Explanatory note

This note is not part of the order, but is intended to indicate its general effect.

This order brings into force, on 30 September 2010, section 244 of the Insurance (Prudential Supervision) Act 2010 (the Act). Section 244 requires the Reserve Bank of New Zealand (the Bank) to issue a provisional licence to an insurer if it meets certain criteria. These include the requirement that, within 3 months after the commencement of section 244, the insurer must have notified the Bank that it was carrying on insurance business in New Zealand immediately before the commencement of that section and that it intends to continue carrying on insurance business in New Zealand after 8 March 2012 (the date that is 18 months after the date of assent of the Act). One of the effects of the order is to fix the 3-month period within which insurers must give this notice to the Bank under section 244(b).