EXHIBIT 10.17
MERCURY CASUALTY COMPANY
LOS ANGELES, CALIFORNIA
THIRD AND FOURTH PROPERTY EXCESS
CATASTROPHE REINSURANCE CONTRACT
Originally Effective: September 1, 1996
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
E. W. Blanch Co.
Reinsurance Services
3500 West 80th Street
Minneapolis, Minnesota 55431
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
Third Excess Catastrophe Reinsurance
REINSURERS PARTICIPATIONS
Allmerica Re, A Division of The Hanover Insurance Company 1.25%
AXA Reinsurance Company 7.50
Cat Limited 10.00
Continental Casualty Company 2.00
Everest Reinsurance Company 13.00
First Excess and Reinsurance Corporation 9.00
Nationwide Mutual Insurance Company 3.00
Patriot Re Corporation (for Various Lloyd's Underwriters) 2.00
Renaissance Reinsurance Ltd. 4.00
St. Paul Reinsurance Management Corporation
(for St. Paul Fire and Marine Insurance Company) 1.75
Security Insurance Company of Hartford .40
Signet Star Reinsurance Company 2.00
Sydney Reinsurance Corporation 4.25
United Fire & Casualty Company 1.00
USF RE Insurance Company 2.00
Vesta Fire Insurance Corporation 25.00
Winterthur Reinsurance Corporation of America 3.25
THROUGH SWIRE BLANCH EUROPE
Europa Re .75
Sirius International Insurance Corporation 1.25
Third Excess Catastrophe Reinsurance (Continued)
REINSURERS PARTICIPATIONS
Societe Parisienne de Souscription
(for La Reunion Francaise) 1.50%
THROUGH MILLER REINSURANCE BROKERS NORTH AMERICA LTD.
Lloyd's Underwriters
Per Signing Schedule 5.10
TOTAL 100.00%
Fourth Excess Catastrophe Reinsurance
REINSURERS PARTICIPATIONS
Allmerica Re, A Division of The Hanover Insurance Company 1.50%
Cat Limited 10.00
Continental Casualty Company 1.50
First Excess and Reinsurance Corporation 10.00
Hartford Re Company
(for Hartford Fire Insurance Company) 3.00
Nationwide Mutual Insurance Company 4.00
Renaissance Reinsurance Ltd. 4.00
St. Paul Reinsurance Management Corporation
(for St. Paul Fire and Marine Insurance Company) 2.00
San Francisco Reinsurance Company 5.25
Security Insurance Company of Hartford .44
Signet Star Reinsurance Company 2.00
Sydney Reinsurance Corporation 3.50
USF RE Insurance Company 3.00
Vesta Fire Insurance Corporation 25.00
Winterthur Reinsurance Corporation of America 2.50
THROUGH SWIRE BLANCH EUROPE
Europa Re 2.00
Mapfre Re Compania de Reaseguros, S.A. 2.50
Sirius International Insurance Corporation 1.25
Societe Parisienne de Souscription
(for La Reunion Francaise) 1.50
Fourth Excess Catastrophe Reinsurance (Continued)
REINSURERS PARTICIPATIONS
Through Miller Reinsurance Brokers North America Ltd.
Lloyd's Underwriters and Companies
Per Signing Schedule(s) 15.06%
TOTAL 100.00%
E. W. Blanch Co.
Reinsurance Services
3500 West 80th Street
Minneapolis, Minnesota 55431
TABLE OF CONTENTS
Article PAGE
I Classes of Business Reinsured 1
II Term 1
III Territory 2
IV Exclusions 2
V Retention and Limit 3
VI Reinstatement 3
VII Loss Occurrence (BRMA 27A) 4
VIII Definitions 6
IX Loss Notices and Settlements 7
X Salvage and Subrogation 7
XI Reinsurance Premium 7
XII Offset 8
XIII Inspection of Records 9
XIV Net Retained Lines (BRMA 32B) 9
XV Errors and Omissions (BRMA 14F) 9
XVI Currency (BRMA 12A) 9
XVII Taxes (BRMA 50B) 10
XVIII Federal Excise Tax (BRMA 17A) 10
XIX Unauthorized Reinsurers 10
XX Insolvency 11
XXI Arbitration (BRMA 6J) 12
XXII Service of Suit (BRMA 49C) 13
XXIII Assignments and Changes of Interest 14
XXIV Agency Agreement 14
XXV Intermediary (BRMA 23A) 14
Schedule A
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
ARTICLE I - CLASSES OF BUSINESS REINSURED
By this Contract the Reinsurer agrees to reinsure the excess liability which may
accrue to the Company under its policies, contracts and binders of insurance or
reinsurance (hereinafter called "policies") in force at the effective date
hereof or issued or renewed on or after that date, and classified by the Company
as Homeowners (Section I), Fire, Allied Lines, Commercial Multiple Peril
(Section I), Automobile Physical Damage (Comprehensive only), Earthquake and
Inland Marine, subject to the terms, conditions and limitations set forth herein
and in Schedule A attached to and forming part of this Contract.
ARTICLE II - TERM
A. This Contract shall become effective on September 1, 1996, with respect to
losses arising out of loss occurrences commencing on or after that date, and
shall remain in force until August 31, 1997, both days inclusive. However,
if the Reinsurer sustains no loss hereunder from loss occurrences commencing
on or prior to June 30, 1997, this Contract shall, upon notice from the
Company on June 30, 1997, expire on June 30, 1997.
B. Notwithstanding the provisions of paragraph A above, either party may
terminate this Contract at any time, provided the Reinsurer has sustained no
loss hereunder, by giving the other party not less than 90 days prior notice
by certified mail.
C. If this Contract expires while a loss occurrence covered hereunder is in
progress, the Reinsurer's liability hereunder shall, subject to the other
terms and conditions of this
Contract, be determined as if the entire loss occurrence had occurred prior
to the expiration of this Contract, provided that no part of such loss
occurrence is claimed against any renewal or replacement of this Contract.
ARTICLE III - TERRITORY
This Contract shall apply to the territorial limits set forth in the Company's
policies reinsured hereunder.
ARTICLE IV - EXCLUSIONS
This Contract does not apply to and specifically excludes the following:
1. All lines of business not included in Article I.
2. All excess of loss reinsurance assumed by the Company.
3. Reinsurance assumed by the Company under obligatory reinsurance
agreements, except agency reinsurance where the policies involved are to
be reunderwritten in accordance with the underwriting standards of the
Company and reissued as Company policies at the next anniversary or
expiration date.
4. Financial guarantee and insolvency.
5. All Accident and Health, Fidelity and Surety, Boiler and Machinery,
Ocean Marine, Workers' Compensation and Credit business when written as
such.
6. Flood when written as such.
7. Mortgage Impairment insurances and similar kinds of insurances, however
styled.
8. Nuclear risks as defined in the "Nuclear Incident Exclusion Clause -
Physical Damage - Reinsurance" attached to and forming part of this
Contract.
9. Risks excluded under the provisions of the "Total Insured Value
Exclusion Clause" attached to and forming part of this Contract.
10. Loss or damage caused by or resulting from war, invasion, hostilities,
acts of foreign enemies, civil war, rebellion, insurrection, military or
usurped power, or martial law or confiscation by order of any government
or public authority, but this exclusion shall not
apply to loss or damage covered under a standard policy with a standard
War Exclusion Clause.
11. All liability of the Company arising by contract, operation of law, or
otherwise, from its participation or membership, whether voluntary or
involuntary, in any insolvency fund. "Insolvency fund" includes any
guaranty fund, insolvency fund, plan, pool, association, fund or other
arrangement, however denominated, established or governed, which
provides for any assessment of or payment or assumption by the Company
of part or all of any claim, debt, charge, fee or other obligation of an
insurer, or its successors or assigns, which has been declared by any
competent authority to be insolvent, or which is otherwise deemed unable
to meet any claim, debt, charge, fee or other obligation in whole or in
part.
12. Loss or liability excluded under the provisions of the "Pools,
Associations and Syndicates Exclusion Clause" attached to and forming
part of this Contract.
13. Pollution and seepage coverages excluded under the provisions of the
"Pollution and Seepage Exclusion Clause (BRMA 39A)" attached to and
forming part of this Contract.
ARTICLE V - RETENTION AND LIMIT
A. As respects each excess layer of reinsurance coverage provided by this
Contract, the Company shall retain and be liable for the first amount of
ultimate net loss, shown as "Company's Retention" for that excess layer in
Schedule A attached hereto, arising out of each loss occurrence. The
Reinsurer shall then be liable, as respects each excess layer, for 95.0% of
the amount by which such ultimate net loss exceeds the Company's applicable
retention, but the liability of the Reinsurer under each excess layer shall
not exceed 95.0% of the amount, shown as "Reinsurer's Per Occurrence Limit"
for that excess layer in Schedule A attached hereto, as respects any one loss
occurrence.
B. The Company shall retain, in addition to its initial retention on each loss
occurrence, 5.0% of the excess ultimate net loss to which the excess layer
applies.
C. The Company shall be permitted to carry excess per risk reinsurance,
recoveries under which shall inure to the benefit of this Contract.
