Section 18Part 3 — OBLIGATIONS OF LICENSEES
Dispensations to broke business from unlicensed insurers
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The Authority may grant a special dispensation to an insurance broker to place a contract of domestic business with one or more insurers that are not licensed under this Law where —
the insurers have not been refused a licence under this Law; and
the Authority is satisfied that —
the insurers are fit and proper;
the proposed volume of domestic business to be placed with the insurers is inadequate to support the payment of licence fees for a class A insurer licence, or that some other good and sufficient reason exists; and
there is an evident need on the part of the insurance broker, in terms of additional capacity or policy coverage, or otherwise, that the business be so placed.
A dispensation under subsection (1) shall be subject to review at such intervals as the Authority may specify.
The insurers in respect of whom a dispensation under subsection (1) has been granted shall nominate at least one person resident in the Islands and approved by the Authority who is authorised to accept on its behalf service of process in any legal proceedings and any notices to be served.
An insurance broker who has not been granted a special dispensation under subsection (1) shall be personally liable to the insured on all contracts of insurance placed with insurers not licensed under this Law, in the same manner as if the insurance broker were the insurer.