New York Medical Malpractice Insurance

New York Medical Malpractice Insurance Coverage

Coverage Requirements

In the State of New York, medical malpractice insurance coverage is not required of physicians by the state.  However, most physicians in New York choose to get coverage and not "go bare."  They get coverage to protect themselves so they don't have to pay out-of-pocket for the costs of a medical malpractice lawsuit, any damages awarded, and/or so they don't have to navigate the litigation process alone and have an experienced  advocate.   

In New York, the typical minimum limits of coverage are $1M/$3M.  This means that providers purchase medical malpractice insurance with coverage of $1M per claim, and $3M aggregate.  “Aggregate” means that the policy will pay out up to a total of $3M in one policy year. 

However, most practitioners in New York get coverage with limits of $1.3M/$3.9M.  And, then additional excess limits are available through the State Excess Liability Insurance Fund of $1.3M/$3.9M for a total of $2.6M/$7.8M.  These higher limits are usually only required for credentialing by most New York hospital systems, but individual physicians in private practice typically do not need to carry such high limits. 

What is the Med Mal Climate Like in New York?

New York is one of the most difficult states to practice in from a medical malpractice insurance perspective.  The number of admitted carriers in New York is limited compared to other states with similar populations.   In New York, the largest carrier is MLMIC, which was recently bought by Berkshire Hathaway/Medical Protective.  Claim frequency is also relatively high and because of the slow nature of claims moving through the New York courts, claim severities tend to be high, too.  (Generally speaking, the longer a case drags out, the more expensive it is.) 

What Kind of Coverage is Available in New York?

Both Claims-Made and Occurrence-type coverage policies are available in New York.

Who Can We Get You Malpractice Insurance Coverage with in the State of New York?

As an agency, we have access to all of the major carriers in New York, including surplus lines/non-admitted carriers.  And, we also have access to New York’s comprehensive network of RRGs that have grown dramatically over the last five years. 

Cost of Malpractice Insurance

Thus, as mentioned above, the high cost of New York medical malpractice insurance coverage is due to both the frequency and severity of claims. In New York state, New York City and its boroughs are the most expensive locations in the state to get coverage. 

In general, rates in New York for a first year, claims-made medical malpractice insurance policy, for an Internal Medicine physician who is claim free, can range from $3,500-$5,500/year, depending on the carrier and location of the practice. 

How to Lower the Cost of Your Medical Malpractice Insurance Coverage

Make sure you get any and all discounts you qualify for!  When reaching out for coverage, please ask about discounts.  Common discounts that are often available, depending on the insurance company, are New-to-Practice, Claim Free, and/or having recently completed qualifying risk management CMEs, among others.     

How Can We Help You and Why Should You Choose Us?

Nexus Insurance Services is a medical malpractice insurance broker, founded in 2004.  As a broker, we can shop the market for you, reaching out to multiple insurance companies simultaneously, to provide you with an array of options, to get you the most competitive pricing.  Also, we specialize in New York med mal insurance and provide coverage for both medical providers and practices of all sizes. 

In addition to providing medical malpractice insurance, we can also provide general liability and cyber liability coverage for your practice. 

Do you need New York medical malpractice insurance?  If so, click here to request a free quote. 

Additional Resources:

Glossary

New York Department of Financial Services

The Medical Society of the State of New York

NY State Excess Fund