Cincinnati Financial Corporation
Supplemental Financial Data
December 31, 2006
Fourth Quarter
		6200 South Gilmore Road
		Fairfield, Ohio 45014-5141
		www.cinfin.com/investors
Investor Contact:		Media Contact:		Shareholder Contact:
Heather J. Wietzel		Joan O. Shevchik		Jerry L. Litton
513-870-2768		513-603-5323		513-870-2639
Cincinnati Financial Corporation
		A.M. Best	Fitch	Moody’s	Standard & Poor’s
Corporate Debt		aa-	A+	A2	A
The Cincinnati Insurance Companies
		A.M. Best	Fitch	Moody’s	Standard & Poor’s
Property Casualty Group		A++	--	Aa3	AA-
The Cincinnati Insurance Company		A++	AA	Aa3	AA-
The Cincinnati Indemnity Company		A++	AA	Aa3	AA-
The Cincinnati Casualty Company		A++	AA	Aa3	AA-
The Cincinnati Life Insurance Company		A+	AA	--	AA-
	Ratings are as of February 7, 2007, under continuing review and subject to change and/or affirmation.  For the latest ratings, select the Ratings tab on www.cinfin.com/investors.
	The consolidated financial statements and financial exhibits that follow are unaudited.  These consolidated financial statements and exhibits should be read in conjunction with the consolidated financial statements and notes included in the Annual Report on Form 10-K for 2005. The results of operations for interim periods should not be considered indicative of results to be expected for the full year. Certain 2006 interim period data has been updated to correct rounding differences.

	Cincinnati Financial Corporation
	Supplemental Financial Data
	Fourth Quarter 2006
		Page	Status
	Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures	3	2/7/2007
Consolidated
	Quick Reference	4	2/7/2007
	Consolidated Statements of Income	5	2/7/2007
	CFC and Subsidiary Consolidation – Twelve Months Ended December 31, 2006	6	2/7/2007
	CFC and Subsidiary Consolidation – Twelve Months Ended December 31, 2005	7	2/7/2007
	CFC and Subsidiary Consolidation – Three Months Ended December 31, 2006	8	2/7/2007
	CFC and Subsidiary Consolidation – Three Months Ended December 31, 2005	9	2/7/2007
	Consolidated Balance Sheets	10	2/7/2007
	10-Year Net Income Reconciliation	11	2/7/2007
	Quarterly Net Income Reconciliation	12	2/7/2007
	Top Holdings -- Common Stocks	13	2/7/2007
Property Casualty Insurance Operations
	GAAP Statements of Income	14	2/7/2007
	Statutory Statements of Income	15	2/7/2007
	Statutory Quarterly Analysis – Consolidated	16	2/7/2007
	Statutory Quarterly Analysis – Commercial Lines	17	2/7/2007
	Statutory Quarterly Analysis – Personal Lines	18	2/7/2007
	Direct Written Premiums by Line of Business and State	19	2/7/2007
	Quarterly Property Casualty Data – Commercial Lines of Business	20	2/7/2007
	Quarterly Property Casualty Data – Personal Lines of Business	21	2/7/2007
Reconciliation Data
	10-Year Property Casualty Data – Consolidated	22	2/7/2007
	6-Year Property Casualty Data – Commercial Lines	23	2/7/2007
	6-Year Property Casualty Data – Personal Lines	24	2/7/2007
	Quarterly Property Casualty Data – Consolidated	25	2/7/2007
	Quarterly Property Casualty Data – Commercial Lines	26	2/7/2007
	Quarterly Property Casualty Data – Personal Lines	27	2/7/2007
Life Insurance Operations
	GAAP Statements of Income	28	2/7/2007
	Statutory Statements of Income	29	2/7/2007
	Expenses as a Percentage of Premium	30	2/7/2007

2006 Fourth-Quarter Supplement

2

Definitions of Non-GAAP Information and
Reconciliation to Comparable GAAP Measures

Cincinnati Financial Corporation prepares its public financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Statutory data is prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners’ (NAIC) Accounting Practices and Procedures Manual and therefore is not reconciled to GAAP data.

Management uses certain non-GAAP and non-statutory financial measures to evaluate its primary business areas – property casualty insurance, life insurance and investments – when analyzing both GAAP and certain non-GAAP measures may improve understanding of trends in the underlying business, helping avoid incorrect or misleading assumptions and conclusions about the success or failure of company strategies. Management adjustments to GAAP measures generally: apply to non-recurring events that are unrelated to business performance and distort short-term results; involve values that fluctuate based on events outside of management’s control; or relate to accounting refinements that affect comparability between periods, creating a need to analyze data on the same basis.

·

Operating income: Operating income is calculated by excluding net realized investment gains and losses (defined as realized investment gains and losses after applicable federal and state income taxes) from net income. Management evaluates operating income to measure the success of pricing, rate and underwriting strategies. While realized investment gains (or losses) are integral to the company’s insurance operations over the long term, the determination to realize investment gains or losses in any period may be subject to management’s discretion and is independent of the insurance underwriting process. Also, under applicable GAAP accounting requirements, gains and losses can be recognized from certain changes in market values of securities and embedded derivatives without actual realization. Management believes that the level of realized investment gains or losses for any particular period, while it may be material, may not fully indicate the performance of ongoing underlying business operations in that period.

For these reasons, many investors and shareholders consider operating income to be one of the more meaningful measures for evaluating insurance company performance. Equity analysts who report on the insurance industry and the company generally focus on this metric in their analyses. The company presents operating income so that all investors have what management believes to be a useful supplement to GAAP information.

·

Statutory accounting rules: For public reporting, insurance companies prepare financial statements in accordance with GAAP. However, insurers also must calculate certain data according to statutory accounting rules as defined in the NAIC’s Accounting Practices and Procedures Manual, which may be, and has been, modified by various state insurance departments. Statutory data is publicly available, and various organizations use it to calculate aggregate industry data, study industry trends and compare insurance companies.

·

Written premium: Under statutory accounting rules, property casualty written premium is the amount recorded for policies issued and recognized on an annualized basis at the effective date of the policy. Management analyzes trends in written premium to assess business efforts. Earned premium, used in both statutory and GAAP accounting, is calculated ratably over the policy term. The difference between written and earned premium is unearned premium.

·

Written premium adjustment – statutory basis only: In 2002, the company refined its estimation process for matching property casualty written premiums to policy effective dates, which added $117 million to 2002 written premiums. To better assess ongoing business trends, management may exclude this adjustment when analyzing trends in written premiums and statutory ratios that make use of written premiums.

·

Codification: Adoption of Codification of Statutory Accounting Principles was required for Ohio-based insurance companies effective January 1, 2001. The adoption of Codification changed the manner in which the company recognized statutory property casualty written premiums. As a result, 2001 statutory written premiums included $402 million to account for unbooked premiums related to policies with effective dates prior to January 1, 2001. To better assess ongoing business trends, management excludes this $402 million when analyzing written premiums and statutory ratios that make use of written premiums.

·

Life insurance gross written premiums: In analyzing the life insurance company’s gross written premiums, management excludes five larger, single-pay life insurance policies (bank-owned life insurance or BOLIs) written in 2004, 2002, 2000 and 1999 to focus on the trend in premiums written through the independent agency distribution channel.

·

One-time charges or adjustments: Management analyzes earnings and profitability excluding the impact of one-time items.

○

In 2003, as the result of a settlement negotiated with a vendor, pretax results included the recovery of $23 million of the $39 million one-time, pretax charge incurred in 2000.

○

In 2000, the company recorded a one-time charge of $39 million, pre-tax, to write down previously capitalized costs related to the development of software to process property casualty policies.

○

In 2000, the company earned $5 million in interest in the first quarter from a $303 million single-premium BOLI policy that was booked at the end of 1999 and segregated as a separate account effective April 1, 2000. Investment income and realized investment gains and losses from separate accounts generally accrue directly to the contract holder and, therefore, are not included in the company’s consolidated financials.

2006 Fourth-Quarter Supplement

3

Cincinnati Financial Corporation
Quick Reference - Fourth Quarter 2006
(all data shown is for the three months ended or as of December 31, 2006)
(Based on reported data - see Pages 25-27 for adjusted data)
(Dollars in millions except share data)
Revenues:				Benefits and expenses:
Commercial lines net written premiums	$	589		Commercial lines loss and loss expenses	$	368
Year-over-year percentage change		7.5	%	Year-over-year percentage change		25.4	%
Personal lines net written premiums	$	166		Personal lines loss and loss expenses	$	134
Year-over-year percentage change		(7.4)	%	Year-over-year percentage change		10.4	%
Property casualty net written premiums	$	755		Property casualty loss and loss expenses	$	502
Year-over-year percentage change		3.8	%	Year-over-year percentage change		20.4	%
Commercial lines net earned premiums	$	619		Life and accident and health losses and policy benefits	$	30
Year-over-year percentage change		7.4	%	Year-over-year percentage change		22.9	%
Personal lines net earned premiums	$	183		Operating expenses	$	277
Year-over-year percentage change		(8.0)	%	Year-over-year percentage change		9.8	%
Property casualty net earned premiums	$	802		Interest expenses	$	14
Year-over-year percentage change		3.5	%	Year-over-year percentage change		10.4	%
Life and accident and health net earned premiums	$	31		Total expenses	$	823
Year-over-year percentage change		10.5	%	Year-over-year percentage change		16.6	%
Investment income	$	145		Income before income taxes	$	172
Year-over-year percentage change		6.7	%	Year-over-year percentage change		(34.1)	%
Realized gains on investments	$	12		Total income tax	$	42
Year-over-year percentage change		(46.6)	%	Year-over-year percentage change		(46.9)	%
Other income	$	5		Effective tax rate		24.2	%
Year-over-year percentage change		1.6	%
Total revenues	$	995		Ratios:
Year-over-year percentage change		2.9	%
				Commercial lines GAAP combined ratio		91.1	%
Income:				Personal lines GAAP combined ratio		106.0	%
				Property casualty GAAP combined ratio		94.5	%
Operating income	$	122
Year-over-year percentage change		(26.6)	%	Commercial lines STAT combined ratio		92.4	%
Net realized investment gains and losses	$	8		Personal lines STAT combined ratio		107.7	%
Year-over-year percentage change		(49.7)	%	Property casualty STAT combined ratio		95.9	%
Net income	$	130
Year-over-year percentage change		(28.6)	%	Return on equity based upon net income		7.9	%
				Return on equity based upon operating income		25.1	%
Per share: (diluted)
				Balance Sheet:
Operating income	$	0.70
Year-over-year percentage change		(25.5)	%	Fixed maturity investments	$	5,805
Net realized investment gains and losses	$	0.05		Equity securities		7,799
Year-over-year percentage change		(44.4)	%	Other invested assets		155
Net income	$	0.75		Total invested assets	$	13,759
Year-over-year percentage change		(27.2)	%
Book value	$	39.38		Property casualty and life loss and loss expense reserves	$	3,860
Year-over-year percentage change		12.9	%	Total debt		840
Weighted average shares – diluted	174,988,162			Shareholders equity		6,808
Year-over-year percentage change		(1.2)	%

