EMC Insurance (EMCI) 8-K Results of Operations and Financial Condition

EXHIBIT 99

EMC INSURANCE GROUP INC.

REPORTS 2008 RESULTS

AND ANNOUNCES 2009 GUIDANCE

Fourth Quarter 2008

Net Income Per Share – $0.04

Net Operating Income Per Share – $0.42

GAAP Combined Ratio – 105.4 percent

Year Ended December 31, 2008

Net Loss Per Share – $0.13

Net Operating Income Per Share – $1.05

GAAP Combined Ratio – 108.3 percent

DES MOINES, Iowa (February 27, 2009) - EMC Insurance Group Inc. (Nasdaq/NGS:EMCI) today reported operating income of $0.42 per share for the fourth quarter ended December 31, 2008, compared to $0.39 per share for the fourth quarter of 20071.  Operating income for the year ended December 31, 2008 was $1.05 per share, compared to $2.91 per share for the same period in 2007.

Net income, including realized investment gains/losses, was $474,000 ($0.04 per share) for the fourth quarter of 2008 compared to $7,058,000 ($0.51 per share) for the fourth quarter of 2007.  Net loss for the year ended December 31, 2008 was $1,705,000 ($0.13 per share), compared to net income of $42,478,000 ($3.09 per share) for the same period in 2007.

“Operating income for 2008 was negatively impacted by a record amount of catastrophe and storm losses,” stated President and CEO Bruce G. Kelley.  “This record amount of catastrophe and storm losses added 13.0 percentage points to our 2008 combined ratio, compared to an average over the last decade of 5.4 percentage points. Excluding the excess catastrophe and storm losses experienced during 2008, the Company came very close to meeting its combined ratio target for the year,” continued Kelley.  “Net income was further negatively impacted by a record amount of “other-than-temporary” investment impairment losses generated by the severe and prolonged turmoil in the financial markets.  On the positive side, our loss and settlement expense reserves remain at a very adequate level and our financial condition continues to be very strong.”

Premiums earned decreased 0.9 percent to $101,313,000 for the three months ended December 31, 2008 from $102,240,000 for the same period in 2007.  For the year ended December 31, 2008, premiums earned decreased 1.0 percent to $389,318,000 from $393,059,000 for the same period in 2007.  On an overall basis, premium rate competition increased moderately in the property and casualty insurance marketplace during 2008, resulting in an approximate 4.8 percent reduction in premium rate levels.  Market conditions began to stabilize toward the end of 2008 and premium rates could begin to firm somewhat during 2009 due to the large decline in capital experienced by the insurance industry in 2008.

Investment income decreased 3.0 percent to $12,213,000 for the fourth quarter and 0.2 percent to $48,403,000 for the year ended December 31, 2008 from $12,587,000 and $48,482,000 for the same periods in 2007.

The Company experienced $5,127,000 ($0.25 per share after tax) of favorable development on prior years’ reserves during the fourth quarter of 2008 compared to $266,000 ($0.01 per share after tax) of adverse development  in the fourth quarter of 2007.  For the year ended December 31, 2008, the Company had favorable development on prior years’ reserves totaling $35,308,000 ($1.70 per share after tax) compared to $38,738,000 ($1.83 per share after tax) for the same period in 2007.

“Carried loss and settlement expense reserves were in the upper quarter of the range of actuarial indications at December 31, 2008, which is similar to our position at year-end 2007,” stated Kelley. “While we expect to see favorable reserve development in the future, the amount could be lower than the unusually high levels experienced in recent years.”

Catastrophe and storm losses totaled $1,703,000 ($0.08 per share after tax) in the fourth quarter of 2008 compared to $2,040,000 ($0.10 per share after tax) in the fourth quarter of 2007.  For the year ended December 31, 2008, catastrophe and storm losses totaled a record $50,774,000 ($2.44 per share after tax), compared to $21,514,000 ($1.02 per share after tax) for the same period in 2007.  Included in the amount for the year ended December 31, 2008 is $9,670,000 ($0.46 per share after tax) of losses associated with the Parkersburg, Iowa tornado and $8,250,000 ($0.40 per share after tax) of losses associated with Hurricanes Gustav and Ike.

The Company’s GAAP combined ratio was 105.4 percent in the fourth quarter of 2008 compared to

105.2 percent in the fourth quarter of 2007.  For the year ended December 31, 2008, the GAAP combined ratio was 108.3 percent compared to 97.6 percent for the same period in 2007.

“Other-than-temporary” investment impairment losses totaled a record $9,248,000 ($0.45 per share after tax) and $30,921,000 ($1.49 per share after tax) for the fourth quarter and year ended December 31, 2008.  For comparative purposes, “other-than-temporary” investment impairment losses for the year ended December 31, 2007 totaled $1,277,000 ($0.06 per share after tax).

At December 31, 2008, consolidated assets totaled $1.1 billion, including $965.2 million in the investment portfolio; stockholders’ equity decreased 21.5 percent to $282.9 million; and net book value of the Company’s stock was $21.32 per share, a decrease of 18.5 percent from $26.15 per share at December 31, 2007.

Management is projecting that 2009 operating income will be within a range of $1.45 per share to $1.70 per share. This estimate is based on a projected GAAP combined ratio of 105.5 percent, which reflects the lagging affect of previous rate level reductions.

As of December 31, 2008, 565,563 shares of the Company’s common stock have been purchased under the Company’s $25 million stock repurchase program at a cost of approximately $14.3 million.  Additional purchases have been made during 2009, bringing the total, as of February 23, 2009, to 590,515 shares at a cost of approximately $14.8 million.  The timing and terms of the purchases are determined by management based on market conditions, and the transactions are conducted in accordance with the applicable rules of the SEC.  Common stock purchased under this program is being retired by the Company.  The Company’s parent organization, Employers Mutual Casualty Company, has a stock purchase program in place as well, with about $4.5 million of its $15 million authorization remaining.  This program is currently dormant and will not be reactivated until the Company’s repurchase program is completed.

The Company will hold an earnings teleconference call at 11:00 a.m. eastern standard time on February 27, 2009 to allow securities analysts, shareholders and other interested parties the opportunity to hear management discuss the Company’s fourth quarter and year-end 2008 results, as well as its expectations for 2009. Dial-in information for the call is toll-free 1-877-407-8031 (International: 1-201-689-8031). The event will be archived and available for digital replay through March 12, 2009. The replay access information is toll-free 1-877-660-6853 (International: 1-201-612-7415); passcodes required for playback: account number 286, conference ID number 310361.

Members of the news media, investors and the general public are invited to access a live webcast of the conference call via http://www.InvestorCalendar.com or the Company’s investor relations page at www.emcinsurance.com. The webcast will be archived and available for replay until February 26, 2010. A transcript of the teleconference will also be available on the Company’s website shortly after the completion of the teleconference.

EMC Insurance Group Inc., the publicly-held insurance holding company of EMC Insurance Companies, owns subsidiaries with operations in property and casualty insurance and reinsurance. EMC Insurance Companies is one of the largest property and casualty entities in Iowa and among the top 60 insurance entities nationwide based on premium volume. For more information, visit our website www.emcinsurance.com.

The Private Securities Litigation Reform Act of 1995 provides issuers the opportunity to make cautionary statements regarding forward-looking statements.  Accordingly, any forward-looking statement contained in this report is based on management’s current beliefs, assumptions and expectations of the Company’s future performance, taking into account all information currently available to management.  These beliefs, assumptions and expectations can change as the result of many possible events or factors, not all of which are known to management. If a change occurs, the Company’s business, financial condition, liquidity, results of operations, plans and objectives may vary materially from those expressed in the forward-looking statements. The risks and uncertainties that may affect the actual results of the Company include, but are not limited to the following: catastrophic events and the occurrence of significant severe weather conditions; the adequacy of loss and settlement expense reserves; state and federal legislation and regulations; changes in our industry, interest rates or the performance of financial markets and the general economy; rating agency actions and other risks and uncertainties inherent to the Company’s business, including those discussed under the heading “Risk Factors” in the Company’s annual report on Form 10-K and the update contained in the Company’s September 30, 2008 Form 10-Q.  Management intends to identify forward-looking statements when using the words “believe”, “expect”, “anticipate”, “estimate”, “project” or similar expressions.  Undue reliance should not be placed on these forward-looking statements.

¹The Company uses a non-GAAP financial measure called “operating income” that management believes is useful to investors because it illustrates the performance of our normal, ongoing operations, which is important in understanding and evaluating our financial condition and results of operations.  While this measure is consistent with measures utilized by investors to evaluate performance, it is not a substitute for the U.S. GAAP financial measure of net income. Therefore, the Company has provided the following reconciliation of this non-GAAP financial measure to the U.S. GAAP financial measure of net income. Management also uses non-GAAP financial measures for goal setting, determining employee and senior management awards and compensation, and evaluating performance.

Reconciliation of Operating Income to Net Income:

	Three Months Ended					Year Ended
	December 31,					December 31,
	2008			2007		2008			2007
Operating income after income tax expense	$	5,555,249		$	5,438,571	$	14,190,727		$	40,057,572
Realized investment gains (losses) net of tax		(5,081,709	)		1,619,599		(15,896,100	)		2,420,463
Net income (loss)	$	473,540		$	7,058,170	$	(1,705,373	)	$	42,478,035
Net income (loss)  per share	$	0.04		$	0.51	$	(0.13	)	$	3.09

CONSOLIDATED STATEMENTS OF INCOME

		Property and
		Casualty						Parent
Quarter Ended December 31, 2008		Insurance			Reinsurance			Company			Consolidated
Revenues:
Premiums earned		$	79,084,507		$	22,228,595		$	-		$	101,313,102
Investment income, net			9,217,233			2,971,962			23,399			12,212,594
Other income			127,440			-			-			127,440
			88,429,180			25,200,557			23,399			113,653,136
Losses and expenses:
Losses and settlement expenses			52,857,706			19,419,641			-			72,277,347
Dividends to policyholders	��		2,794,081			-			-			2,794,081
Amortization of deferred policy acquisition costs			19,071,697			4,136,793			-			23,208,490
Other underwriting expenses			7,542,183			982,948			-			8,525,131
Interest expense			225,000			-			-			225,000
Other expenses			156,242			(303,559	)		333,095			185,778
			82,646,909			24,235,823			333,095			107,215,827
Operating income (loss) before income taxes			5,782,271			964,734			(309,696	)		6,437,309
Realized investment losses			(5,527,907	)		(2,290,108	)		-			(7,818,015	)
Income (loss) before income taxes			254,364			(1,325,374	)		(309,696	)		(1,380,706	)
Income tax expense (benefit):
Current			(3,817,402	)		(2,232,060	)		(108,394	)		(6,157,856	)
Deferred			2,925,053			1,378,557			-			4,303,610
			(892,349	)		(853,503	)		(108,394	)		(1,854,246	)
Net income (loss)		$	1,146,713		$	(471,871	)	$	(201,302	)	$	473,540
Average shares outstanding												13,290,907
Per Share Data:
Net income (loss) per share - basic and diluted		$	0.09		$	(0.04	)	$	(0.01	)	$	0.04
Decrease in provision for insured events of prior years (after tax)		$	0.10		$	0.15		$	-		$	0.25
Catastrophe and storm losses (after tax)		$	-		$	(0.08	)	$	-		$	(0.08	)
Dividends per share											$	0.18
Other Information of Interest:
Net written premiums		$	63,312,384		$	22,127,584		$	-		$	85,439,968
Decrease in provision for insured events of prior years		$	(2,083,901	)	$	(3,043,261	)	$	-		$	(5,127,162	)
Catastrophe and storm losses		$	114,167		$	1,588,738		$	-		$	1,702,905
GAAP Combined Ratio:
Loss ratio			66.8	%		87.4	%		-			71.3	%
Expense ratio			37.2	%		23.0	%		-			34.1	%
			104.0	%		110.4	%		-			105.4	%

	Property and
	Casualty						Parent
Quarter Ended December 31, 2007	Insurance			Reinsurance			Company			Consolidated
Revenues:
Premiums earned	$	81,377,154		$	20,862,508		$	-		$	102,239,662
Investment income, net		9,382,499			3,176,583			27,931			12,587,013
Other income		161,875			-			-			161,875
		90,921,528			24,039,091			27,931			114,988,550
Losses and expenses:
Losses and settlement expenses		59,561,978			13,851,659			-			73,413,637
Dividends to policyholders		1,452,427			-			-			1,452,427
Amortization of deferred policy acquisition costs		19,268,359			4,241,430			-			23,509,789
Other underwriting expenses		8,859,438			306,398			-			9,165,836
Interest expense		193,125			84,044			-			277,169
Other expenses		134,147			38,572			221,172			393,891
		89,469,474			18,522,103			221,172			108,212,749
Operating income (loss) before income taxes		1,452,054			5,516,988			(193,241	)		6,775,801
Realized investment gains		2,271,240			220,450			-			2,491,690
Income (loss) before income taxes		3,723,294			5,737,438			(193,241	)		9,267,491
Income tax expense (benefit):
Current		(968,671	)		1,234,100			(67,634	)		197,795
Deferred		1,585,150			426,376			-			2,011,526
		616,479			1,660,476			(67,634	)		2,209,321
Net income (loss)	$	3,106,815		$	4,076,962		$	(125,607	)	$	7,058,170
Average shares outstanding											13,772,257
Per Share Data:
Net income (loss) per share - basic and diluted	$	0.22		$	0.30		$	(0.01	)	$	0.51
(Increase) decrease in provision for insured events of prior years (after tax)	$	(0.18	)	$	0.17		$	-		$	(0.01	)
Catastrophe and storm losses (after tax)	$	(0.11	)	$	0.01		$	-		$	(0.10	)
Dividends per share										$	0.18
Other Information of Interest:
Net written premiums	$	70,991,975		$	19,692,097		$	-		$	90,684,072
Increase (decrease) in provision for insured events of prior years	$	3,840,226		$	(3,574,577	)	$	-		$	265,649
Catastrophe and storm losses	$	2,244,945		$	(204,787	)	$	-		$	2,040,158
GAAP Combined Ratio:
Loss ratio		73.2	%		66.4	%		-			71.8	%
Expense ratio		36.3	%		21.8	%		-			33.4	%
		109.5	%		88.2	%		-			105.2	%

	Property and
	Casualty						Parent
Year Ended December 31, 2008	Insurance			Reinsurance			Company			Consolidated
Revenues:
Premiums earned	$	315,598,049		$	73,719,749		$	-		$	389,317,798
Investment income, net		36,329,609			11,912,452			161,312			48,403,373
Other income		626,499			-			-			626,499
		352,554,157			85,632,201			161,312			438,347,670
Losses and expenses:
Losses and settlement expenses		232,538,251			61,727,042			-			294,265,293
Dividends to policyholders		5,822,521			-			-			5,822,521
Amortization of deferred policy acquisition costs		73,064,705			14,799,244			-			87,863,949
Other underwriting expenses		30,989,615			2,709,106			-			33,698,721
Interest expense		889,375			-			-			889,375
Other expenses		568,848			(256,599	)		1,330,077			1,642,326
		343,873,315			78,978,793			1,330,077			424,182,185
Operating income (loss) before income taxes		8,680,842			6,653,408			(1,168,765	)		14,165,485
Realized investment losses		(16,811,900	)		(7,643,639	)		-			(24,455,539	)
Loss before income taxes		(8,131,058	)		(990,231	)		(1,168,765	)		(10,290,054	)
Income tax expense (benefit):
Current		(6,833,429	)		(805,907	)		(409,068	)		(8,048,404	)
Deferred		522,159			(1,058,436	)		-			(536,277	)
		(6,311,270	)		(1,864,343	)		(409,068	)		(8,584,681	)
Net income (loss)	$	(1,819,788	)	$	874,112		$	(759,697	)	$	(1,705,373	)
Average shares outstanding											13,534,147
Per Share Data:
Net income (loss) per share - basic and diluted	$	(0.14	)	$	0.06		$	(0.05	)	$	(0.13	)
Decrease in provision for insured events of prior years (after tax)	$	1.04		$	0.66		$	-		$	1.70
Catastrophe and storm losses (after tax)	$	(2.05	)	$	(0.39	)	$	-		$	(2.44	)
Dividends per share										$	0.72
Book value per share										$	21.32
Effective tax rate											(83.4	)%
Annualized net loss as a percent of beg. SH equity											(0.5	)%
Other Information of Interest:
Net written premiums	$	312,987,369		$	73,617,740		$	-		$	386,605,109
Decrease in provision for insured events of prior years	$	(21,564,256	)	$	(13,743,764	)	$	-		$	(35,308,020	)
Catastrophe and storm losses	$	42,728,524		$	8,045,176		$	-		$	50,773,700
GAAP Combined Ratio:
Loss ratio		73.7	%		83.7	%		-			75.6	%
Expense ratio		34.8	%		23.8	%		-			32.7	%
		108.5	%		107.5	%		-			108.3	%

