Document:

<PAGE>

                                                                    EXHIBIT 10.2

                       QUOTA SHARE RETROCESSION AGREEMENT

                                 BY AND BETWEEN

                       PLATINUM UNDERWRITERS BERMUDA, LTD.

                                       and

                     PLATINUM UNDERWRITERS REINSURANCE, INC.

                            DATED AS OF MAY 13, 2003

         This Quota Share Retrocession Agreement (this "Agreement"), is made by
and between Platinum Underwriters Bermuda, Ltd., a Bermuda-domiciled insurance
company (the "Retrocessionaire"), and Platinum Underwriters Reinsurance, Inc. a
Maryland-domiciled insurance company (the "Retrocedant").

ARTICLE 1 - BUSINESS COVERED

With respect to business classified by the Retrocedant as Property Catastrophe
and underwritten out of its New York office, the Retrocedant hereby obligates
itself to retrocede to the Retrocessionaire and the Retrocessionaire hereby
obligates itself to accept a sixty seven percent (67%) quota share of the
reinsurance and retrocession contracts underwritten by Retrocedant on or after
the Effective Date other than reinsurance contracts retroceded to Retrocedant by
any subsidiary or affiliate of The St. Paul Companies, Inc. (the "NY Property
Catastrophe Reinsurance Contracts").

With respect to all business underwritten by the Retrocedant except for NY
Property Catastrophe Reinsurance Contracts, the Retrocedant hereby obligates
itself to retrocede to the Retrocessionaire and the Retrocessionaire hereby
obligates itself to accept a seventy percent (70%) quota share of the
reinsurance and retrocession contracts underwritten by Retrocedant on or after
the Effective Date other than reinsurance contracts retroceded to Retrocedant by
any subsidiary or affiliate of The St. Paul Companies, Inc. (the "Non NY
Catastrophe Reinsurance Contracts"). The NY Property Catastrophe Reinsurance
Contracts and the Non NY Catastrophe Reinsurance Contracts may be collectively
referred to herein as the "Reinsurance Contracts."

ARTICLE 2 - COMMENCEMENT AND TERMINATION

This Agreement shall take effect and shall apply to all Reinsurance Contracts
underwritten on or after 12:01 a.m. New York time, January 1, 2003 (the
"Effective Date"). It shall remain continuously in force but may be terminated
by either party giving at least ninety (90) days' notice in writing to the other
party.

<PAGE>

Upon the expiration or termination of this Agreement, the Retrocessionaire shall
remain liable hereunder for it's pro rata share of the Reinsurance Contracts
until the expiration, cancellation or termination of the Retrocedant's
liabilities under the Reinsurance Contracts.

ARTICLE 3 - ORIGINAL CONDITIONS

All retrocessions assumed under this Agreement shall be subject to the same
rates, terms, conditions, waivers and interpretations, and to the same
modifications and alterations, as the respective Reinsurance Contracts.

This Agreement is solely between the Retrocedant and the Retrocessionaire, and
in no instance shall any other party have any rights under this Agreement except
as expressly provided otherwise in the Insolvency Article.

ARTICLE 4 - PREMIUMS

With regards to the Non NY Catastrophe Reinsurance Contracts, the Retrocedant
shall retrocede to the Retrocessionaire an amount equal to seventy percent (70%)
of the Net Premium due under the Non NY Catastrophe Reinsurance Contracts.

With regards to the NY Property Catastrophe Reinsurance Contracts, the
Retrocedant shall retrocede to the Retrocessionaire an amount equal to
sixty-seven (67%) of Net Premium due under the NY Property Catastrophe
Reinsurance Contracts.

Net Premium shall be defined as the Gross Net Premium less (i) one hundred
percent (100%) of the actual expenses incurred by Retrocedant in acquiring the
respective Reinsurance Contracts, including all commissions and brokerage, and
(ii) seven percent (7%) of the Gross Net Premium due under the respective
Reinsurance Contracts.

For purposes of this Agreement, the term "Gross Net Premium" is the amount equal
to (i) the gross premium ceded to Retrocedant under the respective Reinsurance
Contracts less (ii) return premium paid or payable by the Retrocedant under the
respective Reinsurance Contracts, and (iii) premiums paid or payable by the
Retrocedant for inuring reinsurance as described in Article 7 hereof.

