EX-99.7.B 10 amend1reinsagreement.htm amend1reinsagreement.htm
EX-7.b
 
AMENDMENT NO.1
 
(the “Amendment”)
 
TO THE
 
REINSURANCE AGREEMENT
 
(the “Agreement”)
 
BETWEEN
 
JACKSON NATIONAL LIFE INSURANCE COMPANY OF NEW YORK
 
(the “Ceding Company”)
 
AND
 
JACKSON NATIONAL LIFE INSURANCE COMPANY
(the “Reinsurer”)

(Originally Effective as of December 31, 2008)

Effective June 30, 2013, the Agreement is amended as follows:
 
1.  
Schedule A (Covered Policies) is hereby deleted and replaced with the attached Schedule A (Covered Policies) in order to add to such schedule the policies which are specified in Item 2 thereof.
 
2.  
Section 1.02 is hereby deleted and replaced with the following Section 1.02:
 
1.02  
           Subject to the terms and conditions stated herein, the Ceding Company desires to cede, and the Reinsurer desires to reinsure, (i) on and after the Effective Time (as defined below) Covered Losses (defined below) with respect to Covered Policies (defined below) specified in Item 1 of Schedule A and (ii) on and after the Amendment No. 1 Effective Time (as defined below) Covered Losses with respect to Covered Policies set forth in Item 2 of Schedule A.  This Agreement is an indemnity reinsurance agreement and the performance of the obligations of each party under this Agreement shall be rendered solely to the other party.
 
3.  
Section 2.01 (Defined Terms) is hereby amended to add the following new definitions:
 
“Additional Reinsurance Premium” shall have the meaning set forth in Section 5.03.
 
“Amendment No. 1 Effective Date” shall mean June 30, 2013.
 
“Amendment No. 1 Effective Time” shall mean 11:59 p.m. on the Amendment No. 1 Effective Date.
 
4.  
Section 2.01 (Defined Terms) is hereby further amended to delete and replace the definition of Covered Policies with the following new definition of Covered Policies:
 
“Covered Policies” shall mean the variable annuity contracts with associated GMWB Riders written by the Ceding Company and described on Schedule A.
 
5.  
Section 3.02 (Automatic Reinsurance) is hereby deleted and replaced with the following Section 3.02:
 
3.02.  Automatic Reinsurance.  The Covered Policies reinsured under this Agreement as specified in Item 1 of Schedule A shall all be in-force as of the Effective Time.  The Covered Policies reinsured under this Agreement as specified in Item 2 of Schedule A shall all be either in-force on the Amendment No. 1 Effective Time or be issued after the Amendment No. 1 Effective Time.
 
6.  
Section 4.01 (Effectiveness) is hereby deleted and replaced with the following Section 4.01:
 
4.01.  Effectiveness.  Subject to the terms and conditions set forth in this Agreement, (i) the Reinsurer’s liability for reinsurance of the Covered Losses under the Covered Policies specified in Item 1 of Schedule A shall begin as of the Effective Time, and (ii) the Reinsurer’s liability for reinsurance of the Covered Losses under the Covered Policies specified in Item 2 of Schedule A shall begin as of the Amendment No. 1 Effective Time.
 
7.  
Paragraph (iii) of Section 4.03 (Excluded Liabilities) is hereby deleted and replaced with the following paragraph (iii):
 
(iii)  Any liabilities or losses arising as a result of any non-contractual change to any Covered Policy (a) on or after the Effective Time with respect to policies specified in Item 1 of Schedule A and (b) on or after the Amendment No. 1 Effective Time with respect to policies specified in Item 2 of Schedule A, unless such change is mandated by applicable law or has been consented to in writing by the Reinsurer, in either case as provided in Section 8.01;
 
8.  
Article 5 (Premiums) is hereby amended to add at the end of Article 5 a new Section 5.03 as follows:
 
5.03.  Additional Consideration.  With respect to policies reinsured hereunder which are specified in Item 2 of Schedule A and in-force as of the Amendment No. 1 Effective Time, the Ceding Company will owe to the Reinsurer an amount equal to the Statutory Reserve Amount in respect of such in-force policies as of the Amendment No. 1 Effective Time (the “Additional Reinsurance Premium”).  Settlement of amounts owed under this Section shall be made in accordance with Article 7.
 
