[ZURICH KEMPER LIFE LETTERHEAD]
VIA EDGAR
August 29, 2000
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Kemper Investors Life Insurance Company ("KILICO") and
KILICO Variable Annuity Separate Account
("Variable Annuity Separate Account")
File No. 811-3199
Commissioners:
Attached for filing, pursuant to Section 30(d) and Rule 30d-2 of the
Investment Company Act of 1940 ("1940 Act"), is the most recent semi-annual
report of the Variable Annuity Separate Account referenced above for the
Kemper Destinations Variable Annuity product ("Destinations"). The semi-
annual report consists of a front and back cover binding the most recent
semi-annual reports of the mutual fund subaccount options available through
the Variable Annuity Separate Account for Destinations. Because the most
recent semi-annual reports of the funds have been filed with the SEC by their
respective Investment Managers/Advisers, KILICO is filing herewith only the
front and back cover prepared by KILICO and hereby incorporates by reference
the semi-annual reports of the underlying funds set forth below.
The Variable Annuity Separate Account for Destinations includes the
underlying fund options as follows:
Kemper Variable Series (File No. 811-5002)
Scudder Variable Life Investment Fund (File No. 811-04257)
The Alger American Fund (File No. 811-5550)
Dreyfus Investment Portfolios (File No. 811-08673)
The Dreyfus Socially Responsible Growth Fund, Inc. (File No. 811-7044)
Warburg Pincus Trust (File No. 811-07261)
Janus Aspen Series (File No. 811-7736)
Please call the undersigned at 847-969-3524 if you have any questions
or comments.
Yours truly,
/s/ Juanita M. Thomas
Juanita M. Thomas
Vice President and
Assistant General Counsel
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LONG-TERM INVESTING IN A SHORT-TERM WORLD(SM)
SEMIANNUAL REPORT TO
SHAREHOLDERS FOR THE SIX MONTHS
ENDED JUNE 30, 2000
Semiannual Report
For Contract Holders of Kemper Destinations(SM)
* Kemper Variable Series
* Scudder Variable Life Investment Fund
* The Alger American Fund
* Dreyfus Investment Portfolios
* The Dreyfus Socially Responsible Growth Fund, Inc.
* Warburg Pincus Trust
* Janus Aspen Series
LOGO: KEMPER ANNUITIES & LIFE
<PAGE>
This report must be preceded or accompanied by the current prospectus.
Kemper Destinations(SM) (policy form series L-8166 and L-1550) is a variable,
fixed and market value-adjusted deferred annuity contract issued by Kemper
Investors Life Insurance Company. Securities are distributed by Investors
Brokerage Services, Inc., located at 1 Kemper Drive, Long Grove, IL 60049.
Kemper Destinations(SM) may not be available in all states. The contract
contains limitations and policy forms may vary by state.
INVESTMENT MANAGERS:
Scudder Kemper Investments, Inc.
222 South Riverside Plaza
Chicago, IL 60606
(Tel) 800-778-1482
Fred Alger Management, Inc.
1 World Trade Center
Suite 9333
New York, NY 10048
(Tel) 800-992-3863
The Dreyfus Family of Funds
149 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
(Tel) 800-554-4611
Warburg Pincus
P.O. Box 9030
Boston, MA 02205-9030
(Tel) 800-222-8977
Janus Capital Corporation
P.O. Box 173375
Denver, CO 80217-3375
(Tel) 800-525-3713
Printed on recycled paper.
DEST-3 (8/31/00) 1118980
Printed in the U.S.A.
LOGO: KEMPER ANNUITIES & LIFE
Long-term investing in a short-term world(SM)
