Non-Banking Financial Companies or NBFCs are financial corporations which play a crucial role in the Indian economy. Primarily, these organisations grant loans to different individuals, including doctors, enabling new ventures to grow effectively.
- Around 12.5% increase in the country’s GDP is accounted for by NBFCs alone.
Besides granting loans, leading NBFCs in India are also engaged in insurance businesses. They provide customised insurance plans like a professional liability insurance policy to medical practitioners nowadays.
Such policies protect the insured against third-party liabilities arising due to inappropriate consultation provided, incorrect treatment, misdiagnosis, negligence, etc.
Importance of insurance plans for doctors
In India, incidents of medical negligence continue to happen in whopping numbers.
- A total of 2,638 medical negligence cases were reported in 2019.
Again, according to a government panel which was set up for investigation, 112 complaints of negligence were reported between 2017 and 2019. Only 15% of these proved to be genuine cases. The remaining involved no negligence from the medical expert.
However, when a victim lodges a complaint against the doctor, the later end up paying huge compensation for the damage caused.
Legal charges and fees also increase the expenses, often draining out one’s savings. Instead of drawing out of the pocket, taking a professional indemnity insurance plan proves advantageous in dealing with such financial losses effectively.
Benefits of taking insurance plans from NBFCs
Non-Banking Financial Companies bring insurance policies, customised to address the specific needs of a doctor. Some of the benefits include:
- Comprehensive coverage
Under a professional liability insurance policy, doctors can enjoy comprehensive coverage against the financial losses incurred. They can also claim benefits for other damages like confidentiality breach, court cost, lawyer appointment charges, loss of documents, charges of filing slander or libel if proved not guilty, etc.
- High coverage value
Depending on the damage’s extent, a victim’s family can claim any amount of compensation starting from Rs.50,000 to up to Rs.5 lakh and even more.
NBFCs, therefore, offer coverage up to Rs.1 crore to help doctors manage any professional liability efficiently. Professionals can select their preferred amount depending on their practice size, budget and risks identified.
- Reasonable premiums
NBFCs offer different coverage amounts at reasonable premiums according to the customer’s preference. Doctors can pay Rs.9,440 for an indemnity insurance policy of up to Rs.50 lakh. They can avail higher sum insured of up to Rs.1 crore against a minimal premium amount of Rs.12,980 only.
- Hassle-free claiming process
With prominent financial service providers, the claim redressal time of professional indemnity insurance plan is minimal. On submitting all the necessary documents, the claimant can receive settlement within 30 days as per terms and conditions.
Generally, the steps to claim coverage benefits include:
- Intimate the company’s customer care department in writing immediately. Ensure to provide all the relevant details.
- Provide every essential document, including records or details of the claim reported, incident’s report, etc.
- Settle the claim after paying the deductible applicable.
- Simple eligibility criteria
Furthermore, NBFCs ensure simple eligibility criteria to enhance the accessibility of insurance benefits among medical practitioners. Doctors holding prestigious degrees like BDS, BAMS, BPT, BAMS, MBBS, MD, MPT, MS, MDS and above can buy an insurance plan for any professional liability.
Those holding a history of past claims are categorised depending on the limit they opted. Ensure to know how to select the best indemnity insurance policy from a reputed NBFC before availing one.
Additional monetary assistance during crises
Besides financial protection, doctors may need monetary assistance during incidents of medical negligence and court cases. NBFCs bring tailor-made loan for doctors, catering to their unique personal and professional requirements. Seek unsecured credit of up to Rs.37 lakh and secured credit up to Rs.2 crore with attractive features and benefits.
Bajaj Finserv is one of the prominent NBFCs in India which comes with pre-approved offers, exclusively for their existing clients.
Eligible applicants can also apply through an online application form. They need to provide accurate information along with the necessary documents for loan approval.
Considering the benefits mentioned above, medical practitioners should take a professional liability insurance policy from non-banking financial companies.
Moreover, it acts as a safety net, making a medical professional confident during mishaps. They can also avail of high-value loans under one roof at reasonable rates.
