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: April 30, 2009
(Date of earliest event reported)

CINCINNATI FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

Ohio	0-4604	31-0746871
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

6200 S. Gilmore Road, Fairfield, Ohio	45014-5141
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (513) 870-2000

N/A
(Former name or former address, if changed since last report.)

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:

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

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

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

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

TABLE OF CONTENTS

EX-99.1

EX-99.2

Item 2.02 Results of Operations and Financial Condition.

On April 30, 2009, Cincinnati Financial Corporation issued the attached news release titled “Cincinnati Financial Reports First-quarter 2009 Results,” furnished as Exhibit 99.1 hereto and incorporated herein by reference. On April 30, 2009, the company also distributed the attached information titled “Supplemental Financial Data,” furnished as Exhibit 99.2 hereto and incorporated herein by reference. This report should not be deemed an admission as to the materiality of any information contained in the news release or supplemental financial data.

In accordance with general instruction B.2 of Form 8-K, the information furnished in this report shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

Item 9.01 Financial Statements and Exhibits.

(c) Exhibits

Exhibit 99.1 — News release dated April 30, 2009, “Cincinnati Financial Reports First-quarter 2009 Results”

Exhibit 99.2 — Supplemental Financial Data dated April 30, 2009

Signature

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.

	CINCINNATI FINANCIAL CORPORATION
Date: April 30, 2009	/s/ Steven J. Johnston
	Steven J. Johnston, FCAS, MAAA, CFA
	Chief Financial Officer, Executive Vice President, Secretary
	and Treasurer

EX-99.1

Exhibit 99.1

CINCINNATI FINANCIAL CORPORATION

Investor Contact: Dennis E. McDaniel, 513-870-2768
CINF-IR@cinfin.com
Media Contact: Joan O. Shevchik, 513-603-5323
Media_Inquiries@cinfin.com

Cincinnati Financial Reports First-quarter 2009 Results

Cincinnati, April 30, 2009 — Cincinnati Financial Corporation (Nasdaq: CINF) today reported:

• First-quarter 2009 net income of $35 million, or 22 cents per share, compared with a net loss of $42 million, or 26 cents per share, in the first quarter of 2008.

• Operating income* of $37 million, or 23 cents per share, compared with $109 million, or 66 cents per share.

• Previously announced catastrophe losses and workers’ compensation reserve strengthening reduced first-quarter net income by 29 cents per share compared with 15 cents per share for first-quarter 2008.

• The investment income portion of net income per share for the first quarter of 2009 was 59 cents compared with 74 cents for the first quarter of 2008, down 15 cents per share.

Financial Highlights

	Three months ended March 31,
(Dollars in millions except share data)	2009			2008			Change %
Revenue Highlights
Earned premiums	$	765		$	780			(2.0	)
Investment income		124			152			(18.7	)
Total revenues		890			704			26.5
Income Statement Data
Net income (loss)	$	35		$	(42	)		nm
Net realized investment gains and losses		(2	)		(151	)		98.9
Operating income*	$	37		$	109			(65.7	)
Per Share Data (diluted)
Net income	$	0.22		$	(0.26	)		nm
Net realized investment gains and losses		(0.01	)		(0.92	)		98.9
Operating income*	$	0.23		$	0.66			(65.2	)
Book value		23.88			33.40			(28.5	)
Cash dividend declared	$	0.39		$	0.39			0.0
Diluted weighted average shares outstanding		162,663,625			165,105,311			(1.5	)

Insurance Operations Highlights

• 107.5 percent first-quarter 2009 property casualty combined ratio, representing an underwriting loss of $55 million.

• Property casualty net written premiums increased $2 million or 0.3 percent, including $7 million in net written premiums from surplus lines operation launched in 2008.

• $21 million increase in property casualty new business written by agencies in the first quarter of 2009, driven by new agents appointed in recent years and expansion of surplus lines and personal lines marketing in established agencies.

Investment and Balance Sheet Highlights

• $515 million in cash and cash equivalents at March 31, 2009, providing exceptional liquidity and capital flexibility for shareholder dividends and capacity for future insurance operations growth.

• $23.88 book value, down from $25.75 at December 31, 2008, mainly due to lower investment portfolio valuation.

• Investment portfolio at March 31, 2009, reflected capital preservation diversification strategy. Investment income declined in the first quarter on portfolio changes and on lower dividends from holdings in the equity portfolio, partially offset by higher interest income from bonds.

*	The Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures on Page 10 defines and reconciles measures presented in this release that are not based on Generally Accepted Accounting Principles or Statutory Accounting Principles.
**	Forward-looking statements and related assumptions are subject to the risks outlined in the company’s safe harbor statement (see Page 8).
nm	Not meaningful

Market Challenges Continue

Kenneth W. Stecher, president and chief executive officer, commented, “As anticipated, 2009 is shaping up to be a challenging, transitional year for our company, our industry and our economy. Our first-quarter results affirm that view. At the same time, our progress on key initiatives affirms our confidence that we will emerge a stronger, more competitive company as conditions improve. Looking past 2009 to the 2010-2014 period, we continue to target a five-year value creation ratio of 12 percent to 15 percent growth, reflecting the total of our rate of growth in book value plus the rate of dividend contribution.

“The broader economic and investment market trends and the low pricing trend in commercial insurance all appeared to be in a holding pattern over the first months of 2009 — not getting much worse but not getting much better either. Continued soft pricing and two other items significantly affected our profitability for the first quarter. We announced on April 16 that our property casualty insurance operations — our main business — experienced high catastrophe losses from winter storms. Our claims representatives promptly assisted policyholders in the South, Midwest and East, and as of this week, 88 percent of the more than 8,600 reported claims from those storms are closed. We also reported on April 16 that we strengthened workers’ compensation reserves for claims incurred in prior years, recognizing that loss cost inflation, including medical costs, was higher than previously anticipated.

“We believe consistent and conservative reserving practices are never more important than during a period of economic distress. Likewise, we believe the superior claims service we provide in storm situations is an investment,” Stecher said. “It earns policyholder and agent loyalty, ultimately bringing us new business as policyholders spread the word. Our commitment to high standards of service and a long-term perspective persists through all phases of economic and industry cycles.

“We expect unfavorable economic, investment and insurance pricing trends to continue over the coming months, dampening 2009 results and masking the positive impact of progress on our strategic initiatives — which clearly are not in a holding pattern. Our strong capital, financial flexibility and commitment to our agency-centered business model have allowed us to push steadily forward with diversification of our equity investment portfolio; with geographical expansion that will better spread our risk and reduce our vulnerability to catastrophe losses; with our new surplus lines business; and with technology improvements that are making processing more efficient for our company and our independent agencies.”

Progress On Strategic Initiatives

Stecher continued, “Preserving capital is our first priority, supported by our initiative to diversify our $8.794 billion investment portfolio. At March 31, equity investments accounted for approximately 26.2 percent of our investment portfolio, reduced from 32.9 percent at year-end 2008 and now at the lowest level in many years. In the first quarter, we sold or reduced our holdings of some stocks that had appreciated to our target price, and others where we saw opportunities to improve portfolio diversification. Further, we sold our remaining bank stocks, consistent with our longstanding preference for dividend-paying stocks and the current lack of visibility on resumption of dividends from bank holdings. At quarter-end, no single sector accounted for more than 26 percent of the equity portfolio and no single holding accounted for more than 11 percent.

“Although we have reduced our near term exposure to the equity markets, we intend to continue to include common stocks as a key component of our investing strategy. Currently, we are purchasing more taxable and municipal bonds, which increased our pretax interest income for the first quarter by $20 million compared with interest income at this time last year. The increase was insufficient to offset a $46 million reduction in dividend income. We continue to invest for both income growth and potential for appreciation, anticipating that investment income may resume growth in the second half of the year.

“For our property casualty insurance operations, we are pursuing several new business growth initiatives, both to improve our long-term competitive position and to offset lower written premiums, which have been reduced by our emphasis on selectivity when writing or renewing accounts at prevailing low prices. While we do compete for high quality accounts, we do not aim to offer the lowest price due to the value of our coverages, claims service and multi-year policy contracts.

“New commercial business grew 14.9 percent in the first quarter. To generate increased new business that meets our standards, we continued adding to our sales force, appointing 18 new agencies in the first quarter. We added a third commercial marketing territory in our newest state of operations, Texas, and continued preparing to begin agency selection and marketing in Colorado and Wyoming later this year. Our personal lines operation also expanded in the first quarter; with the addition of Idaho and South Carolina, we now market homeowner and personal auto insurance in 29 states. These expansions help set the stage to diversify catastrophe risk arising from geographical concentration, although it generally takes time for new agency relationships to mature and for written premiums to grow.

2

“Our strong new business also reflected our agents’ very favorable response to our surplus lines products, available since the first quarter of 2008, when we wrote $1 million of new surplus lines business. Just a year later, our first-quarter 2009 new surplus lines business was $7 million.

“Our technology progress is making it possible to attract more professional agencies as we expand and to increase efficiencies that will save time and money for all of our agencies and our company. These advances also improve service for policyholders and give them more options. First-quarter milestones included enhancement of our claims system to allow many agencies to securely submit notice of loss online and introduction of a new online payment system for personal lines policyholders who are billed by our company instead of their agency. In the second quarter, we plan to begin offering direct billing of workers’ compensation policies.

“Our major projects are on track. We will take a major leap forward before year-end as agencies in 11 states begin using our new commercial policy administration system. It will offer efficiencies such as real time policy quote and issue and payment options including direct billing, monthly payments and electronic funds transfer. We expect this system to have a positive impact on future growth from our agencies.”

Stecher concluded, “First quarter was less than satisfactory for our company, and there are few signs that industry and economic conditions will improve in the near term. We are not daunted. We are carefully managing risk and prudently adapting, all the while working to build more value, service and stability for agents and policyholders, and ultimately more shareholder value.”

