11Application of prudential standards during transition period

11 Application of prudential standards during transition period

(1) For item 11 of Schedule 2 to the Reform Act, this regulation applies to a body corporate that, within 14 days before commencement: (a) was authorised under the old Act to carry on insurance business; or (b) had been granted an exemption under section 37 of the old Act. (2) APRA may, on application by the body corporate, make a declaration in accordance with this regulation that applies to the body corporate for a specified period (the exemption period) in the transition period. (3) APRA may make a declaration only if APRA is satisfied that the consequences of the body corporate being required to comply with the standard or provision in the exemption period would be unreasonable. (4) A prudential standard or a provision of a prudential standard specified by a declaration does not apply to the body corporate during the exemption period. (5) For subregulation (2), an application must: (a) be in writing; and (b) state: (i) that it is made for this regulation; and (ii) the standard or provision for which the application is made; and (iii) the reasons for the application. (6) APRA may withdraw a declaration if it ceases to be satisfied about the matter mentioned in subregulation (3). (7) A declaration or a withdrawal of a declaration must: (a) be in writing; and (b) be given to the body corporate. (8) In this regulation:

commencement has the same meaning as in item 1 of Schedule 2 to the Reform Act.

old Act has the same meaning as in item 1 of Schedule 2 to the Reform Act.

Reform Act means the General Insurance Reform Act 2001.

transition period has the same meaning as in item 1 of Schedule 2 to the Reform Act.