Month: June 2015

26Jun

Liability Insurance for Doctors

The medical industry poses great liability risks because doctors and hospital staff deal with lives everyday. Having Liability Insurance is imperative for these institutions to protect themselves from legal complaints from third parties and the financial burden that comes along with such a situation.

This news article released in 2014 about a malpractice complaint has caused alarm for hospitals and explains the importance of securing Liability Insurance for physicians and regular hospital staff.Blog_-_fact_1

With medical malpractice complaints on a steady rise since 2010, physicians in Hong Kong have lost access to patients and ultimately lose professional credibility.  The country has one of the best public and private health care facilities in the world yet this does not exclude them risks.

This type of insurance is more specifically called Medical Malpractice Insurance. It covers medical practitioners against costs of a civil suit or loss of earnings following instances of libel and slander on the doctor’s practice. It indemnifies them from medical errors that may result in serious injury and even death.Blog_-_fact_2The figure below shows the current structure for filing and resolving medical malpractice complaints. It is still considered a “chaotic” one according to both health professionals and patients; which is why the ongoing healthcare reform has been deemed a critical political necessity since it began in 2008.Blog_-_body_2

The challenge for physicians and hospitals…

The current medical malpractice complaint system has been challenging because it has not been able to provide insurance providers with accurate data for them to fine tune their insurance offers to this specific liability. The reform which still needs to be refined and approved adds to the current lack of coverage and the steadily rising cost of liability insurance premiums.

If the Hong Kong government pushes to call for a wider range of malpractice coverage, as well as providing for more care options, would spread the risk pool wider making the proposition of covering medical professional indemnity risks much more attractive for Hong Kong Insurers.

If you have any questions about Liability Insurance, send us a message on our Contact page or if you have Whatsapp, send your message to +852-6532-4047 (Whatsapp only)

11Jun

Motor Insurance Cover in Hong Kong

All owners of vehicles in Hong Kong are required to have Motor Insurance before they are allowed to drive the streets of Hong Kong. It is also mandatory to present proof of insurance when applying for or renewing your driver’s license.

There are different types of Motor Insurance policies in Hong Kong.

Third Party Insurance Plan

The minimum legal requirement set by the Hong Kong Motor Vehicles Insurance (Third Party Risks) Ordinance is to cover legal liabilities towards third parties with respect to injury or death. It is important to note however that policies in Hong Kong will almost always include cover for damage to third party property (meaning their vehicle and some of its contents).

Comprehensive Motor Insurance

A Comprehensive Motor Insurance policy will extend its cover to protect you against damage to, and theft of, your own vehicle. Insurance providers also offer additional cover with this type of plan such:

  • Windshield cover
  • Car accessories cover
  • Flood coverage
  • Strike or civil commotion cover
  • Passenger liability

The limits of cover or indemnity offered by this policy for private vehicles are as follows:

  • Loss of or damage to the motor car: up to the reasonable market value of the vehicle at the time of its loss or damage or its Insured’s Estimated Value, whichever is the lesser amount. Mechanical or electrical breakdowns, or failures, are not covered by this insurance.

  • Third Party Death or Bodily Injury Limit: HK$ 100,000,000 (set by the government)

  • Damage to Third Party Property Limit: HK$ 2,000,000

Motorbike Insurance

This type of policy also offers option of Third Party Insurance as well as a Comprehensive Insurance plan.

The standard limits of indemnity for Motorbike Insurance are:

  • Third Party Death or Bodily Injury: HK$100,000,000 (set by the government)

  • dir=”ltr”>Damage to Third Party Property: HK$750,000

In the case where you are deemed legally liable for an accident and a third party was involved sustaining damage to their vehicle the claimable amount limit may amount to:

Cost of repairs to third party property: HK$40,000

Excess payable by you as the policy holder: HK$5000

Amount claimable under your third party insurance: HK$35,000

Commercial Vehicle Motor Insurance

Insurance for commercially used vehicles is generally similar with private vehicle insurance but the different policies cover the vehicle for different uses. There is Third Party and Comprehensive plans.

Third Party cover limits may amount to:

  • Third Party Death or Bodily Injury: HK$ 100,000,000
  • Damage to Third Party Property: HK$ 1,000,000

Comprehensive commercial motor Insurance only provides protection for accidental damage to the car, truck, or motorbike and theft of the vehicle. It does not cover mechanical or electrical malfunctions.

Note that this type of cover is different to insurance for taxis and trade plate insurance, which are specialized plans.

According to the Transport Department of Hong Kong 2014 records of accidents in Hong Kong were:

Blog_-_Motor_Insurance_-_pictograph

You never know what can happen on the road or even while you’re parked. Find a policy that will cover you from all these risks today.