Medical Malpractice Insurance for Small Businesses
Published on April 17, 2018
Working in the health-care industry often comes with quite a bit of liability. In a way, with every patient seen or procedure done, your small medical practice is put at risk.
Malpractice insurance—one of many kinds of insurance
There are many types of insurance out there, and it can be confusing deciding which insurance policies your small business should have. To name a few that you may be looking at:
- Health insurance
- Malpractice insurance
- Liability insurance
- Life insurance
The list of insurance types for your business could go on and on, which might make it hard to decide what you need. Let’s look a little more into what malpractice insurance offers you, and why you may want to purchase it for your small medical office.
Some insurance, like health insurance, is more widely understood and accepted as being necessary. Even though you may not have to offer health insurance, depending on how many people are employed by your small business, you may choose to offer health insurance. As a small business in the health-care industry, you probably deal with health insurance claims and coverage issues every day, so you know how important it is for individuals to have good health insurance that provides them with access to quality health care.
You can check out group health insurance here at eHealth, and let us help you find the right plan for you.
Malpractice insurance basics
If you’re wondering about malpractice insurance, you’re probably not alone. Medical malpractice health insurance, also known as medical liability insurance, is meant specifically for health-care professionals. This type of liability insurance may protect physicians and other licensed health-care professionals if one of their patients decides to sue. Medical malpractice insurance might help with events and costs such as:
- Bodily injuries resulting from wrongful practice
- Medical expenses
- Legal costs
Why you may want to get it medical malpractice insurance
It doesn’t matter how talented every physician or licensed medical professional within your small medical practice or small business may be —you are still at risk for a lawsuit from a patient. Even if it turns out that your practice isn’t at fault, you will still accrue legal costs, which medical malpractice insurance will usually help cover.
Are small businesses in the medical field required to have medical malpractice insurance?
Medical liability insurance may not be mandatory for you to carry, but each state has different laws, so make sure you understand the laws regarding insurance where you live.
Some medical businesses have a malpractice insurance policy in place for their entire business, and individual medical professionals will not have to get their own coverage in such a case. It’s important that all your employees understand exactly how they are covered. For example, if a physician leaves the group of physicians or small office he or she was covered with, then coverage will likely end under that policy.
Considering the risk associated with medical malpractice, it’s important that everyone who has liability is covered, so providing clear information about your small business (and whether or not you have a policy that covers anyone working at your office) is key.
What does malpractice not cover?
If you or someone at your medical practice office is involved in illegal behavior such as theft, sexual improprieties, or fraud, medical malpractice insurance will not cover these types of suits. In general, medical malpractice, or medical liability insurance, pertains to suits for medical reasons.
Keep in mind that this article is for general information and should not be relied upon for legal advice. eHealth sells group health insurance policies that can cover the employees of your small medical practice with health insurance, but we do not sell malpractice insurance. Please consult your legal advisor to better understand your specific situation.