The federal Department of Health’s long-awaited comprehensive no-fault vaccination scheme for health professionals administering approved COVID-19 vaccines has been welcomed after months of consultations with key medical, healthcare, business and insurance organisations.

Minister for Health and Aged Care Greg Hunt announced on Saturday that the government had finalised the details of the no-fault COVID-19 Vaccine Claim Scheme after “extensive consultation with peak medical, healthcare, business and insurance sectors to ensure a comprehensive National Scheme”.

Dr Magdelena Simonis, who is a Clinical Associate Professor at the University of Melbourne and member of the Royal Australian College of General Practitioners Expert Committee for Quality Care welcomed the news of the scheme as it would protect healthcare professionals from complications arising in people who had received the vaccine.

“We welcome this development. This (COVID-19 pandemic)is a new journey for everyone. We know there have been side effects that have led to some being hospitalised. We are in a litigious society where health providers could have been taken to the courts as a result of administering the vaccine and this scheme will save them from the distress and concerns of going through the courts.”

She said that that General Practitioners (GPs) had been vaccinating regardless of there not being no-fault vaccination scheme in place before 28 August. GPs have been vaccinating despite constantly fielding calls from patients who were angry that they were not receiving the COVID-19 vaccine of their choice and who were in fear of potential side-effects.

Dr Simonis reiterated that the risks posed by the COVID-19 vaccines were far lower than for a number of routine medical procedures, including the application of anaesthetics.

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In making the announcement on Saturday, Mr Hunt said that the COVID-19 Vaccine Claims Scheme offered protection to all Australians who received a Therapeutic Goods Administration (TGA) approved vaccine “irrespective of where that vaccine occurred”.

“Side effects, or adverse events, from COVID-19 vaccinations can occur, but most are mild and last no longer than a couple of days. Serious and life-threatening side effects are very rare, but it is important that we provide a safety net to support those affected,” Mr Hunt said.

“It also ensures that health professionals administering vaccines will be able to continue with their crucial role in the vaccine roll out with assurance that the claims scheme will offer them protection.”

Mr Hunt said the scheme would be administered by Services Australia and would provide Australians with a simple and quick process for compensation.

“From 6 September, Australians who suffer injury and loss of income due to their COVID-19 vaccine will be able to register their intent to claim from the COVID-19 vaccine claims scheme website.

The minister the scheme would cover the costs of injuries above $5,000 due “to a proven adverse reaction to a COVID-19 vaccination. The compensation payment under the new scheme would be fully funded by the Commonwealth and was designed to help “people who unfortunately experience a moderate to significant reaction to a COVID-19 vaccine”.

The COVID-19 Vaccine Claims Scheme will be backdated to February 2021 and provide Australians with an alternative, administrative option to seek compensation, rather than a complex and costly court process.

The Australian Medical Association (AMA) welcomed the announcement after “months of work by the AMA and Health Minister Greg Hunt to deliver a genuine no-fault scheme for patients, health professionals and employers”.

AMA president Dr Omar Khorshid said in a statement that the scheme was a vote of confidence in the safety of the vaccines being used in Australia.

“(It) sends a strong message to patients that, in the extremely rare case of serious side effects, you can access compensation without having to resort to expensive and complex litigation.

“The new scheme will apply regardless of where you received your vaccine – whether it is at your local GP, state/territory run health service, workplace, or other approved health provider,” Dr Khorshid said.

The Insurance Council of Australia (ICA) said it had advocated for some time for a no-fault indemnity to support health professionals in the COVID-19 vaccination process.

“The ICA has worked closely with the Australian Medical Association, the Pharmacy Guild and the Australian Chamber of Commerce and Industry in bringing to Government the perspectives of our respective industries,” the association said in a statement on 28 August.

“(The) announcement provides in-principle assurance that legal risks for health professionals and related businesses involved in the administration of the vaccine have been identified and addressed.”

The ICA CEO Andrew Hall added on Saturday that: “many insurers are interested in facilitating workplace vaccine programs similar to the annual flu shot once they are able to access this via registered medical providers.

“Today’s announcement assists in supporting workplace vaccination programs which will help bring the community closer to reaching vaccination threshold targets,” Mr Hall said.