Malpractice Insurance for Professionals

What is Malpractice Insurance?

Malpractice insurance – also known as professional liability insurance – protects licensed healthcare professionals from legal claims resulting from mistakes, omissions, or perceived negligence during patient care.

If you’re sued — even if you did everything correctly — the policy helps cover legal fees, settlements, and protects your professional license.

How can Malpractice Insurance be beneficial?

• A patient accuses you of negligent care despite following guidelines — your insurer provides legal defense.
• You switch jobs or work in multiple clinics, and an incident occurs at a previous site. Your personal policy follows you.
• You provide telehealth or part-time services outside your main role — coverage ensures you're still protected.
• Board investigations or license challenges arise — many policies include legal representation in these cases.
• Avoids financial devastation from out-of-pocket legal fees, which can reach tens of thousands of dollars.

What to Look for in a Malpractice Insurance Policy

• Claims-Made vs. Occurrence: Claims-made policies are cheaper upfront but may require tail coverage when you leave. Occurrence covers you forever for claims from that policy year.
• Policy Limits: Common coverage is $1M/$3M, but adjust based on specialty and risk.
• Defense Outside Limits: Choose policies where legal fees don’t erode your coverage limit.
• Consent to Settle Clause: Ensures your consent is required before a settlement is made on your behalf.
• Board Defense & License Protection: Critical if your license is challenged or a complaint is filed.
• Flexibility: Can you add additional work sites or moonlighting roles?