3.
| (1) Subject to the provisions of subsection (2), nothing in this Act shall apply to or be deemed or construed to prohibit or restrict the carrying on of insurance business by-
| | (i) any association which is constituted by any Act or Ordinance (enacted in Ceylon whether after or before the appointed date) and which is authorized by such Act or Ordinance to carry on business failing within the meaning of insurance business as defined in this Act, | | |
| | (ii) any association in the case of which all the following requirements are satisfied, that is to say-
| | | (a) that contracts of insurance (whether express or arising by operation of the rules or by-laws of the association) are effected or entered into by the association only with persons who are members of the association, and that the benefit under such contract accrues or may accrue only to members or their heirs or dependants or to persons nominated by such members in that behalf in accordance with the rules or by-laws; |
| (b) that no part of the net profits or income of the association is paid or payable to persons other than members or their heirs, dependants, or nominees as aforesaid; and |
| (c) that membership of the association is restricted to persons in the employment of any one employer, or of two or more employers each of whom is engaged in a business or undertaking of the same description as the other or the others, and |
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| | (iii) any association of persons which may be declared by the Minister by notification published in the Gazette to be exempt from the provisions of this Act. | | |
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| (2) The Minister may, by notification published in the Gazette, declare that any provision or provisions of this Act shall apply to any association referred to in the preceding provisions of this section. |
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| (3) The provisions of this Act other than the regulations in the Seventh Schedule shall not apply to any member of Lloyds Underwriters carrying on Ceylon business. |
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Sri Lanka Consolidated Acts