<PAGE>

                                                                    EXHIBIT 10.2

                            Amendment Number 4 to the

     Automatic Flexible Premium Variable Life Reinsurance Agreement Number 3
                         (Referred to as the Agreement)

                                     Between

                   WESTERN RESERVE LIFE ASSURANCE CO. OF OHIO

                             St. Petersburg, Florida
                         (referred to as the Reinsured)

                                       and

                           GLOBAL PREFERRED RE LIMITED

                                Hamilton, Bermuda
                         (referred to as the Reinsurer)

                             Effective July 1, 2003

I.       Article IX, REINSURANCE RESERVES, Sections 1 is hereby replaced as
         follows:

         1.       The Reinsurer will:

                  (a)      Set up Statutory Reserves and Liabilities not less
                           than the reduction taken by the Reinsured for the
                           reinsured contracts; and if greater,

                  (b)      Establish a liability ("Benefit Reserve"), for the
                           benefit of the Reinsured, not less than the excess of
                           the present value of expected future reinsured
                           benefits, less the present value of future expected
                           gross reinsurance premiums.

II.      Schedule B4, Benefit Reserve Formula and Assumptions, is hereby
         replaced as follows:

SCHEDULE B4, BENEFIT RESERVE FORMULA AND ASSUMPTIONS

BENEFIT RESERVE METHODOLOGY

The reserve calculation method is the net premium method with the reserve
calculated over a 20-year period, after which the business may be recaptured.
The terminal reserves are calculated using monthly curtate assumptions; premiums
are paid at the beginning of the month and death benefits are paid at the end of
the month. The formula for the terminal reserve is:

         tV(12) = PVt (expected future benefits) - k * PVt (expected future
         gross reinsurance premiums),

         where

         k = PVt (expected future benefits)/PVt (expected future gross
         reinsurance premiums) for t=0, and

         tV(12) is the terminal reserve at duration t.


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The final reserve calculation represents an exact linear interpolation between
two terminal reserves, giving the formula:

         t-1+sV(12) = t-1V(12) * (1-s) + tV(12) * s,

         where

         s is the portion of one year expired between the last policy
         anniversary and the valuation date.

BENEFIT RESERVE ASSUMPTIONS

>>       Interest rate: The maximum statutory interest rate allowed by law as
         prescribed in the NAIC Standard Valuation Law and approved by the State
         of Ohio Department of Insurance.

>>       Gross Reinsurance Premiums: Financial Freedom Builder (FFB) guaranteed
         cost of insurance charge paid on a monthly basis.

>>       Mortality: Mortality is the 80 CSO mortality table based on Gender
         (Male/Female) and Smoking status(Nonsmoker, Smoker).

>>       Expected Benefits:

         -        Policies with a level death benefit option (Option A): The
                  expected benefits (net amount at risk) per unit of initial
                  $1,000 of specified amount are:

<TABLE>
<CAPTION>
            DURATION       NAR      DURATION       NAR      DURATION       NAR       DURATION      NAR
            --------      -----     --------      -----     --------      -----      --------     -----
            <S>           <C>       <C>           <C>       <C>           <C>        <C>          <C>
                1         1,000         6          962         11          923          16         885
                2          992          7          954         12          916          17         878
                3          985          8          946         13          908          18         870
                4          977          9          939         14          900          19         862
                5          969         10          931         15          893          20         855
</TABLE>

         -        All other policies and riders: Expected benefits are level.

>>       Lapse Rates: None.


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                                    * * * * *

Except as expressed herein, all terms, covenants and provisions of the Automatic
Flexible Premium Variable Life Reinsurance Agreement Number 3, as amended, not
in conflict with the provisions of this amendment shall remain unaltered and in
full force and effect.

In witness of the above, the Reinsured and the Reinsurer, by their respective
officers have executed this amendment in duplicate at the dates and places
indicated and shall be effective as of July 1, 2003.

WESTERN RESERVE LIFE                         GLOBAL PREFERRED RE LIMITED
ASSURANCE CO. OF OHIO



at  St. Petersburg, FL                   at  Duluth, GA
   -------------------------------          -----------------------------------
on: October 21, 2003                     on: October 15, 2003                 .
   -------------------------------          -----------------------------------



By: /s/  Larry Kirkland                  By: /s/ Bradley E. Barks
   -------------------------------          -----------------------------------
Title: VP & Managing Actuary             Title: CFO



By:  /s/  Stefanie J. Harder             By: /s/  David W. McLeroy
   -------------------------------          -----------------------------------
Title: Staff Actuary                     Title: VP - Financial Projects


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