Document:

Exhibit 10.2

EXHIBIT 10.2

AMENDMENT TO THE SHARE INCENTIVE PLAN

This
Amendment (this “Amendment”) is made as of July 2, 2010 by United America Indemnity,
Ltd., an exempted company incorporated with limited liability under the laws of the Cayman Islands
(“UAI”).

RECITALS

WHEREAS, the boards of directors of UAI and Global Indemnity plc, a public limited company
established in Ireland with registered number 481805 having its registered office at Arthur Cox
Building, Earlsfort Terrance, Dublin 2 (“GI plc”) have previously approved a series of
transactions to be effectuated pursuant to a scheme of arrangement (“Scheme of
Arrangement”) in accordance with Section 86 (read with section 87) of the Cayman Islands
Companies Law (as amended), pursuant to which (i) all outstanding Class A and Class B common shares
of UAI (the “Class A Common Shares” and “Class B Common Shares,” respectively, and
collectively the “Common Shares”) will be repurchased and cancelled, (ii) GI plc will issue
Class A and Class B ordinary shares (the “Class A Ordinary Shares” and “Class B
Ordinary Shares,” respectively, and collectively the “Ordinary Shares”) to holders of
Class A and Class B Common Shares, respectively, of UAI that have been cancelled on a one-for-two
basis, subject to the treatment of fractional shares, (iii) UAI will issue 100 Class A Common
Shares to GI plc (which will constitute all of UAI’s issued shares at such time), (iv) all
previously outstanding Ordinary Shares of GI plc will be reclassified as non-voting deferred shares
(such transactions are collectively referred to as the “Transaction”) and (v) holders of
Common Shares who would otherwise receive fractional shares in GI plc as a result of the
one-for-two exchange will receive cash in consideration of the fractional shares that would
otherwise be issued based on the trading price of Class A Common Shares on the Nasdaq Global Select
Market on the business day immediately preceding the effective date of the Scheme of Arrangement;

WHEREAS, in accordance with Cayman Islands law, the Transaction will take place on the
effectiveness of the Scheme of Arrangement (the “Transaction Time”);

WHEREAS, UAI maintains and sponsors the UAI Share Incentive Plan (the “Existing
Plan”), providing for the grant or award to its directors, officers and employees and other
persons of (a) options, restricted shares or other rights to purchase or receive Class A Common
Shares, and (b) the right to receive benefits or other amounts by reference to Class A Common
Shares, (individually, an “Existing Award” and collectively, the “Existing
Awards”);

WHEREAS, GI plc has executed a Deed Poll of Assumption relating to the Existing Plan (the
“Deed Poll”), pursuant to which, at the Transaction Time, GI plc will assume sponsorship of
the Existing Plan and all outstanding Awards issued thereunder;

WHEREAS, the Compensation Committee of the board of directors of UAI passed resolutions on
June 3, 2010 to amend and restate the Existing Plan (pursuant to its terms) and adjust
outstanding equity based awards and grants thereunder to provide for the issuance of equity
interests in GI plc in place of UAI, at the Transaction Time;

NOW, THEREFORE, in consideration of the foregoing and for good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, at and as of the Transaction Time:

1. As a result of the execution of the Deed Poll by GI plc, GI plc will be the sponsor of the
Existing Plan (as so amended, the “Amended Plan”) and Class A Ordinary Shares will be
issued under the Amended Plan in lieu of Class A Common Shares being issued thereunder. The
Amended Plan is attached hereto as Exhibit A.

2. The Existing Plan is hereby renamed the “Global Indemnity plc Share Incentive Plan”. All
references in the Existing Plan to “UAI” or its predecessors are hereby amended to be references to
“GI plc” in the Amended Plan.

3. All references to “Common Share” in the Existing Plan shall be understood to mean “Ordinary
Share” or “Ordinary Shares,” in the Amended Plan as appropriate.

