Optometrists Insurance for Malpractice and Business
Like any other medical profession, optometrists are also exposed to various risks and liabilities that come with their line of work. Owners of optometry practices have to worry about the safety of their patients as well as the welfare of their employees and shareholders. There’s specialized insurance they can consider getting to cover against optometry malpractice liability claims.
Professional liability insurance can help with optometry malpractice claims. It covers optometrists and ophthalmologists, their staff, business interests, and even students interning during the incident. The specific coverage provided by this insurance varies depending on the policy but commonly includes consent to settle claims, personal injury liability, medical payments, first-aid coverage, and deposition fees.
The caveat is that the insured optometrist must observe all standards of care and due diligence. This post will discuss optometrists’ business insurance and explain why its medical peculiarities may require customization to fit the unique needs of each individual practice.
Understanding Malpractice Insurance
Malpractice insurance is a popular alternative name for professional liability insurance because it deals specifically with medical malpractice claims. Malpractice, in general, refers to a professional’s alleged failure to meet standards of care and causing injury or harm to a client due to errors or omissions. In optometry, this could mean prescribing incorrect lenses, missing a diagnosis leading to permanent eye damage, etc.
Malpractice insurance pays for the cost of defense in such claims and any settlements or judgments awarded to the plaintiff. Extra reliefs include the legal fees and related costs.
It’s important to note that insurance requirements and coverage can vary significantly from state to state. What’s considered standard coverage in one state might be optional or unavailable in another. Optometrists should carefully research the specific insurance regulations in their state of practice to ensure they have adequate protection and discuss these with their potential insurance provider.
Here’s a Case Study:
Bill blames Dr. Example’s prescription for his eye damage, which occurred four months after he received an optometry examination and lens fitting from her practice. Bill sued for negligence, claiming the wrong lenses were prescribed.
It turns out Dr. Example met all standards of care, and a separate underlying medical condition caused Bill’s eye damage. However, without professional liability insurance, Dr. Example would have had to pay legal fees and potentially suffer reputation damage even if the lawsuit was ultimately dismissed.
Professional liability insurance protects optometrists against unexpected malpractice claims that could potentially jeopardize their livelihood and reputation. It allows them to continue practicing with peace of mind, knowing they’re financially covered in case of any unforeseen events or accusations.
Key Features to Look for in Malpractice Insurance Policies
When searching for professional liability insurance, optometrists should consider the following key features to ensure they have adequate coverage:
1. Coverage Limits
It’s important to understand your policy’s limits and ensure they are high enough to cover potential claims and legal fees. Many insurance providers offer varying limits based on the size and type of practice, so assessing your individual needs is crucial.
2. Tail Coverage
Students and professionals looking to retire or switch practices should note this. This feature protects against claims made after a policy has expired or been canceled. It’s particularly useful for optometrists who may retire or change practices, as it provides ongoing protection for past services rendered.
Interning optometrists should also consider tail coverage when transitioning to a new practice, as claims can be made months or even years after the initial patient visit.
3. Consent-to-Settle Clause
This clause allows the insured optometrist to have a say in whether a settlement is reached or if the case proceeds to trial. Without this clause, the insurance company may settle without the optometrist’s consent, potentially affecting their reputation and future insurance premiums.
4. Coverage for Disciplinary Proceedings
In addition to malpractice claims, professional liability insurance should also cover any disciplinary proceedings brought against an optometrist by a regulatory board or licensing agency.
It can include investigations into alleged professional misconduct, ethical violations, or malpractice claims.
5. Cyber Liability Coverage
Cybercriminals are always advancing their tactics, making it crucial for optometrists to protect against potential breaches of sensitive patient information.
Cyber liability coverage protects you from the costs your business and reputation incur when handling data breaches.
6. Good Samaritan Coverage
This coverage protects optometrists who provide emergency medical care outside their usual practice or in response to a disaster. It protects against claims of professional negligence during these situations.
