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� One Tower Square <br /> Travelers Harlford, CT 06183 <br /> �� <br /> IMFOI�TANT DISCLOSURE NOTICE OF TERRORISM INSURANCE <br /> COVERAGE <br /> On November 26, 2002, President Busr� signed into law the Terrorism <br /> Risk Insurance Act of 2002 (the "Act"). The Act establishes a short-term <br /> program under which the Federal Government will share in the payment <br /> of covered losses caused by certain acts of international t�rrorism. We <br /> are providing you with this notice to inform you of the key features of the <br /> Act, and to let you know what effect, if any, the Act will have on your <br /> premium. <br /> Under the Act, insurers are required to provide coverage for certain <br /> losses caused by international acts of terrorism as defined in the Act. <br /> The Act further provides that the Federal Government will pay a share of <br /> such losses. Specifically, the Federal Government will pay 90% of the <br /> amount of covered losses caused by certain acts of terrorism which is in <br /> excess of Travelers' statutorily established deductible for that year. The <br /> Act also caps the amount of terrorism-related losses for which the <br /> Federai Government or an insurer can be responsib!a at <br /> $100,000,000,000.00, provided that the insurer has met its ded�ctible. <br /> Please note that passage of the Act does not result in any change ir <br /> coverage under the attached policy or band !or the policy or bond being <br /> quoted). Please also note that no separate additional premium charge <br /> has been made for the te��rorism coverage required by the Act. The <br /> premium charge that is allocable to such coverage is inseparable from <br /> and imbedded in your overall premium, and is no more than one percent <br /> of your premium. <br /> BOND NO: 103569959 <br /> EFFECTIVE DATE: �9av 29. zoo3 <br /> �/ <br />