Alabama Professional Liability - 2025 Guide
Alabama is a physician-friendly state with relatively low malpractice insurance premiums compared to national averages. Tort reform measures passed in 1987 and additional reforms in 2011 have contributed to a stable legal climate, making Alabama an attractive state for medical practice.
Medical Malpractice Insurance Requirements in Alabama
Alabama does not mandate that physicians carry malpractice insurance. However, many hospitals and healthcare facilities require physicians to maintain coverage to obtain privileges. Common policy limits purchased are $1 million per occurrence and $3 million aggregate. The first amount is how much your insurance provider will pay per claim, and the second amount indicates your annual limit.
Occurrence vs Claims-Made Malpractice Policies in Alabama
Claims-made policies are more commonly purchased in Alabama, though occurrence policies are also available.
Coverage applies to incidents that occur during the policy period, regardless of when the claim is filed.
Coverage applies to claims filed during the policy period, requiring tail coverage for future claims.
Leading Medical Malpractice Insurance Companies in Alabama
In addition to the below insurers, DocShield typically provides your practice with quotes from several other highly rated insurers. Ratings provided by AM Best (the leading insurance credit rating agency).
ProAssurance
MagMutual
MedPro
The Doctors Company
Malpractice Insurance Cost in Alabama
The data below represent undiscounted premiums. DocShield is often able to save practices 30-50% relative to these rates.
| Medical Specialty | Average Premium | Lowest Premium |
|---|---|---|
| Anesthesiology | $11,500 | $7,353 |
| Cardiovascular Disease - Minor Surgery | $10,900 | $9,634 |
| Emergency Medicine | $18,800 | $15,212 |
| Family Practice - No Surgery | $7,500 | $5,831 |
| Gastroenterology - No Surgery | $8,800 | $7,484 |
| General Surgery | $25,900 | $15,212 |
| Internal Medicine - No Surgery | $7,700 | $6,503 |
| Neurology - No Surgery | $9,900 | $8,581 |
| Obstetrics and Gynecology - Major Surgery | $38,700 | $30,303 |
| Occupational Medicine | $5,500 | $4,056 |
| Ophthalmology - No Surgery | $4,900 | $3,550 |
| Orthopedic Surgery - No Spine | $22,700 | $15,212 |
| Pathology - No Surgery | $6,600 | $3,504 |
| Pediatrics - No Surgery | $7,600 | $5,831 |
| Psychiatry | $5,500 | $3,504 |
| Pulmonary Disease - No Surgery | $9,300 | $6,503 |
| Radiology - Diagnostic | $8,900 | $6,503 |
Working with Medical Malpractice Insurance Brokers in Alabama
A licensed broker can help you navigate the administrative work involved in getting quotes and the nuances of choosing a policy that fits your particular practice. Importantly, brokers work for you, not a single insurer, so they can shop across multiple insurers to find you the most competitive premium for a high-quality policy.
Buy Affordable Malpractice Insurance with Docshield
We've built the fastest application process in the industry so you don't have to disrupt your schedule to shop for coverage. After you select a policy, we automatically scan the market every year before renewal to ensure you're paying a fair price.
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Alabama Statute of Limitations
The statute of limitations for malpractice claims in Alabama is two years from the date of the wrongful act. If the harm is not discovered within that time, claims must be brought within six months of discovery. For minors under the age of four, the statute of limitations begins when the child turns eight years old. This means that a patient must file a lawsuit within two years of realizing they were harmed, but for minors under four years old, the deadline is extended until they reach the age of eight, ensuring additional time for claims involving young children.
Tort Reform in Alabama
Alabama passed comprehensive tort reform in 1987, including caps on punitive and non-economic damages. However, these caps were overturned by the Alabama Supreme Court in the 1990s. More recently, 2011 reforms included limiting the statute of repose to seven years and aligning expert witness requirements with federal standards. These measures have contributed to a favorable legal climate for physicians, with approximately 90% of malpractice claims decided in favor of defendants.