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REGULATIONS PART I Citation and Commencement, Interpretation, Scope and Taking up the Business
Non-Life Insurance Articles
Court.
conditions and documents. 9. Identities
shareholders. PART 2 Financial Supervision, Assignment
Policies, Technical Reserves Provisions, Solvency Margin, Valuation
Assets, Register
Assets, Discounting, Related Company, Failure to Comply with Technical Reserves Provisions, Withdrawal/Lapse
Authorisation 10. Financial supervision
insurance undertaking.
policies. 13. Technical reserves provisions/solvency margin/valuation
assets/register
assets.
authorisation. 18. Provisions applying on withdrawal/lapse
authorisation. 19. Notification
reasons for revocation. PART 3 Qualifying Holdings, Amendment to European Communities (Non-Life Insurance) (Amendment) Regulations, 1991, Obligation
Professional Secrecy/Exchanges
Confidential Information
professional secrecy/exchanges
confidential information. PART 4 Choice
Law, General Good Requirements, Notification
Documents, Compulsory Insurance, Policyholder Disclosure
documents/scales
premiums.
Establishment, Freedom to Provide Services, Motor Insurance Business, General Conditions, Prevention
Irregularities 28. Provisions related to right
establishment
a Branch outside the State.
services into another Member State. 33. Conditions for carrying on insurance business by way
services into the State.
irregularities. PART 6 Advertising, Winding-up, Statistical Requirements
Appeal
Regulations to branch under Article 44. 46. Right
appeal to Court. PART 8 Provisions Related to Branches
Third Country Insurance Undertakings, Rules Applicable to the Assignment
Third Country Branch Policies, Rules Applicable to Health Insurance, Sections 93 and 94
the Insurance Act, 1936 , Penalties, Fees
admission.
Articles 16 and
the First Directive/Application
56. Assignment
third country branch policies.
Sections 93 and 94
the Insurance Act,
insurance. Annex II Solvency margin and guarantee fund. Annex III Valuation
assets. Annex IV Matching rules. SCHEDULES Schedule 1 Value
dependants. (Part 1) Supplementary amount. (Part 2) Further provisions related to the value
dependants. Schedule 2 (Parts I to IV) Assets to be taken into account only to a specified extent. S.I. No. 359
the powers conferred on me by section 3
the European Communities Act, 1972 (No. 27
1972), as amended by the European Communities (Amendment) Act, 1993 (No. 25
1993), and for the purpose
giving effect to Council Directive No. 73/239/EEC
24 July, 1973, Council Directive No. 88/357/EEC
22 June, 1988, Council Directive No. 90/618/EEC
8 November, 1990, and Council Directive No. 92/49/EEC
18 June, 1992, hereby make the following Regulations: PART 1 Citation and Commencement, Interpretation, Scope and Taking up the Business
Non-Life Insurance 1 Citation and Commencement. 1.
December, 1994. However, the provisions
these Regulations affecting the annual returns to be made to the Minister in accordance with Article 13
these Regulations shall apply in respect
every financial year beginning on or after the 1st day
January, 1995.
1976 or the Regulations
1991 and still in force, or, ( b ) where the context otherwise requires, authorisation granted by the authority charged by law with the duty
supervising the activities
insurance undertakings in a Member State other than the State in accordance with Article 6
the First Directive as inserted by Article 4
the Directive. "branch" means an agency or branch
an insurance undertaking or any permanent presence
an undertaking in the State even if that presence does not take the form
an agency or branch but consists merely
an
fice managed by the insurance undertaking's own staff or by a person who is independent but has permanent authority to act for the insurance undertaking in the same way as an agency; "carrying on insurance business by way
establishment" means the covering
a risk by an insurance undertaking in a Member State through a head
fice or branch situated in that State; "carrying on insurance business by way
services" means the covering
a risk by an insurance undertaking in a Member State through a head
fice or branch situated in another Member State; "the Court" means the High Court; " the Directive" means EEC Council Directive 92/49/EEC
these Regulations; "home Member State" means the Member State in which the head
fice
the insurance undertaking covering a risk is situated; "insurance undertaking" means—
carrying on insurance business in the State by way
establishment: the holder
an authorisation under these Regulations or, as the case may be, under Article 6
the first Directive as inserted by Article 4
the Directive or the holder
an authorisation under Article 23
the First Directive; ( b ) for the purpose
carrying on insurance business by way
services, the holder
an authorisation under these Regulations or, as the case may be, under Article 6
the First Directive as inserted by Article 4
the Directive; "Member State" means a Member State
the European Communities; "Member State
the branch" means the Member State in which the branch covering a risk is situated; "Member State
the provision
services" means the Member State in which a risk is situated where it is covered by an insurance undertaking or a branch situated in another Member State; "Member State where the risk is situated" means— ( a ) the Member State in which the property is situated, where the insurance relates either to buildings or buildings and their contents, in so far as the contents are covered by the same insurance policy, ( b ) the Member State
registration, where the insurance relates to vehicles
any type, ( c ) the Member State where the policyholder took out the policy in the case
policies
a duration
four months or less covering travel or holiday risks, whatever the class concerned, ( d ) the Member State where the policyholder has his habitual residence or, if the policyholder is a legal person, the Member State where the latter's establishment, to which the contract relates, is situated, in all cases not explicitly covered by the foregoing subparagraphs; "non-life insurance" has the meaning assigned by Article 4
these Regulations; "the Regulations
1976" means the European Communities (Non-Life Insurance) Regulations, 1976 ( S.I. No. 115
1976 ); "the Regulations
1991" means the European Communities (Non-Life Insurance) (Amendment) (No. 2) Regulations, 1991 ( S.I. No. 142
1991 ); "the Second Directive" means EEC Council Directive 88/357/EEC
the Insurance Acts and Regulations shall, where applicable and subject to any necessary modifications, apply to all insurance undertakings to which these Regulations relate.
Regulation passed or made before the making
these Regulations notwithstanding. 3 Technical Adjustments. 3.
the Directive subject to such conditions as may be specified from time to time by the Minister.
these Regulations or
the Annexes or Schedules in the special circumstances
the case, provided that the direction does not conflict with any provision
the First Directive, the Second Directive or the Directive, or Council Directive 90/618/EEC
8 November, 1990 (O.J. No. L 330, 29.11.1990, p. 44). 4 Scope. 4.
this Article, these Regulations apply to insurance business ("non-life insurance")
the classes specified in Part A
Annex I to these Regulations and to undertakings carrying on such insurance.
insurance specified in paragraph 1
the First Directive, ( b ) the operations specified in paragraph 2
the First Directive, ( c ) mutual associations excluded from the application
the First Directive by Article 3 thereof. 5 Powers
Court. 5. The Court shall have full jurisdiction to deal with any application, appeal or other proceedings before the Court in accordance with any provision
these Regulations and may for this purpose make any interim, interlocutory, mandatory, prohibitory or injunctive or ancillary order as the Court may consider necessary or appropriate for the purposes
these Regulations. 6 Authorisations. 6.
non-life insurance unless it is the holder
an authorisation.
services and by way
establishment.
the Insurance Acts and Regulations, an insurance undertaking shall be deemed to be or to have been established in the State if— ( a ) it has in the State an
fice which is open during normal business hours for the transaction
the business for which it is authorised, and ( b ) it employs at such
fice persons duly qualified to carry on the business transacted and empowered to issue cover for the authorised classes and to settle claims.
fice outside the territories
the Member States may, notwithstanding anything to the contrary in the Insurance Acts and Regulations, carry on insurance business by way
services into the State in the following classes
Annex I to these Regulations, namely, 4, 5, 6, 7, 11 and 12 and in classes 1 and 10 insofar as they relate to the insurance
passengers in marine and aviation vehicles and carrier's liability respectively— provided that ( a ) where the business is to be written by a branch
the insurance undertaking situated within the territories
the Member States, the insurance undertaking demonstrates compliance with the solvency margin requirements
the First Directive and provides satisfactory evidence that the branch is authorised to write business in the above-mentioned classes, ( b ) where the business is to be written by an insurance undertaking with no establishment within the territories
the Member States a statement is produced from the supervisory authorities
the State in which the head
fice
the insurance undertaking is situated attesting that the insurance undertaking complies with the solvency requirements in that State and is authorised to underwrite risks covered by the classes mentioned above, ( c ) in the case
the insurance undertakings mentioned in paragraphs (a) and (b)
this sub-article, the nature
risks it is proposed to cover by way
services shall be disclosed in addition to the information required by those paragraphs.
the Insurance Acts and Regulations, the Minister shall grant that undertaking an authorisation.
fice in the State, ( b ) any insurance undertaking which is the holder
an authorisation related to a particular class or classes
insurance and which proposes to extend its business to another class or classes
insurance.
insurance mentioned at a reference number in Annex I to these Regulations and specified in the Authorisation and shall relate to the entire
that class, except that, where an applicant for an authorisation desires the authorisation to relate only to part
a class as listed in Part A
Annex I to these Regulations, the authorisation shall relate to that part only, but without prejudice to the Minister's powers to require the full guarantee fund relating to the entire class to which such part belongs, as specified in Part B
Annex II to these Regulations.
any group
classes specified in column
Annex I to these Regulations in accordance with Part B
that Annex.
classes
insurance shall also be valid for the purpose
covering ancillary risks included in another class if the conditions specified in Part C
Annex I are fulfilled.
insurance or to extend an authorisation covering only part
a class as listed in Part A
Annex I to these Regulations shall— ( a ) submit to the Minister a scheme
operations in accordance with the provisions contained in Article 7
these Regulations in relation to such other classes
insurance or such extension
authorisation, and ( b ) prove to the satisfaction
the Minister that it possesses the solvency margin in accordance with the provisions
Annex II
these Regulations and, where a higher minimum guarantee fund is required, that it possesses such minimum guarantee fund.
authorisation shall be as specified by the Minister from time to time. 7 Conditions when applying for Authorisation. 7.
the Companies Acts, 1963 to 1990; it may also adopt the form
a European Company (SE) when that has been established. ( b ) An undertaking set up in any public law form may apply for an authorisation provided such body has as its object insurance operations under conditions equivalent to those under which private law insurance undertakings operate.
insurance and to operations directly arising therefrom, to the exclusion
all other commercial business. ( b ) It shall submit to the Minister a scheme
operations, in accordance with Article 9
the First Directive to include particulars or proof concerning— (i) the nature
the risks which the undertaking proposes to cover; (
the costs
setting up the administrative services and the organisation for securing business; the financial resources intended to meet those costs and, if the risks to be covered are classified in class 18 in Part A
Annex I to these Regulations, the resources at the insurance undertaking's disposal for the provision
the assistance promised. ( c ) In addition, for the first three financial years it shall submit to the Minister— (i) estimates
management expenses other than installation costs, in particular current general expenses and commissions; (ii) estimates
premiums or contributions and claims; (iii) a forecast balance sheet; (iv) estimates
the financial resources intended to cover its underwriting liabilities and solvency margin. ( d ) It shall possess the minimum guarantee fund in accordance with the provisions
Part B
Annex II to these Regulations. ( e ) It shall be effectively run by persons
good repute with appropriate professional qualifications or experience. 8 Notification
conditions and documents. 8.
regulations or administrative provisions concerning the approval
the memorandum and articles
association
an insurance undertaking and communication
documents necessary for the normal exercise
supervision.
this Article, the Minister shall not require the prior approval or systematic notification
general and special policy conditions, scales
premiums, forms and other printed documents which an insurance undertaking intends to use in its dealings with policyholders. The Minister may, however, require notification
such general and special policy conditions, scales
premiums, forms and other aforementioned printed documents.
proposed increases in premium rates where such notification or approval is operated as part
a general price control system. 9 Identities
shareholders. 9.
the identities
the shareholders or persons who have qualifying holdings, direct or indirect, in that insurance undertaking and
the amounts
such holdings.
an insurance undertaking, the Minister is not satisfied as to the qualifications
the shareholders or members.
the size
their holding.
this Article— a "qualifying holding" means a direct or indirect holding in an insurance undertaking which represents10 per cent. or more
the capital or
the voting rights or which makes it possible to exercise a significant influence over the management
the undertaking in which a holding subsists. PART 2 Financial Supervision, Assignment
Policies, Technical Reserves Provisions, Solvency Margin, Valuation
Assets, Register
Assets, Discounting, Related Company, Failure to Comply with Technical Reserves Provisions, Withdrawal or Lapse
Authorisation 10 Conditions governing the financial supervision
insurance business. 10.
an insurance undertaking, including the carrying on
insurance business either by way
services or through branches, shall be the sole responsibility
the home Member State.
fice
the insurance undertaking is situated in the State the Minister shall be responsible for verification with respect to the insurance undertaking's entire business, its state
solvency, the establishment and maintenance
technical reserves and corresponding covering assets in accordance with the Insurance Acts and Regulations.
the Minister are sound and adequate. 11 On the spot verification. 11.
fice is situated in the State carries on insurance business through a branch situated in another Member State, the Minister may, after having informed the supervisory authorities
the Member State
the branch, be empowered to carry out on-the-spot verification
the information required to ensure the financial supervision
the insurance undertaking.
the Member State
the branch may participate in such verification where the law
the Member State
the branch so allows.
fice is situated in another Member State carries on insurance business through a branch situated in the State, the Minister may, after having been informed by the supervisory authorities
that Member State, allow the supervisory authorities
the head
fice Member State to carry out on-the-spot verification
the Information required to ensure the financial supervision
the insurance undertaking.
authorised
ficers under the Insurance Acts and Regulations.
operations referred to in Article 7
these Regulations.
policies. 12.
the Assurance Companies Act, 1909, and subject to the provisions
section 36
the Insurance Act, 1989 , and
these Regulations, the following provisions shall have effect: ( a ) An insurance undertaking transacting business in the State, proposing to assign all or part
its portfolio
insurance contracts concluded under the right
establishment or freedom to provide services in the State to an insurance undertaking established in the territory
a Member State, may apply to the Court, by petition, for an Order sanctioning the scheme
assignment. ( b ) An insurance undertaking whose head
fice is situated in the State may, after prior consultation with the Minister, assign all or part
its portfolio
insurance policies including insurance business carried on either by way
services or establishment, to an insurance undertaking established in the State or in another Member State. The assignment shall not be effected unless the supervisory authorities
that insurance undertaking or, where appropriate, the supervisory authorities
the Member State referred to in Article 26
the First Directive, certify that the insurance undertaking possesses the necessary solvency margin after taking the assignment into account. ( c ) Where a branch, established in another Member State, whose head
fice is situated in the State proposes to assign all or part
its portfolio
insurance policies covering insurance business carried on either by way
services or establishment, the Minister shall consult the supervisory authority
the Member State
the branch. ( d ) An insurance undertaking whose head
fice is situated in the State may not assign all or part
its portfolio
insurance policies to an undertaking, established in another Member State, whose head
fice is not situated in the territory
a Member State.
sub-article
this Article, the assignment shall not be effected without obtaining the agreement
the supervisory authorities
the Member States
the branch and the supervisory authorities
the Member States in which the risks are situated. ( b ) Where the supervisory authorities have not given a response indicating consent to or an opinion on the proposed assignment within three months
receiving notification
the assignment, the assignment shall be deemed to be agreed.
the Directive, the Minister shall have a period
three months from the date
consultation by the supervisory authorities
the home Member State within which to issue a response to those authorities.
the period referred to in sub-article
this Article, the assignment shall be deemed to be agreed.
sub-article
this Article by advertisement once in Iris Oifigiúil and once in each
two daily newspapers published in the State and published in the Member State where the risk is situated in accordance with the law
that Member State.
the policies assigned. 13 Technical reserves provisions, solvency margin, valuation
assets, Register
assets. 13.
all underwriting liabilities assumed by it. The amount
such technical reserves shall be determined in accordance with the rules laid down in Council Directive 91/674/EEC
its entire business in accordance with Annex II to these Regulations.
an insurance undertaking shall be valued in accordance with Annex III to these Regulations for all purposes
the Insurance Acts and Regulations which require a determination
the value
assets to be made.
this Article, if more than 90 per cent.
the gross premiums written in any accounting class
insurance business adopted for the purposes
the annual returns is reinsured, then the insurance undertaking will be required to maintain technical reserves representing a minimum
10 per cent.
gross premium income or 10 per cent.
gross technical reserves relating to such business, whichever is the greater, in that class and to hold assets representing that amount accordingly. However, insurance undertakings may reinsure without limit any individual risk.
reinsurance cessions, provided such reinsurance arrangements are acceptable to the Minister. However, any reduction in technical reserves arising from reinsurance shall be restricted to the extent
the insurance risk transferred under the reinsurance arrangements. Where the reinsurance arrangements are not acceptable, the Minister may require that, in respect
the insurance contracts covered by such arrangements, reserves be maintained before the deduction
reinsurance cessions.
fice in the State shall establish and maintain in the territories
the Member States assets
an amount equivalent to the amount
its technical reserves relating to risks situated within those territories.
fice outside the territories
the Member States shall establish and maintain in the State assets
an amount equivalent to the amount
its technical reserves in the State.
title
the assets localised in the State or the territories
the Member States in accordance with sub-articles
this Article shall be held in those territories (or the State as the case may be) and, in the case
an insurance undertaking having its head
fice outside the territories
the Member States, the authorised agent shall have full authority to dispose
those assets in the name
the insurance undertaking in accordance with any direction from the Minister.
applying sub-articles
this Article an asset shall be regarded as being localised in the territories
the Member States (or the State as the case may be) as follows: ( a ) a tangible asset, where it is situated in the territories
the Member States (or the State as the case may be); ( b ) an asset consisting
a claim against a debtor: (i) in any case where the debtor is an incorporated company, where the head
fice
that company is situated in the territories
the Member States (or the State as the case may be); (ii) in any case where the debtor is an unincorporated body
persons, where the body
persons is resident or ordinarily resident in the territories
the Member States (or the State as the case may be); (iii) in any case where the debtor is an individual, where the individual is resident or ordinarily resident in the territories
the Member States (or the State as the case may be); ( c ) an asset consisting
a listed investment, where it is listed or dealt in a regulated Market in the territories
the Member States (or the Irish Stock Exchange as the case may be); ( d ) an asset consisting
an unlisted investment issued by an incorporated company, where the head
fice
the company is situated in the territories
the Member States (or the State as the case may be); ( e ) an asset consisting
an approved security where the issuer is established in the territories
the Member States (or the State as the case may be).
