XML 34 R23.htm IDEA: XBRL DOCUMENT
v3.24.1.1.u2

Investments (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2024
Investments [Abstract] |
Schedule of Fixed Maturity Securities | At March 31, 2024 and December 31, 2023, the amortized cost and fair value of fixed maturity securities were as follows:
| Amortized Cost (1) |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Allowance for Credit Losses |  | Fair Value
| (Dollars in thousands)
March 31, 2024 |  |  |  |  |  |  |  |  |
Fixed maturity securities, available for sale: |  |  |  |  |  |  |  |  |
U.S. Government and agencies | $ | 28,354 |  |  | $ | 13 |  |  | $ | (1,230) |  |  | $ | — |  |  | $ | 27,137 |
States, municipalities and territories | 3,392,780 |  |  | 9,188 |  |  | (584,994) |  |  | — |  |  | 2,816,974 |
Foreign corporate securities and foreign governments | 513,299 |  |  | 643 |  |  | (80,934) |  |  | — |  |  | 433,008 |
Corporate securities | 21,952,356 |  |  | 124,669 |  |  | (2,808,944) |  |  | (3,293) |  |  | 19,264,788 |
Residential mortgage backed securities | 1,093,654 |  |  | 9,209 |  |  | (107,733) |  |  | — |  |  | 995,130 |
Commercial mortgage backed securities | 3,121,755 |  |  | 2,701 |  |  | (390,371) |  |  | — |  |  | 2,734,085 |
Other asset backed securities | 5,907,623 |  |  | 22,009 |  |  | (156,150) |  |  | (225) |  |  | 5,773,257 |
| $ | 36,009,821 |  |  | $ | 168,432 |  |  | $ | (4,130,356) |  |  | $ | (3,518) |  |  | $ | 32,044,379 |
December 31, 2023 |  |  |  |  |  |  |  |  |
Fixed maturity securities, available for sale: |  |  |  |  |  |  |  |  |
U.S. Government and agencies | $ | 172,683 |  |  | $ | 606 |  |  | $ | (2,148) |  |  | $ | — |  |  | $ | 171,141 |
States, municipalities and territories | 3,654,571 |  |  | 17,477 |  |  | (573,108) |  |  | — |  |  | 3,098,940 |
Foreign corporate securities and foreign governments | 563,890 |  |  | 1,669 |  |  | (71,820) |  |  | — |  |  | 493,739 |
Corporate securities | 23,036,862 |  |  | 175,014 |  |  | (2,605,048) |  |  | (3,412) |  |  | 20,603,416 |
Residential mortgage backed securities | 1,503,639 |  |  | 11,598 |  |  | (112,736) |  |  | — |  |  | 1,402,501 |
Commercial mortgage backed securities | 3,405,647 |  |  | 995 |  |  | (454,095) |  |  | — |  |  | 2,952,547 |
Other asset backed securities | 6,200,170 |  |  | 30,530 |  |  | (171,884) |  |  | (618) |  |  | 6,058,198 |
| $ | 38,537,462 |  |  | $ | 237,889 |  |  | $ | (3,990,839) |  |  | $ | (4,030) |  |  | $ | 34,780,482 |
(1)Amortized cost excludes accrued interest receivable of $352.8 million and $360.9 million as of March 31, 2024 and December 31, 2023, respectively.
Schedule of Fixed Maturity Securities by Contractual Maturity Date | The amortized cost and fair value of fixed maturity securities at March 31, 2024, by contractual maturity are shown below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. All of our mortgage and other asset backed securities provide for periodic payments throughout their lives and are shown below as separate lines.
