OLD AMERICAN INSURANCE COMPANY Reliability, Protection  and Security. 11 The need for final expense products  among the senior market continues  to increase as the country’s  population ages. With the final  expense industry’s strong demand,  it is no surprise that Old American  Insurance Company once again had  another successful year as it carried  out its mission to provide peace of  mind to the senior market. The increase in new premiums  reflects a combination of expanded  distribution efforts and improved  productivity from the Company’s  sales agents.  Old American continues to focus on  the recruitment and development of  new agencies and agents, along with  generating improved production  from existing agencies and agents.  In addition, this segment has  aggressively managed territories  assigned to agencies and emphasized  recruiting to improve production of  new sales. The Company’s Peace of Mind  mission is represented by a symbolic  eagle. Prominently displayed in Old American Insurance Company’s  logo, the eagle stands for reliability,  protection and security.  Reliability, protection and security.  These three words have adorned  the circular logo of Old American  Insurance Company since its beginning  days and represent a promise to our  policyholders – a promise to provide  peace of mind to the senior market.  Old American carries out this  mission through products that are  designed to cover the necessary costs  following the death of a loved one.  These funds also provide comfort to  surviving family members knowing  that money will be available for  ongoing expenses. A family-oriented company with  a long history, Old American is  licensed in 47 states and the District  of Columbia. Founded in 1939, the  Company celebrated its 73rd year  of business in 2012, of which more  than 20 have been under its current  parent company, Kansas City Life  Insurance Company. Walter E.  Bixby, a fourth generation member  of the Bixby family that has led  Kansas City Life since its early days,  serves as Old American’s President. When Old American was founded  in 1939, the Company’s philosophy  was that nobody should be considered  uninsurable simply on the basis of  age. That philosophy still resonates  with our mission of providing peace  of mind to the senior market. Old  American’s products and services  provide for financial needs following  a death, but they also fulfill emotional  needs as well. During 2012, Old American  focused on improving territory  penetration, recruiting and agent  productivity for its general agencies  in order to effectively meet the  sales goals of the Company. The  Old American segment accounted  for 30% of consolidated insurance  revenues for the years ended  December 31, 2012 and 2011.  Old American’s new sales increased  5% in 2012 and 9% 2011. Total  renewal premiums increased 3% in 2012 and 2% in 2011.  Looking forward, Old American  will remain committed to delivering  peace of mind through its successful  nationwide general agency system  with exclusive territories. Old  American is focused on its core  foundation for even further  momentum to fuel profitable  growth for its field force and the Company. Reliability  on a company in  business for 73 years; the comfort  that comes from the  Protection  of  insuring your loved ones; and last  but not least, the  Security  that  comes from knowing money will be  available for final expenses as well as necessary living expenses.  These three words will continue  to represent our mission and our  guiding philosophy to provide peace  of mind to the senior market now  and in the future.