LIFE INSURANCE REGULATIONS
- In force under the Life Insurance Act 1945
- Reprinted as at 31 May 1994 (HISTREG CHAP 943 #DATE 31:05:1994)
*1* The Life Insurance Regulations (in force under the Life Insurance Act 1945) as shown in this reprint comprise Statutory Rules 1946 No. 136 amended as indicated in the Tables below. Table of Statutory Rules Year and Date of Date of Application, saving or number notification in commencement transitional provisions Gazette 1946 No. 136 15 Aug 1946 15 Aug 1946 1959 No. 98 3 Dec 1959 Rr. 1, 6, 7, and R. 17 (2) 17: 3 Dec 1959 Rr. 5, 10 and 16: 31 Dec 1959 Remainder: 1 Sept 1960 1962 No. 3 18 Jan 1962 18 Jan 1962 R. 19 12 (a) 8 Feb 1962 8 Feb 1962 - 1966 No. 36 10 Feb 1966 R. 1: 14 Feb 1966 Remainder: 10 Feb 1966 R. 2 1969 No. 51 17 Apr 1969 17 Apr 1969 - 1971 No. 100 29 July 1971 29 July 1971 R. 2 1974 No. 68 7 May 1974 7 May 1974 R. 2 224 27 Nov 1974 27 Nov 1974 R. 2 1978 No. 31 6 Mar 1978 6 Mar 1978 - 1980 No. 54 20 Mar 1980 20 Mar 1980 R. 6 1981 No. 262 10 Sept 1981 10 Sept 1981 R. 2 1983 No. 240 28 Oct 1983 28 Oct 1983 - 1984 No. 248 21 Sept 1984 21 Sept 1984 - 1985 No. 44 24 Apr 1985 24 Apr 1985 - 1988 No. 180 8 July 1988 8 July 1988 - 1989 No. 282 31 Oct 1989 31 Oct 1989 - 1990 No. 445 21 Dec 1990 21 Dec 1990 - (a) The form of introductory words used to make Statutory Rules No. 12 was as follows: "WHEREAS by sub-section (2) of section ninety-five of the Life Insurance Act 1945-1961 it is provided, amongst other things, that the Governor-General may, on the recommendation of the Insurance Commissioner, by regulation declare that the provisions of Division 4 of Part IV of that Act shall apply in respect of any policy or class of policies with such modifications as are declared in the regulation: "And whereas by regulation 8 of the Life Insurance Regulations it is declared, on the recommendation of the Insurance Commissioner, that the provisions of Division 4 of Part IV of that Act shall apply in respect of each of the classes of policies specified in that regulation, subject to the modifications declared in the paragraph of that regulation in which that class is specified: "And whereas the Insurance Commissioner has recommended that the provisions of Division 4 of Part IV of that Act apply in respect of ordinary policies subject to such modifications as are set forth in the following regulation: "Now therefore I, the Governor-General in and over the Commonwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following Regulation under the Life Insurance Act 1945-1961." Table of Amendments ad=added or inserted am=amended rep=repealed rs=repealed and substituted Provision affected How affected R. 2 rs. 1962 No. 3 am. 1980 No. 54 rep. 1983 No. 240 R. 3 rs. 1959 No. 98 am. 1962 No. 3; 1978 No. 31; 1983 No. 240 Part II (rr. 4-7) rep. 1980 No. 54 R. 4 rs. 1962 No. 3 rep. 1980 No. 54 Rr. 5-7 rep. 1980 No. 54 R. 8 am. 1962 No. 12; 1966 No. 36; 1983 No. 240; 1988 No. 180 Rr. 9, 10 rep. 1962 No. 3 R. 11 am. 1962 No. 3; 1971 No. 100; 1974 Nos. 68 and 224; 1981 No. 262; 1983 No. 240 R. 12 rs. 1983 No. 240 R. 13 am. 1959 No. 98; 1962 No. 3 rs. 1983 No. 240 R. 13A ad. 1959 No. 98 am. 1962 No. 3 rep. 1983 No. 240 