RLI CORP — Director's Dealing 2004

Dec 17, 2004

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: RLI CORP (RLI)
CIK: 0000084246
Period of Report: 2004-12-16

Reporting Person: VIETS ROBERT O (Director)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2004-12-16	Common Stock	M	4000	$9.15	Acquired	17400	Indirect

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2004-12-16	Stock Option	$9.15	M	4000	Disposed	2006-05-02	Common Stock (4000)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	1959.401	Direct
Common Stock	28555.0275	Indirect
Common Stock	4100.947	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Stock Option	$13.95	2007-02-03	Common Stock (1500)	1500	Direct
Stock Option	$16.5938	2009-02-01	Common Stock (3000)	3000	Direct
Stock Option	$19.6	2008-02-02	Common Stock (1500)	1500	Direct
Stock Option	$22.7	2011-02-01	Common Stock (3600)	3600	Direct
Stock Option	$22.75	2012-02-01	Common Stock (1800)	1800	Direct
Stock Option	$27.51	2013-02-03	Common Stock (1800)	1800	Direct
Stock Option	$40.39	2014-02-02	Common Stock (3600)	3600	Direct

Footnotes

F1: Ownership reflects dividend reinvestment.

F2: Ownership reflects dividend reinvestment.