X0304 4 2011-11-23 0000084246 RLI CORP RLI 0001354119 Kennedy Daniel O 9025 N. LINDBERGH DRIVE PEORIA IL 61615 1 Vice President General Counsel Common Stock 2011-11-23 4 M 0 2159 46.31 A 7636.724 D Common Stock 2011-11-23 4 M 0 8000 43.15 A 15636.724 D Common Stock 2011-11-23 4 M 0 3088 45.30 A 18724.724 D Common Stock 2011-11-23 4 M 0 7200 49.09 A 25924.724 D Common Stock 2011-11-23 4 M 0 6600 43.00 A 32524.724 D Common Stock 2011-11-23 4 M 0 4120 39.90 A 36644.724 D Common Stock 2011-11-23 4 M 0 1760 49.34 A 38404.724 D Common Stock 2011-11-23 4 F 0 25364 71.8169 D 13040.724 D Common Stock 2629.6372 I By Esop Common Stock 462.5521 I By Executive Deferred Compensation Stock Option 46.31 2011-11-23 4 M 0 2159 0 D 2007-05-04 2016-05-04 Common Stock 2159 0 D Stock Option 43.15 2011-11-23 4 M 0 8000 0 D 2007-05-04 2016-05-04 Common Stock 8000 0 D Stock Option 45.30 2011-11-23 4 M 0 3088 0 D 2007-02-21 2016-02-21 Common Stock 3088 0 D Stock Option 49.09 2011-11-23 4 M 0 7200 0 D 2008-05-03 2017-05-03 Common Stock 7200 1800 D Stock Option 43.00 2011-11-23 4 M 0 6600 0 D 2009-05-01 2018-05-01 Common Stock 6600 4400 D Stock Option 39.90 2011-11-23 4 M 0 4120 0 D 2010-05-07 2017-05-07 Common Stock 4120 6180 D Stock Option 49.34 2011-11-23 4 M 0 1760 0 D 2011-05-06 2018-05-06 Common Stock 1760 7040 D Stock Option 58.73 2012-05-05 2019-05-05 Common Stock 10000 10000 D Ownership reflects dividend reinvestment. Stock Option grant price and number of incentive stock options granted adjusted to reflect $7 RLI extraordinary special dividend paid 12/29/10. Pursuant to option schedule wherein 20% of the aggregate number of shares granted may be exercised commencing one year from grant date and each year thereafter in 20% increments. Stock Option grant price adjusted to reflect $7 RLI extraordinary dividend paid 12/29/10. Shares sold in connection with net exercise of options to fund exercise price and associated taxes, pursuant to a benefit plan registered under Form S-8. Ownership reflects shares allocated to ESOP participant's account and dividend reinvestment. /s/ Daniel O. Kennedy 2011-11-28