Medical Malpractice Insurance FAQ

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Medical Malpractice Insurance F.A.Q.

Making a decision about medical malpractice insurance can be difficult. In addition to upfront costs, one is forced to weigh the risks and consider every possible outcome and its financial impact. Malpractice insurance specialists at Oros Risk Solutions, LLC provide step-by-step guidance to navigate the many complex details impacting your liability risks and the costs for reliable protection.

This answer can vary depending on factors such as the state you practice in, the hospitals you work with, or the guidelines of the medical group you are in. Some states require minimums on the limits you must carry. Some hospitals have minimums for limits you must carry to work with them. If you are looking for medical group insurance in Orlando, we often suggest everyone carry the same level of limits for a variety of reasons.

We recommend getting quotes for multiple limit options so you can see how they all compare in cost. From there you can factor the pros & cons of each option and make an educated decision on this important aspect of your medical malpractice insurance policy. This question is best discussed with a specialist so they can show you all of your options and help you figure out the optimal solution.

There are several factors that should be considered before choosing a medical malpractice insurance company. In no particular order of importance, you should evaluate their history in the industry, what the company’s main focus is, their financial rating by AM Best, their claims statistics for your specialty, the language of the policy, and price. All of these factors are critical at ensuring you choose a quality company that will protect you when you need it most. The ideal situation is to get multiple quotes from different companies, look at all of these factors for each company and look at how they all compare to one another. A malpractice insurance specialist can help you with this comparison so you can make an educated decision that you are confident in.

There are several factors that should be considered before choosing a medical malpractice insurance company. In no particular order of importance, you should evaluate their history in the industry, what the company’s main focus is, their financial rating by AM Best, their claims statistics for your specialty, the language of the policy, and price. All of these factors are critical at ensuring you choose a quality company that will protect you when you need it most. The ideal situation is to get multiple quotes from different companies, look at all of these factors for each company and look at how they all compare to one another. A malpractice insurance specialist can help you with this comparison so you can make an educated decision that you are confident in.

Your insurance premiums cost the same whether you use an agent or purchase directly from the insurance company. Insurance premiums are filed with the state and commissions are built in. The built in commission is retained by whoever you purchase the policy from – whether that be directly from the insurance company or an agent. If you work directly with the insurance company, they can only talk to you about the benefits of their specific company. The value in using a medical malpractice insurance agent comes from the fact that they are unbiased and put your interests first. An agent has no loyalty to a specific insurance company. They will represent several different companies which allow them to get you multiple quotes, negotiate on your behalf and provide you with unbiased consultation on which solution you should choose. This comes at no additional cost. The key is finding an agent that has access to the top insurance companies in your state and has expertise in this unique, ever-changing industry.

Making a decision about medical malpractice insurance can be difficult. In addition to upfront costs, one is forced to weigh the risks and consider every possible outcome and its financial impact. Malpractice insurance specialists at Oros Risk Solutions, LLC provide step-by-step guidance to navigate the many complex details impacting your liability risks and the costs for reliable protection.

Florida Statute § 458.320 specifies that everyone issued a licensed to practice medicine must have the financial responsibility to pay claims for medical malpractice. The exact answer can vary depending on certain factors and every state can have different requirements. It is crucial to know the exact standards and regulations of the local industry. The average malpractice claim costs $300,000, but they are known to easily climb as high as $1 million and more. Be prepared, and be knowledgeable.

A common mistake in members of the healthcare industry is when one too quickly settles on a seemingly simple low-cost malpractice insurance premium. Premiums that appear low in price at first often turn out to be exorbitantly costly in the long term. Spotty coverage can sometimes leave physicians forced to pay the difference out of pocket. Because every practice is unique in its risks and demands, you should seek expert analysis to confirm and verify that no crucial detail is overlooked. Many professionals unwittingly overpay thousands of dollars in malpractice insurance costs that can easily be avoided with professional analysis.

There are several factors that should be considered before choosing a medical malpractice insurance company in Florida. You should evaluate a number of crucial interest points:

  • Company history within the industry
  • Main focus and goals
  • Financial rating by A.M. Best
  • Claims statistics in regard to your specialty
  • Price, including short term and long term costs

All of these factors are critical to ensuring that you choose Florida medical malpractice insurance from a quality company that will protect you when you need it most. Ideally, physicians should find an agent that can get them multiple quotes from different companies for detailed side by side comparisons.

