Martin considers suing insurer in row over doctors' cover

The Department of Health is considering suing the Medical Defence Union (MDU) for breach of contract after the insurer withdrew cover from seven Irish-based obstetricians facing cases of alleged negligence.

The Minister for Health, Mr Martin, is considering making a challenge by supporting a legal case taken by one of the consultants, who would claim breach of contract in the British courts due to the withdrawal of cover.

Mr Finbarr Fitzpatrick, secretary general of the Irish Hospital Consultants' Association (IHCA), met with the Minister to discuss the issue last night. He said three consultants operating in private practice, three in voluntary hospitals and one retired obstetrician were facing legal cases and had no insurance cover.

"We have agreed an interim arrangement where we have provided the name of a solicitors firm which can receive the claim from them. The timescale for the cases varies, it doesn't look like any will be in the courts before Christmas, but you can't be sure," Mr Fitzpatrick told ireland.com.

The IHCA will meet with the Department of Health again next week to discuss its next step, which includes seeking an actuarial report of the resources acquired by the MDU based on its subscriptions of Irish-based obstetricians.

Last night's meeting was called to discuss the fallout from the MDU's decision. The UK-based firm had provided cover for Irish consultants for many years in return for subscriptions but this arrangement ended in 2001 when the MDU dramatically increased its subscriptions to cope with the rising cost of obstetrics awards.

The Minister also met with the Irish Medical Organisation (IMO), which called for the Minister to quickly decide on a definite course of action.

The majority of consultants then transferred to another insurer. The problem arose when the MDU wrote to the seven consultants and said it was unable to offer them insurance. The cases all relate to times when the consultants were paying subscriptions to the MDU.

The MDU has said this is not a blanket decision and that cases are examined individually. Estimates for the cost of outstanding claims run up to €400 million and the MDU says it had always provided cover on a discretionary basis.