Why physical therapists need liability insurance
Physical therapists (PTs) work hands-on with patients every day, performing manual therapy, prescribing exercises, and using modalities that carry real malpractice exposure. Even when your care is appropriate, allegations can arise — a patient claims your technique aggravated an injury, you missed a red flag during assessment, or a transfer or fall caused harm. According to HPSO, the average total cost of a malpractice lawsuit against a PT is $134,761. That’s not a risk you want to shoulder alone.
Many PTs assume their employer’s policy has them covered. But employer policies are designed to protect the facility first — not you personally. They typically exclude license defense, end when you leave the job, and often don’t cover side work, telehealth, or consulting. A personal policy fills those gaps and follows you between jobs.
What does PT malpractice insurance cost?
For a typical employed PT, annual premiums range from about $100 to $350 — comparable to what an RN pays. Some carriers come in lower: Berxi quotes around $363/yr for supplemental coverage (primary runs higher). HPSO (APTA’s endorsed provider) offers APTA members a 10% discount and reports savings up to 29%. CM&F highlights average 50% savings for group policies. Your final quote depends on state, limits, claims history, and whether you choose supplemental or primary coverage.
Key coverage features to compare
- Policy form: Most PT carriers offer occurrence policies — ideal because you don’t need tail coverage when you change jobs. Claims-made is available from some carriers (e.g., Berxi), but tail can cost 1.5–2x annual premium.
- License defense: HPSO includes up to $30,000 in license board reimbursement (APTA members get this higher limit). CM&F offers $1 million in sexual misconduct defense — far above the typical $25,000.
- Coverage limits: $1 million per claim / $3 million annual aggregate is standard; some carriers offer up to $1M/$6M.
- Portability: Policies from HPSO, CM&F, and CPH & Associates follow you between jobs and cover telehealth.
How to choose the right carrier
Start with carriers that specialize in PT coverage. HPSO has been endorsed by APTA since 1992 and covers nearly one in three PTs nationwide. CM&F Group offers A++ rated policies with strong sexual misconduct limits. Berxi (Berkshire Hathaway) provides occurrence and claims-made options with defense costs outside policy limits. CPH & Associates includes $35,000 state licensing board defense and unlimited defense attorney fees. Compare quotes from at least two carriers to see what fits your practice pattern and budget.
Most PT carriers — HPSO, CM&F, and CPH — offer occurrence policies, which cover any incident that happened while the policy was active, even if the claim comes years later. No tail needed. This fits PTs well because claims can surface after you’ve left a job. Claims-made policies (available from Berxi) require tail coverage when you leave, which can cost 1.5–2x the annual premium. For most PTs, occurrence is simpler and cheaper long-term.