ARTICLE VI - REINSTATEMENT
A. In the event all or any portion of the reinsurance coverage provided by this
Contract is exhausted by loss, the amount so exhausted shall be reinstated
immediately from the time
the loss occurrence commences hereon. For each amount so reinstated the
Company agrees to pay additional premium equal to the product of the
following:
1. The percentage of the occurrence limit for the excess layer reinstated
(based on the loss paid by the Reinsurer under that excess layer); times
2. The earned reinsurance premium for the excess layer reinstated for the
term of this Contract (exclusive of reinstatement premium).
B. Whenever the Company requests payment by the Reinsurer of any loss under any
excess layer hereunder, the Company shall submit a statement to the Reinsurer
of reinstatement premium due the Reinsurer for that excess layer. If the
earned reinsurance premium for any excess layer for the term of this Contract
has not been finally determined as of the date of any such statement, the
calculation of reinstatement premium due for that excess layer shall be based
on the annual deposit premium for that excess layer and shall be readjusted
when the earned reinsurance premium for that excess layer for the term of
this Contract has been finally determined. Any reinstatement premium shown
to be due the Reinsurer for any excess layer as reflected by any such
statement (less prior payments, if any, for that excess layer) shall be
payable by the Company concurrently with payment by the Reinsurer of the
requested loss for that excess layer. Any return reinstatement premium shown
to be due the Company shall be remitted by the Reinsurer within 60 days after
receipt and verification of the Company's statement.
C. Notwithstanding anything stated herein, the liability of the Reinsurer
provided by this Contract shall not exceed either of the following:
1. 95.0% of the amount, shown as "Reinsurer's Per Occurrence Limit" for that
excess layer in Schedule A attached hereto, as respects loss or losses
arising out of any one loss occurrence; or
2. 95.0% of the amount, shown as "Reinsurer's Term Limit" for that excess
layer in Schedule A attached hereto, in all during the term of this
Contract.
ARTICLE VII - LOSS OCCURRENCE (BRMA 27A)
A. The term "loss occurrence" shall mean the sum of all individual losses
directly occasioned by any one disaster, accident or loss or series of
disasters, accidents or losses arising out of one event which occurs within
the area of one state of the United States or province of Canada and states
or provinces contiguous thereto and to one another. However, the duration and
extent of any one "loss occurrence" shall be limited to all individual losses
sustained by the Company occurring during any period of 168 consecutive hours
arising out
of and directly occasioned by the same event, except that the term "loss
occurrence" shall be further defined as follows:
1. As regards windstorm, hail, tornado, hurricane, cyclone, including
ensuing collapse and water damage, all individual losses sustained by the
Company occurring during any period of 72 consecutive hours arising out
of and directly occasioned by the same event. However, the event need not
be limited to one state or province or states or provinces contiguous
thereto.
2. As regards riot, riot attending a strike, civil commotion, vandalism and
malicious mischief, all individual losses sustained by the Company
occurring during any period of 72 consecutive hours within the area of
one municipality or county and the municipalities or counties contiguous
thereto arising out of and directly occasioned by the same event. The
maximum duration of 72 consecutive hours may be extended in respect of
individual losses which occur beyond such 72 consecutive hours during the
continued occupation of an assured's premises by strikers, provided such
occupation commenced during the aforesaid period.
3. As regards earthquake (the epicentre of which need not necessarily be
within the territorial confines referred to in paragraph A of this
Article) and fire following directly occasioned by the earthquake, only
those individual fire losses which commence during the period of 168
consecutive hours may be included in the Company's "loss occurrence."
4. As regards "freeze," only individual losses directly occasioned by
collapse, breakage of glass and water damage (caused by bursting frozen
pipes and tanks) may be included in the Company's "loss occurrence."
B. Except for those "loss occurrences" referred to in subparagraphs 1 and 2 of
paragraph A above, the Company may choose the date and time when any such
period of consecutive hours commences, provided that it is not earlier than
the date and time of the occurrence of the first recorded individual loss
sustained by the Company arising out of that disaster, accident or loss, and
provided that only one such period of 168 consecutive hours shall apply with
respect to one event.
C. However, as respects those "loss occurrences" referred to in subparagraphs 1
and 2 of paragraph A above, if the disaster, accident or loss occasioned by
the event is of greater duration than 72 consecutive hours, then the Company
may divide that disaster, accident or loss into two or more "loss
occurrences," provided that no two periods overlap and no individual loss is
included in more than one such period, and provided that no period commences
earlier than the date and time of the occurrence of the first recorded
individual loss sustained by the Company arising out of that disaster,
accident or loss.
D. No individual losses occasioned by an event that would be covered by 72 hours
clauses may be included in any "loss occurrence" claimed under the 168 hours
provision.
ARTICLE VIII - DEFINITIONS
A. "Ultimate net loss" as used herein is defined as the sum or sums (including
interest on judgments, extra contractual obligations, loss resulting from the
reformation or liberalization of policies, litigation expenses and all other
loss adjustment expense, except office expenses and salaries of the Company's
regular employees) paid or payable by the Company in settlement of claims and
in satisfaction of judgments rendered on account of such claims, after
deduction of all salvage, all recoveries and all claims on inuring insurance
or reinsurance, whether collectible or not. Nothing herein shall be
construed to mean that losses under this Contract are not recoverable until
the Company's ultimate net loss has been ascertained.
B. "Extra contractual obligations" as used herein shall mean 90.0% of any
punitive, exemplary, compensatory or consequential damages paid or payable by
the Company as a result of an action against it by its insured or its
insured's assignee, which action alleges negligence or bad faith on the part
of the Company in handling a claim under a policy subject to this Contract.
An extra contractual obligation shall be deemed to have occurred on the same
date as the loss covered or alleged to be covered under the policy.
Notwithstanding anything stated herein, this Contract shall not apply to any
extra contractual obligation incurred by the Company as a result of any
fraudulent and/or criminal act by any officer or director of the Company
acting individually or collectively or in collusion with any individual or
corporation or any other organization or party involved in the presentation,
defense or settlement of any claim covered hereunder.
C. As respects amounts paid by the Company subject to this Contract for debris
removal, including cleanup of pollutants, as respects business classified as
commercial property, "loss" shall mean an amount not to exceed 30.0% of the
direct physical loss or damage paid by the Company, for any one loss, any one
location, any one insured. "Loss" is further restricted to include only such
claims for debris removal, including cleanup of pollutants, reported to the
Company not more than 180 days immediately following the direct physical loss
or damage.
D. "Pollutant" as used herein shall mean any solid liquid, gaseous, or thermal
irritant or contaminant, including, but not limited to smoke, vapor, soot,
fumes, acids, alkalis, chemicals and waste. Waste includes materials to be
recycled, reconditioned or reclaimed.
ARTICLE IX - LOSS NOTICES AND SETTLEMENTS
A. Whenever a loss sustained by the Company appears likely to result in a claim
hereunder, the Company shall notify the Reinsurer, and the Reinsurer shall
have the right to participate in the adjustment of the loss at its own
expense.
B. All loss settlements made by the Company, provided they are within the terms
of this Contract, and either under the strict conditions of the Company's
policies or by way of compromise, shall be unconditionally binding upon the
Reinsurer, and the Reinsurer agrees to pay all amounts for which it may be
liable upon receipt of reasonable evidence of the amount paid (or scheduled
to be paid) by the Company.
C. All salvage and recoveries received subsequent to a loss settlement under
this Contract shall be applied as if received prior to said loss settlement,
and all necessary adjustment shall be made between the Company and the
Reinsurer immediately following receipt by the Company of such salvage or
recoveries.
ARTICLE X - SALVAGE AND SUBROGATION
The Reinsurer shall be credited with salvage (i.e., reimbursement obtained or
recovery made by the Company, less the actual cost, excluding salaries of
officials and employees of the Company and sums paid to attorneys as retainer,
of obtaining such reimbursement or making such recovery) on account of claims
and settlements involving reinsurance hereunder. Salvage thereon shall always
be used to reimburse the excess carriers in the reverse order of their priority
according to their participation before being used in any way to reimburse the
Company for its primary loss. The Company hereby agrees to enforce its rights
to salvage or subrogation relating to any loss, a part of which loss was
sustained by the Reinsurer, and to prosecute all claims arising out of such
rights.
ARTICLE XI - REINSURANCE PREMIUM
A. As premium for each excess layer of reinsurance coverage provided by this
Contract, the Company shall pay the Reinsurer the greater of the following:
1. The amount, shown as "Annual Minimum Premium" for that excess layer in
Schedule A attached hereto; or, in the event the early expiration
provision outlined in paragraph A of Article II is exercised by the
Company, the amount shown as "Early Expiration Minimum Premium" for that
excess layer in Schedule A attached hereto. In the event that this
Contract is terminated in accordance with the provisions of paragraph B of
Article II, the annual minimum premium for each excess layer shall be a
pro rata portion of the "Annual Minimum Premium" for that excess layer in
Schedule A attached hereto.
2. The percentage, shown as "Premium Rate" for that excess layer in Schedule
A attached hereto, of the Company's net earned premium for the term of
this Contract.
B. The Company shall pay the Reinsurer an annual deposit premium for each excess
layer of an amount, shown as "Annual Deposit Premium" for that excess layer
in Schedule A attached hereto, in four equal installments of an amount, shown
as "Quarterly Deposit Premium" for that excess layer in Schedule A attached
hereto, on September 1 and December 1, 1996, and March 1 and June 1, 1997.
However, in the event that this Contract expires on June 30, 1997 in
accordance with the provisions of paragraph A of Article II, the Reinsurer
shall return to the Company a pro rata portion of the deposit premium for
each excess layer payable on June 1, 1997. In the event that this Contract
is terminated at any time, in accordance with the provisions of paragraph B
of Article II, the Company shall pay a pro rata portion of the amount, shown
as "Annual Deposit Premium," for that excess layer in Schedule A attached
hereto.
C. Within 60 days after the expiration or termination of this Contract, the
Company shall provide a report to the Reinsurer setting forth the premium due
hereunder for each excess layer, computed in accordance with paragraph A, and
any additional premium due the Reinsurer or return premium due the Company
for each such excess layer shall be remitted promptly.
D. "Net earned premium" as used herein is defined as gross earned premium of the
Company for the classes of business reinsured hereunder, less the earned
portion of premiums ceded by the Company for reinsurance which inures to the
benefit of this Contract. For purposes of calculating net earned premium,
for multiple peril policies with indivisible premiums, if any, 80.0% of the
total Homeowners basic policy premium and 70.0% of the total basic Commercial
Multiple Peril policy premium shall be considered subject premium.
ARTICLE XII - OFFSET
The Company or the Reinsurer may offset any balance, whether on account of
premiums, commissions, loss or claim expenses due from one party to the other
under this Contract or under any other reinsurance contract heretofore or
hereafter entered into between the Company and the Reinsurer, whether acting as
assuming reinsurer or ceding company.
ARTICLE XIII - INSPECTION OF RECORDS
The Reinsurer may inspect the records of the Company pertaining to the risks
reinsured hereunder.
ARTICLE XIV - NET RETAINED LINES (BRMA 32B)
A. This Contract applies only to that portion of any policy which the Company
retains net for its own account, and in calculating the amount of any loss
hereunder and also in computing the amount or amounts in excess of which this
Contract attaches, only loss or losses in respect of that portion of any
policy which the Company retains net for its own account shall be included.
B. The amount of the Reinsurer's liability hereunder in respect of any loss or
losses shall not be increased by reason of the inability of the Company to
collect from any other reinsurer(s), whether specific or general, any amounts
which may have become due from such reinsurer(s), whether such inability
arises from the insolvency of such other reinsurer(s) or otherwise.
ARTICLE XV - ERRORS AND OMISSIONS (BRMA 14F)
Inadvertent delays, errors or omissions made in connection with this Contract or
any transaction hereunder shall not relieve either party from any liability
which would have attached had such delay, error or omission not occurred,
provided always that such error or omission is rectified as soon as possible
after discovery.
ARTICLE XVI - CURRENCY (BRMA 12A)
A. Whenever the word "Dollars" or the "$" sign appears in this Contract, they
shall be construed to mean United States Dollars and all transactions under
this Contract shall be in United States Dollars.
B. Amounts paid or received by the Company in any other currency shall be
converted to United States Dollars at the rate of exchange at the date such
transaction is entered on the books of the Company.
ARTICLE XVII - TAXES (BRMA 50B)
In consideration of the terms under which this Contract is issued, the Company
will not claim a deduction in respect of the premium hereon when making tax
returns, other than income or profits tax returns, to any state or territory of
the United States of America or the District of Columbia.
ARTICLE XVIII - FEDERAL EXCISE TAX (BRMA 17A)
(Applicable to those reinsurers, excepting Underwriters at Lloyd's London and
other reinsurers exempt from Federal Excise Tax, who are domiciled outside the
United States of America.)
A. The Reinsurer has agreed to allow for the purpose of paying the Federal
Excise Tax the applicable percentage of the premium payable hereon as imposed
under Section 4371 of the Internal Revenue Code to the extent such premium is
subject to the Federal Excise Tax.
B. In the event of any return premium becoming due hereunder the Reinsurer will
deduct the applicable percentage from the return premium payable hereon and
the Company or its agent should take steps to recover the tax from the United
States Government.
ARTICLE XIX - UNAUTHORIZED REINSURERS
A. If the Reinsurer is unauthorized in any state of the United States of America
or the District of Columbia, the Reinsurer agrees to fund its share of the
Company's ceded outstanding loss and loss adjustment expense reserves
(including incurred but not reported loss reserves) by:
1. Clean, irrevocable and unconditional letters of credit issued and
confirmed, if confirmation is required by the insurance regulatory
authorities involved, by a bank or banks meeting the NAIC Securities
Valuation Office credit standards for issuers of letters of credit and
acceptable to said insurance regulatory authorities; and/or
2. Escrow accounts for the benefit of the Company; and/or
3. Cash advances;
if, without such funding, a penalty would accrue to the Company on any
financial statement it is required to file with the insurance regulatory
authorities involved. The Reinsurer, at its sole option, may fund in other
than cash if its method and form of funding are acceptable to the insurance
regulatory authorities involved.
B. With regard to funding in whole or in part by letters of credit, it is
agreed that each letter of credit will be in a form acceptable to insurance
regulatory authorities involved, will be
issued for a term of at least one year and will include an "evergreen
clause," which automatically extends the term for at least one additional
year at each expiration date unless written notice of non-renewal is given
to the Company not less than 30 days prior to said expiration date. The
Company and the Reinsurer further agree, notwithstanding anything to the
contrary in this Contract, that said letters of credit may be drawn upon by
the Company or its successors in interest at any time, without diminution
because of the insolvency of the Company or the Reinsurer, but only for one
or more of the following purposes:
1. To reimburse itself for the Reinsurer's share of losses and/or loss
adjustment expense paid under the terms of policies reinsured hereunder,
unless paid in cash by the Reinsurer;
2. To reimburse itself for the Reinsurer's share of any other amounts
claimed to be due hereunder, unless paid in cash by the Reinsurer;
3. To fund a cash account in an amount equal to the Reinsurer's share of any
ceded outstanding loss and loss adjustment expense reserves (including
incurred but not reported loss reserves) funded by means of a letter of
credit which is under non-renewal notice, if said letter of credit has
not been renewed or replaced by the Reinsurer 10 days prior to its
expiration date;
4. To refund to the Reinsurer any sum in excess of the actual amount
required to fund the Reinsurer's share of the Company's ceded outstanding
loss and loss adjustment expense reserves (including incurred but not
reported loss reserves), if so requested by the Reinsurer.
In the event the amount drawn by the Company on any letter of credit is in
excess of the actual amount required for B(1) or B(3), or in the case of
B(2), the actual amount determined to be due, the Company shall promptly
return to the Reinsurer the excess amount so drawn.
ARTICLE XX - INSOLVENCY
A. In the event of the insolvency of one or more of the reinsured companies,
this reinsurance shall be payable directly to the company or to its
liquidator, receiver, conservator or statutory successor immediately upon
demand, with reasonable provision for verification, on the basis of the
liability of the company without diminution because of the insolvency of the
company or because the liquidator, receiver, conservator or statutory
successor of the company has failed to pay all or a portion of any claim. It
is agreed, however, that the liquidator, receiver, conservator or statutory
successor of the company shall give written notice to the Reinsurer of the
pendency of a claim against the company indicating the policy or bond
reinsured which claim would involve a possible liability on the part of the
Reinsurer within a reasonable time after such claim is filed in the
conservation or liquidation proceeding or in
the receivership, and that during the pendency of such claim, the Reinsurer
may investigate such claim and interpose, at its own expense, in the
proceeding where such claim is to be adjudicated, any defense or defenses
that it may deem available to the company or its liquidator, receiver,
conservator or statutory successor. The expense thus incurred by the
Reinsurer shall be chargeable, subject to the approval of the Court, against
the company as part of the expense of conservation or liquidation to the
extent of a pro rata share of the benefit which may accrue to the company
solely as a result of the defense undertaken by the Reinsurer.
B. Where two or more reinsurers are involved in the same claim and a majority in
interest elect to interpose defense to such claim, the expense shall be
apportioned in accordance with the terms of this Contract as though such
expense had been incurred by the company.
C. It is further understood and agreed that, in the event of the insolvency of
one or more of the reinsured companies, the reinsurance under this Contract
shall be payable directly by the Reinsurer to the company or to its
liquidator, receiver or statutory successor, except as provided by Section
4118(a) of the New York Insurance Law or except (1) where this Contract
specifically provides another payee of such reinsurance in the event of the
insolvency of the company or (2) where the Reinsurer with the consent of the
direct insured or insureds has assumed such policy obligations of the company
as direct obligations of the Reinsurer to the payees under such policies and
in substitution for the obligations of the company to such payees.
