# Binder #3901

**May 19, 1987**

## Terms are as follows:

- **Tax Multiplier:** 1.034
- **LCF:** 1.08 applied to total loss limit
- **Basic:** .12 ($960,000)
- **Minimum:** .20 ($1,600,000)
- **Maximum:** 2.15 ($17,200,000)
- **Loss Limit:**
  - $5,000,000 (Auto) allocated loss expense
  - $5,000,000 (GL) applies separately in addition to loss limit.
- **Commission:** 4.9%
- **Standard:** $8,000,000

## Required Letter of Credit:
- $5,600,000

## Required Loss Fund:
- $500,000

## Collected premium in first twelve months is at a commission rate of 40.2%. Commission on audit is 4.9%.

## GL rate: $.578431 per $1,000 of payroll.

## Estimated Payroll:
- $10,200,000,000

## Premium and terms per your revised Option II.

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