Every drug and alcohol treatment center needs commercial insurance. You can choose from many types of business insurance to create your coverage plan. For treatment centers, three of the most beneficial types of insurance coverage include:
- Commercial Property
- Professional Liability
- General Liability
#1 Commercial Property Insurance
When severe weather occurs, pipes burst, or an accidental fire breaks out and damages your property, the repairs and restoration can be time consuming and costly. Commercial property insurance helps cover costs, gives you peace of mind, and relieves financial stress.
How Does Commercial Property Insurance Work?
Property insurance may cover a variety of incidents, including:
- Burglary and theft
- Vandalism and property destruction
- Lost assets
- Loss of rents
Without property insurance, you may have to cover the cost of repairs, lost property, or restoration. With the proper insurance, you will have help to cover the expenses. In addition, your insurance may help protect against lost income if you need to close your treatment center for a short time while you make repairs.
Once damage occurs, file a claim. Your insurance agent will walk you through the process to help your repairs start promptly and go smoothly.
#2 Professional Liability Insurance
Nobody who works in the medical field wants to hear about a patient or their family filing a malpractice or negligence insurance claim. However, malpractice and negligence claims do happen, they are expensive, and they can adversely affect your employees’ future and your center. Professional liability insurance may help reduce the effects of such claims.
How Does Professional Liability Insurance Help Drug and Alcohol Treatment Centers?
Insurance agents sometimes refer to professional liability insurance as "errors and omissions insurance." Errors and omissions insurance helps protect your employees if their direct actions cause harm to an individual. While your employees are experts in their fields, accidents do happen — it's essential to keep your employees safe.
In addition, your center or employees could face a negligence or malpractice suit at any time if a patient or their family members think one of your doctors, nurses, or other employees made a treatment mistake.
If you employ any of the following types of workers, professional liability insurance is essential to protect you from claims filed, whether an employee made a mistake or not:
- Social workers
- Therapists or counselors
- Pharmacists
- Doctors
- Nurses
#3 General Liability Insurance
The third commercial insurance your treatment center should have is general liability. General liability is similar to professional liability in that it helps protect your business or employees if someone decides to sue due to an injury or accident. In addition, it helps protect your business from financial loss.
What Does General Liability Insurance Cover?
Unlike professional liability insurance, which covers harm or injury due to direct actions, general liability covers damage or injury due to accidents on your treatment center's property or indirect actions by your employees or volunteers.
If you run a treatment center, general liability is necessary to cover the cost of bodily injury or property damage that occurs on your property. Additionally, general liability can protect you from financial loss if a patient, volunteer, employee, or visitor sues you to cover their medical bills.
Your coverage plan may pay the maximum allowed under your policy in the following cases:
- Cost of defending or settling claims
- Costs of settling the claim out of court
- Any damages awarded if you or your center are found liable
- Court-awarded judgments
- Investigation costs
- Medical expenses of the injured party
Other Insurance Options Your Facility May Benefit From
While commercial property, professional liability, and general liability insurance help protect your drug or alcohol treatment center, there may be other areas in which you're at risk. In addition to the types of commercial insurance outlined above, you may benefit from other insurance options, such as:
- Commercial auto insurance
- Umbrella liability insurance
- Cyber and privacy insurance
- Workers compensation
- Risk management services
An experienced insurance broker will understand your needs, risks, and areas where you're vulnerable to create a customized coverage plan that leaves your center, employees, and volunteers protected. Commercial insurance can reduce the financial burden on your center and employees, allowing everyone to focus on treating your patients and providing them with the hope of recovery.
Property damage, malpractice claims, and negligence suits do occur. However, there are ways to minimize the financial cost of these claims. The right commercial insurance policy can help reduce your risk, protect your employees, and provide hope for your patients.
Leavitt Coastal Valley is here to help. Our nationwide team of brokers, underwriters, and professionals have the experience and integrity to ensure your commercial insurance plan meets your needs. We'll work with you through the entire process to find a combination of coverage.
We understand the needs of mental health facilities and treatment centers and are proud of our commitment to protecting your treatment center so you can care for your patients effectively. To learn more about how we can help you, call (805) 925-8607.
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