Policyholder Services

Will OMIC insure me for my liability as a consultant to pharmaceutical companies or device manufacturers?

Coverage will depend primarily on what services the ophthalmologist (or, in the case of research/clinical trials, “investigator”) is performing under the contract and what allegations are made in the claim. OMIC’s policy is designed to respond to claims resulting from injury to patients (or, in the case of research/clinical trials, “human subjects”) because of acts, errors or omissions in the provision of direct patient treatment. If a patient files a claim alleging injury as a result of clinical research or trials conducted by the Insured, the claim would be covered (subject to the terms and conditions of the policy) as long as the research or trial was conducted under and in accordance with an American IRB-approved protocol. However, the policy would not respond to claims made by the pharmaceutical/device company.  Claims arising out of services performed by an Insured as a paid consultant are excluded when such claim is made by anyone other than the Insured’s patient.  OMIC is not aware at this time of any claims made by drug or device developers/manufacturers against their consulting physicians.  Product liability claims – those arising from the design, production, manufacture, assembly, distribution, marketing, or sales of a medical device or other product, are also excluded.

Physicians may be able to negotiate with the pharmaceutical company or device manufacturer to (1) insure their liability exposure for services they render on behalf of the company under the company’s insurance policy, (2) secure separate coverage for the physicians for these activities, or (3) agree to defend and indemnify the physicians for any liability they incur arising from the services they provide for the company/manufacturer under their consultant contracts.  Alternately, the physician may be able to purchase an errors and omissions policy to cover these activities.  Before purchasing an E&O policy, however, the physician should confirm with the E&O carrier that coverage will not be precluded by the products liability exclusion applicable to most policies.

OMIC recommends that Insureds consult with their personal attorney before entering into any contracts.