# The Insurance Companies Regulations 1994, Paragraph 1: Method No. 4


Subject to paragraph 2(g) below, an equalisation reserve shall be maintained for credit insurance business for the purpose of offsetting any above-average claims ratio for a financial year in that business.

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Source: https://www.legislation.gov.uk/uksi/1994/1516/schedule/14/paragraph/1n4 (the official version)
Page: https://openlegislation.uk/insurance-companies-regulations-1994/schedule-14/paragraph-1n4
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.