R. 14 am. 1962 No. 3 rs. 1983 No. 240 R. 15 rs. 1983 No. 240 R. 16 rs. 1959 No. 98 rep. 1983 No. 240 R. 17 am. 1959 No. 98 rep. 1983 No. 240 R. 18 rep. 1959 No. 98 R. 19 am. 1959 No. 98; 1980 No. 54 rep. 1983 No. 240 R. 20 am. 1959 No. 98 rep. 1983 No. 240 R. 21 am. 1983 No. 240 R. 22 rs. 1959 No. 98 am. 1983 No. 240 R. 22A ad. 1989 No. 282 R. 23 am. 1983 No. 240 R. 23A ad. 1989 No. 282 R. 24 am. 1983 No. 240 R. 25 am. 1983 No. 240 R. 26 rep. 1980 No. 54 ad. 1983 No. 240 Rr. 26A-26C ad. 1983 No. 240 R. 27 rs. 1959 No. 98 am. 1962 No. 3; 1983 No. 240 R. 27A ad. 1962 No. 3 R. 27B ad. 1978 No. 31 R. 28A ad. 1978 No. 31 R. 28B ad. 1984 No. 248 R. 28C ad. 1985 No. 44 R. 29 am. 1959 No. 98 rs. 1962 No. 3 am. 1983 No. 240 rs. 1990 No. 445 R. 29A ad. 1983 No. 240 R. 30 am. 1983 No. 240 Heading to the Schedule rep. 1959 No. 98 Heading to The Schedules ad. 1959 No. 98 rep. 1990 No. 445 The Schedule am. 1959 No. 98 Heading to First Schedule ad. 1959 No. 98 rep. 1983 No. 240 Heading to Schedule 1 ad. 1983 No. 240 First Schedule am. 1962 No. 3; 1969 No. 51; 1978 No. 31; 1980 No. 54; 1983 No. 240 Schedule 1 am. 1989 No. 282 Heading to Second Schedule rep. 1983 No. 240 Heading to Schedule 2 ad. 1983 No. 240 Second Schedule ad. 1959 No. 98 am. 1983 No. 240 LIFE INSURANCE REGULATIONS - TABLE OF PROVISIONS
TABLE
TABLE OF PROVISIONS
Regulation
PART I - PRELIMINARY
1. Citation
3. Interpretation
PART III - PAID-UP POLICIES, SURRENDER VALUES AND
NON-FORFEITURE
8. Modifications of provisions of Act in case of certain policies
11. Interest on overdue premiums on ordinary policies
PART IV - STATISTICS
12. When statistics to be collected
13. Statistics to be collected
14. Form in which statistics to be furnished
15. When statistics to be furnished
21. Persons to whom statistics may be supplied
PART V - MISCELLANEOUS
22. Prescribed time for purposes of section 23
22A. Prescribed form - subsection 39 (7) of the Act
23. First accounts etc. under sections 44 and 51
23A. Prescribed form - subsection 52 (2B) of the Act
24. Oath or declaration of secrecy
25. Notices regarding transfers or amalgamations
26. Payment of policy moneys without requiring production of
probate etc.
26A. Policies to which section 103A does not apply
26B. Payment on death of children
26C. Where no need to advertise issue of special policy
27. Alteration to First Schedule to the Life Insurance Act
1945-1958
27A. Alterations to First Schedule to Life Insurance Act 1945-1961
27B. Alteration to Form D in First Schedule to the Life Insurance
Act 1945
28. Alteration to Third Schedule
28A. Alterations to Fourth Schedule to the Life Insurance Act 1945
28B. Alterations of Fourth Schedule to Act
28C. Alterations of Fourth Schedule to the Act
29. Fees for inspection and copying of documents - section 141
29A. Directions and instructions to be followed
30. Penalty
31. Repeal
SCHEDULE 1
FORMS
SCHEDULE 2
FORMS TO BE SUBSTITUTED FOR FORMS A, B, C, D,
E, F AND G IN THE FIRST SCHEDULE TO THE ACT
LIFE INSURANCE REGULATIONS - PART I
PART I - PRELIMINARY
LIFE INSURANCE REGULATIONS - REG 1
Citation
1. These Regulations may be cited as the Life Insurance Regulations.*1*
SEE NOTES TO FIRST ARTICLE OF THIS CHAPTER .
