Kinds of Medical Malpractice Liability Insurance

The very first thing to be considered in a case related to misconduct of a professional practice is type of malpractice liability insurance for which the accused health care personnel is insured and the limit of the respective insurance policy. This is so because different types of medical misconduct insurances and their respective liability limits works differently.
Generally, there are tow main types of insurance coverages for which health care personnel have to medical malpractice insurance premiums. These are:

• Claims-Made Coverage: Such policies cover policyholders for alleged acts of professional misconduct. The malpractice insurance rates of this coverage are low for the first few years. However, this insurance coverage in organized in such a way that the insurance premium for these are increased every year.
  
• Occurrence Coverage: Such policies provide cover for such medical incidents which have occurred when the policy was in effect, regardless of the fact that when the claim is being filed. In this insurance coverage the insured pay premium as per medical malpractice insurance rates not only for present-day happening but also for projected professional misconduct. The rates of this insurance policy coverage may differ. Its ultimate advantage is that neither projected nor happened acts are required to terminate its insurance coverage.
  

Scope of Medical Malpractice Liability Insurance

The intent behind the concept of medical malpractice liability insurance is to provide cover to all health care practitioners against any liability claim which may arise as a result of the treatment provided by them to the patients. The claim are generally made by the sufferer, patient in this case. If the health personnel is found guilty of conducting any professional misconduct, the award for the damage claimed may reach in millions and even larger if the damages are vindictive. Thus, we can say that the medical malpractice insurance premiums acts as a shield for the health care personnel to protect him/her from bearing heavy financial claims. This is because the insurance rates are high and fallout for the same is severe. 

 

However, as rates for your auto insurance hike every time you get a ticket, the medical malpractice insurance rates also increase every time a health care practitioner found guilty of a professional misconduct. Additionally, there has been a steep increase in the cost of medical malpractice insurance rates which has caused adversity to many professional belonging to the medical community.

Health care personnel and hospitals are finding professional misconduct insurance difficult in terms of affordability and availability so much that many of the health professionals re running out of their business.