EX-g.3
Amendment Xx. 0 xx Xxxxxxxxxxx Xxxxxxxxx Xx. X00000XX-00 (0782701) effective
March 8, 2004 between XXXXXXX NATIONAL LIFE INSURANCE COMPANY of Lansing,
Michigan ("the Company") and SWISS RE LIFE & HEALTH AMERICA INC. of Hartford,
Connecticut ("the Reinsurer").
1. Policies issued on and after October 6, 2008, will be subject to the
updated section 9.1 - Claims Notice and Consultation as shown below:
9.1......Claims Notice and Consultation
The Company is responsible for the settlement of claims in accordance with
applicable law and policy terms. It is the Company's sole decision to
determine whether a claim is payable under the policy. For purposes of this
Article, Reinsured Policies include conditional receipts and temporary
insurance agreements covered under the terms of this Agreement. It is a
condition to the Reinsurer's obligation to pay a claim that the Company
notify the Reinsurer in writing as soon as possible, but in any event not
later than 12 months after the Company receives notice of a claim on a
Reinsured Policy. The Company will promptly provide the Reinsurer with
copies of all claims documents.
As a condition to the Reinsurer's obligation to pay a claim, before making
a claim decision or settlement offer, the Company will seek the Reinsurer's
recommendation on such matters to the extent specified in Exhibits C-1
through C-5. The Reinsurer will promptly make a recommendation; failing
such, the Company may settle the claim without further consultation. The
terms of Exhibit C-1 through C-5 notwithstanding, the Company may request a
recommendation from the Reinsurer on any claim on a Reinsured Policy. The
Company will provide the Reinsurer all information, including underwriting
files, requested by the Reinsurer for consideration of any claim on a
Reinsured Policy.
The Company, if notified, will notify the Reinsurer of deaths that do not
trigger policy benefits.
2. Policies issued on and after October 6, 2008, will be subject to the
updated section 10.1 - Errors and Omissions in Administration of
Reinsurance as shown below:
10.1 Errors and Omissions in Administration of Reinsurance
Any unintentional or accidental failure to comply with the terms of this
Agreement which can be shown to be the result of an oversight or clerical
error relating to the administration of reinsurance by either party will
not constitute a breach of this Agreement. Upon discovery, the error will
be promptly corrected so that both parties are restored to the position
they would have occupied had the oversight or clerical error not occurred.
In the event a payment is corrected, the party receiving the payment may
charge interest, calculated according to the terms specified in Exhibit C.
Should it not be possible to restore both parties to this position, the
party responsible for the oversight or clerical error will be responsible
for any resulting liabilities and expenses. The Reinsurer will not be
responsible for negligent or deliberate acts of the Company or for
recurring errors by the Company.
If the Company has failed to cede reinsurance as provided under this
Agreement or has failed to comply with reporting requirements with respect
to business ceded hereunder, the Reinsurer may require the Company to audit
its records for similar errors and take reasonable actions necessary to
correct errors and avoid similar errors. Failing prompt
A3-I59599US-04-eg-20081006 [0782701] Page 1
correction, the Reinsurer may limit its liability to the correctly reported
Reinsured Policies.
3. The section titled Conditions Requiring Claims Consultation will be added
to Exhibits C-1 through C-4 of the Agreement and will apply to policies
issued on and after October 6, 2008, as shown below:
12 Conditions Requiring Claims Consultation: Before conceding liability
or making settlement to the claimant, the Company will seek the
Reinsurer's recommendation if:
a) The claim occurs during the contestable period and the Company is
not contesting the claim, but the Reinsurer's share exceeds
$500,000; or
b) The claim occurs outside of the United States or Canada, and the
Reinsurer's share exceeds $500,000; or
c) The claim is one for which there is no body, i.e. the insured is
missing and presumed dead, and the Reinsurer's share exceeds
$500,000.
If the Reinsurer discovers that the Company's claims paying practices and
procedures differ materially from those performed at the inception of the
Agreement or from the Business Guidelines, then, in addition to any other
remedies, the Reinsurer may, with 30 days' written notice, adjust the
threshold amounts specified above.
4. Effective October 6, 2008, this Reinsurance Agreement is amended to provide
reinsurance coverage for the Company's Perspective Investor VUL (2001 CSO),
Ultimate Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001 CSO) Plans,
and associated Riders. Accordingly, Exhibit A, Business Covered, Exhibit C,
General Terms, Exhibit D, The Company's Retention Limits, and Exhibit E,
The Company's Automatic Acceptance Limits, are revised as attached. In
addition, Exhibit C-5 is added to provide the rates and terms for the
additional Plans and Riders.
