May, 2007
ARI FIRST QUARTER 2007 FINANCIAL RESULTS

Lawrenceville, NJ May 7, 2007 – ARI Insurance Companies today reported net income for the first quarter of 2007 of $1,187,000 and an underwriting profit of $496,000. J. Tucker Ericson, ARI Senior Vice President and Secretary said, “We have seen an increase in the competition in our market but our continued commitment to pricing integrity produced another strong quarter of underwriting profitability. Strong investment results also contributed to the results for the quarter.” The combined ratio of 93.4% was slightly better than the anticipated results for the quarter.

The Companies are very pleased with the results for the first quarter of 2007 and would like to thank all of our agents, staff and other business partners for their contribution to our success.

ARI specializes in commercial automobile insurance and will continue to differentiate itself in this marketplace.

ARI Insurance Companies Periods Ended March 31 (Amounts in thousands)
	Three Months Ended March 31,
	2007	2006
Direct Written Premiums	$9,402	$9,983
Net Written Premiums	8,246	8,795
Premiums earned	8,130	8,252
Underwriting Gain (Loss)	496	710
Investment Income	705	578
Net Income	$ 1,187	$ 1,213
Loss and Loss Expense Ratio	60.9%	58.2%
Underwriting Ratio	32.6	31.1
Combined Ratio	93.4%	89.3%

Contact at 609-882-7500

Karen S. Fulton President and CEO

David A. Gerth Sr. Vice President & CFO

J. Tucker Ericson Sr. Vice President