<PAGE>
Financial Statements
American Benefit Variable Annuity Account
Year ended December 31, 1996
with Report of Independent Auditors
<PAGE>
American Benefit Variable Annuity Account
Financial Statements
Year ended December 31, 1996
Contents
Report of Independent Auditors.................................................1
Audited Financial Statements
Statement of Net Assets........................................................2
Statement of Operations........................................................5
Statements of Changes in Net Assets............................................7
Notes to Financial Statements..................................................9
<PAGE>
Report of Independent Auditors
The Board of Directors
American Benefit Life Insurance Company
We have audited the accompanying statement of net assets of American Benefit
Variable Annuity Account [comprising, respectively, the Money Market, Growth,
Growth and Income, Global Growth, Global Income, Strategic Fixed Income, and
Balanced (formerly Asset Allocation) Divisions] as of December 31, 1996, and the
related statements of operations for the year then ended and changes in net
assets for each of the two years in the period then ended. These financial
statements are the responsibility of the Account's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. Our
procedures included confirmation of securities owned as of December 31, 1996 by
correspondence with the transfer agent. An audit also includes assessing the
accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe
that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of American Benefit Variable
Annuity Account at December 31, 1996, and the results of its operations for the
year then ended and the changes in its net assets for each of the two years in
the period then ended, in conformity with generally accepted accounting
principles.
/s/ Ernst & Young LLP
Des Moines, Iowa
January 17, 1997
1
<PAGE>
American Benefit Variable Annuity Account
Statement of Net Assets
December 31, 1996
<TABLE>
<CAPTION>
Money
Market
Combined Division
----------------------
<S> <C> <C>
Assets
Investments at net asset value:
PaineWebber Series Trust Money Market Portfolio,
542,853 shares at $1.00 per share (cost--$542,853) $ 542,853 $542,853
PaineWebber Series Trust Growth Portfolio, 32,611
shares at $17.48 per share (cost--$481,348) 570,039 --
PaineWebber Series Trust Growth and Income
Portfolio, 31,091 shares at $12.27 per share (cost--
$310,874) 381,487 --
PaineWebber Series Trust Global Growth Portfolio,
23,551 shares at $13.74 per share (cost--$291,962) 323,584 --
PaineWebber Series Trust Global Income Portfolio,
50,738 shares at $11.14 per share (cost--$566,417) 565,217 --
PaineWebber Series Trust Strategic Fixed Income
Portfolio, 46,309 shares at $10.21 per share (cost--
$530,258) 472,817 --
PaineWebber Series Trust Balanced Portfolio, 47,008
shares at $10.95 per share (cost--$516,460) 514,734 --
----------------------
Total investments (cost--$3,240,172) 3,370,731 542,853
Accrued investment income 320,061 --
----------------------
Total net assets $3,690,792 $542,853
======================
</TABLE>
2
<PAGE>
<TABLE>
<CAPTION>
Growth and Global Global Strategic
Growth Income Growth Income Fixed Income Balanced
Division Division Division Division Division Division
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
$ -- $ -- $ -- $ -- $ -- $ --
570,039 -- -- -- -- --
-- 381,487 -- -- -- --
-- -- 323,584 -- -- --
-- -- -- 565,217 -- --
-- -- -- -- 427,817 --
-- -- -- -- -- 514,734
- ------------------------------------------------------------------------------------------------
570,039 381,487 323,584 565,217 427,817 514,734
108,067 66,935 1,792 38,699 32,459 72,109
- ------------------------------------------------------------------------------------------------
$678,106 $448,422 $325,376 $603,916 $505,276 $586,843
================================================================================================
</TABLE>
3
<PAGE>
American Benefit Variable Annuity Account
Statement of Net Assets (continued)
<TABLE>
<S> <C>
Net assets represented by:
Currently payable annuity contracts:
Strategic Fixed Income Division $ 28,223
<CAPTION>
Units Value
-------------------
<S> <C> <C> <C>
Contracts in accumulation period:
Money Market Division 40,793 $13.31 542,853
Growth Division 21,521 31.51 678,106
Growth and Income Division 31,867 14.07 448,422
Global Growth Division 19,383 16.79 325,376
Global Income Division 35,003 17.25 603,916
Strategic Fixed Income Division 30,033 15.88 477,053
Balanced Division 29,895 19.63 586,843
----------
3,662,569
----------
$3,690,792
==========
</TABLE>
See accompanying notes.
4
<PAGE>
American Benefit Variable Annuity Account
Statement of Operations
Year ended December 31, 1996
<TABLE>
<CAPTION>
Money
Market Growth
Combined Division Division
----------------------------------
<S> <C> <C> <C>
Net investment income (loss)
Income:
Dividends $114,248 $23,771 $ -
Capital gains distributions 236,783 - 108,328
Expenses (Note 2):
Administrative charges (8,679) (209) (779)
Mortality, distribution, and expense risk (62,248) (7,882) (12,725)
----------------------------------
Net investment income (loss) 280,104 15,680 94,824
Realized and unrealized gain (loss) on
investments (Note 4)
Net realized gain (loss) on investments 173,042 - 152,487
Change in net unrealized appreciation/
depreciation of investments (35,377) - (104,955)
----------------------------------
Net increase in net assets resulting from
operations $417,769 $15,680 $142,356
==================================
</TABLE>
See accompanying notes.
5
<PAGE>
<TABLE>
<CAPTION>
Growth and Global Global Strategic Fixed
Income Growth Income Income Balanced
Division Division Division Division Division
- --------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
$ 1,889 $ 1,792 $ 40,895 $32,459 $13,442
65,046 -- 437 4,305 58,667
(370) (629) (1,111) (429) (5,152)
(5,667) (5,835) (12,653) (7,932) (9,554)
- --------------------------------------------------------------------------------
60,898 (4,672) 27,568 28,403 57,403
1,891 7,931 16,125 (23,303) 17,911
10,727 47,138 (5,747) 1,433 16,027
- --------------------------------------------------------------------------------
$73,516 $50,397 $37,946 $6,533 $91,341
================================================================================
</TABLE>
6
<PAGE>
American Benefit Variable Annuity Account
Statements of Changes in Net Assets
Years ended December 31, 1996 and 1995
<TABLE>
<CAPTION>
Money
Market Growth
Combined Division Division
------------------------------------
<S> <C> <C> <C>
Net assets at January 1, 1995 $7,422,175 $919,755 $1,029,767
Increase (decrease) in net assets
Operations:
Net investment income (loss) 303,335 32,110 78,045
Net realized gain (loss) on investments 195,599 - 74,946
Change in net unrealized appreciation/
depreciation of investments 389,614 - 146,529
------------------------------------
Net increase (decrease) in net assets
resulting from operations 888,548 32,110 299,520
Changes from principal transactions:
Purchase payments 18,920 - 3
Contract distributions and terminations (3,276,011) (383,692) (323,389)
Transfer payments from (to) other
divisions or other contracts 62,885 (20,847) 68,543
Annuity payments and related actuarial
adjustment in reserves (4,430) - -
------------------------------------
Increase (decrease) in net assets derived
from principal transactions (3,198,636) (404,539) (254,843)
------------------------------------
Total increase (decrease) (2,310,088) (372,429) 44,677
------------------------------------
Net assets at December 31, 1995 5,112,085 547,326 1,074,444
Increase (decrease) in net assets
Operations:
Net investment income (loss) 280,104 15,680 94,824
Net realized gain (loss) on investments 173,042 - 152,487
Change in net unrealized appreciation/
depreciation of investments (35,377) - (104,955)
------------------------------------
Net increase in net assets resulting
from operations 417,769 15,680 142,356
Changes from principal transactions:
Purchase payments 8,661 57 (457)
Contract distributions and terminations (1,856,706) (128,367) (431,778)
Transfer payments from (to) other
divisions or other contracts 13,538 108,157 (106,459)
Annuity payments and related actuarial
adjustments in reserves (4,555) - -
------------------------------------
Increase (decrease) in net assets derived
from principal transactions (1,839,062) (20,153) (538,694)
------------------------------------
Total increase (decrease) (1,421,294) (4,473) (396,338)
------------------------------------
Net assets at December 31, 1996 $3,690,792 $542,853 $678,106
====================================
</TABLE>
See accompanying notes.