applying sub-articles
this Article a risk shall be deemed to be situated in the territories
the Member States or the State (as the case may be) as follows: ( a ) property consisting
buildings or buildings and their contents, in so far as the contents are covered by the same policy or other instrument
insurance, if the property is situated in the territories
the Member States (or the State as the case may be); ( b ) vehicles, including land vehicles, railway rolling stock, aircraft, sea, river and canal vessels, if the vehicle is registered in the territories
the Member States (or the State as the case may be); ( c ) travel or holiday risks, whatever the class concerned, if the policy or other instrument
insurance is issued in the territories
the Member States (or the State as the case may be); or, in any other case, if the policyholder is ordinarily resident in the territories
the Member States (or the State as the case may be) or if the policyholder is a legal person and the establishment to which the policy or other instrument
insurance relates to is situated in the territories
the Member States (or the State as the case may be).
fice is situated in the State, shall furnish to the Minister annually or at such more frequent intervals as the Minister may request such information in such form and manner as the Minister may require, together with statistical documents which are deemed necessary for supervision purposes and in particular in order to verify the state
solvency
the insurance undertaking with respect to its entire business.
sub-article
this Article, the insurance undertaking shall, in addition, furnish to the Minister annually, or at such more frequent intervals as the Minister may request such information in such form and manner as the Minister may require in order to verify that the technical reserves referred to in this Article are being maintained.
insurance business carried on in the State in each class by the insurance undertaking and shall furnish to the Minister a certificate
the value
these assets on the closing date for which the accounts and balance sheets
the insurance undertaking are furnished to the Minister, such values being those in such accounts and balance sheets.
fice
the insurance undertaking in the State and shall contain up-to-date details
the assets representing the reserves in respect
non-life insurance business carried on in the State.
ficer or
ficers
the Minister during normal business hours. 14 Discounting. 14.
financial reinsurance, whether resulting from the placing
a present value on a provision for an outstanding claim which is expected to be settled later at a higher figure or otherwise effected, such discounting or deduction is prohibited.
financial reinsurance, to take account
investment income is permitted for the purpose
the accounts to be submitted to the Minister in accordance with the European Communities (Non-Life Insurance Accounts) Regulations, 1977, subject to any conditions which the Minister may from time to time deem necessary. In particular, the following conditions shall apply: ( a ) the expected date for the settlement
claims shall be on average at least four years after the accounting date; ( b ) the discounting or deduction shall be effected on a recognised prudential basis; any change in that basis shall be notified, in advance, to the Minister; ( c ) when calculating the total cost
settling claims, an undertaking shall take account
all factors that could cause increases in that cost; ( d ) an undertaking shall have adequate data at its disposal to construct a reliable model
the rate
claims settlements; ( e ) the rate
interest used for the calculation
present value shall not exceed a prudent estimate
the investment income from assets invested as a provision for claims during the period necessary for the payment
such claims. Moreover, it shall not exceed either
the following: — a rate derived from the investment income from such assets over the preceding five years; — a rate derived from the investment income from such assets during the year preceding the balance sheet date.
financial reinsurance, an undertaking shall, in notes accompanying the accounts to be submitted to the Minister in accordance with the European Communities (Non-Life Insurance Accounts) Regulations, 1977, disclose the total amount
provisions before discounting or deduction, the categories
claims which are discounted or from which deductions have been made and, for each category
claims, the methods used, in particular the rates used for the estimates referred to in sub-article
explicit discounting or deduction as specified above shall at all times be at the Minister's discretion. 15 Transactions with a related company or companies. 15.
a material nature with a related company or companies, including in particular, the provision
loans to and acceptance
loans from a related company or companies, an insurance undertaking shall submit to the Minister a draft
any contract or agreement which is to be entered into by the insurance undertaking in relation to the transaction.
fice is situated in the State fails to comply with Article 13
these Regulations the Minister may, after notifying the supervisory authorities
the Member States in which the risks underwritten by the insurance undertaking are situated, apply to the Court for an order, which the Court is empowered to make, prohibiting the free disposal
the insurance undertaking's assets.
an insurance undertaking whose head
fice is situated in the State falls below the minimum amount required by Articles 3 and 4
Part A
Annex II to these Regulations the Minister shall require that a plan be submitted by the insurance undertaking for the Minister's approval for the restoration
a sound financial position.
this Article, where it appears to the Minister that the financial situation
the insurance undertaking will deteriorate further, the Minister may apply to the Court for an order, which the Court is empowered to make, restricting or prohibiting the free disposal
the insurance undertaking's assets. In that case, the Minister shall notify the supervisory authorities
the Member States where the insurance undertaking carries on insurance business
this fact and
any order
the Court. The Minister may also request the supervisory authorities
those Member States to take the same measures pursuant to this sub-article.
an insurance undertaking whose head
fice is situated in the State falls below the guarantee fund referred to in Part B
Annex II to these Regulations, the Minister shall require the insurance undertaking to submit for approval a short-term finance scheme. The Minister may also apply to the Court for an order, which the Court is empowered to make, restricting or prohibiting the free disposal
the assets
the insurance undertaking. In that case, the Minister shall notify the supervisory authorities
the Member States where the insurance undertaking carries on insurance business
this fact and
any order
the Court. The Minister may also request the supervisory authorities
those Member States to take the same measures pursuant to this sub-article.
insured persons, in the cases referred to in sub-articles
this Article.
fice supervisory authority
an insurance undertaking situated in another Member State requests the Minister to take measures related to the restriction or prohibition
the free disposal
the assets located in the State
the insurance undertaking, the Minister may apply to the Court for an order, which the Court is empowered to make, restricting or prohibiting the free disposal
the assets located in the State
the insurance undertaking.
this Article as the Court may think fit. 17 Withdrawal/lapse
Authorisation. 17. An authorisation held by an undertaking whose head
fice is situated in the State may be revoked by the Minister if the Minister is satisfied that the holder— ( a ) has not used the authorisation for the last twelve months, has expressly renounced the authorisation or has ceased to carry on business covered by the authorisation for more than six months; ( b ) no longer fulfils the conditions required by the Insurance Acts and Regulations for the granting
an authorisation; ( c ) has been unable, within the time allowed, to take the measures contained in the restoration plan or finance scheme referred to in Article 16
these Regulations, or ( d ) fails seriously in its obligations under the Insurance Acts and Regulations. 18 Provisions applying on withdrawal/lapse
authorisation. 18. Where an authorisation is revoked under Article 17
these Regulations, the following provisions shall apply:— ( a ) the Minister shall notify the revocation to the supervisory authorities
the other member States in which the undertaking carries on business; ( b ) the Minister shall, in conjunction with the supervisory authorities
the other Member States in which the undertaking carries on business, restrict the free disposal by the undertaking
its assets in accordance with Article 16
these Regulations; ( c ) the Minister may take further measures to safeguard the interests
persons insured by the insurance undertaking and may for this purpose apply to the Court for such order as to the Court may seem fit. 19 Notification
reasons for revocation. 19. Any decision to revoke an authorisation under Article 18 shall be supported by precise reasons and notified to the insurance undertaking in question. PART 3 Qualifying Holdings, Amendment to European Communities (Non-Life Insurance) (Amendment) Regulations, 1991, Obligation
Professional Secrecy/Exchanges
Confidential Information 20 Qualifying Holdings. 20.
the Companies Acts, 1963 to 1990, any person who proposes to acquire either directly or indirectly, a qualifying holding in an insurance undertaking, shall first notify the Minister indicating the size
the proposed qualifying holding. Such person shall, in addition, be under an obligation to notify the Minister where it is proposed to increase such qualifying holding so that the percentage levels
the voting rights or capital which that person holds, reaches or exceeds any
the percentage levels referred to in sub-article
this Article so that the insurance undertaking would become that person's subsidiary.
three months from the date
notification referred to in sub-article
this Article within which to oppose the proposed acquisition where, in view
the necessity to ensure sound and prudent management
the insurance undertaking in question, the Minister is not satisfied as to the suitability
the person referred to in sub-article
this Article.
a qualifying holding in an insurance undertaking, shall first notify the Minister indicating the size
the proposed qualifying holding. Such person shall, in addition, be under an obligation to notify the Minister if it is proposed to decrease such qualifying holding so that the percentage levels
the voting rights or capital which that person holds falls below any
the percentage levels referred to in sub-article
this Article so that the insurance undertaking would cease to be that person's subsidiary.
any acquisitions or disposals
holdings in its capital so that such holdings exceed or fall below any
the percentage levels referred to in sub-article
this Article shall inform the Minister
such acquisitions or disposals. In addition, the insurance undertaking shall, at such times as may be specified by the Minister and at least once a year, notify the Minister
the names
shareholders or members possessing qualifying holdings and the size
such holdings by reference, for example, to information received at annual general meetings
shareholders or members or as a result
compliance with the Companies Acts, 1963 to 1990. The Minister may, at any time, require information concerning all shareholders irrespective
the size
their holding.
this Article is likely to operate against the prudent and sound management
an insurance undertaking, the Minister may apply to the Court for such order, for the purposes
putting an end to that situation, by way
injunction, suspension
the exercise
the voting right attaching to the shares held by the shareholders or members in question or otherwise as the Court shall think fit.
this Article, may make such order in relation to the matter as may appear to be necessary.
this Article shall also apply to persons who fail to comply with the notification requirements referred to in sub-article
this Article. If a holding is acquired contrary to the provisions
this Article the Court may, on the application
the Minister, in addition to any other order which it may make, order the suspension
the corresponding voting rights or the nullity
votes cast.
