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Private Health Insurance (Risk Equalisation Levy) Act 2003

Compilation #3 | Effective 2016-07-01

FRBR Work URI: /akn/au/act/2003/73

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1 Short title

This Act may be cited as the Private Health Insurance (Risk Equalisation Levy) Act 2003.

2 Commencement

This Act commences on 1 July 2004.

3 Crown to be bound

This Act binds the Crown in each of its capacities.

4 Extension of Act to external Territories

This Act extends to Norfolk Island, to the (Keeling) and to the .

5 Definitions

In this Act, unless the contrary intention appears:

APRA means the Australian Prudential Regulation Authority.

private health insurer has the same meaning as in the Private Health Insurance Act 2007.

risk equalisation levy means a risk equalisation levy imposed under section 6.

risk equalisation levy day means a risk equalisation levy day specified in Private Health Insurance (Risk Equalisation Levy) Rules made for the purposes of section 6.

supplementary risk equalisation levy day means a supplementary risk equalisation levy day specified in a determination by the Minister under section 6.

6 Imposition of risk equalisation levy

Risk equalisation levy is imposed on each private health insurer:

on each day specified in the Private Health Insurance (Risk Equalisation Levy) Rules as a risk equalisation levy day for a financial year; and

on each day (if any) determined by the Minister, by legislative instrument, as a supplementary risk equalisation levy day for a financial year.

The Private Health Insurance (Risk Equalisation Levy) Rules must not specify more than 4 levy days for a financial year.

The determination by the Minister must not specify more than 2 supplementary levy days for a financial year.

7 Rate of risk equalisation levy

The rate of risk equalisation levy imposed on a particular day is worked out using the following table:

(2) In determining the rate of levy, APRA and the Minister must comply with the Private Health Insurance (Risk Equalisation Policy) Rules made under the Private Health Insurance Act 2007.

The rate of levy may be set at zero.

An instrument made under paragraph (a) of item 1 or 2 of the table in subsection (1) is not a legislative instrument.

8 Minister to obtain advice from APRA

Before making a determination under the Minister must obtain, and take into account, advice from APRA in relation to the following matters:section 6 or item 2 of the table in subsection 7(1),

whether to make a determination under section 6;

the day that is to be, or the days that are to be, specified as the supplementary risk equalisation levy day or days for a financial year;

the rate that is to be specified as the rate of risk equalisation levy imposed on the supplementary risk equalisation levy day or days.

10A Private Health Insurance (Risk Equalisation Levy) Rules

The Minister may, by legislative instrument, make Private Health Insurance (Risk Equalisation Levy) Rules providing for matters:

required or permitted by this Act to be provided; or

necessary or convenient to be provided in order to carry out or give effect to this Act.

11 Regulations

The Governor-General may make regulations prescribing matters:

required or permitted by this Act to be prescribed; or

necessary or convenient to be prescribed for carrying out or giving effect to this Act.

Before the Governor-General makes regulations under subsection (1), the Minister must take into consideration any relevant recommendation made to the Minister by APRA.

Endnotes

Endnote 1—About the endnotes

The endnotes provide information about this compilation and the compiled law.

The following endnotes are included in every compilation:

Endnote 1—About the endnotes

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history

Abbreviation key—Endnote 2

The abbreviation key sets out abbreviations that may be used in the endnotes.

Legislation history and amendment history—Endnotes 3 and 4

Amending laws are annotated in the legislation history and amendment history.

The legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.

The amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.

Editorial changes

The Legislation Act 2003 authorises First Parliamentary Counsel to make editorial and presentational changes to a compiled law in preparing a compilation of the law for registration. The changes must not change the effect of the law. Editorial changes take effect from the compilation registration date.

If the compilation includes editorial changes, the endnotes include a brief outline of the changes in general terms. Full details of any changes can be obtained from the Office of Parliamentary Counsel.

Misdescribed amendments

A misdescribed amendment is an amendment that does not accurately describe the amendment to be made. If, despite the misdescription, the amendment can be given effect as intended, the amendment is incorporated into the compiled law and the abbreviation “(md)” added to the details of the amendment included in the amendment history.

If a misdescribed amendment cannot be given effect as intended, the abbreviation “(md not incorp)” is added to the details of the amendment included in the amendment history.

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history