REINSURANCE RISK AMOUNT AND REINSURANCE PREMIUM RATES. a. REINSURANCE RISK AMOUNT. Reinsurance shall be on a first dollar, quota share basis. The Reinsurance Risk Amount will be REINSURER's Automatic Reinsurance Share, or Facultative Reinsurance Share, of the Net Amount at Risk. REINSURER's share of Net Amount of Risk will be the same as REINSURER's share of the Specified Amount, as set forth in Schedule A. Reinsurance Risk Amount will be calculated on the policy or rider anniversary, unless there is an increase or decrease in the Specified Amount during a policy year. If the Specified Amount increases or decreases during the policy year, the Reinsurance Risk Amount will be recalculated at the time of the increase or decrease. In calculating Reinsurance Risk Amount, the Policy Account Value used in the calculation shall be the Policy Account Value at the policy's most recent monthly deduction.
Appears in 10 contracts
Samples: Automatic and Facultative Reinsurance Agreement (Ids Life Variable Life Separate Account), Automatic and Facultative Reinsurance Agreement (Ids Life of New York Account 8), Automatic and Facultative Reinsurance Agreement (Ids Life Variable Life Separate Account)
