SPECIALTY BROKER
AGREEMENT
SPECIALTY BROKER
SPECIALTY BROKER AGREEMENT
SPECIALTY BROKER AGREEMENT between AETNA LIFE INSURANCE AND ANNUITY COMPANY,
with offices at 000 Xxxxxxxxxx Xxxxxx, Xxxxxxxx, Xxxxxxxxxxx 00000 (referred to
in this agreement as the "Company") and SPECIALTYBROKER at XXXXXXX0, XXXXXXX0,
XXXXXXX0 (xxxxxxxx to in this agreement as "Specialty Broker").
Specialty Broker has read and fully understands the terms and conditions of this
Specialty Broker Agreement (the "Agreement"), and its attachments.
To signify their agreement to the following provisions, Company and Specialty
Broker have caused this instrument to be executed by their duly authorized
representatives.
Signed at____________________________on_____________________.
Effective:
SPECIALTY BROKER Aetna Life Insurance and Annuity Company
_____________________________________ ______________________________________
Specialty Broker Vice President
By: _________________________________
(Please print name and title)
--------------------------------------------------------------------------------
Life Code No. ________________ Federal Tax Id. No.___________________
Aetna Life Insurance and Annuity Company
Code No. _____
1. Appointment
The Company wishes to appoint The Specialty Broker as a specialty broker
of the Company, and Specialty Broker agrees to accept such appointment, subject
to the terms and conditions of this Agreement.
2. Status of Specialty Broker
Nothing contained in this Agreement shall be construed to create the
relationship of employer and employee between the Company and Specialty Broker.
The Specialty Broker is acting as an independent contractor only and not as an
employee, partner, joint venturer or associate of the Company.
3. Duties of the Specialty Broker
(a) The Specialty Broker is authorized to solicit and submit to the
Company personally or through its properly licensed agents or brokers (referred
to in this Agreement as "Agents") applications for the Company's Individual Life
Insurance products listed in the Company's Standard Schedule of Life Insurance
Specialty Broker Compensation ("Compensation Schedule"), to deliver the
policies, to collect first premiums, and to service the business.
(b) The Specialty Broker shall exercise reasonable due care for the
faithful performance, fidelity and honesty of its Agents and employees, and will
maintain responsibility for all funds collected and business done by or
entrusted to the Specialty Broker and its employees.
(c) The Specialty Broker will comply with all requirements of the
Company governing the submission of applications and shall make available to the
Company all information, whether favorable or unfavorable, which comes into the
Specialty Broker's possession concerning the underwriting of any risk.
(d) The Specialty Broker will obligate the Company only to the extent
authorized (1) by this Agreement, and amendments to this Agreement as may be
made by the Company from time to time; (2) by the published rules, procedures
and practices set forth by the Company; and (3) as may be authorized in writing
by an officer of the Company.
(e) The Specialty Broker shall pay all expenses of every nature incurred
in connection with the conduct and maintenance of its agency.
(f) The Specialty Broker will notify the Company in writing of a change
in its chief executive officer or its majority voting stock ownership, if a
corporation; a general partner if a partnership; or the majority ownership of
the agency.
(g) The Specialty Broker shall exercise reasonable care and diligence
and exert its best efforts to ensure that the policies issued under this
Agreement are maintained current and in force. The Specialty Broker shall
promote the interests of the Company as contemplated by this Agreement so as not
to adversely affect the Specialty Broker or Company's business reputation.
4. Limitations of Specialty Broker's Authority
(a) The Specialty Broker is not authorized on behalf of the Company to
make, alter, modify, waive or change any of the terms, rates, or conditions of
any of the Company's forms, policies, contracts, or advertising materials. The
Specialty Broker shall not discharge contracts or waive forfeitures, quote rates
not approved by the Company, extend the time of payment of any premium, extend
credit, or guarantee dividends.
(b) The Specialty Broker is not authorized and is expressly forbidden on
behalf of the Company to estimate future policy performance except through the
use of authorized projections or illustrations of the Company.
(c) The Specialty Broker is not authorized to receive Company Funds (as
defined in Section 10) except initial premiums, and is not authorized to deduct
compensation, commissions, service fees, or allowances from Company Funds it
collects.
(d) The Specialty Broker has no exclusive territory.
(e) The Specialty Broker shall not hold itself out as an employee,
partner, joint venturer, officer, or associate of the Company; nor as an agent
of the Company in any other manner, or for any other purpose, than is
specifically provided in this Agreement.
