1. Subject to Article 13, each Member State within whose territory an undertaking intends, by way of freedom to provide services, to cover commitments within the meaning of Article 10 may make the taking-up of such activity conditional on official authorization insofar as the commitments are not entered into in accordance with the arrangements referred to in Article 13; to that end, it may require that the undertaking:
(a) produce a certificate issued by the competent authorities of the head office Member State certifying that it possesses for its activities as a whole the minimum solvency margin calculated in accordance with Article 19 of the First Directive and that, in accordance with Article 6 (1) of the said Directive, the authorization enables the undertaking to operate outside the Member State of establishment;
(b) produce a certificate issued by the competent authorities of the Member State of establishment indicating the classes in respect of which the undertaking is authorized to transact business and certifying that those authorities do not object to the undertaking's transacting business by way of freedom to provide services;
(c) submit a scheme of operations concerning the following particulars:
_ the nature of the commitments which the undertaking proposes to cover in the Member State of provision of services,
_ the general and special conditions of the assurance policies which it proposes to use there,
_ the premium rates which the undertaking envisages applying and the technical bases which it proposes to use for each class of business,
_ the forms and other printed documents which it intends to use in its dealings with policy-holders, insofar as these are also required of established undertakings.
2. The competent authorities of the Member State of provision of services may require that the particulars referred to in paragraph 1 (c) be supplied to them in the official language of that State.
3. The competent authorities of the Member State of provision of services shall have a period of six months from receipt of the documents referred to in paragraph 1 in which to grant or refuse authorization on the basis of the compliance or non-compliance of the particulars in the scheme of operations submitted by the undertaking with the laws, regulations and administrative provisions applicable in that State.
Such authorization may not be refused on the grounds that some operations in the scheme of operations, which are subject in the Member State of establishment of the undertaking to supervision by the authorities responsible for the supervision of insurance undertakings, are not subject to such supervision in the Member State of provision of services.
4. If the competent authorities of the Member State of provision of services have not taken a decision by the end of the period referred to in paragraph 3, authorization shall be deemed to be refused.
5. Any decision to refuse authorization or to refuse a certificate as refer
to in paragraph 1 (a) or (b) shall be accompanied by the precise grounds therefor and communicated to the undertaking in question.
6. Each Member State shall make provision for the right to apply to the courts in respect of a refusal of authorization or refusal to issue the certificate referred to in paragraph 1 (a) or (b).