Document:

exv10w42

EXHIBIT 10.42

MANAGEMENT SERVICES AGREEMENT

THIS AGREEMENT is made and entered into this
21st day of August, 1997 by and between GOLDEN EAGLE INSURANCE CORPORATION (the
“Corporation”), a California corporation, and LIBERTY MUTUAL INSURANCE COMPANY
(“Liberty Mutual”), a Massachusetts mutual insurance company.

I. Performance of Services

Liberty Mutual agrees, to the extent requested by the Corporation, to perform such services
(collectively, “services”) for the Corporation as the Corporation determines to be reasonably
necessary or desirable in the conduct of its operations, provided that Liberty Mutual may, in its
sole discretion, decline to provide any of the services contemplated in this Agreement if providing
the requested services would interfere with Liberty Mutual’s ability to meet its obligations to its
policyholders or would otherwise adversely affect Liberty Mutual. The listing of the following
services to be performed under this Agreement is not intended to limit the performance of other
services to be agreed upon by the parties from time to time:

1. Investment. Subject to the direction and control of the Corporation’s Board of
Directors, and subject to the Corporation’s investment guidelines (the “Investment
Guidelines”) as adopted by the Corporation’s Board of Directors (as may be amended by the
Corporation from time to time by giving reasonable notice to Liberty Mutual), and subject
to compliance with investment laws applicable to the Corporation, Liberty Mutual shall
provide the Corporation with investment services. Beneficial ownership of all of the
Corporation’s investments shall be maintained by the Corporation. The Corporation hereby
appoints Liberty Mutual, and Liberty Mutual agrees to act, as the Corporation’s
discretionary investment portfolio manager in relation to the investments and cash assets
which the Corporation notifies Liberty Mutual shall be included in the portfolio, together
with the income, proceeds and profits thereon (the “Portfolio”). The Corporation hereby
authorizes Liberty Mutual:

(a) to act as the Corporation’s agent and attorney-in-fact with respect to the
Portfolio and to have complete discretionary control over the composition of the
Portfolio, including the power to make such acquisitions and disposals of investments
as Liberty Mutual considers appropriate and without obtaining the consent of or
consulting with the Corporation or any other person, but always in accordance with
the Investment Guidelines;

(b) to issue to brokers instructions to buy on behalf of the Portfolio or to sell or
otherwise trade in or deal with any asset in the Portfolio.

 

 

(c) to instruct any custodian of any asset in the Portfolio to deliver any security or
other asset sold, exchanged or otherwise disposed of from the Portfolio;

(d) to pay any fee incurred on behalf of the Corporation in providing services under this
Agreement, including commission expenses, attendant Securities and Exchange Commission
transaction fees and National Association of Insurance Commissioners transaction fees which
shall be paid from the Portfolio in the conventional manner;

(e) to place any securities on deposit with any governmental authority as may be necessary
or desirable to comply with applicable law, and to substitute other securities in their
place; and

(f) to perform any other act necessary or desirable to enable Liberty Mutual to carry out
its obligations under this Agreement.

Liberty Mutual will prepare and send to the Corporation statements and valuations of the Portfolio,
in each case containing such information and in such format as the parties may agree upon from time
to time, to enable the Corporation to maintain oversight over the Portfolio.

Liberty Mutual will maintain and retain for a reasonable period of time records (“Records”) of
cash, security transaction information and correspondence pertaining to the Portfolio. The
Corporation will have title to all Records relating exclusively to the Corporation. Such Records
will be delivered to the Corporation on request or on termination of this Agreement.

