|                                                                     | (Dollars in thousands)  |
| Direct:                                                                  |                    |    |   |      |   |
| Fixed rate annuities                                                     | $                       | 344,772 |   |      | $      | 915,843 |   |   | $ | 690,646 |   |
| Index annuities                                                          | 266,340                 |    |   | 649,412   |   |   | 878,482 |   |
| Total direct                                                             | 611,112                 |    |   | 1,565,255 |   |   | 1,569,128 |   |
| Reinsurance assumed                                                      | 1,364                   |    |   | 2,381     |   |   | 3,187 |   |
| Total Traditional Annuity - Independent Distribution, net of reinsurance | $                       | 612,476 |   |      | $      | 1,567,636 |   |   | $ | 1,572,315 |   |

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| Interest Crediting Rates of EquiTrust Life Independent Distribution MYGAs Compared to Guarantees |
|--------------------------------------------------------------------------------------------------|
|                                                                                             |   |   |   |
|                                                                                             | Account Value at December 31, |
|                                                                                             | 2009 |   | 2008 |
|                                                                                             | (Dollars in thousands) |
| At guaranteed rate                                                                               | $ | 48,085 |   |   | $ | 29,897 |   |
| Between guaranteed rate and 50 basis points over guarantee                                       | 2,992 |   |   | 2,807 |   |
| Between 50 basis points and 100 basis points over guarantee                                      | 294,236 |   |   | 321,212 |   |
| Greater than 100 basis points over guarantee                                                     | 2,225,459 |   |   | 2,042,625 |   |
| Total                                                                                            | $ | 2,570,772 |   |   | $ | 2,396,541 |   |

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| Interest Crediting Rates of Assumed Fixed Rate Annuities Compared to Guarantees |
|---------------------------------------------------------------------------------|
|                                                                            |   |   |   |
|                                                                            | Account Value at December 31, |
|                                                                            | 2009 |   | 2008 |
|                                                                            | (Dollars in thousands) |
| At guaranteed rate                                                              | $ | 32,112 |   |   | $ | 42,038 |   |
| Between guaranteed rate and 50 basis points over guarantee                      | 320,078 |   |   | 386,472 |   |
| Between 50 basis points and 100 basis points over guarantee                     | 16,637 |   |   | 41,490 |   |
| Greater than 100 basis points over guarantee                                    | 12,658 |   |   | 14,145 |   |
| Total                                                                           | $ | 381,485 |   |   | $ | 484,145 |   |

| In Force - Independent Annuity Segment |                   |      |   |      |   |
|----------------------------------------|------------------------|-----------|--------|-----------|--------|
|                                   |                   |      |   |      |   |
|                                   | As of December 31,     |
|                                   | 2009                   |      | 2008   |      | 2007   |
|                                   | (Dollars in thousands) |
| Number of direct contracts             | 88,486                 |      |   | 93,769    |   |   | 73,980 |   |
| Direct interest sensitive reserves     | $                      | 2,600,741 |   |      | $      | 2,398,237 |   |   | $ | 1,607,009 |   |
| Direct index annuity reserves          | 3,145,776              |      |   | 3,581,396 |   |   | 3,387,727 |   |
| Assumed annuity reserves               | 1,382,082              |      |   | 1,583,754 |   |   | 1,766,735 |   |
| Direct other insurance reserves        | 152,169                |      |   | 145,036   |   |   | 64,242 |   |

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| Premiums Collected - Traditional and Universal Life Insurance Segment |
|-----------------------------------------------------------------------|
|                                                                  |   |   |   |   |   |
|                                                                  | For the year ended December 31, |
|                                                                  | 2009 |   | 2008 |   | 2007 |
|                                                                  | (Dollars in thousands) |
| Universal life:                                                       |   |   |   |   |   |
| First year                                                            | $ | 8,523 |   |   | $ | 6,672 |   |   | $ | 5,448 |   |
| Renewal                                                               | 40,475 |   |   | 39,338 |   |   | 39,027 |   |
|      Total                                   | 48,998 |   |   | 46,010 |   |   | 44,475 |   |
| Participating whole life:                                             |   |   |   |   |   |
| First year                                                            | 11,217 |   |   | 12,089 |   |   | 14,680 |   |
| Renewal                                                               | 94,741 |   |   | 93,378 |   |   | 91,249 |   |
|     Total                                         | 105,958 |   |   | 105,467 |   |   | 105,929 |   |
| Term life and other:                                                  |   |   |   |   |   |
|     First year                                    | 12,030 |   |   | 10,414 |   |   | 9,291 |   |
|      Renewal                                 | 54,360 |   |   | 49,135 |   |   | 44,518 |   |
|          Total           | 66,390 |   |   | 59,549 |   |   | 53,809 |   |
| Total Traditional and Universal Life Insurance                        | 221,346 |   |   | 211,026 |   |   | 204,213 |   |
| Reinsurance assumed                                                   | 7,705 |   |   | 10,913 |   |   | 11,695 |   |
| Reinsurance ceded                                                     | (19,986 | ) |   | (19,094 | ) |   | (18,309 | ) |
| Total Traditional and Universal Life Insurance, net of reinsurance    | $ | 209,065 |   |   | $ | 202,845 |   |   | $ | 197,599 |   |

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| Interest Crediting Rates of Direct Interest Sensitive Life Products Compared to Guarantees |
|--------------------------------------------------------------------------------------------|
|                                                                                       |   |   |   |
|                                                                                       | Account Value at December 31, |
|                                                                                       | 2009 |   | 2008 |
|                                                                                       | (Dollars in thousands) |
| At guaranteed rate                                                                         | $ | 331,350 |   |   | $ | 334,536 |   |
| Between guaranteed rate and 50 basis points over guarantee                                 | 39,531 |   |   | 40,360 |   |
| Between 50 basis points and 100 basis points over guarantee                                | 22,485 |   |   | 23,326 |   |
| Greater than 100 basis points over guarantee                                               | 233,202 |   |   | 237,760 |   |
| Total                                                                                      | $ | 626,568 |   |   | $ | 635,982 |   |

| In Force - Traditional and Universal Life Insurance Segment |
|-------------------------------------------------------------|
|                                                        |   |   |   |   |   |
|                                                        | As of December 31, |
|                                                        | 2009 |   | 2008 |   | 2007 |
|                                                        | (Dollars in thousands, except face amounts in millions) |
| Number of direct policies - traditional life                | 342,791 |   |   | 335,505 |   |   | 332,497 |   |
| Number of direct policies - universal life                  | 55,729 |   |   | 55,094 |   |   | 55,218 |   |
| Direct face amounts - traditional life                      | $ | 33,685 |   |   | $ | 30,998 |   |   | $ | 28,552 |   |
| Direct face amounts - universal life                        | 4,980 |   |   | 4,817 |   |   | 4,695 |   |
| Direct interest sensitive reserves                          | 628,363 |   |   | 634,963 |   |   | 628,563 |   |
| Direct other insurance reserves                             | 1,436,162 |   |   | 1,389,546 |   |   | 1,349,141 |   |
| Assumed insurance reserves                                  | — |   |   | 202,829 |   |   | 190,741 |   |

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| Premiums Collected - Variable Segment                          |                            |    |   |    |   |
|----------------------------------------------------------------|---------------------------------|---------|--------|---------|--------|
|                                                           |                            |    |   |    |   |
|                                                           | For the year ended December 31, |
|                                                           | 2009                            |    | 2008   |    | 2007   |
|                                                           | (Dollars in thousands)          |
| Variable annuities:                                            |                            |    |   |    |   |
| Exclusive distribution:                                        |                            |    |   |    |   |
| First year                                                     | $                               | 23,858  |   |    | $      | 40,742 |   |   | $ | 65,840 |   |
| Renewal                                                        | 19,697                          |    |   | 23,047  |   |   | 26,377 |   |
| Total                                                          | 43,555                          |    |   | 63,789  |   |   | 92,217 |   |
|     Alliance channel:                      |                            |    |   |    |   |
|     First year (1)                         | 7,293                           |    |   | 15,685  |   |   | 30,430 |   |
|     Renewal (1)                            | 3,211                           |    |   | 4,417   |   |   | 5,028 |   |
| Total                                                          | 10,504                          |    |   | 20,102  |   |   | 35,458 |   |
| Total variable annuities                                       | 54,059                          |    |   | 83,891  |   |   | 127,675 |   |
| Variable universal life:                                       |                            |    |   |    |   |
| Exclusive distribution:                                        |                            |    |   |    |   |
|         First year     | 2,021                           |    |   | 4,930   |   |   | 5,557 |   |
|         Renewal        | 46,098                          |    |   | 46,274  |   |   | 46,052 |   |
| Total                                                          | 48,119                          |    |   | 51,204  |   |   | 51,609 |   |
|     Alliance channel:                      |                            |    |   |    |   |
|         First year (1) | 193                             |    |   | 415     |   |   | 779 |   |
|         Renewal (1)    | 1,930                           |    |   | 2,197   |   |   | 2,102 |   |
| Total                                                          | 2,123                           |    |   | 2,612   |   |   | 2,881 |   |
| Total variable universal life                                  | 50,242                          |    |   | 53,816  |   |   | 54,490 |   |
| Total Variable                                                 | 104,301                         |    |   | 137,707 |   |   | 182,165 |   |
| Reinsurance ceded                                              | (888                            | )       |   | (736    | )      |   | (856 | ) |
| Total Variable, net of reinsurance                             | $                               | 103,413 |   |    | $      | 136,971 |   |   | $ | 181,309 |   |

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| In Force - Variable Segment                         |                                                    |   |   |    |   |
|-----------------------------------------------------|---------------------------------------------------------|--------|--------|---------|--------|
|                                                |                                                    |   |   |    |   |
|                                                | As of December 31,                                      |
|                                                | 2009                                                    |   | 2008   |    | 2007   |
|                                                | (Dollars in thousands, except face amounts in millions) |
| Number of direct contracts - variable annuity       | 19,827                                                  |   |   | 20,624  |   |   | 21,041 |   |
| Number of direct policies - variable universal life | 58,429                                                  |   |   | 61,319  |   |   | 63,378 |   |
| Direct face amounts - variable universal life       | $                                                       | 7,360  |   |    | $      | 7,698 |   |   | $ | 7,846 |   |
| Separate account assets                             | 702,073                                                 |   |   | 577,420 |   |   | 862,738 |   |
| Interest sensitive reserves                         | 231,838                                                 |   |   | 225,539 |   |   | 202,211 |   |
| Other insurance reserves                            | 30,595                                                  |   |   | 30,382  |   |   | 27,074 |   |

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| Reinsurer                               | A.M. BestRating |   | Amount ofIn Force Ceded |    | Reserve Credit |
|-----------------------------------------|-----------------|--------|-------------------------|---------|----------------|
|                                    |            |   | (Dollars in millions)   |
| RGA Reinsurance Company                 | A+              |   | $                       | 2,760.8 |           |   | $ | 15.7 |   |
| Swiss Re Life & Health America Inc. | A               |   | 2,791.1                 |    |           | 11.5 |   |
| Generali USA Life Reassurance Company   | A               |   | 2,417.1                 |    |           | 7.3 |   |
| Scottish Re*                            | E               |   | 398.2                   |    |           | 4.0 |   |
| Employers Reassurance Corporation       | A-              |   | 574.3                   |    |           | 2.5 |   |
| Munich American Reassurance Company     | A+              |   | 291.0                   |    |           | 0.5 |   |
| All other (8 reinsurers)                | A- to A++       |   | 256.6                   |    |           | 0.8 |   |
| Total                                   |            |   | $                       | 9,489.1 |           |   | $ | 42.3 |   |

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|                               | Rating     |   | Rating Type                       |   | Outlook  |
|------------------------------------|------------|--------|-----------------------------------|--------|----------|
| Farm Bureau Life Insurance Company | B++ (Good) |   | Insurer Financial Strength Rating |   | Negative |
| EquiTrust Life Insurance Company   | B+ (Good)  |   | Insurer Financial Strength Rating |   | Negative |
| FBL Financial Group, Inc.          | bb         |   | Credit Rating                     |   | Negative |

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|        |   | The company action level is triggered if an insurer's total adjusted capital is less than 200% of its authorized control level RBC, as defined in the Model Act. At the company action level, the insurer must submit a plan to the regulatory authority that discusses proposed corrective actions to improve its capital position. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                 |
|        |   | The regulatory action level is triggered if an insurer's total adjusted capital is less than 150% of its authorized control level RBC. At the regulatory action level, the regulatory authority will perform a special examination of the insurer and issue an order specifying corrective actions that must be followed.            |
|   |   |                                                                                                                                                                                                                                                                                                                                 |
|        |   | If an insurer's total adjusted capital is less than its authorized control level RBC, the regulatory authority is authorized (although not mandated) to take regulatory control of the insurer.                                                                                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                                 |
|        |   | The mandatory control level is triggered if an insurer's total adjusted capital is less than 70% of its authorized control level RBC, and at that level the regulatory authority must take regulatory control of the insurer. Regulatory control may lead to rehabilitation or liquidation of an insurer.                            |

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|        |   | We must mark to market the purchased call options we use to fund the index credits on our index annuities based upon quoted market prices from counterparties. We record the change in fair value of these options as a component of our revenues. Included within the change in fair value of the options is an element reflecting the time value of the options, which initially is their purchase cost declining to zero at the end of their lives. The change in the difference between fair value and remaining option cost at beginning and end of year totaled $152.6 million in 2009, ($109.7) million in 2008 and ($51.1) million in 2007.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|        |   | The future annual index credits on our index annuities are treated as a series of embedded derivatives over the expected life of the applicable contracts. We are required to estimate the fair value of these embedded derivatives. Our estimates of the fair value of these embedded derivative are based on assumptions related to underlying policy terms (including annual cap rates, participation rates, asset fees and minimum guarantees), index values, notional amounts, strike prices and expected lives of the contracts. The change in fair value of embedded derivatives fluctuates with changes in volatility in the indices and in market interest rates. We record the change in fair value of embedded derivatives as a component of our benefits and expenses. However, it will not correspond to the change in fair value of the purchased call options because the purchased options are one or two-year assets while the embedded derivative in the index contracts represents the rights of the contract holder to receive index credits over the entire period the index annuities are expected to be in force, which typically exceeds 10 years. Changes in the value of the embedded derivatives included in the index annuity contracts totaled $148.9 million in 2009, ($189.4) million in 2008 and ($5.9) million in 2007.  |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|        |   | Changes in the fair value of interest rate swaps backing our annuity liabilities are recorded in derivative income (loss) and totaled $3.3 million in 2009, ($1.4) million in 2008 and $4.8 million in 2007. Prior to April 2007, changes in the fair value of these swaps were recorded as a component of the change in accumulated other comprehensive income (loss). Amounts recorded in accumulated other comprehensive income (loss) as of March 31, 2007, are being amortized over the remaining life of the swap. These amounts totaled ($0.2) million in 2009, ($1.1) million in 2008 and ($3.8) million in 2007.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|        |   | As applicable, we adjust the amortization of deferred policy acquisition costs and deferred sales inducements to reflect the impact of derivatives.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |

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| Class A Common Stock Data (per share) | 1st Qtr. |   | 2nd Qtr. |   | 3rd Qtr. |   | 4th Qtr. |
|---------------------------------------|----------|--------|----------|--------|----------|--------|----------|
|                                  |     |   |     |   |     |   |     |
| 2009                                  |     |   |     |   |     |   |     |
| High                                  | $        | 16.34  |     |   | $        | 9.86   |     |   | $ | 20.36 |   |   | $ | 22.99 |   |
| Low                                   | 1.81     |   |     | 3.79   |     |   | 7.29     |   |   | 17.00 |   |
|                                  |     |   |     |   |     |   |     |
| Dividends declared and paid           | $        | 0.1250 |     |   | $        | 0.0625 |     |   | $ | 0.0625 |   |   | $ | 0.0625 |   |
|                                  |     |   |     |   |     |   |     |
| 2008                                  |     |   |     |   |     |   |     |
| High                                  | $        | 35.21  |     |   | $        | 30.05  |     |   | $ | 34.86 |   |   | $ | 27.47 |   |
| Low                                   | 26.07    |   |     | 17.17  |     |   | 18.39    |   |   | 6.53 |   |
|                                  |     |   |     |   |     |   |     |
| Dividends declared and paid           | $        | 0.1250 |     |   | $        | 0.1250 |     |   | $ | 0.1250 |   |   | $ | 0.1250 |   |

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|                                          | Period Ending |
|-----------------------------------------------|---------------|
|                                          | 12/31/2004    |   | 12/31/2005 |   | 12/31/2006 |   | 12/31/2007 |   | 12/31/2008 |   | 12/31/2009 |
| FBL Financial Group, Inc.                     | $             | 100.00 |   |   | $ | 116.59 |   |   | $ | 140.71 |   |   | $ | 125.93 |   |   | $ | 57.86 |   |   | $ | 73.51 |   |
| S&P 500 Index                             | 100.00        |   |   | 104.91 |   |   | 121.48 |   |   | 128.16 |   |   | 80.74 |   |   | 102.11 |   |
| S&P 500 Life & Health Insurance Index | 100.00        |   |   | 122.52 |   |   | 142.75 |   |   | 158.45 |   |   | 81.89 |   |   | 94.64 |   |

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| Plan Category                                               | (a) Numberof Securities to be IssuedUponExercise ofOutstandingOptions,Warrantsand Rights |   | (b) WeightedAverageExercise Priceof OutstandingOptions,Warrants and Rights |   | (c) Number ofSecuritiesRemainingAvailable forFuture IssuanceUnder EquityCompensationPlans (ExcludingSecurities Reflectedin Column (a)) |      | (d) Total ofSecurities inColumns (a) and (c) |
|-------------------------------------------------------------|------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------|-----------|----------------------------------------------|
|                                                        |                                                                                     |   |                                                                       |   |                                                                                                                                   |      |                                         |
| Equity compensation plans approved by shareholders:         |                                                                                     |   |                                                                       |   |                                                                                                                                   |      |                                         |
|    Stock compensation plan (1)               | 2,497,477                                                                                |   |                                                                       | $      | 26.98                                                                                                                                  |      |                                         | 3,362,016 |   |   | 5,859,493 |   |
|    Director's deferred compensation plan (2) | 89,970                                                                                   |   |                                                                       |   |                                                                                                                                   | —   |                                         |   | 89,970 |   |
|    Executive deferred compensation plan      | 70,039                                                                                   |   |                                                                       |   |                                                                                                                                   | 178,898   |                                         |   | 248,937 |   |
| Total                                                       | 2,657,486                                                                                |   |                                                                       |   |                                                                                                                                   | 3,540,914 |                                         |   | 6,198,400 |   |
| Equity compensation plans not approved by shareholders:     |                                                                                     |   |                                                                       |   |                                                                                                                                   |      |                                         |
| Employer match deferred compensation plan                   | 6,208                                                                                    |   |                                                                       |   |                                                                                                                                   | —   |                                         |   | 6,208 |   |

| (1) |   | The Stock Compensation Plan also permits the grant of nonvested stock and other forms of equity, without limiting the number of shares which may be subject to any one kind of grant. The Company has granted 948,594 restricted shares beginning in 2004, of which at December 31, 2009, 160,783 shares have vested, 344,437 have been forfeited, and 443,374 remain subject to forfeiture if performance targets are not met. In 2009, 54,976 stock awards were also granted to directors under the Stock Compensation Plan. See "Compensation Discussion and Analysis - Long Term Incentives; Options and Restricted Stock" from the Company's definitive proxy statement to be filed within 120 days of December 31, 2009. |
|-----|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) |   | The company is planning to increase the number of securities available under the Directors Deferred Compensation Plan, subject to approval by the Shareholders at the May 2010 annual meeting. |
|-----|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                           | As of or for the year ended December 31,      |
|----------------------------------------------------------------|-----------------------------------------------|
|                                                           | 2009                                          |   | 2008 |   | 2007 (2) |   | 2006 |   | 2005 |
|                                                           | (Dollars in thousands, except per share data) |
| Consolidated Statement of Income Data                          |                                          |   |   |   |   |   |   |   |   |
| Interest sensitive and index product charges                   | $                                             | 158,873 |   |   | $ | 127,199 |   |   | $ | 114,529 |   |   | $ | 105,033 |   |   | $ | 96,258 |   |
| Traditional life insurance premiums                            | 155,675                                       |   |   | 149,186 |   |   | 144,682 |   |   | 138,401 |   |   | 134,618 |   |
| Net investment income                                          | 724,653                                       |   |   | 707,872 |   |   | 628,031 |   |   | 535,836 |   |   | 475,443 |   |
| Derivative income (loss)                                       | 67,515                                        |   |   | (208,793 | ) |   | (4,951 | ) |   | 70,340 |   |   | (2,800 | ) |
| Realized/unrealized gains (losses) on investments              | (20,865                                       | ) |   | (156,309 | ) |   | 5,769 |   |   | 13,971 |   |   | 2,961 |   |
| Total revenues                                                 | 1,114,586                                     |   |   | 644,465 |   |   | 914,599 |   |   | 887,353 |   |   | 728,148 |   |
|                                                           |                                          |   |   |   |   |   |   |   |   |
| Net income (loss)                                              | 69,692                                        |   |   | (18,220 | ) |   | 86,290 |   |   | 90,255 |   |   | 72,616 |   |
| Per common share:                                              |                                          |   |   |   |   |   |   |   |   |
| Earnings (loss)                                                | 2.32                                          |   |   | (0.61 | ) |   | 2.90 |   |   | 3.06 |   |   | 2.51 |   |
| Earnings (loss) - assuming dilution                            | 2.31                                          |   |   | (0.61 | ) |   | 2.84 |   |   | 3.01 |   |   | 2.47 |   |
| Cash dividends                                                 | 0.3125                                        |   |   | 0.5000 |   |   | 0.4800 |   |   | 0.4600 |   |   | 0.4200 |   |
| Weighted average common shares outstanding - assuming dilution | 30,201,476                                    |   |   | 29,893,909 |   |   | 30,321,617 |   |   | 29,904,624 |   |   | 29,414,988 |   |
|                                                           |                                          |   |   |   |   |   |   |   |   |
| Consolidated Balance Sheet Data                                |                                          |   |   |   |   |   |   |   |   |
| Total investments                                              | $                                             | 11,653,037 |   |   | $ | 10,854,059 |   |   | $ | 11,067,070 |   |   | $ | 9,782,626 |   |   | $ | 8,299,208 |   |
| Assets held in separate accounts                               | 702,073                                       |   |   | 577,420 |   |   | 862,738 |   |   | 764,377 |   |   | 639,895 |   |
| Total assets                                                   | 14,259,341                                    |   |   | 14,060,814 |   |   | 13,927,859 |   |   | 12,154,012 |   |   | 10,153,933 |   |
| Long-term debt                                                 | 371,084                                       |   |   | 371,005 |   |   | 316,930 |   |   | 218,399 |   |   | 218,446 |   |
| Total liabilities                                              | 13,388,064                                    |   |   | 13,802,353 |   |   | 13,024,877 |   |   | 11,273,154 |   |   | 9,309,538 |   |
| Total stockholders' equity (1)                                 | 871,277                                       |   |   | 258,461 |   |   | 902,982 |   |   | 880,858 |   |   | 844,395 |   |
| Book value per common share (1)                                | 28.49                                         |   |   | 8.46 |   |   | 29.98 |   |   | 29.59 |   |   | 28.88 |   |

| Notes to Selected Consolidated Financial Data |
|-----------------------------------------------|
| (1                                            | ) |   | Amounts are impacted by accumulated other comprehensive income (loss) totaling ($118.7) million in 2009, ($649.8) million in 2008, ($36.3) million in 2007, $28.2 million in 2006, and $82.3 million in 2005. These amounts are net of deferred income taxes and other adjustments for assumed changes in the amortization of deferred policy acquisition costs, deferred sales inducements, unearned revenue reserve and value of insurance in force acquired. |
|                                          |   |   |
| (2                                            | ) |   | Certain amounts in the 2007 consolidated balance sheet data have been reclassified to conform to the 2008 financial statement presentation. |

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|   |   |                                                         |
|--------|--------|--------------------------------------------------------------|
|        |   | factors which affect our business,                           |
|        |   | our revenues and expenses in the periods presented,          |
|        |   | changes in revenues and expenses between periods,            |
|        |   | sources of earnings and changes in shareholders' equity,     |
|        |   | impact of these items on our overall financial condition and |
|        |   | expected sources and uses of cash.                           |

| We have organized our discussion and analysis as follows: |
|-----------------------------------------------------------|
|                                                      |   |   |
|                                                           |   | First, we discuss our business and drivers of profitability. |
|                                                           |   | We then describe the business environment in which we operate including factors that affect operating results. |
|                                                           |   | We highlight significant events that are important to understanding our results of operations and financial condition. |
|                                                           |   | We then review the results of operations beginning with an overview of the total company results, followed by a more detailed review of those results by operating segment. |
|                                                           |   | We review our financial condition by summarizing our investment portfolio, market risks, sources and uses of cash, capital resources and requirements and commitments. |
|                                                           |   | Finally, we discuss critical accounting policies and recently issued accounting standards. The critical accounting policies are those that are most important to the portrayal of our financial condition and results of operations and require management's most difficult or complex judgment. |

| Our profitability is primarily a factor of: |
|---------------------------------------------|
|                                        |   |   |
|                                             |   | The volume of our life insurance and annuity business in force, which is driven by the level of our sales and the persistency of the business written. |
|                                             |   | The amount of spread (excess of net investment income earned over interest credited/option costs) we earn on contract holders' general account balances. |
|                                             |   | The amount of fees we earn on contract holders' separate account balances. |

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|  |   | Our ability to price our life insurance products to earn acceptable margins over the cost of providing benefits and the expenses of acquiring and administering the products. Competitive conditions, mortality experience, persistency, investment results and our ability to maintain expenses in accordance with pricing assumptions drive our margins on the life products. On many products, we have the ability to mitigate adverse experience through adjustments to credited interest rates, policyholder dividends or cost of insurance charges. |
|--|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  |   | Our ability to manage our investment portfolio to maximize investment returns while providing adequate liquidity for obligations to policyholders and minimizing the risk of defaults or impairments of invested assets.                                                                                                                                                                                                                                                                                                                                  |
|  |   | Our ability to manage the level of our operating expenses.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|  |   | Actual experience and changes in assumptions for expected surrender and withdrawal rates, mortality and spreads used in the amortization of deferred policy acquisition expense and deferred sales inducement amounts.                                                                                                                                                                                                                                                                                                                                    |
|  |   | Changes in fair values of derivatives and embedded derivatives relating to our index annuity business.                                                                                                                                                                                                                                                                                                                                                                                                                                                    |

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| Results of Operations for the Three Years Ended December 31, 2009 |
|-------------------------------------------------------------------|
|                                                              |   |   |   |   |   |
|                                                              | Year ended December 31, |
|                                                              | 2009 |   | 2008 |   | 2007 |
|                                                              | (Dollars in thousands, except per share data) |
| Revenues                                                          | $ | 1,114,586 |   |   | $ | 644,465 |   |   | $ | 914,599 |   |
| Benefits and expenses                                             | 1,012,425 |   |   | 676,343 |   |   | 788,793 |   |
|                                                              | 102,161 |   |   | (31,878 | ) |   | 125,806 |   |
| Income taxes                                                      | (33,219 | ) |   | 13,662 |   |   | (41,051 | ) |
| Equity income (loss)                                              | 750 |   |   | (4 | ) |   | 1,535 |   |
| Net income (loss)                                                 | 69,692 |   |   | (18,220 | ) |   | 86,290 |   |
| Net loss attributable to noncontrolling interest                  | 143 |   |   | 71 |   |   | 49 |   |
| Net income (loss) attributable to FBL Financial Group, Inc.       | $ | 69,835 |   |   | $ | (18,149 | ) |   | $ | 86,339 |   |
|                                                              |   |   |   |   |   |
| Earnings (loss) per common share                                  | $ | 2.32 |   |   | $ | (0.61 | ) |   | $ | 2.90 |   |
| Earnings (loss) per common share - assuming dilution              | $ | 2.31 |   |   | $ | (0.61 | ) |   | $ | 2.84 |   |
|                                                              |   |   |   |   |   |
| Other data                                                        |   |   |   |   |   |
| Direct premiums collected, net of reinsurance ceded:              |   |   |   |   |   |
| Traditional Annuity - Exclusive Distribution                      | $ | 305,680 |   |   | $ | 249,039 |   |   | $ | 126,849 |   |
| Traditional Annuity - Independent Distribution                    | 611,112 |   |   | 1,565,255 |   |   | 1,569,128 |   |
| Traditional and Universal Life Insurance                          | 201,360 |   |   | 191,932 |   |   | 185,904 |   |
| Variable Annuity and Variable Universal Life (1)                  | 103,413 |   |   | 136,971 |   |   | 181,309 |   |
| Reinsurance assumed and other                                     | 9,462 |   |   | 13,672 |   |   | 15,238 |   |
| Total                                                             | $ | 1,231,027 |   |   | $ | 2,156,869 |   |   | $ | 2,078,428 |   |
|                                                              |   |   |   |   |   |
| Direct life insurance in force, end of year (in millions)         | 46,025 |   |   | 43,513 |   |   | 41,093 |   |
| Life insurance lapse rates                                        | 6.8 | % |   | 6.4 | % |   | 6.1 | % |
| Withdrawal rates − individual traditional annuity:          |   |   |   |   |   |
| Exclusive Distribution                                            | 4.3 | % |   | 3.9 | % |   | 5.2 | % |
| Independent Distribution                                          | 15.4 | % |   | 7.8 | % |   | 5.5 | % |

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| Spreads Earned on our Universal Life and Individual Traditional Annuity Products |
|----------------------------------------------------------------------------------|
|                                                                             |   |   |   |   |   |
|                                                                             | Year ended December 31, |
|                                                                             | 2009 |   | 2008 |   | 2007 |
| Weighted average yield on cash and invested assets                               | 6.09 | % |   | 6.18 | % |   | 6.13 | % |
| Weighted average interest crediting rate/index cost                              | 3.96 | % |   | 3.94 | % |   | 3.72 | % |
| Spread                                                                           | 2.13 | % |   | 2.24 | % |   | 2.41 | % |

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| Impact of Unlocking on Pre-tax Income                   |                                          |   |   |    |   |
|---------------------------------------------------------|-----------------------------------------------|--------|--------|---------|--------|
|                                                    |                                          |   |   |    |   |
|                                                    | Year ended December 31,                       |
|                                                    | 2009                                          |   | 2008   |    | 2007   |
|                                                    | (Dollars in thousands, except per share data) |
| Amortization of deferred policy acquisition costs       | $                                             | (2,370 | )      |    | $      | (14,957 | ) |   | $ | 942 |   |
| Amortization of deferred sales inducements              | (2,645                                        | )      |   | (14,437 | )      |   | 1,134 |   |
| Amortization of value of insurance in force acquired    | 756                                           |   |   | (265    | )      |   | (1,276 | ) |
| Amortization of unearned revenues                       | 211                                           |   |   | 316     |   |   | 405 |   |
| Increase (decrease) to pre-tax income                   | $                                             | (4,048 | )      |    | $      | (29,343 | ) |   | $ | 1,205 |   |
| Impact per common share (basic and diluted), net of tax | $                                             | (0.09  | )      |    | $      | (0.64 | ) |   | $ | 0.03 |   |

| Impact of Operating Adjustments on Net Income (Loss) |                    |    |   |    |   |
|------------------------------------------------------|-------------------------|---------|--------|---------|--------|
|                                                 |                    |    |   |    |   |
|                                                 | Year ended December 31, |
|                                                 | 2009                    |    | 2008   |    | 2007   |
|                                                 | (Dollars in thousands)  |
| Realized/unrealized gains (losses) on investments    | $                       | (20,865 | )      |    | $      | (156,309 | ) |   | $ | 5,769 |   |
| Change in net unrealized gains/losses on derivatives | 7,911                   |    |   | 75,652  |   |   | (49,361 | ) |
| Change in amortization of:                           |                    |    |   |    |   |
| Deferred policy acquisition costs                    | (15,020                 | )       |   | (4,255  | )      |   | 16,856 |   |
| Deferred sales inducements                           | (3,131                  | )       |   | (19,966 | )      |   | 12,895 |   |
| Value of insurance in force acquired                 | (13                     | )       |   | 820     |   |   | 12 |   |
| Unearned revenue reserve                             | (66                     | )       |   | (158    | )      |   | (16 | ) |
| Cumulative effect of change in accounting principle  | —                 |    |   | — |   |   | (283 | ) |
| Income tax offset                                    | 10,914                  |    |   | 36,475  |   |   | 4,846 |   |
| Net impact of operating income adjustments           | $                       | (20,270 | )      |    | $      | (67,741 | ) |   | $ | (9,282 | ) |

