Professional indemnity in the healthcare sector
17.10.2018 - Managers and staff members in healthcare institutions are exposed to a myriad of risks. The Funk VHPlus insurance scheme offers protection that is unique on the market.
Whether they are a managing director, an employee or a volunteer, anyone working in a hospital or other healthcare institution has great responsibility on their shoulders – for the patients, of course, but also for the business and financial consequences of their actions. There are pertinent, real-world examples of this:
- An employee forgets to submit a request on time for payment of funds.
- A volunteer violates the General Data Protection Regulation.
- A staff member pockets some cash.
- A managing director doesn’t realise that scheduled upgrades violate building codes.
In cases like these, the company has to anticipate either being held liable for the losses incurred or suffering (first-party) pecuniary loss as a result. And depending on the liability, losses may even total up to seven figures.
The Funk VHPlus insurance solution offers comprehensive protection. This cover scheme comprises three modules: professional indemnity insurance for third-party and first-party losses, additional cover for executive body members and managers, and an (optional) fidelity component that protects against deliberate acts (see graphic).
Dario Koch, Member of the Management Board of Funk Hospital-Versicherungsmakler GmbH says, ‘With Funk VHPlus, we are offering a modern, innovative insurance scheme that is tailored to the healthcare sector, especially hospitals and social services. Funk VHPlus is unique on the market and provides more comprehensive protection than comparable schemes.’
Some highlights of Funk VHPlus include:
No need to submit a declaration of responsibility
The employee or body involved does not have to submit a declaration claiming responsibility for its actions. Instead, the claim is assessed using the known facts. This allows claims to be processed smoothly and keeps the peace within the company.
Direct claims against the insurer
Claims can be made directly against the insurer. This avoids legal disputes with the body or employee involved.
Wide circle of insured persons
In contrast to comparable cover on the market, the actions of all employees and bodies, including volunteers and temporary personnel, are covered.
Automatic protection for subsidiaries
Subsidiaries are automatically included in the insurance policy. Claims between companies within a group are also covered.
Protection against deliberate acts
Deliberate acts can also be covered, if desired. In that case, any type of malicious action is covered by the insurance, whether it is a slight negligence, a deliberate breach of duty or direct intent (dolus directus).
Another advantage is that Funk VHPlus currently offers the option of fixing the contractual terms and conditions for three years, which gives clients long-term planning security. Dario Koch says, ‘Especially at the moment, it pays for hospitals and other companies in the healthcare sector to revisit their existing cover for professional indemnity, D & O and fidelity, as restructuring among insurers is leading some to increase flat-rate premiums even as high as the two-digit percentage range. Funk VHPlus represents a modern, innovative alternative to existing cover.’