Why Employers Should Cover Liability Tail Coverage

I recently wrote an article for my other blog – VITAL Physician Executive – that can be found here: Why Demoralize Your Employed Physicians Over Tail Coverage?

I followed it up with a similar post on LinkedIn here: Tail Coverage at LinkedIn. I’m not sure if this can be accessed by non-LinkedIn members, but the content is basically the same.


I have been thinking about this topic for a long time. When I was negotiating contracts for a regional hospital, we tried to get recruits to accept an agreement that required them  to pay for tail coverage when leaving the organization. Sometimes this was negotiated out, or was limited to certain circumstances.

I learned from other hospital leaders that some organizations have stopped trying to include such a contractual requirement. But it is difficult to find out how many have actually dropped this.

The article mentioned above is addressed to hospital leaders and executives, but I think its content is very pertinent to physicians considering a new job.

My bottom line advice is this: try to get any language that puts the onus on you to pay for tail coverage out of your agreement. Failing that, try to get this penalty limited to situations in which you are convicted of a felony or lose your medical license.

I’m happy to answer questions about this topic. Send your comments or questions via the Comment section below.

Also, if you’re thinking of eventually moving into a leadership position during your career, check out VITAL Physician Executive and sign up to receive my posts.

About johnjurica

Podcaster, entrepreneur, and former hospital chief medical officer writes about physician leadership and career transition.
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2 Responses to Why Employers Should Cover Liability Tail Coverage

  1. Dr. Almansoori says:

    Very insightful and useful information. I wish I had read this post prior to signing my first employment agreement. You are correct in the sense that employers definitely use it as a weapon to maintain retention. I commend you on your website.


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