Common use of Net Settlement Clause in Contracts

Net Settlement. (a) During the term of this Agreement, a settlement amount between the Ceding Company and the Reinsurer as of the last day of each Monthly Accounting Period (the “Net Settlement”) shall be calculated by the Ceding Company, and a statement setting forth details of such calculation (the “Monthly Settlement Statement”) in the form as set forth as Exhibit 1, shall be delivered by the Ceding Company to the Reinsurer no later than eighteen (18) Business Days following the end of such Monthly Accounting Period; [***]. If the amount of the Net Settlement for such Monthly Accounting Period is positive, the Ceding Company shall pay such amount in cash to the Reinsurer within twenty (20) days after its delivery of the Monthly Settlement Statement for such period to the Reinsurer. If the amount of the Net Settlement for such Monthly Accounting Period is negative, the Reinsurer shall pay the absolute value of such amount in cash to the Ceding Company within twenty (20) days after its receipt of the Monthly Settlement Statement for such period. (b) the Net Settlement with respect to each Monthly Accounting Period (or, with respect to items (vii) through (ix) below, each Quarterly Accounting Period) shall be an amount equal to the following (without duplication): (i) the Quota Share of the Additional Consideration received by the Ceding Company during such Monthly Accounting Period; minus (ii) the Quota Share of the Reinsured Liabilities paid by the Ceding Company during such Monthly Accounting Period; plus (iii) the Quota Share of the Reinsured Liabilities paid by the Ceding Company with assets in the Designated Administrative Account during such Monthly Accounting Period; minus (iv) the Expense Allowances for such Monthly Accounting Period; minus (v) the Quota Share of all amounts payable to Producers with respect to the Reinsured Contracts and described on Schedule Q; minus (vi) the Quota Share of Allocated Premium Taxes; minus (vii) the Quota Share of the MSO Modco Reserve Adjustment, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter; plus (viii) the Quota Share of the MSO ▇▇▇▇▇ P&L, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter; plus (ix) the Regulatory Closed Block Quarterly Settlement, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the first month following the calendar quarter for which such Regulatory Closed Block Quarterly Settlement is being calculated; minus (x) the Modco Reserve Adjustment with respect to such Monthly Accounting Period as described in Section 3.11.

Net Settlement. (a) During the term of this Agreement, a settlement amount between the Ceding Company and the Reinsurer as of the last day of each Weekly Accounting Period (the “Weekly Net Settlement”) shall be calculated by the Ceding Company, and a statement setting forth details of such calculation (the “Weekly Settlement Statement”) in the form as set forth as Exhibit 1 shall be delivered by the Ceding Company to the Reinsurer within four (4) Business Days following the end of such Weekly Accounting Period. If the amount of the Weekly Net Settlement for such Weekly Accounting Period is positive, the Ceding Company shall pay such amount in cash to the Reinsurer within six (6) Business Days following the end of such Weekly Accounting Period. If the amount of the Weekly Net Settlement for such Weekly Accounting Period is negative, the Reinsurer shall pay the absolute value of such amount in cash to the Ceding Company within six (6) Business Days following the end of such Weekly Accounting Period. (b) The Weekly Net Settlement with respect to each Weekly Accounting Period shall be an amount equal to the following: (i) the Quota Share of the components of the Additional Consideration set forth in the Weekly Settlement Statement set forth as Exhibit 1 received by the Ceding Company during such Weekly Accounting Period; minus (ii) the Flow Business Ceding Commission in respect of such Weekly Accounting Period; minus (iii) the Quota Share of the components of the Reinsured Liabilities set forth in the Weekly Settlement Statement set forth as Exhibit 1 paid by the Ceding Company during such Weekly Accounting Period; plus (iv) the Quota Share of the components of the Reinsured Liabilities set forth in the Weekly Settlement Statement set forth as Exhibit 1 paid by the Ceding Company with assets in the Designated Administrative Account during such Weekly Accounting Period. (c) During the term of this Agreement, a settlement amount between the Ceding Company and the Reinsurer as of the last day of each Monthly Accounting Period (the “Monthly Net Settlement” and together with the Weekly Net Settlement, a “Net Settlement”) shall be calculated by the Ceding Company, and a statement setting forth details of such calculation (the “Monthly Settlement Statement”) in the form as set forth as Exhibit 1, 1 shall be delivered by the Ceding Company to the Reinsurer (i) in a preliminary form, no later than eighteen five (185) Business Days following the end of such Monthly Accounting Period and (ii) in final form, no later than ten (10) Business Days following the end of such Monthly Accounting Period; [***]. If the amount of the Monthly Net Settlement for such Monthly Accounting Period is positive, the Ceding Company shall pay such amount in cash to the Reinsurer within twenty five (205) days after Business Days of its delivery of the final Monthly Settlement Statement for such period to the Reinsurer; provided that, during a FMV Triggering Event or Recapture Triggering Event caused by the Reinsurer’s failure to timely fund the Trust Account in accordance with terms of this Agreement, the Ceding Company may deposit such amount in cash to the Trust Account in lieu of making payment to the Reinsurer. If the amount of the Monthly Net Settlement for such Monthly Accounting Period is negative, the Reinsurer shall pay the absolute value of such amount in cash to the Ceding Company within twenty five (205) days after Business Days of its receipt of the final Monthly Settlement Statement for such period. (bd) the The Monthly Net Settlement with respect to each Monthly Accounting Period (or, with respect to items (vii) through (ix) below, each Quarterly Accounting Period) shall be an amount equal to the following (without duplication):following: (i) the Quota Share of the Additional Consideration received by the Ceding Company during such Monthly Accounting Period; minus (ii) the Flow Business Ceding Commission in respect of such Monthly Accounting Period; minus (iii) the Quota Share of the Reinsured Liabilities paid by the Ceding Company during such Monthly Accounting Period; plus (iiiiv) the Quota Share of the Reinsured Liabilities paid by the Ceding Company with assets in the Designated Administrative Account during such Monthly Accounting Period; minus (ivv) the Expense Allowances for such Monthly Accounting Period; minus (v) the Quota Share of all amounts payable to Producers with respect to the Reinsured Contracts and described on Schedule Q; , minus (vi) the Quota Share of Allocated Premium Taxes[***]; minus (vii) the Quota Share of the MSO Modco Reserve Adjustment, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter[***]; plusminus (viii) the Quota Share MVA Modco Cash Settlement in respect of the MSO ▇▇▇▇▇ P&L, which amount will only be included in the such Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarterAccounting Period; plus minus (ix) the Regulatory Closed Block Quarterly Settlement, which amount will only be included MVA Modco Investment Expenses in the respect of such Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the first month following the calendar quarter for which such Regulatory Closed Block Quarterly Settlement is being calculatedAccounting Period; minus (x) the Modco Reserve Adjustment with respect to aggregate Weekly Net Settlements paid during such Monthly Accounting Period as described in Section 3.11Period.

