PIN 4.8 PIN 4.8 Failure to comply with this chapter
Insurerthat becomes aware that it does not comply with this chapter:(a) must immediately notify the DFSAin writing;(b) must not effect any Contracts of Insurancethrough an establishment in the DIFCuntil the DFSAhas given it written permission to recommence business;(c) must not, if the Insureris a DIFC Incorporated Insurer, effect any Contracts of Insuranceuntil the DFSAhas given it written permission to recommence business; and(d) must not make any distribution of profits or surplus however called or described, or return of capital, without the written permission of the DFSA.
Insurerthat believes that it may not be in compliance with this chapter or may not continue to comply with this chapter in the future must immediately provide the DFSAwith a written statement of:(a) the reasons for the Insurer'sbelief that it may not be in compliance or may not continue to comply; and(b) the action that the Insureris taking to avoid non-compliance.
PIN 4.8.3 PIN 4.8.3
Insurerto which PIN Rule 4.8.2 applies must not make any distribution of profits or surplus, however called or described, or return of capital without the written permission of the DFSA.
PIN 4.8.3 Guidance
In dealing with non-compliance, or possible non-compliance, with this chapter, the
DFSA'sprimary concern will be the interests of policyholders, both existing and prospective. It recognises that there will be circumstances in which a problem may be resolved quickly, for example by support from a parent company, without jeopardising the interests of policyholders. In such circumstances, it will be in the interests of all parties for there to be minimum disruption to the Insurer'sbusiness. The DFSA'snormal approach will be to seek to work cooperatively with firms to deal with any problems. There will, however, be other circumstances in which it is necessary to take firm action to avoid exposing further policyholders to the risk of the Insurer'sfailure, and the DFSAwill not hesitate to do so.