Document ID: chunk:federal_register_of_legislation:F2023L00735:body:0:p6
Version: federal_register_of_legislation:F2023L00735
Segment Type: other
Provision Reference: 
Character Range: 13248–16071

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 as a 'sundry debtor', and a credit balance as a 'sundry creditor'.
(f)           Interest must accrue daily on any balance (whether credit or debit) in the statutory fund account, at a rate that the company believes, on reasonable grounds, is fair and reasonable to the policyholders whose policies are referable to the statutory fund having regard to the interest earned by the bank account.
(g)          The net position of all the statutory fund accounts in aggregate must be reconciled not less frequently than once every 28 days. When so reconciled the net position must be equal to the balance of the bank account at that time.
(h)          If, at any time, the balance (whether credit or debit) in a statutory fund account comes to exceed the greater of:
(i)            $500,000; or
(ii)         1 per cent of the value of the assets of the statutory fund as last reported to APRA
       the company must, in writing, within 28 days after that time, tell APRA and give APRA particulars of the transactions that caused the balance to exceed the applicable amount.

Non-participating benefits
23.         For the purposes of subsection 15(3) of the Act, the following benefits, as specified in paragraphs 24 to 29, are non-participating benefits.

Policies insuring multiple lives with limited form of profit sharing
24.         A benefit in respect of which all the following conditions are satisfied:
(a)          the benefit is provided for by a policy that does not have any investment component;
(b)          a group of two or more people are insured by the policy against the same contingencies;
(c)          the benefit has the features mentioned in paragraph 15(2)(b) of the Act;
(d)          the benefit includes an entitlement to share in a distribution by the life company of profits or surplus, but only by way of repayment of premiums previously paid or reduction of future premiums; and
(e)          the amount of the entitlement is determined by reference to the history of claims made under one or both of the following:
(i)            the policy; and/or
(ii)         policies of the same kind as the policy.

Investment-linked contracts
25.         A benefit in respect of which all the following conditions are satisfied:
(a)          the benefit is an investment-linked benefit;
(b)          the benefit has the features mentioned in paragraph 15(2)(a) of the Act;
(c)          the amount of the benefit is to be calculated according to a formula that:
(i)            is set out in the policy document; and
(ii)         includes an element that is dependent