UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 10-Q

    Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act
                                     of 1934

(Mark one)

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

                  For the quarterly period ended March 31, 2003

                                       OR

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

For the transition period from                                     to

                         Commission file number 33-28976

                           IDS LIFE INSURANCE COMPANY
          ------------------------------------------------------------
             (Exact name of registrant as specified in its charter)

                   MINNESOTA                           41-0823832
      ---------------------------------           -----------------------
      (State or other jurisdiction of              (I.R.S. Employer
       incorporation or organization)              Identification No.)

227 AXP FINANCIAL CENTER, MINNEAPOLIS, MINNESOTA             55474
------------------------------------------------          ----------
  (Address of principal executive offices)                (Zip Code)

(Registrant's telephone number, including area code) (612) 671-3131
                                                     --------------

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.                      Yes ___X___  No _______

Indicate  by check mark  whether  the  registrant  is an  accelerated  filer (as
defined in Rule 12b-2 of the Exchange Act).             Yes _______  No ___X___

THE REGISTRANT MEETS THE CONDITIONS SET FORTH IN GENERAL INSTRUCTIONS H(1)(a)
AND (b) OF FORM 10-Q AND IS THEREFORE FILING THIS FORM WITH THE PERMITTED
ABBREVIATED NARRATIVE DISCLOSURE.

                                      -1-
<PAGE>

                           IDS LIFE INSURANCE COMPANY

                                    FORM 10-Q

                      For the Quarter Ended March 31, 2003

                                Table of Contents

PART I - FINANCIAL INFORMATION                                           Page

         Item 1. Financial Statements

                 Consolidated Balance Sheets as of
                 March 31, 2003 (unaudited) and
                 December 31, 2002                                       3 - 4

                 Consolidated Statements of Income for the
                 three months ended March 31, 2003
                 and 2002 (unaudited)                                    5

                 Consolidated Statements of Cash Flows for the
                 three months ended March 31, 2003 and 2002
                 (unaudited)                                             6 - 7

                 Notes to Consolidated Financial Statements
                 (unaudited)                                             8 - 11

         Item 2. Management's Discussion and Analysis of
                 Financial Condition and Results of Operations           12 - 17

         Item 4. Controls and Procedures                                 18

PART II - OTHER INFORMATION                                              19 - 23

SIGNATURES                                                               24

EXHIBITS                                                                 25 - 30

                                       -2-
<PAGE>

PART I.  FINANCIAL INFORMATION
ITEM 1.  FINANCIAL STATEMENTS

<TABLE>
<CAPTION>
                                   IDS LIFE INSURANCE COMPANY
                                   CONSOLIDATED BALANCE SHEETS
                                         (In thousands)

                                                                March 31,           December 31,
                                                                   2003                 2002
                                                              ---------------      ---------------
ASSETS                                                         (unaudited)

Investments:
    Available-for-sale:
       Fixed maturity investments, at fair value (Amortized
<S>                                                             <C>                    <C>
       cost: 2003, $25,268,162; 2002, $23,209,226)              $26,156,174            $24,052,104
       Common stocks, at fair value (Cost: 2003,
               $19; 2002, $19)                                           21                     21
    Mortgage loans on real estate                                 3,345,539              3,417,651
    Policy loans                                                    581,648                597,144
    Other investments                                               978,898                752,558
                                                                -----------            -----------
                  Total investments                              31,062,280             28,819,478

Cash and cash equivalents                                           419,687              4,424,061
Amounts recoverable from reinsurers                                 660,577                633,510
Amounts due from brokers                                          1,301,169                 25,835
Other accounts receivable                                            48,911                 56,245
Accrued investment income                                           280,245                271,261
Deferred policy acquisition costs                                 3,371,291              3,309,783
Other assets                                                        116,659                117,788
Separate account assets                                          21,262,333             21,980,674
                                                                -----------            -----------

                  Total assets                                  $58,523,152            $59,638,635
                                                                ===========            ===========
</TABLE>


          See accompanying notes to consolidated financial statements.

                                       -3-
<PAGE>

<TABLE>
<CAPTION>
                                      IDS LIFE INSURANCE COMPANY
                                     CONSOLIDATED BALANCE SHEETS
                                 (In thousands, except share amounts)
                                             (continued)

                                                                  March 31,             December 31,
                                                                     2003                   2002
                                                               -----------------      -----------------
LIABILITIES AND STOCKHOLDER'S EQUITY                               (unaudited)

Liabilities:
    Future policy benefits:
<S>                                                                 <C>                    <C>
       Fixed annuities                                              $24,629,156            $23,411,314
       Universal life-type insurance                                  3,539,969              3,515,010
       Traditional life insurance                                       251,369                247,441
       Disability income and
           long-term care insurance                                   1,520,294              1,466,171
    Policy claims and other
       policyholders' funds                                              79,432                 85,400
    Amounts due to brokers                                            1,556,805              3,342,989
    Deferred income taxes                                               203,688                182,059
    Other liabilities                                                   415,473                463,326
    Separate account liabilities                                     21,262,333             21,980,674
                                                               -----------------      -----------------

                      Total liabilities                              53,458,519             54,694,384
                                                               -----------------      -----------------
Stockholder's equity:
    Capital stock, $30 par value per share;
       100,000 shares authorized, issued and outstanding                  3,000                  3,000
    Additional paid-in capital                                        1,088,327              1,088,327
    Accumulated other comprehensive income, net of tax:
        Net unrealized securities gains                                 524,118               497,319
        Net unrealized derivative gains                                   1,705                    764
                                                               -----------------      -----------------
            Total accumulated other comprehensive income                525,823                498,083

    Retained earnings                                                 3,447,483              3,354,841
                                                               -----------------      -----------------

                      Total stockholder's equity                      5,064,633              4,944,251
                                                               -----------------      -----------------

Total liabilities and stockholder's equity                          $58,523,152            $59,638,635
                                                               =================      =================
</TABLE>

          See accompanying notes to consolidated financial statements.

