The Saeima has adopted and the President promulgated the following laws: the law of reinsurance chapter I. General provisions article 1. The law is applied in the following terms: 1) reinsurance ceded risks — from reinsurance insurance merchant, merchant or private pension funds;
2) reinsurance ceded-the insured risk transfer insurance or reinsurance for economic operators economic operators;
3) — risks reinsured retrocession of transfer of insurance or reinsurance for economic operators economic operators;
4) Latvia registered reinsurer,: a) company that is registered as a limited liability company or limited liability company, or a European company, which, in accordance with this law shall have the right to engage in reinsurance (reinsurance company), b) foreign reinsurers branch, which, in accordance with this law shall have the right to engage in reinsurance;
5) Member State: foreign reinsurers reinsurers who registered in a Member State and who headquarters (registration) in the country have the right to engage in reinsurance;
6) foreign reinsurer, outside of Latvia registered the person home (registration) in the country have the right to engage in reinsurance;
7 no Member State the reinsurers-) outside the Member State of the person to whom the registered home (registration) in the country have the right to engage in reinsurance;
8) branch — reinsurance merchant affiliate. The meaning of this Law Branch comparable reinsurance's permanent presence in the Member State, and the presence of the reinsurance business person provides to create a State Office or employing any independent person granted permanent reinsurance business person empowered to act on his behalf in a way you would branch;
9) a branch of a reinsurance undertaking, a reinsurance company established abroad and registered branch, which works on behalf of the reinsurance undertaking;
10) foreign reinsurers branch — Latvia created and registered foreign reinsurers branch, which acts as a reinsurer) Member State branch in Latvia up and registered in the Member State of the branch, the reinsurer b) Member State the reinsurers branch — Latvia created and registered in a Member State the reinsurers branch;
11) reinsurance business person, legal person, a Member State is entitled to engage in reinsurance;
12) — workers pārapdrošinājum insurance merchant, the merchant or the reinsurance private pension fund, which concluded reinsurance or retrocession reinsurance treaty under which the insurance or reinsurance business person the operator assigns the insure risks for another pārapdrošināto or insurance or reinsurance merchant trader or with a private pension fund which assigns the biometric risks insurance or reinsurance for economic operators economic operators;
13) (registration) in the home country: the country in which the reinsurance company management (public seat);
14) Member States, the European Union or the European economic area;
15) Member State of the branch, the Member State in which the branch of a reinsurance undertaking;
16) personal control — control over the company, which gets in the way, that: (a) that person is a commercial company) a decisive impact on participation, (b) that person is a commercial company) a decisive impact on the Group's contract, c) between that person and the company exists any other point "a" or "b" referred to in subparagraph relationships analogous relationships;
17) qualifying holding, directly or indirectly for participation, which covers 10 and more percent of the company's share capital or of the voting shares or allows significantly affect the commercial activity;
18) close relations — two or more person correlation: a) in the form of membership — the person directly or by way of control is 20% or more of the voting rights in the company or person directly or by way of control acquired a participation, which covers 20 percent of the company and more of the share capital or of the voting eligible number of shares or, b), (c) the type of control) to one and the same person by a control;
19) — the parent company of the company, which controls another company;
20) subsidiary company: a company that is controlled by another company. Any subsidiary of a subsidiary is considered to be its parent company's subsidiary;
public participation: 21) the parent company of the company, or which directly or by way of control gained 20 or more percent of the voting rights in a company, or directly or by way of control acquired the company participation, which covers 20 percent of the share capital and over or voting shares;
22) related company, subsidiary company or company in which, directly or by way of control have produced 20 or more percent of the voting rights or direct or by way of control for participation, which covers 20 percent of the share capital and over or voting shares;
23) financial company is: a) a credit institution, a financial institution credit institutions within the meaning of the law, or the company whose main activity is in property management, acquisition or data processing services, or any other similar activity which is ancillary to one or more credit institutions operating activities, (b) the insurance company, reinsurance) of the company or the insurance holding company, (c)) investment brokerage firm or financial institution on the financial instruments market law, d) a mixed financial holding company;
24) reinsurance case — with the reinsured risks cēloņsakarīg linked events that occur for the cost of reinsurance compensation pursuant to a reinsurance contract;
25) — reinsurance reinsurance premiums, reinsurance or retrocession ceded contractual payment for insured or reinsured, biometric risk transfer insurance or reinsurance for economic operators economic operators;
26) reinsurance reinsurance for appropriate remuneration according to the reinsurance contract in the amount of money to be paid;
27) reinsurers monitoring institutions, national institutions, which under the law are entitled to supervise reinsurance merchants;
28) outsourcing: a person who, on the basis of a written contract with a reinsurance company or reinsurer affiliate, the Member State shall undertake to provide the outsourcing or providing reinsurance undertakings or non-Member State the reinsurers for branch;
29) free capital — the assets belonging to the person that the context of this person's reduced value and the value of the assets, which are considered long-term investments;
30) international rating agency in the Member State or the Organisation for economic cooperation and development in a Member State (hereinafter referred to as OECD Member State) registered a rating agency that provides assessment of the financial and capital market participants, including reinsurance, financial security of economic operators and of the Member States recognised the insurer assessment of supervisory institutions.
2. article. (1) the law lays down a procedure for the provision of reinsurance services.
(2) the order in which the bankruptcy case closes reinsurance company or Member State of the branch, the reinsurer and the winding-up procedure is governed by the insolvency law, in so far as it is not contrary to this Act.
(3) the order in which eliminates the reinsurance undertaking or non-Member State the reinsurers affiliate, determined by the laws and regulations governing limited liability companies, limited liability companies, European companies or foreign merchant affiliates, insofar as they do not conflict with this Act.
3. article. This law does not apply to: 1) insurance business operators, where this Act provides otherwise;
2) and insurance company supervision laid down in article 3 of the law;
3) reinsurance services provided or fully guaranteed by a Member State Government, if its important public interest acting as reinsurers, as well as the circumstances where the appropriate reinsurance coverage acquisition market is not possible.
4. article. The operator to use the word "company" or the word "reinsurance reinsurers ' in any fold and the words in a way that could create a false picture of its rights deal with reinsurance and reinsurance mediation.
5. article.  (1) the reinsurance undertaking or non-Member State of the branch shall be carried out: 1 reinsurers) reinsurance, financial and capital market Commission issued licence specified in the reinsurance reinsurance ways;
2) commercial activities directly associated with reinsurance;
3) commercial activities, which directly related to reinsurance.
(2) the Merchant shall not be of reinsurance:

1) do business other than that provided for in the first subparagraph;
2) disclosed the information of reinsurance course learn, other than this law and other laws provided. If the information is disclosed in the cases provided for by law, reinsurance merchant is not liable for the consequences of disclosure.
(3) the reinsurance undertaking or non-Member State of the branch may not be the primary issue debt securities and borrowing. This limitation does not apply to loans that are included in the reinsurance undertaking or non-Member State the reinsurers for own funds calculation of the branch, and on loans, with a maturity of three months, if the loan taken out to provide reinsurance reimbursement (for which the cost accepted reinsurers decision) costs, and timely before the sampling matched with the financial and capital market Commission.
(4) No Member State the reinsurers may re-insure the branch they insure the risks associated with the insurance object are located in Latvia.
6. article.  (1) the Reinsurance in Latvia and the Member State the reinsurers reinsurers may only use a reinsurance intermediary services that are eligible to provide reinsurance intermediary services in Latvia.
(2) for foreign Reinsurance reinsurance company under the relevant national laws and regulations, you may only use the services of reinsurance intermediaries, who are entitled to provide reinsurance intermediary services.
7. article. (1) only reinsurance, which is the operator eligible to engage in reinsurance in Latvia have the right to advertise that a reinsurance services in Latvia.
(2) the reinsurance company subject to national legislation, shall have the right to advertise that a reinsurance services only in the country in which the reinsurance undertaking has the right to open a branch or in which it has the right to provide reinsurance services, respecting the principle of freedom to provide services, without having to open the branch.
8. article. Reinsurance the trader and article 86 of this law referred to in the first subparagraph persons may not own a reinsurer that provides coverage only for the reinsurance of risks relating to merchant or merchant group to which it belongs, or it is in (captive reinsurers).
9. article. Financial and capital market Commission has the right to examine reinsurance and reinsurance shareholders limited liability company or a reinsurance company of the European Member of the identity, but if a shareholder or reinsurance reinsurance limited liability company or a reinsurance company is the European members of the legal persons — of the shareholders or members and owners (the real beneficiaries) to obtain information about the owner (the true beneficiaries) — natural persons. These persons are obliged to provide the financial and capital market Commission of this information if it is not available in public registers, from which the financial and capital market Commission is entitled to receive such information.
10. article. (1) Latvia has banned the creation of special purpose companies.
(2) For SPEs society regarded as a company that is not an insurance company or a reinsurance company that undertakes reinsurance of the insurance company or commercial risks and where his exposure to such risks fully financed through loans or some other financing mechanism where such sampling or other loan financing facility is subject to the following commercial reinsurance obligations.
11. article. (1) the Reinsurer is considered financial and capital market participants in the financial and capital market Commission within the meaning of the Act, and subject to the financial and capital market Commission's rules governing the financial and capital market participants.
(2) the reinsurer financial and capital market Commission for financing cost up to 0.7 percent from third quarter of reinsurance premiums received total.
(3) the reinsurer financial and capital market Commission and the time limits within which the surveys required in the second subparagraph of this article, a down payment, and the following month to quarter the 30th date, take the appropriate payments.
(4) the financial and capital market Commission issued rules on the regulations referred to in the third subparagraph of the reporting and calculation of payment order.
Chapter II. Reinsurance, the start-up and licensing article 12. (1) the Reinsurer can start a reinsurance only after recording it in the commercial register, the reinsurance licence and compliance with the requirements of this law.
(2) the reinsurance licence shall be issued for an indefinite period in accordance with this law, other laws and the financial and capital market Commission.
13. article.  (1) a reinsurance company in reinsurance issued license is valid in the Member States.
(2) the financial and capital market Commission issued the following reinsurance the reinsurance licence: 1) life insurance reinsurance of risks;
2) non-life insurance reinsurance of risks;
3) life insurance and non-life insurance reinsurance of risks.
(3) the licence shall be issued for each reinsurance reinsurance type separately, subject to the conditions of this law.
(4) license life insurance reinsurance of risks makes reinsurance a life insurance risks.
(5) a license to a non-life insurance reinsurance of risks allows to non-life insurance reinsurance risks.
(6) the authorisation of an assurance and non-life reinsurance of risks allows to life insurance and reinsurance non life insurance risks.
14. article. Financial and capital market Commission shall determine the order in which the reinsurance undertaking and not in the Member State the reinsurers Branch provides information about persons with which the reinsurance undertaking or a non-Member State the reinsurers, which opened a branch in Latvia, has a close relationship.
