FIDELITY SECURITY LIFE INSURANCE COMPANY

LPLA SEPARATE ACCOUNT ONE

Financial Statements

December 31, 2023

(With Independent Auditor’s Report)

Contents

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Independent Auditor’s Report

To the Board of Directors of

Fidelity Security Life Insurance Company

LPLA Separate Account One

Opinion on the Financial Statements

We have audited the accompanying financial statements of Fidelity Security Life Insurance Company LPLA Separate Account One (the Separate Account) (composed of the individual subaccounts as indicated in Note 1 to the financial statements), which comprise the statements of net assets as of December 31, 2023, the related statements of operations for the year ended December 31, 2023, the related statements of changes in net assets for the years ended December 31, 2023 and 2022, the related notes to the financial statements and the financial highlights.

In our opinion, the accompanying financial statements and financial highlights present fairly, in all material respects, the financial positions of the subaccounts constituting the Separate Account as of December 31, 2023, and the results of their operations for the year then ended, and changes in their net assets for the years ended December 31, 2023 and 2022, in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinion

We conducted our audits in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Separate Account and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Separate Account’s ability to continue as a going concern within one year after the date that the financial statements are available to be issued.

LOUISIANA • TEXAS   An Independently Owned Member, RSM US Alliance RSM US Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each is separate and independent from RSM US LLP. RSM US LLP is the U.S. member firm of RSM International, a global network of independent audit, tax, and consulting firms. Members of RSM US Alliance have access to RSM International resources through RSM US LLP but are not member firms of RSM International.

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Auditor’s Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, we:

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

A Professional Accounting Corporation

Covington, LA

April 23, 2024

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FIDELITY SECURITY LIFE INSURANCE COMPANY

LPLA SEPARATE ACCOUNT ONE

Statements of Net Assets

December 31, 2023

See independent auditor’s report and notes to financial statements.

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FIDELITY SECURITY LIFE INSURANCE COMPANY

LPLA SEPARATE ACCOUNT ONE

Statements of Operations

December 31, 2023

See independent auditor’s report and notes to financial statements.

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Fidelity Security Life Insurance Company

LPLA Separate Account One

Statements of Changes in Net Assets

Year Ended December 31, 2023

See independent auditor’s report and notes to financial statements.

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Fidelity Security Life Insurance Company

LPLA Separate Account One

Statements of Changes in Net Assets

Year Ended December 31, 2022

See independent auditor’s report and notes to financial statements.

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FIDELITY SECURITY LIFE INSURANCE COMPANY

LPLA SEPARARTE ACCOUNT ONE

Notes to Financial Statements

December 31, 2023

Note 1. Organization

The Fidelity Security Life Insurance Company LPLA Separate Account One (the Separate Account), which is not currently being marketed, is a segregated investment account of Fidelity Security Life Insurance Company (the Company). The Separate Account is registered with the Securities and Exchange Commission as a Unit Investment Trust pursuant to the provisions of the Investment Company Act of 1940. The Separate Account was purchased in September of 2003 through an agreement with London Pacific Life and Annuity Company, which was in receivership at the time. Since November of 2003, all activity in the account has been the responsibility of the Company; however, there has been no additional investors in the account as it has been frozen since it went into receivership in 2002.

The contract has 10 investment choices, each with a unique investment objective. They are as follows:

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Note 2. Summary of Significant Accounting Policies

The financial statements have been prepared with U.S. generally accepted accounting principles (GAAP). The Separate Account is an investment company and follows the accounting and reporting guidance in the Financial Accounting Standards Board’s (FASB) Accounting Standards Codification (ASC) Topic 946, Financial Services – Investment Companies.

Investments in mutual fund shares are stated at fair value, which is the closing net asset value per share of the underlying fund.

Securities transactions are recorded on the trade date. Dividend income is recorded on the ex-dividend date. The cost of investments sold, and the corresponding capital gains and losses are determined on a specific-identification basis. Interest and dividend income and capital gains distributions paid by the funds to the Separate Account are reinvested in additional shares of each respective subaccount and are allocated to the contracts on each valuation date based on each individual annuity contract’s pro rate share of the net assets of the investment option as of the beginning of the valuation date.

Every business day, the value of the accumulation unit is determined after the New York Stock Exchange closes. The value is determined by computing the change in the published net asset value for the investment option from the previous day to the current business day; subtracting any charges, including the product expense charge and any taxes; and multiplying the previous business day’s accumulation unit value by this result.

