LBVIP VARIABLE ANNUITY ACCOUNT I, 485APOS, 1998-02-24

LBVIP VARIABLE ANNUITY ACCOUNT I
485APOS, 1998-02-24

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Registration No. 33-15974
811-5242
============================================================================
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-4

REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 [ ]
Pre-Effective Amendment No. _______ [ ]
Post-Effective Amendment No. ___19___ [X]
and/or
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 [X]
Amendment No. ___20___ [X]

LBVIP VARIABLE ANNUITY ACCOUNT I
(Exact Name of Registrant)

LUTHERAN BROTHERHOOD VARIABLE INSURANCE PRODUCTS COMPANY
(Name of Depositor)

625 Fourth Avenue South, Minneapolis, Minnesota 55415
(Address of Depositor's Principal Executive Offices) (Zip Code)

Depositor's Telephone Number, including Area Code: (612) 340-7215

It is proposed that this filing will become effective (check appropriate
box)

[ ] immediately upon filing pursuant to paragraph (b) of Rule 485
[ ] on May 1, 1997 pursuant to paragraph (b) of Rule 485
[ ] 60 days after filing pursuant to paragraph (a)(i) of Rule 485
[X] on May 1, 1998 pursuant to paragraph (a)(i) of Rule 485
[ ] 75 days after filing pursuant to paragraph (a)(ii) of Rule 485
[ ] on (date) pursuant to paragraph (a)(iii) of Rule 485.

If appropriate, check the following box:

[ ] this post-effective amendment designates a new effective date for a
previously filed post-effective amendment.

============================================================================

Registrant has filed with the Securities and Exchange Commission a
declaration pursuant to Rule 24f-2 under the Investment Company Act of 1940,
and:

[ ] filed the Notice required by that Rule on February 25, 1997; or
[X] intends to file the Notice required by that Rule on or about March
15, 1998; or
[ ] during the most recent fiscal year did not sell any securities
pursuant to Rule 24f-2 under the Investment Company Act of 1940, and,
pursuant to Rule 24f-2(b)(2), need not file the Notice.

<PAGE>
LBVIP VARIABLE ANNUITY ACCOUNT I

CROSS REFERENCE SHEET

Pursuant to Rule 495 under the Securities Act of 1933 indicating the
location in the Prospectus of the information called for by the Items of
Parts A and B of Form N-4.

Part A

Item Number and Caption Location
- ----------------------- --------

1. Cover Page Cover Page

2. Definitions Definitions

3. Synopsis or Highlights Summary

4. Condensed Financial Information Condensed Financial Information

5. General Description of Registrant,
Depositor, and Portfolio Companies LBVIP, Lutheran Brotherhood, the
Variable Account and the Fund;
Voting Rights; Sales and Other
Agreements

6. Deductions Charges and Deductions; Sales and
Other Agreements

7. General Description of
Variable Annuity Contracts LBVIP, Lutheran Brotherhood, the
Variable Account and the Fund --
Addition, Deletion or Substitution
of Investments; The Contracts --
Allocation of Premiums; --
Surrenders (Redemptions); --
Transfers; -- Contract Owner,
Beneficiaries and Annuitants;
Annuity Provisions --
Frequency and Amount of Annuity
Payments; General Provisions --
Postponement of Payments

8. Annuity Period Annuity Provisions

9. Death Benefit The Contracts -- Death Benefit
Before the Maturity Date; -- Death
Benefit After the Maturity Date

10. Purchases and Contract Value The Contracts -- Issuance of a
Contract; -- Allocation of
Premiums; -- Accumulated Value;
Accumulation Units and Accumulation
Unit Value; Sales and Other
Agreements

11. Redemptions The Contracts -- Free Look Period;
-- Surrender (Redemptions); General
Provisions -- Postponement of
Payments

12. Taxes Charges and Deductions -- Premium
Taxes; Other Taxes; Federal Tax
Status

13. Legal Proceedings Legal Proceedings

14. Table of Contents of the Statement
of Additional Information Statement of Additional Information
Table of Contents

Part B

15. Cover Page Cover Page

16. Table of Contents Table of Contents

17. General Information and History Introduction

18. Services Administration of the Contracts;
Custody of Assets; Independent
Public Accountants and Financial
Statements

19. Purchase of Securities Being
Offered Distribution of the Contracts

20. Underwriters Distribution of the Contracts

21. Calculation of Yield Quotations of
Money Market Sub-Accounts Calculation of Performance

22. Annuity Payments See "Annuity Provisions" in Part A

23. Financial Statements Independent Public Accountants and
Financial Statements

Part C

Information required to be included in Part C is set forth under the
appropriate Item, so numbered in Part C to this Registration Statement.

<PAGE>
PROSPECTUS
------------------------------------

INDIVIDUAL FLEXIBLE PREMIUM
VARIABLE ANNUITY CONTRACT
Issued By
LUTHERAN BROTHERHOOD
VARIABLE INSURANCE PRODUCTS COMPANY

625 Fourth Avenue South * Minneapolis, Minnesota 55415 * (612) 340-7210
------------------------------------

This Prospectus describes an individual flexible premium variable annuity
contract (the "Contract") being offered by Lutheran Brotherhood Variable
Insurance Products Company ("LBVIP"), a stock life insurance company that is
an indirect subsidiary of Lutheran Brotherhood. LBVIP is offering the Contract
only in situations in which the Annuitant is eligible for membership in
Lutheran Brotherhood, unless otherwise required by state law. The Contract may
be sold to or in connection with retirement plans which may or may not qualify
for special Federal tax treatment under the Internal Revenue Code. Annuity
payments under the Contract are deferred until a selected later date.

The Contract Owner may elect to have premiums accumulate on a variable basis
and/or on a fixed basis. Premiums may be allocated, as designated by the
Contract Owner, to one or more Subaccounts of LBVIP Variable Annuity Account I
(the "Variable Account"), a separate account of LBVIP, and/or to the Fixed
Account (which is the general account of LBVIP, and which pays interest at a
guaranteed fixed rate). The assets of each Subaccount will be invested solely
in a corresponding Portfolio of LB Series Fund, Inc. (the "Fund"), which is a
diversified, open-end management investment company (commonly known as a
"mutual fund"). The accompanying Prospectus for the Fund describes the
investment objectives and attendant risks of the six Portfolios of the Fund --
the Growth Portfolio, the High Yield Portfolio, the Income Portfolio, the
Opportunity Growth Portfolio, the Mid Cap Growth Portfolio, the World Growth
Portfolio, and the Money Market Portfolio. Additional Subaccounts (together
with the related additional Portfolios of the Fund) may be added in the
future. The Accumulated Value of the Contract in the Subaccounts and, except
to the extent fixed amount annuity payments are elected by the Contract Owner,
the amount of annuity payments will vary, primarily based on the investment
experience of the Portfolio whose shares are held in the Subaccounts
designated. Premiums allocated to the Fixed Account will accumulate at fixed
rates of interest declared by LBVIP.

This Prospectus describes only the elements of the Contract pertaining to the
Variable Account except where reference to the Fixed Account of the Contract
is specifically made.

THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED
BY THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE
SECURITIES COMMISSION NOR HAS THE SECURITIES AND EXCHANGE
COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON
THE ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY
REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
----------------------------------

This Prospectus sets forth concisely the information about the Contract that a
prospective investor ought to know before investing, and should be read
and kept for future reference. It is valid only when accompanied or
preceded by the current Prospectus of LB Series Fund, Inc.

----------------------------------

The date of this Prospectus is May 1, 1998.

[Continued from cover page]

On the date LBVIP approves the Contract Owner's application, the initial
premium (after deduction of any required premium taxes) and any interest
accumulations accrued during the underwriting period will be allocated among
the Subaccount(s) and the Fixed Account according to the Contract Owner's
instructions. See "THE CONTRACTS--Allocation of Premiums." Subsequent premiums
will be allocated among the Subaccounts and the Fixed Account in the same
proportion as the initial premium, at the end of the Valuation Period in which
the subsequent premium is received by LBVIP.

Additional information about the Contract, LBVIP and the Variable Account,
contained in a Statement of Additional Information dated May 1, 1998, has been
filed with the Securities and Exchange Commission and is available upon
request without charge by writing to Lutheran Brotherhood Variable Insurance
Products Company, 625 Fourth Avenue South, Minneapolis, Minnesota 55415. The
Statement of Additional Information relating to the Contract having the same
date as this Prospectus is incorporated by reference in this Prospectus. The
Table of Contents for the Statement of Additional Information may be found on
page __ of this Prospectus. Information about the Fixed Account may be found
in the Appendix to this Prospectus.

TABLE OF CONTENTS
Page
DEFINITIONS
SUMMARY FEE TABLE
SUMMARY
LBVIP, LUTHERAN BROTHERHOOD, THE VARIABLE ACCOUNT AND
THE FUND
LBVIP and Lutheran Brotherhood
The Variable Account
LB Series Fund, Inc.
Addition, Deletion or Substitution of Investments
THE CONTRACTS
Issuance of a Contract
Free Look Period
Allocation of Premium
Accumulated Value; Accumulation Units and Accumulation Unit Value
Death Benefit Before the Maturity Date
Death Benefit After the Maturity Date
Surrender (Redemption)
Transfers
Telephone Transfers
Special Transfer Service -- Dollar Cost Averaging
Assignments
Contract Owner, Beneficiaries and Annuitants
CHARGES AND DEDUCTIONS
Surrender Charge (Contingent Deferred Sales Charge)
Administrative Charge
Mortality and Expense Risk Charge
Investment Advisory Fee of the Fund
Premium Taxes
Other Taxes
Sufficiency of Charges
ANNUITY PROVISIONS
Maturity Date
Settlement Options
Frequency and Amount of Annuity Payments
Subaccount Annuity Unit Value
Assumed Investment Rate
GENERAL PROVISIONS
Postponement of Payments
Date of Receipt
Reports to Contract Owners
Contract Inquiries
FEDERAL TAX STATUS
Introduction
LBVIP's Tax Status
Taxation of Annuities in General
Qualified Plans
1035 Exchanges
Diversification Requirements
Withholding
Other Considerations
EMPLOYMENT-RELATED BENEFIT PLANS
VOTING RIGHTS
SALES AND OTHER AGREEMENTS
LEGAL PROCEEDINGS
LEGAL MATTERS
FINANCIAL STATEMENTS AND EXPERTS
FURTHER INFORMATION
STATEMENT OF ADDITIONAL INFORMATION TABLE OF CONTENTS
ORDER FORM
APPENDIX A -- MORE INFORMATION ABOUT THE GENERAL ACCOUNT
APPENDIX B -- ILLUSTRATION OF MONTHLY VARIABLE ANNUITY
SETTLEMENT OPTION

DEFINITIONS

Accumulated Value. The total amount of value held under a Contract at any time
prior to and including the Maturity Date. A Contract's Accumulated Value will
reflect the investment experience of the chosen Subaccounts of the Variable
Account, any amount of value in the Fixed Account, any premiums paid, any
surrenders, and any charges assessed in connection with the Contract.

Accumulation Unit. A unit of measure by which the value of the Contract's
interest in each Subaccount is determined.

Accumulation Unit Value. The value of each Accumulation Unit representing the
Contract's interest in each Subaccount.

Annuitant. The person named in the Contract whose life is used to determine
the duration of annuity payments involving life contingencies.

Annuity Unit. A unit of measure which is used in the calculation of the second
and each subsequent variable annuity payment.

Annuity Unit Value. The value of each Annuity Unit.

Beneficiary. The person named by the Contract Owner to receive the Contract's
death benefit.

Contract. The individual flexible premium variable annuity contract offered by
LBVIP and described in this Prospectus.

Contract Anniversary. The same date in each succeeding year as the Date of
Issue.

Contract Owner. The person who controls all the rights under the Contract
while the Annuitant is alive. The Annuitant is the Contract Owner, unless
another owner is named in the Contract application.

Contract Year. The period from one Contract Anniversary to the next. The first
Contract Year will be the period beginning on the Date of Issue and ending on
the first Contract Anniversary.

Date of Issue. The date on which the application and the first premium are
received by LBVIP at its Home Office.

Fixed Account. The Fixed Account is the general account of LBVIP, which
consists of all assets of LBVIP other than those allocated to a separate
account of LBVIP. Premium payments allocated to the Fixed Account will be paid
a fixed rate of interest (which may not be less than 4.0%) declared by LBVIP
at least annually. Amounts accumulated in the Fixed Account are guaranteed by
LBVIP. (See Appendix A.)

Fund. LB Series Fund, Inc., which is described in the accompanying Prospectus.

Home Office. LBVIP's office at 625 Fourth Avenue South, Minneapolis, Minnesota
55415 or such other office as LBVIP shall specify in a notice to the Contract
Owner.

LBSC. Lutheran Brotherhood Securities Corp., which is an indirect subsidiary
of Lutheran Brotherhood and which acts as the principal underwriter of the
Contracts.

LBVIP. Lutheran Brotherhood Variable Insurance Products Company, which is an
indirect subsidiary of Lutheran Brotherhood and which is the issuer of the
Contracts.

LBVIP Representative. A person who is licensed by state insurance officials to
sell the Contracts and who is also a registered representative of LBSC.

Lutheran Brotherhood ("LB"). A fraternal benefit society organized under the
laws of the State of Minnesota and owned by and operated for its members, and
which acts as the investment adviser to the Fund.

Maturity Date. The date on which the annuity payments are to start as selected
by the Contract Owner, which date must be a Contract Anniversary at least
three years after the Date of Issue.

Minimum Death Benefit Date. For purposes of calculating the amount of the
death benefit before the Maturity Date, the first such date is the Date of
Issue of the Contract. Thereafter, such date occurs every six years on the
Contract Anniversary.

Portfolio. A Portfolio of the Fund. Each Subaccount invests exclusively in the
shares of a corresponding Portfolio of the Fund.

Qualified Plan. A retirement plan qualified under Section 401, 403, 408 or 457
or similar provisions of the Internal Revenue Code.

Subaccount. A subdivision of the Variable Account. Each Subaccount invests
exclusively in the shares of a corresponding Portfolio of the Fund. Currently,
there are six Subaccounts: the Growth Subaccount (which invests exclusively in
the Growth Portfolio); the High Yield Subaccount (which invests exclusively in
the High Yield Portfolio); the Income Subaccount (which invests exclusively in
the Income Portfolio); the Opportunity Growth Subaccount (which invests
exclusively in the Opportunity Growth Portfolio); the Mid Cap Growth
Subaccount (which invests exclusively in the Mid Cap Growth Portfolio); the
World Growth Subaccount (which invests exclusively in the World Growth
Portfolio); and the Money Market Subaccount (which invests exclusively in the
Money Market Portfolio).

Valuation Date. Each day the New York Stock Exchange is open for trading and
any other day on which there is sufficient trading in the securities of a
Portfolio of the Fund such that the current net asset value of its shares
might be materially affected.

Valuation Period. The period commencing at the close of business of a
Valuation Date and ending at the close of business of the next Valuation Date.

Variable Account. LBVIP Variable Annuity Account I, which is a separate
account of LBVIP. The Subaccounts are subdivisions of the Variable Account.

Written Notice. A written request or notice signed by the Contract Owner and
received by LBVIP at its Home Office.

SUMMARY FEE TABLE

The Contract Owner may allocate premiums and transfer Accumulated Value to any
one of six Subaccounts -- Growth, High Yield, Income , Opportunity Growth, Mid
Cap Growth, World Growth and Money Market -- or to the Fixed Account or to any
combination of the Subaccounts and the Fixed Account. The following table
shows the various fees and expenses associated with the Contract.
Contract Owner Transaction Expenses

Sales Load Imposed on Purchase (as a percentage of purchase payments) 0%
Maximum Deferred Sales Load (as a percentage of Excess
Amount surrendered) 6%(1)
Exchange Fee 0%

Annual Contract Fee $30.00(2)

Annual Expenses For Growth, High Yield, Income, Money Market,
Mid Cap Growth and Opportunity Growth Subaccounts
(as a percentage of average daily Accumulated Value or Annuity Unit Value)
Mortality and Expense Risk Fees 1.10%(3)
Total Subaccount Annual Expenses 1.10%

Annual Expenses For Growth, High Yield, Income, Money Market,
Mid Cap Growth and Opportunity Growth Portfolios
(as a percentage of Portfolio average daily net assets)
Management Fees (Investment Advisory Fees) 0.40%(4)
Other Expenses After Expense Reimbursement 0%(5)
Total Portfolio Annual Expenses 0.40%

EXAMPLE (6)

1 year 3 years 5 years 10 years
------ ------- ------- --------
If you surrender or annuitize your
Contract at the end of the
applicable time period:
You would pay the following expenses
on a $1,000 investment, assuming
5% annual return on assets $___ $___ $___ $___

If you do not surrender or annuitize
your Contract:
You would pay the following expenses
on a $1,000 investment, assuming
5% annual return on assets $___ $___ $___ $___

Annual Expenses For World Growth Subaccount
(as a percentage of average daily Accumulated Value or Annuity Unit Value)
Mortality and Expense Risk Fees 1.10%(3)
Total Subaccount Annual Expenses 1.10%

Annual Expenses For World Growth Portfolio
(as a percentage of Portfolio average daily net assets)
Management Fees (Investment Advisory Fees) 0.85%(4)
Other Expenses After Expense Reimbursement 0%(5)
Total Portfolio Annual Expenses 0.85%

EXAMPLE (6)
1 year 3 years 5 years 10 years
------ ------- ------- --------
If you surrender or annuitize your
Contract at the end of the
applicable time period:
You would pay the following expenses
on a $1,000 investment, assuming 5%
annual return on assets $___ $___ $___ $___

If you do not surrender or annuitize
your Contract:
You would pay the following expenses
on a $1,000 investment, assuming
5% annual return on assets $___ $___ $___ $___
_________________

(1) See "CHARGES AND DEDUCTIONS--Surrender Charge (Contingent Deferred Sales
Charge)". A surrender charge is deducted only if a full or partial surrender
occurs during the first six Contract Years; no surrender charge is deducted
for surrenders occurring in Contract Years seven and later. The surrender
charge will also be deducted at the time annuity payments begin, except under
certain circumstances. Up to 10% of the Accumulated Value existing at the time
the first surrender in a Contract Year is made may be surrendered without
charge; only the Excess Amount will be subject to a surrender charge. The
maximum charge is 6% of the Excess Amount and is in effect for the first
Contract Year. Thereafter, the surrender charge decreases by 1% each
subsequent Contract Year.

