Commercial Insurance for Medical Indemnity – Part 02

Commercial Insurance for Medical Indemnity – Part 02

Commercial Insurance for Medical Indemnity – Part 02

20 Mar 2019

On the 6th of December 2018, the Department of Health & Social Care released a 50-page document to assess indemnity cover for healthcare professional.

On the 6th of December 2018, the Department of Health & Social Care released a 50-page consultation document to assess indemnity cover for healthcare professionals who purchase their own indemnity for their private practices. There has been growing concerns that the existing indemnity arrangements that are available to healthcare professionals through discretionary indemnity providers (also known as Medical Defence Organisations - MDO’s) are not suitable.

This is because MDO’s do not have any contractual or regulatory obligation to meet the costs of any claim which leaves medical practitioners personally liable to pay for claims and their own legal representation. The consultation is therefore proposing the option of making it mandatory for healthcare professionals to maintain contractual insurance policies for their medical indemnity arrangements. The benefits of contractual insurance policies for medical indemnity include (but are not limited to):Contract certain terms and conditions for indemnity. Regulated and overseen by the Financial Conduct Authority (FCA) & the Prudential Regulatory Authority (PRA).Bound by “treating the client fairly” (TCF).FSCS backed insurance contracts Inclusive additional extensions of cover (varies from insurer to insurer) e.g. Public Liability Cover, Libel & Slander cover, Reputational Damage cover, Defamation cover, Tax Protection cover, Criminal Proceedings cover etc.

As a response to the recent consultation, the Medical Defence Union and their Chief Executive, Dr Christin Tomkins posted a response on their website titled: MDU says of medical indemnity consultations: If it ain't broke, don’t fix it.The article explains how and why contractual insurance medical indemnity is unnecessary and how a change in the current legislation will not make an improvement to the current arrangements. Interesting….In an article written by Dr Tomkins, MDU Chief Executive in the MDU Journal, Volume 26 – Issue 1, June 2010, The MDU reported that it was “wrong to allow discretionary indemnity” and furthermore, that “it is in our members’ and public interest that all professionals are insured ”The full publication can be read below, but it seems to me that the MDU’s views about indemnity requirements are inconsistent. At Servca, we believe in educating medical professionals about their indemnity and risk management procedures. As an independent, owner-managed Lloyd’s Broker, our role is to provide options to our client so that they can make an informed and responsible decision about their indemnity requirements.

We know how confusing and misleading it can be to make such important decisions and we’re here to make that process easier on you. Whether you decide to take up one of our indemnity solutions or not, our commitment is to healthcare practitioners. Our solemn vow is to provide expert advice at all times without any compromises. Dr Edwin Rajadurai (MBBS)T: +44(0)207 8469010M: +44(0)747 424 6616E: erajadurai@servca.com

On the 6th of December 2018, the Department of Health & Social Care released a 50-page consultation document to assess indemnity cover for healthcare professionals who purchase their own indemnity for their private practices. There has been growing concerns that the existing indemnity arrangements that are available to healthcare professionals through discretionary indemnity providers (also known as Medical Defence Organisations - MDO’s) are not suitable.

This is because MDO’s do not have any contractual or regulatory obligation to meet the costs of any claim which leaves medical practitioners personally liable to pay for claims and their own legal representation. The consultation is therefore proposing the option of making it mandatory for healthcare professionals to maintain contractual insurance policies for their medical indemnity arrangements. The benefits of contractual insurance policies for medical indemnity include (but are not limited to):Contract certain terms and conditions for indemnity. Regulated and overseen by the Financial Conduct Authority (FCA) & the Prudential Regulatory Authority (PRA).Bound by “treating the client fairly” (TCF).FSCS backed insurance contracts Inclusive additional extensions of cover (varies from insurer to insurer) e.g. Public Liability Cover, Libel & Slander cover, Reputational Damage cover, Defamation cover, Tax Protection cover, Criminal Proceedings cover etc.

As a response to the recent consultation, the Medical Defence Union and their Chief Executive, Dr Christin Tomkins posted a response on their website titled: MDU says of medical indemnity consultations: If it ain't broke, don’t fix it.The article explains how and why contractual insurance medical indemnity is unnecessary and how a change in the current legislation will not make an improvement to the current arrangements. Interesting….In an article written by Dr Tomkins, MDU Chief Executive in the MDU Journal, Volume 26 – Issue 1, June 2010, The MDU reported that it was “wrong to allow discretionary indemnity” and furthermore, that “it is in our members’ and public interest that all professionals are insured ”The full publication can be read below, but it seems to me that the MDU’s views about indemnity requirements are inconsistent. At Servca, we believe in educating medical professionals about their indemnity and risk management procedures. As an independent, owner-managed Lloyd’s Broker, our role is to provide options to our client so that they can make an informed and responsible decision about their indemnity requirements.