The assets comprised in the Portfolio will be held by a custodian (“Custodian”) appointed by the
Corporation. The Corporation agrees that, before or at the time this Agreement takes effect, the
Corporation will authorize the Custodian to accept Liberty Mutual’s instructions in relation to the
dealings with the exercise of rights attaching to, and the management of the investments and cash
in, the Portfolio held by the Custodian. The Corporation hereby authorizes Liberty Mutual at any
time and from time to time to carry out the Corporation’s instructions

(i) to effect transactions relating to the Portfolio by issuing to the Custodian, or to any
broker, dealer or underwriter selected by Liberty Mutual, instructions for the sale,
purchase or exchange of investments in the Portfolio and the delivery and receipt of
investments and payments in connection with such transactions, and

 

 

(ii) for the investment of any cash in the Portfolio.

Liberty Mutual’s duties shall be limited to those specifically stated in this Agreement and
Liberty Mutual shall not otherwise be liable to the Corporation in connection with the operation
or administration of the Portfolio or in connection with the investment or management of other
assets. Specifically, Liberty Mutual shall not be liable for any losses which the Corporation may
incur arising from any depreciation in the value of the Portfolio or the income derived from it
(including any such depreciation which results from capital loss or taxation liability) or
otherwise. Liberty Mutual shall not be liable to the Corporation for any loss which the
Corporation may incur in respect of the default, omission or fraud of the Custodian or any person
through or with whom Liberty Mutual may have effected transactions for the account of the
Portfolio.

The Corporation shall certify to Liberty Mutual the names and specimen signatures of all officers
or employees of the Corporation who are authorized to sign instructions on its behalf Liberty
Mutual shall have the right to require that all instructions made in connection with this
Agreement meet its satisfaction as to content, form and authenticity.

2. Accounting, tax and auditing. Subject to the direction and control of the Corporation’s Board
of Directors and responsible officers, Liberty Mutual shall provide the Corporation with such
accounting services as may be desirable, including:

a. Preparation and maintenance of annual and quarterly financial statements and other
reports providing information required by the state of domicile and other states in which
the Corporation is transacting business, the maintenance of necessary and proper records
and books of account with respect to the business of the Corporation, and the maintenance
and compilation of all data required for the preparation of tax returns.

b. Assistance to the Corporation in connection with the examination or audit of the books,
records, affairs and activities of the Corporation by governmental, insurance or taxing
authorities having regulatory or taxing authority with respect to the operations of the
Corporation, or by any firm of certified public accountants appointed by the Corporation to
audit its books, records and accounts.

Nothing in this Agreement shall be construed to alter the fact that the Corporation’s books,
records and accounts are owned by the Corporation; and the Corporation shall have the right to
inspect, or authorize others to inspect, its books, records and accounts.

3. Purchasing, payroll and employee benefits. Subject to the direction and control of the
Corporation’s Board of Directors

 

 

and responsible officers, Liberty Mutual shall provide the Corporation with such services involving purchasing, payroll and employee benefits as may be desirable.

4. Providing all personnel, equipment, data processing programs, materials and
supplies necessary or desirable for the performance of the services contemplated in
this Agreement.

II. Charges

The Corporation shall compensate Liberty Mutual for the investment services provided pursuant to
this Agreement as set forth in Appendix A.

The Corporation shall reimburse Liberty Mutual for the reasonable cost of performing any other
services provided pursuant to this Agreement. Charges for such services shall include direct
expenses and directly allocable expenses allocated to the Corporation by Liberty Mutual in
conformity with customary insurance accounting practices consistently applied.

III. Confidentiality

Each of the parties undertakes to and covenants with the other that it shall keep all information
received by it pursuant to this Agreement confidential and shall not disclose the same to any third
party except (where the information concerned relates to the other) with the prior written consent
of the other, provided that nothing shall prevent the disclosure by either party of information
which:

(a) is necessary for the party making the disclosure to fulfill obligations owed
by it to the other under this Agreement or any other agreement between the
parties;

(b) has become generally available to the public otherwise than by virtue of a breach
of the provisions of this Agreement; or

(c) is required to be disclosed by a law, regulation or requirement of any
governmental or regulatory body.