5. Effective December 31, 2008, new reinsurance business is terminated for the
Company's Perspective Investor VUL (Single Life Variable Universal Life),
Ultimate Investor VUL - Commission Option (Single Life Variable Universal
Life), and Advisor VUL - Fee Only Option (Single Life Variable Universal
Life) plans.
All other provisions of the Reinsurance Agreement will continue unchanged.
Made in duplicate and hereby executed by both parties.
XXXXXXX NATIONAL LIFE INSURANCE COMPANY
By:_Lisa C. Drake_____________ Attest:___Ellen X. Xxxxxxxxxx __________
Title:_SVP & Chief Actuary____ Title:_Reinsurance Manager _____________
Date:__9/22/08________________ Date:____9/23/08________________________
A3-I59599US-04-eg-20081006 [0782701] Page 2
SWISS RE LIFE & HEALTH AMERICA INC.
By:___Ed Wright______________ Attest:__Ronald X. Xxxxxxx _____________
Title:__VP___________________ Title:___Senior VP______________________
Date:__9/16/08_______________ Date:___9-19-2008_______________________
A3-I59599US-04-eg-20081006 [0782701] Page 3
Exhibit A
(Revised October 6, 2008)
Business Covered
Agreement Effective Date:
March 8, 2004. The commencement dates for specific plans are shown below.
Coverage:
The policies on the plans shown below which have policy issue dates falling in
the period that begins with the Commencement Date and ends with the Termination
Date and that qualify for automatic reinsurance are covered according to the
Basis specified below provided:
1. The policies are on lives resident in the United States or Canada,
(Business issued in Mexico does not qualify for automatic reinsurance).
2. The policies are on lives with surnames commencing with the letters A to Z
inclusive.
Basis:
1. 30% of the excess over the Company's retention stated in Exhibit D, to the
maximum of the Automatic Acceptance Limits stated in Exhibit E.
2. 25% of the excess over the Company's retention stated in Exhibit D, to the
maximum of the Automatic Acceptance Limits stated in Exhibit E.
3. 40% of the excess over the Company's retention stated in Exhibit D, to the
maximum of the Automatic Acceptance Limits stated in Exhibit E.
4. 33% of the excess over the Company's retention stated in Exhibit D, to the
maximum of the Automatic Acceptance Limits stated in Exhibit E.
Currency: US$
Company's State of Domicile: Michigan
Plans, Riders and Benefits:
Plan Exhibit Reference Basis Commencement Termination
Identification for Rates Date Date
Perspective Investor VUL C-1 1. March 8, 2004 December 31, 2008
(Single Life Variable
Universal life)
Ultimate Investor VUL - C-2 2. January 10, 2005 December 31, 2008
Commission Option
(Single Life Variable
Universal Life)
Advisor VUL - C-2 2. January 10, 2005 December 31, 2008
Fee Only Option
(Single Life Variable
Universal Life)
Generations UL - C-3 3. March 7, 2005
(Single Life Universal
Life)
A3-I59599US-04-eg-20081006 [0782701] Page 4
Exhibit A
Page 2
Plans, Riders and Benefits:
Plan Exhibit Reference Basis Commencement Termination
Identification for Rates Date Date
Accumulator UL C-4 2. July 30, 2007
Perspective Investor VUL C-5 4. October 6,2008
(2001 CSO)
Ultimate Investor VUL C-5 4. October 6, 2008
(2001 CSO)
Xxxxxxx Advisor VUL C-5 4. October 6, 2008
(2001 CSO)
Riders:
Other Insured Rider (applicable to Perspective Investor VUL, Ultimate Investor
VUL, Advisor VUL, Accumulator UL, Perspective Investor VUL (2001 CSO), Ultimate
Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001 CSO) Plans)
Extended Maturity Rider (applicable to Perspective Investor VUL, Ultimate
Investor VUL and Advisor VUL Plans)
Scheduled Term Rider (applicable to Perspective Investor VUL Plan)
Terminal Illness Rider (applicable to Perspective Investor VUL, Ultimate
Investor VUL, Advisor VUL, Generations UL Accumulator UL, Perspective Investor
VUL (2001 CSO), Ultimate Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001
CSO) Plans)
Waiver of Specified Premium (applicable to Accumulator UL, Perspective Investor
VUL (2001C CSO), Ultimate Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001
CSO) Plans)
Guaranteed Death Benefit (applicable to Perspective Investor VUL (2001 CSO),
Ultimate Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001 CSO) Plans)
Facultative Submissions:
The Company may submit, on a facultative basis, to the Reinsurer any application
for a policy on a plan or rider listed above which qualifies for automatic
reinsurance.
