Common use of Licenses; Reserve Credit Clause in Contracts

Licenses; Reserve Credit. At all times during the term of this Agreement, the Reinsurer shall, at its own expense, use reasonable best efforts to hold and maintain all licenses and authorizations required under Applicable Law and shall otherwise take all action (including the posting of letters of credit, establishing a credit for reinsurance trust or other acceptable security) that may be necessary (i) so that the Ceding Company may receive Reserve Credit and (ii) to perform its obligations hereunder. Should the Reinsurer fail to hold and maintain all licenses and authorizations required under Applicable Law to enable the Ceding Company to receive Reserve Credit, the Reinsurer shall, at its own expense, take all steps prior to the end of the calendar quarter in which such event occurs, as are reasonably necessary so at to permit the Ceding Company to obtain Reserve Credit. The Reinsurer shall promptly notify the Ceding Company of any event or change or condition that would be reasonably likely to result in any loss of, or impairment to, Reserve Credit. Furthermore, upon a Reserve Credit Event, the Ceding Company and the Reinsurer shall cooperate in good faith with the Ceding Company to promptly amend this Agreement or the Trust Agreement, or enter into other agreements or execute additional documents as reasonably needed to comply with the credit for reinsurance laws and regulations and/or the requirements of the applicable Governmental Entity to ensure the Ceding Company obtains Reserve Credit.

Licenses; Reserve Credit. (a) At all times during the term of this Agreement, the Reinsurer shall, at its own expense, use commercially reasonable best efforts to hold and maintain all licenses and authorizations required under Applicable Law and shall otherwise take all action actions that may be reasonably necessary (including the posting of letters of creditcredit or maintaining assets in a trust account, establishing a in each case, so long as such security complies with the requirements of New York Regulation 133 or New York Regulation 114, as applicable, (and its successor provision) or the applicable corresponding credit for reinsurance trust or other acceptable securitylaws and regulations of the Ceding Company Domiciliary State) that may be necessary (i) so that the Ceding Company may receive Reserve Credit and (ii) to perform its obligations hereunder. Should the Reinsurer fail to hold and maintain all licenses and authorizations required under Applicable Law to enable the Ceding Company to receive Reserve Credit, the Reinsurer shall, at its own expense, take all steps prior to the end of the calendar quarter in which such event occurs, as are reasonably necessary so at to permit the Ceding Company to obtain Reserve Credit. The Reinsurer shall promptly notify the Ceding Company of any event loss of, or change impairment to, any such license or authorization or, to the knowledge of the Reinsurer, any other condition that would be reasonably likely to result or has resulted in any a loss of, or impairment to, of Reserve Credit. Furthermore, upon a any loss of Reserve Credit EventCredit, the Ceding Company and the Reinsurer shall cooperate in good faith with the Ceding Company to promptly amend this Agreement or the Trust Agreement, or enter into other agreements or execute additional documents as reasonably needed to comply with the credit for reinsurance laws and regulations and/or the requirements of the applicable Governmental Entity Body to ensure the Ceding Company obtains Reserve Credit. The Ceding Company shall promptly provide copies of any such amendments or documents to the DFS for review and the Parties will cooperate in good faith to revise any such amendments or documents as required by the DFS to restore Reserve Credit.