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2006 ANNUAL REPORT SAFE. SOUND. SECURE. ®

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Page 1: auto owners  2006_annual_report

2006 ANNUAL REPORT

SAFE. SOUND. SECURE.®

AUTO-OWNERS HOME-OWNERS AUTO-OWNERS LIFE INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Lansing, Michigan Lansing, Michigan Lansing, Michigan

PROPERTY-OWNERS OWNERS SOUTHERN-OWNERS INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Marion, Indiana Lima, Ohio Lakeland, Florida

Administrative offices of all companies are located at 6101 Anacapri Blvd., Lansing, MI 48917

12131 (4-07) WWW.AUTO-OWNERS.COM

Page 2: auto owners  2006_annual_report

Auto-Owners Insurance Group enjoyed continued asset growth in 2006 and is recognized for exceptional financial strength and stability among the nation’s largest insurers. Comprised of five property and casualty companies and one life/health/annuity insurer, the Group had combined assets of $12,802,024,643 at year-end 2006, up $1.1 billion from 2005. Net written premiums totaled $4,564,273,075. Over 4.3 million personal, commercial, and life insurance policies were in force at year-end 2006. Seventy-three underwriting, claims and marketing offices serve customers in the Group’s 25-state marketing territories.

Auto-Owners Insurance Company ranks among the leading property and casualty insurers in the United States with recorded net written premiums of over $2.5 billion at the end of 2006. This mutual insurance company is represented by

COMPANIES’ REPORTS

Home-Owners Insurance Company recorded written premiums of $861.1 million at year-end 2006. This property and casualty stock company writes business in Michigan and Ohio.

Property-Owners Insurance Company had another fine year with written premiums of $66.6 million in 2006. This stock insurer writes property and casualty products in Indiana and Michigan.

Southern-Owners Insurance Company completed its 12th year of operation in 2006, with written premiums of $140.4 million at year-end. This stock insurer writes property and casualty products in Florida.

approximately 34,800 agents in more than 5,900 agencies, and is the Group’s largest insurer.

Auto-Owners Life Insurance Company experienced another excellent year; over 42,000 applications were received. The Company recorded $18.5 billion of life insurance in force at year-end. In addition, annuity reserves for this stock company increased nearly 10.0 percent to over $1.1 billion. Assets were up 9.2 percent to $1.8 billion and total Life Company written premium was $208.8 million.

Owners Insurance Company recorded another strong year with written premiums of over $1.1 billion at year-end 2006. This stock company is the second largest property and casualty insurer in the Auto-Owners Insurance Group and operates in 24 of the 25 states that make up the Auto-Owners regional market.

Auto-Owners Companies Earn A.M. Best Superior Ratings

Auto-Owners property and casualty companies are rated A++ (Superior) by A.M. Best Company, a nationally recognized independent insurance company rating organization.

Auto-Owners Life Insurance Company is rated A+ (Superior) by A.M. Best.

According to A.M. Best Company, “The [Auto-Owners] Group achieved strong operating results due to its well-established independent agency relationships, competitive expense structure, diversified product offering and adherence to strict underwriting fundamentals. The rating also acknowledges Auto-Owners strong market presence as one of the 20 largest property casualty insurance organizations in the United States with

more than $4.3 billion in net written premium as of year-end 2005.” In A.M. Best’s opinion, companies in the A++ and A+ classifications—their highest classifications—have a superior ability to meet ongoing obligations to policyholders.

Auto-Owners Companies Earn Position On TheStreet.com Recommended List of Companies

Auto-Owners Insurance Company and Home-Owners Insurance Company were each rated A Excellent by TheStreet.com (formerly Weiss Ratings, Inc.). Owners Insurance Company and Property-Owners Insurance Company each earned a rating of B+ Good. These ratings place our companies on TheStreet.com Recommended List, an elite group of 106 property and casualty insurance companies.

Auto-Owners Property Casualty Group Companies Earn Top Marks from Demotech, Inc.

Auto-Owners Insurance Company, Owners Insurance Company, Property-Owners Insurance Company, Home-Owners Insurance Company and Southern-Owners Insurance Company earned Demotech’s Financial Stability Rating® A” (Unsurpassed) for 2006. The A” rating recognizes unsurpassed financial stability, achieved by only the top companies evaluated. Demotech, Inc. is a financial analysis and actuarial services firm whose Statements of Actuarial Opinion meet or exceed the professional actuarial requirements established by the National Association of Insurance Commissioners.

