Travelers Companies

A.M. Best Withdraws Ratings of Seaboard Surety Company Due to Merger With Affiliate - Posted by Steven Wevodau

OLDWICK, N.J.–(BUSINESS WIRE)–A.M. Best Co. has withdrawn the financial strength rating (FSR) of A+ (Superior) and ICR of “aa-” and assigned a category NR-5 (Not Formally Followed) to the FSR and an “nr” to the ICR of Seaboard Surety Company (Seaboard) (New York, NY).

The withdrawal of the ratings reflects the merger of Seaboard with and into the separately rated entity, Travelers Casualty and Surety Company of America (TCSA) (Hartford, CT), an affiliate, effective January 2, 2009, following the approvals of the New York and Connecticut insurance departments. Prior to the merger, Seaboard was a wholly owned indirect property/casualty subsidiary of The Travelers Companies, Inc. (St. Paul, MN) [NYSE: TRV] and a member of Travelers Group.

The FSRs of A+ (Superior) and ICRs of “aa-” of Travelers Group and TCSA are unchanged as a result of this merger.

For Best’s Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.

The principal methodologies used in determining these ratings, including any additional methodologies and factors, which may have been considered, can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.

 

 

Contact:

A.M. Best Co.
Analysts
Michael J. Lagomarsino, CFA, 908-439-2200, ext. 5810
michael.lagomarsino@ambest.com
or
W. Dolson Smith, CFA, 908-439-2200, ext. 5379
w.dolson.smith@ambest.com
or
Public Relations
Jim Peavy, 908-439-2200, ext. 5644
james.peavy@ambest.com
or
Rachelle Morrow, 908-439-2200, ext. 5378
rachelle.morrow@ambest.com

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Saturday, February 7th, 2009 Steven Wevodau - Property & Casualty, Travelers Companies Comments Off

Travelers 4Q profit falls 25 pct on investments - Steven Wevodau

By Ieva M. Augstums, AP Business Writer

 

Travelers posts 25 percent drop in 4th-quarter profit on lower investment income

 

CHARLOTTE, N.C. (AP) — Commercial and personal property insurer Travelers Cos. said Tuesday that lower investment income drove fourth-quarter profit down 25 percent.The St. Paul, Minn.-based company said net income tumbled to $801 million, or $1.35 per share, from $1.06 billion, or $1.64 per share, a year ago.

Excluding items, operating profit totaled $1.58 cents per share — beating analysts’ average estimate of $1.46 per share, according to Thomson Reuters.

The lower profit reflected a 37 percent drop in investment income during the quarter to $438 million, from $696 million, a year ago. The company’s non-fixed income portfolio, mainly comprised of private-equity funds, real-estate partnerships and hedge funds, recorded an investment loss of $164 million.

However, earnings did get a boost from $189 million in reserves that Travelers was able to release because claims for prior-year periods were lower than expected.

Net premiums increased slightly to $5.39 billion during the quarter from $5.37 billion a year ago, and net earned premiums remained unchanged at $5.43 billion.

The company’s combined ratio for the quarter rose 2.5 points to 85.9 percent. Combined ratio measures the amount of money insurers pay out in claims and expenses compared with how much they receive from writing new business. A ratio above 100 means the insurer pays out more in claims and expenses than it takes in from writing new premiums.

The insurer also projected 2009 earnings well below analysts’ estimates, seeing profit excluding investment losses of $4.50 to $4.90 per share. Analysts estimate $5.59 per share.

For the year, Travelers earned $2.92 billion, or $4.82 per share, down from $4.6 billion, or $6.86 per share, a year ago. Excluding items, operating profit totaled $5.27 per share.

Shares of Travelers closed at $37.58 on Monday.

 

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Tuesday, January 27th, 2009 Steven Wevodau - Property & Casualty, Travelers Companies Comments Off

Travelers Risk Management Tools Help Auto Dealers In Tough Economic Times - Steven Wevodau

Implementing Risk Mitigating Strategies Will Help Auto Dealers Protect Their Businesses

  • Saturday January 24, 2009, 8:30 am EST

HARTFORD, Conn.–(BUSINESS WIRE)–Responding to the economic challenges facing franchised auto and truck dealers, Travelers (NYSE: TRV) is providing risk analysis to new customers and ongoing risk management tools to its existing customers to help them better protect their businesses. In these uncertain times, Travelers and its network of independent agents are reminding auto dealers why risk mitigating strategies and the right insurance program are imperative to the success of their dealership.

