PHIAC has commenced a second round of industry consultation on the development of a governance standard for the private health insurance industry by releasing a revised draft legislative instrument and a discussion paper that responds to issues raised in the first round of consultation.

The Standard, to be located at Schedule 1 of the Private Health Insurance (Insurer Obligations) Rules, sets out the minimum requirements that all registered private health insurers will need to comply with once the Standard is endorsed by PHIAC.

It is expected that the prudential standard will be made in September 2009, with a four month transition period.

Written submissions on the content and regulatory impact of the draft standard must be received by COB Wednesday, 5 August 2009.