Indemnity requirements

Being covered by an employer’s indemnity arrangements doesn’t mean you’re exempt from having appropriate indemnity cover, but it may mean you don’t need to purchase additional cover. If your employer has made indemnity arrangements which provide appropriate cover for any risks incurred in your area of practice, that should be sufficient. However, it is your responsibility to make sure you’re appropriately indemnified under your employer’s cover.

If you work for more than one employer, you need to make sure you have appropriate indemnity arrangements in place for each area of your practice. If you’re unsure, you should check what is covered under your employer’s indemnity arrangements. You may also want to seek advice from an indemnity provider to help you decide whether to arrange any personal indemnity cover in addition to your employer’s arrangements. An employer’s arrangement will only provide cover for activities performed by an employee as part of their duties in that job. 

 

If you’re self-employed, you need to put in place your own arrangements for appropriate indemnity cover. You should make sure that you understand the terms of your policy and declare all the facts and information, including your full scope of practice, to your indemnity provider.

If you undertake a combination of employed and self-employed work, you need to make sure you have appropriate indemnity arrangements in place for each area of your practice.

We recognise you may not have yet secured employment or made a separate indemnity arrangement. You’ll still be able to apply for registration. We’ll ask you to declare that you understand you can’t practise unless you have appropriate indemnity cover in place and will inform us within seven days if your cover runs out. If you don’t complete the declarations, you won’t be able to register with us.

The requirement to have appropriate indemnity arrangements in place applies to all registrants and all aspects of practice. If you’re employed, your employer may well have made indemnity arrangements which will provide appropriate cover for the risks associated with the activities you carry out as part of your job. But it’s your responsibility to make sure you’re appropriately indemnified under your employer’s cover.

If you’re self-employed and in non-clinical practice, you should contact your insurer, trade union, professional body or defence organisation for specialist advice on adequate and appropriate indemnity cover for your practice.

 

If your practice changes, for example because you take on new responsibilities, begin to specialise, or move into management, education or research, you may need to review the level of cover provided by your indemnity arrangements or take out new cover. 

You should review your indemnity arrangements whenever you change your role or start a new job, to make sure you continue to have appropriate cover. For example, if you become an independent prescriber, you should check that your indemnity arrangements cover this area of practice. 

A pharmacy owner must make sure they have appropriate indemnity arrangements in place for the services provided at their registered pharmacy or any associated premises. The cover must be appropriate and consider the nature and extent of the risks associated with the services provided. If, for example, a pharmacy sells medicines online to patients who live outside Great Britain, the owner must make sure they inform their indemnity provider that this is part of the services they provide. They may also need to provide evidence that their service complies with relevant guidance, import and export requirements, and legislation in the country where the patient will receive the medicines. 

The level of cover should be sufficient to meet any liabilities that may be incurred if a successful claim is made against you. For example, legal costs and any compensation awarded.

An employed registrant, whether they work for a pharmacy owner or another employer, should consider whether any indemnity arrangement provided by their employer is sufficient or whether they need to make any additional arrangements. Registrants will need information about any indemnity arrangement provided by an employer so they can make an informed decision about whether they need to make any additional arrangements. They must have appropriate and adequate cover for all aspects of their practice.

If an employed registrant is asked to provide details of their indemnity cover to the GPhC, they’ll need to ask their employer for the details of the employer’s indemnity arrangements. They’ll need to submit this, along with a letter from their employer to confirm they’re covered by the policy.

 

We’ll provide full information about what you need to send us. Any evidence you provide will need to relate to the date or dates stated in the notice. You can send us copies of certificates or scanned copies of certificates. If you work solely for an NHS employer, we’ll accept a letter from the NHS Human Resources department confirming your employment status and the fact you’re covered by their indemnity arrangements for work carried out as part of your NHS job.

You must inform us within seven days if you cease to have indemnity arrangements in place that provide appropriate cover. You don’t need to inform us about routine changes in indemnity cover such as a change of provider.

When you apply to register, restore or renew your registration with us, you’ll be asked whether you have an indemnity arrangement in place and whether this is provided by:

•    your employer

•    a personal arrangement with an indemnity/insurance provider

•    a combination of employer provided indemnity arrangement and a personal arrangement

If you indicate in your application that you don’t have any indemnity arrangements in place, you’ll be asked to confirm you understand that, on entry in the register or renewal of your entry, you can’t practise as a pharmacist or pharmacy technician. You can only practise if you have an indemnity arrangement which provides appropriate cover for your scope of practice.

You’ll also be asked to confirm that you’ll inform us in writing within seven days if you cease to have appropriate indemnity arrangements in place. If you don’t complete the declarations, you won’t be able to register, renew or restore your registration and will be removed from the register.

We wouldn’t request evidence of indemnity cover from registrants on a routine basis, but we may seek evidence when, for example, a complaint has been made or there are concerns that appropriate cover may not be in place.

There’ll be no requirement to provide evidence of indemnity cover as part of the standard renewal process. The renewal process requires a self-declaration. If we need to see evidence of indemnity cover from a registrant during their renewal period (for example, because concerns have been raised that they don't have cover in place), we’ll send you a separate letter with a deadline for providing this information.

 

If you’re registered but not practising, you must still inform us within seven days of your indemnity cover running out.

If you’re not practising at all for a period, for example because you’re on a career break, maternity leave or between jobs, we don’t require you to have indemnity cover during this period. You may want to consider whether you need to take out a ‘run-off’ indemnity policy, which would provide cover for any claims made relating to the work you did before you stopped practising. Your insurer, trade union, professional body or defence organisation can talk to you about this.

Similarly, if you’re working in a field unconnected with pharmacy and aren’t undertaking any work that could be considered to fall within the definition of ‘practising’ in the Pharmacy Order (article 3(2)), we wouldn’t require you to have indemnity arrangements in place. 

You may also want to consider whether you need to take out a ‘run-off’ indemnity policy to provide cover for any claims made relating to the work you did before you stopped practising. Your insurer, trade union, professional body or defence organisation can advise you about this.

Before practising again, you would need to make sure you have appropriate indemnity arrangements in place. You would also need to continue to meet the CPD requirements while you’re on the register. If you’re not intending to practise for some time, you may want to consider applying for voluntary removal from the register and then applying for restoration before beginning to practise again. 

 

The requirement to have appropriate indemnity arrangements in place applies to all registrants and all aspects of practice. If you practise your profession on a voluntary basis, the organisation you’re working for may have made indemnity arrangements to cover you for the activities you carry out for them, or you may already have personal indemnity arrangements that cover your voluntary work. It’s your responsibility to make sure you have appropriate indemnity arrangements in place for all aspects of your practice.

If you’re unsure, you should check with the organisation for which you are volunteering or contact your insurer, trade union, professional body or defence organisation for advice.

If you’re practising outside Great Britain, you should make sure you have appropriate indemnity cover in place for wherever you are practising and a claim could be brought against you.

If you return to Great Britain, you need to make sure you have appropriate indemnity arrangements in place before resuming practice here.

We don’t consider someone providing first aid or other emergency help when there is no obligation to do so as professional practice. This means you don’t have to have an indemnity arrangement to cover this.

Helping in a professional capacity in your local community, or giving advice to friends or relatives, is less clear cut. Single, unpaid acts are unlikely to be considered practising as a pharmacist but repeated acts over a period, even if unpaid, may require appropriate indemnity cover. If you’re concerned about any potential liabilities, you should check with your insurer, trade union, professional body or defence organisation for advice on whether you have or need cover for such acts.