Explanatory Memorandum
(Circulated by authority of the Minister for Health and Ageing, the Honourable Tony Abbott MP)PRIVATE HEALTH INSURANCE (COUNCIL ADMINISTRATION LEVY) AMENDMENT BILL 2006
NOTES ON CLAUSES
Clause 1 Short title
This clause sets out the short title of the Bill.
Clause 2 Commencement
This clause sets out the commencement day for various provisions in the Bill.
Clause 3 Schedule(s )
This clause provides that each Act specified in a Schedule to the Bill is amended or repealed as set out in the Schedule, and any other item in a Schedule has effect according to its terms. Schedule 1 - Amendments
Private Health Insurance ( Council Administration Levy ) Act 2003
Item 1 amends the title to replace the reference to "registered health benefits organizations" with a reference to "private health insurers" following changes to terminology arising from the replacement of the National Health Act 1953 by the proposed Private Health Insurance Act.
Item 2 amends section 5 to insert a definition of complying health insurance policy as defined in the proposed Private Health Insurance Act.
Item 3 replaces the reference to the National Health Act 1953 in the definition of Council in section 5 with a reference to the proposed Private Health Insurance Act.
Item 4 replaces the reference to the regulations in the definition of the Council administration levy day in section 5 with a reference to Private Health Insurance (Council Administration Levy) Rules .
Item 5 repeals the definition of the National Health Act in section 5, as this is now redundant.
Item 6 amends section 5 to insert a definition of private health insurer as defined in the proposed Private Health Insurance Act.
Item 7 repeals the definition of registered health benefits organization in section 5, as this is now redundant.
Item 8 amends subsection 6(1) to replace the reference to registered health benefits organization with a reference to private health insurer.
Item 9 amends subsection 6(1)(a) to replace the reference to the regulations with a reference to the Private Health Insurance (Council Administration Levy) Rules.
Item 10 amends subsection 6(1)(b) to replace the reference to the Minister determining the supplementary Council administration levy day in writing with a reference to determined by the Minister, by legislative instrument.
Item 11 amends subsection 6(2) to replace the reference to the regulations with a reference to the Private Health Insurance (Council Administration Levy) Rules.
Item 12 repeals subsection 6(4), as this is now redundant.
Item 13 amends subsection 7(1)(table item 1) to replace the reference to the regulations with a reference to the Private Health Insurance (Council Administration Levy) Rules.
Item 14 amends subsection (1) (table item 2) to replace the reference to the rate of levy being determined in writing by the Minister with a reference to it being determined by the Minister by legislative instrument.
Item 15 repeals subsection 7(2) and replaces it with a new subsection which provides:
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- at paragraph (a) that the rate of levy must based on the number of complying health insurance policies on issue on
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- the census day specified in the Private Health Insurance (Council Administration Levy) Rules for levy imposed on a Council administration levy day, or
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- on the day determined by the Minister by legislative instrument as the census day for a supplementary Council administration levy day;
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- at paragraphs (b) and (c) that the rate may be different dependent on the number of people the complying health insurance policy covers or may be set at zero; but
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- under paragraph (d) must not exceed $2 annually for a policy where only one person is covered or $4 annually in respect of other policies.
Item 16 repeals subsection 7(3), as this is now redundant.
Item 17 inserts a new section 9A, providing for the Minister to make Private Health Insurance (Council Administration Levy) Rules for the purposes of the Act.
Item 18 is a transitional provision which provides that the total amount of levy imposed under the Act for financial year ending on 30 June 2007 must not exceed $2 for a policy where only one person is covered or $4 in respect of other policies, and that the number of levy days for the same year must not exceed six.