Document ID: chunk:federal_register_of_legislation:C2015A00087:clause:1_147:p1
Version: federal_register_of_legislation:C2015A00087
Segment Type: clause
Provision Reference: sch 1 cl 147 (pt 1/2)
Character Range: 41279–44243

147  Part 6‑7
Repeal the Part, substitute:

Part 6‑7—Private Health Insurance Risk Equalisation Special Account

Division 318—Private Health Insurance Risk Equalisation Special Account

318‑1  Private Health Insurance Risk Equalisation Special Account
 (1) The Private Health Insurance Risk Equalisation Special Account (the Risk Equalisation Special Account) is established by this section.
 (2) The *Risk Equalisation Special Account is a special account for the purposes of the Public Governance, Performance and Accountability Act 2013.

318‑5  Credits to the Risk Equalisation Special Account
  There must be credited to the *Risk Equalisation Special Account amounts equal to the following:
 (a) amounts received by *APRA by way of:
 (i) *risk equalisation levy; or
 (ii) *late payment penalty in respect of unpaid amounts of risk equalisation levy;
 (b) any of the following other amounts received by APRA:
 (i) amounts received under paragraph 45(b), or section 46, of the Private Health Insurance (Prudential Supervision) Act 2015;
 (ii) repayments of collapsed insurer assistance payments (within the meaning of section 54H of the Australian Prudential Regulation Authority Act 1998);
 (c) amounts paid to the Commonwealth or APRA, by a State or Territory, for crediting to the Risk Equalisation Special Account.
Note: An Appropriation Act may contain a provision to the effect that, if any of the purposes of a special account is a purpose that is covered by an item in the Appropriation Act (whether or not the item expressly refers to the special account), then amounts may be debited against the appropriation for that item and credited to that special account.

318‑10  Purpose of the Risk Equalisation Special Account
 (1) The purpose of the *Risk Equalisation Special Account is for *APRA to make payments to private health insurers in accordance with the Private Health Insurance (Risk Equalisation Policy) Rules.
Note: See section 80 of the Public Governance, Performance and Accountability Act 2013 (which deals with special accounts).
 (2) The Private Health Insurance (Risk Equalisation Policy) Rules must specify:
 (a) the circumstances in which private health insurers are to be paid amounts debited from the *Risk Equalisation Special Account; and
 (b) the method for working out the amount to be so debited from the Account for payment to a private health insurer; and
 (c) the method for working out the amount to be paid, for crediting to the Account, by private health insurers as *risk equalisation levy.
 (3) Before making Private Health Insurance (Risk Equalisation Policy) Rules, the Minister must consult *APRA. However, a failure to consult APRA does not affect the validity of those Rules.
Note: This consultation requirement also applies to any repeal or amendment of such Rules: see subsection 33(3) of the Acts Interpretation Act 1901.

318‑15  Record keeping
  The Private Health Insurance (Risk Equalisation Administration)