Motor Accidents Compensation Act 1999 No 41
Current version for 1 August 2012 to date (accessed 23 May 2013 at 16:07)
Chapter 8

Chapter 8 Administration

Part 8.1 Motor Accidents Authority

Division 1 Constitution of Authority

198   Constitution of Authority

(cf s 83 MAA)

(1)  There is constituted by this Act a corporation with the corporate name of the Motor Accidents Authority of New South Wales.
(2)  The Authority is, for the purposes of any Act, a statutory body representing the Crown.

199–201   (Repealed)

Division 2 Management of Authority

202   The Minister

(cf s 88 MAA)

(1)  If the Minister is satisfied that it is desirable in the public interest to do so, the Minister may, by notice in writing to the Board or the Chief Executive Officer, give directions to the Board or Chief Executive Officer with respect to the exercise of their respective functions under this or any other Act to the extent they relate to the Authority.
(2)  The Board and the Chief Executive Officer must comply with any direction given under this section by the Minister to the Board or Chief Executive Officer, as the case requires.
(3)  The Authority must include in its annual report particulars of each direction given under this section during the year to which the report relates.
(4)  Except as provided by this or any other section of this Act, the Board and the Chief Executive Officer are not, in the exercise of their respective functions under this or any other Act to the extent they relate to the Authority, subject to the control and direction of the Minister.
Note. See also the Safety, Return to Work and Support Board Act 2012 which includes other provisions relating to the management of the Authority.

203, 204   (Repealed)

205   Delegation of functions

(cf s 96 MAA)

(1)  The Authority may delegate to an authorised person any of the functions of the Authority (other than this power of delegation).
(2)  A delegate may sub-delegate to an authorised person any function delegated by the Authority if the delegate is authorised in writing to do so by the Authority.
(3)  In this section:

authorised person means:

(a)  a member of staff of the Authority, or
(b)  a person of a class prescribed by the regulations or of a class approved by the Board.

Division 3 Functions of Authority

206   Functions of Authority

(cf ss 36, 90 MAA)

(1)  The Authority has such functions as are conferred or imposed on it by or under this or any other Act.
Note. The Authority has, for example, functions conferred under Chapter 2 in connection with third-party insurance and as the Nominal Defendant and Chapter 7 in connection with the licensing and control of insurers.
(2)  The Authority also has the following functions:
(a)  to monitor the operation of the motor accidents scheme under this Act, and in particular to conduct (or arrange for other persons to conduct) research into and to collect statistics or other information on the level of damages awarded by the courts, the handling of claims by insurers and other matters relating to that scheme,
(b)  to advise the Minister as to the administration, efficiency and effectiveness of that scheme,
(c)  to publicise and disseminate information concerning that scheme,
(d)  to issue and keep under review relevant guidelines under this Act,
(e)  to provide an advisory service to assist claimants in connection with the claims assessment procedure under this Act,
(f)  to provide funding for:
(i)  measures for preventing or minimising injuries from motor accidents, and
(ii)  safety education.
(g), (h)  (Repealed)
(3)  The Authority has the following functions in relation to the provision of acute care, treatment, rehabilitation, long term support and other services for persons injured in motor accidents:
(a)  to monitor those services,
(b)  to provide support and funding for programs that will assist effective injury management,
(c)  to provide support and funding for research and education in connection with those services that will assist effective injury management,
(d)  to develop and support education programs in connection with effective injury management.
(4)  (Repealed)
(5)  The Authority cannot employ any staff.
Note. Staff may be employed under Chapter 1A of the Public Sector Employment and Management Act 2002 in the Government Service to enable the Authority to exercise its functions. Under section 4K of that Act, a reference in this Act to a member of staff of the Authority is a reference to staff so employed or to persons of whose services the Authority makes use.

Parts 8.2, 8.3

207–210(Repealed)

Part 8.4 Financial provisions

211   Definitions

(cf s 92 MAA)

In this Part:

financial year means a year commencing on 1 July.

Fund means the Motor Accidents Authority Fund established under this Part.

relevant period—see section 213 (2).