5. Bond/Errors & Omissions
Specialty Broker shall maintain Errors & Omissions insurance coverage
and/or a Bond of Indemnity in such amount and in such form as the Company may
from time to time determine and the Specialty Broker shall provide evidence of
such coverage when requested by the Company.
6. Appointment of Agents
(a) The Specialty Broker has the authority to recruit insurance Agents,
at Specialty Broker's expense without any reimbursement from the Company, and
recommend their licensing and appointment to the Company. The Company reserves
the right to refuse to contract, license or appoint any such Agent.
(b) The Specialty Broker may not recruit Agents on behalf of the Company
who act as life insurance wholesalers or distributors without the prior written
approval of the Company. The Specialty Broker must remain at all times the sole
intermediary between the Agent and the Company.
(c) The Specialty Broker shall submit to the Company agreements with
Agents, on Company forms without modification, authorizing the Agents to solicit
life insurance applications for the Company. A copy of each executed agreement
shall be furnished to the Company by the Specialty Broker. These agreements are
not in effect until signed by the Company's authorized representative.
(d) The Company may terminate an Agent agreement in its sole discretion
and without liability to the Specialty Broker. The Company will provide the
Specialty Broker a written explanation of the specific reasons for the
termination.
(e) The Specialty Broker shall be responsible for keeping its Agents
informed of Company's published rules, procedures, and practices which the
Company provides to the Specialty Broker.
(f) The Specialty Broker shall promptly report to the Company, in
writing, any known or alleged misappropriation of funds by any Agent or employee
regardless of whether such known or alleged misappropriation is with respect to
funds of this Company or funds of any other person or company.
(g) If an Agent terminates his or her relationship with the Specialty
Broker or Company, the Specialty Broker may designate another Agent to provide
service to the policyholder involved; provided, however, that such Agent meets
all of the requirements of this Agreement.
7. Licenses
(a) The Specialty Broker agrees not to solicit any Company products in
any state or jurisdiction unless the Specialty Broker and its writing Agent are
properly licensed in that state or jurisdiction, and, as necessary, registered
with the National Association of Securities Dealers.
(b) The Specialty Broker will be responsible for maintaining in effect
any required licenses to represent the Company and to sell life insurance within
each state in which the Specialty Broker intends to carry on business.
8. Acceptance of Applications
The Specialty Broker is responsible for assuring that applications for
insurance and other Company forms and payments obtained or received from Agents
will be promptly forwarded to the Company. The Company reserves the right in its
sole discretion and without liability to the Specialty Broker to refuse to
accept, approve, or amend any applications submitted by the Specialty Broker.
9. Delivery of Policies
(a) Delivery of a policy may be made only if (1) to the best of the
Specialty Broker or Agent's knowledge and belief, nothing material to the risk
has changed since the initial application for such policy; (2) all required
Company forms and amendments have been signed by the applicant and/or the
insured; (3) the first premium has been fully paid; and (4) delivery is made
within forty-five (45) days from the date the policy is mailed by the Company,
unless the delivery period is extended by the Company.
(b) The Specialty Broker will promptly return to the Company all
policies not delivered to the applicant within the forty-five (45) day period.
Any premium refunded by the Company to the Specialty Broker must be immediately
returned to the applicant.
(c) For each policy issued in a form as applied for and returned for
cancellation on account of non-acceptance by the applicant, or which is
rewritten at Specialty Broker's or Agent's request, the Company reserves the
right to require the Specialty Broker to reimburse the Company for the cost of
underwriting
requirements and policy reissue, or the Company may elect to charge-back such
costs against any compensation otherwise due the Specialty Broker.
10. Company Funds
Any money due or to become due the Company from customers as premiums or
otherwise are funds of the Company ("Company Funds"). All Company Funds
collected by the Specialty Broker for the Company must be immediately delivered
to the Company and shall not be commingled with the Specialty Broker's personal
funds.
11. Policies Credited
The Specialty Broker will be credited with all life insurance policies
issued by the Company upon application bearing its name as Specialty Broker, or
the name of Agents appointed with the Company through the Specialty Broker.
12. Compensation
(a) The Specialty Broker shall receive compensation in accordance with
the Compensation Schedule in force on the date of issue of the policy for all
services that it performs for the Company, subject to all the terms and
conditions of this Agreement. The Compensation Schedule in effect on the date of
this Agreement is attached to and made part of this Agreement.
