Compulsory Third Party Insurance - Module Scope

Module Scope

1. Is the organisation a compulsory third party insurer subject to compliance obligations under the Motor Accidents Injuries Act 2017 (NSW) and the Motor Accidents Compensation Act 1999 (NSW) in respect of holding a current licence to operate as a third party insurance business from the State Insurance Regulatory Authority (SIRA) and collecting Nominal Defendant Fund Levy contributions on behalf of SIRA?
2. Does the insurer understand its obligations to implement proper, non-discriminatory and transparent business practices when handling claims from initial notification to final settlement (such as acting in good faith towards claimants and resolve claims justly and expeditiously), including supporting an institutional culture?
3. Is the insurer equipped to deal with protected or personal information, third-party policies, certificates of insurance, SIRA audits in order to comply with the legislative framework and does the insurer know how to calculate premiums in accordance with the Motor Accident Guidelines?

1. Is the organisation a compulsory third party insurer obligated to comply with the Motor Accident Insurance Act 1994 (Qld) to be registered as a general insurer with the Australian Prudential Regulation Authority (APRA) and to obtain a current licence to operate as a third party insurance business from the Motor Accident Insurance Commission (MAIC)?
2. Does the insurer understand its obligation to implement proper business practices when handling claims from notice of claim to final settlement (including cooperation with claimants, other insurance companies and MAIC), to keep accurate and up-to-date records, to collect statutory levies on behalf of Department of Transport and Main Roads and avoid anti-competitive conduct?
3. Is the insurer equipped to deal with personal information, certificates of insurance, regular reporting to MAIC, MAIC investigations and APRA audits in order to comply with the legislative framework?

1. Is the organisation a compulsory third party insurer subject to compliance obligations under the Road Transport (Third-Party Insurance) Act 2008 (ACT) and the Road Transport (Third Party Insurance) Regulation 2008 (ACT) in respect of holding a current licence to operate as a third party insurance business in the Australian Capital Territory (ACT) from the CTP Regulator, taking reasonable steps to prevent fraud of the CTP scheme and contributing to the Nominal Defendant Fund?
2. Does the insurer understand its obligation to implement proper business practices when handling claims from notice of claim to final settlement to ensure clear and consistent decision making (such as cooperating with other insurers, participating in compulsory conference, making genuine attempts to settle and responding within six months to offers to settle)?
3. Is the insurer equipped with policies and procedures to facilitate consistent and compliant documentation, record-keeping and information management including with respect to protected information and compliance audits?

1. Is the organisation an insurer invited and approved by the Minister for Transport, Infrastructure and Local Government to provide compulsory third party insurance, following any recommendations made by the CTP Insurance Regulator?
2. Does the insurer understand its obligations as set out in the CTP Regulator Rules relating to the determination of premiums, the management of claims, dispute resolution and the provision of information to consumers to ensure business practices do not unfairly discriminate and that the insurer acts in good faith with all customers?
3. Is the insurer required to comply with obligations set out in the Motor Vehicle Act 1959 (SA) and the Motor Vehicles Regulations 2010 (SA) in respect of the maintenance of accounting and other records and data, including complying with Australian Privacy Principles, and the requirements to resolve complaints and disputes in a speedy, equitable, fair and transparent manner?
   

The Compulsory Third Party Insurance module has 4 sub modules:

- Australian Capital Territory
- New South Wales 
- Queensland
- South Australia

Compulsory Third Party Insurance (CTPI) provides compensation for people injured or killed in a road accident involving a vehicle or vehicles.  CTPI is compulsory in all states and territories of Australia. You cannot register your vehicle without having a CTPI policy in place. Effectively, the driver of the vehicle causing the injury is being indemnified against claims for the damage and losses that have been caused. The reason that CTPI is compulsory is to ensure that compensation for loss is not dependant on the means of the person who caused the loss.

