AMENDMENT NO. 1
Loan Agreement Between
Hallmark Financial Services, Inc. and
Dorinco Reinsurance Company
This AMENDMENT to the Loan Agreement ("Agreement"), dated March 10,
1997, by and between Hallmark Financial Services, Inc., ("Borrower") and
Dorinco Reinsurance Company ("Lender"), hereby amends the following
paragraphs to the Agreement as follows:
4. Conditions to this Agreement.
e. Reinsurance Treaty. Borrower shall have caused AH to
offer, for the time period set forth in the table contained in this
paragraph, to reinsure a portion of its Personal Lines Auto Quota Share
Reinsurance with Lender, the form and content of such reinsurance treaty to
be substantially similar to Exhibit D attached to and made a part of this
Agreement, in amounts sufficient to allow for the following schedule of
ceded premiums:
Treaty Years Ceded Premium
07/01/97 to 06/30/99 $ 41,600,000
07/01/99 to 06/30/00 $ 23,328,000
07/01/00 to 06/30/01 $ 25,194,240
07/01/01 to 06/30/02 $ 27,209,779
07/01/02 to 06/30/03 $ 29,386,562
07/01/03 to 06/30/04 $ 31,737,486
-AND-
6. Affirmative Covenants.
o. Reinsurance Treaty. Borrower shall cause AH to continue
to offer, for the time period set forth in the table contained in this
paragraph, to reinsure a portion of its Personal Lines Auto Quota Share
Reinsurance with Lender, the form and content of such reinsurance treaty to
be substantially similar to Exhibit D attached hereto, in amounts
sufficient to allow for the following schedule of ceded premiums:
Treaty Years Ceded Premium
07/01/97 to 06/30/99 $ 41,600,000
07/01/99 to 06/30/00 $ 23,328,000
07/01/00 to 06/30/01 $ 25,194,240
07/01/01 to 06/30/02 $ 27,209,779
07/01/02 to 06/30/03 $ 29,386,562
07/01/03 to 06/30/04 $ 31,737,486
All portions of the Agreement not herein amended shall remain in full
force and effect.
IN WITNESS WHEREOF, Lender and Borrower have executed this Amendment
No. 1 to the Loan Agreement, dated March 10, 1997, and have indicated their
acceptance and incorporation by reference into said Loan Agreement by
signing below.
Borrower:
HALLMARK FINANCIAL SERVICES, INC.
By: _________________________________ Witness:______________________
Title:_______________________________ Title:________________________
Date:________________________________
Lender:
DORINCO REINSURANCE COMPANY
By: _________________________________ Witness:______________________
Title:_______________________________ Title:________________________
Date:________________________________
