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Amendments are not highlighted in legislation amended before 2012. We are working on it.
Formal Consolidation |  2002 RevEd
Margins of solvency
18.—(1)  Every registered insurer shall maintain —
(a)a fund margin of solvency in respect of each of the insurance funds established by the insurer under this Act; and
(b)a margin of solvency,
of such amounts as may be prescribed for the purposes of this section.
[11/86]
(2)  The Authority may prescribe —
(a)different margins of solvency under subsection (1) for different classes of insurance business and for different types of insurers; and
(b)in respect of any type of insurers, any exception from the requirements of subsection (1).
[11/86]
(3)  Without prejudice to the generality of section 64, regulations made under this Act may —
(a)provide for the determination of the value of assets and the amount of liabilities in any case in which the value or amount is required by this section to be determined in accordance with valuation regulations;
(b)provide that, for any specified purpose, assets or liabilities of any specified class or description shall be left out of account or shall be taken into account only to a specified extent; and
(c)make different provision in relation to different cases or circumstances.
[11/86]
(4)  For the purposes of this section —
(a)the fund margin of solvency in respect of any insurance fund is the excess of the value of the assets over the liabilities of that fund; and
(b)the margin of solvency of a registered insurer is the excess of the value of its assets over the amount of its liabilities,
that value and amount being determined in accordance with any applicable valuation regulations.
[11/86]
Informal Consolidation | Amended Act 23 of 2003
Fund solvency requirements and capital adequacy requirements
18.—(1)  Every registered insurer shall satisfy —
(a)such fund solvency requirements in respect of each insurance fund established by the insurer under this Act; and
(b)such capital adequacy requirements,
as may be prescribed or specified in directions for the purposes of this section.
[23/2003 wef 23/08/2003]
(2)  The Authority may prescribe —
(a)different fund solvency requirements or capital adequacy requirements under subsection (1) for different classes of insurance business and for different types of insurers; and
(b)in respect of any type of insurers, any exception from the requirements of subsection (1).
[11/86]
(3)  Without prejudice to the generality of section 64, regulations made under this Act may —
(a)provide for the determination of the value of assets and the amount of liabilities in any case in which the value or amount is required by this section to be determined in accordance with valuation regulations;
(b)provide that, for any specified purpose, assets or liabilities of any specified class or description shall be left out of account or shall be taken into account only to a specified extent; and
(c)make different provision in relation to different cases or circumstances.
[11/86]
(4)  The Authority may by notice in writing, if it considers it appropriate in the particular circumstances of a registered insurer having regard to the risks arising from the activities of the insurer and such other factors as the Authority considers relevant, direct that the insurer satisfy fund solvency requirements or capital adequacy requirements other than those that the insurer is required to maintain under this section.
[23/2003 wef 23/08/2003]
(5)  Without prejudice to the generality of section 41, the failure of a registered insurer to comply with subsection (1) or (4) shall be sufficient cause for the Authority to be satisfied that the affairs of the insurer are being conducted in a manner likely to be detrimental to the public interest or the interests of the policy owners and to issue such directions under section 41(1) as the Authority may consider necessary.
[23/2003 wef 23/08/2003]