Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) A * life insurance company may, on or after 1 July 2000, segregate in accordance with subsections (2) and (3) any of its assets for the sole purpose of discharging its * exempt life insurance policy liabilities out of those assets.
Note: Section 320 - 225 of the Income Tax (Transitional Provisions) Act 1997 provides that a life insurance company may transfer a part of an asset to its segregated exempt assets before 1 October 2000.
(1A) Except as provided by section 320 - 225 of the Income Tax (Transitional Provisions) Act 1997 , an asset is taken not to be included in the segregated assets under this Subdivision unless the whole of the asset is included among the segregated assets.
(2) The assets segregated must, at the time of the segregation, be a representative sample of all the company's assets that support its * exempt life insurance policy liabilities immediately before the segregation.
(3) The assets segregated must have, as at the time of the segregation, a total * transfer value that does not exceed the amount of the company's * exempt life insurance policy liabilities as at that time.
(4) A * life insurance company that segregates assets as mentioned in subsections (1) to (3) at a time after 1 July 2000 but before 1 October 2000 is taken to have segregated those assets in accordance with those subsections on 1 July 2000.
(5) If a segregation of assets is made in accordance with the above subsections, the company must use the * segregated exempt assets, and any other assets afterwards included among the segregated assets, only for the purpose of discharging its * exempt life insurance policy liabilities.
(6) In this Subdivision:
(a) a reference to the transfer of an asset to, or from, a * life insurance company's * segregated exempt assets:
(i) is a reference to the inclusion of an asset among the segregated exempt assets, or the exclusion of an asset from the segregated exempt assets, as the case may be; and
(ii) includes a reference to the transfer of money to, or from, those assets, as the case may be; and
(b) if an asset transferred to or from those assets is money, a reference to the * transfer value of the asset transferred is a reference to the amount of the money.