This paragraph applies to a proposal to execute under provisions corresponding to Part VII in a country or territory other than the United Kingdom an instrument transferring all the rights and obligations of the transferor under general or long-term insurance policies, or under such descriptions of such policies as may be specified in the instrument, to the transferee if any of the conditions in sub-paragraphs (2), (3) or (4) is met in relation to it.

The transferor is an EEA firm falling within paragraph 5(d) F1or (da) of Schedule 3 and the transferee is an authorised person whose margin of solvency is supervised by the F5FCA or the PRA.

The transferor is a company authorised in an EEA State other than the United Kingdom under F2Article 51 of the life assurance consolidation directive, or Article 23 of the first non-life insurance directive and the transferee is a UK authorised person which has received authorisation under F3Article 4 of the life assurance consolidation directive or Article 6 of the first non-life insurance directive.

The transferor is a Swiss general insurer and the transferee is a UK authorised person which has received authorisation under F4Article 4 of the life assurance consolidation directive or Article 6 of the first non-life insurance directive.

In relation to a proposed transfer to which this paragraph applies, the F6regulator which supervises the transferee's margin of solvency may, if it is satisfied that the transferee possesses the necessary margin of solvency, issue a certificate to that effect.

“Necessary margin of solvency” means the margin of solvency which the transferee, taking the proposed transfer into account, is required by the F7FCA or the PRA to maintain.

“Swiss general insurer” has the same meaning as in paragraph 2.

“General policy” means a policy evidencing a contract which, if it had been effected by the transferee, would have constituted the carrying on of a regulated activity consisting of the effecting of contracts of general insurance.

“Long-term policy” means a policy evidencing a contract which, if it had been effected by the transferee, would have constituted the carrying on of a regulated activity consisting of the effecting of contracts of long-term insurance.