The general and life insurance industries will likely pay about $16.44 million in levies for this financial year to fund the regulatory work of the Australian Securities and Investments Commission (ASIC).

ASIC provided the estimates on Friday in its Cost Recovery Implementation Statement, which is provided annually after the Government announced in 2016 the introduction of an industry funding model for the corporate regulator.

ASIC is consulting on the statement and submissions are due by July 24. The Insurance Council of Australia says it is reviewing the report and will provide a submission after consultation with its members.

According to the estimates, the $16.44 million is made up of $13.33 million in cost recovery levy and the rest in statutory levy.

For this financial year, ASIC has budgeted it will collect about $14.37 million in levy from insurance product providers. For insurance product distributors, the figure will be $2.5 million.

In the last financial year these figures were $11.6 million and $2.1 million respectively.

ASIC will issue invoices for the 2019/20 financial year in January next year.

“There will be differences between indicative and actual regulatory costs, once known,” ASIC said. “Entities will be charged based on actual regulatory costs, which will be published in December 2020, with invoices issued in January 2021.”

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