HOMEOWNERS CHOICE, INC.
2007 Stock Option and Incentive Plan
The purpose of this 2007 Stock Option and Incentive Plan (the “ Plan ”) of Homeowners Choice, Inc. (the “ Company ”) is
to provide stock options and other equity interests in the Company (each an “ Award ”) to employees, officers, directors,
consultants and advisors of the Company and its Subsidiaries, all of whom are eligible to receive Awards under the Plan. Any
person to whom an Award has been granted under the Plan is called a “ Participant ”. Additional definitions are contained in
a. Administration by Board of Directors . The Plan will be administered by the Board of Directors of the Company (the
“ Board ”). The Board, in its sole discretion, shall have the authority to grant and amend Awards, to adopt, amend and
repeal rules relating to the Plan and to interpret and correct the provisions of the Plan and any Award. All decisions by the
Board shall be final and binding on all interested persons. Neither the Company nor any member of the Board shall be
liable for any action or determination relating to the Plan.
b. Appointment of Committees . To the extent permitted by applicable law, the Board may delegate any or all of its
powers under the Plan to one or more committees or subcommittees of the Board (a “ Committee ”). All references in the
Plan to the “ Board ” shall mean such Committee or the Board.
c. Delegation to Executive Officers . To the extent permitted by applicable law, the Board may delegate to one or more
executive officers of the Company the power to grant Awards and exercise such other powers under the Plan as the Board
may determine , provided that the Board shall fix the maximum number of Awards to be granted and the maximum number
of shares issuable to any one Participant pursuant to Awards granted by such executive officers.
a. Number of Shares . Subject to adjustment under Section 3(b), the aggregate number of shares of Common Stock of
the Company (the “ Common Sto