Short Title

1 These Regulations may be cited as the Property and Casualty Companies Borrowing Regulations.

Interpretation

2 In these Regulations, Act means the Insurance Companies Act. (Loi)

Prescribed Subsidiaries

3 For the purposes of section 476 of the Act, a prescribed subsidiary of a property and casualty company is a subsidiary of the property and casualty company other than a subsidiary that is a financial institution that is not engaged in the insuring of property and casualty risks.

Debt Obligation

4 For the purposes of section 476 of the Act, debt obligation has the meaning assigned to that expression by subsection 2(1) of the Act.

Manner of Determining Total Debt Obligations

5 For the purposes of section 476 of the Act, the aggregate of the total debt obligations of a property and casualty company is the aggregate of

• (a) the debt obligations of the property and casualty company, and

• (b) any debt obligations of the prescribed subsidiaries of the property and casualty company that are not held by the property and casualty company,

less the total of the stated capital of the property and casualty company.

Total Assets

6 For the purposes of section 476 of the Act, total assets, in respect of a property and casualty company, at a particular time, means the total of the assets of the property and casualty company that would be reported on the balance sheet of the property and casualty company prepared as at that time in accordance with the accounting principles and specifications of the Superintendent referred to in subsection 331(4) of the Act, less the total of the assets, determined in the same manner, of any subsidiary of the property and casualty company that is not a prescribed subsidiary.

Prescribed Percentage of Total Assets

7 For the purposes of section 476 of the Act, the prescribed percentage of the total assets of a property and casualty company is two per cent.