(1B) Notwithstanding anything contained in sub- section (1), it shall be sufficient compliance with the provisions of sub- section (1) in the case of a group of insurers operating in India as a group (hereafter in this Act
referred to as a" group") if the total amount of the deposit made by all the insurers in the group is not less than the amount which the group, if considered to be a single insurer, would have been required to deposit under sub- section (1): Provided that the deposit made by each insurer in the group is not less than that proportion of the total deposit required to be made under this sub- section as the proportion of his share of the risk on each policy issued by the group bears to the total risk on that policy. Explanation.-- For the purposes of this section and section 64VA, a group shall be deemed to be operating as such in India if the following conditions are fulfilled, namely:--
(a) no insurer in the group has commenced carrying on insurance business in India after the commencement of the Insurance (Amendment) Act, 1968 ;
(b) all the insurers in the group are registered for the same class or classes of insurance business;
(c) there is an agreement between all the insurers in the group to function as a group in respect of their business in India, and such agreement provides that the proportionate share of each insurer in the total risk on every policy issued by the group shall be such as may be mentioned therein and that such proportion shall be the same for all policies in all the classes of insurance policies issued by the group;
(d) the agreement referred to in clause (c) has been filed with the Controller within thirty days from the date of its execution: Provided that if the Controller is satisfied that any insurer was prevented by sufficient cause from filing such agreement within the specified time, he may, by order, allow the insurer to file such agreement within a period of thirty days from the date of his order;
(e) every policy issued by the insurers in the group mentions, on the face of the policy, the names of all the members of the group and the proportion of the risk for which each member is liable;
(f) the insurers in the group function with common offices, common officers, not being directors or members of any Board of management, and common staff within India;
(g) all the expenses in India of the insurance business (but excluding expenses solely relating to any Board of management, whether set up for the purpose of managing the insurance
business or not,) are shared by the insurers in the group in the proportion in which the risks are shared by and between them.