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This is a Bill, not an Act. For current law, see the Acts databases.


MOTOR ACCIDENTS COMPENSATION AMENDMENT BILL 2006





                        New South Wales




Motor Accidents Compensation
Amendment Bill 2006


Contents

                                                                    Page
          1    Name of Act                                            2
          2    Commencement                                           2
          3    Amendment of Motor Accidents Compensation Act 1999
               No 41                                                  2
           4   Consequential amendments                               2
           5   Repeal of Act                                          2
  Schedule 1   Amendment of Motor Accidents Compensation Act 1999     3
  Schedule 2   Consequential amendments                              20
I certify that this PUBLIC BILL, which originated in the LEGISLATIVE ASSEMBLY,
has finally passed the LEGISLATIVE COUNCIL and the LEGISLATIVE ASSEMBLY of
NEW SOUTH WALES.


                                                Clerk of the Legislative Assembly.
                                                Legislative Assembly,
                                                Sydney,                     , 2006




                             New South Wales




Motor Accidents Compensation
Amendment Bill 2006
Act No      , 2006




An Act to amend the Motor Accidents Compensation Act 1999 to make further
provision with respect to the motor accidents to which the Act applies, no-fault
recovery by children, blameless motor accidents, insurance premiums, claims
against the Nominal Defendant and caps on insurer liability; and for other purposes.




I have examined this Bill, and find it to correspond in all respects with the Bill
as finally passed by both Houses.


                           Chairman of Committees of the Legislative Assembly.
Clause 1          Motor Accidents Compensation Amendment Bill 2006




The Legislature of New South Wales enacts:
 1    Name of Act
               This Act is the Motor Accidents Compensation Amendment Act 2006.
 2    Commencement
               This Act commences on a day or days to be appointed by proclamation.
 3    Amendment of Motor Accidents Compensation Act 1999 No 41
               The Motor Accidents Compensation Act 1999 is amended as set out in
               Schedule 1.
 4    Consequential amendments
               The Acts and Regulation set out in Schedule 2 are amended as set out in
               that Schedule.
 5    Repeal of Act
         (1)   This Act is repealed on the day following the day on which all of the
               provisions of this Act have commenced.
         (2)   The repeal of this Act does not, because of the operation of section 30
               of the Interpretation Act 1987, affect any amendment made by this Act.




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Motor Accidents Compensation Amendment Bill 2006

Amendment of Motor Accidents Compensation Act 1999                        Schedule 1




Schedule 1             Amendment of Motor Accidents
                       Compensation Act 1999
                                                                             (Section 3)
[1]   Chapter 1, Part 1.1, heading
      Insert before section 1:

      Part 1.1 Interpretation and application
[2]   Section 3 Definitions
      Omit the definition of death.
[3]   Section 3, definition of "injury"
      Omit the definition. Insert instead:
                  injury means personal or bodily injury and includes:
                   (a) pre-natal injury, and
                   (b) psychological or psychiatric injury, and
                   (c) damage to artificial members, eyes or teeth, crutches or
                         other aids or spectacle glasses.
[4]   Section 3, definition of "motor accident"
      Omit the definition. Insert instead:
                  motor accident means an incident or accident involving the use
                  or operation of a motor vehicle that causes the death of or injury
                  to a person where the death or injury is a result of and is caused
                  (whether or not as a result of a defect in the vehicle) during:
                   (a) the driving of the vehicle, or
                   (b) a collision, or action taken to avoid a collision, with the
                         vehicle, or
                   (c) the vehicle's running out of control.
[5]   Sections 3A and 3B
      Insert after section 3:
      3A     General restrictions on application of Act
             (1)    This Act (including any third-party policy under this Act) applies
                    only in respect of the death of or injury to a person that is caused
                    by the fault of the owner or driver of a motor vehicle in the use or




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                Motor Accidents Compensation Amendment Bill 2006

