Section 61, The Insurance Act, 2000

(1) If at any time the market value or book value of the investments made out of the funds of an insurer carrying on life insurance business and long term insurance business is not more than nine-tenths of the actuarial liability of these businesses, in addition to any claims outstanding at the end of the calendar year in respect of the business, the Commissioner may give notice to the insurer to increase the investments of the life fund by a transfer to the life fund out of the capital or any other resources of the insurer, within a period not exceeding four months from the date of the notice. [Margin: Margin of solvency.] (2) If, at any time, the market value of the investments at the end of any year of an insurer transacting general insurance business (excluding the investments made in respect of life insurance business and long term insurance business, if the insurer carries on those businesses) is less than two-fifths of the gross direct premium written by him in Sierra Leone during that year plus the liability in respect of unsettled claims less reinsurance, the Commissioner may give a notice to the insurer to increase the investments in Sierra Leone within a period not exceeding two months from the date of the notice. (3) If the insurer to whom a notice under subsection (l) or subsection (2) has been issued fails to submit a statement showing the increase of the investment together with a statement as to how the increase was effected before the expiry of the notice, the insurer shall be deemed to have contravened the provisions of this Act and shall be deemed to be an insolvent insurer. (4) For the purposes or this section the market value of any investment shall be the realisable value as can most easily and satisfactorily be ascertained and if there is a difference in opinion between the Commissioner and an insurer relating to the value of any investment the matter shall be referred to the Commission whose decision shall be conveyed to the Commissioner and the insurer within two months of the date of the reference.