This presentation contains Forward Looking Statements and other information designed to convey
our projections and expectations regarding future results. There are a number of factors which
could cause our actual results to vary materially from those projected in this presentation. The
principal risk factors that may cause these differences are described in various documents we file
with the Securities and Exchange Commission, such as our Current Reports on Form 8-K, and our
regular reports on Forms 10-Q and 10-K, particularly in “Item 1A, Risk Factors.” Please review
this presentation in conjunction with a thorough reading and understanding of these risk factors.
We especially identify statements concerning our recently-announced transactions involving
Medmarc Insurance group and Independent Nevada Doctors Insurance Exchange as forward
looking statements and direct your attention to our news releases issued on June 27, 2012 and our
Current Report on Form 8K, issued on June 28, 2012 for a discussion of risk factors pertaining to
these transactions and subsequent integration into ProAssurance
This presentation contains Non-GAAP measures, and we may reference Non-GAAP measures in
our remarks and discussions. A reconciliation of these measures to GAAP measures is available in
our latest quarterly news release, which is available in the Investor Relations section of our website,
www.ProAssurance.com, and in the related Current Reports on Form 8K disclosing that release.
FORWARD LOOKING STATEMENTS
1
NON-GAAP MEASURES

Capital Management Announcement
Two-for-one stock split effective
December 27, 2012
Record date is December 17, 2012
POST-SPLIT dividend payments
Special Dividend: $2.50/share
$154 million to shareholders
Regular Dividend: $0.25/share
Accelerated from Q1 2013
Annualized yield of 2.2%
based on 12/4/12 closing price
2

Transaction Update
3
Medmarc policyholders
approved the transaction
on December 4, 2012
Expected closing effective
January 1, 2013
Medmarc is a leader writer
of liability insurance for
medical technology and life
sciences
Transaction closed
November 30, 2012
IND is the leading
medical professional
liability writer in
Nevada

ProAssurance General Update
We are the only pure-play, publicly-traded
healthcare professional liability (HCPL)
insurance company in America.

ProAssurance Corporate Profile
Specialty liability insurance writer
Primarily Healthcare Professional Liability (HCPL)
Only pure play public company writing predominately
HCPL
Market Cap: ~$2.8 billion
Shareholders’ Equity: $2.3 billion
Total Assets: $5.0 billion
Rated “A” by Fitch and A. M. Best
5

ProAssurance Corporate Profile
Successfully adding business across the risk spectrum as the
delivery of healthcare changes
Distribution is Independent Agent (61%) and Direct (39%)
Direct in Alabama, Florida and in all states for Podiatric business
Dual distribution in DC, Texas and parts of Missouri
Q3 2012 Policyholders: ~66,250
2012 YTD Gross Written Premium: $429 mln
Nine Months Ended
September 30, 2012

ProAssurance Geographic Profile
Broad geographic diversification
Locally-based decision-making differentiates ProAssurance by
addressing each state’s unique medical/legal challenges
7
ProAssurance Footprint
Corporate Headquarters
Corporate Headquarters
Claims Offices
Claims Offices
(Birmingham)
2011 Market Share: Top Five
2011 Market Share: Top Five
2011 Market Share: Six-Ten
2011 Market Share: Six-Ten
Nine Months Ended
September 30, 2012

Success Throughout the Insurance Cycle
8
Historical Book Value Per Share
Historical Stock Price
to 11/30/12
Inception to 9/30/12
CAGR: 16%
Cumulative:1985%
10 Year Summary (2002-2011)
CAGR: 16%
Cumulative: 342%
Charts do not reflect 2:1 stock split and dividends announced 12/5/12

Our Commitment to Treated Fairly
Unwavering dedication to the defense of
non-meritorious lawsuits
Allows our insureds the right to an unfettered defense of
their claims where permitted by law
Steadfast dedication to in-depth underwriting and
adequate pricing
An unsurpassed level of customer service
Unquestioned financial strength consistently
delivering value for insureds and shareholders
9

