1. Underwriting Not By the Book Metropolitan Underwriting Discussion January 2012 Gene Lunman - Metlife William E. Moore – Swiss Re America Holding Corporation

2. | Metropolitan Underwriting Discussion | January 2011 Clerical E & O Underwriting error – Material – Not material – Large amount – small amount Pattern of behavior Expected number of exceptions 2 Treaty Language

3. | Metropolitan Underwriting Discussion | January 2011 Scope – Frequency – Competitors audits Bias – Non bias Standards – clients vs. reinsurers Random sampling vs. targeted sampling – Old age – Substandard – Large face amount Number and type of exceptions – Acceptable vs. not acceptable Resolution – Reprice – Ignore – Give back Underwriting Audits 3

4. | Metropolitan Underwriting Discussion | January 2011 Exceptions to standard and substandard – Meet the competition – Make up for product without competitive pricing – Normal course of business – Judgment – Guidelines – Manual – Bilateral or unilateral Case Underwriting 4

5. | Metropolitan Underwriting Discussion | January 2011 Tradeoffs vs. exceptions – Judgment? Preferred Underwriting 5

6. | Metropolitan Underwriting Discussion | January 2011 Who pays? How are they used? Table Shave Programs 6

7. | Metropolitan Underwriting Discussion | January 2011 Reinsurer's rights Client's rights Factors that effect placement – Jumbo – Auto bind Prior issues – Audits – Patterns of behavior – Reasonable and customary Fac cases and disclosure The Claim 7

8. a Thank you