In the guest post, “Planning to Retire? Exit Strategies for Physician Private Practice,” Craig Toberman, CFA, CPA, CFP®, Partner at Toberman Becker Wealth, outlines key financial strategies for physician owners. Schloemann, an experienced medical malpractice broker and founder of SURGPLI, contributed expert insights throughout the article, emphasizing that tail insurance—an often-overlooked but essential expense—can be one of physicians’ most significant costs when leaving practice.
What is Tail Insurance?
Tail insurance protects physicians against medical malpractice claims filed after their policy expires. It covers incidents that occurred while they were actively insured. Without it, doctors could face financially devastating lawsuits long after they retire.
Why Does Tail Insurance Matter In Retirement Planning?
One of the biggest surprises for retiring physicians is the steep cost of tail coverage. Schloemann warns that this coverage typically costs 200% or more of an annual premium, often requiring a one-time, six-figure payment. This expense can create significant financial strain when physicians seek to secure their future without proper planning.
The Benefits of an Experienced Medical Malpractice Broker
Planning early with a specialized broker ensures the best coverage at the best price. Failing to budget for tail insurance can create unexpected financial burdens for retiring physicians.
Partner with a specialized broker to secure the right coverage at the best possible rate. Schedule your free consultation, email info@SURGPLI.com or call 800-969-1339 to speak with a SURGPLI expert in our Illinois office today.
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