389Suspended insurer selected after suspension

389 Suspended insurer selected after suspension (1) If a suspended insurer is selected under part 6.4 (Selecting an MAI insurer) to be the MAI insurer for an MAI policy, the MAI commissioner must allocate another insurer under subsection (3) or (4) to be the MAI insurer for the MAI policy. (2) The MAI commission— (a) must consult with the remaining licensed insurers about their capacity to underwrite the suspended insurer’s MAI policies; and (b) may consult with any insurer the MAI commission considers may be appropriate to become a licensed insurer; and (c) must have regard to the result of any consultation with APRA relevant to the matter. (3) The MAI commission must randomly allocate the MAI policies to the remaining licensed insurers in proportion to their shares of the market for MAI insurance. (4) However, the MAI commission must not allocate MAI policies, if— (a) the MAI commission decides that the remaining licensed insurers do not have capacity to underwrite the MAI policies; or (b) an insurer mentioned in subsection (2) (b) becomes a licensed

Part 7.6 MAI insurer licences— occupational discipline 390 Meaning of licensed insurer—pt 7.6 391 MAI commission may choose occupational discipline instead of prosecution In regulating the operation of licensed insurers, the MAI commission may, but need not, choose to apply to the ACAT for an occupational discipline order in relation to licensed insurers rather than pursuing a prosecution under this Act if the MAI commission believes on reasonable grounds it would be in the public interest to do so. Note The MAI commission may apply to the ACAT under s 393.