Document:

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                                                                    Exhibit 4.19
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                               GUARANTEE AGREEMENT

                                     BETWEEN

                                   ACE LIMITED

                                 (AS GUARANTOR)

                                       AND

                          BANK ONE TRUST COMPANY, N.A.

                                  (AS TRUSTEE)

                                   DATED AS OF

                               _____________, 2002

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                                TABLE OF CONTENTS

                                                                            Page

                                    ARTICLE I
                                   DEFINITIONS

SECTION 1.1     Definitions....................................................1

                                   ARTICLE II
                              TRUST INDENTURE ACT

SECTION 2.1     Trust Indenture Act: Application...............................5
SECTION 2.2     List of Holders................................................5
SECTION 2.3     Reports by the Guarantee Trustee...............................5
SECTION 2.4     Periodic Reports to Guarantee Trustee..........................6
SECTION 2.5     Evidence of Compliance with Conditions Precedent...............6
SECTION 2.6     Events of Default; Waiver......................................6
SECTION 2.7     Event of Default; Notice.......................................6
SECTION 2.8     Conflicting Interests..........................................6

                                   ARTICLE III
                POWERS, DUTIES AND RIGHTS OF GUARANTEE TRUSTEE

SECTION 3.1     Powers and Duties of the Guarantee Trustee.....................7
SECTION 3.2     Certain Rights of the Guarantee Trustee........................8
SECTION 3.3     Indemnity.....................................................10

                                   ARTICLE IV
                               GUARANTEE TRUSTEE

SECTION 4.1     Guarantee Trustee; Eligibility................................10
SECTION 4.2     Appointment, Removal and Resignation of Guarantee Trustees....11

                                   ARTICLE V
                                   GUARANTEE

SECTION 5.1     Guarantee.....................................................11
SECTION 5.2     Waiver of Notice and Demand...................................12
SECTION 5.3     Obligations Not Affected......................................12
SECTION 5.4     Rights of Holders.............................................13
SECTION 5.5     Guarantee of Payment..........................................13
SECTION 5.6     Subrogation...................................................13
SECTION 5.7     Independent Obligations.......................................13
SECTION 5.8     Net Payments..................................................13

                                   ARTICLE VI
                       LIMITATION OF TRANSACTIONS; RANKING

SECTION 6.1     Limitation of Transactions....................................15
SECTION 6.2     Ranking.......................................................15
SECTION 6.3     Pari Passu Guarantees.........................................16

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                               Table of Contents
                                  (continued)

                                                                            Page

                                  ARTICLE VII
                                  TERMINATION

SECTION 7.1     Termination...................................................16

                                  ARTICLE VIII
                                  MISCELLANEOUS

SECTION 8.1     Successors and Assigns........................................16
SECTION 8.2     Amendments....................................................16
SECTION 8.3     Notices.......................................................17
SECTION 8.4     Benefit.......................................................18
SECTION 8.5     Governing Law.................................................18
SECTION 8.6     Interpretation................................................18
SECTION 8.7     Submission to Jurisdiction....................................19
SECTION 8.8     Judgment Currency.............................................19

                                     -ii-

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                               GUARANTEE AGREEMENT

    This GUARANTEE AGREEMENT, dated as of _______, 2002, is executed and
delivered by ACE Limited, a Cayman Islands company (the "Guarantor"), having its
principal executive offices at ACE Global Headquarters, 17 Woodbourne Avenue,
Hamilton HM 08 Bermuda, and Bank One Trust Company, N.A., a national banking
association, having a corporate trust office at One First National Plaza, Suite
0126, Chicago, Illinois 60670-0126, as trustee (the "Guarantee Trustee"), for
the benefit of the Holders (as defined herein) from time to time of the
Preferred Securities (as defined herein) of ACE Capital Trust IV, a Delaware
statutory business trust (the "Issuer").

    WHEREAS, pursuant to an Amended and Restated Trust Agreement, dated as of
________, 2002, among the Trustees named therein, ACE INA Holdings Inc., a
Delaware corporation and a wholly-owned subsidiary of the Guarantor ("ACE INA"),
as depositor (in such capacity, the "Depositor"), and the Holders from time to
time of undivided beneficial ownership interests in the assets of the Issuer
(the "Trust Agreement"), the Issuer is issuing up to $_______ ($_______ if the
Underwriters' over-allotment option pursuant to the Underwriting Agreement and
the Pricing Agreement is exercised in full), aggregate liquidation preference of
its __% Trust Originated Preferred Securities (liquidation preference $__ per
preferred security) (the "Preferred Securities") representing preferred
undivided beneficial interests in the assets of the Issuer and having the terms
set forth in the Trust Agreement;

    WHEREAS, the Preferred Securities will be issued by the Issuer and the
proceeds thereof, together with the proceeds from the issuance of the Issuer's
Common Securities (as defined herein), will be used to purchase the Debentures
(as defined herein) of ACE INA (in its capacity as issuer of the Debentures, the
"Debenture Issuer"), which will be deposited with Bank One Trust Company, N.A.,
as Property Trustee under the Trust Agreement, as trust assets; and

    WHEREAS, as incentive for the Holders to purchase the Preferred Securities,
the Guarantor desires irrevocably and unconditionally to agree, to the extent
set forth in this Guarantee, to pay to the Holders of the Preferred Securities
the Guarantee Payments (as defined herein) and to make certain other payments on
the terms and conditions set forth herein;

    NOW, THEREFORE, in consideration of the purchase by each Holder of Preferred
Securities, which purchase the Guarantor hereby agrees shall benefit the
Guarantor, the Guarantor executes and delivers this Guarantee Agreement for the
benefit of the Holders from time to time of the Preferred Securities.

                                    ARTICLE I

                                   DEFINITIONS

SECTION 1.1  DEFINITIONS

    As used in this Guarantee Agreement, the terms set forth below shall, unless
the context otherwise requires, have the following meanings. Capitalized or
otherwise defined terms used,

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but not otherwise defined herein shall have the meanings assigned to such terms
in the Trust Agreement as in effect on the date hereof.

    "Additional Amounts" means any additional amounts which are required hereby
or by the terms of the Preferred Securities, under circumstances specified
herein or therein, to be paid by the Guarantor in respect of certain taxes,
assessments or other governmental charges imposed on Holders specified therein
and which are owing to such Holders.

    "Affiliate" of any specified Person means any other Person directly or
indirectly controlling or controlled by or under direct or indirect common
control with such specified Person; provided, however, that an Affiliate of the
                                    --------  -------
Guarantor shall not be deemed to include the Issuer. For the purpose of this
definition, "control" when used with respect to any specified Person means the
power to direct the management and policies of such Person, directly or
indirectly, whether through the ownership of voting securities, by contract or
otherwise; and the terms "controlling" and "controlled" have meanings
correlative to the foregoing.

    "Capitalized Lease Obligations" means an obligation under a lease that is
required to be capitalized for financial reporting purposes in accordance with
generally accepted accounting principles, and the amount of Indebtedness
represented by such obligation shall be the capitalized amount of such
obligation determined in accordance with such principles.

    "Common Securities" means the securities representing common undivided
beneficial interests in the assets of the Issuer.

    "Debenture Guarantee" means the full and unconditional payment guarantee and
indemnity of the Debenture Guarantor provided for in the Indenture with respect
to the Debentures.

    "Debenture Guarantor" means ACE Limited, in its capacity as guarantor of the
Debentures under the Indenture.

    "Debentures" means the series of subordinated debt securities of the
Debenture Issuer designated the __% Junior Subordinated Debentures due _______,
_____ held by the Property Trustee.

    "Event of Default" means a default by the Guarantor on any of its payment or
other obligations under this Guarantee Agreement; provided, however, that,
except with respect to a default in payment of any Guarantee Payments, the
Guarantor shall have received notice of default and shall not have cured such
default within 60 days after receipt of such notice.

    "Guarantee Payments" means the following payments or distributions, without
duplication, with respect to the Preferred Securities, to the extent not paid or
made by or on behalf of the Issuer: (i) any accrued and unpaid Distributions (as
defined in the Trust Agreement) that are required to be paid on such Preferred
Securities, to the extent the Issuer shall have funds on hand available therefor
at such time, (ii) the redemption price, including all accrued and unpaid
Distributions to the date of redemption (the "Redemption Price") with respect to
Preferred Securities called for redemption by the Issuer to the extent the
Issuer shall have funds on hand available therefor at such time and (iii) upon a
voluntary or involuntary dissolution,

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winding-up or liquidation of the Issuer, unless Debentures are distributed to
the Holders, the lesser of (a) the aggregate of the liquidation preference of
$__ per Preferred Security plus accrued and unpaid Distributions on the
Preferred Securities to the date of payment, to the extent the Issuer shall have
funds on hand available to make such payment at such time and (b) the amount of
assets of the Issuer remaining available for distribution to Holders in
liquidation of the Issuer (in either case, the "Liquidation Distribution").

    "Guarantee Trustee" means Bank One Trust Company, N.A., until a Successor
Guarantee Trustee has been appointed and has accepted such appointment pursuant
to the terms of this Guarantee Agreement and thereafter means each such
Successor Guarantee Trustee.

    "Holder" shall mean any holder, as registered on the books and records of
the Issuer, of any Preferred Securities; provided, however, that, in determining
whether the holders of the requisite percentage of Preferred Securities have
given any request, notice, consent or waiver hereunder, "Holder" shall not
include the Guarantor, the Depositor, the Guarantee Trustee or any Affiliate of
the Guarantor, the Depositor, or the Guarantee Trustee.

    "Indebtedness" means, with respect to any Person, (i) the principal of and
any premium and interest on (a) indebtedness of such Person for money borrowed
and (b) indebtedness evidenced by notes, debentures, bonds or other similar
instruments for the payment of which such Person is responsible or liable; (ii)
all Capitalized Lease Obligations of such Person; (iii) all obligations of such
Person issued or assumed as the deferred purchase price of property, all
conditional sale obligations and all obligations under any title retention
agreement (but excluding trade accounts payable arising in the ordinary course
of business); (iv) all obligations of such Person for the reimbursement of any
obligor on any letter of credit, banker's acceptance or similar credit
transaction (other than obligations with respect to letters of credit securing
obligations (other than obligations described in (i) through (iii) above)
entered into in the ordinary course of business of such Person to the extent
such letters of credit are not drawn upon or, if and to the extent drawn upon,
such drawing is reimbursed no later than the third Business Day following
receipt by such Person of a demand for reimbursement following payment on the
letter of credit); (v) all obligations of the type referred to in clauses (i)
through (iv) of other Persons and all dividends of other Persons for the payment
of which, in either case, such Person is responsible or liable as obligor,
guarantor or otherwise; and (vi) all obligations of the type referred to in
clauses (i) through (v) of other Persons secured by any Lien on any property or
asset of such Person (whether or not such obligation is assumed by such Person),
the amount of such obligation being deemed to be the lesser of the value of such
property or assets or the amount of the obligation so secured; and (vii) any
amendments, modifications, refundings, renewals or extensions of any
indebtedness or obligation described as Indebtedness in clauses (i) through (vi)
above.

    "Indenture" means the Subordinated Indenture dated as of _______, 2002 among
the Debenture Issuer, the Debenture Guarantor and Bank One Trust Company, N.A.,
as trustee, and any indenture supplemental thereto pursuant to which the
Debentures and the Debenture Guarantee are to be issued to the Property Trustee
of the Issuer.

    "List of Holders" has the meaning specified in Section 2.2(a).

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    "Majority in liquidation preference of the Preferred Securities" means,
except as provided by the Trust Indenture Act, a vote by Holder(s), voting
separately as a class, of more than 50% of the liquidation preference of all
then outstanding Preferred Securities issued by the Issuer.

    "Officer's Certificate" means, with respect to any Person, a certificate
signed by the Chairman of the Board of Directors, a Vice Chairman, the
President, any Vice President, the Treasurer, an Assistant Treasurer, the
Secretary or an Assistant Secretary of such Person, and delivered to the
Guarantee Trustee. Any Officer's Certificate delivered with respect to
compliance with a condition or covenant provided for in this Guarantee shall
include:

    (a) a statement that the officer signing the Officer's Certificate has read
the covenant or condition and the definitions relating thereto;

    (b) a brief statement of the nature and scope of the examination or
investigation undertaken by such officer in rendering the Officer's Certificate;

    (c) a statement that such officer has made such examination or investigation
as, in such officer's opinion, is necessary to enable such officer to express an
informed opinion as to whether or not such covenant or condition has been
complied with; and

    (d) a statement as to whether, in the opinion of such officer, such
condition or covenant has been complied with.

    "Person" means a legal person, including any individual, corporation,
estate, partnership, joint venture, association, joint stock company, limited
liability company, trust, unincorporated association or government or any agency
or political subdivision thereof, or any other entity of whatever nature.

    "Responsible Officer" means, with respect to the Guarantee Trustee, any
Senior Vice President, any Vice President, any Assistant Vice President, the
Secretary, any Assistant Secretary, the Treasurer, any Assistant Treasurer, any
Trust Officer or Assistant Trust Officer or any other officer within the
Corporate Trust Department of the above designated officers and also means, with
respect to a particular corporate trust matter, any other officer to whom such
matter is referred because of that officer's knowledge of and familiarity with
the particular subject.

    "Senior Indebtedness" means all Indebtedness of the Guarantor (including its
Indebtedness, as Debenture Guarantor, under the Indenture) outstanding at any
time, except (a) the Indebtedness under this Guarantee Agreement, (b)
Indebtedness as to which, by the terms of the instrument creating or evidencing
the same, it is provided that such Indebtedness is subordinated to or pari passu
with this Guarantee Agreement or to other Indebtedness of the Guarantor which is
subordinated to or pari passu with this Guarantee Agreement, (c) Indebtedness of
the Guarantor to an Affiliate of the Guarantor, (d) interest accruing after the
filing of a petition initiating any proceeding referred to in Section 5.1(7) and
5.1(8) of the Indenture unless such interest is an allowed claim enforceable
against the Guarantor in a proceeding under federal or state bankruptcy laws,
(e) trade accounts payable and (f) similar Guarantee Agreements issued by the
Guarantor on behalf of holders of preferred securities of any other ACE Capital
Trust or any trust, partnership or other entity affiliated with the Guarantor

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which is a financing vehicle of the Guarantor or any Affiliate of the Guarantor
in connection with the issuance by such entity of preferred securities or other
securities which are similar to preferred securities that are guaranteed by the
Guarantor pursuant to an instrument that ranks pari passu with or junior in
right of payment to this Guarantee Agreement.

