Notice of Claims - Physician Contract Glossary

Notice of Claims

Definition

A requirement to inform your insurance provider or employer promptly if you become aware of a potential lawsuit, claim, or legal complaint.

Examples in Context

“Physician shall notify Employer's risk manager in writing within 3 business days of receiving notice of a lawsuit, claim, or investigation.”

“The Insured must notify the Insurance Carrier immediately upon becoming aware of any circumstance that could give rise to a claim.”

Implications for Physicians

• Delays in notifying your insurer may void coverage or breach your contract.
• Prompt notification ensures your legal defense is properly prepared.
• Failing to notify your employer may impact your employment status or create liability risks.

Negotiation Tips

• Request a reasonable notice period, such as 7-10 business days, instead of immediate notice.
• Clarify acceptable notification methods (e.g., certified mail, email, or secure portal).
• Ensure your contract defines who must receive the notice (e.g., employer, insurer, or legal counsel).

Red Flags and Pitfalls

• Very short notice periods (e.g., 24 hours) may be difficult to meet.
• Unclear or vague instructions on how notices should be sent.
• Failure to define which types of incidents require reporting.

Related Terms

• Professional Liability Insurance
• Claims-Made Policy
• Tail Insurance

FAQs

• What if I discover a claim years later?
  • Notify your insurer immediately. Coverage may still apply under "tail insurance" or extended reporting periods.
• Am I required to notify my employer if I have private coverage?
  • Yes, if your contract requires it. Clarify reporting obligations to both your employer and insurer.
• What happens if I miss the notice deadline?
  • Your insurer may deny coverage, leaving you responsible for legal costs. Always prioritize prompt reporting.

Legal Disclaimer

The information provided in this glossary is for educational and informational purposes only and should not be construed as legal advice. While we strive to provide accurate and up-to-date information, this content is intended to help physicians better understand common contract terms and does not replace professional legal guidance.

For personalized advice regarding your employment contract or other legal concerns, we strongly recommend consulting with a qualified attorney who specializes in physician employment contracts.

You can find experienced legal professionals through our Physician Contract Lawyer Directory.