IE
S.I. No. 191/1990 - Insurance (Bonding of Intermediaries) Regulations, 1990.
Table of Provisions (11)
Statutory Text (11 Articles)
1. I/We, (name of Insurance Intermediary ........................................................ ), hereinafter in this Bond referred to as "the Insurance Intermediary", of (address of Insurance Intermediary's principal place of business ........................................) hereby undertake and acknowledge myself/ourselves bound to make available to the person nominated or approved of by the Minister for Industry and Commerce, hereinafter in this Bond referred to respectively as "the Nominee" and "the Minister", such sum of money as the Nominee may demand in accordance with clause 3 of this Bond but not exceeding IR£ ............... (value of Bond) to be applied in accordance with clause 4 of this Bond.
2. This Bond shall be valid for ............ month/months, ............ day/days, commencing on the ............... day of ................................... (month and year) and expiring on the .......... day of ......................................... (month and year).
3. IT IS AGREED that where during the period of validity of this Bond or any previous bond effected by the Insurance Intermediary under the Insurance (Bonding of Intermediaries) Regulations, 1990, hereinafter in this Bond referred to as "the Regulations", there is or has been an inability or failure on the part of the Insurance Intermediary to meet his financial obligations in relation to any sums of money received by him from, or on behalf of, his clients during such period, the Insurance Intermediary will make available the sum of money referred to in clause 1 of this Bond upon demand being made on him in respect thereof by the Nominee in accordance with Regulation 4 of the Regulations.
4. (1) Any sum of money made available to the Nominee under this Bond shall be applied by the Nominee—
(
a
) subject to subclause (2) of this clause, for the benefit of any client of the Insurance Intermediary who has incurred loss or liability because of the inability or failure of the Insurance Intermediary to meet his financial obligations in relation to any sums of money received by him from, or on behalf of, that client; and
(
b
) to indemnify, with the consent of the Minister and up to such sum as may be specified by the Minister, the Nominee in respect of such reasonable expenses as are incurred in carrying out the functions referred to in paragraph (
a
) of this subclause.
(2) Subclause (1) (
a
) of this clause shall not apply to any sum of money as is referred to therein where any proceeds of a previous bond effected under the Regulations (including, as the case may be, any proceeds of the guarantee provided in respect of it) have been applied for the benefit of the client referred to in the said subclause (1) (
a
) with respect to the said sum of money.
5. IT IS A CONDITION of this Bond that the Nominee will repay to the Insurance Intermediary such part of any sum of money made available to the Nominee under clause 3 of this Bond as shall not be expended for the purposes mentioned in paragraph (
a
) or (
b
) of clause 4 (1) of this Bond.
Guarantee in respect of insurance intermediary's obligations under foregoing clauses.
6. We, (name of person providing guarantee ............................................ ), hereinafter in this Bond referred to as "the Guarantor", having our registered office at ................................................, at the behest of the Insurance Intermediary, hereby guarantee that there will be made available by the Insurance Intermediary the sum of money referred to in clause 1 of this Bond upon demand being made on the Insurance Intermediary in respect thereof in accordance with clause 3 of this Bond.
7. Any demand under the foregoing guarantee shall be made on the Guarantor by the Nominee in accordance with Regulation 4 of the Regulations.
8. Clause 4 of this Bond shall apply to the application of any sum of money made available under the foregoing guarantee to the Nominee.
9. IT IS A CONDITION of the foregoing guarantee that the Nominee will repay to the Guarantor such part of any sum of money made available to the Nominee under the guarantee as shall not be expended for the purposes mentioned in paragraph (
a
) or (
b
) of clause 4 (1) of this Bond.
10. The Guarantor undertakes—
(
a
) to issue to the Insurance Intermediary a certified copy of this Bond, and
(
b
) in the event of the Insurance Intermediary, on the expiry of this Bond, not presenting a new bond to the Guarantor for the purpose of securing a guarantee in respect of his obligations thereunder, to notify the Minister in writing of that fact not later than seven days after such expiry (without assuming any duty of care to the Nominee or clients of the Insurance Intermediary to ensure that the Minister is so notified).
SIGNED BY (signature of Insurance Intermediary or member of his firm, or where Insurance Intermediary is a registered company, signature of an officer of the company together with seal of the company)
FOR AND ON BEHALF OF (name of Insurance Intermediary)
Dated this ................. day of ............................................................ ., (month and year)
SIGNED BY (signature of an officer of Guarantor together with seal of the Guarantor)
FOR AND ON BEHALF OF (name of Guarantor)
Dated this ............... day of ............................................................ ...., (month and year)
GIVEN under my Official Seal, this 23rd day of July, 1990.
DESMOND O'MALLEY,
Minister for Industry and Commmerce.
EXPLANATORY NOTE
These Regulations specify the form of bond to be used by insurance brokers/agents pursuant to
Section 47
of the
Insurance Act, 1989
(No. 3 of 1989). The Regulations will come into effect on 1 October, 1990.
S.I. No. 191 of 1990.
INSURANCE (BONDING OF INTERMEDIARIES) REGULATIONS, 1990.
I, DESMOND O'MALLEY, Minister for Industry and Commerce, in exercise of the powers conferred on me by sections 5 and 47 of the Insurance Act. 1989 (No. 3 of 1989), hereby make the following regulations