Inuring Retrocessions Clause Samples
The "Inuring Retrocessions" clause defines how retrocessions—reinsurance arrangements where a reinsurer transfers part of its risk to another reinsurer—are treated under the contract. This clause typically specifies that any retrocessions arranged by the reinsurer will automatically apply to the original reinsurance agreement, ensuring that the benefits or protections of those retrocessions are passed on to the original cedant. By clarifying the treatment of retrocessions, this clause ensures transparency and allocates risk appropriately, preventing disputes over whether retrocessions affect the original parties' rights and obligations.
Inuring Retrocessions. 7.1 ALLOCATION TO RETROCESSIONAIRE Retrocedant agrees that the retrocession contracts purchased from third party retrocessionaires ("THIRD PARTY RETROCESSIONAIRES") by or on behalf of Retrocedant prior to the Effective Time that are listed on Exhibit D hereto (as such Exhibit may be amended from time to time by agreement between the parties) or that are entered into after the date hereof and relate to the Reinsurance Contracts shall inure to the benefit of Retrocessionaire to the extent of liabilities covered under this Agreement ("INURING RETROCESSIONS"), subject to the agreed allocations in Exhibits E, F and G.
7.2 TRANSFER [Retrocedant and Retrocessionaire shall use their respective commercially reasonable efforts to obtain the consent of Third Party Retrocessionaires under the Inuring Retrocessions to include Retrocessionaire as a direct reinsured with respect to the Reinsurance Contracts.] [IF NOT OBTAINED AT SIGNING, FURTHER AMENDMENTS WOULD BE NECESSARY. WE CAN PROVIDE DRAFTING IF THIS WOULD BE HELPFUL.]
7.3 INURING RETROCESSIONS CLAIMS
(A) Each of the parties agrees to transfer to the other party all recoveries or any portion thereof that such party receives on or after the Effective Time pursuant to the Inuring Retrocessions which are allocated to the other party, in the manner set forth in Exhibit E hereto, provided that each party shall be entitled to set off any obligation to account for any such recovery to the other party against any obligation arising under this Agreement owed by the other party to the party so obliged to account. Retrocedant shall use its commercially reasonable efforts to collect any recoveries due to Retrocessionaire under the Inuring Retrocessions that indemnify Retrocedant for losses or expenses payable or return of premium allocable to Retrocessionaire and, subject to any right of set-off which may have arisen under the foregoing provisions of this clause, hold them on trust for, and pay them to or to the order of, Retrocessionaire. The parties agree that Retrocessionaire's obligations to make payments pursuant to the Inuring Retrocessions or to reimburse Retrocedant pursuant to this Agreement shall not be waived by non-receipt of any such amounts. Retrocessionaire shall reimburse Retrocedant for one hundred percent (100%) of any expenses reasonably incurred by Retrocedant in attempting to make such collection, including all allocated expenses, as determined in accordance with Retrocedant's customary practices and proc...
Inuring Retrocessions. 7.1 Allocation to Retrocessionaire Retrocedant agrees that the retrocession contracts purchased from third party retrocessionaires ("THIRD PARTY RETROCESSIONAIRES") by or on behalf of Retrocedant prior to the Effective Time that are listed on Exhibit C hereto (as such Exhibit may be amended from time to time by agreement between the parties) or that are entered into after the date hereof and relate to the Reinsurance Contracts shall inure to the benefit of Retrocessionaire to the extent of liabilities covered under this Agreement ("INURING RETROCESSIONS"), subject to the allocations in Exhibits D, E and F.
Inuring Retrocessions