Insurance Act, 1989
Keeping of separate bank accounts. |
48.—(1) An insurance intermediary shall keep a separate bank account for each of the following classes of business— | |
(a) an account in connection with premiums payable to insurers under contracts of non-life insurance, or money paid or payable to policyholders by undertakings authorised under the Regulations of 1976; | ||
(b) an account in connection with premiums payable to insurers under contracts of life assurance, or money paid or payable to policyholders by undertakings authorised under the Regulations of 1984, and | ||
(i) all moneys, other than commission payments and service charges, received by him in connection with either such class of business shall be paid into the appropriate account, and | ||
(ii) neither the State nor any person shall have or obtain any recourse or right against money standing to the credit of such account or accounts in respect of a claim or right against an insurance intermediary until all proper claims against these moneys have been satisfied. | ||
(2) The account to be kept— | ||
(a) under subsection (1) (a) shall be designated in all financial records maintained by the intermediary as “ section 48 —Non-life insurance account”, | ||
(b) under subsection (1) (b) shall be designated in all financial records maintained by the intermediary as “ section 48 —Life Assurance account”. | ||
(3) This section shall not apply as respects a tied insurance agent insofar as moneys received by him in connection with premiums payable to undertakings under contracts of insurance or moneys payable to policyholders by undertakings, relate to a tied agency agreement or arrangement entered into by the tied insurance agent. | ||
(4) For the purposes of this section— | ||
“service charge” means an amount payable, or payable in certain circumstances, by a client to an intermediary in respect of his services in relation to contracts of insurance but does not include any premium or part thereof payable to an undertaking; | ||
“tied agency agreement or arrangement” has the meaning assigned to it in section 51 ; | ||
“tied insurance agent” has the meaning assigned to it in section 51 . |