Clause 11

by deleting subsection (1) and substituting the following subsections:“(1) Where —

on or after 1 September 2011, an order is made by a court in Singapore or elsewhere to wind up a PPF Scheme member;

on or after the date of commencement of section 11(a) of the Deposit Insurance and Policy Owners’ Protection Schemes (Amendment) Act 2018, a PPF Scheme member is voluntarily wound up under the Companies Act or under the law of a country or territory outside Singapore;

on or after the date of commencement of section 11(a) of the Deposit Insurance and Policy Owners’ Protection Schemes (Amendment) Act 2018, an order is made, in respect of a PPF Scheme member that is a co‑operative society registered under the Co‑operative Societies Act, cancelling its registration under section 89(1) of that Act;

on or after 1 September 2011, the Authority is of the opinion that a PPF Scheme member is insolvent, unable or likely to become unable to meet its obligations, or about to suspend payments; or

on or after 1 September 2011, the Authority is exercising or is likely to exercise, or has exercised, its powers under Part IVB of the Monetary Authority of Singapore Act (Cap. 186) in relation to a PPF Scheme member,the Authority may determine that the PPF Life Fund or the PPF General Fund be utilised for one or more of the purposes mentioned in subsection (1A).(1A) The purposes mentioned in subsection (1) are —

to pay compensation out of the PPF Life Fund or the PPF General Fund to any covered party in accordance with this Act;

to fund, whether in whole or in part, the transfer of the whole or part of the business of the PPF Scheme member to another insurer;

to fund the run‑off of the insurance business of the PPF Scheme member without taking in any new insurance business or renewing any existing policies (other than a policy which has a provision providing for guaranteed renewability); and

to fund the termination of any insured policy issued by the PPF Scheme member.(1B) For the purposes of subsection (1A) —

the reference in paragraph (b) of that subsection to funding the transfer of the whole or part of the business of the PPF Scheme member to another insurer includes the payment of compensation out of the PPF Life Fund or the PPF General Fund to any covered party in accordance with this Act that is made following from, or in consequence of, the transfer;

the reference in paragraph (c) of that subsection to funding the run‑off of the insurance business of the PPF Scheme member includes the payment of compensation out of the PPF Life Fund or the PPF General Fund to any covered party in accordance with this Act that is made following from, or in consequence of, the run‑off of the insurance business; and

the reference in paragraph (d) of that subsection to funding the termination of any insured policy issued by the PPF Scheme member includes the payment of compensation out of the PPF Life Fund or the PPF General Fund to any covered party in accordance with this Act that is made following from, or in consequence of, the termination,and similar references in other parts of this Act are also to be construed accordingly.”;

by inserting, immediately after the word “member,” in subsection (4), the words “or to fund the termination of any insured policy issued by the failed PPF Scheme member,”; and

by deleting subsection (5) and substituting the following subsections:“(5) Where the Authority has made a determination under subsection (1) that the PPF Life Fund or the PPF General Fund be utilised for the purpose mentioned in subsection (1A)(c), the Authority may make a further determination that the PPF Life Fund or the PPF General Fund, as the case may be, be utilised for one or more of the purposes mentioned in subsection (1A)(b) or (d).(6) Where the Authority makes a determination under subsection (5), the Authority must immediately give notice in writing of its determination to the Agency, and subsections (3) and (4) apply to that notice as if it were a notice given under subsection (2).(7) Upon receipt of the notice mentioned in subsection (2) or (6), the Agency must take all steps necessary to give effect to the Authority’s determination.”.