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Progressive Reduces Auto Insurance Rates in Arkansas

18 January 1999

Progressive Reduces Auto Insurance Rates in Arkansas by More Than $1.7 Million

    LITTLE ROCK, Ark., Jan. 18 -- Progressive , one of
the nation's largest auto insurers, is reducing its rates in Arkansas,
announced Tim Madden, Progressive's general manager for Arkansas.  The latest
decrease, representing an average of 4.5 percent, or an average of $35 per
policy, is effective January 15, 1999.
    Madden credits the decrease in large part to lower claims costs and the
company's Immediate Response(R) claims service.  "As we're able to lower our
costs through fewer claims, safer drivers and our Immediate Response(R) claims
service, we're pleased to pass these savings on to consumers," said Madden.
    Immediate Response(R) claims service is Progressive's commitment to be
there when policyholders need help most -- when they need to make a claim.
Each Progressive policyholder receives a plastic "Gold Card" with claims
reporting information.  In the event of an accident, policyholders are
encouraged to call Progressive as soon as possible, to begin resolving the
claim.  Progressive claim representatives can even be dispatched to the
accident scene, arriving in boldly-marked, specially outfitted Immediate
Response Vehicles to assist policyholders.  Once there, they will begin the
claims investigation and settlement process.  Claim representatives can even
issue a check to the policyholder on the spot.  Progressive's Immediate
Response(R) claims service is available to all policyholders at no charge.  No
other major auto insurance company handles claims this way.
    "Settling claims fast helps people get back on the road quickly, while
reducing our expenses associated with rental cars and storage fees.  Our fast,
fair claims service is not only convenient, it helps us offer lower auto
insurance rates to all of our customers," said Madden.
    In Arkansas, Progressive meets the auto insurance needs of more than
32,000 policyholders through six local claims offices and approximately
50 employees throughout the state.  Progressive insurance is available to
Arkansas residents through more than 800 authorized insurance agents, or by
calling 1 800 AUTO PRO(R).
    In business since 1937, Progressive provides consumers throughout the U.S.
and in Canada with competitively priced automobile insurance and 24-hour
services delivered through the phone, Internet, and more than 30,000
Independent Agents throughout the country, making it the nation's largest
writer of auto insurance through Independent Agents.  Progressive companies
writing auto insurance consistently receive the highest ratings available from
A.M. Best, the independent company that rates the financial conditions of
insurance companies.  Progressive is a "Proud Sponsor of the NFL," and the
title sponsor of the Super Bowl Halftime Show at Super Bowls XXXIII and XXXIV.
The Progressive Corporation's stock is traded on the New York Stock Exchange
.  More information about the company can be found on the World
Wide Web at progressive.com.