1 AMENDMENT TO MANAGEMENT AGREEMENT THIS AMENDMENT amends as of September 25, 1996 the Management Agreement ("Agreement") made May 20, 1991, as amended, by and between Philadelphia Indemnity Insurance Company ("PIIC") and Maguire Insurance Agency, Inc. ("Maguire"). WITNESSETH: WHEREAS, Maguire performs a variety of services for PIIC under the Agreement; WHEREAS, PIIC and Maguire desire to modify certain terms of the Agreement; NOW, THEREFORE, PIIC and Maguire, intending to be legally bound hereby, agree as follows: 1. It is acknowledged that the compensation for services provided by Maguire, beginning in 1994 and for each year thereafter, per "Amendment No. 1 to Management Agreement" were based upon budgeted expenses. To the extent these expenses deviate materially from actual expenses the parties agree to reasonably adjust the compensation. 2. The due date for premium remittance from Maguire to PIIC as stated in Paragraph 2J of the Agreement shall be 90 days after the end of the month for the "All Other Class" of business. 3. The term of the Agreement as stated in Paragraph 8 is extended for an additional five (5) years. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and seals as of the day and year first above written. PHILADELPHIA INDEMNITY INSURANCE COMPANY By: /s/ James J. Maguire -------------------------------------- James J. Maguire, President Attest: /s/ Sean S. Sweeney -------------------------------------- Sean S. Sweeney, Senior Vice President MAGUIRE INSURANCE AGENCY, INC By: /s/ James J. Maguire -------------------------------------- James J. Maguire, President Attest: /s/ Sean S. Sweeney -------------------------------------- Sean S. Sweeney, Senior Vice President