Selective Insurance (SIGI) 8-K Selective Reports Net Income per Diluted Share of $0.69 and Operating

EXHIBIT 99.2

Supplemental Investor Package
First Quarter 2015
	Investor Contact:  Jennifer DiBerardino  Senior Vice President, Investor Relations and Treasurer  Tel: 973-948-1364  jennifer.diberardino@selective.com

Selective Insurance Group, Inc. & Consolidated Subsidiaries

Selected Balance Sheet Data

(unaudited)

	March 31,							March 31,							December 31,
($ in thousands, except per share data)	2015							2014							2014
	Balance Sheet			Market Value		Unrecognized/ Unrealized Gain		Balance Sheet			Market Value		Unrecognized/ Unrealized Gain		Balance Sheet			Market Value		Unrecognized/ Unrealized Gain
Invested Assets:
Corporate bonds 1	$	2,757,212			2,761,191		69,590	$	2,662,019			2,666,877		44,021	$	2,693,324			2,697,332		47,437
Government and Municipal bonds		1,713,587			1,724,144		60,852		1,535,890			1,552,512		46,657		1,690,935			1,702,751		59,680
Total fixed income securities		4,470,799			4,485,335		130,442		4,197,909			4,219,389		90,678		4,384,259			4,400,083		107,117
Equities		211,571			211,571		11,954		197,687			197,687		35,317		191,400			191,400		32,389
Short-term investments		124,376			124,376		-		137,733			137,733		-		131,972			131,972		-
Other investments		95,020			95,020		-		106,720			106,720		-		99,203			99,203		-
Total invested assets	$	4,901,766			4,916,302		142,396	$	4,640,049			4,661,529		125,995	$	4,806,834			4,822,658		139,506
Invested assets per $ of stockholders' equity		3.72							3.91							3.77
Total assets		6,701,145							6,370,236							6,581,550
Liabilities:
Reserve for loss and loss expenses		3,516,268							3,432,432							3,477,870
Unearned premium reserve		1,132,733							1,078,012							1,095,819
Total liabilities		5,385,207							5,184,705							5,305,964
Stockholders' equity		1,315,938							1,185,531							1,275,586
Total debt to capitalization ratio		23.1	%						24.9	%						22.9	%
Book value per share		23.11							21.09							22.54
Book value per share excluding unrealized gain or loss on fixed income portfolio		21.78							20.29							21.49
NPW per insurance segment employee		926							925							908
Statutory premiums to surplus ratio		1.5	x						1.5	x						1.4	x
Statutory surplus		1,322,422							1,263,795							1,307,842

1 Includes mortgage-backed and asset-backed securities.

Selective Insurance Group, Inc. & Consolidated Subsidiaries

Selected Income Statement Data

(unaudited)

		Quarter Ended March 31,
($ in thousands, except per share amounts)		2015						2014
					Per diluted share						Per diluted share
Consolidated
Revenue		$	523,892					$	509,071
Operating income			27,434			0.48			13,283			0.23
Net realized gains, after tax			12,274			0.21			4,691			0.08
Net income			39,708			0.69			17,974			0.31
Operating return on equity			8.5	%					4.5	%
Total Insurance Operations
Gross premiums written			604,864						565,741
Net premiums written			518,088						476,750
Net premiums earned			476,123						456,495
Underwriting gain	- before tax		26,021						(5,015	)
	- after tax		16,914			0.29			(3,260	)		(0.06	)
GAAP combined ratio			94.5	%					101.1	%
Standard Commercial Lines
Net premiums earned			365,533						349,441
GAAP combined ratio			91.8	%					101.0	%
Standard Personal Lines
Net premiums earned			72,479						74,818
GAAP combined ratio			103.4	%					103.2	%
Excess and Surplus Lines
Net premiums earned			38,111						32,236
GAAP combined ratio			104.1	%					97.0	%
Investments
Net investment income	- before tax		26,917						35,534
	- after tax		21,208			0.37			26,486			0.46
Effective tax rate			21.2	%					25.5	%
Annualized after-tax yield on investment portfolio			1.7	%					2.3	%
Annualized after-tax, after-interest expense yield			1.5	%					2.0	%
Invested assets per $ of stockholders' equity			3.72						3.91
Other expenses (net of other income)
Interest expense	- before tax		(5,479	)					(5,561	)
	- after tax		(3,561	)		(0.06	)		(3,615	)		(0.06	)
Other Expense - after tax		$	(7,127	)		(0.12	)	$	(6,328	)		(0.11	)
Diluted weighted avg shares outstanding			57,720						57,172

