Profile: Erie Indemnity Co (ERIE.OQ)
80.00USD
1 Aug 2013
$-0.37 (-0.46%)
$80.37
$80.61
$80.72
$79.23
8,645
10,968
$83.45
$61.63
Erie Indemnity Company (Indemnity), incorporated on April 17, 1925, is engaged in managing attorney-in-fact for the subscribers (policyholders) at the Erie Insurance Exchange (Exchange). The Exchange is a subscriber owned, Pennsylvania-domiciled reciprocal insurer that writes property and casualty insurance. Indemnity’s primary function is to perform certain services for the Exchange relating to the sales, underwriting and issuance of policies on behalf of the Exchange. Erie Family Life Insurance Company (EFL) is an affiliated life insurance company that underwrites and sells individual and group life insurance policies and fixed annuities. All property and casualty and life insurance operations are owned by the Exchange, and Indemnity functions solely as the management company. The Company operates its business in four segments: management operations, property and casualty insurance operations, life insurance operations and investment operations.
Management Operations
The Company generates internal management fee revenue, which accrues to the Indemnity shareholder interest, as Indemnity provides services to the Exchange relating to the sales, underwriting and issuance of policies. The Exchange is the sole customer of its management operations.
Property and Casualty Insurance Operations
The Property and Casualty Group generates revenue by insuring preferred and standard risks, with personal lines comprising 72% of direct written premiums, during the year ended December 31, 2012, and commercial lines comprising the remaining 28%. The principal personal lines products based upon 2012 direct written premiums were private passenger automobile (45%) and homeowners (26%). The principal commercial lines products based upon 2012 direct written premiums were commercial multi-peril (12%), commercial automobile (7%) and workers compensation (7%). Property and casualty insurance premiums earned accounted for approximately 80% of its total consolidated revenue, during 2012.
The Property and Casualty Group is represented by nearly 2,200 independent agencies comprising almost 10,200 licensed property and casualty representatives, which is its sole distribution channel. The Property and Casualty Group writes business in Illinois, Indiana, Maryland, New York, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia, Wisconsin and the District of Columbia. The states of Pennsylvania, Maryland and Virginia made up 62% of the Property and Casualty Group’s direct written premium, during 2012.
Life Insurance Operations
The Company’s life insurance operations generate revenue from the sale of individual and group life insurance policies and fixed annuities. These products are offered through its property and casualty insurance agency force to provide an opportunity to cross-sell both personal and commercial accounts. EFL writes business in 10 states, including Illinois, Indiana, Maryland, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia, and Wisconsin and the District of Columbia. The state of Pennsylvania made up 48% of EFL’s 2012 premium and annuity considerations, with Maryland, Virginia and Ohio making up approximately 10% each.
Investment Operations
The Company’s investment operations generate revenue from its fixed maturity, equity security and alternative investment portfolios. Net revenues from its investment operations accounted for approximately 18% of its total consolidated revenue, during 2012.
Company Address
Erie Indemnity Co
100 Erie Insurance Place
ERIE PA 16530
P: +1814.8702000
F: +1814.8704040
Company Web Links
| Name | Compensation |
|---|---|
Thomas Hagen |
-- |
Terrence Cavanaugh |
4,515,860 |
Marcia Dall |
1,672,400 |
Robert Ingram |
-- |
James Tanous |
1,725,850 |

