Common use of LIABILITY FOR REINSURANCE Clause in Contracts

LIABILITY FOR REINSURANCE. A. The Reinsurer's liability for Automatic Reinsurance will begin simultaneously with the Ceding Company's liability, but in no event prior to the Effective Date. B. In no event shall reinsurance be in force and binding if the issuance and delivery of such insurance constituted the doing of business in a jurisdiction in which the Ceding Company knowingly was not properly licensed. C. The Reinsurer's liability for coverage under the Ceding Company's conditional receipt or temporary insurance agreement, whichever the Ceding Company uses (a sample copy of which is included as Exhibit VI and, for the purpose of this Section D, hereinafter called the "Insurance Receipt"), is limited to the amount the Reinsurer would reinsure under this Agreement on an Automatic Reinsurance basis (whether the risk qualifies for Automatic Reinsurance or not) if the coverage under the policy applied for would have been approved and issued, as limited by the terms of the Insurance Receipt, provided: 1. The Ceding Company has followed its normal cash-with-application procedures for such coverage; and Allocated Retention Pool (Non-Excess Risks) -- Effective October 1, 2008 Between Canada Life and HLAIC 2. The Ceding Company's original underwriting assessment for the risk was not a decline (if it was a decline, the Reinsurer would have no liability for such coverage); and 3. There is no coverage in effect on the life in the Automatic Pool through any other Insurance Receipt having an effective date preceding, or the same as, the effective date of such coverage; and 4. The Ceding Company has not yet accepted any final underwriting offer(s) for facultative reinsurance on the risk. The Reinsurer's liability for coverage under the Insurance Receipt shall terminate simultaneously with the termination of the Ceding Company's liability under the Insurance Receipt. D. The Reinsurer's liability for reinsurance on each risk will terminate when the Ceding Company's liability terminates, unless it terminates earlier as specified otherwise in this Agreement. E. The liability of each reinsurer in the Automatic Pool shall be separate and not joint with the other pool reinsurers. In no way will the liability of the Reinsurer be increased by reason of the inability of the Ceding Company to collect from any other reinsurers, whether specific or general, any amounts which may be due from them, whether such inability arises from insolvency of such other reinsurers or otherwise.

LIABILITY FOR REINSURANCE. A. The Reinsurer's liability for Automatic Reinsurance will begin simultaneously with the Ceding Company's liability, but in no event prior to the Effective Date. B. The Reinsurer's liability for Facultative Reinsurance coverage will begin simultaneously with the Ceding Company's liability once the Reinsurer has accepted the application for Facultative Reinsurance and the Ceding Company has accepted the Reinsurer's final underwriting offer, as described in Section III.C. C. In no event shall reinsurance be in force and binding if the issuance and delivery of such insurance constituted the doing of business in a jurisdiction in which the Ceding Company knowingly was not properly licensed. C. D. The Reinsurer's liability for coverage under the Ceding Company's conditional receipt or temporary insurance agreement, whichever the Ceding Company uses (a sample copy of which is included as Exhibit VI and, for the purpose of this Section D, hereinafter called the "Insurance Receipt"), is limited to the amount the Reinsurer would reinsure under this Agreement on an Automatic Reinsurance basis (whether the risk qualifies for Automatic Reinsurance or not) if the coverage under the policy applied for would have been approved and issued, as limited by the terms of the Insurance Receipt, provided: 1. The Ceding Company has followed its normal cash-with-application procedures for such coverage; and Allocated Retention Pool (Non-Excess Risks) -- Effective October 1, 2008 Between Canada Life and HLAICand 2. The Ceding Company's original underwriting assessment for the risk was not a decline (if it was a decline, the Reinsurer would have no liability for such coveragecoverage except as described below in Paragraph 5); and 3. There is no coverage in effect on the life in the Automatic Pool through any other Insurance Receipt having an effective date preceding, or the same as, the effective date of such coverage; and 4. The If such coverage is on an Excess Risk that also exceeds either the Automatic Binding Limit or the Jumbo Limit for the risk as shown in Exhibit II, then the Reinsurer's liability for such excess amount of coverage will be limited by the Reinsurer's available capacity; and 5. If the Ceding Company has not yet accepted any final underwriting offer(s) for facultative reinsurance Facultative Reinsurance on the riskrisk (whether such offer is made by the Reinsurer, as described above in Section III.C, or by any other reinsurer(s)), then the Reinsurer's liability for such coverage under the Insurance Receipt will be equal to: a. The amount of coverage in effect under the terms of the Insurance Receipt; Allocated Retention Pool (Excess Risks) -- Effective October 1, 2008 Between HLIC and Canada Life multiplied by b. The proportion equal to the amount of Facultative Reinsurance included in the Reinsurer's final underwriting offer that is accepted by the Ceding Company, divided by the total amount of the risk to be issued by the Ceding Company. The Reinsurer's liability for coverage under the Insurance Receipt shall terminate simultaneously with the termination of the Ceding Company's liability under the Insurance Receipt. D. E. The Reinsurer's liability for reinsurance on each risk will terminate when the Ceding Company's liability terminates, unless it terminates earlier as specified otherwise in this Agreement. E. F. The liability of each reinsurer in the Automatic Pool shall be separate and not joint with the other pool reinsurers. In no way will the liability of the Reinsurer be increased by reason of the inability of the Ceding Company to collect from any other reinsurers, whether specific or general, any amounts which may be due from them, whether such inability arises from insolvency of such other reinsurers or otherwise.

LIABILITY FOR REINSURANCE. A. The Reinsurer's liability for Automatic Reinsurance will begin simultaneously with the Ceding Company's liability, liability but in no event prior to the Effective Date. B. The Reinsurer's liability for Facultative Reinsurance coverage will begin simultaneously with the Ceding Company's liability once the Reinsurer has accepted the application for Facultative Reinsurance and the Ceding Company has accepted the Reinsurer's final underwriting offer, as described in Section III.C. C. In no event shall reinsurance be in force and binding if the issuance and delivery of such insurance constituted the doing of business in a jurisdiction in which the Ceding Company knowingly was not properly licensed. C. D. The Reinsurer's liability for coverage under the Ceding Company's conditional receipt or temporary insurance agreement, whichever the Ceding Company uses (a sample copy of which is included as Exhibit VI and, for the purpose of this Section D, hereinafter called the "Insurance Receipt"), is limited to the amount the Reinsurer would reinsure under this Agreement on an Automatic Reinsurance basis (whether the risk qualifies for Automatic Reinsurance or not) if the coverage under the policy applied for would have been approved and issued, as limited by the terms of the Insurance Receipt, provided: 1. The Ceding Company has followed its normal cash-with-application procedures for such coverage; and Allocated Retention Pool (Non-Excess Risks) -- Effective October 1, 2008 Between Canada Life and HLAICand 2. The Ceding Company's original underwriting True Assessed Risk Class does not exceed Table F (or a Allocated Retention Pool -- Effective 10/1/2008 Between HLIC and Swiss Re combination of flat extra and table assessment for the risk equivalent to Table F) and was not a decline (if it was a decline, the Reinsurer would have no liability for such coveragecoverage except as described below in Paragraph 5); and 3. There is no coverage in effect on the life in the Automatic Pool through any other Insurance Receipt having an effective date preceding, or the same as, the effective date of such coverage; and 4. The If such coverage is on a risk that also exceeds either the Automatic Binding Limit or the Jumbo Limit for the risk as shown in Exhibit II, then the Reinsurer's liability for such excess amount of coverage will be limited by the Reinsurer's available capacity; and 5. If the Ceding Company has not yet accepted any final underwriting offer(s) for facultative reinsurance Facultative Reinsurance on the riskrisk (whether such offer is made by the Reinsurer, as described above in Section III.C, or by any other reinsurer(s)), then the Reinsurer's liability for such coverage under the Insurance Receipt will be equal to: a. The amount of coverage in effect under the terms of the Insurance Receipt; multiplied by b. The proportion equal to the amount of Facultative Reinsurance included in the Reinsurer's final underwriting offer that is accepted by the Ceding Company, divided by the total amount of the risk to be issued by the Ceding Company. The Reinsurer's liability for coverage under the Insurance Receipt shall terminate simultaneously with the termination of the Ceding Company's liability under the Insurance Receipt. D. E. The Reinsurer's liability for reinsurance on each risk will terminate when the Ceding Company's liability terminates, unless it terminates earlier as specified otherwise in this Agreement. E. F. The liability of each reinsurer in the Automatic Pool shall be separate and not joint with the other pool reinsurers. In no way will the liability of the Reinsurer be increased by reason of the inability of the Ceding Company to collect from any other reinsurers, whether specific or general, any amounts which may be due from them, whether such inability arises from insolvency of such other reinsurers or otherwise. G. Notwithstanding Section III.A.9, the Reinsurer shall be liable for any stranger-owned life insurance (STOLI) or premium-financed cases that are undisclosed or misrepresented to the Ceding Company and that are discovered after a risk has been made effective, unless and until such risk is successfully rescinded under Article X.

