<PAGE>

================================================================================

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                              --------------------

                                    FORM 10-Q

(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 1-12749

                              HARTFORD LIFE, INC.
             (Exact name of registrant as specified in its charter)

           DELAWARE                                             06-1470915
(State or other jurisdiction of                              (I.R.S. Employer
incorporation or organization)                               Identification No.)

               200 HOPMEADOW STREET, SIMSBURY, CONNECTICUT 06089
                    (Address of principal executive offices)

                                 (860) 547-5000
              (Registrant's telephone number, including area code)

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]

As of April 30, 2003 there were outstanding 1,000 shares of Common Stock, $0.01
par value per share, of the registrant, all of which were directly owned by
Hartford Holdings, Inc., a direct wholly owned subsidiary of The Hartford
Financial Services Group, Inc.

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>

                                     INDEX

<TABLE>
<CAPTION>
                                                                                         PAGE
                                                                                         ----
<S>                                                                                      <C>
Independent Accountants' Review Report                                                     3

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

Condensed Consolidated Statements of Income - Three Months Ended March 31, 2003
and 2002                                                                                   4

Condensed Consolidated Balance Sheets - March 31, 2003 and December 31, 2002               5

Condensed Consolidated Statements of Changes in
Stockholder's Equity - Three Months Ended March 31, 2003 and 2002                          6

Condensed Consolidated Statements of Cash Flows - Three Months
Ended March 31, 2003 and 2002                                                              7

Notes to Condensed Consolidated Financial Statements                                       8

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS                                                       13

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                        27

ITEM 4. CONTROLS AND PROCEDURES                                                           27

PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS                                                                 27

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K                                                  27

Signature                                                                                 28

Certifications                                                                            29
</TABLE>

<PAGE>

INDEPENDENT ACCOUNTANTS' REVIEW REPORT

Board of Directors and Stockholder
Hartford Life, Inc.
Hartford, Connecticut

We have reviewed the accompanying condensed consolidated balance sheet of
Hartford Life, Inc and subsidiaries (the "Company") as of March 31, 2003, and
the related condensed consolidated statements of income, changes in
stockholder's equity, and cash flows for the three-month periods ended March 31,
2003 and 2002. These financial statements are the responsibility of the
Company's management.

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 of 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 of America, the
objective of which is the expression of 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 such condensed consolidated financial statements for them to be in
conformity with accounting principles generally accepted in the United States of
America.

We have previously audited, in accordance with auditing standards generally
accepted in the United States of America, the consolidated balance sheet of the
Company as of December 31, 2002, and the related consolidated statements of
income, changes in stockholders' equity, and cash flows for the year then ended
(not presented herein); and in our report dated February 19, 2003, which
includes an explanatory paragraph relating to the Company's change in its method
of accounting for goodwill and indefinite-lived intangible assets in 2002, we
expressed an unqualified opinion on those consolidated financial statements. In
our opinion, the information set forth in the accompanying condensed
consolidated balance sheet as of December 31, 2002 is fairly stated, in all
material respects, in relation to the consolidated balance sheet from which it
has been derived.

DELOITTE & TOUCHE LLP
Hartford, Connecticut
May 12, 2003

<PAGE>

PART I. FINANCIAL INFORMATION

     ITEM 1. FINANCIAL STATEMENTS

                      HARTFORD LIFE, INC. AND SUBSIDIARIES
                   CONDENSED CONSOLIDATED STATEMENTS OF INCOME

<TABLE>
<CAPTION>
                                                                              THREE MONTHS
                                                                                  ENDED
                                                                                MARCH 31,
(In millions) (Unaudited)                                                  2003          2002
-----------------------------------------------------------------------------------------------
<S>                                                                     <C>             <C>
REVENUES
Fee income                                                              $      617          662
Earned premiums and other                                                      710          741
Net investment income                                                          507          448
Net realized capital losses                                                    (48)         (15)
-----------------------------------------------------------------------------------------------
      TOTAL REVENUES                                                         1,786        1,836
      -----------------------------------------------------------------------------------------

BENEFITS, CLAIMS AND EXPENSES
Benefits and claims                                                          1,083        1,057
Insurance expenses and other                                                   340          371
Amortization of deferred policy acquisition costs and present
    value of future profits                                                    163          152
Dividends to policyholders                                                      15            6
Interest expense                                                                29           28
-----------------------------------------------------------------------------------------------
       TOTAL BENEFITS, CLAIMS AND EXPENSES                                   1,630        1,614
       ----------------------------------------------------------------------------------------

       INCOME BEFORE INCOME TAX EXPENSE                                        156          222
Income tax expense                                                              30           52
-----------------------------------------------------------------------------------------------

       NET INCOME                                                       $      126      $   170
       ----------------------------------------------------------------------------------------
</TABLE>

            SEE NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS.

<PAGE>
                      HARTFORD LIFE, INC. AND SUBSIDIARIES
                      CONDENSED CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                                               MARCH 31,       DECEMBER 31,
(In millions, except for share data)                                                             2003              2002
---------------------------------------------------------------------------------------------------------------------------
                                                                                             (Unaudited)
<S>                                                                                          <C>               <C>
ASSETS
 Investments
 Fixed maturities, available for sale, at fair value (amortized cost of
      $30,092 and $27,982)                                                                   $     31,676      $     29,377
 Equity securities, available for sale, at fair value (cost of $402 and $483)                         410               458
 Policy loans, at outstanding balance                                                               2,876             2,934
 Other investments                                                                                  1,071             1,122
---------------------------------------------------------------------------------------------------------------------------
      Total investments                                                                            36,033            33,891
 Cash                                                                                                 289               179
 Premiums receivable and agents' balances                                                             191               208
 Reinsurance recoverables                                                                             865               796
 Deferred policy acquisition costs and present value of future profits                              5,904             5,758
 Deferred income taxes                                                                               (347)             (274)
 Goodwill                                                                                             796               796
 Other assets                                                                                       1,329             1,362
 Separate account assets                                                                          108,068           107,078
---------------------------------------------------------------------------------------------------------------------------
      TOTAL ASSETS                                                                           $    153,128      $    149,794
      =====================================================================================================================

LIABILITIES
 Reserve for future policy benefits                                                          $      8,735      $      8,583
 Other policyholder funds                                                                          25,252            23,957
 Long-term debt                                                                                     1,125             1,125
 Company obligated mandatorily redeemable preferred securities of subsidiary
      trust holding solely parent junior subordinated debentures                                      450               450
 Other liabilities                                                                                  3,607             2,913
 Separate account liabilities                                                                     108,068           107,078
---------------------------------------------------------------------------------------------------------------------------
      TOTAL LIABILITIES                                                                           147,237           144,106
      =====================================================================================================================

STOCKHOLDER'S EQUITY
 Common Stock - 1,000 shares authorized, issued and outstanding;
      par value $0.01                                                                                   -                 -
 Capital surplus                                                                                    1,970             1,970
 Accumulated other comprehensive income (loss)
     Net unrealized capital gains (losses) on securities, net of tax                                  842               747
     Foreign currency translation adjustments                                                         (39)              (39)
Total accumulated other comprehensive income (loss)                                                   803               708
 Retained earnings                                                                                  3,118             3,010
---------------------------------------------------------------------------------------------------------------------------
      TOTAL STOCKHOLDER'S EQUITY                                                                    5,891             5,688
      =====================================================================================================================
             TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY                                      $    153,128      $    149,794
             ==============================================================================================================
</TABLE>

            SEE NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS.


<PAGE>
                      HARTFORD LIFE, INC. AND SUBSIDIARIES
      CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY

THREE MONTHS ENDED MARCH 31, 2003

<TABLE>
<CAPTION>
                                                                      ACCUMULATED OTHER
                                                                 COMPREHENSIVE INCOME (LOSS)
                                                         -------------------------------------------

                                                         NET UNREALIZED   NET GAIN ON
                                                            CAPITAL        CASH FLOW       FOREIGN
                                                         GAINS (LOSSES)     HEDGING        CURRENCY                   TOTAL
                                      COMMON   CAPITAL   ON SECURITIES,   INSTRUMENTS,   TRANSLATION    RETAINED   STOCKHOLDER'S
   (In millions) (Unaudited)           STOCK   SURPLUS     NET OF TAX      NET OF TAX    ADJUSTMENTS    EARNINGS      EQUITY
--------------------------------------------------------------------------------------------------------------------------------
<S>                                   <C>      <C>       <C>              <C>            <C>            <C>        <C>
Balance, December 31, 2002             $   -   $ 1,970      $    621        $   126        $  (39)      $  3,010        $  5,688
Comprehensive income
Net income                                                                                                   126             126
                                                                                                                   -------------
Other comprehensive income, net of
 tax (1)
  Unrealized gain on securities (2)                              117                                                         117
  Net loss on cash flow hedging
        Instruments                                                             (22)                                         (22)
                                                                                                                   -------------
Total other comprehensive income                                                                                              95
                                                                                                                   -------------
    Total comprehensive income                                                                                               220
                                                                                                                   -------------
Dividends declared                                                                                           (18)            (18)
================================================================================================================================
    BALANCE, MARCH 31, 2003            $   -   $ 1,970      $    738        $   104        $  (39)      $  3,118        $  5,891
================================================================================================================================
</TABLE>

THREE MONTHS ENDED MARCH 31, 2002

<TABLE>
<CAPTION>
                                                                      ACCUMULATED OTHER
                                                                 COMPREHENSIVE INCOME (LOSS)
                                                         -------------------------------------------

                                                         NET UNREALIZED   NET GAIN ON
                                                            CAPITAL        CASH FLOW       FOREIGN
                                                         GAINS (LOSSES)     HEDGING        CURRENCY                   TOTAL
                                      COMMON   CAPITAL   ON SECURITIES,   INSTRUMENTS,   TRANSLATION    RETAINED   STOCKHOLDER'S
   (In millions) (Unaudited)           STOCK   SURPLUS     NET OF TAX      NET OF TAX    ADJUSTMENTS    EARNINGS      EQUITY
--------------------------------------------------------------------------------------------------------------------------------
<S>                                   <C>      <C>       <C>              <C>            <C>            <C>        <C>
Balance, December 31, 2001            $    -   $ 1,895      $    163        $    62        $  (29)      $  2,519        $  4,610
Comprehensive income

Net income                                                                                                   170             170
                                                                                                                   -------------
Other comprehensive income, net of
 tax (1)
  Unrealized loss on securities (2)                             (159)                                                       (159)
  Net loss on cash flow hedging
        Instruments                                                             (17)                                         (17)
  Cumulative translation adjustments                                                           (4)                            (4)
                                                                                                                   -------------
Total other comprehensive income                                                                                            (180)
                                                                                                                   -------------
    Total comprehensive income                                                                                               (10)
                                                                                                                   -------------
Dividends declared                                                                                           (16)            (16)
================================================================================================================================
    BALANCE, MARCH 31, 2002           $    -   $ 1,895      $      4        $    45        $  (33)      $  2,673       $   4,584
================================================================================================================================
</TABLE>

(1)  Unrealized gain (loss) on securities is reflected net of tax provision
     (benefit) of $63 and $(86) for the three months ended March 31, 2003 and
     2002, respectively. Net loss on cash flow hedging instruments is net of tax
     benefit of $(12) and $(9) for the three months ended March 31, 2003 and
     2002. There is no tax effect on cumulative translation adjustments.

(2)  There were reclassification adjustments for after-tax losses in the amount
     of $30 and $7 realized in net income for the three months ended March 31,
     2003 and 2002, respectively.

            SEE NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

<PAGE>

                      HARTFORD LIFE, INC. AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                                                                       THREE MONTHS ENDED
                                                                                                           MARCH 31,
                                                                                                 -----------------------------
(In millions) (Unaudited)                                                                             2003            2002
------------------------------------------------------------------------------------------------------------------------------
<S>                                                                                              <C>              <C>
OPERATING ACTIVITIES
   Net income                                                                                    $        126     $        170
ADJUSTMENTS TO RECONCILE NET INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES
   Net realized capital losses                                                                             48               15
   Amortization of deferred policy acquisition costs and present value of
      future profits                                                                                      163              152
   Additions to deferred policy acquisition costs and present value of future profits                    (342)            (273)
   Depreciation and amortization                                                                           34                7
   Decrease (increase) in premiums receivable and agents' balances                                         17              (41)
   Increase in receivables                                                                                (37)             (22)
   Decrease in accrued liabilities and payables                                                           (46)             (42)
   Increase (decrease) in other liabilities                                                                90              (89)
   Decrease in accrued tax                                                                                (17)             (29)
   Increase in deferred income tax                                                                         25               87
   Increase in future policy benefits                                                                     152              205
   Decrease (increase) in reinsurance recoverables                                                        (55)              12
   Other, net                                                                                             (42)             (54)
------------------------------------------------------------------------------------------------------------------------------
      NET CASH PROVIDED BY OPERATING ACTIVITIES                                                           116               98
------------------------------------------------------------------------------------------------------------------------------
INVESTING ACTIVITIES
   Purchases of investments                                                                            (4,159)          (2,694)
   Sales of investments                                                                                 2,015            1,819
   Maturities and principal paydowns of fixed maturity investments                                        888              395
   Capital expenditures and other                                                                         (12)             (17)
------------------------------------------------------------------------------------------------------------------------------
      NET CASH USED FOR INVESTING ACTIVITIES                                                           (1,268)            (497)
------------------------------------------------------------------------------------------------------------------------------
FINANCING ACTIVITIES
   Dividends paid                                                                                         (17)             (16)
   Net receipts from investment and universal life-type contracts                                       1,279              392
------------------------------------------------------------------------------------------------------------------------------
      NET CASH PROVIDED BY FINANCING ACTIVITIES                                                         1,262              376
------------------------------------------------------------------------------------------------------------------------------
   Net increase (decrease) in cash                                                                        110              (23)
   Impact of foreign exchange                                                                               -               (2)
------------------------------------------------------------------------------------------------------------------------------
   Cash - beginning of period                                                                             179              167
------------------------------------------------------------------------------------------------------------------------------
      CASH - END OF PERIOD                                                                       $        289     $        142
==============================================================================================================================

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
NET CASH PAID DURING THE PERIOD FOR
Income taxes                                                                                     $         16     $         -
Interest                                                                                         $         24     $        23
</TABLE>

           SEE NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS.

