Document:

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                                                                  Exhibit 10.12

                        UNDERWRITING MANAGEMENT AGREEMENT

          This Agreement is entered into effective as of December 12, 2003, by
and between PLATTE RIVER INSURANCE COMPANY (hereinafter called the "Company"),
and DARWIN PROFESSIONAL UNDERWRITERS INC. (hereinafter called the "Manager").

          WHEREAS, the Manager intends to develop, produce and market the
insurance business specified in Appendix I, Insurance Business (hereinafter
called the "Business") and desires to underwrite, administer and market the
Business on behalf of the Company; and

          WHEREAS, the Company wishes that the Manager underwrite, administer
and market the Business;

          NOW, THEREFORE, in consideration of the promises herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, it is agreed that:

SECTION 1 - APPOINTMENT AND AUTHORITY

     1.0  The Company hereby appoints the Manager as its exclusive agent for
          writing the Business, except the Company may write the Business with
          an agent other than Darwin, without violating the exclusivity
          provision of this Section 1.0, in the event Company requests that the
          Manager act as agent for a given account or program and the Manager
          declines Company's request. Notwithstanding the foregoing, (i) in the
          event that Alleghany Corporation or any of its subsidiaries acquires
          an insurer which is engaged in one or more lines of Business but is
          not licensed in one or more jurisdictions in which the Company is
          licensed, the Company may as an accommodation issue policies with
          respect to such lines of Business at the request of that insurer for a
          period of no more than six months following such acquisition without
          violating the exclusivity provisions of this Section 1.0 and (ii) the
          Company may issue surety products, policies to and in connection with
          the Company's property and casualty accounts and programs in place at
          June 1, 2003 and coverages incidental to or in conjunction with
          commercial package policies, without violating the exclusivity
          provisions of this Section 1.0.

     1.1  In conducting the Business, the Manager is responsible for and is
          authorized to:

          a.   Solicit and evaluate applications;

          b.   Subject to Appendix II, Underwriting Guidelines (the
               "Underwriting Guidelines"), determine the underwriting
               acceptability of risks and rate, quote, negotiate, bind,
               manuscript, issue, adjust, renew and deliver policies, assumed
               facultative and treaty reinsurance agreements, endorsements,
               certificates and binders with respect to the Business
               (hereinafter called the "Contracts");

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          c.   Bill, collect and remit to the Company all premiums for the
               Contracts and keep the necessary records to support each
               transaction in accordance with the guidelines specified in
               Appendix III, Accounting and Records (the "Accounting and Records
               Guidelines");

          d.   Retain, out of premiums collected, expense reimbursement subject
               to the terms specified in Appendix IV, Payments;

          e.   In accordance with the laws of the applicable jurisdiction,
               effect cancellation, nonrenewal or rescission of Contracts on any
               risk bound by the Manager for nonpayment of premium or other
               causes as the Manager may deem to be in the interests of the
               Company or as directed by the Company. No provision of this
               Agreement shall be deemed to restrict the Company's rights to
               cancel or not renew any policy of insurance subject to the
               applicable laws and regulations concerning the cancellation and
               nonrenewal of insurance policies;

          f.   Report claims to the Company and administer, settle and maintain
               records of claims in accordance with the claims guidelines
               provided in Appendix V, Claims (the "Claims Guidelines"); and

          g.   Accept proposals of insurance and assumed reinsurance from
               agents, brokers or solicitors (hereinafter called "Subproducers")
               and determine the amount of compensation payable to such
               Subproducers. The Manager agrees that any compensation payable to
               a Subproducer will be its sole responsibility and the Company
               shall have no liability for any such compensation unless
               otherwise agreed to in writing by the Company and the Manager
               and, further, that no Subproducer shall be appointed or
               considered as agent of the Company without the Company's prior
               written consent thereto. The Manager shall be solely responsible
               for confirming that all Subproducers approved by the Company
               possess all licenses and appointments required under applicable
               law.

SECTION 2 - LIMITATIONS OF AUTHORITY

     2.0  The Manager shall not accept proposals or bind the Company for
          insurance (i) on risks not included in the types of insurance
          specified in Appendix I, Insurance Business, (ii) on risks deemed
          unacceptable, as specified in the Underwriting Guidelines, and (iii)
          as the Company may direct in writing from time to time. The Manager
          shall have no authority to bind the Company to any ceding reinsurance
          agreements.

     2.1  Except for use of either party's name in correspondence in the
          ordinary course of business, neither party shall use the other party's
          name, logo or marks in any advertisement, sales or promotional
          materials without providing notice thereof to the other party before
          or within 10 days of such use. Neither party shall continue

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          such use upon receipt of an objection thereto by the other party, such
          objection not to be unreasonably made.

