EXHIBIT 12.1

ARGONAUT GROUP, INC.

STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

AND PREFERRED STOCK DIVIDENDS



|                                                                           |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|-------------------------------------------------------------------------- |  | ------------------------ | ------ | ---- | - | ----- |  | ---- | ----- | ---- | - | ------ |  | - | ----- | -
|                                                                           |  | Years Ended December 31, |       
|                                                                           |  | 2006                     |        | 2005 |   | 2004  |  | 2003 |       | 2002 |  
|Earnings:                                                                  |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Income (loss) from continuing operations before provision for income taxes |  | $                        | 163.0  |      | $ | 81.5  |  | $    | 60.7  |      | $ | 135.3  |  | $ | (21.1 | )
|                                                                           |  |                          |        |      |  
|Add:                                                                       |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Fixed charges                                                              |  |                          | 16.4   |      |   | 21.0  |  |      | 16.9  |      |   | 13.3   |  |   | 2.2   |  
|                                                                           |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Total earnings (loss)                                                      |  | $                        | 179.4  |      | $ | 102.5 |  | $    | 77.6  |      | $ | 148.6  |  | $ | (18.9 | )
|                                                                           |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Fixed charges                                                              |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Interest expense, net                                                      |  | $                        | 13.0   |      | $ | 15.0  |  | $    | 11.0  |      | $ | 8.4    |  | $ |      |  
|Preferred stock dividends                                                  |  |                          | 1.5    |      |   | 3.4   |  |      | 3.8   |      |   | 2.8    |  |   |      |  
|Rental interest factor                                                     |  |                          | 1.9    |      |   | 2.6   |  |      | 2.1   |      |   | 2.1    |  |   | 2.2   |  
|                                                                           |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Total fixed charges                                                        |  | $                        | 16.4   |      | $ | 21.0  |  | $    | 16.9  |      | $ | 13.3   |  | $ | 2.2   |  
|                                                                           |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  
|Ratio of earnings to fixed charges                                         |  |                          | 10.9:1 |      |   | 4.9:1 |  |      | 4.6:1 |      |   | 11.2:1 |  |   | (A    | )
|                                                                           |  |                          |        |      |   |       |  |      |       |      |   |        |  |   |       |  

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|(A) | Earnings were inadequate to cover fixed charges by $21.1 million
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