insurance for surgical centers
assessing their needs

Westwood will work with you to ensure your surgical center clients have the best insurance coverage and advice to protect them against every threat they could face.
Surgical centers, also known as ambulatory surgical centers (ASCs), face distinct challenges that differ from those of hospitals and other healthcare providers. Commercial insurance agents need to be well-informed about these challenges to offer appropriate and comprehensive insurance solutions. Here are some key challenges faced by surgical centers:
Regulatory and Compliance Risks: ASCs must comply with a complex web of local, state, and federal regulations, including accreditation standards. Non-compliance could result in hefty fines, legal issues, and even facility closure.
Quality of Care and Malpractice Risks: Surgical centers are under immense pressure to provide high-quality care. Any instances of malpractice or perceived negligence can lead to costly lawsuits and damage the center’s reputation.
Limited Scope of Services: Unlike hospitals, surgical centers often focus on a limited range of procedures and may not have the same breadth of medical equipment and expertise, which can be a limitation in emergency situations.
Technological Vulnerabilities: With the increasing use of electronic health records and medical devices connected to the internet, ASCs are susceptible to cybersecurity threats, including data breaches and ransomware attacks.
Operational Efficiency: Managing patient flow, surgical schedules, and resource allocation are critical for the financial viability of the center. Any disruptions can lead to significant income loss.
Workforce Challenges: Surgical centers may not have the same staffing resources as hospitals, making them more vulnerable to staff shortages, turnover, and related employment issues.
Patient Safety and Infection Control: ASCs need to maintain rigorous standards for patient safety and infection control, which have become even more crucial in the wake of health crises like the COVID-19 pandemic.
Supply Chain Vulnerabilities: As smaller entities, surgical centers may face challenges in procurement and may be at a higher risk of supply chain disruptions.
Payer Mix and Reimbursement: Surgical centers often have to negotiate with various insurance providers for reimbursement, which can be complex and time-consuming. Delays or disputes in reimbursement can have a significant impact on cash flow.
Public Perception and Reputation Management: Any adverse events, poor patient reviews, or negative media coverage can severely impact the center’s reputation and, in turn, its revenue.
Understanding these challenges will help insurance agents recommend specific insurance products tailored to surgical centers. Regular risk assessments and a focus on a holistic risk management strategy can help surgical centers navigate these challenges effectively.
what specific insurance do they need?
Surgical centers face a unique set of risks that necessitate specialized insurance coverage. Commercial insurance agents should consider recommending the following types of insurance for surgical centers:
Professional Liability Insurance (Malpractice Insurance): This is crucial for covering allegations of medical malpractice or negligence during surgical procedures.
General Liability Insurance: This covers potential claims arising from injuries or property damage that could occur on the facility premises.
Cyber Liability Insurance: With electronic health records and connected medical devices, cyber insurance is necessary to cover the costs associated with data breaches and cyberattacks.
Workers’ Compensation Insurance: To cover medical expenses and lost wages for staff injured while on the job. This is generally a legal requirement.
Commercial Property Insurance: For protection against loss or damage to the physical assets of the facility, such as surgical equipment, computers, and furnishings.
Employment Practices Liability Insurance (EPLI): This coverage protects against claims from employees related to employment issues like wrongful termination, harassment, and discrimination.
Directors and Officers Insurance (D&O): Provides protection for directors and officers against personal losses in case they are sued for alleged wrongful acts while managing the company.
Business Interruption Insurance: Useful for covering operating expenses and lost revenue if the surgical center has to temporarily close due to a covered peril like a natural disaster.
Commercial Auto Insurance: If the facility owns or uses vehicles for business purposes, this will cover liabilities related to any accidents involving those vehicles.
Umbrella/Excess Liability Insurance: Provides additional liability coverage above the standard limits of other liability policies, offering an extra layer of financial protection.
By understanding the unique challenges and risks that surgical centers face, commercial insurance agents can offer more targeted and comprehensive insurance solutions. Tailoring insurance packages to the specific needs of each surgical center is key to establishing trust and providing valuable service.
advice for commercial agents approaching surgical centers
Commercial insurance agents approaching surgical centers should focus on building a relationship that goes beyond merely selling insurance products; they should aim to become a trusted risk management advisor. Surgical centers face a unique set of challenges, ranging from complex regulatory landscapes to professional liability, and often operate with slimmer margins than larger healthcare facilities. Start by conducting a thorough risk assessment that looks at various operational aspects of the center, including staff qualifications, types of surgical procedures performed, patient flow, technology used, and compliance with healthcare regulations. This in-depth understanding will not only allow you to identify gaps in their existing coverage but will also build credibility with the client.