 

 

 

4. As defined in Section 1 of the Amended Plan, the “Plan” shall mean the Global Indemnity plc
Share Incentive Plan.

5. Pursuant to the Deed Poll, to the extent the Existing Plan and any Existing Award provides for
the issuance, acquisition, holding or purchase of, or otherwise relates to or references, Class A
Common Shares, then, pursuant to the terms hereof and thereof, the Existing Plan and the Existing
Awards have been amended to provide for the issuance, acquisition, purchase or holding of, or
otherwise relate to or reference, Class A Ordinary Shares (or benefits or other amounts determined
in accordance with the Amended Plan and, as so amended, the “Amended Awards”). For the
purposes of the Existing Plan, UAI confirms that its board of directors and the Compensation
Committee of that board has approved that amendment and restatement of the Existing Plan. It is
acknowledged by UAI that amendment of the Existing Plan and such Existing Awards is not intended to
prejudice or diminish the rights of holders of Existing Awards.

6. Pursuant to the Deed Poll, each Amended Award shall, pursuant to the terms hereof and thereof,
be exercisable, issuable, held, available or vest upon the same terms and conditions as under the
Existing Plan or applicable Existing Award except that upon the exercise, issuance, holding,
availability or vesting of such Amended Awards, as applicable, Class A Ordinary Shares are hereby
issuable or available, or benefits or other amounts are determined, by reference to Class A
Ordinary Shares, in lieu of Class A Common Shares.

7. Pursuant to the Deed Poll, each Existing Award that is a restricted share, or provides other
rights to purchase or receive Class A Common Shares of UAI, has been converted to relate to or
reference Class A Ordinary Shares of GI plc.

8. The number of Class A Ordinary Shares covered by an Amended Award immediately following the
Transaction Time will be determined by dividing the number of Class A Common Shares that were
covered by such applicable Existing Award immediately prior to the Transaction Time by two and
rounding down for fractional shares. In the case of Amended Awards that are stock options, the per
share exercise price of any such option immediately following the Transaction Time will be
determined by doubling the per share exercise price of such stock option as in effect immediately
prior to the Transaction Time.

9. Each Existing Award that is a stock option (i) is assumed by GI plc pursuant to the Deed Poll,
or (ii) the obligations thereunder are assumed by GI plc pursuant to the Deed Poll, as applicable,
in such manner that GI plc would be a corporation “assuming a stock option in a transaction to
which section 424(a) applies” within the meaning of Section 424 of the U.S. Internal Revenue Code
of 1986, as amended (the “Code”), were Section 424 of the Code applicable to such Existing
Award, with regard to the requirements of U.S. Treasury Regulation Section 1.424-1(a)(5)(iii) for
options that are intended to qualify under Section 422 of the Code, and with regard to the
requirements of U.S. Treasury Regulation Section 1.409A-1(b)(5)(v)(D) for other options.

10. This Amendment will be effective immediately prior to the Transaction Time subject to effective
completion of the Transaction.

(Remainder of page intentionally blank)

 

 

 

IN WITNESS WHEREOF, UAI has caused this Amendment to be duly executed as the date first set
forth above.

	 	 	 	 	 
	 	UNITED AMERICA INDEMNITY, LTD.

 	 
	 	By:  	/s/
Larry A. Frakes	 
	 	 	Name:  	Larry A. Frakes	 
	 	 	Title:  	President and Chief Executive Officer	 

 

 

 

EXHIBIT A

GLOBAL
INDEMNITY PLC SHARE INCENTIVE PLAN (as amended and restated July 2, 2010)Exhibit 10.3

EXHIBIT 10.3

DATED
JULY 2, 2010

GLOBAL INDEMNITY PUBLIC LIMITED COMPANY

 

DEED POLL OF ASSUMPTION

relating to

United America Indemnity, Ltd. Share Incentive Plan

 

 

 

 

DEED POLL OF ASSUMPTION

OF

GLOBAL INDEMNITY PUBLIC LIMITED COMPANY

This Deed Poll relating to the United America Indemnity, Ltd. Share Incentive Plan (to be renamed
the Global Indemnity plc Share Incentive Plan as of the time that the Transaction (as defined
below) becomes effective) (the “Share Incentive
Plan”) is made on July 2,  2010 by
GLOBAL INDEMNITY PUBLIC LIMITED COMPANY, a company established in Ireland with registered
number 481805 having its registered office at Arthur Cox Building, Earlsfort Terrace, Dublin 2,
Ireland(“GI plc”).

