A long-term care scheme for the catastrophically injured is still definitely on the national agenda despite AMA claims to the contrary, Minister for Revenue and Assistant Treasurer, Senator Helen Coonan said today.
"Calls for pre-emptive action are misguided and misunderstand the magnitude of the issue," Senator Coonan said.
"Far from slipping from the agenda, Ministers from all jurisdictions have an appetite for taking this issue forward which is remarkable considering the cross-jurisdictional and cross-portfolio interests involved.
"You cannot contemplate a proper system of professional standards for doctors and appropriate caps without having regard for the long-term care needs of those catastrophically injured by medical negligence."
The issue was considered at length during the sixth Ministerial Meeting on Insurance Issues held in Adelaide yesterday (6 August).
Following a presentation involving detailed analysis of data on the number of people that would be covered by such a scheme and the associated costs, State and Territory Ministers agreed to the second stage in the process - developing a long-term care model.
The ongoing review of long-term care will also involve further consideration of professional standards legislation for doctors.
"Long-term care for the catastrophically injured is a serious issue which demands careful consideration. Current State and Territory arrangements include common law compensation, statutory schemes, fault schemes, no fault schemes and, in some instances, no compensation at all," Senator Coonan said.
"In responding on this issue it's necessary we have the proper data to develop a fair and equitable model while ensuring that appropriate financial incentives remain in place to ensure doctors and others take adequate care."
The data available has shown that 61 per cent of catastrophic injuries come under the motor vehicle scheme, 13 per cent in workers' compensation, 11 per cent from medical negligence and 15 per cent under public liability.
"Doctors are only part of the picture, albeit an important part," Senator Coonan said.
"We will continue to look at professional standards and capping for doctors in the context of a fair and equitable long-term care scheme, and expect goodwill and co-operation on all sides."
In the meantime, the Federal Government is taking extensive steps to provide assistance to doctors - a taxpayer funded package worth $65 million per annum.
The Federal Government package includes subsidies for a range of circumstances where doctors have low incomes relative to premium costs (retirees over 65, obstetricians, neurosurgeons and procedural GPs) as well as providing reinsurance to medical indemnity providers through the High Cost Claims Scheme to help hold down premiums.
Doctors concerns about so-called `blue-sky' claims have also been addressed by the Government assuming liability for 100 per cent of amounts payable over an insured limit of $20 million.
Any amounts paid by the Government under this arrangement will be recouped later from doctors via their insurers.