Part I: Medical Professional Liability in Captives and Physician Migration

 
Industry Applications | Michael Maglaras | Principal | Michael Maglaras & Company 

According to Michael Maglaras, president of Michael Maglaras & Company, at the end of 2016, the captive movement in medical professional liability passed a threshold. The threshold is that there are now more US physicians in hospital employment than there are in private employment. Prior to becoming employed by large hospital systems, physicians in private practice bought medical professional liability from the commercial market. As employees in the acute care setting, given the strength of the US captive business as it relates to hospital professional liability, these physicians have ended up with stronger and more succinctly managed insurance programs through captives than they had when they were commercially insured. In particular, this is the case with respect to the management of risk in the practice setting. With the captive insurance model, physicians are more embedded in the risk management process of acute care facilities.