The Company is taxed as a life insurance company under the provisions of the Internal Revenue Code. The operations of the Separate Account, including its portfolios, are part of the total operations of the Company and are not taxed as a separate entity. Under federal income tax law, net investment income and realized gains (losses) are retained in the Separate Account and are not taxable until received by the contract owner or beneficiary in the form of annuity payments or other distributions.

Accounting principles generally accepted in the United States of America provide accounting and disclosure guidance about positions taken by an entity in its tax returns that might be uncertain. The Separate Account believes that it has appropriate support for any tax positions taken, and as such, does not have any uncertain tax positions that are material to the financial statements.

Penalties and interest assessed by income tax authorities, if any, would be included in administrative expenses.

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Certain risks and uncertainties are inherent to the Separate Account’s day-to-day operations and to the process of preparing its financial statements. The more significant of those risks and uncertainties, as well as the Separate Account’s method for mitigating risks, are presented below and throughout notes to the financial statements.

The Separate Account invests in mutual fund shares and, as such, is exposed to the same risks as the underlying mutual funds, such as interest rate and market and credit risks. Due to the level of risk associated with these investments in mutual funds, it is at least reasonably possible that changes in the values of the underlying funds will occur in the near term and that such changes could materially affect policyholders’ account balances and the amounts reported in the statements of net assets.

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expense during the reporting period. Actual results could differ from those estimates.

The Separate Account has elected not to provide a statement of cash flows as permitted by GAAP, as all the following conditions have been met:

All the effects of subsequent events that provide additional evidence about conditions that existed at the statements of net assets date, including the estimates inherent in the process of preparing financial statements, are recognized in the financial statements. The Company does not recognize subsequent events that provide evidence about conditions that did not exist at the statements of net assets date but arose after, but before the financial statements are available to be issued. In some cases, non-recognized subsequent events are disclosed to keep the financial statements from being misleading.

Subsequent events have been evaluated through April 23, 2024, which is the date that the financial statements were available to be issued.

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Note 3. Fair Value

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Separate Account utilizes valuation techniques to maximize the use of observable inputs and minimize the use of unobservable inputs. Inputs are broadly defined as assumptions market participants would use in pricing an asset or liability.

Assets and liabilities recorded at fair value are categorized within the fair value hierarchy based upon the level of judgment associated with the inputs used to measure their value. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:

On December 31, 2023, the only assets of each subaccount were investments in shares of open-end mutual funds that are actively traded. Accordingly, as of December 31, 2023, all investments of each subaccount were classified as Level 1 under the disclosure hierarchy.

The Separate Account believes its valuation and methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of investments could result in a different fair value measurement at the reporting date. There have been no changes in the methodologies used during the year ended December 31, 2023.

Note 4. Purchases and Sales of Investments

The cost of purchases and proceeds from sales of investment options for the year ended December 31, 2023, and 2022 were as follows:

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Each day, the Company makes a deduction from the Separate Account for a mortality and expense risk charge. This charge is for all insurance benefits (that is, guarantee of annuity rates, the death benefit) and for assuming the risk that current charges will be insufficient to cover the cost of administering the Separate Account. The product expense charge is assessed based on the daily unit values of the contract holder’s portion of the assets in the Separate Account. The assessments are 1.5% on an annual basis.

This charge cannot be increased and could be reduced if sales of the contract is made to individuals or to a group of individuals in such a manner that results in a reduction of the Company’s administrative costs or other savings.

Additionally, a $36 fee is assessed annually on the anniversary of all contracts where the total anniversary value is less than $50,000. This charge, referred to contractually as a contract maintenance charge, is not assessed on those contracts worth $50,000 or more on a given anniversary. If, in subsequent years, the policy anniversary value falls below the threshold, the fee will be assessed on that anniversary.

The Company also has the contractual right to assess a transfer charge for each transfer during the accumulation phase of more than 12 transfers during a contract year. Currently, such charges are not being assessed.

The change in units outstanding for the years ended December 31, 2023, and 2022 was as follows:

As no new units were issued in 2023 or 2022, the units issued represent transfers between subaccounts.

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A summary of unit values for variable annuity contracts and the expense rations, excluding expenses for the underlying fund, for the years ended December 31, 2023, 2022, 2021, 2020, and 2019, follows:

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