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The Insurance Companies (Third Insurance Directives) Regulations 1994

S.I. 1994/1696 · Made 27 June 1994

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

INSURANCE

Made 27th June 1994

Coming into force 1st July 1994

Whereas the Secretary of State is designatedf1 for the purposes of section 2(2) of the European Communities Act 1972f2 in relation to compulsory insurance in respect of, and other means of providing for, civil liability in relation to motor vehicles and trailers, the transfer of insurance contracts other than contracts of life assurance from one insurance undertaking to another, and in relation to the authorisation of the carrying on of insurance business and the regulation of such business and its conduct, the specification of insurers who may effect insurance required under or by virtue of any enactment, and the transfer of contracts of life assurance from one insurance undertaking to another and in relation to anything supplemental or incidental to those matters;

And whereas a draft of these Regulations has been approved by a resolution of each House of Parliament pursuant to section 2(2) of and paragraph 2(2) of Schedule 2 to that Act;

Now, therefore, the Secretary of State in exercise of the powers conferred on him by section 2(2) of that Act and of all other powers enabling him in that behalf hereby makes the following Regulations:—

Annotations to the whole text

Footnotes

f1

S.I. 1972/1811; S.I. 1975/427; S.I. 1976/2141; S.I. 1982/847; S.I. 1990/600.

f2

1972 c. 68.

