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TABLE OF CONTENTS
 AGREEMENT OF REINSURANCE
NO. 9034-07   PHILADELPHIA INDEMNITY INSURANCE COMPANY
PHILADELPHIA INSURANCE COMPANY   GENERAL REINSURANCE CORPORATION
 PageGENERAL ARTICLESArticle I
    
    SCOPE OF AGREEMENT
    
    1Article II
    
    PARTIES TO THE AGREEMENT
    
    1Article III
    
    MANAGEMENT OF CLAIMS AND LOSSES
    
    2Article IV
    
    RECOVERIES
    
    2Article V
    
    TRIA INUREMENT
    
    2Article VI
    
    PREMIUM REPORTS AND REMITTANCES
    
    3Article VII
    
    ERRORS AND OMISSIONS
    
    3Article VIII
    
    SPECIAL ACCEPTANCES
    
    3Article IX
    
    RESERVES AND TAXES
    
    4Article X
    
    OFFSET
    
    4Article XI
    
    INSPECTION OF RECORDS
    
    4Article XII
    
    ARBITRATION
    
    4Article XIII
    
    INSOLVENCY OF THE COMPANY
    
    5Article XIV
    
    ENTIRE AGREEMENT
    
    5EXHIBIT A  EXCESS OF LOSS REINSURANCE (Per Risk) of Property BusinessSection 1
    
    BUSINESS SUBJECT TO THIS EXHIBIT
    
    A-1Section 2
    
    COMMENCEMENT
    
    A-1Section 3
    
    LIABILITY OF THE REINSURER
    
    A-1Section 4
    
    DEFINITIONS
    
    A-2Section 5
    
    EXCLUSIONS
    
    A-5Section 6
    
    OTHER REINSURANCE
    
    A-8Section 7
    
    REINSURANCE PREMIUM
    
    A-9Section 8
    
    REPORTS AND REMITTANCES
    
    A-9Section 9
    
    AUTOMATIC REINSTATEMENT
    
    A-10Section 10
    
    TERMINATION
    
    A-11Section 11
    
    MORTGAGEE REINSURANCE ENDORSEMENT
    
    A-11EXHIBIT B  EXCESS OF LOSS REINSURANCE (Per Risk) of Property Business (Coverage for Terrorism
Only)Section 1
    
    BUSINESS SUBJECT TO THIS EXHIBIT
    
    B-1Section 2
    
    TERM
    
    B-1Section 3
    
    LIABILITY OF THE REINSURER
    
    B-1Section 4
    
    DEFINITIONS
    
    B-2Section 5
    
    EXCLUSIONS
    
    B-3Section 6
    
    REINSURANCE PREMIUM
    
    B-3Section 7
    
    REPORTS AND REMITTANCES
    
    B-3
 GENERAL REINSURANCE CORPORATIONA Berkshire Hathaway Company




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AGREEMENT OF REINSURANCE
NO. 9034-07
  PHILADELPHIA INDEMNITY INSURANCE COMPANY
PHILADELPHIA INSURANCE COMPANY
  GENERAL REINSURANCE CORPORATION
 
  Article I    SCOPE OF AGREEMENT
   EXHIBIT A    EXCESS OF LOSS REINSURANCE
  Property Business
 EXHIBIT B    EXCESS OF LOSS REINSURANCE
  Property Business (Coverage for Terrorism Only)
 Article II    PARTIES TO THE AGREEMENT
  -2-GENERAL REINSURANCE CORPORATION




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Article III    MANAGEMENT OF CLAIMS AND LOSSES
  Article IV    RECOVERIES
    Article V    TRIA INUREMENT
   (a)
    
    Financial assistance provided under the Act to the Company and its
affiliates, if any, (as affiliate is defined in the Act) with respect to all
insured loss that applies to each program year, as defined in the Act; and(b)
    
    Amounts due from all reinsurance which the Company and its
affiliates, if any, purchase, including but not limited to this reinsurance,
all other treaty reinsurance and all facultative reinsurance, and whether
 -3-GENERAL REINSURANCE CORPORATION




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Article VI    PREMIUM REPORTS AND REMITTANCES
  
