For the purpose of section 34—
(a) in computing the amount of the liabilities of a company, all contingent and prospective liabilities of the company in respect of policies including adequate provision for unexpired policies and outstanding claims, but not liabilities in respect of share capital, shall be taken into account; and
(b) the premium income of a company in any financial year shall be assessed as the net amount, after deduction of any premiums paid by the company for reinsurance in that year in respect of all general insurance business carried on by it.