Mercury Insurance 2009 Annual Report Download - page 20

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Organization
Mercury General, an insurance holding company, is the parent of Mercury Casualty Company (“MCC”), a
California automobile insurer founded in 1961 by George Joseph, the Company’s Chairman of the Board of
Directors. Including MCC, Mercury General has 21 subsidiaries. The Company’s insurance operations are
conducted through the following insurance subsidiaries:
Insurance Companies(1)
Date Formed or
Acquired
A.M. Best
Ratings Primary States
Mercury Casualty Company (“MCC”)(2) ............ January 1961 A+ CA, AZ, FL, NV, NY, VA
Mercury Insurance Company (“MIC”)(2) ............ November 1972 A+ CA
California Automobile Insurance Company
(“CAIC”)(2) ................................. June 1975 A+ CA
California General Underwriters Insurance Company
(“CGU”)(2) .................................. April 1985 Non-rated CA
Mercury Insurance Company of Illinois (“MIC IL”) . . . August 1989 A+ IL
Mercury Insurance Company of Georgia
(“MIC GA”) ................................ March 1989 A+ GA
Mercury Indemnity Company of Georgia
(“MID GA”) ................................ November 1991 A+ GA
Mercury National Insurance Company (“MNIC”) ..... December 1991 A+ IL, MI
American Mercury Insurance Company (“AMI”) ..... December 1996 A- OK, FL, GA, TX
American Mercury Lloyds Insurance Company
(“AML”) ................................... December 1996 A- TX
Mercury County Mutual Insurance Company
(“MCM”) ................................... September 2000 A- TX
Mercury Insurance Company of Florida (“MIC FL”) . . August 2001 A+ FL, PA
Mercury Indemnity Company of America
(“MIDAM”) ................................ August 2001 A+ NJ
Non-Insurance Companies
Date Formed or
Acquired Purpose
Mercury Select Management Company, Inc.
(“MSMC”) ................................. August 1997 AML’s attorney-in-fact
American Mercury MGA, Inc. (“AMMGA”) ......... August 1997 General agent
Concord Insurance Services, Inc. (“Concord”) ........ October 1999 Inactive insurance agent since 2006
Mercury Insurance Services, LLC (“MIS LLC”) ...... November 2000 Management services to subsidiaries
Mercury Group, Inc. (“MGI”) ..................... July 2001 Inactive insurance agent since 2007
AIS Management, LLC (“AISM”)(3) ................ January 2009 Parent company of AIS and PoliSeek
Auto Insurance Specialists, LLC (“AIS”)(3) .......... January 2009 Insurance agent
PoliSeek AIS Insurance Solutions, Inc.
(“PoliSeek”)(3) ............................... January 2009 Insurance agent
(1) All of the Company’s insurance subsidiaries as a group are referred to as the “Insurance Companies.”
(2) The term “California Companies” refers to MCC, MIC, CAIC, and CGU.
(3) On October 10, 2008, MCC entered into a Stock Purchase Agreement (the “Purchase Agreement”) with Aon
Corporation, a Delaware corporation, and Aon Services Group, Inc., a Delaware corporation. Pursuant to the
terms of the Purchase Agreement effective January 1, 2009, MCC acquired all of the membership interest of
AISM, a California limited liability company, which is the parent company of AIS and PoliSeek.
Production and Servicing of Business
The Company sells its policies through approximately 5,100 independent agents and brokers, of which over
1,000 are located in each of California and Florida. The remaining agents and brokers are located
2