IV. Accounts and Disbursements

The net amount owed by one company to the other under this Agreement shall be determined not less
frequently than quarterly and such amount shall be paid on presentation of invoice covering
settlement after the close of the period to which the determination applies, provided that advances
may be made as needed to comply with statutory requirements.

 

 

V. Termination and Modification

This Agreement shall remain in force unless modified by mutual agreement or terminated as herein
provided. This agreement may be terminated by either party by giving to the other at least 120
days advance written notice, or otherwise by mutual agreement. This agreement shall be subject to
negotiation at least every three years.

VI. Assignment

Neither party may assign this Agreement without the prior written consent of the other. Subject to
such restriction, this Agreement shall inure to the benefit of, and be binding upon, the parties
hereto and their respective successors and assigns.

VII. Arbitration

Any dispute which may arise between Liberty Mutual and the Corporation shall be submitted to
arbitration. The matter shall be submitted to three arbiters, one to be selected by Liberty
Mutual, one by the Corporation, and a third by the two previously selected. A decision of a
majority of the arbiters shall be binding upon the parties.

VIII. Severability

If any provision of this Agreement is held invalid or unenforceable, such invalidity or
unenforceability shall not affect any other provision, and the Agreement shall be construed and
enforced as if that provision had not been included.

IX. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the Commonwealth
of Massachusetts (without application of the conflict of laws principles thereof).

 

 

IN WITNESS WHEREOF, the parties hereto have duly executed and
delivered this Agreement under seal as of the day and year first above written.

	 	 	 	 	 
	GOLDEN EAGLE INSURANCE CORPORATION

 	 	 
	/s/ Fred G. Marziano
 	 	 
	Fred G. Marziano 	 	 
	PRESIDENT 	 	 
	 
	LIBERTY MUTUAL INSURANCE COMPANY

 	 	 
	/s/ J. Paul Condrin, III
 	 	 
	J. Paul Condrin, III 	 	 
	SENIOR VICE PRESIDENT, CHIEF FINANCIAL OFFICER AND COMPTROLLER 	 	 

 

 

	 	 	 	 	 

AMENDMENT NO. 1
 (the “Amendment”)

TO

MANAGEMENT SERVICES AGREEMENT

(the “Agreement”)

by and between

LIBERTY MUTUAL INSURANCE COMPANY (“Manager”) and GOLDEN EAGLE INSURANCE CORPORATION (“Company”);
(hereinafter together called the “Parties”).

WHEREAS, the Parties entered into the Agreement for Manager to provide various services effective
August 21, 1997.

WHEREAS, the Parties deem it necessary to amend certain provisions of the Agreement with respect to
settlement of amounts due between them.

NOW, THEREFORE, the Parties hereto agree to amend the Agreement, as follows: Section IV of the
Agreement is amended and restated as follows:

IV. Accounts and Disbursements. Amounts owing between the parties shall
be settled between the parties on a quarterly basis and payments of
amounts owing shall be made within 45 days after the end of the calendar
quarter.

IN WITNESS WHEREOF, the Parties hereto have caused this Amendment No. 1 to the Agreement, effective
as of the 31st day of December, 2007 to be executed by their respective duly authorized officers.

	 	 	 	 	 	 	 	 
	Liberty Mutual Insurance Company 	 	 	Golden Eagle Insurance Corporation	 	 
	 
	/s/ John D. Doyle
 	 	 	/s/ James F. Dore
 	 	 
	By: John D. Doyle 	 	 	By:  James F. Dore 	 	 
	Its:   Vice President and Comptroller 	 	 	Its: Chief Financial Officerexv10w43

EXHIBIT 10.43

MANAGEMENT SERVICES AGREEMENT

This Management Services Agreement (the “Agreement”), effective December 15, 2001, by and between
Liberty Mutual Insurance Company (“Liberty Mutual”), a Massachusetts mutual insurance company and
Hawkeye-Security Insurance Company (“HSIC) formerly, Tower Insurance Company, Inc., a Wisconsin
insurance corporation.

