Common use of Modified Coinsurance Clause in Contracts

Modified Coinsurance. Subject to the terms and conditions of this Agreement, as of the Effective Time, the Cedant hereby cedes on a modified coinsurance basis to the Reinsurer, and the Reinsurer hereby accepts and agrees to assume and reinsure on a modified coinsurance basis, (a) the Non-NY Reinsured Liabilities, and (b) the NY Reinsured Liabilities, in each case, in the Reinsurer’s Quota Share specified for each of the Non-NY Reinsured Liabilities and NY Reinsured Liabilities in the definition thereof; provided, that, any Reinsured Liabilities incurred prior to the Effective Time shall be excluded from the reinsurance hereunder, including losses in respect of incurred but not reported (IBNR) claims and claims in the course of settlement (ICOS). For the avoidance of doubt, for purposes of the reinsurance provided under this Agreement, (i) Current Third Party Reinsurance Contracts shall be deemed to continue in place throughout the term of this Agreement on the terms set forth in Schedule 1.1(d) hereof, without regard to any modifications or amendments of the terms thereof, or termination or recapture with respect thereto, and (ii) the Reinsurer shall not participate in the risks associated with any future rate actions or increases, or non-performance of, any Current Third Party Reinsurance Contracts. The reinsurance effected under this Agreement shall be maintained in force, without reduction, unless such reinsurance effected under this Agreement is terminated as provided herein.

Modified Coinsurance. Subject to the terms and conditions of this Agreement, as of the Effective Time, the Cedant hereby cedes on a modified coinsurance basis to the Reinsurer, and the Reinsurer hereby accepts and agrees to assume and reinsure on a modified coinsurance basis, (a) the Non-NY Reinsured Liabilities, and (b) the NY Reinsured Liabilities, in each case, Liabilities in the Reinsurer’s Quota Share specified for each of the Non-NY Reinsured Liabilities and NY Reinsured Liabilities in the definition thereofShare; provided, that, any Reinsured Liabilities incurred prior to the Effective Time shall be excluded from the reinsurance hereunder, including losses in respect of incurred but not reported (IBNR) claims and claims in the course of settlement (ICOS). For the avoidance of doubt, for purposes of the reinsurance provided under this Agreement, (i) Current Third Party Reinsurance Contracts shall be deemed to continue in place throughout the term of this Agreement on the terms set forth in Schedule 1.1(d) hereof, without regard to any modifications or amendments of the terms thereof, or termination or recapture with respect thereto, and (ii) the Reinsurer shall not participate in the risks associated with any future rate actions or increases, or non-performance of, any Current Third Party Reinsurance Contracts. The reinsurance effected under this Agreement shall be maintained in force, without reduction, unless such reinsurance effected under this Agreement is terminated as provided herein.