Reasons Why Doctors Also Need To Get Insurance

Insurance is a form of protection or coverage against uncertainties and risks. It is usually represented by a policy that gives the insured monetary security in the face of financial loss.

The uncertainties associated with recent times have shown that everyone needs insurance. In this case, doctors need insurance even more because of the high risks involved in performing their duty. Here are the top reasons why doctors should get insurance:

1. Life and Health Coverage

Some doctors have the flexibility of making house calls to attend to patients. In the process of trying to deliver this service, the doctor’s life might be endangered due to uncertainties, for instance, accidents.

A doctor’s life might get endangered as well while trying to deliver voluntary humanitarian services, such as taking care of patients in danger zones.

Asides that, there might be occasions where frontline workers like doctors have to keep working in the face of danger. An instance is the coronavirus pandemic, whereby doctors have to continue working just to ensure that people are kept alive, even though they are also in danger of contracting the virus.

In the above-mentioned cases, having personal insurance would help cover costs if these scenarios or similar ones were to lead to serious injuries or even death.

Unforeseen development of disability is another major reason why medical personnel should consider disability insurance for doctors. This insurance would cover the costs if a doctor develops a disability that results in his/her inability to continue work in the medical line.

Another reason why doctors need to get insurance is so that they would be assured knowing that their loved ones’ financial future is protected even if they were to pass on. The burden of unexpected financial responsibilities makes most people fall into low times hence coming to terms with the death of a loved one can be hard for most people.  

A life insurance premium paid to the family and loved ones of the doctor would ease their pains to a certain extent. In the event of the doctor’s death, the death benefit in monetary value would be paid to the doctor’s family.

2. Limited Medical Institution Coverage

Even if your hospital or clinic has an insurance plan for all its employees, the chances are that the insurance might not be standard to cover professional liability or other uncertainties.

To avoid being at the cruel mercy of the general medical institution insurance, you should have an insurance plan of your own. The coverage of most insurance might depend on the medical practice of the doctor and the hospital’s policies and in this case, having personal insurance will ensure that you are secured when doing your job.    

To this effect, if you have personal insurance you would be able to volunteer even if it puts you at risk. A personal medical coverage makes you flexible to perform your duties under the Hippocratic oath without feeling helpless.  

Furthermore, some young doctors with little or no years of experience are ineligible for insurance at their workplace until they’ve gained experience for some number of years. Besides, several hospitals in developing countries do not have standard insurance for their employees; some don’t make provision for it at all. Doctors under these kinds of practice setups need to have personal insurances to protect them in the face of mishaps.  

3. Professional Liability

Hospitals sometimes find themselves stuck in the middle between their medical personnel and patients/patients’ family. This is usually due to legal conflict and this is one of the primary reasons why doctors need insurance. Most medical institutions indeed have insurance for their employees but the insurance doesn’t always cover that much.

In some cases, the hospitals have to take the patients and their families’ side due to the management not wanting to have a bad press or face serious challenges such as medical sanctions or being blackballed. The patient or their family might claim negligence, oversight, misrepresentation of services, poor services, etc. Most of the time, claims like this are expensive to cover on personal resources. In fact, a single lawsuit can quickly render you bankrupt. You can also lose your practice license and even personal assets along with it.

If this is the case, the doctor who is affected will bear the brunt all on his/her own. However, with professional liability insurance, such doctors can prepare the necessary defense to clear their names.

Professional liability insurance would help you cover the costs of legal defense and settlements if need be and will protect you as a doctor if you are sued by a patient or the patient’s family in the course of performing your duty.  

Having professional liability insurance means that the lawsuit cost would be covered whether the case is won or not. This is a major reason why every doctor needs to get insurance.

The world is full of uncertainty; no matter how professional or experienced you are, a case might come up that would catch you unguarded. In case something happens, professional liability insurance would be your saving grace.  

4. Loan Option

As a doctor, you might see the need to fill a space in the society by setting up your own practice facility, be it a hospital or a clinic. Getting started is a huge step, it is a considerable risk which banks and other financial lenders might not be ready to finance without personal insurance.

With insurance in place, the commercial lenders might be able to take the risk and provide the funds needed for your practice facility. Your insurance policy could be used as collateral for this.

Besides, having insurance as collateral would make it easier for investors and philanthropists to provide funds for your medical setup. Because they know that your insurance reduces the probability of bankruptcy or your facility dying out.

Even if you are not interested in setting up a clinic as a doctor, having access to loans may become very handy on other occasions when you need to meet urgent financial obligations. In such cases, having insurance would get your loan through the front doors.

Conclusion

It is risky to go about your professional duties without having insurance to break your fall in the case of a sad occurrence. The reasons mentioned above are essential why as a doctor, you will need to have insurance; by having insurance, you are projecting yourself and loved ones strategically for protection in the event of unforeseen circumstances.