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|                                                               | Year ended December 31,                       |
|--------------------------------------------------------------------|-----------------------------------------------|
|                                                               | 2009                                          |   | 2008 |   | 2007 |
|                                                               | (Dollars in thousands, except per share data) |
| Summary of adjustments noted above after offsets and income taxes: |                                          |   |   |   |   |
| Realized/unrealized gains (losses) on investments                  | $                                             | (18,061 | ) |   | $ | (79,542 | ) |   | $ | 4,501 |   |
| Change in net unrealized gains/losses on derivatives               | (2,209                                        | ) |   | 11,801 |   |   | (13,500 | ) |
| Cumulative effect of change in accounting principle                | —                                       |   |   | — |   |   | (283 | ) |
| Net impact of operating income adjustments                         | $                                             | (20,270 | ) |   | $ | (67,741 | ) |   | $ | (9,282 | ) |
| Net impact per common share - basic                                | $                                             | (0.67 | ) |   | $ | (2.27 | ) |   | $ | (0.31 | ) |
| Net impact per common share - assuming dilution                    | $                                             | (0.67 | ) |   | $ | (2.27 | ) |   | $ | (0.31 | ) |

| Changes in FBL Net Income (Loss)                                                                         |                    |   |          |
|----------------------------------------------------------------------------------------------------------|-------------------------|--------|---------------|
|                                                                                                     |                    |   |          |
|                                                                                                     | Year ended December 31, |
|                                                                                                     | 2009 vs. 2008           |   | 2008 vs. 2007 |
|                                                                                                     | (Dollars in thousands)  |
| Premiums and product charges                                                                             | $                       | 38,163 |          |   | $ | 17,174 |   |
| Net investment income                                                                                    | 16,781                  |   |          | 79,841 |   |
| Derivative income (loss)                                                                                 | 276,308                 |   |          | (203,842 | ) |
| Realized/unrealized gains (losses) on investments                                                        | 135,444                 |   |          | (162,078 | ) |
| Other income and other expenses                                                                          | 8,625                   |   |          | (1,573 | ) |
| Interest sensitive and index products benefits and change in value of index product embedded derivatives | (335,111                | )      |          | 185,561 |   |
| Traditional life insurance policy benefits                                                               | 11,237                  |   |          | (10,293 | ) |
| Underwriting, acquisition and insurance expenses                                                         | (11,695                 | )      |          | (59,573 | ) |
| Interest expense                                                                                         | (5,713                  | )      |          | (2,901 | ) |
| Income taxes                                                                                             | (46,881                 | )      |          | 54,713 |   |
| Minority interest and equity income                                                                      | 826                     |   |          | (1,517 | ) |
| Total change in net income (loss)                                                                        | $                       | 87,984 |          |   | $ | (104,488 | ) |

| Premiums and Product Charges                 |                    |    |   |    |   |
|----------------------------------------------|-------------------------|---------|--------|---------|--------|
|                                         |                    |    |   |    |   |
|                                         | Year ended December 31, |
|                                         | 2009                    |    | 2008   |    | 2007   |
|                                         | (Dollars in thousands)  |
| Premiums and product charges:                |                    |    |   |    |   |
| Interest sensitive and index product charges | $                       | 158,873 |   |    | $      | 127,199 |   |   | $ | 114,529 |   |
| Traditional life insurance premiums          | 155,675                 |    |   | 149,186 |   |   | 144,682 |   |
| Total                                        | $                       | 314,548 |   |    | $      | 276,385 |   |   | $ | 259,211 |   |

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|                     | Year ended December 31, |
|--------------------------|-------------------------|
|                     | 2009                    |   | 2008 |   | 2007 |
|                     | (Dollars in thousands)  |
| Surrender charges:       |                    |   |   |   |   |
| Gross surrender charges  | $                       | 151,975 |   |   | $ | 37,519 |   |   | $ | 8,792 |   |
| Market value adjustments | (95,246                 | ) |   | (15,537 | ) |   | 1,145 |   |
| Net surrender charges    | $                       | 56,729 |   |   | $ | 21,982 |   |   | $ | 9,937 |   |

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|                                                                                               | Year ended December 31, |
|----------------------------------------------------------------------------------------------------|-------------------------|
|                                                                                               | 2009                    |   | 2008 |   | 2007 |
|                                                                                               | (Dollars in thousands)  |
| Derivative income (loss):                                                                          |                    |   |   |   |   |
| Components of derivative income (loss) from call options:                                          |                    |   |   |   |   |
| Gains received at expiration                                                                       | $                       | 27,908 |   |   | $ | 36,280 |   |   | $ | 156,378 |   |
| Change in the difference between fair value and remaining option cost at beginning and end of year | 152,603                 |   |   | (109,727 | ) |   | (51,087 | ) |
| Cost of money for call options                                                                     | (110,542                | ) |   | (128,514 | ) |   | (108,379 | ) |
|                                                                                               | 69,969                  |   |   | (201,961 | ) |   | (3,088 | ) |
| Other                                                                                              | (2,454                  | ) |   | (6,832 | ) |   | (1,863 | ) |
| Total                                                                                              | $                       | 67,515 |   |   | $ | (208,793 | ) |   | $ | (4,951 | ) |

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| Realized/Unrealized Gains (Losses) on Investments                  |                    |    |   |     |   |
|--------------------------------------------------------------------|-------------------------|---------|--------|----------|--------|
|                                                               |                    |    |   |     |   |
|                                                               | Year ended December 31, |
|                                                               | 2009                    |    | 2008   |     | 2007   |
|                                                               | (Dollars in thousands)  |
| Realized/unrealized gains (losses) on investments:                 |                    |    |   |     |   |
| Realized gains on sales                                            | $                       | 64,830  |   |     | $      | 7,387 |   |   | $ | 10,398 |   |
| Realized losses on sales                                           | (17,779                 | )       |   | (5,477   | )      |   | (200 | ) |
| Total other-than-temporary impairment charges                      | (105,439                | )       |   | (158,219 | )      |   | (4,502 | ) |
| Unrealized gains on trading securities                             | —                 |    |   | —  |   |   | 73 |   |
| Net realized/unrealized investment gains (losses)                  | (58,388                 | )       |   | (156,309 | )      |   | 5,769 |   |
| Non-credit losses included in accumulated other comprehensive loss | 37,523                  |    |   | —  |   |   | — |   |
| Total reported in statements of operations                         | $                       | (20,865 | )      |     | $      | (156,309 | ) |   | $ | 5,769 |   |

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| Investment Impairments Recognized in FBL Net Income Individually Exceeding $0.5 Million |
|-----------------------------------------------------------------------------------------|
|                                                                                    |   |   |   |   |
| General Description                                                                     |   | Impairment Loss |   | Circumstance |
|                                                                                    |   | (Dollars in thousands) |   |   |
| Year ended December 31, 2009:                                                           |   |   |
| Collateralized debt obligation                                                          |   | $ | 11,899 |   |   | Defaults of the underlying collateral supporting this issue increased resulting in possible future losses. |
| Major paper manufacturing company                                                       |   | $ | 6,630 |   |   | Issuer filed for bankruptcy after unsuccessful attempts to obtain financial assistance. This reduced estimates on potential recovery. |
| Collateralized debt obligation                                                          |   | $ | 6,369 |   |   | We had the intent to sell the security at December 31, 2009, therefore, it was impaired to the fair value. |
| Real estate investment trust                                                            |   | $ | 6,299 |   |   | Issuer filed for bankruptcy after unsuccessful attempts to obtain financial assistance. This reduced estimates on potential recovery. |
| Collateralized debt obligation                                                          |   | $ | 6,200 |   |   | We had the intent to sell the security at December 31, 2009, therefore, it was impaired to the fair value. |
| Major printing & publishing company                                                 |   | $ | 5,671 |   |   | Debt restructuring and declines in ratings and revenues which could result in a future covenant violation reduced estimates on potential recovery. |
| Other asset-backed securities                                                           |   | $ | 4,734 |   |   | Rating declines occurred on the monoline insurer supporting these issues. Financial recoveries are fully dependent on the insurer. |
| Apparel and other textile company                                                       |   | $ | 4,000 |   |   | The probability of future losses increased due to declining economic conditions and increased concerns about the company's ability to continue as a going concern. |
| Commercial finance company                                                              |   | $ | 3,996 |   |   | Rating declines occurred due to the impact of declining economic conditions on earnings and liquidity and the company's ability to continue as a going concern. |
| Other asset-backed securities                                                           |   | $ | 3,786 |   |   | Defaults in underlying collateral supporting these issues increased. |
| Collateralized bond obligation                                                          |   | $ | 2,912 |   |   | Rating declines occurred and defaults of the underlying collateral supporting this issue increased. |
| Collateralized bond obligation                                                          |   | $ | 1,386 |   |   | Rating declines occurred and defaults of the underlying collateral supporting this issue increased. |
| Residential mortgage-backed security                                                    |   | $ | 1,025 |   |   | Rating declines occurred and defaults of the underlying collateral supporting this issue increased. |
| Reinsurance carrier                                                                     |   | $ | 586 |   |   | Rating declines occurred and near term solvency became a concern. |
| Other asset-backed security                                                             |   | $ | 530 |   |   | Rating declines occurred and defaults of the underlying collateral supporting this issue increased. |

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| General Description                     |   | Impairment Loss        |   | Circumstance |
|-----------------------------------------|--------|------------------------|--------|--------------|
|                                    |   | (Dollars in thousands) |   |         |
| Year ended December 31, 2008:           |   |                   |
| Other asset-backed securities           |   | $                      | 68,487 |         |   | Losses on 13 securities increased due to increasing delinquencies by homeowners.  Collateral is second lien home equity loans with minimal recoveries expected.  In addition, underlying insurance that was expected to absorb losses was deemed to be less valuable due to the monoline insurer being downgraded.  One issuer also filed for bankruptcy. |
| Depository Institution                  |   | $                      | 10,969 |         |   | Issuer filed for bankruptcy after unsuccessful attempts to obtain financial assistance.  This reduced estimates on potential recovery. |
| Commercial mortgage-backed security     |   | $                      | 10,959 |         |   | Rating declines occurred and the probability of future losses increased due to declining economic conditions and a reduction in the debt available to absorb losses prior to our ownership class. |
| Foreign depository institution          |   | $                      | 9,900  |         |   | The probability of future losses increased due to declining economic conditions.  In addition, the board of directors resigned and a foreign government seized control of the entire banking system due to financial turmoil. |
| Collateralized debt obligation          |   | $                      | 9,800  |         |   | Rating declines occurred and the value of collateral supporting this issue decreased, which triggered an event whereby we did not receive interest on our investment. |
| Other asset-backed security             |   | $                      | 9,114  |         |   | Rating declines occurred and losses from the underlying home equity loans to Alt-A borrowers increased. |
| Reinsurance carrier                     |   | $                      | 7,299  |         |   | Rating declines occurred and the fair value decreased significantly due to subprime and Alt-A exposure and the parent's potential reorganization, which reduced estimates on potential recovery. |
| Major printing & publishing company |   | $                      | 6,868  |         |   | Rating declines occurred and concerns regarding short-term liquidity in the current economic environment reduced estimates on potential recovery. |
| Securities & commodities broker     |   | $                      | 5,980  |         |   | Issuer filed for bankruptcy after unsuccessful attempts to obtain financial assistance.  This reduced estimates on potential recovery. |
| Major printing & publishing company |   | $                      | 3,871  |         |   | Issuer filed for bankruptcy after unsuccessful attempts to obtain financial assistance.  This reduced estimates on potential recovery. |
| Major United States automaker           |   | $                      | 3,570  |         |   | Rating declines occurred due to deteriorating economic conditions and increased concerns about the company's ability to sustain as a going concern.  This reduced estimates on potential recovery. |
| Securities & commodities broker     |   | $                      | 2,893  |         |   | Bankruptcy filings by a counterparty reduced estimates on the potential recovery of derivative instruments assumed through a coinsurance agreement. |
| Major United States automaker           |   | $                      | 2,338  |         |   | Rating declines occurred due to deteriorating economic conditions and liquidity concerns.  This reduced estimates on potential recovery. |
| Major printing & publishing company |   | $                      | 2,283  |         |   | Rating declines occurred and other adverse details regarding the financial status of the company became available.  The company also filed for bankruptcy protection. |
| Major retail company                    |   | $                      | 2,219  |         |   | The company reported negative earnings results and the probability of future losses increased due to declining economic conditions.  The company also filed for bankruptcy protection, further reducing estimates on potential recovery. |
| Structured investment vehicle           |   | $                      | 1,670  |         |   | Rating declines occurred and the issuer was served a notice of default, which reduced estimates on potential recovery.  The company also filed for bankruptcy protection.  This issue was held as collateral for securities lending. |

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| General Description                              |   | Impairment Loss        |   | Circumstance |
|--------------------------------------------------|--------|------------------------|--------|--------------|
|                                             |   | (Dollars in thousands) |   |         |
| Year ended December 31, 2007:                    |   |                   |
| Major printing and publishing company            |   | $                      | 3,285  |         |   | The company announced that it would take the company private in a series of transactions tendering outstanding shares.  In addition, rating declines and other adverse details regarding the financial status of the company became available. |
| United States military base housing revenue bond |   | $                      | 812    |         |   | The United States closed one military base leading to a restructuring andtender offer for the bonds.   |

|                                                  | Year ended December 31, |
|-------------------------------------------------------|-------------------------|
|                                                  | 2009                    |   | 2008 |   | 2007 |
|                                                  | (Dollars in thousands)  |
| Interest sensitive and index product benefits:        |                    |   |   |   |   |
| Interest credited                                     | $                       | 309,734 |   |   | $ | 289,761 |   |   | $ | 240,943 |   |
| Index credits                                         | 29,764                  |   |   | 35,552 |   |   | 154,449 |   |
| Amortization of deferred sales inducements            | 51,832                  |   |   | 67,729 |   |   | 9,352 |   |
| Interest sensitive death benefits                     | 45,940                  |   |   | 47,388 |   |   | 37,800 |   |
|                                                  | 437,270                 |   |   | 440,430 |   |   | 442,544 |   |
| Change in value of index product embedded derivatives | 148,917                 |   |   | (189,354 | ) |   | (5,907 | ) |
| Total                                                 | $                       | 586,187 |   |   | $ | 251,076 |   |   | $ | 436,637 |   |

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|                                                | Year ended December 31, |
|-----------------------------------------------------|-------------------------|
|                                                | 2009                    |   | 2008 |   | 2007 |
|                                                | (Dollars in thousands)  |
| Traditional life insurance policy benefits:         |                    |   |   |   |   |
| Traditional life insurance benefits                 | $                       | 93,784 |   |   | $ | 96,884 |   |   | $ | 90,808 |   |
| Increase in traditional life future policy benefits | 35,766                  |   |   | 43,255 |   |   | 37,682 |   |
| Distributions to participating policyholders        | 19,416                  |   |   | 20,064 |   |   | 21,420 |   |
| Total                                               | $                       | 148,966 |   |   | $ | 160,203 |   |   | $ | 149,910 |   |

|                                                                     | Year ended December 31, |
|--------------------------------------------------------------------------|-------------------------|
|                                                                     | 2009                    |   | 2008 |   | 2007 |
|                                                                     | (Dollars in thousands)  |
| Underwriting, acquisition and insurance expenses:                        |                    |   |   |   |   |
| Commission expense, net of deferrals                                     | $                       | 14,080 |   |   | $ | 13,613 |   |   | $ | 13,906 |   |
| Amortization of deferred policy acquisition costs                        | 137,027                 |   |   | 128,114 |   |   | 68,394 |   |
| Amortization of value of insurance in force acquired                     | 2,634                   |   |   | 2,705 |   |   | 5,069 |   |
| Other underwriting, acquisition and insurance expenses, net of deferrals | 79,347                  |   |   | 76,961 |   |   | 74,451 |   |
| Total                                                                    | $                       | 233,088 |   |   | $ | 221,393 |   |   | $ | 161,820 |   |

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|                                                        | Year ended December 31, |
|-------------------------------------------------------------|-------------------------|
|                                                        | 2009                    |   | 2008 |   | 2007 |
|                                                        | (Dollars in thousands)  |
| Net Income (Loss) Attributable to FBL Financial Group, Inc. | $                       | 69,835 |   |   | $ | (18,149 | ) |   | $ | 86,339 |   |
| Net impact of operating income adjustments (1)              | 20,270                  |   |   | 67,741 |   |   | 9,282 |   |
| Income taxes on operating income                            | 44,537                  |   |   | 22,812 |   |   | 46,444 |   |
| Pre-tax operating income                                    | $                       | 134,642 |   |   | $ | 72,404 |   |   | $ | 142,065 |   |
|                                                        |                    |   |   |   |   |
| Pre-tax operating income (loss) by segment:                 |                    |   |   |   |   |
| Traditional Annuity - Exclusive Distribution                | $                       | 35,985 |   |   | $ | 27,946 |   |   | $ | 33,011 |   |
| Traditional Annuity - Independent Distribution              | 23,243                  |   |   | 5,360 |   |   | 39,875 |   |
| Traditional and Universal Life Insurance                    | 85,939                  |   |   | 53,059 |   |   | 58,685 |   |
| Variable                                                    | 11,245                  |   |   | (1,584 | ) |   | 12,514 |   |
| Corporate and Other                                         | (21,770                 | ) |   | (12,377 | ) |   | (2,020 | ) |
|                                                        | $                       | 134,642 |   |   | $ | 72,404 |   |   | $ | 142,065 |   |

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| Traditional Annuity - Exclusive Distribution Segment           |                    |    |   |      |   |
|----------------------------------------------------------------|-------------------------|---------|--------|-----------|--------|
|                                                           |                    |    |   |      |   |
|                                                           | Year ended December 31, |
|                                                           | 2009                    |    | 2008   |      | 2007   |
| Pre-tax operating income                                       | (Dollars in thousands)  |
| Operating revenues:                                            |                    |    |   |      |   |
| Interest sensitive and index product charges and other  income | $                       | 892     |   |      | $      | 1,261 |   |   | $ | 1,111 |   |
| Net investment income                                          | 155,177                 |    |   | 145,309   |   |   | 146,267 |   |
| Derivative income (loss)                                       | (4,991                  | )       |   | (2,859    | )      |   | 3,025 |   |
|                                                           | 151,078                 |    |   | 143,711   |   |   | 150,403 |   |
| Benefits and expenses                                          | 115,093                 |    |   | 115,765   |   |   | 117,392 |   |
| Pre-tax operating income                                       | $                       | 35,985  |   |      | $      | 27,946 |   |   | $ | 33,011 |   |
|                                                           |                    |    |   |      |   |
| Other data                                                     |                    |    |   |      |   |
| Annuity premiums collected, direct                             | $                       | 305,680 |   |      | $      | 249,039 |   |   | $ | 126,849 |   |
| Policy liabilities and accruals, end of year                   | 2,528,417               |    |   | 2,353,056 |   |   | 2,217,651 |   |
|                                                           |                    |    |   |      |   |
| Individual deferred annuity spread:                            |                    |    |   |      |   |
| Weighted average yield on cash and invested assets             | 6.19                    | %       |   | 6.17      | %      |   | 6.67 | % |
| Weighted average interest crediting rate/index cost            | 3.92                    | %       |   | 4.07      | %      |   | 4.36 | % |
| Spread                                                         | 2.27                    | %       |   | 2.10      | %      |   | 2.31 | % |
|                                                           |                    |    |   |      |   |
| Individual traditional annuity withdrawal rate                 | 4.3                     | %       |   | 3.9       | %      |   | 5.2 | % |

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|                                                          | Year ended December 31, |
|---------------------------------------------------------------|-------------------------|
|                                                          | 2009                    |   | 2008 |   | 2007 |
| Pre-tax operating income                                      | (Dollars in thousands)  |
| Operating revenues:                                           |                    |   |   |   |   |
| Interest sensitive and index product charges and other income | $                       | 66,554 |   |   | $ | 30,467 |   |   | $ | 20,466 |   |
| Net investment income                                         | 404,656                 |   |   | 395,127 |   |   | 309,131 |   |
| Derivative income (loss)                                      | (82,523                 | ) |   | (92,233 | ) |   | 47,290 |   |
|                                                          | 388,687                 |   |   | 333,361 |   |   | 376,887 |   |
| Benefits and expenses                                         | 365,444                 |   |   | 328,001 |   |   | 337,012 |   |
| Pre-tax operating income                                      | $                       | 23,243 |   |   | $ | 5,360 |   |   | $ | 39,875 |   |
|                                                          |                    |   |   |   |   |
| Other data                                                    |                    |   |   |   |   |
| Annuity premiums collected, independent channel               |                    |   |   |   |   |
| Fixed rate annuities                                          | $                       | 344,772 |   |   | $ | 915,843 |   |   | $ | 690,646 |   |
| Index annuities                                               | 266,340                 |   |   | 649,412 |   |   | 878,482 |   |
| Total annuity premiums collected, independent channel         | 611,112                 |   |   | 1,565,255 |   |   | 1,569,128 |   |
| Annuity premiums collected, assumed                           | 1,364                   |   |   | 2,381 |   |   | 3,187 |   |
| Policy liabilities and accruals, end of year                  | 7,280,768               |   |   | 7,708,423 |   |   | 6,825,713 |   |
|                                                          |                    |   |   |   |   |
| Individual deferred annuity spread:                           |                    |   |   |   |   |
| Weighted average yield on cash and invested assets            | 6.01                    | % |   | 6.12 | % |   | 5.84 | % |
| Weighted average interest crediting rate/index cost           | 3.94                    | % |   | 3.86 | % |   | 3.48 | % |
| Spread                                                        | 2.07                    | % |   | 2.26 | % |   | 2.36 | % |
|                                                          |                    |   |   |   |   |
| Individual traditional annuity withdrawal rate                | 15.4                    | % |   | 7.8 | % |   | 5.5 | % |

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|                                                      | Year ended December 31, |
|-----------------------------------------------------------|-------------------------|
|                                                      | 2009                    |   | 2008 |   | 2007 |
| Pre-tax operating income                                  | (Dollars in thousands)  |
| Operating revenues:                                       |                    |   |   |   |   |
| Interest sensitive product charges and other income       | $                       | 56,672 |   |   | $ | 47,654 |   |   | $ | 46,180 |   |
| Traditional life insurance premiums                       | 155,675                 |   |   | 149,186 |   |   | 144,682 |   |
| Net investment income                                     | 139,724                 |   |   | 143,324 |   |   | 144,231 |   |
|                                                      | 352,071                 |   |   | 340,164 |   |   | 335,093 |   |
| Benefits and expenses                                     | 266,132                 |   |   | 287,105 |   |   | 276,408 |   |
| Pre-tax operating income                                  | $                       | 85,939 |   |   | $ | 53,059 |   |   | $ | 58,685 |   |
|                                                      |                    |   |   |   |   |
| Other data                                                |                    |   |   |   |   |
| Life premiums collected, net of reinsurance               | $                       | 209,065 |   |   | $ | 202,845 |   |   | $ | 197,599 |   |
| Policy liabilities and accruals, end of year              | 2,064,525               |   |   | 2,227,338 |   |   | 2,168,445 |   |
| Direct life insurance in force, end of year (in millions) | 38,665                  |   |   | 35,815 |   |   | 33,247 |   |
|                                                      |                    |   |   |   |   |
| Interest sensitive life insurance spread:                 |                    |   |   |   |   |
| Weighted average yield on cash and invested assets        | 6.52                    | % |   | 6.63 | % |   | 6.83 | % |
| Weighted average interest crediting rate                  | 4.26                    | % |   | 4.42 | % |   | 4.42 | % |
| Spread                                                    | 2.26                    | % |   | 2.21 | % |   | 2.41 | % |

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|                                                      | Year ended December 31, |
|-----------------------------------------------------------|-------------------------|
|                                                      | 2009                    |   | 2008 |   | 2007 |
| Pre-tax operating income (loss)                           | (Dollars in thousands)  |
| Operating revenues:                                       |                    |   |   |   |   |
| Interest sensitive product charges                        | $                       | 46,430 |   |   | $ | 48,209 |   |   | $ | 46,790 |   |
| Net investment income                                     | 15,841                  |   |   | 14,257 |   |   | 13,658 |   |
| Other income                                              | 1,969                   |   |   | 1,918 |   |   | 2,932 |   |
|                                                      | 64,240                  |   |   | 64,384 |   |   | 63,380 |   |
| Benefits and expenses                                     | 52,995                  |   |   | 65,968 |   |   | 50,866 |   |
| Pre-tax operating income (loss)                           | $                       | 11,245 |   |   | $ | (1,584 | ) |   | $ | 12,514 |   |
|                                                      |                    |   |   |   |   |
| Other data                                                |                    |   |   |   |   |
| Variable premiums collected, net of reinsurance           | $                       | 103,413 |   |   | $ | 136,971 |   |   | $ | 181,309 |   |
| Policy liabilities and accruals, end of year              | 262,433                 |   |   | 255,921 |   |   | 229,285 |   |
| Separate account assets, end of year                      | 702,073                 |   |   | 577,420 |   |   | 862,738 |   |
| Direct life insurance in force, end of year (in millions) | 7,360                   |   |   | 7,698 |   |   | 7,846 |   |

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|                             | Year ended December 31, |
|----------------------------------|-------------------------|
|                             | 2009                    |   | 2008 |   | 2007 |
| Pre-tax operating loss           | (Dollars in thousands)  |
| Operating revenues:              |                    |   |   |   |   |
| Net investment income            | $                       | 9,255 |   |   | $ | 9,855 |   |   | $ | 14,744 |   |
| Derivative loss                  | (1,799                  | ) |   | — |   |   | — |   |
| Other income                     | 15,157                  |   |   | 23,158 |   |   | 23,607 |   |
|                             | 22,613                  |   |   | 33,013 |   |   | 38,351 |   |
| Interest expense                 | 25,280                  |   |   | 19,567 |   |   | 16,666 |   |
| Benefits and other expenses      | 20,400                  |   |   | 25,887 |   |   | 26,116 |   |
|                             | (23,067                 | ) |   | (12,441 | ) |   | (4,431 | ) |
| Noncontrolling interest          | 143                     |   |   | 71 |   |   | 49 |   |
| Equity income (loss), before tax | 1,154                   |   |   | (7 | ) |   | 2,362 |   |
| Pre-tax operating loss           | $                       | (21,770 | ) |   | $ | (12,377 | ) |   | $ | (2,020 | ) |

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|                                        | December 31, 2009      |       | December 31, 2008 |
|---------------------------------------------|------------------------|------------|-------------------|
|                                        | Carrying Value         |       | Percent           |   | Carrying Value |   | Percent |
|                                        | (Dollars in thousands) |
| Fixed maturities - available for sale:      |                   |       |              |   |   |   |   |
| Public                                      | $                      | 8,103,381  |              |   | 69.6 | % |   | $ | 7,406,964 |   |   | 68.3 | % |
| 144A private placement                      | 1,291,840              |       |              | 11.1 |   |   | 1,164,417 |   |   | 10.7 |   |
| Private placement                           | 469,380                |       |              | 4.0 |   |   | 394,062 |   |   | 3.6 |   |
| Total fixed maturities - available for sale | 9,864,601              |       |              | 84.7 |   |   | 8,965,443 |   |   | 82.6 |   |
| Equity securities                           | 60,154                 |       |              | 0.5 |   |   | 44,863 |   |   | 0.4 |   |
| Mortgage loans on real estate               | 1,293,936              |       |              | 11.1 |   |   | 1,381,854 |   |   | 12.8 |   |
| Derivative instruments                      | 44,023                 |       |              | 0.4 |   |   | 12,933 |   |   | 0.1 |   |
| Investment real estate                      | 16,563                 |       |              | 0.1 |   |   | 2,559 |   |   | 0.0 |   |
| Policy loans                                | 168,736                |       |              | 1.5 |   |   | 182,421 |   |   | 1.7 |   |
| Other long-term investments                 | 1,882                  |       |              | 0.0 |   |   | 1,527 |   |   | 0.0 |   |
| Short-term investments                      | 203,142                |       |              | 1.7 |   |   | 262,459 |   |   | 2.4 |   |
| Total investments                           | $                      | 11,653,037 |              |   | 100.0 | % |   | $ | 10,854,059 |   |   | 100.0 | % |

