Allied Group: Board to Advise Shareholders June 2




FOR IMMEDIATE RELEASE


CONTACT:
    Joele Frank / Dan Katcher
    Abernathy MacGregor Frank
    (212) 371-5999



               ALLIED GROUP TO ADVISE SHAREHOLDERS JUNE 2

DES MOINES, Iowa, June 1, 1998 - ALLIED Group, Inc. (NYSE: GRP) announced
today that its Board of Directors intends to advise shareholders on June 2,
1998 as to its position with respect to the unsolicited tender offer by
Nationwide Mutual Insurance Company.

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