Insurance (Approved Marine, Aviation and Transit Insurers) Regulations

In these Regulations, unless the context otherwise requires —[Deleted by S 236/2013 wef 18/04/2013](2) Any reference in these Regulations to the domestic liabilities of an approved MAT insurer shall be construed as a reference to the liabilities incurred by the approved MAT insurer as a result of carrying on the business of providing MAT insurance to persons in Singapore.

An approved MAT insurer shall, if notified in writing by the Authority, furnish the Authority with information about any matter related to any MAT insurance business in respect of which it is approved.

Any approved MAT insurer which contravenes paragraph (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000.

Every approved MAT insurer must pay to the Authority, on or before the date specified by written notification sent by the Authority, an annual fee of $20,000.

Payment of the annual fee mentioned in paragraph (1) must be made —

The Authority may exempt wholly or in part any approved MAT insurer from the payment of annual fees specified in paragraph (1).

Where any person holds himself out, or purports to hold himself out, to be an approved MAT insurer when that person is not approved under regulation 5 —

Any person who is guilty of an offence under paragraph (1) shall be liable on conviction to a fine not exceeding $25,000 or to imprisonment for a term not exceeding 3 years or to both and, in the case of a continuing offence, to a further fine not exceeding $2,500 for every day or part thereof during which the offence continues after conviction.

A designated entity may apply to the Authority to be an approved MAT insurer in such form and manner as the Authority may specify.

The Authority may require an applicant to furnish it with such information or documents as it considers necessary in relation to the application.

The Authority may approve an applicant, with or without conditions, or refuse to approve the applicant on such grounds as the Authority thinks fit.

The Authority shall not approve any applicant under paragraph (3) unless the applicant has made a deposit under regulation 9.

The Authority shall cause notice of any approval or change in the name of an insurer approved under this regulation to be published in the Gazette.

The Authority may at any time add to, vary or revoke any existing condition of approval of an approved MAT insurer or impose any new condition thereto.

Any approved MAT insurer which contravenes any condition imposed by the Authority under paragraph (1) or regulation 5(3) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000 and, in the case of a continuing offence, to a further fine not exceeding $2,500 for every day or part thereof during which the offence continues after conviction.

The Authority may, at the request of the approved MAT insurer or on any of the grounds set out in paragraph (2), withdraw the approval of any MAT insurer.

The grounds referred to in paragraph (1) are —

Before withdrawing the approval of an MAT insurer under this regulation otherwise than at the request of the insurer, the Authority shall —

If the insurer referred to in paragraph (3) —

Any insurer which is aggrieved by a decision of the Authority under paragraph (1) to withdraw its approval otherwise than at its request may, within 30 days of the decision of the Authority, appeal to the Minister in writing in accordance with Part IIIB of the Act.

Notwithstanding the withdrawal of the approval of an insurer under this regulation, so long as the insurer remains under any liability in respect of insurance policies belonging to the class of insurance business to which the approval relates, the insurer shall take such action as it considers necessary or as may be required by the Authority to ensure that reasonable provision has been or will be made for that liability and that adequate arrangements exist or will exist for payment of premiums and claims on those policies.

Where an order of withdrawal under regulation 7 becomes effective —

Paragraph (1)(b) shall not prejudice the enforcement by any policy owner or person of any right or claim against the insurer or by the insurer of any right or claim against any policy owner or person.

If the approval of an insurer has been withdrawn, regulation 17 shall, unless the Authority otherwise directs, continue to apply in relation to the insurer in respect of matters that occurred before the withdrawal as if the approval had not been withdrawn, as the case may be.

Every approved MAT insurer shall make and maintain an insurance deposit of a value not less than $2 million or, where allowed by the Authority, its equivalent in foreign currency in the form of Singapore dollar fixed deposits or foreign currency fixed deposits with a bank licensed under the Banking Act (Cap. 19), in respect of the MAT insurance business for which it is to be approved.

Deposits made by an approved MAT insurer under paragraph (1) shall be in the name of the Authority.

Every approved MAT insurer shall, not later than 7 months after the end of each financial year, make and maintain with the Authority such additional deposit, if any, as is necessary to secure that the aggregate value of the deposit referred to in paragraph (1) shall be —

The Authority shall retain any deposit required to be made under paragraphs (1) and (3) until it is satisfied that the approved MAT insurer has ceased to provide MAT insurance to persons in Singapore under these Regulations.

