Income Taxes

3 Months Ended

Mar. 31, 2013

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The following is a reconciliation of income taxes at the statutory rate of 35% and income taxes as shown in the Statement of Earnings (in millions):

	Three months ended March 31,
	2013			2012
Earnings before income taxes	$	175		$	146
Income taxes at statutory rate	$	61		$	51
Effect of:
Tax exempt interest	(5		)	(6		)
Losses of managed investment entities	4			10
Other	2			3
Provision for income taxes as shown on the Statement of Earnings	$	62		$	58

During the first three months of 2013, there were no material changes to AFG’s liability for uncertain tax positions, which is discussed in Note L — “Income Taxes,” to AFG’s 2012 Form 10-K.