(1)Where, after a certificate of insurance or certificate of security has been delivered under section 147 of this Act to the person by whom a policy has been effected or to whom a security has been given, any of the events mentioned in subsection (2) below happens, the happening of that event shall, notwithstanding anything in the [1930 c. 25.] Third Parties (Rights Against Insurers) Act 1930, not affect any such liability of that person as is required to be covered by a policy of insurance under section 145 of this Act.
(2)In the case of the person by whom the policy was effected or to whom the security was given, the events referred to in subsection (1) above are—
(a)that he becomes bankrupt or makes a composition or arrangement with his creditors or that his estate is sequestrated or he grants a trust deed for his creditors,
(b)that he dies and—
(i)his estate falls to be administered in accordance with an order under section 421 of the [1986 c. 45.] Insolvency Act 1986,
(ii)an award of sequestration of his estate is made, or
(iii)a judicial factor is appointed to administer his estate under section 11A of the [1889 c. 39.] Judicial Factors (Scotland) Act 1889,
(c)that if that person is a company—
(i)a winding-up order or an administration order is made with respect to the company,
(ii)a resolution for a voluntary winding-up is passed with respect to the company,
(iii)a receiver or manager of the company’s business or undertaking is duly appointed, or
(iv)possession is taken, by or on behalf of the holders of any debentures secured by a floating charge, of any property comprised in or subject to the charge.
(3)Nothing in subsection (1) above affects any rights conferred by the Third Parties (Rights Against Insurers) Act 1930 on the person to whom the liability was incurred, being rights so conferred against the person by whom the policy was issued or the security was given.