LIABILITY OF THE REINSURER. A. The liability of the Reinsurer shall follow that of the Company in every case and be subject in all respects to all the general and specific stipulations, clauses, waivers and modifications of the Company's policies and any endorsements thereon. However, in no event shall this be construed in any way to provide coverage outside the terms and conditions set forth in this Contract.
B. Nothing herein shall in any manner create any obligations or establish any rights against the Reinsurer in favor of any third party or any persons not parties to this Contract.
LIABILITY OF THE REINSURER. A. Commencing as of the Effective Time, the Company hereby agrees to cede to the Reinsurer, and the Reinsurer agrees to accept and reinsure, the Ultimate Net Loss of the Company equal to forty percent (40%) of the Affiliate Ultimate Net Loss with respect to Covered Business ceded to the Company by each Affiliate, subject to all other terms and conditions set forth in this Agreement; provided, however, that the Reinsurer's maximum liability hereunder in respect of a single loss under a Policy reinsured hereunder (without taking into account any Loss Adjustment Expenses, Extra Contractual Obligations or Loss in Excess of Policy Limits attributable thereto) shall not exceed $2,000,000. For purposes of this Agreement, "Affiliate Ultimate Net Loss" means the sum actually paid or to be paid by such Affiliate in settlement of losses for which it is liable in respect of the Covered Business, after making deductions for all inuring reinsurance (other than reinsurance with any direct or indirect subsidiary of AmTrust), whether collectible or not, and all Recoveries. Without limiting the generality of the foregoing, the Reinsurer shall be liable for its proportionate share of any experience-related premium rebates or credits to policyholders under Policies of workers compensation insurance, and shall benefit proportionately to the extent any such policyholder pays any additional premiums as a result of the experience under such Policies.
B. If an Affiliate Change in Control or Affiliate Run-Off Event occurs with respect to any Affiliate, the Reinsurer shall be entitled to elect not to reinsure Covered Business related to Policies issued or renewed by such Affiliate (“Applicable Covered Business”) effective as of such Affiliate Change in Control or Affiliate Run-Off Event (the “Election Effective Date”). Such election shall be in writing (an “Affiliate Run-Off Notice”), and shall be given not later than thirty (30) days following the date on which the Reinsurer has actual knowledge that the Affiliate Change in Control or the Affiliate Run-Off event (as applicable) shall have occurred. Subject to the immediately following sentence, if the Reinsurer makes such an election, all reinsurance hereunder of Applicable Covered Business that is in force as of the Election Effective Date shall remain in full force and effect until the applicable expiration date, anniversary date, or prior termination date of the Policies attributable to the Applicable Covered Business (the “Run-...
LIABILITY OF THE REINSURER. The Reinsurer shall pay to the Company, with respect to liability business of the Company, the amount of net loss each occurrence in excess of the Company Retention but not exceeding the Limit of Liability of the Reinsurer as set forth in the Schedule of Reinsurance. SCHEDULE OF REINSURANCE -------------------------------------------------------------------------------- Company Class of Business Retention Limit of Liability of the Reinsurer -------------------------------------------------------------------------------- Liability Business $500,000 $2,500,000 --------------------------------------------------------------------------------
LIABILITY OF THE REINSURER. The Reinsurer shall pay to the Company, with respect to each Risk of the Company, the amount of Net Loss sustained by the Company in excess of the Company Retention but not exceeding the Limits of Liability of the Reinsurer as set forth in the Schedule of Reinsurance. Class of Business Company Retention Limits of Liability of the Reinsurer Property Business $ 2,500,000 First Excess Cover: The next $2,500,000 in excess of the first $2,500,000 Class of Business Company Retention Limits of Liability of the Reinsurer Second Excess Cover: The next $5,000,000 in excess of the first $5,000,000 Third Excess Cover: The next $5,000,000 in excess of the first $10,000,000 The liability of the Reinsurer shall not exceed:
(a) $5,000,000 under the First Excess Cover nor $10,000,000 under the Second Excess Cover nor $10,000,000 under the Third Excess Cover with respect to all Net Loss on all Risks involved in one Loss Occurrence.
(b) $20,000,000 under the Second Excess Cover nor $15,000,000 under the Third Excess Cover with respect to all Net Loss on all Risks involved in all Loss Occurrences (including Extra Contractual Obligations) taking place during each Agreement Year. For purposes of this provision, upon a run off termination of this Exhibit the last completed Agreement Year shall be combined with the remaining period that reinsurance is afforded under this Exhibit to constitute a single Agreement Year. All insurance written under one or more policies of the Company against the same peril on the same Risk shall be combined, and the Company Retention and the Limits of Liability of the Reinsurer shall be determined on the basis of the sum of all insurance against the same peril and on the same Risk which is in force at the time of a claim or loss.
LIABILITY OF THE REINSURER. The liability of the Reinsurer shall coincide with that of the Company, provided same is within the terms and conditions of the original policies of insurance and within the terms of this Contract. The liability of the Reinsurer under this Contract or any endorsements attached hereto shall in no event exceed the limits specified herein as defined under Article V paragraph A and modified by paragraph B, nor be extended to cover any risks, perils or classes of insurance generally or specifically excluded herein. Nothing herein shall in any manner create any obligations or establish any rights against the Reinsurer in favor of any third party or any persons not parties to this Contract.
LIABILITY OF THE REINSURER. (A) Subject to the provisions of paragraph (B) and the article entitled LAYER TWO SUNSET PROVISION, the Reinsurer's limit of liability for Ultimate Net Loss on the Business Covered shall in no event exceed:
(1) LAYER ONE $570,000,000 of Ultimate Net Loss in excess of the Company Retention.
(2) LAYER TWO $80,000,000 of Ultimate Net Loss in excess of the sum of (1) the Company Retention; (2) $570,000,000; and (3) the Corridor Layer.
(B) In addition, subject to the Layer Two sunset provision:
(1) If there are no Significant Negative Results then, notwithstanding the Layer One Reinsurer's limit of liability of $570,000,000 as stipulated above, the Reinsurer's limit of liability for Layer One will in no event exceed that amount of Layer One liability that will result in an Economic Loss to the Reinsurer of $28,000,000; and
(2) If there are Significant Negative Results then:
(a) Notwithstanding the Layer One Reinsurer's limit of liability of $570,000,000, the Reinsurer's limit of liability for Layer One will in no event exceed that amount of Layer One liability that will result in an Economic Loss to the Reinsurer of $24,000,000, and
(b) Notwithstanding the Layer Two Reinsurer's limit of liability of $80,000,000, the Reinsurer's limit of liability for Layer Two will in no event exceed that amount of Layer Two liability that will result in an Economic Loss to the Reinsurer of $4,000,000.
LIABILITY OF THE REINSURER. The REINSURER’s limit of liability for this AGREEMENT shall be as set forth in the Exhibit(s) attached hereto and forming a part hereof.
LIABILITY OF THE REINSURER. A. The liability of the Reinsurer hereunder shall commence obligatorily and simultaneously with that of the Company.
B. The Reinsurer binds itself unconditionally to follow the Company in the acceptance or rejection of business, its settlement or rejection of claims, its premium rates and its terms of insurance to its insureds and in all policies whether originally adopted or subsequently changed by the Company and in every lawful act of the Company performed under the development, preservation, conduct or liquidation of business which is the subject matter of this Contract.
LIABILITY OF THE REINSURER. A. The liability of the REINSURER shall follow that of the COMPANY in every case and be subject in all respects to all the general and specific stipulations, clauses, waivers and modifications of the COMPANY'S policies and any endorsements thereon. However, in no event shall this be construed in any way to provide coverage outside the terms and conditions set forth in this Contract.
LIABILITY OF THE REINSURER the first paragraph of Article III shall be deleted in its entirety and replaced with the following: The Reinsurer shall pay to the Company, with respect to each risk and policy under Non-Standard Private Passenger Automobile Business, 100% of the amount of net loss of the Company ("Reinsured Business").