Ward Financial Group Ranks Auto-Owners Among Its Top 50

Auto-Owners Insurance Group was named to the 2006 Ward’s 50 Benchmark Group for achieving outstanding financial results over the past five years (2001 - 2005). Auto-Owners is one of only 10 companies named to both the property and casualty and the life/health Ward’s 50 Benchmark Groups, and one of only seven companies named to the property and casualty Ward’s 50 Benchmark Group for 16 consecutive years. The objectives of the analysis are to recognize the 50 companies that have excelled at balancing safety, consistency and performance over five years, and to then benchmark their performance with the industry overall.

Ward Financial Group is a Cincinnati-based management consulting and investment banking firm specializing in the insurance industry, and is recognized by Fortune magazine, the New York Times, Reuters news service and others as an authoritative source for insurance industry financial analysis.

AUTO-OWNERS HOME-OWNERS AUTO-OWNERS LIFE INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Lansing, Michigan Lansing, Michigan Lansing, Michigan

PROPERTY-OWNERS OWNERS SOUTHERN-OWNERS INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Marion, Indiana Lima, Ohio Lakeland, Florida

Administrative offices of all companies are located at 6101 Anacapri Blvd., Lansing, MI 48917

12131 (4-07) WWW.AUTO-OWNERS.COM

Auto-Owners Life Insurance Company Intro-duces 30 Year Level Premium Term Product

Auto-Owners Life Insurance Company introduced a 30 Year Term product in 2006. This product complements the other term offerings, which already featured 1, 5, 10 and 20 Year Term products. The Life Company also revised Whole Life rates, and added two underwriting rate categories for preferred non-smoker and premier non-tobacco. Also, the Long Term Care policy now offers (in most states) an optional 3 percent inflation rider, giving customers three choices in selecting how a benefit level is calculated.

Auto-Owners Insurance Company Enters Idaho Market

Auto-Owners Insurance Company began writing business in Idaho, its 25th state, in July 2006. Idaho policyholders and agents are assisted by associates located in the company’s Westminster, Colorado, regional office. At year-end 2006, 16 local independent agencies represented Auto-Owners and premium writings for the Group Companies exceeded $1 million.

NEW FACILITIES OPENED IN 2006Two New Offices Opened

Due to continued growth, success, and to better serve its customers, Auto-Owners Insurance Group opened two additional offices. The new Missouri regional office, located in Columbia, opened in August 2006. This “full facility” branch office houses underwriting, claims, and marketing operations for the company’s Missouri region.

In July 2006, Auto-Owners opened a claims branch in Louisville, Kentucky. And effective September 1, 2006, the Lakeland regional office was divided into the East Florida and West Florida regions.

New ConstructionIn June 2006, an 18,150-square-foot newly

constructed regional branch office in Columbia, South Carolina, opened, replacing a leased facility.

Land was purchased in Fargo, North Dakota, (4.6 acres) and in Lexington, Kentucky, (5.1 acres) for future construction of owned regional branch offices.

COMMENTS FROM R. L. LOOYENGA, CHAIRMAN & CEO, AUTO-OWNERS INSURANCE GROUP

they know, like, trust and respect, which is why we believe independent agents provide the best method of marketing our products. Our financial strength allows us to offer a wide array of products and protection at competitive prices.

There are many reasons for our success. Leading the way are the people who make up the Auto-Owners family: Our 3,300-plus associates and the nearly 35,000 independent agents who represent us. Weather-related losses were kind to us and our policyholders—who rely on Auto-Owners for ‘No Problem’ claim service—in 2006, and our Safe. Sound. Secure.® investment approach also proved successful.

The foundation of Auto-Owners is its 10 core values: Honesty, Hard Work, Prudence, Loyalty, The Team, Our Relationships, Opportunities for Associates, The Customer, Stability and Consistency, and Profit. It is upon these values that our business has grown, trust has been earned, and relationships thrive.”

R.L. Looyenga, chairman & CEO

“2006 was a year of accomplishment and celebration for the Auto-Owners Insurance Group. We were ranked number 426 in the Fortune 500 rankings,

our fourth straight year in the listing. And on July 1 we celebrated our 90th anniversary. Auto-Owners has grown from first-year written premium of $174.25 to over $4.56 billion during that span.