Schedule 1          Amendment of Motor Accidents Compensation Act 1999




                       operation of the vehicle and only if the death or injury is a result
                       of and is caused (whether or not as a result of a defect in the
                       vehicle) during:
                       (a) the driving of the vehicle, or
                       (b) a collision, or action taken to avoid a collision, with the
                             vehicle, or
                       (c) the vehicle's running out of control.
                       Note. Part 1.2 (No-fault claims--children and blameless accidents)
                       extends the operation of this Act for certain limited purposes to motor
                       accidents that have not in fact been caused by the fault of the owner or
                       driver of the motor vehicle.
                       Part 1.2 achieves this result by deeming such accidents to have been
                       caused by the fault of the owner or driver of the motor vehicle in the use
                       or the operation of the vehicle provided that:
                        (a)    the vehicle was involved in the accident and had motor accident
                               insurance cover for the accident, and
                        (b)    the accident was not caused by the fault of any other person or
                               the accident resulted in the death of or injury to a child.
              (2)      This Act (including any third-party policy under this Act) does
                       not apply in respect of an injury that arises gradually from a series
                       of incidents.
         3B   Restrictions on application of claims provisions--accident must
              be insured or work accident
              (1)      The application of Chapters 3-6 in respect of death or injury that
                       results from the use or operation of a motor vehicle is limited to
                       death or injury that:
                        (a) is caused by a motor accident for which the vehicle has
                              motor accident insurance cover, or
                       (b) gives rise to a work injury claim, other than a work injury
                              claim in respect of the death of or injury to a coal miner (as
                              defined in clause 3 of Part 18 of Schedule 6 to the Workers
                              Compensation Act 1987).
                       Note. Part 1.2 (No-fault claims--children and blameless accidents)
                       extends the operation of this Act for certain limited purposes to motor
                       accidents that have not in fact been caused by the fault of the owner or
                       driver of the motor vehicle.
                       Part 1.2 achieves this result by deeming such accidents to have been
                       caused by the fault of the owner or driver of the motor vehicle in the use
                       or the operation of the vehicle provided that:
                        (a)    the vehicle was involved in the accident and had motor accident
                               insurance cover for the accident, and
                        (b)    the accident was not caused by the fault of any other person or
                               the accident resulted in the death of or injury to a child.




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Amendment of Motor Accidents Compensation Act 1999                     Schedule 1




             (2)   For the purposes of this Act, a motor vehicle has motor accident
                   insurance cover for a motor accident if and only if:
                    (a) at the time of the motor accident the motor vehicle was
                         subject to coverage under a third-party policy or was
                         subject to coverage under a policy of compulsory
                         third-party personal injury insurance or a compulsory
                         motor vehicle accident compensation scheme under the
                         law of a place other than New South Wales or under a law
                         of the Commonwealth, or
                   (b) at the time of the motor accident, the motor vehicle was
                         owned by the Commonwealth or by any person or body of
                         persons representing the Commonwealth, or
                    (c) there is a right of action against the Nominal Defendant in
                         respect of the motor accident or there would be a right of
                         action against the Nominal Defendant in respect of the
                         motor accident if the motor accident had been caused by
                         the fault of the owner or driver of the motor vehicle in the
                         use or operation of the vehicle.
             (3)   For the purposes of this Act, death or injury gives rise to a work
                   injury claim if it is:
                    (a) the death of a worker resulting from or caused by an injury
                          to the worker (being an injury caused by the negligence or
                          other tort of the worker's employer), or
                   (b) an injury to a worker caused by the negligence or other tort
                          of the worker's employer,
                   with expressions used in this subsection having the same
                   meanings as they have in Part 5 of the Workers Compensation
                   Act 1987.
[6]   Section 5A Chapters 3, 4, 5 and 6 not to apply to coal miner work injury
      claim resulting from uninsured off-road accident
      Omit the section.




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Schedule 1          Amendment of Motor Accidents Compensation Act 1999




[7]   Chapter 1, Part 1.2
      Insert after section 7:

