Regulation 11 Designation of overseas jurisdictionF1

(1)

The Treasury may by regulations designate an overseas jurisdiction in relation to one or more of regulations 12, 13 or 14 (effects of the overseas insurance regime) (“overseas insurance regulations”).

(2)

The Treasury may make overseas insurance regulations only if they consider that those regulations are compatible with—

(a)

the protection of those who are, or may become, policyholders of an insurance undertaking or a reinsurance undertaking,

(b)

the safety and soundness of insurance undertakings and reinsurance undertakings, and

(c)

one or both of—

(i)

promoting effective competition in the interests of consumers in financial services and markets, or

(ii)

facilitating the international competitiveness of the economy of the United Kingdom and its growth in the medium to long term.

(3)

When considering whether to designate an overseas jurisdiction, the Treasury may, in addition to any other matter they consider relevant, have regard to the law and practice of that overseas jurisdiction in relation to the following—

(a)

the authorisation of undertakings effecting or carrying out contracts of insurance as principal;

(b)

the supervision of, and enforcement of prudential requirements applying to, undertakings effecting or carrying out contracts of insurance as principal, including such supervision and enforcement at insurance group level;

(c)

the holding of financial resources for the safety and soundness, including at insurance group level, of undertakings effecting or carrying out contracts of insurance as principal, and for the protection of policyholders;

(d)

the assessment, and disclosure, of the financial position, including at insurance group level, of undertakings effecting or carrying out contracts of insurance as principal;

(e)

the sound and prudent management, including at insurance group level, of undertakings effecting or carrying out contracts of insurance as principal, such as requirements to have in place systems for governance, internal control and risk management;

(f)

the handling and sharing of confidential information by public authorities (including any person currently or previously employed or instructed by them) supervising undertakings effecting or carrying out contracts of insurance as principal, including the sharing of information by such public authorities with other public authorities.

(4)

In this regulation, “consumer” has the meaning given by section 1G(1) of FSMA 2000^f1.

Annotations

Textual amendments

F1: Pt. 4 inserted (31.12.2024) by The Insurance and Reinsurance Undertakings (Overseas Insurance Regime, Transitional Provisions, etc.) Regulations 2024 (S.I. 2024/1116), regs. 1(2), 4

Footnotes

f1: Section 138BA was inserted by section 34 of the Financial Services and Markets Act 2023 (c. 29).