# Memorandum of Facultative Reinsurance Agreement

**Date:** 6-26-86  
**Received:** JUL 01 1986  

**To:** Commonwealth Assoc  
**79 Milk St**  
**Boston, MA 02109**  
**Attn: H. Franken**

**From:** Casualty H.O. Dept.  
**Lexington Insurance Co.**  
**100 Summer Street**  
**Boston, Mass. 02110**  
**Underwriter:** Tom Ciardello

**Authorization for 90 Days:** ☐  
**Binding:** ☐  
**From:** 5-21-86  
**To:** 5-21-87  

**This confirms your:**
- **Original Insured:** J.B.M.
- **Coverage Provided:** Excess Uab.
- **Original Limit(s) Provided:** LOMAA X's 80% X's Prim/SIR
- **Companies Net and Treaty Retention:** STAMA P/O LOMAA X's 80% X's P/SIR
- **Your Participation:** Pro Rata ☐ 500,000 P/O LOMAA X's 80% X's P/SIR
- **Excess:** ☐
- **Deductions from Premiums Ceded:** 22.5%
- **Premium Gross:** $5,000  
- **Your:** $4250  

**Remarks:** per telex of 6-23-86  

**Received:** JUL -7 1986  
**Tom Ciardello**

**Cancellation Provisions:**
It is hereby understood and agreed that any other terms or provisions of Assuming Company regarding cancellation of its above described reinsurance to the contrary notwithstanding, said reinsurance may not be cancelled by Assuming Company unless it gives Ceding Company written notice for a period at least equal to the cancellation notice requirement of Ceding Company in its policy or contract or as required of Ceding Company by any applicable statute or regulation, plus thirty (30) days, stating when thereafter such reinsurance cancellation is to be effective. Provided, however, in the event of cancellation by Assuming Company for non-payment of premium, the aforesaid additional thirty (30) day period shall be ten (10) days.

**Signed and Accepted by:**  
**On behalf of (Name of Assuming Company):** Commonwealth Associates  
**Date:** 6/30/86  

**CC 1230A**  
**Please sign and return to sender**