Insurance Funding Sample Clauses

Insurance Funding. To provide cash to purchase the stock of a deceased Shareholder, each Shareholder may apply as owner and beneficiary for a life insurance policy on the life of his/her co-Shareholder(s). In addition, the Corporation may apply as owner and beneficiary of a life insurance policy on the life of any Shareholder. The policies purchased to date or any policies hereafter acquired shall be listed on the attached Schedule of Life Insurance. Within 30 days of a policy anniversary, the policy owner shall transfer to the insurer sufficient cash premiums necessary to maintain the policy or policies owned by the policy owner, as provided above and shall provide the insured Shareholder evidence of the transfers. While this Agreement remains in force, the policy owner shall provide written notice to the insured Shareholder of the policy owner’s intent to exercise any of the policy rights, options, or privileges. This Paragraph constitutes written notice to each Shareholder that the Corporation intends to insure the Shareholder’s life for the maximum face amount for which the Shareholder may be insured and that the Corporation shall be the beneficiary of the death benefits under all such insurance policies. The signature of each Shareholder to this Agreement constitutes a written consent to being insured on such terms and that such coverage may continue (subject to the provisions of this Agreement) even if any employment of the Shareholder with the Corporation is terminated, regardless of cause and regardless of whether the termination is by the unilateral decision of the Corporation, the unilateral decision of the Shareholder, or by mutual consent of the Corporation and the Shareholder.
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Insurance Funding. The acquisition and ownership of life insurance policies on the lives of one or more of the Shareholders to provide funding for the various purchase options and obligations under this Agreement shall be agreed upon, from time to time, by the Controlling Shareholders and summarized on Schedule D.
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Insurance Funding. The Employer, in its discretion, may apply for and procure as owner and for its own benefit, insurance on the life of the Executive in such amounts and in such forms as the Employer may choose. The Executive shall have no interest whatsoever in any such policy or policies, but the Executive shall, as a condition precedent to the receipt of any benefits under this Agreement, cooperate with the Employer in undergoing any medical examinations and providing any information reasonably necessary in connection with such insurance policies.
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Insurance Funding. 28 (h) Severance Liabilities..................................................28 (i)
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Insurance Funding. To Sellers' Knowledge, with respect to each Plan that is funded wholly or partially through an insurance policy, there will be no liability of any of the ASIG Entities as of the Closing Date that has not been either paid or assumed by Sellers pursuant to the terms of this Agreement or fully reserved against on the Closing Balance Sheet and Net Assets Report.
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Insurance Funding. It is contemplated that the Company will acquire an insurance policy in connection with the funding of the obligations assumed by it under this Agreement. With respect to any such policy, the following shall obtain:
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Insurance Funding. To provide cash to purchase the stock of a deceased Stockholder, Trustee shall apply, as owner and beneficiary, for a life insurance policy upon the life of each Stockholder, in an amount equal to the purchase price-valuation established under Article III, but not less than the amounts set forth below. Such policies purchased to date or any policies hereafter acquired shall be listed on the attached "Schedule of Life Insurance." Trustee will hold title to policies on each Stockholder's life, and correspondingly, each Stockholder obtains equitable title to the insurance on each other Stockholder's life in the following amounts: INSURED POLICY AMOUNT STOCKHOLDER'S EQUITABLE INTEREST Name Interest CHAD M. LITTLE $750,000 XXAD M. LITTLE 51% LONNIE A. WHITTINGTON $500,000 XXXXXX X. WHITTINGTON 24.5% JAMES A. LAYNE $500,000 XXMES A. LAYNE 24.5% Within 30 days prior to each policy anniversary each Stockholder shall transfer to the Corporation (with notice of such transfer being simultaneously sent to the Trustee) sufficient cash for premiums necessary to maintain his equitable interest on each policy or policies on his co-Stockholders, as provided above, and shall provide the insured Stockholder evidence of such transfers. Where the "split dollar" technique is employed, the Corporation shall timely pay its premium share under the arrangement. The Corporation shall immediately thereafter remit such cash premium contribution(s) to the insurer. In the event a Stockholder fails to transfer such cash premiums within such period, the insured Stockholder may pay the premium to the insurer, and such premium advances shall be added to the purchase price of his stock interest. While this agreement remains in force, the Trustee shall provide written notice to the Stockholders of his intent to exercise any of the policy rights, options, or privileges.
Sample 1
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Insurance Funding. An insurance Buy-Sell Agreement is often recommended by business-succession specialists and financial planners to ensure that the arrangement is funded and to guarantee that there will be money when the exit event is triggered. In these instances, the insurance proceeds are set off against the amount required be paid by the remaining owners to buy out the exiting owner.  Other Funding Where an exit event occurs which is not covered by insurance funding, pre-agreed finance or instalment arrangements are followed. Does it matter what type of business structures are in place? It does not matter what business structure has been used to own or run the business or if there is more than one entity involved in running the business. Are there any tax advantages of having an insurance Buy-Sell Agreement? There are certain tax and capital gains advantages of setting up an insurance Buy-Sell Agreement. In particular, payment of life insurance proceeds may be excluded from the application of capital gains tax. However care should be taken in relation to proceeds paid for trauma or other non-life cover because failure to pay the proceeds to the injured party or his/her relative may result in capital gains tax. Another aspect to consider is linking your life insurance policies to superannuation accounts. Depending on your circumstances, this may be advantageous as contributions to super funds are tax deductible, whereas contributions to personal life insurance policies are not. Also, considering what type of insurance protection is being taken is important - asset cover (against an owner’s equity), debt cover (against liabilities of the business) or key person cover (against the loss from reduced revenue or goodwill), the types of transaction that will flow from the payment of the insurance proceeds and any subsequent tax consequences of these transactions.
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Insurance Funding 
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Related to Insurance Funding

  • Insurance Funds (a) Borrower shall cause Mortgage Borrower to comply with all the terms and conditions set forth in Section 6.3 of the Mortgage Loan Agreement.

