Pricing Supplement Dated April 13, 2004	Filed pursuant to Rule 424(b)(2)
(To Prospectus dated March 5, 2004, and		Registration Statement Nos.	333-110499 and
Prospectus Supplement dated March 5, 2004)			333-110499-01
	CUSIP: 74254PAJ1
	ISIN: US74254PAJ12

Principal Life Insurance Company
Secured Medium-Term Notes
Issued Through
Principal Life Income Fundings Trust 3 (the “Trust”)

     The description of this pricing supplement of the particular terms of the Secured Medium-Term Notes offered hereby, and the Funding Agreement (specified below) issued by Principal Life Insurance Company (“Principal Life”) to the Trust, the payment obligations of which are fully and unconditionally guaranteed by the Guarantee (specified below) issued by Principal Financial Group, Inc. to the Trust, supplements the description of the general terms and provisions of the notes, the funding agreements and the guarantees set forth in the accompanying prospectus and prospectus supplement, to which reference is hereby made.

1. The Notes

Principal Amount:	$	150,000,000	Purchasing Agent(s) Discount:	0.000%
Issue Price:		100.000%	Original Issue Date:	April 16, 2004
Net Proceeds to the Trust:	$	150,000,000	Stated Maturity Date:	October 14, 2005

Specified Currency:	U.S. Dollars
Interest Payment Dates:	January 15, April 15, July 15 and October 15 in each year
Initial Interest Payment Date:	July 15, 2004
Regular Record Date:	15 calendar days prior to the Interest Payment Date
Type of Interest Rate:	o Fixed Rate		x Floating Rate
Fixed Rate Notes:	o Yes	x No.	If, Yes,
Interest Rate:
Floating Rate Notes:	xYes	o No.	If, Yes,
Regular Floating Rate Notes:			x Yes	o No.	If, Yes,
	Interest Rate:		3-Month LIBOR +.01%
	Interest Rate Basis(es):		See below
Floating Rate/Fixed Rate Note:			o Yes	x No.	If, Yes,
	Floating Interest Rate:
	Interest Rate Basis(es):
	Fixed Interest Rate:

	Fixed Rate Commencement Date:
Inverse Floating Rate Note:			o Yes	x No.	If, Yes,
	Fixed Interest Rate:
	Floating Interest Rate:
	Interest Rate Basis(es):
Initial Interest Rate, if any:		1.15188%
Initial Interest Reset Date:		July 15, 2004

Interest Rate Basis(es). Check all that apply:
	o CD Rate			o Commercial Paper Rate
	o CMT Rate			o Eleventh District Cost of Funds Rate
	x LIBOR			o Federal Funds Rate
	o EURIBOR			o Treasury Rate
	o Prime Rate			o Other (See Attached)
	If LIBOR:	o LIBOR Reuters Page		x LIBOR Moneyline Telerate Page 3750
		LIBOR Currency: U.S. Dollars
	If CMT Rate:
		Designated CMT Telerate Page:
		If 7052:	o Weekly Average    o Monthly Average
		Designated CMT Maturity Index:
Index Maturity:				3-Month
Spread:				+0.01%
Spread Multiplier:				Not applicable
Interest Reset Date(s):				Each Interest Payment Date
Interest Rate Determination Date(s):				The second London Banking Day preceding the related Interest Reset Date
Maximum Interest Rate, if any:				Not applicable
Minimum Interest Rate, if any:				Not applicable

Calculation Agent:	Citibank, N.A.
Exchange Rate Agent:	Not applicable
Computation of Interest (not applicable unless different than as specified in the prospectus and prospectus supplement):
Day Count Convention (not applicable unless different than as specified in the prospectus and prospectus supplement):
Amortizing Note:	o Yes	x No.	If, Yes,
Amortizing Schedule:
Additional/Other Terms:
Discount Note:	o Yes	x No.	If, Yes,
Total Amount of Discount:
Initial Accrual Period of Discount:
Additional/Other Terms:
Redemption Provisions:	o Yes	x No.	If, Yes,
Initial Redemption Date:
Initial Redemption Percentage:
Annual Redemption Percentage Reduction (if any):
Redemption:	o In whole only and not in part
	o May be in whole or in part
Additional/Other Terms:

Repayment:	o Yes	x No.	If, Yes,
Repayment Date(s):
Repayment Price:
Repayment:	o In whole only and not in part
	o May be in whole or in part
Additional/Other Terms:

Sinking Fund (not applicable unless specified):
Additional Amounts to be Paid for Withholding Tax (not applicable unless specified):
Securities Exchange Listing:	o Yes		x No.	If Yes, Name of Exchange:
Authorized Denominations:	$	1,000

Ratings:

     The Notes issued under the Program are rated AA by Standard & Poor’s Ratings Services, a division of The McGraw-Hill

     Companies, Inc. (“S&P”).

     Principal Life expects the Notes to be rated Aa3 by Moody’s Investors Service, Inc. (“Moody’s”).

