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Most Requested Physician Employment Agreement Terms

This page explains the most requested physician employment agreement terms, including liability insurance, and how a lawyer from ContractsCounsel can help you navigate them.
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By Ray Allen
Founder @ ContractsCounsel
Last Updated: November 3, 2025

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Quick Facts — Physician Employment Agreement Lawyers

What Are the Most Requested Terms in Physician Employment Agreements?

Medical professionals who need to draft physician employment agreements frequently ask that these contracts contain specific terms to help them work at their best, maintain a healthier work-life balance, and/or protect them from liability risks.

ContractsCounsel’s data has revealed the most requested physician employment agreement terms include flexible work schedule options, employment classification, compensation structures, and professional liability insurance.

Read on to learn more about these, and other, requested terms and why they should be included in these agreements.

Note: Data comes from real, anonymized projects on ContractsCounsel, a legal network where clients connect with lawyers to draft and review physician employment agreements.

1. Flexible Work Schedule Options

Physicians usually want to have flexibility in their schedule. They might also sometimes want to plan their shifts around how busy they are with patients.

Takeaway: The agreement should clearly define the work schedule so that it meets the physician’s goals and lifestyle.

2. Employment Classification and Compensation Structure

A common request we’ve seen on ContractsCounsel’s platform by physicians relates to their employment classification. They need clarity about whether they’re working part-time, full-time, or per diem (as needed). They also want information about payment structures, such as in terms of bonuses tied to productivity or compensation linked to patient volume.

Takeaway: The physician employment agreement needs terms that explain the employment type and how the medical professional will be paid so there is no ambiguity.

3. Professional Liability Insurance and Tail Coverage

It’s common for physicians to request terms covering malpractice and liability. They want to know who is responsible for tail insurance after employment.

Takeaway: Risk protection is essential after termination of the agreement. The contract should state malpractice coverage and its limits, and detail all responsibility.

4. Non-Compete Clause Scope and Duration

One of the most common and negotiated terms is the non-compete clause. Some medical professionals want to minimize restrictions on their work, such as if they’re not allowed to work for a competitor in a certain geographic area for a certain amount of time after agreement termination.

Takeaway: A lawyer should review the agreement terms to ensure that all restrictions are fair and compliant with medical practice regulations.

5. License Fee and CME Reimbursements

We’ve found that many physicians request pro-rata reimbursement for expenses which occur because of their work. Examples include DEA registration fees and education costs.

Takeaway: There should be a clause in the agreement that outlines all professional expenses are appropriately funded and in line with the job duration.

Why This Matters

Based on ContractsCounsel project data, physicians tend to request customized employment agreement terms that help them meet all their work obligations while keeping them financially secure. By having these terms in your physician employment agreement, you can ensure fairness, legal compliance, and happier work environments.

Get Help With Your Physician Employment Agreement

If you’d like a lawyer to review or draft your physician employment agreement, you should post your project on ContractsCounsel. Vetted healthcare lawyers will send you proposals and help you customize the agreement according to your professional requirements.


ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.


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