INTRAMERICA VARIABLE ANNUITY ACCOUNT
497, 1999-09-01
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                              Scudder Horizon Plan

                                   Offered by

                       Intramerica Life Insurance Company
                                   through the
                      Intramerica Variable Annuity Account

                        Supplement Dated August 20, 1999
                                     to the
                          Prospectus Dated May 1, 1999

         On July 1, 1999 Allstate Life Insurance  Company  announced that it had
purchased Intramerica Life Insurance Company from Leucadia National Corporation.
As a result of this  transaction,  we have made the  following  changes  to your
prospectus:

On page 10, the last  sentence of the fourth  paragraph and the entire fifth and
sixth paragraphs have been deleted and replaced with:

         On July 1,  1999  Intramerica  became  a  wholly  owned  subsidiary  of
         Allstate Life Insurance  Company  ("Allstate"),  a stock life insurance
         company  incorporated  under  the  laws of  Illinois.  Intramerica  was
         previously a wholly owned subsidiary of Leucadia  National  Corporation
         ("Leucadia").  Allstate  is  a  wholly  owned  subsidiary  of  Allstate
         Insurance  Company,  a  stock   property-liability   insurance  company
         incorporated under the laws of Illinois.  The Allstate Corporation owns
         all of the outstanding capital stock of Allstate Insurance Company.

                                                       * * *

                This Supplement must be read in conjunction with
                               the Prospectus for
           the Intramerica Variable Annuity Account dated May 1, 1999



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