Document:

Document

Exhibit 10.2
EXECUTION VERSION

AMENDED AND RESTATED SECURITY AGREEMENT
THIS AMENDED AND RESTATED SECURITY AGREEMENT is executed and delivered effective the 4th day of August, 2020, by:
FORTEGRA FINANCIAL CORPORATION,
a Delaware corporation, with its chief executive office at:
10151 Deerwood Park Blvd., Bldg. 100
Suite 330
Jacksonville, Florida  32256
(“Fortegra”) 
and
LOTS INTERMEDIATE CO.,
a Delaware corporation, with its chief executive office at:
10151 Deerwood Park Blvd., Bldg. 100
Suite 330
Jacksonville, Florida  32256
(“LOTS”)
and
Each of the other entities listed on the signature pages hereto 
(together with Fortegra and LOTS, each, a “Debtor”)
To and in favor of:
FIFTH THIRD BANK, NATIONAL ASSOCIATION,
as administrative agent, with its address at:
Fifth Third Center
38 Fountain Square Plaza
Cincinnati, Ohio 45263
(“Administrative Agent”)
PRELIMINARY STATEMENT
(i)    Fortegra and LOTS (collectively, the “Borrowers”), the Lenders, and the Administrative Agent previously entered into that certain Credit Agreement dated December 21, 2017 (as amended, modified restated or supplemented from time to time prior to the date hereof,

