Regulation 3 Application

These Regulations shall apply to every society which carries on long term business in the United Kingdom, other than–

(a)

a society whose business is limited to the provision of benefits varying according to the resources available to meet them, each member being required to contribute at an appropriate flat rate; or

(b)

a society whose business is limited to the provision of benefits in the event of death, where the benefit is money paid for the funeral costs for a single death or where the benefits are provided in kind; or

(c)

a society–

(i)

whose rules contain provisions for calling up additional contributions or reducing its benefits or claiming assistance from other persons who have undertaken to provide it, and

(ii)

whose annual contribution income (calculated for each year on the basis of the rate of conversion applicable on 31st December in that year by virtue of paragraph 2(3)(b) above) does not exceed 500,000 units of account for the three consecutive years of account ending on 31st December 1987;

provided that, if the annual contribution income of such a society (calculated in accordance with subparagraph (ii) above) exceeds 500,000 units of account for three consecutive years of account ending on a date subsequent to 31st December 1987, these Regulations shall apply to that society with effect from the first day of the fourth year of account.