CTPI is compulsory in all states and territories of Australia but specific details of regulations vary between states and territories with regard to fault, liability, injury, safety requirements, identity checks and compensation.

Australian Capital Territory

The Australian Capital Territory (ACT) sub module informs insurance organisations providing CTPI to Australian Capital Territory consumers of the requirements and obligations imposed on the organisation by the ACT CTPI Regulator. The module also provides direction and guidance to providers about implementing procedures and processes that will ensure compliance with obligations and regulations through all levels of the organisation.

The ACT sub module covers all legislated obligations of insurers providing CTPI to consumers in the ACT from obtaining registration and dealing with claims to resolving disputes and the application of potential penalties for breaches.  The module provides the practical assistance and guidance to ensure that these obligations are complied with and best practice processes are established and maintained.  The module also covers possible exemptions to the obligations, where applicable, and how they may or may not apply to the particular insurance provider.  The specific topic areas comprehensively covered by the module are;

• The legislative framework for the provision of CTPI in the ACT;
  • Road Transport (Third Party Insurance) Act 2008 (ACT);
  • Road Transport (Third Party Insurance) Regulation 2008 (ACT);
  • Road Transport (Industry Deed) Approval 2016 (No 1) (ACT);
  • Road Transport (Third Party Insurance) Early Payment Guidelines 2016 (No1) (ACT);
  • Road Transport (Third Party Insurance) CTP Premium Guidelines 2018 (No1) (ACT);
  • The Lifetime Care and Support (Catastrophic Injuries) Act 2014.
• The regulator for the CTP scheme in the ACT is the CTP Regulator. The CTP regulator is responsible for insurer licensing and approvals, and monitoring compliance and performance including;

• Applications for and maintaining correct licences including all conditions imposed on the individual licence as well as dealing with assignment, suspension and cancellation requirements;
• Preparing and submitting a business plan including updates when required;
• Complying with instructions from authorised persons;
• Managing information according to applicable secrecy and privacy requirements; and
• Conducting audits of financial position and compliance.

• Ensuring that mandatory insurer fund contributions are paid in accordance with collection notices from the CTP Regulator, including contributions to the nominal defendant fund.
• The adoption of proper business practices designed to deter and prevent the making of fraudulent third-party insurance claims.
• The adoption of effective policy management systems with respect to;
  • The issue of policies and certificates;
  • Calculation, collection and filing of premiums; and
  • Premium adjustments for expiration, cancellations and
• The adoption of effective claims management systems at every step of the claims process;
  • Receiving notices of claim;
  • Transferring claims and multiple insurers;
  • Determining liability and making offers of settlement;
  • Providing rehabilitation services;
  • Participation in the Life Time Care and Support scheme (LTCS);
  • Payments of compensation;
  • Compulsory conferences;
  • Mandatory final offers; and
  • Recovery of costs if applicable.
• Establishing policies and procedures for arranging and conducting medical investigations, examinations and rehabilitation assessments.
• Establishing policies and procedures to ensure that claimants' entitlements and compensation payments are correctly calculated, determined and paid including with regard to;
  • Early payment;
  • Compensation for economic loss;
  • Compensation for non-economic loss; and
  • Compensation for medical treatment.
• Establishing effective planning, documentation, and record-keeping systems and practices including with respect to;
  • Accounting and other records;
  • Providing returns and information to the CTP regulator
  • Insurer form and notice specifications;
  • Records of medical expenses; and
  • Giving claims information to other parties.
• Establishing notification processes ensuring that the CTP Regulator is provided all required statutory notifications and that claimants are provided notices when required, including;
  • Notifying CTP regulator of grounds for suspension;
  • Notifying CTP regulator of decrease in issued capitol;
  • Notifying CTP regulator of bidders statement or targets statement;
  • Notifying authority of premiums received; and
  • Assessment of damages notices to claimants.
• Developing and implementing policies, systems and procedures to manage the dispute resolution process, including inter-insurer disputes and mediation requirements.
• Developing and implementing appropriate investigation, monitoring and enforcement policies and procedures for cooperating with reasonable and lawful requests of authorised persons.
• Establishing appropriate policies, systems and procedures to ensure that protected information is handled lawfully;
  • Information is not recorded, produced or disclosed in an unauthorised way.
• Developing and implementing appropriate practices for monitoring, auditing and inspecting the financial position and accounting records of the insurer.

