Document ID: chunk:federal_register_of_legislation:C2024C00534:section:17:p2
Version: federal_register_of_legislation:C2024C00534
Segment Type: section
Provision Reference: s 17 (pt 2/2)
Character Range: 51178–52402

amount is one that the participating MDO is liable to pay, the IBNR indemnity is payable only if the participating MDO could have paid the amount in relation to the claim in relation to the incident covered by the IBNR indemnity scheme on the basis of incident‑occurring based cover the practitioner had with the participating MDO on 30 June 2002.

Someone else liable to pay
 (6) If the amount is not one that the participating MDO is liable to pay, the IBNR indemnity is payable only if the participating MDO could have paid an amount in relation to the claim in relation to the incident covered by the IBNR indemnity scheme:
 (a) consistently with its constitution and the indemnity arrangement between the participating MDO and the practitioner; and
 (b) in the ordinary course of its business; and
 (c) on the basis of incident‑occurring based cover the practitioner had with the participating MDO on 30 June 2002;
if the practitioner made a proper claim in relation to the incident.

Indemnity to be paid on trust
 (7) An IBNR indemnity paid to an MDO or insurer under this section is paid on trust for the benefit of the person to whom the MDO or insurer is liable to make the payment referred to in paragraph (1)(a).