Indemnity regulation reform

Pending

In 2018, the government launched a consultation on appropriate clinical negligence cover for regulated healthcare professionals. This sought views on whether to change legislation to ensure that all regulated healthcare professionals in the UK not covered by state indemnity hold regulated insurance, rather than discretionary indemnity.

The government has now extended this programme to consider the issues raised by the inquiry and is committed to bringing forward proposals for reform in 2022.

The government’s response to this recommendation is pending. We recognise that a system needs to be in place to ensure patients have confidence that they can access appropriate compensation if harmed while receiving care, including when harm arises from criminal acts or omissions. We are now building on previous work in this area to address the root causes of the difficulties faced by Ian Paterson’s patients.

Following the Paterson Inquiry recommendations, the Department has worked with the Medical Defence Union, the Medical Protection Society, and the Medical and Dental Defence Union of Scotland to introduce a sector-led voluntary Code of Practice on 6 January 2025. The code aims to improve the transparency and clarity of medical defence organisations’ operations and the discretionary indemnity they provide healthcare professionals whose activities, for instance private practice, are not covered by state schemes.

The code is currently undergoing a short-term independent implementation evaluation commissioned by the Department through the National Institute for Health and Care Research. This will be followed by an impact evaluation to determine whether further interventions are required.

In March 2024 the Government announced the MDOs’ intention to implement a sector led Code of Practice by the end of 2024 which would act as a safeguard to make the system more transparent as highlighted in the Government’s December 2022 update to the Paterson Inquiry. The Code will be evaluated following implementation to determine its effectiveness.

The Department of Health and Social Care also published the report of an independent survey commissioned to understand healthcare professionals’ indemnity arrangements.

Based on the feedback of the survey and wide-ranging stakeholder feedback, DHSC is also looking at how to improve healthcare professionals’ knowledge of their clinical negligence cover and its importance for patients.

Action 7.1

A summary of responses to the consultation was published on 15 December 2022. As highlighted in the 15/12/22 progress update, we have been assessing options such as safeguarding measures like a sector led Code of Practice.

Based on wide ranging stakeholder feedback, we are also working on an education and training framework for the sector to improve healthcare professionals’ knowledge of their clinical negligence cover and its importance for patients.

In addition, we have commissioned an independent survey of healthcare professionals’ indemnity arrangements. The report will be published shortly along with an update on progress.

Action 7.1:

In 2018, the government launched a consultation on appropriate clinical negligence cover for regulated healthcare professionals, which was then extended to cover the issues raised by the Inquiry. The consultation was published on 15 December 2022. It was noted to be a challenging issue and 3 options were noted which are due to be explored through ongoing work.