1. 2010 PLUS International Conference Demystifying the Financial Strength of Insurance Companies

2. 2010 PLUS International Conference The Round-up… MODERATOR: Philip L. Blais, President & Owner, Blais Excess & Surplus Agency of Texas Ltd. PANELISTS: Louise G. Crockett, CPCU, Vice President, Senior Marketing Executive, Wells Fargo Insurance Services USA Dick Evans, Chairman & CEO, Cullen/Frost Bankers, Inc. Elizabeth C. Malone, CFA, Senior Vice President, Wunderlich Securities, Inc. Eric M. Simpson, CPA, Senior Vice President, Towers Watson Doug Slape, CFE, CISA, Chief Analyst, Texas Department of Insurance

3. 2010 PLUS International Conference Discussion Focus Areas Rating Agency Competitive Landscape Key Rating Factors & Hot Buttons 3 rd Party Issues & Viewpoints Insights & Predictions

4. 2010 PLUS International Conference Rating Agency Competitive Landscape Focus Area 1  Principal Rating Agencies  Financial Strength Ratings  Regulatory vs. Rating Agency Differences

5. 2010 PLUS International Conference Key Rating Factors and Hot Buttons Focus Area 2  Rating Process  Key Rating Factors

6. 2010 PLUS International Conference 3 rd Party Issues and Viewpoints on Rating Agencies Focus Area 3  Reliance on Ratings  Assessment of Rating Agencies  Ratings Influence on Company Strategy

7. 2010 PLUS International Conference Insights & Predictions Focus Area 4  Future Changes to Rating Factors  Future Insurance Regulatory Changes  Financial Regulatory Reform  Key Takeaways

8. 2010 PLUS International Conference NWP/Surplus Leverage Source: SNL Financial Notes: NWP/Statutory Capital & Surplus for WSI Professional Liability Underwriters Index in 2000-2009.

9. 2010 PLUS International Conference Return on Equity Trend Source: SNL Financial Notes: ROAE for WSI Professional Liability Underwriters Index in 2000-2009.

10. 2010 PLUS International Conference An Audience with A.M. Best

11. 2010 PLUS International Conference QUESTIONS & ANSWERS

12. 2010 PLUS International Conference Many Thanks To… Phillip Blais Louise G. Crockett Dick Evans Elizabeth C. Malone Eric M. Simpson Doug Slape