	I.	 	Performance of Services. Liberty Mutual agrees, to the extent requested by HSIC, to perform
such services (collectively, “services”) for HSIC as HSIC determines to be reasonably
necessary or desirable in the conduct of its operations; provided, however, that Liberty
Mutual may, in its sole discretion, decline to provide any of the services contemplated in
this Agreement if providing the requested services would interfere with Liberty Mutual’s
ability to meet its obligations to its policyholders or would otherwise adversely affect
Liberty Mutual. All services provided under this Agreement shall comply with all applicable
state laws and regulations governing HSIC, including all laws and regulations relating to
review of HSIC’s books and records. As may be necessary for the performance of Liberty
Mutual’s services under this Agreement, Liberty Mutual shall have the authority to negotiate
or conclude contracts on behalf of HSIC or bind HSIC to any such contracts.
	 
	 	 	The listing of the following services to be performed under this Agreement is not intended to
limit the performance of other services that may be provided by Liberty Mutual to or on behalf
of HSIC, as may be agreed to by the parties from time to time:

	 	A.	 	Accounting, financial, tax and auditing. Subject to the direction and control of
HSIC’s Board of Directors and responsible officers, Liberty Mutual shall provide HSIC
with such financial and accounting services as may be desirable, including:

	 	1.	 	Preparation and maintenance of annual and quarterly financial
statements and other reports providing information required by the state of
domicile and other states in which HSIC is transacting business, the maintenance of
necessary and proper records and books of account with respect to the business of
HSIC, and the maintenance and compilation of all data required for the preparation
of tax returns.
	 
	 	2.	 	Assistance to HSIC in connection with the examination or audit of the
books, records, affairs and activities of HSIC by governmental, insurance or taxing
authorities having regulatory or taxing authority with respect to the operations of
HSIC, or by any firm of certified public accountants appointed by HSIC to audit its
books, records and accounts.
	 
	 	3.	 	Assistance to HSIC with treasury and accounts payable functions as may
be determined between the parties. HSIC shall certify to Liberty Mutual the names
and specimen signatures of all officers or employees of HSIC who are authorized to
sign instructions on its behalf. Liberty Mutual shall have the right to require
that all instructions made in connection with this Agreement meet its satisfaction
as to content, form and authenticity.

 

 

	 	 	Nothing in this Agreement shall be construed to alter the fact that HSIC’s books, records and
accounts are owned by HSIC; and HSIC shall have the right to inspect, or authorize others to
inspect, its books, records and accounts.

	 	B.	 	Purchasing, payroll and employee benefits. Subject to the direction and control of
HSIC’s Board of Directors and responsible officers, Liberty Mutual shall provide HSIC
with such services involving purchasing (including access to group purchasing contracts
and fleet management services), payroll processing, and employee relations and/or
benefits as may be desirable.
	 
	 	C.	 	Information Technology and Support. Subject to the direction and control of HSIC’s
Board of Directors and responsible officers, Liberty Mutual shall provide the technology
infrastructure, information technology systems, software, data center management, network
management services, monitoring, management/oversight, and support services to HSIC and
shall provide trouble-shooting functions on behalf of HSIC.
	 
	 	D.	 	Policy Administration and Production. Subject to the direction and control of
HSIC’s Board of Directors and responsible officers, Liberty Mutual may perform all policy
production, print and mail activities on HSIC’s behalf for all the states in which HSIC
currently operates and in which it may operate in the future.
	 
	 	E.	 	Real Estate Management. Subject to the direction and control of HSIC’s Board of
Directors and responsible officers, Liberty Mutual may handle all matters and issues
relating to HSIC’s real estate purchases, sales, leases and lease-backs.
	 
	 	F.	 	Legal. Subject to the direction and control of HSIC’s Board of Directors and
responsible officers, Liberty Mutual may provide legal services, including litigation
management services, to or on behalf of HSIC.
	 