3

Consolidated Property Casualty Insurance Operations

(Dollars in millions; percent change given for dollar amounts	Three months ended March 31,
and point change given for ratios)	2009			2008			Change %
Earned premiums	$	732		$	751			(2.5	)
Loss and loss expenses before catastrophe losses		491			458			7.2
Loss and loss expenses from catastrophe losses		53			43			22.9
Total loss and loss expenses		544			501			8.5
Underwriting expenses		243			240			1.5
Underwriting (loss) profit	$	(55	)	$	10			nm
Other business metrics:
Agency renewal written premiums	$	695		$	733			(5.2	)
Agency new business written premiums		97			76			28.9
Net written premiums		778			776			0.3
Ratios as a percent of earned premiums:							Points
Loss and loss expenses		74.2	%		66.7	%		7.5
Underwriting expenses		33.3			31.9			1.4
Combined ratio		107.5	%		98.6	%		8.9
Other business metrics:
Contribution from catastrophe losses		7.2			5.7			1.5
Contribution from prior period reserve development		0.9			(1.8	)		2.7

• $2 million or 0.3 percent increase in first-quarter property casualty net written premiums, as growth in new business offset much of the effect of soft pricing, exposure decreases and disciplined underwriting for renewal business.

• $21 million increase in 2009 new business written by agencies reflected the contribution from growth initiatives, including $4 million increase from agencies appointed since January 2008 and $6 million increase from surplus lines.

• .97-to-1 ratio of net written premiums to property casualty statutory surplus for the 12 months ended March 31, 2009, up from 0.89-to-1 ratio for the 12 months ended December 31, 2008.

• 1,141 agency relationships with 1,406 reporting locations marketing standard market property casualty insurance products at March 31, 2009, up from 1,133 agency relationships with 1,387 reporting locations at year-end 2008.

• First-quarter 2009 GAAP combined ratio increased 8.9 percentage points primarily due to previously announced higher catastrophe losses and unfavorable development on prior accident years loss and loss expense reserves.

			Three months ended March 31,
(In millions, net of reinsurance)			Commercial			Personal
Dates	Cause of loss	Region	lines			lines			Total
2009
Jan. 26-28	Flood, freezing, ice, snow	South, Midwest	$	6		$	14		$	20
Feb. 10-13	Flood, hail, wind, water damage	South, Midwest, East		12			18			30
Feb. 18-19	Wind, hail	South		0			5			5
Development on 2008 and prior catastrophes				(4	)		2			(2	)
Calender year incurred total			$	14		$	39		$	53
2008
Jan. 4-9	Wind, hail, flood, freezing	South, Midwest	$	3		$	3		$	6
Jan. 29-30	Wind, hail	Midwest		5			5			10
Feb. 5-6	Wind, hail, flood	Midwest		8			9			17
Mar. 14	Tornadoes, wind, hail, flood	South		5			1			6
Mar. 15-16	Wind, hail	South		4			4			8
Development on 2007 and prior catastrophes				(3	)		(1	)		(4	)
Calendar year incurred total			$	22		$	21		$	43

4

Insurance Segments Highlights

Commercial Lines Insurance Operations

(Dollars in millions; percent change given for dollar amounts	Three months ended March 31,
and point change given for ratios)	2009			2008			Change %
Earned premiums	$	557		$	574			(3.1	)
Loss and loss expenses before catastrophe losses		374			343			9.2
Loss and loss expenses from catastrophe losses		14			22			(37.4	)
Total loss and loss expenses		388			365			6.4
Underwriting expenses		181			180			0.1
Underwriting (loss) profit	$	(12	)	$	29		nm
Other business metrics:
Agency renewal written premiums	$	557		$	588			(5.2	)
Agency new business written premiums		76			66			14.9
Net written premiums		626			625			0.1
Ratios as a percent of earned premiums:							Points
Loss and loss expenses		69.8	%		63.6	%		6.2
Underwriting expenses		32.4			31.4			1.0
Combined ratio		102.2	%		95.0	%		7.2
Other business metrics:
Contribution from catastrophe losses		2.5			3.9			(1.4	)
Contribution from prior period reserve development		1.5			(2.5	)		4.0

• $1 million or 0.1 percent increase in first-quarter commercial lines net written premiums. Lower renewal premiums were offset by growth in new business and the combined impact of reinsurance and adjustments for policies in effect but still in process.

• $76 million in first-quarter 2009 new commercial lines business written directly by agencies, up 14.9 percent from $66 million in last year’s first quarter. $4 million of increase is from agents appointed since January 2008 and $4 million of increase is from ancillary standard market business from accounts originating from new excess and surplus lines policies.

• 7.2 percentage-point increase in first-quarter 2009 combined ratio primarily due to previously announced strengthening of workers’ compensation loss and loss expense reserves for prior accident years.

Personal Lines Insurance Operations

(Dollars in millions; percent change given for dollar amounts	Three months ended March 31,
and point change given for ratios)	2009			2008			Change %
Earned premiums	$	171		$	177			(3.0	)
Loss and loss expenses before catastrophe losses		113			115			(1.7	)
Loss and loss expenses from catastrophe losses		39			21			88.7
Total loss and loss expenses		152			136			12.0
Underwriting expenses		54			59			(6.8	)
Underwriting loss	$	(35	)	$	(18	)		(99.3	)
Other business metrics:
Agency renewal direct written premiums	$	137		$	146			(6.0	)
Agency new business direct written premiums		14			8			67.2
Net written premiums		145			150			(3.5	)
Ratios as a percent of earned premiums:							Points
Loss and loss expenses		88.6	%		76.7	%		11.9
Underwriting expenses		32.1			33.4			(1.3	)
Combined ratio		120.7	%		110.1	%		10.6
Other business metrics:
Contribution from catastrophe losses		22.6			11.6			11.0
Contribution from prior period reserve development		(0.7	)		0.7			(1.4	)

• 3.5 percent decline in first-quarter personal lines net written premiums. Higher new personal lines business continued to be offset by pricing changes that reduce premiums per policy.

• $6 million increase in first-quarter 2009 personal lines new business written directly by agencies including $2 million from seven states where writing business or significant expansion of personal lines product offerings and automation capabilities commenced in 2008.

• 10.6 percentage point-increase in the combined ratio driven by an 11.0 percentage-point increase in catastrophe losses.

5

Life Insurance Operations

(In millions)	Three months ended March 31,
	2009		2008		Change%
Written premiums	$	50	$	44	14.3
Earned premiums	$	33	$	29	12.5
Investment income, net of expenses		30		29	2.7
Other income		1		1	(43.5	)
Total revenues, excluding realized investment gains and losses		64		59	7.0
Contract holders benefits		39		35	9.0
Expenses		12		12	4.5
Total benefits and expenses		51		47	7.9
Net income before income tax and realized investment gains and losses		13		12	3.3
Income tax		5		4	5.3
Net income before realized investment gains and losses	$	8	$	8	2.3

• $50 million in first-quarter 2009 life insurance segment net written premiums. Written premiums include life insurance, annuity and accident and health premiums.

• 6.7 percent increase to $37 million in written premiums for life insurance products in total.

• 12.3 percent rise to $20 million in term life insurance written premiums, reflecting marketing advantages of competitive, up-to-date products, providing close personal attention and offering policies backed by financial strength and stability.

• 1.3 percent rise in face amount of life policies in force to $66.756 billion at March 31, 2009, from $65.888 billion at year-end 2008.

6

Investment and Balance Sheet Highlights

Investment Operations

	Three months ended March 31,
(In millions)	2009			2008			Change %
Investment income:
Interest	$	96		$	76			26.4
Dividends		27			73			(63.9	)
Other		3			5			(29.7	)
Investment expenses		(2	)		(2	)		(11.5	)
Total investment income, net of expenses		124			152			(18.7	)
Investment interest credited to contract holders		(16	)		(16	)		5.8
Realized investment gains and losses summary:
Realized investment gains and losses		52			(16	)	nm
Change in fair value of securities with embedded derivatives		(4	)		(2	)		(54.2	)
Other-than-temporary impairment charges		(50	)		(214	)		76.8
Total realized investment gains and losses		(2	)		(232	)		99.3
Investment operations income (loss)	$	106		$	(96	)	nm

• 18.7 percent decline in first-quarter 2009 net investment income, due primarily to dividend reductions by equity security holdings.

• $2 million realized investment loss in first-quarter 2009 compared with realized investment loss of $232 million in first quarter 2008.

• First-quarter pretax realized investment loss included $50 million non-cash charge for other-than-temporary impairments that recognize significant market value declines, primarily for the fixed-maturities portfolio.

	At March 31,			At December 31,
(Dollars in millions except share data)	2009			2008
Balance sheet data
Invested assets	$	8,876		$	8,890
Total assets		13,108			13,369
Short-term debt		49			49
Long-term debt		790			791
Shareholders’ equity		3,881			4,182
Book value per share		23.88			25.75
Debt-to-capital ratio		17.8	%		16.7	%

	Three months ended March 31,
	2009	2008
Performance measures
Value creation ratio	(5.7) %	(5.4) %

• $9.391 billion in cash and invested assets at March 31, 2009, compared with $9.899 billion at December 31, 2008. Cash and equivalents of $515 million at March 31, 2009, compared with $1.009 billion at December 31, 2008.

• $6.479 billion A2/A+-average rated bond portfolio at March 31, 2009, reflecting a diverse mix of taxable and tax-exempt securities.

• $2.302 billion equity portfolio was 25.9 percent of invested assets and included $309 million in pretax unrealized gains at March 31, 2009.

• Application of new investment parameters led to financial sector holdings at 2.9 percent of publicly traded common stocks portfolio as of March 31, 2009, down from 12.4 percent at year-end 2008.

• $3.105 billion of statutory surplus for the property casualty insurance group at March 31, 2009, compared with $3.360 billion at December 31, 2008.

• Value creation ratio decreased due to the decline in the market value of the investment portfolio.

For additional information or to register for this morning’s conference call webcast, please visit www.cinfin.com/investors.

Cincinnati Financial Corporation offers business, home and auto insurance, our main business, through The Cincinnati Insurance Company and its two standard market property casualty companies. The same local independent insurance agencies that market those policies may offer products of our other subsidiaries, including life and disability income insurance, annuities and surplus lines property and casualty insurance. For additional information about the company, please visit www.cinfin.com.