LIFE INSURANCE REGULATIONS - REG 3
Interpretation
3. (1) In these Regulations, unless the contrary intention appears:
"quarter" means the period of 3 months commencing on 1 January, 1 April, 1
July and 1 October in any year;
"the Act" means the Life Insurance Act 1945.
(2) A reference in these Regulations to a form by number shall, unless the
contrary intention appears, be read as a reference to the form so numbered in
Schedule 1.
LIFE INSURANCE REGULATIONS - PART III
PART III - PAID-UP POLICIES, SURRENDER VALUES AND
NON-FORFEITURE
LIFE INSURANCE REGULATIONS - REG 8
Modifications of provisions of Act in case of certain policies
8. In pursuance of subsection 95 (2) of the Act, and on the recommendation
of the Commissioner, it is hereby declared that the provisions of Division 4
of Part IV of the Act shall apply in respect of each of the classes of
policies specified in this regulation, subject to the modifications declared
in the paragraph of this regulation in which that class is specified:
(a) Family Income Policies:
(i) If a policy provides income or other additional life insurance
benefits so that the amount payable (exclusive of bonuses) in the event of
death within a specified term dating from the commencement of the policy
exceeds the amount payable (exclusive of bonuses) in the event of death after
the expiry of the specified term (which latter amount is hereinafter referred
to as the basic sum insured), the paid-up policy to which the policy owner is
entitled shall be payable on the same contingencies as the basic sum insured
only, and shall not carry such additional benefits, but the amount of the
paid-up policy shall be adjusted in accordance with subparagraphs (ii) and
(iii).
(ii) The paid-up policy in respect of the basic sum insured
only shall be increased or decreased by a sum bearing the same proportion to
90 per centum of the value of the additional benefits as the sum of $1 bears
to the present value (at the attained age of the person whose life is insured)
of the reversion in the sum of $1 according to the contingency upon which the
basic sum insured under the original policy was payable.
(iii) For the purposes of subparagraph (a) (ii), the value of the
additional benefits shall be ascertained in accordance with rules 3, 4 and 5
of the Rules in Part I of the Sixth Schedule to the Act, as though the
additional benefits were a policy for the purpose of those rules.
(b) Policies which include certain Additional Benefits - If a policy
includes provision for a benefit payable in an event other than death or
survival, or a benefit payable in the event of death by accident or specified
sickness only (either or both of which benefits are hereinafter referred to as
additional benefits), the paid-up policy to which the policy owner shall be
entitled shall be calculated in accordance with the rules set out in Part I of
the Sixth Schedule to the Act. For the purpose of that calculation the
additional benefits shall be ignored, and the paid-up policy shall not provide
any part of the additional benefits.
(c) Option Policies - If a policy contains provision for the contract
thereunder to be varied at the option of the owner of the policy on a
specified date or on the happening of a specified event and the policy owner
becomes entitled to a paid-up policy before that option has been exercised,
the paid-up policy to which the policy owner shall be entitled shall be that
to which he would be entitled if the policy did not include provision for that
optional variation.
(d) Ordinary Policies Varied to Alter the Date on which the Sum Insured
Becomes Payable or the Term During which Premium Payments are to be Made, or
Both - In cases where, since the issue of any ordinary policy, the contract
thereunder has been varied at the request of the policy owner in such a manner
that either the date upon which the sum insured becomes payable, or the term
during which premium payments are to be made, or both, have been altered, then
the following rules shall apply to the calculation of a paid-up policy:
(i) In these rules, the "date of variation" means the date on
which the first premium under the varied contract fell due.
(ii) The paid-up policy in respect of the original contract
under the policy shall be calculated according to the Rules set out in Part I
of the Sixth Schedule to the Act, as at the day before the date of variation.
(iii) An adjusted paid-up policy shall be calculated as at the
date of variation by taking the sum which bears the same proportion to the
paid-up policy under the original contract as the value of the reversion in
the sum of $1 according to the contingency upon which the sum insured under
the original contract was payable bears to the reversion in the sum of $1
according to the contingency upon which the sum insured under the policy is
payable after the date of variation.
