What are the important features of a doctor’s PI insurance policy?
A doctor’s profession comes with the risk of lawsuits and compensation demands. A patient or a patient’s family can sue the doctor in the event of medical negligence or failed treatment. A doctor’s professional indemnity policy has proved to be of great help in bearing the financial burden of compensating a patient or the cost of fighting the charges legally. Independent doctors and medical establishments can both take this insurance.
Let’s take a look at the salient features of the policy.
Professional indemnity coverage – Important features of Doctor’s PI insurance
The policy provides coverage for the following:
- Legal costs incurred for defending a lawsuit
- Settlement payable to a third party
- Fee payable to a court in case of a litigation
Moreover, a doctor’s professional indemnity coverage allows extensions for customising and enhancing the policy. The extensions can cover foreign nationals, loss of documents or any act of negligence.
The policy is annually renewable. Doctors should be aware of the concept of the retroactive date. This is the initial date when the first insurance was purchased. So, claims of previous years but after the retroactive date will be covered even if they are reported during the current insurance duration. This feature is very useful because claims are often reported years after a medical treatment. However, the retroactive date is reset if you do not renew your insurance on time.
Additional Read: Why timely renewals of the DPI policy are important?
Doctor’s professional indemnity exclusions
The DPI policy has a list of exclusions that you should check before buying the policy. These are instances that the plan does not cover. A doctor’s professional indemnity normally has the following exclusions:
- Fraudulent acts
- Acts of willful or deliberate conduct
- Procedures involving weight loss or cosmetic treatments
- Treatments conducted under the influence of alcohol, drugs or other intoxicants
- Acts of illegal nature
- Claims suffered outside the policy’s term
- Claims in existence at the time of buying the policy
Who does the policy cover?
The Doctors Professional Indemnity policy covers independent doctors and medical professionals, establishments like hospitals, clinics, laboratories and unqualified staff employed with these establishments.
Benefits of a Doctors PI cover
A professional indemnity policy provides doctors with financial assistance in case of lawsuits and litigations. Therefore, it helps independent doctors safeguard their personal wealth, and hospitals their assets. Moreover, doctors prefer hospitals that have invested in a DPI policy.
Additional Read: How a DPI policy can protect doctors against legal liabilities?