A common question that we are asked at  The Doctors Insurance Agency – (an agency for The Doctors Company) and a national broker for medical professional liability insurance is in regards to whether a physician needs to purchase a separate Medical Director Liability Insurance Policy.  If you are asked to sign a contract as medical director for an Assisted Living Facilities, Pathology Labs, Endoscopy Labs, Medical Spas and other similar health care organization, you might be asked to provide your own medical director liability insurance policy. 

You may need one (regardless of whether the organization carries their own liability policy);  the key to understanding whether you need to purchase your own is understanding the contract language in the Medical Professional Liability Insurance Policy for the healthcare organization. 

We are often asked if the medical professional liability insurance policy that ‘covers’ the health care organization also provides liability cover for the Medical Director. 

The Doctors’ Insurance Agency has been working with our partners at Program Professional Insurance and World Wide Facilitites to develop, promote and underwrite policies that cover individual RN’s doing Aesthetic services, The medical professional policies are a great solution for Midlevel Providers working in or owners of a MediSpa.  These specialized liability insurance policies cover as many employees or independent contractors as necessary (according to your growth and business model).

The policies are underwritten by American and London based Carriers with years of supporting this industry. They have access to informed consent forms, risk management tools and fair, competitive premiums that will allow your business to grow in those sensitive early years. 

Developing premium based upon individual clinical practice of medicine (direct patient care within the specialty)

The Doctors’ Insurance Agency over 25 years has managed the Medical Malpractice Insurance Policies for  thousands of physicians).  Ninety percent of our physician liability insurance policies cover doctors practicing within their medical specialties- full time in clinics, hospitals or medical offices.  These policies are rated by insurance company actuaries developing premiums after studying the claims in those individual specialties. 

Sufficient Premium for clinical practice bodily injury resulting from alleged medical negligence claims

The actuaries develop premiums by studying claims history in the specialties overall (nationwide) and then, in particular  in the state and county of practice; studying the frequency and severity (average claim cost) in each medical specialty and determining the first five years of premium based on those variables.  This model always seems straightforward and makes sense to me; premiums to buy insurance for cars, homes, condos, renters, life, disability all use variables like this to measure and logically price the product

Medical Director Liability Insurance costs $ 2,000 per year regardless of what state you’re in … Plus taxes and fees..

Unless…..(it’s always that word that starts to add cost and eliminate coverage in the insurance industry).   The more physicians feel constrained by institutional medical groups, which can restrict their practice protocol, their decision making, or feeling of independence, the more physicians sign contracts to work as independent medical directors. There is a very helpful article on ‘Seak.com’:The Biggest Legal Mistakes Physicians Make and How to Avoid them’  This was written by Karen@Seak.com in September of 2014 On Seak.com 

Cosmetic Nurse, Registered Nurse starting Aesthetic Services need smart affordable professional liability policies.

 

If you're an RN about to start your own business or begin slowly and work as an independent contractor performing cosmetic injectable and dermabrasion or micro needling, (or other aesthetic procedures).

If you're an RN doing any of the following:  Injection of Botox including for Hyperhidrosis, Masseters, and/or Platysmal Bands, Dermal Fillers including in the Ear Lobes or Hands, Vitamins/Supplements, Sclerotherapy, PRP (Platelet Rich Plasma), IV Therapy with or with light, Chelation Therapy, Flu Shots, Blood Draws, Injection of a Mesotherapy Solution and/or Kybella.

More and more nurse practitioners are opening practices catering to cosmetic procedures. Dependent on the state, nurse practitioners can start their entrepreneurial business independently, without requirements for supervision by a Medical doctor while others mandate that a physician is involved in the practice on a supervisory/collaboration basis or even ownership basis. If you are considering an independent practice, be sure to check with your state nursing board prior to spending money on an injectable education and practice. States vary as to who can start a practice with/or employ a physician or even other nurses or aestheticians. You must also investigate whether your employees that are providing cosmetic procedures will require supervision. Again this varies state by state.

Medical Malpractice Insurance for Standard Clinicians and Surgeons

The Doctors Insurance Agency provides standard medical malpractice insurance policies for physicians with relatively clean claims history practicing in accordance with the American Board of medical specialties: that is to say The Doctors Insurance Agency (working with The Doctors’ Company) provides Medical Professional Liability Insurance for physicians’ clinical and / or surgical practice.

The Doctors Insurance Agency specializes in helping you obtain affordable, complete insurance protection as an independent medical director. I recently pulled a description of a medical director job posting (this from the JAMA website) (American Medical Association Affiliate)

Medical Director Job responsibilities (for which you will likely need a medical director liability insurance policy):

Job description: Medical Director
By Madeline Hyden

The role physicians play in the nonclinical setting is becoming more complex as the medical practice landscape evolves.
MGMA compiled lists of job functions, duties and responsibilities, and compensation considerations to help physicians put together medical director’s job description.

Main functions of a Medical Director:

• Holds the senior medical administrative position in a medical group practice
• Responsible for a number of activities related to the delivery of medical care and clinical services such as cost management, utilization review, quality assurance, and medical protocol development
• Oversees the activities of group physicians, including the recruiting and credentialing processes
• Reports to the physician CEO/president and/or to the governing body of the organization
All of these administrative services are covered under the most basic medical director policy and it is important to find a policy that can travel with you. In other words, one policy can cover multiple contracts.

There are a lot of physicians with their own practice, private or industrial, who are interested in starting their own services, from Medical Concierge consulting work to many other ‘non clinical’ or non traditionally clinical medical practices. The Doctors Insurance Agency has made it our primary business to understand where the affordable and comprehensive insurance policies are to allow you to do just this. Our physicians (the ones who work with us to help them find these policies) are surprised , the ones who decide to start their own medical wellness aesthetic clinic to learn how affordable it can be to obtain a medical professional liability insurance policy.