The evolution of software and electronics for medical devices and the transferring of electronic personal identity records is creating a new combination of risks in the medical technology industry. To address these risks, Travelers has introduced MedFirst – a combination of three liability coverages packaged in a single insurance policy: products/completed operations liability, errors & omissions (E&O) and information security liability.
The continuing integration between medical device and software companies exposes them to financial loss in addition to traditional bodily injury damages. “E&O exposures now exist where once the primary risk concern was product liability,” said Patty Nichols, director of Medical Technology at Travelers. “Also, privacy requirements are a greater concern as information is transferred from one organization to another – increasing the need for information security liability coverage.”
Travelers MedFirst key features include:
- Enterprise-wide coverage,
- Worldwide coverage (except where prohibited by U.S. law)
- Information security coverage that specifically addresses privacy-related risks,
- A simplified approach for obtaining coverage, saving time for agents and customers with “one application, one underwriter, one policy.”
What differentiates MedFirst is the information security liability coverage that responds to failures to prevent unauthorized access to, or use of, personal identity information or protected health information as defined by the Health Insurance Portability and Accountability Act (HIPAA) of 1996.
A broad range of medical technology and software companies are eligible for MedFirst coverage – from the simple to the complex and from the small to the large.
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