TEXT-Fitch: Kemper Corp ratings unaffected Kemper Direct action

July 20 - Kemper Corporation's (Kemper) announcement to place
Kemper Direct into runoff does not affect the company's ratings, according to
Fitch Ratings. On July 19, 2012, Kemper announced that it will cease direct
marketing activities for Kemper Direct and that it is reviewing strategic
options.

Fitch views this decision favorably, as Kemper Direct has been a drag on
earnings for several years. Underwriting actions, including state targeted
non-renewals and rate increases, have proven inadequate to recoup new business
acquisition costs. The large cost structure of an online operation makes it a
scale business and the market remains dominated by larger players with greater
scale.

Kemper's remaining property/casualty segments generate better underwriting
results than the direct segment, but remain subject to the volatility of
catastrophe losses. The company estimates that second quarter earnings will
include approximately $55 million in pre-tax catastrophe losses, which Fitch
believes to be in line with peers.

Kemper's Life and Health segment continues to generate stable earnings. Fitch
continues to view Kemper as adequately capitalized with modest financial
leverage.

Fitch currently rates the following with a Stable Outlook:

Kemper:
--IDR at 'BBB';
--$610 million senior notes at 'BBB-';
--$325 million credit facility at 'BBB-'.

Trinity Universal Insurance Co.
United Insurance Co. of America
Union National Life Insurance Co.
Reliable Life Insurance Co.:
--Insurer Financial Strength rating at 'A-'.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria & Related Research:
--'Insurance Rating Methodology' (Sept. 22, 2011).

Applicable Criteria and Related Research:
Insurance Rating Methodology

(New York Ratings Team)