  
 Article VII    ERRORS AND OMISSIONS
  Article VIII    SPECIAL ACCEPTANCES
  -4-GENERAL REINSURANCE CORPORATION




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Article IX    RESERVES AND TAXES
   Article X    OFFSET
  Article XI    INSPECTION OF RECORDS
  Article XII    ARBITRATION
     -5-GENERAL REINSURANCE CORPORATION




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Article XIII    INSOLVENCY OF THE COMPANY
   Article XIV    ENTIRE AGREEMENT
  IN WITNESS WHEREOF
 -6-GENERAL REINSURANCE CORPORATION




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PHILADELPHIA INDEMNITY INSURANCE COMPANYPHILADELPHIA INSURANCE COMPANYChristopher J. MaguireEVP & CUOAttest: William A. McKennaand this 13th day of August, 2007.GENERAL REINSURANCE CORPORATIONJoan LaFranceSenior Vice PresidentAttest: Karen Morello
 GENERAL REINSURANCE CORPORATION  A Berkshire Hathaway Company




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EXHIBIT A
 Agreement of Reinsurance No. 9034-07
 EXCESS OF LOSS REINSURANCE
(Per Risk)   Property Business
 Section 1    BUSINESS SUBJECT TO THIS EXHIBIT
  Section 2    COMMENCEMENT
  Section 3    LIABILITY OF THE REINSURER
  SCHEDULE OF REINSURANCE
 Class of Business
    
    Company Retention
    
    Limits of Liability of the ReinsurerProperty Business
    
    $
    2,000,000
    
    
    First Excess Cover: The next$3,000,000 in excess of the first$2,000,000
 A-8GENERAL REINSURANCE CORPORATION




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SCHEDULE OF REINSURANCE (Continued)
 
 Class of Business
    
    Company Retention
    
    Limits of Liability of the ReinsurerSecond Excess Cover: The next$5,000,000 in excess of the first$5,000,000Third Excess Cover: The next$5,000,000 in excess of the first$10,000,000
  (a)
    
    $6,000,000 under the First Excess Cover nor $10,000,000 under the
Second Excess Cover nor $10,000,000 under the Third Excess Cover with respect
to all Net Loss on all Risks involved in one Occurrence.(b)
    
    $15,000,000 under the Second Excess Cover nor $15,000,000 under the
Third Excess Cover with respect to all Net Loss on all Risks involved in all
Occurrences (including Extra Contractual Obligations) taking place during each
Agreement Year. For purposes of this provision, upon a run off termination of
this Exhibit the last completed Agreement Year shall be combined with the
remaining period that reinsurance is afforded under this Exhibit to constitute
a single Agreement Year.
  Section 4    DEFINITIONS
 (a)
    
    Company RetentionThis term shall mean the amount the Company and its underlying facultative
reinsurers shall retain for its own account; however, this requirement shall
be satisfied if this amount is retained by the Company or its affiliated
companies under common management or common ownership.(b)
    
    Net LossThis term shall mean all payments by the Company within the terms and limits
of its policies in settlement of claims or losses, after deduction of salvage
and other recoveries and after deduction of amounts due from all other
reinsurance, except underlying facultative reinsur-
 A-9GENERAL REINSURANCE CORPORATION




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ance and catastrophe reinsurance, whether collectible or not. This term shall
include Adjustment Expense. If the Company becomes insolvent, this
definition shall be modified to the extent set forth in the article entitled
INSOLVENCY OF THE COMPANY.Notwithstanding the provisions of the article entitled MANAGEMENT OF CLAIMS
AND LOSSES, this term shall also include 95% of Extra Contractual
Obligations, provided that the Reinsurer is given written notice of
circumstances which may result in an Extra Contractual Obligation within 36
months of the later of the termination date of this Exhibit or the
termination of reinsurance on the policy under which the Extra Contractual
Obligation arose.Nothing in this definition shall imply that losses are not recoverable
hereunder until the Companys Net Loss has been finally ascertained.(c)
    
