malpractice insurance
What Is Malpractice Insurance?
Malpractice insurance (i.e., professional liability insurance) protects nurse
practitioners (NPs) and other clinicians from costs associated with claims of
negligence or incompetence, including costs related to liability and legal defense.
Two types of malpractice insurance are available: claims-made and occurrence.
Claims-made policies only offer coverage for incidents that were reported or
occurred while you had that insurance.
Occurrence policies cover a provider, such as an NP, when a claim is filed during the
time the policy is active, regardless of when the incident happened.
Sources
Balestra, M.L. (2016). Liability in Emergency Departments and Disciplinary Exposure for Nurse Practitioners. The Journal for Nurse
Practitioners, 12(2), 80-87. DOI:https://doi.org/10.1016/j.nurpra.2015.09.003
Campbell Philipsen, N. and Knoll Grandjean, C. (2010). Checking Your Tail and Other Considerations for Crafting a Comprehensive Malpractice
Agreement. The Journal of the Nurse Practitioner, 6(9), 703-706.DOI: https://doi.org/10.1016/j.nurpra.2010.07.025
Malpractice Insurance: What You Need to Know. (2007). Journal of Oncology Practice, 3(5), 274–277. DOI: 10.1200/JOP.0756501
Miller, K. (2011). Malpractice: Nurse Practitioners and Claims Reported to the National Practitioner Data Bank. The Journal for Nurse
Practitioners, 7(9), 761-763.DOI: https://doi.org/10.1016/j.nurpra.2011.07.008
What Should YouKnow About Malpractice Insurance?
Malpractice insurance requirements vary by state. Check your state laws to help you
determine what type of insurance coverage you want to have.
Most employers provide claims-made insurance to NPs, which means a change in
employment status could result in the loss of coverage. For this reason, savvy NPs
who are negotiating their employment contract will want to negotiate whether their
employer will provide extended reporting period coverage (also called a tail) to cover
them for any claims that are made when they leave or retire from a position.
Employer-provided policies may not cover lost wages, off-duty incidents or
attorney's fees related to a lawsuit or a licensing board hearing.
Most employers do not provide disciplinary insurance, so you should consider
carrying your own malpractice and disciplinary insurance. If your employer or an
insurance company insures you, most policies will give the employer or the insurer
the right to settle your case, even if you want to litigate the case instead.
Failure to diagnose and delay in diagnosis are common claims madeagainst
clinicians.
What Resources Are Available to You?
Malpractice and Protecting Your NP License: A free recordedwebinar on how
topreventmalpracticeclaims and the importance of disciplinary action insurance.
Practice Information by State: Learn the specifics of practicing in your state, and
exploreinformation on state-specificmalpractice insurance regulations.
Professional Liability Insurance: Learn more about why you should consider having
your own liability insurance.
Employment Negotiations: A list of important benefits, including malpractice
insurance,thatyoushouldnegotiatewithyourpotential employer as you negotiate
your salary.