Physician Contract Glossary · Malpractice & Insurance
Indemnification
An indemnification clause decides who pays for losses and legal costs when something goes wrong, and one-sided versions can shift the employer's liability onto you.
Indemnification clauses allocate who covers losses, damages, and legal costs arising from claims. A mutual clause means each party covers what it caused. A one-sided clause can require you to indemnify the employer for liabilities, including some that should be theirs, and can even reach beyond what your malpractice insurance covers, exposing your personal assets.
Look hard at any clause requiring you to indemnify the employer, and confirm your malpractice policy actually covers what you are agreeing to be responsible for. An uninsured indemnification obligation can put your personal finances on the line.
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