Business Insurance for Nursing Businesses & Practices

Professional liability insurance for nursing organizations is designed to help protect the business from claims alleging error related to delivery of professional services resulting damages or harm. Malpractice allegations may arise from various issues, such as a physical injury, violating patient rights, verbal abuse, or unprofessional conduct. A malpractice claim can threaten your business, finances, staff, and reputation. NSO business insurance provides coverage to help protect your practice with key features including Professional Liability, Licensure Defense, Cyber Liability, and more.

Business insurance coverage should be a consideration for any nursing firm or sole practitioner that:

• Leases space for business purposes
• Owns a business property
• Has office property or equipment
• Has employees
• Handles client records or property
• Handles personal identifiable information
• Handles firm or client cash/funds
• Has clients visit their business premises

These factors may lead to accusations of malpractice against your business, such as a patient alleging negligence against one of your staff members and, in turn, the organization.

Whether you select an individual professional liability policy or a business liability policy will depend on key factors. A business policy is the appropriate option if you:

• Provide professional services as a business you own
• Own a business or are incorporated (including LLC and S-Corp), or have employees
• You practice under a DBA (doing business as)

If none of the criteria above applies for you, an individual malpractice insurance policy is the appropriate choice for you. Fortunately, NSO insures both individual practitioners and nursing organizations, so you can secure both policy types through us!

With a shared policy limit, professional liability insurance is issued in the name of your professional business or company, rather than an individual professional’s name. The policy provides coverage for:

• The business entity (the organization named on the certificate of insurance)
• Eligible employees of the business entity (those whose profession is insured within our program)
• Any locum tenens professionals (typically temporary or fill-in nursing professionals) the business entity has contracted for services

Everyone covered under the policy shares the same coverage limit chosen for the business, instead of separate limits for each professional.

The policy covers your employees outside the office if they are performing covered professional services on behalf of your business, such as conducting an in-home patient visit.

If your employees are volunteering or working a side job (paid or unpaid), these activities would not be covered by your business insurance. Rather, professionals should carry an individual professional liability insurance policy for such services.

When you buy a shared limit policy, NSO takes an initial ‘snapshot’ of your nursing business documenting how many employees work for the organization.

• During the policy year, all employees are covered while they work for you.
• If you hire new employees, you do not need to report each one or pay more in premium right away. New hires are automatically covered under the policy.
• Your premium will not increase during the policy year if your staff grows. Instead, any increase in staff will be considered at renewal, and any premium adjustments will be made then.
• If you reduce staff during the year, you do not need to report their departure either. Additionally, no refund is provided for staff who leave during the year.

Four months prior to your renewal, NSO will send a renewal application to your practice. At that time, you can provide an updated staff count and any changes to your premium will be determined then.