malpractice insurance policy

According to a report in Q1 2020, the doctor-to-population ratio of India stood at 1:1456 as opposed to the World Health Organisation’s recommended 1:1000 figure. An important yet often uncharted way to address this shortage is to encourage youths to take up medical science as a subject for higher studies. Equally important is for medical professionals to expand their practice, which can be conveniently done by availing a suitable medical practice loan.

Besides that, doctors should also invest in an exhaustive malpractice insurance policy that protects them from financial liabilities arising out of claims of negligence and other third-party allegations. So, here’s a look at some of the best medical practice loans in 2020, ideal for doctors to further their service.

Ideal medical practice loans for doctors

Several financial institutions offer medical practice loans that doctors can avail at favourable terms, given they meet all the eligibility criteria. The funds so acquired can help these professionals in fulfilling important practice goals like:

       Facility expansion

       Investment in advanced medical equipment

       Hiring skilled professionals and IT administrators, etc.


1.      Medical practice or business loans for doctors

Lenders provide medical practice loans at attractive interest rates that make repayment affordable for doctors. Such loans are applicable to medical practitioners like dentists, super-specialists, ayurvedic and homoeopathic doctors, among others. One can avail a medical practice loan of up to Rs.37 lakh, based on his/her requirement. Along with availing a loan, professionals are also advised to buy malpractice insurance plan suitable for them.

Some of the benefits of such loans are listed below:

       Quick disbursal

The application process is rather convenient, and most lending institutions also provide a simple online application process. Upon loan approval, the amount sanctioned is usually disbursed in a short span of time.

       Flexible repayment tenure

Another crucial advantage of availing a doctor finance is that it comes with a flexible repayment tenure ranging of up to 96 months. Doctors can, therefore, choose tenure as per their convenience and affordability.

       Minimum documentation

Medical practice loans are specifically tailored for doctors, and hence, most of the documentation requirement factors in their professional qualifications.

Doctors should also assess the associated risks in their field of expertise and accordingly invest in a malpractice insurance cover.

2.   Personal loans for doctors

If the financial requirements are not too high, doctors can also apply for a personal loan that comes with no end-use restriction, making it suitable to upgrade their business and maintain healthy cash flow. Most lending institutions offer personal loans for doctors up to Rs.25 lakh that can help them to renovate their clinics or buy the latest equipment.

Along with that, professionals should further look for an ideal financial institution that also provides exhaustive malpractice liability insurance cover. Although individuals consult with a specialist doctor due to experienced advice and services, these professionals are always at risk of sustaining malpractice claims.

Besides flexible loan tenure, quick disbursal and minimum documentation, some other benefits of such loans to enhance medical practice are discussed below:

       No collateral is required

Doctors can avail medical practice loans easily only with minimum eligibility criteria because no collateral is required in this case. Therefore, professionals do not have to pledge, mortgage or hypothecate their assets to avail a loan.

       Quick processing

Since the application process is relatively easy, requiring mainly professional certificates as documentation. Loan processing is also fast, and doctors can thus acquire funds quickly in case of emergencies.

       Flexi Loan facility

Several NBFCs also extend the Flexi Loan facility on personal loans for medical professionals. In this facility, doctors will be sanctioned a predetermined loan amount for a pre-set tenure, from which they can make multiple withdrawals. Also, interest will be charged only on the funds withdrawn from the loan amount.

On the other hand, the expected costs are high in terms of business expansion or purchase of expensive equipment. In such cases, doctors can also apply for a loan against property for medical practice.

Lending institutions like Bajaj Finserv offer suitable medical practice loans customised for doctors besides providing high-coverage malpractice insurance policies.

The lender also brings attractive pre-approved offers on credit products like business loans and personal loans. This makes it easy for borrowers to avail a loan without any hassle. One can check the pre-approved offer only with minimum contact details.

Thus, the details mentioned in this article can help young medical professionals choose a suitable loan product to enhance their practice. Besides that, they should also protect themselves against third-party claims of malpractice and negligence with ideal malpractice insurance plans. They are also advised to understand the reasons to take business loan for doctors before availing one.


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