Council Directive 83/349/EEC
these Regulations. "parent undertaking" means a parent undertaking as defined in Articles 1 and 2
Council Directive 83/349/EEC; "subsidiary" means a subsidiary undertaking as defined in Articles 1 and 2
Council Directive 83/349/EEC; any subsidiary
a subsidiary undertaking shall also be regarded as a subsidiary
the undertaking which is those undertakings' ultimate parent undertaking; 21 Amendment to European Communities (Non-Life Insurance) (Amendment) Regulations, 1991 ( S.I. No. 5
1991 ). 21. Article 14
the Regulations
1976 as amended by Article 4
the European Communities (Non-Life Insurance) (Amendment) Regulations, 1991 ( S.I. No. 5
1991 ), is hereby amended by the substitution in sub-article
the following paragraph for paragraph (a): "
the Annex (referred to subsequently in these Regulations as 'credit insurance') shall, subject to paragraph (d)
this sub-article, set up an equalisation reserve for the purpose
fsetting any technical deficit or above-average claims ratio arising in that class for a financial year." 22 Obligation
Professional Secrecy/exchanges
confidential information. 22.
the Minister, shall be bound by the obligation
professional secrecy.
professional secrecy means that, subject to the succeeding sub-article
this Article, no confidential information received in the performance
duties may be divulged to any person or authority whatsoever, except in such form as will ensure that individual insurance undertakings cannot be identified, except by order
a Court in criminal proceedings. Nevertheless, where an insurance undertaking has been declared bankrupt or is being compulsorily wound up, confidential information which does not concern third parties involved in attempts to rescue the undertaking may be divulged where ordered by a court in civil or commercial proceedings.
this Article shall not prevent the competent authorities
different Member States from exchanging information in accordance with the Directives applicable to insurance undertakings. Such information when so exchanged shall be subject to the conditions
professional secrecy laid down in these sub-articles.
information, with the competent authorities
third countries only if the information disclosed is subject to guarantees
professional secrecy at least equivalent to those provided for in this Article.
this Article the Minister may use it only— ( a ) to check that the conditions governing the taking up
the business
insurance are met and to facilitate monitoring
the conduct
such business, especially with regard to the monitoring
technical reserves, solvency margins, administrative and accounting procedures and internal control mechanisms, ( b ) to impose sanctions, or ( c ) in court proceedings initiated under Article 46
these Regulations or under special provisions, provided for in Council Directives adopted in the field
insurance undertakings.
this Article shall not preclude the exchange
information within the State, where there are two or more competent authorities in the State, or between Member States or between competent authorities and— ( a ) authorities responsible for the
ficial supervision
credit institutions and other financial organisations and the authorities responsible for the supervision
financial markets, ( b ) bodies involved in the liquidation and bankruptcy
insurance undertakings and in other similar procedures, and ( c ) persons responsible for carrying out statutory audits
the accounts
insurance undertakings and other financial institutions, in the discharge
their supervisory functions, or the disclosure to bodies which administer compulsory winding-up proceedings or guarantee funds
information necessary to the performance
their duties. The information received by those authorities, bodies and persons shall be subject to the conditions
professional secrecy laid down in sub-articles
this Article, the Minister may in accordance with the law
the State authorise the disclosure
certain information to other authorities responsible for the supervision
credit institutions, financial institutions, investment services and insurance companies and to inspectors acting on behalf
those authorities.
prudential control.
this Article and that obtained by means
on-the-spot verification in accordance with Article 11
these Regulations may never be disclosed in the cases referred to in this sub-article except with the express consent
the competent authorities which disclosed the information or
the competent authorities
the Member State in which on-the-spot verification was carried out. PART 4 Choice
Law, General Good Requirements, Notification
Documents, Compulsory Insurance, Policyholder Disclosure 23 Choice
Law Applicable to Insurance Contracts. 23.
insurance which covers risks situated within the State or within other Member States shall be determined in accordance with the following provisions: ( a ) Where the habitual residence or central administration
a policyholder is within the territory
the Member State where the risk is situated, the law applicable to the insurance contract shall be the law
that Member State; however where the law
that Member State so allows, the parties may choose the law
another country. ( b ) Where the habitual residence or central administration
a policyholder is not in the Member State where the risk is situated, the parties to the insurance contract may choose to apply either the law
the Member State in which the risk is situated or the law
the country
the policyholder's habitual residence or central administration. ( c ) Where a policyholder pursues a commercial, industrial or professional activity and where the contract covers two or more risks relating to these activities and situated in different Member States, the freedom
choice
the law applicable to the contract extends to the laws
those Member States and
the country
the policyholder's habitual residence or central administration. ( d ) Notwithstanding paragraphs (b) and (c)
this sub-article, where the Member States referred to in those paragraphs grant greater freedom
choice
the law applicable to the contract, the parties may take advantage
this freedom. ( e ) Notwithstanding paragraphs (a), (b) and (c)
this sub-article, where the risks covered by the contract are limited to events occurring in a Member State other than the Member State where the risk is situated the parties may always choose the law
the former State. ( f ) In the case
large risks referred to in Article 5
the Regulations
1991, the parties to the contract may choose the law
any country. ( g ) Notwithstanding paragraphs (a) to (f)
this sub-article, where all the other elements relevant to the situation at the time
the choice are connected with one Member State only, nothing shall prejudice the application
the mandatory rules
the law
that Member State, from which the law
that Member State allows no derogation by means
a contract. ( h ) (i) The choice
law referred to in the preceding paragraphs
this Article must be expressed or demonstrated with reasonable certainty by the terms
the contract or the circumstances
the case. (ii) If that is not so, or if no choice has been made, the contract shall be governed by the law
the country, from amongst those considered in the relevant subparagraphs
this Article, with which it is most closely connected. (iii) Nevertheless, a severable part
the contract which has a closer connection with another country, from amongst those considered in the relevant subparagraphs
this sub-article may by way
exception be governed by the law
that other country. The contract shall be rebuttably presumed to be most closely connected with the Member State in which the risk is situated. (iv) Where a Member State includes several territorial units, each
which has its own rules
law concerning contractual obligations, each unit shall be considered as a country for the purposes
identifying the applicable law.
the rules
the law
the forum in a situation where they are mandatory irrespective
the law otherwise applicable to the contract. ( b ) Where the law
a Member State so stipulates, the mandatory rules
the law
the Member State in which the risk is situated or
the Member State imposing the obligation to take out insurance may be applied if and insofar as, under the laws
those States, those rules must be applied whatever the law applicable to the contract. ( c ) Where the contract covers risks situated in more than one Member State, the contract is considered for the purposes
applying this paragraph as constituting several contracts each relating to only one Member State.
this Article, the laws
the State relating to the general rules
private international law shall be applied to the insurance contracts covered by these Regulations. 24 General Good Requirements. 24. In conformity with the general good in accordance with the law
the European Communities, an insurance undertaking shall, in particular, comply with the following criteria— ( a ) the provisions
the Health Insurance Act, 1994 , applicable to the carrying on
health insurance business in the State, ( b ) the provisions
the Road Traffic Act, 1961 , and Regulations under the European Communities Act, 1972 , relating to the insurance
mechanically propelled vehicles, ( c ) the provisions
the Consumer Information Act, 1978 , applicable to insurance contracts and the marketing and selling
insurance products, ( d ) the provisions
the Sale
Goods and Supply
Service Act, 1980, applicable to insurance contracts and the marketing and selling
insurance products, ( e ) the provisions
the Motor Insurance Advisory Board (Establishment) Order, 1984, relating to the statistical requirements
the Board, ( f ) provisions related to the supervision and regulation
insurance intermediaries under the Insurance Acts and Regulations, ( g ) provisions contained in consumer credit legislation adopted by the State, ( h ) any other requirements which the Minister may prescribe by regulations for the general good, and the Minister in so prescribing may have regard to provisions in Codes
Conduct and Practice related to the marketing and selling
insurance and to the content
insurance proposals. 25 Notification
Documents and Scales
Premiums. 25.
general and special policy conditions, scales
premiums, forms and other printed documents which an insurance undertaking intends to use in its dealing with policyholders. The Minister may, however, require notification
the general and special policy conditions and other documents considered necessary for the purposes
verifying compliance with laws, Regulations and administrative provisions concerning insurance contracts. A notification requirement shall not constitute a prior condition for an insurance undertaking to carry on business in the State.
proposed increases in premium rates where such notification or approval is operated as part
a general price control system. 26 Compulsory Insurance. 26.
