U. S. Securities and Exchange Commission
                             Washington, D.C. 20549

                                    FORM 10-Q

                                   (Mark One)
[X] Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of
    1934 For the quarterly period ended March 31, 2000

[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange
    Act of 1934 For the transition period from                to

                               ------------------

               Commission File Number: 0-25505 NCRIC Group, Inc.
             (Exact name of registrant as specified in its charter)

   District of Columbia                                    52-2134774
(State or other jurisdiction of                           (I.R.S. Employer
incorporation or organization)                          Identification No.)

   1115 30th Street, NW, Washington, D.C.                           20007
--------------------------------------------------------------------------------
      (Address of principal executive offices)                   (Zip Code)

                                  202-969-1866
                (Issuer's telephone number, including area code)

     Check whether the registrant (1) has filed all reports required to be filed
by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 12
months (or for such shorter period that the registrant was required to file such
reports),  and (2) has been subject to such filing  requirements for the past 90
days. Yes [ X ] No [ ]

     Indicate the number of shares  outstanding of each of the issuer's  classes
of common stock, as of the latest  practicable date: As of April 30, 2000, there
were 3,742,855 shares of NCRIC Group, Inc. common stock outstanding.
<PAGE>
Table of Contents

Part I - Financial Information

Item 1.  Condensed Consolidated Financial Statements (unaudited)
              NCRIC Group, Inc. and Subsidiaries
                Condensed Consolidated Balance Sheets...................     3
                Condensed Consolidated Statements of Operations.........     4
                Condensed Consolidated Statements of Cash Flows.........     5
                Notes to Condensed Consolidated Financial Statements....     6

Item 2.  Management's Discussion and Analysis..........................      9
Item 3.  Quantitative and Qualitative Disclosures About Market Risk.....    12

Part II - Other Information
Item 1.  Legal Proceedings..............................................    13
Item 6.  Exhibits and Reports on Form 8-K...............................    13

Signatures ..............................................................   14

















                                        2

<PAGE>
                          PART I FINANCIAL INFORMATION
Item 1.  Financial Statements
<TABLE>
<CAPTION>
NCRIC GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT FOR SHARE DATA)
                                                                   March 31, 2000  December 31, 1999
                                                                   --------------  -----------------
                                                                     (unaudited)
<S>                                                                    <C>            <C>
ASSETS
INVESTMENTS:
      Securities available for sale, at fair value:
           Bonds and U.S.Treasury Notes ..........................     $  89,972      $  90,937
           Preferred stocks ......................................         5,079          4,155
                                                                       ---------      ---------
               Total securities available for sale ...............        95,051         95,092

OTHER ASSETS:
      Cash and cash equivalents ..................................         7,026          5,407
      Reinsurance recoverable ....................................        25,125         26,627
      Goodwill ...................................................         4,863          4,928
      Deferred federal income taxes ..............................         2,419          3,298
      Other assets ...............................................         9,060          5,595
                                                                       ---------      ---------
TOTAL ASSETS .....................................................     $ 143,544      $ 140,947
                                                                       =========      =========
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES:
      Losses and loss adjustment expenses:
           Losses ................................................     $  53,882      $  56,462
           Loss adjustment expenses ..............................        27,052         27,820
                                                                       ---------      ---------
               Total losses and loss adjustment expenses .........        80,934         84,282
      Other liabilities:
           Retrospective premiums accrued under
               reinsurance treaties ..............................         6,866          7,164
           Unearned premiums .....................................        15,847          8,898
           Other liabilities .....................................         2,862          4,808
                                                                       ---------      ---------
TOTAL LIABILITIES ................................................       106,509        105,152
                                                                       ---------      ---------
STOCKHOLDERS' EQUITY:
      Common stock $0.01 par value - 10,000,000 shares authorized;
           3,742,855 shares issued and outstanding ...............            37             37
      Additional paid in capital .................................         9,433          9,433
      Unallocated common stock held by the ESOP ..................          (964)          (993)
      Unallocated common stock held by the stock award plan ......          (518)          (518)
      Accumulated other comprehensive loss .......................        (2,533)        (2,866)
      Retained earnings ..........................................        31,580         30,702
                                                                       ---------      ---------
TOTAL STOCKHOLDERS' EQUITY .......................................        37,035         35,795
                                                                       ---------      ---------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY .......................     $ 143,544      $ 140,947
                                                                       =========      =========
</TABLE>
See notes to condensed consolidated financial statements.

                                        3
<PAGE>
<TABLE>
<CAPTION>
NCRIC GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
UNAUDITED (IN THOUSANDS EXCEPT PER SHARE DATA)
                                                                 Three Months Ended March 31,
                                                                     2000          1999
<S>                                                                   <C>          <C>
REVENUES:
      Net premiums earned ...............................            $3,629       $3,605
      Net investment income .............................             1,594        1,418
      Net realized investment gains .....................                --           52
      Practice management and related income ............             1,375        1,243
      Other income ......................................               102           91
                                                                   --------     --------
               Total revenues ...........................             6,700        6,409
                                                                   --------     --------
EXPENSES:
      Losses and loss adjustment expenses ...............             2,989        3,564
      Underwriting expenses .............................               940          927
      Practice management expenses ......................             1,214        1,116
      Other .............................................               286          473
                                                                   --------     --------
               Total expenses ...........................             5,429        6,080
                                                                   --------     --------
INCOME BEFORE INCOME TAXES ..............................             1,271          329
INCOME TAX PROVISION ....................................               393           30
                                                                   --------     --------
NET INCOME ..............................................          $    878     $    299
                                                                   ========     ========
Net income per common share:
Basic ...................................................          $   0.25     $   0.14
Diluted .................................................          $   0.25     $   0.14
</TABLE>
See notes to condensed consolidated financial statements.

                                        4
<PAGE>
<TABLE>
<CAPTION>
NCRIC GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
UNAUDITED (IN THOUSANDS)
                                                                    Three Months Ended March 31,
                                                                        2000           1999
                                                                      --------       --------
<S>                                                                   <C>           <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
      Net income ................................................     $    878      $    299
      Adjustments to reconcile net income
           to net cash flows from operating activities:
               Net realized investment gains ....................           --           (52)
               Amortization and depreciation ....................          155           119
               Deferred federal income taxes ....................          707          (170)
               Changes in assets and liabilities:
                      Reinsurance recoverable ...................        1,501          (833)
                      Other assets ..............................       (3,396)       (2,206)
                      Losses and loss adjustment expenses .......       (3,348)        3,006
                      Retrospective premiums accrued under
                           reinsurance treaties .................         (298)        1,121
                      Unearned premiums .........................        6,949         8,735
                      Other liabilities .........................       (1,918)          124
                                                                      --------      --------
           Net cash flows from operating activities .............        1,230        10,143
                                                                      --------      --------
CASH FLOWS FROM INVESTING ACTIVITIES:
      Purchases of investments ..................................       (7,415)      (12,713)
      Sales, maturities and redemptions of investments ..........        7,962         8,076
      Investment in purchased business ..........................           --        (5,238)
      Purchases of property and equipment .......................         (158)          (37)
                                                                      --------      --------
           Net cash flows from (provided by) investing activities          389        (9,912)
                                                                      --------      --------
CASH FLOWS FROM FINANCING ACTIVITIES:
      Proceeds from long-term debt ..............................           --         2,200
                                                                      --------      --------
NET CHANGE IN CASH AND CASH EQUIVALENTS .........................        1,619         2,431
                                                                      --------      --------
CASH AND CASH EQUIVALENTS,
      BEGINNING OF PERIOD .......................................        5,407         6,083
                                                                      --------      --------
CASH AND CASH EQUIVALENTS,
      END OF PERIOD .............................................     $  7,026      $  8,514
                                                                      ========      ========
SUPPLEMENTARY INFORMATION:
      Interest paid .............................................     $     --      $     45
                                                                      ========      ========
</TABLE>

See notes to condensed consolidated financial statements.