Mailing Address:	Street Address:
P.O. Box 145496	6200 South Gilmore Road
Cincinnati, Ohio 45250-5496	Fairfield, Ohio 45014-5141

7

Safe Harbor Statement

This is our “Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995. Our business is subject to certain risks and uncertainties that may cause actual results to differ materially from those suggested by the forward-looking statements in this report. Some of those risks and uncertainties are discussed in our 2008 Annual Report on Form 10-K, Item 1A, Risk Factors, Page 25. Although we often review or update our forward-looking statements when events warrant, we caution our readers that we undertake no obligation to do so.

Factors that could cause or contribute to such differences include, but are not limited to:

• Further decline in overall stock market values negatively affecting the company’s equity portfolio and book value

• Events, such as the credit crisis, followed by prolonged periods of economic instability, that lead to:

°	Significant or prolonged decline in the value of a particular security or group of securities and impairment of the asset(s)
°	Significant decline in investment income due to reduced or eliminated dividend payouts from a particular security or group of securities
°	Significant rise in losses from surety and director and officer policies written for financial institutions

• Prolonged low interest rate environment or other factors that limit the company’s ability to generate growth in investment income or interest rate fluctuations that result in declining values of fixed-maturity investments, including declines in accounts in which we hold bank-owned life insurance contract assets

• Recession or other economic conditions resulting in lower demand for insurance products or increased payment delinquencies

• Inadequate estimates or assumptions used for critical accounting estimates

• Increased competition that could result in a significant reduction in the company’s premium volume

• Delays in adoption and implementation of underwriting and pricing methods that could increase our pricing accuracy, underwriting profit and competitiveness

• Inability to defer policy acquisition costs for our personal lines segment if pricing and loss trends would lead management to conclude this segment could not achieve sustainable profitability

• Changing consumer insurance-buying habits and consolidation of independent insurance agencies that could alter our competitive advantages

• Unusually high levels of catastrophe losses due to risk concentrations, changes in weather patterns, environmental events, terrorism incidents or other causes

• Increased frequency and/or severity of claims

• Ability to obtain adequate reinsurance on acceptable terms, amount of reinsurance purchased, financial strength of reinsurers and the potential for non-payment or delay in payment by reinsurers

• Events or conditions that could weaken or harm the company’s relationships with its independent agencies and hamper opportunities to add new agencies, resulting in limitations on the company’s opportunities for growth, such as:

°	Multi-notch downgrades of the company’s financial strength ratings
°	Concerns that doing business with the company is too difficult
°	Perceptions that the company’s level of service, particularly claims service, is no longer a distinguishing characteristic in the marketplace
°	Delays or inadequacies in the development, implementation, performance and benefits of technology projects and enhancements

• Actions of insurance departments, state attorneys general or other regulatory agencies, including a change to a federal system of regulation from a state-based system, that:

°	Restrict our ability to exit or reduce writings of unprofitable coverages or lines of business
°	Place the insurance industry under greater regulatory scrutiny or result in new statutes, rules and regulations
°	Increase our expenses
°	Add assessments for guaranty funds, other insurance related assessments or mandatory reinsurance arrangements; or that impair our ability to recover such assessments through future surcharges or other rate changes
°	Limit our ability to set fair, adequate and reasonable rates
°	Place us at a disadvantage in the marketplace
°	Restrict our ability to execute our business model, including the way we compensate agents

• Adverse outcomes from litigation or administrative proceedings

• Events or actions, including unauthorized intentional circumvention of controls, that reduce the company’s future ability to maintain effective internal control over financial reporting under the Sarbanes-Oxley Act of 2002

• Unforeseen departure of certain executive officers or other key employees due to retirement, health or other causes that could interrupt progress toward important strategic goals or diminish the effectiveness of certain longstanding relationships with insurance agents and others

• Events, such as an epidemic, natural catastrophe or terrorism, that could hamper our ability to assemble our workforce at our headquarters location

• Further, the company’s insurance businesses are subject to the effects of changing social, economic and regulatory environments. Public and regulatory initiatives have included efforts to adversely influence and restrict premium rates, restrict the ability to cancel policies, impose underwriting standards and expand overall regulation. The company also is subject to public and regulatory initiatives that can affect the market value for its common stock, such as recent measures affecting corporate financial reporting and governance. The ultimate changes and eventual effects, if any, of these initiatives are uncertain.

* * *

8

Cincinnati Financial Corporation
Condensed Balance Sheets and Statements of Income (unaudited)

	March 31,			December 31,
(Dollars in millions)	2009			2008
Assets
Investments	$	8,876		$	8,890
Cash and cash equivalents		515			1,009
Premiums receivable		1,085			1,059
Reinsurance receivable		735			759
Deferred income tax		275			126
Other assets		1,622			1,526
Total assets	$	13,108		$	13,369
Liabilities
Insurance reserves	$	5,666		$	5,637
Unearned premiums		1,582			1,544
6.125% senior notes due 2034		371			371
6.9% senior debentures due 2028		28			28
6.92% senior debentures due 2028		391			392
Other liabilities		1,189			1,215
Total liabilities		9,227			9,187
Shareholders’ Equity
Common stock and paid-in capital		1,465			1,462
Retained earnings		3,551			3,579
Accumulated other comprehensive income		69			347
Treasury stock		(1,204	)		(1,206	)
Total shareholders’ equity		3,881			4,182
Total liabilities and shareholders’ equity	$	13,108		$	13,369

	Three months ended March 31,
(Dollars in millions except per share data)	2009			2008
Revenues
Earned premiums	$	765		$	780
Investment income, net of expenses		124			152
Realized investment gains and losses		(2	)		(232	)
Other income		3			4
Total revenues		890			704
Benefits and Expenses
Insurance losses and policyholder benefits		581			536
Commissions		152			150
Other operating expenses		123			118
Total benefits and expenses		856			804
Income Before Income Taxes		34			(100	)
Benefit for Income Taxes		(1	)		(58	)
Net Income (Loss)	$	35		$	(42	)
Per Common Share:
Net income (loss)—basic	$	0.22		$	(0.26	)
Net income (loss)—diluted	$	0.22		$	(0.26	)

* * *

9

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

(See attached tables for 2009 reconciliations; prior-period reconciliations available at www.cinfin.com/investors.)

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. Management uses these measures when analyzing both GAAP and non-GAAP measures may improve its understanding of trends in the underlying business and help 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 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.

10

Cincinnati Financial Corporation
Net Income Reconciliation

	Three months ended
(In millions except per share data)	March 31, 2009
Net income	$	35
Net realized investment gains and losses		(2	)
Operating income		37
Less catastrophe losses		(34	)
Operating income before catastrophe losses	$	71
Diluted per share data:
Net income	$	0.22
Net realized investment gains and losses		(0.01	)
Operating income		0.23
Less catastrophe losses		(0.21	)
Operating income before catastrophe losses	$	0.44

Property Casualty Reconciliation

	Three months ended March 31, 2009
(Dollars in millions)	Consolidated*			Commercial			Personal
Premiums:
Adjusted written premiums — statutory	$	755		$	603		$	145
Written premium adjustment		23			23			0
Reported written premiums — statutory		778			626			145
Unearned premiums change		(46	)		(69	)		26
Earned premiums	$	732		$	557		$	171
Statutory combined ratio:
Statutory combined ratio		105.1	%		99.0	%		123.9	%
Contribution from catastrophe losses		7.2			2.5			22.6
Statutory combined ratio excluding catastrophe losses		97.9	%		96.5	%		101.3	%
Commission expense ratio		17.7	%		16.4	%		22.5	%
Other expense ratio		13.2			12.8			12.9
Statutory expense ratio		30.9	%		29.2	%		35.4	%
GAAP combined ratio:		107.5	%		102.2	%		120.7	%
Contribution from catastrophe losses		7.2			2.5			22.6
GAAP combined ratio excluding catastrophe losses		100.3	%		99.7	%		98.1	%

Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.

* Consolidated property casualty data includes results from our excess and surplus line of business.

11

EX-99.2

Exhibit 99.2

Cincinnati Financial Corporation
Supplemental Financial Data
March 31, 2009
First Quarter

6200 South Gilmore Road
Fairfield, Ohio 45014-5141
www.cinfin.com

Investor Contact:	Media Contact:	Shareholder Contact:
Dennis E. McDaniel	Joan O. Shevchik	Jerry L. Litton
(513) 870-2768	(513) 603-5323	(513) 870-2639

				Standard &
	A.M. Best	Fitch	Moody’s	Poor’s
Cincinnati Financial Corporation
Corporate Debt	a	A	A3	BBB+
The Cincinnati Insurance Companies
Insurer Financial Strength
Property Casualty Group
Standard Market Subsidiaries:	A+	—	A1	A+
The Cincinnati Insurance Company	A+	AA-	A1	A+
The Cincinnati Indemnity Company	A+	AA-	A1	A+
The Cincinnati Casualty Company	A+	AA-	A1	A+
Excess and Surplus Lines Subsidiary:
The Cincinnati Specialty Underwriters Insurance Company	A	—	—	—
The Cincinnati Life Insurance Company	A	AA-	—	A+

Ratings are as of April 29, 2009, under continuous review and subject to change and/or affirmation. For the current ratings, select Financial Strength Ratings on www.cinfin.com.

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 our periodic filings with the U.S. Securities and Exchange Commission. The results of operations for interim periods may not be indicative of results to be expected for the full year.

Cincinnati Financial Corporation
Supplemental Financial Data
First Quarter 2009

	Page
Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures	3
Consolidated
Quick Reference	4
CFC Insurance and Subsidiaries Consolidation — Three Months Ended March 31, 2009	5
Quarterly Net Income Reconciliation	6
CFC Insurance Subsidiaries — Selected Balance Sheet Data	7
Consolidated Property Casualty Insurance Operations
(Includes Cincinnati Specialty Underwriters Insurance Company (CSU))
Statutory Statements of Income	8
Statutory Quarterly Analysis — Consolidated	9
Statutory Quarterly Analysis — Commercial Lines	10
Statutory Quarterly Analysis — Personal Lines	11
Direct Written Premiums by Line of Business and State	12
Quarterly Detailed Loss Analysis	13
Reconciliation Data
Quarterly Property Casualty Data — Consolidated	14
Quarterly Property Casualty Data — Commercial Lines	15
Quarterly Property Casualty Data — Personal Lines	16
Life Insurance Operations
Statutory Statements of Income	17

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. Management uses these measures when analyzing both GAAP and non-GAAP measures may improve its understanding of trends in the underlying business and help 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 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.

