Legal and Ethical Issues in Health Care Chap 3

Spread the risk of economic loss among members of a group who have a commonly shared risk.

Protect your assests

Should obtain liability insurance

Protects entity against negligent acts of an employee or independent contractor

. employer failed its duty to ascertain the employee had the necessary qualifications and capability to render safe care

. employer failed to perform a background check

. employer failed to supervise the employee

. employer failed to provide proper training

. acts and omissions of the employee are imputed to the employer - respondeat superior

. policy spells out specifically those acts of employees that are covered and those that are not covered

. commonly employee is covered for a negligent act only if it is performed within the scope of the employees duties

. quasi-intentional torts of libel or slander
, intentional acts such as assault and battery

Employer must provide evidence of sufficient funds

. employers policy does not provide coverage for certain acts of the employee
. limits of policy exceeded on employer's policy
. closure or meger of a facility may cause the employee to now be left without insurance
. conflict between employer and employee regarding an incident
. disagreement between the employer and employee over the settlement
. conflicts between multiple employees over an incident
. cost of professional liability insurance generally inexpensive
. disciplinary defense insurance - defends against disciplinary actions by a state board
. policies cover:
. legal fee reimbursement
. loss of wages
. reimbursement for travel food and lodging
. peace of mind

. tell agent what services you provide
. types of clients you serve
. do you supervise others
. are you supervised and by whom
. are you in compliance with all licensing requirements in your state
. have you ever had a law suit filed against you
. any past incidents that could give rise to a future claim
. did the incident occur during the course and scope of employment

. Claims made - covers injuries/damages only if the injury occurs in the policy period and only if the claim is filed during the policy period or during the tail
, occurrence basis - will only covered if claim is filed during the period the policy is in place
. Tail coverage - uninterrupted extension of the insurance policy
. Umbrella coverage - coverage purchased in addition to the basic coverage, provides additional amounts or limits and or adds coverage to the basic policy.

. special policy that extends the coverage provided in the original policy for an agree on period

. coverage going back for a certain time
insurer requires:
, services that were provided
. whether the professional was employed or self employed
. details regarding any incident that the professional believes might possibly involve a claim

. provides coverage for an incident that occurs during the policy period regardless of when the claim was made.