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USD ($)

USD ($) / shares

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   &lt;div style="font-family: 'Times New Roman',Times,serif; margin-left: 0in; "&gt;
   &lt;div align="justify" style="font-size: 10pt; margin-top: 10pt"&gt;&lt;b&gt;Note 6. Lloyd&amp;#8217;s Syndicate 1221&lt;/b&gt;
   &lt;/div&gt;
   &lt;div align="justify" style="font-size: 10pt; margin-top: 10pt"&gt;The Company&amp;#8217;s Lloyd&amp;#8217;s Operations included in the consolidated financial statements represents its&amp;#8217;
   participation in Syndicate 1221. Syndicate 1221&amp;#8217;s stamp capacity is &amp;#163;175&amp;#160;million ($280&amp;#160;million) for
   the 2011 underwriting year compared to &amp;#163;165&amp;#160;million ($256&amp;#160;million) for the 2010 underwriting year.
   Stamp capacity is a measure of the amount of premiums a Lloyd&amp;#8217;s syndicate is authorized to write
   based on a business plan approved by the Council of Lloyd&amp;#8217;s. Syndicate 1221&amp;#8217;s stamp capacity is
   expressed net of commission (as is standard at Lloyd&amp;#8217;s). The Syndicate 1221 premiums recorded in
   the Company&amp;#8217;s financial statements are gross of commission. The Company controlled 100% of
   Syndicate 1221&amp;#8217;s stamp capacity for the 2011 and 2010 underwriting years through its&amp;#8217; wholly-owned
   Lloyd&amp;#8217;s corporate member.
   &lt;/div&gt;
   &lt;div align="justify" style="font-size: 10pt; margin-top: 10pt"&gt;The Company provides letters of credit and posts cash to Lloyd&amp;#8217;s to support its&amp;#8217; participation in
   Syndicate 1221&amp;#8217;s stamp capacity. As of March&amp;#160;31, 2011, the Company had provided letters of credit
   of $132&amp;#160;million and did not have any cash collateral posted. If Syndicate 1221 increases its stamp
   capacity and the Company participates in the additional stamp capacity, or if Lloyd&amp;#8217;s changes the
   capital requirements, the Company may be required to supply additional collateral acceptable to
   Lloyd&amp;#8217;s. If the Company is unwilling or unable to provide additional acceptable collateral, the
   Company will be required to reduce its&amp;#8217; participation in the stamp capacity of Syndicate 1221. The
   letters of credit are provided through a credit facility with a consortium of banks which provides
   the Company with the ability to have letters of credit issued to support Syndicate 1221&amp;#8217;s stamp
   capacity at Lloyd&amp;#8217;s for the 2011 and 2012 underwriting years. The credit facility will expire on
   December&amp;#160;31, 2011. Refer to Note 11, &lt;i&gt;Credit Facility &lt;/i&gt;for additional information. If the
   consortium of banks decides not to renew the credit facility, the Company will need to find
   internal and/or external sources to provide either letters of credit or other collateral in order
   to continue to participate in Syndicate 1221. The credit facility is collateralized by all of the
   common stock of Navigators Insurance Company.
   &lt;/div&gt;
   &lt;/div&gt;
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 -Publisher SEC
 -Name Regulation S-X (SX)
 -Number 210
 -Section 08
 -Paragraph f
 -Article 4

Reference 2: http://www.xbrl.org/2003/role/presentationRef
 -Publisher SEC
 -Name Regulation S-X (SX)
 -Number 210
 -Section 02
 -Paragraph 19, 22
 -Article 5

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