The Insurance Council of Australia has “no issue” with Australian Securities and Investments Commission (ASIC) estimated sector levies published under its new industry funding regime.

ASIC’s statement includes indicative levies for regulatory costs in the 2018/19 financial year. The regulator says the figures will help industry plan for the actual levy, which will not be billed until January next year.

“The indicative levies are a guide and the amounts are likely to change when ASIC’s regulatory costs are known and published in December.”

The proposed levy for the insurance sector is $15.305 million, out of a total levy of more than $273 million. The remainder of ASIC’s $406.4 million running costs will come from the Commonwealth budget.

“Insurance product providers” are on the hook for more than $14 million, while “insurance product distributors” will pay about $1.15 million and “risk management product providers” are likely to pay $152,000.

Each product provider will pay a minimum levy of $20,000 and “those with more than $5 million in relevant insurance product income in the financial year” will pay a graduated levy based on their share of income. For distributors, a flat levy applies.

“Our regulatory costs for insurance product distributors will be shared equally between all entities in the subsector, because our level of regulatory activity is relatively similar for entities with each authorisation,” ASIC says.

Risk management product providers will also pay a flat levy.

Spokesman Campbell Fuller told insuranceNEWS.com.au the Insurance Council “doesn’t have an issue with the proposed calculated levy to be paid by individual insurers”.

The National Insurance Brokers Association previously campaigned to make sure brokers are not stung for more than their fair share.

Submissions on the estimated levies will be accepted up until April 26.