Citizens, Inc. Declares Stock Dividend

Citizens, Inc. announces the declaration of a 15% stock dividend payable June 1, 2002 to holders of record as of May 1, 2002.

FOR FURTHER INFORMATION CONTACT:   
Joel H. Mathis
Vice President
Public Relations and Investor Relations
Post Office Box 149151
Austin, Texas 78714-9151
PR@citizensinc.com
(512) 837-7100

FOR IMMEDIATE RELEASE

CITIZENS, INC. DECLARES STOCK DIVIDEND

Austin, Texas -- March 27, 2002 -- Citizens, Inc. (AMEX-CIA), announces the declaration of a 15% stock dividend payable June 1, 2002 to holders of record as of May 1, 2002. The dividend will result in the issuance of approximately 3.8 million shares of the Companys Class A common stock.

About Citizens, Inc.
Citizens, Inc. is a financial services company listed on the American Stock Exchange under the symbol CIA. Its growth strategy is to achieve $1 billion in assets, $250 million in revenues and $10 billion of life insurance in force by 2010 targeting the sale of U.S. dollar whole life insurance policies in the United States, as well as world-wide, and through the acquisition of other life insurance companies.

Citizens is included in the Russell 2000® Index, which measures the performance of the largest companies in the U.S. stock market, based on market capitalization. Citizens stock closed at $10.77 on March 26, 2002.

Additional information is available at the Companys web site: www.citizensinc.com.

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Information herein contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which can be identified by words such as may", will", expect", anticipate" or continue" or comparable words. In addition, all statements other than statements of historical facts that address activities that the Company expects or anticipates will or may occur in the future are forward-looking statements. Readers are encouraged to read the SEC reports of the Company, particularly its Form 10-K for the fiscal year ended December 31, 2000, for the meaningful cautionary language disclosing why actual results may vary materially from those anticipated by management.