ARTICLE 5 - EXCLUSIONS

The following Exclusion Clauses are attached to and form part of this Agreement:

         1.       Nuclear Incident Exclusion Clause - Liability - Reinsurance-
                  U.S.A. (BRMA 35A).

         2.       Nuclear Incident Exclusion Clause - Liability - Reinsurance -
                  Canada (BRMA 35D).

         3.       Pools, Associations, and Syndicates as per Pools,
                  Associations, and syndicate Exclusion Clause.

                                       2

<PAGE>

         4.       War Risk Exclusion Clause.

         5.       Insolvency Funds Exclusion Clause.

         6.       Business classified by the Retrocedant as Finite Quota Share.

         7.       Reinsurance contracts retroceded to Retrocedant by any
                  subsidiary or affiliate of The St. Paul Companies, Inc.

ARTICLE 6 - TERRITORY

Coverage applies within the territorial limits of the Reinsurance Contracts
covered hereunder.

ARTICLE 7 - INURING REINSURANCE

It is understood and agreed that when the Retrocedant warrants that it is in the
best interest of the Retrocedant and the Retrocessionaire, Retrocedant may
purchase facultative reinsurance and/or any other treaty reinsurance, except as
listed in Appendix 1 hereto. The premium for said inuring reinsurance that
inures to the benefit of the Retrocessionaire will reduce the Gross Net Premium
pursuant to Article 4 hereof.

ARTICLE 8 - LOSS AND LOSS EXPENSE

With respect to Non NY Catastrophe Reinsurance Contracts, the Retrocessionaire
shall be liable for seventy percent (70%) of all loss, loss adjustment expenses
and other payment obligations as incurred by Retrocedant under such Reinsurance
Contracts on and after the Effective Date net of all salvages and recoveries
under inuring reinsurance.

With respect to NY Property Catastrophe Reinsurance Contracts, the
Retrocessionaire shall be liable for sixty seven percent (67%) of all loss, loss
adjustment expenses and other payment obligations as incurred by Retrocedant
under such Reinsurance Contracts on and after the Effective Date net of all
salvages and recoveries under inuring reinsurance.

Notwithstanding the aforementioned, the Retrocessionaire's loss from any single
Property Catastrophe Occurrence shall be subject to a per occurrence limit equal
to $150,000,000.

For purposes of this Agreement, Property Catastrophe Occurrence shall mean each
and every loss or series of losses arising out of any one event. However, the
duration and extent of any "loss occurrence" so defined shall be limited to (i)
72 consecutive hours as regards a hurricane, a typhoon, windstorm, rainstorm,
hailstorm and/or tornado; (ii) 72 consecutive hours and within the limits of one
City, Town or Village as regards riots, civil commotions and malicious damage;
or (iii) 168 consecutive hours for any other catastrophe of whatsoever nature.

No individual loss from whatever insured peril, which occurs outside these
periods or areas, shall be included in that "loss occurrence". The Retrocedant
may choose the date and time when any such period of consecutive hours commences
and if any event is of

                                       3

<PAGE>

greater duration than the above periods, the Retrocedant may divide that event
into two or more "loss occurrences", provided no two periods overlap and
provided no period commences earlier than the date and time of the happening of
the first recorded individual loss to the Retrocedant in that event.

ARTICLE 9 - EXTRA CONTRACTUAL OBLIGATIONS

This Agreement shall protect the Retrocedant and any original reinsured, within
the limits hereof, where the loss includes any Extra Contractual Obligations.
The term "Extra Contractual Obligations" is defined as those liabilities not
covered under any other provision of this Agreement and which arise from the
handling of any claim on business covered hereunder, such liabilities arising
because of, but not limited to, the following: failure by any original reinsured
to settle within the policy limit, or by reason of alleged or actual negligence,
fraud, or bad faith in rejecting an offer of settlement or in the preparation of
the defense or in the trial of any action against its insured or reinsured or in
the preparation or prosecution of an appeal consequent upon such action.

The date on which any Extra Contractual Obligation is incurred by any original
reinsured shall be deemed, in all circumstances, to be the date of the original
disaster and/or casualty.

However, this Article shall not apply where the loss has been incurred due (i)
solely to the acts, or failure to act, of the Retrocedant in handling its claims
or (ii) to fraud by a member of the Board of Directors or a corporate officer of
any original reinsured acting individually or collectively or in collusion with
any individual or corporation or any other organization or party involved in the
presentation, defense or settlement of any claim covered hereunder.

ARTICLE 10 - EXCESS OF ORIGINAL POLICY LIMITS

This Agreement shall protect the Retrocedant and any original reinsured, within
the limits hereof, in connection with loss in excess of the limit of its
original policy, such loss in excess of the limit having been incurred because
of failure of the original reinsured to settle within the policy limit or by
reason of alleged or actual negligence, fraud, or bad faith in rejecting an
offer of settlement or in the preparation of the defense or in the trial of any
action against its insured or reinsured or in the preparation or prosecution of
an appeal consequent upon such action.

However, this Article shall not apply where the loss has been incurred due (i)
solely to the acts, or failure to act, of the Retrocedant in handling its claims
or (ii) to fraud by a member of the Board of Directors or a corporate officer of
the original reinsured acting individually or collectively or in collusion with
any individual or corporation or any other organization or party involved in the
presentation, defense or settlement of any claim covered hereunder.

For the purpose of this Article, the word "loss" shall mean any amounts for
which the original reinsured or Retrocedant would have been contractually liable
to pay had it not been for the limit of the original policy.

                                       4

<PAGE>

ARTICLE 11 - ADMINISTRATION OF REINSURANCE CONTRACTS

                  SECTION 11.01 Administration. The parties agree that, as of
the Effective Date, Retrocedant shall have the sole authority to administer the
Reinsurance Contracts in all respects, which authority shall include, but not be
limited to, authority to bill for and collect premiums, adjust all claims and
handle all disputes thereunder and to effect any and all amendments,
commutations and cancellations of the Reinsurance Contracts. Retrocedant shall
not settle any claims, waive any right, defense, setoff or counterclaim relating
to the Reinsurance Contracts with respect to amounts in excess of $5 million or
make any ex gratia payments in each case without the prior written consent of
Retrocessionaire, which consent shall not be unreasonably withheld or delayed.

                  SECTION 11.02 Reporting and Regulatory Matters. Each party
shall provide the notices and filings required to be made by it to state
regulatory authorities as a result of this Agreement. Notwithstanding the
foregoing, each party shall provide to the other party any information in its
possession regarding the Reinsurance Contracts as reasonably required by the
other party to make such filings and in a form as agreed to by the parties.

                  SECTION 11.03 Duty to Cooperate. Upon the terms and subject to
the conditions and other agreements set forth herein, each party agrees to use
its commercially reasonable efforts to take, or cause to be taken, all actions,
and to do, or cause to be done, and to assist and cooperate with the other party
in doing, all things necessary or advisable to perform the transactions
contemplated by this Agreement.

ARTICLE 12 - FOLLOW THE FORTUNES

It is the intent of this Agreement that the Retrocessionaire shall in every case
in which this Agreement applies and in the proportions specified herein, "follow
the fortunes" of the Retrocedant in respect of risks the Retrocessionaire has
accepted under this Agreement.

ARTICLE 13 - REPORTS AND REMITTANCES

Within thirty (30) days after the close of each month, the Retrocedant will
furnish the Retrocessionaire with a report summarizing the written premium ceded
less return premium, allowances, commission, premiums for inuring reinsurance,
losses paid, loss adjustment expense paid, monies recovered, and net balance due
either party. In addition, the Retrocedant will furnish the Retrocessionaire a
monthly statement showing the unearned premium, the total reserves for
outstanding losses including loss adjustment expense, a breakdown for paid and
outstanding catastrophe losses and loss adjustment expenses, and such other
information as may be required by the Retrocessionaire for completion of its
statutory financial statements and other filings.

