72Insurance product providers

#### 72 Insurance product providers (1) A leviable entity forms part of the insurance product providers sub‑sector in a financial year if: (a) the entity holds, at any time in the financial year, an Australian financial services licence that authorises the holder to deal in: (i) a general insurance product; or (ii) a life risk insurance product; or (iii) an investment life insurance product; and (b) either or both of the following applies: (i) the entity is a body of the kind mentioned in paragraph 3(2)(c) or (e) of the Australian Prudential Regulation Authority Act 1998; (ii) the entity has entered into an arrangement covered by subsection (2). (2) This subsection covers an arrangement if: (a) the arrangement is an intermediary authorisation (within the meaning of paragraph 911A(2)(b) of the Corporations Act 2001); and (b) the product provider mentioned in that paragraph does not hold an Australian financial services licence; and (c) the product provider: (i) is authorised by APRA to carry on an insurance business under section 12 of the Insurance Act 1973; or (ii) is authorised, or is a subsidiary of a body authorised, by APRA to be a non‑operating holding company of a general insurer under section 18 of the Insurance Act 1973; or (iii) is registered as a life company under the Life Insurance Act 1995; or (iv) is registered, or is a subsidiary of a body registered, as a non‑operating holding company of a life company under the Life Insurance Act 1995. Levy components (3) The amount of a leviable entity’s levy component in respect of the sub‑sector for the financial year is the sum of: (a) the minimum levy component for the sub‑sector; and (b) if the entity’s entity metric for the sub‑sector for the financial year exceeds the minimum levy threshold—the graduated levy component for the entity for the sub‑sector. > Note: For the graduated levy component, see section 10. Entity metric (4) The leviable entity’s entity metric for the sub‑sector for the financial year is the sum of: (a) to the extent subparagraph (1)(a)(i) applies: (i) the gross amount of premiums written in Australia and received in the financial year by the entity, while it carries on a general insurance business (less any reinsurance expenses incurred in the financial year); and (ii) the gross amount of premiums written in Australia and received in the financial year by a product provider mentioned in subsection (2), under offers covered by the entity’s Australian financial services licence, and while the product provider carries on a general insurance business (less any reinsurance expenses incurred in the financial year); and (b) to the extent subparagraph (1)(a)(ii) or (iii) applies: (i) the net amount of revenue received by the entity in the financial year for life insurance products (less any reinsurance expenses incurred in the financial year); and (ii) the net amount of revenue received by a product provider mentioned in subsection (2) in the financial year for life insurance products, under offers covered by the entity’s Australian financial services licence (less any reinsurance expenses incurred in the financial year). (5) The minimum levy component for the sub‑sector is $20,000. (6) The minimum levy threshold for the sub‑sector is $5,000,000.