PIN A4.4.8

(1) Where a Captive Insurer provides a qualifying intra-group loan to a Rated member of its Group, it shall apply the same percentage factor for that intragroup loan as is applicable for a Rated bond with an equivalent rating as set out in PIN A4.4.1.
(2) A loan is a qualifying intra-group loan for the purposes of (1), where it meets the following criteria:
(a) the borrower is Rated;
(b) the loan maturity is limited to 12 months with no automatic prolongation;
(c) the loan is provided on market terms and conditions;
(d) the loan is subject to a contractual obligation to be repaid at the first call by the Captive Insurer; and
(e) the DFSA has been notified before granting the loan (no prior permission required).
Derived from DFSA RMI296/2021 (Made 24th February 2021). [VER17/04-21]