2009 First-quarter Supplement

3

Cincinnati Financial Corporation
Quick Reference – First Quarter 2009
(all data shown is for the three months ended or as of March 31, 2009)

(Based on reported data — see Pages 14-16 for adjusted data)

				Year over year
	3/31/2009			change %
Revenues:
Commercial lines net written premiums	$	626			0.1
Personal lines net written premiums		145			(3.5	)
Excess & surplus lines net written premiums		7		nm
Property casualty net written premiums		778			0.3
Commercial lines net earned premiums		557			(3.1	)
Personal lines net earned premiums		171			(3.0	)
Excess & surplus lines net earned premiums		4		nm
Property casualty net earned premiums		732			(2.5	)
Life and accident and health net earned premiums		33			12.5
Investment income		124			(18.7	)
Realized gains on investments		(2	)		98.9
Other income		3			(18.0	)
Total revenues		890			26.5
Income:
Operating income	$	37			(65.7	)
Net realized investment gains and losses		(2	)		98.9
Net income		35		nm
Per share (diluted):
Operating income	$	0.23			(65.2	)
Net realized investment gains and losses		(0.01	)		98.9
Net income		0.22			nm
Book value		23.88			(28.5	)
Weighted average shares — diluted		162,663,625			(1.5	)
				Year over year
	3/31/2009			change %
Benefits and expenses:
Commercial lines loss and loss expenses	$	388			6.4
Personal lines loss and loss expenses		152			12.0
Excess & surplus lines loss and loss expenses		2		nm
Life and accident and health losses and policy benefits		39			9.0
Operating expenses		261			2.1
Interest expenses		14			10.2
Total expenses		856			6.5
Net income before income taxes		34			133.7
Total income tax benefit		(1	)		97.4
Effective tax rate		(4.54	)	nm
Ratios:
Commercial lines GAAP combined ratio		102.2	%
Personal lines GAAP combined ratio		120.7
Property casualty GAAP combined ratio		107.5
Commercial lines STAT combined ratio		99.0	%
Personal lines STAT combined ratio		123.9
Property casualty STAT combined ratio		105.1
Return on equity (annualized)		3.5	%
Balance Sheet:
Fixed maturity investments	$	6,479
Equity securities		2,302
Short-term investments		13
Other invested assets		82
Total invested assets	$	8,876
Loss and loss expense reserves	$	4,093
Total debt		839
Shareholders’ equity		3,881

2009 First-quarter Supplement

4

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Three Months Ended March 31, 2009

(Dollars in millions)	CFC			CONSOL P&C			CLIC			CFC-I		CINFIN			C-SUPR		ELIM			Total
Revenues:
Premiums earned:
Property Casualty	$	—		$	774		$	—		$	—	$	—		$	—	$	—		$	774
Life		—			—			43			—		—			—		—			43
Accident health		—			—			2			—		—			—		—			2
Premiums ceded		—			(42	)		(12	)		—		—			—		—			(54	)
Total earned premium		—			732			33			—		—			—		—			765
Investment income		9			85			30			—		—			—		—			124
Realized gain on investments		81			(55	)		(27	)		—		(1	)		—		—			(2	)
Other income		3			1			1			2		—			1		(5	)		3
Total revenues	$	93		$	763		$	37		$	2	$	(1	)	$	1	$	(5	)	$	890
Benefits & expenses:
Losses & policy benefits	$	—		$	536		$	50		$	—	$	—		$	—	$	(6	)	$	580
Reinsurance recoveries		—			7			(11	)		—		—			—		5			1
Commissions		—			146			7			—		—			—		(1	)		152
Other operating expenses		7			86			7			1		—			1		(3	)		99
Interest expense		13			—			—			1		—			—		—			14
Taxes, licenses & fees		—			16			1			—		—			—		—			17
Incr deferred acq expenses		—			(4	)		(3	)		—		—			—		—			(7	)
Total expenses	$	20		$	787		$	51		$	2	$	—		$	1	$	(5	)	$	856
Income (loss) before income taxes	$	73		$	(24	)	$	(14	)	$	—	$	(1	)	$	—	$	—		$	34
Provision for income taxes:
Current operating income	$	—		$	1		$	(3	)	$	—	$	—		$	—	$	—		$	(2	)
Capital gains/losses		28			(19	)		(9	)		—		—			—		—			—
Deferred		(4	)		(2	)		7			—		—			—		—			1
Total income tax	$	24		$	(20	)	$	(5	)	$	—	$	—		$	—	$	—		$	(1	)
Operating income (loss)	$	(4	)	$	32		$	9		$	—	$	—		$	—	$	—		$	37
Net income (loss) — current year	$	49		$	(4	)	$	(9	)	$	—	$	(1	)	$	—	$	—		$	35
Net (loss) income — prior year	$	(40	)	$	(4	)	$	2		$	—	$	—		$	—	$	—		$	(42	)

* Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.

2009 First-quarter Supplement

5

Cincinnati Financial Corporation
Quarterly Net Income Reconciliation

				Three months ended														Six months ended				Nine months ended				Twelve months ended
(Dollars in millions except per share data)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08		9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Net income (loss)				$	35		$	161	$	247		$	63		$	(42	)		$	21			$	268			$	429
Net realized investment gains and losses					(2	)		69		173			(6	)		(151	)			(157	)			16				85
Operating income					37			92		74			69			109				178				252				344
Less catastrophe losses					(34	)		10		(41	)		(74	)		(28	)			(101	)			(142	)			(132	)
Operating income before catastrophe losses				$	71		$	82	$	115		$	143		$	137			$	279			$	394			$	476
Diluted per share data
Net income (loss)				$	0.22		$	0.99	$	1.50		$	0.38		$	(0.26	)		$	0.13			$	1.64			$	2.62
Net realized investment gains and losses					(0.01	)		0.42		1.05			(0.04	)		(0.92	)			(0.95	)			0.10				0.52
Operating income					0.23			0.57		0.45			0.42			0.66				1.08				1.54				2.10
Less catastrophe losses					(0.21	)		0.06		(0.25	)		(0.45	)		(0.17	)			(0.62	)			(0.87	)			(0.81	)
Operating income before catastrophe losses				$	0.44		$	0.51	$	0.70		$	0.87		$	0.83			$	1.70			$	2.41			$	2.91

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.

2009 First-quarter Supplement

6

Cincinnati Financial Corporation Insurance Subsidiaries
Selected Balance Sheet Data

(Dollars in millions)	12/31/2009		9/30/2009		6/30/2009			3/31/2009			12/31/2008			9/30/2008			6/30/2008			3/31/2008
Cincinnati Insurance Consolidated (including CSU)
Fixed maturities (fair value)								$	4,804		$	4,309		$	4,183		$	4,304		$	4,351
Equities (fair value)									1,986			2,432			3,210			3,537			4,226
Short-term investments (fair value)									13			19			162			—			51
Fixed maturities — pretax net unrealized gain (loss)									(36	)		(108	)		(132	)		(33	)		39
Equities — pretax net unrealized gain (loss)									347			627			1,012			1,227			1,831
Loss and loss expense reserves — STAT									3,555			3,494			3,507			3,534			3,448
Equity GAAP									3,512			3,667			3,947			4,011			4,498
Surplus — STAT									3,105			3,360			3,687			3,650			4,027
The Cincinnati Life Insurance Company
Fixed maturities (fair value)								$	1,534		$	1,467		$	1,483		$	1,551		$	1,534
Equities (fair value)									89			122			200			265			307
Short-term investments (fair value)									—			—			—			—			—
Fixed maturities — pretax net unrealized gain (loss)									(94	)		(115	)		(79	)		(35	)		—
Equities — pretax net unrealized gain (loss)									(27	)		(7	)		61			92			127
Equity — GAAP									454			471			530			617			661
Surplus — STAT									254			290			371			420			453
	12/31/2007		9/30/2007		6/30/2007			3/31/2007			12/31/2006			9/30/2006			6/30/2006			3/31/2006
Cincinnati Insurance Consolidated (including CSU)
Fixed maturities (fair value)	$	4,295	$	4,366	$	4,367		$	4,362		$	4,296		$	4,258		$	4,160		$	4,189
Equities (fair value)		4,595		5,201		5,411			5,472			5,494			5,134			4,827			4,946
Short-term investments (fair value)		50		19		72			3			92			—			—			126
Fixed maturities — pretax net unrealized gain (loss)		58		23		(30	)		44			47			51			(55	)		2
Equities — pretax net unrealized gain (loss)		2,077		2,657		2,917			3,017			3,166			2,859			2,621			2,758
Loss and loss expense reserves — STAT		3,398		3,461		3,374			3,373			3,356			3,314			3,237			3,169
Equity GAAP		4,784		5,282		5,404			5,272			5,261			5,073			4,702			4,730
Surplus — STAT		4,307		4,782		4,937			4,741			4,723			4,607			4,342			4,334
The Cincinnati Life Insurance Company
Fixed maturities (fair value)	$	1,465	$	1,475	$	1,415		$	1,384		$	1,381		$	1,399		$	1,344		$	1,338
Equities (fair value)		371		459		478			539			532			494			458			470
Short-term investments (fair value)		51		18		29			16			3			—			—			20
Fixed maturities — pretax net unrealized gain (loss)		6		4		(4	)		20			15			17			(17	)		6
Equities — pretax net unrealized gain (loss)		162		225		254			305			307			271			238			256
Equity — GAAP		685		724		730			739			719			688			652			666
Surplus — STAT		477		485		491			483			479			461			459			470

2009 First-quarter Supplement

7

Consolidated Cincinnati Insurance Companies
Statutory Statements of Income

	For the Three Months Ended March 31,
(Dollars in millions)	2009			2008			Change			% Change
Underwriting income
Net premiums written	$	778		$	776		$	2			0.3
Unearned premiums increase		46			25			21			89.3
Earned premiums		732			751			(19	)		(2.5	)
Losses incurred	$	457		$	418		$	39			9.3
Allocated loss expenses incurred		36			37			(1	)		(3.1	)
Unallocated loss expenses incurred		50			46			4			8.5
Other underwriting expenses incurred		236			233			3			1.3
Workers compensation dividend incurred		4			5			(1	)		(18.1	)
Total underwriting deductions	$	783		$	739		$	44			5.9
Net underwriting (loss) gain	$	(51	)	$	12		$	(63	)	nm
Investment income
Gross investment income earned	$	86		$	95		$	(9	)		(9.7	)
Net investment income earned		85			94			(9	)		(9.8	)
Net realized capital gains		(34	)		(91	)		57			(62.0	)
Net investment gains (excl. subs)	$	51		$	3		$	48		nm
Dividend from subsidiary		20			—			20		nm
Net investment gains (net of tax)	$	71		$	3		$	68		nm
Other income	$	1		$	1		$	—			(22.8	)
Net income before federal income taxes	$	21		$	16		$	5			31.5
Federal and foreign income taxes incurred	$	(1	)	$	68		$	(69	)	nm
Net income (loss) (statutory)	$	22		$	(52	)	$	74		nm

*	Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
*	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.

2009 First-quarter Supplement

8

Consolidated Cincinnati Insurance Companies — All Lines
Statutory Quarterly Analysis
(Based on reported data — see Page 14 for adjusted data)

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Net premiums written				$	778		$	717		$	727		$	790		$	776			$	1,566			$	2,292			$	3,010
Net premiums earned				$	732		$	747		$	751		$	761		$	751			$	1,512			$	2,263			$	3,010
Losses paid				$	401		$	383		$	467		$	396		$	383			$	778			$	1,245			$	1,629
Loss reserve change					56			(1	)		(11	)		83			35				119				108				107
Total losses incurred				$	457		$	382		$	456		$	479		$	418			$	897			$	1,353			$	1,736
Allocated loss expense paid					30			39			35			32			25				58				93				131
Allocated loss expense reserve change					6			(12	)		(16	)		1			12				12				(4	)			(16	)
Total allocated loss expense incurred				$	36		$	27		$	19		$	33		$	37			$	70			$	89			$	115
Unallocated loss expense paid					48			62			47			43			43				86				133				195
Unallocated loss expense reserve change					2			3			1			3			3				6				7				10
Total unallocated loss expense incurred				$	50		$	65		$	48		$	46		$	46			$	92			$	140			$	205
Underwriting expenses incurred					240			264			241			223			238				460				701				971
Underwriting (loss) profit				$	(51	)	$	9		$	(13	)	$	(20	)	$	12			$	(7	)		$	(20	)		$	(17	)
Ratio Data
Loss ratio					62.5	%		51.2	%		60.8	%		63.0	%		55.6	%			59.3	%			59.8	%			57.7	%
Allocated loss expense ratio					4.9			3.5			2.5			4.3			5.0				4.6				3.9				3.8
Unallocated loss expense ratio					6.8			8.7			6.4			6.1			6.1				6.1				6.2				6.8
Net underwriting expense ratio					30.9			36.8			33.1			28.1			30.6				29.3				30.6				32.1
Statutory combined ratio					105.1	%		100.2	%		102.8	%		101.5	%		97.3	%			99.3	%			100.5	%			100.4	%
Statutory combined ratio excluding catastrophes					97.9	%		102.3	%		94.4	%		86.6	%		91.5	%			89.0	%			90.8	%			93.6	%
Loss Detail
New losses greater than $4,000,000				$	9		$	10		$	10		$	18		$	—			$	26			$	36			$	46
New losses $2,000,000-$4,000,000					17			19			17			25			22				39				56				75
New losses $1,000,000-$2,000,000					11			22			33			17			22				39				72				94
New losses $750,000-$1,000,000					11			12			14			13			9				21				35				48
New losses $500,000-$750,000					16			16			16			13			11				24				40				56
New losses $250,000-$500,000					35			35			33			27			29				57				90				124
Case reserve development above $250,000					56			82			59			54			49				103				162				245
Large losses subtotal				$	155		$	196		$	182		$	167		$	142			$	309			$	491			$	688
IBNR incurred					18			(16	)		(6	)		(6	)		6				—				(6	)			(22	)
Catastrophe losses incurred					53			(16	)		63			113			43				156				219				203
Remaining incurred					231			218			217			205			227				432				649				867
Total losses incurred				$	457		$	382		$	456		$	479		$	418			$	897			$	1,353			$	1,736
Loss Ratio
New losses greater than $4,000,000					1.3	%		1.3	%		1.3	%		2.4	%		—	%			1.7	%			1.6	%			1.5	%
New losses $2,000,000-$4,000,000					2.4			2.5			2.2			3.3			2.9				2.6				2.5				2.5
New losses $1,000,000-$2,000,000					1.4			2.9			4.4			2.2			2.9				2.6				3.0				3.1
New losses $750,000-$1,000,000					1.5			1.6			1.9			1.7			1.1				1.4				1.6				1.6
New losses $500,000-$750,000					2.1			2.2			2.1			1.7			1.5				1.6				1.8				1.9
New losses $250,000-$500,000					4.8			4.6			4.4			3.6			3.9				3.7				4.0				4.1
Case reserve development above $250,000					7.6			11.0			7.9			7.1			6.5				6.9				7.2				8.1
Large losses subtotal					21.1	%		26.1	%		24.2	%		22.0	%		18.9	%			20.5	%			21.7	%			22.8	%
IBNR incurred					2.5			(2.1	)		(0.8	)		(0.9	)		0.8				—				(0.3	)			(0.7	)
Total catastrophe losses incurred					7.2			(2.1	)		8.4			14.9			5.7				10.3				9.7				6.8
Remaining incurred					31.7			29.3			29.0			27.0			30.2				28.5				28.7				28.8
Total loss ratio					62.5	%		51.2	%		60.8	%		63.0	%		55.6	%			59.3	%			59.8	%			57.7	%
Loss Claim Count
New losses greater than $4,000,000					2			2			2			5			2				7				9				11
New losses $2,000,000-$4,000,000					7			7			6			8			5				13				19				26
New losses $1,000,000-$2,000,000					9			17			27			13			19				32				59				76
New losses $750,000-$1,000,000					13			14			17			15			10				25				42				56
New losses $500,000-$750,000					28			28			28			23			21				44				72				100
New losses $250,000-$500,000					108			105			100			84			87				171				271				376
Case reserve development above $250,000					89			146			102			84			81				165				267				413
Large losses total					256			319			282			232			225				457				739				1,058

*	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.

2009 First-quarter Supplement

9

Consolidated Cincinnati Insurance Companies — Commercial Lines
Statutory Quarterly Analysis
(Based on reported data — see Page 15 for adjusted data)

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Net premiums written				$	626		$	552		$	538		$	597		$	625			$	1,222			$	1,759			$	2,311
Net premiums earned				$	557		$	573		$	582		$	586		$	574			$	1,161			$	1,743			$	2,316
Losses paid				$	271		$	262		$	326		$	280		$	266			$	546			$	871			$	1,133
Loss reserve change					50			26			(3	)		67			32				100				97				123
Total losses incurred				$	321		$	288		$	323		$	347		$	298			$	646			$	968			$	1,256
Allocated loss expense paid					26			35			31			28			22				50				82				116
Allocated loss expense reserve change					6			(13	)		(15	)		1			12				13				(3	)			(16	)
Total allocated loss expense incurred				$	32		$	22		$	16		$	29		$	34			$	63			$	79			$	100
Unallocated loss expense paid					34			42			34			31			30				61				95				137
Unallocated loss expense reserve change					2			7			(1	)		1			3				4				4				10
Total unallocated loss expense incurred				$	36		$	49		$	33		$	32		$	33			$	65			$	99			$	147
Underwriting expenses incurred					183			204			180			166			186				352				532				742
Underwriting (loss) profit				$	(15	)	$	10		$	30		$	12		$	23			$	35			$	65			$	71
Ratio Data
Loss ratio					57.6	%		50.3	%		55.4	%		59.2	%		52.0	%			55.6	%			55.5	%			54.2	%
Allocated loss expense ratio					5.8			3.8			2.7			5.0			5.9				5.4				4.5				4.3
Unallocated loss expense ratio					6.4			8.4			5.7			5.5			5.7				5.7				5.7				6.4
Net underwriting expense ratio					29.2			36.5			33.5			27.8			29.7				28.8				30.2				31.7
Statutory combined ratio					99.0	%		99.0	%		97.3	%		97.5	%		93.3	%			95.5	%			95.9	%			96.6	%
Statutory combined ratio excluding catastrophes					96.5	%		100.5	%		93.3	%		86.2	%		89.4	%			87.8	%			89.5	%			92.2	%
Loss Detail
New losses greater than $4,000,000				$	9		$	10		$	5		$	18		$	—			$	26			$	31			$	41
New losses $2,000,000-$4,000,000					17			19			17			25			22				40				56				75
New losses $1,000,000-$2,000,000					9			18			26			15			18				33				60				78
New losses $750,000-$1,000,000					9			10			12			11			8				19				31				41
New losses $500,000-$750,000					12			11			14			12			9				20				34				45
New losses $250,000-$500,000					26			28			25			22			23				45				70				98
Case reserve development above $250,000					51			76			57			51			44				96				153				229
Large losses subtotal				$	133		$	172		$	156		$	154		$	124			$	279			$	435			$	607
IBNR incurred					18			(12	)		(7	)		(8	)		6				(2	)			(10	)			(22	)
Catastrophe losses incurred					14			(9	)		23			66			22				89				112				103
Remaining incurred					156			137			151			135			146				280				431				568
Total losses incurred				$	321		$	288		$	323		$	347		$	298			$	646			$	968			$	1,256
Loss Ratio
New losses greater than $4,000,000					1.7	%		1.8	%		0.9	%		3.1	%		—				2.3	%			1.8	%			1.8	%
New losses $2,000,000-$4,000,000					3.1			3.2			2.9			4.3			3.9				3.4				3.2				3.2
New losses $1,000,000-$2,000,000					1.6			3.1			4.5			2.5			3.2				2.9				3.4				3.4
New losses $750,000-$1,000,000					1.6			1.7			2.1			1.9			1.3				1.6				1.8				1.8
New losses $500,000-$750,000					2.1			2.0			2.3			2.0			1.5				1.7				1.9				2.0
New losses $250,000-$500,000					4.7			4.9			4.3			3.8			4.0				3.9				4.0				4.2
Case reserve development above $250,000					9.1			13.2			9.8			8.7			7.8				8.3				8.8				9.9
Large losses subtotal					23.9	%		29.9	%		26.8	%		26.3	%		21.7	%			24.0	%			24.9	%			26.3	%
IBNR incurred					3.3			(2.1	)		(1.3	)		(1.4	)		1.0				(0.2	)			(0.6	)			(0.9	)
Total catastrophe losses incurred					2.5			(1.5	)		4.0			11.3			3.9				7.7				6.4				4.5
Remaining incurred					27.9			24.0			25.9			23.0			25.4				24.2				24.8				24.3
Total loss ratio					57.6	%		50.3	%		55.4	%		59.2	%		52.0	%			55.7	%			55.5	%			54.2	%
Loss Claim Count
New losses greater than $4,000,000					2			2			1			4			2				4				7				9
New losses $2,000,000-$4,000,000					7			7			6			9			5				14				20				27
New losses $1,000,000-$2,000,000					8			14			21			12			16				22				49				63
New losses $750,000-$1,000,000					10			11			15			13			9				21				37				48
New losses $500,000-$750,000					21			19			24			21			16				40				61				80
New losses $250,000-$500,000					81			85			74			67			68				166				209				294
Case reserve development above $250,000					77			129			95			76			74				206				245				374
Large losses total					206			267			236			202			190				473				628				895

*	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.

2009 First-quarter Supplement

10

Consolidated Cincinnati Insurance Companies — Personal Lines
Statutory Quarterly Analysis
(Based on reported data — see Page 16 for adjusted data)

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Net premiums written				$	145		$	160		$	184		$	191		$	150			$	341			$	525			$	685
Net premiums earned				$	171		$	171		$	167		$	174		$	177			$	351			$	518			$	689
Losses paid				$	130		$	123		$	141		$	116		$	116			$	232			$	373			$	496
Loss reserve change					4			(31	)		(8	)		16			3				19				11				(20	)
Total losses incurred				$	134		$	92		$	133		$	132		$	119			$	251			$	384			$	476
Allocated loss expense paid					3			4			4			4			3				7				11				15
Allocated loss expense reserve change					—			1			(1	)		(1	)		—				—				(1	)			(1	)
Total allocated loss expense incurred				$	3		$	5		$	3		$	3		$	3			$	7			$	10			$	14
Unallocated loss expense paid					15			19			13			13			13				25				38				57
Unallocated loss expense reserve change					—			(3	)		1			1			1				2				3				1
Total unallocated loss expense incurred				$	15		$	16		$	14		$	14		$	14			$	27			$	41			$	58
Underwriting expenses incurred					51			58			56			55			51				106				162				224
Underwriting loss				$	(32	)	$	—		$	(39	)	$	(30	)	$	(10	)		$	(40	)		$	(79	)		$	(83	)
Ratio Data
Loss ratio					78.3	%		53.6	%		79.7	%		75.6	%		67.4	%			71.5	%			74.1	%			69.0	%
Allocated loss expense ratio					1.9			2.7			1.8			1.9			1.9				1.9				1.9				2.1
Unallocated loss expense ratio					8.3			9.6			8.7			7.9			7.4				7.6				8.0				8.3
Net underwriting expense ratio					35.4			36.2			30.4			28.9			34.1				31.2				30.9				32.2
Statutory combined ratio					123.9	%		102.1	%		120.6	%		114.3	%		110.8	%			112.2	%			114.9	%			111.6	%
Statutory combined ratio excluding catastrophes					101.3	%		106.2	%		96.8	%		87.3	%		99.2	%			92.9	%			94.2	%			97.1	%
Loss Detail
New losses greater than $4,000,000				$	—		$	—		$	5		$	—		$	—			$	—			$	5			$	5
New losses $2,000,000-$4,000,000					—			—			—			—			—				—				—				—
New losses $1,000,000-$2,000,000					1			4			6			2			4				5				12				16
New losses $750,000-$1,000,000					2			3			2			2			1				3				4				7
New losses $500,000-$750,000					4			5			2			1			3				4				6				11
New losses $250,000-$500,000					9			7			8			5			6				12				20				26
Case reserve development above $250,000					5			6			2			3			4				7				9				16
Large losses subtotal				$	21		$	25		$	25		$	13		$	18			$	31			$	56			$	81
IBNR incurred					(1	)		(4	)		2			2			—				2				4				—
Catastrophe losses incurred					39			(7	)		40			47			21				67				107				100
Remaining incurred					75			78			66			70			80				151				217				295
Total losses incurred				$	134		$	92		$	133		$	132		$	119			$	251			$	384			$	476
Loss Ratio
New losses greater than $4,000,000					—	%		—	%		3.0	%		—	%		—	%			—	%			1.0	%			0.7	%
New losses $2,000,000-$4,000,000					—			—			—			—			—				—				—				—
New losses $1,000,000-$2,000,000					0.8			2.4			3.8			1.1			2.1				1.6				2.3				2.3
New losses $750,000-$1,000,000					1.4			1.5			1.0			1.1			0.4				0.8				0.8				1.0
New losses $500,000-$750,000					2.2			2.9			1.3			0.7			1.5				1.1				1.2				1.6
New losses $250,000-$500,000					5.0			3.9			4.8			3.0			3.6				3.3				3.8				3.8
Case reserve development above $250,000					3.0			3.8			1.4			1.5			2.5				1.9				1.7				2.3
Large losses subtotal					12.4	%		14.5	%		15.3	%		7.5	%		10.0	%			8.7	%			10.8	%			11.7	%
IBNR incurred					(0.6	)		(2.3	)		1.0			0.9			0.2				0.6				0.7				—
Total catastrophe losses incurred					22.6			(4.1	)		23.8			27.0			11.6				19.3				20.7				14.5
Remaining incurred					43.9			45.5			39.6			40.2			45.6				42.9				41.9				42.8
Total loss ratio					78.3	%		53.6	%		79.7	%		75.6	%		67.4	%			71.5	%			74.1	%			69.0	%
Loss Claim Count
New losses greater than $4,000,000					—			—			1			—			—				—				1				—
New losses $2,000,000-$4,000,000					—			—			—			—			—				—				—				3
New losses $1,000,000-$2,000,000					1			3			6			1			3				4				10				7
New losses $750,000-$1,000,000					3			3			2			2			1				6				5				14
New losses $500,000-$750,000					7			9			4			2			5				16				11				51
New losses $250,000-$500,000					27			20			26			17			19				47				62				28
Case reserve development above $250,000					12			17			7			8			7				29				22				79
Large losses total					50			52			46			30			35				102				111				182

*	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.

2009 First-quarter Supplement

11

Consolidated Cincinnati Insurance Companies
Agency Direct Written Premiums by Risk State by Line of Business for the Three Months Ended March 31, 2009

	Standard Market																				E&S						Standard Market						*Consolidated
	Commercial														Personal						Commercial		Consolidated				Commercial			Personal			Total
(Dollars in millions)	Comm		Comm		Comm		Workers’		Specialty		Surety &		Mach. &		Pers		Home		Other		Casualty		2009		2008		Change			Change			Change
Risk State	Casualty		Prop		Auto		Comp		Packages		Exec Risk		Equip		Auto		Owner		Personal		& Prop		Total		Total		%			%			%
AL	$	4.5	$	4.8	$	1.9	$	0.2	$	2.2	$	0.7	$	0.1	$	3.5	$	5.5	$	1.2	$	0.1	$	24.7	$	24.0		3.9			1.1			3.0
AZ		2.9		1.6		2.3		0.5		0.2		0.2		0.3		0.2		0.2		0.1		0.1		8.5		9.8		(18.4	)		399.5			(13.6	)
AR		2.5		2.4		1.7		1.4		1.0		0.4		0.1		0.7		0.8		0.2		0.1		11.3		11.1		0.7			3.0			2.3
DE		0.4		0.2		0.2		0.7		0.1		0.1		—		—		—		—		—		1.5		1.1		32.3			nm			32.3
FL		6.5		6.6		2.8		0.5		0.7		0.5		0.3		2.8		4.5		0.9		—		26.1		29.8		(15.0	)		(7.8	)		(12.9	)
GA		7.4		5.6		5.5		3.8		1.9		1.8		0.3		7.0		6.2		1.9		0.6		41.9		40.4		2.9			1.7			3.7
ID		2.4		1.3		1.5		0.1		0.3		0.3		0.1		—		—		—		—		5.9		5.9		(0.4	)	nm				0.3
IL		18.0		12.4		9.0		15.0		3.7		1.7		0.7		5.1		3.8		1.5		0.9		71.7		73.8		(4.2	)		(0.2	)		(2.8	)
IN		13.1		10.9		8.1		8.7		2.4		1.5		1.0		5.7		5.0		1.5		0.8		58.8		57.9		1.4			(2.6	)		1.5
IA		5.8		4.0		2.9		7.8		1.1		0.8		0.3		0.7		0.7		0.4		0.1		24.4		22.4		10.7			(12.1	)		9.1
KS		2.6		2.5		1.2		3.1		0.8		0.5		0.1		0.8		1.0		0.3		0.1		13.0		11.9		13.2			(9.5	)		9.2
KY		5.5		5.7		3.7		1.0		1.6		1.1		0.2		4.4		3.3		1.0		0.4		27.8		26.5		3.9			2.7			4.9
MD		4.1		1.5		2.9		2.7		0.4		0.2		0.1		0.1		0.4		0.1		0.2		12.7		11.5		8.0			21.9			10.0
MI		8.4		5.7		3.7		4.8		3.0		1.5		0.4		2.5		2.7		0.7		0.2		33.7		33.3		0.5			(1.6	)		0.8
MN		6.2		4.7		2.6		2.1		1.0		0.7		0.4		1.3		1.2		1.1		0.3		21.5		20.9		0.7			4.8			2.6
MO		5.4		5.2		3.1		3.6		1.6		0.8		0.3		0.6		0.9		0.2		0.4		22.1		23.8		(10.1	)		10.5			(7.2	)
MT		4.4		1.8		1.9		—		0.3		0.1		0.1		0.2		0.2		—		0.1		9.1		8.8		(2.3	)		872.5			2.6
NE		1.7		1.6		1.0		2.2		0.4		0.3		0.1		0.2		0.2		0.1		—		8.0		7.6		5.4			(3.8	)		5.2
NH		0.7		0.4		0.3		0.8		0.2		0.1		—		0.1		0.1		0.1		0.1		2.9		3.1		(7.7	)		(13.9	)		(6.8	)
NM		0.5		0.3		0.3		0.2		—		0.1		—		—		—		—		0.1		1.4		0.4		218.0			nm			237.7
NY		7.4		2.1		2.8		0.8		0.3		0.3		0.2		—		—		—		0.1		13.8		11.3		21.5			(25.5	)		22.0
NC		9.6		6.6		6.0		7.2		3.2		2.0		0.4		0.7		0.8		0.7		0.3		37.5		36.5		(0.9	)		76.6			2.6
ND		1.8		0.8		0.8		—		0.2		0.2		0.1		0.1		0.1		—		—		4.0		4.1		(2.3	)		(10.6	)		(2.5	)
OH		44.0		24.3		15.6		—		4.3		6.6		1.3		24.7		16.9		6.8		1.0		145.5		149.2		(0.9	)		(7.3	)		(2.7	)
PA		13.4		8.2		8.0		14.6		2.4		1.3		0.5		1.5		1.1		0.8		0.3		52.0		53.7		(3.4	)		(2.9	)		(2.9	)
SC		2.8		1.4		1.6		1.5		0.7		0.5		0.1		—		—		—		0.2		8.9		10.1		(14.9	)		80.8			(12.3	)
SD		1.2		0.8		0.5		1.4		0.1		0.1		—		—		—		—		—		4.2		4.3		(1.1	)		(0.2	)		(0.9	)
TN		6.9		5.3		3.7		3.0		2.5		0.9		0.3		1.9		1.9		0.7		0.2		27.3		26.7		2.0			(0.2	)		2.5
TX		0.3		0.4		0.3		0.4		—		0.1		—		—		—		—		—		1.4		1.8		(18.2	)	nm				(16.0	)
UT		3.2		1.4		1.7		—		0.2		0.4		0.2		0.2		0.1		—		0.4		7.8		6.4		10.4		nm				20.7
VT		1.3		1.2		0.8		1.5		0.3		0.2		0.1		0.1		0.2		0.1		0.1		5.8		5.3		9.2			(14.3	)		9.5
VA		9.7		6.7		6.0		5.6		1.3		1.7		0.3		1.9		1.5		0.6		0.2		35.5		36.2		(2.7	)		(1.1	)		(1.9	)
WA		0.4		0.2		0.2		—		—		—		—		—		—		—		—		0.8		0.2		474.2		nm				474.2
WV		2.1		1.2		1.3		0.2		0.7		0.2		0.1		—		0.1		0.1		0.2		6.2		6.0		0.9			(3.6	)		3.6
WI		8.1		5.1		3.6		9.6		1.1		0.8		0.5		1.7		1.4		0.7		0.2		32.6		31.7		4.0			(6.0	)		3.1
Alal l Other		1.2		0.9		1.0		1.1		—		0.5		—		—		0.1		—		—		4.7		4.2		16.8			(34.2	)		15.6
Total	$	216.2	$	145.4	$	110.4	$	106.1	$	40.2	$	28.8	$	8.7	$	68.7	$	60.7	$	21.8	$	7.6	$	814.8	$	811.7		(0.1	)		(1.9	)		0.4
Other Direct		—		0.5		—		1.0		—		—		—		—		1.1		—		—		2.5		4.4		(50.8	)		(23.4	)		(42.2	)
Total Direct	$	216.2	$	145.9	$	110.4	$	107.1	$	40.2	$	28.8	$	8.7	$	68.7	$	61.8	$	21.8	$	7.6	$	817.3	$	816.1		(0.3	)		(2.1	)		0.1

	Excess and Surplus direct premiums written were $7.6 million and $1.0 million for the quarter ended March 31, 2009 and 2008, respectively.
*	Consolidated change consists of commercial lines, personal lines and E&S.
	Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Percentage changes are calculated based on whole dollar amounts.

2009 First-quarter Supplement

12

Consolidated Cincinnati Insurance Companies
Quarterly Detailed Loss Analysis

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
All Lines
Loss and loss expenses:
Loss and loss expenses — current AY				$	482		$	610		$	564		$	532		$	467			$	999			$	1,565			$	2,174
Loss and loss expenses — prior AY’s					9			(120	)		(103	)		(87	)		(9	)			(95	)			(199	)			(318	)
Catastrophes — current AY					55			(17	)		62			113			47				160				222				205
Catastrophes — prior AY’s					(2	)		1			2			—			(4	)			(4	)			(2	)			(1	)
Total				$	544		$	474		$	525		$	558		$	501			$	1,060			$	1,586			$	2,060
Ratio to Earned Premiums
Loss and loss expenses :
Loss and loss expenses — current AY					65.8	%		81.9	%		75.1	%		69.9	%		62.2	%			66.1	%			69.2	%			72.2	%
Loss and loss expenses — prior AY’s					1.2			(16.2	)		(13.8	)		(11.4	)		(1.2	)			(6.3	)			(8.8	)			(10.6	)
Catastrophes — current AY					7.5			(2.2	)		8.3			14.8			6.2				10.6				9.8				6.8
Catastrophes — prior AY’s					(0.3	)		0.1			0.1			0.1			(0.5	)			(0.3	)			(0.2	)			—
Total					74.2	%		63.6	%		69.7	%		73.3	%		66.7	%			70.1	%			70.0	%			68.4	%
Commercial Lines
Loss and loss expenses:
Loss and loss expenses — current AY				$	363		$	464		$	436		$	416		$	354			$	770			$	1,207			$	1,671
Loss and loss expenses — prior AY’s					11			(97	)		(87	)		(74	)		(11	)			(84	)			(171	)			(268	)
Catastrophes — current AY					17			(9	)		23			66			25				92				115				106
Catastrophes — prior AY’s					(3	)		—			1			—			(3	)			(3	)			(2	)			(2	)
Total				$	388		$	358		$	373		$	408		$	365			$	775			$	1,149			$	1,507
Ratio to Earned Premiums
Loss and loss expenses:
Loss and loss expenses — current AY					65.2	%		80.9	%		75.0	%		71.1	%		61.6	%			66.3	%			69.2	%			72.2	%
Loss and loss expenses — prior AY’s					2.1			(17.0	)		(15.0	)		(12.6	)		(1.9	)			(7.1	)			(9.7	)			(11.6	)
Catastrophes — current AY					3.1			(1.5	)		4.0			11.2			4.5				8.0				6.7				4.6
Catastrophes — prior AY’s					(0.6	)		—			0.1			0.1			(0.6	)			(0.3	)			(0.2	)			(0.1	)
Total					69.8	%		62.4	%		64.0	%		69.7	%		63.6	%			66.9	%			66.0	%			65.1	%
Personal Lines
Loss and loss expenses:
Loss and loss expenses — current AY				$	115		$	143		$	127		$	115		$	113			$	228			$	356			$	499
Loss and loss expenses — prior AY’s					(2	)		(23	)		(16	)		(13	)		2				(11	)			(28	)			(51	)
Catastrophes — current AY					38			(8	)		39			47			22				68				107				99
Catastrophes — prior AY’s					1			1			1			—			(1	)			(1	)			—				1
Total				$	152		$	113		$	151		$	149		$	136			$	284			$	435			$	548
Ratio to Earned Premiums
Loss and loss expenses:
Loss and loss expenses — current AY					67.4	%		83.8	%		75.6	%		65.6	%		64.1	%			65.4	%			68.6	%			72.4	%
Loss and loss expenses — prior AY’s					(1.4	)		(13.7	)		(9.4	)		(7.2	)		1.0				(3.2	)			(5.4	)			(7.3	)
Catastrophes — current AY					22.0			(4.7	)		23.3			27.0			11.9				19.5				20.7				14.4
Catastrophes — prior AY’s					0.6			0.5			0.5			0.0			(0.3	)			(0.5	)			0.1				0.1
Total					88.6	%		65.9	%		90.0	%		85.4	%		76.7	%			81.2	%			84.0	%			79.6	%

* 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.

