Atlas Financial Holdings Launches On-demand Rideshare Insurance Product in Illinois

Atlas Financial Holdings, Inc. (NASDAQ:AFH) ("Atlas" or the "Company") is pleased to confirm the approval of its mobile phone driven usage-based commercial automobile product from both an insurance regulatory and technology platform perspective. This straightforward product is the first of its kind for part time Transportation Network (TNC) or "ride share” drivers and has already been downloaded by hundreds of potential insureds.

This unique product, which is designed specifically for individuals driving on a part-time basis for TNCs, is being introduced as a pilot program in Illinois under the brand optOn^TM. The easy-to-use mobile app provides short-term, primary, commercial automobile insurance coverage for rideshare drivers across all rideshare driving periods, with premium priced per mile. The optOn mobile application, which supports coverage and pricing as well as claim detection and reporting, is now available on Apple App Store and Google Play Store. As previously announced, the Company will be initiating a limited direct digital marketing strategy during the fourth quarter 2018 and is also exploring other potential strategic partnerships in connection with this new product. Beginning this week, optOn will be featured by key industry resources including SherpaShare (www.sherpashare.com) and The Rideshare Guy (www.therideshareguy.com).

The Company conducted extensive research of this Usage Based Insurance (UBI) digital product during the past few years as the TNC landscape developed. Atlas focused on ensuring that regulatory and consumer priorities were addressed during the development and believes that it has created the first UBI product tailored to part-time TNC drivers. Atlas’ optOn mobile product is a straightforward solution that addresses insurance gaps that may exist, as personal auto insurance policies might not cover drivers or their vehicles during rideshare trips. It leverages the power of fintech with the niche specific expertise and infrastructure at Atlas.

Management Comments

Scott D. Wollney, Chief Executive Officer, stated, "We understand that rideshare drivers are faced with unique challenges in the freelance economy. The optOn mobile-based platform allows drivers the flexibility to choose the policy that works best for their budget and risk tolerance. In addition to engaging and supporting customers through a proprietary mobile platform, our customer-centric claims team with decades of experience will be ready to respond when claims occur. Early downloads of the app are consistent with our expectations and we look forward to assessing the impact of our initial digital marketing campaigns in coming weeks to help project potential future scale.”

Atlas’ optOn product Receives Regulatory Approval from the Illinois Department of Insurance

Mr. Wollney noted the constructive role played by the Illinois Department of Insurance in bringing this new product to market. "Consumers benefit from competition and choices," said Jennifer Hammer, Director of the Illinois Department of Insurance. "We are committed to embracing efficiency and innovation to educate and protect insurance consumers while encouraging a vital and robust insurance market. The newly-created Division of Innovation & Market Analysis reflects the Department’s commitment to being an effective steward of these principles.”

Atlas’ optOn product provides the flexible protection that rideshare drivers deserve. Key features include:

• Three different levels of coverage from which drivers can choose each time they initiate a policy;
• Micro policies that last up to 4 hours with no monthly fees or subscriptions;
• Coverage for all periods of rideshare driving; and
• Guidance on what to do after an accident and tools to report a claim from within the mobile app.

If you would like more information about this topic, visit www.getopton.com.

About Atlas

The primary business of Atlas is commercial automobile insurance in the United States, with a niche market orientation and focus on insurance for the "light” commercial automobile sector including taxi cabs, non-emergency para-transit, limousine/livery (including certain transportation network company drivers) and business auto. The business of Atlas is carried on through its subsidiaries American Country Insurance Company, American Service Insurance Company, Inc., Gateway Insurance Company, Global Liberty Insurance Company of New York, Anchor Group Management, Inc., Plainview Premium Finance Company, Inc., Plainview Premium Finance Company of California, Inc., UBI holdings Inc., optOn Digital IP, and optOn Insurance Agency Inc. Atlas’ insurance subsidiaries have decades of experience with a commitment to always being an industry leader in these specialized areas of insurance.

For more information about Atlas, please visit www.atlas-fin.com.

Forward-Looking Statements

This release includes forward-looking statements regarding Atlas and its insurance subsidiaries and businesses. Such statements are based on the current expectations of the management of each entity. The words "anticipate”, "expect”, "believe”, "may”, "should”, "estimate”, "project”, "outlook”, "forecast” or similar words are used to identify such forward looking information. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the Companies, including risks regarding the insurance industry, economic factors and the equity markets generally and the risk factors discussed in the "Risk Factors” section of the Company’s 2017 Annual Report on Form 10-K. No forward looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Atlas and its subsidiaries undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

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