Document ID: chunk:federal_register_of_legislation:F2024C01011:reg:10
Version: federal_register_of_legislation:F2024C01011
Segment Type: reg
Provision Reference: reg 10
Character Range: 14590–15264

10  Amount of claim handling fee

General rule
 (1) The amount of the claim handling fee is 5% of the IBNR indemnity.

Rule if high cost claim indemnity payable
 (2) However, if the underlying payment is a qualifying payment (or one of 2 or more qualifying payments), described in paragraphs 30(1)(e) and (f) of the Act (about high cost claim indemnity), of the MDO, the amount of the claim handling fee is 5% of the sum of:
 (a) the IBNR indemnity; and
 (b) the amount by which the IBNR indemnity was less than it would have been had a high cost claim indemnity not been payable because of the qualifying payment.

Part 3—Claim handling fees for eligible run‑off claims