<ARTICLE> 7
<LEGEND>
This schedule contains summary financial information extracted from the
Independence Holding Company Form 10-Q for the three months ended March 31,
1996 and is qualified in its entirety by reference to such financial statements.
</LEGEND>
<RESTATED>
<CIK> 0000701869
<NAME> INDEPENDENCE HOLDING COMPANY
<PERIOD-TYPE> 3-MOS 3-MOS
<FISCAL-YEAR-END> DEC-31-1996 DEC-31-1995
<PERIOD-END> MAR-31-1996 MAR-31-1995
<DEBT-HELD-FOR-SALE> 155,064,000 131,349,000
<DEBT-CARRYING-VALUE> 0 0
<DEBT-MARKET-VALUE> 0 0
<EQUITIES> 8,799,000 10,171,000
<MORTGAGE> 416,000 508,000
<REAL-ESTATE> 929,000 936,000
<TOTAL-INVEST> 208,352,000 198,093,000
<CASH> 6,637,000 10,122,000
<RECOVER-REINSURE> 40,164,000 39,988,000
<DEFERRED-ACQUISITION> 8,532,000 10,286,000
<TOTAL-ASSETS> 284,686,000 291,349,000
<POLICY-LOSSES> 107,227,000 100,598,000
<UNEARNED-PREMIUMS> 14,100,000 15,486,000
<POLICY-OTHER> 34,939,000 34,734,000
<POLICY-HOLDER-FUNDS> 2,216,000 2,102,000
<NOTES-PAYABLE> 0 0
<PREFERRED-MANDATORY> 0 0
<PREFERRED> 0 0
<COMMON> 14,865,000 15,422,000
<OTHER-SE> 55,168,000 45,226,000
<TOTAL-LIABILITY-AND-EQUITY> 284,686,000 291,349,000
<PREMIUMS> 16,453,000 13,205,000
<INVESTMENT-INCOME> 3,693,000 3,274,000
<INVESTMENT-GAINS> 143,000 (982,000)
<OTHER-INCOME> 1,435,000 740,000
<BENEFITS> 12,076,000 9,512,000
<UNDERWRITING-AMORTIZATION> 1,072,000 1,071,000
<UNDERWRITING-OTHER> 0 0
<INCOME-PRETAX> 1,378,000 (384,000)
<INCOME-TAX> 15,000 (533,000)
<INCOME-CONTINUING> 1,363,000 149,000
<DISCONTINUED> 431,000 588,000
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 1,794,000 737,000
<EPS-PRIMARY> .12 .05
<EPS-DILUTED> .14 .07
<RESERVE-OPEN> 0 0
<PROVISION-CURRENT> 0 0
<PROVISION-PRIOR> 0 0
<PAYMENTS-CURRENT> 0 0
<PAYMENTS-PRIOR> 0 0
<RESERVE-CLOSE> 0 0
<CUMULATIVE-DEFICIENCY> 0 0