                                        5
<PAGE>
NCRIC GROUP, INC. AND SUBSIDIARIES
Notes to Condensed Consolidated Financial Statements - unaudited

1. Basis of Preparation

     The accompanying unaudited condensed consolidated financial statements were
     prepared in accordance with  instructions to Form 10-Q and therefore do not
     include  all  disclosures  necessary  for  a  complete  presentation  under
     generally accepted accounting principles. In the opinion of management, all
     adjustments,   consisting  of  normal  recurring  adjustments,   considered
     necessary for a fair presentation have been included.

     Operating  results for the three-month  period ended March 31, 2000 are not
     necessarily  indicative  of the results  that may be expected  for the year
     ending December 31, 2000. These condensed consolidated financial statements
     and notes should be read in conjunction  with the financial  statements and
     notes included in the audited  consolidated  financial  statements of NCRIC
     Group,  Inc. (NCRIC Group) for the year ended December 31, 1999, which were
     filed with the Securities and Exchange Commission on Form 10-KSB.

2. Reportable Segment Information

     NCRIC Group has two reportable segments:  Insurance and practice management
     services. The insurance segment provides medical professional liability and
     other insurance.  The practice management services segment provides medical
     practice  management  services primarily to private practicing  physicians.
     NCRIC Group evaluates  performance  based on profit or loss from operations
     before income taxes. The reportable  segments are strategic  business units
     that offer  different  products  and  services  and  therefore  are managed
     separately.

     Selected financial data is presented below for each business segment at and
     for the three-month periods ended March 31 (in thousands):

                                                      At or For the Three Months
                                                             Ended March 31,
                                                             ---------------
                                                          2000            1999
                                                          ----            ----
Insurance

Revenues from external customers .............         $  3,713        $  3,696
Net investment income ........................            1,571           1,475
Depreciation and amortization ................               58              35
Segment profit before taxes ..................            1,265             607
Segment assets ...............................          137,537         142,446
Segment  liabilities .........................          106,221         115,395
Expenditures for segment assets ..............              144              21

Practice Management Services

Revenues from external customers .............         $  1,393       $   1,243
Net investment income ........................               16               3
Depreciation and amortization ................               97              84
Segment profit (loss) before taxes ...........              187            (111)
Segment assets ...............................            6,481           6,680
Segment  liabilities .........................            1,044             963
Expenditures for segment assets ..............               14              16

                                       6
<PAGE>
                                                      At or For the Three Months
                                                             Ended March 31,
                                                      --------------------------
                                                          2000             1999
                                                          ----             ----
Total
Revenues from external customers .............        $  5,106          $  4,939
Net investment income ........................           1,587             1,478
Depreciation and amortization ................             155               119
Segment profit before taxes ..................           1,452               496
Segment  assets ..............................         144,018           149,126
Segment  liabilities .........................         107,265           116,358
Expenditures for segment assets ..............             158                37

     The  following are  reconciliations  of reportable  segment  revenues,  net
     investment  income,  assets,   liabilities,  and profit  to  the  Company's
     consolidated totals (in thousands) :



<TABLE>
<CAPTION>
                                                            At or For the Three Months
                                                                   Ended March 31,
                                                            --------------------------
                                                                 2000           1999
                                                             ----------      ---------
<S>                                                           <C>            <C>
Total
Revenues from external customers:
 Total revenues for reportable segments ..........            $   5,106      $   4,939
 Elimination of intersegment revenues ............                   --             --
                                                              ---------      ---------
 Consolidated total ..............................            $   5,106      $   4,939
                                                              =========      =========
Net Investment Income:
 Total investment income for reportable segments .            $   1,587      $   1,478
 Other unallocated amounts .......................                    7            (60)
                                                              ---------      ---------
 Consolidated total ..............................            $   1,594      $   1,418
                                                              =========      =========
Assets:
 Total assets for reportable segments ............            $ 144,018      $ 149,126
 Elimination of intersegment receivables .........                 (915)        (1,695)
 Other unallocated amounts .......................                  441          1,055
                                                              ---------      ---------
 Consolidated total ..............................            $ 143,544      $ 148,486
                                                              =========      =========
Liabilities:
 Total liabilities for reportable segments .......            $ 107,265      $ 116,358
 Elimination of intersegment payables ............                 (915)          (368)
 Other liabilities ...............................                  159          2,785
                                                              ---------      ---------
 Consolidated total ..............................            $ 106,509      $ 118,775
                                                              =========      =========
Profit before taxes:
 Total profit for reportable segments ............            $   1,452      $     496
 Other expenses ..................................                 (181)          (107)
 Elimination of intersegment interest income .....                   --            (60)
                                                              ---------      ---------
 Consolidated total ..............................            $   1,271      $     329
                                                              =========      =========
</TABLE>
                                       7
<PAGE>
3. Earnings per Share

