Everest Re Group Announces Alliance with Brown & Brown Unit Arrowhead

Everest Re Group, Ltd.

today announced that its wholly-owned primary insurance subsidiary, Everest Security Insurance Company, (“ESIC”) has entered into a definitive agreement with Arrowhead General Insurance Agency, Inc. (“Arrowhead”), a subsidiary of Brown & Brown, Inc.

, whereby ESIC will transfer certain assets associated with its non-standard automobile business to Arrowhead. Effective April 1, 2013, all of ESIC's employees will become employees of Arrowhead and Everest will become the exclusive underwriter of the combined non-standard automobile book of business for Arrowhead. This strategic alliance will grow Everest's non-standard automobile business from $30 million to approximately $80 million under the combined book. The pairing of Everest's financial strength with Arrowhead's longstanding expertise in the non-standard automobile sector creates operational efficiencies and growth opportunities for both parties. Daryl Bradley, President of Everest's primary insurance operations, stated, “I am very pleased to expand our current business relationship with Arrowhead. This alliance gives Everest immediate scale in the non-standard automobile sector and the ability to utilize Arrowhead's infrastructure and technology capabilities to expand our market share in this sector.” Chris Walker, Chief Executive Officer of Arrowhead, said, “The decision to enter into this agreement developed from Arrowhead's longstanding relationship with Everest as it currently writes several programs with Arrowhead. Everest is a blue chip company with exceptional financial strength and smart, creative people driven to produce strong results,” Walker further commented, “Fortunately, we have built longstanding business and personal relationships with the Everest team and frequently discuss program opportunities. This venture will allow Everest to further tap into our infrastructure and technology capabilities as we work together to scale the program for growth. It truly is a win-win scenario.”