15. article.  (1) in order to receive a license for reinsurance reinsurance company reinsurer shall submit to the Member State or not, financial and capital market Commission: 1) application for issue of the licence of reinsurance;
2) list of the shareholders or members and the structure of the Group;
3) the list of persons with which the reinsurance undertaking or a non-Member State the reinsurers have close relations;
4) a bank document confirming the deposit guarantee fund;
5) a receipt certifying payment of State fee for reinsurance;
6) news about officials in accordance with this law, article 20 and 21;
7) operating structure, the administrative services necessary to create estimates of expenditure and information about sources of funds to cover these expenses;
8) action plan for the first three years of operation. The plan shall include: (a) a description of the risks of pārapdrošinām), (b)) for information on the types of reinsurance contracts, securing a pārap society or not Member State the reinsurers Branch intends to close to ceding, c) basic principles and procedures of retrocession, d) information on planned administrative expenditure that is not creation costs, in particular current general expenses and fees, e) information about the planned reinsurance premiums or other contributions, as well as reinsurance, indemnity f) calculation of tariff policy and procedure , g) the calculation of technical provisions in the policy and procedure, h) in underwriting and reinsured by reinsurance premiums of the policies and procedures on identification, i) contribution to building the conditions, policies and procedures, j) for information on the financial resources of the reinsurance obligations and solvency requirements enforcement, k) a profit and loss statement and balance sheet projects;
9) the internal control system and the basic elements of the description of the internal control systems and procedures of the basic principles of the policy description. The description shall include: (a)) or a reinsurance undertaking Member State the reinsurers in the organisational structure of the branch with a clearly specify the powers and duties of managers, business unit manager of tasks and responsibilities, (b)) the accounting policies and accounting principles of the Organization, (c)) risk management policy and procedures, d) management information system description, e) system of information protection policies and procedures, f) securing the internal audit function, g) unusual and suspicious financial transactions the identification procedure;
10) a bank document confirming that no Member State of the branch has deposited the reinsurer as a security for a credit institution registered in Latvia not less than 25 per cent of the minimum guarantee fund in size.

(2) to get the licence for another reinsurance reinsurance, reinsurance undertaking or non-Member State of the branch shall submit primary financial and capital market Commission: 1) of the first paragraph of article 1 and referred to in paragraph 7;
2 new types of reinsurance) deployment requires additional expenditure and information about it is necessary to cover the sources;
3) action plan for the three years with regard to their form in the reinsurance that reinsurance is required license, showing the first paragraph of this article, the information referred to in paragraph 10, as well as the planned amount of the technical reserves.
16. article. (1) the shareholders of the reinsurance and reinsurance companies with limited liability or a reinsurance company of the European participants may be: 1) natural person;
2) legal (registered) person that: (a)) duration of not less than three financial years, b) financial statements are prepared in accordance with international standards and ING book international financial reporting standards, audited in accordance with the laws and regulations that govern the audit in Latvia, and accompanied by a sworn auditor's report. Member of legal persons registered in the financial statements may be prepared in accordance with the Member State concerned the applicable accounting standards;
3) State and local government.
(2) in the first paragraph, such persons need a flawless reputation and free up capital to at least the full estimated investment (the purchase of the shares or the transaction).
(3) the examination of a person's reputation and capital adequacy, financial and capital market Commission is entitled to check the first paragraph of this article, the identity of a criminal record and documents about free capital, which allows you to verify the free funds in the amount of the contribution, as well as to check whether the funds invested are not obtained unusual or suspicious transactions.
(4) the reinsurance and reinsurance company shareholders limited liability company or a reinsurance company of Europe members may not be natural persons as well as legal persons, to which the shareholders or members and owners (the real beneficiaries) — natural persons — may be subject to this law, the first paragraph of article 22 1, 2, 3 or 4 or are fulfilled by the Council or the duties of the members of the Management Board financial company declared insolvent this time of duty, or who have fulfilled the Council or members of the Management Board's duties in another company, and their negligence or deliberately led these companies to insolvency or bankruptcy for the legislation.
(5) the financial and capital market Commission has the right to examine reinsurance, reinsurance shareholders limited liability company and the reinsurance company of the European identity of the members, but when the newly formed reinsurance company limited liability and reinsurance companies are European members of legal persons, of their shareholders or members and owners (the real beneficiaries) to obtain information about the owner (the true beneficiaries) — natural persons. These persons are obliged to provide the financial and capital market Commission of this information if it is not available in public registers, from which the financial and capital market Commission is entitled to receive such information.
Article 17. (1) the financial and capital market Commission does not issue reinsurance licence if: 1) reinsurance is not economically justified;
2) applicant's close relationship with the third parties may compromise its stability and limit the financial and capital market Commission's ability to carry out the monitoring functions;
3) other State laws and other regulations that apply to persons who have a close relationship with the applicant, the limited financial and capital market Commission's right to undertake monitoring functions;
4) documents submitted by the applicant containing incorrect or incomplete information;
5) one or more of the 20 of this law the persons referred to in article does not meet the requirements of the law;
6) financial and capital market Commission finds that the financial resources, which invested in fixed capital formation or released by the Member State not reinsurers in the branch action, resulting in unusual or suspicious financial transactions or not documented proven this financial legal mining;
7) it is not possible to verify the shareholders or members of the applicant and the owner (the true beneficiary) — natural persons — identity, impeccable reputation, free capital adequacy, as well as verify that the capital is not free for unusual or suspicious transactions;
8) shareholders or members of the applicant and their owners (the real beneficiaries) does not meet the requirements of this law;
9) applicant's organizational structure is not possible;
10 the applicant's planned activities) does not comply with this law and other legislative requirements;
11) Financial and capital market Commission does not receive or the reinsurance company refuses to give the law the information specified in article 16;
12) is implemented for the improvement of the financial situation.
(2) in addition to the first part of this article in cases laid down by the financial and capital market Commission is not a Member State of the branch shall not be issued to reinsurers, reinsurance licence if: 1) financial and capital market Commission has not agreed with the home Member State the reinsurers (registration) the national supervisory body for reinsurers monitoring function requires the exchange of information and cooperation in the field of reinsurance supervision;
2) in accordance with the home Member State the reinsurers not (registration) law of the financial and capital market Commission has limited rights to the Member State the reinsurers branch supervisory functions.
(3) the financial and capital market Commission is not entitled to refuse the reinsurance licence based on the economic needs of the market.
(4) the financial and capital market Commission decision on the refusal to issue a license for reinsurance must be reasoned. The decision on refusal to issue license for reinsurance subject to judicial review.
18. article. Financial and capital market Commission application for reinsurance licences for consideration and a decision shall be taken within three months after receipt of all required documents.
19. article. (1) the financial and capital market Commission consults a management authority of the Member State concerned before the reinsurance licence such reinsurance company: 1) which is a Member State of the insurer or reinsurer, a Member State or registered in a Member State, a credit institution or investment firm's subsidiary company;
2) which is the subsidiary of the parent company, which is a subsidiary of another Member State, the Member State insurers reinsurers, established in a Member State by a credit institution or investment firm;
3) controlled by the natural or legal, who controls a member insurer or reinsurer, a Member State or registered in a Member State of the credit institution or investment firm.
(2) the financial and capital market Commission before reinsurance licences, as well as licensed public monitoring of reinsurance in consultation with a management authority of the Member State concerned, in assessing the shareholders ' or members ' compliance with the requirements of this law, as well as the reputation of the members of the Executive Board and experience involved in such a Member State, the Member State insurers reinsurers, credit institutions or investment firms, in the same group with the reinsurance company.
(3) the financial and capital market Commission, if necessary, inform the first subparagraph the Member State set out in the supervisory bodies of any information regarding the shareholders ' or members ' compliance with the requirements of the law and the reputation and experience of the officials and that is important to other Member States ' supervisory authorities granted licences, as well as constantly monitors compliance with operating conditions.
Chapter III. Reinsurance undertakings and the Member State the reinsurers branch officials article 20.  (1) The Chairman of the Board of the reinsurance company, the Management Board, internal audit (audit) Service Manager, not the Member State of the Branch Manager, the reinsurer and the person that, by adopting the relevant decisions of the reinsurance undertaking or non-Member State the reinsurers, on behalf of a branch of a reinsurance company or cause not Member State the reinsurers for branch civil commitments, can be a person who meets the following requirements: 1) it is sufficiently competent in the area, is responsible for ensuring that the Board of the reinsurance undertaking is designed so reinsurance company capable of consistently high quality, professional, and according to the requirements of the laws deal with the reinsurance;
2) it requires education and not less than three years of work experience in the field in question;

3) it has a perfect reputation;
4) it is not deprived and have not been deprived of the right to do business.
(2) Before the first paragraph of this article takes up the person, whether or not reinsurance company reinsurer branch of the Member State shall inform the financial and capital market Commission.
(3) the reinsurance undertaking or non-Member State the reinsurers have the same obligation or financial and capital market Commission's proposal immediately at call of the posts referred to in the first paragraph where it is established that: 1) it does not meet the post;
2) its actions are detrimental to the reinsurance undertaking or non-Member State the reinsurers ' financial stability or the branch created the situation that may endanger or reinsurance undertaking Member State the reinsurers the financial stability of the branch;
3) it does not comply with the reinsurance undertaking or the non-Member State of the branch of pārapdroš have developed policies and procedures;
4) it does not meet the first part of this article and article 21 of this law.
(4) if the financial and capital market Commission issued the administrative act concerning the first part of the persons referred to withdrawal from the posts is appealed, the appeal does not suspend its activity.
21. article.  (1) The Chairman of the Board of the reinsurance company, the Management Board, internal audit (audit) Service Manager, not the Member State of the Branch Manager, the reinsurer and the person that, by adopting the relevant decisions of the reinsurance undertaking or non-Member State the reinsurers, on behalf of a branch of a reinsurance company or cause not Member State the reinsurers for branch civil obligations may not be a person: 1) is convicted of an intentional criminal offence, including the abuse of bankruptcy;
2) is convicted of an intentional criminal offence, although released on parole due to the Statute of limitations, pardon or amnesty;
3) against which criminal proceedings instituted for an intentional criminal offence is terminated due to a statute of limitations or amnesty;
4) which called the criminally liable for intentional criminal offence, but the criminal proceedings against them terminated on a reabilitējoš basis.
(2) the reinsurance undertaking or non-Member State the reinsurers have the same obligation or financial and capital market Commission to immediately withdraw from the post of the first paragraph of this article, if they can be subject to the first paragraph of this article 1, 2, 3 or 4.
(3) if the financial and capital market Commission issued the administrative act concerning the first part of the persons referred to withdrawal from the posts is appealed, the appeal does not suspend its activity.
22. article. Financial and capital market Commission documents proving this Act article 21, first paragraph, the conditions must not be older than three months.
23. article. (1) The reinsurance undertaking member can be a person who complies with this law, article 20, first paragraph, 1, 2, 3 and 4. The reinsurance company's Board may not be the person that should be in this law article 21, first paragraph, 1, 2, 3 or 4.
(2) a meeting of the shareholders or members, it is the duty itself or at the financial and capital market Commission to immediately withdraw from the post of the first paragraph of this article, if it is found that it does not correspond to the position that its conduct is detrimental to the financial stability of a reinsurance company or created a situation that could endanger the financial stability of the reinsurance undertaking, and if it does not meet the requirements of this article.
(3) if the financial and capital market Commission issued the administrative act concerning the first part of the persons referred to withdrawal from the posts is appealed, the appeal does not suspend its activity.
24. article. (1) in order to ensure that this law, article 20, first paragraph, and article 23 of the person laid down in the first paragraph compliance with the requirements of this law, financial and capital market Commission is entitled to invite to discussion of this law article 20, first paragraph and article 23 the person referred to in the first subparagraph.
(2) the financial and capital market Commission within 30 days following receipt of all required documents is the right not to permit this Act article 20, first paragraph, and article 23, first paragraph, the said person start to duty entrusted to reinsurance undertakings or non-Member State of the branch, the reinsurer if it does not meet the requirements of this Act or if the financial and capital market Commission cannot ascertain its conformity with the requirements of this law.
(3) financial and capital market Commission shall submit documents and the order in which it shall consider this law, article 20, first paragraph, and article 23 of the persons referred to in the first paragraph compliance with the requirements of this law.
Chapter IV. Article 25 the carrying reassurance. Financial and capital market Commission does not have the right not to recognise the reinsurance undertaking and not a member of a branch of the reinsurer retrocession contract concluded by the reinsurance company or insurance company, on the basis of the considerations related to the reinsurance insurance merchant or trader's financial stability. 
