Travelers 2008 Annual Report Download - page 14

• local presence;
• geographic scope of business;
• overall financial strength;
• ratings assigned by independent rating agencies;
• experience and qualifications of employees; and
• technology and information systems.
In addition, the marketplace is affected by available capacity of the insurance industry, as
measured by policyholders’ surplus, and the availability of reinsurance. Industry capacity as measured
by surplus expands and contracts primarily in conjunction with profit levels generated by the industry.
Capital raised by debt and equity offerings may also increase a company’s surplus.
Geographic Distribution
The following table shows the geographic distribution of the Company’s consolidated direct written
premiums for the year ended December 31, 2008:
% of
State Total
New York ................................................. 9.7%
California .................................................. 9.0
Texas ..................................................... 7.5
Pennsylvania ................................................ 4.9
Florida ................................................... 4.4
New Jersey ................................................ 4.0
Massachusetts .............................................. 3.9
Illinois .................................................... 3.6
Georgia ................................................... 3.2
All other domestic(1) ......................................... 43.4
Total domestic ............................................. 93.6
International ............................................... 6.4
Consolidated total .......................................... 100.0%
(1) No other single state accounted for 3.0% or more of the total direct written premiums
written in 2008 by the Company’s domestic operations.
The Company is organized into three reportable business segments: Business Insurance; Financial,
Professional & International Insurance; and Personal Insurance.
BUSINESS INSURANCE
The Business Insurance segment offers a broad array of property and casualty insurance and
insurance-related services to its clients primarily in the United States. Business Insurance is organized
into the following six groups, which collectively comprise Business Insurance Core operations:
•Select Accounts serves small businesses for property and casualty products, including commercial
multi-peril, property, general liability, commercial auto and workers’ compensation insurance.
2