Document:

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                                                                    Exhibit 10.7

                                                    Account No.: _______________

                                                           Date: _______________

(MUNDERCAPITAL LOGO)

INVESTMENT ADVISORY AGREEMENT

480 Pierce Street
Birmingham, Michigan 48009

RE: North Pointe Insurance Company                                   ("Account")

The undersigned ("Client") employs Munder Capital Management ("Advisor") as
investment advisor for the Account, and Advisor agrees to serve in that
capacity, on the following terms and conditions:

1.   AUTHORITY (CHECK THE DESIRED ALTERNATIVE)

[X]  DISCRETIONARY

     Advisor shall have full power to supervise and direct the investment of the
     Account, making and implementing investment decisions, all without prior
     consultation with Client, in accordance with such objectives as Client may,
     from time to time, have furnished Advisor in writing, and subject only to
     such written limitations as Client may impose. In managing liquid assets of
     the Client, the Advisor may use affiliated money funds.

[ ]  NON-DISCRETIONARY

     Advisor shall make investment recommendations to Client, and Client will
     make all investment decisions with respect to investment of the Account.
     Advisor is authorized to place orders for the execution of securities
     transactions for the Account to implement Client's decisions.

2.   CUSTODY

     Client will appoint a custodian ("Custodian") to take and have possession
     of the assets of the Account. Advisor shall not be the Custodian. Advisor
     is authorized to instruct banks and broker-dealers to receive and/or
     deliver securities purchased or sold, against payment, to or from the
     undersigned Client's Account at FIFTH THIRD BANK.
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3.   BROKERAGE (CHECK THE DESIRED ALTERNATIVES)

[X]  DISCRETIONARY

     Advisor may place orders for the execution of transactions with or through
     such brokers, dealers, or banks as Advisor may select and, complying with
     Section 28 (e) of the Securities Exchange Act of 1934, may pay a commission
     on transactions in excess of the amount of commission another broker or
     dealer would have charged. This may result in incurring commissions for the
     Account from time to time to cover such services as, in Advisor's opinion,
     assist in the supervision of the Account and/or other accounts.

[ ]  CLIENT DIRECTED

     Advisor is directed to enter orders for the purchase and/or sale of
     securities for the Account through _______________________________________.

[ ]  LIMITED

     In certain cases, if Advisor believes that it is in the best interest of
     Client, Advisor is authorized to enter orders for the purchase and/or sale
     of securities for Client with broker-dealers of its selection, including
     affiliated brokers, rather than the one designated in the immediately
     preceding paragraph.

4.   REPORTS TO CLIENT

     Advisor will send Client an inventory of the investments of the Account as
     soon as reasonably possible after the end of each quarterly period. Copies
     of confirmations of transactions executed will be sent promptly to
     Custodian. The initial performance measurement period will begin within 90
     days of funding the Account. Advisor does not assume responsibility for the
     accuracy of information furnished by Client or any other party.

5.   VOTING OF PORTFOLIO SECURITIES

     Unless otherwise specifically agreed in writing, Advisor will not be
     required to take any action, or render any advice, with respect to the
     voting of portfolio securities.

6.   EXCULPATORY PROVISION

     The Client agrees the Advisor's authority hereunder shall not be impaired
     because of the fact that Advisor may effect transactions with respect to
     securities for its own account or for the accounts of others that Advisor
     manages. These transactions may involve identical or similar securities
     that Advisor may execute at the same or different times. Except for
     negligence or malfeasance, or violation of fiduciary duty or applicable
     law, neither Advisor nor any of its officers, directors or employees shall
     be liable hereunder for any action performed or omitted to be performed or
     for any errors of judgement in managing the Account. The federal and state
     securities laws may impose liabilities under certain circumstances on
     persons who act in good faith; therefore, nothing herein shall in any way
     constitute a waiver or limitation of any rights that the undersigned may
     have under any federal and state securities laws.

