Financial Strength Rating of SCPIE Holdings' Insurance Subsidiaries Upgraded by A.M. Best

  
    
  
  
    
      SCPIE Holdings Inc. (NYSE:SKP) announced today that its insurance 
      company subsidiaries —SCPIE Indemnity Company, 
      American Healthcare Indemnity Company, and American Healthcare Specialty 
      Insurance Company — have had their financial 
      strength rating upgraded to B+ (Very Good), a “secure” 
      rating, by the A.M. Best Company, the leading rating organization for 
      the insurance industry. In announcing the upgrade, A.M. Best said the 
      outlook for the ratings is stable.
    
    
      In addition, Best reiterated that SCPIE’s 
      earnings returned to profitability in 2005, “and 
      during this most-recent period, management has also been extremely 
      successful in reducing underwriting and reserve leverage, which has 
      elevated SCPIE’s capital adequacy to a level 
      that is more reflective of its current ratings.”
    
    
      “We are pleased that A.M. Best has taken this 
      action,” said Donald J. Zuk, SCPIE President 
      and Chief Executive Officer. “We have worked 
      diligently over the past few years to improve our capital adequacy 
      ratios, and it is gratifying to see that our turnaround strategies have 
      been affirmed.”
    
    
      About SCPIE Holdings
    
    
      SCPIE Holdings Inc. is a leading provider of healthcare liability 
      insurance for physicians, oral and maxillofacial surgeons, and other 
      healthcare providers, as well as medical groups and healthcare 
      facilities. Since the company was founded in 1976, it has carved out a 
      significant niche in the insurance industry by providing innovative 
      products and services specifically for the healthcare community.
    
  
SCPIE Holdings Inc. (NYSE:SKP) announced today that its insurance
company subsidiaries --SCPIE Indemnity Company, American Healthcare
Indemnity Company, and American Healthcare Specialty Insurance Company
-- have had their financial strength rating upgraded to B+ (Very
Good), a "secure" rating, by the A.M. Best Company, the leading rating
organization for the insurance industry. In announcing the upgrade,
A.M. Best said the outlook for the ratings is stable.

   In addition, Best reiterated that SCPIE's earnings returned to
profitability in 2005, "and during this most-recent period, management
has also been extremely successful in reducing underwriting and
reserve leverage, which has elevated SCPIE's capital adequacy to a
level that is more reflective of its current ratings."

   "We are pleased that A.M. Best has taken this action," said Donald
J. Zuk, SCPIE President and Chief Executive Officer. "We have worked
diligently over the past few years to improve our capital adequacy
ratios, and it is gratifying to see that our turnaround strategies
have been affirmed."

   About SCPIE Holdings

   SCPIE Holdings Inc. is a leading provider of healthcare liability
insurance for physicians, oral and maxillofacial surgeons, and other
healthcare providers, as well as medical groups and healthcare
facilities. Since the company was founded in 1976, it has carved out a
significant niche in the insurance industry by providing innovative
products and services specifically for the healthcare community.