Motor Accident Injuries (Premiums and Administration) Regulation 2019

The MAI commission must consider the following matters before deciding to impose a financial penalty on a licensed insurer in relation to conduct of the insurer that constitutes a ground for financial penalty:

any adverse effect, or likely adverse effect, of the conduct on the insurer’s payment of any amount to which a person is entitled, including the payment of defined benefits or an award of damages to a person in a proceeding related to a motor accident claim;

any adverse effect, or likely adverse effect, of the conduct on a person’s recovery from a personal injury sustained as a result of a motor accident;

whether the insurer reported the conduct to the MAI commission;

any action taken by the insurer to—

investigate the nature and extent of the conduct; and

remediate the conduct; and

remove or mitigate the risk of similar conduct happening;

whether the conduct was caused, or likely to have been caused, by a failure of the insurer’s systems or procedures;

whether the insurer has contravened—

a direction given to the insurer under the Act, section 394G (Directions to licensed insurers—general) in relation to the conduct or any similar conduct; or

a direction given to the insurer under the Act, section 394I (Directions to licensed insurers—remediation plans) in relation to the conduct or any similar conduct; or

a remediation plan approved under the Act, section 394I (5) (a) in relation to the conduct or any similar conduct;

any effect, or likely effect, of the conduct on the insurer, including—

any adverse effect, or likely adverse effect, on public confidence in the insurer; and

any effect, or likely effect, on the operation of the insurer’s business as an MAI insurer; and

any financial implications, or likely financial implications, for the insurer;

any adverse effect, or likely adverse effect, of the conduct on competition between MAI insurers;

any adverse effect, or likely adverse effect, of the conduct on the operation of the Act;

any adverse effect, or likely adverse effect, of the conduct on public confidence in the operation of the Act;

any similar conduct, including—

whether the insurer reported the similar conduct to the MAI commission; and

any action taken by the insurer to—

investigate the nature and extent of the similar conduct; and

remediate the similar conduct; and

remove or mitigate the risk of further similar conduct happening;

any other matter the MAI commission considers relevant.

In this section:

similar conduct means any conduct of the licensed insurer that is the same as or similar to the conduct constituting the ground for financial penalty.

Schedule 1 MAI premium classes

(see s 14)

Part 1.1 Definitions

1.1 Definitions—sch 1

In this schedule:

ambulance means a motor vehicle built to transport sick or injured people.

breakdown vehicle means a tow truck within the meaning of the Road Transport (Vehicle Registration) Regulation 2000.

bus means a motor vehicle used to carry paying passengers but does not include the following:

a demand responsive service vehicle;

a taxi;

a private hire car;

a restricted hire car;

a rideshare vehicle;

a light rail vehicle.

car rental service means a business operating a fleet of 5 or more motor vehicles, under common ownership or management, for hire.

demand responsive service vehicle—see the Road Transport (Public Passenger Services) Act 2001, section 81.

drive-yourself vehicle—

means a motor vehicle let for hire, without the services of a driver, by a car rental service; but

does not include a motor vehicle let for hire under a lease or hirepurchase agreement.

firefighting vehicle means a motor vehicle used mainly for firefighting.

goods vehicle means a motor vehicle built mainly to transport goods.

GVM, of a vehicle––see the Road Transport (Vehicle Registration) Act 1999, dictionary.

hire car—see the Road Transport (Public Passenger Services) Act 2001, section 67.

historic vehicle—see the Duties Act 1999, section 217 (3).

implement—see the Road Transport (Vehicle Registration) Regulation 2000, dictionary.

input tax credit entitlement means an entitlement to an input tax credit for the MAI premium for an MAI policy.

miscellaneous vehicle means a tractor or implement but does not include a primary producer’s tractor.

mobile crane means a motor vehicle built mainly as a crane but does not include—

a breakdown vehicle; or

a tractor.

modified historic vehicle means a motor vehicle that—

was built at least 30 years ago; and

has been modified; and

if the vehicle had not been modified—would be classified as a veteran vehicle, vintage vehicle or historic vehicle.

Examples—modified historic vehicle

street rod or street machine vehicle

Examples—modified

1 vehicle’s suspension and wheel guards altered to accommodate tyres wider than original