Cap. 403 Art. 64Minister’s power to make regulations.

(1) The Minister may, after consultation with the competent authority, make regulations to give effect to the provisions of this Act and to amend or revoke any schedule thereto and may amend or revoke such regulations; and without prejudice to the generality of the foregoing, the Minister may, by such regulations, in particular, make provision in respect of any one or more of the following matters:

(a) any matter relating to or connected with the business of insurance or contracts of insurance;

(b) the requirements, duties or conditions to be observed by any undertaking authorised under this Act for the sound and prudent management of its activities;

(c) provide for and regulate the payment by any person, body or cell created by a cell company, as the case may be, of any fees, duties and such other charges payable to the competent authority in respect of any matter provided for, by or under this Act or any regulations made under this article;

(d) any matter relating to or connected with any provision contained in the Schedules;

(e) any matter that may or is to be prescribed under any provision of this Act;

(f) any matter incidental to or connected with any of the above;

(g) the penalties or other punishments to which persons contravening or failing to comply with any provision of any regulation made as aforesaid shall become liable, being penalties not exceeding one hundred and fifty thousand euro (€150,000), in respect of any offence and in respect of a continuing offence of a further penalty and not exceeding two hundred and thirty euro (€230) for each day during which the offence continues.

(2) Except where any regulation made under this Act provides for a lesser penalty, any person acting in contravention of or failing to comply with or otherwise observe any such regulation shall be liable to a penalty of not less than two hundred and thirty euro (€230) and not exceeding one hundred and fifty thousand euro (€150,000), in respect of each offence and in the case of a continuing offence to a further penalty not exceeding two hundred and thirty euro (€230) for each day during which the offence continues.

(3) The Minister may, after consultation with the competent authority, make regulations for the supervision of insurance and reinsurance undertakings in a group ("group supervision"). Any such regulations may provide for cases of application, scope and levels of group supervision, provisions relating to the solvency of insurance groups, measures to facilitate group supervision including the appointment of the group supervisor, the verification of equivalence of supervision of a parent undertaking with its head office in a third country, which forms part of a group and for a parent undertaking of one or more insurance or reinsurance undertakings, which is a mixed-activity insurance holding company.

(4) The Minister may, after consultation with the competent authority, make regulations providing for the establishment of special purpose vehicles within the meaning of the Solvency II Directive, including the conditions under which the activities of such vehicles shall be carried on. Any such regulations may provide for exemptions from any provisions of this Act or of any other law, subject to such modifications, variations and conditions as may be specified therein, and in particular may provide that in so far as any of the provisions of the regulations are inconsistent with the provisions of this Act or of any other law, the provisions of the regulations shall prevail, and the provisions of this Act or of any other law shall, to the extent of the inconsistency, not apply.

(5) The Minister may, after consulting the competent authority, make regulations exempting any person, activity or operation or any class or classes or part classes of business of insurance, from all or any of the provisions of this Act or of any regulations made thereunder, subject to such conditions or requirements including the requirement of other forms of authorisation and notification procedures as may be prescribed.

(6) The Minister may, after consultation with the competent authority, make regulations applicable to captive insurance undertakings and captive reinsurance undertakings, exempting from and modifying any of the provisions of this Act or of any regulations made thereunder.

(7) The Minister may, after consultation with the competent authority, make regulations to better implement the provisions of this Act, including the transposition of any requirement or provision as may arise under a Directive, Regulation or Decision of the European Union or any other similar measure relevant for the purposes of this Act. Any such regulations made to transpose any requirement or provision as may arise under a Directive, Regulation or Decision of the European Union or any other similar measure may provide for exemptions from any provisions of this Act or of any other law, subject to such modifications, variations and conditions as may be specified therein, and in particular may provide that in so far as any of the provisions of the regulations are inconsistent with the provisions of this Act or of any other law, the provisions of the regulations shall prevail, and the provisions of this Act or of any other law shall, to the extent of the inconsistency, not apply.

(8) The Minister may, after consultation with the competent authority, make regulations determining the class or classes of long term business and the class or classes or part classes of general business that may be effected and carried out under this Act.

(9) Regulations made under this Act may make such exemptions, conditions or modifications as may be specified therein in respect of different cases, circumstances or purposes and may give the competent authority such power of adaptation of the regulations as may be specified therein.

(10) The exercise of any of the powers assigned under this article shall be subject to any obligations or restrictions arising from Malta’s international commitments.

(11) Regulations made under this Act and any amendment or revocation of such regulations, may be published in the English language only.