(2) See "CHARGES AND DEDUCTIONS--Administrative Charge". A $30 annual
administrative charge is deducted on each Contract Anniversary only if, on
that Contract Anniversary, the total of premiums paid under the Contract minus
all prior surrenders is less than $5,000 and the Accumulated Value is less
than $5,000. The $30 fee is a Contract charge and is deducted proportionately
from the Subaccounts and the Fixed Account that make up the Contract's
Accumulated Value.

(3) See "CHARGES AND DEDUCTIONS--Mortality and Expense Risk Charge".

(4) See "CHARGES AND DEDUCTIONS--Investment Advisory Fee of the Fund".

(5) The amount shown for Fund Annual Expenses does not reflect a deduction for
operating expenses of the Fund, other than the investment advisory fee,
because LBVIP and its affiliate, LB, have agreed to reimburse the Fund for
these operating expenses. For the fiscal year of the Fund ending December 31,
1997, the Fund was reimbursed approximately $____________ for such operating
expenses. See "LBVIP, LUTHERAN BROTHERHOOD, THE VARIABLE ACCOUNT AND THE
FUND--LB Series Fund, Inc.".

(6) In this example, the $30 annual administrative charge is approximated as a
____% charge based on LBVIP's average contract size.

The purpose of the table is to assist the Contract Owner in understanding the
various costs and expenses that a Contract Owner will bear directly or
indirectly. The table reflects expenses of the Variable Account as well as the
Fund. Cross-references to the relevant sections of the Prospectus for more
complete descriptions of the various costs and expenses have been provided.
Premium taxes may be applicable depending on various states' laws.

THE EXAMPLE SHOWING EXPENSES FOR SURRENDERS AT 1, 3, 5 AND 10-YEAR PERIODS
SHOULD NOT BE CONSIDERED A REPRESENTATION OF PAST OR FUTURE EXPENSES AND
ACTUAL EXPENSES MAY BE GREATER OR LESS THAN THOSE SHOWN.

SUMMARY

The Contracts

Issuance of a Contract. The Contracts are individual flexible premium variable
annuity contracts issued by LBVIP. In order to purchase a Contract,
application must be made to LBVIP through a licensed LBVIP Representative, who
is also a registered representative of LBSC. The Contracts are offered only in
situations in which the Annuitant is eligible for membership in Lutheran
Brotherhood, unless otherwise required by state law. The Contracts may be sold
to or in connection with retirement plans which may or may not qualify for
special Federal tax treatment under the Internal Revenue Code. Annuity
payments under the Contracts are deferred until a selected later date.

The minimum amount LBVIP will accept as an initial premium is $600 on an
annualized basis. LBVIP may, however, in its sole discretion, waive such
minimum initial premium requirements. Subsequent premiums may be paid under
the Contracts, but LBVIP may choose not to accept any subsequent premium if it
is less than $50.

Free Look Period. The Contract Owner has the right to return the Contract
within 10 days after such Contract Owner receives the Contract. See "THE
CONTRACTS--Free Look Period".

Allocation of Premiums. Premiums under the Contract may be allocated to one or
more Subaccounts of the Variable Account and to the Fixed Account as
designated by the Contract Owner. The assets of each Subaccount will be
invested solely in a corresponding Portfolio of the Fund--the Growth
Portfolio, the High Yield Portfolio, the Income Portfolio, the Opportunity
Growth Portfolio, Mid Cap Growth Portfolio, the World Growth Portfolio, or the
Money Market Portfolio. See "LBVIP, LUTHERAN BROTHERHOOD, THE VARIABLE ACCOUNT
AND THE FUND" and "THE CONTRACTS--Allocation of Premiums". The Accumulated
Value of the Contract in the Subaccounts and, except to the extent fixed
amount annuity payments are elected by the Contract Owner, the amount of
annuity payments will vary, primarily based on the investment experience of
the Portfolios whose shares are held in the Subaccounts designated. Premiums
allocated to the Fixed Account will accumulate at fixed rates of interest
declared by LBVIP. (See Appendix A.) See "THE CONTRACTS--Accumulated Value;
Accumulation Units and Accumulation Unit Value".

On the date LBVIP approves the Contract Owner's application, LBVIP will
transfer from the general account the initial premium (after deduction of any
required premium taxes) and any interest accrued during the underwriting
period among the Subaccount(s) and/or Fixed Account according to the Contract
Owner's instructions. See "THE CONTRACTS--Allocation of Premiums." Subsequent
premiums will be allocated among the Subaccounts and the Fixed Account in the
same proportion as the initial premium, at the end of the Valuation Period in
which the subsequent premium is received by LBVIP. See "THE CONTRACTS--
Allocation of Premiums".

Surrenders. If a Written Notice from the Contract Owner requesting a surrender
is received on or before the Maturity Date, all or part of the Accumulated
Value of a Contract will be paid to the Contract Owner after deducting any
applicable surrender charge. Partial surrenders must be for at least $500, and
may be requested only if the remaining Accumulated Value is not less than
$1,000. Under certain circumstances the Contract Owner may make surrenders
after the Maturity Date. See "THE CONTRACTS--Surrender (Redemption)".

Transfers. On or before the Maturity Date the Contract Owner may request the
transfer of all or a part of a Contract's Accumulated Value to other
Subaccounts or to the Fixed Account. The total amount transferred each time
must be at least $500 (unless the total value in the Subaccount or the Fixed
Account is less than $500, in which case the entire amount may be
transferred). LBVIP reserves the right to limit the number of transfers in any
Contract Year, provided that at least two such transfers each Contract Year
will always be allowed. For Contracts issued in the state of Texas, the
maximum number of transfers allowed in any Contract Year is twelve. With
respect to the Fixed Account, transfers out of the Fixed Account are limited
to only one each Contract Year and must be made on or within 45 days after a
Contract Anniversary. After the Maturity Date, the Contract Owner may, by
Written Notice and only once each Contract Year, change the percentage
allocation of variable annuity payments among the available Subaccounts. See
"THE CONTRACTS--Transfers".

Charges and Deductions

The following charges and deductions are made in connection with the
Contracts:

Surrender Charge (Contingent Deferred Sales Charge). No charge for sales
expense is deducted from premiums at the time premiums are paid. However, if a
Contract is surrendered in whole or in part before it has been in force for
six full Contract Years, a surrender charge is deducted from the amount
surrendered; provided that in each Contract Year, a Contract Owner may
surrender without a surrender charge up to 10% of a Contract's Accumulated
Value existing at the time the first surrender is made in that Contract Year.
The maximum charge is 6% of the Excess Amount and is in effect for the first
Contract Year. Thereafter, the surrender charge decreases by 1% each
subsequent Contract Year. In no event will the total surrender charge on any
one Contract exceed 6 1/2% of total gross premiums paid under the Contract.
The surrender charge will also be deducted at the time annuity payments begin
except as set forth under the heading "CHARGES AND DEDUCTIONS--Surrender
Charge (Contingent Deferred Sales Charge)".

Administrative Charge. On each Contract Anniversary prior to and including the
Maturity Date, LBVIP deducts an annual administrative charge of $30 from the
Accumulated Value of each Contract. (This charge will be lower to the extent
legally required in some states.) No such charge is deducted if on that
Contract Anniversary the total amount of premiums paid under the Contract,
less the amount of all prior partial surrenders (which includes the amount of
related surrender charges), is equal to or greater than $5,000, or the
Accumulation Value is greater than $5,000.

Mortality and Expense Risk Charge. LBVIP deducts a daily mortality and expense
risk charge to compensate LBVIP for assuming certain mortality and expense
risks. The charge is deducted from the net assets of the Variable Account. The
charge is currently in an amount equal to an annual rate of 1.10%
(approximately 0.80% for mortality risk and approximately 0.30% for expense
risk) of the average daily net assets of each Subaccount in the Variable
Account. This charge is guaranteed not to increase above an annual rate of
1.25%.

Investment Advisory Fee of the Fund. Because the Variable Account purchases
shares of the Fund, the net assets of the Variable Account will reflect the
investment advisory fee incurred by the Fund. LB is paid a daily fee by the
Fund for its investment management services equal to an annual rate of 0.40%
of the aggregate average daily net assets of the Money Market, Income, High
Yield, Growth, Mid Cap Growth, and Opportunity Growth Portfolios. LB also
receives a daily investment advisory fee from the Fund equal to .85% of the
aggregate average daily net assets of the World Growth Portfolio.

Premium Taxes. If state or other premium taxes are applicable to a Contract,
they will be deducted, depending on when such taxes are paid to the taxing
authority, either (a) from premiums as they are received, or (b) from the
Accumulated Value upon (i) a partial or total surrender of the Contract or
(ii) application of the Accumulated Value to a settlement option at the
Maturity Date.

For a more detailed description of these charges and deductions, see "CHARGES
AND DEDUCTIONS".

Annuity Provisions

The Contract Owner may select an annuity settlement option or options, and may
select whether payments are to be made on a fixed or variable (or a
combination of fixed and variable) basis. The Contract Owner may also elect to
receive a single sum by surrendering the Contract on the Maturity Date and
paying any applicable surrender charge. See "ANNUITY PROVISIONS".

Federal Tax Status

For a description of the Federal income tax status of annuities, see "FEDERAL
TAX STATUS -- Taxation of Annuities in General". Generally, a distribution
from a Contract before the taxpayer attains age 59 1/2 will result in a
penalty tax of 10% of the amount of the distribution which is includable in
gross income.

Condensed Financial Information

The following condensed financial information is derived from the financial
statements of the Variable Account. The data should be read in conjunction
with the financial statements, related notes and other financial information
included in the Statement of Additional Information.

Selected data for Accumulation Units outstanding throughout the period ending
December 31:

Opportunity Growth Subaccount
-----------------------------
1996
----
Accumulation Unit Value:
Beginning of period $10.00**
End of period 11.79
Number of Accumulation Units
outstanding at end of period 10,907,991

World Growth Subaccount
-----------------------
1996
----
Accumulation Unit Value:
Beginning of period $10.00**
End of period 10.93
Number of Accumulation Units
outstanding at end of period 8,406,625

<TABLE>
Growth Subaccount
----------------------
1996 1995 1994 1993 1992 1991 1990 1989 1988
------ ------ ------ ------ ------ ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Accumulation Unit Value:
Beginning of period $24.38 $17.95 $19.04 $17.49 $16.34 $11.70 $12.070 $ 9.671 $10.000*
End of period 29.52 24.38 17.95 19.04 17.49 16.34 11.70 12.070 9.671
Number of Accumulation
Units outstanding at
end of period 39,275,957 37,698,847 34,921,280 26,757,458 12,462,929 5,373,171 2,596,180 1,125,739 165,584

High Yield Subaccount
--------------------------
1996 1995 1994 1993 1992 1991 1990 1989 1988
------ ------ ------ ------ ------ ------ ------ ------ ------

Accumulation Unit Value:
Beginning of period $22.06 $18.64 $19.71 $16.21 $13.66 $10.21 $10.709 $10.503 $10.000*
End of period 24.35 22.06 18.64 19.71 16.21 13.66 10.21 10.709 10.503
Number of Accumulation
Units outstanding at
end of period 29,861,418 28,924,180 28,230,326 21,866,400 9,227,427 3,720,209 2,148,885 1,490,329 248,206

Income Subaccount
----------------------
1996 1995 1994 1993 1992 1991 1990 1989 1988
------ ------ ------ ------ ------ ------ ------ ------ ------

Accumulation Unit Value:
Beginning of period $18.98 $16.07 $17.05 $15.43 $14.29 $12.06 $11.402 $10.275 $10.000*
End of period 19.39 18.98 16.07 17.05 15.43 14.29 12.06 11.402 10.275
Number of Accumulation
Units outstanding at
end of period 31,200,437 33,922,942 34,668,366 32,678,803 16,151,473 6,753,120 3,405,565 1,573,113 208,911

Money Market Subaccount
--------------------------------
1996 1995 1994 1993 1992 1991 1990 1989 1988
------ ------ ------ ------ ------ ------ ------ ------ ------

Accumulation Unit Value:
Beginning of period $1.43 $1.36 $1.33 $1.30 $1.27 $1.21 $1.137 $1.054 $1.000*
End of period 1.48 1.43 1.36 1.33 1.30 1.27 1.21 1.137 1.054
Number of Accumulation
Units outstanding at
end of period 37,465,708 28,959,961 23,631,217 17,939,270 19,709,050 15,364,799 13,983,957 6,831.477 1,708,264
- ----------
</TABLE>

*Commencing January 4, 1988, the date the Registration Statement for the
Variable Account was declared effective.

**Commencing January 18, 1996.

The financial statements of LBVIP are also contained in the Statement of
Additional Information.

Calculation of Performance

From time to time the Variable Account advertises the Money Market
Subaccount's "yield" and "effective yield". Both yield figures are based on
historical earnings and are not intended to indicate future performance. The
"yield" of the Subaccount refers to the income generated by an investment in
the Subaccount over a seven-day period (which period will be stated in the
advertisement). This income is then "annualized". That is, the amount of
income generated by the investment during that week is assumed to be
generated each week over a 52-week period and is shown as a percentage of
the investment. The "effective yield" is calculated similarly but, when
annualized, the income earned by an investment in the Subaccount is assumed
to be reinvested. The "effective yield" will be slightly higher than the
"yield" because of the compounding effect of this assumed reinvestment. The
annualized current yield and effective yield for the seven-day base period
ended December 31, 1997, was ____% and ____%, respectively. For more
information, see the Statement of Additional Information.

Also, the Variable Account may advertise for the Subaccounts other than the
Money Market Subaccount a yield quotation based on a 30-day (or one month)
period computed by dividing the net investment income per Accumulation Unit
earned during the period (the net investment income earned by the Fund
portfolio attributable to shares owned by the Subaccount less expenses
incurred during the period) by the maximum offering price per Accumulation
Unit on the last day of the period. The current yield for the 30-day based
period ended December 31, 1997 for the High Yield Subaccount was ____%. The
current yield for the same 30-day base period for the Income Subaccount was
____%. For more information, see the Statement of Additional Information.

From time to time, LBVIP may advertise the average annual total return
quotations for the Subaccounts for the 1, 5 and 10-year periods computed by
finding the average annual compounded rates of return over the 1, 5 and 10-
year periods that would equate the initial amount invested to the ending
redeemable value of a hypothetical $1,000 payment made at the beginning of
the 1, 5 or 10-year periods. If the assumed investment was made less than 10
years from the date of the quotation, the total return from the date of such
investment will be given.

The average annual total returns for the 1, 3 and 5-year periods through
December 31, 1997 and for the period from commencement of operations through
December 31, 1997 for the Subaccounts are as follows:

Commencement
1 Year 3 Year 5 Year of
Operations
----- ------ ------ ------------
- --
Growth Subaccount (3/8/88) _____%* _____%* _____%* _____%*
High Yield Subaccount (3/8/88) _____%* _____%* _____%* _____%*
Income Subaccount (3/8/88) _____%* _____%* _____%* _____%*
Money Market Subaccount (2/18/88) _____%* _____%* _____%* _____%*
Opportunity Growth
Subaccount (1/18/96) _____% _____% _____% _____%
World Growth Subaccount (1/18/96) _____% _____% _____% _____%
</R

*Does not include the annual administrative charge of $30 deducted from any
Contract for which the total of premiums paid under such Contract minus all
prior surrenders is less than $5,000. Inclusion of the administrative
charge would reduce the total return figures shown above. Assumes
applicable sales charge upon surrender. Premium taxes may apply depending on
various states' laws.

Average annual total return quotations assume a steady rate of growth.
Actual performance fluctuates and will vary from the quoted results for
periods of time with the quoted periods. For more information, see the
Statement of Additional Information.

The Variable Account's performance reported from time to time in
advertisements and sales literature may be compared with that of other
insurance company separate accounts or mutual funds included in the
generally accepted indices, analyses or rankings prepared by Lipper
Analytical Service, Inc., Standard & Poor's Corporation, Morningstar, Inc.,
VARDS, Dow Jones or similar independent rating or statistical investment
services that monitor the performance of insurance company separate accounts
or mutual funds. Performance of the Variable Account may be quoted or
compared to rankings, yields or returns as published or prepared by
independent rating or statistical services or publishers or publications
such as THE BANK RATE MONITOR NATIONAL INDEX, BARRON'S, BUSINESS WEEK,
DONOGHUE'S MONEY MARKET FUND REPORT, FINANCIAL SERVICES WEEK, FINANCIAL
TIMES, FINANCIAL WORLD, FORBES, FORTUNE, GLOBAL INVESTOR, INSTITUTIONAL
INVESTOR, INVESTOR'S DAILY, KIPLINGER'S PERSONAL FINANCE, LIPPER ANALYTICAL
SERVICES, MONEY, MUTUAL FUND FORECASTER, NEWSWEEK, THE NEW YORK TIMES,
PERSONAL INVESTOR, STANGER REPORT, SYLVIA PORTER'S PERSONAL FINANCE, USA
TODAY, U.S. NEWS AND WORLD REPORT, THE WALL STREET JOURNAL and WIESENBERGER
INVESTMENT COMPANIES SERVICE.

