(1) Despite Regulations 146 and 148, where the solvency position of an insurance undertaking or reinsurance undertaking continues to deteriorate, the Bank shall, in the exercise of its powers under financial services legislation, take all measures necessary to safeguard the interests of policy holders in the case of insurance contracts, or the obligations arising out of reinsurance contracts.
(2) The measures taken pursuant to paragraph (1) shall be proportionate and thus reflect the level and duration of the deterioration of the solvency position of the undertaking.