26. article. (1) in order to identify the time and manage all the reinsurance undertaking or the Member State of the branch of the reinsurers ' risks, active and effective protection of the reinsurance undertaking or non-Member State the reinsurers to provide reinsurance subsidiary public or Member State the reinsurers branch regulatory institutions of the veracity of the information provided, this Act, other legislation, the reinsurance undertaking or non-Member State the reinsurers branch policies and procedures continuous compliance and, if appropriate, development of a reinsurance undertaking or a non-Member State the reinsurers branch creates an effective internal control system and its operation as well as reinsurance undertakings or non-Member State the reinsurers branch of the budgetary authority and of the Permanent Executive Body of independent internal control system monitoring.
(2) the financial and capital market Commission make recommendations for internal control system. The following reinsurance company reinsurer of the Member State or branch uses its internal control system.
(3) the reinsurance undertaking and not in the Member State the reinsurers branch management is responsible for reinsurance companies and reinsurers of the Member State of the branch policy and procedure development and determine the person responsible for the policy and procedures.
27. article. (1) reinsurance is voluntary. Reinsurance premium size determined by the reinsurer.
(2) the reinsurance premiums is so big, to comply with obligations under the reinsurance agreement and the reinsurance cover expenses.
(3) the Reinsurer sorts directly and with the help of reinsurance intermediary reinsurance contract entered into the registry.
28. article.  (1) the reinsurance undertaking, non-Member State of the branch, the primary insurance company or insurer of the Member State of the branch may all reinsurance contracts concluded or part of the transferred to the definition of the operator or pārapdroš is not a Member State of the branch to which the reinsurer is a reinsurance deal with the rights of a Member State, or put the insurance or not Member State Santa komer insurance branch, which has the right to deal with insurance in the Member State. Reinsurance undertaking or an insurance undertaking may not be transferred without State reinsurance contracts or not Member State the reinsurers reinsurers the branch not established in the Member State.
(2) Permit a reinsurance contract concluded for all or part of the transfer of the issue and transfer of reinsurance contracts shall lay down the procedure for the financial and capital market Commission. The decision on authorisation or refusal to issue of the financial and capital market Commission shall adopt within 30 days after receipt of all required documents.
(3) the insurance company, reinsurance company, not a member of the insurer or reinsurer Member branch branch, which takes over the reinsurance treaty shall submit financial and capital market Commission, which certifies this law or insurance companies and their compliance with the requirements of the law on the supervision after the takeover of reinsurance contracts.
(4) if all of the reinsurance contracts concluded or part thereof is transferred to the insurance company, reinsurance company, no Member State of the branch or the insurer does not state the reinsurers for branch in Latvia, the financial and capital market Commission is entitled to adopt a decision on the authorisation, if it is satisfied that after the takeover of reinsurance contracts will be executed in this law or the insurance company and the surveillance law.

(5) if the financial and capital market Commission shall take a decision on the authorisation, it shall send the Member State the reinsurers surveillance authority or Member State insurers surveillance authority certificate, indicating that after the takeover of reinsurance contracts insurance company, reinsurance company, not a member of the insurer or reinsurer not Member State branch of a branch will comply with the solvency requirement.
(6) if all of the reinsurance contracts concluded or part thereof is transferred to the insurer of the Member State or the Member State the reinsurers, the financial and capital market Commission is entitled to adopt a decision on the authorisation, after receiving the insurer of the Member State concerned or the Member of the supervisory organ of the reinsurer of the supervisory organ, indicating that after the takeover of reinsurance contracts of insurance of a Member State or the Member State the reinsurers have to fulfil the solvency requirements.
(7) if all of the reinsurance contracts concluded or a part thereof is transferred to the Member State of the insurer not branch or Member State of the branch to which the reinsurer in another Member State is entitled to practise insurance or reinsurance, financial and capital market Commission is entitled to adopt a decision on the authorisation, after receiving the insurer of the Member State concerned or the Member of the supervisory organ of the reinsurer of the supervisory organ, indicating that after the takeover of reinsurance contracts will be executed on the solvency requirement.
29. article. (1) the reinsurance contracts for other insurance or reinsurance for the operator the operator be transferred together with the corresponding technical provisions necessary for the provision of cover assets.
(2) if the reinsurance contract are passed without a corresponding provision covering technical provisions the assets necessary for the insurance company, not the Member State of the branch of the insurer, reinsurance undertaking or non-Member State the reinsurers branch that takes over these contracts, submit a financial and capital market Commission of the technical provisions cover the recovery plan.
30. article. Reinsurance treaty from the date of its entry into force is binding on pārapdrošinājum workers and other persons who have rights and obligations under the concluded and released the reinsurance contracts. After the takeover of the reinsurance treaty shall remain in force for all of these contracts, the ensuing rights and obligations of the parties.
Chapter v. Qualifying holdings article 31. (1) a qualifying holding in a reinsurance undertaking may acquire only the person who corresponds to article 16 of this law, in addition, that person must be financially sound for at least the last three years, so that it could, if necessary, make additional contributions to the same reinsurance undertaking means renewal, providing reinsurance companies and the guarantee fund solvency requirements compliance with the legal requirements and reinsurance companies regulatory requirements.
(2) the financial and capital market Commission should have the right to request information about the people who claim to be substantial participation (essential participation actually graduates or suspected of such acquisition turamaj persons), including the legal (registered) owners (the real beneficiaries) — natural persons — to know that person's reputation, the free capital adequacy, financial stability, resources, participation in other companies in compliance with this law, reinsurance company shareholders or members of the requirements and impact on the company's management and reinsurance activities.
(3) financial and capital market Commission is entitled to identify the major holdings of the applicant (an essential participation actually got or suspect about this acquisition the) legal entity shareholders or members and owners (the real beneficiaries) to obtain information about the owner (the true beneficiaries) — natural persons. These entities are obliged to submit financial and capital market Commission requested information necessary for the identification of those persons, if the information is not available in public registers, from which the financial and capital market Commission is entitled to receive such information.
(4) If a person is suspected of a significant acquisition in a reinsurance undertaking does not provide, or refuses to give in the second or third subparagraph, and together their participation covers 10 and more percent of the reinsurance company's share capital or of the voting shares or amount of shares, these shareholders or participants can use all they owned shares or voting rights. Financial and capital market Commission immediately of this fact shall inform the shareholders or members and the reinsurance company.
32. article. (1) a Person wishing to obtain a qualifying holding in a reinsurance undertaking, in writing, notify the financial and capital market Commission. The notification shall specify the extent of the participation percentage of the share capital or a reinsurance company voting shares or part number.
(2) If a person wishes to increase his qualifying holding, reaching or exceeding 20, 33 or 50 per cent of the share capital or a reinsurance company voting shares or part, or if the reinsurance company becomes a subsidiary of the person, the person shall notify in writing financial and capital market Commission. The notification shall specify the extent of the participation percentage of the share capital or a reinsurance company voting shares or part number.
(3) financial and capital market Commission should have the right to request additional information on the persons referred to in this article, to know their reputation, free capital adequacy, financial stability, resources, participation in other companies, compliance with the reinsurance company shareholders or members of the requirements and impact on the company's management and reinsurance activities. A person wishing to obtain, has acquired, wants to increase or has increased his qualifying holding in a reinsurance undertaking, by the financial and capital market Commission submitted its request for information on your free funds all of its reinsurance purchased the shares or of the public.
(4) the financial and capital market Commission not later than three months from the date of receipt of the first or second part of the Declaration, assesses a person's reputation, the free capital adequacy, financial stability, resources, participation in other companies, compliance with the reinsurance company shareholders or members of the requirements and impact on the company's management and reinsurance activities.
(5) the financial and capital market Commission in part four of this article, within that period, adopt a reasoned decision prohibiting a person to acquire or increase qualifying shareholdings in the reinsurance undertaking, and shall immediately notify in writing the person and, if the reinsurance undertaking: 1) such acquisition of a qualifying holding or the increase does not provide a financially sound, prudent and regulations appropriate reinsurance company management and operation;
2) a person is not in free capital, financial stability, satisfactory financial position, excellent reputation, or it does not match the reinsurance company to the shareholders or members;
3) a person shall not provide, or refuses to provide the financial and capital market Commission, the information specified in this law or the financial and capital market Commission requested additional information;
4) from the person as a result of circumstances it is not possible to provide financial and capital market Commission requested or information specified in this Act;
5) means a person invested reinsurance company, in order to ensure a significant participation, is obtained in unusual or suspicious transactions.
(6) in the fifth subparagraph of this article, paragraph 4 shall not apply to legal persons, if its shares are quoted on Latvia or another Member State of the regulated market or in a regulated market, which is the organizer of the international stock exchange Federation full member, and this legal person financial and capital market Commission to provide details of its shareholders who have a significant interest in it.

(7) if the financial and capital market Commission has agreed that a person acquires or increases a substantial holding in a reinsurance undertaking, this person is your qualifying holding in a reinsurance company or increase no later than six months from the date of the first or second part notice filed financial and capital market Commission. If, on expiry of that period, the person has not been acquired or increased the qualifying holding in a reinsurance undertaking, the financial and capital market Commission approval of its proposed acquisition of a significant increase in reinsurance company or loses power.
(8) in the fifth subparagraph of this article, that financial and capital market Commission issued administrative appeal Act shall not suspend its activity.
33. article. (1) the evaluation of this law article 32 in the first and second paragraphs of these notifications, financial and capital market Commission shall consult with the Member State concerned, if the supervisory authorities of the Member States of the proposed acquirer insurer, reinsurer, Member State registered in the Member State by a credit institution or investment firm, as well as insurers, reinsurers, a Member State of credit institutions established in a Member State or of an investment brokerage firm's parent company, or the person who controls the State insurer, reinsurer of the Member State registered in a Member State, a credit institution or investment firm, if, the person acquiring or increasing the participation of significant reinsurance company becomes the person's subsidiary or come under its control.
(2) the financial and capital market Commission, at the request of a Member State supervisory authorities shall inform the authorities of any conditions that apply to the Member State the reinsurers of the shareholders ' or members ' compliance with the requirements of this law.
34. article. (1) If a person wishes to terminate his/her qualifying holding in a reinsurance undertaking, its of such decision in writing in advance by submitting an application to the financial and capital market Commission. The application shall specify the person remaining in the reinsurance company's share capital or voting shares or percentage of the number of shares.
(2) If a person wishes to reduce his qualifying holding below 20, 33 or 50 per cent of the share capital or a reinsurance company voting shares or part number or reinsurance company ceases to be a subsidiary of the person, the person of any such decision in writing in advance by submitting an application to the financial and capital market Commission.
35. article. (1) the reinsurance undertaking shall immediately, as soon as it has found out, in writing, by the application of the financial and capital market Commission for substantial participation of any person, increases or decreases. The application indicates the participation of the person concerned as a percentage of the amount of reinsurance company's share capital or of the voting shares or part number or information about the termination of a qualifying holding.
(2) the reinsurance undertaking, in accordance with the procedure laid down in the law, submitting financial and capital market Commission annual report shall also be submitted at the same time all the list of the shareholders or members that have qualifying holdings in the reinsurance company. At that point, in accordance with the law to the general meeting of shareholders in the future or in the list of information to be included in the list of participants and the significant shareholders or members of the extent of the participation percentage of the share capital or a reinsurance company voting shares or part number.
 36. article. (1) If a shareholder or reinsurance undertaking Member impact on reinsurance or may pose a threat to its financial stability, prudent and regulations according to the management and operation of or substantial participation in the winning party does not comply with this law of reinsurance company shareholders or members, it is not financially stable, does not provide, or refuses to provide this law, article 31 of the second or third part, the information referred to in the financial and capital market Commission is entitled : 1) request to immediately interrupt such impacts;
2) request to undo the reinsurance company board or the management board or a Council or a Board Member;
3) prohibit the shareholder or member to use everything he owned the shares or voting rights.