2006 Fourth-Quarter Supplement

4

Cincinnati Financial Corporation
Consolidated Statements of Income
	For the Three Months Ended December 31,								For the Twelve Months Ended December 31,
		2006		2005		Change	% Change		2006		2005		Change	% Change
Revenues:
Premiums earned:
Property casualty	$	844,769,727	$	818,784,983	$	25,984,744	3.17	$	3,320,696,134	$	3,237,013,369	$	83,682,765	2.59
Life		43,271,070		40,421,077		2,849,993	7.05		152,590,039		143,808,461		8,781,578	6.11
Accident health		1,703,987		1,617,668		86,319	5.34		6,652,508		6,347,605		304,903	4.80
Premiums ceded		(57,316,655)		(57,661,923)		345,268	0.60		(202,091,894)		(223,269,321)		21,177,427	9.49
Total premiums earned		832,428,129		803,161,805		29,266,324	3.64		3,277,846,787		3,163,900,114		113,946,673	3.60
Investment income		145,070,825		135,899,274		9,171,551	6.75		570,103,128		525,984,174		44,118,954	8.39
Realized gain on investments		12,324,061		23,074,192		(10,750,131)	(46.59)		683,701,293		60,715,922		622,985,371	1,026.07
Other income		4,682,861		4,608,019		74,842	1.62		18,461,940		16,722,246		1,739,694	10.40
Total revenues	$	994,505,876	$	966,743,290	$	27,762,586	2.87	$	4,550,113,148	$	3,767,322,456	$	782,790,692	20.78
Benefits & expenses:
Losses & policy benefits	$	550,901,417	$	448,396,645	$	102,504,772	22.86	$	2,245,203,172	$	2,076,864,037	$	168,339,135	8.11
Reinsurance recoveries		(18,732,359)		(6,977,995)		(11,754,364)	(168.45)		(117,399,472)		(165,516,591)		48,117,119	29.07
Commissions		152,523,580		150,815,496		1,708,084	1.13		630,269,528		627,048,255		3,221,273	0.51
Other operating expenses		95,572,467		76,263,586		19,308,881	25.32		338,085,073		289,555,517		48,529,556	16.76
Interest expense		13,804,440		12,500,619		1,303,821	10.43		53,116,383		51,484,731		1,631,652	3.17
Taxes, licenses & fees		18,740,629		19,473,480		(732,851)	(3.76)		76,742,883		71,538,216		5,204,667	7.28
Incr deferred acq expense		5,382,897		4,829,527		553,370	(11.46)		(21,359,500)		(18,748,605)		(2,610,895)	(13.93)
Other expenses		4,244,124		377,634		3,866,490	1,023.87		16,342,089		12,319,865		4,022,224	32.65
Total expenses	$	822,437,195	$	705,678,992	$	116,758,203	16.55	$	3,221,000,156	$	2,944,545,425	$	276,454,731	9.39
Income before income taxes	$	172,068,681	$	261,064,298	$	(88,995,617)	(34.09)	$	1,329,112,992	$	822,777,031	$	506,335,961	61.54
Provision for income taxes:
Current operating income	$	36,443,952	$	54,468,304	$	(18,024,352)	(33.09)	$	155,204,170	$	166,470,189	$	11,266,019)	(6.77)
Realized investments gains and losses		4,310,014		7,136,284		(2,826,270)	(39.60)		249,202,156		20,964,114		228,238,042	1,088.71
Deferred		895,839		16,787,609		(15,891,770)	(94.66)		(5,497,770)		33,372,538		(38,870,308)	(116.47)
Total income taxes	$	41,649,805	$	78,392,197	$	(36,742,392)	(46.87)	$	398,908,556	$	220,806,841	$	178,101,715	80.66
Net income	$	130,418,876	$	182,672,101	$	(52,253,225)	(28.60)	$	930,204,436	$	601,970,190	$	328,234,246	54.53
Comprehensive net income	$	416,378,747	$	137,022,076	$	279,356,671	203.88	$	1,025,818,263	$	98,196,296	$	927,621,967	944.66
Operating income	$	122,404,829	$	166,734,193	$	(44,329,364)	(26.59)	$	495,705,299	$	562,218,382	$	(66,513,083)	(11.83)
Net realized investments gains and losses	$	8,014,047	$	15,937,908	$	(7,923,861)	(49.72)	$	434,499,137	$	39,751,808	$	394,747,329	993.03
Net income per share:
Operating income	$	0.71	$	0.95	$	(0.24)	25.26	$	2.86	$	3.21	$	(0.35)	(10.90)
Net realized investments gains    and losses		0.04		0.09		(0.05)	(55.56)		2.50		0.23		2.27	986.96
Net income per share (basic)	$	0.75	$	1.04	$	(0.29)	27.88	$	5.36	$	3.44	$	1.92	55.81
Operating income	$	0.70	$	0.94	$	(0.24)	(25.53)	$	2.82	$	3.17	$	(0.35)	(11.04)
Net realized investments gains    and losses		0.05		0.09		(0.04)	(44.44)		2.48		0.23		2.25	978.26
Net income per share (diluted)	$	0.75	$	1.03	$	(0.28)	(27.18)	$	5.30	$	3.40	$	1.90	55.88
Dividends per share:
Paid	$	0.335	$	0.305	$	0.03	9.84	$	1,310	$	1,162	$	0.148	12.74
Declared	$	0.335	$	0.305	$	0.03	9.84	$	1,340	$	1,205	$	0.135	11.20
Number of shares:
Weighted avg - basic		173,030,127		174,671,340		(1,641,213)	(0.94)		173,423,395		175,062,669		(1,639,274)	(0.94)
Weighted avg - diluted		174,988,162		177,045,508		(2,057,346)	(1.16)		175,451,341		177,116,126		(1,664,785)	(0.94)

2006 Fourth-Quarter Supplement

5

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Twelve Months Ended December 31, 2006
		Total		CFC		CIC GROUP		CLIC		CFC-I		CINFIN		ELIM
Revenues:
Premiums earned:
Property casualty	$	3,320,696,134	$	0	$	3,321,610,148	$	0	$	0	$	0	$	(914,014)
Life		152,590,039		0		0		152,590,039		0		0		0
Accident health		6,652,508		0		0		6,652,508		0		0		0
Premiums ceded		(202,091,894)		0		(157,587,693)		(44,504,201)		0		0		0
Total earned premium		3,277,846,787		0		3,164,022,455		114,738,346		0		0		(914,014)
Investment income		570,103,128		97,437,082		367,304,753		107,656,860		62,400		209,379		(2,567,346)
Realized gain on investments		683,701,293		410,338,912		225,846,088		44,861,000		(324,417)		5,697		2,974,013
Other income		18,461,940		10,098,558		3,266,830		3,552,294		11,131,714		2,374,373		(11,961,829)
Total revenues	$	4,550,113,148	$	517,874,552	$	3,760,440,126	$	270,808,500	$	10,869,697	$	2,589,449	$	(12,469,176)
Benefits & expenses:
Losses & policy benefits	$	2,245,203,172	$	0	$	2,085,421,315	$	161,984,990	$	0	$	0	$	(2,203,133)
Reinsurance recoveries		(117,399,472)		0		(77,446,382)		(39,953,090)		0		0		0
Commissions		630,269,528		0		596,188,393		34,081,135		0		0		0
Other operating expenses		338,085,073		19,609,842		292,709,156		31,977,077		5,416,146		626,085		(12,253,233)
Interest expense		53,116,383		50,612,821		888,930		98,000		2,715,584		0		(1,198,952)
Taxes, licenses & fees		76,742,883		1,152,118		72,695,021		3,080,836		(232,648)		47,556		0
Incr deferred acq expenses		(21,359,500)		0		(3,642,356)		(17,717,144)		0		0		0
Other expenses		16,342,089		0		16,341,980		109		0		0		0
Total expenses	$	3,221,000,156	$	71,374,781	$	2,983,156,057	$	173,551,913	$	7,899,082	$	673,641	$	(15,655,318)
Income before income taxes	$	1,329,112,992	$	446,499,771	$	777,284,069	$	97,256,587	$	2,970,615	$	1,915,808	$	3,186,142
Provision for income taxes:
Current operating income	$	155,204,170	$	(178,058)	$	147,254,816	$	6,273,558	$	1,232,459	$	621,395	$	-
Capital gains/losses		249,202,156		153,102,119		80,218,693		15,879,350		0		1,994		0
Deferred		(5,497,770)		(10,819,456)		(8,069,068)		12,406,344		(137,973)		7,233		1,115,150
Total income tax	$	398,908,556	$	142,104,605	$	219,404,441	$	34,559,252	$	1,094,486	$	630,622	$	1,115,150
Net income - current year	$	930,204,436	$	304,395,166	$	557,879,628	$	62,697,335	$	1,876,129	$	1,285,186	$	2,070,992
Net income - prior year	$	601,970,190	$	36,770,595	$	511,573,782	$	47,282,395	$	3,072,943	$	1,206,078	$	2,064,397
Change in net income		54.5%		727.8%		9.1%		32.6%		-38.9%		6.6%

2006 Fourth-Quarter Supplement

6

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Twelve Months Ended December 31, 2005
		Total		CFC		CIC GROUP		CLIC		CFC-I		CINFIN		ELIM
Revenues:
Premiums earned:
Property casualty	$	3,237,013,369	$	0	$	3,237,519,279	$	0	$	0	$	0	$	(505,910)
Life		143,808,461		0		0		143,808,461		0		0		0
Accident health		6,347,605		0		0		6,347,605		0		0		0
Premiums ceded		(223,269,321)		0		(179,470,542)		(43,798,779)		0		0		0
Total earned premium		3,163,900,114		0		3,058,048,737		106,357,287		0		0		(505,910)
Investment income		525,984,174		89,320,917		337,906,534		99,323,763		816,858		145,299		(1,529,197)
Realized gain on investments		60,715,922		2,139,719		39,965,940		17,188,854		0		(78,963)		1,500,372
Other income		16,722,246		9,843,807		3,100,348		3,561,244		9,913,081		2,251,646		(11,947,880)
Total revenues	$	3,767,322,456	$	101,304,443	$	3,439,021,559	$	226,431,148	$	10,729,939	$	2,317,982	$	(12,482,615)
Benefits & expenses:
Losses & policy benefits	$	2,076,864,037	$	0	$	1,937,904,906	$	141,170,430	$	0	$	0	$	(2,211,299)
Reinsurance recoveries		(165,516,591)		0		(125,974,401)		(39,542,190)		0		0		0
Commissions		627,048,255		0		592,329,261		34,718,994		0		0		0
Other operating expenses		289,555,517		18,826,237		249,373,992		28,592,514		4,088,594		463,774		(11,789,594)
Interest expense		51,484,731		51,606,330		0		0		1,536,119		0		(1,657,718)
Taxes, licenses & fees		71,538,216		919,910		66,678,800		3,205,175		697,083		37,248		0
Incr deferred acq expenses		(18,748,605)		0		(4,700,131)		(14,048,474)		0		0		0
Other expenses		12,319,865		0		12,319,757		108		0		0		0
Total expenses	$	2,944,545,425	$	71,352,477	$	2,727,932,184	$	154,096,557	$	6,321,796	$	501,022	$	(15,658,611)
Income before income taxes	$	822,777,031	$	29,951,966	$	711,089,375	$	72,334,591	$	4,408,143	$	1,816,960	$	3,175,996
Provision for income taxes:
Current operating income	$	166,470,189	$	(27,417,773)	$	178,744,156	$	12,721,453	$	1,793,487	$	628,866	$	-
Capital gains/losses		20,964,114		987,574		13,988,078		6,016,099		0		(27,637)		0
Deferred		33,372,538		19,611,570		6,783,359		6,314,644		(458,287)		9,653		1,111,599
Total income tax	$	220,806,841	$	(6,818,629)	$	199,515,593	$	25,052,196	$	1,335,200	$	610,882	$	1,111,599
Net income - current year	$	601,970,190	$	36,770,595	$	511,573,782	$	47,282,395	$	3,072,943	$	1,206,078	$	2,064,397
Net income - prior year	$	584,021,320	$	81,024,634	$	550,420,421	$	38,180,265	$	1,548,487	$	1,227,691	$	(88,380,178)
Change in net income		3.1%		-54.6%		-7.1%		23.8%		98.4%		-1.8%

2006 Fourth-Quarter Supplement

7

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Three Months Ended December 31, 2006
		Total		CFC		CIC GROUP		CLIC		CFC-I		CINFIN		ELIM
Revenues:
Premiums earned:
Property casualty	$	844,769,727	$	0	$	845,479,506	$	0	$	0	$	0	$	(709,779)
Life		43,271,070		0		0		43,271,070		0		0		0
Accident health		1,703,987		0		0		1,703,987		0		0		0
Premiums ceded		(57,316,655)		0		(43,501,451)		(13,815,204)		0		0		0
Total earned premium		832,428,129		0		801,978,055		31,159,853		0		0		(709,779)
Investment income		145,070,824		24,550,476		93,654,263		27,053,035		15,600		57,244		(259,793)
Realized gain on investments		12,324,061		1,862,472		7,323,470		2,533,775		217,084		(8,277)		395,537
Other income		4,682,860		2,536,489		723,643		992,375		2,806,674		621,838		(2,998,158)
Total revenues	$	994,505,874	$	28,949,437	$	903,679,431	$	61,739,038	$	3,039,358	$	670,805	$	(3,572,193)
Benefits & expenses:
Losses & policy benefits	$	550,901,417	$	0	$	507,755,637	$	43,696,578	$	0	$	0	$	(550,798)
Reinsurance recoveries		(18,732,359)		0		(5,484,567)		(13,247,792)		0		0		0
Commissions		152,523,580		0		144,113,098		8,410,482		0		0		0
Other operating expenses		95,572,467		4,960,848		80,278,976		12,192,870		1,461,656		230,387		(3,552,270)
Interest expense		13,804,440		12,460,505		496,480		98,000		754,228		0		(4,773)
Taxes, licenses & fees		18,740,630		284,596		17,498,941		935,887		9,316		11,889		0
Incr deferred acq expenses		5,382,898		0		8,862,341		(3,479,444)		0		0		0
Other expenses		4,244,123		0		4,244,123		1		0		0		0
Total expenses	$	822,437,196	$	17,705,949	$	757,765,029	$	48,606,582	$	2,225,200	$	242,276	$	(4,107,841)
Income before income taxes	$	172,068,678	$	11,243,488	$	145,914,402	$	13,132,456	$	814,158	$	428,529	$	535,648
Provision for income taxes:
Current operating income	$	36,443,952	$	3,406,871	$	31,617,921	$	953,701	$	322,879	$	142,580	$	-
Capital gains/losses		4,310,014		661,562		2,703,528		947,821		0		(2,897)		0
Deferred		895,839		(5,331,071)		3,407,423		2,628,721		4,088		(799)		187,477
Total income tax	$	41,649,805	$	(1,262,638)	$	37,728,872	$	4,530,243	$	326,967	$	138,884	$	187,477
Net income - current year	$	130,418,873	$	12,506,126	$	108,185,530	$	8,602,213	$	487,191	$	289,645	$	348,171
Net income - prior year	$	182,672,096	$	9,037,150	$	156,687,048	$	15,812,588	$	421,720	$	298,051	$	415,539
Change in net income		-28.6%		38.4%		-31.0%		-45.6%		15.5%		-2.8%