     2.2  The Manager shall not institute legal proceedings on behalf of the
          Company except (i) for collection of premium, (ii) as may be specified
          in the Claims Guidelines or (iii) as otherwise agreed by the Company
          and the Manager.

     2.3  With respect to the insurance functions performed for the Company by
          the Manager, it is specifically recognized that the relationship
          between the Manager and the Company shall be that of an authorized
          agent acting on behalf of a principal. In all other respects, however,
          the Manager shall conduct its business as an independent contractor.

     2.4  The Manager shall not authorize any other person or entity to exercise
          any of the Manager's underwriting authority specified herein without
          the prior written consent of the Company.

SECTION 3 - OWNERSHIP AND CONTROL OF PROPRIETARY INFORMATION

     3.0  As used herein, "Proprietary Information" means all intellectual
          property rights, copyrights, trademarks, trade names, trade secrets
          and all underwriting and marketing materials originated or
          substantially developed by the Manager or the Company relating to the
          Business including, but not limited to, underwriting manuals,
          applications, Contract forms, advertisements, brochures, newsletters,
          loss prevention materials and marketing logos. The Company and the
          Manager both acknowledge that Proprietary Information developed or
          acquired by the other party prior to or subsequent to the inception
          date of this Agreement is owned by the other party and shall continue
          to be owned by the other party in the event of the termination of this
          Agreement, regardless of the reason for the termination.

SECTION 4 - OTHER DUTIES AND RESPONSIBILITIES

     4.0  It is the responsibility of the Manager and the Company to comply with
          all laws and regulations applicable to the Business, including but not
          limited to:

          a.   Obtaining and maintaining appropriate licenses;

          b.   Maintaining accurate records of all transactions affecting the
               Business;

          c.   Complying with any and all cancellation, nonrenewal and
               countersignature requirements imposed by law; and

          d.   Complying with the requirements of any other applicable insurance
               laws.

          The Manager and the Company shall comply with the specific
          requirements applicable to each, and shall assist each other whenever
          possible in complying with this Section 4.0.

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     4.1  The Company shall pay all premium related taxes, with the exception of
          surplus lines taxes which shall be the responsibility of the Manager
          or another licensed surplus lines broker or agent producing Business
          to the Manager, unless otherwise agreed upon in writing by the Company
          and the Manager.

     4.2  The Manager shall observe all regulatory restrictions upon the
          licensing and soliciting of insurance in each jurisdiction.

     4.3  The Manager shall become a licensed agent of the Company and the
          Company shall assist the Manager in obtaining licenses when required
          by applicable law. The Manager shall secure a proper countersignature
          for each Contract when required by law.

     4.4  Except as otherwise provided herein, the Manager shall be responsible
          for its own expenses which shall include, but not be limited to, all
          employee compensation, all business license fees, overhead expenses,
          in-house claim services expenses, commissions to Subproducers and
          compensation to associates or entities sponsoring or endorsing any
          Business. The Company's approval is necessary prior to the Manager
          obtaining any sponsorship or endorsement of the Business from any
          third party.

     4.5  The Manager will maintain a competent and sufficient staff to perform
          the underwriting functions. The Manager also will maintain a competent
          and sufficient staff or will retain competent and sufficient third
          parties, including without limitation monitoring counsel, to perform
          investigation and adjustment of claims, Contract issuance, billing and
          generation of reports for the Business and any other non-underwriting
          activity as the Manager determines is necessary and appropriate.

SECTION 5 - FUNDS HELD BY THE MANAGER ON BEHALF OF THE COMPANY

     5.0  All funds collected or received by the Manager for or on behalf of the
          Company shall be held in a fiduciary capacity by the Manager in an
          account in a financial institution which is a member of the Federal
          Reserve System. This account shall be used for all payments on behalf
          of the Company. Provided the Manager has, in accordance with the terms
          of this Agreement, accounted for and paid to the Company all premiums
          and other monies legally due and owing to the Company, any investment
          income produced from the fiduciary funds held on behalf of the Company
          by the Manager shall vest and become the property of the Manager, and
          the Company waives any right of ownership to such investment income.

SECTION 6 - EXPENSE REIMBURSEMENT AND INCENTIVE COMPENSATION PAYMENTS

     6.0  The Manager shall be entitled to an expense reimbursement payment and
          an incentive compensation payment in respect of Business written
          pursuant to this Agreement in the amounts specified in Appendix IV,
          Payments. The Manager

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          shall report transactions to the Company in the manner specified in
          Appendix III, Accounting and Records, and shall deduct from its
          remittance of premiums to the Company an amount in respect of the
          expense reimbursement payment provided for in Article IV.

SECTION 7 - ACCOUNTING

     7.0  The Manager shall account for and forward all money due to the Company
          with respect to the Business transacted on behalf of the Company in
          accordance with Appendix III, Accounting and Records.

