Accidents and Mistakes Factor Into Nursing Home Insurance Rates

The main focus of nursing homes is to provide the highest quality of life for the residents living there. But from time to time situations arise where injuries, often unintentional, end up causing severe pain for the injured party and may require lengthy rehabilitation. The need for liability insurance for nursing homes is crucial, and preventing injuries from occurring can help to reduce nursing home insurance rates.

Attendants and nurses must be extra careful with regards to the services they perform for their residents. But when working with frail individuals, often in poor health, it can result in issues that will need to be addressed. Having this valuable coverage covers medical costs and any settlements brought against the doctors and staff. Here are a couple of the common claims normally associated with this industry that having a professional liability policy will help cover when purchased alongside other insurance policies.

Accidental injuries to residents

Many patients will require assistance getting in and of their beds or wheelchairs. Lifting a patient multiple times a day can easily result in accidents occurring, even though a patient may be receiving the utmost care. Even cautious staff members can have an occurrence where a resident winds up suffering an injury. An event of this type can spur lawsuits against a nursing home, and owners must be ready to defend the actions of their staff.

Medication errors are cause for alarm

Nurses operating within nursing homes usually have several patients that they care for daily, so there may be concerns when it comes time to dispense medication. Since each patient will more than likely require different medications, and at different dosages, nurses must be well organized. If the wrong medicine or wrong dosage is accidentally given to a patient, the results can have serious, even fatal, consequences.

These sorts of mistakes unfortunately do happen. For example, if a staff member at a nursing home mistakenly gives an Alzheimer’s patient the wrong drug for issues with their central nervous system, this could result in his or her blood pressure dropping so significantly that it results in the patient dying.

These are common risks and exposures that all medical personnel must be cognizant of, and are best handled by owners having liability insurance for nursing homes. Brokers who handle this line of business should look into ways that their clients can save on nursing home insurance rates.

Questions to Ask Your Short Term Disability Insurance Provider

Just as not all insurance companies are the same, not all doctor’s short term disability plans are the same. Before you start paying for insurance or sign any papers, take a few moments to ask your insurance provider a few essential questions. The answers can mean the difference between receiving true coverage and leaving yourself exposed to a number of liabilities.

What’s Their Definition of Disability?

As a doctor, you know perfectly well what a disability is. The only problem is that your insurance provider might have a slightly different version than yours. That difference could mean the difference between you getting doctor’s short term disability benefits when you need them and not getting them at all no matter how disabled you are.

Does an Accident or Illness Qualify?

If you’re disabled due to an illness, will you still receive short term benefits or does the disability have to be caused by a physical accident? Besides asking about accidents and illnesses, you should also ask if there are any limitations or exclusions that come with your coverage.

Is the Premium Waived While the Benefit Is Paid Out?

If you ever do have to start receiving benefits, will you still have to pay for the premiums on your insurance? Even if it’s a short term disability, having to pay premiums while recovering can cause you more financial stress than you realize.

Don’t be afraid to ask your insurance provider as many questions as necessary for you to fully understand how, when and if you’ll be covered for your short term disability.

Doctor Disability Income for Residents

Shielding your income is among the smartest financial decisions a doctor can make. Residency may be the best time to have quality doctor disability insurance. There are reductions available at most teaching hospitals throughout your residency. Additionally, your GME application could be offering a particular Guarantee Standard Issue (GSI) software, which lets you get quality disability coverage without medical underwriting.

The standard medical underwriting procedure is made up of physical examination, blood and HIV evaluations, prescription drug checks, as well as a review of previous medical records. It might have a request for fiscal data, including tax returns or a replica of an employment contract, as evidence of any income that could be guaranteed to you personally. Through this method, it’s normal for doctors or residents to have changed policies issued with exclusions and standings. This is a result of something as trivial as taking medicine for anxiety during medical school. Where accessible for you, the GSI software lets you get the exact same policy that everyone else must qualify medically for. Additionally, it provides significant reductions that can’t be got elsewhere. Savings for female doctors may be just as much as 50% from the standard premium.

For example, let’s say a 38-year old doctor became disabled with $12,500 of monthly disability benefits. The cumulative benefit that the doctor would receive by the age of 67 would be up to almost 7 million dollars, sans tax!

The younger you are, the more affordable doctor disability insurance will be. Just like most forms of insurance, the older we get, the more costly it becomes. If we compared a 30 and 40-year old doctor, the 40-year old would pay more in premium on the length of the policy than their younger counterpart. While the 40-year old waited an additional ten years before receiving a coverage, the larger premium at their age can lead to an increased sum of total premiums to be paid. Waiting is not going to save you cash!

Can you have disability insurance and not require it, or not have disability insurance and WANT it?

As a resident, your doctor disability income coverage should shield you within your particular medical specialization. For instance, if your cardiologist cannot perform the obligations of a cardiologist, they may continue collecting impairment income benefits, even though they continue working in a different profession, i.e. as a consultant or in another specialization such as pathology. Other significant coverage choices are:

  • Future Purchase Option: Lets you collect benefits if you’re working part time and endure a loss of income.
  • Parital and Residual Disability Benefits: Increases monthly benefits to keep up with inflation.
  • COLA aka Cost of Living Adjustment: Lets you raise coverage later on, irrespective of any health changes.
  • Noncancelable: Granted premiums.

Recall the very first rule of insurance: Assure what you least can actually afford to get rid of. In this instance, it’s your capacity to bring in an income.


photo credit: Stanford Medical History Center cc