Medical and Midwife Indemnity Legislation Amendment Act 2019 (105 of 2019)
Schedule 1 Competitive advantage payment and UMP support payment
Part 2 Amendments
Medical Indemnity Act 2002
21 At the end of Division 1 of Part 2
Add:
Subdivision G - IBNR exposure
27C Process for annually reassessing IBNR exposure
Report by the Actuary
(1) For each financial year, the Actuary must give the Minister a written report that:
(a) states the Actuary's assessment of the participating MDO's IBNR exposure as at the end of the financial year; and
(b) sets out the reasons for the assessment.
(2) In preparing the report, the Actuary must take into account any information that the Chief Executive Medicare gives the Actuary in relation to the participating MDO under subsection (6).
Chief Executive Medicare's information gathering powers
(3) If the Chief Executive Medicare believes on reasonable grounds that the participating MDO is capable of giving information that is relevant to assessing the participating MDO's IBNR exposure as at the end of a financial year, the Chief Executive Medicare may request the participating MDO to give the Chief Executive Medicare the information.
Note: Failure to comply with the request is an offence (see section 45).
(4) Without limiting subsection (3), the kind of information that may be requested includes information in the form of:
(a) financial statements; and
(b) a report prepared by a suitably qualified actuary assessing the participating MDO's IBNR exposure as at the end of a financial year.
(5) The request:
(a) must be made in writing; and
(b) must state what information the participating MDO is to give to the Chief Executive Medicare; and
(c) may require the information to be verified by statutory declaration; and
(d) must specify the day on or before which the information must be given; and
(e) must contain a statement to the effect that a failure to comply with the request is an offence.
The day specified under paragraph (d) must be at least 28 days after the day on which the request is made.
(6) The Chief Executive Medicare must give any information that the participating MDO gives the Chief Executive Medicare to the Actuary for the purposes of preparing the report for the Minister under subsection (1).