If the Authority is satisfied that the approved MAT insurer has ceased to provide MAT insurance to persons in Singapore under these Regulations, the Authority shall transfer to the insurer the deposits made under paragraphs (1) and (3) less any amount that the Authority determines should be kept available for the purpose of meeting claims against the insurer in respect of MAT insurance policies issued by the insurer under these Regulations.

All income accruing in respect of the deposits made under paragraphs (1) and (3) shall be payable to the insurer making the deposit.

An approved MAT insurer which has made any deposit under this regulation may, at any time, substitute for any asset comprised in the deposit such other assets as the Authority may specify so long as the deposits are not thereby reduced to an amount below that which is required under paragraphs (1) and (3).

If the approved MAT insurer goes into liquidation or is dissolved at its place of incorporation or origin —

The Authority may appoint any person to perform any of its functions under paragraphs (5) and (8)(b).

For the purposes of paragraphs (5) and (8)(b), the costs and expenses of appointing any person under paragraph (9) shall be paid in priority to any claim against the insurer, and all claims against the insurer in respect of MAT insurance policies issued by the insurer under these Regulations shall rank equally between themselves.

If, in the case of any approved MAT insurer, a bank licensed under the Banking Act (Cap. 19) makes with the Authority an agreement in a form approved by the Authority whereby —

Any sum deposited by a bank in pursuance of an agreement made under paragraph (1) shall be dealt with under or for the purposes of these Regulations as if it were a sum deposited by the approved MAT insurer under regulation 9.

Where the Authority is satisfied that there exists a ground on which the Authority would be empowered by regulation 7 to withdraw the approval of an insurer, the Authority may require that assets of the insurer of a value which at any time is equal to the whole or a specified proportion of the amount of its domestic liabilities shall be maintained in Singapore.

The Authority may direct that, for the purposes of any requirement under this regulation, assets of a specified class or description shall or shall not be treated as assets maintained in Singapore.

The Authority may direct that, for the purposes of any requirement under this regulation, the domestic liabilities of an approved MAT insurer, or such liabilities of any class or description, shall be taken to be the net liabilities after deducting any part of them which is reinsured.

A requirement imposed under this regulation may be framed so as to come into effect —

Subject to paragraph (6), in computing the amount of any liabilities for the purposes of this regulation, all contingent and prospective liabilities shall be taken into account but not liabilities in respect of share capital.

For the purposes of this regulation, the Authority may by notice in writing specify the basis on which the value of any assets and the amount of any liabilities shall be determined.

The Authority may, in the case of an approved MAT insurer on which a requirement has been imposed under regulation 11, impose an additional requirement that the whole or a specified proportion of the assets to which the requirement under that regulation applies shall be held by a person approved by the Authority for the purposes of the requirement under this regulation as trustee for the insurer.

Regulation 11(4) shall apply to any requirement under this regulation.

Assets of an approved MAT insurer held by a person as trustee for the insurer shall be taken to be held by him in compliance with a requirement imposed under this regulation if, and only if —

No assets held by a person as trustee for an approved MAT insurer in compliance with a requirement imposed under this regulation shall, so long as the requirement is in force, be released except with the consent of the Authority.

If a mortgage or charge is created by an approved MAT insurer at a time when there is in force a requirement imposed on the insurer by virtue of this regulation, being a mortgage or charge conferring a security on any assets which are held by a person as trustee for the insurer in compliance with the requirement, the mortgage or charge shall, to the extent that it confers such a security, be void against the liquidator and any creditor of the insurer.

An approved MAT insurer shall, if required by the Authority by notice in writing, submit to the Authority —

Where the whole or part of any such form or brochure required under paragraph (1) is not in English, the approved MAT insurer shall submit with it a translation in English.

A requirement made under paragraph (1) shall, unless it is otherwise provided, apply to all such forms and brochures coming into use after the making of the requirement and before the Authority notifies the insurer that the requirement is withdrawn.

