Wisconsin Medical Society Insurance & Financial Services, Inc. News & Information Archive

What has the Wisconsin Medical Society
done for you lately?

Posted December 10, 2010

Russ Heil

Member benefit plans through Wisconsin Medical Society Insurance & Financial Services have expanded greatly the past 25 years, and I have been fortunate to witness these efforts as an independent insurance agent.

One of the most significant changes occurred in 1986, when the Wisconsin Medical Society formed Physicians Insurance Company of Wisconsin (PIC Wisconsin) to improve the availability of medical liability insurance and to stabilize premium costs in Wisconsin.

In 1997, PIC Wisconsin (now ProAssurance Wisconsin) and the Society were instrumental in the State Legislature increasing the limits for primary medical liability insurance. When these limits were raised, the point at which Injured Patients and Families Compensation Fund (Fund) coverage begins also increased, from $400,000/$1 million to $1 million/$3 million.

This change resulted in lower Fund fees for Wisconsin physicians, and today Fund fees still are 67 percent lower than they were prior to the increased primary insurance coverage limits (see Figure A). When Fund fees decreased in 1997, some people thought that medical professional liability premiums for ProAssurance Wisconsin would increase significantly. In reality, ProAssurance Wisconsin’s premiums have increased an average of less than 1 percent each year.

In 2007, the Society filed a lawsuit challenging the state’s $200 million raid on the Fund. The Society won the lawsuit in July 2010, when the Wisconsin Supreme Court determined that the raid was unlawful, and ordered the State to return the $200 million with interest and lost earnings. The favorable ruling protects the integrity and security of the Fund.

Wisconsin Medical Society Insurance & Financial Services works with numerous insurance companies (including WPS Health Insurance, EPIC Life Insurance Company, Principal Financial Group, Society Insurance Company, Prudential Life Insurance and others) to continually improve member benefit plans. Products designed especially for physicians include:

A group health insurance policy that can be written as an individual policy
A group disability insurance plan with members receiving benefit maximums that accommodate high-income levels
An individual non-cancelable disability policy with premium discounts of up to 20 percent for Society members
General property and casualty polices specifically for medical practices
Workers’ compensation policies that can offer a 10 percent or 15 percent dividend

With all of these exclusive benefits, it is easy to see what the Wisconsin Medical Society has done for you lately. If you would like information about the plans mentioned above, please call 262.542-5214 or 800.236-4345.

Save premium dollars - act now

Posted August 30, 2010

Society members who are insured by ProAssurance Wisconsin through Wisconsin Medical Society Insurance & Financial Services may qualify for a 2.5 percent premium credit for each physician in their clinic who successfully completes a free online seminar as part of the Wisconsin Medical Society Member Benefit Program.

The two-hour seminar, Between Medicine & Malpractice: The Gray Matters, explores the risks inherent in common situations faced by physicians in all specialties and includes a post-test. To take advantage of this credit, physicians must complete the seminar at least 60 days prior to the renewal of their medical professional liability policy – so act now!

Through case studies, news reports and claims data, physicians will learn how time-honored risk management “truths” may require a second look and how “continuing with the status quo” may not be optimal for reducing risk in today’s increasingly complex practice of medicine. Recognizing that physicians regularly face barriers in patient safety and loss prevention techniques, this seminar offers guidance to physicians who find themselves “in the gray area” of risk management.

ProAssurance Indemnity is accredited by the Accreditation Council for Continuing Medical Education (ACCME) to provide continuing medical education for physicians and designates this educational activity for a maximum of 2.0 AMA PRA Category 1 Credit(s)™. Physicians should only claim credit commensurate with the extent of their participation in the activity.

Details are available on ProAssurance's website (click on “Seminars” and then “Physician Online Seminars.”). To access the seminar, click on “Login” (or “Sign-up” for first-time users) at the upper right corner of the home page. First-time users should allow up to two business days for their accounts to be processed before trying to access the seminar. This section also includes a list of other, shorter online programs available for CME credit.

For more information, call Mark Alighire, ProAssurance Risk Management, at 800.292.1036, extension 6329.

More Member Benefits for 2010: Insurance Coverage for Network Security and Privacy Exposures

Posted May 25, 2010

Dave Serena

The call came in the day before Thanksgiving: “Dave, I called the Medical Society and one of the first things they told me to do was to call you, my Insurance Agent!”

We live in a new age of new exposures and increased risks, and someone was fraudulently attempting to get into the medical records at this physician’s clinics.

Data breaches are everywhere. For example, last fall a laptop containing a file with information for every physician contracted with a Blue Cross/Blue Shield-affiliated insurance plan was stolen. The social security numbers of over 150,000 physicians were in this file.

A front desk clerk for the Cleveland Clinic stole the names, addresses, Social Security and Medicare numbers for over 1,100 patients, and the information was used to file false Medicare claims in excess of $2.8 million.

“Identity theft” was the top Federal Trade Commission complaint in 2008: 9 million identities were stolen. And in 2009, over 8 million records were exposed or breached. These numbers reflect the “big picture,” but medical identity theft is a growing subset of these statistics. There is information in your clinic’s medical records that the wrong people want. Unfortunately, sometimes they succeed.

Medical records and billing information are a clinic’s biggest exposure risk, while the biggest treasures for criminals are matching names and addresses, along with drivers’ license, Social Security, credit card and Medicare numbers. This information can come from multiple sources: lost or (stolen laptops) or data storage devices like flash drives, employees who steal data, “un-encrypted” e-mail messages, accessing the Internet in a way that is not “secure,” hackers, etc.