Selective Insurance Group, Inc. & Consolidated Subsidiaries

GAAP Insurance Operations Results

(unaudited)

First Quarter
($ in thousands)	Quarter Ended March 31, 2015												Quarter Ended March 31, 2014
	Standard Commercial Lines			Standard Personal Lines			Excess & Surplus Lines			Grand Total			Standard Commercial Lines			Standard Personal Lines			Excess & Surplus Lines			Grand Total
Net Premiums Written		415,258			65,024			37,806			518,088			379,350			67,338			30,062			476,750
Net Premiums Earned		365,533			72,479			38,111			476,123			349,441			74,818			32,236			456,495
Loss and Loss Expense Incurred		206,148			52,969			25,882			284,999			242,639			58,027			19,880			320,546
Net Underwriting Expenses Incurred		127,824			21,976			13,778			163,578			109,194			19,151			11,381			139,726
Dividends to Policyholders		1,525			-			-			1,525			1,238			-			-			1,238
GAAP Underwriting Gain (Loss)		30,036			(2,466	)		(1,549	)		26,021			(3,630	)		(2,360	)		975			(5,015	)
GAAP Ratios
Loss and Loss Expense Ratio		56.4	%		73.1	%		67.9	%		59.9	%		69.4	%		77.6	%		61.7	%		70.2	%
Underwriting Expense Ratio		35.0	%		30.3	%		36.2	%		34.3	%		31.2	%		25.6	%		35.3	%		30.6	%
Dividends to Policyholders Ratio		0.4	%		0.0	%		0.0	%		0.3	%		0.4	%		0.0	%		0.0	%		0.3	%
Combined Ratio		91.8	%		103.4	%		104.1	%		94.5	%		101.0	%		103.2	%		97.0	%		101.1	%

Selective Insurance Group, Inc. and Consolidated Subsidiaries

GAAP Investment Income

March 2015 (unaudited)

	Quarter Ended:						%
	March			March			Increase/
($ in thousands, except per share data)	2015			2014			(Decrease)
Investment Income:
Interest:
Fixed Income Securities	$	30,967			31,028			(0.2	)
Short-term		25			19			31.6
Other Investments		(3,540	)		5,218			(167.8	)
Dividends		1,792			1,449			23.7
		29,244			37,714			(22.5	)
Investment Expense		2,327			2,180			6.7
Net Investment Income Before Tax		26,917			35,534			(24.3	)
Tax		5,709			9,048			(36.9	)
Net Investment Income After Tax	$	21,208			26,486			(19.9	)
Net Investment Income per Share	$	0.37			0.46			(19.6	)
Effective Tax Rate		21.2	%		25.5	%
Average Yields :
Fixed Income Securities:
Pre Tax		2.80	%		2.99	%
After Tax		2.12	%		2.24	%
Portfolio:
Pre Tax		2.22	%		3.08	%
After Tax		1.75	%		2.30	%
	Quarter Ended:
	March			March
Net Realized Gains (Losses)	2015			2014
Fixed Income Securities		379			35
Equity Securities		19,158			7,183
Other Investments		(654	)		-
Total		18,883			7,218
Net of Tax		12,274			4,691

As of March 31, 2015 year-to-date new money rates for fixed income securities were 2.4% on a pre-tax basis and 1.8% on an after tax-basis.

Selective Insurance Group, Inc.

Combined Insurance Company Subsidiaries

2015 Statutory Results by Line of Business

Quarter Ended March 2015 (unaudited)

($ in thousands)	Net Premiums Written		Percent Change			Net Premiums Earned		Percent Change			Loss Ratio			LAE Ratio			Underwriting Expense Ratio			Dividends to Policyholders Ratio			Combined Ratio 2015			Combined Ratio 2014			Underwriting Gain/(Loss)
Standard Personal Lines:
Homeowners	$	28,078		(2.2	)%	$	33,721		1.3	%		67.7	%		7.5	%		38.5	%		0.0	%		113.7	%		121.7	%	$	(2,442	)
Auto		35,580		(3.4	)%		37,010		(3.2	)%		61.0	%		11.2	%		34.5	%		0.0	%		106.7	%		100.9	%		(1,978	)
Other (including flood)		1,366		(25.0	)%		1,748		(46.9	)%		65.1	%		6.1	%		(189.6	)%		0.0	%		(118.4	)%		(93.4	)%		3,094
Total	$	65,024		(3.4	)%	$	72,479		(3.1	)%		64.1	%		9.4	%		31.6	%		0.0	%		105.1	%		104.5	%	$	(1,326	)
Standard Commercial Lines:
Commerical property	$	70,898		10.6	%	$	64,563		7.3	%		56.8	%		5.0	%		36.5	%		0.2	%		98.5	%		131.4	%	$	(1,319	)
Workers compensation		83,805		10.3	%		68,477		(1.3	)%		48.3	%		14.7	%		25.9	%		1.8	%		90.7	%		105.9	%		2,406
General liability		130,482		9.2	%		114,971		5.7	%		22.2	%		17.2	%		33.5	%		0.1	%		73.0	%		80.7	%		25,905
Auto		96,587		8.4	%		86,355		5.0	%		59.6	%		8.4	%		31.3	%		0.1	%		99.4	%		94.9	%		(2,670	)
Business owners policies		24,252		9.6	%		22,699		8.8	%		69.8	%		11.5	%		37.5	%		0.0	%		118.8	%		129.8	%		(4,852	)
Bonds		5,212		7.1	%		5,000		5.1	%		16.4	%		4.2	%		64.0	%		0.0	%		84.6	%		76.9	%		633
Other		4,022		9.7	%		3,468		9.0	%		0.7	%		0.2	%		51.5	%		0.0	%		52.4	%		42.7	%		1,365
Total	$	415,258		9.5	%	$	365,533		4.6	%		44.7	%		11.8	%		32.8	%		0.4	%		89.7	%		100.3	%	$	21,467
E&S	$	37,806		25.8	%	$	38,111		18.2	%		48.6	%		19.1	%		34.4	%		0.0	%		102.1	%		97.9	%	$	(714	)
Total Insurance Operations	$	518,088		8.7	%	$	476,123		4.3	%		48.0	%		12.0	%		32.7	%		0.3	%		93.0	%		100.8	%	$	19,427
Note: Some amounts may not foot due to rounding.
			2015			2014
	Losses Paid		$	194,366		$	213,297
	LAE Paid			44,994			44,764
	Total Paid		$	239,360		$	258,061

Selective Insurance Group, Inc.

Combined Insurance Company Subsidiaries

2015 Net Catastrophe Losses and Prior Year Casualty Reserve Development

Statutory Results by Line of Business

(unaudited)

	Quarter Ended
Net Catastrophe Losses Incurred	March 31, 2015					March 31, 2014
($ in thousands)	Loss and Loss Expense Incurred		Impact on Loss and Loss Expense Ratio			Loss and Loss Expense Incurred		Impact on Loss and Loss Expense Ratio
Standard Personal Lines	$	6,318		8.7	%	$	8,280		11.1	%
Standard Commercial Lines	$	18,650		5.1	%	$	25,906		7.4	%
E&S	$	352		0.9	%	$	186		0.6	%
Total Insurance Operations	$	25,320		5.3	%	$	34,372		7.5	%

Prior Year Casualty Reserve Development	Quarter Ended
(Favorable) / Unfavorable	March 31, 2015						March 31, 2014
($ in thousands)	Loss and Loss Expense Incurred			Impact on Loss and Loss Expense Ratio			Loss and Loss Expense Incurred			Impact on Loss and Loss Expense Ratio
Standard Personal Lines	$	-			0.0	%	$	(2,000	)		(2.7	)%
Standard Commercial Lines	$	(21,000	)		(5.7	)%	$	(12,000	)		(3.4	)%
E&S	$	1,000			2.6	%	$	-			0.0	%
Total Insurance Operations	$	(20,000	)		(4.2	)%	$	(14,000	)		(3.1	)%

Note: Some amounts may not foot due to rounding.

Selective Insurance Group, Inc. & Consolidated Subsidiaries

Consolidated Balance Sheets

	(Unaudited) March 31,			December 31,
($ in thousands, except share amounts)	2015			2014
ASSETS
Investments:
Fixed income securities, held-to-maturity – at carrying value (fair value: $311,093 – 2015; $333,961 – 2014)	$	296,557			318,137
Fixed income securities, available-for-sale – at fair value (amortized cost: $4,059,034 – 2015; $3,975,786 – 2014)		4,174,242			4,066,122
Equity securities, available-for-sale – at fair value (cost: $199,617 – 2015; $159,011 – 2014)		211,571			191,400
Short-term investments (at cost which approximates fair value)		124,376			131,972
Other investments		95,020			99,203
Total investments		4,901,766			4,806,834
Cash		14,804			23,959
Interest and dividends due or accrued		38,416			38,901
Premiums receivable, net of allowance for uncollectible accounts of: $4,201 – 2015; $4,137 – 2014		596,888			558,778
Reinsurance recoverable, net		574,982			581,548
Prepaid reinsurance premiums		141,941			146,993
Deferred federal income tax		92,061			98,449
Property and equipment – at cost, net of accumulated depreciation and amortization of: $175,896 – 2015; $172,183 – 2014		61,855			59,416
Deferred policy acquisition costs		191,956			185,608
Goodwill		7,849			7,849
Other assets		78,627			73,215
Total assets	$	6,701,145			6,581,550
LIABILITIES AND STOCKHOLDERS’ EQUITY
Liabilities:
Reserve for loss and loss expenses	$	3,516,268			3,477,870
Unearned premiums		1,132,733			1,095,819
Notes payable		394,301			379,297
Current federal income tax		10,627			3,921
Accrued salaries and benefits		142,092			158,382
Other liabilities		189,186			190,675
Total liabilities	$	5,385,207			5,305,964
Stockholders’ Equity:
Preferred stock of $0 par value per share:
Authorized shares 5,000,000; no shares issued or outstanding	$	—			—
Common stock of $2 par value per share:
Authorized shares: 360,000,000
Issued: 100,430,480 – 2015; 99,947,933 – 2014		200,861			199,896
Additional paid-in capital		312,930			305,385
Retained earnings		1,345,035			1,313,440
Accumulated other comprehensive income		23,615			19,788
Treasury stock – at cost (shares: 43,482,438 – 2015; 43,353,181 – 2014)		(566,503	)		(562,923	)
Total stockholders’ equity		1,315,938			1,275,586
Commitments and contingencies
Total liabilities and stockholders’ equity	$	6,701,145			6,581,550

Selective Insurance Group, Inc. & Consolidated Subsidiaries

Unaudited Consolidated Statements of Income

	Quarter Ended March 31,
($ in thousands, except per share amounts)	2015			2014
Revenues:
Net premiums earned	$	476,123			456,495
Net investment income earned		26,917			35,534
Net realized gains:
Net realized investment gains		20,977			8,181
Other-than-temporary impairments		(2,094	)		(963	)
Other-than-temporary impairments on fixed income securities recognized in other comprehensive income		—			—
Total net realized gains		18,883			7,218
Other income		1,969			9,824
Total revenues		523,892			509,071
Expenses:
Loss and loss expense incurred		284,999			320,546
Policy acquisition costs		164,723			149,266
Interest expense		5,479			5,561
Other expenses		12,401			8,614
Total expenses		467,602			483,987
Income before federal income tax		56,290			25,084
Federal income tax expense:
Current		12,254			6,538
Deferred		4,328			572
Total federal income tax expense		16,582			7,110
Net income	$	39,708			17,974
Earnings per share:
Basic net income	$	0.70			0.32
Diluted net income	$	0.69			0.31
Dividends to stockholders	$	0.14			0.13

Selective Insurance Group, Inc. & Consolidated Subsidiaries

Unaudited Consolidated Statements of Comprehensive Income

	Quarter Ended March 31,
($ in thousands)	2015			2014
Net income	$	39,708			17,974
Other comprehensive income, net of tax:
Unrealized gains on investment securities:
Unrealized holding gains arising during period		15,586			21,426
Amount reclassified into net income:
Held-to-maturity securities		(170	)		(296	)
Non-credit other-than-temporary impairments		232			—
Realized gains on available for sale securities		(12,932	)		(4,699	)
Total unrealized gains on investment securities		2,716			16,431
Defined benefit pension and post-retirement plans:
Amounts reclassified into net income:
Net actuarial loss		1,111			247
Total defined benefit pension and post-retirement plans		1,111			247
Other comprehensive income		3,827			16,678
Comprehensive income	$	43,535			34,652