----

Table of Contents

| Credit Quality by NAIC Designation and Equivalent Rating |
|----------------------------------------------------------|
|                                                     |   |   |   |   |   |   |   |   |   |   |
|                                                     |   |   |   | December 31, 2009 |   | December 31, 2008 |
| NAIC Designation                                         |   | Equivalent Rating (1) |   | Carrying Value |   | Percent |   | Carrying Value |   | Percent |
|                                                     |   |   |   | (Dollars in thousands) |
| 1                                                        |   | AAA, AA, A |   | $ | 5,915,387 |   |   | 60.0 | % |   | $ | 5,382,110 |   |   | 60.0 | % |
| 2                                                        |   | BBB |   | 3,397,424 |   |   | 34.4 |   |   | 3,243,034 |   |   | 36.2 |   |
|                                                     |   | Total investment grade |   | 9,312,811 |   |   | 94.4 |   |   | 8,625,144 |   |   | 96.2 |   |
| 3                                                        |   | BB |   | 402,047 |   |   | 4.1 |   |   | 244,814 |   |   | 2.7 |   |
| 4                                                        |   | B |   | 86,311 |   |   | 0.9 |   |   | 40,565 |   |   | 0.5 |   |
| 5                                                        |   | CCC |   | 30,451 |   |   | 0.3 |   |   | 43,064 |   |   | 0.5 |   |
| 6                                                        |   | In or near default |   | 32,981 |   |   | 0.3 |   |   | 11,856 |   |   | 0.1 |   |
|                                                     |   | Total below investment grade |   | 551,790 |   |   | 5.6 |   |   | 340,299 |   |   | 3.8 |   |
|                                                     |   | Total fixed maturities - available for sale |   | $ | 9,864,601 |   |   | 100.0 | % |   | $ | 8,965,443 |   |   | 100.0 | % |

| (1 | ) |   | Equivalent ratings are generally based on those provided by nationally recognized rating agencies with some exceptions for certain residential mortgage and asset-backed securities where they are based on the expected loss of the security rather than the probability of default. |
|----|---|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Table of Contents

| Gross Unrealized Gains and Gross Unrealized Losses by Internal Industry Classification |
|----------------------------------------------------------------------------------------|
|                                                                                   |   |   |   |   |   |   |   |   |   |
|                                                                                   | December 31, 2009 |
|                                                                                   | Total CarryingValue |   | Carrying Valueof Securitieswith GrossUnrealizedGains |   | GrossUnrealizedGains |   | Carrying Valueof Securitieswith GrossUnrealizedLosses |   | GrossUnrealizedLosses |
|                                                                                   | (Dollars in thousands) |
| Corporate securities:                                                                  |   |   |   |   |   |   |   |   |   |
| Basic industrial                                                                       | $ | 406,541 |   |   | $ | 270,886 |   |   | $ | 19,254 |   |   | $ | 135,655 |   |   | $ | (20,000 | ) |
| Capital goods                                                                          | 320,176 |   |   | 256,139 |   |   | 16,844 |   |   | 64,037 |   |   | (7,902 | ) |
| Communications                                                                         | 190,423 |   |   | 164,464 |   |   | 9,739 |   |   | 25,959 |   |   | (1,241 | ) |
| Consumer cyclical                                                                      | 309,927 |   |   | 249,996 |   |   | 13,793 |   |   | 59,931 |   |   | (9,512 | ) |
| Consumer noncyclical                                                                   | 388,805 |   |   | 355,954 |   |   | 21,727 |   |   | 32,851 |   |   | (954 | ) |
| Energy                                                                                 | 571,587 |   |   | 379,842 |   |   | 25,998 |   |   | 191,745 |   |   | (11,407 | ) |
| Finance                                                                                | 1,437,932 |   |   | 435,019 |   |   | 17,674 |   |   | 1,002,913 |   |   | (167,168 | ) |
| Transportation                                                                         | 166,789 |   |   | 115,727 |   |   | 7,256 |   |   | 51,062 |   |   | (3,037 | ) |
| Utilities                                                                              | 1,169,778 |   |   | 859,918 |   |   | 54,533 |   |   | 309,860 |   |   | (17,389 | ) |
| Other                                                                                  | 145,517 |   |   | 120,041 |   |   | 8,763 |   |   | 25,476 |   |   | (2,962 | ) |
| Total corporate securities                                                             | 5,107,475 |   |   | 3,207,986 |   |   | 195,581 |   |   | 1,899,489 |   |   | (241,572 | ) |
| Mortgage and asset-backed securities                                                   | 2,726,406 |   |   | 1,274,361 |   |   | 43,043 |   |   | 1,452,045 |   |   | (326,207 | ) |
| United States Government and agencies                                                  | 139,467 |   |   | 61,255 |   |   | 4,620 |   |   | 78,212 |   |   | (2,543 | ) |
| State, municipal and other governments                                                 | 1,891,253 |   |   | 351,067 |   |   | 8,509 |   |   | 1,540,186 |   |   | (155,500 | ) |
| Total                                                                                  | $ | 9,864,601 |   |   | $ | 4,894,669 |   |   | $ | 251,753 |   |   | $ | 4,969,932 |   |   | $ | (725,822 | ) |

|                                   | December 31, 2008      |
|----------------------------------------|------------------------|
|                                   | Total CarryingValue    |   | Carrying Valueof Securitieswith GrossUnrealizedGains |   | GrossUnrealizedGains |   | Carrying Valueof Securitieswith GrossUnrealizedLosses |   | GrossUnrealizedLosses |
|                                   | (Dollars in thousands) |
| Corporate securities:                  |                   |   |   |   |   |   |   |   |   |
| Basic industrial                       | $                      | 392,589 |   |   | $ | 37,030 |   |   | $ | 1,446 |   |   | $ | 355,559 |   |   | $ | (93,674 | ) |
| Capital goods                          | 327,319                |   |   | 96,732 |   |   | 3,439 |   |   | 230,587 |   |   | (47,648 | ) |
| Communications                         | 199,115                |   |   | 45,318 |   |   | 1,123 |   |   | 153,797 |   |   | (28,345 | ) |
| Consumer cyclical                      | 324,794                |   |   | 74,075 |   |   | 2,123 |   |   | 250,719 |   |   | (64,147 | ) |
| Consumer noncyclical                   | 420,060                |   |   | 120,744 |   |   | 4,398 |   |   | 299,316 |   |   | (31,168 | ) |
| Energy                                 | 486,838                |   |   | 55,837 |   |   | 5,227 |   |   | 431,001 |   |   | (66,529 | ) |
| Finance                                | 1,236,170              |   |   | 109,759 |   |   | 4,796 |   |   | 1,126,411 |   |   | (542,692 | ) |
| Transportation                         | 184,040                |   |   | 52,005 |   |   | 4,385 |   |   | 132,035 |   |   | (20,040 | ) |
| Utilities                              | 1,138,789              |   |   | 273,806 |   |   | 16,452 |   |   | 864,983 |   |   | (120,489 | ) |
| Other                                  | 124,441                |   |   | 33,218 |   |   | 2,788 |   |   | 91,223 |   |   | (12,660 | ) |
| Total corporate securities             | 4,834,155              |   |   | 898,524 |   |   | 46,177 |   |   | 3,935,631 |   |   | (1,027,392 | ) |
| Mortgage and asset-backed securities   | 2,569,769              |   |   | 975,193 |   |   | 46,573 |   |   | 1,594,576 |   |   | (478,994 | ) |
| United States Government and agencies  | 250,893                |   |   | 217,379 |   |   | 12,891 |   |   | 33,514 |   |   | (4,031 | ) |
| State, municipal and other governments | 1,310,626              |   |   | 142,107 |   |   | 4,565 |   |   | 1,168,519 |   |   | (139,430 | ) |
| Total                                  | $                      | 8,965,443 |   |   | $ | 2,233,203 |   |   | $ | 110,206 |   |   | $ | 6,732,240 |   |   | $ | (1,649,847 | ) |

----

Table of Contents

| Credit Quality of Available-For-Sale Fixed Maturity Securities with Unrealized Losses |
|---------------------------------------------------------------------------------------|
|                                                                                  |   |   |   |   |   |   |   |   |   |   |
|                                                                                  |   |   |   | December 31, 2009 |
| NAIC Designation                                                                      |   | Equivalent Rating |   | Carrying Valueof Securitieswith GrossUnrealizedLosses |   | Percent of Total |   | GrossUnrealizedLosses |   | Percent of Total |
|                                                                                  |   |   |   | (Dollars in thousands) |
| 1                                                                                     |   | AAA, AA, A |   | $ | 3,189,335 |   |   | 64.2 | % |   | $ | (355,516 | ) |   | 49.0 | % |
| 2                                                                                     |   | BBB |   | 1,335,973 |   |   | 26.9 |   |   | (180,763 | ) |   | 24.9 |   |
|                                                                                  |   |   Total investment grade |   | 4,525,308 |   |   | 91.1 |   |   | (536,279 | ) |   | 73.9 |   |
| 3                                                                                     |   | BB |   | 315,603 |   |   | 6.3 |   |   | (56,456 | ) |   | 7.8 |   |
| 4                                                                                     |   | B |   | 78,226 |   |   | 1.6 |   |   | (55,791 | ) |   | 7.7 |   |
| 5                                                                                     |   | CCC |   | 27,357 |   |   | 0.5 |   |   | (42,419 | ) |   | 5.8 |   |
| 6                                                                                     |   | In or near default |   | 23,438 |   |   | 0.5 |   |   | (34,877 | ) |   | 4.8 |   |
|                                                                                  |   | Total below investment grade |   | 444,624 |   |   | 8.9 |   |   | (189,543 | ) |   | 26.1 |   |
|                                                                                  |   |      Total |   | $ | 4,969,932 |   |   | 100.0 | % |   | $ | (725,822 | ) |   | 100.0 | % |

|             |   |                                |   | December 31, 2008                                     |
|------------------|--------|-------------------------------------|--------|-------------------------------------------------------|
| NAIC Designation |   | Equivalent Rating                   |   | Carrying Valueof Securitieswith GrossUnrealizedLosses |   | Percent of Total |   | GrossUnrealizedLosses |   | Percent of Total |
|             |   |                                |   | (Dollars in thousands)                                |
| 1                |   | AAA, AA, A                          |   | $                                                     | 3,545,103 |   |   | 52.7 | % |   | $ | (740,675 | ) |   | 44.9 | % |
| 2                |   | BBB                                 |   | 2,890,656                                             |   |   | 42.9 |   |   | (738,512 | ) |   | 44.8 |   |
|             |   |   Total investment grade  |   | 6,435,759                                             |   |   | 95.6 |   |   | (1,479,187 | ) |   | 89.7 |   |
| 3                |   | BB                                  |   | 212,438                                               |   |   | 3.2 |   |   | (70,545 | ) |   | 4.3 |   |
| 4                |   | B                                   |   | 37,399                                                |   |   | 0.6 |   |   | (45,228 | ) |   | 2.7 |   |
| 5                |   | CCC                                 |   | 40,308                                                |   |   | 0.6 |   |   | (47,615 | ) |   | 2.9 |   |
| 6                |   | In or near default                  |   | 6,336                                                 |   |   | 0.1 |   |   | (7,272 | ) |   | 0.4 |   |
|             |   | Total below investment grade        |   | 296,481                                               |   |   | 4.4 |   |   | (170,660 | ) |   | 10.3 |   |
|             |   |      Total |   | $                                                     | 6,732,240 |   |   | 100.0 | % |   | $ | (1,649,847 | ) |   | 100.0 | % |

|                                      | December 31, 2009            |
|-------------------------------------------|------------------------------|
|                                      |                         |   | Amortized  Cost |   | Gross Unrealized Losses |
|                                      | Number  of Issuers |   | Market Valueis Less than75% of Cost |   | Market Value is75% or Greaterthan Cost |   | Market Valueis Less than75% of Cost |   | Market Value is75% or Greaterthan Cost |
|                                      | (Dollars in thousands)       |
| Three months or less                      | 188                          |   |   | $ | — |   |   | $ | 1,166,486 |   |   | $ | — |   |   | $ | (30,057 | ) |
| Greater than three months to six months   | 4                            |   |   | 42 |   |   | 9,906 |   |   | (15 | ) |   | (421 | ) |
| Greater than six months to nine months    | 13                           |   |   | 16,958 |   |   | 36,174 |   |   | (9,226 | ) |   | (3,236 | ) |
| Greater than nine months to twelve months | 12                           |   |   | 17,539 |   |   | 24,675 |   |   | (6,960 | ) |   | (1,552 | ) |
| Greater than twelve months                | 463                          |   |   | 844,621 |   |   | 3,579,353 |   |   | (350,096 | ) |   | (324,259 | ) |
| Total                                     |                         |   | $ | 879,160 |   |   | $ | 4,816,594 |   |   | $ | (366,297 | ) |   | $ | (359,525 | ) |

----

Table of Contents

|                                      | December 31, 2008            |
|-------------------------------------------|------------------------------|
|                                      |                         |   | Amortized  Cost |   | Gross Unrealized Losses |
|                                      | Number  of Issuers |   | Market Valueis Less than75% of Cost |   | Market Value is75% or Greaterthan Cost |   | Market Valueis Less than75% of Cost |   | Market Value is75% or Greaterthan Cost |
|                                      | (Dollars in thousands)       |
| Three months or less                      | 170                          |   |   | $ | 31,774 |   |   | $ | 784,689 |   |   | $ | (12,658 | ) |   | $ | (51,824 | ) |
| Greater than three months to six months   | 193                          |   |   | 75,356 |   |   | 1,024,158 |   |   | (28,791 | ) |   | (82,320 | ) |
| Greater than six months to nine months    | 262                          |   |   | 182,184 |   |   | 1,140,978 |   |   | (56,719 | ) |   | (111,013 | ) |
| Greater than nine months to twelve months | 143                          |   |   | 288,140 |   |   | 780,947 |   |   | (103,539 | ) |   | (97,928 | ) |
| Greater than twelve months                | 455                          |   |   | 1,733,949 |   |   | 2,339,912 |   |   | (785,180 | ) |   | (319,875 | ) |
| Total                                     |                         |   | $ | 2,311,403 |   |   | $ | 6,070,684 |   |   | $ | (986,887 | ) |   | $ | (662,960 | ) |

| Available-For-Sale Fixed Maturity Securities with Unrealized Losses by Maturity Date |
|--------------------------------------------------------------------------------------|
|                                                                                 |   |   |   |   |   |   |   |
|                                                                                 | December 31, 2009 |   | December 31, 2008 |
|                                                                                 | Carrying Valueof Securitieswith GrossUnrealizedLosses |   | GrossUnrealizedLosses |   | Carrying Valueof Securitieswith GrossUnrealizedLosses |   | GrossUnrealizedLosses |
|                                                                                 | (Dollars in thousands) |
| Due in one year or less                                                              | $ | 1,876 |   |   | $ | (116 | ) |   | $ | 43,483 |   |   | $ | (4,985 | ) |
| Due after one year through five years                                                | 241,292 |   |   | (19,491 | ) |   | 791,636 |   |   | (143,559 | ) |
| Due after five years through ten years                                               | 852,567 |   |   | (92,816 | ) |   | 2,037,451 |   |   | (514,869 | ) |
| Due after ten years                                                                  | 2,417,458 |   |   | (286,886 | ) |   | 2,260,568 |   |   | (506,966 | ) |
|                                                                                 | 3,513,193 |   |   | (399,309 | ) |   | 5,133,138 |   |   | (1,170,379 | ) |
| Mortgage and asset-backed securities                                                 | 1,452,045 |   |   | (326,207 | ) |   | 1,594,576 |   |   | (478,994 | ) |
| Redeemable preferred stocks                                                          | 4,694 |   |   | (306 | ) |   | 4,526 |   |   | (474 | ) |
| Total                                                                                | $ | 4,969,932 |   |   | $ | (725,822 | ) |   | $ | 6,732,240 |   |   | $ | (1,649,847 | ) |

----

Table of Contents

| Mortgage and Asset-Backed Securities by Type |                   |      |      |      |           |      |                            |
|----------------------------------------------|------------------------|-----------|-----------|-----------|----------------|-----------|---------------------------------|
|                                         |                   |      |      |      |           |      |                            |
|                                         | December 31, 2009      |
|                                         | Amortized Cost         |      | Par Value |      | Carrying Value |      | Percent ofFixed Maturities |
|                                         | (Dollars in thousands) |
| Residential mortgage-backed securities:      |                   |      |      |      |           |      |                            |
| Sequential                                   | $                      | 1,236,102 |      |      | $              | 1,252,293 |                            |   | $ | 1,148,038 |   |   | 11.6 | % |
| Pass-through                                 | 258,509                |      |      | 250,964   |           |      | 263,175                         |   |   | 2.7 |   |
| Planned and targeted amortization class      | 459,004                |      |      | 461,935   |           |      | 429,309                         |   |   | 4.4 |   |
| Other                                        | 39,471                 |      |      | 39,569    |           |      | 32,888                          |   |   | 0.3 |   |
| Total residential mortgage-backed securities | 1,993,086              |      |      | 2,004,761 |           |      | 1,873,410                       |   |   | 19.0 |   |
| Commercial mortgage-backed securities        | 785,729                |      |      | 810,995   |           |      | 720,123                         |   |   | 7.3 |   |
| Other asset-backed securities                | 230,755                |      |      | 290,104   |           |      | 132,873                         |   |   | 1.3 |   |
| Total mortgage and asset-backed securities   | $                      | 3,009,570 |      |      | $              | 3,105,860 |                            |   | $ | 2,726,406 |   |   | 27.6 | % |

|                                         | December 31, 2008      |
|----------------------------------------------|------------------------|
|                                         | Amortized Cost         |   | Par Value |   | Carrying Value |   | Percent ofFixed Maturities |
|                                         | (Dollars in thousands) |
| Residential mortgage-backed securities:      |                   |   |   |   |   |   |   |
| Sequential                                   | $                      | 1,237,035 |   |   | $ | 1,264,691 |   |   | $ | 1,068,869 |   |   | 11.9 | % |
| Pass-through                                 | 219,447                |   |   | 219,855 |   |   | 225,513 |   |   | 2.5 |   |
| Planned and targeted amortization class      | 508,133                |   |   | 513,373 |   |   | 464,296 |   |   | 5.2 |   |
| Other                                        | 40,086                 |   |   | 40,184 |   |   | 31,011 |   |   | 0.4 |   |
| Total residential mortgage-backed securities | 2,004,701              |   |   | 2,038,103 |   |   | 1,789,689 |   |   | 20.0 |   |
| Commercial mortgage-backed securities        | 799,546                |   |   | 819,030 |   |   | 640,236 |   |   | 7.1 |   |
| Other asset-backed securities                | 197,943                |   |   | 265,435 |   |   | 139,844 |   |   | 1.6 |   |
| Total mortgage and asset-backed securities   | $                      | 3,002,190 |   |   | $ | 3,122,568 |   |   | $ | 2,569,769 |   |   | 28.7 | % |

----

Table of Contents

| Mortgage and Asset-Backed Securities by Collateral Type |
|---------------------------------------------------------|
|                                                    |   |   |   |   |   |   |   |   |   |   |   |
|                                                    | December 31, 2009 |   | December 31, 2008 |
|                                                    | Amortized Cost |   | Carrying Value |   | Percent of FixedMaturities |   | Amortized Cost |   | Carrying Value |   | Percent of FixedMaturities |
|                                                    | (Dollars in thousands) |
| Government agency                                       | $ | 687,079 |   |   | $ | 707,166 |   |   | 7.2 | % |   | $ | 557,311 |   |   | $ | 579,489 |   |   | 6.5 | % |
| Prime                                                   | 937,677 |   |   | 862,870 |   |   | 8.6 |   |   | 1,068,716 |   |   | 913,772 |   |   | 10.2 |   |
| Alt-A                                                   | 521,911 |   |   | 390,352 |   |   | 4.0 |   |   | 524,264 |   |   | 397,556 |   |   | 4.5 |   |
| Subprime                                                | 30,119 |   |   | 20,383 |   |   | 0.2 |   |   | 30,133 |   |   | 20,311 |   |   | 0.2 |   |
| Commercial mortgage                                     | 785,729 |   |   | 720,123 |   |   | 7.3 |   |   | 799,546 |   |   | 640,236 |   |   | 7.1 |   |
| Non-mortgage                                            | 47,055 |   |   | 25,512 |   |   | 0.3 |   |   | 22,220 |   |   | 18,405 |   |   | 0.2 |   |
| Total                                                   | $ | 3,009,570 |   |   | $ | 2,726,406 |   |   | 27.6 | % |   | $ | 3,002,190 |   |   | $ | 2,569,769 |   |   | 28.7 | % |

|           | December 31, 2009      |
|----------------|------------------------|
|           | Government & Prime |   | Alt-A |   | Total |
|           | AmortizedCost (1)      |   | CarryingValue |   | AmortizedCost (1) |   | CarryingValue |   | AmortizedCost |   | CarryingValue |
|           | (Dollars in thousands) |
| 2009           | $                      | 185,339 |   |   | $ | 185,850 |   |   | $ | — |   |   | $ | — |   |   | $ | 185,339 |   |   | $ | 185,850 |   |
| 2008           | 127,442                |   |   | 132,204 |   |   | — |   |   | — |   |   | 127,442 |   |   | 132,204 |   |
| 2007           | 71,256                 |   |   | 67,363 |   |   | 58,958 |   |   | 33,113 |   |   | 130,214 |   |   | 100,476 |   |
| 2006           | 84,822                 |   |   | 72,193 |   |   | 22,445 |   |   | 11,861 |   |   | 107,267 |   |   | 84,054 |   |
| 2005           | 61,246                 |   |   | 61,404 |   |   | — |   |   | — |   |   | 61,246 |   |   | 61,404 |   |
| 2004 and prior | 1,072,170              |   |   | 1,041,311 |   |   | 309,408 |   |   | 268,111 |   |   | 1,381,578 |   |   | 1,309,422 |   |
| Total          | $                      | 1,602,275 |   |   | $ | 1,560,325 |   |   | $ | 390,811 |   |   | $ | 313,085 |   |   | $ | 1,993,086 |   |   | $ | 1,873,410 |   |

----

Table of Contents

|           | December 31, 2008      |
|----------------|------------------------|
|           | Government & Prime |   | Alt-A |   | Total |
|           | AmortizedCost (1)      |   | CarryingValue |   | AmortizedCost (1) |   | CarryingValue |   | AmortizedCost |   | CarryingValue |
|           | (Dollars in thousands) |
| 2008           | $                      | 63,195 |   |   | $ | 67,391 |   |   | $ | — |   |   | $ | — |   |   | $ | 63,195 |   |   | $ | 67,391 |   |
| 2007           | 120,089                |   |   | 117,851 |   |   | 60,265 |   |   | 32,723 |   |   | 180,354 |   |   | 150,574 |   |
| 2006           | 117,671                |   |   | 106,016 |   |   | 22,436 |   |   | 11,099 |   |   | 140,107 |   |   | 117,115 |   |
| 2005           | 28,517                 |   |   | 27,581 |   |   | — |   |   | — |   |   | 28,517 |   |   | 27,581 |   |
| 2004 and prior | 1,273,488              |   |   | 1,162,275 |   |   | 319,040 |   |   | 264,753 |   |   | 1,592,528 |   |   | 1,427,028 |   |
| Total          | $                      | 1,602,960 |   |   | $ | 1,481,114 |   |   | $ | 401,741 |   |   | $ | 308,575 |   |   | $ | 2,004,701 |   |   | $ | 1,789,689 |   |

| (1) |   | Insurance on 2006 Alt-A issues is provided by MBIA Insurance Corporation (78% in 2009 and 2008). Insurance on 2007 Alt-A issues is provided by Assured Guaranty Ltd. (33% in 2009 and 32% in 2008) and MBIA Insurance Corporation (26% in 2009 and 25% in 2008). There is no insurance coverage on Government & Prime investments or Alt-A investments with collateral originating prior to 2006. |
|-----|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |   |                   |   | December 31, 2009      |      | December 31, 2008 |
|-----------------|--------|------------------------|--------|------------------------|-----------|-------------------|
| NAICDesignation |   | Equivalent Rating      |   | Carrying Value         |      | Percent ofTotal   |   | Carrying Value |   | Percent ofTotal |
|            |   |                   |   | (Dollars in thousands) |
| 1               |   | AAA, AA, A             |   | $                      | 1,770,168 |              |   | 94.5 | % |   | $ | 1,748,629 |   |   | 97.7 | % |
| 2               |   | BBB                    |   | 70,876                 |      |              | 3.8 |   |   | 7,281 |   |   | 0.4 |   |
|            |   | Total investment grade |   | 1,841,044              |      |              | 98.3 |   |   | 1,755,910 |   |   | 98.1 |   |
| 3               |   | BB                     |   | 28,887                 |      |              | 1.5 |   |   | 17,326 |   |   | 1.0 |   |
| 4               |   | B                      |   | 3,479                  |      |              | 0.2 |   |   | 16,453 |   |   | 0.9 |   |
|            |   | Total                  |   | $                      | 1,873,410 |              |   | 100.0 | % |   | $ | 1,789,689 |   |   | 100.0 | % |

|           | December 31, 2009      |    | December 31, 2008 |
|----------------|------------------------|---------|-------------------|
|           | Amortized Cost         |    | Carrying Value    |   | Amortized Cost |   | Carrying Value |
|           | (Dollars in thousands) |
| 2008           | $                      | 222,978 |              |   | $ | 231,212 |   |   | $ | 197,725 |   |   | $ | 196,908 |   |
| 2007           | 184,515                |    |              | 148,342 |   |   | 194,169 |   |   | 114,816 |   |
| 2006           | 143,982                |    |              | 116,570 |   |   | 170,452 |   |   | 117,606 |   |
| 2005           | 74,563                 |    |              | 66,627 |   |   | 56,220 |   |   | 41,877 |   |
| 2004 and prior | 159,691                |    |              | 157,372 |   |   | 180,980 |   |   | 169,029 |   |
| Total          | $                      | 785,729 |              |   | $ | 720,123 |   |   | $ | 799,546 |   |   | $ | 640,236 |   |

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| Commercial Mortgage-Backed Securities by NAIC Designation and Equivalent Rating |
|---------------------------------------------------------------------------------|
|                                                                            |   |   |   |   |   |   |   |   |   |   |
|                                                                            |   |   |   | December 31, 2009 |   | December 31, 2008 |
| NAICDesignation                                                                 |   | Equivalent Rating |   | Carrying Value |   | Percent of Total |   | Carrying Value |   | Percent of Total |
|                                                                            |   |   |   | (Dollars in thousands) |
| 1                                                                               |   | GNMA |   | $ | 338,438 |   |   | 47.0 | % |   | $ | 386,634 |   |   | 60.4 | % |
| 1                                                                               |   | FNMA |   | 15,786 |   |   | 2.2 |   |   | 15,611 |   |   | 2.4 |   |
| 1                                                                               |   | AAA, AA, A |   |   |   |   |   |   |   |   |
|                                                                            |   | Generic |   | 68,076 |   |   | 9.5 |   |   | 19,726 |   |   | 3.1 |   |
|                                                                            |   | Super Senior |   | 179,361 |   |   | 24.9 |   |   | 103,951 |   |   | 16.2 |   |
|                                                                            |   | Mezzanine |   | 27,833 |   |   | 3.9 |   |   | 62,823 |   |   | 9.8 |   |
|                                                                            |   | Junior |   | 78,821 |   |   | 10.9 |   |   | 41,662 |   |   | 6.5 |   |
|                                                                            |   | Total AAA, AA, A |   | 354,091 |   |   | 49.2 |   |   | 228,162 |   |   | 35.6 |   |
| 2                                                                               |   | BBB |   | 3,985 |   |   | 0.5 |   |   | 9,349 |   |   | 1.5 |   |
| 4                                                                               |   | B |   | 7,434 |   |   | 1.0 |   |   | — |   |   | — |   |
| 5                                                                               |   | CCC |   | — |   |   | — |   |   | 480 |   |   | 0.1 |   |
| 6                                                                               |   | In or near default |   | 389 |   |   | 0.1 |   |   | — |   |   | — |   |
|                                                                            |   | Total |   | $ | 720,123 |   |   | 100.0 | % |   | $ | 640,236 |   |   | 100.0 | % |

|           | December 31, 2009      |
|----------------|------------------------|
|           | Government & Prime |   | Alt-A |   | Subprime |   | Non-Mortgage |   | Total |
|           | AmortizedCost (1)      | Carrying Value |   | AmortizedCost (1) | Carrying Value |   | AmortizedCost (1) | Carrying Value |   | AmortizedCost | CarryingValue |   | AmortizedCost | Carrying Value |
|           | (Dollars in thousands) |
| 2009           | $                      | — |   | $ | — |   |   | $ | — |   | $ | — |   |   | $ | — |   | $ | — |   |   | $ | 4,999 |   | $ | 4,983 |   |   | $ | 4,999 |   | $ | 4,983 |   |
| 2007           | 9,982                  |   | 2,596 |   |   | 18,853 |   | 7,979 |   |   | — |   | — |   |   | 7,065 |   | 5,999 |   |   | 35,900 |   | 16,574 |   |
| 2006           | 9,748                  |   | 4,322 |   |   | 77,612 |   | 42,621 |   |   | — |   | — |   |   | — |   | — |   |   | 87,360 |   | 46,943 |   |
| 2005           | —                |   | — |   |   | 23,845 |   | 20,376 |   |   | 30,119 |   | 20,383 |   |   | 8,831 |   | 100 |   |   | 62,795 |   | 40,859 |   |
| 2004 and prior | 2,751                  |   | 2,793 |   |   | 10,790 |   | 6,291 |   |   | — |   | — |   |   | 26,160 |   | 14,430 |   |   | 39,701 |   | 23,514 |   |
| Total          | $                      | 22,481 |   | $ | 9,711 |   |   | $ | 131,100 |   | $ | 77,267 |   |   | $ | 30,119 |   | $ | 20,383 |   |   | $ | 47,055 |   | $ | 25,512 |   |   | $ | 230,755 |   | $ | 132,873 |   |

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|           | December 31, 2008      |
|----------------|------------------------|
|           | Government & Prime |   | Alt-A |   | Subprime |   | Non-Mortgage |   | Total |
|           | AmortizedCost (1)      | Carrying Value |   | AmortizedCost (1) | Carrying Value |   | AmortizedCost (1) | Carrying Value |   | AmortizedCost | CarryingValue |   | AmortizedCost | Carrying Value |
|           | (Dollars in thousands) |
| 2007           | $                      | 9,989 |   | $ | 2,820 |   |   | $ | 17,442 |   | $ | 9,140 |   |   | $ | — |   | $ | — |   |   | $ | 7,091 |   | $ | 4,465 |   |   | $ | 34,522 |   | $ | 16,425 |   |
| 2006           | 9,726                  |   | 5,966 |   |   | 66,826 |   | 45,740 |   |   | — |   | — |   |   | — |   | — |   |   | 76,552 |   | 51,706 |   |
| 2005           | —                |   | — |   |   | 26,653 |   | 25,068 |   |   | 30,133 |   | 20,311 |   |   | — |   | — |   |   | 56,786 |   | 45,379 |   |
| 2004 and prior | 3,352                  |   | 3,361 |   |   | 11,602 |   | 9,033 |   |   | — |   | — |   |   | 15,129 |   | 13,940 |   |   | 30,083 |   | 26,334 |   |
| Total          | $                      | 23,067 |   | $ | 12,147 |   |   | $ | 122,523 |   | $ | 88,981 |   |   | $ | 30,133 |   | $ | 20,311 |   |   | $ | 22,220 |   | $ | 18,405 |   |   | $ | 197,943 |   | $ | 139,844 |   |

| (1) |   | Insurance on 2006 Alt-A issues is provided by Financial Guaranty Insurance Co. (44% in 2009 and 38% in 2008) and AMBAC Assurance Corporation (30% in 2009 and 34% in 2008). Insurance on 2007 Alt-A issues is provided by AMBAC Assurance Corporation (53% in 2009 and 57% in 2008), MBIA Insurance Corporation (27% in 2009 and 29% in 2008) and Financial Guaranty Insurance Co. (21% in 2009 and 14% in 2008). The 2006 and 2007 Government & Prime issues are 100% insured by AMBAC Assurance Corporation (2006 issues) and MBIA Insurance Corporation (2007 issues). There is no insurance coverage on other asset-backed securities with subprime or non-mortgage collateral or on collateral originating prior to 2006. |
|-----|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Other Asset-Backed Securities by NAIC Designation and Equivalent Rating |   |               |
|-------------------------------------------------------------------------|--------|--------------------|
|                                                                    |   |               |   |   |   |   |   |   |   |   |
|                                                                    |   |               |   | December 31, 2009 |   | December 31, 2008 |
| NAICDesignation                                                         |   | Equivalent Ratings |   | CarryingValue |   | Percent ofTotal |   | CarryingValue |   | Percent of Total |
|                                                                    |   |               |   | (Dollars in thousands) |
| 1                                                                       |   | AAA, AA, A         |   | $ | 108,737 |   |   | 81.8 | % |   | $ | 81,767 |   |   | 58.5 | % |
| 2                                                                       |   | BBB                |   | 7,199 |   |   | 5.4 |   |   | 36,337 |   |   | 26.0 |   |
| 3                                                                       |   | BB                 |   | 457 |   |   | 0.3 |   |   | 11,666 |   |   | 8.3 |   |
| 4                                                                       |   | B                  |   | 8,557 |   |   | 6.5 |   |   | 2,615 |   |   | 1.9 |   |
| 5                                                                       |   | CCC                |   | 7,050 |   |   | 5.3 |   |   | 4,894 |   |   | 3.5 |   |
| 6                                                                       |   | In or near default |   | 873 |   |   | 0.7 |   |   | 2,565 |   |   | 1.8 |   |
|                                                                    |   | Total              |   | $ | 132,873 |   |   | 100.0 | % |   | $ | 139,844 |   |   | 100.0 | % |

