In most cases large differences in premiums exist because the physician simply does not have coverage with the right carrier for their specialty. Various companies prefer different specialties as a result of their success in defending claims for those particular specialties. When a physician elects coverage with the company best suited for that physician’s specialty and geographical location, it results in very competitive premiums. Diederich Healthcare matches each physician to the company that best meets this criteria, from among those companies that are established in your area. This sometimes means there are companies that we will not recommend even when their premiums are lower. You will find that upon receipt of a proposal if this has occurred the listing of company premiums will include companies with premiums lower than that recommended. A complete explanation will be included. In the event you wish to obtain coverage with a company, notwithstanding our recommendation, we can always provide coverage.
The above situation occurs when a company having no proven track record regarding medical malpractice insurance in a particular state or region enters the market. These companies begin soliciting for business offering low premiums; however, from experience we find in such situations that at your next renewal these companies either greatly increase your premium or leave the State. If you transfer to such a company and experience a major lawsuit it is possible that you would not be able to return to a proven standard company at your next renewal.