<ARTICLE> 7 <LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM CAPSURE HOLDINGS CORP. AND SUBSIDIARIES CONSOLIDATED FINANCIAL STATEMENTS AND RELATED NOTES AND SCHEDULES THERETO INCLUDED IN THIS ANNUAL REPORT ON FORM 10-K AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-END> DEC-31-1996 <DEBT-HELD-FOR-SALE> 135,895 <DEBT-CARRYING-VALUE> 0 <DEBT-MARKET-VALUE> 0 <EQUITIES> 4,526 <MORTGAGE> 0 <REAL-ESTATE> 0 <TOTAL-INVEST> 162,532 <CASH> 2,736 <RECOVER-REINSURE> 5,642 <DEFERRED-ACQUISITION> 28,523 <TOTAL-ASSETS> 313,139 <POLICY-LOSSES> 38,874 <UNEARNED-PREMIUMS> 69,570 <POLICY-OTHER> 0 <POLICY-HOLDER-FUNDS> 0 <NOTES-PAYABLE> 60,000 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 790 <OTHER-SE> 121,793 <TOTAL-LIABILITY-AND-EQUITY> 313,139 <PREMIUMS> 92,491 <INVESTMENT-INCOME> 16,444 <INVESTMENT-GAINS> 1,715 <OTHER-INCOME> 0 <BENEFITS> 10,054 <UNDERWRITING-AMORTIZATION> 37,505 <UNDERWRITING-OTHER> 25,699 <INCOME-PRETAX> 21,560 <INCOME-TAX> 8,181 <INCOME-CONTINUING> 13,379 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 13,379 <EPS-PRIMARY> 0.82 <EPS-DILUTED> 0.81 <RESERVE-OPEN> 126,061 <PROVISION-CURRENT> 23,685 <PROVISION-PRIOR> (10,579) <PAYMENTS-CURRENT> 3,390 <PAYMENTS-PRIOR> 12,080 <RESERVE-CLOSE> 38,874 <CUMULATIVE-DEFICIENCY> 7,353