Capital Adequacy (E) Task Force
March 30, 2008

The Capital Adequacy (E) Task Force met on Sunday, March 30, 2008.

During this meeting, the Task Force:

• Received the March 25, 2008, conference call minutes where the 2008 Task Force working agenda was discussed .

• Adopted the Feb. 20, 2008, conference call minutes which included the adoption of the P/C and Health securities lending proposals and a blanks proposal to modify the annual statement general interrogatories for securities lending.

• Received the March 4, 2008, conference call minutes of the Life Risk-Based Capital (E) Working Group. The 2008 working agenda had been discussed. An update on C-3 Phase III had been received from the American Academy of Actuaries (AAA). Implementation of C-3 Phase III was expected for year-end 2009 Life RBC.

• Adopted the minutes of a March 24, 2008, conference call held by the Property Risk-Based Capital (E) Working Group. In that call, an AAA report on revising the underwriting risk factors was adopted for further consideration by the Task Force and the 2008 working agenda was discussed. The Working Group also received an update regarding activities of the Catastrophe Risk Subgroup.

• Released for a 30 day comment period the AAA report on revising the underwriting factors received from the Property Risk-Based Capital Working Group.

• Received the March 5, 2008, minutes of the Health Risk-Based Capital (E) Working Group. The health RBC trend test had been discussed. Completion of the trend test project was expected in 2008, but implementation of a proposal may not occur until after year-end 2008 RBC. The Working Group had also discussed the other working agenda items for the Working Group.

• Released for a 21 day comment period a proposal from the Authorized Reinsurance Collateral Subgroup for year-end 2008 Life RBC. In the future, the Task Force may consider an issue regarding the receipt of RBC credit for reinsurance that is broader than the issue currently under consideration by the Subgroup.

• The Task Force adopted the 2008 Task Force working agenda. The C-3 Phase II Results Subgroup and the LHATF/CADTF Joint Subgroup were combined into one subgroup. The agenda items for the Principles-Based Reserving (EX) Working Group were combined into one item, but the timeline document from the Reserving Working Group which contains several items for the Task Force to address will be included as part of the working agenda.

Action Items:

1. Received the March 25, 2008, conference call minutes.
2. Adopted the Feb. 20, 2008 conference call minutes.
3. Received the March 4, 2008, Life RBC Working Group minutes.
4. Adopted the March 24, 2008, Property RBC Working Group minutes.
5. Released for a comment period of 30 days the March 2008 AAA underwriting risk factor report for P/C RBC.
6. Received the March 5, 2008, Health RBC Working Group minutes.
7. Released for a comment period of 21 days the life RBC Authorized Reinsurance Collateral Subgroup proposal.
8. Adopted the 2008 Task Force working agenda.