suretyship

(in relation to a class of contract of insurance) the class of contract of insurance, specified in paragraph 15 of Part I of Schedule 1 to the Regulated Activities Order (Contracts of general insurance), namely:

1. (a) a contract of insurance against the risks of loss to the person insured arising from their having to perform contracts of guarantee entered into by them;
2. (b) fidelity bonds, performance bonds, administration bonds, bail bonds or customs bonds or similar contracts of guarantee where these are:
   1. (i) effected or carried out by a person not carrying on a banking business;
   2. (ii) not effected merely incidentally to some other business carried on by the person effecting them; and
   3. (iii) effected in return for the payment of one or more premiums.5