Industrial Assurance (Life Assurance Premium Relief) Regulations 1977
| Jurisdiction | UK Non-devolved |
| Citation | SI 1977/1144 |
| Year | 1977 |
1977 No. 1144
INDUSTRIAL ASSURANCE
The Industrial Assurance (Life Assurance Premium Relief) Regulations 1977
Made 7th July 1977
Laid before Parliament 18th July 1977
Coming into Operation 18th August 1977
The Industrial Assurance Commissioner pursuant to the powers conferred upon him by paragraph 13 of Schedule 4 to the Finance Act 1976 and to all other powers enabling him in that behalf hereby makes the following Regulations:—
Citation and Commencement
1. These Regulations may be cited as the Industrial Assurance (Life Assurance Premium Relief) Regulations 1977, and shall come into operation on 18th August 1977.
Interpretation
2.—(1) In these Regulations—
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(2) The rules for the construction of Acts of Parliament contained in the Interpretation Act 1889 shall apply for the purposes of the interpretation of these Regulations.
Adoption of a scheme
3.—(1) An industrial assurance company or collecting society may by resolution of its board of directors or, as the case may be, of its committee of management, passed before 1st October 1978, adopt—
(a)
(a) the prescribed scheme, or
(b)
(b) an approved scheme
for the purpose of securing that in the case of policies or contracts to which the scheme so adopted applies amounts equal to 17½ per cent of the premiums payable are retained by or refunded to the persons paying the premiums.
(2) Where an industrial assurance company or collecting society has adopted any such scheme amounts equal to 17½ per cent of the premiums payable under policies or contracts to which the scheme applies shall be retained by or refunded to the persons paying the premiums as provided in the scheme so adopted.
(3) Written notice of a resolution adopting the prescribed or an approved scheme shall within fourteen days of the passing thereof be sent by the industrial assurance company or collecting society to the Industrial Assurance Commissioner.
(4) Where a collecting society has resolved to adopt the prescribed or an approved scheme any right conferred by section 21 of the Friendly Societies Act 1974 or section 10(1) of the Industrial Assurance and Friendly Societies Act 1948 on any person to receive a copy of the rules of the society or of an amendment thereof shall be extended so as to include the right to receive a copy of the resolution and of the scheme adopted by the resolution.
Increase in premium
4.—(1) A resolution adopting the prescribed scheme may provide that in respect of any specified class of policy or contract issued or made by the company or society before 6th April 1979 to which the scheme applies under which the premium does not exceed £4 every four weeks the premium shall be increased with effect from that date to such sum as after deduction of 17½ per cent thereof equals the amount expressed in the policy or contract to be the premium.
(2) Where such provision is made the resolution shall operate so as to effect the above mentioned increase in the premium payable under every policy or contract of a class to which the provision relates, and the prescribed scheme shall take effect accordingly.
Corresponding increase in sum assured
5.—(1) Where an increase in premium has been effected under regulation 4 the sum assured or guaranteed by the policy or contract under which the increased premium is payable shall be increased by an amount determined in accordance with rules which have been certified by an actuary to be fair in relation to the increased premium payable and have been approved by the Industrial Assurance Commissioner.
(2) Where the sum assured or guaranteed by a policy or contract is increased by virtue of the preceding paragraph the company or society shall on being requested in writing to do so by the person by whom the increased premium is payable notify him in writing of the amount of the increase in the sum assured or guaranteed.
6.—(1) Where an industrial assurance company or collecting society has adopted the prescribed scheme by a resolution making such provision as is referred to in regulation 4(1), the person insured under a policy or contract of a class specified in the provision which was issued or made before 6th April 1979 and under which the premium exceeds £4 every four weeks may before that date irrevocably elect, in the form set out in Schedule 2 to these Regulations or in a form to the like effect, that the premium under the contract under which he is insured shall be increased with effect from 6th April 1979 to such sum as is mentioned in regulation 4(1).
(2) Where such election has been made the increase in premium shall be effective as from 6th April 1979 as if it had been effected under regulation 4(2), and regulation 5 shall apply in respect of an increase in premium under this regulation as it applies in relation to an increase under regulation 4.
Approved schemes
7. The Industrial Assurance Commissioner may before 1st October 1978 approve a special scheme intended to be adopted by an industrial assurance company or collecting society for the purposes mentioned in regulation 3 if in his opinion, in view of the manner in which the business of the company or society is conducted, or any other relevant matter, it is expedient that the special scheme should be adopted.
Notice to premium payers
8. Every industrial assurance company and collecting society shall take all reasonable steps to ensure that every person who on 31st December 1978 is paying premiums under an industrial assurance or collecting society contract made by it receives a notice in a form approved by the...
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