The net balance will be paid within forty-five (45) days after the close of the
respective month. Any such amounts payable to the Retrocessionaire shall be paid
into a trust account established under Article 23 hereof, if such trust account
has been established. Should payment due from the Retrocessionaire exceed $5
million as respects any one loss, the Retrocedant may give the Retrocessionaire
notice of payment made or its intention to

                                       5

<PAGE>

make payment on a certain date. If the Retrocedant has paid the loss, payment
will be made by the Retrocessionaire immediately. If the Retrocedant intends to
pay the loss by a certain date and has submitted a satisfactory proof of loss or
similar document, payment will be due from the Retrocessionaire twenty-four (24)
hours prior to the date, provided the Retrocessionaire has a period of seven (7)
days after receipt of said notice to dispatch the payment. Cash loss amounts
specifically remitted by the Retrocessionaire as set forth herein will be
credited to its next monthly account.

ARTICLE 14 - CURRENCY

For purposes of this Agreement, where the Retrocedant receives premiums or pays
losses in currencies other than United States dollars, such premiums or losses
shall be converted into United States dollars at the actual rates of exchange at
which these premiums or losses are entered in the Retrocedant's books.

ARTICLE 15 - ACCESS TO RECORDS

The Retrocedant shall place at the disposal of the Retrocessionaire at all
reasonable times, and the Retrocessionaire shall have the right to inspect
through its designated representatives, during the term of this Agreement and
thereafter, all books, records and papers of the Retrocedant in connection with
any reinsurance hereunder, or the subject matter hereof.

The Retrocessionaire, except with the express prior written consent of the
Retrocedant, shall not directly or indirectly, communicate, disclose or divulge
to any third party, any knowledge or information that may be acquired either
directly or indirectly as a result of the inspection of the Retrocedant's books,
records and papers. The restrictions as outlined in this Article shall not apply
to communication or disclosures that the Retrocessionaire is required to make to
its statutory auditors, retrocessionaires, legal counsel, arbitrators involved
in any arbitration procedures under this Agreement or disclosures required upon
subpoena or other duly-issued order of a court or other governmental agency or
regulatory authority.

ARTICLE 16 - ARBITRATION

                  SECTION 16.01 As a condition precedent to any right of action
under this Agreement, any dispute or difference between the parties hereto
relating to the formation, interpretation, or performance of this Agreement, or
any transaction under this Agreement, whether arising before or after
termination, shall be submitted for decision to a panel of three arbitrators
(the "Panel") at the offices of Judicial Arbitration and Mediation Services,
Inc. in accordance with the Streamlined Arbitration Rules and Procedures of
Judicial Arbitration and Mediation Services, Inc.

                  SECTION 16.02 The party demanding arbitration shall do so by
written notice to the responding party. Retrocessionaire hereby appoints its
Chief Operating Officer as its agent to receive any arbitration demand hereunder
and Retrocedant hereby appoints its General Counsel as its agent to receive any
arbitration demand

                                       6

<PAGE>

hereunder. The arbitration demand shall state the issues to be resolved and
shall name the arbitrator appointed by the demanding party.

                  SECTION 16.03 Within thirty (30) days of receipt of the demand
for arbitration, the responding party shall notify the demanding party of any
additional issues to be resolved in the arbitration and the name of the
responding party's appointed arbitrator. If the responding party refuses or
neglects to appoint an arbitrator within thirty (30) days following receipt of
the written arbitration demand, then the demanding party may appoint the second
arbitrator but only after providing ten (10) days' written notice of its
intention to do so, and only if such other party has failed to appoint the
second arbitrator within such ten (10) day period.

                  SECTION 16.04 The two arbitrators shall, before instituting
the hearing, select an impartial arbitrator who shall act as the umpire and
preside over the hearing. If the two arbitrators fail to agree on the selection
of a third arbitrator within thirty (30) days after notification of the
appointment of the second arbitrator, the selection of the umpire shall be made
by the American Arbitration Association. Upon resignation or death of any member
of the Panel, a replacement will be appointed in the same fashion as the
resigning or deceased member was appointed. All arbitrators shall be active or
former officers of property/casualty insurance or reinsurance companies, or
Lloyd's underwriters, and shall be disinterested in the outcome of the
arbitration.