                                      -4-
<PAGE>

<TABLE>
<CAPTION>
                          IDS LIFE INSURANCE COMPANY

                        CONSOLIDATED STATEMENTS OF INCOME

                                 (In thousands)

                                   (unaudited)
                                                                                        Three months ended
                                                                                             March 31,
                                                                                 2003                     2002
                                                                            -------------             ------------
Revenues:
    Premiums:
<S>                                                                             <C>                       <C>
       Traditional life insurance                                               $15,612                   $15,912
       Disability income and
         long-term care insurance                                                69,191                    65,385
                                                                            -------------             ------------
                                   Total premiums                                84,803                    81,297

    Policyholder and contractholder charges                                     128,899                   125,051
    Management and other fees                                                    87,055                   111,170
    Net investment income                                                       396,127                   399,901
    Net realized loss on investments                                             22,119                    (4,724)
                                                                            -------------             ------------
                                   Total revenues                               719,003                   712,695
                                                                            -------------             ------------
Benefits and expenses:
    Death and other benefits:
       Traditional life insurance                                                10,432                     7,195
       Universal life-type insurance
             and investment contracts                                            56,260                    46,391
       Disability income and
             long-term care insurance                                            13,706                    12,168
    Increase in liabilities for
       future policy benefits:
             Traditional life insurance                                           2,022                     1,789
             Disability income and
                long-term care insurance                                         30,517                    29,074
    Interest credited on universal life-type
       insurance and investment contracts                                       299,095                   279,280
    Amortization of deferred policy
       acquisition costs                                                         75,400                    75,172
    Other insurance and operating expenses                                      115,877                    94,730
                                                                            -------------             ------------
                                   Total benefits and expenses                  603,309                   545,799
                                                                            -------------             ------------

Income (loss) before income tax expense (benefit)                               115,694                   166,896

Income tax expense (benefit)                                                     19,506                    38,666
                                                                            -------------             ------------

Net income (loss)                                                               $96,188                  $128,230
                                                                            =============             ============
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       -5-
<PAGE>

<TABLE>
<CAPTION>
                                    IDS LIFE INSURANCE COMPANY
                               CONSOLIDATED STATEMENTS OF CASH FLOWS
                                          (In thousands)
                                            (unaudited)
                                                                   Three months ended
                                                                        March 31,
                                                                   2003            2002
                                                               -----------      ----------
Cash flows from operating activities:
<S>                                                              <C>             <C>
    Net income                                                    $96,188        $128,230
    Adjustments to reconcile net income to
       net cash (used in) provided by operating activities:
             Policy loans, excluding universal
                life-type insurance:
                  Issuance                                         (7,662)         (8,431)
                  Repayment                                        11,223          12,139
             Change in amounts recoverable from reinsurers        (27,067)        (30,912)
             Change in other accounts receivable                    7,334         (21,711)
             Change in accrued investment income                   (5,635)         35,205
             Change in deferred policy
                acquisition costs, net                            (63,487)        (58,053)
             Change in liabilities for future policy
                benefits for traditional life,
                disability income and
                long-term care insurance                           58,051          60,421
             Change in policy claims and other
                policyholders' funds                               (5,968)         27,075
             Deferred income taxes                                  6,647          19,854
             Change in other assets                                 1,127             363
             Change in other liabilities                          (47,853)        (13,312)
             Amortization of premium, net                          45,308           1,266
             Net realized (gain) loss on investments              (22,119)          4,724
             Contractholder charges, non-cash                     (60,358)        (56,306)
             Other, net                                            (8,743)        (13,703)
                                                              ------------      ----------
                Net cash (used in) provided by operating
                activities                                       $(23,014)        $86,849
                                                              -------------     ----------
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       -6-
<PAGE>

<TABLE>
<CAPTION>
                                      IDS LIFE INSURANCE COMPANY
                                CONSOLIDATED STATEMENTS OF CASH FLOWS
                                            (In thousands)
                                             (unaudited)
                                             (continued)

                                                                         Three months ended
                                                                             March 31,
                                                                     2003                    2002
                                                              ----------------       ------------------
Cash flows from investing activities:
    Available-for-sale investments:
<S>                                                               <C>                    <C>
       Purchases                                                  $(7,796,926)           $(3,031,142)
       Maturities, sinking fund payments and calls                  1,067,997                859,125
       Sales                                                        4,670,855              2,029,299
    Other investments, excluding policy loans:
       Purchases                                                     (310,575)              (151,296)
       Sales                                                          139,734                138,556
    Change in amounts due from broker                              (1,275,334)                46,804
    Change in amounts due to broker                                (1,786,184)            (1,138,054)
                                                              ----------------      -----------------
       Net cash used in investing activities                       (5,290,433)            (1,246,708)
                                                              ----------------       ----------------
Cash flows from financing activities:
    Activity related to universal life-type insurance
     and investment contracts:
       Considerations received                                      1,301,427                663,318
       Surrenders and death benefits                                 (297,364)              (563,078)
       Interest credited to account balances                          299,094                279,280
    Universal life-type insurance policy loans:
       Issuance                                                       (19,227)               (18,069)
       Repayment                                                       25,143                 29,388
                                                              ----------------      -----------------
         Net cash provided by financing activities                  1,309,073                390,839
                                                              ----------------      -----------------

Net decrease in cash and cash equivalents                          (4,004,374)              (769,020)

Cash and cash equivalents at beginning of period                    4,424,061              1,150,251
                                                              ----------------      -----------------

Cash and cash equivalents at end of period                        $   419,687            $   381,231
                                                              ================      =================
</TABLE>

          See accompanying notes to consolidated financial statements.


                                       -7-
<PAGE>

                           IDS LIFE INSURANCE COMPANY
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                 (In thousands)
                                   (unaudited)

1.       Basis of Presentation

         The accompanying Consolidated Financial Statements should be read in
         conjunction with the financial statements in the Annual Report on Form
         10-K of IDS Life Insurance Company (the Company) for the year ended
         December 31, 2002. Certain reclassifications of prior period amounts
         have been made to conform to the current presentation.

         The interim financial information in this report has not been audited.
         In the opinion of management, all adjustments necessary for a fair
         presentation of the consolidated financial position and the
         consolidated results of operations for the interim periods have been
         made. All adjustments made were of a normal, recurring nature. Results
         of operations reported for interim periods are not necessarily
         indicative of results for the entire year.

