Summary of NAVIGATORS GROUP INC

Entry into a Material Definitive Agreement, Creation of a Direct Financial O

Item 1.01. Entry Into A Material Definitive Agreement

On April 3, 2009, the Company entered into a $75 million credit facility agreement entitled "Fourth Amended and Restated Credit Agreement" with JPMorgan Chase Bank, N.A., as Administrative Agent, and a syndicate of lenders. The credit facility is a letter of credit facility. This new credit facility replaced a $200 million credit facility consisting of $180 million letter of credit facility and a $20 million revolving line of credit facility that expired by its terms on March 31, 2009. The credit facility will continue to be used primarily to support the Company's capacity at its Lloyd's of London operations.

The credit facility contains customary covenants for facilities of this type, including restrictions on indebtedness and liens, limitations on mergers, dividends and the sale of assets, and requirements as to maintaining certain consolidated tangible net worth, statutory surplus and other financial ratios. The credit facility also provides for customary events of default, including failure to pay principal, interest or fees when due, failure to comply with covenants, any representation or warranty made by the Company being false in any material respect, default under certain other indebtedness, certain insolvency or receivership events affecting the Company and its subsidiaries, the occurrence of certain material judgments, or a change in control of the Company. The credit facility expires on April 2, 2010. The foregoing description of the credit facility is qualified by reference to the full text of the credit facility, which is attached hereto as Exhibit 10.1.

The Administrative Agent and the Lenders under the credit facility and their respective affiliates have various relationship with the Company and its subsidiaries, including the Administrative Agent acting as trustee for the Company's senior unsecured debt.