insurance shall be in accordance with the specific provisions relating to that insurance laid down in accordance with the laws
the State. ( b ) In the case
conflict between the law
the Member State in which the risk is situated and the law
the Member State which imposes the obligation to take out insurance the law
the latter shall prevail. ( c ) Notwithstanding Article 23
these Regulations, the law applicable to compulsory contracts
insurance shall be the law
the Member State which imposes the obligation to take out insurance. ( d ) Subject to sub-article
this Article, Article 23
these Regulations shall apply where the insurance contract provides cover in several Member States
which at least one imposes an obligation to take out insurance. ( e ) Where an undertaking is carrying on compulsory insurance it shall notify the relevant authorities
any cessation
cover and such cessation may be invoked against injured third parties in the circumstances laid down by the law
the State. ( f ) The supervisory authorities shall accept as proof that the insurance obligation has been fulfilled a certificate the content
which is in conformity with the specific provisions relating to that insurance in accordance with the law
the State.
the general and special conditions
any insurance contract related to compulsory insurance before any such contract
insurance is issued. 27 Policyholder Disclosure Rules. 27.
the following, as appropriate— ( a ) the law applicable to the contract where the parties do not have a choice
law, or ( b ) that the parties to the contract are free to choose the applicable law and in this case the law which the insurance undertaking proposes to choose; and shall also so notify such persons
the arrangements for handling policyholders' complaints concerning insurance contracts including the existence
a complaints body, without prejudice to a person's right
recourse to legal proceedings.
this Article shall apply only in the case
natural persons.
sub-article
this Article shall be determined in accordance with the law
the Member State in which the risk is situated.
the Insurance Act, 1936 , which provides for the issue
documents in the Irish language, be provided by the insurance undertaking in the English language.
services or by way
establishment, persons seeking insurance shall, before any insurance contract is concluded, be notified
the Member State in which the head
fice or, where appropriate, the branch with which the insurance contract is to be concluded is situated.
this Article.
sub-articles
this Article shall not apply in the case
large risks within the meaning
the Regulations
1991.
insurance or other document granting insurance cover together with the insurance proposal form where it is binding upon the policyholder shall specify the address
the head
fice, or, where appropriate,
the branch
the insurance undertaking granting cover.
the coverage
risk, other than carrier's liability, classified under class 10
Annex I to these Regulations, an insurance undertaking referred to in Article 34
these Regulations shall specify in the documents referred to in sub-article
this Article the name and address
the representative
the insurance undertaking referred to in Article 34
these Regulations. PART 5. Right
Establishment, Freedom to Provide Services, Motor Insurance Business, General Conditions, Prevention
Irregularities 28 Provisions Relating to the right
Establishment
a Branch outside the State. 28.
fice in the State proposing to establish a branch in another Member State shall notify the Minister
its proposal.
this Article shall provide the following information— ( a ) the Member State within the territory
which the insurance undertaking proposes to establish the branch; ( b ) a scheme
operations setting out, inter alia, the types
business envisaged and the structural organisation
the branch; ( c ) the address in the Member State
the branch from which documents may be obtained and to which they may be delivered, being the address to which all communications to the authorised agent
the branch are sent; ( d ) the name
the authorised agent
the branch being a person possessing sufficient powers to bind the insurance undertaking in relation to third parties and to represent it in relations with the authorities and Courts
the Member State
the branch.
fice in the State which intends to carry on insurance business in respect
the coverage
a risk classified under class 10
Annex I to these Regulations, other than carrier's liability, by way
a branch in another member State shall submit a declaration to the Minister attesting that the insurance undertaking has become a member
the national bureau and the national guarantee fund
the Member State
the branch. ( b ) In this sub-article— "national bureau" means a national insurers' bureau as defined in Article 1
Council Directive 72/166/EEC
Council Directive 84/5/EEC
receipt
all the information referred to in sub-articles
the Article, furnish such information to the supervisory authority
the member State
the branch and the Minister shall notify the insurance undertaking concerned accordingly.
the insurance undertaking, or the financial situation
the insurance undertaking is inadequate, or ( b ) to doubt the good repute or professional qualifications or experience
the directors or manager or the authorised agent, taking into account the forecast business plan, the Minister shall not be required to furnish the information referred to in sub-articles
this Article to the supervisory authority
the Member State
the branch.
this Article to the supervisory authority
the Member State
the branch the Minister shall notify the insurance undertaking
the grounds for such refusal within three months
receipt
all the information in question.
these Regulations, it shall furnish a notification
any such change to the Minister and to the supervisory authorities
the Member State
the branch at least one month before making the change in order, having regard to the proposed changes, for the Minister to exercise the Minister's functions in accordance with sub-articles
these Regulations and for the supervisory authorities
the Member State
the branch to inform the Minister
the conditions under which, in the interest
the general good as applied in that Member State, having regard to the proposed changes, the insurance business may be carried on in that State. 30 Conditions for Establishing a Branch in the State. 30. Where an insurance undertaking not established in the State intends to carry on insurance business by way
a branch in the State, and where the supervisory authorities
that insurance undertaking have furnished to the Minister the appropriate information referred to in sub-article
these Regulations, together with a declaration (where appropriate) attesting that the insurance undertaking has become a member
the Motor Insurers' Bureau
Ireland and the guarantee fund referred to in Article 1
Council Directive 84/5/EEC (in this Part referred to as "the guarantee fund") and a certificate attesting that the insurance undertaking possesses the minimum solvency margin calculated in accordance with Annex II to these Regulations, the Minister shall, within two months
receiving the information referred to in this Article and before the branch commences business, notify the supervisory authority
the home Member State
the conditions under which, in the interest
the general good, the insurance business may be carried on in the State. 31 Amendment to branch information. 31. Where an insurance undertaking with a branch established in the State intends to change the information given in respect
these Regulations, it shall furnish a notification
any such change to the Minister at least one month before making the change in order that, having regard to the proposed changes, the requirements
these Regulations may be fulfilled. 32 Conditions for carrying on insurance business by way
services into another Member State. 32.
services for the first time in one or more other Member States shall send a notification to the Minister indicating the nature
the risks which the insurance undertaking proposes to cover.
the notification provided for in sub-article
this Article, furnish the following information to the supervisory authorities
the Member State or Member States within the territories
which the insurance undertaking intends to carry on insurance business by way
services: ( a ) a certificate if such be the case attesting that the insurance undertaking possesses the minimum solvency margin in accordance with Annex II to these Regulations; ( b ) the classes
insurance which the insurance undertaking has been authorised to
fer, and ( c ) the nature
the risks which the insurance undertaking proposes to cover in the Member State or Member States within the territories
which the insurance undertaking intends to carry on insurance business by way
services.
services from the date certified by the Minister
the notification
the information referred to in sub-article
this Article.
this Article within the period laid down, the Minister shall notify the insurance undertaking
the grounds for the refusal within the same period. 33 Conditions for carrying on insurance business by way
services into the State. 33.
services into the State on or after the date on which the supervisory authority
its home Member State certify that they have communicated to the Minister the appropriate information referred to in paragraphs (a), (b) and (c)
sub-article
these Regulations.
services into the State, the Minister shall, in order to give effect to the provisions contained in Article 24
these Regulations, notify the supervisory authority
the home Member State
the conditions under which, in the interest
the general good, the insurance business may be carried on in the State. 34 Additional provisions related to risks in class 10 (other than carrier's liability) —third party motor liability insurance. 34.
this Article shall apply to an insurance undertaking which intends to provide services into the State in respect
the coverage
a risk classified under class 10
Annex I to these Regulations, other than carrier's liability.
and participate in the financing
the Motor Insurers' Bureau
Ireland and
the guarantee fund.
the Motor Insurers' Bureau
Ireland and
the guarantee fund.
Ireland or the guarantee fund other than by reference to its gross premium income in respect
the coverage
risks in class 10
Annex I to these Regulations, other than carrier's liability, underwritten in the State by way
services, or in respect
the number
risks underwritten in the State by way
services in that Class.
aggravated risks, insofar as they apply to insurance undertakings established in the State.
events occurring in the State are not placed in a less favourable situation as a result
the fact that the undertaking is covering a risk, other than carrier's liability, in class 10
Annex I to these Regulations by way
the provision
services rather than through an establishment situated in the State.
service on behalf
the insurance undertaking
proceedings in respect
such claims and the payment
such claims. The representative shall represent the insurance undertaking before the Courts and authorities
the State in relation to those claims.
the name and address
the representative referred to in sub-article
this Article.
motor vehicle liability insurance policies before the competent authorities
the State.
the insurance undertaking which appointed the representative other than those set out in sub-articles
this Article.
direct insurance in the State on behalf
the said insurance undertaking.
the representative shall not, in itself, constitute the establishment
a branch.
the Second Directive. 35 Amendment to services information. 35. Where an insurance undertaking intends to amend the information provided in accordance with sub-article
these Regulations, it shall be subject to the appropriate procedures laid down in accordance with sub-articles
these Regulations. The insurance undertaking shall also be subject to the procedures laid down in accordance with Articles 33 and 34
these Regulations. 36 General conditions regarding the establishment
a branch or the provision
services. 36.
an insurance undertaking which carries on business in the State by way
a branch or by way
provision
services to be supplied in the Irish and English language.
