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NOTICE: <br />1. THE INSURANCE POLICY THAT YOU HAVE PURCHASED IS <br />BEING ISSUED BY AN INSURER THAT IS NOT LICENSED BY <br />THE STATE OF CALIFORNIA_ THESE COMPANIES ARE CALLED <br />"NONADMITTED" OR "SURPLUS LINE" INSURERS. <br />2. THE INSURER IS NOT SUBJECT TO THE FINANCIAL <br />SOLVENCY REGULATION AND ENFORCEMENT WHICH <br />APPLIES TO CALIFORNIA LICENSED INSURERS. <br />3. THE INSURER DOES NOT PARTICIPATE IN ANY OF THE <br />INSURANCE GUARANTEE FUNDS CREATED BY CALIFORNIA <br />LAW. THEREFORE, THESE FUNDS WILL NOT PAY YOUR <br />CLAIMS OR PROTECT YOUR ASSETS IF THE INSURER <br />BECOMES INSOLVENT AND I5 UNABLE TO MAKE PAYMENTS <br />AS PROMISED. <br />4. CALIFORNIA MAINTAINS A LIST OF ELIGIBLE SURPLUS <br />LINE INSURERS APPROVED BY THE .INSURANCE <br />COMMISSIONER. ASK YOUR AGENT OR BROKER IF THE <br />INSURER IS ON THAT LIST. <br />5. FOR ADDITIONAL INFORMATION ABOUT THE INSURER <br />YOU SHOULD ASK QUESTIONS OF YOUR INSURANCE AGENT, <br />BROKER, OR "SURPLUS LINE" BROKER, OR CONTACT THE <br />CALIFORNIA DEPARTMENT OF INSURANCE AT THE <br />FOLLOWING TOLL-FREE TELEPHONE NUMBER: 1-800-927-4357. <br />6. iF YOU, AS THE APPLICANT, REQUIRED THAT THE <br />INSURANCE POLICY YOU HAVE PURCHASED BE BOUND <br />IMMEDIATELY, EITHER BECAUSE EXISTING COVERAGE WAS <br />GOING TO LAPSE WITHIN TWO BUSINESS DAYS OR BECAUSE <br />YOU WERE REQUIRED TO HAVE COVERAGE WITHIN TWO <br />BUSINESS DAYS, AND YOU DID NOT RECEIVE THIS <br />DISCLOSURE FORM AND A REQUEST FOR YOUR SIGNATURE <br />UNTIL AFTER COVERAGE BECAME EF~~CTIVE, YOU HAVE <br />THE RIGHT TO CANCEL THIS POLICY WITHIN FIVE BUSINESS <br />DAYS OF RECEIVING THIS DISCLOSURE. IF YOU CANCEL <br />COVERAGE, THE PREMIUM WILL BE PRORATED AND ANY <br />BROKER FEE CHARGED FOR THIS INSURANCE WILL BE <br />RETURNED TO YOU. <br />sF 199zzz.z 7~7a oo7a1 D-2 (EFFECTIVE JANUARY 1, 2005 THROUGH DECEMBER 31, 2007) <br />JOHN BIANCARDI <br />LIB"290- dha Complete Equity Mazkets Insurance Agency, Inc. (CASE#OD4407n <br />binders438 <br />