4Definitions

4 Definitions

In these Rules:

Act means the Private Health Insurance Act 2007.

Appointed Actuaries Standard means the standard set out in Schedule 2.

ASIC means the Australian Securities and Investments Commission.

associate has the same meaning as in clause 4 in Schedule 1 of the Financial Sector (Shareholdings) Act 1998.

board means the board of directors of a private health insurer or, if the insurer is not a company within the meaning of the Corporations Act 2001, the governing body of the insurer.

company means:

(a) a company within the meaning of the Corporations Act 2001; or
(b) a constitutional corporation.

corporate governance means a system by which an insurer is directed and controlled.

corporate group means each body corporate that is a related body corporate within the meaning given by section 50 of the Corporations Act 2001.

Corporations legislation has the meaning given by section 9 of the Corporations Act 2001.

Disclosure Standard means the standard set out in Schedule 3.

executive director, for a private health insurer, means a director who is:

(a) a member of management of the insurer; and
(b) an employee of the insurer.

financial condition report means a report on the financial condition of a private health insurer, including a report on the financial condition of each health benefits fund conducted by the insurer.

Governance Standard means the standard set out in Schedule 1.

independent director means a director of a private health insurer who:

(a) is not an executive director; and
(b) either:
(i) is free from any business or other association that could materially interfere with the exercise of his or her independent judgment, including not being:
(A) a substantial shareholder of the private health insurer or an officer of, or otherwise associated directly with, a substantial shareholder of the insurer; or
(B) employed by, or previously employed in an executive capacity by, the insurer or another member of the group, and has not ceased that employment at least 3 years before serving on the board of the insurer; or
(C) someone who has, within the last 3 years, been a principal of a material professional adviser or a material consultant to the insurer, another member of the group, or an employee materially associated with the service provided; or
(D) a material supplier or customer of the insurer or other group member, or an officer of, or otherwise associated directly or indirectly with, a material supplier or customer; or
(E) someone with a material contractual relationship with the insurer or another group member other than as a director; or
(ii) has been approved in writing as an independent director by the Council.