Medical Practice Indemnity covers liability arising out of running the practice. For example, the policies and procedures set by the practice cause or contribute to a medical negligence claim against the practice entity, or the practice entity as employer is vicariously liable for an employee error.
The policy will normally cover all non-health care professionals providing broad definitions of ‘insured persons’ which extend to directors, employees, volunteers, members of ethics committees.
Practitioners are excluded from the policy while acting in their capacity as a qualified medical professional – as they are required to hold their own Medical Practitioners Indemnity Insurance.
Claim examples which could come against the practice covered by a broadly worded Medical Practice Indemnity Insurance policy are:
- Clerical or administrative errors which cause a misdiagnosis or failure to refer a patient through for immediate consultation in an emergency situation
- Breach of Privacy Claims brought under the Privacy Act 1988 and various state Health Records and Information Privacy Acts
- Breach of trade practices related legislation
- Vicarious Liability – where the practice is deemed legally liable for the actions of their employees including the actions of qualified medical practitioners
- Breach of Intellectual Property claims – unintentional infringement of copyright, trademark, plagiarism or breach of confidentiality claims
- Defamation
- Official Investigations – cover where the Practice requires legal representation at a Coronial Enquiry or Medical Board examination
- Public Relations Expenses – pays for the services of Public Relations consultant to manage reputational damage to the Practice as result of a “Claim”