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(5) Failure by you or your representative to implement reasonable loss control requirements, agreed <br />to by you as a condition of policy issuance, or which were conditions precedent to our use of a <br />particular rate or rating plan, if that failure materially increases any of the risks insured against. <br />(6) A determination by the Commissioner of Insurance that the: <br />(a) Loss of, or changes in, our reinsurance covering all or part of the risk would threaten our <br />financial integrity or solvency; or <br />(b) Continuation of the policy coverage would: <br />(i) Place us in violation of California law or the laws of the state where we are domiciled; <br />or <br />(ii) Threaten our solvency <br />(7) A change by you or your representative in the activities or property of the commercial or industrial <br />enterprise, which results in a materially added, increased or changed risk, unless the added, <br />increased or changed risk is included in the policy. <br />b. We will mail or deliver advance written notice of cancellation, stating the reason for cancellation, to the <br />first Named Insured, at the mailing address shown in the policy, and to the producer of record, at least: <br />(1) , 10 days before the effective date of cancellation if we cancel for a reason listed in Paragraph <br />3.a.(1) or 3.a.(2); or <br />(2) 30 days before the effective date of cancellation if we cancel for any other reason listed in <br />Paragraph 3.a. <br />B. The following is added and supersedes any provisions to the contrary: <br />NONRENEWAL <br />If we elect not to renew this policy, we will mail or deliver written notice stating the reason for nonrenewal to the <br />first Named Insured shown in the Declarations and to the producer of record, at least 60 days, but not more than <br />120 days, before the expiration or anniversary date. <br />We will mail or deliver our notice to the first Named Insured, and to the producer of record, at the mailing address <br />shown in the policy. <br />S 1 603-EO (9198) 2 of 2 <br />