This document consists of one cover page and two pages.
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13G
Under the Securities Exchange Act of 1934
Amendment No. 12
RLI Corp.
Name of Issuer
Common Stock $1.00 Par Value
Title of Class of Securities
749607 10 7
CUSIP NUMBER
____________________
No Fee is being paid with this Statement.
____________________
1) Name of Reporting Person and IRS Identification Number:
RLI Corp. Employee Stock Ownership Plan and Trust ("ESOP")
#37-6146765
2) Check appropriate Box if Member of a Group:
Not applicable
3) SEC use only
4) Place of Organization:
Peoria, Illinois
5) through 10)
As of the date of this Schedule, 1,060,467 shares of RLI
Corp. Common Stock were owned of record by the ESOP. The
right to vote all such Common Stock as well as cash
dividends are passed through to the ESOP participants. All
beneficial interest in such Common Stock is vested in
participants in the ESOP. RLI Corp. and the Trustee
disclaim beneficial ownership in the Common Stock owned by
the ESOP. All dispositions of the Common Stock owned by
the ESOP are made by the Trustee at the direction of RLI
Corp. to vested participants upon termination of employment.
11) Percent of Class Represented by Amount in Row 9:
12.3%
12) Type of Reporting Person:
EP
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Item 1(a) Name of Issuer:
RLI Corp.
Item 1(b) Address of Issuer's Principal Executive Offices:
9025 North Lindbergh Drive, Peoria, IL 61615
Item 2(a) Name of Person Filing:
RLI Corp. Employee Stock Ownership Plan and Trust ("ESOP")
Item 2(b) Address of Principal Business Office:
The ESOP is administered by RLI Corp. The Trustee of
the ESOP is Bank One - Peoria ("Trustee").
Addresses: RLI Corp.
9025 North Lindbergh Drive
Peoria, IL 61615
Bank One - Peoria
124 S.W. Adams
Peoria, IL 61603
Item 2(c) Citizenship:
Organized in Peoria, Illinois
Item 2(d) Title of Class of Securities:
Common Stock $1.00 Par Value
Item 2(e) CUSIP Number:
749607 10 7
Item 3 Eligibility to File Schedule 13G:
Employee Benefit Plan which is subject to the provisions
of the Employee Retirement Income Security Act of 1974.
Item 4 Ownership:
As of December 31, 1997, 1,060,467 shares (12.3%) of RLI
Corp. Common Stock were owned of record by the ESOP. The
right to vote all such Common Stock as well as cash dividends
are passed through to the ESOP participants. All beneficial
interest in such Common Stock is vested in participants in
the ESOP. RLI Corp. and the Trustee disclaim beneficial
ownership in the Common Stock owned by the ESOP. All
dispositions of the Common Stock owned by the ESOP are made
by the Trustee at the direction of RLI Corp. to vested
participants upon termination of employment.
<PAGE>
Item 5 Ownership of Five Percent or Less of a Class:
Not applicable.
Item 6 Ownership of More than Five Percent on Behalf of
Another Person:
Not applicable.
Item 7 Identification and Classification of the Subsidiary
Which Acquired the Security Being Reported on by the
Parent Holding Company:
Not applicable.
Item 8 Identification and Classification of Members of the
Group:
Not applicable.
Item 9 Notice of Dissolution of Group:
Not applicable.
Item 10 Certification:
The undersigned certifies that to the best of her
knowledge and belief, the securities referred to above
were acquired in the ordinary course of business and
were not acquired for the purpose of and do not have
the effect of changing or influencing the control
of the issuer of such securities and were not acquired
in connection with or as a participant in any
transaction having such purposes or effect.
After reasonable inquiry and to the best of my knowledge and
belief, I certify that the information set forth in this statement
is true, complete and correct.
RLI Corp. Employee Stock Ownership Plan and Trust
01/28/98
Date:___________________
/s/ Beth A. York
By:_____________________________________________
Its Trustee
Bank One - Peoria
