Arch Insurance Group's William Palmer to Lead Central Region

NEW YORK--(BUSINESS WIRE)--Aug. 25, 2004--Arch Insurance Group, a division of Arch Capital Group Ltd., recently announced that William Palmer has been promoted to executive vice president of our Central Region. In his new role, Mr. Palmer will oversee all aspects of our Midwest operation as well as continue to grow the business in this sector.

Mr. Palmer will be based in Chicago and will report to Ralph Jones, CEO, Arch Insurance Group.

“Bill joined Arch in May 2002 as regional vice president, Umbrella and Excess Casualty. Since that time Bill has achieved superb results and has been a significant factor in our success in Chicago. I am very pleased that he will continue with Arch as our newest regional EVP”

"Bill joined Arch in May 2002 as regional vice president, Umbrella and Excess Casualty. Since that time Bill has achieved superb results and has been a significant factor in our success in Chicago. I am very pleased that he will continue with Arch as our newest regional EVP," said Mr. Jones.

Mr. Palmer graduated from the University of Colorado in 1975 with a Bachelors of Science in Finance and received his Masters of Business Administration from Michigan State University in 1978. He joined Travelers Insurance in 1980 as a commercial lines underwriter and then went to General Star in 1985. While at General Star, he managed the Excess Department in both New York and Chicago, achieving outstanding results in both branches. Bill holds both CPCU and ARE designations.

Arch Insurance Group is a division of Arch Capital Group Ltd., a Bermuda-based company that provides insurance and reinsurance on a worldwide basis through its wholly owned subsidiaries. Arch Insurance Group's principal insurance subsidiaries - Arch Insurance Company, Arch Specialty Insurance Company and Arch Excess & Surplus Insurance Company - are rated A- (Excellent) by A.M. Best. For more information, visit www.archinsurance.com.

Cautionary Note Regarding Forward-Looking Statements

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. This release or any other written or oral statements made by or on behalf of Arch Capital Group Ltd. and its subsidiaries (collectively, the "Company") may include forward-looking statements which reflect the Company's current views with respect to future events and financial performance. Forward-looking statements involve the Company's current assessment of risks and uncertainties, which may cause actual events and results and prospects to differ materially from those expressed or implied in these statements. Certain information regarding such risks and uncertainties is set forth in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.