For years, New York physicians and medical facilities have been limited to just two malpractice insurance carrier options.
That lack of competition has yielded higher premiums, as well as less than stellar coverage solutions and customer service. But now since the marketplace is wide open, the opportunities for physicians and medical practices to save significant dollars and achieve more comprehensive coverage is unprecedented.
So how can you take advantage of this opportunity?
First, get your hands on your current policy. Then start looking for a full-service broker that possesses the expertise and resources needed to create an innovative coverage plan for you and the entire practice or facility.
To help you in your search, keep these four tips in mind:
1. CONSIDER A SINGLE INSURANCE SOURCE. The first question I always ask a physician is, “would you ever have two accountants, one to handle your business and the other to take care of your personal needs?”
Most say they have just one accountant to handle both since they dovetail into each other.
Your insurance coverage is no different.
Policies can offer a lot of coverage, but they can also come with a lot of exclusions. A full-service broker offers a coordinated effort that constantly assesses your risks, monitors industry changes and ensures you have the right coverage when you need it most.
2. GET MORE BANG FOR YOUR BUCK.
If you do have multiple carriers, it’s a good idea to take a look at how much money you could be leaving on the table.
There are a lot of different policies that may cover you for the same thing, which means you’re paying for the same coverage twice.
Additionally, your medical malpractice carrier and broker should be partnering to offer proactive claims and risk management programs that could save you up to 40 percent off premiums.
3. TAKE A GOOD LOOK AT YOUR BUSINESS OWNER’S POLICY.
We often see medical practices written on what’s called a business owner’s policy, but be careful, this could be a slippery slope if a claim is filed.
See, a business owner’s policy may have some employment practices liability protection, but it’s only good for a very limited amount (maybe up to only $50,000), and may not cover third parties or costly suits like sexual harassment and wrongful termination.
4. CYBER RESPONSIBILITY.
Cybercrime worldwide has doubled year over year. In fact, last year it cost $450 billion and industry experts fully expect it to grow to $6 trillion in 2020.
Hackers work to find the easiest way into organizations and why two-thirds of breaches occur in small to mid-sized businesses, and of those two-thirds, 66 percent close their doors forever in the wake of a major data breach.
To add insult to injury, the healthcare industry is targeted since Personal Health Information (PHI) is 10-times more valuable than payment card information on the dark web.
Armed with the stolen data, fraudsters file claims with carriers flying so far under the radar they can go undetected for long periods of time allowing them to collect a lot more money.
So, if you’re a healthcare organization, it’s safe to assume you’re at risk.
Aside from being the right thing to do, protecting PHI falls squarely on your shoulders from a legal perspective.
Data regulations apply to the owner and collector of PHI, which is why you must have a full understanding of your responsibilities. Ensure you have processes in place to 1) prevent a data breach and 2) respond quickly and effectively when a breach does occur.
A full-service, dedicated healthcare broker will work with carriers to ensure that a specialized team is available 24/7 to offer support in the event of a breach.
Right now New York physicians and healthcare organizations have a significant opportunity to enhance coverage and reduce costs in the new competitive marketplace. Armed with these four tips, identify full-service brokers that possess proven healthcare insurance experience and ask for a free assessment. It’s that easy.