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<br />NOTICE-DISCLOSURE OF TERRORISM PREMIUM <br /> <br />The Terrorism Risk Insurance Act of 2002 establishes a program within the Department <br />of the Treasury, under which the federal government shares, with the insurance industry, <br />the risk of loss from future terrorist attacks. The Act applies when the Secretary of the <br />Treasury certifies that an event meets the definition of an Act of Terrorism. The Act <br />provides that, to be certified, an Act of Terrorism must cause losses of at least five <br />million dollars and must have been committed by an individual or individuals acting on <br />behalf of any foreign person or foreign interest to coerce the government or population of <br />the United States. <br /> <br />In accordance with the Terrorism Risk Insurance Act of 2002, we are providing this <br />disclosure notice for all bonds on which Great American Insurance Company, its <br />affiliates (including, but not limited to Great American Alliance Insurance Company, <br />Great American Insurance Company of New York and Great American Assurance <br />Insurance Company) is the surety. <br /> <br />The United States Government, Department of the Treasury, will pay a share of terrorism <br />losses insured under the tenns of the Act. The federal share equals 90% of that portion of <br />the amount of such insured losses that exceeds the applicable insurer retention. <br /> <br />This Coverage PartJPolicy covers certain losses caused by terrorism. In accordance with <br />the Federal Terrorism Risk Insurance Act of2002, we are required to provide you with a <br />notice disclosing the portion of your premium, if any, attributable to the coverage arising <br />trom losses for Terrorist Acts Certified under that Act. <br /> <br />The portion of your annual premium that is attributable to coverage for Terrorist Acts <br />Certified under the Act is : $:00. <br />