Federal enforcement of False Claims Act (FCA), Stark anti-kickback, and HIPAA/HITECH claims against healthcare companies continues to rise rapidly. FCA recoveries by the U.S. Department of Justice (DOJ) exceeded $9.5 billion from January 2009 through the end of 2012—a record for any four-year period. Insurance can be a valuable asset to defray the costs to defend individual directors and officers and the company from a government investigation and pay any ultimate settlements and judgments.

This alert provides tips for getting the most out of your company’s traditional Directors & Officers (D&O) and Errors & Omissions (E&O) policies for FCA and similar healthcare government investigations, and highlights key features of recently-developed specialty healthcare E&O policies that target coverage specifically for FCA, Stark, and HIPAA/HITECH related claims and investigations.