Travelers 2014 Annual Report Download - page 16

Table of Contents
Competition
The competitive landscape in which the Bond & Specialty Insurance segment operates is affected by many of the same factors described
previously for the Business and International Insurance segment. Competitors in this market are primarily national property and casualty insurance
companies that write most classes of business and, to a lesser extent, regional insurance companies and companies that have developed niche
programs for specific industry segments.
Bond & Specialty Insurance underwrites and markets its products to all sizes of businesses and other organizations, as well as individuals.
The Company believes that its reputation for timely and consistent decision making, a nationwide network of local underwriting, claims and
industry experts and strong producer and customer relationships, as well as its ability to offer its customers a full range of products, provides
Bond & Specialty Insurance an advantage over many of its competitors and enables it to compete effectively in a complex, dynamic marketplace.
The Company believes that the ability of the Bond & Specialty Insurance segment to cross
- sell its products to customers of the Business and
International Insurance and Personal Insurance segments provides additional competitive advantages for the Company.
PERSONAL INSURANCE
The Company's Personal Insurance segment writes a broad range of property and casualty insurance covering individuals' personal risks. The
primary products of automobile and homeowners insurance are complemented by a broad suite of related coverages.
Selected Product and Distribution Channel Information
The following table sets forth net written premiums for the Personal Insurance segment's business by product line for the periods indicated.
For a description of the product lines referred to in the following table, see "—Product Lines." In addition, see "—Principal Markets and Methods
of Distribution" for a discussion of distribution channels for Personal Insurance's product lines.
Principal Markets and Methods of Distribution
Personal Insurance products are distributed primarily through approximately 11,100 active independent agencies located throughout the
United States, supported by personnel in nine sales regions. In addition, sales and service are provided to customers through five contact centers.
While the principal markets for Personal Insurance products continue to be in states along the East Coast, California and Texas, the business
continues to expand its geographic presence across the United States. See "Competition" below for a discussion of the Company's newest private
passenger automobile product, Quantum Auto 2.0.
In selecting new independent agencies to distribute its products, Personal Insurance considers, among other attributes, each agency's
profitability, financial stability, staff experience and strategic fit with the segment's operating and marketing plans. Once an agency is appointed,
Personal Insurance carefully monitors its performance.
Agents can access the Company's agency service portal for a number of resources including customer service, marketing and claims
management. In addition, agencies can choose to shift the
15
(for the year ended December 31, in millions)
2014
2013
2012
% of Total
2014
By product line:
Automobile
$
3,390
$
3,370
$
3,642
47.3
%
Homeowners and Other
3,775
3,855
3,952
52.7
Total Personal Insurance
$
7,165
$
7,225
$
7,594
100.0
%