INSURANCE (AMENDMENT) BILL

Order for Second Reading read.

6.10 p.m.

The Parliamentary Secretary to the Minister for Finance (Mr S. Ramaswamy) (for the Minister for Finance): Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

The Insurance Act, 1966, which came into force on 1st January, 1967, provides that, in the case of a Singapore insurer who is registered under the Act and subsequently ceases to be so registered, the Accountant-General may retain the insurer's statutory deposit until such time as the Insurance Commissioner is satisfied that adequate arrangements have been made by the said insurer to meet contingent liabilities.

The Bill seeks to give the Accountant-General the same powers in relation to existing insurers whose applications for registration under the Act have been refused. It is desirable that the Accountant-General should have such powers, as an existing insurer who fails to obtain registration under the Act is, as far as contingent liabilities are concerned, in the same position as a registered insurer who ceases to be registered.

Mr Speaker, Sir, I beg to move.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the Bill. -[Mr Ramaswamy].

Bill considered in Committee; reported without amendment; read a Third time and passed.

6.16 p.m.