Commonwealth Numbered Acts

Housing Loans Insurance Amendment Act 1985 No. 34 of 1985 - SECT 16

16. (1) Section 31B of the Principal Act is amended-

   (a)  by inserting after sub-section (1) the following sub-section:



"(1A) For the purpose of placing the Corporation, as far as practicable, on an
equal footing with other insurers, the Corporation shall pay to the
Commonwealth in respect of a financial year an amount determined by the
Minister."; and

   (b)  by omitting sub-section (3) and substituting the following
        sub-sections:



"(3) In the making of a determination under sub-section (1) or (2), the
Minister shall have regard to-

   (a)  any advice furnished by the Corporation to the Minister in relation to
        the financial affairs of the Corporation; and

   (b)  any losses that have resulted, or are likely to result, from
        compliance by the Corporation with directions given under sub-section
        17 (3C).



"(4) In the making of a determination under sub-section (1A), the Minister
shall have regard to-

   (a)  any reinsurance costs of the Corporation;

   (b)  the reinsurance costs of other insurers; and

   (c)  the amount of business carried on by the Corporation.



"(5) In this section, 'insurer' means a person carrying on the business of
insuring lenders against loss in respect of loans secured by mortgages.".

(2) The amendments made by sub-section (1) apply in relation to the financial
year ending on 30 June 1985 and each subsequent year.