Queensland Consolidated Acts

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MOTOR ACCIDENT INSURANCE ACT 1994 - SECT 13A

Premium rates

13A Premium rates

(1) This section describes the process for setting the insurer’s premiums, under section 13 (1) , for each assessment period.
(2) The commission first fixes limits of insurer’s premium for each class of CTP insurance.
(3) The limits consist of a floor amount (below which the premium can not be set) and a ceiling amount (above which the premium can not be set).
(4) Before the commission fixes the limits, the commission must invite written submissions from—
(a) licensed insurers on matters relevant to the fixing of the limits and, in particular, on—
(i) current factors and trends influencing the cost of insurance under the statutory insurance scheme; and
(ii) any other factors that should, in the opinion of the insurers, influence the permissible range of insurers’ premiums for the assessment period; and
(b) major organisations representing motorists in Queensland.
(5) The commission must at least once in each year obtain an actuarial analysis of the statutory insurance scheme and, at least once in each quarter, obtain an actuarial review of current trends that could affect the financial soundness of the scheme.
(6) After considering the financial soundness of the statutory insurance scheme in the light of the most recent actuarial analysis and quarterly review obtained under subsection (5) , the submissions made in response to the commission’s invitations and other material the commission considers relevant, the commission must—
(a) fix the limits of insurer’s premium for each class of CTP insurance; and
(b) give each licensed insurer a written notice—
(i) stating the limits fixed for each class of CTP insurance; and
(ii) requiring the insurer to submit its insurer’s premiums for each class of CTP insurance for the relevant assessment period on or before a date stated in the notice; and
(iii) specifying other requirements with which the insurer’s submission must comply.
(7) The premiums must be submitted in accordance with requirements specified in the notice within a time limit fixed under a regulation.
(8) Each licensed insurer must give the commission written notice of the premiums set by the insurer on or before the date stated in the commission’s notice.
(9) On receipt of the notice from the insurer, the commission must, within a time limit fixed by a regulation—
(a) record the premiums set by the insurer for the relevant assessment period for each class of CTP insurance; and
(b) give the insurer a written notice confirming the insurer’s insurance premiums for the relevant assessment period; and
(c) notify transport administration of each insurer’s insurance premiums for the relevant assessment period.
(10) If a licensed insurer—
(a) fails to submit premiums for each class of CTP insurance as required by the commission; or
(b) sets a premium outside the limits allowed by the commission;
the commission may, by written notice to the insurer, withdraw the insurer’s licence.



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