§ (1) Where the managers of any institution carried on for charitable or reformatory purposes prove that the persons who are inmates of and supported by the institution receive benefits and medical attendance when sick, the Insurance Commissioners may grant a certificate of exemption to those managers, and where such a certificate of exemption is granted any such inmates who are employed by the managers of the institution shall not in respect of such employment be deemed to be employed within the meaning of this Part of this Act:
§ Provided that it shall be a condition of such exemption that the managers shall be liable to pay in respect of any such inmate who, having been an inmate of the institution for more than six months, leaves the institution, the following sums:—
- (a) In the case of a person who at the time of entering the institution below the age of sixteen, such capital sum as will be sufficient to secure him benefits under this Part of this Act at the full rate;
- (b) In the case of a person who was at the time of entering the institution of the age of sixteen or upwards, and who was at that time an insured person, and a member of an approved society, a sum equal to the value of the contributions which, apart from this Section, would have been payable in respect of him during the time he was in the institution, calculated in the prescribed manner.
§ (2) Every such inmate as aforesaid shall, if he was an insured person, before entering the institution, be suspended from benefits whilst he is such an inmate, and if he was at such time a member of an approved society and has been an inmate of the institution for a period exceeding six months the time during which he is in the institution shall be disregarded for the purpose of reckoning arrears.
§ Amendments made: In Sub-section (1), paragraph (a), after the word "who" ["of a person who at the time of"], insert the word "was."
§ In paragraph (b), after the word "value," insert the words "calculated in the prescribed manner."
§ In paragraph (b), leave out the words "calculated in the prescribed manner."—[Mr. Lloyd George.]