Las Vegas, May 29, 2007: More than 1,000 area construction industry contractors and sub-contractors are supported by Builders Insurance Company - a member-owned company and one of the two largest workers comp providers in Nevada - and those companies are benefiting financially from the construction industry's most comprehensive safety training program, from an aggressive loss control effort and one of the lowest loss ratios in the industry, according to an annual study just released to the members. Builders Insurance's members recently gathered at the Bellagio to learn that their workers comp company continues to experience strong growth, even in today's challenging housing market, which according to internal Builders Insurance records, is beginning to experience a resurgence in Nevada.

This growth was highlighted by a reported $.25 per share dividend based on 2006 performance, as well as a turn-around in the market since March. In fact, upward trends noted since the first of March suggest that the Nevada housing-construction market is already starting to bounce back, according to Wayne Harris, a Director at Builders Insurance. Builders Insurance provides workers' comp coverage - as well as comprehensive safety and fraud-reduction measures - to help participating companies reduce on-the-job injuries and reduce workers' comp claims and costs. This annual meeting is the firm's opportunity to report to its covered members on the corporation's performance, as well as on plans for cutting costs and improving service in the future.

Harris noted that in 2006, Builders had collected more than $54 million dollars in premiums, up $3 million dollars - nearly 6 percent - from the previous year, which had also been a record. While 2007 had started with a reduction in revenues - premiums paid to Builders Insurance are based on the number of workers covered - these revenues have recently been coming back, pointing to a resurgence in the housing-construction market. More important to the rank-and-file members, Builders continues to report a loss ratio so low that it is, in Harris' words, "unique in the industry." One reason for this is Builders' continued aggressive stance toward claims fraud. Using the resources of S&C Claims, Builders investigates all suspected fraudulent claims, and recently discovered - and stopped - a $1 million dollar fraudulent claim that will be turned over to prosecutors. Money saved in stopping fraud in its tracks flows straight to the organization's bottom line, and is returned to members as both dividends and lower workers comp insurance premiums.

S&C's Dave Oakden reported that 11 percent of all claims are denied because of on-the-job drug use by injured employees; he also noted that S&C investigates more workers comp fraud cases than any other insurance company in the state, often using video surveillance to prove fraud.

"Our aggressive stance on referring fraudulent cases to state and local prosecutors has had a chilling effect on fraud," Oakden said. "When workers suspect they might not just be denied a claim, but might be prosecuted for a crime, they think twice about committing insurance fraud. This benefits honest injured workers - their claims are settled fast - but when people try to cheat the system, we prove that, we deny those claims, we prosecute and we get restitution. We make it our business to ensure that workers comp fraud crimes do not pay."

At the meeting, the more than 500 member-companies present were urged to contact their home-district state representatives and senators about pending legislation that would raise the cost of workers comp without adding any meaningful or useful benefits. Dave Oakden noted that there has been no employer-oriented workers comp bill that has been seriously considered by the legislature in at least the past four sessions; this year, there are four bills that would promote "doctor shopping" by injured employees looking for ways to prolong their benefits. These bills: AB 491, AB 419, AB 420 and AB307 would all increase costs to employers and would all - though through different mechanisms - permit or encourage doctor-shopping. In one case, the bill would prohibit the establishment of a screened panel of professional physicians, instead opening the doors to doctors known to have provided dubious work exemptions to workers later proved to be in good physical health.

Oakden and Harris both encouraged member companies to make their voices heard in Carson City - or sit back and allow premiums to rise as a small percentage of unscrupulous employees take advantage of the new "rights" proposed in these bills. More information on these bills and their impact on workers comp costs can be obtained from the Nevada Subcontractors Association (NSA - http://www.nvconstructionzone.com/NSA.htm) or Associated Builders and Contractors (ABC - http://www.abclasvegas.org/wmspage.cfm?parm1=3 and http://www.abcsierranv.org/wmspage.cfm?parm1=3).

The meeting opened with a remarkable a capella rendition of the Star Spangled Banner sung by McCall Wheeler. This was followed by presentation of Builders Insurance's safety awards for 2007. The "Most Improved" Safety program award was given to Western Casework Corporation. Michael Gonzalez from HBR Inc., was named Safety Manager of the Year, and Behade Builders - Paul and Denise Dean - was named the Safety Program of the Year. The President's Silver State Award - the highest award given by Builders Insurance for outstanding safety programs - was given to Frank, Rollie and Donna Gibbs of the Rollie Gibbs Crane Service.

Larry Long, Vice-President of Builders Insurance, announced the recipients of the 2007 Builders Insurance scholarship program. Twenty recipients will receive $1,000 each. "Last year, Builders Insurance awarded eighteen scholarships, so 2007's scholarships represent a significant increase in our efforts to help the children and grandchildren of Builders' members. "Since 1999," Long pointed out, "Builders Insurance has contributed more than $178,000 in scholarships to nearly 200 recipients. We do not commit members' insurance funds to this scholarship; all monies used for the scholarships come solely from member late fees paid by companies insured by Builders Insurance," Long explained.

Long also noted that, "Eligible scholarship recipients include the children and grandchildren of the Owners, Executives, Officers and employees of the more than 900 Nevada construction firms which receive workers' comp coverage from Builders Insurance." Builders Insurance awards the scholarships to individuals based on the recommendations of an independent scholarship committee composed of educational administrators who are unaware of candidate's names or their affiliations to the members, staff or others in the Builders Insurance leadership.

This year's recipients include Gina Cassaro, Maxwell Mitchell, Lea Jared, Jeffery Daus-Davis, Jaclyn Beckwith, Taylor Beckwith, Jonathan Steele, Hillary Thompson, Stephanie Simpson, B. Trent Harper, Jace Meier, Jennifer Stewart, Leslie Sanchez, Grand Henderson, Heather Henderson, Shelly Henricksen, Veronica Erickson, Nakelle Faught, David Brown and Marc Doty. These scholarships were awarded for areas of study that include psychology, chemistry, anesthesiology, business management, human development, pediatrics, Spanish, education, communications, motorsport management, interior design, political science, nursing, cosmetology, mechanical engineering and biology.

About Builders Insurance Company:

Builders Insurance offers post accident drug testing, back-to-work programs and created a drug-free workplace program to save Nevada's construction companies millions in workers comp costs. Builders offers comprehensive on-the-job safety training programs, as well as effective fraud-prevention programs, and is committed to quickly settling all legitimate claims while at the same time vigorously prosecuting all fraudulent claims. Builders Insurance Company is a Nevada domestic insurer wholly owned by Nevada Contractors Insurance Company, Inc., a Nevada captive insurer. Builders Insurance can be found on the web at http://www.nevada-comp.com.