A community of 30,000 US Transcriptionist serving Medical Transcription Industry

Alltype and Liability insurance - MEM

Posted: Apr 17, 2010

Does anyone know where to go to for the liability insurance due to HIPPA? Alltype is requiring this now.

Are you an IC or an employee? - nm

Liability Insurance - Happy MT Robin

[ In Reply To ..]
Has Alltype shown you the actual legislation that is requiring you to have the insurance?

If they have not shown you a copy of this alleged legislation requiring you to have this insurance, don't do anything unless and until they do.

I know I'm going to sound repetitive on this subject, but it's one I am very familiar with as I used to sell insurance.

The type of insurance that they are saying you need to get will cost you $1500 a year. It is NOT available as a rider through your homeowners insurance as some people have been led to believe. Homeowners insurance covers your actual home and the tangible belongings in your home and it covers general liability if someone is at your home and trips and falls or receives physical harm in some fashion.

The liability insurance that the MTSOs are trying to require MTs to get is called Professional Liability or Errors & Omissions or E&O. This is very specialized insurance that is only available through an insurance broker and only an insurance agent can go to that broker to purchase the policy. The public does not go to the brokers directly. Errors & Omissions insurance is put in place to provide defense for professionals if an error or omission they make in their product causes harm to someone else. The best example of this is medical malpractice insurance. Insurance agents themselves will get E&O, for example. If an agent does something that leaves a client uninsured he can be sued and the E&O insurance would then provide defense and/or settlement.

My whole argument against an MT being required to get E&O Insurance (outside of the $1500 a year cost which is prohibitive) is the very simple but major fact that the dictator is REQUIRED to sign their reports. When they sign those reports they are verifying that the information contained therein is correct. That right there lets the MT off the hook for any liability. The dictators are required to sign their reports by their medical malpractice carriers and if they do not sign their reports, they can be denied coverage. If there was a lawsuit and somehow the name of the MT was brought into it, then either the doctor's medmal insurance would cover defense for the MT, or the MTSO's insurance could cover the MT. Unless you are an MT contracting directly with the doctor, this type of insurance is absolutely unnecessary. I personally believe that even if you are an MT contracting directly with a doctor you still donâ��t need E&O insurance because the doctor's medmal covers any suits that may occur, but the argument could be made that the MT contracting directly with the doctor would need it.

This same argument can and should be made for any HIPAA violations, which is why I think a lot of these MTSOs are now trying to pass this cost on to the MT. The typical at-home MT uses the MTSOs platform and/or software. The MTSO is the one responsible for how much demographic information an MT is allowed to see. Some of the companies out there give their people access to old reports, etc., which is helpful when you have a cr@p dictator, but it gives an unknown person way too much information about the patient. If there is a breach and a lawsuit ensues, it is up to the MTSO who is providing the platform and/or security to also then provide defense if the MT is actually named personally in the suit. I also personally believe that the instance of a single MT being sued like this in the case of a purely accidental breach is about the same odds as winning Powerball Lottery (although I keep trying on that one.) This, of course, doesn't cover the MT who is actually breaking the law and knowingly sharing patient info. They're on their own for criminal charges for that one.

My other big pet peeve about this whole situation is the fact that no one has actually produced a copy of any legislation or ruling that is saying that the MT is the one who should be carrying this type of insurance. I'm an IC and I've done some research on it and I haven't found anything and the company I contract with hasn't said anything about it. If someone's got it, please post it because I'd love to see it.

So, if you really want to do this you can go to the agent who sold you your homeowners policy, or if you're not a homeowner, you can go to any independent insurance agent or any State Farm, Farmers, Alltate, agent, etc. Make sure you use the phrase Professional Liability Insurance. There is a miscellaneous category that MTs will fall under. If the agent gives you a quote right there in the office and it's not in the $750 to $1500 range a year, find another agent because this one doesn't know what you're talking about. If they tell you that this can be done as a rider on your homeowners policy, find another agent because this one doesn't know what you're talking about.

