California · Business and Professions Code - BPC
BPC §2216.2: (a) It is unprofessional conduct for a physician and surgeon to fail to provide adequate security by liability insurance, or by participation in an interindemnity trust, for claims by patients arising
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(a) It is unprofessional conduct for a physician and surgeon to fail to provide adequate security by liability insurance, or by participation in an interindemnity trust, for claims by patients arising out of surgical procedures performed outside of a general acute care hospital as defined in subdivision (a) of Section 1250 of the Health and Safety Code. (b) For purposes of this section, the board shall determine what constitutes adequate security. (c) Nothing in this section shall require an insurer admitted to transact liability insurance in this state to provide coverage to a physician and surgeon. (d) The security required by this section shall be acceptable only if provided by any one of the following: (1) An insurer admitted pursuant to Section 700 of the Insurance Code to transact liability insurance in this state. (2) An insurer that is eligible pursuant to Section 1765.1 of the Insurance Code. (3) A cooperative corporation authorized by Section 1280.7 of the Insurance Code. (4) An insurer licensed to transact liability insurance in at least one state of the United States.
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