Corporations Amendment Regulations 2002 (No. 2) (16 of 2002)
Schedule 1 Amendments commencing at 12.01 am (in the Australian Capital Territory) on 11 March 2002
[54] Subregulation 7.8.02 (6)
substitute
(6) For paragraph 981C (b) of the Act, in relation to moneys received in relation to insurance products, the financial services licensee must ensure that:
(a) the balance of moneys in an account maintained by the financial services licensee under section 981B of the Act; and
(b) the total amount previously withdrawn from the account and currently invested under subregulation (2);
is at least the sum of:
(c) any amounts that an insurer is entitled to receive from the account; and
(d) any amounts that an insured or intending insured is entitled to receive from the account.
(6A) For paragraph (6) (c), if, at a particular time, money received by a financial services licensee for or on account of an insurer as mentioned in paragraph 7.8.01 (4) (a) is paid into the account, the insurer is taken to be entitled to receive payment of:
(a) the amount; or
(b) if any deductions from the amount are authorised by a written agreement between the insurer and the broker - the amount less the deductions;
throughout the period:
(c) beginning at that time; and
(d) ending when the payment is actually made to the insurer;
whether or not the amount has been invested under subregulation (2).
(6B) For paragraph (6) (d), if, at a particular time, money received by a financial services licensee for or on account of an insured or intending insured as mentioned in paragraph 7.8.01 (4) (b) is paid into an account, the insured or intending insured is taken to be entitled to receive payment of the amount throughout the period:
(a) beginning at that time; and
(b) ending when the payment is actually made to the insured or intending insured;
whether or not the amount has been invested under subregulation (2).
(6C) On application by a financial services licensee in the prescribed form, ASIC may consent in writing to the minimum balance of monies received in relation to insurance products being less than the level specified in subregulation (6).