insurance for telemedicine providers

insurance is essential for telemedicine providers

Westwood will work with you to ensure your clients providing telemedicine have the best possible insurance coverage for every threat they could face in today’s challenging environment.

Quick Quote for Telemedicine Insurance


why do telemedicine providers need insurance?

Telemedicine, the practice of delivering healthcare services remotely via telecommunications technology, has grown significantly, offering convenience and expanding access to care. However, this mode of healthcare delivery presents unique challenges and legal risks, necessitating the need for malpractice or liability insurance for providers. Here’s where telemedicine providers are vulnerable to being sued for malpractice:

  1. Misdiagnosis or Delayed Diagnosis: The absence of physical exams and reliance on digital communication can increase the risk of misdiagnosis or delayed diagnosis. Limitations in assessing a patient’s condition through video or audio communication can lead to incorrect treatment decisions.

  2. Technical Issues and Data Breaches: Technical failures can disrupt the delivery of care, while data breaches can compromise patient confidentiality. Providers can be held liable for harm resulting from such incidents, including the unauthorized disclosure of sensitive patient information.

  3. Inadequate Patient Assessment: Telemedicine relies heavily on patient-reported information, which may not always be accurate or complete. Failure to obtain a comprehensive health history or to recognize the limitations of remote assessment can lead to inadequate treatment plans.

  4. Prescription Errors: Telemedicine providers may prescribe medications based on virtual consultations. Errors in prescribing, including medication type, dosage, or failure to consider drug interactions, can lead to adverse patient outcomes.

  5. Failure to Obtain Informed Consent: Providers must ensure that patients understand the nature, benefits, and risks of telemedicine, including limitations compared to in-person care. Failure to obtain informed consent can lead to claims if patients feel their care was compromised by the telemedicine format.

  6. Cross-border Licensing Issues: Telemedicine can involve providing care across state or national borders, where licensing requirements vary. Practicing without proper licensure in the patient’s location can result in legal action and penalties.

  7. Failure to Follow Up: Given the remote nature of telemedicine, there’s a risk of inadequate follow-up, especially if technical issues interfere with communication. Providers may be liable if a lack of follow-up leads to worsening of a patient’s condition.

  8. Documentation Challenges: Maintaining accurate and secure medical records is crucial in telemedicine. Inadequate documentation of virtual consultations, decisions made, and treatments prescribed can pose legal risks if the care provided is questioned.

Malpractice or liability insurance provides financial protection against claims of negligence or malpractice, covering legal defense costs, settlements, and judgments. For telemedicine providers, this insurance is essential for mitigating the financial and reputational risks associated with remote healthcare delivery.

Westwood insurance work with a number of insurance carriers to source the most suitable insurance coverage for you at the best price. Get a quick quote today.

 

what types of insurance do telemedicine providers need?

General Liability Insurance

General Liability Insurance

This is necessary for telemedicine providers with their own facilities. It  covers medical expenses and attorney fees resulting from bodily injuries and property damage your facility or organization could be legally responsible for.

Business owner's policy (BOP insurance)

Business owner's policy (BOP insurance)

A Business Owner’s Policy (BOP) is a comprehensive insurance package designed for Medical Professionals with small to medium-sized businesses, providing a blend of liability protection and property insurance.

Professional Liability Insurance

Professional Liability Insurance

Professional Liability Insurance overs any negligence or mistakes made by the individual medical professional during their practice. It differs from General Liability insurance, which covers the practice itself. 

Commercial Auto Insurance

Commercial Auto Insurance

This is relevant for telemedicine providers who use a vehicle for practice-related tasks. This insurance covers you against auto accidents, theft, and other vehicle-related incidents.

Workers Compensation Insurance

Workers Compensation Insurance

Workers Compensation Insurance is usually mandated by law, to protect telemedicine providers and their employees in case of work-related injuries or illnesses.

Cyber Liability Insurance

Cyber Liability Insurance

Covers you against financial losses associated with data breaches, cyber attacks, and other cyber incidents. Insurers will usually conduct rigorous testing of your online system to fix vulnerabilities as part of this policy.

Contact Michael Richards now

Michael Richards, President of Westwood Insurance Group

Michael specializes in insurance for telemedicine providers. You can call him or one of the team on the number below or fill out the form and he will get your message directly:

what specific insurance do they need?

Telemedicine providers need specific insurance coverages to address the unique risks associated with delivering healthcare services remotely. These coverages may include:

  1. Telemedicine Malpractice Insurance: Telemedicine Malpractice Insurance—also known as Digital Health Insurance or eHealth Insurance—has become increasingly vital for healthcare providers looking to incorporate or transition to digital healthcare. This can include Professional Liability and General Liability coverage.
  2. Professional Liability (Malpractice) Insurance: This coverage protects telemedicine providers from claims related to errors, omissions, or negligence in the provision of medical services. It should be tailored to address the specific risks associated with telemedicine, such as misdiagnosis or treatment errors due to technical issues.
  3. Cyber Liability Insurance: Cyber insurance is essential for telemedicine providers due to their reliance on technology and electronic exchange of sensitive patient data. This coverage can protect providers from potential financial losses resulting from data breaches, cyberattacks, network security failures, and privacy violations.
  4. General Liability Insurance: General liability insurance covers claims related to bodily injury, property damage, and personal injury that may arise from telemedicine operations. This coverage can help protect providers from claims resulting from accidents on their premises or other non-medical issues.
  5. Business Interruption Insurance: Telemedicine providers may experience interruptions in their operations due to technology failures, natural disasters, or other unforeseen events. Business interruption insurance can help cover lost income and additional expenses incurred during the period of disruption.
  6. Directors and Officers (D&O) Liability Insurance: This coverage protects the organization’s directors and officers from personal liability related to their management decisions. D&O insurance can be particularly important for telemedicine providers navigating complex regulatory environments and facing potential legal and financial risks.
  7. Employment Practices Liability Insurance (EPLI): EPLI protects telemedicine providers from claims related to employment practices, such as wrongful termination, discrimination, or harassment. This coverage is essential for organizations with employees, as employment-related disputes can result in significant legal costs and damages.
  8. Workers’ Compensation Insurance: Workers’ compensation insurance is required by law in most states and covers medical expenses, lost wages, and other benefits for employees who are injured or become ill due to their work.
  9. Commercial Property Insurance: This coverage protects telemedicine providers’ physical assets, such as office space, equipment, and inventory, from damage or loss due to events like fire, theft, or natural disasters.
  10. Errors and Omissions (E&O) Insurance: E&O insurance covers claims related to professional services provided by non-medical staff, such as billing or administrative errors. This coverage can be essential for telemedicine providers with staff who handle sensitive patient information and financial transactions.
  11. Umbrella or Excess Liability Insurance: Umbrella or excess liability insurance provides additional coverage above the limits of the underlying policies, such as general liability, professional liability, and workers’ compensation. This coverage can be important for telemedicine providers who face high exposure to potential claims.

