The Travelers Companies, Inc. (TRV) 8-K Travelers Reports First Quarter 2009 Net Income of $662 Million, or $1.11 per Diluted Share

Exhibit 99.2

The Travelers Companies, Inc. Financial Supplement - First Quarter 2009

	Page Number
Consolidated Results
Financial Highlights	1
Reconciliation to Net Income and Earnings Per Share	2
Statement of Income	3
Net Income by Major Component and Combined Ratio	4
Operating Income	5
Selected Statistics - Property and Casualty Operations	6
Written and Earned Premiums - Property and Casualty Operations	7
Business Insurance
Operating Income	8
Operating Income by Major Component and Combined Ratio	9
Selected Statistics	10
Net Written Premiums	11
Financial, Professional & International Insurance
Operating Income	12
Operating Income by Major Component and Combined Ratio	13
Selected Statistics	14
Net Written Premiums	15
Personal Insurance
Operating Income (Loss)	16
Operating Income (Loss) by Major Component and Combined Ratio	17
Selected Statistics	18
Selected Statistics - Automobile	19
Selected Statistics - Homeowners and Other	20
Supplemental Detail
Interest Expense and Other	21
Consolidated Balance Sheet	22
Investment Portfolio	23
Investment Portfolio - Fixed Maturities Data	24
Investment Income	25
Net Realized and Unrealized Investment Gains (Losses)	26
Reinsurance Recoverables	27
Net Reserves for Losses and Loss Adjustment Expense	28
Asbestos and Environmental Reserves	29
Capitalization	30
Statutory to GAAP Shareholders’ Equity Reconciliation	31
Statement of Cash Flows	32
Statement of Cash Flows (continued)	33
Glossary of Financial Measures and Description of Reportable Business Segments	34
The information included in the Financial Supplement is unaudited.  This document should be read in conjunction with the Company’s Form 10-Q which will be filed with the Securities and Exchange Commission.

Index

The Travelers Companies, Inc.
Financial Highlights
($ and shares in millions, except per share data)

	1Q		2Q		3Q			4Q			1Q
	2008		2008		2008			2008			2009
Net income	$	967	$	942	$	214		$	801		$	662
Net income per share: (1)
Basic	$	1.56	$	1.56	$	0.36		$	1.36		$	1.12
Diluted	$	1.54	$	1.54	$	0.36		$	1.35		$	1.11
Operating income	$	1,008	$	918	$	330		$	939		$	799
Operating income per share: (1)
Basic	$	1.63	$	1.52	$	0.56		$	1.60		$	1.36
Diluted	$	1.60	$	1.50	$	0.55		$	1.58		$	1.34
Return on equity	14.6%		14.4%		3.4%			12.8%			10.2%
Operating return on equity	15.6%		14.3%		5.1%			14.7%			12.4%
Total assets, at period end	$	114,144	$	113,625	$	112,695		$	109,751		$	110,467
Total equity, at period end	$	26,388	$	25,923	$	24,721		$	25,319		$	26,497
Book value per share, at period end	$	43.31	$	43.56	$	41.94		$	43.12		$	45.12
Less: Net unrealized investment gains (losses), net of tax	0.95		0.11		(1.40		)	(0.25		)	0.93
Adjusted book value per share, at period end	$	42.36	$	43.45	$	43.34		$	43.37		$	44.19
Weighted average number of common shares outstanding (basic) (1)	615.4		598.2		586.7			583.6			584.6
Weighted average number of common shares outstanding and common stock equivalents (diluted) (1)	624.8		607.9		594.7			590.3			590.4
Common shares outstanding at period end	606.9		592.8		587.2			585.1			585.3
Common stock dividends declared	$	178	$	180	$	177		$	177		$	177
Common stock repurchased:
Under repurchase authorization (2)
Shares	20.8		15.3		6.2			2.7			-
Cost	$	1,000	$	750	$	272		$	100		$	-
Other
Shares	0.6		0.1		0.1			-			0.7
Cost	$	28	$	7	$	2		$	1		$	27

(1)  In accordance with the provisions of FSP EITF 03-06-1, Determining Whether Instruments Granted in Share-Based Payment Transactions are Participating Securities, which was effective January 1, 2009, all prior-period basic and diluted EPS data has been restated to reflect the retrospective application of this guidance.

(2)  Repurchased under Board of Director authorization.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 1

The Travelers Companies, Inc.
Reconciliation to Net Income and Earnings Per Share (1)
($ and shares in millions, except earnings per share)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Net income
Operating income	$	1,008		$	918		$	330		$	939		$	799
Net realized investment gains (losses)	(41		)	24			(116		)	(138		)	(137		)
Net income	$	967		$	942		$	214		$	801		$	662
Basic earnings per share
Operating income	$	1.63		$	1.52		$	0.56		$	1.60		$	1.36
Net realized investment gains (losses)	(0.07		)	0.04			(0.20		)	(0.24		)	(0.24		)
Net income	$	1.56		$	1.56		$	0.36		$	1.36		$	1.12
Diluted earnings per share
Operating income	$	1.60		$	1.50		$	0.55		$	1.58		$	1.34
Net realized investment gains (losses)	(0.06		)	0.04			(0.19		)	(0.23		)	(0.23		)
Net income	$	1.54		$	1.54		$	0.36		$	1.35		$	1.11
Adjustments to net income and weighted average shares for net income EPS calculations: (2)
	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Basic
Net income, as reported	$	967		$	942		$	214		$	801		$	662
Preferred stock dividends, net of taxes	(1		)	(1		)	(1		)	(1		)	(1		)
Participating share-based awards - allocated income	(6		)	(7		)	(1		)	(6		)	(5		)
Net income available to common shareholders - basic	$	960		$	934		$	212		$	794		$	656
Diluted
Net income available to common shareholders - basic	$	960		$	934		$	212		$	794		$	656
Effect of dilutive securities:
Convertible preferred stock	1			1			1			1			1
Zero coupon convertible notes	1			1			1			1			1
Net income available to common shareholders - diluted	$	962		$	936		$	214		$	796		$	658
Common Shares
Basic
Weighted average shares outstanding	615.4			598.2			586.7			583.6			584.6
Diluted
Weighted average shares outstanding	615.4			598.2			586.7			583.6			584.6
Weighted average effects of dilutive securities:
Stock options and performance shares	4.4			4.8			3.3			2.1			2.0
Convertible preferred stock	2.6			2.5			2.3			2.2			2.2
Zero coupon convertible notes	2.4			2.4			2.4			2.4			1.6
Diluted weighted average shares outstanding	624.8			607.9			594.7			590.3			590.4

(1)  In accordance with the provisions of FSP EITF 03-06-1, Determining Whether Instruments Granted in Share-Based Payment Transactions are Participating Securities, which was effective January 1, 2009, all prior-period basic and diluted EPS data has been restated to reflect the retrospective application of this guidance.

(2)  Adjustments to net income and weighted average shares for net income EPS calculations can also be used for the operating income EPS calculations.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 2

The Travelers Companies, Inc.
Statement of Income - Consolidated
($ in millions)

	1Q			2Q		3Q			4Q			1Q
	2008			2008		2008			2008			2009
Revenues
Premiums	$	5,340		$	5,357	$	5,448		$	5,434		$	5,301
Net investment income	815			778		716			483			542
Fee income	105			90		120			75			73
Net realized investment gains (losses)	(62		)	36		(170		)	(219		)	(214		)
Other revenues	34			34		31			32			33
Total revenues	6,232			6,295		6,145			5,805			5,735
Claims and expenses
Claims and claim adjustment expenses	3,021			3,092		3,871			3,009			3,190
Amortization of deferred acquisition costs	954			961		990			975			944
General and administrative expenses (1)	853			864		1,001			800			782
Interest expense	90			91		95			94			92
Total claims and expenses	4,918			5,008		5,957			4,878			5,008
Income before income taxes	1,314			1,287		188			927			727
Income tax expense (benefit)	347			345		(26		)	126			65
Net income	$	967		$	942	$	214		$	801		$	662
Other statistics
Effective tax rate on net investment income	20.2%			19.8%		18.1%			9.5%			12.6%
Net investment income (after-tax)	$	650		$	624	$	587		$	438		$	474
Catastrophes, net of reinsurance (2):
Pre-tax	$	95		$	356	$	1,042		$	(85	)	$	83
After-tax	$	62		$	231	$	682		$	(56	)	$	54

(1)  In 3Q 2008, 4Q 2008 and 1Q 2009 “General and administrative expenses” includes $176 million, $(35) million, and $(61) million, respectively, of estimated hurricane-related assessments from state-created insurance and windstorm insurance entities.

(2)  In 4Q 2008, “Catastrophes, net of reinsurance” includes a net benefit from re-estimation of current year catastrophe losses.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 3

The Travelers Companies, Inc.
Net Income by Major Component and Combined Ratio - Consolidated
($ in millions, net of tax)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Underwriting gain (loss)	$	401		$	338		$	(208	)	$	545		$	353
Net investment income	650			624			587			438			474
Other, including interest expense	(43		)	(44		)	(49		)	(44		)	(28		)
Operating income	1,008			918			330			939			799
Net realized investment gains (losses)	(41		)	24			(116		)	(138		)	(137		)
Net income	$	967		$	942		$	214		$	801		$	662
GAAP Combined ratio (1) (2)
Loss and loss adjustment expense ratio	55.7%			57.0%			69.9%			54.9%			59.7%
Underwriting expense ratio (3)	31.9%			32.3%			34.8%			31.0%			30.9%
Combined ratio	87.6%			89.3%			104.7%			85.9%			90.6%
Impact of catastrophes on combined ratio (4)	1.8%			6.6%			19.1%			-1.6%			1.6%
Impact of prior year reserve development on combined ratio	-7.5%			-9.8%			-6.2%			-5.1%			-4.9%

(1)  Before policyholder dividends.

(2)  Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses. In addition, fee income is allocated as a reduction of losses and loss adjustment expenses and underwriting expenses as follows:

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Billing and policy fees	$	27	$	26	$	27	$	26	$	27
Fee income:
Loss and loss adjustment expenses	$	43	$	30	$	58	$	13	$	20
Underwriting expenses	62		60		62		62		53
Total fee income	$	105	$	90	$	120	$	75	$	73

(3)  In 1Q 2009, the impact of changes in prior year estimates of hurricane-related assessments, which is not included in the “Impact of catastrophes on the combined ratio”, is (1.2) points.

(4)  The impact of catastrophes on the combined ratios for the three months ended September 30, 2008 and December 31, 2008 included 15.8 and (1.0) point impacts, respectively, on the loss and loss adjustment expense ratio, and 3.3 and (0.6) point impacts, respectively, on the underwriting expense ratio.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 4

The Travelers Companies, Inc.
Operating Income - Consolidated
($ in millions)

	1Q		2Q		3Q			4Q			1Q
	2008		2008		2008			2008			2009
Revenues
Premiums	$	5,340	$	5,357	$	5,448		$	5,434		$	5,301
Net investment income	815		778		716			483			542
Fee income	105		90		120			75			73
Other revenues	34		34		31			32			33
Total revenues	6,294		6,259		6,315			6,024			5,949
Claims and expenses
Claims and claim adjustment expenses	3,021		3,092		3,871			3,009			3,190
Amortization of deferred acquisition costs	954		961		990			975			944
General and administrative expenses	853		864		1,001			800			782
Interest expense	90		91		95			94			92
Total claims and expenses	4,918		5,008		5,957			4,878			5,008
Operating income before income taxes	1,376		1,251		358			1,146			941
Income tax expense	368		333		28			207			142
Operating income	$	1,008	$	918	$	330		$	939		$	799
Other statistics
Effective tax rate on net investment income	20.2%		19.8%		18.1%			9.5%			12.6%
Net investment income (after-tax)	$	650	$	624	$	587		$	438		$	474
Catastrophes, net of reinsurance (1):
Pre-tax	$	95	$	356	$	1,042		$	(85	)	$	83
After-tax	$	62	$	231	$	682		$	(56	)	$	54
							��

(1)  In 4Q 2008, “Catastrophes, net of reinsurance” includes a net benefit from re-estimation of current year catastrophe losses.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 5

The Travelers Companies, Inc.
Selected Statistics - Property and Casualty Operations
($ in millions)

	1Q			2Q		3Q			4Q			1Q
	2008			2008		2008			2008			2009
Statutory underwriting
Gross written premiums	$	5,933		$	6,061	$	6,134		$	5,709		$	5,863
Net written premiums	$	5,188		$	5,629	$	5,481		$	5,385		$	5,203
Net earned premiums	$	5,340		$	5,357	$	5,448		$	5,434		$	5,301
Losses and loss adjustment expenses	2,978			3,118		3,781			2,974			3,159
Underwriting expenses	1,706			1,766		1,811			1,643			1,710
Statutory underwriting gain (loss)	656			473		(144		)	817			432
Policyholder dividends	7			9		4			11			8
Statutory underwriting gain (loss) after policyholder dividends	$	649		$	464	$	(148	)	$	806		$	424
Other statutory statistics
Reserves for losses and loss adjustment expenses	$	42,840		$	42,885	$	42,848		$	41,307		$	41,156
Increase (decrease) in reserves	$	(228	)	$	45	$	(37	)	$	(1,541	)	$	(151	)
Statutory surplus	$	22,353		$	22,288	$	21,929		$	21,491		$	21,561
Net written premiums/surplus (1)	0.97:1			0.97:1		0.99:1			1.01:1			1.01:1

(1)  Based on 12 months of rolling net written premiums.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 6

The Travelers Companies, Inc.
Written and Earned Premiums - Property and Casualty Operations
($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Written premiums
Gross	$	5,933		$	6,061		$	6,134		$	5,709		$	5,863
Ceded	(745		)	(432		)	(653		)	(324		)	(660		)
Net	$	5,188		$	5,629		$	5,481		$	5,385		$	5,203
Earned premiums
Gross	$	5,932		$	5,957		$	6,035		$	5,978		$	5,808
Ceded	(592		)	(600		)	(587		)	(544		)	(507		)
Net	$	5,340		$	5,357		$	5,448		$	5,434		$	5,301

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 7

The Travelers Companies, Inc.
Operating Income - Business Insurance
($ in millions)

	1Q		2Q		3Q		4Q			1Q
	2008		2008		2008		2008			2009
Revenues
Premiums	$	2,786	$	2,781	$	2,823	$	2,790		$	2,757
Net investment income	573		540		494		310			355
Fee income	105		90		120		75			73
Other revenues	6		7		8		9			6
Total revenues	3,470		3,418		3,445		3,184			3,191
Claims and expenses
Claims and claim adjustment expenses	1,558		1,556		1,952		1,542			1,618
Amortization of deferred acquisition costs	451		451		466		450			449
General and administrative expenses (1)	516		516		565		482			467
Interest expense	-		-		-		1			-
Total claims and expenses	2,525		2,523		2,983		2,475			2,534
Operating income before federal income taxes	945		895		462		709			657
Income taxes	262		237		84		90			110
Operating income	$	683	$	658	$	378	$	619		$	547
Other statistics
Effective tax rate on net investment income	19.7%		19.2%		17.4%		6.3%			10.8%
Net investment income (after-tax)	$	460	$	436	$	409	$	291		$	317
Catastrophes, net of reinsurance (2):
Pre-tax	$	57	$	185	$	488	$	(24	)	$	12
After-tax	$	37	$	120	$	318	$	(16	)	$	8

(1)  In 3Q 2008, 4Q 2008 and 1Q 2009 “General and administrative expenses” includes $76 million, $(14) million, and $(26) million, respectively, of estimated hurricane-related assessments from state-created insurance and windstorm insurance entities.

(2)  In 4Q 2008, “Catastrophes, net of reinsurance” includes a net benefit from re-estimation of current year catastrophe losses.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 8

The Travelers Companies, Inc. Operating Income by Major Component and Combined Ratio - Business Insurance ($ in millions, net of tax)

	1Q		2Q		3Q			4Q		1Q
	2008		2008		2008			2008		2009
Underwriting gain (loss)	$	219	$	217	$	(35	)	$	325	$	226
Net investment income	460		436		409			291		317
Other	4		5		4			3		4
Operating income	$	683	$	658	$	378		$	619	$	547
GAAP Combined ratio (1) (2)
Loss and loss adjustment expense ratio	54.2%		54.7%		67.1%			54.6%		57.8%
Underwriting expense ratio (3)	32.4%		32.4%		34.2%			31.1%		31.2%
Combined ratio	86.6%		87.1%		101.3%			85.7%		89.0%
Impact of catastrophes on combined ratio (4)	2.1%		6.6%		17.3%			-0.8%		0.4%
Impact of prior year reserve development on combined ratio	-11.2%		-12.8%		-8.7%			-7.3%		-6.6%

(1) Before policyholder dividends.

(2) Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses.  In addition, fee income is allocated as a reduction of losses and loss adjustment expenses and underwriting expenses as follows:

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Billing and policy fees	$	3	$	4	$	3	$	4	$	4
Fee income:
Loss and loss adjustment expenses	$	43	$	30	$	58	$	13	$	20
Underwriting expenses	62		60		62		62		53
Total fee income	$	105	$	90	$	120	$	75	$	73

(3)  In 1Q 2009, the impact of changes in prior year estimates of hurricane-related assessments, which is not included in the “Impact of catastrophes on the combined ratio”, is (0.9) points.

(4)  The impact of catastrophes on the combined ratios for the three months ended September 30, 2008 and December 31, 2008 included 14.6 and (0.3) point impacts, respectively, on the loss and loss adjustment expense ratio, and 2.7 and (0.5) point impacts, respectively, on the underwriting expense ratio.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 9

The Travelers Companies, Inc. Selected Statistics - Business Insurance ($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Statutory underwriting
Gross written premiums	$	3,308	$	3,087	$	3,215	$	2,970	$	3,294
Net written premiums	$	2,911	$	2,805	$	2,748	$	2,756	$	2,963
Net earned premiums	$	2,786	$	2,781	$	2,823	$	2,790	$	2,757
Losses and loss adjustment expenses	1,517		1,576		1,868		1,509		1,592
Underwriting expenses	903		897		922		842		903
Statutory underwriting gain	366		308		33		439		262
Policyholder dividends	4		6		2		6		4
Statutory underwriting gain after policyholder dividends	$	362	$	302	$	31	$	433	$	258

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 10

The Travelers Companies, Inc. Net Written Premiums - Business Insurance ($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Net written premiums by market
Select Accounts	$	708	$	724	$	662	$	662	$	731
Commercial Accounts	673		550		635		666		710
National Accounts	246		241		240		269		259
Industry-Focused Underwriting	613		584		613		586		617
Target Risk Underwriting	423		445		366		359		422
Specialized Distribution	244		259		228		208		222
Total core	2,907		2,803		2,744		2,750		2,961
Business Insurance other	4		2		4		6		2
Total	$	2,911	$	2,805	$	2,748	$	2,756	$	2,963
Net written premiums by product line
Commercial multi-peril	$	791	$	726	$	693	$	728	$	789
Workers’ compensation	674		566		598		614		748
Commercial automobile	500		476		511		465		485
Property	482		515		433		430		463
General liability	462		520		510		519		479
Other	2		2		3		-		(1		)
Total	$	2,911	$	2,805	$	2,748	$	2,756	$	2,963
National accounts
Additions to claim volume under administration (1)	$	712	$	522	$	482	$	566	$	594
Written fees	$	103	$	80	$	85	$	77	$	85

(1)  Includes new and renewal business.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 11

The Travelers Companies, Inc. Operating Income - Financial, Professional & International Insurance ($ in millions)

	1Q		2Q		3Q		4Q			1Q
	2008		2008		2008		2008			2009
Revenues
Premiums	$	847	$	852	$	863	$	867		$	801
Net investment income	122		120		114		98			104
Other revenues	5		8		5		6			6
Total revenues	974		980		982		971			911
Claims and expenses
Claims and claim adjustment expenses	390		376		545		458			442
Amortization of deferred acquisition costs	159		163		166		164			146
General and administrative expenses (1)	144		149		149		139			138
Interest expense	-		1		1		-			-
Total claims and expenses	693		689		861		761			726
Operating income before federal income taxes	281		291		121		210			185
Income taxes	73		87		38		56			37
Operating income	$	208	$	204	$	83	$	154		$	148
Other statistics
Effective tax rate on net investment income	23.5%		23.5%		22.0%		20.6%			19.4%
Net investment income (after-tax)	$	93	$	92	$	89	$	78		$	84
Catastrophes, net of reinsurance (2):
Pre-tax	$	-	$	6	$	91	$	(13	)	$	-
After-tax	$	-	$	4	$	64	$	(10	)	$	-

(1)  In 3Q 2008, 4Q 2008 and 1Q 2009 “General and administrative expenses” includes $4 million, $(2) million, and $(1) million, respectively, of estimated hurricane-related assessments from state-created insurance and windstorm insurance entities.

(2)  In 4Q 2008, “Catastrophes, net of reinsurance” includes a net benefit from re-estimation of current year catastrophe losses.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 12

The Travelers Companies, Inc. Operating Income by Major Component and Combined Ratio - Financial, Professional & International Insurance ($ in millions, net of tax)

	1Q		2Q		3Q			4Q		1Q
	2008		2008		2008			2008		2009
Underwriting gain (loss)	$	112	$	107	$	(8	)	$	72	$	60
Net investment income	93		92		89			78		84
Other	3		5		2			4		4
Operating income	$	208	$	204	$	83		$	154	$	148
GAAP Combined ratio (1)
Loss and loss adjustment expense ratio	45.7%		43.7%		62.9%			52.3%		54.7%
Underwriting expense ratio (2)	35.7%		36.7%		36.5%			34.9%		35.5%
Combined ratio	81.4%		80.4%		99.4%			87.2%		90.2%
Impact of catastrophes on combined ratio (3)	0.0%		0.6%		10.5%			-1.6%		0.0%
Impact of prior year reserve development on combined ratio	-7.4%		-15.5%		-4.9%			-4.2%		-1.4%

(1)  Before policyholder dividends.

(2)  In 1Q 2009, the impact of changes in prior year estimates of hurricane-related assessments, which is not included in the “Impact of catastrophes on the combined ratio”, is (0.1) points.

(3)  The impact of catastrophes on the combined ratios for the three months ended September 30, 2008 and December 31, 2008 included 9.8 and (1.5) point impacts, respectively, on the loss and loss adjustment expense ratio, and 0.7 and (0.1) point impacts, respectively, on the underwriting expense ratio.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 13

The Travelers Companies, Inc. Selected Statistics - Financial, Professional & International Insurance ($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Statutory underwriting
Gross written premiums	$	946	$	1,065	$	965	$	990	$	842
Net written premiums	$	644	$	985	$	901	$	938	$	563
Net earned premiums	$	847	$	852	$	863	$	867	$	801
Losses and loss adjustment expenses	387		383		539		456		437
Underwriting expenses	311		317		299		286		286
Statutory underwriting gain	149		152		25		125		78
Policyholder dividends	3		3		2		5		4
Statutory underwriting gain after policyholder dividends	$	146	$	149	$	23	$	120	$	74

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 14

The Travelers Companies, Inc. Net Written Premiums - Financial, Professional & International Insurance ($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Net written premiums by market
Bond & Financial Products	$	378	$	621	$	643	$	586	$	350
International	266		364		258		352		213
Total	$	644	$	985	$	901	$	938	$	563
Net written premiums by product line
General liability	$	101	$	259	$	271	$	290	$	129
Fidelity & surety	239		328		341		264		186
International	266		364		258		352		213
Other	38		34		31		32		35
Total	$	644	$	985	$	901	$	938	$	563

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 15

The Travelers Companies, Inc.
Operating Income (Loss) - Personal Insurance ($ in millions)

	1Q		2Q		3Q			4Q			1Q
	2008		2008		2008			2008			2009
Revenues
Premiums	$	1,707	$	1,724	$	1,762		$	1,777		$	1,743
Net investment income	120		118		108			75			83
Other revenues	21		19		18			17			21
Total revenues	1,848		1,861		1,888			1,869			1,847
Claims and expenses
Claims and claim adjustment expenses	1,073		1,160		1,374			1,009			1,130
Amortization of deferred acquisition costs	344		347		358			361			349
General and administrative expenses (1)	181		193		281			174			170
Total claims and expenses	1,598		1,700		2,013			1,544			1,649
Operating income (loss) before federal income taxes	250		161		(125		)	325			198
Income taxes	69		39		(61		)	99			44
Operating income (loss)	$	181	$	122	$	(64	)	$	226		$	154
Other statistics
Effective tax rate on net investment income	19.1%		18.9%		17.2%			8.2%			12.0%
Net investment income (after-tax)	$	97	$	96	$	89		$	69		$	73
Catastrophes, net of reinsurance (2):
Pre-tax	$	38	$	165	$	463		$	(48	)	$	71
After-tax	$	25	$	107	$	300		$	(30	)	$	46

(1)  In 3Q 2008, 4Q 2008 and 1Q 2009 “General and administrative expenses” includes $96 million, $(19) million, and $(34) million, respectively, of estimated hurricane-related assessments from state-created insurance and windstorm insurance entities.

(2)  In 4Q 2008, “Catastrophes, net of reinsurance” includes a net benefit from re-estimation of current year catastrophe losses.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 16

The Travelers Companies, Inc.
Operating Income (Loss) by Major Component and Combined Ratio - Personal Insurance($ in millions, net of tax)

	1Q		2Q		3Q			4Q		1Q
	2008		2008		2008			2008		2009
Underwriting gain (loss)	$	70	$	14	$	(165	)	$	148	$	67
Net investment income	97		96		89			69		73
Other	14		12		12			9		14
Operating income (loss)	$	181	$	122	$	(64	)	$	226	$	154
GAAP Combined ratio (1)
Loss and loss adjustment expense ratio	62.9%		67.3%		77.9%			56.8%		64.9%
Underwriting expense ratio (2)	29.3%		30.0%		35.0%			28.8%		28.4%
Combined ratio	92.2%		97.3%		112.9%			85.6%		93.3%
Impact of catastrophes on combined ratio (3)	2.2%		9.6%		26.2%			-2.7%		4.1%
Impact of prior year reserve development on combined ratio	-1.5%		-2.2%		-2.5%			-2.1%		-3.7%

(1) Billing and policy fees, which are a component of other revenues, are allocated as a reduction of underwriting expenses. Billing and policy fees are as follows:

	1Q		2Q		3Q		4Q		1Q
	2008		2008		2008		2008		2009
Billing and policy fees	$	24	$	22	$	24	$	22	$	23

(2)  In 1Q 2009, the impact of changes in prior year estimates of hurricane-related assessments, which is not included in the “Impact of catastrophes on the combined ratio”, is (2.0) points.

(3)  The impact of catastrophes on the combined ratios for the three months ended September 30, 2008 and December 31, 2008 included 20.8 and (1.6) point impacts, respectively, on the loss and loss adjustment expense ratio, and 5.4 and (1.1) point impacts, respectively, on the underwriting expense ratio.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 17

The Travelers Companies, Inc.Selected Statistics - Personal Insurance($ in millions)

	1Q		2Q		3Q			4Q		1Q
	2008		2008		2008			2008		2009
Statutory underwriting
Gross written premiums	$	1,679	$	1,909	$	1,954		$	1,749	$	1,727
Net written premiums	$	1,633	$	1,839	$	1,832		$	1,691	$	1,677
Net earned premiums	$	1,707	$	1,724	$	1,762		$	1,777	$	1,743
Losses and loss adjustment expenses	1,074		1,159		1,374			1,009		1,130
Underwriting expenses	492		552		590			515		521
Statutory underwriting gain (loss)	$	141	$	13	$	(202	)	$	253	$	92
Policies in force (in thousands)
Automobile	2,495		2,526		2,538			2,526		2,509
Homeowners and other	4,702		4,755		4,808			4,831		4,861

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 18

The Travelers Companies, Inc.Selected Statistics - Personal Insurance (Automobile)($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Statutory underwriting
Gross written premiums	$	930		$	939		$	938		$	882		$	933
Net written premiums	$	922		$	933		$	929		$	876		$	925
Net earned premiums	$	911		$	919		$	937		$	941		$	918
Losses and loss adjustment expenses	649			637			655			674			672
Underwriting expenses	262			271			270			257			273
Statutory underwriting gain (loss)	$	-		$	11		$	12		$	10		$	(27		)
Other statistics
GAAP Combined ratio (1):
Loss and loss adjustment expense ratio	71.3%			69.3%			69.9%			71.5%			73.2%
Underwriting expense ratio	27.7%			28.6%			28.5%			28.6%			28.9%
Combined ratio	99.0%			97.9%			98.4%			100.1%			102.1%
Impact of catastrophes on combined ratio	0.0%			1.5%			0.7%			0.0%			0.9%
Catastrophe losses, net of reinsurance:
Pre-tax	$	-		$	14		$	6		$	-		$	8
After-tax	$	-		$	9		$	4		$	-		$	5
Policies in force (in thousands)	2,495			2,526			2,538			2,526			2,509
Change from prior year quarter	1.6%			2.5%			2.6%			1.9%			0.6%
Change from prior quarter	0.6%			1.2%			0.5%			-0.5%			-0.7%
(1)  Billing and policy fees, which are a component of other revenues, are allocated as a reduction of underwriting expenses.  Billing and policy fees are as follows:
	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Billing and policy fees	$		14	$		13	$		14	$		13	$		13

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 19

The Travelers Companies, Inc.Selected Statistics - Personal Insurance (Homeowners and Other)($ in millions)

	1Q		2Q		3Q			4Q			1Q
	2008		2008		2008			2008			2009
Statutory underwriting
Gross written premiums	$	749	$	970	$	1,016		$	867		$	794
Net written premiums	$	711	$	906	$	903		$	815		$	752
Net earned premiums	$	796	$	805	$	825		$	836		$	825
Losses and loss adjustment expenses	425		522		719			335			458
Underwriting expenses	230		281		320			258			248
Statutory underwriting gain (loss)	$	141	$	2	$	(214	)	$	243		$	119
Other statistics
GAAP Combined ratio (1):
Loss and loss adjustment expense ratio	53.3%		64.9%		87.1%			40.2%			55.6%
Underwriting expense ratio	31.3%		31.6%		42.4%			29.1%			27.8%
Combined ratio	84.6%		96.5%		129.5%			69.3%			83.4%
Impact of catastrophes on combined ratio	4.8%		18.8%		55.3%			-5.6%			7.6%
Catastrophe losses, net of reinsurance:
Pre-tax	$	38	$	151	$	457		$	(48	)	$	63
After-tax	$	25	$	98	$	296		$	(30	)	$	41
Policies in force (in thousands)	4,702		4,755		4,808			4,831			4,861
Change from prior year quarter	2.7%		2.7%		3.0%			3.2%			3.4%
Change from prior quarter	0.4%		1.1%		1.1%			0.5%			0.6%
(1)  Billing and policy fees, which are a component of other revenues, are allocated as a reduction of underwriting expenses. Billing and policy fees are as follows:
	1Q		2Q		3Q			4Q			1Q
	2008		2008		2008			2008			2009
Billing and policy fees	$	10	$	9	$	10		$	9		$	10

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 20

The Travelers Companies, Inc.
Interest Expense and Other
($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Revenues
Net investment income	$	-		$	-		$	-		$	-		$	-
Other revenues	2			-			-			-			-
Total revenues	2			-			-			-			-
Claims and expenses
Interest expense	90			90			94			93			92
General and administrative expenses	12			6			6			5			7
Total claims and expenses	102			96			100			98			99
Operating loss before federal income tax benefit	(100		)	(96		)	(100		)	(98		)	(99		)
Income taxes	(36		)	(30		)	(33		)	(38		)	(49		)
Operating loss	$	(64	)	$	(66	)	$	(67	)	$	(60	)	$	(50	)

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 21

The Travelers Companies, Inc.
Consolidated Balance Sheet
(in millions)

	March 31,		December 31,			March 31,			December 31,
	2009 (1)		2008			2009 (1)			2008
Assets					Liabilities
Fixed maturities, available for sale at fair value					Claims and claim adjustment expense reserves	$	54,350		$	54,723
(including $34 and $8 subject to securities					Unearned premium reserves		11,021			10,957
lending) (amortized cost $61,771 and $61,569)	$	62,503	$	61,275	Contractholder payables		6,533			6,350
Equity securities, at fair value (cost $380 and $461)		322		379	Payables for reinsurance premiums		714			528
Real estate		884		827	Debt		6,039			6,181
Short-term securities		5,673		5,222	Other liabilities		5,313			5,693
Other investments		2,771		3,035	Total liabilities		83,970			84,432
Total investments		72,153		70,738
Cash		245		350
Investment income accrued		780		823
Premiums receivable		6,032		5,954	Shareholders’ equity
Reinsurance recoverables		14,065		14,232	Preferred Stock Savings Plan - convertible preferred
Ceded unearned premiums		1,103		941	stock (0.3 shares issued and outstanding)		87			89
Deferred acquisition costs		1,778		1,774	Common stock (1,750.0 shares authorized; 585.3 and 585.1
Deferred tax asset		1,598		1,965	shares issued and outstanding)		19,290			19,242
Contractholder receivables		6,533		6,350	Retained earnings		13,805			13,314
Goodwill		3,364		3,366	Accumulated other changes in equity from nonowner sources		(232	)		(900	)
Other intangible assets		660		688	Treasury stock, at cost (129.5 and 128.8 shares)		(6,453	)		(6,426	)
Other assets		2,156		2,570	Total shareholders’ equity		26,497			25,319
Total assets	$	110,467	$	109,751	Total liabilities and shareholders’ equity	$	110,467		$	109,751

(1) Preliminary.

Page 22

The Travelers Companies, Inc.
Investment Portfolio
(at carrying value, $ in millions)

	March 31,		Pre-tax Book		December 31,			Pre-tax Book
	2009		Yield (1)		2008			Yield (1)
Investment portfolio
Taxable fixed maturities (including redeemable preferred stock)	$	22,594		5.33%	$	22,481			5.32%
Tax-exempt fixed maturities		39,909		4.12%		38,794			4.14%
Total fixed maturities		62,503		4.58%		61,275			4.59%
Non-redeemable preferred stocks		176		6.47%		219			6.35%
Common stocks		146				160
Total equity securities		322				379
Real estate		884				827
Short-term securities		5,673		0.44%		5,222			1.20%
Private equities		1,409				1,505
Hedge funds		466				531
Real estate joint ventures & other		836				886
Mortgage loans		42		6.51%		94			8.06%
Trading securities		18				19
Total other investments		2,771				3,035
Total investments	$	72,153			$	70,738
Net unrealized investment gains (losses), net of tax, included in shareholders’ equity	$	543			$	(144	)

(1)  Yields are provided for those investments with an embedded book yield.

Page 23

The Travelers Companies, Inc.
Investment Portfolio - Fixed Maturities Data
(at carrying value, $ in millions)

	March 31,		December 31,
	2009		2008
Fixed maturities
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	$	1,767	$	1,841
Obligations of states and political subdivisions		40,203		39,062
Debt securities issued by foreign governments		1,590		1,519
Mortgage-backed securities - principally obligations of U.S. Government agencies		5,880		6,059
Corporates (including redeemable preferreds)		13,063		12,794
Total fixed maturities	$	62,503	$	61,275

Fixed Maturities

Quality Characteristics (1)

	March 31, 2009
	Amount		% of Total
Quality Ratings
Aaa	$	31,121	49.8	%
Aa		20,242	32.4
A		6,741	10.8
Baa		3,113	5.0
Total investment grade		61,217	98.0
Ba		663	1.0
B		426	0.7
Caa and lower		197	0.3
Total below investment grade		1,286	2.0
Total fixed maturities	$	62,503	100.0	%
Average weighted quality		Aa1, AA+
Average duration of fixed maturities and short-term securities, net of securities lending activities and net receivables and payables on investment sales and purchases		4.2

(1)  Rated using external rating agencies or by Travelers when a public rating does not exist.  Below investment grade assets refer to securities rated “Ba” or below.

Page 24

The Travelers Companies, Inc.
Investment Income
($ in millions)

	1Q		2Q		3Q			4Q			1Q
	2008		2008		2008			2008			2009
Gross investment income
Fixed maturities	$	736	$	726	$	727		$	726		$	713
Short-term securities		52		32		36			23			10
Other		39		32		(37	)		(256	)		(175	)
		827		790		726			493			548
Investment expenses		12		12		10			10			6
Net investment income, pre-tax		815		778		716			483			542
Income taxes		165		154		129			45			68
Net investment income, after-tax	$	650	$	624	$	587		$	438		$	474
Effective tax rate		20.2%		19.8%		18.1%			9.5%			12.6%
Average invested assets (1)	$	74,733	$	74,156	$	74,256		$	73,588		$	72,720
Average yield pre-tax (1)		4.4%		4.2%		3.9%			2.6%			3.0%
Average yield after-tax		3.5%		3.4%		3.2%			2.4%			2.6%

(1)  Excludes net unrealized investment gains (losses), net of tax, and is adjusted for cash, receivables for investment sales, payables on investment purchases and accrued investment income.

Page 25

The Travelers Companies, Inc.
Net Realized and Unrealized Investment Gains (Losses)
($ in millions)

	1Q			2Q				3Q			4Q			1Q
	2008			2008				2008			2008			2009
Net realized investment gains (losses)
Fixed maturities	$	(32	)	$	6			$	(153	)	$	(192	)	$	(100	)
Equity securities	(1		)	(14			)	(28		)	(29		)	(74		)
Other (1)	(29		)	44				11			2			(40		)
Realized investment gains (losses) before tax	(62		)	36				(170		)	(219		)	(214		)
Related taxes	(21		)	12				(54		)	(81		)	(77		)
Net realized investment gains (losses)	$	(41	)	$	24			$	(116	)	$	(138	)	$	(137	)
Gross investment gains (1)	$	89		$	138			$	91		$	160		$	105
Gross investment losses before impairments (1)	(113		)	(74			)	(105		)	(181		)	(135		)
Impairments	(38		)	(28			)	(156		)	(198		)	(184		)
Realized investment gains (losses) before tax	(62		)	36				(170		)	(219		)	(214		)
Related taxes	(21		)	12				(54		)	(81		)	(77		)
Net realized investment gains (losses)	$	(41	)	$	24			$	(116	)	$	(138	)	$	(137	)
	March 31,			June 30,				September 30,			December 31,			March 31,
	2008			2008				2008			2008			2009
Net unrealized investment gains (losses), net of tax, by asset type
Fixed maturities	$	695		$	(73		)	$	(1,406	)	$	(294	)	$	732
Equity securities & other	168			159				115			41			71
Unrealized investment gains (losses) before tax	863			86				(1,291		)	(253		)	803
Related taxes	287			23				(473		)	(109		)	260
Balance, end of period	$	576		$		63		$	(818	)	$	(144	)	$	543
(1)  Includes the following gross investment gains and gross investment losses related to U.S. Treasury futures, which are settled daily:
Gross investment Treasury future gains	$	42		$	49			$	48		$	51		$	76
Gross investment Treasury future losses	$	56		$	39			$	52		$	96		$	76

The Company entered into these arrangements as part of its strategy to shorten the duration of the fixed maturity portfolio.  In a changing interest rate environment, the change in the value of the futures contracts can be expected to partially offset changes in the value of the fixed maturity portfolio.

Page 26

The Travelers Companies, Inc.
Reinsurance Recoverables
($ in millions)

		March 31,			December 31,
		2009			2008
Gross reinsurance recoverables on paid and unpaid claims and claim adjustment expenses		$	9,230		$	9,376
Allowance for uncollectible reinsurance			(607	)		(618	)
Net reinsurance recoverables			8,623			8,758
Mandatory pools and associations			1,939			1,957
Structured settlements			3,503			3,517
Total reinsurance recoverables		$	14,065		$	14,232
The Company’s top five reinsurer groups, including retroactive reinsurance, by reinsurance recoverable is as follows:
	A.M. Best Rating of Group’s	March 31,			December 31,
Reinsurer	Predominant Reinsurer	2009			2008
Swiss Re Group	A  third highest of 16 ratings	$	968		$	1,009
Munich Re Group	A+  second highest of 16 ratings		796			831
Transatlantic Holdings, Inc. (1)	A  third highest of 16 ratings		504			495
Berkshire Hathaway Group	A++ highest of 16 ratings		469			495
XL Capital Group	A  third highest of 16 ratings		460			465

The gross reinsurance recoverables on paid and unpaid claims and claim adjustment expenses represent the current and estimated future amounts due from reinsurers on known and unasserted claims.  The ceded reserves are estimated in a manner consistent with the underlying direct and assumed reserves.  Although this total comprises recoverables due from nearly one thousand different reinsurance entities, about half is attributable to 10 reinsurer groups.

The net reinsurance recoverables reflect an allowance for uncollectible reinsurance that is based upon the Company’s ongoing review of amounts outstanding, reinsurer solvency, the Company’s experience, current economic conditions, and other relevant factors.  Of the total net recoverables due from reinsurers at March 31, 2009, after deducting mandatory pool and structured settlement balances, $6.8 billion, or 79%, were rated by A.M. Best Company.  Of the total rated by A.M. Best Company, 99% were rated A- or better.  The remaining 21% net recoverables from reinsurers were comprised of the following:  7% related to the Company’s participation in voluntary pools, 9% related to recoverables from captive insurance companies and 5% were balances from other companies not rated by A.M. Best Company.  In addition, $2.5 billion of the net recoverables were collateralized by letters of credit, funds held and trust agreements at March 31, 2009.

The mandatory pools and associations represent various involuntary assigned risk pools that the Company is required to participate in.  These pools principally involve workers’ compensation and automobile insurance, which provide various insurance coverages to insureds that otherwise are unable to purchase coverage in the open market.  The costs of these mandatory pools in most states are usually charged back to the participating members in proportion to voluntary writings of related business in that state.  In the event that a member of the pool becomes insolvent, the remaining members assume an additional pro rata share of the pool’s liabilities.

The structured settlements represent recoverables from annuities that were purchased from life insurance companies to settle personal physical injury claims, with workers’ compensation claims comprising a significant proportion.  In cases where the Company did not receive a release from the claimant, the Company retains the liability to the claimant in the event that the life insurance company fails to pay; accordingly, the Company continues to report the amount due from the life insurance company as a liability and as a recoverable for GAAP purposes. The Company’s top five groups by structured settlement is as follows:

	A.M. Best Rating of Group’s	March 31,		December 31,
Group	Predominant Insurer	2009		2008
Old Mutual	A-  fourth highest of 16 ratings	$	1,069	$	1,075
Metlife	A+  second highest of 16 ratings		547		554
Genworth	A  third highest of 16 ratings		479		485
Symetra	A  third highest of 16 ratings		294		296
ING Group	A  third highest of 16 ratings		239		242

