Words in s. 5 substituted (5.1.1998) by S.I. 1997/2781, art. 8, Sch. Pt. I para. 3(a) (with art. 7)

Words in s. 5(1)(a)(b) substituted (5.1.1998) by S.I. 1997/2781, art. 8, Sch. Pt. I para. 3(b)(i) (with art. 7)

Words in s. 5(1)(b) substituted (5.1.1998) by S.I. 1997/2781, art. 8, Sch. Pt. I para. 3(b)(ii) (with art. 7)

S. 5(1A) inserted (1.7.1994) by S.I. 1994/1696, reg. 5(1)

Words in s. 5(1A)(1B) substituted (5.1.1998) by S.I. 1997/2781, art. 8, Sch. Pt. I para. 3(c)(d)(i) (with art. 7)

S. 5(1B)(1C) inserted (18.7.1996) by S.I. 1996/1669, reg. 18(1)

Words in s. 5(1B)(b) substituted (5.1.1998) by S.I. 1997/2781, art. 8, Sch. Pt. I para. 3(d)(ii) (with art. 7)

Words in s. 5(2) inserted (19.11.1992) by S.I. 1992/2890, reg. 2(1)

Words in s. 5(2) substituted (5.1.1998) by S.I. 1997/2781, art. 8, Sch. Pt. I para. 3(e)(i) (with art. 7)

Word in s. 5(2) substituted (5.1.1998) by S.I.1997/2781, art. 8, Sch. Pt. I para. 3(e)(ii) (with art. 7)

S. 5(3) inserted (19.11.1992) by S.I. 1992/2890, reg. 2(2)

S. 5(4)(5) inserted (1.7.1994) by S.I. 1994/2696, reg. 5(2)

Words in definition of “EEA State" in s. 5 omitted (30.4.1996) by virtue of S.I. 1996/944, reg. 4(2)

s. 5: power to contract out functions conferred (18.11.1998) by S.I. 1998/2842, arts. 2, 3, Sch. Pt. I

http://www.legislation.gov.uk/ukpga/1982/50/section/5/1998-01-05Insurance Companies Act 1982 (repealed)An Act to consolidate the Insurance Companies Acts 1974 and 1981.1982-11-01texttext/xmlenStatute Law Database2024-05-171998-01-05Part I Restriction on Carrying on Insurance Business Applications for authorisation
5 Submission of proposals etc.(1)

The Treasuryshall not issue an authorisation under section 3 above unless—

(a)

the applicant has submitted to them such proposals as to the manner in which it proposes to carry on business, such financial forecasts and such other information as may be required by or in accordance with regulations under this Act, and

(b)

The Treasury are satisfied on the basis of that and any other information received by them that the application ought to be granted.

(1A)

The Treasury shall not issue an authorisation under section 3 above to an applicant which is a UK or non-EC company if it appears to the Treasury that the criteria of sound and prudent management are not or will not be fulfilled with respect to the applicant.

(1B)

The Treasury shall not issue an authorisation under section 3 above to an applicant which is a UK or non-EC company if it appears to the Treasury that—

(a)

the applicant is an undertaking which is closely linked with any person; and

(b)

the applicant’s close links with that person, or any matters relating to any non-EEA laws or administrative provisions to which that person is subject, are such as would prevent the effective exercise by the Treasury or the Secretary of State of his functions under this Act in relation to the applicant;

and in this subsection “non-EEA laws” means laws of a country or territory outside the European Economic Area and “non-EEA administrative provisions” shall be construed accordingly.

(1C)

The Treasury shall not issue an authorisation under section 3 above to an applicant—

(a)

which is incorporated in the United Kingdom;

(b)

whose head office is outside the United Kingdom;

(b)

whose business is not restricted to business to which subsection (5) below applies; and

(d)

which is not excluded from each Directive mentioned in that subsection by Article 3 of that Directive.

(2)

Subject to subsection (3) below, the Treasury shall decide an application for an authorisation under section 3 above within six months of receiving the information referred to in subsection (1)(a) above; and if the Treasury refuse to issue the authorisation theyshall inform the applicant in writing of the reasons for the refusal.

