Medical malpractice insurance is intended to protect doctors and hospitals against malpractice claims should a patient or client feel they were poorly treated. Being on the receiving end of these claims can be costly, so it is important to ensure there are no lapses in your coverage and that you ask all the right questions when renewing your policy. Below, the insurance professionals at Unity Insurance discuss the questions you should ask your medical malpractice insurance agency as you approach renewal.
When was the last time you shopped for competitive rates?
It can be easy to go through the motions with medical malpractice insurance, but setting it and forgetting isn’t always the best way for you to ensure the best coverage. If it’s been more than a few years since you’ve looked at rates, consider checking in with your agent or broker to get an idea for what’s new. Alternatively, when you’ve established rates and coverage options and decided that you want to renew your policy, it can be helpful to get the process started as early as possible so that your agent has time to double and triple-check that the coverage you’ve chosen is a good fit.
What does your existing policy cover?
It is important to make sure that you understand exactly what your existing policy covers so that you can search for equivalent options or add additional coverage if needed.
There are two main types of coverage when it comes to medical malpractice policies: claims-made and occurrence.
Claims-made policies pay out on the policy form in force when the claim is made. They will have a retroactive date that matches your initial effective date if you are not requesting the carrier to pick up risk from a prior carrier.
For example, if you have an effective/retro-active date of 2018 and a claim is made in 2022 over something that happened in 2019, your current claims-made policy, with current limits, terms, and conditions, would cover the claim retroactive to the 2019 incident date for which the claim is being made.
Alternatively, an occurrence policy pays out on the policy term in force when the incident resulting in the claim occurred. In the example above, you would file the claim with the carrier you had back in 2019 even though the claim was made in 2022.
Do you have enough coverage?
Key to ensuring a policy is right for you is determining whether you have the proper amount of coverage. Are your limits of liability (the amount an insurance carrier will pay out for a claim) high enough for your needs? You’ll want to take your comfort level into consideration, but also understand state or hospital requirements when deciding which policy is right for you. In addition to checking on your limits, you should find out if you have some of the most common additions to medical malpractice insurance: tail and prior acts or retroactive coverage.
Prior acts or retroactive coverage set the retroactive date back to the original effective date of your first policy.
Meanwhile, tail coverage, or an extended reporting period endorsement, is needed on a claims-made policy. This is an endorsement that extends the reporting period and provides protection for claims that occur when the policy is active but are not reported until after the policy is canceled.
Whether you need additional coverage over what your employer provides or are exploring new options for medical malpractice insurance, Unity provides guidance and support to help you make the right decisions regarding the coverage that fits your personal needs.
Speak With An Agent At Unity Insurance About Medical Malpractice Insurance
Unity Insurance understands the challenges of determining whether your medical malpractice insurance policy is the right fit. We work with our clients to provide the best plan to match business and employee needs. Call 410-539-6642 to learn how Unity Insurance’s experienced insurance agents can assist you.