Common use of SELF ADMINISTRATION Clause in Contracts

SELF ADMINISTRATION. A. The Ceding Company will administer the records for the reinsurance ceded to the Reinsurer under this agreement. The Ceding Company will furnish monthly statements to the Reinsurer which contain the following information: 1. A list of all premiums due for the current month, identifying each policy and explaining the reasons for each premium payment. 2. Premium subtotals adequate for the Reinsurer to use for its premium accounting including first year, renewal year, automatic and facultative totals. 3. A list of new business, terminations and changes for the current month. For new business and changes, the Ceding Company must identify the reinsurance agreement and provide information adequate for the Reinsurer to establish reserves, check retention limits and check premium calculations. 4. Totals for inforce, new business, changes and each type of termination, as of the end of the month. "Totals" refer to the number of policies reinsured and the net amount at risk reinsured. For bordereau business see sample Policy Exhibit in Exhibit F. In addition, the Ceding Company must provide the Reinsurer with an inforce listing of reinsured business at least once a year. This inforce listing must contain information adequate for the Reinsurer to audit its inforce records. (See Exhibit E.) B. If the Ceding Company chooses to report its reinsurance transactions via electronic media, the Ceding Company shall consult with the Reinsurer to determine the appropriate reporting format. Should the Ceding Company subsequently desire to make changes in the data format or the code structure, the Ceding Company shall communicate such changes to the Reinsurer prior to the use of such changes in reports to the Reinsurer. C. The monthly statements shall be furnished to the Reinsurer within thirty days following the close of each month and will be accompanied by payment of any net amount due the Reinsurer. All premiums not paid within thirty (30) days of the due date, defined as each policy’s 12-month anniversary, will be in default.

SELF ADMINISTRATION. A. The Ceding Company CEDING COMPANY will administer the records for the reinsurance ceded to the Reinsurer REINSURER under this agreement. The Ceding Company CEDING COMPANY will furnish monthly statements to the Reinsurer REINSURER, which contain the following information: 1. A list of all premiums due for the current month, identifying each policy and explaining the reasons for each premium payment. 2. Premium subtotals adequate for the Reinsurer REINSURER to use for its premium accounting including first year, renewal year, automatic and facultative totals. 3. A list of new business, terminations and changes for the current month. For new business and changes, the Ceding Company CEDING COMPANY must identify the reinsurance agreement and provide information adequate for the Reinsurer REINSURER to establish reserves, check retention limits and check premium calculations. 4. Totals for inforcein force, new business, changes and each type of termination, as of the end of the month. "Totals" refer to the number of policies reinsured and the net amount at risk reinsured. For bordereau business see sample Sample Policy Exhibit in Exhibit F. In addition, the Ceding Company CEDING COMPANY must provide the Reinsurer REINSURER with an inforce in force listing of reinsured business at least once a year. This inforce in force listing must contain information adequate for the Reinsurer REINSURER to audit its inforce in force records. (See Exhibit E.) B. If the Ceding Company CEDING COMPANY chooses to report its reinsurance transactions via electronic media, the Ceding Company CEDING COMPANY shall consult with the Reinsurer REINSURER to determine the appropriate reporting format. Should the Ceding Company CEDING COMPANY subsequently desire to make changes in the data format or the code structure, the Ceding Company CEDING COMPANY shall communicate such changes to the Reinsurer REINSURER prior to the use of such changes in reports to the ReinsurerREINSURER. C. The monthly statements shall be furnished to the Reinsurer REINSURER within thirty days following the close of each month and will be accompanied by payment of any net amount due the ReinsurerREINSURER. All premiums not paid within thirty (30) days of the due date, defined as each policy’s 's 12-month anniversary, will be in default. D. Premiums are payable annually in advance. E. The REINSURER reserves the right to charge interest at the Prime Rate plus 2% as stated in the Wall Street Journal on January 1 prior to the due date of the premium when: 1. Renewal premiums are not paid within sixty (60) days of the due date. 2. Premiums for new business are not paid within one hundred twenty (120) days of the date the policy is issued except if the policy has been backdated to save age. F. The REINSURER will have the right to terminate this Agreement when premiums are in default by giving ninety (90) days written notice of termination to the CEDING COMPANY. As of the close of the last day of this ninety (90) day notice period, the REINSURER'S liability for all risks reinsured under this agreement will terminate. The first day of the ninety (90) day notice of termination, resulting from default as described in Section C of this Article, will be the day the notice is received in the mail by the CEDING COMPANY or if the mail is not used, the day it is delivered to the CEDING COMPANY. If all premiums in default are received within the ninety (90) day time period, the Agreement will remain in effect.

SELF ADMINISTRATION. A. The Ceding Company CEDING COMPANY will administer the records for the reinsurance ceded to the Reinsurer REINSURER under this agreement. The Ceding Company CEDING COMPANY will furnish monthly statements to the Reinsurer REINSURER which contain the following information: 1. A list of all premiums due for the current month, identifying each policy certificate and explaining the reasons for each premium payment. 2. Premium subtotals adequate for the Reinsurer REINSURER to use for its premium accounting including first year, renewal year, automatic and facultative totals. 3. A list of new New business, terminations and changes for the current monthmonth will be identified on the billing report. For new business and changes, the Ceding Company CEDING COMPANY must identify the reinsurance agreement and provide information adequate for the Reinsurer REINSURER to establish reserves, check retention limits and check premium calculations. 4. Totals for inforce, new business, changes and each type of termination, as of the end of the month. "“Totals" ” refer to the number of policies certificates reinsured and the net amount at risk reinsured. For bordereau business see See sample Policy Certificate Exhibit in Exhibit F. In addition, the Ceding Company CEDING COMPANY must provide the Reinsurer REINSURER with an inforce listing of reinsured business at least once a year. This inforce listing must contain information adequate for the Reinsurer REINSURER to audit its inforce records. (See Exhibit E.) B. If the Ceding Company CEDING COMPANY chooses to report its reinsurance transactions via electronic media, the Ceding Company CEDING COMPANY shall consult with the Reinsurer REINSURER to determine the appropriate reporting format. Should the Ceding Company CEDING COMPANY subsequently desire to make changes in the data format or the code structure, the Ceding Company CEDING COMPANY shall communicate such changes to the Reinsurer REINSURER prior to the use of such changes in reports to the ReinsurerREINSURER. C. The monthly statements shall be furnished to the Reinsurer REINSURER within thirty sixty days following the close of each month and will be accompanied by payment of any net amount due the ReinsurerREINSURER. All premiums not paid within thirty (30( ) days of the due date, defined as each policycertificate’s 12-month anniversary, will be in default. D. Premiums are payable annually in advance on a variable net risk method. E. The REINSURER reserves the right to charge interest at the Prime Rate plus % as stated in the Wall Street Journal on January 1 prior to the due date of the premium from the date when: 1. Renewal premiums are not paid within ( ) days of the due date. 2. Premiums for new business are not paid within ( ) days of the date the certificate is issued. F. The REINSURER will have the right to terminate this Agreement for those certificates where premiums are in default by giving ( ) days written notice of termination to the CEDING COMPANY. As of the close of the last day of this ( ) day notice period, the REINSURER’S liability for all risks for which premiums are in default which are reinsured under this agreement will terminate. The first day of the ( ) day notice of the termination period, resulting from default as described in Section C of this Article, will be the day the notice is received in the mail by the CEDING COMPANY or if the mail is not used, the day it is delivered to the CEDING COMPANY. If all premiums in default are received within the ( ) day time period, the Agreement will remain in effect. G. Payments between the CEDING COMPANY and the REINSURER may be paid net of any amount due and unpaid under all reinsurance agreements between both parties.

