1 EXHIBIT NO. 99 -------------- COMPUTATION OF PREMIUMS EARNED 2 THE PROGRESSIVE CORPORATION AND SUBSIDIARIES COMPUTATION OF PREMIUMS EARNED (millions) (unaudited) Three Months Ended March 31, ----------------------------------------------------------------------- 1994 1993 % Change ----------------------------------------------------------------------- Total direct premiums written $605.6 $451.2 34 Reinsurance ceded, net (47.4) (29.4) 61 ------------------------------------------------- Net premiums written 558.2 421.8 32 Change in net unearned premiums(1) (79.5) (49.6) 60 ------------------------------------------------- Premiums earned $478.7 $372.2 29 ================================================= <FN> (1) Represents change in unearned premiums net of prepaid reinsurance premiums.