1st December 2012

ANNUAL REPORT 2012

ADVISOR

We are glad and honoured to announce that the former Chief Justice, Tun Zaki Tun Azmi has kindly consented to become the advisor of MDM Bhd. We warmly and enthusiastically welcome him. Besides his legal expertise he has extensive experience in the commercial world. He is noted for his efficiency in solving problems.

AMENDMENT TO MEDICAL ACT 1971 ("ACT 50")

With the bill to amend the Medical Act 1971 ("Act 50") being recently passed in Parliament, it will be compulsory for medical practitioners to have professional medical indemnity before the Annual Practicing Certificate is issued when the Act is enforced. Medical specialists will have to register with the National Specialist Register. Those members who have not registered with NSR are requested to do so as soon as possible. Hence the public can also check whether a medical practitioner is a specialist. It has been estimated that 40% of the private medical practitioners, (mainly general practitioners) do not have professional indemnity at the moment.

INCREASE IN SUBSCRIPTION RATES

Year 2013 will see an increase in the subscription rates. The increase has factored in the Consumer Price Index (C.P.I), the increasing legal costs, the increase in court awards and the increasing frequency of claims in the high risks specialties. The increase varies from 4% to 8.8%. The higher increase is in the very high risk specialties. Existing members will be entitled to the discount they have earned to date.

Therefore it pays to continuously subscribe to MDM. MDM hopes to develop a quality membership.

For medical practitioners who join in 2013 they will have to pay the new rates. There is a substantial increase to reflect on the current litigation scenario. A list of the 2013 subscription rate is enclosed for your information.

EXCLUSION

Members are reminded that your medical indemnity with MDM excludes:

1. Any claim arising from clinical practice not stated in the Application Form.
2. Any claim arising out of any malpractice occurring prior to the date of your becoming a member.
3. Any claim arising out of a specific liability assumed by the Member under contract which goes beyond the duty to use such skill and care as is usual in the exercise of the Member’s activities stated in the Application Form.
4. Any claim directly or indirectly caused by or contributed to by:

a) Any act in violation of any law or ordinance.
b) Any dishonest, fraudulent or criminal act of the member and/or any employee of the member.
c) The performance of professional service whilst under the influence of intoxicants or narcotics.

If in event any member is cited for any of the above he/she is free to contact MDM and he/she can use the services of our panel of solicitors. But the member has to bear the costs.

Members are also reminded to be prompt in renewing their subscription. MDM sends repeated reminders. Despite these there are still non renewals. When a lapsed member is cited in a claim he or she will plead innocence in not having received the reminders. Again, he/she can avail the services of our panel lawyers but he/she will have to bear the costs.

DUAL MEMBERSHIP

Members are reminded not to have dual membership, i.e., being a member of two medical defence organisations or being a member of a defence organization and a member of a medical malpractice insurance. In event of a civil suit in a medical negligence claim a dispute will arise as to which organization or insurance company will defend the case. Disputes may also arise in apportioning the legal costs and court awards. A situation may also arise that one party will “take a ride” on the other.

To date MDM has done very well in defending its members in medical negligence suits and providing legal representation at Preliminary Investigation Committee (P.I.C.) hearings and Malaysian Medical Council hearings. We congratulate our panel of solicitors for the good work done.

MEDICAL STUDENT INDEMNITY

MDM has always promoted that “avoiding medical negligence” should be taught to medical students in the early years of their studies in the University. This culture should be acquired in the formative years of their medical career. We have visited a few private medical universities and we have given talks to the medical students. We have provided medical indemnity to medical students in a private medial university – the first in Malaysia. Two more such universities are also interested.

With Best Wishes for a successful 2013.

Tan Sri Dato’ Abu Bakar Suleiman
Chairman
Medical Defence Malaysia Berhad