Horace Mann Rollout of New Auto Policy Statements Offers Multiple Advantages for Agents and Policyholders

New format features Targeted Messaging, Image and Information Enhancements

KANSAS CITY, MO, JUNE 6, 2005 — To improve customer communications and foster agent/policyholder relations, Horace Mann Educators Corporation (NYSE:HMN) turned to DST Output to provide an innovative solution for its automobile insurance business. The result is a clear and easy-to-understand policy statement that also enables targeted, personalized messaging.

“Our customers will see a much improved statement for their auto insurance coverage from Horace Mann,” said Jim Yale, vice president of Horace Mann’s Client Relationship and Services. “This is an exciting achievement for us, and both our agents and customers will have immediate benefits from the new statement design and format.”

The first auto insurance statements were successfully processed and produced at DST Output’s Kansas City operation center last month. DST Output’s daily billing cycles eliminate overlaps and confusing communications that result from policy changes, amended declarations and customer notices.

The rollout marks a key milestone in DST Output’s five-year relationship with Horace Mann, demonstrating its readiness and ability to process, print and deliver multiple materials to Horace Mann’s auto insurance customers. These include statements as well as new business packets, renewals, lapses, cancels, change notices and on-request ID cards and declarations. DST Output has previously demonstrated its client commitment and capabilities with Horace Mann’s annuity statement processing and presentment.

“This is an exciting time for Horace Mann and DST Output,” said Bob Aletano, vice president, client services and systems for DST Output. “Together we’ve worked to identify objectives, data requirements and optimal solution features as well as success factors to take Horace Mann easily toward the next step—in this part of its business and into other product lines. There are more good things to come from this relationship.”

About The Horace Mann Companies

Horace Mann -- the largest national multiline insurance company focusing on educators' financial needs – provides auto and homeowners insurance, retirement annuities, life insurance and other financial solutions. Founded by educators for educators in 1945, the company is headquartered in Springfield , Ill. For more information visit www.horacemann.com.

About DST Output

DST Output, a wholly owned subsidiary of DST Systems, Inc., provides integrated print and electronic communications for the banking, br okerage, communications, healthcare, insurance, and mutual fund industries. As the largest third-party First Class mailer in the United States , DST Output produces more than 1.9 billion customer communications a year from its state-of-the-art facilities in North America .

IndustryWeek magazine included the El Dorado Hills operation center in its list of “Top Ten Best Plants in North America ” in 2002. In November, the same facility received certification for Mail Preparation Total Quality Management (MPTQM) from the U.S. Postal Service (USPS) and is designated as a distinguished Quality Mailing Partner of the USPS.

For more information visit www.dstoutput.com and www.dstoutput.com/industries/insurance/index.html.