Corporations Regulations 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

PART 7.9 - FINANCIAL PRODUCT DISCLOSURE AND OTHER PROVISIONS RELATING TO ISSUE AND SALE OF FINANCIAL PRODUCTS  

Division 4A - General  

REGULATION 7.9.15   MORE DETAILED INFORMATION IN PRODUCT DISCLOSURE STATEMENT: UNAUTHORISED FOREIGN INSURER  

7.9.15(1)   [ Required information]  

For paragraph 1013D(4)(c) of the Act, the more detailed information that must be included in a Product Disclosure Statement that relates to a financial product issued by an unauthorised foreign insurer is:

(a) a statement that the product issuer is:

(i) an unauthorised foreign insurer; and

(ii) not authorised under the Insurance Act 1973 to conduct insurance business in Australia; and

(b) a statement that an insurer of that kind is not subject to the provisions of the Insurance Act 1973 , which establishes a system of financial supervision of general insurers in Australia; and

(c) a statement that the person should consider whether to obtain further information, including:

(i) the country in which the product issuer is incorporated, and whether the country has a system of financial supervision of insurers; and

(ii) the paid up capital of the product issuer; and

(iii) which country ' s laws will determine disputes in relation to the financial product; and

(d) a statement that an insurer of that kind cannot be a declared general insurer for the purpose of Part VC of the Insurance Act 1973 , and, if the insurer becomes insolvent, the person will not be covered by the financial claims scheme provided under Part VC of that Act.

7.9.15(2)   [ " unauthorised foreign insurer " ]  

In this regulation:

unauthorised foreign insurer
means:

(a) an insurer that:

(i) does not have an authority under the Insurance Act 1973 to carry on insurance business; and

(ii) is not a person who, because of section 5 of that Act, is not required to have such an authority; and

(iii) carries on insurance business outside Australia and the external Territories to which the Insurance Act 1973 extends; or

(b) if a direction is in force under section 74 of the Insurance Act 1973 - a Lloyd ' s underwriter.