THE SCHEDULE
Insurance Act
(Chapter 142)

Insurance (Protection and Indemnity Clubs)
Regulations

FORM 1
Regulation 8
UNKNOWN
UNKNOWN
FORM 2
Regulation 8
STATEMENT ON ADEQUACY OF LOSS RESERVES FOR
ACCOUNTING PERIOD ENDED ___________________
To the best of my knowledge and belief, I, Principal Officer of _________________ , do state that the amount of loss reserves as shown in the books of accounts of the company/branch* and in Form 1 : Fund Balance-Sheet are adequate to meet all ultimate claim payouts under each insurance fund established in accordance with section 17(1) of the Insurance Act (Cap. 142).
 
The loss reserves referred to in this Statement include provisions set up for claims reported but not yet determined, claims incurred but not yet reported, i.e., IBNR claims and all expenses associated with the settlement of such claims. In attesting to the adequacy of loss reserves, I have satisfied myself that —
 
(a) the company/branch* has in place proper systems and records to properly assess the loss reserves set up in the books of accounts;
 
(b) the loss reserves have been estimated using a proper and consistent method based on properly collated claims statistics. Particular attention has been paid to “long-tail” business and large or catastrophic losses;
 
(c) the loss reserves have been set up using a conservative approach in order to ensure that the loss reserves maintained will be adequate to meet all claim liabilities; and
 
(d) the reinsurance arrangements of the company/branch* have been examined and the impact arising from any of the reinsurance arrangements being rendered inadequate or ineffective has been taken into account in determining the amount of loss reserves; except*
 
Name and signature of Principal Officer : ___________________________________________
 
Date : _____________________
____________________________________________________________________________
* Delete whichever is inapplicable.