Erie Increases Loss Reserves for Work Comp

Erie Insurance Group announced yesterday that its property and casualty companies would increase loss and loss adjustment expense reserves by approximately $184 million in the fourth quarter of 2002. The company also reported its expected losses due to recent storms. The reserve increases, all related to the Group's direct business, are being taken in response to loss experience in the Group's auto, homeowners and workers' compensation lines of business. Increased loss severity, particularly in automobile bodily injury and catastrophic medical claims in the workers' compensation line, is the...