Insurance (Lloyd’s Asia Scheme) Regulations

Insurance Act

(Chapter 142, Sections 35B and 35L)

Rg 9

G.N. No. S 62/2002

REVISED EDITION 2004

(29th February 2004)

[1st February 2002]

PART I

PRELIMINARY

Citation

1. These Regulations may be cited as the Insurance (Lloyd’s Asia Scheme) Regulations.

Definitions

2. In these Regulations, unless the context otherwise requires —

“accounting period” means the period beginning from the commencement of insurance business in Singapore by any foreign insurer under these Regulations or 1st January of any year, as the case may be, and ending 31st December of that year for which accounts relating to insurance business carried on in Singapore by the foreign insurer under these Regulations are kept, unless otherwise allowed by the Authority;

“Accounting Standards” has the same meaning as in section 4(1) of the Companies Act (Cap. 50);

“administrator” means Lloyd’s of London (Asia) Pte. Ltd.;

“agent”, in relation to a member of Lloyd’s, means an agent in respect of the carrying on of insurance business in Singapore by the member with authority to enter into contracts of insurance on behalf of the member;

“Chain of Security”, in relation to a member of Lloyd’s, means the member’s premiums trust fund, funds at Lloyd’s as defined in paragraph 4 of the Lloyd’s Membership Byelaw (No. 17 of 1993), other personal wealth of the member and the New Central Fund;

“collective investment scheme” has the same meaning as in section 2(1) of the Securities and Futures Act (Cap. 289);

“Council of Lloyd’s” means the Council of Lloyd’s established by the Lloyd’s Act 1982 of the United Kingdom;

“counterparty” means any person who is under a financial obligation to the Service Company, as an agent of a syndicate, in respect of the business of the syndicate written by the Service Company;

“debt security” includes any debenture, bond or note;

“electronic record” has the same meaning as in section 2 of the Electronic Transactions Act (Cap. 88);

“equity security” includes any stock, share, depository receipt or unit in a collective investment scheme;

“final judgment” means any final judgment given or made by a court of competent jurisdiction and includes a final award in proceedings on an arbitration (if the award has, in pursuance of the law in force in the place where it was made, become enforceable in the same manner as a judgment given by a court in that place) where —

(a)	there is no right of appeal against the judgment or award;
(b)	the time within which an appeal may be made has expired; or
(c)	the relevant member or Service Company has confirmed that it does not intend to appeal;

“holding company” has the same meaning as in section 5 of the Companies Act;

[S 665/2010 wef 04/11/2010]

“Lloyd’s” means the society of underwriters known in the United Kingdom as Lloyd’s and incorporated by the Lloyd’s Act 1871 of the United Kingdom;

“Lloyd’s Premiums Trust Deed” means a trust deed made by a member of Lloyd’s in a form determined by the Council of Lloyd’s as a form of trust deed in accordance with the provisions of which the member is to carry to a trust fund all amounts received or receivable by him, or on his behalf, in respect of any insurance business;

“managing agent” means —

(a)	a person listed as a managing agent on the register of underwriting agents maintained under the Lloyd’s Underwriting Byelaw (No. 2 of 2003); or [S 814/2004 wef 01/01/2005]
(b)	a person appointed to perform the functions of a managing agent under the Lloyd’s Substitute Agents Byelaw (No. 20 of 1983) or the Lloyd’s Underwriting Byelaw (No. 2 of 2003);

“member of Lloyd’s” means a person admitted to membership of Lloyd’s as an underwriting member and includes, where the context so requires, any person who has ceased to be a member of Lloyd’s and any administrator, administrative receiver, committee, curator bonis, executor, liquidator, manager, personal representative, supervisor or trustee in bankruptcy, or any other person by law entitled or bound to administer the affairs of the member or former member concerned;

“New Central Fund” means the fund established under the Lloyd’s New Central Fund Byelaw (No. 23 of 1996);

“permitted trust outgoings” means —

(a)	in relation to an insurance fund for Singapore policies established under regulation 11(1)(a), Permitted Singapore Policies Trust Outgoings, as defined in the Lloyd’s Asia (Singapore Policies) Instrument made by the Council of Lloyd’s on 13th February 2002; and
(b)	in relation to an insurance fund for offshore policies established under regulation 11(1)(b), Permitted Offshore Policies Trust Outgoings, as defined in the Lloyd’s Asia (Offshore Policies) Instrument made by the Council of Lloyd’s on 13th February 2002;

“premiums trust fund”, in relation to a member of Lloyd’s, means the trust fund set up with respect to the member’s insurance business (other than long term business) constituted or regulated under the Lloyd’s Premiums Trust Deed and includes the member’s Singapore Policies Trust Fund and Offshore Policies Trust Fund constituted by the Lloyd’s Asia (Singapore Policies) Instrument and the Lloyd’s Asia (Offshore Policies) Instrument made by the Council of Lloyd’s respectively;

“quarter” means any period of 3 months beginning on 1st January, 1st April, 1st July or 1st October of any year;

“reinsurance recoverables” means any amount that a Service Company is entitled to recover on behalf of a syndicate, but has yet to recover, from its reinsurance counterparty in respect of claims that have been paid by the Service Company on behalf of the syndicate;

“Service Company” means any company registered with the administrator under regulation 6;

“subsidiary” has the same meaning as in section 5 of the Companies Act (Cap. 50);

“syndicate” means a member of Lloyd’s or a group of members of Lloyd’s underwriting insurance business at Lloyd’s through the agency of a Lloyd’s underwriting agent to which member or group a particular syndicate number is assigned by or under the authority of the Council of Lloyd’s;

“unit”, in relation to a collective investment scheme, has the same meaning as in section 2(1) of the Securities and Futures Act (Cap. 289);

“valid claim” means a claim for a sum of money which is admitted to by the foreign insurer or its Service Company or which is payable under a final judgment;

[S 814/2004 wef 01/01/2005]

“valuation date” means the date on which the assets and liabilities of the business of a syndicate written by a Service Company are valued.

[S 814/2004 wef 01/01/2005]

[S 665/2010 wef 04/11/2010]

[G.N. Nos. S 62/2002; S 136/2003]

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