    "Successor Guarantee Trustee" means a successor Guarantee Trustee possessing
the qualifications to act as Guarantee Trustee under Section 4.1.

    "Trust Indenture Act" means the Trust Indenture Act of 1939, as amended.

                                   ARTICLE II

                               TRUST INDENTURE ACT

SECTION 2.1  TRUST INDENTURE ACT: APPLICATION

    (a) This Guarantee Agreement is subject to the provisions of the Trust
Indenture Act that are required to be part of this Guarantee Agreement and
shall, to the extent applicable, be governed by such provisions.

    (b) If and to the extent that any provision of this Guarantee Agreement
limits, qualifies or conflicts with the duties imposed by Sections 310 to 317,
inclusive, of the Trust Indenture Act, such imposed duties shall control.

SECTION 2.2  LIST OF HOLDERS

    (a) The Guarantor shall furnish or cause to be furnished to the Guarantee
Trustee (a) semiannually, not later than May 1 and November 1 of each year, a
list, in such form as the Guarantee Trustee may reasonably require, of the names
and addresses of the Holders ("List of Holders") as of the applicable date, and
(ii) at such other times as the Guarantee Trustee may request in writing, within
30 days after the receipt by the Guarantor of any such request, a List of
Holders as of a date not more than 15 days prior to the time such list is
furnished, in each case to the extent such information is in the possession or
control of the Guarantor and is not identical to a previously supplied list of
Holders or has not otherwise been received by the Guarantee Trustee in its
capacity as such. The Guarantee Trustee may destroy any List of Holders
previously given to it on receipt of a new List of Holders.

    (b) The Guarantee Trustee shall comply with its obligations under Section
311(a), Section 311(b) and Section 312(b) of the Trust Indenture Act.

SECTION 2.3  REPORTS BY THE GUARANTEE TRUSTEE

    Within 60 days after September 15 of each year commencing with September 15,
____, the Guarantee Trustee shall provide to the Holders such reports as are
required by Section 313 of the Trust Indenture Act, if any, in the form and in
the manner provided by Section 313 of the Trust Indenture Act.  The Guarantee
Trustee shall also comply with the requirements of Section 313(d) of the Trust
Indenture Act.

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SECTION 2.4  PERIODIC REPORTS TO THE GUARANTEE TRUSTEE

    The Guarantor shall provide to the Guarantee Trustee, the Securities and
Exchange Commission and the Holders, such documents, reports and information, if
any, as required by Section 314 of the Trust Indenture Act and the compliance
certificate required by Section 314 of the Trust Indenture Act, in the form, in
the manner and at the times required by Section 314 of the Trust Indenture Act.

SECTION 2.5  EVIDENCE OF COMPLIANCE WITH CONDITIONS PRECEDENT

    The Guarantor shall provide to the Guarantee Trustee such evidence of
compliance with such conditions precedent, if any, provided for in this
Guarantee Agreement that relate to any of the matters set forth in Section
314(c) of the Trust Indenture Act. Any certificate or opinion required to be
given by an officer pursuant to Section 314(c)(1) may be given in the form of an
Officer's Certificate.

SECTION 2.6  EVENTS OF DEFAULT; WAIVER

    The Holders of a Majority in liquidation preference of the Preferred
Securities may, by vote, on behalf of all Holders, waive any past Event of
Default and its consequences. Upon such waiver, any such Event of Default shall
cease to exist, and any Event of Default arising therefrom shall be deemed to
have been cured, for every purpose of this Guarantee Agreement, but no such
waiver shall extend to any subsequent or other default or Event of Default or
impair any right consequent thereon.

SECTION 2.7  EVENT OF DEFAULT; NOTICE

    (a) The Guarantee Trustee shall, within 90 days after the occurrence of an
Event of Default known to the Guarantee Trustee, transmit by mail, first class
postage prepaid, to the Holders, notices of all such Events of Default, unless
such defaults have been cured or waived before the giving of such notice,
provided, except in the case of a default in the payment of a Guarantee Payment,
the Guarantee Trustee shall be protected in withholding such notice if and so
long as the board of directors, the executive committee or a trust committee of
directors and/or Responsible Officers of the Guarantee Trustee in good faith
determines that the withholding of such notice is in the interests of the
Holders.

    (b) The Guarantee Trustee shall not be deemed to have knowledge of any Event
of Default unless the Guarantee Trustee shall have received written notice, or a
Responsible Officer of the Guarantee Trustee charged with the administration of
the Trust Agreement shall have obtained written notice, of such Event of
Default.

SECTION 2.8  CONFLICTING INTERESTS

    The Trust Agreement shall be deemed to be specifically described in this
Guarantee Agreement for the purposes of clause (i) of the first proviso
contained in Section 310(b) of the Trust Indenture Act.

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                                  ARTICLE III

                 POWERS, DUTIES AND RIGHTS OF GUARANTEE TRUSTEE

SECTION 3.1  POWERS AND DUTIES OF THE GUARANTEE TRUSTEE

    (a) This Guarantee Agreement shall be held by the Guarantee Trustee for the
benefit of the Holders, and the Guarantee Trustee shall not transfer this
Guarantee Agreement to any Person except a Holder exercising his or her rights
pursuant to Section 5.4(iv) or to a Successor Guarantee Trustee on acceptance by
such Successor Guarantee Trustee of its appointment to act as Successor
Guarantee Trustee. The right, title and interest of the Guarantee Trustee shall
automatically vest in any Successor Guarantee Trustee, upon acceptance by such
Successor Guarantee Trustee of its appointment hereunder, and such vesting and
cessation of title shall be effective whether or not conveyancing documents have
been executed and delivered pursuant to the appointment of such Successor
Guarantee Trustee.

    (b) If an Event of Default has occurred and is continuing, the Guarantee
Trustee shall enforce this Guarantee Agreement for the benefit of the Holders.

    (c) The Guarantee Trustee, before the occurrence of any Event of Default and
after the curing or waiver of all Events of Default that may have occurred,
shall undertake to perform only such duties as are specifically set forth in
this Guarantee Agreement, and no implied covenants shall be read into this
Guarantee Agreement against the Guarantee Trustee. In case an Event of Default
has occurred (that has not been cured or waived pursuant to Section 2.6), the
Guarantee Trustee shall exercise such of the rights and powers vested in it by
this Guarantee Agreement, and use the same degree of care and skill in its
exercise thereof, as a prudent person would exercise or use under the
circumstances in the conduct of his or her own affairs.

