AmTrust Financial Services, Inc. Reports Third Quarter Operating Earnings(1) of $48.8 Million and Net Income of $43.2 Million

AmTrust Financial Services, Inc. Reports Third Quarter Operating Earnings(1)
of $48.8 Million and Net Income of $43.2 Million

       Book Value Per Share of $16.01, Up 18.9% Since December 31, 2011

Financial Highlights

Third Quarter 2012

  *Gross written premium of $736.6 million, up 31.3% from the prior year
  *Operating diluted EPS^(1)(2) of $0.75 ($0.01 attributable to gain on life
    settlement contracts) compared to $0.66 ($0.06 attributable to gain on
    life settlement contracts) in the third quarter 2011
  *Annualized operating return on equity^(1) of 18.8% and annualized return
    on equity of 16.7%
  *Net earned premium of $387.4 million, up 34.1% from third quarter 2011
  *Commission and other revenues of $115.1 million, up 36.1% from third
    quarter 2011
  *Operating earnings^(1) of $48.8 million compared to $42.2 million in the
    third quarter 2011
  *Third quarter 2012 results include gain on life settlement contracts net
    of non-controlling interest of $1.0 million compared to $3.8 million in
    the third quarter of 2011
  *Net income of $43.2 million compared to $37.2 million in third quarter
    2011
  *Diluted EPS ^(2) of $0.66 compared to $0.58 in the third quarter 2011
  *Combined ratio of 90.2% compared to 89.3% in the third quarter 2011

YTD 2012

  *Gross written premium of $2.0 billion, up 26.3%, or 30.1% excluding $45.0
    million in one-time unearned premium transfers in the prior year
  *Operating diluted EPS^(1)(2) of $2.17 ($0.03 attributable to gain on life
    settlement contracts) compared to $2.23 ($0.44 attributable to gain on
    life settlement contracts) in the first nine months of 2011
  *Annualized operating return on equity^(1) of 18.8% and annualized return
    on equity of 16.6%
  *Net earned premium of $1.04 billion, up 40.4% from the first nine months
    of 2011
  *Commission and other revenues of $311.9 million, up 33.4% from the first
    nine months of 2011
  *Operating earnings^(1) of $138.2 million compared to $138.8 million in the
    first nine months of 2011
  *2012 results include gain on life settlement contracts net of
    non-controlling interest of $2.2 million compared to $27.4 million in the
    first nine months of 2011
  *Net income of $122.7 million compared to $132.5 million from the first
    nine months of 2011
  *Diluted EPS ^(2) of $1.93 compared to $2.13 in the first nine months of
    2011
  *Combined ratio of 89.2% compared to 89.0% in the first nine months of 2011
  *Book value per share of $16.01, up from $13.47 as of December 31, 2011
  *Shareholders' equity was $1.1 billion as of September 30, 2012

NEW YORK, Nov. 6, 2012 (GLOBE NEWSWIRE) -- AmTrust Financial Services, Inc.
(Nasdaq:AFSI) ("the Company") today reported third quarter 2012 operating
earnings^(1) of $48.8 million, or $0.75 per diluted share, compared to $42.2
million, or $0.66 per diluted share^(2), in the third quarter of 2011. Net
income totaled $43.2 million, or $0.66 per diluted share, for the third
quarter of 2012 compared to $37.2 million, or $0.58 per diluted share^(2), in
the third quarter of 2011. Third quarter 2012 operating earnings included a
gain of $1.0 million, or $0.01 per diluted share, for life settlements
compared to $3.8 million, or $0.06 per diluted share, for the third quarter of
2011.

During the first nine months of 2012, net income totaled $122.7 million, down
7.4% from $132.5 million in the first nine months of 2011. Earnings per
diluted share^(2) totaled $1.93 in the first nine months of 2012, a decrease
of 9.4% from $2.13 in the same period a year ago. Operating earnings^(1)
totaled $138.2 million, or $2.17 per diluted share, a decrease of 0.4% from
$138.8 million, or $2.23 per diluted share^(2), in the first nine months of
2011. In the first nine months of 2012, operating earnings included $2.2
million, or $0.03 per diluted share, for a gain on life settlements compared
to $27.4 million, or $0.44 per diluted share, for the first nine months of
2012.Per share results for the third quarter and nine months reflect a 10%
stock dividend the Board of Directors declared on August 6, 2012.