the “Prior Credit Agreement”), whereby the Borrowers obtained a revolving line of credit in the original maximum principal amount of $30,000,000.00.
(ii)    Indebtedness, obligations and liabilities owed to the Lenders under the Prior Credit Agreement, and certain other Hedging Obligations and Treasury Management Obligations hereinafter referred to, are currently secured by, among other things, a Security Agreement dated as of December 21, 2017, by and among the Borrowers, the other Debtors and the Administrative Agent (the “Prior Security Agreement”).
(iii)    The Borrowers, the other Debtors, as guarantors, the Lenders and the Administrative Agent are concurrently herewith entering into an Amended and Restated Credit Agreement dated as of the date hereof (as amended, restated, modified or supplemented from time to time, the “Credit Agreement”), pursuant to which the Lenders have agreed to amend and restate the Prior Credit Agreement and, subject to certain terms and conditions, to extend a revolving line of credit and make certain other financial accommodations available to the Borrowers in the maximum principal amount of $200,000,000.00 (which may be hereafter increased).
(iv)    As a condition to continuing to extend credit to the Borrowers as contemplated under the Credit Agreement, and to induce the Lenders to continue to extend said credit to the Borrowers, each Debtor has agreed to (x) grant a security interest to Administrative Agent for the benefit of the Secured Creditors in the collateral described below to secure such credit pursuant to the Credit Agreement, and (y) to amend and restate the Prior Security Agreement, all as more particularly set forth herein.
NOW THEREFORE, IN CONSIDERATION of and in order to induce the continued extension of credit constituting the Obligations secured hereby, the parties hereto agree as follows:
1.    Definitions.  Capitalized terms used herein without definition shall have the same meanings herein as such terms have in the Credit Agreement. The following terms shall have the meanings indicated below and shall be construed to have the broadest possible meanings permitted under the Code:
    (a)    “Agreement” means this Amended and Restated Security Agreement, as it may be further amended, restated, amended and restated, supplemented or otherwise modified from time to time.
    (b)    “Code” means the Uniform Commercial Code in effect in the State of New York, as it shall be amended from time to time.
    (c)    “Collateral” means:
    (i)    all “Accounts” of Debtor, now held or hereafter acquired, representing money due or to become due to Debtor for the sale or lease of goods or services (or both), whether or not yet earned (whether characterized as accounts, chattel paper, chooses-in-action, contract rights, general intangibles, instruments, 
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documents, notes or otherwise), and including all “Accounts” within the meaning of that term as defined in the Code);
    (ii)    all “Inventory” (within the meaning of that term as defined in the Code) of Debtor, wherever located, including, without limitation, all goods held for sale or lease in the ordinary course of Debtor’s business, and including all raw materials, ingredients, supplies and work in progress, whether now owned or hereafter acquired or produced, and all products (both finished and in their unmanufactured state) of the foregoing held for sale or used in the production of other inventory;
    (iii)    all “General Intangibles” (within the meaning of that term as defined in the Code) of Debtor arising from or related to Debtor’s business, including without limitation “Payment Intangibles” (as defined in the Code);
    (iv)    all “Deposit Accounts” (within the meaning of that term as defined in the Code), including, all rights of Debtor under account agreements with any depository institution, all securities accounts and commodity accounts of Debtor and all cash and cash equivalents on deposit from time to time in any such account;
    (v)    all “Equipment” and “Fixtures” (within the meaning of those terms as defined in the Code) of Debtor, including trade fixtures, heating, air conditioning and ventilation equipment (whether or not attached to real property), all communications equipment (including telephone systems, computer hardware and software (subject to applicable licenses);
    (vi)    all “Instruments”, “Documents”, “Commercial Tort Claims”, “Investment Property”, “Letter of Credit Rights”, “Supporting Obligations” and “Chattel Paper” of Debtor, as each such term is defined in the Code;
    (vii)    all intellectual property of the Debtor, including all rights relating to intellectual property and industrial designs, whether arising under United States federal or state laws, including copyrights, copyright licenses with any third party, patents, patent licenses with any third party, trademarks, trademark licenses with any third party, trade secrets and trade secret licenses with any third party, internet domain names, business names and fictitious names and registrations, all goodwill associated with any of the foregoing and the right to sue or otherwise recover for any past, present and future infringement, dilution, misappropriation, or other violation or impairment thereof, including the right to receive all Proceeds therefrom, including without limitation license fees, royalties, income, payments, claims, damages and proceeds of suit, now or hereafter due and/or payable with respect thereto;
    (viii)    all supporting evidence and documents relating to any of the above-described property, including computer programs, disks, tapes and related electronic data processing media, and all rights of the Debtor to retrieve the same 
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from third parties, written applications, credit information, account cards, payments records, correspondence, delivery and installation certificates, invoice copies, delivery receipts, notes and other evidence of indebtedness, insurance certificates and the like, together with all books of account, ledges and cabinets in which the same are reflected or maintained; and
    (ix)    the products and proceeds of all of the foregoing (including insurance proceeds payable by reason of loss or damage thereto and including all currency and all checks, drafts and other written orders for payment of accounts, or for the purchase of inventory and/or equipment, received by or deposited for the account of Debtor in any lock box or other depository facility or account maintained with Administrative Agent).  The Collateral includes, without limitation, all assets of the same class or classes as the foregoing which are hereafter owned or acquired by Debtor.
Notwithstanding the foregoing, in no event shall the term “Collateral” (or any component thereof) include any (i) Excluded Assets, (ii) Capital Stock in (A) any Foreign Subsidiary other than, in the case of a Foreign Subsidiary owned directly by Debtor, 65% of the aggregate Capital Stock of such Foreign Subsidiary with ordinary voting power and 100% of the Capital Stock of such Foreign Subsidiary without ordinary voting power and (B) any Disregarded Domestic Subsidiary other than, in the case of a Disregarded Domestic Subsidiary owned directly by Debtor, 65% of the aggregate Capital Stock of such Disregarded Domestic Subsidiary with ordinary voting power and 100% of the Capital Stock of such Disregarded Domestic Subsidiary without ordinary voting power, (iii) Letter of Credit Rights in favor of any Regulated Insurance Company, (iv) any leasehold property, (v) fee-owned real property, (vi) vehicles and other assets perfected by certificates of title, (vii) ownership interests in joint ventures and non-wholly owned Subsidiaries that cannot be pledged without the consent of one or more non-Affiliate third parties, (viii) any asset if the grant or perfection of a security interest is prohibited by applicable law; provided that if and when the prohibition which prevents the granting or perfection of a security interest is removed, terminated or otherwise becomes unenforceable as a matter of law, the Administrative Agent will be deemed to have had, and at all times to have had, a security interest in such property, (ix) United States intent-to-use trademark applications, but only during the period in which the grant of a security interest therein would impair the validity or enforceability of such intent-to-use trademark applications under applicable Federal law, (x) any other intellectual property if the grant of a Lien on or security interest in such intellectual property would result in the cancellation or voiding of such intellectual property, (xi) any Capital Stock of any Subsidiary held by Debtor (other than the Capital Stock of LOTS held by Fortegra), but only for so long as Indebtedness under the Trust Preferred Indenture is outstanding, (xii) any Excluded Accounts, (xiii) the Capital Stock of South Bay Acceptance Corporation if the grant or perfection of a security interest therein requires the consent, approval or authorization of any Governmental Authority, which consent, approval or authorization has not been received or obtained, (xiv) any property acquired by Debtor if and to the extent that Administrative Agent and the Borrowers shall have determined that the costs (including, without limitation, recording taxes and filing fees) of creating and perfecting a Lien on such property interests are excessive in relation to the value of the security afforded thereby and (xv) any lease, license, permit, contract or agreement to which Debtor is a party or any of Debtor’s rights or interests thereunder if and only for so long as the grant of a Lien thereon 
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shall (A) give any other Person party to such lease, license, permit, contract or agreement the right to terminate its obligations thereunder, (B) constitute or result in the abandonment, invalidation or unenforceability of any right, title or interest of Debtor therein or (C) constitute or result in a breach or termination pursuant to the terms of, or a default under, any such lease, license, permit, contract or agreement (other than to the extent that any such term would be rendered ineffective pursuant to Sections 9-406, 9-407, 9-408 or 9-409 of the UCC (or any successor provision or provisions)); provided that such lease, license, permit, contract or agreement shall be excluded from the definition of “Collateral” only to the extent and for so long as the consequences specified above shall exist and shall cease to be excluded from the definition of “Collateral” and shall become subject to the Liens granted under this Agreement, immediately and automatically, at such time as such consequences shall no longer exist.
    (d)    “Credit Agreement” shall have the meaning assigned to such term in the Preliminary Statements of this Agreement.
    (e)    “Debtor” means, collectively and individually, the party or parties designated as such in the introductory paragraph hereof.
    (f)    “Excluded Accounts” shall mean (i) the Capital Contribution Account and any money, securities or other assets from time to time held in the Capital Contribution Account, (ii) all deposit accounts or investment accounts now owned or hereafter acquired by Debtor (x) into which Debtor deposits funds, Instruments or other Investment Property on behalf of another Person and (y) which Debtor holds as an escrow or as a fiduciary for such Person, provided that such deposit accounts and investment accounts do not include funds or other property belonging to Debtor other than, in the case of an interest bearing deposit account, interest accrued on such deposit account, (iii) all non-operating deposit accounts or investment accounts now owned or hereafter acquired by Debtor maintained at a customer of Debtor into which such customer regularly deposits funds owing to Debtor and (iv) deposit accounts specially and exclusively used for payroll and payroll taxes, the balances of which are not in excess of the checks outstanding against such accounts as of that date and amounts necessary to meet minimum balance requirements, and other employee benefit payments to or for the benefit of Debtor’s salaried employees.
    (g)    “Excluded Assets” means (i) the stock or other ownership interest owned by Debtor in any subsidiary or affiliate of Debtor listed on Schedule “A” attached hereto and any subsidiary or affiliate hereafter acquired by Debtor (each a “Debtor Insurance Affiliate”) which is an insurance company regulated by the laws of any jurisdiction which prohibits or restricts the pledge of such ownership interest, and (ii) the assets of any such Debtor Insurance Affiliate.
    (h)    “Secured Creditor” means, collectively, the Administrative Agent and the Lenders, together with any Lender or Affiliate of any Lender with respect to Hedging Obligations and Treasury Management Obligations at the time of entry into or the incurrence of such Hedging Obligations and Treasury Management Obligations.
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    (i)    “security interest” means the security interest (as that term is defined in the Code) granted by this Agreement.
    (j)    “Security Interest” shall have the meaning given such term in Section 2.
    (k)    “SBAC” means South Bay Acceptance Corporation, a California corporation.
    (l)    “South Bay Credit Facility” means that certain Loan Agreement dated April 28, 2017 (as such agreement may be amended, restated, amended and restated, supplemented or otherwise modified from time to time), among SBAC, as borrower, those certain affiliates of SBAC party thereto, as guarantors, and Fifth Third Bank, National Association, as lender (together with any successor, assignee, replacement lender or any agent for the benefit of the lenders under such Loan Agreement, collectively, the “South Bay Lender”).
    (m)    “South Bay Guaranty” means that certain guaranty made by SBAC in favor of the South Bay Lender pursuant to that certain Loan Agreement dated August 5, 2019 among South Bay Funding LLC, as borrower, SBAC as guarantor and the South Bay Lender, as such agreement may be amended, restated, amended and restated, supplemented or otherwise modified from time to time.
2.    Grant of Security Interest.  Each Debtor hereby grants to Administrative Agent, for the benefit of the Secured Creditors,  a continuing and unconditional security interest (the “Security Interest”) in the Collateral, whether now owned or existing or hereafter created, acquired or arising, to secure the prompt, timely and complete repayment of the Obligations and the full, complete and timely performance of any and all obligations of such Debtor incurred in any writing evidencing, describing or securing any portion of the Obligations.
3.    Warranties of Debtor.  Each Debtor represents and warrants to the Secured Creditors that:
    (a)    Debtor is the owner of its Collateral free of all security interests or other encumbrances except for (i) the Security Interest and (ii) Permitted Liens.
    (b)    Debtor has the full power and authority to enter into this Agreement and this Agreement is enforceable in accordance with its terms except as enforceability may be limited by applicable bankruptcy or insolvency laws and by general equitable principles (whether enforcement is sought in proceedings in equity or at law).
    (c)    The Security Interests granted pursuant to this Agreement constitute legal, valid, binding and enforceable and, subject to the Permitted Liens, first lien security interests in all of the Collateral in favor of Administrative Agent, as collateral security for the Obligations, enforceable against Debtor in accordance with the terms hereof, except as enforceability may be limited by applicable bankruptcy or insolvency laws and by general equitable principles (whether enforcement is sought in proceedings in equity or at law) and, 
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other than with respect to Collateral a security interest in which cannot be perfected by the filing of one or more UCC financing statements in the appropriate filing offices or, in the case of Investment Property, the delivery of appropriate certificates with stock powers, when such financing statements in appropriate form are filed in such filing offices have been completed and such certificates have been delivered and upon the payment of all filing fees, will be perfected.
    (d)    Each Debtor’s respective chief executive office is at the location listed on Schedule 1 to the Perfection Certificate opposite such Debtor’s name; and such Debtor has no other executive offices or places of business other than those listed on Schedule 1 to the Perfection Certificate opposite such Debtor’s name. 
    (e)     Each Debtor’s legal name, jurisdiction of organization and organizational number (if any), in each case, as of the date hereof, are correctly set forth on Schedule 1 to the Perfection Certificate.  No Debtor has transacted business at any time during the five-year period immediately preceding the date hereof, and does not, as of the date hereof, currently transact business, under any other legal names or trade names other than the prior legal names and trade names (if any) set forth on Schedule 2 to the Perfection Certificate.
    (f)    Schedule 4 to the Perfection Certificate contains a true, complete, and current listing of all patents, trademarks, tradestyles, copyrights, and other intellectual property rights (including all registrations and applications therefor) owned by each of the Debtors as of the date hereof that are registered with any Governmental Authority.
    (g)    All Investment Property (including all securities, certificated or uncertificated, securities accounts and commodity accounts) owned directly by the Debtors on the date hereof are listed and identified on Schedule 5 of the Perfection Certificate. None of the Investment Property owned on the date hereof consists of margin stock (as such term is defined in Regulation U of the Board of Governors of the Federal Reserve System). 
    (h)    All Deposit Accounts of the Debtors on the date hereof are listed and identified on Schedule 6 to the Perfection Certificate. 
    (i)    Schedule 7 to the Perfection Certificate contains a true, complete and current listing of all Commercial Tort Claims held by the Debtors as of the date hereof, each described by referring to a specific incident giving rise to the claim.  
Notwithstanding anything set forth in the foregoing or in any other Loan Document, the security interest granted by SBAC hereunder shall be subject and subordinate, in all respects, to the Security Interest granted by SBAC to the South Bay Lender pursuant to the South Bay Credit Facility and the South Bay Guaranty.
4.    Covenants of Debtor.  So long as this Agreement has not been terminated as provided hereafter, each Debtor:
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    (a)    will defend the Collateral against the claims of all other persons (other than holders of Permitted Liens);
    (b)    will keep the Collateral free of all security interests or other encumbrances and interests, except the Security Interest and the Permitted Liens;
    (c)    will permit Administrative Agent or its agents to inspect Debtor’s records pertaining to the Collateral at any reasonable time during normal business hours and upon reasonable prior notice and with such frequency as Administrative Agent may reasonably require;
    (d)    will pay all costs, including costs of title searches and filing financing statements and other documents in any public offices requested by Administrative Agent, and take such other action as Administrative Agent may reasonably deem advisable to perfect the Security Interest created by this Agreement, subject to the limitations of Section 6.9 of the Credit Agreement;
    (e)    will prevent any part of the Collateral from becoming an accession to other goods not covered by this Agreement;
    (f)    if a certificate of title is issued with respect to any of the Collateral, will, at the request of Administrative Agent following an Event of Default, promptly cause the Security Interest created under this Agreement to be duly noted and maintained on such certificate and will deliver such certificate to Administrative Agent;
    (g)    will, together with the delivery of each Compliance Certificate due under the Credit Agreement, notify the Administrative Agent of any additional intellectual property rights acquired or arising after the date hereof that have been registered with (or for which an application for registration has been made with) any United States federal Governmental Authority; provided any Debtor’s failure to do so shall not impair the Administrative Agent’s security interest therein; 
    (h)    agrees to, together with delivery of each Compliance Certificate due under the Credit Agreement, execute and deliver to the Administrative Agent a supplement to Schedule 7 to the Perfection Certificate promptly upon becoming aware of any Commercial Tort Claim of such Debtor arising after the date hereof (provided any Debtor’s failure to do so shall not impair the Administrative Agent’s security interest therein), the value of which is reasonably expected to exceed $1,000,000;
    (i)    agrees to, together with delivery of each Compliance Certificate due under the Credit Agreement, notify the Administrative Agent of any Investment Property acquired or maintained by the Debtors after the date hereof, and will submit a supplement to Schedule 5 to the Perfection Certificate to reflect any such additional rights (provided any failure to do so shall not impair the Administrative Agent’s security interest therein); 
