Medical and allied health professionals operate in a high-responsibility environment where advice, treatment and clinical decisions can have significant consequences. Claims can arise even where care is appropriate. Medical & Allied Health Professional Insurance is designed to help protect practitioners and practices against the financial and legal impact of these risks.

At Rivergum Insurance Brokers, we help healthcare professionals arrange insurance that reflects scope of practice, regulatory obligations and how services are delivered.

Who Is This Insurance For?

Medical & Allied Health Professional Insurance is relevant for a wide range of practitioners and businesses, including:

• Medical practitioners and specialists

• Allied health professionals (physiotherapists, occupational therapists, psychologists, dietitians, speech pathologists, podiatrists, chiropractors, osteopaths, etc.)

• Nurses and nurse practitioners

• Dentists and dental practices

• Diagnostic and pathology services

• Healthcare clinics and group practices

Key Risk Exposures in Healthcare

Healthcare professionals face unique risks, including:

Professional Negligence Claims

Allegations of incorrect advice, diagnosis, treatment, or failure to meet expected professional standards.

Patient Injury or Harm

Claims arising from physical injury, psychological harm or adverse treatment outcomes.

Regulatory & Disciplinary Investigations

Investigations by professional boards or regulators relating to conduct, standards or compliance.

Privacy & Data Breaches

Exposure arising from handling sensitive patient health information.

Employment & Practice Management Risks

Claims involving staff, contractors, workplace conduct or practice management decisions.

What Does Medical & Allied Health Insurance Typically Include?

Insurance arrangements vary depending on profession and practice structure, but commonly include:

Professional Indemnity Insurance

Professional Indemnity (PI) is the core cover for healthcare professionals. It provides protection for claims alleging:

• Professional negligence

• Errors or omissions in treatment or advice

• Breach of professional duty

For many professions, PI insurance is mandatory under registration requirements. Retroactive dates and run-off cover are critical considerations.

Public & Products Liability

Covers third-party injury or property damage arising from practice operations, such as:

• Patients or visitors injured at the premises

• Incidents involving equipment or products supplied

Medical Malpractice / Medical Indemnity (Where Applicable)

For registered medical practitioners, medical indemnity policies may be required to meet AHPRA and Medical Board obligations. These policies are specialised and subject to regulatory standards.

Cyber Liability Insurance

Healthcare providers hold highly sensitive personal and health information. Cyber insurance can assist with:

• Data breaches and privacy incidents

• Ransomware attacks

• Regulatory notifications and response costs

Management Liability (For Practices & Clinics)

Relevant for clinics or incorporated practices with employees, covering:

• Employment practices claims

• Directors and officers liability

• Certain statutory exposures

Property & Business Interruption

For clinics with premises, cover may include:

• Buildings and contents

• Medical equipment

• Loss of income following an insured event

Run-Off Cover – Why It Matters

Run-off cover protects you against claims made after you cease practising, but relating to work performed in the past.

This is particularly important when:

• Retiring

• Selling a practice

• Changing insurers

• Reducing scope of practice

Many professional indemnity policies require run-off to be arranged or maintained for a period of time.

What’s Not Automatically Covered?

Common exclusions or limitations may include:

• Criminal acts or deliberate misconduct

• Services outside declared scope of practice

• Unregistered or uninsured activities

• Known circumstances prior to policy inception

Policy wording and disclosure are critical.

Why Arrange Medical & Allied Health Insurance Through Rivergum?

Healthcare insurance requires careful attention to scope, regulatory obligations and claims handling. As brokers, we:

• Review your profession, registration and services

• Ensure PI limits and retroactive dates are appropriate

• Coordinate multiple policies into a coherent structure

• Explain policy conditions and exclusions

• Assist with claims and regulatory notifications

Our role is to help ensure your insurance supports your practice — not complicates it.

FAQs: AHPRA & Mandatory Professional Indemnity Insurance

Is Professional Indemnity Insurance mandatory for health practitioners?

Yes. AHPRA requires registered health practitioners to hold appropriate and adequate Professional Indemnity (PI) Insurance as a condition of registration.

