### Insurance Ordinance 《保險業條例》

41Q. Procedural requirements in respect of exercise of powers under section 41P
(1) The Authority must not exercise a power under section 41P without first giving the authorized insurer in respect of whom the power is to be exercised a reasonable opportunity of being heard.
(2) If the Authority decides to exercise a power under section 41P in respect of an authorized insurer, the Authority must inform the insurer of its decision to do so by notice in writing.
(3) The notice must include—
(a) a statement of the reasons for the decision;
(b) the time when the decision is to take effect;
(c) in so far as applicable, the duration and terms of the revocation, suspension or prohibition to be imposed under the decision;
(d) in so far as applicable, the terms in which the authorized insurer is to be reprimanded under the decision; and
(e) in so far as applicable, the amount of the pecuniary penalty to be imposed under the decision and the period within which it is required to be paid.
(4) In subsection (1), a reference to an opportunity of being heard is a reference to an opportunity to make written representations or oral representations.

41R. Guidelines for exercise of power to impose pecuniary penalty under section 41P
(1) The Authority must not exercise a power under section 41P to impose a pecuniary penalty unless—
(a) it has published, in the Gazette and in any other manner it considers appropriate, guidelines to indicate the way in which it proposes to exercise that power; and
(b) in exercising that power, it has had regard to the guidelines so published.
(2) The guidelines are not subsidiary legislation.

41S. General provisions relating to exercise of disciplinary powers
(1) At any time when the Authority is contemplating exercising a power under section 41P, it may, if it considers it appropriate to do so in the interests of policy holders or potential policy holders or the public interest, by agreement with the authorized insurer concerned—
(a) exercise a power that the Authority may exercise in respect of the insurer under section 41P; and
(b) take an additional action that the Authority considers appropriate in the circumstances of the case.
(2) If the Authority exercises a power or takes an additional action under subsection (1), it must comply with section 41Q as if that section applied to the power or action, unless the insurer agrees otherwise.
(3) In reaching a decision under this Division, the Authority may have regard to any information or material in its possession which is relevant to the decision, regardless of how the information or material has come into its possession.

### Insurance Ordinance 《保險業條例》

41T. Order for payment of pecuniary penalty
(1) An authorized insurer ordered to pay a pecuniary penalty under section 41P must pay the penalty to the Authority within 30 days, or a longer period that the Authority specifies by notice under section 41Q(3)(e), after the order has taken effect.
(2) The Court of First Instance may, on an application of the Authority, register an order to pay a pecuniary penalty made under section 41P in the Court.
(3) On registration, the order is to be regarded as an order of the Court of First Instance made within the civil jurisdiction of the Court for the payment of money.
(4) For making an application under subsection (2), the Authority must produce to the Registrar of the High Court a notice in writing requesting that the order be registered, together with the original and a copy of the order.
(5) A pecuniary penalty paid to or recovered by the Authority under an order made under section 41P must be paid by the Authority into the general revenue.

41U. Effect of suspension under section 41P
(1) If the authorization of an authorized insurer is suspended under section 41P, the insurer must, during the suspension period—
(a) continue to be regarded for the purposes of this Ordinance to be authorized, whether in relation to all or any, or a part of all or any, of the class or classes of insurance business for which the authorization of the insurer is suspended; and
(b) without limiting paragraph (a), continue to be required to comply with the provisions of this Ordinance relating to an authorized insurer as would apply to the insurer were the authorization not so suspended.
(2) Without limiting the powers that can be exercised by the Authority under section 41P, the Authority may revoke the authorization even though the authorization is suspended under section 41P.

41V. Revocation or suspension does not avoid or affect agreement, etc.
A revocation or suspension of the authorization of a person under this Division does not—
(a) avoid or affect an agreement, transaction or arrangement entered into by the person, regardless of whether the agreement, transaction or arrangement was entered into before or after the revocation or suspension; or
(b) affect a right, obligation or liability arising under the agreement, transaction or arrangement.

### Insurance Ordinance 《保險業條例》

41W. Requirement to transfer records on revocation or suspension
(1) If the authorization of an authorized insurer is revoked or suspended under this Division, the Authority may, by notice in writing, require the insurer to transfer to a policy holder of the insurer a copy of the records relating to the policy holder’s assets or affairs, held at any time for the policy holder as specified in the notice.
(2) A person who, without reasonable excuse, fails to comply with a requirement imposed on the person under subsection (1) commits an offence and is liable to a fine of $200,000 and to imprisonment for 2 years.

42. Circumstances in which authorized insurer deemed to be insolvent
(Amended 12 of 2015 s. 2)(1) Subject to subsection (1A), an authorized insurer shall be deemed for the purposes of sections 177 and 327 of the Companies (Winding Up and Miscellaneous Provisions) Ordinance (Cap. 32) to be unable to pay its debts if at any time the value of the assets of the insurer does not exceed the amount of its liabilities by the relevant amount within the meaning of section 10. (Amended 8 of 1989 s. 6; 28 of 2012 ss. 912 & 920; 12 of 2015 s. 2)
(1A) Subsection (1) shall, until 1 April 1991, apply to an insurer which was an authorized insurer immediately before the commencement of the Insurance Companies (Amendment) Ordinance 1989 (8 of 1989) as if section 10(1) had not been amended by that Ordinance. (Added 8 of 1989 s. 6)
(2) Nothing in this section shall be taken as affecting the manner in which, on a winding up, any assets or liabilities are required to be dealt with by virtue of section 45.

43. Winding up of authorized insurer under Companies (Winding Up and Miscellaneous Provisions) Ordinance
(Amended 28 of 2012 ss. 912 & 920; 12 of 2015 s. 2)The Court of First Instance (in this Part referred to as the Court