Pioneer General Insurance Company

HCC Insurance Holdings, Inc. (HCC) announced today that the Company had closed its previously announced acquisition of Pioneer General Insurance Company (Pioneer). With the closing Pioneer becomes an important new member of HCC Surety Group.

HCC's purchase of Pioneer allows HCC Surety Group to expand the size and types of products offered in the mountain states region (Arizona, Colorado, Idaho, Montana, Nevada, New Mexico, Utah, and Wyoming) and surrounding states. Pioneer's executive management, including Bruce Lowdermilk, President and David Hyatt, Vice President, and other key personnel remain with the company.

Greg P. Faulx, Vice President and Regional Director of HCC Surety Group, said, "We are very excited to welcome Pioneer's employees and agents who provide us an excellent opportunity to expand HCC Surety Group's presence in Colorado and the surrounding mountain states."

Pioneer and HCC Surety Group's current Lakewood, Colorado office will be combined to form a large regional office in located in Denver, Colorado. We expect the office combination will take place in late December 2007 or early January 2008. Until then, it is business as usual, with each company operating independently.

Our energy and resources remain focused on making this a seamless transition. We appreciate your support and will continue to work hard to earn your business.

Headquartered in Houston, Texas, HCC Insurance Holdings, Inc. (HCC) is a leading international specialty insurance group with offices across the United States and in Bermuda, Spain, Ireland and the United Kingdom. HCC has assets of more than $8.0 billion, shareholders' equity in excess of $2.3 billion and is rated AA (Very Strong) by Standard & Poor's, AA (Very Strong) by Fitch Ratings and A+ (Superior) by A.M. Best Company.

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Pioneer General's charter dates back to 1946 when the company primarily wrote bail. We continue to write bail but have extended our services to include all phases of the surety business which has contributed to our status as the top writer of surety in Colorado for the past five years. We have developed into a strong, well respected company, which is currently rated A- by A.M. Best and is currently listed as an approved surety writer by the U.S. Treasury Department. Pioneer General is licensed in Arizona, Colorado, Kansas, Missouri, Montana, Nebraska, Nevada, New Mexico, Utah, and Wyoming at the present time, but we have the ability to write in other states as necessary.

The underwriting staff at Pioneer General is highly qualified in the surety industry. We have a reinsurance treaty with General Reinsurance Corp., one of the most respected companies in the industry. We pride ourselves on our excellent service and with the addition of our website, we feel we can offer you the best in all areas of surety.

Fast
· Most bonds can be underwritten in just a few hours!
· Agent appointments can be completed within one day!

Friendly
· You can always count on prompt, friendly, and efficient service from Pioneer General. Our underwriters are more than happy to take as much time as you need to go over the bonding process with you.
· YOU are our customers and it is our pleasure to help you with YOUR customers.

What types of bonds do we write?

We write hundreds of types of bonds including:
· Business Services
· Certificate of Title
· Concessionaire
· Contractors Performance & Payment
· Contractor Taxpayer
· Court Bonds (Appeal, Attachment, Cost, Mechanic's Liens, Probate)
· Game & Fish
· Hearing Aid Dealer
· License & Permit
· Lost Securities
· Manufactured Housing
· Mortgage Broker
· Motor Vehicle Dealer & Salesperson
· Notary
· Public Official
· Supervised Lender
· Union
· VIN Inspector
· And MANY MORE

Join our team and find out how EASY it is to add another piece to the "Insurance Pie" with Bonds. Our Underwriters and office staff are available to answer your questions personally. All management and underwriting decisions are made on a case-by-case basis. Pioneer General is a member of several organizations that are active in Legislation. Also, through it's own lobbyists and counsel, Pioneer plays a major part in lobbying for more effective legislation in the areas which have an impact on the various types of bonds that we write. The goal of Pioneer General is to help agents place their surety business quickly and easily through the highest quality customer service.

Denver area office:
333 W. Hampden Ave., Suite 815
Englewood CO 80010
Local: (303) 649-9163
Toll Free: (877) 790-0215
Fax: (303) 649-9517

webdesign by: Dave Hyatt