Application provision

1.1 Subject to 1.2, this Part applies to a non-directive insurer carrying on with-profits insurance business.



A firm must ensure at all times that its strategy for distribution of discretionary benefits in respect of each of its with-profits funds:

  1. (1) is affordable and sustainable; and
  2. (2) cannot reasonably be expected to have an adverse effect on the safety and soundness of the firm as a whole, or on the benefit security of all policyholders of the firm.