Why Work With Great Southern Agency?

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• Nationwide Coverage – Licensed in all 48 lower states

• Carrier Reach – With up to 59 insurance companies to shop with, we can find the correct program for your insurance needs

• Specialized Expertise – Deep knowledge of behavioral health and treatment risks

• Tailored Programs – Insurance that matches your services, from PHP and IOP to detox and sober living

• Responsive Team – Support through claims, renewals, and compliance reviews

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Frequently Asked Questions — Healthcare & Treatment Facility Insurance

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What insurance does a behavioral health or treatment facility need?

At minimum, treatment facilities need Professional Liability, General Liability, Property Insurance, Employment Practices Liability, and Cyber Liability. Facilities with residential components also need Abuse & Molestation Liability and Workers' Compensation. PHP, IOP, and detox programs have distinct professional liability

exposures that require forms specifically designed for behavioral health — not standard medical malpractice policies.

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What is the difference between professional liability and general liability for healthcare providers?

General liability covers bodily injury and property damage claims from third parties — a visitor slip-and-fall, damage to a neighboring property. Professional liability

(also called medical malpractice or E&O) covers claims arising from the actual delivery of care — a patient alleging improper treatment, a missed diagnosis, or a medication error. Both are essential and neither substitutes for the other.

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What is Abuse & Molestation Liability and why is it critical for residential facilities?

Abuse & Molestation coverage protects facilities against claims of physical, sexual, or emotional abuse by staff, volunteers, or other patients. It is typically excluded

from general liability policies and must be added separately. For any facility providing residential care — detox, sober living, inpatient — this coverage is essential

and increasingly required by state licensing bodies.

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What is EPLI and do treatment facilities need it?

Employment Practices Liability Insurance (EPLI) covers claims from employees alleging wrongful termination, discrimination, harassment, or retaliation. Healthcare

and behavioral health facilities face elevated EPLI exposure due to high staff turnover, emotionally charged environments, and the complexity of managing clinical

and non-clinical staff together.

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Why do behavioral health facilities need cyber liability coverage?

Behavioral health providers handle some of the most sensitive patient data that exists — mental health diagnoses, substance use history, treatment records. This

makes them high-value targets for ransomware and data breaches. HIPAA violations from a breach can trigger significant regulatory fines on top of the cost of notification and remediation. Cyber liability covers both the first-party costs and third-party claims arising from a breach.

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What is Directors & Officers (D&O) insurance for a treatment facility?

D&O insurance protects the personal assets of executives and board members from claims alleging mismanagement, financial decisions, or regulatory failures

madein their organizational capacity. For facilities going through ownership transitions, acquisitions, or operating under PE ownership, D&O is a critical and often required coverage.

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Do PHP and IOP programs have different insurance needs than inpatient facilities?

Yes. PHP and IOP programs operate in outpatient settings with different liability profiles than residential or inpatient care. Professional liability forms must reflect the specific level of care being provided. Insurers that specialize in behavioral health understand these distinctions — generalist carriers often do not, which leads to coverage gaps at the policy form level.

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What happens to my professional liability coverage if my facility is sold or acquired?

Most professional liability policies are written on a claims-made basis, meaning coverage only applies if both the incident and the claim occur during the policy

period. When a facility is sold, an Extended Reporting Period (ERP) — also called tail coverage — must be purchased to cover claims that arise after the policy ends

for incidents that occurred during operations. Tail coverage is one of the most important and most mishandled aspects of healthcare M&A.

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Can Great Southern Agency insure multi-state behavioral health operations?

Yes. We are licensed in all 48 lower states and have experience placing coverage for behavioral health operators with multiple locations across different states, including programs operating under varying state licensing requirements.

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This page is for mental health facilities, behavioral health providers, addiction treatment centers, PHP/IOP programs, detox centers, sober living homes, and medical practices seeking specialized healthcare insurance in Georgia and nationwide.