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                                                                     EXHIBIT 5.1

                          [LATHAM & WATKINS LETTERHEAD]




                                  June 4, 2001

Mercury General Corporation
4484 Wilshire Boulevard
Los Angeles, California 90010


               Re:  $300,000,000 Aggregate Offering Price of Debt Securities of
                    Mercury General Corporation

Ladies and Gentlemen:

        This opinion is furnished in connection with the registration statement
on Form S-3 (the "Registration Statement") being filed by Mercury General
Corporation (the "Company") with the Securities and Exchange Commission under
the Securities Act of 1933, as amended, relating to the offering by the Company
from time to time, as set forth in the prospectus contained in the Registration
Statement (the "Prospectus") and as shall be set forth in one or more
supplements to the Prospectus of up to $300,000,000 aggregate offering price (as
such amount may be increased pursuant to a registration statement filed with the
Commission under Rule 462(b) in connection with the Registration Statement) of
debt securities (the "Debt Securities"). The Debt Securities will be issued
pursuant to the indenture, dated as of June 1, 2001, between the Company and
Bank One Trust Company, National Association, as Trustee, as it may be amended
or supplemented by resolutions and one or more supplemental indentures or
officers' certificates in accordance with the indenture (as so amended or
supplemented, the "Indenture"). The Indenture is attached as an exhibit to the
Registration Statement.

        We are familiar with the proceedings taken and proposed to be taken by
the Company in connection with the authorization and issuance of the Debt
Securities, and we have examined such matters of fact and questions of law we
considered appropriate for purposes of rendering the opinion expressed below. We
have been furnished with and relied upon certificates of officers of the Company
and others with respect to factual matters.

        We are opining herein as to the effect on the subject transaction only
of the federal laws of the United States, the internal laws of the State of New
York, and General Corporation Law of the State of California, and we express no
opinion with respect to the applicability thereto, or the effect thereon, of the
laws of any other jurisdiction, or in the case of California, any other laws, or
as to any matters of municipal law or the laws of any local agencies within any
state.

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LATHAM & WATKINS

June 4, 2001
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        Subject to the foregoing and the other matters set forth herein, it is
our opinion that, as of the date hereof, when (a) the specific terms of the Debt
Securities have been duly established in accordance with the Indenture and
applicable law, (b) such further corporate authorization as may be requisite has
been duly taken, and (c) the Debt Securities are duly executed, authenticated
and delivered against payment therefor in the manner contemplated by the
Indenture, the Debt Securities will constitute legally valid and legally binding
obligations of the Company, enforceable against the Company in accordance with
their respective terms.

        The opinion set forth above relating to enforceability of the Debt
Securities is subject to the following exceptions, limitations and
qualifications: (i) the effect of bankruptcy, insolvency, reorganization,
fraudulent conveyance, moratorium or other similar laws now or hereafter in
effect relating to or affecting the rights and remedies of creditors; (ii) the
effect of general principles of equity, whether enforcement is considered in a
proceeding in equity or at law, and the discretion of the court before which any
proceeding therefor may be brought, and (iii) the unenforceability under certain
circumstances under law or court decisions of provisions providing for the
indemnification of or contribution to a party with respect to a liability where
such indemnification or contribution is contrary to public policy. We express no
opinion (i) concerning the enforceability of the waiver of rights or defenses
contained in Section 515 of the Indenture or (ii) with respect to whether
acceleration of Debt Securities may affect the collectibility of any portion of
the stated principal amount thereof which might be determined to constitute
unearned interest thereon.

        To the extent that the obligations of the Company under the Indenture
may be dependent upon such matters, we assume for purposes of this opinion that
the Trustee is duly organized, validly existing and in good standing under the
laws of its jurisdiction of organization and has complied with any obligations
to file returns and pay taxes under the Franchise Tax Law of the State of
California; that the Trustee is duly qualified to engage in the activities
contemplated by the Indenture; that the Indenture has been duly authorized,
executed and delivered by the Trustee and constitutes the legal, valid and
binding obligation of the Trustee, enforceable against the Trustee in accordance
with its terms; that the Trustee is in compliance, generally and with respect to
acting as a trustee under the Indenture, with all applicable laws and
regulations; and that the Trustee has the requisite organizational and legal
power and authority to perform its obligations under the Indenture.

        We consent to your filing this opinion as an exhibit to the Registration
Statement and to the reference to our firm under the caption "Legal Matters" in
the prospectus included therein.

                                            Very truly yours,

                                            Latham & Watkins