In addition to expanding on the specific obligations of CTPI insurers in the ACT and the legislative basis for the obligations the ACT sub module also provides comprehensive practical guidance and directions for insurers to have policies, procedures, systems and processes in place to assist the insurer to maintain compliance within all levels and operations of the organisation.

In the event of an insurer breaching their obligations there are significant consequences which can apply, depending on the nature and extent of the breach.  The ACT sub module covers these consequences in detail which can include monetary penalties or loss of licence and even terms of imprisonment for individuals committing offences. 

The ACT sub module covers CTPI obligations of insurance providers operating in the Australian Capital Territory. Due to considerable general overlap within the Australian insurance sector there are parallels with CTPI obligations in other states and territories but this is incidental to the main purpose of the module.

The module primarily focuses on CTPI obligations as required by the ACT CTPI Regulator.  The module does not cover general insurance obligations as regulated by the Australian Prudential Regulation Authority (APRA) or commonwealth legislation such as The Privacy Act 1988 (Cth) or the Insurance Act 1973 (Cth). 

The ACT sub module also does not cover the rights or entitlements of individuals who have suffered damages or losses due to breaches of obligations by the CTPI provider.  The module does not cover the process that an individual would follow to report or seek a remedy for the breach or loss.

New South Wales

The New South Wales (NSW) sub module informs insurance organisations providing CTPI to New South Wales consumers of the requirements and obligations imposed on the organisation by the insurance regulator including with respect to licensing, operations, claims management, dispute resolution and policy administration. The module also provides direction and guidance to providers implementing procedures and processes that will ensure compliance with obligations and regulations within all levels of the organisation.

CTPI is compulsory in all states and territories of Australia but the legislative framework and details of regulations and obligations vary between states and territories. In most states CTPI is included with your registration but in NSW you must purchase it as a separate step before renewing your registration.

 

The NSW sub module covers all legislated obligations of insurers providing CTPI to consumers in New South Wales from obtaining registration and dealing with claims to resolving disputes and the application of potential penalties for breaches.  The module provides practical assistance and guidance to ensure that these obligations are complied with and best practice processes are established and maintained.  The module also covers possible exemptions to the obligations, where applicable, and how they may or may not apply to the particular insurance provider. 

The legislative and regulatory framework for the provision of CTPI in New South Wales is;

• Motor Accident Injuries Act 2017 (NSW);
• Motor Accident Injuries Regulation 2017 (NSW);
• Motor Accidents Compensation Act 1999 (NSW) (applying to accidents occurring before 1 December 2017);
• The Motor Accident Guidelines (the Guidelines) (applying to accidents occurring before 1 December 2017);
• Motor Accidents Compensation Regulation 2015 (NSW)(applying to accidents occurring before 1 December 2017);
• Lifetime Care and Support scheme, regulated by Motor Accidents (Lifetime Care and Support) Act 2006; and
• NSW Government State Insurance Regulatory Authority (SIRA);
  • Responsible for licensing and monitoring compliance and performance; and
  • Acts as the nominal defendant in relation to accidents involving a vehicle that is uninsured or that cannot be identified.

