New South Wales Consolidated Acts

HOME BUILDING ACT 1989 - SECT 103EG

103EG Payment of contributions by licensed insurers

(1) Licensed insurers are to pay contributions to the Home Building Operational Fund in respect of a relevant period, and of an amount, determined by the Authority. Contributions are to be made in accordance with the arrangements prescribed by the regulations.

(2) The Authority is to take the following steps for determining the contribution payable to the Fund by licensed insurers for a relevant period--

(a) estimate the total of the amounts to be paid from the Fund during that relevant period,

(b) determine what amounts, if any, are to be set aside as provisions to meet expenditure from the Fund in future periods, and specify for what purpose each amount is being set aside,

(c) estimate the total amounts (including the amounts already received) to be received into the Fund during that relevant period otherwise than by way of contributions in respect of that relevant period under this Division from licensed insurers,

(d) determine the total amount to be contributed to the Fund under this Division in respect of that relevant period by licensed insurers after having regard to the amounts likely to be standing to the credit of the Fund at the beginning of the period (including any amounts set aside in earlier periods as provisions to meet expenditure in later periods) and the amounts estimated under paragraph (c) to be received into the Fund during the relevant period,

(e) specify in writing the estimates, provisions and amounts to be contributed to the Fund by licensed insurers.

(3) It is a condition of the licence of a licensed insurer that the insurer pay contributions in accordance with this section.

(4) A
"relevant period" is a financial year or any other period that the Authority determines from time to time to be a relevant period for the purposes of this section. Relevant periods can be determined so as to overlap but there must be no gap between successive relevant periods and each relevant period must not be longer than 12 months.

(5) The Authority may determine different contributions for different classes of licensed insurers and may determine that a licensed insurer or class of licensed insurers is not liable to pay a contribution in respect of a financial year.

(6) A contribution that is payable under this section may be recovered by the Authority in a court of competent jurisdiction as a debt due to the Authority.

(7) In this section--

"financial year" means a year commencing on 1 July.