General Insurance Supervisory Levy Act 1989

Act No.17 of 1989 as amended

Consolidated to 13 November 1997

(includes amendments up to Act No. 9 of 1997)

Prepared by the Office of Legislative Drafting,
Attorney-General’s Department, Canberra

Contents

1 Short title [see Note 1]...........................1

2 Commencement [see Note 1]........................1

3 Acts to be read as one............................1

4 Act to bind Crown..............................1

5 Extension to external Territories......................1

6 Interpretation.................................1

7 Imposition of general insurance levy...................2

8 Amount of levy................................2

9 Daily component of general insurance levy...............2

10 Calculation of indexation factor......................3

11 Regulations..................................4

An Act to impose a levy on bodies that are required to lodge accounts under the Insurance Act 1973

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This Act may be cited as the General Insurance Supervisory Levy Act 1989.

This Act commences, or shall be taken to have commenced, as the case requires, on the commencement of the Collection Act.

The Collection Act is incorporated, and shall be read as one, with this Act.

This Act binds the Crown in right of the Commonwealth, of each of the States, of the Australian Capital Territory, of the Northern Territory and of Norfolk Island.

This Act extends to each external Territory to which the Insurance Act 1973 extends.

In this Act, unless the contrary intention appears:

Collection Act means the Insurance Supervisory Levies Collection Act 1989.

daily component of general insurance levy, in relation to a leviable day, means the amount calculated under section 9;

indexation factor means the indexation factor calculated under section 10.

index number, in relation to a quarter, means the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, published by the Australian Statistician in respect of that quarter.

statutory upper limit means:

 (a) in relation to the financial year commencing on 1 July 1990—the amount calculated by multiplying $11,000 by the indexation factor for that financial year; or

 (aa) in relation to the financial year commencing on 1 July 1991—$15,000; or

 (b) in relation to the financial year commencing on 1 July 1992 or 1 July 1993—the amount calculated by multiplying the statutory upper limit for the previous financial year by the indexation factor for the financial year starting on that day; or

 (c) in relation to a later financial year commencing on 1 July 1994—$17,000; or

 (d) in relation to each following financial year (the relevant financial year) before the financial year commencing on 1 July 1997the amount calculated by multiplying the statutory upper limit for the financial year immediately preceding the relevant financial year by the indexation factor for the relevant financial year; or

 (e) in relation to the financial year commencing on 1 July 1997$35,000; or

 (f) in relation to a later financial yearthe amount calculated by multiplying the statutory upper limit for the previous financial year by the indexation factor for the later financial year.

Levy payable in accordance with subsection 6(1) or (2) of the Insurance Supervisory Levies Collection Act 1989 is imposed.

 (1) The amount of general insurance levy payable for a period is the amount obtained by:

 (a) calculating the daily component of general insurance levy for each leviable day in that period; and

 (b) aggregating those daily components.

 (2) If the amount of general insurance levy that would, apart from this subsection, be payable for a period is an amount of dollars and cents, the amount shall be rounded up to an amount of whole dollars.

 (1) The daily component of general insurance levy for a leviable day in a financial year is the amount calculated using the formula:

where:

Annual rate is $13,000 or such other amount as is applicable under the regulations to the leviable day.

No. of days in financial year is the number of days in the financial year.

 (2) The amount prescribed for the purposes of the formula in subsection (1) in relation to a leviable day in a financial year shall not exceed the statutory upper limit for the financial year.

 (3) An amount shall not be prescribed for the purposes of the formula in subsection (1) in relation to a leviable day in a financial year earlier than the financial year commencing on 1 July 1990.

 (1) The indexation factor for a financial year is the number (calculated to 3 decimal places) ascertained by dividing the index number for the March quarter immediately preceding that financial year by the index number for the March quarter immediately preceding that first-mentioned March quarter.

 (2) If the factor ascertained under subsection (1) in relation to a financial year would, if it were calculated to 4 decimal places, end with a number greater than 4, the factor ascertained under that subsection in relation to that financial year shall be taken to be the factor calculated to 3 decimal places and increased by 0.001.

 (3) Subject to subsection (4), if at any time, whether before or after the commencement of this section, the Australian Statistician has published or publishes an index number in respect of a quarter in substitution for an index number previously published by the Australian Statistician in respect of that quarter, the publication of the later index number shall be disregarded for the purposes of this section.

 (4) If at any time, whether before or after the commencement of this section, the Australian Statistician has changed or changes the reference base for the Consumer Price Index, then, for the purposes of the application of this section after the change took place or takes place, regard shall be had only to the index numbers published in terms of the new reference base.

The Governor-General may make regulations for the purposes of subsection 9(1).

 

NOTE

1.  The General Insurance Supervisory Levy Act 1989 as shown in this reprint comprises Act No. 17, 1989 amended as indicated in the Tables below.

Table of Acts

 

Act

Number
and year

Date
of Assent

Date of commencement

Application, saving or transitional provisions

 

 

General Insurance Supervisory Levy Act 1989

17, 1989

20 Apr 1989

20 Apr 1989 (see s. 2)

 

General Insurance Supervisory Levy Amendment Act 1991

4, 1992

6 Jan 1992

6 Jan 1992

S. 5

Insurance Laws Amendment Act (No. 2) 1994

49, 1994

7 Apr 1994

Schedule ( items 3, 6, 8-16): 1 Oct 1994 (see  Gazette 1994, No. GN38)
Remainder: Royal Assent

General Insurance Supervisory Levy Amendment Act 1997

9, 1997

5 Mar 1997

5 Mar 1997

 

Table of Amendments

 

ad. = added or inserted      am. = amended      rep. = repealed      rs. = repealed and substituted

 

Provision affected

How affected

S. 6 ....................

am. No. 4, 1992; No. 49, 1994; No. 9, 1997

S. 9 ....................

am. No. 4, 1992