DEFINITION of 'Allied Healthcare Professional Liability Insurance'

Professional liability insurance that provides coverage for medical professionals who are not physicians. Allied healthcare professional liability insurance is often purchased by nurses, physicians’ assistants, midwives, dentists, physical therapists, and medical technicians. Allied healthcare professional liability insurance are often marketed through industry associations.

BREAKING DOWN 'Allied Healthcare Professional Liability Insurance'

While healthcare services are often associated with physicians, non-physicians provide a significant portion of healthcare. Assistants often provide some level of medical care in a hospital or healthcare facility, and may also visit patients in their homes. These healthcare workers may not be fully covered under the physician’s or healthcare facility’s liability policies.

Individuals seeking coverage are able to choose the amount of coverage that makes the most sense for the risks that they face, with liability limits set on a per incident level and also carrying an annual aggregate coverage limit. The policy may cover policyholders if they must defend their licenses, as well as other liabilities related to the activities of the non-physician.

For example, a home healthcare worker has a patient that he provides daily medical care. The patient is unable to visit a medical facility because she has mobility issues. While the insured worker was in another room the patient fell out of her wheelchair and hit her head. The family of the patient sued the healthcare worker for negligence claiming that if the worker stayed in the room, the injury could have been prevented. The healthcare worker’s allied healthcare professional liability insurance policy provided coverage during the lawsuit.

Applications for this type of insurance coverage may require proof of a supervising physician’s professional liability insurance. The application may also ask whether the applicant has practiced medicine without malpractice coverage, whether the applicant is licensed or has a permit to dispense drugs, and any other privileges the applicant may have with hospitals or other healthcare facilities.

RELATED TERMS
  1. Malpractice Insurance

    A type of professional liability insurance purchased by health ...
  2. World Insurance

    A commercial liability policy with extended global coverage. ...
  3. Case Management

    Planning, processing and monitoring the healthcare services given ...
  4. Prior Acts Coverage

    A feature of an insurance policy that extends the coverage of ...
  5. Medical Underwriting

    The process of assessing the risk associated with providing health ...
  6. Backdated Liability Insurance

    Liability insurance that provides coverage for a claim that occurred ...
Related Articles
  1. Insurance

    An Advisor's Guide to Prof. Liability Insurance

    A guide to what financial advisors need to know about professional liability insurance.
  2. Retirement

    Planning for Healthcare Costs in Retirement

    Healthcare often is the highest cost during retirement. Here's how to plan for and possibly buck that trend.
  3. Financial Advisor

    What Kind of Insurance Do RIAs Need?

    Advisors spend a lot of time discussing insurance with clients but they also need to consider their own coverage needs as small-business owners
  4. Insurance

    How Much Car Insurance Do I Need?

    Find out to determine how much car insurance you actually need with this overview of the different types of coverage available in your policy.
  5. Tech

    How Big Data Has Changed Healthcare

    Like many other industries, healthcare has adapted to data analytics not only for its financial returns but also improving patient’s quality of life.
  6. Insurance

    4 Reasons Why Waiting To Buy Life Insurance Is a Bad Idea

    Understand the benefits of applying for and securing life insurance coverage while you are young and healthy, and learn the cost of waiting to get coverage.
  7. Insurance

    How To Assess A Group Health Insurance Plan

    Not all group healthcare plans will match up with your needs. Comparing coverage and costs will help you determine what you need and how much it should cost you.
  8. Insurance

    For Top-Notch Insurance Coverage, Compare Quotes

    Find out how to use and compare policy options to get the best coverage at the best price.
  9. Insights

    High-Paying Healthcare Jobs

    These careers come with good salaries and prestige, but they also require a lot of education and commitment.
  10. Financial Advisor

    Who Should Buy a Guaranteed Issue Life Insurance Policy?

    Guaranteed issue life insurance policies have added costs and reduced benefits that make them suitable for only a limited pool of buyers.
RELATED FAQS
  1. What is the difference between legal liability and public liability?

    Discover the differences between a general legal liability, a specific public liability and a professional indemnity in the ... Read Answer >>
  2. Can my insurance company refuse me coverage?

    Insurance isn't always as straightforward as other products. Insurers can deny coverage in many different instances:Non-Renewal ... Read Answer >>
Hot Definitions
  1. Debt/Equity Ratio

    The D/E ratio indicates how much debt a company is using to finance its assets relative to the value of shareholders’ equity.
  2. Exchange-Traded Fund (ETF)

    A security that tracks an index, a commodity or a basket of assets like an index fund, but trades like a stock on an exchange.
  3. Net Present Value - NPV

    Net Present Value (NPV) is the difference between the present value of cash inflows and the present value of cash outflows ...
  4. Return On Equity - ROE

    The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability ...
  5. Bond

    A bond is a fixed income investment in which an investor loans money to an entity (corporate or governmental) that borrows ...
  6. Whole Life Insurance Policy

    A life insurance contract with level premiums that has both an insurance and an investment component. The insurance component ...
Trading Center