Commonwealth Consolidated Acts

LIFE INSURANCE ACT 1995 - SECT 78

  (1)   If:

  (a)   a life company carries on other business as well as its life insurance business; and

  (b)   an amount of income or outgoings relates both to the business of a statutory fund and to the other business;

the company must apportion the amount so as to determine what part of the amount relates to the business of the statutory fund.

  (2)   Only the part of the amount so determined is to be treated as related to the business of the statutory fund.

  (3)   If a life company incurs a liability in respect of a matter that is related in part to the business of a statutory fund of the company and in part to the business of another company:

  (a)   the life company must apportion the liability; and

  (b)   only the portion of the liability referable to the business of the statutory fund may be treated as outgoings of the fund.