“During this period of economic turmoil, it’s more important than ever that auto dealers have the right coverage and implement the appropriate risk management techniques to protect their businesses,” said Dave Stevenson, head of Travelers Auto Dealers Industry Segment. “Travelers independent agents can also help customers to ensure that their current coverage is in-synch with their changing needs.”

Auto dealerships have numerous exposures to financial loss. In today’s economic climate, it is imperative that auto dealers take the extra precautions to mitigate risk, including:

 

  • Increasing awareness of the recently issued Red Flags Rule – a new FTC regulation regarding the management of confidential customer data and theft prevention programs;
  • Enhancing security controls to prevent the theft of high value vehicles and components, such as catalytic converters - targeted for their rare metals;
  • Observing new regulations when servicing vehicles powered by alternative fuel sources.

 

Travelers IndustryEdge® product for Franchised Auto and Truck dealers, including TravSourcesSM for Auto Dealerships, a collection of more than 100 technical safety bulletins, guides, checklists and training materials, will help customers be better positioned to handle the challenges that come with managing an auto dealership. In addition, Travelers auto dealer customers have access to Travelers Claim department, consisting of more than 13,000 skilled professionals devoted to managing claims.

Travelers Commercial Accounts, through its professional network of independent agents and brokers, offers auto dealers specialized underwriting and industry-specific coverages to match their unique exposures, risk management tools and services aimed at minimizing risk and preventing loss, and a claim staff with the industry expertise needed to evaluate, defend and resolve claims. For more information on the IndustryEdge product for Auto Dealers, contact Dave Stevenson at 860.277.2104.

About Travelers

The Travelers Companies, Inc. (NYSE: TRV) is a leading property casualty insurer selling primarily through independent agents and brokers. Travelers understands that life and business are inherently dynamic and that the best way to serve customers is to deliver insurance in-synch with evolving risks. The company’s diverse business lines offer its global customers a wide range of coverage in the auto, home and business settings. Travelers is a Fortune 100 company, with 2007 revenues of approximately $26 billion. The company has more than 33,000 employees. For more information on being in-synch, visit www.travelers.com.

The content of this release is only for the informational use of the reader. In no event will Travelers or any of its affiliates be liable in contract or in tort to anyone who has access to this information for the accuracy or completeness of the information relied upon in the preparation of this release. Additionally, information contained herein does not constitute and shall not be construed to reflect the adoption of any coverage position by Travelers or any of its affiliates in connection with any of the topics or considerations set forth herein.

Contact:

The Travelers Companies, Inc.
Media:
Jeffrey Weir, 860-277-8692

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Sunday, January 25th, 2009 Steven Wevodau - Property & Casualty, Travelers Companies Comments Off

Martin Luther King Jr. National Memorial Project Foundation Announces $1.25 Million Gift from Travelers - Steven Wevodau

Company to Sponsor Kids for King Program

 

WASHINGTON–(BUSINESS WIRE)–The leadership of the Washington, D.C. Martin Luther King, Jr. National Memorial Project Foundation, Inc. announced today a $1.25 million donation from The Travelers Companies, Inc. The company’s gift will help build the four-acre memorial on the National Mall and provide support for Kids for King, an educational outreach program to schools throughout the country that will culminate with the dedication of the memorial in 2010.”I am pleased to welcome Travelers to the list of supporters to the Martin Luther King, Jr. National Memorial,” says Harry E. Johnson, Senior, President and CEO of the Memorial Foundation. “Now is the time to make history, now is the time for other corporations and all Americans to follow in the footsteps of Travelers, to play a role in building a lasting memorial to Dr. King and the ideals of hope, democracy, love and peace for which he stood.”

“Travelers is proud to support the creation of the Martin Luther King, Jr. National Memorial,” says Jay Fishman, Travelers chairman and CEO. “As a company we aspire to live up to Dr. King’s vision and provide equal access to opportunity to all employees. The memorial will provide a permanent mechanism to educate visitors to our nation’s capital on Dr. King’s legacy and the values that empowered his leadership. In addition, this gift helps reflect our company’s strategic focus on diversity and extend our ongoing community investment in education.”