(b) The Company reserves the right to revise the Compensation Schedule
upon thirty (30) days notice to the Specialty Broker, but the revision of the
Compensation Schedule shall apply only to policies thereafter issued. Any
revised Compensation Schedule shall become a part of this Agreement on its
effective date.
13. Payments to Agents
(a) The Company shall pay commissions in accordance with the schedule of
commissions included in or attached to the Agents' agreements.
(b) The Company shall not be bound by an assignment or pledge of, or
lien on, any Agent's commissions on behalf of the Specialty Broker, unless the
Company has received specific and timely written notice of, and has agreed in
writing to honor such assignment, pledge or lien.
14. Refund of Compensation
Should the Company in its sole discretion for any reason refund or
credit to the customer any premium, the Specialty Broker will promptly, on
demand, refund to the Company all compensation paid to the Specialty Broker for
such premium. Compensation adjustments may be made on decreases in premium for
which first year compensation has previously been paid.
15. Advances and Indebtedness
(a) The Company is authorized, at any time either before or after the
termination of this Agreement, to deduct from any compensation due from the
Company to the Specialty Broker the entire amount of any Company Funds or other
funds, including, but not limited to, advances or debts, owed by the Specialty
Broker to the Company or its affiliates, associates, parents or subsidiaries.
(b) Any compensation paid to the Specialty Broker for premiums later
refunded or credited to the customer, or any overpayment of compensation shall
be a debt due the Company from the Specialty Broker and payable in accordance
with this Section.
(c) In addition to all other rights available to the Company as a
creditor, the Company shall have a first lien on all compensation payable under
this Agreement for any of the funds, advances or debts described herein.
(d) To the extent that compensation due to the Specialty Broker from the
Company is insufficient to cover advances, the difference shall become a debt
due to the Company. Interest at the rate of 8% per annum shall be charged on any
indebtedness remaining due and payable to the Company after one year.
16. Assignment
An assignment of the Specialty Broker's rights and obligations under
this Agreement or any compensation hereunder shall not be binding upon the
Company until a copy of the assignment has been received at the Company's Home
Office and approved in writing by an officer of the Company. The Company does
not assume any responsibility for the validity, sufficiency or tax consequences
of any assignment.
17. Hold Harmless
(a) The Specialty Broker will indemnify and hold the Company harmless
for all expenses, loss or damage suffered by the Company because of a violation
of, or refusal or failure to comply with the terms of this Agreement or with any
federal or state laws, rules or regulations, or resulting from unauthorized acts
or transactions, errors or omissions by the Specialty Broker or the Specialty
Broker's employees except to the extent that the Company caused, contributed to
or compounded such violation, refusal, failure, or other such transactions,
acts, errors or omissions.
(b) The Company will indemnify and hold the Specialty Broker harmless
for all expenses, loss or damage suffered by the Specialty Broker caused by the
Company's errors in preparing, processing or billing of any policy, except to
the extent that the Specialty Broker caused, contributed to or compounded such
errors. However, the Company will not be liable to the Specialty Broker for any
legal or other expenses the Specialty Broker chooses to incur, solely on its
own, in connection with any such error.
18. Settlement of Disputes
(a) Disputes between the Company, Specialty Broker, Agents, and/or
policyholders relating to the Company's business, may be settled in good faith
by the Company and such settlement is binding on the Specialty Broker.
(b) The Specialty Broker shall cooperate fully with the Company in any
investigation or proceeding of any regulatory or governmental body, or court of
competent jurisdiction, if it is determined by the Company that the
investigation or proceeding affects matters covered by or arising out of this
Agreement.
(c) The Specialty Broker has no authority to institute legal or
administrative proceedings in the Company's name nor institute such proceedings
in connection with the transaction of the Company's business unless the Company
provides prior written approval for such actions by the Specialty Broker.
(d) The Specialty Broker shall defend any act or alleged act of the
Specialty Broker at its own expense. The Specialty Broker shall reimburse the
Company for all costs, expenses or legal fees that the Company incurs for the
defense of any administrative action in which the Company or the Specialty
Broker is named and which is, in the Company's opinion, the consequence of any
unauthorized act of the Specialty Broker.
(e) The Specialty Broker shall immediately notify the Company if it is
served with any paper or has knowledge of any legal or administrative action
against the Company or which involves the Company.
