Who Is Everest? An Overview of Everest and our Valuable Services

Who Is Everest? An Overview of Everest and our Valuable Services Presenters: Elizabeth Nicholas, VP Underwriting and Marketing Christopher Carucci, VP Claims John Hibben, Director, Loss Control The information presented in this material has been developed from sources believed to be reliable. It is presented for informational purposes only and should not be constructed as legal, professional or business advice. Everest National Insurance Company and its affiliates accepts no responsibility for the accuracy or completeness of this material. It makes no representations or warranties of any kind herein and disclaims all such representations and warranties. Neither Everest National Insurance Company or its affiliates will be liable for any damages alleged to be caused by the information contained herein. It recommends you consult with legal counsel and/or other professional persons before applying this material. This information is solely for illustrative purposes and does not constitute a contract. Only the relevant insurance policy can provide the actual terms, coverages, amounts, conditions and exclusions. 1

Everest Re Group, Ltd. Everest is a leading international reinsurance and insurance group with an extensive distribution network that spans five continents. With roots dating back to 1973, as the former reinsurance arm of The Prudential. On October 6, 1995, The Prudential successfully completed an initial public offering of 100% of the Company's outstanding stock and under the guidance of its Chairman and CEO, Joseph V. Taranto, the Company has become a leading international insurance and reinsurance organization, ranking amongst the largest reinsurers in the world. FINANCIAL STRENGTH RATINGS: A+ A.M. Best A+ Standard & Poor s A1 Moody s AA Fitch CHAIRMAN & CEO: Joseph V. Taranto PRESIDENT: Dominic J. Addesso CFO: Craig W. Howie Corporate Profile 2

Everest National Overview National and its affiliates represent the primary insurance segment of Everest Re Group, Ltd., offering property, casualty and specialty lines in both in the United States and Canada. Backed by solid financials, our business is written through a network of appointed retail agents and brokers, wholesalers and program administrators. 2012 Gross Written Premium by LOB $312 M Workers Comp $276 M Crop $190 M Professional Liability $123 M Other Short Tail $91 M Accident & Health $81 M Other Liability Programs Everest is a leading insurer of program business with a history of proven success. Our products are designed to meet the specific needs of each customer and are modified to respond to changes in the evolving marketplace. Program Profile We look for programs that have demonstrated a profitable track record, show potential for growth, and have unique characteristics that set them apart from others in their industry. While our minimum premium requirements are flexible based on the individual characteristics presented by the program, each program must have enough critical mass to allow for profit when both losses and expenses are considered. Everest Program Administrators are integral to our success and we are committed to working together to bring the best possible products and services to the market. Our Program Administrators market, underwrite, rate, and issue policies on Everest's behalf. Some Program Administrators also perform loss control and handle claims Products & Services We offer 50 state capabilities with a full array of claims and loss control services. Coverages including: Property Inland Marine Workers' Compensation General Liability Umbrella & Excess Liability Commercial Automobile Crime Professional Liability Personal Auto available in AL, GA, SC, TN, CA, MI 3

Workers Compensation Everest National's Western Regional Office offers monoline workers' compensation coverage to a wide variety of insureds. Our dedicated underwriting professionals possess the knowledge and expertise to provide the best options for clients in the mid size to large account range. Customer Profile We offer coverage for a broad array of workers' compensation classes. Our target customers have a low turnover and skilled workers with a sound wage base. We look for customers that demonstrate a willingness to improve safety within their work environment by implementing safety and loss control programs. We also partner with strategic program administrators that specialize in targeted market segments such as Construction. Products & Services Monoline workers' compensation for California based insureds Custom Medical Provider Network Guaranteed Cost Retrospective Rating Plans Large Deductibles 50 State capability for writing monoline workers' compensation A full array of Claim and Loss Control Services are provided Everest HELPLINE provides premium access to legal counsel services for employment and worker related questions Property Facility Everest's E&S Property Facility offers coverage arrangements for the underserved market with a focus on small to medium sized businesses. We have the unique underwriting expertise for properties with coastal exposures. Additionally, we offer building, personal property and time element for ISO construction classes 1 6. Customer Profile Apartments, excluding apartment hotels Churches Condominium associations and Commercial condominiums Health/Medical Facilities Hotel/Motel/Condotel Offices Real Estate Restaurants Retail including strip mall Schools Vacant/Newer Construction Wholesale Products & Services Ground up, Primary or Excess Policies All Other Perils (AOP) or Wind only Deductible Buybacks Customized programs with different coverage features including Ordinance and Law, Time Element and Primary/Loss Limit 4

