SA Minister For Human Services Response re Midwifery Indemnification Issue 12/8/01

[Roslyn Donnellan - Fernandez]

For your interest:   12 August 2001   Dear Ms Donnellan - Fernandez   Thank you for your letter concerning the decision of Guild Insurance to withdraw professional indemnity insurance from midwives in private practice.   The Department of Human Services has been in contact with Ms Alana Street, executive Officer and Mrs Elizabeth Woods State President of the Australian College of Midwives Incorporated (ACMI), Mr Allan Smith, Regional Manager of Guild Insurance, the ANF (SA Branch) and the Nurses Board of South Australia in relation to this matter. It is most disappointing that Guild Insurance has taken such action, which has consequences, not only for private midwives, but also for the women in their care.   The South Australian government will continue to support a range of midwifery models, including community midwifery and caseload midwifery. However, the cost of indemnity insurance for servcies to private patients must be bourne by the provider of the service. The responsibility of the state government is to insure its own employees who provide services to public patients. Independent midwives provide services to private patients and are not considered to be any different to other practitioners who provide private medical services.   The Department of Human Services is committed to the support of midwives and the midwifery profession and to the provision of a wide range of maternity care options. As you may know, the Department is an industry partner in the Australian Midwifery Action Project. The Department is also working closely with the Australian Health Workforce Advisory Committee in relation the Midwifery Workforce Working Party and is coordinating a midwifery up-skilling program in rural and remote areas of the State.   The Australian Health Ministers' Advisory Council has established a Jurisdictional Working Party, supported by a Medical Indemnity Consultative Committee, which has as one of its Terms of Reference "Sustainable solutions for addressing long term care costs in health care litigation." The report of the Jurisdictional Working Party will provide the basis for dealing with this issue at a national level. At the recent Australian Health Ministers' Conference, Ministers specifically referred the matter of indemnity for midwives to the Working Party.   In regard to professional indemnity insurance for medical practitioners, as part of the fee-for-service arrangements, the State government insures rural resident medical practiotners for services to public patients in public hospitals. The State government also provides a brokerage service with a medical defence organisation for insurance cover related to services to private patients for those medical practitioners who wish to access this service. Unfortunately, I understand that medical defence organisations are not prepared to provide professional indemnity insurance to midwives.   The "Healthy Start" policy, recently issued by the Department of Human Services, is further evidence of the committment of the South Australian Government to the provision of best practice maternity and obstetric care options for South Australian women and their families.   Thank you for raising this matter with me.   Yours sincerely Hon Dean Brown MP Minister for Human Services