Midwife Professional Indemnity (Commonwealth Contribution) Scheme Rules 2020

made under the

Midwife Professional Indemnity (Commonwealth Contribution) Scheme Act 2010

Compilation No. 6

Compilation date:                              1 January 2023

Includes amendments up to:            F2022L01677

About this compilation

This compilation

This is a compilation of the Midwife Professional Indemnity (Commonwealth Contribution) Scheme Rules 2020 that shows the text of the law as amended and in force on 1 January 2023 (the compilation date).

The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.

Uncommenced amendments

The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Modifications

If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law.

Self‑repealing provisions

If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.

Contents

Part 1—Preliminary                                                                                                                                        1

Division 1—Preliminary                                                                                                                        1

1............ Name............................................................................................................................. 1

3............ Authority....................................................................................................................... 1

Division 2—Definitions                                                                                                                           2

5............ Definitions..................................................................................................................... 2

6............ Eligible insurer.............................................................................................................. 2

7............ Requirement for eligible midwife.................................................................................. 2

Part 2—Midwife Professional Indemnity Commonwealth Contributions                    3

9............ Late payment penalty rate.............................................................................................. 3

10.......... Applicable interest rates for financial years for working out total run‑off cover credit.. 3

Part 3—Application, transitional and saving provisions                                                          5

Division 1—Temporary measure relating to eligible run-off claims                             5

11.......... Eligible run‑off claims................................................................................................... 5

Endnotes                                                                                                                                                                 6

Endnote 1—About the endnotes                                                                                                        6

Endnote 2—Abbreviation key                                                                                                            7

Endnote 3—Legislation history                                                                                                         8

Endnote 4—Amendment history                                                                                                       9

Part 1—Preliminary

Division 1—Preliminary

1  Name

                   This instrument is the Midwife Professional Indemnity (Commonwealth Contribution) Scheme Rules 2020.

3  Authority

                   This instrument is made under the Midwife Professional Indemnity (Commonwealth Contribution) Scheme Act 2010.

Division 2—Definitions

5  Definitions

Note:          A number of expressions used in this instrument are defined in the Act, including the following:

(a)    eligible midwife;

(b)    insurer;

(c)    midwife professional indemnity cover.

                   In this instrument:

Act means the Midwife Professional Indemnity (Commonwealth Contribution) Scheme Act 2010.

general interest charge rate has the same meaning as in section 8AAD of the Taxation Administration Act 1953.

Note:          The general interest charge rate is a daily rate.

6  Eligible insurer

                   For the purposes of the definition of eligible insurer in subsection 5(1) of the Act, this section specifies the class of insurers each of which has an arrangement with the Commonwealth relating to:

                     (a)  the provision, by contracts of insurance with the insurer, of midwife professional indemnity cover; and

                     (b)  the provision by the insurer of cover in the nature of midwife professional indemnity run‑off cover (within the ordinary meaning of that term).

7  Requirement for eligible midwife

             (1)  For the purposes of paragraph (b) of the definition of eligible midwife in subsection 5(1) of the Act, this section specifies a requirement to be met by a person who is licensed, registered or authorised to practice midwifery by or under a law of the Commonwealth, a State or a Territory.

             (2)  The person must have the person’s licence, registration or authorisation to practise midwifery endorsed by the Nursing and Midwifery Board of Australia with a statement to the effect that the person is qualified:

                     (a)  to prescribe medicines included in Schedules 2, 3, 4 and 8 to the current Poisons Standard (within the meaning of the Therapeutic Goods Act 1989); and

                     (b)  to provide associated services required for midwifery practice in accordance with relevant State and Territory legislation.

Part 2—Midwife Professional Indemnity Commonwealth Contributions

9  Late payment penalty rate

                   For each of the following subsections of the Act, the general interest charge rate for the first day in the period described in paragraph (c) of the subsection is specified for the purposes of paragraph (a) of the subsection:

                     (a)  subsection 28(2);

                     (b)  subsection 40(2);

                     (c)  subsection 76(2).

Note:          The general interest charge rate is a daily rate that, under the relevant subsection of the Act, applies for each day in the period.

10  Applicable interest rates for financial years for working out total run‑off cover credit

             (1)  For the purposes of subsection 44(4) of the Act, the rate of interest, for a financial year, is the rate as worked out using the following formula:

where:

index number, in relation to a quarter, means the All Groups Consumer Price Index number that is the weighted average of the 8 capital cities and is published by the Australian Statistician in respect of that quarter.

earlier March quarter, in respect of a financial year, means the index number for the March quarter before the latest March quarter in respect of that financial year.

latest March quarter, in respect of a financial year, means the index number for the March quarter before the beginning of the financial year.

Example:    For the 2020–21 financial year, the index number for the latest March quarter is the index number for the quarter ending March 2020 and the index number for the earlier March quarter is the index number for the quarter ending March 2019.

             (2)  A rate of interest is to be worked out to 3 decimal places.

             (3)  If a rate of interest worked out under subsections (1) and (2) would, if it were worked out to 4 decimal places, end in a number that is greater than 4, the rate is to be increased by 0.001.

             (4)  If a rate of interest worked out under subsections (1), (2) and (3) would be less than 1, the rate is to be increased to 1.

             (5)  Subject to subsection (6), if at any time (whether before or after the commencement of this section), the Australian Statistician publishes an index number for a quarter in substitution for an index number previously published by the Statistician for that quarter, the publication of the later index number is to be disregarded for the purposes of this section.

             (6)  If at any time (whether before or after the commencement of this section) the Australian Statistician changes the index reference period for the Consumer Price Index, regard is to be had, for the purposes of applying this section after the change takes place, only to index numbers published in terms of the new index reference period.

Part 3—Application, transitional and saving provisions

Division 1— Temporary measure relating to eligible run‑off claims

11  Eligible run‑off claims

             (1)  For the purposes of paragraph 31(2)(f) of the Act, subsection 31(2) of the Act applies to the persons covered by subsection (2) of this section.

             (2)  Subject to subsection (3) of this section, this subsection covers a person if subsection 31(2) of the Act would apply to the person (disregarding this section) were it not for practice as an eligible midwife that the person begins to engage in during the period:

                     (a)  beginning on 2 April 2020; and

                     (b)  ending on 21 September 2023.

             (3)  If, at the end of 21 September 2023, the person is still engaged in practice as an eligible midwife, subsection (2) of this section ceases to cover the person at the end of that day.

Endnotes

Endnote 1—About the endnotes

The endnotes provide information about this compilation and the compiled law.

The following endnotes are included in every compilation:

Endnote 1—About the endnotes

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history

Abbreviation key—Endnote 2

The abbreviation key sets out abbreviations that may be used in the endnotes.

Legislation history and amendment history—Endnotes 3 and 4

Amending laws are annotated in the legislation history and amendment history.

The legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.

The amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.

Misdescribed amendments

A misdescribed amendment is an amendment that does not accurately describe the amendment to be made. If, despite the misdescription, the amendment can be given effect as intended, the amendment is incorporated into the compiled law and the abbreviation “(md)” added to the details of the amendment included in the amendment history.

If a misdescribed amendment cannot be given effect as intended, the abbreviation “(md not incorp)” is added to the details of the amendment included in the amendment history.

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history