Today’s Healthcare Professional Liability Market
ProAssurance delivers an unparalleled level of
service and financial stability that truly
differentiates our coverage and our Company in an
evolving, competitive market

HCPL Stands Apart in Insurance
HCPL claims may not be filed for years after an
incident and may take years to resolve: Long-tail
Personal lines are short tail
Introduces long periods of uncertainty
Loss trends may change expected severity from time of
initial pricing
Can be mitigated by the use of the claims-made policy form
Can provide a false sense of security for start-ups and
companies seeking to aggregate market share based on price
Float can be meaningful
HCPL claims are almost always lawsuits
High cost to defend, even if you win
11

The HCPL Market Today
Prolonged period of “benign profitability”
Premiums levels remain well above levels of 2000
Significant policyholder retention by all companies
despite fierce competition
No large commercial carriers have entered the market
in a meaningful manner
Significant barriers to entry in underwriting and claims
handling
Psychological barriers exist—failures in the past
No catastrophe exposure
12

The HCPL Market Today
13

The HCPL Market Today
Changes in healthcare delivery are changing the
underlying dynamics
Physicians are combining into larger groups
Physician practices are being brought into hospitals through
purchase or affiliation
Hospitals are combining into large networks requiring
greater insurance expertise and greater financial security
Larger companies with geographical reach and
financial strength will have an advantage in attracting
new business and continuing to consolidate
14

The HCPL Market Today
Market remains fragmented even after two
decades of consolidation
More than 100 writers
Largest market share is <8%
100 companies have <1%
15

ProAssurance’s Standing in the Market
ProAssurance is the largest independent
publicly traded writer of HCPL insurance
Fourth largest overall writer
16
DPW: SNL Data 2011

The Evolution of Healthcare and the HCPL Market
Our successful experience and deep expertise
uniquely qualify ProAssurance to insure the
widest range of healthcare risks

Healthcare Reform
No meaningful change after the election
Known: More customers for us
May accelerate the growth of hospital-owned practices and
consolidation into larger groups
Provides an opportunity for us due to our geographic reach,
long-term experience in hospitals and our financial strength
We have enhanced our ability to write new classes of
business through acquisitions
May hasten the need for consolidation of smaller insurers
Unknown: Effect on the medical/legal environment
Increased patient frustration with the system
Possibility of more unexpected outcomes
18

ProAssurance’s Evolving Strategy
Shaped by a healthcare landscape that will
change—with or without federal healthcare
reform
Enhancing our commitment to individual
providers and small groups
Expanding our hospital capabilities and
commitment
Building on two decades of hospital experience
19

ProAssurance’s Evolving Strategy
Leverage our reach, expertise and financial
strength with larger accounts
Largest non-profit healthcare
system in the US
Now in Michigan, Florida,
Illinois, Indiana and Texas
Insuring Ascension-affiliated
physicians through coordinated,
jointly insured programs
Financial involvement of both entities creates incentive to reduce risk
20
*www.ascensionhealth.org/index.php?option=com_locations&view=locations&Itemid=148
Ascension Health’s Ministry Locations*

ProAssurance’s Evolving Strategy
Joint physician/hospital insurance product:
ProControl sm
Addresses the unique risk tolerance and claims-
handling expectation of each insured
Physicians largely seek claims defense to protect their reputation
Hospitals/facilities seek to protect their reputation in different ways
Hospitals can set their risk tolerance with a full retention level,
a consultative level and a full risk transfer level
Pricing varies with risk and financial levels
Broad interest in the market with several policies in
force
21

ProAssurance’s Evolving Strategy
Ongoing interest in alternative risk and self-
insurance mechanisms
Captive insurance and sophisticated risk sharing
programs
Risk Retention Groups for specific specialties or
regions
22

ProAssurance’s Successful M&A Strategy
Consolidation will continue and will remain episodic
Fewer significant targets
Remaining companies of size are in important strategic areas
We prefer “health care centric” but will consider closely related
liability lines
Legal/regulatory environment must be favorable
Not all M&A opportunities should be pursued
We do not “bet the company” on any transaction
23
Soft Market
Hard Market
M & A
de novo
Expansion
Internal
Growth
All avenues
open
because of
pricing
power
M & A is
preferable
because of
pricing
pressure
M & A and the Insurance Cycle

ProAssurance’s Successful M&A History
24
Original
Companies
Purchased Company
Demutualization
OHIC
HOSPITALS ONLY
2
1
1
1
1
1
1
1
1
3
4
4
1
4
Renewal Rights
Assumed Business
Proposed
2
2
†
2
3
1
3
3
1
SERTA
Expected Close 1/1/13
Expected Close 11/30/12

ProAssurance Operational Review
ProAssurance delivers an unparalleled level of
service and financial stability that truly
differentiates our coverage and our Company in an
evolving, competitive market

Underwriting for Profitability Not Market Share
Underwriting process driven by individual risk
selection and assessment of loss history, areas
of practice, and location
Rates contemplate specific ROE expectations
Frequent rate/loss reviews ensure adequate prices
Rate filings consider the results of the past five to
seven years to ensure a single year does not unduly
influence results
Stringent underwriting standards maintain rate
structure and enhance profitability
26

ProAssurance Business Outlook
We ARE writing new business that we believe
will meet our profitability goals
Major competitors continue to be largely
disciplined in pricing
27

Key State Rate Comparison
Annual Premium for a $1M / $3M Policy
Filed or Approved at 1/01/12
28

Calendar Year Combined Ratio: ProAssurance Consistently Outperforms in MPL
ProAssurance Outperforms the Industry
29
Five Years: ProAssurance Average: 64.1% / Industry Average: 82.5%
Ten Years: ProAssurance Average: 84.4% / Industry Average: 99.5%
All Years: ProAssurance Average: 91.3% / Industry Average: 108.6%
Source: A.M. Best Aggregates and Averages, Medical Malpractice Lines of Business
ProAssurance’s 2011
Combined Ratio was
the lowest among all
U.S. P&C Insurers

ProAssurance Pricing History
Peak pricing was in 2006
Improved frequency trends are reflected in recent rate declines
Improvement in frequency has outweighed the steady, manageable rise in severity
Loss trends have improved in states with and without tort reforms
Rate changes (up or down) through 2012 will likely be low-to-mid single digits
MD/DO Rate Change History
PICA excluded to facilitate accurate comparisons over time

ProAssurance Retention Remains High
Continued underwriting vigilance is being used today
to ensure future success
Market share is important, but NOT as important as
profitability
31

Consistent Approach to Reserves
Consistent reserving practices provide protection
against a loss trend reversal and capital erosion
Net Favorable Reserve Development
Net Reserve per Open MPL Claim1
1 Statutory basis; Loss & LAE
Acquired company data included at end of acquiring year

Understanding Recent Loss Trends
Frequency stable after
historic declines
Lawyers are the gatekeepers
Must weigh the cost of a trial vs.
chances of success
Likelihood of success is affected
by many factors
Societal perceptions of lawsuits
against physicians
Effects of the overall tort reform
debate and headlines across the
country
Reforms enacted in some states
Better quality of care reduces the
number of medical misadventures
33
Severity uptrend remains
steady at 3%-4%
Closely tied to inflation
Primarily medical cost inflation
Jury sentiment in reaction to
headlines has moderated, but
not eliminated, runaway
verdicts in recent years
Tort Reforms have limited
non-economic damages in a
number of states

New Claims Opened Each Year
Claims Trends Remain Favorable
Fewer cases to try following significant decline in frequency
Severity trends steady and manageable
No observed effect from the economic downturn
Trends are much the same in states with or without Tort Reform
34
ProAssurance Claims Tried to a Verdict

