Clause 12

Subsections (1), (2), (3) and (4) of section 44 of the Insurance Act are hereby deleted and the following substituted therefor: —“(1) In any case where the policy owner of any life policy or life policies of an insurer dies, and the policy moneys are payable thereunder on his death, the insurer may make payment to a proper claimant not exceeding in the aggregate nine-tenths of the policy moneys of all such policies issued by the insurer on the deceased’s life or ten thousand dollars whichever is the lesser without the production of any probate or letters of administration; and the insurer shall be discharged from all liability in respect of the sum paid.(2) If, in any case as is mentioned in subsection (1) of this section, estate duty is leviable in Singapore on any such policy moneys as are there mentioned, the insurer may, notwithstanding subsection (2) of section 40 of the Estate Duty Act (Cap. 137), pay to a proper claimant a sum not exceeding in the aggregate nine-tenths of the policy moneys of all such policies issued by the insurer on the deceased’s life or ten thousand dollars whichever is the lesser, without the policy moneys having been included in such a schedule or certificate as is mentioned in the said subsection (2):Provided that before making any payment under this subsection the insurer shall give not less than fourteen days’ written notice by registered post to the Commissioner of Estate Duties with such particulars as he may require.(3) Subsection (2) of this section shall apply in relation to policy moneys under policies of which the deceased was not the policy owner at his death as it applies in relation to any such policy moneys as are mentioned in subsection (1) of this section.(4) Where a sum is paid under subsection (2) of this section on account of any policy moneys and the policy moneys are not within twelve months thereafter included in such a schedule or certificate as is there referred to, then the insurer shall deposit the balance with the Accountant-General; but before refunding such balance to the insurer on its application to pay to the persons entitled thereto, the Accountant-General may apply the whole or part of the sum deposited in paying any unpaid estate duty leviable on the death.”.