Insurance Amendment Regulations 2002 (No. 1)1

Statutory Rules 2002 No. 1272

I, PETER JOHN HOLLINGWORTH, Governor-General of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, make the following Regulations under the Insurance Act 1973 and the General Insurance Reform Act 2001.

Dated 6 June 2002

PETER HOLLINGWORTH

Governor-General

By His Excellency’s Command

IAN CAMPBELL

Parliamentary Secretary to the Treasurer

1 Name of Regulations

  These Regulations are the Insurance Amendment Regulations 2002 (No. 1).

2 Commencement

  These Regulations commence on 1 July 2002.

3 Amendment of Insurance Regulations 2002

  Schedule 1 amends the Insurance Regulations 2002.

Schedule 1 Amendment

(regulation 3)

[1] After regulation 10

insert

11 Application of prudential standards during transition period

 (1) For item 11 of Schedule 2 to the Reform Act, this regulation applies to a body corporate that, within 14 days before commencement:

 (a) was authorised under the old Act to carry on insurance business; or

 (b) had been granted an exemption under section 37 of the old Act.

 (2) APRA may, on application by the body corporate, make a declaration in accordance with this regulation that applies to the body corporate for a specified period (the exemption period) in the transition period.

 (3) APRA may make a declaration only if APRA is satisfied that the consequences of the body corporate being required to comply with the standard or provision in the exemption period would be unreasonable.

 (4) A prudential standard or a provision of a prudential standard specified by a declaration does not apply to the body corporate during the exemption period.

 (5) For subregulation (2), an application must:

 (a) be in writing; and

 (b) state:

 (i) that it is made for this regulation; and

 (ii) the standard or provision for which the application is made; and

 (iii) the reasons for the application.

 (6) APRA may withdraw a declaration if it ceases to be satisfied about the matter mentioned in subregulation (3).

 (7) A declaration or a withdrawal of a declaration must:

 (a) be in writing; and

 (b) be given to the body corporate.

 (8) In this regulation:

commencement has the same meaning as in item 1 of Schedule 2 to the Reform Act.

old Act has the same meaning as in item 1 of Schedule 2 to the Reform Act.

Reform Act means the General Insurance Reform Act 2001.

transition period has the same meaning as in item 1 of Schedule 2 to the Reform Act.

1. These Regulations amend Statutory Rules 2002 No. 103.

2. Notified in the Commonwealth of Australia Gazette on 14 June 2002.