LBVIP, LUTHERAN BROTHERHOOD, THE VARIABLE ACCOUNT
AND THE FUND

LBVIP and Lutheran Brotherhood

The Contracts are issued by LBVIP. LBVIP, organized in 1982, is a stock life
insurance company incorporated under the laws of the State of Minnesota.
LBVIP is currently licensed to transact life insurance business in 42 states
and the District of Columbia.

LBVIP is an indirect subsidiary of Lutheran Brotherhood, a fraternal benefit
society owned by and operated for its members. Lutheran Brotherhood was
founded in 1917 under the laws of the State of Minnesota, and at the end of
1997 had total assets of nearly $_______ billion.

Lutheran Brotherhood has invested approximately $115 million in LBVIP, to
help LBVIP meet capitalization requirements of various states, and may
invest additional amounts in LBVIP in the future (though it is not currently
legally obligated to do so). The assets of Lutheran Brotherhood do not
support the benefits payable under the Contracts described in this
Prospectus.

LBVIP is subject to regulation by the Insurance Division of the State of
Minnesota as well as by the insurance departments of all the other states
and jurisdictions in which it does business. LBVIP submits annual reports on
its operations and finances to insurance officials in such states and
jurisdictions. The forms of Contracts described in this Prospectus are filed
with and (where required) approved by insurance officials in each state and
jurisdiction in which Contracts are sold. LBVIP is also subject to certain
Federal securities laws and regulations.

The Variable Account

The Variable Account is a separate account of LBVIP, established by the
Board of Directors of LBVIP in 1987 pursuant to the laws of the State of
Minnesota. The Variable Account meets the definition of a "separate account"
under the federal securities laws. LBVIP has caused the Variable Account to
be registered with the Securities and Exchange Commission (the "SEC") as a
unit investment trust under the Investment Company Act of 1940 (the "1940
Act"). Such registration does not involve supervision by the SEC of the
management or investment policies or practices of the Variable Account.

The assets of the Variable Account are owned by LBVIP, and LBVIP is not a
trustee with respect to such assets. However, the Minnesota laws under which
the Variable Account was established provide that the Variable Account shall
not be chargeable with liabilities arising out of any other business LBVIP
may conduct. LBVIP may transfer to its general account assets of the
Variable Account which exceed the reserves and other liabilities of the
Variable Account.

Income and realized and unrealized gains and losses from each Subaccount of
the Variable Account are credited to or charged against that Subaccount
without regard to any of LBVIP's other income, gains or losses. LBVIP may
accumulate in the Variable Account the charge for expense and mortality
risk, mortality gains and losses and investment results applicable to those
assets that are in excess of net assets supporting the Contracts.

LB Series Fund, Inc.

Each Contract Owner may allocate the premiums paid under the Contract to one
or more of the six Subaccounts of the Variable Account -- the Growth
Subaccount, the High Yield Subaccount, the Income Subaccount, the
Opportunity Growth Subaccount, the Mid Cap Growth Subaccount, the World
Growth Subaccount and the Money Market Subaccount. The assets of each such
Subaccount will be invested in the corresponding Portfolio (the Growth
Portfolio, the Mid Cap Growth Portfolio, the High Yield Portfolio, the
Income Portfolio, the Opportunity Growth Portfolio, the World Growth
Portfolio or the Money Market Portfolio) of the Fund. The investment
objectives of the Portfolios of the Fund (individually a "Portfolio" and
collectively the "Portfolios") are:

Growth Portfolio. To achieve long-term growth of capital through investment
primarily in common stocks of established corporations that appear to offer
attractive prospects of a high total return from dividends and capital
appreciation.

High Yield Portfolio. To achieve a higher level of income through a
diversified portfolio of high yield securities ("junk bonds") which involve
greater risks than higher quality investments, while also considering growth
of capital as a secondary objective.

Income Portfolio. To achieve a high level of income over the longer term
while providing reasonable safety of capital through investment primarily in
readily marketable intermediate and long-term fixed income securities.

Opportunity Growth Portfolio. To achieve long term growth of capital by
investing primarily in a professionally managed diversified portfolio of
smaller capitalization common stocks.

Mid Cap Growth Portfolio. To achieve long term growth of capital by
investing primarily in a professionally managed diversified portfolio of
common stocks of companies with medium market capitalizations.

World Growth Portfolio. To achieve long-term growth of capital by investing
primarily in a professionally managed diversified portfolio of common stocks
of established, non-U.S. companies.

Money Market Portfolio. To achieve the maximum current income that is
consistent with stability of capital and maintenance of liquidity through
investment in high-quality, short-term debt obligations.

No assurance can be given that the Portfolios of the Fund will achieve their
respective investment objectives.

Shares of the Fund purchased by each Subaccount of the Variable Account will
be held by LBVIP as custodian for the Variable Account.

The Fund is designed to provide an investment vehicle for variable annuity
and variable life insurance contracts. Shares of the Fund will be sold to
other insurance company separate accounts of LBVIP and separate accounts of
its indirect parent, Lutheran Brotherhood ("LB"), and the Fund may in the
future create new portfolios. It is conceivable that in the future it may be
disadvantageous for both variable annuity separate accounts and variable
life insurance separate accounts and for LBVIP and LB to invest
simultaneously in the Fund, although LBVIP does not foresee any such
disadvantages to either variable annuity or variable life insurance contract
owners. The management of the Fund intends to monitor events in order to
identify any material conflicts between such contract owners and to
determine what action, if any, should be taken in response. Such action
could include the sale of Fund shares by one or more of the separate
accounts, which could have adverse consequences. Material conflicts could
result from, for example, (1) changes in state insurance laws, (2) changes
in Federal income tax law, (3) changes in the investment management of the
Fund, or (4) differences in voting instructions between those given by the
contract owners from the different separate accounts. In addition, if LBVIP
believes the Fund's response to any of those events or conflicts
insufficiently protects Contract Owners, it will take appropriate action on
its own.

The Fund is registered with the SEC under the 1940 Act as a diversified,
open-end management investment company (commonly called a "mutual fund").
This registration does not involve supervision by the SEC of the management
or investment practices or policies of the Fund. Shares of the Fund may be
sold to other separate accounts, and the Fund may in the future create new
Portfolios.

The Variable Account will purchase and redeem shares from the Fund at net
asset value. Shares will be redeemed to the extent necessary for LBVIP to
collect charges under the Contracts, to make payments upon surrenders, to
provide benefits under the Contracts, or to transfer assets from one
Subaccount to another as requested by Contract Owners. Any dividend or
capital gain distribution received from a Portfolio of the Fund will be
reinvested immediately at net asset value in shares of that Portfolio and
retained as assets of the corresponding Subaccount.

The Fund receives investment advice with respect to each of its Portfolios
from LB, which acts as investment adviser to the Fund. LB is a registered
investment adviser under the Investment Advisers Act of 1940. Lutheran
Brotherhood Research Corp. ("LBRC"), an indirect subsidiary of Lutheran
Brotherhood, acted as investment adviser to the Fund until January 1994,
when it was replaced by LB. LBRC provided investment advisory services to
the Fund using personnel and services provided by LB. As investment adviser
to the Fund, LB charges the Fund a daily investment advisory fee equal to an
annual rate of .40% of the aggregate average daily net assets of the Money
Market, Income, High Yield, Growth, Mid Cap Growth, and Opportunity Growth
Portfolios. LB also charges the Fund an annual investment advisory fee
equal to .85% of the aggregate average daily net assets of the World Growth
Portfolio.

The Fund has entered into an Investment Advisory Agreement with LB under
which LB will, subject to the direction of the Board of Directors of the
Fund, carry on the day-to-day management of the Fund, and provide advice and
recommendations with respect to investments and the purchase and sale of
securities in accordance with the Fund's investment objectives, policies and
restrictions. LB also furnishes at its own expenses all necessary
administrative services, office space, equipment and clerical personnel for
servicing the investments of the Fund and maintaining its organization, and
investment advisory facilities and executive and supervisory personnel for
managing the investments and effecting the portfolio transactions of the
Fund. The Investment Advisory Agreement provides that the Fund will pay, or
provide for the payment of, all of its own expenses, including, without
limitation, the compensation of the directors who are not affiliated with LB
or its affiliates, governmental fees, interest charges, taxes, membership
dues in the Investment Company Institute allocable to the Fund, fees and
expenses of the independent auditors, of legal counsel and of any transfer
agent, registrar and dividend disbursing agent of the Fund, expenses of
preparing, printing and mailing prospectuses, shareholders' reports,
notices, proxy statements and reports to governmental officers and
commissions, expenses connected with the execution, recording and settlement
of portfolio security transactions, insurance premiums, fees and expenses of
the Fund's custodian for all services to the Fund, including safekeeping of
funds and securities and keeping of books and calculating the net asset
value of the shares of the Portfolios of the Fund, expenses of shareholders'
meetings and expenses relating to the issuance, registration and
qualification of shares of the Fund. LB and LBVIP have agreed with the Fund
to pay, or to reimburse the Fund for the payment of, all of the foregoing
expenses and all other expense associated with operating the Fund pursuant
to a separate written agreement (the "Expense Reimbursement Agreement"). The
Expense Reimbursement Agreement could be terminated at any time by the
mutual agreement of the Fund, LB and LBVIP, but the Fund and LB and LBVIP
currently contemplate that the Expense Reimbursement Agreement will continue
so long as the Fund remains in existence. If the Expense Reimbursement
Agreement were terminated, the Fund would be required to pay those operating
expenses, which would reduce the net investment return on the shares of the
Fund held by the Subaccounts of the Variable Account.

LB has engaged Rowe Price-Fleming International, Inc., ("Price-Fleming") as
investment sub-adviser for the World Growth Portfolio. Price-Fleming was
founded in 1979 as a joint venture between T. Rowe Price Associates, Inc.
and Robert Fleming Holdings Limited. Price-Fleming is one of the world's
largest international mutual fund asset managers with approximately $_____
billion under management as of December 31, 1997 in its offices in
Baltimore, London, Tokyo and Hong Kong. Price-Fleming has an investment
advisory group that has day-to-day responsibility for managing the World
Growth Portfolio and developing and executing the Portfolio's investment
program.

LB pays the Sub-adviser for the World Growth Portfolio an annual sub-
advisory fee for the performance of sub-advisory services. The fee payable
is equal to a percentage of that Portfolio's average daily net assets. The
percentage varies with the size of the Portfolio's net assets, decreasing as
the Portfolio's assets increase. The formula for determining the sub-
advisory fee is described fully in the prospectus for the Fund.

Each Contract Owner should periodically consider the allocation among the
Subaccounts in light of current market conditions and the investment risks
attendant to investing in the Fund's various Portfolios. A full description
of the Fund, its investment objectives, policies and restrictions, its
expenses, the risks attendant to investing in the Fund's Portfolios and
other aspects of its operation is contained in the accompanying Prospectus
for the Fund, which should be carefully read together with this Prospectus.

Addition, Deletion or Substitution of Investments

LBVIP reserves the right, subject to applicable law, to make additions to,
deletions from, or substitutions for the shares that are held in the
Variable Account or that the Variable Account may purchase. If the shares of
a Portfolio of the Fund are no longer available for investment or if in
LBVIP's judgment further investment in any Portfolio should become
inappropriate in view of the purposes of the Variable Account, LBVIP may
redeem the shares, if any, of that Portfolio and substitute shares of
another registered open-end management company. LBVIP will not substitute
any shares attributable to a Contract interest in a Subaccount of the
Variable Account without notice and prior approval of the SEC and state
insurance authorities, to the extent required by applicable law.

LBVIP also reserves the right to establish additional Subaccounts of the
Variable Account, each of which would invest in shares corresponding to a
new Portfolio of the Fund or in shares of another investment company having
a specified investment objective. Subject to applicable law and any required
SEC approval, LBVIP may, in its sole discretion, establish new Subaccounts
or eliminate one or more Subaccounts if marketing needs, tax considerations
or investment conditions warrant. Any new Subaccounts may be made available
to existing Contract Owners on a basis to be determined by LBVIP.

If any of these substitutions or changes are made, LBVIP may by appropriate
endorsement change the Contract to reflect the substitution or change. If
LBVIP deems it to be in the best interest of Contract Owners and Annuitants,
and subject to any approvals that may be required under applicable law, the
Variable Account may be operated as a management company under the 1940 Act,
it may be deregistered under that Act if registration is no longer required,
or it may be combined with other LBVIP separate accounts.

THE CONTRACTS

Issuance of a Contract

In order to purchase a Contract, application must be made to LBVIP through a
licensed LBVIP Representative, who is also a registered representative of
LBSC. LBVIP is offering Contracts only in situations in which the Annuitant
is eligible for membership in Lutheran Brotherhood, unless otherwise
required by state law. Contracts may be sold to or in connection with
retirement plans which may or may not be Qualified Plans. LBVIP reserves the
right to reject an application for any reason permitted by law.

Free Look Period

The Contract provides for an initial "free look" period. The Contract Owner
has the right to return the Contract within 10 days after such Contract
Owner receives the Contract. When LBVIP receives the returned Contract at
its Home Office, it will be cancelled and LBVIP will refund to the Contract
Owner an amount equal to the sum of (i) the Accumulated Value (as of the
date the returned Contract is received by LBVIP at its Home Office or by the
LBVIP Representative from whom the Contract was purchased) plus (ii) the
amount of any charges made for premium taxes plus (iii) the amount
attributable to the Contract for mortality and expense risk charges and
taxes, if any, deducted from the Variable Account plus (iv) the advisory
fees charged by the Fund against the net asset value in the Fund Portfolios
attributable to the Contract's value in the corresponding Subaccounts of the
Variable Account. If, however, applicable state law so requires, the full
amount of any premium received by LBVIP will be refunded.

For Contracts issued in Pennsylvania, when LBVIP receives the returned
Contract at its Home Office, it will be canceled and LBVIP will refund to
the Contract Owner an amount equal to the sum of (i) the difference between
the premiums paid and the amount allocated to the Variable and Fixed
Accounts plus (ii) the Accumulated Value on the day the Contract is received
by the LBVIP Representative from whom the Contract was purchased.

With respect to individual retirement annuities, under the Employee
Retirement Income Security Act of 1974 ("ERISA") a Contract Owner
establishing an Individual Retirement Account must be furnished with a
disclosure statement containing certain information about the Contract and
applicable legal requirements. This statement must be furnished on or before
the date the individual retirement annuity is established. If the Contract
Owner is furnished with such disclosure statement before the seventh day
preceding the date the individual retirement annuity is established, the
Contract Owner will not have any right of revocation under ERISA. If the
disclosure statement is furnished after the seventh day preceding the
establishment of the individual retirement annuity, then the Contract Owner
may give a notice of revocation to LBVIP at any time within seven days after
the Date of Issue. Upon such revocation, LBVIP will refund the premiums paid
by the Contract Owner. The foregoing right of revocation with respect to an
individual retirement annuity is in addition to the return privilege set
forth in the preceding paragraph, i.e., LBVIP will allow a participant
establishing an individual retirement annuity a "ten day free-look",
notwithstanding the provisions of ERISA.

Allocation of Premium

Until the date LBVIP approves the Contract Owner's application, the initial
premium will be deposited into LBVIP's general account. Interest will be
credited on the initial premium held in LBVIP's general account at a rate of
interest determined by LBVIP. On the date LBVIP approves the Contract
Owner's application, LBVIP will add this accumulation amount to the initial
premium and allocate this amount (after deduction of any required premium
taxes) among the Subaccount(s) and/or the Fixed Account according to the
Contract Owner's instructions. If the Date of Issue and the date of
acceptance by LBVIP are the same day, then the initial premium payment will
be immediately allocated among the chosen Subaccount(s) and/or Fixed Account
according to the Contract Owner's instructions.

This initial premium allocation procedure is designed as a way to give the
Contract Owner interest on the initial premium from the Date of Issue to the
date LBVIP approves the Contract Owner's application, with the interest
payment being paid by LBVIP. Other Contract Owners' interests will not be
adversely affected by this initial premium allocation procedure, because
LBVIP, and not the existing Contract Owners, will bear any expenses in
effecting the procedure, including the expense of crediting the interest
accumulations.

If the application is determined to be in good order, LBVIP will allocate
the premium payment (after deduction of any required premium taxes) to the
chosen subaccount and/or Fixed Account within two days of receipt of the
completed application and premium payment. If the application is determined
by LBVIP not to be in good order, LBVIP will attempt to complete the
application within five business days. If the application is not complete at
the end of this period, LBVIP will inform the applicant of the reason for
the delay and that the initial premium will be returned immediately unless
the applicant specifically consents to LBVIP keeping the initial premium
until the application is complete.

The percentages of each premium that may be allocated to any Subaccount of
the Variable Account or the Fixed Account must be in whole numbers and the
sum of the allocation percentages must be 100%. LBVIP reserves the right to
adjust allocation percentages to eliminate fractional percentages.
Subsequent premiums will be allocated among the Subaccounts and the Fixed
Account in the same proportion as the initial premium, at the end of the
Valuation Period in which the subsequent premium is received by LBVIP. The
allocation proportion for future premiums may, however, be changed without
charge at any time by providing LBVIP with Written Notice or by telephone
(if the Contract Owner has completed the Telephone Transaction Authorization
Form). Premiums paid thereafter will be allocated in the manner provided in
such changed instruction, unless another change is subsequently requested.

The values in the Subaccounts of the Variable Account will vary with the
investment experience of the Subaccounts and the Contract Owner bears the
entire investment risk. Contract Owners should periodically review their
allocations of premiums in light of market conditions and the Contract
Owner's overall financial objectives.

Accumulated Value; Accumulation Units and Accumulation Unit Value

The Accumulated Value of the Contract is the total amount of value held
under the Contract at any time prior to and including the Maturity Date. A
Contract's Accumulated Value will reflect the investment experience of the
chosen Subaccounts of the Variable Account, any amount of value in the Fixed
Account, any premiums paid, any surrenders, and any charges assessed in
connection with the Contract. There is no guaranteed minimum Accumulated
Value, and, because a Contract's Accumulated Value on any future date
depends upon a number of variables, it cannot be predetermined.

Calculation of Accumulated Value. The Accumulated Value of the Contract is
determined on each Valuation Date. The Contract's Accumulated Value will be
the aggregate of the values attributable to the Contract in each of the
Subaccounts, determined for each Subaccount by multiplying the Subaccount's
Accumulation Unit Value on the relevant Valuation Date by the number of
Subaccount Accumulation Units allocated to the Contract, plus any amounts in
the Fixed Account.

Determination of Number of Accumulation Units. Any amounts allocated to the
Subaccounts will be converted into Accumulation Units of the Subaccount. The
number of Accumulation Units to be credited to the Contract is determined by
dividing the dollar amount being allocated by the Accumulation Unit Value as
of the end of the Valuation Period during which the amount was allocated.
The number of Subaccount Accumulation Units in any Subaccount will be
increased by (i) any premiums allocated to the Subaccount during the current
Valuation Period, and (ii) any Accumulated Value transferred to the
Subaccount from another Subaccount or from the Fixed Account during the
current Valuation Period. The number of Subaccount Accumulation Units in any
Subaccount will be decreased by (i) any Accumulated Value transferred from
the Subaccount to another Subaccount or to the Fixed Account during the
current Valuation Period, (ii) the amount of any partial surrender
(including any related surrender charge and any charge for premium taxes)
during the current Valuation Period, and (iii) any administrative charge
taken from the Subaccount during the current Valuation Period.

The Accumulation Unit Value is determined before any Contract transactions
on the Valuation Date that would affect the number of Subaccount
Accumulation Units (see the immediately preceding paragraph). If the
Contract's Accumulated Value in the Variable Account is to be calculated for
a day that is not a Valuation Date, the next following Valuation Date will
be used.

Determination of Accumulation Unit Value. The Accumulation Unit Value for a
Subaccount is calculated on each Valuation Date by dividing (1) by (2),
where

(1) is the net result of:

(a) the net asset value of the corresponding Portfolio of the Subaccount at
the end of the current Valuation Period, plus

(b) the amount of any dividend or capital gain distribution declared by the
Portfolio if the "ex-dividend" date occurs during the Valuation Period, plus
or minus

(c) a charge or credit for any taxes reserved which LBVIP determines to be a
result of the investment operation of the Portfolio, minus

(d) the mortality and expense risk charge (see "CHARGES AND DEDUCTIONS--
Mortality and Expense Risk Charge") for each day during the current
Valuation Period (a current charge of .003014%, but never to exceed
.003425%, of the net assets for each day during the current Valuation
Period), and

(2) is the number of Accumulation Units for the Subaccount attributable to
all Contracts, including Accumulation Units held as reserves.

Death Benefit Before the Maturity Date

If the Annuitant, who is the Contract Owner unless another owner is named in
the application, dies before the Maturity Date, the Beneficiary will be
entitled to receive a death benefit under the Contract calculated on the
later of (a) the date LBVIP receives proof of the Annuitant's death and (b)
the date LBVIP receives a written request from the Beneficiary for either a
single sum payment or a settlement option. If no such request is made within
one year from the date of the Annuitant's death, the Beneficiary will be
deemed to have requested a single sum payment. Any proceeds not subsequently
withdrawn will be paid in a lump sum on the date five years after the date
of death. (If the Beneficiary is the spouse of the deceased Contract Owner,
such spouse may, to the extent permitted by law, elect to continue the
Contract in force, in which case such spouse shall become and be treated as
the Annuitant.)

Amount of Death Benefit. If a death benefit has become payable under a
Contract as described above, the amount of the death benefit will be the
greatest of (i) the Accumulated Value calculated on the later of the date
LBVIP receives the proof of death and the written request referred to above,
(ii) the sum of the premiums received by LBVIP under the Contract to the
date of such receipt, less any previous partial surrenders (including any
applicable charges); and (iii) the Accumulated Value on the preceding
Minimum Death Benefit Date plus the sum of premiums received by LBVIP since
that date, less the amount of any partial surrenders since then (including
any applicable charges).

Manner of Payment -- Contracts Not Issued in Connection with Certain
Qualified Plans. If the Contract in question was not issued in connection
with a Qualified Plan, the following rules govern the manner of payment of
the death benefit if the Annuitant dies before the Maturity Date:

(a) if a single sum is requested, the death benefit will be paid within
seven days after the day LBVIP receives the proof of death and written
request referred to above under "Amount of Death Benefit"; or

(b) if a settlement option is requested, (i) it must be a settlement option
that the Contract Owner could have selected before the Maturity Date, and
(ii) the settlement option must provide that the entire amount due under the
Contract will be distributed (1) within five years from the date of death,
or (2) over the life of the Beneficiary or for a period not in excess of the
Beneficiary's life expectancy, provided that the distributions must begin
within one year from the date of death.

Manner of Payment -- Contracts Issued in Connection with Qualified Plans. If
the Contract in question was issued in connection with a Qualified Plan,
certain restrictions on the manner of payment of the death benefit prior to
the Maturity Date, similar to those described above under "Manner of Payment
- -- Contracts Not Issued in Connection with Certain Qualified Plans", are
applicable. The manner of payment of such death benefit under a Contract
issued in connection with a Qualified Plan will be stated in the Contract or
the plan documents. Purchasers acquiring Contracts pursuant to Qualified
Plans should consult qualified pension or tax advisers.

Death Benefit After the Maturity Date

If the Annuitant dies after the Maturity Date, the death benefit shall be as
stated in the settlement option in effect, provided, however, that death
benefit payments must be paid at least as rapidly as payments were being
paid under the settlement option in effect on the date of death. With
respect to a Contract issued in connection with a Qualified Plan, certain
additional restrictions on the manner of payment of the death benefit after
the Maturity Date, similar to those described above under "Death Benefit
Before the Maturity Date -- Manner of Payment -- Contracts Not Issued in
Connection with Certain Qualified Plans", are also applicable.

Surrender (Redemption)

If a Written Notice from the Contract Owner requesting a surrender is
received by LBVIP on or before the Maturity Date, all or part of the
Accumulated Value will be paid to the Contract Owner after deducting any
applicable surrender charge and any applicable premium tax (see "CHARGES AND
DEDUCTIONS--Surrender Charge (Contingent Deferred Sales Charge)").

A surrender will take place at the end of the Valuation Period during which
the requirements for surrender are completed and payment will be made within
seven days after such surrender. If a surrender is partial, the surrender
payments will be taken proportionately from all Subaccounts and the Fixed
Account on a basis that reflects their proportionate percentage of the
Accumulated Value. The Contract Owner may select a different allocation
basis with LBVIP's approval. Partial surrenders must be for at least $200,
and may be requested only if the remaining Accumulated Value is not less
than $1,000.

LBVIP may cancel the Contract on any Contract Anniversary if (a) the
Accumulated Value after all charges is less than $1,000 and no premium
payments have been made under the Contract within the last 24 months or (b)
the Accumulated Value as of the Contract Anniversary is less than the
administrative charge (see "CHARGES AND DEDUCTIONS--Administrative Charge").
LBVIP will notify the Contract Owner 60 days before such Contract
Anniversary and provide the Contract Owner the minimum dollar amount
required to keep the Contract in force. Failure to make sufficient payment
will result in cancellation of the Contract on the Contract Anniversary. If
such Contract Anniversary is not a Valuation Date, then the Accumulated
Value will be determined on the next Valuation Date. Upon cancellation under
(a) above, LBVIP will pay the Contract Owner the Accumulated Value as of
such Valuation Date.

After the Maturity Date, certain of the available settlement options (those
that do not involve a life contingency) also permit surrenders by the
Contract Owner. In such cases, the amount available for surrender is the
commuted value of any unpaid annuity installments, computed on the basis of
the assumed interest rate incorporated in such annuity installments.
However, a surrender charge is deducted at the time of annuitization if
these settlement options are selected (see "CHARGES AND DEDUCTIONS--
Surrender Charge (Contingent Deferred Sales Charge")).

Consideration should be given to the tax implications of a surrender prior
to making a surrender request. See "FEDERAL TAX STATUS--Taxation of
Annuities in General".

Transfers

On or before the Maturity Date, the Contract Owner may request by Written
Notice (or by telephone if the Contract Owner has completed the Telephone
Transaction Authorization Form) the transfer, subject to any conditions the
Portfolio whose shares are involved may impose, of all or a part of a
Contract's Accumulated Value among the Subaccounts of the Variable Account
and the Fixed Account. The transfer will be made by LBVIP without charge on
the day Written Notice (or telephonic instructions) requesting such transfer
is received by LBVIP. To accomplish the transfer from the Variable Account,
the Variable Account will surrender Accumulation Units in the particular
Subaccounts and reinvest that value in Accumulation Units of other
particular Subaccounts and the Fixed Account as directed in the request. The
total amount transferred each time must be at least $200 (unless the total
value in a Subaccount of the Variable Account or the Fixed Account is less
than $200, in which case the entire amount may be transferred). LBVIP
reserves the right to limit the number of transfers in any Contract Year,
provided that at least two such transfers each Contract Year will always be
allowed. (For Contracts issued in the state of Texas, the maximum number of
transfers allowed in any Contract Year is twelve.) With respect to the Fixed
Account, transfers out of the Fixed Account are limited to only one during
each Contract Year and must be made on or within 45 days after a Contract
Anniversary. To accomplish a transfer from the Fixed Account, the Fixed
Account will surrender Accumulated Value from the Fixed Account and reinvest
that value in Accumulation Units of particular Subaccounts of the Variable
Account as directed in the request.

After the Maturity Date, the Contract Owner may, by Written Notice and only
once each Contract Year, change the percentage allocation of variable
annuity payments among the available Subaccounts.

Telephone Transfers

Telephone transfers are available when the Contract Owner completes the
Telephone Transaction Authorization Form. If the Contract Owner elects to
complete the Telephone Transaction Authorization Form, the Contract Owner
thereby agrees that LBVIP, its agents and employees will not be liable for
any loss, liability cost or expense when LBVIP, its agents and employees act
in accordance with the telephone transfer instructions that have been
properly received and recorded on voice recording equipment. If a telephone
authorization or instruction, processed after the Contract Owner has
completed the Telephone Transaction Authorization Form, is later determined
not to have been made by the Contract Owner or was made without the Contract
Owner's authorization, and a loss results from such unauthorized
instruction, the Contract Owner bears the risk of this loss. LBVIP will
employ reasonable procedures to confirm that instructions communicated by
telephone are genuine. In the event LBVIP does not employ such procedures,
LBVIP may be liable for any losses due to unauthorized or fraudulent
instructions. Such procedures may include, among others, requiring forms of
personal identification prior to acting upon telephone instructions,
providing written confirmation of such instructions and/or tape recording
telephone instructions.

Special Transfer Service -- Dollar Cost Averaging

LBVIP administers a dollar cost averaging program which enables a Contract
Owner to pre-authorize a periodic exercise of the transfer rights described
above. A Contract Owner entering into a dollar cost averaging agreement will
instruct LBVIP to periodically transfer predetermined dollar amounts from
the Money Market Subaccount to as many of the five other Subaccounts or to
the Fixed Account as specified by the Contract Owner until the amount in the
Money Market Subaccount is exhausted or the agreement is terminated by the
Contract Owner. The dollar cost averaging program is generally suitable for
Contract Owners making a substantial deposit to the Contract and who wish to
use the other Subaccounts or the Fixed Account investment option, but desire
to control the risk of investing at the top of a market cycle. The dollar
cost averaging program allows such investments to be made in equal
installments over time in an effort to reduce such risk. Dollar cost
averaging does not guarantee that the Variable Account will gain in value,
nor will it protect against a decline in value if market prices fall.
However, if a Contract Owner can continue to invest regularly throughout
changing market conditions, it can be an effective strategy to help meet
long-term goals. Contract Owners interested in the dollar cost averaging
program may obtain an application and full information concerning the
program and its restrictions from LBVIP.

Assignments

If the Contract is used in a Qualified Plan and the Contract Owner is a
trust, custodian or employer, then the Contract Owner may transfer ownership
to the Annuitant. Otherwise, the Contract may not be sold, assigned,
discounted or pledged as collateral for a loan or as security for
performance of an obligation or for any other purpose to any person other
than LBVIP.

If the Contract is not used in a Qualified Plan, then ownership may be
transferred, but not to a natural person, and the Contract may be assigned
as Collateral.

LBVIP shall not be bound by any sale, assignment, pledge or transfer until
Written Notice thereof is actually received by LBVIP at its Home Office and
shall not be responsible for the validity of any sale, assignment, pledge or
transfer. Any payments made or actions taken by LBVIP before LBVIP actually
receives Written Notice shall not be affected by the sale, assignment,
pledge or transfer.

Considerations should be given to the tax implications of an assignment. See
"FEDERAL TAX STATUS--Taxation of Annuities in General".

Contract Owner, Beneficiaries and Annuitants

Unless another owner is named as the Contract Owner in the application for
the Contract, the Annuitant is the Contract Owner and may exercise all of
the Contract Owner's rights under the Contract.

The Contract Owner may name a Beneficiary to receive the death benefit
payable under the Contract. If the Beneficiary is not living on the date
payment is due or if no Beneficiary has been named, the death benefit will
be paid to the estate of the Annuitant.

The Contract Owner may change the Beneficiary by giving LBVIP Written Notice
of the change, but the change shall not be effective until actually received
by LBVIP at its Home Office. Upon receipt by LBVIP of a notice of change, it
will be effective as of the date it was signed but shall not affect any
payments made or actions taken by LBVIP before LBVIP received the Written
Notice, and LBVIP shall not be responsible for the validity of any change.

CHARGES AND DEDUCTIONS

Surrender Charge (Contingent Deferred Sales Charge)

General. No charge for sales expense is deducted from premiums at the time
premiums are paid. However, within certain time limits described below a
surrender charge is deducted from the Accumulated Value of the Contract in
the case of surrender, in whole or in part, before annuity payments begin
and, if certain settlement options are selected, at the time annuity
payments begin. In the event surrender charges are not sufficient to cover
sales expenses, the loss will be borne by LBVIP; conversely, if the amount
of such charges proves more than enough, the excess will be retained by
LBVIP (see "Sufficiency of Charges" below). LBVIP does not currently believe
that the surrender charges imposed will cover the expected costs of
distributing the Contracts.

If a Contract is surrendered in whole or in part before it has been in force
for six full Contract Years, a surrender charge is deducted from the amount
surrendered; provided that in each Contract Year, a Contract Owner may
surrender without a surrender charge, up to 10% of a Contract's Accumulated
Value existing at the time the first surrender is made in that Contract
Year. For example, if a total surrender is made during a Contract Year in
which a partial surrender has been made, the Contract Owner may surrender
free of charge an amount equal to 10% of the Accumulated Value of the
Contract at the time of the partial surrender less the total of the partial
surrender to which no charge was applied. This right is not cumulative from
Contract Year to Contract Year. In the event that a surrender is made in
excess of the amount which may be surrendered free of charge, only the
excess (the "Excess Amount") will be subject to a surrender charge.

The charge is applied as a percentage of the Excess Amount surrendered, but
in no event will the total surrender charge on any one Contract exceed a
maximum limit of 6 1/2% of total gross premiums paid under the Contract.
Such total charge equals the aggregate of all applicable surrender charges
for total and partial surrenders, including any charges deducted at the time
annuity payments begin (as described below).

Charges for Total and Partial Surrenders. If a Contract is surrendered, in
whole or in part, while the Contract is in force and on or before the
Maturity Date, a surrender charge is imposed on the Excess Amount of such
surrender if such surrender occurs before the Contract has been in force for
six full Contract Years as follows:

Contract Year in which
Total or Partial Charge as Percentage of
Surrender Occurs Excess Amount Surrendered*
----------------------- -------------------------
1 6%
2 5
3 4
4 3
5 2
6 1
7 and after 0
____________________

* Although the charge as a percentage of excess amount surrendered decreases
from 6% to 0 over time, the actual aggregate amount of surrender charge
deducted may be up to the 6 1/2% of total gross premiums paid maximum limit
described above.

For purposes hereof, the amount surrendered is equal to the amount of the
surrender request, and the amount received by the Contract Owner is equal to
the amount of the surrender request less the applicable surrender charge and
any withholding and premium tax if applicable.

No surrender charge is deducted if the surrender occurs after expiration of
the time period applicable to such charge as shown in the table above.

Surrender charges otherwise payable will be waived with respect to
surrenders made by the Contract Owner when the Annuitant is totally disabled
(as defined in the Contract).

Certain surrenders are subject to a 10% Federal tax penalty on the amount of
income withdrawn (see "FEDERAL TAX STATUS--Taxation of Annuities in
General").

Charge at the Time Annuity Payments Begin. Generally, at the time annuity
payments begin, a surrender charge as described above will apply. Such
charge is the same as that which would apply had the Contract been fully
surrendered on the Maturity Date, taking into account the 10% free surrender
provision described above and subject to the maximum 6 1/2% limitation
described above. If, however, the Contract Owner has chosen a settlement
option providing an income for a fixed period (e.g., Option 3V described
under "ANNUITY PROVISIONS--Settlement Options"), for any annuitization made
more than three years after the Date of Issue, no surrender charge will be
deducted from the portion of Accumulated Value annuitized provided that
payments under such a settlement option will be made for at least five years
and that proceeds may not be withdrawn. This surrender charge will be waived
if the Annuitant is totally disabled (as defined in the Contract) on the
Maturity Date. No further surrender charge is deducted with respect to
surrenders during the annuity period under such a settlement option.

