Common use of Conditions of Assumption Clause in Contracts

Conditions of Assumption. A) TWIA shall provide, or has provided, to the Insurer, by electronic data transfer, or by such other means as is acceptable to TWIA, relevant information regarding the Removed Policies. The Insurer understands that TWIA cannot guarantee the reliability and accuracy of this data and the Insurer agrees that Removed Policies will not be cancelled or returned to TWIA upon discovery that this information was not accurate, unless such inaccuracy amounts to a material misrepresentation or fraud on behalf of the insured. B) Insurer warrants and represents that it has: i) Satisfactorily complied with all requirements of the Department for participation in the Program including obtaining approval of policy forms evidencing generally comparable coverage and premiums. ii) Satisfactorily complied with all requirements of TWIA for participation in the Assumption, including but not limited to the Assumption Procedures and securing approval from the current agent to assume each Removed Policy, as set forth in the Assumption Procedures. iii) Appointed the agents of record or has entered into a limited servicing agreement with the agents authorizing such agents of record to service the Removed Policies and that policies will be written under the agent’s prevailing terms, conditions and commissions. C) Insurer agrees to offer a renewal policy to the policyholder of a Removed Policy for each of the next three years subject to Insurer’s filed rate and underwriting guidelines, offering generally comparable coverage and generally comparable premiums. D) The Insurer agrees that no bonus, incentive plan, or consideration beyond the Assumed Premium will be paid by TWIA for the Insurer’s removal of Removed Policies.