SCHEDULE 3LONG TERM BUSINESS: REVENUE ACCOUNT AND ADDITIONAL INFORMATION
(Forms 40 to 45)
1. All the Forms included in the part of the return to which this Schedule relates (Forms 40 to 45) are to be laid out as shown in this Schedule, except that the instructions to Forms need not be reproduced.
2. The provisions of paragraph 1(2) and paragraphs 3 to 7 of Schedule 1 above shall, unless otherwise provided, also apply for the purposes of this Schedule. All amounts shall be shown in sterling to the nearer £1,000. Percentages shall be shown to two decimal places.
3. For the purposes of this Schedule, a contract shall be regarded as a UK contract if, in the case of direct insurance or facultative reinsurance accepted, the contract was made in the United Kingdom or if, in the case of a reinsurance treaty, the cedant was a company having its head office in the United Kingdom or was a member of Lloyd's; and “overseas contracts” shall be construed accordingly.
4.—(1) Where a company maintains more than one long term business fund, there shall be stated by way of a supplementary note to Form 40 the principles and methods applied to apportioning the investment income, increase or decrease in the value of assets brought into account, expenses and taxation between the different funds.
(2) Boxes marked “No. of Fund/Summary” shall be completed by the inclusion of a discrete number to identify each fund or, if the Form relates to a part of the fund, the fund of which it is part. Where there is only one fund for ordinary long-term insurance business or for industrial assurance business, as the case may be, the number “1” shall be shown in the box marked “No. of Fund/Summary”. Where the Form is a summary Form, the number “99” shall be inserted in that box. Boxes marked “No. of Part of Fund” shall show a discrete number for each part of a fund or the figure “0” if the Form is a statement of the whole fund.
5. Where arrangements have been made for the provision of management services to a company by another company (whether an insurance company or not)—
(a)the first mentioned company shall state, by way of a supplementary note to Form 40 relating to the financial year of the company during any part of which those arrangements are in force; and
(b)the other company (being an insurance company) shall state, by way of a supplementary note to Form 40 relating to the financial year of that insurance company during any part of which those arrangements are in force,
that the arrangements have been so in force in the financial year and naming the parties to them.
