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Direct Response Corporation to Purchase Connecticut Life & Casualty Insurance Company

7 March 2000

Direct Response Corporation to Purchase Connecticut Life & Casualty Insurance Company
                Company Plans to Take New Acquisition National


    WHITE PLAINS, N.Y., March 7 Mory Katz, President and Chief
Executive Officer of Direct Response Corporation (DRC), a national,
direct-to-the-consumer automobile insurer, and Robert S. Weiss, Chairman &
Chief Executive Officer of Weiss Financial Corporation, the owner of
Connecticut Life & Casualty Insurance Company (CL&C), announced today that
they have entered into an agreement for DRC to acquire CL&C.  Terms of the
transaction were not disclosed.
    In making the announcement, Mr. Katz & Mr. Weiss noted that the
acquisition would provide value to both entities.  The White Plains, NY
headquartered Direct Response Corporation is the national holding company for
a growing group of direct auto insurance companies, most notably Response
Insurance.  Connecticut Life & Casualty is a direct insurer writing auto and
homeowners insurance in Connecticut with more than $13.0 million of in-force
business.  Mr. Katz stated, "We are very impressed with the team and business
Bob Weiss has built.  We plan on working with Bob and Ron Licata (CL&C
President & Chief Operating Officer) on taking Connecticut Life & Casualty
national. Together we are going to help bring to fruition Bob's vision of
making CL&C a significant force in the business."
    Robert Weiss stated, "In many ways this move fulfills my long-held vision
of making CL&C a significant player in the insurance industry.  Ron Licata and
I have worked together to build our company's reputation for quality and
service.  As we progressed we realized that additional success was limited by
the constraints of our resources and capital.  With DRC we found a company
that shares our commitment to provide the best coverage and service possible
to responsible customers.  DRC brings the resources needed to help expand
CL&C's products and services in Connecticut and beyond."
    Both parties signed a letter of intent and the acquisition is subject to
approval by the Connecticut Insurance Department and completion of due
diligence.  Direct Response Corporation intends to maximize the complimentary
business models of the two companies by expanding CL&C's insurance products
into the states currently marketed to by Response Insurance, including New
York, California, Florida, Illinois, Maryland and Georgia.  CL&C will continue
to operate under its current name and management with Mr. Weiss as chairman
and chief executive officer and Mr. Licata as president and chief operating
officer.  It is expected that staffing in CL&C's Meriden, CT office will
increase significantly as a state-by-state roll out is launched.
    Robert Weiss, formerly a successful independent insurance agent, formed
Connecticut Life & Casualty in 1990.  The company reflected his commitment to
provide outstanding customer service through direct distribution.  Licensed in
the state of Connecticut, the company writes personal lines of business, of
which auto insurance current comprises approximately 72%.  At its founding it
was the first domestic insurer formed in Connecticut in more than 100 years.
    Direct Response Corporation was initially financed in 1996 with an equity
commitment of $215 million from an investor group led by Morgan Stanley Dean
Witter Capital Partners, the private equity unit of Morgan Stanley Dean Witter
& Co.  That investment was recently augmented by an additional $97 million.
Through its insurance operating subsidiaries, which includes Response
Insurance, DRC provides low-cost automobile insurance directly to consumers.
Response Insurance began marketing in New York State in late 1997, and has
since entered California, Florida, Georgia, Illinois and Maryland.  The
Company operates from White Plains, New York and Suisun City, California.
Response Insurance intends to expand throughout much of the U.S. over the next
few years, continuing to emphasize low prices, world-class service and its
friendly, memorable brand.  All Response Insurance marketing initiatives
feature its distinctive logo, an animated red telephone on wheels, which will
now be added to CL&C materials; the tag line, Response Insurance for
Responsible People(R); the toll-free number, 888-RED-PHONE; and the Company's
website, http://www.ResponseInsurance.com.