COVA FINANCIAL SERVICES LIFE INSURANCE COMPANY
COVA VARIABLE ANNUITY ACCOUNT ONE
Supplement dated September 1, 2000
The following information supplements certain information contained in your Cova
variable annuity prospectus:
1. The following accumulation unit values for the period ended June 30, 2000 are
added to Appendix A:
AIM VARIABLE INSURANCE FUNDS:
Managed by A I M Advisors, Inc.
AIM V.I. Capital Appreciation Sub-Account
Beginning of Period $16.79
End of Period $18.04
Number of Accum. Units Outstanding 2,127,052
AIM V.I. International Equity Sub-Account
Beginning of Period $17.42
End of Period $15.42
Number of Accum. Units Outstanding 431,055
AIM V.I. Value Sub-Account
Beginning of Period $16.73
End of Period $16.57
Number of Accum. Units Outstanding 4,430,868
COVA SERIES TRUST
Managed by Lord, Abbett & Co.
Bond Debenture Sub-Account
Beginning of Period $13.77
End of Period $13.86
Number of Accum. Units Outstanding 10,965,278
Mid-Cap Value Sub-Account
Beginning of Period $10.88
End of Period $12.72
Number of Accum. Units Outstanding 2,867,155
Large Cap Research Sub-Account
Beginning of Period $14.64
End of Period $13.84
<PAGE>
Number of Accum. Units Outstanding 2,659,673
Developing Growth Sub-Account
Beginning of Period $14.45
End of Period $12.66
Number of Accum. Units Outstanding 2,987,923
Lord Abbett Growth and Income
Sub-Account
Beginning of Period $39.46
End of Period $38.33
Number of Accum. Units Outstanding 20,485,223
Managed by J.P. Morgan Investment
Management Inc.
Select Equity Sub-Account
Beginning of Period $18.38
End of Period $18.07
Number of Accum. Units Outstanding 12,265,969
Small Cap Stock Sub-Account
Beginning of Period $17.93
End of Period $17.95
Number of Accum. Units Outstanding 5,592,635
International Equity Sub-Account
Beginning of Period $16.33
End of Period $15.56
Number of Accum. Units Outstanding 7,926,508
Quality Bond Sub-Account
Beginning of Period $11.57
End of Period $11.90
Number of Accum. Units Outstanding 7,064,346
Large Cap Stock Sub-Account
Beginning of Period $22.55
End of Period $21.91
Number of Accum. Units Outstanding 10,893,382
GENERAL AMERICAN CAPITAL COMPANY
Managed by Conning Asset Management Company
Money Market Sub-Account
Beginning of Period $11.53
End of Period $11.80
Number of Accum. Units Outstanding 2,526,087
MFS VARIABLE INSURANCE TRUST:
Managed by Massachusetts Financial
<PAGE>
Services Company
MFS Emerging Growth Sub-Account
Beginning of Period $23.06
End of Period $22.37
Number of Accum. Units Outstanding 1,539,223
MFS Research Sub-Account
Beginning of Period $14.89
End of Period $15.72
Number of Accum. Units Outstanding 1,313,226
MFS Growth With Income Sub-Account
Beginning of Period $12.70
End of Period $12.67
Number of Accum. Units Outstanding 1,763,191
MFS High Income Sub-Account
Beginning of Period $10.33
End of Period $10.29
Number of Accum. Units Outstanding 488,268
MFS Global Governments Sub-Account
Beginning of Period $10.26
End of Period $10.33
Number of Accum. Units Outstanding 10,819
OPPENHEIMER VARIABLE ACCOUNT FUNDS
Managed by OppenheimerFunds, Inc.
