Admission of Shares and First Day of Dealings

Ecclesiastical Insurance Office plc

("Ecclesiastical" or "the Company")

16 December 2010

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL

First Day of Dealings in Additional 8.625 per cent. Non-Cumulative Irredeemable Preference Shares

Further to the Company's announcement of 7.00 a.m. on 10 December 2010 in relation to the Placing (comprising the further issue of up to 40 million Additional NCIP Shares, which will rank pari passu with the existing NCIP Shares at a placing price per share of 102p), and in accordance with the Prospectus published that day, Ecclesiastical announces that the admission of 40 million Additional NCIP Shares to the standard segment of the Official List of the UK Listing Authority and to the London Stock Exchange's Regulated Market became effective and that dealings commenced at 8.00 a.m. today.

The Additional NCIP Shares rank pari passu in all respects with the existing NCIP Shares, with ISIN GB0003035382.

As at today's date, Ecclesiastical has in issue 106,450,000 NCIP Shares.

Enquiries:

Capitalised terms used but not defined in this announcement have the same meanings as set out in the Placing announcement as released by the Company at 7.00 a.m. on 10 December 2010, a copy of which is available on the Company's website (http://www.ecclesiastical.com/General/InvestorRelations/index.aspx).

Disclaimer

This announcement is not a prospectus but an advertisement.

This announcement does not contain or constitute an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person in the United States, Australia, Canada, Japan or South Africa or in any jurisdiction to whom or in which such offer or solicitation is unlawful.

The distribution of this announcement in certain jurisdictions may be restricted by law and such distribution could result in violation of the laws of such jurisdictions. In particular, this announcement is not for distribution in the United States, Australia, Canada, Japan or South Africa. The securities referred to herein may not be offered or sold in the United States absent registration under the U.S. Securities Act of 1933, as amended (the "Securities Act") or another exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. Subject to certain exceptions, the securities referred to herein may not be offered or sold in Australia, Canada, Japan or South Africa or to, or for the account or benefit of, any national, resident or citizen of Australia, Canada, Japan or South Africa. The offer and sale of the securities referred to herein has not been and will not be registered under the Securities Act or under the applicable securities laws of Australia, Canada Japan or South Africa. There will be no public offer of the securities in the United States.

Collins Stewart Europe Limited, which is authorised and regulated in the United Kingdom by the Financial Services Authority, is acting as joint financial adviser, bookrunner and broker to Ecclesiastical Insurance Office plc and is acting for no-one else in connection with the contents of this announcement, and will not be responsible to anyone other than Ecclesiastical Insurance Office plc for providing the protections afforded to clients of Collins Stewart Europe Limited nor for providing advice in connection with the contents of this announcement or any other matter referred to herein. Collins Stewart Europe Limited is not responsible for the contents of this announcement. This does not exclude or limit the responsibilities, if any, which Collins Stewart Europe Limited may have under the Financial Services and Markets Act 2000 or the regulatory regime established thereunder.

Rothschild, which is authorised and regulated in the United Kingdom by the FSA, is advising Ecclesiastical Insurance Office plc and no one else in relation to this announcement and will not be responsible to anyone other than Ecclesiastical Insurance Office plc for providing the protections afforded to customers of Rothschild nor for providing advice in connection with the contents of this announcement or any other matter referred to herein. Rothschild is not responsible for the contents of this announcement. This does not exclude or limit the responsibilities, if any, which Rothschild may have under the Financial Services and Markets Act 2000 or the regulatory regime established thereunder.