Differentiate Through Claims Defense
We leverage our financial strength to gives our insureds the opportunity for
an uncompromising defense of their claim
Differentiates our product
Provides long-term financial and marketing advantages
Retains business and deters future lawsuits
Increasingly important as claims data becomes public
Malpractice outcomes now public in 26 states
ProAssurance: 78% No Paid Losses
Industry: 72% No Paid Losses
Source: Preliminary PIAA 2011
Claim Trend Analysis,
ProAssurance Excluded
Five Year Average
2007-2011
Source: ProAssurance,
as reported to
PIAA

The Ohio Example: 2005 - 2010 Data
Comprehensive, reliable data provided by the Ohio Department of Insurance
Broad range of competitors and business approaches
36
www.insurance.ohio.gov/Legal/Reports/Documents/2010ClosedClaimReport.pdf
More Claims Closed With No Indemnity
More Claims Defended in Court
2x Lower Average Indemnity Payment per Closed Claim

The Bottom Line Benefits of Strong Defense
Our ability and willingness to defend claims allows us
to achieve better results
37
Source: Statutory Basis, A.M. Best Aggregates & Averages
Some totals may not agree due to rounding
ProAssurance vs. Industry
Average Loss Ratio (2007-2011)
Legal Payments as
a Percentage of
Total Loss Ratio
Loss Payments as
a Percentage of
Total Loss Ratio
64.3%
44.2%
58.9%
42.0%
41.6%
76.0%
36.8%
ProAssurance Stand Alone
Loss Ratio (2006-2011)
Calendar Year
24.7%
79%
68%
52%
58%
56%
81%
19%
21%
32%
48%
42%
44%

Malpractice Made Public
Malpractice judgments/settlements now
disclosed in 26 states
Next: Public access to
the National Practitioner
Data Bank (NPDB)?
Disciplinary actions
now disclosed in
all states
Board / Discipline
Board / Discipline / Med-Mal
Source: Federation of State Medical Boards National Clearinghouse and
ProAssurance research
38

The Residual Cost of a Plaintiff Verdict
Financial effects
Higher MPL premiums
May affect quality scoring under new payment regimes
Credentialing implications
Disclosure required when applying for licensing, privileges
and treatment panels throughout their medical career
Reputational damage
May affect referrals
Online disclosure can affect acquisition of new patients
Emotional stress before, during and after
Influences future treatment behavior and patient relationships
39

ProAssurance Performs
Delivering meaningful value for our shareholders

Committed to Effective Capital Management
Balancing future needs with current market reality
Regular dividend to be $1.00/share/year post 2:1 split
~2.2% yield based on 12/4/12 closing price
Q1 2013 dividend accelerated to 2012
Payable December 27, 2012
Special Dividend of $2.50 per post-split share
Payable December 27, 2012
Prudent share repurchase program
$321 million spent to repurchase
6.1 million shares since 2005
Enhancing shareholder value by
repurchasing shares at prices
that build Book Value
41
Share Repurchase History

Capital Growth: 2007-2012 YTD
42
in $000’s except
total equity (000,000’s)
* Includes economic cost of holding treasury shares

Q3 2012 Financial Highlights
43

| Quarter Ended, | Six Months Ended,
| 9/30/2012 | 9./30/2011 | 9/30/2012 | 9/30/2011
Gross Premiums Written | $ 156,547 | $ 174,680 | $ 429,223 | $ 450,795
Net Premiums Earned | $ 127,125 | $ 134,627 | $ 395,050 | $ 403,766
Net Investment Income | $ 33,910 | $ 34,116 | $ 101,912 | $ 106,573
Net Income (Includes Investment Losses) | $ 60,106 | $ 43,705 | $ 174,204 | $ 146,494
Operating Income | $ 52,946 | $ 48,366 | $ 160,630 | $ 147,007
Net Income per Diluted Share | $ 1.94 | $ 1.42 | $ 5.64 | $ 4.75
Operating Income per Diluted Share | $ 1.71 | $ 1.57 | $ 5.20 | $ 4.77

Does not reflect 2:1 stock split and dividends announced 12/5/12

Inside ProAssurance’s Balance Sheet
44

Inside ProAssurance’s Income Statement
45

Steady Return in an Unfavorable Environment
Long-term ROE target: 12% -14%

Book Value per Share captures our focus on long-term
excellence
Increased every year we have been public
Focused on Book Value
47
Inception to 9/30/12
CAGR: 16%
Cumulative:1985%
10 Year Summary (2002 -2011)
CAGR: 16%
Cumulative: 342%
Historical Book Value Per Share
Does not reflect 2:1 stock split and dividends announced 12/5/12

Book Value per Share History
Does not reflect 2:1 stock split and dividends announced 12/5/12

Driving Share Prices Higher
49
Historical Share Price
Inception to 11/30/2012
CAGR: 15%
Cumulative: 1684%
10 Year Summary (2002 -2011)
CAGR: 14%
Cumulative: 280%
Does not reflect 2:1 stock split and dividends announced 12/5/12

Driven to Excel / Focused on Shareholder Value
Maintaining profitability
Sustaining book value growth
Producing sustainable shareholder value
Focusing on long-term—ready for the market turn
Current Prices Continue to Offer a Compelling Buying Opportunity
Current Price to Q3 2012 Book: 1.2x Average Since Inception: 1.4x
Does not reflect 2:1 stock split and dividends announced 12/5/12

ProAssurance Transaction Discussion
Medmarc will broaden our product offerings and capabilities
in protecting the delivery of healthcare
Independent Nevada Doctors Insurance Exchange (IND)
will make ProAssurance the leading
medical professional liability writer in Nevada

Transaction Update
52
A leading products
liability writer in
medical technology
and life sciences
Meaningful legal
professional liability
book
Merger into
ProAssurance
solidifies IND’s
position as the
leading medical
professional liability
writer in Nevada

ProForma Premiums / Policyholders
2011 Actual PRA GPW: $566 million
2011 ProForma GPW: $619 million
2011 Actual Policyholders: ~71,500
2011 ProForma Policyholders: ~75,500
ProForma: ProAssurance + Medmarc + IND

IND Details
Founded in 2006 by
Nevada physicians
Proven history
Gained market leadership without competing on price
Solid customer service philosophy mirrors
ProAssurance
ProAssurance and IND will combine offices in
Las Vegas
Transaction value not material to ProAssurance
54

IND Metrics

Pro Forma Nevada Market Share
ProAssurance + IND | $21.8 mil
NORCAL Mutual | $10.8 mil
Nevada Mutual | $10.5 mil
Premier Physicians | $7.2 mil
Fairfax Financial | $6.6 mil
Total Market | $85.6 mil
2011 Direct Written Premium

55

| 12/31/2011 | 12/31/2010 | 12/31/2009
Total Assets | $ 51.8 | $ 50.6 | $ 47.2
Loss & LAE Reserves | $ 22.8 | $ 25.6 | $ 25.5
Surplus (Equity) | $ 19.7 | $ 16.4 | $ 13.7

Balance Sheet Highlights (STAT data in millions)

| 2011 | 2010 | 2009
Combined Ratio | 57.0% | 81.9% | 94.2%

Combined Ratio (STAT Data)
Source: IND
Full statutory financial information:
www.ind-insurance.com/documents-and-downloads

| 12/31/2011 | 12/31/2010 | 12/31/2009
Gross Premiums Written | $ 12.1 | $ 12.6 | $ 11.5
Net Income | $ 3.9 | $ 2.4 | $ 1.3

2009-2011 Income Statement Highlights (STAT data in millions)

2011 Actual Direct Written Premium
IND | $12.1 mil
NORCAL Mutual | $10.8 mil
Nevada Mutual | $10.5 mil
ProAssurance | $9.7 mil
Premier Physicians | $7.2 mil

| 2011 | 2010 | 2009
Policyholders | 603 | 565 | 520

Policyholders at each year-end
Source; SNL Financial, Total MPL Premium for Nevada

