179EEntitlement of insurers to reimbursement from temporary

179E Entitlement of insurers to reimbursement from temporary fund (1) If this part applies to an insurer because of an act of terrorism, the insurer is entitled to be reimbursed from the temporary fund the insurer’s uninsured liability for the act of terrorism less the temporary fund threshold amount that applies to the insurer in relation to the act of terrorism. (2) However, the insurer is entitled to be fully reimbursed from the temporary fund the insurer’s uninsured liability for another act of terrorism that happens not later than 1 year after the day the act of terrorism mentioned in subsection (1) happens. (3) Subsection (2) applies only if the insurer has acted honestly and taken all proper and business-like steps to— (a) obtain reinsurance for the insurer’s liability to pay compensation for injuries or deaths (or both) caused by the later act of terrorism; and (b) demand the maximum amounts the insurer may demand under the reinsurance contracts held by the insurer that apply in relation to the later act of terrorism. insurer’s uninsured liability, for an act of terrorism, means the total of the amounts paid by the insurer for claims for compensation for injuries or deaths (or both) caused by the act of terrorism less all amounts that are recoverable (or to the extent that they are recoverable) by the insurer under the reinsurance contracts held by the insurer that apply in relation to the claims.