Medical Malpractice Payments for Individual Practitioners: The Limited Exceptions to Data Bank Reporting

Under the National Practitioner Data Bank, any entity that pays a settlement or verdict on behalf of an individual health care practitioner in a medical malpractice case must report that payment, including payments made by insurers. Limited exceptions may apply if the practitioner is dismissed from the case well before settlement under strict conditions, or if the practitioner personally funds a settlement out of pocket, which is not considered an entity payment. Even when reporting is not required, settlement information may still need to be disclosed to licensing boards, insurers, or employers.