Each telemedicine provider’s needs may vary depending on the size, scope, and nature of their operations. It’s essential to work with an experienced insurance agent or broker to assess the specific risks and develop a tailored insurance program that adequately protects the provider.

advice for commercial agents approaching telemedicine providers

When approaching telemedicine providers, commercial insurance agents should consider the following advice to effectively address the unique needs and challenges of this industry:

  1. Understand the telemedicine landscape: Take time to familiarize yourself with the telemedicine industry, including its technology, regulations, and market trends. This knowledge will help you better understand your clients’ needs and provide informed guidance on coverage options.
  2. Stay up-to-date with regulations: Telemedicine is a highly regulated industry with complex and evolving rules at both the federal and state levels. Stay informed about changes in licensure, privacy, security, and reimbursement regulations to help your clients navigate compliance and mitigate risks.
  3. Be knowledgeable about cybersecurity: Telemedicine providers rely heavily on technology and electronic communication, making them susceptible to cybersecurity threats. Understand the risks and best practices related to cybersecurity to help your clients protect sensitive patient information and maintain compliance with privacy regulations.
  4. Tailor coverage to specific risks: Telemedicine providers face unique risks compared to traditional healthcare providers. Ensure that you tailor insurance coverages to address these specific risks, such as malpractice concerns related to remote care, technological challenges, and cross-border telemedicine services.
  5. Build relationships with specialized carriers: Work with insurance carriers who have experience and expertise in the telemedicine industry. These carriers are more likely to understand the specific risks and coverage needs of telemedicine providers and can help you develop tailored insurance programs for your clients.
  6. Emphasize the importance of risk management: Encourage your telemedicine clients to adopt comprehensive risk management strategies, including employee training, technology investments, and robust security measures. Risk management can not only help prevent claims but also lead to more favorable insurance rates and terms.
  7. Communicate proactively and frequently: Maintain open and frequent communication with your telemedicine clients to stay informed about their evolving needs, challenges, and concerns. Regular communication allows you to provide timely advice and adjust coverage as needed, ensuring that your clients remain adequately protected.
  8. Offer value-added services: Consider offering value-added services, such as regulatory compliance consulting, cybersecurity assessments, or employee training resources, to help your telemedicine clients manage risks and improve their operations. These services can differentiate you from competitors and strengthen your relationships with clients.
  9. Be patient and persistent: Telemedicine is a rapidly growing and competitive market, with new providers and technologies emerging regularly. Be patient and persistent in your efforts to connect with potential clients and demonstrate your expertise in the industry.
  10. Stay informed about industry developments: As the telemedicine landscape continues to evolve, staying informed about industry trends, new technologies, and emerging competitors will help you anticipate your clients’ needs and offer proactive solutions to address potential risks.

By following this advice, commercial insurance agents can effectively serve telemedicine providers and build strong, lasting relationships in this rapidly growing industry.

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:

Michael Richards

sourcing the best insurance for telemedicine providers 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.

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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.

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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.

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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.

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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.

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RAC Audit Insurance

RAC Audit Insurance is a shield against the financial implications of audit discrepancies, and a testament to an organization's commitment to proactive risk management. As the wave of regulatory oversight intensifies, understanding and embracing RAC Audit Insurance becomes paramount for the healthcare and senior living industries alike.

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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.

More infromation

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. 

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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.

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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.

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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.

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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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insurance for hospitals

Hospital Insurance typically covers all or part of the potential liability for hospital services. It includes medical malpractice, accidents involving hospital employees and equipment, care during surgery or any other invasive treatment, after-hours care arrangements by staff who need help with their children and more.

insurance for long term care facilities

Long term care facilities must protect themselves against potential liability arising from incidents within their facility. Westwood can help you negotiate a package tailored to your long term care facility client.

traditional insurance products

Westwood have fostered exceptional relationships with underwriters and we go to great lengths to keep abreast of their latest products, changes in requirements and restrictions, including having weekly calls with the carriers, which you can see here, by joining our insurance insider group.

    Insurance products at Westwood Insurance Group

    You can find more information on the Insurance Products main page.

    If you have any questions on the different policies, check out our Insurance FAQ’s

    alternative structures

    Westwood President, Michael Richards has extensive experience in setting up alternative structures for larger clients. Here are some examples:

     

    If you think your client could be large and stable enough to benefit from starting or participating in a captive or has a special need for another alternative structure, contact Michael Richards now by phone: 855 351 7487.