SDN members see fewer ads and full resolution images. Join our non-profit community!

Malpractice Liability Insurance Coverage Needed?

Discussion in 'Psychology [Psy.D. / Ph.D.]' started by ucla08, Apr 28, 2017.

  1. SDN is made possible through member donations, sponsorships, and our volunteers. Learn about SDN's nonprofit mission.
  1. ucla08


    Apr 28, 2017
    Hello all,

    I am an early career psychologist and now needing to purchase my own liability insurance for the first time. Does anyone know of any resources on what typical claims figures look like?

    I’m trying to decide what coverage levels would be most appropriate. I know 1,000,000/3,000,000 is pretty standard but I'd love to know what actual claims typically run.

    I'm in CA and most things are more expensive there so I would hate to not have enough coverage if I need it. But, I also don't want to over-insure (i.e., over-pay) but I sure don't want to under-insure either!

  2. SDN Members don't see this ad. About the ads.
  3. MamaPhD

    MamaPhD Psychologist, Academic Medical Center 7+ Year Member

    Aug 2, 2010
    To define "typical" I would think the area of practice/specialization would be an important factor to consider. Does your state psych association offer any legal consultation or resources?
  4. PSYDR

    PSYDR Psychologist 10+ Year Member

    Dec 18, 2005
    I find it very helpful to acquaint myself with the malpractice laws in the states I have licenses. If you're obsessive, you can google malpractice suits+psychologist+your state to see what typical award is. In some states the maximum award is nothing to be concerned about. Some states have no cap which means you could lose everything without the proper business and malpractice insurance. Some states have super duper weird crap like no cap on malpractice damages unless you kill someone, and then they can only sue you for $500k.

    I would HIGHLY recommend buying the board complaint rider. It's cheap and hiring your own attorney for a board complaint could easily run $40k.

    Personal and marital assets may influence any of these decisions. Come from money? Have a spouse with assets or significant income? That's one set of decisions in how to protect yourself. Net worth is -$200k? Might want to consider if a lower malpractice max would prevent an attorney from taking a case against you.
    Therapist4Chnge likes this.
  5. foreverbull

    foreverbull 2+ Year Member

    Sep 8, 2015
    In a similar boat as the OP, but more curious about the costs than the limits.

    A lot of these unknown companies that offer malpractice insurance pull the "enter in a bunch of your personal info to get a quote" game, and I can't stand that when comparison shopping.

    Anyone know some figures about the top companies (i.e. Trust, etc.) and insurance costs for early career psychologists?
  6. Therapist4Chnge

    Therapist4Chnge Neuropsych Ninja Faculty Moderator Emeritus 10+ Year Member

    Oct 6, 2006
    The Beach
    There are multiple options, but I'd strongly recommend The Trust. They seem to offer fair rates and they do a lot for the field.

Share This Page