ALFA SETS DATE FOR AUTO POLICY DIVIDEND PAYOUT
MONTGOMERY, Ala., May 15, 2006 -- Alfa Insurance today announced Sept. 1, 2006, will be the payout date for a $13 million cash dividend to certain Alabama automobile insurance policyholders. The dividend, which equals about 5 percent of Alfa's annual premium on 650,000 policies, will be paid to current customers who have had policies in force since June 30, 2003.
"Consumers have a lot of choices for their automobile insurance right now," said Jerry A. Newby, Alfa president and chief executive officer. "This dividend is our way of thanking Alfa customers for their loyalty."
The policyholder dividend, which was authorized by Alfa's Board of Directors, will be paid from policyholder surplus on policies in force for the three-year period ending June 30, 2006. Checks will be mailed beginning Sept. 1 to policyholders of Alfa Mutual Insurance Co. and Alfa Mutual General Insurance Co.
Alfa and its affiliates provide insurance and other financial services to more than 1 million customers in 13 states.