SOURCE: The Main Street America Group

March 17, 2008 10:00 ET

The Main Street America Group Reports Strong Financial Results for 2007

Property-Casualty Company Generates Record Net Income for Second Consecutive Year

JACKSONVILLE, FL--(Marketwire - March 17, 2008) - The Main Street America Group announced today it achieved some of the best financial results in its 84-year history during its fiscal year ended Dec. 31, 2007, and surpassed many of the milestones it set in 2006.

This included $88.2 million of net income, the most the Jacksonville, Fla.-based super regional property-casualty insurance company has ever earned in a single year, and nearly 20 percent more than its 2006 record net income of $73.7 million. This led to a return on equity of 17.8 percent, 2 percent higher than its 15.8 percent return on equity in 2006, and a combined ratio of 95.8, lower than its 2006 combined ratio of 96.3.

Main Street America's 2007 results also included the affirmation of its "A" (Excellent) rating by A.M. Best., the insurance industry's premier rating agency, and improved combined ratios in commercial lines (93.7) and surety (90.8). The company also increased its statutory surplus and equity to $619.6 million and its direct written premium to $851 million.

Main Street America's 2007 achievements included the successful launch of its multivariate personal auto product, Personal Auto MVP, in six states. Personal Auto MVP is a robust rating program that features billion of price points and additional rating tiers, enabling Main Street America to attract many more insureds through better alignment of its rates and exposures.

"We could not have achieved our financial success in 2007 without the tireless efforts of all of our employees and our customers -- independent insurance agents," said Main Street America chairman, president and chief executive officer Tom Van Berkel.

Van Berkel added, "We remain 100 percent committed to our Main Street market niche and the independent agency system as our sole distribution channel as we continue to profitably grow our book of business."

To learn more about The Main Street America Group's 2007 results, please read the company's 2007 annual report at www.msagroup.com.

About The Main Street America Group

With roots dating back to 1923, The Main Street America Group is a super regional insurance company that operates four property-casualty insurance carriers: NGM Insurance Company, Old Dominion Insurance Company, Main Street America Assurance Company and MSA Insurance Company. Based in Jacksonville, Fla., Main Street America offers a wide range of commercial and personal insurance products, and fidelity and surety bond products, to individuals, families and businesses.

With more than $850 million in direct premium written exclusively by more than 1,100 independent insurance agents, Main Street America insures more than 500,000 policyholders along the Eastern Seaboard from Maine to Florida. The company has regional offices in Jacksonville; Keene, N.H.; Richmond, Va.; and Syracuse, N.Y., and a claims reporting center in Auburn, Mass. A.M. Best Company rates The Main Street America Group as an "A" (Excellent). Main Street America is the founding company partner of Trusted Choice®, the global branding program of the Independent Insurance Agents & Brokers of America. For more information about Main Street America, please visit www.msagroup.com

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