Entire Section

  • PIN A8.3.2 PIN A8.3.2

    Where an Insurer arranges its affairs such that Invested Assets attributable to a Long-Term Insurance Fund are held in a Related entity, the Insurer may, with the written approval of the DFSA, calculate components of the Minimum Fund Capital Requirement by reference to the interest of the Long-Term Insurance Fund in the assets that are held by the Related entity, instead of by reference to the interest that the Long-Term Insurance Fund has in that Related entity. In that case this appendix shall be interpreted as though the assets (representing the Long-Term Insurance Fund's interest) held by the Related entity were held directly by the Long-Term Insurance Fund.

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

    • PIN A8.3.2 Guidance

      The effect of PIN Rule A8.3.2 is to provide flexibility for Insurers whose investments are managed on a pooled basis within a Group, or which establish specialist Subsidiaries to manage their investments. While the Insurer's asset in such cases is a balance with, or investment in, a Related entity, this rule permits the Insurer to 'look through' the corporate arrangement and apply this appendix to the assets of the Related entity as though they were the Insurer's own. This flexibility extends to Invested Assets attributable to Long-Term Insurance Funds, though this provision does not provide any exemption from PIN section 3.4 in respect of segregation of assets.

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