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CS Professional · Banking and Insurance - Laws and Practice · Functions in Insurance and Compliance related thereto (Part V)

The General Insurance Council resolves to waive collection of fees from insurers for a particular year, and the resolution is approved by the Authority. What is the effect under section 64L?

Once the Authority approves the Council's waiver resolution, the Executive Committee shall not collect any fees for that year. The waiver operates by the Council's resolution plus Authority approval, and no partial collection is contemplated by the proviso to section 64L(2).

  1. AThe Executive Committee shall not collect any fees for that yearCorrect
  2. BThe Executive Committee may still collect half the fees
  3. CThe waiver is valid even without the Authority's approval
  4. DOnly the Authority may collect fees for that year

Explanation

The proviso to section 64L(2) says the Council may waive fees for any year by resolution, and where the Authority approves it, the Executive Committee shall not collect any fees for that year. Approval is therefore needed for the bar to operate; partial collection is not provided for.

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