19. General Conduct, Rebates, Replacements
(a) The Specialty Broker will comply with all published rules of the
Company and with applicable federal, state or other laws and regulations
governing the sale of the Company's products.
(b) The Specialty Broker shall not rebate, or offer to rebate, all or
any part of its compensation, commission or premium on a policy issued or to be
issued by the Company, except where permitted by, and in accordance with, state
law and established Company practices.
(c) The Specialty Broker shall comply with the replacement rules and
regulations of the Company and the state in which the Specialty Broker is
licensed.
20. Advertising
The Specialty Broker will not, directly or indirectly, use or
disseminate any advertising matter, prospectuses, circulars, letters, booklets,
schedules, stationery, broadcasting, or sales material of any kind concerning
the Company or its products, or which contains the Company's name or any of the
Company's trademarks, unless produced by the Company; or use the name of the
Company or any of the Company's trademarks in a publication of any form without
obtaining the prior written authorization of an officer of the Company.
21. Ownership of Company Property
(a) In order to assist the Specialty Broker in the solicitation and sale
of Company's products, the Company may from time to time make available to the
Specialty Broker Company records, literature, authorization cards, sales aids,
sales and rate manuals, computer software, computer hardware, supplies and
equipment. The Specialty Broker recognizes that such materials and equipment of
every kind and nature furnished to the Specialty Broker by the Company shall be
and remain the property of the Company. The Specialty Broker shall not reproduce
such materials without the Company's prior written approval.
(b) The Specialty Broker shall safely keep and preserve Company property
and shall replace at the Specialty Broker's expense any part thereof which may
be lost, destroyed or defaced while the same are in the Specialty Broker's
possession or control. On termination, the Specialty Broker shall deliver to the
Company, or such person as it may designate, all Company property in the
Specialty Broker's possession or control. Pending return of these items, the
Company may withhold any and all compensation which may be due to the Specialty
Broker.
22. Termination and the Right to Compensation Thereafter
(a) This Agreement may be terminated without cause by either party upon
at least thirty days written notice specifying the termination date.
(b) This Agreement may be terminated at the Company's discretion, at
the end of any calendar year during which the Specialty Broker has not
maintained a minimum first year premium persistency of 85%.
(c) This Agreement will automatically terminate:
(i) upon the death or total and permanent physical or mental
disability of the Specialty Broker, if an individual,
(ii) upon the dissolution of the corporation, if the Specialty
Broker is a corporation; (iii) upon the dissolution of the
partnership, if the Specialty Broker is a partnership; or
(iv) upon the expiration or lapse of the Specialty Broker's
license to represent the Company.
If this Agreement is terminated as provided in Section 22(b) or Section
22(c), the Specialty Broker shall be entitled to compensation as set forth in
the Compensation Schedule subject to the provisions of Section 15.
(d) The Company may terminate this Agreement for cause at any time,
immediately upon notice to the Specialty Broker, if:
(i) the Specialty Broker shall knowingly and intentionally
fail to conform to the published rules and regulations of
the Company;
(ii) the Specialty Broker shall have his license to transact
business hereunder revoked, suspended, or refused by a
state licensing authority;
(iii) as it relates to a policy issued by the Company or while
the Specialty Broker is conducting business on the
Company's behalf, the Specialty Broker shall knowingly and
intentionally fail to comply with the laws, Insurance
Department regulations, or
other administrative regulations, governing the insurance
business of the state in which the Specialty Broker is
licensed or of any other state in which the Company is
authorized to do business;
(iv) the Specialty Broker shall improperly induce any
policyholder of the Company to discontinue premium
payments, cancel or fail to renew his policy;
(v) the Specialty Broker shall knowingly or intentionally make
false or misleading statements about the Company or its
products; or
(vi) the Specialty Broker shall fail to remit Company Funds to
the Company or return Company property upon written
request; or subject the Company to any liability due to
the Specialty Broker's misfeasance or malfeasance; or
commit any fraud hereunder.
If the Company terminates this Agreement for cause, no further
compensation in any form shall be payable to the Specialty Broker after such
termination, except compensation, service fees, or expense reimbursement
allowance which were payable prior to such termination, less any outstanding
indebtedness to the Company.
(e) For purposes of determining whether this Agreement has been
breached, if the Specialty Broker is a partnership or a corporation, then the
acts of all general partners of the partnership, or of all officers, directors
and voting shareholders of the corporation, as the case may be, shall be deemed
acts of the Specialty Broker.
