The Central Bank of Ireland (the “Central Bank”) hereby gives notice for the purposes of Section 6 (2) of the Insurance Act 1964 (as amended by the Insurance (Amendment) Act 2011) (the “Act”) that, having formed the opinion pursuant to section 6(1) of the Act that the financial state of the Insurance Compensation Fund (the “Fund”) is such that financial support should be provided for it. The Central Bank has, pursuant to section 6(1) of the Act, determined that the appropriate contribution to be paid to the Fund by each insurer or insurer authorised in another Member State is 2% of the aggregate of the gross premiums paid to that insurer or insurer authorised in another Member State in respect of policies issued in respect of risks in the State.
Pursuant to section 6 (2) (a) of the Act, the date on and after which each insurer and insurer authorised in another Member State shall be obliged to pay the appropriate contribution, and being for the purposes of this notice the ‘effective date’ within the meaning of paragraph (a) of the definition of ‘effective date’ in section 6(14) of the Act is: 1 January 2012. Accordingly, the contribution hereby notified shall be paid initially in relation to the period from 1 January 2012 to 31 March 2012 (inclusive of those dates), this period being the first “quarter” within the meaning of section 6(14) of the Act for the purposes of the contribution hereby notified.
Pursuant to section 6(13)(a) of the Act, the Minister for Finance has, by order dated 7 October 2011, appointed the Revenue Commissioners as the collector. Therefore, insurers or insurers authorised in another Member State shall:
a) deliver to the collector a statement in writing showing the aggregate gross premiums paid in that quarter by the holders of policies that the insurer or insurer authorised in another Member State issued in respect of risks in the State; and
b) pay to the collector the appropriate contribution calculated;
within the timeframe specified in section 125(2) of the Stamp Duties Consolidation Act 1999. Accordingly, the first statement and contribution should be delivered by no later than 30 April 2012.
Insurance Compensation Fund Explanation Note
For information provided by the Revenue Commissioners in relation to the Insurance Compensation Fund, please see the Revenue Commissioners website:
English language version: http://www.revenue.ie/en/tax/stamp-duty/miscellaneous.html
Irish language version: http://www.revenue.ie/ga/tax/stamp-duty/miscellaneous.html