2003-253P. - Laserfiche WebLink

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_ -- Indian River Memorial Hospital , Inc. and Subsidiaries Notes to Consolidated Financial Statements For the Years Ended September 30 , 2002 and 2(D1 During the period April 1 , 1990 through September 30, 1992, the Hospital was self-insured for a portion of its professional liability insurance limited to $ 1 ,000,000 per claim and $3 ,000, 000 in the aggregate, annually. Upon discontinuation of the self-insurance program on October 1 , 1992, the Hospital maintained responsibility for cases which were reported during the period of self-insurance. The accompanying consolidated financial statements include a liability which represents an estimate of the expected losses for these incidents which will be covered under the Hospital's self-insurance program Management of the Hospital believes that ultimate losses will not be in excess of the liability recorded. Professional liability insurance expense-amounted to approximately $2,341 ,000 in 2002 and -- $ 84530000 in 2001 , and is included in other expenses in the accompanying consolidated financial statements. _ Health Insurance The Hospital is self-insured for group health insurance. The Hospital pays approximately 85 % of the coverage for employees and dependents . The Hospital maintains reinsurance through a commercial excess coverage policy which covers annual individual employee claims paid * 'in excess of $ 90 ,000, subject to a $200, 000 deductible, for the year ending September 30, 2002. Health insurance expense amounted to approximately $ 7, 629, 000 in 2002 and $5, 122,000 in 2001 . - - Workers ' Compensation- Insurance - - The Hospital has maintained insurance coverage for workers' compensation claims since October 1 , 1991 . The insurance coverage provides for a deductible level to be paid by the Hospital. The current deductible level is $250,000 per individual occurrence. Workers' compensation insurance expense amounted-to approximately $ 1 , 147,000 in 2002 and $949,000 in 2001 . - - Operating Leases The Hospital leases various equipment under operating leases expiring at various dates through fiscal 2005 . Total rental expense in 2002 and 2001 for all operating leases was approximately $ 545,000 and $431 , 000., respectively. - -28-