(f) Termination of this Agreement will result in the termination of all
agreements with Agents recruited by the Specialty Broker.
23. Revocation of Prior Agreements
(a) This Agreement, together with its attachments and schedules,
contains the entire agreement between the Specialty Broker and the Company as of
the effective date of this Agreement, and shall be effective to cover all
applications taken by the Specialty Broker on or after the date of this
Agreement.
(b) The execution of this Agreement by the Company and Specialty Broker
terminates and supersedes all previous written or verbal contracts or agreements
made between said parties except as to renewal commissions, first year
commissions and the service fees provided for in such contracts, if any, that
may now be due or shall become due the Specialty Broker on business heretofore
written. But nothing in this Agreement shall be construed to affect or waive any
claim of any kind, whether for money or otherwise, of the Company against the
Specialty Broker or any obligations or vested right under any prior contract or
agreement.
24. Provisions That Survive This Agreement
(a) Sections 14, 15, 17, and 18 of this Agreement shall survive the
termination of the other items and provisions of this Agreement.
(b) In the event that the Specialty Broker, or any partner of the
Specialty Broker, or any shareholder of the Specialty Broker, at any time after
the termination of this Agreement shall improperly induce any policyholder of
the Company to discontinue the payment of premiums, or cancel or fail to renew
any policy, contract or certificate with the Company, then the Company shall
have the right to terminate payment of any compensation of any sort hereunder.
25. Governing Law
This contract shall be governed by the laws of the State of Connecticut.
26. Severability
In the event one or more, but not all of the provisions of this
Agreement are determined to be unlawful or unenforceable by a court or
regulatory agency of competent jurisdiction or rendered so by statute or
regulation, such determination shall not affect the legality or enforceability
of the remainder of the terms of this Agreement.
27. Modifications of this Agreement
This Agreement and its attached schedules may not be changed or
cancelled orally. The Company may, at any time after thirty (30) days notice to
Specialty Broker, amend this Agreement in whole or in part. Any such amendment,
however, shall in no way, except by mutual consent, affect policies issued or
applications submitted before the amendment date.
28. Notice
(a) All notices and demands made under this Agreement shall be valid
only if in writing and hand-delivered or properly sent by (i) United States
certified or registered mail, postage prepaid, return receipt requested; or (ii)
overnight delivery service such as Xxxxx or Federal Express with provisions for
a receipt and delivery charge prepaid, addressed as follows or to any other
address a party may designate by giving notice to the other party.
(b) Any notice sent to the Company should be sent to Vice President,
Individual Life SBU, Aetna Life Insurance and Annuity Company, 000 Xxxxxxxxxx
Xxxxxx, Xxxxxxxx, XX 00000. Any notice sent to the Specialty Broker should be
sent to the address indicated on page 1.
29. Benefit
This Agreement shall be binding upon, and inure to the benefit of the
parties hereto, their legal representatives, successors, and assigns (to the
extent limited by this Agreement).
30. Miscellaneous
(a) If the Specialty Broker or any of its Agents desires to sell any
product produced currently or in the future by the Company or any of the
Company's affiliates, the Specialty Broker or Agent must also hold a valid
agreement to distribute any such products.
(b) The Company reserves the right to:
(i) modify the amount or plan of any policy available for sale or
its premium rates;
(ii) modify any issue or underwriting rules;
(iii) cancel or rescind any existing product available for sale; or
(iv) withdraw any policy from any state at any time or introduce
new policies.
(c) The failure of the Company to enforce the performance of any of the
terms of this Agreement will not constitute a waiver unless agreed to in writing
by the Company and the Specialty Broker.
(d) The captions and headings of the sections of this Agreement are for
convenience only and are not to be used to interpret, modify, define or limit
the provisions of this Agreement.
(e) The rights and remedies reserved by the Company in this Agreement
are in addition to and not exclusive of any other right or remedy available to
the Company.
APPENDIX I
CORPORATE SPECIALTY MARKETS
SCHEDULE OF BROKER COMMISSIONS
Effective August 30, 1993
1. CORPORATE UNIVERSAL LIFE
A. DEFINITIONS
Commissionable Basic Premium (CBP) - The basic premium for the
insured's rate class (smoker, nonsmoker), and issue age, including
policy fees, plus the basic premium for commissionable riders,
benefits, and substandard extras.
