Aon/ASHRM Hospital and Physician Professional Liability Benchmark Report
The Aon/ASHRM Annual Hospital and Physician Professional Liability Benchmark report provides health care systems with a data-based tool for better estimating and understanding their self-insured medical malpractice costs based on data collected from participating health care systems.
The 2022 Aon/ASHRM Hospital and Physician Professional Liability Benchmark report marks the 23rd year of publication of this annual study. This report is based on the data from 105 participating health care systems which collectively comprise 29% of the hospital exposures in the country.
Our report strives to provide healthcare systems with a data-based tool for better estimating and understanding their self-insured medical malpractice costs relative to those for their peers.
Through measurement, analysis, and comparison of the claim and exposure data, risk managers can develop proactive strategies to reduce medical professional liability (MPL) related claim frequency and/or severity and ultimately improve patient and financial outcomes.
The current report provides the findings of Aon’s actuarial analyses as well as insights on the following topics:
- • Trends in countrywide hospital professional liability (HPL), physician professional liability (PPL), and general liability (GL) benchmark frequency, severity and loss rates that are based on the underlying database of 105 systems.
- • Frequency, severity, and loss rate forecasts for 2023. For the first time, a capping of $5M per occurrence is used while estimating claim severity and loss rates.
- • The impact of COVID-19 on medical malpractice claims in 2020 and 2021.
- • An analysis of surgery and non-surgery claim costs.
- • An assessment of the current sexual abuse and molestation claims landscape including a discussion of coverage and underwriting issues and solutions provided by Hangley Aronchick Segal Pudlin & Schiller and TransRe.
- • The drivers of aberration verdicts and suggestions on presenting reasonable settlement estimates at trials recommended by Hall Booth Smith, P.C.
- • Usage of alternate risk transfer mechanisms, such as captives and claim cost comparisons of captive and non-captive risks.
- • Healthcare risk management department characteristics, including number of Certified Professionals in Health Care Risk Management (CPHRMS) and other risk management professionals, captive usage, and days cash on hand.
- • Benchmark statistics for claim lags, cause of loss, hospital service lines, demographics, and types of claim disposition.
- • Benchmark metrics for 23 individual states that have sufficient data volume and credibility, including territory breakouts for Florida, Illinois, and Pennsylvania.