Commerce Seeks Approval for 5% AAA Discount for 2004

WEBSTER, Mass.--Jan. 1, 20044, 2004--The Commerce Insurance Company announced today that it has filed with the Massachusetts Division of Insurance for a five percent (5%) discount from the 2004 private passenger automobile fixed and established rates for AAA members in Massachusetts.

If approved by the Division of Insurance, the discount would apply to 2004 Massachusetts private passenger automobile policies for members of the following AAA clubs who are insured through Commerce Insurance: AAA Southern New England, AAA Merrimack Valley, Automobile Club of Pioneer Valley and AAA Automobile Club of Berkshire County.

The Commerce Insurance Company, which is rated A+ (Superior) by A.M. Best, is the principal operating subsidiary of The Commerce Group, Inc. headquartered in Webster, Massachusetts. Additional property and casualty insurance subsidiaries include Citation Insurance Company in Massachusetts, Commerce West Insurance Company in California and American Commerce Insurance Company in Ohio. Through its subsidiaries' combined insurance activities, Commerce Group is ranked as the 22nd largest personal automobile insurance group in the country by A.M. Best, based on 2002 direct written premium information.