                  SECTION 16.05 Within thirty (30) days after notice of
appointment of all arbitrators, the Panel shall meet and determine timely
periods for briefs, discovery procedures and schedules for hearings. The Panel
shall have the power to determine all procedural rules for the holding of
arbitration, including, but not limited to, the inspection of documents,
examination of witnesses and any other matter relating to the conduct of the
arbitration. The Panel shall interpret this Agreement as an honorable engagement
and not as merely a legal obligation and shall make its decision considering the
custom and practice of the applicable insurance and reinsurance business. The
Panel shall be relieved of all judicial formalities and may abstain from
following the strict rules of law. The decision of any two arbitrators shall be
binding and final. The Panel shall render its decision in writing within sixty
(60) days following the termination of the hearing. Judgment upon the award may
be entered in any court of competent jurisdiction.

                  SECTION 16.06 Each party shall bear the expense of its own
arbitrator and shall share equally with the other party the expense of the
umpire and of the arbitration.

                  SECTION 16.07 Arbitration hereunder shall take place in New
York, New York unless the parties agree otherwise.

                  SECTION 16.08 The parties hereto hereby expressly (i) submit
to the jurisdiction of the Panel, (ii) agree to comply with all requirements
necessary to give the Panel jurisdiction and (iii) agree to abide by the final
decision of the Panel.

                                       7

<PAGE>

                  SECTION 16.09 This Article 16 shall survive termination of
this Agreement.

ARTICLE 17 - INSOLVENCY

In the event of the insolvency of the Retrocedant, this reinsurance shall be
payable directly to the Retrocedant, or to its liquidator, receiver, conservator
or statutory successor on the basis of the liability of the Retrocedant without
diminution because of the insolvency of the Retrocedant or because the
liquidator, receiver, conservator or statutory successor of the Retrocedant has
failed to pay all or a portion of any claim.

It is agreed, however, that the liquidator, receiver, conservator or statutory
successor of the Retrocedant shall give written notice to the Retrocessionaire
of the pendency of a claim against the Retrocedant indicating the Reinsurance
Contract reinsured, which claim would involve a possible liability on the part
of the Retrocessionaire within a reasonable time after such claim is filed in
the conservation or liquidation proceeding or in the receivership, and that
during the pendency of such claim, the Retrocessionaire may investigate such
claim and interpose, at its own expense, in the proceeding where such claim is
to be adjudicated any defense or defenses that it may deem available to the
Retrocedant or its liquidator, receiver, conservator or statutory successor. The
expense thus incurred by the Retrocessionaire shall be chargeable, subject to
the approval of the court, against the Retrocedant as part of the expense of
conservation or liquidation to the extent of a pro rata share of the benefit
which may accrue to the Retrocedant solely as a result of the defense undertaken
by the Retrocessionaire.

As to all reinsurance made, ceded, renewed or otherwise becoming effective under
this Agreement, the reinsurance shall be payable as set forth above by the
Retrocessionaire to the Retrocedant or to its liquidator, receiver, conservator
or statutory successor, except (1) where the Reinsurance Contracts specifically
provide another payee in the event of the insolvency of the Retrocedant, or (2)
where the Retrocessionaire with the consent of the insured or reinsureds, has
assumed such Reinsurance Contract obligations of the Retrocedant as direct
obligations of the Retrocessionaire to the payees under such Reinsurance
Contracts and in substitution for the obligations of the Retrocedant to such
payees.

ARTICLE 18 - OFFSET

The Retrocedant and the Retrocessionaire shall have the right to offset any
balance or amounts due from one party to the other under the terms of this
Agreement. The party asserting the right of offset may exercise such right at
any time whether the balances due are on account of premiums, losses or
otherwise.

ARTICLE 19 - SALVAGE AND SUBROGATION

The Retrocessionaire will be credited with its share of salvage and/or
subrogation in respect of claims and settlements under this Agreement, less its
share of recovery expense. Should the Retrocedant refuse or neglect to enforce
its right of salvage and/or subrogation,

                                       8

<PAGE>

the Retrocessionaire is hereby empowered and authorized to institute appropriate
action in the name of the Retrocedant.

ARTICLE 20 - FEDERAL EXCISE TAX

The Retrocessionaire will allow for the purpose of paying Federal Excise Tax a
deduction, from the premium payable to the Retrocessionaire hereunder, of an
amount equal to the applicable percentage of such premium representing the
Federal Excise Tax (as imposed under Section 4371 of the Internal Revenue
Service Code) to the extent such premium is subject to such tax. In the event of
any return of premium, the Retrocessionaire will deduct the aforesaid percentage
from the return premium payable hereunder and the Retrocedant or its agent will
recover such tax from the United States Government. In all other instances, if
the Retrocedant should recover any portion of a Federal Excise Tax that was
withheld from the premium paid to the Retrocessionaire, such recovered amount
shall be paid promptly to the Retrocessionaire.

ARTICLE 21 - SERVICE OF SUIT

In the event the Retrocessionaire fails to pay any amount claimed due hereunder,
the Retrocessionaire, at the request of the Retrocedant, will submit to the
jurisdiction of a court of competent jurisdiction within the United States and
will comply with all requirements necessary to give that court jurisdiction.
Nothing in this Article constitutes, or should be understood to constitute, a
waiver of the Retrocessionarie's right to commence an action in any court of
competent jurisdiction in the United States, to remove an action to the United
States District Court, or to seek a transfer of a case to another court as
permitted by the laws of the United States or of any state in the United States.
Service of process in such suit may be made upon Dewey Ballantine LLP, New York,
New York. In any suit instituted against it upon this Agreement,
Retrocessionaire will abide by the final decision of such court or of any
appellate court in the event of an appeal.

The above named are authorized and directed to accept service of process on
behalf of the Retrocessionaire in any such suit and/or upon the request of the
Retrocedant to give a written undertaking to the Retrocedant that they will
enter a general appearance upon the Retrocessionaire's behalf in the event such
a suit is instituted.

Further, pursuant to any statute of any state, territory, or district of the
Untied States that makes provision therefor, the Retrocessionaire hereby
designates the Superintendent, Commissioner, or Director of Insurance or other
officer specified for that purpose in the statute (or his successor or
successors in office) as its true and lawful attorney upon whom may be served
any lawful process in any action, suit, or proceeding instituted by or on behalf
of the Retrocedant or any beneficiary hereunder arising out of this Agreement,
and hereby designates the above named as the person to which the said officer is
authorized to mail such process or a true copy thereof.

ARTICLE 22 - ERRORS AND OMISSIONS

Any inadvertent delay, omission, error or failure made in connection with this
Agreement shall not relieve either party hereto from any liability which would
attach hereunder if such

                                       9

<PAGE>

delay, omission, error or failure had not been made, provided such delay,
omission, error or failure is rectified as soon as reasonably practicable after
discovery.

ARTICLE 23 - SECURITY

If Retrocessionaire is not licensed, or an accredited reinsurer in the State of
Maryland, Retrocessionaire shall establish and maintain a funds withheld
account, trust fund or other form of security for the benefit of Retrocedant as
security for the obligations of Retrocessionaire under this Agreement. The funds
withheld account, trust fund or other form of security shall be in a form
reasonably satisfactory to Retrocedant and shall comply with the requirements
under Maryland Insurance Law applicable to trust funds, funds withheld accounts,
or other forms of security established for credit for reinsurance purposes.

ARTICLE 24 - MISCELLANEOUS PROVISIONS

                  SECTION 24.01 Severability. If any term or provision of this
Agreement shall be held void, illegal, or unenforceable, the validity of the
remaining portions or provisions shall not be affected thereby.

                  SECTION 24.02 Successors and Assigns. This Agreement may not
be assigned by either party without the prior written consent of the other. The
provisions of this Agreement shall be binding upon and inure to the benefit of
and be enforceable by the parties hereto and their respective successors and
assigns as permitted herein.

                  SECTION 24.03 Execution in Counterparts. This Agreement may be
executed by the parties hereto in any number of counterparts and by each of the
parties hereto in separate counterparts, each of which counterparts, when so
executed and delivered, shall be deemed to be an original, but all such
counterparts shall together constitute but one and the same instrument.