    (d) No provision of this Guarantee shall be construed to relieve the
Guarantee Trustee from liability for its own negligent action, its negligent
failure to act or its own bad faith or willful misconduct, except that:

          (i)     prior to the occurrence of any Event of Default and after the
    curing or waiving of such Events of Default that may have occurred:

                  (A) the duties and obligations of the Guarantee Trustee shall
          be determined solely by the express provisions of this Guarantee
          Agreement, and the Guarantee Trustee shall not be liable except for
          the performance of such duties and obligations as are specifically set
          forth in this Guarantee Agreement, and

                  (B) in the absence of bad faith on the part of the Guarantee
          Trustee, the Guarantee Trustee may conclusively rely, as to the truth
          of the statements and the correctness of the opinions expressed
          therein, upon any certificates or opinions furnished to the Guarantee
          Trustee and conforming to the requirements of this Guarantee
          Agreement; but in the case of any such certificates or opinions that
          by any provision hereof are specifically required to be furnished to
          the Guarantee Trustee, the Guarantee Trustee shall be under a duty to
          examine the same to

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          determine whether or not they conform to the requirements of this
          Guarantee Agreement;

          (ii)    the Guarantee Trustee shall not be liable for any error of
    judgment made in good faith by a Responsible Officer of the Guarantee
    Trustee, unless it shall be proved that the Guarantee Trustee was negligent
    in ascertaining the pertinent facts upon which such judgment was made;

          (iii)   the Guarantee Trustee shall not be liable with respect to any
    action taken or omitted to be taken by it in good faith in accordance with
    the direction of the Holders of not less than a Majority in liquidation
    preference of the Preferred Securities relating to the time, method and
    place of conducting any proceeding for any remedy available to the
    Guarantee Trustee, or exercising any trust or power conferred upon the
    Guarantee Trustee under this Guarantee Agreement; and

          (iv)    no provision of this Guarantee shall require the Guarantee
    Trustee to expend or risk its own funds or otherwise incur personal
    financial liability in the performance of any of its duties or in the
    exercise of any of its rights or powers, if the Guarantee Trustee shall
    have reasonable grounds for believing that the repayment of such funds or
    liability is not reasonably assured to it under the terms of this Guarantee
    Agreement or adequate indemnity against such risk or liability is not
    reasonably assured to it.

SECTION 3.2  CERTAIN RIGHTS OF THE GUARANTEE TRUSTEE

    (a) Subject to the provisions of Section 3.1:

          (i)     The Guarantee Trustee may rely upon, and shall be fully
    protected in acting or refraining from acting upon, any resolution,
    certificate, statement, instrument, opinion, report, notice, request,
    direction, consent, order, bond, debenture, note, other evidence of
    indebtedness or other paper or document believed by it to be genuine and to
    have been signed, sent or presented by the proper party or parties.

          (ii)    Any direction or act of the Guarantor contemplated by this
    Guarantee Agreement shall be sufficiently evidenced by an Officer's
    Certificate unless otherwise prescribed herein.

          (iii)   Whenever, in the administration of this Guarantee Agreement,
    the Guarantee Trustee shall deem it desirable that a matter be proved or
    established before taking, suffering or omitting any action hereunder, the
    Guarantee Trustee (unless other evidence is herein specifically prescribed)
    may, in the absence of bad faith on its part, request and rely upon an
    Officer's Certificate which, upon receipt of such request, shall be
    promptly delivered by the Guarantor.

          (iv)    The Guarantee Trustee may consult with competent legal
    counsel, and the written advice or opinion of such counsel with respect to
    legal matters shall be full and complete authorization and protection in
    respect of any action taken, suffered or omitted to be taken by it
    hereunder in good faith and in accordance with such advice or opinion.

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    Such counsel may be counsel to the Guarantor or any of its Affiliates and
    may include any of its employees. The Guarantee Trustee shall have the
    right at any time to seek instructions concerning the administration of
    this Guarantee Agreement from any court of competent jurisdiction.

          (v)     The Guarantee Trustee shall be under no obligation to exercise
    any of the rights or powers vested in it by this Guarantee Agreement at the
    request or direction of any Holder, unless such Holder shall have provided
    to the Guarantee Trustee such security and indemnity as would satisfy a
    reasonable person in the position of the Guarantee Trustee, against the
    costs, expenses (including attorneys' fees and expenses) and liabilities
    that might be incurred by it in complying with such request or direction,
    including such reasonable advances as may be requested by the Guarantee
    Trustee; provided that, nothing contained in this Section 3.2(a)(v) shall
    be taken to relieve the Guarantee Trustee, upon the occurrence of an Event
    of Default, of its obligation to exercise the rights and powers vested in
    it by this Guarantee Agreement.

          (vi)    The Guarantee Trustee shall not be bound to make any
    investigation into the facts or matters stated in any resolution,
    certificate, statement, instrument, opinion, report, notice, request,
    direction, consent, order, bond, debenture, note, other evidence of
    indebtedness or other paper or document, but the Guarantee Trustee, in its
    discretion, may make such further inquiry or investigation into such facts
    or matters as it may see fit.

          (vii)   The Guarantee Trustee may execute any of the trusts or powers
    hereunder or perform any duties hereunder either directly or by or through
    agents or attorneys, and the Guarantee Trustee shall not be responsible for
    any misconduct or negligence on the part of any such agent or attorney
    appointed with due care by it hereunder.

          (viii)  Any action taken by the Guarantee Trustee or its agents
    hereunder shall bind the Holders, and the signature of the Guarantee
    Trustee or its agents alone shall be sufficient and effective to perform
    any such action. No third party shall be required to inquire as to the
    authority of the Guarantee Trustee to so act or as to its compliance with
    any of the terms and provisions of this Guarantee Agreement, both of which
    shall be conclusively evidenced by the Guarantee Trustee's or its agent's
    taking such action.

          (ix)    Whenever in the administration of this Guarantee Agreement the
    Guarantee Trustee shall deem it desirable to receive instructions with
    respect to enforcing any remedy or right or taking any other action
    hereunder, the Guarantee Trustee (A) may request instructions from the
    Holders of a Majority in liquidation preference of the Preferred
    Securities, (B) may refrain from enforcing such remedy or right or taking
    such other action until such instructions are received, and (C) shall be
    protected in acting in accordance with such instructions.

    (b) No provision of this Guarantee Agreement shall be deemed to impose any
duty or obligation on the Guarantee Trustee to perform any act or acts or
exercise any right, power, duty or obligation conferred or imposed on it in any
jurisdiction in which it shall be illegal, or in which the Guarantee Trustee
shall be unqualified or incompetent in accordance with applicable law, to
perform any such act or acts or to exercise any such right, power, duty or
obligation. No

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permissive power or authority available to the Guarantee Trustee
shall be construed to be a duty to act in accordance with such power and
authority.

SECTION 3.3  INDEMNITY

    The Guarantor agrees to indemnify the Guarantee Trustee for, and to hold it
harmless against, any loss, liability or expense incurred without negligence,
bad faith or willful misconduct on the part of the Guarantee Trustee, arising
out of or in connection with the acceptance or administration of this Guarantee
Agreement, including the costs and expenses of defending itself against any
claim or liability in connection with the exercise or performance of any of its
powers or duties hereunder. The Guarantee Trustee will not claim or exact any
lien or charge on any Guarantee Agreement as a result of any amount due to it
under this Guarantee Agreement.

    The provisions of this Section 3.3 shall survive the termination of this
Guarantee Agreement or the resignation or removal of the Guarantee Trustee.

ARTICLE IV

                                GUARANTEE TRUSTEE

SECTION 4.1  GUARANTEE TRUSTEE; ELIGIBILITY

    (a) There shall at all times be a Guarantee Trustee which shall:

          (i)     not be an Affiliate of the Guarantor or the Depositor; and

          (ii)    be a Person that is eligible pursuant to the Trust Indenture
    Act to act as such and has a combined capital of at least 50 million U.S.
    dollars ($50,000,000), and shall be a corporation meeting the requirements
    of Section 310(c) of the Trust Indenture Act. If such corporation publishes
    reports of condition at least annually, pursuant to law or to the
    requirements of the supervising or examining authority, then, for the
    purposes of this Section 4.1(a)(ii), the combined capital and surplus of
    such corporation shall be deemed to be its combined capital and surplus as
    set forth in its most recent report of condition so published.

    (b) If at any time the Guarantee Trustee shall cease to be eligible to so
act under Section 4.1(a), the Guarantee Trustee shall immediately resign in the
manner and with the effect set out in Section 4.2(c).

    (c) If the Guarantee Trustee has or shall acquire any "conflicting interest"
within the meaning of Section 310(b) of the Trust Indenture Act, the Guarantee
Trustee and Guarantor shall in all respects comply with the provisions of
Section 310(b) of the Trust Indenture Act.

                                      10

<PAGE>

SECTION 4.2  APPOINTMENT, REMOVAL AND RESIGNATION OF GUARANTEE TRUSTEES

    (a) Subject to Section 4.2(b), the Guarantee Trustee may be appointed or
removed without cause at any time by the Guarantor.

    (b) The Guarantee Trustee shall not be removed in accordance with Section
4.2(a) until a Successor Guarantee Trustee has been appointed and has accepted
such appointment by written instrument executed by such Successor Guarantee
Trustee and delivered to the Guarantor.

    (c) The Guarantee Trustee appointed to office shall hold office until a
Successor Guarantee Trustee shall have been appointed or until its removal or
resignation. The Guarantee Trustee may resign from office (without need for
prior or subsequent accounting) by an instrument in writing executed by the
Guarantee Trustee and delivered to the Guarantor, which resignation shall not
take effect until a Successor Guarantee Trustee has been appointed and has
accepted such appointment by instrument in writing executed by such Successor
Guarantee Trustee and delivered to the Guarantor and the resigning Guarantee
Trustee.

    (d) If no Successor Guarantee Trustee shall have been appointed and accepted
appointment as provided in this Section 4.2 within 60 days after delivery to the
Guarantor of an instrument of resignation, the resigning Guarantee Trustee may
petition any court of competent jurisdiction for appointment of a Successor
Guarantee Trustee. Such court may thereupon, after prescribing such notice, if
any, as it may deem proper, appoint a Successor Guarantee Trustee.

                                    ARTICLE V

                                    GUARANTEE

SECTION 5.1  GUARANTEE

    The Guarantor irrevocably and unconditionally agrees to pay in full to the
Holders the Guarantee Payments (without duplication of amounts theretofore paid
by or on behalf of the Issuer), as and when due, regardless of any defense,
right of set-off or counterclaim that the Issuer may have or assert. The
Guarantor's obligation to make a Guarantee Payment may be satisfied by direct
payment of the required amounts by the Guarantor to the Holders or by causing
the Issuer, through the Debenture Issuer, to pay such amounts to the Holders.

SECTION 5.2  WAIVER OF NOTICE AND DEMAND

    The Guarantor hereby waives notice of acceptance of this Guarantee Agreement
and of any liability to which it applies or may apply, presentment, demand for
payment, any right to require a proceeding first against the Guarantee Trustee,
Issuer or any other Person before proceeding against the Guarantor, protest,
notice of nonpayment, notice of dishonor, notice of redemption and all other
notices and demands.

                                      11

<PAGE>

SECTION 5.3  OBLIGATIONS NOT AFFECTED

    The obligations, covenants, agreements and duties of the Guarantor under
this Guarantee shall in no way be affected or impaired by reason of the
happening from time to time of any of the following:

    (a) the release or waiver, by operation of law or otherwise, of the
performance or observance by the Issuer of any express or implied agreement,
covenant, term or condition relating to the Preferred Securities to be performed
or observed by the Issuer;

    (b) the extension of time for the payment by the Issuer of all or any
portion of the Distributions, Redemption Price, Liquidation Distribution or any
other sums payable under the terms of the Preferred Securities or the extension
of time for the performance of any other obligation under, arising out of, or in
connection with, the Preferred Securities (other than an extension of time for
payment of Distributions, Redemption Price, Liquidation Distribution or other
sum payable that results from the extension of any interest payment period on
the Debentures or so provided by the Indenture);

    (c) any failure, omission, delay or lack of diligence on the part of the
Holders to enforce, assert or exercise any right, privilege, power or remedy
conferred on the Holders pursuant to the terms of the Preferred Securities, or
any action on the part of the Issuer granting indulgence or extension of any
kind;

    (d) the voluntary or involuntary liquidation, dissolution, sale of any
collateral, receivership, insolvency, bankruptcy, assignment for the benefit of
creditors, reorganization, arrangement, composition or readjustment of debt of,
or other similar proceedings affecting, the Issuer or any of the assets of the
Issuer;

    (e) any invalidity of, or defect or deficiency in, the Preferred Securities;

    (f) the settlement or compromise of any obligation guaranteed hereby or
hereby incurred; or

    (g) any other circumstance whatsoever that might otherwise constitute a
legal or equitable discharge or defense of a guarantor, it being the intent of
this Section 5.3 that the obligations of the Guarantor hereunder shall be
absolute and unconditional under any and all circumstances.

    There shall be no obligation of the Holders to give notice to, or obtain
the consent of, the Guarantor with respect to the happening of any of the
foregoing.

SECTION 5.4  RIGHTS OF HOLDERS

    The Guarantor expressly acknowledges that: (i) this Guarantee Agreement will
be deposited with the Guarantee Trustee to be held for the benefit of the
Holders; (ii) the Guarantee Trustee has the right to enforce this Guarantee
Agreement on behalf of the Holders; (iii) the Holders of a Majority in
liquidation preference of the Preferred Securities have the right to direct the
time, method and place of conducting any proceeding for any remedy available to
the

                                      12

<PAGE>

Guarantee Trustee in respect of this Guarantee Agreement or to direct the
exercise of any trust or power conferred upon the Guarantee Trustee under this
Guarantee Agreement; and (iv) any Holder may, to the extent permitted by law,
institute a legal proceeding directly against the Guarantor to enforce its
rights under this Guarantee Agreement, without first instituting a legal
proceeding against the Guarantee Trustee, the Issuer or any other Person. The
Guarantor waives any right or remedy to require that any action on this
Guarantee Agreement be brought first against the Issuer or any other Person or
entity before proceeding directly against the Guarantor.

SECTION 5.5  GUARANTEE OF PAYMENT

    This Guarantee creates a guarantee of payment and not of collection. This
Guarantee Agreement will not be discharged except by payment of the Guarantee
Payments in full (without duplication of amounts theretofore paid by the Issuer)
or upon distribution of Debentures to Holders as provided in the Trust
Agreement.

SECTION 5.6  SUBROGATION

    The Guarantor shall be subrogated to all rights, if any, of the Holders
against the Issuer in respect of any amounts paid to such Holders by the
Guarantor under this Guarantee Agreement; provided, however, that the Guarantor
                                          --------  -------
shall not (except to the extent required by mandatory provisions of law) be
entitled to enforce or exercise any right that it may acquire by way of
subrogation or any indemnity, reimbursement or other agreement, in all cases as
a result of payment under this Guarantee Agreement, if, at the time of any such
payment, any amounts are due and unpaid under this Guarantee Agreement. If any
amount shall be paid to the Guarantor in violation of the preceding sentence,
the Guarantor agrees to hold such amount in trust for the Holders and to pay
over such amount to the Holders.