general and special policy conditions, scales
premiums or forms and other printed documents which an insurance undertaking with a branch established in the State or providing services into the State intends to use in its dealings with policyholders.
the general and special policy conditions and other documents necessary for the purposes
verifying compliance with the law (including relevant provisions in these Regulations) concerning insurance contracts. A notification shall not constitute a prior condition for an insurance undertaking to carry on insurance business by way
branch establishment or by way
services into the State. 37 Prevention
Irregularities. 37.
branch establishment or by way
services into the State, it shall submit to the Minister, on request, all documents which the Minister considers necessary for the purposes
implementing this Article insofar as an insurance undertaking with a head
fice established in the State is also required to do so.
branch establishment or by way
services into the State does not comply with the Insurance Acts and Regulations, the Minister shall by direction require the insurance undertaking to do so.
this Article, the Minister shall inform the supervisory authorities
the home Member State so that they may take all appropriate measures in accordance with Article 40
the Directive.
sub-article
this Article, the measures taken against the insurance undertaking carrying on insurance business by way
services into the State or by way
branch establishment are, in the opinion
the Minister, not adequate and the insurance undertaking continues to contravene the Insurance Acts and Regulations, the Minister may, after informing the supervisory authorities
the home Member State, apply to the Court for such order as to the Court may seem fit, in order to prevent further infringements
the Insurance Acts and Regulations, including in so far as is necessary and in accordance with the Insurance Acts and Regulations, the prevention
that undertaking from continuing to conclude new insurance contracts within the State.
the State to proceed against insurance undertakings transacting business in the State for failing to comply with the laws
the State, including the possibility
preventing insurance undertakings from continuing to conclude new insurance contracts within the State.
the Court under sub-article
the measure.
another Member State request the Minister to take appropriate measures in accordance with Article 40
the Directive in relation to failure to comply with the laws
that State by an insurance undertaking established in the State and which is carrying on insurance business by way
services into the former Member State or by way
a branch establishment, the Minister may apply to the Court for an order enforcing such compliance and shall communicate accordingly to the supervisory authorities
the Member State
provision
services or the Member State
the branch. PART 6 Advertising, Winding-up, Statistical Requirements 38 Advertising. 38. An insurance undertaking may advertise its services, through all available means
communication in the State, subject to any rules governing the form and content
such advertising adopted in the interest
the general good. 39 Winding-up
insurance undertaking. 39. In the event
an insurance undertaking being wound up, commitments arising from contracts underwritten in the course
carrying on insurance business by way
services or through a branch establishment shall be met in the same way as those arising under that insurance undertaking's other insurance contracts, without distinction
nationality, as far as the insured and the beneficiaries are concerned. 40 Statistical Information. 40.
fice in the State shall inform the Minister separately in respect
transactions effected by it by way
establishment and those effected by it by way
services
the amount
the premiums, claims and commissions, without deduction
reinsurance and shall so inform the Minister in respect
a Member State where such transactions are effected and in respect
each group
classes specified in sub-article
this Article and also, with regard to the risk, other than carrier's liability, classified under class 10
Annex I,
the frequency and the average cost
claims without deduction
reinsurance.
classes referred to in sub-article
this Article are as follows: (
this Article within a reasonable period
time and in aggregate form to the supervisory authorities
each
the Member States which so requests. 41 Statistical requirement regarding services and branch insurance business. 41.
the home Member State
an insurance undertaking which carries on insurance in the State by way
services or by way
branch establishment, to submit the appropriate information referred to in sub-article
and other appropriate information in order that the statistical needs
the State may be fulfilled.
the general good, require an insurance undertaking which has its head
fice in the territory
another Member State and is transacting insurance business in the State to supply such statistical information in such form and manner as the Minister may specify from time to time. PART 7 Guarantee Schemes, Fiscal Arrangements, Acquired Rights, Right
Appeal 42 Obligation to join guarantee schemes. 42. Insurance undertakings carrying on business by way
services into the State or by way
branch establishment in the State, including, if necessary, those insurance undertakings referred to in sub-article
these Regulations shall join and participate in the Insurance Compensation Fund established in accordance with the Insurance Act, 1964 , and any other scheme established under the Insurance Acts and Regulations designed to guarantee the payment
insurance claims to insured persons and injured third parties on the same terms as insurance undertakings with head
fices in the State. 43 Fiscal arrangements. 43.
the State.
this Article, the moveable property contained in a building situated in the territory
the State, except for goods in commercial transit, shall be a risk situated in the State, even though the building and its contents are not covered by the same insurance policy.
these Regulations shall not affect the fiscal arrangements applicable. 44 Acquired Rights. 44. An insurance undertaking which has commenced business by way
a branch establishment in the State before the coming into operation
provisions adopted in implementing these Regulations shall be presumed to have been subject to the procedure laid down in accordance with Article 10
the First Directive. 45 Application
Regulations to branch under Article
these Regulations shall be subject from the date
entry into force
provisions adopted in implementing these Regulations to the relevant provisions laid down in accordance with these Regulations. 46 Right
appeal to Court. 46. Any decision, direction, requirement or request given or made by the Minister under these Regulations may, within twenty-one days from the day on which it was notified to the person concerned be appealed to the Court. PART 8 Provisions Related to Branches
Third Country Insurance Undertakings, Rules Applicable to the Assignment
Third Country Branch Policies, Rules Applicable to Health Insurance, Section 93 and 94
the Insurance Act, 1936 , Penalties, Fees 47 Third country branch provisions. 47. Articles 47 to 56
these Regulations apply to non-life insurance undertakings whose head
fice is not in a Member State ("a third country undertaking"). 48 Application for authorisation. 48.
a third country undertaking authorised to undertake insurance in the State may apply to extend its business to classes
insurance for which it is not authorised or to part
such classes. 49 Conditions
Admission. 49. An insurance undertaking having its head
fice situated outside the territories
the Member States applying for an authorisation to establish a branch in the State shall fulfil at least the following conditions: ( a ) it is entitled to undertake insurance business under the law
the State where its head
fice is situated; ( b ) it establishes a branch in the State; ( c ) it undertakes to maintain at the place
management
the branch in the State accounts specific to the business which it undertakes in the State and to keep at that place all the records relating to the business transacted in the State; ( d ) it designates an authorised agent for such purposes as the Minister may require and is approved by the Minister; ( e ) it possesses in the State assets
an amount equal to at least one-half
the minimum amount required by Article
Part B
Annex II to these Regulations in respect
an undertaking to which that Article applies and deposits with the Court one-fourth
that minimum amount as security; (f) it undertakes to keep a margin
solvency in accordance with Annex II to these Regulations; ( g ) it submits a scheme
operations in accordance, insofar as is applicable, with Article 7
these Regulations as if it were an insurance undertaking to which that Article applies. 50 Technical Reserves Provisions. 50. An insurance undertaking authorised under Article 49
these Regulations shall establish and maintain technical reserves adequate to cover the underwriting liabilities assumed in the State in accordance with Articles 13 and 21
these Regulations. 51 Solvency Margin. 51.
this Article, Annex II and Article 16
these Regulations shall apply to an undertaking to which this Article applies.
this Article, account shall be taken only
the premiums or contributions and claims pertaining to the business effected by the insurance undertaking in the State or in another Member State, as appropriate.
the guarantee fund required by Part B
Annex II to these Regulations and any excess shall be retained either in the State or in another Member State. 52 Guarantee Fund. 52.
this Article, Part B
Annex II to these Regulations shall apply to an insurance undertaking to which this Article applies.
a minimum guarantee fund shall not be less than one-half
the minimum required under Article
Part B
Annex II to these Regulations and the deposit lodged under Article 49 (e)
these Regulations shall be reckoned in calculating the amount
a guarantee fund for the purposes
this Article. 53 Annual Returns. 53. Save as provided in Article 55
these Regulations, Article 13
these Regulations shall, insofar as is applicable, apply to an undertaking to which this Article applies as if the insurance undertaking was one whose head
fice is situated in the State. 54 Application
Articles 16 and
these Regulations shall apply to an undertaking to which this Article applies subject to the following modifications, namely, that the references in Articles 16 and 17 to another Member State shall be construed as references to the Member State in which the insurance undertaking in question first commenced to carry on business. 55 Advantages under Article 26
the First Directive/Application
55. An undertaking which, having obtained an authorisation from a Member State and subsequently obtained an authorisation from one or more Member States to establish other branches therein may apply to the Minister for one or more
the advantages specified in Article 26
the First Directive, as amended by Article 12
Council Directive 84/641/EEC
policies
branches
insurance undertakings whose head
fices are outside the European Communities. 56.
section 13
the Assurance Companies Act, 1909, section 36
the Insurance Act, 1989 , and these Regulations and following consultation with the Minister an insurance undertaking to which Part 8
these Regulations applies may assign all or part
its portfolio
insurance policies in accordance with the following sub-articles
this Article.
an insurance undertaking whose head
fice is not situated in the territory
a Member State, proposes to assign all or part
its portfolio
insurance policies covering insurance business to an assignee established in the State, the assignment shall not be effected unless the assignee possesses the necessary solvency margin after taking the assignment into account or, where appropriate, the supervisory authorities
the Member State referred to in Article 26
the First Directive certify that the assignee possesses the necessary solvency margin after taking the assignment into account.