2006 Fourth-Quarter Supplement

8

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Three Months Ended December 31, 2005
		Total		CFC		CIC GROUP		CLIC		CFC-I		CINFIN		ELIM
Revenues:
Premiums earned:
Property casualty	$	818,784,982	$	0	$	818,847,338	$	0	$	0	$	0	$	(62,356)
Life		40,421,076		0		0		40,421,076		0		0		0
Accident health		1,617,668		0		0		1,617,668		0		0		0
Premiums ceded		(57,661,922)		0		(43,810,668)		(13,851,254)		0		0		0
Total earned premium		803,161,804		0		775,036,670		28,187,490		0		0		(62,356)
Investment income		135,899,272		25,026,626		87,474,802		26,013,305		18,665		47,970		(2,682,096)
Realized gain on investments		23,074,193		1,296,380		11,828,897		9,832,034		0		315		116,567
Other income		4,608,018		525,388		651,450		1,015,456		2,638,547		562,192		(785,015)
Total revenues	$	966,743,287	$	26,848,394	$	874,991,819	$	65,048,285	$	2,657,212	$	610,477	$	(3,412,900)
Benefits & expenses:
Losses & policy benefits	$	448,396,642	$	0	$	436,006,402	$	12,945,476	$	0	$	0	$	(555,236)
Reinsurance recoveries		(6,977,992)		0		(18,802,810)		11,824,818		0		0		0
Commissions		150,815,497		0		141,873,514		8,941,983		0		0		0
Other operating expenses		76,263,586		3,123,394		63,922,981		10,732,035		1,236,646		145,601		(2,897,071)
Interest expense		12,500,619		12,603,698		0		0		496,806		0		(599,885)
Taxes, licenses & fees		19,473,481		1,498,619		17,660,389		32,729		272,244		9,500		0
Incr deferred acq expenses		4,829,527		0		9,111,122		(4,281,595)		0		0		0
Other expenses		377,634		0		377,634		0		0		0		0
Total expenses	$	705,678,994	$	17,225,711	$	650,149,232	$	40,195,446	$	2,005,696	$	155,101	$	(4,052,192)
Income before income taxes	$	261,064,293	$	9,622,683	$	224,842,587	$	24,852,839	$	651,516	$	455,376	$	639,292
Provision for income taxes:
Current operating income	$	54,468,303	$	(13,445,362)	$	63,736,999	$	3,623,075	$	405,488	$	148,103	$	-
Capital gains/losses		7,136,284		379,862		3,313,516		3,441,212		0		1,694		0
Deferred		16,787,610		13,651,033		1,105,024		1,975,964		(175,692)		7,528		223,753
Total income tax	$	78,392,197	$	585,533	$	68,155,539	$	9,040,251	$	229,796	$	157,325	$	223,753
Net income - current year	$	182,672,096	$	9,037,150	$	156,687,048	$	15,812,588	$	421,720	$	298,051	$	415,539
Net income - prior year	$	192,446,086	$	12,997,334	$	163,551,413	$	14,214,169	$	760,129	$	333,062	$	589,979
Change in net income		-5.1%		-30.5%		-4.2%		11.2%		-44.5%		-10.5%

2006 Fourth-Quarter Supplement

9

Cincinnati Financial Corporation
Consolidated Balance Sheets
(Dollars in millions except per share data)		December 31,		December 31,
		2006		2005
		(unaudited)
Assets
Investments
Fixed maturities, at fair value (amortized cost: 2006—$5,739; 2005—$5,387)	$	5,805	$	5,476
Equity securities, at fair value (cost: 2006—$2,621; 2005—$2,128)		7,799		7,106
Short-term investments, at fair value (amortized cost: 2006—$95; 2005—$75)		95		75
Other invested assets		60		45
Cash and cash equivalents		202		119
Investment income receivable		121		117
Finance receivable		108		105
Premiums receivable		1,128		1,116
Reinsurance receivable		683		681
Prepaid reinsurance premiums		13		14
Deferred policy acquisition costs		453		429
Property and equipment, net, for company use (accumulated depreciation:  2006—$261; 2005—$232)		193		168
Other assets		58		66
Separate accounts		504		486
Total assets	$	17,222	$	16,003
Liabilities
Insurance reserves
Losses and loss expense	$	3,896	$	3,661
Life policy reserves		1,409		1,343
Unearned premiums		1,579		1,559
Other liabilities		533		455
Deferred income tax		1,653		1,622
Notes payable		49		0
6.125% senior debenture due 2034		371		371
6.90% senior debenture due 2028		28		28
6.92% senior debenture due 2028		392		392
Separate accounts		504		486
Total liabilities		10,414		9,917
Shareholders' equity
Common stock, par value-$2 per share; authorized: 2006-500 million shares, 2005-      500 million shares; issued: 2006-196 million shares, 2005-194 million shares		391		389
Paid-in capital		1,015		969
Retained earnings		2,786		2,088
Accumulated other comprehensive income		3,379		3,284
Treasury stock at cost (2006—23 million shares, 2005—20 million shares)		(763)		(644)
Total shareholders' equity		6,808		6,086
Total liabilities and shareholders' equity	$	17,222	$	16,003

2006 Fourth-Quarter Supplement

10

Cincinnati Financial Corporation
10-Year Net Income Reconciliation
(Dollars in millions except per share data)	Years ended December 31,
	2006			2005			2004			2003			2002			2001			2000			1999			1998			1997
Net income	$	930		$	602		$	584		$	374		$	238		$	193		$	118		$	255		$	242		$	299
One-time item		0			0			0			15			0			0			(25)			0			0			0
Net income before one-time item		930			602			584			359			238			193			143			255			242			299
Net realized investment gains and losses		434			40			60			(27)			(62)			(17)			(2)			0			43			45
Operating income before one-time item		496			562			524			386			300			210			145			255			199			254
Less catastrophe losses		(113)			(82)			(96)			(63)			(57)			(42)			(33)			(24)			(61)			(17)
Operating income before catastrophe losses and one-time item	$	609		$	644		$	620		$	449		$	357		$	252		$	178		$	279		$	260		$	271
Diluted per share data
Net income	$	5.30		$	3.40		$	3.28		$	2.10		$	1.32		$	1.07		$	0.67		$	1.37		$	1.28		$	1.61
One-time item		0.00			0.00			0.00			0.09			0.00			0.00			(0.14)			0.00			0.00			0.00
Net income before one-time item		5.30			3.40			3.28			2.01			1.32			1.07			0.81			1.37			1.28			1.61
Net realized investment gains and losses		2.48			0.23			0.34			(0.15)			(0.35)			(0.10)			(0.01)			0.00			0.23			0.26
Operating income before one-time item		2.82			3.17			2.94			2.16			1.67			1.17			0.82			1.37			1.05			1.35
Less catastrophe losses		(0.65)			(0.46)			(0.54)			(0.35)			(0.31)			(0.23)			(0.18)			(0.13)			(0.32)			(0.13)
Operating income before catastrophe losses and one-time item	$	3.47		$	3.63		$	3.48		$	2.51		$	1.98		$	1.40		$	1.00		$	1.50		$	1.37		$	1.49
Return on equity
Return on average equity		14.4	%		9.8	%		9.4	%		6.3	%		4.1	%		3.2	%		2.1	%		4.6	%		4.7	%		7.6	%
One-time item		0.0			0.0			0.0			(0.3)			0.0			0.0			0.4			0.0			0.0			0.0
Return on average equity before one-time item		14.4	%		9.8	%		9.4	%		6.0	%		4.1	%		3.2	%		2.5	%		4.6	%		4.7	%		7.6	%
Return on equity based on comprehensive income
ROE based on comprehensive income		15.9	%		1.6	%		4.6	%		13.8	%		(4.0)	%		2.5	%		13.1	%		1.9	%		19.6	%		42.6	%
One-time item		0.0			0.0			0.0			(0.3)			0.0			0.0			0.4			0.0			0.0			0.0
ROE based on comprehensive income before one-time item		15.9	%		1.6	%		4.6	%		13.5	%		(4.0)	%		2.5	%		13.5	%		1.9	%		19.6	%		42.6	%
Investment income, net of expenses	$	570		$	526		$	492		$	465		$	445		$	421		$	415		$	387		$	368		$	349
BOLI		0			0			0			0			0			0			(5)			0			0			0
Investment income before BOLI	$	570		$	526		$	492		$	465		$	445		$	421		$	410		$	387		$	368		$	349
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.

2006 Fourth-Quarter Supplement

11

Cincinnati Financial Corporation
Quarterly Net Income Reconciliation
(In millions except per share data)	Three months ended																Six months ended				Nine months ended				Twelve months ended
	12/31/06		9/30/06		6/30/06		3/31/06		12/31/05		9/30/05		6/30/05		3/31/05		6/30/06		6/30/05		9/30/06		9/30/05		12/31/06		12/31/05
Net income	$	130	$	115	$	132	$	552	$	183	$	117	$	158	$	144	$	684	$	302	$	800	$	419	$	930	$	602
One-time item		0		0		0		0		0		0		0		0		0		0		0		0		0		0
Net income before one-time item		130		115		132		552		183		117		158		144		684		302		800		419		930		602
Net realized investment gains and losses		8		0		6		421		16		10		8		6		426		14		427		24		434		40
Operating income before one-time item		122		115		126		131		167		107		150		138		258		288		373		395		496		562
Less catastrophe losses		(29)		(18)		(41)		(26)		(28)		(43)		(9)		(2)		(67)		(11)		(85)		(54)		(113)		(82)
Operating income before catastrophe losses and       one-time item	$	151	$	133	$	167	$	157	$	195	$	150	$	159	$	140	$	325	$	299	$	458	$	449	$	609	$	644
Diluted per share data
Net income	$	0.75	$	0.66	$	0.76	$	3.13	$	1.03	$	0.66	$	0.89	$	0.81	$	3.90	$	1.70	$	2.13	$	2.37	$	5.30	$	3.40
One-time item		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00		0.00
Net income before one-time item		0.75		0.66		0.76		3.13		1.03		0.66		0.89		0.81		3.90		1.70		2.13		2.37		5.30		3.40
Net realized investment gains and losses		0.05		0.00		0.04		2.39		0.09		0.05		0.05		0.03		2.43		0.08		2.43		0.14		2.48		0.23
Operating income before one-time item		0.70		0.66		0.72		0.74		0.94		0.61		0.84		0.78		1.47		1.62		4.56		2.23		2.82		3.17
Less catastrophe losses		(0.16)		(0.10)		(0.24)		(0.14)		(0.16)		(0.24)		(0.05)		(0.01)		(0.38)		(0.06)		(0.48)		(0.30)		(0.65)		(0.46)
Operating income before catastrophe losses and       one-time item	$	0.86	$	0.76	$	0.96	$	0.88	$	1.10	$	0.85	$	0.89	$	0.79	$	1.85	$	1.68	$	5.04	$	2.53	$	3.47	$	3.63
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not
equal the full year as each is computed independently.

2006 Fourth-Quarter Supplement

12

Cincinnati Financial Corporation
Top Holdings – Common Stocks
(Dollars in millions)	As of and for the year ended December 31, 2006
	Actual cost		Fair value		Percent of fair value		Earned dividend income
Fifth Third Bancorp	$	283	$	2,979	39.4	%	$	115
Exxon Mobil Corporation		133		687	9.1			11
The Procter & Gamble Company		192		469	6.2			8
National City Corporation		171		358	4.7			15
PNC Financial Services Group, Inc.		62		348	4.6			10
AllianceBernstein Holding L.P.		60		266	3.5			12
U.S. Bancorp		150		251	3.3			9
Johnson & Johnson		194		238	3.1			5
Wyeth		62		225	3.0			4
Wells Fargo & Company		96		193	2.5			6
Piedmont Natural Gas Company, Inc.		64		151	2.0			5
Sky Financial Group, Inc.		91		133	1.8			4
FirstMerit Corporation		55		129	1.7			6
All other common stock holdings		789		1,137	15.1			31
Total	$	2,402	$	7,564	100.0	%	$	241