SECTION 8 - RECORDS AND AUDITING

     8.0  The Manager will maintain separate records of business written by the
          Manager for the Company. The Company has the right, upon reasonable
          written notice and during normal business hours of the Manager, to
          copy, inspect and audit all the records, files and documents related
          to the Business as the Company, at its sole discretion, deems
          necessary. The Manager agrees to cooperate with the Company in
          conducting such inspections and audits. The insurance commissioner of
          the State of Nebraska (the "Commissioner") shall have access to all
          books, bank accounts and records of the Manager in a form usable by
          the Commissioner. The Manager shall retain records pursuant to the
          requirements of the insurance laws of the State of Nebraska.

     8.1  The Manager will submit to the Company on a daily basis notification
          of policies bound during the previous business day and such other
          information as is agreed between the parties.

     8.2  The Manager will assist the Company in responding to any regulatory
          requirements, audits or other inquiries.

     8.3  Use, ownership and control of expirations shall remain with the
          Manager following the termination of this Agreement.

SECTION 9 - INDEMNIFICATION

     9.0  The Company agrees to indemnify and hold the Manager harmless from and
          against all claims, actions, causes of action, liability or loss which
          arise from any negligent or willful acts, errors or omissions by the
          Company, or its directors, officers or employees, in the performance
          or breach of duties under this Agreement. Loss will include, but not
          be limited to, all damages, costs, expenses, reasonable attorneys'
          fees and other legal fees, penalties, fines, direct or consequential
          damages, assessments, verdicts (including punitive damages to the
          extent permissible by law) and any other expense or expenditure
          incurred by the Manager.

     9.1  The Manager agrees to indemnify and hold the Company harmless from and
          against all claims, actions, causes of action, liability or loss which
          arise from any

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          negligent or willful acts, errors or omissions by the Manager, or its
          directors, officers or employees, in the performance or breach of
          duties under this Agreement. Loss will include, but not be limited to,
          all damages, costs, expenses, reasonable attorneys' fees and other
          legal fees, penalties, fines, direct or consequential damages,
          assessments, verdicts (including punitive damages to the extent
          permissible by law) and any other expense or expenditure incurred by
          the Company.

SECTION 10 - TERMINATION

     10.0 a.   This Agreement shall commence as of June 1, 2003, and continue,
               except as otherwise provided herein, through May 31, 2007 (the
               "Expiration Date"), and shall thereafter continue in effect as
               provided in Section 10.0(b), unless terminated by either party in
               accordance with Section 10.1 of this Agreement.

          b.   Subject to the provisions of Section 10.1 herein below, at each
               twelve (12) month anniversary following the Expiration Date of
               this Agreement, this Agreement shall be deemed automatically
               extended for an additional twelve (12) month period and the
               Expiration Date specified in Section 10.0(a) shall be deemed to
               be so amended, without further notice.

     10.1 Notwithstanding Section 10.0:

          a.   Either party may terminate this Agreement for any reason
               whatsoever effective upon the Expiration Date by providing not
               less than sixty (60) days prior written notice to the other party
               evidencing said party's intent to terminate this Agreement at
               such Expiration Date.

          b.   This Agreement may be terminated at any time upon the mutual
               written agreement of the Company and the Manager.

          c.   This Agreement may be terminated by the Company at any time by
               written notice in the event the Manager files for bankruptcy,
               becomes insolvent or assigns all or part of its assets for the
               benefit of creditors.

          d.   This Agreement may also be terminated by the Company or by the
               Manager at any time by written notice if the other party
               materially breaches the terms of this Agreement, which breach is
               not cured within 30 days after notice thereof has been delivered
               to the breaching party. The Company may suspend the Manager's
               underwriting and claim authority during the pendency of any
               dispute regarding the cause for termination.

          e.   The Company may terminate this Agreement at any time by written
               notice upon (i) a consolidation or merger of the Manager
               resulting in Alleghany Corporation's failure to own, directly or
               indirectly, at least 51 % of the outstanding equity interests in
               the Manager, (ii) a sale by Alleghany Corporation or its
               affiliates of equity interests in the Manager resulting in

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               Alleghany Corporation's failure to own, directly or indirectly,
               at least 51% of the outstanding equity interests in the Manager,
               or (iii) a sale of all or substantially all of the assets of the
               Manager to a person other than Alleghany Corporation or any of
               its affiliates. The Manager may terminate this Agreement at any
               time by written notice upon (i) a consolidation or merger of the
               Company resulting in Alleghany Corporation's failure to own,
               directly or indirectly, at least 51 % of the outstanding equity
               interests in the Company, (ii) a sale by Alleghany Corporation or
               its affiliates of equity interests in the Company resulting in
               Alleghany Corporation's failure to own, directly or indirectly,
               at least 51% of the outstanding equity interests in the Company
               or (iii) a sale of all or substantially all of the assets of the
               Company and its subsidiaries to a person other than Alleghany
               Corporation or any of its affiliates.

