1964_INSURANCE_COMPANIES_ORDINANCE — Page 63

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CAP. 41]

Insurance Companies

[1988 Ed.

Provided that-

(a) the value of assets to be identified shall be not less than the aggregate of $2,000,000 or its equivalent and the amount of the identified liabilities; and

(b) where the value of assets so identified is less than the aggregate of the values of the assets which were already identified as attributable to the insurer's long term business on the base date, the latter shall be taken as the identified assets.

32. Assets and liabilities which were already identified as attributable to the insurer's long term business on the base date or which are to be so identified on the base date shall be identified as attributable to its long term business on the base date.

33. Assets acquired after the base date, to the extent that they are acquired out of receipts of the insurer in respect of its long term business, shall be identified to that extent as attributable to the insurer's long term business.

34. Where any assets which were identified as attributable to the insurer's long term business in accordance with the above requirements have been disposed of, the proceeds of that disposal shall be identified as assets attributable to the insurer's long term business.

35. Any income accruing from any asset of the insurer which falls to be identified as an asset attributable to the insurer's long term business shall also be so identified.

36. (1) Every insurer to which this Part of this Schedule applies shall, not later than 6 months after the base date, deposit with the Insurance Authority a certificate that the insurer has in accordance with this Part-

(a) identified in accordance with the provisions of paragraphs 30 and 31 any assets and liabilities which were not already identified on the base date as attributable to the insurer's long term business;

(b) identified as assets attributable to the insurer's long term business all those assets which are required to be so identified in accordance with paragraph 32; and

(c) established and maintained those books of account and other records which are required to be established and maintained by section 22 of this Ordinance,

and that certificate shall be signed by at least 2 directors of the insurer and the chief executive thereof or, in the case of an insurer which has no chief executive, by at least 2 directors and the secretary thereof:

Provided that if in any case it is made to appear to the Insurance Authority that the circumstances are such that a longer period than 6 months should be allowed for depositing the certificate, he may extend that period by such period not exceeding 3 months as he thinks fit.

(2) There shall be annexed to every such certificate a report signed by the appointed auditor stating whether-

(a) the insurer has complied with subparagraph (1)(c) and (b); and

(b) in his opinion, the insurer has complied with subparagraph (1)(c).

PART 7:

INFORMATION TO BE FURNISHED FOLLOWING ACTUARIAL INVESTIGATION UNDER SECTION 18 OR 32 OF THIS ORDINANCE

37. The following forms and supplementary information shall be furnished in support of any actuarial valuation required to be produced under section 18 or 32 of this Ordinance, and the information hereinafter required shall be furnished for each type of business set out in paragraph 38(1) of this Schedule for each fund and in total.

38. (1) There shall be furnished in the Form L1 below a revenue account for the period since the last valuation or, in the case of an insurer which has made no valuation, since the commencement of the business, for each of the following types of business (i) to (vi) (which correspond to the classes of long term business in Part 2 of the First Schedule)-

(i) life and annuity business;

(ii) marriage and birth business;

(iii) linked long term business;

(iv) permanent health business;

(v) tontines;

(vi) capital redemption business:

Provided that if the appointed actuary certifies that the effect of business under any of the types of business (ii) to (v) above is not material, such business may be accounted for under (i) above.