Document:

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                                                                   EXHIBIT 10.35

                       AMENDMENT No. 1 TO AMENDMENT AND
                     RESTATED SENIOR MANAGEMENT AGREEMENT
                     ------------------------------------

     This is an Amendment, dated January 1, 2000 (the "Amendment") to the
Amended and Restated Senior Management Agreement made as of the 7th day of May,
1997 (the "Senior Management Agreement") by and between SELECT MEDICAL
CORPORATION, a Delaware corporation (the "Company"), and ROCCO A. ORTENZIO, an
individual (the "Executive").

                                  Background
                                  ----------

     The Company and the Executive executed and delivered the Senior Management
Agreement. The Company and the Executive now desire to amend the Senior
Management Agreement as hereinafter provided.

     Accordingly, and intended to be legally bound hereby, the Company and the
Executive agree as follows:

                                   Agreement
                                   ---------

     1.   The Senior Management Agreement is hereby amended by addition of the
following new Section 8(d):

          "(d) Split Dollar Life Insurance. Provided that the Executive is then
               ---------------------------
employed by the Company, and that the conditions of subsections (i) through (iv)
below are satisfied, the Company will pay premiums on the life insurance
policies held in the Rocco A. Ortenzio Irrevocable Trust under deed of trust
dated October 10, 1987, of which Michael E. Salerno ("Trustee") is trustee
("Executive's Insurance Trust"), as follows:

               (1)  during the year 2000, the Company will pay a total of
$1,190,000, plus;

               (2) an amount equal to $18,000 per month for each calendar month
in calendar 2000 following the Refinancing Date (as hereinafter defined), plus a
pro rata portion of that amount for the calendar month in which the Refinancing
Date occurs; provided that:

               (i)  Split Dollar Agreement. The Trustee of Executive's Life
                    ----------------------
Insurance Trust shall have entered into a split dollar agreement with Company,
substantially in the form attached as Exhibit 1 to this Amendment pursuant to
which the Company is entitled to be repaid the aggregate amount of the premiums
paid under this Section 8(d) within 60 days following the earlier of the
surrender of the life insurance policies with respect to which the Company has
paid premiums, or the death of the Executive. If some, but fewer than all of
such
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policies are surrendered, the Company will be entitled to be repaid that
percentage of the aggregate premiums paid hereunder that the cash value received
upon such surrender is of the total cash value of the policies upon with the
Company has paid premiums hereunder.

               (ii) Collateral Assignment. The Trustee of Executive's Life
                    ---------------------
Insurance Trust shall have entered into a collateral assignment with respect to
each policy upon which the Company is to pay premiums, substantially in the form
attached as Exhibit 2 to this Amendment, pursuant to which the obligation to
repay the Company the premiums paid by it, as described in paragraph a. above,
will be secured.

               (iii) Delivery to Insurance Company. The Trustee of Executive's
                     -----------------------------
Life Insurance Trust shall provide the Company with evidence, reasonably
satisfactory to the Company, that the collateral assignments described in
paragraph b above have been delivered to and received by each insurance company
issuing any policy which is the subject of such a collateral assignment.

               (iv) Assurances to Company. The Executive and the Trustee of
                    ---------------------
Executive's Life Insurance Trust shall have delivered to the Company assurances,
reasonably satisfactory to the Company, that the cash values of the insurance
policies on which the Company is to pay premiums hereunder, net of any policy
loans or other encumbrances that exist with respect to such policies, are
sufficient, or will be immediately following the payment of such premiums, to
discharge the obligation to repay the Company the aggregate amount of premiums
paid by it in the event of the surrender of those policies by the Executive or
the Trustee of Executive's Life Insurance Trust."

     2.   For purposes of the Employment Agreement, as amended by Amendment No.
1, the term "Refinancing Date" shall mean the first date upon which:

          a.   the Company has closed the refinancing of its Second Amended and
Restated Credit Agreement dated as of November 19, 1999, to the reasonable
satisfaction of the Company; and

          b.   after that refinancing has been accomplished, the debt created
thereby is solely that of the Company (and its subsidiaries) and no shareholder
or other investor in the Company guarantees or is otherwise directly obligated
to repay that debt.

     3.   Survival. The obligation to repay the Company the aggregate amount of
          --------
premiums paid by under Section 8(d) of the Employment Agreement as amended by
this Amendment No. 1, shall survive the termination of the Employment Agreement
until the Company has fully recovered the aggregate amount of the premiums paid
by it as described in this Section 8(d).

     4.   Except as amended hereby, the Employment Agreement shall continue in
effect in accordance with its terms.
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         IN WITNESS WHEREOF, the parties have executed this Agreement as of the
date first above written.

