Locum Insurance FAQs

Locum Insurance protects a practice when key staff can’t work. Policies are held by the business, with payouts used as needed, like hiring locums or covering costs. Options include Top-Up (bridging NHS shortfalls) or Full Cover (lump sums). Practices choose benefit levels, length of cover, and waiting periods. Claims go directly to the practice, with no receipts required.

Locum Insurance

QUESTIONS & ANSWERS

FAQs

What is Locum insurance?

Locum insurance is a policy designed to protect a medical (or allied health) practice if one of its practitioners (GPs, dentists, vets, pharmacists, ANPs, etc.) is unexpectedly unable to work.

The insurance is held in the name of the practice (not the individual), and it is the practice that receives any payments under the policy.

It is not equivalent to income protection for the individual: the policy supports the business’s continuity rather than guaranteeing income directly to the practitioner.

Who is Locum Insurance for?

Locum insurance provided by Practice Cover has been especially designed for:

GP’s
Dentist’s
Vets
Pharmacists
ANP’s
Allied Health Professionals
All Practice Staff included in a General Practice, dental Practice, Veterinary Practice.

If you can’t, see your practice or role on this list – give us a call at 0203 982 0420 to ask.

What is the difference between Locum Insurance and Income protection?

Our Locum Insurance is designed to protect the business, the GP’s, Dentists, Vets etc are the people insured under the businesses policy. The policyholder is the practice, and the policy will be under the practice’s name. This means it will be paid to the practice and hey can then decide how the payment is used. This will not protect the persons insured income and no payments will be directly sent to a persons insured. We support the business; you can choose to support the individual.

If I own my Practice – can I have a Locum Insurance Policy?

Of course, if your absence would be detrimental to the business or need that secure feeling and you are any of our eligible professions then we will cover you. Your policy would be in the business’ name but if you were the sole practitioner – then you would simply be the only person insured.

Will my Locum Policy effect the amount I receive from the NHS?

In simplest terms, No. Having locum insurance will not disadvantage or change your NHS reimbursement.

With our Top-Up policy we simply pay the remainder of the funds needed if you were to claim to cover the insured person’s weekly benefit. E.g. if you’re insured for £3,000 a week and were a practicing GP in England you would receive £1,856 from the NHS for the first 26 weeks and £1,144 from us for the first 26 weeks.

With Full Cover we would simply pay the lump sum of £2,000 on top of any reimbursement you receive from the NHS.

Note that there may be a tax charge if the practice ‘profits’ from a GP’s absence and you should see advice from your accountant.

What’s the point of Top-Up Cover – why can’t I rely on the NHS?

In some circumstances, people can rely on the NHS, however what many people don’t realise is that it all depends on the funding from your ICB’s. You may not be able to claim the full £1,856 for England GP’s and the full £1,751 for all other UK GP’s.

The Top-Up cover’s benefits can be seen in the second period of 26 weeks, when the NHS reimbursement halves. The cost of a locum remains the same, the insured person is not available to work, your other staff’s pay remains the same – but our payments will not stay the same! We increase them, so you are still receiving the full weekly sums insured every week! E.g. if you were insured for £3,000 in the second period of 26 weeks the NHS would only pay a maximum of £928 for England GP’s and £875 for all other UK GP’s which would see many practices experience difficulty. Fortunately, you have Top-Up Cover and Practice Cover have paid the remaining £2,072 or £2,125 respectively.

Continuity of Cover vs. Annually Renewable – what’s right for me?

The choice is yours, continuity of cover or annually renewable.

Continuity of cover allows you to have peace of mind that no matter what you claim for – it won’t change your terms – you can claim for the same accident or illness repeatedly.

Annually renewable means that if you make a claim, restrictions may be placed at renewal. This however does mean that it is significantly cheaper. If Locum Insurance is your fail safe for accidental emergencies, then Annually Renewable may be for you.

With 3 Levels of Cover, you can choose what you need, whether you need cover for Accident and illness predominantly or whether you’d like some financial support when it comes to insured persons taking maternity leave, compassionate leave and even Jury service.

How do I know my weekly sums insured?

For GP’s we ask you how much a locum GP in your area would cost and multiply this by the amount of sessions the insured person works. This would be your weekly sums insured e.g. 7 sessions a week with a Locum GP cost of £350 per session – we would suggest a weekly sum insured of £2,450.

For any other Healthcare Professionals and Health Allied Professionals we would be able to work out the weekly sum’s insured by using weekly hours and hourly rate. E.g. if a ANP worked 35 hours a week at £25 an hour – we would suggest a weekly sum insured of £875.

What is the benefit period?

The benefit period is the maximum period for which the weekly sum insured will be payable, after the expiry of the deferment period. It is generally 52 weeks, but you can select a shorter benefit period e.g. 13, 26 or 39 weeks. The shorter the benefit period, the lower the premium.

How long is the weekly Sum Insured paid?

In the case of a claim for illness or accident, the sum insured will be paid for as long as the insured person remains temporarily totally unable to work, up to a maximum of 52 weeks, or less, if you have requested a shorter benefit period. Payments will commence after the end of your chosen deferment period.

See our Levels of Cover for more details.

What is the deferment period?

The deferment period is the initial period, after the illness or accident, during which the sum insured will not be paid. The deferment period is selected by you when you take out the policy. The longer the deferment period, the lower your premium will be.

How can I use my funds in the event of a settlement?

However you see fit! Our policy is unique in the fact that we do not require locum receipts. We understand that different practices may have different priorities when one of their vital members is unable to work. You can of course use it to hire a Locum, sick pay, pay over-time to existing staff, pay utility bills, rent, anything.

How do I make a claim?

When something happens which is likely to give rise to a claim under this Policy, an Insured Person must notify Claims Settlement Agencies Limited in writing with full details of the event as soon as reasonably possible after it happens and, in any case, within 90 days.

Claims Settlement Agencies Limited
308-314 London Road
Hadleigh, Benfleet
Essex SS7 2DD