A Doctor’s Guide to Insurance in Australia

For doctors in Australia, insurance plays a vital role in the medical profession, ensuring they are adequately protected against professional liabilities and unforeseen circumstances. In this blog post, we will explore the basic aspects of insurance that doctors need to understand to ensure adequate coverage for their practice.

What is Medical Indemnity Insurance?

Under Australian law and the Australian Health Practitioner Regulation Agency (AHPRA) registration regulations, doctors must have appropriate medical indemnity insurance. Whether directly insured or indemnified by their employer, doctors are responsible for ensuring their insurance covers all practice contexts and meets AHPRA standards. Medical Indemnity Insurance (MII) policies provide coverage for personal liabilities resulting from a breach of professional duties and legal costs.

The type of MII coverage required depends on the practice context. In the public sector, employers may provide MII, but it may not cover all day-to-day exposures, necessitating the need for additional insurance. Doctors working in the private sector often need to arrange their own MII coverage. Locum doctors, volunteers, and those undertaking telehealth duties should ensure their policies cover the specific settings they work in.

Retroactive and Run-Off Cover:

Retroactive or tail cover helps avoid insurance coverage gaps when switching providers or policies. Reputable MII policies usually include this as a standard feature. The Run-Off Cover Scheme (ROCS) is a government initiative that provides free MII to doctors who have left private practice, ensuring ongoing insurance coverage against potential claims. Eligibility for ROCS depends on specific criteria, but doctors who don’t qualify may need to purchase their own run-off-cover policy.

Optional Insurance Policies:

In addition to MII, doctors can consider various optional insurance policies to further protect themselves and their families. These include public and product liability insurance, worker’s compensation, income protection, critical illness cover, total permanent disablement cover, life insurance, health insurance, and cyber insurance. The need for these additional policies depends on factors such as running a private business, working as a locum, or practicing through a company or trust.

Engaging the services of an insurance broker is recommended to receive independent advice and find the best coverage, especially for doctors navigating the job market in Australia.

For more information contact us for a copy of our comprehensive Doctor’s Guide to Insurance in Australia.