Malpractice insurance is a way to secure oneself financially in case one ends up in professional malpractice or careless performance of a duty. It is bought by professionals, especially medical professionals. The term ‘medical malpractice’ indicates an act of negligence or injury to a patient or to a set of people. Sometimes, malpractice insurance and personal liability insurance are used synonymously. In some cases, it is mandatory for a doctor or a surgeon or other medical professionals to buy malpractice insurance to get employment at a certain place. Malpractice insurance, though popular with medical profession, it may also be used for other professions which may involve a personal liability.
The amount of protection provided by malpractice insurance may vary depending upon the regulations applicable to a place with regard to the malpractice or personal liability. Though, medical professionals do buy policies that secure them personally, malpractice insurance helps them to wriggle out of financial crisis in case they are sued for a wrongdoing. Though, premiums for malpractice insurance are very high, they provide financial protection which can be a very big figure. With high premiums, malpractice insurance is quite popular in the list of very costly policies that are bought.