When does tail malpractice coverage come in handy? For physicians, this is the most common type of medical malpractice insurance. However, malpractice coverage isn’t specific to one industry. Attorneys also need it, but whether it’s medical or legal, all malpractice insurance policies are claims-made products.
The important thing is understanding tail coverage and when you should have it. It’s the best way to bestow coverage after the cancellation or termination of a claims-made policy, allowing you to extend your coverage. This is tail coverage, in-depth:
Claims-made policies provide coverage for claims brought against a physician resulting from services the physician provided during the time the claims-made policy was continuously in effect. For hospitals, each employee is covered under a malpractice policy. The same goes for lawyers. This also applies to attorneys when they are made insureds of a claims-made policy. This coverage will keep your business protected when your policy is not renewed. For an attorney, if you happen to leave your practice, this coverage will also come in handy. Tail coverage gives you the safety and peace of mind needed for the unknown future. Without tail coverage, there’s no for sure way of making sure that your employees prepared for any scenario.
Tail coverage can be costly; with that being said, there’s those that get tail coverage de facto because they’ve had the same insurance carrier for so long. Shopping around for tail coverage later in life, especially with a medical or law practice, can be problematic. It’s better to do it sooner rather than later, especially if one has the opportunity to get coverage through their current company. For those that want tail coverage, seek advice on it from your insurance agent.
At Axis Insurance Services, we aim to help our customers identify their exposures and protect themselves. Founded in 1999, we offer insurance programs to a wide variety of professionals and industries including attorneys, real estate, healthcare, architects, and more, and also have a wholesale division. We pride ourselves on offering flexible insurance coverage tailored specifically to each customer’s needs. To learn more about our solutions, contact us at (201) 847-9175 to speak with one of our professionals.