The Insurance Companies (Accounts and Statements) Regulations 1996

PART II

Certificate by appointed actuary

8.  The certificate required by regulation 28(b) above to be signed by the appointed actuary—

(a) shall state—

(i) if such be the case, that in the appointed actuary’s opinion proper records have been kept by the company adequate for the purpose of the valuation of the liabilities of its long term business;

(ii) if such be the case, that the sum of the mathematical reserves and the deposits received from reinsurers as shown in Form 14, together, if the case so requires, with an amount specified in the certificate (being part of the excess of the value of the admissible assets representing the long term business funds over the amount of those funds shown in Form 14), constitute proper provision at the end of the financial year in question for the long term liabilities (including all liabilities arising from deposit back arrangements, but excluding other liabilities which had fallen due before the end of the financial year) including any increase in those liabilities arising from a distribution of surplus as a result of an investigation as at that date into the financial condition of the long term business; and

(iii) if such be the case, that, for the purposes of sub-paragraph (ii) above, the liabilities have been assessed in accordance with Part IX of the Insurance Companies Regulations in the context of assets valued in accordance with Part VIII of those Regulations, as shown in Form 13;

(iv) by way of a list, the professional guidance notes that have been complied with; and

(v) if such be the case, that in the appointed actuary’s opinion premiums for contracts entered into during the financial year and the income earned thereon are sufficient, on reasonable actuarial assumptions, and taking into account the other financial resources of the company that are available for the purpose, to enable the company to meet its commitments in respect of those contracts and, in particular, to establish adequate mathematical reserves; and

(b) shall state the amount of the required minimum margin, required EEA minimum margin or required United Kingdom minimum margin, as the case may be, applicable to the company’s long term business immediately following the end of the financial year in question (including any amounts resulting from any increase in liabilities arising from a distribution of surplus as a result of the investigation into the financial condition of the long term business).

9.  If the appointed actuary considers it necessary, such qualification, amplification or explanation as may be appropriate shall be added to the certificate.