Assurant Announces $1.3 Billion 2018 Property Catastrophe Reinsurance Program

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1 Assurant Annunces $1.3 Billin 2018 Prperty Catastrphe Reinsurance Prgram Prtecting 2.9 Millin Plicyhlders Wrldwide at Attractive Terms NEW YORK, N.Y., June 28, 2018 Assurant, Inc. (NYSE: AIZ), a glbal prvider f risk management slutins, tday annunced it has finalized a $1.3 billin¹ 2018 prperty catastrphe reinsurance prgram, reducing the cmpany s financial expsure and prtecting 2.9 millin hmewners and renters plicyhlders against severe weather and ther hazards reinsurance premiums fr this prgram are estimated t be $121 millin 1,2, cmpared t $126 millin in This reductin is mainly driven by Assurant s declining catastrphe expsure within its lender-placed insurance ffering. Cverage was placed with mre than 40 reinsurers that are all rated A- r better by A.M. Best. In 2017, ur catastrphe reinsurance prgram prved strng and resilient, absrbing ver $600 millin in ttal grss lsses, and mre imprtantly Assurant was able t supprt plicyhlders during their time f need, said Michael P. Campbell, President, Assurant Glbal Hme. This year, we ve secured cmprehensive catastrphe cverage with attractive terms and cnditins due t ur risk management expertise and strng relatinships with ur reinsurance partners, he added. Assurant is nt nly dedicated t prviding prtectin t ur plicyhlders but als t ur sharehlders, as we gradually reduce ur verall net lss retentin, in cnjunctin with ur declining expsure, ver time. ¹ Amunt includes extensin f the 2017 Latin America prtectin which will renew n September 1, 2018 and is subject t changes in cverage amunt, retentin and cst. 2 Actual reinsurance premiums will vary if expsure changes significantly frm estimates r if reinstatement premiums are required due t catastrphe events.

2 Nte: 2018 Catastrphe Reinsurance Prgram als includes cverage in the Caribbean f up t $162.5 millin in excess f $17.5 millin, and the extensin f ur 2017 Latin America prtectin f up t $183.5 millin in excess f $4.5 millin which will renew n September 1, 2018 and is subject t changes in cverage amunt, retentin and cst. 3 Prbable Maximum Lss is prjected based n estimated 12/31/18 expsure and a blend f industry mdeling tls. Actual lsses may differ materially frm prjectins Catastrphe Prgram Cmpnents U.S. per-ccurrence catastrphe cverage includes: A main reinsurance prgram prviding $985 millin f cverage in excess f a $120 millin retentin. The main U.S. twer prtects the cmpany s prjected prbable maximum lss (PML) fr apprximately a 1 in 170-year strm. As a result, the prbability f exceeding the tp f the prgram in ne year is less than 1 percent 3. Multiyear reinsurance cntracts cvering 32 percent f the $855 millin layers in excess f $240 millin.

3 All layers f the prgram allw fr ne autmatic reinstatement and include a cascading feature that prvides multi-event prtectin in which higher cverage layers drp dwn as the lwer layers and reinstatement limit are exhausted. Flrida Catastrphe Fund cverage fr lsses up t 90 percent f $283 millin in excess f a $88 millin retentin. In the event f a Flrida hurricane, this cverage will be utilized prir t the main U.S. reinsurance prgram. After applying cverage, any remaining lsses wuld then be eligible fr recvery within ur main twer. The prgram is cvered fr grss Flrida lsses f up t $1.4 billin which is apprximately a year Flrida event based n prjected mdeled lss estimates. Utilizing bth the cverage frm the U.S. twer and the Flrida Catastrphe Fund, the maximum retentin fr a Flrida event wuld be $120 millin. Internatinal per-ccurrence catastrphe cverage increased as Assurant cntinues t expand its business in select prperty markets. Specifics include: Caribbean prtectin f up t $162.5 millin in excess f a $17.5 millin retentin, and Latin America prtectin f up t $183.5 millin in excess f a $4.5 millin retentin which is an extensin f 2017 s prtectin that will renew n September 1, 2018 and is subject t changes in cverage amunt and retentin. In these regins, Assurant s prduct fferings are primarily residential dwelling plicies cvering the structure and cntents. Histrical Lss and Glbal Husing Net Earned Premium Infrmatin Several features nted abve als prvided cmprehensive cverage in 2017 and prtected the cmpany against significant lsses frm multiple strms. Despite ver $600 millin in grss lsses last year, mstly assciated with s Harvey, Irma and Maria, Assurant retained nly $295 millin f pre-tax lsses ($192 millin after-tax), demnstrating the effectiveness f the catastrphe reinsurance prgram. This was net f reinsurance and client prfit sharing adjustments, as well as reinstatement and ther premiums. T further exemplify the resilience f the 2018 prgram, the Cmpany tested the prgram against several f the mst significant histrical catastrphes since recrding began in the 1850s using an industry leading catastrphe mdel. The mdeling assumes the same gegraphic path f each hurricane and illustrates that t the extent these events were t recur tday, Assurant s lss wuld be well within the U.S. catastrphe reinsurance prgram s limit.

