Superior National Insurance Group, Inc. Announces
             Completion of Sale of Business Insurance Company to Centre
                    Solutions and Completion of Acquisition of 
                     Commercial Compensation Insurance Company


          CALABASAS, Calif. --Dec. 18, 1998--Superior National Insurance Group,
Inc. (Nasdaq:SNTL) announced the completion of the previously announced sale of
Business Insurance Company to Centre Solutions Holdings (Delaware) Limited, and
completion of the previously announced acquisition of Commercial Compensation
Insurance Company ("CCIC") from Foundation Health Corporation.  SNTL received
regulatory approval for the CCIC acquisition on December 16, 1998, completing
SNTL's acquisition of Business Insurance Group, Inc. ("BIG") and BIG's insurance
subsidiaries.

     Prior to the acquisition of Business Insurance Group on December 10, 1998,
Superior National Insurance Group was the parent company of Superior National
Insurance Company and Superior Pacific Casualty Company, specialty workers'
compensation insurers operating in California through branch offices located in
Sacramento, Pleasanton, Fresno, Calabasas, Woodland Hills, Irvine, San Diego, 
and in Phoenix, Arizona.  The Superior National group of companies now also 
includes California Compensation Insurance Company, founded in 1932 and the 
largest private sector workers' compensation insurance company in California, 
Combined Benefits Insurance Company, a specialist in 24-hour cover workers' 
compensation and accident and health insurance products, and Commercial 
Compensation Insurance Company, a widely-licensed insurance company that will 
replace BICO as Superior National's vehicle for underwriting workers' 
compensation insurance outside of California.

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     CONTACT:  Superior National Insurance Group Inc., Calabasas
               J. Chris Seaman, Chief Financial Officer, 818/878-2240