Commonwealth Numbered Acts Commonwealth Numbered Acts(1) The Private Health Insurance (Insurer Obligations) Rules may establish prudential standards relating to * prudential matters for private health insurers.
(2) Prudential matters are matters relating to:
(a) the conduct by private health insurers of any of their affairs in such a way as:
(i) to keep themselves in a sound financial position; or
(ii) not to cause or promote instability in the Australian private health insurance system; or
(b) the conduct by private health insurers of any of their affairs with integrity, prudence and professional skill;
but does not include matters relating to the solvency or capital adequacy of * health benefits funds.
(3) A * prudential standard may impose different requirements to be complied with:
(a) by different classes of private health insurers; or
(b) in different situations; or
(c) in respect of different activities.
(4) A * prudential standard may provide for the Council to exercise powers and discretions under the standard, including but not limited to discretions to approve, impose, adjust or exclude specific prudential requirements in relation to a particular private health insurer or a particular class of private health insurers.
(5) A * prudential standard takes effect on the day on which it is established in the Private Health Insurance (Insurer Obligations) Rules, or on such later day as is specified in the Private Health Insurance (Insurer Obligations) Rules.