SECTION 5.7  INDEPENDENT OBLIGATIONS

    The Guarantor acknowledges that its obligations hereunder are independent of
the obligations of the Issuer with respect to the Preferred Securities, and that
the Guarantor shall be liable as principal and as debtor hereunder to make
Guarantee Payments pursuant to the terms of this Guarantee Agreement
notwithstanding the occurrence of any event referred to in subsections (a)
through (g), inclusive, of Section 5.3 hereof.

SECTION 5.8  NET PAYMENTS

    All Guarantee Payments required to be made hereunder shall be made by the
Guarantor without withholding or deduction at source for, or on account of, any
present or future taxes, fees, duties, assessments or governmental charges of
whatever nature imposed or levied by or on behalf of the Cayman Islands or
Bermuda (each, a "taxing jurisdiction") or any political subdivision or taxing
authority thereof or therein, unless such taxes, fees, duties, assessments or
governmental charges are required to be withheld or deducted by (i) the laws (or
any regulations or ruling promulgated thereunder) of a taxing jurisdiction or
any political subdivision or taxing authority thereof or therein or (ii) an
official position regarding the application, administration, interpretation or
enforcement of any such laws, regulations or rulings (including, without
limitation, a holding by a court of competent jurisdiction or by a taxing
authority in a taxing jurisdiction or any political subdivision thereof). If a
withholding or deduction at source is

                                      13

<PAGE>

required, the Guarantor shall, subject to certain limitations and exceptions set
forth below, pay to the Holder of any Preferred Security such Additional Amounts
as may be necessary so that every Guarantee Payment made to such Holder, after
such withholding or deduction, shall not be less than the amount provided for in
this Guarantee Agreement to be then due and payable; provided, however, that the
                                                     --------  -------
Guarantor shall not be required to make payment of such Additional Amounts for
or on account of:

    (1) any tax, fee, duty, assessment or governmental charge of whatever nature
which would not have been imposed but for the fact that such Holder: (A) was a
resident, domiciliary or national of, or engaged in business or maintained a
permanent establishment or was physically present in, the relevant taxing
jurisdiction or any political subdivision thereof or otherwise had some
connection with the relevant taxing jurisdiction other than by reason of the
mere ownership of, or receipt of payment under, such Preferred Security; (B)
presented such Preferred Security for payment in the relevant taxing
jurisdiction or any political subdivision thereof, unless such Preferred
Security could not have been presented for payment elsewhere; or (C) presented
such Preferred Security more than thirty (30) days after the date on which the
payment in respect of such Preferred Security first became due and payable or
provided for, whichever is later, except to the extent that the Holder would
have been entitled to such Additional Amounts if it had presented such Preferred
Security for payment on any day within such period of thirty (30) days;

    (2) any estate, inheritance, gift, sale, transfer, personal property or
similar tax, assessment or other governmental charge;

    (3) any tax, assessment or other governmental charge that is imposed or
withheld by reason of the failure by the Holder or the beneficial owner of such
Preferred Security to comply with any reasonable request by the Guarantor or the
Trust addressed to the Holder within 90 days of such request (A) to provide
information concerning the nationality, residence or identity of the Holder or
such beneficial owner or (B) to make any declaration or other similar claim or
satisfy any information or reporting requirement, which, in the case of (A) or
(B), is required or imposed by statute, treaty, regulation or administrative
practice of the relevant taxing jurisdiction or any political subdivision
thereof as a precondition to exemption from all or part of such tax, assessment
or other governmental charge; or

    (4) any combination of items (1), (2) and (3);

nor shall Additional Amounts be paid with respect to any Guarantee Payment to
any Holder who is a fiduciary or partnership or other than the sole beneficial
owner of the related Preferred Security to the extent such payment would be
required by the laws of the relevant taxing jurisdiction (or any political
subdivision or relevant taxing authority thereof or therein) to be included in
the income for tax purposes of a beneficiary or partner or settlor with respect
to such fiduciary or a member of such partnership or a beneficial owner who
would not have been entitled to such Additional Amounts had it been the Holder
of such Preferred Security.

                                      14

<PAGE>

                                  ARTICLE VI

                       LIMITATION OF TRANSACTIONS; RANKING

SECTION 6.1  LIMITATION OF TRANSACTIONS

    The Guarantor hereby covenants and agrees that, so long as any Preferred
Securities remain outstanding, it will not, and will not permit any of its
Subsidiaries (including the Debenture Issuer) to, (a) declare or pay any
dividends or distributions on, or redeem, purchase, acquire or make a
liquidation payment with respect to, any of the outstanding capital stock of the
Debenture Issuer or the Guarantor, as the case may be, or (b) make any payment
of principal of, interest or premium, if any, on or repay, repurchase or redeem
any debt security of the Debenture Issuer or the Guarantor, as the case may be,
that ranks junior in interest to the Debentures or the guarantee in respect
thereof, as the case may be, or make any guarantee payments with respect to any
guarantee by the Debenture Issuer or the Guarantor, as the case may be, of the
debt securities of any Subsidiary of the Debenture Issuer or the Guarantor, as
the case may be, if such guarantee ranks junior in interest to the Debentures or
the guarantee in respect thereof, as the case may be (other than (i) dividends
or distributions on the Capital Stock (as defined in the Indenture) of the
Debenture Issuer paid or made to the Guarantor and dividends or distributions in
Common Stock (as defined in the Indenture) of the Debenture Issuer or the
Guarantor, as the case may be, (ii) redemptions or purchases of any rights
outstanding under a shareholder rights plan of the Debenture Issuer or the
Guarantor, as the case may be, or the declaration of a dividend of such rights
or the issuance of stock under such plans in the future, (iii) payments under
any preferred securities guarantee, and (iv) purchases of Common Stock related
to the issuance of Common Stock under any benefit plans of the Debenture Issuer
or the Guarantor, as the case may be, for its respective directors, officers or
employees) if at such time (1) there shall have occurred any event of which the
Debenture Issuer or the Guarantor, as the case may be, has actual knowledge that
(A) with the giving of notice or the lapse of time or both, would constitute an
Event of Default under the Indenture and (B) in respect of which the Debenture
Issuer or the Guarantor, as the case may be, shall not have taken reasonable
steps to cure, (2) the Guarantor shall be in default with respect to its payment
of any obligations under this Guarantee Agreement or (3) the Debenture Issuer
shall have given notice of its election to begin an Extension Period (as defined
in the Indenture) with respect to the Debentures as provided in the Indenture
and shall not have rescinded such notice, or such Extension Period, or any
extension thereof, shall be continuing.

SECTION 6.2  RANKING

    This Guarantee will constitute an unsecured obligation of the Guarantor and
will rank subordinate and junior in right of payment to all Senior Indebtedness
of the Guarantor.