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| Residential Mortgage-Backed Securities and Other Asset-Backed Securities by Insurance |
|---------------------------------------------------------------------------------------|
|                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                  |   |   | December 31, 2009 |   | December 31, 2008 |
|                                                                                  | Insurers' S&PRating (1) |   | ResidentialMortgage-Backed |   | Other Asset-Backed |   | TotalCarryingValue |   | ResidentialMortgage-Backed |   | Other Asset-Backed |   | TotalCarryingValue |
| Insured:                                                                              |   |   | (Dollars in thousands) |
| AMBAC Assurance Corporation                                                           | CC |   | $ | — |   |   | $ | 16,674 |   |   | $ | 16,674 |   |   | $ | — |   |   | $ | 18,380 |   |   | $ | 18,380 |   |
| Assured Guaranty Ltd.                                                                 | AAA |   | 9,569 |   |   | — |   |   | 9,569 |   |   | 11,608 |   |   | — |   |   | 11,608 |   |
| Financial Guaranty Insurance Co.                                                      | NR (2) |   | — |   |   | 24,184 |   |   | 24,184 |   |   | — |   |   | 27,239 |   |   | 27,239 |   |
| MBIA Insurance Corporation                                                            | BB+ |   | 14,192 |   |   | 11,104 |   |   | 25,296 |   |   | 15,762 |   |   | 10,558 |   |   | 26,320 |   |
| Total with insurance                                                                  |   | 23,761 |   |   | 51,962 |   |   | 75,723 |   |   | 27,370 |   |   | 56,177 |   |   | 83,547 |   |
| Uninsured:                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  GNMA                                                                            |   |   | 306,021 |   |   | — |   |   | 306,021 |   |   | 187,682 |   |   | — |   |   | 187,682 |   |
|  FHLMC                                                                           |   |   | 251,499 |   |   | 2,751 |   |   | 254,250 |   |   | 257,810 |   |   | 3,226 |   |   | 261,036 |   |
|  FNMA                                                                            |   |   | 146,835 |   |   | 41 |   |   | 146,876 |   |   | 130,613 |   |   | 135 |   |   | 130,748 |   |
|  Other                                                                           |   |   | 1,145,294 |   |   | 78,119 |   |   | 1,223,413 |   |   | 1,186,215 |   |   | 80,306 |   |   | 1,266,521 |   |
| Total                                                                                 |   |   | $ | 1,873,410 |   |   | $ | 132,873 |   |   | $ | 2,006,283 |   |   | $ | 1,789,690 |   |   | $ | 139,844 |   |   | $ | 1,929,534 |   |

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| Mortgage Loans by Collateral Type |
|-----------------------------------|
|                              |   |   |   |   |   |   |   |   |
|                              |   | December 31, 2009 |   | December 31, 2008 |
| Collateral Type                   |   | Carrying Value |   | Percent ofTotal |   | Carrying Value |   | Percent ofTotal |
|                              |   | (Dollars in thousands) |
| Retail                            |   | $ | 449,159 |   |   | 34.7 | % |   | $ | 467,942 |   |   | 33.8 | % |
| Office                            |   | 410,723 |   |   | 31.7 |   |   | 466,068 |   |   | 33.7 |   |
| Industrial                        |   | 402,239 |   |   | 31.1 |   |   | 418,050 |   |   | 30.3 |   |
| Other                             |   | 31,815 |   |   | 2.5 |   |   | 29,794 |   |   | 2.2 |   |
| Total                             |   | $ | 1,293,936 |   |   | 100.0 | % |   | $ | 1,381,854 |   |   | 100.0 | % |

| Mortgage Loans by Geographic Location within the United States |
|----------------------------------------------------------------|
|                                                           |   |   |   |   |   |   |   |   |
|                                                           |   | December 31, 2009 |   | December 31, 2008 |
| Region of the United States                                    |   | Carrying Value |   | Percent ofTotal |   | Carrying Value |   | Percent ofTotal |
|                                                           |   | (Dollars in thousands) |
| South Atlantic                                                 |   | $ | 331,441 |   |   | 25.6 | % |   | $ | 341,728 |   |   | 24.8 | % |
| East North Central                                             |   | 247,298 |   |   | 19.1 |   |   | 269,876 |   |   | 19.5 |   |
| Pacific                                                        |   | 243,966 |   |   | 18.9 |   |   | 261,581 |   |   | 18.9 |   |
| West North Central                                             |   | 165,468 |   |   | 12.8 |   |   | 172,283 |   |   | 12.5 |   |
| Mountain                                                       |   | 117,267 |   |   | 9.1 |   |   | 132,649 |   |   | 9.6 |   |
| West South Central                                             |   | 65,297 |   |   | 5.0 |   |   | 69,582 |   |   | 5.0 |   |
| Other                                                          |   | 123,199 |   |   | 9.5 |   |   | 134,155 |   |   | 9.7 |   |
| Total                                                          |   | $ | 1,293,936 |   |   | 100.0 | % |   | $ | 1,381,854 |   |   | 100.0 | % |

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| Mortgage Loans by Loan-to-Value Ratio (1) |
|-------------------------------------------|
|                                      |   |   |   |   |   |   |   |
|                                      | December 31, 2009 |   | December 31, 2008 |
|                                      | GrossCarrying Value |   | Percent ofTotal |   | Carrying Value |   | Percent ofTotal |
|                                      | (Dollars in thousands) |
| 0% - 50%                                  | $ | 378,082 |   |   | 29.2 | % |   | $ | 330,144 |   |   | 23.9 | % |
| 50% - 60%                                 | 303,357 |   |   | 23.5 |   |   | 269,816 |   |   | 19.5 |   |
| 60% - 70%                                 | 453,170 |   |   | 35.0 |   |   | 474,436 |   |   | 34.3 |   |
| 70% - 80%                                 | 130,258 |   |   | 10.1 |   |   | 267,159 |   |   | 19.3 |   |
| 80% - 90%                                 | 23,835 |   |   | 1.8 |   |   | 34,904 |   |   | 2.5 |   |
| 90% - 100%                                | 5,234 |   |   | 0.4 |   |   | 5,395 |   |   | 0.4 |   |
| Total                                     | $ | 1,293,936 |   |   | 100.0 | % |   | $ | 1,381,854 |   |   | 100.0 | % |

| Mortgage Loans by Year of Origination |
|---------------------------------------|
|                                  |   |   |   |   |   |   |   |
|                                  | December 31, 2009 |   | December 31, 2008 |
|                                  | Carrying Value |   | Percent ofTotal |   | Carrying Value |   | Percent ofTotal |
|                                  | (Dollars in thousands) |
| 2008                                  | $ | 201,714 |   |   | 15.6 | % |   | $ | 205,925 |   |   | 14.9 | % |
| 2007                                  | 284,327 |   |   | 22.0 |   |   | 291,261 |   |   | 21.1 |   |
| 2006                                  | 188,007 |   |   | 14.5 |   |   | 197,153 |   |   | 14.3 |   |
| 2005                                  | 131,746 |   |   | 10.2 |   |   | 136,753 |   |   | 9.9 |   |
| 2004 and prior                        | 488,142 |   |   | 37.7 |   |   | 550,762 |   |   | 39.9 |   |
| Total                                 | $ | 1,293,936 |   |   | 100.0 | % |   | $ | 1,381,854 |   |   | 100.0 | % |

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|  |   | The average life of the portfolio.                                                                                                                                     |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  |   | The amount and speed at which market interest rates rise or fall.                                                                                                      |
|  |   | The amount by which bond calls, mortgage loan prepayments and paydowns on mortgage and asset-backed securities accelerate during periods of declining interest rates.  |
|  |   | The amount by which bond calls, mortgage loan prepayments and paydowns on mortgage and asset-backed securities decelerate during periods of increasing interest rates. |

| Interest Crediting Rates of Fixed Rate Individual Deferred Annuities and Interest Sensitive Life ProductsCompared to Guarantees                         |
|---------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                    | Account Value at December 31, 2009 |
|                                                                                                                                                    | Direct (1) |   | AssumedCoinsurance |
|                                                                                                                                                    | (Dollars in thousands) |
| At guaranteed rate (2)                                                                                                                                  | $ | 731,402 |   |   | $ | 32,112 |   |
| Between guaranteed rate and 50 basis points over guaranteed rate                                                                                        | 617,997 |   |   | 320,078 |   |
| Between 50 basis points and 100 basis points over guaranteed rate                                                                                       | 630,568 |   |   | 16,637 |   |
| Greater than 100 basis points over guaranteed rate                                                                                                      | 3,004,388 |   |   | 12,658 |   |
| Total                                                                                                                                                   | $ | 4,984,355 |   |   | $ | 381,485 |   |
|                                                                                                                                                    |   |   |   |
| (1) Includes the general account portion of variable contracts.                                                                                         |   |   |   |
| (2) Direct business includes $626.6 million of interest sensitive life products that are less sensitive to interest rate changes than annuity products. |

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|                                                      | Reserve Balance at December 31, 2009 |
|-----------------------------------------------------------|--------------------------------------|
|                                                      | Direct                               |   | AssumedCoinsurance |
|                                                      | (Dollars in thousands)               |
| Surrender charge rate before any market value adjustment: |                                 |   |   |
| Greater than or equal to 5%                               | $                                    | 5,926,698 |   |   | $ | 1,122,736 |   |
| Less than 5%, but still subject to surrender charge       | 998,792                              |   |   | 201,366 |   |
| Not subject to surrender charge                           | 1,881,398                            |   |   | — |   |
| Not subject to surrender or discretionary withdrawal      | 463,088                              |   |   | — |   |
| Total                                                     | $                                    | 9,269,976 |   |   | $ | 1,324,102 |   |

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|  | The increase in U.S. Treasury rates causing an increase in effective surrender charges.                                                                                                                                                                                                                |
|--|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  | Conservation efforts to reduce the surrender activity.                                                                                                                                                                                                                                                 |
|  | Much of the historical surrender activity was driven by independent agents to transfer the business to another company for an additional commission.  Many of the agents inclined to use such sales techniques have already transferred the business of customers willing to exchange their contracts. |
|  | We have terminated certain agents that excessively promoted surrender and exchange activity.                                                                                                                                                                                                           |

|                          | December 31, 2009      |      | December 31, 2008      |
|-------------------------------|------------------------|-----------|------------------------|
|                          | Fixed Index Annuities  |      | Fixed Rate Annuities   |   | Fixed Index Annuities |   | Fixed Rate Annuities |
|                          | (Dollars in thousands) |      | (Dollars in thousands) |
| Surrender charge              | $                      | 528,603   |                   |   | $ | 228,399 |   |   | $ | 656,256 |   |   | $ | 218,634 |   |
| Market value adjustment       | (95,379                | )         |                   | (84,731 | ) |   | (574,304 | ) |   | (172,237 | ) |
| Net effective charge          | $                      | 433,224   |                   |   | $ | 143,668 |   |   | $ | 81,952 |   |   | $ | 46,397 |   |
|                          |                   |      |                   |   |   |   |   |
| Account value                 | $                      | 3,109,412 |                   |   | $ | 2,525,732 |   |   | $ | 3,677,428 |   |   | $ | 2,366,859 |   |
| Level of surrender protection | 13.9                   | %         |                   | 5.7 | % |   | 2.2 | % |   | 2.0 | % |
| U.S. Treasury Rate (1)   | 3.85                   | %         |                   | 2.69 | % |   | 2.25 | % |   | 1.55 | % |

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|  | We earn investment management fees (on those investments managed by us) and mortality and expense fee income based on the value of our separate accounts. On an annualized basis, the investment management fee rates range from 0.20% to 0.45% for 2009, 2008 and 2007. The annual mortality and expense fee rates range from 0.00% to 1.44% for 2009 and 2008 and 0.90% to 1.40% for 2007. As a result, revenues from these sources do fluctuate with changes in the fair value of the equity, fixed maturity and other securities held by the separate accounts.  |
|--|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  | We have equity price risk to the extent we may owe amounts under the guaranteed minimum death benefit and guaranteed minimum income benefit provisions of our variable annuity contracts.  See Note 5 to our consolidated financial statements for additional discussion of these provisions.                                                                                                                                                                                                                                                                                  |
|  | The amortization of deferred policy acquisition costs on our variable business can fluctuate with changes in the performance of the underlying separate accounts.  See the Variable Segment discussion above for additional discussion of this amortization.                                                                                                                                                                                                                                                                                                                        |
|  | As discussed above, our profitability would be impacted if there were little or no gains in the entire series of options purchased over the expected life of an index annuity contract.                                                                                                                                                                                                                                                                                                                                                                                             |

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|                                                                        | Payments Due by Period |
|-----------------------------------------------------------------------------|------------------------|
|                                                                        | Total                  |   | Less than 1 year |   | 1 - 3 years |   | 4 - 5 years |   | After 5 years |
|                                                                        | (Dollars in thousands) |
| Contractual Obligations:                                                    |                   |   |   |   |   |   |   |   |   |
| Insurance liabilities (1)                                                   | $                      | 21,198,411 |   |   | $ | 1,362,814 |   |   | $ | 3,141,279 |   |   | $ | 2,648,336 |   |   | $ | 14,045,982 |   |
| Subordinated note payable to Capital Trust, including interest payments (2) | 278,875                |   |   | 4,850 |   |   | 9,700 |   |   | 9,700 |   |   | 254,625 |   |
| 2017 Senior Notes, including interest payments                              | 144,063                |   |   | 5,875 |   |   | 11,750 |   |   | 11,750 |   |   | 114,688 |   |
| 2014 Senior Notes, including interest payments                              | 94,744                 |   |   | 4,388 |   |   | 8,775 |   |   | 81,581 |   |   | — |   |
| 2011 Senior Notes, including interest payments                              | 117,087                |   |   | 9,250 |   |   | 107,837 |   |   | — |   |   | — |   |
| Home office operating leases                                                | 8,682                  |   |   | 2,671 |   |   | 5,343 |   |   | 668 |   |   | — |   |
| Purchase obligations                                                        | 12,459                 |   |   | 9,735 |   |   | 2,443 |   |   | 281 |   |   | — |   |
| Mortgage Loan Funding                                                       | 2,700                  |   |   | 2,700 |   |   | — |   |   | — |   |   | — |   |
| Other long-term liabilities (3)                                             | 28,324                 |   |   | 13,314 |   |   | 3,750 |   |   | 4,878 |   |   | 6,382 |   |
| Total                                                                       | $                      | 21,885,345 |   |   | $ | 1,415,597 |   |   | $ | 3,290,877 |   |   | $ | 2,757,194 |   |   | $ | 14,421,677 |   |

| (1 | ) |   | Amounts shown in this table are projected payments through the year 2058 which we are contractually obligated to pay to our life insurance and annuity contract holders. The payments are derived from actuarial models which assume a level interest rate scenario and incorporate assumptions regarding mortality and persistency when applicable. These assumptions are based on our historical experience. The total of the contractual obligations relating to insurance contracts noted above differs from the liability balance on our consolidated balance sheet as follows: |
|----|---|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                              | ContractualObligations |       | Balance SheetCarrying Value |       | Difference |
|-------------------------------------------------------------------|------------------------|------------|-----------------------------|------------|------------|
|                                                              | (Dollars in thousands) |
| (a) Reserves based on account values, including separate accounts | $                      | 16,051,314 |                        |       | $          | 10,712,903 |   |   | $ | 5,338,411 |   |
| (c) Supplementary contracts involving life contingencies          | 290,227                |       |                        | 138,675    |       |   | 151,552 |   |
|                                                              | 16,341,541             |       |                        | 10,851,578 |       |   | 5,489,963 |   |
| (b) Traditional life insurance and accident and health products   | 4,167,753              |       |                        | 1,318,834  |       |   | 2,848,919 |   |
| (c) Supplementary contracts without life contingencies            | 396,843                |       |                        | 502,553    |       |   | (105,710 | ) |
| Total                                                             | $                      | 20,906,137 |                        |       | $          | 12,672,965 |   |   | $ | 8,233,172 |   |

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|   | The more significant factors causing this difference include: |
|--------|---------------------------------------------------------------|
|   |                                                          |   |   |
|   | (a)                                                           |   | reserves for products such as annuities and universal life products are generally based on the account values of the contracts without taking into account surrender charges, while the contractual obligations table includes projected cash payments. The following are the reconciling items between these balances (dollars in thousands): |

| Reserves based on account values, including separate accounts, per table above  | $         | 10,712,903 |   |
|---------------------------------------------------------------------------------|-----------|------------|--------|
| Projected amounts pertaining to:                                                |      |
| Accumulation of interest/index credits                                          | 4,778,868 |       |
| Surrender charges                                                               | (198,654  | )          |
| Death benefits on universal life business in excess of projected account values | 1,207,093 |       |
| Net cost of insurance charges on variable and universal life business           | (555,297  | )          |
| Other, net                                                                      | 106,401   |       |
| Contractual obligations per table above                                         | $         | 16,051,314 |   |

|   | (b)                                                                                                                                                                                                                                                               |   | traditional life reserves are computed as the present value of future benefits less the present value of future premiums while the contractual obligations table includes gross benefit payments and   |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                              |   |                                                                                                                                                                                                   |
|   | (c)                                                                                                                                                                                                                                                               |   | reserves for supplementary contracts and similar instruments are computed as the present value of future cash payments while the table above includes cash payments without the impact of discounting. |
|   |                                                                                                                                                                                                                                                              |   |                                                                                                                                                                                                   |
|   | In addition, contractual obligations totaling $291.7 million relating to dividend accumulations and other policy claims are included in the "Other policy claims and benefits" and "Advance premiums and other deposits" lines on our consolidated balance sheet. |

| (2)    |   | Amount shown is net of $3.0 million equity investment in the Capital Trust due to the contractual right of setoff upon repayment of the note.                                                                                                                                                                          |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                   |
| (3)    |   | Includes our estimated future contributions to multiemployer defined benefit plans. Contributions related to the qualified pension plan are included through 2010. No amounts related to the qualified pension plan are included beyond 2010 as the contribution amounts will be re-evaluated based on actual results. |

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| Balance Sheet Caption                                            | Description of Critical Estimate                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Assumptions / Approach Used                                                                                                                                                                                                                                                                                                                                          | Effect if Different Assumptions / Approach Used                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Fixed maturities - available for sale                            | Excluding U.S. Government treasury securities, very few of our fixed maturity securities trade on the balance sheet date. For those securities without a trade on the balance sheet date, fair values are determined using valuation processes that require judgment.                                                                                                                                                                                                                                                                                                                                                                                                                                                  | Fair values are obtained primarily from a variety of independent pricing sources, whose results we evaluate internally.  Details regarding valuation techniques and processes are summarized in Note 1, "Significant Accounting Policies - Investments - Fair Values," and Note 4, "Fair Values of Financial Instruments," to our consolidated financial statements. | At December 31, 2009, our fixed maturity securities classified as available for sale had a fair value of $9,864.6 million, with gross unrealized gains totaling $251.8 million and gross unrealized losses totaling $725.8 million. Due to the large number of fixed maturity securities held, the unique attributes of each security and the complexity of valuation methods, it is not practical to estimate a potential range of fair values for different assumptions and methods that could be used in the valuation process.                         |
| Fixed maturities - available for sale and equity securities      | We are required to exercise judgment to determine when a decline in the value of a security is other than temporary. Whether a realized loss needs to be recognized in earnings and the amount of the loss depends on whether (1) a decline in market value is other than temporary, (2) the extent to which a decline is related to credit versus non-credit related factors, (3) our intent to hold or sell the security, and (4) whether or not we could be required to sell prior to recovery. The previous amortized cost is adjusted by the loss reported in earnings to provide a new cost basis for fixed maturity securities and the fair value becomes the new cost basis for equity securities.   | We evaluate the operating results of the underlying issuer, near-term prospects of the issuer, general market conditions, causes for the decline in value, the length of time there has been a decline in value, other key economic measures and our intent to sell and whether or not we would be required to sell prior to recovery.                               | At December 31, 2009, we had 962 fixed maturity and equity securities with gross unrealized losses totaling $730.5 million.  Included in the gross unrealized losses are losses attributable to both movements in market interest rates as well as temporary credit issues. Details regarding these securities are included in the "Financial Condition - Investments" section above. Net income (loss) would have been reduced by approximately $414.1 million if all these securities were deemed to be other-than-temporarily impaired on December 31, 2009. |
| Deferred policy acquisition costs and deferred sales inducements | Amortization of deferred policy acquisition costs and deferred sales inducements for participating life insurance and interest sensitive and index products is dependent upon estimates of future gross profits or margins on this business. Key assumptions used include the following:- amount of death and surrender benefits and the length of time the policies will stay in force,- yield on investments supporting the liabilities,- amount of interest or dividends credited to the policies,- amount of policy fees and charges, and- amount of expenses necessary to maintain the policies.                                                                                                        | These estimates, which are revised at least annually, are based on historical results and our best estimate of future experience.                                                                                                                                                                                                                                    | Amortization of deferred policy acquisition costs and deferred sales inducements for participating life insurance and interest sensitive and index products is expected to total approximately $85.6 million for 2010, excluding the impact of new production in 2010.  A 10% increase in estimated gross profits for 2010 would result in $6.4 million of additional amortization expense.  Correspondingly, a 10% decrease in estimated gross profits would result in $6.3 million reduction of amortization expense.                                         |

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| Balance Sheet Caption   | Description of Critical Estimate                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | Assumptions / Approach Used                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | Effect if Different Assumptions / Approach Used                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|-------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Future policy benefits  | Reserving for future policy benefits for traditional life insurance products requires the use of many assumptions, including the duration of the policies, mortality experience, lapse rates, surrender rates and dividend crediting rates.  The development of reserves for future policy benefits for index annuities requires the valuation of the embedded derivatives relating to the contract holder's right to participate in one or more market indices. This valuation requires assumptions as to future option costs that are dependent upon the volatility of the market indices, risk free interest rates, market returns and the expected lives of the contracts. | These assumptions are made based upon historical experience, industry standards and a best estimate of future results and, for traditional life products, include a provision for adverse deviation. For traditional life insurance, once established for a particular series of products, these assumptions are generally held constant. For index annuities, these assumptions are revised at each balance sheet date.                                                                                                                                                                                                                                                                                                                                                  | Due to the number of independent variables inherent in the calculation of traditional life insurance reserves and reserves for the embedded derivatives in index annuities, it is not practical to perform a sensitivity analysis on the impact of reasonable changes in the underlying assumptions. The cost of performing detailed calculations using different assumption scenarios outweighs the benefit that would be derived. We believe our assumptions are realistic and produce reserves that are fairly stated in accordance with GAAP. |
| Other asset/liabilities | The determination of net periodic pension expense and related accrued/prepaid pension cost requires the use of estimates as to the expected return on plan assets, discount rate on plan liabilities and other actuarial assumptions.  Pension expense for 2009 totaled $8.5 million.                                                                                                                                                                                                                                                                                                                                                                                                    | We assume an expected long-term rate of return on plan assets of 7.00% and a discount rate of 5.52%. Details regarding the method used to determine the discount rate are summarized in Note 9, "Retirement and Compensation Plans," to our consolidated financial statements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | A 100 basis point decrease in the expected return on assets would result in a $0.7 million increase in pension expense and a 100 basis point increase would result in a $0.7 million decrease to pension expense.  A 100 basis point decrease in the assumed discount rate would result in a $0.5 million increase in pension expense while a 100 basis point increase would result in a $0.7 million decrease to pension expense.                                                                                                                |
| Deferred income taxes   | A valuation allowance against deferred income tax assets is established if it is more likely than not that some portion or all of the deferred income tax assets will not be realized. No valuation allowance was recorded on deferred tax assets at December 31, 2009.                                                                                                                                                                                                                                                                                                                                                                                                                  | We utilize tax planning strategies, which require forward-looking assumptions and management judgment, to assess the need for a valuation allowance. The deferred tax assets related to fixed maturity and equity securities will more likely than not be fully realized considering our buy-and-hold investment philosophy for securities experiencing unrealized losses and available tax planning strategies that management is willing to implement for securities experiencing realized losses, if necessary. Our tax planning strategy is to sell various appreciated securities and other capital assets that if sold would result in sufficient capital gains to realize the deferred tax assets, thus minimizing the need for a valuation allowance.   | At December 31, 2009, we held deferred tax assets totaling $510.8 million, which includes $192.0 million related to fixed maturity and equity securities. A significant decline in the value of assets incorporated into our tax planning strategies could lead to the establishment of a valuation allowance on deferred tax assets having an adverse effect on earnings.                                                                                                                                                                   |

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|                                                                                                      | December 31, |
|-----------------------------------------------------------------------------------------------------------|--------------|
|                                                                                                      | 2009         |   | 2008 |
| Assets                                                                                                    |         |   |   |
| Investments:                                                                                              |         |   |   |
| Fixed maturities - available for sale, at market (amortized cost: 2009 - $10,338,670; 2008 - $10,505,084) | $            | 9,864,601 |   |   | $ | 8,965,443 |   |
| Equity securities - available for sale, at market (cost: 2009 - $62,271; 2008 - $51,958)                  | 60,154       |   |   | 44,863 |   |
| Mortgage loans on real estate                                                                             | 1,293,936    |   |   | 1,381,854 |   |
| Derivative instruments                                                                                    | 44,023       |   |   | 12,933 |   |
| Real estate                                                                                               | 16,563       |   |   | 2,559 |   |
| Policy loans                                                                                              | 168,736      |   |   | 182,421 |   |
| Other long-term investments                                                                               | 1,882        |   |   | 1,527 |   |
| Short-term investments                                                                                    | 203,142      |   |   | 262,459 |   |
| Total investments                                                                                         | 11,653,037   |   |   | 10,854,059 |   |
|                                                                                                      |         |   |   |
| Cash and cash equivalents                                                                                 | 11,690       |   |   | 37,710 |   |
| Securities and indebtedness of related parties                                                            | 46,518       |   |   | 18,921 |   |
| Accrued investment income                                                                                 | 131,655      |   |   | 136,893 |   |
| Amounts receivable from affiliates                                                                        | 8,311        |   |   | 15,791 |   |
| Reinsurance recoverable                                                                                   | 126,918      |   |   | 107,854 |   |
| Deferred policy acquisition costs                                                                         | 1,101,233    |   |   | 1,365,609 |   |
| Deferred sales inducements                                                                                | 359,771      |   |   | 420,147 |   |
| Value of insurance in force acquired                                                                      | 38,781       |   |   | 63,121 |   |
| Property and equipment, less allowances for depreciation of $62,895 in 2009 and $63,730 in 2008           | 17,335       |   |   | 23,074 |   |
| Current income taxes recoverable                                                                          | 16,955       |   |   | 14,389 |   |
| Deferred income tax benefit                                                                               | —      |   |   | 305,080 |   |
| Goodwill                                                                                                  | 11,170       |   |   | 11,170 |   |
| Collateral held for securities lending and other transactions                                             | —      |   |   | 67,953 |   |
| Other assets                                                                                              | 33,894       |   |   | 41,623 |   |
| Assets held in separate accounts                                                                          | 702,073      |   |   | 577,420 |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
|                                                                                                      |         |   |   |
| Total assets                                                                                              | $            | 14,259,341 |   |   | $ | 14,060,814 |   |

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|                                                                                                                                                   | December 31, |
|--------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|
|                                                                                                                                                   | 2009         |   | 2008 |
| Liabilities and stockholders' equity                                                                                                                   |         |   |   |
| Liabilities:                                                                                                                                           |         |   |   |
| Policy liabilities and accruals:                                                                                                                       |         |   |   |
| Future policy benefits:                                                                                                                                |         |   |   |
| Interest sensitive and index products                                                                                                                  | $            | 10,149,505 |   |   | $ | 10,531,967 |   |
| Traditional life insurance and accident and health products                                                                                            | 1,318,834    |   |   | 1,328,506 |   |
| Unearned revenue reserve                                                                                                                               | 27,500       |   |   | 34,663 |   |
| Other policy claims and benefits                                                                                                                       | 22,185       |   |   | 38,256 |   |
|                                                                                                                                                   | 11,518,024   |   |   | 11,933,392 |   |
| Other policyholders' funds:                                                                                                                            |         |   |   |
| Supplementary contracts without life contingencies                                                                                                     | 502,553      |   |   | 504,885 |   |
| Advance premiums and other deposits                                                                                                                    | 169,108      |   |   | 167,473 |   |
| Accrued dividends                                                                                                                                      | 9,656        |   |   | 10,241 |   |
|                                                                                                                                                   | 681,317      |   |   | 682,599 |   |
|                                                                                                                                                   |         |   |   |
| Amounts payable to affiliates                                                                                                                          | 759          |   |   | 247 |   |
| Short-term debt                                                                                                                                        | —      |   |   | 59,446 |   |
| Long-term debt payable to affiliates                                                                                                                   | 100,000      |   |   | 100,000 |   |
| Long-term debt                                                                                                                                         | 271,084      |   |   | 271,005 |   |
| Deferred income taxes                                                                                                                                  | 27,506       |   |   | — |   |
| Collateral payable for securities lending and other transactions                                                                                       | —      |   |   | 69,656 |   |
| Other liabilities                                                                                                                                      | 87,301       |   |   | 108,588 |   |
| Liabilities related to separate accounts                                                                                                               | 702,073      |   |   | 577,420 |   |
| Total liabilities                                                                                                                                      | 13,388,064   |   |   | 13,802,353 |   |
|                                                                                                                                                   |         |   |   |
| Stockholders' equity:                                                                                                                                  |         |   |   |
| FBL Financial Group, Inc. stockholders' equity                                                                                                         |         |   |   |
| Preferred stock, without par value, at liquidation value - authorized 10,000,000 shares, issued and outstanding 5,000,000 Series B shares              | 3,000        |   |   | 3,000 |   |
| Class A common stock, without par value - authorized 88,500,000 shares, issued and outstanding 29,282,989 shares in 2009 and 28,975,889 shares in 2008 | 109,877      |   |   | 104,090 |   |
| Class B common stock, without par value - authorized 1,500,000 shares, issued and outstanding 1,192,990 shares                                         | 7,522        |   |   | 7,522 |   |
| Accumulated other comprehensive loss                                                                                                                   | (118,730     | ) |   | (649,758 | ) |
| Retained earnings                                                                                                                                      | 869,487      |   |   | 793,511 |   |
| Total FBL Financial Group, Inc. stockholders' equity                                                                                                   | 871,156      |   |   | 258,365 |   |
| Noncontrolling interest                                                                                                                                | 121          |   |   | 96 |   |
| Total stockholders' equity                                                                                                                             | 871,277      |   |   | 258,461 |   |
| Total liabilities and stockholders' equity                                                                                                             | $            | 14,259,341 |   |   | $ | 14,060,814 |   |

