(NYSE:ACE, BSX:ACL.BH) today announced that its Bermuda subsidiary, ACE Bermuda Insurance Ltd. ("ACE Bermuda"), has agreed to settle its property
insurance claim with Silverstein Properties, Inc., ("Silverstein") arising from the World Trade Center disaster. The settlement is based
upon a single occurrence and therefore will comprise payment of only one policy limit. ACE Bermuda and Silverstein have agreed to dismiss
all litigation and arbitration pending between them. The settlement amount is within the reserve ACE has previously established for this
event and does not affect the remaining group reserves for other claims arising from September 11th.
An additional property coverage dispute with Silverstein remains involving ACE Global Markets ("AGM"), ACE's Lloyd's operation, which participates with other Lloyd's Syndicates in a separate property policy, but AGM's participation involves substantially less limit at a
much higher attachment point. The dispute is subject to resolution atsome time in the future.
The ACE Group of Companies provides insurance and reinsurance fora diverse group of clients. The ACE Group conducts its business on a
global basis with operating subsidiaries in nearly 50 countries.
Additional information can be found at: http://www.acelimited.com.