2006 Fourth-Quarter Supplement

13

Cincinnati Insurance Group
GAAP Statements of Income
		For the Three Months Ended December 31,							For the Twelve Months Ended December 31,
		2006		2005		Change	% Change		2006		2005		Change	% Change
Revenues:
Premiums earned:
Property casualty	$	845,479,506	$	818,847,338	$	26,632,168	3.25	$	3,321,610,148	$	3,237,519,279	$	84,090,869	2.60
Life		0		0		0	NA		0		0		0	NA
Accident health		0		0		0	NA		0		0		0	NA
Premiums ceded		(43,501,451)		(43,810,668)		309,217	0.71		(157,587,693)		(179,470,542)		21,882,849	12.19
Total premiums earned		801,978,055		775,036,670		26,941,385	3.48		3,164,022,455		3,058,048,737		105,973,718	3.47
Investment income		93,654,263		87,474,802		6,179,461	7.06		367,304,753		337,906,534		29,398,219	8.70
Realized gain on investments		7,323,470		11,828,897		(4,505,427)	(38.09)		225,846,088		39,965,940		185,880,148	465.10
Other income		723,643		651,450		72,193	11.08		3,266,830		3,100,348		166,482	5.37
Total revenues	$	903,679,431	$	874,991,819	$	28,687,612	3.28	$	3,760,440,126	$	3,439,021,559	$	321,418,567	9.35
Benefits & expenses:
Losses & policy benefits	$	507,755,637	$	436,006,402	$	71,749,235	16.46	$	2,085,421,315	$	1,937,904,906	$	147,516,409	7.61
Reinsurance recoveries		(5,484,567)		(18,802,810)		13,318,243	70.83		(77,446,382)		(125,974,401)		48,528,019	38.52
Commissions		144,113,098		141,873,514		2,239,584	1.58		596,188,393		592,329,261		3,859,132	0.65
Other operating expenses		80,278,976		63,922,981		16,355,995	25.59		292,709,156		249,373,992		43,335,164	17.38
Interest expense		496,480		0		496,480	NA		888,930		0		888,930	NA
Taxes, licenses & fees		17,498,941		17,660,389		(161,448)	(0.91)		72,695,021		66,678,800		6,016,221	9.02
Incr deferred acq expense		8,862,341		9,111,122		(248,781)	(2.73)		(3,642,356)		(4,700,131)		1,057,775	22.51
Other expenses		4,244,123		377,634		3,866,489	1,023.87		16,341,980		12,319,757		4,022,223	32.65
Total expenses	$	757,765,029	$	650,149,232	$	107,615,797	16.55	$	2,983,156,057	$	2,727,932,184	$	255,223,873	9.36
Income before income taxes	$	145,914,402	$	224,842,587	$	(78,928,185)	(35.10)	$	777,284,069	$	711,089,375	$	66,194,694	9.31
Provision for income taxes:
Current operating income	$	31,617,921	$	63,736,999	$	(32,119,078)	(50.39)	$	147,254,816	$	178,744,156	$	(31,489,340)	(17.62)
Current realized investments gains and losses		2,703,528		3,313,516		(609,988)	(18.41)		80,218,693		13,988,078		66,230,615	473.48
Deferred		3,407,423		1,105,024		2,302,399	208.36		(8,069,068)		6,783,359		(14,852,427)	(218.95)
Total income taxes	$	37,728,872	$	68,155,539	$	(30,426,667)	(44.64)	$	219,404,441	$	199,515,593	$	19,888,848	9.97
Net income	$	108,185,530	$	156,687,048	$	(48,501,518)	(30.95)	$	557,879,628	$	511,573,782	$	46,305,846	9.05

2006 Fourth-Quarter Supplement

14

Cincinnati Insurance Group
Statutory Statements of Income
		For the Three Months Ended December 31,					For the Twelve Months Ended December 31,
		2006		2005	% Change		2006		2005	% Change
Underwriting income
Net premiums written	$	755,245,797	$	727,352,851	3.83	$	3,178,105,582	$	3,076,183,237	3.31
Unearned premiums increase		(46,732,257)		(47,683,819)			14,083,124		18,134,500
Earned premiums		801,978,054		775,036,669	3.48		3,164,022,457		3,058,048,736	3.47
Losses incurred	$	379,133,413	$	347,956,479	8.96	$	1,640,711,403	$	1,505,591,684	8.97
Allocated loss expenses incurred		71,979,236		24,759,130	190.72		183,420,723		140,414,792	30.63
Unallocated loss expenses incurred		51,158,422		44,487,984	14.99		183,842,807		165,924,030	10.80
Other underwriting expenses incurred		246,289,916		229,664,309	7.24		948,113,154		904,044,693	4.87
Workers compensation dividend incurred		5,135,756		2,929,147	75.33		17,343,175		10,419,002	66.46
Total underwriting deductions	$	753,696,744	$	649,797,049	15.99	$	2,973,431,262	$	2,726,394,200	9.06
Net underwriting gain (loss)	$	48,281,310	$	125,239,621	(61.45)	$	190,591,195	$	331,654,536	(42.53)
Investment income
Gross investment income earned	$	94,867,708	$	88,574,194	7.11	$	371,912,860	$	342,027,603	8.74
Net investment income earned		93,654,263		87,474,802	7.06		367,304,753		337,906,533	8.70
Net realized capital gains		4,677,265		5,480,142	(14.65)		146,526,143		37,239,021	293.47
Net investment gains (excl. subs)	$	98,331,529	$	92,954,945	5.78	$	513,830,897	$	375,145,555	36.97
Dividend from subsidiary		12,000,000					26,000,000
Net investment gains	$	110,331,529	$	92,954,945	18.69	$	539,830,897	$	375,145,555	43.90
Other income	$	618,259	$	(192,707)	N/A	$	2,488,123	$	(2,195,078)	N/A
Net income before federal income taxes	$	159,231,098	$	218,001,858	(26.96)	$	732,910,214	$	704,605,013	4.02
Federal and foreign income taxes incurred	$	30,398,414	$	46,998,734	(35.32)	$	143,561,772	$	172,680,453	(16.86)
Net income (statutory)	$	128,832,684	$	171,003,124	(24.66)	$	589,348,442	$	531,924,560	10.80
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate
regulatory bodies.

2006 Fourth-Quarter Supplement

15

Cincinnati Insurance Group - Consolidated
Statutory Quarterly Analysis
(Based on reported data – see Page 25 for adjusted data)
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06		12/31/05
Net premiums written	$	755		$	780		$	814		$	829		$	727		$	761		$	791		$	797		$	1,643		$	1,588		$	2,423		$	2,349		$	3,178		$	3,076
Net premiums earned	$	802		$	791		$	793		$	778		$	775		$	765		$	765		$	753		$	1,571		$	1,518		$	2,362		$	2,283		$	3,164		$	3,058
Losses paid	$	375		$	366		$	379		$	346		$	378		$	348		$	336		$	345		$	727			681		$	1,094		$	1,029		$	1,469		$	1,407
Loss reserve change		4			66			60			42			(30)			72			23			33			101			57			167			129			172			99
Total losses incurred	$	379		$	433		$	439		$	388		$	348		$	420		$	359		$	378		$	828		$	738		$	1,261		$	1,158		$	1,641		$	1,506
Allocated loss expense paid		37			33			31			27			32			30			29			25			59			54			91			84			127			116
Allocated loss expense reserve change		35			8			7			6			(7)			10			11			11			13			21			20			31			56			24
Total allocated loss expense incurred	$	72		$	41		$	38		$	33		$	25		$	40		$	40		$	36		$	72		$	75		$	111		$	115		$	183		$	140
Unallocated loss expense paid		49			39			39			40			46			38			37			34			78			71			117			108			167			155
Unallocated loss expense reserve change		2			4			3			10			(2)			3			0			10			12			10			15			13			17			11
Total unallocated loss expense incurred	$	51		$	43		$	42		$	50		$	44		$	41		$	37		$	44		$	90		$	81		$	132		$	121		$	184		$	166
Underwriting expenses incurred		251			243			232			240			233			237			234			212			471			446			715			682			965			914
Underwriting profit (loss)	$	49		$	31		$	42		$	67		$	125		$	27		$	95		$	83		$	110		$	178		$	143		$	207		$	191		$	332
Loss Detail
Losses $1 million or more	$	63		$	61		$	46		$	32		$	38		$	27		$	28		$	43		$	79		$	70		$	139		$	98		$	203		$	137
Losses $250 thousand to $1 million		43			49			48			38			36			35			37			32			86			69			135			104			178			139
Development and case reserve increases   of $250,000 or more		64			49			52			49			54			38			40			36			102			76			151			115			215			168
Large losses subtotal	$	170		$	159		$	146		$	119		$	128		$	100		$	105		$	111		$	267		$	215		$	425		$	317		$	596		$	444
IBNR incurred		(57)			11			(5)			6			(58)			20			13			13			1			27			11			47			(47)			(11)
Catastrophe losses incurred		44			27			64			40			44			66			14			2			103			17			131			83			175			127
Remaining incurred		222			235			234			223			234			233			226			252			457			478			694			711			917			946
Total losses incurred	$	379		$	432		$	439		$	388		$	348		$	419		$	358		$	378		$	828		$	737		$	1,261		$	1,158		$	1,641		$	1,506
Ratio Data
Loss ratio		47.2	%		54.8	%		55.4	%		50.0	%		44.9	%		54.9	%		46.9	%		50.3	%		52.7	%		48.6	%		53.4	%		50.7	%		51.9			49.2	%
Allocated loss expense ratio		9.0			5.0			4.8			4.3			3.2			5.3			5.2			4.7			4.6			5.0			4.7			5.1			5.8			4.6
Unallocated loss expense ratio		6.4			5.4			5.1			6.4			5.7			5.3			4.8			5.8			5.7			5.3			5.6			5.3			5.8			5.4
Net underwriting expense ratio		33.3			31.2			28.4			28.9			32.0			31.1			29.6			26.6			28.7			28.0			29.5			29.0			30.4			29.7
Statutory combined ratio		95.9	%		96.4	%		93.7	%		89.6	%		85.8	%		96.6	%		86.5	%		87.4	%		91.7	%		86.9	%		93.2	%		90.1	%		93.9			88.9	%
Statutory combined ratio excluding      catastrophes		90.4	%		92.9	%		85.7	%		84.6	%		80.2	%		88.0	%		84.6	%		87.1	%		85.1	%		85.8	%		87.7	%		86.5	%		88.4			84.9	%
Loss Ratio
Losses $1 million or more		7.9	%		7.6	%		6.0	%		4.2	%		5.0	%		3.6	%		3.6	%		5.7	%		5.1	%		4.7	%		5.9	%		4.3	%		6.4	%		4.5	%
Losses $250 thousand to $1 million		5.3			6.2			6.0			4.9			4.5			4.6			4.8			4.3			5.5			4.5			5.7			4.5			5.6			4.5
Development and case reserve increases    of $250,000 or more		8.0			6.3			7.4			6.4			6.9			5.1			5.2			4.7			6.9			5.0			6.4			5.0			6.8			5.5
Large losses subtotal		21.2	%		20.1	%		19.4	%		15.5	%		16.4	%		13.3	%		13.6	%		14.7	%		17.5	%		14.2	%		18.0	%		13.8	%		18.8	%		14.5	%
IBNR incurred		(7.2)			1.3			1.3			0.8			(7.4)			2.5			1.8			1.8			1.1			1.8			0.5			2.0			(1.4)			(0.4)
Total catastrophe losses incurred		5.5			3.5			8.0			5.0			5.6			8.6			1.9			0.3			6.5			1.1			5.5			3.6			5.5			4.1
Remaining incurred		27.7			29.9			26.7			28.6			30.3			30.6			29.6			33.5			27.6			31.5			29.4			31.2			29.0			31.0
Total loss ratio		47.2	%		54.8	%		55.4	%		49.9	%		44.9	%		55.0	%		46.9	%		50.3	%		52.7	%		48.6	%		53.4	%		50.6	%		51.9	%		49.2	%
Loss Claim Count
Losses $1 million or more		33			32			26			14			24			21			17			15			40			32			72			53			105			77
Losses $250 thousand to $1 million		97			103			88			95			92			81			93			73			183			166			286			247			383			339
Development and case reserve increases   of $250,000 or more		94			104			85			85			100			72			61			67			170			128			274			200			368			300
Large losses total		224			239			199			194			216			174			171			155			393			326			632			500			856			716
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
NM – Not meaningful
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed by the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