Third Quarter 2012 Results

For the third quarter of 2012, total revenue of $502.5 million increased
$129.1 million, or 34.6%, from $373.4 million a year ago. Gross written
premium of $736.6 million rose $175.4 million, or 31.3%, from $561.2 million
compared to the same period a year ago. Net written premium of $483.7 million
increased $161.8 million, or 50.2%, from $321.9 million in the third quarter
in 2011. Net earned premium of $387.4 million increased $98.6 million, or
34.1%, from $288.8 million in the third quarter of 2011.

Ceding commissions, primarily related to the reinsurance agreements with
Maiden Holdings, Ltd. ("Maiden"), totaled $49.9 million, up 22.4% from $40.7
million a year ago. During the quarter, AmTrust ceded $189.7 million of gross
written premium and $179.1 million of earned premium to Maiden compared to
$173.2 million of gross written premium and $160.2 million of earned premium
ceded in the third quarter of 2011.

Total service and fee income of $44.6 million increased $15.7 million, or
54.6%, from $28.8 million in the third quarter of 2011 and included $7.2
million from related parties compared with $4.2 million in the third quarter
of 2011.

Investment income, excluding net realized gains and losses, totaled $18.4
million, an increase of 27.5% from $14.5 million in the third quarter of 2011.
In addition, third quarter 2012, results include net realized investment gains
of $2.2 million, or $1.4 million after-tax, on certain fixed income and equity
investments compared with $0.6 million, or $0.4 million after-tax, in the
third quarter of 2011.

In the third quarter 2012, net gain on life settlements including
non-controlling interest was $3.3 million. Operating earnings^(1) included
gain on life settlement contracts of $1.0 million, net of non-controlling
interest.

Loss and loss adjustment expense totaled $255.6 million, an increase of $70.3
million from $185.4 million in the third quarter of 2011 and resulted in a
loss ratio of 66.0% compared with 64.2% for the third quarter of 2011.

Acquisition costs and other underwriting expenses of $143.7 million increased
$30.5 million from $113.3 million in the third quarter of 2011. Acquisition
costs and other underwriting expenses less ceding commissions totaled $93.9
million compared to $72.5 million in the third quarter of 2011. The expense
ratio was 24.2%, down from 25.1% in the third quarter of 2011.

Other expenses of $42.3 million increased $18.3 million from $24.0 million in
the third quarter of 2011.

Year-to-Date 2012 Results

For the first nine months of 2012, total revenue was $1.35 billion, an
increase of $376.1 million, or 38.7%, from $971.2 million a year ago. Gross
written premium of $2.0 billion rose $412.0 million, or 26.3%, from $1.6
billion for the same period the year before. Net written premium was $1.24
billion, an increase of $303.4 million, or 32.6%, from $931.6 million a year
ago. Net earned premium of $1.04 billion increased $298.0 million, or 40.4%,
from $737.5 million the year before.

Commission and other revenues were $311.9 million, an increase of $78.1
million, or 33.4%, from $233.8 million for the first nine months of 2011 and
represented 23.1% of total revenue. The combined ratio totaled 89.2% compared
with 89.0%for the first nine months of 2011.

Ceding commissions, primarily related to the reinsurance agreements with
Maiden, totaled $140.7 million, up 25.8% from $111.8 million a year ago.
During the first nine months of 2012, AmTrust ceded $576.9 million of gross
written premium and $515.4 million of earned premium to Maiden compared to
$513.9 million of gross written premium and $410.8 million of earned premium
ceded during the first nine months of 2011.

Total service and fee income of $118.1 million increased $39.6 million, or
50.4%, from $78.5 million for the first nine months of 2011 and included $20.2
million from related parties compared with $12.1 million for the first nine
months of 2011.