SECTION 6.3  PARI PASSU GUARANTEES

    This Guarantee Agreement shall rank pari passu with any similar Guarantee
Agreements issued by the Guarantor on behalf of holders of preferred securities
of any other ACE Capital Trust or any trust, partnership or other entity
affiliated with the Guarantor which is a financing vehicle of the Guarantor or
any Affiliate of the Guarantor in connection with the issuance by such entity of
preferred securities or other securities which are similar to preferred
securities that

                                      15

<PAGE>

are guaranteed by the Guarantor pursuant to an instrument that
ranks pari passu with or junior in right of payment to this Guarantee Agreement.

                                   ARTICLE VII

                                   TERMINATION

SECTION 7.1  TERMINATION

    This Guarantee shall terminate and be of no further force and effect upon
(i) full payment of the Redemption Price of all Preferred Securities, (ii) the
distribution of the Debentures to all Holders in exchange for the Preferred
Securities or (iii) full payment of the amounts payable in accordance with the
Trust Agreement upon liquidation of the Issuer. Notwithstanding the foregoing,
this Guarantee Agreement will continue to be effective or will be reinstated, as
the case may be, if at any time any Holder must restore payment of any sums paid
with respect to the Preferred Securities or under this Guarantee Agreement.

                                  ARTICLE VIII

                                  MISCELLANEOUS

SECTION 8.1  SUCCESSORS AND ASSIGNS

    All guarantees and agreements contained in this Guarantee Agreement shall
bind the successors, assigns, receivers, trustees and representatives of the
Guarantor and shall inure to the benefit of the Holders of the Preferred
Securities then outstanding. Except in connection with a consolidation, merger,
or sale involving the Guarantor that is permitted under Article 8 of the
Indenture and pursuant to which the assignee agrees in writing to perform the
Guarantor's obligations hereunder, the Guarantor shall not assign its
obligations hereunder.

SECTION 8.2  AMENDMENTS

    Except with respect to any changes that do not adversely affect the rights
of Holders in any material respect (in which case no consent of Holders will be
required), this Guarantee Agreement may only be amended with the prior approval
of the Holders of at least a Majority in liquidation preference of the Preferred
Securities. The provisions of Article VI of the Trust Agreement concerning
meetings of Holders apply to the giving of such approval.

SECTION 8.3  NOTICES

    Any notice, request or other communication required or permitted to be given
hereunder shall be in writing, duly signed by the party giving such notice, and
shall be delivered, telecopied or mailed by first class mail, as follows:

                                      16

<PAGE>

    (a) If given to the Guarantee Trustee, at the Guarantee Trustee's mailing
address set forth below (or such other address as the Guarantee Trustee may give
notice of to the Guarantor and the Holders):

    Bank One Trust Company, N.A.
    One First National Plaza
    Suite 0126
    Chicago, Illinois 60670-0126
    Attention:  ______________

    (b) If given to the Guarantor, at the Guarantor's mailing address set forth
below (or such other address as the Guarantor may give notice of to the
Holders):

    ACE Limited
    ACE Global Headquarters
    17 Woodbourne Avenue
    Hamilton, HM 08, Bermuda
    Attn:  General Counsel and Secretary

    (c) If given to the Issuer, in care of the Guarantee Trustee, at the
Issuer's (and the Guarantee Trustee's) address set forth below or such other
address as the Guarantee Trustee on behalf of the Issuer may give notice to the
Holders:

    ACE Capital Trust IV
    c/o ACE INA Holdings Inc.
    Two Liberty Place
    1601 Chestnut Street
    Philadelphia, Pennsylvania   19103
    Attn:  General Counsel and Secretary

    with a copy to:

    Bank One Trust Company, N.A.
    One First National Plaza
    Suite 0126
    Chicago, Illinois 60670-0126
    Attention:  ______________

    (d) If given to any Holder, at the address set forth on the books and
records of the Issuer.

    All such notices shall be deemed to have been given when received in person,
telecopied with receipt confirmed, or mailed by first class mail, postage
prepaid except that if a notice or other document is refused delivery or cannot
be delivered because of a changed address of which no notice was given, such
notice or other document shall be deemed to have been delivered on the date of
such refusal or inability to deliver.

                                      17

<PAGE>

SECTION 8.4  BENEFIT

    This Guarantee is solely for the benefit of the Holders and is not
separately transferable from the Preferred Securities.

SECTION 8.5  GOVERNING LAW

    THIS GUARANTEE SHALL BE GOVERNED BY, AND CONSTRUED AND INTERPRETED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE
AND PERFORMED IN THAT STATE.

SECTION 8.6  INTERPRETATION

    In this Guarantee, unless the context otherwise requires:

    (a) capitalized terms used in this Guarantee Agreement, but not defined in
the preamble hereto have the respective meanings assigned to them in Section 1.1
of this Agreement or in the Trust Agreement, as the case may be;

    (b) a term defined anywhere in this Guarantee Agreement has the same meaning
throughout;

    (c) all references to "the Guarantee Agreement" or "this Guarantee
Agreement" are to this Guarantee Agreement as modified, supplemented or amended
from time to time;

    (d) all references in this Guarantee Agreement to Articles and Sections are
to Articles and Sections of this Guarantee Agreement, unless otherwise
specified;

    (e) a term defined in the Trust Indenture Act has the same meaning when used
in this Guarantee Agreement, unless otherwise defined in this Guarantee
Agreement or unless the context otherwise requires; and

    (f) a reference to the singular includes the plural and vice versa.

    (g) the masculine, feminine, or neuter genders used herein shall include the
masculine, feminine and neuter genders.

SECTION 8.7  SUBMISSION TO JURISDICTION

    The Guarantor agrees that any judicial proceedings instituted in
relation to any matter arising under this Guarantee Agreement may be brought in
any United States Federal or New York State court sitting in the Borough of
Manhattan, The City of New York, New York to the extent that such court has
subject matter jurisdiction over the controversy, and, by execution and delivery
of this Guarantee Agreement, the Guarantor hereby irrevocably accepts, generally
and unconditionally, the jurisdiction of the aforesaid courts, acknowledges
their competence and

                                      18

<PAGE>

irrevocably agrees to be bound by any judgment rendered in such proceeding. The
Guarantor also irrevocably and unconditionally waives for the benefit of the
Guarantee Trustee and the Holders any immunity from jurisdiction and any
immunity from legal process (whether through service or notice, attachment prior
to judgment, attachment in the aid of execution, execution or otherwise) in
respect of this Guarantee Agreement. The Guarantor hereby irrevocably designates
and appoints for the benefit of the Guarantee Trustee and the Holders for the
term of this Guarantee Agreement ACE USA, Inc.  1133 Avenue of the Americas,
32nd Floor, New York, New York 10036 [confirm] as its agent to receive on its
behalf service of all process (with a copy of all such service of process to be
delivered to Peter N. Mear, General Counsel and Secretary, ACE Limited, ACE
Global Headquarters, 17 Woodbourne Avenue, Hamilton, HM 08, Bermuda) brought
against it with respect to any such proceeding in any such court in The City of
New York, such service being hereby acknowledged by the Guarantor to be
effective and binding service on it in every respect whether or not the
Guarantor shall then be doing or shall have at any time done business in New
York. Such appointment shall be irrevocable so long as any of the Securities or
the obligations of the Guarantor hereunder remain outstanding, or until the
appointment of a successor by the Guarantor and such successor's acceptance of
such appointment. Upon such acceptance, the Guarantor shall notify the Guarantee
Trustee of the name and address of such successor. The Guarantor further agrees
for the benefit of the Guarantee Trustee and the Holders to take any and all
action, including the execution and filing of any and all such documents and
instruments, as may be necessary to continue such designation and appointment of
said ACE USA, Inc. [confirm] in full force and effect so long as any of the
Preferred Securities or the obligations of the Guarantor hereunder shall be
outstanding. The Guarantee Trustee shall not be obligated and shall have no
responsibility with respect to any failure by the Guarantor to take any such
action. Nothing herein shall affect the right to serve process in any other
manner permitted by any law or limit the right of the Guarantee Trustee or any
Holder to institute proceedings against the Guarantor in the courts of any other
jurisdiction or jurisdictions.