  • Deposits of Insurance Funds Borrower shall deposit with or on behalf of Lender on each Monthly Payment Date, an amount equal to one-twelfth of the Insurance Premiums that Lender estimates will be payable for the renewal of the coverage afforded by the Policies upon the expiration thereof, in order to accumulate sufficient funds to pay all such Insurance Premiums prior to the expiration of the Policies, which amounts shall be transferred into an Account established at the Collection Account Bank to hold such funds (the “Insurance Account”). Amounts deposited from time to time into the Insurance Account pursuant to this Section 6.3.1 are referred to herein as the “Insurance Funds”. If at any time Lender reasonably determines that the Insurance Funds will not be sufficient to pay the Insurance Premiums, Lender shall notify Borrower of such determination and the monthly deposits for Insurance Premiums shall be increased by the amount that Lender estimates is sufficient to make up the deficiency at least thirty (30) days prior to expiration of the Policies.

  • Release of Insurance Funds Provided no Event of Default is continuing, Lender shall apply Insurance Funds in the Insurance Account to timely pay, or reimburse Borrower for payments of, Insurance Premiums. If the amount of the Insurance Funds shall exceed the amounts due for Insurance Premiums, Lender shall, in its sole discretion, return any excess to Borrower or credit such excess against future payments to be made to the Insurance Funds. Any Insurance Funds remaining in the Insurance Account after the Obligations have been paid in full shall be returned to Borrower. Provided no Default or Event of Default exists, the Insurance Funds reserved for any Property will be released upon a permitted sale and release of such Property in accordance with the terms hereof.

  • Pre-Funding Account On the Closing Date, the Depositor shall deposit in the Pre-Funding Account $0.00 (the “Pre-Funding Account Initial Deposit”) from the net proceeds of the sale of the Notes. On each Subsequent Transfer Date, if any, upon satisfaction of the conditions set forth in Section 2.03(b) with respect to such transfer, the Servicer shall instruct the Indenture Trustee to withdraw from the Pre-Funding Account (i) an amount equal to [RESERVED]% of the result of the aggregate Starting Principal Balance of the Subsequent Receivables transferred to the Trust on such Subsequent Transfer Date less the Yield Supplement Overcollateralization Amount with respect to such Subsequent Receivables as of the related Cutoff Date and (ii), on behalf of the Depositor, deposit into the Reserve Account a portion of such funds equal to the Reserve Account Subsequent Transfer Deposit with respect to such Subsequent Transfer Date and distribute the remainder to or upon the order of the Depositor as payment for such Subsequent Receivables. If the Pre-Funded Amount has not been reduced to zero on the Payment Date immediately following the calendar month in which the Funding Period, if any, ends, the Servicer shall instruct the Indenture Trustee to transfer from the Pre-Funding Account on such Payment Date any amount then remaining in the Pre-Funding Account to the Note Distribution Account for distribution in accordance with Section 8.02(g) of the Indenture.

  • Insurance Reserves Lender may require Grantor to maintain with Lender reserves for payment of insurance premiums, which reserves shall be created by monthly payments from Grantor of a sum estimated by Lender to be sufficient to produce, at least fifteen (15) days before the premium due date, amounts at least equal to the insurance premiums to be paid. If fifteen (15) days before payment is due, the reserve funds are insufficient, Grantor shall upon demand pay any deficiency to Lender. The reserve funds shall be held by Lender as a general deposit and shall constitute a non-interest-bearing account which Lender may satisfy by payment of the insurance premiums required to be paid by Grantor as they become due. Lender does not hold the reserve funds in trust for Grantor, and Lender is not the agent of Grantor for payment of the insurance premiums required to be paid by Grantor. The responsibility for the payment of premiums shall remain Grantor's sole responsibility.

  • Reinsurance Administration THE COMPANY shall perform all duties with respect to the administration of the reinsurance under this Agreement on the portion of the policies reinsured under this Agreement.

  • Insurance Companies Insurance required hereunder shall be in companies duly licensed to transact business in the State of Washington, and maintaining during the policy term a General Policyholders Rating of ‘A-’ or better and a financial rating of ‘IX’ or better, as set forth in the most current issue of “Best’s Insurance Guide.”

  • Insurance Company The Buyer is an insurance company whose primary and predominant business activity is the writing of insurance or the reinsuring of risks underwritten by insurance companies and which is subject to supervision by the insurance commissioner or a similar official or agency of a State, territory or the District of Columbia.

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