RLI CORP — Director's Dealing 2004

Sep 9, 2004

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: RLI CORP (RLI)
CIK: 0000084246
Period of Report: 2004-09-08

Reporting Person: SUTKOWSKI EDWARD F (Director)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2004-09-08	Common Stock	X	3750	$9.15	Acquired	96344.1083	Direct
2004-09-08	Common Stock	X	1500	$13.95	Acquired	97844.1083	Direct
2004-09-08	Common Stock	X	3000	$16.5938	Acquired	100844.1083	Direct
2004-09-08	Common Stock	X	1500	$19.6	Acquired	102344.1083	Direct
2004-09-08	Common Stock	X	3600	$22.7	Acquired	105944.1083	Direct
2004-09-08	Common Stock	X	1200	$22.75	Acquired	107144.1083	Direct
2004-09-08	Common Stock	X	600	$27.51	Acquired	107744.1083	Direct
2004-09-08	Common Stock	M	6618	$39.28	Disposed	101126.1083	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2004-09-08	Stock Option	$9.15	X	3750	Disposed	2006-05-02	Common Stock (3750)	Direct
2004-09-08	Stock Option	$13.95	X	1500	Disposed	2007-02-03	Common Stock (1500)	Direct
2004-09-08	Stock Option	$16.5938	X	3000	Disposed	2009-02-01	Common Stock (3000)	Direct
2004-09-08	Stock Option	$19.6	X	1500	Disposed	2008-02-02	Common Stock (1500)	Direct
2004-09-08	Stock Option	$22.7	X	3600	Disposed	2011-02-01	Common Stock (3600)	Direct
2004-09-08	Stock Option	$22.75	X	1200	Disposed	2012-02-01	Common Stock (1200)	Direct
2004-09-08	Stock Option	$27.51	X	600	Disposed	2013-02-03	Common Stock (600)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	70843.8715	Indirect
Common Stock	74078.1245	Indirect
Common Stock	3248.3399	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Stock Option	$40.39	2014-02-02	Common Stock (3600)	3600	Direct

Footnotes

F1: Ownership reflects dividend reinvestment.

F4: Ownership reflects dividend reinvestment.

F3: Ownership reflects dividend reinvestment.

F2: Ownership reflects dividend reinvestment.