Membership update 2021-22 | MIPS Indemnity Insurance

Membership and policy changes 1 July 2021

MIPS continues to focus on protecting and supporting members through improved products and services that deliver value to members, by understanding their unique needs and investing in our people and capabilities. Key changes include:

  • cover under the Indemnity Insurance Policy is defined in more detail (eg telehealth and regulatory matters), so you know when you are covered
  • MIPS Protections renamed to 'MIPS Assist' to better reflect the additional discretionary support and assistance provided, in addition to your insurance cover
  • new practice entity cover for sole practitioners
  • enhancements to our resource centre, access to more practice notes, case studies and on-demand education.

Clearer, simpler
From 1 July 2021, an updated Indemnity Insurance Policy will take effect for all members. A summary of key changes is below or see the Member Handbook including the policy. The purpose of the changes is to more clearly explain the cover provided. This includes specifying cover cover for healthcare issues connected with telehealth and regulatory matters including AHPRA, Medicare and drugs & poison authorities matters. 

In the updated policy you will find the table below that lists covers relevant to the practice of healthcare. These changes maintain the same comprehensive cover MIPS provides and makes the terms of cover clearer and easier to understand. Importantly, MIPS has maintained the premium feature of not having any sub-limits for core civil liability coverage.

Follow each link below to see the detail within the Indemnity Insurance Policy.

Area of cover Clause/s Sub-limit Aggregate limit
Insurance Cover Part A $20M
Civil liability coverage 3.1 None
Appeals (under part A) 3.2 None 
Insurance Cover Part A – Extensions
Discipline and regulatory matters 4 None 
Hospital inquiries 5 None 
Mandatory reporting 6 None 
Medicare and PSR 7 None 
Private health investigations 8 None 
Coronial inquiry or royal commission 9 None 
Drug and poisons authorities 10 None 
Removal from proceedings 11 None
Subpoenas 12 None 
Insurance Cover Part A – Specific inclusions
Indemnity dispute pursuit 13  
Telehealth 14 None
Clinical trials and research projects 15 None
Student placements and Healthcare activities 16 None
Gratuitous services 17 None
Medical retrievals and repatriation 18 None
Good Samaritan acts 19 None
Insurance Cover Part B – Extensions
HIV, Hepatitis B or Hepatitis C  20 $25,000
Insurance Cover Part C – Extensions
Administrative Staff or Assistants 21 None
Sole practitioner entity 22 None

MIPS Assist for added support
We’ve also renamed our unique added discretionary cover, MIPS Assist (formerly MIPS Protections) so our members don’t confuse this support with their indemnity insurance cover, that is also part of membership. MIPS is the only indemnity provider for healthcare practitioners in Australia to provide this form of support.

Administrative staff and assistants cover
The Medical indemnity insurance policy provides cover to protect your practice staff who assist you to provide healthcare. If you employ administrative staff, dental assistants or practice managers indemnity cover is extended to cover them in connection with the healthcare you provide. Staff who are AHPRA registered and require their own indemnity are excluded. Administrative staff and assistants cover excludes claims in connection with cosmetic services.

New sole practitioner cover
MIPS has also introduced cover to protect the business entities of sole practitioners. If you operate your own practice where you are both the owner and the only healthcare practitioner, cover is provided to protect the entity of your practice, ie the company, partnership or business. This cover will also apply to your practice structure when you employ a nurse or if you require a locum to temporarily replace you while you are on leave. It can also apply where your spouse jointly owns the business but does not work as a healthcare practitioner with the business or if you have a silent business partner who is not involved in day to day operation of the business. Conditions apply. See section 22 of the Indemnity Insurance Policy

Examples of eligible structures

Sole practitioner entity cover can apply Sole practitioner entity cover can apply Sole practitioner entity cover cannot apply
Practitioner (You) Practice manager/ assistant
100% ownership  Employee
Practitioner (You) Spouse
50% ownership 50% ownership
Practitioner (You) Practitioner (Other)*
Owner Owner or employee
or contractor*

*Excluding where a locum temporarily replaces you on leave.

Note: All AHPRA registered healthcare practitioners, including nurses and locums, are required to obtain their own professional indemnity insurance.

If you are not a sole practitioner you may need to consider a separate Practice Entity Policy to cover your practice entity and actions of your staff. MIPS has established a relationship Aon to help MIPS members with queries and obtaining a quote for Practice entity, cyber and product & public liability coverage.

Has your fee changed?
MIPS as a not for profit mutual, is committed to keeping fees low to provide ongoing indemnity and support to members. Any fee increases are appropriately apportioned to ensure contribution from individual members is fair. Key reasons for the membership fee increase this year, include: 

  • claims frequency, higher claims and reinsurance costs 
  • costs associated with the increased demand for claims and advisory services 
  • lower forecasted investment income rates of return. 

Other reasons why your fee may have changed: 

  • stepped increase towards the mature fee*, where you may have recently commenced private practice, amended your gross billings, changed the type of practice undertaken or primary practice location 
  • paying a pro-rated fee if you joined MIPS during the membership period.

*The mature membership fee is payable when your membership details (classification and location) are the same for the current and three prior membership periods. Each year, a stepped increase (or decrease) will be applied until the mature fee is reached.

See our Support Centre
MIPS has been expanding its library of on-demand CPD made available to members throughout the last year. This includes a variety of 1hr videos you can consume and receive a certificate towards your CPD, as well as a range of practice notes to read. Search the Support Centre for topics such as COVID-19, mandatory reporting, consent, healthcare records and interview/CV/job applications.

SupportCentre

 

The information provided is general advice only and does not take account of your personal circumstances or needs. You should review the Member Handbook Combined PDS and FSG and/or discuss your requirements with a Member Services Adviser on 1800 061 113, before making a decision. Information is current as at the date published.