No surrender charge is imposed at the time of annuitization (if
annuitization occurs more than three years after the Date of Issue) if a
settlement option involving a life income with a guaranteed period is chosen
(e.g., Option 4V described under "ANNUITY PROVISIONS--Settlement Options"),
but surrenders are not permitted during the annuity period under such a
settlement option.

Administrative Charge

On each Contract Anniversary prior to and including the Maturity Date, LBVIP
deducts from the Accumulated Value, proportionately from the Subaccounts and
the Fixed Account that make up such Accumulated Value, an annual
administrative charge of $30 to reimburse LBVIP for administrative expenses
relating to the Contract, the Variable Account and the Subaccounts. (This
charge will be lower to the extent legally required in some states.) Subject
to LBVIP's approval, the Contract Owner may specify a different allocation
for the administrative charge. No such charge is deducted if on that
Contract Anniversary the total amount of premiums paid under the Contract,
less the amount of all prior partial surrenders (which includes the amount
of related surrender charges), is equal to or greater than $5,000 or the
Accumulated Value is greater than $5,000. LBVIP does not expect to make a
profit on this charge. No administration charge is payable during the
annuity period.

Mortality and Expense Risk Charge

The variable annuity payments made to Annuitants will vary in accordance
with the investment experience of the Subaccounts selected by the Contract
Owner. However, neither such variable annuity payments, nor fixed annuity
payments if fixed annuity payments have been selected, will be affected by
the mortality experience (death rate) of persons receiving annuity payments.
LBVIP assumes this "mortality risk" and has guaranteed the annuity rates
incorporated in the Contract, which cannot be changed. LBVIP also assumes
the mortality risk that Beneficiaries of Contract Owners or Annuitants dying
before the Maturity Date may receive amounts in excess of the then current
Accumulated Value (see "THE CONTRACTS--Death Benefit Before the Maturity
Date"). In addition, LBVIP will not increase charges for administrative
expenses regardless of its actual expenses.

To compensate LBVIP for assuming such mortality and expense risks, LBVIP
deducts a daily mortality and expense risk charge from the average daily net
assets in the Variable Account. LBVIP has determined that a mortality and
expense risk charge at an annual rate of 1.25% of the average daily net
assets of each Subaccount in the Variable Account would be reasonable in
relation to the mortality and expense risks assumed by LBVIP under the
Contract. LBVIP will, however, initially impose a daily mortality and
expense risk charge in an amount that is equal to an annual rate of 1.10%
(approximately 0.80% for mortality risk and approximately 0.30% for expense
risk) of the average daily net assets of each Subaccount in the Variable
Account. The mortality and expense risk charge is guaranteed not to increase
above an annual rate of 1.25%.

If the mortality and expense risk charge is insufficient to cover the actual
cost of the mortality and expense risk undertaken by LBVIP, LBVIP will bear
the loss. Conversely, if the mortality and expense risk charge proves more
than sufficient, the excess will be profit to LBVIP and would be available
for any proper corporate purpose including, among other things, payment of
sales expenses. See "Sufficiency of Charges" below.

Investment Advisory Fee of the Fund

Because the Variable Account purchases shares of the Fund, the net assets of
the Variable Account will reflect the investment advisory fee incurred by
the Fund. LB is paid a daily fee by the Fund for its investment management
services equal to an annual rate of 0.40% of the aggregate average daily net
assets of the Money Market Portfolio, Growth Portfolio, Mid Cap Growth
Portfolio, Income Portfolio, High Yield Portfolio and Opportunity Growth
Portfolio, and .85% of the aggregate average daily net assets of the World
Growth Portfolio. See "LBVIP, LUTHERAN BROTHERHOOD, THE VARIABLE ACCOUNT AND
THE FUND--LB Series Fund, Inc.", and the accompanying current Prospectus for
the Fund.

Premium Taxes

A charge may be deducted for taxes attributable to premiums. Premium taxes
vary from state to state and are subject to change. In many jurisdictions,
there is no tax at all. Various states and other governmental entities levy
a premium tax, currently ranging from 1% to 3.5%, on annuity contracts
issued by insurance companies. If premium taxes are applicable to a
Contract, they will be deducted, depending on when such taxes are paid to
the taxing authority, either (a) from premiums as they are received, or (b)
from the Accumulated Value upon (i) a partial or total surrender of the
Contract or (ii) application of the Accumulated Value to a settlement option
at the Maturity Date. See "Appendix B--State Premium Tax Chart" in the
Statement of Additional Information.

Other Taxes

Currently, no charge will be made against the Variable Account for Federal
income taxes. LBVIP may, however, make such a charge in the future if income
or gains within the Variable Account will result in any Federal income tax
liability to LBVIP. Charges for other taxes, if any, attributable to the
Variable Account may also be made. See "FEDERAL TAX STATUS--LBVIP's Tax
Status".

Sufficiency of Charges

If the amount of all charges assessed in connection with the Contracts as
described above is not enough to cover all expenses incurred in connection
therewith, the loss will be borne by LBVIP. Any such expenses borne by LBVIP
will be paid out of its general account which may include, among other
things, proceeds derived from mortality and expense risk charges deducted
from the Variable Account. Conversely, if the amount of such charges proves
more than enough, the excess will be retained by LBVIP.

ANNUITY PROVISIONS

Maturity Date

The Contract Owner selects the Maturity Date, which must be a Contract
Anniversary at least three years after the date on which the Contract was
issued, when making application for the Contract. The Contract Owner may
change a Maturity Date selection by Written Notice received by LBVIP at
least 30 days before both the Maturity Date currently in effect and the new
Maturity Date. The new date selected must satisfy the requirements for a
Maturity Date.

For a Contract issued in Pennsylvania on or after March 11, 1991, the
following requirements for maximum maturity ages of the Contract will be
used. Maturity age is the last birthday of the Annuitant on the Contract
Anniversary on or immediately prior to the Maturity Date.

PENNSYLVANIA MAXIMUM MATURITY AGES

Age on Maximum
Date of Issue Maturity Age
--------------- --------------
70 or less 85
71 - 75 86
76 - 80 88
81 - 85 90
86 - 90 93
91 - 93 96
94 - 95 98
96 99

Settlement Options

The Contract Owner may select an annuity settlement option or options, and
may select whether payments are to be made on a fixed or variable (or a
combination of fixed and variable) basis. To the extent a fixed annuity is
selected, Accumulated Value will be transferred to the Fixed Account, and
the annuity payments will be guaranteed as to minimum dollar amount. See
APPENDIX -- MORE INFORMATION ABOUT THE FIXED ACCOUNT. The Contract Owner may
also change a choice of settlement option by Written Notice received by
LBVIP at least 30 days before the Maturity Date.

The following variable annuity settlement options are generally available
under the Contract:

Option 3V--Income for a Fixed Period. Income for a fixed number of years
will be paid, not to exceed 30.

Option 4V--Life Income with Guaranteed Period. Income will be paid for the
lifetime of the payee. If the payee dies during the guaranteed period,
payments will be continued to the named Beneficiary to the end of that
period. A period of 10 or 20 years may be selected. After the first payment
is made, this option may not be revoked or changed.

Payments may be made under any other settlement option suggested by the
Contract Owner that is agreed to by LBVIP.

LBVIP also provides fixed annuity options, which are not described here. Any
one of the variable annuity options or any one of the fixed annuity options
may be selected, or any one of the variable annuity options may be selected
in combination with any one of the fixed annuity options.

If no valid selection of a settlement option has been made by the Maturity
Date, the Life Income with 10-Year Guarantee Period fixed annuity settlement
option shall be automatically effective.

It should be noted that under a settlement option providing an income for a
fixed period (e.g., Option 3V described above), for any surrender made more
than three years after the Date of Issue, no surrender charge will be
deducted from the portion of Accumulated Value surrendered, provided that
payments under such settlement option will be made for at least five years
and that proceeds may not be withdrawn. Also, no surrender charge will be
imposed at the time of annuitization (if annuitization occurs more than
three years after the Date of Issue) under a settlement option providing a
life income with a guaranteed period (e.g., Option 4V above). Surrenders
after the Maturity Date are permitted only in connection with settlement
options that do not involve a life contingency (see "THE CONTRACTS--
Surrender (Redemption)").

The Contract Owner may elect the receipt of a single sum, rather than
payment pursuant to annuity settlement options, by surrendering the Contract
in full on the Maturity Date. In such case, a surrender charge will be
deducted from the Accumulated Value of the Contract if the Maturity Date
occurs at any time during the surrender charge period, taking into account
the 10% free surrender provision and subject to the maximum 6 1/2%
limitation described under "CHARGES AND DEDUCTIONS--Surrender Charge
(Contingent Deferred Sales Charge)".

Frequency and Amount of Annuity Payments

Annuity payments under a settlement option will be paid as monthly
installments, unless the Contract Owner and LBVIP agree to a different
payment schedule. However, if the Accumulated Value at the Maturity Date is
less than $2,000, LBVIP may pay the Accumulated Value in a single sum and
the Contract will be canceled. Also, if annuity payments would be or become
less than $25 ($20 for Contracts issued in the state of Texas) if a single
settlement option is chosen, or $25 ($20 for Contracts issued in the state
of Texas) on each basis if a combination of variable and fixed options is
chosen, LBVIP may change the frequency of payments to intervals that will
result in payments of at least $25 ($20 for Contracts issued in the state of
Texas) each from each option chosen.

The amount of the first variable annuity payment (and, in the case of fixed
annuities, the amount of subsequent payments) is determined by applying the
Accumulated Value to be applied to the settlement option at the Maturity
Date, less any premium tax due (see "CHARGES AND DEDUCTIONS--Premium Taxes")
and any surrender charge due (see "Settlement Options" above), to the
annuity table in the Contract for the settlement option selected. The table
shows the amount of the initial annuity payment for each $1,000 applied.

Subsequent variable annuity payments vary in amount in accordance with the
investment experience of the selected Subaccount(s). Assuming annuity
payments are based on the unit values of a single Subaccount, the dollar
amount of the first annuity payment, determined as set forth above, is
divided by the Annuity Unit Value as of the Maturity Date to establish the
number of Annuity Units representing each annuity payment. This number of
Annuity Units remains fixed during the annuity payment period. The dollar
amount of the second and subsequent variable annuity payments is not
predetermined and may change from payment to payment. The dollar amount of
the second and each subsequent variable annuity payment is determined by
multiplying the fixed number of Annuity Units by the Annuity Unit Value (see
"Subaccount Annuity Unit Value" below) with respect to such Subaccount at
the end of the last Valuation Date of the period with respect to which the
payment is due. If the payment is based upon the Annuity Unit Values of more
than one Subaccount, the foregoing procedure is repeated for each applicable
Subaccount and the sum of the payments based on each Subaccount is the
amount of the annuity payment.

The annuity tables in the Contracts are based on the mortality table
specified in the Contract. Under such tables, the longer the life expectancy
of the Annuitant under any life annuity option or the duration of any period
for which payments are guaranteed under the option, the smaller will be the
amount of the first monthly variable annuity payment. LBVIP guarantees that
the dollar amount of each fixed and variable annuity payment after the first
payment will not be affected by variations in expenses or in mortality
experience from the mortality assumptions used to determine the first
payment.

Subaccount Annuity Unit Value

The value of an Annuity Unit is determined independently for each
Subaccount.

For each Subaccount, the Annuity Unit Value on any Valuation Date is
determined by multiplying the Annuity Unit Value at the end of the
immediately preceding Valuation Date by the net investment factor for the
Valuation Date for which the Annuity Unit Value is being calculated, and
multiplying the result by an interest factor which offsets the effect of the
assumed investment earnings rate of 3 1/2% per annum which is assumed in the
annuity tables contained in the Contract.

The net investment factor for each Subaccount for a Valuation Date is
determined by dividing the value of an Accumulation Unit for the applicable
Subaccount as of the end of the current Valuation Period by the value of an
Accumulation Unit for the applicable Subaccount as of the end of the
immediately preceding Valuation Period.

Assumed Investment Rate

A 3 1/2% assumed investment rate is built into the annuity tables contained
in the Contracts. A higher assumption would mean a higher initial payment
but more slowly rising and more rapidly falling subsequent payments. A lower
assumption would have the opposite effect. If the actual net investment rate
were at the annual rate of 3 1/2%, the annuity payments would be level.

GENERAL PROVISIONS

Postponement of Payments

General. LBVIP may defer payment of any surrender and annuity payment
amounts, or death benefit amounts that are in the Variable Account if (a)
the New York Stock Exchange is closed other than customary weekend and
holiday closings, or trading on the New York Stock Exchange is restricted as
determined by the SEC, or (b) an emergency exists, as determined by the SEC,
as a result of which disposal of securities is not reasonably practicable or
it is not reasonably practicable to determine the value of the Variable
Account's net assets. Transfers and allocations of Accumulated Value to and
against the Subaccounts of the Variable Account may also be postponed under
these circumstances.

Payment by Check. Payments under the Contract of any amounts derived from
premiums paid by check may be delayed until such time as the check has
cleared the Contract Owner's bank.

Date of Receipt

Except as otherwise stated herein, the date of receipt by LBVIP of any
Written Notice, premium payment, telephone instruction or other
communication is the actual date it is received at LBVIP's Home Office in
proper form unless received (1) after the close of the New York Stock
Exchange, or (2) on a date which is not a Valuation Date. In either of these
two cases, the date of receipt will be deemed to be the next Valuation Date.

Reports to Contract Owners

LBVIP will mail each Contract Owner, at such Contract Owner's last known
address of record, at least annually after the first Contract Year, a report
containing the Accumulated Value or current value of the Contract as of a
date not more than two months prior to the date of mailing and any further
information required by any applicable law or regulation.

Contract Inquiries

Inquiries regarding a Contract may be made by writing to LBVIP at its Home
Office, 625 Fourth Avenue South, Minneapolis, Minnesota 55415.

FEDERAL TAX STATUS

Introduction

The ultimate effect of Federal income taxes on a Contract's Accumulated
Value, on annuity payments and on the economic benefit to the Contract
Owner, the Annuitant or the Beneficiary depends upon the tax status of such
person, LBVIP, and, if the Contract is purchased under a retirement plan,
upon the type of retirement plan and upon the tax and employment status of
the individual concerned. The discussion contained herein is general in
nature and is not intended as tax advice. No attempt is made to consider any
applicable state or other tax laws. Moreover, the discussion contained
herein is based on LBVIP's understanding of Federal income tax laws as
currently interpreted. No representation is made regarding the likelihood of
continuation of these interpretations by the Internal Revenue Service. LBVIP
does not make any guarantee regarding the tax status of any Contract. Each
person concerned should consult a qualified tax adviser.

LBVIP's Tax Status

LBVIP is taxed as a life insurance company under the Internal Revenue Code
of 1986, as amended (the "Code"). Although the Variable Account is not a
separate entity from LBVIP and its operations form a part of LBVIP, the Code
in effect provides that the income and gains and losses from separate
account investments are not income to the insurance company issuing the
variable contracts so long as the contracts and the separate account meet
certain requirements set forth in the Code. Because the Contracts and the
Variable Account intend to meet such requirements, LBVIP anticipates no tax
liability resulting from the Contracts, and consequently no reserve for
income taxes is currently charged against, or maintained by LBVIP with
respect to, the Contracts.

LBVIP may also incur state and local taxes, in addition to premium taxes, in
several states. At present, these taxes are not significant. If there is a
material change in state or local tax laws, charges for such taxes, if any,
attributable to the Variable Account may be made.

Taxation of Annuities in General

Section 72 of the Code governs taxation of annuities in general.

Contracts Held by Individuals. An individual Contract Owner is not taxed on
increases in the value of a Contract until a distribution occurs, either in
the form of a single sum payment or as annuity payments under the settlement
option selected.

Upon receipt of a single sum payment or of an annuity payment under the
Contract, the recipient is taxed on the portion of such payment that exceeds
the investment in the Contract.

For single sum payments, the taxable portion is generally the amount in
excess of the premiums paid under the Contract. Such taxable portion is
taxed at ordinary income tax rates. The investment in the Contract is not
affected by loans or assignments of the Contract but is increased by any
amount included in gross income as a result of the loan or assignment.
Payments in partial or full surrender of a Contract generally will be taxed
as ordinary income to the extent that the Accumulated Value exceeds the
taxpayer's investment in the Contract. An assignment of the Contract (other
than a gift to the Contract Owner's spouse or incident to a divorce) or the
use of the Contract as collateral for a loan will be treated in the same
manner as a surrender.

For annuity payments, the taxable portion is generally determined by a
formula which establishes the ratio that the investment in the Contract
bears to the expected return under the Contract as of the Maturity Date.
Where annuity payments are made under certain Qualified Plans, the portion
of each payment that is excluded from gross income will generally be equal
to the total amount of any investment in the Contract as of the Maturity
Date, divided by the number of anticipated payments, which are determined by
reference to the age of the Annuitant. The taxable portion is taxed at
ordinary income tax rates. For certain types of Qualified Plans there may be
no investment in the Contract within the meaning of Section 72 of the Code.
In such event, the total payments received may be taxable. Contract Owners,
Annuitants and Beneficiaries under such Contracts should seek qualified tax
and financial advice about the tax consequences of distributions under the
retirement plan in connection with which such Contracts are purchased.

