Medical Indemnity activities and events

12/12/2003

Chronology of AMA activities on medical indemnity

Since late 90's the AMA has been highlighting the emerging medical indemnity problem.

  • 1999 Medical Indemnity Summit highlights pending crisis
  • 2000 AMA sets up Medical Professional Indemnity Task Force  - Increasing concern about UMP's financial position - AMA warns of medical indemnity crisis
  • 2001  Nov - Calandra Simpson sets awarded record and receives national attention, Dec - The Prime Minister heeds the AMA's call for Federal Government intervention

2002

23 Apr   The PM's National Medical Indemnity Summit - universal support received for AMA's plan for tort law reform, including concept of national community funded long-term care and rehabilitation scheme for severely injured patients

29 Apr   UMP announces its intention to seek the appointment of a provisional liquidator

30 Apr   Senator Coonan and Dr Phelps issue a joint statement incorporating the Government's guarantee to cover UMP members

31 May  The PM announces an 'enhanced' guarantee from 30 June to 31 December 2002

2 Oct     The final Ipp Panel Report of the Review of the Law of Negligence

23 Oct   The Prime Minister announces the Government's medical indemnity 'rescue package'

Oct to Dec AMA's consultation with Government continues

19 Dec   First stage of Federal medical indemnity legislation rescue package passes

2003

26 Mar    The Medical Indemnity (Prudential Supervision and Product Standards) Bill 2002 passes through Senate

28 Mar    Senator Coonan meets with the AMA about retirement cover

11 Apr    The AMA and key others interested in the medical indemnity industry meet with Treasury to devise DDR cover

23 May    Prime Minister announces government will cover the 'blue sky', and short-term solutions to DDR cover, with AMA to work with government on guaranteed affordable long-term DDR cover

Negotiations continued for a secure DDR scheme.

Governments are called on to initiate effective tort law reform and a community funded long term care and rehabilitation scheme.

26 Aug    IBNR levy contribution notices sent out by HIC, causing uproar in the profession

Thereafter AMA led by President, Dr Bill Glasson, met with the Prime Minister and other Ministers and worked with high levels of Government on solutions.

14 Sep      Queensland AMA IBNR Rally

28 Sep      NSW AMA IBNR Rally - 4,000 doctors in attendance

29 Sep      Cabinet re-shuffle saw Tony Abbott appointed Health Minister

2 Oct        Numbers of hospital and private resignations increased, media attention

4 Oct        Mr Abbott (not yet sworn in as Health Minister) met with the AMA who stated the case for changes to the IBNR levy and urgent action for long-term indemnity resolution

7 Oct        Minister Abbott announced an IBNR 'moratorium'

10 Oct      Government and AMA separate press releases about going forward proposals

13 Oct      Dr Glasson and Dr Andrew Pesce appointed as AMA's representatives to the Abbott Panel.

20 Oct      Medical Indemnity Kit published in Australian Medicine containing 7 point indemnity plan and actions sheets circulated to all Australian medical practitioners

10 Nov      UMP came out of provisional liquidation

8 Dec        Final Abbott Review Panel meeting

10 Dec      Minister Abbott presented Review Panel's Report to the Prime Minister

15 Dec      Cabinet considered Abbott Review Panel's recommendations

18 Dec      Joint Media Release of Ministers Abbott and Coonan announcing new medical indemnity arrangements

December 2003 Amendments to the medical indemnity legislation made to effect new Medical Indemnity arrangements

2004

Through out the first half of 2004 the AMA worked closely with the Federal Government and the MDOs on administrative and policy detail required to implement the new arrangements.

Weekly meetings between the AMA and relevant Government officials and regular talks with the insurers have taken place to ensure a smooth roll-out of the indemnity arrangements that provide security and affordability of indemnity cover for all sectors of the medical profession.

By May 2004 provision has been made for 'universal indemnity cover' for doctors and the AMA negotiates for an independent peer review mechanism to determine indemnity contract disputes between doctors and their insurers.

The elements of the Government-backed Run-off Cover Scheme are negotiated and Bills to put the arrangements into effect are presented to Parliament in the May sittings.