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NSW tort law reform legislation a catalyst for national action

Federal AMA President, Dr Kerryn Phelps, said today that tort law reform legislation introduced by the NSW Government yesterday is a positive and welcome first step in addressing the escalating medical indemnity crisis.

Dr Phelps said that NSW Health Minister, Craig Knowles, should be congratulated for confronting the problem head-on with this legislation.

"The other State and Territory Governments should follow the NSW example, then work together to produce further solutions to a crisis that threatens the provision of health services around Australia and forcing increased costs to be passed on to patients," Dr Phelps said.

"Mr Knowles and his Department consulted both the Federal AMA and the NSW AMA in the development of these tort law initiatives.

"While this legislation has started the ball rolling, all parties agree that more work needs to be done by all governments to address the high cost of medical indemnity insurance and the effect it is having on the provision of vital health services, particularly in rural and regional areas.

"I look forward to working with the NSW Government in building on this initiative so we can provide security and certainty for doctors and their patients.

"The AMA urges all governments to introduce similar legislation and to work with the medical profession to end the insanity of medical insurance premiums of up to $130,000 per year per doctor like we are seeing in NSW right now.

"This legislation opens the way for the Federal Government to now seriously look at structured settlements for medical indemnity claims.

"The AMA has been lobbying both the Federal Government and Federal Opposition on this matter, and we are hopeful of action soon in this area.

"If the NSW legislation acts as a catalyst for national action on this issue, the whole community will benefit,"

Dr Phelps said.

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CONTACT: John Flannery (02) 6270 5477 / (0419) 494 761

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