Why Australian Doctors Are Paying Too Much for their Medical Indemnity Insurance
Due to an outdated system and an out of touch market many medical professionals across Australia are unknowingly paying too much for their medical indemnity insurance.
Medical Indemnity insurance is an insurance policy specifically designed for health care professionals. It provides protection in the event that they make a mistake causing injury or harm to a patient. All registered health practitioners in Australia must have a Medical Indemnity insurance policy which meets minimum standards in order to practise in their field.
Medical Indemnity insurance has for a long time been a ‘restricted’ market with just a handful of providers in Australia able to arrange this insurance. The available insurance providers have been mostly limited to medical defence organisations, which evolved from a system that commenced in the UK centuries ago.
Recently one of the world’s largest medical indemnity insurers entered the Australian market for the first time offering an alternative for doctors to obtain their medical indemnity insurance which in many cases is not only providing significant savings but also offering improvements in policy coverage.
Berkshire Hathaway were authorised in Australia to become the fifth provider of Medical Indemnity insurance. Berkshire Hathaway is probably most well-known by its CEO and chairman Warren Buffet arguably the world’s most successful investor, however what they should be recognised for is the fact that they one of the world’s largest Medical Indemnity insurers.
The entry of Berkshire Hathaway is a significant event for healthcare professionals in Australia as it provides a very different option to the four MDO’s currently operating here. A key point of difference is that Berkshire Hathaway’s premiums are based on each doctor’s individual requirements and their own practising history. As one of the largest medical indemnity insurers worldwide they have extensive experience in insuring and supporting medical professionals. The different approach they bring to the medical profession in Australia is a breath of fresh air in an area that has not seen any change nor had any new competition for a very long time.
Due to the approach Berkshire Hathaway takes when assessing a healthcare professional the savings can be considerable, which also largely reflects the lack of competition there has previously been in the medical indemnity market.
Now is the ideal time to review your medical indemnity insurance. Contact Professional Essentials on 1300 303 793 to review your Medical Indemnity Insurance.