                                       2
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     If any loss is suffered due to the acts or omissions of a custodian,
     broker, dealer or underwriter to which Advisor has given investment
     instructions pursuant to this authority, the undersigned will look to the
     custodian, broker, dealer or underwriter, and not to Advisor to make
     restitution.

7.   NON-EXCLUSIVE CONTRACT

     Advisor acts as advisor to other clients and may give advice, and take
     action, with respect to any of those that may differ from the advice given,
     or the timing or nature of action taken, with respect to the Account.
     Advisor shall have no obligation to purchase or sell for the Account, or to
     recommend for purchase or sale by the Account, any security that Advisor,
     its principals, affiliates or employees may purchase or sell for themselves
     or for any other clients.

8.   AGREEMENT NOT ASSIGNABLE

     No assignment (as that term is defined in the Investment Advisors Act of
     1940) of this agreement may be made by Advisor without written consent of
     Client.

9.   TERMINATION

     This agreement may be terminated at any time upon written notice by either
     party. Fees will be prorated to the date of termination set forth in such
     written notice.

10.  REPRESENTATIONS

     Advisor represents that it is registered as an investment advisor under the
     Investment Advisors Act of 1940, as amended, and that such registration is
     currently effective. If the Account is subject to the Employee Retirement
     Security Act of 1974, as amended, ("ERISA"), Advisor acknowledges that it
     is a "fiduciary" (as that term is defined under ERISA) with respect to the
     Account.

     Advisor represents that it will notify Client in the event of a change in
     the partners of the Advisor.

     Client represents that employment of Advisor is authorized by, has been
     accomplished in accordance with, and does not violate, the documents
     governing the Account. Client will furnish Advisor with true copies of all
     governing documents. If the Account is subject to ERISA: (i) Client
     acknowledges that, if the Account is discretionary, it is a "named
     fiduciary", as defined under ERISA, with respect to the control or
     management of the assets of the Account; and (ii) Advisor agrees to obtain
     and maintain a bond, satisfying the requirements of Section 412 of ERISA.

11.  COMMUNICATIONS

     Instructions with respect to securities transactions may be given orally
     and, where deemed necessary, may be confirmed in writing as soon as
     practicable.

                                       3
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     Notices required to be given under this agreement shall be sent by
     certified mail and shall be deemed given when received at the addresses
     specified below, and as to the Custodian, at such address as it may specify
     to Advisor in writing, or at such other address as a party to receive
     notice may specify in a notice given in accordance with this provision.
     Advisor may rely on any notice from any person reasonably believed to be
     genuine and authorized.

12.  FEES

     Advisor's compensation for services shall be calculated and paid in
     accordance with the following schedule of fees.

     The annual fee, based on quarterly market value of the account under
     supervision, will be:

               70 Basis Points

               Minimum Annual Fee: $20,000.00

     Fees will be computed based on quarterly market value, exclusive of amounts
     invested in affiliated Mutual Funds of the Advisor, payable quarterly in
     arrears. Fees for an initial period, if less than a full quarter, will be
     prorated accordingly. The first quarterly period is to begin on
     __________________________________________________________________________.

     [ ]  By checking this box, Client hereby agrees that Advisor shall bill
          Custodian for all fees due and owing Advisor from Client pursuant to
          this Agreement and that Custodian is authorized to pay any such fees.
          Advisor shall provide Client with a copy of each bill at the same time
          that the bill is sent to Custodian, which bill shall, among other
          things, indicate the fee, the value of Client's assets for billing
          purposes, and the fee calculation.

13.  DISCLOSURE STATEMENT

     Client acknowledges receipt of Advisor's Disclosure Statement, which is
     Form ADV, Part II, as required by Rule 204-3 under the Investment Advisors
     Act of 1940, more than 48 hours prior to the date of execution of this
     agreement.

     If Advisor's Disclosure Statement has not been so received, Client shall
     have the option to terminate this agreement without penalty within five
     business days after that date of execution; however, any investment action
     taken by Advisor with respect to the Account prior to the effective date of
     such termination shall be at Client's risk.

                                        4
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14.  ENTIRE AGREEMENT; GOVERNING LAW

     This agreement constitutes the entire agreement of the parties with respect
     to management of the Account and can be amended only by written document
     signed by the parties. With respect to its investment advisory activities,
     the Advisor acknowledges that it is subject to the federal securities laws.
     With respect to other contractual matters, this contract shall be governed
     by the internal laws of the State of Michigan.

     Very truly yours,

Client: NORTH POINTE INSURANCE COMPANY

By: /s/ FRANCIS C. FLOOD
    -----------------------------------
Name/Position-Duly Authorized Signatory
FRANCIS C. FLOOD, GENERAL COUNSEL

Date:
      ---------------------------------
Address: 28819 FRANKLIN ROAD
City/State/Zip: SOUTHFIELD MI 48034

ACCEPTED BY:

Munder Capital Management
480 Pierce Street, Suite 300
P.O. Box 3043
Birmingham, MI 48012-3043

By: /s/ Peter K. Hoglund/CAO
    -----------------------------------
    Name/Position

Date: 9/13/04
     ----------------------------------

                                        5<PAGE>
                                                                   Exhibit 10.39

                     AMENDMENT NO. 3 TO AMENDED AND RESTATED
                                CREDIT AGREEMENT

     This Amendment No. 3 to Amended and Restated Credit Agreement ("Amendment")
dated as of March ___, 2005 by and among the lenders signatories hereto
("Banks"), Comerica Bank as agent for the Banks (in such capacity, "Agent"), and
North Pointe Holdings Corporation, a Michigan corporation ("Company").

                                    RECITALS

     A. Company and Banks entered into that certain Amended and Restated Credit
Agreement dated as of January 26, 2004, as amended by an Amendment No. 1 dated
as of March 31, 2004 and an Amendment No. 2 dated as of June 30, 2004
("Agreement").

     B. The parties desire to amend the Agreement.

     NOW, THEREFORE, the parties agree that the Agreement and the Term Notes are
amended as follows:

     1. Section 7.4 of the Agreement is amended to change the "; and" at the end
of subsection (g) to read ";", to substitute "; and" for the period at the end
of subsection (h) and to add the following substitution (i)

          "(i) existing indebtedness of Northwestern Zodiac Limited Partnership
     to IDS Life Insurance Company but no extension, renewal or increase
     thereof."

     2. Section 7.5 of the Agreement is amended to read in its entirety as
follows:

          "7.5 Acquisitions. Except for the acquisition of all of the Equity
     Interests of Northwestern Zodiac Limited Partnership pursuant to the terms
     of the Purchase Agreement dated February 11, 2005 between Financial, S.
     James Clarkson and Petcoff Financial Services, LLC, purchase or otherwise
     acquire or become obligated for the purchase of all or substantially all of
     the assets or business interests of any Person or any shares of stock of
     any Person or in any other manner effectuate or attempt to effectuate an
     expansion of present business by acquisition."

     3. Section 7.7 of the Agreement is amended to change the period at the end
of subsection (j) to read "; and" and to add the following subsection (k):

          "(k) a $1,500,000 investment made to acquire all of the Equity
     Interests of Northwestern Zodiac Limited Partnership."

