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| Award      of Stock Options    |   | You      have been granted an Option (the “Option”),      subject to the terms and conditions of this Agreement and the Plan, to      purchase ____________      shares of the Company’s Stock.                                                                                                                                                                                                                                                                                                                                                                           |
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| Exercise      Price            |   | The      exercise price with respect to your Option is $xx.xx per share, such      exercise price payable on terms and conditions and in a form as determined      by the Compensation Committee in its sole discretion consistent with the      terms of the Plan and this Award Agreement.                                                                                                                                                                                                                                                                                                |
| Grant      Date                |   | The      effective date of this grant is ________ ____, 20__.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| Term                           |   | The      term of your Option will expire at the close of business on the 10th      anniversary of the Grant Date. Your Option will expire earlier if your      Employment with the Company terminates, as described below.                                                                                                                                                                                                                                                                                                                                                                  |
| Vesting                        |   | Your      Option shall vest 100% on the first anniversary of the Grant      Date. This      Option is only exercisable before it expires and then only with respect to      the vested portion of the Option. You may exercise this Option, in whole      or in part, to purchase a whole number of vested shares in accordance with      the Plan and this Agreement. Except      as provided in this Agreement, or in any other agreement between you and      the Company, no additional Options will vest after your Employment has      terminated.                          |
| Termination of      Employment |   | If      your Employment (as defined below) terminates for any reason, other than      death, Disability or Cause, then your Option will expire at the close of      business at Company headquarters on the 90th day after your termination      date (or the next business day if the 90th day after your termination date      falls on a weekend or holiday). “Employment”      means that you are currently (i) an employee of the Company, (ii) are a      member of the Company’s Board of Directors, or (iii) are otherwise      providing services to theCompany. |

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| Termination      for Cause |   | If      your Employment is terminated for Cause (as defined below), then you shall      immediately forfeit all rights to your Option and the Option shall expire      immediately upon your termination. For      purposes of this Agreement, “Cause”      shall mean(a)      willful misconduct or gross negligence;(b)      conviction of a felony or conviction of a crime involving moral      turpitude;(c)      any act constituting fraud or the misappropriation or embezzlement of      money or other property of any member of the Company; and(d)      any willful act or course of conduct constituting an abuse of office or      authority which has a material adverse impact on the Company’s reputation      or financial condition.                                                                                                                                                               |
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| Death                      |   | If      your Employment terminates because of your death, your Option will      automatically vest as to the number of Options that would have vested had      you remained in Employment for the 12-month period immediately following      your death and your Option will expire at the close of business at Company      headquarters on the date 12 months after the date of death (or the      next business day if the date 12 months after the date of death falls on a      weekend or holiday). If      you die during the 90-day period in connection with a regular termination      of Employment described above, and a vested portion of your Option has not      yet been exercised, then your Option will instead expire on the date      12 months after your termination date. During      the 12 month period above, your estate or heirs may exercise the      vested portion of your Option.  |
| Disability                 |   | If      your Employment terminates because of your Disability (defined below),      your Option will automatically vest as to the number of Options that would      have vested had you remained in Employment for the 12 month period      immediately following your Disability and your Option will expire at the      close of business at Company headquarters on the date 12 months after      the date of termination (or the next business day if the date 12 months      after the date of termination falls on a weekend or holiday). For      purposes of this Agreement, “Disability”      shall mean the award holder is unable to perform the duties of their      service (or other services) (i) for a period of 90 consecutive days, or      (ii) any 120 days during any consecutive 12 month  period.                                                                                               |

