Document:

Exhibit 1030

		
			BONUS AGREEMENT
		

		
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			This Bonus Agreement ("Agreement") is made as of January 11, 2016 (the "Effective Date") by and between Erick Fernandez ("Employee") and Federated National Holding Company, a Florida corporation ("Company").  The Company and Employee are collectively referred to as the "Parties".
		

		
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			WHEREAS, the Company desires to motivate Employee to take on and meet a high level of performance with respect to Employee's job responsibilities;  
		

		
			WHEREAS, the purpose of this Agreement is to provide financial incentives to Employee who is needed for the successful performance of the Company; and
		

		
			WHEREAS, the Parties acknowledge that nothing in this Agreement is intended to or shall be interpreted to alter Employee's employment status from that of "at will."
		

		
			NOW, THEREFORE, in consideration of the foregoing and the respective representations, warranties, covenants and agreements set forth in this Agreement, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound, the Parties agree as follows:
		

		
			1.       Term of Agreement.  This Agreement will take effect as of the Effective Date set forth above and will continue in full force and effect through December 31, 2016 (the “Termination Date”), unless sooner terminated in accordance with the terms hereof.  Thereafter the Agreement may be subject to renewal for consecutive one (1) calendar year terms, with such changes of terms including amount of bonus payment on or before expiration of a relevant term.  Notwithstanding the foregoing, the Agreement may be terminated during any subsequent term in accordance with the terms hereof.
		

		
			2.       Criteria for Bonus Payment.  Employee will be eligible for a payment under this Agreement only if Employee satisfies all of the following criteria:
		

		
			(a)       Employee devotes full effort and diligence to the ongoing business affairs of Company; and
		

		
			(b)       Employee remains employed by the Company through the Payment Date (as hereinafter defined).
		

		
			3.       Amount of Bonus Payment.
		

		
			(a)       The maximum Bonus Payment that Employee is eligible to receive is 0.060% of Net Income as reported in the Company's Quarterly Report Pursuant to Section 13 of 15(d) of the Securities Exchange Act of 1934, Form 10-Q, filed with the United States Securities and Exchange Commission, for the applicable Payment Date ("Quarterly Report") to be paid on a quarterly basis as provided for in Section 4.
		

		 

 

		

			 

		

		
		

		
			(b)       The Bonus Payment, if any, that shall be paid to Employee on the Payment Date shall be determined on the recommendation and approval of the Company's Chief Executive Officer.  The Bonus Payment may be pro-rated in the Company’s sole discretion if Employee does not hold an employment position eligible for the bonus during an entire quarter. 
		

		
			(c)       Notwithstanding anything to the contrary in Section 3(b), if the total amount of the Bonus Payments paid to Employee during the calendar year is less than $40,000.00,  the Company will pay Employee the difference between $40,000.00 and the total amount of the Bonus Payments by March 31 of the following year, provided that Employee remains employed by the Company on the date the Company pays the additional bonus.
		

		
			4.       Payment of Bonus Payment.  Subject to satisfaction of the criteria in Section 2, and so long as this Agreement has not been earlier terminated, the Bonus Payment determined in accordance with Sections  3(a)-(b) above shall be paid on or before the second regular pay period following the Company's filing of the applicable Quarterly Report with the United States Securities and Exchange Commission ("Payment Date").  The Bonus Payment made pursuant to this Agreement will, to the extent required by law, be treated as supplemental wages and subject to withholding of applicable income and employment taxes at the IRS rate for supplemental wages.
		

		
			5.       No Contract of Employment.  The Parties agree that this Agreement is not intended and will not be construed to be an employment contract between the Employee and Company.  Nothing contained in this Agreement shall limit the ability of either Employee or the Company to terminate the employment relationship at will, with or without cause, at any time.
		

		
			6.       Assignment.  No benefit payable under this Agreement may be assigned, transferred, pledged or otherwise encumbered by Employee, or subjected to any legal process for the payment of any claim against Employee.  Company's rights and obligations under this Agreement may be assigned at the Company's discretion to any successor or assign.  Any successor or assign of Company is authorized to enforce all terms of this Agreement as if the name of such successor or assign replaces Company throughout this Agreement.    
		

		
			7.       Governing Law.  This Agreement shall be governed in all respects by and in accordance with the laws of the State of Florida without regard to its conflict of law provisions.  Company and Employee expressly consent to the personal jurisdiction of the state and federal courts located in the State of Florida for any lawsuit arising from or related to this Agreement, and that any such lawsuit shall be brought in or removed to a state or federal court of competent jurisdiction located in Broward County, Florida.
		

