No. In Florida, private doctors are permitted to practice medicine without having any medical malpractice insurance. However, they are still required to have enough assets to satisfy a judgment. They must certify that they have assets of a certain value that in the event someone sues them and wins, they would be able to collect a certain minimum amount.

New York does not copy this model. Instead, in NY, physicians are required to have medical malpractice insurance in the amount of $1.3 million/ $3.9 million.

That means that if they are sued and the patient wins a judgment, the insurance company is only legally obligated to pay up to $1.3 million as a maximum amount. Anything above that would be the doctor’s own personal responsibility. That explains why some high-risk physicians or high-risk specialties also have an ‘excess’ policy as an added level of protection.

The $3.9 million is simply the total aggregate amount they will pay for multiple claims against the doctor in any given year the insurance policy is in effect.