Clause 20

by deleting subsection (4) and substituting the following subsection:“(4) Subsection (1) shall not authorise an individual to carry on insurance business in Singapore unless the association makes and maintains with the Authority the deposit required by this section; and any such deposit may be applied by the Authority in meeting claims against members of the association in respect of Singapore policies.”;

by inserting, immediately after the word “Commissioner” in the seventh line of subsection (6), the words “or in respect of any risk for which the broker has been permitted under section 19 to negotiate with any insurer”; and

by deleting subsections (10), (11) and (12) and substituting the following subsections:“(10) The Authority may cancel the licence of an insurance agent or broker issued under subsection (6) if it is satisfied that —

the agent or broker has not commenced business within 12 months after being licensed;

the agent or broker has ceased to carry on the business for which it is licensed;

there exists a ground on which the Authority would not be required to consider an application for a licence by the agent or broker under subsection (8);

the agent or broker proposes to make, or has made, any composition or arrangement with its creditors or has gone into liquidation or has been wound up or otherwise dissolved;

the agent or broker is carrying on its business in a manner likely to be detrimental to the interests of policy owners or the public;

the agent or broker is unable to meet its obligations;

the agent or broker has contravened any provision of this Act or any regulation made thereunder or any condition of its licence;

any of the officers of the agent or broker holding a managerial or executive position has been convicted of any offence under this Act; or

the agent or broker has furnished false, misleading or inaccurate information, or has concealed or failed to disclose material facts in its application for a licence.(11) Any person who carries on business as a Singapore insurance agent for any individual or as a Singapore insurance broker in negotiating insurances with any individual without a valid licence under subsection (6) or who fails to comply with any of the conditions of his licence shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding one year or to both and in the case of a continuing offence to a further fine of $1,000 for every day during which the offence continues after conviction.(12) Every insurance agent or broker licensed under subsection (6) shall pay to the Authority such annual fees as may be prescribed.(12A) The Authority may prescribe different annual fees for insurance agents and brokers licensed under subsection (6).”.