Oppenheimer High Income Fund/VA Sub-Account
Beginning of Period $10.17
End of Period $10.04
Number of Accum. Units Outstanding 294,978
Oppenheimer Bond Fund/VA Sub-Account
Beginning of Period $10.23
End of Period $10.36
Number of Accum. Units Outstanding 1,128,361
Oppenheimer Capital Appreciation Fund/VA Sub-Account
Beginning of Period $17.09
End of Period $18.57
Number of Accum. Units Outstanding 598,973
Oppenheimer Main Street Growth & Income Fund/VA Sub-Account
Beginning of Period $12.39
End of Period $12.33
Number of Accum. Units Outstanding 965,931
Oppenheimer Strategic Bond Fund/VA Sub-Account
Beginning of Period $10.29
<PAGE>
End of Period $10.40
Number of Accum. Units Outstanding 362,395
VARIABLE INSURANCE PRODUCTS FUND
Managed by Fidelity Management & Research Company
VIP Growth Sub-Account
Beginning of Period $17.72
End of Period $18.50
Number of Accum. Units Outstanding 165,057
VIP Equity-Income Sub-Account
Beginning of Period $11.14
End of Period $10.77
Number of Accum. Units Outstanding 141,444
VARIABLE INSURANCE PRODUCTS FUND II
Managed by Fidelity Management & Research Company
VIP II Contrafund Sub-Account
Beginning of Period $15.14
End of Period $14.83
Number of Accum. Units Outstanding 245,465
VARIABLE INSURANCE PRODUCTS FUND III
Managed by Fidelity Management & Research Company
VIP III Growth Opportunities Sub-Account
Beginning of Period $12.07
End of Period $11.55
Number of Accum. Units Outstanding 89,371
VIP III Growth & Income Sub-Account
Beginning of Period $13.14
End of Period $12.75
Number of Accum. Units Outstanding 262,016
2. The following replaces Appendix C - Performance Information:
FUTURE PERFORMANCE WILL VARY AND THE RESULTS SHOWN ARE NOT NECESSARILY
REPRESENTATIVE OF FUTURE RESULTS.
Note: The figures below present investment performance information for the
periods ended June 30, 2000. While these numbers represent the returns as of
that date, they do not represent performance information of the portfolios since
that date. Performance information for the periods after June 30, 2000 may be
different than the numbers shown below.
PART 1 - SEPARATE ACCOUNT PERFORMANCE
The portfolios listed below began operations before June 30, 2000. As a result,
performance information is available for the accumulation unit values
<PAGE>
investing in these portfolios.
* Column A presents performance figures for the accumulation units which
reflect the insurance charges, the contract maintenance charge, the fees
and expenses of the investment portfolio, and assume that you make a
withdrawal at the end of the period and therefore the withdrawal charge is
reflected.
* Column B presents performance figures for the accumulation units which
reflect the insurance charges as well as the fees and expenses of the
investment portfolio.
The inception dates shown below reflect the dates the Separate Account first
invested in the Portfolio. The performance returns for accumulation units
investing in the portfolios in existence for less than one year are not
annualized.
<TABLE>
<CAPTION>
PART 1 AIM VARIABLE INSURANCE FUNDS
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS ENDED 6/30/00:
Accumulation Unit Performance
Column A Column B
Separate (reflects all (reflects insurance
Account charges and charges and
Inception portfolio expenses) portfolio expenses)
Portfolio Date in 1 yr since 1 yr since
Portfolio inception inception
---------------- --------- -------- --------- ------------- ----------
<S> <C> <C> <C> <C> <C>
AIM V.I. Capital 12/31/97 36.32% 25.26% 40.92% 26.64%
Appreciation
AIM V.I. 12/31/97 25.91% 17.42% 30.51% 18.92%
International
Equity
AIM V.I. Value 12/31/97 7.03% 20.95% 11.63% 22.39%
</TABLE>
<TABLE>
<CAPTION>
PART 1 COVA SERIES TRUST
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS ENDED 6/30/00:
Accumulation
Column A Unit Performance Column B
(reflects (reflects
all charges insurance
and portfolio charges and
Separate Account expenses portfolio
Inception Date expenses)
Portfolio in Portfolio 1 yr 5 yrs since 1 yr 5 yrs since
