SMAN's Subsidiary is Upgraded to B++ 'Very Good' from A. M. Best

A. M. Best Rating Upgraded to B++; 1st Quarter Sales Rise 37%



Apr 17, 2001, 01:00 ET from Standard Management Corporation

    INDIANAPOLIS, April 17 /PRNewswire/ -- Standard Management (Nasdaq:   SMAN)
 ( www.SMANcorp.com ) announced that its flagship domestic insurance
 subsidiary, Standard Life Insurance Company of Indiana ("Standard Life"),
 received a rating upgrade from A. M. Best insurance rating services to B++, or
 "very good" category.  As rationale for the rating upgrade, A. M. Best noted
 Standard Life's continued business growth, improved operating results in 2000,
 and increased fee income received from administration.  Further substantiating
 the rating increase, Standard Life has nearly tripled its direct premium
 production from its core annuity line over the past five years.  In addition
 to internally generated growth, Standard Life has acquired blocks of business
 over this period that complemented the company's marketing focus, while
 allowing the company to utilize its excess capacity and reduce its unit costs
 for annuity administration.
     In addition to the rating upgrade, Standard Management also reported
 strong sales for the first quarter of 2001, which were up 37% over the same
 period one year ago.  Premium deposits collected (sales) were $92.6 million
 for the first quarter of 2001, compared to $67.8 million for the first quarter
 of 2000.  Domestic premium deposits were $63.9 million for the quarter ended
 March 31, 2001, an increase of 57% compared to $40.8 million for the first
 quarter of 2000.  International operations reported premium deposits of $28.7
 million for the first quarter of 2001, an increase of 6% over $27.0 million
 for the first quarter of 2000.
     Ronald D. Hunter, Standard Management chairman, stated, "A. M. Best's
 rating upgrade for Standard Life to B++ is a key ingredient to our core
 strategy of building a high-performing domestic distribution system.  This
 rating upgrade, which is the second upgrade in the past four years, reflects
 our improving fundamentals as evidenced by our record first quarter 2001 sales
 results.  Strong sales results, combined with our focused efforts on higher-
 margined equity indexed and fee based products, are keys to our future
 growth."
     Domestic sales represent premium deposits collected from interest-
 sensitive annuities and other financial products.  International sales
 represent premium deposits on unit-linked contracts which generate fee-based
 income.  These deposits are not reported as revenues under generally accepted
 accounting principles.
     SMC is an international financial services holding company headquartered
 in Indianapolis, IN.  The Company operates insurance companies in the U.S., as
 well as companies in Luxembourg and Bermuda.  Information about the company
 can be obtained by calling the Investor Relations Department at 317-574-5221
 or via the Internet at http://www.SMANcorp.com .
     The statements contained in this press release that are not purely
 historical are forward-looking statements within the meaning of Section 37A of
 the Securities Exchange Act of 1934, including statements regarding the
 company's hopes, beliefs, intentions, or strategies regarding the future.
 Forward-looking statements include expectation of growth rates, new business,
 and acquisitions.
 
 (Photo:  http://www.newscom.com/cgi-bin/prnh/20010416/STANDARDLOGO )
 
 

SOURCE Standard Management Corporation
    INDIANAPOLIS, April 17 /PRNewswire/ -- Standard Management (Nasdaq:   SMAN)
 ( www.SMANcorp.com ) announced that its flagship domestic insurance
 subsidiary, Standard Life Insurance Company of Indiana ("Standard Life"),
 received a rating upgrade from A. M. Best insurance rating services to B++, or
 "very good" category.  As rationale for the rating upgrade, A. M. Best noted
 Standard Life's continued business growth, improved operating results in 2000,
 and increased fee income received from administration.  Further substantiating
 the rating increase, Standard Life has nearly tripled its direct premium
 production from its core annuity line over the past five years.  In addition
 to internally generated growth, Standard Life has acquired blocks of business
 over this period that complemented the company's marketing focus, while
 allowing the company to utilize its excess capacity and reduce its unit costs
 for annuity administration.
     In addition to the rating upgrade, Standard Management also reported
 strong sales for the first quarter of 2001, which were up 37% over the same
 period one year ago.  Premium deposits collected (sales) were $92.6 million
 for the first quarter of 2001, compared to $67.8 million for the first quarter
 of 2000.  Domestic premium deposits were $63.9 million for the quarter ended
 March 31, 2001, an increase of 57% compared to $40.8 million for the first
 quarter of 2000.  International operations reported premium deposits of $28.7
 million for the first quarter of 2001, an increase of 6% over $27.0 million
 for the first quarter of 2000.
     Ronald D. Hunter, Standard Management chairman, stated, "A. M. Best's
 rating upgrade for Standard Life to B++ is a key ingredient to our core
 strategy of building a high-performing domestic distribution system.  This
 rating upgrade, which is the second upgrade in the past four years, reflects
 our improving fundamentals as evidenced by our record first quarter 2001 sales
 results.  Strong sales results, combined with our focused efforts on higher-
 margined equity indexed and fee based products, are keys to our future
 growth."
     Domestic sales represent premium deposits collected from interest-
 sensitive annuities and other financial products.  International sales
 represent premium deposits on unit-linked contracts which generate fee-based
 income.  These deposits are not reported as revenues under generally accepted
 accounting principles.
     SMC is an international financial services holding company headquartered
 in Indianapolis, IN.  The Company operates insurance companies in the U.S., as
 well as companies in Luxembourg and Bermuda.  Information about the company
 can be obtained by calling the Investor Relations Department at 317-574-5221
 or via the Internet at http://www.SMANcorp.com .
     The statements contained in this press release that are not purely
 historical are forward-looking statements within the meaning of Section 37A of
 the Securities Exchange Act of 1934, including statements regarding the
 company's hopes, beliefs, intentions, or strategies regarding the future.
 Forward-looking statements include expectation of growth rates, new business,
 and acquisitions.
 
 (Photo:  http://www.newscom.com/cgi-bin/prnh/20010416/STANDARDLOGO )
 
 SOURCE  Standard Management Corporation