State Farm® Introduces a Life Insurance Product to Help Keep Families from Losing their Homes

Bloomington Ill., April 2, 2008 -- Home foreclosures are increasing at an alarming rate, but one of the most overlooked reasons people lose their homes is due to the death of the family "bread winner". This is because they don't have appropriate life insurance coverage to cover that loss. One way homeowners can protect their home is through mortgage term life insurance. State Farm life insurance affiliates are now offering Mortgage Life Insurance policies that will provide a death benefit that can be used to help pay off the mortgage balance in the event of the insured's death.

Owning a home is probably the largest source of personal debt a family could have and Mortgage Life Insurance can be an affordable way to protect this investment. For example, a 35-year old male or female non-tobacco user can get $75,000 of Mortgage Life coverage for a 30 year term for less than $25 per month. The policy's death benefit can help families stay in their home after the death of the insured.

A Mortgage Life Insurance policy can provide:

• a guaranteed death benefit,
• level coverage amount for the first five years, and then an annually decreasing amount to a minimum of 20 percent of the original amount
• the coverage amount you need based on your mortgage balance; especially for first-time homebuyers The minimum face amount is $50,000.
• coverage available for 15 or 30 years
• conversion to whole or universal life insurance—no matter what the insured's state of health is (conversion options vary by state)
• you can take the policy with you if you move to a different home
• flexibility in choosing a beneficiary – it does not have to be the bank

Customers can contact their State Farm agent or get more information about Mortgage Life Insurance on statefarm.com. Mortgage Life policies are not available in California, Massachusetts, Mississippi, Nevada and Rhode Island. They are available in the Canadian provinces of Alberta, New Brunswick, and Ontario.

(Policy series 08022 in all states except MT, NY, WI, CA, MS, NV; A08022 in NY & WI; 08072 in MT; not available in CA, MS, NV.)

State Farm life insurance affiliates:

State Farm Life Insurance Company
(Not licensed in MA, NY or WI)

State Farm Life and Accident Assurance Company
(Licensed in NY and WI)
Bloomington, Ill.

State Farm International Life Insurance Company, Ltd.
Aurora, Ontario

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®.