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| Termination      without Cause within 12 Months of Change in Control |   | If      your Employment with the Company (or any affiliate) is terminated by the      Company without Cause within 12 months following the effective date of a      “Change of Control”, the Board of Directors may accelerate the vesting all      or any portion of your Option. For      purposes of this Agreement: “Change in      Control” shall mean:(i)      any “person” (as such term is used in Section 13(d) and 14(d)(2) of the      Securities Exchange Act of 1934, as amended (the “Exchange      Act”), including any syndicate or group deemed to be a “person”      under Section 13(d)(3) of the Exchange Act) other than Barry Zyskind,      George Karfunkel, Michael Karfunkel, any subsidiary or any employee      benefit plan of the Company or a subsidiary or former subsidiary, is or      becomes a beneficial owner, directly or indirectly, of stock of the      Company representing 50% of more of the total voting power of the      Company’s then outstanding stock; (ii)      a tender offer (for which a filing has been made with the Securities and      Exchange Commission (the “SEC”)      that purports to comply with the requirements of Section 14(d) of the      Exchange Act, and the corresponding SEC rules) is made for the stock of      the Company. In case of a tender offer described in this paragraph (ii),      the “Change of Control” will be deemed to have occurred upon the first to      occur of (A) any time during the offer when the person (using the      definition in (i) above) making the offer owns or has accepted for payment      stock of the Company with 50% or more of the total voting power of the      Company's outstanding stock or (B) three business days before the offer is      to terminate unless the offer is withdrawn first, if the person making the      offer could own, by the terms of the offer plus any shares owned by this      person, stock with 50% or more of the total voting power of the Company's      outstanding stock when the offer terminates; or (iii)  individuals      who were the Board’s nominees for election as directors of the Company      immediately prior to a meeting of the stockholders of the Company      involving a contest for the election of directors shall not constitute a      majority of the Board following the election.  |
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| Notice of      Exercise                                              |   | When      you wish to exercise this Option, you must notify the Company in writing.      Such exercise will only become effective upon the Company’s receipt of      such written instructions.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| Recapture      Rights                                                |   | In      the event that you violate any of your obligations pursuant to the      Confidentiality, Non-Competition, or Non-Solicitation provisions of this      Agreement, you agree to return, within five days of receipt of written      demand from the Company, any gains you realize from the exercise of all or      any portion of the Option within the 12 months immediately preceding such      violation, and any remaining portion of your Option shall be immediately      forfeited, whether vested orunvested.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |

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| Confidentiality |   | During      your Employment, you will have access to confidential or proprietary data      or information of the Company (and its affiliates) and its      operations.  You agree that you will not at any time divulge or      communicate the Confidential Information (defined below) to any person,      nor shall you direct any employee to divulge or communicate to any person      (other than to a person bound by confidentiality obligations similar to      those contained herein and other than as necessary in performing your      duties hereunder), or use to the detriment of the Company (or any of its      affiliates) or for the benefit of any other person, any Confidential      Information.  This restriction shall survive your Employment      hereunder, whether by the normal expiration thereof or      otherwise. The      term “Confidential      Information” shall mean all information, whether or not reduced to      written or recorded form, that is related to the Company and that is not      generally known or accessible to members of the public and/or competitors      of the Company nor intended for general dissemination, whether furnished      by the Company or compiled by the employee, including, without limitation,      relating to the Company’s (or any affiliate’s) financial performance,      customers, existing or proposed future projects, prospects, or business      strategies, personnel information, financial information, customer lists,      supplier lists, trade secrets, information regarding operations, systems,      services, know-how, computer and any other processed or collated data,      computer programs, pricing, marketing and advertising data. You      understand the Company intends to maintain the confidentiality of the      Confidential Information notwithstanding that employees of the Company may      have free access to the information for the purpose of performing their      duties with the Company, and notwithstanding that employees not expressly      bound by agreements similar to this agreement may have access to such      information for job purposes. You  acknowledge that Confidential      Information need not be marked as such to preserve the confidential nature      of the information.  |
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| Non-Competition |   | You      acknowledge that (a) in the course of your Employment with the Company and      its affiliates, you have, and will continue to, become familiar with the      Company’s and its affiliates’ trade secrets, methods of doing business,      business plans and other valuable confidential and proprietary information      concerning the Company, its affiliates, their customers and business      partners and that your services have been and will be of special, unique      and extraordinary value to the Company and its affiliates.  In      consideration thereof and of this Award, during your Employment with the      Company or an affiliate and for a period of one (1) year thereafter, you      shall not, without the Company’s prior written approval, become engaged,      directly or indirectly, as a director, officer, employee or 5% or more      stockholder or equity interest owner in, partner in, or consultant to, any      business that is directly competitive with the business of the Company (or      any affiliate) in any area or region where the Company (or any affiliate)      conducts business (“Competition”).       Notwithstanding the foregoing, you shall not be deemed to be in      Competition with the Company if you provide evidence satisfactory to the      Company, in its sole and absolute discretion, that you: (i) work in a      separate division, department or unit that does not compete with the      business of the Company (or any affiliate); and (ii) will not have contact      with the division, department or unit that does compete with the business      of the Company (or any affiliate).  If you received your Option grant      as a non-employee member of the Company’s Board of Directors, this      provision will not apply to you unless your Employment is terminated for      Cause (as defined above) or for cause pursuant to the Company’s      Certificate of Incorporation.                                                                                                                                                                                                                                                                                                                                                                 |