      Part 1.2 No-fault claims--children and blameless
               accidents
      Division 1              Recovery for blameless accidents
         7A   Definition of "blameless motor accident"
                       In this Division:
                       blameless motor accident means a motor accident not caused by
                       the fault of the owner or driver of any motor vehicle involved in
                       the accident in the use or operation of the vehicle and not caused
                       by the fault of any other person.
         7B   Liability for damages in case of blameless motor accident
              (1)      The death of or injury to a person that results from a blameless
                       motor accident involving a motor vehicle that has motor accident
                       insurance cover for the accident is, for the purposes of and in
                       connection with any claim for damages in respect of the death or
                       injury, deemed to have been caused by the fault of the owner or
                       driver of the motor vehicle in the use or operation of the vehicle.
                       Note. Section 3B defines what is meant by a motor vehicle having motor
                       accident insurance cover for a motor accident.
              (2)      If the blameless motor accident involved more than one motor
                       vehicle that has motor accident insurance cover for the accident,
                       the death or injury is deemed to have been caused by the fault of
                       the owner or driver of each of those motor vehicles in the use or
                       operation of the vehicle.
         7C   Presumption that motor accident is blameless
                       In proceedings on a claim for damages in respect of the death of
                       or injury to a person resulting from a motor accident, an averment
                       by the plaintiff that the motor accident was a blameless motor
                       accident is evidence of that fact in the absence of evidence to the
                       contrary.
         7D   Accident must occur in New South Wales after commencement
                       This Division applies only in respect of motor accidents that
                       occur in the State after the commencement of this Division.




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      7E    No coverage for driver who caused accident
             (1)   There is no entitlement to recover damages under this Division in
                   respect of the death of or injury to the driver of a motor vehicle if
                   the motor accident concerned was caused by an act or omission
                   of that driver.
             (2)   The death of or injury to the driver is taken to have been caused
                   by an act or omission of the driver for the purposes of subsection
                   (1) even if:
                    (a) the act or omission does not constitute fault by the driver
                         in the use or operation of the vehicle, or
                   (b) the act or omission was involuntary, or
                    (c) the act or omission was not the sole or primary cause of the
                         death or injury, or
                   (d) the act or omission would have caused the death or injury
                         but for the occurrence of a supervening act or omission of
                         another person or some other supervening event.
      7F    Contributory negligence
                   This Division does not prevent the reduction of damages by
                   reason of the contributory negligence of the deceased or injured
                   person.
                   Note. The contributory negligence of a deceased or injured child does
                   not reduce damages of the kind to which the special entitlement to
                   damages conferred by Division 2 applies. See section 7P.

      7G    Recovery of contribution from person actually at fault
                   A person whose liability for damages in respect of the death of or
                   injury to a person results from the person being deemed under
                   this Division to be a person whose fault caused the death or injury
                   is entitled to recover contribution in respect of that liability from
                   a person (whether or not the driver of a motor vehicle) whose
                   fault actually caused the death or injury.
      7H    No recovery by Nominal Defendant unless owner or driver actually
            at fault
                   The Nominal Defendant is not entitled to recover any amount
                   under section 39 from the owner or driver of a motor vehicle in
                   respect of amounts properly paid by the Nominal Defendant in
                   connection with the operation of this Division unless the motor
                   accident concerned was actually caused by the fault of the owner
                   or driver of the motor vehicle in the use or operation of the
                   vehicle.



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Schedule 1          Amendment of Motor Accidents Compensation Act 1999




         7I   Other entitlements not affected
                       This Division does not affect any entitlement to damages apart
                       from this Division.

      Division 2              No-fault recovery by children
         7J   Damages for children where driver not at fault
              (1)      If the death of or injury to a child results from a motor accident
                       not caused by the fault of the owner or driver of a motor vehicle
                       in the use or operation of the vehicle, the death or injury is, for
                       the purposes of the special entitlement to recover damages
                       conferred by this Division, deemed to have been caused by the
                       fault of the owner or driver of a motor vehicle in the use or
                       operation of the vehicle if the motor vehicle was involved in the
                       accident and has motor accident insurance cover for the accident.
                       Note. Section 3B defines what is meant by a motor vehicle having motor
                       accident insurance cover for a motor accident.
              (2)      If more than one motor vehicle involved in the motor accident has
                       motor accident insurance cover for the accident, the death or
                       injury is (for the purposes of that special entitlement) deemed to
                       have been caused by the fault of the owner or driver of each such
                       motor vehicle in the use or operation of the vehicle.
              (3)      The special entitlement to recover damages conferred by this
                       Division is an entitlement to recover damages for the following
                       in respect of the death of or injury to the child:
                        (a) hospital, medical and pharmaceutical expenses,
                       (b) rehabilitation expenses,
                        (c) respite care expenses,
                       (d) attendant care services expenses,
                        (e) funeral or cremation expenses.
              (4)      The special entitlement to recover damages for funeral or
                       cremation expenses is an entitlement to recover those damages
                       under the Compensation to Relatives Act 1897, but this Division
                       confers no other entitlement to recover damages under that Act.
              (5)      The motor accident must occur in the State after the
                       commencement of this Division and the child must be a resident
                       of the State at the time of the motor accident.
              (6)      In this Division:
                       child means a person who is under 16 years of age at the time of
                       the motor accident.