Throughout our 90 years, Auto-Owners has remained dedicated to the independent agency system. People want to do business with people

Page 3: auto owners  2006_annual_report

COMMENTS FROM R. L. LOOYENGA, CHAIRMAN & CEO, AUTO-OWNERS INSURANCE GROUP

they know, like, trust and respect, which is why we believe independent agents provide the best method of marketing our products. Our financial strength allows us to offer a wide array of products and protection at competitive prices.

There are many reasons for our success. Leading the way are the people who make up the Auto-Owners family: Our 3,300-plus associates and the nearly 35,000 independent agents who represent us. Weather-related losses were kind to us and our policyholders—who rely on Auto-Owners for ‘No Problem’ claim service—in 2006, and our Safe. Sound. Secure.® investment approach also proved successful.

The foundation of Auto-Owners is its 10 core values: Honesty, Hard Work, Prudence, Loyalty, The Team, Our Relationships, Opportunities for Associates, The Customer, Stability and Consistency, and Profit. It is upon these values that our business has grown, trust has been earned, and relationships thrive.”

R.L. Looyenga, chairman & CEO

FINANCIAL REPORT

Cash in Banks

Accounts Receivable

Premiums in Process of Collection

Life Insurance Premium Deferred and Uncollected

Bonds (Amortized Value)

Stocks (Statement Value)

Mortgages - Real Estate First Mortgages

Real Estate Owned

Miscellaneous Assets

Total Assets

$ 1,747,242

22,652,100

1,511,273,495

52,590,028

151,701,341

64,173,310

36,674,155

$1,840,811,671

$ 17,224,047

874,365,587

8,200,735,968

1,588,860,818

11,321,568

76,770,327

395,236,386

$11,164,514,701

Property & Casualty ConsolidatedLife CompanyASSETS

LIABILITIES

Claim Reserves

All Claims in Process of Adjustment

Aggregate Reserve for Life, Accident and Health Policies

Reserve for Unearned Premiums

Reserve for Miscellaneous Accounts and Taxes Payable

Total Liabilities

8,089,385

1,592,992,612

36,747,196

$1,637,829,194

3,673,190,831

1,950,479,604

694,819,538

$6,318,489,973

CAPITAL

Contingency ReserveExcess of Assets over Liabilities. Provides policyholders additional assurance of the Companies’ abilities to withstand catastrophic occurrences.

Total Liabilities and Surplus

$ 3,450,000

199,532,477

$1,840,811,671

4,846,024,728

$ 11,164,514,701

NET WRITTEN PREMIUM (SALES)

2006

2001

1996

1991

1986

$4,564,273,075

$2,792,353,087

$1,682,740,528

$1,208,164,451$890,399,879

COMBINED ASSETS

2006

2001

1996

1991

1986

$12,802,024,643

$7,364,292,887

$4,974,696,399

$3,116,981,794

$1,651,701,521

SUMMARY OF COMBINED ASSETS

1.15% Cash & Short-Term Investments 12.97% U.S. Government Bonds 0.2% Non-Investment-Grade Bonds 11.24% Stocks

2.37% Real Estate Owned & Mortgages

61.69% Investment-Grade Bonds

10.38% Miscellaneous Assets 100.0%

Combined Assets as of December 31, 2006

PROFIT & LOSS STATEMENT

Auto-Owners is unwavering in its commitment toward maintaining a high-quality investment portfolio. We remain committed to the proven investment principles that have guided us along a steady path throughout the years.

Depicted is a breakdown of the combined assets of the Auto-Owners Insurance Group as of December 31, 2006. The combination of U.S. Government Bonds and investment-grade bonds represents 74.66 percent of assets. Non-investment-grade bonds represent only 0.2 percent of assets.

REVENUE Life Company Property & Casualty Group

Net Premiums Written $ 208,830,145 $ 4,355,442,930Net Premiums Earned 208,830,145 4,336,375,783Net Investment Income 96,120,394 432,956,210

Total Income Earned $ 304,950,539 $ 4,769,331,993

EXPENSES Claims Related Expenses 251,779,931 2,805,430,746Operating Expenses 25,407,657 1,130,331,047

Total Expenses $ 277,187,588 $ 3,935,761,793

Net Income Before Income Taxes 27,762,951 833,570,200Income Taxes 10,905,817 216,137,286

NET INCOME $ 16,857,134 $ 617,432,914

“The road to investment success has many potholes. Our adherence to a Safe. Sound. Secure.® investment portfolio helps assure that when you need us the most, Auto-Owners will be there.”

