Warrantech Announces Agreement With Reliance National Insurance

24 June 1999

Warrantech Corporation Announces Agreement With Reliance National Insurance Company

    STAMFORD, Conn.--June 23, 1999--Warrantech Corporation (NASDAQ NMS: WTEC) announced today agreement with Reliance National Insurance, Co., whereby Reliance will provide the under-writing of warranties and service agreements for Warrantech Automotive, a wholly owned subsidiary.
    Joel San Antonio, President and Chief Executive Officer of Warrantech, stated, "We are pleased to expand our relationship with Reliance National Insurance Company. Warrantech Corporation is committed to maintain itself as a premier administrator of warranties and a leader in the service contact industry and Reliance has demonstrated they share our vision."
    Ron Glime, President of Warrantech's U.S. and Canadian operations, stated, "Although companies of the American International Group and Warrantech have both benefited from growth over the years, AIG has chosen to develop their future business through other channels, while Warrantech will continue as a dealer and agent marketed program."
    Steve Williams, President and Chief Executive Officer of Reliance Integramark (a Reliance Group Holdings: REL subsidiary), stated, "We are pleased with the Warrantech relationship and look forward to continued growth in this dynamic business segment."
    The Company previously announced that its subsidiary companies: Warrantech Automotive; Warrantech Consumer Product Services; Warrantech Direct; Warrantech Home and Warrantech Help Desk, Inc., had been selected to provide administrative services to Reliance Integramark, a subsidiary of Reliance National Insurance Co.
    Reliance National, the property and casualty insurance unit of Reliance Group Holdings, Inc., provides a broad range of insurance and risk management services in the United States and internationally in over 100 countries.
    Warrantech Corporation, through its subsidiaries, administers and markets service contracts and after-market warranties on automobiles, automotive components, recreational vehicles, appliances, consumer electronics, homes, computer and computer peripherals for retailers, distributors and manufacturers. The Company continues to expand its domestic and global penetration, and now provides its services in the United States, Canada, Mexico, the United Kingdom, Puerto Rico and Latin America.

The information contained in this news release, other than historical information, consists of forward-looking statements that are subject to risks and uncertainties, including, but not limited to, the effectiveness of cost containment measures and the continuation of current levels of business activity, the impact of competitive products, product demand and market acceptance risks, reliance on key strategic alliances, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the Securities and exchange Commission. These risks could cause the Company's actual results for the current fiscal year and beyond to differ materially from those expressed in any forward looking statements made by, or on behalf of, the Company.

This release and prior releases, are available on the KCSA Public Relations Worldwide website at www.kcsa.com.