State Farm® Life Insurance Companies announce Larger Dividend for 2008

Bloomington, IL, March 4, 2008 -- State Farm Life Insurance Company, State Farm Life and Accident Assurance Company and State Farm International Life Insurance Company Ltd. announced that it plans to pay an estimated $614 million in dividends on participating policies in 2008.  More than 99 percent of the 3.6 million dividend-paying life insurance policies that received a dividend in 2007 are expected to receive a larger dividend in 2008.

"Taking care of our life insurance customers is a top priority at State Farm," said Susan Waring, executive vice president and chief administrative officer of State Farm Life Insurance Company.

"Effectively managing our business has resulted in benefits that can be passed on directly to our life insurance customers, and we are very proud to do so."

Life insurance policy dividends are paid to the policyholder on the anniversary date of the policy and are based on the performance of participating policies including investment returns, mortality and expenses.  State Farm Life Insurance Company has paid dividends every year since the first policy anniversary in 1930.

About State Farm
State Farm insures more cars and homes than any other insurer in the U.S., the leading insurer of watercraft and is also a leading insurer in Canada. State Farm's 17,000 agents and 68,000 employees serve over 76 million auto, fire, life and health policies in the United States and Canada, and more than 1.7 million bank accounts. State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. State Farm is ranked No. 31 on the Fortune 500 list of largest companies. For more information, please visit statefarm.com® or in Canada statefarm.ca®.