The recent medical liability insurance crisis is oftentimes referred to as the market's third crisis in the past 30 years.

This latest crisis has resulted in a number of long-established insurance companies exiting the medical malpractice market either through voluntary withdrawal or state mandated orders. Those companies that have remained in the market have either instituted significant rate increases, placed moratoriums on new business activity in response to capacity constraints, taken a more restrictive position with respect to underwriting certain risks, or some combination thereof. The result of this activity is that in many markets there are fewer insurance companies providing more restrictive coverage at much higher prices than in the past.

In response, as with the prior two medical liability insurance crises, a number of new medical malpractice insurance vehicles have been formed.