ERIE, Pa. --- December 23, 1998 --- Erie Insurance Group was named to Fortune magazine's 1999 list of the "100 Best Companies to Work for In America." The list, which will appear in the January 11, 1999 issue of the magazine, was compiled through extensive research, analysis and a poll of more than 27,000 randomly selected employees at hundreds of companies across the United States. Erie Insurance has appeared in all six 100 Best listings, including four editions of the best-selling book and two issues of Fortune magazine. It is the only Pennsylvania-based company to be included in this year's top 100.

"This is an honor for our company, agents and our employees," commented Erie Insurance Group President and CEO Stephen A. Milne. "The heart and soul of this honor belong to our employees whose work, dedication and loyalty rate us among the best of the best. It was their response to randomly distributed surveys by authors of the 100 Best that made our inclusion possible."

The Fortune list was developed through the magazine's collaboration with best-selling authors Robert Levering and Milton Moskowitz, using methodology similar to that used for their book, The 100 Best Companies to Work for in America. The employee survey measured trust in management, pride in work and camaraderie. Erie Insurance is one of only 14 companies on the 1999 Fortune list remaining from the original book that was published in 1984.

To be eligible for the list, companies must be at least 10 years old and have a minimum of 500 employees. More than 1,000 companies were originally considered for the list. In addition to the random employee surveys, participating companies were required to complete the Hewitt People Practices Inventory, a 31-page compensation and benefits questionnaire. Firms were encouraged to submit company newsletters, employee handbooks and videos.

Synovus Financial of Columbus, Georgia topped this year's list followed by TDIndustries, SAS Institute and Southwest Airlines, last year's number one. Other notables on this year's "100 Best" list include Hewlett-Packard, Microsoft, Lands' End, FedEx, and L.L. Bean.

"We're very proud to be in such distinguished company. The positive feelings our employees have about being associated with our company inevitably affect their performance," Milne added. "They understand that everything they do will have a direct and important influence on the success of our company. We try to create a positive work environment by following the Golden Rule of treating others the way you wish to be treated. We do that for our employees and agents, and they, in turn, treat our Policyholders with a very keen sensitivity and unique respect."

With nearly 2.5 million policyholders, Erie Insurance Group is the 17th largest property/casualty insurance group in the United States. Erie Insurance Exchange, a member of the Group, is the 12th largest insurer of private passenger automobiles in the country. Erie Insurance Group includes seven companies operating in nine states and the District of Columbia. Erie Indemnity Company (NASDAQ - ERIE) is the management company for Erie Insurance Group.