Expense Allowance Pending Resolution. In the event of a dispute with respect to any Annual Expense Reimbursement Factor for the next succeeding Calendar year, the Company and the Reinsurer agree that the Annual Expense Reimbursement Factor then in effect under this Agreement shall remain in effect pending resolution of such dispute and adjustment, if any, in accordance with the dispute resolution procedure set forth in paragraph (f) above.
Expense Allowance Pending Resolution. In the event of a dispute with respect to any Annual Expense Reimbursement Factor for the next succeeding Calendar year, the Company and the Reinsurer agree that the Annual Expense Reimbursement Factor then in effect under this Agreement shall remain in effect pending resolution of such dispute and adjustment, if any, in accordance with the dispute resolution procedure set forth in paragraph (f) above. SCHEDULE G - PART I INITIAL REPORT --------------
1. SAP General Account Reserves $__________
Expense Allowance Pending Resolution. In the event of a dispute with respect to any Annual Expense Reimbursement Factors for the next succeeding Calendar year, the Company and the Reinsurer agree that the Annual Expense Reimbursement Factors then in effect under this Agreement shall remain in effect pending resolution of such dispute and adjustment, if any, in accordance with the dispute resolution procedure set forth in paragraph (f) above. The “Business Overhead Services” are broadly defined as activities performed by the “LTC” business unit of GNA Corporation (“GNA”) and its subsidiaries and Affiliates that benefit the business reinsured under this Agreement. GNA will provide, as a subcontractor, the Business Overhead Services, which will include, without limitation, the services described below. Executive: General support, counsel, strategy and leadership provided by LTC’s Chief Executive Officer including managing existing business relationship with Travelers. Human Resources: General business level Human Resource related activities including but not limited to leadership development, employee recruitment and staffing, implementation of compensation policies and practices, payroll and benefit administration, organizational communication, training, general security and employee issue resolution and guidance.
Expense Allowance Pending Resolution. In the event of a dispute with respect to any Annual Expense Reimbursement Factor for the next succeeding Calendar year, the Company and the Reinsurer agree that the Annual Expense Reimbursement Factor then in effect under this Agreement shall remain in effect pending resolution of such dispute and adjustment, if any, in accordance with the dispute resolution procedure set forth in paragraph (f) above. SCHEDULE F–PART I
1. Total SAP Ceded Reserves Gross Policy Reserves calculated in accordance with SAP with respect to the reinsured risks. $
2. Ceding Commission:
A. Excess SAP Ceded Reserves over GAAP Ceded Reserves:
1) Total SAP Ceded Reserves $
2) Total GAAP Ceded Reserves: Gross Policy Reserves calculated in accordance with GAAP with respect to the reinsured risks. $ Excess SAP Reserves over GAAP Reserves (A1-A2) $
B. Present Value of Future Profits (PVFP) $
C. Deferred Acquisition Costs (DAC) $
D. Asset Book Value Difference — Measured as of close of business the day preceding the Inception Date
1) Asset Book Value (GAAP basis) $
2) Asset Book Value (SAP basis) $ Excess Asset Book Value (D1-D2) $ Total Ceding Commission (A+B+C+D) $
3. Accrued Interest on Assets as of the day before Inception Date $
4. Investment Cash Flows on the Assets from the Inception Date through the Closing Date $ Net Due Reinsurer (1-2—3+4) $