                                            SELECT MEDICAL CORPORATION

Attest: /s/ Michael E. Tarvin               By: /s/ Scott A. Romberger
       -----------------------------           ---------------------------------
         Michael E. Tarvin,                        Scott A. Romberger,
         Secretary                                 Vice President and Controller

Witness: [ILLEGIBLE]                         /s/ Rocco A. Ortenzio        (SEAL)
        ----------------------------        ------------------------------
                                                  Rocco A. Ortenzio<PAGE>

                      AMENDMENT TO ASSET PURCHASE AGREEMENT

         This AMENDMENT TO ASSET PURCHASE AGREEMENT (this "Amendment") is
executed as of the 15th day of September, 2000, by and between Digital
Insurance, Inc., a Delaware corporation ("Digital"), and HealthAxis.com, Inc., a
Pennsylvania corporation ("HealthAxis").

                              W I T N E S S E T H:
                              --------------------

         WHEREAS, Digital and HealthAxis have executed that certain Asset
Purchase Agreement dated June 30, 2000 (the "Asset Purchase Agreement" );

         WHEREAS, the Escrow Closing contemplated by the Asset Purchase
Agreement has been deferred;

         WHEREAS, the parties desire to amend the Asset Purchase Agreement as
set forth herein;

         WHEREAS, the parties desire to deliver the Asset Purchase Agreement and
this Amendment to be held pursuant to the terms of that certain Closing Escrow
Agreement dated as of September 15, 2000 among the parties and SunTrust Bank
(the "Escrow Agreement");

         NOW THEREFORE, in consideration of Ten Dollars ($10.00), and the mutual
covenants herein contained, and for other good and valuable consideration, the
receipt, adequacy and legal sufficiency of which are hereby acknowledged, the
parties hereto, intending to be legally bound, do hereby agree as follows:

         Section 1. Amendment to Asset Purchase Agreement. The following
Sections of the Asset Purchase Agreement are amended as follows:

         (a) Section 3.1(a) is hereby deleted in its entirety and replaced with
the following:

                  "(a) Consideration Deliverable at Closing. On the date of the
                  final consummation of the Closing pursuant to the Closing
                  Escrow Agreement (the "Escrow Closing"), Digital shall deliver
                  to HealthAxis the following consideration: (i) $500,000
                  payable by wire transfer of immediately available funds, and
                  (ii) $500,000 by delivery of a Promissory Note in the form
                  attached hereto as Exhibit A, providing for payment of two
                  principal installments of $250,000 each (plus accrued
                  interest) on March 1, 2001 and July 1, 2001; provided,
                  however, that in no event shall any installment be due under
                  the Promissory Note prior to five (5) business days after
                  "final acceptance of the Software Rights" (as defined
                  hereinbelow). For purposes hereof, "final acceptance of the
                  Software Rights" shall mean Digital's acceptance of the full
                  integration of eight (8) ready, willing and able carriers
                  identified in Exhibit B to this Amendment (or, at Digital's
                  election, may include Blue Cross of Georgia and Guardian
                  Insurance Company) on the V.3 website, demonstrating that the
                  Software Rights perform substantially and in all material
                  respects in accordance with Exhibit A to the Software License

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                  and Consulting Agreement and with all the functionality
                  specified in Schedule 4 of the Software License and Consulting
                  Agreement. If Digital substitutes any new carriers (other than
                  Blue Cross of Georgia and Guardian Insurance Company) to those
                  listed in Exhibit B to this Amendment, then the number of
                  carriers required to meet the acceptance test by March 1,
                  2001, shall be reduced by the number of such new carriers so
                  added at Digital's request.

                  The Promissory Note shall be dated as of June 30, 2000 and the
                  installment payments thereunder shall bear simple interest at
                  9.5% per annum beginning to accrue as of the date of the
                  Escrow Closing. All cash payments shall be made by wire
                  transfer of immediately available funds in accordance with the
                  wire transfer instructions delivered to Digital by HealthAxis
                  no later than three (3) business days prior to the payment
                  date."

         (b)      Section 4.3(a) is hereby deleted in its entirety and replaced
                  with the following

                  "(a) Purchase Price. The purchase price in the form of
                  $500,000 in cash by wire transfer of immediately available
                  funds, together with delivery of the $500,000 Promissory Note
                  pursuant to Section 3.1(a) herein."

         (c)      Section 5.1 is hereby amended by deleting the last sentence
                  thereof and inserting the following in lieu thereof at the end
                  of Section 5.1:

                  "Conditioned upon final consummation of the Escrow Closing,
each of the Transferred Employees will be leased by HealthAxis to DIGITAL for
the balance of the month in which the Escrow Closing occurs and such employees
shall become employees of Digital as of the first day of the succeeding month.
HealthAxis shall continue the benefits of the leased Transferred Employees for
the balance of the month in which the Escrow Closing occurs. On the last day of
the month immediately following the month in which the Escrow Closing occurs,
Digital shall reimburse HealthAxis (without interest) for the actual payroll and
benefit costs (including, applicable payroll taxes and insurance) for such
Transferred Employees for the period commencing July 1, 2000 and ending at
midnight on the last day of the month in which the Escrow Closing occurs (the
"Employee Costs"); provided however, that HealthAxis shall grant Digital a
credit in the amount of One Hundred Thirty Five Thousand Dollars ($135,000) to
be applied against the total Employee Costs. If DIGITAL determines that it does
not wish to employ up to twelve (12) of the persons listed on Schedule 5.1
hereto, then HealthAxis shall pay the severance costs for up to twelve (12) of
such persons that Digital elects not to employ."

