Document ID: chunk:federal_register_of_legislation:F2023L00735:body:0:p5
Version: federal_register_of_legislation:F2023L00735
Segment Type: other
Provision Reference: 
Character Range: 10736–13489

21.         A notice mentioned in subsection 55(3) of the Act must:
(a)          be in writing;
(b)          set out:
(i)            the identifying details of the policy;
(ii)         the identity of all the statutory funds to which the policy is or has become referable;
(iii)       the identity of all the statutory funds to which the policy has ceased to be referable;
(iv)        the date on which the policy became referable to the fund or funds to which it has become referable;
(v)          where the policy is referable to two or more statutory funds:
(A)        the benefits under the policy that are to be provided out of each fund; and
(B)        either:
                   1. the proportion of the premium that is related to the benefits to be provided out of each fund and is to be credited to the fund; or
                   2. the way in which that proportion is to be calculated; and
(c)          be given to the policy owner within six weeks after the occurrence of whichever of the circumstances described in paragraphs 55(3)(a) and 55(3)(b) of the Act is applicable.

Single bank account for two or more statutory funds
22.         For the purposes of subsection 34(4) of the Act, the bank account must be maintained in accordance with the following standards:
(a)          A statutory fund account must be established in the records of the life company in respect of each statutory fund in respect of which the bank account is maintained.
(b)          The statutory fund account must be a current account (or ledger) that records, as accounting entries, drawings from and receipts by the bank account in respect of the statutory fund.
(c)          The drawings and receipts must be balanced by offsetting entries in both the bank account and the statutory fund account.
(d)          The balancing must be carried out not less frequently than once every seven days, except that:
(i)            in the case of drawings or receipts relating to investment-linked contracts, the balancing must be carried out not less frequently than the frequency at which the unit prices relevant to the contract concerned are quoted by the person managing the unitised investment concerned, and in any event not less frequently than once every seven days; and
(ii)         in the case of drawings or receipts of amounts that are less than or equal to the greater of:
(A)        $500,000; or
(B)        1 per cent of the value of the assets of the statutory fund as last reported to APRA in reporting standards made under the Financial Sector (Collection of Data) Act 2001 (Collection of Data Act); the balancing may be carried out not less frequently than once every 28 days.
(e)          A debit balance in the statutory fund account must be recorded