BANKERS LIFE AND CASUALTY COMPANY LAUNCHES NEW ELECTRONIC APPLICATIONS INITIATIVE

CHICAGO (October 24, 2002) - Chicago-based Bankers Life and Casualty Company has piloted a cutting-edge electronic program, that will improve the accuracy and turnaround time on open enrollment policy applications.

Bankers agents can now use their laptop computers to upload a policy application directly to Bankers' mainframe. The entire uploading process takes approximately 90 seconds. Bankers partnered with NxLight, using the eTransaction Platform™ to develop the E-Apps program.

Matt Poole and Jim Hanna, both attached to the Charlotte, North Carolina Branch Sales Office, combined forces to became the first Bankers Agents to submit an electronic application.

"E-apps is an incredibly efficient tool that works to everyone's advantage, the customer's, ours and Bankers," said Matt Poole. "It is truly groundbreaking."

"The sky is the limit for E-Apps," said Jim Hanna. "Everyone in our office is excited about the program's enormous potential."

"Bankers is always looking for new, effective ways to speed up the policy application process for customers while maintaining the highest standards for accuracy," said Scott Perry, senior vice president, Career Sales and Distribution. "The new E-Apps initiative helps Bankers achieve these goals while keeping Bankers on the forefront of technological advances in the insurance field."

Additional advantages of the E-apps initiative include:

• Dramatic reduction in paper needed to print applications
• Reduction of the number of applications held up due to missing or incomplete information
• Greater adherence to ethical standards and acceptable practices through increased standardization
• Potential lower unit cost to customers due to money saved on unnecessary paperwork
• The opportunity to create a competitive technological edge for Bankers and Bankers' agents

Looking to the future, Bankers' plans to expand the electronic applications program to include a wider range of products and to make other tools available electronically, such as a comprehensive needs analysis to help agents align clients and products.

Established in 1879 and headquartered at the historic Merchandise Mart in downtown Chicago, Bankers Life and Casualty Company focuses exclusively on the financial security needs of seniors. The company offers a broad portfolio of health and life insurance and retirement savings products designed especially for seniors. These products are distributed through a national network of professionally trained company agents. Visit us online at www.bankers.com.

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Minor modifications may have been made to the above since its original release, to ensure accuracy and currency of information.