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    (j)    agrees to, together with delivery of each Compliance Certificate due under the Credit Agreement, notify the Administrative Agent of any Deposit Account opened or maintained by any Debtor after the date hereof and, together therewith, submit to the Administrative Agent a supplement to Schedule 6 to the Perfection Certificate to reflect such additional accounts (provided any failure to do so shall not impair the Administrative Agent’s security interest therein); and
    (k)    agrees to execute and deliver to the Administrative Agent such further agreements, assignments, instruments, and documents, and to do all such other things, as the Administrative Agent may reasonably deem necessary or appropriate to assure the Administrative Agent its Security Interest hereunder in the Collateral.
5.    Default.  If an Event of Default as defined in the Credit Agreement shall occur and be continuing after any period of grace or cure provided therein, or if any default under this Agreement shall occur and not be cured within ten (10) days after written notice from Administrative Agent (each an “Event of Default” hereunder), then, and in any such event the Obligations shall, at the option of Administrative Agent, become immediately due and payable and Administrative Agent may take all of the actions or remedies specified in Section 6 hereof (“Remedies”) or otherwise available under applicable law or by agreement; provided, however, that the right of acceleration set forth herein does not in any way limit any right which Administrative Agent has under the Credit Agreement, or any other instrument, evidencing or describing or securing any portion of the Obligations to demand immediate payment thereof or to accelerate the maturity thereof or otherwise exercise remedies with respect thereto.
6.    Remedies.  If an Event of Default shall have occurred and be continuing, Administrative Agent shall have all rights and remedies of a secured party under the Code of any applicable jurisdiction and such other rights and remedies as may be available under other applicable law.  Administrative Agent may collect all accounts and proceeds of the Collateral directly, in the name of Administrative Agent or any Debtor.  If requested by Administrative Agent, Debtors will assemble the Collateral and make it available to Administrative Agent at a reasonable place to be designated by Administrative Agent.  Each Debtor agrees that any notice by Administrative Agent of the sale or disposition of the Collateral or any other intended action hereunder, whether required by the Code or otherwise, shall constitute reasonable notice to Debtors if the notice is mailed by regular or certified mail, postage prepaid, at least ten (10) days before the action to be taken, to the Debtors at Debtors’ address specified in the introductory paragraph hereof, or to any other address which Debtors have specified in writing to Administrative Agent as the address as to which notices shall be given.  Subject to Section 11.3 of the Credit Agreement, each Debtor also agrees to pay all costs and expenses incurred by Administrative Agent in enforcing this Agreement, realizing upon any Collateral and collecting any Obligations (including reasonable attorneys’ fees whether or not suit is brought and whether or not incurred in connection with trial, appeals or bankruptcy action) and each Debtor shall be liable for any deficiencies in the event the proceeds of the disposition of the Collateral do not satisfy the Obligations in full.  Notwithstanding anything in this Agreement to the contrary, the right of recovery against any Debtor under this Agreement (other than a Borrower to which this limitation shall not apply) shall not exceed $1.00 less than the lowest amount that would render such Debtor’s obligations under this Agreement void or voidable under applicable law, including fraudulent conveyance law.
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Notwithstanding the foregoing or any other provision in this Agreement to the contrary, with respect to the Collateral of any Debtor, the Administrative Agent’s right to exercise voting or proxy rights, transfer or register such Collateral pursuant to this Agreement shall be subject to any required prior consent, approval, authorization or other required action of the Applicable Insurance Regulatory Authority or other applicable Governmental Authority.
7.    Miscellaneous.
    (a)    Each Debtor hereby irrevocably authorizes Administrative Agent (or its designee) at Debtors’ expense to file any financing statements and amendments thereto relating to the Collateral (without such Debtor’s signature thereon or further authorization from such Debtor) which Administrative Agent deems reasonably appropriate and such filings may indicate the Collateral as “all assets, whether now owned or hereafter acquired” or words of similar meaning or such other description as the Administrative Agent may determine. Each Debtor appoints Administrative Agent as such Debtor’s attorney-in-fact to file any such financing statements in such Debtor’s name and to perform all other acts which Administrative Agent reasonably deems appropriate to perfect and to continue perfection of the Security Interest.
    (b)    Each Debtor hereby irrevocably consents to any lawful and commercially reasonable act by Administrative Agent or its agents in entering upon any premises for the purposes of either (i) inspecting records of such Debtor pertaining to the Collateral, or (ii) taking possession of the Collateral after any Event of Default.  Each Debtor hereby waives its right to assert against Administrative Agent or its agents any claim based upon trespass or any similar cause of action for entering upon any premises where the Collateral may be located; provided, however, that such Debtor shall not be deemed to have waived any claim which such Debtor may have for actual, compensable damage to such Debtor’s property caused directly by such entry.
    (c)    Upon the occurrence and during the continuance of an Event of Default, each Debtor authorizes Administrative Agent to collect and apply against the Obligations any insurance proceeds payable on account of the loss of any of the Collateral and appoints Administrative Agent as such Debtor’s attorney-in-fact to endorse any check or draft representing such proceeds or refund; provided, that in the absence of an Event of Default, Administrative Agent shall endorse any such insurance proceeds over to such Debtor.
    (d)    Upon any Debtor’s failure to perform any of its duties hereunder, Administrative Agent may, but it shall not be obligated to, perform any of such duties and the Debtors shall forthwith upon demand reimburse Administrative Agent for any actual expenses reasonably incurred by Administrative Agent in so doing.  All such sums advanced by Administrative Agent shall be deemed obligations of Debtors secured hereby. No such performance of any covenant or agreement by the Administrative Agent on behalf of a Debtor, and no such advancement or expenditure therefor, shall relieve any Debtor of any default under the terms of this Agreement or in any way obligate any Secured Creditor to take any further or future action with respect thereto.
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    (e)    No delay or omission by Administrative Agent in exercising any right hereunder or with respect to any Obligations shall operate as a waiver of that or any other right, and no single or partial exercise or any right shall preclude Administrative Agent from any other or further exercise of the right or the exercise of any other right or remedy.  Administrative Agent may cure any Event of Default by Debtors in any commercially reasonable manner without waiving the Event of Default so cured and without waiving any other prior or subsequent Event of Default by Debtors. No waiver shall be effective unless it is in writing, signed by the party against whom such waiver is sought to be enforced and then only to the extent specifically stated.  All rights and remedies of Administrative Agent under this Agreement and under the Code shall be deemed cumulative.
    (f)    Administrative Agent shall exercise reasonable care in the custody and preservation of the Collateral to the extent required by law; provided, however, that Debtors shall have the sole responsibility for taking any steps to preserve rights against all prior parties to any instrument or chattel paper in Administrative Agent’s possession as Collateral or as proceeds of the Collateral.  Each Debtor waives notice of dishonor and protest of any instrument constituting Collateral at any time held by Administrative Agent on which such Debtor is in any way liable and waives notice of any other action taken by Administrative Agent with respect thereto.
    (g)    Upon the occurrence and continuation of an Event of Default hereunder, Administrative Agent may demand, collect and sue for all proceeds (either in a Debtor’s name or Administrative Agent’s name at the Administrative Agent’s option), with the right to enforce, compromise, settle or discharge any proceeds, in such manner as the Administrative Agent may deem appropriate.  Administrative Agent may (and in the undertaking thereof may exercise all rights granted a secured party under the Code with respect thereto), (i) notify all Account debtors and direct them to make all payments of Accounts directly to Administrative Agent, (ii) sign such Debtor’s name on verifications of Accounts and other Collateral, and (iii) collect, hold and apply the proceeds of each Account, Payment Intangible and General Intangible to the payment of the Obligations, in such order and manner as Administrative Agent may elect.  For such purpose, each Debtor appoints Administrative Agent as such Debtor’s attorney-in-fact to endorse such Debtor’s name on all checks, commercial paper and other instruments pertaining to the proceeds.
    (h)    Each Debtor hereby irrevocably constitutes and appoints the Administrative Agent as its proxy and attorney in fact, upon the occurrence and during the continuation of any Event of Default, with respect to its Investment Property and other Collateral, including the right to vote such Investment Property and other Collateral, with full power of substitution to do so, and including the right to exercise all other rights, powers, privileges and remedies to which a holder of such Investment Property would be entitled, and to endorse a Debtor’s name on any assignments, stock powers or other instruments of transfer; provided, that the Administrative agent may not exercise any rights under this clause (h) unless it has given the relevant Debtor at least one (1) Business Days’ prior written notice of its intention to exercise such rights.
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    (i)    Subject to the occurrence of the Termination Conditions, for the purpose of enabling the Administrative Agent to exercise rights and remedies hereunder, at such time after the occurrence and during the continuation of an Event of Default hereunder, as the Administrative Agent shall be lawfully entitled to exercise such rights and remedies, and for no other purpose, each Debtor hereby grants to the Administrative Agent an irrevocable (but terminable in accordance with this clause (i)), non-exclusive license and right to use, after the occurrence and during the continuance of an Event of Default, all of such Debtor’s patents, patent applications, patent licenses, trademarks, trademark registrations, trademark licenses, trade names, trade styles, copyrights, copyright licenses, copyright applications, copyright registrations, and similar intangibles that constitute the Collateral (except to the extent prohibited by the terms of any license or other contract with an unaffiliated third party that is applicable to such Collateral) in connection with any foreclosure or other realization by the Administrative Agent on all or any part of the Collateral to the extent permitted by law.  The license and right granted the Administrative Agent hereby shall be without any royalty or fee or charge whatsoever.
    (j)    The terms “Administrative Agent” and “Debtor” as used in this agreement include the successors or permitted assigns of those parties.
    (k)    This Agreement may not be modified or amended nor shall any provision of it be waived except pursuant to the terms of Section 11.2 of the Credit Agreement.
    (l)    This Agreement shall be construed under the Code, as adopted in the State of New York and otherwise governed by the laws of the State of New York.
    (m)    This Agreement is a continuing agreement which shall remain in force until the Termination Conditions have been satisfied.  The Security Interest herein created and provided for stand as direct and primary security for the Obligations of the Borrowers arising under or otherwise relating to the Credit Agreement as well as for the other Obligations secured hereby.  No application of any sums received by the Secured Creditors in respect of the Collateral or any disposition thereof to the reduction of the Obligations or any part thereof shall in any manner entitle any Debtor to any right, title or interest in or to the Obligations or any collateral or security therefor, whether by subrogation or otherwise, unless and until the Termination Conditions have been satisfied.  Each Debtor acknowledges and agrees that the Security Interest hereby created and provided is absolute and unconditional and shall not in any manner be affected or impaired by any acts of omissions whatsoever of any Secured Creditor or any other holder of any Obligations, and without limiting the generality of the foregoing, the Security Interest hereof shall not be impaired by any acceptance by any Secured Creditor or any other holder of any Obligations of any other security for or guarantors upon any of the Obligations or by any failure, neglect or omission on the part of any Secured Creditor or any other holder of any of the Obligations to realize upon or protect any of the Obligations or any collateral or security therefor.  The Security Interest hereof shall not in any manner be impaired or affected by (and the Secured Creditors, without notice to anyone, are hereby authorized to make from time to time) any sale, pledge, surrender, compromise, settlement, release, renewal, extension, indulgence, alteration, substitution, exchange, change in, modification or 
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disposition of any of the Obligations or of any collateral or security therefor, or of any guaranty thereof, or of any instrument or agreement setting forth the terms and conditions pertaining to any of the foregoing.  The Secured Creditors may at their discretion at any time grant credit to the Borrowers without notice to the other Debtors in such amounts and on such terms as the Secured Creditors may elect without in any manner impairing the lien and security interest created and provided for.  In order to realize hereon and to exercise the rights granted the Administrative Agent hereunder and under applicable law, there shall be no obligation on the part of the Administrative Agent at any time to first resort for payment to any Borrower or any other Debtor or to any guaranty of the Obligations or any portion thereof or to resort to any other collateral, security, property, liens or any other rights or remedies whatsoever, and the Administrative Agent shall have the right to enforce this Agreement against any Debtor or its Collateral irrespective of whether or not other proceedings or steps seeking resort to or realization upon or from any of the foregoing are pending. 
    (n)    Each Debtor shall automatically be released from its obligations hereunder and the Security Interests created hereunder in the Collateral of such Debtor shall be automatically released upon the consummation of any transaction permitted by the Credit Agreement as a result of which such Debtor ceases to be a Loan Party.  The Security Interests in any Collateral that is sold or to be sold as part of or in connection with any sale or other disposition not prohibited by the terms of the Loan Documents to any Person other than a Borrower shall be automatically released upon the consummation of such transaction.
    (o)    Upon termination of this Agreement, Administrative Agent shall return all original collateral within two (2) Business Days thereof and take all other steps reasonably requested (but at Debtors’ cost) by Debtors to release its Security Interest, including the filing of any notices of such release.
    (p)    This Agreement shall constitute additional security and rights in favor of Administrative Agent and shall not be deemed to diminish or reduce any rights of Administrative Agent under any other instrument executed in connection therewith.
    (q)    Any power of attorney granted to Administrative Agent under this Agreement is coupled with an interest and is irrevocable until the termination of this Agreement.
    (r)    This Agreement may be executed by one or more of the parties thereto on any number of separate counterparts (including by telecopy or by email, in pdf format), and all of said counterparts taken together shall be deemed to constitute one and the same instrument.   Delivery of an executed counterpart of a signature page of this Agreement by telecopy or by email, in pdf format, shall be effective as delivery of a manually executed counterpart of this Agreement.
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    (s)    Al notices and other communications provided for herein shall be in writing and shall be given to the applicable party as set forth in Section 11.1 of the Credit Agreement.
    (t)    Any provision of this held to be illegal, invalid or unenforceable in any jurisdiction, shall, as to such jurisdiction, be ineffective to the extent of such illegality, invalidity or unenforceability without affecting the legality, validity or enforceability of the remaining provisions hereof; and the illegality, invalidity or unenforceability of a particular provision in a particular jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.
8.    Waiver of Jury Trial; Jurisdiction.  
    (a)    Each Debtor and Administrative Agent each hereby knowingly, voluntarily and intentionally, after opportunity for consultation with independent counsel, waives its right to trial by jury in any action or proceeding to enforce or defend any rights or obligations (i) under this Agreement, or (ii) arising from the financial relationship between the parties existing in conjunction with this Agreement or any other Loan Document or agreement delivered in connection herewith, or (iii) arising from any course of dealing, course of conduct, statement (verbal or written) or action of the parties in connection with such financial relationship.
    (b)    The parties hereto hereby irrevocably and unconditionally submit, for themselves and their property, to the exclusive jurisdiction of the United States District Court of the Southern District of New York, and of any state court and courts of the State of New York sitting in New York County and any appellate court from any thereof, in any action or proceeding arising out of or relating to this Agreement or the transactions contemplated hereby, or for recognition or enforcement of any judgment, and each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect of any such action or proceeding may be heard and determined in such New York state court or, to the extent permitted by applicable law, such Federal court. Each of the parties hereto agrees that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.
9.    Additional Debtor; Substitution of Debtor.  In the event the Administrative Agent shall at any time in its discretion permit a substitution of Debtors hereunder or a party shall wish to become a Debtor hereunder, such substituted or additional Debtor shall, upon executing an agreement in the form attached hereto as Schedule B, become a party hereto and be bound by all the terms and conditions hereof to the same extent as though such Debtor had originally executed this Agreement and, in the case of a substitution, in lieu of the Debtor being replaced.  Any such agreement shall contain information as to such Debtor necessary to update the Perfection Certificate with respect to it.  No such substitution shall be effective absent the written consent of the Administrative Agent nor shall it in any manner affect the obligations of the other Debtors hereunder.
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10.    The Administrative Agent.  In acting under or by virtue of this Agreement, the Administrative Agent shall be entitled to all the rights, authority, privileges, and immunities provided in the Credit Agreement, all of which provisions of said Credit Agreement (including Article X thereof) are incorporated by reference herein with the same force and effect as if set forth herein in their entirety.  The Administrative Agent hereby disclaims any representation or warranty to the Secured Creditors or any other holders of the Obligations concerning the perfection of the liens and security interests granted hereunder or in the value of any of the Collateral.
11.    Amendment and Restatement.  This Agreement shall become effective on the date hereof and shall supersede all provisions of the Prior Security Agreement as of such date. From and after the date hereof, all references made to the Prior Security Agreement in any Loan Document or in any other instrument or document shall, without more, be deemed to refer to this Agreement.
[Signature on Following Page]
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IN WITNESS WHEREOF, each Debtor has executed this Amended and Restated Security Agreement as of the date first stated above.

