Risk Pl Portfolio: Risk Management Plan

Portfolio: Risk Management Plan
The concept of risk management is relatively new, as hospitals look to prevent hospital-acquired infections (HAIs), falls, injuries, and other forms of preventable harm, rather than reacting once harm has already taken place. Before this concept became a best practice, most health organizations relied on malpractice and liability insurance to protect against losses and mitigate the effects of accidents and poor patient outcomes (Colorado State University-Global Campus, 2014). Today, risk management is an integral facet of a healthcare facility’s business practice in preventing risks, ensuring regulatory compliance, minimizing financial damage, and preserving its reputation in the community. Although most large
However, beyond these important components, there are regulatory agencies that govern and grant a hospital the right to operate and require the hospital to remain compliant with their rules. Some of these agencies and laws are the Centers for Medicare and Medicaid Services (CMS), the Joint Commission (TJC), the Health Insurance Portability and Accountability Act (HIPAA), the Emergency Medical Treatment and Active Labor Act (EMTALA), and individual state laws. According to Shannon (2010), each of these laws and regulatory bodies has unique and specific requirements the hospital must meet to either participate in a benefit of the agency or in some cases, the right to remain doing business. Many of the agencies use in-person site surveys and inspections to monitor compliance. Furthermore, liability insurance companies, including those covering malpractice, usually require a formal risk management plan be in
Beyond these generalities, the objectives of a risk management plan are to improve patient safety, prevent errors, system breakdowns, and harm, minimize risks and liability losses, support regulatory and accreditation compliance, and protect the organization’s resources (ECRI Institute, 2010). However, there are specific goals the FPM is concerned with and they follow the Life Safety Code. According to Campbell (2012), these include fire protection, egress, fire and smoke hazards, fire alarm and extinguishing maintenance, and building services such as elevators, and trash and linen chutes. Evidence of the goals and their completion are also required for regulatory compliance and certification from accrediting