Formerly the Medical Professional Liability Catastrophe Loss (CAT) Fund
What is the Mcare Fund?
The Mcare Fund is state operated and was created as a provision of Pennsylvania law to provide excess limits of coverage to health-care providers defined by Act 13.
The Mcare Act 13 of 2002 was enacted in March 2002
repealing the Health-Care Services Malpractice Act,
known as Act 111.
In addition to restating existing law mandating
coverage for physicians, surgeons, nurse midwives,
hospitals and institutions, the Act addresses patient
safety, medical liability reform and CAT Fund reform,
including placing the CAT Fund under Insurance
Department control and creating the Mcare Fund to
replace the CAT Fund as of 10/1/02.
Visit
Mcare Web site
What are the rules of
participation and limits of liability that the Mcare
Fund provides?
Physicians who practice
in Pennsylvania are required by law to have coverage
limits of $1 million per claim/$3 million annual
aggregate:
- For physicians who practice 50% or more in
Pennsylvania, PMSLIC
provides basic limits of $500,000 per claim/$1.5
million annual aggregate; the Mcare Fund provides
excess limits of $500,000 per claim/$1.5 million
annual aggregate.
- For physicians who practice less than 50% in
Pennsylvania, PMSLIC
provides basic limits of $500,000 per claim/$1.5
million annual aggregate; the additional required
limits of $500,000 per claim/$1.5 million annual
aggregate can be obtained as excess coverage with
PMSLIC or through elective participation in the Mcare
Fund.
What does the Mcare Fund's excess coverage cost?
The cost varies each year. Companies that provide basic limits of insurance bill and collect the assessment set by the Fund every year for its excess coverage.
The Fund assessment is calculated as a percentage of the Joint Underwriting Association's prevailing primary premium. |
