EMPLOYERS DIRECT ANNOUNCES LAUNCH OF PLENARY INSURANCE SERVICES

Westlake Village, CA - January 9, 2008 - Plenary Insurance Services, Inc., a new employee benefits consulting firm located in Westlake Village, has officially opened its doors for business to serve the needs of California employers. The company's mission is to bring order to the chaos now faced by employers in managing their employee benefit plans.

Plenary was formed with the mission to provide complete and comprehensive benefit plan management, and therefore, the name "Plenary" was chosen due to its definition: "full, complete, and total."  Plenary, as a wholly-owned subsidiary of Employers Direct Corporation, will initially work with the over 700 policyholders and their 190,000 employees for whom Employers Direct provides workers' compensation insurance. Capitalizing on the Employers Direct infrastructure and systems, Plenary has the facilities and expertise to fulfill all the necessary benefit consulting and brokerage services required by employers in today's environment.

"We are extremely proud of the high level of talent and deep experience that we have been able to attract to form our initial team," said Douglas H. Helm, Chief Operating Officer of Plenary. "The team's enthusiasm to join this new benefit consulting firm is a direct recognition of the tremendous demand for the complete approach that we will provide to our clients," added Helm, also Chief Marketing & Sales Officer of Employers Direct Insurance Company.

The development of Plenary has been guided by Andrew Sterngold, one of the leading executives in the benefits industry. Andrew was a principal business leader in the development of ABD Insurance & Financial Services' domestic and international benefits division. One of the largest benefit consulting firms in the country, ABD is now a part of Wells Fargo Insurance, Inc.

Competition in the benefits consulting business is based on the experience, skill, and intellectual capital of each firm's employees. Plenary's initial consulting teams are led by Bill Eicher (Westlake Village office), John Whalley (Orange County office), and Kristin Kahle (San Diego office). Plenary plans rapid expansion throughout all regions of California to serve the needs of its clients. More information can be found online at www.plenary.com.

ABOUT EMPLOYERS DIRECT INSURANCE COMPANY
Employers Direct Insurance Company is California's only specialty direct writer of workers' compensation insurance. Rated "A-" (Excellent) VIII by A.M. Best, Employers Direct has been widely accepted by business owners throughout California as a result of providing highly competitive rates, claims services designed to fight fraud and abuse, and loss prevention services that assist employers to create safe work environments. Founded in 2002, Employers Direct takes advantage of the latest technology to provide its customers with 24/7 access to all policy and claims information via a secure Internet portal. Niche industries include construction, hotels, restaurants, golf and country clubs, new car dealers, food processors, manufacturing companies, specialty supermarket chains, and retailers. Employers Direct is a subsidiary of Alleghany Corporation (NYSE: Y). Visit Employers Direct online at www.employersdirect.com.


CONTACT:
Employers Direct Insurance Company
Debbie Laskey
Tel: 818.575.2709
dlaskey@employersdirect.com