(1) Despite paragraph (3) of Regulation 146 and without prejudice to paragraphs (5) to (9) of that Regulation, where an insurance undertaking or reinsurance undertaking complies with the Required Solvency Margin referred to in -
(a) Part A of Annex II to the European Communities (Non-Life Insurance) Framework Regulations 1994,
(b) Part A of Annex II to the European Communities (Life Assurance) Framework Regulations 1994, or
(c) Schedule 1 to the European Communities (Reinsurance) Regulations 2006,
immediately before 1 January 2016, but does not comply with the Solvency Capital Requirement in the first year during which Regulations are in force, the Bank shall require the undertaking to take the necessary measures to achieve, by 31 December 2017, the establishment of the level of eligible own funds covering the Solvency Capital Requirement or the reduction of its risk profile to ensure compliance with the Solvency Capital Requirement.
(2) An undertaking to which paragraph (1) applies sh
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