Guidance on accessing CNST cover for organisations taking over former PCT services

This note provides guidance on accessing CNST cover and is aimed at Social Enterprises, Community Interest Companies and similar organisations.

Background

The 2006 CNST Regulations allow the NHSLA to provide CNST cover for functions spun off from PCTs to Social Enterprises, Community Interest Companies and the like, via the membership of the PCT formerly providing those services. However there are a number of caveats.

Direct Transfer of Functions

The functions transferred must be directly transferred from the PCT to the organisation, i.e. there cannot be cover for any new functions undertaken.

Clinical Functions Only

CNST cover is limited to clinical functions only – there is no cover for non clinical liabilities (such as Employers’ Liability or Public Liability).

No Primary Care Functions

No cover is available for Primary Care functions (such as GPs, Dentists, Out of Hours Surgeries or Walk-In Centres).

We are restricted by our Regulations in the types of body which we can cover direct. That is why we cannot cover directly organisations which are taking over PCT services. Cover is routed via the membership of CNST held by the PCT which is transferring the services.

Process for applying for CNST cover

If you wish to apply for cover as a Social Enterprise, Community Interest Company or similar, we shall need to have:

  • The name of the transferring PCT
  • The name of the “new” organisation (A new Contact Form is available and should be completed and returned)
  • Confirmation of the nature of the functions that are being transferred
  • Confirmation that no new functions are being undertaken
  • The date when it is proposed the new arrangement will commence
  • If reliance is placed upon a Section 75 agreement then a copy of that agreement should be provided

 This information should be sent to john.mead@nhsla.com who will consider the request and confirm coverage (subject to the exceptions outlined above).

In addition: