Providing the protection all pharmacists need with RPS Professional Liability Insurance

The pharmacy profession in the UK is undergoing rapid transformation. Pharmacists are increasingly stepping into advanced clinical roles, from prescribing in primary care and GP practices to building portfolio careers that span multiple healthcare environments. Yet, as their scope of practice broadens, so too does the complexity of professional risk and the need for robust, tailored insurance cover.

Pharmacists are in a position of responsibility, which carries risks. Patients who are harmed by an error can bring claims against those they believe to be responsible under tort law in the UK. For this reason, it is necessary for pharmacists to hold appropriate indemnity cover to practise, and this is mandated by the General Pharmaceutical Council (GPhC) as a regulatory requirement. 

Current insurance options

In terms of the level of insurance required, GPhC advice is to make sure indemnity arrangements provide cover that is “appropriate to the nature and extent of the risks involved in your practice so that enough compensation will be paid if a successful claim is made against you”. 

However, the regulator does not provide in-depth detail about the specific insurance that individual pharmacists require. While most employed pharmacists are afforded protection against claims by the NHS or via their employer’s liability insurance, RPS believes that insurance products should not just cover pharmacists’ claims damages and legal costs, they should also offer support to pharmacists when they are called to appear in front of their regulatory body to answer questions around professional conduct. 

In addition, self-employed pharmacists (such as locums) need to ensure they have additional insurance in place to cover their activities since they cannot rely on an employer’s insurance against more general claims, including public liability, data liability, and so on.

Equipping pharmacists for the future

In 2022, the RPS undertook a membership survey on indemnity insurance, aiming to assess its members’ understanding of and choices around indemnity insurance.

Responses from 1,116 RPS members across different sectors of practice made it clear that members found the current provision of insurance difficult to navigate, and unsupportive of the changing needs of pharmacists.

“Because it’s sometimes hard to tell what is included in your policy and what is excluded, respondents said they were not always aware of what’s covered and what isn’t,” says Neal Patel, RPS Associate Director of Membership. “For example, some policies may not cover costs associated with vaccination, prescribing or working in a different sector — even if you’re carrying out a similar role — and this lack of insurance cover can stop pharmacists expanding their roles and doing more to support patients.”

Overall, the research findings revealed that only 63% of RPS members had personal indemnity insurance (up to 90% for those who are self-employed), with just over half of members not changing their insurance provider in over a decade, as there are very few options to choose from in the market. 

Notable shortcomings 

To address this gap in the market offering, RPS partnered with global insurance broker Aon. The process began with a review of the types of indemnity offered, the levels of complexity of products and the differences in costs and cover levels. 

RPS’s research found:

• There was a lack of diversity in the market for the specific needs of practising pharmacists;
• Most pharmacists saw little difference between providers, except on price, suggesting a lack of innovation or differentiation;
• More than half of pharmacists had been with the same provider for more than ten years, and most renew without reviewing alternatives, potentially owing to lack of information or perceived complexity.

The survey of members also showed a desire for value for money, easy joining processes and few barriers to entry, which are not always met by existing products. 

Members’ needs

With RPS members working across a wide range of healthcare settings, it is essential that their insurance addresses the diverse indemnity challenges they face. For example, employed pharmacists are typically covered by their employer’s insurance, as their employer is vicariously liable for their actions. However, if this insurance ever fails, pharmacists need contingent cover to serve as a safety net. 

Locum pharmacists may encounter situations where a claim for their error is directed toward the pharmacy that engaged them. In these cases, indemnity to principal is important, so their insurer responds to the claim against the pharmacy as if it were made directly against the locum. 

Additionally, because there can be delays between the adverse incident happening and the notification of a medical claim, pharmacists must be confident that their indemnity remains uninterrupted when switching insurance products or when they retire from practice. Ideally, members seek cover from insurers who have a deep understanding of pharmacy practice and its associated risks.

Cover for changing practice

The ever-evolving healthcare landscape makes it even more important that all healthcare professionals, including pharmacists, regularly review their cover to ensure it is adequate for their current and future practice, and legal experts agree. Law firm Browne Jacobson and sector analysts at Assured Partners both stress that the professional indemnity market is seeing increased complexity in claims and a greater need for tailored cover as healthcare roles, including pharmacy, become more advanced and varied.

The Pharmacists’ Defence Association (PDA) has also consistently argued that pharmacists should not rely solely on employer-provided cover, especially as roles expand into prescribing and portfolio careers.

RPS solution

To address these needs, RPS has partnered with Aon to offer a forward-looking insurance product — RPS Professional Liability Insurance — that provides cover for the unique challenges and opportunities of pharmacy practice, ensuring pharmacists are protected as they expand their roles.

“Many more pharmacists are now providing vaccination, clinical services including prescribing as a core part of their role”, says Patel, “so facilitating the introduction of a product which offers comprehensive cover for the full scope of practice of a pharmacist is both valuable to RPS members and enables the profession do more to support patient care.” 

RPS is offering RPS Professional Liability Insurance to members at the price it pays for it — not making any profit. Alongside this, RPS will ensure that the insurance solution is easy to access, provides value for money and is tailored to the current and future needs of pharmacists to empower them to make informed decisions about their insurance arrangements and to support them in practising confidently and safely as their roles continue to evolve.

The product/policy has been designed with broad descriptions of activity, so all membership categories (foundation trainees, employed, self-employed) are covered for prescribing as part of their duties, ensuring pharmacists can safely expand their clinical roles without worrying about gaps in cover.

“By providing this cover we are supporting pharmacists in their day-to-day practice and aligning with our mission and Royal Charter to advance the profession,” says Patel. “Our mission is to put pharmacy at the forefront of patient care. Our vision is to become the world leader in the safe and effective use of medicines. By removing uncertainty around liability and offering cover at cost, the RPS aims to empower its members to practise with confidence, deliver high-quality patient care, and embrace the opportunities of a changing healthcare landscape. The most important thing is that members have appropriate indemnity regardless of the provider, which is why we are not making this product compulsory ”