(iv) From the total sum insured under the policy after the date
of variation there shall be deducted the amount of the adjusted paid-up policy
calculated according to rule (iii). The sum so ascertained shall be known as
"the premium-bearing sum insured".
(v) There shall be calculated, as at the date at which it is
required to ascertain the paid-up policy in respect of the varied policy, the
paid-up policy that would be applicable to a policy effected on the date of
variation under the conditions relating to the contract as varied and having a
sum insured equal to the premium-bearing sum insured, but for the purposes of
determining:
(1) whether a sufficient number of premiums have been paid to entitle the
policy owner to a paid-up policy; and
(2) the appropriate percentage to apply in any calculation made by Rule 1 of
Part I of the Sixth Schedule to the Act; but only for such purposes, the
period for which premiums have been paid shall be assumed to date from the
date of the original policy.
(vi) The total paid-up policy in respect of a varied policy shall
be the sum of the adjusted paid-up policy calculated according to rule (iii)
and the paid-up policy in respect of the premium-bearing sum insured,
calculated according to rule (v).
(vii) Rule 5 of the Rules set out in Part I of the Sixth Schedule
to the Act shall apply to the calculations in respect of varied policies.
(da) Increased Ordinary Policies - Where, since the issue of an ordinary
policy, the contract under that policy has been varied at the request of the
policy owner in such a manner as to increase the sum insured and premium
payments, or to grant an increase in the sum insured upon the making of
additional premium payments, but not so as to alter either the date on which
the sum insured becomes payable or the term during which premium payments are
to be made:
(i) The following rules apply to the calculation of a
paid-up policy:
(A) The total paid-up policy value in respect of a policy in
respect of which the sum insured has been increased shall be the sum of the
paid-up policy value calculated in accordance with rule (B) and the paid-up
policy values in respect of increases in the sum insured calculated in
accordance with rule (C).
(B) The paid-up policy value shall be calculated according to the
rules set out in Part I of the Sixth Schedule to the Act as if the contract
had not been so varied.
(C) Except in the case of increases in the sum insured for which
less than 3 years' premiums have been paid in cash, there shall be calculated
in respect of each increase according to the rules set out in Part I of the
Sixth Schedule to the Act a paid-up value that would be applicable to a policy
effected at the date of that increase in the sum insured and having a sum
insured equal to the amount of that increase.
(ii) Subject to subparagraph (iii), the following rules
apply to the calculation of the surrender value of a policy:
(A) The surrender value in respect of a policy in respect of which
the sum insured has been increased shall be the sum of the surrender value
calculated in accordance with rule (B) and the surrender values in respect of
each increase in the sum insured calculated in accordance with rule (C).
(B) The surrender value shall be calculated according to the rules
set out in Part II of the Sixth Schedule to the Act as if the contract had not
been so varied.
(C) Except in the case of increases in the sum insured for which
less than 6 years' premiums have been paid in cash, there shall be calculated
in respect of each increase according to the rules set out in Part II of the
Sixth Schedule to the Act a surrender value that would be applicable to a
policy effected at the date of that increase in the sum insured and having a
sum insured equal to the amount of that increase.
(iii) In calculating the surrender value of a policy for the
purposes of paragraph 100 (1) (b) of the Act, subparagraph (ii) applies as if
in sub-subparagraph
(C) the reference to 6 years' premiums were a reference to 3
years' premiums.
(iv) The amount of overdue premium for the purposes of paragraph 100
(1) (b) of the Act does not include overdue premium in respect of any
increases in the sum insured that have been in force for less than 3 years.
(v) The surrender value calculated, for the purposes of paragraph
100 (1) (b) of the Act, by reference to subparagraph (ii) as modified by
subparagraph (iii) does not include a surrender value in respect of an
increase in the sum insured that has been in force for less than 3 years and
subsection 100 (1) of the Act applies in respect of an increase in the sum
insured that has been in force for less than 3 years as if that increase were
a separate policy that has been in force for less than 3 years and as it would
apply to a policy effected at the date of that increase in the sum insured and
having a sum insured equal to the amount of that increase.