Comments from R. L. Looyenga, chairman & CEO, Auto-Owners Insurance Group

“2006 was a year of accomplishment and celebration for the Auto-Owners Insurance Group. We were ranked number 426 in the Fortune 500 rankings,

our fourth straight year in the listing. And on July 1 we celebrated our 90th anniversary. Auto-Owners has grown from first-year written premium of $174.25 to over $4.56 billion during that span.

Throughout our 90 years, Auto-Owners has remained dedicated to the independent agency system. People want to do business with people

Page 4: auto owners  2006_annual_report

COMMENTS FROM R. L. LOOYENGA, CHAIRMAN & CEO, AUTO-OWNERS INSURANCE GROUP

they know, like, trust and respect, which is why we believe independent agents provide the best method of marketing our products. Our financial strength allows us to offer a wide array of products and protection at competitive prices.

There are many reasons for our success. Leading the way are the people who make up the Auto-Owners family: Our 3,300-plus associates and the nearly 35,000 independent agents who represent us. Weather-related losses were kind to us and our policyholders—who rely on Auto-Owners for ‘No Problem’ claim service—in 2006, and our Safe. Sound. Secure.® investment approach also proved successful.

The foundation of Auto-Owners is its 10 core values: Honesty, Hard Work, Prudence, Loyalty, The Team, Our Relationships, Opportunities for Associates, The Customer, Stability and Consistency, and Profit. It is upon these values that our business has grown, trust has been earned, and relationships thrive.”

R.L. Looyenga, chairman & CEO

FINANCIAL REPORT

Cash in Banks

Accounts Receivable

Premiums in Process of Collection

Life Insurance Premium Deferred and Uncollected

Bonds (Amortized Value)

Stocks (Statement Value)

Mortgages - Real Estate First Mortgages

Real Estate Owned

Miscellaneous Assets

Total Assets

$ 1,747,242

22,652,100

1,511,273,495

52,590,028

151,701,341

64,173,310

36,674,155

$1,840,811,671

$ 17,224,047

874,365,587

8,200,735,968

1,588,860,818

11,321,568

76,770,327

395,236,386

$11,164,514,701

Property & Casualty ConsolidatedLife CompanyASSETS

LIABILITIES

Claim Reserves

All Claims in Process of Adjustment

Aggregate Reserve for Life, Accident and Health Policies

Reserve for Unearned Premiums

Reserve for Miscellaneous Accounts and Taxes Payable

Total Liabilities

8,089,385

1,592,992,612

36,747,196

$1,637,829,194

3,673,190,831

1,950,479,604

694,819,538

$6,318,489,973

CAPITAL

Contingency ReserveExcess of Assets over Liabilities. Provides policyholders additional assurance of the Companies’ abilities to withstand catastrophic occurrences.

Total Liabilities and Surplus

$ 3,450,000

199,532,477

$1,840,811,671

4,846,024,728

$ 11,164,514,701

NET WRITTEN PREMIUM (SALES)

2006

2001

1996

1991

1986

$4,564,273,075

$2,792,353,087

$1,682,740,528

$1,208,164,451$890,399,879

COMBINED ASSETS

2006

2001

1996

1991

1986

$12,802,024,643

$7,364,292,887

$4,974,696,399

$3,116,981,794

$1,651,701,521

SUMMARY OF COMBINED ASSETS

1.15% Cash & Short-Term Investments 12.97% U.S. Government Bonds 0.2% Non-Investment-Grade Bonds 11.24% Stocks

2.37% Real Estate Owned & Mortgages

61.69% Investment-Grade Bonds

10.38% Miscellaneous Assets 100.0%

Combined Assets as of December 31, 2006

PROFIT & LOSS STATEMENT

Auto-Owners is unwavering in its commitment toward maintaining a high-quality investment portfolio. We remain committed to the proven investment principles that have guided us along a steady path throughout the years.

Depicted is a breakdown of the combined assets of the Auto-Owners Insurance Group as of December 31, 2006. The combination of U.S. Government Bonds and investment-grade bonds represents 74.66 percent of assets. Non-investment-grade bonds represent only 0.2 percent of assets.