(2) a shareholder or participant is not entitled to use everything he owned the shares or voting rights in, the reinsurance company and of the shareholders ' or members ' meeting decisions taken through this part of the shares or voting rights, is void from the moment of their adoption, and may not require the decision to be made based on entries in the commercial register and other public registers, if: 1) financial and capital market Commission in the cases referred to in this law, is forbidden by the person using it owned the shares or voting rights;
2 the person is obtained or) increased the qualifying holding in a reinsurance undertaking before this law, article 32 in the first or second part of the notification referred to in the financial and capital market Commission;
3) person is acquired or increased the qualifying holding in a reinsurance undertaking article 32 of this law in the first or second part of the notification referred to in the hearing.
(3) If a shareholder or reinsurance company is prohibited from using his own shares or voting rights in, the total reinsurance company shares or valid part number is calculated from all parts of the balsstiesīgaj shares or less of its shares or voting rights, is prohibited.
(4) the provisions of this law on the qualifying holding is not attributable to reinsurance shareholders or members of the public, with a significant interest in another reinsurance company shareholder or member in an appropriate prohibition of voting rights.
(5) the first paragraph of this article in the financial and capital market Commission issued administrative appeal Act shall not suspend its activity.
37. article. Establishing a person indirectly acquired the level of participation in the reinsurance undertaking shall take account of such persons (hereinafter referred to as a particular person) to vote in a reinsurance undertaking: 1) voting rights which are entitled to use a third party to which the person concerned has entered into an agreement, obliging you to reconcile the exercise of voting rights and action policies for the long term management of the issuer in question;
2) voting rights which are entitled to use third parties, in accordance with the agreement concluded with the person concerned and provide for the temporary transfer of the voting rights in question;
3) voting rights arising from the shares or parts, which the person concerned received as collateral if it can use the voice right and has expressed its intention to use them;
4) voting rights which are entitled to use a given person for a limited period;
5) voting rights which are entitled to use the specific control of the person or company in which such a company may be used in accordance with this part 1, 2, 3 and 4;
6) voting rights arising from the shares or parts, which passed in a particular person, and that it can use in its sole discretion, in the absence of special instructions;
7) voting rights resulting from the third person and the Party held shares or parts;
8) voting rights held by a person as trustee may realize that it is entitled to exercise the voting rights at its discretion in the absence of specific instructions;
9) voting rights resulting from any other indirect way the persons concerned acquired the shares or parts.
Chapter VI. Outsourcing article 38. (1) action (ārpakalpoj must) required for reinsurance undertakings or non-Member State of the branch of reinsurers and reinsurance, reinsurance undertaking or non-Member State the reinsurers branch may delegate one or more of the outsourcing providers. Reinsurance undertaking or non-Member State the reinsurers branch may not delegate: 1) reinsurance undertakings or non-Member State the reinsurers branch administrative institutions;
2) guarantee and other such service in connection with which the reinsurance undertaking or non-Member State of the branch assumed responsibility the primary responsibility to the creditor on a third party debt;
3) outsourcing providers all outsourcing, which provides reinsurance the reinsurance licence.
(2) the reinsurance undertaking or non-Member State the reinsurers branch provision of outsourcing may delegate such outsourcing provider with at least three years of experience in providing outsourcing, which the reinsurance undertaking or non-Member State the reinsurers branch plans to delegate the outsourcing provider.

(3) outsourcing, for which the procedure laid down in this article before it outsourcing provider shall be informed of the financial and capital market Commission, there are reinsurance undertakings or non-Member State the reinsurers branch: 1) sort of accounting;
2) information and communication technologies infrastructure maintenance;
3 internal control organisation);
4) investment;
5) reinsurance underwriting;
6) settlement of claims to reinsurance.
(4) the reinsurance undertaking or non-Member State the reinsurers in the internal audit service of the branch's responsibilities may be delegated only sworn auditor or certified auditor company.
(5) at least 30 days before the date of the receipt of the reinsurance firms outsourcing or not a Member State of the branch shall submit primary financial and capital market Commission a reasoned written application, adding a document containing the outsourcing policy and procedure of receipt, and one of the original contract or outsourcing a copy of it. If receipt of the outsourcing policy and procedure are amended, reinsurance undertaking or non-Member State of the branch they shall be submitted to the reinsurers ' financial and capital market Commission not later than the next working day after the approval of the amendment.
39. article. (1) article 38 of this law, in the third paragraph where outsourcing agreement include: 1) in the description of the receivable outsourcing;
2) and outsourcing of the precise quality requirements;
3) reinsurance undertakings or non-Member State of the branch and reinsurers outsourcing provider rights and responsibilities, including: (a)) or not reinsurance company reinsurer of the Member State of the branch the right to continuously monitor the quality of the provision of outsourcing, b) reinsurance undertakings or non-Member State of the branch's right to reinsurers outsourcing provider required executable instructions related to the outsourcing of good faith, high-quality, timely and relevant laws and regulations, the execution of c) reinsurance undertakings or non-Member State the reinsurers branch right outsourcing provider submit reasoned written request to immediately terminate the outsourcing contract If a reinsurance company or Member State the reinsurers branch found that the outsourcing provider does not comply with the outsourcing contract or laid down in the quality requirements, d) outsourcing provider to provide reinsurance undertakings or non-Member State the reinsurers affiliates the ability to make quality ārpakal provide continuous supervision e) outsourcing duties immediately after the pārapdroš in the definition or member of the public reinsurer affiliates receipt of written request to terminate the outsourcing contracts;
4) financial and capital market Commission's right to consult all documents and registers of accounting documents, as well as require outsourcing provider of any information related to outsourcing or necessary financial and capital market Commission's functions.
(2) the reinsurance undertaking or non-Member State the reinsurers branch develop appropriate outsourcing receiving policy and procedure. It determines: 1) internal order in which decisions are taken on outsourcing;
2) outsourced contract, execution monitoring and termination procedures;
3) people (officers and employees) and the Department responsible for liaison with the external service provider and receive the outsourcing and quality monitoring, as well as the rights and obligations of individuals;
4) reinsurance undertakings or non-Member State the reinsurers branch action, if the external service provider fail or not be able to meet the outsourcing agreement.
(3) the financial and capital market Commission has the right to check you provider ārpakalp the presence or location of outsourcing, consult all documents and registers of accounting documents, make copies, as well as demand from outsourcing provider information related to outsourcing or necessary financial and capital market Commission's functions.
(4) outsourcing provider begins to provide reassurance to the public or not a Member State of the branch, the reinsurer outsourcing if reinsurance undertakings or non-Member State the reinsurers branch within 30 days of the entire article 38 of this law in the fifth part of the document referred to in the submission is received by the financial and capital market Commission's ban on outsourcing.
40. article. (1) the financial and capital market Commission prohibit reinsurance company or a non Member State the reinsurers for branch to receive the planned outsourcing of the outsourcing provider, if: 1) is not complied with the provisions of this law;
2) outsourced receipt can limit the reinsurance undertaking or non-Member State the reinsurers branch administrative bodies to carry out these regulations, statutes or other reinsurance undertakings or non-Member State the reinsurers branch internal regulations obligations;
3) outsourcing receiving preclude or limit the financial and capital market Commission's ability to perform its statutory functions;
outsourcing contract 4) complies with the law and do not give a true and fair view of the reinsurance undertaking or non-Member State of the branch and reinsurers outsourcing provider expected cooperation, as well as outsourcing and quality requirements.
(2) Outsourcing arrival does not exempt reinsurance undertakings or non-Member State of the branch from reinsurers in respect of statutory or contractual obligations of outsourcing.
(3) financial and capital market Commission has the right to require reinsurance undertakings or non-Member State the reinsurers branch fixes flaws resulting from outsourcing, receive and fix this defect. If the financial and capital market Commission's deadline shortcomings are not remedied, the financial and capital market Commission shall require reinsurance undertakings or non-Member State of the branch shall terminate the reinsurer outsourcing contract, and defines its termination date, which may not be longer than three months.
(4) the financial and capital market Commission is entitled to require reinsurance undertakings or non-Member State the reinsurers branch to immediately stop the outsourcing contract, if the financial and capital market Commission finds that: 1) reinsurance undertakings or non-Member State of the branch do not make outsourcing reinsurer providing quality permanent supervision or take it sporadically and not enough;
2) reinsurance undertakings or non-Member State of the branch with the reinsurer does not carry out the provision of outsourcing the management of the risks or take their scarce and of poor quality;
3) outsourcing is essential operations deficiencies that threaten or jeopardize reinsurance company reinsurer or not a Member State of the branch performance;
4) joined one of the first paragraph of this article.
(5) the reinsurance undertaking or non-Member State the reinsurers branch will immediately inform the financial and capital market Commission, if reinsurance undertakings or non-Member State the reinsurers branch found that the ārpakalp you provider does not comply with the contractual volume of outsourcing or quality requirements.
(6) the receipt of Outsourcing do not exempt reinsurance undertakings or non-Member State of the branch and its reinsurers authorities from the obligation to carry out the statutory with the reinsurance undertaking or non-Member State of the branch of the reinsurer related risk management.
(7) the outsourcing provider is entitled to the provision of outsourcing to delegate to another person only with a reinsurance company or Member State the reinsurers branches written consent. Reinsurance undertaking or non-Member State of the branch before the reinsurer outsourcing of subdelegation shall inform in writing the financial and capital market Commission and submit it to article 38 of this law in the fifth subparagraph, such documents. On the provision of further outsourcing and delegation of outsourcing the final provider apply this law.
(8) if the financial and capital market Commission issued the administrative act concerning prohibition of the reinsurance undertaking or a non-Member State of the branch receive outsourcing reinsurers from outsourcing, the demand for reinsurance undertakings or non-Member State the reinsurers for branch to address deficiencies resulting from outsourcing, receive a request or a reinsurance undertaking or a non-Member State the reinsurers for branch to immediately stop the outsourcing contract is appealed, the appeal does not suspend its activity.
Chapter VII. The exchange of information

Article 41. Financial and capital market Commission after Member State the reinsurers monitoring authority shall provide it with information about reinsurance the reinsurance companies of the Member State concerned, using the law to establish a branch or the principle of the freedom to provide services, as well as providing reinsurance services without opening the branch, and another Member of the supervisory organ of the reinsurer supervision functions required information.
Article 42. (1) information on reinsurance business and its customers, which has not been previously published in accordance with the procedure prescribed by law or the disclosure of which is not determined by other laws, or on publicly available has been approved by the financial and capital market Commission, the Governing Council considered the limited availability of information, and this information is not disclosed to third parties except in summary or aggregate form, so that would not be possible to identify a particular company or reinsurance client.
(2) if the reinsurance business person been declared bankrupt or is being compulsorily wound up, limited availability of information which does not concern third parties involved in reinsurance merchant financial advancement required actions, may be divulged in civil or criminal court.
(3) the first part of this article are without prejudice to the provisions of the financial and capital market Commission under its competence exchange limited availability information with Member States ' financial and capital market supervisory institutions, maintaining the information provided limited availability status.
(4) the financial and capital market Commission is entitled to conclude agreements for the exchange of information with Member States not reinsurers supervisory bodies or institutions of the Member State concerned, which is equivalent to the sixth part of this article 1, 2, 3, 4, 6, 7 and 8 of the said authorities, if the legislation of a Member State provides for the liability of the Latvian equivalent legislation laid responsibility for the limited access of unauthorised disclosure of information. Such information shall be used only in the financial and capital market participants and the reinsurance supervision of traders or the authorities concerned statutory functions. The information received, the authorities of the Member State concerned may be disclosed only with the financial and capital market Commission's prior written consent and only for the purposes for which the consent was given.
(5) the financial and capital market Commission, the third and the sixth part of the information referred to is entitled to use only their monitoring functions: 1) in order to ensure that the reinsurers and regulatory activities regulatory compliance, in particular with regard to the technical provisions, solvency, management and accounting procedures and internal-control mechanisms;
2) to the appropriate statutory law restrictions and penalties;
3) the proceedings in which the judgment under appeal in the financial and capital market Commission issued administrative act or actual action;
4) proceedings instituted on the basis of the rules laid down in this law and other laws relating to insurance and reinsurance operations.