The state Department of Insurance regulates and reports on all medical malpractice insurance in Florida. Make certain that the company you choose is licensed and admitted to the state as a reliable insurer. You will be able to easily confirm any complaints charged against the company.

A.M. Best provides financial ratings for insurance companies around the world. Reports are thorough and easy to search, so do not hesitate to verify important information. Always, always ask for ratings.

We provide specialized creative solutions to those in the healthcare industry in need of cost effective and long term stability. Our trusted advisors have years of vast knowledge and experience in the healthcare industry and access to the best insurance providers available.

Our clients include:

  • Healthcare Professionals
  • Podiatrists
  • Doctors, Surgeons and Medical Groups
  • Oral and Maxillofacial Surgeons
  • Hospitals and Healthcare Systems
  • Managed Care Organizations
  • Accountable Care Organizations
  • And many, many More

Every client deserves individualized attention to meet the needs and demands of that unique situation. We have pioneered a modern design strategy to produce the best possible results by establishing close relationships and detailed studies.

We use our expertise to pair clients with the best-suited match of an insurance provider. We meet a variety of needs and concerns with expertise and professionalism. A few of our services includes access to:

  • Fee Based Insurance Consultation
  • Medical Malpractice Insurance
  • Hospital Professional Liability
  • Reinsurance and HMO Reinsurance
  • Employment Practices Liability
  • Workers Compensation Insurance
  • Umbrella and Excess Liability
  • Managed Care Errors and Omissions
  • Cyber Liability

Visit our Products and Services page for a complete list of available options.

Florida medical malpractice insurance coverage is available in two popular options:

Claims-made policies provide coverage for any claims filed during the coverage period, even if the actual event or act occurred prior to that time. This type of coverage is the most preferred by physicians because of the early savings and lower upfront costs.

Just as the name implies, occurrence coverage protects for incidents that occur during the coverage period. Depending on a variety of factors, this can save money over time despite the early costs.

Some physicians find that the long-term costs of the claims-made policy are still slightly less expensive than occurrence. However, occurrence policies are still commonly used by professionals that only plan on staying in practice for a few years, for retirement or other reasons. Some companies feature hybrid plans that help with coverage on both issues.

Extended reporting endorsements, or “tails”, continue to provide protection for claims filed even after the policy is ended. Tails often cost much more than usual premiums, as much as double the price, but are beneficial where a claims-made policy may no longer be in use.

It is crucial to ensure that a tail will protect you following your policy termination.

Some doctors make the risky decision to go without medical malpractice insurance. If this is someone that regularly sends you referrals or to which you are often referring, beware that the risk of medical malpractice may fall over to you. Attorneys, in particular, may spot you as the “deep pocket” and include you in the lawsuit. Take the extra time to verify that everyone involved in your practice is financially liable and low risk for malpractice suits.

Be sure to review your policy closely with a medical malpractice insurance specialist to guarantee a thorough understanding of your coverage and everything included. Very often, physicians choose simple and low-cost policies, not realizing the possible risks to which their practice is now exposed.

A Consent to Settle Clause states officially who earns the final say in choosing between settlement or trial. In very many cases this falls to the malpractice insurance company and not to the insured. Insurance companies may prefer a settlement if the cost of a trial seems too expensive, but of course for the insured a mark on your record can be disastrous.

It is very important to understand this language in your policy. Sometimes you may have a consent to settle clause but there could be legal language giving the insurance company an opportunity to get out of it and take over. There could also be a hammer clause which is important to understand how that can affect you financially. Always review these types of details with a medical malpractice insurance specialist to eliminate any confusion.

In general, if you have a hammer clause in your policy it could mean your insurance company has more control over the policy than you realize. If they want to settle a claim but you prefer to continue defending your good name, the hammer clause requires that you’re financially responsible for any judgement over the amount that the insurance company could have settled for. It is critical to understand who has final say in you policy and what surrounds it. It is always recommended to seek specialized guidance from someone that can look at these policy details for you.