Exhibit 99.2

          DONEGAL GROUP INC. ANNOUNCED OFFERING OF CLASS A COMMON STOCK


Ralph G. Spontak
Senior Vice President and Chief Financial Officer
Phone    (717) 426-1931
Fax      (717)426-7009

                                                        For Immediate Release



         MARIETTA, Pennsylvania, November 3, 2003 - Donegal Group Inc. (Nasdaq
DGICA and DGICB) announced that it has filed a registration statement with the
Securities and Exchange Commission relating to its proposed offering of up to
3,450,000 shares of Class A common stock. The exact terms of the offering, which
will be made only by a prospectus, have not yet been disclosed. The book running
manager of the offering is SunTrust Robinson Humphrey, and the co-lead manager
is Legg Mason Wood Walker, Inc. The co-managers of the offering are Advest,
Inc., and Cochran, Caronia & Co.

         The net proceeds of the offering will be used to fund recently
announced acquisitions, increase the capital of Donegal Group Inc.'s insurance
subsidiaries and for general corporate purposes.


         Donegal Group Inc. is a regional property-casualty insurance holding
company currently doing business in 14 Mid-Atlantic and Southern states through
its insurance subsidiaries, Atlantic States Insurance Company and Southern
Insurance Company of Virginia.

         A registration statement relating to these securities has been filed
with the Securities and Exchange Commission but has not yet become effective.
These securities may not be sold, nor may offers to buy be accepted, prior to
the time the registration statement becomes effective. This press release shall
not constitute an offer to sell or the solicitation of an offer to buy, nor
shall there by any sale of these securities in any jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any jurisdiction.


         Copies of the prospectus relating to the offering may be obtained, when
available, from: SunTrust Robinson Humphrey at 3333 Peachtree Road, N.E.
Atlanta, GA 330326 (404-926-5000); Legg Mason Wood Walker, Inc. at 100 Light
Street, Baltimore, MD 21202 (410-539-0000); Advest, Inc. One Rockefeller Plaza,
New York, NY 10020 (212-484-2900); and Cochran Caronia & Co., One South Wacker
Drive, Chicago, IL 60606 (312-425-9335).