Travelers 2015 Annual Report Download - page 10

effort that focuses on the injured employee’s early return to work and cost-effective quality care.
The Company offers the following types of workers’ compensation products:
• guaranteed-cost insurance products, in which policy premium charges are fixed for the
period of coverage and do not vary as a result of the insured’s loss experience;
• loss-sensitive insurance products, including large deductible and retrospectively rated
policies, in which fees or premiums are adjusted based on actual loss experience of the
insured during the policy period; and
• service programs, which are generally sold to the Company’s National Accounts customers,
where the Company receives fees rather than premiums for providing loss prevention, risk
management, and claim and benefit administration services to organizations under service
agreements.
The Company also participates in state assigned risk pools as a servicing carrier and pool
participant.
•Commercial Automobile. Provides coverage for businesses against losses incurred from personal
bodily injury, bodily injury to third parties, property damage to an insured’s vehicle and property
damage to other vehicles and other property resulting from the ownership, maintenance or use
of automobiles and trucks in a business.
•Commercial Property. Provides coverage for loss of or damage to buildings, inventory and
equipment from a variety of events, including, among others, hurricanes and other windstorms,
tornadoes, earthquakes, hail, wildfires, severe winter weather, floods, volcanic eruptions,
tsunamis, theft, vandalism, fires, explosions, terrorism and financial loss due to business
interruption resulting from covered property damage. For additional information on terrorism
coverages, see ‘‘Reinsurance—Catastrophe Reinsurance—Terrorism Risk Insurance Program.’’
Commercial property also includes specialized equipment insurance, which provides coverage for
loss or damage resulting from the mechanical breakdown of boilers and machinery, and ocean
and inland marine insurance, which provides coverage for goods in transit and unique, one-
of-a-kind exposures.
•General Liability. Provides coverages for businesses against third-party claims arising from
accidents occurring on their premises or arising out of their operations, including as a result of
injuries sustained from products sold. Specialized liability policies may also include coverage for
directors’ and officers’ liability arising in their official capacities, employment practices liability
insurance, fiduciary liability for trustees and sponsors of pension, health and welfare, and other
employee benefit plans, errors and omissions insurance for employees, agents, professionals and
others arising from acts or failures to act under specified circumstances, as well as umbrella and
excess insurance.
•Commercial Multi-Peril. Provides a combination of the property and liability coverages
described in the foregoing product line descriptions.
International
• Provides coverage for auto and motor (similar to automobile coverage in the United States),
personal property, employers’ liability (similar to workers’ compensation coverage in the United
States), public and product liability (the equivalent of general liability), professional indemnity
(similar to professional liability coverage), commercial property, surety, marine, aviation,
personal accident and kidnap & ransom. Marine provides coverage for ship hulls, cargoes
carried, private yachts, marine-related liability, offshore energy, ports and terminals, fine art and
terrorism. Aviation provides coverage for worldwide aviation risks including physical damage and
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