Net Settlement. (a) During the term of this Agreement, a settlement amount between the Ceding Company and the Reinsurer as of the last day of each Monthly Accounting Period (the “Net Settlement”) shall be calculated by the Ceding Company, and a statement setting forth details of such calculation (the “Monthly Settlement Statement”) in the form as set forth as Exhibit 1, shall be delivered by the Ceding Company to the Reinsurer no later than eighteen (18) Business Days following the end of such Monthly Accounting Period; [***]. If the amount of the Net Settlement for such Monthly Accounting Period is positive, the Ceding Company shall pay such amount in cash to the Reinsurer within twenty (20) days after its delivery of the Monthly Settlement Statement for such period to the Reinsurer. If the amount of the Net Settlement for such Monthly Accounting Period is negative, the Reinsurer shall pay the absolute value of such amount in cash to the Ceding Company within twenty (20) days after its receipt of the Monthly Settlement Statement for such period. (b) the Net Settlement with respect to each Monthly Accounting Period (or, with respect to items (vii) through and (ixviii) below, each Quarterly Accounting Period) shall be an amount equal to the following (without duplication): (i) the Quota Share of the Additional Consideration received by the Ceding Company during such Monthly Accounting Period; minus (ii) the Quota Share of the Reinsured Liabilities paid by the Ceding Company during such Monthly Accounting Period; plus (iii) the Quota Share of the Reinsured Liabilities paid by the Ceding Company with assets in the Designated Administrative Account during such Monthly Accounting Period; minus (iv) the Expense Allowances for such Monthly Accounting Period; minus (v) the Quota Share of all amounts payable to Producers with respect to the Reinsured Contracts and described on Schedule Q; minus (vi) the Quota Share of Allocated Premium Taxes; minus (vii) the Quota Share of the MSO Modco Reserve Adjustment, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter; plus (viii) the Quota Share of the MSO ▇▇▇▇▇ P&L, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter; plus (ix) the Regulatory Closed Block Quarterly Settlement, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the first month following the calendar quarter for which such Regulatory Closed Block Quarterly Settlement is being calculated; minus (x) the Modco Reserve Adjustment with respect to such Monthly Accounting Period as described in Section 3.11.

Net Settlement. (a) During the term of this AgreementAgreement and with respect to the final Accounting Period, a settlement amount between the Ceding Company and the Reinsurer as of the last day of each Monthly Accounting Period (the “Net Settlement”) shall be calculated by the Ceding CompanyCompany in accordance with clause (b) below, and a statement setting forth details of such calculation (the “Monthly Settlement Statement”) in the form as set forth as Exhibit 1, in Schedule C shall be delivered by the Ceding Company to the Reinsurer no later than eighteen within thirty (1830) Business Days calendar days following the end of such Monthly each Accounting Period; [***]. If the amount of the Net Settlement for such Monthly an Accounting Period is positive, at the time it delivers the Settlement Statement for such Accounting Period to the Reinsurer, the Ceding Company shall pay such amount in cash to the Reinsurer within twenty (20) days after its delivery of the Monthly Settlement Statement for such period to the Reinsurer. If the amount of the Net Settlement for such Monthly an Accounting Period is negative, the Reinsurer shall pay the absolute value of such amount in cash to the Ceding Company within twenty fifteen (2015) days after Business Days of its receipt of the Monthly Settlement Statement for such periodAccounting Period. (b) the The Net Settlement with respect to each Monthly any Accounting Period (or, with respect to items (vii) through (ix) below, each Quarterly Accounting Period) shall be an amount for the reinsurance covered hereunder is equal to the following (without duplication):following: (i) the Quota Share of the Additional Consideration Premiums actually received by the Ceding Company during such Monthly Accounting Period; minusplus (ii) the Quota Share of the Reinsured Liabilities paid Separate Account Revenue actually received by the Ceding Company during such Monthly Accounting Period; plus (iii) the Quota Share amount of the Reinsured Liabilities paid by the Ceding Company with assets any transfers described in the Designated Administrative Account during Section 3.2(a)(iii) for such Monthly Accounting Period; minus (iv) the Expense Allowances for such Monthly Accounting Periodamount of any transfers from the general account of the Ceding Company to the Separate Account in respect of the Variable Annuity Reinsured Contracts; minus (v) the Quota Share of all amounts payable to Producers with respect to General Account Liabilities paid by the Reinsured Contracts and described on Schedule QCeding Company during such Accounting Period; minus (vi) the Quota Share of Allocated Premium Taxes; minus (vii) the Quota Share of the MSO Modco Reserve Adjustment, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter; plus (viii) the Quota Share of the MSO ▇▇▇▇▇ P&L, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the final month of each calendar quarter; plus (ix) the Regulatory Closed Block Quarterly Settlement, which amount will only be included in the Monthly Settlement Statement and the corresponding calculation of the Net Settlement for the first month following the calendar quarter for which such Regulatory Closed Block Quarterly Settlement is being calculated; minus (x) the Modco Reserve Adjustment with respect to such Monthly Accounting Period as described in Section 3.11Expense Allowances.