LIABILITY FOR REINSURANCE. A. The Reinsurer's liability for Automatic Reinsurance will begin simultaneously with the Ceding Company's liability, but in no event prior to the Effective Date. B. The Reinsurer's liability for Facultative Reinsurance coverage will begin simultaneously with the Ceding Company's liability once the Reinsurer has accepted the application for Facultative Reinsurance and the Ceding Company has accepted the Reinsurer's final underwriting offer, as described in Section III.C. C. In no event shall reinsurance be in force and binding if the issuance and delivery of such insurance constituted the doing of business in a jurisdiction in which the Ceding Company knowingly was not properly licensed. C. D. The Reinsurer's liability for coverage under the Ceding Company's conditional receipt or temporary insurance agreement, whichever the Ceding Company uses (a sample copy of which is included as Exhibit VI and, for the purpose of this Section D, hereinafter called the "Insurance Receipt"), is limited to the amount the Reinsurer would reinsure under this Agreement on an Automatic Reinsurance basis (whether the risk qualifies for Automatic Reinsurance or not) if the coverage under the policy applied for would have been approved and issued, as limited by the terms of the Insurance Receipt, provided: 1. The Ceding Company has followed its normal cash-with-application procedures for such coverage; and Allocated Retention Pool (Non-Excess Risks) -- Effective October 1, 2008 Between Canada Life and HLAICand 2. The Ceding Company's original underwriting assessment for the risk was not a decline (if it was a decline, the Reinsurer would have no liability for such coveragecoverage except as described below in Paragraph 5); and 3. There is no coverage in effect on the life in the Automatic Pool through any other Insurance Receipt having an effective date preceding, or the same as, the effective date of such coverage; and 4. The If such coverage is on an Excess Risk that also exceeds either the Automatic Binding Limit or the Jumbo Limit for the risk as shown in Exhibit II, then the Reinsurer's liability for such excess amount of coverage will be limited by the Reinsurer's available capacity; and 5. If the Ceding Company has not yet accepted any final underwriting offer(s) for facultative reinsurance Facultative Reinsurance on the riskrisk (whether such offer is made by the Reinsurer, as described above in Section III.C, or by any other reinsurer(s)), then the Reinsurer's liability for such coverage under the Insurance Receipt will be equal to: a. The amount of coverage in effect under the terms of the Insurance Receipt; Allocated Retention Pool (Excess Risks) -- Effective October 1, 2008 Between HLAIC and Canada Life multiplied by b. The proportion equal to the amount of Facultative Reinsurance included in the Reinsurer's final underwriting offer that is accepted by the Ceding Company, divided by the total amount of the risk to be issued by the Ceding Company. The Reinsurer's liability for coverage under the Insurance Receipt shall terminate simultaneously with the termination of the Ceding Company's liability under the Insurance Receipt. D. E. The Reinsurer's liability for reinsurance on each risk will terminate when the Ceding Company's liability terminates, unless it terminates earlier as specified otherwise in this Agreement. E. F. The liability of each reinsurer in the Automatic Pool shall be separate and not joint with the other pool reinsurers. In no way will the liability of the Reinsurer be increased by reason of the inability of the Ceding Company to collect from any other reinsurers, whether specific or general, any amounts which may be due from them, whether such inability arises from insolvency of such other reinsurers or otherwise.

