INSPRU TP Transitional provisions

1Application

1.1

[FCA] [PRA]

R

INSPRU TP 1 applies to an insurer unless it is:

(1)

a non-directive friendly society; or

(2)

an incoming EEA firm; or

(3)

an incoming Treaty firm; or5

5(4)

a Solvency II firm.

Version of IPRU to be used

1.2

[FCA] [PRA]

R

Any reference in INSPRU TP to IPRU(INS) is to the version in force on 30 December 2004.

Duration of transitional

1.3

[FCA] [PRA]

R

INSPRU TP 1 applies until the relevant rule is revoked.

Continuing effect of waivers

1.4

[FCA] [PRA]

R

A rule in INSPRU listed in the Table at INSPRU TP Table 2 is disapplied, or is modified in its application, to a firm:

(1)

in order to produce the same effect, including any conditions, as a waiver had on the corresponding rule in IPRU(INS);

(2)

for the same period as the waiver would have lasted, if shorter than the period in INSPRU TP 1.3;

provided the conditions set out in INSPRU TP 1.5 are satisfied.

1.5

[FCA] [PRA]

R

The conditions referred to in INSPRU TP 1.4 are:

(1)

the rule is shown in the Table at INSPRU TP Table 2 as corresponding with the rule in IPRU(INS) in relation to which the waiver was granted to the firm;

(2)

the waiver was current as respects the firm immediately before 31 December 2004; and

(3)

there is no specific transitional rule relating to the waiver.

1.6

[FCA] [PRA]

R

INSPRU TP 1.4 does not have effect if, and to the extent that, it would be inconsistent with any EU law3 obligation of the United Kingdom.

3

1.7

[FCA] [PRA]

R

A firm which has the benefit of a waiver to which INSPRU TP 1.4 applies must:

(1)

notify the appropriate regulator immediately if it becomes aware of any matter which is material to the relevance or appropriateness of the waiver;

(2)

maintain a written record of the rule in INSPRU to which it considers the waiver applies; and

(3)

make the record available to the appropriate regulator on request.

INSPRU TP Table 2

Rules in INSPRU

Corresponding rules in IPRU (INS)

2.1.22

[PRA]

4.14(1)

3.1.34

[PRA]

5.11

3.1.39

[PRA]

5.11

5.11(4)

5.11(5)

5.11(9)

5.11(11)

3.1.58

[FCA] [PRA]

2.3(2)

1.1.51

[PRA]

2.4(6)

1.1.56

[PRA]

2.4(1)

1.1.66

[PRA]

Appendix 2.1 2.4(1)(b)

Appendix 2.2 2.4(1)(b)

5.9(1)

1.2.40

[PRA]

5.9(2)

1.2.41

[PRA]

5.9(2)

1.2.43

[PRA]

5.10

1.2.74

[deleted]

6.1.17

[PRA]

10.1

10.2

10.2(1)

10.2(2)

10.2(3)

6.1.23

[PRA]

10.2

10.2(1)

10.2(2)

10.2(3)

3

PRU waivers

Application

3.1

[FCA] [PRA]

R

INSPRU TP 3 applies to an insurer unless it is:

(1)

a non-directive friendly society; or

(2)

an incoming EEA firm; or

(3)

an incoming Treaty firm; or5

5(4)

a Solvency II firm.

Version of PRU to be used

3.2

[FCA] [PRA]

R

A reference in INSPRU TP 3 to PRU is to the version in force on 30 December 2006.

Duration of transitional

3.3

[FCA] [PRA]

R

INSPRU TP 3 applies until the relevant INSPRU rule is revoked.

Continuing effect of waivers

3.4

R

A rule in INSPRU is disapplied, or is modified in its application, to a firm:

[FCA] [PRA]

(1)

in order to produce the same effect, including any conditions, as a waiver had on the rule in PRU;

(2)

for the same period as the waiver would have lasted, if shorter than the period in INSPRU TP 3.3;

provided the conditions set out in INSPRU TP 3.5 are satisfied.

3.5

[FCA] [PRA]

R

The conditions referred to in INSPRU TP 3.4 are:

(1)

the rule in PRU in relation to which the waiver was granted to the firm was redesignated as the relevant rule in INSPRU by the Prudential Sourcebook for Insurers Instrument 2006;

(2)

the waiver was current as respects the firm immediately before 31 December 2006; and

(3)

there is no specific transitional rule relating to the waiver.

3.6

[FCA] [PRA]

R

INSPRU TP 3.4 does not have effect if, and to the extent that, it would be inconsistent with any EU law3 obligation of the United Kingdom.

3

3.7

[FCA] [PRA]

R

A firm which has the benefit of a waiver to which INSPRU TP 3.4 applies must:

(1)

notify the appropriate regulator immediately if it becomes aware of any matter which is material to the relevance or appropriateness of the waiver;

(2)

maintain a written record of the rule in INSPRU to which it considers the waiver applies; and

(3)

make the record available to the appropriate regulator on request.

4

EEA pure reinsurers

[deleted]

5

Pure reinsurance groups

[deleted]

26

Admissible assets

[deleted]

47

Mathematical reserves

Application

7.1

[PRA]

R

INSPRU TP 7 applies to an insurer to which INSPRU 1.2 applies.

Duration of transitional

7.2

[PRA]

R

INSPRU TP 7 applies until the relevant rule is revoked.

7.3

[PRA]

R

INSPRU 1.2.79A R does not apply in respect of reinsurance and analogous non-reinsurance financing agreements entered into and the terms of which came into effect before 10 December 2009, provided that immediately before 6 October 2010 the firm had the benefit of INSPRU 1.2.79 R (2) in relation to those reinsurance or analogous non-reinsurance financing agreements.