                  SECTION 24.04 Headings. Headings used herein are not a part of
this Agreement and shall not affect the terms hereof.

                  SECTION 24.05 Amendments; Entire Agreement. This Agreement may
be amended only by written agreement of the parties. This Agreement supersedes
all prior discussions and written and oral agreements and constitutes the sole
and entire agreement between the parties with respect to the subject matter
hereof.

                  SECTION 24.06 Negotiated Agreement. This Agreement has been
negotiated at arm's-length, and the fact that the initial and final drafts will
have been prepared by either party will not give rise to any presumption for or
against any party to this Agreement or be used in any respect or forum in the
construction or interpretation of this Agreement or any of its provisions.

                                       10

<PAGE>

                  SECTION 24.07 Governing Law. This Agreement shall be governed
by the laws of the State of New York without giving effect to any choice or
conflict of laws provision or rule (whether of the State of New York or any
other jurisdiction) that would cause the application of the laws of any
jurisdiction other than the State of New York.

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their duly authorized representatives as of the date first above
written.

                                    Platinum Underwriters Bermuda, Ltd.

                                    By: /s/ Bart Hedges
                                        ----------------
                                        Name:  Bart Hedges
                                        Title: Chief Operating Officer

                                    Platinum Underwriters Reinsurance, Inc.

                                    By: /s/ Edward Torres
                                        -----------------
                                        Name:  Edward Torres
                                        Title: Senior Vice President

                                       11

<PAGE>

Appendix 1

33% Quota Share to Montpelier Re on business classified as Property Catastrophe,
and underwritten out of the New York office of the Retrocedant.

                                       12<PAGE>

                                                                    EXHIBIT 10.3

                        COMMUTATION AND RELEASE AGREEMENT

         THIS COMMUTATION AND RELEASE AGREEMENT ("Agreement") dated as of June
11, 2003, is made by and between Platinum Underwriters Reinsurance, Inc., a
Maryland domiciled stock insurance company ("Retrocessionaire") and Mountain
Ridge Insurance Company ("Retrocedant"), a Vermont domiciled insurance company.

                                    RECITALS

         WHEREAS, Retrocessionaire and Retrocedant are parties to the 100% Quota
Share Retrocession Agreement (Non-Traditional D-2), effective November 1, 2002
(the "Contract"), a copy of the Contract is attached hereto.

         WHEREAS, Retrocessionaire and Retrocedant desire fully and finally to
settle and commute all their respective rights, obligations and liabilities,
known and unknown, under the Contract,

NOW THEREFORE, in consideration of the covenants set forth herein, the
Retrocessionaire and Retrocedant agree as follows:

ARTICLE 1 - RELEASE

(a)      Retrocedant hereby releases and discharges Retrocessionaire and its
         predecessors, successors, assigns, parents, affiliates, subsidiaries,
         and each of their agents, officers, directors and shareholders from any
         and all present and future payment obligations, including but not
         limited to adjustments, expenses, duties, costs, executions, offsets,
         actions, causes of action, suits, debts, bonds, bills, covenants,
         promises, damages, judgments, claims, demands, liabilities and/or
         losses whatsoever, all whether known or unknown, reported or
         unreported, that Retrocedant and its predecessors, successors, assigns,
         parents, affiliates, subsidiaries, and each of their agents, officers,
         directors and shareholders ever had, now have or hereafter may have,
         whether grounded in law or equity, in contract or in tort, by reason of
         any matter whatsoever arising out of the Contract; and

(b)      Concurrently with Retrocedant's release and discharge of
         Retrocessionaire pursuant to paragraph 1(a), Retrocessionaire hereby
         releases and discharges Retrocedant and its predecessors, successors,
         assigns, parents, affiliates, subsidiaries, and each of their agents,
         officers, directors and shareholders from any and all present and
         future payment obligations, including but not limited to adjustments,
         expenses, duties, costs, executions, offsets, actions, causes of
         action, suits, debts, bonds, bills, covenants, promises, damages,
         judgments, claims, demands, liabilities and/or losses whatsoever, all
         whether known or unknown, reported or unreported, that Retrocessionaire
         and its predecessors, successors,

<PAGE>

         assigns, parents, affiliates, subsidiaries, and each of their agents,
         officers, directors, and shareholders ever had, now have or hereafter
         may have, whether grounded in law or equity, in contract or in tort, by
         reason of any matter whatsoever arising out of the Contract.

