FSA functions where an individual: (a) exerts significant influence; (b) deals directly with customers; or (c) deals with customer’s property. The FSA’s controlled functions must be performed by approved persons. The functions are grouped as ‘governing functions’, ‘required functions’, ‘systems and control functions’, ‘significant management functions’ and ‘customer functions’. Certain functions are significant influence functions and indentified in the Table of Controlled Functions (www.fsa.gov.uk).
Insurance Encyclopedia
Controlled funding
Method of estimating the size of the pension fund needed to secure the benefits for occupational scheme members. Each year the employer pays a premium to secure the total expected benefits at normal retirement age for the oldest employees either individually or in age groups. The insurer and the employer agree the level of funding to cover a period of years. This funding is appropriate where funds are not ‘earmarked’, e.g. final salary schemes.
Controlled insurance
Insurance that is controlled by agent or broker influence, instead of by an agreement.
Controlled insurance program (CIP)
A centralized insurance program under which one party procures insurance on behalf of all (or most) parties performing work on a construction project or on a specific site. Commonly referred to as “wrap-ups,” CIPs are most commonly used on single projects, but other uses include contract maintenance on a large plant or facility or on an ongoing basis for multiple construction projects. Typically, the coverages provided under a CIP include builders risk (for construction wrap-ups), commercial general liability (CGL), workers compensation, and umbrella liability. CIPs offer a number of benefits, including greater control of the scope of coverage, potentially lower project insurance costs, and reduced litigation. CIPs can be purchased by the owner (OCIP) or contractor (CCIP) or a combination of participating parties.
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A centralized insurance program under which one party procures insurance on behalf of all (or most) parties performing work on a construction project or on a specific site. Commonly referred to as “wrap-ups,” CIPs are most commonly used on single projects, but other uses include contract maintenance on a large plant or facility or on an ongoing basis for multiple construction projects. Typically, the coverages provided under a CIP include builders risk (for construction wrap-ups), commercial general liability (CGL), workers compensation, and umbrella liability. CIPs offer a number of benefits, including greater control of the scope of coverage, potentially lower project insurance costs, and reduced litigation. CIPs can be purchased by the owner (OCIP) or contractor (CCIP) or a combination of participating parties.
Controller
Officer in charge of the funds of an insurance company or an organization.
Controllers
FSA definition of persons or entities owning 10 per cent or more of the shares in an authorised firm or parent company of such firm or is able to exercise significant influence over management through shareholding in such a firm or parent.
Controlling director (CD)
A director who owns (or controls) at least 20 per cent of a company’s voting power. In view of the influence such a person may have over his employer, special restrictions apply to a controlling director’s membership of the company’s pension scheme. The full details appear in Practice Notes (IR12) (1991).
Controversy
Disputed differences of opinion.
Convalescent care
See: extended care.
Convection
The transfer of heat that occurs because of the mixing or circulation of heated fluid.