Section 29, The Insurance Act, 2000

(1) Where the Commissioner is satisfied— (a) that a class of insurance business of the insurer is not being conducted in accordance with sound insurance principles; (b) that the insurer has failed to satisfy the margin of solvency prescribed in section 31; (c) that the insurer has ceased to carry on in Sierra Leone insurance business of the class assigned to it, for at least one year; (d) that the insurer has applied in writing for the cancellation of his registration as an insurer; (e) that a judgment obtained in a court in Sierra Leone against the insurer remains unsatisfied for thirty days and there is no appeal pending against the judgement; No. 5 Insurance Act 2000 21 (f) that the insurer is carrying on simultaneously with the insurance business any other business which is detrimental to the insurance business of the insurer; (g) that the business of the insurer has been transferred to or amalgamated with the business of any other insurer; (h) that the insurer has refused to submit to an examination of its books as provided for in this Act; (i) that the insurer has failed to comply with the provisions of section 32 (relating to accounts of life policies); (j) that the insurer has failed to maintain adequate reinsurance arrangements and treaties in respect of the classes of insurance business the insurer is authorised to transact; (k) subject to subsection (3), that the insurer lacks the necessary expertise by virtue of a substantial reduction in the number of its qualified employees; (l) that the insurer has contravened the provisions of any law relating to reinsurance; (m) that the net assets of the insurer are below the minimum paid-up capital and the capital has not been made good within the time stipulated by the Commissioner; (n) that the insurer persistently fails to pay claims promptly; (o) that the insurer has failed to set up the special reserves prescribed under section 33; (p) that the insurer has established a branch office without the approval of the Commission; 22 No. 5 Insurance Act 2000 (q) that the insurer has acted in any manner without the approval of the Commission where this Act requires such approval; (r) that the insurer has been wound-up or otherwise dissolved or has gone into liquidation; (s) that the insurer, in the case of a reinsurance company, has failed to satisfy the provisions of section 23, the Commissioner shall give notice in writing to the insurer of his intention to cancel the registration of the insurer in respect of a particular class or classes of insurance business and the provisions of section 26 shall apply to such notice as if it were a notice to reject an application for registration. (2) Where no appeal is lodged as provided for under section 27, the Commissioner shall, with the approval of the Commission cancel the registration of the insurer and notice of such cancellation shall be published in the *Gazette*. (3) Where the lack of necessary expertise specified in paragraph (k) of subsection (l) relates to a particular class of insurance business, the Commissioner may— (a) suspend the insurer from carrying on that class of insurance business until the deficiency is corrected; or (b) cancel that class of insurance business from the number of insurance businesses the insurer is authorised to transact. (4) Where the certificate of registration of an insurer is cancelled, the insurer shall discontinue acceptance of any new business and shall wind-up the insurance business— (a) within two years of the date of cancellation in the case of re-insurance business; No. 5 Insurance Act 2000 23 (b) within twelve months of the date of cancellation in any other case; and (c) in all cases, a receiver may be appointed from the date of cancellation. (5) If the Commission is satisfied that the insurer has complied with the requirements for non-compliance or contravention for which the registration was cancelled and has complied with any further directions which may be given to the insurer, the Commission [Margin: Alterations in particulars to be reported.]