(1) Notwithstanding anything written in the prevailing law, the insurer shall not be entitled to declare and distribute dividends to its shareholders in the following cases:-
(a) Funds to be maintained for carrying out risks as determined by this Act and the Authority, all of their initial expenses, losses up to the previous financial year. (b) until the minimum paid-up capital required under section 36 is met,
(c) Proportion of assets and liabilities as per Section 42: Unless established,
(d) Until the paid-up capital is fully paid by distributing the allotted shares to the general public.
(2) -According to the prevailing law, the insurer shall take the approval of the authority as prescribed before declaring the dividend.