**(The Attaching Clause need be completed only when this endorsement is issued subsequent to preparation of the policy.)**

**GU 207 (6-78)**

**ENDORSEMENT 2**

This endorsement, effective on May 21, 1995 at 12:01 A.M. standard time, forms a part of Policy No. NEA 0109021 of the Reliance Insurance Company.

**Issued to International Business Machines Corporation**

**NOTICE: THESE POLICY FORMS AND APPLICABLE RATES ARE EXEMPT FROM THE FILING REQUIREMENTS OF THE NEW YORK STATE INSURANCE DEPARTMENT. HOWEVER, SUCH FORMS AND RATES MUST MEET THE MINIMUM STANDARDS OF THE NEW YORK INSURANCE LAW AND REGULATIONS.**

**Authorized Representative**

It is hereby understood and agreed Section VIII. General Conditions Sub-Section D is deleted in its entirety and replaced as follows:

**D. Cancellation**

The Insured may cancel this policy by delivering the policy to the Company or to any of its authorized agents, or by sending the Company written notice stating when in the future cancellation will take effect. The Company may cancel this policy by mailing written notice of cancellation to the insured first named in the Declarations. The effective date of cancellation will be at least:

1. ten (10) days after the date of mailing if the Company cancels for nonpayment of premium when due; or
2. sixty (60) days if the Company cancels for any other reason.

The Company will mail notice of cancellation to the insured's last known mailing address. Notice of cancellation will state the effective date of cancellation. The policy period will end on that date. Proof of mailing will be sufficient proof of notice.

If the policy is cancelled, the Company will send to the insured first named in the Declarations any premium refund due. If the Company cancels, the refund will be pro rata. If the insured cancels, the refund may be less than pro rata. The cancellation will be effective even if the Company has not made or offered a refund.

All other terms and conditions of this policy remain unchanged.