Special Severance Pay Plan: TWIA will provide severance pay and other benefits as set forth below if employment is terminated for a reason other than: retirement, voluntary resignation, disability, misconduct, poor performance, or other reason generally regarded as termination for cause. An employee ‘whose employment is terminated for a reason set forth in the preceding sentence shall not be entitled to severance or other post-termination benefits, unless approved the Board of Directors or General Manager. ‘The amount of pay is based on the base salary rate in effect on the employee's termination date, Severance pay will be paid at the same intervals and on the same dates as compensation of TWIA employees and will not be paid in a lump sum unless the Board approves such payment. To be eligible for this severance program, each person must sign an agreement that he/she will hold TWIA harmless from any lawsuit related to the termination. If no agreement is signed, the person will receive severance outlined in the Employee Handbook Employee Level | Minimum fof | Number of Weeks | Benefits to be Paid Over the Same Years in Job to | of Severance Pay | — Post-termination Period, to the be Eligible for | and Other Benefits Extent Permitted by Law Severance Pay | ‘and Other | Benefits : i Sreeereit Goneral Manager 2 years S2 weeks | COBRA; ouiplacement; continued | life/disablity insurance; 4010) 2 | I pension Director of years [Be weeks COBRA’ outplacement, continued Information lifeldisebility insurance, 4010); Technology; pension | Operations Manager; Controller; Director of Underwriting; Director of Claims; Actuary i Specific Employee: | 2 years Te weeks COBRA; outplaceient, continued Lee Talbert lie/disebiity insurance, 401(k); fiteec pension Approved at 9/14/05 TWIA Board Meeting ‘Texas Windstorm Insurance Association 5700 South MoPac Expressway, Suite 530, Austin, Texas 78749 # P.O, Box 99090, Austin, Texas 78709-9090 912-899-4900/FAX 512-899-4950