Professional indemnity cover for pharmacists and pharmacy technicians

Requirement to have professional indemnity cover

It is a requirement under article 32 of the Pharmacy Order 2010 that practising pharmacists and pharmacy technicians have appropriate cover under an indemnity arrangement as a condition of registration with us. This is to make sure that, where a person has suffered harm through the negligence of a registrant, they will be able to receive any compensation and costs of litigation to which they are entitled following a successful claim.

“Indemnity arrangement” means, in most cases, indemnity cover is covered by an employer if you are employed.  However, many healthcare professionals are not directly employed.  Indemnity cover can also be through:

• a membership of a professional body;
• directly from an insurer; or
• a combination of the above.

Appropriate cover

The appropriate cover will depend on the nature and extent of the risks involved in your practice so that enough compensation will be paid if a successful claim is made against you. What is appropriate cover for you may depend on a combination of factors, including for example:

• the practice area or areas you work in;
• the services you provide to patients and the public; and
• the risks involved with your practice.

Indemnity cover and fitness to practise

Healthcare regulators like the General Pharmaceutical Council (GPhC)  would consider fitness to practise action if they believe that the above requirements have not been met.  For example, if a registrant:

• makes a false declaration that they have professional indemnity cover in place;
• registers or renews their registration but cancels their indemnity cover and fails to put alternative cover in place; or
• has professional indemnity cover which is inappropriate for their practice. 

It is worth noting that the requirement to have appropriate indemnity cover in place applies to all aspects of practice including voluntary work but not for breaks in practice.  For a break in practice, you will need to you must ensure arrangements are in place when you restart your practice.

Protecting your registration

Fitness to practise action in relation to indemnity cover, although less common, is often seen as a particularly serious.  It is therefore important for pharmacists and pharmacy technicians to take care to ensure their indemnity cover is sufficiently comprehensive and in place at all times they are practising.

Here are a few things pharmacists and pharmacy technicians can do to protect their registration:

• If you are employed and are in any doubt, you should always ask what is covered by your employer’s indemnity arrangements.
• You should make sure that you understand the terms of your insurance policy and declare any relevant information to your insurer.
• If you undertake both employed and self-employed work you need to make sure that you have professional indemnity arrangements in place which cover all of your practice.
• If your practice or circumstances change, you need to consider whether you might need to change the cover you have in place or arrange additional cover.
• Make sure that you have the correct minimum cover to meet your regulators’ registration requirements.  £5 million indemnity covers is usually the minimum requirement but you must check with your own Registrar.