The Standard of Excellence in the E&S Wind Market

2015 NAPSLOSan Diego, CA

www.amrisc.com

� “How are you doing?”

• Elite Producer Statistics

� “How are we doing?”

• AmRisc Stats

� “What are we doing?”

• Product “Check-in”

• Update since 2014 NAPSLO

� “What is The Market doing?”

• Conditions/Forecast….your favorite chart

� Let’s Celebrate 15 years! – But first, Q&A

2015 NAPSLO Agenda

How are you doing?Producer Stats

www.amrisc.com

The Standard of Excellence in the E&S Wind Market

www.amrisc.com

Producer StatsPRODUCER

LOGO

How are we doing?

AmRisc Stats

www.amrisc.com

The Standard of Excellence in the E&S Wind Market

25 55 80 100 125 125

255 287214

332 380 365475

548603

68527

106

163

204 231

260

302311

315

0

100

200

300

400

500

600

700

800

900

1000E&S Admitted

Brokerage Agency Total

E&S 94% 6% 100%

Admitted 71% 29% 100%

Split B/A 86% 14% 100%

Premium Growth – 15 Years

66 Underwriters

18 yrs avg

~$15M per UW

$100M $300M $M E&S Per Risk

Capacity Growth

2011-2015

Top 5

PRODUCERS

Percentage

of GWP

CRC 26 %

AmWINS 17 %

Peachtree 11%

All Risks 10 %

Swett 5 %

Top 5 Total 69 %

Apartments

36%

Real Estate 20%

Munis &

Schools 13%

Condos 13%

Technical Risks

15%

Other 3%

E&S Premium Split

Florida 47%

Texas 21%

GA, NC, SC 9%

AL, LA, MS 16%

Other 7%

E&S TIV by State

E&S Admitted

Policy Count 5,600 4,300

Average TIV $35M $10.6M

Average

Premium

$140K $73K

E&S Premium – Stats

What are we doing? Product “Check-in”

Update since 2014

www.amrisc.com

The Standard of Excellence in the E&S Wind Market

www.amrisc.com

• TOP TIER COMMERCIAL CAT PROPERTY

• AMERICAN COASTAL FOR FLORIDA CONDOS

General Property $315m E&S & $323m ACIC

• COASTAL INDUSTRIAL UP TO $250M PER RISK

• BUILDER’S RISK – TREMENDOUS GROWTH – NOW $150M PER RISK CAT

Technical Risks $113m GWP

• COASTAL PUBLIC ENTITY AND LARGE SCHEDULES

• AMRISC PRIMARY FOR SHARED AND LAYERED PROGRAMS

National Accounts $110m GWP

• MARKET LEADER IN CAROLINA COMMERCIAL PROPERTY AND E&S CONDOS

Eastern Seaboard $52m GWP

• AMRISC ONLINE: NOW INCLUDES WIND ONLY & GL INTEGRATION

• EQ – $75M+ PRIMARY PER RISK CAL EQ CAPACITY (3X 2014)

Specialty Products $41m GWP

Product “Check-In”

Yearend 2014• $915M Gross

Written Premium

• Moved four Florida counties out of High Demand (June)*

January 2015 • AmRisc Agency

Group launch

• Incumbent Wholesaler protection

April 2015• BB&T, AmRisc,

American Coastal Transaction announced

• AmRisc remains MGU for E&S Carriers and American Coastal

June 2015• American

Coastal 6/1 purchase by Sr. Mgmt.

• “And then there were five..” High Demand Counties *

• Commission INCREASE *

August 2015• E&S Standard

Commission INCREASE*

• $955M In-Force Premium

Update since 2014 NAPSLO

*Over the last 15 months, AmRisc has moved 11 counties out of High Demand and

raised the standard yielding HIGHER COMMISSIONS for ALL ELITE PRODUCERS.

What is the Market doing?

www.amrisc.com

The Standard of Excellence in the E&S Wind Market

Charley

Francis

Ivan

Jeanne

Katrina, Rita, Wilma

RMS 11

2/28/2011

Financial

Crisis

2008-2009

Coastal capacity

disrupted, e.g.

Condos begin to

leave open market

for Citizens

www.amrisc.com

“% Model Price measures technical price adequacy over time based on:

Premium, Deductibles, Coverage, Terms & Conditions – not just Rate”

(100% MP = 32% Design Loss Ratio)

100% MP = “still profitable”

CAT % Model Price Timeline CAT % Model Price Timeline

~140%CAT MP

AUG 2015

(with 6 month moving average)

www.amrisc.com

% Model Price Change

Year-Over-Year 2008-2015

E&S %MP Change - RENEWALS vs. expiring

2015 2016

Outlook

� Softening

continues

� Large Industry

or Financial

event before

softening

plateaus.

� ~10% MP YOY

DECREASE as

in previous 24

months

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NAPSLO 2015

Key Takeaways:

� We continue to target/expand in the

coastal wind market.

� Product growth will be organic

� Market Challenges differ from past

cycles – the past is rarely prologue.

� We continue to grow with our ELITE

PRODUCERS even in this challenging

market.

� Listen to the customer

Questions & Feedback

www.amrisc.com

The Standard of Excellence in the E&S Wind Market