Singapore legislation
Clause 20
Clause 20
Provision for members of associations of underwriters to carry on general business
(1)
Section 3 of this Act shall not prevent general business being carried on in Singapore by an individual if he carries it on as a member of an association of individual underwriters established outside Singapore and for the time being approved for the purposes of this section by the Commissioner, and if the conditions of this section are complied with.
(2)
The Commissioner shall not approve an association for the purposes of this section unless it is organised on the system known as Lloyd’s, that is to say, a system whereby every underwriting member of a syndicate of the association becomes liable for a separate part of the sum secured by every policy subscribed to by that syndicate, limited or proportionate to the whole sum thereby secured.
(3)
Subsection (1) of this section shall not authorise an individual to carry on insurance business in Singapore as a member of any association, unless there are one or more persons resident in Singapore who are authorised to accept service of notices and legal process on behalf of members of the association, being persons nominated for that purpose by the association; and the association shall notify the Commissioner in writing of any such nomination and of any person ceasing to be nominated.
(4)
After the end of six months from the date of the coming into operation of this Act, subsection (1) of this section shall not authorise an individual to carry on insurance business in Singapore unless the association makes with the Accountant-General and maintains the deposit required by this section; and any such deposit shall be applied by the Accountant-General, if and in so far as the Minister directs, in meeting claims against members of the association in respect of Singapore policies.
(5)
The deposit required by this section from an association shall be such as is mentioned in the Third Schedule to this Act, and that Schedule shall have effect in relation thereto.
(6)
After the end of six months from the date of the coming into operation of this Act, this section shall not authorise a person to carry on business as a Singapore insurance agent for any individual, or in the course of a business as Singapore insurance broker to negotiate insurances with any individual, except under the authority of a licence issued by the Commissioner; and for each calendar year in which a person acts under the authority of such a licence, he shall before the end of June in the following year lodge with the Commissioner a statement in the prescribed form, signed by him or on his behalf and giving the prescribed information as to his receipts and payments in connection with business done under that authority.
(7)
Where a person fails to lodge a statement as required by subsection (6) of this section, he shall be guilty of an offence and shall be liable on conviction to a fine of five thousand dollars, and to a fine of fifty dollars for every day during which the offence is continued after conviction.
(8)
A licence under subsection (6) of this section shall be granted for a period of twelve months, beginning with the first day of such month as the applicant for it may require, but the granting or withholding of a licence shall be at the discretion of the Commissioner:Provided that if a licence is withheld, the applicant may appeal to the Minister, and the Minister before determining the appeal shall afford the applicant an opportunity to make representations orally or in writing to a person appointed by the Minister and shall consider any representations made.
(9)
In every year there shall be furnished to the Commissioner on behalf of any association of underwriters of which any members carried on business as Singapore insurers in the preceding year by virtue of this section —
a certificate, signed by the chairman or other presiding officer of the association and by or on behalf of such Minister or other public authority as has the administration of the law relating to insurance in the country in which the association is constituted, whether or not those members of the association have in respect of that preceding year complied with that law so far as applicable to them;
a certified copy of such returns for the preceding year and relating to insurance business carried on by those members of the association as are required by the said law to be furnished to the said Minister or authority; and
the latest annual list of members of the association and of its committee or other governing body.