THE LAW OF THE REPUBLIC OF BELFRUS
of June 3 1993
Chapter I General Provisions
Article 1. Relations Regulated by the Present Law
The present Law is directed to provide insurance protection to the interests of juridical and natural persons, to form insurance market and regulates the relations in the field of insurance between insurers and insurants, insurers' relations among themselves and relations conserning the state regulation of insurance activities. Implementation of the present Law is not extened to the state social insurance.
Article 2. Insurance Legislation
The insurance legislation includes the present Law and also other lesislation documents issued in connection thereof.
Article 3. Insurance Concept
Insurance represents a system of relations on protection of property interests of juridical and natural persons through formation at the expense of insurance fees (insurance bonuses), paid by these persons, of monetary funds, intended for insurance sums to be paid off and compensations of the losses at occurrence of insurance cases.
Article 4. Forms of Insurance
The insurance can be realized in the forms of voluntary and compulsory insurance. The Insurance is compulsory if it is specified by the Rebublic of Belarus legislation acts. In other cases the insurance is voluntary. Forms, conditions and order of the compulsory insurance are determined by the Republic of Belarus legislation acts concerning the compulsory insurance. Operations in connection with the compulsory insurance are carried out by the state insurance organizations if the legislation does not specify the other. The State guarantees payment of insurance compensations or insurance sums to insurants according to the compulsory insurance forms at occurrence of insurance cases if the insurance has been done by State insurance organization. Conditions of the voluntary insurance are determined by an agreement of the parties in accordance with the legislation.
Article 5. Object of Insurance
An object of insurance can be a property, life, risk and other objects, with which insurance interests, property interests of juridiical and natural persons and also personal non-property interests of natural persons are connected. The insurance interest should exist at the moment of insurance contract conclusion. The insurance interest is a measure of material incentive in insurance. Property interest is expressed in obtaining the value of insured property. Personal non-property interest is consisted in obtaining insurance sum in case of occurrence of the events stipulated by the insurance contract.
Insurers Insurers (insurance organizations) can be State insurance organizations, joint-stock insurance companies, companies with limited or additional responsibility created with the purpose of exercizing the insurance and also other activities, determined by the present Law, if these companies have the statute and reserve funds and reserves in a total sum of not less than five thousand but for specially created reinsurance organizations not less than 15 thousand minimum wages in monetary form, which have been registered and received a licence for carrying out insurance or reinsurance in a certain form. While carrying out insurance and reinsurance operations in foreign currency an insurance organization should have the fund in a proper currency in the sum of not less than 5 thousand minimum wages and a reinsurance one - not less than 15 thousand minimum wages accoding to official index, established by the National Bank of the Republic of Belarus. In insurance organizations with foreign investments the share of foreign participants should not exceed 49% of the statute fund.
Insurants Insurants are recognized as juridical and natural persons who pay insurance fees and enter into specific insurance relations with an insurer (insurance organization). Insurants have the right to conclude insurance contracts in the interests and on behalf of third persons. Juridical and natural persons of the Republic of Belarus have the right to conclude insurance contracts only with insurers (insurance organizations) of the Republic of Belarus. Foreign juridical and natural persons who invest their capital into the economy of the Republic of Belarus can insure their property interest only with insurers of the Republic of Belarus.
Article 8. Insurance Mediators Conclusion and fulfilment of an insurance contract can be done with the help of insurance mediators (agents and brokers).
An insurance agent is a representative of an insurer to whom the latter commisions to carry out insurance activity on behalf of the insurer for a proper reward. Obligations assumed by an agent within the authorities on behalf of the insurer are carried out by the former as if they were accepted by him independently. An insurance broker is an independent mediator, who realizes his activity on the basis of contracts with insurers and insurants. Mediation activity, concerning the insurance, connected with contract conclusions on behalf of a foreign insurance organization on territory of the Republic of Belarus, is prohibited, if interstate agreements with participation of the Republic of Belarus do not specify the other.
