(1)Regulations may make provision for the purpose of securing that, in prescribed circumstances, prescribed persons included in a pharmaceutical list hold approved indemnity cover.
(2)The regulations may, in particular, make provision as to the consequences of a failure to hold approved indemnity cover, including provision—
(a)for securing that a person must not be added to a pharmaceutical list unless he holds approved indemnity cover,
(b)for the removal from a pharmaceutical list prepared by a Primary Care Trust of a person who does not within a prescribed period after the making of a request by the Primary Care Trust in the prescribed manner satisfy the Primary Care Trust that he holds approved indemnity cover.
(3)For the purposes of this section—
“approved body” means a person or persons approved in relation to indemnity cover of any description, after such consultation as may be prescribed, by the Secretary of State or by such other person as may be prescribed,
“approved indemnity cover” means indemnity cover made—
on prescribed terms, and
with an approved body,
“indemnity cover”, in relation to a person included in a pharmaceutical list (or a person who proposes to provide pharmaceutical services), means a contract of insurance or other arrangement made for the purpose of indemnifying him, and any person prescribed in relation to him, to any prescribed extent against any liability which—
arises out of the provision of pharmaceutical services in accordance with arrangements made by him with a Primary Care Trust, and
is incurred by him or any such person in respect of the death or personal injury of a person,
“personal injury” means any disease or impairment of a person’s physical or mental condition and includes the prolongation of any disease or such impairment,
and a person holds approved indemnity cover if he has entered into a contract or arrangement which constitutes approved indemnity cover.
(4)The regulations may provide that a person of any description who has entered into a contract or arrangement which is—
(a)in a form identified in accordance with the regulations in relation to persons of that description, and
(b)made with a person or persons so identified,
must be treated as holding approved indemnity cover for the purposes of the regulations.