Funds Withheld. The Ceding Company shall withhold, on behalf of the Reinsurer, the Funds Withheld Assets. The payment of funds to and the holding of such funds by, the Ceding Company shall not create a trust or fiduciary relationship between the Ceding Company and the Reinsurer, but rather a relationship of debtor and creditor. The Reinsurer shall consider such amount as a receivable.
Funds Withheld. Subject to the terms hereof, the Reinsured shall retain as fiduciary of the Reinsurer the reinsurance premium due hereunder on a funds withheld basis. The amount of such reinsurance premium so retained shall be called “Funds Withheld”. In consideration of the Reinsurer agreeing to allow the Reinsured to retain the reinsurance premium on funds withheld basis, the Reinsured agrees that the Funds Withheld Balance (as defined in Section 5.02) may be offset by the Reinsurer against liabilities of the Reinsurer for payments under this Agreement. The Funds Withheld Balance shall be maintained by the Reinsured in a segregated asset portfolio.
Funds Withheld. The Ceding Company and the Reinsurer have entered into the "Accounts Receivable Agreement" attached to this Agreement as Exhibit A. Pursuant to the terms of the Accounts Receivable Agreement, the Ceding Company will withhold on behalf
Funds Withheld. Subject to the terms herein, the Reinsured shall retain the Reinsurance Premium and Additional Premium, if any, due hereunder on a funds withheld basis, provided however, that the Reinsurer's Margin shall be paid in cash to the Reinsurer and shall not be affected by the terms of this "Funds Withheld" article. The amount of such withheld Reinsurance Premium, net of Reinsurer's Margin, and Additional Premium, if any, shall be called "FUNDS WITHHELD". In consideration of the Reinsurer agreeing to the Funds Withheld, the Reinsured agrees (i) to calculate a notional Funds Withheld account from the Effective Date of this Agreement until there is a complete and final release of all of the Reinsurer's obligations to the Reinsured under this Agreement and (ii) that the Funds Withheld Balance may be set off by the Reinsurer against liability of any nature whatsoever (whether then contingent, due and payable, or in the future becoming due) that the Reinsurer may then have, or in the future may have under this Agreement and (iii) that such setoff shall occur as a condition precedent to any payments by the Reinsurer hereunder. The balance of the Funds Withheld account (the "FUNDS WITHHELD BALANCE") as of any December 31 shall be defined as:
Funds Withheld a. Under the circumstances described in the ‘TOTAL SECURITY’ section of this Agreement, THE REINSURER may provide to THE COMPANY an amount of cash to be held on deposit (“Funds Withheld”) with respect to all the amounts recoverable from THE REINSURER under this Agreement so as to avoid triggering THE COMPANY’s right of recapture under the ‘RECAPTURE’ section of this Agreement. If THE REINSURER elects to do so, the Funds Withheld must satisfy the requirements of subsections b., c., and d. of this ‘FUNDS WITHHELD’ section.
Funds Withheld a. Under the circumstances described in Section 42 of this Agreement, THE COMPANY may withhold premium payments to THE REINSURER and maintain such amounts on deposit as “Funds Withheld.” Any Funds Withheld must satisfy the requirements of subsections b., c., d., and e.
Funds Withheld. When the Town shall have reasonable grounds for believing that:
Funds Withheld. (a) PTNAIC shall retain as security on a "Funds Withheld" basis from the Initial Premium payable to the Reinsurer the total sum of $56,000,000 of the Initial Premium. Such retained Initial Premium shall be held in a notional funds withheld account ("FWA") on a fiduciary basis as security in accordance with the provisions of Article 41 - Security, and in satisfaction of Reinsurer's obligations thereunder, subject further to the right to set off in accordance with Article 37 - Offset. The FWA shall accrue interest calculated in the manner provided for in paragraph (d) below. PTNAIC must reduce the amount retained in such FWA by remitting to the Reinsurer, in cash, within fifteen (15) business days of the dates indicated below, the following portions of the balance in the respective FWA at each date: December 31, 2003 1/6 December 31, 2004 1/5 December 31, 2005 1/4 December 31, 2006 1/3 December 31, 2007 1/2 December 31, 2008 100% Upon providing notification to Reinsurer of the Reinsureds' election to commute this Agreement, pursuant to Article 25 - Commutation, PTNAIC shall pay the balance of the FWA to the Reinsurer.
Funds Withheld. The Funds Withheld shall equal, with respect to the Reinsured Policies, 10% of the net earned premium (as used in the Life and Accident and Health Annual Statement Schedule H) during the twelve month period immediately prior to the Effective Date plus 20% of the full tabular reserves for Pending Claims on the Effective Date as calculated in Schedule B.
Funds Withheld funds otherwise due to the Reinsurer under this Contract that are subject to withdrawal, transfer or substitution solely by the Company and held under its exclusive control;