ARTICLE XXI - ARBITRATION (BRMA 6J)
A. As a condition precedent to any right of action hereunder, in the event of
any dispute or difference of opinion hereafter arising with respect to this
Contract, it is hereby mutually agreed that such dispute or difference of
opinion shall be submitted to arbitration. One Arbiter shall be chosen by
the Company, the other by the Reinsurer, and an Umpire shall be chosen by the
two Arbiters before they enter upon arbitration, all of whom shall be active
or retired disinterested executive officers of insurance or reinsurance
companies or Lloyd's London Underwriters. In the event that either party
should fail to choose an Arbiter within 30 days following a written request
by the other party to do so, the requesting party may choose two Arbiters who
shall in turn choose an Umpire before entering upon arbitration. If the two
Arbiters fail to agree upon the selection of an Umpire within 30 days
following their appointment, each Arbiter shall nominate three candidates
within 10 days thereafter, two of whom the other shall decline, and the
decision shall be made by drawing lots.
B. Each party shall present its case to the Arbiters within 30 days following
the date of appointment of the Umpire. The Arbiters shall consider this
Contract as an honorable engagement rather than merely as a legal obligation
and they are relieved of all judicial formalities and may abstain from
following the strict rules of law. The decision of the
Arbiters shall be final and binding on both parties; but failing to agree,
they shall call in the Umpire and the decision of the majority shall be final
and binding upon both parties. Judgment upon the final decision of the
Arbiters may be entered in any court of competent jurisdiction.
C. If more than one reinsurer is involved in the same dispute, all such
reinsurers shall constitute and act as one party for purposes of this Article
and communications shall be made by the Company to each of the reinsurers
constituting one party, provided, however, that nothing herein shall impair
the rights of such reinsurers to assert several, rather than joint, defenses
or claims, nor be construed as changing the liability of the reinsurers
participating under the terms of this Contract from several to joint.
D. Each party shall bear the expense of its own Arbiter, and shall jointly and
equally bear with the other the expense of the Umpire and of the arbitration.
In the event that the two Arbiters are chosen by one party, as above
provided, the expense of the Arbiters, the Umpire and the arbitration shall
be equally divided between the two parties.
E. Any arbitration proceedings shall take place at a location mutually agreed
upon by the parties to this Contract, but notwithstanding the location of the
arbitration, all proceedings pursuant hereto shall be governed by the law of
the state in which the Company has its principal office.
ARTICLE XXII - SERVICE OF SUIT (BRMA 49C)
(Applicable if the Reinsurer is not domiciled in the United States of America,
and/or is not authorized in any State, Territory or District of the United
States where authorization is required by insurance regulatory authorities)
A. It is agreed that in the event the Reinsurer fails to pay any amount claimed
to be due hereunder, the Reinsurer, at the request of the Company, will
submit to the jurisdiction of any court of competent jurisdiction within the
United States. Nothing in this Article constitutes or should be understood
to constitute a waiver of the Reinsurer's rights to commence an action in any
court of competent jurisdiction in the United States, to remove an action to
a United States District Court, or to seek a transfer of a case to another
court as permitted by the laws of the United States or of any state in the
United States.
B. Further, pursuant to any statute of any state, territory or district of the
United States which makes provision therefor, the Reinsurer hereby designates
the party named in its Interests and Liabilities Agreement, or if no party is
named therein, the Superintendent, Commissioner or Director of Insurance or
other officer specified for that purpose in the statute, or his successor or
successors in office, as its true and lawful attorney upon whom may be served
any lawful process in any action, suit or proceeding instituted by or on
behalf of the Company or any beneficiary hereunder arising out of this
Contract.
ARTICLE XXIII - ASSIGNMENTS AND CHANGES OF INTEREST
No assignment or change of the Company's interest hereunder, whether voluntary
or involuntary and whether by merger or reinsurance of its entire business with
another company or otherwise, shall be binding upon the Reinsurer.
ARTICLE XXIV - AGENCY AGREEMENT
If more than one reinsured company is named as a party to this Contract, the
first named company shall be deemed the agent of the other reinsured companies
for purposes of sending or receiving notices required by the terms and
conditions of this Contract, and for purposes of remitting or receiving any
monies due any party.
ARTICLE XXV - INTERMEDIARY (BRMA 23A)
E. W. Blanch Co. is hereby recognized as the Intermediary negotiating this
Contract for all business hereunder. All communications (including but not
limited to notices, statements, premium, return premium, commissions, taxes,
losses, loss adjustment expense, salvages and loss settlements) relating thereto
shall be transmitted to the Company or the Reinsurer through E. W. Blanch Co.,
Reinsurance Services, 3500 West 80th Street, Minneapolis, Minnesota 55431.
Payments by the Company to the Intermediary shall be deemed to constitute
payment to the Reinsurer. Payments by the Reinsurer to the Intermediary shall
be deemed to constitute payment to the Company only to the extent that such
payments are actually received by the Company.
IN WITNESS WHEREOF, the Company by its duly authorized representative has
executed this Contract as of the date undermentioned at:
Los Angeles, California, this _______ day of _________________________199__.
_____________________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
SCHEDULE A
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
all of Los Angeles, California
THIRD FOURTH
EXCESS EXCESS
Company's Retention $15,000,000 $25,000,000
Reinsurer's Per Occurrence Limit (95.0% of) $10,000,000 $15,000,000
Reinsurer's Term Limit (95.0% of) $20,000,000 $30,000,000
Annual Minimum Premium $ 520,000 $ 436,000
Early Expiration Minimum Premium $ 432,900 $ 362,970
Premium Rate
Class of Business other than Auto Physical Damage 2.8457% 2.5046%
Auto Physical Damage 0.3003% 0.2343%
Annual Deposit Premium $ 650,000 $ 545,000
Quarterly Deposit Premium $ 162,500 $ 136,250
U.S.A.
- ------
NUCLEAR INCIDENT EXCLUSION CLAUSE - PHYSICAL DAMAGE - REINSURANCE
1. This Reinsurance does not cover any loss or liability accruing to the
Reassured, directly or indirectly and whether as Insurer or Reinsurer, from any
Pool of Insurers or Reinsurers formed for the purpose of covering Atomic or
Nuclear Energy risks.
2. Without in any way restricting the operation of paragraph (1) of this
Clause, this Reinsurance does not cover any loss or liability accruing to the
Reassured, directly or indirectly and whether as Insurer or Reinsurer, from any
insurance against Physical Damage (including business interruption or
consequential loss arising out of such Physical Damage) to:
I. Nuclear reactor power plants including all auxiliary property on the
site, or
II. Any other nuclear reactor installation, including laboratories
handling radioactive materials in connection with reactor
installations, and "critical facilities" as such, or
III. Installations for fabricating complete fuel elements or for processing
substantial quantities of "special nuclear material," and for
reprocessing, salvaging, chemically separating, storing or disposing
of "spent" nuclear fuel or waste materials, or
IV. Installations other than those listed in paragraph (2) III above using
substantial quantities of radioactive isotopes or other products of
nuclear fission.
3. Without in any way restricting the operations of paragraphs (1) and (2)
hereof, this Reinsurance does not cover any loss or liability by radioactive
contamination accruing to the Reassured, directly or indirectly, and whether as
Insurer or Reinsurer, from any insurance on property which is on the same site
as a nuclear reactor power plant or other nuclear installation and which
normally would be insured therewith except that this paragraph (3) shall not
operate
(a) where Reassured does not have knowledge of such nuclear reactor
power plant or nuclear installation, or
(b) where said insurance contains a provisions excluding coverage for
damage to property caused by or resulting from radioactive
contamination, however caused. However on and after 1st January
1960 this sub-paragraph (b) shall only apply provided the said
radioactive contamination exclusion provision has been approved by
the Governmental Authority having jurisdiction thereof.
4. Without in any way restricting the operations of paragraphs (1), (2) and
(3) hereof, this Reinsurance does not cover any loss or liability by radioactive
contamination accruing to the Reassured, directly or indirectly, and whether as
Insurer or Reinsurer, when such radioactive contamination is a named hazard
specifically insured against.
5. It is understood and agreed that this Clause shall not extend to risks
using radioactive isotopes in any form where the nuclear exposure is not
considered by the Reassured to be the primary hazard.
6. The term "special nuclear material" shall have the meaning given it in
the Atomic Energy Act of 1954 or by any law amendatory thereof.
7. Reassured to be sole judge of what constitutes:
(a) substantial quantities, and
(b) the extent of installation, plant or site.
Note.-Without in any way restricting the operation of paragraph (1) hereof, it
is understood and agreed that
(a) all policies issued by the Reassured on or before 31st December
1957 shall be free from the application of the other provisions of
this Clause until expiry date or 31st December 1960 whichever first
occurs whereupon all the provisions of this Clause shall apply.
(b) with respect to any risk located in Canada policies issued by the
Reassured on or before 31st December 1958 shall be free from the
application of the other provisions of this Clause until expiry
date or 31st December 1960 whichever first occurs whereupon all the
provisions of this Clause shall apply.
TOTAL INSURED VALUE EXCLUSION CLAUSE
It is the mutual intention of the parties to exclude risks, other than Offices,
Hotels, Apartments, Hospitals, Educational Establishments and Public Utilities
(except Railroad Schedules), and Builders Risks on the above classes, where at
the time of cession, the Total Insured Value over all interests exceeds
$250,000,000. However, the Company shall be protected hereunder, subject to the
other terms and conditions of this Contract, if subsequent to cession being
made, the Company becomes acquainted with the true facts of the case and
discovers that the mutual intention has been inadvertently breached; on
condition that the Company shall at the first opportunity, and certainly by next
anniversary of the original policy, exclude the risk in question.
