Allied Life: 3rd Qtr Dividend Announcement


                    

                ALLIED LIFE FINANCIAL CORPORATION ANNOUNCES 

                            3rd QUARTER DIVIDEND     

               Contact Jeff Roling 800-532-1436 ext.4454


          Des Moines, Iowa, July 29, 1997-- The Board of Directors of ALLIED 

Life Financial Corporation (NASDAQ symbol ALFC) declared a 3rd-quarter cash 

dividend on its common stock of $0.06 per share.  It is payable September 26, 

1997 to stockholders of record on September 12, 1997.


ALLIED Life Financial Corporation is a holding company that, through its 

principal subsidiary, ALLIED Life Insurance Company, underwrites, markets, and 

distributes life insurance and annuity products in the United States.


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