8-K

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

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

       Date of Report (date of earliest event reported): DECEMBER 10, 2002

                        HORACE MANN EDUCATORS CORPORATION

             (Exact name of registrant as specified in its charter)



        Delaware                     1-10890                     37-0911756
(State of incorporation)      (Commission File Number)        (I.R.S. Employer
                                                             Identification No.)

              1 Horace Mann Plaza, Springfield, Illinois 62715-0001
               (Address of principal executive offices) (Zip Code)

        Registrant's telephone number, including area code: 217-789-2500

FORWARD-LOOKING INFORMATION

Statements made in the following discussion or the exhibits annexed to this Form
8-K that state Horace Mann Educators Corporation's (the "Company") or its
management's intentions, hopes, beliefs, expectations or predictions of future
events or the Company's future financial performance are forward-looking
statements and involve known and unknown risks, uncertainties and other factors.
It is important to note that the Company's actual results could differ
materially from those projected in such forward-looking statements. These
statements are only predictions and there is no assurance that such expectations
will prove to be correct. Information concerning factors that could cause actual
results to differ materially from those in forward-looking statements is
contained from time to time in the Company's public filings with the Securities
and Exchange Commission.

ITEM 5:  OTHER EVENTS

On December 10, 2002, the Company issued a press release reporting two capital
transactions, one designed to improve its capitalization at the holding company
level and one to improve the statutory surplus of its primary life insurance
subsidiary. A copy of the press release is attached as Exhibit 99.1 and is
incorporated by reference herein.

ITEM 7:  FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS.

(c)               Exhibits

EXHIBIT NO.       DESCRIPTION
- -----------       -----------

99.1              Press release dated December 10, 2002 reporting certain
                  capital transactions.






                                    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 hereunto duly authorized.

                                            HORACE MANN EDUCATORS CORPORATION





Date: December 11, 2002             By:      /s/ Bret A. Conklin
                                         ---------------------------------------
                                             Bret A. Conklin
                                             Senior Vice President & Controller
                                             (Principal Accounting Officer)






                                  EXHIBIT INDEX

EXHIBIT NO.       DESCRIPTION
- -----------       -----------

99.1              Press release dated December 10, 2002 reporting certain
                  capital transactions.

EX-99.1

                                                                   Exhibit 99.1


                    [Horace Mann Educators Corporation Logo]



                                                     J. Michael Henderson
                                                     Vice President & Treasurer
                                                     Horace Mann Educators
                                                      Corporation
                                                     (217) 788-5708
                                                     www.horacemann.com


                    HORACE MANN REPORTS CAPITAL TRANSACTIONS


SPRINGFIELD, Ill., December 10, 2002 -- Horace Mann Educators Corporation
(NYSE:HMN) today reported two capital transactions, one designed to improve its
capitalization at the holding company level and one to improve the statutory
surplus of its primary life insurance subsidiary.

The first transaction improves Horace Mann Educators' financial leverage. On
December 10, 2002, the company repurchased an additional $56.0 million aggregate
principal amount, $26.6 million carrying value, of its outstanding Senior
Convertible Notes. This repurchase resulted in an after-tax loss of $0.1
million, or less than 1 cent per share. As consideration for the repurchase, the
company issued 1.8 million shares of its common stock utilizing treasury shares.

As of December 10, 2002, the company had total outstanding debt of $144.7
million, consisting of $28.6 million of Senior Notes and $116.1 million of
Senior Convertible Notes. As of December 10, 2002, the company had 42,691,244
shares of common stock outstanding.

"This debt repurchase, and the issuance of treasury shares, improves Horace
Mann's financial leverage," said Louis G. Lower II, President and Chief
Executive Officer of Horace Mann. "The resulting debt to total capital ratio at
December 31 is anticipated to be reduced to approximately 25 percent (excluding
unrealized investment gains and losses), consistent with our operating target
and with rating agency expectations."






The second transaction will improve the statutory operating leverage and
risk-based capital ratio of the company's primary life insurance subsidiary.
Horace Mann Life Insurance Company ("HMLIC") and Sun Life Reinsurance Company
Limited ("SLRCL"), a member of the Sun Life Financial Group, have signed a
letter of intent to enter into a reinsurance agreement to be effective December
31, 2002. Under terms of the agreement, which is expected to be in place for a
five year period, HMLIC will cede to SLRCL, on a combination coinsurance and
modified coinsurance basis, a 57.7 percent quota share of HMLIC's in force
interest-sensitive life block of business. In the transaction, SLRCL assumes its
proportional share of all risks attendant to the business reinsured such as
mortality, persistency and investment risk, reducing HMLIC's liabilities to the
extent of the ceding commission. The initial ceding commission to be paid by
SLRCL to HMLIC will be $50 million and will result in an estimated $32.5 million
after-tax, or 17 percent, increase in HMLIC's statutory surplus. Subsequent
growth in HMLIC's statutory surplus is expected to be reduced by approximately
$6.5 million annually, as the coinsurance reserve declines over the term of the
agreement. Fees related to the transaction, which are anticipated to reduce
Horace Mann's after-tax GAAP operating income and net income by approximately 2
cents per share in 2003, are also expected to decline over the term of the
agreement.

"As previously disclosed, the company's shareholders' equity and statutory
surplus were adversely impacted by investment losses realized during the first
nine months of 2002. These transactions are expected to return our
capitalization and leverage ratios to the levels achieved in recent years," said
Lower. "As a result, we look forward to beginning next year with a stronger and
more conservative balance sheet and continuing to realize the benefits of our
growth and profit enhancement initiatives in 2003."

Horace Mann -- the largest national multiline insurance company focusing on the
financial needs of educators and their families -- provides retirement
annuities, auto, life and property insurance, and other financial solutions.
Founded by educators for educators in 1945, the company is headquartered in
Springfield, Ill. Horace Mann is publicly traded on the New York Stock Exchange
(ticker symbol HMN). For more information, visit WWW.HORACEMANN.COM.

Statements included in this news release that are not historical in nature are
forward-looking within the meaning of the Private Securities Litigation Reform
Act of 1995 and are subject to certain risks and uncertainties. Horace Mann
undertakes no obligation to publicly update or revise any forward-looking
statements, whether as the result of new information, future events or
otherwise. Information concerning factors that could cause actual results to
differ materially from those in forward-looking statements is contained from
time to time in the company's public filings with the Securities and Exchange
Commission.

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