Document ID: chunk:federal_register_of_legislation:F2024C01249:reg:4:p44
Version: federal_register_of_legislation:F2024C01249
Segment Type: reg
Provision Reference: reg 4 (pt 44/49)
Character Range: 1091736–1094355

this paragraph, that the risk has not been accepted; and
 (b) return the money to the insured or intending insured.
 (15) If a part of the risk to which the contract or proposed contract relates has not been accepted, the financial services licensee must, within 7 days after the end of the 30 day period:
 (a) give notice to the insured or intending insured, in a form (if any) approved by ASIC for this paragraph, of the extent to which the risk has not been accepted; and
 (b) return that part of the money that relates to the part of the risk that has not been accepted to the insured or intending insured.
 (16) If a financial services licensee receives money from, or on behalf of, an insurer for payment to, or on behalf of, an insured, the financial services licensee must pay an amount equal to the money to, or on behalf of, the insured:
 (a) within 7 days after the day on which the financial services licensee received the money; or
 (b) if it is not practicable for the financial services licensee to pay the amount in that period—as soon as practicable after the end of the period.
 (17) Nothing in subregulation (16) prevents:
 (a) an insured from making a contract or arrangement with an insurance financial services licensee providing for the financial services licensee to pay an amount mentioned in that subregulation to or on behalf of the insured before the time by which the financial services licensee is required by that subregulation to pay that amount to or on behalf of the insured; or
 (b) a financial services licensee from exercising any legal right available to the financial services licensee to deduct from an amount payable by the financial services licensee to the insured any money payable by the insured to the financial services licensee in connection with a contract of insurance.
 (18) A person is guilty of an offence if the person contravenes subregulation (2), (3), (6), (9), (14) or (16), whether or not it was done with the consent of the insurer or of the insured or intending insured.
Penalty:
 (a) for an individual—20 penalty units; and
 (b) for a body corporate—200 penalty units.
 (19) Subregulation (18) does not apply if the person has a reasonable excuse.
Note: A defendant bears an evidential burden in relation to the matter in subregulation (18) (see subsection 13.3(3) of the Criminal Code).
 (20) Strict liability applies to subregulation (18).
Note: For strict liability, see section 6.1 of the Criminal Code.
 (21) If:
 (a) under subregulation (2), (3), (6) or (9), a financial services licensee is required to pay an amount to, or to notify, an insurer; and