The Principal Regulations are hereby amended by the insertion after Article 18 of the following Article:
(1) Subject to subarticle (2) of this Article, an undertaking solely carrying on assistance business in the State at the commencement of the European Communities (Non-Life Insurance) (Amendment) Regulations, 1986, shall comply with the provisions of Articles 16 and 17 of the Directive not later than the 12th day of December, 1989.
(2) Where an undertaking referred to in subarticle (1) of this Article has not by the date specified in that subarticle fully established the required solvency margin, the Minister may allow the undertaking a further period not exceeding two years in which to do so if the undertaking has submitted to the Minister a plan to his satisfaction for the restoration or establishment of the required solvency margin.".