Version 1.0. Effective 1 July 2026. Praxis Mutual.
1. About this document
This Target Market Determination (TMD) is made by Praxis Indemnity Insurance Pty Ltd, the issuer, under the Design and Distribution Obligations in Part 7.8A of the Corporations Act 2001 (Cth), having regard to ASIC Regulatory Guide 274. It describes the class of consumers the product is designed for, the conditions on how it is distributed, when it must be reviewed, and what distributors must report back to us.
A TMD is not a full summary of the product. You should read it together with the Product Disclosure Statement and policy wording, which describe the cover and its terms in detail, before deciding whether the product is right for you.
2. Product to which this TMD applies
This TMD applies to Praxis practitioner medical indemnity cover, written on a claims-made basis, across the Core, Plus and Premier tiers. Our whole-of-clinic Practice cover is the subject of a separate TMD.
3. Description of the target market
The product is designed for consumers whose attributes are consistent with the class set out below. This is the class of consumers for whom the product, including its key attributes, is likely to be consistent with their likely objectives, financial situation and needs.
| Attribute | In the target market | Not in the target market |
|---|---|---|
| Who they are | Australian-registered medical practitioners and the practice entities they operate | Non-medical professionals; allied health, nursing or midwifery practitioners; overseas practitioners without Australian registration |
| Registration | Hold current general or specialist registration with the Medical Board of Australia (via AHPRA) | Hold only non-practising registration, or are medical students, who are not required to hold this cover |
| Need | Need claims-made professional indemnity for their scope of medical practice, with appropriate retroactive cover | Need only occurrence-based cover, or cover for activities outside the practice of medicine |
| Scope of practice | Practise within a declared and accepted scope, billings and hours that can be risk-rated to an ISC band | Practise wholly outside any scope that can be accepted, or undeclared high-risk procedures |
| Limit needs | Suited by a civil-liability limit of $10m, $20m or $30m together with disciplinary and inquiry costs cover | Require limits materially outside this range, or no indemnity cover at all |
The product is not designed for consumers who want to insure incidents arising before their retroactive date, who cannot maintain continuous cover, or who are seeking a product other than claims-made medical indemnity.
4. Why the product is consistent with this market
The product’s key attributes — claims-made civil-liability indemnity, an appropriate retroactive date, disciplinary and inquiry-costs cover, 24/7 medico-legal advice, and run-off supported by the Commonwealth Run-Off Cover Scheme — align with the needs of registered medical practitioners who must hold professional indemnity for all aspects of their practice. Risk-rating to specialty, billings, hours and state lets the cover follow the practitioner’s actual exposure, including reduced rates for part-time and new-to-practice clinicians.
5. Distribution conditions and channels
To make it likely that the product reaches consumers in the target market, the following conditions apply to distribution:
- Eligibility screening: distribution only to applicants who confirm current Australian medical registration and provide the scope, billings, hours and history needed to risk-rate the cover.
- Channel restriction: distribution through our own member services and appointed authorised representatives or brokers operating under a written arrangement, using the approved application process and disclosure documents.
- Disclosure-first: the current PDS and this TMD must be made available before the consumer is bound, and any advice must stay within the authorisations of the providing entity.
- No mass-market or unfiltered distribution: the product must not be offered to the general public without the eligibility screening above, because it is designed only for registered medical practitioners and their practice entities.
These conditions are appropriate because they make it more likely that the product is distributed to consumers within, and not outside, the target market.
6. Review triggers
We will review this TMD if a review trigger occurs that reasonably suggests the determination is no longer appropriate. Triggers include:
- a material change to the product, its terms, pricing, or the documents that describe it;
- a material change in the relevant law, regulatory guidance, or the Commonwealth medical indemnity schemes (PSS, ROCS, HCCS, ECS);
- complaints data, claims experience, or sales data indicating the product is reaching consumers outside the target market;
- a significant dealing being reported that is not consistent with this TMD;
- a determination, order or guidance from a regulator, or an external dispute resolution outcome, that calls the appropriateness of the determination into question.
7. Review periods
We will review this TMD within a set timeframe and on an ongoing basis:
- Initial review: within 12 months of the effective date.
- Periodic review: at least every 24 months thereafter.
- Ad hoc review: within 10 business days of becoming aware that a review trigger has occurred.
8. Information distributors must report to us
Distributors must collect and report the following to Praxis Indemnity Insurance Pty Ltd so we can monitor whether distribution stays consistent with this TMD:
| Information | What must be reported | Reporting period |
|---|---|---|
| Complaints | Number and nature of complaints about the product, its distribution or coverage | At least every 6 months (and a nil return if none) |
| Significant dealings | Any dealing in the product that is not consistent with this TMD | As soon as practicable, and within 10 business days of becoming aware |
| Sales data | Volume of policies issued, including data on consumers’ registration status and specialty relevant to the target market | At least every 6 months |
Distributors must take reasonable steps that are reasonably likely to result in distribution being consistent with this TMD, and must report significant dealings that are inconsistent with it.
9. More information
Read this TMD together with the Product Disclosure Statement and the policy wording. If you would like help understanding whether this product suits you, contact our team before you make a decision about your cover.