COLUMBUS, OH -- 11/16/09 --
Bancinsurance Corporation (OTCBB: BCIS), a
specialty property and casualty insurance holding company, today announced
that on November 13, 2009, its board of directors declared a cash dividend
of $0.50 per common share (approximately $2.6 million in the aggregate).
The dividend will be payable on December 14, 2009, to shareholders of
record as of the close of business on November 30, 2009.
"We are delighted to declare this dividend and share the Company's success
with our shareholders," said John Sokol, chairman, chief executive officer
and president. "While Bancinsurance Corporation has not historically paid
cash dividends, based on our current capital levels and capital
requirements, the dividend provides a return on our shareholders'
investment without compromising our capital structure or liquidity. The
declaration and payment of future dividends (if any) will depend upon our
results of operations, financial condition, capital needs, liquidity and
other factors deemed relevant by our board of directors."
About Bancinsurance Corporation
Bancinsurance Corporation, headquartered in Columbus, Ohio, is principally
engaged through its property and casualty insurance subsidiary, Ohio
Indemnity Company, in underwriting specialty insurance. Lender service
insurance products include our ULTIMATE LOSS INSURANCE®, creditor placed
insurance, guaranteed auto protection insurance and equipment physical
damage insurance products. These products primarily protect banks and
other lenders against risk arising from theft or damage to certain loan
collateral where the borrower has failed to secure or maintain adequate
insurance coverage. Unemployment compensation products are utilized by
qualified entities that elect not to pay the unemployment compensation
taxes and instead reimburse state unemployment agencies for benefits paid
by the agencies to the entities' former employees. Waste industry products
consist of waste, contract and escrow surety bonds produced and
administered by a general insurance agent whereby the Company both assumes
and cedes business through quota share reinsurance arrangements.
Forward-Looking Information
Certain statements made in this press release are forward-looking and are
made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements convey our
current expectations or forecast future events. All statements contained in
this press release, other than statements of historical fact, are
forward-looking statements. Forward-looking statements include statements
regarding our future financial condition, results of operations, business
strategy, budgets, projected costs and plans and objectives of management
for future operations. The words "may," "continue," "estimate," "intend,"
"plan," "will," "believe," "project," "expect," "anticipate" and similar
expressions generally identify forward-looking statements but the absence
of these words does not necessarily mean that a statement is not
forward-looking. Forward-looking statements are not guarantees of future
performance and involve risks and uncertainties that may cause actual
results to differ materially from those statements. Risks and uncertainties
that could materially affect the company's consolidated financial results
are discussed in the Company's filings with the Securities and Exchange
Commission, including its Form 10-K for the year ended December 31, 2008.
Any forward-looking statements speak only as of the date made. We undertake
no obligation to update any forward-looking statements to reflect events or
circumstances arising after the date on which they are made.
CONTACT:
John S. Sokol
Chairman, Chief Executive Officer and President
Email Contact
614-220-5200