It is agreed that this mutual intention does not apply to Contingent Business
Interruption or to interests traditionally underwritten as Inland Marine or to
Stock and/or Contents written on a blanket basis except where the Company is
aware that the Total Insured Value of $250,000,000 is already exceeded for
buildings, machinery, equipment and direct use and occupancy at the key
location.
It is understood and agreed that this Clause shall not apply hereunder where the
Company writes 100% of the risk.
POOLS, ASSOCIATIONS & SYNDICATES EXCLUSION CLAUSE
SECTION A:
Excluding:
(a) All business derived directly or indirectly from any Pool, Association
or Syndicate which maintains its own reinsurance facilities.
(b) Any Pool or Scheme (whether voluntary or mandatory) formed after March
1, 1968 for the purpose of insuring property whether on a country-wide
basis or in respect of designated areas. This exclusion shall not apply
to so-called Automobile Insurance Plans or other Pools formed to provide
coverage for Automobile Physical Damage.
SECTION B:
It is agreed that business written by the Company for the same perils, which
is known at the time to be insured by, or in excess of underlying amounts placed
in the following Pools, Associations or Syndicates, whether by way of insurance
or reinsurance, is excluded hereunder:
Industrial Risk Insurers,
Associated Factory Mutuals,
Improved Risk Mutuals,
Any Pool, Association or Syndicate formed for the purpose of writing
Oil, Gas or Petro-Chemical Plants and/or Oil or Gas Drilling Rigs,
United States Aircraft Insurance Group,
Canadian Aircraft Insurance Group,
Associated Aviation Underwriters,
American Aviation Underwriters.
Section B does not apply:
(a) Where The Total Insured Value over all interests of the risk in question
is less than $250,000,000.
(b) To interests traditionally underwritten as Inland Marine or stock and/or
contents written on a blanket basis.
(c) To Contingent Business Interruption, except when the Company is aware
that the key location is known at the time to be insured in any Pool,
Association or Syndicate named above, other than as provided for under
Section B(a).
(d) To risks as follows:
Offices, Hotels, Apartments, Hospitals, Educational Establishments,
Public Utilities (other than railroad schedules) and builder's risks on
the classes of risks specified in this subsection (d) only.
Where this clause attaches to Catastrophe Excesses, the following Section C
is added:
SECTION C:
Nevertheless the Reinsurer specifically agrees that liability accruing to
the Company from its participation in residual market mechanisms including but
not limited to:
(1) The following so-called "Coastal Pools":
Alabama Insurance Underwriting Association
Florida Windstorm Underwriting Association ("FWUA")
Louisiana Insurance Underwriting Association
Mississippi Windstorm Underwriting Association
North Carolina Insurance Underwriting Association
South Carolina Windstorm and Hail Underwriting Association
Texas Catastrophe Property Insurance Association
AND
(2) All "Fair Plan" and "Rural Risk Plan" business
AND
(3) The Florida Property and Casualty Joint Underwriting Association
("FPCJUA"), the Florida Residential Property and Casualty Joint
Underwriting Association ("RPCJUA") and the California Earthquake
Authority (CEA)
for all perils otherwise protected hereunder shall not be excluded, except,
however, that this reinsurance does not include any increase in such liability
resulting from:
(i) The inability of any other participant in such "Coastal Pool" and/or
"Fair Plan" and/or "Rural Risk Plan" and/or Residual Market Mechanisms
to meet its liability.
(ii) Any claim against such "Coastal Pool" and/or "Fair Plan" and/or "Rural
Risk Plan" and/or Residual Market Mechanisms, or any participant
therein, including the Company, whether by way of subrogation or
otherwise, brought by or on behalf of any insolvency fund (as defined
in the Insolvency Fund Exclusion Clause incorporated in this Contract).
SECTION D:
(1) Notwithstanding Section C above, in respect of the CEA, where an
assessment is made against the Company by the CEA, the Company may
include in its Ultimate Net Loss only that assessment directly
attributable to each separate loss occurrence covered hereunder. The
Company's initial capital contribution to the CEA shall not be included
in the Ultimate Net Loss.
(2) Notwithstanding Section C above, in respect of the FWUA, FPCJUA and
RPCJUA, where an assessment is made against the Company by the FWUA, the
FPCJUA, the RPCJUA, or any combination thereof, the maximum loss that
the Company may include in the Ultimate Net Loss in respect of any loss
occurrence hereunder shall not exceed the lesser of:
(a) The Company's assessment from the relevant entity (FWUA, FPCJUA
and/or RPCJUA) for the accounting year in which the loss occurrence
commenced, or
(b) The product of the following:
(i) The Company's percentage participation in the relevant entity
for the accounting year in which the loss occurrence
commenced; and
(ii) The relevant entity's total losses in such loss occurrence.
Any assessments for accounting years subsequent to that in which the
loss occurrence commenced may not be included in the Ultimate Net Loss
hereunder. Moreover, notwithstanding Section C above, in respect of the
FWUA, the FPCJUA and/or the RPCJUA, the Ultimate Net Loss hereunder
shall not include any monies expended to purchase or retire bonds as a
consequence of being a member of the FWUA, the FPCJUA and/or the RPCJUA.
For the purposes of this Contract, the Company may not include in the
Ultimate Net Loss any assessment or any percentage assessment levied by
the FWUA, the FPCJUA and/or the RPCJUA to meet the obligations of an
insolvent insurer member or other party, or to meet any obligations
arising from the deferment by the FWUA, the FPCJUA and/or the RPCJUA of
the collection of monies.
- --------------------------------------------------------------------------------
NOTES: Wherever used herein the terms:
"Company" shall be understood to mean "Company", "Reinsured",
"Reassured" or whatever other term is used in the attached
reinsurance document to designate the reinsured company or
companies.
"Agreement" shall be understood to mean "Agreement", "Contract",
"Policy", or whatever other term is used to designate the
attached reinsurance document.
"Reinsurers" shall be understood to mean "Reinsurers", "Underwriters" or
whatever other term is used in the attached reinsurance
document to designate the reinsurer or reinsurers.
POLLUTION AND SEEPAGE EXCLUSION CLAUSE
This Contract excludes loss and/or damage and/or costs and/or expenses arising
from seepage and/or pollution and/or contamination, other than contamination
from smoke. Nevertheless, this exclusion does not preclude payment of the cost
of removing debris of property damaged by a loss otherwise covered hereunder,
subject always to a limit of 25% of the Company's property loss under the
applicable original policy.
INTERESTS AND LIABILITIES AGREEMENT
of
Allmerica Re
A Division of
The Hanover Insurance Company
Bedford, New Hampshire
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
1.25% of the Third Excess Catastrophe Reinsurance
1.50% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Florham Park, New Jersey, this _______ day of_________________________199___.
_________________________________________________________
Allmerica Re, A Division of The Hanover Insurance Company
INTERESTS AND LIABILITIES AGREEMENT
of
AXA Reinsurance Company
Wilmington, Delaware
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
7.50% of the Third Excess Catastrophe Reinsurance
0% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
New York, New York, this _______ day of _______________________________199___.
_____________________________________________________
AXA Reinsurance Company
INTERESTS AND LIABILITIES AGREEMENT
of
Cat Limited
Hamilton, Bermuda
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
10.00% of the Third Excess Catastrophe Reinsurance
10.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Hamilton, Bermuda, this _______ day of_________________________________199___.
_____________________________________________________
Cat Limited
INTERESTS AND LIABILITIES AGREEMENT
of
Continental Casualty Company
Chicago, Illinois
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
2.00% of the Third Excess Catastrophe Reinsurance
1.50% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Chicago, Illinois, this _______ day of_________________________________199___.
_____________________________________________________
Continental Casualty Company
INTERESTS AND LIABILITIES AGREEMENT
of
Everest Reinsurance Company
Dover, Delaware
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
13.00% of the Third Excess Catastrophe Reinsurance
0% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Newark, New Jersey, this _______ day of _______________________________199___.
_____________________________________________________
Everest Reinsurance Company
INTERESTS AND LIABILITIES AGREEMENT
of
First Excess and Reinsurance Corporation
Overland Park, Kansas
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
9.00% of the Third Excess Catastrophe Reinsurance
10.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Kansas City, Missouri, this _______ day of____________________________199___.
_____________________________________________________
First Excess and Reinsurance Corporation
INTERESTS AND LIABILITIES AGREEMENT
of
Hartford Fire Insurance Company
Hartford, Connecticut
by
Hartford Re Company
Hartford, Connecticut
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
0% of the Third Excess Catastrophe Reinsurance
3.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
INTERESTS AND LIABILITIES AGREEMENT
of
Security Insurance Company of Hartford
Farmington, Connecticut
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
0.40% of the Third Excess Catastrophe Reinsurance
0.44% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Farmington, Connecticut, this _______ day of ___________________________199___.
