Developments That May Affect Your Practice's Insurance Coverage

VDA members should be aware of an important development that may affect your practices’ professional liability insurance coverage (medical malpractice) and  workers’ compensation insurance.    The Virginia Bureau of Insurance regulates insurance companies licensed to sell insurance in Virginia.  Due to the current challenging business environment, the Bureau has issued a letter dated March 27, 2020 to all insurers licensed in the Commonwealth.  The Bureau strongly encourages insurers to conduct business according to the following:

• Relax due dates for premium payments, extend grace periods, and waive late fees and penalties
• Work with policyholders and exhaust all reasonable efforts prior to canceling or not renewing a policy
• Allow payment plans for premium payments to otherwise avoid a lapse in coverage

In the event you need to discuss your insurance coverage with your insurer, it may strengthen your position to refer to the concepts contained in the letter and ask the insurer to consider the applicable elements in your discussions.  Asking the insurer to consider the spirit of the Bureau’s request may help you obtain the best possible outcome in difficult circumstances.

Read the Communication from the Virginia Bureau of Insurance