COLLECTING PREMIUMS AND
REINSURANCE PREMIUMS AND OTHER AMOUNTS PAYABLE WITH RESPECT TO THE INSURANCE
CONTRACTS.
THE RISK OF LOSS, THEFT OR DESTRUCTION OF PREMIUMS AND SUCH OTHER
AMOUNTS WITH RESPECT TO THE INSURANCE CONTRACTS SHALL BE BORNE SOLELY BY THE
COMPANY.
THE ADMINISTRATOR SHALL HOLD ANY PREMIUMS, DEPOSITS OR OTHER AMOUNTS
COLLECTED WITH RESPECT TO THE INSURANCE CONTRACTS IN A FIDUCIARY CAPACITY FOR
THE BENEFIT OF THE COMPANY.
(B)
THE ADMINISTRATOR SHALL PROMPTLY, BUT IN NO EVENT LATER THAN THREE
(3) BUSINESS DAYS AFTER RECEIPT, DEPOSIT SUCH PREMIUMS, REINSURANCE PREMIUMS, OR
OTHER AMOUNTS IN THE CLAIMS SETTLEMENT ACCOUNT.
THE ADMINISTRATOR MAY NOT
COMMINGLE, AND SHALL NOT PERMIT ANY COMMINGLING OF, ANY FUNDS DEPOSITED IN THE
CLAIMS SETTLEMENT ACCOUNT WITH ANY OTHER FUNDS.
ARTICLE VI
UNDERWRITING
SECTION 6.1.
UNDERWRITING SERVICES.
SUBJECT TO SECTION 6.2, THE
ADMINISTRATOR SHALL PERFORM ALL NECESSARY UNDERWRITING WITH RESPECT TO THE
RENEWAL OF THE INSURANCE CONTRACTS, IF ANY.
SECTION 6.2.
UNDERWRITING GUIDELINES.
ALL INSURANCE UNDERWRITING
SERVICES PROVIDED BY THE ADMINISTRATOR PURSUANT TO THIS AGREEMENT WITH RESPECT
TO THE INSURANCE CONTRACTS SHALL BE IN ACCORDANCE WITH ANY WRITTEN UNDERWRITING
GUIDELINES AND CRITERIA PROVIDED TO THE ADMINISTRATOR BY THE COMPANY.
ARTICLE VII
CERTAIN ACTIONS BY COMPANY
SECTION 7.1.
FILINGS.
THE COMPANY SHALL PREPARE AND TIMELY FILE ANY
FILINGS REQUIRED TO BE MADE WITH ANY GOVERNMENTAL AUTHORITY THAT RELATE TO THE
COMPANY GENERALLY AND NOT JUST TO THE INSURANCE CONTRACTS, INCLUDING FILINGS
WITH GUARANTY ASSOCIATIONS AND FILINGS AND PREMIUM TAX
7
RETURNS WITH TAXING AUTHORITIES.
THE ADMINISTRATOR SHALL, IN A TIMELY FASHION
IN LIGHT OF THE DATES SUCH FILINGS BY THE COMPANY ARE REQUIRED, PROVIDE TO THE
COMPANY ALL INFORMATION IN THE POSSESSION OF THE ADMINISTRATOR WITH RESPECT TO
THE INSURANCE CONTRACTS THAT MAY BE REASONABLY REQUIRED FOR THE COMPANY TO
PREPARE SUCH FILINGS AND TAX RETURNS.
THE PARTIES SHALL COOPERATE IN GOOD FAITH
TO ESTABLISH THE MANNER AND TIMING FOR PROVIDING SUCH INFORMATION.
ARTICLE VIII
REGULATORY MATTERS AND AUDIT REPORTING
SECTION 8.1.
REGULATORY COMPLIANCE AND REPORTING.
THE ADMINISTRATOR
SHALL PROVIDE TO THE COMPANY SUCH INFORMATION WITH RESPECT TO THE INSURANCE
CONTRACTS AS IS REQUIRED TO SATISFY ALL CURRENT AND FUTURE INFORMATIONAL
REPORTING, PRIOR APPROVAL AND ANY OTHER REQUIREMENTS IMPOSED BY ANY GOVERNMENTAL
AUTHORITY.
UPON THE REASONABLE REQUEST OF THE COMPANY, THE ADMINISTRATOR SHALL
TIMELY PREPARE SUCH REPORTS AND SUMMARIES, INCLUDING STATISTICAL SUMMARIES, AS
ARE NECESSARY OR USEFUL TO SATISFY ANY REQUIREMENTS IMPOSED BY A GOVERNMENTAL
AUTHORITY UPON THE COMPANY WITH RESPECT TO THE INSURANCE CONTRACTS.
IN
ADDITION, THE ADMINISTRATOR, UPON THE REASONABLE REQUEST OF THE COMPANY SHALL
PROMPTLY PROVIDE TO THE COMPANY COPIES OF ALL EXISTING RECORDS RELATING TO THE
INSURANCE CONTRACTS (INCLUDING, WITH RESPECT TO RECORDS MAINTAINED IN MACHINE
READABLE FORM, HARD COPIES) THAT ARE NECESSARY TO SATISFY SUCH REQUIREMENTS.
ALL COPIES OF RECORDS FURNISHED IN THE ORDINARY COURSE OF BUSINESS SHALL BE
FURNISHED BY THE ADMINISTRATOR AT THE ADMINISTRATOR'S COST.
ANY EXTRAORDINARY
COSTS REASONABLY INCURRED BY THE ADMINISTRATOR IN RESPONSE TO REQUESTS FROM THE
COMPANY SHALL BE REIMBURSED BY THE COMPANY.
AMONG OTHER RESPONSIBILITIES:
(I)
THE