Guarantee Insurance Company Reports First Quarter Financial Results

FORT LAUDERDALE, FL – April 19, 2011

First Quarter 2011 Financial Highlights Compared to First Quarter 2010

  • Direct premium written increased $11.0M to $40.8M
  • Net premium written increased $12.2M to $29.6M
  • Loss & loss adjustment expense declined 9.3% to 54.1%
  • Net underwriting and other operating expenses declined 18.0% to 15.6%
  •  Combined ratio improved 11.4% to 69.7%

Guarantee Insurance Company, reported total net written premium of $29.6 million for the first quarter ended March 31st, 2011, an increase of 70.4% from $17.4 million reported in the same quarter of 2010. Direct premiums written in the first quarter of 2011 were $40.8 million, an increase of 36.9% from $29.8M reported in the same quarter of 2010.

Guarantee’s 2011 first quarter combined ratio was 69.7%, compared to 78.7% in the first quarter of 2010, a decrease of 11.4%. Loss and loss adjustment expense was 54.1%, down 9.3% from 59.7% in the first quarter of 2010. Net underwriting and other operating expenses declined 18.0% from 19.0% in Q1 2010 to 15.6% in Q1 2011.

“We are pleased with our results in the first quarter as we continue to achieve profitable growth in a competitive environment,” said Steven M. Mariano, Chairman & CEO of Guarantee Insurance Company.

Commenting further, Mr. Mariano said, “Guarantee has almost achieved scale in its business model and the net underwriting and other operating expenses are beginning to settle into a targeted 15% expense ratio range. The improvement in loss and loss adjustment expense is attributable to our growing portfolio of large deductible programs.”

Ernst Csiszar Appointed Vice Chairman of Guarantee Insurance Company

FORT LAUDERDALE, FL – February 15, 2011

Guarantee Insurance Company, announced today that Ernst N. Csiszar has been appointed Vice Chairman of its Board of Directors. The appointments are effective February 10, 2011.

Steven M. Mariano, Chairman & CEO of Guarantee Insurance Company commented, “We are excited to have Ernie join our Board as Vice Chairman. With his broad insurance company and regulatory background, we believe Ernie can help Guarantee move to the next level. We believe his skills and experience will prove invaluable as we seek to grow and build our company.”

Mr. Csiszar is currently a clinical professor of finance at the Moore School of Business, University of South Carolina. He is a past president of the National Association of Insurance Commissioners. Mr. Csiszar also sits on the Board of Directors for Mastec, Inc., an NYSE listed specialty contractor and PHTS Services, Ltd., a service provider to the healthcare industry and is a Senior Advisor to Bridge Strategy Group LLC, a management consulting firm.

Mr. Csiszar earned his LL.B. and B.A. from the University of Windsor in Canada. He began his professional career as a lawyer practicing commercial and corporate law in Canada. From 1979 to 1988, Mr. Csiszar was a partner and managing co-director of Holborn Holding Corporation based in Geneva, Switzerland. He subsequently served as managing director of CG Associates from 1988 to 1995, and president and CEO of Seibels Bruce Group, Inc., a South Carolina-based property and casualty insurance company, from 1993 to 1998. Mr. Csiszar was the State of South Carolina’s insurance commissioner from 1999 to 2004, and president and CEO of the Property and Casualty Insurers of America, the largest property and casualty insurance association in the United States, from 2004 to 2006.

Mr. Csiszar, commenting on his appointment, ”I am looking forward to working with Steve and his senior management team. Steve has developed a unique business model and assembled an outstanding team. Guarantee is positioned to become a leader in the workers’ compensation industry and I am pleased to be involved in its future growth and prosperity.”

Guarantee Insurance Company Announces Capital Infusion to Support Growth and Operations

FORT LAUDERDALE, FL ‒ December 3, 2010

Guarantee Insurance Company, a workers’ compensation insurance specialist, announced today that it has closed on an $8.0 million equity infusion.

Steven M. Mariano, Chairman and Chief Executive Officer, said: “This capital will be used to support our growth, expand into new geographic markets, and improve operations. It is a testament to our management team and our operating strategy that we have received a capital infusion in this very difficult economic environment.”

Guarantee Insurance Company reported net premium written of $54.4 million for the nine months ended September 30, 2010, an increase of 36.8% compared to the same period in 2009. 

Guarantee Insurance Company’s workers’ compensation combined ratio for the nine months ended September 30, 2010 was 84.8%, compared to 93.6% for the nine months ended September 30, 2009, a decrease of 8.8% percentage points.

Charles Schuver Appointed President of Guarantee Insurance Company

FORT LAUDERDALE, FL ‒ January 6, 2011

Guarantee Insurance Company announces the appointment of Charles K. Schuver as President and Chief Operating Officer.  Mr. Schuver was previously Chief Underwriting Officer for Guarantee Insurance Company and will continue to retain that responsibility. In his new role, Mr. Schuver will oversee all operations of Guarantee Insurance Company, a specialty workers’ compensation insurance provider.

Steven Michael Mariano, Chief Executive Officer and Chairman of Guarantee Insurance Company said, “Since joining Guarantee in May 2008, Charlie has demonstrated a sophisticated understanding of our business and succeeded in growing premium and profit for the company. His many accomplishments make him the natural choice to lead the organization.”

“I look forward to the expanded role,” Mr. Schuver said. “Guarantee Insurance Company has a great platform and I am excited to be working even more directly with our dedicated and experienced staff to deliver excellent products and services in the specialty workers’ compensation market.”

Mr. Schuver has 30 years experience in the insurance industry and has held numerous senior management positions with leading insurance companies. Prior to joining Patriot National, Mr. Schuver was Corporate Underwriting Executive at Arch Insurance Group, and held previous positions of Strategic Development Executive, Casualty Practice Leader and General Manager at Royal and Sun Alliance Insurance Group. He is a graduate of the University of Washington (BS) and the University of Pennsylvania (MS).