If it appears to the Authority, after affording the approved MAT insurer an opportunity to make representations, orally or in writing, that any such form or brochure —

No approved MAT insurer shall use, in the course of providing the insurance business so approved to persons in Singapore, a form of proposal which does not have prominently displayed therein a warning that if a proposer does not fully and faithfully give the facts as he knows them or ought to know them, he may receive nothing from the policy.

For each occasion on which any approved MAT insurer uses a copy of a form or brochure in contravention of paragraph (4) or (5), the insurer shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $12,500.

In this regulation, “brochure” includes any leaflet, circular or similar advertising matter, whether printed or not.

Every approved MAT insurer shall immediately inform the Authority of any change in the control of the insurer.

For the purposes of this regulation, section 34B(9) of the Act shall apply as if every reference to authorised reinsurer were a reference to approved MAT insurer.

The forms mentioned in this regulation are those set out in the Second Schedule.

An approved MAT insurer shall prepare and lodge with the Authority for each financial year —

The statements for any financial year referred to in paragraph (2)(a), (b), (c) and (d)(i) shall be based on the annual audited financial statements of the insurer with respect to that period.

The documents to be lodged with the Authority under this regulation for any financial year of an insurer shall be accompanied by the annual audited report of the insurer with respect to that period, including the audited financial statements and the auditor’s opinion on the financial statements.

Where any report or statement referred to in paragraph (4) is in a language other than English, the copy required by that paragraph shall be in English and shall be certified to be a true translation of the original by the translator.

For the purposes of these Regulations, any reference to documents lodged with the Authority shall not be taken to include documents required by paragraph (4) to accompany documents so lodged.

Any person who contravenes this regulation shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000 and, in the case of a continuing offence, to a further fine not exceeding $2,500 for every day or part thereof during which the offence continues after conviction.

Unless the Authority otherwise agrees, a document to be lodged or submitted by the approved MAT insurer under regulation 17 shall be lodged or submitted by sending to the Authority the number of copies as directed by the Authority.

At least one of the copies of any document referred to in paragraph (1) shall be signed by 2 directors, and the chief executive officer, of the approved MAT insurer.

Unless otherwise allowed by the Authority, a document to be lodged or submitted by an approved MAT insurer shall be lodged or submitted within 6 months after the end of the financial year to which the document relates.

The information on external auditors to be submitted under regulation 17(2)(d)(ii) shall be submitted within 2 months after the effective date of the change.

A document lodged by an approved MAT insurer shall be in English, and shall be printed or, with permission of the Authority, produced by other mechanical means approved by it.

Any person who contravenes this regulation shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000 and, in the case of a continuing offence, to a further fine not exceeding $2,500 for every day or part thereof during which the offence continues after conviction.

If it appears to the Authority that any document lodged or submitted under regulation 17 —

The Authority may, after considering the explanations referred to in paragraph (1), or if such explanations have not been given by or on behalf of the insurer within the time specified in that paragraph, reject the document or give such directions as it may think necessary for its variation within such time (not being less than one month) as is specified in the directions.

Directions given under paragraph (2) with respect to any document may require such consequential variations of any other document lodged or submitted by the insurer under regulation 17 as may be specified in the directions.

Where directions are given under paragraph (2), any document to which they relate shall be deemed not to have been lodged until it is re-submitted with the variations required by the directions, but the insurer shall be deemed to have submitted the document within the time limited by regulation 18 if it is re-submitted with the required variations within the time limited by the directions.

Any member or policy owner of an approved MAT insurer shall have a right, on applying to the insurer, to be sent by the insurer at an address supplied by him copies of the documents lodged or submitted by the insurer to comply with regulation 17, and to have the copies despatched not later than 30 days after the insurer receives the application.

The right referred to in paragraph (1) shall not extend to any document excepted from this provision by the Authority by directions or a document of any other description except the last lodged or submitted of that description.

Any person shall have the right —

The right referred to in paragraph (3) shall not extend to any document excepted from this provision by the Authority, or to documents of any other description lodged or submitted more than 10 years previously.

In any proceedings, a certificate signed by any person appointed by the Authority under section 50 of the Act that a document is one lodged or submitted by an approved MAT insurer to comply with regulation 17, or one that accompanied documents so lodged, may be admitted as evidence of the facts certified.