212   Motor Accidents Authority Fund

(cf s 93 MAA)

(1)  There is established a fund, to be known as the Motor Accidents Authority Fund, belonging to and vested in the Authority.
(2)  The following is to be paid into the Fund:
(a)  money contributed under this Part by persons to whom third-party policies are issued,
(b)  the interest from time to time accruing from the investment of the Fund,
(c)  money required to be paid into the Fund by or under this or any other Act,
(d)  all other money received by the Authority and not otherwise appropriated.
(3)  The following is to be paid from the Fund:
(a)  the remuneration, allowances, office accommodation and other associated costs of the Chief Executive Officer, the Board and members of staff of the Authority, being an amount determined by the Chief Executive Officer on a proportionate basis in respect of the various relevant authorities within the meaning of the Safety, Return to Work and Support Board Act 2012,
(b)  (Repealed)
(c)  expenditure incurred by the Authority in the provision of services under Part 3.4 (Medical assessment) and Part 4.4 (Claims assessment and resolution),
(c1)  expenditure incurred by the Authority pursuant to any bulk billing arrangement under section 54,
(c2)  expenditure incurred by the Authority pursuant to any arrangements under section 215A (Payment of workers compensation indemnity on behalf of insurers),
(d)  all payments required to meet expenditure incurred in relation to the functions of the Authority, where money is not otherwise provided for that purpose,
(e)  all other money required by or under this or any other Act to be paid from the Fund.
(4)  The Authority may invest money in the Fund which is not immediately required for the purposes of the Fund:
(a)  in such manner as may be authorised by the Public Authorities (Financial Arrangements) Act 1987, or
(b)  if that Act does not confer power on the Authority to invest money in the Fund—in any other manner approved by the Minister with the concurrence of the Treasurer.

213   Assessment by Authority of amount to be contributed to Fund

(1)  The Authority is required, as soon as practicable in respect of each relevant period:
(a)  to make an estimate of the total of the amounts to be paid from the Fund during that relevant period, and
(b)  to determine what amounts, if any, are to be set aside as provisions to meet expenditure from the Fund in future periods, and specify for what purpose each such amount is being set aside, and
(c)  to make an estimate of the total amounts (including the amounts already received) to be received into the Fund during that relevant period otherwise than by way of contributions in respect of that relevant period under this Part from persons to whom third-party policies are issued, and
(d)  to determine the total amount to be contributed to the Fund under this Part in respect of that relevant period by persons to whom third-party policies are issued after having regard to the amounts likely to be standing to the credit of the Fund at the beginning of the period, including any amounts set aside in earlier periods as provisions to meet expenditure in later periods, and the amounts estimated under paragraph (c) to be received into the Fund during the relevant period, and
(e)  to specify in writing the estimates, provisions and amounts to be contributed to the Fund by persons to whom third-party policies are issued.
(2)  A relevant period is a financial year or such other period as the Authority determines from time to time to be a relevant period for the purposes of this section. Relevant periods can be determined so as to overlap but there must be no gap between successive relevant periods and each relevant period must not be longer than 12 months.

214   Contributions to Fund by persons to whom third-party policies issued

(1)  The amount determined under section 213 (d) as the total amount to be contributed to the Fund under this Part in respect of a relevant period is to be contributed by the payment to the Authority of a levy (the Fund levy) by persons to whom third-party policies are issued during the relevant period.
(2)  The Fund levy is to be an amount determined by the Authority. The Fund levy can be determined as a fixed amount or as a percentage of the premium payable for a third-party policy, or as a combination of a fixed amount and percentage of premium.
(3)  A Fund levy can be determined to differ according to any classification or other criteria for the determination of third-party policy premiums as provided for by the MAA Premiums Determination Guidelines under Part 2.3.
(4)  The Authority is to notify each licensed insurer of the Fund levy determined for a relevant period.

