Schedule 19C, Part 3, paragraph 7

Where this Schedule applies in relation to an insurer, a provision of a relevant contract, entered into by the insurer before the insurer first enters into financial difficulties, ceases to have effect if, and to the extent that, under the provision— the contract would terminate, a supply would cease, or any other thing would occur, because the insurer is in financial difficulties, or another party to the contract would be entitled to terminate the contract, cease a supply, or do any other thing, because the insurer is in financial difficulties. Where— the entitlement may not be exercised while the insurer is in financial difficulties. under a provision of a relevant contract, another party to the contract is entitled to terminate the contract, cease a supply, or do any other thing because of an event occurring before the insurer was in financial difficulties, and the entitlement arises before the insurer was in financial difficulties, A supplier of goods or services to an insurer must not— make it a condition of a supply of goods or services, while the insurer is in financial difficulties, that any outstanding charges in respect of a supply made to the insurer before the insurer is in financial difficulties are paid, or do anything which has that effect.

← 4 · All articles · 1 →

Source: legislation.gov.uk · retrieved 2026-09-04