The exact requirements depend on your:

• Profession

• Scope of practice

• Work setting

• Level of risk

What does “appropriate and adequate” mean under AHPRA?

AHPRA does not mandate a single policy limit for all professions. Instead, PI insurance must be appropriate to:

• The nature of the services you provide

• The level of risk associated with those services

• Any regulatory or professional standards that apply to your profession

In practice, this means your PI insurance should realistically respond to the types of claims that could arise from your work.

Does AHPRA specify minimum policy limits?

Some professional boards or associations recommend minimum limits, but AHPRA itself focuses on adequacy, not a universal dollar amount.

You are responsible for ensuring:

• Your limit is sufficient for your practice

• The policy matches your actual scope of services

Do I need PI insurance if I work as a contractor or employee?

Often, yes.

Even if:

• You are employed by a clinic, or

• Your employer holds insurance

You may still be required to hold your own PI cover, depending on:

• Your registration requirements

• Your employment or contractor agreement

• Whether the employer’s policy extends to you

This should be confirmed, not assumed.

What happens if I don’t maintain PI insurance?

Failure to maintain appropriate PI insurance can:

• Breach AHPRA registration requirements

• Expose you to personal financial liability

• Create issues during audits, complaints or investigations

Insurance should be continuous and appropriately structured.

Does PI insurance cover regulatory investigations or complaints?

Some policies include cover for:

• Investigations by professional boards

• Disciplinary proceedings

• Legal representation costs

This varies by policy and is often subject to sub-limits and conditions.

Do students or provisional practitioners need PI insurance?

This depends on:

• Registration status

• Whether you are covered under an employer or training institution’s policy

• Board-specific requirements

It’s important to confirm coverage rather than assume it applies automatically.

What Is Run-Off Cover?

Run-off cover provides protection for claims made after you stop practising, where the alleged incident occurred while you were still working.

Healthcare claims are often made months or years after treatment, which makes run-off cover particularly important.

Why Run-Off Cover Matters in Healthcare

Claims may arise due to:

• Delayed complications

• Retrospective reviews of treatment

• Complaints lodged long after services were provided

Without run-off cover:

• You may have no insurance responding

• You could be personally responsible for legal and compensation costs

When Do You Need Run-Off Cover?

Run-off cover is commonly required when you:

• Retire from practice

• Sell or close a clinic

• Change professions

• Reduce or cease clinical work

• Cancel or non-renew your PI policy

In many cases, AHPRA expects practitioners to maintain run-off cover where there is ongoing risk of claims.

How Run-Off Cover Works

There are two common structures:

1. Automatic Run-Off

Some policies include limited run-off cover automatically when you permanently cease practice.

Conditions may apply, such as:

• Permanent retirement

• No intention to return to practice

• Notification requirements

2. Purchased Run-Off

In other cases, run-off cover must be:

• Specifically arranged

• Maintained for a defined period (or indefinitely)

This is common when:

• Changing insurers

• Exiting private practice

• Selling a business

How Long Does Run-Off Cover Need to Last?

There is no single rule. The appropriate duration depends on:

• Profession and risk profile

• Nature of services provided

• Regulatory expectations

• Likely claim timeframes

Some healthcare claims can arise many years after treatment.

Common Misunderstandings About Run-Off

• ❌ “I’ve stopped practising, so I don’t need insurance”

• ❌ “My old policy will still respond”

• ❌ “My employer’s insurance will cover past work”

In most cases, claims-made policies require an active policy at the time the claim is made.

How Rivergum Helps With Run-Off Cover

We help healthcare professionals:

• Understand when run-off is required

• Compare automatic vs purchased run-off options

• Align cover with AHPRA expectations

• Avoid gaps during retirement or transition

Our focus is on ensuring protection continues after you stop practising, not just while you’re working.

Speak With Us

If you’re considering retirement, changing roles, or reviewing your Professional Indemnity arrangements, we can help you assess whether run-off cover is needed.

Contact Rivergum Insurance Brokers to discuss your profession, registration obligations and insurance continuity.