Amendment #3 to the AUTOMATIC AND FACULTATIVE
Amendment #3
to the
AUTOMATIC AND FACULTATIVE
YEARLY RENEWABLE TERM REINSURANCE AGREEMENT
EFFECTIVE March 1, 2003
Between
THE PRUDENTIAL INSURANCE COMPANY OF AMERICA
(THE COMPANY)
And
SCOTTISH RE (U.S.), INC.
(THE REINSURER)
The parties hereby agree to the following:
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|
1. |
SCHEDULE A, Section 4, AUTOMATIC ACCEPTANCE LIMIT, shall be replaced by the following |
AUTOMATIC ACCEPTANCE LIMIT:
A. For any policy to be reinsured under automatic reinsurance, the face amount will not exceed the Automatic Issue Limits shown in the following tables:
US/Canadian Residents – No Foreign Travel – Non-Smoker
|
|
Rating Class of Higher Rated Life | |||
|
Issue Age of Older Insured |
No Substandard Rating |
Class A – D |
Class E – H | |
|
Ages: |
18 – 65 |
$ 65,000,000 |
$ 65,000,000 |
$ 53,000,000 |
|
|
66 – 70 |
$ 63,000,000 |
$ 50,000,000 |
$ 30,000,000 |
|
|
71 – 75 |
$ 41,000,000 |
$ 34,000,000 |
$ 20,500,000 |
|
|
76 – 77 |
$ 25,500,000 |
$ 20,500,000 |
$ 14,000,000 |
|
|
78 – 80 |
$ 25,500,000 |
$ 20,500,000 |
$ 14,000,000 |
|
|
81 – 85 |
$ 13,500,000 |
$ 11,500,000 |
$ 6,750,000 |
|
|
86 – 90 |
$ 6,750,000 |
$ 5,750,000 |
$ 3,600,000 |
US/Canadian Residents – No Foreign Travel – One Smoker
|
|
Rating Class of Higher Rated Life | |||
|
Issue Age of Older Insured |
No Substandard Rating |
Class A – D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 65,000,000 |
$ 60,000,000 |
$ 45,000,000 |
|
|
66 - 70 |
$ 53,000,000 |
$ 48,000,000 |
$ 27,000,000 |
|
|
71 - 75 |
$ 36,000,000 |
$ 33,000,000 |
$ 20,500,000 |
|
|
76 – 77 |
$ 23,500,000 |
$ 20,500,000 |
$ 14,000,000 |
|
|
78 - 80 |
$ 23,500,000 |
$ 20,500,000 |
$ 14,000,000 |
|
|
81 – 85 |
$ 12,500,000 |
$ 10,500,000 |
$ 6,750,000 |
|
|
86 - 90 |
$ 5,750,000 |
$ 4,750,000 |
$ 2,600,000 |
US/Canadian Residents – No Foreign Travel – Two Smokers
|
|
Rating Class of Higher Rated Life | |||
|
Issue Age of Older Insured |
No Substandard Rating |
Class A – D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 60,000,000 |
$ 55,000,000 |
$ 43,000,000 |
|
|
66 - 70 |
$ 48,000,000 |
$ 43,000,000 |
$ 26,000,000 |
|
|
71 - 75 |
$ 32,000,000 |
$ 31,000,000 |
$ 20,500,000 |
|
|
76 – 77 |
$ 20,500,000 |
$ 20,500,000 |
$ 13,000,000 |
|
|
78 - 80 |
$ 20,500,000 |
$ 20,500,000 |
$ 13,000,000 |
|
|
81 – 85 |
$ 10,500,000 |
$ 9,500,000 |
$ 5,750,000 |
|
|
86 - 90 |
$ 4,750,000 |
$ 3,750,000 |
$ 2,600,000 |
If both lives exceed Class H, there will be no automatic issue amount.
If one life is ratable over Class H, then the following individual policy limits for the lesser impaired life’s mortality classification apply:
US/Canadian Residents – No Foreign Travel – Non-Smoker
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|
Rating Class of Less Impaired Insured | |||
|
Issue Age of Older Insured |
No Substandard Rating |
Class A – D |
Class E – H | |
|
Ages: |
18 – 65 |
$ 41,000,000 |
$ 41,000,000 |
$ 34,000,000 |
|
|
66 – 70 |
$ 29,000,000 |
$ 29,000,000 |
$ 23,500,000 |
|
|
71 – 75 |
$ 19,500,000 |
$ 19,500,000 |
$ 15,000,000 |
|
|
76 – 77 |
$ 12,000,000 |
$ 12,000,000 |
$ 8,500,000 |
|
|
78 – 80 |
$ 8,500,000 |
$ 8,500,000 |
$ 6,750,000 |
|
|
81 – 85 |
$ 4,750,000 |
$ 4,750,000 |
None |
|
|
86 – 90 |
$ 2,700,000 |
$ 2,700,000 |
None |
US/Canadian Residents – No Foreign Travel – One Smoker
|
|
Rating Class of Less Impaired Insured | |||
|
Issue Age of Older Insured |
No Substandard Rating |
Class A – D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 35,000,000 |
$ 35,000,000 |
$ 28,000,000 |
|
|
66 - 70 |
$ 26,000,000 |
$ 26,000,000 |
$ 20,500,000 |
|
|
71 - 75 |
$ 19,500,000 |
$ 19,500,000 |
$ 13,000,000 |
|
|
76 – 77 |
$ 11,000,000 |
$ 11,000,000 |
$ 7,500,000 |
|
|
78 - 80 |
$ 7,500,000 |
$ 7,500,000 |
$ 5,750,000 |
|
|
81 – 85 |
$ 4,750,000 |
$ 4,750,000 |
None |
|
|
86 - 90 |
$ 1,700,000 |
$ 1,700,000 |
None |
US/Canadian Residents – No Foreign Travel – Two Smokers
|
|
Rating Class of Less Impaired Insured | |||
|
Issue Age of Older Insured |
No Substandard Rating |
Class A – D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 31,000,000 |
$ 31,000,000 |
$ 24,000,000 |
|
|
66 - 70 |
$ 25,000,000 |
$ 25,000,000 |
$ 18,500,000 |
|
|
71 - 75 |
$ 19,000,000 |
$ 19,000,000 |
$ 12,000,000 |
|
|
76 – 77 |
$ 11,000,000 |
$ 11,000,000 |
$ 7,500,000 |
|
|
78 - 80 |
$ 7,500,000 |
$ 7,500,000 |
$ 5,750,000 |
|
|
81 – 85 |
$ 4,750,000 |
$ 4,750,000 |
None |
|
|
86 - 90 |
$ 1,700,000 |
$ 1,700,000 |
None |
US/Canadian Residents – Foreign Travel
|
|
Rating Class of Higher Rated Life | |||
|
Issue Age of Older Insured |
Preferred Best – Class C |
Class D – E |
Greater than Class E | |
|
Ages: |
18 - 65 |
$ 10,000,000 |
$ 7,500,000 |
None |
|
|
66 - 70 |
$ 7,500,000 |
$ 5,000,000 |
None |
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|
00 - 00 |
Xxxx |
Xxxx |
Xxxx |
B. For any policy to be reinsured under automatic reinsurance, the amounts subject to reinsurance are the First Layer of Coverage amounts shown in the following tables:
US/Canadian Residents – No Foreign Travel
|
|
Rating Class of Higher Rated Life | ||
|
Issue Age of Older Insured |
Pref. Best – Class D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 50,000,000 |
$ 40,000,000 |
|
|
66 - 70 |
$ 40,000,000 |
$ 20,000,000 |
|
|
71 - 75 |
$ 30,000,000 |
$ 15,000,000 |
|
|
76 – 80 |
$ 15,000,000 |
$ 10,000,000 |
|
|
81 – 85 |
$ 5,000,000 |
$ 2,500,000 |
|
|
86 - 90 |
$ 2,500,000 |
$ 1,000,000 |
If both lives exceed Class H, there will be no automatic acceptance amount.