 The module comprehensively covers the regulations and obligations derived from the legislative and regulatory framework including;

• Obtaining appropriate approvals and licences and adhering to all conditions imposed on the insurer including;
  • To operate a CTPI business in NSW the operator needs to hold a current licence issued by SIRA;
  • There may be serious consequences to an insurer that contravenes licence conditions, such as suspension, monetary penalties, or cancellation of the licence; and
  • Requirements of assignment, suspension, and cancellation of the licence.
• Preparing and submitting a business plan including advising updates as required.
• Making mandatory contributions to funds that form part of the CTPI scheme;
  • Payment and collection of fund levies; and
  • Contributions to nominal defendant funds.
• Adopting appropriate business practices which ensure they act in good faith, have appropriate claims handling processes, act in a transparent and non-discriminatory manner, and take action to deter fraudulent claims;
  • Resolve claims justly and expeditiously;
  • Maintain a robust institutional culture; and
  • Implement an effective complaints handling process.
• Issuing appropriate CTPI policies and certificates of insurance with correctly calculated premiums and compliance with requirements for expiration, cancellation and renewal of policies.
• Managing claims in accordance with the relevant CTPI scheme, depending on the date of the accident. The current scheme applies to accidents that occurred on or after 1 December 2017 and the previous scheme applies to accidents that occurred before this date;
  • Receiving and assessing notices of claim;
  • Transferring claims and dealing with multiple insurers;
  • Determining liability;
  • Recovery plan and management;
  • Making offers of settlement
  • Payment of compensation;
  • Conducting internal reviews;
  • Notifications and steps before suspension, reduction or discontinuation of payment;
  • Referring claims for assessment of damages; and
  • Giving directions to provide particulars.
• Managing nominal defendant claims;
  • Determining liability;
  • Promptly making payments; and
  • Making appropriate treatment and care arrangements.
• Conducting appropriate investigations into claims;
  • Arranging medical examinations and rehabilitation assessments; and
  • Conducting surveillance
• Keeping appropriate records and documentation, including accounting records, records of fund levy collection, claims data, and template documents for claims management;
  • Providing information to relevant authorities;
  • Insurer form and notice specifications;
  • Maintaining information and data integrity
  • Managing confidentiality and privacy obligations and advising third parties when required; and
  • Maintaining secrecy of information relating to insurers.
• Handling dispute resolution appropriately, including internal reviews and merit reviews;
  • the Dispute Resolution Service (DRS) applies for claims after 1 December 2017, and the Claims Assessment and Resolution Service (CARS) applies for claims before 1 December 2017; and
  • Claims can be referred for dispute resolution by either the claimant or the insurer and the decision is binding on the parties if liability is admitted.
• Calculation of entitlements and compensation payments in accordance with which scheme is applicable (depending on whether the accident occurred before or after 1 December 2017).
• Notification requirements to the claimant, and notification requirements to the authority including;
  • defaults;
  • decisions and review rights;
  • acceptance or rejection of assessed damages;
  • payment suspension or termination;
  • changes to weekly payments;
  • premiums received; and
  • suspension or cancellation of motor vehicle registration.
• Performance, monitoring and audits;
  • Compliance and financial audits;
  • Audit and fund levy records.

In addition to expanding on these specific obligations of CTPI insurers in NSW and the legislative basis for the obligations the NSW sub module also provides comprehensive practical guidance and directions for insurers to have policies, procedures, systems and processes in place to assist the insurer to maintain compliance within all levels and operations of the organisation.

In the event of an insurer breaching their obligations there are significant consequences which can apply, depending on the nature and extent of the breach.  The NSW sub module covers these consequences in detail which can include monetary  penalties or loss of licence and even terms of imprisonment for individuals committing offences. 

 

The NSW sub module covers CTPI obligations of insurance providers operating in New South Wales. Due to considerable general overlap within the Australian insurance sector there are parallels with CTPI obligations in other states and territories, but this is incidental to the main purpose of the module.

The module primarily focuses on the two relevant schemes applying to NSW CTPI obligations as regulated by the State Insurance Regulatory Authority (SIRA) and Claims Assessment and Resolution Service (CARS).  The scheme applying in the particular circumstances of the accident will depend on whether the accident occurred before or after 1 December 2017.

