Media contacts:
                                    CNA                          Roger Morris
                                    CNA Plaza                    (312) 822-4195
                                    Chicago, Illinois 60685      Clark Walter
                                                                 (312) 822-1454
                                                                 Analysts:
                                                                 Deborah Kamp
                                                                 (312) 822-7752


CNA
For All The Commitments You Make (R)
--------------------------------------------------------------------------------
NEWS

                                                          FOR IMMEDIATE RELEASE

MACGINNITIE NAMED CHIEF FINANCIAL OFFICER AT CNA

(Chicago)  7/30/97 - W. James MacGinnitie has been named chief financial officer
and senior vice president of CNA.

MacGinnitie  replaces Peter E. Jokiel, who was promoted to president of CNA Life
in April of this year.

MacGinnitie  comes to CNA from Ernst & Young  LLP.,  where he has been a partner
and national director of actuarial  services since 1994. He plans to immediately
begin acquainting  himself with CNA while completing client assignments at Ernst
& Young LLP and will assume his new position on a full time basis Oct. 1.

"Jim  brings  a wealth  of  talent  and  knowledge  to CNA  from  his  extensive
experience  both  working  in  the  insurance  industry  and  serving  it  as  a
consultant,"  said  Dennis  Chookaszian,  CNA's  chairman  and CEO.  "His strong
reputation and impressive  credentials as an actuarial  expert combined with his
project  management skills make him  well-qualified to oversee our commitment to
continued financial strength and stability."

As chief financial  officer,  MacGinnitie  will oversee CNA's Corporate  Finance
Department of  approximately  1,000  employees  and the company's  more than $42
billion in investments.

Prior to joining  Ernst & Young LLP,  MacGinnitie  was a managing  principal  at
Tillinghast-Towers   Perrin  for  19  years.  He  founded  and  developed  their
property/casualty actuarial and risk management practice.

MacGinnitie  began his insurance  career as an actuarial  trainee at CNA in 1960
and  worked  for the  company  nearly 12 years in a variety  of  positions  with
increasing responsibility.

From 1972 until 1973 he was with the  actuarial  consulting  firm of  Milliman &
Robertson.  From  1973-75,  he  was  professor  of  actuarial  sciences  at  the
University of Michigan.

He received his bachelor's in mathematics from Northwestern University.
<PAGE>

MacGinnitie  is a fellow of the Casualty  Actuarial  Society  where he served as
president in 1979-80. He is also a fellow of the Society of Actuaries and served
as vice president  from 1991 until 1993. He is a member of the American  Academy
of Actuaries and served as president in 1988-89.

CNA is one of the world's premier insurance organizations. With 1996 revenues of
$17.0 billion, CNA ranks among the top 10 U.S. insurance groups.

Headquartered  in  Chicago,  CNA is a  leading  multibusiness  insurer,  serving
individuals  and  businesses  with a  broad  range  of  insurance  products  and
insurance-related  services.  CNA products  and  services  are marketed  through
multiple distribution channels,  including independent agents, brokers,  general
agents and direct sales.

In 1997,  CNA observes its centennial  year,  celebrating a century of financial
strength, stability and commitment to customers and business partners.

CNA is the registered service mark and trade name of CNA Financial Corporation.

                                      # # #