Malpractice Categories and Savings
New to Practice Physicians
When you are a new-to-practice physician you have many decisions to make. This is especially true when it comes to selecting your medical professional liability insurance. This coverage is also known as medical malpractice insurance. Coverages are also available as a resident, intern, or fellow.
Discounts Available for New to Practice Doctors!
There is good news for you! Most malpractice insurance companies offer new-to-practice discounts. These discounts can be as much as 50%.
Types of Polices
There are two basic types of coverage available. Most coverage written is on a claims made basis. Below is a basic outline for both types of insurance coverage:
Claims-Made Coverage
Coverage that requires that the a claim be made, and also for the insured party to report the claim to the insurer during the same policy period. This form of insurance is limited to liability for those claims that arise from incidents or events that occur and are reported to the insurance company while the policy is in force. A claims-made policy is in force from the starting date of the initial policy period (the retroactive date) and continues in force from that date through each subsequent renewal. When a claims-made policy is terminated, future claims arising from incidents that occurred during the policy period are not covered. Tail-coverage may be added to the insured party’s policy to insure past the date of termination of said policy.
Occurrence Coverage
Provides coverage based on when the accident or injury actually happens; thus, claims arising from injuries that occurred within a policy’s effective dates are covered by that policy, regardless of when the claim is actually made against the Insured or presented to the insurance company.
Maturation Factors/Step Factors
When you have a claims made policy, your premium will increase each year upon policy renewal for the first 5-7 years. The first year premium is quite low, which is due to the fact that you do not have a retroactive patient load from which claims could arise. As each year progresses, the likelihood of a claim from past services performed increases, therefore the premium increases. This happens until the mature rate is reached.
For occurrence policies, the rate begins with the mature rate on the first day you purchase insurance.
Individual Physician - Preferred Risk
Medical Malpractice insurers will treat a applicant as a preferred risk if the they meet certain underwriting guidelines. The guidelines are based upon the applicant's medical specialty, credentials and a favorable malpractice claims history. The difference between a preferred and standard risk physician, is that preferred risk physicians have certain characteristics that place them in a special program sponsored by the insurance carrier.
Available types of discounts include:
- Part-time Physician
- Medical Society Membership
- Claims-Free Discount
- Risk Management Course Participation
- Practice Profile
- Qualification
- Employee Credentials
- Education and Training
- Patient Load
- Reduction of particular procedures normally performed by doctors of your specialty
The maximum amount of annual discounts that can be applied to your policy is 40%.
Individual Physician - Standard Risk
Applicants that do not qualify as preferred risks and are not considered to be special risks will fall into the standard risk profile. Most applicants will fall into this category of coverage.
Available types of discounts include:
- Part-time Physician
- Medical Society Membership
- Claims-Free Discount
- Risk Management Course Participation
- Practice Profile
- Qualification
- Employee Credentials
- Education and Training
- Patient Load
- Reduction of particular procedures normally performed by doctors of your specialty
The maximum amount of annual discounts that can be applied to your policy is 40%.
Individual Physician - Special Risk
Applicants that are engaged in a unique type of medical practice, or have a history of claims, whether at fault or not, or have been canceled or declined by other medical malpractice insurers or otherwise do not meet the underwriting criteria for preferred or standard risks are considered special risks.
Madison is known for our ability to help find coverage for “hard to place” physicians and facilities that have adverse claims history, have been canceled or non-renewed and do not qualify for the Standard or Preferred marketplace.
Medical Groups
Madison has the experience working with medical groups of all sizes. Even with contrasting claims history for physicians within the group Madison can help create solutions to minimize your cost.
The Madison Advantage in New York
As the healthcare industry’s top-quality insurance broker, Madison provides access to major insurance policy providers to make sure you are getting the very best medical malpractice insurance policy premium possible. With our proven track record in performance and customer relationships, you'll be able to put your mind at ease understanding Madison can assist you each and every step of the way and assure you will get the lowest rates possible. As your medical malpractice insurance broker, we evaluate your requirements and present policies that are individually customized to fit those demands. We supply affordable rates and strive to keep your malpractice insurance premiums low. With Madison managing your insurance plan, you can direct your attention to what you do best-providing outstanding patient care.
Madison Experience
We have worked with thousands of physicians and medicalprofessional medical groups from all specialties. At Madison, we don’t “market” your risk, we look for the ideal solution and value to suit your unique requirements. Madison delivers the experience to uncover advanced solutions to unique and complex problems medical doctors and medical organizations face in today’s difficult environment.
