Progressive 2005 Annual Report Download - page 32

Download and view the complete annual report

Please find page 32 of the 2005 Progressive annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 38

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38

|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
.36
REPORT OF INDEPENDENT REGISTERED
PUBLIC ACCOUNTING FIRM
To the Board of Directors and Shareholders of
The Progressive Corporation:
We have audited, in accordance with the standards of the Public
Company Accounting Oversight Board (United States), the con-
solidated financial statements of The Progressive Corporation as
of December 31, 2005 and 2004, and for each of the three years in
the period ended December 31, 2005, management’s assessment
of the effectiveness of the Company’s internal control over finan-
cial reporting as of December 31, 2005 and the effectiveness of
the Company’s internal control over financial reporting as of
December 31, 2005; and in our report dated February 28, 2006, we
expressed unqualified opinions thereon. The consolidated finan-
cial statements and management’s assessment of the effectiveness
of internal control over financial reporting referred to above (not
presented herein) appear in The Progressive Corporation’s 2005
Annual Report to Shareholders, which is attached as an Appen-
dix to The Progressive Corporation’s 2006 Proxy Statement.
In our opinion, the information set forth in the accompanying
condensed consolidated financial statements is fairly stated, in
all material respects, in relation to the consolidated financial state-
ments from which it has been derived.
Cleveland, Ohio
February 28, 2006
INTERNAL CONTROL OVER FINANCIAL REPORTING
The Company’s management is responsible for establishing and
maintaining adequate internal control over financial reporting.
Based on the Company’s evaluation under the framework in
Internal Control — Integrated Framework issued by the Commit-
tee of Sponsoring Organizations of the Treadway Commission
(COSO), management concluded that the Company’s internal con-
trol over financial reporting was effective as of December 31, 2005.
The complete “Management’s Report on Internal Control over
Financial Reporting,” as required by Section 404 of The Sarbanes-
Oxley Act of 2002 and applicable SEC regulations, along with the
related report of PricewaterhouseCoopers LLP, is presented in the
2005 Annual Report to Shareholders, which is attached as an
Appendix in the Company’s 2006 Proxy Statement.