     The  following  table  sets  forth the  computation  of basic  and  diluted
     earnings per share (in thousands except per share data):

<TABLE>
<CAPTION>
                                                    For the Three Months Ended March 31,
                                                    ------------------------------------
                                                            2000          1999
                                                           -----          ----

<S>                                                        <C>            <C>
Net income .......................................         $  878         $  299
                                                           ======         ======
Weighted average common
        shares outstanding - basic ...............          3,529          2,220
Dilutive effect of stock options .................              9             --
                                                           ------         ------

Weighted average common
        shares outstanding - diluted .............          3,538          2,220
                                                           ======         ======

Net income per common share:

Basic ............................................         $ 0.25         $ 0.14
                                                           ------         ------

Diluted ..........................................         $ 0.25         $ 0.14
                                                           ------         ------
</TABLE>
     Earnings per share is calculated by dividing the net income by the weighted
     average shares  outstanding for the period.  For the period from January 1,
     1999 through March 31, 1999,  the  calculation  of weighted  average shares
     outstanding  includes 2,220,000 shares. Had the calculation been made using
     3,520,855 as the weighted average  outstanding shares for the period ending
     March 31,  1999,  that is as if the stock  offered in the July 1999 initial
     public offering had been outstanding on January 1, 1999, basic earnings per
     share would have been $0.08 for the quarter ended March 31, 1999.


                                        8

<PAGE>
Item 2. Management's Discussion and Analysis of Results of Operations and
        Financial Condition

     The  following  analysis  of the  consolidated  results of  operations  and
financial  condition  of NCRIC  Group  should  be read in  conjunction  with the
condensed  consolidated  financial statements and related notes included in this
Form 10-Q .  References  to  "NCRIC"  mean  NCRIC  Group  and its  subsidiaries,
including their predecessors.

General

     The  financial statements  and data  presented  in the Form  10-Q have been
prepared in  accordance  with generally accepted  accounting  principles,  GAAP,
unless otherwise noted. GAAP differs from statutory accounting practices used by
regulatory   authorities  in  their  oversight   responsibilities  of  insurance
companies.

Consolidated net income -
Three months ended March 31, 2000 compared to three months ended March 31, 1999

     Net income of $878,000 for the three months ended March 31, 2000  increased
$579,000  from  $299,000 for the three months ended March 31, 1999.  The primary
contributors to the increased  earnings were an improvement in net  underwriting
results and in practice  management  results.  Underwriting  results  benefitted
approximately  $200,000 from the new reinsurance  program  effective  January 1,
2000.  Additionally,  earnings  for the  current  quarter  were not  impacted by
litigation legal fees relating to the litigation brought by the NCRIC Physicians
Organization and settled in 1999, as were results during the 1999 period.

     Comprehensive  income was $1.2 million for the three months ended March 31,
2000  compared to a loss of $1.3  million for the three  months  ended March 31,
1999. The increase in  comprehensive  income  resulted from increased net income
and from a decline in  unrealized  investment  losses,  net of  deferred  income
taxes.

Net premiums earned

     Gross  premiums  written of $11.8  million for the three months ended March
31, 2000 decreased by $3.1 million from $14.9 million for the three months ended
March 31, 1999.  Starting in the fourth quarter of 1997 and  continuing  through
1999,  NCRIC began to stagger policy renewal dates.  Premiums written were lower
by  approximately  $3.2 million for the three months ended March 31, 2000 due to
the staggering of premium writing dates in 1999. There is a one-time effect when
policy renewals are staggered.  While premiums  written in the period of the new
renewal  date   increase  and  premiums   written  in  the   subsequent   period
corresponding to the original  renewal date decrease,  the staggering has no net
effect on premiums written from period to period. In addition, the staggering of
renewal dates does not affect earned premiums.