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      7K    Claims where child at fault
             (1)   This Division applies even if the death of or injury to the child
                   was caused by the fault of the child, except as provided by this
                   section.
             (2)   A court is not to award damages pursuant to this Division in
                   respect of the death of or injury to a child if the court is satisfied
                   that:
                    (a) the death of or injury to the child occurred at the time of,
                         or following, conduct of the child that, on the balance of
                         probabilities, constitutes a serious offence, and
                   (b) that conduct contributed materially to the death or injury or
                         to the risk of death or injury.
             (3)   A serious offence is an offence punishable by imprisonment for
                   6 months or more.
             (4)   This section operates whether or not the child whose conduct is
                   alleged to constitute an offence has been, will be or is capable of
                   being proceeded against or convicted of any offence concerned.
             (5)   There is to be no reduction of the damages provided for by this
                   Division by reason of the contributory negligence of the deceased
                   or injured person, except as provided by this section.
      7L    Special provision where child and driver at fault
                   In a case in which this Division would confer a special
                   entitlement to recover damages in respect of the death of or injury
                   to a child but for the fact that the motor accident was caused by
                   the fault of the owner or driver of the motor vehicle in the use or
                   operation of the vehicle, a liability for damages of the kind to
                   which that special entitlement relates (including any such
                   liability of an insurer under section 83 or 84) is not to be reduced
                   on account of the contributory negligence of the child (even
                   though this Division does not confer that special entitlement in
                   the case).
                   Note. The special entitlement to damages conferred by this Division is
                   only applicable where the owner/driver is not at fault. Where the
                   owner/driver is at fault, this section prevents a reduction in special
                   entitlement type damages that would otherwise result from the
                   contributory negligence of the child.

      7M    Recovery of contribution from person actually at fault
                   A person whose liability for damages in respect of the death of or
                   injury to a person results from the person being deemed under
                   this Division to be a person whose fault caused the death or injury



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Schedule 1          Amendment of Motor Accidents Compensation Act 1999




                       is entitled to recover contribution in respect of that liability from
                       a person (whether or not the driver of a motor vehicle) whose
                       fault actually caused the death or injury.
      7N      No recovery by Nominal Defendant unless owner or driver actually
              at fault
                       The Nominal Defendant is not entitled to recover any amount
                       under section 39 from the owner or driver of a motor vehicle in
                       respect of amounts properly paid by the Nominal Defendant in
                       connection with the operation of this Division unless the motor
                       accident concerned was actually caused by the fault of the owner
                       or driver of the motor vehicle in the use or operation of the
                       vehicle.
      7O      Other entitlements not affected
                       This Division does not affect any entitlement to damages apart
                       from this Division.
      7P      Relationship with Division 1
              (1)      This Division does not apply in a case to which Division 1
                       (Recovery for blameless accidents) applies, subject to
                       subsection (2).
              (2)      In a case in which this Division would confer a special
                       entitlement to recover damages in respect of the death of or injury
                       to a child but for the fact that the case is one to which Division 1
                       applies, a liability for damages arising under that Division of the
                       kind to which that special entitlement relates (including any such
                       liability of an insurer under section 83 or 84) is not to be reduced
                       on account of the contributory negligence of the child (despite
                       section 7F).
[8]   Section 14 Cancellation of third-party policies
      Omit section 14 (4). Insert instead:
              (4)      If the whole or any part of the premium payable in respect of a
                       third-party policy is paid by cheque or credit card, and the cheque
                       is not met on due presentation or the credit card transaction is not
                       duly honoured or is fraudulent, the licensed insurer may request
                       the RTA to suspend the registration of the motor vehicle to which
                       the policy relates for a period of 14 days.
             (4A)      If the insured person under a third-party policy deliberately
                       avoided paying the correct premium for the third-party policy by
                       making a statement in connection with the issue of the policy that
                       the insured person knew was false, the licensed insurer may


