L.S. 403.04(R) Regolamenti dwar il-Kummerċ ta' l-Assigurazzjoni (Drittijiet) Imħassrin bl-Avviż Legali 368 tal-2024

(1)requires: Interpretation. Amended by: L.N. 397 of 2015. In these regulations, unless the context otherwise "the Act" means the Insurance Business Act; Cap. 403. "authorisation" means an authorisation issued or held, or to be issued or held, under the Act to carry on business of insurance or to carry on business as a reinsurance special purpose vehicle or to act as an approved auditor; "branch" includes (

1. a)in the case of an undertaking whose head office is in Malta carrying on business of insurance, any premises of the undertaking, other than the undertaking’s principal place of business, from where the undertaking carries on business of insurance; and (
2. b)in the case of a third country insurance undertaking or a third country reinsurance undertaking carrying on business of insurance in or from Malta, any premises of the undertaking in Malta, other than the undertaking’s principal place of business, from where the undertaking carries on business of insurance; "cell" shall have the same meaning as is assigned to it in the Companies Act (Cell Companies Carrying on Business of Insurance) Regulations; "cell company" shall have the same meaning as is assigned to it in the Companies Act (Cell Companies Carrying on Business of Insurance) Regulations; "competent authority" means the Malta Financial Services Authority established by the Malta Financial Services Authority Act; "European insurance undertaking" shall have the same meaning as is assigned to it in the European Passport Rights for Insurance Undertakings Regulations; "gross premiums" means premiums after deduction of discounts, refunds and rebates of premium but before deduction of premiums for reinsurance ceded and before deduction of commissions *These Regulations have been repealed by Legal Notice 368 of 2024. †see regulation 1

(2)of these Regulations, as originally promulgated. S.L. 386.10 S.L. 386.10 Cap. 330. S.L. 403.14 2 [ S.L.403.04 INSURANCE BUSINESS (FEES) payable by the undertaking; "gross premiums receivable" means (

1. a)in the case of an undertaking whose head office is in Malta, carrying on business of insurance, the gross amount of premiums written in respect of its aggregate business of insurance; (
2. b)in the case of a third country insurance undertaking or a third country reinsurance undertaking, carrying on business of insurance in Malta through a branch, the gross amount of premiums written in respect of the aggregate business of insurance carried on in Malta by the branch; (
3. c)in the case of an undertaking holding a permit issued under article 39 of the Act servicing solely and exclusively its long term business carried on in or from Malta, the gross amount of premiums written in respect of its aggregate business serviced by that undertaking in Malta in accordance with that permit, and in each case, required to be included in the annual information to be submitted in accordance with Insurance Rules issued pursuant to article 32 of the Act; S.L. 386.13 "incorporated cell" shall have the same meaning as is assigned to it in the Companies Act (Incorporated Cell Companies Carrying on Business of Insurance) Regulations; S.L. 386.13 "incorporated cell company" shall have the same meaning as is assigned to it in the Companies Act (Incorporated Cell Companies Carrying on Business of Insurance) Regulations; S.L. 386.13 "non-cellular company” shall have the same meaning as is assigned to it in the Companies Act (Incorporated Cell Companies Carrying on Business of Insurance) Regulations; "permit" means a permit issued or held, or to be issued or held, pursuant to or under any provision of the Act; S.L. 403.19 "reinsurance special purpose vehicle" shall have the same meaning as is assigned to it in the Reinsurance Special Purpose Vehicles Regulations; "to service" in relation to unexpired policies, includes the runoff of such policies; "the specified date" shall be construed in accordance with article 40 of the Act, and words and expressions used in these regulations which are also used in the Act but which are not defined herein shall have the same meaning as in the Act.

