Thought Leadership

2020 Aon/ASHRM Hospital and Physician Professional Liability Benchmark Analysis

Now in its 21st edition, the Aon/ASHRM Hospital and Physician Professional Liability Benchmark Analysis is a leading healthcare industry report that provides healthcare risk managers with a better understanding of their cost of risk compared to an industry benchmark. Through measurement, analysis, and comparison of the claim and exposure data, risk managers develop proactive strategies to reduce risk-related costs and ultimately improve outcomes.

The 2020 edition of the Aon/ASHRM Hospital and Physician Professional Liability Benchmark report provides analysis and insights into telemedicine claims, medical malpractice verdict awards, a cause-of-claim analysis and best risk management practices pertaining to advanced practice providers, as well as an analysis of medical professional liability insurance program features.

Our current analysis is based on data for accident years 2019 and prior. As the COVID-19 pandemic is known to have entered the US in early 2020, it has no bearing on the claim cost trends contained in this report.

This report provides actuarial analysis and insight pertaining to medical professional liability costs from varying perspectives including:

  • Countrywide HPL, PPL, and GL benchmark claim costs— expressed in frequency and severity components— based on this year’s database of 108 systems.
  • An article co-written by Aon and The Doctors Company that speaks to the growth in telemedicine, provides guidance on creating a taxonomy for telemedicine claims and highlights areas of risk control.
  • An overview of medical malpractice verdicts rendered since 2001 that has been conducted by TransRe.
  • A closed claim analysis of hospital professional liability loss costs pertaining to advanced practice providers by Coverys and a description of best practices it recommends to manage this risk.
  • An analysis of insurance program features and changes brought upon by insurance market conditions in the past year.
  • Healthcare risk management department characteristics, including insights on risk professionals and Certified Professional in Healthcare Risk Management (CPHRMs) employed, claims handling procedures, insurance buying habits, and days cash on hand.
  • Benchmark statistics by hospital service line, demographics, and by type of claim disposition.
  • Benchmark statistics for twenty-two individual states as well as territory breakouts for Florida, Illinois and Pennsylvania. The data volume for each of these geographies lends itself to credible actuarial analyses.

About the Benchmark

The Aon/ASHRM Hospital and Physician Professional Liability Benchmark Analysis is produced under a co-marketing agreement between Aon and The American Society for Healthcare Risk Management (ASHRM).

The study is designed as a hands-on tool to provide healthcare risk managers with a better understanding of their cost of risk compared to an industry benchmark. Through measurement and analysis of claim and exposure data, risk managers develop proactive strategies to reduce risk-related costs and ultimately improve outcomes.

If you would like to participate in future benchmarking studies or have any questions, please contact us at [email protected].

Purchase the 2020 Report

To purchase a copy of the 2020 Hospital and Professional Physician Liability Benchmark Analysis, visit the ASHRM Bookstore.

Access the Executive Summary of the 2020 Benchmark

To view the report Introduction, Letter to Readers and Executive Summary, access the abridged Executive Summary (PDF).