         Recently Issued Accounting Standards

         In January 2003, the FASB issued Interpretation No. 46, "Consolidation
         of Variable Interest Entities" (FIN 46), which addresses consolidation
         by business enterprises of variable interest entities (VIEs). The
         accounting provisions and expanded disclosure requirements for VIEs are
         effective at inception for VIEs created after January 31, 2003, and are
         effective for reporting periods beginning after June 15, 2003, for VIEs
         created prior to February 1, 2003. An entity is subject to
         consolidation according to the provisions of FIN 46, if, by design,
         either (i) the total equity investment at risk is not sufficient to
         permit the entity to finance its activities without additional
         subordinated financial support from other parties, or (ii) as a group,
         the holders of the equity investment at risk lack: (a) direct or
         indirect ability to make decisions about an entity's activities; (b)
         the obligation to absorb the expected losses of the entity if they
         occur; or (c) the right to receive the expected residual return of the
         entity if they occur. In general, FIN 46 will require a VIE to be
         consolidated when an enterprise has a variable interest that will
         absorb a majority of the VIE's expected losses or receive a majority of
         the VIE's expected residual return.

         Implementation  had no effect on results of  operations  for the first
         quarter of 2003.  It is likely that the Company will  consolidate  and
         disclose  additional  information about VIEs when FIN 46 becomes fully
         effective  in the  third  quarter  of  2003.  The  entities  primarily
         impacted  by  FIN  46  relate  to  structured  investments,  including
         collateralized debt obligations (CDOs) and secured loan trusts (SLTs),
         which are owned by the Company.

                                       -8-
<PAGE>

                           IDS LIFE INSURANCE COMPANY
             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
                                 (In thousands)
                                   (unaudited)

1.       Basis of Presentation (continued)

         The CDO entities contain debt issued to investors which is
         non-recourse to the Company and solely supported by portfolios of
         high-yield bonds and loans. From time-to-time the Company invests in
         the residual and rated debt tranches of the CDO structures that are
         either managed by a related party or a third-party. The SLTs provide
         returns to investors primarily based on the performance of an
         underlying portfolio of high-yield loans which are managed by a
         related party. The aggregate fair value of bonds and loans related to
         structures owned by the Company and managed by a related party
         approximates $4.8 billion at March 31, 2003.

         The  potential  consolidation  of these and other  VIE  entities  will
         likely result in a cumulative  effect of  accounting  change that will
         reduce  reported net income at full  adoption in the third  quarter of
         2003 to the extent that newly  consolidated  liabilities  exceed newly
         consolidated  assets.  FIN 46  will  likely  also  impact  results  of
         operations each reporting period thereafter.  Take together,  over the
         lives of the structures subject to FIN 46 through their maturity,  the
         Company's maximum  cumulative  exposure to pre-tax loss as a result of
         its investment in these entities is represented by the carrying values
         at March 31, 2003. These carrying values include CDO residual tranches
         having an adjusted cost basis of $6,307 and SLTs having an adjusted
         cost  basis of  $649,589  (see the  Company's  Liquidity  and  Capital
         Resources  section  of the  Management's Discussion  and  Analysis  for
         further  discussion of all the Company's  CDO and SLT  holdings).  The
         application  of FIN 46 for CDOs and SLTs will have no cash flow effect
         on the Company.

         The Company continues to evaluate other relationships and interests in
         entities that may be considered VIEs, including affordable housing
         investments. The impact of adopting FIN 46 on the Consolidated
         Financial Statements is still being reviewed.

2.       Investment Securities

         Gross realized gains on sales of securities classified as
         Available-for-Sale, using the specific identification method, were
         $138,057 and $36,831 for the three months ended March 31, 2003 and
         2002, respectively. Gross realized losses on sales of securities
         classified as Available-for-Sale were ($46,570) and ($26,370) for the
         same periods. The Company also recognized other-than-temporary
         impairment losses on Available-for-Sale securities of ($68,101) and
         ($3,891) for the three months ended March 31, 2003 and 2002,
         respectively.



                                       -9-
<PAGE>

                           IDS LIFE INSURANCE COMPANY
             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
                                 (In thousands)
                                   (unaudited)

3.       Comprehensive Income

         Comprehensive income is defined as the aggregate change in
         stockholders' equity, excluding changes in ownership interests. It is
         the sum of net income and changes in unrealized gains or losses on
         available-for-sale securities and unrealized gains or losses on
         derivatives.

         Total comprehensive income was $123,928 and for the three months ended
         March 31, 2003 compared to a total comprehensive net loss of $5,135 for
         the three months ended March 31, 2002. The difference between net
         income and total comprehensive income for the three months ended March
         31, 2003 and 2002 is primarily the result of net unrealized gains and
         losses on available-for-sale securities that arose during the periods.

4.       Taxes and Interest

         Cash paid for income taxes totaled $43,731and $50,329 for the three
         months ended March 31, 2003 and 2002, respectively. Cash paid for
         interest on borrowings totaled $785 and $3,031 for the three months
         ended March 31, 2003 and 2002, respectively.

5.       Commitments and contingencies

         Commitments to fund mortgage loan investments in the ordinary course of
         business at March 31, 2003 aggregated $48,400.

         The maximum amount of life insurance risk retained by the Company is
         $750 on any policy insuring a single life and $1,500 on any policy
         insuring a joint-life combination. The Company generally retains 10% of
         the mortality risk on new life insurance policies. Risk not retained is
         reinsured with other life insurance companies. Risk on universal life
         and variable universal life policies is reinsured on a yearly renewable
         term basis. Risk on term insurance and long-term care policies is
         reinsured on a coinsurance basis. The Company retains all accidental
         death benefit, disability income and waiver of premium risk.

         The Company is a party to litigation and arbitration proceedings in the
         ordinary course of its business. The outcome of any litigation or
         threatened litigation cannot be predicted with any certainty. However,
         in the aggregate, the Company does not consider any lawsuits in which
         it is named as a defendant to have a material impact on the Company's
         financial position or operating results.

                                      -10-
<PAGE>

                           IDS LIFE INSURANCE COMPANY
             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
                                 (In thousands)
                                   (unaudited)

5.       Commitments and contingencies (continued)

         The majority of the variable annuity contracts offered by the Company
         contain guaranteed minimum death benefit (GMDB) provisions. The
         standard guaranteed minimum death benefit in the current "flagship"
         annuity offered by the Company, American Express Retirement Advisor
         Advantage Variable Annuity, provides that if the contract owner and
         annuitant are age 80 or younger on the date of death, the beneficiary
         will receive the greatest of (i) the contract value on the date of
         death, (ii) purchase payments minus adjusted partial surrenders, or
         (iii) the contract value as of the most recent sixth contract
         anniversary, plus purchase payment and minus adjusted partial
         surrenders since that anniversary.

