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: Mike Paquette
Executive Vice President, Chief Financial Officer
(775) 327-2562 or mpaquette@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 and services (collectively “EMPLOYERS®”) focused on small and mid-sized businesses engaged in low-to-medium hazard industries. 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, creating safer work environments.

EMPLOYERS is also proud to offer Cerity®, which is focused on providing digital-first, direct-to-consumer workers’ compensation insurance solutions with fast, and affordable coverage options through a user-friendly online platform.

EMPLOYERS operates throughout the United States, apart from four states that are served exclusively by their state funds. Insurance is offered through Employers Insurance Company of Nevada, Employers Compensation Insurance Company, Employers Preferred Insurance Company, Employers Assurance Company, and Cerity Insurance Company, all rated A - (Excellent) by A.M. Best. Not all companies do business in all jurisdictions. EIG Services, Inc., and Cerity Services, Inc., are subsidiaries of Employers Holdings, Inc. EMPLOYERS® is a registered trademark of EIG Services, Inc., and Cerity® is a registered trademark of Cerity Services, Inc. For more information, please visit www.employers.com and www.cerity.com.