    Adjustment ExpenseThis term shall mean expenditures by the Company within the terms of its
policies in the direct defense of claims and in connection with Extra
Contractual Obligations and as allocated to an individual claim or loss
(other than for office expenses and for the salaries and expenses of
employees of the Company or of any subsidiary or related or wholly owned
company of the Company) made in connection with the disposition of a claim,
loss, or legal proceeding including investigation, negotiation, and legal
expenses; court costs; prejudgment interest; and postjudgment interest.Notwithstanding the provisions of the article entitled MANAGEMENT OF CLAIMS
AND LOSSES, this term shall also be deemed to include any expenses incurred
by the Company in bringing or in defending a declaratory judgment action
brought to determine the Companys obligations to its insured with respect to
a specific claim under a policy (or coverage part thereof) reinsured
hereunder. However, the amount of any declaratory judgment expense that may
be included in computation of Adjustment Expense shall not exceed the lesser
of the amount of insurance under the policy or the Reinsurers Limit of
Liability for each Risk under this Exhibit.The date on which a declaratory judgment expense is incurred by the Company
shall be deemed, in all circumstances, to be the date of the original
Occurrence.(d)
    
    Extra Contractual ObligationsThis term shall mean a loss which is not covered under any other provision of
this Exhibit resulting from an action taken by the insured or assignee
arising from the Companys handling of any claim otherwise covered under this
Exhibit on the Risks reinsured hereunder which have total amounts of
insurance greater than the Company Retention.
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The date on which an Extra Contractual Obligation is incurred by the Company
shall be deemed, in all circumstances, to be the date of the original
Occurrence.There shall be no coverage hereunder where the Extra Contractual Obligation
has been incurred due to the fraud or criminal conduct of a member of the
Board of Directors, a corporate officer of the Company, or any other employee
of the Company, acting individually or collectively or in collusion with any
individual or corporation or any other organization or party involved in the
investigation, defense or settlement of any claim covered hereunder.Any insurance which indemnifies or protects the Company against claims which
are the subject matter of this definition shall inure to the benefit of the
Reinsurer and shall be deducted to arrive at the amount of the Companys Net
Loss.(e)
    
    RiskThe Company shall establish what constitutes one Risk and shall make such
determination based on the peril of fire at the time of acceptance, provided:(1)
    
    A Building and its contents, regardless of the number of insureds or
policies involved, including time element coverages, shall never be considered
more than one Risk.When two or more Buildings and their contents, including time element
coverages, are situated at the same General Location, the Company shall
identify on its records at the time of acceptance by the Company those
individual Buildings and their contents, including time element coverages,
that are to be considered to constitute each Risk; if such identification is
not made, all of the Buildings and their contents situated at the same
General Location shall be considered one Risk.When there are known and named extensions of coverage involving other risk
locations (including but not limited to suppliers extensions, customer
extensions and interdependencies and whether triggered by physical loss at
the risk location or another location) that are included and formally
recorded on the Companys records at the time of acceptance of the Risk, all
such known and named extensions of coverage shall be included in calculation
of the one Risk.(2)
    
    Unknown, unnamed or unidentified extensions of coverage shall be
considered separate Risks. The maximum amount which may be included in Net
Loss with respect to each such Risk shall be $250,000. Further, the Limit of
Liability of the Reinsurer shall not exceed $500,000 of Net Loss with respect
to all such Risks involved in one Occurrence. Such Occurrence limit is part
of, and not in addition to the Occurrence limit stipulated in the section
entitled LIABILITY OF THE REINSURER.
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(3)
    
    As respects the Companys Antique/Collector Car Program, each
collection will be considered a Risk.(f)
    
    BuildingThis term shall mean each structure enclosed within exterior walls. Exterior
walls are defined as walls constructed on the perimeter foundation,
regardless of the number of additional structures or roofs placed upon this
perimeter foundation.(g)
    
    OccurrenceThis term shall mean a loss or series of losses arising out of one event.(h)
    
    General LocationThis term shall mean a contiguous and unbroken tract of land surrounded by
public roads, railroads, rivers or other natural barriers.(i)
    
    Agreement YearThis term shall mean each twelve month period commencing on January
1st.(j)
    
    Companys Subject Earned PremiumThis term shall mean the premium earned by the Company on the business
reinsured hereunder, after deduction from such premium earned of the portion
paid for share reinsurance which inures to the benefit of the Reinsurer.
 Section 5    EXCLUSIONS
  (a)
    