SELF ADMINISTRATION. A. The Ceding Company CEDING COMPANY will administer the records for the reinsurance ceded to the Reinsurer REINSURER under this agreementAgreement. The Ceding Company CEDING COMPANY will furnish monthly statements to the Reinsurer REINSURER which contain the following information: 1. : A list of all premiums due for the current month, identifying each policy and explaining the reasons for each premium payment. 2. Premium subtotals adequate for the Reinsurer REINSURER to use for its premium accounting including first year, renewal year, automatic and facultative totals. 3accounting. A list of new business, terminations and changes for the current month. For new business and changes, the Ceding Company CEDING COMPANY must identify the reinsurance agreement this Agreement and provide information adequate for the Reinsurer REINSURER to establish reserves, check retention limits and check premium calculations. 4. Totals for inforce, new business, changes and each type of termination, as of the end of the month. "Totals" refer to the number of policies cessions reinsured and the net amount at risk reinsured. For bordereau business see sample See Sample Policy Exhibit in (Exhibit F. F). In addition, the Ceding Company CEDING COMPANY must provide the Reinsurer REINSURER with an inforce listing of reinsured business at least once a year. This inforce listing must contain information adequate for the Reinsurer REINSURER to audit its inforce records. (See Exhibit E.) B. ) If the Ceding Company CEDING COMPANY chooses to report its reinsurance transactions via electronic media, the Ceding Company CEDING COMPANY shall consult with the Reinsurer REINSURER to determine the appropriate reporting format. Should the Ceding Company CEDING COMPANY subsequently desire to make changes in the data format or the code structure, the Ceding Company CEDING COMPANY shall communicate such changes to the Reinsurer REINSURER prior to the use of such changes in reports to the Reinsurer. C. REINSURER. The monthly statements shall be furnished to the Reinsurer REINSURER within thirty sixty (60) days following the close of each month and will be accompanied by payment of any net amount due the ReinsurerREINSURER. The premium will be considered due on the sixtieth (60th) day following the close of each month. If the amounts cannot be determined by the dates described above, on an exact basis, such payments shall be paid in accordance with a mutually agreed upon formula which will approximate the actual payments. Adjustments will then be made to reflect actual amounts when they become available. Interest computed as described below will be accrued on such adjustments from the premium due date to the date of such adjustment. The party receiving payment in cash pursuant to such adjustment will receive the interest computed thereon from the other party. All payments shall be made within seven (7) business days after the adjustment is made or determined as evidenced by a writing from one party to the other. Initial and renewal premiums are payable monthly in arrears. The REINSURER reserves the right to charge interest at an annual rate of 8%, calculated from the due date, when initial and renewal premiums are not paid within thirty (30) days of the due date. If reinsurance premiums are unpaid on the due date, the premiums will be considered in default and the REINSURER will have the right to terminate this Agreement giving thirty (30) days written notice of termination to the CEDING COMPANY. As of the close of the last day of this thirty (30) day notice period, the REINSURER's liability for all risks reinsured under this Agreement will terminate. The first day of the thirty (30) day notice period will be the day the notice is received in the mail by the CEDING COMPANY or if the mail is not used, the day it is delivered to the CEDING COMPANY. If all premiums in default are received within the thirty (30) day notice period, this Agreement will remain in effect. The CEDING COMPANY agrees that it will not force termination under the provisions of this paragraph solely to transfer the risks reinsured to another reinsurer. If the CEDING COMPANY overpays a reinsurance premium and the REINSURER accepts the overpayment, the REINSURER's acceptance will not constitute nor create a reinsurance liability nor result in any additional reinsurance. Instead, the REINSURER will be liable to the CEDING COMPANY for a credit in the amount of the overpayment, without interest. If the CEDING COMPANY fails to make a full premium payment for a policy or policies reinsured hereunder, due to an error or omission as defined below in Article 6, the amount of reinsurance coverage provided by the REINSURER shall not be reduced. However, once the underpayment is discovered, the CEDING COMPANY will be required to pay to the REINSURER the difference between the full premium amount and the amount actually paid, without interest. If payment of the full premium is not made within sixty (60) days after the discovery of the underpayment, the underpayment shall be treated as each policy’s 12-month anniversarya failure to pay premiums and subject to the conditions of paragraph G above. If misrepresentation or misstatement on an application or a death of an insured by suicide results in the CEDING COMPANY returning the policy premiums to the policyowner rather than paying the policy benefits, the REINSURER will refund all of the reinsurance premiums it received on that policy to the CEDING COMPANY, without interest. This refund given by the REINSURER will be in defaultlieu of all other reinsurance benefits payable on that policy under this Agreement.

SELF ADMINISTRATION. A. The Ceding Company CEDING COMPANY will administer the records for the reinsurance ceded to the Reinsurer REINSURER under this agreementAgreement. The Ceding Company CEDING COMPANY will furnish monthly quarterly statements to the Reinsurer REINSURER which contain the following information: 1. : A list of all premiums due for the current monthquarter, identifying each policy and explaining the reasons for each premium payment. 2. Premium subtotals adequate for the Reinsurer REINSURER to use for its premium accounting including first year, renewal year, automatic and facultative totals. 3. A list of new business, terminations and changes for the current monthquarter. For new business and changes, the Ceding Company CEDING COMPANY must identify the this reinsurance agreement Agreement and provide information adequate for the Reinsurer REINSURER to establish reserves, check retention limits and check premium calculations. 4. Totals for inforce, new business, changes and each type of termination, as of the end of the monthquarter. "Totals" refer to the number of policies cessions reinsured and the net amount at risk reinsured. For bordereau business see sample Policy Exhibit in Exhibit F. First Year and Renewal quarterly premiums past the initial inforce quarter will be reported and paid within the first month of each calendar quarter. In addition, the Ceding Company CEDING COMPANY must provide the Reinsurer REINSURER with an inforce listing of reinsured business at least once a year. This inforce listing must contain information adequate for the Reinsurer REINSURER to audit its inforce records. (See Exhibit E.) B. ) If the Ceding Company CEDING COMPANY chooses to report its reinsurance transactions via electronic media, the Ceding Company CEDING COMPANY shall consult with the Reinsurer REINSURER to determine the appropriate reporting format. Should the Ceding Company CEDING COMPANY subsequently desire to make changes in the data format or the code structure, the Ceding Company CEDING COMPANY shall communicate such changes to the Reinsurer REINSURER prior to the use of such changes in reports to the Reinsurer. C. REINSURER. The monthly quarterly statements shall be furnished to the Reinsurer REINSURER within thirty days following the close of each month quarter and will be accompanied by payment of any net amount due the ReinsurerREINSURER. All premiums not paid within thirty (30) days of the due date, defined for first year and renewal premiums past the initial inforce quarter as the end of the first month of each policy’s 12-calendar quarter and for all other premiums as the end of the month anniversaryin which the inforce begins or terminates, will be in default. Premiums are payable quarterly in arrears.