406Annual assessment of tail claims liabilities and adjustment of payments

406 Annual assessment of tail claims liabilities and adjustment of payments (1) The Authority must ensure that an actuary appointed by the Authority undertakes an assessment of the tail claims liabilities of an employer assumed by the Authority under section 403 as at the end of each year during the liability period. (2) The Authority must give notice in writing to the employer stating the amount of liability assessed under subsection (1). (3) If the revised assessment of the tail claims liabilities as at the end of the third year of the liability period exceeds the initial assessment of the tail claims liabilities, the employer must pay the difference to the Authority. (4) If the revised assessment of the tail claims liabilities as at the end of the third year of the liability period is less than the initial assessment of the tail claims liabilities, the Authority must pay the difference to the employer. (5) If the revised assessment of the tail claims liabilities as at the end of the sixth year of the liability period exceeds the revised assessment of the tail claims liabilities as assessed at the end of the third year of the liability period, the employer must pay the difference to the Authority. (6) If the revised assessment of the tail claims liabilities as at the end of the sixth year of the liability period is less than the revised assessment of the tail claims liabilities as assessed at the end of the third year of the liability period, the Authority must pay the difference to the employer. (7) If the employer is required under subsection (3) or (5) to pay an amount as a result of a revised assessment, the employer must pay the amount within— (a) 28 days of receiving notice of the revised assessment from the Authority; or (b) any further period as may be agreed between the Authority and the employer. (8) If the amount is not paid to the Authority in accordance with subsection (7), the amount together with interest at the prescribed rate is a debt due to the Authority. (9) In this section, ***liability period*** means the period of 6 years commencing from the exit date as defined in section 403.