    Reinsurance assumed by the Company other than reinsurance of primary
business assumed from affiliated companies;(b)
    
    Nuclear incident per the Nuclear Incident Exclusion Clause  Physical
Damage  Reinsurance attached hereto;(c)
    
    Any loss or liability accruing to the Company directly or indirectly
from any insurance written by or through any pool or association including
pools or associations in which membership by the Company is required under any
statutes or regulations;(d)
    
    Any liability of the Company arising from its participation or
membership in any insolvency fund;(e)
    
    Any loss or damage directly or indirectly arising out of, caused by,
or resulting from war, as described in paragraph (1) below, or any act of
terrorism, as described in paragraphs (2), (3), (4) and (5) below. Such
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loss or damage is excluded regardless of (i) any other cause or event
contributing to such loss or damage in any way or at any time, or (ii)
whether such loss or damage is accidental or intentional.(1)
    
    War, including undeclared or civil war; warlike action by a military
force, including action in hindering or defending against an actual or
expected attack, by any government, sovereign or other authority using
military personnel or other agents; or insurrection, rebellion, revolution,
usurped power or action taken by governmental authority in hindering or
defending against any of these. War includes any activity that would be
included as an act of terrorism in paragraphs (2), (3), (4) and (5) below,
but for the fact that such activity was perpetrated by an official, employee
or agent of a foreign state acting for or on behalf of such state.(2)
    
    Any act of terrorism, as described in paragraphs (3), (4) and (5)
below, but only with respect to loss or damage that is not excluded by
paragraph (1) above.(3)
    
    Any act defined as an act of terrorism in the Terrorism Risk
Insurance Act of 2002.(4)
    
    Any act authorized by a governmental authority for the purpose of
preventing, terminating, countering or responding to any act or threat of
terrorism or for the purpose of preventing or minimizing the consequences of
any act or threat of terrorism.
 (5)
    
    Any activity (other than an act described in (3)
above), including the threat of an activity or any preparation for
an activity, that (a) causes either (i) damage to property, or (ii)
injury to persons; and (b) appears to be intended to: (i) intimidate
or coerce a civilian population, or (ii) disrupt any segment of an
economy, or (iii) influence the policy of a government by
intimidation or coercion, or (iv) affect the conduct of a government
by destruction, assassination, kidnapping or hostage-taking, or (v)
advance a political, religious or ideological cause; provided,
however, that an act of terrorism for purposes of this exclusion
shall not include any act or threat as described above perpetrated
by an official, employee or agent of a foreign state acting for or
on behalf of such state.
 (f)
    
    Risks written on a layered basis, whether primary or excess of loss,
or policies written with a deductible or franchise of more than $500,000;
however, this exclusion shall not apply to policies which provide a percentage
deductible or franchise in connection with windstorm, earthquake or flood;(g)
    
    Pollution to the extent excluded in the Companys policies.
Nevertheless, if the insured elects to purchase any buy back or additional
coverage options, such options shall not be covered hereunder;
 A-13GENERAL REINSURANCE CORPORATION




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(h)
    
    Insurance against earthquake, except when written in conjunction with
fire and otherwise eligible perils;(i)
    
    Insurance on growing crops;(j)
    
    Insurance against flood, surface water, waves, tidal waves, overflow
of any body of water, or their spray, all whether driven by wind or not,
except when written in conjunction with fire and otherwise eligible perils;(k)
    
    Business classified as fidelity; however, this exclusion shall not
apply to crime and fidelity with limits no greater than $2,000,000 when
written as part of a package policy;(l)
    
    Credit insurance;(m)
    
    Business classified as boiler and machinery;(n)
    
    Mortgage impairment insurance and similar kinds of insurance,
howsoever styled, providing coverage to an insured with respect to its
mortgagee interest in property or its owner interest in foreclosed property;(o)
    
    Difference in conditions insurance and similar kinds of insurance,
howsoever styled, but not to include the Condominium Association Difference in
Conditions Coverage Form (PI-DIC-1, 11/03);(p)
    