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         (d)      Section 8.1 is hereby amended by deleting the second sentence
                  thereof and substituting in lieu thereof the following:

                  "Until such time as the retail web site has been revised to
                  reflect Digital as the legal agent of record and Digital has
                  secured the necessary state licenses to enable it to serve as
                  the legal agent of record for policies sold through such site
                  (the "Transition Period"), HealthAxis shall be the agent of
                  record for policies sold through the retail web site."

         (e)      Section 9.1 is hereby deleted in its entirety and replaced
                  with the following:

                  "Upon the Escrow Closing, Digital shall be entitled to all
                  revenue from the Insurance Business and the Assumed Contracts
                  effective as of July 1, 2000, and HealthAxis shall pay Digital
                  on the date of the Escrow Closing all such amounts collected
                  by HealthAxis for the period from and after July 1, 2000
                  through the date of the Escrow Closing less the commissions to
                  which HealthAxis is entitled pursuant to Section 3.4 hereof.
                  After the date of the Escrow Closing, Digital shall pay
                  HealthAxis the commissions as provided in Section 3.4 hereof
                  provided, that HealthAxis shall maintain all appropriate
                  licenses to allow HealthAxis to lawfully receive such
                  payments."

         (f)      Section  17.1(b) is hereby amended by deleting the date
                  September 15, 2000 from the second line and substituting in
                  lieu thereof December 31, 2000.

         Section 2.   Bring Down Warranties.

         (a)      Bring Down Warranty regarding Section 11.4. HealthAxis
                  represents and warrants to Digital that (except as disclosed
                  in the Bring Down Addendum attached hereto as Exhibit C and
                  except for changes in day-to-day operational matters relating
                  to the Assets and the Transferred Employees since June 30,
                  2000 authorized by Digital) HealthAxis is in compliance with
                  its obligations under Section 11.4 of the Asset Purchase
                  Agreement and that, as of the date of this Amendment, there is
                  no information contained in its representations or warranties
                  or any of the Schedules to the Asset Purchase Agreement
                  pertaining to HealthAxis or the Assets, which, because of an
                  event occurring after June 30, 2000, is incomplete or is no
                  longer correct.

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         (b)      Bring Down Warranty regarding Article V and Section 7.2.
                  Digital represents and warrants to HealthAxis that (except as
                  disclosed in the Bring Down Addendum attached hereto as
                  Exhibit C and except for changes in day-to-day operational
                  matters relating to the Assets and the Transferred Employees
                  since June 30, 2000 requested by Digital) Digital is in
                  compliance with its obligations under Article V and Section
                  7.2 of the Asset Purchase Agreement and that, as of the date
                  of this Amendment, there is no information contained in its
                  representations or warranties or any of the Schedules to the
                  Asset Purchase Agreement pertaining to Digital, which, because
                  of an event occurring after June 30, 2000, is incomplete or is
                  no longer correct.

         Section 3. Closing Date. It is the parties' intent that, subject to
consummation of the Closing pursuant to the Closing Escrow Agreement, the
"Closing Date" shall be deemed effective as of midnight, June 30, 2000, except
that (i) the date of issuance of the Digital Common Stock and the effective date
of the Addendum to Stockholders Agreement shall be the date of the Escrow
Closing, and (ii) the "Closing Date" as used in Sections 16.1 and 16.2 of the
Asset Purchase Agreement shall be the date of the Escrow Closing.

         Section 4. Full Force and Effect. Subject to the final consummation of
the Closing pursuant to the Closing Escrow Agreement, the Asset Purchase
Agreement, as amended hereby, shall remain in full force and effect. To the
extent there are any inconsistencies between the terms of this Amendment and the
terms of the Asset Purchase Agreement, the terms of this Amendment shall
prevail.

         Section 5. Counterparts. This Amendment may be executed in several
counterparts, each of which when fully executed shall be an original, and all
such counterparts taken together shall be deemed to constitute one and the same
amendment. Delivery of any signature page via telecopy or other electronic
facsimile transmission shall be deemed equivalent to physical delivery of the
original signature page. Any signature page of any counterpart hereof, whether
bearing an original signature or an electronic facsimile transmission of a
signature, may be appended to any other counterpart hereof to form a completely
executed counterpart hereof.

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         IN WITNESS WHEREOF, the parties have caused this Amendment to be
executed by their duly authorized representatives effective as of the date first
above written.

DIGITAL INSURANCE, INC.                              HEALTHAXIS.COM, INC.

BY: /s/ THOMAS O. USILTON                   BY: /s/ MICHAEL ASHKER
    ---------------------                       ------------------
    THOMAS O. USILTON                           MICHAEL ASHKER
    PRESIDENT & CEO                             PRESIDENT & CEO

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