Progressive 2014 Annual Report Download - page 80

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Statements in this report that are
not historical fact are forward-looking statements that are subject to certain risks and uncertainties that could cause actual
events and results to differ materially from those discussed herein. These risks and uncertainties include, without limitation,
uncertainties related to estimates, assumptions, and projections generally; inflation and changes in economic conditions
(including changes in interest rates and financial markets); the possible failure of one or more governmental, corporate, or
other entities to make scheduled debt payments or satisfy other obligations; the potential or actual downgrading by one or
more rating agencies of our securities or governmental, corporate, or other securities we hold; the financial condition of, and
other issues relating to the strength of and liquidity available to, issuers of securities held in our investment portfolios and
other companies with which we have ongoing business relationships, including reinsurers and other counterparties to
certain financial transactions; the accuracy and adequacy of our pricing and loss reserving methodologies; the
competitiveness of our pricing and the effectiveness of our initiatives to attract and retain more customers; initiatives by
competitors and the effectiveness of our response; our ability to obtain regulatory approval for the introduction of products to
new jurisdictions, for requested rate changes and the timing thereof and for any proposed acquisitions; the effectiveness of
our brand strategy and advertising campaigns relative to those of competitors; legislative and regulatory developments at
the state and federal levels, including, but not limited to, matters relating to vehicle and homeowners insurance, health care
reform and tax law changes; the outcome of disputes relating to intellectual property rights; the outcome of litigation or
governmental investigations that may be pending or filed against us; weather conditions (including the severity and
frequency of storms, hurricanes, floods, snowfalls, hail, and winter conditions); changes in driving patterns, including vehicle
usage as influenced by the level of oil and gas prices, among other factors; our ability to accurately recognize and
appropriately respond in a timely manner to changes in loss frequency and severity trends; technological advances; acts of
war and terrorist activities; our ability to maintain the uninterrupted operation of our facilities, systems (including information
technology systems), and business functions, and safeguard personal and sensitive information in our possession; our
continued access to and functionality of third-party systems that are critical to our business; court decisions, new theories of
insurer liability or interpretations of insurance policy provisions and other trends in litigation; changes in health care and auto
and property repair costs; and other matters described from time to time in our releases and publications, and in our
periodic reports and other documents filed with the United States Securities and Exchange Commission. In addition,
investors should be aware that generally accepted accounting principles prescribe when a company may reserve for
particular risks, including litigation exposures. Accordingly, results for a given reporting period could be significantly affected
if and when a reserve is established for one or more contingencies. Also, our regular reserve reviews may result in
adjustments of varying magnitude as additional information regarding claims activity becomes known. Reported results,
therefore, may be volatile in certain accounting periods.
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