Professional indemnity insurance is a large sector within the commercial insurance market that is growing rapidly. Many of the insurance companies that provide this type of insurance are continually fighting for a share in the market and will offer a number of different products, both off and online. If you have a healthcare business or work in the medical field, you need to make sure you are aware of the level of professional (in your case, medical) indemnity insurance you need to have. To help you get a better understanding, here are some things you need to know.
What is Professional Indemnity Insurance?
Professional indemnity insurance is a product of insurance that is designed to protect professional firms and people when an error occurs at the place of business. The policies that are available cover professional neglect, omissions or errors, a professional duty breach and public liabilities. This insurance is there to protect professional people from being sued by a client or third party due to a mistake or problem that has occurred because of their professional activity. Basically, it grants professionals the peace of mind and confidence to carry out their field of work. This is something that is extremely important in the medical field. A number of problems can arise in this area of work, so the medical version of professional indemnity insurance is vital when starting up or working for a healthcare business.
How Much Does It Cost?
The amount you pay for cover will be subject to things like the profession, the claims history, and the annual turnover, to name a few. Professions that are considered high risk, such as a medical professional, will end up paying more than someone with a lower risk profession. The rates you can expect to pay for medical indemnity insurance are between 0.25% up to 5% (on average, rates can be more or less than this) of the annual turnover or income fee. The amount depends on the normal risk factors plus the competition within that market.
The price of the rates you pay will also vary between each insurance provider. When it comes to getting medical indemnity insurance, finding a reliable company that offers fantastic rates and who will be able to provide you with the right amount of cover is essential. Incision indemnity provides a sharp, intelligent and refreshing approach to medical indemnity insurance and is a great insurer to consider. They can provide you with a quote online within minutes and you will receive your documents there and then.
What Does It Cover?
The mistakes made by a healthcare professional’s services are the main thing covered by medical indemnity insurance. In a medical business, the risks of mistakes are fairly high, no matter how diligent or skilled the healthcare professional is. Some mistakes may be so minor that they require a small payment or may have no financial consequence or cost at all. However, others are much more serious and if you don’t have the right level of medical indemnity insurance, the company could shut down completely and the partners or directors of the business can be financially destroyed. The amount covered by the insurance does depend on what policy is purchased. Some companies cover more than others, so make sure you ask everything you want or need to know before you choose your medical indemnity insurance.
Although professional indemnity insurance isn’t a legal requirement, it is highly advisable to have it, especially when working in the medical field. Without this cover, medical professionals will be exposed to a huge number of risks within the business and will most likely need to charge more to protect themselves.