LIABILITY FOR REINSURANCE. A. The Reinsurer's liability for Automatic Reinsurance will begin simultaneously with the Ceding Company's liability, liability but in no event prior to the Effective Date. B. The Reinsurer's liability for Facultative Reinsurance coverage will begin simultaneously with the Ceding Company's liability once the Reinsurer has accepted the application for Facultative Reinsurance and the Ceding Company has accepted the Reinsurer's final underwriting offer, as described in Section III.C. C. In no event shall reinsurance be in force and binding if the issuance and delivery of such insurance constituted the doing of business in a jurisdiction in which the Ceding Company knowingly was not properly licensed. C. D. The Reinsurer's liability for coverage under the Ceding Company's conditional receipt or temporary insurance agreement, whichever the Ceding Company uses (a sample copy of which is included as Exhibit VI and, for the purpose of this Section D, hereinafter called the "Insurance Receipt"), is limited to the amount the Reinsurer would reinsure under this Agreement on an Automatic Reinsurance basis (whether the risk qualifies for Automatic Reinsurance or not) if the coverage under the policy applied for would have been approved and issued, as limited by the terms of the Insurance Receipt, provided: 1. The Ceding Company has followed its normal cash-with-application procedures for such coverage; and Allocated Retention Pool (Non-Excess Risks) -- Effective October 1, 2008 Between Canada Life and HLAICand 2. The Ceding Company's original underwriting True Assessed Risk Class does not exceed Table F (or a Allocated Retention Pool -- Effective 10/1/2008 Between ILA and Swiss Re combination of flat extra and table assessment for the risk equivalent to Table F) and was not a decline (if it was a decline, the Reinsurer would have no liability for such coveragecoverage except as described below in Paragraph 5); and 3. There is no coverage in effect on the life in the Automatic Pool through any other Insurance Receipt having an effective date preceding, or the same as, the effective date of such coverage; and 4. The If such coverage is on a risk that also exceeds either the Automatic Binding Limit or the Jumbo Limit for the risk as shown in Exhibit II, then the Reinsurer's liability for such excess amount of coverage will be limited by the Reinsurer's available capacity; and 5. If the Ceding Company has not yet accepted any final underwriting offer(s) for facultative reinsurance Facultative Reinsurance on the riskrisk (whether such offer is made by the Reinsurer, as described above in Section III.C, or by any other reinsurer(s)), then the Reinsurer's liability for such coverage under the Insurance Receipt will be equal to: a. The amount of coverage in effect under the terms of the Insurance Receipt; multiplied by b. The proportion equal to the amount of Facultative Reinsurance included in the Reinsurer's final underwriting offer that is accepted by the Ceding Company, divided by the total amount of the risk to be issued by the Ceding Company. The Reinsurer's liability for coverage under the Insurance Receipt shall terminate simultaneously with the termination of the Ceding Company's liability under the Insurance Receipt. D. E. The Reinsurer's liability for reinsurance on each risk will terminate when the Ceding Company's liability terminates, unless it terminates earlier as specified otherwise in this Agreement. E. F. The liability of each reinsurer in the Automatic Pool shall be separate and not joint with the other pool reinsurers. In no way will the liability of the Reinsurer be increased by reason of the inability of the Ceding Company to collect from any other reinsurers, whether specific or general, any amounts which may be due from them, whether such inability arises from insolvency of such other reinsurers or otherwise. G. Notwithstanding Section III.A.9, the Reinsurer shall be liable for any stranger-owned life insurance (STOLI) or premium-financed cases that are undisclosed or misrepresented to the Ceding Company and that are discovered after a risk has been made effective, unless and until such risk is successfully rescinded under Article X.

LIABILITY FOR REINSURANCE. A. The Reinsurer's liability for Automatic Reinsurance will begin simultaneously with the Ceding Company's liability, but in no event prior to the Effective Date. B. In no event shall reinsurance be in force and binding if the issuance and delivery of such insurance constituted the doing of business in a jurisdiction in which the Ceding Company knowingly was not properly licensed. C. The Reinsurer's liability for coverage under the Ceding Company's conditional receipt or temporary insurance agreement, whichever the Ceding Company uses (a sample copy of which is included as Exhibit VI and, for the purpose of this Section D, hereinafter called the "Insurance Receipt"), is limited to the amount the Reinsurer would reinsure under this Agreement on an Automatic Reinsurance basis (whether the risk qualifies for Automatic Reinsurance or not) if the coverage under the policy applied for would have been approved and issued, as limited by the terms of the Insurance Receipt, provided: 1. The Ceding Company has followed its normal cash-with-application procedures for such coverage; and Allocated Retention Pool (Non-Excess Risks) -- Effective October 1, 2008 Between Canada Life and HLAICHLIC 2. The Ceding Company's original underwriting assessment for the risk was not a decline (if it was a decline, the Reinsurer would have no liability for such coverage); and 3. There is no coverage in effect on the life in the Automatic Pool through any other Insurance Receipt having an effective date preceding, or the same as, the effective date of such coverage; and 4. The Ceding Company has not yet accepted any final underwriting offer(s) for facultative reinsurance on the risk. The Reinsurer's liability for coverage under the Insurance Receipt shall terminate simultaneously with the termination of the Ceding Company's liability under the Insurance Receipt. D. The Reinsurer's liability for reinsurance on each risk will terminate when the Ceding Company's liability terminates, unless it terminates earlier as specified otherwise in this Agreement. E. The liability of each reinsurer in the Automatic Pool shall be separate and not joint with the other pool reinsurers. In no way will the liability of the Reinsurer be increased by reason of the inability of the Ceding Company to collect from any other reinsurers, whether specific or general, any amounts which may be due from them, whether such inability arises from insolvency of such other reinsurers or otherwise.