	Property and
	Casualty						Parent
Year Ended December 31, 2007	Insurance			Reinsurance			Company			Consolidated
Revenues:
Premiums earned	$	320,836,066		$	72,223,331		$	-		$	393,059,397
Investment income, net		36,000,281			12,267,193			214,513			48,481,987
Other income		544,422			-			-			544,422
		357,380,769			84,490,524			214,513			442,085,806
Losses and expenses:
Losses and settlement expenses		199,494,325			48,344,856			-			247,839,181
Dividends to policyholders		7,632,714			-			-			7,632,714
Amortization of deferred policy acquisition costs		74,393,683			14,336,552			-			88,730,235
Other underwriting expenses		37,125,716			2,204,290			-			39,330,006
Interest expense		772,500			338,969			-			1,111,469
Other expenses		776,020			519,771			951,510			2,247,301
		320,194,958			65,744,438			951,510			386,890,906
Operating income (loss) before income taxes		37,185,811			18,746,086			(736,997	)		55,194,900
Realized investment gains		3,460,933			262,856			-			3,723,789
Income (loss) before income taxes		40,646,744			19,008,942			(736,997	)		58,918,689
Income tax expense (benefit):
Current		10,428,903			5,256,005			(257,949	)		15,426,959
Deferred		1,018,095			(4,400	)		-			1,013,695
		11,446,998			5,251,605			(257,949	)		16,440,654
Net income (loss)	$	29,199,746		$	13,757,337		$	(479,048	)	$	42,478,035
Average shares outstanding											13,762,663
Per Share Data:
Net income (loss) per share - basic and diluted	$	2.12		$	1.00		$	(0.03	)	$	3.09
Decrease in provision for insured events of prior years (after tax)	$	1.32		$	0.51		$	-		$	1.83
Catastrophe and storm losses (after tax)	$	(0.98	)	$	(0.04	)	$	-		$	(1.02	)
Dividends per share										$	0.69
Book value per share										$	26.15
Effective tax rate											27.9	%
Annualized net income as a percent of beg. SH equity											13.8	%
Other Information of Interest:
Net written premiums	$	324,252,764		$	71,002,733		$	-		$	395,255,497
Decrease in provision for insured events of prior years	$	(27,976,811	)	$	(10,761,217	)	$	-		$	(38,738,028	)
Catastrophe and storm losses	$	20,731,825		$	782,375		$	-		$	21,514,200
GAAP Combined Ratio:
Loss ratio		62.2	%		66.9	%		-			63.1	%
Expense ratio		37.1	%		22.9	%		-			34.5	%
		99.3	%		89.8	%		-			97.6	%

CONSOLIDATED BALANCE SHEETS

	December 31,		December 31,
	2008		2007
ASSETS
Investments:
Fixed maturities:
Securities held-to-maturity, at amortized cost (fair value $572,852 and $688,728)	$	534,759	$	636,969
Securities available-for-sale, at fair value (amortized cost $821,306,951 and $766,462,351)		812,868,835		785,253,286
Fixed maturity securities on loan:
Securities available-for-sale, at fair value (amortized cost $8,923,745 and $58,865,232)		8,950,052		58,994,666
Equity securities available-for-sale, at fair value (cost $75,025,666 and $97,847,545)		88,372,207		139,427,726
Other long-term investments, at cost		66,974		101,988
Short-term investments, at cost		54,373,082		53,295,310
Total investments		965,165,909		1,037,709,945
Balances resulting from related party transactions with
Employers Mutual:
Reinsurance receivables		36,355,047		33,272,405
Prepaid reinsurance premiums		4,157,055		4,465,836
Deferred policy acquisition costs		34,629,429		34,687,804
Defined benefit retirement plan, prepaid asset		-		11,451,758
Other assets		2,534,076		2,488,309
Cash		182,538		262,963
Accrued investment income		12,108,129		11,288,005
Accounts receivable		23,041		81,141
Income taxes recoverable		11,859,539		3,595,645
Deferred income taxes		30,819,592		1,682,597
Goodwill		941,586		941,586
Securities lending collateral		9,322,863		60,785,148
Total assets	$	1,108,098,804	$	1,202,713,142

	December 31,			December 31,
	2008			2007
LIABILITIES
Balances resulting from related party transactions with Employers Mutual:
Losses and settlement expenses	$	573,031,853		$	551,602,006
Unearned premiums		154,446,205			158,156,683
Other policyholders' funds		6,418,870			8,273,187
Surplus notes payable		25,000,000			25,000,000
Indebtedness to related party		20,667,196			5,918,396
Employee retirement plans		19,331,007			10,518,351
Other liabilities		16,964,452			22,107,379
Securities lending obligation		9,322,863			60,785,148
Total liabilities		825,182,446			842,361,150
STOCKHOLDERS' EQUITY
Common stock, $1 par value, authorized 20,000,000 shares; issued and outstanding, 13,267,668 shares in 2008 and 13,777,880 shares in 2007		13,267,668			13,777,880
Additional paid-in capital		95,639,349			108,030,228
Accumulated other comprehensive income (loss)		(9,930,112	)		42,961,904
Retained earnings		183,939,453			195,581,980
Total stockholders' equity		282,916,358			360,351,992
Total liabilities and stockholders' equity	$	1,108,098,804		$	1,202,713,142