The results can be staggering to a practice. The loss of goodwill can be immeasurable, and the financial impact has the potential to be significant.

Under the HITECH Act, the Secretary of the Department of Health and Human Services potentially can levy fines of up to $50,000 per HIPAA violation and up to $1.5 million per violation of identical HIPAA requirement or prohibition per year. In addition, the HITECH Act establishes specific guidelines for determining if patients must be notified if there is a breach. (For more detailed information about the HITECH Act, click here ).

To help protect our physician members who are insured for medical liability through Wisconsin Medical Society Insurance and Financial Services, the Society has collaborated with ProAssurance Wisconsin to build the following coverage components into the malpractice insurance contract, all at no additional costs:

Network Security (suits from patients or customers): $50,000
Regulatory Claims: HIPAA (includes fines and penalties): $50,000
Customer Notification and Credit Monitoring costs: $50,000
Data recovery costs: $5,000

Please note, the items in the first three bullets represent a combined single limit, including defense costs, per incident. An additional option, which requires underwriting approval, is a $1 million limit option for members who would like a higher “Network Security” limit. The estimated annual premium for the $1 million limit option for a group of three to five physicians is approximately $2,063; a group of six to 10 physicians is approximately $2,813. Prices may vary depending on individual account specifics.

For more information, contact your Wisconsin Medical Society Insurance Agent or The Wisconsin Medical Society Insurance and Financial Services Inc. 330 E. Lakeside Street Madison, WI 53715 866.442.3810

ProAssurance Wisconsin offers eligible members premium discount for EHR implementation

Society members with group medical professional liability insurance through ProAssurance Wisconsin Insurance Company (formerly PIC WISCONSIN) may be eligible for an additional 2.5 percent credit if their Electronic Health Records (EHR) system is accredited by the Certification Commission for Healthcare Information Technology (CCHIT). This credit is available only to Society members who purchase this insurance through Wisconsin Medical Society Insurance Services, Inc. To apply for an EHR credit, a member’s group practice must complete an EHR authorization form, available here, and return it to Wisconsin Medical Society Insurance & Financial Services, Inc.

Disability insurance: Five things you need to know now

Posted May 7, 2009

May is Disability Awareness Month, the perfect time to dispel a few myths about disability insurance coverage. Here are the top five myths about this type of coverage, adapted from materials by A.M. Best’s Consumer Insurance Center.

Myth 1—I’m healthy and won’t be disabled.
Nearly one out of every three workers age 30 or older will suffer a disability that stops them from working for at least three months at some point during his or her career.

Myth 2—Your home is your biggest asset.
Your biggest asset is your ability to bring home a paycheck. Without a paycheck, you will not be able to pay your bills or save for retirement.

Myth 3—Worker’s compensation would pay me.
More than 90 percent of disability accidents and illnesses are not work-related. This means that 90 percent of people out of work due to an injury or illness cannot collect worker’s compensation.

Myth 4—My employer would pay me.
Short-term disability coverage would provide you with a percentage of your income for about three months in most cases. Long-term disability coverage usually kicks in after a waiting period, which can be six months or longer. Only 37 percent of workers have short-term disability through their employer, and only 29 percent have long-term disability insurance through their employer, according to the U.S. Bureau of Labor Statistics. Even if you do have coverage through your employer, that coverage doesn’t last forever. If you are disabled and receive disability insurance through your employer your employer is required to hold your position open for the time period of 12 weeks to six months and continue to cover you with disability insurance coverage. However, after this period of time, they can dismiss you. Along with losing your job, you would lose your disability insurance benefits.

Myth 5—The government would pay me.
Only 39 percent of disabled workers who applied for Social Security Disability Income payments in 2005 were approved. The average monthly benefit in 2007 was just $978 and it can take months to receive your benefits, according to the Life and Health Insurance Foundation for Education.

There are a couple of ways to obtain disability insurance. First, find out what your employer offers. Otherwise, contact a professional insurance agent to work out a plan that fits your needs.

For help with your disability insurance needs, please contact Wisconsin Medical Society Insurance and Financial Services here.

A Quick Look at Telemedicine

Posted September 19, 2008

Kyle Fromm, Risk Management Consultant
PIC WISCONSIN, A ProAssurance Company

Telemedicine takes health care to a different level. Now we have the ability for physicians to provide patient care anywhere in the United States, and even around the world. Below are risk management issues to consider regarding telemedicine.

Licensing
Some states have restrictive licensure language; providing care via telemedicine in those states may require licensure or endorsement from that state's licensing board. Check with a state’s licensing board to see what you need to do to ensure compliance with that state’s regulations regarding licensure.

Professional Liability Insurance
Does your current coverage allow you to perform telemedicine? Check with your agent or carrier to ensure coverage.

Diagnoses
Providing care by telemedicine has its advantages and disadvantages. There’s a disadvantage to not being able to examine a patient in-person. With telemedicine, you must rely on those physically present to ensure you receive accurate information. Documentation and communication are especially crucial in telemedicine; protocols should be in place to ensure you receive accurate information.

Prescribing
Again, documentation and communication are crucial. Ensure medication reconciliation protocols are followed. In addition, when prescribing controlled substances, make sure you comply with state-specific regulations regarding pain management and addiction.

Additional Resources: