Pricing Supplement No. 3 Dated: January 12, 2004	Filed pursuant to Rule 424(b)(2)
(To Prospectus Dated December 15, 2003, and Prospectus Supplement dated December 30, 2003) This Pricing Supplement consists of 3 pages.	File No. 333-100944
Protective Life Insurance Company Depositor InterNotes® Issued Through Protective Life Secured Trust 2004-3
1.     The Notes
Trade Date: 01/12/2004 Original Issue Date: 01/15/2004 Minimum Denominations/Increments: $1000/$1000

CUSIP	PRINCIPAL AMOUNT	PRICE TO PUBLIC	CONCESSION	NET PROCEEDS TO THE TRUST	INTEREST RATE
74367CAC9	$80,000,000	100%	$2,000,000.00	$78,000,000.00	6.100 %

INTEREST PAYMENT FREQUENCY	STATED MATURITY DATE	SURVIVOR’S OPTION	REDEMPTION YES/NO	REPAYMENT YES/NO
SEMI-ANNUAL	01/15/2029	YES	YES	NO

SECURITIES EXCHANGE LISTING YES/NO	FUNDING AGREEMENT NO.
NO	GA-6002

Terms of Survivor’s Option:
Annual Put Limitation:			[X] $2,000,000 or 2%; or
			[   ] $__________________ or _______%
Individual Put Limitation:			[X] $250,000; or
			[   ] $__________________
Trust Put Limitation:			Not Applicable.
Optional Redemption Terms:
Optional Redemption Dates: 01/15/2009 and each Interest Payment Date thereafter.
Initial Redemption Percentage: 100%
Annual Percentage Reduction (if any): Not Applicable.
Redemption:	[   ] In whole only and not in part
	[X] May be in whole or in part
Optional Repayment Terms: Not Applicable.
Optional Repayment Dates:
Optional Repayment:		[   ] In whole only and not in part
		[   ] May be in whole or in part
Form of trust: [X] Delaware statutory trust [   ] Delaware common law trust
Trust Expiration Date: 01/15/2029
Special Tax Considerations: Not Applicable.
Rating of Notes: S&P AA   Moody’s Aa3
Securities Exchange Listing: [X] No [   ] Yes, Name of Exchange:______________
Additional Terms: Not Applicable.

	Agents
	Banc of America Securities LLC Incapital LLC A.G. Edwards & Sons, Inc. Bear, Stearns & Co. Inc. Charles Schwab & Co., Inc. Citigroup Edward D. Jones & Co., L.P. Fidelity Capital Markets, A Division of National Financial Services LLC Merrill Lynch & Co. Morgan Stanley Prudential Securities Raymond James RBC Dain Rauscher, Inc. UBS Financial Services, Inc. Wachovia Securities
2.     The Funding Agreement
Funding Agreement Issuer: Protective Life Insurance Company
Deposit Amount: $80,000,015
Issue Price: $78,000,015
Effective Date: 01/15/2004
Interest Rate: 6.100%
Interest Payment Frequency: SEMI-ANNUAL
Stated Maturity Date: 01/15/2029
Survivor’s Option: [X] Yes [   ] No
If yes:
Annual Put Limitation:				[X] $2,000,000 or 2%; or
				[   ] $__________________ or _______%
Individual Put Limitation:				[X] $250,000; or
				[   ] $__________________
Trust Put Limitation:				Not Applicable.
Redemption: [X] Yes [   ] No
Early Redemption Dates: 01/15/2009 and each Interest Payment Date thereafter.
Initial Redemption Percentage: 100%
Annual Percentage Reduction (if any): Not Applicable.
Redemption:			[   ] In whole only and not in part
			[X] May be in whole or in part
Repayment: [   ] Yes [X] No
Repayment Dates:
Repayment:		[   ] In whole only and not in part
		[   ] May be in whole or in part

Rating of Funding Agreement: S&P AA   Moody’s Aa3

Additional Terms: Not Applicable.