_____________________________________________________
Security Insurance Company of Hartford
INTERESTS AND LIABILITIES AGREEMENT
of
Signet Star Reinsurance Company
Wilmington, Delaware
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
2.00% of the Third Excess Catastrophe Reinsurance
2.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Florham Park, New Jersey, this _______ day of _________________________199___.
_____________________________________________________
Signet Star Reinsurance Company
INTERESTS AND LIABILITIES AGREEMENT
of
Sydney Reinsurance Corporation
Philadelphia, Pennsylvania
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
4.25% of the Third Excess Catastrophe Reinsurance
3.50% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
New York, New York, this _______ day of _______________________________199___.
_____________________________________________________
Sydney Reinsurance Corporation
INTERESTS AND LIABILITIES AGREEMENT
of
United Fire & Casualty Company
Cedar Rapids, Iowa
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
1.00% of the Third Excess Catastrophe Reinsurance
0% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Cedar Rapids, Iowa, this _______ day of________________________________199___.
_____________________________________________________
United Fire & Casualty Company
INTERESTS AND LIABILITIES AGREEMENT
of
USF RE Insurance Company
Boston, Massachusetts
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
2.00% of the Third Excess Catastrophe Reinsurance
3.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Costa Mesa, California, this _______ day of_____________________________199___.
_____________________________________________________
USF RE Insurance Company
INTERESTS AND LIABILITIES AGREEMENT
of
Vesta Fire Insurance Corporation
Birmingham, Alabama
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
25.00% of the Third Excess Catastrophe Reinsurance
25.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Birmingham, Alabama, this _______ day of_______________________________199___.
_____________________________________________________
Vesta Fire Insurance Corporation
INTERESTS AND LIABILITIES AGREEMENT
of
Winterthur Reinsurance Corporation of America
New York, New York
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
3.25% of the Third Excess Catastrophe Reinsurance
2.50% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
New York, New York, this _______ day of _______________________________199___.
_____________________________________________________
Winterthur Reinsurance Corporation of America
INTERESTS AND LIABILITIES AGREEMENT
of
Europa Re
Cologne, Germany
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
0.75% of the Third Excess Catastrophe Reinsurance
2.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Cologne, Germany, this _______ day of ________________________________199___.
_____________________________________________________
Europa Re
INTERESTS AND LIABILITIES AGREEMENT
of
Mapfre Re Compania de Reaseguros, S.A
Madrid, Spain
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
0% of the Third Excess Catastrophe Reinsurance
2.50% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Madrid, Spain, this _______ day of ____________________________________199___.
_____________________________________________________
Mapfre Re Compania de Reaseguros, S.A.
INTERESTS AND LIABILITIES AGREEMENT
of
Sirius International Insurance Corporation
Stockholm, Sweden
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
1.25% of the Third Excess Catastrophe Reinsurance
1.25% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Stockholm, Sweden, this _______ day of________________________________199___.
_____________________________________________________
Sirius International Insurance Corporation
INTERESTS AND LIABILITIES AGREEMENT
of
La Reunion Francaise
Paris, France
by
Societe Parisienne de Souscription
Paris, France
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
1.50% of the Third Excess Catastrophe Reinsurance
1.50% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Paris, France, this _______ day of ____________________________________199___.
_____________________________________________________
Societe Parisienne de Souscription
(for and on behalf of La Reunion Francaise)
INTERESTS AND LIABILITIES AGREEMENT
of
Certain Underwriting Members of Lloyd's
shown in the Signing Schedule attached hereto
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
5.10% of the Third Excess Catastrophe Reinsurance
4.92% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
In any action, suit or proceeding to enforce the Subscribing Reinsurer's
obligations under the attached Contract, service of process may be made upon
Mendes & Mount, 750 Seventh Avenue, New York, New York 10019.
Signed for and on behalf of the Subscribing Reinsurer in the Signing Schedule
attached hereto.
INTERESTS AND LIABILITIES AGREEMENT
of
Certain Insurance Companies
shown in the Signing Schedule(s) attached hereto
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
0% of the Third Excess Catastrophe Reinsurance
10.14% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
In any action, suit or proceeding to enforce the Subscribing Reinsurer's
obligations under the attached Contract, service of process may be made upon
Mendes & Mount, 750 Seventh Avenue, New York, New York 10019.
The following Article shall apply to the Subscribing Reinsurer's share in the
attached Contract, in lieu of the provisions of Article XIX - Unauthorized
Reinsurers - of the Contract:
"Article XIX - Loss Reserves
(Applicable only if the Reinsurer cannot qualify for credit by any state or
any other governmental authority having jurisdiction over the Company's loss
reserves.)
A. As regards policies or bonds issued by the Company coming within the
scope of this Contract, the Company agrees that, when it shall file with
the Insurance Department or set up on its books reserves for losses
covered hereunder which it shall be required by law to set up, it will
forward to the Reinsurer a statement showing the proportion of such loss
reserves which is applicable to the Reinsurer. The Reinsurer hereby
agrees that it will apply for and secure delivery to the Company of a
clean, irrevocable and unconditional Letter of Credit issued and
confirmed, if confirmation is required by the regulatory authority(ies)
having jurisdiction over the Company's loss reserves, by a bank or banks
meeting the NAIC Securities Valuation Office credit standards for issuers
of Letters of Credit and which is (are) acceptable to said regulatory
authority(ies), in an amount equal to the Reinsurer's proportion of
reserves in respect of known outstanding losses that have been reported
to the Reinsurer and allocated loss expenses relating thereto as shown in
the statement prepared by the Company. Under no circumstances shall any
amount relating to reserves in respect of Incurred But Not Reported
losses be included in the amount of the Letter of Credit.
B. The Letter of Credit shall be in a form acceptable to insurance
regulatory authority(ies) having jurisdiction over the Company's loss
reserves, shall be issued for a period of not less than one year, and
shall be automatically extended for one year from its date of expiration
or any future expiration date unless thirty (30) days prior to any
expiration date the issuing bank shall notify the Company by registered
mail that the issuing bank elects not to consider the Letter of Credit
extended for any additional period. An issuing bank, not a member of the
federal reserve system or not chartered in New York State, shall provide
sixty (60) days notice to the Company prior to any expiration in the
event of non-extension.
C. Notwithstanding any other provision of this Contract, the Company or its
successors in interest may draw upon such credit at any time, without
diminution because of the
insolvency of the Company or of the Reinsurer, for one or more of the
following purposes only:
1. To pay the Reinsurer's share or to reimburse the Company for the
Reinsurer's share of any loss reinsured by this Contract, the payment
of which has been agreed by the Reinsurer and which has not been
otherwise paid;
2. To make refund of any sum which is in excess of the actual amount
required to pay the Reinsurer's share of any liability reinsured by
this Contract;
3. In the event of expiration of the Letter of Credit as provided for
above, to establish deposit of the Reinsurer's share of known and
reported outstanding losses and allocated expenses relating thereto
under this Contract. Such cash deposit shall be held in an interest
bearing account separate from the Company's other assets, and interest
thereon shall accrue to the benefit of the Reinsurer.
The issuing bank shall have no responsibility whatsoever in connection
with the propriety of withdrawals made by the Company or the disposition
of funds withdrawn, except to ensure that withdrawals are made only upon
the order of properly authorized representatives of the Company.
D. At annual intervals, or more frequently as agreed but never more
frequently than quarterly, the Company shall prepare a specific
statement, for the sole purpose of amending the Letter of Credit, of the
Reinsurer's share of known and reported outstanding losses and allocated
expenses relating thereto. If the statement shows that the Reinsurer's
share of such losses and allocated loss expenses exceeds the balance of
credit as of the statement date, the Reinsurer shall, within thirty (30)
days after receipt of notice of such excess, secure delivery to the
Company of an amendment of the Letter of Credit increasing the amount of
credit by the amount of such difference. If, however, the statement shows
that the Reinsurer's share of known and reported outstanding losses plus
allocated loss expenses relating thereto is less than the balance of
credit as of the statement date, the Company shall, within thirty (30)
days after receipt of written request from the Reinsurer, release such
excess credit by agreeing to secure an amendment to the Letter of Credit
reducing the amount of credit available by the amount of such excess
credit."
Signed for and on behalf of the Subscribing Reinsurer in the Signing Schedule(s)
attached hereto.
(Revised: July 1, 1997)
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
EFFECTIVE: SEPTEMBER 1, 1966
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
Third Excess Catastrophe Reinsurance
REINSURERS PARTICIPATIONS
Allmerica Re, A Division of The Hanover Insurance Company 1.25%
AXA Reinsurance Company 7.50
Cat Limited 10.00
Continental Casualty Company 2.00
Everest Reinsurance Company 13.00
First Excess and Reinsurance Corporation 9.00
Nationwide Mutual Insurance Company 3.00
Patriot Re Corporation (for Various Lloyd's Underwriters) 2.00
Renaissance Reinsurance Ltd. 4.00
St. Paul Reinsurance Management Corporation
(for St. Paul Fire and Marine Insurance Company) 1.75
Signet Star Reinsurance Company 2.00
Sydney Reinsurance Corporation 4.25
United Fire & Casualty Company 1.00
USF RE Insurance Company 2.00
Vesta Fire Insurance Corporation 25.00
Winterthur Reinsurance Corporation of America 3.25
THROUGH SWIRE BLANCH EUROPE
Europa Re .75
Sirius International Insurance Corporation 1.25
Page 1 of 3
Third Excess Catastrophe Reinsurance (Continued)
REINSURERS PARTICIPATIONS
SPS Reasurrance 1.50%
THROUGH MILLER REINSURANCE BROKERS NORTH AMERICA LTD.
