We have paid regular quarterly cash dividends since 1942. Our board of directors considers the declaration of cash dividends on a quarterly basis. The payment of future dividends, if any, will be at the discretion of our board of directors and will depend upon many factors, including our:
The Exchange is a reciprocal insurance exchange organized under Article X of Pennsylvania’s Insurance company Law of 1921 under which individuals, partnerships, and corporations are authorized to exchange reciprocal or inter-insurance contracts with each other, or with individuals, partnerships, and corporations of other states and countries, providing indemnity among themselves from any loss which may be insured against under any provision of the insurance laws except life insurance. Each applicant for insurance from the Exchange signs a subscriber’s agreement, which appoints Erie Indemnity Company as the attorney-in-fact for the subscriber (policyholder) to transact the business of the Exchange on their behalf.
Since 1925, Erie Indemnity Company has served as the attorney-in-fact for the policyholders at the Exchange. As attorney-in-fact, Indemnity is required to perform certain services relating to the sales, underwriting and issuance of policies on behalf of the Exchange. Indemnity also provides management services to the Exchange and its insurance subsidiaries.