The Company will submit on a facultative basis to the Reinsurer any application
for a policy on a plan or rider listed above which does not meet the criteria
listed in Article 2 under Automatic Reinsurance.
Lives resident in Mexico may be submitted to the Reinsurer on a Facultative
basis only.
The Reinsurer's facultative offer will expire at the end of 120 days, unless
otherwise specified by the Reinsurer.
A3-I59599US-04-eg-20081006 [0782701] Page 5
Exhibit C-5
(Effective October 6, 2008)
Rates and Terms for the Perspective Investor VUL (2001 CSO), Ultimate Investor
VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001 CSO) Plans
1. Reinsurance Basis: YRT
2. Age Basis: Nearest
3. Premiums: The Company will pay to the Reinsurer a basic premium calculated
by multiplying the net amount at risk of the Reinsured Policy by twelve
times the appropriate rate from the set of rates included at the end of
this sub-section, subject to the percentages shown below. Premiums will be
payable on a policy year basis, regardless of the premium payment mode
under the original insurance, and the Company will continue to pay the
appropriate premium to the Reinsurer as long as the Reinsured Policy is in
force.
Any extra premiums payable on account of additional mortality risk will be
payable to the Reinsurer.
The following percentages will be applied to the appropriate base monthly
rates:
----------------------------------- --------------- ------------------------------------------------
Year 1 Years 2+
----------------------------------- --------------- ------------------------------------------------
----------------------------------- --------------- --------------- ---------------- ---------------
All Issue Ages Issue Ages 0 Issue Ages 40 Issue Ages 80
- 39 - 79 - 90
----------------------------------- --------------- --------------- ---------------- ---------------
----------------------------------- --------------- --------------- ---------------- ---------------
----------------------------------- --------------- --------------- ---------------- ---------------
----------------------------------- --------------- --------------- ---------------- ---------------
Perspective Investor VUL (2001
CSO) XX% XX% XX% XX%
----------------------------------- --------------- --------------- ---------------- ---------------
----------------------------------- --------------- --------------- ---------------- ---------------
Ultimate Investor VUL (2001 CSO)
XX% XX% XX% XX%
----------------------------------- --------------- --------------- ---------------- ---------------
----------------------------------- --------------- --------------- ---------------- ---------------
Xxxxxxx Advisor VUL (2001 CSO)
XX% XX% XX% XX%
----------------------------------- --------------- --------------- ---------------- ---------------
The following percentages will be applied to the base monthly rates for the
Other Insured Rider:
------------------------------- ---------------- ---------------------------------------------------
Year 1 Years 2+
------------------------------- ---------------- ---------------------------------------------------
------------------------------- ---------------- ----------------- --------------- -----------------
All Issue Ages Issue Ages 0 - Issue Ages 40 Issue Ages 80 -
39 - 79 90
------------------------------- ---------------- ----------------- --------------- -----------------
------------------------------- ---------------- ----------------- --------------- -----------------
------------------------------- ---------------- ----------------- --------------- -----------------
------------------------------- ---------------- ----------------- --------------- -----------------
Other Insured Rider XX% XX% XX% XX%
------------------------------- ---------------- ----------------- --------------- -----------------
A3-I59599US-04-eg-20081006 [0782701] Page 6
Exhibit C-5
Page 2
4. Multiple Extras: For substandard risks issued at table ratings, the
applicable rate shall be increased by an extra 25% per table of assessed
rating.
5. Allowances:
On Basic Premium(s)
There are no allowances payable.
On Flat Extra Premiums
When a flat extra premium is payable for 5 years or less, an allowance of
10% of the gross flat extra charged by the Company will be made each year.
When a flat extra premium is payable for more than 5 years, an allowance of
100% of the gross flat extra charged by the Company will be made in the
first year and an allowance of 10% in each year thereafter.
On Multiple Extra Premiums
There are no allowances payable.
On Supplementary Riders:
The Reinsurer will pay the Company the following allowances:
----------------------------------------- --------------- -----------------
Rider Name Year 1 Years 2+
----------------------------------------- --------------- -----------------
----------------------------------------- --------------- -----------------
Waiver of Specified Premium XX% XX%
----------------------------------------- --------------- -----------------
6. Net Amounts At Risk: For Variable Benefit Plans, the reinsured net amount
at risk will be the difference between the reinsured face amount and the
account value applicable to the face amount reinsured. The reinsured face
amount is the initial amount reinsured under this Agreement, or as reset by
subsequent scheduled or fully underwritten increases. For reinsured net
amount at risk purposes, the account value is that which is in effect for
each reinsurance premium accounting period.
