Common use of Exchanges and Replacements Clause in Contracts

Exchanges and Replacements. A policy resulting from an internal exchange or replacement will be underwritten by the Ceding Company in accordance with its underwriting guidelines, standards and procedures for exchanges and replacements. All internal exchanges to Succession Select from the current joint life last survivor product that are over 120 days old will be fully underwritten and will be treated as new business under this Agreement. Additionally, policies that are 120 days old or less may be exchanged without penalty to Succession Select within 120 days of the product's introduction in the state in which the original policy was signed. All such exchanges will be treated as new business for reinsurance purposes.