Generally, a distribution from a Contract before the taxpayer attains age 59
1/2 will result in an additional tax of 10% of the amount of the
distribution which is includable in gross income. The penalty tax will not
apply if the distribution is made as follows:

(1) in connection with death or disability as described in section 72(q)(2)
of the Code;

(2) from certain Qualified Plans;

(3) under a qualified funding trust (commonly referred to as structured
settlement plans); or

(4) it is one of a series of substantially equal periodic annual payments
for the life or life expectancy of the taxpayer or the joint lives or joint
life expectancies of the taxpayer and the beneficiary; for this purpose, if
there is a significant modification of the payment schedule before the
taxpayer is age 59 1/2 or before the expiration of five years from the time
of the annuity starting date, the taxpayer's income shall be increased by
the amount of tax and deferred interest that otherwise would have been
incurred.

Depending on the type of Qualified Plan, distributions may be subject to a
10% penalty tax.

Contracts Held by Other Than Individuals. The Tax Reform Act of 1986
provides that, except as hereafter noted, a Contract held by other than a
natural person, such as a corporation, estate or trust, will not be treated
as an annuity contract for Federal income tax purposes. The income on such a
Contract will be taxable in the year received or accrued by the Contract
Owner. The provision does not apply if the Contract Owner is acting as an
agent for an individual, if the Contract Owner is an estate which acquired
the Contract as a result of the death of the decedent, if the Contract is
held by certain Qualified Plans, if the Contract is held pursuant to a
qualified funding trust (commonly referred to as structured settlement
plans), if the Contract was purchased by an employer with respect to a
terminated Qualified Plan or if the Contract is an immediate annuity.

Multiple Contracts. Section 72(e)(11) of the Code provides that for the
purposes of determining the amount includable in gross income, all non-
qualified annuity contracts entered into on or after October 22, 1988 by the
same company with the same contract owner during any calendar year shall be
treated as one contract. This section will likely accelerate the recognition
of income by a contract owner owning multiple contracts and may have the
further effect of increasing the portion of income that will be subject to
the ten percent penalty tax.

Qualified Plans

The Contracts are designed for use with several types of Qualified Plans.
The tax rules applicable to participants in such Qualified Plans vary
according to the type of plan and the terms and conditions of the plan.
Therefore, no attempt is made herein to provide more than general
information about the use of the Contracts with the various types of
Qualified Plans. Participants under such Qualified Plans as well as Contract
Owners, Annuitants and Beneficiaries are cautioned that the rights of any
person to any benefits under such Qualified Plans may be subject to the
terms and conditions of the plans themselves regardless of the terms and
conditions of the Contracts issued in connection therewith. Following are
brief descriptions of the various types of Qualified Plans and of the use of
the Contracts in connection therewith.

Tax-Sheltered Annuities. Section 403(b) of the Code permits employers of
public school employees and of employees of certain types of charitable,
educational and scientific organizations specified in Section 501(c)(3) of
the Code to purchase on behalf of their employees annuity contracts and,
subject to certain limitations, have the amount of purchase payments
excluded from the employees' gross income for tax purposes. These annuity
contracts are commonly referred to as "tax-sheltered annuities". Purchasers
of the Contracts for such purposes should seek qualified advice as to
eligibility, limitations on permissible amounts of purchase payments and tax
consequences on distribution.

An amendment to Section 403(b) of the Code, adopted pursuant to the Tax
Reform Act of 1986, imposes restrictions on certain distributions from tax-
sheltered annuity contracts meeting the requirements of Section 403(b),
which will apply to tax years beginning on or after January 1, 1989. The
amendment adds a new Section 403(b)(11) that requires that distributions
from Section 403(b) tax-sheltered annuities that are attributable to
contributions made pursuant to a salary reduction agreement may be paid only
when the employee reaches age 59 1/2, separates from service, dies or
becomes disabled, or in the case of hardship (hardship, for this purpose, is
generally defined as an immediate and heavy financial need, such as for
paying for medical expenses, for the purpose of a principal residence, or
for paying certain tuition expenses).

A participant in a Contract purchased as a tax-sheltered Section 403(b)
annuity contract will not, therefore, be entitled to exercise the surrender
right, described under the heading "THE CONTRACTS--Surrender (Redemption)",
in order to receive Accumulated Value attributable to elective contributions
credited under the Contract to such participant after December 31, 1988
unless one of the above-described conditions has been satisfied. The
restriction on the right to receive a distribution does not affect the
availability of the Accumulated Value credited to the Contract as of
December 31, 1988. A participant may, however, be able to transfer
Accumulated Value under the Contract to certain other investment
alternatives that are available under an employer's Section 403(b)
arrangement and that meet the requirements of Section 403(b).

The restrictions imposed by Section 403(b)(11) of the Code conflict with
certain sections of the 1940 Act that are applicable to the Contracts. In
this regard, LBVIP is relying on a no-action letter issued by the Office of
Insurance Products and Legal Compliance of the SEC, and the requirements for
such reliance have been complied with by LBVIP.

H.R. 10 Plans. The Self-Employed Individuals Tax Retirement Act of 1962,
which is commonly referred to as "H.R. 10", permits self-employed
individuals to establish Qualified Plans for themselves and their employees.
The tax consequences to participants under such plans depend upon the plan
itself. In addition, such plans are limited by law to maximum permissible
contributions, distribution dates, nonforfeitability of interest and tax
rates applicable to distributions. In order to establish such a plan, a plan
document, usually in prototype form pre-approved by the Internal Revenue
Service, is adopted and implemented by the employer. Purchasers of the
Contracts for use with H.R. 10 plans should seek qualified advice as to the
suitability of the proposed plan document and of the Contracts to their
specific needs.

Individual Retirement Annuities. Section 408 of the Code permits eligible
individuals to contribute to an individual retirement program known as an
"individual retirement annuity". These individual retirement annuities are
subject to limitations on the amount that may be contributed, on the persons
who may be eligible, and on the time when distributions may commence. In
addition, distributions from certain other types of Qualified Plans may be
placed on a tax-deferred basis into an individual retirement annuity. When
issued in connection with an individual retirement annuity, the Contracts
will be specifically amended to conform to the requirements under such
plans. Sales of the Contracts for use with individual retirement annuities
may be subject to special requirements imposed by the Internal Revenue
Service. Purchasers of the Contracts for such purposes will be provided with
such supplementary information as may be required by the Internal Revenue
Service or other appropriate agency.

Corporate Pension and Profit-Sharing Plans. Sections 401(a) and 403(a) of
the Code permit corporate employers to establish various types of retirement
plans for employees. Such retirement plans may permit the purchase of the
Contracts to provide benefits under the plans. Corporate employers intending
to use the Contracts in connection with such plans should seek qualified
advice in connection therewith.

Section 457 Plans. Section 457 of the Code permits states, local governments
and tax-exempt organizations to establish deferred compensation plans on
behalf of their employees. Such plans may permit the purchase of the
Contracts to provide benefits under the plans. Employers intending to use
the Contracts in connection with such plans should seek qualified advice in
connection therewith.

1035 Exchanges

Section 1035(a) of the Code permits the exchange of certain life insurance,
endowment and annuity contracts for an annuity contract without a taxable
event occurring. Thus, potential purchasers who already own such a contract
issued by another insurer are generally able to exchange that contract for a
Contract issued by LBVIP without a taxable event occurring. There are
certain restrictions which apply to such exchanges, including that the
contract surrendered must truly be exchanged for the Contract issued by
LBVIP and not merely surrendered in exchange for cash. Further, the same
person or persons must be the obligee or obligees under the Contract
received in the exchange as under the original contract surrendered in the
exchange. Careful consideration must be given to compliance with the Code
provisions and regulations and rulings relating to exchange requirements,
and potential purchasers should be sure that they understand any surrender
charges or loss of benefits which might arise from terminating a contract
they hold. Owners considering such an exchange should consult their tax
advisers to insure that the requirements of Section 1035 are met.

Diversification Requirements

The Code imposes certain diversification standards on the underlying assets
of variable annuity contracts. The Code provides that a variable annuity
contract shall not be treated as an annuity contract for any period (and any
subsequent period) for which the investments are not "adequately
diversified". The Code contains a safe harbor provision which provides that
annuity contracts such as the Contract meet the diversification requirements
if, as of the end of each quarter, no more than fifty-five percent (55%) of
the total assets underlying the Variable Account consist of cash, cash
items, U.S. government securities and securities of other regulated
investment companies.

On March 1, 1989, the Treasury Department adopted regulations (Treas. Reg.
1.817-5) which established diversification requirements for the investments
underlying variable contracts such as the Contract. The regulations amplify
the diversification requirements for variable contracts set forth in the
Code and provide an alternative to the safe harbor provision described
above. Under the regulations, the Variable Account will be deemed
adequately diversified if: (1) no more than 55% of the value of the total
assets of the account is represented by any one investment; (2) no more than
70% of the value of the total assets of the account is represented by any
two investments; (3) no more than 80% of the value of the total assets of
the account is represented by any three investments; and (4) no more than
90% of the value of the total assets of the account is represented by any
four investments.

The assets of the Fund are expected to meet the diversification
requirements. The Company will monitor the Contracts and the regulations of
the Treasury Department to ensure that the Contract will continue to qualify
as a variable annuity contract. Disqualification of the Contract as an
annuity contract would result in imposition of Federal income tax on the
Contract Owner with respect to earnings allocable to the Contract prior to
the receipt of payments under the Contract.

Withholding

The taxable portion of a distribution to an individual is subject to Federal
income tax withholding unless the taxpayer elects not to have withholding.
LBVIP will provide the Contract Owner with the election form and further
information as to withholding prior to the first distribution. Generally,
however, amounts are withheld from periodic payments at the same rate as
wages and at the rate of 10% from non-periodic payments.

Also, effective January 1, 1993, certain distributions from retirement plans
qualified under Section 401 or 403(b) of the Code, that are not directly
rolled over to another eligible retirement plan or individual retirement
account or individual retirement annuity, are subject to a mandatory 20%
withholding for Federal income tax. The 20% withholding requirement does not
apply to: a) distributions for the life or life expectancy of the
participant or joint and last survivor expectancy of the participant and a
designated beneficiary; b) distributions for a specified period of 10 years
or more; or c) distributions which are required minimum distributions. For
complete information on withholding, a qualified tax adviser should be
consulted.

Other Considerations

Because of the complexity of the law and its application to a specific
individual, tax advice may be needed by a person contemplating purchase of a
Contract or the exercise of elections under a Contract. The above comments
concerning Federal income tax consequences are not exhaustive, and special
rules are provided with respect to situations not discussed in this
Prospectus.

The preceding description is based upon LBVIP's understanding of current
Federal income tax law. LBVIP cannot assess the probability that changes in
tax laws, particularly affecting annuities, will be made.

The preceding comments do not take into account state income or other tax
considerations which may be involved in the purchase of a Contract or the
exercise of elections under the Contract. For complete information on such
Federal and state tax considerations, a qualified tax adviser should be
consulted.

EMPLOYMENT-RELATED BENEFIT PLANS

The Contracts described in this Prospectus (except for Contracts issued in
the state of Montana) involve settlement option rates that distinguish
between men and women. Montana has enacted legislation requiring that
optional annuity benefits offered pursuant to Contracts purchased in Montana
not vary on the basis of sex. On July 6, 1983, the Supreme Court held in
Arizona Governing Committee v. Norris that optional annuity benefits
provided under an employer's deferred compensation plan could not, under
Title VII of the Civil Rights Act of 1964, vary between men and women on the
basis of sex. Because of this decision, the settlement option rates
applicable to Contracts purchased under an employment-related insurance or
benefit program may in some cases not vary on the basis of sex. Any unisex
rates to be provided by LBVIP will apply for tax-qualified plans and those
plans where an employer believes that the Norris decision applies. Employers
and employee organizations should consider, in consultation with legal
counsel, the impact of Norris, and Title VII generally, and any comparable
state laws that may be applicable, on any employment-related insurance or
benefit plan for which a Contract may be purchased.

VOTING RIGHTS

To the extent required by law, LBVIP will vote the Fund shares held in the
Variable Account at regular and special shareholder meetings of the Fund in
accordance with instructions received from persons having voting interests
in the corresponding Subaccounts of the Variable Account. If, however, the
1940 Act or any regulation thereunder should be amended or if the present
interpretation thereof should change, and as a result LBVIP determines that
it is permitted to vote the Fund shares in its own right, it may elect to do
so.

Before the Maturity Date, the Contract Owner shall have the voting interest
with respect to Fund shares attributable to the Contract. On and after the
Maturity Date, the person entitled to receive annuity payments shall have
the voting interest with respect to such shares, which voting interest will
generally decrease during the annuity period.

The number of votes which a Contract Owner or person entitled to receive
annuity payments has the right to instruct will be calculated separately for
each Subaccount. The number of votes which each Contract Owner has the right
to instruct will be determined by dividing a Contract's Accumulated Value in
a Subaccount by the net asset value per share of the corresponding Portfolio
in which the Subaccount invests. The number of votes which each person
entitled to receive annuity payments has the right to instruct will be
determined by dividing the Contract's reserves in a Subaccount by the net
asset value per share of the corresponding Portfolio in which the Subaccount
invests. Fractional shares will be counted. The number of votes of the
Portfolio which the Contract Owner or person entitled to receive annuity
payments has right to instruct will be determined as of the date coincident
with the date established by the Portfolio for determining shareholders
eligible to vote at the meeting of the Fund. Voting instructions will be
solicited by written communications prior to such meeting in accordance with
procedures established by the Fund.

Any Portfolio shares held in the Variable Account for which LBVIP does not
receive timely voting instructions, or which are not attributable to
Contract Owners, will be voted by LBVIP in proportion to the instructions
received from all Contract Owners. Any Portfolio shares held by LBVIP or its
affiliates in general accounts will, for voting purposes, be allocated to
all separate accounts of LBVIP and its affiliates having a voting interest
in that Portfolio in proportion to each such separate account's votes.
Voting instructions to abstain on any item to be voted upon will be applied
on a pro rata basis to reduce the votes eligible to be cast.

Each person having a voting interest in a Subaccount will receive proxy
materials, reports and other materials relating to the appropriate
Portfolio.

SALES AND OTHER AGREEMENTS

Lutheran Brotherhood Securities Corp. ("LBSC"), 625 Fourth Avenue South,
Minneapolis, Minnesota 55415, an indirect subsidiary of Lutheran
Brotherhood, acts as the principal underwriter of the Contracts pursuant to
a Distribution Agreement to which LBVIP and the Variable Account are also
parties. The Contracts are sold through LBVIP Representatives who are
licensed by state insurance officials to sell the Contracts. These LBVIP
Representatives are also registered representatives of LBSC. The Contracts
are offered in all states where LBVIP is authorized to sell variable
annuities.

Compensation of LBVIP Representatives. Commissions and other distribution
compensation to be paid to LBVIP Representatives on the sale of Contracts
will be paid by LBVIP and will not result in any charge to Contract Owners
or to the Variable Account in addition to the charges described in this
Prospectus. LBVIP Representatives selling the Contracts will be paid a
commission of not more than 4% of the premiums paid on the contracts.
Further, LBVIP Representatives may be eligible to receive certain benefits
based on the amount of earned commissions.

Service Agreement. Lutheran Brotherhood performs certain investment and
administrative duties for LBVIP pursuant to a written agreement. The
agreement is automatically renewed each year, unless either party terminates
it. Under this agreement, LBVIP pays Lutheran Brotherhood for salary costs
and other services and an amount for indirect costs incurred through LBVIP's
use of Lutheran Brotherhood's personnel and facilities.

LEGAL PROCEEDINGS

LBVIP is not involved in any legal proceedings.

LEGAL MATTERS

All matters of applicable state law pertaining to the Contracts, including
LBVIP's right to issue the Contracts thereunder, have been passed upon by
________________, counsel for LBVIP. Certain legal matters relating to the
Federal securities laws have been passed upon by the law firm of
_________________________________.

FINANCIAL STATEMENTS AND EXPERTS

Financial statements of LBVIP and the Variable Account are contained in the
Statement of Additional Information.

The financial statements of LBVIP and the Variable Account included in the
Statement of Additional Information have been so included in reliance of
Price Waterhouse LLP, independent accountants, given on the authority of
said firm as experts in accounting and auditing.

FURTHER INFORMATION

A Registration Statement under the Securities Act of 1933 has been filed
with the SEC with respect to the Contracts described herein. This Prospectus
does not contain all of the information set forth in the Registration
Statement and exhibits thereto, to which reference is hereby made for
further information concerning the Variable Account, LBVIP and the
Contracts. The information so omitted may be obtained from the SEC's
principal office located at 450 Fifth Street, N.W., Washington, D.C. 20549,
upon payment of the fee prescribed by the SEC, or examined there without
charge. Statements contained in this Prospectus as to the provisions of the
Contracts and other legal documents are summaries, and reference is made to
the documents as filed with the SEC for a complete statement of the
provisions thereof.

STATEMENT OF ADDITIONAL INFORMATION

TABLE OF CONTENTS

Page
Introduction
Administration of the Contracts
Custody of Assets
Independent Accountants and Financial Statements
Distribution of the Contracts
Calculation of Performance
Money Market Subaccount
Other Subaccounts
Financial Statements of Variable Account
Comment on Financial Statements of LBVIP
Financial Statements of LBVIP
Appendix C - State Premium Tax Chart

How To Obtain the INDIVIDUAL FLEXIBLE PREMIUM
VARIABLE ANNUITY CONTRACT
Statement of Additional Information
Send this request form to:
Lutheran Brotherhood Variable
Insurance Products Company
P.O. Box 288
Minneapolis, MN 55440-9041

Please send me a copy of the most recent INDIVIDUAL FLEXIBLE PREMIUM
VARIABLE
ANNUITY CONTRACT SAI.