WHEREAS on 11 June 2010, United America Indemnity, Ltd. (“UAI-Cayman”), a company incorporated in
the Cayman Islands, received approval from the Grand Court of the Cayman Islands for a scheme of
arrangement pursuant to section 86 of the Companies Law (2009 Revision) of the Cayman Islands (the
“Scheme of Arrangement”) that effected a transaction that resulted in the Class A common
shareholders or Class B common shareholders of UAI-Cayman becoming Class A ordinary shareholders or
Class B ordinary shareholders, respectively, of GI plc and UAI Cayman becoming a wholly-owned
subsidiary of GI plc (the “Transaction”), such Transaction becoming effective as of close of
business on July 2, 2010 upon the filing of the court order sanctioning the Scheme of Arrangement with
the Cayman Registrar of Companies;

WHEREAS in connection with and contingent upon the consummation of the Transaction, GI plc proposed
to assume the Share Incentive Plan and any outstanding awards issued thereunder (the “Assumption”);

WHEREAS in connection with and contingent upon the consummation of the Transaction and the
Assumption, GI plc adopted the Share Incentive Plan amended as necessary or appropriate to give
effect to the Transaction and the Assumption, such amendments principally providing (1) for the
appropriate substitution of GI plc for UAI-Cayman in such plans; and (2) that shares of GI plc will
be issued, held available or used, as appropriate, to measure benefits under such plans, in lieu of
shares of UAI-Cayman, including upon the exercise of any stock options or upon the vesting of
restricted units or share awards issued under such plans; and

WHEREAS as a result of the Transaction becoming effective, GI plc desires to assume sponsorship of
the Share Incentive Plan, the terms of which are contained in Schedule 1 and all outstanding awards
issued thereunder.

NOW THIS DEED POLL WITNESSES AS FOLLOWS:

GI plc hereby declares, undertakes and agrees for the benefit of each participant in the Share
Incentive Plan that, with effect from July 2, 2010, it shall:

	1.	 	undertake and discharge all of the rights and obligations of the Company (as defined in the
Share Incentive Plan) under the Share Incentive Plan;

	2.	 	exercise all of the powers of the Company as provided for in the Share Incentive Plan;

	3.	 	be bound by the terms of the Share Incentive Plan so that GI plc will be bound by the
requirements, without limitation, that any outstanding award subject to any Stock Option,
Restricted Stock, Other Stock-Based Award or Award Agreement (as such terms are defined in the
Share Incentive Plan) shall be subject to the same terms and conditions of the Share Incentive
Plan as in effect immediately prior to the effective date of this Deed Poll, save for
such changes as are necessary to effectuate and reflect the assumption by GI plc of the
Share Incentive Plan and the rights and obligations of UAI-Cayman thereunder.

 

 

 

	4.	 	GI plc hereby assumes and adopts, for the time being, the form of Award Agreement adopted by
UAI-Cayman for the issuance of Awards on and after July 2,  2010 and the form of Option Agreement
adopted by UAI-Cayman for the issuance of Options on and after July
2,  2010, with such amendments
and modifications thereto as may be necessary or appropriate to effectuate and reflect the
assumption by GI plc of the Stock Incentive Plan and the form of Award Agreement and Option
Agreement and the rights and obligations of UAI-Cayman thereunder.

This Deed Poll may be executed in any number of counterparts each of which when executed and
delivered shall be an original, but all the counterparts together shall constitute one and the same
instrument.

This Deed Poll shall be governed and construed in accordance with the laws of Ireland.

IN WITNESS WHEREOF this Deed Poll has been executed by GI plc on the date first above written.

	 	 	 
	GIVEN under the common seal of
	 	 
	GLOBAL INDEMNITY PUBLIC LIMITED COMPANY
	 	 
	 
	 	 
	/s/
Larry A. Frakes 

Director

	 	 
	 
	 	 
	/s/
Linda Hohn 

Director/Secretary

	 	 

 

 

 

SCHEDULE 1

UNITED
AMERICA INDEMNITY, LTD. SHARE INCENTIVE PLAN (as amended and
restated effective July 2, 2010)

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