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If your death is sudden and/or unexplained the death will be reported to and investigated by the coroner, this most definitely does include deaths in hospital.
No, not in NSW for example at PoW a patient discharged but suffered a severe stroke within 10 minutes was reviewed internally. The internal review can recommend the coroner looks into it but not auto.
Think back to Qld and the so-called Dr Death. Cases not reported to coroner as died in hospital and investigated internally.
You stated that if you die in hospital your death is investigated internally and not by the coroner. That is not true. I work in the hospital system in NSW and can assure you that there are hospital deaths reported to the Coroner.
What I think you are saying is that not all hospital deaths which should be investigated by the Coroner are reported to him/her for investigation and if so I wholeheartedly agree.