Erie Indemnity (ERIE) 8-K Erie Indemnity Company Reports Strong Fourth Quarter Net Operating Income and Announces Management Change

Exhibit 99.2

ERIE INDEMNITY COMPANY

CONSOLIDATED STATEMENTS OF OPERATIONS

(dollars in thousands, except per share data)

	Three			Three		Twelve			Twelve
	months			months		months			months
	ended			ended		ended			ended
	December 31,			December 31,		December 31,			December 31,
	2007			2006		2007			2006
Operating revenue
Management fee revenue, net	$	204,549		$	202,348	$	894,981		$	891,071
Premiums earned		51,574			52,797		207,562			213,665
Service agreement revenue		7,562			7,738		29,748			29,246
Total operating revenue		263,685			262,883		1,132,291			1,133,982
Operating expenses
Cost of management operations		178,873			179,897		755,642			742,526
Losses and loss adjustment expenses incurred		33,114			38,369		125,903			139,630
Policy acquisition and other underwriting expenses		12,131			13,143		48,909			52,048
Total operating expenses		224,118			231,409		930,454			934,204
Investment income – unaffiliated
Investment income, net of expenses		12,483			14,102		52,833			55,920
Net realized (losses) gains on investments		(12,742	)		2,056		(5,192	)		1,335
Equity in earnings of limited partnerships		12,823			12,717		59,690			41,766
Total investment income – unaffiliated		12,564			28,875		107,331			99,021
Income before income taxes and equity in (losses) earnings of Erie Family Life Insurance Company		52,131			60,349		309,168			298,799
Provision for income taxes		19,370			16,542		99,137			99,055
Equity in (losses) earnings of Erie Family Life Insurance Company, net of tax		(159	)		1,712		2,914			4,281
Net income	$	32,602		$	45,519	$	212,945		$	204,025
Net income per share:
Class A common stock – basic	$	0.61		$	0.78	$	3.80		$	3.45
Class A common stock – diluted		0.55			0.71		3.43			3.13
Class B common stock – basic and diluted		90.23			119.65		572.98			524.87
Weighted average shares outstanding:
Class A common stock – basic		53,550,013			57,782,967		55,928,177			58,827,987
Class A common stock – diluted		59,689,852			64,000,388		62,096,816			65,256,608
Class B common stock – basic and diluted		2,551			2,573		2,563			2,661
Dividends declared per share:
Class A common stock	$	0.44		$	0.40	$	1.64		$	1.48
Class B common stock		66.00			60.00		246.00			222.00

1

ERIE INDEMNITY COMPANY

CONSOLIDATED STATEMENTS OF OPERATIONS — SEGMENT BASIS

(amounts in thousands, except per share data)

	Three			Three		Twelve			Twelve
	months			months		months			months
	ended			ended		ended			ended
	December 31,			December 31,		December 31,			December 31,
	2007			2006		2007			2006
Management Operations
Management fee revenue	$	216,332		$	214,067	$	947,023		$	942,845
Service agreement revenue		7,562			7,738		29,748			29,246
Total revenue from management operations		223,894			221,805		976,771			972,091
Cost of management operations		189,220			190,332		799,597			785,683
Income from management operations		34,674			31,473		177,174			186,408
Insurance Underwriting Operations
Premiums earned		51,574			52,797		207,562			213,665
Losses and loss adjustment expenses incurred		33,114			38,369		125,903			139,630
Policy acquisition and other underwriting expenses		13,567			14,427		56,996			60,665
Total losses and expenses		46,681			52,796		182,899			200,295
Underwriting income		4,893			1		24,663			13,370
Investment Operations
Investment income, net of expenses		12,483			14,102		52,833			55,920
Net realized (losses) gains on investments		(12,742	)		2,056		(5,192	)		1,335
Equity in earnings of limited partnerships		12,823			12,717		59,690			41,766
Equity in (losses) earnings of Erie Family Life Insurance Company		(171	)		1,841		3,133			4,604
Net revenue from investment operations		12,393			30,716		110,464			103,625
Income before income taxes		51,960			62,190		312,301			303,403
Provision for income taxes		19,358			16,671		99,356			99,378
Net income	$	32,602		$	45,519	$	212,945		$	204,025
Net income per share – Class A basic	$	0.61		$	0.78	$	3.80		$	3.45
Net income per share – Class A diluted		0.55			0.71		3.43			3.13
Net income per share – Class B basic and diluted		90.23			119.65		572.98			524.87
Weighted average shares outstanding - Class A diluted		59,690			64,000		62,097			65,257

Amounts presented on a segment basis are gross of intercompany/intersegment items.

