30Entitlements to proceeds of contracts of insurance

#### 30 Entitlements to proceeds of contracts of insurance 30 Entitlements to proceeds of contracts of insurance > > (1) The regulations may make provision for or with respect to entitlements (during the winding up period of any liable entity) under or in relation to any contract of insurance or re-insurance of the entity entered into before that period (a relevant insurance contract) or to the proceeds of any such contract, including without limitation— > > > > > (a) the application of the proceeds of a relevant insurance contract (including, for example, the establishment of a regime for the application of the proceeds between claimants on a proportionate or other basis), and > > > > > (b) the conferral or extinguishment of rights (or the imposition or extinguishment of liabilities) in respect of a relevant insurance contract or the proceeds of such a contract, including (without limitation) rights or liabilities of any of the following— > > > > > > > (i) the payable claimants of the entity, > > > > > > > (ii) any other persons to whom a liable entity has incurred, or will incur, liabilities, > > > > > > > (iii) the liable entity itself, > > > > > > > (iv) the insurer. > > > (2) Without limiting subsection (1), the regulations may— > > > > > (a) declare that a right to the payment of the proceeds (or part of the proceeds) of a relevant insurance contract conferred on a person is a payable liability for the purposes of this Act, and > > > > > (b) provide that any specified provision of the Corporations Act or any other legislation applies for the purposes of this section with such modifications (if any) as may be prescribed by the regulations. > > > (3) For the avoidance of doubt, it is declared that any regulation made for the purposes of this section may, if the regulation so provides— > > > > > (a) take effect on a day that is earlier than the day on which the regulation is published in the Gazette, or > > > > > (b) apply to transactions, acts, things or other matters arising or occurring before its commencement. > > > (4) The Minister is not to recommend the making of a regulation for the purposes of this section unless the Minister has received the written concurrence of the SPF trustee to the making of the regulation. > > > (5) If regulations made for the purposes of this section apply with respect to entitlements under or in relation to any relevant insurance contract of a liable entity or to the proceeds of such a contract (as the case may be)— > > > > > (a) the entity is authorised and required to apply the proceeds of a relevant insurance contract only in the manner provided by the regulations, and > > > > > (b) the rights and liabilities of persons under the contract, or in relation to the proceeds of the contract, are subject to the provisions of the regulations. > > > (6) In the event of an inconsistency between the provisions of this section (including the regulations made under this section) and the provisions of an approved payment scheme under section 35, the provisions of this section prevail. > > > (6A) Nothing in this section (including any regulations made under this section) operates to prevent or limit the making of loan repayments under an authorised loan facility or the giving of directions by the SPF trustee under section 24 with respect to the facility or a relevant loan facility agreement. > > > (7) The provisions of this section (including the regulations made under this section) have effect despite— > > > > > (a) the provisions of any contract, arrangement or other agreement to the contrary, or > > > > > (b) any other law (whether written or unwritten), including, without limitation, the provisions of section 6 of the [Law Reform (Miscellaneous Provisions) Act 1946](/view/html/inforce/current/act-1946-033) and section 601AG of the Corporations Act. > > > (8) In this section— > > > > modification includes addition, exception, omission or substitution. > > > > proceeds of a relevant insurance contract means any amount that has been or is received (or that is receivable or may in the future be received) by a liable entity from an insurer in respect of a liability to a third party incurred by the liable entity (whether before or during the entity’s winding up period) for which the liable entity is or was insured under the relevant insurance contract. > > **s 30:** Am 2009 No 116, Sch 1 \[9\].