The Company had total cash and invested assets with a carrying value of $965.3 million as of December 31, 2008 and $1.0 billion December 31, 2007.  The following table summarizes the Company’s cash and invested assets as of the dates indicated:

	December 31, 2008
					Percent of
	Amortized		Fair		Total			Carrying
($ in thousands)	Cost		Value		Fair Value			Value
Fixed maturity securities held-to-maturity	$	535	$	573		0.1	%	$	535
Fixed maturity securities available-for-sale		830,231		821,819		85.1	%		821,819
Equity securities available-for-sale		75,026		88,372		9.2	%		88,372
Cash		182		182		-			182
Short-term investments		54,373		54,373		5.6	%		54,373
Other long-term investments		67		67		-			67
	$	960,414	$	965,386		100.0	%	$	965,348

	December 31, 2007
					Percent of
	Amortized		Fair		Total			Carrying
($ in thousands)	Cost		Value		Fair Value			Value
Fixed maturity securities held-to-maturity	$	637	$	689		0.1	%	$	637
Fixed maturity securities available-for-sale		825,328		844,248		81.4	%		844,248
Equity securities available-for-sale		97,847		139,428		13.4	%		139,428
Cash		263		263		-			263
Short-term investments		53,295		53,295		5.1	%		53,295
Other long-term investments		102		102		-			102
	$	977,472	$	1,038,025		100.0	%	$	1,037,973

The amortized cost and estimated fair value of securities held-to-maturity and available-for-sale as of December 31, 2008 are as follows:

	Held-to-Maturity
			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
($ in thousands)	Cost		Gains		Losses		Fair Value
Mortgage-backed securities	$	535	$	38	$	-	$	573
Total securities held-to-maturity	$	535	$	38	$	-	$	573

	Available-for-Sale
			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
($ in thousands)	Cost		Gains		Losses		Fair Value
U.S. treasury securities	$	4,731	$	442	$	-	$	5,173
U.S. government-sponsored agencies		282,152		3,411		683		284,880
Obligations of states and political subdivisions		301,326		7,291		8,525		300,092
Mortgage-backed securities		72,497		2,940		6,069		69,368
Public utility securities		6,002		0		194		5,808
Debt securities issued by foreign governments		6,601		8		57		6,552
Corporate securities		156,922		3,061		10,037		149,946
Total fixed maturity securities		830,231		17,153		25,565		821,819
Common stocks		65,526		21,564		5,147		81,943
Non-redeemable preferred stocks		9,500		-		3,071		6,429
Total equity securities		75,026		21,564		8,218		88,372
Total securities available-for-sale	$	905,257	$	38,717	$	33,783	$	910,191

NET WRITTEN PREMIUMS

	Three Months Ended						Twelve Months Ended
	December 31, 2008						December 31, 2008
				Percent of						Percent of
				Increase/						Increase/
	Percent of			(Decrease) in			Percent of			(Decrease) in
	Net Written			Net Written			Net Written			Net Written
	Premiums			Premiums			Premiums			Premiums
Property and Casualty Insurance
Commercial Lines:
Automobile		15.9	%		(16.6	) %		17.4	%		(7.1	) %
Liability		15.6	%		(15.9	) %		17.3	%		(7.3	) %
Property		14.3	%		(5.1	) %		15.9	%		(1.3	) %
Workers' Compensation		14.6	%		(4.8	) %		17.2	%		2.9	%
Other		2.1	%		(6.9	) %		2.3	%		2.4	%
Total Commercial Lines		62.5	%		(11.0	) %		70.1	%		(3.3	) %
Personal Lines:
Automobile		6.5	%		(5.3	) %		5.9	%		(3.2	) %
Property		5.0	%		(14.7	) %		4.9	%		(6.7	) %
Liability		0.1	%		(14.8	) %		0.1	%		(7.4	) %
Total Personal Lines		11.6	%		(9.7	) %		10.9	%		(4.8	) %
Total Property and Casualty Insurance		74.1	%		(10.8	) %		81.0	%		(3.5	) %
Reinsurance		25.9	%		12.4	%		19.0	%		3.7	%
Total		100.0	%		(5.8	) %		100.0	%		(2.2	) %