Commonwealth Numbered Regulations

PRIVATE HEALTH INSURANCE INCENTIVES REGULATIONS 1998 1998 No. 375 - REG 5

(1) This regulation applies to an application, by a health fund, to become a
participating fund for the financial year beginning on 1 July 2000 or a later
financial year.

(2) The Minister must not approve the application for the financial year if
the health fund failed to comply with any of the following conditions:

   (a)  when making application, the health fund must give to the Minister a
        written undertaking under subregulation (3);

   (b)  if a premium under an appropriate private health insurance policy was
        increased during the previous financial year and before the date of
        the application, the health fund must have given to each participant
        affected by the increase written notice of:

        (i)    the increase in the amount of the premium; and

        (ii)   the date when that increase took effect; and

        (iii)  the consequent increase in the amount of the reduction under
               the premiums reduction scheme;

   (c)  advertising by the health fund, during the previous financial year, in
        relation to the incentive payments scheme, the premiums reduction
        scheme or the private health insurance tax offset must have used the
        phrase 'Government's 30% rebate'.

(3) For paragraph (2) (a), the undertaking must state that:

   (a)  the health fund will give to each participant in an appropriate
        private health insurance policy issued by the fund a written
        statement, in accordance with regulation 6, setting out:

        (i)    the amount of the premiums paid under the policy in respect of
               the participant for the previous financial year; and

        (ii)   the amount of the reduction, under the premiums reduction
               scheme, for those premiums; and

   (b)  if a premium under an appropriate private health insurance policy is
        increased after the date of the application, the health fund will give
        to each participant affected by the increase written notice of the
        matters mentioned in subparagraphs (2) (b) (i), (ii) and (iii) in
        relation to that increase.

(4) For subparagraph (3) (a) (i), paid includes an amount of premium taken to
have been paid because the amount has been received by a person who is
obliged, under an arrangement between the participant, the person and the
health fund, to pay that amount to the health fund.

(5) In this regulation: participant means a person to whom section 12-10 of
the Act applies in relation to the appropriate private health insurance
policy. previous financial year means the financial year before the financial
year for which an application to become a participating fund is made.