American Family Exiting Variable Life, VA Business

April 03--Madison-based American Family Insurance will no longer service variable universal life insurance policies and variable annuities. The company signed an agreement to transfer its remaining portfolio of about 34,350 such policies and contracts to Kansas City Life Insurance Co., subject to review by the Wisconsin Office of the Commissioner of Insurance.

American Family's life insurance affiliate, known as AFLIC, stopped selling variable products in 2009, but continued to provide all servicing for its existing variable policies and contracts. That will end starting early next year, when Kansas City Life Insurance takes over the servicing work, the companies said this week.

American Family will focus on the sales and service of its core life insurance products, including term, universal and whole life products and annuities. At the end of last year, American Family reported life insurance in force valued at $88.3 billion.

___

(c)2013 The Wisconsin State Journal (Madison, Wis.)

Visit The Wisconsin State Journal (Madison, Wis.) at www.wisconsinstatejournal.com

Distributed by MCT Information Services