7
<PAGE>
<TABLE>
<CAPTION>
Growth and Global Global Strategic Fixed
Income Growth Income Income Balanced
Division Division Division Division Division
- -------------------------------------------------------------------------
<S> <C> <C> <C> <C>
$516,279 $904,338 $2,730,398 $790,428 $531,210
(14,905) (15,761) 87,014 85,352 51,480
34,665 (14,905) 93,673 (1,466) 8,686
93,976 (18,247) 72,238 39,426 55,692
- -------------------------------------------------------------------------
113,736 (48,913) 252,925 123,312 115,858
271 558 (109) 13,968 4,237
(286,755) (365,243) (1,619,918) (103,851) (193,173)
15,196 (10,637) (113,420) (94,982) 219,032
- - - (4,430) -
- -------------------------------------------------------------------------
(271,288) (375,322) (1,733,447) (189,295) 30,096
- -------------------------------------------------------------------------
(157,552) (424,235) (1,480,522) (65,983) 145,954
- -------------------------------------------------------------------------
358,727 480,103 1,249,876 724,445 677,164
60,898 (4,672) 27,568 28,403 57,403
1,891 7,931 16,125 (23,303) 17,911
10,727 47,138 (5,747) 1,433 16,027
- -------------------------------------------------------------------------
73,516 50,397 37,946 6,533 91,341
- (141) (112) 165 9,149
(1,500) (195,745) (683,794) (220,571) (194,951)
17,679 (9,238) - (741) 4,140
- - - (4,555) -
- -------------------------------------------------------------------------
16,179 (205,124) (683,906) (225,702) (181,662)
- -------------------------------------------------------------------------
89,695 (154,727) (645,960) (219,169) (90,321)
- -------------------------------------------------------------------------
$448,422 $325,376 $ 603,916 $505,276 $586,843
=========================================================================
</TABLE>
8
<PAGE>
American Benefit Variable Annuity Account
Notes to Financial Statements
December 31, 1996
1. Investment and Accounting Policies
Organization
American Benefit Variable Annuity Account (the Account) was organized by
American Benefit Life Insurance Company (the Company) (a wholly-owned subsidiary
of American Republic Insurance Company) in accordance with the provisions of New
York Insurance laws and is a part of the total operations of the Company. The
assets and liabilities of the Account are clearly identified and distinguished
from the other assets and liabilities of the Company. The Account invests solely
in specified portfolios of PaineWebber Series Trust, an open-end management
investment company under the Investment Company Act of 1940, as directed by
eligible contract owners. All series of shares are diversified except Global
Income Portfolio.
Effective January 26, 1996, the name of the Asset Allocation Division changed to
Balanced Division.
Investment Operations
Investments are stated at the closing net asset values per share on
December 31, 1996.
The average cost method is used to determine realized gains and losses.
Dividends are taken into income on an accrual basis as of the ex-dividend date.
Annuity Reserves
Currently payable annuity contract reserves are computed according to the
Individual Annuity Valuation 1983 Table using an assumed interest rate of 4.0%.
If the amount paid to the contractholder is less than originally estimated,
charges paid for mortality and expense risks are reimbursed to the Company. If
additional amounts are required, the Company reimburses the Account.
Use of Estimates
The preparation of financial statements requires management to make estimates
and assumptions that affect amounts reported in the financial statements and
accompanying notes. Such estimates and assumptions could change in the future as
more information becomes known, which could impact the amounts reported and
disclosed herein.
Reclassifications
Certain amounts appearing in the 1995 statement of changes in net assets have
been reclassified to conform with the 1996 presentation.
