54CResidential building insurance

54C Residential building insurance Residential building insurance is insurance, or a similar kind of indemnity, that indemnifies the beneficiary of the residential building insurance against financial loss incurred in relation to prescribed residential building work because: (a) a residential builder has failed to complete the work or has contravened a consumer guarantee; and (b) any of the following events has occurred: (i) the builder has died, disappeared or become bankrupt or insolvent; (ii) the builder's registration has ceased for a reason specified by regulation. 54CA Approval of insurers The Minister may, by Gazette notice, approve any of the following to issue authorised RBI policies: (a) a body corporate authorised under the Insurance Act 1973 (Cth) to carry on insurance business; (b) a person entitled under a law in force in the Territory to carry on business in connection with providing residential building insurance. 54CB Authorised RBI policy (1) An authorised RBI policy is a policy or another form of agreement: (a) under which an approved insurer provides residential building insurance: (i) in accordance with this Division, regulations made under this Division and the directions of the Minister under section 54CG; and (ii) for the period prescribed by regulation; and (b) under which the whole of the premium payable for the period prescribed under paragraph (a)(ii) has been paid; and (c) in the form approved in writing by the Minister.

Building Act 1993 59 (2) An approved insurer must not represent that an insurance policy or another form of agreement issued, or to be issued, by the insurer is an authorised RBI policy if the insurer knows it is not an authorised RBI policy. Maximum penalty: 250 penalty units. 54CC Provisions of authorised RBI policy (1) Subject to section 54CB(1), an approved insurer: (a) must specify in an authorised RBI policy the provisions required by regulation; and (b) may specify in the policy: (i) the provisions the insurer considers appropriate for the policy; and (ii) the premium payable by a residential builder under the policy. (2) An authorised RBI policy must provide for cover of a minimum amount as prescribed by regulation. (3) The approved insurer must submit to the Minister, for the Minister's approval, the general form and provisions for each type of policy the insurer intends to issue for providing residential building insurance. (4) An authorised RBI policy that contains a provision not approved by the Minister: (a) is not invalid only for that reason; but (b) the provision has no effect. (5) An authorised RBI policy that contains a provision that is inconsistent with this Act, the Regulations or a direction of the Minister under section 54G: (a) is not invalid only for that reason; but (b) is of no effect to the extent of the inconsistency. 54CD RBI policy document (1) When an approved insurer issues an authorised RBI policy, the insurer must give an RBI policy document to the residential builder who will be carrying out the prescribed residential building work covered by the policy.