    Risks which have a total insurable value of more than $250,000,000;
however, this exclusion shall not apply if the Company writes 100% of the
Risk;(q)
    
    Losses with respect to overhead transmission and distribution lines
and their supporting structures, other than those on or within 1,000 feet of
the insured premises. However, public utilities extension and/or suppliers
extension and/or contingent business interruption coverage are not subject to
this exclusion, provided these are not part of a transmitters or
distributors policy;(r)
    
    Inland marine business with respect to the following:
 (1)
    
    Cargo insurance when written as such with respect to
ocean vessels;(2)
    
    Faulty film, tape, processing and editing insurance
and cast insurance;(3)
    
    Furriers customers policies;(4)
    
    Insurance on livestock under so-called mortality
policies;(5)
    
    Mining equipment while underground;(6)
    
    Registered mail and armored car insurance;
 A-14GENERAL REINSURANCE CORPORATION




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(s)
    
    Loss of, damage to, or failure of, or consequential loss resulting
therewith (including but not limited to earnings and extra expense) of
satellites, spacecraft, and launch vehicles, including cargo and freight
carried therein, in all phases of operation (including but not limited to
manufacturing, transit, pre-launch, launch, and in-orbit);(t)
    
    Losses arising, directly or indirectly, out of loss of, alteration
of, or damage to or a reduction in the functionality, availability or
operation of a computer system, hardware, program, software, data, information
repository, microchip, integrated circuit or similar device in computer
equipment or non-computer equipment, whether the property of the policyholder
of the Company or not, unless such loss arises out of physical damage
occurring at the insureds premises as a result of the following perils to the
extent that these perils are covered under this Exhibit: fire, lightning,
explosion, windstorm or hail, smoke, aircraft or vehicles, riot or civil
commotion, sprinkler leakage, sinkhole collapse, volcanic action, falling
objects, weight of snow, ice or sleet, water damage, flood and/or earth
movement. Nothing in this exclusion shall be construed to extend coverage
under this Exhibit to any liability which would not have been covered in the
absence of this exclusion;(u)
    
    Mobile homes unless written as part of a commercial multiple peril
policy;(v)
    
    Watercraft, other than watercraft insured under a standard homeowners
policy or when written as part of contents coverage under a commercial
multiple peril policy.
  Section 6    OTHER REINSURANCE
    A-15GENERAL REINSURANCE CORPORATION




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Section 7    REINSURANCE PREMIUM
  (a)
    
    For the First Excess Cover, 1.90% of the Companys Subject Earned
Premium;(b)
    
    For the Second Excess Cover, 0.88% of the Companys Subject Earned
Premium;(c)
    
    For the Third Excess Cover, 0.29% of the Companys Subject Earned
Premium.
 Section 8    REPORTS AND REMITTANCES
 (a)
    
    Reinsurance PremiumWithin 25 days after the close of each calendar quarter, the Company shall
render to the Reinsurer a report of the reinsurance premium for the quarter
with respect to the Companys Subject Earned Premium during the quarter,
summarizing the reinsurance premium by line of insurance. The amount due the
Reinsurer, shall be remitted within 25 days after the close of the quarter.(b)
    
    Claims and LossesThe Company shall report promptly to the Reinsurer each claim or loss which
in the Companys opinion may involve the reinsurance afforded by this
Exhibit. The Company shall also report promptly to the Reinsurer any action
alleging Extra Contractual Obligations against the Company or any declaratory
judgment action brought by or against the Company on the business reinsured
hereunder. The Company shall advise the Reinsurer of the estimated amount of
Net Loss in connection with each such claim or loss and of any subsequent
changes in such estimates.Promptly upon receipt of a definitive statement of Net Loss from the Company,
but within no more than 25 days after receipt of such statement, the
Reinsurer shall pay to the Company the Reinsurers portion of Net Loss. The
Company shall report to the Reinsurer any subsequent changes in the amount of
Net Loss, and the amount due either party shall be remitted promptly, but
within no more than 25 days after receipt of such report.(c)
    
    P.C.S. Catastrophe Bulletins
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The Company shall furnish to the Reinsurer, upon request, the following
information with respect to each catastrophe set forth in the Catastrophe
Bulletins published by the Property Claim Services:
 (1)
    
