GIM3100 - Regulatory framework: classes and groups of general insurance business
‘Contract of insurance’ means any contract falling within Part 1 of Schedule 1 to the Regulated Activities Order (RAO). This lists 18 types of general insurance contract. These are the classes set out in Annex A to 73/239/EEC, the First Insurance Directive. The list is also to be found in IPRU(INS) in Part I of Annex 11.2 to Chapter 11 of Volume 1.
The 18 classes of general insurance contract are as follows:
- Accident
- Sickness
- Land vehicles
- Railway rolling stock
- Aircraft
- Ships
- Goods in transit
- Fire and natural forces
- Damage to property
- Motor vehicle liability
- Aircraft liability
- Liability of ships
- General liability
- Credit
- Suretyship
- Miscellaneous financial
- Legal expenses
- Assistance
The First Non-Life Directive also groups these classes into eight groups, for the purpose of granting authorisations for more than one class of insurance. These are listed in Part II of Annex 11.2 to Chapter 11 of Volume 1 of IPRU(INS). These eight groups are as follows:
| Number | Description | Nature of business |
|---|---|---|
| 1 | Accident and health | Classes 1 and 2 |
| 2 | Motor | Classes 1*, 3, 7, 10 |
| 3 | Marine and transport | Classes 1*, 4, 6, 7, 12 |
| 4 | Aviation | Class 1*, 5, 7, 11 |
| 5 | Fire and other property damage | Classes 8 and 9 |
| 6 | Liability | Classes 10, 11, 12, 13 |
| 7 | Credit and suretyship | Classes 14 and 15 |
| 8 | General | All classes |
*To the extent that the relevant risks are of the insured person being injured or dying, as the result of being a passenger.
These accounting classes and groups are used for the purposes of the FSA return (GIM3180).