OpenLegislation

Article 12 Aid towards the payment of insurance premiums

United Kingdom

Original text. Later amendments are not shown.

1.

Aid for insurance premiums shall be compatible with the common market within the meaning of Article 87(3)(c) of the Treaty and shall be exempt from the notification requirement of Article 88(3) of the Treaty if it fulfils the conditions set out in paragraphs 2 and 3 of this Article.

2.

The gross aid intensity must not exceed:

(a)

80 % of the cost of insurance premiums, where the policy specifies that it provides cover only against losses caused by adverse climatic events which can be assimilated to natural disasters;

(b)

50 % of the cost of insurance premiums, where the policy specifies that it provides cover against:

  1. (i)

    losses referred to in point (a) and against other losses caused by climatic events; and/or

  2. (ii)

    losses caused by animal or plant diseases or pest infestations.

3.

The aid must not constitute a barrier to the operation of the internal market for insurance services. The aid must not be limited to insurance provided by a single insurance company or group of companies, or be made subject to the condition that the insurance contract be taken out with a company established in the Member State concerned.