Investment income, excluding net realized gains and losses, totaled $49.3
million, an increase of 17.9% from $41.8 million for the first nine months of
2011. In addition, the first nine months of 2012 results included net realized
investment gains of $3.8 million, or $2.4 million after-tax, on certain fixed
income and equity investments compared with $1.6 million, or $1.0 million
after-tax, compared to the same period a year ago.

During the first nine months of 2012, net gain on life settlements including
non-controlling interest was $5.3 million compared to $48.3 million a year
ago. Operating earnings^(1) included gain on life settlement contracts of $2.2
million, net of non-controlling interest, compared to $27.4 million for the
first nine months of 2011.

Loss and loss adjustment expense totaled $667.4 million, an increase of $183.3
million from $484.1 million for the first nine months of 2011 and resulted in
a loss ratio of 64.5% compared with 65.6% for the first nine months of2011.

Acquisition costs and other underwriting expenses of $397.5 million increased
$113.4 million from $284.1 million for the first nine months of 2011.
Acquisition costs and other underwriting expenses less ceding commissions
totaled $256.8 million compared with $172.3 million for the first nine months
of 2011. The expense ratio was 24.8%, compared to 23.4% for the first nine
months of 2011.

Other expenses of $110.3 million increased $47.5 million from $62.8 million
for the first nine months of 2011.

Total assets of $6.8 billion increased 19.1% from $5.7 billion as of
December31, 2011.Total cash, cash equivalents andinvestments of $2.6
billion increased $493.8 million, or 23.7%, from $2.1 billion as of December
31, 2011. Shareholders' equity of $1.1 billion increased 20.6% from $890.6
million as of December 31, 2011.

During the nine months of 2012, the Board of Directors declared dividends
totaling $0.29 per share.In addition, during the third quarter 2012, the
Board of Directors declared a 10% stock dividend.As of September30, 2012,
the Company's long-term debt-to-capitalization ratio was 21.9% compared with
23.9% as of December 31, 2011.

Subsequent Event

On October 31, 2012, the Company announced an agreement to acquire Car Care
Plan (Holdings) Limited (CCPH) from Ally Insurance Holdings, Inc. for
approximately $70 million.CCPH provides a variety of warranty related
insurance and administrative services to major auto manufacturers.CCPH has
operations in the UK, Europe, North America, China and Brazil.CCPH has total
assets of over $360 million.Over the next year, CCPH is expected to generate
revenue of $140 million including fee income of over $30 million and at least
$14 million in pre-tax profits. The transaction is expected to close in the
first quarter of 2013.

(1) References to operating earnings, operating diluted EPS, and operating
return on equity are non-GAAP financial measures defined by the Company as net
income, diluted earnings per share and return on equity excluding after-tax
net realized investment gain and loss on securities, non-cash amortization of
certain intangible assets, non-cash interest on convertible senior notes net
of tax, foreign currency transaction gain and loss and gain on acquisition net
of tax. Please see the Non-GAAP Financial Measures table at the end of this
release for important information about the use of these non-GAAP measures and
their reconciliation to GAAP.

(2) In September 2012, the Company paid a ten percent stock dividend.As a
result, prior year's weighted average common shares outstanding, diluted
shares outstanding, earnings per share, diluted earnings per share and
operating diluted earnings per share have been adjusted.The dividend resulted
in a reduction of $0.02 for each earnings per share calculation for both
periods presented in 2011.Additionally in 2011, earnings per share were
positively impacted by $0.03 for a retrospective gain on a pre-tax basis of
$5.9 million, or $3.8 million after-tax, which wasadjusted from a pre-tax
gain of $2.7 million, or $1.7 million after-tax, on the acquisition of
Majestic during the third quarter of 2011.