4 4 All events are mdeled grss lsses based n the reccurrence f each event as f December 31, 2017 expsure under the 2018 U.S. prperty catastrphe reinsurance prgram except hurricanes Irma and Harvey which are based n actual grss lsses. In additin, these events may als have cverage frm the Flrida Catastrphe Fund r Caribbean prgrams. Fr infrmatinal purpses, belw is an utline f the tp five states based n net earned premiums fr Assurant s Glbal Husing business as f year-end Glbal Husing prducts, including lender-placed hmewners and fld, multi-family husing and manufactured husing accunt fr the majrity f catastrphe-expsed business at Assurant Net Earned Premiums: Tp 5 U.S. States in Glbal Husing State Net Earned Premiums ($M) Net Earned Premiums as % f Glbal Husing Ttal Flrida $359 21% Texas $171 10% Califrnia $133 8% New Yrk $123 7% New Jersey $90 5% Ttal Glbal Husing $1,714

5 Illustrative Event Examples Belw are three examples t demnstrate hw Assurant s 2018 prperty catastrphe reinsurance prgram wuld hypthetically wrk fr a Flrida-nly event, Texas-nly and a multi-strm scenari. These examples d nt include the impact f reinstatement premiums. Actual results may differ materially frm these examples. Example One A hurricane strikes Flrida-nly and causes grss lsses fr Assurant f $885 millin. We wuld expect this t result in a pre-tax net catastrphe lss f $120 millin fr Assurant befre the impact f reinstatement premiums. ($M, pre-tax) Event Descriptin Flrida A Event Grss Lss $885M B C D Flrida Catastrphe Fund Recveries = 90% f A - Lss in Excess f $88.3M (Max f 90% f $283.0M) Lss Net f Flrida Catastrphe Fund Recveries (A - B) Recveries frm Main US Cat Prgram (C - $120M retentin) E Assurant Pre-Tax Net Catastrphe Lss Befre Reinstatement Premiums (A-B-D) $120M Example Tw A hurricane strikes Texas-nly and causes grss lsses fr Assurant f $265 millin. We wuld expect this t result in a pre-tax net catastrphe lss f $120 millin fr Assurant befre the impact f reinstatement premiums.

6 ($M, pre-tax) Event Descriptin Texas A Event Grss Lss $265M B C Recveries frm Main US Cat Prgram (A - $120M retentin) Assurant Pre-Tax Net Catastrphe Lss Befre Reinstatement Premiums (A-B) 145 $120M Example Three Multiple hurricanes strike and cause grss lsses fr Assurant f $1.72 billin. We wuld expect this t result in a pre-tax net catastrphe lss f $360 millin fr Assurant befre the impact f reinstatement premiums. In this example, the cascading feature is implemented fr Layers 1 & 2 after the secnd event. ($M, pre-tax) Event 1 Event 2 Event 3 Event Descriptin Flrida Nrtheast Flrida Ttal A Event Grss Lss $495M $240M $985M $1,720M B C D Flrida Catastrphe Fund Recveries = 90% f A - Lss in Excess f $88.3M (Max f 90% f $283.0M) Lss Net f Flrida Catastrphe Fund Recveries (A - B) Recveries frm Main US Cat Prgram (C - $120M retentin) , ,105 E Assurant Pre-Tax Net Catastrphe Lss Befre Reinstatement Premiums (A-B-D) $120M $120M $120M $360M

7 Abut Assurant Assurant, Inc. (NYSE: AIZ) is a glbal prvider f risk management slutins, prtecting where cnsumers live and the gds they buy. A Frtune 500 cmpany, Assurant fcuses n the husing and lifestyle markets, and is amng the market leaders in mbile device prtectin and related services; extended service cntracts; vehicle prtectin; pre-funded funeral insurance; renters insurance; lender-placed hmewners insurance; and mrtgage valuatin and field services. Assurant has a market presence in 21 cuntries, while its Assurant Fundatin wrks t supprt and imprve cmmunities. Learn mre at assurant.cm r n Safe Harbr Statement Sme f the statements included in this news release cnstitute frward-lking statements within the meaning f the U.S. Private Securities Litigatin Refrm Act f Actual results may differ materially frm thse prjected in the frward-lking statements. The Cmpany undertakes n bligatin t update any frward-lking statements in this news release as a result f new infrmatin r future events r develpments. Fr a detailed discussin f risk factrs that culd affect ur results, please refer t the risk factrs identified in ur annual and peridic reprts filed with the U.S. Securities and Exchange Cmmissin. Media Cntacts: Linda Recuper Senir Vice President, Enterprise Cmmunicatin linda.recuper@assurant.cm David Blumenthal Directr, Enterprise Cmmunicatin david.blumenthal@assurant.cm Investr Relatins Cntacts: Suzanne Shepherd Vice President, Investr Relatins suzanne.shepherd@assurant.cm Sean Mshier Manager, Investr Relatins sean.mshier@assurant.cm