7. Defense Costs
Even if a claim is found to be groundless or without merit, legal fees and other defense costs can quickly add up. Professional liability insurance should include coverage for these expenses, ensuring that an optometrist’s finances are unaffected by a malpractice claim.
Optometry vs. Ophthalmology Malpractice Insurance
From the three frequently asked questions about malpractice insurance for optometrists, we can tell there are specific differences between optometrists and ophthalmologists.
While optometrists and ophthalmologists may be in the same field of eye care, there are some key differences between their roles and insurance coverage.
Optometrists typically provide primary vision care, including:
- Routine eye exams.
- Prescribing glasses or contact lenses.
- Detecting common eye diseases.
Ophthalmologists are different. They are medical doctors who specialize in diagnosing and treating eye disorders of all types with medication, surgery, or both.
Due to the higher risk of surgical procedures involved with ophthalmology, malpractice insurance for this profession is generally more expensive than that of optometry. However, both professions still require professional liability insurance to protect against any potential malpractice claims.
Customizing Insurance Plans
Optometrists should carefully review their insurance policies and coverage with an experienced agent, as different types of malpractice claims may require different levels or types of coverage.
You may play different roles in the eyecare field, such as interning as a student, working as a lab worker at an eyecare products company, or being self-employed as an optician. Regardless of your role, it’s important to have appropriate coverage.
For example, a student intern may not require the same malpractice insurance as a practicing optometrist. However, they should still have some form of coverage in case of any negligence during their internship. Here’s what an optometry student should know about malpractice insurance.
Additionally, those employed by an eyecare products company may also need to consider additional coverage for product liability claims. This type of insurance would protect them in case a product they have sold or recommended causes harm to a patient.
Always find out what kind of insurance your employer provides, but you may also need your own liability coverage to protect yourself and your practice fully.
Another important aspect to consider when customizing insurance plans is the location and type of practice. For example, suppose an optometrist works in a busy urban area with a high volume of patients. In that case, they may require higher coverage levels than those working in a smaller rural community with fewer patients.
Similarly, those specializing in more complex eye surgeries may require more extensive coverage than those primarily focusing on routine eye exams and prescribing glasses or contact lenses.
Business Insurance Plans for Eye Specialists
Every optometric practice is unique and, therefore, requires a customized insurance plan to meet its specific needs. Businesses are separate from individuals, and as such, it’s important to have appropriate coverage for a number of people within the practice.
Businesses may be liable for what their employees do, and optometrists should be aware that they may be responsible for their staff’s actions. They should also protect their employees against personal liability.
A reputable insurance agent can work with an optometrist to assess their risks and determine the appropriate amount of coverage needed.
Some factors that may affect the type and level of coverage needed include:
- Size of the practice.
- Number of employees.
- Types of services provided.
- Geographic location.
Additionally, there are specific types of coverage that eye specialists should consider adding to their insurance plan:
- Cyber liability insurance covers data breaches and cyber attacks, which can compromise sensitive patient information.
- Business interruption insurance: In the event of a disaster or unforeseen event that temporarily shuts down your practice, this coverage helps you recover lost income and the expenses associated with closure.
- Employment practices liability insurance for claims made by employees for issues like wrongful termination or discrimination.
- Property insurance: Eye specialists should have proper property insurance to protect their physical assets, including equipment and office space.
It’s also crucial for optometrists to regularly review and update their coverages as their practice grows and evolves.
Choosing the Right Insurance Provider
Choosing the right insurance provider is crucial for protecting your optometry practice. Look for a provider with a strong reputation for handling claims efficiently and fairly. Don’t hesitate to request quotes from multiple providers and consider their available coverage options to ensure you’re getting the best value for your investment.
At Professional Insurance Plans, we specialize in working with eye specialists and understand the unique risks they face. We can provide customized insurance solutions to meet your practice’s specific needs.
Call us today; protect your practice before a malpractice claim gets filed.