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| Non-Solicitation       |   | During      Employment and for a period of two (2) years thereafter, you shall not,      directly or indirectly, on your own behalf or on behalf of any other      person: (a) induce or attempt to induce any agent, affinity group or      policyholder of the Company (or any affiliate), or any prior agent,      affinity group or policyholder that was an agent, affinity group or      policyholder within twelve (12) months of such contact, to withdraw,      decrease or cancel its business with the Company (or any affiliate) or      otherwise terminate any written or oral agreement or understanding or      other relationship with the Company (or any affiliate); (b) solicit the      business of any customer of the Company (or any affiliate), or any prior      agent, affinity group or policyholder that was an agent, affinity group or      policyholder within twelve (12) months of such contact, to the extent the      business solicited is similar to, or competitive with, the business of the      Company (or any affiliate); (c) solicit or attempt to solicit, or hire or      attempt to hire, any person who is an employee, individual consultant or      independent contractor of the Company (or any affiliate), or any prior      employee, individual consultant or independent contractor that was an      employee, consultant or independent contractor within twelve (12) months      of such contact; or (d) induce or attempt to induce any person who is an      employee, individual consultant or independent contractor of the Company      (or any affiliate) to terminate or limit his or her employment or other      relationship with the Company (or any affiliate), or any prior employee,      individual consultant or independent contractor that was an employee,      individual consultant or independent contractor within twelve (12) months      of such contact.  |
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| Form of      Payment   |   | Upon      exercise of your Option, you must submit payment of the Option price for      the shares you are purchasing. Payment may be made via (i) cash;      (ii) a “cashless” exercise, by which you deliver an irrevocable      direction to a licensed securities broker to sell Stock and to deliver all      or part of the sale proceeds to the Company in payment of the aggregate      Option price and any applicable withholding taxes; or (iii) as      otherwise permitted by the Administrator. “Administrator”      shall mean one or more officers or employees of the Company to whom the      Committee may delegate the authority execute and distribute Award      Agreements or other documents evidencing or relating to Awards granted by      the Committee under the Plan, to maintain records relating to Awards, to      process or oversee the issuance of Stock under Awards, to interpret and      administer the terms of Awards and to take such other actions as may be      necessary or appropriate for the administration of the Plan and of Awards      under the Plan, other that those specified in Section 3(b)(i) – (iii) of      the Plan.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| Withholding      Taxes |   | In      the event that the Company determines that any federal, state, local or      foreign tax or withholding payment is required relating to the exercise or      sale of shares arising from this grant, the Company shall have the right      to require such payments from you, or withhold such minimum statutory      amounts from other payments due to you from the Company. Payment of your      withholding or other taxes may be made via one of the forms of payment for      exercise set forth above, or as otherwise determined by the      Administrator.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |

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| Transfer of      Option             |   | The      Option is non-transferable by you. Any attempt by you to transfer this      Option will result in the Option becoming invalid, except upon your death      by the laws of descent and distribution.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
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| No Employment      Rights           |   | Neither      your Option nor this Agreement give you the right to be retained by the      Company in any capacity and your Employment may be terminated at any time      and for any reason.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| Shareholder      Rights             |   | You      have no rights as a shareholder of the Company unless and until the Stock      relating to your exercise has been issued (or an appropriate book entry      has been made). Except as described in the Plan, no adjustments are made      for dividends or other rights if the applicable record date occurs before      your Stock is issued (or an appropriate book entry has been      made).                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| Applicable      Law                 |   | This      Agreement shall be governed by the laws of the State of Delaware, with      consent to jurisdiction by you in the State of New York.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| Data      Privacy                   |   | To      administer the Plan, the Company may process personal data about you. Such      data includes the information provided in this Agreement, other      appropriate personal and financial data about you such as home address and      business addresses and other contact information, payroll information and      any other information deemed appropriate by the Company to facilitate the      administration of the Plan. By      accepting this award, you consent to the Company’s processing of such      personal data and the transfer of such data outside the country in which      you work or are employed, including, with respect to non-U.S. residents,      to the United States, to transferees who shall include the Company and      other persons designated by the Company to administer the      Plan.  |
| Consent to Electronic      Delivery |   | Certain      statutory materials relating to the Plan may be delivered to you in      electronic form. By accepting this grant, you consent to electronic      delivery and acknowledge receipt of these materials, including the Plan      and the Plan prospectus.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| Non-Qualified Stock      Option     |   | This      Option is not intended to be an “incentive stock option” under Section 422      of the Internal Revenue Code of 1986, as amended, and will be interpreted      accordingly.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

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| AMTRUST      FINANCIAL SERVICES, INC |   |        |               |
|--------------------------------------|--------|-------------|--------------------|
|                                 |   |        |               |
|                       |   |        |               |
| By:                                  |   |        |               |
| Its:                                 |   | Date:  |     |
|                                 |   |        |               |
| NON-EMPLOYEE      DIRECTOR           |   |        |               |
|                                 |   |        |               |
|                       |   | Date:       |     |
| Name:                                |   |        |               |

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