Document ID: chunk:federal_register_of_legislation:C2025C00173:section:115
Version: federal_register_of_legislation:C2025C00173
Segment Type: section
Provision Reference: s 115
Character Range: 148795–151360

115  APRA may direct removal of actuary

When a direction may be given
 (1) APRA may, by written notice to a private health insurer, direct the insurer to terminate the appointment of a person as the appointed actuary of the insurer if APRA is satisfied that there is a ground under subsection (2) for giving the direction.
Note: Decisions to give directions under this section are reviewable under section 168.
 (2) The grounds for giving a direction to terminate a person's appointment are:
 (a) the person is disqualified from being or acting as an actuary of the private health insurer because of an order under section 120; or
 (b) the person is a disqualified person (other than only because of an order under section 120); or
 (c) the person is not a fit and proper person to hold the appointment; or
 (d) the person has failed to perform adequately and properly the person's statutory functions and duties as an actuary of the insurer.

Notice to be given before direction
 (3) Before directing a private health insurer to terminate a person's appointment, APRA must:
 (a) give written notice to:
 (i) the insurer; and
 (ii) the person; and
 (b) give the insurer and the person a reasonable opportunity to make submissions on the matter.
 (4) The notice must include a statement that any submissions in response to the notice may be discussed by APRA with other persons as mentioned in paragraph (5)(b).
 (5) If a submission is made in response to the notice, APRA:
 (a) must have regard to the submission; and
 (b) may discuss any matter contained in the submission with any persons APRA considers appropriate for the purpose of assessing the truth of the matter.

When a direction takes effect
 (6) A direction to terminate a person's appointment takes effect on the day specified in the notice giving the direction, which must be at least 7 days after the day on which notice is given.

Insurer and person to be given copy of direction
 (7) If APRA directs a private health insurer to terminate a person's appointment, APRA must give the insurer and the person a copy of the direction.

Offence
 (8) A private health insurer commits an offence if:
 (a) the insurer is given a direction under this section; and
 (b) the insurer fails to comply with the direction.
Penalty for contravention of this subsection: 30 penalty units.
Note: If a body corporate is convicted of an offence against this subsection, subsection 4B(3) of the Crimes Act 1914 allows a court to impose a fine of up to 5 times the penalty stated above.

Division 3—Disqualified persons