Alabama DOI Issues Doctors Insurance Reciprocal Warning
The Alabama Insurance Department notified Alabama physicians, nurse practitioners, physicians assistants, etc. who currently have policies with Doctors Insurance Reciprocal that the company’s rehabilitator has suspended the payment of claims for insureds’ policies. It added that due to the rehabilitator’s action the likelihood of future payments on claims is uncertain.
Doctors Insurance Reciprocal was recently placed in rehabilitation in Tennessee.
The Alabama department encouraged all physicians and other policyholders with Doctors Insurance Reciprocal to immediately obtain coverage. It said it is imperative that anyone covered by this reciprocal immediately take action to obtain coverage as this company is not licensed in Alabama and if claims are not paid these claims will not be covered by any state guaranty funds.
The department is vigorously working to provide coverage options in Alabama. It is working with licensed companies and others who are considering forming an entity to assist in providing coverages for affected physicians .The Medical Assurance Company Inc., located in Birmingham, Ala., has also contacted the department, expressing an interest in discussing coverage options with physicians. The department will continue to update its Web site with names of any other companies who express an interest in providing coverage.
For more information, contact the Alabama DOI at insdept@insurance.state.al.us.