8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

2/6/2006

Date of Report (Date of earliest event reported)

SAFECO CORPORATION

(Exact name of registrant as specified in Charter)

WASHINGTON	1-6563	91-0742146
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

Safeco Plaza, Seattle, Washington	98185
(Address of principal executive officers)	(Zip Code)

(206) 545-5000

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation to the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01 Other Events

On February 6, 2006, Safeco announced it executed a Rule 10b5-1 trading plan to purchase up to $250 million of its outstanding common stock. This plan allows Safeco to repurchase its shares during periods when the company would normally not be active in the market because of its own internal trading windows. If the 10b5-1 trading plan is fully executed, approximately 5 million shares will remain available for repurchase under board-approved repurchase programs.

Item 9.01 Financial Statements and Exhibits

Exhibit 99.1 Press release “Safeco Announces $250 Million Share Repurchase” dated February 6, 2006.

Signature

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

	Safeco Corporation Registrant
Dated: February 6, 2006	/s/ Charles F. Horne, Jr.
	Charles F. Horne, Jr. Sr. Vice President and Controller

EX-99.1

Exhibit 99.1

INVESTOR RELATIONS CONTACT: Neal Fuller, 206-545-5537

MEDIA RELATIONS CONTACT: Paul Hollie, 206-545-3048

SAFECO ANNOUNCES $250 MILLION SHARE REPURCHASE

SEATTLE – (Feb. 6, 2006) – Safeco (NASDAQ: SAFC) today announced it has executed a Rule 10b5-1 trading plan to purchase up to $250 million of its outstanding common stock. A Rule 10b5-1 plan allows Safeco to repurchase its shares during periods when the company would normally not be active in the market because of its own internal trading windows.

“We are committed to a thoughtful evaluation of our capital management strategy as we continue to enjoy a growing surplus from strong profitability,” said Paula Rosput Reynolds, Safeco president and chief executive officer. “Returning excess capital to shareholders through share repurchases makes eminently good sense and is especially compelling at these valuation levels.”

On Dec. 1, 2005, Safeco reported that its board of directors had increased the company’s share repurchase authorization to 10 million shares, which is equal to 8.1 percent of Safeco’s shares outstanding at Dec. 31, 2005.

Since 2003, Safeco has repurchased 18.7 million shares, or 13.5 percent of its then outstanding shares, at a total cost of $919 million.

If the 10b5-1 program is fully executed, approximately 5 million shares will remain available for repurchase under board-approved repurchase programs.

Safeco, in business since 1923, is a Fortune 500 property and casualty insurance company based in Seattle. The company sells insurance to drivers, home owners, and owners of small- and mid-sized businesses through a national network of independent distribution partners.

####