Insurance Board extends suspension of registration on Ceylinco Takaful Ltd

The Insurance Board of Sri Lanka (IBSL) has further extended the suspension of registration imposed on Ceylinco Takaful Ltd. in respect of General Insurance Business in terms of Section 18(4)(b) of the Regulation of Insurance Industry Act, No. 43 of 2000 for one year commencing from December 9, 2009.

Ceylinco Takaful Ltd, is prohibited from issuing new insurance policies in respect of General Insurance Business until the suspension is removed and informed in writing to Ceylinco Takaful Ltd. by the IBSL.

A renewal of an insurance policy in respect of General Insurance Business is considered as a new contract/new insurance policy, a release said.

In terms of Section 18(2) of the Regulation of Insurance Industry Act, No. 43 of 2000, Ceylinco Takaful Ltd. is required to fulfil its obligations for insurance policies already issued.