|
|
|
|
Document Preview Coinsurance Agreement |
||||
|
|
||||
|
Click "Add to Cart" button to purchase document. |
||||
|
|
||||
|
Title: |
Coinsurance Agreement |
|||
|
Entities: |
Citizens, Inc.; Wells Fargo Bank, NA; Bank of New York; Winstead Sechrest & Minick |
|||
|
Date: |
2004 |
|||
|
Size: |
Preview shows 13KB of 262KB total |
|||
|
Price: |
$99 |
|||
|
ID: |
#1002000 |
|||
|
|
||||
|
||||
|
|
||||
|
Start of Preview |
||||
COINSURANCE REINSURANCE AGREEMENT
between
COMBINED UNDERWRITERS LIFE INSURANCE COMPANY
Austin, Texas
and
TEXAS INTERNATIONAL LIFE INSURANCE COMPANY
Austin, Texas
COINSURANCE AGREEMENT
<PAGE>
TABLE OF CONTENTS
<TABLE>
<CAPTION>
Page
----
<S> <C>
ARTICLE I DEFINITION OF TERMS................................................... 1
1.1. Assumed Policy...................................................... 1
1.2. Assumption Agreement................................................ 1
1.3. Assumption Effective Date........................................... 1
1.4. Closing............................................................. 1
1.5. Closing Date........................................................ 2
1.6. Coinsurance Effective Date.......................................... 2
1.7. Coinsured Policy.................................................... 2
1.8. Excluded Liabilities................................................ 2
1.9. Existing Reinsurance Coverage....................................... 2
1.10. Non-Consenting Policyholder......................................... 2
1.11. Policies............................................................ 2
1.12. Policyholder........................................................ 2
1.13. Producer............................................................ 3
1.14. Producer Agreement.................................................. 3
1.15. Producer Payments................................................... 3
1.16. Purchase Price...................................................... 3
1.17. Required Closing Date Approvals..................................... 3
1.18. Services Agreement.................................................. 3
1.19. Settlement Amount................................................... 3
1.20. Statutory Reserves and Liabilities.................................. 3
1.21. Support Services.................................................... 3
1.22. Taxes............................................................... 3
1.23. Transition Period................................................... 4
1.24. Transition Date..................................................... 4
ARTICLE II BASIS OF COINSURANCE................................................ 4
2.1. Coinsurance......................................................... 4
2.2. Duration of Coinsurance; Recapture.................................. 5
2.3. Parties to Coinsurance.............................................. 5
ARTICLE III CLOSING AND CONSIDERATION.......................................... 5
3.1. Settlement Amount................................................... 5
3.2. Closing............................................................. 6
3.3. Reinsurer Records................................................... 6
ARTICLE IV UNDERTAKINGS OF THE REINSURER FOLLOWING CLOSING..................... 6
4.1. Transition Period................................................... 6
4.2. Premium Payments, Negotiation of Checks............................. 6
4.3. Producer Payments................................................... 6
4.4. Reserves............................................................ 7
4.5. Establishment and Maintenance of Trust Account...................... 7
4.6. Premium Taxes....................................................... 8
4.7. Guaranty Fund Assessments........................................... 8
</TABLE>
i
COINSURANCE REINSURANCE AGREEMENT
<PAGE>
<TABLE>
<S> <C>
4.8. Reports............................................................. 8
4.9. Audit............................................................... 8
ARTICLE V UNDERTAKINGS OF COMPANY FOLLOWING CLOSING............................. 9
5.1. Cooperation......................................................... 9
5.2. Forwarding of Claims and Inquiries.................................. 9
ARTICLE VI INDEMNIFICATION..................................................... 9
6.1. Indemnification by the Company...................................... 9
6.2. Indemnification by the Reinsurer.................................... 9
6.3. Extracontractual Damages............................................ 10
6.4. Indemnification and Arbitration Procedures.......................... 10
6.5. Cooperation......................................................... 10
ARTICLE VII INSOLVENCY.......................................................... 10
7.1. Payment of Benefits under an Insolvency............................. 10
7.2. Required Notice of and Defense against Claims....................... 10
ARTICLE VIII GENERAL PROVISIONS................................................ 11
8.1. Notices............................................................. 11
8.2. Confidentiality..................................................... 11
8.3. Misunderstandings and Oversights.................................... 11
8.4. Reinstatements...................................................... 11
8.5. Entire Agreement.................................................... 11
8.6. Waivers and Amendments.............................................. 12
8.7. No Third Party Beneficiaries........................................ 12
8.8. Assignment.......................................................... 12
8.9. Governing Law....................................................... 12
8.10. Counterparts........................................................ 13
8.11. Severability........................................................ 13
8.12. Exhibits and Paragraph Headings..................................... 12
8.13. Tax Provisions...................................................... 12
</TABLE>
ii
COINSURANCE REINSURANCE AGREEMENT
<PAGE>
COINSURANCE REINSURANCE AGREEMENT
THIS COINSURANCE REINSURANCE AGREEMENT (the "Agreement") dated
as of the date set forth below, is made and entered into by and between COMBINED
UNDERWRITERS LIFE INSURANCE COMPANY, a Texas stock life insurance company
(hereinafter referred to as the "Company") and TEXAS INTERNATIONAL LIFE
INSURANCE COMPANY, a Texas stock life insurance company (hereinafter referred to
as the "Reinsurer").