    The preliminary estimates of the amount recoverable
from the Reinsurer;(2)
    
    The Reinsurers portion of claims, losses, and
Adjustment Expenses paid less salvage recovered during each calendar
quarter;(3)
    
    The Reinsurers portion of reserves for claims,
losses, and Adjustment Expenses at the end of each calendar quarter.
 (d)
    
    GeneralIn addition to the reports required by (a), (b), and (c) above, the Company
shall furnish such other information as may be required by the Reinsurer for
the completion of the Reinsurers quarterly and annual statements and
internal records.All reports shall be rendered on forms or in format acceptable to the Company
and the Reinsurer.
 Section 9    AUTOMATIC REINSTATEMENT
  (a)
    
    For each amount so reinstated in the First Excess Cover, there shall
be no additional reinsurance premium;(b)
    
    For first $5,000,000 so reinstated in the Second and Third Excess
Covers, there shall be no additional reinsurance premium;(c)
    
    For the next $5,000,000, so reinstated in the Second Excess Cover,
the Company shall pay to the Reinsurer an additional reinsurance premium that
shall be the product of 100% of the reinsurance premium set forth in
sub-paragraph (b) of the section entitled REINSURANCE PREMIUM for the
Agreement Year multiplied by the amount of the reinstated Limit of Liability
of the Reinsurer divided by $5,000,000;(d)
    
    For the next $5,000,000, so reinstated in the Third Excess Cover, the
Company shall pay to the Reinsurer an additional reinsurance premium that
shall be the product of 100% of the reinsurance premium set forth in
sub-paragraph (c) of the section entitled REINSURANCE PREMIUM
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for the Agreement Year multiplied by the amount of the reinstated Limit of
Liability of the Reinsurer divided by $5,000,000.
  Section 10    TERMINATION
  (a)
    
    The Reinsurer shall continue to be liable, with respect to policies
in force at the time and date of termination, for claims and losses resulting
from Occurrences taking place until the expiration, cancellation, or next
anniversary date, not to exceed one year, of each such policy of the Company,
which ever occurs first. The reinsurance premium for policies in force a the
time and date of termination shall be calculated by applying the provisions of
the section entitled REINSURANCE PREMIUM to the monthly earned premiums that
derive from the unearned premium applicable to policies in force at the time
and date of termination.(b)
    
    The Reinsurer shall not be liable for claims and losses resulting
from Occurrences taking place at and after the effective time and date of
termination.
 Section 11    MORTGAGEE REINSURANCE ENDORSEMENTS
   (a)
    
    Benefit pro-rata in reductions of the Companys loss by salvage,
subrogation, compromise, or otherwise.(b)
    
    Be automatically subrogated to all of the mortgagees rights against
the Company under the policy.
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(c)
    
    Be completely discharged from its obligation to make any payment to the
Company under this Exhibit and be entitled to set off against any amount due
from the Reinsurer to the Company under this or any other agreement for any
amounts for which the Reinsurer would not be liable except for the existence
of such Mortgagee Reinsurance Endorsement.
   GENERAL REINSURANCE CORPORATIONA Berkshire Hathaway Company




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EXHIBIT B
 Agreement of Reinsurance No. 9034-07
 EXCESS OF LOSS REINSURANCE
(Per Risk)   Property Business
(Coverage for Terrorism Only)
 Section 1    BUSINESS SUBJECT TO THIS EXHIBIT
  Section 2    TERM
   Section 3    LIABILITY OF THE REINSURER
  B-20GENERAL REINSURANCE CORPORATION




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SCHEDULE OF REINSURANCE
 Class of Business
    
    Company Retention
    
    Limits of Liability of the ReinsurerFirst
    
    SecondExcess Cover
    
    Excess CoverProperty Business
    
    $
    2,000,000
    
    
    $
    8,000,000
    
    
    $
    5,000,000
   Section 4    DEFINITIONS
   (1)
    