(6) in the first and fifth rules do not limit the financial and capital market Commission according to its competence to share restricted access information, if needed by the functions: 1) of the Member States, with the financial and capital market supervisory institutions;
2) institutions or persons in Latvia or in the Member States are responsible for insurance or reinsurance business merchant bankruptcy, liquidation and other similar procedures;
3) persons in Latvia or in other Member States carried out the statutory audit of internal inspection and insurance komersanto komersanto, reinsurance and other financial institutions;
4) the authorities of the Member State, which manages investments and deposit compensation schemes (funds);
5) the Bank of Latvia;
6) institutions that carry out surveillance of institutions in Latvia or in the Member States are responsible for insurance or reinsurance business merchant bankruptcy, liquidation and other similar procedures;
7) authorities supervision of persons in Latvia or in other Member States carried out the statutory audit of internal inspection and insurance komersanto komersanto, reinsurance and other financial institutions;
8) independent actuaries of insurance undertakings or reinsurance business operator carrying out legal supervision of those economic operators, and the institutions that carry out independent supervision of the actuary;
9) institutions or persons responsible for the detection of an infringement of commercial law and investigation to strengthen the stability of the financial system, including its unity;
10) other national regulatory authorities, which are responsible for compliance with the laws and financial and capital market participants and supervisory cooperation, reinsurers and employees acting on behalf of those bodies, if the disclosure is necessary for prudent supervision.
(7) in the sixth part of this article in specific institutions and individuals with respect to information received from the financial and capital market Commission and the Member States in the financial and capital market supervisory institutions, comply with the following requirements: 1) authorities and the information received is used only within their competence the exercise;
2) in the sixth paragraph of this article set out in the authorities and persons, including employees, duties during and after the end of the work and other forms of contractual relationship with the sixth part of this article in the institutions or individuals are prohibited from publicly or otherwise divulged with the reinsurance activities of economic operators related information that has not been previously published in accordance with the procedure prescribed by law or the disclosure of which is not provided for by other laws. The authorities referred to in this part, or the laws of the person duly responsible for the limited availability of information unlawful disclosure and for damages to third parties arising in this part of the bodies or persons referred to unlawful conduct;
3) received information that this article is the sixth part 6, 7, 8 and 9 above of a body or person is competent to be disclosed only with the prior written consent of the persons who have provided relevant information to them, and only for the purpose for which consent was given.
(8) Before the sixth subparagraph of this article, point 9 in the institutions or individuals are sent information, providers of information shall notify the person of the name, which send information directly, and their exact duties.
(9) the financial and capital market Commission shall inform the European Commission and the other Member States of the names of the authorities which may receive information pursuant to this article, the sixth part 6, 7, 8 and 9.
(10) the sixth subparagraph of this article, point 10 in the institutions and the persons information received pursuant to this article, the third and sixth parts 1, 2, 3 and 4, or acquired, by inspection, is provided, where the Member State financial and capital market supervisory institutions from which such information is received, or the Member States ' financial and capital market supervisory institutions that carried out verification to have given consent to such disclosure.
43. article. (1) the financial and capital market Commission shall forward to the European Commission and Member State the reinsurers supervisory bodies notifications informing about such occurrences: 1) reinsurance the reinsurance licence company whose parent company or its parent company is not registered in the Member State;
2) company that is not registered in a Member State, has become the parent company of reinsurance companies.
(2) If a licence has been issued for reinsurance reinsurance company whose parent company or its parent company is not registered in a Member State, the Financial and capital market Commission in addition to the first part of this article referred to in paragraph 1, information shall be forwarded to the European Commission with details of the reinsurance company, the structure of the group.
44. article. (1) the monitoring of the financial and capital market Commission shall cooperate and consult with the European Commission.
(2) the financial and capital market Commission shall inform the European Commission about significant challenges facing reinsurance companies entering or conducting reinsurance, not the Member States.
(3) financial and capital market Commission shall cooperate with the European Commission, for the purpose of facilitating the supervision of reinsurance within the Member States and of examining any difficulties which may arise in the application of this Act and the insurance companies and the supervisory law.
Chapter VIII. Reinsurers reports article 45. (1) the primary sorts of accounting according to the law "on accounting", that rule and the financial and capital market Commission's regulatory arrangements.

(2) the annual report of the reinsurance undertaking or non-Member State of the branch shall be drawn up according to the reinsurers in the first part and majai financial and capital market Commission's regulatory arrangements.
(3) a reinsurance undertaking which is the parent company of the group, shall prepare consolidated accounts according to the financial and capital market Commission's regulatory arrangements.
Article 46. Financial and capital market Commission from reinsurers reports on its activities, the reporting format, content and submission deadline.
47. article. (1) sworn or certified auditor the auditor of a company shall prepare a report of the reinsurance undertaking or non-Member State the reinsurers branch management. A copy of the report shall be submitted to the financial and capital market Commission within 15 days of approval of the annual report of the shareholders ' or members ' meeting, but no later than for the year following the year of 15 May.
(2) If a report prepared by a sworn auditor or certified auditor company, are notes, dividends may be paid only when the cost is consistent with the financial and capital market Commission.
(3) financial and capital market Commission should have the right to request from the sworn auditor certified auditor or company information on the check.
48. article. (1) a reinsurance undertaking which is the parent company of the group, consolidated accounts shall be drawn up not later than seven months after the end of the reporting year.
(2) the reinsurance undertaking or non-Member State the reinsurers Branch annual report be prepared not later than four months after the end of the reporting year.
(3) the reinsurance undertaking or non-Member State the reinsurers branch not later than 15 days after the approval of the annual report and not later than the year following the reference year for the 15 may submit to the State revenue service territorial authority by reinsurance undertakings or non-Member State of the branch establishment on the reinsurer's annual report and the auditor's certified or sworn auditor commercial companies a copy of the report together with the shareholders ' or members ' meeting statement on the approval of the annual report. Reinsurance undertaking or non-Member State of the branch, which the reinsurer shall prepare consolidated accounts, in addition to that specified in the first sentence not later than 15 days after the approval of the consolidated annual report and not later than seven months after the end of the accounting year, shall submit to the State revenue service territorial authority by reinsurance undertakings or non-Member State the reinsurers branch registration site also consolidated annual accounts and sworn auditors or certified auditor commercial companies a copy of the report together with the shareholders ' or members ' meeting minutes excerpt of the consolidated annual report. Reinsurance undertaking or non-Member State the reinsurers branch documents referred to in this paragraph shall be submitted in paper form or electronically.
(4) in the third paragraph of this article, these documents, if they are submitted electronically, or electronic copies of these documents, if they are submitted in paper form, the State revenue service no later than five working days electronically transmit to the Registrar of companies. Business register provides public access to the documents you receive. Electronic service of documents and certification procedures established interdepartmental agreements to be concluded by the State revenue service and business register.
(5) the register after the fourth paragraph of this article, the document referred to in receipt no later than five working days shall be published in the newspaper "journal" statement that referred to in the third subparagraph, the information available in the register of companies.
49. article. (1) the reinsurance undertaking or non-Member State the reinsurers branch addition article 48 of this law, third paragraph in itself provides that the annual report after its approval, together with a sworn auditor or certified auditor's report is made public in the company not later than the year following the reporting year may 15, but the consolidated annual report, together with a sworn auditor or certified auditor commercial companies report not later than seven months after the end of the reporting year. This annual report and the consolidated annual report must be identical with the sworn auditor or certified auditor of the audited company. Reinsurance undertaking or non-Member State the reinsurers branch relevant information can be shared on your website on the internet or choose releasing information through other suitable medium or location.
(2) foreign reinsurers branch ensure that foreign reinsurers in the annual report are published not later than seven months after the end of the reporting year. At least annual report balance sheet, profit and loss statement and the auditor's opinion the jury need to be translated into Latvian language. The information concerned foreign reinsurers can share your affiliate website on the internet or choose releasing information through other suitable medium or location.
Chapter IX. The technical provisions in article 50. (1) technical provisions to create the same currency in which the reinsurance undertaking or non-Member State the reinsurers branch committed according to the concluded reinsurance contracts.
(2) establish adequate technical provisions in reinsurance company or reinsurer branch of a Member State to fulfil its obligations under the concluded reinsurance contracts and ensure the stability of the financial transaction. Reinsurance undertakings or non-Member State the reinsurers branch management develop and approve technical provisions for policies and procedures and are responsible for compliance with these policies and procedures. Reinsurance undertaking or non-Member State the reinsurers branch technical provisions and procedures shall be submitted in writing to the financial and capital market Commission within 10 days after the approval of this policy and procedures, as well as inform you about any changes to it.
(3) the reinsurance undertaking or non-Member State of the branch shall take the primary calculation of technical provisions for each reinsurance contract.
(4) the reinsurance undertaking or non-Member State the reinsurers branch profits reduced by technical provisions the amount transferred during the year. While profits increased by that time of the year is deducted from the technical provisions and the amount credited to the reinsurance undertaking or non-Member State the reinsurers branch income.
51. article. (1) the reinsurance undertaking or non-Member State of the branch, which reinsurers take reinsurance in this law article 13, second paragraph, point 1, in that way creates the reinsurance of life insurance technical reserves.
(2) the reinsurance undertaking or non-Member State of the branch, which reinsurers take reinsurance in this law article 13, second paragraph, referred to in paragraph 2, establish a reinsurance: 1) unearned reinsurance premium technical reserve;
2) deferred compensation reinsurance technical reserve, relating to: (a)) which are received reinsurance reimbursement application but is not paid a reinsurance indemnity is not paid in full, or (b)) which have occurred, but not yet received reinsurance reimbursement.
(3) the reinsurance undertaking or non-Member State of the branch, which reinsurers take reinsurance and insurance companies under the supervision of the law article 12, first paragraph, referred to in paragraph 14 of the classes, in addition to the first part of this article, the following technical reserves financial and capital market Commission in the order establishing the Equalization technical reserve.
(4) the reinsurance undertaking or non-Member State of the branch, which reinsurers take reinsurance, insurance companies and the supervisory law 12 the first paragraph of article 10, 11, 12 and 13 of the insurance referred to in paragraph ways, establishing the technical reserve for equalization.
(5) the reinsurance undertaking or non-Member State of the branch, which reinsurers take reinsurance: 1) this law, article 13, second paragraph, referred to in paragraph 2 in the form of reinsurance, with the exception of insurance undertakings and the supervision of law 12 the first paragraph of article 10, 11, 12, 13 and 14 above insurance reinsurance to provide in article 50 of this law requirements, as well as taking into account the particularities of reinsurance types, in addition to the first part of this article, the following technical provisions can create equalization technical reserve;
2 article 13 of this law) in the second subparagraph of paragraph 2 in the form of reinsurance to provide in article 50 of this law requirements, as well as taking into account the particularities of reinsurance types, in addition to the first part of this article, the following technical reserves may create unforeseen risk technical reserve.

(6) the reinsurance undertaking or non-Member State of the branch, which reinsurers take reinsurance in this law article 13, second paragraph, referred to in paragraph 1 in the form of reinsurance to provide in article 50 of this law requirements, as well as taking into account the specificities of reinsurance types, in addition to the first part of this article, the following technical reserves the technical reserve can create bonuses.
(7) the financial and capital market Commission issued rules and regulations for the calculation of technical provisions.
52. article. (1) the technical provisions must be continuous the full cover to cover the technical provisions.
(2) to cover the technical reserves and technical provisions must be coordinated through the types of currency and the cost of reinsurance expected remuneration.