WHEREAS, the Company is the issuer of certain insurance
Policies (as defined herein), which are identified by policy form number and/or
plan code at SCHEDULE 1.11 hereto; and
WHEREAS, the Company and the Reinsurer have entered into a
certain Agreement for Reinsurance dated of even date herewith (the "Master
Agreement") pursuant to which the Company and the Reinsurer have mutually agreed
to enter into this Agreement under which the Company desires to cede its risks
under the Policies to the Reinsurer on a one hundred percent (100%) quota share
basis, and the Reinsurer desires to provide indemnity reinsurance of such risks
on the terms and conditions stated herein;
NOW, THEREFORE, in consideration of the mutual promises and
covenants set forth herein, and in reliance upon the representations,
warranties, conditions and covenants contained herein and in the Master
Agreement, and intending to be legally bound hereby, the Company and the
Reinsurer hereby agree as follows:
ARTICLE I
DEFINITION OF TERMS
Capitalized terms used and not otherwise defined herein shall
have the meaning given in the Master Agreement. Other capitalized terms used
herein shall have the meaning given below.
1.1. Assumed Policy. Each Coinsured Policy that has been
reinsured and assumed by the Reinsurer pursuant to the terms of the Assumption
Agreement.
1.2. Assumption Agreement. The Assumption Reinsurance
Agreement to be entered into between the Company and the Reinsurer pursuant to
the provisions of Section 2.1 of the Master Agreement.
1.3. Assumption Effective Date. The date upon which any of
the Coinsured Policies are to be assumed by the Reinsurer under the provisions
of the Assumption Agreement.
1.4. Closing. The closing of the transactions contemplated
in Article III of this Agreement, including the payment of the Purchase Price
and the transfer of the Settlement Amount which shall take place at the offices
of the Company, unless the parties agree to close by facsimile transmission and
wire transfer.
1
COINSURANCE REINSURANCE AGREEMENT
<PAGE>
1.5. Closing Date. The date upon which the Closing shall
take place, which shall be not later than the fifth business day following the
receipt of the last of the Required Closing Date Approvals, or at such other
date and time as the parties may mutually agree in writing.
1.6. Coinsurance Effective Date. The date upon which the
coinsurance of the Policies by the Reinsurer under the terms of this Agreement
shall be effective, which shall be 12:01 a.m. Central time, on January 1, 2004.
1.7. Coinsured Policy. Each Policy reinsured by the
Reinsurer under this Agreement; provided, however, that the Reinsurer shall not
accept any liability for or reinsure any Policy that is the subject matter of
pending litigation or an attorney demand letter threatening litigation against
the Company as of the Transition Date. The Reinsurer agrees to reinsure under
this Agreement any Policy that is the subject matter of pending litigation or
any attorney demand letter threatening litigation against the Company on the
Transition Date that has been successfully settled or concluded by the Company
after the Transition Date and which remains in force; provided, however, that
the Company shall use its best efforts to compromise or settle all disputes
involving Policies that are the subject matter of pending litigation or any
attorney demand letter threatening litigation against the Company on the
Transition Date in such a way that such Policies will not remain in force upon
the conclusion or settlement of such disputes.
1.8. Excluded Liabilities. Any claim or liability under,
in connection with or with respect to the Policies (a) subject to Section 4.6 of
this Agreement, for Taxes payable with respect to premiums collected on Policies
in force in all periods prior to the Assumption Effective Date; (b) for "bad
faith", punitive, exemplary or other extra-contractual damages that are based
upon, relate to or arise out of any act, error or omission of the Company or any
of its officers, directors, agents or employees, whether intentional or
|
End of Preview |
Home Intelligence Services Subscriptions News About Us