9
<PAGE>
American Benefit Variable Annuity Account
Notes to Financial Statements (continued)
2. Expenses
The Company is compensated for certain expenses. Mortality, distribution, and
expense risks assumed by the Company are compensated for by a charge equivalent
to an annual rate of 1.40% of the total net assets of each division. These
charges amounted to $62,248 in 1996.
An annual contract administration charge of $30 is deducted on the last
valuation date of each calendar year, upon full withdrawal of a contract's value
or upon commencement of annuity payments if such withdrawal is made or annuity
payments commence prior to the last valuation date of the year. A transfer
charge of $10 will be imposed on each transfer between divisions (portfolios) of
the account in excess of six in any one calendar year. However, the Company has
waived this charge until further notice. An early withdrawal charge may be
imposed in the event of withdrawal of any portion of the contract value or upon
annuitization. The early withdrawal charge is 5% of the amount withdrawn for
purchase payments made within six years prior to the date of withdrawal.
Purchase payments made after May 1, 1989 will have an early withdrawal charge
period of five years. A withdrawal transaction charge of $10 will be imposed on
each withdrawal in excess of three per calendar year. Total administrative
charges amounted to $8,679 in 1996.
3. Federal Income Taxes
Operations of the Account are part of the operations of the Company which is
taxed as a life insurance company under the Internal Revenue Code. Under current
law, no federal income taxes are payable with respect to operations of the
Account.
4. Purchases and Sales of Investment Securities
The aggregate cost of purchases and proceeds from sales of investments were
as follows:
<TABLE>
<CAPTION>
Year ended Year ended
December 31, 1996 December 31, 1995
--------------------------------------------------
Purchases Sales Purchases Sales
--------------------------------------------------
<S> <C> <C> <C> <C>
Portfolio:
Money Market $170,174 $ 174,647 $117,075 $ 485,616
Growth 179,351 638,928 180,809 376,317
Growth and Income 21,405 7,475 27,936 312,351
Global Growth 21,250 232,838 50,231 391,184
Global Income 109,975 697,670 68,097 1,775,555
Strategic Fixed Income 109,182 241,479 86,970 221,624
Balanced 72,691 207,643 292,353 211,298
--------------------------------------------------
$684,028 $2,200,680 $823,471 $3,773,945
==================================================
</TABLE>
10
<PAGE>
American Benefit Variable Annuity Account
Notes to Financial Statements (continued)
5. Summary of Changes from Unit Transactions
Transactions in units were as follows:
<TABLE>
<CAPTION>
Year ended Year ended
December 31, 1996 December 31, 1995
---------------------------------------------
Purchased Redeemed Purchased Redeemed
---------------------------------------------
<S> <C> <C> <C> <C>
Division:
Money Market 11,279 12,803 5,405 36,956
Growth 2,037 20,338 4,542 14,600
Growth and Income 1,360 132 2,094 28,216
Global Growth 845 13,928 9 25,779
Global Income -- 41,111 8 110,159
Strategic Fixed Income 464 15,006 1,354 13,925
Balanced 668 10,435 14,032 12,217
---------------------------------------------
16,653 113,753 27,444 241,852
=============================================
</TABLE>
6. Net Assets
Net assets at December 31, 1996 consisted of the following:
<TABLE>
<CAPTION>
Money Growth
Market Growth and Income
Combined Division Division Division
--------------------------------------------------
<S> <C> <C> <C> <C>
Unit transactions $2,365,486 $505,821 $241,749 $322,495
Accumulated net invest-
ment income 1,194,747 37,032 347,666 55,314
Net unrealized appreciation/
depreciation of invest-
ments 130,559 -- 88,691 70,613
--------------------------------------------------
$3,690,792 $542,853 $678,106 $448,422
==================================================
<CAPTION>
Global Global Strategic
Growth Income Fixed Income Balanced
Division Division Division Division
--------------------------------------------------
<S> <C> <C> <C> <C>
Unit transactions $260,856 $337,219 $362,930 $334,416
Accumulated net invest-
ment income 32,898 267,897 199,787 254,153