Selective Insurance Group, Inc. & Consolidated Subsidiaries

Unaudited Consolidated Statements of Stockholders’ Equity

	Quarter Ended March 31,
($ in thousands, except share amounts)	2015			2014
Common stock:
Beginning of year	$	199,896			198,240
Dividend reinvestment plan (shares: 13,533 – 2015; 15,283 – 2014)		27			31
Stock purchase and compensation plans (shares: 469,014 – 2015; 401,179 – 2014)		938			802
End of period		200,861			199,073
Additional paid-in capital:
Beginning of year		305,385			288,182
Dividend reinvestment plan		346			320
Stock purchase and compensation plans		7,199			5,863
End of period		312,930			294,365
Retained earnings:
Beginning of year		1,313,440			1,202,015
Net income		39,708			17,974
Dividends to stockholders ($0.14 per share – 2015; $0.13 per share – 2014)		(8,113	)		(7,412	)
End of period		1,345,035			1,212,577
Accumulated other comprehensive income:
Beginning of year		19,788			24,851
Other comprehensive income		3,827			16,678
End of period		23,615			41,529
Treasury stock:
Beginning of year		(562,923	)		(559,360	)
Acquisition of treasury stock (shares: 129,257 – 2015; 118,876 – 2014)		(3,580	)		(2,653	)
End of period		(566,503	)		(562,013	)
Total stockholders’ equity	$	1,315,938			1,185,531

Selective Insurance Group, Inc.

Unaudited Consolidated Statements of Cash Flow

	Quarter Ended March 31,
($ in thousands)	2015			2014
Operating Activities:
Net Income		39,708			17,974
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		14,041			10,578
Sale of renewal rights		—			(8,000	)
Stock-based compensation expense		3,681			4,176
Undistributed losses (gains) of equity method investments		3,541			(33	)
Net realized gains		(18,883	)		(7,218	)
Changes in assets and liabilities:
Increase in reserves for loss and loss expenses, net of reinsurance recoverables		44,964			58,938
Increase in unearned premiums, net of prepaid reinsurance		41,966			20,254
Decrease in net federal income taxes		11,034			4,332
Increase in premiums receivable		(38,110	)		(29,042	)
Increase in deferred policy acquisition costs		(6,348	)		(4,697	)
Decrease in interest and dividends due or accrued		510			414
Decrease in accrued salaries and benefits		(16,290	)		(21,869	)
Decrease in accrued insurance expenses		(24,255	)		(26,957	)
Increase in other assets and other liabilities		5,015			16,914
Net adjustments		20,866			17,790
Net cash provided by operating activities		60,574			35,764
Investing Activities:
Purchase of fixed income securities, available-for-sale		(238,000	)		(182,809	)
Purchase of equity securities, available-for-sale		(150,500	)		(61,360	)
Purchase of other investments		(1,724	)		(4,615	)
Purchase of short-term investments		(333,550	)		(398,348	)
Sale of fixed maturity securities, available-for-sale		9,305			1,302
Sale of short-term investments		341,146			434,865
Redemption and maturities of fixed income securities, held-to-maturity		20,720			9,396
Redemption and maturities of fixed income securities, available-for-sale		145,661			104,358
Sale of equity securities, available-for-sale		129,052			61,523
Distributions from other investments		5,845			5,704
Purchase of property and equipment		(4,064	)		(5,699	)
Sale of renewal rights		—			8,000
Net cash used in investing activities		(76,109	)		(27,683	)
Financing Activities:
Dividends to stockholders		(7,591	)		(6,948	)
Acquisition of treasury stock		(3,580	)		(2,653	)
Net proceeds from stock purchase and compensation plans		2,271			1,261
Proceeds from borrowings		15,000			—
Excess tax benefits from share-based payment arrangements		1,398			770
Repayment of capital lease obligations		(1,118	)		(459	)
Net cash provided by (used in) financing activities		6,380			(8,029	)
Net (decrease) increase in cash		(9,155	)		52
Cash, beginning of year		23,959			193
Cash, end of period	$	14,804			245

Selective Insurance Group, Inc.

