8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of report (Date of earliest event reported): November 1, 2012

AMERISAFE, INC.

(Exact Name of Registrant as Specified in Charter)

Texas	001-12251	75-2069407
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

2301 Highway 190 West DeRidder, Louisiana	70634
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: (337) 463-9052

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions (see General Instruction A.2. below):

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On November 1, 2012, AMERISAFE, Inc. (the “Company”) issued a press release announcing its financial results for the third quarter ended September 30, 2012. A copy of the Company’s press release is attached as Exhibit 99.1 to this Current Report on Form 8-K.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.	Description
99.1	Press Release of AMERISAFE, Inc. dated November 1, 2012

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

AMERISAFE, INC.
	By:	/s/ G. Janelle Frost
	G. Janelle Frost, Executive Vice President and Chief Financial Officer

Date: November 1, 2012

EX-99.1

Exhibit 99.1

NEWS RELEASE       Contact:      G. Janelle Frost, EVP & CFO     AMERISAFE, Inc.     337-463-9052

AMERISAFE ANNOUNCES 2012 THIRD QUARTER RESULTS

DeRidder, LA – November 1, 2012 - AMERISAFE, Inc. (Nasdaq: AMSF), a specialty provider of hazardous workers’ compensation insurance, today announced results for the third quarter ended September 30, 2012.

	Three Months Ended September 30,									Nine Months Ended September 30,
	2012			2011			% Change			2012			2011			% Change
	(in thousands, except per share data)
Net premiums earned	$	72,425		$	64,454			12.4	%	$	211,948		$	184,804			14.7	%
Net investment income		6,801			6,495			4.7	%		20,320			19,638			3.5	%
Net realized gains on investments (pre-tax)		985			512			92.4	%		2,913			760			NM
Net income		7,121			4,884			45.8	%		20,127			16,108			25.0	%
Diluted earnings per share	$	0.38		$	0.26			46.2	%	$	1.08		$	0.86			25.6	%
Operating net income		6,481			4,372			48.2	%		18,234			15,348			18.8	%
Operating earnings per share	$	0.35		$	0.23			52.2	%	$	0.98		$	0.82			19.5	%
Book value per share	$	20.46		$	18.84			8.6	%	$	20.46		$	18.84			8.6	%
Net combined ratio		98.5	%		102.3	%					99.4	%		101.1	%
Return on average equity		7.7	%		5.7	%					7.4	%		6.4	%

Financial data for 2011 was revised to reflect an adjustment for the retrospective adoption of a new accounting standard for policy acquisition costs. Financial data presented in this report for the three and nine months ended September 30, 2011 has been adjusted to reflect a change for the estimate of liability for state guaranty fund assessments.

Commenting on these results, Allen Bradley, AMERISAFE’s Chairman and Chief Executive Officer, stated, “During the third quarter we have observed more signs of disruption in the workers’ compensation markets. Carriers have either withdrawn from the market or significantly limited their underwriting appetite. We believe AMERISAFE is well-positioned to take advantage of these opportunities to grow our business profitably thereby increasing shareholder value.”

Insurance Results

	Three Months Ended September 30,									Nine Months Ended September 30,
	2012			2011			% Change			2012			2011			% Change
	(in thousands)
Gross premiums written	$	77,283		$	65,698			17.6	%	$	247,683		$	209,973			18.0	%
Net premiums earned		72,425			64,454			12.4	%		211,948			184,804			14.7	%
Loss and loss adjustment expenses incurred		53,851			49,327			9.2	%		162,414			140,079			15.9	%
Underwriting and certain other operating costs, commissions and salaries and benefits		16,495			16,350			0.9	%		46,557			45,808			1.6	%
Policyholder dividends		945			271			NM			1,659			990			67.6	%
Underwriting profit (loss) (pre-tax)		1,134			(1,494	)		176.0	%		1,318			(2,073	)		163.6	%
Insurance Ratios:
Current accident year loss ratio		76.5	%		78.2	%					76.5	%		78.2	%
Prior accident year loss ratio		(2.1	)%		(1.7	)%					0.1	%		(2.4	)%
Net loss ratio		74.4	%		76.5	%					76.6	%		75.8	%
Net underwriting expense ratio		22.8	%		25.4	%					22.0	%		24.8	%
Net dividend ratio		1.3	%		0.4	%					0.8	%		0.5	%
Net combined ratio		98.5	%		102.3	%					99.4	%		101.1	%

• Voluntary premiums written increased 16.6% in the quarter and 12.1% for the nine months ended September 30, 2012 compared to the same periods in 2011. Additionally, payroll audits and related premium adjustments for policies written in previous periods increased premiums $3.1 million in the third quarter and $13.0 million in the nine months ended September 30, 2012. In 2011, these premium adjustments increased premium $2.5 million in the third quarter and $2.1 million for the nine months ended September 30.