									
	DEBTORS:

FORTEGRA FINANCIAL CORPORATION, a Delaware corporation
LOTS INTERMEDIATE CO., a Delaware corporation

			
	By:	/s/ Michael F. Grasher
		Name:	Michael F. Grasher
		Its:	Executive Vice President &
Chief Financial Officer
			
	4WARRANTY CORPORATION,
      a Florida corporation
THE SERVICE DOC, INC., 
a Florida corporation 
DIGITAL LEASH LLC d/b/a ProtectCell, 
a Florida limited liability company
PACIFIC BENEFITS GROUP NORTHWEST, L.L.C.,
an Oregon limited liability company
LOTSOLUTIONS, INC.,
a Georgia corporation 
LOTSOLUTIONS FLORIDA LLC,
a Florida limited liability company
SOUTH BAY FINANCIAL SERVICES, LLC,
a Delaware limited liability company
SOUTH BAY ACCEPTANCE CORPORATION, 
a California corporation
UNITED MOTOR CLUB OF AMERICA, INC., a Kentucky corporation 
CONTINENTAL CAR CLUB, INC.,
a Tennessee corporation
AUTO KNIGHT MOTOR CLUB INC.,
a California corporation

			
	By:	/s/ Christopher D. Romaine
		Name:	Christopher D. Romaine
		Its:	Secretary

Signature Page to Amended and Restated Security Agreement (Fortegra Financial Corporation)

									
	Accepted and agreed to.
			
	ADMINISTRATIVE AGENT:
			
	FIFTH THIRD BANK, NATIONAL ASSOCIATION
			
	By:	/s/ Jane Badger
		Name:	Jane Badger
		Its:	VP

Signature Page to Amended and Restated Security Agreement (Fortegra Financial Corporation)Document