| Available for sale
| Amortized Cost |  | Fair Value
| (Dollars in thousands)
Due in one year or less | $ | 635,069 |  |  | $ | 628,657 |
Due after one year through five years | 5,295,239 |  |  | 5,166,955 |
Due after five years through ten years | 4,174,379 |  |  | 3,788,971 |
Due after ten years through twenty years | 7,149,272 |  |  | 6,209,035 |
Due after twenty years | 8,632,830 |  |  | 6,748,289 |
| 25,886,789 |  |  | 22,541,907 |
Residential mortgage backed securities | 1,093,654 |  |  | 995,130 |
Commercial mortgage backed securities | 3,121,755 |  |  | 2,734,085 |
Other asset backed securities | 5,907,623 |  |  | 5,773,257 |
| $ | 36,009,821 |  |  | $ | 32,044,379 |
Schedule of Net Unrealized Gains (Losses) on Investments Reported as Separate Component of Stockholders' Equity | Net unrealized losses on investments reported as a separate component of stockholders' equity were comprised of the following:
| March 31, 2024 |  | December 31, 2023
| (Dollars in thousands)
Net unrealized losses on investments | $ | (3,963,901) |  |  | $ | (3,755,689) |
Deferred income tax valuation allowance reversal | 22,534 |  |  | 22,534 |
Deferred income tax expense | 831,961 |  |  | 788,236 |
Net unrealized losses reported as accumulated other comprehensive loss | $ | (3,109,406) |  |  | $ | (2,944,919) |
Schedule of Credit Quality of Fixed Maturity Security Portfolio by NAIC Designation | The following table summarizes the credit quality, as determined by NAIC designation, of our fixed maturity portfolio as of the dates indicated:
|  | March 31, 2024 |  | December 31, 2023
NAIC Designation (1) |  | Amortized Cost |  | Fair Value |  | Amortized Cost |  | Fair Value
|  | (Dollars in thousands)
1 |  | $ | 21,333,429 |  |  | $ | 18,916,331 |  |  | $ | 22,493,843 |  |  | $ | 20,209,842 |
2 |  | 13,523,795 |  |  | 12,096,461 |  |  | 14,910,687 |  |  | 13,529,169 |
3 |  | 657,003 |  |  | 613,090 |  |  | 583,131 |  |  | 527,556 |
4 |  | 183,294 |  |  | 152,918 |  |  | 201,610 |  |  | 168,191 |
5 |  | 88,840 |  |  | 67,345 |  |  | 88,581 |  |  | 68,538 |
6 |  | 5,398 |  |  | 3,922 |  |  | 9,400 |  |  | 10,132 |
|  | $ | 35,791,759 |  |  | $ | 31,850,067 |  |  | $ | 38,287,252 |  |  | $ | 34,513,428 |
(1)The table excludes residual tranche securities that are not rated with an amortized cost of $218,062 and $250,210, and fair value of $194,312 and $267,054 as of March 31, 2024 and December 31, 2023, respectively.
Unrealized Gains (Losses) on Investments | The following table shows our investments' gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities (consisting of 3,525 and 3,639 securities, respectively) have been in a continuous unrealized loss position, at March 31, 2024 and December 31, 2023:
| Less than 12 months |  | 12 months or more |  | Total
| Fair Value |  | Unrealized Losses (1) |  | Fair Value |  | Unrealized Losses (1) |  | Fair Value |  | Unrealized Losses (1)
| (Dollars in thousands)
March 31, 2024 |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities, available for sale: |  |  |  |  |  |  |  |  |  |  |
U.S. Government and agencies | $ | 3,990 |  |  | $ | (20) |  |  | $ | 22,732 |  |  | $ | (1,210) |  |  | $ | 26,722 |  |  | $ | (1,230) |
States, municipalities and territories | 114,901 |  |  | (10,035) |  |  | 2,522,955 |  |  | (574,959) |  |  | 2,637,856 |  |  | (584,994) |
Foreign corporate securities and foreign governments | 17,385 |  |  | (92) |  |  | 382,787 |  |  | (80,842) |  |  | 400,172 |  |  | (80,934) |
Corporate securities | 1,280,454 |  |  | (34,771) |  |  | 14,276,990 |  |  | (2,774,173) |  |  | 15,557,444 |  |  | (2,808,944) |
