Progressive Reports NWP Up 30% in Nov.-Names Bernadine Healy to Board

Ohio-based Progressive Corp. had a good November. On Friday the Company reported a GAAP combined ratio of 96.3, with net premiums written up 30 percent to $711.2 million for the month, compared to $546.8 million last year. Net premiums earned for the month increased 29% to $762.4 million, compared to $588.8 million last year.

Progressive also stated that it had established a $10 million reserve “representing the Company’s best estimate of its total exposure for its lawsuit relating to the classification of the Company’s California claims employees as exempt workers for purpose of state wage and hour laws, which is reflected in the loss/LAE ratio, and accrued an additional $3.1 million to reflect the final claims made in the settlement of its several alternative commission program lawsuits, which is reflected in the Agent Personal Lines expense ratio.”

It also reserved $7.8 million for its estimated exposure to guaranty fund assessments related to the Aries Insurance Company insolvency in Florida.

In a separate statement Progressive announced that the Board of Directors had elected Bernadine Healy, M.D. to fill the current vacancy on the Company’s Board for the term ending on the date of the Annual Meeting of Shareholders in April 2005.

“Dr. Healy, 58, is the retired president of the American Red Cross and is currently a member of the President’s Council of Advisors on Science and Technology,” said the bulletin. “For six years, Dr. Healy was a consultant and commentator for CBS News. She is now Health, Medicine and Science columnist for US News & World Report. She also serves on the boards of Medtronic Inc., Ashland Inc. and Invacare Corp.”