South Florida Hospital News
Thursday September 24, 2020

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September 2020 - Volume 17 - Issue 3

Two Major Pitfalls in Malpractice Cases for Medical Providers

Most healthcare academics predict that we are only in the beginning of risk based compensation trends in healthcare. There is an exact science behind medical protocol. Moreover, patient expectations are getting bigger as the average human life span continues to extend. With increasing protocols and scrutiny, the most common reasons for malpractice lawsuits are based on provider’s failure to: (i) detect, (ii) diagnose, (iii) treat, and (iv) continue follow-up care. With that said, license and asset protection for medical providers is more important than ever.

Firstly, the medical license, it is the lifeline of every medical provider. Having a corporate shield is incredibly important to help protect it. Once a medical provider has been named in a suit it means that their medical license is at risk for getting blemished. Depositions are often a minefield to go through. If the lawsuit is not resolved in the proper manner, the allegations against the provider can and often do get reported to the medical board and National Provider Data Base, including all settlements. Such reports against the license can significantly hinder the physicians ability to practice inside well reputed practice groups and hospitals. Typically the insurance defense attorney’s role is to resolve the law suit, but protecting the medical license is NOT their top priority. That is when a “personal” medical defense counsel can be of great benefit. A physician will need personal guidance on how to go through raising all the legal defenses, maximizing the discovery process, and negotiating out of the case so that the license remains intact and untarnished.
Secondly, the assets of the business and the physician’s personal owned property can also be at risk. Hence the physician should consider using asset techniques such as:
1) Homesteading the primary residence;
2) Holding the title as tenancy by the entireties;
3) Keeping assets in the form of an IRA or 401K;
4) Using trusts and estate planning to insulate the assets;
5) Using life insurance products to safeguard and insulate cash or readily convertible assets from liability. These are just some of the techniques, but there are more black box methods of getting things done.
All of this requires some level of legal and financial planning. The legal cost of doing prudent asset protection planning should correspond to the complexity, which is also often around $5,000.
Also to find out more about what can be done to protect your medical license go to The cost of defending a doctor’s personal license is fairly nominal, and is often around $5,000.
Given the downside for medical professionals, the time and cost of protecting oneself are very low. If you have questions about doctors personal defense counsel or how to protect your assets from liability, contact us directly for a free consultation.

Ben Assad Mirza, Healthcare Law Partners, LLC, can be reached at (954) 445-5503 or

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