The Friendly Societies (Insurance Business) Regulations 1993

Regulation 31

SCHEDULE 5 ASSETS TO BE TAKEN INTO ACCOUNT ONLY TO A SPECIFIED EXTENT

PART I

Descriptions of Asset	Percentage of general business or long term business amount
1.  A piece of land (not being land held as a security for a debt) or a number of pieces of such land to which in the most recent proper valuation of such pieces of land an aggregate value is ascribed which is greater than the aggregate of the value of each such piece of land valued separately.	5%
2.  A debt (other than a listed debenture) due or to become due to the society from any person (not being an individual or a dependant of the society) which is fully secured on land or a number of such debts all of which are secured on the same land.	5%
3.  Debts (other than listed debentures, debts to which regulation 23(2), (3) or (4) above applies, debts of the descriptions specified in paragraph 2 above or paragraph 14 below) which are due or will become due to the society within 12 months of the relevant date (including debts which would become due within that period if the society were to exercise any right to which it is entitled to require payment or repayment of the same) from— (a) any one company and any of its connected companies (not being a dependant of the society),	2½%
(b) any one unincorporated body of persons not being monies due from the Crown or any public body.	2½%
4.  Debts (other than listed debentures, debts to which regulation 23(2), (3) or (4) above applies, and debts of the descriptions specified in paragraph 2 or 3 above or paragraph 14 below) which will become due to the society from— (a) any one company and any of its connected companies (not being a dependant of the society),	1%
(b) any one unincorporated body of persons not being monies due from the Crown or any public body.	1%
5.  Listed equity shares in any one company and any of its connected companies (not being a dependant of the society).	2½%
6.  Listed shares (including listed equity shares but only to the extent that such shares may be taken into account in accordance with paragraph 5 above) and listed debentures in any one company and any of its connected companies (not being a dependant of the society).	5%
7.  Unlisted shares in any one company and any of its connected companies (not being a dependant of the society).	1%
8.  Debenture options and share options (including traded options) in any one company and any of its connected companies (not being a dependant of the society).	1/10%
9.  Options of the description specified in paragraph 8 above and debts and shares of the descriptions specified in paragraphs 3, 4, 5, 6 and 7 above due or to become due from or held in any one company and any of its connected companies to the extent that such debts and shares and options may be taken into account in accordance with the provisions of those paragraphs.	7½%
10.  Debts due or to become due to the society from an individual (other than debts of the descriptions specified in regulation 23(2) above, or paragraph 3(b) or 4(b) above or paragraphs 11 and 14 below).	¼%
11.  Debts due or to become due to the society from an individual, being debts which are fully secured on any dwelling or any land appurtenant thereto owned or to be purchased by the individual and used or to be used by him for his own residence.	1%
12.  Computer equipment.	5%
13.  Office machinery (other than computer equipment), furniture, motor vehicles and other equipment.	2½%

PART II

Description of Assets	Percentage of general business or long term business net premium income
14.  Amounts recorded in the society’s books as due in respect of contributions or premiums which either—	30%
(a) have not been paid, or (b) have been received by an intermediary on behalf of the society, but have not been paid to the society by the intermediary, less any rebates, refunds and commission recorded in the society’s books as allowable or payable in respect of any such amounts.

PART III

15.  In this Schedule, a company is a connected company of another company if it is—

(a) a subsidiary of that other company, or

(b) the holding company of that other company, or

(c) a subsidiary of the holding company of that other company.

16.  In this Schedule, references to “subsidiary” and “holding company” shall have the same meanings as they have for the purposes of the 1981 Regulations as defined in regulation 2 of those Regulations.

17.  In this Schedule, a debt is fully secured on land if the amount that would be realised on the sale of that land at a price equal to the most recent proper valuation of that land would (after deducting the reasonable expenses of sale) be sufficient to enable that debt (and any other obligation secured on that land which has priority to or ranks equally with that debt) to be discharged in full.