9.  
Article 7 (Settlement and Reporting) is hereby amended to add at the end of Article 7 a new Section 7.08 as follows:
 
7.08           Additional Consideration Payment.  On the Amendment No. 1 Effective Date, the Ceding Company shall pay to the Reinsurer an amount equal to an estimate of the Additional Reinsurance Premium.  On or prior to August 15, 2013, the Ceding Company shall determine the actual amount of the Additional Reinsurance Premium based on its Quarterly Statement for the quarter ending on June 30, 2013.  The Ceding Company shall provide written notice to the Reinsurer of such actual Additional Reinsurance Premium and the parties will adjust the initial payment to reflect the actual amount due.
 

10.  
Section 8.01 (Covered Policy Changes) is hereby amended and replaced with the following Section 8.01:
 
8.01.  Covered Policy Changes.  No non-contractual replacements or non-contractual changes in the terms and conditions of the Covered Policies made (i) on or after the Effective Time with respect to policies set forth in Item 1 of Schedule A and (ii) on or after the Amendment No. 1 Effective Time with respect to policies set forth in Item 2 of Schedule A, other than changes mandated by applicable law, shall be covered hereunder without the prior written consent to such changes by the Reinsurer.  The Ceding Company agrees to give the Reinsurer at least thirty (30) days prior written notice of any proposed change in the terms and conditions of the Covered Policies, and the Reinsurer shall provide to the Ceding Company its written consent or objection to such proposed change within such time period.  In the event changes are made in any Covered Policies without the prior written consent of the Reinsurer, other than changes referred to above that are mandated by applicable law, Covered Losses for the affected Covered Policies will be calculated under this Agreement as if the changes that were made without the prior written consent of the Reinsurer had not been made.
 
11.  
Article 11 (Credit for Reinsurance) is hereby amended to add at the end of Article 11 a new Section 11.12 as follows:
 
11.12           Additional Deposit with the Trustee.  On the Amendment No. 1 Effective Date, to the extent that the Trust Account Balance is less than the Company’s estimate of the Statutory Reserve Amount immediately following the Amendment No. 1 Effective Time, the Reinsurer shall deposit additional assets into the Trust Account in an amount at least equal to such deficit.  On the Settlement Date immediately following the Amendment No. 1 Effective Time, the parties will rebalance the Trust Account pursuant to Section 11.07.
 
The provisions of Section 15.07 (Governing Law) shall apply to this Amendment.
 
All other terms and conditions of the Agreement remain in full force and effect.
 
This Amendment may be executed in counterparts, each of which shall be an original and all of which taken together shall constitute one and the same Agreement.  Each counterpart need not be signed by all parties indicated as signing this Agreement, provided all counterparts hereof, when taken together, bear the signatures of all such parties.
 

 
 
 

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their duly authorized representatives.
 
JACKSON NATIONAL LIFE INSURANCE COMPANY OF NEW YORK
 
By:           __/s/ Richard D. Ash_____________________
 
Title:           __SVP______________________________
 
Date:           __6/26/13____________________________
 
JACKSON NATIONAL LIFE INSURANCE COMPANY
 
By:           ___/s/ Russell Peck_______________________
 
Title:           ___VP_______________________________
 
Date:           ___6/26/13____________________________
 

 
 
 

SCHEDULE A.
 