Residential mortgage backed securities | 51,291 |  |  | (836) |  |  | 653,903 |  |  | (106,897) |  |  | 705,194 |  |  | (107,733) |
Commercial mortgage backed securities | 55,259 |  |  | (1,517) |  |  | 2,497,882 |  |  | (388,854) |  |  | 2,553,141 |  |  | (390,371) |
Other asset backed securities | 1,430,802 |  |  | (61,836) |  |  | 2,003,652 |  |  | (94,314) |  |  | 3,434,454 |  |  | (156,150) |
| $ | 2,954,082 |  |  | $ | (109,107) |  |  | $ | 22,360,901 |  |  | $ | (4,021,249) |  |  | $ | 25,314,983 |  |  | $ | (4,130,356) |
December 31, 2023 |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities, available for sale: |  |  |  |  |  |  |  |  |  |  |
U.S. Government and agencies | $ | 55,087 |  |  | $ | (279) |  |  | $ | 47,639 |  |  | $ | (1,869) |  |  | $ | 102,726 |  |  | $ | (2,148) |
States, municipalities and territories | 451,091 |  |  | (44,832) |  |  | 2,290,704 |  |  | (528,276) |  |  | 2,741,795 |  |  | (573,108) |
Foreign corporate securities and foreign governments | 1,555 |  |  | (195) |  |  | 427,021 |  |  | (71,625) |  |  | 428,576 |  |  | (71,820) |
Corporate securities | 3,275,031 |  |  | (237,744) |  |  | 13,625,542 |  |  | (2,367,304) |  |  | 16,900,573 |  |  | (2,605,048) |
Residential mortgage backed securities | 145,093 |  |  | (7,614) |  |  | 858,821 |  |  | (105,122) |  |  | 1,003,914 |  |  | (112,736) |
Commercial mortgage backed securities | 431,947 |  |  | (69,007) |  |  | 2,416,868 |  |  | (385,088) |  |  | 2,848,815 |  |  | (454,095) |
Other asset backed securities | 968,026 |  |  | (29,606) |  |  | 3,057,618 |  |  | (142,278) |  |  | 4,025,644 |  |  | (171,884) |
| $ | 5,327,830 |  |  | $ | (389,277) |  |  | $ | 22,724,213 |  |  | $ | (3,601,562) |  |  | $ | 28,052,043 |  |  | $ | (3,990,839) |
(1)Unrealized losses have been reduced to reflect the allowance for credit losses of $3.5 million and $4.0 million as of March 31, 2024 and December 31, 2023, respectively. Changes in net unrealized gains/losses on investments for the three months ended March 31, 2024 and 2023 are as follows:
|  |  | Three Months Ended March 31,
|  |  |  |  | 2024 |  | 2023
|  |  |  |  | (Dollars in thousands)
Fixed maturity securities available for sale carried at fair value |  |  |  |  | $ | (208,212) |  |  | $ | 833,268 |
Adjustment for effect on other balance sheet accounts: |  |  |  |  |  |  |
Deferred income tax asset/liability |  |  |  |  | 43,725 |  |  | (174,986) |
|  |  |  |  | 43,725 |  |  | (174,986) |
Change in net unrealized gains/losses on investments carried at fair value |  |  |  |  | $ | (164,487) |  |  | $ | 658,282 |
Net Realized Gains (Losses) on Investments | Net realized losses on investments for the three months ended March 31, 2024 and 2023, are as follows:
|  |  | Three Months Ended March 31,
|  |  |  |  | 2024 |  | 2023
|  |  |  |  | (Dollars in thousands)
Available for sale fixed maturity securities: |  |  |  |  |  |  |
Gross realized gains |  |  |  |  | $ | 15,887 |  |  | $ | 25,988 |
Gross realized losses |  |  |  |  | (104,505) |  |  | (44,451) |
Net credit loss recovery (provision) |  |  |  |  | 512 |  |  | (829) |
|  |  |  |  | (88,106) |  |  | (19,292) |
Other investments: |  |  |  |  |  |  |
Gross realized gains |  |  |  |  | — |  |  | 1,777 |
Gross realized losses |  |  |  |  | — |  |  | (432) |
|  |  |  |  | — |  |  | 1,345 |
Mortgage loans on real estate: |  |  |  |  |  |  |
Increase in allowance for credit losses |  |  |  |  | (3,468) |  |  | (8,654) |
Recovery of specific allowance |  |  |  |  | — |  |  | — |
Loss on sale of mortgage loans |  |  |  |  | (2,476) |  |  | (1,186) |
|  |  |  |  | (5,944) |  |  | (9,840) |
