VIA EDGAR
September 8, 1998
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)
Fidelity Variable Insurance Products Fund (File No. 811-03329)
Fidelity Variable Insurance Products Fund II (File No. 811-05511)
Fidelity Variable Insurance Products Fund III (File No. 811-07205)
Scudder Variable Life Investment Fund (File No. 811-04257)
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>
August 31, 1998
Dear Kemper Investors Life Policyowner:
Zurich Kemper Life is pleased to send you the 1998 Semi-Annual Reports for
the funds underlying your investment choices in the Kemper Select variable
life insurance policy.
The Kemper Select is one of our many products designed to meet your long-term
insurance and financial needs. Please review these reports for a summary of
the funds' operations and related financial statements.
Zurich Kemper Life is part of the Zurich Group, one of the world's largest
and most respected financial services organizations. If you have any
questions on this product or others in the Zurich family, please contact your
financial representative or our Client Services Team at 1-800-621-5001. Or,
check out our website at www.zurichkemper.com.
As always, we continue our pledge to assist you in meeting your financial
needs.
Sincerely,
/s/ John B. Scott
John B. Scott
President
Chief Executive Officer
Securities distributed through Investors Brokerage Services, Inc. Kemper
Select is underwritten by Kemper Investors Life Insurance Company.
<PAGE>
August 31, 1998
Dear Kemper Investors Life Policyowner:
Zurich Kemper Life is pleased to send you the 1998 Semi-Annual Reports for
the funds underlying your investment choices in the Kemper Power V variable
life insurance policy.
The Kemper Power V is one of our many products designed to meet your long-
term insurance and financial needs. Please review these reports for a
summary of the funds' operations and related financial statements.
Zurich Kemper Life is part of the Zurich Group, one of the world's largest
and most respected financial services organizations. If you have any
questions on this product or others in the Zurich family, please contact your
financial representative or our Client Services Team at 1-888-962-8854. Or,
check out our website at www.zurichkemper.com.
As always, we continue our pledge to assist you in meeting your financial
needs.
Sincerely,
/s/ John B. Scott
John B. Scott
President
Chief Executive Officer
Securities distributed through Investors Brokerage Services, Inc. Kemper
Power V is underwritten by Kemper Investors Life Insurance Company.
