Financial Responsibilities for an APRN

An advance practice nurse, or APRN, has typically worked in a hospital or healthcare setting in the past. More recently, however, more APRNs are choosing to open their own independent practices. Regardless of the APRN's work setting, certain financial factors must be considered.

Independently Employed APRN

An independently employed APRN will unsurprisingly have the most considerable financial obligations in most circumstances. A large reason for this has to do with startup costs for building your own business, which can run anywhere from $50,000 to $100,000. The cost to lease office space and purchase office equipment will vary, but it will be significant. Assuming that the practice will need at least one other employee (probably more) to assist in clerical duties, costs for worker's compensation insurance and worker's benefits will also be a factor. The APRN themself will have to pay the required legal costs, licensing fees and medical malpractice insurance.

APRN in a Medical Office

The great advantage of being in this position for an APRN is that they will not have to worry about overhead, operating or payroll costs. Even though the APRN is employed by a company, he or she will still have to pay for medical malpractice insurance. However, it is easy to see that the financial responsibilities are significantly lower if not self-employed in the health care industry.

APRN in a Hospital

An APRN who works for a hospital does not have to pay for medical malpractice insurance. This is because the hospital will have its own professional liability insurance which extends to all of its medical staff employees. In addition to the regular salary, the APRN will also be offered life, dental and health insurance through the hospital. Therefore, this would be the situation in which an APRN would have the fewest work-related financial responsibilities.