Conference Call:

On November6, 2012 at 9 a.m. ET, CEO Barry Zyskind and CFO Ron Pipoly will
review these results via a conference call and webcast that may be accessed as
follows:

Toll-Free Dial-in:877.755.7421

Toll Dial-in (Outside the U.S):973.200.3087

Webcast registration: http://ir.amtrustgroup.com/events.cfm

A replay of the conference call will be available at approximately 12:00 p.m.
ET Tuesday, November6, 2012 through Tuesday, November 13, 2012. To listen to
the replay, please dial 800.585.8367 (within the U.S.) or 404.537.3406
(outside the U.S.) and enter replay passcode 59445478, or access
http://ir.amtrustgroup.com/events.cfm.

About AmTrust Financial Services, Inc.

AmTrust Financial Services, Inc., headquartered in New York City, is a
multinational insurance holding company, which, through its insurance
carriers, offers specialty property and casualty insurance products, including
workers' compensation, commercial automobile and general liability; extended
service and warranty coverage.For more information about AmTrust, visit
www.amtrustgroup.com, or call AmTrust toll-free at 855-327-2223.

The AmTrust Financial Services, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=3280

Forward Looking Statements

This news release contains "forward-looking statements" that are made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. The forward-looking statements are based on the Company's current
expectations and beliefs concerning future developments and their potential
effects on the Company. There can be no assurance that actual developments
will be those anticipated by the Company.Actual results may differ materially
from those expressed or implied in these statements as a result of significant
risks and uncertainties, including, but not limited to, non-receipt of
expected payments from insureds or reinsurers, changes in interest rates, a
downgrade in the financial strength ratings of our insurance subsidiaries, the
effect of the performance of financial markets on our investment portfolio,
our estimates of the fair value of our life settlement contracts, development
of claims and the effect on loss reserves, accuracy in projecting loss
reserves, the cost and availability of reinsurance coverage, the effects of
emerging claim and coverage issues, changes in the demand for our products,
our degree of success in integrating acquired businesses, the effect of
general economic conditions, state and federal legislation, regulations and
regulatory investigations into industry practices, risks associated with
conducting business outside the United States, developments relating to
existing agreements, disruptions to our business relationships with Maiden
Holdings, Ltd., American Capital Acquisition Corporation, or third party
agencies and warranty administrators, difficulties with technology or breaches
in data security, heightened competition, changes in pricing environments, and
changes in asset valuations.The forward-looking statements contained in this
news release are made only as of the date of this release. The Company
undertakes no obligation to publicly update any forward-looking statements
except as may be required by law. Additional information about these risks and
uncertainties, as well as others that may cause actual results to differ
materially from those projected, is contained in the Company's filings with
the Securities and Exchange Commission, including its annual report on Form
10-K and its quarterly reports on Form 10-Q.

AFSI-F

AmTrust Financial Services, Inc.
Income Statement
(in thousands, except per share data)
(Unaudited)
                                                                
                                     Three Months Ended Nine Months Ended
                                      September 30,      September 30,
                                     2012      2011     2012       2011
Gross written premium                 $736,556  $561,222 $1,975,681 $1,563,711
                                                                