Environmental Facility Everest has been a leader in underwriting a broad range of environmental insurance products in all 50 states for over 10 years. Our experienced underwriters partner with an exclusive network of wholesale producers to provide specialty coverage solutions for a wide variety of commercial, industrial, and environmental classes. We can provide Pollution Liability coverage on a package, monoline, or project specific basis. Our capacity is up to $6 million Minimum premiums range from $2,000 to $7,500. Customer & Product Profile General Liability Environmental or abatement contractors, engineers, or consultants Distributors or manufacturers of a wide variety of commercial, industrial, & environmental products who are seeking products pollution coverage Contractors Pollution Liability Environmental or abatement contractors General, trade, or restoration contractors Professional Liability Environmental or abatement engineers or consultants Casualty Facility Everest's Casualty Facility offers primary and excess casualty products via the wholesaler distribution channel. We provide both admitted and non admitted paper for General Liability and Excess Casualty and admitted paper for Commercial Automobile & Workers' Compensation. We have a limited access model providing those appointed wholesaler locations with a strong competitive advantage. All underwriting is done in Everest National's home office in Liberty Corner, New Jersey. Underwriting Profile General Liability & Excess Casualty Tougher Products (Manufacturing, Distributing, Importing, etc.) Commercial Real Estate (Office buildings, Warehouses, Malls, Shopping Centers, etc.) Habitational Real Estate (Apartments, Condominiums, Hotels, etc.) Commercial Construction Minimum premium $10,000 for each product (assumes $5m Excess Casualty limit) Commercial Automobile Coverage available for most industry segments excluding trucking, taxi/black car and bussing Minimum premium $10,000 Workers' Compensation Coverage available for most industry segments excluding USL&H, PEO/employee leasing and height exposures Minimum premium $25,000 Capacity $2m limit on Auto Liability, General Liability and Employers Liability $10m limit on Excess Casualty Products & Services Account and monoline capability Everest National (rated A+ XV) is licensed in all 50 states and District of Columbia Regular usage of admitted paper on General Liability and Excess Casualty Low/no deductible philosophy 5

Everest Specialty Underwriters Everest Specialty Underwriters, LLC (ESU) offers a suite of management and professional liability products to commercial and financial institutions of all sizes. ESU is comprised of experienced, seasoned underwriters as well as a dedicated, responsive specialty claim team. Underwriters have the capability to provide creative solutions backed by the financial strength of Everest Re Group, Ltd. Financial Institutions ESU's Financial Institutions Group offers a range of products to financial institutions including Banks, Broker Dealers, Insurance Agents, Investment Advisors, Mutual Funds, Hedge Funds, Real Estate Investment Trusts, Private Equity and Venture Capital Firms and Insurance Companies. Products include Directors & Officers Liability (ABC and Side A), Fiduciary Liability, Employment Practices Liability, Professional Liability and Financial Institutions Bonds. The Financial Institutions team is comprised of experienced underwriters with many years of combined experience in the market. Commercial Management Liability ESU's Commercial Management Liability Group offers a full slate of management liability products to a variety of commercial businesses. Products include Directors and Officers Liability (ABC and Side A), Employment Practices Liability, Fiduciary Liability and Commercial Crime. The Commercial Management Liability team includes a seasoned team of underwriting professionals. Claim Services Our ESU Claim team is composed of dedicated professionals who have extensive management and professional liability lines claim experience and marketplace relationships. All claims are managed directly by this New York City based team. Heartland Crop Heartland Crop Insurance, Inc. was incorporated on February 29th, 2000 to assist the American farmer manage risk and make decisions to continue to preserve their financial future. Heartland has developed a wide network of partnerships with independent agents in over 25 states to bring their expertise and products to the marketplace. Everest acquired Heartland Crop Insurance, Inc. on January 3, 2011. They have a network of over 1000 appointed independent. Product & Services Heartland offers a wide range of crop products to protect farmers' crops. Full line of Multi Peril Crop Insurance Yield Insurance Revenue Protection Revenue Protection with Harvest Price Exclusion Group Risk Plan Group Risk Income Protection Pasture, Rangeland Forage Non Federally Reinsured Farm Products Production Plan Hail Coverage Traditional Crop Hail Coverage Companion Hail Coverage Supplemental Coverage Named Peril Coverage 6

Specialty Insurance Group Specialty Insurance Group, (SIG) is the newest member company of Everest Re Group, Ltd. Their focus is on the sports and leisure market. They provide their clients with comprehensive insurance products and services that address the complex risk management challenges of today's world. This is accomplished by their knowledgeable and experienced staff who have developed insurance products for some of the most highly visible sports and entertainment events in the world. Customer Profile Special Events Amateur Sports Motorsports Amusement Parks & Water Parks Family Entertainment Centers Fairs, Festivals Event Sponsors Entertainment & Sports Venues Professional Sports Insurance Products Contingency Coverages including: Event Cancellation and Non Appearance Prize Indemnity Hole In One General Liability Commercial Automobile Participant Accident Property Inland Marine Professional Liability Excess / Umbrella Everest Insurance Company of Canada Licensed in all Canadian provinces and territories and backed by the financial strength of the Everest Re Group, Everest Insurance Company of Canada offers property, casualty and specialty lines insurance through a network of licensed brokers via its Premiere Insurance Underwriting Services and Management Liability divisions. Whether it s an amateur sports association, a casino, an editing facility or the local fair, their expertise in specialized and unique entertainment risks has enabled them to become the Insurer that brokers in Canada turn to when designing insurance programs for their entertainment, sports and leisure clients. With offices in Toronto and Vancouver, our specialized underwriting teams apply years of experience, knowledge of the marketplace and specialty expertise to develop comprehensive insurance solutions for our customers. Everest Insurance Company of Canada is rated A+ (Superior) by A.M. Best. Customer Profile Sports & Leisure Special Events & Performing Arts Leisure & Recreational Activities Sports & Fitness Venues Multimedia Film & Television Insurance Products Commercial General Liability Package Policies for all lines of business, including specialty package policies Errors and Omissions Non Profit Directors and Officers Event Cancellation Participant Accident Umbrella, Excess Liability 7

Everest National Contacts PROGRAMS Brian Drum Senior Vice President Tel: (908) 604 7004 brian.drum@everestre.com ENVIRONMENTAL FACILTIY Jeff Foering Vice President Tel: (908) 604 7249 jeff.foering@everestre.com HEARTLAND CROP Mike Miller Chief Executive Officer Tel: (888) 789 5566 (toll free) mike.miller@heartlandcropinsurance.com WORKERS COMPENSATION Gary Mathewson Regional Vice President Tel: (714) 371 9688 gary.mathewson@everestre.com CASUALTY FACILITY Carl Berntsen Senior Vice President Tel: (908) 604 3168 carl.berntsen@everestre.com SPECIALTY INSURANCE GROUP David Harris Senior Vice President Tel: (317) 853 7043 dharris@specialtyinsurancegroup.com PROPERTY FACILITY Tracy Upton Vice President Tel: (813) 269 6979 tracy.upton@everestre.com EVEREST SPECIALTY UNDERWRITERS John Iannotti Senior Vice President Tel: (646) 746 2714 john.iannotti@everestnational.com EVEREST CANADA Heather Moyer Marketing Manager Tel: (416) 480 7349 heather.moyer@everestcanada.com Everest National Insurance Company Claim Department Everest National's Claim Department is the source of claim expertise and claims related services to our business partners and our clients. We deliver these services, efficiently, proactively and in innovative ways in order to achieve the best claim outcomes. 8

Everest National Claims Multiline Claim Department TPA s and Direct Handle Claims Management Focused on loss mitigation and quality customer service Experienced and technically proficient claim staff Litigation Management SIU Subrogation Everest National Insurance Company Claim Department Headquartered in Liberty Corner, NJ Regional Claim offices New York, NY Oakland, CA Orange, CA 9

Claim Management Model Depending upon the line of business, we can handle insurance claims directly or proactively manage them through Third Party Administrators (TPAs). When claims are handled by TPAs, the Everest Claim Staff manage them through delegated claim authorities (both financial and operational) and mandated claim handling requirements, subject to semi annual claim audits and meaningful oversight. Everest National Claim Management Team Christopher Finneran SVP Claim David Matthiessen VP P & C Programs Lisa Simone VP Workers Compensation Christopher Carucci VP Litigation & Technical Services Michael Morales VP Everest Specialty Underwriters Kate Warnebold Director Claim Operations TPA Administered Claims Auto, GL, Property, Professional Liability TPA Administered WC Claims, Managed Care & Subrogation Direct Handle Primary & Excess Liability Claims, SIU, Litigation Management Direct Handle Financial Institution and Commercial Management Liability Claims D&O, E&O, EPLI Customer Support, Direct Handle FNOL s, Payment Processing, Systems Management 10