Chapter x. Reinsurance undertakings or non-Member State the reinsurers branch contributions to article 53. (1) the reinsurance undertaking or non-Member State the reinsurers branch investment must be safe, diversified, liquid and profitable ones to ensure that the reinsurance undertaking or non-Member State the reinsurers branch financial stability and guarantee the reinsurance obligations in the treaties. Reinsurance undertakings or non-Member State the reinsurers branch management develop and approve the reinsurance undertaking or non-Member State the reinsurers branch building of investment policies and procedures and are responsible for compliance with these policies and procedures. Reinsurance undertakings and the Member State of the branch management reinsurers not less frequently than once a year, review the procedure of investment building, aligning it to the types of investments, geographical location, business partners, financial instruments regulated and non-regulated markets and real estate markets. Before the transactions in financial derivatives or reinsurance undertaking Member State the reinsurers branch management develop and approve financial derivatives use policy and procedure, which is matched by the reinsurance undertaking or non-Member State of the branch, the reinsurer operating its contribution to shaping the agenda and appropriate risk management.
(2) the Member State of the branch to the reinsurer covering technical provisions may be invested in assets in Latvia only.
54. article. Reinsurance undertakings or non-Member State the reinsurers branches covering technical provisions must meet the following requirements: 1) reinsurance undertakings or non-Member State the reinsurers for the affiliates to cover the technical reserves assets according to its activity, taking into account the expected cost of reinsurance compensation nature, extent and duration of the costs and ensuring coverage for technical provisions the assets used for the sufficiency, liquidity, security, quality, profitability and consistency;
2) reinsurance undertakings or non-Member State the reinsurers ' affiliates to cover the technical reserves assets are diversified and adequately spread and allow a reinsurance undertaking or a non-Member State the reinsurers for branch to respond adequately to changing economic circumstances, in particular in relation to the financial market and real estate market development or in connection with major disasters. To ensure coverage of the technical provisions, reinsurance undertakings or non-Member State of the branch shall evaluate reinsurer volatile market impact of changes to their assets and diversify to reduce the negative impacts;
3) reinsurance undertakings or non-Member State the reinsurers branch covering technical provisions for assets used, which are not admitted to trading on a regulated market, maintain prudent levels;
4) covering the technical reserves, reinsurance undertaking or non-Member State the reinsurers branch can use derivative financial instrument, if indeed they reduce investment risks or facilitate efficient portfolio management. Reinsurance undertaking or non-Member State the reinsurers branch derivative financial instruments assessed carefully, evaluating the assets with which the derivative financial instrument is connected, and it includes a reinsurance company or a member of a branch of active reinsurers in the assessment. Reinsurance undertaking or non-Member State the reinsurers branch avoids excessive for a single counterparty and transactions in financial derivatives;
5) reinsurance undertakings or non-Member State the reinsurers branch coverage for technical provisions the assets according to the different, there is no excessive reliance on any particular asset, issuer or group of companies and investment portfolio total risk accumulation. Reinsurance undertaking or non-Member State the reinsurers branch, using the cover of the technical reserves assets issued by the same issuer or by issuers belonging to the same group shall not expose the reinsurance undertaking or non-Member State of the branch excessive risk to the reinsurer. This limitation does not apply to Latvia, other Member States or a Member State of the OECD debt securities, issued by the State.
55. article. (1) the reinsurance undertaking or non-Member State the reinsurers branch, creating the structure of the assets covering technical provisions, subject to the following provisions: 1) covering technical provisions with currencies unmatched assets must not exceed 30 percent of the total amount of technical provisions;
2) to cover the technical reserves should be subject to shares and other negotiable securities, which are stocks, bonds and properties and debt securities which are not dealt in on a regulated market, does not exceed 30 per cent of the total technical reserves;
3) to cover the technical reserves should be subject to the same company shares, other securities, who has a float of shares, bonds and debt securities, as well as the characteristics of money and capital market instruments, not exceeding five percent of the total technical reserves;
4) to cover the technical reserves should be subject to the same group-owned company shares, other securities, who has a float of shares, bonds and debt securities, as well as the characteristics of money and capital market instruments not exceeding 10 per cent of the total technical provisions.
(2) the financial and capital market Commission has the right to request changes to the composition and structure of assets, which are extended to cover technical provisions, if the composition and structure of assets of harm or may harm or reinsurance undertaking Member State the reinsurers branch financial stability and may endanger the fulfilment of the obligations under the concluded reinsurance contracts and if you found any of the following conditions: 1) there is excessive reliance on one asset category the investment market or investment;
2) active or the issuer's quality assets are associated with high risk;
3) is a big proportion of illiquid assets.
(3) the value of the assets shall be determined in accordance with the financial and capital market Commission's regulatory rules for reinsurance undertakings or non-Member State of the branch pārapdroš have annual reporting.
Article 56. Reinsurance undertaking may not directly or indirectly lend themselves skipped the purchase of shares or units, as well as to take on the security of own shares or parts.
Chapter XI. Own funds and guarantee fund article 57. (1) in order to ensure that the reinsurance undertaking or the presence of a branch of the national reinsurer to the stability of the financial transaction, reinsurance undertakings or non-Member State the reinsurers in the branch action constantly must be the same.
(2) the procedure for calculation of the own funds of the financial and capital market Commission.
58. article. (1) in order to assess the reinsurance company and a Member State of the branch's financial situation reinsurers, reinsurance companies and reinsurers in the Member State of the branch not own funds compared with the solvency margin. Reinsurance company and a member of the Executive branch over the insurer's solvency requirement if own funds shall be equal to the required solvency margin or greater than it.
(2) the available solvency margin is a financial and capital market Commission duly calculated size. The solvency margin must not be less than the minimum guarantee fund.
(3) the financial and capital market Commission's reinsurance company or Member State the reinsurers for branch may provide greater solvency margin, if: 1) is requested to reinsurance undertakings or non-Member State the reinsurers Branch prepare this law referred to in article 66 of the financial situation of the improvement plan;
2) reinsurance undertakings or non-Member State the reinsurers branch significantly reduce or stop reinsurance;
3) reinsurance undertakings or non-Member State the reinsurers under retrocession agreements the branch type and conditions of application since the previous financial year has changed significantly;

4) in accordance with the reinsurance undertaking or the Member State of the branch of the insurer over the retrocession contracts has not been transferred or the risks of risk is not significant.
Article 59. (1) No Member State the reinsurers branches must have the funds transferred to the guarantee fund in the amount of minimum size, and not the Member State the reinsurers branch not less than 25 per cent of the minimum guarantee fund size deposit as security for the credit institution registered in Latvia. The deposit must be freely available, it may not be difficult, and moving it is possible only with the financial and capital market Commission's permission. The amount of the security shall not be taken into account when calculating the Member's affiliates own reinsurer.
(2) No Member State the reinsurers branch own funds calculated solvency margin amounts invested in the Member States, the amount of the guarantee fund – Latvia, pursuant to article 53 of this law in the first part of the criteria.
60. article. (1) the guarantee fund is the larger of the following two values: 1) one third of the solvency margin calculated;
2) guarantees the minimum size of the Fund.
(2) the minimum size of the guarantee fund is as follows: 1) reinsurance undertakings and the Member State the reinsurers affiliates — three million euros equivalent in lats, recalculated by the rate of the Bank of Latvia;
2) captive reinsurers to have one million euros equivalent in lats, recalculated following the Bank of Latvia rates.
(3) in the second part of the minimum guarantee fund, denominated in euro, are reviewed once a year and indexed, if in accordance with the statistics office Eurostat information consumer price index European economic area countries increased by five percent or more. The minimum guarantee fund in the amount of the increase will be rounded up to the nearest 100 000 euros. The decision on the index and the minimum guarantee fund in the amount of the increase for the year in question shall notify the European Commission.
(4) the financial and capital market Commission specifies the minimum size of the guarantee fund pursuant to the communication of the European Commission.
(5) the reinsurance company equity can invest only in funds, except when the reinsurance company is being reorganized.
(6) the setting up of a reinsurance undertaking, its own funds must not be less than the minimum of the guarantee fund.
61. article. If a reinsurance company has not complied with this Act and other legislation relating to the establishment of technical provisions and methods of calculation, financial and capital market Commission of its intention to advance its management authority of the Member State the reinsurers, reinsurance in which the merchant has a branch or provides reinsurance reinsurance business person services (Member State concerned) may be to prohibit the reinsurance undertaking free to deal with its assets.
62. article. (1) If the society or the reinsurance sa pārap a Member State of the branch fuse rating the same amount is less than the calculated solvency margin, but the majority of the guarantee fund, reinsurance undertaking or non-Member State of the branch shall provide coordination of reinsurers ' financial and capital market Commission plan the same amount of funds to restore to calculated solvency margin.
(2) If, after the first subparagraph in the event of financial and capital market Commission believes that reinsurance undertakings or non-Member State the reinsurers branch financial situation continues to deteriorate, the financial and capital market Commission may also restrict or prohibit the reinsurance company reinsurer of a Member State or a non-affiliate free to deal with its assets.
(3) the financial and capital market Commission shall inform the Member States concerned, the supervisory organ of the reinsurer within the territories of which the reinsurance undertaking conducting reinsurance on business of any measures it in accordance with the second paragraph of this article, taken in relation to reinsurance companies, and require that they apply for adequate reinsurance arrangements in the territory of the Member State concerned.
Article 63. (1) where a reinsurance undertaking or non-Member State the reinsurers affiliates own funds amount to less than the guarantee fund, reinsurance undertaking or non-Member State of the branch shall provide coordination of reinsurers ' financial and capital market Commission plan the same amount of funds for immediate restoration to the guarantee fund.
(2) after the first subparagraph in the event of financial and capital market Commission may also restrict or prohibit the reinsurance company reinsurer of a Member State or a non-affiliate free to deal with its assets.
(3) the financial and capital market Commission shall inform the Member States concerned, the supervisory organ of the reinsurer within the territories of which the reinsurance undertaking conducting reinsurance on business of any measures it in accordance with the second paragraph of this article, taken in relation to reinsurance companies, and require that they apply for adequate reinsurance arrangements in the territory of the Member State concerned. 
64. article. Reinsurance undertakings or non-Member State the reinsurers branches are obliged to inform financial and capital market Commission of all circumstances which may have a significant effect on the reinsurance undertaking or non-Member State the reinsurers in future operations of the branch.
Article 65. Financial and capital market Commission, received from a Member State the reinsurers monitoring authority to prohibit or restrict the free disposal of the assets of the reinsurer of the Member State, in accordance with the legislation shall take the necessary measures to ensure the prohibitions or restrictions on the free disposal of those assets, which a Member State the reinsurers supervisory body is asked to apply the free action of prohibition or restriction.
66. article. (1) the financial and capital market Commission, based on the submitted financial statements and results of checks may require reinsurance undertakings or non-Member State the reinsurers branch financial position improvement plan.
(2) the reinsurance undertaking or non-Member State the reinsurers branch management is responsible for the improvement of the financial situation of the early development of the plan and execution.
(3) the reinsurance undertaking or non-Member State the reinsurers branch financial position improvement plans in the next three years. The plan shall specify: 1) with associated costs (administrative and customer acquisition costs);
2) reinsurance undertakings or non-Member State the reinsurers affiliate revenue on the reinsurance and retrocession and the associated costs;
3) profit and loss statement and balance sheet projects;
4 the obligations arising out of reinsurance) and the solvency requirements of the financial sources;
5) retrocession programme;
6) measures to be taken and their deadlines.
(4) where a reinsurance undertaking or a non-Member State the reinsurers branch financial situation worsens and is at risk from reinsurance contracts or any reinsurance undertaking Member State the reinsurers not obligations, financial and capital market Commission is entitled to impose a reinsurance company or Member State the reinsurers for branch to have a higher required solvency margin, in order to ensure that the reinsurance undertaking or non-Member State the reinsurers branch soon able to fulfil the solvency requirements. Financial and capital market Commission to have a higher required solvency margin shall be determined on the basis of the third paragraph of this article shows the financial position of the improvement plan.