Exhibit 10.3
EXECUTION VERSION

AMENDED AND RESTATED PLEDGE AGREEMENT
This AMENDED AND RESTATED PLEDGE AGREEMENT, dated as of August 4, 2020 (together with all amendments, if any, from time to time hereto, this “Agreement”) by and among FORTEGRA FINANCIAL CORPORATION, a Delaware corporation (“Fortegra”), LOTS INTERMEDIATE CO., a Delaware corporation (“LOTS” and together with Fortegra, the “Borrowers”) and the other Persons who may become “Pledgors” hereunder (each, a “Pledgor” and collectively, the “Pledgors”), and FIFTH THIRD BANK, NATIONAL ASSOCIATION (“Administrative Agent”).
W I T N E S S E T H:
WHEREAS, the Borrowers, the Lenders and the Administrative Agent previously entered into that certain Credit Agreement dated December 21, 2017 (as amended, modified restated or supplemented from time to time prior to the date hereof, the “Prior Credit Agreement”), whereby the Borrowers obtained a revolving line of credit in the original maximum principal amount of $30,000,000.00;
WHEREAS, indebtedness, obligations and liabilities owed to the Lenders under the Prior Credit Agreement, and certain other Hedging Obligations and Treasury Management Obligations hereinafter referred to, are currently secured by, among other things, a Pledge Agreement dated as of December 21, 2017, by and among the Fortegra and the Administrative Agent (the “Prior Pledge Agreement”);
WHEREAS, the Borrowers, the Guarantors, the Lenders and the Administrative Agent are concurrently herewith entering into an Amended and Restated Credit Agreement dated as of the date hereof (as amended, restated, modified or supplemented from time to time, the “Credit Agreement”), pursuant to which the Lenders have agreed to amend and restate the Prior Credit Agreement and, subject to certain terms and conditions, to extend a revolving line of credit and make certain other financial accommodations available to the Borrowers in the maximum principal amount of $200,000,000.00 (which may be hereafter increased);
WHEREAS, certain Pledgors are the record and beneficial owners of the stock and membership interests listed in Schedule I hereto; and
WHEREAS, as a condition to continuing to extend credit to the Borrowers as contemplated under the Credit Agreement, and to induce the Lenders to continue to extend said credit to the Borrowers, each Pledgor has agreed (x) to pledge the Pledged Collateral to the Administrative Agent for the benefit of the Secured Creditors to secure the payment and performance of the Obligations in accordance herewith and (y) to amend and restate the Prior Pledge Agreement, all as more particularly set forth herein;
NOW, THEREFORE, in consideration of the premises and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Pledgors hereby agree as follows:

1.    Definitions.  Unless otherwise defined herein, terms defined in the Credit Agreement are used herein as therein defined, and the following shall have the following respective meanings (such meanings being equally applicable to both the singular and plural form of the terms defined):
“Act” has the meaning assigned to such term in Section 8(c) hereof.
“Administrative Agent” has the meaning assigned to such term in the recitals hereto.
“Agreement” has the meaning assigned to such term in the introductory paragraph hereof.
“Borrowers” has the meaning assigned to such term in the recitals hereto.
“LOTS” has the meaning assigned to such term in the recitals hereto.
“Pledge Amendment” has the meaning assigned to such term in Section 6(d) hereof.
“Pledged Collateral” has the meaning assigned to such term in Section 2 hereof.
“Pledged Entity” means an issuer of Pledged Shares.
“Pledged Shares” means the stock and membership interests listed on Schedule 1 hereto.
“Pledgor” has the meaning assigned to such term in the introductory paragraph hereof.
“Secured Creditor” means, collectively, the Administrative Agent and the Lenders, together with any Lender or Affiliate of any Lender with respect to Hedging Obligations and Treasury Management Obligations at the time of entry into or the incurrence of such Hedging Obligations and/or Treasury Management Obligations.
“Secured Obligations” has the meaning assigned to such term in Section 3 hereof.
“Termination Date” has the meaning assigned to such term in Section 11 hereof.
2.    Pledge.  The Pledgors hereby pledge, charge, and grant to the Administrative Agent, for the benefit of the Secured Creditors, a first priority security interest in, all of the following (collectively, the “Pledged Collateral”):
    (a)    the Pledged Shares and the certificates (if any) representing the Pledged Shares, and all dividends, distributions and other products or proceeds of the foregoing from time to time received or otherwise distributed in respect of or in exchange for any or all of the Pledged Shares, it being understood that the term Pledged Shares shall include membership interests of limited liability companies whether or not such membership interests are evidenced by certificates; and
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    (b)    any additional shares of stock or membership interests from time to time acquired by the Pledgors in any manner (which shares shall be deemed to be part of the Pledged Shares), and the certificates representing such additional shares or membership interests, and all dividends, distributions and other products or proceeds from time to time received or otherwise distributed in respect of or in exchange for any or all of such stock or membership interests; and
    (c)    Notwithstanding the foregoing, the term “Pledged Collateral” (and any component definition thereof) shall not include (i) ownership interests in joint ventures and non-wholly-owned Subsidiaries to the extent that such ownership interests cannot be pledged without the consent of one or more non-Affiliate third parties, (ii) the stock or other ownership interest owned by a Pledgor in any subsidiary or affiliate of such Pledgor listed on Schedule “A” attached to the Security Agreement and any subsidiary or affiliate hereafter acquired by a Pledgor (each a “Debtor Insurance Affiliate”) which is an insurance company regulated by the laws of any jurisdiction which prohibits or restricts the pledge of such ownership interest, (iii) Capital Stock in (A) any Foreign Subsidiary other than, in the case of a Foreign Subsidiary owned directly by a Pledgor, 65% of the aggregate Capital Stock of such Foreign Subsidiary with ordinary voting power and 100% of the Capital Stock of such Foreign Subsidiary without ordinary voting power and (B) any Disregarded Domestic Subsidiary other than, in the case of a Disregarded Domestic Subsidiary owned directly by a Pledgor, 65% of the aggregate Capital Stock of such Disregarded Domestic Subsidiary with ordinary voting power and 100% of the Capital Stock of such Disregarded Domestic Subsidiary without ordinary voting power, (iv) any Capital Stock of any Subsidiary held by a Pledgor (other than the Capital Stock of LOTS held by Fortegra), but only for so long as Indebtedness under the Trust Preferred Indenture is outstanding, (v) any asset if the grant or perfection of a security interest is prohibited by applicable law; provided that if and when the prohibition which prevents the granting or perfection of a security interest is removed, terminated or otherwise becomes unenforceable as a matter of law, the Administrative Agent will be deemed to have had, and at all times to have had, a security interest in such property, (vi) the Capital Stock of South Bay Acceptance Corporation, if the grant or perfection of a security interest therein requires the consent, approval or authorization of any Governmental Authority, which consent, approval or authorization has not been received or obtained and (vii) any property acquired by any Loan Party if and to the extent that the Administrative Agent and the Borrowers shall have determined that the costs (including, without limitation, recording taxes and filing fees) of creating and perfecting a Lien on such property interests are excessive in relation to the value of the security afforded thereby.
3.    Security for Obligations.  This Agreement secures, and the Pledged Collateral is security for, the prompt payment in full when due, whether at stated maturity, by acceleration or otherwise, and performance of all Obligations, and all obligations of the Pledgors now or hereafter existing under this Agreement (collectively, the “Secured Obligations”).
4.    Delivery of Pledged Collateral.  All certificates evidencing the Pledged Shares shall be delivered to, and each Pledgor agrees to promptly so deliver or cause to be delivered to, and held by or on behalf of the Administrative Agent, for itself and the benefit of the Secured 
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Creditors, pursuant hereto.  All Pledged Shares which are certificated and delivered in accordance with the immediately preceding sentence shall be accompanied by duly executed instruments of transfer or assignment in blank, all in form and substance reasonably satisfactory to the Administrative Agent.
5.    Representations and Warranties of Pledgors.  Each Pledgor represents and warrants to the Administrative Agent and the Lenders that:
    (a)    such Pledgor is, and at the time of delivery of the Pledged Shares to the Administrative Agent will be, the sole holder of record and the sole beneficial owner of such Pledged Shares pledged by such Pledgor free and clear of any Lien thereon or affecting the title thereto, except for any Lien created by this Agreement and any Permitted Liens;
    (b)    all of the Pledged Shares issued by any Subsidiary of any Pledgor have been duly authorized, validly issued and are fully paid and non-assessable;
    (c)    such Pledgor has the right and requisite authority to pledge, assign, transfer, deliver, deposit and set over the Pledged Collateral pledged by such Pledgor to the Administrative Agent as provided herein;
    (d)    none of the Pledged Shares issued by any Subsidiary of any Pledgor, has been issued or transferred in violation of the securities registration, securities disclosure or similar laws of any jurisdiction to which such issuance or transfer may be subject; provided that no representation is made with respect to any transfer to the Administrative Agent pursuant to the terms of this Agreement;
    (e)    all of the Pledged Shares are, as of the date hereof, presently owned by such Pledgor, and, to the extent applicable, are presently represented by the certificates listed on Schedule I hereto or on the Pledge Amendment (as defined below), as the case may be.  As of the date hereof, there are no existing options, warrants, calls or commitments of any character whatsoever relating to the Pledged Shares;
    (f)    no consent, approval, authorization or other order or other action by, and no notice to or filing with, any Governmental Authority or any other Person is required for the pledge by such Pledgor of the Pledged Collateral pursuant to this Agreement or for the execution, delivery or performance of this Agreement by such Pledgor, or (ii) for the exercise by the Administrative Agent of the voting or other rights provided for in this Agreement or the remedies in respect of the Pledged Collateral pursuant to this Agreement; provided that the approval of an Applicable Insurance Regulatory Authority may be required in connection with the exercise of remedies by the Administrative Agent, except, in each case, for compliance with the Act, those as have been obtained or made and are in full force and effect and recordings and filings in connection with the perfection of the Liens granted to the Administrative Agent hereunder;
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    (g)    each Subsidiary that is issuing Pledged Shares but that is not a corporation will not issue certificates to evidence its equity interests unless it has opted in to Article 8 under Section 8-103(c) of the UCC;
    (h)    the Uniform Commercial Code financing statements containing a description of the Pledged Collateral, which have been prepared by the Administrative Agent based upon the information provided to the Administrative Agent by the Pledgors for filing in each governmental office specified on Schedule II hereof, are all the filings that are necessary as of the Restatement Effective Date to establish a legal, valid and perfected security interest in favor of the Administrative Agent in respect of all Pledged Collateral in which the security interest may be perfected by filing a financing statement under the Uniform Commercial Code;
    (i)    the security interests granted in the Pledged Collateral pursuant to this Agreement (i) will create a legal and valid Lien and security interest in the Pledged Collateral in favor of the Administrative Agent for the benefit of the Secured Creditors, securing the payment of the Secured Obligations, and (ii) subject to the filings described in Section 5(h) constitute a perfected security interest in all Pledged Collateral in which a security interest may be perfected by filing, recording or registering a financing statement or analogous document in the United States (or any state thereof) pursuant to the Uniform Commercial Code, and such Lien is prior to all other Liens other than Permitted Liens;
    (j)    this Agreement has been duly authorized, executed and delivered by such Pledgor and constitutes a legal, valid and binding obligation of such Pledgor enforceable against such Pledgor in accordance with its terms except as may be limited by bankruptcy, insolvency, fraudulent transfer, reorganization, receivership, moratorium or other laws affecting creditors’ rights generally and the effects of general principles of equity; and 
    (k)    the Pledged Shares issued to LOTS by the entities listed on Schedule I hereof, if any, constitute 100% of the issued and outstanding shares of stock or membership interests of such entities.
The representations and warranties set forth in this Section 5 shall survive the execution and delivery of this Agreement.
6.    Covenants.  Each Pledgor covenants and agrees that until the Termination Date:
    (a)    such Pledgor will, at its expense, promptly execute, acknowledge and deliver all such instruments and take all such actions as the Administrative Agent from time to time may reasonably request in order to ensure to the Administrative Agent the benefits of the Liens in and to the Pledged Collateral intended to be created by this Agreement, including the filing of any necessary Uniform Commercial Code financing statements, which may be filed by the Administrative Agent, and will cooperate with the Administrative Agent, at each Pledgor’s expense, in obtaining all necessary approvals and making all necessary filings under federal, state or local law in connection with such Liens 
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or any sale or transfer of the Pledged Collateral conducted pursuant to the terms of this Agreement;
    (b)    each Pledgor has and will defend the title to the Pledged Collateral and the Liens of the Administrative Agent in the Pledged Collateral against the claim of any Person (other than holders of Permitted Liens) and will maintain and preserve such Liens;
    (c)    except for the security interests granted hereunder (or otherwise permitted under the Credit Agreement), each Pledgor (i) is and, subject to any transfers made in compliance with the Credit Agreement, will continue to be the direct owner, beneficially and of record, of the Pledged Shares indicated on Schedule I as owned by such Pledgor, (ii) holds the same free and clear of all Liens (other than Permitted Liens), (iii) will make no assignment, pledge, hypothecation or transfer of, or create or permit to exist any security interest in or other Lien on, the Pledged Collateral, other than transfers made in compliance with and Liens permitted by the Credit Agreement, and (iv) subject to Section 7, will cause any and all Pledged Collateral, whether for value paid by such Pledgor or otherwise, to be forthwith deposited with the Administrative Agent and pledged or assigned hereunder; and
    (d)    each Pledgor will, upon obtaining ownership of any of the type constituting Pledged Collateral, promptly (and in any event within ten Business Days or such longer period as to which the Administrative Agent may consent) deliver to the Administrative Agent a Pledge Amendment, duly executed by such Pledgor, in substantially the form of Exhibit A hereto (a “Pledge Amendment”) in respect of any such additional stock pursuant to which such Pledgor shall pledge to the Administrative Agent all of such additional stock subject to the limitations on the pledge of the voting stock of Foreign Subsidiaries contained in this Agreement and the other Loan Documents.  Each Pledgor hereby authorizes the Administrative Agent to attach each Pledge Amendment to this Agreement and agrees that all Pledged Shares listed on any Pledge Amendment delivered to the Administrative Agent shall for all purposes hereunder be considered Pledged Collateral.
7.    Pledgors’ Rights.  As long as no Event of Default shall have occurred and be continuing and until written notice shall be given to the Pledgors in accordance with Section 8(a) hereof:
    (a)    each Pledgor shall have the right, from time to time, to vote and give consents with respect to the Pledged Collateral owned by it, or any part thereof for all purposes not inconsistent with the provisions of this Agreement, the Credit Agreement or any other Loan Document; provided, however, that no vote shall be cast, and no consent shall be given or action taken, which is not conditioned upon the satisfaction of the Termination Conditions or receipt of the consent or approval of the Administrative Agent under the Credit Agreement if such vote would have the effect of impairing the position or interest of the Administrative Agent in respect of the Pledged Collateral (unless and to the extent expressly permitted by the Credit Agreement) or which would authorize, effect or consent to (unless and to the extent expressly permitted by the Credit Agreement):
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    (i)    the dissolution or liquidation, in whole or in part, of a Pledged Entity;
    (ii)    the consolidation or merger of a Pledged Entity with any other Person; or
    (iii)    the sale, disposition or encumbrance of all or substantially all of the assets of a Pledged Entity, except for Liens in favor of the Administrative Agent; and
    (b)    each Pledgor shall be entitled, from time to time, to collect and receive for its own use all cash dividends and interest paid in respect of the Pledged Shares to the extent (A) the transaction or event which enabled such payment was not in violation of the Credit Agreement and (B) the payment thereof is not in violation of the Credit Agreement, other than any and all dividends paid or payable other than in cash in respect of any Pledged Collateral, and instruments and other property received, receivable or otherwise distributed in respect of, or in exchange for, any Pledged Collateral; provided, however, that until actually paid all rights to such distributions shall remain subject to the Lien created by this Agreement.
8.    Defaults and Remedies; Proxy.
    (a)    Upon the occurrence of an Event of Default and during the continuation of such Event of Default, and concurrently with written notice to the applicable Pledgor, the Administrative Agent (personally or through an agent) is hereby authorized and empowered (i) to transfer and register in its name or in the name of its nominee the whole or any part of the Pledged Collateral, (ii) to exchange certificates representing Pledged Collateral for certificates of smaller or larger denominations, (iii) to exercise (upon one Business Day’s prior written notice to the applicable Pledgor) the voting (if any) and all other rights as a holder with respect thereto, (iv) to collect and receive all cash dividends and other distributions made thereon, (v) to receive, upon the request of the Administrative Agent, all other distributions in respect of any of the Pledged Shares, whenever paid or made, to hold as Pledged Collateral (provided that, if such dividends or distributions are received by any Pledgor, they shall be received in trust for the benefit of the Administrative Agent, be segregated from the other property or funds of such Pledgor, and be forthwith delivered to the Administrative Agent as Pledged Collateral in the same form as so received (with any necessary endorsement)), (vi) subject to the mandatory requirements of applicable law, to sell in one or more sales after ten days’ notice of the time and place of any public sale or of the time at which a private sale is to take place (which notice each Pledgor agrees is commercially reasonable) the whole or any part of the Pledged Collateral and (vii) to otherwise act with respect to the Pledged Collateral as though the Administrative Agent was the outright owner thereof.  Any sale shall be made at a public or private sale at the Administrative Agent’s place of business, or at any place to be named in the notice of sale, either for cash or upon credit or for future delivery at such price as the Administrative Agent may deem fair, and the Administrative Agent may be the purchaser of the whole or any part of the Pledged Collateral so sold and hold the same thereafter in 
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its own right free from any claim of any Pledgor or any right of redemption.  Each sale shall be made to the highest bidder, but the Administrative Agent reserves the right to reject any and all bids at such sale which, in its discretion, it shall deem inadequate.  Demands of performance, except as otherwise herein specifically provided for, notices of sale, advertisements and the presence of property at sale are hereby waived and any sale hereunder may be conducted by an auctioneer or any officer or agent of the Administrative Agent.  EACH PLEDGOR HEREBY IRREVOCABLY CONSTITUTES AND APPOINTS THE ADMINISTRATIVE AGENT UPON THE OCCURRENCE OF AN EVENT OF DEFAULT AND DURING THE CONTINUATION OF SUCH EVENT OF DEFAULT, AS THE PROXY AND ATTORNEY-IN-FACT OF SUCH PLEDGOR WITH RESPECT TO THE PLEDGED COLLATERAL, INCLUDING THE RIGHT TO VOTE THE PLEDGED SHARES UPON THE GIVING OF NOTICE AS REQUIRED BY SECTION 8(A)(III) ABOVE, WITH FULL POWER OF SUBSTITUTION TO DO SO. THE APPOINTMENT OF THE ADMINISTRATIVE AGENT AS PROXY AND ATTORNEY-IN-FACT IS COUPLED WITH AN INTEREST AND SHALL BE IRREVOCABLE UNTIL THE TERMINATION DATE.  IN ADDITION TO THE RIGHT TO VOTE THE PLEDGED SHARES UPON THE GIVING OF NOTICE AS REQUIRED BY SECTION 8(A)(III) ABOVE, UPON THE OCCURRENCE OF AN EVENT OF DEFAULT AND DURING THE CONTINUATION OF SUCH EVENT OF DEFAULT, THE APPOINTMENT OF THE ADMINISTRATIVE AGENT AS PROXY AND ATTORNEY-IN-FACT SHALL INCLUDE THE RIGHT TO EXERCISE ALL OTHER RIGHTS, POWERS, PRIVILEGES AND REMEDIES TO WHICH A HOLDER OF THE PLEDGED SHARES WOULD BE ENTITLED (INCLUDING UPON THE GIVING OF NOTICE AS REQUIRED BY SECTION 8(A)(III) ABOVE, GIVING OR WITHHOLDING WRITTEN CONSENTS OF SHAREHOLDERS, CALLING SPECIAL MEETINGS OF SHAREHOLDERS AND VOTING AT SUCH MEETINGS).  SUCH PROXY SHALL BE EFFECTIVE AUTOMATICALLY UPON THE OCCURRENCE OF AN EVENT OF DEFAULT AND DURING THE CONTINUATION OF SUCH EVENT OF DEFAULT AND WITHOUT THE NECESSITY OF ANY ACTION (INCLUDING ANY TRANSFER OF ANY PLEDGED SHARES ON THE RECORD BOOKS OF THE ISSUER THEREOF) BY ANY PERSON (INCLUDING THE ISSUER OF THE PLEDGED SHARES OR ANY OFFICER OR AGENT THEREOF), UPON THE OCCURRENCE OF AN EVENT OF DEFAULT.  NOTWITHSTANDING THE FOREGOING, THE ADMINISTRATIVE AGENT SHALL NOT HAVE ANY DUTY TO EXERCISE ANY SUCH RIGHT OR TO PRESERVE THE SAME AND SHALL NOT BE LIABLE FOR ANY FAILURE TO DO SO OR FOR ANY DELAY IN DOING SO.