     10.2 The Manager's appointment and authority for the Business written under
          this Agreement is subject to the following:

          a.   That the Company is able to obtain and maintain in force at all
               times reinsurance satisfactory to the Company for the Business.
               The Manager shall assist the Company to obtain reinsurance with
               respect to the Business, consistent with the Underwriting
               Guidelines; and

          b.   If the Company's reinsurance is terminated or no longer in full
               force and effect for all or any part of the Business, the Company
               may, upon written notice to the Manager, reduce the Manager's
               authority for the Business or any part of the Business affected
               so that the Company's net retention levels, as described in the
               Underwriting Guidelines, are not exceeded.

     10.3 In the event of termination of this Agreement, the Company, in its
          sole discretion, may continue in-force Contracts until their stated
          expiration dates, subject to the following provisions:

          a.   Notwithstanding anything contained herein, the Company reserves
               all of its rights to cancel and/or non-renew Contracts for
               nonpayment of premium, and Contracts issued in violation of the
               Underwriting Guidelines then applicable; and

          b.   The Manager shall continue to be the agent of the Company, but
               only with respect to the servicing of Contracts in-force on or
               before the date of termination of this Agreement and the
               administration of claims made on Contracts issued under this
               Agreement. The Company may suspend or terminate Manager's
               authority under this Section 10.3(b) in the event this Agreement
               is terminated because of breach by Manager of the material terms
               of this Agreement.

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SECTION 11 - GENERAL PROVISIONS

     11.0 Neither party will delegate or assign its rights, duties or
          obligations under this Agreement without the prior written consent of
          the other party.

     11.1 This Agreement shall be governed exclusively by the internal laws of
          the State of Nebraska without giving effect to the conflicts of laws
          provisions thereof.

     11.2 Except upon the prior written consent of Company, Manager shall not
          represent any other insurer not affiliated with Alleghany Corporation
          with respect to the insurance business specified in Appendix I.

     11.3 If any portion of this Agreement is in contravention of any statute,
          governmental regulation or directive, such portion shall be
          interpreted to conform to such statute, governmental regulation or
          directive without further action by the Manager or by the Company.

     11.4 In the event that any provision of this Agreement is struck down as
          invalid or unenforceable, the remainder of the Agreement shall remain
          binding and in effect.

     11.5 The failure of either party to enforce any provision of this Agreement
          shall not constitute a waiver by either party of any such provision.

     11.6 If any dispute or disagreement shall arise in connection with any
          interpretation of this Agreement, its performance or nonperformance,
          or the figures or calculations used, the parties shall make every
          effort to meet informally and settle their dispute in good faith.

     11.7 The Company and the Manager each represent that they are authorized to
          enter into this Agreement, in compliance with applicable law.

     11.8 The provisions of this Agreement together with the Appendices and any
          Addendum or Addenda attached hereto, constitute the entire Agreement.
          This Agreement may not be altered or modified, except in writing,
          signed by both parties.

     11.9 The parties acknowledge that the following Appendices are attached
          hereto and incorporated herein by reference as of the inception date
          of this Agreement:

          Appendix I     Insurance Business
          Appendix II    Underwriting Guidelines
          Appendix III   Accounting and Records
          Appendix IV    Payments
          Appendix V     Claims

     11.10 This Agreement may be executed in counterparts, each of which when
          construed together shall constitute the whole.

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SECTION 12 - NOTICES

     12.0 All written notices under this Agreement shall be mailed by certified
          or registered mail, return receipt requested, or sent by facsimile, as
          follows:

          a.   To the Company:   PLATTE RIVER INSURANCE COMPANY
                                 4610 University Avenue
                                 Madison, Wisconsin 53705
                                 Attention: David F. Pauly
                                 Facsimile: (608) 231-2053

          b.   To the Manager:   DARWIN PROFESSIONAL UNDERWRITERS INC.
                                 76 Batterson Park Road
                                 Farmington, Connecticut
                                 Attention: Mark I. Rosen
                                 Facsimile: (860) 507-1006

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in
duplicate by their respective duly authorized officers,

PLATTE RIVER INSURANCE COMPANY          DARWIN PROFESSIONAL UNDERWRITERS INC.

Dated as of December 12, 2003           Dated as of December 12, 2003

By:  /s/ Thomas Manion                  By: /s/ John L. Sennott, Jr.
    ---------------------------------       ------------------------------------
Its: VP, CFO, & Treasurer               Its: SVP, CFO
     --------------------------------        -----------------------------------

                                        9<PAGE>
                                                                   Exhibit 10.13

                        UNDERWRITING MANAGEMENT AGREEMENT

          This Agreement is entered into effective as of June 1, 2003, by and
between CAPITOL INDEMNITY CORPORATION (hereinafter called the "Company"), and
DARWIN PROFESSIONAL UNDERWRITERS INC. (hereinafter called the "Manager").

