Travelers 2009 Annual Report Download - page 17

its United Kingdom-based runoff insurance and reinsurance businesses. The sale was not material to
the Company’s results of operations or financial position.
Selected Market and Product Information
The following table sets forth Business Insurance net written premiums by market and product line
for the periods indicated. For a description of the markets and product lines referred to in the table,
see ‘‘—Principal Markets and Methods of Distribution’’ and ‘‘—Product Lines,’’ respectively.
% of Total
(for the year ended December 31, in millions) 2009 2008 2007 2009
By market:
Select Accounts ................................ $ 2,756 $ 2,756 $ 2,711 25.3%
Commercial Accounts............................ 2,493 2,524 2,518 22.9
National Accounts .............................. 902 996 1,056 8.3
Industry-Focused Underwriting . . . . . . . . . . . . . . . . . . . . . 2,279 2,396 2,301 20.9
Target Risk Underwriting . . . . . . . . . . . . . . . . . . . . . . . . . 1,568 1,593 1,665 14.4
Specialized Distribution........................... 889 939 1,015 8.1
Total Business Insurance Core . . . . . . . . . . . . . . . . . . . . 10,887 11,204 11,266 99.9
Business Insurance Other . . . . . . . . . . . . . . . . . . . . . . . . . 15 16 52 0.1
Total Business Insurance by market ................ $10,902 $11,220 $11,318 100.0%
By product line:
Commercial multi-peril........................... $ 2,933 $ 2,938 $ 3,066 26.9%
Workers’ compensation........................... 2,486 2,452 2,267 22.8
Commercial automobile .......................... 1,927 1,952 2,011 17.7
Property...................................... 1,727 1,860 1,990 15.8
General liability ................................ 1,829 2,011 1,943 16.8
Other........................................ —741—
Total Business Insurance by product line ............ $10,902 $11,220 $11,318 100.0%
Principal Markets and Methods of Distribution
Business Insurance distributes its products through approximately 9,600 independent agencies and
brokers located throughout the United States that are serviced by approximately 120 field offices and
three customer service centers. Business Insurance continues to make significant investments in
enhanced technology utilizing internet-based applications to provide real-time interface capabilities with
independent agencies and brokers. Business Insurance builds relationships with well-established,
independent insurance agencies and brokers. In selecting new independent agencies and brokers to
distribute its products, Business Insurance considers, among other attributes, each agency’s or broker’s
financial strength, staff experience and strategic fit with the Company’s operating and marketing plans.
Once an agency or broker is appointed, Business Insurance carefully monitors its performance. The
majority of products offered by the Select Accounts, Commercial Accounts, Industry-Focused
Underwriting and Target-Risk Underwriting groups are distributed through a common base of
independent agents and brokers, many of whom also sell the Company’s Personal Insurance products.
Additionally, the Industry-Focused Underwriting and Target Risk Underwriting groups may underwrite
business with agents that specialize in servicing the needs of certain of the industries served by these
groups.
Select Accounts is a leading provider of property and casualty insurance products to small
businesses. It serves firms with generally fewer than 50 employees. Products offered by Select Accounts
are guaranteed cost policies, including packaged products covering property and liability exposures.
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