                                       9
<PAGE>
     Net  premiums  earned  increased  by $24,000 to $3.6  million for the three
months ended March 31, 2000,  essentially  unchanged from the corresponding 1999
quarter. The increase is primarily  attributable to the reduction in reinsurance
ceded premium  resulting from the new  reinsurance  program  effective for 2000,
partially  offset by  reductions  in earned  premium from changes in policies in
force.

Net investment income

     Net  investment  income  increased  by $176,000  for the three months ended
March 31,  2000  compared  to the first  quarter of 1999 due to an  increase  in
yields partially  offset by a decrease in invested funds. The average  effective
yield was  approximately  6.23% for the three  months  ended  March 31, 2000 and
5.38% for the three months ended March 31, 1999.  The tax  equivalent  yield was
approximately  6.58%  for the  first  quarter  of 2000 and  5.96%  for the first
quarter of 1999. The increase in investment  yields reflects the market increase
in interest rates in 2000 compared to 1999.

Practice management and related revenue

     Practice  management  and  related  revenue of $1.4  million  for the three
months  ended March 31, 2000 and $1.2  million for the three  months ended March
31, 1999 consisted of fees generated by NCRIC MSO through HealthCare  Consulting
and  Employee  Benefits  Services.  These fees  through  March 31,  2000 are for
practice management services (43%),  accounting services (28%), tax and personal
financial planning (10%),  retirement plan accounting and administration  (14%),
and other services (5%).

Loss and loss adjustment expenses and combined ratio results

       The expense for incurred  losses and LAE net of reinsurance is summarized
as follows:

                                                    Three Months Ended March 31,
                                                        2000         1999
                                                       -------      -------
                                                           (in thousands)
Incurred loss and LAE related to:
         Current year - losses ....................    $ 3,786      $ 4,450
         Prior years - development ................       (797)        (886)
                                                       -------      -------
Total incurred for the period .....................    $ 2,989      $ 3,564
                                                       =======      =======

     Following  is a summary of the ratios of losses and  underwriting  expenses
compared to net premiums:
                                                    Three Months Ended March 31,
                                                        2000         1999
                                                       -------      -------

GAAP Underwriting ratios:
         Loss and LAE ratio                              82.4%        98.9%
         Underwriting expense ratio                      25.9%        25.7%
         Combined ratio after renewal credits           108.3%       124.6%


     Total  incurred loss and LAE expense of $ 3.0 million for the first quarter
of 2000  decreased  by $575,000  from the $3.6  million  incurred  for the first
quarter of 1999.

     The number of claims  reported in the first quarter of 2000 were lower than
in the  first  quarter  of 1999.  NCRIC  experienced  favorable  development  on
estimated losses for prior years' claims in the first quarters of 2000 and 1999.
The loss  development  related to prior years' claims was  $797,000 in the first
quarter  of  2000  and  $886,000  in the  first  quarter  of  1999.  Prior  year
development  results from the  re-estimation and settlement of individual losses
not covered by reinsurance, which generally are losses under $500,000.

                                       10
<PAGE>
     The GAAP combined ratio before renewal credits  decreased to 108.3% for the
three  months  ended March 31, 2000 from 124.6% for the three months ended March
31, 1999.

Expenses

     Underwriting  expenses increased $13,000,  to $940,000 for the three months
ended March 31, 2000 from $927,000 for the three months ended March 31, 1999.

     Practice  management  and related  expenses  of $1.2  million for the three
months  ended March 31, 2000 and $1.1  million for the three  months ended March
31, 1999  consisted  primarily of salaries and benefits,  other  general  office
expenses and goodwill amortization.

