Indemnity insurance is a must for health professionals

The issue of medical negligence, and claims arising from such, is an ever present concern for all Health Professionals. As such it is crucial that we have comprehensive and up-to-date professional indemnity insurance. Indeed, indemnity insurance is a registration requirement for many groups of Health Professionals.

The Health Professionals’ Union provides members with a $10 million safety net professional indemnity insurance policy. This policy protects members from bearing the cost of defending against a negligence claim made by a client and damages awarded in such a lawsuit.

While it is the case the certain employers carry indemnity insurance it is worth nothing that this cover does not necessarily protect the Health Professional from a negligence claim. There exists a very real possibility that the employees’ insurer will sue a Health Professional who is deemed to have acted outside the scope of normal duties or authorities so as to recoup their financial loss. One can also be sued for ‘Good Samaritan’ acts.

HSU-HP is committed to defending the interests of members and as part of this commitment we provide quality insurance that you can rely on. Our policy has an unlimited ‘retroactive date’ (excluding known claims and circumstances) that provides protection for claims arising from prior acts. It also has an employment practice liability extension and provides ‘run-off’ cover which protects you from claims that are made after you cease work.

However it is important to note:

• Your membership dues must be up to date and details accurate for you to be covered.
• You need to be an employee in an occupation that falls within the Union’s membership coverage and that is not specifically precluded by the policy.
• Members who are also self-employed (ie both employed and self-employed) are automatically covered so long as their self-employment income does not exceed $45,000 in a financial year.
• There is a standard excess of $1,000 on all claims.
• It is essential you disclose any relevant information and immediately report to the Union’s Insurance Broker any circumstances which may lead to a potential claim.

Insurance feedback wanted

We are currently reviewing our insurance needs and would appreciate any feedback on areas that could be changed or improved to provide members with better protection and security.  And if you have been involved in a professional indemnity case we’d particularly like to hear about it.

To give us feedback or to seek further information regarding professional indemnity insurance, please contact the Health Professionals’ Union on 1300 322 917.

To advise the insurer of any relevant information or to make a claim, please contact: Beverley Rautenbach, Scott & Broad – Clark Pacific, ph 1300 472 688 Beverley@scottbroad.com.au.