Item 1.01. Entry into a Material Definitive Agreement.

On January 11, 2022, Crusader Insurance Company ("Crusader"), a subsidiary of Unico American Corporation, entered into a sublease agreement (the "Lease") with Western General Insurance Company, in Liquidation, a California corporation ("Western General") for the lease of approximately 4,199 rentable square feet of office space located at 5230 Las Virgenes Road, Suite 100, Calabasas, CA 91302 (the "Premises"). The Lease is subject and subordinate to that certain Office Lease by and between Western General and Colorado Capital Calabasas LLC, a Delaware limited liability Company, dated August 1, 2021. Crusader intends to use the Premises for its new corporate headquarters.

The term of the Lease is expected to commence on February 1, 2022 (the "Commencement Date") and will terminate January 31, 2023, unless earlier terminated pursuant to the terms of the Lease.

Beginning on the Commencement Date, Crusader is obligated to make monthly rent payments in an amount of $10,539.49. In addition, Crusader is obligated to pay Western General its proportionate share, 5.45%, of operating expenses. Crusader was also required to deliver to Western General an initial payment of $20,539.49, $10,000 of which is held by Western General as a security deposit.

The foregoing description of the Lease does not purport to be complete and is qualified in its entirety by reference to the full and complete terms of the Lease, a copy of which is filed as Exhibit 10.1 hereto and incorporated herein by reference.

Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

The information in Item 1.01 above with respect to the Lease is incorporated by reference into this Item 2.03.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits. The following exhibit is being filed herewith.





Exhibit
Number      Description
  Exhibit     Sublease Agreement by and between Western General Insurance Company,
10.1        in Liquidation and Crusader Insurance Company





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