REVENUE Life Company Property & Casualty Group

Net Premiums Written $ 208,830,145 $ 4,355,442,930Net Premiums Earned 208,830,145 4,336,375,783Net Investment Income 96,120,394 432,956,210

Total Income Earned $ 304,950,539 $ 4,769,331,993

EXPENSES Claims Related Expenses 251,779,931 2,805,430,746Operating Expenses 25,407,657 1,130,331,047

Total Expenses $ 277,187,588 $ 3,935,761,793

Net Income Before Income Taxes 27,762,951 833,570,200Income Taxes 10,905,817 216,137,286

NET INCOME $ 16,857,134 $ 617,432,914

“The road to investment success has many potholes. Our adherence to a Safe. Sound. Secure.® investment portfolio helps assure that when you need us the most, Auto-Owners will be there.”

Comments from R. L. Looyenga, chairman & CEO, Auto-Owners Insurance Group

“2006 was a year of accomplishment and celebration for the Auto-Owners Insurance Group. We were ranked number 426 in the Fortune 500 rankings,

our fourth straight year in the listing. And on July 1 we celebrated our 90th anniversary. Auto-Owners has grown from first-year written premium of $174.25 to over $4.56 billion during that span.

Throughout our 90 years, Auto-Owners has remained dedicated to the independent agency system. People want to do business with people

Page 5: auto owners  2006_annual_report

Auto-Owners Insurance Group enjoyed continued asset growth in 2006 and is recognized for exceptional financial strength and stability among the nation’s largest insurers. Comprised of five property and casualty companies and one life/health/annuity insurer, the Group had combined assets of $12,802,024,643 at year-end 2006, up $1.1 billion from 2005. Net written premiums totaled $4,564,273,075. Over 4.3 million personal, commercial, and life insurance policies were in force at year-end 2006. Seventy-three underwriting, claims and marketing offices serve customers in the Group’s 25-state marketing territories.

Auto-Owners Insurance Company ranks among the leading property and casualty insurers in the United States with recorded net written premiums of over $2.5 billion at the end of 2006. This mutual insurance company is represented by

COMPANIES’ REPORTS

Home-Owners Insurance Company recorded written premiums of $861.1 million at year-end 2006. This property and casualty stock company writes business in Michigan and Ohio.

Property-Owners Insurance Company had another fine year with written premiums of $66.6 million in 2006. This stock insurer writes property and casualty products in Indiana and Michigan.

Southern-Owners Insurance Company completed its 12th year of operation in 2006, with written premiums of $140.4 million at year-end. This stock insurer writes property and casualty products in Florida.

approximately 34,800 agents in more than 5,900 agencies, and is the Group’s largest insurer.

Auto-Owners Life Insurance Company experienced another excellent year; over 42,000 applications were received. The Company recorded $18.5 billion of life insurance in force at year-end. In addition, annuity reserves for this stock company increased nearly 10.0 percent to over $1.1 billion. Assets were up 9.2 percent to $1.8 billion and total Life Company written premium was $208.8 million.

Owners Insurance Company recorded another strong year with written premiums of over $1.1 billion at year-end 2006. This stock company is the second largest property and casualty insurer in the Auto-Owners Insurance Group and operates in 24 of the 25 states that make up the Auto-Owners regional market.

Auto-Owners Companies Earn A.M. Best Superior Ratings

Auto-Owners property and casualty companies are rated A++ (Superior) by A.M. Best Company, a nationally recognized independent insurance company rating organization. Auto-Owners Life Insurance Company is rated

A+ (Superior) by A.M. Best. According to A.M. Best Company,

“The [Auto-Owners] Group achieved strong operating results due to its well-established independent agency relationships, competitive expense structure, diversified product offering and adherence to strict underwriting fundamentals. The rating also acknowledges Auto-Owners strong market presence as one of the 20 largest property casualty insurance organizations in the United States with more than $4.3 billion in net written premium as of year-end 2005.” In A.M. Best’s opinion, companies in the A++ and A+ classifications—their highest classifications—have a superior ability to meet ongoing obligations to policyholders.

Auto-Owners Companies Earn Position On TheStreet.com Recommended List of Companies

Auto-Owners Insurance Company and Home-Owners Insurance Company were each rated A Excellent by TheStreet.com (formerly Weiss Ratings, Inc.). Owners Insurance Company and Property-Owners Insurance Company each earned a rating of B+ Good. These ratings place our companies on TheStreet.com Recommended List, an elite group of 106 property and casualty insurance companies. Auto-Owners Life Insurance Company also received an A Excellent rating. According to TheStreet.com, companies in these categories offer “excellent financial security.”

