CBR reports on revocation of insurance and reinsurance licences
OREANDA-NEWS. October 16, 2015. By its Order No. OD-2779, the Bank of Russia revoked the insurance and reinsurance licences from the public joint-stock insurance company Russian Insurance Centre (registration number in the unified state register of insurance agents is 0159).
This decision is taken due to the insurance agent’s failure to timely remove violations of the insurance legislation which resulted in suspension of the licences (Bank of Russia Order No. OD-2014, dated 6 August 2015, ‘On Suspending the Insurance and Reinsurance Licences of Public Joint-stock Insurance Company Russian Insurance Centre’), namely, the failure to duly meet Bank of Russia instructions Nos. 53-3-1-1/1615 and 53-3-1-1/1897, dated 8 April 2015, issued due to the failure to comply with financial stability and solvency requirements in terms of backing insurance reserves and equity with eligible assets. The decision becomes effective the day it is published in the Bank of Russia Bulletin.
Due to the revocation of licences страховое public joint-stock insurance company Russian Insurance Centre is obliged:
to take a decision on the termination of the insurance activity in accordance with Russian legislation;
to meet its liabilities arising from insurance (reinsurance) contracts, including the payment of insurance benefits under insurance claims;
to transfer liabilities taken under insurance (reinsurance) contracts, and/or to cancel these contracts.
The public joint-stock insurance company Russian Insurance Centre shall inform the policy holders on the revocation of its licence, early termination of insurance (reinsurance) contracts and/or transfer of liabilities taken under insurance contracts to another insurer within a month after the decision on the revocation of licence becomes effective.