Policyholder Services

We are considering dispensing ophthalmic ointments and drugs to our patients. Will my policy cover me for these activities?

Yes. The OMIC policy extends coverage for claims arising from “direct patient treatment” the insured provides within the scope of his or her licensure and training. As defined by the policy, “direct patient treatment” includes the prescribing or dispensing of drugs, medical supplies, or medical devices. The prescribing physician has a responsibility to select an appropriate medication for the patient’s condition; inform the patient of the alternatives, benefits, risks, and potential side effects of the medication; check for contraindications or possible interactions with other medications; and explain to the patient how to use the medication. When dispensing medications, the provider must also make sure the proper drug and strength is given and that relevant drug information is included with the product and explained to the patient. Should a claim arise from the insured’s acts or omissions in performing these activities, OMIC’s policy would respond.

As with pharmacies, physicians who dispense drugs must comply with all applicable state and federal laws that govern drug dispensing. For example, they must keep a log of all medications, lot numbers, expiration dates, and other information and follow labeling laws. Physicians should only dispense drugs for conditions they normally treat and follow, and only to their own patients after an exam. Laws may require the physician to provide written disclosures about ownership of the dispensing practice and inform patients that they may receive a prescription and purchase medications elsewhere. Only health care providers who are authorized to prescribe the drug may dispense it. For a claim to be covered, the health care provider must hold the appropriate licensure, certification, or accreditation to provide the service. If controlled substances are dispensed, the physician must hold the appropriate license or registration required to dispense such controlled substances. Similarly, optometrists who dispense diagnostic or therapeutic agents must hold the appropriate certification in their state.

Please note that OMIC’s policy does not include product liability coverage. Claims involving allegations regarding the drug itself or with its manufacture or distribution are excluded. Examples of excluded claims include allegations that the drug was tainted, did not work as the manufacturer marketed it, or was not labeled correctly.

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Six reasons OMIC is the best choice for ophthalmologists in America.

Consistent return of premium.

Publicly-traded insurance companies exist to make profits for shareholders while physician-owned carriers often return profits to their policyholders. Don’t underestimate this benefit; it can add up to tens of thousands of dollars over the course of your career. OMIC has one of the most generous dividend programs for ophthalmologists and has returned more than $90 Million to our members through dividends.