Press Releases - July 30, 2008

AVEMCO® LAUNCHES NEW COVERAGE FOR CFIs

OSHKOSH, WI (July 30, 2008) – Avemco Insurance Company President Jim Lauerman announced today at the AirVenture Oshkosh show that Avemco's new specialty insurance for certified flight instructors (CFIs) is available in most states effective August 1, 2008.

Avemco CFI provides full-time coverage for part-time CFIs who wish to conduct flight training in their own aircraft. It is designed for those aircraft owners who provide instruction that is incidental to their aircraft ownership. Previously the only insurance available for these aircraft owners was commercial coverage designed for full-time flight instruction operations and businesses.

"This new product is designed to address what CFIs who instruct in their own aircraft have been asking us for – customized liability coverage that's affordable and accessible. We're happy to announce that Avemco CFI is now available in most states. It is much more affordable than typical flight school policies; in fact, it can be 30% lower or more than traditional coverage in some cases," Lauerman said.

"At Avemco, we're concerned about the low rate of student starts, the shortage of CFIs and the overall low level of flying activity across the marketplace. Our hope is to facilitate an increase in the number of qualified, experienced flight instructors available to the general aviation community offering more options for people seeking any form of flight instruction," Lauerman said.

Avemco CFI is available in most states and joins the company's broad specialty product line that includes offerings for light sport aircraft (LSAs), technically advanced aircraft (TAAs), homebuilts, and non-owned aircraft liability coverage. For CFIs who want to instruct in a borrowed or rented aircraft, Avemco also offers CFI non-owned coverage. Hangar coverage and life insurance for pilots, written through non-affiliated insurers, are also available through Avemco Insurance Agency, Inc.

Avemco Insurance Company, a leading pleasure and business general aviation insurer in the United States, has been insuring planes and pilots since 1961. Headquartered in Frederick, Maryland, Avemco is rated A+ (Superior) by A. M. Best Company and AA (Very Strong) by Standard & Poor's. Avemco is a subsidiary of HCC Insurance Holdings, Inc. (NYSE: HCC) a leading international specialty insurance group with assets of $8.2 billion.