Automatic Coverage Clause Samples

Automatic Coverage. A. Reinsurance hereunder will be ceded automatically by the CEDING COMPANY through an Automatic Risk Pool. [name of reinsurance company] percentage of participation in each risk ceded through this Pool will be as shown in Exhibit D. B. For each risk on which reinsurance is ceded, the CEDING COMPANY will retain its full published retention at the time of issue, taking into account both currently issued and previously issued policies. C. The CEDING COMPANY may cede and [name of reinsurance company] will automatically accept reinsurance, if all of the following conditions are met for each life: 1. The CEDING COMPANY has retained its limit of retention as shown in Exhibit A. 2. The amount does not exceed the automatic binding limits shown in Exhibit D. 3. The sum of the amount of insurance already in force and applied for on that life, in all companies, does not exceed the Jumbo Limit as shown in Exhibit D. 4. The CEDING COMPANY has not made facultative application for reinsurance of the current or prior applications on the same life to [name of reinsurance company] or any other reinsurer. 5. The risk is underwritten in accordance with the CEDING COMPANY'S normal underwriting rules and practices. 6. The Plan is listed in Exhibit B. D. The CEDING COMPANY may automatically cede Waiver of Premium Disability reinsurance in amounts not to exceed the amounts shown in Exhibit D.

Automatic Coverage. The reinsurance of a policy reinstated by the CEDING COMPANY in accordance with its terms and the CEDING COMPANY's usual reinstatement practices and procedures, shall be automatically reinstated as of the date of reinstatement.

Automatic Coverage. On and after the Effective Date of this agreement, whenever the Ceding Company issues coverage on a risk for a plan covered by this Pool, and the total coverage issued and in force on that risk with the Ceding Company exceeds its then current maximum retention, such coverage will be automatically reinsured in the Pool, provided: a. that the aggregate amount of life and supplemental benefits reinsured does not exceed the maximums set out in Exhibit G; b. that the risk is not known to be a citizen of countries other than the United States and Canada, is residing in the United States or Canada, is classified in accordance with generally accepted individual underwriting practices, and is not a Jumbo Risk as defined in Exhibit E; c. that on the risk the Ceding Company has retained its maximum Exhibit D retention, either for the current coverage or on a previous issue, or by combination of both, at the time reinsurance is required; d. that for the current coverage, the Ceding Company has not made facultative application to another reinsurer. TABLE OF CONTENTS Article I Effective Date and Duration 1 Article II Automatic Coverage 1 Article III Facultative Reinsurance 2

Automatic Coverage. A. Reinsurance hereunder will be ceded automatically by the CEDING COMPANY on an excess of retention basis as shown in Exhibits A, B and D, and will be reported to the REINSURER according to the terms in Exhibit E. B. The CEDING COMPANY may cede and the REINSURER will automatically accept reinsurance, if all of the following conditions are met for each life: 1. The CEDING COMPANY has retained its maximum limit of retention as shown in Exhibit A. 2. The Policy Plans reinsured are shown in Exhibit B. 3. The total of the new ultimate face amount of reinsurance required, including any contractual increases and the amount already reinsured on that life under this AGREEMENT and all other life agreements between the REINSURER and the CEDING COMPANY, does not exceed the Automatic Binding Limits as shown in Exhibit D. 4. The total new ultimate face amount of insurance, including any contractual increases on that life in force with all companies, including the CEDING COMPANY, does not exceed the Jumbo Limits as shown in Exhibit D. 5. The CEDING COMPANY has not made facultative application on the current life to any reinsurer within the last five (5) years unless the reason for prior facultative submission was solely for capacity that may now be accommodated within the terms of this AGREEMENT, or unless the case was issued and reinsured standard or subsequently rerated to standard. 6. The risk is a permanent resident of the United States, Canada, Puerto Rico or Guam. 7. Other than as agreed to by the REINSURER in writing, the policy is not purchased, to the knowledge of the CEDING COMPANY, as part of a third party investment program where such third party lacks an insurable interest in the insured or where such third party is engaging in insurance arbitrage. It is understood that the REINSURER has already signed off on the CEDING COMPANYs procedures in this regard. 8. The CEDING COMPANY applies its normal business guidelines as outlined in Exhibit A-1, on all policies. 9. The REINSURER acknowledges that foreign travel policy application questions may not be used if prohibited by law.