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|                                                        | Year ended December 31, |
|-------------------------------------------------------------|-------------------------|
|                                                        | 2009                    |   | 2008 |   | 2007 |
| Revenues:                                                   |                    |   |   |   |   |
| Interest sensitive and index product charges                | $                       | 158,873 |   |   | $ | 127,199 |   |   | $ | 114,529 |   |
| Traditional life insurance premiums                         | 155,675                 |   |   | 149,186 |   |   | 144,682 |   |
| Net investment income                                       | 724,653                 |   |   | 707,872 |   |   | 628,031 |   |
| Derivative income (loss)                                    | 67,515                  |   |   | (208,793 | ) |   | (4,951 | ) |
| Net realized capital gains on sales of investments          | 47,051                  |   |   | 1,910 |   |   | 10,271 |   |
|                                                        |                    |   |   |   |   |
| Total other-than-temporary impairment losses                | (105,439                | ) |   | (158,219 | ) |   | (4,502 | ) |
| Non-credit portion in other comprehensive loss              | 37,523                  |   |   | — |   |   | — |   |
| Net impairment loss recognized in earnings                  | (67,916                 | ) |   | (158,219 | ) |   | (4,502 | ) |
|                                                        |                    |   |   |   |   |
| Other income                                                | 28,735                  |   |   | 25,310 |   |   | 26,539 |   |
| Total revenues                                              | 1,114,586               |   |   | 644,465 |   |   | 914,599 |   |
|                                                        |                    |   |   |   |   |
| Benefits and expenses:                                      |                    |   |   |   |   |
| Interest sensitive and index product benefits               | 437,270                 |   |   | 440,430 |   |   | 442,544 |   |
| Change in value of index product embedded derivatives       | 148,917                 |   |   | (189,354 | ) |   | (5,907 | ) |
| Traditional life insurance benefits                         | 93,784                  |   |   | 96,884 |   |   | 90,808 |   |
| Increase in traditional life future policy benefits         | 35,766                  |   |   | 43,255 |   |   | 37,682 |   |
| Distributions to participating policyholders                | 19,416                  |   |   | 20,064 |   |   | 21,420 |   |
| Underwriting, acquisition and insurance expenses            | 233,088                 |   |   | 221,393 |   |   | 161,820 |   |
| Interest expense                                            | 25,280                  |   |   | 19,567 |   |   | 16,666 |   |
| Other expenses                                              | 18,904                  |   |   | 24,104 |   |   | 23,760 |   |
| Total benefits and expenses                                 | 1,012,425               |   |   | 676,343 |   |   | 788,793 |   |
|                                                        | 102,161                 |   |   | (31,878 | ) |   | 125,806 |   |
| Income taxes                                                | (33,219                 | ) |   | 13,662 |   |   | (41,051 | ) |
| Equity income (loss), net of related income taxes           | 750                     |   |   | (4 | ) |   | 1,535 |   |
| Net income (loss)                                           | 69,692                  |   |   | (18,220 | ) |   | 86,290 |   |
| Net loss attributable to noncontrolling interest            | 143                     |   |   | 71 |   |   | 49 |   |
| Net income (loss) attributable to FBL Financial Group, Inc. | $                       | 69,835 |   |   | $ | (18,149 | ) |   | $ | 86,339 |   |
|                                                        |                    |   |   |   |   |
| Earnings (loss) per common share                            | $                       | 2.32 |   |   | $ | (0.61 | ) |   | $ | 2.90 |   |
|                                                        |                    |   |   |   |   |
| Earnings (loss) per common share - assuming dilution        | $                       | 2.31 |   |   | $ | (0.61 | ) |   | $ | 2.84 |   |
|                                                        |                    |   |   |   |   |
| Cash dividends per common share                             | $                       | 0.3125 |   |   | $ | 0.5000 |   |   | $ | 0.4800 |   |

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|                                                                                               | FBL Financial Group, Inc. Stockholders' Equity |   |                              |    |                                       |
|----------------------------------------------------------------------------------------------------|------------------------------------------------|--------|-----------------------------------|---------|--------------------------------------------|
|                                                                                               | Series BPreferredStock                         |   | Class A andClass BCommonStock (a) |    | AccumulatedOtherComprehensiveIncome (Loss) |   | RetainedEarnings |   | Non-controllingInterest |   | TotalStockholders'Equity |
| Balance at January 1, 2007                                                | $                                              | 3,000  |                              |    | $                                          | 93,981 |   |   | $ | 28,195 |   |   | $ | 755,544 |   |   | $ | 138 |   |   | $ | 880,858 |   |
| Comprehensive income:                                                                              |                                           |   |                              |    |                                       |   |   |   |   |   |   |
| Net income for 2007                                                                                | —                                        |   |                              | — |                                       |   | — |   |   | 86,339 |   |   | (49 | ) |   | 86,290 |   |
| Change in net unrealized investment gains/losses                                                   | —                                        |   |                              | — |                                       |   | (64,520 | ) |   | — |   |   | — |   |   | (64,520 | ) |
| Change in underfunded status of other postretirement benefit plans                                 | —                                        |   |                              | — |                                       |   | (20 | ) |   | — |   |   | — |   |   | (20 | ) |
| Total comprehensive income (b)                                                                     |                                           |   |                              |    |                                       |   |   |   |   |   | 21,750 |   |
| Adjustment resulting from capital transactions of equity investee                                  | —                                        |   |                              | 73      |                                       |   | — |   |   | — |   |   | — |   |   | 73 |   |
| Stock-based compensation, including the issuance of 358,076 common shares under compensation plans | —                                        |   |                              | 14,692  |                                       |   | — |   |   | — |   |   | — |   |   | 14,692 |   |
| Dividends on preferred stock                                                                       | —                                        |   |                              | — |                                       |   | — |   |   | (150 | ) |   | — |   |   | (150 | ) |
| Dividends on common stock                                                                          | —                                        |   |                              | — |                                       |   | — |   |   | (14,243 | ) |   | — |   |   | (14,243 | ) |
| Receipts related to noncontrolling interest                                                        | —                                        |   |                              | — |                                       |   | — |   |   | — |   |   | 2 |   |   | 2 |   |
| Balance at Deceber 31, 2007                                               | 3,000                                          |   |                              | 108,746 |                                       |   | (36,345 | ) |   | 827,490 |   |   | 91 |   |   | 902,982 |   |
| Change in measurement date of benefit plans                                                        | —                                        |   |                              | — |                                       |   | — |   |   | (770 | ) |   | — |   |   | (770 | ) |
| Comprehensive loss:                                                                                |                                           |   |                              |    |                                       |   |   |   |   |   |   |
| Net loss for 2008                                                                                  | —                                        |   |                              | — |                                       |   | — |   |   | (18,149 | ) |   | (71 | ) |   | (18,220 | ) |
| Change in net unrealized investment gains/losses                                                   | —                                        |   |                              | — |                                       |   | (613,431 | ) |   | — |   |   | — |   |   | (613,431 | ) |
| Change in underfunded status of other postretirement benefit plans                                 | —                                        |   |                              | — |                                       |   | 18 |   |   | — |   |   | — |   |   | 18 |   |
| Total comprehensive loss (b)                                                                       |                                           |   |                              |    |                                       |   |   |   |   |   | (631,633 | ) |
| Adjustment resulting from capital transactions of equity investee                                  | —                                        |   |                              | (43     | )                                          |   | — |   |   | — |   |   | — |   |   | (43 | ) |
| Stock-based compensation, including the issuance of 149,151 common shares under compensation plans | —                                        |   |                              | 2,909   |                                       |   | — |   |   | — |   |   | — |   |   | 2,909 |   |
| Dividends on preferred stock                                                                       | —                                        |   |                              | — |                                       |   | — |   |   | (150 | ) |   | — |   |   | (150 | ) |
| Dividends on common stock                                                                          | —                                        |   |                              | — |                                       |   | — |   |   | (14,910 | ) |   | — |   |   | (14,910 | ) |
| Receipts related to noncontrolling interest                                                        | —                                        |   |                              | — |                                       |   | — |   |   | — |   |   | 76 |   |   | 76 |   |
| Balance at December 31, 2008                                                   | $                                              | 3,000  |                              |    | $                                          | 111,612 |   |   | $ | (649,758 | ) |   | $ | 793,511 |   |   | $ | 96 |   |   | $ | 258,461 |   |

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|                                                                                               | FBL Financial Group, Inc. Stockholders' Equity |   |                              |    |                                       |
|----------------------------------------------------------------------------------------------------|------------------------------------------------|--------|-----------------------------------|---------|--------------------------------------------|
|                                                                                               | Series BPreferredStock                         |   | Class A andClass BCommonStock (a) |    | AccumulatedOtherComprehensiveIncome (Loss) |   | RetainedEarnings |   | Non-controllingInterest |   | TotalStockholders'Equity |
| Balance at December 31, 2008                                                   | $                                              | 3,000  |                              |    | $                                          | 111,612 |   |   | $ | (649,758 | ) |   | $ | 793,511 |   |   | $ | 96 |   |   | $ | 258,461 |   |
| Reclassification of non-credit impairment losses from prior periods                                | —                                        |   |                              | — |                                       |   | (15,641 | ) |   | 15,641 |   |   | — |   |   | — |   |
| Comprehensive income:                                                                              |                                           |   |                              |    |                                       |   |   |   |   |   |   |
| Net income for 2009                                                                                | —                                        |   |                              | — |                                       |   | — |   |   | 69,835 |   |   | (143 | ) |   | 69,692 |   |
| Change in net unrealized investment gains/losses                                                   | —                                        |   |                              | — |                                       |   | 564,817 |   |   | — |   |   | — |   |   | 564,817 |   |
| Non-credit impairment losses                                                                       | —                                        |   |                              | — |                                       |   | (18,159 | ) |   | — |   |   | — |   |   | (18,159 | ) |
| Change in underfunded status of the other postretirement benefit plans                             | —                                        |   |                              | — |                                       |   | 9 |   |   | — |   |   | — |   |   | 9 |   |
| Total comprehensive income (b)                                                                     |                                           |   |                              |    |                                       |   |   |   |   |   | 616,359 |   |
| Stock-based compensation, including the issuance of 307,100 common shares under compensation plans | —                                        |   |                              | 5,787   |                                       |   | — |   |   | — |   |   | — |   |   | 5,787 |   |
| Dividends on preferred stock                                                                       | —                                        |   |                              | — |                                       |   | — |   |   | (150 | ) |   | — |   |   | (150 | ) |
| Dividends on common stock                                                                          | —                                        |   |                              | — |                                       |   | — |   |   | (9,350 | ) |   | — |   |   | (9,350 | ) |
| Receipts related to noncontrolling interest                                                        | —                                        |   |                              | — |                                       |   | — |   |   | — |   |   | 168 |   |   | 168 |   |
| Balance at December 31, 2009                                                   | $                                              | 3,000  |                              |    | $                                          | 117,399 |   |   | $ | (118,732 | ) |   | $ | 869,487 |   |   | $ | 121 |   |   | $ | 871,275 |   |

| (a)    | Adjustment resulting from capital transaction of an equity investee was allocated to Class B common stock in the amount of ($3) for 2008 and $6 for 2007. All other activity for the periods shown relates to Class A Common Stock. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                |   |   |   |
| (b)    | Comprehensive income (loss) attributable to FBL Financial Group, Inc. was $616,504 for 2009, ($631,562) for 2008 and $21,799 for 2007.                                                                                              |

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|                                                                                      | Year ended December 31, |
|-------------------------------------------------------------------------------------------|-------------------------|
|                                                                                      | 2009                    |   | 2008 |   | 2007 |
| Operating activities                                                                      |                    |   |   |   |   |
| Net income (loss)                                                                         | $                       | 69,692 |   |   | $ | (18,220 | ) |   | $ | 86,290 |   |
| Adjustments to reconcile net income (loss) to net cash provided by operating activities:  |                    |   |   |   |   |
| Adjustments related to interest sensitive and index products:                             |                    |   |   |   |   |
| Interest credited/index credits to account balances, excluding deferred sales inducements | 338,953                 |   |   | 324,873 |   |   | 395,952 |   |
| Change in fair value of embedded derivatives                                              | 148,917                 |   |   | (189,354 | ) |   | (5,907 | ) |
| Charges for mortality and administration                                                  | (153,670                | ) |   | (119,819 | ) |   | (104,989 | ) |
| Deferral of unearned revenues                                                             | 2,231                   |   |   | 1,606 |   |   | 1,429 |   |
| Amortization of unearned revenue reserve                                                  | (2,293                  | ) |   | (2,141 | ) |   | (2,292 | ) |
| Provision for depreciation and amortization of property and equipment                     | 6,572                   |   |   | 15,550 |   |   | 14,324 |   |
| Provision for accretion and amortization of investments                                   | (2,129                  | ) |   | (5,366 | ) |   | (10,228 | ) |
| Realized/unrealized losses (gains) on investments                                         | 20,865                  |   |   | 153,416 |   |   | (5,769 | ) |
| Change in fair value of derivatives                                                       | (58,631                 | ) |   | 170,841 |   |   | 3,398 |   |
| Increase in traditional life and accident and health benefit accruals                     | 38,537                  |   |   | 44,438 |   |   | 39,356 |   |
| Policy acquisition costs deferred                                                         | (97,144                 | ) |   | (159,866 | ) |   | (173,723 | ) |
| Amortization of deferred policy acquisition costs                                         | 137,027                 |   |   | 128,114 |   |   | 68,394 |   |
| Amortization of deferred sales inducements                                                | 52,068                  |   |   | 67,860 |   |   | 9,555 |   |
| Amortization of value of insurance in force                                               | 2,634                   |   |   | 2,705 |   |   | 5,069 |   |
| Net sale of fixed maturities - trading                                                    | —                 |   |   | — |   |   | 15,000 |   |
| Change in accrued investment income                                                       | 5,238                   |   |   | (18,066 | ) |   | (14,162 | ) |
| Change in amounts receivable from/payable to affiliates                                   | 7,992                   |   |   | (4,748 | ) |   | (507 | ) |
| Change in reinsurance recoverable                                                         | (21,827                 | ) |   | 15,805 |   |   | 23,130 |   |
| Change in current income taxes                                                            | (2,566                  | ) |   | (6,977 | ) |   | (16,152 | ) |
| Provision for deferred income taxes                                                       | 37,451                  |   |   | (2,576 | ) |   | 521 |   |
| Gain on reinsurance recapture                                                             | (11,109                 | ) |   | — |   |   | — |   |
| Cash transferred for reinsurance recapture                                                | (120,722                | ) |   | — |   |   | — |   |
| Other                                                                                     | (39,032                 | ) |   | 6,000 |   |   | 28,963 |   |
| Net cash provided by operating activities                                                 | 359,054                 |   |   | 404,075 |   |   | 357,652 |   |
|                                                                                      |                    |   |   |   |   |
| Investing activities                                                                      |                    |   |   |   |   |
| Sale, maturity or repayment of investments:                                               |                    |   |   |   |   |
| Fixed maturities - available for sale                                                     | 1,784,386               |   |   | 632,174 |   |   | 554,217 |   |
| Equity securities - available for sale                                                    | 89                      |   |   | 15,474 |   |   | 19,980 |   |
| Mortgage loans on real estate                                                             | 73,027                  |   |   | 60,397 |   |   | 56,804 |   |
| Derivative instruments                                                                    | 95,276                  |   |   | 32,231 |   |   | 104,950 |   |
| Real estate                                                                               | —                 |   |   | — |   |   | 9,741 |   |
| Policy loans                                                                              | 39,281                  |   |   | 37,611 |   |   | 39,522 |   |
| Short-term investments - net                                                              | 59,317                  |   |   | — |   |   | — |   |
|                                                                                      | 2,051,376               |   |   | 777,887 |   |   | 785,214 |   |

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|                                                                                                    | Year ended December 31, |
|---------------------------------------------------------------------------------------------------------|-------------------------|
|                                                                                                    | 2009                    |   | 2008 |   | 2007 |
| Investing activities - continued                                                                        |                    |   |   |   |   |
| Acquisition of investments:                                                                             |                    |   |   |   |   |
| Fixed maturities - available for sale                                                                   | $                       | (1,666,709 | ) |   | $ | (1,675,422 | ) |   | $ | (1,852,613 | ) |
| Equity securities - available for sale                                                                  | (10,432                 | ) |   | (12,676 | ) |   | (205 | ) |
| Mortgage loans on real estate                                                                           | (511                    | ) |   | (220,667 | ) |   | (298,453 | ) |
| Derivative instruments                                                                                  | (65,438                 | ) |   | (172,840 | ) |   | (104,694 | ) |
| Real estate                                                                                             | —                 |   |   | — |   |   | (536 | ) |
| Policy loans                                                                                            | (42,775                 | ) |   | (40,542 | ) |   | (39,113 | ) |
| Short-term investments - net                                                                            | —                 |   |   | (190,454 | ) |   | (27,651 | ) |
|                                                                                                    | (1,785,865              | ) |   | (2,312,601 | ) |   | (2,323,265 | ) |
| Proceeds from disposal, repayments of advances and other distributions of capital from equity investees | 25                      |   |   | 629 |   |   | 127 |   |
| Investments in and advances to equity investees                                                         | (25,000                 | ) |   | — |   |   | (850 | ) |
| Purchases of property and equipment                                                                     | (5,684                  | ) |   | (14,272 | ) |   | (20,463 | ) |
| Disposal of property and equipment                                                                      | 4,851                   |   |   | 23,342 |   |   | 4,475 |   |
| Net cash provided by (used in) investing activities                                                     | 239,703                 |   |   | (1,525,015 | ) |   | (1,554,762 | ) |
|                                                                                                    |                    |   |   |   |   |
| Financing activities                                                                                    |                    |   |   |   |   |
| Receipts from interest sensitive and index products credited to policyholder account balances           | 1,287,148               |   |   | 2,162,398 |   |   | 2,010,769 |   |
| Return of policyholder account balances on interest sensitive and index products                        | (1,845,340              | ) |   | (1,187,442 | ) |   | (935,385 | ) |
| Proceeds from long-term debt payable to affiliates                                                      | —                 |   |   | 100,000 |   |   | — |   |
| Proceeds from long-term debt                                                                            | —                 |   |   | — |   |   | 98,460 |   |
| Proceeds from short-term note payable to affiliate                                                      | —                 |   |   | 20,000 |   |   | — |   |
| Repayments of short-term note payable to affiliate                                                      | —                 |   |   | (20,000 | ) |   | — |   |
| Proceeds from short-term debt                                                                           | —                 |   |   | 13,400 |   |   | — |   |
| Repayments of short-term debt                                                                           | (60,000                 | ) |   | — |   |   |   |
| Receipts related to noncontrolling interests - net                                                      | 168                     |   |   | 76 |   |   | 2 |   |
| Excess tax deductions on stock-based compensation                                                       | 310                     |   |   | 133 |   |   | 1,376 |   |
| Issuance of common stock                                                                                | 2,437                   |   |   | 1,130 |   |   | 8,004 |   |
| Dividends paid                                                                                          | (9,500                  | ) |   | (15,060 | ) |   | (14,393 | ) |
| Net cash provided by (used in) financing activities                                                     | (624,777                | ) |   | 1,074,635 |   |   | 1,168,833 |   |
| Decrease in cash and cash equivalents                                                                   | (26,020                 | ) |   | (46,305 | ) |   | (28,277 | ) |
| Cash and cash equivalents at beginning of year                                                          | 37,710                  |   |   | 84,015 |   |   | 112,292 |   |
| Cash and cash equivalents at end of year                                                                | $                       | 11,690 |   |   | $ | 37,710 |   |   | $ | 84,015 |   |

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|                                                                                                      | Year ended December 31, |
|-----------------------------------------------------------------------------------------------------------|-------------------------|
|                                                                                                      | 2009                    |   | 2008 |   | 2007 |
| Supplemental disclosures of cash flow information                                                         |                    |   |   |   |   |
| Cash paid (received) during the year for:                                                                 |                    |   |   |   |   |
| Interest                                                                                                  | $                       | 25,265 |   |   | $ | 18,843 |   |   | $ | 15,095 |   |
| Income taxes                                                                                              | (1,572                  | ) |   | (4,244 | ) |   | 56,133 |   |
| Non-cash operating activity:                                                                              |                    |   |   |   |   |
| Deferral of sales inducements                                                                             | 30,512                  |   |   | 60,824 |   |   | 83,713 |   |
| Invested assets transferred in reinsurance recapture                                                      | (93,161                 | ) |   | — |   |   | — |   |
| Deferred policy acquisition costs transferred in reinsurance recapture                                    | (19,523                 | ) |   |   |   |   |
| Net reserves and other liabilities transferred in reinsurance recapture                                   | 244,515                 |   |   |   |   |   |
| Non-cash investing activity:                                                                              |                    |   |   |   |   |
| Foreclosure of mortgage loans to real estate                                                              | 14,173                  |   |   | — |   |   | — |   |
| Exchange of fixed maturities for partnership investment in securities and indebtedness of related parties | 1,760                   |   |   |   |   |   |
| Non-cash financing activity:                                                                              |                    |   |   |   |   |
| Reclassification of debt from long-term to short-term                                                     | —                 |   |   | 46,000 |   |   | — |   |

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| Underwriting, Acquisition and Insurance Expenses                         |                    |    |   |    |   |
|--------------------------------------------------------------------------|-------------------------|---------|--------|---------|--------|
|                                                                     |                    |    |   |    |   |
|                                                                     | Year ended December 31, |
|                                                                     | 2009                    |    | 2008   |    | 2007   |
|                                                                     | (Dollars in thousands)  |
| Underwriting, acquisition and insurance expenses:                        |                    |    |   |    |   |
| Commission expense, net of deferrals                                     | $                       | 14,080  |   |    | $      | 13,613 |   |   | $ | 13,906 |   |
| Amortization of deferred policy acquisition costs                        | 137,027                 |    |   | 128,114 |   |   | 68,394 |   |
| Amortization of value of insurance in force acquired                     | 2,634                   |    |   | 2,705   |   |   | 5,069 |   |
| Other underwriting, acquisition and insurance expenses, net of deferrals | 79,347                  |    |   | 76,961  |   |   | 74,451 |   |
| Total                                                                    | $                       | 233,088 |   |    | $      | 221,393 |   |   | $ | 161,820 |   |

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| Available-For-Sale Fixed Maturity and Equity Securities by Investment Category |
|--------------------------------------------------------------------------------|
|                                                                           |   |
|                                                                           | December 31, 2009 |
|                                                                           | Amortized Cost |   | GrossUnrealizedGains |   | GrossUnrealizedLosses(1) |   | Estimated FairValue |
|                                                                           | (Dollars in thousands) |
| Bonds:                                                                         |   |   |   |   |   |   |   |
| Corporate securities                                                           | $ | 5,120,925 |   |   | $ | 195,581 |   |   | $ | (226,617 | ) |   | $ | 5,089,889 |   |
| Residential mortgage-backed securities                                         | 1,993,086 |   |   | 22,365 |   |   | (142,041 | ) |   | 1,873,410 |   |
| Commercial mortgage-backed securities                                          | 785,729 |   |   | 20,327 |   |   | (85,933 | ) |   | 720,123 |   |
| Other asset-backed securities                                                  | 230,755 |   |   | 351 |   |   | (98,233 | ) |   | 132,873 |   |
| Collateralized debt obligations                                                | 27,541 |   |   | — |   |   | (14,649 | ) |   | 12,892 |   |
| United States Government and agencies                                          | 137,390 |   |   | 4,620 |   |   | (2,543 | ) |   | 139,467 |   |
| State, municipal and other governments                                         | 2,038,244 |   |   | 8,509 |   |   | (155,500 | ) |   | 1,891,253 |   |
| Redeemable preferred stocks                                                    | 5,000 |   |   | — |   |   | (306 | ) |   | 4,694 |   |
| Total fixed maturities                                                         | $ | 10,338,670 |   |   | $ | 251,753 |   |   | $ | (725,822 | ) |   | $ | 9,864,601 |   |
|                                                                           |   |   |   |   |   |   |   |
| Equity securities:                                                             |   |   |   |   |   |   |   |
| Non-redeemable preferred stocks                                                | $ | 40,649 |   |   | $ | 2,436 |   |   | $ | (4,648 | ) |   | $ | 38,437 |   |
| Common stocks                                                                  | 21,622 |   |   | 109 |   |   | (14 | ) |   | 21,717 |   |
| Total equity securities                                                        | $ | 62,271 |   |   | $ | 2,545 |   |   | $ | (4,662 | ) |   | $ | 60,154 |   |

| (1) | Gross unrealized losses include noncredit losses on other-than-temporarily impaired fixed maturities totaling $30.2 million in other asset-backed securities and $7.4 million in residential mortgage-backed securities. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                   | December 31, 2008      |
|----------------------------------------|------------------------|
|                                   | Amortized Cost         |   | GrossUnrealizedGains |   | GrossUnrealizedLosses |   | Estimated FairValue |
|                                   | (Dollars in thousands) |
| Bonds:                                 |                   |   |   |   |   |   |   |
| Corporate securities                   | $                      | 5,758,359 |   |   | $ | 46,177 |   |   | $ | (982,321 | ) |   | $ | 4,822,215 |   |
| Residential mortgage-backed securities | 2,004,701              |   |   | 22,533 |   |   | (237,545 | ) |   | 1,789,689 |   |
| Commercial mortgage-backed securities  | 799,546                |   |   | 18,766 |   |   | (178,076 | ) |   | 640,236 |   |
| Other asset-backed securities          | 197,943                |   |   | 5,274 |   |   | (63,373 | ) |   | 139,844 |   |
| Collateralized debt obligations        | 52,011                 |   |   | — |   |   | (44,597 | ) |   | 7,414 |   |
| United States Government and agencies  | 242,033                |   |   | 12,891 |   |   | (4,031 | ) |   | 250,893 |   |
| State, municipal and other governments | 1,445,491              |   |   | 4,565 |   |   | (139,430 | ) |   | 1,310,626 |   |
| Redeemable preferred stocks            | 5,000                  |   |   | — |   |   | (474 | ) |   | 4,526 |   |
| Total fixed maturities                 | $                      | 10,505,084 |   |   | $ | 110,206 |   |   | $ | (1,649,847 | ) |   | $ | 8,965,443 |   |
|                                   |                   |   |   |   |   |   |   |
| Equity securities:                     |                   |   |   |   |   |   |   |
| Non-redeemable preferred stocks        | $                      | 40,649 |   |   | $ | 4,171 |   |   | $ | (10,823 | ) |   | $ | 33,997 |   |
| Common stocks                          | 11,309                 |   |   | 1 |   |   | (444 | ) |   | 10,866 |   |
| Total equity securities                | $                      | 51,958 |   |   | $ | 4,172 |   |   | $ | (11,267 | ) |   | $ | 44,863 |   |

| Available-For-Sale Fixed Maturity Securities by Contractual Maturity |
|----------------------------------------------------------------------|
|                                                                 |   |   |   |
|                                                                 | December 31, 2009 |
|                                                                 | Amortized Cost |   | Estimated Fair Value |
|                                                                 | (Dollars in thousands) |
| Due in one year or less                                              | $ | 68,899 |   |   | $ | 69,605 |   |
| Due after one year through five years                                | 1,140,120 |   |   | 1,171,064 |   |
| Due after five years through ten years                               | 2,585,930 |   |   | 2,608,920 |   |
| Due after ten years                                                  | 3,529,151 |   |   | 3,283,912 |   |
|                                                                 | 7,324,100 |   |   | 7,133,501 |   |
| Residential mortgage-backed securities                               | 1,993,086 |   |   | 1,873,410 |   |
| Commercial mortgage-backed securities                                | 785,729 |   |   | 720,123 |   |
| Other asset-backed securities                                        | 230,755 |   |   | 132,873 |   |
| Redeemable preferred stocks                                          | 5,000 |   |   | 4,694 |   |
|                                                                 | $ | 10,338,670 |   |   | $ | 9,864,601 |   |

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| Net Unrealized Gains (Losses) on Fixed Maturity and Equity Securities      |
|----------------------------------------------------------------------------|
|                                                                       |   |   |   |
|                                                                       | December 31, |
|                                                                       | 2009 |   | 2008 |
|                                                                       | (Dollars in thousands) |
| Unrealized depreciation on:                                                |   |   |   |
| Fixed maturities - available for sale                                      | $ | (474,069 | ) |   | $ | (1,539,641 | ) |
| Equity securities - available for sale                                     | (2,117 | ) |   | (7,095 | ) |
| Interest rate swaps                                                        | (362 | ) |   | (3,250 | ) |
|                                                                       | (476,548 | ) |   | (1,549,986 | ) |
| Adjustments for assumed changes in amortization pattern of:                |   |   |   |
| Deferred policy acquisition costs                                          | 196,077 |   |   | 398,192 |   |
| Deferred sales inducements                                                 | 95,942 |   |   | 134,157 |   |
| Value of insurance in force acquired                                       | 3,657 |   |   | 25,235 |   |
| Unearned revenue reserve                                                   | (1,492 | ) |   | (6,941 | ) |
| Provision for deferred income taxes                                        | 63,837 |   |   | 349,794 |   |
|                                                                       | (118,527 | ) |   | (649,549 | ) |
| Proportionate share of net unrealized investment gains of equity investees | (3 | ) |   | 2 |   |
| Net unrealized investment losses                                           | $ | (118,530 | ) |   | $ | (649,547 | ) |

|  | historical operating trends;                                                                                   |
|--|----------------------------------------------------------------------------------------------------------------|
|  | business prospects;                                                                                            |
|  | status of the industry in which the company operates;                                                          |
|  | analyst ratings on the issuer and sector;                                                                      |
|  | quality of management;                                                                                         |
|  | size of unrealized loss;                                                                                       |
|  | level of current market interest rates compared to market interest rates when the security was purchased;      |
|  | length of time the security has been in an unrealized loss position; and                                       |
|  | our intent to sell and whether it is more likely than not that we would be required to sell prior to recovery. |

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| Fixed Maturity Securities with Unrealized Losses by Length of Time Unrealized |
|-------------------------------------------------------------------------------|
|                                                                          |   |   |
|                                                                          |   | December 31, 2009 |
|                                                                          |   | Less than one year |   | One year or  more |   | Total |
| Description of Securities                                                     |   | Estimated Fair Value |   | UnrealizedLosses |   | Estimated Fair Value |   | UnrealizedLosses |   | Estimated Fair Value |   | UnrealizedLosses |
|                                                                          |   | (Dollars in thousands) |
| Corporate securities                                                          |   | $ | 314,304 |   |   | $ | (13,717 | ) |   | $ | 1,577,140 |   |   | $ | (212,900 | ) |   | $ | 1,891,444 |   |   | $ | (226,617 | ) |
| Residential mortgage-backed securities                                        |   | 53,341 |   |   | (1,807 | ) |   | 1,025,010 |   |   | (140,234 | ) |   | 1,078,351 |   |   | (142,041 | ) |
| Commercial mortgage-backed securities                                         |   | 8,110 |   |   | (521 | ) |   | 242,414 |   |   | (85,412 | ) |   | 250,524 |   |   | (85,933 | ) |
| Other asset-backed securities                                                 |   | 18,386 |   |   | (11,891 | ) |   | 104,784 |   |   | (86,342 | ) |   | 123,170 |   |   | (98,233 | ) |
| Collateralized debt obligation                                                |   | — |   |   | — |   |   | 3,351 |   |   | (14,649 | ) |   | 3,351 |   |   | (14,649 | ) |
| Unites States Governments and agencies                                        |   | 63,528 |   |   | (2,392 | ) |   | 14,684 |   |   | (151 | ) |   | 78,212 |   |   | (2,543 | ) |
| State, municipal and other governments                                        |   | 762,644 |   |   | (21,139 | ) |   | 777,542 |   |   | (134,361 | ) |   | 1,540,186 |   |   | (155,500 | ) |
| Redeemable preferred stocks                                                   |   | — |   |   | — |   |   | 4,694 |   |   | (306 | ) |   | 4,694 |   |   | (306 | ) |
| Total fixed maturities                                                        |   | $ | 1,220,313 |   |   | $ | (51,467 | ) |   | $ | 3,749,619 |   |   | $ | (674,355 | ) |   | $ | 4,969,932 |   |   | $ | (725,822 | ) |

|                                   |   | December 31, 2008         |
|----------------------------------------|--------|---------------------------|
|                                   |   | Less than one year        |   | One year or more |   | Total |
| Description of Securities              |   | Estimated Fair Value |   | UnrealizedLosses |   | Estimated Fair Value |   | UnrealizedLosses |   | Estimated Fair Value |   | UnrealizedLosses |
|                                   |   | (Dollars in thousands)    |
| Corporate securities                   |   | $                         | 2,416,471 |   |   | $ | (369,595 | ) |   | $ | 1,507,220 |   |   | $ | (612,726 | ) |   | $ | 3,923,691 |   |   | $ | (982,321 | ) |
| Residential mortgage-backed securities |   | 330,379                   |   |   | (45,440 | ) |   | 873,830 |   |   | (192,105 | ) |   | 1,204,209 |   |   | (237,545 | ) |
| Commercial mortgage-backed securities  |   | 183,316                   |   |   | (54,650 | ) |   | 91,086 |   |   | (123,426 | ) |   | 274,402 |   |   | (178,076 | ) |
| Other asset-backed securities          |   | 13,803                    |   |   | (6,323 | ) |   | 102,162 |   |   | (57,050 | ) |   | 115,965 |   |   | (63,373 | ) |
| Collateralized debt obligations        |   | —                   |   |   | — |   |   | 7,414 |   |   | (44,597 | ) |   | 7,414 |   |   | (44,597 | ) |
| Unites States Governments and agencies |   | 31,052                    |   |   | (4,000 | ) |   | 2,462 |   |   | (31 | ) |   | 33,514 |   |   | (4,031 | ) |
| State, municipal and other governments |   | 783,887                   |   |   | (64,310 | ) |   | 384,632 |   |   | (75,120 | ) |   | 1,168,519 |   |   | (139,430 | ) |
| Redeemable preferred stocks            |   | 4,526                     |   |   | (474 | ) |   | — |   |   | — |   |   | 4,526 |   |   | (474 | ) |
| Total fixed maturities                 |   | $                         | 3,763,434 |   |   | $ | (544,792 | ) |   | $ | 2,968,806 |   |   | $ | (1,105,055 | ) |   | $ | 6,732,240 |   |   | $ | (1,649,847 | ) |