(5) if the financial and capital market Commission has requested from the reinsurance company or Member State the reinsurers branch financial position improvement plan in accordance with the first paragraph of this article, the financial and capital market Commission has taken a decision on article 28 of this law, part of the fifth issue of the authorisation and dispatch while not proof is at risk from reinsurance contracts resulting obligations.
(6) the financial and capital market Commission applied security measures, if the reinsurance undertaking or non-Member State the reinsurers branch refuses to submit the financial position improvement plan or plan submitted, the intended measures do not ensure the prevention of the deficiencies found and the reinsurance company or Member State the reinsurers branch financial advancement, or the plan is not implemented.
(7) If any of this article occurs in the sixth part of the cases, the financial and capital market Commission shall take the following precautions: 1) limits the reinsurance company or a member of the pārapdroš branch have the right to deal with its assets and take on new commitments;

2) down all reinsurance undertakings or non-Member State of the branch's cost to reinsurers or parts thereof required prior coordination with the financial and capital market Commission.
(8) the financial and capital market Commission on reinsurance company to the restrictions or prohibitions shall inform the Member State supervisory authorities over the insurer in the territory of which the reinsurance company opened its branch or in the territory of which the reinsurance undertaking conducting reinsurance, respecting the principle of freedom to provide services, without opening the branch, and the financial and capital market Commission has the right to request the Member State supervisory body established reinsurers reinsurance company adequate restrictions or prohibitions.
(9) the financial and capital market Commission is empowered by the Member State which is the home Member State the reinsurers (registration), the national supervisory authority of reinsurers to set the Member to the reinsurer adequate restrictions or prohibitions, a management authority of the Member State the reinsurers in respect of the Member State the reinsurers.
Chapter XII. Article 67 of the retrocession. (1) according to the actions and planned operations retrocession reinsurance undertakings or non-Member State the reinsurers branch develop and approve retrocession programme and is responsible for its implementation. At least once a year, the reinsurance undertaking or non-Member State the reinsurers under retrocession of the branch evaluated the conformity of the retrocession of the layout program.
(2) the reinsurance undertaking or non-Member State of the branch chosen reinsurers, reinsurance company or insurance company in accordance with the retrocession of the programme, taking account of the limits laid down in this law. Reinsurance undertakings or non-Member State the reinsurers before the branch is obliged to transfer the risk of retrocession contract of retrocession and the whole operation continuously collect and analyse information about insurance reinsurance merchant or merchant's financial situation (solvency) and reputation.
(3) the reinsurance undertaking or non-Member State the reinsurers branch is entitled to put on retrocession risks only: 1) insurer that has valid insurance license;
2 insurer, which Member State) has a valid license for the insurance operations (registration) in the home country;
3) reinsurers which has a valid license for reinsurance;
4) Member State the reinsurers, who has a valid license for the reinsurance operations headquarters (registration);
5) an insurer who is not a Member State is authorised to carry out home insurance (registration) in the country, with international rating agencies provided rating of investment grade and is able to meet their obligations not one international rating agency has questioned;
6) Member State not reinsurers that international rating agencies provided rating of investment grade and is able to meet their obligations not one international rating agency has questioned.
(4) the financial and capital market Commission, on the basis of it, the reinsurance undertaking or non-Member State the reinsurers branch reports and the Commission's reinsurance undertakings or non-Member State of the branch of the reinsurers ' results, have the right to require reinsurance undertakings or non-Member State the reinsurers under retrocession of branch changes the layout, providing reinsurance contracts resulting from compromised performance.
68. article. If the risk of using retrocession reinsurance intermediary, reinsurance undertakings or non-Member State the reinsurers is the responsibility of the branch before the conclusion of the contract throughout the contract period and continuous assessment of reinsurance intermediary financial position and reputation. Reinsurance undertakings or non-Member State the reinsurers branches must have documents that show the layout and retrocession reinsurance intermediary fees paid.
Chapter XIII. Reinsurance license cancellation article 69. (1) the financial and capital market Commission is entitled to withdraw the licence if reinsurance reinsurance undertakings or non-Member State the reinsurers branch: 1) not launched a reinsurance reinsurance within 12 months of the date of receipt of the licence;
2) stopped reinsurance for a period longer than six months;
3) waives the reinsurance licence;
4) violates this law, issued in accordance with the financial and capital market Commission, the laws, regulations and rules and financial and capital market Commission orders or do not comply with the license terms of reinsurance;
5) do not carry out the plan, the measures provided for in the same amount of funds to restore to calculated solvency margin or the same amount of funds for immediate restoration to about the guarantee fund;
6) does not ensure that the technical reserves are fully covered in this law compliant assets;
7) significantly violates the laws and other normative acts regulating business activity;
8) not take measures designed to improve the financial position of the plan;
9) can run from reinsurance contracts arise;
10) are eliminated.
(2) the financial and capital market Commission shall provide the Member State the reinsurers involved surveillance authority information on reinsurance license cancellation.
(3) if the financial and capital market Commission has received information from a member of the supervisory organ of the reinsurer in that Member State the reinsurers that institution has withdrawn license for reinsurance, financial and capital market Commission shall take all necessary measures to preclude the Member State the reinsurers in Latvia to conclude new reinsurance contracts, using the law to establish a branch or, if they comply with the principle of freedom to provide services, to provide reinsurance services, without having to open the branch.
(4) if the financial and capital market Commission issued the administrative act concerning the withdrawal of the licence of reinsurance is appealed, the appeal does not suspend its activity.
70. article. (1) the financial and capital market Commission can cancel the reinsurance licence one or more reinsurance. If the license is cancelled for reinsurance, reinsurance undertaking or non-Member State of the branch shall not be a reinsurer to conclude new reinsurance contracts of reinsurance types concerned, change the existing conditions of the reinsurance contract or extend the term of the transaction, but continue to perform arising from reinsurance contracts.
(2) the reinsurance undertaking or non-Member State the reinsurers branch liquidation, if the license is cancelled for all its reinsurance the reinsurance, excluding cases when the sa society of reorganisation of reinsurance or without carrying out a reorganisation is transformed into a legal entity that does not conduct reinsurance. Reinsurance company reorganisation or without completing the reorganization may be converted into a legal entity that does not conduct reinsurance, with the financial and capital market Commission's permission.
(3) in the case of reinsurance undertakings designed to transform the legal person who does not carry out reinsurance, financial and capital market Commission permit is issued if the reinsurance company has fulfilled all of the obligations arising under the reinsurance contracts.
71. article. (1) the financial and capital market Commission, by cancelling pārapdroš in youth licence is entitled to limit the reinsurance undertaking or non-Member State of the branch with reinsurers of its assets, cost and new commitments.
(2) the financial and capital market Commission shall immediately notify the reinsurance company reinsurer of the Member State of the branch or of reinsurance issued license cancellation.
(3) the decision on the withdrawal of the licence of reinsurance reinsurance undertakings or non-Member State of the branch may appeal to the reinsurer in court within a month of receiving it.
(4) the financial and capital market Commission shall forthwith publish in the newspaper "Latvian Journal of reinsurance issued notice of withdrawal of the licence.
(5) the financial and capital market Commission continues to supervise reinsurance undertakings or non-Member State the reinsurers affiliate until full reinsurance obligations or to reinsurance undertakings or non-Member State the reinsurers branches declared insolvent. 
Chapter XIV. The right to establish a branch and the principle of freedom to provide services, providing reinsurance services, open a branch

72. article. (1) if the financial and capital market Commission finds that the Member State of the branch or Member State the reinsurers reinsurers that, pursuant to the principle of freedom to provide services, to provide reinsurance services without opening the branch, an activity which is contrary to the laws of Latvia, it shall immediately request that the Member State the reinsurers will terminate these steps. On irregularities detected financial and capital market Commission shall notify the Member State reinsurer's home (registration) the national supervisory authority of the reinsurer. Financial and capital market Commission shall cooperate and consult with the Member States ' supervisory bodies, the reinsurer to ensure Member States ' supervision of reinsurers in Latvia.
(2) where a Member State of the branch or Member State the reinsurers reinsurers that, pursuant to the principle of freedom to provide services, provided in the pārapdroš youth services without opening the branch, continues to engage in activities that are contrary to the laws of Latvia, financial and capital market Commission shall inform the Member State concerned, the supervisory organ of the reinsurer and shall take measures to prevent such violations, as well as decide on the penal legislation.
73. article. Reinsurance undertaking being wound up, commitments arising out of reinsurance contracts concluded by the reinsurance company, with the right to establish a branch or the principle of freedom to provide services, without opening the branch, met in the same way as those arising from other reinsurance companies concluded reinsurance contracts.
Chapter XV. Article 74 of the reinsurance supervision. (1) the supervision of reinsurance as well as in the statutory reinsurance shall exercise the supplementary supervision with the financial and capital market Commission.
(2) the financial and capital market Commission is entitled to request information from the Member State of the branch, as well as reinsurers ' request to prevent non-compliance with the operating requirements of the law. Of their decisions financial and capital market Commission shall notify the Member State the reinsurers and home (registration) the national supervisory authority of the reinsurer. Financial and capital market Commission shall cooperate and consult with the Member States ' supervisory bodies, the reinsurer to ensure Member States ' supervision of reinsurers in Latvia.
(3) the financial and capital market Commission is entitled to request information from the Member State the reinsurers, who, pursuant to the principle of freedom to provide services, to provide reinsurance services in Latvia, without opening the branch, and to seek to prevent the non-compliance with the legislative requirements. Of their decisions financial and capital market Commission shall notify the Member State and the reinsurer control (registration) in the home country supervisory institution of the reinsurer. Financial and capital market Commission shall cooperate and consult with the Member State the reinsurers supervisory bodies, in order to ensure the supervision of the Member insurer in Latvia.
75. article. (1) the financial and capital market Commission shall supervise reinsurance undertakings, reinsurance undertakings established in the Member States of the branch, as well as reinsurance reinsurance services which they provide in the Member States, subject to the principle of freedom to provide services, without having to open the branch. Financial and capital market Commission, monitoring, cooperate and consult with the Member States the supervision of reinsurers.
(2) in the first subparagraph and article 76 of this law in the second part of the action to be taken in the cases specified in the supervision of reinsurance undertakings activities include inspection, compliance verification of solvency, the establishment of technical provisions and the covering technical provisions provision examination to determine their compliance with the requirements of the law.
76. article. (1) if the financial and capital market Commission has reason to believe that Member State the reinsurers activities might affect its financial soundness, the financial and capital market Commission shall inform the Member State concerned, the supervisory organ of the reinsurer.
(2) if the financial and capital market Commission from reinsurers monitoring authorities received information that a member of the supervisory organ of the reinsurer has reason to believe that the reinsurance undertaking Member State actions could affect its financial stability, financial and capital market Commission evaluated the action taken by the reinsurance company compliance with legislative requirements.
77. article. Financial and capital market Commission, to perform it in the law and other regulations laid down by the tasks is entitled to issue binding regulations reinsurers rules and orders.
78. article. (1) the financial and capital market Commission is empowered to examine reinsurance and reinsurance companies of the public in the Member State of the branch if it is informed in advance of the relevant Member State the reinsurers, the supervisory organ or Member State of the branch and primary documents, as well as the non-voting participation or reinsurance undertaking Member State administrative organ of the reinsurer of the branch.
(2) If a member of the supervisory organ of the reinsurer checks Member State the reinsurers in Latvia, a branch of financial and capital market Commission may participate in these checks.
Article 79. (1) the financial and capital market Commission should have the right to request from the reinsurers information and documents about the operation, including the insurance operations carried out using reinsurance intermediary services.
(2) the information requested shall be submitted to the reinsurers ' financial and capital market Commission within the time limits laid down. They may refuse to submit information, citing commercial confidentiality.