    (b)    If, at the original time or times appointed for the sale of the whole or any part of the Pledged Collateral, the highest bid, if there be but one sale, shall be inadequate to discharge in full all the Secured Obligations, or if the Pledged Collateral be offered for sale in lots, if at any of such sales, the highest bid for the lot offered for sale would indicate to the Administrative Agent, in its discretion, that the proceeds of the sales of the whole of the Pledged Collateral would be unlikely to be sufficient to discharge all the Secured Obligations, the Administrative Agent may, on one or more occasions and in its discretion, postpone any of said sales by public announcement at the time of sale or the time of previous postponement of sale, and no other notice of such postponement or postponements
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of sale need be given, any other notice being hereby waived; provided, however, that any sale or sales made after such postponement shall be after ten days’ notice to the Pledgors.
    (c)    If, at any time when the Administrative Agent shall determine to exercise its right to sell the whole or any part of the Pledged Collateral hereunder, such Pledged Collateral or the part thereof to be sold shall not, for any reason whatsoever, be effectively registered under the Securities Act of 1933, as amended (or any similar statute then in effect) (the “Act”), or even if it is so registered, the Administrative Agent may, in its discretion (subject only to applicable Requirements of Law), sell such Pledged Collateral or part thereof by private sale in such manner and under such circumstances as the Administrative Agent may deem necessary or advisable, but subject to the other requirements of this Section 8, and shall not be required to effect such registration or to cause the same to be effected.  Without limiting the generality of the foregoing, in any such event, the Administrative Agent in its discretion (x) may, in accordance with applicable securities laws, proceed to make such private sale notwithstanding that a registration statement for the purpose of registering such Pledged Collateral or part thereof could be or shall have been filed under said Act (or similar statute), (y) may approach and negotiate with a single possible purchaser to effect such sale, and (z) may restrict such sale to a purchaser who is an accredited investor under the Act and who will represent and agree that such purchaser is purchasing for its own account, for investment and not with a view to the distribution or sale of such Pledged Collateral or any part thereof.  In addition to a private sale as provided above in this Section 8, if any of the Pledged Collateral shall not be freely distributable to the public without registration under the Act (or similar statute) at the time of any proposed sale pursuant to this Section 8, then the Administrative Agent shall not be required to effect such registration or cause the same to be effected but, in its discretion (subject only to applicable Requirements of Law), may require that any sale hereunder (including a sale at auction) be conducted subject to restrictions:
    (i)    as to the financial sophistication and ability of any Person permitted to bid or purchase at any such sale;
    (ii)    as to the content of legends to be placed upon any certificates representing the Pledged Collateral sold in such sale, including restrictions on future transfer thereof;
    (iii)    as to the representations required to be made by each Person bidding or purchasing at such sale relating to that Person’s access to financial information about any Pledgor and such Person’s intentions as to the holding of the Pledged Collateral so sold for investment for its own account and not with a view to the distribution thereof; and
    (iv)    as to such other matters as the Administrative Agent may, in its discretion, deem necessary or appropriate in order that such sale (notwithstanding any failure so to register) may be effected in compliance with the Bankruptcy Code and other laws affecting the enforcement of creditors’ rights and the Act and all applicable state securities laws.
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    (d)    The Pledgors recognize that the Administrative Agent may not effect a public sale of any or all the Pledged Collateral and may resort to one or more private sales thereof in accordance with clause (c) above.  Each Pledgor also acknowledges that any such private sale may result in prices and other terms less favorable to the seller than if such sale were a public sale and, notwithstanding such circumstances, agrees that any such private sale shall not be deemed to have been made in a commercially unreasonable manner solely by virtue of such sale being private.  The Administrative Agent shall be under no obligation to delay a sale of any of the Pledged Collateral for the period of time necessary to permit the Pledged Entity to register such securities for public sale under the Act, or under applicable state securities laws, even if such Pledgor and the Pledged Entity would agree to do so.
    (e)    Each Pledgor agrees to the maximum extent permitted by applicable law that following the occurrence and during the continuance of an Event of Default it will not at any time plead, claim or take the benefit of any appraisal, valuation, stay, extension, moratorium or redemption law now or hereafter in force in order to prevent or delay the enforcement of this Agreement, or the absolute sale of the whole or any part of the Pledged Collateral or the possession thereof by any purchaser at any sale hereunder, and such Pledgor waives the benefit of all such laws to the extent it lawfully may do so.  Each Pledgor agrees that it will not interfere with any right, power and remedy of the Administrative Agent provided for in this Agreement or now or hereafter existing at law or in equity or by statute or otherwise, or the exercise or beginning of the exercise by the Administrative Agent of any one or more of such rights, powers or remedies.  No failure or delay on the part of the Administrative Agent to exercise any such right, power or remedy and no notice or demand which may be given to or made upon such Pledgor by the Administrative Agent with respect to any such remedies shall operate as a waiver thereof, or limit or impair the Secured Creditor’s right to take any action or to exercise any power or remedy hereunder, without notice or demand, or prejudice its rights as against such Pledgor in any respect.
    (f)    Each Pledgor further agrees that a breach of any of the covenants contained in this Section 8 will cause irreparable injury to the Administrative Agent, on behalf of the Secured Creditors, that the Administrative Agent shall have no adequate remedy at law in respect of such breach and, as a consequence, agrees that each and every covenant contained in this Section 8 shall be specifically enforceable against such Pledgor, and each Pledgor hereby waives and agrees not to assert any defenses against an action for specific performance of such covenants except for a defense that the Secured Obligations are not then due and payable in accordance with the agreements and instruments governing and evidencing such obligations.
Notwithstanding anything set forth in the foregoing or any other provision in this Agreement, with respect to the Pledged Collateral of any Pledgor, the Administrative Agent’s right to exercise voting or proxy rights, transfer or register such Pledged Collateral pursuant to this Agreement shall be subject to any required prior consent, approval, authorization or other required action of the Applicable Insurance Regulatory Authority or other applicable Governmental Authority.
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9.    Waiver.  No delay on the Administrative Agent’s part in exercising any power of sale, Lien, option or other right hereunder, and no notice or demand which may be given to or made upon Pledgors by the Administrative Agent with respect to any power of sale, Lien, option or other right hereunder, shall constitute a waiver thereof, or limit or impair the Administrative Agent’s right to take any action or to exercise any power of sale, Lien, option, or any other right hereunder, without notice or demand, or prejudice the Administrative Agent’s rights as against the Pledgors in any respect.
10.    Assignment.  The Administrative Agent may assign, indorse or transfer any instrument evidencing all or any part of the Secured Obligations as provided in, and in accordance with, the Credit Agreement, and the holder of such instrument shall be entitled to the benefits of this Agreement.
11.    Termination.  Immediately following the satisfaction of the Termination Conditions (the “Termination Date”), (a) the Administrative Agent shall promptly deliver to the Pledgors all Pledged Collateral pledged by each Pledgor at the time subject to this Agreement and all instruments of assignment executed in connection therewith; (b) subject to Section 14 of this Agreement, all documents and instruments executed and delivered pursuant to clause (a) above shall be free and clear of the Liens hereof and, except as otherwise expressly provided herein, all of Pledgors’ obligations hereunder shall at such time terminate; and (c) in connection with any termination or release pursuant to clause (a) above, the Administrative Agent shall promptly execute and deliver to the Pledgors all Uniform Commercial Code termination statements and similar documents that the Pledgors shall reasonably require to evidence such termination or release.
12.    Lien Absolute.  All rights of the Administrative Agent, on behalf of the Secured Creditors, hereunder, and all obligations of the Pledgors hereunder, shall be absolute and unconditional irrespective of:
    (a)    any lack of validity or enforceability of the Credit Agreement, any other Loan Document or any other agreement or instrument governing or evidencing any Secured Obligations;
    (b)    any change in the time, manner or place of payment of, or in any other term of, all or any part of the Secured Obligations, or any other amendment or waiver of or any consent to any departure from the Credit Agreement, any other Loan Document or any other agreement or instrument governing or evidencing any Secured Obligations;
    (c)    any exchange, release or non-perfection of any other Collateral, or any release or amendment or waiver of or consent to departure from any guaranty, for all or any of the Secured Obligations;
    (d)    the insolvency of any Loan Party; or
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    (e)    any other circumstance which might otherwise constitute a defense available to, or a discharge of, any Pledgor (other than the occurrence of the Termination Date).
13.    Release.  Each Pledgor consents and agrees that the Administrative Agent and the Secured Creditors may at any time, or from time to time, in their discretion:
    (a)    renew, extend or change the time of payment, and/or the manner, place or terms of payment of all or any part of the Secured Obligations, subject to the terms of the Credit Agreement; and
    (b)    exchange, release and/or surrender all or any of the Collateral (including the Pledged Collateral), or any part thereof, by whomsoever deposited, which is now or may hereafter be held by the Administrative Agent in connection with all or any of the Secured Obligations; all in such manner and upon such terms as the Administrative Agent may deem proper, and without notice to or further assent from Pledgors, it being hereby agreed that each Pledgor shall be and remain bound upon this Agreement, irrespective of the value or condition of any of the Collateral, and notwithstanding any such change, exchange, settlement, compromise, surrender, release, renewal or extension, and notwithstanding also that the Secured Obligations may, at any time, exceed the aggregate principal amount thereof set forth in the Credit Agreement, or any other agreement governing any Secured Obligations.  Each Pledgor hereby waives notice of acceptance of this Agreement, and also presentment, demand, protest and notice of dishonor of any and all of the Secured Obligations, and promptness in commencing suit against any party hereto or liable hereon, and in giving any notice to or of making any claim or demand hereunder upon such Pledgor.  No act or omission of any kind on the Administrative Agent’s part shall in any event affect or impair this Agreement.
14.    Reinstatement.  This Agreement shall remain in full force and effect and continue to be effective should any petition be filed by or against any Pledgor or any Pledged Entity for liquidation or reorganization, should any Pledgor or any Pledged Entity become insolvent or make an assignment for the benefit of creditors or should a receiver or trustee be appointed for all or any significant part of a Pledgor’s or a Pledged Entity’s assets, and shall continue to be effective or be reinstated, as the case may be, if at any time payment and performance of the Secured Obligations, or any part thereof, is, pursuant to applicable law, rescinded or reduced in amount, or must otherwise be restored or returned by any obligee of the Secured Obligations, whether as a “voidable preference”, “fraudulent conveyance”, or otherwise, all as though such payment or performance had not been made.  In the event that any payment, or any part thereof, is rescinded, reduced, restored or returned, the Secured Obligations shall be reinstated and deemed reduced only by such amount paid and not so rescinded, reduced, restored or returned.
15.    Additional Pledgors.  Each Material Domestic Subsidiary of any Borrower (other than an Excluded Subsidiary) that is required to become a party to this Agreement pursuant to the terms of the Credit Agreement shall become a Pledgor for all purposes of this Agreement upon execution and delivery by such party of a joinder agreement in form and substance reasonably satisfactory to the Administrative Agent.
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16.    Miscellaneous.
    (a)    The Administrative Agent may execute any of its duties hereunder by or through agents or employees and shall be entitled to advice of counsel concerning all matters pertaining to its duties hereunder.
    (b)    Each Pledgor agrees to reimburse the Administrative Agent for reasonable and documented out-of-pocket fees and expenses incurred by the Administrative Agent in connection with the administration and enforcement of this Agreement to the extent the Borrowers would be required to do so under Section 11.3 of the Credit Agreement.
    (c)    Neither the Administrative Agent, nor any of its respective officers, directors, employees, agents or counsel shall be liable for any action lawfully taken or omitted to be taken by it or them hereunder or in connection herewith, except for its or their own gross negligence or willful misconduct as finally determined by a court of competent jurisdiction.
    (d)    THIS AGREEMENT SHALL BE BINDING UPON EACH PLEDGOR AND ITS SUCCESSORS AND ASSIGNS (INCLUDING A DEBTOR-IN-POSSESSION ON BEHALF OF SUCH PLEDGOR), AND SHALL INURE TO THE BENEFIT OF, AND BE ENFORCEABLE BY, THE ADMINISTRATIVE AGENT, ON BEHALF OF THE SECURED CREDITORS AND EACH OF THEIR SUCCESSORS AND PERMITTED ASSIGNS.  THIS AGREEMENT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.
    (e)    EACH PARTY HERETO HEREBY IRREVOCABLY AND UNCONDITIONALLY SUBMIT, FOR THEMSELVES AND THEIR PROPERTY, TO THE EXCLUSIVE JURISDICTION OF THE UNITED STATES DISTRICT COURT OF THE SOUTHERN DISTRICT OF NEW YORK, AND OF ANY STATE COURT AND COURTS OF THE STATE OF NEW YORK LOCATED IN NEW YORK COUNTY AND ANY APPELLATE COURT FROM ANY THEREOF, AND IRREVOCABLY AGREES THAT, SUBJECT TO THE ADMINISTRATIVE AGENT’S ELECTION, ALL ACTIONS OR PROCEEDINGS ARISING OUT OF OR RELATING TO THIS AGREEMENT SHALL BE LITIGATED IN SUCH COURTS.  EACH PARTY HERETO EXPRESSLY SUBMITS AND CONSENTS TO THE JURISDICTION OF THE AFORESAID COURTS AND WAIVES ANY DEFENSE OF FORUM NON CONVENIENS.  EACH PARTY HERETO HEREBY IRREVOCABLY CONSENTS TO SERVICE OF PROCESS IN THE MANNER PROVIDED IN SECTION 18.  NOTHING IN THIS AGREEMENT WILL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY OTHER MANNER PERMITTED BY LAW.
    (f)    Each Pledgor and Administrative Agent each hereby knowingly, voluntarily and intentionally, after opportunity for consultation with independent counsel, waives its right to trial by jury in any action or proceeding to enforce or defend any rights or 
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obligations (i) under this Agreement, or (ii) arising from the financial relationship between the parties existing in conjunction with this Agreement or any other Loan Document or agreement delivered in connection herewith, or (iii) arising from any course of dealing, course of conduct, statement (verbal or written) or action of the parties in connection with such financial relationship.
17.    Severability.  If for any reason any provision or provisions hereof are determined to be invalid and contrary to any existing or future law, such invalidity shall not impair the operation of or effect those portions of this Agreement which are valid.
18.    Notices.  Except as otherwise provided herein, whenever it is provided herein that any notice, demand, request, consent, approval, declaration or other communication shall or may be given to or served upon any of the parties by any other party, or whenever any of the parties desires to give and serve upon any other party any communication with respect to this Agreement, each such notice, demand, request, consent, approval, declaration or other communication shall be in writing and shall be given in the manner, and deemed received, as provided for in the Credit Agreement (notice to any Pledgor and Pledged Entity shall be deemed given when delivered to the Borrowers in accordance with the terms of the Credit Agreement).
19.    Section Titles.  The Section titles contained in this Agreement are and shall be without substantive meaning or content of any kind whatsoever and are not a part of the agreement between the parties hereto.
20.    Benefit of the Secured Creditors.  All security interests granted or contemplated hereby shall be to the Administrative Agent, for the benefit of the Secured Creditors, and all proceeds or payments realized from the Pledged Collateral in accordance herewith shall be applied to the Secured Obligations in accordance with the terms of the Credit Agreement.
21.    The Administrative Agent.  In acting under or by virtue of this Agreement, the Administrative Agent shall be entitled to all the rights, authority, privileges, and immunities provided in the Credit Agreement, all of which provisions of said Credit Agreement (including Article X thereof) are incorporated by reference herein with the same force and effect as if set forth herein in their entirety.  The Administrative Agent hereby disclaims any representation or warranty to the Secured Creditors or any other holders of the Obligations concerning the perfection of the liens and security interests granted hereunder or in the value of any of the Collateral.
22.    Amendment and Restatement. This Agreement shall become effective on the date hereof and shall supersede all provisions of the Prior Pledge Agreement as of such date. From and after the date hereof, all references made to the Prior Pledge Agreement in any Loan Document or in any other instrument or document shall, without more, be deemed to refer to this Agreement.
[Signature Pages Follow]
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their respective duly authorized officers as of the date first above written.