Article 9. Insurance Case and Insurance Risk
The insurance case means the event, with occurrence of which the legislation or the insurance contract binds the payment of insurance sum or insurance compensation. Enumeration of insurance cases liable to the compulsory insurance is determined by legislation acts of the Republic of Belarus concerning compulsory insurance, while that for voluntary insurance is determined by the conditions of the insurance contract. An insurance risk, as a probable occurrence of an insurance case, determines the volume of possible responsibility of an insurer over this or that type of insurance.
Article 10. Insurance Cost
The insurance cost (insurance estimate) means the value of property, with which insurance interest is bound, determined by the agreement between the parties at the moment of conclusion of insurance contract if the legislation does not specify the other. The insurance cost, which has been mutually agreed by the parties, cannot be disputed by them. According to the compulsory property insurance an insurance sum cannot exceed the insurance cost.
Article 11. Insurance Sum and Insurance
Compensation Insurance sum means a sum of money resources, within the limit of which an insurer is bound to do a payment at occurrence of an insurance case. Insurance compensation means a sum of money resources, paid to cover the losses at occurrence of an insurance case according to the property insurance contract. As to the property insurance contract, the insurance compensation should not exceed the insurance sum, if the ensurance contract does not specify the other. Legislative and juridical bodies, medical, meteorological, veterinary, municipal and other institutions and organizations are bound to provide documents and conclusions to insurance organizations according to their requests, which are necessary for making decisions, concerning the insurance sum and the insurance compensation to be paid. Sums paid out by the insurance organizations are not taxable and liable to dues. These sums are not liable to the state duty.
Article 12. Insurance Premium (Bonus) and Insurance Rate
An insurance premium is a charge for the insurance which an insurant or another person on behalf of the insurant is under an obligation to pay to the insurer. Size of the insurance premium, concerning voluntary insurance forms is determined by an agreement of the parties, while that for compulsory insurance forms is determined by the legislation. Insurance premiums are not liable to taxation. Insurance premiums concerning the compulsory insurance forms and also the insurance of juridical persons', property, goods and risks of not repayment of credits are included by an insurant into the self-cost of production (works, services). Insurance rate means an insurance premium from the unit of insured sum for the appointed period of insurance. Size of insurance rate concerning compulsory insurance forms is determined by the legislation and as for voluntary insurance forms-by an insurance organization.
Article 13. Co-insurance
The object of insurance can be jointly insured by several insurers (co-insurance). Under co-insurance the rihgts and duties are distributed among insurers according to agreed shares. For the co-insurance of great risks coinsurers may create simple partnerships on the basis of agreements (insurance pools). In the case of a proper agreement among the coinsurers one of them may represent all the coinsurers in interrelations with an insurant being responsible to the latter according to his share only.
Article 14. Reinsurance Reinsurance means transfer of a part of insurer's responsibility before an insurant to another insurer (reinsurer) by an insurer on the specified conditions.
An insurance organization which cannot cover liabilities adopted according to insurance contracts at the expense of its own funds and reserves, should provide fulfilment of obligations through their reinsurance. The reinsurance of risks is possible both by insurers (reinsurers) of the Republic of Belarus and by foreign insurers. Insurers acting in the Republic of Belarus have the right for adopting risks in reinsurance of those insurance forms for which the licence has been received by them. An insurer who has transferred the risk in reinsurance bears the responsibility before the insurant in full scope. Relations between insurer and reinsurer are regulated by a contract. Activities of specialized reinsurance organizations are the subject of regulation realized by the Body of State supervision of insurance activities. Chapter II Insurance Contract
Article 15. Concept of Insurance Contract
According to the insurance contract one party (insurer) is obliged to pay out an insurance compensation or insurance sum on occurrence of an insurance case to the insurant or to another person competent for receiption thereof, and the other party is obliged to pay out insurance premiums at time fixed for payment and to fulfill other conditions of the contract.
Article 16. Form of Insurance Contract
The insurance contract is concluded in written form by issuing the insurance certificate (insurance policy) by the insurer. The insurance certificate (insurance policy) should be issued in accordance with the requirements, claimed for securities.
Article 17. Important Points of an Insurance Contract
As important points of an insurance contract are recognized: the object of insurance, the rate of the insurance sum, insurance premiums and terms of payment thereof, the list of insurance cases, the insurance period, the dates of beginning and termination of the insurance contract.