     4. Section 7.7 of the Agreement is amended to change the "; and" at the end
of subsection (b) to read ";", to change the period at the end of subsection (c)
to be "; and" and to add the following subsection (d);
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          "(d) Liens to secure the indebtedness permitted under Section 7.4(i)"

     5. Company hereby represents and warrants that, after giving effect to the
amendments contained herein, (a) execution, delivery and performance of this
Amendment and any other documents and instruments required under this Amendment
or the Agreement are within Company's powers, have been duly authorized, are not
in contravention of law or the terms of the Company's Articles of Incorporation
or Bylaws and do not require the consent or approval of any governmental body,
agency, or authority; and this Amendment and any other documents and instruments
required under this Amendment or the Agreement, will be valid and binding in
accordance with their terms; (b) the representations and warranties of Company
set forth in Sections 5.1 through 5.6 and 5.8 through 5.21 of the Agreement are
true and correct in all material respects on and as of the date hereof with the
same force and effect as if made on and as of the date hereof; (c) the
representations and warranties of Company set forth in Section 5.7 of the
Agreement are true and correct in all material respects as of the date hereof
with respect to the most recent financial statements furnished to the Bank by
Company in accordance with Section 6.1 of the Agreement; and (d) no Event of
Default, or condition or event which, with the giving of notice or the running
of time, or both, would constitute an Event of Default under the Agreement, has
occurred and is continuing as of the date hereof.

     6. This Amendment shall be effective upon (a) execution hereof by Company,
Agent and the Banks, (b) execution by the Guarantors of a reaffirmation of
Guaranty in the form attached hereto as Exhibit A, and (c) execution and
delivery by Financial to Bank of an Amended and Restated Pledge Agreement in
form acceptable to Agent granting to Agent a first priority security interest in
the Equity Interests of Northwestern Zodiac Limited Partnership acquired by
Financial.

     7. This Amendment may be signed in any number of counterparts, each of
which when so executed and delivered shall be deemed an original, but all such
counterparts together shall constitute but one and the same instrument.

     8. Capitalized terms not defined herein shall have the meanings given to
them in the Agreement.
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     WITNESS the due execution hereof as of the day and year first above
written.

COMERICA BANK, AS AGENT                 NORTH POINTE HOLDINGS
                                        CORPORATION

By:                                     By: /s/ B. Matthew Petcoff
    ---------------------------------       ------------------------------------
Its: Vice President                     Its: Secretary
                                             -----------------------------------

BANKS:                                  COMERICA BANK

                                        By:
                                            ------------------------------------
                                        Its:
                                             -----------------------------------

                                        FIFTH THIRD BANK

                                        By:
                                            ------------------------------------
                                        Its:
                                             -----------------------------------

                                        JPMORGAN CHASE BANK, N.A.,
                                        SUCCESSOR BY MERGER TO BANK ONE NA

                                        By:
                                            ------------------------------------
                                        Its:
                                             -----------------------------------
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                                    EXHIBIT A

     The undersigned previously executed and delivered to Comerica Bank, as
Agent, Guaranty agreements dated January 26, 2004 ("Guaranties") with respect to
the obligations and liabilities of North Pointe Holdings Corporation
("Borrower") to Comerica Bank, Fifth Third Bank and JPMorgan Chase Bank N.A.,
successor by merger to Bank One NA. The undersigned acknowledge the foregoing
amendment to the Amended and Restated Credit Agreement dated January 26, 2004
between Borrower, Comerica Bank as Agent and the lenders party to the Credit
Agreement. The undersigned acknowledge and agree that the Guaranties remain in
full force and effect in accordance with their respective terms and that the
undersigned have no defense or setoff to their respective obligations under the
Guaranties.

Dated: March ___, 2005                  NORTH POINTE FINANCIAL
                                        SERVICES, INC.

                                        By:  /s/ B. Matthew Petcoff
                                            ------------------------------------
                                        Its: Exec. V.P.
                                             -----------------------------------

                                        N.P. PREMIUM FINANCE COMPANY

                                        By:  /s/ B. Matthew Petcoff
                                            ------------------------------------
                                        Its: V.P.
                                             -----------------------------------

                                        /s/ James G. Petcoff
                                        ----------------------------------------
                                        James G. Petcoff

                                        /s/ B. Matthew Petcoff
                                        ----------------------------------------
                                        B. Matthew Petcoff

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