Registrar-Generals-Department-Annual-report-1972-1973 — Page 40

Companies Acts 1958-1967 in Great Britain, or in the case of fire and marine insurance by maintaining similar deposits elsewhere in the Commonwealth. The approval of the Governor in Council must be obtained for transacting motor vehicle third party risks insurance business. Part II of Table XI lists the Ordinances and subsidiary legislation relating to insurance companies.

98. In a statement in the Legislative Council on 24th May 1972 the Financial Secretary said that the financial requirements in some Ordinances relating to insurance needed to be strengthened in order to provide greater protection to the public. The Financial Secretary indicated that in addition to giving consideration to interim legislation Government intended to undertake a review of the whole field of insurance legislation including an assessment of the financial require- ments to be met by all insurance companies.

99. Hong Kong is a great insurance centre, in which companies from all over the world compete with the local companies, old and new, for the large amount of business available. Since the only com- panies regulated by statute are those conducting life, fire, marine, and motor vehicle third party risks business, records are at present kept only of the companies conducting those classes of business. However, as there can be few companies which conduct only other classes of business, the records kept must include practically all companies. As at 31st March 1973 there were 233 insurance companies conducting the regulated classes of business. Table XVIII gives an analysis of these according to country of incorporation and class of business transacted. As will be seen from this 65 companies were domiciled in the United Kingdom, 64 in Hong Kong, and 39 in the United States. 77 com- panies transact life business, 148 fire, 145 marine, and 95 motor vehicle third party risks business. The 233 companies include 19 which com- menced doing these classes of business during the year. Most of the foreign companies operate through agents, but some have established their own branch offices in the Colony.

Deposits by Fire, Marine and Life Insurance Companies

100. The deposits made by 71 insurance companies with the Registrar of Companies under the Fire and Marine Insurance Com- panies Deposit Ordinance were valued as at 31st March 1973 at over $12.04m, and those made by 57 companies under the Life Insurance Companies Ordinance at over $7.81m.

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