<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>                   YEAR
<FISCAL-YEAR-END>                          DEC-31-1998
<PERIOD-START>                             JAN-01-1998
<PERIOD-END>                               DEC-31-1998
<DEBT-HELD-FOR-SALE>                         1,324,908
<DEBT-CARRYING-VALUE>                                0
<DEBT-MARKET-VALUE>                                  0
<EQUITIES>                                     219,745
<MORTGAGE>                                           0
<REAL-ESTATE>                                        0
<TOTAL-INVEST>                               1,590,645
<CASH>                                           1,887
<RECOVER-REINSURE>                                   0
<DEFERRED-ACQUISITION>                          61,947
<TOTAL-ASSETS>                               1,877,025
<POLICY-LOSSES>                                405,976
<UNEARNED-PREMIUMS>                            327,129
<POLICY-OTHER>                                       0
<POLICY-HOLDER-FUNDS>                                0
<NOTES-PAYABLE>                                 78,000
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                        48,830
<OTHER-SE>                                     868,545
<TOTAL-LIABILITY-AND-EQUITY>                 1,877,025
<PREMIUMS>                                   1,121,584
<INVESTMENT-INCOME>                             96,169
<INVESTMENT-GAINS>                             (1,340)
<OTHER-INCOME>                                   5,710
<BENEFITS>                                     684,468
<UNDERWRITING-AMORTIZATION>                    252,592
<UNDERWRITING-OTHER>                            44,941
<INCOME-PRETAX>                                235,280
<INCOME-TAX>                                    57,754
<INCOME-CONTINUING>                            177,526
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   177,526
<EPS-PRIMARY>                                     3.23
<EPS-DILUTED>                                     3.21
<RESERVE-OPEN>                                 386,270
<PROVISION-CURRENT>                            693,877
<PROVISION-PRIOR>                              (9,409)
<PAYMENTS-CURRENT>                             437,612
<PAYMENTS-PRIOR>                               247,310
<RESERVE-CLOSE>                                385,816
<CUMULATIVE-DEFICIENCY>                          9,409