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Amendment of Motor Accidents Compensation Act 1999                         Schedule 1




                    request the RTA to suspend the registration of the motor vehicle
                    to which the policy relates for a period of 14 days.
             (4B)   A licensed insurer is not to request the RTA to suspend the
                    registration of a motor vehicle except with the prior approval in
                    writing of the Authority and is not to make such a request unless
                    the amount outstanding remains unpaid.
 [9]   Section 14 (5)
       Omit "will be cancelled". Insert instead "may be cancelled".
[10]   Section 14 (6)-(6C)
       Omit section 14 (6). Insert instead:
              (6)   The RTA must comply with a request by a licensed insurer under
                    this section to suspend the registration of a motor vehicle.
             (6A)   If the amount outstanding remains unpaid, the licensed insurer
                    may request the RTA before the end of the suspension period to
                    cancel the registration of the motor vehicle at the expiration of the
                    suspension period. A licensed insurer is not to request the RTA
                    to cancel the registration of a motor vehicle except with the prior
                    approval in writing of the Authority.
             (6B)   The RTA must comply with a request by a licensed insurer under
                    this section to cancel the registration of a motor vehicle.
             (6C)   The Authority may establish guidelines that provide for the
                    circumstances in which the Authority will or will not give its
                    approval to the making of a request for the suspension or
                    cancellation of the registration of a motor vehicle.
[11]   Section 14 (8) (a) (ii)
       Insert "or is fraudulent" after "not duly honoured".
[12]   Section 23A
       Insert after section 23:
       23A    Limit on insurer liability for single incident
              (1)   If the liability of a licensed insurer under a third-party policy in
                    respect of all claims arising from a single incident exceeds the
                    prescribed maximum amount, the insurer is entitled to be
                    indemnified by the Nominal Defendant for the amount by which
                    the insurer's liability exceeds that prescribed maximum amount.




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              (2)      The prescribed maximum amount is:
                       (a) $200 million, or
                       (b) such other amount as may be prescribed by the regulations
                             as the prescribed maximum amount for the purposes of this
                             section.
              (3)      A change to the prescribed maximum amount does not apply in
                       respect of a liability arising in connection with a motor accident
                       that occurs before the change takes effect.
              (4)      The Nominal Defendant is not personally liable to pay any
                       amount payable in satisfaction of the liability of the Nominal
                       Defendant to indemnify an insurer under this section, but every
                       such amount is to be paid by the Nominal Defendant out of the
                       Nominal Defendant's Fund established under Part 2.4.
[13]   Section 30 Maximum commission payable to insurers' agents
       Omit "4%" from section 30 (1).
       Insert instead "5% (or such other percentage as may be prescribed by the
       regulations)".
[14]   Section 33 Claim against Nominal Defendant where vehicle not insured
       Insert after section 33 (3):
             (3A)      If the motor accident resulting in the death of or injury to a person
                       occurred on land that is a road related area under the Road
                       Transport (Vehicle Registration) Act 1997 because it is an area
                       that is open to or used by the public for driving, riding or parking
                       vehicles, there is no right of action against the Nominal
                       Defendant under this section if at the time of the motor accident
                       the person was a trespasser on the land.
[15]   Section 33 (5)
       Omit the subsection. Insert instead:
              (5)      For the purposes of this section, and any regulations made for the
                       purposes of this section:
                       motor vehicle means a motor vehicle:
                       (a) that is exempt from registration, or
                       (b) that is not exempt from registration, is required to be
                             registered to enable its lawful use or operation on a road in
                             New South Wales and:
                              (i) was at the time of manufacture capable of
                                    registration, or



