Search Legislation

Policyholders Protection Act 1997

Status:

This is the original version (as it was originally enacted).

Interpretation of the 1975 Act

16Extension of definition of “policy holder”

(1)In section 32 of the 1975 Act (interpretation), in subsection (2) (which provides that expressions used in that Act have the same meaning as in the [1982 c. 50.] Insurance Companies Act 1982), after “above,” there shall be inserted “but subject to subsection (2ZA) below”.

(2)After that subsection there shall be inserted—

(2ZA)In its application by virtue of subsection (2) above, the definition of the expression “policy holder” (in section 96(1) of the [1982 c. 50.] Insurance Companies Act 1982) shall have effect as if the reference in paragraph (b) of the definition to a person to whom a sum is due included a person to whom a sum is contingently due.

17Situation of risks and commitments

(1)In section 32 of the 1975 Act (interpretation), after subsection (2ZA) there shall be inserted—

(2A)Subject to subsection (2C) below, the situation of a risk for the purposes of this Act shall be determined as follows—

(a)in the case of insurance relating to buildings or to buildings and their contents (in so far as the contents are covered by the same policy), the risk shall be treated as situated where the property is situated;

(b)in the case of insurance relating to vehicles of any type, the risk shall be treated as situated where the vehicle is registered;

(c)in the case of policies of a duration of four months or less covering travel or holiday risks (whatever the class concerned), the risk shall be treated as situated where the policyholder took out the policy;

(d)in a case not covered by paragraphs (a) to (c) above—

(i)where the policyholder is an individual, the risk shall be treated as situated where he has his habitual residence at the date when the contract is entered into;

(ii)where the policyholder is not an individual, the risk shall be treated as situated where the establishment of the policyholder to which the risk relates is situated at that date.

(2B)Subject to subsection (2C) below, the situation of a commitment for the purposes of this Act shall be determined as follows—

(a)in the case of a policy where the policyholder is an individual, the commitment shall be treated as situated where the individual has his habitual residence at the date when the commitment is entered into;

(b)in the case of a policy where the policyholder is not an individual, the commitment shall be treated as situated where the establishment to which the commitment relates is situated at that date.

(2C)The Secretary of State may by regulations made by statutory instrument make such provision as he thinks fit about how the situation of a risk or commitment is to be determined for the purposes of this Act; but no regulations shall be made under this subsection unless a draft of the regulations has been laid before and approved by a resolution of each House of Parliament.

(2)In section 31 of that Act (regulations), in subsection (1) (which provides for negative resolution procedure), after “any provision of this Act” there shall be inserted “, except section 32(2C) below,”.

18Miscellaneous

(1)In section 32 of the 1975 Act, in subsection (1), at the appropriate places in alphabetical order, there shall be inserted—

“authorised friendly society” means a society authorised under section 32 of the [1992 c. 40.] Friendly Societies Act 1992 to carry on in the United Kingdom insurance business such as is mentioned in section 31 of that Act;

EC company” and “EEA State” have the same meanings as in the [1982 c. 50.] Insurance Companies Act 1982;

“establishment” has the same meaning as in the Insurance Companies Act 1982;.

(2)In that section, after subsection (2C) there shall be inserted—

(2D)For the purposes of this Act—

(a)a company shall be taken to provide general insurance in the United Kingdom if it covers (otherwise than by reinsurance) a risk situated there through an establishment in another EEA State, and

(b)a company shall be taken to provide long term insurance in the United Kingdom if it covers (otherwise than by reinsurance) a commitment situated there through an establishment in another EEA State.

Back to top

Options/Help

Print Options

Close

Legislation is available in different versions:

Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.

Original (As Enacted or Made):The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.

Close

Opening Options

Different options to open legislation in order to view more content on screen at once

Close

More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources
Close

More Resources

Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • correction slips

Click 'View More' or select 'More Resources' tab for additional information including:

  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • links to related legislation and further information resources