56
Recognized leader in Nevada
Conservative operating philosophy
Physician-founded
Corporate culture values high levels of customer
service
Strong brand recognition
Strong surplus position relative to business written
Proven, profitability
IND Strengths
Experienced management team has committed to
ProAssurance
Deepens market share in a state with proven
profitability
Increased recognition as a brand leader
Advantages ProAssurance Gains from IND
ProAssurance Answers Challenges for IND
Additional balance sheet strength
ProAssurance will extend its “A” (Excellent) rating to
IND
Ability to address emerging needs of new account
types:
Large groups
Multi-state groups
Hospitals, clinic, health systems
Seamless integration into ProAssurance reinsurance
program will address issues surrounding the cost of
reinsurance

Medmarc Update
Regulatory approval granted
Approved by policyholders
on December 4th
Expected closing effective January 1, 2013
57

Medmarc Details
Founded in 1979 by the
medical technology and
life science industry
Proven legal professional liability book
Management will remain in place at corporate
offices in Virginia
Transaction value: $154 million in cash
$146.2 direct payments to eligible members
$7.5 million in future premium credits
58

Medmarc Metrics

Top Five States by Direct Written Premium (2011)
California | $5.8 mil (14%)
Florida | $5.3 mil (13%)
Texas | $4.4 mil (10%)
Massachusetts | $3.8 mil (6%)
New Jersey | $2.0 mil (5%)

59

| 3/31/2012 | 12/31/2011 | 12/31/2010 | 12/31/2009
Total Assets | $ 319.9 | $ 325.2 | $ 335.5 | $ 339.1
Loss & LAE Reserves | $ 139.6 | $ 146.8 | $ 165.0 | $ 179.6
Total Liabilities | $ 160.2 | $ 171.5 | $ 193.2 | $ 211.7
Surplus (Equity) | $ 159.8 | $ 153.7 | $ 142.3 | $ 127.4
Tangible Book Value | $ 159.8 | $ 153.7 | $ 142.1 | $ 126.8

Balance Sheet Highlights (STAT Data in millions)

| 12/31/2011 | 12/31/2010 | 12/31/2009
Gross Premiums Written | $ 40.6 | $ 56.6 | $ 74.4
Net Premiums Written | $ 30.0 | $ 40.6 | $ 42.1
Net Investment Income | $ 11.6 | $ 12.0 | $ 13.4
Pre-Tax Income | $ 15.2 | $ 10.1 | $ 12.2
Net Income | $ 11.5 | $ 10.6 | $ 9.5

2009-2011 Income Statement Highlights (STAT Data in millions)

| 12/31/2011 | 12/31/2010 | 12/31/2009
Loss Ratio | 42.1% | 71.0% | 71.0%
Expense Ratio | 51.5% | 36.2% | 35.5%
Combined Ratio | 93.6% | 107.2% | 106.5%
Operating Ratio | 58.4% | 79.4% | 77.8%

2009-2011 Ratios (STAT Data)
Data Sources: Medmarc Insurance Group, SNL Financial, A. M. Best
Full statutory financial information:
www.medmarc.com/About-Us/Pages/Statutory-Statements.aspx

2011 Policyholder Breakdown
MedTech / LfSci | 958
Legal Professional | 2,535

60
Experienced board of directors and management team
Strong surplus position relative to business written
Profita ble operations
Conservative business philosophy
Strategic relationship with AdvaMed
Leading medical technology trade association
Valuable life sciences brand developed over 32-year
history:
Relationships with over 1,000 leading medical
technology companies
Relationships with more than 380 brokers who control
the life sciences business
National defense attorney network comprising 340
attorneys/firms domestically and internationally
Recognized Web-based thought leadership
16-year strategic alliance with The Hartford to insure
other exposures for insureds
Established lawyers’ professional liability program
Medmarc Strengths
ProAssurance Answers Challenges for Medmarc
ProAssurance balance sheet strength will ensure
Medmarc’s financial credibility
Will allow Medmarc to again offer competitive
limits
ProAssurance will extend its “A” (Excellent) rating to
Medmarc to reassure brokers
Financial strength and higher rating may allow
Medmarc to recapture business it lost due to tighter
self-imposed underwriting guidelines
Combined organization will have greater standing with
reinsurers

Medmarc Transaction Analysis
61
Buying at a discount to tangible book value
Will increase ProAssurance book value per share
Experienced management team has committed to
ProAssurance
ProAssurance adds
Broader product offerings and capabilities in
protecting the delivery of healthcare
Expertise in medically-focused product liability
A recognizable brand
Premium growth at a reasonable price
Strengthens ties with shared brokers and creates new
relationships with desirable brokers
Adds another strategic alliance as we gain name
recognition outside legacy MPL business
Adds significant scale to our lawyers’ professional
liability program
Little or no overlap in key LPL states
Advantages ProAssurance Gains from Medmarc

Medmarc Profitability Drives Surplus Growth
Surplus at highest level in company history
62

Significantly reduced exposure to accounts with sales greater
than $100 million (2011)
Recent Events at Medmarc
63

Investment Portfolio Detail
ProAssurance remains conservatively
invested, to ensure our ability to keep our
long-term promise of insurance protection

ProAssurance: Investment Profile
65
$4.1 Billion Overall Portfolio
$3.6 Billion Fixed Income Portfolio
Average duration: 3.8 years
Average tax-equivalent Income yield: 4.5%
Investment grade: 94%
Weighted average: AA-
9/30/12
Key portfolio actions in Q3 2012
Added dividend-paying equities
Added to high yield investments
$89.2 million tax credit portfolio not reflected in
investment income—provides approximately
$10.5 million in tax credits and $8 million in
deductions in 2012.
CUSIP-level portfolio disclosure on our website:
www.proassurance.com/investorrelations/supplemental.aspx

ProAssurance Portfolio Detail: Asset Backed
66
9/30/12
Subject to Rounding
Asset Backed: $599 Million
Weighted Average Rating: “AA+”
Breakdown of Agency MBS/CMBS Holdings
Key CMBS Details Provided on Following Page
Sub-Prime: $7.3 mil Market Value (AFS)
$0.8 mil net unrealized loss

ProAssurance Portfolio Detail: Non-Agency CMBS
$76.7 million Fair Value in non-agency CMBS
Book Value: $70.3 million (2% of fixed income portfolio)
We have experienced no losses on our CMBS positions
67
9/30/12

ProAssurance Portfolio Detail: Municipals
68
Municipals: $1.2 Billion / Average Rating is AA
Investment policy has always required
investment grade rating prior to applying the
effect of insurance
Weighted Average Rating: AA
9/30/12

ProAssurance Portfolio Detail: Equities & Other
69
Equities & Other: $336 Million
9/30/12

ProAssurance Portfolio Detail: Corporate
70
Corporates: $1.4 Billion
Weighted Average Rating: A-
9/30/12

ProAssurance Portfolio Detail: Various
Rated A1/P1 or better
Money Markets:
Moody’s: Aaa
S&P: AAA
Weighted average rating
Moody’s: AA3
S&P: AA-
A. M. Best: A+
Treasury / GSE: $281 Million
Short Term: $168 Million
BOLI: $52 Million
9/30/12

Additional Financial Data

Management is Experienced & Invested
Effective senior management remains in place—14 years average tenure
Average ProAssurance tenure through the VP level is 16 years, with an average of 26 years
industry experience
Management and employees are invested, owning ~4% of ProAssurance stock
73

