MOTOR VEHICLES ACT 1959 - SECT 124AB
MOTOR VEHICLES ACT 1959 - SECT 124AB
124AB—Recovery of an excess in certain cases
(1) Where an insured
person incurs a liability against which the insured person is insured under
this Part and the liability arises out of an accident which was to the extent
of more than 25 per cent the fault of the insured person, the insurer may
recover from the insured person as a debt—
(a) if
the money paid and costs incurred by the insurer in respect of the liability
do not exceed the prescribed amount—
(i)
the amount of that money paid and costs incurred; or
(ii)
if the amount to be recovered from the insured person is
received within 1 month following a first request for payment—95%
of the amount of that money paid and costs incurred; and
(b) if
the money paid and costs incurred by the insurer exceed the
prescribed amount—
(i)
the prescribed amount; or
(ii)
if the amount to be recovered from the insured person is
received within 1 month following a first request for payment—95%
of the prescribed amount.
(2) The insurer is not
entitled to recover an amount under subsection (1) if the insurer
exercises any other right of recovery against the insured person under this
Part.
(3) For the
purposes of this section, the "prescribed amount" is $460.
(4) The amount
prescribed by subsection (3) will be indexed so that it is adjusted on
1 January of each year, beginning on 1 January 2012, by
multiplying the stated amount by a proportion obtained by dividing the CPI for
the September quarter of the immediately preceding year by the CPI for the
September quarter 2010 (with the amount so adjusted being rounded up to the
nearest multiple of $10).
(5) A reference in
this section to the prescribed amount in connection with costs incurred and
money paid by the insurer in respect of a liability arising out of an accident
is a reference to the prescribed amount for the year in which the accident
occurred (having regard to any adjustment made to the prescribed amount as
required under subsection (4)).