Net unrealized appreciation/
depreciation of invest-
ments 31,622 (1,200) (57,441) (1,726)
--------------------------------------------------
$325,376 $603,916 $505,276 $586,843
==================================================
</TABLE>
11
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 1
<NAME> AMERICAN BENEFIT LIFE VARIABLE ANNUITY ACCOUNT MONEY MARKET DIVISION
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 542,853
<INVESTMENTS-AT-VALUE> 542,853
<RECEIVABLES> 0
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 542,853
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 0
<TOTAL-LIABILITIES> 0
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 542,853
<SHARES-COMMON-STOCK> 40,793
<SHARES-COMMON-PRIOR> 21,353
<ACCUMULATED-NII-CURRENT> 37,032
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 0
<NET-ASSETS> 542,853
<DIVIDEND-INCOME> 23,771
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 8,091
<NET-INVESTMENT-INCOME> 15,680
<REALIZED-GAINS-CURRENT> 0
<APPREC-INCREASE-CURRENT> 0
<NET-CHANGE-FROM-OPS> 15,680
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 11,279
<NUMBER-OF-SHARES-REDEEMED> 12,803
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (4,473)
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 12.93
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 13.31
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 2
<NAME> AMERICAN BENEFIT LIFE VARIABLE ANNUITY ACCOUNT GROWTH DIVISION
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 481,348
<INVESTMENTS-AT-VALUE> 570,039
<RECEIVABLES> 108,067
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 678,106
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 0
<TOTAL-LIABILITIES> 0
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 678,106
<SHARES-COMMON-STOCK> 21,521
<SHARES-COMMON-PRIOR> 39,822
<ACCUMULATED-NII-CURRENT> 347,666
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 88,691
<NET-ASSETS> 678,106
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 0
<OTHER-INCOME> 108,328
<EXPENSES-NET> 13,504
<NET-INVESTMENT-INCOME> 94,824
<REALIZED-GAINS-CURRENT> 152,487
<APPREC-INCREASE-CURRENT> (104,955)
<NET-CHANGE-FROM-OPS> 142,356
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 2,037
<NUMBER-OF-SHARES-REDEEMED> 20,338
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (396,338)
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 26.98
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 31.51
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 3
<NAME> AMERICAN BENEFIT LIFE VARIABLE ANNUITY ACCOUNT GROWTH AND INCOME
DIVISION
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 310,874
<INVESTMENTS-AT-VALUE> 381,487
<RECEIVABLES> 66,935
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 448,422
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 0
<TOTAL-LIABILITIES> 0
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 448,422
<SHARES-COMMON-STOCK> 31,867
<SHARES-COMMON-PRIOR> 30,639
<ACCUMULATED-NII-CURRENT> 55,314
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 70,613
<NET-ASSETS> 448,422
<DIVIDEND-INCOME> 1,889
<INTEREST-INCOME> 0
<OTHER-INCOME> 65,046
<EXPENSES-NET> 6,037
<NET-INVESTMENT-INCOME> 60,898
<REALIZED-GAINS-CURRENT> 1,891
<APPREC-INCREASE-CURRENT> 10,727
<NET-CHANGE-FROM-OPS> 73,516
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1,360
<NUMBER-OF-SHARES-REDEEMED> 132
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 89,695
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 11.71
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 14.07
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 4
<NAME> AMERICAN BENEFIT VARIABLE ANNUITY ACCOUNT GLOBAL GROWTH DIVISION
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 291,962
<INVESTMENTS-AT-VALUE> 323,584
<RECEIVABLES> 1,792
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 325,376
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 0
<TOTAL-LIABILITIES> 0
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 325,376
<SHARES-COMMON-STOCK> 19,383
<SHARES-COMMON-PRIOR> 32,446
<ACCUMULATED-NII-CURRENT> 32,898
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 31,622
<NET-ASSETS> 325,376
<DIVIDEND-INCOME> 1,792