	 	G.	 	General Administration. Providing all personnel, equipment, data processing
programs, materials and supplies necessary or desirable for the performance of the
services contemplated in this Agreement.
	 
	 	H.	 	Miscellaneous. Subject to the direction and control of HSIC’s Board of Directors
and responsible officers, Liberty Mutual may perform such other services on behalf of
HSIC as it may desire, and as may be mutually agreed to between Liberty Mutual and HSIC.

	II.	 	Charges. HSIC shall reimburse Liberty Mutual for the reasonable cost of performing any of the
services provided pursuant to this Agreement. Charges for such services shall include direct
expenses and directly allocable expenses allocated to HSIC by Liberty Mutual in conformity
with customary insurance accounting practices consistently applied. The method of expense
allocations under this Agreement shall be consistent with the principles stated in the
Statement of Statutory Accounting Principles No. 70, “Allocation of Expenses.”
	 
	III.	 	Accounts and Disbursements. Amounts owing between the parties will be reconciled within 30
days of each month-end, and balances will be payable within 45 days of month-end, unless
otherwise agreed to between the parties pursuant to Article XI below. Balances less than
$50,000 may be settled on a quarterly basis.

 

 

	IV.	 	Confidentiality. Liberty Mutual and HSIC are prohibited from disclosing or communicating
to any other person, not a party to this Agreement, any confidential or proprietary
information or trade secrets relating to the parties’ respective business or relating to any
affiliate or agency of any party to this Agreement, including business methods and techniques,
research data, marketing and sales information, customer lists, know-how and any other
information concerning the business operations of any party of this Agreement, or any such
party’s affiliates and subsidiaries, unless the disclosure of communication of such
information has been consented to in writing by the party whose confidential and propriety
information or trade secrets is to be released. Confidential and proprietary information shall
not include (a) information generally known to the public, (b) information known to Liberty
Mutual or HSIC to be non-confidential from other, third party, sources prior to the execution
of this Amendment, and (c) information required to be disclosed by law or a state or federal
governmental agency having authority over the business of Liberty Mutual or HSIC, but only for
the limited purpose of such disclosure.
	 
	V.	 	Standards for Performance of Delegated Administrative and Management Functions.

	 	A.	 	At all times during the term of the Agreement, Liberty Mutual shall perform all
delegated administrative and management functions at a level that is at least equal to
its standards for performing such functions on behalf of its own insurance operations. In
addition, all delegated administrative and management functions shall be performed in
accordance with, and subject to, at all times, the relevant and applicable state (or
federal) insurance laws and regulations to which HSIC’s insurance operations are, or may
be, subject.
	 
	 	B.	 	In the event that Liberty Mutual receives a notice from any governmental agency,
board, bureau, commission or public authority of any type, of any alleged violation of
any state or federal insurance law, such notice shall immediately be forwarded to HSIC.
Liberty Mutual shall cooperate in responding to any such governmental notice as such
notice relates to its rendering of services under the Agreement.

	VI.	 	Term and Termination.

	 	A.	 	Term. This Agreement shall be effective as of the 15th day of December, 2001 and
shall continue in full force and effect until terminated in accordance with subsection B,
below. In the event that this Agreement is required to be approved by any state
Department of Insurance, any request for such approval shall seek an effective date that
mirrors the date expressed above.
	 
	 	B.	 	Termination.
	 
	 	1.	 	Termination without Cause. This Agreement may be terminated, in whole
or in relevant part, as appropriate, by HSIC or Liberty Mutual, without cause, upon
ninety (90) days prior written notice. The terminating party shall provide the
applicable state Department(s) of Insurance with written notification of any whole
or partial termination of this Agreement, as may be appropriate, in accordance with
state law requirements.
	 