     Other  expenses   include   amounts  for  subsidiary  and  holding  company
operations   which  are  not  directly   related  to  the  issuance  of  medical
professional  liability insurance or practice management and related operations.
Other expenses  decreased  $187,000 to $286,000 for the three months ended March
31, 2000 from  $473,000 for the three  months ended March 31, 1999.  The primary
component of the decrease was legal expenses incurred in 1999 in connection with
litigation brought by NCRIC Physicians Organization.

Federal income taxes

     The effective tax rate for NCRIC is lower than the federal  statutory  rate
principally due to nontaxable investment income.

                                                    Three Months Ended March 31,
                                                    ----------------------------
                                                          2000          1999
                                                          ----          ----
Federal income tax at statutory rates ...............      34%            34%
Tax exempt income ...................................      (3)           (25)
Dividends received ..................................      (1)            (6)
Goodwill amortization ...............................       1              5
Other, net ..........................................      --              1
                                                          ---            ---
Federal income tax at effective rates ...............      31%             9%
                                                          ===            ===
Financial condition, liquidity and capital resources

     Liquidity.  The primary  sources of liquidity are insurance  premiums,  net
investment income,  practice management and financial services fees,  recoveries
from reinsurers and proceeds from the maturity or sale of invested assets. Funds
are used to pay claims, LAE, operating expenses, reinsurance premiums and taxes,
and to purchase investments.

     NCRIC had cash  provided by  operating  activities  of $1.2 million for the
three months  ended March 31, 2000 and $10.1  million for the three months ended
March 31,  1999.  The  decreased  cash flow in 2000  compared  to 1999  resulted
primarily  from  higher  payments  of losses and LAE.  Additionally,  due to the
staggering  of policy  renewals  away from the previous  January 1 renewal date,
premiums  received  in the first  quarter  of 2000 were  lower than in the first
quarter of 1999.  Because of the long-term nature of both the payments of claims
and the settlement of swing-rated  reinsurance  premiums due to the  reinsurers,
cash from operations for a medical professional liability insurer like NCRIC can
vary substantially from year to year.

     Financial  condition and capital  resources.  Cash flow from operations has
primarily been invested in investment grade,  fixed maturity  securities.  As of
March  31,  2000,  the  carrying  value of the  securities  portfolio  was $95.1
million,  unchanged  from  December  31,  1999.  The  portfolio  was invested as
follows:

                                       11
<PAGE>

                                                  At March 31,   At December 31,
                                                       2000           1999
                                                       ----           ----
U.S. Government and agencies .....................      14%            15%
Asset-backed and mortgage-backed securities ......      41             40
Tax-exempt securities ............................      13             14
Corporate bonds and preferred stocks .............      32             31


     Over 67% of the portfolio was invested in US  Government/agency  securities
or had a rating of AAA or AA. For  regulatory  purposes,  90% of the  securities
portfolio  was rated "Class 1" for all periods  presented,  which is the highest
quality rated group as classified by the NAIC.

     NCRIC has no corporate  debt. The $2.5 million line of credit  available as
of March 31, 2000 is restricted to working capital for claims  settlements.  The
line of credit is unsecured and renewable annually.  NCRIC has not drawn down on
this  facility.  As of March 31,  2000,  NCRIC had  entered  into a contract  to
purchase new policy  administration  system software;  future payments under the
contract  are  required  as  services  are  completed  by the  vendor  and total
$434,000. NCRIC had no other material commitments for capital expenditures.

Effects of inflation

     The primary  effect of  inflation  on NCRIC is in  estimating  reserves for
unpaid losses and LAE for medical  professional  liability claims in which there
is a long period  between  reporting and  settlement.  The rate of inflation for
malpractice  claim  settlements  can  substantially  exceed the general  rate of
inflation.  The  actual  effect  of  inflation  on  NCRIC's  results  cannot  be
conclusively known until claims are ultimately settled.  Based on actual results
to  date,  NCRIC  believes  that  losses  and LAE  reserve  levels  and  NCRIC's
ratemaking process adequately incorporate the effects of inflation.

