Common use of Special Commutation Clause in Contracts

Special Commutation. A. In the event a Subscribing Reinsurer meets one or more of the following conditions, the Company may require a commutation of that portion of any excess loss hereunder represented by any outstanding claim or claims, including any related loss adjustment expense: 1. The Subscribing Reinsurer's A.M. Best's rating has been assigned or downgraded below A- (including any "Not Rated" rating) and/or Standard & Poor's rating has been assigned or downgraded below BBB+; or 2. The Subscribing Reinsurer has ceased assuming new or renewal property and casualty treaty reinsurance business.

Special Commutation. A. In the event a Subscribing Reinsurer meets one or more of the following conditions, the Company may require a commutation of that portion of any excess loss hereunder represented by any outstanding claim or claims, including any related loss adjustment expense: 1. The Subscribing Reinsurer's A.M. Best's rating has been assigned or downgraded below A- (including any "Not Rated" rating) and/or Standard & Poor's rating has been assigned or downgraded below BBB+; or 2. The Subscribing Reinsurer has ceased assuming new or and renewal property and casualty treaty reinsurance business.