Lloyd's Underwriters
Per Signing Schedule 5.10
TOTAL 99.60% part of
100% share in the
interests and liabilities
of the "Reinsurer"
Fourth Excess Catastrophe Reinsurance
REINSURERS PARTICIPATIONS
Allmerica Re, A Division of The Hanover Insurance Company 1.50%
Cat Limited 10.00
Continental Casualty Company 1.50
First Excess and Reinsurance Corporation 10.00
Hartford Re Company
(for Hartford Fire Insurance Company) 3.00
Nationwide Mutual Insurance Company 4.00
Renaissance Reinsurance Ltd. 4.00
St. Paul Reinsurance Management Corporation
(for St. Paul Fire and Marine Insurance Company) 2.00
Signet Star Reinsurance Company 2.00
Sydney Reinsurance Corporation 3.50
USF RE Insurance Company 3.00
Vesta Fire Insurance Corporation 25.00
Winterthur Reinsurance Corporation of America 2.50
THROUGH SWIRE BLANCH EUROPE
Europa Re 2.00
Mapfre Re Compania de Reaseguros, S.A. 2.50
Sirius International Insurance Corporation 1.25
SPS Reasurrance 1.50
Page 2 of 3
Fourth Excess Catastrophe Reinsurance (Continued)
REINSURERS PARTICIPATIONS
THROUGH MILLER REINSURANCE BROKERS NORTH AMERICA LTD.
Lloyd's Underwriters and Companies
Per Signing Schedule(s) 15.06%
TOTAL 99.56% part of
100% share in the
interests and
liabilities
of the
"Reinsurer"
E. W. Blanch Co.
Reinsurance Services
3500 West 80th Street
Minneapolis, Minnesota 55431
Page 3 of 3
(Revised: September 1, 1997)
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
EFFECTIVE: SEPTEMBER 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
Third Excess Catastrophe Reinsurance
REINSURERS PARTICIPATIONS
Allmerica Re, A Division of The Hanover Insurance Company 1.25%
AXA Reinsurance Company 7.50
Cat Limited 10.00
Continental Casualty Company 2.00
Everest Reinsurance Company 13.00
First Excess and Reinsurance Corporation 9.00
Nationwide Mutual Insurance Company 3.00
Patriot Re Corporation (for Various Lloyd's Underwriters) 2.00
Renaissance Reinsurance Ltd. 4.00
St. Paul Reinsurance Management Corporation
(for St. Paul Fire and Marine Insurance Company) 1.75
Signet Star Reinsurance Company 2.00
Sydney Reinsurance Corporation 4.25
United Fire & Casualty Company 1.00
USF RE Insurance Company 2.00
Vesta Fire Insurance Corporation 25.00
Winterthur Reinsurance Corporation of America 3.25
THROUGH SWIRE BLANCH EUROPE
Europa Re .75
Sirius International Insurance Corporation 1.25
Page 1 of 3
Third Excess Catastrophe Reinsurance (Continued)
REINSURERS PARTICIPATIONS
SPS Reasurrance 1.50%
THROUGH MILLER REINSURANCE BROKERS NORTH AMERICA LTD.
Lloyd's Underwriters
Per Signing Schedule 5.10
TOTAL 99.60% part
of 100%
share in the
interests and
liabilities
of the
"Reinsurer"
Fourth Excess Catastrophe Reinsurance
REINSURERS PARTICIPATIONS
Allmerica Re, A Division of The Hanover Insurance Company 1.50%
Cat Limited 10.00
Continental Casualty Company 1.50
First Excess and Reinsurance Corporation 10.00
Hartford Re Company
(for Hartford Fire Insurance Company) 8.25
Nationwide Mutual Insurance Company 4.00
Renaissance Reinsurance Ltd. 4.00
St. Paul Reinsurance Management Corporation
(for St. Paul Fire and Marine Insurance Company) 2.00
Signet Star Reinsurance Company 2.00
Sydney Reinsurance Corporation 3.50
USF RE Insurance Company 3.00
Vesta Fire Insurance Corporation 25.00
Winterthur Reinsurance Corporation of America 2.50
THROUGH SWIRE BLANCH EUROPE
Europa Re 2.00
Mapfre Re Compania de Reaseguros, S.A. 2.50
Sirius International Insurance Corporation 1.25
SPS Reasurrance 1.50
Page 2 of 3
Fourth Excess Catastrophe Reinsurance (Continued)
REINSURERS PARTICIPATIONS
THROUGH MILLER REINSURANCE BROKERS NORTH AMERICA LTD.
Lloyd's Underwriters and Companies
Per Signing Schedule(s) 15.06%
TOTAL 99.56% part of
100% share in the
interests and liabilities
of the "Reinsurer"
E. W. Blanch Co.
Reinsurance Services
3500 West 80th Street
Minneapolis, Minnesota 55431
Page 3 of 3
ADDENDUM NO. 1
to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
all of Los Angeles, California
IT IS HEREBY AGREED, effective August 31, 1997, that paragraph A of Article II -
Term - shall be deleted and the following substituted therefor:
"A. This Contract shall become effective on September 1, 1996, with respect
to losses arising out of loss occurrences commencing on or after that
date, and shall remain in force until September 30, 1997, both days
inclusive.
The provisions of this Contract shall remain otherwise unchanged.
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Allmerica Re
A Division of
The Hanover Insurance Company
Bedford, New Hampshire
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Florham Park, New Jersey, this _______ day of ______________________199___.
_____________________________________________________
Allmerica Re, A Division of The Hanover Insurance Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
AXA Reinsurance Company
Wilmington, Delaware
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ____________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
New York, New York, this _______ day of _________________________ 199___.
_____________________________________________________
AXA Reinsurance Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Cat Limited
Hamilton, Bermuda
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Hamilton, Bermuda, this _______ day of _______________________199___.
_____________________________________________________
Cat Limited
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Continental Casualty Company
Chicago, Illinois
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Chicago, Illinois, this _______ day of _________________________199___.
_____________________________________________________
Continental Casualty Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Everest Reinsurance Company
A Delaware Corporation
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ____________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Warren, New Jersey, this _______ day of ________________________ 199___.
_____________________________________________________
Everest Reinsurance Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
First Excess and Reinsurance Corporation
Overland Park, Kansas
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Kansas City, Missouri, this _______ day of _________________________199___.
_____________________________________________________
First Excess and Reinsurance Corporation
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Hartford Fire Insurance Company
Hartford, Connecticut
by
Hartford Re Company
Hartford, Connecticut
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IT IS ALSO AGREED, effective September 1, 1997, with respect to losses arising
out of loss occurrences commencing on or after that date, that the Subscribing
Reinsurer's percentage
shares in the interests and liabilities of the "Reinsurer" as set forth in the
attached Contract captioned above shall be increased as follows:
From 0.0% to 0.0% of the Third Excess Catastrophe Reinsurance
From 3.00% to 8.25% of the Fourth Excess Catastrophe Reinsurance
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
San Francisco, California, this _______ day of ________________________ 199___.
_____________________________________________________
Hartford Re Company
(for and on behalf of Hartford Fire Insurance Company)
Addendum No. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Nationwide Mutual Insurance Company
Columbus, Ohio
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Columbus, Ohio, this _______ day of _____________________________199___.
_____________________________________________________
Nationwide Mutual Insurance Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Certain Underwriting Members of Lloyd's
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _________________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Skillman, New Jersey, this _______ day of ________________________199___.
_____________________________________________________
Patriot Re Corporation
(for and on behalf of Underwriters at Lloyd's
per Contract # __________)
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Renaissance Reinsurance Ltd.
Hamilton, Bermuda
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _____________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Hamilton, Bermuda, this _______ day of ___________________________199___.
_____________________________________________________
Renaissance Reinsurance Ltd.
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
St. Paul Fire and Marine Insurance Company
St. Paul, Minnesota
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ________________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
New York, New York, this _______ day of _______________________ 199___.
_____________________________________________________
St. Paul Fire and Marine Insurance Company
by St. Paul Re, Inc.
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Signet Star Reinsurance Company
Wilmington, Delaware
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _________________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Florham Park, New Jersey, this _______ day of _____________________ 199___.
_____________________________________________________
Signet Star Reinsurance Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Sydney Reinsurance Corporation
Philadelphia, Pennsylvania
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _____________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
New York, New York, this _______ day of _________________________ 199___.
_____________________________________________________
Sydney Reinsurance Corporation
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
United Fire & Casualty Company
Cedar Rapids, Iowa
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ______________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Cedar Rapids, Iowa, this _______ day of ___________________________ 199___.
_____________________________________________________
United Fire & Casualty Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
USF RE Insurance Company
Boston, Massachusetts
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Costa Mesa, California, this _______ day of _______________________199___.
_____________________________________________________
USF RE Insurance Company
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Vesta Fire Insurance Corporation
Birmingham, Alabama
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Birmingham, Alabama, this _______ day of __________________________199___.
_____________________________________________________
Vesta Fire Insurance Corporation
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Winterthur Reinsurance Corporation of America
New York, New York
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of __________________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
New York, New York, this _______ day of _________________________ 199___.
_____________________________________________________
Winterthur Reinsurance Corporation of America
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Europa Re
Cologne, Germany
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ____________________ 199___
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Cologne, Germany, this _______ day of __________________________ 199___.
_____________________________________________________
Europa Re
Europa Ruckversicherung
Aktiengesellschaft
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Mapfre Re Compania de Reaseguros, S.A
Madrid, Spain
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _______________________199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Madrid, Spain, this _______ day of ____________________________ 199___.
_____________________________________________________
Mapfre Re Compania de Reaseguros, S.A.
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Sirius International Insurance Corporation
Stockholm, Sweden
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ______________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Stockholm, Sweden, this _______ day of ___________________________ 199___.
_____________________________________________________
Sirius International Insurance Corporation
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
La Reunion Francaise
Paris, France
by
Societe Parisienne de Souscription
Paris, France
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED, effective July 1, 1997, that all rights, interests,
liabilities and obligations of the "Subscribing Reinsurer" under this Agreement
shall be transferred from La Reunion Francaise, Paris, France, by Societe
Parisienne de Souscription, Paris, France (hereinafter referred to as the
"Assignor") to SPS Reassurance, Paris, France (hereinafter referred to as the
"Assignee"). In accordance therewith, the Assignor shall assign, and the
Assignee shall assume, all of the rights, interests, liabilities and obligations
of the "Subscribing Reinsurer" under this Agreement. The Assignee shall then be
subject to all of the terms and conditions hereof, and the term "Subscribing
Reinsurer," wherever it is used herein, shall refer to SPS Reassurance, Paris,
France.
IT IS UNDERSTOOD AND AGREED that the Company consents to the foregoing transfer
of rights, interests, liabilities and obligations from the Assignor to the
Assignee, and further releases the
Assignor from all unfulfilled liabilities and obligations which have arisen
under this Agreement and all liabilities and obligations which may arise in the
future under this Agreement.
IT IS ALSO AGREED that the "Novation Addendum," a copy of which is attached to
and forms part of this Addendum, shall be recognized as part of this Agreement,
effective July 1, 1997.
IT IS ALSO AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS ALSO AGREED that, in lieu of the provisions of the second paragraph of the
original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ________________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Paris, France, this _______ day of ___________________________________ 199___.
_____________________________________________________
La Reunion Francaise
Paris, France, this _______ day of ________________________________ 199___.
_____________________________________________________
SPS Reassurance
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Certain Underwriting Members of Lloyd's
shown in the Signing Schedule attached hereto
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the Company by its duly authorized representative has
executed this Addendum as of the date undermentioned at:
Los Angeles, California, this _______ day of __________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Signed for and on behalf of the Subscribing Reinsurer in the Signing Schedule
attached hereto.
ADDENDUM NO. 1
to the
INTERESTS AND LIABILITIES AGREEMENT
of
Certain Insurance Companies
shown in the Signing Schedule(s) attached hereto
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
IT IS HEREBY AGREED that Addendum No. 1 to the Contract shall form part of the
Contract, effective August 31, 1997.
IT IS FURTHER AGREED that, in lieu of the provisions of the second paragraph of
the original Interests and Liabilities Agreement, this Agreement shall expire on
September 30, 1997.
IN WITNESS WHEREOF, the Company by its duly authorized representative has
executed this Addendum as of the date undermentioned at:
Los Angeles, California, this _______ day of _______________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Signed for and on behalf of the Subscribing Reinsurer in the Signing Schedule(s)
attached hereto.
TERMINATION ADDENDUM
to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
all of Los Angeles, California
and to the
INTERESTS AND LIABILITIES AGREEMENT
of
San Francisco Reinsurance Company
Novato, California
(hereinafter referred to as the "Subscribing Reinsurer")
attached thereto
IT IS HEREBY AGREED that this Contract, the Interests and Liabilities Agreement
and the Subscribing Reinsurer's share(s), as listed below, in the interests and
liabilities of the "Reinsurer" under the respective excess layers of reinsurance
provided in this Contract shall be terminated on August 31, 1997, with respect
to losses arising out of loss occurrences commencing after that date:
0.0% of the Third Excess Catastrophe Reinsurance
5.25% of the Fourth Excess Catastrophe Reinsurance
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of _______________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Novato, California, this _______ day of __________________________ 199___.
_____________________________________________________
San Francisco Reinsurance Company
TERMINATION ADDENDUM
to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
all of Los Angeles, California
and to the
INTERESTS AND LIABILITIES AGREEMENT
of
Security Insurance Company of Hartford
Farmington, Connecticut
(hereinafter referred to as the "Subscribing Reinsurer")
attached thereto
IT IS HEREBY AGREED that this Contract, the Interests and Liabilities Agreement
and the Subscribing Reinsurer's share(s), as listed below, in the interests and
liabilities of the "Reinsurer" under the respective excess layers of reinsurance
provided in this Contract shall be terminated on August 31, 1997, with respect
to losses arising out of loss occurrences commencing after that date:
0.40% of the Third Excess Catastrophe Reinsurance
0.44% of the Fourth Excess Catastrophe Reinsurance
IN WITNESS WHEREOF, the parties hereto by their respective duly authorized
representatives have executed this Addendum as of the dates undermentioned at:
Los Angeles, California, this _______ day of ________________________ 199___.
_____________________________________________________
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
California General Underwriters Insurance Company, Inc.
Farmington, Connecticut, this _______ day of ______________________ 199___.
_____________________________________________________
Security Insurance Company of Hartford
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Hartford, Connecticut, this _______ day of _____________________________199___.
_____________________________________________________
Hartford Re Company
(for and on behalf of Hartford Fire Insurance Company)
INTERESTS AND LIABILITIES AGREEMENT
of
Nationwide Mutual Insurance Company
Columbus, Ohio
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
3.00% of the Third Excess Catastrophe Reinsurance
4.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Columbus, Ohio, this _______ day of ____________________________________199___.
_____________________________________________________
Nationwide Mutual Insurance Company
INTERESTS AND LIABILITIES AGREEMENT
of
Certain Underwriting
Members of Lloyd's
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
2.00% of the Third Excess Catastrophe Reinsurance
0% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Skillman, New Jersey, this _______ day of______________________________199___.
_____________________________________________________
Patriot Re Corporation
(for and on behalf of Underwriters at Lloyd's
per Contract # ____________)
INTERESTS AND LIABILITIES AGREEMENT
of
Renaissance Reinsurance Ltd.
Hamilton, Bermuda
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
4.00% of the Third Excess Catastrophe Reinsurance
4.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Hamilton, Bermuda, this _______ day of________________________199___.
_____________________________________________________
Renaissance Reinsurance Ltd.
INTERESTS AND LIABILITIES AGREEMENT
of
St. Paul Fire and Marine Insurance Company
St. Paul, Minnesota
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
1.75% of the Third Excess Catastrophe Reinsurance
2.00% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
New York, New York, this _______ day of ___________________________________
199___.
_____________________________________________________
St. Paul Fire and Marine Insurance Company
St. Paul Reinsurance Management Corporation,
Reinsurance Managers
INTERESTS AND LIABILITIES AGREEMENT
of
San Francisco Reinsurance Company
Novato, California
(hereinafter referred to as the "Subscribing Reinsurer")
with respect to the
THIRD AND FOURTH
PROPERTY EXCESS CATASTROPHE
REINSURANCE CONTRACT
Effective: September 1, 1996
issued to and duly executed by
Mercury Casualty Company
Mercury Insurance Company
California Automobile Insurance Company
and
California General Underwriters Insurance Company, Inc.
All of Los Angeles, California
(hereinafter collectively referred to as the "Company")
The Subscribing Reinsurer hereby accepts the following percentage shares in the
interests and liabilities of the "Reinsurer" as set forth in the attached
Contract captioned above:
0% of the Third Excess Catastrophe Reinsurance
5.25% of the Fourth Excess Catastrophe Reinsurance
This Agreement shall become effective on September 1, 1996, and shall continue
in force until August 31, 1997, both days inclusive. However, if the
"Reinsurer" under the attached Contract sustains no loss from loss occurrences
commencing on or prior to May 31, 1997, this Agreement shall, upon notice from
the Company prior to June 30, 1997, expire on June 30, 1997. This Agreement may
also be terminated by the Company in accordance with paragraph B of Article II
of the Contract.
The Subscribing Reinsurer's share in the attached Contract shall be separate and
apart from the shares of the other reinsurers, and shall not be joint with the
shares of the other reinsurers, it being understood that the Subscribing
Reinsurer shall in no event participate in the interests and liabilities of the
other reinsurers.
IN WITNESS WHEREOF, the Subscribing Reinsurer by its duly authorized
representative has executed this Agreement as of the date undermentioned at:
Novato, California, this _______ day of ________________________________199___.
_____________________________________________________
San Francisco Reinsurance Company