Common use of Interest Credit Clause in Contracts

Interest Credit. The Funds Withheld Account/Profit Sharing Account shall be credited monthly, as of the end of the each month, with an Interest Credit rate equal to .206% (point two zero six percent) multiplied by the beginning monthly balance of the Funds Withheld Account/Profit Sharing Account for the respective month, to achieve an annual effective yield of 2.5% (two point five percent). In calculating the beginning monthly balance, all amounts due to either party shall be deemed settled, effective as of the actual date when such items were due pursuant to the terms of this Agreement in accordance with Article 13, Accounts, Remittances and Loss Settlements. Interest Credit shall continue even in the event of the Company's insolvency.

Appears in 1 contract

Sources: Quota Share Reinsurance Agreement (Tower Group, Inc.)

Interest Credit. The Funds Withheld Account/Profit Sharing Account shall be credited monthly, as of the end of the each month, with an Interest Credit rate equal to .206.2466% (point two zero four six six percent) multiplied by the beginning monthly balance of the Funds Withheld Account/Profit Sharing Account for the respective month, to achieve an annual effective yield of 2.53.0% (two three point five zero percent). In calculating the beginning monthly balance, all amounts due to either party shall be deemed settled, effective as of the actual date when such items were due pursuant to the terms of this Agreement in accordance with Article 13, Accounts, Remittances and Loss Settlements. Interest Credit shall continue even in the event of the Company's insolvency.

Appears in 1 contract

Sources: Quota Share Reinsurance Agreement (Tower Group, Inc.)

Interest Credit. The Funds Withheld Account/Profit Sharing Account shall be credited monthly, as of the end of the each month, with an Interest Credit rate equal to .206% (point two zero six percent) multiplied by the beginning monthly balance of the Funds Withheld Account/Profit Sharing Account for the respective month, to achieve an annual effective yield of 2.5% (two point five percent). In calculating the beginning monthly balance, all amounts due to either party shall be deemed settled, effective as of the actual date when such items were due pursuant to the terms of this Agreement in accordance with Article 13, Accounts, Remittances and Loss Settlements. Interest Credit shall continue even in the event of the Company's insolvency.

Appears in 1 contract

Sources: Quota Share Reinsurance Agreement (Tower Group, Inc.)