Combined Insurance Company Subsidiaries

Statutory Balance Sheets

(unaudited)

($ in thousands)	March 31, 2015		March 31, 2014			December 31, 2014
ASSETS
Bonds	$	4,299,029		4,072,964			4,241,580
Common stocks		190,937		197,688			191,400
Preferred stocks		20,521		-			-
Affiliated mortgage loan		35,765		36,534			35,961
Other investments		147,468		172,691			152,154
Short-term investments		113,117		122,118			115,342
Total investments		4,806,837		4,601,995			4,736,437
Cash on hand and in banks		1,538		(40,405	)		12,381
Interest and dividends due and accrued		38,376		36,862			38,908
Premiums receivable		593,248		551,784			556,086
Reinsurance recoverable on paid losses and expenses		10,919		13,068			9,570
Deferred tax recoverable		143,060		154,620			147,610
EDP equipment		460		834			518
Equities and deposits in pools and associations		10,373		8,557			9,915
Receivable for sold securities		8		8			34
Other assets		27,206		26,535			26,629
Total assets	$	5,632,025		5,353,858			5,538,088
LIABILITIES
Reserve for losses	$	2,432,544		2,396,417			2,398,531
Reinsurance payable on paid loss and loss expense		3,297		2,098			2,957
Reserve for loss expenses		505,752		463,527			493,510
Unearned premiums		990,791		936,409			948,826
Reserve for commissions payable		46,691		41,455			70,259
Ceded balances payable		29,303		29,728			29,624
Federal income tax payable		23,786		31,587			20,524
Premium and other taxes payable		19,450		22,940			20,137
Borrowed money		60,031		58,044			45,027
Reserve for dividends to policyholders		4,486		2,019			3,895
Reserves for unauthorized reinsurance		7,661		2,735			7,661
Payable for securities		31,790		1,773			19,950
Funds withheld on account of others		7,485		7,724			7,473
Accrued salaries and benefits		48,287		46,499			64,207
Other liabilities		98,249		47,108			97,665
Total liabilities		4,309,603		4,090,063			4,230,246
POLICYHOLDERS' SURPLUS
Capital		42,725		42,725			42,725
Paid in surplus		492,869		492,869			492,869
Unassigned surplus		786,828		728,201			772,248
Total policyholders' surplus		1,322,422		1,263,795			1,307,842
Total liabilities and policyholders' surplus	$	5,632,025		5,353,858			5,538,088

Selective Insurance Group, Inc.

Combined Insurance Company Subsidiaries

Statutory Statements Of Income

(unaudited)

	Quarter Ended March
($ in thousands)	2015					2014
UNDERWRITING
Net premiums written	$	518,088					476,750
Net premiums earned		476,123					456,495
Net losses paid		194,366					213,297
Change in reserve for losses		34,014					54,941
Net losses incurred		228,380		48.0	%		268,238		58.8	%
Net loss expenses paid		44,994					44,764
Change in reserve for loss expenses		12,243					7,544
Net loss expenses incurred		57,237		12.0	%		52,308		11.4	%
Net underwriting expenses incurred		170,938		33.0	%		153,790		32.2	%
Total deductions		456,555					474,336
Statutory underwriting gain / (loss)		19,568					(17,840	)
Net loss from premium balances charged off		(610	)				(874	)
Finance charges and other income		1,994					10,038
Total other income		1,384		-0.3	%		9,164		-1.9	%
Policyholders' dividends incurred		(1,525	)	0.3	%		(1,238	)	0.3	%
Total underwriting gain / (loss)		19,427		93.0	%		(9,914	)	100.8	%
INVESTMENT
Net investment income earned		27,127					35,495
Net realized gain		18,883					7,215
Total income before income tax		65,437					32,796
Federal income tax expense		7,261					5,845
Net income	$	58,176					26,951
Policyholders' Surplus
Surplus, beginning of period	$	1,307,842					1,256,431
Net income		58,176					26,951
Change in deferred taxes		(10,194	)				(1,282	)
Change in net unrealized capital (losses)		(12,910	)				(1,312	)
Dividends to stockholders		(14,438	)				(14,376	)
Change in non-admitted assets		(7,669	)				(2,900	)
Change in Overfunded Contra Asset		(281	)				(1,547	)
Qual Pen Trans Liab		1,846					1,816
Excess Plan Trans Liab		43					8
PRL Plan Trans Liab		7					6
Net change in surplus for period		14,580					7,364
Surplus, end of period	$	1,322,422					1,263,795
Statutory underwriting gain / (loss)	$	19,427					(9,914	)
Adjustments under GAAP:
Deferred policy acquisition costs		6,348					4,697
Other, net		246					202
GAAP underwriting gain / (loss)	$	26,021					(5,015	)