          WHEREAS, the Manager intends to develop, produce and market the
insurance business specified in Appendix I, Insurance Business (hereinafter
called the "Business") and desires to underwrite, administer and market the
Business on behalf of the Company; and

          WHEREAS, the Company wishes that the Manager underwrite, administer
and market the Business;

          NOW, THEREFORE, in consideration of the promises herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, it is agreed that:

SECTION 1 - APPOINTMENT AND AUTHORITY

1.0  The Company hereby appoints the Manager as its exclusive agent for writing
     the Business, except the Company may write the Business with an agent other
     than Darwin, without violating the exclusivity provision of this Section
     1.0, in the event Company requests that the Manager act as agent for a
     given account or program and the Manager declines Company's request.
     Notwithstanding the foregoing, (i) in the event that Alleghany Corporation
     or any of its subsidiaries acquires an insurer which is engaged in one or
     more lines of Business but is not licensed in one or more jurisdictions in
     which the Company is licensed, the Company may as an accommodation issue
     policies with respect to such lines of Business at the request of that
     insurer for a period of no more than six months following such acquisition
     without violating the exclusivity provisions of this Section 1.0 and (ii)
     the Company may issue surety products, policies to and in connection with
     the Company's property and casualty accounts and programs in place at June
     1, 2003 and coverages incidental to or in conjunction with commercial
     package policies, without violating the exclusivity provisions of this
     Section 1.0.

1.1  In conducting the Business, the Manager is responsible for and is
     authorized to:

     a.   Solicit and evaluate applications;

     b.   Subject to Appendix II, Underwriting Guidelines (the "Underwriting
          Guidelines"), determine the underwriting acceptability of risks and
          rate, quote, negotiate, bind, manuscript, issue, adjust, renew and
          deliver policies, assumed facultative and treaty reinsurance
          agreements, endorsements, certificates and binders with respect to the
          Business (hereinafter called the "Contracts");

     c.   Bill, collect and remit to the Company all premiums for the Contracts
          and keep the necessary records to support each transaction in
          accordance with the

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          guidelines specified in Appendix III, Accounting and Records (the
          "Accounting and Records Guidelines");

     d.   Retain, out of premiums collected, expense reimbursement subject to
          the terms specified in Appendix IV, Payments;

     e.   In accordance with the laws of the applicable jurisdiction, effect
          cancellation, nonrenewal or rescission of Contracts on any risk bound
          by the Manager for nonpayment of premium or other causes as the
          Manager may deem to be in the interests of the Company or as directed
          by the Company. No provision of this Agreement shall be deemed to
          restrict the Company's rights to cancel or not renew any policy of
          insurance subject to the applicable laws and regulations concerning
          the cancellation and nonrenewal of insurance policies;

     f.   Report claims to the Company and administer, settle and maintain
          records of claims in accordance with the claims guidelines provided in
          Appendix V, Claims (the "Claims Guidelines"); and

     g.   Accept proposals of insurance and assumed reinsurance from agents,
          brokers or solicitors (hereinafter called "Subproducers") and
          determine the amount of compensation payable to such Subproducers. The
          Manager agrees that any compensation payable to a Subproducer will be
          its sole responsibility and the Company shall have no liability for
          any such compensation unless otherwise agreed to in writing by the
          Company and the Manager and, further, that no Subproducer shall be
          appointed or considered as agent of the Company without the Company's
          prior written consent thereto. The Manager shall be solely responsible
          for confirming that all Subproducers approved by the Company possess
          all licenses and appointments required under applicable law.

SECTION 2 - LIMITATIONS OF AUTHORITY

2.0  The Manager shall not accept proposals or bind the Company for insurance
     (i) on risks not included in the types of insurance specified in Appendix
     I, Insurance Business, (ii) on risks deemed unacceptable, as specified in
     the Underwriting Guidelines, and (iii) as the Company may direct in writing
     from time to time. The Manager shall have no authority to bind the Company
     to any ceding reinsurance agreements.

2.1  Except for use of either party's name in correspondence in the ordinary
     course of business, neither party shall use the other party's name, logo or
     marks in any advertisement, sales or promotional materials without
     providing notice thereof to the other party before or within 10 days of
     such use. Neither party shall continue such use upon receipt of an
     objection thereto by the other party, such objection not to be unreasonably
     made.

2.2  The Manager shall not institute legal proceedings on behalf of the Company
     except (i) for collection of premium, (ii) as may be specified in the
     Claims Guidelines or (iii) as otherwise agreed by the Company and the
     Manager.