(3)

The Treasury may defer a decision on an application for an authorisation under section 3 above for such period as may be necessary for the purpose of implementing any decision of the Council or Commission of the Communities under—

(a)

Article 29b(4) of the first general insurance Directive; or

(b)

Article 32b(4) of the first long term insurance Directive.

(4)

In this Act—

'criteria of sound and prudent management’ means the criteria set out in Schedule 2A to this Act;

'EEA State’ means a State which is a Contracting Party to the EEA Agreement . . .;

'EFTA State’ means an EEA State which is not a member State;

'non-EC company’ means an insurance company—

(a)

whose head office is not in a member State;

(b)

which is authorised under section 3 or 4 above; and

(c)

whose business in the United Kingdom is not restricted to reinsurance business;

'UK company’ means an insurance company—

(a)

which is incorporated in the United Kingdom;

(b)

whose head office is in the United Kingdom;

(c)

which is authorised under section 3 or 4 above;

(d)

whose business is not restricted to business to which subsection (5) below applies; and

(e)

which is not excluded from each Directive mentioned in that subsection by Article 3 of that Directive;

and any reference in this Part to an applicant or body which is a UK or non-EC company includes a reference to an applicant or body which would be such a company if the authorisation sought by it were issued.

(5)

This subsection applies to—

(a)

reinsurance business;

(b)

business which is excluded from the first long term insurance Directive by Article 2(2) or (3) of that Directive;

(c)

business which is excluded from the first general insurance Directive by Article 2(2)(b) of that Directive; and

(d)

business which is exempted from the authorisation requirements contained in this Part of this Act by subsections (2) to (5) of section 2 above.