	 	2.	 	Termination with Cause. This Agreement may be terminated immediately,
in relevant parts or in its entirety, as appropriate, for the following reasons:

	 	(a)	 	Material failure by Liberty Mutual to perform the services
delegated in accordance with the standards set forth in this Agreement;
provided, however, that

 

 

	 	 	 	upon notification by HSIC that the services so delegated are not being
performed in an appropriate or satisfactory manner, Liberty Mutual shall have
thirty (30) days in which to cure the deficiency. In the event the deficiency
is not cured to the satisfaction of HSIC, HSIC may immediately terminate this
Agreement.
	 
	 	(b)	 	nonpayment of costs by a delegating party to the party
performing the services so delegated.
	 
	 	(c)	 	The suspension, revocation or other restriction on the
insurance license of either HSIC or Liberty Mutual.
	 
	 	(d)	 	The insolvency, voluntary or involuntary bankruptcy,
reorganization or liquidation of either HSIC or Liberty Mutual.
	 
	 	(e)	 	In the event of (i) the acquisition of HSIC by a third party
from Liberty Mutual; or (II) any other change in control which causes Liberty
Mutual to no longer maintain a majority on the Board of Directors of HSIC,
then this Agreement shall terminate with respect to HSIC as of the effective
date of the change of control.

	 	C.	 	Effect of Termination. In the event that this Agreement is terminated, with, or
without, cause, in whole or in part, as appropriate, the relevant services shall continue
to be provided by Liberty Mutual until alternate arrangements reasonably can be made by
HSIC The “Transition Services”); provided, however, that the Transition Services shall
not be required to be provided for a period of time extending beyond ninety (90) days
from the effective date of termination, unless otherwise agreed to by the parties. In the
event that this Agreement is terminated, in whole or in part, as appropriate, for any
reason other than those relating to change of control as described in Section VI.B.2(e),
above, all such Transition Services shall continue to be compensated for on a cost basis.
In the event that this Agreement is terminated for reasons specified in Section
VI.B.2(e), above, all such Transition Services shall be compensated for at the
then-prevailing market rate for the provision of such services.

	VII.	 	Indemnification.

	 	A.	 	Liberty Mutual Indemnification of HSIC. Liberty Mutual shall indemnify, defend and
hold harmless HSIC from and against any expenses, damages, liability, actions, costs or
other claims, including but not limited to reasonable attorney’s fees and associated
costs, incurred by HSIC either (i) as a result of the failure of Liberty Mutual or any
subcontractor appointed by Liberty Mutual to comply with any law or administrative
regulation, only if such failure is the result of willful neglect or gross negligence, or
(ii) as a result of or in connection with, Liberty Mutual’s breach of any duty or
obligation hereunder or the breach of any duty or obligation of any subcontractor
appointed by Liberty Mutual if such breach is the result of willful neglect or gross
negligence. HSIC may set off against any amount due Liberty Mutual any amount due to
HSIC, pursuant to this or any other agreement to which the parties to this
indemnification are also parties.
	 
	 	B.	 	HSIC’s Indemnification of Liberty Mutual. HSIC shall indemnify Liberty Mutual and
hold Liberty Mutual harmless from all actions, liabilities, costs and expenses arising
out of or in any way related to Liberty Mutual’s services under this Agreement, unless
directly related to Liberty Mutual’s willful neglect or gross negligence.

 

 

	VIII.	 	No Waiver. The parties hereto agree that no indulgence or acceptance of any delinquent
or partial payment or ratification after the fact of any violation or breach of any provision
of this Agreement by any party hereto shall be construed as a waiver of any party’s rights
hereunder.
	 
	IX.	 	Notices. Any notice required to be given pursuant to any provision of this Agreement shall be
in writing and shall be sent to the parties at their respective last known address by first
class mail, postage prepaid, by overnight delivery service, or by confirmed facsimile
transmission.
	 
	X.	 	Severability. If any provision of this Agreement is held invalid or unenforceable, such
invalidity or unenforceability shall not affect any other provision, and the Agreement shall
be construed and enforced as if that provision had not been included.
	 
