ANNUAL REPORT - Western Reserve Group

WRG
sELEcTEd fiNANciAL dATA
(IN THOUSANDS)
Years ended December 31
2012 2011 2010 2009 2008
Operating Data
Direct written premium 188,279 174,754 163,215 152,712 147,833
Net written premium 174,652 163,600 155,829 144,880 140,219
Premiums earned 167,951 157,699 150,466 141,462 140,058
Net underwriting gain (loss) (21,704) (15,352) (10,984) (10,786) (9,489)
Investment income, net 9,074 9,297 9,123 8,854 10,101
Realized impairment losses* - - - - (12,467)
Realized investment gains (losses), net 986 2,652 1,725 1,255 1,003
Net income, pre-tax (9,061) (818) 2,055 1,509 (8,709)
Net income (8,553) 638 2,695 4,435 (9,152)
* The Group recorded $12.5 million of impairment losses in December 2008 required by statutory accounting as a result of the significant decline in the equity
markets. Absent the impairment losses, the Group had capital gains of $1.0 million and net income of $3.1 million.
As of December 31
2012 2011 2010 2009 2008
Balance Sheet Data
Cash and invested assets 351,126 344,597 343,149 333,741 317,212
Total assets 402,331 389,671 383,889 372,893 357,439
Surplus as regards policyholders 229,041 229,208 229,551 224,756 213,706
Years ended December 31
2012 2011 2010 2009 2008
Ratios
Loss ratio 68.0 65.3 60.7 60.4 61.9
Loss adjustment expense 10.7 9.3 9.8 10.4 11.4
Underwriting expense 33.0 33.9 35.5 35.9 33.4
Combined ratio 111.7 % 108.5 % 106.0 % 106.7 % 106.7%
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