Statement re Subsidiary

Marsh & McLennan Co Inc
26 October 2004


                                                                   Exhibit 99.1
News Release



               MMC IMPLEMENTS SIGNIFICANT REFORMS TO MARSH INC.'S
                  BUSINESS MODEL TO ENSURE TRANSPARENCY AND THE
                   HIGHEST PROFESSIONAL AND ETHICAL STANDARDS


NEW YORK, NEW YORK, October 26, 2004--Marsh & McLennan Companies, Inc. (MMC)
announced today that Marsh Inc., its risk and insurance services subsidiary, is
implementing a series of significant reforms to its business model that will
ensure that the best interests of its clients are served and that every
transaction is executed in accordance with the highest professional and ethical
standards.

Accordingly, the following reforms will be initiated by January 1, 2005:

•   Marsh has permanently eliminated the practice of receiving any form of
    contingent compensation from insurers.

•   All revenue streams will be 100 percent transparent to clients. Each client
    will receive a full accounting of all revenue earned by Marsh, including
    fees, retail commission, wholesale commission and premium finance
    compensation, if any.

•   Marsh will insist that insurance companies show commission rates on all
    policies.

•   Marsh will seek consistent commission rates so that insureds are better
    able to compare costs of alternative proposals.

•   Marsh will provide transparency to its clients regarding its negotiations
    with insurers on their behalf.

To ensure compliance and oversight, Marsh has formed a global compliance
organization that reports to both Michael G. Cherkasky, president and chief
executive officer of MMC, and to the Audit Committee of MMC's Board of
Directors.  This organization's scope will include all Marsh businesses 
worldwide and will focus on assuring compliance with all regulations and 
professional and ethical standards.


Among the compliance process changes planned are:

•   A review of existing professional standards to ensure that they are
    sufficiently comprehensive to support the reforms in the new business
    model.

•   The requirement that all key business leaders submit compliance
    certifications for their areas.

•   Annual compliance and ethics training and certification for all colleagues.

•   The submission of quarterly 'state of compliance' reports to the Audit
    Committee of MMC's Board of Directors.

•   Regular compliance verification meetings between compliance professionals
    and underwriters to ensure that Marsh brokers are meeting compliance
    requirements.

•   A formal company-wide review process to ensure that new products and
    services comply with Marsh's ethical and professional standards.

•   An internal, responsive, and secure compliance and ethics 'hotline.'

•   An independent annual review of Marsh's compliance processes and
    professional standards.

Mr. Cherkasky said: 'These reforms are the next critical step to ensure the
integrity and quality of our relationships with clients and to resolve our legal
and regulatory issues. In introducing these significant industry-leading
changes, we are demonstrating our commitment to our clients and the markets and
taking a leadership position in industry reform.'

MMC invites members of the press to participate in a conference call with Mr.
Cherkasky and other senior management, which will include a question and answer
session, today, October 26, at 11:00 a.m. ET. The media dial-in number is (800)
243-6403. Callers from outside the United States should dial [phone].

All others are welcome to listen to the press conference via a live audio
webcast at www.mmc.com. The webcast will be archived on MMC's website beginning
at approximately 2:00 p.m. ET today.

A replay of the press conference will be available beginning at approximately
2:00 p.m. ET today through 8:00 p.m. ET on Monday, November 1. To listen to the
reply, please dial [phone]. Callers from outside the United States should
dial [phone]. The pass code for both numbers is 906209.

MMC is a global professional services firm with annual revenues exceeding $11
billion. It is the parent company of Marsh Inc., the world's leading risk and
insurance services firm; Putnam Investments, one of the largest investment
management companies in the United States; and Mercer Inc., a major global
provider of consulting services. More than 63,000 employees provide analysis,
advice, and transactional capabilities to clients in over 100 countries. Its
stock (ticker symbol: MMC) is listed on the New York, Chicago, Pacific, and
London stock exchanges. MMC's website address is www.mmc.com.

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