Insurance Determination No. 1 of 2015 (Cth)

Insurance Determination No. 1 of 2015

Insurance Act 1973

I, Ian Laughlin, a delegate of APRA, under paragraph 7(1)(a) of the Insurance Act 1973 (the Act), DETERMINE that paragraph 28(a) of the Act does not apply to a general insurer who expects to recover an amount under a contract of reinsurance entered into with a non-APRA-authorised reinsurer or a Lloyd's underwriter.

Under paragraph 7(2)(c) of the Act, this determination is made subject to the conditions set out in the attached Schedule.

This determination comes into force on 1 July 2015 and remains in force indefinitely.

Dated: 17 June 2015

[Signed]

Ian Laughlin Deputy Chairman

Interpretation

In this instrument:

APRA means the Australian Prudential Regulation Authority. APRA-authorised reinsurer means a general insurer carrying on reinsurance business, including a Lloyd's underwriter if it carries on reinsurance business. general insurer has the meaning given in section 11 of the Act Lloyd's means the society of that name incorporated by the Act of the United Kingdom known as Lloyd's Act 1871. Lloyd's underwriter means an underwriting member of Lloyd's. non-APRA-authorised reinsurer means any reinsurer that is not an APRA-authorised reinsurer.

Note 1 Under subsection 7(2) of the Act, the determination may be expressed to apply to a particular person or to a class of persons, specify the period during which the determination is in force and be made subject to specified conditions.

Note 2 Under subsection 7(2A) of the Act, if APRA makes a determination that applies to a particular person, APRA must also give the person written notice of the determination.

Note 3 Under subsection 7(3) of the Act, APRA may, in writing, vary or revoke a determination under section 7.

Note 4 Under subsection 7(4) of the Act, a determination that applies to a particular person and an instrument varying or revoking a determination that applies to a particular person are not legislative instruments. Any other instrument made under section 7 of the Act is a legislative instrument (subsection 7(5)).