We know how confusing and misleading it can be to make such important decisions and we’re here to make that process easier on you. Whether you decide to take up one of our indemnity solutions or not, our commitment is to healthcare practitioners. Our solemn vow is to provide expert advice at all times without any compromises. Dr Edwin Rajadurai (MBBS)T: +44(0)207 8469010M: +44(0)747 424 6616E: erajadurai@servca.com

Global Headquarters

Servca Group

Dukes House

32-38 Dukes Place

5th Floor

London, EC3A 7LP

United Kingdom


+44 (0) 207 2250000

info@servca.com


Broker at Lloyd’s SLM1389

European Office

Servca Europe

Dragonara Business Centre

Dragonara Road

5th Floor

St Julian’s, STJ 3141

Republic of Malta


+356 (20) 341690

eu@servca.com


Broker at Lloyd’s (Brussels) SLM1883

Canadian Office

Servca Canada Insurance Group Inc
40 King Street West
Suite 2100
Toronto
M5H 3C2
Canada


+1 (647) 846 5555

canada@servca.com


Non-regulated servicing company

Northern Ireland

Servca Northern Ireland
River House Belfast

48-60 High Street

Belfast

BT1 2BE



+44 (0) 2895582000

ni@servca.com


Broker at Lloyd’s SLM1389

© 2024 Servca


Servca Group Ltd is a private limited company registered in England and Wales; Registered Number: 7727494; Registered Office: Dukes House, 32-38 Dukes Place, 5th Floor, London, EC3A 7LP, United Kingdom. Authorised and regulated by the Financial Conduct Authority. Servca European Insurance Brokers Ltd (a private limited company incorporated in Malta and enrolled to act as an insurance broker); Tower Business Centre, Level 3, Tower Street, Swatar, BKR, 4013, Republic of Malta. UK branch office is registered in England and Wales, authorised and regulated by the Financial Conduct Authority. Servca Canada Insurance Group Inc, a private limited company incorporated at 40 King Street West, Suite 2100, Toronto, M5H 3C2, Canada. Servca group of companies are owned and operated by Servca Group Holdings Ltd, a private limited company registered in England & Wales.

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Cookies

Global Headquarters

Servca Group

Dukes House

32-38 Dukes Place

5th Floor

London, EC3A 7LP

United Kingdom


+44 (0) 207 2250000

info@servca.com


Broker at Lloyd’s SLM1389

European Office

Servca Europe

Dragonara Business Centre

Dragonara Road

5th Floor

St Julian’s, STJ 3141

Republic of Malta


+356 (20) 341690

eu@servca.com


Broker at Lloyd’s (Brussels) SLM1883

Canadian Office

Servca Canada Insurance Group Inc
40 King Street West
Suite 2100
Toronto
M5H 3C2
Canada


+1 (647) 846 5555

canada@servca.com


Non-regulated servicing company

Northern Ireland

Servca Northern Ireland
River House Belfast

48-60 High Street

Belfast

BT1 2BE



+44 (0) 2895582000

ni@servca.com


Broker at Lloyd’s SLM1389

© 2024 Servca


Servca Group Ltd is a private limited company registered in England and Wales; Registered Number: 7727494; Registered Office: Dukes House, 32-38 Dukes Place, 5th Floor, London, EC3A 7LP, United Kingdom. Authorised and regulated by the Financial Conduct Authority. Servca European Insurance Brokers Ltd (a private limited company incorporated in Malta and enrolled to act as an insurance broker); Tower Business Centre, Level 3, Tower Street, Swatar, BKR, 4013, Republic of Malta. UK branch office is registered in England and Wales, authorised and regulated by the Financial Conduct Authority. Servca Canada Insurance Group Inc, a private limited company incorporated at 40 King Street West, Suite 2100, Toronto, M5H 3C2, Canada. Servca group of companies are owned and operated by Servca Group Holdings Ltd, a private limited company registered in England & Wales.

Privacy Policy

Cookies

Global Headquarters

Servca Group

Dukes House

32-38 Dukes Place

5th Floor

London, EC3A 7LP

United Kingdom


+44 (0) 207 2250000

info@servca.com


Broker at Lloyd’s SLM1389

European Office

Servca Europe

Dragonara Business Centre

Dragonara Road

5th Floor

St Julian’s, STJ 3141

Republic of Malta


+356 (20) 341690

eu@servca.com


Broker at Lloyd’s (Brussels) SLM1883

Canadian Office

Servca Canada Insurance Group Inc
40 King Street West
Suite 2100
Toronto
M5H 3C2
Canada


+1 (647) 846 5555

canada@servca.com


Non-regulated servicing company

Northern Ireland

Servca Northern Ireland
River House Belfast

48-60 High Street

Belfast

BT1 2BE


+44 (0) 2895582000

ni@servca.com


Broker at Lloyd’s SLM1389

© 2024 Servca


Servca Group Ltd is a private limited company registered in England and Wales; Registered Number: 7727494; Registered Office: Dukes House, 32-38 Dukes Place, 5th Floor, London, EC3A 7LP, United Kingdom. Authorised and regulated by the Financial Conduct Authority. Servca European Insurance Brokers Ltd (a private limited company incorporated in Malta and enrolled to act as an insurance broker); Tower Business Centre, Level 3, Tower Street, Swatar, BKR, 4013, Republic of Malta. UK branch office is registered in England and Wales, authorised and regulated by the Financial Conduct Authority. Servca Canada Insurance Group Inc, a private limited company incorporated at 40 King Street West, Suite 2100, Toronto, M5H 3C2, Canada. Servca group of companies are owned and operated by Servca Group Holdings Ltd, a private limited company registered in England & Wales.

Privacy Policy

Cookies