Net written premium                   $483,659  $321,903 $1,235,025 $931,603
Change in unearned premium            (96,212)  (33,055) (199,560)  (194,135)
Net earned premium                    387,447   288,848  1,035,465  737,468
Ceding commission (primarily related  49,860    40,732   140,684    111,830
party)
Service and fee income                44,561    28,815   118,110    78,546
Investment income, net                18,429    14,456   49,291     41,815
Net realized gain (loss)              2,213     550      3,768      1,581
Commission and other revenues         115,063   84,553   311,853    233,772
Total revenue                         502,510   373,401  1,347,318  971,240
Loss and loss adjustment expense      255,646   185,352  667,362    484,056
Acquisition costs and other           143,736   113,270  397,474    284,084
underwriting expense
Other expense                         42,337    24,045   110,296    62,805
                                     441,719   322,667  1,175,132  830,945
Income before other, provision for
income taxes, equity in earnings of   60,791    50,734   172,186    140,295
unconsolidated subsidiary and
non-controlling interest
Other income (expense):                                          
Interest expense                      (7,218)   (3,946)  (21,303)   (12,034)
Foreign currency gain (loss)          (951)     (4,063)  (2,985)    (1,827)
Bargain purchase on Majestic          —         5,850    —          5,850
transaction
Net gain on life settlement contracts 3,251     6,822    5,302      48,346
                                     (4,918)   4,663    (18,986)   40,335
Income before provision for income
taxes, equity in earnings of          55,873    55,397   153,200    180,630
unconsolidated subsidiary and
non-controlling interest
Provision for income taxes ^(1)       13,187    14,297   36,106     30,623
Equity in earnings of unconsolidated  3,207     (918)    8,659      3,415
subsidiary (related party) ^(1)
Net income                            45,893    40,182   125,753    153,422
Non-controlling interest ^(1)         (2,663)   (3,016)  (3,079)    (20,911)
Net income attributable to Amtrust    $43,230   $37,166  $122,674   $132,511
Financial Services, Inc.
Operating earnings attributable to    $48,796   $42,198  $138,219   $138,754
Amtrust Financial Services, Inc. ^(2)
Earnings per common share:                                       
Basic earnings per share             $0.69     $0.60    $2.01      $2.19
Diluted earnings per share           $0.66     $0.58    $1.93      $2.13
Operating diluted earnings per share $0.75     $0.66    $2.17      $2.23
^(3)
Weighted average number of basic      62,345    61,668   60,901     60,374
shares outstanding
Weighted average number of diluted    65,124    63,652   63,416     62,093
shares outstanding
Combined ratio                        90.2%     89.3%    89.2%      89.0%
Return on equity                      16.7%     17.9%    16.6%      22.7%
Operating return on equity ^(4)       18.8%     20.3%    18.8%      23.8%
Reconciliation of net realized gain                              
(loss):
Other-than-temporary investment       $         $        $(1,208)   $(345)
impairments
Impairments recognized in other       —         —        —          —
comprehensive income
                                     —         —        (1,208)    (345)
Net realized gain on sale of          2,213     550      4,976      1,926
investments
Net realized gain                     $2,213    $550     $3,768     $1,581


AmTrust Financial Services, Inc.
Balance Sheet Highlights
(in thousands)
(Unaudited)
                                                   
                                                   
                                      September 30, December 31,
                                       2012          2011
Cash, cash equivalents and investments $2,580,423    $2,086,638
Premiums receivables                   1,038,495     932,992
Goodwill and intangible assets, net    417,113       314,616
Total assets                           6,766,034     5,678,747
Loss and loss expense reserves         2,247,118     1,879,175
Unearned premium                       1,709,185     1,366,170
Trust preferred securities             123,714       123,714
Convertible senior notes               160,507       138,506
AmTrust's stockholders' equity         1,074,310     890,563
Book value per share                   $16.01        $13.47


AmTrust Financial Services, Inc.
Non-GAAP Financial Measures
(in thousands, except per share data)
(Unaudited)
                                                               
                           Three Months Ended        Nine Months Ended
                            September 30,             September 30,
                           2012         2011         2012         2011
Reconciliation of net
income attributable to
AmTrust Financial Services,                                     
Inc. to operating earnings
attributable to AmTrust
Financial Services, Inc.:
Net income attributable to
Amtrust Financial Services, $43,230      $37,166      $122,674     $132,511
Inc.
Less: Net realized gain    1,438        358          2,449        1,028
(loss) net of tax
Foreign currency            (951)        (4,063)      (2,985)      (1,827)
transaction gain (loss)
Gain on investment in
unconsolidated subsidiary   —            (2,349)      —            (2,349)
net of tax ^(5)
Gain on Majestic            —            3,803        —            3,803
transaction net of tax ^(6)
Non cash interest on
convertible senior notes    (2,325)      —            (3,218)      —
net of tax
Non cash amortization of    (3,728)      (2,781)      (11,791)     (6,898)
certain intangible assets
Operating earnings
attributable to AmTrust     $48,796      $42,198      $138,219     $138,754
Financial Services, Inc.
^(2)
                                                               