Auto-Owners Property Casualty Group Companies Earn Top Marks from Demotech, Inc.

Auto-Owners Insurance Company, Owners Insurance Company, Property-Owners Insurance Company, Home-Owners Insurance Company and Southern-Owners Insurance Company earned Demotech’s Financial Stability Rating® A” (Unsurpassed) for 2006. The A” rating recognizes unsurpassed financial stability, achieved by only the top companies evaluated. Demotech, Inc. is a financial analysis and actuarial services firm whose Statements of Actuarial Opinion meet or exceed the professional actuarial requirements established by the National Association of Insurance Commissioners.

Ward Financial Group Ranks Auto-Owners Among Its Top 50

Auto-Owners Insurance Group was named to the 2006 Ward’s 50 Benchmark Group for achieving outstanding financial results over the past five years (2001 - 2005). Auto-Owners is one of only 10 companies named to both the property and casualty and the life/health Ward’s 50 Benchmark Groups, and one of only seven companies named to the property and casualty Ward’s 50 Benchmark Group for 16 consecutive years. The objectives of the analysis are to recognize the 50 companies that have excelled at balancing safety, consistency and performance over five years, and to then benchmark their performance with the industry overall.

Ward Financial Group is a Cincinnati-based management consulting and investment banking firm specializing in the insurance industry, and is recognized by Fortune magazine, the New York Times, Reuters news service and others as an authoritative source for insurance industry financial analysis.

YEAR IN REVIEW

AUTO-OWNERS HOME-OWNERS AUTO-OWNERS LIFE INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Lansing, Michigan Lansing, Michigan Lansing, Michigan

PROPERTY-OWNERS OWNERS SOUTHERN-OWNERS INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Marion, Indiana Lima, Ohio Lakeland, Florida

Administrative offices of all companies are located at 6101 Anacapri Blvd., Lansing, MI 48917

12131 (4-07) WWW.AUTO-OWNERS.COM

Auto-Owners Life Insurance Company Intro-duces 30 Year Level Premium Term Product

Auto-Owners Life Insurance Company introduced a 30 Year Term product in 2006. This product complements the other term offerings, which already featured 1, 5, 10 and 20 Year Term products. The Life Company also revised Whole Life rates, and added two underwriting rate categories for preferred non-smoker and premier non-tobacco. Also, the Long Term Care policy now offers (in most states) an optional 3 percent inflation rider, giving customers three choices in selecting how a benefit level is calculated.

Auto-Owners Insurance Company Enters Idaho Market

Auto-Owners Insurance Company began writing business in Idaho, its 25th state, in July 2006. Idaho policyholders and agents are assisted by associates located in the company’s Westminster, Colorado, regional office. At year-end 2006, 16 local independent agencies represented Auto-Owners and premium writings for the Group Companies exceeded $1 million.

NEW FACILITIES OPENED IN 2006Two New Offices Opened

Due to continued growth, success, and to better serve its customers, Auto-Owners Insurance Group opened two additional offices. The new Missouri regional office, located in Columbia, opened in August 2006. This “full facility” branch office houses underwriting, claims, and marketing operations for the company’s Missouri region.

In July 2006, Auto-Owners opened a claims branch in Louisville, Kentucky. And effective September 1, 2006, the Lakeland regional office was divided into the East Florida and West Florida regions.

New ConstructionIn June 2006, an 18,150-square-foot newly

constructed regional branch office in Columbia, South Carolina, opened, replacing a leased facility.

Land was purchased in Fargo, North Dakota, (4.6 acres) and in Lexington, Kentucky, (5.1 acres) for future construction of owned regional branch offices.

2006 ANNUAL REPORT

SAFE. SOUND. SECURE.®

Page 6: auto owners  2006_annual_report

2006 ANNUAL REPORT

SAFE. SOUND. SECURE.®

AUTO-OWNERS HOME-OWNERS AUTO-OWNERS LIFE INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Lansing, Michigan Lansing, Michigan Lansing, Michigan

PROPERTY-OWNERS OWNERS SOUTHERN-OWNERS INSURANCE COMPANY INSURANCE COMPANY INSURANCE COMPANY Marion, Indiana Lima, Ohio Lakeland, Florida

Administrative offices of all companies are located at 6101 Anacapri Blvd., Lansing, MI 48917

12131 (4-07) WWW.AUTO-OWNERS.COM