Progressive Distributes December Results

MAYFIELD VILLAGE, Ohio--Jan. 1, 20068, 2006--The Progressive Corporation today reported the following results for December and fourth quarter 2005. Year-over-year comparisons are affected by an additional week of operating (underwriting and service) results which were included in December and fourth quarter 2004.

(millions, except per share amounts and ratios)

                      Month                         Quarter
---------------------------------------  -----------------------------
             2005      2004   Change(1)    2005      2004    Change(1)
           -------- --------- ---------  --------- --------- ---------
Net premiums
 written     $937.4  $1,135.5     (17)%   $3,251.8  $3,352.3      (3)%
Net premiums
 earned     1,068.6   1,270.2     (16)%    3,481.7   3,564.7      (2)%
Net income    122.9     179.5     (32)%      281.6     413.5     (32)%
  Per share     .62       .89     (30)%       1.42      2.01     (29)%
Pre-tax net
 realized
 gains
 (losses) on
 securities    (4.7)    (10.6)    (56)%      (40.2)      (.7)    5643%

Combined ratio 87.2      80.6    6.6 pts.     90.7      85.5  5.2 pts.
Diluted 
 equivalent
 shares       198.8     202.3      (2)%      198.7     206.2      (4)%

(1) Excluding the additional week of activity in 2004, net premiums
    written growth would have been approximately 3% for the month and
    4% for the quarter, and net premiums earned growth would have been
    approximately 5% for both periods. See "Monthly Commentary" at the
    end of this release for a further discussion.
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See the complete monthly release at http://investors.progressive.com/releases/2005/pdf/mreport_1205.pdf for further month and year-to-date information and commentary.

The Company is scheduled to hold a one-hour conference call to address questions on Thursday, March 2, 2006, at 9:00 a.m. eastern time, subsequent to the posting of the Company's 2005 Annual Report online and the filing of its 2005 Annual Report on Form 10-K with the SEC. Registration for the teleconference or webcast is scheduled to be available on the Company's Web site at http://investors.progressive.com/events.asp on or after February 1, 2006.

The Progressive Group of Insurance Companies, in business since 1937, ranks third in the nation for auto insurance based on premiums written and provides drivers with competitive rates and 24/7, in-person and online service. The products and services of the Progressive Direct Group of Insurance Companies are marketed directly to consumers by phone at 1-800-PROGRESSIVE and online at www.progressivedirect.com through the Progressive Direct(SM) brand. The Drive Group of Progressive Insurance Companies offers insurance through more than 30,000 independent insurance agencies that market their products and services through the Drive(R) Insurance from Progressive brand. For more information about Drive Insurance, go to www.driveinsurance.com. The Common Shares of The Progressive Corporation, the Mayfield Village, Ohio-based holding company, are publicly traded at NYSE:PGR. More information can be found at www.progressive.com, including a guide to interpreting the monthly reporting package.