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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 15 July 2006 - onwards
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Schedule 1 Determination of Required Solvency Margin

Solvency margin required for reinsurance undertakings

1.

(1) An authorised reinsurance undertaking established in the State shall maintain in respect of the whole of its business an adequate available solvency margin that is at all times at least equal to that required by these Regulations.

(2) The undertaking's available solvency margin must consist of its assets, free of all foreseeable liabilities, less any intangible items.

(3) The amount of the available solvency margin for the undertaking must be based on -

(a) the undertaking's paid up share capital, and

(b) those of the undertaking's statutory and free reserves that do not correspond to underwriting liabilities and are not classified as part of the undertaking's equalisation reserve, and

(c) the undertaking's profit or loss brought forward after deducting dividends that are to be paid to its shareholders.

(4) With the consent of the Bank and subject to subparagraphs (5) to (7) of this paragraph, cumulative preferential share ca

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