For UL Life type plans, if the death benefit is Option A, the reinsured net
amount at risk will be the difference between the reinsured face amount and
the account values applicable to the face amount reinsured. If the death
benefit is Option B, the reinsured net amount at risk will be the reinsured
face amount.
Increases in the amount at risk due to Cost of Living Rider increases or
fluctuations in the amount at risk caused by the normal workings of the
cash value fund in Universal Life type plans will be shared by the Company
and the Reinsurer using the same retention method as for the base policy.
A3-I59599US-04-eg-20081006 [0782701] Page 7
Exhibit C-5
Page 3
7. Rate Guarantee:
The YRT reinsurance rates set out in this sub-section are guaranteed to the
extent that in the 2nd year and later the Reinsurer reserves the right to
increase the premiums for reinsurance but not above the statutory net
premium.
If the Reinsurer exercises this right and the Company has not increased its
rates to the policy owner, the Company may recapture the Reinsured Policies
on which the rates have been increased regardless of the Reinsured
Policies' duration in force. Such a recapture would be subject to a
recapture fee mutually agreed upon by the Company and the Reinsurer.
8. Deficiency Reserves:
No Deficiency Reserves will be held by the Reinsurer for the Reinsured
policies.
9. Recapture:
Reinsured Policies on an excess basis may be recaptured under the following
situations provided the Reinsured Policies have been in force for the
specified period:
Increase in Company's Retention
Inforce Period: 30 years
Insolvency of Reinsurer
Inforce Period: Not applicable
10. Reductions: Reinsured Policies will be reduced in proportion to the
reduction under the original policy or policies. A reduction to one of the
Company's policies not reinsured hereunder will not affect any Reinsured
Policy on the same life.
11. Terminal Illness Rider: It is understood that this rider provides an
accelerated payment of life insurance proceeds up to a maximum of $250,000
at no extra cost in the event an insured incurs a terminal illness as
defined in the policy while the policy is in force. For reinsurance
purposes, if the face amount of the policy is greater than $250,000, the
reinsured amount will not be reduced by the amount of accelerated benefit
and the Company will continue to pay reinsurance premiums until the actual
date of death. If, however, the face amount of the policy is less than
$250,000 and the full amount is paid by the Company as an accelerated
benefit, then reinsurance will cease as of the date of the acceleration.
A3-I59599US-04-eg-20081006 [0782701] Page 8
Exhibit C-5
Page 4
12. Conditions Requiring Claims Consultation: Before conceding liability or
making settlement to the claimant, the Company will seek the Reinsurer's
recommendation if:
a) The claim occurs during the contestable period and the Company is not
contesting the claim, but the Reinsurer's share exceeds $500,000; or
b) The claim occurs outside of the United States or Canada, and the
Reinsurer's share exceeds $500,000; or
c) The claim is one for which there is no body, i.e. the insured is
missing and presumed dead, and the Reinsurer's share exceeds $500,000.
If the Reinsurer discovers that the Company's claims paying practices and
procedures differ materially from those performed at the inception of the
Agreement or from the Business Guidelines, then, in addition to any other
remedies, the Reinsurer may, with 30 days' written notice, adjust the
threshold amounts specified above.
A3-I59599US-04-eg-20081006 [0782701] Page 9
Exhibit D
(Revised October 6, 2008)
The Company's Retention Limits
Applicable to Perspective Investor VUL Plans:
Domestic and Canadian Business:
-------------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
0 - 65 $1,500,000 $750,000 $375,000
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
66 - 75 $500,000 $250,000 $125,000
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
76 - 85 $250,000 $125,000 $125,000
-------------------- ----------------------- ---------------- ------------------
Mexican Business:
-------------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
0 - 65 $500,000 $425,000 $375,000
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
66 - 75 $500,000 $250,000 $125,000
-------------------- ----------------------- ---------------- ------------------
-------------------- ----------------------- ---------------- ------------------
76 - 85 $250,000 $125,000 $125,000
-------------------- ----------------------- ---------------- ------------------
It is understood that the amount retained by the Company includes its retention
under any inforce policies.
Proportionate Risk Retention
Any change in the net amount at risk due to changes in the cash value applicable
to the policy will be shared proportionately between the Company and its
reinsurers.
It is also understood that, where the ultimate projected amount of a policy
requires reinsurance due to the Scheduled Term Rider, the Company's share of the
risk on the policy will be set at issue as a first dollar quota share
percentage, equal to the Company's maximum available retention for the insured's
age and rating at issue divided by the anticipated ultimate projected face
amount of the policy including the Scheduled Term Rider. The Reinsurer will
reinsure its share as stated in Exhibit A of the remaining risk amount. In no
event will the Company cede a higher percentage of the risk on an automatic
basis to the Reinsurer than that shown in Exhibit A. The Company's methodology
for administering Scheduled Term Riders is attached to this Exhibit as page 2.
