PROFIT COMMISSIONS Sample Clauses
The Profit Commissions clause defines how additional compensation is paid to a party, typically an insurance broker or managing agent, based on the profitability of a contract or portfolio. This clause outlines the method for calculating profit, the period over which profits are measured, and the percentage or formula used to determine the commission. For example, if claims are lower than expected, the party may receive a share of the resulting surplus. Its core practical function is to incentivize prudent management and align the interests of the parties by rewarding performance that leads to higher profits.
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PROFIT COMMISSIONS. An Investment Profit Commission and an Underwriting Profit Commission shall be calculated annually by the Reinsured during the term of the Agreement.
PROFIT COMMISSIONS. The Company agrees that any profit commissions which may become due, as set forth in the Property Quota Share Agreement, shall be the property of the General Agent provided the General Agent is not in default of the Managing General Agency Agreement. The General Agent agrees that any profit commissions that may become [**] CERTAIN INFORMATION ON THIS PAGE HAS BEEN OMITTED AND FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION. CONFIDENTIAL TREATMENT HAS BEEN REQUESTED WITH RESPECT TO THE OMITTED PORTIONS. Addendum B of the Managing General Agency Agreement Originally Effective: January 1, 1993 due shall not be payable to the General Agent until the Company has received such from the reinsurers.
PROFIT COMMISSIONS. The Company agrees that any profit commission(s) which may become due, as set forth in the Quota Share Agreement shall be the property of the General Agent, provided the General Agent in not in default of the Managing General Agency Agreement. The General Agent agrees that any profit commissions that may become due shall not be payable to the General Agent until the Company has received such from the reinsurers.
PROFIT COMMISSIONS. The Company agrees that any profit commission(s) which may become due, as set forth in the Quota Share Agreement shall be the property of the General Agent, provided the General Agent in not in default of the Managing General Agency Agreement. The General Agent agrees that any profit commissions that may become due shall not be payable to the General Agent until the Company has received such from the reinsurers. This Addendum shall become effective at 12:01 a.m. Central Standard Time, January 1, 1995, and shall remain in full force and effect until replaced by a subsequent Addendum mutually agreed upon by both parties or terminated as provided in paragraph “J” of the Managing General Agency Agreement. In the event of termination, this Addendum will continue to cover all policies coming within it’s scope. ATTEST: INSURED LLOYDS SOUTHERN COUNTY MUTUAL INSURANCE COMPANY REPUBLIC VANGUARD INSURANCE COMPANY /s/ [ILLEGIBLE] By: /s/ ▇▇▇▇ ▇. ▇▇▇▇▇▇ Its: Vice President ATTEST: TEXAS GENERAL AGENCY /s/ [ILLEGIBLE] By: /s/ [ILLEGIBLE] Its: Vice President This Amendment No. 3 to Addendum A is effective as of July 1, 1996 for all new and renewal business written under the above named Managing General Agency Agreement. The basis for this Amendment No. 3 to Addendum A of this Managing General Agency Agreement is the Quota Share Reinsurance Agreement, originally effective July 1, 1996, (referred to by number 13-96-0100 or “the Quota Share Agreement”). The particulars of this amendment are as follows: