Document ID: chunk:federal_register_of_legislation:C2004A04724:body:0:p29
Version: federal_register_of_legislation:C2004A04724
Segment Type: other
Provision Reference: 
Character Range: 71556–74355

a director, employee or agent of the intermediary, becomes bankrupt or insolvent; or

     (c) if the intermediary ceases to be an agent of the insurer, or ceases to be an agent of the insurer in respect of that class of business; or

     (d) if the insurer indicates to the Commissioner that it no longer consents to the intermediary being so exempted; or

     (e) if, for any other reason, the Commissioner considers it no longer appropriate for the intermediary to continue to be so exempted.

"(8) If the Commissioner revokes the exemption of an insurance intermediary in relation to a particular insurer, and a particular class of insurance business:

     (a) the Commissioner must inform the insurance intermediary of the revocation and of the reasons for the revocation; and

     (b) the Commissioner must, as soon as practicable, notify that revocation in the Gazette.".

Broker to notify insured of association with insurer

31. Section 38 of the Principal Act is amended by omitting subsection (3) and substituting the following subsection:

"(3) The question whether corporations are related to each other for the purposes of this section is determined in the same way as the question whether bodies corporate are related bodies corporate would be determined under Division 6 of Part 1.2 of Chapter 1 of the Corporations Law if, in section 46 of that law:

    (a) the reference to a body corporate that is in a position to cast, or control the casting of, more than one-half of the maximum number of votes that might be cast at a general meeting of another body corporate were a reference to a body corporate that is in a position to cast, or control the casting of, more than one-quarter of that number of votes; and

    (b) the reference to a body corporate holding more than one-half of the issued share capital of another body corporate were a reference to a body corporate holding more than one-quarter of the issued share capital of another body corporate.".

Insertion of new sections

32. After section 40 of the Principal Act the following sections are inserted:

Decision-making principles

"41A.(1) The Commissioner may, by signed instrument, formulate principles ('decision-making principles') to be complied with by him or her in making a decision under section 21, 25, 31D, 31H or 34A.

"(2) In making a decision under any of those sections, the Commissioner must comply with any relevant decision-making principles.

"(3) Decision-making principles are disallowable instruments for the purposes of section 46A of the Acts Interpretation Act 1901.

Insurance intermediaries taken to be associated because of prior conduct of personnel

"41B.(1) For the purposes of section 21 or 31D, an insurance intermediary (the 'subject intermediary') is taken to be an associated