Exhibit 99.3
TheZenith
PRESS RELEASE
BUSINESS & FINANCIAL EDITORS | STANLEY R. ZAX |
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FOR IMMEDIATE RELEASE | Chairman and President |
ZENITH FILES 5% REDUCTION IN ITS CALIFORNIA WORKERS’
COMPENSATION RATES EFFECTIVE JULY 1, 2006
WOODLAND HILLS, CALIFORNIA, May 25, 2006
Zenith National Insurance Corp. (NYSE: ZNT) reported that its wholly owned subsidiary, Zenith Insurance Company, has filed today with the California Department of Insurance its workers’ compensation rates for use in California on or after July 1, 2006. The new rates represent an average reduction of 5% when compared to rates in effect since January 1, 2006.
Commenting on the filing, Stanley R. Zax, Chairman and President, said “Continued deflationary cost trends make rate reductions appropriate.”
The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements if accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those discussed. Forward-looking statements include those related to the plans and objectives of management for future operations, future economic performance, or projections of revenues, income, earnings per share, capital expenditures, dividends, capital structure, or other financial items. Statements containing words such as expect, anticipate, believe, estimate or similar words that are used in this release or in other written or oral information conveyed by or on behalf of Zenith are intended to identify forward-looking statements. Zenith undertakes no obligation to update such forward-looking statements, which are subject to a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, the following:
(1) competition; (2) adverse state and federal legislation and regulation; (3) changes in interest rates causing fluctuations of investment income and fair values of investments; (4) changes in the frequency and severity of claims and catastrophes; (5) adequacy of loss reserves; (6) changing environment for controlling medical, legal and rehabilitation costs, as well as fraud and abuse; (7) losses associated with any terrorist attacks that impact our workers’ compensation business in excess of our reinsurance protection; (8) losses caused by nuclear, biological, chemical or radiological events whether or not there is any applicable reinsurance protection; and (9) other risks detailed herein and from time to time in Zenith’s reports and filings with the Securities and Exchange Commission.