The module does not cover general insurance obligations as regulated by the Australian Prudential Regulation Authority (APRA). 

The NSW sub module also does not cover the rights or entitlements of individuals who have suffered damages or losses due to breaches of obligations by the CTPI provider.  The module does not cover the process that an individual would follow to report or seek a remedy for the breach or loss.

Queensland

The Queensland (QLD) sub module informs insurance organisations providing CTPI to Queensland consumers of requirements and obligations imposed on the organisation by the insurance regulator which are derived from both commonwealth and state legislation. The module also provides direction and guidance to providers about implementing procedures and processes that will ensure compliance with obligations and regulations within all levels of the organisation.

 

The QLD sub module covers all legislated obligations of insurers providing CTPI to consumers in QLD from obtaining registration and dealing with claims to resolving disputes and the potential penalties for breaches.  The module provides the practical assistance and guidance to ensure these obligations are complied with and how to establish and maintain best practice processes.  The module also covers possible exemptions to the obligations, where applicable, and how they may or may not apply to the particular insurance provider.  The specific topic areas comprehensively covered by the module are;

• The legislative framework for the provision of CTPI in Queensland;
  • Insurance Act 1973 (Cth);
  • Motor Accidents Insurance Act 1994 (QLD);
  • Motor Accidents Insurance Regulation 2018 (QLD);
  • Motor Accident Insurance Act 1994 Industry Deed (QLD); and
  • Privacy Act 1988 (Cth).
• Waiting periods and notification periods which are an integral aspect of CTPI policy regulations and obligations at every stage of the claims process.
• Companies providing general insurance in Australia must be registered with the Australian Prudential Regulation Authority (APRA). To provide CTPI in Queensland, the insurer must also be licensed with the Motor Accident Insurance Commission (MAIC), which is the CTP Regulator. The module covers the licensing application and registration process to obtain and then continue to maintain registration with MAIC including;
  • The licensing conditions and requirements to ensure compliance;
  • Preparation of a business plan and requirements to notify changes;
  • The requirement for all provided information to be true and correct and the rectification process if necessary; and
  • Assignment, suspension and cancellation or withdrawal of the licence.
• The insurer is responsible for the collection and payment of levies as regulated by limitations set by MAIC to the Department of Transport and Main Roads (the Department);
  • The statutory insurance scheme levy;
  • The hospital and emergency services levy;
  • The nominal defendant levy; and
  • Injury insurance scheme levy.
• The insurer must undertake and maintain proper business practices that include cooperation with claimants, other insurance companies and MAIC as well as;
  • Preventing anti-competitive behaviour;
  • Not provide inducements to obtain business from motor vehicle dealerships;
  • Not provide discounts on general insurance policies in exchange for CTPI business; and
  • Preventing fraud.
• Effective policy management directs the insurer to provide policy holders who have paid a premium with a certificate of insurance. The certificate of insurance must contain information including;

• The extent of liability;
• Definition of the ‘injured person’; and
• Exclusions to liability.

• The module also covers additional policy management issues such as;
  • The period of grace requirements and obligations;
  • Setting, adjusting and collecting premiums;
  • Making payments; and
  • Expiration, cancellation and renewal requirements.
•  Establishing effective and compliant claims management practices specifically with respect to;
  • Notices of claim must be in the approved form and claimants should be given the opportunity to amend the notice if required;
  • Transferring claims and multiple insurers;
  • Determining liability and making offers of settlement;
  • Providing rehabilitation services;
  • Referral to the Life Time Compensation Scheme (LTCS);
  • Payments of compensation;
  • Compulsory conferences;
  • Mandatory final offers; and
  • Recovery of costs in certain circumstances.
• Conducting investigations to determine questions of liability and the circumstances of the claim. An insurer and a claimant (or intending claimant) may, but are not obligated to jointly arrange for expert reports.
• Calculation of damages as entitlements and compensation for medical treatment or tests;
  • The insurer is obligated to facilitate a speedy resolution to claims; and
  • If the matter progresses to court the insurer must offer a fair and reasonable estimate of damages;
• Establishing effective and compliant planning, documenting and record keeping practices specifically with respect to:
  • Accounts and other business-related information;
  • Sharing documentation with MAIC, APRA and other insurers;
  • Complying with requests of MAIC; and
  • Complying with reporting requirements.
• Establishing effective and compliant dispute resolution practices specifically with respect to;
  • Fair and equitable procedures;
  • Inter – insurer disputes; and
  • Mediation
• Investigation, monitoring and enforcement; the insurer may be investigated by APRA in certain circumstances;