Travelers joins the following major donors to the Memorial: General Motors, Tommy Hilfiger Corporate Foundation, NBA/WNBA, Alpha Phi Alpha Fraternity, Inc., W.K. Kellogg Foundation, The Walt Disney Company Foundation, The Coca-Cola Foundation, The Bill and Melinda Gates Foundation, The Ford Motor Fund, Toyota, AARP, AFLAC, BP America, Inc., CIGNA, Credit Unions of the United States, DuPont, ExxonMobil Foundation, Fannie Mae Corporation, FedEx Corporation, GE, Ann and Joel Horowitz Family Foundation, John S. and James L. Knight Foundation, Sheila C. Johnson-Newman, Lehman Brothers, George Lucas, MacFarlane Partners, The J. Willard and Alice S. Marriott Foundation, McDonald’s Corporation, MetLife Foundation, National Association of Realtors (NAR), National Education Association (NEA), Nationwide Foundation, PepsiCo Foundation, The Pew Charitable Trusts, Pfizer Foundation, Prudential Financial, Inc., Shell Oil Company, State Farm Insurance, Verizon Foundation, Viacom, Wal-Mart and Morehouse College, among others.

About the Washington, D.C. Martin Luther King, Jr. National Memorial Project Foundation, Inc.

A Memorial honoring Dr. Martin Luther King, Jr. will be built on the National Mall, situated adjacent to the Franklin Delano Roosevelt Memorial and in a direct line between the Lincoln and Jefferson Memorials. Congress passed Joint Resolutions in 1996 authorizing Alpha Phi Alpha Fraternity, Inc. to establish a Memorial honoring Dr. King to be built in Washington, D.C. The ceremonial groundbreaking took place on November 13, 2006 and the Memorial will be completed in 2010. McKissack & McKissack / Turner Construction Company/ Gilford Corporation / Tompkins Builders, Inc. Joint Venture will serve as the Design-Build Team. McKissack & McKissack is the oldest minority-owned architectural firm in the United States. For more information or to make a donation, please visit www.buildthedream.org.

About Travelers

The Travelers Companies, Inc. (NYSE: TRV) is a leading property casualty insurer selling primarily through independent agents and brokers. Travelers understands that life and business are inherently dynamic and that the best way to serve customers is to deliver insurance in-synch with evolving risks. The company’s diverse business lines offer its global customers a wide range of coverage in the auto, home and business settings. Travelers is a Fortune 100 company, with 2007 revenues of approximately $26 billion. The company has more than 33,000 employees. For more information on being in-synch, visit www.travelers.com.

 

 

 

Contact:

Martin Luther King, Jr. National Memorial
Project Foundation, Inc.
Washington, DC
Rica Orszag, 202-253 8974
rorszag@mlkmemorial.org
or
Travelers
Erin Haberman, 860-277-3617
ehaberman@travelers.com

Source: The Travelers Companies, Inc.

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Sunday, January 18th, 2009 Steven Wevodau - Property & Casualty, Travelers Companies Comments Off

Travelers Announces Revised Date for Fourth Quarter and Full Year 2008 Earnings Release and Conference Call - Steven Wevodau

SAINT PAUL, Minn.–(BUSINESS WIRE)–The Travelers Companies, Inc. (NYSE: TRV - News), due to a scheduling conflict, will now review its fourth quarter and full year 2008 results one day earlier than previously announced. The webcast will be held at 9 a.m. EST on Tuesday, January 27, following the release of earnings earlier that morning. A slide presentation, statistical supplement and live audio broadcast will be available on the investor section of the Travelers Web site at http://investor.travelers.com. Following the webcast, the presentation and an audio playback of the teleconference will be available at the same Web site.Travelers is a leading provider of property casualty insurance for auto, home and business. For more information, visit www.travelers.com.

 

Contact:

Travelers Companies, Inc.
Media:
Shane Boyd, 651-310-3846
or
Jennifer Wislocki, 860-277-7458
or
Institutional Investors:
Gabriella Nawi, 917-778-6844
or
Andrew Hersom, 860-277-0902
or
Individual Investors:
Marc Parr, 860-277-0779

Source: Travelers Companies, Inc.

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Tuesday, January 13th, 2009 Steven Wevodau - Property & Casualty, Travelers Companies Comments Off