(e) Policies providing for Endowment Insurance Payable in Instalments with
Level Premiums until last Instalment is Paid - If an endowment insurance
policy provides for payment of the sum insured by instalments at intervals and
for any unpaid balance at death, premiums being payable at a level rate until
the final balance of sum insured has been paid, the paid-up policy value of
such a policy shall be calculated according to Rule 2 instead of Rule 1 of the
Rules set out in Part I of the Sixth Schedule to the Act.
(f) Paid-up Policies - Where a policy has been rendered paid-up (whether by
the grant of a paid-up policy as required by the Act or otherwise) and a
calculation of the surrender value of the policy is subsequently required to
be made, the calculation shall be made according to the Rules set out in Part
II of the Sixth Schedule of the Act, and the amount of the paid-up policy of
which the present value is to be found in terms of Rule 1 of those Rules shall
be the actual amount of the paid-up policy.
(g) Ordinary Policies - The modifications are:
(a) for paragraph (b) of rule 5 of Part I of the Sixth Schedule to the Act,
substitute the following paragraph:
"(b) the rates of mortality shall be assumed according to the ultimate table
based on the experience of insured lives for the years 1924 to 1929, and
published on behalf of The Institute of Actuaries and The Faculty of Actuaries
in Scotland under the short title of A 1924-29 Table; and"; and
(b) for paragraph (c) of rule 2 of Part II of the Sixth Schedule to the Act,
substitute the following paragraph:
"(c) the rates of mortality shall be assumed according to the ultimate table
based on the experience of insured lives for the years 1924 to 1929, and
published on behalf of The Institute of Actuaries and The Faculty of Actuaries
in Scotland under the short title of A 1924-29 Table; and".
LIFE INSURANCE REGULATIONS - REG 11
Interest on overdue premiums on ordinary policies
11. The prescribed terms for the purposes of subsection 100 (2) of the Act
shall be terms under which the amount of compound interest chargeable in
respect of an overdue premium would be an amount calculated at the rate of
14.5 per centum per annum on the overdue premium or an amount of 5 cents,
whichever is the greater.
LIFE INSURANCE REGULATIONS - PART IV
PART IV - STATISTICS
LIFE INSURANCE REGULATIONS - REG 12
When statistics to be collected
12. For the purposes of subsection 145 (1) of the Act, the following times
are prescribed, namely:
(a) in respect of the statistics prescribed in paragraph 13 (a) - the
expiration of the period within which Form 3 is required to be furnished;
(b) in respect of the statistics prescribed in paragraph 13 (b) - the
expiration of the period within which Form 6 is required to be furnished; and
(c) in respect of the statistics prescribed in paragraph 13 (c) - the
expiration of the period within which Form 7 is required to be furnished.
LIFE INSURANCE REGULATIONS - REG 13
Statistics to be collected
13. For the purposes of subsection 145 (1) of the Act, the following
statistics are prescribed, namely:
(a) the particulars, in respect of a quarter, specified in Form 3 relating
to:
(i) ordinary life insurance business, other than ordinary risk
premium business, in Australia;
(ii) ordinary risk premium business in Australia;
(iii) industrial business in Australia;
(iv) superannuation business, other than superannuation risk
premium business, in Australia; and
(v) superannuation risk premium business in Australia;
(b) the particulars, in respect of a quarter, specified in Form 6; and
(c) the particulars, in respect of a month, specified in Form 7.
LIFE INSURANCE REGULATIONS - REG 14
Form in which statistics to be furnished
14. For the purposes of subsection 145 (2) of the Act, the following forms
are prescribed, namely:
(a) Form 3, in respect of the particulars specified in that form;
(b) Form 6, in respect of the particulars specified in that form; and
(c) Form 7, in respect of the particulars specified in that form.
LIFE INSURANCE REGULATIONS - REG 15
When statistics to be furnished
15. For the purposes of subsection 145 (2) of the Act, the following times
are prescribed, namely:
(a) in respect of the particulars specified in Form 3 - once each quarter,
being a time that occurs within 6 weeks of the expiration of the quarter to
which the particulars relate;
(b) in respect of the particulars specified in Form 6 - once each quarter,
being a time that occurs within 6 weeks of the expiration of the quarter to
which the particulars relate;
(c) in respect of the particulars specified in Form 7 - once each month,
being a time that occurs within 6 weeks of the expiration of the month to
which the particulars relate.
