Letter from Mark Wilhelm, CEO

I hope this newsletter finds you well. As we weather the continuing economic storm, and the storms Mother Nature has sent our way in the past month, we look back at another strong year for Safety National. Our year-end numbers were made public a few days ago and we are extremely pleased by the success we experienced in 2010. Our surplus rose to $729 million, assets climbed to $2.5 billion and our gross written premium increased 12 percent over last year to $400 million. It goes without saying that we would not have experienced this continued success without the loyalty of our brokers and policyholders.

We were fortunate to have our 2010 successes recognized recently by Best’s Review, one of the leading publications in our industry.  Best’s approached us at the end of last year to see if we would be interested in discussing how our company has thrived when so many other carriers in the excess workers’ compensation market are struggling. The result was a great video interview and print article in Best’s Review magazine.  The video is available to all; however, you need to be a Best’s Review subscriber to view the article. We thank Al Slavin, Senior Editor at Best’s Review, for providing us this great opportunity to share our story.

As you hopefully know by now, we expanded our product line in 2010 to include commercial auto and general liability coverage, further complementing our offerings in the workers’ compensation arena. This suite of new products is available through our Large Casualty Program. I’m pleased to announce that we are now expanding these new offerings to our public entity accounts. This allows us to provide added lines of coverage and service to a segment that constitutes a large part of our policyholder base. We expect to see the same great response to this expansion as we did when the Large Casualty Program launched last year.

We hope you continue to visit our website as we are frequently adding new features designed to provide you with value and useful information. One of the new features we recently added was a new Claims Expertise section that is discussed in further detail later in this newsletter. I hope you’ll take some time to visit the page.

On behalf of all the hard-working employees here at Safety National, I want to thank you again for your continued, meaningful partnership with us and we wish you the best of luck throughout 2011.