Medical Malpractice Insurance Costs

In the medical malpractice insurance industry, agent commissions are already built into your premium, so you pay the same amount for coverage whether you use an agent or purchase directly from the insurance company. Some agents or brokers will charge a fee for their services, while Cunningham Gorup does not.

The advantage of using an independent malpractice insurance broker is market access. While some brokers represent only a limited number of malpractice insurance companies, Cunningham Group works with all major carriers, giving physicians a broader range of coverage options and competitive pricing, helping them identify:

• Better pricing opportunities
• Coverage enhancements
• Specialty-specific discounts
• More stable insurance carriers
• Stronger claims support

Insurance underwriters evaluate dozens of factors when determining costs of medical malpractice insurance. While specialty and location are major variables, several other underwriting considerations also affect pricing.

1. Location

Malpractice premiums are often established at the county level rather than simply by state. Physicians practicing in highly populated metropolitan areas generally face:

• Higher claim frequency
• Larger jury verdicts
• Increased legal defense costs

These regional litigation trends directly influence premium pricing. A good example of this is Illinois, where an OB/GYN in Cook County (Chicago) can pay $100k, while one outside of Cook County will pay $50k.

2. Medical Specialty

Higher-risk specialties statistically generate larger claims and settlements. Surgical specialties, obstetrics, spine procedures, and invasive medicine typically carry the highest premiums. Find out more about malpractice insurance for different specialties.

3. Scope of Practice

The specific procedures you perform matter greatly to underwriters.

For example:

• A dermatologist performing cosmetic laser procedures may pay more than one focused solely on medical dermatology
• An orthopedic surgeon performing spine surgery typically carries higher premiums than one limiting procedures to non-spine cases

4. Claims History

Prior malpractice claims, licensing issues, or board actions can significantly increase premiums or limit carrier availability. Many insurance companies also provide meaningful discounts to physicians with long-term claims-free histories.

5. Coverage Limits

Your medical malpractice coverage and selected liability limits directly affect pricing. For example, many states use the standard limits of $1M/$3M, which is $1 million per claim, with a maximum coverage $3 million total.

Medical professionals are now finding themselves in a position of paying much higher rates for the same coverage or opting for less coverage overall.

Several factors have contributed to higher malpractice insurance costs, including:

• Increased claim severity
• Rising settlement values
• Higher defense litigation expenses
• Staffing shortages across healthcare systems
• Increased physician burnout and patient volume
• Inflation impacting claim payouts and legal costs

There are ways to save on insurance premiums. There are several simple discounts that can be applied to save you money on your premium. It helps to work with an experienced insurance broker who is familiar with these discounts and will advocate those discounts to the insurance carriers for you.

Fortunately, physicians may still qualify for substantial discounts through:

• Claims-free credits
• New business discounts
• Risk management participation
• Group purchasing arrangements
• Part-time practice credits

Our veteran medical malpractice insurance agents exclusively focus on helping doctors and medical students navigate the medical liability insurance market. With access to every major medical malpractice insurance company in every state, our team is uniquely qualified to get you the best coverage at the most affordable price. Most agents only have access to one or two medical malpractice insurance companies. Our almost-universal access lets us shop your coverage among nearly every available company, which means malpractice insurers compete for your business.

Our team provides:

• Access to nearly every major malpractice insurance company
• Specialty-specific underwriting expertise
• Multi-carrier comparison shopping
• Risk management guidance
• Ongoing renewal negotiation and support

Unlike captive agents representing only one insurance company, we shop the broader market, so carriers compete for your business.

How Does the Process Work?

1. You will submit your information through a secure medical malpractice insurance quote form.
2. You can always call us and speak to an agent immediately.
3. A veteran medical malpractice insurance broker will be assigned to you.
4. We shop your Medical Director Insurance to every major malpractice insurance company in your state.
5. Your agent will take the time and go over all of your options with you, explaining everything to make certain you make the right decision.
6. We get you your insurance policy at the best price with a major insurance company.
7. At renewal time, we start the shopping process all over again, getting you quotes from all the major malpractice insurance companies to again make certain you’re properly priced.

Request Your Free Medical Malpractice Insurance Quote

Request your free medical malpractice insurance quote and learn why more people choose us over anyone else in the nation.