average cost of malpractice insurance?

[futuredo32]

What is the average cost of malpractice insurance for outpatient only treatment mostly therapy or therapy/medchecks in an area of the country like Michigan?

I have had attendings who had a great set up, they rent or share an office, no receptionists, so they are basically private attendings who work for themselves and I like this model. Does the cost of your malpractice insurance depend on how many hours you work?

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[F0nzie]

The APA offers sweet discounts through this company: http://www.americanprofessional.com. You can check the rates for your state through their website. My initial rate for part time is $800 per year. The rates go up every year and then stabilize. Expect 5k per year for part time and 10k per year for full time.

 

[futuredo32]

Thanks so much🙂. My long term plan is to finish my psych residency then do a second residency in fp and ultimately have a part time fp practice and a separate part time psych practice where I do psychotherapy with or without med mgmt, so I just wanted to make sure it was feasible from a financial perspective🙂

 

[F0nzie]

Thanks so much🙂. My long term plan is to finish my psych residency then do a second residency in fp and ultimately have a part time fp practice and a separate part time psych practice where I do psychotherapy with or without med mgmt, so I just wanted to make sure it was feasible from a financial perspective🙂

Sounds like a cool combo. Oh it's definitely feasible 🙂

 

[notdeadyet]

My initial rate for part time is $800 per year. The rates go up every year and then stabilize. Expect 5k per year for part time and 10k per year for full time.

The variation by region is impressive. My starting is $2,400 and it's a full $800 cheaper one county over.

 

[alina_s]

I agree about the variation by region. My first job was in Missouri in a community clinic where I saw ~50% kids. I got insurance through the APA and it started at around $3200, and as FOnzie said, went up year by year. When I moved to Washington in year 3, it dropped by about $800. I don't know if community clinic versus small private practice made any difference.

 

[Lavenlian]

Is malpractice insurance tax deductible?

 

[michaelrack]

Is malpractice insurance tax deductible?

yes (it is a standard business expense for a sole proprietorship, LLC, corp, etc and is therefor fully "deductible' in these situations). What you don't want to get in the situation of is being a high-earning W2 employee and having to pay your own malpractice (google Pease tax limitations)