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| Change in Unrealized Appreciation/Depreciation of Investments - Recorded in Accumulated Other Comprehensive Income (Loss) |
|---------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                      |   |   |   |   |   |
|                                                                                                                      | Year ended December 31, |
|                                                                                                                      | 2009 |   | 2008 |   | 2007 |
|                                                                                                                      | (Dollars in thousands) |
| Fixed maturities - available for sale                                                                                     | $ | 1,093,192 |   |   | $ | (1,399,247 | ) |   | $ | (161,626 | ) |
| Equity securities - available for sale                                                                                    | 4,978 |   |   | (8,318 | ) |   | (13,451 | ) |
| Interest rate swaps                                                                                                       | 2,887 |   |   | (2,659 | ) |   | (5,317 | ) |
| Change in unrealized appreciation/depreciation of investments                                                             | $ | 1,101,057 |   |   | $ | (1,410,224 | ) |   | $ | (180,394 | ) |

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| Components of Net Investment Income               |
|---------------------------------------------------|
|                                              |   |   |   |   |   |
|                                              | Year ended December 31, |
|                                              | 2009 |   | 2008 |   | 2007 |
|                                              | (Dollars in thousands) |
| Fixed maturities - available for sale             | $ | 633,703 |   |   | $ | 615,400 |   |   | $ | 542,669 |   |
| Fixed maturities - trading                        | — |   |   | — |   |   | 195 |   |
| Equity securities - available for sale            | 3,822 |   |   | 3,115 |   |   | 511 |   |
| Mortgage loans on real estate                     | 81,284 |   |   | 78,588 |   |   | 68,201 |   |
| Real estate                                       | 443 |   |   | — |   |   | 461 |   |
| Policy loans                                      | 10,859 |   |   | 10,931 |   |   | 10,800 |   |
| Short-term investments, cash and cash equivalents | 271 |   |   | 3,513 |   |   | 11,104 |   |
| Prepayment fee income and other                   | 2,243 |   |   | 3,895 |   |   | 5,345 |   |
| Interest paid on collateral held                  | (25 | ) |   | (426 | ) |   | (4,526 | ) |
|                                              | 732,600 |   |   | 715,016 |   |   | 634,760 |   |
| Less investment expenses                          | (7,947 | ) |   | (7,144 | ) |   | (6,729 | ) |
| Net investment income                             | $ | 724,653 |   |   | $ | 707,872 |   |   | $ | 628,031 |   |

|                                                          | Year ended December 31, |
|---------------------------------------------------------------|-------------------------|
|                                                          | 2009                    |   | 2008 |   | 2007 |
|                                                          | (Dollars in thousands)  |
| Fixed maturities - available for sale                         | $                       | (23,726 | ) |   | $ | (155,710 | ) |   | $ | (2,743 | ) |
| Fixed maturities - trading                                    | —                 |   |   | — |   |   | 73 |   |
| Equity securities - available for sale                        | (31                     | ) |   | 4,128 |   |   | 5,794 |   |
| Mortgage loans on real estate                                 | (1,190                  | ) |   | — |   |   | — |   |
| Real estate                                                   | (66                     | ) |   | — |   |   | 2,645 |   |
| Collateral held for securities lending and other transactions | —                 |   |   | (1,834 | ) |   | — |   |
| Derivative instruments                                        | 4,104                   |   |   | (2,893 | ) |   | — |   |
| Securities and indebtedness of related parties                | 44                      |   |   | — |   |   | — |   |
| Realized/unrealized gains (losses) on investments             | $                       | (20,865 | ) |   | $ | (156,309 | ) |   | $ | 5,769 |   |

| Credit Loss Component of Other-Than-Temporary Impairments on Fixed Maturity Securities |                        |
|----------------------------------------------------------------------------------------|-----------------------------|
|                                                                                   |                        |
|                                                                                   | Year EndedDecember 31, 2009 |
|                                                                                   | (Dollars in thousands)      |
| Balance at beginning of period                                                         | $                           | (106,421 | ) |
| Increase for which an impairment was not previously recognized                         | (55,457                     | ) |
| Increases to previously impaired investments                                           | (11,087                     | ) |
| Reductions due to investments sold                                                     | 74,420                      |   |
| Balance at end of year                                                                 | $                           | (98,545 | ) |

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| Sales, Maturities and Principal Repayments on Fixed Maturity Securities |
|-------------------------------------------------------------------------|
|                                                                    |   |   |   |   |   |   |   |
|                                                                    | AmortizedCost |   | Gross RealizedGains |   | Gross RealizedLosses |   | Proceeds |
|                                                                    | (Dollars in thousands) |
| Year ended December 31, 2009                                            |   |   |   |   |   |   |   |
| Scheduled principal repayments and calls - available for sale           | $ | 538,418 |   |   | $ | — |   |   | $ | — |   |   | $ | 538,418 |   |
| Sales - available for sale                                              | 1,279,135 |   |   | 60,589 |   |   | (17,775 | ) |   | 1,321,949 |   |
| Total                                                                   | $ | 1,817,553 |   |   | $ | 60,589 |   |   | $ | (17,775 | ) |   | $ | 1,860,367 |   |
|                                                                    |   |   |   |   |   |   |   |
| Year ended December 31, 2008                                            |   |   |   |   |   |   |   |
| Scheduled principal repayments and calls - available for sale           | $ | 526,311 |   |   | $ | — |   |   | $ | — |   |   | $ | 526,311 |   |
| Sales - available for sale                                              | 107,918 |   |   | 3,256 |   |   | (5,310 | ) |   | 105,864 |   |
| Total                                                                   | $ | 634,229 |   |   | $ | 3,256 |   |   | $ | (5,310 | ) |   | $ | 632,175 |   |
|                                                                    |   |   |   |   |   |   |   |
| Year ended December 31, 2007                                            |   |   |   |   |   |   |   |
| Scheduled principal repayments and calls - available for sale           | $ | 497,676 |   |   | $ | — |   |   | $ | — |   |   | $ | 497,676 |   |
| Sales - available for sale                                              | 55,088 |   |   | 1,626 |   |   | (173 | ) |   | 56,541 |   |
| Total                                                                   | $ | 552,764 |   |   | $ | 1,626 |   |   | $ | (173 | ) |   | $ | 554,217 |   |

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|               |   |           |   |              |           |    |   | Carrying and Fair Value at December 31, |
|--------------------|--------|----------------|--------|-------------------|----------------|---------|--------|-----------------------------------------|
| Maturity Date |   | NotionalAmount |   | Receive Rate |           | PayRate |   | 2009                                    |   | 2008 |
|               |   |           |   |              |           |    |   | (Dollars in thousands)                  |
| 1/1/2010           |   | 50,000         |   |              | 1 month LIBOR* |    | 4.858  | %                                       |   | $ | (18 | ) |   | $ | (1,860 | ) |
| 10/7/2010          |   | 46,000         |   |              | 3 month LIBOR* |    | 4.760  |                                    |   | (1,521 | ) |   | (2,692 | ) |
| 6/1/2011           |   | 50,000         |   |              | 1 month LIBOR* |    | 5.519  |                                    |   | (3,241 | ) |   | (4,905 | ) |
|               |   |           |   |              |           |    |   | $                                       | (4,780 | ) |   | $ | (9,457 | ) |

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| Fair Values and Carrying Values                               |                   |      |       |      |           |      |       |
|---------------------------------------------------------------|------------------------|-----------|------------|-----------|----------------|-----------|------------|
|                                                          | December 31,           |
|                                                          | 2009                   |      | 2008       |
|                                                          | Carrying Value         |      | Fair Value |      | Carrying Value |      | Fair Value |
|                                                          | (Dollars in thousands) |
| Assets                                                        |                   |      |       |      |           |      |       |
| Fixed maturities - available for sale                         | $                      | 9,864,601 |       |      | $              | 9,864,601 |       |   | $ | 8,965,443 |   |   | $ | 8,965,443 |   |
| Equity securities - available for sale                        | 60,154                 |      |       | 60,154    |           |      | 44,863     |   |   | 44,863 |   |
| Mortgage loans on real estate                                 | 1,293,936              |      |       | 1,257,980 |           |      | 1,381,854  |   |   | 1,335,851 |   |
| Derivative instruments                                        | 44,023                 |      |       | 44,023    |           |      | 12,933     |   |   | 12,933 |   |
| Policy loans                                                  | 168,736                |      |       | 205,453   |           |      | 182,421    |   |   | 251,838 |   |
| Other long-term investments                                   | 1,882                  |      |       | 1,882     |           |      | 1,527      |   |   | 1,527 |   |
| Cash and short-term investments                               | 214,832                |      |       | 214,832   |           |      | 300,169    |   |   | 300,169 |   |
| Reinsurance recoverable                                       | 30,848                 |      |       | 31,080    |           |      | 5,920      |   |   | 5,920 |   |
| Collateral held for securities lending and other transactions | —                |      |       | —   |           |      | 67,953     |   |   | 67,953 |   |
| Assets held in separate accounts                              | 702,073                |      |       | 702,073   |           |      | 577,420    |   |   | 577,420 |   |

| Liabilities                                                      |    |      |   |    |   |      |    |
|------------------------------------------------------------------|---------|-----------|--------|---------|--------|-----------|---------|
| Future policy benefits                                           | $       | 9,392,402 |   |    | $      | 8,397,026 |    |   | $ | 9,633,590 |   |   | $ | 8,831,537 |   |
| Other policyholders' funds                                       | 670,653 |      |   | 645,995 |   |      | 671,325 |   |   | 676,966 |   |
| Short-term debt                                                  | — |      |   | — |   |      | 59,446  |   |   | 59,005 |   |
| Long-term debt                                                   | 371,084 |      |   | 280,828 |   |      | 371,005 |   |   | 248,399 |   |
| Collateral payable for securities lending and other transactions | — |      |   | — |   |      | 69,656  |   |   | 69,656 |   |
| Other liabilities                                                | 4,780   |      |   | 4,780   |   |      | 10,314  |   |   | 10,314 |   |
| Liabilities related to separate accounts                         | 702,073 |      |   | 682,438 |   |      | 577,420 |   |   | 559,843 |   |

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| Valuation of our Financial Instruments by Fair Value Hierarchy Levels |
|-----------------------------------------------------------------------|
|                                                                  |   |
|                                                                  | December 31, 2009 |
|                                                                  | Quoted prices inactive markets foridentical assets(Level 1) |   | Significant otherobservable inputs(Level 2) |   | Significantunobservableinputs(Level 3) |   | Total |
|                                                                  | (Dollars in thousands) |
| Assets                                                                |   |   |   |   |   |   |   |
| Corporate securities                                                  | $ | — |   |   | $ | 4,901,409 |   |   | $ | 188,480 |   |   | $ | 5,089,889 |   |
| Residential mortgage-backed securities                                | — |   |   | 1,873,410 |   |   | — |   |   | 1,873,410 |   |
| Commercial mortgage-backed securities                                 | — |   |   | 688,636 |   |   | 31,487 |   |   | 720,123 |   |
| Other asset-backed securities                                         | — |   |   | 109,925 |   |   | 22,948 |   |   | 132,873 |   |
| Collateralized debt obligations                                       | — |   |   | — |   |   | 12,892 |   |   | 12,892 |   |
| United States Government and agencies                                 | 69,527 |   |   | 55,257 |   |   | 14,683 |   |   | 139,467 |   |
| State, municipal and other governments                                | — |   |   | 1,780,546 |   |   | 110,707 |   |   | 1,891,253 |   |
| Redeemable preferred stocks                                           | — |   |   | 4,694 |   |   | — |   |   | 4,694 |   |
| Non-redeemable preferred stocks                                       | — |   |   | 31,038 |   |   | 7,399 |   |   | 38,437 |   |
| Common stocks                                                         | 2,685 |   |   | 19,032 |   |   | — |   |   | 21,717 |   |
| Derivative instruments                                                | — |   |   | 44,023 |   |   | — |   |   | 44,023 |   |
| Other long-term investments                                           | — |   |   | — |   |   | 1,882 |   |   | 1,882 |   |
| Cash and short-term investments                                       | 214,832 |   |   | — |   |   | — |   |   | 214,832 |   |
| Reinsurance recoverable                                               | — |   |   | 31,080 |   |   | — |   |   | 31,080 |   |
| Assets held in separate accounts                                      | 702,073 |   |   | — |   |   | — |   |   | 702,073 |   |
|                                                                  |   |   |   |   |   |   |   |
| Liabilities                                                           |   |   |   |   |   |   |   |
| Future policy benefits - index annuity embedded derivatives           | $ | — |   |   | $ | — |   |   | $ | 502,067 |   |   | $ | 502,067 |   |
| Other liabilities                                                     | — |   |   | 4,780 |   |   | — |   |   | 4,780 |   |

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|                                                             | December 31, 2008                                            |
|------------------------------------------------------------------|--------------------------------------------------------------|
|                                                             | Quoted prices inactive markets for identical assets(Level 1) |   | Significant otherobservable inputs(Level 2) |   | Significantunobservableinputs(Level 3) |   | Total |
|                                                             | (Dollars in thousands)                                       |
| Assets                                                           |                                                         |   |   |   |   |   |   |
| Corporate securities                                             | $                                                            | — |   |   | $ | 4,179,981 |   |   | $ | 642,234 |   |   | $ | 4,822,215 |   |
| Residential mortgage-backed securities                           | —                                                      |   |   | 1,719,686 |   |   | 70,003 |   |   | 1,789,689 |   |
| Commercial mortgage-backed securities                            | —                                                      |   |   | 616,114 |   |   | 24,122 |   |   | 640,236 |   |
| Other asset-backed securities                                    | —                                                      |   |   | 122,643 |   |   | 17,201 |   |   | 139,844 |   |
| Collateralized debt obligations                                  | —                                                      |   |   | — |   |   | 7,414 |   |   | 7,414 |   |
| United States Government and agencies                            | —                                                      |   |   | 248,965 |   |   | 1,928 |   |   | 250,893 |   |
| State, municipal and other governments                           | —                                                      |   |   | 1,170,437 |   |   | 140,189 |   |   | 1,310,626 |   |
| Redeemable preferred stocks                                      | —                                                      |   |   | — |   |   | 4,526 |   |   | 4,526 |   |
| Non-redeemable preferred stocks                                  | —                                                      |   |   | 33,997 |   |   | — |   |   | 33,997 |   |
| Common stocks                                                    | 2,246                                                        |   |   | 8,620 |   |   | — |   |   | 10,866 |   |
| Derivative instruments                                           | —                                                      |   |   | 12,933 |   |   | — |   |   | 12,933 |   |
| Other long-term investments                                      | —                                                      |   |   | — |   |   | 1,527 |   |   | 1,527 |   |
| Cash and short-term investments                                  | 270,181                                                      |   |   | 29,988 |   |   | — |   |   | 300,169 |   |
| Reinsurance recoverable                                          | —                                                      |   |   | 5,920 |   |   | — |   |   | 5,920 |   |
| Collateral held for securities lending and other transactions    | —                                                      |   |   | 67,953 |   |   | — |   |   | 67,953 |   |
| Assets held in separate accounts                                 | 577,420                                                      |   |   | — |   |   | — |   |   | 577,420 |   |
|                                                             |                                                         |   |   |   |   |   |   |
| Liabilities                                                      |                                                         |   |   |   |   |   |   |
| Future policy benefits - index annuity embedded derivatives      | $                                                            | — |   |   | $ | — |   |   | $ | 523,515 |   |   | $ | 523,515 |   |
| Collateral payable for securities lending and other transactions | —                                                      |   |   | 69,656 |   |   | — |   |   | 69,656 |   |

| Level 3 Fixed Maturity Investments by Valuation Source |
|--------------------------------------------------------|
|                                                   |   |
|                                                   | December 31, 2009 |
|                                                   | Third-partyvendors |   | Priced internally |   | Total |
|                                                   | (Dollars in thousands) |
| Assets                                                 |   |   |   |   |   |
| Corporate securities                                   | $ | 151,056 |   |   | $ | 37,424 |   |   | $ | 188,480 |   |
| Commercial mortgage-backed securities                  | 26,761 |   |   | 4,726 |   |   | 31,487 |   |
| Other asset-backed securities                          | 22,948 |   |   | — |   |   | 22,948 |   |
| Collateralized debt obligations                        | 12,892 |   |   | — |   |   | 12,892 |   |
| United States Government and agencies                  | 14,683 |   |   | — |   |   | 14,683 |   |
| State, municipal and other governments                 | 110,707 |   |   | — |   |   | 110,707 |   |
| Total                                                  | $ | 339,047 |   |   | $ | 42,150 |   |   | $ | 381,197 |   |
| Percent of total                                       | 88.9 | % |   | 11.1 | % |   | 100.0 | % |

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|                                   | December 31, 2008      |
|----------------------------------------|------------------------|
|                                   | Third-partyvendors     |   | Priced internally |   | Total |
|                                   | (Dollars in thousands) |
| Assets                                 |                   |   |   |   |   |
| Corporate securities                   | $                      | 219,254 |   |   | $ | 422,980 |   |   | $ | 642,234 |   |
| Residential mortgage-backed securities | —                |   |   | 70,003 |   |   | 70,003 |   |
| Commercial mortgage-backed securities  | 18,424                 |   |   | 5,698 |   |   | 24,122 |   |
| Other asset-backed securities          | 13,467                 |   |   | 3,734 |   |   | 17,201 |   |
| Collateralized debt obligations        | 7,414                  |   |   | — |   |   | 7,414 |   |
| United States Government and agencies  | 1,928                  |   |   | — |   |   | 1,928 |   |
| State, municipal and other governments | 123,846                |   |   | 16,343 |   |   | 140,189 |   |
| Redeemable preferred stocks            | —                |   |   | 4,526 |   |   | 4,526 |   |
| Total                                  | $                      | 384,333 |   |   | $ | 523,284 |   |   | $ | 907,617 |   |
| Percent of total                       | 42.3                   | % |   | 57.7 | % |   | 100.0 | % |

| Level 3 Financial Instruments Changes in Fair Value |                       |    |
|-----------------------------------------------------|----------------------------|---------|
|                                                |                       |    |   |   |   |   |   |   |   |   |   |
|                                                | December 31, 2009          |
|                                                | Balance, December 31, 2008 |    | Purchases(disposals),net |   | Realized andunrealizedgains (losses),net |   | Net transfersin (out) ofLevel 3 (1) |   | Included inearnings(amort- ization) |   | Balance, December 31, 2009 |
|                                                | (Dollars in thousands)     |
| Assets                                              |                       |    |   |   |   |   |   |   |   |   |   |
| Corporate securities                                | $                          | 642,234 |   |   | $ | (29,773 | ) |   | $ | 16,079 |   |   | $ | (440,593 | ) |   | $ | 533 |   |   | $ | 188,480 |   |
| Residential mortgage-backed securities              | 70,003                     |    |   | — |   |   | — |   |   | (70,003 | ) |   | — |   |   | — |   |
| Commercial mortgage-backed securities               | 24,122                     |    |   | (2,125 | ) |   | 9,713 |   |   | — |   |   | (223 | ) |   | 31,487 |   |
| Other asset-backed securities                       | 17,201                     |    |   | 4,956 |   |   | (2,433 | ) |   | 3,001 |   |   | 223 |   |   | 22,948 |   |
| Collateralized debt obligations                     | 7,414                      |    |   | — |   |   | 5,481 |   |   | — |   |   | (3 | ) |   | 12,892 |   |
| United States Government and agencies               | 1,928                      |    |   | 14,151 |   |   | 523 |   |   | (1,928 | ) |   | 9 |   |   | 14,683 |   |
| State, municipal and other governments              | 140,189                    |    |   | (6,641 | ) |   | (2,814 | ) |   | (19,999 | ) |   | (28 | ) |   | 110,707 |   |
| Redeemable preferred stocks                         | 4,526                      |    |   | — |   |   | — |   |   | (4,526 | ) |   | — |   |   | — |   |
| Non-redeemable preferred stocks                     | —                    |    |   | — |   |   | (2,107 | ) |   | 9,506 |   |   | — |   |   | 7,399 |   |
| Other long-term investments                         | 1,527                      |    |   | — |   |   | — |   |   | — |   |   | 355 |   |   | 1,882 |   |
| Total                                               | $                          | 909,144 |   |   | $ | (19,432 | ) |   | $ | 24,442 |   |   | $ | (524,542 | ) |   | $ | 866 |   |   | $ | 390,478 |   |

|                                   | December 31, 2008          |
|----------------------------------------|----------------------------|
|                                   | Balance, December 31, 2007 |   | Purchases(disposals),net |   | Realized andunrealizedgains (losses),net |   | Net transfersin (out) ofLevel 3 (2) |   | Included inearnings(amort- ization) |   | Balance, December 31, 2008 |
|                                   | (Dollars in thousands)     |
| Assets                                 |                       |   |   |   |   |   |   |   |   |   |   |
| Corporate securities                   | $                          | 588,990 |   |   | $ | 113,562 |   |   | $ | (106,187 | ) |   | $ | 46,192 |   |   | $ | (323 | ) |   | $ | 642,234 |   |
| Residential mortgage-backed securities | —                    |   |   | — |   |   | (29,488 | ) |   | 99,461 |   |   | 30 |   |   | 70,003 |   |
| Commercial mortgage-backed securities  | 117,367                    |   |   | (3,369 | ) |   | (28,416 | ) |   | (61,504 | ) |   | 44 |   |   | 24,122 |   |
| Other asset-backed securities          | 55,605                     |   |   | (4,093 | ) |   | (18,834 | ) |   | (15,463 | ) |   | (14 | ) |   | 17,201 |   |
| Collateralized debt obligations        | 50,303                     |   |   | (200 | ) |   | (35,970 | ) |   | (6,720 | ) |   | 1 |   |   | 7,414 |   |
| United States Government and agencies  | 126,472                    |   |   | (357 | ) |   | 1 |   |   | (124,141 | ) |   | (47 | ) |   | 1,928 |   |
| State, municipal and other governments | 128,974                    |   |   | 44,503 |   |   | (18,900 | ) |   | (14,377 | ) |   | (11 | ) |   | 140,189 |   |
| Redeemable preferred stocks            | 4,986                      |   |   | — |   |   | (460 | ) |   | — |   |   | — |   |   | 4,526 |   |
| Other long-term investments            | 1,300                      |   |   | 173 |   |   | — |   |   | — |   |   | 54 |   |   | 1,527 |   |
| Total                                  | $                          | 1,073,997 |   |   | $ | 150,219 |   |   | $ | (238,254 | ) |   | $ | (76,552 | ) |   | $ | (266 | ) |   | $ | 909,144 |   |

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| (1) | Included in the net transfers in (out) line is $540.8 million of securities that were priced using a broker only quote at December 31, 2008 that were transferred to a pricing service that uses observable market data in the prices and $16.3 million that were transferred into Level 3 that did not have enough observable data to include in Level 2 at December 31, 2009.   |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) | Included in the net transfers in (out) line  is $270.1 million of securities that were priced using a broker only quote at December 31, 2007 that were transferred to a pricing service that uses observable market data in the prices and $193.6 million that were transferred into Level 3 that did not have enough observable data to include in Level 2 at December 31, 2008. |

| Future policy benefits - index product embedded derivatives                         |                   |    |   |
|-------------------------------------------------------------------------------------|------------------------|---------|--------|
|                                                                                |                   |    |   |
|                                                                                | 2009                   |    | 2008   |
|                                                                                | (Dollars in thousands) |
| Balance, beginning of year                                                          | $                      | 523,515 |   |   | $ | 747,511 |   |
| Premiums less benefits, net                                                         | (37,252                | )       |   | 22,432 |   |
| Impact of unrealized gains (losses), net                                            | 15,804                 |    |   | (246,428 | ) |
| Balance, end of year                                                                | $                      | 502,067 |   |   | $ | 523,515 |   |
|                                                                                |                   |    |   |
| Change in unrealized gains/losses on embedded derivatives held at end of period (1) | $                      | 15,804  |   |   | $ | (246,428 | ) |

| (1) |   | Excludes host accretion and the timing of posting index credits, which are included with the change in value of index product embedded derivatives in the consolidated statements of operations. |
|-----|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                  | Year ended December 31, |
|---------------------------------------------------------------------------------------|-------------------------|
|                                                                                  | 2009                    |   | 2008 |   | 2007 |
|                                                                                  | (Dollars in thousands)  |
| Excluding impact of net unrealized investment gains and losses:                       |                    |   |   |   |   |
| Balance at beginning of year                                                          | $                       | 37,886 |   |   | $ | 40,591 |   |   | $ | 45,660 |   |
| Impact of reclassification of realized losses to accumulated other comprehensive loss | (129                    | ) |   | — |   |   | — |   |
| Accretion of interest during the year                                                 | 1,607                   |   |   | 1,662 |   |   | 1,819 |   |
| Amortization of asset                                                                 | (4,241                  | ) |   | (4,367 | ) |   | (6,888 | ) |
| Balance prior to impact of net unrealized investment gains and losses                 | 35,123                  |   |   | 37,886 |   |   | 40,591 |   |
| Impact of net unrealized investment gains and losses                                  | 3,658                   |   |   | 25,235 |   |   | 624 |   |
| Balance at end of year                                                                | $                       | 38,781 |   |   | $ | 63,121 |   |   | $ | 41,215 |   |

| GMDB, IDB and GMIB Net Amount at Risk by Type of Guarantee     |
|----------------------------------------------------------------|
|                                                           |   |   |   |   |   |   |   |
|                                                           | December 31, 2009 |   | December 31, 2008 |
| Type of Guarantee                                              | Separate Account Balance |   | Net Amount at Risk |   | Separate Account Balance |   | Net Amount at Risk |
|                                                           | (Dollars in thousands) |
| Guaranteed minimum death benefit:                              |   |   |   |   |   |   |   |
| Return of net deposits                                         | $ | 165,953 |   |   | $ | 4,687 |   |   | $ | 144,119 |   |   | $ | 19,626 |   |
| Return the greater of highest anniversaryvalue or net deposits | 332,901 |   |   | 55,951 |   |   | 265,105 |   |   | 126,169 |   |
| Incremental death benefit                                      | 265,748 |   |   | 15,484 |   |   | 224,999 |   |   | 6,512 |   |
| Guaranteed minimum income benefit                              | 5,568 |   |   | 27 |   |   | 5,568 |   |   | 27 |   |
| Total                                                          |   |   | $ | 76,149 |   |   |   |   | $ | 152,334 |   |

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| Income Tax Expenses (Credits)                                                 |                    |    |   |     |   |
|-------------------------------------------------------------------------------|-------------------------|---------|--------|----------|--------|
|                                                                          |                    |    |   |     |   |
|                                                                          | Year ended December 31, |
|                                                                          | 2009                    |    | 2008   |     | 2007   |
|                                                                          | (Dollars in thousands)  |
| Taxes provided in consolidated statements of operations on:                   |                    |    |   |     |   |
| Income (loss) before noncontrolling interest and equity income (loss):        |                    |    |   |     |   |
| Current                                                                       | $                       | (4,231  | )      |     | $      | (11,086 | ) |   | $ | 40,530 |   |
| Deferred                                                                      | 37,450                  |    |   | (2,576   | )      |   | 521 |   |
|                                                                          | 33,219                  |    |   | (13,662  | )      |   | 41,051 |   |
| Equity income (loss) - current                                                | 404                     |    |   | (2       | )      |   | 827 |   |
|                                                                          |                    |    |   |     |   |
| Taxes provided in consolidated statements of changes in stockholders' equity: |                    |    |   |     |   |
| Change in cumulative effect of change in accountingprincipal - deferred       | —                 |    |   | (439     | )      |   | — |   |
| Change in net unrealized investment gains/losses - deferred                   | 304,157                 |    |   | (330,308 | )      |   | (34,742 | ) |
| Non-credit impairment losses - deferred                                       | (9,778                  | )       |   | —  |   |   | — |   |
| Adjustment resulting from capital transaction of equity investee - deferred   | —                 |    |   | (23      | )      |   | 39 |   |
| Change in underfunded status of other postretirement benefit plans - deferred | 5                       |    |   | 10       |   |   | (10 | ) |
| Issuance of shares under stock option plan - current                          | (310                    | )       |   | (134     | )      |   | (1,376 | ) |
| Issuance of shares under stock option plan - deferred                         | 750                     |    |   | 69       |   |   | — |   |
|                                                                          | 294,824                 |    |   | (330,825 | )      |   | (36,089 | ) |
|                                                                          | $                       | 328,447 |   |     | $      | (344,489 | ) |   | $ | 5,789 |   |

