Victoria’s fire services levy (FSL) amnesty has resulted in about $350,000 being returned to consumers.

The program last month allowed insurance brokers to identify and return charges that were incorrectly applied after the levy’s abolition on July 1 last year.

Deputy FSL Monitor David Cousins says almost 500 policies were identified as having incorrectly carried the charge.

One policy written in September this year applied the FSL.

“It’s interesting what these things produce sometimes,” Dr Cousins told insuranceNEWS.com.au.

“People were not necessarily engaged in a deliberate attempt to take advantage of the situation.

“It was more likely inadvertent, sloppy if you like, and not paying sufficient attention to the relevant law. But the law doesn’t provide for intent; if there’s a breach, there’s a breach.”

FSL Monitor Allan Fels wrote to 20 brokers and six insurers advising them of the program and their responsibility to refund unlawfully collected charges.

The companies he targeted were identified in policyholders’ complaints and FSL Monitor investigations.

Dr Cousins says other brokers and insurers also took the opportunity to “review their records”.

“The amnesty worked, and it worked very effectively,” he said.

The amnesty waived fines of up to $10 million, or $500,000 for individuals.

The FSL Monitor’s oversight ends on December 31. The Director of Consumer Affairs will then be responsible for investigating cases.