ARTICLE 2 - CONFIDENTIALITY

It is hereby agreed that the parties, including, but not limited to, their
respective attorneys, agents, accountants, representatives and affiliates, will
not disclose the terms and/or existence of this Agreement to any third parties
without the prior written consent of the other party with the exception of (i)
any Retrocessionaire that may be affected by this Agreement or (ii) any
intermediary that participates in this transaction and/or participated in the
Contract. Notwithstanding the foregoing, the terms or existence of this
Agreement may be disclosed as required (i) in any proceeding, arbitration,
lawsuit or other action involving the parties hereto or (ii) under the
compulsion of legal process or regulatory requirement.

ARTICLE 3 - ARBITRATION

As a condition precedent to any action to enforce any right hereunder, any
dispute between Retrocessionaire and Retrocedant arising out of or relating to
this Agreement and/or its formation shall be submitted to arbitration in
accordance with the arbitration provisions of the Contract.

ARTICLE 4 - MISCELLANEOUS

(a)      This Agreement shall inure to the benefit of and be binding upon any
         and all respective successors, liquidators, receivers, rehabilitators,
         trustees and assigns of Retrocessionaire and Retrocedant.

(b)      Retrocessionaire and Retrocedant each expressly warrant and represent
         that it is a corporation in good standing in its respective place of
         domicile; that it has had the opportunity to consult attorneys of its
         own choosing in connection with the evaluation, negotiation and
         execution of this Agreement; that the execution of this Agreement is
         fully authorized by each of them; that the person or persons executing
         this Agreement has necessary and appropriate authority to do so; that
         there are no pending agreements, transactions or negotiations to which
         either of them are a party that would render this Agreement or any part
         thereof void, voidable or unenforceable; and that no authorization,
         consent or approval of any government entity is required to make this
         Agreement valid and binding upon them.

(c)      Retrocessionaire and Retrocedant each expressly covenant and represent
         that they may have claims against each other of which they are
         presently unaware and agree that this Agreement is intended to and does
         extend to all claims each may have against the other,

<PAGE>

         whether known or unknown, arising from the Contract.

(d)      This Agreement may be executed and delivered in multiple counterparts,
         each of which, when so executed and delivered shall be an original, but
         such counterparts shall together constitute one and the same instrument
         and Agreement.

(e)      This Agreement contains the entire Agreement between Retrocessionaire
         and Retrocedant as respects its subject matter. All discussions and
         Agreements previously entertained between Retrocessionaire and
         Retrocedant concerning the subject matter of the Agreement are merged
         into this Agreement. This Agreement may not be modified or amended, nor
         any of its provisions waived, except by an instrument in writing,
         signed by the parties hereunder. No such written waiver of any
         provision of this Agreement shall be deemed a waiver of any of its
         other terms, unless explicitly stated therein.

(f)      This Agreement shall be interpreted under and governed by the
         substantive laws of New York without regard to any conflict of laws
         rules.

(g)      Retrocessionaire and Retrocedant each expressly covenant and represent
         that they may have claims against each other of which they are
         presently unaware and agree that this Agreement is intended to and does
         extend to all claims each may have against the other, whether known or
         unknown, arising from the Contract.

         IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their duly authorized representatives as of the date first above
written.

                                    PLATINUM UNDERWRITERS REINSURANCE, INC.

                                    By: /s/ Man-gyu Hur
                                        ---------------
                                        Name: Man-gyu Hur
                                        Title: Vice President

                                    MOUNTAIN RIDGE INSURANCE COMPANY

                                    By: /s/ W. Mark Wigmore
                                        --------------------
                                        Name: W. Mark Wigmore
                                        Title: President

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00055-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00055-of-00352.parquet"}]]