ISO’s PCS Unit Estimates Insurers to Pay $1.13 Billion in Third-Quarter Catastrophe Claims, Announces Final Katrina Estimate – 10/15/07

JERSEY CITY, N.J., October 15, 2007 — U.S. property/casualty insurers are expected to pay homeowners and businesses an estimated $1.125 billion for third-quarter property losses resulting from a total of six catastrophes in 11 states, according to preliminary analysis by ISO’s Property Claim Services® (PCS®) unit.

PCS estimates the six catastrophes of third-quarter 2007 generated 260,000 claims. Year to date, catastrophes have caused approximately $4.7 billion in insured property damage resulting from an estimated 997,000 claims nationwide.

Following is a summary of third-quarter losses and frequency since 1998:

Year Insured Loss ($) Frequency

1998 4.07 billion 8

1999 2.72 billion 7

2000 315 million 3

2001 19.1 billion 4

2002 715 million 6

2003 3.72 billion 7

2004 23.7 billion 8

2005 48.4 billion 7

2006 1.25 billion 7

2007 1.13 billion 6

Third-quarter catastrophes struck 11 states across the Midwest from Colorado to Pennsylvania. Minnesota and Illinois were affected by three of the six catastrophic events and suffered the greatest insured property damage from the storms.

During the third quarter, 62 percent of the total loss affected personal lines risks, with 20 percent affecting commercial lines and 18 percent involving loss to vehicles.

PCS has also published its final estimate for Hurricane Katrina, which struck the Gulf Coast in 2005. Approximately $41.1 billion is related to nearly 1.75 million claims reported in the aftermath of the hurricane.

ISO’s PCS unit defines a catastrophe as an event that causes $25 million or more in insured property losses and affects a significant number of policyholders and insurers.

PCS estimates represent anticipated insured loss on an industry wide basis arising from catastrophes. Estimates reflect the total insurance payment for personal and commercial property lines of insurance covering fixed property, personal property, vehicles, boats, related property items, business interruption, and additional living expenses. The estimates exclude loss adjustment expenses.

About PCS

ISO’s Property Claim Services (PCS) unit serves property/casualty insurers and reinsurers as an authoritative source of catastrophe loss information, providing estimates of anticipated industry wide insured losses arising from catastrophes. The estimates reflect the total insurance payment for personal and commercial property items, business interruption, terrorism, workers compensation, and additional living expenses. The estimates exclude loss adjustment expenses.

About ISO

ISO is a leading provider of products and services that help measure, manage, and reduce risk. ISO provides data, analytics, and decision-support solutions to professionals in many fields, including insurance, finance, real estate, health services, government, and human resources. Professionals use ISO’s databases and services to classify and evaluate a variety of risks and detect potential fraud. In the United States and around the world, ISO’s services help customers protect people, property, and financial assets.