214A   Payment and collection of Fund levy

(1)  The Fund levy for a relevant period is payable to the Authority by each person to whom a third-party policy is issued during the relevant period and is to be collected, in conjunction with the payment of the premium for the policy, on behalf of the Authority by the insurer who issues the policy.
(2)  A licensed insurer is not to issue a third-party policy to a person unless the Fund levy payable by the person has been paid. Section 14 (Cancellation of third-party policies) applies in respect of the Fund levy payable in connection with the issue of a third-party policy in the same way as it applies in respect of the premium payable for the policy.
(3)  Fund levies collected by a licensed insurer are to be paid to the Authority at the times and in accordance with such arrangements as the Authority may notify to the insurer from time to time.
(4)  If a payment required to be made by a licensed insurer has not been paid as and when required under those arrangements:
(a)  the insurer is guilty of an offence and liable to a penalty not exceeding 100 penalty units, and
(b)  the amount of the required payment together with interest calculated at the rate of 15% per annum compounded quarterly (or, where another rate is prescribed by the regulations, that other rate) may be recovered from the insurer as a debt due to the Authority.
(5)  A certificate purporting to be signed by the Chief Executive Officer as to the amount of a payment required to be made under this section by a licensed insurer specified in the certificate and the due date for payment is admissible in proceedings under this section and is evidence of the matters specified in the certificate.
(6)  The obligation of a licensed insurer to make a payment under this section in respect of any period during which the person was a licensed insurer does not cease merely because the person subsequently ceases to be a licensed insurer.

214AA   Refund of Fund levy

(1)  The Fund levy is to be refunded, on a pro rata basis, to any person to whom a third-party policy was issued if the policy is cancelled on the cancellation of the registration of the motor vehicle to which it relates (except where the registration is cancelled under Division 3 of Part 4 of the Fines Act 1996).
(2)  The Authority may give directions or issue guidelines to licensed insurers with respect to the administrative arrangements of licensed insurers for payment of refunds under this section.

214B   Records relating to collection of Fund levies

(1)  A licensed insurer must keep such accounting and other records in relation to Fund levies collected by the insurer under this Part:
(a)  as may be prescribed by the regulations, and
(b)  subject to the regulations, as may be directed by the Authority by notice served on the insurer.
(2)  The regulations may prescribe the manner in which collection of Fund levies is to be accounted for in any such records.
(3)  A licensed insurer must lodge with the Authority returns in relation to Fund levies collected by the insurer under this Part in such form, containing such particulars and accompanied by such documents:
(a)  as may be prescribed by the regulations, and
(b)  subject to the regulations, as may be directed by the Authority by notice served on the insurer.
(4)  Returns must be lodged at such other times as may be prescribed by the regulations or, subject to the regulations, at such times as the Authority, by notice served on the insurer, directs.
(5)  The Authority may require returns, and documents accompanying returns, to be certified by an auditor or by an actuary.
(6)  A licensed insurer who contravenes any requirement imposed on the insurer by or under this section is guilty of an offence.

Maximum penalty: 100 penalty units.

(7)  The Authority may make publicly available a copy of any return, and any documents accompanying a return, under this section.

214C   Audit of Fund levy records

(1)  The Authority may appoint an appropriately qualified person to audit or inspect, and report to the Authority on, the accounting and other records of a licensed insurer relating to Fund levies collected by the insurer under this Part.
(2)  A person so appointed is, for the purpose of exercising any functions under this section, entitled to inspect relevant accounting and other records of the licensed insurer.
(3)  A licensed insurer must provide all reasonable assistance to enable the exercise of those functions.
(4)  A person must not wilfully obstruct or delay a person exercising a function under this section.
(5)  A person exercising functions under this section has qualified privilege in proceedings for defamation in respect of any statement that the person makes orally or in writing in the course of the exercise of those functions.
(6)  A licensed insurer or another person who contravenes any requirement imposed on the insurer or other person by or under this section is guilty of an offence.

Maximum penalty: 100 penalty units.

215   (Repealed)

215A   Payment of workers compensation indemnity on behalf of insurers

The Authority may enter into arrangements with one or more licensed insurers under the Workers Compensation Act 1987 for the payment by the Authority on behalf of licensed insurers under this Act (motor accident insurers) of amounts required to be paid by motor accident insurers by way of indemnity referred to in section 151Z of that Act.
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