The Financial Services and Markets Act 2000 (Fourth Motor Insurance Directive) Regulations 2002

• Citation: S.I. 2002/2706
• Sections: 3

Section 1 Citation and commencement

These Regulations may be cited as the Financial Services and Markets Act 2000 (Fourth Motor Insurance Directive) Regulations 2002 and come into force on 20th November 2002.

Section 2 Power of the Financial Conduct Authority to make rules under section 137A of the Financial Services and Markets Act 2000

(1) Rules made by the Financial Conduct Authority under section 137A of the Financial Services and Markets Act 2000 (“the 2000 Act ”) (The FCA ’s general rules) may require a relevant authorised person to pay interest in specified circumstances in respect of claims made for compensation.

(2) In paragraph (1)—

(a) “relevant authorised person” means an authorised person with a Part IV permission (within the meaning of the 2000 Act)—

(i) to effect or carry out relevant contracts of insurance; or

(ii) to manage the underwriting capacity of a Lloyd’s syndicate as a managing agent, the members of which effect or carry out relevant contracts of insurance underwritten at Lloyd’s;

where a “relevant contract of insurance” means a contract of insurance against damage arising out of or in connection with the use of motor vehicles on land (other than carrier’s liability);

(b) “specified” means specified in the rules.

(3) Rules made pursuant to paragraph (1) may not come into force before 19th January 2003.

Section 3 Rights of action

In regulation 6 of the Financial Services and Markets Act 2000 (Rights of Action) Regulations 2001 (cases in which contravention of a rule is actionable at the suit of a person who is not a private person)—

(a) after paragraph (3)(c) insert—

(d) the rule that has been contravened requires a relevant authorised person to respond to a claim for compensation within a specified time limit, or to pay interest in specified circumstances in respect of any such claim.

and

(b) for paragraph (4) substitute—

(4) In this regulation—

(a) “relevant authorised person” means an authorised person with a Part IV permission—

(i) to effect or to carry out relevant contracts of insurance; or

(ii) to manage the underwriting capacity of a Lloyd’s syndicate as a managing agent, the members of which effect or carry out relevant contracts of insurance underwritten at Lloyd’s;

where a “relevant contract of insurance” means a contract of insurance against damage arising out of or in connection with the use of motor vehicles on land (other than carrier’s liability);

(b) “rule” has the meaning given by section 150(4) of the Act; and

(c) “specified” means specified in rules.