Understanding Medical Malpractice And What It Covers

If you are a new medical professional, then you may need malpractice insurance to protect yourself from malpractice claims. This type of insurance is not understood by many individuals, especially if they are not currently employed in the medical field. So, you may be wondering who offers the insurance and what kinds of plans are offered.

Who Offers Medical Malpractice Insurance?

Like car insurance or life insurance, you have a wide variety of options when it comes to protecting yourself from damages. Insurance plans can be purchased from private insurers. You will be able to purchase an individual plan this way, and if you think of how your health insurance works, then you may understand that this is the most expensive option. 

You have the option of choosing a policy through a business called a risk retention group. These businesses offer liability policies that are more customizable than other types of malpractice insurance, and while the premium may be lower, they do not offer the widespread protection that other providers may offer.

The final type of insurance policy is a group one, like a liability policy offered by the hospital or medical facility that you work for. With this type of insurance, you will be offered a policy as part of your employment group. Keep in mind that you may not need a group policy if you decide to work at a government-run agency like a Veteran's Affairs facility. The government insures itself and its employees against liability issues.

What Does The Policy Cover?

The vast majority of medical malpractice plans cover you against the same sort of damages. This is true unless you have purchased a more customized risk retention group policy. In general, your policy will cover your legal fees, attorney costs, and court costs in relation to a malpractice lawsuit. All damages are also covered that include medical expenses, settlements, and any compensation owed to the plaintiff. Basically, any sort of liability will be covered unless a crime has been committed or if you have been involved in sexual misconduct of some kind.

You also should understand that there are two types of policies that you can obtain. An occurrence policy provides liability coverage for any malpractice that happened during the insurance coverage period. A claims-made policy covers you from any claim made during the time that you hold your policy. Since the two types of insurance coverage are a bit different, there are also some kinds of policies that cover you for liability when you switch policies.

For more information, contact a company like Letherer Insurance Consultants, Inc.