<PAGE>

              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
             (Dollar amounts in millions, unless otherwise stated)
                                  (Unaudited)

1.   ORGANIZATION AND DESCRIPTION OF BUSINESS

Hartford Life, Inc. (a Delaware corporation), together with its consolidated
subsidiaries ("Hartford Life" or the "Company"), is a leading financial services
and insurance organization which provides, primarily in the United States,
investment, retirement, estate planning and group benefits products. Hartford
Life, Inc. was formed on December 13, 1996 and capitalized on December 16, 1996
with the contribution of all the outstanding common stock of Hartford Life and
Accident Insurance Company ("HLA"), a subsidiary of The Hartford Financial
Services Group, Inc. ("The Hartford"). Pursuant to an initial public offering
(the "IPO") on May 22, 1997, Hartford Life sold to the public 26 million shares
of Class A Common Stock at $28.25 per share and received proceeds, net of
offering expenses, of $687. The 26 million shares sold in the IPO represented
approximately 18.6% of the equity ownership in Hartford Life. On June 27, 2000,
The Hartford acquired all of the outstanding common shares of Hartford Life not
already owned by The Hartford ("The Hartford Acquisition"). As a result of The
Hartford Acquisition, Hartford Life became a direct subsidiary of Hartford Fire
Insurance Company ("Hartford Fire"), a direct wholly-owned subsidiary of The
Hartford. During the third quarter of 2002, Hartford Life became a direct
subsidiary of Hartford Holdings, Inc., a direct wholly owned subsidiary of The
Hartford. Hartford Life, Inc. is a holding company, and as such, has no material
business of its own.

2.   BASIS OF PRESENTATION AND ACCOUNTING POLICIES

(a)  BASIS OF PRESENTATION

The Condensed Consolidated Financial Statements have been prepared on the basis
of accounting principles generally accepted in the United States, which differ
materially from the accounting prescribed by various insurance regulatory
authorities. Less than majority-owned subsidiaries in which the Company has at
least a 20% interest are reported on the equity basis. All intercompany
transactions and balances between Hartford Life, its subsidiaries and affiliates
have been eliminated.

The accompanying consolidated financial statements and the condensed notes as of
March 31,2003, and for the first quarters ended March 31, 2003 and 2002 are
unaudited. These financial statements reflect all adjustments (consisting only
of normal accruals) which are, in the opinion of management, necessary for the
fair presentation of the financial position, results of operations, and cash
flows for the interim periods. These financial statements and condensed notes
should be read in conjunction with the consolidated financial statements and
notes thereto included in Hartford Life's 2002 Form 10-K Annual Report. The
results of operations for the interim periods should not be considered
indicative of results to be expected for the full year.

(b)  RECLASSIFICATIONS

Certain reclassifications have been made to prior year financial information to
conform to the current year classifications.

(c)  USE OF ESTIMATES

The preparation of financial statements, in conformity with accounting
principles generally accepted in the United States, requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those estimates.

The most significant estimates include those used in determining reserves,
deferred policy acquisition costs, valuation of investments and derivative
instruments and contingencies.

(d)  SIGNIFICANT ACCOUNTING POLICIES

For a description of accounting policies, see Note 2 of Notes to Consolidated
Financial Statements included in Hartford Life's 2002 Form 10-K Annual Report.

(e)  ADOPTION OF NEW ACCOUNTING STANDARDS

In January 2003, the Financial Accounting Standards Board ("FASB") issued
Interpretation No. 46, "Consolidation of Variable Interest Entities" ("FIN 46")
which requires an enterprise to assess if consolidation of an entity is
appropriate based upon its variable economic interests in a variable interest
entity ("VIE"). The initial determination of whether an entity is a VIE shall be
made on the date at which an enterprise becomes involved with the entity. A VIE
is an entity in which the equity investors do not have the characteristics of a
controlling financial interest or do not have sufficient equity at risk for the
entity to finance its activities without additional subordinated financial
support from other parties. An enterprise shall consolidate a VIE if it has a
variable interest that will absorb a majority of the VIEs expected losses if
they occur, receive a majority of the entity's expected residual returns if they
occur or both. FIN 46 is effective for new VIEs established or purchased
subsequent to January 31, 2003. For VIEs entered into prior to February 1, 2003,
FIN 46 is effective for interim periods beginning after June 15, 2003. During
the three months ended March 31, 2003, the Company has not entered into our
established any VIEs that would require consolidation under FIN 46.

The Company invests in a variety of investment structures that require analysis
under FIN 46, including asset-backed securities, partnerships and certain trust
securities and is currently assessing the impact of adopting FIN 46. Based upon
a preliminary review, the adoption of FIN 46 is not expected to have a material
impact on the Company's financial condition or results of operations as

<PAGE>

there were no material VIEs identified which would require consolidation. FIN 46
further requires the disclosure of certain information related to VIEs in which
the Company holds a significant variable interest. The Company does not believe
that it owns any such interests that require disclosure at this time.

In November 2002, the FASB issued Interpretation No. 45, "Guarantor's Accounting
and Disclosure Requirements for Guarantees, Including Indirect Guarantees of
Indebtedness of Others" ("FIN 45" or "the Interpretation"). FIN 45 requires
certain guarantees to be recorded at fair value and also requires a guarantor to
make new disclosures, even when the likelihood of making payments under the
guarantee is remote. In general, the Interpretation applies to contracts or
indemnification agreements that contingently require the guarantor to make
payments to the guaranteed party based on changes in an underlying that is
related to an asset, liability or an equity security of the guaranteed party.
The recognition provisions of FIN 45 are effective on a prospective basis for
guarantees issued or modified after December 31, 2002. The disclosure
requirements are effective for financial statements of interim and annual
periods ending after December 15, 2002. (For further discussion, see Note 2(e)
of Notes to Consolidated Financial Statements included in Hartford Life's 2002
Form 10-K Annual Report.) Adoption of this statement did not have a material
impact on the Company's consolidated financial condition or results of
operations.

In June 2002, the FASB issued Statement of Financial Accounting Standards
("SFAS") No. 146, "Accounting for Costs Associated with Exit or Disposal
Activities", which addresses financial accounting and reporting for costs
associated with exit or disposal activities and nullifies EITF Issue No. 94-3,
"Liability Recognition for Certain Employee Termination Benefits and Other Costs
to Exit an Action (including Certain Costs Incurred in a Restructuring)" ("Issue
94-3"). The principal difference between SFAS No. 146 and Issue 94-3 is that
SFAS No. 146 requires that a liability for a cost associated with an exit or
disposal activity be recognized when the liability is incurred, rather than at
the date of an entity's commitment to an exit plan. SFAS No. 146 is effective
for exit or disposal activities after December 31, 2002. Adoption of SFAS No.
146 will result in a change in the timing of when a liability is recognized if
the Company has restructuring activities after December 31, 2002. Adoption of
this statement did not have a material impact on the Company's consolidated
financial condition or results of operations.

(f) FUTURE ADOPTION OF NEW ACCOUNTING STANDARDS

In April 2003, the FASB issued guidance in FASB Statement No. 133 Implementation
Issue No. B36, "Embedded Derivatives: Bifurcation of a Debt Instrument That
Incorporates Both Interest Rate Risk and Credit Risk Exposures That Are
Unrelated or Only Partially Related to the Creditworthiness of the Issuer of
That Instrument", ("DIG B36") that addresses in what instances in which
bifurcation of an instrument into a debt host contract and an embedded credit
derivative is required. Specifically, one of the examples is related to the
bifurcation of an embedded derivative within a reinsurer's receivable and ceding
company's payable which arises from a modified coinsurance arrangement. DIG B36
indicates that bifurcation is necessary in a modified coinsurance arrangement
because the yield on the receivable and payable is based on a specified
proportion of the ceding company's return on either its general account assets
or a specified block of those assets, rather than the overall creditworthiness
of the ceding company. The Company believes that the majority of its modified
coinsurance and funds withheld agreements are out of the scope of DIG B36. While
the Company believes there will be no material effect on its results of
operations or financial condition due to the implementation of this guidance, it
is currently evaluating those potential impacts. The guidance is effective for
periods beginning after September 15, 2003.

DIG B36 is also applicable to corporate issued debt securities that incorporate
credit risk exposures that are unrelated or only partially related to the
creditworthiness of the obligor. The Company is currently evaluating the impact
of DIG B36 on such corporate issued debt securities. The Company does not
believe the adoption of DIG B36 will have a material effect on the Company's
consolidated financial condition or results of operations.

(g) EXPENSING STOCK OPTIONS

In December 2002, the FASB issued SFAS No. 148, "Accounting for Stock-Based
Compensation - Transition and Disclosure and Amendment to FASB No. 123", which
provides three optional transition methods for entities that decide to
voluntarily adopt the fair value recognition principles of SFAS No. 123,
"Accounting for Stock Issued to Employees", and modifies the disclosure
requirements of SFAS No. 123. Under the prospective method, stock-based
compensation expense is recognized for awards granted after the beginning of the
fiscal year in which the change is made. In January 2003, The Hartford adopted
the fair value recognition provisions of accounting for employee stock
compensation and will use the prospective method to calculate stock-based
compensation expense. Under the prospective method The Hartford will expense all
stock-based compensation awards granted after January 1, 2003. The allocated
expense to the Company from The Hartford associated with these awards for the
first quarter ending March 31, 2003, was immaterial.

All stock-based compensation awards granted prior to January 1, 2003, will
continue to be valued using the intrinsic value-based provisions set forth in
APB Opinion No. 25. Under the intrinsic value method, compensation expense is
determined on the measurement date, which is the first date on which both the
number of shares the employee is entitled to receive, and the exercise price are
known. Compensation expense, if any, is measured based on the award's intrinsic
value, which is the excess of the market price of the stock over the exercise
price on the measurement date. For the quarters ended March 31, 2003 and 2002,
the Hartford's after-tax compensation expense related to its stock-based
compensation plans, including the expense associated with the transition to SFAS
No. 123 and non-option plans, was $1. The expense, including non-option plans,
related to stock-based employee compensation included in the determination of
net income for the first quarter ended March 31, 2003 is less than that which
would have been recognized if the fair value method had been applied to all
awards since the effective date of SFAS No. 123. (For further discussion of the
Company's stock compensation plans, see Note 11 of Notes to Consolidated
Financial Statements included in The Hartford's 2002 Form 10-K Annual Report.)

<PAGE>

3.  GOODWILL AND OTHER INTANGIBLE ASSETS

Effective January 1, 2002, the Company adopted SFAS No. 142, "Goodwill and Other
Intangible Assets", and accordingly ceased all amortization of goodwill. The
carrying amount of goodwill is $796 as of March 31, 2003 and December 31, 2002.

The following table shows the Company's acquired intangible assets that continue
to be subject to amortization and aggregate amortization expense. Except for
goodwill, the Company has no intangible assets with indefinite useful lives.

<TABLE>
<CAPTION>
                                                                AS OF MARCH 31, 2003
                                                            ----------------------------
                                                              GROSS         ACCUMULATED
                                                             CARRYING           NET
AMORTIZED INTANGIBLE ASSETS                                   AMOUNT        AMORTIZATION
----------------------------------------------------------------------------------------
<S>                                                         <C>             <C>
Present value of future profits                             $      520       $       85
----------------------------------------------------------------------------------------
TOTAL                                                       $      520       $       85
========================================================================================
</TABLE>

Net amortization expense for the three months ended March 31, 2003 and 2002 was
$5 and $8, respectively.

Estimated future net amortization expense for the succeeding five years is as
follows:

<TABLE>
<CAPTION>
FOR THE YEAR ENDING DECEMBER 31,
-------------------------------------------------
<S>                                   <C>
              2003                    $    42
              2004                    $    39
              2005                    $    36
              2006                    $    34
              2007                    $    31
---------------------------------------------
</TABLE>

4.  DERIVATIVES AND HEDGING ACTIVITIES

 The Company utilizes a variety of derivative instruments, including swaps,
caps, floors, forwards and exchange traded futures and options, through one of
four Company-approved objectives: to hedge risk arising from interest rate,
price or currency exchange rate volatility; to manage liquidity; to control
transaction costs; or to enter into income enhancement and replication
transactions.

All of the Company's derivative transactions are permitted uses of derivatives
under the derivatives use plan filed and/or approved, as applicable, by the
State of Connecticut and State of New York insurance departments. The Company
does not make a market or trade in these instruments for the express purpose of
earning short-term trading profits.

For a detailed discussion of the Company's use of derivative instruments, see
Note 2(h) of Notes to Consolidated Financial Statements included in Hartford
Life's December 31, 2002 Form 10-K Annual Report.

As of March 31, 2003 and December 31, 2002, the Company carried $264 and $257,
respectively, of derivative assets in other investments and $170 and $162,
respectively, of derivative liabilities in other liabilities. In addition, the
Company recognized embedded derivative liabilities related to guaranteed minimum
withdrawal benefits (GMWB) on certain of its variable annuity contracts of $95
and $48 at March 31, 2003 and December 31, 2002, respectively, in other
policyholder funds. Offsetting reinsurance arrangements recognized as derivative
assets at March 31, 2003 and December 31, 2002 were $95 and $48, respectively,
and were included in reinsurance recoverables.

Cash-Flow Hedges

For the quarters ended March 31, 2003 and March 31, 2002, the Company's gross
gains and losses representing the total ineffectiveness of all cash-flow hedges
were immaterial, with the net impact reported as net realized capital gains or
losses.

Gains and losses on derivative contracts that are reclassified from accumulated
other comprehensive income ("AOCI") to current period earnings are included in
the line item in the statement of income in which the hedged item is recorded.
As of March 31, 2003 and March 31, 2002, the after-tax deferred net gains on
derivative instruments accumulated in AOCI that are expected to be reclassified
to earnings during the next twelve months are $12 and $3, respectively. This
expectation is based on the anticipated interest payments on hedged investments
in fixed maturity securities that will occur over the next twelve months, at
which time the Company will recognize the deferred net gains/losses as an
adjustment to interest income over the term of the investment cash flows. The
maximum term over which the Company is hedging its exposure to the variability
of future cash flows (for all forecasted transactions, excluding interest
payments on variable-rate debt) is twelve months. As of March 31, 2003 and
December 31, 2002, the Company held derivative notional value related to
strategies categorized as cash-flow hedges of $3.1 billion. For the quarters
ended March 31, 2003 and March 31, 2002, the net reclassifications from AOCI to
earnings resulting from the discontinuance of cash-flow hedges were immaterial.

Fair-Value Hedges

For the quarters ended March 31, 2003 and March 31, 2002, the Company's gross
gains and losses representing the total ineffectiveness of all fair-value hedges
were immaterial, with the

<PAGE>

net impact reported as net realized capital gains or losses. All components of
each derivative's gain or loss are included in the assessment of hedge
effectiveness. As of March 31, 2003 and December 31, 2002, the Company held $286
and $300, respectively, in derivative notional value related to strategies
categorized as fair-value hedges.

Other Investment and Risk Management Activities

The Company's other investment and risk management activities primarily relate
to strategies used to reduce economic risk or enhance income, and do not receive
hedge accounting treatment. Swap agreements, interest rate cap and floor
agreements and option contracts are used to reduce economic risk. Income
enhancement and replication transactions include the use of written covered call
options which offset embedded equity call options, total return swaps and
synthetic replication of cash market instruments. The change in the value of all
derivatives held for other investment and risk management purposes is reported
in current period earnings as realized capital gains or losses. As of March 31,
2003 and December 31, 2002, the Company held $5.9 billion and $4.8 billion,
respectively, in derivative notional value related to the above described
strategies.

In addition, Hartford Life issues certain variable annuity products that contain
a GMWB. The GMWB gives the policyholder the right to make periodic surrenders
that total an amount equal to the policyholders' premium payments. This
guarantee will remain in effect if periodic surrenders do not exceed an amount
equal to 7% of premium payments each contract year. If the policyholder chooses
to surrender an amount equal to more than 7% in a contract year, then the
guarantee may be reduced to an amount less than premium payments. The GMWB
represents an embedded derivative liability in the variable annuity contract. It
is carried at fair value and reported in other policyholder funds. The fair
value of the GMWB obligations are calculated based on actuarial assumptions
related to the projected benefits and related contract charges over the lives of
the contracts. Because of the dynamic and complex nature of these cash flows,
stochastic techniques under a variety of market return scenarios and other best
estimate actuarial assumptions are used. This model involves numerous estimates
and subjective judgements including those regarding expected market rates of
return and volatility.

The Company has entered into a reinsurance arrangement to offset its exposure to
the GMWB. This arrangement is recognized as a derivative asset and carried at
fair value in reinsurance recoverables. Changes in the fair value of both the
derivative assets and liabilities related to the GMWB are recorded in net
realized capital gains and losses.

5.   COMMITMENTS AND CONTINGENCIES

(a)  LITIGATION

Hartford Life is or may become involved in various legal actions, in the normal
course of its business, in which claims for alleged economic and punitive
damages have been or may be asserted, some for substantial amounts. Some of the
pending litigation has been filed as purported class actions and some actions
have been filed in certain jurisdictions that permit punitive damage awards that
are disproportionate to the actual damages incurred. Although there can be no
assurances, at the present time, the Company does not anticipate that the
ultimate liability arising from potential, pending or threatened legal actions,
after consideration of provisions made for estimated losses and costs of
defense, will have a material adverse effect on the financial condition or
operating results of the Company.

On March 15, 2002, a jury in the U.S. District Court for the Eastern District of
Missouri issued a verdict in Bancorp Services, LLC ("Bancorp") v. Hartford Life
Insurance Company ("HLIC"), et al. in favor of Bancorp in the amount of $118.
The case involved claims of patent infringement, misappropriation of trade
secrets, and breach of contract against HLIC and its affiliate International
Corporate Marketing Group, Inc. ("ICMG"). The judge dismissed the patent
infringement claim on summary judgment. The jury's award was based on the last
two claims. On August 28, 2002, the Court entered an order awarding Bancorp
prejudgment interest on the breach of contract claim in the amount of $16.

HLIC and ICMG have appealed the judgment on the trade secret and breach of
contract claims. Bancorp has cross-appealed the pretrial dismissal of its patent
infringement claim. The Company's management, based on the advice of its legal
counsel, believes that there is a substantial likelihood that the judgment will
not survive at its current amount. Based on the advice of legal counsel
regarding the potential outcomes of this litigation, the Company recorded an $11
after-tax charge in the first quarter of 2002 to increase litigation reserves.
Should HLIC and ICMG not succeed in eliminating or reducing the judgment, a
significant additional expense would be recorded in the future.

On March 16, 2003, a final decision and award was issued in the previously
disclosed arbitration between subsidiaries of the Company and one of their
primary reinsurers relating to policies with death benefits written from 1994 to
1999. The arbitration involved alleged breaches under the reinsurance treaties.
Under the terms of the final decision and award, the reinsurer's reinsurance
obligations to the Company's subsidiaries were unchanged and not limited or
reduced in any manner. The award was confirmed by the Connecticut Superior Court
on May 5, 2003.

(b)  TAX MATTERS

The Company's Federal income tax returns are routinely audited by the Internal
Revenue Service ("IRS"). The Company is currently under audit for the 1998-2001
tax years. No significant issues have been raised to date. Management believes
that adequate provision has been made in the financial statements for any
potential assessments that may result from tax examinations and other
tax-related matters for all open tax years.

6.   RELATED PARTY TRANSACTIONS

In connection with a comprehensive evaluation of various capital maintenance and
allocation strategies by The Hartford, an intercompany asset sale transaction
was partially executed on March 21, 2003. The transaction resulted in certain of
The Hartford's Property & Casualty subsidiaries selling ownership interests in
certain high quality fixed maturity securities to Hartford Life for cash equal
to the fair value of the securities as of

<PAGE>

the effective date of the sale. For the Property and Casualty subsidiaries, the
transaction monetized the embedded gain in certain securities on a tax deferred
basis to The Hartford because no capital gains tax will be paid until the
securities are sold to unaffiliated third parties. The transfer re-deployed to
Hartford Life desirable investments without incurring substantial transaction
costs that would have been payable in a comparable open market transaction. The
fair value of securities transferred on March 21, 2003 was $750.

The remaining portion of the asset sale transaction discussed above was
completed in April 2003. The fair value of securities transferred in April 2003
was $1.0 billion.

7.   SEPTEMBER 11 TERRORIST ATTACK

As a result of the September 11 terrorist attack, the Company recorded an
estimated loss amounting to $20, net of taxes and reinsurance, in the third
quarter of 2001. The Company based the loss estimate upon a review of insured
exposures using a variety of assumptions and actuarial techniques, including
estimated amounts for unknown and unreported policyholder losses. Also included
was an estimate of amounts recoverable under the Company's ceded reinsurance
programs, including the cost of additional reinsurance premiums. In the first
quarter of 2002, the Company recognized an $8 after-tax benefit related to
favorable development of reserves related to the September 11 terrorist attack.

8.   SEGMENT INFORMATION

Hartford Life is organized into four reportable operating segments: Investment
Products, Individual Life, Group Benefits (formerly Employee Benefits) and
Corporate Owned Life Insurance (COLI). Investment Products offers individual
variable and fixed annuities, mutual funds, retirement plan services and other
investment products. Individual Life sells a variety of life insurance products,
including variable life, universal life, interest sensitive whole life and term
life insurance. Group Benefits sells group insurance products, including group
life and group disability insurance as well as other products, including stop
loss and supplementary medical coverage to employers and employer sponsored
plans, accidental death and dismemberment, travel accident and other special
risk coverages to employers and associations. COLI primarily offers variable
products used by employers to fund non-qualified benefits or other
postemployment benefit obligations as well as leveraged COLI. The Company
includes in an Other category, its international operations, which are primarily
located in Japan and Latin America; realized capital gains and losses; as well
as corporate items not directly allocable to any of its reportable operating
segments, principally interest expense; and intersegment eliminations.

The accounting policies of the reportable operating segments are the same as
those described in "Basis of Presentation and Accounting Policies" in Note 2 in
the Company's 2002 Form 10-K Annual Report. Hartford Life evaluates performance
of its segments based on revenues, net income and the segment's return on
allocated capital. The Company charges direct operating expenses to the
appropriate segment and allocates the majority of indirect expenses to the
segments based on an intercompany expense arrangement. Intersegment revenues are
not significant and primarily occur between corporate and the operating
segments. These amounts include interest income on allocated surplus and the
allocation of net realized capital gains and losses through net investment
income utilizing the duration of the segment's investment portfolios. The
Company's revenues are primarily derived from customers within the United
States. The Company's long-lived assets primarily consist of deferred policy
acquisition costs and deferred tax assets from within the United States. The
following tables present summarized financial information concerning the
Company's segments.

<TABLE>
<CAPTION>
                            Investment       Individual         Group
MARCH 31, 2003               Products           Life           Benefits          COLI          Other           Total
-----------------------------------------------------------------------------------------------------------------------
<S>                        <C>              <C>              <C>             <C>            <C>             <C>
THREE MONTHS ENDED
Total revenues             $        773     $        244     $        667    $        127   $        (25)   $     1,786
Net income (loss)                    98               32               34              10            (48)           126
-----------------------------------------------------------------------------------------------------------------------
</TABLE>

<TABLE>
<CAPTION>
<S>                        <C>              <C>              <C>             <C>            <C>             <C>
                               Investment    Individual         Group
MARCH 31, 2002                  Products        Life           Benefits          COLI           Other          Total
-----------------------------------------------------------------------------------------------------------------------
THREE MONTHS ENDED
Total revenues             $        810     $        232     $        644    $        160   $        (10)   $     1,836
Net income (loss)                   117               31               28               -             (6)           170
-----------------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

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

(Dollar amounts in millions, unless otherwise stated)

Management's Discussion and Analysis of Financial Condition and Results of
Operations ("MD&A") addresses the financial condition of Hartford Life, Inc. and
its subsidiaries ("Hartford Life" or the "Company") as of March 31, 2003,
compared with December 31, 2002, and its results of operations for the three
months ended March 31, 2003 compared with the equivalent period in 2002. This
discussion should be read in conjunction with the MD&A included in the Company's
2002 Form 10-K Annual Report.

Certain of the statements contained herein are forward-looking statements. These
forward-looking statements are made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995 and include estimates and
assumptions related to economic, competitive and legislative developments. These
forward-looking statements are subject to change and uncertainty which are, in
many instances, beyond the Company's control and have been made based upon
management's expectations and beliefs concerning future developments and their
potential effect upon the Company. There can be no assurance that future
developments will be in accordance with management's expectations or that the
effect of future developments on Hartford Life will be those anticipated by
management. Actual results could differ materially from those expected by the
Company, depending on the outcome of various factors. These factors include: the
uncertain nature of damage theories and loss amounts and the development of
additional facts related to the September 11 terrorist attack ("September 11");
the uncertain impact on the Company of various tax reduction proposals being
considered by Congress that relate to the lowering of the capital gains rate and
the application of that rate to dividend distributions the response of
reinsurance companies under reinsurance contracts, the impact of increasing
reinsurance rates, and the availability and adequacy of reinsurance to protect
the Company against losses; the possibility of more unfavorable loss experience
than anticipated; the possibility of general economic and business conditions
that are less favorable than anticipated; the effect of changes in interest
rates, the stock markets or other financial markets; stronger than anticipated
competitive activity; unfavorable legislative, regulatory or judicial
developments; the Company's ability to distribute its products through
distribution channels, both current and future; the uncertain effects of
emerging claim and coverage issues; the effect of assessments and other
surcharges for guaranty funds and second-injury funds and other mandatory
pooling arrangements; a downgrade in the Company's claims-paying, financial
strength or credit ratings; the ability of the Company's subsidiaries to pay
dividends to the Company; and other factors described in such forward-looking
statements.

Certain reclassifications have been made to prior year financial information to
conform to the current year presentation.

INDEX

<TABLE>
<S>                                                            <C>
Critical Accounting Estimates                                  13
Consolidated Results of Operations - Operating Summary         15
Investment Products                                            16
Individual Life                                                17
Group Benefits                                                 17
Corporate Owned Life Insurance (COLI)                          18
Investments                                                    18
Capital Markets Risk Management                                19
Capital Resources and Liquidity                                25
Accounting Standards                                           27
</TABLE>

CRITICAL ACCOUNTING ESTIMATES

The preparation of financial statements, in conformity with accounting
principles generally accepted in the United States, requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those estimates.

The Company has identified the following estimates as critical in that they
involve a higher degree of judgment and are subject to a significant degree of
variability: valuation of investments and derivative instruments; deferred
policy acquisition costs; reserves and accounting for contingencies. In
developing these estimates management makes subjective and complex judgments
that are inherently uncertain and subject to material change as facts and
circumstances develop. Although variability is inherent in these estimates,
management believes the amounts provided are appropriate based upon the facts
available upon compilation of the financial statements. There have been no
significant changes to the Company's critical accounting estimates since
December 31, 2002 other than deferred policy acquisition costs as discussed
below.

DEFERRED POLICY ACQUISITION COSTS

Policy acquisition costs, which include commissions and certain other expenses
that vary with and are primarily associated with acquiring business, are
deferred and amortized over the estimated lives of the contracts, usually 20
years. These deferred costs, together with the present value of future profits
of acquired business, are recorded as an asset commonly referred to as

<PAGE>

deferred policy acquisition costs and present value of future profits ("DAC").
At March 31, 2003 and December 31, 2002, the carrying value of the Company's DAC
was $5.9 billion and $5.8 billion, respectively. For statutory accounting
purposes, such costs are expensed as incurred.

DAC related to traditional policies are amortized over the premium-paying period
in proportion to the present value of annual expected premium income. DAC
related to investment contracts and universal life-type contracts are deferred
and amortized using the retrospective deposit method. Under the retrospective
deposit method, acquisition costs are amortized in proportion to the present
value of the estimated gross profits ("EGPs") arising principally from projected
investment, mortality and expense margins and surrender charges. The
attributable portion of the DAC amortization is allocated to realized gains and
losses on investments. The DAC balance is also adjusted through other
comprehensive income by an amount that represents the amortization of deferred
policy acquisition costs that would have been required as a charge or credit to
operations had unrealized gains and losses on investments been realized. Actual
gross profits can vary from management's estimates, resulting in increases or
decreases in the rate of amortization.

The Company regularly evaluates its EGPs to determine if actual experience or
other evidence suggests that earlier estimates should be revised. In the event
that the Company were to revise its EGPs, the cumulative DAC amortization would
be adjusted to reflect such revised EGPs in the period the revision was
determined to be necessary. Several assumptions considered to be significant in
the development of EGPs include separate account fund performance, surrender and
lapse rates, estimated interest spread and estimated mortality. The separate
account fund performance assumption is critical to the development of the EGPs
related to the Company's variable annuity and variable life insurance
businesses. The average long-term rate of assumed separate account fund
performance (before mortality and expense charges) used in estimating gross
profits for the variable annuity and variable life business was 9% for the
periods ended March 31, 2003 and March 31, 2002. For other products, including
fixed annuities and other universal life-type contracts, the average assumed
investment yield ranged from 5% to 8.5% for the periods ended March 31, 2003 and
March 31, 2002.

Due to increased volatility and the decline experienced by the U.S. equity
markets in recent periods, the Company continues to enhance its DAC evaluation
process. The Company has developed sophisticated modeling capabilities which
allowed it to run a large number of stochastically determined scenarios of
separate account fund performance. These scenarios were then utilized to
calculate a statistically significant range of reasonable estimates of EGPs.
This range was then compared to the present value of EGPs currently utilized in
the DAC amortization model. As of March 31, 2003, the present value of the EGPs
utilized in the DAC amortization model fall at the margin of a reasonable range
of statistically calculated present value of EGPs. As a result, the Company does
not believe there is sufficient evidence to suggest that a revision to the EGPs
(and therefore, a revision to the DAC) as of March 31, 2003 is necessary;
however, if the EGPs utilized in the DAC amortization model remain at or above
the margin of the reasonable range of statistically calculated EGPs, a revision
would be necessary within the next two quarters. Furthermore, the Company has
estimated that such a revision to the future EGPs may occur if the overall
separate account fund performance does not meet the 9% return assumption
discussed above, or if certain other assumptions that are implicit in the
computations of the EGP's are not achieved.

Additionally, the Company has performed an analysis with respect to the
potential impact of a revision to future EGPs. If such a revision to EGPs were
deemed necessary, the Company would adjust, as appropriate, all of its
assumptions for products accounted for in accordance with Statement of Financial
Accounting Standards ("SFAS") No. 97, "Accounting and Reporting by Insurance
Enterprises for Certain Long-Duration Contracts and for Realized Gains and
Losses from the Sale of Investments", and reproject its future EGPs based on
current account values at the end of the quarter in which a revision is deemed
to be necessary. To illustrate the effects of this process, assume the Company
had concluded, that a revision of the Company's EGPs was required at March 31,
2003. If the Company assumed a 9% average long-term rate of growth from that
date forward along with other appropriate assumption changes in determining the
revised EGPs, the Company estimates the cumulative positive adjustment to
amortization would have been approximately $345-$380, after tax. If instead, the
Company was to assume a long-term growth rate of 8% in determining the revised
EGPs, the adjustment would have been approximately $395-$440, after tax.
Assuming that such an adjustment were to have been required, the Company
anticipates that there would have been immaterial impacts on its DAC
amortization for the 2003 and 2004 years exclusive of the adjustment, and that
there would have been positive earnings effects in later years. Any such
adjustment would not affect statutory income or surplus, due to the prescribed
accounting for such amounts that is discussed above.

Aside from absolute levels and timing of market performance assumptions,
additional factors that will influence this determination include the degree of
volatility in separate account fund performance and shifts in asset allocation
within the separate account made by policyholders. The overall return generated
by the separate account is dependent on several factors, including the relative
mix of the underlying sub-accounts among bond funds and equity funds as well as
equity sector weightings. The Company's overall separate account fund
performance has been reasonably correlated to the overall performance of the S&P
500 Index (which closed at 848 on March 31, 2003), although no assurance can be
provided that this correlation will continue in the future.

The overall recoverability of the DAC asset is dependent on the future
profitability of the business. The Company tests the aggregate recoverability of
the DAC asset by comparing the amounts deferred to the present value of total
EGPs. In addition, the Company routinely stress tests its DAC asset for
recoverability against severe declines in its separate account assets, which
could occur if the equity markets experienced another significant sell-off, as
the majority of policyholders' funds in the separate accounts is invested in the
equity market. As of March 31, 2003, the Company believes variable annuity
separate account assets could fall by as much as 19% before portions of its DAC
asset would not be recoverable.

<PAGE>

CONSOLIDATED RESULTS OF OPERATIONS - OPERATING SUMMARY

<TABLE>
<CAPTION>
                                                                                          FIRST QUARTER ENDED
                                                                                               MARCH 31,
                                                                                   --------------------------------
OPERATING SUMMARY                                                                    2003         2002       CHANGE
-------------------------------------------------------------------------------------------------------------------
<S>                                                                                <C>         <C>           <C>
Earned premiums                                                                    $    683    $      709      (4%)
Fee income                                                                              617           662      (7%)
Net investment income                                                                   507           448      13%
Other revenue                                                                            27            32     (16%)
Net realized capital losses                                                             (48)          (15)     NM
-----------------------------------------------------------------------------------------------------------------
   TOTAL REVENUES                                                                     1,786         1,836      (3%)
Benefits and claims                                                                   1,083         1,057       2%
Amortization of deferred policy acquisition costs and present value
 of future profits                                                                      163           152       7%
Insurance operating costs and expenses                                                  351           357      (2%)
Other expenses                                                                           33            48     (31%)
-----------------------------------------------------------------------------------------------------------------
   TOTAL BENEFITS, CLAIMS AND EXPENSES                                                1,630         1,614       1%
-----------------------------------------------------------------------------------------------------------------
   INCOME BEFORE INCOME TAX EXPENSE                                                     156           222     (30%)
Income tax expense                                                                       30            52     (42%)
-----------------------------------------------------------------------------------------------------------------
   NET INCOME                                                                           126           170     (26%)
-----------------------------------------------------------------------------------------------------------------
</TABLE>

Hartford Life is organized into four reportable operating segments: Investment
Products, Individual Life, Group Benefits and Corporate Owned Life Insurance
("COLI"). The Company also includes in an Other category its international
operations, which are primarily located in Japan and Latin America; realized
capital gains and losses; as well as corporate items not directly allocated to
any of its reportable operating segments, principally interest expense; and
intersegment eliminations.

Revenues decreased primarily as a result of revenue decreases in its Investment
Products and COLI segments. Investment Products revenues decreased as average
individual annuity account values declined compared to prior year. The decline
in account values was due primarily to weakness in the equity markets.
Additionally, COLI revenues decreased primarily as a result of lower net
investment income, as average leveraged COLI account values declined as compared
to a year ago and lower fee income resulting from lower sales in the first
quarter of 2003 as compared to the prior year. Partially offsetting these
decreases were increases in revenues in Group Benefits and Individual Life.
Individual Life revenues increased as a result of an increase in fee revenues as
life insurance in force increased. Revenues within Group Benefits increased due
to an increase in total buyout premium activity.

Benefits, claims and expenses increased slightly primarily due to increases in
Individual Life and Group Benefits loss costs associated with the growth in
these segments. Partially offsetting this increase was a decrease in COLI
expenses consistent with lower COLI revenues. Additionally, in the first quarter
of 2002, the Company incurred a charge associated with the Bancorp litigation.
(For further discussion of the Bancorp litigation, see Note 5 of Notes to
Condensed Consolidated Financial Statements.)

Net income decreased as a result of the decrease in revenues described above and
higher net realized capital losses compared to a year ago. Additionally, net
income for the first quarter 2002 was positively impacted by an $8 after-tax
benefit related to favorable development on the Company's estimated September 11
exposure. Earnings for the Investment Products segment decreased from the prior
year as a result of the impact of the lower equity markets on the individual
annuity business. Net income for other investment products was consistent with
the comparable prior year period. Earnings related to the Other category
decreased $42, primarily related to increased realized capital losses noted
above. Partially offsetting these decreases were increases in earnings related
to the Group Benefits and COLI segments. Group Benefits net income increased
driven principally by an improved loss ratio (defined as benefits and claims as
a percentage of premiums and other considerations excluding buyouts) and expense
management initiatives. COLI earnings increased $10 as compared to prior year,
primarily due to the $11 after-tax expense related to the Bancorp litigation
accrued in the first quarter of 2002.

<PAGE>

INVESTMENT PRODUCTS

<TABLE>
<CAPTION>
                                                                                          FIRST QUARTER ENDED
                                                                                               MARCH 31,
                                                                                   --------------------------------
OPERATING SUMMARY                                                                    2003         2002       CHANGE
-------------------------------------------------------------------------------------------------------------------
<S>                                                                                <C>         <C>           <C>
Fee income and other                                                               $    373    $      432     (14%)
Earned premiums                                                                          91           132     (31%)
Net investment income                                                                   309           246      26%
-----------------------------------------------------------------------------------------------------------------
   TOTAL REVENUES                                                                       773           810      (5%)
Benefits and claims                                                                     394           373       6%
Insurance operating costs and other expenses                                            144           168     (14%)
Amortization of deferred policy acquisition costs                                       109           114      (4%)
-----------------------------------------------------------------------------------------------------------------
   TOTAL BENEFITS, CLAIMS AND EXPENSES                                                  647           655      (1%)
-----------------------------------------------------------------------------------------------------------------
   INCOME BEFORE INCOME TAX EXPENSE                                                     126           155     (19%)
Income tax expense                                                                       28            38     (26%)
-----------------------------------------------------------------------------------------------------------------
   NET INCOME                                                                      $     98    $      117     (16%)
-----------------------------------------------------------------------------------------------------------------

Individual variable annuity account values                                         $ 64,047    $   75,044     (15%)
Other individual annuity account values                                              10,602        10,080       5%
Other investment products account values                                             20,381        19,894       2%
-----------------------------------------------------------------------------------------------------------------
   TOTAL ACCOUNT VALUES [1]                                                          95,030       105,018     (10%)
Mutual fund assets under management                                                  15,045        17,695     (15%)
-----------------------------------------------------------------------------------------------------------------
   TOTAL INVESTMENT PRODUCTS ASSETS UNDER MANAGEMENT                               $110,075    $  122,713     (10%)
=================================================================================================================
</TABLE>

[1] Includes policyholder balances for investment contracts and reserves for
future policy benefits for insurance contracts.

Revenues in the Investment Products segment decreased primarily due to lower fee
income, which was partially offset by higher net investment income. Fee income
generated by the individual annuity operation decreased, as average account
values decreased from prior year levels, principally due to the lower equity
markets. Fee income from other investment products decreased, driven by lower
retail mutual fund assets. Mutual fund assets under management decreased,
primarily due to weakness in the equity markets. In addition, the equity market
performance has negatively affected sales of retail mutual funds over the last
twelve months. The decrease in earned premiums are due to lower sales of certain
products in the institutional investment products business. Net investment
income increased due to higher general account assets in the individual annuity
business. General account individual annuity assets increased $4.1 billion, or
74%, to $9.5 billion as of March 31, 2003. Additionally, net investment income
related to other investment products increased as a result of the growth over
the last twelve months in the institutional investment business, where related
assets under management increased $614, or 7%, to $10.0 billion as of March 31,
2003.

Total benefits, claims and expenses decreased, primarily driven by lower
commissions and wholesaling expenses related to lower sales in the other
investment products business, including the mutual fund operation, for the first
quarter ended March 31, 2003 as well as disciplined operating expense
management. Additionally, there was a decrease in amortization of deferred
policy acquisition costs in the individual annuity operation which declined as a
result of lower gross profits in the first quarter of 2003. Partially offsetting
these lower expenses was an increase in interest credited resulting from growth
in the segment's general account assets.

Net income related to the individual annuity operation decreased, primarily as a
result of the lower equity markets. Net income for other investment products was
consistent with the comparable prior year period.

<PAGE>

INDIVIDUAL LIFE

<TABLE>
<CAPTION>
                                                                                          FIRST QUARTER ENDED
                                                                                               MARCH 31,
                                                                                   --------------------------------
OPERATING SUMMARY                                                                    2003         2002       CHANGE
-------------------------------------------------------------------------------------------------------------------
<S>                                                                                <C>         <C>           <C>
Fee income and other                                                               $    178    $      169       5%
Net investment income                                                                    66            63       5%
-----------------------------------------------------------------------------------------------------------------
   TOTAL REVENUES                                                                       244           232       5%
Benefits and claims                                                                     112           114      (2%)
Amortization of deferred policy acquisition costs                                        46            33      39%
Insurance operating costs and other expenses                                             39            39      --
-----------------------------------------------------------------------------------------------------------------
   TOTAL BENEFITS, CLAIMS AND EXPENSES                                                  197           186       6%
-----------------------------------------------------------------------------------------------------------------
   INCOME BEFORE INCOME TAX EXPENSE                                                      47            46       2%
Income tax expense                                                                       15            15      --
-----------------------------------------------------------------------------------------------------------------
   NET INCOME                                                                      $     32    $       31       3%
-----------------------------------------------------------------------------------------------------------------

Variable life account values                                                       $  3,673    $    4,119     (11%)
Total account values                                                               $  7,583    $    7,983      (5%)
-----------------------------------------------------------------------------------------------------------------
Variable life insurance in force                                                   $ 66,631    $   63,288       5%
Total life insurance in force                                                      $127,029    $  121,935       4%
=================================================================================================================
</TABLE>

Revenues in the Individual Life segment increased as cost of insurance charges
were higher as the result of higher total life insurance in force. Amortization
of unearned revenue also increased due to favorable mortality results which
drove higher gross profits. Additionally, net investment income was higher due
primarily to higher average general account assets and higher prepayment income
on certain assets as compared to the prior year.

Total benefits, claims and expenses increased principally due to the increase in
amortization of deferred policy acquisition costs resulting from higher gross
profits driven by more favorable mortality results.

Net income increased primarily due to the in-force growth, favorable mortality
experience, and higher net investment income.

GROUP BENEFITS

<TABLE>
<CAPTION>
                                                                                          FIRST QUARTER ENDED
                                                                                               MARCH 31,
                                                                                   --------------------------------
OPERATING SUMMARY                                                                    2003         2002       CHANGE
-------------------------------------------------------------------------------------------------------------------
<S>                                                                                <C>         <C>           <C>
Earned premiums and other considerations                                           $    602    $      582       3%
Net investment income                                                                    65            62       5%
-----------------------------------------------------------------------------------------------------------------
   TOTAL REVENUES                                                                       667           644       4%
Benefits and claims                                                                     489           474       3%
Amortization of deferred policy acquisition costs                                         4             4      --
Insurance operating costs and other expenses                                            131           131      --
-----------------------------------------------------------------------------------------------------------------
   TOTAL BENEFITS, CLAIMS AND EXPENSES                                                  624           609       2%
-----------------------------------------------------------------------------------------------------------------
   INCOME BEFORE INCOME TAX EXPENSE                                                      43            35      23%
Income tax expense                                                                        9             7      29%
-----------------------------------------------------------------------------------------------------------------
   NET INCOME                                                                      $     34    $       28      21%
=================================================================================================================
</TABLE>

Revenues in the Group Benefits segment increased primarily due to earned premium
growth. The premium increase is primarily attributable to an increase in total
buyouts of $28 compared to prior year. Premiums, excluding buyouts, for the
first quarter of 2003 were down slightly as a result of the Group Benefits
division's continued risk management discipline in light of a challenging
competitive and economic environment.

Total benefits, claims and expenses increased due to the buyouts described above
which were partially offset by favorable loss costs as compared to a year ago.
The segment's loss ratio (defined as benefits and claims as a percentage of
premiums and other considerations excluding buyouts) was approximately 80.3% for
the first quarter ended March 31, 2003, as compared to 81.4% for the comparable
prior year period due to favorable claims experience.

Net income increased due to favorable loss ratios noted above and continued
expense discipline, which resulted in maintaining consistent expense levels as
compared to the prior year period.

<PAGE>

CORPORATE OWNED LIFE INSURANCE (COLI)

<TABLE>
<CAPTION>
                                                                                          FIRST QUARTER ENDED
                                                                                               MARCH 31,
                                                                                   --------------------------------
OPERATING SUMMARY                                                                    2003         2002       CHANGE
-------------------------------------------------------------------------------------------------------------------
<S>                                                                                <C>         <C>           <C>
Fee income and other                                                               $     68    $       84     (19%)
Net investment income                                                                    59            76     (22%)
-----------------------------------------------------------------------------------------------------------------
   TOTAL REVENUES                                                                       127           160     (21%)
Benefits and claims                                                                      88           115     (23%)
Insurance operating costs and expenses                                                   10            40     (75%)
Dividends to policyholders                                                               14             5     180%
-----------------------------------------------------------------------------------------------------------------
   TOTAL BENEFITS, CLAIMS AND EXPENSES                                                  112           160     (30%)
-----------------------------------------------------------------------------------------------------------------
   INCOME BEFORE INCOME TAX EXPENSE                                                      15            --      NM
Income tax expense                                                                        5            --      NM
-----------------------------------------------------------------------------------------------------------------
   NET INCOME                                                                      $     10    $       --      NM
-----------------------------------------------------------------------------------------------------------------

Variable COLI account values                                                       $ 19,864    $   18,764       6%
Leveraged COLI account values                                                         3,158         4,293     (26%)
-----------------------------------------------------------------------------------------------------------------
  TOTAL ACCOUNT VALUES                                                             $ 23,022    $   23,057      --
=================================================================================================================
</TABLE>

COLI revenues decreased mostly due to lower net investment and fee income. Net
investment income decreased, primarily related to the decline in leveraged COLI
account values from surrender activity. Fee income was reduced as the result of
lower sales in the first quarter of 2003 as compared to the first quarter of
2002, and the decline in leveraged COLI.

Total benefits, claims and expenses decreased as a result of the decline in the
leveraged COLI block noted above and a decline in insurance operating costs and
expenses related to the $11 after-tax expense related to the Bancorp litigation
accrued in the first quarter 2002. Dividends to policyholders increased due to
an increase in mortality dividends on the leveraged COLI block.

Net income increased compared to the prior year principally as a result of the
Bancorp litigation expense recorded in the first quarter 2002.

INVESTMENTS

Hartford Life's general account and guaranteed separate account investment
portfolios are managed based on the underlying characteristics and nature of
each operation's liabilities and within established risk parameters. (For a
further discussion on The Hartford's approach to managing risks, see the Capital
Markets Risk Management section.)

Please refer to the Investments section of the MD&A in Hartford Life's 2002 Form
10-K Annual Report for a description of the Company's investment objectives and
policies.

Return on general account invested assets is an important element of the
Company's results.  Significant fluctuations in the fixed income or equity
markets could weaken the Company's financial condition or its results of
operations.  Additionally, changes in market interest rates may impact the
period of time over which certain investments, such as mortgage-backed
securities, are repaid and whether certain investments are called by the
issuers.  Such changes may, in turn, impact the yield on theses investments an
also may result in reinvestment of funds received from calls and prepayments at
rates below the average portfolio yield.

Fluctuations in interest rates affect the Company's return on, and the fair
value of, fixed maturity investments, which comprised approximately 88% and 87%
of the fair value of its invested assets as of March 31, 2003 and December 31,
2002, respectively. Other events beyond the Company's control could also
adversely impact the fair value of these investments. Specifically, a downgrade
of an issuer's credit rating or default of payment by an issuer could reduce the
Company's investment return.

The following table identifies invested assets by type held in the Company's
general account as of March 31, 2003 and December 31, 2002.

                         COMPOSITION OF INVESTED ASSETS

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------
                                              MARCH 31, 2003                    DECEMBER 31, 2002
                                        ---------------------------        ---------------------------
                                           AMOUNT           PERCENT           AMOUNT           PERCENT
------------------------------------------------------------------------------------------------------
<S>                                     <C>                 <C>            <C>                 <C>
Fixed maturities, at fair value         $     31,676         87.9%         $     29,377         86.7%
Equity securities, at fair value                 410          1.1%                  458          1.3%
Policy loans, at outstanding balance           2,876          8.0%                2,934          8.7%
Limited partnerships, at fair value              442          1.2%                  519          1.5%
Other investments                                629          1.8%                  603          1.8%
----------------------------------------------------------------------------------------------------
  TOTAL INVESTMENTS                     $     36,033        100.0%         $     33,891        100.0%
====================================================================================================
</TABLE>

Fixed maturity investments increased 8% since December 31, 2002, primarily the
result of operating cash flows. In March 2003, the Company decided to liquidate
its hedge fund limited partnership investments and reinvest the proceeds into
fixed maturity investments. A total of $86 of hedge fund investments were sold
during the quarter. The limited partnership agreements allow for the withdrawal
proceeds to be paid over a period of time. A majority of the limited partnership
proceeds are expected to be received by June 30, 2003 with the remainder no
later than March 31, 2004.

Investment Results

The table below summarizes Company's investments results.

<PAGE>

<TABLE>
<CAPTION>
                                                                 FIRST QUARTER ENDED
                                                                      MARCH 31,
                                                              -------------------------
(Before-tax)                                                     2003           2002
---------------------------------------------------------------------------------------
<S>                                                           <C>            <C>
Net investment income - excluding policy loan income          $      449     $      381
Policy loan income                                                    58             67
                                                              -------------------------
Net investment income - total                                 $      507     $      448
Yield on average invested assets [1]                                 6.1%           6.3%
---------------------------------------------------------------------------------------
Gross gains on sale                                           $       57     $       37
Gross losses on sale                                                 (47)           (37)
Impairments                                                          (67)           (15)
Other, net [2]                                                         9             --
                                                              -------------------------
Net realized capital losses                                   $      (48)    $      (15)
=======================================================================================
</TABLE>

[1]  Represents annualized net investment income (excluding net realized capital
     losses) divided by average invested assets at cost (fixed maturities at
     amortized cost).

[2]  Primarily consists of changes in fair value and hedge ineffectiveness on
     derivative instruments.

For the first quarter ended March 31, 2003, net investment income, excluding
policy loans, increased $68, or 18%, compared to the same period in 2002. The
increase was primarily due to income earned on a higher invested asset base, the
result of increased cash flow, partially offset by lower investment yields.
Yields on average invested assets decreased as a result of lower rates on new
investment purchases and decreased policy loan income.

Net realized capital losses for the first quarter ended March 31, 2003 increased
by $33 compared to the same period in 2002, primarily the result of higher
write-downs for other than temporary impairments on fixed maturities. For the
quarter ended March 31, 2003, fixed maturity impairment losses of $46 consisted
of asset-backed securities of $26 and corporate securities of $20. The
asset-backed securities primarily consisted of $12 backed by credit card
receivables and $10 of corporate debt. These amounts included one asset-backed
security supported by sub-prime credit card receivables that the Company no
longer had the intent to hold even though the Company's best estimate of future
cash flows indicated a full recovery of interest and principal amounts. In
addition to the impairment, the Company also recognized a $10 loss on the sale
of a portion of this security. The corporate securities impaired were
concentrated in the following sectors: $7 in transportation, $7 in consumer
non-cyclical, $3 in technology and communications and $3 in financial services.
Also included in net realized capital losses for the quarter ended March 31,
2003 were write-downs for other than temporary impairments on seeded equity and
mutual fund investments of $21. Additionally, the Company realized a $1 loss on
the sale of the remainder of its international business in Argentina.

For the quarter ended March 31, 2002, the fixed maturity impairment losses of
$15 consisted of corporate securities of $12 and asset-backed securities of $3.
The corporate securities impaired were $9 in the technology and communications
and $3 in the energy sectors. The asset-backed securities impaired were backed
by corporate debt.

CAPITAL MARKETS RISK MANAGEMENT

Hartford Life has a disciplined approach to managing risks associated with its
capital markets and asset/liability management activities. Investment portfolio
management is organized to focus investment management expertise on specific
classes of investments, while asset/liability management is the responsibility
of a dedicated risk management unit supporting Hartford Life, including
guaranteed separate accounts. Derivative instruments are utilized in compliance
with established Company policy and regulatory requirements and are monitored
internally and reviewed by senior management.

Hartford Life is exposed to two primary sources of investment and
asset/liability management risk: credit risk, relating to the uncertainty
associated with the ability of an obligor or counterparty to make timely
payments of principal and/or interest, and market risk, relating to the market
price and/or cash flow variability associated with changes in interest rates,
securities prices, market indices, yield curves or currency exchange rates. The
Company does not hold any financial instruments purchased for trading purposes.

Please refer to the Capital Markets Risk Management section of the MD&A in
Hartford Life's 2002 Form 10-K Annual Report for further discussion, including a
description of the Company's objectives, policies and strategies.

CREDIT RISK

Hartford Life has established investment credit policies that focus on the
credit quality of obligors and counterparties, limit credit concentrations,
encourage diversification and require frequent creditworthiness reviews.
Investment activity, including setting of policy and defining acceptable risk
levels, is subject to regular review and approval by senior management and
reported to The Finance Committee of the Board of Directors of The Hartford.

The Company invests primarily in securities which are rated investment grade and
has established exposure limits, diversification standards and review procedures
for all credit risks including borrower, issuer and counterparty.
Creditworthiness of specific obligors is determined by an internal credit
evaluation supplemented by consideration of external determinants of
creditworthiness, typically ratings assigned by nationally recognized ratings
agencies. Obligor, asset sector and industry concentrations are subject to
established limits and monitored on a regular basis. Hartford Life is not
exposed to any credit

<PAGE>

concentration risk of a single issuer greater than 10% of the Company's
stockholder's equity.

The following tables identify fixed maturity securities for Hartford Life,
including guaranteed separate accounts, by type and credit quality. The ratings
referenced in the credit quality tables are based on the ratings of a nationally
recognized rating organization or, if not rated, assigned based on the Company's
internal analysis of such securities. In addition, an aging of the gross
unrealized loss position is presented for fixed maturity and equity securities.

                            FIXED MATURITIES BY TYPE

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------------------
                                                                                           MARCH 31, 2003
                                                                 -----------------------------------------------------------------
                                                                                   UNREALIZED        UNREALIZED
                                                                 AMORTIZED COST      GAINS             LOSSES           FAIR VALUE
----------------------------------------------------------------------------------------------------------------------------------
<S>                                                              <C>               <C>               <C>                <C>
Asset-backed securities ("ABS")                                   $     5,371      $      110        $     (184)        $    5,297
Commercial mortgage-backed securities ("CMBS")                          6,445             487                (9)             6,923
Collateralized mortgage obligation ("CMO")                                994              35                (5)             1,024
Corporate
  Basic industry                                                        2,481             156                (6)             2,631
  Capital goods                                                         1,054              81                (9)             1,126
  Consumer cyclical                                                     1,635              94                (7)             1,722
  Consumer non cyclical                                                 2,709             196               (16)             2,889
  Energy                                                                1,463             123                (5)             1,581
  Financial services                                                    5,521             366               (95)             5,792
  Technology and communications                                         3,230             329               (15)             3,544
  Transportation                                                          652              49               (10)               691
  Utilities                                                             1,831             158               (23)             1,966
  Other                                                                   485              25                --                510
Government/Government agencies- Foreign                                   801              85                (5)               881
Government/Government agencies- United States                             688              46                (1)               733
Mortgage-backed securities ("MBS") - agency                             1,909              47                (1)             1,955
Municipal - tax-exempt                                                  1,850             155                (1)             2,004
Municipal - taxable                                                        95              16                (1)               110
Redeemable preferred stock                                                 32               3                (1)                34
Short-term                                                              1,499               1                --              1,500
----------------------------------------------------------------------------------------------------------------------------------
  TOTAL FIXED MATURITIES                                          $    40,745      $    2,562        $     (394)        $   42,913
==================================================================================================================================
Total general account fixed maturities                            $    30,092      $    1,871        $     (287)        $   31,676
Total guaranteed separate account fixed maturities                $    10,653      $      691        $     (107)        $   11,237
==================================================================================================================================
</TABLE>

At March 31, 2003 the Company's fixed maturity portfolio had gross unrealized
losses of $394, of which 77% were concentrated in the financial services and
utilities sectors and asset-backed securities. The Company's current view of
risk factors relative to these fixed maturity types are as follows:

Financial Services - This sector has been adversely impacted by security
write-offs especially in the energy, utilities and communications industries,
along with reserve increases by property and casualty insurers the result of
poor underwriting and asbestos related exposures. In general, industry balance
sheets are strong and security credit quality is improving.

Utilities - The utilities sector remains adversely impacted by several events
that primarily occurred in 2001 including the bankruptcy of Enron Corporation,
the decline in the energy trading industry and the regulatory, political and
legal effect of the California Utility Crisis. In the short-term, restructuring
and possible bankruptcies may continue as companies seek liquidity sources.
Asset sales of non-core operations are expected to continue to be a significant
source of liquidity. The short-term events are expected to reduce the number of
power suppliers, which, in the longer term, the Company believes will lead to a
gradual rise in power prices and allow this sector to recover.

ABS- As of March 31, 2003, asset-backed securities supported by corporate debt
("CDO"), aircraft lease and credit card receivables were in a gross unrealized
loss position of $35, $60 and $60, respectively.

Adverse CDO experience can be attributed to higher than expected default rates
especially in the technology and utilities sectors and lower than expected
recovery rates. Approximately 85% of the CDOs at March 31, 2003 were investment
grade.

The securities supported by aircraft and aircraft lease payments have declined
in value due to a reduction in lease payments and aircraft values driven by
bankruptcies and other financial difficulties of airline carriers. These
securities may continue to be stressed due to a continued decline in air
passenger traffic. Approximately 83% of securities supported by aircraft and
aircraft lease payments at March 31, 2003 were investment grade.

The unrealized loss position in credit card securities has primarily been caused
by exposure to companies originating loans to sub-prime borrowers. The Company
expects this sub-sector will continue to be under stress and holdings to be very
sensitive to changes in collateral performance. Approximately 99% of securities
supported by credit card receivables, at March 31, 2003 were investment grade.

<PAGE>

                            FIXED MATURITIES BY TYPE
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------------------
                                                                                          DECEMBER 31, 2003
                                                                 -----------------------------------------------------------------
                                                                                   UNREALIZED        UNREALIZED
                                                                 AMORTIZED COST      GAINS             LOSSES           FAIR VALUE
----------------------------------------------------------------------------------------------------------------------------------
<S>                                                              <C>               <C>               <C>                <C>
Asset-backed securities ("ABS")                                   $     5,403      $      111        $     (154)        $    5,360
Commercial mortgage-backed securities ("CMBS")                          5,529             467                (8)             5,988
Collateralized mortgage obligation ("CMO")                                866              39                (2)               903
Corporate
  Basic industry                                                        2,155             144                (9)             2,290
  Capital goods                                                         1,097              75                (7)             1,165
  Consumer cyclical                                                     1,477              92                (4)             1,565
  Consumer non cyclical                                                 2,584             186               (18)             2,752
  Energy                                                                1,477             112                (8)             1,581
  Financial services                                                    5,210             333               (91)             5,452
  Technology and communications                                         3,083             263               (71)             3,275
  Transportation                                                          601              49               (12)               638
  Utilities                                                             1,833             118               (43)             1,908
  Other                                                                   429              20                --                449
Government/Government agencies- Foreign                                   774              77                (5)               846
Government/Government agencies- United States                             645              48                --                693
Mortgage-backed securities ("MBS") - agency                             2,233              63                --              2,296
Municipal - tax-exempt                                                  1,854             146                --              2,000
Municipal - taxable                                                        99              16                (1)               114
Redeemable preferred stock                                                 31               3                --                 34
Short-term                                                              1,153              --                --              1,153
----------------------------------------------------------------------------------------------------------------------------------
  TOTAL FIXED MATURITIES                                          $    38,533      $    2,362        $     (433)        $   40,462
==================================================================================================================================
Total general account fixed maturities                            $    27,982      $    1,704        $     (309)        $   29,377
Total guaranteed separate account fixed maturities                $    10,551      $      658        $     (124)        $   11,085
==================================================================================================================================
</TABLE>

                       FIXED MATURITIES BY CREDIT QUALITY

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------------------
                                                                 MARCH 31, 2003                        DECEMBER 31, 2002
                                                     -------------------------------------   -------------------------------------
                                                                                PERCENT OF                              PERCENT OF
                                                      AMORTIZED                 TOTAL FAIR    AMORTIZED                 TOTAL FAIR
                                                        COST      FAIR VALUE      VALUE         COST      FAIR VALUE      VALUE
----------------------------------------------------------------------------------------------------------------------------------
<S>                                                  <C>          <C>           <C>          <C>          <C>           <C>
United States Government/Government agencies         $     3,465  $     3,582       8.3%     $     3,596  $     3,737       9.2%
AAA                                                        7,027        7,475      17.4%           6,519        6,960      17.2%
AA                                                         4,246        4,487      10.5%           4,161        4,396      10.9%
A                                                         12,296       13,069      30.5%          11,745       12,467      30.8%
BBB                                                       10,027       10,608      24.7%           9,211        9,665      23.9%
BB & below                                                 2,185        2,192       5.1%           2,148        2,084       5.2%
Short-term                                                 1,499        1,500       3.5%           1,153        1,153       2.8%
-------------------------------------------------------------------------------------------------------------------------------
   TOTAL FIXED MATURITIES                            $    40,745  $    42,913     100.0%     $    38,533  $    40,462     100.0%
===============================================================================================================================
 Total general account fixed maturities              $    30,092  $    31,676      73.8%     $    27,982  $    29,377      72.6%
 Total guaranteed separate account fixed maturities  $    10,653  $    11,237      26.2%     $    10,551  $    11,085      27.4%
===============================================================================================================================
</TABLE>

As of March 31, 2003 and December 31, 2002, over 94% of the fixed maturity
portfolio was invested in securities rated investment grade (BBB and above). As
of March 31, 2003, below investment grade ("BIG") holdings were diversified by
sector and issuer with the greatest concentration of securities, based upon fair
value, in the following sectors: 21% in the technology and communications, 14%
in utilities, 10% in consumer cyclical, 10% in basic industry, 10 % in consumer
non-cyclical and 8% in foreign government. At March 31, 2003, the Company held
no issuer of a BIG security with a fair value in excess of 2% of the total fair
value for BIG securities. As of December 31, 2002, BIG holdings were
concentrated, based upon fair value, in the following sectors: 20% in the
technology and communications, 17% in utilities, 11% in consumer cyclical, 11%
in basic industry and 9% in foreign government. At December 31, 2002, the
Company held no issuer of a BIG security with a fair value in excess of 2% of
the total fair value for BIG securities.

The Company's total and BIG fixed maturity and equity securities held as of
March 31, 2003 and December 31, 2002 that were in an unrealized loss position
are presented in the tables below by length of time the security was in an
unrealized loss position.

<PAGE>

                     UNREALIZED LOSS AGING AT MARCH 31, 2003

<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------------------------------
                                                        TOTAL SECURITIES                          BIG AND EQUITY SECURITIES
                                              --------------------------------------        -------------------------------------
                                               AMORTIZED                  UNREALIZED        AMORTIZED                  UNREALIZED
                                                 COST       FAIR VALUE       LOSS             COST       FAIR VALUE       LOSS
---------------------------------------------------------------------------------------------------------------------------------
<S>                                           <C>           <C>           <C>               <C>          <C>           <C>
Three months or less                          $    2,117    $     2,063   $     (54)        $     141    $      126    $     (15)
Greater than three months to six months              774            725         (49)               48            37          (11)
Greater than six months to nine months               706            665         (41)              106            91          (15)
Greater than nine months to twelve months            230            213         (17)               86            73          (13)
Greater than twelve months                         2,728          2,483        (245)              603           519          (84)
--------------------------------------------------------------------------------------------------------------------------------
   TOTAL                                      $    6,555    $     6,149   $    (406)        $     984    $      846    $    (138)
================================================================================================================================
</TABLE>

The total securities that were in an unrealized loss position for longer than
six months as of March 31, 2003 primarily consisted of asset-backed and
corporate debt. Asset-backed securities backed by credit card receivables,
aircraft lease receivables, and corporate debt comprised 19%, 12% and 10%,
respectively, of the greater than six months unrealized loss amount. The
significant corporate security industry sectors of financial services, utilities
and technology and communications comprised 24%, 6%, and 5%, respectively, of
the greater than six months unrealized loss amount. At March 31, 2003, the
Company held no securities of a single issuer that were at an unrealized loss in
excess of 7% of total unrealized losses. The total unrealized loss position of
$(406) consisted of $(298) in general account losses and $(108) in guaranteed
separate account losses.

As of March 31, 2003, fixed maturities represented $394, or 97%, of total
unrealized losses. Approximately 98% of the fixed maturities in an unrealized
loss position for longer than six months represented asset-backed and commercial
mortgage-backed securities and fixed maturities with a fair value greater than
80% of cost. As of March 31, 2003 the Company held four corporate debt
securities from two issuers with a market value that was less than 80% of the
security's amortized cost basis for six continuous months. The securities had an
aggregate market value of $15 and were in an unrealized loss position of $6. The
issuers have made all contractually obligated principal and interest payments
and their operating fundamentals continue to improve. As a result, the Company
concluded the security price depression was temporary.

Other than temporary impairments for certain asset-backed securities and
commercial mortgage-backed securities are recognized if the fair value of the
security is less than its carrying amount and there has been a decrease in the
present value of the expected cash flows since the last revised estimate. There
were no asset-backed securities included in the tables above for which
management's best estimate of future cash flows adversely changed during the
quarter ended March 31, 2003. For a detailed discussion of the other than
temporary impairment criteria for asset backed securities, see "Valuation of
Investments and Derivative Instruments" included in the Critical Accounting
Estimates section of MD&A and in Note 2(g) of Notes to Consolidated Financial
Statements both included in Hartford Life's 2002 Form 10-K Annual Report.

As of March 31, 2003, one asset-backed security had an unrealized loss in excess
of $20. The security is backed by sub-prime credit card receivables and was in
an unrealized loss position of $27. See the overview of the sub-prime credit
card receivable market under the Fixed Maturities by Type table in this section
of the MD&A. The security issuer has had poor underwriting and servicing
results, which has contributed to a higher collateral loss rate than expected.
Management's best estimate of future cash flows based upon historical payment
and default rates and future interest rate assumptions indicate that the Company
will receive all interest and principal amounts.

The BIG and equity securities that were in an unrealized loss position for
longer than six months as of March 31, 2003 primarily consisted of asset-backed
securities backed by credit card receivables and corporate debt. The
asset-backed securities along with corporate securities in the utilities,
technology and communications and financial services sectors and diversified
equity securities including mutual funds comprised 40%, 13%, 8%, 7% and 11%,
respectively, of the BIG and equity securities that were in an unrealized loss
position for greater than six months at March 31, 2003. The total unrealized
loss position of BIG and equity securities of $(138) consisted of $(118) in
general account losses and $(20) in guaranteed separate account losses.

                   UNREALIZED LOSS AGING AT DECEMBER 31, 2002

<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------------------------------
                                                        TOTAL SECURITIES                          BIG AND EQUITY SECURITIES
                                              --------------------------------------        -------------------------------------
                                               AMORTIZED                  UNREALIZED        AMORTIZED                  UNREALIZED
                                                 COST       FAIR VALUE       LOSS             COST       FAIR VALUE       LOSS
---------------------------------------------------------------------------------------------------------------------------------
<S>                                           <C>           <C>           <C>               <C>          <C>           <C>
Three months or less                          $    1,532    $     1,459   $     (73)        $     162    $      130    $     (32)
Greater than three months to six months            1,294          1,239         (55)              208           185          (23)
Greater than six months to nine months               568            508         (60)              175           145          (30)
Greater than nine months to twelve months          1,334          1,264         (70)              330           293          (37)
Greater than twelve months                         2,135          1,927        (208)              501           431          (70)
--------------------------------------------------------------------------------------------------------------------------------
   TOTAL                                      $    6,863    $     6,397   $    (466)        $   1,376    $    1,184    $    (192)
================================================================================================================================
</TABLE>

<PAGE>

The total securities that were in an unrealized loss position for longer than
six months as of December 31, 2002 primarily consisted of corporate and
asset-backed securities. The significant corporate security industry sectors of
financial services, utilities, technology and communications and transportation
comprised 20%, 13%, 13% and 3%, respectively, of the greater than six months
unrealized loss amount. Asset-backed securities comprised 33% of the greater
than six month unrealized loss amount and included securities backed by
corporate debt, aircraft lease receivables and credit card receivables. At
December 31, 2002, the Company held no securities of a single issuer that were
at an unrealized loss in excess of 4% of total unrealized losses. The total
unrealized loss position of $(466) consisted of $(344) in general account losses
and $(122) in guaranteed separate account losses.

The BIG and equity securities that were in an unrealized loss position for
longer than six months as of December 31, 2002 primarily consisted of corporate
securities in the technology and communications and utilities sectors as well as
asset-backed securities backed by corporate debt, equipment loans and credit
card receivables. The technology and communications and utilities sectors along
with diversified equity mutual funds and asset-backed securities comprised 26%,
22%, 18% and 15%, respectively, of the BIG and equity securities that were in an
unrealized loss position for greater than six months at December 31, 2002. The
total unrealized loss position of BIG and equity securities of $(192) consisted
of $(157) in general account losses and $(35) in guaranteed separate account
losses.

As part of the Company's ongoing monitoring process by a committee of investment
and accounting professionals, the Company has reviewed these securities and
concluded that there were no additional other than temporary impairments as of
March 31, 2003 and December 31, 2002. Due to the issuers' continued satisfaction
of the securities' obligations in accordance with their contractual terms and
their continued expectation to do so, as well as the evaluation of the
fundamentals of the issuers' financial condition, the Company believes that the
prices of the securities in the sectors identified above, were temporarily
depressed primarily as a result of a market dislocation and generally poor
cyclical economic conditions and sentiment. See "Valuation of Investments and
Derivative Instruments" included in the Critical Accounting Estimates section of
MD&A and in Note 2(g) of Notes to Consolidated Financial Statements both
included in Hartford Life's 2002 Form 10-K Annual Report.

The evaluation for other than temporary impairments is a quantitative and
qualitative process, which is subject to risks and uncertainties in the
determination of whether declines in the fair value of investments are other
than temporary. The risks and uncertainties include changes in general economic
conditions, the issuer's financial condition or near term recovery prospects and
the effects of changes in interest rates. In addition, for securitized financial
assets with contractual cash flows (e.g. asset-backed securities), projections
of expected future cash flows may change based upon new information regarding
the performance of the underlying collateral.

EQUITY RISK

Hartford Life's operations are significantly influenced by changes in the equity
markets. The Company's profitability depends largely on the amount of assets
under management, which is primarily driven by the level of sales, equity market
appreciation and depreciation and the persistency of the in-force block of
business. A prolonged and precipitous decline in the equity markets, as has been
experienced of late, can have a significant impact on the Company's operations,
as sales of variable products may decline and surrender activity may increase,
as customer sentiment towards the equity market turns negative. The lower assets
under management will have a negative impact on the Company's financial results,
primarily due to lower fee income related to the Investment Products and
Individual Life segments, where a heavy concentration of equity linked products
are administered and sold. Furthermore, the Company may experience a reduction
in profit margins if a significant portion of the assets held in the variable
annuity separate accounts move to the general account and the Company is unable
to earn an acceptable investment spread, particularly in light of the low
interest rate environment and the presence of contractually guaranteed minimum
interest credited rates, which for the most part are at a 3% rate.

In addition, prolonged declines in the equity market may also decrease the
Company's expectations of future gross profits, which are utilized to determine
the amount of DAC to be amortized in a given financial statement period. A
significant decrease in the Company's estimated gross profits would require the
Company to accelerate the amount of DAC amortization in a given period,
potentially causing a material adverse deviation in that period's net income.
Although an acceleration of DAC amortization would have a negative impact on the
Company's earnings, it would not affect the Company's cash flow or liquidity
position.

Additionally, the Investment Products segment sells variable annuity contracts
that offer various guaranteed death benefits. For certain guaranteed death
benefits, Hartford Life pays the greater of (1) the account value at death; (2)
the sum of all premium payments less prior withdrawals; or (3) the maximum
anniversary value of the contract, plus any premium payments since the contract
anniversary, minus any withdrawals following the contract anniversary. The
Company currently reinsures a significant portion of these death benefit
guarantees associated with its in-force block of business. The Company currently
records the death benefit costs, net of reinsurance, as they are incurred.
Declines in the equity market may increase the Company's net exposure to death
benefits under these contracts.

The Company's total gross exposure (i.e. before reinsurance) to these guaranteed
death benefits as of March 31, 2003 is $23.6 billion. Due to the fact that 81%
of this amount is reinsured, the Company's net exposure is $4.4 billion. This
amount is often referred to as the net amount at risk. However, the Company will
only incur these guaranteed death benefit payments in the future if the
policyholder has an in-the-money guaranteed death benefit at their time of
death. In order to analyze the total costs that the Company may incur in the
future related to these guaranteed death benefits, the Company performed an
actuarial present value analysis. This analysis included developing a model
utilizing 250 stochastically generated investment performance scenarios and best
estimate assumptions related to mortality and lapse rates. A

<PAGE>

range of projected costs was developed and discounted back to the statement date
utilizing the Company's cost of capital, which for this purpose was assumed to
be 9.25%. Based on this analysis, the Company estimated that the present value
of the retained death benefit costs to be incurred in the future fell within a
range of $108 to $396. This range was calculated utilizing a 95% confidence
interval. The median of the 250 stochastically generated scenarios was $191.

In addition, Hartford Life issues certain variable annuity products that contain
a guaranteed minimum withdrawal benefit ("GMWB"). The GMWB gives the
policyholder the right to make periodic surrenders that total an amount equal to
the policyholders' premium payments. This guarantee will remain in effect if
periodic surrenders do not exceed an amount equal to 7% of premium payments each
contract year. If the policyholder chooses to surrender an amount equal to more
than 7% in a contract year, then the guarantee may be reduced to an amount less
than premium payments. The value of the GMWB obligations are calculated based on
actuarial assumptions related to the projected benefits and related contract
charges over the lives of the contracts. Because of the dynamic and complex
nature of these cash flows, stochastic techniques under a variety of market
return scenarios and other best estimate actuarial assumptions are used. This
model involves numerous estimates and subjective judgements including those
regarding expected market rates of return and volatility. Declines in the equity
market may increase the Company's exposure (prior to reinsurance) to benefits
under these contracts. The Company has entered into a reinsurance arrangement to
offset its exposure to the GMWB and currently reinsures 100% of these benefits.

MARKET RISK

Hartford Life has material exposure to both interest rate and equity market
risk. The Company analyzes interest rate risk using various models including
multi-scenario cash flow projection models that forecast cash flows of the
liabilities and their supporting investments, including derivative instruments.
There have been no material changes in market risk exposures from December 31,
2002.

DERIVATIVE INSTRUMENTS

The Company utilizes a variety of derivative instruments, including swaps, caps,
floors, forwards and exchange traded futures and options, in compliance with
Company policy and regulatory requirements in order to achieve one of four
Company approved objectives: to hedge risk arising from interest rate, price or
currency exchange rate volatility; to manage liquidity; to control transaction
costs; or to enter into income enhancement and replication transactions. The
Company does not make a market or trade derivatives for the express purpose of
earning short term trading profits. (For further discussion on The Company's use
of derivative instruments, refer to Note 4 of Notes to Condensed Consolidated
Financial Statements.)

<PAGE>

CAPITAL RESOURCES AND LIQUIDITY

Capital resources and liquidity represent the overall financial strength of
Hartford Life and its ability to generate cash flows from each of the business
segments and borrow funds at competitive rates to meet operating and growth
needs. The Company maintained cash and short-term investments totaling $1.5
billion and $1.3 billion as of March 31, 2003 and December 31, 2002,
respectively.

The capital structure of Hartford Life as of March 31, 2003 and December 31,
2002 consisted of debt and equity, summarized as follows:

<TABLE>
<CAPTION>
                                                                                MARCH 31, 2003       DECEMBER 31, 2002
----------------------------------------------------------------------------------------------------------------------
<S>                                                                             <C>                   <C>
Long-term debt                                                                  $        1,125        $        1,125
Company obligated mandatorily redeemable preferred securities of subsidiary
    trust holding solely parent junior subordinated debentures (TruPS)                     450                   450
  ------------------------------------------------------------------------------------------------------------------
  TOTAL DEBT                                                                    $        1,575        $        1,575
  ------------------------------------------------------------------------------------------------------------------
Equity excluding net unrealized gains (losses) on securities, net of tax        $        5,049        $        4,941
Net unrealized capital gains (losses) on securities, net of tax                            842                   747
--------------------------------------------------------------------------------------------------------------------
  TOTAL STOCKHOLDER'S EQUITY                                                    $        5,891        $        5,688
  ------------------------------------------------------------------------------------------------------------------
  TOTAL CAPITALIZATION (1)                                                      $        6,624        $        6,516
  ------------------------------------------------------------------------------------------------------------------
Debt to equity (1) (2)                                                                      31%                   32%
Debt to capitalization (1) (2)                                                              24%                   24%
--------------------------------------------------------------------------------------------------------------------
</TABLE>

(1)  Excludes unrealized gain on securities and other, net of tax.

(2)  Excluding TruPS, the debt to equity ratios were 22% and 23% as of March 31,
     2003 and December 31, 2002, respectively, and the debt to capitalization
     ratio was 17% as of March 31, 2003 and December 31, 2002.

CAPITALIZATION

The Company's total capitalization, excluding unrealized gain on securities and
other, net of tax, increased $108, or 2%, as of March 31, 2003, as compared to
December 31, 2002. This increase was primarily the result of earnings and change
in unrealized gain on securities, partially offset by dividends declared.

DIVIDENDS

The Company declared $18 in dividends for the three months ended March 31, 2003
to Hartford Holdings, Inc. Future dividend decisions will be based on, and
affected by, a number of factors, including the operating results and financial
requirements of the Company on a stand-alone basis and the impact of regulatory
restrictions.

The Company's direct regulated life insurance subsidiary, Hartford Life and
Accident Insurance Company, declared dividends of $41 for the three months ended
March 31, 2003.

RATINGS

Ratings are an important factor in establishing the competitive position in the
insurance and financial services marketplace. There can be no assurance that the
Company's ratings will continue for any given period of time or that they will
not be changed. In the event the Company's ratings are downgraded, the level of
revenues or the persistency of the Company's business may be adversely impacted.

Upon completion and announcement of The Hartford's asbestos reserve study and
discussion of the The Hartford's financing plans, on May 12, 2003 certain of the
major independent ratings organizations revised The Hartford's financial ratings
as follows: A.M. Best affirmed the financial strength ratings of A+ (Superior)
of The Hartford Fire Intercompany Pool and the main operating life insurance
subsidiaries of Hartford Life.  Concurrently, A.M. Best downgraded to "a-" from
"a+" the senior debt ratings of The Hartford Financial Services Group, Inc. and
Hartford Life Inc. and removed the ratings from under review.  Fitch is
maintaining its Rating Watch Negative on the fixed income ratings for The
Hartford Financial Services Group, Inc. and the insurer financial strength
ratings for the Hartford Fire Intercompany Pool and stated if management is
successful in executing its capital raising, Fitch would anticipate affirming
the current ratings and assigning a stable outlook.  Moody's placed the A2 debt
ratings of both The Hartford Financial Services Group, Inc. and Hartford Life,
Inc. under review for possible downgrade and confirmed the insurance financial
strength ratings of The Hartford's Insurance Group's property and casualty
intercompany pool as well as those of Hartford Life and its life affiliates.
With respect to insurance financial strength ratings, Moody's maintained a
negative outlook for the property and casualty intercompany pool and changed its
outlook for the life insurance companies to negative.  Standard & Poor's placed
the ratings of Hartford Financial Services Group, Inc. and related entities on
CreditWatch with negative and stated the ratings will remain on CreditWatch
until management is successful in raising external capital, which should be
concluded before the close of the second quarter. Upon successful completion and
all else being equal, Standard & Poor's will affirm all of Hartford's ratings.
The outlook will be stable.

The following table summarizes Hartford Life's significant United States member
companies' financial ratings from the major independent rating organizations as
of May 12, 2003:

<PAGE>

<TABLE>
<CAPTION>
                                                                                             STANDARD &
                                              A.M. BEST         FITCH          MOODY'S         POOR'S
-------------------------------------------------------------------------------------------------------
<S>                                           <C>               <C>            <C>           <C>
INSURANCE RATINGS
    Hartford Life Insurance Company               A+             AA              Aa3             AA-
    Hartford Life and Accident                    A+             AA              Aa3             AA-
    Hartford Life and Annuity                     A+             AA              Aa3             AA-
-------------------------------------------------------------------------------------------------------
OTHER RATINGS
    Hartford Life, Inc.
        Senior debt                               a-              A              A2              A-
        Commercial paper                         --              F1              P-1             A-2
    Hartford Life Capital I and II
        Trust preferred securities               bbb             A-              A3              BBB
    Hartford Life Insurance Company:
        Short Term Rating                        --              --              P-1            A-1+
</TABLE>

The agencies consider many factors in determining the final rating of an
insurance company. One consideration is the relative level of statutory surplus
necessary to support the business written. Statutory surplus represents the
capital of the insurance company reported in accordance with accounting
practices prescribed by the applicable state insurance department. The statutory
surplus for the Company was $3.0 billion as of March 31, 2003 and December 31,
2002.

CASH FLOWS

<TABLE>
<CAPTION>
                                                      THREE MONTHS ENDED
                                                           MARCH 31,
                                              ---------------------------------
                                                  2003                  2002
-------------------------------------------------------------------------------
<S>                                           <C>                    <C>
Cash provided by operating activities         $        116           $       98
Cash used for investing activities                  (1,268)                (497)
Cash provided by financing activities                1,262                  376
Cash - end of period                                   289                  142
-------------------------------------------------------------------------------
</TABLE>

The increase in cash provided by operating activities was primarily the result
of the timing of the settlement of receivables and payables in the first three
months of 2003. The increase in cash provided by financing activities primarily
relates to new business sales in the first quarter of 2003. The increase in cash
used for investing activities was primarily due to the purchase of short-term
investments with funds received from the new business sold. Operating cash flows
in both periods have been more than adequate to meet liquidity requirements.

EQUITY MARKETS

For a discussion of the equity markets impact to capital and liquidity, see the
Capital Markets Risk Management under "Market Risk".

REGULATORY INITIATIVES AND CONTINGENCIES

LEGAL PROCEEDINGS

Hartford Life is or may become involved in various legal actions, in the normal
course of its business, in which claims for alleged economic and punitive
damages have been or may be asserted, some for substantial amounts. Some of the
pending litigation has been filed as purported class actions and some actions
have been filed in certain jurisdictions that permit punitive damage awards that
are disproportionate to the actual damages incurred. Although there can be no
assurances, at the present time, the Company does not anticipate that the
ultimate liability arising from potential, pending or threatened legal actions,
after consideration of provisions made for estimated losses and costs of
defense, will have a material adverse effect on the financial condition or
operating results of the Company.

DEPENDENCE ON CERTAIN THIRD PARTY RELATIONSHIPS

Hartford Life distributes its annuity and life insurance products through a
variety of distribution channels, including broker-dealers, banks, wholesalers,
its own internal sales force and other third party organizations. The Company
periodically negotiates provisions and renewals of these relationships and there
can be no assurance that such terms will remain acceptable to the Company or
such third parties. An interruption in the Company's continuing relationship
with certain of these third parties could materially affect the Company's
ability to market its products.

<PAGE>

ACCOUNTING STANDARDS

For a discussion of accounting standards, see Note 2 of Notes to Condensed
Consolidated Financial Statements.

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The information contained in the Capital Markets Risk Management section of
Management's Discussion and Analysis of Financial Condition and Results of
Operations is incorporated herein by reference

ITEM 4.  CONTROLS AND PROCEDURES

Evaluation of disclosure controls and procedures.

The Company's principal executive officer and its principal financial officer,
based on their evaluation of the Company's disclosure controls and procedures
(as defined in Exchange Act Rule 13a-14(c)) as of a date within 90 days prior to
the filing of this Quarterly Report on Form 10-Q, have concluded that the
Company's disclosure controls and procedures are adequate and effective for the
purposes set forth in the definition thereof in Exchange Act Rule 13a-14(c).

Changes in internal controls.

There were no significant changes in the Company's internal controls or in other
factors that could significantly affect the Company's internal controls
subsequent to the date of their evaluation.

PART II. OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

Hartford Life is or may become involved in various legal actions, in the normal
course of its business, in which claims for alleged economic and punitive
damages have been or may be asserted, some for substantial amounts. Some of the
pending litigation has been filed as purported class actions and some actions
have been filed in certain jurisdictions that permit punitive damage awards that
are disproportionate to the actual damages incurred. Although there can be no
assurances, at the present time, the Company does not anticipate that the
ultimate liability arising from potential, pending or threatened legal actions,
after consideration of provisions made for estimated losses and costs of
defense, will have a material adverse effect on the financial condition or
operating results of the Company.

On March 15, 2002, a jury in the U.S. District Court for the Eastern District of
Missouri issued a verdict in Bancorp Services, LLC ("Bancorp") v. Hartford Life
Insurance Company ("HLIC"), et al. in favor of Bancorp in the amount of $118.
The case involved claims of patent infringement, misappropriation of trade
secrets, and breach of contract against HLIC and its affiliate International
Corporate Marketing Group, Inc. ("ICMG"). The judge dismissed the patent
infringement claim on summary judgment. The jury's award was based on the last
two claims. On August 28, 2002, the Court entered an order awarding Bancorp
prejudgment interest on the breach of contract claim in the amount of $16.

HLIC and ICMG have appealed the judgment on the trade secret and breach of
contract claims. Bancorp has cross-appealed the pretrial dismissal of its patent
infringement claim. The Company's management, based on the advice of its legal
counsel, believes that there is a substantial likelihood that the judgment will
not survive at its current amount. Based on the advice of legal counsel
regarding the potential outcomes of this litigation, the Company recorded an $11
after-tax charge in the first quarter of 2002 to increase litigation reserves.
Should HLIC and ICMG not succeed in eliminating or reducing the judgment, a
significant additional expense would be recorded in the future.

On March 16, 2003, a final decision and award was issued in the previously
disclosed arbitration between subsidiaries of the Company and one of their
primary reinsurers relating to policies with death benefits written from 1994 to
1999. The arbitration involved alleged breaches under the reinsurance treaties.
Under the terms of the final decision and award, the reinsurer's reinsurance
obligations to the Company's subsidiaries were unchanged and not limited or
reduced in any manner. The award was confirmed by the Connecticut Superior Court
on May 5, 2003.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)  Exhibits - See Exhibit Index.

(b)  Reports on Form 8-K:

     During the quarterly period ended March 31, 2003, the Company filed the
     following Current Reports on Form 8-K:

     Dated March 17, 2003, Other Events, to report a final decision and award in
     the previously disclosed arbitration between subsidiaries of the Company
     and one of their primary reinsurers relating to policies with death benefit
     guarantees written from 1994 to 1999.

<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.

                                      HARTFORD LIFE, INC.

                                     /s/ Ernest M. McNeill Jr.
                                     -------------------------------------------
                                     Ernest M. McNeill Jr.
                                     Vice President and Chief Accounting Officer

May 13, 2003

<PAGE>

                                 CERTIFICATIONS

I, Thomas M. Marra, certify that:

         1.   I have reviewed this quarterly report on Form 10-Q of Hartford
              Life, Inc.;

         2.   Based on my knowledge, this quarterly report does not contain any
              untrue statement of a material fact or omit to state a material
              fact necessary to make the statements made, in light of the
              circumstances under which such statements were made, not
              misleading with respect to the period covered by this quarterly
              report;

         3.   Based on my knowledge, the financial statements, and other
              financial information included in this quarterly report, fairly
              present in all material respects the financial condition, results
              of operations and cash flows of the registrant as of, and for, the
              periods presented in this quarterly report;

         4.   The registrant's other certifying officers and I are responsible
              for establishing and maintaining disclosure controls and
              procedures (as defined in Exchange Act Rules 13a-14 and 15d-14)
              for the registrant and we have:

              a)     designed such disclosure controls and procedures to ensure
                     that material information relating to the registrant,
                     including its consolidated subsidiaries, is made known to
                     us by others within those entities, particularly during the
                     period in which this quarterly report is being prepared;

              b)     evaluated the effectiveness of the registrant's disclosure
                     controls and procedures as of a date within 90 days prior
                     to the filing date of this quarterly report (the
                     "Evaluation Date"); and

              c)     presented in this quarterly report our conclusions about
                     the effectiveness of the disclosure controls and procedures
                     based on our evaluation as of the Evaluation Date;

         5.   The registrant's other certifying officers and I have disclosed,
              based on our most recent evaluation, to the registrant's auditors
              and the audit committee of registrant's board of directors (or
              persons performing the equivalent function):

              a)     all significant deficiencies in the design or operation of
                     internal controls which could adversely affect the
                     registrant's ability to record, process, summarize and
                     report financial data and have identified for the
                     registrant's auditors any material weaknesses in internal
                     controls; and

              b)     any fraud, whether or not material, that involves
                     management or other employees who have a significant role
                     in the registrant's internal controls; and

         6.   The registrant's other certifying officers and I have indicated in
              this quarterly report whether or not there were significant
              changes in internal controls or in other factors that could
              significantly affect internal controls subsequent to the date of
              our most recent evaluation, including any corrective actions with
              regard to significant deficiencies and material weaknesses.

Date: May 13, 2003

By : /s/ Thomas M. Marra
     -------------------------------------
     Thomas M. Marra
     President and Chief Operating Officer

<PAGE>

I, David A. Carlson, certify that:

         1.   I have reviewed this quarterly report on Form 10-K of Hartford
              Life, Inc.;

         2.   Based on my knowledge, this quarterly report does not contain any
              untrue statement of a material fact or omit to state a material
              fact necessary to make the statements made, in light of the
              circumstances under which such statements were made, not
              misleading with respect to the period covered by this quarterly
              report;

         3.   Based on my knowledge, the financial statements, and other
              financial information included in this quarterly report, fairly
              present in all material respects the financial condition, results
              of operations and cash flows of the registrant as of, and for, the
              periods presented in this quarterly report;

         4.   The registrant's other certifying officers and I are responsible
              for establishing and maintaining disclosure controls and
              procedures (as defined in Exchange Act Rules 13a-14 and 15d-14)
              for the registrant and we have:

              a)     designed such disclosure controls and procedures to ensure
                     that material information relating to the registrant,
                     including its consolidated subsidiaries, is made known to
                     us by others within those entities, particularly during the
                     period in which this quarterly report is being prepared;

              b)     evaluated the effectiveness of the registrant's disclosure
                     controls and procedures as of a date within 90 days prior
                     to the filing date of this quarterly report (the
                     "Evaluation Date"); and

              c)     presented in this annual report our conclusions about the
                     effectiveness of the disclosure controls and procedures
                     based on our evaluation as of the Evaluation Date;

         5.   The registrant's other certifying officers and I have disclosed,
              based on our most recent evaluation, to the registrant's auditors
              and the audit committee of registrant's board of directors (or
              persons performing the equivalent function):

              a)     all significant deficiencies in the design or operation of
                     internal controls which could adversely affect the
                     registrant's ability to record, process, summarize and
                     report financial data and have identified for the
                     registrant's auditors any material weaknesses in internal
                     controls; and

              b)     any fraud, whether or not material, that involves
                     management or other employees who have a significant role
                     in the registrant's internal controls; and

         6.   The registrant's other certifying officers and I have indicated in
              this quarterly report whether or not there were significant
              changes in internal controls or in other factors that could
              significantly affect internal controls subsequent to the date of
              our most recent evaluation, including any corrective actions with
              regard to significant deficiencies and material weaknesses.

Date: May 13, 2003

By : /s/ David A. Carlson
     -------------------------------------------------
     David A. Carlson
     Senior Vice President and Chief Financial Officer

<PAGE>

                      HARTFORD LIFE, INC. AND SUBSIDIARIES
                  FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2003
                                    FORM 10-Q
                                 EXHIBITS INDEX

EXHIBIT #

  15.01        Deloitte & Touche LLP Letter of Awareness

  99.01        Certificate of Thomas M. Marra pursuant to Section 906 of the
               Sarbanes-Oxley Act of 2002.

  99.02        Certificate of David A. Carlson pursuant to Section 906 of the
               Sarbanes-Oxley Act of 2002.