Travelers 2012 Annual Report Download - page 5

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Overall Travelers produced net income of  billion a return
on equity of  percent and an operating return on equity of
 percent for the year We ended  with book value per
share of  up  percent from year end 
These results enabled us to return more than  billion to
shareholders in  through dividends and share repurchases
consistent with our ongoing capital management strategy Another
measure of the success of our longterm focus and our strong
performance is that since May  through our share repurchase
program we have returned more than  billion to shareholders
and reduced our shares outstanding by approximately  percent
We remain focused on anticipating and preparing for events and
circumstances  both risks and opportunities  that depart from
historical patterns As we do so we recognize the inextricable link
between our fi nancial performance and our ability to fulfi ll our
commitments to our policyholders and agents For our shareholders
our customers and our agents dependability demands that we plan
thoroughly and look well beyond the shortterm horizon
 years of reliability
Our performance over the last year on behalf of our customers
followed a long tradition As we celebrate our th anniversary it
is worth noting that reliability has been a hallmark of our heritage
We have stood behind our customers throughout epic events in
American history providing support after the  Chicago Fire
the  San Francisco Earthquake the  sinking of the Titanic
the  Wall Street crash the Great Depression and more recently
the fi nancial crisis of 

Despite the stock market crash and the subsequent Depression
the company does not lay off any workers or cut salaries
In fact employees receive a special onemonth salary bonus
Two years later company directors contribute  to
Depression relief funds
Travelers introduces a homeowners policy that combines
fi re theft and liability coverages Soon the company writes
such combined coverages for store owners apartment
owners and farm owners policies
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TRAVELERS’ RESPONSE TO STORM SANDY
By claim volume, Storm Sandy was the largest storm in
Travelers’ history. Despite that, the company was able
to provide exceptional customer service:
 Answered 90 percent of customer phone calls in under
30 seconds.
 Contacted approximately 80 percent of customers within
two days of loss notice; virtually all within three days.
 Settled 90 percent of Personal Insurance homeowners’
claims within 30 days of loss notice.
 Enlisted more than 5,000 Travelers employees to help
with our response.
 Deployed tree removal and roof tarping teams to more
than 900 properties to prevent further damage.
These results validated Travelers’ catastrophe response
strategy, which employs sophisticated modeling, planning
and logistical support through the company’s National
Catastrophe Center; a robust local claim fi eld presence
supported by a 300-member catastrophe team and fi ve
Mobile Claim Offi ce vehicles; and the use of Travelers
employees rather than third-party administrators to handle
claims. To learn more about Travelers’ catastrophe response
capabilities, see travelers.com/catastrophe-response.