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| Effective Tax Rate Reconciliation to Federal Income Tax Rate                        |
|-------------------------------------------------------------------------------------|
|                                                                                |   |   |   |   |   |
|                                                                                | Year ended December 31, |
|                                                                                | 2009 |   | 2008 |   | 2007 |
|                                                                                | (Dollars in thousands) |
| Income (loss) before income taxes, noncontrolling interest and equity income (loss) | $ | 102,161 |   |   | $ | (31,879 | ) |   | $ | 125,806 |   |
|                                                                                |   |   |   |   |   |
| Income tax (benefit) at federal statutory rate (35%)                                | $ | 35,756 |   |   | $ | (11,158 | ) |   | $ | 44,032 |   |
| Tax effect (decrease) of:                                                           |   |   |   |   |   |
| Tax-exempt dividend and interest income                                             | (2,649 | ) |   | (2,618 | ) |   | (2,700 | ) |
| Other items                                                                         | 112 |   |   | 114 |   |   | (281 | ) |
| Income tax expense (benefit)                                                        | $ | 33,219 |   |   | $ | (13,662 | ) |   | $ | 41,051 |   |

| Tax Effect of Temporary Differences Giving Rise to Deferred Income Tax Assets and Liabilities |
|-----------------------------------------------------------------------------------------------|
|                                                                                          |   |   |   |
|                                                                                          | December 31, |
|                                                                                          | 2009 |   | 2008 |
|                                                                                          | (Dollars in thousands) |
| Deferred income tax assets:                                                                   |   |   |   |
| Fixed maturity and equity securities                                                          | $ | 191,961 |   |   | $ | 585,456 |   |
| Future policy benefits                                                                        | 295,690 |   |   | 306,651 |   |
| Accrued benefit and compensation costs                                                        | 11,966 |   |   | 11,378 |   |
| Other                                                                                         | 11,153 |   |   | 6,029 |   |
|                                                                                          | 510,770 |   |   | 909,514 |   |
| Deferred income tax liabilities:                                                              |   |   |   |
| Deferred policy acquisition costs                                                             | 337,034 |   |   | 425,817 |   |
| Deferred sales inducements                                                                    | 125,400 |   |   | 147,059 |   |
| Value of insurance in force acquired                                                          | 13,573 |   |   | 22,092 |   |
| Call options on fixed index annuities                                                         | 52,562 |   |   | — |   |
| Other                                                                                         | 9,707 |   |   | 9,466 |   |
|                                                                                          | 538,276 |   |   | 604,434 |   |
| Net deferred income tax asset (liability)                                                     | $ | (27,506 | ) |   | $ | 305,080 |   |

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| Plans' Funded Status for all Employers Combined |                                          |    |   |
|-------------------------------------------------|-----------------------------------------------|---------|--------|
|                                            |                                          |    |   |
|                                            | As of or for the year ended December 31, |
|                                            | 2009                                          |    | 2008   |
|                                            | (Dollars in thousands)                        |
| Change in benefit obligation - all employers    |                                          |    |   |
| Net benefit obligation at beginning of the year | $                                             | 275,641 |   |   | $ | 260,738 |   |
| Service cost                                    | 7,443                                         |    |   | 8,291 |   |
| Interest cost                                   | 15,558                                        |    |   | 18,534 |   |
| Actuarial loss                                  | 399                                           |    |   | 12,787 |   |
| Benefits paid                                   | (23,356                                       | )       |   | (22,465 | ) |
| Other                                           | (2,840                                        | )       |   | (2,244 | ) |
| Net benefit obligation at end of the year       | 272,845                                       |    |   | 275,641 |   |

| Change in plan assets - all employers              |    |    |   |
|----------------------------------------------------|---------|---------|--------|
| Fair value of plan assets at beginning of the year | 172,708 |    |   | 207,456 |   |
| Actual return on plan assets                       | 19,542  |    |   | (25,327 | ) |
| Employer contributions                             | 21,285  |    |   | 16,372 |   |
| Benefits paid                                      | (23,356 | )       |   | (22,465 | ) |
| Other                                              | (2,840  | )       |   | (3,328 | ) |
| Fair value of plan assets at end of the year       | 187,339 |    |   | 172,708 |   |
| Underfunded status at end of the year              | $       | (85,506 | )      |   | $ | (102,933 | ) |

| Components of Net Periodic Pension Cost for all Employers Combined |
|--------------------------------------------------------------------|
|                                                               |   |   |   |   |   |
|                                                               | Year  ended December 31, |
|                                                               | 2009 |   | 2008 |   | 2007 |
|                                                               | (Dollars in thousands) |
| Service cost                                                       | $ | 7,443 |   |   | $ | 6,636 |   |   | $ | 9,364 |   |
| Interest cost                                                      | 15,558 |   |   | 14,835 |   |   | 13,903 |   |
| Expected return on assets                                          | (11,987 | ) |   | (13,978 | ) |   | (12,347 | ) |
| Amortization of prior service cost                                 | 740 |   |   | 784 |   |   | 775 |   |
| Amortization of actuarial loss                                     | 8,866 |   |   | 3,779 |   |   | 4,479 |   |
| Settlement expense                                                 | 1,252 |   |   | 1,476 |   |   | — |   |
| Net periodic pension cost - all employers                          | $ | 21,872 |   |   | $ | 13,532 |   |   | $ | 16,174 |   |

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| FBL's Proportionate Share of Prepaid or Accrued Pension Cost   |                   |   |   |
|----------------------------------------------------------------|------------------------|--------|--------|
|                                                           |                   |   |   |
|                                                           | December 31,           |
|                                                           | 2009                   |   | 2008   |
|                                                           | (Dollars in thousands) |
| Amounts recognized in our consolidated financial statements    |                   |   |   |
| Prepaid benefit cost                                           | $                      | 15,443 |   |   | $ | 13,140 |   |
| Accrued benefit cost                                           | (10,284                | )      |   | (10,241 | ) |
| Net amount recognized in our consolidated financial statements | $                      | 5,159  |   |   | $ | 2,899 |   |

| Information for Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets |
|---------------------------------------------------------------------------------------------|
|                                                                                        |   |
|                                                                                        | December 31, |
|                                                                                        | 2009 |   | 2008 |
|                                                                                        | (Dollars in thousands) |
| Projected benefit obligation - all employers                                                | $ | 272,845 |   |   | $ | 275,641 |   |
| Accumulated benefit obligation - all employers                                              | 240,467 |   |   | 243,358 |   |
| Fair value of plan assets - all employers                                                   | 187,339 |   |   | 172,708 |   |

| Weighted Average Assumptions Used to Determine Benefit Obligations |
|--------------------------------------------------------------------|
|                                                               |   |   |   |
|                                                               | December 31, |
|                                                               | 2009 |   | 2008 |
| Discount rate                                                      | 5.52 | % |   | 5.93 | % |
| Annual salary increases                                            | 4.00 | % |   | 4.00 | % |

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| Weighted Average Assumptions Used to Determine Net Periodic Pension Cost |
|--------------------------------------------------------------------------|
|                                                                     |   |   |   |   |   |
|                                                                     | Year Ended December 31, |
|                                                                     | 2009 |   | 2008 |   | 2007 |
| Discount rate                                                            | 5.93 | % |   | 6.01 | % |   | 5.60 | % |
| Expected long-term return on plan assets                                 | 7.00 | % |   | 7.00 | % |   | 7.00 | % |
| Annual salary increases                                                  | 4.00 | % |   | 4.00 | % |   | 4.00 | % |

|  | quoted prices for similar assets and liabilities in active markets;                                               |
|--|-------------------------------------------------------------------------------------------------------------------|
|  | quoted prices for identical or similar assets or liabilities in markets that are not active;                      |
|  | observable inputs other than quoted prices that are used in the valuation of the assets or liabilities; or        |
|  | inputs that are derived principally from or corroborated by observable market data by correlation or other means. |

|  | Group and funded annuity contracts - contract value is equivalent to fair value, as the interest-crediting rates are periodically reset to market at the discretion of the issuer. |
|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  | Pooled separate accounts - the value is based on the latest quoted market price of the investments held within the fund.                                                           |

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| Fair Values of Pension Plan Assets by Asset Category and Hierarchy Levels                 |
|-------------------------------------------------------------------------------------------|
|                                                                                      |   |
|                                                                                      | December 31, 2009 |
|                                                                                      | Quoted prices inactive markets foridentical assets(Level 1) |   | Significant otherobservableinputs(Level 2) |   | Significantunobservableinputs(Level 3) |   | Total |
|                                                                                      | (Dollars in thousands) |
| Annuities (a):                                                                            |   |   |   |   |   |   |   |
| Group annuity contract                                                                    | $ | — |   |   | $ | — |   |   | $ | 92,891 |   |   | $ | 92,891 |   |
| Funded annuity contracts                                                                  | — |   |   | — |   |   | 15,125 |   |   | 15,125 |   |
| Pooled separate accounts (b):                                                             |   |   |   |   |   |   |   |
| Money market                                                                              | — |   |   | 1,125 |   |   | — |   |   | 1,125 |   |
| Equity securities:                                                                        |   |   |   |   |   |   |   |
|      U.S. large-cap growth                                       | — |   |   | 20,020 |   |   | — |   |   | 20,020 |   |
|      U.S. large-cap                                              | — |   |   | 30,500 |   |   | — |   |   | 30,500 |   |
|      U.S. mid-cap                                                | — |   |   | 4,921 |   |   | — |   |   | 4,921 |   |
|      U.S. small-cap                                              | — |   |   | 4,924 |   |   | — |   |   | 4,924 |   |
|      International                                               | — |   |   | 10,695 |   |   | — |   |   | 10,695 |   |
|      Domestic real estate                                        | — |   |   | 2,561 |   |   | 4,577 |   |   | 7,138 |   |
|                                                                                      |   |   |   |   |   |   |   |
| (a)  Represents a group annuity contract with Farm Bureau Life                            |
| (b)  Represents pooled separate account investments with Principal Life Insurance Company |

| Level 3 Plan Asset Changes in Fair Value |
|------------------------------------------|
|                                     |   |   |   |   |   |   |   |
|                                     | December 31, 2009 |
|                                     | December 31, 2008 |   | Purchases(disposals),net |   | Realized and unrealized gains (losses), net |   | December 31, 2009 |
|                                     | (Dollars in thousands) |
| Group annuity contract                   | $ | 108,919 |   |   | $ | (16,028 | ) |   | $ | — |   |   | $ | 92,891 |   |
| Funded annuity contracts                 | 15,340 |   |   | (215 | ) |   | — |   |   | 15,125 |   |
| Equity securities - Domestic real estate | 6,690 |   |   | — |   |   | (2,113 | ) |   | 4,577 |   |
| Total                                    | $ | 130,949 |   |   | $ | (16,243 | ) |   | $ | (2,113 | ) |   | $ | 112,593 |   |

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|                                                            | Year ended December 31, |
|-----------------------------------------------------------------|-------------------------|
|                                                            | 2009                    |   | 2008 |   | 2007 |
| Weighted average risk-free interest rate                        | 1.60                    | % |   | 3.10 | % |   | 4.73 | % |
| Dividend yield                                                  | 1.40                    | % |   | 1.25 | % |   | 1.35 | % |
| Weighted average volatility factor of the expected market price | 0.42                    |   |   | 0.25 |   |   | 0.20 |   |
| Weighted average expected term                                  | 5.0 years               |   | 5.3  years |   | 5.7  years |

| Stock Option Activity                                         |                                          |   |                                    |   |                                               |   |                        |
|---------------------------------------------------------------|-----------------------------------------------|--------|-----------------------------------------|--------|----------------------------------------------------|--------|-----------------------------|
|                                                          | Number of Shares                              |   | Weighted-AverageExercise Priceper Share |   | Weighted-AverageRemainingContractualTerm (inYears) |   | AggregateIntrinsicValue (1) |
|                                                          | (Dollars in thousands, except per share data) |
| Shares under option at January 1, 2009                        | 2,662,425                                     |   |                                    | $      | 28.68                                              |   |                        |   |   |   |
| Granted                                                       | 404,044                                       |   |                                    | 13.00  |                                               |   |                        |   |   |
| Exercised                                                     | (69,235                                       | )      |                                    | 16.66  |                                               |   |                        |   |   |
| Forfeited or expired                                          | (499,757                                      | )      |                                    | 26.15  |                                               |   |                        |   |   |
| Shares under option at December 31, 2009                      | 2,497,477                                     |   |                                    | 26.98  |                                               |   | 4.80                        |   |   | $ | 2,001 |   |
|                                                          |                                          |   |                                    |   |                                               |   |                        |
| Vested at December 31, 2009 or expected to vest in the future | 2,470,069                                     |   |                                    | $      | 27.05                                              |   |                        | 4.75 |   |   | $ | 1,906 |   |
| Exercisable options at December 31, 2009                      | 1,769,412                                     |   |                                    | $      | 27.54                                              |   |                        | 3.53 |   |   | $ | 456 |   |

| (1) |   | Represents the difference between the share price and exercise price for each option, excluding options where the exercise price is above the share price, at December 31, 2009. |
|-----|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| Nonvested Stock Activity             |             |   |                                            |
|--------------------------------------|------------------|--------|-------------------------------------------------|
|                                 |             |   |                                            |
|                                 | Number of Shares |   | Weighted-Average Grant-Date Fair Valueper Share |
| Nonvested stock at January 1, 2009   | 330,946          |   |                                            | $ | 34.66 |   |
| Granted                              | 474,866          |   |                                            | 3.97 |   |
| Released                             | (91,201          | )      |                                            | 11.56 |   |
| Forfeited                            | (271,237         | )      |                                            | 21.82 |   |
| Nonvested stock at December 31, 2009 | 443,374          |   |                                            | 14.40 |   |

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| 12) Earnings (Loss) per Share                                                               |                                          |   |   |       |   |
|---------------------------------------------------------------------------------------------|-----------------------------------------------|--------|--------|------------|--------|
|                                                                                        |                                          |   |   |       |   |
| Computation of Earnings (Loss) Per Common Share                                             |                                          |   |   |       |   |
|                                                                                        |                                          |   |   |       |   |
|                                                                                        | Year ended December 31,                       |
|                                                                                        | 2009                                          |   | 2008   |       | 2007   |
|                                                                                        | (Dollars in thousands, except per share data) |
| Numerator:                                                                                  |                                          |   |   |       |   |
| Net income (loss) attributable to FBL Financial Group, Inc.                                 | $                                             | 69,835 |   |       | $      | (18,149 | ) |   | $ | 86,339 |   |
| Dividends on Series B preferred stock                                                       | (150                                          | )      |   | (150       | )      |   | (150 | ) |
| Numerator for earnings (loss) per common share - income available to common stockholders    | 69,685                                        |   |   | (18,299    | )      |   | 86,189 |   |
|                                                                                        |                                          |   |   |       |   |
| Denominator:                                                                                |                                          |   |   |       |   |
| Weighted average shares                                                                     | 29,934,576                                    |   |   | 29,815,654 |   |   | 29,653,470 |   |
| Deferred common stock units relating to deferred compensation plans                         | 142,871                                       |   |   | 78,255     |   |   | 60,792 |   |
| Denominator for earnings (loss) per common share - weighted-average shares                  | 30,077,447                                    |   |   | 29,893,909 |   |   | 29,714,262 |   |
| Effect of dilutive securities - stock-based compensation                                    | 124,029                                       |   |   | —    |   |   | 607,355 |   |
| Denominator for diluted earnings (loss) per common share - adjusted weighted-average shares | 30,201,476                                    |   |   | 29,893,909 |   |   | 30,321,617 |   |
|                                                                                        |                                          |   |   |       |   |
| Earnings (loss) per common share                                                            | $                                             | 2.32   |   |       | $      | (0.61 | ) |   | $ | 2.90 |   |
|                                                                                        |                                          |   |   |       |   |
| Earnings (loss) per common share - assuming dilution                                        | $                                             | 2.31   |   |       | $      | (0.61 | ) |   | $ | 2.84 |   |

|                              | December 31,    |
|-----------------------------------|-----------------|
|                              | 2009            |   | 2008 |   | 2007 |
| Number of shares excluded         | 3,066,469       |   | 2,141,609 |   | 592,768 |
| Range of option price per share   | $12.90 - $40.53 |   |   | $20.00 - $40.85 |   | $31.43 - $40.85 |
| Year through which options expire | 2019            |   | 2018 |   | 2017 |

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|  |   | investments and related investment income not specifically allocated to our product segments;                 |
|--|--------|---------------------------------------------------------------------------------------------------------------|
|  |   | interest expense;                                                                                             |
|  |   | accident and health insurance products, primarily a closed block of group policies;                           |
|  |   | advisory services for the management of investments and other companies;                                      |
|  |   | marketing and distribution services for the sale of mutual funds and insurance products not issued by us; and |
|  |   | leasing services, primarily with affiliates.                                                                  |

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| Financial Information Concerning our Operating Segments  |                    |      |   |     |   |
|----------------------------------------------------------|-------------------------|-----------|--------|----------|--------|
|                                                     |                    |      |   |     |   |
|                                                     | Year ended December 31, |
|                                                     | 2009                    |      | 2008   |     | 2007   |
|                                                     | (Dollars in thousands)  |
| Operating revenues:                                      |                    |      |   |     |   |
| Traditional Annuity - Exclusive Distribution             | $                       | 151,078   |   |     | $      | 143,711 |   |   | $ | 150,403 |   |
| Traditional Annuity - Independent Distribution           | 388,687                 |      |   | 333,361  |   |   | 376,887 |   |
| Traditional and Universal Life Insurance                 | 352,071                 |      |   | 340,164  |   |   | 335,093 |   |
| Variable                                                 | 64,240                  |      |   | 64,384   |   |   | 63,380 |   |
| Corporate and Other                                      | 22,613                  |      |   | 33,013   |   |   | 38,351 |   |
|                                                     | 978,689                 |      |   | 914,633  |   |   | 964,114 |   |
| Realized/unrealized gains (losses) on investments (A)    | (20,931                 | )         |   | (156,467 | )      |   | 5,769 |   |
| Change in net unrealized gains/losses on derivatives (A) | 156,828                 |      |   | (113,701 | )      |   | (55,284 | ) |
| Consolidated revenues                                    | $                       | 1,114,586 |   |     | $      | 644,465 |   |   | $ | 914,599 |   |

| Net investment income:                                                   |    |    |   |    |   |
|--------------------------------------------------------------------------|---------|---------|--------|---------|--------|
| Traditional Annuity - Exclusive Distribution                             | $       | 155,177 |   |    | $      | 145,309 |   |   | $ | 146,267 |   |
| Traditional Annuity - Independent Distribution                           | 404,656 |    |   | 395,127 |   |   | 309,131 |   |
| Traditional and Universal Life Insurance                                 | 139,724 |    |   | 143,324 |   |   | 144,231 |   |
| Variable                                                                 | 15,841  |    |   | 14,257  |   |   | 13,658 |   |
| Corporate and Other                                                      | 9,255   |    |   | 9,855   |   |   | 14,744 |   |
| Consolidated net investment income                                       | $       | 724,653 |   |    | $      | 707,872 |   |   | $ | 628,031 |   |
|                                                                     |    |    |   |    |   |
| Depreciation and amortization:                                           |    |    |   |    |   |
| Traditional Annuity - Exclusive Distribution                             | $       | 11,771  |   |    | $      | 13,546 |   |   | $ | 10,453 |   |
| Traditional Annuity - Independent Distribution                           | 131,487 |    |   | 123,702 |   |   | 67,508 |   |
| Traditional and Universal Life Insurance                                 | 26,731  |    |   | 19,853  |   |   | 20,474 |   |
| Variable                                                                 | 5,720   |    |   | 17,038  |   |   | 8,489 |   |
| Corporate and Other                                                      | 2,299   |    |   | 11,322  |   |   | 9,953 |   |
|                                                                     | 178,008 |    |   | 185,461 |   |   | 116,877 |   |
| Realized/unrealized gains (losses) on investments (A)                    | 6,855   |    |   | (34,095 | )      |   | (1,171 | ) |
| Change in net unrealized gains/losses on derivatives (A)                 | 11,309  |    |   | 57,496  |   |   | (28,592 | ) |
| Consolidated depreciation and amortization                               | $       | 196,172 |   |    | $      | 208,862 |   |   | $ | 87,114 |   |
|                                                                     |    |    |   |    |   |
| Pre-tax operating income (loss):                                         |    |    |   |    |   |
| Traditional Annuity - Exclusive Distribution                             | $       | 35,985  |   |    | $      | 27,946 |   |   | $ | 33,011 |   |
| Traditional Annuity - Independent Distribution                           | 23,243  |    |   | 5,360   |   |   | 39,875 |   |
| Traditional and Universal Life Insurance                                 | 85,939  |    |   | 53,059  |   |   | 58,685 |   |
| Variable                                                                 | 11,245  |    |   | (1,584  | )      |   | 12,514 |   |
| Corporate and Other                                                      | (21,770 | )       |   | (12,377 | )      |   | (2,020 | ) |
|                                                                     | 134,642 |    |   | 72,404  |   |   | 142,065 |   |
| Income taxes on operating income                                         | (44,537 | )       |   | (22,812 | )      |   | (46,444 | ) |
| Realized/unrealized gains (losses) on investments (A)                    | (18,061 | )       |   | (79,542 | )      |   | 4,501 |   |
| Change in net unrealized gains/losses on derivatives (A)                 | (2,209  | )       |   | 11,801  |   |   | (13,500 | ) |
| Cumulative effect of change in accounting principle                      | — |    |   | — |   |   | (283 | ) |
| Consolidated net income (loss) attributable to FBL Financial Group, Inc. | $       | 69,835  |   |    | $      | (18,149 | ) |   | $ | 86,339 |   |

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|                                                                 | December 31,           |
|----------------------------------------------------------------------|------------------------|
|                                                                 | 2009                   |   | 2008 |
|                                                                 | (Dollars in thousands) |
| Assets:                                                              |                   |   |   |
| Traditional Annuity - Exclusive Distribution                         | $                      | 2,786,453 |   |   | $ | 2,593,176 |   |
| Traditional Annuity - Independent Distribution                       | 7,651,620              |   |   | 8,116,304 |   |
| Traditional and Universal Life Insurance                             | 2,431,443              |   |   | 2,619,677 |   |
| Variable                                                             | 1,129,836              |   |   | 984,872 |   |
| Corporate and Other                                                  | 571,316                |   |   | 597,471 |   |
|                                                                 | 14,570,668             |   |   | 14,911,500 |   |
| Unrealized losses in accumulated other comprehensive income loss (A) | (180,509               | ) |   | (684,072 | ) |
| Other classification adjustments                                     | (130,818               | ) |   | (166,614 | ) |
| Consolidated assets                                                  | $                      | 14,259,341 |   |   | $ | 14,060,814 |   |

| (A) |   | Amounts are net of adjustments, as applicable, to amortization of unearned revenue reserves, deferred policy acquisition costs, deferred sales inducements, value of insurance in force acquired and income taxes attributable to these items. |
|-----|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                         | Year ended December 31, |
|------------------------------------------------------------------------------|-------------------------|
|                                                                         | 2009                    |   | 2008 |   | 2007 |
| Life and annuity collected premiums (excluding Independent Annuity segment): |                    |   |   |   |   |
| Iowa                                                                         | 28.3                    | % |   | 27.3 | % |   | 27.7 | % |
| Kansas                                                                       | 18.5                    |   |   | 18.0 |   |   | 15.7 |   |
| Oklahoma                                                                     | 11.1                    |   |   | 9.4 |   |   | 6.0 |   |
| Independent Annuity segment collected premiums:                              |                    |   |   |   |   |
| Pennsylvania                                                                 | 10.4                    |   |   | 9.8 |   |   | 10.1 |   |
| Florida                                                                      | 9.9                     |   |   | 9.1 |   |   | 9.2 |   |
| Texas                                                                        | 7.1                     |   |   | 6.7 |   |   | 7.1 |   |
| California                                                                   | 6.7                     |   |   | 6.9 |   |   | 7.1 |   |

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|                                                        | 2009                                          |
|-------------------------------------------------------------|-----------------------------------------------|
| Quarter ended                                               | March 31,                                     |   | June 30, |   | September 30, |   | December 31, |
|                                                        | (Dollars in thousands, except per share data) |
| Premiums and product charges                                | $                                             | 79,094 |   |   | $ | 93,945 |   |   | $ | 72,491 |   |   | $ | 69,018 |   |
| Net investment income                                       | 184,069                                       |   |   | 182,772 |   |   | 180,168 |   |   | 177,644 |   |
| Derivative income (loss)                                    | (24,601                                       | ) |   | 17,000 |   |   | 49,426 |   |   | 25,690 |   |
| Realized gains (losses) on investments                      | (19,670                                       | ) |   | 6,121 |   |   | 870 |   |   | (8,186 | ) |
| Total revenues                                              | 223,478                                       |   |   | 304,499 |   |   | 307,543 |   |   | 279,066 |   |
| Net income (loss) attributable to FBL Financial Group, Inc. | (1,490                                        | ) |   | 24,418 |   |   | 15,915 |   |   | 30,992 |   |
|                                                        |                                          |   |   |   |   |   |   |
| Earnings (loss) per common share                            | $                                             | (0.05 | ) |   | $ | 0.81 |   |   | $ | 0.53 |   |   | $ | 1.03 |   |
| Earnings (loss) per common share - assuming dilution        | $                                             | (0.05 | ) |   | $ | 0.81 |   |   | $ | 0.53 |   |   | $ | 1.02 |   |

|                                                        | 2008                                          |
|-------------------------------------------------------------|-----------------------------------------------|
| Quarter ended                                               | March 31,                                     |   | June 30, |   | September 30, |   | December 31, |
|                                                        | (Dollars in thousands, except per share data) |
| Premiums and product charges                                | $                                             | 65,254 |   |   | $ | 70,554 |   |   | $ | 69,213 |   |   | $ | 71,364 |   |
| Net investment income                                       | 168,494                                       |   |   | 172,173 |   |   | 181,888 |   |   | 185,317 |   |
| Derivative loss                                             | (98,896                                       | ) |   | (31,685 | ) |   | (40,951 | ) |   | (37,261 | ) |
| Realized losses on investments                              | (29,347                                       | ) |   | (74,021 | ) |   | (27,156 | ) |   | (25,785 | ) |
| Total revenues                                              | 111,370                                       |   |   | 143,976 |   |   | 189,539 |   |   | 199,580 |   |
| Net income (loss) attributable to FBL Financial Group, Inc. | 6,438                                         |   |   | (16,575 | ) |   | 11,216 |   |   | (19,228 | ) |
|                                                        |                                          |   |   |   |   |   |   |
| Earnings (loss) per common share                            | $                                             | 0.21 |   |   | $ | (0.55 | ) |   | $ | 0.37 |   |   | $ | (0.64 | ) |
| Earnings (loss) per common share - assuming dilution        | $                                             | 0.21 |   |   | $ | (0.55 | ) |   | $ | 0.37 |   |   | $ | (0.64 | ) |

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| Quarterly Net Impact of Changes in Unrealized Gains and Losses on Derivatives |
|-------------------------------------------------------------------------------|
|                                                                          |   |   |   |   |   |   |   |
| Quarter ended                                                                 | March 31, |   | June 30, |   | September 30, |   | December 31, |
|                                                                          | (Dollars in thousands) |
| 2009                                                                          | $ | 1,682 |   |   | $ | (1,325 | ) |   | $ | (5,240 | ) |   | $ | 2,674 |   |
| 2008                                                                          | $ | 3,535 |   |   | $ | 4,939 |   |   | $ | 5,270 |   |   | $ | (1,943 | ) |

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Table of Contents

| (a)    | 1.     | Financial Statements. See Table of Contents following the cover page for a list of financial statements included in this Report.                         |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                          |   |
|   | 2.     | Financial Statement Schedules. The following financial statement schedules are included as part of this Report immediately following the signature page: |
|   |   |                                                                                                                                                          |   |
|   |   |                                                                                                                                                          | Schedule I - Summary of Investments |
|   |   |                                                                                                                                                          |   |
|   |   |                                                                                                                                                          | Schedule II - Condendensed Financial Information of Registrant (Parent Company) |
|   |   |                                                                                                                                                          |   |
|   |   |                                                                                                                                                          | Schedule III - Supplementary Insurance Information |
|   |   |                                                                                                                                                          |   |
|   |   |                                                                                                                                                          | Schedule IV - Reinsurance |

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Table of Contents

| 3. Exhibits. |
|--------------|
|         |   |
| 3(i)(a)      | Restated Articles of Incorporation, filed with Iowa Secretary of State March 19, 1996 (F) |
| 3(i)(b)      | Articles of Amendment, Designation of Series A Preferred Stock, filed with Iowa Secretary of State April 30, 1996 (F) |
| 3(i)(c)      | Articles of Amendment, Designation of Series B Preferred Stock, filed with Iowa Secretary of State May 30, 1997 (F) |
| 3(i)(d)      | Articles of Correction, filed with Iowa Secretary of State October 27, 2000 (F) |
| 3(i)(f)      | Articles of Amendment, filed with Iowa Secretary of State May 15, 2003 (F) |
| 3(i)(g)      | Articles of Amendment, filed with Iowa Secretary of State May 14, 2004 (F) |
| 3(ii)        | Second Restated and Amended Bylaws, as amended through February 18, 2009 (S) |
| 4.1          | Form of Class A Common Stock Certificate of the Registrant (A) |
| 4.2          | Restated Stockholders' Agreement Regarding Management and Transfer of Shares of Class B Common Stock of FBL Financial Group, Inc. dated as of March 31, 2004 (F) |
| 4.3          | Certificate of Trust; Declaration of Trust of FBL Financial Group Capital Trust dated May 30, 1997, including in Annex I thereto the form of Trust Preferred Security and the form of Trust Common Security; Subordinated Deferrable Interest Note Agreement dated May 30, 1997 between FBL Financial Group, Inc. and FBL Financial Group Capital Trust, including therein the form of Subordinated Deferrable Interest Note; Preferred Securities Guarantee Agreement of FBL Financial Group, Inc., dated May 30 1997 (B) |
| 4.4(a)       | Master Transaction Agreement between Federal Home Loan Bank of Des Moines and Farm Bureau Life Insurance Company dated May 1, 2006 (L) |
| 4.4(b)       | Advance Agreement between Federal Home Loan Bank of Des Moines and Farm Bureau Life Insurance Company dated September 12, 2006 (L) |
| 4.5(a)       | Master Transaction Agreement between Federal Home Loan Bank of Des Moines and EquiTrust Life Insurance Company dated December 24, 2008 |
| 4.5(b)       | Advance Agreement between Federal Home Loan Bank of Des Moines and EquiTrust Life Insurance Company dated December 24, 2008 |
| 4.6          | Indenture, dated as of April 12, 2004, between FBL Financial Group, Inc. and Deutsche Bank Trust Company Americas as Trustee (E) |
| 4.7          | Form of 5.85% Senior Note Due 2014 (E) |
| 4.8          | Form of $100 million 9.25% Senior Notes Due 2011 and attached registration rights agreement. These documents are not filed pursuant to the exception of Regulation S-K, Item 601(b)(4)(iii)(A); FBL Financial Group, Inc. agrees to furnish these documents to the Commission upon request. |
| 4.10         | Indenture, dated as of March 12, 2007, between FBL Financial Group, Inc. and LaSalle Bank National Association as Trustee (N) |
| 4.11         | Form of 5.875% Senior Note Due 2017 (N) |
| 10.1         | 2006 Class A Common Stock Compensation Plan as amended through May 14, 2008 (Q) * |
| 10.1(a)      | Form of Stock Option Agreement, pursuant to the FBL Financial Group, Inc. 2006 Class A Common Stock Compensation Plan (K) * |
| 10.2         | Trademark License from the American Farm Bureau Federation to Farm Bureau Life Insurance Company dated May 20, 1987 (A) |
| 10.3         | Membership Agreement between American Farm Bureau Federation and the Iowa Farm Bureau Federation dated February 13, 1987 (A) |
| 10.4         | Form of Royalty Agreement with Farm Bureau organizations adopted 2009 |
| 10.4(a)      | Forbearance letter agreement dated May 20, 2009 between FBL Financial Group, Inc. and Iowa Farm Bureau Federation (S) |
| 10.4(b)      | Forbearance letter agreement dated December 31, 2009 between FBL Financial Group, Inc. and Iowa Farm Bureau Federation |