Contents

  1. Part I: GENERAL
  2. 1Citation, commencement and extent
  3. 2Interpretation
  4. Part II: AMENDMENTS OF 1982 ACT
  5. Chapter I: RESTRICTION ON CARRYING ON INSURANCE BUSINESS
  6. Preliminary
  7. 3Classification of long term business
  8. 4Restriction on carrying on insurance business
  9. Applications for authorisation
  10. 5Sound and prudent management: criteria which must be fulfilled
  11. 6Combination of long term and general business
  12. 7United Kingdom applicants
  13. 8Applicants from other EEA States etc.
  14. 9Applicants from non-EEA States etc.
  15. Withdrawal of authorisation
  16. 10Withdrawal of authorisation in respect of new business
  17. 11Suspension of authorisation in urgent cases
  18. 12Final withdrawal of authorisation
  19. Chapter II: REGULATION OF INSURANCE COMPANIES
  20. Preliminary
  21. 13Insurance companies to which Part II applies
  22. Financial resources
  23. 14Margins of solvency
  24. 15Companies supervised in other EEA States
  25. 16Form and situation of assets
  26. 17Adequacy of assets
  27. 18Adequacy of premiums: long term business
  28. Powers of intervention
  29. 19Grounds on which powers of intervention are exercisable
  30. 20Requirements about investments
  31. 21Maintenance of assets in the United Kingdom
  32. 22Prohibition on disposal of assets
  33. 23General investigations
  34. 24Power to obtain information etc.
  35. 25Residual power to impose requirements for protection of policy holders
  36. 26Restriction on disclosure of information
  37. 27Privilege from disclosure
  38. Transfers of insurance business
  39. 28Transfers of long term and general business
  40. 29Issue of certificates by Secretary of State
  41. 30Effect of transfers authorised in other EEA States
  42. Winding up
  43. 31Winding up on petition by Secretary of State
  44. Changes of director, controller or manager etc.
  45. 32Approval of proposed managing director or chief executive
  46. 33Approval of proposed controller where section 60 does not apply
  47. 34Approval of acquisition of notifiable holding in UK company
  48. 35Further provisions with respect to controllers of UK companies
  49. 36Duty to notify change of director, controller or manager
  50. 37Change of manager etc. of company from outside United Kingdom
  51. Miscellaneous and supplemental
  52. 38Documents deposited in Northern Ireland
  53. 39Offences under Part II
  54. Chapter III: CONDUCT OF INSURANCE BUSINESS
  55. 40Information for policy holders of UK insurers and EC companies
  56. 41Information for policy holders of EFTA companies
  57. 42Intermediaries in insurance business
  58. 43Statutory notice by insurer in relation to long term policy
  59. 44Linked long term policies and capital redemption
  60. Chapter IV: RECOGNITION IN ACCORDANCE WITH INSURANCE DIRECTIVES
  61. 45Recognition in the United Kingdom of EC and EFTA companies
  62. 46Recognition in other EEA States of UK insurers
  63. Chapter V: SPECIAL CLASSES OF INSURERS
  64. 47Industrial assurance business
  65. 48Lloyd’s underwriters
  66. Chapter VI: SUPPLEMENTARY PROVISIONS
  67. 49Applicable law
  68. 50General interpretation
  69. 51Interpretation of expressions derived from insurance Directives
  70. 52Meaning of “controller” etc.
  71. 53Meanings of “manager” and “chief executive”
  72. 54Meaning of “main agent”
  73. 55Meaning of “claims representative”
  74. Part III: AMENDMENTS OF 1986 ACT
  75. 56Recognition of self-regulating organisations
  76. 57Authorised insurers
  77. 58Conduct of investment business
  78. 59Powers of intervention
  79. 60Information and auditors
  80. 61Qualifications of designated agency
  81. 62Prevention of restrictive practices
  82. 63Application of 1986 Act to insurance companies
  83. 64Insurance contracts effected in contravention of 1982 Act
  84. 65Industrial assurance
  85. 66Restrictions on disclosure of information
  86. 67Functions under this Part
  87. Part IV: SUPPLEMENTAL
  88. 68Minor and consequential amendments and saving
  89. 69Transitional provisions: EC companies
  90. 70Transitional provisions: UK insurers
  91. 71Transitory provision
  92. Signature
  93. Schedule 1Schedule 1
  94. Schedule 2Schedule 2
  95. Schedule 3Schedule 3
  96. Schedule 4Schedule 4
  97. Schedule 5Schedule 5
  98. Schedule 6Schedule 6
  99. Schedule 7Schedule 7
  100. Schedule 8: MINOR AND CONSEQUENTIAL AMENDMENTS
  101. Part I: PRIMARY LEGISLATION
  102. Judicial Pensions Act (Northern Ireland) 1951 (c. 20 (N.I.))
  103. 1Paragraph 1
  104. County Courts Act (Northern Ireland) 1959 (c. 25 (N.I.))
  105. 2Paragraph 2
  106. Resident Magistrates' Pensions Act (Northern Ireland) 1960 (c. 2 (N.I.))
  107. 3Paragraph 3
  108. Solicitors Act 1974 (c. 47)
  109. 4Paragraph 4
  110. Policyholders Protection Act 1975 (c. 75)
  111. 5Paragraph 5
  112. Housing (Northern Ireland) Order 1981 (S.I. 1981/156 (N.I.3))
  113. 6Paragraph 6
  114. Judicial Pensions Act 1981 (c. 20)
  115. 7Paragraph 7
  116. Data Protection Act 1984 (c. 35)
  117. 8Paragraph 8
  118. Companies Act 1985 (c. 6)
  119. 9Paragraph 9
  120. Housing Act 1985 (c. 68)
  121. 10Paragraph 10
  122. Housing Associations Act 1985 (c. 69)
  123. 11Paragraph 11
  124. Financial Services Act 1986 (c. 60)
  125. 12Paragraph 12
  126. Companies (Northern Ireland) Order 1986 (S.I. 1986/1032 (N.I.6))
  127. 13Paragraph 13
  128. Banking Act 1987 (c. 22)
  129. 14Paragraph 14
  130. Housing (Scotland) Act 1987 (c. 26)
  131. 15Paragraph 15
  132. Criminal Justice Act 1987 (c. 38)
  133. 16Paragraph 16
  134. Criminal Justice (Scotland) Act 1987 (c. 41)
  135. 17Paragraph 17
  136. Companies Act 1989 (c. 40)
  137. 18Paragraph 18
  138. Law Reform (Miscellaneous Provisions) (Scotland) Act 1990 (c. 40)
  139. 19Paragraph 19
  140. Courts and Legal Services Act 1990 (c. 41)
  141. 20Paragraph 20
  142. Northern Ireland (Emergency Provisions) Act 1991 (c. 24)
  143. 21Paragraph 21
  144. Judicial Pensions and Retirement Act 1993 (c. 8)
  145. 22Paragraph 22
  146. Part II: SUBORDINATE LEGISLATION
  147. Rehabilitation of Offenders Act 1974 (Exceptions) Order 1975 (S.I. 1975/1023)
  148. 23Paragraph 23
  149. British Railways Board (Winding up of Closed Pension Funds) Order 1978 (S.I. 1978/1358)
  150. 24Paragraph 24
  151. Rehabilitation of Offenders Act 1974 (Exceptions) Order (Northern Ireland) 1979 (S.R. 1979/195)
  152. 25Paragraph 25
  153. Mortgage Indemnities (Recognised Bodies) Order 1984 (S.I. 1984/1555)
  154. 26Paragraph 26
  155. Building Societies (Mobile Home Loans) Order 1986 (S.I. 1986/1877)
  156. 27Paragraph 27
  157. Local Authorities (Recognised Bodies for Heritable Securities Indemnities)M (Scotland) Order 1987 (S.I. 1987/1388 (S.104))
  158. 28Paragraph 28
  159. Housing Corporation (Recognised Bodies for Heritable Securities Indemnities) (Scotland) Order 1987 (S.I. 1987/1389 (S.105))
  160. 29Paragraph 29
  161. Local Government Superannuation (Scotland) Regulations 1987 (S.I.1987/1850 (S.128))
  162. 30Paragraph 30
  163. Banking Act 1987 (Advertisements) Regulations 1988 (S.I. 1988/645)
  164. 31Paragraph 31
  165. Insurance Companies (Transfer of Long Term Business) Regulations 1990 (S.I. 1990/1207)
  166. 32Paragraph 32
  167. Teachers' Superannuation (Additional Voluntary Contributions) (Scotland) Regulations 1992 (S.I.1992/2649)
  168. 33Paragraph 33
  169. Insurance Companies (Amendment) Regulations 1992 (S.I. 1992/2890)
  170. 34Paragraph 34
  171. Local Government (Superannuation) Regulations (Northern Ireland) 1992 (S.R. 1992/547)
  172. 35Paragraph 35
  173. Money Laundering Regulations 1993 (S.I. 1993/1933)
  174. 36Paragraph 36
  175. Parliamentary Pensions (Additional Voluntary Contributions Scheme) Regulations 1993 (S.I.1993/3252)
  176. 37Paragraph 37
  177. Explanatory note