		
			8.       Entire Agreement.  This Agreement, constitutes the entire agreement between the Parties concerning bonus payments to be made to Employee in connection with Employee's employment by the Company, and replaces all prior agreements, understandings and negotiations (whether oral or written) between the Parties regarding bonuses to be paid in connection with their employment relationship, except in cases where the Chief Executive Officer or Chief Financial Officer authorizes other forms of supplemental wages designated as bonus/commission; such authorized payments will not change the terms of this agreement.
		

		 

		

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			9.       Severability.  If any provisions of this Agreement shall be held to be invalid or unenforceable for any reason, the remaining provisions shall continue to be valid and enforceable.  If a court finds that any provision of this Agreement is invalid or unenforceable, but that by limiting such provision it would become valid or enforceable, then such provision shall be deemed to be written, construed, and enforced as so limited.
		

		
			10.       Termination/Amendment of Agreement.  The Company may terminate, amend, or modify this Agreement at any time with or without notice.  The Parties agree that any modification or amendment to this Agreement must be set forth in a written document signed by the Company's Chief Executive Officer or Chief Financial Officer.
		

		
			11.       Costs and Attorneys' Fees.  If Company seeks to enforce any provision in this Agreement in a court of competent jurisdiction and secures any relief, Employee shall pay to Company all costs Company incurs in enforcing this Agreement, including Company's attorney’s fees and court costs.
		

		
			12.       Waiver of Contractual Right.  The failure of either party to enforce any provision of this Agreement shall not be construed as a waiver or limitation of that party's right to subsequently enforce and compel strict compliance with every provision of this Agreement.
		

		
			13.       Waiver of Jury Trial.  THE PARTIES HEREBY WAIVE A JURY TRIAL IN ANY LITIGATION WITH RESPECT TO THIS AGREEMENT OR ANY CLAIMS ARISING OUT OF THIS AGREEMENT.
		

		
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		IN WITNESS WHEREOF, the Company and Employee have caused this Bonus Agreement to be executed and delivered duly authorized, all as of the date first written above.
		

		
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						FEDERATED NATIONAL HOLDING

					
					
						 

				
	
					
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						COMPANY

					
					
						 

				
	
					
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						By:

					
					
						/s/ Michael H. Braun

					
					
						 

				
	
					
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						Name:

					
					
						Michael H. Braun

					
					
						 

				
	
					
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						Title:

					
					
						CEO and President

					
					
						 

				
	
					
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						EMPLOYEE

					
					
						 

				
	
					
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						/s/ Erick A. Fernandez

					
					
						 

				
	
					
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						Signature

					
					
						 

				
	
					
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						Erick A. Fernandez

					
					
						 

				
	
					
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						Print Name

					
					
						 

				
	
					
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			4Exhibit 1031

		
			CHANGE OF CONTROL AGREEMENT
		

		
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			THIS CHANGE OF CONTROL AGREEMENT (the “Agreement”), made and entered into as of the 2nd day of May, 2016, by and between:
		

		
			(i)        Erick Fernandez (the “Employee”) and
		

		
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			(ii)       FEDERATED NATIONAL HOLDING COMPANY, a Florida corporation with offices and place of business in Sunrise, Florida (the “Company”).
		

		
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			All capitalized terms which are not defined herein shall have the same meaning as defined terms in Appendix A, which is attached hereto and incorporated herein by this reference.
		

		
			P R E L I M I N A R Y   S T A T E M E N T
		

		
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			WHEREAS,  the Company believes it to be in the best interests of the Company to assure that the Company will have the continued dedication of the Employee, notwithstanding the possibility, threat or occurrence of a Change of Control; and
		

		
			WHEREAS, the Company and Employee desire to enter into this Agreement to protect the Employee's interests in the event of a Change of Control.  
		

		
			NOW,  THEREFORE, in consideration of the premises and mutual covenants herein contained and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:
		

		
			1.       Termination without Cause or for Good Reason During the One-Year Period Following a Change of Control.  If during the one-year period following a Change of Control, the Employee's employment with the Company is terminated by the Company without Cause or by the Employee for Good Reason, the Company will make a lump sum payment, no later than 10 days following such termination, to the Employee in an amount equal to one year of the Employee's base salary as in effect immediately prior to the Change of Control.
		

		
			2.       Termination for Cause, without Good Reason, Death or Disability Following a Change of Control.  In the event that Employee's employment is terminated by the Company for Cause, by the Employee without Good Reason, or due to the death or total disability of Employee following a Change of Control, Employee shall be entitled to receive any earned and unpaid compensation and all earned and vested benefits pursuant to the terms of any applicable benefit plans through the date of termination of the Employee’s employment with the Company within seven days following such date of termination.  
		

