AXIS Capital Announces Marsh Risk Capital Has Agreed to Sell 3.7 Million Shares in a Block Trade

Business Wire, March 9, 2005

PEMBROKE, Bermuda -- AXIS Capital Holdings Limited ("AXIS Capital") (NYSE:AXS) today announced that Marsh & McLennan Risk Capital Holdings, Ltd. ("Marsh Risk Capital"), a subsidiary of Marsh & McLennan Companies, Inc., has agreed to sell 3.7 million of AXIS Capital's common shares in a block trade.

Merrill Lynch has agreed to purchase the common shares from Marsh Risk Capital and subsequently sell the shares to public investors. The common shares were offered under AXIS Capital's Form S-3 shelf registration statement and represent approximately 50% of Marsh Risk Capital's current ownership of AXIS Capital's common shares. Marsh Risk Capital will receive all net proceeds from the sale. After the completion of the sale, Marsh Risk Capital will retain approximately 3.7 million common shares.

A complete description of the terms of the sale of AXIS Capital's common shares can be found in the prospectus supplement relating to the sale, which has been filed with the U.S. Securities and Exchange Commission.

AXIS Capital is a Bermuda-based global provider of specialty lines insurance and treaty reinsurance with shareholders' equity at December 31, 2004 of $3.2 billion and locations in Bermuda, the United States, Europe and Singapore. Its operating subsidiaries have been assigned a rating of "A" ("Excellent") by A.M. Best and a rating of "A" ("Strong") by Standard & Poor's. AXIS Capital has been assigned a senior unsecured debt rating of Baa1 (stable) by Moody's Investors Service and BBB (stable) by Standard & Poor's. For more information about AXIS Capital, visit the Company's website at www.axiscapital.com.