<ARTICLE> 7 <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> 667,290 <DEBT-CARRYING-VALUE> 10,838 <DEBT-MARKET-VALUE> 11,039 <EQUITIES> 0 <MORTGAGE> 0 <REAL-ESTATE> 29,496 <TOTAL-INVEST> 717,624 <CASH> 50,579 <RECOVER-REINSURE> 13,920 <DEFERRED-ACQUISITION> 21,629 <TOTAL-ASSETS> 1,225,649 <POLICY-LOSSES> 690,515 <UNEARNED-PREMIUMS> 47,827 <POLICY-OTHER> 0 <POLICY-HOLDER-FUNDS> 3,473 <NOTES-PAYABLE> 121,750 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 0 <OTHER-SE> 243,583 <TOTAL-LIABILITY-AND-EQUITY> 1,225,649 <PREMIUMS> 215,911 <INVESTMENT-INCOME> 18,215 <INVESTMENT-GAINS> 275 <OTHER-INCOME> 100 <BENEFITS> 182,385 <UNDERWRITING-AMORTIZATION> 15,940 <UNDERWRITING-OTHER> 47,216 <INCOME-PRETAX> (17,968) <INCOME-TAX> (10,191) <INCOME-CONTINUING> (7,777) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (7,777) <EPS-PRIMARY> 0 <EPS-DILUTED> 0 <RESERVE-OPEN> 0 <PROVISION-CURRENT> 0 <PROVISION-PRIOR> 0 <PAYMENTS-CURRENT> 0 <PAYMENTS-PRIOR> 0 <RESERVE-CLOSE> 0 <CUMULATIVE-DEFICIENCY> 0