Entire Section

  • PIN 4.8 PIN 4.8 Failure to comply with this chapter

    • PIN 4.8.1

      An Insurer that becomes aware that it does not comply with this chapter:

      (a) must immediately notify the DFSA in writing;
      (b) must not effect any Contracts of Insurance through an establishment in the DIFC until the DFSA has given it written permission to recommence business;
      (c) must not, if the Insurer is a DIFC Incorporated Insurer, effect any Contracts of Insurance until the DFSA has 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.

      Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]

    • PIN 4.8.2

      An Insurer that 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 DFSA with a written statement of:

      (a) the reasons for the Insurer's belief that it may not be in compliance or may not continue to comply; and
      (b) the action that the Insurer is taking to avoid non-compliance.

      Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]

    • PIN 4.8.3 PIN 4.8.3

      An Insurer to 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.

      Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]

      • PIN 4.8.3 Guidance

        In dealing with non-compliance, or possible non-compliance, with this chapter, the DFSA's primary 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's business. The DFSA's normal 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's failure, and the DFSA will not hesitate to do so.


        Derived from DFSA RM06/2004 (Made 16th September 2004). [VER1/09-04]