A3-I59599US-04-eg-20081006 [0782701] Page 10
Exhibit D
Page 2
The Company's Retention Limits
Applicable to Ultimate Investor VUL, Advisor VUL, and Generations UL Plans:
Domestic and Canadian Business:
-------------- ----------------------- ----------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
-------------- ----------------------- ----------------- ------------------
-------------- ----------------------- ----------------- ------------------
-------------- ----------------------- ----------------- ------------------
-------------- ----------------------- ----------------- ------------------
0 - 65 $2,000,000 $1,000,000 $500,000
-------------- ----------------------- ----------------- ------------------
-------------- ----------------------- ----------------- ------------------
66 - 75 $700,000 $350,000 $175,000
-------------- ----------------------- ----------------- ------------------
-------------- ----------------------- ----------------- ------------------
76 - 90 $350,000 $175,000 $175,000
-------------- ----------------------- ----------------- ------------------
Applicable to Accumulator UL, Perspective Investor VUL (2001 CSO), Ultimate
Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001 CSO) Plans:
Domestic and Canadian Business:
----------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
0 - 65 $2,000,000 $1,000,000 $500,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
66 - 75 $700,000 $350,000 $175,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
76 - 85 $350,000 $175,000 $175,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
86 - 90 $0 $0 $0
----------------- ----------------------- ---------------- ------------------
It is understood that the amount retained by the Company includes its retention
under any inforce policies.
Proportionate Risk Retention
Any change in the net amount at risk due to changes in the cash value applicable
to the policy will be shared proportionately between the Company and its
reinsurers.
A3-I59599US-04-eg-20081006 [0782701] Page 11
Exhibit E
(Revised October 6, 2008)
The Reinsurer's Automatic Acceptance Limits
Applicable to Perspective Investor VUL Plans:
The Reinsurer will automatically accept the excess share of each policy over the
Company's Retention, as specified in Exhibit A, of the following maximum limits
on a per life basis:
Domestic and Canadian Business:
----------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
0 - 65 $15,000,000 $7,500,000 $3,750,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
66 - 75 $5,000,000 $2,500,000 $1,250,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
76 - 85 $2,500,000 0 0
----------------- ----------------------- ---------------- ------------------
Mexican Business:
----------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
0 - 65 $2,000,000 $1,700,000 $1,500,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
66 - 75 $2,000,000 $1,000,000 $500,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
76 - 85 $1,000,000 0 0
----------------- ----------------------- ---------------- ------------------
Inforce Limits
Domestic and Canadian Business: $50,000,000 inforce and applied for on any one
life.
Mexican Business: $25,000,000 inforce and applied for on any one life.
Applicable to Ultimate Investor VUL, Advisor VUL, and Generations UL Plans:
The Reinsurer will automatically accept the excess share of each policy over the
Company's Retention, as specified in Exhibit A, of the following maximum limits
on a per life basis:
Domestic and Canadian Business:
----------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
0 - 65 $20,000,000 $10,000,000 $5,000,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
66 - 75 $7,000,000 $3,500,000 $1,750,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
76 - 85 $3,500,000 $0 $0
----------------- ----------------------- ---------------- ------------------
A3-I59599US-04-eg-20081006 [0782701] Page 12
Exhibit E
Page 2
The Reinsurer's Automatic Acceptance Limits
Applicable to Accumulator UL, Perspective Investor VUL (2001 CSO), Ultimate
Investor VUL (2001 CSO), and Xxxxxxx Advisor VUL (2001 CSO) Plans:
The Reinsurer will automatically accept the excess share of each policy over the
Company's Retention, as specified in Exhibit A, of the following maximum limits
on a per life basis:
Domestic and Canadian Business:
----------------- ----------------------- ---------------- ------------------
Issue Age Standard - Table 2 Table 3 - 8 Table 9 - 16
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
0 - 65 $20,000,000 $10,000,000 $5,000,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
66 - 75 $7,000,000 $3,500,000 $1,750,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
76 - 85 $3,500,000 $1,750,000 $1,750,000
----------------- ----------------------- ---------------- ------------------
----------------- ----------------------- ---------------- ------------------
86 - 90 $0 $0 $0
----------------- ----------------------- ---------------- ------------------
Mexican Business: Issued on a facultative basis only.
Inforce Limits
Domestic and Canadian Business: $50,000,000 Inforce and applied for on any one
life.
A3-I59599US-04-eg-20081006 [0782701] Page 13
