Victorian Consolidated Legislation

Metropolitan Fire Brigades Act 1958 - SECT 40

Returns of premiums

40. Returns of premiums



(1) Each insurance company must before 15 August in each year lodge with the
Board a return in the prescribed form showing the portion of the total amount
of the gross premiums received by or due to the insurance company during the
preceding financial year as is properly attributable to insurance against fire
in respect of property situated in the metropolitan district.



(1A) The Victorian Managed Insurance Authority must lodge a return under
subsection (1) in respect of gross premiums referred to in that subsection
received or due to the Victorian Managed Insurance Authority from a relevant
body.

(1B) For the purposes of subsection (1A)-

exempt participating body means a participating body within the meaning of
paragraph (a) or (b) of the definition of relevant body which is a
participating body of the kind specified in paragraph (c)(i) of the definition
of participating body in section 3 of the
Victorian Managed Insurance Authority Act 1996; relevant body means-

   (a)  a statutory authority or a body corporate declared to be a
        participating body under section 4(1)(b) or 4(1)(c) of the
        Victorian Managed Insurance Authority Act 1996; or

   (b)  a person or body provided with insurance by the Victorian Managed
        Insurance Authority under a direction given under section 25A of the
        Victorian Managed Insurance Authority Act 1996 which is insurance of a
        type that is subject to a contribution under this Act- which is not an
        exempt participating body; Victorian Managed Insurance Authority means
        the Victorian Managed Insurance Authority established under section 5
        of the Victorian Managed Insurance Authority Act 1996.

(2) The gross premiums shown in the return must-

   (a)  include any commissions or discounts;

   (b)  include a notional premium for deductibles of $10 000 or more
        calculated in accordance with the prescribed formula;

   (c)  exclude any amounts received or due to the insurance company in
        respect of re-insurance contracts or agreements.

(2A) If subsection (2)(b) applies, the return must include the prescribed
details in the manner and form prescribed for the purposes of this subsection.

(3) The return must include a statutory declaration made by the manager,
secretary, agent or other person for the time being performing the duties of
the manager, secretary or agent of the company to the effect that according to
the books of the company and to the best of his or her knowledge and belief
the return contains a true statement of the amount of gross premiums.

(4) The statutory declaration made under subsection (3) must include a
statement as to the amount collected by the insurance company as being on
account of a fire service levy however described in any policy document,
certificate of insurance, renewal notice or premium invoice.

(5) For the purposes of this section, the return must include as a discount
any reduction in gross premiums as a result of the use of net rating in
relevant policies of insurance against fire issued by the insurance company.

(6) In subsection (5), net rating means any practice or device adopted by an
insurance company involving the waiving of commission or brokerage by an
insurance intermediary which has the effect of reducing the premium payable to
the insurance company.