Dear agents, welcome to your weekly briefing on the medical malpractice insurance landscape, covering April 6–12, 2025. We’ve gathered the latest developments—carrier trends, a significant verdict, and a notable case—to equip you with insights to serve your clients effectively. Here’s what you need to know to navigate renewals, prospect new business, and strengthen your portfolio.
The medical malpractice insurance market remains stable, with no significant shifts reported among major carriers like The Doctors Company or MedPro Group.However, premium rates continue to rise.According to the American Medical Association (AMA), nearly 50% of medical liability insurance premiums increased from 2023 to 2024, a significant jump from 13.7% in 2018.
High-risk specialties, including neurosurgery, plastic surgery, and obstetrics/gynecology, are experiencing the most substantial increases. (ama-assn.org).
Agent Action Items:
On April 9, a New York jury awarded $1.68 billion in damages to 40 women who accused filmmaker James Toback of sexual abuse spanning from 1979 to 2014 The verdict includes $280 million in compensatory damages and $1.4 billion in punitive damages.
While not a traditional medical malpractice case, this significant award underscores the potential financial exposure in cases involving sexual misconduct (medicalliabilitymonitor.com).
Implications for Healthcare Providers:
Enhanced Coverage: Ensure clients have robust Sexual Abuse and Molestation (SAM) coverage, especially those in sensitive roles like mental health professionals.
Policy Review: Reassess policy limits and exclusions to account for potential high-value claims.
A recent case in Texas involved a nurse practitioner who reached a confidential settlement after a patient suffered undiagnosed kidney failure. The case emphasizes the growing responsibilities and associated risks for nurse practitioners and physician assistants, particularly as they take on more autonomous roles.
Agent Recommendations:
Comprehensive Coverage: Verify that clients have adequate prior acts coverage and defense cost provisions.
Continuous Education: Encourage clients to engage in ongoing education and training to mitigate risks.
On April 17, 2025, Georgia Governor Brian Kemp signed Senate Bill 68 into law, marking a significant shift in the state's civil litigation landscape. The legislation introduces several changes that could impact medical malpractice claims:
Trifurcated Trials: Defendants can request trials to be divided into three phases: liability, compensatory damages, and punitive damages/attorney fees.
Limitations on Non-Economic Damages: Attorneys are restricted from suggesting specific monetary values for non-economic damages during closing arguments unless addressed in opening statements.
Premises Liability Adjustments: The bill raises the threshold for holding property owners liable for injuries occurring on their premises, requiring prior knowledge of safety issues or wrongdoing. (wrdw.com)
Considerations for Agents:
Policy Adjustments: Review and adjust policies to accommodate the new legal standards, particularly concerning trial procedures and damage awards.
Client Communication: Inform clients about the legislative changes and advise on best practices to mitigate potential liabilities under the new law.
Prospecting Opportunities: Focus on high-risk specialties and allied health providers, offering tailored policies with strong limits and occurrence-based coverage.
Renewal Strategies: Anticipate rate increases and begin renewal discussions early, utilizing detailed loss data to negotiate competitive terms.
Carrier Engagement: Emphasize clients' proactive risk controls to stand out in a competitive underwriting market.
Stay proactive and informed to navigate the evolving medical malpractice insurance landscape effectively. If you have specific questions or need assistance with complex cases, feel free to reach out.