Professional Indemnity Insurance

Professional indemnity is an insurance policy solely created for a business or a working professional, providing services or advisory to its customers and clients. These plans help in recovering costs that arise due to third-party losses i.e. a loss to the client or the customer. For example, if the customer of the insured company faces a financial loss due to the services provided by the company then in this case the insured company will be protected by a professional indemnity plan. After the occurrence of loss, the costs are borne by the insurance company.

What is Medical Indemnity Insurance?

Medical Indemnity Insurance is a type of insurance that is designed to safeguard medical practitioners like doctors, nurses or surgeons from legal claims. In simple words, this policy liberates you from all the risks and liabilities that may arise while performing surgery or any medical-related activity.

To understand Medical Indemnity Insurance, let's take an example of one of the most popular Bollywood movies- Good Newz, where two married couples were unsuccessful in conceiving and tried seeking medical help for the same. However, they had ended up in a complicated situation due to the blunder made by their doctor.

In such a situation, where the patient faces any such issues due to the doctor's or hospital's unintended mistakes, he/she can file a claim, and the authorities are liable to pay him/ her the compensation.

In short, Medical Indemnity Insurance provides coverage in the below-mentioned cases:

• If a patient or any third-party files a claim for any injury or harm
• Legal costs and expenses in defending the claim
• If compensation is payable to the patient

Why is Medical Indemnity Insurance important?

As a doctor or any medical professional, it is your duty to treat your patients with utmost dedication. However, at times, in some circumstances, there is always the possibility that you or one of your team members could make a mistake unintentionally, which could create trouble. So purchasing indemnity insurance for doctors is a wise decision.

In such scenarios, if the claim is made against you, your goodwill and your financial position could be left vulnerable.

To avoid such situations in the future, it is important to guard against the risk of legal action against you in advance with a Medical Indemnity Insurance plan. Such plans act as the safety net that will protect you from such severe actions by covering claims made against you.

Who Is Eligible to Get Coverage under Medical Indemnity Insurance?

Medical Indemnity Insurance is a cover relevant to all Healthcare Providers, including:

• Medical Practitioners such as physicians, surgeons, cardiologists, pathologists etc.
• Individual practitioners
• Obstetric scanning
• Aesthetic cosmetic practitioners
• Mental Health clinics
• Medical staff suppliers

What does Professional Indemnity Insurance Cover?

Here are a few inclusions of the indemnity policy in health insurance:

• Claims that arise due to professional negligence.
• Claims raised due to errors, omissions, or mistakes or delays in professional services.
• Claims made due to a breach of professional duty or fiduciary responsibility.
• Defence costs, including legal fees such as lawyers fees.
• Indemnification for settlements or judgments against the insured.

What Does Professional Indemnity Insurance Not Cover?

It is very crucial to read the policy document before purchasing a professional indemnity insurance policy. Here are a few exclusions of the policy:

• Claims made from intentional or fraudulent acts.
• Claims that are related to criminal acts or illegal activities.
• Claims that arise from bodily injury or property damage.
• Claims for losses covered under other insurance policies.

Claim Process

1. Inform Your Insurer

   First thing first, inform your Insurer immediately of all the available details.

2. Submit all the relevant documents

   Submit all the documents related to the case along with the legal notice or summon, if any.

3. Claim Settlement

   Your Insurance Company will thoroughly look into the matter and arrange for the defence of the particular case, whenever required.