- ----------------------------------------------------------------------------
- -
(Name) (Date)

- ----------------------------------------------------------------------------
(Street Address)

- ----------------------------------------------------------------------------
(City) (State) (Zip Code)

APPENDIX A

MORE INFORMATION ABOUT THE FIXED ACCOUNT

Because of exemptive and exclusionary provisions, interests in the Fixed
Account have not been registered under the Securities Act of 1933 ("1933
Act"), nor is the Fixed Account registered as an investment company under
the Investment Company Act of 1940 ("1940 Act"). Accordingly neither the
Fixed Account nor any interests therein are generally subject to the
provisions of the 1933 or 1940 Acts. Disclosures regarding the Fixed Account
option and the Fixed Account, however, may be subject to certain generally
applicable provisions of the federal securities laws relating to the
accuracy and completeness of statements in prospectuses. LBVIP has been
advised that the staff of the Securities and Exchange Commission has not
reviewed disclosure relating to the Fixed Account.

Accumulated Values allocated to the Fixed Account are combined with all the
general assets of LBVIP and are invested in those assets chosen by LBVIP and
allowed by applicable law. LBVIP allocates the investment income of the
Fixed Account to the Contracts covered by the Fixed Account in the amounts
guaranteed in such Contracts. Immediately prior to the Maturity Date, the
Accumulated Value of the Contract in the Fixed Account is subject to a
reduction for any surrender charge or premium taxes, if applicable.

Under the Fixed Account option, LBVIP allocates premium payments to the
Fixed Account, guarantees the amounts allocated to the Fixed Account, and
pays a declared interest rate. The guaranteed minimum interest credited to
the Fixed Account will be at the effective rate of 4% per year, compounded
daily. LBVIP may credit interest at a rate in excess of 4% per year;
however, LBVIP is not obligated to credit any interest in excess of 4% per
year. There is no specific formula for the determination of excess interest
credits. Such credits, if any, will be determined by LBVIP based on
information as to expected investment yields. Some of the factors that LBVIP
may consider in determining whether to credit interest above 4% to amounts
allocated to the Fixed Account, and the amount thereof, are general economic
trends, rates of return currently available and anticipated on LBVIP's
investments, regulatory and tax requirements and competitive factors. ANY
INTEREST CREDIT TO AMOUNTS ALLOCATED TO THE FIXED ACCOUNT IN EXCESS OF 4%
PER YEAR WILL BE DETERMINED AT THE SOLE DISCRETION OF LBVIP. THE CONTRACT
OWNER ASSUMES THE RISK THAT INTEREST CREDITED TO FIXED ACCOUNT ALLOCATIONS
MAY NOT EXCEED THE MINIMUM GUARANTEE OF 4% FOR ANY GIVEN YEAR.

Nonetheless, for any amount allocated or transferred to the Fixed Account,
LBVIP guarantees that the initial interest rate will be effective for at
least 12 months, and subsequent interest rates will not be changed more
often than once every 12 months.

To the extent a fixed annuity payment option is selected by the Contract
Owner, Accumulated Value at the Maturity Date will be transferred to the
Fixed Account, which supports the insurance and annuity obligations of
LBVIP.

Contract Owners have no voting rights in the Variable Account with respect
to Fixed Account values.

APPENDIX B
ILLUSTRATION OF MONTHLY VARIABLE ANNUITY SETTLEMENT OPTION

The illustration included in this appendix shows how the monthly variable
annuity settlement option income may change with the investment experience
of the Variable Account. The illustration shows how the monthly income
would vary over time if the investment return on the assets held in each
Portfolio of the Fund were a uniform, gross, after-tax annual rate of 0
percent, 5.06 percent and 12 percent. The incomes would be different from
those shown if the gross annual investment returns average 0 percent, 5.06
percent and 12 percent over a period of years, but fluctuated above and
below these averages for individual Contract years.

The monthly incomes reflect the fact that the net investment return of the
Subaccounts of the Variable Account is lower than the gross, after-tax
return on the assets held in the Fund as a result of the advisory fee paid
by the Fund and charges made against the Subaccounts. The incomes shown
take into account the following fees: Growth (0.40%); High Yield (0.40%);
Income (0.40%); Money Market (0.40%); Opportunity Growth (0.40%); Mid Cap
Growth (0.40%); and World Growth (0.85%); and the daily charge to each
Subaccount for assuming mortality and expense risks which is equivalent to a
charge at an annual current rate of 1.10% of the average assets of the
Subaccounts and which is guaranteed never to exceed an annual rate of 1.25%.
After deduction of these amounts, the illustrated gross investment rates of
return 0%, 5.06% and 12% correspond to net annual rates of -1.56%, 3.50% and
10.44%, respectively, assuming an average investment advisory fee of 0.46%.

The illustration assumes 100% of the assets are invested in Subaccounts of
the Variable Account. For comparison purposes, a current fixed annuity
income, available through the Fixed Account, is also provided. The first
variable payment is always based on an investment rate of 3.50%. After the
first variable annuity payment, future variable payments will increase if
the annualized net rate of return exceeds the 3.50%, and will decrease if
the annualized net rate of return is less than the 3.50%.

The hypothetical values shown are based upon a male, age 65 selecting a life
income with a 10-year guaranteed period and having $100,000 of non-qualified
funds at settlement. Upon request, LBVIP will provide a comparable
illustration based upon the proposed Annuitant's age, gender (except for
Contracts issued in the state of Montana), settlement option, type of funds
and cash available at settlement. Contracts purchased in Montana cannot
vary on the basis of the Annuitant's gender.

<PAGE>

Variable Annuity Payout Illustration

Prepared for: Prospect Commencement Date: 4/30/1998

Prepared by: Lutheran Brotherhood Cash Available at Settlement: $100,000
Variable Insurance
Products Company

Sex: Male Date of Birth: 4/30/1933 Funds: Nonqualified

State: MN Initial Monthly Income: $608

Income Option: Life Income with 10 Year Guaranteed Period

The monthly variable annuity income amount shown below assumes a
constant annual investment return. The assumed investment rate of 3.50% is
used to calculate the first monthly payment. Thereafter, monthly payments
will increase or decrease based upon the relationship between 3.50% and the
performance of the Subaccounts selected. The investment returns shown are
hypothetical and not a representation of future results.

Annual Rate of Return
--------------------------------------
0% Gross 5.06% Gross 12.00% Gross
Date Age (-1.56% Net) (3.50% Net) (10.44% Net)
- ----------------------- --- ------------ ------------ ------------
April 30, 1998 65 $608 $608 $ 608
April 30, 1999 66 578 608 649
April 30, 2000 67 550 608 692
April 30, 2001 68 523 608 739
April 30, 2002 69 498 608 788
April 30, 2007 74 387 608 1,090
April 30, 2012 79 301 608 1,508
April 30, 2017 84 235 608 2,087
April 30, 2022 89 183 608 2,886
April 30, 2027 94 142 608 3,993
April 30, 2032 99 111 608 5,524
April 30, 2033 100 105 608 5,894

If 100% of your cash available at settlement was applied to provide a fixed
annuity on the commencement date of this illustration, the fixed annuity
income amount would be $687.

Net rates of return reflect expenses totaling 1.56%, which consist of the
current 1.10% Variable Account mortality and expense risk charge and 0.46%
for the Fund advisory fee (this is an average with the actual varying from
0.40% to 0.85%).

This is an illustration only and not a contract.

<PAGE>
STATEMENT OF ADDITIONAL INFORMATION

INDIVIDUAL FLEXIBLE PREMIUM
VARIABLE ANNUITY CONTRACT
ISSUED BY
LUTHERAN BROTHERHOOD VARIABLE
INSURANCE PRODUCTS COMPANY

This Statement of Additional Information is not a prospectus, but should be
read in conjunction with the Prospectus dated May 1, 1998 (the "Prospectus")
describing an individual flexible premium variable annuity contract (the
"Contract") being offered by Lutheran Brotherhood Variable Insurance
Products Company ("LBVIP"). Purchase payments will be allocated to one or
more Subaccounts of LBVIP Variable Annuity Account I (the "Variable
Account"), a separate account of LBVIP and/or to the Fixed Account (which is
the general account of LBVIP, and which pays interest at a guaranteed fixed
rate). Much of the information contained in this Statement of Additional
Information expands upon subjects discussed in the Prospectus. A copy of
the Prospectus may be obtained from Lutheran Brotherhood Variable Insurance
Products Company, 625 Fourth Avenue South, Minneapolis, Minnesota 55415.

Capitalized terms used in this Statement of Additional Information that are
not otherwise defined herein shall have the meanings given to them in the
Prospectus.

------------------------------------------------

TABLE OF CONTENTS
Page
INTRODUCTION
ADMINISTRATION OF THE CONTRACTS
CUSTODY OF ASSETS
INDEPENDENT ACCOUNTANTS AND FINANCIAL STATEMENTS
DISTRIBUTION OF THE CONTRACTS
CALCULATION OF PERFORMANCE
Money Market Subaccount
Other Subaccounts
FINANCIAL STATEMENTS OF VARIABLE ACCOUNT
COMMENT ON FINANCIAL STATEMENTS OF LBVIP
FINANCIAL STATEMENTS OF LBVIP
APPENDIX C - STATE PREMIUM TAX CHART

------------------------------------------------

The date of this Statement of Additional Information
is May 1, 1998.

INTRODUCTION

The Contracts are being offered by LBVIP, a stock life insurance company
that is an indirect subsidiary of Lutheran Brotherhood. LBVIP is offering
the Contract only to persons who are eligible for membership in Lutheran
Brotherhood, unless otherwise required by state law. The Contract may be
sold to or in connection with retirement plans which may or may not qualify
for special federal tax treatment under the Internal Revenue Code. Annuity
payments under the Contract are deferred until a selected later date.

Premiums will be allocated, as designated by the Contract Owner, to one or
more Subaccounts of the Variable Account, a separate account of LBVIP and/or
to the Fixed Account (which is the general account of LBVIP, and which pays
interest at a guaranteed fixed rate). The assets of each Subaccount will
be invested solely in a corresponding Portfolio of LB Series Fund, Inc. (the
"Fund"), which is a diversified, open-end management investment company
(commonly known as a "mutual fund"). The Prospectus for the Fund that
accompanies the Prospectus describes the investment objectives and attendant
risks of the six Portfolios of the Fund-the Growth Portfolio, the Mid Cap
Growth Portfolio, the High Yield Portfolio, the Income Portfolio, the
Opportunity Growth Portfolio, the World Growth Portfolio and the Money
Market Portfolio. Additional Subaccounts (together with the related
additional Portfolios of the Fund) may be added in the future. The
Accumulated Value of the Contract and, except to the extent fixed amount
annuity payments are elected by the Contract Owner, the amount of annuity
payments will vary, primarily based on the investment experience of the
Portfolios whose shares are held in the Subaccounts designated. Premiums
allocated to the Fixed Account will accumulate at fixed rates of interest
declared by LBVIP.

ADMINISTRATION OF THE CONTRACTS

Lutheran Brotherhood performs certain investment and administrative duties
for LBVIP pursuant to a written agreement. This agreement includes services
performed for the administration of the Contracts along with other insurance
products issued by LBVIP. The agreement is automatically renewed each year,
unless either party terminates it. Under this agreement, LBVIP pays Lutheran
Brotherhood for salary costs and other services and an amount for indirect
costs incurred through LBVIP's use of Lutheran Brotherhood's personnel and
facilities. During 1997, LBVIP paid Lutheran Brotherhood $____ million for
all services provided pursuant to this agreement.

CUSTODY OF ASSETS

LBVIP, whose address appears on the cover of the Prospectus, maintains
custody of the assets of the Variable Account.

INDEPENDENT ACCOUNTANTS AND FINANCIAL STATEMENTS

The financial statements of LBVIP and the Variable Account included in this
Statement of Additional Information have been so included in reliance of
___________________, independent accountants, given on authority of said
firm as experts in accounting and auditing.

The financial statements of LBVIP should be distinguished from those of the
Variable Account, and should be considered only as bearing upon the ability
of LBVIP to meet its obligations under the Contracts. The financial
statements of LBVIP should not be considered as bearing on the investment
experience of the assets held in the Variable Account.

DISTRIBUTION OF THE CONTRACTS

Lutheran Brotherhood Securities Corp. ("LBSC"), an indirect subsidiary of
Lutheran Brotherhood, acts as the principal underwriter of the Contracts
pursuant to a Distribution Agreement to which LBVIP and the Variable Account
are also parties. The Contracts are sold through LBVIP Representatives who
are licensed by state insurance officials to sell the Contracts. These LBVIP
Representatives are also registered representatives of LBSC. The Contracts
are offered in all states where LBVIP is authorized to sell variable
annuities.

The offering of the Contracts is continuous.

There are no special purchase plans or exchange privileges not described in
the Prospectus (see "THE CONTRACTS--Transfers" in the Prospectus).

No charge for sales expense is deducted from premiums at the time premiums
are paid. However, a surrender charge, which may be deemed to be a
contingent deferred sales charge, is deducted from the Accumulation Value of
the Contract in the case where the Contract is surrendered, in whole or in
part, before annuity payments begin and, if certain settlement options are
selected, at the time annuity payments begin, under the circumstances
described in, and in amounts calculated as described in, the Prospectus
under the heading "CHARGES AND DEDUCTIONS--Surrender Charge (Contingent
Deferred Sales Charge)". There is no difference in the amount of this charge
or any of the other charges described in the Prospectus as between Contracts
purchased by members of the public as individuals or groups, on the one
hand, and Contracts purchased by any class of individuals, such as officers,
directors or employees of LBVIP or of LBSC, on the other hand.

CALCULATION OF PERFORMANCE

Money Market Subaccount

The Prospectus contains information with respect to the yield and effective
yield of a hypothetical preexisting account having a balance of one Money
Market Portfolio Subaccount Accumulation Unit at the beginning of a
specified seven-day period. Such yield quotations have been calculated by
determining the net change, exclusive of capital changes, in the value of a
hypothetical pre-existing account having a balance of one Accumulation Unit
of the Subaccount at the beginning of the period, subtracting a hypothetical
charge reflecting deductions from Contract Owner accounts, dividing the net
change by the value of the account at the beginning of the period to obtain
the base period return, and multiplying the base period return by 365/7. The
effective yield has been calculated by compounding the yield quotation for
such period by adding 1 and raising the sum to a power equal to 365/7, and
subtracting 1 from the result.

In determining the net change in the value of the account as described in
the preceding paragraph, all deductions that are charged to all Contract
Owner accounts have been reflected in proportion to the length of the seven-
day base period and the Subaccount's mean (or median) account size.
Deductions from purchase payments and surrender charges assessed have not
been reflected in, and realized gains and losses from the sale of securities
and unrealized appreciation and depreciation of the Subaccount and the
related portfolio company have been excluded from, the computation of yield.

This example illustrates the yield quotation for the Money Market Subaccount
for the seven-day period ended December 31, 1997:

Value of hypothetical pre-existing account with exactly
one Accumulation Unit at the beginning of the period $________

Value of same account (excluding capital changes) at end
of the seven-day period $________

Net change in account value $________

Base Period Return:
Net change in account value divided by beginning account value $________

Annualized Current Yield [0.000770 X (365/7)] ____%

Effective Yield (0.000770 + 1)365/7-1 ____%

The annualization of a seven-day average yield is not a representation of
future actual yield.

Other Subaccounts

The Prospectus contains information with respect to yield quotations by
Subaccounts other than the Money Market Subaccount. These yield quotations
are based on a 30-day (or one month) period computed by dividing the net
investment income per accumulation unit earned during the period (the net
investment income earned by the Fund portfolio attributable to shares owned
by the Subaccount less expenses incurred during the period) by the maximum
offering price per Accumulation Unit on the last day of the period, by
setting yield equal to two times the difference between the sixth power of
one plus the designated ratio and one, where the designated ratio is the
difference between the net investment income earned during the period and
the expenses accrued for the period (net of reimbursement) divided by the
product of the average daily number of Accumulation Units outstanding during
the period and the maximum offering price per Accumulation Unit on the last
day of the period.

For fees that vary with the size of the Contract, a Contract size equal to
the mean (or median) Contract size has been assumed.

The following example illustrates the annualized current yield calculation
for the High Yield Subaccount for the 30-day base period ended December 31,
1997:

Dividends and interest earned by the High Yield Subaccount
during the base period $_________
Expenses accrued for the base period $_________
----------
$_________(A)
----------

Product of the maximum public offering price on the
last day of the base period and the average daily
number of Units outstanding during the base period
that were entitled to receive dividends
($________ x _________ Units) = $___________(B)
============

Quotient of dividends and interest earned minus expenses
accrued divided by product of maximum public offering
price multiplied by average Units outstanding
(A divided by B) = ________(C)
Adding one and raising total to the 6th power (C + 1)6= ________(D)
Annualized current yield [2(D - 1) X 100] = ______%

The following example illustrates the annualized current yield calculation
for the Income Subaccount for the 30-day base period ended December 31,
1997:

Dividends and interest earned by the Income Subaccount
during the base period $_________
Expenses accrued for the base period $_________
------------
$_________(A)
============

Product of the maximum public offering price on the
last day of the base period and the average daily
number of Units outstanding during the base period
that were entitled to receive dividends
($19.388077 x 31,306,732 Units) = $___________(B)
============

Quotient of dividends and interest earned minus expenses
accrued divided by product of maximum public offering
price multiplied by average Units
outstanding (A divided by B) = ________(C)
Adding one and raising total to the 6th power (C + 1)6 = ________(D)
Annualized current yield [2(D-1) X 100] = ________%

Annualized current yield of any specific base period is not a representation
of future actual yield.

The Prospectus contains information with respect to performance data for the
Subaccounts of the Variable Account. Such performance data includes average
annual total return quotations for the 1, 5 and 10-year periods (or such
shorter time period during which the Contracts have been offered) computed
by finding the average annual compounded rates of return over the 1, 5 and
10-year periods (or such shorter time period during which the Contracts have
been offered) that would equate the initial amount invested to the ending
redeemable value, by equating the ending redeemable value to the product of
a hypothetical initial payment of $1,000, and one plus the average annual
total return raised to a power equal to the applicable number of years.