         To the extent that the guaranteed minimum death benefit is higher than
         the current account value at the time of death, a cost is incurred by
         the issuer of the policy. Current accounting literature does not
         prescribe advance recognition of the projected future net costs
         associated with these guarantees, and accordingly, the Company
         currently does not record a liability corresponding to these future
         obligations for death benefits in excess of annuity account value. At
         present, the amount paid in excess of contract value is expensed when
         payable. Amounts expensed for the three months ended March 31, 2003 and
         2002, were $12 million and $6 million, respectively. The Company also
         issues certain variable annuity contracts that contain a guaranteed
         minimum income benefit (GMIB) feature which, if elected by the contract
         owner and after a stipulated waiting period from contract issuance,
         guarantees a minimum lifetime annuity based on predetermined annuity
         purchase rates. To date, the Company has not expensed any amount
         related to GMIBs. Management believes that an anticipated American
         Institute of Certified Public Accountants (AICPA) Statement of
         Position, "Accounting and Reporting by Insurance Enterprises for
         Certain Nontraditional Long-Duration Contracts and for Separate
         Accounts" (the "SOP"), would require the recording of a liability for
         the expected net costs associated with these guarantees under certain
         circumstances. The impact of the SOP, which is currently projected to
         be finalized in the second quarter of 2003, is currently being
         evaluated.

         The Company's life and annuity products all have minimum interest rate
         guarantees in their fixed accounts. These guarantees range from 3% to
         5%. To the extent interest rates decline below the minimum, the
         Company's spread would be negatively affected.

         The IRS routinely examines the Company's federal income tax returns and
         is currently conducting an audit for the 1993 through 1996 tax years.
         Management does not believe there will be a material adverse effect on
         the Company's consolidated financial position as a result of these
         audits.

                                      -11-
<PAGE>

         ITEM 2.  MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL  CONDITION
         AND RESULTS OF OPERATIONS

         IDS Life Insurance Company ("the Company") is a stock life insurance
         company organized under the laws of the State of Minnesota. The Company
         is a wholly owned subsidiary of American Express Financial Corporation
         ("AEFC") and serves all states except New York. AEFC is a wholly-owned
         subsidiary of American Express Company. The Company distributes its
         fixed and variable insurance and annuities products exclusively through
         the American Express Financial Advisors' ("AEFA") retail sales force.
         The Company has four wholly owned subsidiaries that distribute their
         products through the various AEFA distribution channels. IDS Life
         Insurance Company of New York ("IDS Life of New York") is a wholly
         owned subsidiary of the Company and serves New York State residents.
         IDS Life of New York distributes its fixed and variable insurance and
         annuity products exclusively through AEFA's retail sales force. The
         Company also owns American Enterprise Life Insurance Company ("American
         Enterprise Life"), an Indiana corporation, which primarily issues fixed
         and variable annuity contracts for sale through non-affiliated
         representatives and agents of third party distributors. American
         Centurion Life Assurance Company ("American Centurion Life") is also a
         subsidiary of the Company. American Centurion Life offers fixed and
         variable annuities to American Express(R) Cardmembers and others in New
         York, as well as fixed and variable annuities for sale through
         non-affiliated representatives and agents of third party distributors,
         in New York. The Company owns American Partners Life Insurance Company
         ("American Partners Life"), an Arizona corporation which offers fixed
         and variable annuity contracts to American Express(R) Cardmembers and
         others who reside in states other than New York. The Company also owns
         IDS REO 1, LLC, IDS REO 2, LLC and American Express Corporation. These
         subsidiaries hold real estate, mortgage loans on real estate and/or
         affordable housing investments.

         The Company follows accounting principles generally accepted in the
         United States (GAAP).

         Results of  Operations  for the Three  Months Ended March 31, 2003 and
         2002

         Net income was $96 million for the three months ended March 31, 2003,
         compared to $128 million in 2002. The decrease in net income was
         primarily due to increases in benefit expenses, including guaranteed
         minimum death benefits (GMDB), interest credited to universal life-type
         insurance and investment contracts and increased other insurance and
         operating expenses. The net realized gain on investments was partially
         offset by lower management and other fees, which primarily reflects
         continued weakness in equity markets, which contributed to lower
         separate account asset balances in 2003.

         Premiums and investment  contract  deposits  increased to $2.1 billion
         for the three months  ended March 31,  2003,  compared to $1.5 billion
         for the three  months  ended March 31,  2002.  This growth is due to a
         significant  increase  in  annuity  sales,  both  fixed and  variable,
         particularly  in the fixed account  portion of the Company's  variable
         annuities.

                                      -12-
<PAGE>

         Management  and other  fees  decreased  to $87  million  for the three
         months ended March 31, 2003  compared  with $111 million for the three
         months ended March 31, 2002.  This was  primarily due to a decrease in
         average  value  of  separate  account  assets  outstanding,  resulting
         primarily  from  continued  weakness  in equity  markets.  The Company
         provides investment  management services for many of the mutual funds,
         which  are used as  investment  options  for  variable  annuities  and
         variable  life  insurance.  The Company also  receives a mortality and
         expense risk fee from the separate accounts based on asset levels.

         Net investment income decreased slightly to $396 million for the three
         months ended March 31, 2003 compared to $400 million for the three
         months ended March 31, 2002. This decrease was primarily due to lower
         portfolio yields in 2003.

         Net realized gain (loss) on investments was $22 million for the three
         months ended March 31, 2003 compared to ($5 million) for the three
         months ended March 31, 2002. For the quarter ended March 31, 2003, $138
         million of total investment gains, primarily resulting from sales of
         mortgage-backed securities where the Company repositioned its portfolio
         to improve its prepayment risk profile, were partially offset by $115
         million of impairments and losses, the majority of which were
         airline-related exposures. Included in these total investment gains and
         losses are $138 million of gross realized gains and $47 million of
         gross realized losses from sales of securities, as well as $68 million
         of other-than-temporary investment impairment losses, classified as
         Available-for-Sale.

         Total benefits and expenses were $603 million for the three months
         ended March 31, 2003, an increase of 11 percent from the same period in
         2002. The largest component of benefits and expenses, interest credited
         on universal life-type insurance and investment contracts, increased 7
         percent to $299 million. This was primarily due to increased interest
         credited to annuity products due to higher accumulation values in
         force, partially offset by lower crediting rates. Total death and other
         benefits increased $15 million. This increase is primarily due to
         unfavorable death claim experience and higher guaranteed minimum death
         benefit expenses.

         Amortization of deferred policy acquisition costs (DAC) remained
         unchanged at $75 million for the three months ended March 31, 2003 and
         2002.

