Are You Putting Your Nursing License at Risk?
Legal Disclaimer: I am not a lawyer and this information should not be construed as legal advice. This article is intended for informational purposes only. Always consult with a licensed attorney for legal counsel regarding your specific situation.
Think malpractice insurance makes you a target? Think again. The truth is, it might be the only thing standing between you and career-threatening financial ruin.
If I had a dime for every time I heard the myth that, “if you have malpractice insurance, they will go after you,” I would be a millionaire. This misconception is not only outdated but also dangerous for nurses. The reality is that not having malpractice insurance is far riskier.
The Growing Risk for Nurses
Nurses across the United States face increasing numbers of malpractice and disciplinary cases every year. Reports from the National Practitioner Data Bank (NPDB) reveal that over 10,000 adverse actions are taken against nurses annually. Alarmingly, the National Council of State Boards of Nursing (NCSBN) states that approximately 1 in 10 nurses will be investigated for a potential violation of the Nursing Practice Act during their careers.
Without malpractice insurance, nurses risk significant financial hardship, professional damage, and emotional strain if a legal dispute arises. Malpractice insurance isn’t just a safety net—it’s a lifeline that protects your license, reputation, and future.
Dispelling the Myths About Malpractice Insurance
A toxic culture surrounding malpractice insurance has created fear and hesitation among nurses. Many believe that carrying insurance makes them more likely to be targeted for lawsuits. However, legal experts and researchers agree this is a myth. According to Nurse Journal, malpractice insurance doesn’t make you a target—it protects you when claims arise, whether through an employer or directly against you.
In reality, most lawsuits stem from perceived negligence or poor outcomes—not from the presence of insurance. Meanwhile, nurses who lack personal malpractice insurance often find that employer coverage falls short, especially during board investigations.
Why Malpractice Insurance is Essential for Nurses
Nurses face risks daily, and even small mistakes can lead to disciplinary action or lawsuits. Here’s why malpractice insurance is a must-have:
- Legal Protection: Insurance covers legal defense costs, settlements, and judgments, ensuring you’re not left to handle these expenses alone. For example, in states like California and Florida, legal battles for nurses often take years to resolve (California Board of Nursing, Florida Board of Nursing).
- Job Security: Employers may not always have your back, particularly in cases of gross negligence or intentional harm. Even when covered by an employer’s policy, you may still face state board investigations independently (National Council of State Boards of Nursing).
- Stress Relief: Knowing you’re protected allows you to focus on delivering excellent patient care instead of worrying about potential lawsuits or investigations.
Over the summer I recently spoke with Kathleen Kearney, RN, JD, about these issues, and we discussed the importance of malpractice insurance and how it impacts nursing professionals and how all nurses should have it. In addition to representing injured clients and an attorney in Texas since 2006, Kathleen is a board certified registered nurse. She worked as a nurse in hospitals and clinics for many years before and during law school.
I also had the privilege of speaking to Bethany Fijan, RN, MSN CMSRN, Assistant Clinical Professor at Texas Woman’s University,where I shared insights on malpractice insurance with her students as well. Both of these discussions reinforced between the 3 of us that education and proactive advocacy are crucial for all nurses to protect their careers.
Texas: A Hotspot for Nurse Disciplinary Actions
Texas consistently leads the nation in disciplinary actions, with the Texas Board of Nursing (BON) reporting over 2,000 cases annually. Common reasons include substance abuse, criminal behavior, and boundary violations. The BON receives over 16,000 complaints yearly, though only a fraction result in formal investigations.
Top 5 Reasons for Disciplinary Actions in Texas
- Substance Abuse: Over half of all investigated nurses face allegations related to substance use (Texas BON). Insurance won’t prevent these issues but can cover legal defense costs, allowing you to focus on recovery.
- Criminal Charges: Allegations of theft, assault, or fraud can lead to lengthy legal battles.
- Professional Misconduct: From boundary violations to unprofessional behavior, these accusations often catch nurses off guard.
- Continuing Education Deficiencies: Failing to meet continuing education requirements frequently results in complaints. Insurance can help cover legal fees if a board investigation arises.
- Mental or Physical Health Issues: Conditions such as depression or anxiety may trigger investigations if they affect your practice. Malpractice insurance can protect you during these difficult times.
Other States with High Disciplinary Rates
While Texas has the highest number of disciplinary cases, states like California, Florida, and New York also report significant numbers:
- California: Over 1,500 nurses face disciplinary actions yearly, with common causes including substance abuse and professional misconduct (California Board of Nursing).
- Florida: Reports indicate that more than 1,000 investigations occur annually, often related to drug or alcohol use (Florida Board of Nursing).
- New York: More than 1,000 nurses face investigations annually, frequently for unprofessional conduct or boundary violations (New York State Education Department).
Proactive Steps to Protect Your Career
1. Invest in Malpractice Insurance
Malpractice insurance costs around $500 annually but provides coverage worth millions. Policies vary, so ensure your coverage matches your practice setting.
2. Enhance Your Documentation Skills
Proper charting can prevent legal issues before they start. Join an online charting course to learn best practices and earn CE credits.
3. Educate Yourself About the Legal Process
Equip yourself with knowledge about the legal system. Resources like the “Guide to the Courtroom for Nurses” offer step-by-step guidance for navigating legal challenges.
4. Schedule a Legal Consultation
Get personalized advice through a consultation to address your specific concerns. Book a meeting with Advocate Maggie to gain clarity and actionable strategies.
Final Thoughts
Nurses, don’t wait for a crisis to protect your career. Malpractice insurance is an essential safeguard in today’s healthcare environment. As I always tell my clients and students, “You have the power to protect your career before you need it.” Secure your future, build your legal awareness, and take control today.
Stay informed by tuning into the Advocates for Nurses podcast, where I share practical tips and real-life stories to help you navigate today’s healthcare challenges.
Call your car or home insurance carrier today to inquire if they underwrite for Expert Nurses (LPN, RN, NP, CRNA, etc.). Not all insurance carriers offer this coverage, so always ask questions. Don’t settle for “we don’t cover nurses.” Make sure you’re covered and ask if they offer specific policies for nursing professionals.
I’m Advocate Maggie, and I’m here to help nurses just like you protect their careers and thrive in the ever-evolving world of healthcare. Follow me on Instagram, Facebook, TikTok, or visit my website for more tips, and feel free to reach out with any questions.