Before all that, I'd go to Alltype and ask them some very specific questions along the lines of what type of defense they think this insurance is going to be used for and why you are being required to carry it and why their insurance wouldn't cover defense for you in the case of a breach, if that's the road they're going down.

Excellent post - hope everyone reads

[ In Reply To ..]
The doctor is responsible for the content of his dictated report.

Liability Insurance - MEM

[ In Reply To ..]
Do you work for Alltype?

If insurance is for HIPAA, it's to protect against - deb

[ In Reply To ..]
personal medical information becoming public, not the accuracy of the reports.

Right, but the same principle applies - Happy MT Robin

[ In Reply To ..]
The MTSOs insurance should be the one that is used for defense if any breach occurs, since for most MTs it's the MTSO's platform and/or software that is being utilized.

I personally just strongly believe that this cost should NEVER be passed on to the MT as an individual.

What About HITECH - TranscenderMT

[ In Reply To ..]
If the doctor who signs the report is verifying that the information contained therein is correct and accurate, then why should MTs be threatened with termination if an error occurs in patient name or MR number, etc due to the HITECH rules now in place. Demographics get more and more involved and time consuming with the MT being burdened with researching doctors' names, addresses, etc. because any violation will now be reported in writing to the patient, who can, in turn, file a lawsuit. If the doctor signs the report he/she should be aware of the patient's name, the MR#, the doctor to which they wants a copy to be sent, etc. While, as MTs, we are expected to make sure this information is accurate, we are human and there are times when a patient's name is even spelled incorrectly by the doctor. This should all be covered under the doctor's malmed or the MTSO's liability insurance. When the day comes that I have to buy liability insurance, that will be the day I hang it up for good.

Exactly my point. - Happy MT Robin

[ In Reply To ..]
You said exactly how I feel. My other big pet peeve in this is the fact that all I have heard is anectodal information about how supposedly MTs are going to be sued, etc., blah, blah blah, but not one person or MTSO who is now trying foist this cost off onto the MT has actually showed a copy of the legislation or the ruling or the whatever it is that they are seeing that is making them do this.

Seriously. If anyone out there has a copy of anything remotely resembling these requirements, please post them because I've looked and I can't find them and I'd dearly love to see them.

Unless and until that type of information is produced, I stand by my opinion that this falls on the doctor or the MTSO and not on the MT and I would never purchase E&O insurance for myself for this business.

Professional Liability Insurance - Guppy

[ In Reply To ..]
I was recently hired as an IC and, one of the requirements was to have liability insurance. After getting many quotes, ranging from $1800 - $2500, I was freaked out. I finally discovered that if I joined AHDI ($135), I could get it through them for $325. That's the IC price - for an employee, it was less than $100. I still don't fully understand why my employer requires it, but as a newbie, I was thrilled to get ANY offer and wasn't about to argue. So, anyway, if you MUST get it, I suggest going through AHDI.

Make sure you read your declarations page, then. - Happy MT Robin

[ In Reply To ..]
Make sure you read your declarations page and then your exclusions page to find out EXACTLY what this policy is going to do for you then. The dec page is always the first or second page of the policy. It consists of what the policy WILL do for you or cover you for in the event of a claim. After that you will have a page or several of Exclusions. As insurance people say it "they give it and then they take it away." The exclusions portion of this is very important because that is what they will not cover you for.

Again, I'd also go back to your employer and ask them specifically why they want you to carry this and what kind of situation they think will occur for which you will need this defense. Make sure that the policy limits that your employer wants are the same as what the policy is for. Most policies of this type have $1 million/$2 million limits, meaning you have up to $1 million in coverage for any single event or a total of $2 million coverage for the whole policy year (or aggregate).

