Principal Life Income Fundings Trust 34 424B2 Prospectus for primary offering

Pricing Supplement Dated December 7, 2007
(To Prospectus dated November 21, 2007, and
Prospectus Supplement dated November 21, 2007) Filed Pursuant to Rule 424(b)(2)
Registration Statement Nos. 333-147181
and 333-147181-01
CUSIP: 74254PVP4

Principal Life Insurance Company
Secured Medium-Term Notes (that are also Asset-Backed Securities)
Issued Through and Obligations of
Principal Life Income Fundings Trust 34 (the “Trust” and the “Issuing Entity”)

     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:	$500,000,000	Purchasing Agent(s) Discount:	0.35%
Issue Price:	99.572%	Original Issue Date:	December 14, 2007
Net Proceeds to the Trust:	$497,860,000	Stated Maturity Date:	December 14, 2012

Specified Currency:	U.S. Dollars
Interest Payment Dates:	June 14 and December 14 of each year
Initial Interest Payment Date:	June 14, 2008
Regular Record Date:	15 calendar days prior to the Interest Payment Date

Type of Interest Rate:x Fixed Rateo Floating Rate

     Fixed Rate Notes:x Yeso No. If, Yes,

           Interest Rate: 5.300%

     Floating Rate Notes:o Yesx No. If, Yes,

          Regular Floating Rate Notes:o Yeso No. If, Yes,

Interest Rate:
Interest Rate Basis(es):

          Floating Rate/Fixed Rate Note:o Yeso No. If, Yes,
                     Floating Interest Rate:
                     Interest Rate Basis(es):
                     Fixed Interest Rate:
                     Fixed Rate Commencement Date:

     Inverse Floating Rate Note:o YesoNo. If, Yes,

Fixed Interest Rate:
Floating Interest Rate:
Interest Rate Basis(es):

     Initial Interest Rate, if any:

     Initial Interest Reset Date:

     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
o Constant Maturity Swap Rate	o Federal Fund Open Rate
o LIBOR	o Federal Funds Rate
o EURIBOR	o Treasury Rate
o Prime Rate	o Other

If LIBOR:	o LIBOR Reuters
	LIBOR Currency:

If CMT Rate:
	Designated Reuters Page:
	If FEDCMT:o Weekly Averageo Monthly Average
	Designated CMT Maturity Index:

     Index Maturity:

     Spread (+/-):

     Spread Multiplier:

     Interest Reset Date(s):

     Interest Rate Determination Date(s):

     Maximum Interest Rate, if any:

     Minimum Interest Rate, if any:

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 Notes:o Yesx No. If, Yes,

Amortizing Schedule:
Additional/ Other Terms

Discount Note:o Yesx No. If, Yes,

Total Amount of Discount:
Initial Accrual Period of Discount:
Additional/Other Terms:

Redemption Provisions:o Yesx 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 Yesx 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 Yesx 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 Aa2 by Moody’s Investors Service, Inc. (“Moody’s”).

Purchasing Agent(s) Purchasing Notes as Principal:x Yeso No. If Yes,

Purchasing Agent(s)		Principal Amount
Deutsche Bank Securities Inc.	$	250,000,000
Lehman Brothers Inc.	$	250,000,000
Total:	$	500,000,000

Purchasing Agent(s) Acting as Agent:o Yesx No. If Yes,

Purchasing Agent(s)	��	Principal Amount
Total:

State of Organization of Trust: New York

Additional/Other Terms:

Special Tax Considerations:

2. The Funding Agreement

Funding Agreement Issuer:	Principal Life Insurance Company
Funding Agreement No.:	6-15051
Deposit Amount:	$500,000,015
Net Deposit:	$497,860,000
Effective Date:	December 14, 2007
Stated Maturity Date:	December 14, 2012
Specified Currency:	U.S. Dollars
Interest Payment Dates:	June 14 and December 14 of each year
Initial Interest Payment Date:	June 14, 2008
Type of Interest Rate:	x Fixed Rateo Floating Rate

          Fixed Rate Funding Agreement:x Yeso No. If, Yes,

     Interest Rate: 5.300%

     Floating Rate Funding Agreement:o Yesx No. If, Yes,

               Regular Floating Rate Funding Agreement:o Yeso No. If Yes,
                     Interest Rate:
                     Interest Rate Basis(es):

               Floating Rate/Fixed Rate Funding Agreement:oYeso No. If, Yes,

Floating Interest Rate:
Interest Rate Basis(es):
Fixed Interest Rate:
Fixed Rate Commencement Date:

               Inverse Floating Rate Funding Agreement:o Yeso No. If, Yes,

Fixed Interest Rate:
Floating Interest Rate:
Interest Rate Basis(es):

     Initial Interest Rate, if any:

     Initial Interest Reset Date:

     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
o Constant Maturity Swap Rate	o Federal Funds Open Rate
o LIBOR	o Federal Funds Rate
o EURIBOR	o Treasury Rate
o Prime Rate	o Other (See Attached)

If LIBOR:	o LIBOR Reuters
	LIBOR Currency:
If CMT Rate:
	Designated Reuters Page:
	If FEDCMT:o Weekly Averageo Monthly Average
	Designated CMT Maturity Index:

     Index Maturity:

     Spread (+/-):

     Spread Multiplier:

     Interest Reset Date(s):

     Interest Rate Determination Date(s):

     Maximum Interest Rate, if any:

     Minimum Interest Rate, if any:

Calculation 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 Yesx No. If Yes,
     Amortizing Schedule
     Additional/Other Terms

Discount Funding Agreement:o Yesx No. If, Yes,
     Total Amount of Discount:
     Initial Accrual Period of Discount:
     Additional/Other Terms:

Redemption Provisions:o Yesx 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 Yesx 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 Aa2 by Moody’s.

Additional/Other Terms if any:

Special Tax Considerations:

3. The Guarantee

Guarantee Issuer: Principal Financial Group, Inc.

Effective Date: December 14, 2007

Additional/Other Terms if any: