If you are a healthcare provider who wants to change jobs or make a different career move, it is essential that you consider what would happen if you faced a liability claim after you already changed or canceled your professional insurance. This is a very real possibility as sometimes medical malpractice lawsuits do not occur right away after an incident. What you need to protect you from such claims is a tail insurance policy in California.
RCM&D explains tail insurance will cover you for claims after you no longer have your prior malpractice insurance policy. This is especially important to understand if you shared a plan within a practice or with your employer.
You have two options. You can buy a tail policy of your own. This will be just like getting any type of insurance. You will have to pay the premium and keep up on your payments to keep it active. You want to make sure to get coverage for an adequate time to cover any possible claims. This might be the best option if you have left the medical field and no longer practice medicine.
The other option is that your new employer may offer a policy that covers prior acts. This is nice because then you will not need two policies. It can also be much cheaper if you have this option. So, if you are changing employers and still working in the medical field with malpractice insurance, then make sure to check with your employer’s policy. This information is for education and is not legal advice.