2

ERIE INDEMNITY COMPANY

RECONCILIATION OF OPERATING INCOME TO NET INCOME

Definition on Non-GAAP and Operating Measures

We believe that investors’ understanding of our performance is enhanced by the disclosure of the following non-GAAP financial measure. Our method of calculating this measure may differ from those used by other companies and therefore comparability may be limited.

Operating incomeis net income excluding realized capital gains and losses and related federal income taxes. Equity in earnings or losses of Erie Family Life Insurance Company and equity in earnings or losses of limited partnerships are not excluded from the calculation of operating income. Both of these categories include the respective investment’s realized capital gains and losses, as well as unrealized gains and losses, as these investments are accounted for under the equity method.

Net income is the GAAP measure that is most directly comparable to operating income.

We use operating income to evaluate the results of operations. It reveals trends in our management services, insurance underwriting and investment operations that may be obscured by the net effects of realized capital gains and losses. Realized capital gains and losses may vary significantly between periods and are generally driven by business decisions and economic developments such as capital market condition, the timing of which is unrelated to management services and the insurance underwriting processes. We believe it is useful for investors to evaluate these components separately and in the aggregate when reviewing our performance. We are aware that the price to earnings multiple commonly used by investors as a forward-looking valuation technique uses operating income as the denominator. Operating income should not be considered as a substitute for net income and does not reflect our overall profitability.

The following table reconciles operating income and net income for the periods ended December 31, 2007 and 2006:

	Three			Three			Twelve			Twelve
	months ended			months ended			months ended			months ended
	December 31,			December 31,			December 31,			December 31,
	2007			2006			2007			2006
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
(in thousands, except per share data)
Operating income	$	40,884		$	44,183		$	216,320		$	203,157
Net realized (losses) gains on investments		(12,742	)		2,056			(5,192	)		1,335
Income tax benefit (expense) on realized (losses) gains		4,460			(720	)		1,817			(467	)
Realized (losses) gains, net of income taxes		(8,282	)		1,336			(3,375	)		868
Net income	$	32,602		$	45,519		$	212,945		$	204,025
	Three			Three			Twelve			Twelve
	months ended			months ended			months ended			months ended
	December 31,			December 31,			December 31,			December 31,
		2007			2006			2007			2006
Per Class A Share – Diluted	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Operating income	$	0.69		$	0.69		$	3.48		$	3.12
Net realized (losses) gains on investments		(0.21	)		0.03			(0.08	)		0.02
Income tax benefit (expense) on realized (losses) gains		0.07			(0.01	)		0.03			(0.01	)
Realized (losses) gains, net of income taxes		(0.14	)		0.02			(0.05	)		0.01
Net income	$	0.55		$	0.71		$	3.43		$	3.13

3

ERIE INDEMNITY COMPANY

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(amounts in thousands, except per share data)

	December 31,		December 31,
	2007		2006
ASSETS
Investments
Fixed maturities	$	703,406	$	836,738
Equity securities
Preferred stock		110,180		133,401
Common stock		108,090		117,246
Other invested assets		297,059		235,672
Total investments		1,218,735		1,323,057
Cash and cash equivalents		31,070		60,241
Equity in Erie Family Life Insurance Company		59,046		57,162
Premiums receivable from policyholders		243,612		247,187
Receivables from affiliates		1,177,830		1,238,852
Other assets		148,330		112,862
Total assets	$	2,878,623	$	3,039,361
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Unpaid losses and loss adjustment expenses	$	1,026,531	$	1,073,570
Unearned premiums		421,263		424,282
Other liabilities		379,550		379,661
Total liabilities		1,827,344		1,877,513
Total shareholders’ equity		1,051,279		1,161,848
Total liabilities and shareholders’ equity	$	2,878,623	$	3,039,361
Book value per share	$	17.68	$	18.17
Shares outstanding		59,461		63,952

4

ERIE INDEMNITY COMPANY
RECONCILIATION OF PROPERTY AND CASUALTY GROUP TO INDEMNITY RESULTS

	Three			Three			Twelve			Twelve
	months ended			months ended			months ended			months ended
	December 31,			December 31,			December 31,			December 31,
	2007			2006			2007			2006
(dollars in thousands)
Property and Casualty Group Insurance Underwriting Operations (SAP Basis)
Direct underwriting results
Direct written premium	$	856,926		$	860,878		$	3,784,891		$	3,803,414
Premiums earned		926,876			937,324			3,786,603			3,883,694
Loss and loss adjustment expenses incurred		632,764			720,010			2,294,964			2,530,240
Policy acquisition and other underwriting expenses		236,998			252,601			1,048,510			1,110,923
Total losses and expenses		869,762			972,611			3,343,474			3,641,163
Direct underwriting income (loss)		57,114			(35,287	)		443,129			242,531
Nonaffiliated reinsurance underwriting results
Assumed voluntary-less ceded retrocessions		19,125			6,701			12,234			16,392
Assumed involuntary		(1,468	)		(696	)		15,009			1,905
Less: Ceded		(4,202	)		(24,158	)		16,281			(6,598	)
Nonaffiliated reinsurance underwriting income		21,859			30,163			10,962			24,895
Net Underwriting income (loss) (SAP Basis)	$	78,973		$	(5,124	)	$	454,091		$	267,426
Erie Indemnity Insurance Underwriting Operations (SAP to GAAP Basis)
Percent of pool assumed by the Indemnity Company		5.50	%		5.50	%		5.50	%		5.50	%
Indemnity preliminary underwriting income (loss) (SAP Basis)	$	4,344		$	(282	)	$	24,975		$	14,708
Excess-of-loss changes to recoveries under the agreement		0			(181	)		0			(1,027	)
SAP to GAAP adjustments		549			464			(312	)		(311	)
Indemnity Underwriting income before tax (GAAP Basis)	$	4,893		$	1		$	24,663		$	13,370
Property & Casualty Group (SAP Basis)
Net basis:
Loss and LAE ratio		66.0	%		74.0	%		60.5	%		64.8	%
Underwriting ratio		26.9			26.9			27.0			28.2
Policyholder dividends ratio		0.2			1.6			0.2			0.5
Statutory combined ratio		93.1			102.5			87.7			93.5
Adjusted combined ratio, excluding profit component		89.9			99.8			83.8			89.4
Direct business:
Loss ratio points from prior accident year reserve development – deficiency (redundancy)		1.2			4.2			(5.3	)		(1.9	)
Loss ratio points from prior accident years from salvage and subrogation recoveries collected		(0.9	)		(0.8	)		(1.7	)		(1.6	)
Total loss ratio points from prior accident years		0.3			3.4			(7.0	)		(3.5	)
Loss ratio points from catastrophes		0.9			5.0			1.7			4.0
Erie Indemnity Company
GAAP combined ratio		90.5			100.0			88.1			93.7
GAAP loss ratio points from catastrophes		0.9			4.9			1.7			4.0

SAP Basis represents statutory accounting principles as codified by the National Association of Insurance Commissioners (NAIC).

5Selected financial data of Erie Insurance Exchange:

The selected financial data below is derived from the Erie Insurance Exchange’s financial statements prepared in accordance with Statutory Accounting Principles. In the opinion of management, all adjustments consisting only of normal recurring accruals, considered necessary for a fair presentation have been included. The financial data set forth below is only a summary.

	Three		Three			Twelve		Twelve
	months ended		months ended			months ended		months ended
	December 31,		December 31,			December 31,		December 31,
	2007		2006			2007		2006
(in thousands)
Statutory Accounting Basis
Premiums earned	$	869,867	$	890,510		$	3,572,189	$	3,675,705
Losses, LAE and underwriting expenses		795,191		895,146			3,142,990		3,421,997
Net underwriting income (loss)		74,676		(4,636	)		429,199		253,708
Total investment income		103,573		202,017			563,087		480,771
Income before income taxes		178,249		197,381			992,286		734,479
Federal income tax expense		87,912		59,259			372,209		229,709
Net income	$	90,337	$	138,122		$	620,077	$	504,770

	As of		As of
	December 31,		December 31,
	2007		2006
(in thousands)
Statutory Accounting Basis
Cash and invested assets	$	8,927,997	$	8,494,655
Other assets		1,033,852		1,021,489
Total assets	$	9,961,849	$	9,516,144
Loss, loss adjustment expense and
unearned premium reserves	$	4,848,549	$	4,993,365
Other liabilities		345,776		435,683
Total liabilities		5,194,325		5,429,048
Policyholders’ surplus		4,767,524		4,087,096
Total liabilities and policyholders’ surplus	$	9,961,849	$	9,516,144

6

Management fee revenue by major lines of business – Segment basis:

	Three months			Three months						Twelve months			Twelve months
	ended			ended						ended			ended
	December 31,			December 31,			%			December 31,			December 31,			%
	2007			2006			Change			2007			2006			Change
(in thousands)
Private passenger auto	$	103,040		$	101,723			1.3	%	$	450,651		$	448,514			0.5	%
Homeowners		42,973			41,986			2.4			183,221			179,477			2.1
Commercial multi-peril		24,537			24,454			0.3			108,907			109,040			-0.1
Commercial auto		17,500			17,757			-1.4			78,963			79,693			-0.9
Workers’ compensation		14,882			16,603			-10.4			76,641			79,877			-4.1
All other lines of business		11,300			10,544			7.2			47,840			44,744			6.9
		214,232			213,067			0.5			946,223			941,345			0.5
Change in allowance for management fee returned on cancelled policies		2,100			1,000						800			1,500
Management fee revenue, net of allowance	$	216,332		$	214,067			1.1	%	$	947,023		$	942,845			0.4	%
Management fee rate		25.00	%		24.75	%					25.00	%		24.75	%

7

Growth rates of policies in force for Property and Casualty Group insurance operations by major lines of business:

	Private		12-mth.					12-mth.					12-mth.			Total		12-mth.
	Passenger		growth					growth			All Other		growth			Personal		growth
Date	Auto		rate			Homeowners		rate			Personal Lines		rate			Lines		rate
12/31/2005		1,640,563		(1.8	)%		1,353,912		0.5	%		286,604		2.7	%		3,281,079		(0.5	)%
03/31/2006		1,636,048		(1.6	)		1,356,885		1.0			289,964		3.6			3,282,897		(0.1	)
06/30/2006		1,637,472		(1.3	)		1,366,633		1.2			294,409		4.2			3,298,514		0.2
09/30/2006		1,636,947		(0.9	)		1,373,763		1.4			298,361		4.6			3,309,071		0.5
12/31/2006		1,633,882		(0.4	)		1,377,965		1.8			301,497		5.2			3,313,344		1.0
03/31/2007		1,635,714		0.0			1,384,856		2.1			305,591		5.4			3,326,161		1.3
06/30/2007		1,644,561		0.4			1,398,034		2.3			311,761		5.9			3,354,356		1.7
09/30/2007		1,649,801		0.8			1,408,114		2.5			316,786		6.2			3,374,701		2.0
12/31/2007		1,651,234		1.1			1,413,712		2.6			321,431		6.6			3,386,377		2.2

			12-mth.			CML*		12-mth.					12-mth.					12-mth.			Total		12-mth.
	CML*		growth			Multi-		growth			Workers’		growth			All Other		growth			CML*		growth
Date	Auto		rate			Peril		rate			Comp.		rate			CML* Lines		rate			Lines		rate
12/31/2005		118,728		1.2	%		213,347		1.8	%		56,218		(4.6	)%		90,227		2.7	%		478,520		1.0	%
03/31/2006		118,587		1.0			214,461		2.3			55,254		(4.7	)		90,301		2.8			478,603		1.2
06/30/2006		119,471		0.9			217,134		2.4			54,871		(4.4	)		91,568		2.9			483,044		1.3
09/30/2006		119,555		0.8			217,763		2.3			54,379		(4.4	)		92,687		2.9			484,384		1.2
12/31/2006		119,801		0.9			218,542		2.4			53,923		(4.1	)		92,687		2.7			484,953		1.3
03/31/2007		119,907		1.1			219,300		2.3			53,498		(3.2	)		92,857		2.8			485,562		1.5
06/30/2007		121,587		1.8			223,670		3.0			53,955		(1.7	)		94,612		3.3			493,824		2.2
09/30/2007		122,154		2.2			226,302		3.9			54,341		(0.1	)		96,167		3.8			498,964		3.0
12/31/2007		122,558		2.3			228,214		4.4			54,720		1.5			96,464		4.1			501,956		3.5

