Medical Malpractice
Medical Malpractice Insurance Explained
Medical malpractice insurance is a specific type of liability insurance that covers MDs, physicians and medical professionals against any liability from a service that may have ultimately caused injury or death to the patient. More than half of the doctors counter at least one medical malpractice claim during their careers.
Who needs Medical Malpractice insurance?
In 2013, after a legal amendment, all GPs, MDs and surgeons were required to have medical indemnity coverage. Furthermore, the requirement is not just for Doctors but for any medical professional tendering clinical care is bound to have it. This includes hospitals employing the doctors in question, companies manufacturing medical devices etc.
Protection provided
Medical Malpractice insurance provides protection against many claims, including but not limited to;
- Professional negligence of any kind
- Confidence Breach
- Misuse of confidential information
- Misuse of information subject to statutory restrictions
- Breach of privacy
- Defamation or disparagement
What it covers
- All legal fees (court, lawyers, arbitration etc.)
- Lawyers’ fee
- Cost of settlements
- Punitive damages
- Compensations
- Medical damages
Please note that Medical malpractice indemnity does not cover the cost of any liabilities that may occur from sexual transgression, embezzlement or any other criminal act, and incorrect presentation of medical records.
Types of policies
The problem with medical malpractice claims is that they can be filed years after the dereliction incident occurred.
Hence, there are two types of policies available.
- Claims-made Policy: Provides coverage only if it was in effect when the incident occurred and the claim was filed. Some of these policies offer Tail Coverage, i.e., an extension of coverage for a pre-decided amount of time, say, 5 years after the policy ends.
- Occurrence Policy: Provides coverage for incidents that took place when the policy was in effect—even if the policy had expired when the claim was made.
