Segment Information (Tables)

6 Months Ended

Jun. 30, 2012

Segment Information

Schedule of components of the Consolidated Statements of Operations by reportable business segment

	Erie Insurance Group
(in millions)	For the three months ended June 30, 2012
	Management operations	Property and casualty insurance operations		Life insurance operations		Investment operations		Eliminations		Consolidated
Premiums earned/life policy revenue		$1,092		$ 18				$    (1	)	$1,109
Net investment income						$ 115		(2	)	113
Net realized investment losses						(107	)			(107	)
Net impairment losses recognized in earnings						0				0
Equity in earnings of limited partnerships						37				37
Management fee revenue	$308							(308	)	–
Service agreement and other revenue	8			0						8
Total revenues	316	1,092		18		45		(311	)	1,160
Cost of management operations	257							(257	)	–
Insurance losses and loss expenses		919		25				(1	)	943
Policy acquisition and underwriting expenses		332		8				(53	)	287
Total benefits and expenses	257	1,251		33		–		(311	)	1,230
Income (loss) before income taxes	59	(159	)	(15	)	45		–		(70	)
Provision for income taxes	21	(55	)	(6	)	8		–		(32	)
Net income (loss)	$  38	$  (104	)	$  (9	)	$   37		$     –		$    (38	)
	Erie Insurance Group
(in millions)	For the three months ended June 30, 2011
	Management operations	Property and casualty insurance operations		Life insurance operations		Investment operations		Eliminations		Consolidated
Premiums earned/life policy revenue		$1,030		$ 18				$   (1	)	$1,047
Net investment income						$115		(2	)	113
Net realized investment gains						39				39
Net impairment losses recognized in earnings						0				0
Equity in earnings of limited partnerships						38				38
Management fee revenue	$285							(285	)	–
Service agreement and other revenue	9			(1	)					8
Total revenues	294	1,030		17		192		(288	)	1,245
Cost of management operations	230							(230	)	–
Insurance losses and loss expenses		1,147		25				(2	)	1,170
Policy acquisition and underwriting expense		298		7				(56	)	249
Total benefits and expenses	230	1,445		32		–		(288	)	1,419
Income (loss) before income taxes	64	(415	)	(15	)	192		–		(174	)
Provision for income taxes	22	(145	)	(5	)	61		–		(67	)
Net income (loss)	$  42	$  (270	)	$(10	)	$131		$    –		$ (107	)

	Erie Insurance Group
(in millions)	For the six months ended June 30, 2012
	Management operations	Property and casualty insurance operations		Life insurance operations		Investment operations	Eliminations		Consolidated
Premiums earned/life policy revenue		$2,161		$ 36			$     (1	)	$2,196
Net investment income						$226	(5	)	221
Net realized investment gains						189			189
Net impairment losses recognized in earnings						0			0
Equity in earnings of limited partnerships						58			58
Management fee revenue	$577						(577	)	–
Service agreement and other revenue	15			1					16
Total revenues	592	2,161		37		473	(583	)	2,680
Cost of management operations	487						(487	)	–
Insurance losses and loss expenses		1,611		50			(2	)	1,659
Policy acquisition and underwriting expenses		634		17			(94	)	557
Total benefits and expenses	487	2,245		67		–	(583	)	2,216
Income (loss) before income taxes	105	(84	)	(30	)	473	–		464
Provision for income taxes	37	(29	)	(11	)	151	–		148
Net income (loss)	$  68	$    (55	)	$(19	)	$322	$     –		$   316

	Erie Insurance Group
(in millions)	For the six months ended June 30, 2011
	Management operations	Property and casualty insurance operations		Life insurance operations		Investment operations	Eliminations		Consolidated
Premiums earned/life policy revenue		$2,044		$ 34			$    (1	)	$2,077
Net investment income						$223	(5	)	218
Net realized investment gains						188			188
Net impairment losses recognized in earnings						0			0
Equity in earnings of limited partnerships						110			110
Management fee revenue	$536						(536	)	–
Service agreement and other revenue	17			0					17
Total revenues	553	2,044		34		521	(542	)	2,610
Cost of management operations	441						(441	)	–
Insurance losses and loss expenses		1,830		49			(3	)	1,876
Policy acquisition and underwriting expenses		580		14			(98	)	496
Total benefits and expenses	441	2,410		63		–	(542	)	2,372
Income (loss) before income taxes	112	(366	)	(29	)	521	–		238
Provision for income taxes	39	(128	)	(10	)	170	–		71
Net income (loss)	$  73	$  (238	)	$(19	)	$351	$     –		$   167