Article 18. Effective Date of Insurance Contract
The insurance contract comes into force from the moment of payment of the initial insurance premium if the agreement between the parties or the legislation do not specify the other.
Article 19. Insurance Contract of an Object, Bound with Personal
Nonproperty Interest According to the insurance contract of an object, connected with personal nonproperty interest, an insurer is under the obligation to pay out a stipulated insurance sum (part of insurance sum) on occurrence of an insurance case to an insurant or to a person, in favour of whom the contract has been concluded, independently of sums, payable to them according to social insurance, soccial security and in order to compensate the demage, while the insurer or the person, who concluded the contract on behalf of the insurer, is under an obligation to pay out insurance premiums, established by the contract. At concluding such insurance contract the insurer has the right to appoint any person to receive the insurance sum in case of his death. The insurance sum, received by this person, is not included into structure of inherited property. A validity period of the insurance contract on life and pensions cannot be less than three years.
Insurance Contract on an Object, Bound with Property Interest According to the insurance contract of an object, bound with property interest, the insurer is under an obligation for a stipulated payment (insurance premiums) on occurrence of an insurance case, pointed out in the contract, to compensate completely or partially suffered losses to an insurant or a person in favour of whom the contract has been concluded and also to compensate necessary expenses in order to reduce losses liable to compensation within the limits of the insurance sum. After the insurance case the insurant can declare to the insurer about renunciation of insurance of his property and receive the full sum of insurance compensation if this is stipulated by legislation or by the contract.
Article 21. Refusal to Pay Insurance Sum or Insurance Compensation
The insurance sum or insurance compensation is not paid out to the insurant if the insurance case has occured in the consequence of: - premeditated actions from the side of the insurant or a person in favour of whom the contract had been concluded, directed to occurrence of an insurance case, excluding actions made in case of emergency or necessary defence; - military actions of any kind, military actions and their consequences, civil war, people's disturbances and strikes, confiscations, requisitions, arrest, destruction or demage of property by the order of military or civil authorities; - direct or undirect influence of an atom bomb explosion, radiation and radiation contamination connected with any use of atom energy or utilization of splitting materials; in case of introduction of laws (sublaw acts), passed after concluding the insurance contract. The insurer has also the right to refuse to pay the insurance sum or insurance compensation in case the insurant: - has wittingly reported false information to the insurer, or not reported information known to him, and the circumstances thus concealed are in causal relation with occurrence of insurance case; - has not informed in due time the insurer, though having a possibility for that, about the occurrence of an insurance case or has put obstacles to the insurer for determining circumstances, character and extent of damage caused; - did not take measures for preventing and reducing losses that led to the occurrence of an insurance case or to increasing the extent of loss; - has committed a gross negligence and also a violation of antifire safery regulations, storage and transportation regulations for fire-hazardous and explosive materials and articles. The decision on refusal in payment of the insurance sum is taken by the insurer and is handed to the insurant in written form and with the motivation of refusal reason.
Article 22. Transition of Rights and Obligations
According to Insurance Contract In case of death of the insurant, who concluded the property insurance contract, his rights and obligations are transferred to the person, who adopted this property in the order of inheritance. In case of death of the insurant who concluded the personal insurance contract in favour of third persons, his rights and obligations are transferred to these persons. If third persons are incapable, the actions necessary in connection with this insurance contract are entrusted to a guardian or trustee. In case of a transfer of the insured property to another owner, the rights and obligations of the insurant are assigned to the new owner by the insurer's consent.
Consequences of Loss of Juridical Person's Rights or Capability by the Insurant In case of the loss of juridical person's rights by the insurant during the action of the insurance contract in connection with a reorganization or liquidation, the rights and obligations according to the voluntary insurance contract are assigned to his successor by an insurance organization's consent. If during the insurance contract the insurant has been pleaded incapable or restricted in capability by the Court, the rights and obligations of such insurant are assigned to his guardian or trustee. In this case the insurance of civil responsibility is completed from the moment when the capability of the insurant is over or restricted.
