Common use of Reduced Paid Up and Extended Term Clause in Contracts

Reduced Paid Up and Extended Term. If a Reduced Paid Up or Extended Term option is selected by the policyholder, OPTIMUM RE will continue to reinsure its proportionate share of the policy. For policies where OPTIMUM RE does not participate in surrender value accumulation, reinsurance premiums will be calculated on a point-in-scale basis using the same YRT rates that applied to the policy and the calculation of the Net Amount at Risk according to Article 3.

Reduced Paid Up and Extended Term. If a Reduced Paid Up or Extended Term option is selected by the policyholder, OPTIMUM RE will continue to reinsure its proportionate share of the policy. For policies where OPTIMUM RE does not participate in surrender value accumulation, reinsurance premiums will be calculated on a point-in-point and scale basis using the same YRT rates that applied to the policy in SCHEDULE F and the calculation of the Net Amount at Risk will be calculated according to Article 3.4 and SCHEDULE B.

Reduced Paid Up and Extended Term. If a Reduced Paid Up or Extended Term option is selected by the policyholder, OPTIMUM RE will continue to reinsure its proportionate share of the policy. For policies where OPTIMUM RE does not participate in surrender value accumulation, reinsurance premiums will be calculated on a point-in-point in scale basis using the same YRT rates that applied to the policy in SCHEDULE C and the calculation of the Net Amount net amount at Risk risk according to Article 34.