an insurance undertaking whose head
fice is not situated in the territory
a Member State, proposes to assign all or part
its portfolio
insurance policies covering insurance business to an assignee with a head
fice in another Member State, the assignment shall not be effected unless the supervisory authorities
the head
fice Member State certify that the assignee possesses the necessary solvency margin after taking the assignment into account.
an insurance undertaking whose head
fice is not situated in the territory
a Member State may not assign all or part
its portfolio
insurance policies covering insurance business to an undertaking, established in another Member State, whose head
fice is not situated in the territory
a Member State.
this Article, the assignment shall not be effected without obtaining the agreement
the supervisory authorities
the Member States in which the risks are situated if different from the Member State where the branch is established.
the Member States in which the risks are situated have not given a response indicating consent to or an opinion on the proposed assignment to the Minister within three months
receiving notification
the assignment, the assignment shall be deemed to be agreed.
the Directive, the Minister shall have a period
three months from the date
consultations by the supervisory authorities
the home Member State within which to issue an opinion on or consent to the proposed assignment.
the period referred to in sub-article
this article, the assignment shall be deemed to be agreed.
sub-article
this Article by advertisement once in Iris Oifigiúil and once in each
two daily newspapers published in the State and published in the Member State where the risk is situated in accordance with the law
that Member State.
the insurance policies assigned. 57 Health Insurance. 57.
Part A
Annex I to these Regulations which serve as a partial or complete alternative to health insurance cover provided by the statutory social security system shall comply with the general good requirements
the State.
this Article provide for open enrolment, community rating and lifetime cover, in accordance with any enactment for the time being in force. 58 Sections 93 and 94
the Insurance Act, 1936 . 58. For the purposes
sections 93 and 94
the Insurance Act, 1936 , and whenever the context so requires, every insurance policy, bond, certificate or other instrument
insurance issued by an insurance undertaking or syndicate carrying on business either by way
services or by way
establishment in respect
risks situated in the State shall be deemed to be issued in the State, and all moneys which become or may become due and payable by such insurance undertaking or syndicate under such insurance policy shall be payable and paid in the State, unless the policy otherwise provides. 59 Penalties. 59.
the Minister thereunder.
these Regulations shall be guilty
an
fence and shall be liable on summary conviction to a fine not exceeding £1,500.
an
fence, a person continues to contravene the provision, that person shall be guilty
an
fence on each day on which the contravention continues and shall be liable on summary conviction to a fine not exceeding £1,500 for each such
fence.
fence under these Regulations is committed by a body corporate and is proved to have been so committed with the consent or connivance
or to be attributable to any neglect on the part
a director, manager, secretary or other
ficer
the body corporate, the director, manager, secretary or other
ficer or any person purporting to act in such capacity shall, as well as the body corporate, be guilty
an
fence and shall be liable to be proceeded against and punished accordingly.
fence under these Regulations may be brought by the Minister. 60 Fees. 60.
the applicant for such authorisation, be sent by post to or left with the Secretary
the Department
Enterprise and Employment and shall be accompanied by— ( a ) if the application is by an undertaking mentioned in Article 6
these Regulations, a fee
£4,000, ( b ) if the application is by an insurance undertaking mentioned in Article 6
these Regulations, a fee
£1,000, ( c ) if the application is by an insurance undertaking mentioned in Article 6
these Regulations which proposes to establish a branch outside the State, a fee
£2,000, ( d ) if the application is by an undertaking mentioned in Article 48
these Regulations, a fee
£2,000, ( e ) if the application is by an undertaking mentioned in Article 48
these Regulations, a fee
£1,000,
sub-article
this Article. ANNEX I A. Classification
risks according to classes
insurance 1. Accident — fixed pecuniary benefits — benefits in the nature
indemnity — combinations
the two — injury to passengers 2. Sickness — fixed pecuniary benefits — benefits in the nature
indemnity — combinations
the two 3. Land Vehicles (other than railway rolling stock) All damage to or loss
— land motor vehicles — land vehicles other than motor vehicles 4. Railway rolling stock All damage to or loss
railway rolling stock 5. Aircraft All damage to or loss
aircraft 6. Ships (sea, lake and river and canal vessels) All damage to or loss
— river and canal vessels — lake vessels — sea vessels 7. Goods in transit (including merchandise, baggage, and all other goods) All damage to or loss
goods in transit or baggage, irrespective
the form
transport 8. Fire and natural forces All damage to or loss
property (other than property included in classes 3,4,5,6 and 7) due to — fire — explosion — storm — natural forces other than storm — nuclear energy — land subsidence 9. Other damage to property All damage to or loss
property (other than property included in classes 3, 4, 5, 6 and 7) due to hail or frost, and any event such as theft, other than those mentioned under 8 10. Motor vehicle liability All liability arising out
the use
motor vehicles operating on the land (including carrier's liability) 11. Aircraft liability All liability arising out
use
aircraft (including carrier's liability) 12. Liability for ships (sea, lake and river and canal vessels) All liability arising out
the use
ships, vessels or boats on the sea, lakes, rivers or canals (including carrier's liability)
income (general) — bad weather — loss
benefits — continuing general expenses — unforeseen trading expenses — loss
market value — loss
rent or revenue — indirect trading losses other than those mentioned above — other financial loss (non-trading) — other forms
financial loss 17. Legal expenses Legal expenses and costs
litigation 18. Touring assistance Assistance for persons who get into difficulties while travelling, while away from home or while away from their permanent residence The risks included in a class may not be included in any other class except in the cases referred to in Part C. B. Description
authorisations granted for more than one class
insurance Where the authorisation simultaneously covers: ( a ) Classes Nos. 1 and 2, it shall be named "Accident and Health Insurance"; ( b ) Classes Nos. 1 (fourth indent), 3, 7 and 10, it shall be named "Motor Insurance"; ( c ) Classes Nos. 1 (fourth indent), 4, 6, 7 and 12, it shall be named "Marine and Transport Insurance"; ( d ) Classes Nos. 1 (fourth indent), 5, 7 and 11, it shall be named "Aviation Insurance"; ( e ) Classes Nos. 8 and 9, it shall be named "Insurance against Fire and other Damage to property"; ( f ) Classes Nos. 10, 11, 12 and 13, it shall be named "Liability Insurance"; ( g ) Classes Nos. 14 and 15, it shall be named "Credit and Suretyship Insurance"; ( h ) All classes, it shall be named at the choice
the Member State in question, which shall notify the other Member States and the Commission
its choice. C. Ancillary risks An undertaking obtaining an authorisation for a principal risk belonging to one class or a group
classes may also insure risks included in another class without an authorisation being necessary for them if they: — are connected with the principal risk, — concern the object which is covered against the principal risk, and — are covered by the contract insuring the principal risk. However, the risks included in classes 14, 15 and 17 in Part A
this Annex may not be regarded as risks ancillary to other classes. Nonetheless, the risk included in class 17 (legal expenses insurance) may be regarded as an ancillary risk
class 18 where the conditions laid down in the first paragraph are fulfilled, where the main risk relates solely to the assistance provided for persons who fall into difficulties while travelling, while away from their permanent residence. Legal expenses insurance may also be regarded as an ancillary risk under the conditions set out in the first paragraph where it concerns disputes arising out
, or in connection with, the use
sea-going vessels. D. Correspondence between classes
non-life insurance licensed under the Insurance Act, 1936 , and the classes
the Annex to Council Directive 73/239/EEC
insurance business licensed under Insurance Act, 1936 . Equivalent classes
insurance business specified under Section a
the Annex to Council Directive 73/239/EEC. Groups
Classes specified under Section B
the Annex to the directive into which those in Column
fice is situated in the State shall establish an adequate solvency margin in respect
its entire business in accordance with this Annex. 2. The solvency margin shall correspond to the assets
the insurance undertaking, free
all foreseeable liabilities, less any intangible items, and in calculating the amount
the solvency margin the following shall be considered: ( a ) the paid up share capital or, in the case
a mutual insurance undertaking, the effective initial fund plus any members' accounts which meet all the following criteria: (i) the memorandum and articles
association must stipulate that payments may be made from these accounts to members only insofar as this does not cause the solvency margin to fall below the required level, or, after the dissolution
the insurance undertaking, if all the insurance undertaking's other debts have been settled; (ii) the memorandum and articles
association must stipulate, with respect to any such payments for reasons other than the individual termination
membership, that the competent authorities must be notified at least one month in advance and can prohibit the payment within that period and (iii) the relevant provisions
the memorandum and articles
association may be amended only after the competent authorities have declared that they have no objection to the amendment, without prejudice to the criteria stated in (a) and (b); ( b ) one-half
the unpaid share capital or the initial fund, once the paid-up part reaches 25 per cent.
that share capital or fund, ( c ) reserves (including both statutory reserves and free reserves) not corresponding to underwriting liabilities, ( d ) any carry-forward
profits, ( e ) in the case
a mutual or mutual-type association with variable contributions, any claim which it has against its members by way
a call for supplementary contribution, within the financial year, up to one-half
the difference between the maximum contributions and the contributions actually called in, and subject to a limit
50 per cent.