         Other insurance and operating expenses increased 22 percent, primarily
         due to the impact of fewer capitalized costs, which are the result of
         the comprehensive review of the DAC-related practices completed during
         the third quarter of 2002.

         Deferred Policy Acquisition Costs

         The costs of acquiring new business, including for example, direct
         sales commissions, related sales incentive bonuses and awards,
         underwriting costs, policy issue costs and other related costs, have
         been deferred on the sale of insurance and annuity contracts. The
         deferred policy acquisition costs (DAC) for

                                      -13-
<PAGE>

         universal  life and  variable  universal  life  insurance  and certain
         installment  annuities  are amortized as a percentage of the estimated
         gross profits  expected to be realized on the policies.  DAC for other
         annuities are amortized  using the interest  method.  For  traditional
         life,  disability  income and long-term care insurance  policies,  the
         costs are amortized in proportion to premium revenue.

         Amortization of DAC requires the use of certain assumptions including
         interest margins, mortality rates, persistency rates, maintenance
         expense levels and customer asset value growth rates for variable
         products. The customer asset value growth rate is the rate at which
         contract values are assumed to appreciate in the future. This rate is
         net of asset fees, and anticipates a blend of equity and fixed income
         investments. Management routinely monitors a wide variety of trends in
         the business, including comparisons of actual and assumed experience.
         Management reviews and, where appropriate, adjusts its assumptions with
         respect to customer asset value growth rates on a quarterly basis.

         Management monitors other principal DAC assumptions, such as
         persistency rates, mortality rate, interest margin and maintenance
         expense level assumptions each quarter. Unless management identifies a
         material deviation over the course of the quarterly monitoring,
         management reviews and updates these DAC assumptions annually in the
         third quarter of each year.

         When assumptions are changed, the percentage of estimated gross profits
         or portion of interest margins used to amortize DAC may also change. A
         change in the required amortization percentage is applied
         retrospectively; an increase in amortization percentage will result in
         an acceleration of DAC amortization while a decrease in amortization
         percentage will result in a deceleration of DAC amortization. The
         impact on results of operations of changing assumptions with respect to
         the amortization of DAC can be either positive or negative in any
         particular period, and is reflected in the period that such changes are
         made.

         DAC of $3.4 billion was on the Company's balance sheet at March 31,
         2003. This balance consisted of $1.7 billion related to life and health
         insurance and $1.7 billion related to annuities.

         Impact of Recent Market-Volatility on Results of Operations

         Various aspects of the Company business are impacted by equity market
         levels and other market-based events. Three areas in particular involve
         DAC, asset management fees and structured investments. The direction
         and magnitude of the changes in equity markets can increase or decrease
         DAC expense levels and asset management fees and correspondingly affect
         results of operations in any particular period. Similarly, the value of
         the Company's structured investment portfolio is impacted by various
         market factors. Persistency of, or increases in, bond and loan default
         rates, among other factors, could result in negative adjustments to the
         market values of these investments in the future, which would adversely
         impact results of operations. See Liquidity and Capital Resources
         section of Management Discussion and Analysis for a further discussion
         of structured investments.

                                      -14-
<PAGE>

         Another area impacted by  market-based  events is  guaranteed  minimum
         death benefit (GMDB).  The majority of the variable annuity  contracts
         offered  by  the  Company  contain  GMDB   provisions.   The  standard
         guaranteed  minimum  death benefit in the current  "flagship"  annuity
         offered by the Company,  American Express Retirement Advisor Advantage
         Variable  Annuity,  provides that if the contract  owner and annuitant
         are age 80 or  younger  on the date of  death,  the  beneficiary  will
         receive the greatest of (i) the  contract  value on the date of death,
         (ii) purchase payments minus adjusted partial surrenders, or (iii) the
         contract value as of the most recent sixth contract anniversary,  plus
         purchase  payment and minus  adjusted  partial  surrenders  since that
         anniversary.

         To the extent that the guaranteed minimum death benefit is higher than
         the current account value at the time of death, a cost is incurred by
         the issuer of the policy. Current accounting literature does not
         prescribe advance recognition of the projected future net costs
         associated with these guarantees, and accordingly, the Company
         currently does not record a liability corresponding to these future
         obligations for death benefits in excess of annuity account value. At
         present, the amount paid in excess of contract value is expensed when
         payable. Amounts expensed for the three months ended March 31, 2003 and
         2002, were $12 million and $6 million, respectively. The Company also
         issues certain variable annuity contracts that contain a guaranteed
         minimum income benefit (GMIB) feature which, if elected by the contract
         owner and after a stipulated waiting period from contract issuance,
         guarantees a minimum lifetime annuity based on predetermined annuity
         purchase rates. To date, the Company has not expensed any amount
         related to GMIBs. Management believes that an anticipated American
         Institute of Certified Public Accountants (AICPA) Statement of
         Position, "Accounting and Reporting by Insurance Enterprises for
         Certain Nontraditional Long-Duration Contracts and for Separate
         Accounts" (the "SOP"), would require the recording of a liability for
         the expected net costs associated with these guarantees under certain
         circumstances. The impact of the SOP, which is currently projected to
         be finalized in the second quarter of 2003, is currently being
         evaluated.

         The Company's life and annuity products all have minimum interest rate
         guarantees in their fixed accounts. These guarantees range from 3% to
         5%. To the extent interest rates decline below the minimum, the
         Company's spread would be negatively affected.

         Liquidity and Capital Resources

         The liquidity requirements of the Company are generally met by funds
         provided by premiums, investment income, proceeds from sales of
         investments as well as maturities, periodic repayments of investment
         principal and capital contributions. Maturities of the Company's
         investments is largely matched with the expected future payments of
         insurance and annuity obligations.

         The primary uses of funds are policy benefits, commissions and
         operating expenses, policy loans, dividends and investment purchases.

                                      -15-
<PAGE>

         The Company has an available line of credit with AEFC of $200 million
         ($100 million committed and $100 million uncommitted). This line of
         credit is used strictly as a short-term source of funds. There were no
         borrowings outstanding at March 31, 2003. The Company also uses reverse
         repurchase agreements for short-term liquidity needs. Outstanding
         reverse repurchase agreements totaled $10 million at March 31, 2003.

         At March 31, 2003, based on amortized costs, approximately 6 percent of
         the Company's investments in fixed maturities were
         below-investment-grade bonds, compared to 5 percent at March 31, 2002.
         These investments may be subject to a higher degree of risk than the
         investment grade issues because of the borrowers' generally greater
         sensitivity to adverse economic conditions, such as recession or
         increasing interest rates, and in certain instances the lack of an
         active secondary market. Expected returns on below-investment-grade
         bonds reflect consideration of such factors. The Company has identified
         those fixed maturities for which a decline in fair value is determined
         to be other than temporary, and has written them down to fair value
         with a charge to earnings. Additionally, the Company had a reserve for
         losses on mortgage loans of $39 million at March 31, 2003.

         The Company holds investments in collateralized debt obligations (CDOs)
         and secured loan trusts (SLTs) (backed by high-yield bonds and bank
         loans), some of which are also managed by a related party. The Company
         invested in CDOs and SLTs as part of its investment strategy in order
         to pay a competitive rate to contractholders' accounts. The Company's
         exposure as an investor is limited solely to its aggregate investment
         in the CDOs and SLTs, and it has no obligations or commitments,
         contingent or otherwise, that could require any further funding of such
         investments. As of March 31, 2003, the carrying values of the CDO
         residual tranches and SLT notes were $6 million and $650 million,
         respectively. CDOs and SLTs are illiquid investments. As an investor in
         the residual tranche of CDOs, the Company's return correlates to the
         performance of portfolios of high-yield bonds and/or bank loans. As a
         noteholder of SLTs, the Company's return is based on a reference
         portfolio of loans. The carrying value of the CDO and SLT investments
         and the Company's projected return are based on discounted cash flow
         projections that require a significant degree of management judgment as
         to assumptions primarily related to default and recovery rates of the
         high-yield bonds and/or bank loans either held directly by the CDO or
         in the reference portfolio of the SLT and, as such, are subject to
         change. Generally, the SLTs are structured such that the principal
         amount of the loans in the reference portfolio may be up to five times
         that of the par amount of the notes held by the Company. Although the
         exposure associated with the Company's investment in CDOs and SLTs is
         limited to the carrying value of such investments, they are volatile
         investments and have a substantial degree of risk associated with them
         because the amount of the initial value of the loans and/or other debt
         obligations in the related portfolios is significantly greater than the
         Company's exposure. Deterioration in the value of the high-yield bonds
         or bank loans would likely result in deterioration of the Company's
         investment return with respect to the relevant CDO or SLT, as the case
         may be. In the event of significant deterioration of a portfolio, the
         relevant CDO or SLT may be subject to early liquidation, which could
         result in further

                                      -16-
<PAGE>

         deterioration of the investment return or, in severe cases, loss of the
         carrying amount.

         During 2001, the Company placed a majority of its rated CDO securities
         and related accrued interest, as well as a relatively minor amount of
         other liquid securities, (collectively referred to as transferred
         assets), having an aggregate book value of $675 million, into a
         securitization trust. In return, the Company received $90 million in
         cash (excluding transaction expenses) relating to sales to unaffiliated
         investors and retained interests in the trust with allocated book
         amounts aggregating $586 million. As of March 31, 2003, the retained
         interests had a carrying value of $553 million, of which $386 million
         is considered investment grade. The Company has no obligations,
         contingent or otherwise, to such unaffiliated investors. One of the
         results of this transaction is that increases or decreases in future
         cash flows of the individual CDOs are combined into one overall cash
         flow for purposes of determining the carrying value of the retained
         interests and related impact on results of operations.

         OTHER REPORTING MATTERS
         Accounting Developments

         In January 2003, the Financial Accounting Standards Board (FASB) issued
         Interpretation No. 46, "Consolidation of Variable Interest Entities"
         (FIN 46), which addresses consolidation by business enterprises of
         variable interest entities (VIEs). Certain disclosures are required for
         financial statements issued after January 31, 2003 and are addressed in
         Note 1 to the Consolidated Financial Statements. The impact of adopting
         FIN 46 on the Consolidated Financial Statements is still being
         reviewed.

         In April 2003, the FASB issued Statement of Financial Accounting
         Standards (SFAS) No. 149, "Amendment of Statement 133 on Derivative
         Instruments and Hedging Activities." This Statement amends and
         clarifies accounting for derivative instruments embedded in other
         contracts, and for hedging activities under SFAS No. 133. The Statement
         is effective for contracts entered into or modified and hedging
         relationships designated after June 30, 2003, and to certain
         preexisting contracts. The Company is currently evaluating the impact
         of adopting SFAS No. 149 on the Consolidated Financial Statements.

         The AICPA has issued a proposed Statement of Position, "Accounting and
         Reporting by Insurance Enterprises for Certain Nontraditional
         Long-Duration Contracts and for Separate Accounts." See the Company's
         Impact of Recent Market-Volatility on Results of Operations section of
         the Management Discussion and Analysis for further discussion.

         Forward-Looking Statements

         Certain statements in the management's discussion and analysis of
         consolidated financial condition and results of operations section of
         this Form 10-Q contain forward-looking statements which are subject to
         risks and uncertainties that could cause results to differ materially
         from such statements. The words "believe,"

                                      -17-
<PAGE>

          "expect," "anticipate," "optimistic," "intend," "plan," "aim," "will,"
          "should," "could,"  "likely," and similar  expressions are intended to
          identify  forward-looking  statements.  Readers are  cautioned  not to
          place undue reliance on these forward-looking statements,  which speak
          only as of the date on which they are made. The Company  undertakes no
          obligation   to   publicly   update  or  revise  any   forward-looking
          statements.  Important  factors  that could  cause  actual  results to
          differ  materially  from  the  Company's  forward-looking   statements
          include,  but are not limited to:  fluctuations  in external  markets,
          which can affect the amount and types of investment products sold, the
          market value of its managed assets, management and other fees received
          based on those assets and the amount of amortization of DAC; potential
          deterioration in high-yield and other investments,  which could result
          in further losses in the Company's  investment  portfolio;  changes in
          assumptions  relating to DAC which also could impact the amount of DAC
          amortization;  the ability to sell certain  high-yield  investments at
          expected values and within anticipated  timeframes and to maintain its
          high-yield  portfolio at certain  levels in the future;  the types and
          the value of  certain  death  benefit  features  on  variable  annuity
          contracts; the affect of assessments and other surcharges for guaranty
          funds;  the  response  of  reinsurance   companies  under  reinsurance
          contracts;  the impact of reinsurance  rates and the  availability and
          adequacy  of  reinsurance  to  protect  the  Company  against  losses;
          negative  changes  in  the  Company's  and  its  subsidiaries'  credit
          ratings; increasing competition in all the Company's major businesses;
          the adoption of recently issued rules related to the  consolidation of
          variable  interest  entities,  including those involving CDOs and SLTs
          that the  Company  invests in which could  affect  both the  Company's
          balance sheet and results of operations; and outcomes of litigation.

          ITEM 4. CONTROLS AND PROCEDURES

          Within  the 90-day  period  prior to the  filing of this  report,  the
          Company  carried out an evaluation  under the supervision and with the
          participation  of  the  Company's  management,   including  the  Chief
          Executive Officer ("CEO") and Chief Financial Officer ("CFO"),  of the
          effectiveness of its disclosure controls and procedures. Based on that
          evaluation,  the  CEO  and  CFO  have  concluded  that  the  Company's
          disclosure  controls  and  procedures  are  effective  to ensure  that
          information required to be disclosed by the Company in reports that it
          files or  submits  under  the  Securities  Exchange  Act of  1934,  as
          amended,  is recorded,  processed,  summarized and reported within the
          time periods specified in Securities and Exchange Commission rules and
          forms.  The CEO and CFO also note that subsequent to the date of their
          evaluation,  there  were  no  significant  changes  in  the  Company's
          internal controls or in other factors that could significantly  affect
          the internal controls, including any corrective actions with regard to
          significant deficiencies and material weaknesses.

                                      -18-
<PAGE>

PART II - OTHER INFORMATION

Item 1.  LEGAL PROCEEDINGS

         In November 2002, a suit, captioned HARITOS ET AL. V. AMERICAN
         EXPRESS FINANCIAL CORPORATION AND IDS LIFE INSURANCE COMPANY,
         was filed in the United States District Court for the District
         of Arizona. The suit is filed by plaintiffs who purport to
         represent a class of all persons that have purchased financial
         plans from AEFA advisors during an undefined class period.
         Plaintiffs allege that the sale of the plans violate the
         Investment Advisors Act of 1940. The suit seeks an unspecified
         amount of damages, rescission and injunction relief. The
         Company believes that it has meritorious defenses to this suit
         and intends to defend this case vigorously.

Item 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS

         Not applicable.

Item 3.  DEFAULTS UPON SENIOR SECURITIES

         Not applicable.

Item 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         Not applicable.

Item 5.  OTHER INFORMATION

         Not applicable.

Item 6.  EXHIBITS AND REPORTS ON FORM 8-K

               (a)  Exhibits

               3.1  Copy of Certificate of  Incorporation  of IDS Life Insurance
                    Company   filed    electronically    as   Exhibit   3.1   to
                    Post-Effective Amendment No. 5 to Registration Statement No.
                    33-28976 is incorporated herein by reference.

               3.2  Copy of the Amended  By-laws of IDS Life  Insurance  Company
                    filed   electronically  as  Exhibit  3.2  to  Post-Effective
                    Amendment No. 5 to  Registration  Statement No.  33-28976 is
                    incorporated herein by reference.

               3.3  Copy  of the  Amended  and  Restated  By-laws  of  IDS  Life
                    Insurance  Company  filed  electronically  as Exhibit 3.2 to
                    Post-Effective  Amendment No. 17 to  Registration  Statement
                    No.33-28976 is incorporated herein by reference.

                                      -19-
<PAGE>

PART II - OTHER INFORMATION (continued)

               3.4  Copy of  Resolution  of the Board of  Directors  of IDS Life
                    Insurance Company, dated May 5, 1989,  establishing IDS Life
                    Account   MGA  filed   electronically   as  Exhibit  3.3  to
                    Post-Effective Amendment No. 5 to Registration Statement No.
                    33-28976 is incorporated herein by reference.

               4.1  Copy of  Non-tax  qualified  Group  Annuity  Contract,  Form
                    30363C,    filed    electronically   as   Exhibit   4.1   to
                    Post-Effective Amendment No. 5 to Registration Statement No.
                    33-28976 is incorporated herein by reference.

               4.2  Copy of Non-tax  qualified Group Annuity  Certificate,  Form
                    30360C,    filed    electronically   as   Exhibit   4.2   to
                    Post-Effective Amendment No. 5 to Registration Statement No.
                    33-28976 is incorporated herein by reference.

               4.3  Copy of  Endorsement  No.  30340C-GP  to the  Group  Annuity
                    Contract   filed    electronically   as   Exhibit   4.3   to
                    Post-Effective Amendment No. 5 to Registration Statement No.
                    33-28976 is incorporated herein by reference.

               4.4  Copy  of  Endorsement   No.  30340C  to  the  Group  Annuity
                    Certificate   filed   electronically   as  Exhibit   4.4  to
                    Post-Effective Amendment No. 5 to Registration Statement No.
                    33-28976 is incorporated herein by reference.

               4.5  Copy of Tax qualified Group Annuity  Contract,  Form 30369C,
                    filed   electronically  as  Exhibit  4.5  to  Post-Effective
                    Amendment No. 10 to  Registration  Statement No. 33-28976 is
                    incorporated herein by reference.

               4.6  Copy  of  Tax  qualified  Group  Annuity  Certificate,  Form
                    30368C,    filed    electronically   as   Exhibit   4.6   to
                    Post-Effective  Amendment No. 10 to  Registration  Statement
                    No. 33-28976 is incorporated herein by reference.

               4.7  Copy of Group  IRA  Annuity  Contract,  Form  30372C,  filed
                    electronically  as Exhibit 4.7 to  Post-Effective  Amendment
                    No.  10  to   Registration   Statement   No.   33-28976   is
                    incorporated herein by reference.

               4.8  Copy of Group IRA Annuity  Certificate,  Form 30371C,  filed
                    electronically  as Exhibit 4.8 to  Post-Effective  Amendment
                    No.  10  to   Registration   Statement   No.   33-28976   is
                    incorporated herein by reference.

                                      -20-
<PAGE>

PART II - OTHER INFORMATION (continued)

               4.9  Copy of Non-tax qualified Individual Annuity Contract,  Form
                    30365D,    filed    electronically   as   Exhibit   4.9   to
                    Post-Effective  Amendment No. 10 to  Registration  Statement
                    No. 33-28976 is incorporated herein by reference.

               4.10 Copy of  Endorsement  No.  30379 to the  Individual  Annuity
                    Contract,  filed  electronically  as  Exhibit  4.10  to Post
                    Effective  Amendment  No. 10 to  Registration  Statement No.
                    33-28976 is incorporated herein by reference.

