ESTABLISHMENT OF SPECIAL RESERVE ACCOUNT
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AGREEMENT FOR ESTABLISHMENT
OF A SPECIAL RESERVE ACCOUNT
lEtna Life Insurance Company of Hartford, Connecticut, herein referred to as JEtna, will esta-
blish a Special Reserve Account in connection \vith all the group insurance policies, herein
referred to as the Policies, underwritten by JEtna and issued to
Citrof Clearwe:t.e..
herein referre,d to as the Policyholder.
(1) '1'he balance in the Special Reserve Account will be held by JEtna to be use.dO;lly.as
provided in the following paragraphs. '
(2) As of the last day of each experience periodJEtna will determine the amount Of the €x--
perience credit or experience deficit for each of the Policies in force during the experience
period, and provided this agreement is then in effect, the net amount of the credits and
deficits so determined shall be credited or charged to the Special Reserve Account, ex-
cept that, by electing to do so within 120 days after the last day of the experience period,
the Policyholder may make a cash withdrawal of an amount which is not more than the
smaller of
(i) the net experience credit for the period and
(ii) the amount by which the balance in the Special Reserve Account as of the last day
in the period after taking into account the net experience credit for the period ex-
ceeds. three times tb;.e fUll amount of the monthly premiums becomil1g due 011 the
last 'premil'fn1"-dMe.lUhe 'i~'t11'~"'period. '. .
(3)
The net amount of the credits and deficits and the amount of any withdrawal in cash shall
be credited or charged to the Special Reserve Account as of the last day inthe period.
While this agreement is in effect, the Policyholder may, with the conBent of lEtna, make
cash deposits into the Special Reserve Account. Each cash deposit ",iit be' credikd to
the Special Reserve Account as of the premium due ,date of the Policies liext foHowii1gthe
date on which s.uch deposit is received in JEtna's Home Office. '.
(4)
A withdrawal may be made from the Special Reserve Account for the purpose of paying
the full amount of the monthly premiums becoming due on any premium due date for all
of the Policies then in force, provided that the balance remaining after the withdrawal
is at least three times the full amount of the monthly premiums becoming due on that
date. Such a withdrawal will be charged against the balance as of the day before the
premium due date. If no such withdrawal is made, each premium will be payable cur-
rently by the Policyholder in accordance with the terms of the applicable Policy.
CO-o 33(1)
(5)
At the beginning of each experience period to which this agreement applies, JEtna will
notify the Policyholder of the interest rate and the method of computation of the extra
credit to be used for the period. The amount of interest and any extra credit so computed
will be credited to the Special Reserve Account as of the last day of the period.
(6) No withdrawals may be made from the Special Reserve Account while this agreement is
in effect, except as provided in the preceding paragraphs.
(7) This agreement may be terminated by either the Policyholder or JEtna by giving at least
twelve months' advance written notice. Termination of all of the Policies to which this
agreement applies shall be considered to be notice by the Policyholder that this agree-
ment is to be terminated twelve months after the date of termination of the last of such
Policies to terminate, if prior notice of the termination of this agreement has not already
(GR-60346)
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been given. After the giving of such notice, all of the terms of this agreement shall re-
main in effect until the date of tel'mination. lEtna will determine the balance in the Spe-
cial Reserve Account as of the date of termination as though it were the last day of an
experience period.
This agreement shall become effective on
Ju~ 1. 1964
In witness whereof, the lEtna and the Policyholder have caused this agreement to be executed
in duplicate by their duly authorized representatives. '
Executed aL.....Clea,r.wate.r,....E.l.o.r.i.da..,....,.....,...... this......,...?,..y.~~........ day oL..,.N.9Y.~.IP-.I?~E.?,.. 1964.
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Crfb.-.~,. :~...;t to fort correctness: and~~?~;~~~~:~7i&;::::;
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e-~nnecticut, this..............".,_...~~Qn~L......,............ day of,?~!.~.~~~.t".J~..,..,.,.,......
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As sL9.i y <Attorney
Exetuted at Rartfor ,
BY..~~.~=~~~....m
Secreta17. GI'O\lP Din.10ll (Title)
L. F. Beers, Jr.
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