(1)  The Commissioner may grant to any person a permit for the holding of any motor-vehicle race, and every such permit–

(a) shall specify the day and hours on and between which respectively, and the place in or upon which, the race may be held; and

(b) may impose such conditions as to the holding thereof as the Commissioner shall determine and specify in the permit.

(2)  If such permit is granted in respect of any public street within the meaning of the Traffic Act 1925 , the rate or speed of any motor-vehicle competing or taking part in any race to be held under the permit may, notwithstanding any law to the contrary, exceed, to the extent mentioned in the permit, the limit prescribed by such law.

(3)  Where the Commissioner grants a permit to a person under this section, that person shall pay to the Commissioner the prescribed fee.

(3A)  .  .  .  .  .  .  .  .  

(4)  No permit granted under this section authorising the holding of a motor-vehicle race is of any effect unless there is in force in relation to that race a policy of insurance that complies with the requirements of this section.

(5)  Subject to subsection (6) , in order to comply with the requirements of this section a policy of insurance must be a policy that –

(a) the Motor Accidents Insurance Board confirms is issued by an insurer, or arranged by a broker, authorised by the Australian Prudential Regulation Authority to provide, or renew, insurance in Australia; and

(b) provides for insurance covering liability in respect of any person taking part in the motor-vehicle race jointly and each of them severally (including liability for costs) that may be incurred by any such person, whether jointly with any other person or severally –

(i) in respect of the death or bodily injury to any person caused by or arising out of the use of a motor-vehicle which is competing or taking part in that motor-vehicle race; and

(ii) where the race takes place on any public road or thoroughfare, insurance covering damage or injury to any property other than a motor-vehicle competing or taking part in a race arising from such use.

(6)  A policy of insurance issued for the purposes of subsection (5) shall not be required to provide for–

(a) the payment by the insurer of any sum exceeding–

(i) the prescribed amount in respect of any claim in respect of the death of, or bodily injury to, any one person; or

(ii) the prescribed amount in respect of all claims arising out of the same crash in respect of the death of, or bodily injury to, more persons than one; or

(iii) the prescribed amount in respect of all claims arising out of the same crash in respect of damage or injury to property; or

(b) any contractual liability–

but shall provide for the payment of funeral expenses of any person dying as the result of any crash to which the policy relates.

(7)  Notwithstanding any other law or rule of law to the contrary, an insurer who issues a policy of insurance under or for the purposes of this section is liable to indemnify any person taking part in the motor-vehicle race, and, on his death, his personal representatives, in respect of any liability incurred by that person which the policy purports to cover.

(8)  Section 2 (3) of the Motor Accidents (Liabilities and Compensation) Act 1973 has effect in relation to this section as it has effect in relation to that Act.

(9)  The Motor Accidents Insurance Board is not liable for any action, liability, claim or demand in respect of any act or omission done in good faith under subsection (5) .