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 6,464
<NET-INVESTMENT-INCOME> (4,672)
<REALIZED-GAINS-CURRENT> 7,931
<APPREC-INCREASE-CURRENT> 47,138
<NET-CHANGE-FROM-OPS> 50,397
<EQUALIZATION> 0
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<NUMBER-OF-SHARES-SOLD> 845
<NUMBER-OF-SHARES-REDEEMED> 13,928
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (154,727)
<ACCUMULATED-NII-PRIOR> 0
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</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 5
<NAME> AMERICAN BENEFIT VARIABLE ANNUITY ACCOUNT GLOBAL INCOME DIVISION
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 566,417
<INVESTMENTS-AT-VALUE> 565,217
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<PAID-IN-CAPITAL-COMMON> 603,916
<SHARES-COMMON-STOCK> 35,003
<SHARES-COMMON-PRIOR> 76,114
<ACCUMULATED-NII-CURRENT> 267,897
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (1,200)
<NET-ASSETS> 603,916
<DIVIDEND-INCOME> 40,895
<INTEREST-INCOME> 0
<OTHER-INCOME> 437
<EXPENSES-NET> 13,764
<NET-INVESTMENT-INCOME> 27,568
<REALIZED-GAINS-CURRENT> 16,125
<APPREC-INCREASE-CURRENT> (5,747)
<NET-CHANGE-FROM-OPS> 37,946
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 41,111
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (645,960)
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
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<GROSS-EXPENSE> 0
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<PER-SHARE-NAV-BEGIN> 16.42
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<PER-SHARE-NAV-END> 17.25
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<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 6
<NAME> AMERICAN BENEFIT VARIABLE ANNUITY ANNUAL ACCOUNT STRATEGIC FIXED
INCOME DIVISION
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 530,258
<INVESTMENTS-AT-VALUE> 472,817
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<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 505,276
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<PAID-IN-CAPITAL-COMMON> 505,276
<SHARES-COMMON-STOCK> 30,033
<SHARES-COMMON-PRIOR> 44,575
<ACCUMULATED-NII-CURRENT> 199,787
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (57,441)
<NET-ASSETS> 505,276
<DIVIDEND-INCOME> 32,459
<INTEREST-INCOME> 0
<OTHER-INCOME> 4,305
<EXPENSES-NET> 8,361
<NET-INVESTMENT-INCOME> 28,403
<REALIZED-GAINS-CURRENT> (23,303)
<APPREC-INCREASE-CURRENT> 1,433
<NET-CHANGE-FROM-OPS> 6,533
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 464
<NUMBER-OF-SHARES-REDEEMED> 15,006
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (219,169)
<ACCUMULATED-NII-PRIOR> 0
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<PER-SHARE-NAV-BEGIN> 15.53
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<PER-SHARE-NAV-END> 15.88
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</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 6
<SERIES>
<NUMBER> 7
<NAME> AMERICAN BENEFIT VARIABLE ANNUITY ACCOUNT BALANCED DIVISION<F1>
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> DEC-31-1996
<INVESTMENTS-AT-COST> 516,460
<INVESTMENTS-AT-VALUE> 514,734
<RECEIVABLES> 72,109
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 586,843
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 0
<TOTAL-LIABILITIES> 0
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 586,843
<SHARES-COMMON-STOCK> 29,895
<SHARES-COMMON-PRIOR> 39,662
<ACCUMULATED-NII-CURRENT> 254,153
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (1,726)
<NET-ASSETS> 586,843
<DIVIDEND-INCOME> 13,442
<INTEREST-INCOME> 0
<OTHER-INCOME> 58,667
<EXPENSES-NET> 14,706
<NET-INVESTMENT-INCOME> 57,403
<REALIZED-GAINS-CURRENT> 17,911
<APPREC-INCREASE-CURRENT> 16,027
<NET-CHANGE-FROM-OPS> 91,341
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 668
<NUMBER-OF-SHARES-REDEEMED> 10,435
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (90,321)
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 17.07
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
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<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 19.63
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
<FN>
<F1> DIVISION WAS FORMERLY NAMED ASSET ALLOCATION DIVISION
</FN>
</TABLE>
