Insurance industry hones healthcare offerings


Insurance industry hones healthcare offerings

June and July have brought some key developments in the world of insurance for healthcare providers.

To make the directors and officers liability (D&O) claims process more efficient and collaborative, Marsh has launched a new Marsh D&O panel, giving clients facing securities litigation access to defense counsel on a pre-approved basis. 

"Surgi-Protect includes an advanced and highly specialized safety and risk management program which focuses on the patient experience, patient engagement principles, quality improvement protocols, and clinical best practices."

The panel, the first broker-led effort in the industry, consists of 32 top securities law firms and four of the industry’s leading D&O underwriters and can be endorsed onto clients’ D&O policies.

“Companies facing securities lawsuits want to engage with legal experts as soon as possible but can face delays in obtaining consent from D&O underwriters for their counsel selection,” said Devin Beresheim, a managing director within Marsh’s FINPRO practice.

“This has the potential to result in uncovered costs being incurred during the initial, critical stages of litigation as underwriters will not reimburse defense costs until consent has been granted.

“With Marsh’s D&O panel, clients can now have easy access to top legal firms on an optional pre-approved basis, eliminating any debate in defense counsel selection and any delay in the approval of such selection.

“At the same time, this more collaborative approach between all parties should result in a better claims experience for clients,” Beresheim added.

As part of this effort, panel firms have agreed to assist Marsh and the D&O underwriters involved in the initiative in providing policyholder clients with ongoing education and training on a variety of legal, business, risk, and insurance topics.

Malpractice cover

Also showing eagerness to respond to demand, The MGIS Companies and Stevens & Lee have launched Surgi-Protect, the nation’s only malpractice insurance program designed specifically for bariatric surgeons and their unique practices.

With more than 35 percent of Americans suffering from obesity, experts believe bariatric surgery programs will continue to mature and evolve to meet the need for treatment and intervention. This predicted growth in bariatric surgeries will necessitate a continued emphasis on safety and liability risk mitigation by bariatric surgeons.

“Bariatric surgeons don’t need a one-size-fits-all approach to insurance,” said Jeff Brunken, president of MGIS. “They need an insurance program built by physicians and industry experts who understand their needs, risks and the realities of today’s marketplace.

“Surgi-Protect rewards top performing surgeons with the best specialized coverage at the best price, helps them better manage their liability, and provides new strategies and programs to reduce risk and further improve patient outcomes.”

As a key component of the insurance program, Surgi-Protect includes an advanced and highly specialized safety and risk management program which focuses on the patient experience, patient engagement principles, quality improvement protocols, and clinical best practices.

“Data clearly shows that patient satisfaction and clinical best practices effectively enhance surgical outcomes and reduce medical malpractice claims,” said Jim Saxton, chair of Stevens & Lee’s Healthcare Litigation and Risk Management Group.

“Surgi-Protect provides a unique opportunity for bariatric and general surgeons to receive the risk and safety support they need to prevent lawsuits, all while receiving very stable insurance from one of the country’s largest insurers.”

Leading clinicians have lent their expertise to the program. Dr Phil Schauer, president of SE Healthcare Quality Consulting, a partner company of Stevens & Lee, and director of the Bariatric and Metabolic Institute at The Cleveland Clinic said: “I am very pleased to see a medical professional liability insurer that is focused specifically on the needs of bariatric and general surgeons, particularly in today’s post-ACA environment.

“SE is looking forward to supporting Surgi-Protect surgeons and their practices in their safety and quality efforts.”

New partnerships

The past month has also seen some the formation of some promising partnerships. Pinnacle Brokers Insurance Solutions and DC Risk Solutions are to merge their healthcare expertise to form DC Risk Solutions, a Pinnacle Company.

Shawn Evans, CEO of DC Risk Solutions, will become managing director for growth and expansion of Pinnacle’s health care practice. As a director of the merged entity, Evans will assume responsibility for the group’s innovative managed care stop loss products, medical malpractice, business insurance and employee benefits insurance programs for the healthcare industry.

Carl Canaparo, CEO of Pinnacle Brokers, said: “Shawn and I have been talking for a long time about the possibility of combining the talents of our two firms to create something special for the healthcare industry.

“The team at DC Risk Solutions have an outstanding reputation and have been delivering a variety of standard insurance programs and alternative financing solutions to the healthcare industry for years. I am thrilled that our vision is coming to fruition and I cannot wait to see what we can create.”

Evans said: “For quite some time we have been looking for a knowledgeable partner in the healthcare risk management space.

“Pinnacle Brokers not only understands and appreciates the broad spectrum of business our current relationships deliver, they are also committed to staying on the forefront of marketing, sales and service to the dynamic healthcare market segment.”

Meanwhile, Ryan Specialty Group (RSG) has partnered with healthcare and life science underwriters at Lloyd’s of London to form RSGUM Healthcare, a new healthcare and life science underwriting facility.

Lloyd’s support for this comes from Amlin, Chaucer, Catlin, Hiscox, Atrium, Ren Re and Dale, resulting in the largest, single healthcare coverholder arrangement in Lloyd’s.

The facility was developed in partnership with RKH Insurance Brokers in London.

The landmark underwriting facility brings together the well-respected RSGUM businesses of Sapphire Blue and LifeScienceRisk under a single underwriting facility. It will target a broad array of healthcare and life science business.

Targeted healthcare classes include long-term care, allied healthcare, specialty and rehabilitation hospitals, and standalone extended reported period products. The life science classes include generic pharmaceuticals, branded pharmaceuticals, medical products, nutritional supplements and clinical trials.

The facility will offer primary and up to $25 million in excess coverage for professional, general and products liability coverage, placing the new underwriting facility among the very few to offer $25 million in capacity across such a broad range of products. 

Marsh, US, The MGIS Companies, Stevens & Lee, Pinnacle Brokers Insurance Solutions, DC Risk Solutions, Ryan Specialty Group