Prudential Regulation Authority Rulebook

4.1

This Chapter only applies to a multi-arrangement special purpose vehicle.

4.2

A multi-arrangement special purpose vehicle must be a UK protected cell company.

4.3

An assumption of risk notification must be submitted using the MISPV new risk assumption notification form.

4.4

An inter-cell arrangement notification must be submitted using the group of cells notification form.

4.5

A multi-arrangement special purpose vehicle must be able to demonstrate to the PRA on request that its solvency cannot be adversely affected by the winding-up proceedings of any one of the undertakings transferring risks to it and that the multi-arrangement special purpose vehicle can maintain the solvency requirement referred to in 2.2 to 2.5 at all times.

4.6

When demonstrating that the multi-arrangement special purpose vehicle's solvency cannot be adversely affected by the winding-up proceedings of any one of the undertakings transferring risk to it, the multi-arrangement special purpose vehicle must provide sufficient supporting evidence to allow the PRA to assess the multi-arrangement special purpose vehicle's overall aggregate maximum risk exposure and the aggregate maximum risk exposure of each individual contractual arrangement relating to the transfer of risk from an undertaking.

4.7

A multi-arrangement special purpose vehicle must be able to demonstrate to the PRA on request sufficient supporting evidence that it satisfies the conditions set out in 2.2 to 2.5 and Chapter 2B taking into account each individual contractual arrangement in order to determine whether the multi-arrangement special purpose vehicle complies with the solvency requirements.