Reconciliation of diluted
earnings per share to                                           
diluted operating earnings
per share:
Diluted earnings per share  $0.66        $0.58        $1.93        $2.13
Less: Net realized gain    0.02         —            0.04         0.02
(loss) net of tax
Foreign currency            (0.02)       (0.06)       (0.05)       (0.03)
transaction gain (loss)
Gain on investment in
unconsolidated subsidiary   —            (0.04)       —            (0.04)
net of tax
Gain on Majestic            —            0.06         —            0.06
transaction net of tax
Non cash interest
convertible senior notes    (0.04)       —            (0.05)       —
net of tax
Non cash amortization of    (0.05)       (0.04)       (0.18)       (0.11)
certain intangible assets
Operating diluted earnings  $0.75        $0.66        $2.17        $2.23
per share ^(3)
                                                               
Reconciliation of return on
equity to operating return                                      
on equity:
Return on equity            16.7%        17.9%        16.6%        22.7%
Less:Net realized gain     0.5%         0.1%         0.4%         0.2%
(loss) net of tax
Foreign currency            (0.4)%       (1.9)%       (0.4)%       (0.3)%
transaction gain (loss)
Gain on investment in
unconsolidated subsidiary   —            (1.1)%       —            (0.4)%
net of tax
Gain on Majestic            —            1.8%         —            0.7%
transaction net of tax
Non cash interest
convertible senior notes    (0.9)%       —            (0.5)%       —
net of tax
Non cash amortization of    (1.3)%       (1.3)%       (1.7)%       (1.3)%
certain intangible assets
Operating return on equity  18.8%        20.3%        18.8%        23.8%
^(4)
                                                               
^(1)^ Prior year amounts have been reclassed to present the Company's
non-controlling interest related to income on life settlement contracts on a
pre-tax basis and the provision for income taxes has been reduced for an
equivalent amount. Additionally, prior year amounts have been reclassed to
present the Company's income from life settlement contracts included in its
21.25% ownership percentage of ACAC on a net basis. The impact of these
reclasses reduced the Company's provision for income taxes by $8,142, reduced
equity in earnings of unconsolidated subsidiaries by $3,338 and increased
non-controlling interest by $4,804 for the nine months ended September 30,
2011. There was no overall impact on net income attributable to AmTrust
Financial Services, Inc.
^(2)^ Operating earnings is a non-GAAP financial measure defined by the
Company as net income less net realized investment gain (loss) net of tax,
foreign currency transaction gain (loss), gain on investment in unconsolidated
subsidiary net of tax, gain on Majestic transaction net of tax, non cash
interest on convertible senior notes net of tax and non cash amortization of
certain intangible assets and should not be considered an alternative to net
income. The Company's management believes that operating earnings is a useful
indicator of trends in the Company's underlying operations because it provides
a more meaningful representation of the Company's earnings power. The
Company's measure of operating earnings may not be comparable to similarly
titled measures used by other companies.
^(3)^ Operating diluted earnings per share is a non-GAAP financial measure
defined by the Company as net income less realized investment gain (loss) net
of tax, foreign currency transaction gain (loss), gain on investment in
unconsolidated subsidiary net of tax, gain on Majestic transaction net of tax,
non cash interest on convertible senior notes net of tax and non cash
amortization of certain intangible assets divided by the weighted average
diluted shares outstanding for the period and should not be considered an
alternative to diluted earnings per share. The Company's management believes
that operating diluted earnings per share is a useful indicator of trends in
the Company's underlying operations because it provides a more meaningful
representation of the Company's earnings power. The Company's measure of
operating diluted earnings per share may not be comparable to similarly titled
measures used by other companies.
^(4)^ Operating return on equity is a non-GAAP financial measure defined by
the Company as net income less realized investment gain (loss) net of tax,
foreign currency transaction gain (loss), gain on investment in unconsolidated
subsidiary net of tax, gain on Majestic transaction net of tax, non cash
interest on convertible senior notes net of tax and non cash amortization of
certain intangible assets divided by the average shareholders' equity for the
period and should not be considered an alternative to return on equity. The
Company's management believes that operating return on equity is a useful
indicator of trends in the Company's underlying operations because it provides
a more meaningful representation of the Company's earnings power. The
Company's measure of operating return on equity may not be comparable to
similarly titled measures used by other companies.
^(5)^ In 2011, the Company recorded its final purchase price adjustment
related to ACAC's 2010 purchase of GMAC's consumer property and casualty
insurance business. The Company originally recorded an after tax gain of
$6,792 related to this acquisition in 2010. ACAC finalized its purchase price
accounting in 2011 and the Company's gain on acquisition was reduced by $2,349
on an after tax basis. As required under GAAP, the Company recorded this
adjustment in 2011 and included it as part of equity in earnings of
unconsolidated subsidiary (related party), which was $(918) and $3,415 for the
three and nine months ended September 30, 2011. This purchase price adjustment
is not included in the Company's calculation of operating earnings.
^(6)^ The Company recorded a gain of $5,850 and after tax gain of $3,803
related to the renewal rights transaction with Majestic Insurance.


