(1)

For the purposes of this Act, if:

(a) under an arrangement, a person (the cover provider ) will or may provide medical indemnity cover of a particular kind for a health care professional; and
(b) the cover provider will or may provide that cover only if:
(i) a particular period has expired; and
(ii) the health care professional dies, becomes permanently disabled or retires; and
(c) the arrangement is not a contract of insurance;

the cover provider is taken to enter into the arrangement, to the extent to which it relates to that cover, at the earliest time at which:

(d) there are no conditions that need to be satisfied for the cover to be provided for the health care professional; or
(e) the only conditions that need to be satisfied for the cover to be provided for the health care professional are conditions that relate to:
(i) payments being made to the cover provider for the cover; or
(ii) the making of a claim against the cover provider under the arrangement.

(2)

Without limiting subparagraph (1)(b)(i), the period referred to in that subparagraph may be specified as a minimum period during which the health care professional is a member of a particular body.