York Insurance Services Group Announces Investment In Southern California Risk Management Associates

Parsippany, NJ, September 26, 2006 - York Insurance Services Group, Inc. ("York" or the "Company"), a leading insurance services provider, and Eventide Risk Management LLC ("Eventide"), a leading provider of workers’ compensation and medical cost containment services in California, announced today that York has acquired Eventide and its subsidiaries.

Eventide is the parent company of Southern California Risk Management Associates, Inc. ("SCRMA") and Medical Audit and Management, Inc. ("MAAM"). Since 1988, SCRMA has built and maintained long-term relationships by providing customized workers’ compensation claims and medical cost containment solutions in California. Through tightly managed programs and service innovation, SCRMA generates quantifiable results for clients and reduces the overall cost of risk, while staying focused on successful recoveries for injured workers. The firm has become well known for its commitment to providing the highest quality client services. SCRMA’s leadership position in California workers’ compensation combined with York’s specialized property and casualty services, powerful systems, infrastructure and national scope will benefit customers greatly.

SCRMA’s management team will continue to be led by CEO Rick Taketa and President Jody Gray, and Taketa will become President of York Risk Management Associates, York’s newly formed combined workers’ compensation and medical cost containment business. Eventide co-founder and Chairman Ken Alston will focus on strategic acquisitions and projects for the company.

"We are committed to growing as a leading provider of innovative claims and insurance services," said Tom MacArthur, Chairman and CEO of York. "This strategic merger will enhance our services and create a dynamic organization that continues to focus on our shared values of protecting client’s assets, relationships and reputations. Our combined organization of approximately 1,000 people in 22 states is now more regionally balanced and Workers’ Compensation is now 25% of our business, roughly equal to our Auto, Property and General Liability businesses.

Rick Taketa noted that "Our services help sustain healthy employee relations, minimize fraud, and provide quantifiable cost savings. As we explored the opportunity, it was clear that York and SCRMA shared the same client service values. Our partnership will enhance our ability to support clients with additional services and attract the best people in our industry. Replicating California’s workers’ compensation cost-saving practices in other key states will enable more clients to realize lower workers’ compensation costs."

Financing for the transaction was arranged through Odyssey Investment Partners, York’s majority shareholder. Jeffrey McKibben, a Principal of Odyssey, stated: "We are pleased to increase our investment in York. The acquisition of Eventide is an important milestone in our strategy of building the premier insurance service franchise."

York is an insurance services business focused on the property and casualty industry. Since the 1930’s York (through predecessor companies) has served as independent adjusters and third party administrators providing claims administration, data management and risk related services to insurance companies, government entities, reinsurers, self-insureds, and intermediaries throughout the United States. For further information about York, please visit www.yorkisg.com.

SCRMA, operating out of five offices in California, provides value added, quantifiable workers’ compensation claims administration and managed care results that reduce their clients’ overall cost of risk. Their focus on the complex workers’ compensation environment has enabled them to develop expertise that translates into cost savings for its clients. For further information about SCRMA, please visit www.scrma.com.

Odyssey Investment Partners, LLC, based in New York, is a leading middle-market private equity fund with more than $1.2 billion under management. Odyssey makes majority, control investments primarily in established middle-market companies in a variety of industries, including industrial manufacturing, business, financial and healthcare services, aerospace products and services, and route-based services. For further information about Odyssey, please visit www.odysseyinvestment.com.

For more information, please contact:

York Insurance Services Group, Inc.
Thomas C. MacArthur
Chairman and CEO
973-404-1228

SCRMA
Rick Taketa
Chief Executive Officer
909-608-7171 x405

Odyssey Investment Partners
Jeffrey McKibben
Principal
212-351-7937