News Release
For Immediate Release

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Record Financial Gains and New Initiatives HighlightWoman's Life Insurance Society® in 1998

(Port Huron, Mich. - March 3, 1999) Woman's Life Insurance Society® posted a record year in 1998, showing increases in several key financial benchmarks, including insurance in force, net assets, first-year net life insurance premiums, production and applications. Janice Whipple, national president and chairman of the board, said, "These figures not only measure the Society's financial and fraternal success. They measure our progress toward fulfilling the Society's mission -- to excel at enabling women to become personally and financially empowered and independent."

Gains achieved in 1998 for the fraternal benefit society included record results in the following areas:

• Insurance in force increased by $13.6 million, the Society's largest annual increase since 1994.
• Admitted assets grew for the fourth consecutive year, achieving a record $143.3 million, attributable to cash and short-term investments.
• First-year net life insurance premiums increased 7 percent, the first increase since 1992. This reverses a double-digit decrease during the past three years. Similarly, net premiums written also increased - the first such increase in three years.
• First-year annualized commissions increased by 39 percent over 1997, restoring the Society's production to its previously high 1995 levels.
• Benefit applications submitted exceeded 1997 by 24 percent, and benefit applications issued exceeded 1997 levels by 29 percent.

Woman's Life® continued to maintain an exceptionally strong investment portfolio during the year, 98.6 percent of which consists of investment-grade government and corporate bonds.

"We are delighted that our financial results reflect the continued dedication we have at Woman's Life® to be the leading resource for women - both personally and financially," Whipple exclaimed. "We knew when we undertook this vision that it would be a difficult road, but we've finally turned the corner and see nothing but continued success on the horizon."

National Secretary-Treasurer Diane Lofquist echoed that sentiment, but added that the Society never wavered from its dedication to proper stewardship of members' financial assets. Noting that Woman's Life® now has $128 of assets for every $100 of liabilities (compared to the life insurance industry average of $105 in assets for every $100 of liabilities), Lofquist concluded, "This separates the Society from the vast majority of life insurers, and demonstrates the high level of financial security enjoyed by our members."

In addition to these exceptionally strong financial results, Woman's Life® undertook several major initiatives to position the Society for even greater performance in 1999 and beyond.

Emphasis on sales capacity
Woman's Life® added three new regional sales directors in 1998 and anticipates adding two more in 1999, demonstrating its commitment to building and supporting a dedicated sales force. Each director will assist existing agents and recruit new agents in their respective districts to deliver the Society's fraternal and financial message to women and their families. Woman's Life® also created a national sales training manager position in 1998 to assist those regional directors in their efforts.

Unique marketing approach
The year also saw the introduction of a new marketing approach, entitled "Intuitions™," which emphasizes events unique to women's lives in prompting financial decisions. This represents a stark contrast to the insurance industry norm of relying primarily on a prospect's age and income. This new marketing approach was highlighted in a new corporate video in 1998, and will be enhanced in 1999 with the introduction of new sales collateral materials, a Woman's Life® Web site and an increased marketing focus of the Society's member magazine.

These staffing and marketing initiatives are intended not only to create growth in the Society's marketplace, but also to position Woman's Life® as the representative's preferred provider of financial products and services for women.

Increased media recognition
The appearance of former first lady Barbara Bush at the Society's 29th National Convention in August 1998 proved to be an overwhelming catalyst for national and local media recognition of Woman's Life®, both then and now. Woman's Life® took advantage of Bush's celebrity status to launch a nationwide program designed to communicate more thoroughly and more frequently with the media about Society initiatives. Coverage of this effort has been impressive, resulting in several articles across the country, including articles in several insurance and women's magazines, such as National Underwriter, Best's Review, Today's Atlanta Woman and Washington Woman, LIMRA's MarketFacts and Life Insurance Selling. Proactive media inquiries continue to increase the Society's media exposure.

Home Office capacity
Technological improvements as well as training initiatives, designed to support the Society's growth, were introduced in 1998.

A complete new phone system with voice mail and call routing capabilities has improved the Society's ability to communicate with and respond to its representatives and members. Technology also is being used to improve the processing of new business, resulting in more timely underwriting as well as enhanced reporting capabilities. The 1998 purchase of the Lewis and Ellis Actuarial Projection and Pricing System (LEAPPS) - to be implemented in 1999 - will improve the Society's ability to project financial results, resulting in better strategic planning; analyze investment strategy; price and reprice products; and test cash flow and NAIC Model Illustrations. The Society also has mapped out and is currently implementing a thorough Year 2000 compliance plan, with the added benefit of consolidating two separate certificate systems into one.

Fraternal activities
During the 18 months leading up to the Society's National Convention in August 1998, Woman's Life® members, through their local units, held a literacy event every 10 days, and raised and contributed more than $28,000 to the Barbara Bush Foundation for Family Literacy. Another $9,000 was raised during the four-day convention for the literacy foundation.

Though 1998 figures for additional membership and fraternal activities are not yet available, the Society expects to improve on its impressive 1997 showing of almost 70,000 members; more than 60,000 acts of community service; 1,402 fraternal events; and more than a quarter of a million volunteer service hours. These activities resulted in $344,408 in funds raised and donated to people in need and other charitable organizations. If valued at today's minimum wage rate, the many volunteer service hours donated by Woman's Life® members would equal another $1.3 million.

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