(1) An incorporated friendly society may include among its purposes the carrying on of any reinsurance business to which subsection (2) below applies to such extent or in such circumstances as may from time to time be approved by the appropriate actuary.
(2) This subsection applies to business consisting of the effecting and carrying out of contracts of reinsurance of risks which -
(a) are insured or to be insured by any other friendly society (whether incorporated or not); and
(b) are of a class or part of a class of insurance business which the society carrying on the reinsurance business itself carries on.
(3) An incorporated friendly society which carries on any insurance business may provide in its rules for the reinsurance to such extent as may from time to time be approved by the appropriate actuary of any risks against which persons are or are to be insured by the society.