PART 2Insurance companies carrying on long-term business
CHAPTER 1Introductory
Meaning of contract of “insurance” or “long-term insurance” and “insurance company”
64Meaning of “contract of insurance” and “contract of long-term insurance”
For the purposes of this Part—
“contract of insurance” has the meaning given by article 3(1) of the FISMA (Regulated Activities) Order 2001, and
“contract of long-term insurance” means a contract which falls within Part 2 of Schedule 1 to that Order.
65Meaning of “insurance company”
1
This section defines for the purposes of this Part what is meant by an “insurance company”.
2
A person who carries on the activity of effecting or carrying out contracts of insurance is an “insurance company” if—
a
the person has permission under Part 4 of FISMA 2000 to carry on that activity,
b
the person is of the kind mentioned in paragraph 5(d) or (da) of Schedule 3 to FISMA 2000 (EEA passport rights) and carries on that activity in the United Kingdom through a permanent establishment there, or
c
the person qualifies for authorisation under Schedule 4 to FISMA 2000 (Treaty rights) and carries on that activity in the United Kingdom through a permanent establishment there.
3
The above definition is subject to the following qualifications—
a
a friendly society within the meaning of Part 3 is not an insurance company, and
4
A person is a “BLAGAB group re-insurer” if for an accounting period—
a
the person carries on basic life assurance and general annuity business,
b
it is not the case that substantially all of the person’s long-term business is long-term business other than basic life assurance and general annuity business, and
c
all of its life assurance business is re-insurance business of a description which is excluded business for the purposes of section 57(2)(e).