2009 First-quarter Supplement

13

Consolidated Cincinnati Insurance Companies
Quarterly Property Casualty Data — All Lines

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Premiums
Agency renewal written premiums				$	695		$	669		$	687		$	739		$	733			$	1,471			$	2,159			$	2,828
Agency new business written premiums					97			100			92			100			76				176				267				368
Ceded written premiums					(39	)		(41	)		(49	)		(37	)		(38	)			(75	)			(124	)			(165	)
Other written premiums					2			2			4			1			2				3				7				9
Written premium adjustment — statutory					23			(13	)		(7	)		(12	)		3				(9	)			(17	)			(30	)
Reported written premiums — statutory*				$	778		$	717		$	727		$	790		$	776			$	1,566			$	2,292			$	3,010
Unearned premium change					(46	)		30			24			(29	)		(25	)			(54	)			(29	)			—
Earned premiums				$	732		$	747		$	751		$	761		$	751			$	1,512			$	2,263			$	3,010
Year over year change %
Agency renewal written premiums					(5.2	)%		(5.1	)%		(6.1	)%		(3.0	)%		(3.7	)%			(3.4	)%			(4.3	)%			(4.5	)%
Agency new business written premiums					28.9			23.6			12.1			22.8			(6.3	)			8.3				9.6				13.1
Ceded written premiums					4.6			0.3			20.3			(4.6	)		(1.1	)			(2.9	)			5.1				3.8
Other written premiums					32.5			(50.6	)		(39.1	)		(74.6	)		(71.8	)			(73.1	)			(61.6	)			(59.3	)
Written premium adjustment — statutory					661.2			(48.0	)		(81.6	)		(900.0	)		(91.5	)			(124.3	)			161.5				(4.8	)
Reported written premiums — statutory*					0.3			(1.0	)		(1.3	)		(2.5	)		(8.3	)			(5.4	)			(4.2	)			(3.4	)
Statutory combined ratio
Statutory combined ratio					105.1	%		100.2	%		102.8	%		101.5	%		97.2	%			99.4	%			100.5	%			100.4	%
Contribution from catastrophe losses					7.2			(2.1	)		8.4			14.9			5.7				10.3				9.7				6.8
Statutory combined ratio excluding catastrophe losses					97.9	%		102.3	%		94.4	%		86.6	%		91.5	%			89.1	%			90.8	%			93.6	%
Commission expense ratio					17.7	%		20.8	%		17.7	%		17.4	%		17.7	%			17.5	%			17.6	%			18.4	%
Other expense ratio					13.2			15.9			15.4			10.7			12.9				11.8				12.8				13.7
Statutory expense ratio					30.9	%		36.7	%		33.1	%		28.1	%		30.6	%			29.3	%			30.4	%			32.1	%
GAAP combined ratio
GAAP combined ratio					107.5	%		98.9	%		101.2	%		103.5	%		98.6	%			101.1	%			101.1	%			100.6	%
Contribution from catastrophe losses					7.2			(2.1	)		8.4			14.9			5.7				10.3				9.7				6.8
GAAP combined ratio excluding catastrophe losses					100.3	%		101.0	%		92.8	%		88.6	%		92.9	%			90.8	%			91.4	%			93.8	%

*	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.
*	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.

2009 First-quarter Supplement

14

Consolidated Cincinnati Insurance Companies
Quarterly Property Casualty Data — Commercial Lines

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Premiums
Agency renewal written premiums				$	557		$	514		$	502		$	552		$	588			$	1,140			$	1,642			$	2,156
Agency new business written premiums					76			83			77			87			66				153				229				312
Ceded written premiums					(31	)		(23	)		(46	)		(31	)		(32	)			(63	)			(109	)			(131	)
Other written premiums					1			(9	)		13			1			—				1				14				4
Written premium adjustment — statutory					23			(13	)		(8	)		(12	)		3				(9	)			(17	)			(30	)
Reported written premiums — statutory*				$	626		$	552		$	538		$	597		$	625			$	1,222			$	1,759			$	2,311
Unearned premium change					(69	)		21			44			(11	)		(51	)			(61	)			(16	)			5
Earned premiums				$	557		$	573		$	582		$	586		$	574			$	1,161			$	1,743			$	2,316
Year over year change %
Agency renewal written premiums					(5.2	)%		(5.9	)%		(7.7	)%		(2.9	)%		(4.0	)%			(3.5	)%			(4.8	)%			(5.1	)%
Agency new business written premiums					14.9			16.4			6.0			21.2			(8.3	)			6.4				6.3				8.8
Ceded written premiums					0.2			(33.0	)		43.6			(1.6	)		2.8				0.6				15.1				2.4
Other written premiums				nm				(391.7	)		250.5			(73.4	)		(99.4	)			(89.2	)			25.0				(66.5	)
Written premium adjustment — statutory					666.7			(45.8	)		(81.6	)		(900.0	)		(91.5	)			(124.3	)			161.7				(1.6	)
Reported written premiums — statutory*					0.1			(1.9	)		(1.2	)		(2.7	)		(9.8	)			(6.5	)			(4.9	)			(4.2	)
Statutory combined ratio
Statutory combined ratio					99.0	%		99.0	%		97.3	%		97.5	%		93.3	%			95.5	%			95.9	%			96.6	%
Contribution from catastrophe losses					2.5			(1.5	)		4.0			11.3			3.9				7.7				6.4				4.5
Statutory combined ratio excluding catastrophe losses					96.5	%		100.5	%		93.3	%		86.2	%		89.4	%			87.8	%			89.5	%			92.1	%
Commission expense ratio					16.4	%		20.8	%		18.1	%		16.9	%		16.5	%			16.7	%			17.1	%			18.0	%
Other expense ratio					12.8			15.7			15.4			10.9			13.2				12.1				13.1				13.7
Statutory expense ratio					29.2	%		36.5	%		33.5	%		27.8	%		29.7	%			28.8	%			30.2	%			31.7	%
GAAP combined ratio
GAAP combined ratio					102.2	%		98.1	%		94.9	%		99.9	%		95.0	%			97.4	%			96.6	%			97.0	%
Contribution from catastrophe losses					2.5			(1.5	)		4.0			11.3			3.9				7.7				6.4				4.5
GAAP combined ratio excluding catastrophe losses					99.7	%		99.6	%		90.9	%		88.6	%		91.1	%			89.7	%			90.2	%			92.5	%

*	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.
*	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.

2009 First-quarter Supplement

15

Consolidated Cincinnati Insurance Companies
Quarterly Property Casualty Data — Personal Lines

				Three months ended															Six months ended				Nine months ended				Twelve months ended
(Dollars in millions)	12/31/09	9/30/09	6/30/09	3/31/09			12/31/08			9/30/08			6/30/08			3/31/08			6/30/09	6/30/08			9/30/09	9/30/08			12/31/09	12/31/08
Premiums
Agency renewal written premiums				$	137		$	156		$	185		$	186		$	146			$	332			$	517			$	672
Agency new business written premiums					14			11			11			10			8				19				30				42
Ceded written premiums					(7	)		(8	)		(13	)		(6	)		(6	)			(12	)			(26	)			(33	)
Other written premiums					1			—			1			1			2				2				4				4
Written premium adjustment — statutory					—			—			—			—			—				—				—				—
Reported written premiums — statutory*				$	145		$	158		$	184		$	191		$	150			$	341			$	525			$	685
Unearned premium change					26			13			(17	)		(17	)		27				10				(7	)			4
Earned premiums				$	171		$	171		$	167		$	174		$	177			$	351			$	518			$	689
Year over year change %
Agency renewal written premiums					(6.0	)%		(2.3	)%		(1.6	)%		(3.3	)%		(2.8	)%			(3.1	)%			(2.5	)%			(2.5	)%
Agency new business written premiums					67.2			17.9			11.8			7.7			(0.5	)			3.9				6.7				9.5
Ceded written premiums					23.1			7.0			61.4			(17.3	)		(17.2	)			(17.3	)			11.0				10.1
Other written premiums					(50.0	)		(64.9	)		(37.3	)		(76.2	)		(0.4	)			(43.3	)			(41.3	)			(45.4	)
Written premium adjustment — statutory					—			(100.0	)		(100.0	)		—			(100.0	)			(100.0	)			(100.0	)			(100.0	)
Reported written premiums — statutory*					(3.5	)		(1.4	)		(4.0	)		(3.0	)		(2.0	)			(2.6	)			(3.1	)			(2.7	)
Statutory combined ratio
Statutory combined ratio					123.9	%		102.1	%		120.6	%		114.3	%		110.8	%			112.2	%			114.9	%			111.6	%
Contribution from catastrophe losses					22.6			(4.1	)		23.8			27.0			11.6				19.3				20.7				14.5
Statutory combined ratio excluding catastrophe losses					101.3	%		106.2	%		96.8	%		87.3	%		99.2	%			92.9	%			94.2	%			97.1	%
Commission expense ratio					22.5	%		21.2	%		16.4	%		18.6	%		22.3	%			20.2	%			18.9	%			19.5	%
Other expense ratio					12.9			15.0			14.0			10.3			11.8				11.0				12.0				12.7
Statutory expense ratio					35.4	%		36.2	%		30.4	%		28.9	%		34.1	%			31.2	%			30.9	%			32.2	%
GAAP combined ratio
GAAP combined ratio					120.7	%		100.0	%		122.5	%		115.3	%		110.1	%			112.7	%			115.9	%			111.9	%
Contribution from catastrophe losses					22.6			(4.1	)		23.8			27.0			11.6				19.3				20.7				14.5
GAAP combined ratio excluding catastrophe losses					98.1	%		104.1	%		98.7	%		88.3	%		98.5	%			93.4	%			95.2	%			97.4	%

*	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

2009 First-quarter Supplement

16

The Cincinnati Life Insurance Company
Statutory Statements of Income

	For the Three Months Ended March 31,
(Dollars in millions)	2009			2008			Change			% Change
Net premiums written	$	48		$	42		$	6			15.3
Net investment income		30			29			1			2.7
Amortization of interest maintenance reserve		(2	)		—			(2	)	nm
Commissions and expense allowances on reinsurance ceded		2			2			—			(9.3	)
Income from fees associated with Separate Accounts		1			1			—			(43.5	)
Total revenues	$	79		$	74		$	5			7.2
Death benefits and matured endowments	$	17		$	11		$	6			58.4
Annuity benefits		10			7			3			31.0
Disability benefits and benefits under accident and health contracts		—			1			(1	)	nm
Surrender benefits and group conversions		5			6			(1	)		(10.7	)
Interest and adjustments on deposit-type contract funds		3			3			—			(4.8	)
Increase in aggregate reserves for life and accident and health contracts		28			22			6			23.2
Payments on supplementary contracts with life contingencies		—			—			—		nm
Total benefit expenses	$	63		$	50		$	13			25.9
Commissions	$	8		$	8		$	—			2.2
General insurance expenses and taxes		9			9			—			(5.8	)
Increase in loading on deferred and uncollected premiums		—			—			—		nm
Net transfers to or (from) Separate Accounts		(2	)		—			(2	)	nm
Other deductions		—			—			—		nm
Total operating expenses	$	15		$	17		$	(2	)		(14.5	)
Federal and foreign income taxes incurred		(3	)		8			(11	)	nm
Net gain from operations before realized capital gains or (losses)	$	4		$	(1	)	$	5		nm
Net realized gains or (losses) net of capital gains tax		(6	)		(7	)		1			5.2
Net loss (statutory)	$	(2	)	$	(8	)	$	6			77.5

*	Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
*	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.

2009 First-quarter Supplement

17