In this rapidly evolving healthcare environment, risk profiles can change quickly. Make it a practice to schedule regular check-ins or policy reviews with the surgical center to discuss any new challenges they may be facing, whether it’s a change in legislation, new types of surgical procedures being offered, or new technologies being adopted. Keep abreast of trends and issues affecting the healthcare sector in general and surgical centers in particular. Your expertise in both insurance and the specific challenges facing surgical centers will make you an invaluable resource, helping to build a long-term relationship that benefits both parties. By providing tailored insurance solutions and timely advice, you’ll help these centers navigate the complex risk landscape effectively, allowing them to focus on delivering high-quality patient care.
Contact Michael Richards now
Michael specializes in insurance for this particular group. You can call him on the number below or fill out the form and he will get your message directly:

sourcing the best insurance for surgical centers is essential for commercial agents
General Liability Insurance
General Liability insurance cover medical expenses and attorney fees which result from bodily injuries and property damage that your company or organization could be legally responsible for.
Professional Liability Insurance
Professional liability insurance, also known as errors and omissions insurance (E&O) and medical malpractice insurance, protects your business against claims of negligence, malpractice, errors, and omissions which may have occurred during the fulfillment of a professional service.
Telemedicine Malpractice Insurance
telemedicine malpractice insurance—also known as digital health insurance or eHealth insurance—has become increasingly vital for healthcare providers. to protect them against claims of negligence, malpractice, errors, and omissions which may be the result of the limitations of webcam quality or the inability of a patient to properly photograph a condition. It can also cover cyber liability, such as remote controlled medical devices being hacked.
Directors and Officers Liability (D&O) insurance
D&O insurance (Directors and officers liability insurance), shields the personal assets of company directors and officers, and where necessary, their spouses, from claims which could arise as a result of the decisions they made and actions they took within the scope of their regular duties.
Cyber liability insurance
Cyber liability insurance covers the financial costs associated with a breach of your cyber security, such as a ransomware attack. It also covers first party costs including event management, data restoration, financial costs to third parties, network interruption, and cyber extortion.
HNO Insurance
HNOA, (hired non-owned auto insurance) is designed for organizations who regularly hire vehicles or require employees to use their own vehicles in the course of their work. In the case of an accident where your employee was liable, it could cover physical damage to that other person’s vehicle, medical expenses, the cost of hiring an attorney to defend your business.
Workers’ Comp. Insurance
Workers’ compensation insurance covers your employees for workplace injuries or illness. It provides them with medical and wage benefits.
This coverage is mandated by each state, with the wage and medical benefits varying from state to state. Workers compensation also protects business owners from civil suits by workers who become injured on the job.
Employment Practices Liability
Employment practices liability insurance (EPL insurance or EPLI), covers employers (PDF) against claims made by employees for:
- Discrimination (based on sex, race, age or disability, for example)
- Wrongful termination
- Harassment
- Failure to promote and other employment-related issues
Sexual Abuse & Molestation (SAM)
Sexual Abuse and Molestation Insurance provides coverage for organizations against claims arising from alleged sexual misconduct or molestation by an employee or other representative of the organization.
Environmental Liability insurance
Environmental Liability insurance is liability insurance specifically designed to protect environmental liabilities. This is a specialized form of general, commercial liability insurance that provides financial protection against litigation and clean-up costs resulting from claims of injury or damage caused by pollution, contamination or hazardous waste disposals.
Commercial Property Insurance
Commercial property insurance is a fundamental component of risk management for healthcare and senior living providers. It is designed to protect the organization’s physical assets, such as buildings, medical equipment, furniture, and supplies, from financial losses due to damage or theft.
Crime Insurance
Crime Insurance covers the insured party a reimbursement if their property is damaged due to a crime. Crime Insurance usually has a huge range of options and comes in different forms. It can be either a rider that can be attached to the existing insurance policy, or it is available as a completely separate product.
Commercial Auto Insurance
Commercial auto insurance is a crucial aspect of risk management for healthcare and senior living providers. It offers vital financial protection against vehicle-related incidents and is often required by law.
Fully/Partially Funded insurance
Partially Funded insurance gives facilities the opportunity to pay a set premium for, and then in turn is partially covered for specific risks.
Fully Funded Insurance allows facilities to pay premiums to have coverage against all risks. In return, if they are unfortunate enough to incur any of the covered loss or injury, they are reimbursed their insurance policy amount.
Excess and umbrella coverage
Excess coverage provides an additional layer of protection over and above what an underlying policy provides. It applies to a single policy only.
An umbrella policy on the other hand, provides additional liability coverage over and above what is provided by a number of underlying policies.
we've got you covered
General Liability Insurance
Protecting healthcare organizations against increasingly crippling litigation.
Professional Liability Insurance
Protecting medical professionals against increasingly crippling litigation.
Medical Malpractice Insurance
Protecting medical professionals against increasingly crippling litigation.
Cyber Liability Insurance
Protecting healthcare organizations & professionals against cyber attacks.
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