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the Royal Cipher. Despite some reservations about specific

aspects of individual programmes, approval has not been withheld

except where the design or denomination was felt to be

inappropriate, and the general willingness to accommodate most

proposals may have been taken by the dependencies to represent

tacit approval of the entire operation. It is for consideration

that the design approval procedure could be used to limit the number of coins in future programmes, if this is an objective that is accepted.

(13) Insurance against redemption through commercial insurers. This

remains a possibility, and it could be further investigated if

desired. But preliminary enquiries were not encouraging.

Annual premiums would erode royalties, whether paid in respect

of individual territorial policies, or as contributions to some

form of central fund managed by or on behalf of the dependencies collectively or by HMG. But it would take time for the premiums

and the income on investments bought by the premiums to build up

a fund of adequate size, and meanwhile the risk would persist.

Single premium policies would be expensive; and there is no

guarantee that the insurance company would stay in business long

enough to meet a claim. Policies would not necessarily be

automatically renewable. Further, insurance would fit better

with a finite risk and is hardly compatible with a continuous

expansion of issues. Indeed the existence of insurance might of

itself encourage issuing authorities to embark on more ambitious

programmes.

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