Amending Circular 8/19 of the Single Insurance and Surety Circular

DOF: 20/05/2019

Amending Circular 8/19 of the Single Insurance and Surety Circular

A seal with the National Coat of Arms appears at the margin, which reads: United Mexican States.- SHCP.- Ministry of Finance and Public Credit.- National Commission of Insurance and Sureties.

AMENDING CIRCULAR 8/19 OF THE SINGLE INSURANCE AND SURETY CIRCULAR

(Provision 8.15.7.)

The National Commission of Insurance and Sureties, based on the provisions of Articles 366, fraction II, 372, fractions VI and XLII, 373, and 381 of the Law of Insurance and Surety Institutions, and

CONSIDERING

That on April 4, 2013, the "Decree issuing the Law of Insurance and Surety Institutions and reforming and adding various provisions of the Law on the Insurance Contract" was published in the Official Gazette of the Federation, through which, in terms of its First Article, the Law of Insurance and Surety Institutions was issued.

That on December 19, 2014, the Single Insurance and Surety Circular was published in the Official Gazette of the Federation, through which the general provisions emanating from the Law of Insurance and Surety Institutions are made known, systematizing their integration and homogenizing the terminology used, in order to thereby provide legal certainty regarding the regulatory framework to which insurance institutions and mutual insurance societies, surety institutions, and other persons and entities subject to the inspection and surveillance of the National Commission of Insurance and Sureties must adhere in the development of their operations.

That in terms of what is provided in Articles 90 and 267 of the Law of Insurance and Surety Institutions, institutions will require authorization from the National Commission of Insurance and Sureties to invest in securities representing the capital stock of Insurance and Surety Consortia referred to in the aforementioned Law.

That with the objective of providing legal certainty regarding the regulatory framework to which institutions must adhere to invest in securities representing the capital stock of the Insurance and Surety Consortia provided for in the Law of Insurance and Surety Institutions, the National Commission of Insurance and Sureties has observed the need to modify Provision 8.15.7 of the current Single Insurance and Surety Circular in order to clarify in it the reference that is erroneously made to "Provision 18.5.3", since the correct citation corresponds to "Provision 8.15.3" of the aforementioned Single Circular.

Therefore, this Commission has resolved to issue an Amending Circular to the Single Insurance and Surety Circular in the terms set forth below:

AMENDING CIRCULAR 8/19 OF THE SINGLE INSURANCE AND SURETY CIRCULAR

(Provision 8.15.7.)

SINGLE. - Provision 8.15.7 of the Single Insurance and Surety Circular is modified, to read as follows:

8.15.7.

To make investments in Insurance Consortia and Surety Consortia referred to in fraction I of Provision 8.15.3, institutions must request prior authorization from the Commission, submitting an application that must contain, at a minimum, the following:

I. to VII. ...

TRANSITORY

SINGLE. - This Amending Circular shall enter into force the day following its publication in the Official Gazette of the Federation.

The foregoing is made known to you, based on Articles 366, fraction II, 372, fractions VI and XLII, 373, and 381 of the Law of Insurance and Surety Institutions.

Respectfully,

Mexico City, April 22, 2019. - The President of the National Commission of Insurance and Sureties, Ricardo Ernesto Ochoa Rodríguez. - Signature.

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