Share capital and deposit required for licensing

(1) Subject to sub-section (2), no company may be licensed to carry on in Belize– (a) long-term insurance business or general insurance business (not inclusive of motor insurance business) unless– (i) if it is a local company, it has a minimum paid-up share capital of one million dollars; or 51 (ii) if it is an overseas company, it has a minimum paid-up share capital of three million dollars; or (iii) if it is a mutual company, it has uncommitted reserves of at least three million dollars; (b) motor insurance business unless it has a minimum paid-up share capital of two hundred and fifty thousand dollars, such capital to be fully paid-up in cash. (2) No company may be licensed to carry on long-term insurance business or general insurance business or motor insurance in Belize, unless, in addition to complying with sub- section (1) of this section, it has deposited with the Supervisor the deposit required under section 24. (3) Upon the commencement of this Act, no further companies shall be licensed to write long-term insurance business in Belize in addition to general insurance business or motor insurance business. (4) Existing companies licensed to write long-term insurance business in Belize in addition to general insurance business or motor insurance business shall have in the case of a local company, a minimum paid-up share capital of two million, two hundred and fifty thousand dollars and in the case of an overseas company, a minimum paid-up share capital of six million, two hundred and fifty thousand dollars. (5) Notwithstanding sub-sections(1) and (3), the Supervisor may, if it appears to him to be necessary, require a company seeking licensing under the Act to increase its paid-up share capital beyond the minimum levels stated in sub-sections (1) and (3). 52 (6) The above capitalisation requirements shall apply and shall be attained by equal increments over an 18 month period from the date on which this Act takes effect where the insurer’s fully paid-up uncommitted capital at the time of passing this Act falls below the minimum levels indicated.