Commonwealth Consolidated Acts

PRIVATE HEALTH INSURANCE ACT 2007 - SECT 137.1

             (1)  A private health insurer must keep * assets of a * health benefits fund distinct and separate from assets of other health benefits funds and from all other money, assets or investments of the insurer.

             (2)  A private health insurer must maintain a separate bank account for each * health benefits fund that it conducts.

             (3)  The assets of a * health benefits fund at a particular time are the following:

                     (a)  the balance of money represented by amounts credited to the fund in accordance with section 137-5;

                     (b)  assets of the insurer obtained as a result of the expenditure or application of money credited to the fund;

                     (c)  investments held by the insurer as a result of the expenditure or application of money credited to the fund;

                     (d)  other money, assets or investments of the insurer transferred to the fund, whether under this Act or otherwise.

             (4)  Assets or investments obtained by the application of assets (other than money) of a * health benefits fund are themselves assets of the fund.

          (4A)  The assets of a * health benefits fund:

                     (a)  include assets that, in accordance with a restructure or arrangement approved under Division 146, are to be assets of the fund; but

                     (b)  do not include assets that, in accordance with such a restructure or arrangement, are no longer to be assets of the fund.

             (5)  Despite paragraphs (3)(b) and (c) and subsection (4), * assets or investments obtained by the expenditure of money of, or the application of other assets of, a * health benefits fund are not assets of the fund if:

                     (a)  the private health insurer conducting the fund is * registered as a for profit insurer; and

                     (b)  the expenditure or application was not done for the purposes of the fund.

             (6)  To avoid doubt, nothing in this Act is intended to constitute a private health insurer or its * directors a trustee or trustees of the * assets of the * health benefits funds of the insurer.