Psychiatrist Malpractice Insurance

At Homewood Insurance, we tailor coverage for psychiatrists and behavioral health practices, with clear details on what’s covered, how much it costs, and which practice exposures can affect pricing.

On this page, you’ll find:

What’s Included in Coverage – a breakdown of General Liability and Professional Liability protections.
Cost of insurance Coverage – what influences premiums and average price ranges for different specialties.
High-Risk Procedures – which services raise premiums or may need additional coverage.
Why Work With Homewood – how we help you secure the right policy at the right price.

Get a Free Quote Now

The fastest way to find the most suitable insurance coverage for psychiatrists is to fill out our quick quote form, so we can give you an idea of the type of insurance coverage that best suits you.

Homewood Insurance works with a number of different carriers to ensure you have the most suitable insurance coverage at the best price.

Malpractice Insurance for Psychiatrists can include:

Protection for misdiagnosis, suicide/homicide risk management claims, and medication mismanagement.
Coverage across inpatient, outpatient, telepsychiatry, and correctional settings.
Liability for controlled substances prescribing and psychiatric emergencies.
Standard limits commonly up to $1M per claim / $3M aggregate, with tail/retroactive dates available.
Optional endorsements for forensic work, residency supervision, ECT/TMS, and multistate telehealth.

More information

Insurance for Psychiatrists can include:

Our programs address both Professional Liability (PL) and General Liability (GL) for psychiatric practice:

Professional Liability (Malpractice Insurance)

Claims alleging misdiagnosis or delayed diagnosis (e.g., MDD, bipolar disorder, schizophrenia)
Defense for failure to prevent self-harm or harm to others, including duty-to-warn scenarios
Medication allegations: adverse effects, polypharmacy, controlled substances, monitoring failures
Coverage for telepsychiatry (synchronous/asynchronous), multistate licensing, and documentation issues
Addresses involuntary commitments, capacity determinations, treatment refusals, and confidentiality disputes
Optional add-ons: forensic evaluations & testimony, ECT/TMS, residency supervision, correctional settings

General Liability Insurance

Third-party bodily injury on premises (e.g., slip-and-fall in the waiting room, hazards in corridors)
Third-party property damage caused by staff, patients, or vendors
Personal & advertising injury (non-PHI privacy or reputation issues)
Applies to solo and group practices, outpatient clinics, community mental health centers, and hospital-employed roles.

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The Cost of Psychiatrist Malpractice Insurance:

Pricing depends on practice setting (inpatient vs. outpatient), state litigation environment, scope of services (e.g., ECT, forensic), telehealth footprint, and claims history. Risk controls—suicide-risk protocols, documentation standards, PDMP checks—favorably influence underwriting.

Professional Liability (Malpractice) Insurance – Typical Ranges

Outpatient solo practice (no ECT/forensic): $2,000–$6,000 per psychiatrist, annually
Group practices / mixed settings: $4,000–$9,000 per psychiatrist
Higher-exposure roles (inpatient, correctional, ECT/TMS, forensic): $7,500–$15,000+ per psychiatrist

General Liability (GL) – Typical Ranges:

Small office (solo/2-provider): $400–$1,200 annually
Mid-size practice/clinic: $1,000–$3,000 annually
Large multi-site or high foot-traffic facilities: $3,000–$6,000+ annually

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High-Risk Procedures and their Impact on your Premiums

Exposure Category	Examples	Why Higher Risk?	Insurance Impact
Suicide/Homicide Risk Management	Acute risk patients, safety planning, duty-to-warn	Severe outcomes & high severity claims if monitoring/action disputed	Rates trend higher without formal protocols & documentation
Involuntary Holds & Restraints	Inpatient holds, ED consults, seclusion/restraint orders	Civil rights & standard-of-care allegations; documentation critical	Surcharges or endorsements; may require inpatient experience
Controlled Substances & Complex Pharmacotherapy	Stimulants, benzodiazepines, off-label combos, MAT overlap	Adverse events, dependence, monitoring failures	Underwriting review of PDMP use, informed consent, monitoring plans
ECT / Neuromodulation	ECT, TMS, esketamine clinics	Procedure complications, consent disputes, facility standards	Adds premium and sometimes separate endorsements
Telepsychiatry Across States	Synchronous/asynchronous care, multistate patients	Licensing, venue, standard-of-care variance by state	Carrier approval of states; must disclose all practicing locations
Forensic & Correctional Psychiatry	IME/Court testimony, custody cases, jail/prison settings	Adversarial matters; higher frequency/severity potential	Often higher PL rates; sometimes separate forms or carriers
Child & Adolescent Psychiatry	Custody disputes, school threats, mandated reporting	Complex consent dynamics; heightened duty of care	Modest surcharges; documentation & care coordination scrutinized

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Other Insurance Psychiatrists Often Carry

Professional Liability Insurance

Core malpractice protection for psychiatric services, including telepsychiatry and inpatient coverage where applicable.

General Liability Insurance

Covers third-party injuries and property damage at your practice locations and events.

Cyber Liability Insurance

Protects against data breaches, ransomware, HIPAA incidents, and related business interruption.

Workers’ Compensation Insurance

Statutory coverage for employee injuries and illnesses arising from work.

Business Owner’s Policy (BOP)

Bundles GL with property coverage for clinics with equipment, furnishings, and records.

Excess & Umbrella

Additional limits to satisfy contracts or provide extra protection above primary policies.

Why Work With Homewood

We align your practice with carriers that understand psychiatric risk, then strengthen your submission to secure better terms:

Review of suicide-risk protocols, informed consent, and documentation standards.
Guidance on telehealth disclosures, multistate licensing, and endorsements.
Negotiation of limits, tail/prior acts, and umbrella options at competitive pricing.

Call 947-274-3093 or Fill Out the Form

Ralph Schiller

Ralph specializes in sourcing the most suitable insurance for Psychiatrists at the best price. You can call him or fill out the form and he will get your message directly.

Call 947-274-3093 or email submissions@homewood.insure.

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