Common use of FACULTATIVE OBLIGATORY REINSURANCE Clause in Contracts

FACULTATIVE OBLIGATORY REINSURANCE. PPVUL policies will not qualify for automatic reinsurance. If a PPVUL policy meets the requirements of subsections ‘a’ – ‘g’ of the ‘AUTOMATIC REINSURANCE TERMS’ section, THE COMPANY will make a request to reserve capacity through facultative obligatory reinsurance by contacting THE REINSURER in writing (i.e., electronic mail). If THE REINSURER provides capacity and the policy is issued, THE COMPANY will include the policy on its reports used for automatic reinsurance as described in the ‘REPORTS’ section. THE REINSURER may not withhold available capacity and THE COMPANY may not reject capacity offered by THE REINSURER.