(1) If:
(a) an amount (the relevant payment ) has been paid, in relation to a liability of an eligible midwife (the midwife ), under a contract of insurance with an eligible insurer that provides midwife professional indemnity run - off cover for the midwife; and
(b) another amount (not being an amount referred to in subsection (2)) has been paid to the midwife, eligible insurer or another person in relation to the incident to which the liability relates; and
(c) the other amount was not taken into account in working out the amount of the relevant payment; and
(d) if the other amount had been taken into account in working out the amount of the relevant payment, a lesser amount would have been paid under the contract of insurance, in relation to the liability;
then, for the purpose of calculating the amount of run - off cover Commonwealth contribution (if any) that is payable in relation to a liability of the midwife, the lesser amount is taken to have been the amount of the relevant payment.
(2) This section does not apply to any of the following:
(a) an amount paid to an eligible insurer by another insurer under a right of contribution;
(b) a payment of Level 1 Commonwealth contribution;
(c) a payment of Level 2 Commonwealth contribution;
(d) an amount of a kind specified in the Rules for the purposes of this paragraph.