Corporations Regulations 2001
View history note
Hide history note[ CCH Note: Pursuant to the Corporations Amendment Regulations 2001 (No 4) (SR 2001 No 319) effective 11 March 2002, Chapter 7 (Securities) comprising reg 7.1.01 - 7.15.01 and Chapter 8 (The futures industry) comprising reg 8.1.01 - 8.7.03 are replaced by a new Chapter 7 (Financial services and markets) comprising reg 7.1.01 - 7.12.01. As the subject matter of the new Chapter 7 relates to the new financial services reform regime, " inserted " has been used in the history notes for each provision, and all references to the former provisions have been removed.]
Note: Regulations 7.7A.01 to 7.7A.04 are reserved for future use.
Giving information in relation to life risk insurance products
7.7A.11B(1)
A benefit given to a financial services licensee, or a representative of a financial services licensee, is conflicted remuneration if:
(a) the benefit is given to the licensee or representative in relation to information given to a person, or persons, in relation to a life risk insurance product, or life risk insurance products; and
(b) access to the benefit, or the value of the benefit, is dependent on:
(i) the value of a life risk insurance product, or life risk insurance products, subsequently acquired by a person or persons to whom, or in relation to whom, the information is given; or
(ii) the value of a life risk insurance product, or life risk insurance products, subsequently varied that are held by a person or persons to whom, or in relation to whom, the information is given; or
(iii) the number of life risk insurance products subsequently acquired by a person or persons to whom, or in relation to whom, the information is given; or
(iv) the number of life risk insurance products subsequently varied that are held by a person or persons to whom, or in relation to whom, the information is given; and
(c) the information is not given in the course of, or as a result of, the licensee or representative, or an associate of the licensee or representative, providing financial product advice; and
(d) if the information is given in the course of providing a financial product - the information is not given in the course of providing that product to a person as a wholesale client, or to persons as wholesale clients.
Dealing in life risk insurance products
7.7A.11B(2)
A benefit given to a financial services licensee, or a representative of a financial services licensee, is conflicted remuneration if:
(a) the benefit is given to the licensee or representative in relation to a dealing in a life risk insurance product with a person as a retail client, or dealings in life risk insurance products with persons as retail clients; and
(b) access to the benefit, or the value of the benefit, is dependent on:
(i) the value of the life risk insurance product to which the dealing relates, or the life risk insurance products to which the dealings relate; or
(ii) the number of life risk insurance products to which the dealings relate; and
(c) the dealing, or dealings, do not occur in the course of, or as a result of, the licensee or representative, or an associate of the licensee or representative:
(i) providing financial product advice; or
(ii) giving information in circumstances in which the benefit would be conflicted remuneration under subregulation (1).
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