Universal life is the policy type most often reviewed in the secondary market, and it is also the type most often misunderstood by the person who owns it. The premium is flexible, which feels like a feature until the cost of insurance rises with attained age and starts consuming the account value faster than the premium replaces it.
Zurich American Life Insurance Company adds a second layer of confusion: the company has changed names, and different blocks of its business are handled by different third-party administrators. Before you can evaluate anything, you have to know who actually answers the phone for your contract. Pine Lake Life Solutions is an independent education and policy-review resource. It is not affiliated with, endorsed by, or acting on behalf of Zurich American Life Insurance Company or Zurich Insurance Group.
In This Article
- The Name Change Most Policyholders Never Heard About
- Who Administers Your Block, and the Number That Reaches Them
- Why Universal Life Quietly Runs Out of Room
- The In-Force Illustration Is the Whole Analysis
- Why Universal Life Draws the Most Interest in the Secondary Market
- The Change of Ownership Step and the Forms Zurich Publishes
- Frequently Asked Questions
The Name Change Most Policyholders Never Heard About
If your policy paperwork says Kemper Investors Life Insurance Company, you are holding a Zurich American Life contract. Filings for the company’s variable separate account record that the board changed the name of Kemper Investors Life Insurance Company, known as KILICO, to Zurich American Life Insurance Company effective August 22, 2010, and that on November 2, 2010 the KILICO Variable Separate Account was correspondingly renamed the ZALICO Variable Separate Account.
That single change explains a great deal of the confusion around these policies. Statements arrive under one name, the original policy jacket carries another, and searches for the Kemper name lead to Kemper Corporation, an entirely separate insurer that has no connection to your contract. When you call, use the phrase “a policy originally issued by Kemper Investors Life, now Zurich American Life” and the service team will know exactly what you have.
Zurich American Life Insurance Company is an Illinois domestic life insurance company, with a separate New York domestic entity issuing New York contracts. The two are not interchangeable for service purposes.
Who Administers Your Block, and the Number That Reaches Them
Zurich American Life’s own contact page does something unusual: it publishes a different administrator for each product line. As listed by the carrier and current to 2026, Scudder Destinations variable annuity contracts are “Administered by TPA illumifin” at 1-800-449-0523; other variable annuity and variable life contracts are “Administered by Commonwealth &TPA Se2” at 1-800-457-9047; fixed annuity contracts are “Administered by Protective Life Insurance Company” at 1-800-621-5001; and life insurance contracts are serviced at 1-888-634-6780 or 1-877-301-5376. Service hours are listed as Monday to Friday, 7:30 a.m. to 5:00 p.m. Central.
Correspondence addresses differ too. The carrier lists Zurich American Life Insurance Company at 7045 College Boulevard, 8th Floor, Overland Park, KS 66211, and Zurich American Life Insurance Company of New York at 4 World Trade Center, 54th Floor, 150 Greenwich Street, New York, NY 10007. Zurich North America’s corporate address, 1299 Zurich Way, Schaumburg, IL 60196, is not a policy service address.
The lesson is simple. Mail sent to the wrong administrator does not get forwarded quickly. Call first, confirm where your specific contract lives, and get the mailing address from the person who services it.
Why Universal Life Quietly Runs Out of Room
A universal life policy is an account. Premiums go in, the carrier credits interest, and each month the carrier deducts a cost of insurance charge plus expense charges. The cost of insurance is priced on the net amount at risk and the insured’s attained age, so it rises every year, gently in your fifties and steeply in your eighties.
A policy funded at a comfortable level in 1995 may have been designed around interest crediting rates that no longer exist. When crediting falls and the cost of insurance climbs, the account value stops growing, then starts shrinking, then hits the point where the monthly deduction cannot be met. At that stage the carrier sends a notice demanding a large catch-up premium to keep the contract alive, and many owners see that letter as the first warning.
It is not actually the first warning. The annual statement shows the trend years earlier if you know to read the account value line against the deduction line. That is why the document below matters more than any other.
| Document to request | Where it comes from |
|---|---|
| In-force illustration at current charges | Servicing administrator for your block |
| Minimum-premium-to-age-100 illustration | Same request, ask for it as a separate scenario |
| Verification of coverage | Zurich American Life policy service |
| Most recent annual statement | Mailed annually; reprints available on request |
| Form ZA-1025 (Non-Financial Change) | Zurich American Life forms page |
The In-Force Illustration Is the Whole Analysis
Request an in-force illustration run at current charges and current crediting, not at guaranteed maximum charges and not at an assumed higher rate. Ask for at least three scenarios: premium continued at the current level, the minimum premium required to carry the policy to age 100, and the projected date the policy lapses if you pay nothing more from today.
