Professional Documents
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For the purpose of this section, net worth shall consist of:
The Commission may adopt for purposes of compliance with capital build up
requirement under this Code the recognition as part of the capital account,
capital notes or debentures which are subordinate to all credits and senior
only to common capital stocks.
The President of the Philippines may order a periodic review every two (2)
years the capital structure set out above to determine the capital adequacy
of the local insurance industry from and after the integration and
liberalization of the financial services, including insurance, in the ASEAN
Region. For this purpose, a review committee consisting of representatives
from the Department of Finance (DOF), the Insurance Commission (IC), the
National Economic and Development Authority (NEDA), the Securities and
Exchange Commission (SEC) and other agencies which the President may
designate shall conduct the review and may recommend to the President to
adopt for implementation the necessary capital adjustment.
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For purposes of this Code, the net worth of a foreign insurance company
shall refer only to its net worth in the Philippines.
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