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Progressive Reduces Insurance Rates in Minnesota by More Than 6%

21 April 1999

Progressive Reduces Auto Insurance Rates in Minnesota by More Than 6 Percent

    Move Marks an Average 9 Percent Rate Reduction in the Past Six Months
                         for Minnesota Motorists

    ARDEN HILLS, Minn., April 21 -- Progressive , one
of the largest auto insurers in Minnesota and in the nation, is reducing its
rates in Minnesota for the second time in six months, John Sauerland,
Progressive's Minnesota General Manager, announced.  The decrease,
representing an average of 6.2 percent, is effective today.  Since November,
the company has reduced its rates by more than 9 percent.
    Sauerland credits the decrease in large part to lower claims costs and the
company's Immediate Response(R) claims service. "Controlling claims costs is
the key to lowering rates.  We've been able to lower our costs, so we're
pleased to pass these savings on to consumers for the second time in six
months," said Sauerland.
     Immediate Response(R) claims service is Progressive's commitment to be
there when  policyholders need help most -- when they need to make a claim.
In the event of an accident, policyholders are encouraged to call Progressive
as soon as possible, so that claim representatives can begin the claims
investigation and settlement process as quickly as possible.  In Minnesota,
Progressive claim representatives can even be dispatched to the accident
scene, arriving in one of 23 boldly-marked, specially outfitted Immediate
Response Vehicles to assist policyholders.  Claim representatives can even
issue a check to the policyholder on the spot.
    In addition to providing Minnesota motorists with competitive auto
insurance rates and high-quality service, Progressive is also committed to
the safety and well-being of the state's residents.  Late last year, the
company contributed $50,000 to the Minnesota Department of Public Safety's
"Safe & Sober" campaign to encourage safe driving on Minnesota's roads and
highways.  The contribution is being used to fund public service
announcements encouraging traffic safety.  The company also contributed
$2,500 to the Minnesota Department of Public Safety's "Friends to the End"
program, and $1,000 to the Minneapolis Police Department "Bait Vehicle"
program on behalf of the 1998 Progressive Auto Insurance NFL Rookie of the
Year, Randy Moss.
     In Minnesota, Progressive meets the auto insurance needs of policyholders
through seven offices and approximately 100 employees throughout the state.
Through the Internet, over the phone, or through more than 30,000 Independent
Insurance Agents across the United States and in Canada, Progressive Auto
Insurance provides all drivers with competitive rates and innovative services
24 hours a day, seven days a week.  In since 1937, the company is committed to
making auto insurance easy and hassle free, while providing consumers with
choices in the way they shop for, buy, and own their insurance.  Progressive
companies writing auto insurance consistently receive high ratings from A.M.
Best Company, an independent firm that rates the financial strength and
performance of auto insurers, assuring consumers of the relative strength and
stability of the insurer.  More information about Progressive can be found on
the company's Web site, located at progressive.com.