§ Mr. Anthony GrantI beg to move Amendment No. 31, in page 39, line 23, at end insert:
'(e) requiring insurers under the contracts to furnish to the Secretary of State, in such manner and at such times or intervals as may be prescribed, such information certified in such manner as may be prescribed with respect to so much of their business as is concerned with the contracts or with any class or description of the contracts, and enabling the Secretary of State to publish such information in such ways as he thinks appropriate'.This amendment stems from recommendations 24 to 27 of the Scott Committee's Report. Those recommendations basically envisage that, where policies are linked to an internal fund, a set of accounts should be drawn up for that fund and should be audited.The amendment enables the Secretary of State to make regulations requiring companies to draw up such accounts and to make a copy promptly available to the general public, probably by placing it in the appropriate file at the Companies Registration Office. These accounts are intended primarily for the benefit of policy holders in the scheme.
The amendment is substantially similar in effect to Clause 5, but it is limited to the linked long-term contracts defined in subsection (1) of Clause 47. Like Clause 5, it will permit returns to be required more frequently than annually—probably quarterly. Clause 5 relates only to insurance companies. Whilst Lloyd's syndicates do not at present offer long-term insurance, they are not debarred in principle from doing so. Clause 47 provides for the possibility that they may offer linked policies in future. Consequently, the amendment would permit quarterly returns to the Department and 398 annual statements to policy holders derived there from to be prescribed for Lloyd's as well as companies in this context. The amendment tidies up the provisions for implementing this aspect of the Scott Committee's Reports.
§ Amendment agreed to.