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2.3  With respect to the insurance functions performed for the Company by the
     Manager, it is specifically recognized that the relationship between the
     Manager and the Company shall be that of an authorized agent acting on
     behalf of a principal. In all other respects, however, the Manager shall
     conduct its business as an independent contractor.

2.4  The Manager shall not authorize any other person or entity to exercise any
     of the Manager's underwriting authority specified herein without the prior
     written consent of the Company.

SECTION 3 - OWNERSHIP AND CONTROL OF PROPRIETARY INFORMATION

3.0  As used herein, "Proprietary Information" means all intellectual property
     rights, copyrights, trademarks, trade names, trade secrets and all
     underwriting and marketing materials originated or substantially developed
     by the Manager or the Company relating to the Business including, but not
     limited to, underwriting manuals, applications, Contract forms,
     advertisements, brochures, newsletters, loss prevention materials and
     marketing logos. The Company and the Manager both acknowledge that
     Proprietary Information developed or acquired by the other party prior to
     or subsequent to the inception date of this Agreement is owned by the other
     party and shall continue to be owned by the other party in the event of the
     termination of this Agreement, regardless of the reason for the
     termination.

SECTION 4 - OTHER DUTIES AND RESPONSIBILITIES

4.0  It is the responsibility of the Manager and the Company to comply with all
     laws and regulations applicable to the Business, including but not limited
     to:

     a.   Obtaining and maintaining appropriate licenses;

     b.   Maintaining accurate records of all transactions affecting the
          Business;

     c.   Complying with any and all cancellation, nonrenewal and
          countersignature requirements imposed by law; and

     d.   Complying with the requirements of any other applicable insurance
          laws.

          The Manager and the Company shall comply with the specific
          requirements applicable to each, and shall assist each other whenever
          possible in complying with this Section 4.0.

4.1  The Company shall pay all premium related taxes, with the exception of
     surplus lines taxes which shall be the responsibility of the Manager or
     another licensed surplus lines broker or agent producing Business to the
     Manager, unless otherwise agreed upon in writing by the Company and the
     Manager.

4.2  The Manager shall observe all regulatory restrictions upon the licensing
     and soliciting of insurance in each jurisdiction.

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4.3  The Manager shall become a licensed agent of the Company and the Company
     shall assist the Manager in obtaining licenses when required by applicable
     law. The Manager shall secure a proper countersignature for each Contract
     when required by law.

4.4  Except as otherwise provided herein, the Manager shall be responsible for
     its own expenses which shall include, but not be limited to, all employee
     compensation, all business license fees, overhead expenses, in-house claim
     services expenses, commissions to Subproducers and compensation to
     associates or entities sponsoring or endorsing any Business. The Company's
     approval is necessary prior to the Manager obtaining any sponsorship or
     endorsement of the Business from any third party.

4.5  The Manager will maintain a competent and sufficient staff to perform the
     underwriting functions. The Manager also will maintain a competent and
     sufficient staff or will retain competent and sufficient third parties,
     including without limitation monitoring counsel, to perform investigation
     and adjustment of claims, Contract issuance, billing and generation of
     reports for the Business and any other non-underwriting activity as the
     Manager determines is necessary and appropriate. Any such sub-contracted
     for services will not be performed by any person or entity that is an
     affiliate or an associate of Manager or an officer, director or employee of
     Manager without the specific written approval of Company.

SECTION 5 - FUNDS HELD BY THE MANAGER ON BEHALF OF THE COMPANY

5.0  All funds collected or received by the Manager for or on behalf of the
     Company shall be held in a fiduciary capacity by the Manager in an account
     in a financial institution which is a member of the Federal Reserve System.
     This account shall be used for all payments on behalf of the Company.
     Provided the Manager has, in accordance with the terms of this Agreement,
     accounted for and paid to the Company all premiums and other monies legally
     due and owing to the Company, any investment income produced from the
     fiduciary funds held on behalf of the Company by the Manager shall vest and
     become the property of the Manager, and the Company waives any right of
     ownership to such investment income.

SECTION 6 - EXPENSE REIMBURSEMENT AND INCENTIVE COMPENSATION PAYMENTS

6.0  The Manager shall be entitled to an expense reimbursement payment and an
     incentive compensation payment in respect of Business written pursuant to
     this Agreement in the amounts specified in Appendix IV, Payments. The
     Manager shall report transactions to the Company in the manner specified in
     Appendix III, Accounting and Records, and shall deduct from its remittance
     of premiums to the Company an amount in respect of the expense
     reimbursement payment provided for in Article IV.

SECTION 7 - ACCOUNTING

7.0  The Manager shall account for and forward all money due to the Company with
     respect to the Business transacted on behalf of the Company in accordance
     with Appendix III, Accounting and Records.