Automatic Coverage. A. On and after the Effective Date of this Memorandum Addendum, whenever the Ceding Company issues coverage on a risk for the Survivor Life plan covered by this Pool, and the total coverage issued and in force on that risk with the Ceding Company exceeds its then current maximum retention, such coverage will be automatically reinsured in the Pool, provided: a. that the aggregate amount of life and supplemental benefits reinsured does not exceed the maximum set out in Exhibit G of the Agreement to which this Addendum is attached; b. that each risk is not known to be a citizen of countries other than the United States and Canada, is residing in the United States or Canada, is classified in accordance with generally accepted individual underwriting practices, and is not a Jumbo Risk as defined in Exhibit E of the Agreement to which this Addendum is attached; c. that on the risk (the younger risk if joint coverage) the Ceding Company has retained its maximum Exhibit D retention, either for the current coverage or on a previous issue, or by combination of both, at the time reinsurance is required; d. that for the current coverage, the Ceding Company has not made facultative application to another reinsurer; e. that for joint life coverage where both risks are insurable, each risk must be rated Table 16 or lower for issue ages 20-75, and Table 4 or lower for issue ages 76-85; f. that for joint life coverage involving one uninsurable risk, the insurable risk must be no greater than Table 8 for issue ages 20-75, or Table 4 for issue ages 76-85.

Automatic Coverage. The Company shall cede to the Reinsurer the life insurance policies, supplementary benefits and riders listed in Exhibit A. The Reinsurer shall automatically accept these policies, supplementary benefits and riders as described in the exhibits of this Agreement, provided that:

Automatic Coverage. A. All Provisions of this Agreement are subject to the laws of the State of New York. B. Reinsurance hereunder will be ceded automatically by the CEDING COMPANY on a quota-share basis. The REINSURER'S percentage of participation in each risk ceded will be shown in Schedule B. C. For each risk on which reinsurance is ceded under this agreement, the CEDING COMPANY will retain [ ]% of the policy reinsured, up to its full published retention as shown in Exhibit III at the time of issue, taking into account both currently issued and previously issued policies. D. The CEDING COMPANY will cede and the REINSURER will automatically accept reinsurance, if all of the following conditions are met for each life: 1. The amount does not exceed the automatic binding limits shown in Schedule B. 2. The sum of the amount of insurance already in force and applied for on that life, in all companies, does not exceed the Jumbo Limit as shown in Schedule B. 3. The issue age and mortality rating limit for each risk does not exceed the limits as shown in Schedule B. 4. The CEDING COMPANY has not, within three years of the date of application of the risk, made facultative application for reinsurance of the risk to REINSURER or any other reinsurer, except in conjunction with the Substandard Underwriting Program as described in Article II of this treaty. 5. The risk is conventionally underwritten by the CEDING COMPANY according to standard underwriting practices and guidelines, including those related to HIV testing. 6. The plan is listed in Schedule A. 7. The individual risk must be a citizen or a permanent resident of the United States, Canada or residents of countries as shown in Schedule D. 8. The mortality rating on each individual risk must not exceed Table [ ] or its equivalent on a flat extra premium basis for single life policies. 9. The issuance and delivery of the policy is in compliance with the laws of all applicable jurisdictions and the CEDING COMPANY's corporate charter.

Automatic Coverage. Except as specified in Paragraph 5, whenever the Company retains its maximum limit of retention, as indicated in Schedule I, the Company shall cede and the [name of reinsurance company] shall automatically accept such Life reinsurance as provided herein with a corresponding amount of Waiver of Premium, if any, on the same terms and for an amount not exceeding the limits specified in Schedule I. Special Automatic Coverage

Automatic Coverage. A. All automatic reinsurance required by the CEDING COMPANY on the Group Universal Life and Individual Employee Sponsored Mass Marketing policies sold by the CEDING COMPANY including the Individual Children's Plan for employees of ▇▇▇▇▇▇▇ Purina and its subsidiary companies will be assumed by GENERAL AMERICAN as described in the terms of this Agreement. B. On each risk ceded under this Agreement, the CEDING COMPANY shall retain 70% of amounts up to the first $71,500 on a life and shall cede 30% to GENERAL AMERICAN until the CEDING COMPANY has retained its full retention of $50,000 on a life. All excess coverage will then be ceded to GENERAL AMERICAN, subject to the terms of this Agreement. C. Whenever the CEDING COMPANY is already on the risk for its maximum retention under policies previously issued, the CEDING COMPANY may automatically cede additional amounts to GENERAL AMERICAN, subject to the terms of this Agreement. D. The CEDING COMPANY agrees not to automatically bind GENERAL AMERICAN when: 1. The amount to be ceded automatically exceeds $500,000. 2. The risk is a jumbo risk defined as one on which the sum of insurance already in force and the amount currently applied for in the CEDING COMPANY and in all other companies exceeds $10,000,000. E. The CEDING COMPANY may automatically cede 100% of the Accidental Death Benefit reinsurance in amounts not to exceed the amount applicable to the amount of Life insurance issued. F. The CEDING COMPANY may automatically cede 100% of Child Term Rider reinsurance to GENERAL AMERICAN when the policy to which this Rider is attached is being reinsured under this agreement. G. When the Spouse Term Rider is attached to coverage being ceded under this Agreement, the CEDING COMPANY shall retain 50% of amounts up to the first $100,000 on a life and shall cede 50% to GENERAL AMERICAN until the CEDING COMPANY has retained its full retention of $50,000 on a life. All excess coverage will then be ceded to GENERAL AMERICAN, subject to the terms of this Agreement.