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the business of insurance (other than life insurance) shall be
ascertained by taking the gross premiums from insurance business in
the Colony (less any premiums returned to the insured and premiums paid
on re-insurance) and deducting therefrom a reserve for unexpired risks
at the percentage adopted by the company in relation to its operations
as a whole for such risks at the end of the period of which the profits
are being ascertained, and adding thereto a reserve similarly
calculated for unexpired risks outstanding at the commencement of such
period, and from the net amount so arrived at deducting the actual
losses (less the amount recovered in respect thereof under re-insurance),
the agency expenses in the Colony, and a fair proportion of the
expenses of the head office of the company, due account being taken in
each case by set-off against such expenses of any income or profits
other than premiums.
(3) Where the Commissioner is satisfied that by reason of the
limited extent of the business transacted in the Colony by a non-
resident insurance oœpany it would be unreasonable to require the co-
pany to furnish the particulars necessary for the application of sub-
sections (1) and (2), he may, notwithstanding the provisions of those
sub-sections, permit the profits of the company to be ascertained
by reference to the proportion of the total profits and income of the
company corresponding to the proportion which its premiums from
insurance business in the Colony bear to its total premiums, or on
any other basis which appears to him to be equitable.
(4) For the purposes of this section "investment income of the
Life Insurance Fund" means, in the case of a company whose sole business
is life insurance, the whole of its income from investments, and, in
the case of any other company, such part of its income from investments
as appears fairly attributable to its life insurance business,
25.(1) Where a body of persons, whether corporate or unincorporate,
carries on a club or similar institution and receives from its members
not less than half of its gross receipts on revenue account (including
entrance fees and subscriptions), it shall not be deemed to carry
business; but where less than half of its gross receipts are
/received