1964_INSURANCE_COMPANIES_ORDINANCE — Page 16

1

1988 Ed.]

Insurance Companies

[CAP. 41

15

(b) if the insurer carries on long term business, an actuary possessing the prescribed qualifications or who is acceptable to the Insurance Authority, as actuary to the insurer,

and whenever any such appointment comes to an end the insurer shall as soon as practicable make a fresh appointment.

(2) A first appointment made-

(a) under subsection (1)(a) shall be made-

(i) if the insurer is carrying on insurance business at the commence- ment of this Ordinance, within 1 month from such commencement; or (ii) if the insurer begins to carry on insurance business after such commencement, within 1 month from beginning to do so; and

(b) under subsection (1)(b) shall be made-

(i) if the insurer is carrying on long term business at the commence- ment of this Ordinance, within 1 month from such commencement;

(ii) if the insurer begins to carry on long term business after such commencement, within 1 month from beginning to do so.

(3) An insurer making an appointment under subsection (1) shall within 1 month from making the appointment serve on the Insurance Authority a notice in writing stating that fact and the name and qualifications of the person appointed.

(4) Whenever an appointment made by an insurer under subsection (1) comes to an end, the insurer shall within 1 month from the ending of the appointment serve on the Insurance Authority a notice in writing stating that fact and the name of the person concerned.

(5) Any insurer which fails to comply with any of the provisions of this section commits an offence and is liable to a fine of $10,000.

Keeping and preserving of proper books of account

16. (1) Without prejudice to the Companies Ordinance (Cap. 32), every insurer shall cause to be kept proper books of account which may be kept either in a legible form or in a non-legible form capable of being reproduced in a legible form; but where any such books are kept otherwise than by making entries in a bound book, adequate precautions shall be taken for guarding against falsification and facilitating its discovery.

(2) Proper books of account, for the purposes of this section, are books of account which (in themselves or, if kept under subsection (1) otherwise than in a legible form, as reproduced in a legible form) sufficiently exhibit and explain all transactions entered into by the insurer in the course of any business carried on by the insurer.

(3) If any books of account required to be kept by this section are kept by an insurer by recording the matters in question otherwise than in a legible form, any power conferred by this Ordinance to require production of such books or to take copies thereof or extracts therefrom shall be construed as including power to require production of, and to take away, a reproduc- tion of the recording or of the relevant part of it in a legible form.

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