RLI CORP — Director's Dealing 2011

Feb 1, 2011

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: RLI CORP (RLI)
CIK: 0000084246
Period of Report: 2011-01-31

Reporting Person: LENROW GERALD I (Director)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2011-01-31	Common Stock	M	1800	$20.51	Acquired	8838.605	Direct
2011-01-31	Common Stock	F	686	$53.87	Disposed	8152.605	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2011-01-31	Stock Option	$20.51	M	1800	Disposed	2013-02-03	Common Stock (1800)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	56381.1848	Indirect
Common Stock	1156.554	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Stock Option	$33.39	2014-02-02	Common Stock (3600)	3600	Direct

Footnotes

F1: Ownership reflects dividend reinvestment.

F2: Stock Option grant price adjusted to reflect $7 RLI extraordinary dividend paid 12/29/10.