Commonwealth Consolidated Acts

MEDICAL INDEMNITY ACT 2002 - SECT 34ZZZ

  (1)   This section applies if:

  (a)   an amount (the actual indemnity amount ) of allied health exceptional claims indemnity has been paid in relation to a qualifying allied health liability that relates to a claim made against a person (the practitioner ); and

  (b)   another amount (not being an amount referred to in subsection   (5)) is paid to the practitioner, an insurer or another person in relation to the incident or incidents to which the claim relates, or in relation to one or more other incidents; and

  (c)   the other amount was not taken into account in calculating the actual indemnity amount; and

  (d)   if the other amount had been so taken into account, a lesser amount (the reduced indemnity amount , which could be zero) of allied health exceptional claims indemnity would have been paid in relation to the liability.

  (2)   The amount overpaid is the amount by which the actual indemnity amount exceeds the reduced indemnity amount.

  (3)   If the Chief Executive Medicare has given the liable person (see subsection   34ZZX(2)) a notice under subsection   34ZZZB(1) in relation to the amount overpaid, the amount is a debt owed to the Commonwealth by the liable person.

Note 1:   If the indemnity is or was not dealt with in accordance with whichever of subsections   34ZZW(3) and (4) applies by the time required by subsection   34ZZW(5), the whole amount of the indemnity is a debt owed by the recipient, and no amount is recoverable under this section (see subsections   34ZZW(6) to (8)).

Note 2:   If:

(a)   the recipient and the practitioner referred to in subsection   34ZZW(1) are not the same person; and

(b)   the practitioner becomes the liable person;

  then (subject to subsection   34ZZX(3)), the recipient ceases to be the liable person, and the amount overpaid must instead be recovered from the practitioner.

  (4)   The amount overpaid may be recovered:

  (a)   by action by the Chief Executive Medicare against the liable person in a court of competent jurisdiction; or

  (b)   under section   42.

  (5)   This section does not apply to any of the following:

  (a)   an amount paid to an insurer by another insurer under a right of contribution;

  (b)   a payment of allied health high cost claim indemnity;

  (c)   an amount of a kind specified in the rules for the purposes of this paragraph.