Industrial Assurance (Northern Ireland) Order 1979

Articles 16(2), 42(2), 43(2), 52(1) and Schedule 4

SCHEDULE 3 N.I. LIMITATIONS AND OTHER PROVISIONS AFFECTING INSURANCE BY INDUSTRIAL ASSURANCE COMPANY OF LIFE OF A PARENT OR GRANDPARENT

Limitations as to residence N.I.

Para. 1 rep. by SI 2001/3647

Limitations as to sum insured N.I.

2 .F1   Sub-para. (1) rep. by SI 2001/3647

(2) Where an insurance has been effected by an industrial assurance company in exercise of the power conferred by Article 16(1), then, subject to sub-paragraph (3)—

(a) the company shall not by virtue of or in connection with that insurance pay to any person any sum which exceeds £30 when taken alone; or

(b) the company shall not by virtue of or in connection with that insurance, pay to the person by whom that insurance was taken out any sum which exceeds £30 when added to any sum or sums paid to him, on the death on which money was thereby insured to be paid, by virtue of or in connection with any other relevant insurance taken out by him; or

(c) if any payment has been made on the death in question by virtue of or in connection with that insurance to the person by whom it was taken out and that payment has not been repaid, the company shall not pay to him on that death, by virtue of or in connection with any other relevant insurance taken out by him, any sum which exceeds £30 when added to the sum so paid and not repaid, or when added to it and to any sum or sums paid to him on that death by virtue of or in connection with any other relevant insurance or insurances taken out by him.

(3) For the purposes of this paragraph, there shall be excluded any sum insured to be paid, or paid,—

(a) by way of bonus, other than a guaranteed bonus; or

(b) by way of repayment of premiums; or

(c) under a free paid-up policy which was in force as such on 30th June 1948, or had been applied for or claimed before that date;

and so much of any sum insured to be paid, or paid, as represents—

(i) any increase in any benefit payable by the company under a contract of assurance made by the company in the course of its industrial assurance business in Northern Ireland where the increase results from the adoption of a scheme prescribed or approved in pursuance of section 6(3) of the Decimal Currency Act 1969 [1969 c.19] (elimination of amounts other than a new halfpenny or multiples thereof); or

(ii) any increase in any sum assured or guaranteed which is effected under regulation 6 or 7 of the Industrial Assurance (Life Assurance Premium Relief) Regulations (Northern Ireland) 1978 [SR 1978/131] [F2 and amended under regulation 6 or 8 of the Industrial Assurance (Life Assurance Premium Relief) (Change of Rate) Regulations (Northern Ireland) 1989] (increase commensurate with increased premium under arrangements made in lieu of tax relief).

F1 mod. by SR 1989/76

F2 SR 1989/75

Limitations as to alienation N.I.

3.  Where, under any relevant insurance, money is for the time being insured to be paid to the person by whom the insurance was taken out on the death of a parent or grandparent of his— N.I.

(a) any assignment or charge made by him after 22nd December 1948 of or on all or any of the rights in respect of the insurance conferred on him by the policy or by any provision of this Order, or of any enactment repealed by this Order; and

(b) any agreement so made by him to assign or charge all or any of those rights;

shall, except in the case of a charge or agreement to charge for the purpose only of securing sums paid for keeping on foot or restoring the insurance, be void, and, on any bankruptcy of his, where the order of adjudication was made after 22nd December 1948, none of those rights shall pass to any trustee or other person acting on behalf of his creditors.

Requirements as to death certificates N.I.

4.  Paragraphs 5 to 9 have effect with regard to the production of certificates of death in connection with the making of payments relevant for the purposes of paragraph 2. N.I.

5.  An industrial assurance company shall not, by virtue of or in connection with any relevant insurance of money to be paid on the death of a parent or grandparent of the person by whom the insurance was taken out, pay to that person on the death any sum not excluded, for the purposes of paragraph 2, by sub-paragraph (3) of that paragraph, except upon production of a certificate of the death for the purposes of this Schedule stated therein to be issued to the person to whom the payment is made, unless the death occurred outside Northern Ireland. N.I.

6.  On so making payment of any such sum, the industrial assurance company shall cause to be endorsed on the certificate a statement showing— N.I.

(a) the name of the company;

(b) the amount of any such sum paid; and

(c) the date of the contract for the insurance;

and, on receiving any repayment of a sum so paid by virtue of or in connection with an insurance effected in exercise of the power conferred by Article 16(1), the company shall cause to be endorsed on the certificate a statement showing the repayment.

7.  Where an industrial assurance company is charged with a contravention of paragraph 2 in respect of the payment by the company of a sum which exceeded the limit of £30 imposed by paragraph 2(2)( b) or ( c) in consequence of the addition as thereby required of another sum paid by another industrial assurance company or by a registered friendly society, or two or more other sums so paid, and which would not have exceeded the limit apart from that addition, it shall be a defence for the company charged to prove that— N.I.

(a) the sum in respect of which the company is charged was paid in accordance with paragraph 5; and

(b) the certificate produced disclosed no payment by any other industrial assurance company or by a registered friendly society of any sum or sums required by the said paragraph 2(2)( b) or ( c) to be added, or disclosed such payment but only to an amount insufficient to cause the sum in respect of which the company is charged to exceed that limit;

subject, however, in the case of a certificate which is a duplicate, to the provisions of paragraph 9.

8.  The provisions of paragraphs 4 and 5 of Schedule 5 to the Friendly Societies Act apply in relation to certificates of death for the purposes of this Schedule and the issue of duplicates thereof. N.I.

9.  On production to an industrial assurance company of a duplicate which records a requirement for an endorsement made by it to be repeated in accordance with regulations under paragraph 5 of Schedule 5 to the Friendly Societies Act, the company shall cause the duplicate to be endorsed accordingly and paragraph 7 of this Schedule shall not apply in the case of a certificate which is a duplicate on which such a requirement is recorded, unless the duplicate has been endorsed by the company in question. N.I.

Interpretation N.I.

10.  In this Schedule— N.I.

• “registered friendly society” includes a branch of such a society;

• “relevant insurance” means an insurance effected[F3 before 1st December 2001] (whether before or after the commencement of this Order) by an industrial assurance company or by a registered friendly society in exercise of any power conferred by—

  (a)

  Article 16(1);

  (b)

  paragraph 1 of Schedule 9;

  (c)

  any provision of any enactment repealed by this Order corresponding to any of the provisions mentioned in paragraphs ( a) and ( b);

  (d)

  [F4 paragraph (2)(d)] of Schedule 1 to the Friendly Societies Act.

F3 SI 2001/3647

F4 1992 c. 40

11.  References in Article 16(1) and this Schedule to a payment on a person's death include references to a payment for his funeral expenses. N.I.