PIN 3.5.6 PIN 3.5.6
Insurermay not enter into any arrangement, whether or not described as a contract of reinsurance, whereby a Long-Term Insurance Fundof the Insurerstands in the same relation to the Insureras though the Insurerwere the reinsurer in a contract of reinsurance in which the Long-Term Insurance Fundis the cedant.Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]
PIN 3.5.6 Guidance
PIN Rule 3.5.6 operates to prohibit reinsurance between Long Term
Insurance Fundsof the same Insurer, as well as arrangements of the nature of internal contracts of reinsurance where the cession transaction is attributed to a Long-Term Insurance Fundbut the corresponding reinsurance acceptance transaction is not.
Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]