This XML file does not appear to have any style information associated with it. The document tree is shown below.
<akomaNtoso xmlns:uk="https://www.legislation.gov.uk/namespaces/UK-AKN" xmlns:ukl="http://www.legislation.gov.uk/namespaces/legislation" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xmlns="http://docs.oasis-open.org/legaldocml/ns/akn/3.0" xsi:schemaLocation="http://docs.oasis-open.org/legaldocml/ns/akn/3.0 http://docs.oasis-open.org/legaldocml/akn-core/v1.0/cos01/part2-specs/schemas/akomantoso30.xsd">
<act name="ukpga">
<meta>
<identification source="#">
<FRBRWork>
<FRBRthis value="http://www.legislation.gov.uk/id/ukpga/1982/50"/>
<FRBRuri value="http://www.legislation.gov.uk/id/ukpga/1982/50"/>
<FRBRdate date="1982-10-28" name="enacted"/>
<FRBRauthor href="http://www.legislation.gov.uk/id/legislature/UnitedKingdomParliament"/>
<FRBRcountry value="GB-UKM"/>
<FRBRnumber value="50"/>
<FRBRname value="1982 c. 50"/>
<FRBRprescriptive value="true"/>
</FRBRWork>
<FRBRExpression>
<FRBRthis value="http://www.legislation.gov.uk/ukpga/1982/50/1998-01-05"/>
<FRBRuri value="http://www.legislation.gov.uk/ukpga/1982/50/1998-01-05"/>
<FRBRdate date="1998-01-05" name="validFrom"/>
<FRBRauthor href="#"/>
<FRBRlanguage language="eng"/>
</FRBRExpression>
<FRBRManifestation>
<FRBRthis value="http://www.legislation.gov.uk/ukpga/1982/50/1998-01-05/data.akn"/>
<FRBRuri value="http://www.legislation.gov.uk/ukpga/1982/50/1998-01-05/data.akn"/>
<FRBRdate date="2024-12-12Z" name="transform"/>
<FRBRauthor href="http://www.legislation.gov.uk"/>
<FRBRformat value="application/akn+xml"/>
</FRBRManifestation>
</identification>
<lifecycle source="#">
<eventRef refersTo="#enactment" date="1982-10-28" eId="date-enacted" source="#"/>
<eventRef date="1991-01-02" eId="date-1991-01-02" source="#"/>
<eventRef date="1998-01-05" eId="date-1998-01-05" source="#"/>
<eventRef date="2001-12-01" eId="date-2001-12-01" source="#"/>
</lifecycle>
<analysis source="#">
<restrictions source="#">
<restriction refersTo="#extent-e+w+s+ni" type="jurisdiction"/>
<restriction href="#body" refersTo="#extent-e+w+s+ni" type="jurisdiction"/>
<restriction href="#part-I" refersTo="#extent-e+w+s+ni" type="jurisdiction"/>
<restriction href="#part-I-crossheading-applications-for-authorisation" refersTo="#extent-e+w+s+ni" type="jurisdiction"/>
<restriction href="#section-5" refersTo="#extent-e+w+s+ni" type="jurisdiction"/>
<restriction refersTo="#period-from-2001-12-01" type="jurisdiction"/>
<restriction href="#body" refersTo="#period-from-1991-01-02-to-2001-12-01" type="jurisdiction"/>
<restriction href="#part-I" refersTo="#period-to-2001-12-01" type="jurisdiction"/>
<restriction href="#part-I-crossheading-applications-for-authorisation" refersTo="#period-to-2001-12-01" type="jurisdiction"/>
<restriction href="#section-5" refersTo="#period-from-1998-01-05-to-2001-12-01" type="jurisdiction"/>
</restrictions>
<otherAnalysis source="">
<uk:confersPower href="#section-5" value="true"/>
<uk:commentary href="#section-5" refersTo="#c1481634"/>
<uk:commentary href="#section-5" refersTo="#c1481635"/>
<uk:commentary href="#section-5" refersTo="#c1481636"/>
<uk:commentary href="#section-5" refersTo="#c1481637"/>
<uk:commentary href="#section-5" refersTo="#c1481639"/>
<uk:commentary href="#section-5" refersTo="#c1481641"/>
<uk:commentary href="#section-5" refersTo="#c1481642"/>
<uk:commentary href="#section-5" refersTo="#c1481645"/>
<uk:commentary href="#section-5" refersTo="#c1481648"/>
<uk:commentary href="#section-5" refersTo="#c1481650"/>
<uk:commentary href="#section-5" refersTo="#c1481651"/>
<uk:commentary href="#section-5" refersTo="#c1481652"/>
<uk:commentary href="#section-5" refersTo="#c1481654"/>
<uk:commentary href="#section-5" refersTo="#c1481655"/>
</otherAnalysis>
</analysis>
<temporalData source="#">
<temporalGroup eId="period-to-2001-12-01">
<timeInterval end="#date-2001-12-01" refersTo="#"/>
</temporalGroup>
<temporalGroup eId="period-from-1991-01-02-to-2001-12-01">
<timeInterval start="#date-1991-01-02" end="#date-2001-12-01" refersTo="#"/>
</temporalGroup>
<temporalGroup eId="period-from-1998-01-05-to-2001-12-01">
<timeInterval start="#date-1998-01-05" end="#date-2001-12-01" refersTo="#"/>
</temporalGroup>
<temporalGroup eId="period-from-2001-12-01">
<timeInterval start="#date-2001-12-01" refersTo="#"/>
</temporalGroup>
</temporalData>
<references source="#">
<TLCEvent eId="enactment" href="" showAs="EnactmentDate"/>
<TLCLocation eId="extent-e+w+s+ni" href="" showAs="E+W+S+N.I."/>
</references>
<notes source="#">
