Paragraph 1: General provisions.

The companies or funds referred to in article L. 322-27 are subject, under the authority of the Autorité de contrôle prudentiel et de résolution, to ongoing supervision by its supervisors, exercised in collaboration with agents authorised for this purpose by the Minister of Agriculture.

In addition to undertakings carrying on direct insurance operations, including the operations referred to in Article R. 322-135, the companies or funds referred to in Article L. 322-27 whose exclusive object is reinsurance fall within the scope of this section, in particular as regards the control procedures and financial management rules. The following are excluded, notwithstanding the provisions of article R. 322-119, when the operations defined below constitute their exclusive…

Bodies falling within the scope of this Section which have been set up contrary to the laws and regulations governing their constitution shall be null and void. However, neither the sociétés ou caisses d’assurances et de réassurances mutuelles agricoles nor the members may rely on such nullity vis-à-vis third parties acting in good faith.

Undertakings falling within the scope of this section must, in accordance with the conditions set out in Articles R. 322-126 to R. 322-137, either obtain the administrative authorisation provided for in Article L. 321-1 or enter into a reinsurance treaty covering all their operations.