Common use of Capitalization Rate Clause in Contracts

Capitalization Rate. For purposes of this Agreement, the Capitalization Rate equals 7.7 percent. However, in the event that the federal DAC tax capitalization rate applicable to individual life insurance policies changes, the Capitalization Rate will change accordingly.

Appears in 2 contracts

Sources: Reinsurance Agreement, Reinsurance Agreement (Pacific Select Exec Separate Acct Pacific Life Ins)