Purchasing Agents Purchasing Notes as Principal: x Yes o No. If Yes:

Purchasing Agent(s)	Principal Amount
Credit Suisse First Boston LLC	$	67,500,000
Morgan Stanley & Co. Incorporated	$	67,500,000
ABN AMRO Incorporated	$	3,750,000
Deutsche Bank Securities Inc.	$	3,750,000
Goldman, Sachs & Co.	$	3,750,000
Lehman Brothers Inc.	$	3,750,000
Total:	$	150,000,000

Purchasing Agents Acting as Agent: o Yes x No. If Yes:

Purchasing Agent(s)	Principal Amount
Total:

State of Organization of the Trust:	New York
Additional/Other Terms:	Not applicable
Special Tax Considerations:	Interest payable on the Notes will be treated as “qualified stated interest” for United States Federal income tax purposes, as it meets the specified criteria referenced in the prospectus supplement under the heading “Material United States Federal Income Tax Considerations — U.S. Holders — Interest and Original Issue Discount.”
2. The Funding Agreement
Funding Agreement Issuer:	Principal Life Insurance Company
Funding Agreement No.:	7-06123
Deposit:	$150,000,015
Net Deposit:	$150,000,000
Effective Date:	April 16, 2004
Stated Maturity Date:	October 14, 2005
Specified Currency:	U.S. Dollars

Interest Payment Dates:	January 15, April 15, July 15 and October 15 in each year
Initial Interest Payment Date:	July 15, 2004
Type of Interest Rate:	o Fixed Rate		x Floating Rate
Fixed Rate Funding Agreement:		o Yes	x No.	If, Yes,
Interest Rate:
Floating Rate Funding Agreement:		x Yes	o No.	If, Yes,
Regular Floating Rate Funding Agreement:		x Yes	o No.	If, Yes,
	Interest Rate:			3-Month LIBOR +.01%
	Interest Rate Basis(es):			See below
Floating Rate/Fixed Rate Funding Agreement:		o Yes	x No.	If, Yes,
	Floating Interest Rate:
	Interest Rate Basis(es):
	Fixed Interest Rate:
	Fixed Rate Commencement Date:
Inverse Floating Rate Funding Agreement:		o Yes	x No.	If, Yes,
	Fixed Interest Rate:
	Floating Interest Rate:
	Interest Rate Basis(es):
Initial Interest Rate, if any:		1.15188%
Initial Interest Reset Date:		July 15, 2004

Interest Rate Basis(es). Check all that apply:
	o CD Rate			o Commercial Paper Rate
	o CMT Rate			o Eleventh District Cost of Funds Rate
	x LIBOR			o Federal Funds Rate
	o EURIBOR			o Treasury Rate
	o Prime Rate			o Other (See Attached)
	If LIBOR:	o LIBOR Reuters Page		x LIBOR Moneyline Telerate Page 3750
		LIBOR Currency:		U.S. Dollars
	If CMT Rate:
		Designated CMT Telerate Page:
		If 7052:	o Weekly Average    o Monthly Average
		Designated CMT Maturity Index:

Index Maturity:	3-Month
Spread:	+0.01%
Spread Multiplier:	Not applicable
Interest Reset Date(s):	Each Interest Payment Date
Interest Rate Determination Date(s):	The second London Banking Day preceding the related Interest Reset Date
Maximum Interest Rate, if any:	Not applicable
Minimum Interest Rate, if any:	Not applicable

Computation of Interest:

(not applicable unless different than as specified in the prospectus and prospectus supplement):

Day Count Convention:

(not applicable unless different than as specified in the prospectus and prospectus supplement):

Amortizing Funding Agreement:	o Yes	x No.	If, Yes,
Amortizing Schedule:
Additional/Other Terms:
Discount Funding Agreement:	o Yes	x No.	If, Yes,
Total Amount of Discount:
Initial Accrual Period of Discount:
Additional/Other Terms:
Redemption Provisions:	o Yes	x No.	If, Yes,
Initial Redemption Date:
Initial Redemption Percentage:
Annual Redemption Percentage Reduction (if any):
Redemption:	o In whole only and not in part
	o May be in whole or in part
Additional/Other Terms:
Repayment:	o Yes	x No.	If, Yes,
Repayment Date(s):
Repayment Price:
Repayment:	o In whole only and not in part
	o May be in whole or in part
Additional/Other Terms:
Sinking Fund (not applicable unless specified):
Additional Amounts to be Paid For Withholding Tax (not applicable unless specified):

Ratings:

The Funding Agreement issued under the Program is rated AA by S&P.
Principal Life expects the Funding Agreement to be rated Aa3 by Moody’s.

Additional/Other Terms:	Not applicable
Special Tax Considerations:	Not applicable
3. The Guarantee
Guarantee Issuer:	Principal Financial Group, Inc.
Effective Date:	April 16, 2004
Additional/Other Terms:	Not applicable