Covered Policies
 
1. As of the Effective Date, the Reinsurer reinsures the Covered Losses on the policies written by the Ceding Company on policy forms set forth in the Tables below in this Item 1, in each case with issue dates within the ranges set forth in the Tables below for such policy form:
 

 
JNL NY Marketed as of the Effective Time
Description
Form Number
Issue Date Range
SafeGuard Max
7539ANY-A 03/08
03/31/08 – 12/31/08
AutoGuard 5
7528ANY-A
12/03/07 – 12/31/08
AutoGuard 6
7531ANY-A
12/03/07 – 12/31/08
LifeGuard Freedom
7587ANY-A
10/06/08 – 12/31/08
LifeGuard Freedom Joint
7588ANY-A
10/06/08 – 12/31/08
LifeGuard Freedom DB
7589ANY-A
10/06/08 – 12/31/08

 

 
 
 


 
JNL NY No Longer Marketed as of the Effective Time
Description
Form Number
Issue Date Range
GMWB (Original)
7398NY
On or prior to 04/18/03
SafeGuard 7
7398NY 05/04
On or prior to 05/03/04
SafeGuard 7
7403NY
On or prior to 04/18/03
SafeGuard 7 Plus
7398NY 05/04 (10/04 version)
On or prior to 10/04/04
SafeGuard 7 Plus
7398NY 01/05
On or prior to 05/02/05
SafeGuard 7 Plus
7403NY 05/04
On or prior to 10/04/04
SafeGuard 7 Plus
7406ANY
On or prior to 01/17/06
SafeGuard 7 Plus
7577ANY
On or prior to 04/30/07
SafeGuard 7 Plus
7496ANY
On or prior to 01/17/06
LifeGuard 4
7407NY
On or prior to 10/04/04
LifeGuard 4
7413NY
On or prior to 10/04/04
LifeGuard 4
7459NY
On or prior to 10/04/04
LifeGuard Protector
7414NY
On or prior to 01/17/06
LifeGuard Protector Advantage
7415ANY
On or prior to 01/17/06
LifeGuard Protector Plus
7416ANY
On or prior to 01/17/06
LifeGuard Protector Joint
7417ANY
On or prior to 01/17/06
LifeGuard Protector Joint
7418ANY
On or prior to 01/17/06
LifeGuard 4
7498ANY
On or prior to 01/17/06
LifeGuard 5
7394ANY
On or prior to 10/04/04
LifeGuard 5
7395ANY
On or prior to 03/07/05
LifeGuard 5
7412ANY
On or prior to 01/17/06
LifeGuard 5
7453NY
On or prior to 10/04/04
LifeGuard 5
7489NY
On or prior to 03/07/05
LifeGuard 5
7497ANY
On or prior to 01/17/06
LifeGuard Protector Advantage
7503ANY
On or prior to 05/02/06
LifeGuard Protector
7502ANY
On or prior to 05/02/06
LifeGuard Protector Joint
7505ANY
On or prior to 05/02/06
LifeGuard Protector Joint
7509ANY
On or prior to 01/16/07
LifeGuard Protector Plus
7504ANY
On or prior to 05/02/06
LifeGuard Protector Plus Joint
7510ANY
 
On or prior to 01/16/07
AutoGuard
7410ANY
On or prior to 09/06/05
AutoGuard 5
7575ANY
On or prior to 04/30/07
AutoGuard 5
7494ANY
On or prior to 09/06/05
AutoGuard 6
7522ANY-A
On or prior to 06/04/07
Market Guard
7576ANY
On or prior to 04/30/07
MarketGuard 5
7411ANY
On or prior to 09/06/05
MarketGuard 5
7495ANY
On or prior to 09/06/05
LifeGuard Advantage
7516ANY-A 06/07
On or prior to 06/04/07
LifeGuard Advantage
7532ANY-A
On or prior to 12/03/07
LifeGuard Freedom
7540ANY-A 03/08
On or prior to 03/31/08
LifeGuard Freedom Joint
7541ANY-A 03/08
On or prior to 03/31/08
LifeGuard Ascent
7517BNY-A
On or prior to 06/04/07
LifeGuard Ascent
7533ANY-A
On or prior to 12/03/07
LifeGuard Ascent Joint
7518BNY-A
On or prior to 06/04/07
LifeGuard Ascent Joint
7534ANY-A
On or prior to 12/03/07

 
 
 


 
2. Beginning on the Amendment No. 1 Effective Time, the Reinsurer also reinsures the Covered Losses on (i) the policies written by the Ceding Company on policy forms set forth in the Tables below in this Item 2, in each case with issue dates within the ranges set forth in the Tables below for such policy form and (ii) all other variable annuity contracts with associated GMWB Riders written by the Ceding Company with issue dates on or after the Amendment No. 1 Effective Time:
 
JNL NY Marketed as of the Amendment No. 1 Effective Time
Description
Form Number
Issue Date Range
AutoGuard 5
7659ANY-A
05/02/11 - Current
MarketGuard Stretch
7678ANY-A
04/29/13 - Current
LifeGuard Freedom Flex
7700ANY-A
04/29/13 - Current
LifeGuard Freedom Flex
7701ANY-A
04/29/13 - Current
LifeGuard Freedom Flex
7702ANY-A
04/29/13 - Current
LifeGuard Freedom Flex DB NY
7712ANY-A
04/29/13 - Current
LifeGuard Freedom 6 Net
7713ANY-A
04/29/13 - Current

 

 
 
 


GMWB's Marketed 01/01/09 - 04/28/13
Jackson of NY - No Longer Marketed as of 04/29/13
Description
Form Number
Issue Date Range
MarketGuard Stretch
7668ANY-A
On or prior to 01/06/13
MarketGuard Stretch
7668ANY-A 01/13
On or prior to 04/28/13
SafeGuard Max
7539ANY-A 03/08
On or prior to 05/02/10
SafeGuard Max
7633ANY-A
On or prior to 04/28/13
AutoGuard 5
7528ANY-A
On or prior to 05/01/11
AutoGuard 6
7531ANY-A
On or prior to 05/01/11
AutoGuard 6
7660ANY-A
On or prior to 04/28/13
LifeGuard Freedom
7587ANY-A
On or prior to 01/11/09
LifeGuard Freedom
7587ANY-A 01/09
On or prior to 09/27/09
LifeGuard Freedom 6
7613ANY-A
On or prior to 10/10/10
LifeGuard Freedom Flex
7640ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex
7641ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex
7646ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex
7647ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex
7652ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex
7653ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex
7656ANY-A
On or prior to 08/28/11
Description
Form Number
Issue Date Range
LifeGuard Freedom w/ Jt Opt
7588ANY-A
On or prior to 01/11/09
LifeGuard Freedom w/ Jt Opt
7588ANY-A 01/09
On or prior to 09/27/09
LifeGuard Freedom 6 w/ Jt Opt
7614ANY-A
On or prior to 10/10/10
LifeGuard Freedom Flex w/ Jt Opt
7642ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex w/ Jt Opt
7643ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex w/ Jt Opt
7648ANY-A
On or prior to 04/28/13
LifeGuard Freedom Flex w/ Jt Opt
7649ANY-A
On or prior to 09/09/12
LifeGuard Freedom DB
7602ANY-A
On or prior to 09/27/09
LifeGuard Freedom DB
7608ANY-A
On or prior to 01/11/09
LifeGuard Freedom DB
7609ANY-A
On or prior to 04/05/09
LifeGuard Freedom 6 DB
7615ANY-A
On or prior to 10/10/10
LifeGuard Freedom Flex DB
7650ANY-A
On or prior to 06/26/11
LifeGuard Freedom Flex DB NY
7675ANY-A
On or prior to 04/28/13
LifeGuard Freedom 6 Net
7619ANY-A
On or prior to 10/10/10
LifeGuard Freedom 6 Net
7657ANY-A
On or prior to 04/29/13
LifeGuard Freedom 6 Net w/ Jt Opt
7620ANY-A
On or prior to 10/10/10
LifeGuard Freedom 6 Net w/ Jt Opt
7658ANY-A
On or prior to 04/28/13