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Insurance shock for nursing homes

Catholic Health Australia, which has 17,000 of the country's 144,000 nursing home beds, has warned that it is facing a bill of up to $13 million just to insure against medical mishaps and public liability insurance this year.

CHA executive director Francis Sullivan told The Australian one 170-bed facility was facing a rise in its premium from $3000 to $8000 a year.

He said if the $13 million were extrapolated across the industry it could be facing a bill of at least $100 million.

GPs and nurses are warning that they face rises of up to 830 per cent in professional indemnity/public liability insurance this financial year in a bill totalling as much as $100 million. A chronic shortage of GPs willing to conduct nursing home visits was predicted to worsen unless the wider medical indemnity crisis was resolved.


The Australian

9 May 2002