Those three lines tell you the real cost of keeping the policy and the real deadline for deciding. If the minimum premium to age 100 exceeds what the household can sustain, the choice narrows to reducing the face amount, using the account value to buy a smaller paid-up benefit if the contract allows, lapsing deliberately, or asking licensed providers whether they would evaluate the policy.
Order the illustration in writing and keep the date it was run. Illustrations go stale; providers generally want one dated within the last few months, along with a verification of coverage from the carrier confirming face amount, loans, and in-force status.
Why Universal Life Draws the Most Interest in the Secondary Market
Buyers acquire a future death benefit and pay premiums until it is paid. Universal life suits that structure because the premium is flexible: a buyer can fund the contract at the minimum needed to keep it in force rather than at the level the original owner chose. A whole life contract with a fixed contractual premium offers far less of that flexibility, and a term contract offers none.
That structural fit is why universal life is reviewed more often than any other type. It is not a promise. Whether a specific ZALICO universal life policy attracts an offer depends on the insured’s age and current health, the death benefit, the projected premium load, and the buyer’s own portfolio needs at that moment. Eligibility is determined by licensed providers, not by Pine Lake and not by the carrier.
The Change of Ownership Step and the Forms Zurich Publishes
Every settlement ends with an ownership change recorded on the carrier’s books. Zurich American Life publishes its service forms by number. Form ZA-1025, the Non-Financial Change Form, is described by the carrier as the form to “use when changing address, name, maturity date, beneficiaries or owners.” Form ZA-1068, a Trustee Certification, is required alongside ZA-1025 when ownership moves to a trust. Form ZA-8154 is the Collateral Assignment Form, described as the form to “use when assigning the contract to cover a loan (i.e. bank loan).”
Note the distinction between a collateral assignment, which pledges the policy as security, and an absolute assignment or ownership change, which transfers it outright. They are different documents with different consequences. Confirm with the servicing administrator which form applies before signing, and never sign a transfer document before you have read a complete written offer.
One open item as of July 2026: Zurich American Life does not publish a current AM Best financial strength rating on its policyholder website. If financial strength matters to your decision, ask the carrier for its current rating in writing and check ambest.com rather than relying on secondhand figures.
Frequently Asked Questions
Is Zurich American Life the same company as Kemper Investors Life?
Yes. Kemper Investors Life Insurance Company changed its name to Zurich American Life Insurance Company effective August 22, 2010, and the associated variable separate account was renamed the ZALICO Variable Separate Account on November 2, 2010. It is not related to Kemper Corporation, which is a different insurer.
Who services my Zurich American Life universal life policy?
It depends on the block. The carrier’s own contact page lists life insurance contracts at 1-888-634-6780 or 1-877-301-5376, variable contracts administered by Commonwealth and TPA Se2 at 1-800-457-9047, and fixed annuities administered by Protective Life Insurance Company at 1-800-621-5001. Call to confirm which one holds your contract before mailing anything.
What is an in-force illustration and why do I need one?
It is a carrier-produced projection showing how your account value behaves under stated premium and charge assumptions. Ordered at current charges, it reveals the year the policy would lapse and the minimum premium needed to avoid that. Without it, no honest evaluation of a universal life policy is possible.
Does a rising cost of insurance mean my policy is defective?
Not by itself. Cost of insurance rising with attained age is how universal life is designed to work. The problem arises when interest crediting falls below the level assumed at issue, so the account value no longer absorbs the increase. Whether any particular increase was permitted by the contract is a legal question for a licensed attorney.
Can Pine Lake buy my Zurich American Life policy?
No. Pine Lake does not purchase policies and is not affiliated with Zurich American Life Insurance Company. It provides education and a free, no-obligation policy review, and any transaction would be with licensed life settlement providers who make their own eligibility decisions.
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Related Reading
- Sell My Zurich American Guaranteed Universal Policy
- Sell My Zurich American Variable Universal Policy
- Sell My Protective Universal Life Policy
- How To Read In Force Illustration
- How Life Settlement Value Is Calculated
- Carrier Change Of Ownership Requirements
- How Long Policy Survive Without Premiums
Pine Lake Life Solutions does not purchase life insurance policies and does not provide legal, tax, or investment advice. Information provided is for educational purposes only. Eligibility for any option, including life settlements, is not guaranteed and depends on individual circumstances, policy terms, underwriting, and market conditions. Consult independent legal, tax, or financial professionals before making decisions regarding a life insurance policy.