Quality Assurance's Role in Reducing Liability Costs

Abstract

This article provides information on containing liability protection costs. The authors, experienced corporate and institutional liability protection specialists who provide risk management services to the medical and business community, describe the causes of the high cost of liability insurance and cost-saving alternatives to traditional insurance. Quality assur- ance's role in working with risk management to prevent losses and reduce costs in a self-insured program is covered. Insurance costs rise and fall in inevitable cycles, but the medical community can protect itself from these cycles. Quality assurance and risk management can work together to reduce costs and prevent losses. The principal conclusion is that through policies, procedures, and information exchange, quality assurance can expand its risk management role to help maintain high quality health care and financial stability. Within a self-insured liability program, direct savings to the institution will result.