Amendment_No_2_to_AON_CSA_dated_July_1_2020

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Aon Proprietary and Confidential 2 Prepared for: <San Leandro> 3. Project Losses Paid. Project losses paid during each fiscal year from 2025/26 through 2026/27. The projected losses paid are the claim disbursements during each fiscal year from 2025/26 through 2026/27, regardless of accident or report date. The amounts are limited to the self-insured retention. 4. Size of Loss Distribution Analysis. Analyze the distribution of losses in various layers. 5. Affirm GASB Statement No. 10. Provide a statement affirming the conclusions of this report are consistent with Governmental Accounting Standards Board (GASB) Statement No. 10. These actuarial services will result in the production of the following deliverables: The conclusions of our work will be in a written report for Client. The report will be designed to be easily understood by non- actuaries. It will contain a technical section with sufficient information to support all conclusions and facilitate future analysis. Project Approach 1. Participate in a discussion with Client to learn about its self-insured program. 2. Submit a written data request to Client. 3. Gather and compile data provided by Client. We will review the data for reasonableness. Anomalies (if any) will be identified. If requested, we can obtain data directly from the claims administration firm(s). 4. Discuss large individual claims with Client. Large claims can have a disproportionate impact upon the actuarial analysis. We want to be certain we fully understand the large claims. 5. Develop estimates of claim costs for 2025/26 and 2026/27. The estimates will be based on Client ’s own data to the extent it is a good predictor of future activity. To the extent Client’s loss data is not a good predictor, our projections will reflect other similar programs with which we are familiar. Based on our experience, we have found that insurance industry statistics are often not applicable to public entities. This is because insurance industry statistics reflect a wide range of diverse risks (public entities are much more homogeneous). Public entities tend to manage claims very carefully. Therefore, reporting and payout patterns differ from insurance industry statistics. For the above reasons, we will apply insurance industry statistics judiciously. Docusign Envelope ID: 5622207C-0656-4914-A354-B2777DE998A0