• If the insurer is unable to meet its liabilities;
• If the insurer has failed to comply with financial sector obligations;
• If there is a risk to the security of the insurer’s assets;
• If a sudden deterioration of the insurer’s financial position becomes apparent; or
• For any reason APRA deems it necessary to investigate.

• The module also covers investigation, monitoring and enforcement obligations in respect of;
  • Special investigations; and
  • Authorised persons.
• The insurer must comply with commonwealth privacy laws when collecting, handling and storing private and sensitive information specifically with respect to;
  • Adequate security measures;
  • Notification of data breaches; and
  • Maintaining secrecy.
• Establishing effective and compliant performance monitoring and auditing practices specifically with respect to;
  • Appointment of an auditor and an actuary; and
  • Compliance and financial audits.

In addition to expanding on these specific obligations of CTPI insurers in QLD and the legislative basis for the obligations the QLD sub module also provides comprehensive practical guidance and directions for insurers to have policies, procedures, systems and processes in place to assist the insurer to maintain compliance within all levels and operations of the organisation.

In the event of an insurer breaching their obligations there are significant consequences which can apply, depending on the nature and extent of the breach.  The QLD sub module covers these consequences in detail which can include monetary  penalties or loss of licence and even terms of imprisonment for individuals committing offences. 

 

The QLD sub module covers CTPI obligations of insurance providers operating in Queensland as regulated by the Motor Accident Insurance Commission (MAIC). Due to considerable general overlap within the Australian insurance sector as well as CTPI requirements there are parallels in QLD with CTPI obligations in other states and territories but this is incidental to the main purpose of the module.

The QLD sub module does not cover the rights or entitlements of individuals who have suffered damages or losses due to breaches of obligations by the CTPI provider.  The module does not cover the process that an individual would follow to report or seek a remedy for the breach or loss.

South Australia

The South Australia (SA) sub module informs insurance organisations providing CTPI to South Australian consumers about the requirements and obligations imposed on the organisation by the insurance regulator.  The requirements and obligations are derived from both commonwealth and state legislation. The module also provides direction and guidance to providers about implementing procedures and processes that will ensure compliance with obligations and regulations within all levels of the organisation.

 

The SA sub module covers all legislated obligations of insurers providing CTPI to consumers in South Australia from obtaining registration and dealing with claims to resolving disputes and the application of potential penalties for breaches.  The module provides the practical assistance and guidance to ensure that these obligations are complied with and how to establish and maintain best practice processes.  The module also covers possible exemptions to the obligations, where applicable, and how they may or may not apply to the particular insurance provider.  The specific topic areas comprehensively covered by the module are;