    An Act of Terrorism means an activity, including the threat of an
activity or any preparation for an activity, that (a) causes either (i) damage
to property, or (ii) injury to persons; and (b) appears to be intended to: (i)
intimidate or coerce a civilian population, or (ii) disrupt any segment of an
economy, or (iii) influence the policy of a government by intimidation or
coercion, or (iv) affect the conduct of a government by destruction,
assassination, kidnapping or hostage-taking, or (v) advance a political,
religious or ideological cause; provided, however, that an Act of Terrorism
for purposes of this definition shall not include any act or threat as
described above perpetrated by an official, employee or agent of a foreign
state acting for or on behalf of such state.(2)
    
    An Act of Terrorism is also deemed to include any act authorized by a
governmental authority for the purpose of preventing, terminating, countering
or responding to any act or threat of terrorism or for the pur-
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pose of preventing or minimizing the consequences of any act or threat of
terrorism.
 Section 5    EXCLUSIONS
  (e)
    
    Any loss or damage directly or indirectly arising out of, caused by,
or resulting from war, including undeclared or civil war; warlike action by a
military force, including action in hindering or defending against an actual
or expected attack, by any government, sovereign or other authority using
military personnel or other agents; or insurrection, rebellion, revolution,
usurped power or action taken by governmental authority in hindering or
defending against any of these. War includes any activity that would be
included as an Act of Terrorism, but for the fact that such activity was
perpetrated by an official, employee or agent of a foreign state acting for or
on behalf of such state. Such loss or damage is excluded regardless of (i)
any other cause or event contributing to such loss or damage in any way or at
any time, or (ii) whether such loss or damage is accidental or intentional.
 Section 6    REINSURANCE PREMIUM
  (a)
    
    For the First Excess Cover, a flat reinsurance premium of $640,000
for the term of this Exhibit;(b)
    
    For the Second Excess Cover, a flat reinsurance premium of $400,000
for the term of this Exhibit.
 Section 7    REPORTS AND REMITTANCES
 (a)
    
    Reinsurance PremiumWithin 25 days after the close of each calendar quarter, the Company shall
pay to the Reinsurer one quarter of the flat reinsurance premium stipulated
in the section entitled REINSURANCE PREMIUM.(b)
    
    Claims and LossesThe Company shall report promptly to the Reinsurer each claim or loss which
in the Companys opinion may involve the reinsurance afforded by this
Exhibit. The Company shall also report promptly to the Reinsurer any action
alleging Extra Contractual Obligations against the Company or any declaratory
judgment action brought by or against the Company on the business reinsured
hereunder. The Company
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shalladvise the Reinsurer of the estimated amount of
Net Loss and Adjustment Expense in connection with each such claim or loss and of any
subsequent changes in such estimates.
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Promptly upon receipt of a definitive statement of Net Loss and Adjustment
Expense from the Company, but within no more than 25 days after receipt of
such statement, the Reinsurer shall pay to the Company the Reinsurers
portion of Net Loss and the Reinsurers portion of Adjustment Expense, if
any. The Company shall report to the Reinsurer any subsequent changes in
the amount of Net Loss and/or Adjustment Expense, and the amount due either
party shall be remitted promptly, but within no more than 25 days after
receipt of such report.(c)
    
    GeneralIn addition to the reports required by (a), (b), and (c) above, the Company
shall furnish such other information as may be required by the Reinsurer for
the completion of the Reinsurers quarterly and annual statements and
internal records.All reports shall be rendered on forms or in format acceptable to the
Company and the Reinsurer.
 B-24GENERAL REINSURANCE CORPORATION




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ENDORSEMENT NO. 6 REVISED
 AGREEMENT OF REINSURANCE
NO. 9034   PHILADELPHIA INDEMNITY COMPANY
PHILADELPHIA INSURANCE COMPANY    GENERAL REINSURANCE CORPORATION
 IT IS MUTUALLY AGREED
 IN
WITNESS WHEREOF
  PHILADELPHIA INDEMNITY COMPANYPHILADELPHIA INSURANCE COMPANYChristopher J. MaguireEVP & CUOAttest: William A. McKennaand
this 25th day of July, 2007.GENERAL REINSURANCE CORPORATIONJoan LaFranceSenior Vice PresidentAttest: Diane Hyland
 B-25GENERAL REINSURANCE CORPORATION