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Filed Pursuant
to Rule 497 (d)
Registration No. 33-97852
SOUTHLAND LIFE INSURANCE COMPANY
SOUTHLAND SEPARATE ACCOUNT L1
Supplement Dated June 11, 1998
To
Prospectus Dated May 1, 1998
On or about June 10, 1998, Southland Life Insurance Company ("Southland") and
several other applicants filed an application with the Securities and Exchange
Commission seeking an order approving the substitution of shares of the Variable
Insurance Products Fund ("VIP") Money Market Portfolio for shares of Short-Term
Bond Portfolio of Janus Aspen Series ("Janus Aspen Short-Term Bond Portfolio")
currently held by an investment subdivision ("Subaccount") of Southland Separate
Account L1 (the "Variable Account"). To the extent required by law, approvals of
such substitutions will also be obtained from the state insurance regulators in
certain jurisdictions. The effect of such a share substitution would be to
replace Short-Term Bond Portfolio with VIP Money Market Portfolio as an
investment option under Policies described in your May 1, 1998 prospectus.
The investment objective of the VIP Money Market Portfolio is to seek as high a
level of current income as is consistent with preserving capital and providing
liquidity. The Portfolio will invest only in high quality U.S. dollar
denominated money market securities of domestic and foreign issuers. Policy
Owners and prospective purchasers should carefully read the prospectus for this
Portfolio. This prospectus was attached to the May 1, 1998 prospectus for the
Policies which was previously sent to you.
From the date of this supplement to the date of the proposed substitution, each
Policy Owner will be permitted to make one transfer of all amounts under a
Policy invested in the Subaccount corresponding to Janus Aspen Short-Term Bond
Portfolio on the date of the supplement to another Subaccount, without that
transfer counting as one of the twelve (12) free transfers permitted in a
Policy Year. Also, Southland will not exercise any rights reserved under any
Policy to impose additional restrictions on transfer until at least thirty
(30) days after the proposed substitution.
If the proposed substitution is carried out, each Policy Owner affected by the
substitutions will be sent a written notice informing them that the substitution
was carried out and that they may make one transfer of all amounts under a
Policy invested in the Subaccount corresponding to VIP Money Market Portfolio
on the date of the notice to another Subaccount without the transfer counting as
one of the twelve (12) free transfers permitted in a Policy Year.
This supplement should be retained with the prospectus for future reference.
Form 21-144 (6/98)