----------------- ---------------- ---------- -------- ------------- ---------- --------- ----------
inception inception
------------- ----------
<S> <C> <C> <C> <C> <C> <C>
Select Equity 5/1/96 -8.40% N/A 14.24% -3.80% N/A 15.03%
Small Cap Stock 5/1/96 30.89% N/A 12.86% 35.49% N/A 13.70%
International Equity 5/1/96 10.43% N/A 9.74% 15.03% N/A 10.63%
Quality Bond 5/1/96 -1.82% N/A 3.47% 2.78% N/A 4.53%
Large Cap Stock 5/1/96 -3.92% N/A 20.02% 0.69% N/A 20.70%
Bond Debenture 5/1/96 -2.18% N/A 6.94% 2.42% N/A 7.90%
Mid-Cap Value 8/20/97 5.40% N/A 7.29% 10.01% N/A 8.76%
Large Cap Research 8/20/97 -0.71% N/A 10.63% 3.89% N/A 12.02%
Developing Growth 8/20/97 -5.09% N/A 7.13% -0.49% N/A 8.59%
Lord Abbett Growth and
Income 1/8/99 -6.55% N/A 1.40% -1.95% N/A 4.53%
</TABLE>
<TABLE>
<CAPTION>
PART 1 GENERAL AMERICAN CAPITAL COMPANY AVERAGE ANNUAL TOTAL RETURN FOR THE
PERIOD ENDED 6/30/00:
Accumulation
Column A Unit Performance Column B
(reflects (reflects
all charges insurance
and portfolio charges and
Separate Account expenses) portfolio
Inception Date expenses)
Portfolio in Portfolio 1 yr since 1 yr since
----------------- ---------------- ---------- ------------- ---------- ----------
inception inception
------------- ----------
<S> <C> <C> <C> <C> <C> <C>
Money Market 6/3/96 -0.20% 3.03% 4.40% 4.14%
</TABLE>
<TABLE>
<CAPTION>
PART 1 MFS VARIABLE INSURANCE TRUST
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS ENDED 6/30/00:
Accumulation Unit Performance
Column A Column B
Separate (reflects all (reflects insurance
Account charges and charges and
Inception portfolio expenses) portfolio expenses)
Portfolio Date in 1 yr since 1 yr since
Portfolio inception inception
---------------- --------- -------- --------- ------------- ----------
<S> <C> <C> <C> <C> <C> <C>
MFS Emerging Growth 12/31/97 46.32% 36.82% 50.92% 38.03%
MFS Research 12/31/97 14.87% 18.36% 19.47% 19.85%
MFS Growth With Income 12/31/97 -4.69% 8.25% -0.09% 9.94%
MFS High Income 12/31/97 -4.35% -0.77% 0.25% 1.14%
MFS Global Governments 12/31/97 -4.18% -0.59% 0.42% 1.32%
</TABLE>
<TABLE>
<CAPTION>
PART 1 OPPENHEIMER VARIABLE ACCOUNT FUNDS AVERAGE ANNUAL TOTAL RETURN FOR THE
PERIODS ENDED 6/30/00:
Accumulation Unit Performance
Column A Column B
Separate (reflects all (reflects insurance
Account charges and charges and
Inception portfolio expenses) portfolio expenses)
Portfolio Date in 1 yr since 1 yr since
Portfolio inception inception
---------------- --------- -------- --------- ------------- ----------
<S> <C> <C> <C> <C> <C> <C>
Oppenheimer High Income
Fund/VA 12/31/97 -6.15% -1.78% -1.55% 0.16%
Oppenheimer Bond
Fund/VA 12/31/97 -3.90% -0.50% 0.70% 1.41%
Oppenheimer Capital
Appreciation Fund/VA 12/31/97 27.36% 26.75% 31.96% 28.10%
Oppenheimer Main Street
Growth & Income
Fund/VA 12/31/97 0.28% 7.03% 4.88% 8.75%
Oppenheimer Strategic
Bond Fund/VA 12/31/97 -1.56% -0.32% 3.03% 1.59%
</TABLE>
<TABLE>
<CAPTION>
PART 1 VARIABLE INSURANCE PRODUCTS FUND, VARIABLE INSURANCE PRODUCTS FUND II,
VARIABLE INSURANCE PRODUCTS FUND III
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS ENDED 6/30/00:
Accumulation Unit Performance
Column A Column B
Separate (reflects all (reflects insurance
Account charges and charges and
Inception portfolio expenses) portfolio expenses)
Portfolio Date in 1 yr since 1 yr since
Portfolio inception inception
---------------- --------- -------- --------- ------------- ----------
<S> <C> <C> <C> <C> <C> <C>
VIP Growth 2/17/98 19.87% 28.22% 24.47% 29.67%
VIP Equity-Income 2/17/98 -14.05% 1.21% -9.45% 3.18%
VIP II Contrafund 2/17/98 4.02% 16.48% 8.62% 18.11%
VIP III Growth 2/17/98 -11.57% 4.39% -6.97% 6.28%
Opportunities
VIP III Growth 2/17/98 -7.06% 9.04% -2.46% 10.82%
& Income
</TABLE>
PART 2 - HISTORICAL FUND PERFORMANCE
Certain Funds ("Existing Funds") have been in existence prior to when the
Separate Account and your contract began investing in them. In order to show how
historical investment performance of the Funds affects accumulation unit values,
we have developed performance information.