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                            (ii)   was at the time of manufacture, with minor
                                   adjustments, capable of registration, or
                           (iii)   was previously capable of registration but is no
                                   longer capable of registration because it has fallen
                                   into disrepair.
[16]   Section 34 Claim against Nominal Defendant where vehicle not identified
       Insert after section 34 (1):
            (1A)    If the motor accident resulting in the death of or injury to a person
                    occurred on land that is a road related area under the Road
                    Transport (Vehicle Registration) Act 1997 because it is an area
                    that is open to or used by the public for driving, riding or parking
                    vehicles, there is no right of action against the Nominal
                    Defendant under this section if at the time of the motor accident
                    the person was a trespasser on the land.
[17]   Section 40 Establishment of Nominal Defendant's Fund
       Omit "section 37" from section 40 (3) (a). Insert instead "section 23A or 37".
[18]   Section 43 Application of Chapter
       Omit the note to the section. Insert instead:
                    Note. This Chapter applies only if the injury was caused by a motor
                    accident for which the vehicle has motor accident insurance cover or that
                    gives rise to a work injury claim (except a work injury claim by a coal
                    miner). See section 3B.

[19]   Section 54 Bulk billing arrangements for hospital, ambulance and other
       expenses
       Omit "licensed insurers and" from section 54 (1).
[20]   Section 54 (2) and (2A)
       Omit section 54 (2). Insert instead:
              (2)   A bulk billing arrangement is an arrangement made with the
                    Minister for Health, service providers or others acting on their
                    behalf for the payment by the Authority of any such expenses of
                    injured persons at the rate provided by the arrangement.
            (2A)    A bulk billing arrangement may provide for the payments due by
                    the Authority under the arrangement to be paid by means of lump
                    sum payments to cover the payments due in respect of expenses
                    incurred during a specified period.




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[21]   Section 54 (3) (a)
       Omit the paragraph.
[22]   Section 59A
       Insert after section 59:
       59A   Protection of medical assessors
              (1)      A matter or thing done or omitted to be done by a medical
                       assessor under this Part in the exercise of the assessor's functions
                       does not, if the matter or thing was done or omitted in good faith,
                       subject the assessor personally to any action, liability, claim or
                       demand.
              (2)      A medical assessor is, in any legal proceedings, competent but
                       not compellable to give evidence or produce documents in
                       respect of any matter in which he or she was involved in the
                       course of the exercise of his or her functions as a medical
                       assessor.
              (3)      Any liability that would attach to a person were it not for the
                       operation of subsection (1) attaches instead to the Crown.
[23]   Section 67 Application of Chapter
       Omit the note to the section. Insert instead:
                       Note. This Chapter applies only if the vehicle has motor accident
                       insurance cover for the claim. See section 3B.

[24]   Section 122 Damages in respect of motor accidents
       Omit "The application of this Chapter in respect of coal miner work injury
       matters is limited by section 5A." from the note to the section.
       Insert instead "This Chapter applies only if the death or injury was caused by
       a motor accident for which the vehicle has motor accident insurance cover or
       that gives rise to a work injury claim (except a work injury claim by a coal
       miner). See section 3B.".
[25]   Section 148 Application of Chapter
       Omit the note to the section. Insert instead:
                       Note. This Chapter applies only if the vehicle has motor accident
                       insurance cover for the motor accident or the motor accident gives rise
                       to a work injury claim (except a work injury claim by a coal miner). See
                       section 3B.

[26]   Section 211 Definitions
       Omit the definition of premium income.



