Prospectus Supplement dated May 10, 2002                      Rule No. 424(b)(2)
(To Prospectus dated May 10, 2002)                            File No. 333-78127


                     Philadelphia Consolidated Holding Corp.
                           Common Stock, No Par Value

         The Board of Directors of Philadelphia Consolidated Holding Corp. has
established an offering period under the Philadelphia Insurance Companies Stock
Purchase Plan for Preferred Agents (as Amended and Restated, Effective as of May
1, 2002) commencing on May 10, 2002 and ending on June 7, 2002 during which its
eligible preferred agents may purchase shares of the common stock of
Philadelphia Consolidated Holding Corp. under the plan. In accordance with the
terms of the plan, the purchase price for shares of common stock purchased
during this offering period will be the lower of (a) $34.42; and (b) 85% of the
market value of the common stock on June 7, 2002.

         In order to participate in the offering period, eligible preferred
agents must complete a subscription agreement and return it to: Mr. Craig P.
Keller, Philadelphia Insurance Companies, One Bala Plaza, Suite 100, Bala
Cynwyd, PA 19004 (Fax # 610-617-5875) on or before June 7, 2002.

         An offer can be made only by the prospectus dated May 10, 2002, in
conjunction with this prospectus supplement dated May 10, 2002.

         INVESTING IN THE COMMON STOCK INVOLVES RISKS WHICH ARE DESCRIBED IN THE
"RISK FACTORS" SECTION OF THE PROSPECTUS BEGINNING ON PAGE 6 OF THE PROSPECTUS.

         NEITHER THE SECURITIES EXCHANGE COMMISSION NOR ANY STATE SECURITIES
COMMISSION HAS APPROVED OR DISAPPROVED OF THESE SECURITIES OR PASSED UPON THE
ACCURACY OF THIS PROSPECTUS SUPPLEMENT OR THE PROSPECTUS. ANY REPRESENTATION TO
THE CONTRARY IS A CRIMINAL OFFENSE.