Document ID: chunk:federal_register_of_legislation:F2017L00435:body:0:p6
Version: federal_register_of_legislation:F2017L00435
Segment Type: other
Provision Reference: 
Character Range: 13748–16780

that is underwritten for a year of account on or after 1 July 1998; or

            (ii)               for which the underwriter is liable, as a member of a syndicate, for a year of account of the syndicate, to members of the syndicate or any other syndicate for an earlier year of account under a reinsurance to close; and

       (d)          it is:

            (i)                 a contract for the insurance of real property, fixtures or buildings in Australia;

            (ii)               a contract for the insurance of any other property or risk if the insured is:

               (A)        a body corporate that has a registered office or principal place of business in Australia; or

               (B)        a person, other than a body corporate, that has a residential address or place of business in Australia; or

            (iii)            a contact or reinsurance and:

               (A)      the registered office of the ceding company that has reinsured with Lloyd's underwriters is in Australia; or

               (B)      the ceding company that has reinsured with Lloyd's underwriters is not incorporated in Australia but the contract is entered with a branch office in Australia of that company.

8.             Paragraph 6 of this Attachment also applies to a contract that is initially covered by the interim fund and reinsured under reinsurance to close with a syndicate for the 1998, or a subsequent, year of account.

Reserve fund
9.             The reserve fund is a security trust fund in respect of:

       (a)          the same liabilities as the new business fund;

       (b)          liabilities under contracts of insurance or reinsurance of the kind mentioned in paragraph 10 of this Attachment; and

       (c)          rights the Treasurer would have been entitled to exercise under section 94 of the Act (as in force immediately before 1 July 2000) in relation to rights acquired or accrued under the Act immediately before 1 July 2000.

10.         Subparagraph 9(b) of this Attachment applies to a contract if:

       (a)          it would be a contract of the kind mentioned in paragraph 5 of this Attachment if paragraph 5 of this Attachment were amended by omitting "before 1 July 1998" and substituting "before 1 July 2000"; and

       (b)          it is not a contract of the kind mentioned in paragraph 5, 7 or 8 of this Attachment.

Attachment B – Funding requirements

Definitions
     1. In this Attachment:

        (a)                'quarter' means 3 months starting on 1 January, 1 April, 1 July or 1 October; and

        (b)               'year' means 12 months starting on 1 January.

Equitas fund
2.             Following the end of a rebalancing period:

        (a)                further funding must be arranged within 60 days to meet any shortfall between the value of assets and the funding requirement; and

        (b)               funds in excess of the funding requirement can be released from the trust.

3.             For