How to Pick the Right Medical Malpractice Insurance?
Medical Malpractice Insurance is a type of insurance that is especially designed to protect healthcare professionals and medical establishments against legal claims of medical negligence, errors, or omissions of professional duties.
In the UAE, all medical professionals are required to carry medical malpractice insurance. Each policy specifies minimum requirements for getting a Medical Malpractice Insurance certificate if an incident occurs.
A medical malpractice insurance policy provides coverage for claims resulting from physical harm, death, psychological trauma, and other kinds of injuries sustained by the patients.
This policy also covers the amount of damage costs, legal fees, and court-related costs awarded to the claimant in case of a lawsuit.
Why Medical Malpractice Insurance Is Important
MMI policy is a legal requirement that guarantees financial stability when facing a lawsuit. A healthcare professional’s financial stability is at risk, and their hard-earned reputation could be irreparably damaged without medical malpractice insurance.
Medical malpractice insurance is beneficial for healthcare professionals and medical facilities because the amount of money awarded in these types of cases tends to be large. It offers peace of mind and is a physical sign that one is a DHCA-registered healthcare professional.
Who Needs Medical Malpractice Insurance?
All healthcare professionals in the UAE, including those with DHCR licenses, must have medical malpractice insurance. The list of medical professionals who must have MMI policy includes:
- Dental and medical specialists
- Nurses in practice
- Associated medical specialists
- Practitioners and experts in Complementary and Alternative Medicine (CAM)
- Professional faculty members
- Trainees
- Specialists
- Surgeons
- Dentists
- General Physicians
- Lab personnel and diagnosticians
Malpractice insurance policy does not include clinical trials and studies involving human subjects.
Types of Medical Malpractice Insurance
1. Group Medical Malpractice Insurance
This type of insurance provides coverage for a group of healthcare professionals who work together, such as those in a clinic, hospital, or medical practice.
Shared Coverage: The policy extends coverage to all members of the group, providing collective security against malpractice claims.
Cost Sharing: Premiums are generally shared among group members, making it a cost-effective option for practitioners.
Consolidated Limits: The policy sets limits for the entire group, with a maximum payout for all claims collectively.
Unified Protection: All members of the group benefit from a uniform level of protection against malpractice claims.
2. Individual Medical Malpractice Insurance
This type of insurance provides coverage for an individual healthcare professional, no matter their workplace or affiliation.
Personalized Coverage: The policy is tailored to the specific needs and risks associated with an individual’s medical practice.
Individual Limits: The coverage limit is dedicated solely to the insured individual, ensuring a distinct financial protection level.
Portability: The coverage remains with the individual, allowing for continuity even if they change employers or work at multiple locations.
Choosing Between Group and Individual Medical Malpractice Insurance:
Group MMI: This is perfect for practitioners who want to share coverage limits, are willing to work in a shared environment, and are looking to save money.
Individual MMI: This is suitable for those who prioritize personalized coverage, value portability, and are willing to invest in individualized protection.
What Does Medical Malpractice Insurance Cover?
Following are the inclusions of medical malpractice insurance:
- Financial damages in case of a medical error
- Consent failure
- Any error made in diagnosis of cancer or other critical illness
- Any delay or failure in diagnosis
- Any error in diagnosis of a fracture or trauma, including incorrect treatment
- Prescribing incorrect drugs for treatment
- Delay in medical consultation and treatment
- Any negligence in birth and maternity care
- The cost of legal representation
- Libel and slander, which include oral or written defamation statements
- Mental trauma and injury
- Coroner’s inquests which include the costs of preparing statements for coroner and legal inquests
- Classic slip and fall accidents/injuries caused on the premises
What Does Medical Malpractice Insurance Not Cover?
Following are the exclusions of medical malpractice insurance:
- Medical services performed under the influence of narcotics or intoxicants
- Any fines or penalties against the insured medical professional
- Unlicensed and non-permitted medical services
- Any claims made after expiry of MMI policy
- Any act that violates any law or ordinance
Understanding the Limits of Medical Malpractice Insurance
The limit of liability ranges from AED 500,000 to AED 20,000,000. It is the highest amount that an insurance provider would pay for a legitimate claim. The limitation for each MMI policy is defined distinctly for a single claim and is often lower than the total coverage amount.
Do you have more questions about medical malpractice insurance (MMI)? Contact New Age Insurance Brokers, LLC today at +971 4 3573378 or write to us at info@newageib.com.
