Commonwealth Consolidated Acts

MEDICAL INDEMNITY (PRUDENTIAL SUPERVISION AND PRODUCT STANDARDS) ACT 2003 - SECT 10

  (1)   This subsection applies to a person if, on or after 1   July 2003:

  (a)   the person:

  (i)   offers to enter into; or

  (ii)   invites an offer to enter into;

    an arrangement under which the person would provide medical indemnity cover for a health care professional; or

  (b)   the person enters into an arrangement under which the person provides medical indemnity cover for a health care professional; or

  (c)   an arrangement under which the person provides medical indemnity cover for a health care professional comes into effect; or

  (d)   the person offers to renew an arrangement under which a person provides medical indemnity cover for a health care professional; or

  (e)   an arrangement under which the person provides medical indemnity cover for a health care professional is renewed.

The relevant medical indemnity cover is the cover referred to in paragraph   (a), (b), (c), (d), or (e).

  (2)   A person (the cover provider ) commits an offence if:

  (a)   subsection   (1) applies to the cover provider; and

  (b)   either:

  (i)   the cover provider is a constitutional corporation; or

  (ii)   the cover provider is not a constitutional corporation but the arrangement has, or would have, a relevant constitutional connection; and

  (c)   either:

  (i)   the cover provider is neither a general insurer nor a Lloyd's underwriter; or

  (ii)   the relevant medical indemnity cover is not, or would not be, effected by means of a contract of insurance.

Penalty:   Imprisonment for 12 months.

  (3)   To avoid doubt:

  (a)   paragraph   (1)(a) applies to offers or invitations that are received in Australia or the external Territories:

  (i)   regardless of where any resulting arrangement is entered into; and

  (ii)   whether or not any resulting arrangement is governed by the laws of a State or Territory; and

  (b)   paragraph   (1)(d) applies to offers that are received in Australia or the external Territories:

  (i)   regardless of where any resulting renewal takes place; and

  (ii)   whether or not the arrangement is governed by the laws of a State or Territory.