                                        4

<PAGE>

SECTION 8 - RECORDS AND AUDITING

8.0  The Manager will maintain separate records of business written by the
     Manager for the Company. The Company has the right, upon reasonable written
     notice and during normal business hours of the Manager, to copy, inspect
     and audit all the records, files and documents related to the Business as
     the Company, at its sole discretion, deems necessary. The Manager agrees to
     cooperate with the Company in conducting such inspections and audits. The
     insurance commissioner of the State of Wisconsin (the "Commissioner") shall
     have access to all books, bank accounts and records of the Manager in a
     form usable by the Commissioner. The Manager shall retain records according
     to sections Ins 6.61 and 6.80 of the Wisconsin Administrative Code Rules of
     the Commissioner of Insurance.

8.1  The Manager will submit to the Company on a daily basis notification of
     policies bound during the previous business day and such other information
     as is agreed between the parties.

8.2  The Manager will assist the Company in responding to any regulatory
     requirements, audits or other inquiries. The Manager will assist Company in
     any way necessary in order for Company to meet its obligations under sec.
     Ins 42.05, Wis. Adm. Code, including but not limited to, providing Company
     with any requested data, documentation or files related to the business
     written by the Manager for the Company.

8.3  Use, ownership and control of expirations shall remain with the Manager
     following the termination of this Agreement.

SECTION 9 - INDEMNIFICATION

9.0  The Company agrees to indemnify and hold the Manager harmless from and
     against all claims, actions, causes of action, liability or loss which
     arise from any negligent or willful acts, errors or omissions by the
     Company, or its directors, officers or employees, in the performance or
     breach of duties under this Agreement. Loss will include, but not be
     limited to, all damages, costs, expenses, reasonable attorneys' fees and
     other legal fees, penalties, fines, direct or consequential damages,
     assessments, verdicts (including punitive damages to the extent permissible
     by law) and any other expense or expenditure incurred by the Manager.

9.1  The Manager agrees to indemnify and hold the Company harmless from and
     against all claims, actions, causes of action, liability or loss which
     arise from any negligent or willful acts, errors or omissions by the
     Manager, or its directors, officers or employees, in the performance or
     breach of duties under this Agreement. Loss will include, but not be
     limited to, all damages, costs, expenses, reasonable attorneys' fees and
     other legal fees, penalties, fines, direct or consequential damages,
     assessments, verdicts (including punitive damages to the extent permissible
     by law) and any other expense or expenditure incurred by the Company.

                                        5

<PAGE>

SECTION 10 - TERMINATION

10.1 a.   This Agreement shall commence as of June 1, 2003, and continue, except
          as otherwise provided herein, through May 31, 2007 (the "Expiration
          Date"), and shall thereafter continue in effect as provided in Section
          10.0(b), unless terminated by either party in accordance with Section
          10.1 of this Agreement.

     b.   Subject to the provisions of Section 10.1 herein below, at each twelve
          (12) month anniversary following the Expiration Date of this
          Agreement, this Agreement shall be deemed automatically extended for
          an additional twelve (12) month period and the Expiration Date
          specified in Section 10.0(a) shall be deemed to be so amended, without
          further notice.

10.1 Notwithstanding Section 10.0:

     a.   Either party may terminate this Agreement for any reason whatsoever
          effective upon the Expiration Date by providing not less than sixty
          (60) days' prior written notice to the other party evidencing said
          party's intent to terminate this Agreement at such Expiration Date.

     b.   This Agreement may be terminated at any time upon the mutual written
          agreement of the Company and the Manager.

     c.   This Agreement may be terminated by the Company at any time by written
          notice in the event the Manager files for bankruptcy, becomes
          insolvent or assigns all or part of its assets for the benefit of
          creditors.

     d.   This Agreement may also be terminated by the Company or by the Manager
          at any time by written notice if the other party materially breaches
          the terms of this Agreement, which breach is not cured within 30 days
          after notice thereof has been delivered to the breaching party. The
          Company may suspend the Manager's underwriting and claim authority
          during the pendency of any dispute regarding the cause for
          termination.

     e.   The Company may terminate this Agreement at any time by written notice
          upon (i) a consolidation or merger of the Manager resulting in
          Alleghany Corporation's failure to own, directly or indirectly, at
          least 51% of the outstanding equity interests in the Manager, (ii) a
          sale by Alleghany Corporation or its affiliates of equity interests in
          the Manager resulting in Alleghany Corporation's failure to own,
          directly or indirectly, at least 51% of the outstanding equity
          interests in the Manager, or (iii) a sale of all or substantially all
          of the assets of the Manager to a person other than Alleghany
          Corporation or any of its affiliates. The Manager may terminate this
          Agreement at any time by written notice upon (i) a consolidation or
          merger of the Company resulting in Alleghany Corporation's failure to
          own, directly or indirectly, at least 51% of the outstanding equity
          interests in the Company, (ii) a sale by Alleghany Corporation or its
          affiliates of equity interests in the Company resulting in Alleghany
          Corporation's failure to own, directly or indirectly, at least 51% of
          the outstanding equity interests in the

                                        6

<PAGE>

          Company or (iii) a sale of all or substantially all of the assets of
          the Company and its subsidiaries to a person other than Alleghany
          Corporation or any of its affiliates.

