VIA EDGAR
September 11, 1997
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Kemper Investors Life Insurance Company ("KILICO") and
KILICO Variable Separate Account ("Variable Separate Account")
(File No. 811-5025)
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 Separate Account referenced above. The semi-annual
report consists of cover letters from KILICO for each of the variable life
insurance products offered through the Variable Separate Account plus the most
recent individual semi-annual reports of the mutual fund subaccount options
available through the Variable Separate Account. 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
cover letter prepared by KILICO and hereby incorporates by reference the
individual semi-annual reports of the underlying funds set forth below.
The Variable Separate Account includes the following underlying fund
options as follows:
Investors Fund Series (File No. 811-5002)
American Skandia Trust (File No. 811-5186)
Please call the undersigned at 847-550-7389 if you have any questions
or comments.
Yours truly,
/s/ Frank J. Julian
Frank J. Julian
Associate General Counsel
FJJ/sw
<PAGE>
Dear Kemper Investors Life Policyowner:
Zurich Kemper Life is pleased to send you the 1997 Semi-Annual Report for
the funds underlying your investment choices in the Kemper Select variable
life insurance policy as of June 30, 1997.
So far, 1997 has been a year of extraordinary growth in the stock market
and for some of the funds available in your Kemper Select policy. Within
Kemper Select's unique portfolio of quality funds, you have the choice and
ability to diversify your money according to your investment objectives and
financial needs.
Along with the growth potential of the cash values that accumulate within
your policy, Kemper Select also offers the life insurance protection you
need and many options if you decide to start receiving payments. You can
receive guaranteed payments over a certain period of time, for the rest of
your life or over the lifetimes of both you and your spouse.
As always, please remember to review your Kemper Select prospectus before
you invest further or send any additional money. Zurich Kemper Life is
committed to helping you satisfy your long-term insurance and financial
needs. If you have any questions regarding your Kemper Select policy,
please feel free to contact your financial representative or our Client
Services Team at 800-621-5001. Or, check out our state-of-the-art web site
at www.zurichkemper.com for the latest news and information regarding new
products and features. Thank you for continuing to be a part of the Zurich
Kemper Life family; we pledge to assist you in taking care of your financial
needs.
Sincerely,
/s/ John B. Scott
John B. Scott
President
Chief Executive Officer
Securities distributed through Investors Brokerage Services, Inc.
That's the way life should be.
<PAGE>
Dear Kemper Investors Life Policyowner:
Zurich Kemper Life is pleased to send you the 1997 Semi-Annual Reports for
the funds underlying your investment choices in the Kemper Power V variable
life insurance policy as of June 30, 1997.
So far, 1997 has been a year of extraordinary growth in the stock market
and for some of the funds available in your Kemper Power V policy. Within
Kemper Power V's unique team of quality investment managers, you have the
ability to diversify your money between many different options. You can
also take advantage of the opportunity to diversify your accounts through
Zurich Kemper Life's unlimited tax-free transfer feature.
Along with the growth potential of the cash values that accumulate within
your policy, Kemper Power V also offers the life insurance protection you
need and many options available to you if you decide to start receiving
payments. You can receive guaranteed payments over a certain period of
time, for the rest of your life or over the lifetimes of both you and your
spouse.
As always, please remember to review your Kemper Power V prospectus before
you invest further or send any additional money. Zurich Kemper Life is
committed to helping you satisfy your long-term insurance and financial
needs. If you have any questions regarding your Kemper Power V policy,
please feel free to contact your financial representative or our Client
Services Team at 888-962-8854. Or, check out our state-of-the-art web site
at www.zurichkemper.com for the latest news and information regarding new
products and features. Thank you for continuing to be a part of the Zurich
Kemper Life family; we pledge to assist you in taking care of your financial
needs.
Sincerely,
/s/ John B. Scott
John B. Scott
President
Chief Executive Officer
Securities distributed through Investors Brokerage Services, Inc.
That's the way life should be.
