Zurich focuses on the corporate segment in Belgium and Luxembourg and exits all other segments

Zurich, October 24, 2003 - Zurich Financial Services Group (Zurich) has decided to focus its activities in Belgium and Luxembourg on the corporate segment, operating the Non-life large commercial and corporate businesses through its business unit Continental Europe Corporate (CEC) in Belgium and Luxembourg, and the international group Life business through Zurich International Solutions. As part of this realignment, Zurich and P&V Assurances (P&V) have signed agreements under which P&V will acquire all of Zurich’s Life operations in Belgium and the Life operations in Luxembourg in the consumer and commercial segments. These agreements also include the sale of Zurich’s Non-Life operations in the consumer and small commercial segments in Belgium and Luxembourg.

P&V is a Belgian Life and Non-life insurer with total Gross Written Premiums of around EUR 366 million in 2002. Both parties agreed to keep the price confidential. Subject to regulatory approvals, the transaction is expected to close in the first quarter of 2004.

Axel P. Lehmann, Chief Executive Officer of the Continental Europe Business Division, said, "The re-focusing of our activities in Belgium and Luxembourg is in line with our strategy to exit peripheral businesses and to focus on key markets and core activities with a high potential to generate sustained profitable growth."

In 2002, the business being transferred to P&V represented a Gross Written Premium volume of about EUR 300 million.