We are proposing to restructure the Society into a Company Limited by Guarantee called The Jersey Mutual Insurance Society Limited (the “Company“) and, to make these changes, the States Assembly will need to pass legislation, called ‘The Jersey Mutual Insurance Society (Transfer) (Jersey) Law‘ (the “Law“).
Why is the Society being restructured?
The Society was incorporated under the Jersey Mutual Fire Insurance Society: Incorporate Act, which was passed by the States of Jersey on 13 February 1908 and confirmed by Order of His Majesty in Council on 9 April 1908 (the “Founding Statute“).
The Founding Statute currently governs, amongst other things, the corporate governance of the Society, resulting in a timely and costly process whereby Ministerial approval is required for changes to the corporate structure of the Society. This is neither time, nor cost effective and restricts the Society from both competing in the modern-day insurance market, and being able to react, in a timely manner, to ongoing evolving regulatory demands and emerging market risks.
It is therefore proposed that the Society be restructured as the Company, in order for the Society to have the requisite autonomy over its corporate governance structure to: –
- enable the Society to transact in a robust, proactive and agile manner; in both its business and regulatory environment, whilst maintaining our mutual ethos;
- equip Directors, who have the requisite industry experience and skills, with the capability to make strategic decisions through voting rights within the Board;
- attract Non-Executive Directors with specialist skill sets and expertise to sit on the Board;
- simplify and strengthen the Society’s governance arrangements to ensure alignment with the day-to-day operations of the business; and
- provide a more effective and efficient service to our Members.
What does this mean for our Members?
There will be no change to Member’s insurance policy in either premiums paid or terms and conditions. They will still have the same policy underwritten by the Society and will be able to contact the Society in the same way as they do now. The Society will still offer the same products and services after the proposed restructuring.
Associated documentation
Please click on the below Board of Administration ratified document links for further information.
