<ARTICLE> 7 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE FINANCIAL STATEMENTS OF MUTUAL ASSURANCE FOR THE YEAR ENDED DECEMBER 31, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <CURRENCY> U.S. DOLLARS <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> DEC-31-1997 <EXCHANGE-RATE> 1 <DEBT-HELD-FOR-SALE> 617,914 <DEBT-CARRYING-VALUE> 0 <DEBT-MARKET-VALUE> 0 <EQUITIES> 44,880 <MORTGAGE> 0<F1> <REAL-ESTATE> 11,933 <TOTAL-INVEST> 720,202 <CASH> 12,248 <RECOVER-REINSURE> 150,598 <DEFERRED-ACQUISITION> 0<F1> <TOTAL-ASSETS> 1,063,173 <POLICY-LOSSES> 614,729 <UNEARNED-PREMIUMS> 79,700 <POLICY-OTHER> 53,752 <POLICY-HOLDER-FUNDS> 0 <NOTES-PAYABLE> 0<F1> <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 21,722 <OTHER-SE> 265,466 <TOTAL-LIABILITY-AND-EQUITY> 1,063,173 <PREMIUMS> 118,967 <INVESTMENT-INCOME> 38,474 <INVESTMENT-GAINS> 1,739 <OTHER-INCOME> 1,562 <BENEFITS> 77,674 <UNDERWRITING-AMORTIZATION> 15,412 <UNDERWRITING-OTHER> 18,491 <INCOME-PRETAX> 49,165 <INCOME-TAX> 11,707 <INCOME-CONTINUING> 37,458 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 37,458 <EPS-PRIMARY> 1.74 <EPS-DILUTED> 1.74 <RESERVE-OPEN> 548,742 <PROVISION-CURRENT> 124,353 <PROVISION-PRIOR> (46,679) <PAYMENTS-CURRENT> (5,203) <PAYMENTS-PRIOR> (48,390) <RESERVE-CLOSE> 614,729 <CUMULATIVE-DEFICIENCY> (46,679) <FN> <F1>DEFERRED POLICY ACQUISITION COSTS, AMORTIZATION OF DEFERRED POLICY ACQUISITION COSTS AND MORTGAGE NOTES PAYABLE ARE NOT SEPARATELY DISCLOSED IN THE FINANCIAL STATEMENTS INCLUDED IN FORM 10K BECAUSE ITEMS ARE IMMATERIAL FOR INDIVIDUAL DISCLOSURE. DEFERRED POLICY ACQUISITION COSTS ARE INCLUDED AS A COMPONENT OF OTHER ASSETS; AMORTIZATION OF DEFERRED POLICY ACQUISITION COSTS IS INCLUDED AS A COMPONENT OF OTHER UNDERWRITING EXPENSES; MORTGAGE NOTES PAYABLE ARE INCLUDED AS A COMPONENT OF OTHER LIABILITIES. </FN>