(1) A policy of a licensed insurer shall cease to remain in force with effect from the date a winding up order has been made in respect of the licensed insurer.
(2) Where a policy ceases to be in force under subsection (1), the policy owner shall only be eligible to claim as a debt due to him—
(a) in the case of a general policy, a refund of a portion of the premium that is commensurate with the remaining period of the policy;
(b) in the case of a life policy, the value of that life policy;
(c) the value of the investments or savings held separately in respect of the policy; or
(d) any other refund or amount,
which shall be ascertained on such basis as may be prescribed by the Bank.
(3) The liquidator shall notify each policy owner and, in the case of a group policy, the group policy owner, about the cessation of an insurance policy by registered post to his last known address of residence or office and by publication in such newspapers as may be specified by the Bank.
Malay text (authoritative)
Penamatan polisi insurans
(1) Polisi penanggung insurans berlesen hendaklah terhenti daripada berkuat kuasa mulai dari tarikh perintah penggulungan telah dibuat berkenaan dengan penanggung insurans berlesen itu.
(2) Jika polisi terhenti daripada berkuat kuasa di bawah subseksyen (1), pemunya polisi itu hanya layak untuk menuntut sebagai hutang yang kena dibayar kepadanya—
(a) dalam hal suatu polisi am, pemulangan sebahagian daripada premium yang sepadan dengan baki tempoh polisi;
(b) dalam hal polisi hayat, nilai polisi hayat itu;
(c) nilai pelaburan atau simpanan yang dipegang berasingan berkenaan dengan polisi itu; atau
(d) apa-apa pemulangan atau amaun lain,
yang hendaklah dipastikan atas apa-apa dasar sebagaimana yang ditetapkan oleh Bank.
(3) Pelikuidasi hendaklah memberitahu setiap pemunya polisi dan, dalam hal suatu polisi kumpulan, pemunya polisi kumpulan, tentang pemberhentian polisi insurans itu melalui pos berdaftar ke alamat kediaman atau pejabatnya yang terakhir diketahui dan melalui iklan dalam mana-mana surat khabar sebagaimana yang ditentukan oleh Bank.
Source: Laws of Malaysia, Attorney General's Chambers of Malaysia (lom.agc.gov.my). Not a copy of the Gazette printed by the Government Printer (Interpretation Acts 1948 and 1967, s 61).
