Harleysville CFO Steps Down; Kauffman Named Counsel

October 28, 2004

Harleysville Group Inc. (Nasdaq: HGIC ) announced that Bruce J. Magee will step down from his role as senior vice president and chief financial officer in 2005. The company said a search for a successor is underway.

The company also announced the appointment of Robert A. Kauffman as senior vice president and general counsel. In that position, he also will serve as secretary and chief governance officer for Harleysville Group.

Magee has been a member of the Harleysville leadership team for the past 18 years. He will continue as CFO through the conclusion of the 2004 year-end financial reporting cycle.

Most recently, Kauffman was a shareholder in the securities litigation department of Berger & Montague, a position he held since joining the Philadelphia law firm in 2003. Prior to that, he was an equity partner in the commercial litigation department of the law firm of Reed Smith, LLP in Philadelphia.

Harleysville Insurance is a regional provider of insurance products and services for small and mid-sized businesses, as well as for individuals, and ranks among the top 60 U.S. property/casualty insurance groups. Harleysville Insurance currently operates in 32 eastern and Midwestern states.

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