Article 24. Termination of Insurance Contract
The insurance contract is terminated in the following cases: 1) expiration of the duration of the insurance contract; 2) fulfilment of contract obligations by the insurer in full volume; 3) non-payment of insurance premiums by the insurant in terms stipulated by the contract; 4) termination of the insurant's activities as juridical person or death of the insurant - citizen, except cases stipulated by articles 22 and 23 of the present Law. The insurance contract can be terminated before term on the insurant's or insurer's demand, if this is stipulated by insurance conditions. In case of preterm termination of the insurance contract on demand of the insurant, the insurer returns to him insurance premiums for the expired period of the contract with the deduction of incurred expenses. If the insurant's demand is stipulated by violation of insurance rules by the insurers, then the latter returns to the insurant the insurance premiums paid out by him in total. In case of preterm termination of the insurance contract on the insurer's demand he returns to the insurant all the insurance premiums paid by him in total. If the insurer's demand is stipulated by non-fulfilment by the insurant of insurance rules, he returns to him the insurance premiums for the expired period of the contract with the deduction of incurred expenses.
Article 25. Invalidity of Insurance Contract
The insurance contract is invalid, if it has been concluded: - on conditions contradicting the present Law, as well as worsening the insurant's position in comparison with the acting legislation; - with persons not possessing civil capability or restricted in capability by the Court, and also with organizational structures not provided with the rights of a juridical person; - with a person, who was at the moment of contract conclusion in a state when he could not understand the meaning of his actions; - in relation to a property obtained by a criminal way and subject to an inventory or arrest, liable to confiscation on the grounds of sentence by Court, that came into force in connection with the Law conserning property confiscation; - after a case upon occurrence of which the insurance contract stipulates payment of the insurance sum (insurance compensation); - by a person who had not the right to conclude a contract on behalf of the insurer; - in other cases stipulated by the legislation. On invalid contracts the insurer returns the insurance premiums received in connecton with the insurance contract to the insurant if the legislation of the Republic of Belarus does not specify the other.
Article 26. Conditions for Concluding a New Contract Concerning Same Object
The insurant has the right to conclude the insurance contract for the same object with new insurers on condition that they have been given a prior notice that this object had been already insured. Non-observance of the above mentioned rule involves invalidity of a new insurance contract.
Article 27. Insurer's Right to Make Claim to Person Responsible for Caused Damage
The right to demand from the person responsible for caused damage (within the limit of the insurance sum) which belonged to the insurant or the person who received the insurance compensation, is assigned to the insurer who had paid the insurance compensaton according to the property insurance. If the insurant abandons the claim to the person mentioned above or the rights providing fulfilment of these claims, the insurer is exemped from a payment of that part of the insurance compensation which would be exacted by him from third persons.
Article 28. Responsibility of an Insurance Organization
For an inopportune payment of the insurance sum (insurance compensation) through the insurance organization's fault a fine should be paid to the insurant for each day of overdue payment delay, which size is defined by the Body of State supervision of insurance activities. Chapter III Economic and Financial Business of Insurers
Article 29. Conditions Providing Financial Stability of Insurers
The basis of financial stability of insurers is the availability of paid-out Statute Fund and insurance reserves and also of a reinsurance system.
Business of Insurance and Reinsurance Organizations Insurance and reinsurance organizations have the right to be involved in investment activities, to carry out credit operations after the licence being received from the National Bank of the Republic of Belarus, to take part in establishing joint-stock companies, joint ventures including foreign capital participation and also to be employed in other activities connected with the insurance, besides insurance activities for the purpose of receiving additional incomes for giving privileges to insurants, improving stability and to guarantee fulfilment of obligations.
Article 31. Profit of Insurance and Reinsurance Organizations
The main summerized factor of the results of economical activities of an insurance and reinsurance organization is the profit determined as the difference between incomes received in the connection with investment and other activitites and expenses for payment of insurance sums, insurance compensation, for conducting cases, for deductions into reserves and the fund of preventive measures in accordance with legislation.
Article 32. Reserves of Insurance and Reinsurance Organizations
For providing protection to insurants insurance and reinsurance organizations assign from their incomes (before the determination of taxable basis) the following insurance reserves: - reserve for property insurance and accident insurance in amount determined by the insurance organization agreed upon with the Body of State supervision of insurance activities; - reserve for life, pension and medical insurance in size determined by the insurance organization and agreed upon with the Body of State supervision of insurance activities. Insurers and reinsurers carrying out insurance activities in hard currency establish the reserves in corresponding currencies. Calculation of reserves is made once a year according to annual results. Insurance and reinsurance organizations have the right to invest or to allocate insurance reserves in other way within the limits determined by the Body of State for supervision of insurance activities.
