Transition arrangementsTransition arrangements

Transition arrangements

41. Any approval, determination or other exercise of discretion by PHIAC under Schedule 3 – Capital Adequacy Standard (the PHIAC capital adequacy standard) of the Private Health Insurance (Health Benefits Fund Administration) Rules 2007 as they existed prior to 1 July 2015 will continue to have effect following 1 July 2015 as though exercised pursuant to a corresponding power under this Prudential Standard. In particular:
(a) a capital adequacy supervisory adjustment amount determined by PHIAC under subclause 12(1) of the PHIAC capital adequacy standard, and in force immediately before 1 July 2015, continues in effect as if determined under paragraph 27 of this Prudential Standard; and
(b) any methodology determined by PHIAC under paragraph (b) of the definition of premium income estimate in rule 3 of the Private Health Insurance (Health Benefits Fund Administration) Rules 2007, and in effect immediately before 1 July 2015, has effect as if determined by APRA under subparagraph (b) of the definition of premium income estimate in HPS 001.