Preparation of syndicate underwriting year accounts
4.—(1) Managing agents must, in respect of each syndicate for which Regulation 3(1) requires them to ensure the preparation of accounts and reports, prepare or cause to be prepared underwriting year accounts in accordance with paragraph (2), unless—
(a)no underwriting year of that syndicate has been closed in the preceding financial year or is being closed at the end of that financial year; or
(b)the members of the syndicate for each underwriting year included in the underwriting year accounts, agree unanimously, in writing, that no underwriting year accounts shall be prepared in respect of that syndicate.
(2) The underwriting year accounts must be an account which—
(a)is prepared on an underwriting year basis; and
(b)gives a true and fair view of the result of that underwriting year at closure.
(3) The accounts required by this regulation must—
(a)be prepared within a period of 3 months beginning immediately after the end of the syndicate’s financial year; and
(b)state that they are prepared under this regulation.
(4) Managing agents must cause to be prepared an auditors' report on the underwriting year accounts required by this regulation stating whether a true and fair view is given of the result of the underwriting year at closure.
(5) Part 2 of the Companies Act 1989 (eligibility for appointment as auditors) applies to auditors appointed for the purposes of this regulation subject to any necessary modifications to take account of the fact that the syndicate is unincorporated.