Document ID: chunk:federal_register_of_legislation:C2024C00623:section:10
Version: federal_register_of_legislation:C2024C00623
Segment Type: section
Provision Reference: s 10
Character Range: 24533–25971

10  Level 1 and Level 2 claim thresholds

Level 1 claim threshold
 (1) The Level 1 claim threshold is:
 (a) $100,000; or
 (b) such other amount as is specified in the Rules for the purposes of this paragraph.
Note: Claims cannot be aggregated to reach the Level 1 claim threshold: see paragraph 11(3)(j).

Level 2 claim threshold
 (2) The Level 2 claim threshold is:
 (a) $2 million; or
 (b) such other amount as is specified in the Rules for the purposes of this paragraph.
Note: Claims cannot be aggregated to reach the Level 2 claim threshold: see paragraph 11(3)(j).
 (3) A Rule specifying an amount as the Level 1 claim threshold (or changing the amount previously so specified) only applies in relation to a payment made or payable under a contract of insurance entered into, or renewed, after the Rule commences.
 (4) A Rule specifying an amount as the Level 2 claim threshold (or changing the amount previously so specified) only applies in relation to a contract of insurance entered into, or renewed, at the time or after the Rule commences.
 (5) A Rule changing the Level 1 claim threshold or Level 2 claim threshold (which could be the threshold originally applicable under subsection (1) or (2), or that threshold as already changed by Rules) commences on the date specified in the Rules, which must be the date on which the Rules are entered on the Federal Register of Legislation or a later day.

Division 2—Certification