16

Cincinnati Insurance Group - Commercial Lines
Statutory Quarterly Analysis
(Based on reported data - see Page 26 for adjusted data)
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06		12/31/05
Net premiums written	$	589		$	582		$	603		$	668		$	548		$	546		$	567		$	629		$	1,271		$	1,195		$	1,853		$	1,741		$	2,442		$	2,290
Net premiums earned	$	619		$	602		$	599		$	582		$	576		$	564		$	563		$	551		$	1,181		$	1,114		$	1,783		$	1,678		$	2,402		$	2,254
Losses paid	$	256		$	247		$	251		$	234		$	256		$	228		$	214		$	219		$	485		$	434		$	732		$	662		$	988		$	918
Loss reserve change		5			63			53			53			(19)			67			32			51			105			84			168			151			174			132
Total losses incurred	$	261		$	310		$	304		$	287		$	237		$	295		$	246		$	270		$	590		$	518		$	900		$	813		$	1,162		$	1,050
Allocated loss expense paid		33			30			28			24			28			27			26			22			52			48			81			75			114			103
Allocated loss expense reserve change		37			7			6			5			(1)			9			10			10			12			20			19			29			56			28
Total allocated loss expense incurred	$	70		$	37		$	34		$	29		$	27		$	36		$	36		$	32		$	64		$	68		$	100		$	104		$	170		$	131
Unallocated loss expense paid		34			27			27			28			31			26			25			22			54			48			81			73			116			105
Unallocated loss expense reserve change		3			3			3			10			(1)			3			1			10			13			11			15			13			18			12
Total unallocated loss expense incurred	$	37		$	30		$	30		$	38		$	30		$	29		$	26		$	32		$	67		$	59		$	96		$	86		$	134		$	117
Underwriting expenses incurred		194			185			172			179			182			173			165			156			349			321			536			493			727			675
Underwriting profit (loss)	$	57		$	40		$	59		$	49		$	100		$	31		$	90		$	61		$	111		$	148		$	151		$	182		$	209		$	281
Loss Detail
Losses $1 million or more	$	59		$	51		$	40		$	30		$	31		$	24		$	26		$	43		$	70		$	68		$	121		$	93		$	180		$	124
Losses $250 thousand to $1 million		35			37			39			28			28			26			29			22			67			51			104			77			139			105
Development and case reserve increases   of $250,000 or more		58			45			45			44			47			35			38			29			90			67			135			103			193			149
Large losses subtotal	$	152		$	133		$	124		$	102		$	106		$	85		$	93		$	94		$	227		$	186		$	360		$	273		$	512		$	378
IBNR incurred		(45)			10			(6)			6			(36)			17			12			12			0			24			10			41			(36)			6
Catastrophe losses incurred		11			14			34			30			14			53			2			6			63			9			77			62			89			76
Remaining incurred		143			153			152			149			153			139			139			159			300			298			453			437			597			590
Total losses incurred	$	261		$	310		$	304		$	287		$	237		$	294		$	246		$	271		$	590		$	517		$	900		$	813		$	1,162		$	1,050
Ratio Data
Loss ratio		42.2	%		51.5	%		50.7	%		49.2	%		41.1	%		52.4	%		43.8	%		49.1	%		50.0	%		46.5	%		50.5	%		48.4	%		48.4	%		46.6	%
Allocated loss expense ratio		11.3			6.0			5.7			5.1			4.7			6.5			6.4			5.8			5.4			6.1			5.6			6.2			7.1			5.8
Unallocated loss expense ratio		6.0			5.0			4.9			6.5			5.3			5.1			4.6			5.9			5.7			5.2			5.4			5.2			5.5			5.2
Net underwriting expense ratio		32.9			31.6			28.3			26.8			33.2			31.6			29.1			24.7			27.5			26.8			28.8			28.3			29.8			29.5
Statutory combined ratio		92.4	%		94.1	%		89.6	%		87.6	%		84.3	%		95.6	%		83.9	%		85.5	%		88.6	%		84.6	%		90.3	%		88.1	%		90.8	%		87.1	%
Statutory combined ratio excluding       catastrophes		90.5	%		91.7	%		84.0	%		82.5	%		81.9	%		86.0	%		83.5	%		84.4	%		83.3	%		83.8	%		86.0	%		84.5	%		87.1	%		83.7	%
Loss Ratio
Losses $1 million or more		9.6	%		8.5	%		6.6	%		5.2	%		5.4	%		4.3	%		4.5	%		7.8	%		5.9	%		6.1	%		6.8	%		5.5	%		7.5	%		5.5	%
Losses $250 thousand to $1 million		5.6			6.1			6.5			4.8			4.8			4.7			5.2			3.9			5.7			4.5			5.8			4.6			5.8			4.7
Development and case reserve increases    of $250,000 or more		9.4			7.5			7.6			7.6			8.1			6.3			6.8			5.3			7.6			6.0			7.6			6.1			8.0			6.6
Large losses subtotal		24.6	%		22.1	%		20.7	%		17.6	%		18.3	%		15.3	%		16.5	%		17.0	%		19.2	%		16.6	%		20.2	%		16.2	%		21.3	%		16.8	%
IBNR incurred		(7.3)			1.7			(1.0)			1.0			(6.1)			2.9			2.2			2.2			0.0			2.2			0.6			2.4			(1.5)			0.2
Total catastrophe losses incurred		1.9			2.3			5.6			5.1			2.4			9.5			0.4			1.1			5.3			0.8			4.3			3.7			3.7			3.4
Remaining incurred		23.0			25.4			25.4			25.6			26.5			24.7			24.7			28.8			25.5			26.8			25.4			26.1			24.9			26.2
Total loss ratio		42.2	%		51.5	%		50.7	%		49.3	%		41.1	%		52.4	%		43.8	%		49.1	%		50.0	%		46.4	%		50.5	%		48.4	%		48.4	%		46.6	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
NM - Not meaningful
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

17

Cincinnati Insurance Group - Personal Lines
Statutory Quarterly Analysis
(Based on reported data - see Page 27 for adjusted data)
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06		12/31/05
Net premiums written	$	166		$	198		$	211		$	161		$	179		$	215		$	224		$	168		$	372		$	393		$	570		$	608		$	736		$	786
Net premiums earned	$	183		$	189		$	194		$	196		$	199		$	201		$	202		$	202		$	390		$	404		$	579		$	605		$	762		$	804
Losses paid	$	119		$	119		$	128		$	112		$	122		$	120		$	122		$	126		$	242		$	247		$	362		$	367		$	481		$	489
Loss reserve change		(1)			3			7			(11)			(11)			5			(9)			(18)			(4)			(27)			(1)			(22)			(2)			(33)
Total losses incurred	$	118		$	122		$	135		$	101		$	111		$	125		$	113		$	108		$	238		$	220		$	361		$	345		$	479		$	456
Allocated loss expense paid		4			3			3			3			4			3			3			3			7			6			10			9			13			13
Allocated loss expense reserve change		(2)			1			1			1			(6)			1			1			1			1			1			1			2			0			(4)
Total allocated loss expense incurred	$	2		$	4		$	4		$	4		$	(2)		$	4		$	4		$	4		$	8		$	7		$	11		$	11		$	13		$	9
Unallocated loss expense paid		15			12			12			12			15			12			12			12			24			23			36			35			51			50
Unallocated loss expense reserve change		(1)			1			0			0			(1)			0			(1)			0			(1)			(1)			0			0			(1)			(1)
Total unallocated loss expense incurred	$	14		$	13		$	12		$	12		$	14		$	12		$	11		$	12		$	23		$	22		$	36		$	35		$	50		$	49
Underwriting expenses incurred		57			58			60			61			51			64			69			56			122			125			179			189			238			239
Underwriting profit (loss)	$	(8)		$	(8)		$	(17)		$	18		$	25		$	(4)		$	5		$	22		$	(1)		$	30		$	(8)		$	25		$	(18)		$	51
Loss Detail
Losses $1 million or more	$	4		$	10		$	6		$	2		$	7		$	3		$	2		$	0		$	9		$	2		$	18		$	5		$	23		$	13
Losses $250 thousand to $1 million		8			12			9			10			8			9			8			10			19			18			31			27			39			34
Development and case reserve increases    of $250,000 or more		6			4			7			5			7			3			2			7			12			9			16			12			22			19
Large losses subtotal	$	18		$	26		$	22		$	17		$	22		$	15		$	12		$	17		$	40		$	29		$	65		$	44		$	84		$	66
IBNR incurred		(12)			1			1			0			(22)			3			1			1			1			3			1			6			(11)			(17)
Catastrophe losses incurred		33			13			30			10			30			13			12			(4)			40			8			54			21			86			51
Remaining incurred		79			82			82			74			81			94			87			93			157			180			241			274			320			356
Total losses incurred	$	118		$	122		$	135		$	101		$	111		$	125		$	112		$	107		$	238		$	220		$	361		$	345		$	479		$	456
Ratio Data
Loss ratio		64.4	%		65.1	%		70.0	%		52.2	%		55.9	%		62.2	%		55.6	%		53.3	%		61.1	%		54.4	%		62.4	%		57.0	%		62.9	%		56.7	%
Allocated loss expense ratio		1.2			1.9			2.1			1.7			(1.2)			2.0			1.8			1.8			1.9			1.8			2.0			1.9			1.7			1.1
Unallocated loss expense ratio		7.8			6.6			5.8			6.2			7.0			6.1			5.5			5.7			6.0			5.6			6.1			5.8			6.6			6.1
Net underwriting expense ratio		34.3			30.4			28.5			38.0			28.4			29.7			30.7			33.2			32.6			31.8			31.8			31.0			32.4			30.4
Statutory combined ratio		107.7	%		104.0	%		106.4	%		98.1	%		90.1	%		100.0	%		93.6	%		94.0	%		101.6	%		93.6	%		102.3	%		95.7	%		103.6	%		94.3	%
Statutory combined ratio excluding      catastrophes		89.8	%		96.9	%		90.8	%		93.1	%		75.2	%		93.6	%		87.4	%		96.0	%		91.3	%		91.5	%		93.1	%		92.2	%		92.3	%		88.0	%
Loss Ratio
Losses $1 million or more		2.2	%		5.0	%		3.5	%		1.2	%		3.6	%		1.5	%		1.1	%		0.0	%		2.3	%		0.6	%		3.2	%		0.9	%		3.0	%		1.6	%
Losses $250 thousand to $1 million		4.5			6.4			4.4			5.3			3.9			4.3			3.7			5.2			4.9			4.4			5.4			4.4			5.2			4.3
Development and case reserve increases   of $250,000 or more		3.4			2.1			3.5			2.7			3.5			1.7			1.0			3.2			3.1			2.1			2.8			2.0			2.9			2.4
Large losses subtotal		10.1	%		13.5	%		11.4	%		9.2	%		11.0	%		7.5	%		5.8	%		8.4	%		10.3	%		7.1	%		11.4	%		7.3	%		11.1	%		8.3	%
IBNR incurred		(6.8)			0.1			0.7			0.0			(11.2)			1.4			0.6			0.7			0.3			0.7			0.3			0.9			(1.5)			(2.1)
Total catastrophe losses incurred		17.9			7.1			15.6			5.0			14.9			6.2			6.2			(2.0)			10.3			2.1			9.2			3.5			11.3			6.3
Remaining incurred		43.2			44.4			42.3			38.0			41.2			46.9			42.9			46.2			40.2			44.5			41.5			45.3			42.0			44.3
Total loss ratio		64.4	%		65.1	%		70.0	%		52.2	%		55.9	%		62.0	%		55.5	%		53.3	%		61.1	%		54.4	%		62.4	%		57.0	%		62.9	%		56.8	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
NM – Not meaningful
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed by the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

18

Cincinnati Insurance Group
Direct Written Premiums by Line of Business for the Twelve Months Ended December 31, 2006
(Dollars in millions)
																					12/31/2006		12/31/2005
		Comm		Comm	Comm			Workers'	Specialty		Surety &			Mach. &	Pers		Home		Other		Agency		Agency		Change
State		Casualty		Prop	Auto			Comp	Packages		Exec Risk			Equip	Auto		Owner		Personal		Direct		Direct		%
AL	$	20.1	$	14.1	$	8.3	$	1.4	$	7.0	$	1.6	$	0.6	$	15.6	$	21.1	$	4.4	$	94.2	$	91.7	2.7
AZ		12.5		5.5		9.3		0.5		1.0		0.6		0.5		0.0		0.1		0.1		30.1		26.5	13.6
AR		11.3		9.9		6.6		5.7		3.7		1.1		0.4		2.8		3.0		0.8		45.3		44.9	1.0
DE		0.8		0.4		0.7		1.6		0.0		0.1		0.0		0.0		0.0		0.1		3.7		0.9	293.7
FL		38.1		23.4		13.2		3.4		4.0		2.4		0.7		12.6		20.0		3.7		121.5		106.7	13.8
GA		27.4		20.3		18.7		12.2		6.2		6.8		0.7		31.7		26.7		6.5		157.2		144.8	8.6
ID		7.2		3.5		4.6		0.0		0.9		0.6		0.2		0.0		0.0		0.0		17.0		14.6	16.5
IL		82.3		47.2		34.6		64.2		13.0		8.2		2.9		25.8		19.2		5.9		303.3		300.6	0.9
IN		51.2		39.4		26.9		32.0		7.8		6.8		2.2		29.7		27.0		6.9		229.9		230.0	0.0
IA		21.5		15.0		9.9		23.2		4.3		2.5		1.3		4.8		4.5		2.1		89.1		88.4	0.7
KS		6.9		7.3		4.7		6.2		2.8		1.3		0.4		5.2		6.4		1.2		42.4		40.9	3.7
KY		21.1		18.4		14.8		4.1		4.9		2.9		0.9		20.5		14.7		3.9		106.2		107.8	(1.5)
MD		14.3		5.9		10.8		11.5		1.0		1.5		0.3		0.0		1.3		0.5		47.1		40.3	16.8
MI		43.2		27.1		19.6		21.4		13.0		5.4		1.8		14.3		17.0		3.5		166.3		172.3	(3.5)
MN		27.7		15.9		10.1		7.7		3.7		2.3		1.2		7.3		5.7		2.9		84.5		85.6	(1.3)
MO		26.0		18.9		12.6		17.5		5.2		2.0		1.1		3.2		4.9		1.0		92.4		84.3	9.6
MT		13.2		6.7		7.1		0.0		0.8		0.3		0.3		0.1		0.1		0.0		28.6		26.1	9.6
NE		7.7		5.6		3.8		9.0		1.6		0.9		0.5		1.4		1.3		0.2		32.0		33.4	(4.2)
NH		2.9		2.0		1.4		2.4		0.8		0.5		0.2		0.9		0.7		0.3		12.1		11.5	5.0
NY		26.7		6.8		9.6		2.5		1.1		3.3		0.4		0.0		0.0		0.0		50.4		43.8	14.9
NC		42.1		28.9		25.0		26.7		11.6		8.0		1.4		1.3		1.6		2.7		149.3		133.0	12.2
ND		3.9		3.2		2.5		0.0		0.8		0.6		0.2		0.7		0.6		0.1		12.6		14.0	(9.9)
OH		168.8		101.0		80.1		(0.3)		20.8		25.5		4.7		143.8		93.6		30.3		668.3		692.5	(3.5)
PA		48.8		29.8		30.7		53.8		9.3		6.7		1.7		8.4		6.3		3.1		198.6		195.1	1.8
SC		14.6		9.1		9.4		4.6		2.3		3.1		0.3		0.0		0.0		0.3		43.7		41.4	5.5
SD		4.5		2.7		2.0		3.8		0.5		0.4		0.1		0.0		0.0		0.2		14.2		12.2	16.5
TN		25.7		17.2		16.3		12.6		8.3		4.4		1.0		8.0		8.2		2.6		104.3		98.1	6.4
UT		8.9		3.4		4.1		0.1		0.4		1.3		0.3		0.0		0.0		0.0		18.5		13.0	42.5
VT		5.2		3.7		3.0		7.0		1.0		0.7		0.2		0.9		0.9		0.2		22.8		21.9	4.3
VA		37.3		25.7		24.4		22.7		5.0		5.2		1.1		10.6		8.4		2.9		143.3		132.6	8.0
WV		9.3		6.0		6.5		0.0		2.3		0.7		0.4		0.0		0.9		0.2		26.3		24.3	8.2
WI		31.1		18.2		13.8		25.3		4.7		2.4		1.6		10.5		8.1		3.3		119.0		121.2	(1.7)
All Other		5.7		3.4		3.3		4.9		0.2		1.3		0.2		0.0		0.1		0.2		19.3		15.3	24.7
Total Agency Direct	$	868.0	$	545.6	$	448.4	$	387.7	$	150.0	$	111.4	$	29.8	$	360.1	$	302.4	$	90.1	$	3,293.5	$	3,209.8	2.6
Other Direct		1.2		1.9		0.8		9.4		0.3		0.0		0.0		1.0		2.3		1.8		18.6		21.5	(13.8)
Total Direct	$	869.2	$	547.5	$	449.2	$	397.1	$	150.3	$	111.4	$	29.8	$	361.1	$	304.7	$	91.9	$	3,312.1	$	3,231.3	2.5