W. Stancil Starnes, JD Chairman & Chief Executive Officer Company Tenure: 5 Years Prior MPL Experience: 29 Years Total Industry & Related Experience: 34 Years Formerly in the private practice of law in MPL defense and complex corporate litigation. | Victor T. Adamo, JD, CPCU Vice-Chairman Company Tenure: 27 Years Prior MPL Experience: 5 Years Total Industry & Related Experience: 32Years Formerly in the private practice of corporate law. President of Professionals Group, prior to formation of ProAssurance. | Ross E. Taubman, DPM President of PICA Company Tenure: 1 Year Prior MPL Experience: - Total Industry & Related Experience: 27 Years Formerly in the private practice of podiatry . Leader in organized podiatric medicine; former president and Trustee of the American Podiatric Medical Association.
Jeffrey L. Bowlby, ARM Sr. Vice-President & Chief Marketing Office Company Tenure: 14 Years Prior MPL Experience: - Total Industry & Related Experience: 28 Years Career-long experience in insurance sales and marketing, most recently as SVP for Marketing with Meadowbrook. | Howard H. Friedman, ACAS Sr. Vice-President & Chief Underwriting Officer Company Tenure: 16 Years Prior MPL Experience: 16 Years Total Industry & Related Experience: 32 Years Career-long experience in MPL company operations and management. Former ProAssurance CFO. | Jeffrey P. Lisenby, JD Sr. Vice-President, General Counsel & Secretary Company Tenure: 12 Years Prior MPL Experience: - Total Industry & Related Experience: 12 Years Formerly in the private practice of law.
Duncan Y. Manley Vice-President, Operations and Information Systems Company Tenure: 12 Years Prior MPL Experience: 7 Years Total Industry & Related Experience: 19 Years Career-long experience in MPL company operations as an executive and consultant. | Frank B. O’Neil Sr. Vice-President & Chief Communications Officer Company Tenure: 25 Years Prior MPL Experience: - Total Industry & Related Experience: 25 Years Formerly a television news executive and anchor. | Edward L. Rand, Jr., CPA Sr. Vice-President & Chief Financial Officer Company Tenure: 8 Years Prior MPL Experience: - Total Industry & Related Experience: 20 Years Career-long experience in insurance finance and accounting. Most recently Chief Accounting Officer for Partner Re.
Darryl K. Thomas, JD Sr. Vice-President & Chief Claims Officer Company Tenure: 18 Years Prior MPL Experience: 10 Years Total Industry & Related Experience: 28 Years Career-long experience in MPL claims management. | Hayes V. Whiteside, MD, FACS Sr. Vice-President & Chief Medical Officer Company Tenure: 9 Years Prior MPL Experience: - Total Industry & Related Experience: 29 Years Formerly in the private practice of Urology. | Adam P. Wilczek Sr. Vice-President & Chief Operating Officer of PICA Company Tenure: 16 Years Prior MPL Experience: 20 Years Total Industry & Related Experience: 36 Years Former executive with Medical Inter-Insurance Exchange (MIIX) and Chubb.

Prepared for an improving market
Conservative Use of Debt / Low Leverage
No debt as of September 20, 2012
74
Debt to Equity
No Debt Prior to 2001
Strong Capital Position
*
Annualized 2012 premium
for presentation purposes
only. Specifically disclaimed
as a projection of premiums

The choice: chase yield or extend duration
We are maintaining duration, looking for
opportunities
Pricing discipline becomes even more
critical in a low interest rate environment
Lack of investment yield may be a hard
market catalyst
Return on Equity and Investment Returns
75
Assumes a 1:1 premium to surplus ratio for physicians
professional liability claims-made coverages
Combined Ratio Required to
Generate a 13% Return on Equity
Long-Term ROE Target is 13%
The Yield Trap
Revised to reflect yields at 9/30/12

Long-Term Financial Strength Sets Us Apart
Ensuring the strength of our balance sheet is our top financial priority
Financial strength differentiates us in the market
The claims defense philosophy that differentiates us in the market leverages our
financial strength
76
Shareholders’ Equity
87% Increase Since 12/31/07
Total Assets

Net Investment Income
Net Premiums Written
($ in millions. Excludes discontinued operations)
Net Income
Operating Income 1
77
1 Excludes the after-tax effects of net realized gains or losses, and, in 2012, the effect of
$714,000 in confidential settlements that do not reflect normal operating results
YTD = Nine months ended September 30th each period