# The Friendly Societies (Insurance Business) (Amendment) Regulations 1996, Paragraph 4


The permitted counterparty exposure limit is—
(a) where the counterparty is an individual or an unincorporated body of persons, 5 per cent. of the business amount;
(b) where the counterparty is a counterparty of the type mentioned in sub-paragraph (e) in the definition of counterparty, 5 per cent. of the business amount;
(c) where the counterparty is a body corporate or group, each of—
(i) 20 per cent. of the business amount;
(ii) 10 per cent. of the business amount where the exposure arises otherwise than by reason that debts are due, or are to become due, as a result of short term deposits made with an approved credit institution; and
(iii) 5 per cent. of the business amount where the exposure is other than to bodies which are approved counterparties.

---
Source: https://www.legislation.gov.uk/uksi/1996/3008/schedule/1/paragraph/4 (the official version)
Page: https://openlegislation.uk/friendly-societies-insurance-business-amendment-regulations-1996/schedule-1/paragraph-4
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.