An Insurance Company will be treated as a Specified Insurance Company only when the products written are classified as Cash Value Insurance or Annuity Contracts, or if payments are made on such contracts.
Therefore, Insurance companies that only provide General Insurance or Term Life Insurance should not be Financial Institutions and neither will reinsurance companies that only provide indemnity reinsurance contracts.
A Specified Insurance Company can include both Insurance Companies and the holding companies of insurance companies. However, a holding company itself will only be a Specified Insurance Company if it issues or is obligated to make payments on Cash Value Insurance Contracts or Annuity Contracts.
Insurance brokers are normally part of the payment chain and, therefore, should not be classified as a Specified Insurance Company. This will not be the case where they are obligated to make payments under the terms of the Insurance or Annuity Contract.