Make sure that the policy will actually cover you and cover any kind of defense and/or settlement for the kind of situation that your employer thinks is going to come up. Also, make sure that the policy limits cover you totally. Some companies offer "group" policies for things like this and you think you are covered by the whole policy limit, but it is a group of people who are buying into the same policy and the same policy limits totals. What that means is if the policy limit is $5 million, if there are 200 people named as insured on the policy and say all 200 people got named in the suit, that $5 million has to cover every one in terms of attorney fees for defense and any possible settlement. If it doesn't, then you still can be on the hook individually for the money. For the price that you're talking about for this type of insurance, I'd be willing to bet it's this type of policy. It's a moot point, since I don't think you're ever going to get sued, but still, I don't think it's a good type of policy to have.

I really hope that this trend of employers trying to foist this cost off onto the MTs dies a quick death. It's people who don't understand the actual liability that may or may not be present that are making these kinds of decisons and it's only serving to scr#w the MT in the process.

It is just another way AHDI is trying to get money from MTs who are employees. - I could understand IC

[ In Reply To ..]
As IC, you ARE the MTSO. As an employee, you are the representative of the company. Happy Robin stated it very concisely when she said that if there is a breach in HIPAA, other than purposeful breach by the MT, then it falls on the MTSO for faulty security. Have we ever heard of employees of companies being sued in lawsuits? If someone sues Toyota, are they suing the employee? Did the woman who sued McDonald's for hot coffee sue the employee that sold it to her?

I think AHDI is just trying to cash in on a new idea that the MTSOs are trying to sell. Why else would they offer it for $100 for employee compared to $325 for IC. They already know that the MTSO's liability insurance is going to cover any damages. They're raking in $100 and paying out nothing. That's why.

Guppy - Nick

[ In Reply To ..]
If AHDI had a gun in their hands, we would call it extortion.

What a great, common-sense post! - alice b

[ In Reply To ..]
This is such an intelligent post! Have been researching also and this federal law (like all law) is based on common sense. Intent is considered and financial gain and/or malicious intent are important factors. It is not reasonable that an MT who makes a mistake in the course of doing her job(often as a direct result of inaccurate and incomplete information and/or substandard dictation with which to work) would be held liable in a court of law. Her company has the option to fire her but lawsuit? Come on. I would like to see actual documentation of that also. This boogeyman is being used as a scare tactic by MTSOs whose rules and instructions regarding demos, c.c.'s, etc., are often ambiguous, incomplete, contradictory, and usually about as clear as mud, to the point that their own personnel have conflicting opinions and can't make heads or tails of them. So let's threaten and try to scare the MTs. I would like to see the lawsuit that actually held up in court. It's also not inconceivable that insurance vendors, AHDI, MTSOs might financially be ''in this together'' as far as getting MTs to buy into this baloney. Great post, Happy Robin.

Great post Robin - darlene

[ In Reply To ..]
Gonna save this post to my PC. I was offered a position with ALLTYPE awhile back and turned it down because the requirement for insurance, but mostly I felt, when the report leaves me, I have no PROOF, it was the way I DID IT. The QA can change, hospital can change, dictators can go in and make changes etc. Since we cannot keept the audio or the final copies, no proof it was the "original". I feel like a sitting duck. I felt it was just plain scary situation. I will take responsibily for my reports, but gad who knows if it was my "original report". Good point, the dictators required to sign/okay reports.
thanks for info.

As an IC, you are a company. Every hospital I have ever contracted with sm - MTSO

[ In Reply To ..]
requires $1,000,000/$3,000,000 liability insurance. Since anyone who is an IC is not an employee of the transcription service, they are not covered under the transcription service's insurance.

If you insist on being an IC, it is a cost of doing business, just like having your own equipment. It is also a write-off, like any other expense.

We stopped using ICs last year because of the need to start having schedules due to turnaround times not being met and because it has become cost prohibitive for someone to be an IC.

This is not a complaint or a whine, but a fact: Everyone complains that rates have not changed in 15 years or have gone, but the expenses of being an MTSO have increased dramatically from taxes to insurance to technology. I have 26 employees right now, and I would love to have ICs again due to costs.

Best Advice Ever - Neither a MT nor MTSO

[ In Reply To ..]
As a contractor, you are a business. Please discuss these matters with your accountant and/or lawyer. Any advise you receive here needs to be accepted with a grain of salt.

As an employee, please discuss these matters with your companies HR rep.

Similar Messages:

Apr 12, 2010

Any ICs out there that have been told they have to carry "liability insurance" that also covers HIPPA breaches? I feel this job is costing me more money than I can make anymore. Plus, they tell me when I can and can't take off, when I have to work, etc. and even call me on weekends when TAT is running out and I'm off. Of course when I do take off, I don't get paid and am told I have to make the time up. What the heck? Anway, back on subject, anybody have the insurance an ...

Jan 18, 2012

I'm have a part time IC job that is mine if I want it, but I need liability insurance. I'm having trouble finding a company around me that offers it for a single person. I'm waiting for some calls back, but wondered if anyone has some suggestions. This is only going to be a part time second job for me right now, so I don't want to pay a fortune. The woman who does the job now, but wants to cut back on work, has her's through State Farm for $26, bu ...

Oct 07, 2010

Has anyone been asked to purchase liabillity insurance for themselves as an IC. If so, how much does it cost. I was interviewed for an IC position, they said they had insurance, but I would also have to purchase liability insurance. I have never done worked as an IC before so I could use some tips. ...

May 29, 2012

The corp. I contract with is replacing Dictaphone and transcription with Powerscribe and editing. I have been presented with an extensive contract which will supersede the transcription agreement I have had for 10+ years. Aside from the disparity in pay and expectation to edit STATS for free, I have serious concerns about signing a contract that states I have full legal liability for the edited report and that I have to carry Workers Comp and 1-3 Million $ E&O and general liability insurance ...

Aug 19, 2013

Hi. I received an email from my account telling me ICs are now BA (business associate) per HIPAA. Honestly, I do not know anything about this. They provided some links for me to read on. I was given the choice to become a BA and provide the requirements they need or become an employee. I would like to still be self-employed and not an employee if I can. Have anyone here completed the requirements? Can you please help me how you got the requirements done? They also require liability insuranc ...

Aug 30, 2013

Hello, I just want to ask if anybody here carries a liability insurance. How much do you pay? Anybody here can share with me information about being a business associate (independent contractor) in compliance with the new HIPAA law? Thanks. ...

Dec 10, 2014

I just interviewed with a company that told me I have to have a million dollars in liability insurance and have to show them the certificate in order to be an IC. ??? Do all the IC's out there carry this? Does anybody know where you buy this and how much it costs? ...

Nov 01, 2010

Do any of you who work as an independent contractor for an MTSO carry liability insurance? Why or why not? Do they have to carry it and cover you or are you responsible for this? Thanks. ...

Jul 24, 2013

Was just informed that I cannot continue to work unless I have E&O liability insurance. WT@#$#!$#$#!!!! Does anyone have this? ...

Sep 19, 2013

Where do you buy transcription liability insurance and how expensive is it. I'm ready to go work at Wal-Mart after 20 years in this business. ...

Nov 02, 2013

I spent a lot of time looking for an insurance company that will not charge me an arm and a leg to be insured as a Business Associate (formerly IC). I paid $400 a year, which is not bad considering the other choices. I just want to share to those of you that need to be insured. http://www.myvirtualstore.yolasite.com/professional-liability-insurance.php ...

Oct 08, 2013

So after more than a month of research for the new HIPAA-HITECH Final Rule, I was able to pass everything to the company I work for as an IC. I just want to share to any IC/BA if anyone is still looking for professional liability insurance/Error and Omission. This company is the cheapest I have found. http://www.myvirtualstore.yolasite.com/professional-liability-insurance.php ...

Jun 04, 2010

Does anyone have experience with this? I am not sure what to think. I feel that the record is the responsibility of the author and/or the supervising physician. ...

May 20, 2011

A company I may be contracting with recommends that insurance for errors and omissions be purchased. I called the insurance company, and this runs about $320 per year, paid in advance. http://www.ahdionline.org/Careers/CareerResources/ProfessionalLiabilityInsurance/tabid/280/Default.aspx In all my years of being an MT I have never purchased this kind of insurance policy. Frankly the above seems like fearmongering to get people to buy into this racket. ...

Sep 04, 2013

I am going to try and post a link here and hope it works. This site gives a pretty simply explanation about HITECH and why the BA liability issue is coming up. It is not about misspelling words, transcribing wrong doses or any narrative in your document (E&O insurance)--it is about privacy of patient information (liability insurance) which most people can get through their homeowner's insurance agent. Good luck. ...

Oct 17, 2009

Anyone know what is going on with AllType? No work, now an email saying there will be no work for the entire week across the board for all accounts. ...

Nov 08, 2010

I was previously a QA at Webmedx and got laid off. Prior to that I was a QA for Heartland (lay off) and Medquist (left for better benefits). I got offered a MT job for 9 cents a line, 5 cents a line for VR. Would you take it? I have to support 2 little girls on it and need the benefits really, really bad. ...

Aug 25, 2011

Well after finding out that ALLtype was bought out by MedQ I had to make a choice - I resigned. I just cannot bring myself to work for an Indian owned company, nor do I want to fight for work with an underpaid and less qualified Indian MT. I hope more MTs will take this same option - the sooner we start refusing to work for overseas companies and taking lower pay - the sooner the job climate will change. For me - I cannot complain about something I am not willing sacrifice to c ...

Oct 18, 2011

just wonder if your'e still getting work on same accounts that you had with AT. I am not getting work anymore. I don't want to go thru all this training if I don't even know what type of account I am going to be on. ...

Sep 03, 2013

I've been hearing a lot about needing to possibly now have liability insurance but what are we being insured against? Liability for what? A mistake in the report? I've always been under the impression that the doctors are supposed to be reading their reports before signing and if they sign it with a mistake, that is THEIR responsibility. ...

Apr 14, 2010

Any advice good or bad on Alltype Transcription as an IC? Working as an editor? ...

Apr 23, 2011

Has anyone tested for Alltype? I got to test with editing and they sent me 4 tests to edit, but the catch was, these were not voice files. I just had to edit what I saw. I found it very difficult to edit without the voice. ...

Jun 17, 2010

They require that I purchase professional liability insurance. Does anyone work at Alltype as QA editor? and if so could I get you to message me? I have a few questions. This whole liability insurance thing just bothers me so much. I make so little now as QA that to then have to shell out more money, I am considering just retiring and be done with this profession. Thanks ...

Sep 29, 2010

Here is a blog article written by the Director of Professional Services for M-Modal about how unfair the "one size fits all" line rate is that so many companies consider "industry standard." It shows how it ends up costing the company more money in the long run and devalues the higher producing MTs. http://mmodal2.wordpress.com/2010/07/23/mt-compensation/ ...

Dec 02, 2010

Since I got laid off from Webmedx in September I've been on unemployment. I tried to work for Alltype and couldn't do it. The pay was alright but the support was awful, they just threw me into the job with no training, hardly any information on my accounts, no contact whatsoever from supervisors. I didn't even know who my supervisor was! Has anyone else had a bad experience with them? I worked 2 days and quit. No QA feedback or anything. I don't know if I can MT again. I' ...

Mar 25, 2011

I am hoping someone can give me some info on this company. I would hate to leave my current job to find out I made a huge mistake. I have research the forums but have not found anything recent. TIA TC ...

Aug 09, 2011

Do you have to use the mouse a lot? Would you consider it user friendly? Thanks in advance. ...

Jun 12, 2010

nm ...

Sep 11, 2011

We were told we would receive offer letters by FedEx Friday or Saturday. I have yet to see mine. Anyone else still waiting? ...

Jan 02, 2012

It's on one of the other job sites that posts all kinds of transcription work. I thought AllType was bought by MQ, no? Why would they be posting under the AllType name rather than MQ? ...