	XI.	 	Amendment. This Agreement may only be amended upon the written agreement of both parties hereto.
	 
	XII.	 	Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be considered an original, but
all of which together, shall be considered one and the same.
	 
	XIII.	 	Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the Commonwealth of
Massachusetts (without application of the conflict of laws principles thereof).

IN WITNESS WHEREOF, the parties hereto have duly executed and delivered this Agreement under seal
as of the day and year first above written.

	 	 	 	 	 	 	 	 

	Liberty Mutual Insurance Company	 	Hawkeye-Security Insurance Company	 
	 
	 	 	 	 	 	 	 
	/s/ J. Paul Condrin, III	 	/s/ Douglas Jenkins	 
	 	 	 	 
	By:

	 	J. Paul Condrin, III
	 	By:
	 	Douglas Jenkins	 
	Its:

	 	CFO
	 	Its:
	 	Vice President,
General Counsel,
and Secretary	 

 

 

AMENDMENT NO. 1

(the “Amendment”)

TO

MANAGEMENT SERVICES AGREEMENT

(the “Agreement”)

by and between

LIBERTY MUTUAL INSURANCE COMPANY (“Manager”) and HAWKEYE-SECURITY INSURANCE COMPANY (“Company”);
(hereinafter together called the “Parties”).

WHEREAS, the Parties entered into the Agreement for Manager to provide various services effective
December 15, 2001.

WHEREAS, the Parties deem it necessary to amend certain provisions of the Agreement with respect to
settlement of amounts due between them.

NOW, THEREFORE, the Parties hereto agree to amend the Agreement, as follows:

Section III of the Agreement is amended and restated as follows:

III. Accounts and Disbursements. Amounts owing between the parties shall be settled between
the parties on a quarterly basis and payments of amounts owing shall be made within 45 days
after the end of the calendar quarter.

IN WITNESS WHEREOF, the Parties hereto have caused this Amendment No. 1 to the Agreement, effective
as of the 31st day of December, 2007 to be executed by their respective duly authorized officers.

	 	 	 	 	 	 	 	 

	Liberty Mutual Insurance Company	 	Hawkeye-Security Insurance Company	 
	 
	 	 	 	 	 	 	 
	/s/ John D. Doyle	 	/s/ James F. Dore	 
	 	 	 	 
	By:

	 	John D. Doyle
	 	By:
	 	James F. Dore	 
	Its:

	 	Vice President and Comptroller
	 	Its:
	 	Chief Financial Officer	 

 

 

Hawkeye-Security Insurance Company

N14, W24200 Tower Place

Pewaukee, WI 53072

October 13, 2005

RE: Letter Agreement Regarding Reinsurance Services

          This letter will confirm that, effective as of December 15, 2001, Liberty Mutual Insurance
Company’s performance of the following services for and on behalf of Hawkeye-Security Insurance
Company is encompassed by the terms of the Management Services Agreement dated as of December 15,
2001 between the parties:

          Reinsurance services: including, but not limited to (i) agreement to reinsurance policy and/or
contract wordings and endorsements to existing policies; (ii) processing of reinsurance policy
cancellations, nonrenewals and endorsements and other amendatory addenda; (iii) collection of
premiums due under reinsurance policies or contracts, audits and remittances; (iv) negotiation and
purchase of reinsurance coverage; (v) administration of letters of credit and other arrangements
for the provision of security; and (vi) administration of reinsurance contracts.

	 	 	 	 

	/s/ James R. Pugh

	 	/s/ James F. Dore
	 
	 

	 	 	 
	James R. Pugh, Asst. Secretary

	 	James F. Dore, Chief Financial Officer	 
	 
	Liberty Mutual Insurance Company

	 	Hawkeye-Security Insurance Company

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00176-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00176-of-00352.parquet"}]]