If one life is ratable over Class H, then the following individual policy limits for the lesser impaired life’s mortality classification apply:
|
|
Rating Class of Lesser Impaired Insured | ||
|
Issue Age of Lesser Impaired Life |
Pref. Best – Class D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 30,000,000 |
$ 20,000,000 |
|
|
66 - 70 |
$ 25,000,000 |
$ 15,000,000 |
|
|
71 - 75 |
$ 20,000,000 |
$ 10,000,000 |
|
|
76 – 77 |
$ 10,000,000 |
$ 5,000,000 |
|
|
78 – 80 |
$ 5,000,000 |
$ 2,500,000 |
|
|
81 – 85 |
$ 2,500,000 |
None |
|
|
86 - 90 |
$ 1,000,000 |
None |
US/Canadian Residents – Foreign Travel
|
|
Rating Class of Higher Rated Life | |||
|
Issue Age of Older Insured |
Preferred Best – Class C |
Class D – E |
Greater than Class E | |
|
Ages: |
18 - 65 |
$ 10,000,000 |
$ 7,500,000 |
None |
|
|
66 - 70 |
$ 7,500,000 |
$ 5,000,000 |
None |
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|
00 - 00 |
Xxxx |
Xxxx |
Xxxx |
X. For any policy to be reinsured under automatic reinsurance, the amounts reinsured with THE REINSURER on that life will not exceed the amounts in the following tables:
US/Canadian Residents – No Foreign Travel
|
|
Rating Class of Higher Rated Life | ||
|
Issue Age of Older Insured |
Pref. Best – Class D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 5,000,000 |
$ 4,000,000 |
|
|
66 - 70 |
$ 4,000,000 |
$ 2,000,000 |
|
|
71 - 75 |
$ 3,000,000 |
$ 1,500,000 |
|
|
76 – 80 |
$ 1,500,000 |
$ 1,000,000 |
|
|
81 – 85 |
$ 500,000 |
$ 250,000 |
|
|
86 - 90 |
$ 250,000 |
None * |
*The percentage ceded on the higher rated life for ages 86 – 90 on rating classes E – H is 0%.
If both lives exceed Class H, there will be no automatic acceptance amount.
If one life is ratable over Class H, then the following individual policy limits for the lesser impaired life’s mortality classification apply:
|
|
Rating Class of Less Impaired Insured | ||
|
Issue Age of Lesser Impaired Life |
Pref. Best – Class D |
Class E – H | |
|
Ages: |
18 - 65 |
$ 3,000,000 |
$ 2,000,000 |
|
|
66 - 70 |
$ 2,500,000 |
$ 1,500,000 |
|
|
71 - 75 |
$ 2,000,000 |
$ 1,000,000 |
|
|
76 – 77 |
$ 1,000,000 |
$ 500,000 |
|
|
78 – 80 |
$ 500,000 |
$ 250,000 |
|
|
81 – 85 |
$ 250,000 |
None |
|
|
86 – 90 |
$ 100,000 |
None |
US/Canadian Residents – Foreign Travel
|
|
Rating Class of Higher Rated Life | |||
|
Issue Age of Older Insured |
Preferred Best – Class C |
Class D – E |
Greater than Class E | |
|
Ages: |
18 - 65 |
$ 1,000,000 |
$ 750,000 |
None |
|
|
66 - 70 |
$ 750,000 |
$ 500,000 |
None |
|
|
00 - 00 |
Xxxx |
Xxxx |
Xxxx |
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0. |
SCHEDULE A, Section 5, JUMBO LIMIT, shall be replaced by the following: |
For any policy to be reinsured under automatic reinsurance, the total amount of insurance in force and applied for in all companies will not exceed the following amounts:
US/Canadian Residents- No Foreign Travel
|
|
Pref. Best – Class D |
Class E – H | |
|
Ages: |
18 – 80 |
$65,000,000 |
$65,000,000 |
|
|
81 – 85 |
$30,000,000 |
$30,000,000 |
|
|
86 – 90 |
$10,000,000 |
$10,000,000 |
Note: When a policy is reinsured under automatic reinsurance and the total amount in force and applied for in all companies exceeds $50,000,000, THE REINSURER must be notified.
US/Canadian Residents – Foreign Travel
|
|
No Substandard Rating |
Class A – E |
Greater than Class E | |
|
Ages: |
18 – 75 |
$35,000,000 |
$35,000,000 |
None |
|
|
76 – 90 |
None |
None |
None |
In witness of the above, THE COMPANY and THE REINSURER have by their respective officers executed and delivered this Agreement in duplicate on the dates indicated below, and is effective for policies issued as of January 1, 2005.
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THE PRUDENTIAL INSURANCE COMPANY OF AMERICA |
SCOTTISH RE (U.S.), INC. |
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By:________________________________ |
By:______________________________ |
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Title:_______________________________ |
Title:_____________________________ |
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Date:_______________________________ |
Date:_____________________________ |
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By:________________________________ |
By:______________________________ |
|
Title:_______________________________ |
Title:_____________________________ |
|
Date:_______________________________ |
Date:_____________________________ |
