AMA Indemnity Bulletin 1

24 April, 2003

Following representations by the AMA (WA), the State Government has agreed to introduce legislative reform and policy changes to address medical indemnity issues.

It is disappointing that the Gallop Government failed to address this issue until it became a public crisis highlighted by the Association.

We now expect the State Government to shortly announce the following changes recommended by the AMA (WA).

1. Change to the Statute of Limitations from the current maximum of 24 years to three years with some provision for exceptional cases.
2. Changes to Tort Law including definition of negligence.
3. Indemnification of salaried doctors.
4. Indemnification of VMP's treating patients in public hospitals.

Many of the other States have already addressed these issues and the AMA (WA) is continuing to exert strong pressure on the Gallop Government to act with urgency.

The AMA (WA) is aiming to achieve the necessary outcomes prior to 1st July 2003. The detail will be critical. The Health Department (WA) is also working hard to develop outcomes to enable doctors to continue to provide services after 1st July, address the legislative needs and codify indemnity for practitioners providing services in public hospitals.

Complementary outcomes at a Federal level have been achieved by the AMA. However, a lot of work is continuing to address the death, disablement and retirement (DDR) and "blue sky" issues, ie funding the tail and seeking to ensure that the changes do not leave doctors exposed to claims which exceed their insurance cover.

If any member wishes to discuss the matter, please do not hesitate to call the Association on (08) 9273 3008.