You may have seen media coverage in the last week relating to the operation of our limited liability schemes for public practitioners. The below and the Limited Liability Scheme Guidance Note (PDF) will provide you with more information on this issue.
The current CPA Australia PSC scheme which operates across mainland Australia expires on 7 October 2017. There is currently no scheme in Tasmania.
CPA Australia lodged an application for a new Professional Standards Scheme in January 2017, which has been assessed by the Professional Standards Council (PSC) of New South Wales.
Last week, the PSC advised that it is unable to direct the proposed new scheme be published for public notification at this time, however the application is still active. The PSC is seeking additional information in relation to CPA Australia’s status as an occupational association as a result of the establishment of the subsidiary CPA Australia Advice Pty Ltd.
CPA Australia is continuing to work with the PSC on this active application by providing any additional information required including in relation to CPA Australia’s governance structures. CPA Australia appreciates the PSC’s commitment to working with us as we progress our application.
As a result of the timing, there will be a gap in the operation of the Victorian scheme. Depending on the timing of the PSC’s consideration of further information, there is the possibility that other states and territories where a scheme is in place may also be affected.
Assuming that you have compliant Professional Indemnity Insurance (PII) cover in place, you should already be adequately insured against liabilities in the likely range to which you are exposed. In light of a potential gap, CPA Australia recommends you review the level of insurance protection you have based on the nature of the client services you are providing and your clients’ profile. Depending on the services you provide and your client profile you may also need to speak to your broker/insurer.
The Limited Liability Scheme Guidance Note (PDF) provides detailed information relating to how any gap in the scheme may affect you and further information for you to consider as you assess your individual risk profile.
As we continue to progress our application with the PSC we will provide you with updated information and additional guidance as relevant.
If you have any questions please contact firstname.lastname@example.org
Chief Operating Officer Member Services
General Manager Public Practice