Page 27

The Travelers Companies, Inc.
Net Reserves for Losses and Loss Adjustment Expense
($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Business Insurance
Beginning of period	$	34,021		$	33,718		$	33,649		$	33,310		$	32,270
Incurred	1,517			1,576			1,868			1,509			1,592
Paid	(1,736		)	(1,696		)	(2,148		)	(1,683		)	(1,816		)
Acquired (sold) reserves, foreign exchange and other (1)	(84		)	51			(59		)	(866		)	(3		)
End of period	$	33,718		$	33,649		$	33,310		$	32,270		$	32,043
Financial, Professional & International Insurance
Beginning of period	$	5,520		$	5,590		$	5,650		$	5,703		$	5,397
Incurred	387			383			539			456			437
Paid	(324		)	(294		)	(324		)	(468		)	(309		)
Acquired (sold) reserves, foreign exchange and other	7			(29		)	(162		)	(294		)	(22		)
End of period	$	5,590		$	5,650		$	5,703		$	5,397		$	5,503
Personal Insurance
Beginning of period	$	3,527		$	3,532		$	3,586		$	3,835		$	3,640
Incurred	1,074			1,159			1,374			1,009			1,130
Paid	(1,069		)	(1,105		)	(1,125		)	(1,204		)	(1,160		)
End of period	$	3,532		$	3,586		$	3,835		$	3,640		$	3,610
Total
Beginning of period	$	43,068		$	42,840		$	42,885		$	42,848		$	41,307
Incurred	2,978			3,118			3,781			2,974			3,159
Paid	(3,129		)	(3,095		)	(3,597		)	(3,355		)	(3,285		)
Acquired (sold) reserves, foreign exchange and other (1)	(77		)	22			(221		)	(1,160		)	(25		)
End of period	$	42,840		$	42,885		$	42,848		$	41,307		$	41,156
Prior Year Reserve Development:  Unfavorable (Favorable)
Business Insurance
Asbestos	$	-		$	-		$	70		$	-		$	-
Environmental	-			85			-			-			-
All other	(312		)	(442		)	(317		)	(205		)	(182		)
Prior year development excluding accretion of discount	(312		)	(357		)	(247		)	(205		)	(182		)
Accretion of discount	15			16			15			14			14
Total Business Insurance	(297		)	(341		)	(232		)	(191		)	(168		)
Financial, Professional & International Insurance	(63		)	(132		)	(43		)	(36		)	(12		)
Personal Insurance	(25		)	(37		)	(44		)	(37		)	(64		)
Total	$	(385	)	$	(510	)	$	(319	)	$	(264	)	$	(244	)

(1)  Reflects the sale of Unionamerica Holdings, Ltd. in 4Q 2008, decreasing net reserves by $790 million in Business Insurance.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 28

The Travelers Companies, Inc.
Asbestos and Environmental Reserves
($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Asbestos reserves
Beginning reserves:
Direct	$	4,353		$	4,272		$	4,184	��	$	3,728		$	3,299
Ceded	(619		)	(600		)	(588		)	(501		)	(385		)
Net	3,734			3,672			3,596			3,227			2,914
Incurred losses and loss expenses:
Direct	-			-			70			-			-
Ceded	-			-			-			-			-
Losses paid:
Direct (1)	81			88			526			99			83
Ceded	(19		)	(12		)	(87		)	(18		)	(22		)
Sale of subsidiary: (2)
Direct	-			-			-			330			-
Ceded	-			-			-			(98		)	-
Ending reserves:
Direct	4,272			4,184			3,728			3,299			3,216
Ceded	(600		)	(588		)	(501		)	(385		)	(363		)
Net	$	3,672		$	3,596		$	3,227		$	2,914		$	2,853
Environmental reserves
Beginning reserves:
Direct	$	478		$	450		$	499		$	472		$	400
Ceded	12			12			12			13			14
Net	490			462			511			485			414
Incurred losses and loss expenses:
Direct	-			85			-			-			-
Ceded	-			-			-			-			-
Losses paid:
Direct	28			36			27			32			22
Ceded	-			-			(1		)	6			-
Sale of subsidiary: (2)
Direct	-			-			-			40			-
Ceded	-			-			-			(7		)	-
Ending reserves:
Direct	450			499			472			400			378
Ceded	12			12			13			14			14
Net	$	462		$	511		$	485		$	414		$	392

(1)  Third quarter of 2008 includes the final payment in connection with the ACandS settlement.

(2)  In December 2008, the Company completed the sale of its subsidiary Unionamerica Holdings, Ltd.

See Glossary of Financial Measures and Description of Reportable Business Segments on page 34.

Page 29

The Travelers Companies, Inc.
Capitalization
($ in millions)

	March 31,			December 31,
Debt	2009			2008
Short-term debt
Commercial paper	$	100		$	100
Zero coupon convertible notes due March 3, 2009, effective yield 4.17%		-			140
7.81% Private placement note due September 16, 2009		2			2
Total short-term debt		102			242
Long-term debt
8.125% Senior notes due April 15, 2010 (1)		250			250
7.415% Medium-term notes due August 23, 2010		21			21
7.22% Real estate non-recourse debt due September 1, 2011		9			9
7.81% Private placement notes due on various dates through 2011		4			4
5.375% Senior notes due June 15, 2012 (1)		250			250
5.00% Senior notes due March 15, 2013 (1)		500			500
5.50% Senior notes due December 1, 2015		400			400
6.25% Senior notes due June 20, 2016 (1)		400			400
5.75% Senior notes due December 15, 2017 (1)		450			450
5.80% Senior notes due May 15, 2018 (1)		500			500
7.75% Senior notes due April 15, 2026		200			200
7.625% Junior subordinated debentures due December 15, 2027		125			125
6.375% Senior notes due March 15, 2033 (1)		500			500
6.75% Senior notes due June 20, 2036 (1)		400			400
6.25% Senior notes due June 15, 2037 (1)		800			800
8.50% Junior subordinated debentures due December 15, 2045		56			56
8.312% Junior subordinated debentures due July 1, 2046		73			73
6.25% Fixed-to-floating rate junior subordinated debentures due March 15, 2067		1,000			1,000
Total long-term debt		5,938			5,938
Unamortized fair value adjustment		66			68
Unamortized debt issuance costs		(67	)		(67	)
		5,937			5,939
Total debt		6,039			6,181
Preferred equity		87			89
Common equity (excluding net unrealized investment gains (losses), net of tax)		25,867			25,374
Total capital	$	31,993		$	31,644
Total debt to capital		18.9%			19.5%

(1)  Redeemable anytime with “make-whole” premium.

Page 30

The Travelers Companies, Inc.
Statutory to GAAP Shareholders’ Equity Reconciliation
($ in millions)

	March 31,			December 31,
	2009 (1)			2008
Statutory capital and surplus	$	21,561		$	21,491
GAAP adjustments
Goodwill and intangible assets		3,822			3,841
Investments		1,239			342
Noninsurance companies		(3,407	)		(3,924	)
Deferred acquisition costs		1,778			1,774
Deferred federal income tax		353			699
Current federal income tax		(83	)		(86	)
Reinsurance recoverables		295			295
Furniture, equipment & software		559			526
Employee benefits		35			40
Agents balances		121			122
Other		224			199
Total GAAP adjustments		4,936			3,828
GAAP shareholders’ equity	$	26,497		$	25,319

(1) Estimated and Preliminary

Page 31

The Travelers Companies, Inc.
Statement of Cash Flows - Preliminary
($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Cash flows from operating activities
Net income	$	967		$	942		$	214		$	801		$	662
Adjustments to reconcile net income to net cash provided by operating activities:
Net realized investment (gains) losses		62			(36	)		170			219			214
Depreciation and amortization		213			201			213			194			206
Deferred federal income tax expense (benefit)		(8	)		34			23			(107	)		22
Amortization of deferred acquisition costs		954			961			990			975			944
Equity in (income) loss from other investments		(17	)		(16	)		67			278			194
Premiums receivable		(28	)		(177	)		158			213			(78	)
Reinsurance recoverables		272			10			251			676			167
Deferred acquisition costs		(968	)		(991	)		(991	)		(895	)		(948	)
Claims and claim adjustment expense reserves		(386	)		(38	)		(249	)		(1,360	)		(373	)
Unearned premium reserves		15			97			38			(420	)		64
Trading account activities		2			5			(2	)		6			1
Excess tax benefits from share-based payment arrangements		(4	)		(3	)		(1	)		(2	)		(1	)
Other		(147	)		(285	)		61			(13	)		(261	)
Net cash provided by operating activities		927			704			942			565			813
Cash flows from investing activities
Proceeds from maturities of fixed maturities		1,604			1,084			982			1,199			1,210
Proceeds from sales of investments:
Fixed maturities		1,044			1,405			1,139			3,344			630
Equity securities		12			24			11			6			16
Real estate		-			25			-			-			-
Other investments		246			178			123			108			92
Purchases of investments:
Fixed maturities		(2,350	)		(2,063	)		(2,222	)		(4,492	)		(2,265	)
Equity securities		(21	)		(25	)		(43	)		(6	)		(12	)
Real estate		(9	)		(16	)		(6	)		(7	)		(5	)
Other investments		(123	)		(162	)		(242	)		(140	)		(112	)
Net (purchases) sales of short-term securities		320			(667	)		407			(466	)		(451	)
Securities transactions in course of settlement		43			31			(461	)		69			398
Other		(72	)		(91	)		(104	)		222			(84	)
Net cash provided by (used in) investing activities		694			(277	)		(416	)		(163	)		(583	)

Page 32

The Travelers Companies, Inc.
Statement of Cash Flows - Preliminary (Continued)
($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2008			2008			2008			2008			2009
Cash flows from financing activities
Issuance of debt		-			496			-			-			-
Payment of debt		(400	)		-			(3	)		(149	)		(141	)
Dividends paid to shareholders		(179	)		(180	)		(177	)		(179	)		(178	)
Issuance of common stock - employee share options		15			44			13			17			10
Treasury stock acquired - share repurchase authorization		(1,000	)		(765	)		(290	)		(112	)		-
Treasury stock acquired - net employee share-based compensation		(26	)		(2	)		-			(1	)		(27	)
Excess tax benefits from share-based payment arrangements		4			3			1			2			1
Net cash used in financing activities		(1,586	)		(404	)		(456	)		(422	)		(335	)
Effect of exchange rate changes on cash		2			(2	)		(12	)		(17	)		-
Net increase (decrease) in cash		37			21			58			(37	)		(105	)
Cash at beginning of period		271			308			329			387			350
Cash at end of period	$	308		$	329		$	387		$	350		$	245
Income taxes paid	$	78		$	637		$	117		$	9		$	34
Interest paid	$	72		$	112		$	64		$	127		$	63

Page 33

The Travelers Companies, Inc.
Financial Supplement - First Quarter 2009
Glossary of Financial Measures and Description of Reportable Business Segments

The following measures are used by the Company’s management to evaluate financial performance against historical results and establish targets on a consolidated basis.  In some cases, these measures are considered non-GAAP financial measures under applicable SEC rules because they are not displayed as separate line items in the consolidated statement of income or required to be disclosed in the notes to financial statements, and in some cases, include or exclude certain items not ordinarily included or excluded in the most comparable GAAP financial measure. In the opinion of the Company’s management, a discussion of these measures provides investors with a better understanding of the significant factors that comprise the Company’s periodic results of operations and how management evaluates the Company’s financial performance.

Operating income (loss) is net income (loss) excluding the after-tax impact of net realized investment gains (losses).  Operating income (loss) per share is operating income (loss) on a per share basis.

Return on equity is the ratio of net income to average equity.  Operating return on equity is the ratio of operating income to average equity excluding net unrealized investment gains and losses, net of tax.

In the opinion of the Company’s management, operating income, operating income per share and operating return on equity are meaningful indicators of underwriting and operating results.  These measures exclude net realized investment gains or losses which can be significantly impacted by both discretionary and other economic factors and are not necessarily indicative of operating trends.  Internally, the Company’s management uses operating income, operating income per share and operating return on equity to evaluate performance against historical results and establish financial targets on a consolidated basis.

Underwriting gain (loss) is net earned premiums and fee income less claims and claim adjustment expenses and insurance-related expenses.

A catastrophe is a severe loss, resulting from natural and man-made events, including risks such as fire, earthquake, windstorm, explosion, terrorism and other similar events.  Each catastrophe has unique characteristics, and catastrophes are not predictable as to timing or amount.  Their effects are included in net and operating income and claims and claim adjustment expense reserves upon occurrence.  A catastrophe may result in the payment of reinsurance reinstatement premiums and assessments from various pools.  In the opinion of the Company’s management, a discussion of the impact of catastrophes is meaningful for investors to understand variability in periodic earnings.

Loss reserve development is the increase or decrease in incurred claims and claim adjustment expenses as a result of the re-estimation of claims and claim adjustment expense reserves at successive valuation dates for a given group of claims.  Loss reserve development may be related to one or more prior years or the current year.  In the opinion of the Company’s management, discussion of loss reserve development is useful to investors as it allows them to assess the impact between prior and current year development on incurred claims and claim adjustment expenses, net and operating income, and changes in claims and claim adjustment expense reserve levels from period to period.

GAAP combined ratio is the sum of the loss and loss adjustment expense ratio (loss and LAE ratio), the underwriting expense ratio and, where applicable, the ratio of dividends to policyholders to net premiums earned.  For GAAP, the loss and LAE ratio is the ratio of incurred losses and loss adjustment expenses reduced by an allocation of fee income to net earned premiums.  The underwriting expense ratio is the ratio of underwriting expenses incurred reduced by an allocation of fee income, and billing and policy fees to net earned premiums. A GAAP combined ratio under 100% generally indicates an underwriting profit. A GAAP combined ratio over 100% generally indicates an underwriting loss. The GAAP combined ratio is an operating statistic that includes GAAP measures in the numerator and the denominator.

Gross written premiums reflect the direct and assumed contractually determined amounts charged to the policyholders for the effective period of the contract based on the terms and conditions of the insurance contract.  Gross written premiums are a measure of overall business volume.  Net written premiums reflect gross written premiums less premiums ceded to reinsurers.

Book value per share is total common shareholders’ equity divided by the number of common shares outstanding.  Adjusted book value per share is total common shareholders’ equity excluding the after-tax impact of net unrealized investment gains and losses (i.e., excluding FAS 115), divided by the number of common shares outstanding. In the opinion of the Company’s management, adjusted book value is useful in an analysis of a property casualty company’s book value as it removes the effect of changing prices on invested assets, (i.e., net unrealized investment gains (losses), net of tax) which do not have an equivalent impact on unpaid claims and claim adjustment expense reserves.

Travelers has organized its businesses into the following reportable business segments:

Business Insurance - The Business Insurance segment offers a broad array of property and casualty insurance and insurance-related services to its clients primarily in the United States.  Business Insurance is organized into the following six groups, which collectively comprise Business Insurance Core operations: Select Accounts; Commercial Accounts; National Accounts; Industry-Focused Underwriting including Construction, Technology, Public Sector Services, Oil & Gas, Aviation, and Agribusiness; Target Risk Underwriting including National Property, Inland Marine, Ocean Marine, Excess Casualty, Boiler & Machinery, and Global Accounts; and Specialized Distribution including Northland and National Programs.  Business Insurance also includes the Special Liability Group (which manages the Company’s asbestos and environmental liabilities) and the assumed reinsurance, healthcare and certain international and other runoff operations, which collectively are referred to as Business Insurance Other.

Financial, Professional & International Insurance - The Financial, Professional & International Insurance segment includes surety and financial liability coverages, which require a primarily credit-based underwriting process, as well as property and casualty products that are primarily marketed on a domestic basis in the United Kingdom, Ireland and Canada, and on an international basis through Lloyd’s.  The businesses in Financial, Professional & International Insurance are Bond & Financial Products and International.

Personal Insurance - The Personal Insurance segment writes virtually all types of property and casualty insurance covering personal risks.  The primary coverages in this segment are personal automobile and homeowners insurance sold to individuals.

Page 34