Article 47. Authorized State Body

State regulation of insurance activities shall be carried out by the authorized state body.

The authorized state body shall:

establish mandatory solvency standards and the procedure for their determination, the methodology for calculating the maximum permissible amount of obligations of insurers (reinsurers) for individual risks and the total amount of obligations, the procedure and terms for submitting information on the solvency of insurers (reinsurers);

monitor compliance by professional participants of the insurance market with the legislation on insurance activities, provision for the established solvency standards and other requirements for their financial stability;

license the insurance activities of insurers (reinsurers) and insurance brokers;

establish the procedure and conditions for the formation and placement of funds of insurance reserves of insurers (reinsurers), as well as the procedure for their accounting and reporting;

establish the minimum amount of insurance reserves;

establish the form of financial statements submitted by insurers (reinsurers) and of annual financial statements published by them, as well as the procedure and terms for their submission and publication;

check, in accordance with the legislation, the activities of professional participants of the insurance market and issue them binding orders on the elimination of identified violations, including the elimination of the causes leading to the violation of the right of consumers of insurance services;

in accordance with the established procedure, impose a fine of up to 0.1 percent of the minimum amount of the charter fund (charter capital) of the insurer (reinsurer) for violation by the insurer (reinsurer) of the legislation on insurance activities, including established economic standards;

suspend, in accordance with the procedure established by the legislation, the validity of licenses of insurers (reinsurers) and insurance brokers in full or in respect of certain classes of insurance, as well as apply to the court for their termination;

apply measures and sanctions against insurers (reinsurers) and insurance intermediaries in accordance with the legislation in case of detection of violations of the legislation on countering the legalization of criminally obtained incomes and the financing of terrorism and proliferation of weapons of mass destruction;