the margin, ( f ) at the request
, and upon proof being shown to the Minister by the insurance undertaking, any hidden reserves resulting from underevaluation
assets insofar as such hidden reserves are not
an exceptional nature. ( g ) with the consent
the Minister, preferential share capital and subordinated loan capital up to 50 per cent.
the margin, no more than 25 per cent.
which shall consist
subordinated loans with a fixed maturity, or fixed-term preferential share capital, if the following minimum criteria are met: (i) in the event
the bankruptcy or liquidation
the insurance undertaking, binding agreements must exist under which the subordinated loan capital or preferential share capital ranks after the claims
all other debts outstanding at the time have been settled. Subordinated loan capital must fulfil the following additional conditions: (ii) only fully paid-up funds may be taken into account; (iii) for loans with a fixed maturity, the original maturity must be at least five years. No later than one year before the repayment date the insurance undertaking must submit to the competent authorities for their approval a plan showing how the solvency margin will be kept at or brought to the required level at maturity, unless the extent to which the loan may rank as a component
the solvency margin is gradually reduced during at least the last five years before the repayment date. The Minister may authorise the early repayment
such loans provided application is made by the issuing insurance undertaking and its solvency margin will not fall below the required level; (iv) loans the maturity
which is not fixed must be repayable only subject to five years' notice unless the loans are no longer considered a component
the solvency margin or unless the prior consent
the Minister is specifically required for early repayment. In the latter event the insurance undertaking must notify the Minister at least six months before the date
the proposed repayment, specifying the actual and required solvency margins both before and after that repayment. The Minister shall authorise repayment only if the insurance undertaking's solvency margin will not fall below the required level; (v) the loan agreement must not include any clause providing that in specified circumstances, other than the winding-up
the insurance undertaking, the debt will become repayable before the agreed repayment dates; (vi) the loan agreement may be amended only after the competent authorities have declared that they have no objection to the amendment; ( h ) securities with no specified maturity date and other instruments that fulfil the following conditions, including preferential shares other than those mentioned in the preceding indent, up to 50 per cent.
the margin for the total
such securities and the subordinated loan capital referred to in the preceding indent: ( a ) they may not be repaid on the initiative
the bearer or without the prior consent
the competent authority; ( b ) the contract
issue must enable the insurance undertaking to defer the payment
interest on the loan; ( c ) the lender's claim on the insurance undertaking must rank entirely after those
all non-subordinated creditors; ( d ) the documents governing the issue
the securities must provide for the loss-absorption capacity
the debt and unpaid interest, while enabling the insurance undertaking to continue its business; ( e ) only full paid-up amounts may be taken into account. 3. ( a ) Subject to sub-paragraph (b), the solvency margin shall be determined on the basis either
the annual amount
premiums or contributions, or
the average burden
claims for the preceding three financial years. ( b ) In the case
an insurance undertaking which substantially underwrites only one or more
the risks
credit, storm, hail, frost, the preceding seven years shall be taken as the period for the reference for the average burden
claims. 4. Subject to the provisions
Part B
this Annex the amount
the solvency margin shall be equal to the higher
the following two results:— ( a ) First result (premium basis): (i) the premiums or contributions (inclusive
charges ancillary to premiums or contributions) due in respect
all direct business in the last financial year for all financial years, shall be aggregated; (ii) to this aggregate there shall be added the amount
premiums accepted for all reinsurance in the last financial year; (iii) from this sum there shall be deducted the total amount
premiums or contributions cancelled in the last financial year, as well as the total amount
taxes and levies pertaining to the premiums or contributions entering into the aggregate; (iv) the amount so obtained shall be divided into two portions, the first portion extending up to 10 million units
account, the second comprising the excess: 18 per cent. and 16 per cent.
these portions respectively shall be calculated and added together; (
the last financial year between the amount
claims less reinsurance recoverable and the gross amount
claims, but this ratio may in no case be less than 50 per cent. ( b ) Second result (claims basis): (i) the amounts
claims paid in respect
direct business (without any deduction
claims recoverable from reinsurers and retrocessionaires) in the periods referred to in paragraph 4
this Annex shall be aggregated; (ii) to this aggregate there shall be added the amount
claims paid in respect
reinsurance or retrocessions accepted during the same periods; (iii) to this sum there shall be added the amount
provisions or reserves for outstanding claims established at the end
the last financial year both for direct business and for reinsurance acceptances; (iv) from this sum there shall be deducted the amount
recoveries effected during the periods referred to in paragraph 3
this Annex; (v) from the sum then remaining there shall be deducted the amount
provisions or reserves for outstanding claims established at the commencement
the second financial year preceding the last financial year for which there are accounts, both for direct business and for reinsurance acceptances; (vi) one-third or one-seventh
the amount so obtained according to the period
reference established in paragraph 3
this Annex shall be divided into two portions, the first extending up to seven million units
account and the second comprising the excess; 26 per cent. and 23 per cent.
these portions respectively shall be calculated and added together; (vii) the second result shall be obtained by multiplying the sum calculated in accordance with this paragraph by the ratio existing in respect
the latest financial year between the amount
claims less reinsurance recoverable and the gross amount
claims, but this ratio may in no case be less than 50 per cent. 5. The fractions applicable to the portions referred to in paragraph 4
this Annex shall each be reduced to a third in the case
health insurance practised on a similar technical basis to that
life assurance, if— ( a ) the premiums paid are calculated on the basis
sickness tables according to the mathematical method applied in life insurance; ( b ) a reserve is set up for increasing age; ( c ) an additional premium is collected in order to set up a safety margin
an appropriate amount; ( d ) the insurer may only cancel the contract before the end
the third year
insurance at the latest; ( e ) the contract provides for the possibility
increasing premiums or reducing payment even for current contracts. ANNEX II PART B Guarantee Fund 1. This Part
the Annex shall be subject to the provisions
the European Communities (Non-Life Insurance) (Amendment) Regulations, 1991 ( S.I. No. 5
1991 ). 2. Subject to Article 4, the amount
the guarantee fund shall be equal to one-third
the solvency margin required to be established by Part A
this Annex. 3. The amount
the guarantee fund shall not be less than— ( a ) 1,400,000 ECU in a case where all or some
the risks included in that class are covered, as respects an undertaking for which the annual amount
premiums
contributions due in the class listed in Part A
Annex I at reference number 14 for each
the preceding three financial years exceeded 2,500,000 ECU or 4 per cent.
the total amount
premiums or contributions receivable by that undertaking, ( b ) 400,000 ECU in a case where all or some
the risks included in any one
the classes listed in Part A
Annex I at reference numbers 10, 11, 12, 13 and 15 and (as respects undertakings other than those referred to in paragraph (a)) reference number 14 are covered, and ( c ) 400,000 units
account in a case where all or some
the risks included in one
the classes listed in Part A
Annex I at reference numbers 10, 11, 12, 13, 14, or 15 are covered, ( d ) 300,000 units
account in a case where all or some
the risks included in one
the classes listed in Part A
Annex I at reference numbers 1, 2, 3, 4, 5, 6, 7, 8, 16 and 18 are covered, ( e ) 200,000 units
account in a case where all or some
the risks included in one
the classes listed in Part A
Annex I at reference numbers 9 or 17 are covered. 4. Where the business carried on by an insurance undertaking covers several classes or several risks, only that class or risk for which the highest amount is required shall be taken into account in establishing the appropriate minimum amount under Article 3
Part B
this Annex. 5. In the case
mutual associations and mutual type associations, the amount
the minimum guarantee fund required by Article 3
Part B
this Annex may be reduced by one-fourth on application to the Minister. 6. ( a ) Where an insurance undertaking carrying on credit insurance is required to increase the fund referred to in Article 3 (c) to 1,400,000 ECU, such undertaking shall have: (i) a period
three years in which to bring the fund up to 1,000,000 ECU, (ii) a period
five years in which to bring the fund up to 1,200,000 ECU, (iii) a period
seven years in which to bring the fund up to 1,400,000 ECU, ( b ) The periods referred to in paragraph (a)
this sub-article shall run from the date from which the conditions referred to in Article 3 (a) are fulfilled. ANNEX III VALUATION
ASSETS
the first Council Directive on the co-ordination
laws, regulations and administrative provisions relating to the taking up and pursuit
the business
credit institutions (77/780/EEC)
the following— ( a ) the Central Bank
a Member State, ( b ) the European Bank for Reconstruction and Development, ( c ) the European Investment Bank,
the following— ( a ) securities
the Government (including Savings Certificates), ( b ) securities guaranteed as to capital and interest by the Government, ( c ) stocks, securities or mortgages issued by and charged on all or any
the property or revenues
a local authority in the State, ( d ) any loan to, or deposit with, an approved credit institution or an approved financial institution, ( e ) any securities issued or guaranteed by, and any deposits
cash with any government, public or local authority or nationalised industry or undertaking, which belongs to Zone A as defined in the Council Directive on a solvency ratio for credit institutions (89/647/EEC)
which one or more Member States are members; "asset" includes part
an asset; "building society" means a bui
AI explanation based on the official legal text. Indicative, not a substitute for legal advice.