Common use of Right of Repayment Clause in Contracts

Right of Repayment. To secure the repayment to the Company of the amount of premiums on each Policy paid by it hereunder, the Insured has, contemporaneously herewith, assigned the Policy to the Company as collateral, under the form used by the Insurer to such assignments, which collateral assignment specifi- cally limits the Company's right thereunder to the repayment of the amounts it paid towards premiums on such Policy. Such repayment shall be made from such Policy's cash surrender value if this Agreement is terminated or if the Insured surrenders or cancels such Policy, or from such Policy's death proceeds, if the Insured should die while such Policy and this Agreement remain in force. In no event shall the Company have any right to borrow against such Policy. Each Policy's collateral assignment shall not be terminated, altered, or amended by the Insured without the express written consent of the Company. The parties hereto agree to take all actions necessary to cause such collateral assignment to conform to the provisions of the Agreement.