The Australian Prudential Regulation Authority (APRA) and the Motor Accident Insurance Commission of Queensland (MAIC) have signed a Memorandum of Understanding to facilitate the sharing of relevant information between the two regulatory agencies.

APRA is the prudential regulator of the financial services industry. It oversees banks, credit unions, building societies, general insurance and life insurance companies, friendly societies and most members of the superannuation industry. In this role, APRA wishes to ensure that it has a full knowledge of a general insurer's business operations, including information which may come into the possession of MAIC.

MAIC is the regulatory authority responsible for the ongoing management of the Compulsory Third Party (CTP) insurance scheme in Queensland. In addition, MAIC is the Nominal Defendant and in this capacity becomes the insurer under Queensland CTP policies in the event of a general insurer’s insolvency. Therefore, MAIC has a very strong interest in monitoring the solvency and financial safety of CTP licensed general insurers.

The Memorandum of Understanding recognises that the two agencies can and do co-operate to promote the efficient regulation of those general insurers licensed to write CTP business in Queensland and thus formalises cooperation arrangements.

In particular, it provides for the exchange of relevant information and regular discussions on matters of mutual interest. Such matters may include emerging issues in the insurance industry, consultative processes with industry, the exchange of expertise and the sharing of relevant statistical information.

APRA has entered into similar arrangements with other government agencies including the Motor Accidents Authority of New South Wales, Treasury, the Reserve Bank of Australia, and the Australian Securities and Investments Commission in relation to co-ordination of their respective responsibilities. The Memorandum of Understanding is available on the APRA website at http://www.apra.gov.au.

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, credit unions, building societies, general insurance and reinsurance companies, life insurance, friendly societies, and most members of the superannuation industry. APRA is funded largely by the industries that it supervises. It was established on 1 July 1998. APRA currently supervises institutions holding approximately $2.5 trillion in assets for 20 million Australian depositors, policyholders and superannuation fund members.

Media and industry inquiries only:
Stuart Snell, Head of Public Affairs
Australian Prudential Regulation Authority
Telephone: 02 9210 3384
Mobile: 0407 250 276

All other inquiries:
APRA Contact Centre
1300 131 060