TPA Management Everest National engages both independent and MGA affiliated TPA s Our TPA s primarily handle high frequency, low severity AL, GL, Property and Workers Compensation claims Claims are reported, handled and processed thru TPA s subject to: Delegated financial authority Biannual claim audits and routine focused reviews Monthly data interfaces from TPA Claim Systems Everest retains exclusive authority on coverage denials Complex and high severity claims are actively managed by Everest National Claim Staff Direct Handle Claims For certain lines of business, which are often underwritten by Everest National underwriters, we have an experienced team of claim professionals that directly handle the claims General Liability Excess Liability Directors & Officers Liability Errors & Omission Liability Professional Liability Employment Practices Liability Contingency Liability 11

WC Claim Trends & Cost Drivers Litigation Pharmaceuticals Return to Work programs CA reforms Property & Casualty Claim Trends Jury Verdicts Public Entities Construction 12

Litigation Management Dedicated defense panel Dedicated vendor panel Electronic billing by counsel allows for ALAE management Audits SIU Special Investigation Unit Independent Unit which operates separate and apart from the normal claims function. Members qualified by training, education and experience. Responsible for the detection and investigation of all identified suspicious files through both hands on and external vendor management. Ensures statutory compliance with the mandated reporting of suspect matters and annual reports to specified agencies. Utilizing internal and external resources, provides fraud interdiction training to claim, underwriting and field support staff. Acts as liaison with other industry, law enforcement and intra company personnel. Supports defense counsel in the preparation of file defense and may serve as an expert witness to the suspect investigation. 13

Subrogation Responsible for country wide subrogation Dedicated staff Expertise in multiple lines of business Skilled in numerous jurisdictions Direct handle and outsourced subrogation and collection services Continual results that exceed the industry benchmarks Everest Loss Control Services 10 8 6 4 2 Claims Reduce the Cost of Risk 0 Year 1 Year 2 Year 3 Year 4 14

Everest Loss Control Goals: Consistently Deliver Customized, Results Focused Service that Meets Your Needs and Exceeds Expectations Provided Through Qualified Consultants Managed by Everest Loss Control Broad Portfolio of Services Assured Service Quality Consultant Qualifications Pre Qualified & Authorized Professionalism, Training, Education, & Experience Skills clearly defined Quality Assurance Efforts Everest s Loss Control Team Service Delivery Customized Nationwide capabilities Specialty Services Focused to Achieve Results Recommendations Flexible 15

Sampling of Available Services Risk Assessment Risk Improvement Multi location Service Coordination Program Audits Value Added Services Publications and Webcasts Training Resources Technical Expertise Responsive to your specific needs & concerns New: CARF Inspections Everest Loss Control Web Page Services ww.everestregroup.com Publications Webcasts Newsletters LC Hazard Alerts E SMARTS Model Programs, Publications & Alerts Value Added Services Helpline Safety First Safety Video Lending Library 16

Everest Loss Control James Burkhart, CSP, CIH, VP Policyholder Services James.burkhart@everestre.com Joseph Kovalick, CSP West Coast Director Joseph.kovalick@everestre.com Thomas McKeon, ARM Southeast Director Thomas.mcKeon@everestre.com Len Hintergardt, CSP, ARM No. California Director Len.hintergardt@everestre.com John R. Hibben, ARM So. California Director John.hibben@everestre.com Jennifer Arrison Northeast Manager Jennifer.arrison@everestre.com Robert McCabe, ARM, ALCM, CPSM Northeast Director Robert.mccabe@everestre.com Everest Provides Resources LOSS CONTROL RESOURCES: Safety Training Library No borrowing fee for policyholders through National Resource Safety Center Access to Everest s Loss Control Management Team & Consultants Links to Safety & Health Consultants Model Injury and illness Prevention Programs E SMART (Safety Management Assessment & Review Tool) Please visit our Loss Control web page resources at: www.everestregroup.com Loss Control Alerts Newsletters Links to regulatory and other information sites 17