Travelers 2013 Annual Report Download - page 192

THE TRAVELERS COMPANIES, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
do not have in-house expertise with reinsurance, underwriting, engineering, claim handling
and risk management services for this type of coverage.
•Global Partner Services provides insurance to foreign organizations with property and liability
exposures located in the United States (reverse-flow), as part of a global program.
•Specialized Distribution. The following units market and underwrite their products to customers
predominantly through licensed wholesale agents and program managers that manage customers’
unique insurance requirements.
•Northland provides insurance coverage for the commercial transportation industry, as well as
commercial liability and commercial property policies for small, difficult to place specialty
classes of commercial business, primarily on an excess and surplus lines basis.
•National Programs offers tailored property and casualty programs on an admitted basis for
customers with common risk characteristics or coverage requirements. Programs available
include, but are not limited to, those for entertainment, architects and engineers, equipment
rental, golf services and owners of franchised businesses.
Business Insurance also includes the Special Liability Group (which manages the Company’s
asbestos and environmental liabilities) and the assumed reinsurance and certain other runoff
operations, which collectively are referred to as Business Insurance Other.
Financial, Professional & International Insurance
The Financial, Professional & International Insurance segment includes surety and financial
liability coverages, which primarily use credit-based underwriting processes, as well as property and
casualty products that are primarily marketed on a domestic basis in Canada, the United Kingdom and
the Republic of Ireland, and on an international basis through Lloyd’s. The segment includes the
following groups:
•Bond & Financial Products provides a wide range of customers with bond and insurance products
and risk management services. The range of coverages includes performance, payment and
commercial surety and fidelity bonds for construction and general commercial enterprises;
management liability coverages for losses caused by the actual or alleged negligence or
misconduct of directors and officers or employee dishonesty; employment practices liability
coverages and fiduciary coverages for public corporations, private companies and not-for-profit
organizations; professional liability coverage for actual or alleged errors and omissions
committed in the course of professional conduct or practice for a variety of professionals
including, among others, lawyers and design professionals; and professional and management
liability, property, workers’ compensation, auto and general liability and fidelity insurance for
financial institutions.
•International, through its operations in Canada, the United Kingdom and the Republic of
Ireland, offers specialized insurance and risk management services to several customer groups,
including, among others, those in the technology, public services, and financial and professional
services industry sectors. In addition, International markets personal lines and small commercial
insurance business in Canada through Dominion, which the Company acquired on November 1,
2013. International, through its Lloyd’s syndicate (Syndicate 5000), for which the Company
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