Insurance Act, 2017 (Act No. 18 of 2017)Chapter 4 : Licensing, Suspension and Withdrawal of Licence28. Consequences of suspension of licence |
| (1) | From the date on which a suspension takes effect as referred to in section 27(4)(b), the Prudential Authority must take all measures necessary to safeguard the interests of policyholders of an insurer or an insurer that is part of an insurance group. |
| (2) | From the date on which a suspension takes effect, the insurer may not enter into new insurance policies in the class or sub-classes to which the suspension relates, but must continue to conduct the insurance business for which it was licensed in respect of insurance policies entered into before the effective date of the suspension. |
| (3) | The Prudential Authority, subsequent to suspending the licence of an insurer or a controlling company, may— |
| (a) | if the insurer or controlling company remedies the circumstances that informed the suspension to the satisfaction of the Prudential Authority within a reasonable period, revoke the suspension and, if appropriate, vary the licence conditions of the insurer or controlling company; or |
| (b) | withdraw the licence. |