The difference between a Malpractice and a Professional Indemnity policy is in the insuring clause. A Malpractice policy provides cover for claims by third parties (patients or their families) arising from bodily injury caused by a breach of your professional duty. Bodily injury as defined in most policy wordings includes;
- Bodily Injury;
- Mental Anguish or Mental Injury;
- Illness or Disease;
Other than Professional Indemnity policies designed for certain professions (architects, Engineers, etc.) policies normally have exclusions for these types of claims.
Private and Public Hospitals, Day Surgeries/Clinics, companies providing ambulatory services, laboratories (pathology and diagnostic), facilities providing care to the aged, counselling services and O.H&S Consultants (D&A Testing Facilities) are the types of businesses that may require this form of insurance.