AmTrust Financial Services, Inc.
Segment Information
(in thousands, except percentages)
(Unaudited)
                                                               
                                                               
                                    Three Months Ended Nine Months Ended
                                     September 30,      September 30,
                                    2012      2011     2012       2011
Gross Written Premium:                                          
Small Commercial Business            $243,603  $145,418 $690,081   $460,741
Specialty Risk and Extended Warranty 260,415   256,493  767,114    749,743
Specialty Program                    202,280   132,621  428,796    275,951
Personal Lines Reinsurance           30,258    26,690   89,690     77,276
                                    $736,556  $561,222 $1,975,681 $1,563,711
Net Written Premium:                                            
Small Commercial Business            $133,492  $79,070  $356,652   $269,942
Specialty Risk and Extended Warranty 137,106   149,238  450,526    438,963
Specialty Program                    182,803   66,905   338,157    145,422
Personal Lines Reinsurance           30,258    26,690   89,690     77,276
                                    $483,659  $321,903 $1,235,025 $931,603
Net Earned Premium:                                             
Small Commercial Business            $123,806  $89,877  $309,702   $225,772
Specialty Risk and Extended Warranty 115,735   126,784  392,915    320,992
Specialty Program                    119,243   46,947   249,772    117,855
Personal Lines Reinsurance           28,663    25,240   83,076     72,849
                                    $387,447  $288,848 $1,035,465 $737,468
Loss Ratio:                                                     
Small Commercial Business            66.0%     62.0%    65.0%      63.1%
Specialty Risk and Extended Warranty 62.9%     65.5%    61.6%      67.5%
Specialty Program                    69.3%     64.7%    68.3%      66.6%
Personal Lines Reinsurance           64.5%     64.0%    64.5%      64.0%
Total                                66.0%     64.2%    64.5%      65.6%
Expense Ratio:                                                  
Small Commercial Business            24.6%     28.7%    26.8%      26.7%
Specialty Risk and Extended Warranty 19.8%     19.1%    19.5%      17.4%
Specialty Program                    26.6%     30.5%    28.8%      27.5%
Personal Lines Reinsurance           30.5%     32.5%    30.5%      32.5%
Total                                24.2%     25.1%    24.8%      23.4%
Combined Ratio:                                                 
Small Commercial Business            90.6%     90.7%    91.8%      89.8%
Specialty Risk and Extended Warranty 82.7%     84.7%    81.1%      84.9%
Specialty Program                    95.9%     95.2%    97.1%      94.1%
Personal Lines Reinsurance           95.0%     96.5%    95.0%      96.5%
Total                                90.2%     89.3%    89.2%      89.0%

CONTACT: AmTrust Financial Services, Inc.
        
         Investor Relations
         Elizabeth Malone CFA
         beth.malone@amtrustgroup.com
         646.413.2995
        
         Hilly Gross
         hilly.gross@amtrustgroup.com
         646.458.7925

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