French Insurance Code
In forceThe guarantee fund is a legal entity under private law. It is managed by a Management Board acting under the supervision of a Supervisory Board. The members of the Management Board and the Supervisory Board must meet the conditions set out in article L. 322-2.
The Supervisory Board exercises ongoing control over the management of the guarantee fund. It draws up the articles of association and internal regulations of the guarantee fund, which are approved by an order of the Minister for the Economy. It elects its Chairman from among its members.
The Supervisory Board approves the accounts and appoints the auditors. At the end of each financial year, a copy of the approved accounts is submitted to the Minister for the Economy. The guarantee fund is subject to inspection by the Inspectorate General of Finance.
The supervisory board comprises twelve members appointed by the member companies or supplementary occupational pension funds, each member representing one or more of these members. The composition of the Supervisory Board, specified by the articles of association of the guarantee fund, must be representative of the different categories of insurance undertakings subject to this code and supplementary occupational pension funds.
Decisions of the Supervisory Board are taken by simple majority. Each member of the Supervisory Board has a number of votes depending on his total financial contribution to the guarantee fund and those of the companies or supplementary occupational pension funds which have appointed him as their representative. In the event of a tie, the Chairman casts the deciding vote.
The Management Board consists of three members appointed by the Supervisory Board, one of whom is appointed Chairman. The members of the Management Board may not at the same time hold positions within member companies or supplementary occupational pension funds, or receive remuneration from any of them. The Chairman of the Management Board may only perform his duties with the approval of the Minister for the Economy.
The Minister for Economic Affairs or his representative and the Chairman of the Autorité de contrôle prudentiel et de résolution or his representative may, at their request, be heard by the Supervisory Board and the Management Board.
The Autorité de contrôle prudentiel et de résolution shall hear the chairman of the management board of the guarantee fund on any matter concerning an insurance undertaking or a supplementary occupational pension fund for which it is considering implementing the provisions of this chapter.
The chairman of the management board may also be heard, at his request, by the Autorité de contrôle prudentiel et de résolution.