Note: Some amounts or ratios may not foot due to rounding

Selective Insurance Group, Inc. and Consolidated Subsidiaries

Alternative Investments

as of March 31, 2015

(unaudited)

Fund	Inception Year	Original Commitment		Remaining Commitment			Current Market Value		YTD Income			DPI(1) Ratio		TVPI(2) Ratio
Real Estate
Silverpeak RE II	2005		20,000,000		2,142,141			9,583,009		708,523			0.67		1.12
Silverpeak RE III	2008		15,000,000		7,873,466			2,403,262		(174,261	)		0.07		0.41
Total - Real Estate			35,000,000		10,015,607			11,986,271		534,262			0.52		0.94
Mezzanine Financing
Neovara Euro Mezz	2004		9,000,000		-			-		-			0.98		0.98
GS Mezz V	2007		25,000,000		10,143,611			4,513,832		(56,366	)		1.08		1.32
New Canaan V	2012		7,000,000		1,611,184			2,871,839		(318,713	)		0.57		1.06
Centerfield Capital	2012		3,000,000		1,843,500			977,414		(7,616	)		0.13		0.98
Total - Mezz. Financing			44,000,000		13,598,296			8,363,086		(382,695	)		0.94		1.15
Distressed Debt
Varde VIII	2006		10,000,000		-			1,934,398		39,955			1.16		1.35
Distressed Managers III	2007		15,000,000		2,982,268			5,634,231		(238,142	)		0.79		1.21
Total - Distressed Debt			25,000,000		2,982,268			7,568,629		(198,187	)		0.95		1.27
Private Equity						��
Prospector	1997		5,000,000		-			319,799		36,726			2.82		2.88
Trilantic Capital Partners III	2004		10,000,000		1,455,947			2,089,035		(405,995	)		1.63		1.85
NB Co-Invest	2006		15,000,000		1,421,610			5,877,247		-			1.02		1.42
Trilantic Capital Partners IV	2007		11,098,351		1,382,106			7,126,052		(923,241	)		1.03		1.68
Trilantic Capital Partners V	2012		7,000,000		4,619,329			2,107,325		(169,113	)		-		0.89
Total - Private Equity			48,098,351		8,878,992			17,519,458		(1,461,623	)		1.31		1.73
Private Equity, Secondary Market
NB SOF	2005		12,000,000		899,494			3,567,806		(131	)		1.02		1.34
Vintage IV	2007		20,000,000		4,200,580			10,517,998		(249,716	)		0.81		1.35
NB SOF II	2008		12,000,000		1,939,398			6,122,079		(7,878	)		1.00		1.50
Total - Pvt. Eq. Sec. Mkt.			44,000,000		7,039,472			20,207,883		(257,724	)		0.92		1.39
Energy/Power Generation
ArcLight I	2002		15,000,000		-			12,455		-			1.81		1.81
ArcLight II	2003		15,000,000		2,295,492			280,140		4,325			1.40		1.41
ArcLight III	2006		15,000,000		2,037,794			3,174,516		94,636			1.23		1.43
Quintana Energy	2006		10,000,000		284,272			6,636,978		(1,696,040	)		0.60		1.28
ArcLight IV	2007		10,000,000		2,287,578			2,289,449		(177,507	)		1.20		1.42
Arclight VI	2014		15,000,000		15,000,000			-		-
Total - Energy/Power Generation			80,000,000		21,905,136			12,393,538		(1,774,586	)		1.32		1.49
Venture Capital
Venture V	2001		9,600,000		350,000			6,235,634		-			0.73		1.40
Total - Venture Capital			9,600,000		350,000			6,235,634		-			0.73		1.40
TOTAL - ALTERNATIVE INVESTMENTS		$	285,698,351		64,769,770			84,274,499		(3,540,554	)		1.05		1.38

(1) Distributed to paid in ratio

(2) Total value to paid in ratio

Exhibit may not foot due to rounding

Selective Insurance Group, Inc. and Consolidated Subsidiaries

Credit Quality of Available-for-Sale Fixed Income Securities

March 31, 2015

(unaudited)

($ in millions)	Fair Value		Unrealized Gain (Loss)		Weighted Average Credit Quality
AFS Fixed Income Portfolio:
U.S. government and government agencies	$	119.5		7.3	AA+
Foreign government		27.9		0.9	AA-
Obligations of states and political subdivisions		1,294.4		40.3	AA
Corporate securities		1,824.2		53.6	A-
Asset-backed securities (“ABS”)		185.4		1.1	AAA
Mortgage-backed securities (“MBS”)		722.8		12.0	AA+
Total AFS fixed income portfolio	$	4,174.2		115.2	AA-
Obligations of States and Political Subdivisions:
General obligations	$	567.5		16.8	AA+
Special revenue obligations		726.9		23.5	AA
Total obligations of state and political subdivisions	$	1,294.4		40.3	AA
Corporate Securities:
Financial	$	610.0		15.4	A
Industrials		144.0		5.4	A-
Utilities		151.3		4.8	BBB+
Consumer discretionary		214.8		6.8	A-
Consumer staples		165.6		4.7	A-
Healthcare		162.2		6.7	A
Materials		108.2		3.2	BBB+
Energy		97.7		1.4	A-
Information technology		122.2		3.6	A
Telecommunications services		47.5		1.5	BBB+
Other		0.7		0.1	AA
Total corporate securities	$	1,824.2		53.6	A-
ABS:
ABS	$	185.1		1.0	AAA
Sub-prime ABS1		0.3		0.1	D
Total ABS	$	185.4		1.1	AAA
MBS:
Government guaranteed agency commercial MBS (“CMBS”)	$	12.8		0.3	AA+
Other agency CMBS		12.4		0.1	AA+
Non-agency CMBS		175.3		2.9	AAA
Government guaranteed agency residential MBS (“RMBS”)		29.1		0.7	AA+
Other agency RMBS		468.5		7.8	AA+
Non-agency RMBS		21.2		0.2	BB+
Alternative-A (“Alt-A”) RMBS		3.5		—	A
Total MBS	$	722.8		12.0	AA+

1 Subprime ABS includes one security whose issuer is currently expected by rating agencies to default on its obligations.  We define sub-prime exposure as exposure to direct and indirect investments in non-agency residential mortgages with average FICO® scores below 650.

Selective Insurance Group, Inc. and Consolidated Subsidiaries

Credit Quality of Held-to-Maturity Fixed Income Securities

March 31, 2015

(unaudited)

($ in millions)	Fair Value		Carry Value		Unrecognized Holding Gain		Unrealized Gain (Loss) in Accumulated Other Comprehensive Income			Total Unrealized/ Unrecognized Gain		Weighted Average Credit Quality
HTM Fixed Income Portfolio:
Foreign government	$	5.3		5.3		—		—			—	AA+
Obligations of states and political subdivisions		277.0		266.5		10.5		1.7			12.2	AA
Corporate securities		21.2		18.3		2.9		(0.2	)		2.7	A+
ABS		2.5		2.1		0.4		(0.4	)		—	AAA
MBS		5.1		4.4		0.7		(0.4	)		0.3	AAA
Total HTM fixed income portfolio	$	311.1		296.6		14.5		0.7			15.2	AA
Obligations of states and political subdivisions:
General obligations	$	90.3		87.4		2.9		0.8			3.7	AA
Special revenue obligations		186.7		179.1		7.6		0.9			8.5	AA
Total obligations of states and political subdivisions	$	277.0		266.5		10.5		1.7			12.2	AA
Corporate Securities:
Financial	$	2.2		1.9		0.3		(0.1	)		0.2	A-
Industrials		6.4		5.4		1.0		(0.1	)		0.9	A+
Utilities		12.6		11.0		1.6		—			1.6	A+
Total corporate securities	$	21.2		18.3		2.9		(0.2	)		2.7	A+
ABS:
ABS	$	0.5		0.5		—		—			—	AA
Alt-A ABS		2.0		1.6		0.4		(0.4	)		—	AAA
Total ABS	$	2.5		2.1		0.4		(0.4	)		—	AAA
MBS:
Non-agency CMBS	$	5.1		4.4		0.7		(0.4	)		0.3	AAA
Total MBS	$	5.1		4.4		0.7		(0.4	)		0.3	AAA