2006 Fourth-Quarter Supplement

19

Cincinnati Insurance Group
Quarterly Property Casualty Data - By Commercial Lines of Business
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06			12/31/05
Commercial casualty:
Written premiums	$	204		$	196		$	209		$	228		$	189		$	183		$	193		$	217		$	437		$	409		$	634		$	593		$	838		$	779
Earned premiums		219			207			208			197			195			193			192			183			405			375			613			566		S	831			759
Loss and loss expense ratio		58.8	%		49.4	%		51.8	%		51.3	%		5.1	%		49.3	%		54.3	%		51.2	%		51.6	%		53.0	%		50.8	%		51.8	%		53.0	%		39.8	%
Less catastrophe loss ratio		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Loss and loss expense    excluding catastrophe loss ratio		58.8	%		49.4	%		51.8	%		51.3	%		5.1	%		49.3	%		54.3	%		51.2	%		51.6	%		53.0	%		50.8	%		51.8	%		53.0	%		39.8	%
Commercial property:
Written premiums	$	124		$	126		$	122		$	134		$	115		$	113		$	122		$	126		$	256		$	248		$	381		$	361		$	505		$	476
Earned premiums		123			123			123			121			120			113			118			116			244			234			367		$	347			491			467
Loss and loss expense ratio		47.0	%		54.9	%		55.8	%		72.6	%		52.8	%		94.3	%		42.4	%		68.8	%		64.2	%		55.5	%		61.0	%		68.2	%		57.5	%		64.2	%
Less catastrophe loss ratio		7.1			9.9			15.9			22.7			11.2			44.0			1.2			4.0			19.3			2.6			16.1			16.1			13.9			14.9
Loss and loss expense    excluding catastrophe loss ratio		39.9	%		45.0	%		39.9	%		49.9	%		41.6	%		50.3	%		41.2	%		64.8	%		44.9	%		52.9	%		44.9	%		52.1	%		43.6	%		49.3	%
Commercial auto:
Written premiums	$	105		$	105		$	115		$	126		$	107		$	107		$	111		$	122		$	240		$	233		$	345		$	341		$	450		$	448
Earned premiums		116			113			112			112			117			115			112			113			224			225			337			340			453			457
Loss and loss expense ratio		58.5	%		72.8	%		57.0	%		57.7	%		61.5	%		60.6	%		60.2	%		57.9	%		57.4	%		59.0	%		62.5	%		59.6	%		61.5	%		60.1	%
Less catastrophe loss ratio		0.6			(0.5)			3.1			0.6			0.0			0.2			0.3			0.0			1.9			0.1			1.0			0.2			0.9			0.1
Loss and loss expense    excluding catastrophe loss ratio		57.9	%		73.3	%		53.9	%		57.1	%		61.5	%		60.4	%		59.9	%		57.9	%		55.5	%		58.9	%		61.5	%		59.4	%		60.6	%		60.0	%
Workers' compensation:
Written premiums	$	91		$	85		$	91		$	111		$	80		$	75		$	83		$	100		$	203		$	183		$	288		$	258		$	379		$	338
Earned premiums		95			93			90			88			85			82			82			79			178			161			271			244			366			328
Loss and loss expense ratio		89.3	%		90.3	%		83.1	%		78.6	%		134.2	%		74.0	%		77.0	%		76.5	%		80.8	%		76.8	%		84.1	%		75.9	%		85.4	%		90.9	%
Less catastrophe loss ratio		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Loss and loss expense    excluding catastrophe loss ratio		89.3	%		90.3	%		83.1	%		78.6	%		134.2	%		74.0	%		77.0	%		76.5	%		80.8	%		76.8	%		84.1	%		75.9	%		85.4	%		90.9	%
Specialty packages:
Written premiums	$	35		$	35		$	34		$	40		$	32		$	35		$	34		$	37		$	74		$	71		$	109		$	105		$	144		$	138
Earned premiums		35			35			35			36			34			34			34			34			71			68			106			103			141			137
Loss and loss expense ratio		44.9	%		74.2	%		82.1	%		64.3	%		53.4	%		69.9	%		57.2	%		87.8	%		73.1	%		72.4	%		73.5	%		71.5	%		66.3	%		67.0	%
Less catastrophe loss ratio		5.8			7.1			29.2			3.6			4.6			9.9			1.8			4.4			16.2			3.1			13.3			5.3			11.4			5.2
Loss and loss expenses    excluding catastrophe loss ratio		39.1	%		67.1	%		52.9	%		60.7	%		48.8	%		60.0	%		55.4	%		83.4	%		56.9	%		69.3	%		60.2	%		66.2	%		54.9	%		61.8	%
Surety and executive risk:
Written premiums	$	23		$	28		$	24		$	22		$	21		$	25		$	18		$	20		$	46		$	38		$	74		$	63		$	97		$	85
Earned premiums		24			24			24			21			21			21			19			19			45			38			69			59			93			80
Loss and loss expense ratio		36.3	%		47.3	%		89.6	%		26.5	%		69.2	%		31.5	%		7.4	%		26.4	%		60.1	%		16.9	%		55.6	%		22.0	%		50.7	%		34.2	%
Less catastrophe loss ratio		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Loss and loss expense    excluding catastrophe loss ratio		36.3	%		47.3	%		89.6	%		26.5	%		69.2	%		31.5	%		7.4	%		26.4	%		60.1	%		16.9	%		55.6	%		22.0	%		50.7	%		34.2	%
Machinery and equipment:
Written premiums	$	7		$	7		$	8		$	7		$	6		$	7		$	6		$	7		$	15		$	13		$	22		$	20		$	29		$	26
Earned premiums		7			7			7			7			6			7			6			7			14			13			20			19			27			26
Loss and loss expense ratio		62.4	%		45.2	%		27.0	%		32.2	%		31.6	%		21.5	%		24.1	%		12.3	%		29.6	%		18.1	%		34.8	%		19.3	%		42.0	%		22.4	%
Less catastrophe loss ratio		(0.5)			2.1			0.0			0.0			(0.1)			0.2			0.0			(0.6)			0.1			(0.2)			0.8			0.0			0.4			(0.1)
Loss and loss expense    excluding catastrophe loss ratio		62.9	%		43.1	%		27.0	%		32.2	%		31.7	%		21.3	%		24.1	%		12.9	%		29.5	%		18.3	%		34.0	%		19.3	%		41.6	%		22.5	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed
independently.

2006 Fourth-Quarter Supplement

20

Cincinnati Insurance Group
Quarterly Property Casualty Data - By Personal Lines of Business
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06			12/31/05
Personal auto:
Written premiums	$	79		$	96		$	104		$	79		$	89		$	112		$	119		$	89		$	184		$	208		$	279		$	321		$	359		$	409
Earned premiums		91			95			98			101			104			107			110			111			199			221			294			329			385			433
Loss and loss expense ratio		74.3	%		60.6	%		65.8	%		60.1	%		54.0	%		65.0	%		59.9	%		60.4	%		62.9	%		60.1	%		62.2	%		61.7	%		65.0	%		59.9	%
Less catastrophe loss ratio		5.7			1.4			3.6			0.8			0.6			0.4			1.1			0.2			2.2			0.6			2.0			0.5			2.8			0.6
Loss and loss expense    excluding catastrophe loss ratio		68.6	%		59.2	%		62.2	%		59.3	%		53.4	%		64.6	%		58.8	%		60.2	%		60.7	%		59.5	%		60.2	%		61.2	%		62.2	%		59.3	%
Homeowner:
Written premiums	$	66		$	79		$	83		$	62		$	67		$	80		$	81		$	59		$	144		$	140		$	224		$	219		$	290		$	288
Earned premiums		70			72			74			73			71			72			70			69			146			139			219			209			289			282
Loss and loss expense ratio		80.8	%		93.9	%		93.1	%		64.0	%		83.4	%		78.0	%		75.8	%		64.6	%		78.6	%		70.2	%		83.7	%		72.9	%		83.0	%		75.6	%
Less catastrophe loss ratio		36.0			15.0			33.1			11.1			43.2			15.2			14.6			(6.1)			22.1			4.3			19.8			8.0			23.7			16.9
Loss and loss expense    excluding catastrophe loss ratio		44.8	%		78.9	%		60.0	%		52.9	%		40.2	%		62.8	%		61.2	%		70.7	%		56.5	%		65.9	%		63.9	%		64.9	%		59.3	%		58.7	%
Other personal:
Written premiums	$	21		$	23		$	24		$	20		$	21		$	23		$	24		$	20		$	44		$	45		$	67		$	68		$	87		$	89
Earned premiums		22			22			22			22			22			22			22			22			45			45			66			67			88			89
Loss and loss expense ratio		45.6	%		63.3	%		80.9	%		47.4	%		37.0	%		58.0	%		38.3	%		49.5	%		64.2	%		41.7	%		63.9	%		47.1	%		59.4	%		44.6	%
Less Catastrophe loss ratio		9.9			5.2			10.8			3.8			2.0			5.0			1.0			3.9			7.4			2.5			6.6			3.3			7.4			3.0
Loss and loss expense    excluding catastrophe loss ratio		35.7	%		58.1	%		70.1	%		43.6	%		35.0	%		53.0	%		37.3	%		45.6	%		56.8	%		39.2	%		57.3	%		43.8	%		52.0	%		41.6	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not
equal the full year as each is computed independently.

2006 Fourth-Quarter Supplement

21

Cincinnati Insurance Group
10-Year Property Casualty Data - Consolidated
(Dollars in millions)	Years ended December 31,
	2006			2005			2004			2003			2002			2001			2000			1999			1998			1997
Premiums
Adjusted written premiums (statutory)*	$	3,172		$	3,097		$	3,026		$	2,789		$	2,496		$	2,188		$	1,936		$	1,681		$	1,558		$	1,472
Codification		0			0			0			0			0			402			(55)			0			0			0
Written premium adjustment -- statutory only		6			(21)			(29)			26			117			0			0			0			0			0
Reported written premiums (statutory)**		3,178			3,076			2,997			2,815			2,613			2,590			1,881			1,681			1,558			1,472
Unearned premiums change		(14)			(18)			(78)			(162)			(222)			(517)			(53)			(23)			(15)			(18)
Earned premiums (GAAP)	$	3,164		$	3,058		$	2,919		$	2,653		$	2,391		$	2,073		$	1,828		$	1,658		$	1,543		$	1,454
Year-over-year growth rate:
Adjusted written premiums (statutory)		2.4	%		2.3	%		8.5	%		11.7	%		14.0	%		13.0	%		15.2	%		7.9	%		5.8	%		6.4	%
Written premiums (statutory)		3.3	%		2.6	%		6.5	%		7.7	%		0.9	%		37.7	%		11.9	%		7.9	%		5.8	%		6.4	%
Earned premiums		3.5	%		4.8	%		10.0	%		11.0	%		15.3	%		13.4	%		10.3	%		7.5	%		6.1	%		6.4	%
Statutory combined ratio
Reported statutory combined ratio*		93.9	%		89.0			89.4	%		94.2	%		98.4	%		99.5	%		112.5	%		100.4	%		104.2	%		98.3	%
Codification		0.0			0.0			0.0			0.0			0.0			4.1			(0.9)			0.0			0.0			0.0
Written premium adjustment -- statutory only		nm			nm			nm			nm			1.2			0.0			0.0			0.0			0.0			0.0
One-time item		0.0			0.0			0.0			0.8			0.0			0.0			(1.7)			0.0			0.0			0.0
Statutory combined ratio (adjusted)		93.9	%		89.0	%		89.4	%		95.0	%		99.6	%		103.6	%		109.9	%		100.4	%		104.2	%		98.3	%
Less catastrophe losses		5.5			4.1			5.1			3.6			3.6			3.1			2.7			2.5			6.1
Statutory combined ratio excluding      catastrophe losses (adjusted)		88.4	%		84.9	%		84.3	%		91.4	%		96.0	%		100.5	%		107.2	%		97.9	%		98.1	%
Reported commission expense ratio*		18.7	%		19.3	%		19.2	%		17.6	%		15.9	%		13.9	%		17.4	%		17.4	%		17.6	%
Codification		0.0			0.0			0.0			0.0			0.0			2.6			(0.5)			0.0			0.0
Written premium adjustment -- statutory only		nm			nm			nm			nm			0.8			0.0			0.0			0.0			0.0
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Commission expense ratio (adjusted)		18.7	%		19.3	%		19.2	%		17.6	%		16.7	%		16.5	%		16.9	%		17.4	%		17.6	%
Reported other expense ratio*		11.7	%		10.5	%		10.1	%		8.9	%		9.6	%		8.7	%		12.6	%		11.4	%		11.9	%
Codification		0.0			0.0			0.0			0.0			0.0			1.5			(0.4)			0.0			0.0
Written premium adjustment -- statutory only		nm			nm			nm			nm			0.4			0.0			0.0			0.0			0.0
One-time item		0.0			0.0			0.0			0.8			0.0			0.0			(1.7)			0.0			0.0
Other expense ratio (adjusted)		11.7	%		10.5	%		10.1	%		9.7	%		10.0	%		10.2	%		10.5	%		11.4	%		11.9	%
Reported statutory expense ratio*		30.4	%		29.8	%		29.3	%		26.5	%		25.5	%		22.6	%		30.0	%		28.8	%		29.5	%
Codification		0.0			0.0			0.0			0.0			0.0			4.1			(0.9)			0.0			0.0
Written premium adjustment -- statutory only		nm			nm			nm			nm			1.2			0.0			0.0			0.0			0.0
One-time item		0.0			0.0			0.0			0.8			0.0			0.0			(1.7)			0.0			0.0
Statutory expense ratio (adjusted)		30.4	%		29.8	%		29.3	%		27.3	%		26.7	%		26.7	%		27.4	%		28.8	%		29.5	%
GAAP combined ratio
GAAP combined ratio		94.3	%		89.2	%		89.8	%		94.7	%		99.7	%		104.9	%		112.8	%		100.2	%		104.3	%		98.4	%
One-time item		0.0			0.0			0.0			0.8			0.0			0.0			(2.1)			0.0			0.0			0.0
GAAP combined ratio before one-time item		94.3	%		89.2	%		89.8	%		95.5	%		99.7	%		104.9	%		110.7	%		100.2	%		104.3	%		98.4	%
Written premiums to surplus
Adjusted premiums to statutory surplus ratio		0.672			0.739			0.721			1.002			1.067			0.864
Written premium adjustment		0.001			(0.005)			(0.007)			0.010			0.050			0.159
Reported premiums to statutory surplus ratio		0.673			0.734			0.714			1.012			1.117			1.023
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
nm – Not meaningful
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed by the appropriate regulatory bodies.
** Prior to 2001, property casualty premiums were recognized as they were billed throughout the policy period. Effective January 1, 2001, written premiums have been recognized on an annualized basis at the effective date of the policy. Written premiums for 2000 were reclassified to conform with the 2001 presentation; information was not readily available to reclassify earlier year statutory data.  The growth rates in written premiums between 1999 and 2000 are overstated because 1999 premiums are showed on a billed basis.

2006 Fourth-Quarter Supplement

22

Cincinnati Insurance Group
6-Year Property Casualty Data - Commercial Lines
(Dollars in millions)	Years ended December 31,
	2006			2005			2004			2003			2002			2001
Premiums
Adjusted written premiums (statutory)*	$	2,435		$	2,306		$	2,209		$	2,009		$	1,795		$	1,551
Codification		0			0			0			0			0			276
Written premium adjustment – statutory only		7			(16)			(23)			22			110			0
Reported written premiums (statutory)	$	2,442		$	2,290		$	2,186		$	2,031		$	1,905		$	1,827
Unearned premiums change		(40)			(36)			(60)			(123)			(184)			(374)
Earned premiums (GAAP)	$	2,402		$	2,254		$	2,126		$	1,908		$	1,721		$	1,453
Year-over-year growth rate:
Adjusted written premiums (statutory)		5.6	%		4.4	%		10.0	%		11.9	%		15.8	%		16.9	%
Written premiums (statutory)		6.7	%		4.8	%		7.6	%		6.6	%		4.2	%		43.3	%
Earned premiums		6.6	%		6.0	%		11.4	%		10.8	%		18.6	%		17.9	%
Statutory combined ratio
Reported statutory combined ratio*		90.8	%		87.1			83.7	%		90.9	%		95.3	%		96.7	%
Codification		0.0			0.0			0.0			0.0			0.0			4.0
Written premium adjustment – statutory only		nm			nm			nm			nm			1.5			0.0
One-time item		0.0			0.0			0.0			0.7			0.0			0.0
Statutory combined ratio (adjusted)		90.8	%		87.1	%		83.7	%		91.6	%		96.8	%		100.7	%
Less catastrophe losses		3.7			3.4			3.4			2.2			2.3			1.9
Statutory combined ratio excluding      catastrophe losses (adjusted)		87.1	%		83.7	%		80.3	%		89.4	%		94.5	%		98.8	%
GAAP combined ratio
GAAP combined ratio		91.3	%		87.4	%		84.1	%		91.3	%		96.6	%		101.7	%
One-time item		0.0			0.0			0.0			0.8			0.0			0.0
GAAP combined ratio before one-time item		91.3	%		87.4	%		84.1	%		92.1	%		96.6	%		101.7	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
nm – Not meaningful
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed by the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

23

Cincinnati Insurance Group
6-Year Property Casualty Data - Personal Lines
(Dollars in millions)	Years ended December 31,
	2006			2005			2004			2003			2002			2001
Premiums
Adjusted written premiums (statutory)*	$	737		$	791		$	817		$	780		$	701		$	637
Codification		0			0			0			0			0			126
Written premium adjustment – statutory only		(1)			(5)			(6)			4			7			0
Reported written premiums (statutory)	$	736		$	786		$	811		$	784		$	708		$	763
Unearned premiums change		26			18			(18)			(39)			(38)			(143)
Earned premiums (GAAP)	$	762		$	804		$	793		$	745		$	670		$	620
Year-over-year growth rate:
Adjusted written premiums (statutory)		(6.8)	%		(3.2)	%		4.7	%		12.0	%		9.8	%		4.6	%
Written premiums (statutory)		(6.4)	%		(3.1)	%		3.4	%		10.8	%		(7.2)	%		26.1	%
Earned premiums		(5.3)	%		1.4	%		6.4	%		11.2	%		8.1	%		4.0	%
Statutory combined ratio
Reported statutory combined ratio*		103.6	%		94.3			104.6	%		102.9	%		106.5	%		105.9	%
Codification		0.0			0.0			0.0			0.0			0.0			4.6
Written premium adjustment – statutory only		nm			nm			nm			nm			0.3			0.0
One-time item		0.0			0.0			0.0			1.0			0.0			0.0
Statutory combined ratio (adjusted)		103.6	%		94.3	%		104.6	%		103.9	%		106.8	%		110.5	%
Less catastrophe losses		11.3			6.3			9.7			7.3			7.1			5.8
Statutory combined ratio excluding      catastrophe losses (adjusted)		92.3	%		88.0	%		94.9	%		96.6	%		99.7	%		104.7	%
GAAP combined ratio
GAAP combined ratio		103.6	%		94.4	%		105.0	%		103.6	%		107.6	%		112.4	%
One-time item		0.0			0.0			0.0			1.1			0.0			0.0
GAAP combined ratio before one-time item		103.6	%		94.4	%		105.0	%		104.7	%		107.6	%		112.4	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
NM – Not meaningful
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed by the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

24

Cincinnati Insurance Group
Quarterly Property Casualty Data - Consolidated
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06			12/31/05
Premiums
Adjusted written premiums (statutory)	$	785		$	787		$	804		$	796		$	765		$	764		$	780		$	787		$	1,600		$	1,567		$	2,387		$	2,332		$	3,172		$	3,097
Written premium adjustment –       statutory only		(30)			(7)			10			33			(38)			(3)			10			10			43			20			36			17			6			(21)
Reported written premiums (statutory)*	$	755		$	780		$	814		$	829		$	727		$	761		$	790		$	797		$	1,643		$	1,587		$	2,423		$	2,349		$	3,178		$	3,076
Unearned premiums change		13			11			(21)			(51)			48			4			(25)			(44)			(72)			(73)			(60)			(66)			(66)			(19)
Earned premiums	$	802		$	791		$	793		$	778		$	775		$	765		$	765		$	753		$	1,571		$	1,518		$	2,362		$	2,283		$	3,164		$	3,058
Statutory combined ratio
Reported statutory combined ratio*		95.9	%		96.4			93.7	%		89.6	%		85.8	%		96.6	%		86.6	%		87.3	%		91.7	%		86.9	%		93.2	%		90.1	%		93.9	%		89.0	%
Written premium adjustment –       statutory only		nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Adjusted statutory combined ratio		95.9	%		96.4	%		93.7	%		89.6	%		85.8	%		96.6	%		86.6	%		87.3	%		91.7	%		86.9	%		93.2	%		90.1	%		93.9	%		89.0	%
Less catastrophe losses		5.5			3.5			8.0			5.0			5.6			8.6			2.0			0.3			6.5			1.1			5.5			3.6			5.5			4.1
Adjusted statutory combined ratio        excluding catastrophe losses		90.4	%		92.9	%		85.7	%		84.6	%		80.2	%		88.0	%		84.6	%		87.0	%		85.2	%		85.8	%		87.7	%		86.5	%		88.4	%		84.9	%
Reported commission expense ratio*		19.9	%		19.3	%		17.6	%		18.1	%		20.4	%		20.3	%		19.3	%		16.8	%		17.9	%		18.0	%		18.3	%		18.8	%		18.7	%		19.2	%
Written premium adjustment –       statutory only		nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Adjusted commission expense ratio		19.9	%		19.3	%		17.6	%		18.1	%		20.4	%		20.3	%		19.3	%		16.8	%		17.9	%		18.0	%		18.3	%		18.8	%		18.7	%		19.2	%
Reported other expense ratio*		13.4	%		11.9	%		10.8	%		10.8	%		11.6	%		10.8	%		10.3	%		9.8	%		10.8	%		10.0	%		11.2	%		10.2	%		11.7	%		10.5	%
Written premium adjustment –       statutory only		nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Adjusted other expense ratio		13.4	%		11.9	%		10.8	%		10.8	%		11.6	%		10.8	%		10.3	%		9.8	%		10.8	%		10.0	%		11.2	%		10.2	%		11.7	%		10.5	%
Reported statutory expense ratio*		33.3	%		31.2	%		28.4	%		28.9	%		32.0	%		31.1	%		29.6	%		26.6	%		28.7	%		28.0	%		29.5	%		29.0	%		30.4	%		29.7	%
Written premium adjustment –       statutory only		nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Adjusted statutory expense ratio		33.3	%		31.2	%		28.4	%		28.9	%		32.0	%		31.1	%		29.6	%		26.6	%		28.7	%		28.0	%		29.5	%		29.0	%		30.4	%		29.7	%
GAAP combined ratio
GAAP combined ratio		94.5	%		96.1	%		94.5	%		92.0	%		83.9	%		96.6	%		87.5	%		88.9	%		93.3	%		88.2	%		94.2	%		91.0	%		94.3	%		89.2	%
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
GAAP combined ratio before one-time item		94.5	%		96.1	%		94.5	%		92.0	%		83.9	%		96.6	%		87.5	%		88.9	%		93.3	%		88.2	%		94.2	%		91.0	%		94.3	%		89.2	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts
may not equal the full year as each is computed independently.
nm - Not meaningful
*   Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

