Common use of Basis of Recapture Clause in Contracts

Basis of Recapture. Recapture will be allowed under this Agreement only in the following circumstances: a) You elect to increase the premium rates shown in Exhibit C, as discussed in Article V (Reinsurance Rates and Payments); or b) We elect to recapture all business reinsured under this Agreement. Policies will be eligible for recapture under paragraph a) above as of the effective date of the rate increase, regardless of issue date. Policies will be eligible for recapture under paragraph b) above when the policy has been in force under this Agreement for the Recapture Period shown in Exhibit C, Section lX Recapture Period, and will be based on the effective date of this Agreement. All recapture will be without penalty.

Basis of Recapture. Recapture will be allowed under this Agreement only in the following circumstances: a) You elect to increase the premium rates shown in Exhibit C, as discussed in Article V (Reinsurance Rates and Payments); or b) We elect to recapture all business reinsured under this Agreement. Policies will be eligible for recapture under paragraph a) above as of the effective date of the rate increase, regardless of issue date. Policies will be eligible for recapture under paragraph b) above when the policy has been in force under this Agreement for the Recapture Period shown in Exhibit C, Section lX IX Recapture Period, and will be based on the effective date of this Agreement. All recapture will be without penalty.