Marginal Citations
M1Source-1984 Sch.17; 1987 (No.2) s.65
Yn ddilys o 27/11/2002
11A(1)This paragraph has effect for the interpretation of paragraph 6(2B) above.
(2)“Contract of long-term insurance” means any contract falling within Part II of Schedule 1 to the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001.
(3)“Protection business” means contracts of long-term insurance where—
(a)either—
(i)the contract has no surrender value; or
(ii)the consideration consists of a single premium and the surrender value does not exceed the amount of that premium; and
(b)the contract makes no provision for its conversion or extension in a manner which would result in its ceasing to fall within paragraph (a) above;
and references to protection business include a reference to reinsurance of protection business.
(4)“Insurance group” shall be construed in accordance with section 255A(5) of the Companies Act 1985 (meaning of “insurance group” in Part 7) but reading Part 7 of that Act—
(a)as if it extended to Northern Ireland, and
(b)as if any reference to a company (within the meaning of that Act) included a reference to a company as defined in Article 3 of the Companies (Northern Ireland) Order 1986,
but does not include such an insurance group if it falls within sub-paragraph (5) below.
(5)Such an insurance group falls within this sub-paragraph if (within the meaning of that Part as so read) the parent company is a subsidiary undertaking of a parent company which is neither—
(a)the parent company of an insurance group; nor
(b)a subsidiary undertaking of the parent company of an insurance group.
(6)A controlled foreign company is, in accordance with sub-paragraphs (4) and (5) above, a “member of an insurance group” if (within the meaning of that Part as so read) it is the parent company, or a subsidiary undertaking of the parent company, of an insurance group which is by virtue of sub-paragraph (4) above an insurance group for the purposes of paragraph 6(2B) above.
(7)A company’s main business is “insuring or reinsuring large risks” if (and only if)—
(a)the company’s main business is the effecting or carrying out of contracts of insurance; and
(b)50% or more of its gross trading receipts from that business are derived from insuring or reinsuring large risks.
“Large risks” is defined in paragraph 11B below.
(8)In this paragraph—
“contract of insurance” has the meaning given by article 3(1) of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001;
“contract of long-term insurance” has the meaning given by sub-paragraph (2) above.