(2)In these regulations, unless explicitly excluded, business of insurance includes business of reinsurance thereof. INSURANCE BUSINESS (FEES) 3. [ S.L.403.04 Any person (

1. a)applying for an authorisation in respect of a matter of a description specified in the First Column of Group A or Group B or Group D of Part I of the Schedule; or 3 Payment of application fees. Amended by: L.N. 397 of 2015. (
2. b)applying for a permit in respect of a matter of a description specified in the First Column of Group C of Part I of the Schedule; or (
3. c)applying for approval in respect of a matter of a description specified in the First Column of Group E of Part I of the Schedule, shall upon submission of the application, irrespective of whether the application is eventually accepted or not, pay to the competent authority the fee relating to the matter of the description to which the application relates specified in the Second Column of the respective Group of that Part of the Schedule subject, where applicable, to the payment of the minimum fee relating to the matter of that description specified in the Third Column of that respective Group: Provided that, where a person is already authorised to carry on business of insurance and such person applies for the authorisation of additional classes of business in the same business as already authorised, the applicable fee shall be that relating to the matter of the description to which the application relates as specified in the Second Column of Part I of the Schedule, and the minimum fee shall not apply in such case. 4. Any person who, on the 31st December of each year, holds an authorisation or permit in respect of a matter of a description specified in Part II of the Schedule shall, during the month of January of the following year, pay to the competent authority the annual supervisory or permit fee, as the case may be, in respect of a matter of that description held by the person concerned specified in the Second Column of Part II of the Schedule: Payment of annual supervisory and permit fees. Amended by: L.N. 397 of 2015. Provided that, the first annual supervisory fee shall be due immediately once an authorisation or permit is granted. The first annual supervisory fee payable shall be proportionate to the period remaining between the date of granting of the authorisation or permit and the end of that calendar year. 5.

(1)Subject to the provisions of sub-regulations

(2)and

(4), an authorised insurance undertaking and an authorised reinsurance undertaking carrying on business of insurance which is required to submit annual quantitative templates in accordance with Insurance R u l e s i s s u e d p u r s u a n t t o ar t i c l e 3 2 o f th e A c t, s ha ll , u p on submission of the annual quantitative templates, pay to the competent authority the annual supervisory fee established in Part III of the Schedule on the basis of the gross premiums written declared in the annual quantitative templates: Provided that, the first annual supervisory fee shall be due immediately once an authorisation is granted and shall be equal to a proportion of the minimum fee relating to the matter of that description specified in the Third Column of Part I of the Schedule. Payment of annual supervisory fees. Amended by: L.N. 397 of 2015. 4 [ S.L.403.04 INSURANCE BUSINESS (FEES) The first annual supervisory fee due shall be proportionate to the period remaining between the date of the granting of the authorisation and the date established for the submission of the annual quantitative templates in accordance with Insurance Rules issued pursuant to article 32 of the Act..

(2)This regulation does not apply (

1. a)in the case of a captive insurance undertaking or captive reinsurance undertaking; (
2. b)in the case of an undertaking whose business is servicing solely and exclusively general business.

(3)For the purposes of this regulation and Part III of the Schedule, servicing, in relation to general business, is deemed to be effected on the first day immediately following the date of the first anniversary of the specified date shown in the permit to which the business serviced, or being serviced, relates.

(4)In the case of an undertaking whose business is servicing solely and exclusively long term business: (

1. a)where the gross premiums written by the undertaking in respect of that business for the previous calendar year falls below the amount of and including twentyfive thousand euro (€25,000), these regulations do not apply; (
2. b)where the gross premiums written by the undertaking in respect of that business for the previous calendar year exceed the amount of twenty-five thousand euro (€25,000), the fees under Part III of the Schedule shall apply. Fees payable by Mutual Associations. Fees payable by European insurance undertakings. Amended by: L.N. 397 of 2015. S.L. 403.14 6. (Deleted by Legal Notice 397 of 2015). 7. There shall be paid to the competent authority by any European insurance undertaking establishing a branch in Malta under regulation 3 of the European Passport Rights for Insurance and Reinsurance Undertakings Regulations, the annual supervisory fee specified in Part IV of the Schedule. Such annual supervisory fee shall be paid during the month of June of each year and shall be calculated on the gross premiums written attributable to the business of insurance carried on in Malta through the establishment of a branch during the last calendar year: Provided that, the first annual supervisory fee shall be due immediately upon the establishment of a branch in Malta. The first annual supervisory fee payable shall be equal to a proportion of the minimum fee established in Part IV of the Schedule. The fee payable shall be proportionate to the period remaining between the date of the establishment of the branch and the end of the following June. INSURANCE BUSINESS (FEES) [ S.L.403.04 8.

