Mercury General (MCY) 8-K Other Events

EXHIBIT 12.1

Mercury General Corporation

Computation of Ratio of Earnings to Fixed Charges

	Year Ended December 31,
	2016			2015			2014			2013			2012
Computation of Earnings:
Income from continuing operations before income taxes	$	70,724		$	70,567		$	247,425		$	132,096		$	135,310
Add: Fixed charges		9,541			8,516			7,633			8,050			7,618
Estimated interest component on uncertain tax positions (1)		(399	)		(274	)		(283	)		(392	)		(166	)
Total earnings	$	79,866		$	78,809		$	254,775		$	139,754		$	142,762
Computation of Fixed Charges:
Interest expense, including amortization of premiums, discounts and debt issuance costs	$	3,962		$	3,168		$	2,637		$	1,260		$	1,543
Estimated interest component of rental expense (2)		5,180			5,074			4,713			6,398			5,909
Estimated interest component on uncertain tax positions (1)		399			274			283			392			166
Total fixed charges	$	9,541		$	8,516		$	7,633		$	8,050		$	7,618
Ratio of earnings to fixed charges		8.4			9.3			33.4			17.4			18.7

(1) The Company recognizes interest and penalties relating to uncertain tax positions in income tax expense.

(2) Represents the estimated portion of operating lease rental expense that is considered by us to be representative of interest (one-third of rental expense).

For the periods indicated above, we had no outstanding shares of preferred stock with required dividend payments.