Insurance Act No.54 of 2005 - Vanuatu Financial Services ...

proportional reinsurance means the reinsurance of a part of a liability under a generalpolicy, where premiums are shared in the same proportion as losses between the reinsurerand the general insurer.protected cell company means a protected cell company within the meaning of theProtected Cell Companies Act.reinsurance means a contract by which an insurer insures any part of the risk insuredby the insurer with another insurer.reinsurance policy means a reinsurance policy for a life or general insurance policy.significant owner means a person who, directly or indirectly, alone or with anassociate, exercises rights over shares that:(a)(b)in total represent at least 10% of the share capital of the company; orgive the person at least 10% of the total voting rights in the company or the powerto appoint or remove directors of the board.sinking fund policy means a policy under which a person is entitled to a sum or sums ofmoney on a fixed or determinable future date as policy benefits.survival benefit means a policy benefit to be provided if the life of a personcontinues for a period.(2) Any books, records or documents required to be kept under this Act may be kept inelectronic form.2 Meaning of insurance policy(1) An insurance policy is a contract under which a person, in return for a premium, agrees togive policy benefits if an event contemplated in the contract as a risk occurs.(2) For subsection (1):(a)(b)an event contemplated in a policy is described as being covered by the policy; anda policy benefit includes a benefit other than money.(3) A reference to an insurance policy includes a reference to a re-insurance policy.12