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481635" marker="F1">
<p>
Words in
<ref eId="c00269" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5">s. 5</ref>
substituted (5.1.1998) by
<ref eId="c00270" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I. 1997/2781</ref>
,
<ref eId="c00271" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00272" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/a">Sch. Pt. I para. 3(a)</ref>
(with
<ref eId="c00273" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481636" marker="F2">
<p>
Words in
<ref eId="c00274" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/1/a/b">s. 5(1)(a)(b)</ref>
substituted (5.1.1998) by
<ref eId="c00275" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I. 1997/2781</ref>
,
<ref eId="c00276" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00277" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/b/i">Sch. Pt. I para. 3(b)(i)</ref>
(with
<ref eId="c00278" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481637" marker="F3">
<p>
Words in
<ref eId="c00279" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/1/b">s. 5(1)(b)</ref>
substituted (5.1.1998) by
<ref eId="c00280" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I. 1997/2781</ref>
,
<ref eId="c00281" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00282" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/b/ii">Sch. Pt. I para. 3(b)(ii)</ref>
(with
<ref eId="c00283" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481639" marker="F4">
<p>
<ref eId="c00284" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/1A">S. 5(1A)</ref>
inserted (1.7.1994) by
<ref eId="c00285" href="http://www.legislation.gov.uk/id/uksi/1994/1696">S.I. 1994/1696</ref>
,
<ref eId="c00286" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1994/1696/regulation/5/1">reg. 5(1)</ref>
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481641" marker="F5">
<p>
Words in
<ref eId="c00287" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/1A/1B">s. 5(1A)(1B)</ref>
substituted (5.1.1998) by
<ref eId="c00288" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I. 1997/2781</ref>
,
<ref eId="c00289" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00290" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/c/d/i">Sch. Pt. I para. 3(c)(d)(i)</ref>
(with
<ref eId="c00291" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481642" marker="F6">
<p>
<ref eId="c00292" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/1B/1C">S. 5(1B)(1C)</ref>
inserted (18.7.1996) by
<ref eId="c00293" href="http://www.legislation.gov.uk/id/uksi/1996/1669">S.I. 1996/1669</ref>
,
<ref eId="c00294" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1996/1669/regulation/18/1">reg. 18(1)</ref>
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481645" marker="F7">
<p>
Words in
<ref eId="c00295" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/1B/b">s. 5(1B)(b)</ref>
substituted (5.1.1998) by
<ref eId="c00296" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I. 1997/2781</ref>
,
<ref eId="c00297" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00298" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/d/ii">Sch. Pt. I para. 3(d)(ii)</ref>
(with
<ref eId="c00299" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481648" marker="F8">
<p>
Words in
<ref eId="c00300" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/2">s. 5(2)</ref>
inserted (19.11.1992) by
<ref eId="c00301" href="http://www.legislation.gov.uk/id/uksi/1992/2890">S.I. 1992/2890</ref>
,
<ref eId="c00302" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1992/2890/regulation/2/1">reg. 2(1)</ref>
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481650" marker="F9">
<p>
Words in
<ref eId="c00303" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/2">s. 5(2)</ref>
substituted (5.1.1998) by
<ref eId="c00304" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I. 1997/2781</ref>
,
<ref eId="c00305" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00306" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/e/i">Sch. Pt. I para. 3(e)(i)</ref>
(with
<ref eId="c00307" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481651" marker="F10">
<p>
Word in
<ref eId="c00308" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/2">s. 5(2)</ref>
substituted (5.1.1998) by
<ref eId="c00309" href="http://www.legislation.gov.uk/id/uksi/1997/2781">S.I.1997/2781</ref>
,
<ref eId="c00310" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/8">art. 8</ref>
,