The chart below shows the investment performance of the Existing Funds and the
accumulation units performance calculated by assuming that accumulation units
were invested in the Portfolio of the Existing Fund for the same periods.
* The performance figures in Column A for the Existing Funds reflect the fees
and expenses paid by the Portfolio.
* Column B presents performance figures for the accumulation units which
reflect the insurance charges, the contract maintenance charge, the fees
and expenses of the Portfolio and assumes that you make a withdrawal at the
end of the period and therefore the withdrawal charge is reflected.
* Column C presents performance figures for the accumulation units which
reflect the insurance charges as well as the fees and expenses of the
Portfolio.
<TABLE>
<CAPTION>
PART 2 AIM VARIABLE INSURANCE FUNDS
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS ENDED 6/30/00:
Fund Performance Accumulation Unit Performance
Column A Column B Column C
(reflects all (reflects insurance
charges and charges and
portfolio expenses) portfolio expenses)
Portfolio
Inception since since since
Portfolio Date 1 yr 5 yrs inception 1 yr 5 yrs inception 1 yr 5 yrs inception
---------------- --------- ------- ------ ------------ ------ ------- ---------- ------ ----- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
AIM V.I. Capital
Appreciation 5/5/93 42.91% 22.36% 21.98% 36.32% 20.86% 20.48% 40.92% 20.96% 20.58%
AIM V.I.
International
Equity 5/5/93 32.34% 17.27% 15.54% 25.91% 15.77% 14.04% 30.51% 15.87% 14.14%
AIM V.I. Value 5/5/93 13.20% 21.82% 21.26% 7.03% 20.32% 19.76% 11.63% 20.42% 19.86%
</TABLE>
<TABLE>
<CAPTION>
PART 2 GENERAL AMERICAN CAPITAL COMPANY MONEY MARKET FUND AVERAGE ANNUAL TOTAL
RETURN FOR THE PERIODS ENDED 6/30/00:
Fund Performance Accumulation Unit Performance
Column A Column B Column C
(reflects all (reflects insurance
Portfolio charges and charges and
Inception portfolio expenses) portfolio expenses)
Portfolio Date 1 yr 5 yrs 10 yrs 1 yr 5 yrs 10 yrs 1 yr 5 yrs 10 yrs
---------------- --------- ------- ------ ------------ ------- ----------- ------------- ------- --------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Money Market 10/1/87 5.88% 5.61% 5.24% -0.20% 4.11% 3.74% 4.40% 4.21% 3.84%
</TABLE>
<TABLE>
<CAPTION>
PART 2 MFS VARIABLE INSURANCE TRUST
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS ENDED 6/30/00:
Fund Performance Accumulation Unit Performance
Column A Column B Column C
(reflects all (reflects insurance
charges and charges and
portfolio expenses) portfolio expenses)
Portfolio 10 yrs 10 yrs 10 yrs
Inception or since or since or since
Portfolio Date 1 yr 5 yrs inception 1 yr 5 yrs inception 1 yr 5 yrs inception
--------------- --------- ------ ------ ---------- ------ ----- --------- ----- ------- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
MFS Emerging Growth 7/24/95 53.05% N/A 31.60% 46.32% N/A 29.17% 50.92% N/A 30.20%
MFS Research 7/26/95 21.16% N/A 21.83% 14.87% N/A 19.40% 19.47% N/A 20.43%
MFS Growth With Income 10/9/95 1.33% N/A 18.83% -4.69% N/A 16.36% -0.09% N/A 17.43%
MFS High Income 7/26/95 1.67% N/A 7.43% -4.35% N/A 5.00% 0.25% N/A 6.03%
MFS Global Governments 6/14/94 1.84% 2.48% 3.97% -4.18% 0.98% 2.47% 0.42% 1.08% 2.57%
</TABLE>
<TABLE>
<CAPTION>
PART 2 OPPENHEIMER VARIABLE ACCOUNT FUNDS AVERAGE ANNUAL TOTAL RETURN FOR THE
PERIODS ENDED 6/30/00:
Fund Performance Accumulation Unit Performance
Column A Column B Column C
(reflects all (reflects insurance
charges and charges and
portfolio expenses) portfolio expenses)
Portfolio 10 yrs 10 yrs 10 yrs
Inception or since or since or since
Portfolio Date 1 yr 5 yrs inception 1 yr 5 yrs inception 1 yr 5 yrs inception
--------------- --------- ------ ------ ---------- ------ ----- --------- ----- ------- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Oppenheimer High Income
Fund/VA 4/30/86 -0.16% 7.81% 11.96% -6.15% 6.31% 10.46% -1.55% 6.41% 10.56%
Oppenheimer Bond Fund/VA 4/3/85 2.12% 5.41% 7.63% -3.90% 3.91% 6.13% 0.70% 4.01% 6.23%
Oppenheimer Capital
Appreciation Fund/VA 4/3/85 33.83% 28.17% 20.01% 27.36% 26.67% 18.51% 31.96% 26.77% 18.61%
Oppenheimer Main Street
Growth & Income Fund/VA 7/5/95 6.37% N/A 23.00% 0.28% N/A 20.58% 4.88% N/A 21.60%
Oppenheimer Strategic Bond
Fund/VA 5/3/93 4.49% 7.02% 6.00% -1.56% 5.52% 4.50% 3.03% 5.62% 4.60%
</TABLE>
<TABLE>
<CAPTION>
PART 2 VARIABLE INSURANCE PRODUCTS FUND, VARIABLE INSURANCE PRODUCTS FUND II,
VARIABLE INSURANCE PRODUCTS FUND III AVERAGE ANNUAL TOTAL RETURN FOR THE PERIODS
ENDED 6/30/00:
Fund Performance Accumulation Unit Performance
Column A Column B Column C
(reflects all (reflects insurance
Portfolio charges and charges and
Inception portfolio expenses) portfolio expenses)
Portfolio Date 1 yr 5 yrs 10 yrs 1 yr 5 yrs 10 yrs 1 yr 5 yrs 10 yrs
---------------- --------- ------- ------ ------------ ------- --------- ------------- ------- --------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
VIP Growth 10/9/86 26.26% 25.56% 20.08% 19.87% 24.06% 18.58% 24.47% 24.16% 18.68%
VIP Equity-Income 10/9/86 -8.20% 14.29% 14.68% -14.05% 12.79% 13.18% -9.45% 12.89% 13.28%
VIP II Contrafund 1/3/95 10.22% 21.82% 24.63% 4.02% 20.32% 23.13% 8.62% 20.42% 23.23%
VIP III Growth
Opportunities 1/3/95 -5.65% 16.68% 18.58% -11.57% 15.18% 17.08% -6.97% 15.28% 17.18%
VIP III Growth
& Income 12/31/96 -1.03% N/A 17.93% -7.06% N/A 15.12% -2.46% N/A 16.53%
</TABLE>
CL-4412 (9/00)