						
	PLEDGORS:
		
	FORTEGRA FINANCIAL CORPORATION,
	a Delaware corporation
		
	By:	/s/ Michael F. Grasher
	Name:	Michael F. Grasher
	Title:	Executive Vice President &
Chief Financial Officer
		
	LOTS INTERMEDIATE CO.,
	a Delaware corporation
		
	By:	/s/ Michael F. Grasher
	Name:	Michael F. Grasher
	Title:	Executive Vice President &
Chief Financial Officer

Signature Page to Amended and Restated Pledge Agreement (Fortegra Financial Corporation)

						
	ADMINISTRATIVE AGENT:
		
	FIFTH THIRD BANK, NATIONAL ASSOCIATION
		
	By:	/s/ Jane Badger
	Name:	Jane Badger
	Title:	VP

Signature Page to Amended and Restated Pledge Agreement (Fortegra Financial Corporation)

EXHIBIT A
FORM OF PLEDGE AMENDMENT
This Pledge Amendment, dated ____________________, ____, is delivered pursuant to Section 6(d) of the Pledge Agreement referred to below.  All defined terms herein shall have the meanings ascribed thereto or incorporated by reference in the Pledge Agreement.  The undersigned hereby certifies that the representations and warranties in Section 5 of the Pledge Agreement are true and correct as of the date hereof, as to the shares pledged pursuant to this Pledge Amendment.  The undersigned further agrees that this Pledge Amendment may be attached to that certain Amended and Restated Pledge Agreement, dated August 4, 2020, by and among the undersigned Pledgor, the other Pledgors party thereto and Fifth Third Bank, National Association, as the Administrative Agent (as amended, restated, amended and restated, supplemented or otherwise modified, the “Pledge Agreement”), and that the Pledged Shares listed on this Pledge Amendment shall be and become a part of the Pledged Collateral referred to in said Pledge Agreement and shall secure all Secured Obligations referred to in said Pledge Agreement.

						
	[PLEDGOR]
		
	
		
	By:	
	Name:	
	Title:	

															
	Name and Address of Pledgor	Pledged Entity	Class of Stock	Certificate Number(s)	Number of Shares

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