December 13, 2005

Kemper submits nine-month financials

LONG GROVE, ILL. – December 13, 2005 – Kemper has filed its financial statements (LMC financial statement - AMM financial statement) for the first nine months of 2005. The company posted a combined statutory surplus of $111.0 million. Of this amount, $100.2 million represents Lumbermens Mutual Casualty Company’s (LMC) surplus, with the $10.8 million balance posted by American Manufacturers Mutual Insurance Company (AMM). The combined third-quarter 2005 surplus is a decline of approximately $70.8 million from year-end 2004 surplus of $181.8 million.

Total assets for the organization stood at $3.1 billion, compared to $3.8 billion at the end of 2004. Gross loss and loss adjustment expense reserves dropped $6.8 billion at year-end 2004 to $5.4 billion at the end of September 2005.