SECTION 8.8  JUDGMENT CURRENCY

    The Guarantor agrees, to the fullest extent that it may effectively do so
under applicable law, that (a) if for the purpose of obtaining judgment in any
court it is necessary to convert the sum due in respect of any Guarantee Payment
(the "Required Currency") into a currency in which a judgment will be rendered
(the "Judgment Currency"), the rate of exchange used shall be the rate at which
in accordance with normal banking procedures the Guarantee Trustee could
purchase in The City of New York the requisite amount of the Required Currency
with the Judgment Currency on the New York Banking Day preceding the day on
which a final unappealable judgment is given and (b) its obligations under this
Guarantee Agreement to make payments in the Required Currency (i) shall not be
discharged or satisfied by any tender, or any recovery pursuant to any judgment
(whether or not entered in accordance with clause (a)), in any currency other
than the Required Currency, except to the extent that such tender or recovery
shall result in the actual receipt, by the payee, of the full amount of the
Required Currency expressed to be payable in respect of such payments, (ii)
shall be enforceable as an alternative or additional cause of action for the
purpose of recovering in the Required Currency the amount, if any, by which such
actual receipt shall fall short of the full amount of the Required Currency so
expressed to be payable and (iii) shall not be affected by judgment being
obtained for any other sum due under this Guarantee Agreement. For purposes of
the foregoing, "New York Banking

                                      19

<PAGE>

Day" means any day except a Saturday, Sunday or a legal holiday in The City of
New York or a day on which banking institutions in The City of New York are
authorized or obligated by law, regulation or executive order to be closed.

                                      20

<PAGE>

    THIS GUARANTEE AGREEMENT is executed as of the day and year first above
written.

                                                   ACE LIMITED,
                                                      as Guarantor

                                                   By:________________________
                                                      Name:
                                                      Title:

                                                   BANK ONE TRUST COMPANY, N.A.,
                                                      as Guarantee Trustee

                                                   By:________________________
                                                      Name:
                                                      Title:<PAGE>
                                                                     EXHIBIT 4.1

               DESCRIPTION OF SPECIMEN OF COMMON STOCK CERTIFICATE

                                     [FRONT]

<TABLE>
<S>                          <C>                                  <C>                    <C>
       NUMBER                  INCORPORATED UNDER THE LAWS                                     COMMON STOCK
                                OF THE STATE OF DELAWARE
                                                                                               PAR VALUE OF
                                                                                            $0.0001 PER SHARE

                                                                    V E R I D I A N                SHARES
                                                                        (LOGO)

                                                                                             CUSIP 92342R 20 3
  (CORPORATE SEAL)
                                                                                          SEE REVERSE FOR CERTAIN
                                                                                               DEFINITIONS

   THIS IS TO
  CERTIFY THAT

IS THE REGISTERED
    HOLDER OF
</TABLE>

             FULLY PAID AND NON-ASSESSABLE SHARES OF COMMON STOCK OF

Veridian Corporation transferable on the books of the Corporation by the holder
hereof in person or by duly authorized attorney upon surrender of this
Certificate properly endorsed. This Certificate and the shares represented
hereby are issued and shall be subject to all the provisions of the Certificate
of Incorporation and Bylaws of the Corporation, and any amendments thereto,
copies of which are on file with the Corporation and the Transfer Agent, to all
of which the holder by acceptance hereof assents. This Certificate is not valid
unless countersigned by the Transfer Agent and registered by the Registrar.

         Witness the facsimile seal of the Corporation and the facsimile
signatures of its duly authorized officers.

Dated:

<TABLE>
<S>                                                      <C>
                                                             Countersigned and Registered:
                  /s/ David H. Langstaff                       AMERICAN STOCK TRANSFER & TRUST
           President & Chief Executive Officer                 COMPANY

                                                             By                                Transfer Agent
                                                                                                and Registrar,

                 /s/ Jerald S. Howe, Jr.
                        Secretary                                                        Authorized Signature
</TABLE>
<PAGE>

                                    [REVERSE]

                                 V E R I D I A N
                                     (LOGO)

         The Corporation will furnish without charge to each stockholder who so
requests the powers, designations, preferences and relative, participating,
optional or other special rights of each class of stock or series thereof of the
Corporation and the qualifications, limitations or restrictions of such
preferences and/or rights. Such request may be made to the Secretary of the
Corporation or to the Transfer Agent named on the face hereof.

         The following abbreviations, when used in the inscription on the face
of this certificate, shall be construed as though they were written out in full
according to applicable laws or regulations:

<TABLE>
<CAPTION>
<S>                                                     <C>
                                                         UNIF GIFT MIN ACT - ....... Custodian........
TEN COM - as tenants in common                                                          (Cust)   (Minor)
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with right of
survivorship and not as tenants in common                under Uniform Gifts to Minors Act ................
                                                                                             (State)
</TABLE>

     Additional abbreviations may also be used though not in the above list.

        For value received, ______________ hereby sell, assign and transfer unto

   PLEASE INSERT SOCIAL SECURITY OR OTHER
       IDENTIFYING NUMBER OF ASSIGNEE

---------------------------------------------

---------------------------------------------

-------------------------------------------------------------------------------
 (PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS, INCLUDING ZIP CODE, OF ASSIGNEE)

-------------------------------------------------------------------------------

-------------------------------------------------------------------------------

-------------------------------------------------------------------------------
___________ shares of the capital stock represented by the within Certificate
and do hereby irrevocably constitute and appoint __________ Attorney to transfer
the said stock on the books of the within named Corporation with full power of
substitution in the premises.

Dated ________

                 NOTICE:
THE SIGNATURE(S) TO THIS ASSIGNMENT        X___________________________________
MUST CORRESPOND WITH THE NAME(S) AS                    (SIGNATURE)
WRITTEN UPON THE FACE OF THE
CERTIFICATE IN EVERY PARTICULAR, WITHOUT   X___________________________________
ALTERATION OR ENLARGEMENT, OR ANY                      (SIGNATURE)
CHANGE WHATEVER.

<PAGE>

                               ------------------------------------------------
                                THE SIGNATURE(S) SHOULD BE GUARANTEED BY AN
                                ELIGIBLE GUARANTOR INSTITUTION (BANKS,
                                STOCKBROKERS, SAVINGS AND LOAN ASSOCIATIONS AND
                                CREDIT UNIONS WITH MEMBERSHIP IN AN APPROVED
                                SIGNATURE GUARANTEE MEDALLION PROGRAM), PURSUANT
                                TO S.E.C. RULE 17Ad-15.
                               ------------------------------------------------
                                SIGNATURE(S) GUARANTEED BY:

                               ------------------------------------------------

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00039-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00039-of-00352.parquet"}]]