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Table of Contents

| 10.5     | Executive Salary and Bonus Deferred Compensation Plan, effective June 1, 2005 (I) *                                                                                                                                                                                                                                       |
|----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.6     | 2008 Revised Rules for Payment of Meeting Fees, Retainers and Expenses to the Board of Directors (P) *                                                                                                                                                                                                                    |
| 10.7     | Form of Services Agreement between FBL Financial Group, Inc. and Farm Bureau Management Corporation, dated as of January 1, 1996 (A)                                                                                                                                                                                      |
| 10.8     | Management Services Agreement between FBL Financial Group, Inc. and Farm Bureau Property Casualty effective as of January 1, 2003 (D)                                                                                                                                                                                     |
| 10.10    | Management Performance Plan (2009) (R) *                                                                                                                                                                                                                                                                                  |
| 10.11    | Management Performance Plan (2010) *                                                                                                                                                                                                                                                                                      |
| 10.14    | Lease Agreement dated as of March 31, 1998 between IFBF Property Management, Inc., FBL Financial Group, Inc. and Farm Bureau Property Casualty Insurance Company (C)                                                                                                                                                      |
| 10.15    | Building Management Services Agreement dated as of March 31, 1998 between IFBF Property Management, Inc. and FBL Financial Group, Inc. (C)                                                                                                                                                                                |
| 10.16    | Coinsurance Agreement between EquiTrust Life Insurance Company and American Equity Investment Life Insurance Company, dated December 29, 2003 (D)                                                                                                                                                                         |
| 10.17    | First Amendment to the Coinsurance Agreement by and between EquiTrust Life Insurance Company and American Equity Investment Life Insurance Company, effective August 1, 2004 (G)                                                                                                                                          |
| 10.25    | Form of Restricted Stock Agreement, dated as of February 20, 2007 between the Company and each of James W. Noyce, John M. Paule, Bruce A. Trost, James P. Brannen, Douglas W. Gumm, David T. Sebastian and Donald J. Seibel (M) *                                                                                         |
| 10.26    | Form of Restricted Stock Agreement, dated as of February 19, 2008 between the Company and each of James W. Noyce, Richard J. Kypta, John M. Paule, Bruce A. Trost, James P. Brannen, Douglas W. Gumm, David T. Sebastian and Donald J. Seibel (P) *                                                                       |
| 10.27    | Form of Restricted Stock Agreement, dated as of February 17, 2009 between the Company and each of James W. Noyce, Richard J. Kypta, John M. Paule, Bruce A. Trost, James P. Brannen, Douglas W. Gumm, Charles T. Happel, David T. Sebastian and Donald J. Seibel (R) *                                                    |
| 10.28    | Employment Contract dated as of April 29, 2009 between the Company and James E. Hohmann, CEO (R) *                                                                                                                                                                                                                        |
| 10.29    | Restricted Stock Agreement dated as of April 29, 2009 between the Company and James E. Hohmann, CEO (R) *                                                                                                                                                                                                                 |
| 10.29(a) | Bonus Metrics Schedule dated June 29, 2009 for 2009 Restricted Stock Agreement between James E. Hohmann and FBL Financial Group dated April 29, 2009 (Confidential treatment has been requested for portions of this exhibit and confidential portions have been filed with the Securities and Exchange Commission) (U) * |
| 10.30    | Termination Agreement and Release of All Claims, by and between James W. Noyce and FBL Financial Group, Inc., effective June 10, 2009 (S) *                                                                                                                                                                               |
| 10.31    | Termination Agreement and Release of All Claims, by and between John M. Paule and FBL Financial Group, Inc., effective October 2, 2009 (T) *                                                                                                                                                                              |
| 10.32    | Director Compensation Plan as amended through May 16, 2007 (O) *                                                                                                                                                                                                                                                          |
| 12       | Statement Regarding Computation of Ratios of Earnings to Fixed Charges                                                                                                                                                                                                                                                    |
| 21       | Subsidiaries of FBL Financial Group, Inc.                                                                                                                                                                                                                                                                                 |
| 23       | Consent of Independent Registered Public Accounting Firm                                                                                                                                                                                                                                                                  |
| 31.1     | Certification Pursuant to Exchange Act Rules 13a-14(a)/15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                    |
| 31.2     | Certification Pursuant to Exchange Act Rules 13a-14(a)/15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                    |
| 32       | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                    |

----

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| Incorporated by reference to: |
|-------------------------------|
| (A)                           | Form S-1 filed on July 11, 1996, File No. 333-04332 |
| (B)                           | Form 8-K filed on June 6, 1997, File No. 001-11917 |
| (C)                           | Form 10-Q for the period ended March 31, 1998, File No. 001-11917 |
| (D)                           | Form 10-K for the period ended December 31, 2003, File No. 001-11917 |
| (E)                           | Form S-4 filed on May 5, 2004, File No. 333-115197 |
| (F)                           | Form 10-Q for the period ended June 30, 2004, File No. 001-11917 |
| (G)                           | Form 10-Q for the period ended September 30, 2004, File No. 001-11917 |
| (H)                           | Reserved |
| (I)                           | Form 10-Q for the period ended June 30, 2005, File No. 001-11917 |
| (J)                           | Reserved |
| (K)                           | Form 10-Q for the period ended June 30, 2006, File No. 001-11917 |
| (L)                           | Form 10-Q for the period ended September 30, 2006, File No. 001-11917 |
| (M)                           | Form 10-K for the period ended December 31, 2006, File No. 001-11917 |
| (N)                           | Form S-4 filed on April 6, 2007, File No. 333-141949 |
| (O)                           | Definitive Proxy Statement filed on March 30, 2007, File No. 00111-11917 |
| (P)                           | Form 10-K for the period ended December 31, 2007, File No. 001-11917 |
| (Q)                           | Definitive Proxy Statement filed on March 31, 2008, File No. 001-11917 |
| (R)                           | Form 10-Q for the period ended March 31, 2009, File No. 001-11917 |
| (S)                           | Form 10-Q for the period ended June 30, 2009, File No. 001-11917 |
| (T)                           | Form 10-Q for the period ended September 30, 2009, File No. 001-11917 |
| (U)                           | Form 10-Q/A for the period ended June 30, 2009, filed November 30, 2009, File No. 001-11917 |

----

Table of Contents

| Signature                              |   | Title                                                                                                 |   | Date              |
|----------------------------------------|--------|-------------------------------------------------------------------------------------------------------|--------|-------------------|
|                                   |   |                                                                                                  |   |              |
| /s/ JAMES E. HOHMANNJames E. Hohmann   |   | Chief Executive Officer (Principal Executive Officer)                                                 |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ JAMES P. BRANNENJames P. Brannen   |   | Chief Financial Officer and Chief Administrative Officer (Principal Financial and Accounting Officer) |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ CRAIG A. LANGCraig A. Lang         |   | Chairman of the Board and Director                                                                    |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ JERRY L. CHICOINEJerry L. Chicoine |   | Vice Chair and Director                                                                               |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ STEVE L. BACCUSSteve L. Baccus     |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ ROGER K. BROOKSRoger K. Brooks     |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ TIM H. GILLTim H. Gill             |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ ROBERT H. HANSONRobert H. Hanson   |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ CRAIG D. HILLCraig D. Hill         |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ PAUL E. LARSONPaul E. Larson       |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ EDWARD W. MEHREREdward W. Mehrer   |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ KEITH R. OLSENKeith R. Olsen       |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ KEVIN G. ROGERSKevin G. Rogers     |   | Director                                                                                              |   | February 17, 2010 |
|                                   |   |                                                                                                  |   |              |
| /s/ JOHN E. WALKERJohn E. Walker       |   | Director                                                                                              |   | February 17, 2010 |

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| Column A                                         |   | Column B               |       | Column C |      | Column D                                 |
|--------------------------------------------------|--------|------------------------|------------|----------|-----------|------------------------------------------|
| Type of Investment                               |   | Cost (1)               |       | Value    |      | Amount at whichshown in the balancesheet |
|                                             |   | (Dollars in thousands) |
| Fixed maturity securities, available for sale:   |   |                   |       |     |      |                                     |
| Bonds:                                           |   |                   |       |     |      |                                     |
| Corporate securities                             |   | $                      | 5,148,466  |     |      | $                                        | 5,102,781 |   |   | $ | 5,102,781 |   |
| Mortgage and asset-backed securities             |   | 3,009,570              |       |     | 2,726,406 |                                     |   | 2,726,406 |   |
| United States Government and agencies            |   | 137,390                |       |     | 139,467   |                                     |   | 139,467 |   |
| State, municipal and other governments           |   | 2,038,244              |       |     | 1,891,253 |                                     |   | 1,891,253 |   |
| Redeemable preferred stocks                      |   | 5,000                  |       |     | 4,694     |                                     |   | 4,694 |   |
| Total                                            |   | 10,338,670             |       |     | $         | 9,864,601                                |   |   | 9,864,601 |   |
|                                             |   |                   |       |     |      |                                     |
| Equity securities, available for sale:           |   |                   |       |     |      |                                     |
| Common stocks:                                   |   |                   |       |     |      |                                     |
| Banks, trusts and insurance companies            |   | 19,416                 |       |     | $         | 19,404                                   |   |   | 19,404 |   |
| Industrial, miscellaneous and all other          |   | 2,206                  |       |     | 2,313     |                                     |   | 2,313 |   |
| Nonredeemable preferred stocks                   |   | 40,649                 |       |     | 38,437    |                                     |   | 38,437 |   |
| Total                                            |   | 62,271                 |       |     | $         | 60,154                                   |   |   | 60,154 |   |
|                                             |   |                   |       |     |      |                                     |
| Mortgage loans on real estate                    |   | 1,294,166              |       |     |      |                                     | 1,293,936 |   |
| Derivative instruments                           |   | 24,811                 |       |     | $         | 44,023                                   |   |   | 44,023 |   |
| Investment real estate                           |   | 2,559                  |       |     |      |                                     | 2,559 |   |
| Real estate acquired in satisfaction of debt (2) |   | 14,071                 |       |     |      |                                     | 14,004 |   |
| Policy loans                                     |   | 168,736                |       |     |      |                                     | 168,736 |   |
| Other long-term investments                      |   | 1,882                  |       |     |      |                                     | 1,882 |   |
| Short-term investments                           |   | 203,142                |       |     |      |                                     | 203,142 |   |
| Total investments                                |   | $                      | 12,110,308 |     |      |                                     |   | $ | 11,653,037 |   |

| (1)    |   | On the basis of cost adjusted for repayments and amortization of premiums and accrual of discounts for fixed maturities and short-term investments; original cost for equity securities, real estate and other long-term investments; original cost net of collateral received for derivative instruments; and unpaid principal balance for mortgage loans on real estate and policy loans. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                        |
| (2)    |   | Amount shown on balance sheet differs from cost due to allowance for possible losses deducted from cost.                                                                                                                                                                                                                                                                                    |

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|                                                                                           | December 31, |
|------------------------------------------------------------------------------------------------|--------------|
|                                                                                           | 2009         |   | 2008 |
| Assets                                                                                         |         |   |   |
| Cash and cash equivalents                                                                      | $            | 527 |   |   | $ | 1,454 |   |
| Amounts receivable from affiliates                                                             | 7,640        |   |   | 11,518 |   |
| Amounts receivable from subsidiaries (eliminated in consolidation)                             | 1,337        |   |   | 1,350 |   |
| Accrued investment income                                                                      | 127          |   |   | 268 |   |
| Current income taxes recoverable                                                               | 5,832        |   |   | 3,825 |   |
| Deferred income taxes                                                                          | 9,005        |   |   | 7,194 |   |
| Other assets                                                                                   | 2,680        |   |   | 1,727 |   |
| Short-term investments                                                                         | 8,629        |   |   | 65,795 |   |
| Fixed maturities-available for sale, at market (amortized cost: 2009 - $8,188; 2008 - $15,474) | 7,884        |   |   | 16,224 |   |
| Investments in subsidiaries (eliminated in consolidation)                                      | 1,206,999    |   |   | 590,752 |   |
| Total assets                                                                                   | $            | 1,250,660 |   |   | $ | 700,107 |   |
|                                                                                           |         |   |   |
| Liabilities and stockholders' equity                                                           |         |   |   |
| Liabilities:                                                                                   |         |   |   |
| Accrued expenses and other liabilities                                                         | $            | 7,632 |   |   | $ | 9,087 |   |
| Amounts payable to affiliates                                                                  | 721          |   |   | 131 |   |
| Amounts payable to subsidiaries (eliminated in consolidation)                                  | 67           |   |   | 2,073 |   |
| Short-term debt                                                                                | —      |   |   | 59,446 |   |
| Long-term debt payable to affiliates                                                           | 100,000      |   |   | 100,000 |   |
| Long-term debt                                                                                 | 271,084      |   |   | 271,005 |   |
| Total liabilities                                                                              | 379,504      |   |   | 441,742 |   |
|                                                                                           |         |   |   |
| Stockholders' equity:                                                                          |         |   |   |
| Preferred stock                                                                                | 3,000        |   |   | 3,000 |   |
| Class A common stock                                                                           | 109,877      |   |   | 104,090 |   |
| Class B common stock                                                                           | 7,522        |   |   | 7,522 |   |
| Accumulated other comprehensive loss                                                           | (118,730     | ) |   | (649,758 | ) |
| Retained earnings                                                                              | 869,487      |   |   | 793,511 |   |
| Total stockholders' equity                                                                     | 871,156      |   |   | 258,365 |   |
| Total liabilities and stockholders' equity                                                     | $            | 1,250,660 |   |   | $ | 700,107 |   |

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|                                                                                                                            | Year Ended December 31, |
|---------------------------------------------------------------------------------------------------------------------------------|-------------------------|
|                                                                                                                            | 2009                    |   | 2008 |   | 2007 |
|                                                                                                                            |                    |   |   |   |   |
| Revenues:                                                                                                                       |                    |   |   |   |   |
| Net investment income                                                                                                           | $                       | 609 |   |   | $ | 1,717 |   |   | $ | 4,425 |   |
| Derivative loss                                                                                                                 | (3,319                  | ) |   | — |   |   | — |   |
| Realized gains (losses) on investments                                                                                          | 545                     |   |   | (3,524 | ) |   | (2,488 | ) |
| Dividends from subsidiaries (eliminated in consolidation)                                                                       | 18,100                  |   |   | 24,300 |   |   | 13,900 |   |
| Management fee income from affiliates                                                                                           | 3,750                   |   |   | 3,509 |   |   | 3,072 |   |
| Management fee income from subsidiaries (eliminated in consolidation)                                                           | 3,555                   |   |   | 6,589 |   |   | 6,345 |   |
| Other income                                                                                                                    | 276                     |   |   | (121 | ) |   | 512 |   |
| Total revenues                                                                                                                  | 23,516                  |   |   | 32,470 |   |   | 25,766 |   |
| Expenses:                                                                                                                       |                    |   |   |   |   |
| Interest expense                                                                                                                | 25,256                  |   |   | 19,540 |   |   | 16,611 |   |
| General and administrative expenses                                                                                             | 7,626                   |   |   | 5,784 |   |   | 6,360 |   |
| Total expenses                                                                                                                  | 32,882                  |   |   | 25,324 |   |   | 22,971 |   |
|                                                                                                                            | (9,366                  | ) |   | 7,146 |   |   | 2,795 |   |
| Income tax benefit                                                                                                              | 8,573                   |   |   | 6,179 |   |   | 4,376 |   |
| Income (loss) before equity in undistributed income of subsidiaries                                                             | (793                    | ) |   | 13,325 |   |   | 7,171 |   |
| Equity in undistributed income (loss) (dividends in excess of equity income/loss) of subsidiaries (eliminated in consolidation) | 70,628                  |   |   | (31,474 | ) |   | 79,168 |   |
| Net income (loss)                                                                                                               | $                       | 69,835 |   |   | $ | (18,149 | ) |   | $ | 86,339 |   |

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|                                                      | Year ended December 31, |
|-----------------------------------------------------------|-------------------------|
|                                                      | 2009                    |   | 2008 |   | 2007 |
| Net cash used in operating activities                     | $                       | (17,328 | ) |   | $ | (8,729 | ) |   | $ | (5,502 | ) |
|                                                      |                    |   |   |   |   |
| Investing activities                                      |                    |   |   |   |   |
| Sale, maturity or repayment of investments:               |                    |   |   |   |   |
| Fixed maturities - available for sale                     | 7,887                   |   |   | 2,116 |   |   | 1,383 |   |
| Short-term investments - net                              | 57,167                  |   |   | — |   |   | — |   |
| Acquisition of investments:                               |                    |   |   |   |   |
| Short-term investments - net                              | —                 |   |   | (59,879 | ) |   | (6,527 | ) |
| Fixed maturities - available for sale                     | —                 |   |   | (15,460 | ) |   | (97,600 | ) |
| Dividends from subsidiaries (eliminated in consolidation) | 18,100                  |   |   | 24,300 |   |   | 13,900 |   |
| Net cash provided by (used in) investing activities       | 83,154                  |   |   | (48,923 | ) |   | (88,844 | ) |
|                                                      |                    |   |   |   |   |
| Financing activities                                      |                    |   |   |   |   |
| Proceeds from long-term debt payable to affiliates        | —                 |   |   | 100,000 |   |   | — |   |
| Proceeds from long-term debt                              | —                 |   |   | — |   |   | 98,460 |   |
| Proceeds from short-term debt payable to affiliates       | —                 |   |   | 20,000 |   |   | — |   |
| Repayment of short-term debt payable to affiliates        | —                 |   |   | (20,000 | ) |   | — |   |
| Proceeds from short-term debt                             | —                 |   |   | 13,400 |   |   | — |   |
| Repayments of short-term debt                             | (60,000                 | ) |   | — |   |   | — |   |
| Excess tax deductions on stock-based compensation         | 310                     |   |   | 134 |   |   | 1,376 |   |
| Issuance of common stock                                  | 2,437                   |   |   | 1,130 |   |   | 8,004 |   |
| Capital contributions to subsidiary                       | —                 |   |   | (40,551 | ) |   | — |   |
| Dividends paid                                            | (9,500                  | ) |   | (15,060 | ) |   | (14,393 | ) |
| Net cash provided by financing activities                 | (66,753                 | ) |   | 59,053 |   |   | 93,447 |   |
| Increase (decrease) in cash and cash equivalents          | (927                    | ) |   | 1,401 |   |   | 1,401 |   |
| Cash and cash equivalents at beginning of year            | 1,454                   |   |   | 53 |   |   | 952 |   |
| Cash and cash equivalents at end of year                  | $                       | 527 |   |   | $ | 1,454 |   |   | $ | 53 |   |
|                                                      |                    |   |   |   |   |
| Supplemental disclosure of cash flow information          |                    |   |   |   |   |
| Cash received during the year for income taxes            | $                       | 3,726 |   |   | $ | 4,789 |   |   | $ | 1,591 |   |
| Cash paid during the year for interest                    | 25,265                  |   |   | 18,843 |   |   | 15,095 |   |
| Non-cash investing activity:                              |                    |   |   |   |   |
| Fixed maturity securities contributed to subsidiary       | —                 |   |   | (41,649 | ) |   | (47,263 | ) |
| Short-term investments contributed to subsidiary          | —                 |   |   | — |   |   | (2,737 | ) |
| Non-cash financing activity:                              |                    |   |   |   |   |
| Reclassification of debt from long-term to short-term     | —                 |   |   | 46,000 |   |   | — |   |

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| Column A                                     | Column B                         |      | Column C                                              |      | Column D         |       | Column E               |
|----------------------------------------------|----------------------------------|-----------|-------------------------------------------------------|-----------|------------------|------------|------------------------|
|                                         | Deferred policyacquisition costs |      | Future policybenefits, losses,claims and lossexpenses |      | Unearnedrevenues |       | Otherpolicyholderfunds |
|                                         | (Dollars in thousands)           |
| December 31, 2009:                           |                             |      |                                                  |      |             |       |                   |
| Traditional Annuity-Exclusive Distribution   | $                                | 90,762    |                                                  |      | $                | 2,159,670  |                   |   | $ | — |   |   | $ | 368,747 |   |
| Traditional Annuity-Independent Distribution | 421,508                          |      |                                                  | 7,131,636 |             |       | —                |   |   | 149,132 |   |
| Traditional and Universal Life Insurance     | 237,665                          |      |                                                  | 1,901,767 |             |       | 9,666                  |   |   | 153,092 |   |
| Variable                                     | 155,221                          |      |                                                  | 235,833   |             |       | 16,342                 |   |   | 10,258 |   |
| Corporate and Other                          | —                          |      |                                                  | 61,618    |             |       | —                |   |   | 88 |   |
| Impact of unrealized gains losses            | 196,077                          |      |                                                  | —   |             |       | 1,492                  |   |   | — |   |
| Total                                        | $                                | 1,101,233 |                                                  |      | $                | 11,490,524 |                   |   | $ | 27,500 |   |   | $ | 681,317 |   |
|                                         |                             |      |                                                  |      |             |       |                   |
| December 31, 2008:                           |                             |      |                                                  |      |             |       |                   |
| Traditional Annuity-Exclusive Distribution   | $                                | 89,714    |                                                  |      | $                | 1,970,182  |                   |   | $ | — |   |   | $ | 382,874 |   |
| Traditional Annuity-Independent Distribution | 479,288                          |      |                                                  | 7,574,394 |             |       | —                |   |   | 134,029 |   |
| Traditional and Universal Life Insurance     | 245,020                          |      |                                                  | 2,060,176 |             |       | 10,995                 |   |   | 156,161 |   |
| Variable                                     | 153,395                          |      |                                                  | 229,728   |             |       | 16,727                 |   |   | 9,466 |   |
| Corporate and Other                          | —                          |      |                                                  | 64,249    |             |       | —                |   |   | 69 |   |
| Impact of unrealized gains losses            | 398,192                          |      |                                                  | —   |             |       | 6,941                  |   |   | — |   |
| Total                                        | $                                | 1,365,609 |                                                  |      | $                | 11,898,729 |                   |   | $ | 34,663 |   |   | $ | 682,599 |   |
|                                         |                             |      |                                                  |      |             |       |                   |
| December 31, 2007:                           |                             |      |                                                  |      |             |       |                   |
| Traditional Annuity-Exclusive Distribution   | $                                | 80,684    |                                                  |      | $                | 1,825,394  |                   |   | $ | — |   |   | $ | 392,257 |   |
| Traditional Annuity-Independent Distribution | 468,528                          |      |                                                  | 6,769,663 |             |       | —                |   |   | 56,050 |   |
| Traditional and Universal Life Insurance     | 230,398                          |      |                                                  | 2,003,916 |             |       | 10,970                 |   |   | 153,555 |   |
| Variable                                     | 156,055                          |      |                                                  | 204,877   |             |       | 17,287                 |   |   | 7,032 |   |
| Corporate and Other                          | —                          |      |                                                  | 68,360    |             |       | —                |   |   | — |   |
| Impact of unrealized gains losses            | 55,490                           |      |                                                  | —   |             |       | 191                    |   |   | — |   |
| Total                                        | $                                | 991,155   |                                                  |      | $                | 10,872,210 |                   |   | $ | 28,448 |   |   | $ | 608,894 |   |

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| Column A                                             | Column F               |    | Column G            |    | Column H                                     |    | Column I                                      |   | Column J               |
|------------------------------------------------------|------------------------|---------|---------------------|---------|----------------------------------------------|---------|-----------------------------------------------|--------|------------------------|
|                                                 | Premiumrevenue         |    | Netinvestmentincome |    | Benefits,claims, lossesandsettlementexpenses |    | Amortizationof deferredpolicyacquisitioncosts |   | Otheroperatingexpenses |
|                                                 | (Dollars in thousands) |
| December 31, 2009:                                   |                   |    |                |    |                                         |    |                                          |   |                   |
| Traditional Annuity-Exclusive Distribution           | $                      | 812     |                |    | $                                            | 155,177 |                                          |   | $                      | 94,833 |   |   | $ | 10,938 |   |   | $ | 9,322 |   |
| Traditional Annuity-Independent Distribution         | 63,777                 |    |                | 404,656 |                                         |    | 262,650                                       |   |                   | 83,563 |   |   | 19,231 |   |
| Traditional and Universal Life Insurance             | 203,595                |    |                | 139,724 |                                         |    | 182,696                                       |   |                   | 22,742 |   |   | 41,278 |   |
| Variable                                             | 46,430                 |    |                | 15,841  |                                         |    | 23,510                                        |   |                   | 4,764 |   |   | 24,076 |   |
| Corporate and Other                                  | —                |    |                | 9,255   |                                         |    | —                                       |   |                   | — |   |   | 2,141 |   |
| Change in net unrealized gains/losses on derivatives | —                |    |                | — |                                         |    | 151,416                                       |   |                   | 8,810 |   |   | — |   |
| Impact of realized gains/losses                      | (66                    | )       |                | — |                                         |    | 632                                           |   |                   | 6,210 |   |   | 13 |   |
| Total                                                | $                      | 314,548 |                |    | $                                            | 724,653 |                                          |   | $                      | 715,737 |   |   | $ | 137,027 |   |   | $ | 96,061 |   |
|                                                 |                   |    |                |    |                                         |    |                                          |   |                   |
| December 31, 2008:                                   |                   |    |                |    |                                         |    |                                          |   |                   |
| Traditional Annuity-Exclusive Distribution           | $                      | 994     |                |    | $                                            | 145,309 |                                          |   | $                      | 93,815 |   |   | $ | 11,948 |   |   | $ | 10,002 |   |
| Traditional Annuity-Independent Distribution         | 30,467                 |    |                | 395,127 |                                         |    | 234,713                                       |   |                   | 78,214 |   |   | 15,075 |   |
| Traditional and Universal Life Insurance             | 196,873                |    |                | 143,324 |                                         |    | 207,192                                       |   |                   | 18,156 |   |   | 41,693 |   |
| Variable                                             | 48,209                 |    |                | 14,257  |                                         |    | 24,883                                        |   |                   | 15,540 |   |   | 24,881 |   |
| Corporate and Other                                  | —                |    |                | 9,855   |                                         |    | —                                       |   |                   | — |   |   | 2,448 |   |
| Change in net unrealized gains/losses on derivatives | —                |    |                | — |                                         |    | (161,526                                      | )      |                   | 29,668 |   |   | — |   |
| Impact of realized gains/losses                      | (158                   | )       |                | — |                                         |    | (7,862                                        | )      |                   | (25,412 | ) |   | (820 | ) |
| Total                                                | $                      | 276,385 |                |    | $                                            | 707,872 |                                          |   | $                      | 391,215 |   |   | $ | 128,114 |   |   | $ | 93,279 |   |
|                                                 |                   |    |                |    |                                         |    |                                          |   |                   |
| December 31, 2007:                                   |                   |    |                |    |                                         |    |                                          |   |                   |
| Traditional Annuity-Exclusive Distribution           | $                      | 1,111   |                |    | $                                            | 146,267 |                                          |   | $                      | 97,204 |   |   | $ | 9,942 |   |   | $ | 10,246 |   |
| Traditional Annuity-Independent Distribution         | 20,466                 |    |                | 309,131 |                                         |    | 277,212                                       |   |                   | 47,588 |   |   | 12,212 |   |
| Traditional and Universal Life Insurance             | 190,860                |    |                | 144,231 |                                         |    | 191,030                                       |   |                   | 20,133 |   |   | 43,825 |   |
| Variable                                             | 46,790                 |    |                | 13,658  |                                         |    | 18,482                                        |   |                   | 7,587 |   |   | 24,059 |   |
| Corporate and Other                                  | —                |    |                | 14,744  |                                         |    | —                                       |   |                   | — |   |   | 3,096 |   |
| Change in net unrealized gains/losses on derivatives | —                |    |                | — |                                         |    | (18,265                                       | )      |                   | (16,233 | ) |   | — |   |
| Impact of realized gains/losses                      | (16                    | )       |                | — |                                         |    | (536                                          | )      |                   | (623 | ) |   | (12 | ) |
| Total                                                | $                      | 259,211 |                |    | $                                            | 628,031 |                                          |   | $                      | 565,127 |   |   | $ | 68,394 |   |   | $ | 93,426 |   |

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| Column A                                     | Column B               |       | Column C               |   | Column D                   |      | Column E   |   | Column F                       |
|----------------------------------------------|------------------------|------------|------------------------|--------|----------------------------|-----------|------------|--------|--------------------------------|
|                                         | Grossamount            |       | Ceded toothercompanies |   | Assumedfrom othercompanies |      | Net amount |   | Percent ofamountassumed to net |
|                                         | (Dollars in thousands) |
| Year ended December 31, 2009:                |                   |       |                   |   |                       |      |       |   |                           |
| Life insurance in force, at end of year      | $                      | 46,025,214 |                   |   | $                          | 9,489,089 |       |   | $                              | 94,024 |   |   | $ | 36,630,149 |   |   | 0.3 | % |
| Insurance premiums and other considerations: |                   |       |                   |   |                       |      |       |   |                           |
| Interest sensitive and index product charges | $                      | 145,184    |                   |   | $                          | 1,075     |       |   | $                              | 14,764 |   |   | $ | 158,873 |   |   | 9.3 | % |
| Traditional life insurance premiums          | 173,350                |       |                   | 20,013 |                       |      | 2,338      |   |                           | 155,675 |   |   | 1.5 | % |
| Accident and health premiums                 | 10,531                 |       |                   | 10,138 |                       |      | —    |   |                           | 393 |   |   | — | % |
|                                         | $                      | 329,065    |                   |   | $                          | 31,226    |       |   | $                              | 17,102 |   |   | $ | 314,941 |   |   | 5.4 | % |
| Year ended December 31, 2008:                |                   |       |                   |   |                       |      |       |   |                           |
| Life insurance in force, at end of year      | $                      | 43,513,321 |                   |   | $                          | 9,144,223 |       |   | $                              | 1,503,808 |   |   | $ | 35,872,906 |   |   | 4.2 | % |
| Insurance premiums and other considerations: |                   |       |                   |   |                       |      |       |   |                           |
| Interest sensitive and index product charges | $                      | 109,522    |                   |   | $                          | 1,120     |       |   | $                              | 18,797 |   |   | $ | 127,199 |   |   | 14.8 | % |
| Traditional life insurance premiums          | 165,775                |       |                   | 19,924 |                       |      | 3,335      |   |                           | 149,186 |   |   | 2.2 |   |
| Accident and health premiums                 | 11,155                 |       |                   | 10,777 |                       |      | —    |   |                           | 378 |   |   | — |   |
|                                         | $                      | 286,452    |                   |   | $                          | 31,821    |       |   | $                              | 22,132 |   |   | $ | 276,763 |   |   | 8.0 | % |
|                                         |                   |       |                   |   |                       |      |       |   |                           |
| Year ended December 31, 2007:                |                   |       |                   |   |                       |      |       |   |                           |
| Life insurance in force, at end of year      | $                      | 41,092,455 |                   |   | $                          | 8,482,773 |       |   | $                              | 1,573,705 |   |   | $ | 34,183,387 |   |   | 4.6 | % |
| Insurance premiums and other considerations: |                   |       |                   |   |                       |      |       |   |                           |
| Interest sensitive and index product charges | $                      | 94,686     |                   |   | $                          | 952       |       |   | $                              | 20,795 |   |   | $ | 114,529 |   |   | 18.2 | % |
| Traditional life insurance premiums          | 159,436                |       |                   | 18,455 |                       |      | 3,701      |   |                           | 144,682 |   |   | 2.6 |   |
| Accident and health premiums                 | 11,715                 |       |                   | 11,361 |                       |      | —    |   |                           | 354 |   |   | — |   |
|                                         | $                      | 265,837    |                   |   | $                          | 30,768    |       |   | $                              | 24,496 |   |   | $ | 259,565 |   |   | 9.4 | % |