Hello,
I saw your post yesterday but I was surprised by this design too, so I thought someone more knowledgeable has the answer.
It seems a bit odd for many of us so I did some research...
On the part list (I am sure you already have it) it looks like this goes under the valve... thats right.
I find a 450E head with a similar design to yours I think :
I attach the image below in case of sale ends.
View attachment 51997
About the question to change it or not, do you have oil in the combustion chamber ? If not the seal (and the rings) are ok.
If you want to change it, my idea is to make a puller with a large wood screw and a plate with a hole for the screw, against the head. Your screw it and it pull out the seal, like the way to change seat on carburetor where needle stop fuel flow. But you have to find a large screw I think, and be careful not to have the end in the valve guide before it pull the seal. Warning, this is an idea - never change a seal like this (but works great on carbs).
Do you plan to lap the valves too ?