• The current accident year loss ratio for the third quarter remained at 76.5%, same as the first and second quarters of 2012. During the quarter the Company experienced $1.6

million of favorable development for prior accident years which decreased loss and loss adjustment expenses. Accident years 2010 and 2011 experienced minor favorable development of less than $0.1 million. In total, prior accident year development for the nine months ended September 30, 2012 was an unfavorable $0.2 million, compared to a favorable $4.4 million for the same period in 2011.

• The expense ratio in the third quarter and for the nine months ended September 30, 2012 decreased mainly through efficiencies gained by maintaining level general operating costs as earned premium grew and gaining a higher benefit from experience-rated commissions on our reinsurance treaties.

• The effective tax rate for the nine months ended September 30, 2012 was 17.7% compared to 9.7% in the same period in 2011. The increase was driven by the lower ratio of tax-free investment income to pre-tax income in the nine month ended September 30, 2012 compared to the same period in 2011.

Geoff Banta, President and Chief Operating Officer, noted, “We experienced double-digit growth in premiums written for the seventh straight quarter, and both pricing and premium retention continue to be very strong. Also, our claims frequency is trending downward and overall loss development for prior years was favorable this quarter. We are pleased with these positive indications and believe our strategy for operating in today’s volatile workers’ compensation market is producing results.”

Investment Results

	Three Months Ended September 30,									Nine Months Ended September 30,
	2012			2011			% Change			2012			2011			% Change
	(in thousands)
Net investment income	$	6,801		$	6,495			4.7	%	$	20,320		$	19,638			3.5	%
Net realized gains on investments (pre-tax)		985			512						2,913			760
Pre-tax investment yield		3.1	%		3.1	%					3.1	%		3.1	%
Tax equivalent yield (1)		4.5	%		4.6	%					4.5	%		4.6	%

(1) The tax equivalent yield is calculated using the effective interest rate and a 35% marginal tax rate.

• As of September 30, 2012, the carrying value of AMERISAFE’s investment portfolio, including cash and cash equivalents, was $882.6 million and the fair value of the portfolio was $929.1 million.

Supplemental Information

During the quarter, no shares were repurchased under the share repurchase plan. Since beginning of this plan, the Company has repurchased a total of 1,258,250 shares for $22.4 million, or an average per share price of $17.78, including commissions. On October 30, 2012, the Board of Directors extended the share repurchase program through December 31, 2013.

	Three Months Ended September 30,						Nine Months Ended September 30,
	2012			2011			2012			2011
	(in thousands, except share and per share data)
Net income	$	7,121		$	4,884		$	20,127		$	16,108
Less: Net realized capital gains		985			512			2,913			760
Tax effect (1)		(345	)		—			(1,020	)		—
Operating net income (2)		6,481			4,372			18,234			15,348
Average shareholders’ equity (3)	$	367,794		$	340,471		$	360,788		$	334,462
Less: Average other comprehensive income (loss)		3,390			569			3,165			615
Adjusted average shareholders’ equity		364,404			339,902			357,623			333,847
Diluted weighted average common shares		18,583,980			18,708,721			18,576,405			18,766,733
Return on average equity (4)		7.7	%		5.7	%		7.4	%		6.4	%
Operating return on average adjusted equity (2)		7.1	%		5.2	%		6.8	%		6.1	%
Diluted earnings per common share	$	0.38		$	0.26		$	1.08		$	0.86
Operating earnings per common share (2)	$	0.35		$	0.23		$	0.98		$	0.82

(1) The tax effect of net realized capital gains is calculated assuming an annual tax rate of 35% plus the change in valuation allowance for deferred taxes.

(2) Operating net income, operating return on average adjusted equity and operating earnings per share are non-GAAP financial measures, and management believes that investor’s understanding of core operating performance is enhanced by AMERISAFE’s disclosure of these financial measures.

(3) Average shareholders’ equity is calculated by taking the average of the beginning and ending shareholders’ equity.

(4) Return on average equity is calculated by dividing the annualized net income by the average shareholders’ equity.

Conference Call Information

AMERISAFE has scheduled a conference call for November 2, 2012, at 10:30 a.m. Eastern Time to discuss the results for the quarter and the outlook for future periods. To participate in the conference call dial 720-545-0027 at least 10 minutes before the call begins and ask for the AMERISAFE conference call. A replay of the call will be available approximately two hours after the live broadcast ends and will be accessible through November 9, 2012. To access the replay, dial 855-859-2056 or 404-537-3406 and use the pass code 38108465#.

