New South Wales Consolidated Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [History] [Help]


Imposition of civil penalty on or censure of licensed insurer

166 Imposition of civil penalty on or censure of licensed insurer

(1) If the Authority is satisfied that a licensed insurer has contravened its licence or this Act or the regulations or the Insurance Industry Deed, the Authority may, instead of suspending the insurer's licence--
(a) impose a civil penalty on the insurer not exceeding $50,000, or
(b) issue a letter of censure to the insurer.
(2) Before imposing a civil penalty, the Authority is required to refer the matter to a special committee for advice and to consider any advice provided by the committee.
(3) Any such special committee--
(a) is to comprise the Chairperson of the Board of the Authority, a nominee of the Insurance Council of Australia Limited and another member nominated jointly by the Authority and that Council, and
(b) is required to give the licensed insurer concerned an opportunity to make written submissions with respect to the alleged contravention, but is not required to conduct a hearing into the matter.
If that Council fails to make a nomination for the purposes of constituting any such special committee within the time required by the Authority, the Minister may make that nomination on its behalf.
(4) A civil penalty that has been imposed under this section may be recovered by the Authority in a court of competent jurisdiction as a debt due to the Authority.
(5) A civil penalty that is paid or recovered is payable into the Motor Accidents Operational Fund.

AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback