Insurance Ordinance

(1)
An
                authorized insurer
                must
                immediately give written notice to the
                Authority
if—
(Amended
12 of 2015 ss. 2 & 34
;
20 of 2023 s. 30
)
(a)
the insurer decides to remove or replace an auditor appointed under
section 15
;
(b)
a person appointed under
section 15
to be the auditor of the
                    insurer ceases to be such auditor otherwise than in consequence of a decision
                    referred to in paragraph (a); or
(c)
in relation to
                    an
                    HK
insurer—
(Amended
12 of 2015 s. 34
;
20 of 2023 s. 30
)
(i)
the insurer
either—
(A)
proposes to give special notice to its shareholders of a resolution
                            removing an auditor appointed under
section 395
,
396
,
397
or
398
of the Companies
                            Ordinance (
Cap. 622
) or deemed to be
                            reappointed under
section 403
of that Ordinance before the
                            expiry
                            of
                            the
                            auditor’s term of office; or
(B)
gives notice to its shareholders of a resolution replacing an
                            auditor so appointed or deemed to be reappointed at the
                            expiry
                            of the auditor’s term of office; and
(Amended
20 of 2023 s. 30
)
(ii)
the auditor so appointed or deemed to be reappointed has also been
                        appointed under
section 15
to be the auditor of the insurer.
(Amended
28 of 2012 ss. 912
& 920)
(2)
An auditor appointed under
section
                    15(1)
by
                an
                authorized insurer
                must
                immediately give written notice to the
                Authority
if—
(Amended
26 of 1994 s. 3
;
12 of 2015 ss. 2 & 34
;
20 of 2023 s. 30
)
(a)
the
                    auditor resigns;
(b)
for an
                    auditor
                    who
                    has been so appointed for a fixed
                    term—the
                    auditor
                    decides not to seek reappointment; or
(c)
the
                    auditor decides to add a qualification or adverse statement to
                    the
                    auditor’s report annexed to the accounts and statements of the
                    insurer required to be submitted under
                    any
                    requirement prescribed by virtue of
section 17
.
(Amended
26 of 1994 s. 3
;
12 of 2015 s. 34
;
20 of 2023 s. 30
)
(3)
An
                authorized insurer which fails to comply with subsection (1)
                commits an offence and is liable to a fine at level 4, together with a further fine
                of $1,000 for each day on which the offence continues.
(Amended
35 of 1996 s. 12
;
12 of 2015 s. 34
)
(4)
Where a person is charged with an offence under subsection (3), it shall be a
                defence if the person charged proves that he took all reasonable precautions and
                exercised all due diligence to avoid the commission of the offence.