July 26, 2022

UK issues general license to permit transactions between designated persons and UK insurers

The UK Office of Financial Sanctions Implementation recently issued a new general license under multiple UK Autonomous Sanctions Regulations.  On July 22, 2022, OFSI issued General License INT/2022/2009156 to enable Designated Persons (DPs) to make Permitted Payments to UK Insurers from frozen UK bank accounts.  This general license also allows UK Insurers to make Return Payments (payments due as the result of permitted claim or resulting from overpayment) to frozen UK bank accounts and authorizes Relevant UK Institutions to process these payments.   

DPs who utilize this general license must report the transaction details – including the name of the UK insurer, the amount transferred, payment route used and transfer date – to HM Treasury within 14 days, while UK insurers must report the transfer dates, amounts transferred and payment routes used to HM Treasury within 14 days of making a return payment.  UK Insurers and DPs are also required to keep accurate records of transactions made under this general license for a minimum of 6 years.

General License INT/2022/2009156