80. article. Financial and capital market Commission has the right not to allow a reinsurance undertaking to establish close relationships with third parties or to require reinsurance undertakings shall terminate close relations with third parties, or prohibit transactions with third parties, where such relations may threaten or undermine the financial soundness of reinsurance company or interfere with the financial and capital market Commission to carry out its monitoring functions.
81. article. Financial and capital market Commission is right to propose that a reinsurance company is convened Board meeting, Board meeting or a meeting of the shareholders or members, and determine the results in the relevant meeting.
Article 82. Financial and capital market Commission or its authorised representative has the right to carry out reinsurance company reinsurer or not a Member State of the branch check. Financial and capital market Commission is entitled to authorise the pursuit of this task to the certified auditor certified auditor or company.
83. article. (1) If the conditions of this law and criminal money-laundering and terrorist financing Prevention Act provisions governing financial and capital market Commission is entitled to impose fines of up to to the reinsurer 100 000 lats.
(2) the financial and capital market Commission fines imposed on a person pay not later than one month from the date of entry into force of the financial and capital market Commission decision on the imposition of fines.
(3) voluntary pre-financial and capital market Commission's enforcement of the decision taken by the bailiff of the civil procedure law.
84. article. Financial and capital market Commission is empowered under its competence require reinsurers and the reinsurers in the Member State the shortcomings noted violations of this law and shall take measures to prevent such violations.
85. article. Financial and capital market Commission, its staff and Governors are not responsible for losses incurred by the insurer, the insurer, reinsurer of the Member State, the Member State the reinsurers, insurance intermediary, reinsurance intermediaries or third parties, and they may not be held liable for actions they are legal, accurate, reasonably and in good faith made duly fulfil the supervisory functions in this law and other laws.
Chapter XVI. Supplementary supervision article 86. (1) additional surveillance is subject to the reinsurance undertaking, which is: 1) public participation in at least one insurance company, pārapdroš in youth society, foreign insurers or reinsurers in the foreign State;
2) intermediate insurance holding companies, non-member or non-Member State the reinsurers of the insurer's subsidiary company;
3) diversified insurance holding company subsidiaries.
(2) a supplementary supervision, in the cases referred to in this Act takes account of the company, which are: 1) the reinsurance undertaking's participation in society;
2) reinsurance company related company;
3) reinsurance public participation in related public companies.
(3) the supplementary supervision shall include:

1) financial and capital market Commission's right to request information;
2) providing information to the financial and capital market Commission;
3) financial and capital market Commission right onsite check the veracity of the information referred to in the second subparagraph of article in the company;
4) this law referred to in article 90. mutual monitoring of transactions;
5) the adjusted solvency requirements for performance monitoring.
(4) if the same insurance holding company, non-member member insurer or reinsurer not multidisciplinary insurance holding company is the parent company of the insurance undertaking or reinsurance undertaking and a member insurer or reinsurer, Member State financial and capital market Commission shall agree with the Member State concerned of the insurer or of the supervisory organ of the reinsurer supervision bodies of the Member State which of the two will perform additional monitoring.
87. article. (1) subject to the supplementary supervision of the reinsurance undertaking shall provide financial and capital market Commission all the exercise of supplementary supervision necessary information.
(2) the financial and capital market Commission should have the right to request additional information necessary for the supervision, direct from the reinsurance company's affiliates, the presence and participation of the public society affiliates, if this information has not been received from a reinsurance company. 
(3) the financial and capital market Commission or its authorized additional information submitted to the supervision authority of this law, article 86, second paragraph in those companies can check remotely, and this company may refuse to provide information, citing commercial confidentiality.
(4) after the Member State the reinsurers monitoring authority financial and capital market Commission or its authorized person or member of the supervisory organ of the reinsurer (with financial and capital market Commission's consent), or its authorized persons may check additional monitoring of the veracity of the information provided in Latvia registered company which is registered in a Member State subject to supplementary supervision in the Member State of the presence, of the public reinsurer related companies or companies related to public participation.
88. article. (1) a reinsurance undertaking which is subject to supplementary supervision in accordance with article 86 of this law, the first subparagraph of paragraph 1, the requirements of the risk management and internal control system and establish procedures to properly identify, measure and control necessary for the supplementary supervision and information.
(2) subject to the supplementary supervision of the reinsurance undertaking, its membership companies and related companies have the right to exchange the relevant information in the financial and capital market Commission or Member State the reinsurers surveillance authority requires the exercise of supplementary supervision.
Article 89.  (1) the insurance over a member of the Executive of the valdītājsabiedrīb can be a person who meets the following requirements: 1) it is sufficiently competent in the area is responsible;
2) has not less than three years of work experience in the field in question;
3) it has a perfect reputation;
4) it is not deprived and have not been deprived of the right to carry on business;
5 it is not penalized for intentional) criminal offences or are rehabilitated or have been removed or deleted, or it is not a criminal record called criminally.
(2) Before the first paragraph of this article, the person takes up its responsibilities, the reinsurance company shall inform the financial and capital market Commission. Financial and capital market Commission not later than one month from the date of receipt of the information referred to in this part, shall assess the person's compliance with the first paragraph of this article. Financial and capital market Commission within the time limit referred to in this paragraph shall take a decision to prohibit a person to occupy this article posts provided for in the first subparagraph, if the person does not meet the requirements of the first subparagraph and shall forthwith notify the person concerned, and reinsurance company.
(3) the financial and capital market Commission may propose to the post is immediately revoked the insurance holding company, the Member of the Executive Body, if it does not meet the requirements of the first subparagraph do not comply with the reinsurance company's policies and procedures.
Article 90. (1) the reinsurance undertaking as a good and thorough landlord doing interconnection between reinsurance undertakings subject to supplementary supervision, its participation in society, the presence of related companies, public companies, and seeks to send the physical person directly or by way of control has gained 20 percent or more of the voting rights, or by way of control, directly or obtained the participation, which covers 20 percent of the share capital and over or voting shares or shares in reinsurance company , its associated companies, membership or participation in public companies in the related company.
(2) in the first paragraph, the mutual transactions mentioned are: 1) loans and borrowings;
2) guarantees and other off-balance sheet transactions are presented in;
3), which are reflected in the positions that are included in the calculation of the adjusted own funds;
4) investment;
5) retrocession transactions;
6) arrangement for common costs.
(3) financial and capital market Commission shall determine the arrangements for the submission of information for mutual transactions and its content.
91. article. (1) the adjusted solvency margin and the order in which the calculated adjusted the own funds and the relevant reports submitted to this law, article 86, first paragraph, point 1 and 2 of the reinsurance companies determine the financial and capital market Commission.
(2) the adjusted solvency requirement is satisfied if the adjusted amount of own funds shall be equal to the adjusted solvency margin or greater than it.
(3) If the adjusted solvency requirement is not or may not be run in accordance with the requirements of this law, subject to the supplementary supervision of the reinsurance undertaking shall provide coordination of financial and capital market Commission, the plan of measures to take to ensure compliance with this law.
92. article. If after 90 of this law referred to in the second subparagraph of article information financial and capital market Commission concludes that the reinsurance company's financial stability is or may be jeopardised, it requests that the reinsurance undertaking shall take steps to improve financial stability.
Transitional provisions 1. Reinsurance undertakings which, before the entry into force of this law gave and was entitled to provide reinsurance services in Latvia, this law enters into force shall ensure that: (a) the disposal of the reinsurance undertaking) would be the same amount that is not less than the minimum guarantee fund;
b) meet the requirements of the reinsurance company to the Chairman of the Management Board, the Management Board, internal audit (audit) services, as well as the person who, by adopting the relevant decisions on behalf of the reinsurance undertaking, reinsurance company creates civil liability;
c) are performed on the reinsurance requirements with regard to persons who have a significant interest in the reinsurance company.
2. The transitional provisions referred to in paragraph 1 of the reinsurance companies not later than 15 days after the date of entry into force of this Act shall submit financial and capital market Commission documents showing that the transitional provisions provided for in paragraph 1, compliance with the requirements. Financial and capital market Commission within three months of receiving all the necessary documents days assessed the compliance of the activities of a reinsurance undertaking the transitional requirements of paragraph 1.
Until the financial and capital market Commission has assessed the compliance of the documents submitted to the transitional requirements of paragraph 1 and adopted a decision on the issue of the licence of reinsurance, reinsurance undertaking is entitled to provide reinsurance reinsurance services without license.
3. If the financial and capital market Commission, in accordance with the transitional provisions of paragraph 2 of the received documents, notes that reinsurance undertaking has complied with this paragraph 1 of the transitional provisions, the financial and capital market Commission for reinsurance the reinsurance company license under its reinsurance services provided.
4. If the financial and capital market Commission, in accordance with the transitional provisions of paragraph 2 of the received documents finds that a reinsurance company has not complied with this paragraph 1 of the transitional provisions, the Financial and capital market Commission prohibits the reinsurance company to provide reinsurance services.
If the financial and capital market Commission issued the administrative act concerning prohibition of the reinsurance company to provide reinsurance services is appealed, the appeal does not suspend its activity.

5. The transitional provisions referred to in paragraph 1 of the reinsurance company to 2008 December 10, completing the following legislation: (a) the conduct of business requirements);
b) close relations requirements;
(c) the establishment of technical provisions), for the calculation of technical provisions and coverage requirements;
(d)) and the calculation of the solvency margin requirements;
e) guarantee fund requirements.
6. The transitional provisions referred to in paragraph 1 of the reinsurance company to 10 December 2008 submit financial and capital market Commission documents proving this transitional rule 5 requirements.
7. If the financial and capital market Commission finds that reinsurance company has not complied with this paragraph 5 of the transitional provisions, the financial and capital market Commission reverses the reinsurance the reinsurance licence issued to the public.
If the financial and capital market Commission issued the administrative act concerning the withdrawal of the licence of reinsurance is appealed, the appeal does not suspend its activity.
8. This law, except for the transitional provisions of paragraph 9 shall not apply to reinsurance undertakings to this law, the date of entry into force of the new reinsurance stopped contracting, but continue to perform existing reinsurance contracts.
9. The transitional provisions referred to in point 8 of the reinsurance companies not later than 15 days after the date of entry into force of this Act shall submit financial and capital market Commission documents proving the reinsurance company's desire to stop the reinsurance services, and its existing reinsurance contract end date duration ends.
10. the financial and capital market Commission, after this transitional provisions provided for in paragraph 9 of document shall inform the Member States of those reinsurance undertakings referred to in this paragraph 8 transitional provisions.
11. This law, 38, 39 and 40, article outsourcing requirements laid down in article 38 of this law, in the third paragraph, and which the reinsurance undertaking or non-Member State the reinsurers branch receives, prior to the entry into force of this law, reinsurance undertaking or non-Member State the reinsurers branch runs for six months from the entry into force of this law.
12. the financial and capital market Commission of this law, article 42 of the ninth part within 30 days from the date of entry into force of the law.
13. Article 48 of this law, the third, fourth and fifth reports applicable, presented to the State revenue service July 1, 2008 or later.
Informative reference to European Union directives, the law includes provisions resulting from: 1) of the Council of 9 March 1968 the first Directive 68/151/EEC on how equalization in order to coordinate the support that Member States require of companies article 58 of the Treaty, the second paragraph means to protect the interests of members and others;
2) of the European Parliament and of the Council of 27 October 1998 Directive 98/78/EC on the supplementary supervision of insurance undertakings in an insurance group;
3) of the European Parliament and of the Council of 15 July 2003 of Directive 2003/58/EC amending Council Directive 68/151/EEC, as regards disclosure requirements in different types of companies;
4) of the European Parliament and of the Council of 16 November 2005 of Directive 2005/68/EC on reinsurance and amending Council Directives 73/239/EEC and 92/49/EEC as well as directives 98/78/EC and 2002/83/EC.
The Parliament adopted the law of 12 June 2008.
President Valdis Zatlers in Riga V 2008 July 2 editorial comment: the law shall enter into force on 16 July 2008.