LIFE INSURANCE REGULATIONS - REG 21
Persons to whom statistics may be supplied
21. For the purposes of section 145 of the Act, the officers to whom the
Commissioner may supply statistics collected by him in pursuance of this Part
shall be the Commonwealth Statistician and the official Statistician of each
State.
LIFE INSURANCE REGULATIONS - PART V
PART V - MISCELLANEOUS
LIFE INSURANCE REGULATIONS - REG 22
Prescribed time for purposes of section 23
22. For the purposes of section 23 of the Act, the prescribed time is the
period of 3 months commencing on the date on which the change mentioned in
that section takes place.
LIFE INSURANCE REGULATIONS - REG 22A
Prescribed form - subsection 39 (7) of the Act
22A. For the purposes of subsection 39 (7) of the Act, Form 7A is
prescribed.
LIFE INSURANCE REGULATIONS - REG 23
First accounts etc. under sections 44 and 51
23. At the expiration of the first financial year of a company ending after
31 May, 1946, the company may, in lieu of furnishing the accounts,
balance-sheet and returns specified in sections 44 and 51 of the Act, furnish
to the Commissioner 10 copies of its revenue account and profit and loss
account (if any) in respect of that year and of its balance-sheet as at the
end of the year.
LIFE INSURANCE REGULATIONS - REG 23A
Prescribed form - subsection 52 (2B) of the Act
23A. For the purposes of subsection 52 (2B) of the Act, Form 7B is
prescribed.
LIFE INSURANCE REGULATIONS - REG 24
Oath or declaration of secrecy
24. The oath or declaration to be made by a person in pursuance of
subsection 57 (2) of the Act shall be in accordance with Form 8 or Form 9, as
the case may be.
LIFE INSURANCE REGULATIONS - REG 25
Notices regarding transfers or amalgamations
25. The particulars which, in pursuance of paragraph 75 (1) (b) of the Act,
are required to be contained in a notice of intention to make an application
to the Court for confirmation of a scheme for transfer or amalgamation shall
be as follows:
(a) The name of the Court to which application is to be made;
(b) The name of each company which is a party to the proposed transfer or
amalgamation;
(c) The addresses of the registries of each company at which copies of the
scheme are available for inspection by any policy owner or shareholder, and
the period during which the copies of the scheme are so available; and
(d) A statement as to whether copies of the scheme or summaries will be
furnished to every policy owner of any class affected by the scheme, or
whether an application has been, or will be, made to the Court for a direction
that copies of the scheme or summaries be not so furnished.
LIFE INSURANCE REGULATIONS - REG 26
Payment of policy moneys without requiring production of probate etc.
26. For the purposes of section 103 of the Act, the amount of $10,000 is
prescribed.
LIFE INSURANCE REGULATIONS - REG 26A
Policies to which section 103A does not apply
26A. For the purposes of section 103A of the Act, the amount of $5,000 is
prescribed.
LIFE INSURANCE REGULATIONS - REG 26B
Payment on death of children
26B. (1) For the purposes of the definition of "prescribed amount" in
section 108 of the Act, the amount of $1,000 is applicable.
(2) For the purposes of the definition of "repayment of premiums" in section
108 of the Act, the rate of 12 per cent per annum is prescribed.
LIFE INSURANCE REGULATIONS - REG 26C
Where no need to advertise issue of special policy
26C. For the purposes of section 119 of the Act, the amount of $5,000 is
prescribed.
LIFE INSURANCE REGULATIONS - REG 27
Alteration to First Schedule to the Life Insurance Act 1945-1958
27. The First Schedule to the the Act is amended by omitting Forms A, B, C,
D, E, F and G and inserting in their stead Forms A, B, C, D, E, F and G in
Schedule 2.
LIFE INSURANCE REGULATIONS - REG 27A
Alterations to First Schedule to Life Insurance Act 1945-1961
27A. The First Schedule to the Act is amended by adding at the end of Form A
the following note:
"Note 3 - Where an amount shown in this account has been ascertained by
apportionment by the company under Division 4 of Part III, the persons signing
this account shall also sign an appended statement showing the basis of the
apportionment.".
