EXHIBIT 12. COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

(Dollars in Thousands)
Years ended December 31	2008			2007		2006		2005		2004
Earnings:
Income before income taxes	$	(31,829	)	$	159,334	$	125,492	$	6,556	$	114,809
Add: fixed charges		44,994			44,046		50,102		55,639		56,837
Total earnings	$	9,165		$	203,380	$	175,594	$	62,195	$	171,646
Fixed charges:
Interest on policyholders’ accounts	$	40,177		$	43,089	$	49,159	$	54,727	$	56,386
Portion of rent representative of interest factor		817			957		943		912		451
Total fixed charges	$	40,994		$	44,046	$	50,102	$	55,639	$	56,837
Preferred stock dividend requirement	$	—		$	—	$	—	$	906	$	4,399
Combined fixed charges and preferred stock dividend requirements	$	40,994		$	44,046	$	50,102	$	56,545	$	61,236
Ratio of earnings to fixed charges		0.22			4.62		3.50		1.12		3.02
Ratio of earnings to combined fixed charges and preferred stock dividend requirements		0.22			4.62		3.50		1.10		2.80