• The legislative framework for the provision of CTPI in SA;
  • Privacy Act 1988 (Cth);
  • Australian Privacy Principles (APP);
  • Civil Liability Act 1936 (SA);
  • Compulsory Third Party Insurance Regulation Act 2016 (SA);
  • Compulsory Third Party Regulator Rules (CTP);
  • Motor Vehicles Act 1959 (SA);
  • Motor Vehicles Regulations 2010 (SA);
  • Security and Investigation Industry Act 1995 (SA); and
  • The Australian Securities and Investments Commission (ASIC).
• Waiting periods and notification periods which are an integral aspect of CTPI policy regulations and obligations at every stage of the claims process.
• The licensing and approvals process for the insurer to follow when applying to the Minister for Transport, Infrastructure and Local Government to conduct a CTPI business specifically with respect to;
  • Applying for licence approval;
  • Applying to have the approval withdrawn;
  • Complying with conditions of the licence;
  • Suspension, cancellation and withdrawal of the licence; and
  • Maintaining sufficient financial resources to retain the licence.
• Establishing effective and compliant business practices that ensure the insurer;
  • Acts in good faith with all customers; and
  • Does not discriminate against individual customers or claimants.
• Establishing effective and compliant policy management practices specifically with respect to;
  • The issuing and cancelling of policies;
  • Confirming who is covered by the policy; and
  • When the vehicle is not registered.

• Establishing effective and compliant claims management practices specifically with respect to;
  • Notice of claim procedures;
  • Determining liability fairly and in a timely manner with opportunity for a review of the decision if required;
  • Settlement offers made expeditiously;
  • Prompt payment of claims;
  • Recovery of costs;
  • Nominal defendant;
  • Lifetime support scheme referrals and applications; and
  • Children’s claims managed in accordance with specific requirements.
• Conducting investigations to determine questions of liability and the circumstances of the claim;
  • Arranging accredited health professional assessments;
  • Providing all necessary information and adequate notice to claimants;
  • Using injury scale value assessments where appropriate; and
  • Engaging appropriately licenced investigators to conduct surveillance.
• Establishing effective and compliant practices to ensure that claimants' entitlements and compensation payments are correctly calculated, determined, and paid out specifically with respect to;
  • Compensation for loss of earning capacity;
  • Interim payments;
  • Entitlements for economic loss;
  • Entitlements for non-economic loss;
  • Compensation for medical treatment and tests;
  • Compensation for gratuitous care services; and
  • Compensation for death.
• Establishing effective and compliant planning, documentation and record keeping practices specifically with respect to;
  • Providing information to relevant authorities;
  • Complying with requests for information from the CTP Regulator; and
  • Maintaining and managing information and data integrity.
•  Establishing effective and compliant dispute resolution practices specifically with respect to;
  • A fair, equitable and non-discriminatory procedure to resolve complaints about decisions;
  • A conciliation process; and
  • Reimbursing claimants for costs incurred during a conciliation conference.
• Establishing effective and compliant investigation, monitoring and enforcement practices specifically with respect to;
  • Complying with requests by authorised persons.
• Establishing effective and compliant secrecy or privacy management practices for dealing with and handling personal and sensitive information.
• Establishing effective and compliant performance monitoring and auditing practices specifically with respect to:
  • Financial audits; and
  • Compliance audits.

In addition to expanding on these specific obligations of CTPI insurers in South Australia and the legislative basis for the obligations the SA sub module also provides comprehensive practical guidance and directions for insurers to have policies, procedures, systems and processes in place to assist the insurer to maintain compliance within all levels and operations of the organisation.

In the event of an insurer breaching their obligations there are significant consequences which can apply, depending on the nature and extent of the breach.  The SA sub module covers these consequences in detail which can include monetary penalties or loss of licence and even terms of imprisonment for individuals committing offences. 

The SA sub module covers CTPI obligations of insurance providers operating in South Australia. Due to considerable general overlap within the Australian insurance sector and the CTPI sector there are parallels with CTPI obligations in other states and territories but this is incidental to the main purpose of the module.

The module primarily focuses on CTPI obligations as regulated by the SA CTPI Regulator.  The module does not cover general insurance obligations as regulated by the Australian Prudential Regulation Authority (APRA). 

The SA sub module also does not cover the rights or entitlements of individuals who have suffered damages or losses due to breaches of obligations by the CTPI provider.  The module does not cover the process that an individual would follow to report or seek a remedy for the breach or loss.