(1) If the insurer provides medical indemnity cover under section 26A or 26C, there is taken, for all purposes (other than the purposes specified in the regulations), to be a contract of insurance between:
(a) the insurer; and
(b) the person to whom the medical indemnity cover is provided;
under which the medical indemnity cover is provided.
(2) This section applies:
(a) despite the insurer not receiving any premium or other consideration for providing the medical indemnity cover; and
(b) whether or not the medical indemnity cover was provided by means of the person to whom it was provided accepting an offer from the insurer to provide it.