s.8Continuing obligations
8
Section 8Part 3 — OBLIGATIONS OF LICENSEES

Continuing obligations

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A licensee —
shall carry on insurance business only in accordance with the information given in its approved licence application and business plan and shall seek the prior written approval of the Authority for any change to the approved business plan or in the information supplied in the application;
shall not, without the prior written approval of the Authority —
open outside the Islands a subsidiary, branch, agency or representative office or change its name; or
where it is an insurer, other than an external insurer, conducting insurance business other than long term business, amalgamate with any one or more insurers or, other than in the normal course of business, transfer its insurance operations or any part thereof, or accept transfer of the insurance operations or any part thereof from another insurer; and
that is required to have a place of business in the Islands shall maintain in the Islands such resources, including staff and facilities, books and records as the Authority may consider appropriate, having regard to the nature and scale of the business.
An insurer shall —
maintain a margin of solvency in accordance with the prescribed solvency requirements;
maintain adequate arrangements for the management of risks, including the reinsurance thereof where appropriate;
maintain capital in accordance with the prescribed capital requirements;
authorize at least one person resident in the Islands and approved by the Authority to accept on its behalf service of process in any legal proceedings and any notices required to be served on it;
where it is a member of an insurance group, inform the Authority of any activity or transaction undertaken or proposed by another member of the group that could reasonably be expected to have a material effect on the insurer;
where it is an external insurer, be responsible for all contracts of domestic business issued by any branch or subsidiary and also for all acts, omissions and liabilities of such branch or subsidiary activity; and
maintain an effective system of governance as approved by the Authority.
An insurance agent, insurance broker or an insurance manager shall establish and maintain a separate account for the brokerage, agency and management account separate from the accounts maintained for each insurer.
A class B insurer that is established as a segregated portfolio company under Part XIV of the Companies Law (2010 Revision) shall, in respect of each segregated portfolio —
maintain the prescribed margin of solvency;
unless waived by the Authority, comply with section 9(1)(a) and (c); and
cause each submission under paragraph (b) to be prepared using the same financial year end.

Cross References

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