Investors, analysts and the general public will also have the opportunity to listen to the conference call over the Internet by visiting http://www.amerisafe.com. To listen to the live call on the web, please visit the website at least fifteen minutes before the call begins to register, download and install any necessary audio software. For those who cannot listen to the live webcast, an archive will be available shortly after the call and will remain available for approximately 60 days at http://www.amerisafe.com.

About AMERISAFE

AMERISAFE, Inc. is a specialty provider of workers’ compensation insurance focused on small to mid-sized employers engaged in hazardous industries, principally construction, trucking and agriculture. AMERISAFE actively markets workers’ compensation insurance in 35 states and the District of Columbia.

Forward Looking Statements

Statements made in this press release that are not historical facts, including statements accompanied by words such as “will,” “believe,” “anticipate,” “expect,” “estimate,” or similar words are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding AMERISAFE’s plans and performance. These statements are based on management’s estimates, assumptions and projections as of the date of this release and are not guarantees of future performance and include statements regarding management’s views and expectations of the workers’ compensation market, the Company’s growth opportunities, underwriting margins and actions by competitors. Actual results may differ materially from the results expressed or implied in these statements as the results of risks, uncertainties and other factors including the factors set forth in the Company’s filings with the Securities and Exchange Commission, including AMERISAFE’s Annual Report on Form 10-K for the year ended December 31, 2011. AMERISAFE cautions you not to place undue reliance on the forward-

looking statements contained in this release. AMERISAFE does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the date of this release.

- Tables to follow -

AMERISAFE, INC. AND SUBSIDIARIES

Consolidated Statements of Income

(in thousands)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2012			2011			2012			2011
	(unaudited)
Revenues:
Gross premiums written	$	77,283		$	65,698		$	247,683		$	209,973
Ceded premiums written		(4,032	)		(3,517	)		(11,907	)		(10,487	)
Net premiums written	$	73,251		$	62,181		$	235,776		$	199,486
Net premiums earned	$	72,425		$	64,454		$	211,948		$	184,804
Net investment income		6,801			6,495			20,320			19,638
Net realized gains on investments		985			512			2,913			760
Fee and other income		163			282			484			551
Total revenues		80,374			71,743			235,665			205,753
Expenses:
Loss and loss adjustment expenses incurred		53,851			49,327			162,414			140,079
Underwriting and other operating costs		16,495			16,350			46,557			45,808
Interest expense		80			277			566			1,036
Policyholder dividends		945			271			1,659			990
Total expenses		71,371			66,225			211,196			187,913
Income before taxes		9,003			5,518			24,469			17,840
Income tax expense		1,882			634			4,342			1,732
Net income	$	7,121		$	4,884		$	20,127		$	16,108

AMERISAFE, INC. AND SUBSIDIARIES

Consolidated Statements of Income (cont.)

(in thousands, except share and per share amounts)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2012		2011		2012		2011
	(unaudited)
Basic EPS:
Net income	$	7,121	$	4,884	$	20,127	$	16,108
Basic weighted average common shares		18,173,062		18,294,040		18,154,690		18,306,516
Basic earnings per share	$	0.39	$	0.27	$	1.11	$	0.88
Diluted EPS:
Net income	$	7,121	$	4,884	$	20,127	$	16,108
Diluted weighted average common shares:
Weighted average common shares		18,173,062		18,294,040		18,154,690		18,306,516
Stock options		409,382		405,207		408,108		451,613
Restricted stock		1,363		9,474		9,281		8,604
Long-term incentive stock		173		—		4,326		—
Diluted weighted average common shares		18,583,980		18,708,721		18,576,405		18,766,733
Diluted earnings per common share	$	0.38	$	0.26	$	1.08	$	0.86

AMERISAFE, INC. AND SUBSIDIARIES

Consolidated Balance Sheets

(in thousands)

	September 30,		December 31,
	2012		2011
	(unaudited)
Assets
Investments	$	813,274	$	805,974
Cash and cash equivalents		69,345		45,536
Amounts recoverable from reinsurers		98,154		96,212
Premiums receivable, net		143,202		121,223
Deferred income taxes		31,417		30,048
Deferred policy acquisition costs		18,830		16,578
Other assets		28,633		28,402
	$	1,202,855	$	1,143,973
Liabilities and shareholders’ equity
Liabilities:
Reserves for loss and loss adjustment expenses	$	564,243	$	538,214
Unearned premiums		142,527		118,699
Insurance-related assessments		22,190		19,071
Subordinated debt securities		—		25,780
Other liabilities		101,756		92,772
Total shareholders’ equity		372,139		349,437
Total liabilities and shareholders’ equity	$	1,202,855	$	1,143,973

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