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Departmental Expenditure

Dáil Éireann Debate, Wednesday - 18 June 2014

Wednesday, 18 June 2014

Ceisteanna (172)

Pádraig MacLochlainn

Ceist:

172. Deputy Pádraig Mac Lochlainn asked the Minister for Health if he will provide the cost to the Exchequer each year from 2009 to 2014 of the amount paid by his Department under the terms of settlements which included confidentiality agreements or confidentiality clauses. [26183/14]

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Freagraí scríofa

The State Claims Agency, within the NTMA, manages personal injury, property damage and clinical negligence claims brought against certain State authorities, including Government ministers and health enterprises. The vast majority of claims under the remit of the State Claims Agency (over 11,000 received since 2009) are resolved without confidentiality agreements attaching. Confidentiality agreements typically apply to claims in respect of minors or claims associated with abuse or specific medical negligence issues. The fact that cases might be subject to confidentiality agreements is not recorded on the National Adverse Event Management System (NAEMS). The confidentiality clauses are recorded only on the paper files. The agreements, where entered into at the behest of either party, preclude the disclosure of settlement details by either party.

Historically, medical indemnity in Ireland has been offered to medical consultants and other healthcare professionals by two private companies, the Medical Defence Union (MDU) and the Medical Protection Society.

The Clinical Indemnity Scheme (CIS) was established in 2002, in order to rationalise pre-existing medical indemnity arrangements by transferring to the State, responsibility for managing clinical negligence claims and associated risks. Under the scheme, which is managed by the State Claims Agency (SCA), the State assumes full responsibility for the indemnification and management of all clinical negligence claims, including those which are birth-related.

One of the Medical Defence Organisations, the MDU, contended that the Irish State should take over the historic liabilities of its members in respect of claims which occurred prior to the introduction of the Clinical Indemnity Scheme, as it alleged that the establishment of the Scheme deprived it of vital income to meet its historic liabilities in Ireland. Despite protracted negotiations between the State and the MDU, it was not possible for the parties to reach agreement on this matter. The MDU subsequently began to refuse cover to its existing and former consultant members in Ireland.

To ensure that no one who suffered from a medical mishap would be left without compensation in all reasonable circumstances, the Department put in place arrangements in October 2004 whereby consultants, refused indemnity by the MDU, would have their cases handled to completion by IHCA and IMO nominated solicitors whereupon, at the conclusion of individual proceedings, application could be made to the Minister for ex–gratia assistance in respect of settlements/award of damages and attendant legal costs.

In September 2012 the Government decided to accept an MDU offer of €45 million in full and final settlement of its historic liabilities in Ireland. This agreement is subject to a confidentiality clause.

Other settlements which included confidentiality agreements or confidentiality clauses, of which my Department is aware, over the period 2009 to 2014 to date are as follow:

Year

Settlements Paid

Legal Costs Paid

2009

€95,956.86

€118,336.57

2010

€265,000.00

€261,917.09

2011

€146,865.32

€410,426.83

2012

€890,456.57

€436,550.25

2013

€1,063,250.00

€142,309.56

2014 to date

€421,250.00

€282,778.69

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