Financial Business Act.pdf
Financial Business Act.pdf
Financial Business Act.pdf
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While this translation was carried out by a professional translation agency, the text<br />
is to be regarded as an unofficial translation based on the latest official Consolidated<br />
<strong>Act</strong> no. 286 of 4 April 2006. Only the Danish document has legal validity.<br />
October 2006, GlobalDenmark Translations<br />
specific members or by several members jointly. No other restriction on the authority to sign<br />
for the company may be registered.<br />
(4) Power of attorney may only be granted by the board of directors. Section 66 shall not<br />
apply.<br />
301.-(1) Mutual non-life assurance companies which are covered by section 294(1) and which<br />
only operate within a small geographical area shall not be covered by the provisions of this<br />
<strong>Act</strong>, cf. however subsections (2) and (3), if the total value of contracts of insurance effected<br />
does not exceed DKK 3 million.<br />
(2) Companies, which are covered by subsection (1), shall, however, designate themselves as<br />
mutual companies. Section 11(4) shall apply correspondingly.<br />
(3) Where a mutual non-life assurance company is subject to supervision in pursuance of this<br />
<strong>Act</strong>, the company shall remain under supervision, even though it may later satisfy the<br />
conditions for exemption set out in subsection (1). The Danish FSA may, however, exempt the<br />
company from supervision, if the company makes a request to this effect in pursuance of a<br />
resolution passed by the general meeting.<br />
302.-(1) The Danish FSA may exempt a mutual non-life assurance company covered by<br />
section 294(1) from the provisions of this <strong>Act</strong> provided that:<br />
1) the total value of contracts of insurance does not exceed DKK 6 million and the<br />
company's risk on a single contract of insurance does not exceed 3 per cent of its total<br />
annual premium income, or<br />
2) the company only effects contracts of insurance within a limited geographical area and<br />
only for a single type of insurance.<br />
(2) In the application of subsection (1), no. 1, account shall not be taken of the extent to<br />
which the company has hedged its risk through reinsurance.<br />
(3) The Danish FSA may apply the provision contained in subsection (1), no. 2, even though<br />
the company effects contracts of insurance which are not covered by section 294(1), no. 1<br />
provided, however, that the company does not effect liability insurance, industrial injuries<br />
insurance, motor vehicle insurance, suretyship insurance or credit insurance.<br />
(4) A company's request for exemption in pursuance of subsection (1) shall have been<br />
approved by the general meeting.<br />
303. If a mutual non-life assurance company covered by the provisions of this part of this <strong>Act</strong><br />
so requests in pursuance of a resolution of the general meeting, the Danish FSA may<br />
determine that the company shall be subject to this <strong>Act</strong>. However, even though such decision<br />
has been taken, the provisions of this part of this <strong>Act</strong> may be applied again if permitted by the<br />
Danish FSA.<br />
EXCLUDING MINOR AMENDMENTS<br />
Special regulations regarding lateral pension funds (nationwide occupational pension funds)<br />
304. For the purposes of this <strong>Act</strong>, lateral pension funds (nationwide occupational pension<br />
funds) shall mean associations or affiliations
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