Article 16

1

Within one month of the notification provided for in Article 14, the competent authorities of the home Member State shall communicate to the Member State or Member States within the territories of which an undertaking intends to carry on business under the freedom to provide services:

a

a certificate attesting that the undertaking has the minimum solvency margin calculated in accordance with Articles 16 and 17 of Directive 73/239/EEC;

b

the classes of insurance which the undertaking has been authorized to offer;

c

the nature of the risks which the undertaking proposes to cover in the Member State of the provision of services.

At the same time, they shall inform the undertaking concerned accordingly.

Each Member State within the territory of which an undertaking intends, under the freedom to provide services, to cover risks in class 10 of point A of the Annex to Directive 73/239/EEC other than carrier's liability may require that the undertaking:

• communicate the name and address of the representative referred to in Article 12a (4) of this Directive,

• produce a declaration that the undertaking has become a member of the national bureau and national guarantee fund of the Member State of the provision of services.

2

Where the competent authorities of the home Member State do not communicate the information referred to in paragraph 1 within the period laid down, they shall give the reasons for their refusal to the undertaking within that same period. That refusal shall be subject to a right to apply to the courts in the home Member State.

3

The undertaking may start business on the certified date on which it is informed of the communication provided for in the first subparagraph of paragraph 1.