Such performance data assumes that any applicable charges have been deducted
from the initial $1,000 payment and includes all recurring fees that are
charged to all Contract Owners. If recurring fees charged to Contract Owners
are paid other than by redemption of Accumulation Units, such fees will be
appropriately reflected.

Average annual total return for any specific period is not a representation
of future actual results. Average annual total return assumes a steady rate
of growth. Actual performance fluctuates and will vary from the quoted
results for periods of time within the quoted periods.

The following example illustrates the average annual total return for the
Growth Subaccount from the date of inception through December 31, 1997:

Hypothetical $1,000 initial investment on March 8, 1988 $_____

Ending redeemable value of the investment on December 31,
1997 (after deferred sales charge) $_____

Total return for the period is the difference between the
ending redeemable value and the hypothetical $1,000
initial investment divided by the hypothetical $1,000
initial investment; the result is expressed in terms
of a percentage (For example, 2 equals 200%) ______%*

Average annual total return from inception through
December 31, 1997 is the sum of the total return calculated
above plus one; such sum is raised to the power of 1/n where
n is expressed as _______ years and 10 months; the result is
reduced by one and is expressed in terms of a percentage
(For example, 0.2 equals 20%) _____%*

The following example illustrates the average annual total return for the
High Yield Subaccount from the date of inception through the period ended
December 31, 1997:

Hypothetical $1,000 initial investment on March 8, 1988 $_____

Ending redeemable value of the investment on December 31, 1997
(after deferred sales charge) $_____

Total return for the period is the difference between the
ending redeemable value and the hypothetical $1,000
initial investment divided by the hypothetical $1,000
initial investment; the result is expressed in terms of
a percentage (For example, 2 equals 200%) ______%*

Average annual total return from inception through
December 31, 1997 is the sum of the total return
calculated above plus one; such sum is raised to the
power of 1/n where n is expressed as ______ years
and 10 months; the result is reduced by one and is
expressed in terms of a percentage
(For example, 0.2 equals 20%) _____%*

The following example illustrates the average annual total return for the
Income Subaccount from the date of inception through December 31, 1997:

Hypothetical $1,000 initial investment on March 8, 1988 $_____

Ending redeemable value of the investment on December 31, 1997
(after deferred sales charge) $_____

Total return for the period is the difference between
the ending redeemable value and the hypothetical $1,000
initial investment divided by the hypothetical $1,000
initial investment; the result is expressed in
terms of a percentage (For example, 2 equals 200%) _____%*

Average annual total return from inception through
December 31, 1997 is the sum of the total return
calculated above plus one; such sum is raised to the
power of 1/n where n is expressed as ______ years
and 10 months; the result is reduced by one and is
expressed in terms of a percentage
(For example, 0.2 equals 20%) ____%*

The following example illustrates the average annual total return for the
Money Market Subaccount from the date of inception through December 31,
1997:

Hypothetical $1,000 initial investment on February 18, 1988 $_____

Ending redeemable value of the investment on December 31, 1997
(after deferred sales charge) $_____

Total return for the period is the difference between
the ending redeemable value and the hypothetical $1,000
initial investment divided by the hypothetical $1,000
initial investment; the result is expressed
in terms of a percentage (For example, 2 equals 200%) _____%*

Average annual total return from inception through
December 31, 1997 is the sum of the total return
calculated above plus one; such sum is raised to the
power of 1/n where n is expressed as ______ years
and 11 months; the result is reduced by one and is
expressed in terms of a percentage
(For example, 0.2 equals 20%) ____%*
- -----------------------

The following example illustrates the average annual total return for the
Opportunity Growth Subaccount from the date of inception through the period
ended December 31, 1997:

Hypothetical $1,000 initial investment on January 18, 1996 $_____

Ending redeemable value of the investment on
December 31, 1997 (after deferred sales charge) $_____

Total return for the period is the difference between the
ending redeemable value and the hypothetical $1,000
initial investment divided by the hypothetical $1,000
initial investment; the result is expressed in terms of
a percentage (For example, 2 equals 200%) _____%*

The following example illustrates the average annual total return for the
World Growth Subaccount from the date of inception through December 31,
1997:

Hypothetical $1,000 initial investment on January 18, 1996 $_____

Ending redeemable value of the investment on December 31, 1997
(after deferred sales charge) $_____

- -----------------------------

*Does not include the annual administrative charge of $30 deducted from any
Contract for which the total of premiums paid under such Contract minus all
prior surrenders is less than $5,000. Premium taxes may apply depending on
various states' laws. Inclusion of the administrative charge would reduce
the total return figures shown above.

FINANCIAL STATEMENTS OF VARIABLE ACCOUNT

Set forth on the following pages are the audited financial statements of the
Variable Account.

VARIABLE ACCOUNT FINANCIALS TO BE INCLUDED IN SUBSEQUENT AMENDMENT.

COMMENTS ON FINANCIAL STATEMENTS OF LBVIP

The financial statements of LBVIP included in this Statement of Additional
Information should be considered as bearing only upon the ability of LBVIP
to meet its obligations under the Contracts. The value of the interests of
Contract Owners, Annuitants and Beneficiaries under the Contracts are
affected primarily by the investment experience of the Subaccounts of the
Variable Account. The financial statements of LBVIP should not be considered
as bearing on the investment performance of the assets held in the Variable
Account.

FINANCIAL STATEMENTS OF LBVIP

Set forth on the following pages are the audited financial statements of
LBVIP.

LBVIP FINANCIALS TO BE INCLUDED IN SUBSEQUENT AMENDMENT.

APPENDIX B
STATE PREMIUM TAX CHART

Premium taxes vary according to the state and are subject to change. In
many jurisdictions there is no tax at all. For current information, a tax
adviser should be consulted.

The current premium tax rates are a guide only and should not be relied on
to determine actual premium taxes on any premium payment or Contract because
the taxes are subject to change from time to time by legislative and other
governmental action. In addition, other governmental units within a state
may levy such taxes. The timing of tax levies also varies from one taxing
authority to another. Consequently, in many cases the purchaser of a
Contract will not be able to accurately determine the premium tax applicable
to the Contract by reference to the state tax rates described below.

RATE OF TAX
----------------
QUALIFIED NON-QUALIFIED
STATE PLANS PLANS
------ --------
California .50% 2.35%*
District of Columbia 2.25% 2.25%*
Florida -- 1.00%
Kansas -- 2.00%*
Kentucky 2.00%* 2.00%*
Maine -- 2.00%
Nevada -- 3.50%*
South Dakota -- 1.25%
West Virginia 1.00% 1.00%
Wyoming -- 1.00%

* Taxes become due when annuity benefits commence, rather than when the
premiums are collected. At the time of annuitization, the premium tax
payable will be charged against the Accumulated Value.

<PAGE>
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<PAGE>
PART C. OTHER INFORMATION

Item 24. Financial Statements and Exhibits

(a) Financial Statements:

Part A: None.

Part B: Financial Statements of Lutheran Brotherhood Variable
Insurance Products Company. (3)

Financial Statements of LBVIP Variable Annuity Account I.
(3)

(b) Exhibits:

1. Resolution of the Board of Directors of Lutheran Brotherhood
Variable Insurance Products Company ("Depositor") authorizing
the establishment of LBVIP Variable Annuity Account I
("Registrant"). (1)

2. Not Applicable.

3.(a) Form of Distribution Agreement between Depositor and
Lutheran Brotherhood Securities Corp ("LBSC"). (1)

(b) Forms of General Agent's Agreement and Selected Registered
Representative Agreement between LBSC and agents with
respect to the sale of Contracts. (1)

4. Form of Contract. (1)

5. Contract Application Form. (1)

6.(a) Articles of Incorporation of Depositor (incorporated by
reference to Exhibit A(6)(a) to Registrant's Registration
Statement No. 33-3243). (1)

(b) Bylaws of Depositor (incorporated by reference to Exhibit
A(6)(b) to Registrant's Registration Statement No. 33-
3243). (1)

7. Not Applicable.

8. Form of Management Service Agreement among Lutheran
Brotherhood, LBSC and Depositor. (1)

9. Opinion of Counsel as to the legality of the securities being
registered (including written consent). (1)

10. Not Applicable.

11. Not Applicable.

12. Not Applicable.

13. Computations of Performance Data. (1)

14. Consent of Independent Accountant. (3)

15. Powers of Attorney. (1)

16. Consent of Counsel. (3)

________________________________

(1) Heretofore filed.
(2) Filed herewith.
(3) To be filed by subsequent Amendment.

Item 25. Directors and Officers of the Depositor

NAME POSITIONS AND OFFICES WITH DEPOSITOR

Robert P. Gandrud President, Chairman and Chief Executive
Officer
Bruce J. Nicholson Chief Financial Officer and Director
David K. Stewart Treasurer
Rolf F. Bjelland Vice President-Investments and Director
David J. Christianson Vice President-Insurance Services
Otis F. Hilbert Vice President and Assistant Secretary
David J. Larson Vice President and Secretary
William H. Reichwald Vice President-Marketing
Jerald E. Sourdiff Vice President and Controller
Randall L. Boushek Vice President
James R. Olson Vice President
Richard B. Ruckdashel Vice President
Susan Oberman Smith Vice President
James M. Walline Vice President

The principal business address of each of the foregoing directors and
officers is 625 Fourth Avenue South, Minneapolis, Minnesota 55415.

Item 26. Persons Controlled by or Under Common Control with Depositor or
Registrant

Registrant is a separate account of Depositor, established by the Board of
Directors of Depositor in 1987 pursuant to the laws of the State of
Minnesota.

Depositor is an indirect subsidiary of Lutheran Brotherhood, a fraternal
benefit society founded under the laws of the State of Minnesota. Lutheran
Brotherhood's other direct and indirect subsidiaries are (a) Lutheran
Brotherhood Financial Corporation, a Minnesota corporation which is a
holding company that has no independent operations, (b) LBSC, a Pennsylvania
corporation which is a registered broker-dealer, (c) Lutheran Brotherhood
Research Corp., a Minnesota corporation which is a licensed investment
adviser, and (d) Lutheran Brotherhood Real Estate Products Company, a
Minnesota corporation.

Item 27. Number of Contract Owners

There were 90,412 Contract Owners at February 20, 1998.

Item 28. Indemnification

Reference is hereby made to Section 4.01 of Depositor's Bylaws, filed as an
Exhibit to this Registration Statement, and to Section 5 of LBSC's By-Laws,
which mandate indemnification by Depositor and LBSC of directors, officers
and certain others under certain conditions. Insofar as indemnification for
liabilities arising under the Securities Act of 1933 may be permitted to
directors, officers and controlling persons of Depositor or LBSC, pursuant
to the foregoing provisions or otherwise, Depositor and LBSC have been
advised that in the opinion of the Securities and Exchange Commission such
indemnification is against public policy as expressed in the Act and is,
therefore, unenforceable. In the event that a claim for indemnification
against such liabilities (other than the payment by Depositor or LBSC of
expenses incurred or paid by a director or officer or controlling person of
Depositor or LBSC in the successful defense of any action, suit or
proceeding) is asserted by such director, officer or controlling person of
Depositor or LBSC in connection with the securities being registered,
Depositor or LBSC will, unless in the opinion of its counsel the matter has
been settled by controlling precedent, submit to a court of appropriate
jurisdiction the question of whether or not such indemnification by it is
against public policy as expressed in the Act and will be governed by the
final adjudication of such issue.

An insurance company blanket bond is maintained providing $10,000,000
coverage for officers and employees of Lutheran Brotherhood, Depositor and
LBSC, and $750,000 coverage for their general agents and Depositor's
Representatives, both subject to a $100,000 deductible.

Item 29. Principal Underwriters

(a) LBSC, the principal underwriter of the Contracts, is also named as
distributor of the stock of The Lutheran Brotherhood Family of Funds, a
diversified open-end investment company organized as a Delaware business
trust, consisting of the following series: Lutheran Brotherhood Money Market
Fund, Lutheran Brotherhood Opportunity Growth Fund, Lutheran Brotherhood
Fund, Lutheran Brotherhood World Growth Fund, Lutheran Brotherhood Mid Cap
Growth Fund, Lutheran Brotherhood Income Fund, Lutheran Brotherhood High
Yield Fund, and Lutheran Brotherhood Municipal Bond Fund. LBSC also acts or
will act as the principal underwriter of the following variable contracts:
flexible premium variable life insurance contracts issued by Lutheran
Brotherhood through LB Variable Insurance Account I, a separate account of
Lutheran Brotherhood registered as a unit investment trust under the
Investment Company Act of 1940; flexible premium deferred variable annuity
contracts issued by Lutheran Brotherhood through LB Variable Annuity Account
I, a separate account of Depositor registered as a unit investment trust
under the Investment Company Act of 1940; flexible premium variable life
insurance contracts issued by Depositor through LBVIP Variable Insurance
Account, a separate account of Depositor registered as a unit investment
trust under the Investment Company Act of 1940; and of single premium
variable life insurance contracts issued by Depositor through LBVIP Variable
Insurance Account II, a separate account of Depositor registered as a unit
investment trust under the Investment Company Act of 1940.

(b) The directors and officers of LBSC are as follows:

Robert P. Gandrud Chairman and Director
J. Keith Both President
Rolf F. Bjelland Director
Bruce J. Nicholson Director
Paul R. Ramseth Director
William H. Reichwald President and Director
David K. Stewart Treasurer
Jerald E. Sourdiff Controller
Otis F. Hilbert Vice President and Secretary
Larry A. Borlaug Vice President
Colleen Both Vice President
Craig R. Darrington Vice President
Mitchell F. Felchle Vice President
Wayne A. Hellbusch Vice President
Douglas B. Miller Vice President
C. Theodore Molen Vice President
James R. Olson Vice President
Richard B. Ruckdashel Vice President

The principal business address of each of the foregoing officers is 625
Fourth Avenue South, Minneapolis, Minnesota 55415.

Item 30. Location of Accounts and Records

The accounts and records of Registrant are located, in whole or in part, at
the office of Depositor at 625 Fourth Avenue South, Minneapolis, Minnesota
55415.

Item 31. Management Services

Not Applicable.

Item 32. Undertakings

Registrant will file a post-effective amendment to this Registration
Statement as frequently as is necessary to ensure that the audited financial
statements in this Registration Statement are never more than 16 months old
for so long as payments under the Contracts may be accepted.

Registrant will include either (1) as part of any application to purchase a
Contract offered by the Prospectus, a space that an applicant can check to
request a Statement of Additional Information, or (2) a postcard or similar
written communication affixed to or included in the Prospectus that the
applicant can remove to send for a Statement of Additional Information.

Registrant will deliver any Statement of Additional Information and any
financial statements required to be made available under this form promptly
upon written or oral request.

Registrant understands that the restrictions imposed by Section 403(b)(11)
of the Internal Revenue Code conflict with certain sections of the
Investment Company Act of 1940 that are applicable to the Contracts. In
this regard, Registrant is relying on a no-action letter issued by the
Office of Insurance Product and Legal Compliance of the SEC and the
requirements for such reliance have been complied with by Registrant.

Lutheran Brotherhood Variable Insurance Products Company hereby represents
that, as to the individual flexible premium variable annuity contracts that
are the subject of this registration statement, File Number 33-15974, that
the fees and charges deducted under the contracts, in the aggregate, are
reasonable in relation to the services rendered, the expenses expected to be
incurred and the risks assumed by Lutheran Brotherhood Variable Insurance
Products Company.

<PAGE>
SIGNATURES

Pursuant to the requirements of the Securities Act of 1933, the Registrant
certifies that it meets all of the requirements for effectiveness of this
amendment to the Registration Statement pursuant to Rule 485(a) under the
Securities Act of 1933 and has duly caused this amendment to the
Registration Statement to be signed on its behalf by the undersigned,
thereunto duly authorized, in the City of Minneapolis and State of Minnesota
on the 24th day of February, 1998.

LBVIP VARIABLE ANNUITY ACCOUNT I
(Registrant)

By LUTHERAN BROTHERHOOD VARIABLE
INSURANCE PRODUCTS COMPANY
(Depositor)

By /s/ Robert P. Gandrud
----------------------------
Robert P. Gandrud, President

Pursuant to the requirements of the Securities Act of 1933, the Depositor
has duly caused this Amendment to the Registration Statement to be signed on
its behalf by the undersigned, thereunto duly authorized, in the City of
Minneapolis and State of Minnesota on the 24th of February, 1998.

LUTHERAN BROTHERHOOD VARIABLE
INSURANCE PRODUCTS COMPANY
(Depositor)

By /s/ Robert P. Gandrud
----------------------------
Robert P. Gandrud, President

Pursuant to the requirements of the Securities Act of 1933, this Amendment
to the Registration Statement has been signed on the 24th day of February,
1998 by the following directors and officers of Depositor in the capacities
indicated:

/s/ Robert P. Gandrud President, Chairman (Chief Executive
----------------------- Officer)
Robert P. Gandrud

/s/ Bruce J. Nicholson Chief Financial Officer (Principal
----------------------- Financial Officer)
Bruce J. Nicholson

/s/ David K. Stewart Treasurer (Principal Accounting
- ----------------------- Officer)
David K. Stewart

Robert P. Gandrud
Bruce J. Nicholson A Majority of the
Rolf F. Bjelland Board of Directors
Paul R. Ramseth
William H. Reichwald

Otis F. Hilbert, by signing his name hereto, does hereby sign this document
on behalf of each of the above-named directors of Lutheran Brotherhood
Variable Insurance Products Company pursuant to powers of attorney duly
executed by such persons.

/s/ Otis F. Hilbert
------------------------------
Otis F. Hilbert, Attorney-in-Fact