Forward-Looking Information

     A number of statements  made by NCRIC in this document are  forward-looking
statements  which involve known and unknown  risks and  uncertainties  which may
cause NCRIC's actual results to be materially  different from historical results
or from the  results  expressed  or implied by the  forward-looking  statements.
These risks and uncertainties include:

o    general  economic  conditions  including changes  in interest rates and the
     performance of financial markets;
o    NCRIC,  Inc.'s  concentration in a single line of business primarily in the
     District of Columbia;
o    the impact of managed healthcare;
o    uncertainties  inherent in the estimate of loss and loss adjustment expense
     reserves and reinsurance;
o    price competition;
o    regulatory changes;
o    ratings  assigned by A.M.  Best;
o    the  availability  of bank financing and reinsurance;
o    NCRIC, A Mutual Holding Company's structure; and
o    uncertainties associated with NCRIC Group's acquisition strategy.
<PAGE>
Other factors not currently  anticipated by management  may also  materially and
adversely affect NCRIC's results of operations.

Item 3.  Quantitative and Qualitative Disclosures About Market Risk

     Interest  rate  changes  expose  NCRIC  to  market  risk on its  investment
portfolio.  This market risk is the potential  for  financial  losses due to the
decrease in the value or price of an asset  resulting  from broad  movements  in
prices,  such as interest rates.  In general,  the market value of NCRIC's fixed
maturity  portfolio  increases  or  decreases  in an inverse  relationship  with


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<PAGE>
fluctuation  in interest  rates.  In  addition,  NCRIC's net  investment  income
increases or decreases in a direct  relationship  with  interest rate changes on
monies reinvested from maturing securities and investments of positive cash flow
from operating activities.

     NCRIC has classified its investments, which are fixed-income securities, as
available  for sale and reports them at fair value,  with  unrealized  gains and
losses  excluded  from net income and  reported,  net of  deferred  taxes,  as a
component of stockholders'  equity.  During periods of rising interest rates, as
recently  experienced,  the fair  value of  NCRIC's  investment  portfolio  will
generally  decline  resulting  in  decreases  in NCRIC's  stockholders'  equity.
Conversely,  during periods of falling interest rates, the fair value of NCRIC's
investment  portfolio will generally  increase resulting in increases in NCRIC's
stockholders' equity.

     NCRIC's  investment   portfolio  of  fixed  maturity   securities  consists
primarily of intermediate-term, investment- grade securities. NCRIC's investment
policy  provides that all security  purchases be limited to rated  securities or
unrated  securities  approved by  management  on the  recommendation  of NCRIC's
investment advisor.

     The following table contains the investment quality  distribution of NCRIC,
Inc.'s fixed maturity investments at March 31, 2000 and December 31, 1999.


                                         At March 31,       At December 31,
Type/Ratings of Investment                   2000                1999
--------------------------                   ----                ----

Treasury/Agency.......................        32%                  28%
AAA...................................        34                   40
AA....................................         6                    7
A.....................................        23                   21
BBB...................................         5                    4

     During the three months ended March 31, 2000, NCRIC experienced a reduction
in the net unrealized loss on investments to an unrealized  loss, net of tax, of
$2.5  million at March 31,  2000 from an  unrealized  loss,  net of tax, of $2.9
million at December 31, 1999.

PART II   OTHER INFORMATION

Item 1.  Legal proceedings.

      See the Form  10-KSB  for the  fiscal  year ended  December  31,  1999 for
information on pending litigation.

Item 6.  Exhibits and Reports on Form 8-K.

(a)   Exhibits

      27...................................            Financial Data Schedule


(b)   Reports on Form 8-K

     NCRIC  Group,  Inc. did not file any reports on Form 8-K during the quarter
ended March 31, 2000.


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<PAGE>
SIGNATURES

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.

                                       NCRIC Group, Inc.


 May 9, 2000                          /s/ R. Ray Pate, Jr.
                                      --------------------
                                      R. Ray Pate, Jr.,
                                      President & Chief Executive Officer
                                             (Duly Authorized Officer)

 May 9, 2000                          /s/ Rebecca B. Crunk
                                      --------------------
                                      Rebecca B. Crunk,
                                      Sr. Vice President & Chief Financial
                                      Officer (Principal Financial Officer)





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