Article 33. Fund of Preventive Measures
For protection of insurants' property against distructive effects of natural calamity forses and against accidents an insurance organization, performing compulsory insurance operations, establishes the fund of preventive measures from its incomes received from this form of insurance operations (before the determination of tax basis). The fund of preventive measures has a strictly special purpose and is used for financing direct measures for preventing and fighting fire, loss of cattle, destruction and demage to agricultural crops, preventing road accidents. Amount of deduction sum into the fund of preventive measures and procedures for using this fund are determined by the Council of Ministers of the Republic of Belarus.
Article 34. Taxation of Profits of Insurance and Reinsurance Organizations
Profits of insurance and reinsurance organizations are liable to taxation accoding to the order and conditions, determined by special legislation acts of the Republic of Belarus.
Utilization of Net Profit by Insurance and Reinsurance Organizations Insurance and reinsurance organizations establish the reserve fund from the net profit (profit left after payment of taxes and other payments into budget) by means of annual deductions into it of not less than 5% of the profit up to achievement of at least 15% of the Statute Fund. The rest of the net profit is used in conformity with the statute of the insurance or reinsurance organization.
Article 36. Financial Solvency Guarantees of Insurance Organization
To provide guarantees of its financial solvency the insurance organization should observe a ratio between assets and adopted insurance obligations. Methodology to calculate these ratios and their normative volumes is established by the Body of State supervision of insurance activities. Insurers who accepted obligations in volumes exceeding the possibilities to fulfil them at the expense of their own assets and insurance reserves, should insure at reinsurers the risk of the fulfilment of appropriate obligations. Insurance reserves, formed by the insurer, are not liable to confiscation by the State. Allocation of insurance reserves should be done by the insurer on conditions of diversification, returnability, profitabilaity and liquidity.
Article 37. Regulations of Accounting at Insurance and Reinsurance Organizations
Accounting at insurance and reinsurance organizations is carried out according to regulations established by the Body of State supervision of insurance activities. Operations concerning life, pension and medical insurances are accounted by the insurer separately from operations concerning other insurance forms. The Body of State supervision of insurance activities determines the volumes and terms of presentation of accounts and statistical reports by insurance and reinsurance organizations, necessary for fulfilment of control function.
Publication of Annual Balances by Insurance and Reinsurance Organizations Insurance and reinsurance organizations issue the annual balances according to the form and terms established by the Body of State supervision of insurance activities after authenticity of information, given in them, has been confirmed by an auditor organization. Chapter IV State Supervision of Insurance Activities
Article 39. State Supervision of Insurance Activities
The state supervision of insurance activities is carried out by the Body authorized specially for this purpose by the Concil of Ministers of the Republic of Belarus.
Article 40. Main Functions of the Body of State Supervision of Insurance Activities
The main functions of the Body of State supervision of insurance activities are the following: - registration of insurance and reinsurance organizations, representations, branch offices, departments and other detached subdivisions of insurance and reinsurance organizations of the Republic of Belarus who perform their activities on its territory, and keeping the State register of insurance and reinsurance organizations; - giving licence grants to insurance and reinsurnace organizations and insurance brokers for each form of of insurance activities; - control of observation of the insurance legisislation requirements by insurance, reinsurance organizations and insurance brokers; - provision of uniform record keeping and accounting formation of reserves and determination of insurance tariffs by insurance and reinsurance organizations; - design of methodological and normative documents, regulating the activities of insurance and reinsurance organizations within the competence thereof; - reviewing of insurance practice, giving elucidations conserning questions of the application of insurance legislation to insurance and reinsurance organizations and elaboration of proposals conserning improvement thereof; - presentation of the Republic of Belarus in all organizations conserning the matters of insurance policy; - regulation of foreign economic insurance activities; - control over fulfilment of the labour payment legislation by insurance and reinsurance organizations.