<ref eId="c00311" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1997/2781/schedule/part/I/paragraph/3/e/ii">Sch. Pt. I para. 3(e)(ii)</ref>
(with
<ref eId="c00312" class="subref" href="http://www.legislation.gov.uk/id/uksi/1997/2781/article/7">art. 7</ref>
)
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481652" marker="F11">
<p>
<ref eId="c00313" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/3">S. 5(3)</ref>
inserted (19.11.1992) by
<ref eId="c00314" href="http://www.legislation.gov.uk/id/uksi/1992/2890">S.I. 1992/2890</ref>
,
<ref eId="c00315" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1992/2890/regulation/2/2">reg. 2(2)</ref>
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481654" marker="F12">
<p>
<ref eId="c00316" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5/4/5">S. 5(4)(5)</ref>
inserted (1.7.1994) by
<ref eId="c00317" href="http://www.legislation.gov.uk/id/uksi/1994/2696">S.I. 1994/2696</ref>
,
<ref eId="c00318" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1994/2696/regulation/5/2">reg. 5(2)</ref>
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="F" class="commentary F" eId="c1481655" marker="F13">
<p>
Words in definition of “EEA State" in s. 5 omitted (30.4.1996) by virtue of
<ref eId="c00319" href="http://www.legislation.gov.uk/id/uksi/1996/944">S.I. 1996/944</ref>
,
<ref eId="c00320" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1996/944/regulation/4/2">reg. 4(2)</ref>
</p>
</note>
<note ukl:Name="Commentary" ukl:Type="C" class="commentary C" eId="c1481634" marker="C1">
<p>
<ref eId="c00264" class="subref" href="http://www.legislation.gov.uk/id/ukpga/1982/50/section/5">s. 5</ref>
: power to contract out functions conferred (18.11.1998) by
<ref eId="c00265" href="http://www.legislation.gov.uk/id/uksi/1998/2842">S.I. 1998/2842</ref>
,
<ref eId="c00266" class="subref" href="http://www.legislation.gov.uk/id/uksi/1998/2842/article/2">arts. 2</ref>
,
<ref eId="c00267" class="subref" href="http://www.legislation.gov.uk/id/uksi/1998/2842/article/3">3</ref>
,
<ref eId="c00268" class="subref operative" href="http://www.legislation.gov.uk/id/uksi/1998/2842/schedule/part/I">Sch. Pt. I</ref>
</p>
</note>
</notes>
<proprietary xmlns:ukm="http://www.legislation.gov.uk/namespaces/metadata" xmlns:dc="http://purl.org/dc/elements/1.1/" xmlns:dct="http://purl.org/dc/terms/" source="#">
<dc:identifier>http://www.legislation.gov.uk/ukpga/1982/50/section/5/1998-01-05</dc:identifier>
<dc:title>Insurance Companies Act 1982 (repealed)</dc:title>
<dc:description>An Act to consolidate the Insurance Companies Acts 1974 and 1981.</dc:description>
<dc:date>1982-11-01</dc:date>
<dc:type>text</dc:type>
<dc:format>text/xml</dc:format>
<dc:language>en</dc:language>
<dc:publisher>Statute Law Database</dc:publisher>
<dc:modified>2024-05-17</dc:modified>
<dct:valid>1998-01-05</dct:valid>
<ukm:PrimaryMetadata>
<ukm:DocumentClassification>
<ukm:DocumentCategory Value="primary"/>
<ukm:DocumentMainType Value="UnitedKingdomPublicGeneralAct"/>
<ukm:DocumentStatus Value="revised"/>
</ukm:DocumentClassification>
<ukm:Year Value="1982"/>
<ukm:Number Value="50"/>
<ukm:EnactmentDate Date="1982-10-28"/>
</ukm:PrimaryMetadata>
<ukm:Alternatives>
<ukm:Alternative Date="2008-10-27" URI="http://www.legislation.gov.uk/ukpga/1982/50/pdfs/ukpga_19820050_en.pdf" Title="Print Version"/>
</ukm:Alternatives>
<ukm:Statistics>
<ukm:TotalParagraphs Value="284"/>
<ukm:BodyParagraphs Value="140"/>
<ukm:ScheduleParagraphs Value="144"/>
<ukm:AttachmentParagraphs Value="0"/>
<ukm:TotalImages Value="1"/>
</ukm:Statistics>
</proprietary>
</meta>
<body eId="body">
<part eId="part-I">
<num>Part I</num>
<heading> Restriction on Carrying on Insurance Business</heading>
<hcontainer name="crossheading" ukl:Name="Pblock" eId="part-I-crossheading-applications-for-authorisation">
<heading> Applications for authorisation</heading>
<section eId="section-5" uk:target="true">
<num>5</num>
<heading>
Submission of proposals
<abbr title="et cetera" xml:lang="la">etc.</abbr>
</heading>
<subsection eId="section-5-1">
<num>(1)</num>
<intro>
<p>
The
<ins class="first last" ukl:ChangeId="d30p1523" ukl:CommentaryRef="c1481635">
<noteRef uk:name="commentary" href="#c1481635" class="commentary"/>
Treasury
</ins>
shall not issue an authorisation under section 3 above unless—
</p>
</intro>
<level class="para1" eId="section-5-1-a">
<num>(a)</num>
<content>
<p>
the applicant has submitted to
<ins class="first last" ukl:ChangeId="d30p1533" ukl:CommentaryRef="c1481636">
<noteRef uk:name="commentary" href="#c1481636" class="commentary"/>
them
</ins>
