<Page>

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    Form 10-Q

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


For the quarterly period ended June 30, 2001   Commission file number   33-81010
                               -------------                            --------

                       Aetna Insurance Company of America
--------------------------------------------------------------------------------
                    (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

    Florida                                             06-1286272
--------------------------------------------------------------------------------
(STATE OR OTHER JURISDICTION OF          (I.R.S. EMPLOYER IDENTIFICATION NO.)
 INCORPORATION OR ORGANIZATION)

    5100 West Lemon Street, Suite 213, Tampa, Florida           33609
--------------------------------------------------------------------------------
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)                     (ZIP CODE)

Registrant's telephone number, including area code     (860) 273-0123
                                                   -------------------------

    None
--------------------------------------------------------------------------------
FORMER NAME, FORMER ADDRESS AND FORMER FISCAL YEAR IF CHANGED SINCE LAST REPORT)


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 the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.

<Table>
<Caption>
                                                SHARES OUTSTANDING
TITLE OF CLASS                                  AT AUGUST 9, 2001
<S>                                             <C>

Common Capital Stock, par value $100             25,500
</Table>

The registrant meets the conditions set forth in General Instruction H(1)(a) and
(b) of Form 10-Q and is therefore filing this Form with the reduced disclosure
format.


<Page>



                      AETNA INSURANCE COMPANY OF AMERICA
       (A wholly owned subsidiary of Aetna Life Insurance and Annuity Company)

                                TABLE OF CONTENTS

                                                                       PAGE
PART I.      FINANCIAL INFORMATION

   Item 1.   Financial Statements (Unaudited):
                 Statements of Income                                   3
                 Balance Sheets                                         4
                 Statements of Changes in Shareholder's Equity          5
                 Statements of Cash Flows                               6
                 Condensed Notes to Financial Statements                7
             Independent Auditors' Review Report                       11

   Item 2.   Management's Analysis of the Results of Operations        12


PART II.     OTHER INFORMATION

   Item 1.   Legal Proceedings                                         16

   Item 5.   Other Information                                         16

   Item 6.   Exhibits and Reports on Form 8-K                          16

 Signature                                                             17


                                       2
<Page>


PART I.  FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

                       AETNA INSURANCE COMPANY OF AMERICA
    (A Wholly Owned Subsidiary of Aetna Life Insurance and Annuity Company)

                              STATEMENTS OF INCOME
                                   (Unaudited)
                                   (millions)

<Table>
<Caption>
                                                            THREE MONTHS ENDED JUNE 30,          SIX MONTHS ENDED JUNE 30,
                                                       -----------------------------------    -----------------------------------
                                                            2001               2000                2001               2000
                                                       ----------------   ----------------    ----------------   ----------------
<S>                                                    <C>                 <C>                 <C>               <C>
Revenues:
   Charges assessed against policyholders                        $ 3.4              $ 4.4               $ 7.0              $ 8.9
   Net investment income                                           2.5                2.6                 5.2                5.3
   Net realized capital gains (losses)                             0.6               (0.4)                0.7               (0.9)
   Other income                                                    0.3                0.4                 0.6                0.8
                                                       ----------------   ----------------    ----------------   ----------------
        Total revenue                                              6.8                7.0                13.5               14.1
                                                       ----------------   ----------------    ----------------   ----------------

Benefits and expenses:
   Current and future benefits                                     1.7                1.9                 3.5                3.9
   Operating expenses:
      Salaries and related benefits                                0.1                0.3                 0.3                0.5
      Other                                                        0.8                1.1                 1.4                2.1
   Amortization of deferred policy acquisition costs
     and value of business acquired                                1.4                1.3                 3.4                2.8
   Amortization of goodwill                                        0.6                  -                 1.2                  -
                                                       ----------------   ----------------    ----------------   ----------------
        Total benefits and expenses                                4.6                4.6                 9.8                9.3
                                                       ----------------   ----------------    ----------------   ----------------

Income before income taxes                                         2.2                2.4                 3.7                4.8

Income taxes                                                       0.9                0.8                 1.7                1.6
                                                       ----------------   ----------------    ----------------   ----------------

Net income                                                       $ 1.3              $ 1.6               $ 2.0              $ 3.2
                                                       ================   ================    ================   ================
</Table>


See Condensed Notes to Financial Statements.

                                       3
<Page>


                       AETNA INSURANCE COMPANY OF AMERICA
    (A Wholly Owned Subsidiary of Aetna Life Insurance and Annuity Company)

                                BALANCE SHEETS
                         (millions, except share data)

<Table>
<Caption>
                                                                       JUNE 30,         DECEMBER 31,
                                                                         2001               2000
                                                                 ----------------     -------------
                                                                     (unaudited)
<S>                                                               <C>               <C>
ASSETS
Investments:
  Debt securities, available for sale, at fair value
     (amortized cost: $105.7 and $125.8)                                 $ 108.8           $ 126.5
  Equity securities, at fair value
     Nonredeemable preferred stock (amortized cost: $1.1)                      -               1.0
  Short-term investments                                                    15.3               0.4
Securities pledged to creditors                                             13.7               8.1
Cash and cash equivalents                                                    9.7               9.1
Short-term investments under securities loan agreement                      14.0               8.4
Deferred policy acquisition costs                                            0.2                 -
Value of business acquired                                                  56.0              58.7
Accrued investment income                                                    1.8               1.7
Premiums due and other receivables                                          12.9               4.7
Goodwill                                                                    98.1              98.9
Other assets                                                                 1.4               1.1
Separate Accounts assets                                                   904.5           1,007.8
                                                                 ----------------     -------------
                Total assets                                           $ 1,236.4         $ 1,326.4
                                                                 ================     =============

LIABILITIES AND SHAREHOLDER'S EQUITY
Liabilities:
  Policyholders' funds left with the Company                               104.0             110.3
  Payables under securities loan agreement                                  14.0               8.4
  Other liabilities                                                         10.5               3.7
  Due to parent and affiliates                                               6.2               3.8
  Income taxes:
     Current                                                                 1.0                 -
     Deferred                                                                9.2               7.8
  Separate Accounts liabilities                                            904.5           1,007.8
                                                                 ----------------     -------------
                Total liabilities                                        1,049.4           1,141.8
                                                                 ----------------     -------------

Shareholder's equity:
  Common capital stock, par value $100 (35,000 shares
   authorized, 25,500 issued and outstanding)                                2.5               2.5
  Paid-in capital                                                          181.3             181.3
  Accumulated other comprehensive income                                     0.6               0.2
  Retained earnings                                                          2.6               0.6
                                                                 ----------------     -------------
                 Total shareholder's equity                                187.0             184.6
                                                                 ----------------     -------------

                 Total liabilities and shareholder's equity            $ 1,236.4         $ 1,326.4
                                                                 ================     =============
</Table>


See Condensed Notes to Financial Statements.


                                       4
<Page>

                       AETNA INSURANCE COMPANY OF AMERICA
    (A Wholly Owned Subsidiary of Aetna Life Insurance and Annuity Company)

                 STATEMENTS OF CHANGES IN SHAREHOLDER'S EQUITY
                                  (Unaudited)
                                  (millions)

<Table>
                                                                 SIX MONTHS ENDED JUNE 30,
                                                            ----------------------------------
                                                                2001               2000
                                                            ---------------    ---------------
<S>                                                         <C>                <C>
Shareholder's equity, beginning of period                          $ 184.6             $ 73.4

Comprehensive income
    Net income                                                         2.0                3.2
    Other comprehensive income, net of tax:
         Unrealized gains on securities
         ($0.6 million, $0.6 million, pretax)                          0.4                0.4
                                                            ---------------    ---------------
  Total comprehensive income                                           2.4                3.6
                                                            ---------------    ---------------

Common stock issued                                                      -                2.4

Dividends paid to parent                                                 -               (2.4)
                                                            ---------------    ---------------

Shareholder's equity, end of period                                $ 187.0             $ 77.0
                                                            ===============    ===============
</Table>


See Condensed Notes to Financial Statements.


                                       5
<Page>

                       AETNA INSURANCE COMPANY OF AMERICA
    (A Wholly Owned Subsidiary of Aetna Life Insurance and Annuity Company)

                             STATEMENTS OF CASH FLOWS
                                    (Unaudited)
                                    (millions)

<Table>
<Caption>
                                                                                           SIX MONTHS ENDED JUNE 30,
                                                                                    -----------------------------------
                                                                                            2001               2000
                                                                                    ---------------    ----------------
<S>                                                                                <C>                <C>
Cash Flows from Operating Activities:
Net income                                                                                   $ 2.0               $ 3.2
Adjustments to reconcile net income to net cash provided by
     Net realized capital (gains) losses                                                      (0.7)                0.9
     Changes in assets and liabilities:
            (Increase) decrease in accrued investment income                                  (0.1)                0.1
            Decrease in deferred policy acquisition costs
              and value of business acquired                                                   2.5                 1.6
            Goodwill amortization                                                              0.8                   -
            Net change in amounts due to/from parent and affiliates                            2.4                 5.3
            Net decrease in other assets and liabilities                                       3.8                 1.5
            Increase in income taxes                                                           2.2                 1.0
                                                                                    ---------------    ----------------
Net cash provided by operating activities                                                    12.9                 13.6
                                                                                    ---------------    ----------------

Cash Flows from Investing Activities:
     Proceeds from sales of:
           Debt securities available for sale                                                 15.1                31.0
           Short-term investments                                                            845.4                   -
     Investment maturities and repayments of:
           Debt securites available for sale                                                   6.5                 3.4
     Cost of investment purchases in:
           Debt securities available for sale                                                 (6.7)              (27.2)
           Short-term investments                                                           (856.3)                  -
                                                                                    ---------------    ----------------
Net cash provided by investing activities                                                      4.0                 7.2
                                                                                    ---------------    ----------------

Cash Flows from Financing Activities:
     Deposits and interest credited for investment contracts                                   3.2                 4.4
     Withdrawal of investment contracts                                                      (15.5)              (17.7)
     Other, net                                                                               (4.0)                7.8
                                                                                    ---------------    ----------------
Net cash used for financing activities                                                       (16.3)               (5.5)
                                                                                    ---------------    ----------------
Net increase in cash and cash equivalents                                                      0.6                15.3
Cash and cash equivalents, beginning of period                                                 9.1                22.9
                                                                                    ---------------    ----------------

Cash and cash equivalents, end of period                                                     $ 9.7              $ 38.2
                                                                                    ===============    ================
Supplemental cash flow information:
    Income taxes paid, net                                                                   $ 0.3              $  0.6
                                                                                    ===============    ================
</Table>


See Condensed Notes to Financial Statements.


                                       6
<Page>

CONDENSED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)

1. BASIS OF PRESENTATION

   Aetna Insurance Company of America (the "Company") is a stock life insurance
   company organized in 1990 under the insurance laws of the state of
   Connecticut. Effective January 5, 2000, the Company changed its state of
   domicile from Connecticut to Florida. The Company is a wholly owned
   subsidiary of Aetna Life Insurance and Annuity Company ("ALIAC"). ALIAC is a
   wholly owned subsidiary of Aetna Retirement Holdings, Inc. ("HOLDCO"). HOLDCO
   is a wholly owned subsidiary of Aetna Retirement Services, Inc. ("ARSI"),
   whose ultimate parent is ING Groep N.V. ("ING"). The Company has one
   operating segment and all revenue reported by the Company comes from external
   customers.

   The financial statements have been prepared in conformity with accounting
   principles generally accepted in the United States of America and are
   unaudited. Certain reclassifications have been made to the 2000 financial
   information to conform to the 2001 presentation. These interim statements
   necessarily rely heavily on estimates, including assumptions as to annualized
   tax rates. In the opinion of management, all adjustments necessary for a fair
   statement of results for the interim periods have been made. All such
   adjustments are of a normal, recurring nature. The accompanying financial
   statements should be read in conjunction with the financial statements and
   related notes as presented in the Company's 2000 Annual Report on Form 10-K.
   Certain financial information that is normally included in annual financial
   statements prepared in accordance with accounting principles generally
   accepted in the United States of America, but that is not required for
   interim reporting purposes, has been condensed or omitted.

   Operating results for the three and six months ended June 30, 2001 are not
   necessarily indicative of the results that may be expected for the year ended
   December 31, 2001.

2. NEW ACCOUNTING STANDARD

   As of January 1, 2001, the Company adopted FAS No. 133, Accounting for
   Derivative Instruments and Hedging Activities, as amended and interpreted by
   FAS No. 137, Accounting for Derivative Instruments and Hedging Activities -
   Deferral of the Effective Date of FASB Statement No. 133, FAS No. 138,
   Accounting for Certain Derivative Instruments and Certain Hedging Activities
   - an Amendment of FASB Statement No. 133. and certain FAS No. 133
   implementation issues. This standard, as amended, requires companies to
   record all derivatives on the balance sheet as either assets or liabilities
   and measure those instruments at fair value. The manner in which companies
   are to record gains or losses resulting from changes in the fair values of
   those derivatives depends on the use of the derivative and whether it
   qualifies for hedge accounting.

   Adoption of FAS No. 133 did not have a material effect on the Company's
   financial position or results of operations given to the Company's limited
   derivative and embedded derivative holdings.


                                       7
<Page>

CONDENSED NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (continued)

2. NEW ACCOUNTING STANDARD (continued)

   The Company may utilize futures contracts, options, interest rate swap
   agreements and warrants in order to manage interest rate and price risk
   (collectively, market risk). These financial exposures are monitored and
   managed by the Company as an integral part of its overall risk management
   program. Derivatives are recognized on the balance sheet at fair value. The
   Company does not designate its derivative instruments as part of hedge
   transactions. Therefore changes in the fair value of the Company's derivative
   instruments are recorded immediately in the consolidated statements of income
   as part of realized capital gains and losses.

   Warrants are instruments that give the holder the right, but not the
   obligation, to buy or sell a fixed amount of an underlying asset at a fixed
   price in the future. Warrants are carried at fair value and are recorded as
   either derivative instruments or FAS No. 115 available for sale securities.
   Warrants that are considered derivatives are carried at fair value if they
   are readily convertible to cash. The values of these warrants can fluctuate
   given that the companies which underlie the warrants are non public
   companies. Warrants, considered to be derivatives, will be revalued each
   quarter and the change in the value of the warrants will be included in the
   consolidated statements of income. As of June 30, 2001, the Company had no
   warrants.

   The Company, at times, may own warrants on common stock which are not readily
   convertible to cash as they contain certain conditions which preclude their
   convertibility and therefore, will not be included in assets or liabilities
   as derivatives. If conditions are satisfied and the underlying stocks become
   marketable, the warrants would be reclassified as derivatives and recorded at
   fair value as an adjustment through current period results of operations.

   The Company occasionally purchases a financial instrument that contains a
   derivative that is "embedded" in the instrument. In addition, the Company's
   insurance products are reviewed to determine whether they contain an embedded
   derivative. To the extent a financial instrument or insurance product (host
   instrument) contains an embedded derivative, the Company assesses whether the
   economic characteristics of the embedded derivative are clearly and closely
   related to the economic characteristics of the host contract and whether a
   separate instrument with the same terms as the embedded instrument would meet
   the definition of a derivative instrument. When it is determined that the
   embedded derivative possesses economic characteristics that are not clearly
   and closely related to the economic characteristics of the host contract and
   that a separate instrument with the same terms would qualify as a derivative
   instrument, the embedded derivative is separated from the host contract and
   carried at fair value. However, in cases where the host contract is measured
   at fair value, with changes in fair value reported in current period earnings
   or the Company is unable to reliably identify and measure the embedded
   derivative for separation from its host contract, the entire contract is
   carried on the balance sheet at fair value and is not designated as a hedging
   instrument. The Company had no material amounts of embedded derivatives at
   June 30, 2001.


                                       8
<Page>

CONDENSED NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (continued)

3. SALE OF AETNA FINANCIAL SERVICES AND AETNA INTERNATIONAL

   On December 13, 2000, ING America Insurance Holdings, Inc., an indirect
   wholly owned subsidiary of ING, acquired Aetna Inc., comprised of the Aetna
   Financial Services business, of which the Company is a part, and the Aetna
   International business, for approximately $7.7 billion. The purchase price
   was comprised of approximately $5.0 billion in cash and the assumption of
   $2.7 billion of outstanding debt and other net liabilities. In connection
   with the acquisition, Aetna Inc. was renamed Lion Connecticut Holdings Inc.
   ("Lion"). At the time of the sale, Lion entered into certain transition
   services agreements with a former related party, Aetna U.S. Healthcare, which
   was renamed Aetna Inc. ("former Aetna").

   For accounting purposes, the acquisition was accounted for as of November 30,
   2000 using the purchase method. The application of the purchase method,
   including the recognition of goodwill, was pushed down and reflected on the
   financial statements of certain ARSI subsidiaries, including the Company.

   The purchase price was allocated to assets and liabilities based on their
   respective fair values. This revaluation resulted in a net increase to
   assets, excluding the effects of goodwill, of $3.2 million and a net increase
   to liabilities of $1.1 million. Additionally, the Company established
   goodwill of $98.9 million. Goodwill is being amortized over a period of 40
   years. The allocation of the purchase price to assets and liabilities is
   subject to further refinement.

   Unaudited pro forma consolidated net income of the Company for the six months
   ended June 30, 2000, assuming that the acquisition of the Company occurred at
   the beginning of 2000, would each have been approximately $1.2 million. The
   pro forma adjustments, which do not affect revenues, reflect primarily
   goodwill amortization.

4. REVISION OF PRELIMINARY ALLOCATION OF PURCHASE PRICE

   ING America Insurance Holdings, Inc., an indirect wholly owned subsidiary of
   ING, acquired Aetna Inc., comprised of the Aetna Financial Services business,
   of which the Company is a part, and the Aetna International business, on
   December 13, 2000.

   The preliminary allocation of the purchase price did not reflect any market
   value adjustments related to the Company's investment portfolios. The
   Company, after giving consideration to certain exposures in the general
   market place which, while existing prior to the acquisition, subsequently
   took on more significance, determined that a reduction in carrying value was
   warranted.

   The amount of the reductions in the carrying values of the investment
   portfolios were accounted for as components of the purchase price and the
   amounts assigned to the Company's assets and liabilities in the allocation of
   the purchase price were adjusted appropriately. That adjustment was generally
   reflected as an adjustment to goodwill.


                                       9
<Page>

CONDENSED NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (continued)

5. ADDITIONAL INFORMATION - ACCUMULATED OTHER COMPREHENSIVE INCOME

   Changes in accumulated other comprehensive income related to changes in
   unrealized gains on securities (excluding those related to experience-rated
   contractholders) were as follows:

<Table>
<Caption>
                                                                   Six months ended June 30,
                                                               ---------------------------------
     (Millions)                                                       2001            2000
    ---------------------------------------------------------------- --------------- -----------
<S>                                                              <C>             <C>
    Unrealized holding gains (losses) arising during the  period(1)    $ 0.9          $ (0.3)

    Less:  reclassification adjustments for gains (losses) and
       other items included in net income  (2)                           0.5            (0.7)
    ---------------------------------------------------------------- --------------- -----------
    Net unrealized gains on securities                                 $ 0.4          $  0.4
    ================================================================ =============== ===========
</Table>


(1) Pretax unrealized holding gains (losses) arising during the period were $1.4
    million and $(0.4) million for 2001 and 2000, respectively.

(2) Pretax reclassification adjustments for gains (losses) and other items
    included in net income were $0.8 million and $(1.0) million for 2001 and
    2000, respectively.

6. VALUE OF BUSINESS ACQUIRED

    Value of business acquired ("VOBA") is an asset and represents the present
    value of estimated net cash flows embedded in the Company's contracts
    indirectly acquired by ING. VOBA is amortized in proportion to estimated
    gross profits and is adjusted to reflect actual gross profits over the life
    of the contracts (up to 30 years for annuity contracts and pension
    contracts).

   Activity for the three months ended June 30, 2001 within VOBA was as follows:

<Table>
<Caption>
    (Millions)
    ----------------------------------------------- ----------------
<S>                                                 <C>
    Balance at December 31, 2000                              $58.7
    Additions                                                   0.6
    Interest accrued at 7.0 %                                   2.0
    Amortization                                               (5.3)
    ----------------------------------------------- ----------------
    Balance at June 30, 2001                                  $56.0
    =============================================== ================
</Table>

7. LITIGATION

   The Company is not currently involved in any material litigation.


                                       10
<Page>


                     INDEPENDENT ACCOUNTANTS' REVIEW REPORT



The Board of Directors
Aetna Insurance Company of America

We have reviewed the accompanying condensed balance sheet of Aetna Insurance
Company of America (the "Company") as of June 30, 2001, and the related
condensed statements of income, changes in stockholder's equity and cash flows
for the three and six-month periods then ended. These financial statements are
the responsibility of the Company's management. The condensed consolidated
balance sheet of the Company as of December 31, 2000 was audited by other
accountants whose report (dated March 27, 2001) expressed an unqualified opinion
as to the application of accounting principles generally accepted in the United
States. The condensed consolidated statements of income, changes in
stockholder's equity and cash flows of the Company for the three and six-month
periods ended June 30, 2000 were reviewed by other accountants whose report
(dated August 3, 2000) stated that they were not aware of any material
modifications that should be made to those statements for them to be in
conformity with accounting principles generally accepted in the United States.

We conducted our review in accordance with standards established by the American
Institute of Certified Public Accountants. A review of interim financial
information consists principally of applying analytical procedures to financial
data, and making inquiries of persons responsible for financial and accounting
matters. It is substantially less in scope than an audit conducted in accordance
with auditing standards generally accepted in the United States, which will be
performed for the full year with the objective of expressing an opinion
regarding the financial statements taken as a whole. Accordingly, we do not
express such an opinion.

Based on our review, we are not aware of any material modifications that should
be made to the accompanying condensed financial statements referred to above for
them to be in conformity with accounting principles generally accepted in the
United States.


                                                   /s/ Ernst & Young LLP


Hartford, Connecticut
August 13, 2001



                                       11
<Page>

ITEM 2.  MANAGEMENT'S ANALYSIS OF THE RESULTS OF OPERATIONS

The following analysis presents a review of the Company for the three months and
six months ended June 30, 2001 and 2000. This review should be read in
conjunction with the financial statements and other data presented herein as
well as in the "Management's Analysis of the Results of Operations" section of
the Company's 2000 Annual Report on Form 10-K.

OVERVIEW

Recent Developments

On December 13, 2000, ING America Insurance Holdings, Inc., an indirect wholly
owned subsidiary of ING Groep N.V. ("ING"), acquired Aetna Inc., comprised of
the Aetna Financial Services business, of which the Company is a part, and the
Aetna International business, for approximately $7.7 billion. The purchase price
was comprised of approximately $5.0 billion in cash and the assumption of $2.7
billion of outstanding debt and other net liabilities. In connection with the
acquisition, Aetna Inc. was renamed Lion Connecticut Holdings Inc. ("Lion"). At
the time of the sale, Lion entered into certain transition services agreements
with a former related party, Aetna U.S. Healthcare, which was renamed Aetna Inc.
("former Aetna"). Refer to Note 3 of Condensed Notes to Financial Statements for
more information on the acquisition.


                                       12
<Page>


RESULTS OF OPERATIONS
<Table>
<Caption>
                                            THREE MONTHS ENDED JUNE 30,   SIX MONTHS ENDED JUNE 30,
                                            ---------------------------- ----------------------------
(Millions)                                        2001           2000          2001          2000
----------------------------------------    -------------- ------------- ------------- --------------
<S>                                         <C>            <C>           <C>           <C>
Charges assessed against policyholders        $     3.4      $     4.4     $     7.0     $     8.9
Net investment income                               2.5            2.6           5.2           5.3
Net realized capital gains (losses)                 0.6           (0.4)          0.7          (0.9)
Other income                                        0.3            0.4           0.6           0.8
------------------------------------------- -------------- ------------- ------------- --------------
    Total revenue                                   6.8            7.0          13.5          14.1
------------------------------------------- -------------- ------------- ------------- --------------
Current and future benefits                         1.7            1.9           3.5           3.9
Operating expenses:
  Salaries and related benefits                     0.1            0.3           0.3           0.5
  Other                                             0.8            1.1           1.4           2.1
Amortization of deferred policy acquisition costs
 and value of business  acquired                    1.4            1.3           3.4           2.8
Amortization of goodwill                            0.6            -             1.2           -
------------------------------------------- -------------- ------------- ------------- --------------
    Total benefits and expenses                     4.6            4.6           9.8           9.3
------------------------------------------- -------------- ------------- ------------- --------------
Income before income taxes                          2.2            2.4           3.7           4.8
Income taxes                                        0.9            0.8           1.7           1.6
------------------------------------------- -------------- ------------- ------------- --------------
Net income                                    $     1.3      $     1.6     $     2.0     $     3.2
=========================================== ============== ============= ============= ==============
Net realized capital gains (losses), net
 of tax (included above)                            0.4           (0.3)    $     0.5     $    (0.6)
=========================================== ============== ============= ============= ==============
Deposits not included above:
 Annuities - fixed options                    $     2.1      $     0.7     $     4.6     $     1.6
 Annuities - variable options                       9.0            2.2          19.8           5.8
------------------------------------------- -------------- ------------- ------------- --------------
     Total                                    $    11.1      $     2.9     $    24.4     $     7.4
=========================================== ============== ============= ============= ==============
Assets under management:
 Annuities - fixed options  (1)(2)                                         $   170.1     $   206.9
 Annuities - variable options (3)                                              827.3       1,071.1
------------------------------------------- -------------- ------------- ------------- --------------
     Total  (4)                                                            $   997.4     $ 1,278.0
=========================================== ============== ============= ============= ==============
</Table>

(1) Excludes net unrealized capital gains of $3.1 million at June 30, 2001 and
    net unrealized capital losses of $4.5 million at June 30, 2000.
(2) Includes $66.4 million and $75.4 million related to the assets supporting a
    guaranteed interest option at June 30, 2001 and June 30, 2000, respectively.
(3) Includes $640.8 million and $828.7 million at June 30, 2001 and June 30,
    2000, respectively, of assets invested through the Company's products in
    unaffiliated mutual funds.
(4) Includes $105.6 million and $323.9 million of assets managed by Aeltus
    Investment Management, Inc., an affiliate of the Company, at June 30, 2001
    and June 30, 2000, respectively, and includes $80.9 million and $125.4
    million of assets managed by the Company's parent, ALIAC, at June 30, 2001
    and June 30, 2000, respectively.

Net income for the three months ended June 30, 2001 decreased $0.3 million
compared to the same period in 2000. Excluding goodwill amortization and net
realized capital gains and losses, results for the three months ended June 30,
2001 decreased $0.4 million compared to the same period in 2000. Net income for
the six months ended June 30, 2001 decreased by $1.2 million compared to the
same period in 2000. Excluding goodwill amortization and net realized capital
gains and losses, results for the six months ended June 30, 2001 decreased $1.1
million compared to the same period in 2000.


                                       13
<Page>

RESULTS OF OPERATIONS (continued)

The decreases in earnings for the three months and six months ended June 30,
2001 are due primarily to a decrease in charges assessed against policyholders
and an increase in the effective tax rate partially offset by a decrease in
operating expenses.

Substantially all of the charges assessed against policyholders reported by the
Company are derived from assets under management. For the quarter ended June 30,
2001, assets under management decreased $281 million, or 22%, compared to the
same period in 2000 primarily due to a decline in the stock market.

Annuity deposits relate to annuity contracts not containing life contingencies.
Deposits increased by $8 million and $17 million for the three months and six
months ended June 30, 2001, respectively, compared to the same periods in 2000
primarily due to an increase in group annuity sales partially offset by a
decrease in individual annuity sales. Refer to the "Outlook" section of
Management's Analysis of the Results of Operations in the Company's 2000 Annual
Report on Form 10-K.

Lower operating expenses for the three months and six months ended June 30, 2001
are a result of the Company's decision to not actively market its annuity
products to individuals (refer to the "Outlook" section of Management's Analysis
of the Results of Operations in the Company's 2000 Annual Report on Form 10-K).

The increase in the effective tax rate for the three months and six months ended
June 30, 2001 is primarily related to the disallowance of goodwill amortization
as a deduction and a decrease in the deduction for dividends received.

GENERAL ACCOUNT INVESTMENTS

Effective April 1, 2001, ING Investment Management, LLC, an affiliate of the
Company, became the advisor of the Company's general account investments
replacing Aeltus Investment Management, Inc, another affiliate of the Company.

The Company's invested assets were comprised of the following:
<Table>
<Caption>
(MILLIONS)                                                  JUNE 30, 2001       DECEMBER 31, 2000
---------------------------------------------------------------------------------------------------
<S>                                                      <C>                   <C>
Debt securities, available for sale, at fair value (1)          $ 122.5               $ 132.3
Nonredeemable preferred stock                                       -                     1.0
Short-term investments (2)                                         15.3                   2.7
-------------------------------------------------------- --------------------- --------------------
     Total investments                                          $ 137.8               $ 136.0
======================================================== ===================== ====================
</Table>

(1) Includes $13.7 million and $5.8 million of debt securities pledged to
    creditors at June 30, 2001 and December 31, 2000, respectively.
(2) Includes $2.3 million of short-term investments pledged to creditors at
    December 31, 2000.


                                       14
<Page>

GENERAL ACCOUNT INVESTMENTS (continued)

Debt Securities

At June 30, 2001 and December 31, 2000, the Company's carrying value of
available for sale debt securities including debt securities pledged to
creditors (herein after referred to as "total debt securities") represented 89%
and 97%, respectively, of the total general account invested assets. For the
same periods, debt securities equal to $109.2 million (89% of the total debt
securities) and $119.1 million (90% of the total debt securities), respectively,
supported experience-rated contracts. Total debt securities reflected net
unrealized capital gains of $3.1 million and $0.8 million at June 30, 2001 and
December 31, 2000, respectively.

It is management's objective that the portfolio of debt securities be of high
quality and be well diversified by market sector. The debt securities in the
Company's portfolio are generally rated by external rating agencies, and, if not
externally rated, are rated by the Company on a basis believed to be similar to
that used by the rating agencies. The average quality rating of the Company's
debt security portfolio was AA at June 30, 2001 and AA- at December 31, 2000.

The percentage of total debt securities by quality rating category is as
follows:

<Table>
<Caption>
                            JUNE 30, 2001        DECEMBER 31, 2000
---------------------------------------------------------------------
<S>                      <C>                   <C>
AAA                              50.6%                  46.8%
AA                                6.3                    5.8
A                                28.4                   31.2
BBB                              13.3                   16.2
BB and below                      1.4                    -
----------------------- ---------------------- ----------------------
  Total                         100.0%                 100.0%
======================= ====================== ======================
</Table>

The percentage of total debt securities by market sector is as follows:

<Table>
<Caption>
                                                         JUNE 30, 2001      DECEMBER 31, 2000
----------------------------------------------------------------------------------------------
<S>                                                   <C>                 <C>
U.S. Corporate                                               53.6%                56.2%
U.S. Treasuries/Agencies                                     18.4                 11.2
Mortgage-Backed                                              15.1                 23.7
Asset-Backed                                                 12.9                  8.1
Foreign Securities - U.S. Dollar Denominated                  -                    0.8
---------------------------------------------------- -------------------- --------------------
  Total                                                     100.0%               100.0%
==================================================== ==================== ====================
</Table>

FORWARD-LOOKING INFORMATION/RISK FACTORS

The "Forward-Looking Information/Risk Factors" section of AICA's 2000 Annual
Report on Form 10-K contains discussions of important risk factors related to
the Company's businesses.

                                       15
<Page>

PART II.  OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

The Company is not currently involved in any material litigation.


ITEM 5.  OTHER INFORMATION

RATINGS

The Company's financial strength ratings at August 9, 2001 and May 11, 2001 are
as follows:

<Table>
<Caption>
                                                    RATING AGENCIES
                            ------------------------------------------------------------------
                                                                  MOODY'S           STANDARD &
                             A.M. BEST         FITCH          INVESTORS SERVICE       POOR'S
<S>                          <C>               <C>            <C>                  <C>
----------------------------------------------------------------------------------------------
August 9, 2001                   A+                AA+             Aa2               AA+
May 11, 2001                     A+                AA+             Aa2               AA+
----------------------------------------------------------------------------------------------
</Table>


ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)      Exhibits

         None

  (b)    Reports on Form 8-K

         Incorporated by reference to Form 8-K as filed on May 8, 2001 to
         disclose a change in certifying accountant.


                                       16
<Page>


                                    SIGNATURE

    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.

                                    AETNA INSURANCE COMPANY OF AMERICA
                                    ----------------------------------
                                                       (Registrant)


        August 14, 2001            By   /s/ Deborah Koltenuk
    ------------------------         ------------------------------------------
             (Date)                     Deborah Koltenuk
                                        Vice President and Corporate Controller
                                           (Chief Accounting Officer)


                                       17