Medical Malpractice Insurance for the Health, Beauty & Fitness Sectors
If you are an individual complementary practitioner, a therapist, a teacher or a counsellor, then you should have medical malpractice insurance (many practitioners simply tend to call this malpractice insurance). If you own an establishment that offers cosmetic, holistic, healthcare or medical treatments such as a health, beauty or cosmetic clinic, spa or gym then you should also have malpractice cover.
Is Malpractice Insurance Compulsory?
There is no legal requirement to have medical malpractice insurance but it’s important to protect yourself and your business against events you cannot forsee. Also, in today’s society, people are increasingly ready to bring a claim against you if they feel dissatisfied – whether or not you are actually at fault. Claims can run into many thousands of pounds and having malpractice insurance could be the difference between a business being able to survive a claim or not. The types of allegations a client could make against you include misdiagnosis, neglect, bodily injury, mental injury, duty of care, error or omission, loss or damage to property and financial loss.
What Exactly Is Medical Malpractice Insurance?
You will discover a number of insurance options when you look for insurance for your beauty, health, holistic or fitness business. You will come across names such as Public Liability Insurance, Professional Indemnity Insurance, Medical Malpractice Insurance, Medical Indemnity Insurance and Medical Liability Insurance. So what do these terms mean? Read on to find out ….
Public Liability Insurance
Public liability insurance covers accidental bodily injury by you or your business and also covers third party property damage (damage to possessions or property belonging to a client or member of the public while you are practising). Generally speaking, public liability insurance policies will not cover you for claims arising from advice.
Professional Indemnity Insurance
Professional indemnity insurance covers claims arising from advice. Professional indemnity is for businesses and therapists that provide specialist advice, for instance psychotherapy or counselling. Generally speaking, professional indemnity insurance policies will not cover you for claims for bodily injury.
Medical Malpractice Insurance
Medical malpractice insurance is actually a combination of both public liability and professional indemnity insurance. It covers claims made for bodily injury, mental and psychological damage from both physical procedures and from advice, or a combination of the two. You might see this type of policy described as ‘combined malpractice and professional liability insurance’ or as ‘medical indemnity insurance’ or ‘medical liability insurance’.
One point to note with medical malpractice cover is the way that claims are covered. Insurance policies can be written on a “claims occurring” basis (as in the case of public liability policies) or they can be written on a “claims made” basis (this is generally the case with medical malpractice insurance). Claims occurring means that the policy provides cover for claims that actually occur during the period of insurance. This is the situation that most people are familiar with in respect of their general insurances. Claims made policies give cover for claims actually brought against the policyholder in the period the policy is in force.
What this means to the business owner is that there is a risk of an unknown or unreported claim being made long after the policy period and not being covered because the claim was made outside the period of insurance. So, if the policyholder ceases to trade or retires, then if insurance has been held on a claims made basis, “run-off” cover will be needed for protection against new claims in future years. Also, if a business owner changes from one insurer to another with claims made cover, then retroactive cover must be considered to protect against claims that may arise from previous work.
We will be happy to provide you with medical malpractice insurance cover tailored to your particular requirements – just phone us and an experienced advisor will be ready to speak to you. We have the right policy for you, whether you are a medical practitioner or other healthcare professional in traditional medicine or whether you are an alternative therapist. If you need medical malpractice or liability insurance for a health or beauty salon, spa, gym, cosmetic clinic or fitness clinic, we have the best solution for you too.