Medical professional liability (MPL) insurance may change in the future as healthcare becomes increasingly dominated by physician networks and hospitals, according to a report from Moody's Investor Service, rather than individual physicians and small groups.
The requirements of MPL coverage in the developing market may lend themselves well to organizations prepared to operate in multiple states across multiple specialties. These insurance providers may be better suited to meeting the diverse needs of larger healthcare organizations and groups.
The report also predicts that coverage for non-physician medical professionals needing MPL will change. This may result in coverage for physicians and non-physicians being dominated by different types of insurers.
According to the analysts, the change echoes a larger healthcare trend of more institutionalized service delivery and more corporate-style oversight and administration. If so, this may be another step down that path which reinforces the trend, adding momentum as all aspects of healthcare are affected.
It remains unclear whether these changes will directly affect health insurance provided through employee benefits, although if changes decrease overall insurance and healthcare industry costs they could provide a positive contribution that helps to keep coverage affordable.
