Progressive to Build Data Center in Colorado Springs.

COLORADO SPRINGS, Colo. -- Progressive (NYSE:PGR), whose companies comprise the country's third largest auto insurance group, today announced plans to build a 150,000 square foot data center on the same piece of property in Northgate Corporate Village where the company recently completed a 300,000 square foot call center campus.

The Colorado Springs data center will be the third company-owned data center in the U.S., increasing capabilities for e-transactions and further ensuring that the more than 13 million drivers insured by Progressive receive uninterrupted 24 hour a day, 7 day a week service.

In June 2004, the company announced that over the next three to four years it would employ approximately 250 information technology staff at its call center campus in Colorado Springs. About 40 additional jobs will be added for data center staff over the next two to three years. The Company currently has about 30 open I/T and call center jobs in Colorado Springs. Specific information about those positions can be found at www.jobs.progressive.com.

Rocky Scott, president of The Greater Colorado Springs Economic Development Corporation, said: "Progressive's new expansion in Colorado Springs will position the company to become one of the area's largest private employers. We are very pleased that Progressive has expressed confidence in our business climate and infrastructure and will do our part to ensure their ongoing satisfaction."

Progressive is Colorado's sixth largest auto insurer, employing nearly 1,160 people in seven claims offices and the Northgate campus, and is represented by more than 700 independent insurance agencies in the state.

The Progressive group of insurance companies, in business since 1937, provides drivers with competitive rates and 24/7, in-person service. The companies offer insurance by phone at 1-800-PROGRESSIVE, online at www.progressive.com and through more than 30,000 independent insurance agencies in the U.S. The Progressive Corporation, the holding company, has headquarters in Mayfield Village, Ohio. The Common Shares of The Progressive Corporation are publicly traded at NYSE:PGR. More information can be found at www.progressive.com.