ACE USA Expands Coverage To Address Growing Trend Of Hospital And Physician Integration

ACE USA, the U.S.-based retail operations of the ACE Group, through its Medical Risk Group, today announced the introduction of a wide range of physician professional liability insurance products and coverage solutions in support of hospitals and healthcare facilities for their employed physicians, and their owned or affiliated medical groups. Product offerings include companion primary physician professional liability policies, fronting capabilities for primary physician professional liability policies, reinsurance of physician professional liability policies issued by healthcare facility captives, and uniquely structured integrated hospital and physician insurance program designs that may include separate or shared retentions and policy limits.

The physician professional liability insurance coverages are available for hospitals, healthcare facilities and Accountable Care Organizations (ACO) providing insurance or alternative risk financing solutions to their employed physicians, or owned or affiliated medical groups.

“With the increased economic pressures faced by hospital systems and Accountable Care Organizations to more efficiently align physicians and medical groups, the need to provide insurance solutions for hospital-physician integration has become a priority,” said Caroline Clouser, Executive Vice President, ACE Medical Risk Group. “We are pleased to be able to offer this expanded coverage to meet the growing needs of both hospitals and physicians to support the changing delivery of high quality healthcare.”

Product Highlights of the companion Primary Physicians Professional Liability policy* include:

• Separate limits of liability each physician and corporate entity
• Defense expense in addition to policy limits
• First dollar coverage (no deductible) or deductible options
• Individual tail coverage or group rolling tail coverage for departed physicians
• Consent to settle provision
• Professional Legal & Audit Defense Coverage
• Full claims capabilities to support companion primary physician primary policies

Benefits of an integrated or coordinated hospital / physician insurance program include:

• Common insurance or reinsurance partner for both the healthcare system and their employed, owned or affiliated physician groups
• Joint or coordinated defense provides greater control and cost containment of joint claims
• Coordinated risk management support services
• Integrating physician insurance into an integrated self-insurance or alternative risk financing mechanism may offer lower cost compared to traditional insurance
• Backed by the ACE Group’s financial strength and excellent reputation

*This coverage is currently not available for stand-alone medical groups that are not owned by or affiliated with an ACE insured hospital or healthcare system.

Press Release