EMPLOYERS On the Road to New States

July 26, 2006 — EMPLOYERS® today announced it is expanding its market for workers’ compensation insurance and services to small businesses throughout the states of Texas and Arizona. Insurance is being offered through Employers Compensation Insurance Company, one of the companies of Employers Insurance Group. New, independent agency partnerships are being established, with competitive commissions available to appointed agents in both states.

Arizona

Employers Compensation Insurance Company’s filing for a 15% rate deviation has been approved by the Arizona Department of Insurance. This deviation provides Employers with a competitive advantage over most other workers’ compensation companies. Independent agencies interested in learning more about competitive commissions available to appointed producers can contact Senior Underwriter Jack Kull at (702) 837-3018, e-mail: jkull@eig.com. Kull will serve as the contact for Arizona accounts until early next year when Employers Insurance Group is scheduled to open its first office in Arizona.

Texas

Workers’ compensation policies in Texas became available from Employers Compensation Insurance Company in January of this year. Subsequent rate filings and commission rates continue to make Employers Insurance Group highly competitive in the Texas market. Underwriting Manager Larry Smith is responsible for all Texas accounts, and can be reached at (720) 482-2522, e-mail: lsmith@eigwc.com. Employers Insurance Group plans to open its first Texas office in the Dallas area within the next three months.

Employers Insurance Group specializes in competitive pricing for lower-hazard, Main Street-type accounts, and emphasizes the quality of its claims processing and loss prevention services. Independent agencies needing to expand their options among top quality workers’ compensation markets are encouraged to contact Employers’ marketing staff at (208) 424-7432. The Employers Insurance Group of companies currently writes business in California, Nevada, Utah, Idaho, Colorado and Montana—with Arizona and Texas bringing the group’s market to a total of eight states. Employers Compensation Insurance Company is rated A– (Excellent) by A.M. Best, the world’s oldest and most authoritative insurance rating and information source.

Agency appointment information is available from Shayla Mulder, Vice President, Marketing for the Western Region, (208) 424-7432, e-mail: smulder@eig.com.

Contact Information

Media Contact: Kimberly Eye
Vice President, Marketing & Communications
(702) 671-7391 or keye@employers.com

Investor Relations Contact: Michael Pedraja
Executive Vice President, Chief Financial Officer
(775) 327-2706 or mpedraja@employers.com

About Employers Holdings, Inc.

Employers Holdings, Inc. (NYSE: EIG), is a holding company with subsidiaries that are specialty providers of workers’ compensation insurance, excess workers’ compensation, and related services (collectively “EMPLOYERS”) focused on small and mid-sized businesses engaged in lower hazard industries with its guaranteed cost product and self-insured enterprises with its excess workers compensation product. EMPLOYERS leverages over a century of experience to deliver comprehensive coverage solutions that meet the unique needs of its customers. Drawing from its long history and extensive knowledge, EMPLOYERS empowers businesses by protecting their most valuable asset – their employees – through exceptional claims management, loss control, and risk management services, to help businesses create safer work environments.

Excess workers’ compensation insurance is offered through Employers Assurance Company, rated A (Excellent) by the A.M. Best Company. Excess workers’ compensation coverage is not currently available in all jurisdictions. Go to https://www.employers.com/excess for more information regarding this product offering. EMPLOYERS® and America’s Workers’ Comp Specialist® are registered trademarks of EIG Services, Inc., a subsidiary of Employers Holdings, Inc.