Common use of TEACO Premium Clause in Contracts

TEACO Premium. The Company’s TEACO premium shall be calculated based on its share of the mandatory FHCF reimbursement premium. Total TEACO premium shall be calculated based on the assumption that all insurers entering into Reimbursement Contracts also accepted the TEACO option: A. The industry TEACO premium associated with the $3 billion retention option would be equal to 85% of the difference for the coverage between the industry retention level calculated under Section 2l5.555(2)(e), Florida Statutes, and the $3 billion industry TEACO retention level. B. The industry TEACO premium associated with the $4 billion retention option would be equal to 80% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $4 billion industry TEACO retention level. C. The industry TEACO premium associated with the $5 billion retention option would be equal to 75% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $5 billion industry TEACO retention level. 2 FHCF-2009K-1 The TEACO premium shall be due and payable in three installments on August 1, 2009, on October 1, 2009, and on December 1, 2009.

TEACO Premium. The Company’s TEACO premium shall be calculated based on its share of the mandatory FHCF reimbursement premium. Total TEACO premium shall be calculated based on the assumption that all insurers entering into Reimbursement Contracts also accepted the TEACO option: A. The industry TEACO premium associated with the $3 billion retention option would be equal to 85% of the difference for the coverage between the industry retention level calculated under Section 2l5.555(2)(e215.555(2)(e), Florida Statutes, and the $3 billion industry TEACO retention level. B. The industry TEACO premium associated with the $4 billion retention option would be equal to 80% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $4 billion industry TEACO retention level. C. The industry TEACO premium associated with the $5 billion retention option would be equal to 75% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $5 billion industry TEACO retention level. 2 FHCF-2009K-1 The TEACO premium shall be due and payable in three installments on August 1, 20092007, on October 1, 20092007, and on December 1, 20092007.

TEACO Premium. The Company’s TEACO premium shall be calculated based on its share of the mandatory FHCF reimbursement premium. Total TEACO premium shall be calculated based on the assumption that all insurers entering into Reimbursement Contracts also accepted the TEACO option: A. The industry TEACO premium associated with the $3 billion retention option would be equal to 85% of the difference for the coverage between the industry retention level calculated under Section 2l5.555(2)(e215.555(2)(e), Florida Statutes, and the $3 billion industry TEACO retention level. B. The industry TEACO premium associated with the $4 billion retention option would be equal to 80% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $4 billion industry TEACO retention level. C. The industry TEACO premium associated with the $5 billion retention option would be equal to 75% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $5 billion industry TEACO retention level. 2 FHCF-2009K-1 FHCF-2008K-1 The TEACO premium shall be due and payable in three installments on August 1, 20092007, on October 1, 20092007, and on December 1, 20092007.

TEACO Premium. The Company’s TEACO premium shall be calculated based on its share of the mandatory FHCF reimbursement premium. Total TEACO premium shall be calculated based on the assumption that all insurers entering into Reimbursement Contracts also accepted the TEACO option: A. The industry TEACO premium associated with the $3 billion retention option would be equal to 85% of the difference for the coverage between the industry retention level calculated under Section 2l5.555(2)(e215.555(2)(e), Florida Statutes, and the $3 billion industry TEACO retention level. B. The industry TEACO premium associated with the $4 billion retention option would be equal to 80% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $4 billion industry TEACO retention level. C. The industry TEACO premium associated with the $5 billion retention option would be equal to 75% of the difference for the coverage between the industry retention level calculated under Section 215.555(2)(e), Florida Statutes, and the $5 billion industry TEACO retention level. 2 FHCF-2009K-1 Rule 19-8.010, F.A.C. The TEACO premium shall be due and payable in three installments on August 1, 20092007, on October 1, 20092007, and on December 1, 20092007.