			12-mth.
	Total All		growth
Date	Lines		rate
12/31/2005		3,759,599		(0.3	)%
03/31/2006		3,761,500		0.1
06/30/2006		3,781,558		0.4
09/30/2006		3,793,455		0.6
12/31/2006		3,798,297		1.0
03/31/2007		3,811,723		1.3
06/30/2007		3,848,180		1.8
09/30/2007		3,873,665		2.1
12/31/2007		3,888,333		2.4

CML* = Commercial

8

Policy retention trends for Property and Casualty Group insurance operations by major lines of business:

	Private									CML*
	Passenger			CML*						Multi-			Workers’			All Other
Date	Auto			Auto			Homeowners			Peril			Comp.			Lines			Total All Lines
12/31/2005		90.0	%		87.9	%		88.2	%		85.4	%		86.2	%		86.0	%		88.6	%
03/31/2006		90.1			88.0			88.6			85.9			86.0			86.2			88.8
06/30/2006		90.3			87.7			88.9			85.9			85.9			86.5			89.0
09/30/2006		90.5			87.8			89.2			86.0			85.8			86.7			89.2
12/31/2006		90.8			87.7			89.4			86.0			85.7			87.1			89.5
03/31/2007		91.0			88.0			89.7			86.1			86.2			87.2			89.7
06/30/2007		91.1			88.1			89.9			86.0			86.3			87.6			89.9
09/30/2007		91.3			88.2			90.1			86.1			86.8			87.5			90.0
12/31/2007		91.5			88.2			90.3			86.0			86.8			87.8			90.2

CML* = Commercial

9

Average premium per policy trends for Property and Casualty Group insurance operations by major lines of business:

	Private		12-mth.					12-mth.			All Other		12-mth.					12-mth.
	Passenger		percent					percent			Personal		percent			Total Personal		percent
Date	Auto		change			Homeowners		change			Lines		change			Lines		change
12/31/2005	$	1,174		(1.3	)%	$	543		(0.5	)%	$	348		0.3	%	$	841		(1.6	)%
03/31/2006		1,161		(2.7	)		539		(2.4	)		349		0.6			832		(3.0	)
06/30/2006		1,140		(3.9	)		535		(2.6	)		348		0.6			818		(3.9	)
09/30/2006		1,122		(4.8	)		530		(2.9	)		348		0.3			806		(4.7	)
12/31/2006		1,110		(5.5	)		526		(3.1	)		349		0.3			797		(5.2	)
03/31/2007		1,100		(5.3	)		524		(2.8	)		349		0.0			791		(4.9	)
06/30/2007		1,094		(4.0	)		520		(2.8	)		351		0.9			786		(3.9	)
09/30/2007		1,093		(2.6	)		519		(2.1	)		352		1.1			783		(2.9	)
12/31/2007		1,092		(1.6	)		518		(1.5	)		353		1.1			782		(1.9	)

			12-mth.					12-mth.					12-mth.			Total		12-mth.
			percent					percent			All Other		percent			CML*		percent
Date	CML* Auto		change			Workers’ Comp.		change			CML* Lines		change			Lines		change
12/31/2005	$	2,781		(0.3	)%	$	6,212		6.7	%	$	1,705		(0.1	)%	$	2,501		0.6	%
03/31/2006		2,778		(0.8	)		6,270		4.4			1,710		(0.6	)		2,501		(0.5	)
06/30/2006		2,730		(1.8	)		6,143		0.7			1,676		(1.9	)		2,444		(2.4	)
09/30/2006		2,705		(3.0	)		6,047		(0.9	)		1,669		(1.5	)		2,416		(3.0	)
12/31/2006		2,687		(3.4	)		5,985		(3.7	)		1,657		(2.8	)		2,393		(4.3	)
03/31/2007		2,664		(4.1	)		5,914		(5.7	)		1,641		(4.0	)		2,365		(5.4	)
06/30/2007		2,627		(3.8	)		5,901		(3.9	)		1,616		(3.6	)		2,333		(4.5	)
09/30/2007		2,600		(3.9	)		5,780		(4.4	)		1,592		(4.6	)		2,295		(5.0	)
12/31/2007		2,577		(4.1	)		5,602		(6.4	)		1,581		(4.6	)		2,262		(5.5	)

			12-mth.
	Total All		percent
Date	Lines		change
12/31/2005	$	1,052		(0.8	)%
03/31/2006		1,044		(2.1	)
06/30/2006		1,026		(3.3	)
09/30/2006		1,011		(4.2	)
12/31/2006		1,001		(4.8	)
03/31/2007		991		(5.1	)
06/30/2007		984		(4.1	)
09/30/2007		978		(3.3	)
12/31/2007		973		(2.8	)