               4.11 Copy of Tax  qualified  Individual  Annuity  Contract,  Form
                    30370C,    filed   electronically   as   Exhibit   4.11   to
                    Post-Effective  Amendment No. 10 to  Registration  Statement
                    No. 33-28976 is incorporated herein by reference.

               4.12 Copy of Individual IRA Annuity Contract,  Form 30373C, filed
                    electronically as Exhibit 4.12 to  Post-Effective  Amendment
                    No.  10  to   Registration   Statement   No.   33-28976   is
                    incorporated herein by reference.

               4.13 Copy  of  Endorsement  No.  33007  filed  electronically  as
                    Exhibit  4.13  to   Post-Effective   Amendment   No.  12  to
                    Registration  Statement No. 33-28976 is incorporated  herein
                    by reference.

               4.14 Copy  of  Group  Annuity   Contract,   Form  30363D,   filed
                    electronically  as Exhibit 4.1 to  Post-Effective  Amendment
                    No. 2 to Registration Statement No. 33-50968 is incorporated
                    herein by reference.

               4.15 Copy  of  Group  Annuity  Certificate,  Form  30360D,  filed
                    electronically  as Exhibit 4.2 to  Post-Effective  Amendment
                    No. 2 to Registration Statement No. 33-50968 is incorporated
                    herein by reference.

               4.16 Form  of  Deferred  Annuity  Contract,  Form  30365E,  filed
                    electronically  as Exhibit 4.3 to  Post-Effective  Amendment
                    No. 2 to Registration Statement No. 33-50968 is incorporated
                    herein by reference.

               4.17 Copy of  Group  Deferred  Variable  Annuity  Contract,  Form
                    34660, filed electronically as Exhibit 4.1 to Post-Effective
                    Amendment No. 2 to  Registration  Statement No.  33-48701 is
                    incorporated herein by reference.

               4.18 Copy of  Non-tax  qualified  Group  Annuity  Contract,  Form
                    33111,  filed  electronically as Exhibit 4.1 to Registration
                    Statement No. 333-42793 is incorporated herein by reference.


                                      -21-
<PAGE>

PART II - OTHER INFORMATION (continued)

               4.19 Copy of Non-tax  qualified Group Annuity  Certificate,  Form
                    33114,  filed  electronically as Exhibit 4.2 to Registration
                    Statement No. 333-42793 is incorporated herein by reference.

               4.20 Copy of Tax qualified  Group Annuity  Contract,  Form 33112,
                    filed   electronically   as  Exhibit  4.3  to   Registration
                    Statement No. 333-42793 is incorporated herein by reference.

               4.21 Copy of Tax qualified Group Annuity Certificate, Form 33115,
                    filed   electronically   as  Exhibit  4.4  to   Registration
                    Statement No. 333-42793 is incorporated herein by reference.

               4.22 Copy of  Group  IRA  Annuity  Contract,  Form  33113,  filed
                    electronically as Exhibit 4.5 to Registration  Statement No.
                    333-42793 is incorporated herein by reference.

               4.23 Copy of Group IRA Annuity  Certificate,  Form  33116,  filed
                    electronically as Exhibit 4.6 to Registration  Statement No.
                    333-42793 is incorporated herein by reference.

               4.24 Copy of Non-tax qualified Individual Annuity Contract,  Form
                    30484, filed electronically as Exhibit 4.7 to Post-Effective
                    Amendment No. 1 to Registration  Statement No.  333-42793 is
                    incorporated herein by reference.

               4.25 Copy of Tax  qualified  Individual  Annuity  Contract,  Form
                    30485, filed electronically as Exhibit 4.8 to Post-Effective
                    Amendment No. 1 to Registration  Statement No.  333-42793 is
                    incorporated herein by reference.

               4.26 Copy  of  Individual   IRA  Contract,   Form  30486,   filed
                    electronically  as Exhibit 4.9 to  Post-Effective  Amendment
                    No.  1  to   Registration   Statement   No.   333-42793   is
                    incorporated herein by reference.

               4.27 Form of Traditional IRA or SEP-IRA Annuity Endorsement, Form
                    131061,    filed   electronically   as   Exhibit   4.14   to
                    Post-Effective  Amendment No. 17 to  Registration  Statement
                    No. 33-28976 is incorporated herein by reference.

               4.28 Form of Roth IRA Annuity  Endorsement,  Form  131062,  filed
                    electronically as Exhibit 4.15 to  Post-Effective  Amendment
                    No.  17  to   Registration   Statement   No.   33-28976   is
                    incorporated herein by reference.

               21.  Copy of List of Subsidiaries filed electronically as Exhibit
                    22  to  Post-Effective   Amendment  No.  8  to  Registration
                    Statement No. 33-28976 is incorporated  herein by reference.


                                      -22-
<PAGE>

PART II - OTHER INFORMATION (continued)

               (b)  Reports on Form 8-K.

                    Form 8-K,  filed April 21, 2003,  Item 5,  reporting that on
                    April 15, 2003 IDS Life Insurance Company appointed Jeryl A.
                    Millner Vice President and Controller.  Ms. Millner will act
                    as the Company's Principal  Accounting Officer. She succeeds
                    Philip  C.  Wentzel,   who  was  recently   appointed   Vice
                    President, Business Planning & Analysis for American Express
                    Financial   Corporation,   the  Company's  parent.  John  T.
                    Sweeney,  Executive Vice President - Finance for the Company
                    will act as the  Company's  Principal  and  Chief  Financial
                    Officer.

Item 7.   Exhibits 99.1 and 99.2

          Certification  pursuant to 18 U.S.C. Section 1350, as adopted pursuant
          to section 906 of the Sarbanes-Oxley Act of 2002.

          Exhibits 99.3 and 99.4

          Certification pursuant to 15 U.S.C. as adopted pursuant to section 302
          of the Sarbanes-Oxley Act of 2002.


                                      -23-
<PAGE>

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

REGISTRANT                          IDS LIFE INSURANCE COMPANY

BY                                  /s/ John T. Sweeney
                                    --------------------------------------------
NAME AND TITLE                          John T. Sweeney
                                        Executive Vice President - Finance and
                                        Chief Financial Officer

DATE                                    May 15, 2003


BY                                  /s/ Barbara H. Fraser
                                    --------------------------------------------
NAME AND TITLE                          Barbara H. Fraser
                                        Chief Executive Officer

DATE                                    May 15, 2003

                                      -24-