RLI enters into $100 million revolver with term ending in 2026

By Wendy Van Sickle

Columbus, Ohio, April 3 – RLI Corp. entered into a credit agreement on March 30 with PNC Bank, NA as lender that provides for an unsecured $100 million revolving credit facility with a termination date of May 29, 2026.

The revolver replaces a previous credit agreement that had expired, according to an 8-K filed with the Securities and Exchange Commission.

Borrowings bear interest at adjusted term SOFR plus a margin ranging from 150 basis points to 200 bps, and the fee on the average daily unused portion ranges from 20 bps to 30 bps, both depending on the company’s leverage ratio.

The company must maintain a leverage ratio of no more than 0.35 to 1.0 and comply with consolidated net worth requirements.

Proceeds may be used for working capital and other general corporate purposes.

RLI is a Peoria, Ill., property and casualty insurance company.

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