LIFE INSURANCE REGULATIONS - REG 27B
Alteration to Form D in First Schedule to the Life Insurance Act 1945
27B. Form D in the First Schedule to the Act is altered by omitting from the
table:
"Government Securities -
Australia"
and substituting:
"Government Securities -
Australia
Papua New Guinea".
LIFE INSURANCE REGULATIONS - REG 28
Alteration to Third Schedule
28. The provisions of Part II of the Third Schedule to the Act are altered
by omitting paragraph (a) of Item (4) and inserting in its stead the following
paragraph:
"(a) the total amount of those annuities, grouped according to the number of
years from the valuation date to the date the annuity is to be entered upon,
and either:
(i) the average age (obtained by weighting according to the
amount of the annuity) attained at the valuation date by the prospective
annuitants; or
(ii) the valuation constants and an explanation of the
method by which they are calculated; and".
LIFE INSURANCE REGULATIONS - REG 28A
Alterations to Fourth Schedule to the Life Insurance Act 1945
28A. The provisions of the Fourth Schedule to the Act are altered:
(a) by omitting rules (1) and (2) and substituting the following rules:
"(1) The rates of mortality used in calculating:
(a) in respect of a life policy, being a deferred annuity policy - the
liability under the policy in respect of the period during which an annuity
shall be payable; or
(b) in respect of a life policy, being an annuity policy under which an
annuity has become payable - the liability under the policy in respect of the
period during which the annuity shall continue to be payable;
shall be rates assumed in accordance with:
(c) if the policy is effected upon the life of a male person - the ultimate
table of mortality for male lives included in the tables published for the
Institute of Actuaries and the Faculty of Actuaries under the title 'The a
(55) Tables for Annuitants';
(d) if the policy is effected upon the life of a female person - the
ultimate table of mortality for female lives included in the tables published
for the Institute of Actuaries and the Faculty of Actuaries under the title
'The a (55) Tables for Annuitants'; or
(e) if the policy is effected upon the joint lives of 2 or more persons:
(i) in respect of each male person upon whose life the
policy is effected - the ultimate table of mortality referred to in paragraph
(c); and
(ii) in respect of each female person upon whose life
the policy is effected - the ultimate table of mortality referred to in
paragraph (d).
"(1A) The rates of mortality used in calculating:
(a) in respect of a life policy, being a deferred annuity policy - the
liability under the policy in respect of the period of deferment provided for
under the policy; or
(b) in respect of a life policy other than an annuity policy - the liability
under the policy in respect of the period of insurance under the policy;
shall be rates assumed in accordance with:
(c) if the policy is effected upon the life of a male person - the ultimate
table of mortality included in the tables published for the Institute of
Actuaries and the Faculty of Actuaries under the title 'A 1949-52 Tables for
Assured Lives';
(d) if the policy is effected upon the life of a female person - the
ultimate table of mortality referred to in paragraph (c) modified by adding 3
years to each of the ages specified in the last column of that table; or
(e) if the policy is effected upon the joint lives of 2 or more persons:
(i) in respect of each male person upon whose life the policy is
effected - the ultimate table of mortality referred to in paragraph (c); and
(ii) in respect of each female person upon whose life the policy is
effected - the ultimate table of mortality referred to in paragraph (c)
modified by adding 3 years to each of the ages specified in the last column of
that table.
"(2) The rate of interest used in calculating the liability under a
superannuation policy shall be:
(a) where:
(i) the liability under the policy, being a deferred annuity
policy, is in respect of the period during which an annuity shall be payable;
or
(ii) the liability under the policy, being an annuity policy
under which an annuity has become payable, is in respect of the period during
which the annuity shall continue to be payable;
an assumed rate of 7 per centum per annum; or
(b) where:
(i) the liability under the policy, being a deferred annuity
policy, is in respect of the period of deferment provided for under the
policy; or
(ii) the liability under the policy, not being an annuity policy, is
in respect of the period of insurance under the policy;
an assumed rate of 6 per centum per annum.
