Knowledge Center

The American nursing care industry employs nearly 3 million individuals. Of those, a significant number work for private practices. In these offices, some nurses will have a lighter workload. Others will handle more in a busy trauma center. Yet, one factor remains consistent: nurses provide critical care services to all patients. If they make mistakes, they could cost the patient and the practice. If you're a nurse, what can you do in the event of an unfortunate mistake?

A critical recourse for nurses who make mistakes is malpractice insurance. The key is to get the appropriate coverage for your nursing services. 

What's Malpractice Insurance for Nurses?

Professional liability insurance covers individuals for the mistakes they make at work. 

In other words, if the service you provide harms another person, then they stand to suffer personal and financial losses. Because the accident was your fault, the client might hold you responsible for the losses. As a result, they might sue or request other compensation for their losses. That's where nurses' malpractice insurance comes into play.

Malpractice coverage is a type of professional liability coverage. As a nurse, if you were to cause accidental harm to a patient, then you might be financially liable for damages. A successful malpractice claim might help cover the claimant's needs. Still, it can also protect the individual responsible for the damage and the practice for which they work. 

Malpractice Insurance for Nurses: The Basics

• Definition: Malpractice insurance is a type of professional liability insurance that protects nurses from claims related to mistakes made at work.
• Coverage: Helps cover legal defense costs, settlements, and damages if a nurse is held responsible for harming a patient.
• Purpose: Provides financial protection if a patient files a claim for negligence or errors in care.
• Employer vs. Individual: Nurses may receive coverage through their employer, but additional personal coverage can offer extra protection.
• Exclusions: Policies typically do not cover intentional misconduct or criminal acts.

What Can a Nurse Claim?

You likely know a thing or two about the Hippocratic Oath. It's the definition of the highest ethical standards for medical professionals. One of the oath's bedrocks is the concept of "do no harm". Whenever you work with patients, you strive to do just that. 

However, no one's perfect, and unfortunately, even the best nurses can make mistakes from time to time. In a worst-case scenario, even the smallest mistakes might cause horrific physical, emotional, or financial harm to a patient. In the event of such an occurrence, they might have to file a claim on your malpractice insurance.

Malpractice coverage can help in the event of multiple instances of patient harm. Some of the events a nurse might claim could include all varieties of medical errors, from procedure mistakes to problems stemming from an improperly documented set of test results. Coverage might help the policyholder cover:

• Legal defense costs and attorney fees
• Settlements
• Medical damages or punitive damages

Policies will often cover both real and alleged claims of negligence. Still, they won't cover everything. For example, criminal acts, such as sexual misconduct, won't have coverage on most policies. Other exclusions will vary by policy. Thus, the safety-conscious nurse should strive to get the coverage that's most appropriate for their needs. Determining this protection, however, will likely take a bit of investigation. 

Should Nurses Get Malpractice Insurance?

Nurses play a vital role in healthcare, providing essential care to patients every day. However, even the most skilled healthcare professionals can face unexpected challenges that could lead to legal action. This is where having nurse liability insurance becomes crucial. 

If a malpractice lawsuit arises, having the right malpractice insurance coverage can help protect a nurse's financial and professional well-being. When a claim is filed, the associated defense cost can be significant, covering everything from court fees to hiring a defense attorney to represent the nurse. Without adequate coverage, nurses may have to pay out of pocket, which could be financially devastating. 

Many healthcare employers provide some level of coverage, but it may not be enough to fully protect a nurse's interests. The limits of liability in employer-provided policies may fall short, leaving gaps in protection. That's why many nurses opt for additional personal liability coverage through reputable providers like World Insurance. 

An individual malpractice policy ensures that if a claim is filed, the insurance covers the nurse's legal expenses, settlements, and even potential damages. Whether working in a hospital, private practice, or home healthcare setting, having the right coverage in place provides peace of mind and financial security. 

Ultimately, securing malpractice insurance coverage is a smart decision for any nurse looking to safeguard their career. By working with an experienced insurance provider, nurses can find a policy that fits their specific needs and ensures they are protected against unforeseen legal challenges. 

How Can Nurses Obtain Coverage?

Nurses can generally get their malpractice coverage from a couple of different sources. 

• Some will need to carry their own policy in their own name,
• In other cases, their employer or practice will already provide appropriate coverage. 
• Certain nurses might even need their employer's coverage alongside their own coverage. 

Determining which course is for you will usually merit coordination with your practice. If you find that you'll need more coverage in addition to your employer's policy, then you might need to look for coverage on your own. Talk to the practice's policy manager to determine the best course of action to take. 

What Policy Options Exist?

If you decide you need stand-alone coverage, then you still have decisions to make. Malpractice coverage comes in a few different forms. How each one will apply to your liabilities will vary. In the broadest sense, you have the choice between two types of coverage.

Occurrence policies cover incidents as long as they occurred while the policy existed. So, no matter when a claim is filed, the policy may still cover the nurse if it was active at the time of the incident, even if the policy has since expired. So, if someone makes a claim in 2018 for something that happened in 2015, an occurrence policy can help as long as it was active in 2015. 

Claims-made policies are a bit different. They'll only cover claims made during the term for accidents that happened during the term. Let's say you have coverage from 2016 to 2020. Someone files a claim in 2019 for an accident that occurred in 2018. You still have coverage under the 2016 - 2020 policy. 

However, if someone files a claim in 2021 for the 2018 mistake, then the claims-made coverage won't apply. Carriers of claims-made policies might need to carry certain riders or extensions to maintain coverage for past incidents. 

Work alongside your practice management and a malpractice insurance agent to determine the right coverage for you. You may feel much more secure in your position by knowing you have coverage. 

Contact us for more information on available coverage options.