The Friendly Societies Act 1992 (Amendment) Regulations 1994

Business etc. in other EEA States

Recognition of societies in accordance with insurance Directives

15.—(1) For section 57 of the 1992 Act substitute—

“57.    Recognition of societies in accordance with insurance Directives.

Schedule 13B to this Act shall have effect for making provision for or in connection with the recognition in other EEA States of friendly societies to which section 37(2) or (3) of this Act applies.”.

(2) After Schedule 13A to that Act insert Schedule 2 to these Regulations (recognition of friendly societies in other EEA States), as Schedule 13B.

(3) If a friendly society to which section 37(2) or (3) of the 1992 Act applies was immediately before the commencement date lawfully carrying on direct insurance business of a class or part of a class in a member State other than the United Kingdom through an overseas branch in that State, it shall be treated for the purposes of that Act as if the requirements of paragraph 1 of Schedule 13B to that Act had been complied with in relation to insurance business of that class or part of a class.

(4) If a friendly society to which section 37(2) or (3) of the 1992 Act applies was immediately before the commencement date lawfully providing insurance of a class or part of a class in a member State other than the United Kingdom through an establishment in another member State, it shall be treated for the purposes of that Act as if the requirements of paragraph 5 of Schedule 13B to that Act had been complied with in relation to insurance of that class or part of a class.

(6) Regulation 4 of the Friendly Societies (Amendment) Regulations 1993 (which is superseded by this regulation) shall cease to have effect.

Notification by Commission of measures taken by it

16.  For section 57A of the 1992 Act substitute—

“57A.    Notification by Commis– sion of measures taken by it.

(1) This section applies where the Commission is considering taking or has taken any measures in relation to a friendly society to which section 37(2) or (3) above applies which–

(a) carries on insurance business through an overseas branch in an EEA State other than the United Kingdom; or

(b) provides insurance in an EEA State other than the United Kingdom through an establishment in another EEA State.

(2) The Commission–

(a) shall, if required by Article 24 of the first life Directive or Article 20 of the first general insurance Directive, or by any other provision of the life or general insurance Directives to do so, notify any supervisory authority of such a State of those measures or proposed measures; and

(b) may, if it is satisfied that it is expedient to do so, request that authority to take similar measures in relation to the friendly society.

(3) In this section “measure” includes imposing conditions which prohibit the disposals of assets and exercising any power conferred by this Part of the Act.”.