The Insurance Board of Sri Lanka has further extended the suspension of registration imposed on Ceylinco Takaful Ltd in respect of General Insurance Business in terms of section 18(b) of the Regulation of Insurance Industry Act No. 43, of 2000 for a period of three weeks commencing from 4.31 p.m. of 16th September 2009 to 4.30 p.m. on 7th October 2009.

According, Ceylinco Takaful Ltd is prohibited from issuing new insurance policies in respect of General Insurance Business until the suspension is removed and informed in wiring to Ceylinco Takaful Ltd by the IBSL. A renewal of an Insurance policy in respect of General Insurance Business is considered as a new contract/new insurance policy.

In terms of Section 18 (2) of the Regulation of Insurance Industry Act No. 43 of 2000, Ceylinco Takaful Ltd. is required to fulfil its obligations for insurance policies already issued.