(1)Where an application is made by a company which will, when formed or constituted, be authorised or, when converted, is an insurance or reinsurance undertaking authorised under article 7 of the Act, or where an application is submitted by the cell company for the creation of a new cell to carry on business of insurance pursuant to the Companies Act (Cell Companies Carrying on Business of Insurance) Regulations, the applicant shall pay to the competent authority (

1. a)upon submission of the application to carry on business of insurance as a cell company, irrespective of whether the application is eventually accepted or refused, the fee relating to the matter of the description to which the application relates specified in the Second Column of the respective Group of Part I of the Schedule; (
2. b)upon submission of the application for the creation of a cell, irrespective of whether the application is eventually accepted or refused, the fee relating to the matter of the description to which the application relates specified in the Second Column of the respective Group of Part I of the Schedule.

(2)When the annual quantitative templates are forwarded by the cell company in accordance with Insurance Rules issued under article 32 of the Act, there shall be paid by the said cell company to the competent authority the annual supervisory fee in the following manner: (

1. a)if the cell company does not issue insurance contracts from the non-cellular section of the cell company, the fee specified in the Second Column of Part II of the Schedule and, in addition, where such company carries on business of insurance through its cells, for each cell: (
2. i)where the cell carries on business of insurance, other than business of affiliated insurance, the fee specified in the Second Column of Part III of the Schedule; (
3. ii)where the cell carries on exclusively business of affiliated insurance, fee specified in the Second Column of Part II of the Schedule; and (
4. b)if the cell company issues insurance contracts from the non-cellular section of the cell company, the fee specified in the Second Column of Part III of the Schedule, and in addition, where such company carries on business of insurance through its cells, for each cell: (
5. i)(
6. ii)where the cell carries on business of insurance, other than business of affiliated insurance, the fee specified in the Second Column of Part III of the Schedule; where the cell carries on exclusively business of affiliated insurance, fee specified in the Second 5 Fees payable by cell companies. Amended by: L.N. 397 of 2015. S.L. 386.10 6 [ S.L.403.04 INSURANCE BUSINESS (FEES) Column of Part II of the Schedule: Provided that, in each case, the first annual supervisory fee as set out in this sub-regulation shall be due immediately once an authorisation is granted and shall be equal to a proportion of the fee established under the Second Column of Part II of the Schedule, or the minimum fee under Part III of the Schedule, as the case may be. The first annual supervisory fee due shall be proportionate to the period remaining between the date of the granting of the authorisation and the date established for the submission of the annual quantitative templates. S.L. 386.10 Fees payable by incorporated cell companies and incorporated cells. Amended by: L.N. 397 of 2015. S.L. 386.13

(3)For the purposes of sub-regulation

(2), "business of affiliated insurance" shall have the same meaning as is assigned to it by regulation 15 of the Companies Act (Cell Companies Carrying on Business of Insurance) Regulations. 9.

(1)Where, pursuant to the Companies Act (Incorporated Cell Companies Carrying on Business of Insurance) Regulations an application is made by (

1. a)a company which shall be, when formed or constituted, authorised or, when transformed, authorised to carry on business of insurance as an incorporated cell company or an incorporated cell in terms of article 7 of the Act; or (
2. b)an incorporated cell company having no cells or an incorporated cell which shall be, when transformed, a non-cellular company authorised to carry on business of insurance, the applicant shall pay to the co mp eten t au tho ri ty the fees applicable in terms of regulation 3. S.L. 386.13

(2)Where, pursuant to the Companies Act (Incorporated Cell Companies Carrying on Business of Insurance) Regulations, an application is made by an incorporated cell company having no incorporated cells which shall be, when transformed, authorised as a cell company, the company shall pay to the competent authority the fees specified in regulation 3.

(3)When annual quantitative templates are forwarded in accordance with Insurance Rules issued under article 32 of the Act by an incorporated cell company and an incorporated cell, the incorporated cell company and incorporated cell shall pay the competent authority the fees determined in regulation 5. Non-refundable fees. 10. None of the fees established as due in terms of these regulations shall be refundable. Nor shall they be prorated, other than the first annual supervisory fee, as established in regulations 4, 5, 7 and 8, and the first annual permit fee established in regulation 6. [ S.L.403.04 INSURANCE BUSINESS (FEES) SCHEDULE (Regulations 3 to 9) Amended by: L.N. 397 of 2015. Application, Permit and Annual Supervisory Fees Part I Application and Permit Fees First Column Group A Application for authorisation to carry on 1. Business of insurance only/ business of reinsurance only/ business of insurance and reinsurance: (

1. a)Long term business (
2. b)General business 2. Business carried on by a captive insurance undertaking and captive reinsurance undertaking 3. Business of reinsurance in the classes already authorised for business of insurance or business of insurance in t h e classes already authorised for business of reinsurance: (
3. a)Long term business (
4. b)General business Group B Application for authorisation to act as an approved auditor (
5. a)Individual (
6. b)Audit firm Group C Application for Permits to 1. Open a branch in Malta 2. Cease to carry on and subsequently to service (
7. a)Business of insurance only/ bu s i n e s s o f r e in s u r a n c e o n l y/ business of insurance and reinsurance: (
8. i)Long term business (
9. ii)General business (
10. b)Business carried on by a captive insurance undertaking and captive reinsurance undertaking Second Column Fees € Third Column Minimum Fee € 500 per class 300 per class 5,000 5,000 3,500 250 per class 150 per class 2,500 1,750 300 750 500 400 per Class 150 per Class 2,500 2,000 2,000 7 [ S.L.403.04 8 INSURANCE BUSINESS (FEES) Group D Application for authorisation to 1. Carry on business of insurance as a cell company 2. Create of a new cell to carry on business of insurance 3. Carry on business as a reinsurance special purpose vehicle 4. Assume additional risk transfer arrangements by an authorised reinsurance special purpose vehicle Group E Approval of a scheme to transfer general business 6,500 2,500 1,000 per contract 1,000 per contract 6,500 0.02% of Gross Premium of the last financial year 3,250 Part II Annual Supervisory and Annual Permit Fees First Column 1. 2. 3. 4. 5. 6. 7. Annual supervisory fee for authorisation to carry on business by a captive insurance undertaking and captive reinsurance undertaking Annual supervisory fee for Cell companies that do not issue insurance contracts from the non-cellular section of the cell company Annual supervisory fee for Cells carrying on exclusively business of affiliated insurance Annual supervisory fee for Reinsurance Special Purpose Vehicles Annual supervisory fee to continue to act as an approved auditor: (
11. a)Individual (
12. b)Audit firm Permit fees to service: (
13. a)General business (
14. b)Business carried on by a captive insurance undertaking and captive reinsurance undertaking (
15. c)Business of reinsurance (solely and exclusively) Permit fees to maintain a branch in Malta Second Column € 6,500 3,250 3,250 6,500 300 750 2,000 2,000 2,000 500 INSURANCE BUSINESS (FEES) [ S.L.403.04 Part III Annual Supervisory fees for undertakings required to submit annual quantitative templates First Column Gross Premium Written Up to and including €1 million Over €1 million up to and including €2.5 million Over €2.5 million up to and including €3.5 million Over €3.5 million up to and including €5 million Over €5 million up to and including €7.5 million Over €7.5 million up to and including €12 million Over €12 million up to and including €25 million Over €25 million up to and including €35 million Over €35 million up to and including €50 million Over €50 million up to and including €70 million Over €70 million up to and including €100 million Over €100 million up to and including €150 million In excess of €150 million Second Column € 3,250 (minimum fee) 7,500 8,500 10,000 14,000 16,250 19,500 26,000 29,000 31,500 36,500 43,000 50,000 Part IV Annual Supervisory fees for European Insurance Undertakings First Column Gross Premium Written Up to and including €2.5million Over €2.5 million up to and including €3.5 million Over €3.5 million up to and including €5 million Over €5 million up to and including €7.5 million Over €7.5 million up to and including €12 million Over €12 million up to and including €25 million In excess of €25 million Second Column € 6,000 (minimum fee) 7,000 8,250 11,500 13,000 17,000 25,000 9