An AoS is a commitment by one or more Australian residents (as defined by (SSAct section 7(2)) (the assurer) to provide financial support to a new resident (the assuree) during the AoS period. It is also a legal commitment to repay the Commonwealth certain social security payments (SSAct section 23(1)-'social security payment'), if such payments are made to the new resident while the AoS is in force.
Act reference: SSAct section 7 Australian residence definitions, section 23(1)-'social security payment'
The AoS period commences on the day the new resident enters Australia as a permanent resident or is granted the relevant visa, which ever happens later. The AoS period is 2 years in most cases. In the case of contributory parent visa holders (permanent visa subclass 143 and subclass 864), the AoS period is 10 years.
The assuree is a new resident covered by an AoS. That is, an assuree is a person who was required to obtain an AoS before his or her visa could be granted.
There are 3 kinds of assurees:
An assurer is a person who gives an AoS for a new resident. One or more persons may act as an assurer for a particular assuree. Assurers must be Australian residents.
The AoS security is an amount of money, lodged as a term deposit by the assurer(s) with the CBA before the AoS is approved. This security can be used to recover part or all of a recoverable payment provided to an assuree.
The term deposit is obtained by the assurer(s):
Not all AoS require the lodgement of a security.
Where there are joint assurers the term deposit for the security should be obtained in the name of one assurer only. Centrelink will only authorise the bank to release the term deposit to the person named in the term deposit with the CBA.
Act reference: SSAct section 23(1)-'assurance of support', Chapter 2C Assurances of support
Policy reference: SS Guide 9.4 Assurance of Support Scheme
Last reviewed: 13 May 2013