The Case
In March 2019, the College received a self-report from a physiotherapist who indicated that their professional liability insurance had lapsed, and they were treating patients without insurance for approximately five months.
The physiotherapist did not realize that their insurance had lapsed until they went to complete the annual renewal process and could not find their policy number. The PT then contacted the Canadian Physiotherapy Association (CPA) and confirmed that although they were a CPA member, they had not held an insurance policy since fall 2018.
For personal reasons, the PT was working reduced hours at the time. They worked less than 15 hours a week and treated anywhere between six and 20 patients a month.
The PT noted that their business partner unintentionally misinformed them that liability insurance had already been purchased on their behalf. Unfortunately, the package that the business partner purchased did not include the PT’s individual professional liability insurance.
After realizing that their insurance had lapsed, the physiotherapist quickly purchased professional liability insurance and made a self-report with the College.
The Rules
Physiotherapists are required to carry adequate liability insurance from the day they start practicing, throughout their career and even after they retire (tail insurance). Liability insurance offers financial compensation for people who have been harmed as a result of malpractice or negligence by a professional.
To register with the College, physiotherapists must have liability insurance that meets the following requirements:
- A minimum coverage of $5 million dollars for the annual policy period
- A liability limit of at least $5 million dollars per incident
- No additional terms, conditions or exclusions, other than standard
- No deductible
- Insurance for a minimum of 10 years after they stop providing patient care (tail insurance)
Physiotherapists are responsible for ensuring their liability insurance is up to date and does not lapse while providing patient care.
PTs should never assume that an employer will arrange insurance coverage for them, and physiotherapists who work in multiple locations should not assume that their insurance coverage at one location covers the others.
The Outcome
The physiotherapist’s insurance provider confirmed that the PT had continuously held adequate liability insurance up until the lapse in 2018/2019. They also confirmed that the PT purchased liability insurance in March 2019.
The PT provided a statement from their business partner, apologized for their mistake and took immediate steps to rectify the situation. While it is unfortunate that the physiotherapist did not confirm their individual professional liability insurance, it was an honest mistake, and the College took no further action.
This case serves as a good reminder to all physiotherapists that purchasing and updating liability insurance is the responsibility of the PT and cannot be delegated.
Always be sure that you have an adequate liability insurance policy in place.
Liability Insurance Requirements
Your PT Accountabilities
Self-Reporting