CML* = Commercial

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PROPERTY & CASUALTY GROUP ADJUSTED COMBINED RATIO BY
MAJOR LINES OF BUSINESS (SAP BASIS) – DIRECT BUSINESS

	Three Months ended												Three Months ended
	December 31, 2007												December 31, 2006
				Prior Year**						Current						Prior Year**						Current
				Reserve						Accident						Reserve						Accident
				Development						Year						Development						Year
	Calendar*			Deficiency			Catastrophe			Excluding			Calendar*			Deficiency			Catastrophe			Excluding
	Year			(Redundancy)			Losses			Catastrophes			Year			(Redundancy)			Losses			Catastrophes
Private Passenger Auto		101.1	%		1.4	%		0.1	%		99.6	%		101.8	%		0.2	%		0.4	%		101.2	%
Homeowners		71.9	%		0.2	%		0.6	%		71.1	%		82.4	%		0.7	%		3.0	%		78.7	%
Other Personal Lines		64.4	%		-11.2	%		0.0	%		75.6	%		118.8	%		36.3	%		0.2	%		82.3	%
Total Personal		91.5	%		0.5	%		0.7	%		90.3	%		97.2	%		1.7	%		3.6	%		91.9	%
Commercial Multi-Peril		83.9	%		0.6	%		0.2	%		83.1	%		104.6	%		13.5	%		1.3	%		89.8	%
Commercial Auto		74.7	%		-9.7	%		0.0	%		84.4	%		88.9	%		-6.6	%		0.0	%		95.5	%
Workers’ Compensation		137.1	%		33.2	%		0.0	%		103.9	%		137.3	%		20.8	%		0.0	%		116.5	%
Other Commercial Lines		14.2	%		-50.2	%		0.0	%		64.4	%		143.7	%		9.9	%		0.0	%		133.8	%
Total Commercial		90.7	%		2.8	%		0.2	%		87.7	%		112.0	%		9.8	%		1.3	%		100.9	%
Grand Total – Direct Business Only		91.2	%		1.2	%		0.9	%		89.1	%		101.7	%		4.2	%		5.0	%		92.5	%
				Twelve Months ended												Twelve Months ended
				December 31, 2007												December 31, 2006
				Prior Year**						Current						Prior Year**						Current
				Reserve						Accident						Reserve						Accident
				Development						Year						Development						Year
	Calendar*			Deficiency			Catastrophe			Excluding			Calendar*			Deficiency			Catastrophe			Excluding
	Year			(Redundancy)			Losses			Catastrophes			Year			(Redundancy)			Losses			Catastrophes
Private Passenger Auto		85.0	%		-8.2	%		0.3	%		92.9	%		92.2	%		-2.2	%		0.4	%		94.0	%
Homeowners		81.6	%		-1.8	%		1.2	%		82.2	%		85.7	%		-3.4	%		2.6	%		86.5	%
Other Personal Lines		80.1	%		0.2	%		0.1	%		79.8	%		97.5	%		18.0	%		0.2	%		79.3	%
Total Personal		83.9	%		-6.1	%		1.6	%		88.4	%		90.6	%		-1.7	%		3.2	%		89.1	%
Commercial Multi-Peril		88.7	%		-3.3	%		0.1	%		91.9	%		89.2	%		0.0	%		0.7	%		88.5	%
Commercial Auto		73.7	%		-12.6	%		0.0	%		86.3	%		81.7	%		-5.0	%		0.1	%		86.6	%
Workers’ Compensation		99.9	%		8.8	%		0.0	%		91.1	%		93.8	%		-2.0	%		0.0	%		95.8	%
Other Commercial Lines		45.2	%		-16.3	%		0.0	%		61.5	%		89.5	%		-3.9	%		0.0	%		93.4	%
Total Commercial		84.7	%		-3.5	%		0.2	%		88.0	%		88.5	%		-2.2	%		0.8	%		89.9	%
Grand Total – Direct Business Only		84.1	%		-5.3	%		1.7	%		87.7	%		90.0	%		-1.9	%		4.0	%		87.9	%
*The calendar year combined ratio represents the adjusted statutory combined ratio, which removes the profit component of the management fee earned by the Company.
**The prior accident year reserve development does not include the effects of salvage and subrogation recoveries.

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