		
			3.       Release.  Employee agrees that, as a condition to receiving the payments and benefits provided hereunder, the Employee will execute, deliver and not revoke (within the time period permitted by applicable law) a release of all claims of any kind whatsoever against the Company, its affiliates, officers, directors, employees, agents and shareholders in the then-standard form being used by the Company.
		

		 

 

		
		

		
			4.       Full Settlement.  Any amounts due under this Agreement are in lieu of any, amounts payable under any other salary continuation or cash severance arrangement of the Company and, to the extent paid or provided under any other such arrangement, any such other payment shall be offset from the amount due hereunder.  The Company's obligation to make payments provided for in this Agreement and otherwise perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action that the Company may have against the Employee or others.  In no event shall the Employee be obligated to seek other employment or to take any action by way of mitigation of the amounts payable to the Employee under any provision of this Agreement.
		

		
			5.       Notices.  All notices, demands and other communications that may or are required to be given to or made by either party to the other in connection with this Agreement shall be in writing, shall be given by hand delivery, by overnight delivery through a nationally recognized delivery service, or by United States Certified or Registered mail, return receipt requested, postage prepaid, and shall be deemed to have been given or made when received by the addressee, addressed to the respective parties as follows:
		

		
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						If to Employee:

					
					
						Erick Fernandez

				
	
					
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						1537 Mantua Avenue

				
	
					
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						Coral Gables, Florida 33146

				
	
					
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						If to Company:

					
					
						FEDERATED NATIONAL HOLDING COMPANY

				
	
					
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						14050 NW 14 Street, Suite 180

				
	
					
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						Sunrise, Florida 33323

				
	
					
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						Attn: Chief Executive Officer

				

		
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			6.       Miscellaneous:
		

		
			(a)       This Agreement has been executed in and shall be governed and construed in accordance with the laws of the State of Florida.
		

		
			(b)      Unless otherwise provided herein, all rights, powers, and privileges conferred hereunder upon the parties shall be cumulative and not restrictive of those given by law.
		

		
			(c)       No failure of any party hereto to exercise any power given such party hereunder or to insist upon strict compliance by the other party with its obligations hereunder, and no customary practice of the parties at variance with the terms hereof, shall constitute a waiver of a party’s right to demand exact compliance with the terms hereof.
		

		
			(d)       Time is of the essence in complying with the terms, conditions and provisions of this Agreement.
		

		
			(e)       This Agreement contains the entire agreement of the parties hereto pertaining to the subject matter hereof, and no representation, inducements, promises or agreements between the parties not contained herein shall be of any force or effect.
		

		 

		

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			(f)       This Agreement is binding upon and shall inure to the benefit of the Company, its successors and assigns and the Employee and his respective heirs, personal representatives, successors and assigns.
		

		
			(g)       Any amendment to this Agreement shall not be binding upon the parties to this Agreement unless such amendment is in writing and executed by all the parties hereto.
		

		
			(h)       In the event any litigation or controversy arises out of or in connection with this Agreement between the parties hereto, the prevailing party in such litigation or controversy shall be entitled to recover from the other party or parties all reasonable attorney’s fees, expenses and suit costs, including those associated with any appellate or post-judgment collection proceeding.
		

		
			7.       Section 409A Compliance.
		

		
			(a)       General. It is the intention of both the Company and the Employee that the benefits and rights to which the Employee is entitled pursuant to this Agreement comply with Code Section 409A, to the extent that the requirements of Code Section 409A are applicable thereto, and the provisions of this Agreement shall be construed in a manner consistent with that intention.  If the Employee or the Company believes, at any time, that any such benefit or right that is subject to Code Section 409A does not so comply, it shall promptly advise the other and shall negotiate reasonably and in good faith to amend the terms of such benefits and rights such that they comply with Code Section 409A (with the most limited possible economic effect on the Employee and on the Company).
		

		
			(b)       Distributions on Account of Separation from Service.  To the extent required to comply with Code Section 409A, any payment or benefit required to be paid under this Agreement on account of termination of the Employee’s service (or any other similar term) shall be made only in connection with a "separation from service" with respect to the Employee within the meaning of Code Section 409A.
		

		
			(c)       No Acceleration of Payments.  Neither the Company nor the Employee, individually or in combination, may accelerate any payment or benefit that is subject to Code Section 409A, except in compliance with Code Section 409A and the provisions of this Agreement, and no amount that is subject to Code Section 409A shall be paid prior to the earliest date on which it may be paid without violating Code Section 409A.
		

		
			(d)       Six-Month Delay for Specified Employees.  In the event that the Employee is a “specified employee” (as described in Code Section 409A), and any payment or benefit payable pursuant to this Agreement constitutes deferred compensation under Code Section 409A, then the Company and the Employee shall cooperate in good faith to undertake any actions that would cause such payment or benefit not to constitute deferred compensation under Code Section 409A.  In the event that, following such efforts, the Company determines (after consultation with its counsel) that such payment or benefit is still subject to the six-month delay requirement described in Code Section 409A(2)(b) in order for such payment or benefit to comply with the requirements of Code Section 409A, then no such payment or benefit shall be made before the date that is six months after the Employee’s “separation from service” (as described in Code Section 409A) (or, if earlier, the date of the Employee’s death). Any payment or benefit delayed by reason of the prior sentence (the Delayed Payment") shall be paid out or 
		

		 

		

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			provided in a single lump sum at the end of such required delay period in order to catch up to the original payment schedule.
		

		
			(e)       Treatment of Each Installment as a Separate Payment.  For purposes of applying the provisions of Code Section 409A to this Agreement, each separately identified amount to which the Employee is entitled under this Agreement shall be treated as a separate payment.  In addition, to the extent permissible under Code Section 409A, any series of installment payments under this Agreement shall be treated as a right to a series of separate payments.
		

		
			IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the day, month and year first above written.
		

		
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						EMPLOYEE:

					
					
						 

				
	
					
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						/s/ Erick A. Fernandez

					
					
						 

				
	
					
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						Print Name:  

					
					
						Erick A. Fernandez

					
					
						 

				
	
					
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						COMPANY:

					
					
						 

				
	
					
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						FEDERATED NATIONAL HOLDING

					
					
						 

				
	
					
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						COMPANY, a Florida corporation

					
					
						 

				
	
					
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						By:

					
					
						/s/ Michael H. Braun

					
					
						 

				
	
					
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						Name:  

					
					
						Michael H. Braun

					
					
						 

				
	
					
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						Title: 

					
					
						CEO and President

					
					
						 

				
	
					
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			APPENDIX A
		

		
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			DEFINITIONS
		

		
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			"Cause” shall mean that:
		

		
			(i)        There has been continued neglect on the part of the Employee in the performance of Employee’s duties under this Agreement, with notice to the Employee and an opportunity to cure; 
		

		
			(ii)       The Employee's continued neglect of the Company’s Employee Handbook Policies and Procedures; or
		

		
			(iii)      The Employee is convicted during the Term of this Agreement of a felony involving moral turpitude that is committed by Employee, or enters a plea of guilty or nolo contendere to such felony.
		

		
			Prior to terminating the Employee for Cause under clauses (i) – (ii) above, the Company shall provide the Employee with at least 10 days’ written notice of the breach and an opportunity to cure the breach.  If the Employee does not cure the breach to the satisfaction of the Company in its sole and absolute discretion during this period, the Company may terminate the Employee for Cause.  If the Employee is terminated under clause (iii) above, the Employee’s termination will be immediate upon the date of the conviction or plea and no written notice is required by the Company.
		

		
			“Change of Control” shall be deemed to have taken place if: (1) any person, including a “group” as defined in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended, becomes the owner or beneficial owner of Company securities, after the date of this Agreement, having 50% or more of the combined voting power of the then-outstanding securities of the Company that may be cast for the election of directors of the Company (other than as a result of an issuance of securities initiated by the Company, or open market purchases approved by the Board, as long as the majority of the Board approving the purchases is the majority at the time the purchases are made), or (2) the persons who were directors of the Company before such transactions shall cease to constitute a majority of the Board, or any successor to the Company, as the direct or indirect result of or in connection with any cash tender or exchange offer, merger or other business combination, sale of assets or contested election, or any combination of the foregoing transactions. Notwithstanding the foregoing, a Change of Control shall not be deemed to occur unless it constitutes a “change in control event” within the meaning of Section 1.409A-3(i)(5) of the Treasury Regulations promulgated under Section 409A.
		

		
			"Code" shall mean the Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder.
		

		
			"Code Section 409A" shall mean Section 409A of the Code and its implementing regulations and guidance.
		

		 

		

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			"Good Reason" shall mean the occurrence of one of the following conditions:
		

		
			(1)       A material diminution in the Employee's base compensation; or
		

		
			(2)       A material change in the geographic location at which the Employee must perform the services.
		

		
			Notwithstanding the foregoing, the Employee shall not be deemed to have terminated this Agreement for Good Reason unless the Employee provides to the Company a written notice of the existence of the above-referenced condition(s) within 90 days following the initial existence of such condition(s) and the Company fails to remedy such condition(s) within 30 days following the receipt of such notice.
		

		 

		

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