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Paragraph 81 Insurance: negligent performance

England and Wales

(1)

The contractor shall at all times F1have in force in relation to it an indemnity arrangement which provides appropriate cover.

(2)

The contractor shall not sub-contract its obligations to provide clinical services under the contract unless it has satisfied itself that the sub-contractor F2has in force in relation to it an indemnity arrangement which provides appropriate cover.

(3)

In this paragraph—

(a)

F3“indemnity arrangement” means a contract of insurance or other arrangement made for the purpose of indemnifying the contractor;

F4(aa)

“appropriate cover” means cover against liabilities that may be incurred by the contractor in the performance of clinical services under the contract, which is appropriate, having regard to the nature and extent of the risks in the performance of such services; and

(b)

a contractor or sub-contractor shall be regarded as F5having in force in relation to it an indemnity arrangement if there is an indemnity arrangement in force in relation to an employee of its in connection with clinical services which that employee provides under the contract or, as the case may be, sub-contract.

Annotations

Textual amendments

F1

Words in Sch. 3 para. 81(1) substituted (17.7.2014) by The Health Care and Associated Professions (Indemnity Arrangements) Order 2014 (S.I. 2014/1887), art. 1(2), Sch. 2 para. 8(a)

F2

Words in Sch. 3 para. 81(2) substituted (17.7.2014) by The Health Care and Associated Professions (Indemnity Arrangements) Order 2014 (S.I. 2014/1887), art. 1(2), Sch. 2 para. 8(b)

F3

Words in Sch. 3 para. 81(3)(a) substituted (17.7.2014) by The Health Care and Associated Professions (Indemnity Arrangements) Order 2014 (S.I. 2014/1887), art. 1(2), Sch. 2 para. 8(c)

F4

Sch. 3 para. 81(3)(aa) inserted (17.7.2014) by The Health Care and Associated Professions (Indemnity Arrangements) Order 2014 (S.I. 2014/1887), art. 1(2), Sch. 2 para. 8(d)

F5

Words in Sch. 3 para. 81(3)(b) substituted (17.7.2014) by The Health Care and Associated Professions (Indemnity Arrangements) Order 2014 (S.I. 2014/1887), art. 1(2), Sch. 2 para. 8(e)