Indemnity Insurance

From 1 July 2020, MIPS is making a number of changes to insurance covers to better servicemembers.

Following feedback, MIPS undertook an assessment of its member benefits (including insurance covers) and simplified its approach. MIPS is refocusing membership benefits on the core insurance coverage healthcare practitioners need and the services members want and use. As result, MIPS has decided to cease offering practice entity, cyber and personal accident insurance covers as part of membership. Cover for 'practice staff' (eg practice managers, receptionists and assistants) in relation to your healthcare practice will now be included within the Indemnity Policy. Conditions apply. In addition MIPS is extending communicable diseases cover for members who are acquire HIV, Hepatitis B or C to all members and will be included within the Indemnity Policy. SeeMember handbook for details.

MIPS has made some further improvements to the Indemnity Policy and employed more staff to assist with both general enquiries and clinicio-legal issues.

MIPS is currently in discussion with a number of providers and we hope to be able to offer these and other tailored products to those members who need them in the near future.

The Indemnity Insurance Policy provides covers you for any acts, errors or omissions you make in providing healthcare. This means that should there be a complaint, claim, investigation or legal action made against you, then you can notify MIPS. This includes being sued (ie litigation). The legal defence costs and any further costs such as damages you are required to pay due to a settlement or court order are paid by MIPS provided they fall within the scope of the policy.

It is a claims-made policy, which means it covers claims made against you and reported to MIPS in the period of insurance (or any extended reporting period).

The limit of cover is $20 million in the aggregate and per claim unless your registration requires an automatic reinstatement (eg dental practitioner) to meet AHPRA's requirements for registration. If this is the case, the limit per claim is $10 million plus one reinstatement of the same value. Your Member Benefit Statement sets out the limits that apply to you.

The policy meets the professional indemnity requirements of AHPRA for healthcare practitioners and is suitable for doctors, dentists, oral health professionals, nuclear medicine technologists and healthcare students.

See the Member Handbook combined PDS and FSG for details.

What we cover

  • Defending you in the event of complaints or civil suits from patients
  • Representing you in an investigation conducted by AHPRA, HCCC, coroner, Medicare or other healthcare authorities
  • Assisting with responses to investigations or disciplinary hearings by your employer, colleges or professional body
  • Paying legal costs, damages or other civil liabilities you are ordered to pay
  • Representing you with hospital inquiry defence/removal from proceedings
  • Representing you at disciplinary hearings of a professional body such as a college
  • Pursuing your rights to be indemnified by your employer for a civil claim orcomplaint
  • Responding to a subpoena to provide healthcare records
  • Defending a complaint against a mandatory report
  • Defending a complaint where there is a dispute with a government department or statutory authority in relation to your healthcare
  • Defending a complaint made about you because you have reported a patient or practitioner for child abuse/neglect
  • Funding an appeal where MIPS considers there is merit and reasonable prospects of success
  • Cover for telehealth activities includes videoconferencing, internet and telephone
  • Cover for clinical trials, refer to ‘Clinical Trials’ in the Classification Guide
  • Good Samaritan acts cover in all countries except the USA or where USA law applies

This is a summary only. See the Indemnity Insurance Policy in this handbook for full terms, conditions and exclusions.

You may also see this type of indemnity referred to as malpractice insurance, negligence insurance, professional indemnity, healthcare indemnity or professional liability insurance cover.

The MIPS Indemnity Insurance Policy is a claims-made insurance policy. You must notify MIPS of any claim made against you or any investigation or incident as soon as reasonably practicable after you first become aware of the claim or investigation.

This means that you are only covered if you are a member at the time the claim is made against you and reported to MIPS. You are NOT covered for incidents prior to your retroactive date or previously known to you or matters that have been notified to you or your previous insurer or medical/dental defence organisation.

If you are making a healthcare / medical indemnity insurance comparison consider Why MIPS is different and try to understand indemnity in detail.