19Brokers not to carry on business unless registered

##### 19 Brokers not to carry on business unless registered (1) A person (whether an individual or a corporation) shall not, after the expiration of 6 months after the commencement of this Part, carry on business as an insurance broker, whether alone or in partnership, in relation to life insurance business or general insurance business: (a) unless the person is registered under this Part in respect of life insurance business or general insurance business, as the case may be; and (b) if there are liabilities prescribed for the purposes of this paragraph—unless there is in force an acceptable contract of professional indemnity insurance within the meaning of section 9B; and (c) if the person carries on business as an insurance broker in relation to a class of general insurance business that, under the regulations, is domestic or personal insurance business and there is in force an arrangement, approved by ASIC, for dealing with complaints against persons carrying on business as insurance brokers in relation to that class of general insurance business—unless the person is a party to the arrangement. > Note: Subsection 4B(2) of the Crimes Act 1914 allows a court to impose an appropriate fine instead of, or in addition to, a term of imprisonment. If a body corporate is convicted of an offence, subsection 4B(3) of that Act allows a court to impose a fine of an amount that is not greater than 5 times the maximum fine that could be imposed by a court on an individual convicted of the same offence. Penalty: Imprisonment for 2 years. (2) A person may be registered in respect of both life insurance business and general insurance business. (3) ASIC may, by notice in writing served on the registered insurance broker concerned, declare that a contract specified in the notice is no longer an acceptable contract of professional indemnity insurance for the purposes of paragraph 19(1)(b). (4) A notice served under subsection (3) has effect on a day specified in the notice, being a day not less than 21 days after service of the notice.