such proposals as to the manner in which it proposes to carry on business, such financial forecasts and such other information as may be required by or in accordance with regulations under this Act, and
</p>
</content>
</level>
<level class="para1" eId="section-5-1-b">
<num>(b)</num>
<content>
<p>
<ins class="first last" ukl:ChangeId="d30p1542" ukl:CommentaryRef="c1481637">
<noteRef uk:name="commentary" href="#c1481637" class="commentary"/>
The Treasury are
</ins>
satisfied on the basis of that and any other information received by
<ins class="first last" ukl:ChangeId="d30p1546" ukl:CommentaryRef="c1481636">
<noteRef uk:name="commentary" href="#c1481636" class="commentary"/>
them
</ins>
that the application ought to be granted.
</p>
</content>
</level>
</subsection>
<subsection eId="section-5-1A">
<num>
<ins class="first" ukl:ChangeId="d30p1550" ukl:CommentaryRef="c1481639">
<noteRef uk:name="commentary" href="#c1481639" class="commentary"/>
(1A)
</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1550" ukl:CommentaryRef="c1481639"> The </ins>
<ins ukl:ChangeId="d30p1550" ukl:CommentaryRef="c1481639">
<ins class="first last" ukl:ChangeId="d30p1557" ukl:CommentaryRef="c1481635">
<noteRef uk:name="commentary" href="#c1481635" class="commentary"/>
Treasury
</ins>
</ins>
<ins ukl:ChangeId="d30p1550" ukl:CommentaryRef="c1481639">
shall not issue an authorisation under section 3 above to an applicant which is a
<abbr class="acronym" title="United Kingdom">UK</abbr>
or non-EC company if it appears to
</ins>
<ins ukl:ChangeId="d30p1550" ukl:CommentaryRef="c1481639">
<ins class="first last" ukl:ChangeId="d30p1561" ukl:CommentaryRef="c1481641">
<noteRef uk:name="commentary" href="#c1481641" class="commentary"/>
the Treasury
</ins>
</ins>
<ins class="last" ukl:ChangeId="d30p1550" ukl:CommentaryRef="c1481639"> that the criteria of sound and prudent management are not or will not be fulfilled with respect to the applicant.</ins>
</p>
</content>
</subsection>
<subsection eId="section-5-1B">
<num>
<ins class="first" ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
<noteRef uk:name="commentary" href="#c1481642" class="commentary"/>
(1B)
</ins>
</num>
<intro>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">The </ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
<ins class="first last" ukl:ChangeId="d30p1573" ukl:CommentaryRef="c1481635">
<noteRef uk:name="commentary" href="#c1481635" class="commentary"/>
Treasury
</ins>
</ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
shall not issue an authorisation under section 3 above to an applicant which is a
<abbr class="acronym" title="United Kingdom">UK</abbr>
or non-EC company if it appears to
</ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
<ins class="first last" ukl:ChangeId="d30p1577" ukl:CommentaryRef="c1481641">
<noteRef uk:name="commentary" href="#c1481641" class="commentary"/>
the Treasury
</ins>
</ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642"> that—</ins>
</p>
</intro>
<level class="para1" eId="section-5-1B-a">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">(a)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">the applicant is an undertaking which is closely linked with any person; and</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-1B-b">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">(b)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">the applicant’s close links with that person, or any matters relating to any non-EEA laws or administrative provisions to which that person is subject, are such as would prevent the effective exercise by </ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
<ins class="first last" ukl:ChangeId="d30p1593" ukl:CommentaryRef="c1481645">
<noteRef uk:name="commentary" href="#c1481645" class="commentary"/>
the Treasury or the Secretary of State of his functions
</ins>
</ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642"> under this Act in relation to the applicant;</ins>
</p>
</content>
</level>
<wrapUp>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">and in this subsection “non-EEA laws” means laws of a country or territory outside the European Economic Area and “non-EEA administrative provisions” shall be construed accordingly.</ins>
</p>
</wrapUp>
</subsection>
<subsection eId="section-5-1C">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
<noteRef href="#c1481642" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>
(1C)
</ins>
</num>
<intro>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">The </ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">
<ins class="first last" ukl:ChangeId="d30p1606" ukl:CommentaryRef="c1481635">
<noteRef uk:name="commentary" href="#c1481635" class="commentary"/>
Treasury
</ins>
</ins>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642"> shall not issue an authorisation under section 3 above to an applicant—</ins>
</p>
</intro>
<level class="para1" eId="section-5-1C-a">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">(a)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">which is incorporated in the United Kingdom;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-1C-b">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">(b)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">whose head office is outside the United Kingdom;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-1C-b">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">(b)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">whose business is not restricted to business to which subsection (5) below applies; and</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-1C-d">
<num>
<ins ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">(d)</ins>
</num>
<content>
<p>
<ins class="last" ukl:ChangeId="d30p1566" ukl:CommentaryRef="c1481642">which is not excluded from each Directive mentioned in that subsection by Article 3 of that Directive.</ins>
</p>
</content>
</level>
</subsection>
<subsection eId="section-5-2">
<num>(2)</num>
<content>
<p>
<ins class="first last" ukl:ChangeId="d30p1640" ukl:CommentaryRef="c1481648">
<noteRef uk:name="commentary" href="#c1481648" class="commentary"/>
Subject to subsection (3) below,
</ins>
the
<ins class="first last" ukl:ChangeId="d30p1644" ukl:CommentaryRef="c1481635">
<noteRef uk:name="commentary" href="#c1481635" class="commentary"/>
Treasury
</ins>
shall decide an application for an authorisation under section 3 above within six months of receiving the information referred to in subsection (1)(a) above; and if
<ins class="first last" ukl:ChangeId="d30p1648" ukl:CommentaryRef="c1481650">
<noteRef uk:name="commentary" href="#c1481650" class="commentary"/>
the Treasury refuse
</ins>
to issue the authorisation
<ins class="first last" ukl:ChangeId="d30p1652" ukl:CommentaryRef="c1481651">
<noteRef uk:name="commentary" href="#c1481651" class="commentary"/>
they
</ins>
shall inform the applicant in writing of the reasons for the refusal.
</p>
</content>
</subsection>
<subsection eId="section-5-3">
<num>
<ins class="first" ukl:ChangeId="d30p1656">
<noteRef href="#c1481652" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>
(3)
</ins>
</num>
<intro>
<p>
<ins ukl:ChangeId="d30p1656">The </ins>
<ins ukl:ChangeId="d30p1656">
<ins class="first last" ukl:ChangeId="d30p1665" ukl:CommentaryRef="c1481635">
<noteRef uk:name="commentary" href="#c1481635" class="commentary"/>
Treasury
</ins>
</ins>
<ins ukl:ChangeId="d30p1656"> may defer a decision on an application for an authorisation under section 3 above for such period as may be necessary for the purpose of implementing any decision of the Council or Commission of the Communities under—</ins>
</p>
</intro>
<level class="para1" eId="section-5-3-a">
<num>
<ins ukl:ChangeId="d30p1656">(a)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1656">Article 29b(4) of the first general insurance Directive; or</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-3-b">
<num>
<ins ukl:ChangeId="d30p1656">(b)</ins>
</num>
<content>
<p>
<ins class="last" ukl:ChangeId="d30p1656">Article 32b(4) of the first long term insurance Directive.</ins>
</p>
</content>
</level>
</subsection>
<subsection eId="section-5-4">
<num>
<ins class="first" ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
<noteRef uk:name="commentary" href="#c1481654" class="commentary"/>
(4)
</ins>
</num>
<hcontainer name="wrapper1">
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">In this Act—</ins>
</p>
</content>
</hcontainer>
<hcontainer name="wrapper1">
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">'criteria of sound and prudent management’ means the criteria set out in Schedule 2A to this Act;</ins>
</p>
</content>
</hcontainer>
<hcontainer name="wrapper1">
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
'
<abbr class="acronym" title="European Economic Area">EEA</abbr>
State’ means a State which is a Contracting Party to the
<abbr class="acronym" title="European Economic Area">EEA</abbr>
Agreement
</ins>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
<noteRef href="#c1481655" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>
. . .;
</ins>
</p>
</content>
</hcontainer>
<hcontainer name="wrapper1">
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
'
<abbr class="acronym" title="European Free Trade Area">EFTA</abbr>
State’ means an
<abbr class="acronym" title="European Economic Area">EEA</abbr>
State which is not a member State;
</ins>
</p>
</content>
</hcontainer>
<hcontainer name="wrapper1">
<intro>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">'non-EC company’ means an insurance company—</ins>
</p>
</intro>
<level class="para1" eId="section-5-4-a">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(a)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">whose head office is not in a member State;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-4-b">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(b)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">which is authorised under section 3 or 4 above; and</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-4-c">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(c)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">whose business in the United Kingdom is not restricted to reinsurance business;</ins>
</p>
</content>
</level>
</hcontainer>
<hcontainer name="wrapper1">
<intro>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
'
<abbr class="acronym" title="United Kingdom">UK</abbr>
company’ means an insurance company—
</ins>
</p>
</intro>
<level class="para1" eId="section-5-4-a">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(a)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">which is incorporated in the United Kingdom;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-4-b">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(b)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">whose head office is in the United Kingdom;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-4-c">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(c)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">which is authorised under section 3 or 4 above;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-4-d">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(d)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">whose business is not restricted to business to which subsection (5) below applies; and</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-4-e">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(e)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">which is not excluded from each Directive mentioned in that subsection by Article 3 of that Directive;</ins>
</p>
</content>
</level>
<wrapUp>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
and any reference in this Part to an applicant or body which is a
<abbr class="acronym" title="United Kingdom">UK</abbr>
or non-EC company includes a reference to an applicant or body which would be such a company if the authorisation sought by it were issued.
</ins>
</p>
</wrapUp>
</hcontainer>
</subsection>
<subsection eId="section-5-5">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">
<noteRef href="#c1481654" uk:name="commentary" ukl:Name="CommentaryRef" class="commentary"/>
(5)
</ins>
</num>
<intro>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">This subsection applies to—</ins>
</p>
</intro>
<level class="para1" eId="section-5-5-a">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(a)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">reinsurance business;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-5-b">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(b)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">business which is excluded from the first long term insurance Directive by Article 2(2) or (3) of that Directive;</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-5-c">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(c)</ins>
</num>
<content>
<p>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">business which is excluded from the first general insurance Directive by Article 2(2)(b) of that Directive; and</ins>
</p>
</content>
</level>
<level class="para1" eId="section-5-5-d">
<num>
<ins ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">(d)</ins>
</num>
<content>
<p>
<ins class="last" ukl:ChangeId="d30p1682" ukl:CommentaryRef="c1481654">business which is exempted from the authorisation requirements contained in this Part of this Act by subsections (2) to (5) of section 2 above.</ins>
</p>
</content>
</level>
</subsection>
</section>
</hcontainer>
</part>
</body>
</act>
</akomaNtoso>