Section 49
of International Insurance and Takaful Order, 2002
Section 49
(1)
Every insurer shall maintain books of account and other records such that –
(a)
the assets in its long-term business fund or funds; and
(b)
the liabilities of its long-term business, can be readily identified at any time.
(2)
Subject to subsection (3), the assets in an insurer’s long-term business fund shall be applicable only for the purposes of that business, notwithstanding any arrangement for its subsequent repayment out of receipts of business other than long-term business.
(3)
The restriction imposed by subsection (2) shall not apply to so much of those assets as are certified by the actuary to the insurer to exceed the extent (as so certified) of the liabilities of the insurer’s long-term business.
(4)
No transfer of assets from the long-term business fund, other than a transfer in accordance with subsection (3), shall be made without the authority of a resolution of the directors of the insurer.
Restrictions on proceedings.