REINSURANCE AMENDMENT 2
Treaty No. CMC-0902
between
Texas Imperial Life Insurance Company
and
Alabama Reassurance Company, Inc.
WHEREAS, Texas Imperial Life Insurance Company (the "Company") and Alabama
Reassurance Company, Inc. (the "Reinsurer") are parties to a reinsurance
agreement (#CMC-0902)(this "Agreement")and
WHEREAS, the Company and the Reinsurer are also parties to two other
reinsurance agreements (the "Other Agreements"), covering business the
Company assumed from Trans-Western Life Insurance Company (#OCO-0802) and
Family Life Insurance Company of Texas (#CMC-0804), and
WHEREAS, the Company and Reinsurer would realize administrative
efficiencies by consolidating the business reinsured under the Other
Agreements with the business reinsured under this Agreement, it is
therefore
AGREED, as follows:
a) the "Policies and Risks Reinsured" as defined in Schedule A to
this Agreement is hereby amended to add the business listed on
the respective Schedules A of the Other Agreements; and
b) the "Mod-co percentage" as defined in 5.01(b) of this Agreement,
as of the effective date of this Amendment shall be sixty-five
percent (65%); and
c) the "Administration Expense Allowance" as defined in 3/02(e) is
hereby amended to "an annual rate of three and one-half percent
(3.5%)of the statutory reserve on the portion of the policies
reinsured hereunder as of the beginning of the accounting period
for which this calculation is being made plus any actual state,
county, or parish premium taxes paid by the Company on the
portion of the premiums reinsured hereunder"; and
d) the "Reinsurer's Minimum Profit Retention" is hereby amended to
"fifty basis point (0.5%) of the coinsurance reserve established
in accordance with 5.03, as of the beginning of the then current
accounting period".
The effective date of this Amendment is January 1, 1996.
On Behalf of Texas Imperial Life Insurance (Company)
/s/Xxxx X. Xxxxxxx, President 12/29/95
On Behalf of Alabama Reinsurance Company, Inc. (Reinsurer)
/s/Xxxxxx Xxxxxxx, VP & Actuary 12/22/95
SCHEDULE A
POLICIES AND RISKS REINSURED
----------------------------
Under this Agreement, the Reinsurer reinsures 100% of the following risks
on the blocks of ordinary life insurance policies issued or assumed by the
Company and described below:
FORM DESCRIPTION QUOTA SHARE
XX XXXXXXXXXXX 3.5% 100%
GDBWL XXXXXXXXXXX 3.5% 100%
10PL 1958 CSO 3% 100%
WL 1958 CSO 3.5% 100%
10PL 1980 CSO 4% SEX DISTINCT 100%
20PL 1980 CSO 4% SEX DISTINCT 100%
10PL 1980 CSO 6% SEX DISTINCT 100%
15PL 1980 CSO 6% SEX DISTINCT 100%
20PL 1980 CSO 6% SEX DISTINCT 100%
PUWL 1958 CSO (ANB) 3.5% NL 100%
FPA FLEXIBLE PREMIUM ANNUITIES 100%
SPWL 1980 CSO ALB 5.25% 100%
SPRP 5 PAY, 2YR RETURN OF PREM 100%
10PRP 10 PAY, 2YR RETURN OF PREM 100%
Originally Trans-Western treaty
SCHEDULE A
POLICIES AND RISKS REINSURED
----------------------------
Under this Agreement, the Reinsurer reinsures a 20% quota share of the
risks on the blocks of insurance policies issued by the Company and
described below:
VALUATION POLICY COUNT
CODE DESCRIPTION as of 8/1/94
--------------------------------------------------------------------
M161 XXXXXXXXXXX 3.5% 14,193
M121 XXXXXXXXXXX 2.5% 738
O143 58CSO ANB MALE 3% CRVM 186
0163 58CSO ANB MALE 3.5% CRVM 1,863
N143 41CSO 3% CRVM 00
X000 00XXX XXX XXXX 3.5% CRVM 156
M122 XXXXXXXXXXX 2.5% 1,202
M121 XXXXXXXXXXX 3.5% 21,631
0141 PAID UP - 58CSO ANB MALE 3% NL 83
M161 PAID UP - XXXXXXXXXXX 3.5% 2
M162 PAID UP - 58CSO ANB MALE 3% CRVM 16
0143 FULLY PAID UP - 58CSO ANB MALE 3% XXXX 0
0000 XXX - 00XXX ANB MALE 3% CRVM 43
Originally Family Life Treaty
