Summary of recent history of medical indemnity in Australia
Indemnity insurance for doctors and dentists has typically been provided by Medical Defence Organisations (MDOs) such as MIPS. Nowadays it is a very stable industry with a small number of providers.
In 2002 there were significant concerns about the capital adequacy of indemnity insurers and the Government announced a number of measures (see the History of Medical Indemnity in Australia on Wikipedia). Later, a major reform legislated which included the Medical Indemnity Act 2002 (Cwlth) which forms the back-bone of the industry now. When this bill was introduced, insurers moved from claims-incurred models similar to house and car insurance contracts, to claims-made insurance contracts, which include retro-active cover. This provides better protection for both the healthcare practitioners and the community.
Formation of MIPS
MIPS is a not-for-profit organisation and medical defence organisation formed to:
- support and protect the character and interests of its members;
- promote honourable and discourage irregular practice;
- consider, originate, promote and support or oppose legislative or other measures affecting members
MIPS’ main role is to assist members in the event that there is an adverse outcome in the course of their professional practice. This assistance includes collegiate support and understanding, in addition to the management of complaints and claims against members.
Health professionals are involved in both governance and management of MIPS. MIPS is proud of its personalised clinico-legal service to members from fellow health practitioners, as well as the array of additional benefits afforded to members.
MIPS is a member of the Insurance Council of Australia and you can find us on their Find an Insurer search function.
ABN 64 007 067 281
In response to the significant changes in medical indemnity effective 1 July 2003, MIPS established MIPS Insurance Pty Ltd, a wholly owned subsidiary to ensure MIPS members had access to efficient and effective medical indemnity insurance.
Only MIPS members have access to insurance cover provided by MIPS Insurance.
MIPS Insurance is subject to the prudential supervision of the Australian Prudential Regulation Authority (APRA)
ABN 81 089 048 359