[MID OCEAN LIMITED/EXEL LIMITED JOINT LETTERHEAD]





Contacts:          EXEL Limited                        Mid Ocean Limited
                   Gavin R. Arton                      John M. Wadson
                   (441) 292-8515                      (441) 292-1358





                          MERGER OF EXEL LIMITED
                      AND MID OCEAN LIMITED COMPLETED
                              ---------------
                   EXEL Combines Reinsurance Operations

HAMILTON, BERMUDA, August 7, 1998 -- EXEL Limited (NYSE:XL)  ("EXEL") and
Mid Ocean Limited (NYSE:MOC)  ("Mid Ocean") announced that approval for
their merger has been received from the Grand Court of the Cayman Islands
and that the transaction closed today.

"I am very pleased that the merger of our two companies is now finalized,"
stated Brian M. O'Hara, Presdient and Chief Executive Officer of EXEL.
"The integration of our organizations is substantially completed and I
am extremely pleased with how well our cultures have come together,"
Mr. O'Hara added.

EXEL also announced today that the combination of the principal reinsurance
subsidiaries of EXEL and Mid Ocean, X.L. Global Reinsurance Company, Ltd.
and Mid Ocean Reinsurance Company, Ltd., respectively, has been completed.
Henry C.V. Keeling has been named President and Chief Executive Officer of
the combined company, which will operate as "X.L. Mid Ocean Reinsurance
Company, Ltd." and have capital and surplus in excess of $1 billion.

EXEL Limited, through its subsidiaries, is a leading provider of general
liability, directors and officers liablity, employment practices liability,
political risk, X.L.  Risk Solutions, excess property insurance and
reinsurance coverages and financial products to industrial, commercial and
professional service firms, insurance companies and other enterprises on a
worldwide basis.

Mid Ocean Limited, through its wholly-owned subsidiaries, Mid Ocean
Reinsurance Company, Ltd. and The Brockbank Group plc, provides a broad
range of reinsurance and insurance products on a global basis.

This presentation may contain forward-looking statements.  Actual results
may differ materially from those predicted in such forward-looking
statements.  Additional information concerning factors that could cause
actual results to differ from those in such forward-looking statements is
contained in EXEL Limited's Annual Report on Form 10-K for the fiscal year
ended November 30, 1997 and other documents on file with the Securities and
Exchange Commission.

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