Nurse Liability Insurance: 7 Reasons to Carry a Policy — Even If Your Employer Has Coverage

Nurses can face legal claims brought by patients, patient representatives, or state nursing boards. Though doctors often draw more attention in lawsuits, nurses—who handle much of the direct patient care—are also vulnerable to regulatory, civil, and even criminal proceedings. The smartest protection is your own liability policy, tailored to defend you personally.

7 Reasons to Get Your Own Policy

1. Employer Coverage Prioritizes the Institution, Not You

While your interests may align with your employer in many situations, they can diverge sharply when litigation arises. A hospital’s liability policy may protect the facility—but not you personally. Having your own policy means you have an advocate solely appointed to defend your case.

2. You Need Protection for Board Complaints

If someone lodges a complaint against you with the State Board of Nursing (SBON)—whether it’s a patient, colleague, or adversary—your employer’s policy won’t always shield you. Such complaints are often used strategically by plaintiffs to argue violations of the Nurse Practice Act. Even accusations or frivolous claims require a response from the board, so you’ll want representation to protect your license.

3. Nurses Do Get Sued

It’s a misconception that only doctors face lawsuits—nurses face them frequently too. Over a five-year timeframe, claim payouts related to nursing have exceeded $90 million. The average claim runs about $201,916. Without insurance, you could be held personally liable for those costs.

Common grounds for nursing-related lawsuits include:

• Failing to convey patient information in a timely or proper manner

• Inadequate assessment or monitoring

• Operating beyond one’s licensed scope

• Not following orders

• Medication errors

4. You Might Be Sued Even When You Did Nothing Wrong

Sometimes patients file a lawsuit based on perception—not fact. They might assume negligence without proof or bring claims even when no harm occurred. Regardless of merit, the legal costs are real. Insurance can help cover attorney fees, court costs, and even lost wages while you participate in the process.

5. You Could Be an Independent Contractor

Many nurses—especially those who travel between locations—are classified as independent contractors. In that role, employer-provided coverage may not apply to you at all. Read the fine print of your employer’s policy carefully. To ensure full protection, it’s safer to carry your own liability coverage.

6. Volunteer Work Can Expose You

If you volunteer—for example, in health fairs or screening clinics—you still need liability protection. Even free clinics don’t guarantee immunity from lawsuits. The right policy will cover your volunteer work (within your licensed scope) and often includes Good Samaritan acts performed in emergencies.

7. Experience Doesn’t Immunize You

Many nurses believe that decades of practice shield them from lawsuits—but that’s false. In fact, 85% of nurses involved in lawsuits had over 16 years of experience. Anyone at any career stage can be named in a claim.

Professional Liability Insurance With Your Name On It is the Best Protection

All healthcare professionals are at risk for lawsuits. The best way to protect yourself is with a comprehensive insurance policy that covers you in a variety of situations, including while volunteering. At NOW Insurance, we offer simple, fast, and affordable policies. Learn more about professional liability coverage for nurse practitioners. Get a quote in under three minutes by completing our easy online application.