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[27]   Section 212 Motor Accidents Authority Fund
       Omit section 212 (2) (a). Insert instead:
                    (a) money contributed under this Part by persons to whom
                          third-party policies are issued,
[28]   Section 212 (3) (c1)
       Insert after section 212 (3) (c):
                     (c1) expenditure incurred by the Authority pursuant to any bulk
                            billing arrangement under section 54,
[29]   Section 213 Assessment by Authority of amount to be contributed to
       Fund
       Omit "from licensed insurers under this Part" from section 213 (c).
       Insert instead "under this Part from persons to whom third-party policies are
       issued".
[30]   Section 213 (d) and (e)
       Omit "by licensed insurers" wherever occurring.
       Insert instead "by persons to whom third-party policies are issued".
[31]   Sections 214-214C
       Omit section 214. Insert instead:
       214   Contributions to Fund by persons to whom third-party policies
             issued
             (1)    The amount determined under section 213 (d) as the total amount
                    to be contributed to the Fund under this Part in respect of a
                    financial year is to be contributed by the payment to the Authority
                    of a levy (the Fund levy) by persons to whom third-party policies
                    are issued during the financial year.
             (2)    The Fund levy is to be an amount determined by the Authority.
                    The Fund levy can be determined as a fixed amount or as a
                    percentage of the premium payable for a third-party policy, or as
                    a combination of a fixed amount and percentage of premium.
             (3)    A Fund levy can be determined to differ according to any
                    classification or other criteria for the determination of third-party
                    policy premiums as provided for by the MAA Premiums
                    Determination Guidelines under Part 2.3.
             (4)    The Authority is to notify each licensed insurer of the Fund levy
                    determined for a financial year.



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    214A     Payment and collection of Fund levy
             (1)      The Fund levy for a financial year is payable to the Authority by
                      each person to whom a third-party policy is issued during the
                      financial year and is to be collected, in conjunction with the
                      payment of the premium for the policy, on behalf of the Authority
                      by the insurer who issues the policy.
             (2)      A licensed insurer is not to issue a third-party policy to a person
                      unless the Fund levy payable by the person has been paid. Section
                      14 (Cancellation of third-party policies) applies in respect of the
                      Fund levy payable in connection with the issue of a third-party
                      policy in the same way as it applies in respect of the premium
                      payable for the policy.
             (3)      Fund levies collected by a licensed insurer are to be paid to the
                      Authority at the times and in accordance with such arrangements
                      as the Authority may notify to the insurer from time to time.
             (4)      If a payment required to be made by a licensed insurer has not
                      been paid as and when required under those arrangements:
                       (a) the insurer is guilty of an offence and liable to a penalty not
                             exceeding 100 penalty units, and
                      (b) the amount of the required payment together with interest
                             calculated at the rate of 15% per annum compounded
                             quarterly (or, where another rate is prescribed by the
                             regulations, that other rate) may be recovered from the
                             insurer as a debt due to the Authority.
             (5)      A certificate purporting to be signed by the Chief Executive
                      Officer of the Authority as to the amount of a payment required
                      to be made under this section by a licensed insurer specified in the
                      certificate and the due date for payment is admissible in
                      proceedings under this section and is evidence of the matters
                      specified in the certificate.
             (6)      The obligation of a licensed insurer to make a payment under this
                      section in respect of any period during which the person was a
                      licensed insurer does not cease merely because the person
                      subsequently ceases to be a licensed insurer.
    214B     Records relating to collection of Fund levies
             (1)      A licensed insurer must keep such accounting and other records
                      in relation to Fund levies collected by the insurer under this Part:
                       (a) as may be prescribed by the regulations, and
                      (b) subject to the regulations, as may be directed by the
                             Authority by notice served on the insurer.


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Amendment of Motor Accidents Compensation Act 1999                      Schedule 1




             (2)   The regulations may prescribe the manner in which collection of
                   Fund levies is to be accounted for in any such records.
             (3)   A licensed insurer must lodge with the Authority returns in
                   relation to Fund levies collected by the insurer under this Part in
                   such form, containing such particulars and accompanied by such
                   documents:
                    (a) as may be prescribed by the regulations, and
                   (b) subject to the regulations, as may be directed by the
                          Authority by notice served on the insurer.
             (4)   Returns must be lodged at such other times as may be prescribed
                   by the regulations or, subject to the regulations, at such times as
                   the Authority, by notice served on the insurer, directs.
             (5)   The Authority may require returns, and documents
                   accompanying returns, to be certified by an auditor or by an
                   actuary.
             (6)   A licensed insurer who contravenes any requirement imposed on
                   the insurer by or under this section is guilty of an offence.
                   Maximum penalty: 100 penalty units.
             (7)   The Authority may make publicly available a copy of any return,
                   and any documents accompanying a return, under this section.
    214C    Audit of Fund levy records
             (1)   The Authority may appoint an appropriately qualified person to
                   audit or inspect, and report to the Authority on, the accounting
                   and other records of a licensed insurer relating to Fund levies
                   collected by the insurer under this Part.
             (2)   A person so appointed is, for the purpose of exercising any
                   functions under this section, entitled to inspect relevant
                   accounting and other records of the licensed insurer.
             (3)   A licensed insurer must provide all reasonable assistance to
                   enable the exercise of those functions.
             (4)   A person must not wilfully obstruct or delay a person exercising
                   a function under this section.
             (5)   A person exercising functions under this section has qualified
                   privilege in proceedings for defamation in respect of any
                   statement that the person makes orally or in writing in the course
                   of the exercise of those functions.




