Commonwealth Numbered Acts

SOCIAL SECURITY ACT 1991 No. 46, 1991 - SECT 1179

1179. (1) If:

   (a)  an insurer is liable, under a contract of insurance, to indemnify a
        compensation payer against any liability arising from a person's claim
        for compensation in respect of the person's lost earnings or lost
        capacity to earn; and

   (b)  the person receives or claims:

   (i)  an invalid pension; or

   (ii) a social security benefit; or

   (iii) a sheltered employment allowance; or

   (iv) a rehabilitation allowance that became payable in place of one of
        those; for the periodic payments period or the lump sum payment
        period; the Secretary may give written notice to the insurer that the
        Secretary proposes to recover the amount specified in the notice from
        the insurer.

(2) If an insurer is given notice under subsection (1), the insurer is liable
to pay to the Commonwealth the amount specified in the notice.

(3) The amount specified in the notice is the recoverable amount and is worked
out under subsections (4), (5) and (6).

(4) If the person claiming compensation is not a member of a couple, the
recoverable amount is equal to the smallest of the following amounts:

   (a)  the sum of the pension, benefit or allowance payments payable to the
        person for the periodic payments period or the lump sum payment
        period;

   (b)  the compensation part of the lump sum payment or the sum of the
        amounts of the periodic compensation payments;

   (c)  the maximum amount for which the insurer is liable to indemnify the
        compensation payer in relation to the matter at any time after
        receiving:

   (i)  a preliminary notice under section 1177 in relation to the matter; or

   (ii) if the insurer has not received a preliminary notice - the recovery
        notice under this section in relation to the matter.

(5) If:

   (a)  the person claiming compensation is a member of a couple; and

   (b)  the person's partner neither receives nor claims:

   (i)  an invalid pension; or

   (ii) a social security benefit; or

   (iii) a sheltered employment allowance; or

   (iv) a rehabilitation allowance payable in place of one of those; or

   (v)  a wife pension; or

   (vi) a carer pension because of caring for the person; for the periodic
        payments period or the lump sum payment period; the recoverable amount
        is equal to the smallest of the following amounts:

   (c)  the sum of the pension, benefit or allowance payments payable to the
        person for the periodic payments period or the lump sum payment
        period;

   (d)  the compensation part of the lump sum payment or the sum of the
        amounts of the periodic compensation payments;

   (e)  the maximum amount for which the insurer is liable to indemnify the
        compensation payer in relation to the matter at any time after
        receiving:

   (i)  a preliminary notice under section 1177 in relation to the matter; or

   (ii) if the insurer has not received a preliminary notice - the recovery
        notice under this section in relation to the matter.

(6) If:

   (a)  the person claiming compensation is a member of a couple; and

   (b)  the person's partner receives or claims:

   (i)  an invalid pension; or

   (ii) a social security benefit; or

   (iii) a sheltered employment allowance; or

   (iv) a rehabilitation allowance payable in place of one of those; or

   (v)  a wife pension; or

   (vi) a carer pension because of caring for the person; for the periodic
        payments period or the lump sum payment period; the recoverable amount
        is equal to the smallest of the following amounts:

   (c)  the sum of the pension, benefit or allowance payments payable to the
        person and to the person's partner for the periodic payments period or
        the lump sum payment period;

   (d)  the compensation part of the lump sum payment or the sum of the amount
        of the periodic compensation payments;

   (e)  the maximum amount for which the insurer is liable to indemnify the
        compensation payer in relation to the matter at any time after
        receiving:

   (i)  a preliminary notice under section 1177 in relation to the matter; or

   (ii) if the insurer has not received a preliminary notice - the recovery
        notice under this section in relation to the matter.

(7) A notice under this section must contain a statement of the effect of
section 1182 so far as it relates to a recovery notice.