(1) The law applicable to a contract of insurance which covers commitments situated within the State or within other Member States shall be determined in accordance with the following provisions:
(a) The law applicable to insurance contracts shall be the law of the Member State of the commitment. However, where the law of that Member State so allows, the parties may choose the law of another country.
(b) Where a policyholder is a natural person whose habitual residence is in a Member State other than that of which the policyholder is a national the parties may choose the law of the Member State of which the policyholder is a national.
(c) Where a Member State includes several territorial units, each of which has its own rules of law concerning contractual obligations, each unit shall be considered as a country for the purposes of identifying the applicable law.
(d) A Member State in which various territorial units have their own rules of law concerning contractual obligations shall not
…