25

Cincinnati Insurance Group
Quarterly Property Casualty Data - Commercial Lines
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06			12/31/05
Premiums
Adjusted written premiums (statutory)	$	618		$	589		$	593		$	635		$	584		$	547		$	557		$	617		$	1,228		$	1,174		$	1,817		$	1,721		$	2,435		$	2,306
Written premium adjustment --       statutory only		(29)			(7)			10			33			(36)			(1)			9			12			43			21			36			20			7			(16)
Reported written premiums (statutory)*	$	589		$	582		$	603		$	668		$	548		$	546		$	566		$	629		$	1,271		$	1,195		$	1,853		$	1,741		$	2,442		$	2,290
Unearned premiums change		30			20			(4)			(86)			28			18			(3)			(78)			(90)			(81)			(69)			(63)			(40)			(36)
Earned premiums	$	619		$	602		$	599		$	582		$	576		$	564		$	563		$	551		$	1,181		$	1,114		$	1,783		$	1,678		$	2,402		$	2,254
Statutory combined ratio
Reported statutory combined ratio*		92.4	%		94.1			89.6	%		87.5	%		84.3	%		95.5	%		83.9	%		85.5	%		88.6	%		84.6	%		90.3	%		88.1	%		90.8	%		87.1	%
Written premium adjustment --       statutory only		nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Adjusted statutory combined ratio		92.4	%		94.1	%		89.6	%		87.5	%		84.3	%		95.5	%		83.9	%		85.5	%		88.6	%		84.6	%		90.3	%		88.1	%		90.8	%		87.1	%
Less catastrophe losses		1.9			2.3			5.6			5.1			2.4			9.5			0.4			1.1			5.3			0.8			4.3			3.6			3.7			3.4
Adjusted statutory combined ratio       excluding catastrophe losses		90.5	%		91.8	%		84.0	%		82.4	%		81.9	%		86.0	%		83.5	%		84.4	%		83.3	%		83.8	%		86.0	%		84.5	%		87.1	%		83.7	%
GAAP combined ratio
GAAP combined ratio		91.1	%		93.4	%		90.3	%		90.5	%		82.1	%		95.2	%		84.8	%		87.5	%		90.4	%		86.1	%		91.4	%		89.2	%		91.3	%		87.4	%
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
GAAP combined ratio before one-time item		91.1	%		93.4	%		90.3	%		90.5	%		82.1	%		95.2	%		84.8	%		87.5	%		90.4	%		86.1	%		91.4	%		89.2	%		91.3	%		87.4	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not
equal the full year as each is computed independently.
nm - Not meaningful
*   Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

26

Cincinnati Insurance Group
Quarterly Property Casualty Data - Personal Lines
(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
	12/31/06			9/30/06			6/30/06			3/31/06			12/31/05			9/30/05			6/30/05			3/31/05			6/30/06			6/30/05			9/30/06			9/30/05			12/31/06			12/31/05
Premiums
Adjusted written premiums (statutory)	$	167		$	198		$	211		$	161		$	181		$	217		$	223		$	170		$	372		$	393		$	570		$	611		$	737		$	791
Written premium adjustment --       statutory only		(1)			0			0			0			(2)			(2)			1			(2)			0			(1)			0			(3)			(1)			(5)
Reported written premiums (statutory)*	$	166		$	198		$	211		$	161		$	179		$	215		$	224		$	168		$	372		$	392		$	570		$	608		$	736		$	786
Unearned premiums change		(17)			(9)			(17)			35			20			(14)			(22)			34			18			8			9			(3)			(26)			17
Earned premiums	$	183		$	189		$	194		$	196		$	199		$	201		$	202		$	202		$	390		$	404		$	579		$	605		$	762		$	804
Statutory combined ratio
Reported statutory combined ratio*		107.7	%		104.0	%		106.4	%		98.1	%		90.1	%		99.9	%		93.6	%		94.0	%		101.6	%		93.7	%		102.3	%		95.7	%		103.6	%		94.3	%
Written premium adjustment --       statutory only		nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm			nm
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
Adjusted statutory combined ratio		107.7	%		104.0	%		106.4	%		98.1	%		90.1	%		99.9	%		93.6	%		94.0	%		101.6	%		93.7	%		102.3	%		95.7	%		103.6	%		94.3	%
Less catastrophe losses		17.9			7.0			15.6			5.0			14.9			6.3			6.2			2.0			10.3			2.1			9.2			3.5			11.3			6.3
Adjusted statutory combined ratio       excluding catastrophe losses		89.8	%		97.0	%		90.8	%		93.1	%		75.2	%		93.6	%		87.4	%		96.0	%		91.3	%		91.6	%		93.1	%		92.2	%		92.3	%		88.0	%
GAAP combined ratio
GAAP combined ratio		106.0	%		104.4	%		107.6	%		96.4	%		89.0	%		100.5	%		95.3	%		92.7	%		102.0	%		94.0	%		102.8	%		96.1	%		103.6	%		94.4	%
One-time item		0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0			0.0
GAAP combined ratio before       one-time item		106.0	%		104.4	%		107.6	%		96.4	%		89.0	%		100.5	%		95.3	%		92.7	%		102.0	%		94.0	%		102.8	%		96.1	%		103.6	%		94.4	%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not
equal the full year as each is computed independently.
nm - Not meaningful
*   Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

27

The Cincinnati Life Insurance Company
GAAP Statements of Income
		For the three months ended December 31,							For the twelve months ended December 31,
		2006		2005		Change	%Change		2006		2005		Change	% Change
Revenues:
Premiums earned:
Property casualty	$	0	$	0	$	0	NA	$	0	$	0	$	0	NA
Life		43,271,070		40,421,077		2,849,993	7.05		152,590,039		143,808,461		8,781,578	6.11
Accident health		1,703,987		1,617,668		86,319	5.34		6,652,508		6,347,605		304,903	4.80
Premiums ceded		(13,815,204)		(13,851,254)		36,050	0.26		(44,504,201)		(43,798,779)		(705,422)	(1.61)
Total premiums earned		31,159,853		28,187,491		2,972,362	10.54		114,738,346		106,357,287		8,381,059	7.88
Investment income		27,053,035		26,013,305		1,039,730	4.00		107,656,860		99,323,763		8,333,097	8.39
Realized investment gains and losses		2,533,775		9,832,034		(7,298,259)	(74.23)		44,861,000		17,188,854		27,672,146	160.99
Other income		992,375		1,015,456		(23,081)	(2.27)		3,552,294		3,561,244		(8,950)	(0.25)
Total revenues	$	61,739,038	$	65,048,286	$	(3,309,248)	(5.09)	$	270,808,500	$	226,431,148	$	44,377,352	19.60
Benefits & expenses:
Losses & policy benefits	$	43,696,578	$	12,945,476	$	30,751,102	237.54	$	161,984,990	$	141,170,430	$	20,814,560	14.74
Reinsurance recoveries		(13,247,792)		11,824,818		(25,072,610)	(212.03)		(39,953,090)		(39,542,190)		(410,900)	(1.04)
Commissions		8,410,482		8,941,982		(531,500)	(5.94)		34,081,135		34,718,994		(637,859)	(1.84)
Other operating expenses		12,192,870		10,732,035		1,460,835	13.61		31,977,077		28,592,514		3,384,563	11.84
Interest expense		98,000		0		98,000	NA		98,000		0		98,000	NA
Taxes, licenses & fees		935,887		32,729		903,158	2,759.50		3,080,836		3,205,175		(124,339)	(3.88)
Incr deferred acq expense		(3,479,444)		(4,281,595)		802,151	18.73		(17,717,144)		(14,048,474)		(3,668,670)	(26.11)
Other expenses		1		0		1	NA		109		108		1	0.93
Total expenses	$	48,606,582	$	40,195,445	$	8,411,137	20.93	$	173,551,913	$	154,096,557	$	19,455,356	12.63
Income before income taxes	$	13,132,456	$	24,852,841	$	(11,720,385)	(47.16)	$	97,256,587	$	72,334,591	$	24,921,996	34.45
Provision for income taxes:
Current	$	953,701	$	3,623,075	$	(2,669,374)	(73.68)	$	6,273,558	$	12,721,453	$	(6,447,895)	(50.69)
Current capital gains/losses		947,821		3,441,212		(2,493,391)	(72.46)		15,879,350		6,016,099		9,863,251	163.95
Deferred		2,628,721		1,975,964		652,757	33.03		12,406,344		6,314,644		6,091,700	96.47
Total income taxes	$	4,530,243	$	9,040,251	$	(4,510,008)	(49.89)	$	34,559,252	$	25,052,196	$	9,507,056	37.95
Net income	$	8,602,213	$	15,812,590	$	(7,210,377)	(45.60)	$	62,697,335	$	47,282,395	$	15,414,940	32.60

2006 Fourth-Quarter Supplement

28

The Cincinnati Life Insurance Company
Statutory Statements of Income
		For the three months ended December 31,					For the twelve months ended December 31,
		2006		2005	% Change		2006		2005	% Change
Net premiums written	$	38,109,979	$	40,102,013	(4.97)	$	153,442,227	$	193,851,091	(20.85)
Net investment income		27,053,035		26,013,305	4.00		107,656,860		99,323,763	8.39
Amortization of interest maintenance reserve		59,928		867,345	(93.09)		160,205		3,969,372	(95.96)
Commissions and expense allowances on reinsurance ceded		2,482,659		2,710,463	(8.40)		8,261,423		11,472,367	(27.99)
Income from fees associated with Separate Accounts		992,375		1,015,456	(2.27)		3,552,294		3,561,244	(0.25)
Total revenues	$	68,697,977	$	70,708,582	(2.84)	$	273,073,009	$	312,177,838	(12.53)
Death benefits and matured endowments		8,866,654		6,791,497	30.56	$	38,964,236		32,409,589	20.22
Annuity benefits		8,580,838		5,013,543	71.15		35,200,488		21,805,168	61.43
Disability benefits and benefits under accident and health contracts		415,184		491,221	(15.48)		1,630,523		1,537,587	6.04
Surrender benefits and group conversions		5,991,218		4,068,367	47.26		22,251,863		18,979,141	17.24
Interest and adjustments on deposit-type contract funds		2,380,022		2,762,911	(13.86)		9,394,586		10,249,422	(8.34)
Increase in aggregate reserves for life and accident and health contracts		23,436,742		27,180,937	(13.78)		95,336,456		142,678,482	(33.18)
Payments on supplementary contracts with life contingencies		77,083		75,111	2.63		308,744		295,735	4.40
Total benefit expenses	$	49,747,741	$	46,383,589	7.25	$	203,086,897	$	227,955,124	(10.91)
Commissions	$	8,344,872	$	8,458,360	(1.34)	$	33,700,524	$	34,235,371	(1.56)
General insurance expenses and taxes		11,073,587		9,135,840	21.21		35,288,388		33,177,815	6.36
Increase in loading on deferred and uncollected premiums		200,324		(107,202)	286.87		(4,278,539)		(4,680,691)	8.59
Net transfers to or (from) Separate Accounts		0		(413,267)	N/A		(211,220)		(413,267)	48.89
Other deductions		0		0	N/A		109		108	0.63
Total operating expenses	$	19,618,783	$	17,073,731	12.19	$	64,499,261	$	62,319,336	3.50
Federal and Foreign Income Taxes Incurred		950,983		2,717,237	(65.00)		5,973,699		11,990,488	(50.18)
Net gain from operations before realized capital gains or (losses)	$	(1,619,530)	$	4,534,025	(135.72)	$	(486,849)	$	9,912,889	(104.91)
Net realized gains or (losses) net of capital gains tax		1,306,320		10,768,634	(87.87)		28,946,326		11,089,183	161.03
Net Income (Statutory)	$	(313,210)	$	15,302,659	(102.05)	$	28,459,477	$	21,002,073	35.51
* Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

2006 Fourth-Quarter Supplement

29

The Cincinnati Life Insurance Company
Expenses as a Percentage of Premium
	(Dollars in millions)	Three months ended																								Six months ended						Nine months ended						Twelve months ended
		12/31/06			09/30/06			06/30/06			03/31/06			12/31/05			09/30/05			06/30/05			3/31/05			6/30/06			06/30/05			09/30/06			09/30/05			12/31/06			12/31/05
	Gross Written Premiums	$	54		$	50		$	51		$	50		$	57		$	66		$	64		$	62		$	101		$	126		$	152		$	192		$	206		$	249
	Bank Owned Life Insurance (BOLI)   Adjustment		0			0			0			0			0			0			0			0			0			0			0			0			0			0
	Adjusted Gross Written Premiums	$	54		$	50		$	51		$	50		$	57		$	66		$	64		$	62		$	101		$	126		$	152		$	192		$	206		$	249
	Insurance Expense	$	10		$	7		$	7		$	7		$	8		$	7		$	7		$	7		$	14		$	14		$	21		$	21		$	31		$	29
	Expense Ratio		17.8	%		14.7	%		13.5	%		14.5	%		14.4	%		10.3	%		10.7	%		10.9	%		14.0	%		10.8	%		14.0	%		10.8	%		15.0	%		11.7	%
	Expense Ratio based on Adjusted    Gross Written Premium		17.8	%		14.7	%		13.5	%		14.5	%		14.4	%		10.3	%		10.7	%		10.9	%		14.0	%		10.8	%		14.0	%		10.8	%		15.0	%		11.7	%
	(Dollars in millions)	Years ended December 31,
		2006			2005			2004			2003			2002			2001			2000
	Gross Written Premiums	$	206		$	249		$	230		$	173		$	244		$	122		$	157
	Bank Owned Life Insurance (BOLI)   Adjustment		0			0			(10)			0			(34)			0			(20)
	Adjusted Gross Written Premiums	$	206		$	249		$	220		$	173		$	210		$	122		$	137
	Insurance Expense	$	31		$	29		$	25		$	25		$	27		$	25		$	20
	Expense Ratio		15.0	%		11.7	%		11.1	%		14.8	%		10.9	%		20.6	%		12.9	%
	Expense Ratio based on Adjusted    Gross Written Premium		15.0	%		11.7	%		11.6	%		14.8	%		12.6	%		20.6	%		14.8	%
	Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not
	equal the full year as each is computed independently.

2006 Fourth-Quarter Supplement

30