Total net realized losses |  |  |  |  | $ | (94,050) |  |  | $ | (27,787) |
Rollforward of Allowance for Credit Loss | The following table provides a rollforward of the allowance for credit loss:
|  |  | Three Months Ended March 31, 2024
|  |  | Corporate Securities |  |  |  | Residential Mortgage Backed Securities |  | Other Asset Backed Securities |  | Total
|  |  | (Dollars in thousands)
Beginning balance |  |  | $ | 3,412 |  |  |  |  | $ | — |  |  | $ | 618 |  |  | $ | 4,030 |
Change in allowance on securities with previous allowance |  |  | — |  |  |  |  | — |  |  | — |  |  | — |
Recoveries of amounts previously written off |  |  | (119) |  |  |  |  | — |  |  | (393) |  |  | (512) |
Ending balance |  |  | $ | 3,293 |  |  |  |  | $ | — |  |  | $ | 225 |  |  | $ | 3,518 |
|  |  | Three Months Ended March 31, 2023
|  |  | Corporate Securities |  |  |  | Residential Mortgage Backed Securities |  | Other Asset Backed Securities |  | Total
|  |  | (Dollars in thousands)
Beginning balance |  |  | $ | 3,214 |  |  |  |  | $ | 133 |  |  | $ | — |  |  | $ | 3,347 |
Change in allowance on securities with previous allowance |  |  | (1,300) |  |  |  |  | — |  |  | — |  |  | (1,300) |
Recoveries of amounts previously written off |  |  | — |  |  |  |  | — |  |  | — |  |  | — |
Ending balance |  |  | $ | 1,914 |  |  |  |  | $ | 133 |  |  | $ | — |  |  | $ | 2,047 |

X
- Definition Schedule of the components of net unrealized gains (losses) on available-for-sale fixed maturity securities reported as a separate component of stockholders' equity. + References No definition available. + Details
Name: | ael_ScheduleOfNetUnrealizedGainsLossesOnAvailableForSaleSecuritiesReportedAsSeparateComponentOfStockholdersEquityTableTextBlock
Namespace Prefix: | ael_
Data Type: | dtr-types1:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Schedule of Credit Quality of Fixed Maturity Security Portfolio by NAIC Designation [Table Text Block] + References No definition available. + Details
Name: | ael_ScheduleofCreditQualityofFixedMaturitySecurityPortfoliobyNAICDesignationTableTextBlock
Namespace Prefix: | ael_
Data Type: | dtr-types1:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of allowance for credit loss on investment in debt security measured at fair value with change in fair value recognized in other comprehensive income (available-for-sale). + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 326 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 9 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479106/326-30-50-9 + Details
Name: | us-gaap_DebtSecuritiesAvailableForSaleAllowanceForCreditLossTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of maturities of an entity's investments as well as any other information pertinent to the investments. + References No definition available. + Details
Name: | us-gaap_InvestmentsClassifiedByContractualMaturityDateTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of realized gains and losses on investments reported in the statement of income. + References No definition available. + Details
Name: | us-gaap_RealizedGainLossOnInvestmentsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation of available-for-sale securities from cost basis to fair value. + References No definition available. + Details
Name: | us-gaap_ScheduleOfAvailableForSaleSecuritiesReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of unrealized gains and losses on investments. + References No definition available. + Details
Name: | us-gaap_UnrealizedGainLossOnInvestmentsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration