An Open Letter to Policyholders from Vikki L. Pryor, President & CEO

Dear Friends,

I hope this letter finds you and your family well, especially in light of the current economic slowdown. We are all aware of mortgage challenges, fuel costs, unemployment and increasing general living costs. It is important for all of us to be persistent, creative and to try to find the opportunities in the challenges. At SBLI USA we maintain our solid commitment to help protect you and your family through this financially demanding period and for many years to come.

More than half of 2008 is behind us, and I am happy to report to you that our investments and assets remain strong. We are paying close attention to our business, focusing on risk management, customer service, profitability and new sales. During 2008 more than half of our new sales will be direct to the consumer through our Customer Centers, mail, and the Internet. We have capitalized on our 2007 revamping initiatives to improve our overall efficiencies. Our Customer Centers utilize state-of-the-art technology to provide easy and user-friendly access to company and policyholder information. I encourage you to visit our web site often for updated information and products that are sure to serve you and your family. You might also benefit from other sites on the Internet, such as www.federalreserve.gov , where you will find helpful information on consumer matters such as mortgages, energy, employment, and family services.

With our continuing focus on technology, SBLI USA was recognized as first runner up in Cisco's coveted 2007 Growing with Technology Awards. In 2007 we received 152,306 customer calls, processed 4,686 claims, and experienced an 18% increase in Customer Center sales. We are unwavering in our efforts to maintain exceptional levels of service, as reflected in our 2007 customer satisfaction rating of 97.8 percent. Our financial strength is important and is reflected in our 9th year of an excellent A- rating from A.M. Best.

We recognize that the small things we do every day matter. I hope you will call on us as your trusted financial partner for information, products and service. We look forward to helping you secure the financial future of you and your family!

Best wishes for a healthy and happy summer.

Sincerely,