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                Motor Accidents Compensation Amendment Bill 2006

Schedule 1       Amendment of Motor Accidents Compensation Act 1999




             (6)    A licensed insurer or another person who contravenes any
                    requirement imposed on the insurer or other person by or under
                    this section is guilty of an offence.
                    Maximum penalty: 100 penalty units.
[32]   Schedule 5 Savings, transitional and other provisions
       Insert at the end of clause 2 (1):
                     Motor Accidents Compensation Amendment Act 2006
[33]   Schedule 5, Part 5
       Insert at the end of the Schedule:

       Part 5       Provisions arising from the Motor
                    Accidents Compensation Amendment
                    Act 2006
       18    Definition
                    In this Part:
                    2006 amending Act means the Motor Accidents Compensation
                    Amendment Act 2006.
       19    Amendments concerning application of Act
                    An amendment made by the 2006 amending Act to Chapter 1 of
                    this Act does not apply in respect of a motor accident that occurs
                    before the commencement of the amendment.
       20    Suspension and cancellation of registration
                    An amendment made by the 2006 amending Act to section 14
                    extends to a third-party policy issued before the commencement
                    of the amendment.
       21    Cap on insurer liability
                    Section 23A does not apply in respect of a liability arising in
                    connection with a motor accident that occurs before the
                    commencement of that section.
       22    Nominal Defendant liability
                    An amendment made by the 2006 amending Act to section 33 or
                    34 does not apply in respect of a motor accident that occurs
                    before the commencement of the amendment.




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Amendment of Motor Accidents Compensation Act 1999                     Schedule 1




       23   Contributions to Fund
             (1)   On and from the commencement of the amendments made by the
                   2006 amending Act to Part 8.4, an amount received into the Fund
                   under that Part as an amount contributed by a licensed insurer is
                   taken to have been received as an amount collected by the insurer
                   on behalf of the Authority as Fund levy payable by persons to
                   whom third-party policies were issued by the insurer.
             (2)   Any amount payable by a licensed insurer as a contribution to the
                   Fund under Part 8.4 remains payable despite any amendment
                   made to that Part by the 2006 amending Act and a provision of
                   that Part that is amended by that Act continues to apply to and in
                   respect of such a liability that accrued before the commencement
                   of the amendment as if the amendment had not been made.




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               Motor Accidents Compensation Amendment Bill 2006


Schedule 2     Consequential amendments




Schedule 2            Consequential amendments
                                                                          (Section 4)

2.1 Road Transport (Vehicle Registration) Regulation 1998
[1]   Clause 42 Suspension or cancellation of registration
      Omit "third party insurance legislation," from clause 42 (1) (c).
[2]   Clause 42 (1) (d)
      Omit "(or a third party insurance premium submitted to an insurer)".

2.2 Workers Compensation Act 1987 No 70
      Section 151E Application--modified common law damages
      Omit "as described in section 3D of the Motor Accidents Act 1988 and
      section 5A of the Motor Accidents Compensation Act 1999" from the note to
      section 151E (2).
      Insert instead "see section 3D of the Motor Accidents Act 1988 and section 3B
      of the Motor Accidents Compensation Act 1999".

2.3 Workplace Injury Management and Workers Compensation
    Act 1998 No 86
      Section 250 Interpretation
      Omit "as described in section 3D of the Motor Accidents Act 1988 and
      section 5A of the Motor Accidents Compensation Act 1999" from the note to
      the definition of work injury damages in section 250 (1).
      Insert instead "see section 3D of the Motor Accidents Act 1988 and section 3B
      of the Motor Accidents Compensation Act 1999".




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