Healthcare providers are battling economic headwinds that range from higher labor costs to across-the-board cuts to Medicaid. Medical professional liability (MPL) carriers are not immune to the economic forces reshaping the healthcare landscape. Rising costs affect everyone involved in the delivery of care—including those working to protect it.
As the cost of delivering care rises, so do the corresponding costs of claims. Larger settlements, more complex cases, and increased litigation risk all raise the stakes for insurers. Just as modern vehicle repair costs have pushed up auto insurance rates, today’s high-cost medical environment is increasing the financial exposure that MPL underwriters are scrutinizing when they work to establish an appropriate rate for policy coverage.
At Physicians Insurance, we are committed to keeping coverage accessible and competitive, while continuing to support our Members with the strong risk management and legal resources they rely on.
In the pages of this industry update, we’ll take a closer look at the financial dynamics driving today’s MPL market, and how we’re navigating these challenges in partnership with the healthcare professionals we serve.