B. COMMISSION RATES (Percent of applicable premium)
RENEWAL EXCESS
1ST YEAR YEARS 2-10 OVER CBP
UP TO CBP UP TO CBP ALL DURATIONS
--------- --------- -------------
Corporate UL 50 3% 0%
C. RIDERS
Term Rider 0% 0% 0%
Disability Waiver Same as base policy
2. SPECIAL CASES
Commissions payable in the following cases, irrespective of any other
provisions of this schedule, will be at the rates allowed under the
Company's rule and practices in effect at the time the premium is due.
A. Premiums on reinstatement of lapsed policies;
B. Premiums of insurance which, in the judgment of the Company, takes or
is to take the place of insurance previously issued by the Company on
the same life;
C. Premiums on cases carrying special rate quotations.
3. RATINGS
All policies with table ratings will be commissionable at regular rates.
Flat Dollar extras will be compensated as follows based on duration and
purpose of the rating:
A. Temporary Flat extras for medical purposes:
3% first year and renewal commission will be payable for Flat
extras of less than 6 years.
B. Permanent Flat extras for medical reasons:
Full first-year and renewal commissions, if any, will be paid.
C. Flat extras for aviation and avocation:
3% first-year and renewal commission, if any, is payable.
APPENDIX I
CORPORATE SPECIALTY MARKETS
SCHEDULE OF BROKER COMMISSIONS
(Page 2)
4. COMMISSION RULES
A. INTERNAL REPLACEMENT RULES
Permanent Insurance to Permanent Insurance
------------------------------------------
A first-year commission rate equal to 50% of the regular
first-year rate (up to the commissionable basic premium on
Corporate UL plans) will be paid on the original amount of
insurance. Increases in coverage will be paid at normal rates.
Regular renewal rates will be paid on the entire face amount of
the new policy.
B. INCREASES
Commissions are earned as paid premiums are applied.
C. COMMISSION ON WAIVED PREMIUMS
Commissions are not payable on any premium or portion thereof which is
waived.
____________________________________________ ___________________
Signature Date
APPENDIX II
CORPORATE SPECIALTY MARKETS
SPECIALTY BROKER COMPENSATION SCHEDULE
Effective August 30, 1993
EXPENSE ALLOWANCE PAYMENT
An expense allowance payment (EAP) equal to 20% of net earned first-year
commission will be payable on individual life insurance policies credited to the
Specialty Broker as defined in Section 11 of the Specialty Broker Agreement.
COMMISSION OVERRIDE
An override equal to 6% of net earned first-year commission will be paid on
individual life insurance policies credited to the Specialty Broker as defined
in Section 11 of the Specialty Broker Agreement. No override is paid in renewal
years.
ADDITIONAL RENEWAL COMPENSATION
Additional renewal compensation (ARC) will be calculated and paid at the end of
each calendar quarter based on cumulative net commissionable basic premiums paid
on Corporate Specialty Markets ("CSM") policies of brokers associated to the
Specialty Broker. The percentage payable will be calculated in accordance with
the following schedule:
ARC Payable on ARC Payable on
Earned First Year 2nd and 3rd Year 4th through 10th Year
Commissionable Basic Commissionable Basic Commissionable Basic
Premium During Premium Paid During Premium Paid During
Prior Calendar Year Current Calendar Year Current Calendar Year
0 to 99,999 0% 0%
100,000 to 499,999 2% 0%
500,000 to 999,999 3% 0%
1,000,000 to 2,499,999 5% 1%
2,500,000 to 4,999,999 8% 2%
5,000,000 to 9,999,999 12% 3%
10,000,000 to 14,999,999 13% 3%
15,000,000 & OVER 15% 3%
Notes:
(1) ARC will be calculated and paid quarterly.
(2) ARC limited to commissionable basic premium only and does not include
excess payments.
(3) ARC on CSM policies is based only upon production of CSM business. It is
not integrated with sales of other Aetna policies or other ARC compensation
contracts.
CONTINGENT RENEWAL
A 2% renewal commission will be paid after the 10th policy year if the Specialty
Broker has an active Specialty Broker contract and policies are being serviced
to policyholder and Company standards.
VESTING
All compensation except "Contingent Renewals" is vested to the Specialty Broker
subject to the provisions of Section 22 of the Specialty Broker Agreement.
____________________________________________ ___________________
Signature Date
