SUPPLEMENTAL INTERCOMPANY TAX SHARING AGREEMENT BY AND BETWEEN ALLSTATE LIFE INSURANCE COMPANY AND LINCOLN BENEFIT LIFE COMPANY

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                                                                    EXHIBIT 10.3

                 SUPPLEMENTAL INTERCOMPANY TAX SHARING AGREEMENT

                 BY AND BETWEEN ALLSTATE LIFE INSURANCE COMPANY

                        AND LINCOLN BENEFIT LIFE COMPANY

     WHEREAS Allstate Life Insurance Company ("ALIC") and Lincoln Benefit Life
Company ("LBL") join in the filing of the consolidated federal income tax return
filed by The Allstate Corporation affiliated group and are parties to a Tax
Sharing Agreement dated November 12, 1996 (the "Tax Sharing Agreement"),
allocating the consolidated federal income tax liability among the members of
such group;

     WHEREAS ALIC and LBL have entered into one or more reinsurance agreements
(the "Reinsurance Agreements") under which ALIC, as the Reinsurer, assumed
certain insurance liabilities directly written by LBL, the Ceding Company;

     WHEREAS one of the underlying goals of the Reinsurance Agreements is that
ALIC, as the Reinsurer, is to assume all of the economic benefits and detriments
of the business reinsured under the Reinsurance Agreements;

     WHEREAS various provisions in the Internal Revenue Code and the Treasury
regulations thereunder result in substantial complexity in meeting the
above-described goal with respect to the federal income tax benefits or
detriments derived from or attributable to business reinsured under the
Reinsurance Agreements; and

     WHEREAS the parties hereto desire to reallocate between themselves their
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