"(2A) The rate of interest used in calculating the liability under an
ordinary policy other than a superannuation policy shall be:
(a) where:
(i) the liability under the policy, being a deferred annuity
policy, is in respect of the period during which an annuity shall be payable;
or
(ii) the liability under the policy, being an annuity policy
under which an annuity has become payable, is in respect of the period during
which the annuity shall continue to be payable;
an assumed rate of 5.5 per centum per annum; or
(b) where:
(i) the liability under the policy, being a deferred annuity
policy, is in respect of the period of deferment provided for under the
policy; or
(ii) the liability under the policy, not being an annuity policy, is
in respect of the period of insurance under the policy;
an assumed rate of 4.25 per centum per annum.
"(2B) The rate of interest used in calculating the liability under an
industrial policy other than a superannuation policy shall be an assumed rate
of 4.25 per centum per annum.";
(b) by omitting "one year" (wherever occurring) from paragraph (a) of the
definition of "adjusted net premiums" in rule 4 and substituting "2 years";
and
(c) by omitting "Three per centum of the sum insured" from paragraph
(b) of the definition of "adjusted net premiums" in rule 4 and substituting
"3.5 per centum of the sum insured".
LIFE INSURANCE REGULATIONS - REG 28B
Alterations of Fourth Schedule to Act
28B. The provisions of the Fourth Schedule to the Act are altered:
(a) by omitting paragraphs (1) (c) and (d) and substituting the following
paragraphs:
"(c) if the policy is effected upon the life of a male person - the ultimate
table of mortality for male lives included in the tables published by the
Institute of Actuaries and the Faculty of Actuaries under the title 'a (90)
TABLES FOR ANNUITANTS';
(d) if the policy is effected upon the life of a female person - the
ultimate table of mortality for female lives included in the tables published
by the Institute of Actuaries and the Faculty of Actuaries under the title 'a
(90) TABLES FOR ANNUITANTS'; or";
(b) by omitting from paragraph (2) (a) "7 per centum" and substituting "12
per centum"; and
(c) by omitting from paragraph (2A) (a) "5.5 per centum" and substituting "8
per centum".
LIFE INSURANCE REGULATIONS - REG 28C
Alterations of Fourth Schedule to the Act
28C. The provisions of the Fourth Schedule to the Act are altered by
omitting paragraph (2A) (a) and substituting the following paragraphs:
"(a) where the liability under the policy, being a deferred annuity policy,
is in respect of the period during which an annuity shall be payable - an
assumed rate of 8 per centum per annum;
(ab) where the liability under the policy, being an annuity policy under
which an annuity has become payable, is in respect of the period during which
the annuity shall continue to be payable - an assumed rate of 12 per centum
per annum; or".
LIFE INSURANCE REGULATIONS - REG 29
Fees for inspection and copying of documents - section 141
29. (1) For the purposes of section 141 of the Act, the prescribed fee for
inspecting a document referred to in that section is $10.
(2) The Commissioner must:
(a) on the request of a person; and
(b) on payment of the fee calculated in accordance with subregulation (3);
provide the person with a copy of the whole or part of a document referred to
in section 141 of the Act.
(3) The fee payable under subregulation (2) is:
(a) an amount calculated at the rate of $1 for each page of a copy of the
whole or part of the document; or
(b) if, at the request of the person, the copy of the document is made
available in electronic form - an amount calculated at the rate of $1 for each
page of the whole or part of the document that is provided in that form.
LIFE INSURANCE REGULATIONS - REG 29A
Directions and instructions to be followed
29A. A form in Schedule 1 shall be completed in accordance with such
directions and instructions as are specified in, or relate to, the form.
LIFE INSURANCE REGULATIONS - REG 30
Penalty
30. A person shall not:
(a) contravene or fail to comply with any provision of these Regulations;
or
(b) furnish any return under these Regulations which is false or misleading
in any particular.
Penalty, where no penalty is provided by the Act - $100.
LIFE INSURANCE REGULATIONS - REG 31
Repeal
31. The Life Insurance Regulations (being Statutory Rules 1946, No. 101) are
repealed.
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