Article 41. Rights of the Body of State Supervision of Insurance Activities
The Body of State supervision of insurance activities has the rights: - to control the fulfilment of the insurance legislation requirements by the insurance and reinsurance organizations and also the conformity of volume of assets to the volume of obligations accepted by them and to give directions, obligatory to fulfilment, concerning the elimination of insurnace legislation violations and directions on bringing the volume of assets into conformity with the volume of obligations accepted; - to apply sanctions to insurance and reinsurance organizations and insurance mediators for the violations of the insurance legislation in the order and in amounts determined by the Council of Ministers of the Republic of Belarus; - to suspend the validity of licences granted for a definite period till the elimination of violations revealed or to give directions to eliminate the violations without suspending the licences, or to take decisions to withdraw them: in case of repeated or gross violation of the order of insurance or reinsurance activities for which the licence had been granted, it can cancel it; - to give directions to the owners of insurance or reinsurance organizations or to appeal to the corresponding State body for taking measures to financial recovery of an insurance or reinsurance organization, to replace the managers of an insurance or reinsurance organization, to liquidate the insurance or reinsurance organization in case of systematic violation of the insurance legislation, non-execution of directions thereof and when situation arises which threatens insurants' interests; - to take decisions, concerning compulsory liquidation of insurance or reinsurance organizations in case start of operation is delayed by more than 6 months since the moment of registration; - to appeal to Court bodies for examining cases, concerning bankruptcy of insurance organizations which have not observed their duties to pay insurance sums and insurance compensations; - to suspend operations of insurance and reinsurance organizations with respect to clearing and other accounts in banks and other credit and financial institutions in case they operate without registration or a corresponding licence, or in case of systematical violations of the requirements of current legislation, non-execution of regulations thereof, performance of operation prohibited by the legislation acts of the Republic of Belarus, or operations, exceeding the right limits of insurance or reinsurance organizations; - to collect charges from insurance and reinsurance organizations and their detached structural subdividisions and brokers for registering and granting licences to them to perform insurance activities in amounts, established by the legislation; - to receive from the insurance and reinsurance organizations prescribed accounts on insurance and reinsurance operations, as well as certificates and other information, concerning their financial and economic activities and to apply to credit institutions, organizations and citizens to obtain such information; - to take part in examining educational programs on insurance in higher and special educational institutions, programs of specialized organizations for training and qualification improvement of personnel for insurance and reinsurance organizations.
Article 42. Registration of Insurance and Reinsurance Organizations
Insurance and reinsurance organizations including organizations with the participation of foreign investors in the Republic of Belarus are liable to obligatory State registration by the Body of State supervision of insurance activities. For state registration of insurance and reinsurance organizations by the Body of State supervision of insurance activities it is necessary to present an application completed according to the prescribed form with attachment of the following documents: - decision of the founders on establishment of an insurance or reinsurance organization; - notarized copies of foundation documents; - document of a credit institution, confirming the full payment (before registration of insurance or reinsurance organization) of the Statute Fund in the sum, determined by Article 6 of the present Law; - proof of professional fitness of two top executives and the chief accountant of the insurance or reinsurance organiization; - copy of the payment order confirming payment of the registration fee; - document confirming legality of origin of the financial resources possessed by physical persons, appearing as founders; - other documents defined by the Council of Ministers of the Republic of Belarus. The Body of State supervision of insurance activities assigns registration numbers to insurance or reinsurance organizations, includes them into the register and gives out the registration certificate. State registration is made not later than in 30 days from the date of receiving the application and all necessary documents by the registration body. Refusal to register an insurance or reinsurance organization may be motivated by the following reasons: - violation of the prescribed order of the establishment of an insurance or reinsurance organization; - non-conformity of its foundation documents to the requirements of the legislation ; - lack or illegal origin of investors' financial resourses to be paid into the Statute Fund of the insurance or reinsurance organization (according to the conclusion of an audit organization or finance body); - professional non-fitness (according to the conclusion of the commission of the Body of State supervision of insurance activities) of two top executives and the chief accountant of the insurance or reinsurance organization; - non-authenticity of information provided. Refusal to register an insurance or reinsurance organization by motives of non-expediency of its establishment is not allowed. If refusal to register an insurance or reinsurance organization was motivated by reasons, recognized by its founders as groundless, they can appeal to the Court. Any changes in the foundation documents are subjected to compulsory registration with insetting necessary changes into the register and collection of payment in amount determined by the legislation. Replacement of top executives of insurance and reinsurance organizations after registration thereof should be done by agreeement with the Body of State supervision of insurance activities. Operation of an insurance or reinsurance organization not registered by the Body of State supervision of insurance activities is prohibited. Incomes received in connection with the activities of a non-registered insurance or reinsurance organization are liable to withdrawal into State budget. Registration of represantations, branch offices, departments and other detached subdivisions of insurance and reinsurance organizations of the Republic of Belarus is made in the order determined by the Council of Ministers of the Republic of Belarus. Opening of branch offices, representations, branch insurance or reinsurance organizations with a share of Belarusian capital outside the Republic of Belarus is realized by approval of the Body of State supervision of insurance activities.
Article 43. Licencing of Insurance Activities
An insurance, reinsurance organization or an insurance broker are granted the right to perform insurance activities from the moment of receiving the appropriate licence. The individual licence is granted for each form of voluntary and compulsory insurance, and also for reinsurance, in case the business of the insurer's activities is exclusively reinsurance . Granting licences is made on the basis of an application by an insurance, reinsurance organization or an insurance broker, compiled according to the prescribed form with an enclosure of the following documents: - development plan of insurance operations; - rules or conditions of insurance or reinsurance; - samples of documents which will be used in performing insurance; - economic justification of activities including the estimation of incomes and losses, program of reinsurance protection or other guarantees of security for obligations; - copies of the payment order confirming payment for the licence. The Body of State supervision of insurance activities examines the application of an insurance, reinsurance organization or an insurance broker for granting them a licence within a period of 30 days from the moment of receiving all the documents stipulated by the present Law. In case of necessity to carry out an expert estimation of an insurance or reinsurance organization's activities, the final decision is adopted within 15 days after the expert conclusion is received but not later than 60 days from the moment of receipt of stipulated documents. Refusal to grant the licence can be appealed in due order in Court. Insurance and reinsurance organizations, who did not receive the licence in the prescribed order do not have the right for insurance activities. Chapter V Concluding Points
Article 44. International Agreements
If the Republic of Belarus is a party to an international agreement which establishes the order provision other than that of the present Law, then the provision of the international agreement is applied.
Article 45. Consideration of Disputes
Disputes, resulted from insurance relations and government regulation of insurance activities are settled by the Court or the Economic Court in accordance with their competence, established by the legislation of the Republic of Belarus. The Chairman of the Supreme Soviet of the Republic of Belarus S.Shushkevich Resolution of the Supreme Soviet of the Republic of Belarus On implementing the Insurance Law of the Republic of Belarus The Supreme Soviet of the Republic of Belarus resolves: 1. To implement the Insurance Law of the Republic of Belarus from the date of its publication. 2. To assign the Council of Ministers of the Republic of Belarus within a period of 3 months after the date of the Law to come into force: - to present to the Supreme Soviet of the Republic of Belarus proposals on bringing the legislations acts of the Republic of Belarus in conformity with the insurance Law of the Republic of Belarus; - to bring their decisions in conformity with the Insurance Law of the Republic of Belarus and ensure revision of normative acts contradicting this Law by Ministries and Departments of the Republic of Belarus; - to determine responsibilities of insurance and reinsurance organizations for violation of the Insurance Law and for the points in demand of decision of the Supreme Legislative Body, submit proposals to the Supreme Soviet of the Republic of Belarus; - to institute the rate of payments for registration and licencing of insurance and reinsurance organizations, their structural subdivisions and brokers; - to determine for insurance organizations, engaged in the compulsory insurance, the rate of deductions into the Fund of Preventive Measures and the order of utilization thereof; - to elaborate and pass the Statute of the Body of State supervision of insurance activities. 3. The Council of Ministers of the Republic of Belarus should provide re-registration of insurance organizations registered before the Insurance Law of the Republic of Belarus came into force. We decide that insurance organizations not to be re-registered within one year from the date of the publication of present Law should terminate their activities.
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