What is

MEDICAL MALPRACTICE
INSURANCE

Medical malpractice insurance is meant to protect healthcare professionals and establishments against costly litigation following errors or negligence while providing medical treatment or consultancy. It is similar to professional indemnity insurance but is tailor-made for specific risks encountered by healthcare professionals. It covers mainly the compensation costs and legal fees that may be requested after being sued by a patient. Coverage can be put in place for individual practitioners or for the whole medical facility.

Which type of healthcare professionals should buy medical malpractice insurance?

Any healthcare professional, whether a nurse, a chiropractor, a surgeon or an occupational therapist can face liability risks while providing professional services. So all healthcare professionals should consider buying medical malpractice insurance for peace of mind.

What is the maximum cover you should have?

If there is no mandatory coverage in your country, then it is important to look at existing claim cases and estimate the sum needed to cover the risks. Each country’s legal system is different and the indemnity payable following medical malpractice may vary largely from one country to another. Keep in mind to estimate the legal costs as well, as it may be the main part of the financial burden when dealing with this type of claim.

How much does it cost?

Medical malpractice insurance can be very expensive and it can be difficult to find insurers willing to cover the risk. The premium will depend on the type of medical profession and the size of the business. It is common to see professionals being covered through a professional association in order to pool the risk and hold a good position to negotiate better terms and conditions from insurers.

Is medical malpractice insurance compulsory?

It is compulsory in many countries, but not in Singapore, Hong Kong, and Mainland China. The Singapore Medical Council (SMC) and the Ministry of Health are considering making it mandatory in order to improve the professionalism of healthcare service but it has not been confirmed yet. In any case, medical malpractice insurance, whether mandatory or not, should be considered by all healthcare professionals for their own peace of mind.

Are medical malpractice insurance and professional indemnity insurance the same?

The coverage for both these insurances is very similar; both will cover you if you are required to pay a compensation claim to a client. The insurer will also get involved to defend the claim in such a situation. However, medical malpractice insurance not only covers economic loss, but also injury and property damage following professional negligence, which professional indemnity won’t cover. Contact us if you have any questions about Medical Malpractice Insurance.

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