Crum & Forster^®'s First Mercury Insurance Company Now Moves to Financial Size Category XIII

Morristown, NJ, August 11, 2011 - As announced on August 8, 2011, A.M. Best Co. has affirmed the financial strength rating of "A" (Excellent) and issuer credit rating of "a" of First Mercury Insurance Company (FMIC).

First Mercury Financial Corporation and its subsidiaries were acquired by Fairfax Financial Holdings Limited and contributed to Crum & Forster Holdings Corporation in February 2011 as part of a strategic plan to enhance the firm's capabilities and expand its presence in specialty lines.

FMIC is now part of the Crum & Forster Insurance Group and offers its complete range of products through its wholesale surplus lines producer, operating under the trade name CoverXSpecialty. The Group has a financial strength rating of "A" (Excellent), an issuer credit rating of "a" and a financial size category of XIII.

Richard H. Smith, Vice Chairman of Crum & Forster, and Chairman, President and CEO of First Mercury, stated "We are pleased to be part of the Crum & Forster Insurance Group. The size of the Group, its financial strength and its stability provide significant benefits for our policyholders and producers. This move by A.M. Best reaffirms our decision to become part of the Crum & Forster family."

The Crum & Forster Group of companies includes United States Fire Insurance Company, North River Insurance Company, Crum & Forster Indemnity Company, Crum and Forster Insurance Company, Crum & Forster Specialty Insurance Company, First Mercury Insurance Company, and American Underwriters Insurance Company.