<ARTICLE> 7 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM MERCURY GENERAL CORPORATION AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> JUN-30-1998 <DEBT-HELD-FOR-SALE> 1,308,845 <DEBT-CARRYING-VALUE> 0 <DEBT-MARKET-VALUE> 0 <EQUITIES> 189,068 <MORTGAGE> 0 <REAL-ESTATE> 0 <TOTAL-INVEST> 1,565,395 <CASH> 4,940 <RECOVER-REINSURE> 0 <DEFERRED-ACQUISITION> 59,008 <TOTAL-ASSETS> 1,842,194 <POLICY-LOSSES> 402,474 <UNEARNED-PREMIUMS> 317,150 <POLICY-OTHER> 0 <POLICY-HOLDER-FUNDS> 0 <NOTES-PAYABLE> 75,000 <PREFERRED-MANDATORY> 48,927 <PREFERRED> 0 <COMMON> 0 <OTHER-SE> 835,219 <TOTAL-LIABILITY-AND-EQUITY> 1,842,194 <PREMIUMS> 553,222 <INVESTMENT-INCOME> 47,469 <INVESTMENT-GAINS> 6,213 <OTHER-INCOME> 2,336 <BENEFITS> 328,496 <UNDERWRITING-AMORTIZATION> 121,674 <UNDERWRITING-OTHER> 18,626 <INCOME-PRETAX> 138,073 <INCOME-TAX> 36,404 <INCOME-CONTINUING> 101,669 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 101,669 <EPS-PRIMARY> 1.84 <EPS-DILUTED> 1.83 <RESERVE-OPEN> 0 <PROVISION-CURRENT> 0 <PROVISION-PRIOR> 0 <PAYMENTS-CURRENT> 0 <PAYMENTS-PRIOR> 0 <RESERVE-CLOSE> 0 <CUMULATIVE-DEFICIENCY> 0