10.2 The Manager's appointment and authority for the Business written under this
     Agreement is subject to the following:

     a.   That the Company is able to obtain and maintain in force at all times
          reinsurance satisfactory to the Company for the Business. The Manager
          shall assist the Company to obtain reinsurance with respect to the
          Business, consistent with the Underwriting Guidelines; and

     b.   If the Company's reinsurance is terminated or no longer in full force
          and effect for all or any part of the Business, the Company may, upon
          written notice to the Manager, reduce the Manager's authority for the
          Business or any part of the Business affected so that the Company's
          net retention levels, as described in the Underwriting Guidelines, are
          not exceeded.

10.3 In the event of termination of this Agreement, the Company, in its sole
     discretion, may continue in-force Contracts until their stated expiration
     dates, subject to the following provisions:

     a.   Notwithstanding anything contained herein, the Company reserves all of
          its rights to cancel and/or non-renew Contracts for nonpayment of
          premium, and Contracts issued in violation of the Underwriting
          Guidelines then applicable; and

     b.   The Manager shall continue to be the agent of the Company, but only
          with respect to the servicing of Contracts in-force on or before the
          date of termination of this Agreement and the administration of claims
          made on Contracts issued under this Agreement. The Company may suspend
          or terminate Manager's authority under this Section 10.3(b) in the
          event this Agreement is terminated because of breach by Manager of the
          material terms of this Agreement.

SECTION 11 - GENERAL PROVISIONS

11.0 Neither party will delegate or assign its rights, duties or obligations
     under this Agreement without the prior written consent of the other party.

11.1 This Agreement shall be governed exclusively by the internal laws of the
     State of Wisconsin without giving effect to the conflicts of laws
     provisions thereof.

11.2 Except upon the prior written consent of Company, Manager shall not
     represent any other insurer not affiliated with Alleghany Corporation with
     respect to the insurance business specified in Appendix I.

11.3 If any portion of this Agreement is in contravention of any statute,
     governmental regulation or directive, such portion shall be interpreted to
     conform to such statute,

                                        7

<PAGE>

     governmental regulation or directive without further action by the Manager
     or by the Company.

11.4 In the event that any provision of this Agreement is struck down as invalid
     or unenforceable, the remainder of the Agreement shall remain binding and
     in effect.

11.5 The failure of either party to enforce any provision of this Agreement
     shall not constitute a waiver by either party of any such provision.

11.6 If any dispute or disagreement shall arise in connection with any
     interpretation of this Agreement, its performance or nonperformance, or the
     figures or calculations used, the parties shall make every effort to meet
     informally and settle their dispute in good faith.

11.7 The Company and the Manager each represent that they are authorized to
     enter into this Agreement, in compliance with applicable law.

11.8 The provisions of this Agreement together with the Appendices and any
     Addendum or Addenda attached hereto, constitute the entire Agreement. This
     Agreement may not be altered or modified, except in writing, signed by both
     parties.

11.9 The parties acknowledge that the following Appendices are attached hereto
     and incorporated herein by reference as of the inception date of this
     Agreement:

Appendix I     Insurance Business
Appendix II    Underwriting Guidelines
Appendix III   Accounting and Records
Appendix IV    Payments
Appendix V     Claims

11.10 This Agreement maybe executed in counterparts, each of which when
     construed together shall constitute the whole.

SECTION 12 - NOTICES

12.1 All written notices under this Agreement shall be mailed by certified or
     registered mail, return receipt requested, or sent by facsimile, as
     follows:

a. To the Company:   CAPITOL INDEMNITY CORPORATION
                     4610 University Avenue
                     Madison, Wisconsin 53705
                     Attention: David F. Pauly
                     Facsimile: (608) 231-2053

b. To the Manager:   DARWIN PROFESSIONAL UNDERWRITERS INC.
                     76 Batterson Park Road
                     Farmington, Connecticut
                     Attention: Mark I. Rosen
                     Facsimile: (860) 507-1006

                                        8

<PAGE>

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in
duplicate by their respective duly authorized officers.

CAPITOL INDEMNITY CORPORATION           DARWIN PROFESSIONAL UNDERWRITERS INC.

Dated as of June 1, 2003                Dated as of June 1, 2003

By: /s/ Thomas Manion                   By: /s/ John L. Sennott, Jr.
    ---------------------------------       ------------------------------------
Its: VP, CFO, & Treasurer               Its: SVP, CFO
     --------------------------------        -----------------------------------

                                        9

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