Average Medical Malpractice Insurance

Many people believe that medical malpractice and liability insurance are in crisis today, and if they're not in crisis, at least they're in confusion. Reports that say medical malpractice insurance rates are skyrocketing because of increased medical malpractice suits and awards. Others say the number of suits and the costs of awards has held fairly static for the past several years. Either way, the average medical malpractice insurance premium has increased at an alarming rate. While the rates vary drastically by location, ranging from 10,000 in some areas to $200,000 in others, the average rate is probably closer to $90,000 per year. The result of these high rates is that more and more doctors are retiring or moving their practices to states with damage caps. That means that those states without tort reform will see the availability of medical care decrease in the near future unless something changes.

Fast Facts

  • Orthopedic surgeons are among the hardest hit by increases in medical malpractice insurance rates, seeing their rates double and even triple in recent years.
  • Insurance premiums increased 250% over one period in New Jersey, and 65% of hospitals reported doctors leaving the state or their practice as a result.

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